Final Results
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TRAFALGAR PROPERTY GROUP PLC
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("Trafalgar", the "Company" or "Group")
Ā Ā Final Results for the year ended 31 March 2021 and notice of Annual General Meeting
Trafalgar (AIM: TRAF), the AIM quoted residential property developer operating in southeast England, announces its final resultsĀ for the twelve months ended 31 March 2021.
The Company's Annual Report is being posted to shareholders today, a copy can also be found on the Company's website. It contains notice of the Annual General Meeting of the Company to be heldĀ at the Company's offices at Chequers Barn, Bough Beech, Edenbridge, Kent TN8 7PD at 11.00 a.m. on ThursdayĀ 30th September 2021.
Enquiries:
Trafalgar Property Group Plc James Dubois Ā | +44 (0) 1732 700 000 |
Spark Advisory Partners Ltd - AIM Nominated Adviser Matt Davis/James Keeshan Ā | +44 (0) 20 3368 3550 |
Peterhouse Capital Limited - Broker Duncan Vasey/Lucy Williams | +44 (0) 20 7409 0930 |
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CHAIRMAN'SĀ STATEMENT
forĀ theĀ year ended 31 March 2021Ā Ā
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On behalfĀ ofĀ the Board,Ā I presentĀ TrafalgarĀ PropertyĀ GroupĀ Plc (the Group),Ā resultsĀ forĀ theĀ year endedĀ 31Ā March
2021Ā whichĀ includesĀ sixĀ property salesĀ and two site options completedĀ inĀ theĀ year. Ā TheĀ overallĀ resultĀ was disappointing, asĀ canĀ beĀ seenĀ inĀ theĀ attachedĀ AccountsĀ andĀ StrategicĀ Report,Ā althoughĀ anĀ improvementĀ onĀ the previousĀ year'sĀ loss.Ā WeĀ areĀ continuing to progress two existing land options that we still hold but Covid-19 related issues are causing delays in the planning process.
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Financials
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TheĀ yearĀ underĀ reviewĀ sawĀ theĀ GroupĀ turnoverĀ atĀ Ā£2,285,800Ā (2020:Ā Ā£1,970,106),Ā withĀ aĀ lossĀ afterĀ taxĀ of
Ā£329,194 (2020:Ā LossĀ Ā£1,022,898), afterĀ takingĀ intoĀ account exceptionalĀ itemsĀ asĀ detailedĀ inĀ noteĀ 19Ā toĀ the accounts.
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Management haveĀ performedĀ aĀ review ofĀ theĀ assetsĀ andĀ liabilities ofĀ theĀ underlying subsidiaries whichĀ form the valueĀ ofĀ theĀ anticipated profitsĀ onĀ ongoing developments. Ā
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Due toĀ theĀ uncertaintiesĀ andĀ timingĀ these planning appeals, Ā itĀ hasĀ beenĀ agreedĀ by managementĀ notĀ toĀ includeĀ anyĀ future anticipatedĀ profits Ā of Ā developmentsĀ in Ā their Ā assessment. Ā
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TheĀ cashĀ onĀ theĀ balanceĀ sheetĀ atĀ theĀ endĀ ofĀ theĀ yearĀ wasĀ Ā£246,193Ā (2020:Ā Ā£27,969)Ā andĀ theĀ GroupĀ continues to have sufficientĀ bankĀ facilitiesĀ forĀ allĀ plannedĀ activities.
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InĀ JulyĀ 2020Ā weĀ completedĀ aĀ shareĀ issueĀ raisingĀ Ā£750,000 ofĀ cash,Ā beforeĀ expenses,Ā whichĀ providedĀ additional cashĀ reservesĀ forĀ our plannedĀ activities.
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BusinessĀ EnvironmentĀ andĀ Outlook
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On 24th November, 2020 Gary Thorneycroft was appointed as a Director of the Group which strengthens the Board with his particular expertise within the accountancy profession. This retainsĀ aĀ goodĀ balanceĀ ofĀ complementary skillsĀ onĀ theĀ Board.Ā WeĀ areĀ currentlyĀ progressingĀ offersĀ ofĀ financeĀ alongsideĀ ourĀ planningĀ applicationsĀ soĀ that we shouldĀ beĀ wellĀ placedĀ toĀ commenceĀ ourĀ developmentsĀ as soonĀ asĀ planningĀ permits.
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TheĀ effects ofĀ theĀ Covid-19Ā pandemicĀ haveĀ affectedĀ ourĀ businessĀ sinceĀ March 2020 asĀ salesĀ ofĀ completed unitsĀ have beenĀ delayedĀ byĀ someĀ months with the planning process being negatively impacted by the effects of the pandemic.Ā FortunatelyĀ weĀ hadĀ completedĀ theĀ constructionĀ phaseĀ ofĀ theseĀ unitsĀ although thereĀ haveĀ alsoĀ beenĀ delaysĀ toĀ theĀ obtaining ofĀ planningĀ permission forĀ otherĀ potentialĀ newĀ sites.Ā LikeĀ most businesses,Ā weĀ areĀ awareĀ ofĀ ourĀ needĀ toĀ conductĀ ourselves carefully toĀ preserveĀ theĀ healthĀ ofĀ ourĀ staffĀ and customers.
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IĀ wouldĀ refer youĀ toĀ theĀ StrategicĀ ReportĀ thatĀ coversĀ ourĀ activitiesĀ in moreĀ detail.
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JamesĀ Dubois
Chairman
6 SeptemberĀ 2021
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TrafalgarĀ PropertyĀ GroupĀ Plc
STRATEGICĀ REPORT
Ā forĀ theĀ yearĀ endedĀ 31Ā MarchĀ 2021Ā
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BusinessĀ review,Ā resultsĀ andĀ dividends
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AllĀ tradingĀ andĀ propertyĀ assetsĀ ofĀ TrafalgarĀ PropertyĀ GroupĀ PlcĀ (Group)Ā areĀ heldĀ inĀ theĀ name ofĀ theĀ Group orĀ its subsidiariesĀ asĀ follows:
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TrafalgarĀ NewĀ HomesĀ LimitedĀ (TNH) TrafalgarĀ Retirement+Ā LimitedĀ (TR+)
SelmatĀ LimitedĀ (Selmat)Ā
Combe BankĀ HomesĀ (Oakhurst)Ā LimitedĀ (Oakhurst)Ā CombeĀ Homes (BoroughĀ Green)Ā LimitedĀ (BoroughĀ Green)
AllĀ bankĀ borrowingsĀ wereĀ theĀ liabilityĀ ofĀ TNH,Ā theĀ wholly ownedĀ subsidiary ofĀ theĀ Group, however during the year the bank borrowings were cleared.Ā Mortgages of Ā£924,373Ā existĀ onĀ theĀ fourĀ properties heldĀ byĀ Selmat.Ā TheĀ sharesĀ ofĀ theĀ GroupĀ areĀ quotedĀ onĀ theĀ London StockĀ ExchangeĀ AIM market.
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TheĀ principalĀ activityĀ ofĀ theĀ GroupĀ continuesĀ toĀ beĀ thatĀ ofĀ homeĀ buildingĀ andĀ propertyĀ development andĀ the consolidated resultsĀ ofĀ theĀ year'sĀ trading,Ā areĀ shownĀ below. Ā TheĀ consolidated lossĀ forĀ theĀ yearĀ wasĀ Ā£329,194 Ā (2020:Ā LossĀ Ā£Ā 1,022,898)Ā afterĀ takingĀ intoĀ accountĀ exceptionalĀ itemsĀ as mentionedĀ inĀ noteĀ 19 toĀ theĀ accounts.
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PrincipalĀ risksĀ &Ā uncertainties
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SetĀ outĀ belowĀ areĀ certainĀ riskĀ factorsĀ whichĀ couldĀ haveĀ anĀ impactĀ onĀ theĀ Group'sĀ long-termĀ performance. Ā The factorsĀ discussedĀ belowĀ shouldĀ notĀ beĀ regardedĀ asĀ aĀ completeĀ andĀ comprehensiveĀ statementĀ ofĀ allĀ potential risksĀ andĀ uncertaintiesĀ facingĀ theĀ Group.
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TheĀ principalĀ risksĀ andĀ uncertaintiesĀ facingĀ theĀ GroupĀ are:
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1.Ā Ā Ā DirectĀ costsĀ mayĀ escalateĀ andĀ eatĀ intoĀ grossĀ profitĀ margins.
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2.Ā Ā Ā HeavyĀ overheadsĀ mayĀ beĀ incurredĀ especiallyĀ whenĀ projectsĀ haveĀ beenĀ completedĀ andĀ beforeĀ others haveĀ beenĀ commenced.
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3.Ā Ā Ā TheĀ GroupĀ could commitĀ tooĀ muchĀ to future capital projects.Ā
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4.Ā Ā Ā TheĀ Group'sĀ relianceĀ on keyĀ membersĀ ofĀ staff.
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5.Ā Ā Ā TheĀ marketĀ mayĀ deteriorate,Ā damagingĀ liquidityĀ ofĀ theĀ GroupĀ and futureĀ revenues. TheĀ GroupĀ considersĀ thatĀ itĀ mitigatesĀ theseĀ risks withĀ theĀ followingĀ policiesĀ andĀ actions:
1.Ā Ā Ā TheĀ GroupĀ affordsĀ itsĀ bankersĀ andĀ otherĀ lendersĀ aĀ strongĀ level ofĀ assetĀ andĀ incomeĀ coverĀ andĀ maintains good relationshipsĀ withĀ aĀ rangeĀ ofĀ fundingĀ sourcesĀ fromĀ whichĀ itĀ isĀ able toĀ secure finance onĀ favourable terms.
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2.Ā Ā Ā DirectĀ costsĀ areĀ outsourcedĀ onĀ aĀ fixedĀ priceĀ contractĀ basis,Ā therebyĀ passingĀ onĀ toĀ theĀ contractor allĀ riskĀ ofĀ costĀ overspend,Ā includingĀ fromĀ increased material,Ā labourĀ orĀ otherĀ costs.
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3.Ā Ā Ā MostĀ otherĀ professionalĀ servicesĀ areĀ alsoĀ outsourced,Ā thusĀ providingĀ aĀ knownĀ fixedĀ costĀ beforeĀ any projectĀ isĀ takenĀ forwardĀ andĀ avoidingĀ theĀ riskĀ thatĀ canĀ ariseĀ inĀ employingĀ in-houseĀ professionals atĀ a highĀ unproductiveĀ overheadĀ atĀ times whenĀ activityĀ isĀ slack.
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4.Ā Ā Ā BuyingĀ decisions for capital projectsĀ areĀ takenĀ atĀ BoardĀ level,Ā afterĀ carefulĀ researchĀ byĀ theĀ Directors Ā Ā Ā personally, who have substantial experience in various business sectors and markets.
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TheĀ Group has focusedĀ onĀ aĀ nicheĀ marketĀ sectorĀ ofĀ newĀ homeĀ developmentsĀ inĀ theĀ rangeĀ ofĀ fourĀ toĀ twenty units. Ā WithinĀ thisĀ unitĀ size,Ā competition toĀ purchaseĀ development sitesĀ fromĀ landĀ buyersĀ isĀ relatively weak,Ā asĀ thisĀ sizeĀ isĀ unattractiveĀ toĀ majorĀ nationalĀ andĀ regionalĀ houseĀ buildersĀ whoĀ requireĀ aĀ larger scale Ā to Ā justify Ā their Ā administrationĀ and Ā overheads,Ā whilst Ā being Ā too Ā manyĀ units Ā for Ā the Ā smaller independentĀ builderĀ toĀ financeĀ orĀ undertake asĀ aĀ project. Ā Many competitors whoĀ also Ā focus on this niche have yet to recapitalise and are unable to raise finance.
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5.Ā Ā Ā ManyĀ ofĀ theĀ activitiesĀ areĀ outsourcedĀ andĀ eachĀ ofĀ theĀ DirectorsĀ isĀ fullyĀ awareĀ ofĀ theĀ activitiesĀ ofĀ all members.
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6.Ā Ā Ā TheĀ GroupĀ hasĀ aĀ corporate governanceĀ policyĀ appropriateĀ forĀ a small Ā publiclyĀ listedĀ companyĀ with ambitionsĀ substantiallyĀ toĀ raiseĀ itsĀ profile withinĀ theĀ widerĀ investorĀ community.
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Operations review Ā A summary of the results for the year is as follows:- | Ā | |
Ā | 2021 | 2020 |
Ā Ā Ā | Ā Ā Ā Ā Ā Ā Ā Ā Ā£ | Ā Ā£ Ā |
Revenue for the year | Ā 2,285,800 | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 1,970,106 |
Gross profit | Ā Ā Ā Ā 322,006 | Ā 154,068 |
Loss after taxation | Ā (329,194) | Ā Ā Ā Ā Ā Ā Ā Ā (1,022,898) |
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GroupĀ turnoverĀ forĀ theĀ yearĀ amountedĀ toĀ Ā£2,285,800Ā (2019:Ā Ā£1,970,106),Ā representingĀ theĀ saleĀ ofĀ six units at Sheerness plus two land options purchased and soldĀ (2020: two residential properties plus car park space).
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AfterĀ takingĀ intoĀ accountĀ theĀ overheads ofĀ theĀ Group,Ā thereĀ wasĀ aĀ lossĀ recordedĀ forĀ theĀ yearĀ ofĀ (Ā£329,194) after exceptionalĀ itemsĀ asĀ detailedĀ in noteĀ 19.
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ThereĀ willĀ be noĀ taxĀ chargeĀ andĀ the CompanyĀ nowĀ hasĀ taxĀ lossesĀ beingĀ carriedĀ forwardĀ ofĀ Ā£ 4,645,489 (2020: lossesĀ Ā£4,381,991).
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TheĀ lossĀ perĀ shareĀ duringĀ theĀ year wasĀ (0.34p),Ā (2020:Ā lossĀ perĀ shareĀ 0.21p).
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As canĀ beĀ seenĀ fromĀ theĀ aboveĀ , theĀ GroupĀ failedĀ toĀ achieveĀ aĀ profit forĀ theĀ yearĀ underĀ reviewĀ and during the year allĀ remaining residentialĀ unitsĀ haveĀ beenĀ soldĀ beingĀ the remaining six unitsĀ atĀ the SheernessĀ Site.Ā There are currently two site options in Send & Leatherhead upon which planning was not granted and for which now appeals have been lodged Ā withĀ furtherĀ optionĀ opportunitiesĀ beingĀ explored.
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Directors'Ā dutiesĀ underĀ S172
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TheĀ DirectorsĀ believeĀ that,Ā individually andĀ together,Ā theyĀ haveĀ actedĀ inĀ theĀ wayĀ theyĀ consider,Ā inĀ goodĀ faith, wouldĀ beĀ mostĀ likelyĀ toĀ promoteĀ theĀ successĀ ofĀ theĀ GroupĀ forĀ theĀ benefitĀ ofĀ itsĀ membersĀ asĀ aĀ whole,Ā having regardĀ toĀ theĀ stakeholders andĀ mattersĀ setĀ outĀ inĀ s172(1)(a-f) ofĀ theĀ CompaniesĀ ActĀ 2006Ā inĀ theĀ decisionsĀ taken duringĀ theĀ yearĀ endedĀ 31Ā MarchĀ 2021.
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OurĀ BoardĀ ofĀ DirectorsĀ remainĀ awareĀ ofĀ theirĀ responsibilities bothĀ withinĀ andĀ outsideĀ ofĀ theĀ Group.Ā WithinĀ the limitationsĀ ofĀ a GroupĀ withĀ soĀ fewĀ employeesĀ weĀ endeavourĀ toĀ followĀ theseĀ principles:
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ļ·Ā Ā Purpose,Ā vision andĀ strategy:Ā thisĀ isĀ setĀ outĀ onĀ pages 5-7Ā onĀ thisĀ StrategicĀ ReportĀ andĀ weĀ recognise ourĀ roleĀ inĀ identifyingĀ opportunitiesĀ toĀ developĀ homesĀ andĀ apartmentsĀ toĀ theĀ bestĀ qualityĀ standards.
ļ·Ā Ā GroupĀ policies:Ā theseĀ areĀ reviewedĀ annuallyĀ andĀ staffĀ andĀ DirectorsĀ areĀ encouragedĀ toĀ improveĀ their skillsetĀ asĀ appropriate.
ļ·Ā Ā CultureĀ andĀ people:Ā weĀ fullyĀ supportĀ aĀ cultureĀ whereĀ allĀ customers,Ā staffĀ andĀ suppliersĀ areĀ treatedĀ in anĀ openĀ andĀ honestĀ fashion,Ā irrespectiveĀ ofĀ race,Ā gender,Ā ethnic,Ā disabilitiesĀ orĀ otherĀ scenarios.
ļ·Ā Ā BoardĀ structure:Ā theĀ roleĀ ofĀ theĀ BoardĀ isĀ reviewedĀ annuallyĀ withĀ aĀ clearĀ focusĀ onĀ theĀ specificĀ roles assignedĀ toĀ eachĀ individualĀ toĀ enableĀ theĀ BoardĀ toĀ properlyĀ supportĀ eachĀ memberĀ ofĀ staff.
ļ·Ā Ā FreedomĀ withinĀ aĀ framework:Ā weĀ areĀ developingĀ aĀ newĀ frameworkĀ forĀ communicatingĀ thisĀ freedom inĀ a straight-forwardĀ methodology.
ļ·Ā Ā RiskĀ andĀ internalĀ controlĀ framework:Ā risksĀ andĀ controlsĀ areĀ subjectĀ toĀ discussionĀ atĀ quarterly Board meetings.Ā EveryĀ projectĀ undertaken byĀ theĀ GroupĀ isĀ analysedĀ withĀ aĀ viewĀ toĀ limitingĀ theĀ risksĀ toĀ the GroupĀ andĀ itsĀ StakeholdersĀ beforeĀ proceedingĀ withĀ implementation.
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KeyĀ performanceĀ indicatorsĀ (KPIs)
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ManagementĀ areĀ closelyĀ involvedĀ inĀ the dayĀ to dayĀ operationsĀ ofĀ theĀ GroupĀ andĀ constantly monitorĀ cashflowsĀ and expenditure.Ā Ā However,Ā ManagementĀ believeĀ theĀ keyĀ indicatorsĀ ofĀ performanceĀ forĀ theĀ GroupĀ areĀ the revenueĀ andĀ profitabilityĀ achievedĀ duringĀ theĀ period.Ā Ā TheseĀ measuresĀ areĀ disclosedĀ aboveĀ inĀ theĀ operations review.
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DevelopmentĀ PipelineĀ &Ā outlook
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TheĀ yearĀ under review wasĀ notĀ withoutĀ itsĀ difficulties.Ā In theĀ residentialĀ divisionĀ delaysĀ occurredĀ onĀ theĀ building programmeĀ forĀ theĀ variousĀ propertiesĀ thatĀ wereĀ stillĀ inĀ theĀ courseĀ ofĀ construction, orĀ beingĀ finishedĀ off,Ā with contractorsĀ appointedĀ toĀ completeĀ theĀ worksĀ butĀ unableĀ toĀ followĀ theĀ timetableĀ laidĀ downĀ forĀ completionĀ of thoseĀ works. The delaysĀ leadĀ toĀ escalatingĀ interestĀ costsĀ onĀ borrowingĀ andĀ thereforeĀ affectedĀ the profitabilityĀ ofĀ theĀ completed unitsĀ that wereĀ for sale,Ā onĀ the disposalĀ ofĀ the same. During the year all remaining 6 units at the Sheerness site sold.
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CurrentlyĀ theĀ GroupĀ holdsĀ four rented properties within its subsidiary.Ā Ā These propertiesĀ valuedĀ atĀ Ā£1,975,000Ā as investmentĀ properties have generated rental income and are let on Assured Shorthold Tenancy Agreements, generating rental income substantially in excess of the borrowing cost of each property.
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WhilstĀ TR+Ā continueĀ toĀ identifyĀ andĀ secureĀ newĀ landĀ opportunities forĀ extra/careĀ andĀ assistedĀ living,Ā theyĀ are equally focusedĀ onĀ obtaining aĀ successful outcome onĀ sitesĀ currentlyĀ underĀ optionĀ and/orĀ inĀ forĀ planning. OnceĀ planning hasĀ been achievedĀ theĀ sitesĀ can beĀ builtĀ outĀ andĀ placedĀ forĀ saleĀ onĀ theĀ openĀ market, orĀ inĀ the caseĀ ofĀ theĀ smallerĀ residential schemes,Ā soldĀ onĀ withĀ planning,Ā bothĀ optionsĀ beingĀ profitableĀ toĀ theĀ business. OptionsĀ haveĀ beenĀ securedĀ forĀ residentialĀ development inĀ Ashtead, & Epsom and subsequently sold for profit during the year.Ā Going forward options still remain onĀ LeatherheadĀ andĀ SendĀ but planning has not been forthcoming and this is now lodged for appeal.Ā ItĀ isĀ ourĀ intentionĀ toĀ developĀ theĀ LeatherheadĀ andĀ SendĀ sitesĀ onceĀ the favourable outcome of the appeal is known.
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FinancialĀ Instruments
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InformationĀ relatingĀ toĀ theĀ financialĀ instrumentsĀ isĀ nowĀ includedĀ inĀ theĀ Directors'Ā ReportĀ on pagesĀ 8-11.
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PaulĀ Treadaway
Director
6 SeptemberĀ 2021
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TrafalgarĀ PropertyĀ GroupĀ Plc
DIRECTORS'Ā REPORT
forĀ theĀ yearĀ endedĀ 31Ā MarchĀ 2021
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DIRECTORS'Ā REPORT
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TheĀ DirectorsĀ presentĀ their ReportĀ and AuditedĀ FinancialĀ StatementsĀ forĀ theĀ yearĀ endedĀ 31Ā MarchĀ 2021.
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ResultsĀ andĀ dividends
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TheĀ resultsĀ forĀ theĀ yearĀ are set outĀ onĀ page 19.
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TheĀ DirectorsĀ doĀ notĀ recommendĀ theĀ paymentĀ ofĀ a finalĀ dividendĀ forĀ theĀ yearĀ (2020:Ā nil).
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Directors
The followingĀ DirectorsĀ haveĀ heldĀ officeĀ sinceĀ 1 AprilĀ 2020Ā andĀ haveĀ allĀ servedĀ forĀ theĀ entireĀ accountingĀ year:- NĀ AĀ C Lott
JĀ Dubois
Ā Ā P A Treadaway
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AppointedĀ in year:
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G Thorneycroft- 24 November 2020
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TheĀ CompanyĀ hasĀ inĀ placeĀ an insuranceĀ policyĀ inĀ relationĀ toĀ DirectorsĀ indemnityĀ duringĀ bothĀ years.
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ConflictsĀ ofĀ interest
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UnderĀ theĀ articlesĀ ofĀ associationĀ ofĀ theĀ companyĀ andĀ inĀ accordanceĀ withĀ theĀ provisionsĀ ofĀ theĀ CompaniesĀ Act
2006,Ā aĀ Director mustĀ avoidĀ aĀ situationĀ where heĀ has,Ā orĀ can have,Ā aĀ direct orĀ indirectĀ interestĀ thatĀ conflicts,Ā or possiblyĀ mayĀ conflictĀ withĀ theĀ company'sĀ interests.Ā Ā However,Ā theĀ DirectorsĀ mayĀ authoriseĀ conflictsĀ and potentialĀ conflicts,Ā asĀ theyĀ deemĀ appropriate.Ā Ā AsĀ aĀ safeguard,Ā onlyĀ DirectorsĀ whoĀ haveĀ noĀ interestĀ inĀ the matterĀ beingĀ consideredĀ willĀ beĀ ableĀ toĀ takeĀ theĀ relevantĀ decision,Ā andĀ theĀ DirectorsĀ willĀ beĀ ableĀ toĀ impose limitsĀ orĀ conditionsĀ whenĀ givingĀ authorisationĀ ifĀ theyĀ thinkĀ thisĀ isĀ appropriate. Ā DuringĀ theĀ financialĀ yearĀ ended
31Ā MarchĀ 2021,Ā theĀ DirectorsĀ haveĀ authorisedĀ no suchĀ conflictsĀ orĀ potentialĀ conflicts.
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Directors' interests in the shares of the Company, including family interests, at 31March 2021 were as follows: -
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Directors' interests in shares | Ā 31.03.2021 | Ā 31.03.2020 |
Ā | Ordinary shares - 0.1p each | Ā Ā Ā Ā Ā Ā Ā Ordinary shares - 0.01p each |
J Dubois | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 400,000 | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 4,000,000 |
N Lott | Ā Ā Ā Ā 50,000 | Ā Ā 500,000 |
D C Stocks | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā - | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 80,330,532 |
P Treadaway | Ā Ā Ā Ā 19,733,466 | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 106,484,658 |
G Thorneycroft | Ā Ā Ā Ā Ā 600,000 | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā - |
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Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Deferred shares - 0.9p each Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Deferred shares - 0.9p each
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J Dubois Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 1,900,000Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 1,500,000
N LottĀ Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 550,000Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 500,000Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā
D C Stocks Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā -Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā -
P TreadawayĀ Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 10,648,466Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā -
G ThorneycroftĀ Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā -Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā -
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Shares shown Ā for the year Ā to 31 March Ā 2021 are Ā statedĀ following Ā consolidation of ordinary shares from 0.01p to 0.1p and deferred shares from 0.09p to 0.9p.
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On 13 July 2020 each ordinary share of 0.1p was sub-divided into one ordinary share of 0.01p each and one deferred share of 0.09p each,
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On 14 July 2020 Ā 937,500,000 ordinary shares of 0.01p were issued at 0.08p per share (including a share premium of Ā 0.07p per share) under a placing to raise Ā£ 750,000 before costs of Ā£ 66,863.Ā A loan note instrument Ā
was entered into with Mr C C Johnson on 13 July 2020 as part of an arrangement to reorganize loans between himself and the Group.Ā Warrants to subscribe for up to 937,500,000 ordinary shares of 0.01p were granted to placees on a one for one basis exercisable for a period of two year from 14 July 2020, and were also granted to Peterhouse Capital Limited to subscribe for shares equivalent up to 3% of the issued ordinary share capital from time to time, for a period of two years from 14 July 2020.Ā Finally on 29 December 2020 the ordinary shares of 0.01p each were consolidated into ordinary shares of 0.1p each.Ā Ā Further details on all these items are given in Note 15 to the accounts.
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CĀ CĀ Johnson, Ā AĀ DĀ JohnsonĀ wereĀ shareholders Ā Ā (but notĀ directors) Ā asĀ atĀ 31Ā March,Ā 2020 Ā & Ā 31 March,Ā 2021.
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OtherĀ substantialĀ shareholdings
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AsĀ atĀ 2 September 2021,Ā beingĀ theĀ latestĀ practicable dateĀ beforeĀ theĀ issueĀ ofĀ theseĀ financial statements, the companyĀ hadĀ beenĀ notifiedĀ ofĀ theĀ followingĀ shareholdingsĀ whichĀ constituteĀ 3%Ā orĀ moreĀ ofĀ theĀ totalĀ issuedĀ shares ofĀ theĀ companyĀ atĀ thatĀ date.
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Ā | Ordinary shares No 0.1p | Ā Shareholding % |
Ā C.C. Johnson | Ā 18,681,580 | Ā 13.11 |
P Treadaway | 19,773,466 | 13.87 Ā |
R & C Edwards | 12,955,720 | Ā 9.09 |
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StatementĀ ofĀ directors'Ā responsibilities
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Company lawĀ requiresĀ theĀ DirectorsĀ toĀ prepareĀ financialĀ statementsĀ forĀ eachĀ financialĀ year. Ā UnderĀ thatĀ lawĀ the DirectorsĀ haveĀ elected to prepareĀ theĀ consolidatedĀ financialĀ statementsĀ inĀ accordanceĀ with InternationalĀ Financial Reporting Standards (IFRS) and IFRS in conformity with the requirements of Companies Act 2006 and theĀ CompanyĀ financialĀ statementsĀ inĀ accordanceĀ withĀ FRSĀ 102Ā andĀ applicableĀ law.Ā Ā UnderĀ companyĀ lawĀ the DirectorsĀ must notĀ approveĀ theĀ financialĀ statementsĀ unlessĀ theyĀ areĀ satisfiedĀ that theyĀ giveĀ aĀ true andĀ fair viewĀ of theĀ stateĀ ofĀ affairsĀ ofĀ theĀ GroupĀ andĀ ofĀ theĀ profitĀ orĀ lossĀ ofĀ theĀ GroupĀ forĀ thatĀ year. Ā InĀ preparingĀ theseĀ financial statements,Ā theĀ DirectorsĀ areĀ requiredĀ to:Ā
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ļ·Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā selectĀ suitableĀ accountingĀ policiesĀ andĀ thenĀ applyĀ themĀ consistently;
ļ·Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā makeĀ judgementsĀ andĀ estimatesĀ thatĀ areĀ reasonableĀ andĀ prudent;
ļ·Ā Ā stateĀ whetherĀ applicableĀ AccountingĀ StandardsĀ haveĀ beenĀ followed,Ā subjectĀ toĀ anyĀ materialĀ departures disclosedĀ andĀ explainedĀ inĀ theĀ financialĀ statements;
ļ·Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā prepareĀ theĀ financialĀ statementsĀ onĀ theĀ goingĀ concernĀ basis unlessĀ itĀ isĀ inappropriateĀ toĀ presumeĀ that the
GroupĀ willĀ continueĀ inĀ business.
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TheĀ DirectorsĀ areĀ responsibleĀ for keepingĀ adequateĀ accountingĀ recordsĀ thatĀ areĀ sufficientĀ to showĀ andĀ explainĀ the Group'sĀ transactions andĀ discloseĀ withĀ reasonableĀ accuracyĀ atĀ anyĀ timeĀ theĀ financialĀ positionĀ ofĀ theĀ GroupĀ and enableĀ themĀ toĀ ensureĀ thatĀ theĀ financialĀ statementsĀ complyĀ withĀ theĀ CompaniesĀ ActĀ 2006.Ā Ā TheyĀ areĀ also responsibleĀ forĀ safeguardingĀ theĀ assetsĀ ofĀ theĀ companyĀ andĀ henceĀ forĀ takingĀ reasonableĀ stepsĀ forĀ theĀ prevention andĀ detectionĀ ofĀ fraudĀ andĀ otherĀ irregularities.
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TheyĀ areĀ furtherĀ responsibleĀ forĀ ensuring thatĀ theĀ StrategicĀ ReportĀ andĀ theĀ ReportĀ ofĀ theĀ Directors andĀ other information includedĀ inĀ theĀ AnnualĀ ReportĀ andĀ FinancialĀ StatementsĀ isĀ preparedĀ inĀ accordanceĀ withĀ applicable lawĀ inĀ theĀ UnitedĀ Kingdom.
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TheĀ maintenanceĀ andĀ integrityĀ ofĀ theĀ GroupĀ websiteĀ isĀ theĀ responsibilityĀ ofĀ theĀ Directors;Ā theĀ workĀ carriedĀ outĀ by theĀ auditorsĀ doesĀ notĀ involveĀ theĀ considerationĀ ofĀ these Ā mattersĀ and,Ā accordingly,Ā theĀ auditorsĀ acceptĀ no responsibility orĀ anyĀ changesĀ thatĀ mayĀ haveĀ occurredĀ inĀ theĀ accountsĀ sinceĀ theyĀ wereĀ initiallyĀ presentedĀ onĀ the website.
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Legislation inĀ theĀ UnitedĀ KingdomĀ governingĀ theĀ preparationĀ andĀ dissemination ofĀ theĀ accountsĀ andĀ theĀ other informationĀ includedĀ inĀ annualĀ reportsĀ mayĀ differĀ fromĀ legislationĀ inĀ otherĀ jurisdictions.
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CorporateĀ GovernanceĀ Statement
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TheĀ BoardĀ ofĀ theĀ GroupĀ recogniseĀ theĀ valueĀ ofĀ goodĀ corporateĀ governanceĀ andĀ implemented corporateĀ governanceĀ procedures during the previous year and continued to use these during the financial year to 31 March 2021.Ā These procedures are appropriateĀ forĀ theĀ presentĀ sizeĀ ofĀ theĀ entityĀ having givenĀ dueĀ regardĀ toĀ theĀ CorporateĀ Governance CodeĀ forĀ SmallĀ andĀ Mid-SizeĀ QuotedĀ Companies issuedĀ byĀ the QuotedĀ Companies AllianceĀ ("QCA"). Ā The CompanyĀ hasĀ decided toĀ applyĀ theĀ QCAĀ CorporateĀ GovernanceĀ CodeĀ ("QCAĀ Code")Ā issuedĀ byĀ theĀ QCAĀ inĀ MayĀ 2018Ā andĀ has publishedĀ onĀ itsĀ websiteĀ detailsĀ ofĀ theĀ QCAĀ Code,Ā howĀ theĀ Company hasĀ compliedĀ withĀ theĀ QCAĀ CodeĀ and, whereĀ itĀ departsĀ fromĀ theĀ QCAĀ Code,Ā anĀ explanationĀ ofĀ theĀ reasonsĀ forĀ doingĀ so. The Board has considered the Streamlined Energy and Carbon Reporting requirements and conclude that the Group has not consumed more than 40,000 kWh of energy and therefore qualifies as a low energy user and is exempt from reporting under these regulations.
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BoardĀ Structure
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TheĀ BoardĀ consists ofĀ four Ā Directors (2020: three) ofĀ whichĀ three areĀ executiveĀ andĀ oneĀ non-executive,Ā allĀ ofĀ whomĀ holdĀ shares inĀ theĀ Group.
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TheĀ BoardĀ meets asĀ andĀ whenĀ required andĀ isĀ satisfiedĀ thatĀ itĀ isĀ providedĀ withĀ information inĀ anĀ appropriate formĀ andĀ qualityĀ toĀ enableĀ itĀ toĀ dischargeĀ itsĀ duties. Ā AllĀ DirectorsĀ areĀ requiredĀ toĀ retireĀ byĀ rotation withĀ one quarterĀ ofĀ theĀ BoardĀ seekingĀ re-electionĀ eachĀ year.
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DueĀ toĀ theĀ currentĀ sizeĀ ofĀ theĀ Group,Ā the dutiesĀ thatĀ wouldĀ normallyĀ beĀ attributedĀ toĀ TheĀ NominationĀ Committee, haveĀ beenĀ undertakenĀ byĀ theĀ BoardĀ asĀ a whole.
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TheĀ BoardĀ hasĀ undertakenĀ aĀ formalĀ assessmentĀ ofĀ theĀ auditor's independenceĀ andĀ willĀ continueĀ toĀ doĀ soĀ atĀ least annually.Ā ThisĀ assessmentĀ includes:
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ļ·Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā a reviewĀ ofĀ non-auditĀ servicesĀ providedĀ toĀ theĀ companyĀ andĀ theĀ relatedĀ fees;
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ļ·Ā Ā aĀ reviewĀ ofĀ the auditor'sĀ own proceduresĀ forĀ ensuringĀ theĀ independenceĀ ofĀ the audit firmĀ and parties andĀ staffĀ involvedĀ inĀ theĀ audit,Ā includingĀ regularĀ rotationĀ ofĀ theĀ auditĀ partner;Ā and
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ļ·Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā obtainingĀ confirmationĀ fromĀ theĀ auditorĀ that,Ā inĀ theirĀ professionalĀ judgement,Ā theyĀ areĀ independent.
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InternalĀ Controls
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TheĀ BoardĀ isĀ responsibleĀ forĀ theĀ Group'sĀ systemĀ ofĀ internalĀ controlsĀ andĀ forĀ reviewing theirĀ effectiveness. Ā The internalĀ controlsĀ areĀ designedĀ toĀ ensureĀ theĀ reliability ofĀ financialĀ information forĀ bothĀ internalĀ andĀ external purposes. Ā TheĀ Directors areĀ satisfiedĀ thatĀ theĀ currentĀ controlsĀ areĀ effectiveĀ withĀ regardĀ toĀ theĀ sizeĀ ofĀ theĀ Group. Any internalĀ controlĀ system can onlyĀ provide reasonable,Ā butĀ notĀ absoluteĀ assuranceĀ againstĀ materialĀ mis- statementĀ orĀ loss. Ā GivenĀ theĀ sizeĀ ofĀ theĀ Group,Ā theĀ BoardĀ hasĀ assessedĀ thatĀ thereĀ isĀ currently noĀ needĀ forĀ an internalĀ audit function.
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FinancialĀ Instruments
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TheĀ Group'sĀ principalĀ financialĀ instruments compriseĀ cashĀ atĀ bank,Ā bankĀ loans,Ā otherĀ loansĀ andĀ variousĀ items withinĀ currentĀ assetsĀ andĀ currentĀ liabilitiesĀ that ariseĀ directly fromĀ its operations.Ā The DirectorsĀ considerĀ thatĀ the keyĀ financialĀ riskĀ isĀ liquidity. Ā ThisĀ riskĀ isĀ explainedĀ inĀ theĀ sectionĀ headedĀ 'PrincipalĀ risksĀ andĀ uncertainties' in theĀ AnnualĀ ReportĀ andĀ AccountsĀ on pageĀ 5.
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InformationĀ relatingĀ toĀ theĀ financialĀ instrumentsĀ isĀ nowĀ includedĀ inĀ theĀ StrategicĀ ReportĀ onĀ pagesĀ 5-7.
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FutureĀ Developments
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InformationĀ relatingĀ toĀ futureĀ developmentsĀ isĀ includedĀ inĀ theĀ StrategicĀ ReportĀ onĀ pagesĀ 5-7.
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ProvisionĀ ofĀ informationĀ toĀ auditor
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EachĀ ofĀ theĀ personsĀ whoĀ areĀ DirectorsĀ atĀ theĀ timeĀ whenĀ thisĀ Directors'Ā ReportĀ isĀ approvedĀ hasĀ confirmedĀ that:
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ļ·Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā soĀ farĀ asĀ thatĀ DirectorĀ isĀ aware,Ā thereĀ isĀ noĀ relevantĀ auditĀ informationĀ ofĀ whichĀ theĀ Group'sĀ auditorĀ is
unaware;Ā and
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ļ·Ā Ā thatĀ DirectorĀ hasĀ takenĀ allĀ theĀ stepsĀ thatĀ oughtĀ toĀ haveĀ beenĀ takenĀ asĀ aĀ DirectorĀ inĀ orderĀ toĀ beĀ awareĀ of anyĀ information neededĀ byĀ theĀ Group'sĀ auditorĀ inĀ connectionĀ withĀ preparing theirĀ reportĀ andĀ toĀ establish thatĀ theĀ Group'sĀ auditorĀ isĀ awareĀ ofĀ theĀ information.
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Auditor
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TheĀ auditor,Ā MHAĀ MacIntyreĀ Hudson,Ā willĀ beĀ proposedĀ forĀ re-appointmentĀ inĀ accordanceĀ withĀ SectionĀ 489Ā of the CompaniesĀ ActĀ 2006.
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ThisĀ reportĀ wasĀ approvedĀ byĀ theĀ BoardĀ andĀ signedĀ onĀ itsĀ behalf.
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PaulĀ TreadawayĀ Director
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6 September Ā 2021
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TrafalgarĀ PropertyĀ GroupĀ Plc
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF TRAFALGAR PROPERTY GROUP PLC
forĀ theĀ yearĀ endedĀ 31Ā MarchĀ 2021
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For the purpose of this report, the terms "we" and "our" denote MHA MacIntyre Hudson in relation to UK legal, professional and regulatory responsibilities and reporting obligations to the members of Trafalgar Property Group plc. For the purposes of the table on pages 14 to 15 that sets out the key audit matters and how our audit addressed the key audit matters, the terms "we" and "our" refer to MHA MacIntyre Hudson. The Group financial statements, as defined below, consolidate the accounts of Trafalgar Property Group plc and its subsidiaries (the "Group"). The "Parent Company" is defined as Trafalgar Property Group plc. The relevant legislation governing the Parent Company is the United Kingdom Companies Act 2006 ("Companies Act 2006").
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Our opinionĀ Ā Ā Ā Ā Ā Ā
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We have audited the financial statements of Trafalgar Property Group plc for the year ended 31 March 2021.
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The financial statements that we have audited comprise:
Ā·Ā Ā Ā Ā Ā Group Income Statement and Statement of Comprehensive Income.
Ā·Ā Ā Ā Ā Ā Group and Company Statements of Financial Position
Ā·Ā Ā Ā Ā Ā Group and Company Statements of Changes In Equity
Ā·Ā Ā Ā Ā Ā Group Statements of Cash Flows
Ā·Ā Ā Ā Ā Ā Notes 1 to 21 of the consolidated financial statements, including the accounting policies & notes 1 to 14 of the parent company financial statements, including the accounting Ā policies.
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The financial reporting framework that has been applied in their preparation is applicable law and international accounting standards in conformity with the requirements of the Companies Act 2006.Ā Ā Ā Ā Ā
In our opinion, the financial statements:
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Ā·Ā Ā Ā Ā Ā give a true and fair view of the state of the Group's and of the parent Company's affairs as at 31 March 2021 and the Group's loss for the year then ended.
Ā·Ā Ā Ā Ā Ā have been properly prepared in accordance with UK adopted international accounting standards and international accounting standards Ā in conformity with the requirements of the Companies Act 2006 and
Ā·Ā Ā Ā Ā Ā have been prepared in accordance with the requirements of the Companies Act 2006.
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Our opinion is consistent with our reporting to the Directors.
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Basis for opinion
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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 Group 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 as applied to listed entities, and we have fulfilled our ethical responsibilities in accordance with those requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
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Material uncertainty related to going concern
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We draw your attention to the going concern section of the accounting policies in the financial statements which states that the Group incurred substantial losses during the year and the continued requirements for successful future equity or debt fund raising. The impact of this together with other matters set out in the note, indicate a material uncertainty exists that may cast significant doubt on the group's ability to continue as a going concern. Our opinion is not modified in respect of this matter.
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Our evaluation of the Directors' assessment of the Group and Parent Company's ability to continue to adopt the going concern basis of accounting included:
Ā·Ā Ā Ā Ā Ā The consideration of inherent risks to the Company's operations and specifically its business model.
Ā·Ā Ā Ā Ā Ā The evaluation of how those risks might impact on the Company's available financial resources.
Ā·Ā Ā Ā Ā Ā Where additional resources may be required the reasonableness and practicality of the assumptions made by the Directors when assessing the probability and likelihood of those resources becoming available.
Ā·Ā Ā Ā Ā Ā Liquidity considerations including examination of cash flow projections.
Ā·Ā Ā Ā Ā Ā Solvency considerations including examination of budgets and forecasts and their basis of preparation, including review and assessment of the model's mechanical accuracy and the reasonableness of assumptions included within.
Ā·Ā Ā Ā Ā Ā Consideration of availability of funds required to settle funding facilities due for repayment during the going concern review period. Assessing the reasonableness and practicality of the mitigation measures identified by management in their conservative case scenario and considered by them in arriving at their conclusions about the existence of any uncertainties in respect of going concern.
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Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.
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Overview of our audit approach
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Materiality | 2021 | 2020 | Ā | |
Group | Ā£58,500 Ā | Ā£68,000 Ā | 2% of Gross Assets | |
Parent | Ā£22,000 Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā | Ā£7,000 | 2% of Gross Assets | |
Key Audit Matters | Ā | Ā | ||
Group | Ā·Ā Ā Ā Ā Ā Undisclosed Related Party Transactions | Ā | ||
Ā | Ā | Ā | Ā | Ā |
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Key Audit Matters
Key Audit Matters are those matters that, in our professional judgement, were of most significance in our audit of the financial statements of the current period and include the most significant assessed risks of material misstatement (whether or not due to fraud) that we identified. These matters included those matters which had the greatest effect on: the overall audit strategy, the allocation of resources in the audit; and directing the efforts of the engagement team and, as required for public interest entities, our results from those procedures. These matters were addressed in the context of our audit of the financial statements as a whole, and in forming our opinion thereon, and we do not provide a separate opinion on these matters.
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Undisclosed Related Party Transactions | |
Key audit matter description | The Group enters into a significant number of transactions with related parties, both intra-group transactions and with individuals related to the Group. There is a risk that transactions (particularly any transactions which are not at arm's length) and balances with related parties are undisclosed. Ā |
How the scope of our audit responded to the key audit matter | Our procedures included an assessment of the presentation of related party transactions in the financial statements, this focused primarily on the Directors loan accounts. Ā We reviewed movements on these balances in the year and vouched items to supporting evidence. Ā We discussed with management the nature and purpose of these items and considered whether disclosure sufficiently addressed these matters. Ā In addition, we obtained written confirmations of the balances from all disclosed parties and confirmed key terms to agreements. Ā |
Key observations Ā | We concluded that the classification and disclosure of related party transactions is complete and appropriate. Ā |
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Our application of materiality
Our definition of materiality considers the value of error or omission on the financial statements that, individually or in aggregate, would change or influence the economic decision of a reasonably knowledgeable user of those financial statements.Ā Misstatements below these levels will not necessarily be evaluated as immaterial as we also take account of the nature of identified misstatements, and the particular circumstances of their occurrence, when evaluating their effect on the financial statements as a whole. Materiality is used in planning the scope of our work, executing that work and evaluating the results.
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Materiality in respect of the Group was set at Ā£58,500 (2020: Ā£68,000) which was determined based on 2% of gross assets in both years. Gross assets were deemed to be the most appropriate metric for materiality as this is primarily what the users of the financial statements are concerned with. |
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Performance materiality is the application of materiality at the individual account or balance level, set at an amount to reduce to an appropriately low level the probability that the aggregate of uncorrected and undetected misstatements exceeds materiality for the financial statements as a whole.
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Performance materiality for the Group was set at Ā£35,100 (2019: Ā£40,800) which represents 60% (2020: 60%) of the above materiality levels. Ā |
The determination of performance materiality reflects our assessment of the risk of undetected errors existing, the nature of the systems and controls and the level of misstatements arising in previous audits.
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Materiality in respect of the parent was set at Ā£22,000 (2020: Ā£7,000) which was determinedĀ based on 2% of gross assets. Performance materiality for the parent company was set at Ā£13,200Ā (2020: Ā£4,200) which represents 60% (2020: 60%) of the above materiality levels.
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We agreed to report any corrected or uncorrected adjustments exceeding Ā£2,925 to the directors as well as differences below this threshold that in our view warranted reporting on qualitative grounds. Ā |
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The scope of our audit
Our Group audit was scoped by obtaining an understanding of the Group and its environment, including the Group's system of internal control, and assessing the risks of material misstatement in the financial statements.Ā We also addressed the risk of management override of internal controls, including assessing whether there was evidence of bias by the directors that may have represented a risk of material misstatement.
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The Group consists of 6 reporting components all of which were considered to be significant components of the Group, Trafalgar Property Group Plc, Trafalgar New Homes Limited, Trafalgar Retirement + Limited, Combe Bank Hones (Oakhurst) Limited, Combe Homes (Borough Green) Ltd and Selmat Limited. The significant components were subjected to full scope audits for the purposes of our audit report on the Group financial statements.
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Reporting on 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.
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We have nothing to report in this regard.
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Opinions on other matters prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of the audit:
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Ā·Ā Ā Ā Ā Ā 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
Ā·Ā Ā Ā Ā Ā the strategic report and the directors' report have been prepared in accordance with applicable legal requirements.
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Matters on which we are required to report by exception
In the light of the knowledge and understanding of the Group and the Parent 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.
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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:
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Ā·Ā Ā Ā Ā Ā adequate accounting records have not been kept by the Parent Company, or returns adequate for our audit have not been received by branches not visited by us; or
Ā·Ā Ā Ā Ā Ā the financial statements of the Parent Company are not in agreement with the accounting records and returns; or
Ā·Ā Ā Ā Ā Ā certain disclosures of directors' remuneration specified by law are not made; or
Ā·Ā Ā Ā Ā Ā we have not received all the information and explanations we require for our audit.
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Responsibilities of directors
As explained more fully in the directors' responsibilities statement, 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.
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In preparing the financial statements, the directors are responsible for assessing the Group's and the parent 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 Group or the parent Company or to cease operations, or have no realistic alternative but to do so.
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Auditor's responsibilities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists.
Misstatements can arise from fraud or error and are considered material if, individually or in 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.
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.
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The specific procedures for this engagement and the extent to which these are capable of detecting irregularities, including fraud is detailed below:
Ā·Ā Ā Ā Ā Ā Obtaining an understanding of the legal and regulatory frameworks that the Group operates in, focusing on those laws and regulations that had a direct effect on the financial statements. The key laws and regulations we considered in this context included the UK Companies Act 2006, AIM regulations and applicable tax legislation. In addition, we considered compliance with the UK Bribery Act and employee legislation, as fundamental to the Group's operations.
Ā·Ā Ā Ā Ā Ā Enquiry of management to identify any instances of non-compliance with laws and regulations.
Ā·Ā Ā Ā Ā Ā Enquiry of management around actual and potential litigation and claims.
Ā·Ā Ā Ā Ā Ā Enquiry of management concerning actual and potential litigation and claims.
Ā·Ā Ā Ā Ā Ā Enquiry of management to identify any instances of known or suspected instances of fraud.
Ā·Ā Ā Ā Ā Ā Discussing among the engagement team regarding how and where fraud might occur in the financial statements and any potential indicators of fraud.
Ā·Ā Ā Ā Ā Ā Reading key correspondence with regulatory authorities such as the Financial Reporting Council.
Ā·Ā Ā Ā Ā Ā 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
Ā·Ā Ā Ā Ā Ā Challenging assumptions and judgements made by management in their significant accounting estimates, in particular with respect to the valuations of investments and bonds.
A further description of our responsibilities for the financial statements is located on the FRC's website at: www.frc.org.uk/auditorsresponsibilities . This description forms part of our auditor's report.
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Use of our report
This report is made solely to the Company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the Company's members those matters we are required to state to them in an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the Company and the Company's members as a body, for our audit work, for this report, or for the opinions we have formed.
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Andrew Moyser FCA FCCA
(Senior Statutory Auditor)
for and on behalf of MHA MacIntyre Hudson , London
Statutory Auditor
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6 September 2021
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TrafalgarĀ PropertyĀ GroupĀ Plc
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
forĀ theĀ yearĀ endedĀ 31Ā MarchĀ 2021
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Ā | Ā | Year ended Ā 31 March | Ā | Year ended Ā 31 March |
Ā | Ā Note | 2021 | Ā | 2020 Ā |
Ā | Ā | Ā£ | Ā | Ā£ |
Ā Revenue | Ā 1 | Ā 2,285,800 | Ā | Ā 1,970,106 |
Ā Cost of sales | Ā | Ā Ā Ā (1,963,794) | Ā | Ā Ā Ā Ā (1,816,038) |
Ā Gross profit | Ā | Ā Ā Ā Ā Ā Ā 322,006 | Ā | Ā Ā 154,068 |
Ā Administrative expenses | Ā | Ā (463,963) | Ā | Ā (541,397) |
Ā Operating (loss) | Ā 3 | Ā (141,957) | Ā | Ā (387,329) |
Ā (Loss) before interest and exceptional items | Ā | Ā (141,957) | Ā | Ā (387,329) |
Ā Other income | Ā 2 | Ā 27,023 | Ā | Ā - |
Ā Exceptional items | Ā 19 | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā - | Ā | Ā Ā (595,452) |
Ā Interest payable and similar charges | Ā 5 | Ā Ā Ā Ā Ā Ā (214,260) | Ā | Ā (40,117) |
Ā (Loss) before taxation | Ā | Ā Ā Ā (329,194) | Ā | Ā (1,022,898) |
Ā Tax payable on (loss) on ordinary activities | Ā 6 | Ā - | Ā | Ā - |
Ā (Loss) after taxation for the year attributable to equity holders of the parent | Ā | Ā Ā Ā Ā Ā Ā (329,194) | Ā | Ā Ā Ā Ā (1,022,898) |
Other comprehensive income attributable to equity holders of the parent | Ā | Ā - | Ā | Ā - |
Ā Total comprehensive (loss) for the year | Ā | Ā Ā Ā (329,194) | Ā | Ā (1,022,898) |
Ā (Loss) attributable to: | Ā | Ā | Ā | Ā |
Equity holders of the Parent | Ā Ā Ā | Ā Ā (329,194) | Ā | (1,022,898) |
Ā Total comprehensive (loss) for the year attributable to: | Ā | Ā | Ā | Ā |
Equity holders of the Parent | Ā | Ā Ā (329,194) | Ā | (1,022,898) |
Ā (LOSS) PER ORDINARY SHARE: Basic/diluted | Ā Ā 7 | Ā Ā Ā Ā Ā Ā Ā Ā Ā (0.34)p | Ā | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā (0.21)p |
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AllĀ resultsĀ inĀ theĀ currentĀ andĀ precedingĀ financialĀ yearĀ deriveĀ fromĀ continuingĀ operations.
TheĀ notesĀ onĀ pagesĀ 22 Ā toĀ 41 areĀ anĀ integralĀ partĀ ofĀ theseĀ consolidatedĀ financialĀ statements
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Trafalgar PropertyĀ Group Plc
CONSOLIDATEDĀ STATEMENTĀ OFĀ FINANCIALĀ POSITION
ForĀ theĀ yearĀ ended 31 March 2021
Ā | Ā Ā | 31 March | Ā | 31 March | ||||
Ā | Ā Note | Ā 2021 | Ā | Ā 2020 | ||||
TOTAL ASSETS | Ā | Ā£ | Ā | Ā£ | ||||
Non-current assets | Ā | Ā | Ā | Ā | ||||
Ā Plant and equipment | Ā 8 | Ā 1,516 | Ā | Ā 1,423 | ||||
Investment property | 9 | Ā Ā Ā Ā Ā Ā 1,975,000 | Ā | Ā Ā 1,975,000Ā Ā Ā Ā | ||||
Ā | Ā | 1,976,516 | Ā | Ā Ā Ā Ā 1,976,423 | ||||
Ā Current assets | Ā | Ā | Ā | Ā | ||||
Inventory | 12 | Ā Ā Ā Ā 78,608 | Ā | 1,212,692 | ||||
Trade and other receivables | 10 | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 33,455 | Ā | 42,299 | ||||
Cash and cash equivalents | 11 | Ā Ā Ā Ā Ā Ā Ā Ā Ā 246,193 | Ā | Ā Ā Ā Ā Ā Ā Ā Ā Ā 27,969 | ||||
Ā | Ā | Ā Ā 358,256 | Ā | 1,282,960 | ||||
Total assets | Ā | 2,334,772 | Ā | 3,259,383 | ||||
Ā EQUITIES & LIABILITIES | Ā | Ā | Ā | Ā | ||||
Ā Current liabilities | Ā | Ā | Ā | Ā | ||||
Trade and other payables | 13 | Ā Ā Ā Ā Ā Ā Ā Ā 478,514 | Ā | 548,804 | ||||
Borrowings | 14 | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā - | Ā | Ā Ā 555,000 | ||||
Ā | Ā | Ā 478,514 | Ā | 1,103,804 | ||||
Ā Non-current liabilities | Ā | Ā | Ā | Ā | ||||
Deferred tax | 6 | - | Ā | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā - | ||||
Borrowings | 14 | 4,818,488 | Ā | 5,575,884 | ||||
Total liabilities | Ā | 5,297,002 | Ā | 6,679,688 | ||||
Ā Ā Equity attributable to equity holders of the Company | Ā | Ā Ā Ā Ā (2,962,230) | Ā | Ā Ā Ā (3,420,305) | ||||
Called up share capital | 15 | 2,726,817 | Ā | 2,633,067 | ||||
Share premium account | Ā | 3,250,249 | Ā | 2,660,862 Ā Ā | ||||
Reverse acquisition reserve | Ā | Ā (2,817,633) | Ā | (2,817,633) | ||||
Loan note equity reserve | Ā Ā Ā Ā 15 & 17 | Ā Ā Ā Ā Ā Ā Ā 104,132 | Ā | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā - | ||||
Profit & loss account | Ā | Ā Ā (6,225,795) | Ā | (5,896,601) Ā | ||||
Total Equity | Ā | (2,962,230) | Ā | (3,420,305) | ||||
Total Equity & Liabilities | Ā | Ā Ā Ā Ā Ā 2,334,772 | Ā | Ā Ā Ā 3,259,383 |
Ā
Ā
Ā
TheseĀ financialĀ statementsĀ wereĀ approvedĀ byĀ theĀ BoardĀ ofĀ DirectorsĀ andĀ authorisedĀ forĀ issueĀ onĀ 6 September,
2021Ā andĀ are signedĀ onĀ itsĀ behalfĀ by:
Ā
Ā
Ā
PĀ Treadaway:Ā ā¦ā¦ā¦ā¦ā¦ā¦ā¦ā¦ā¦ā¦ā¦ā¦ā¦ā¦ā¦.Ā G Thorneycroft:Ā ā¦ā¦ā¦ā¦ā¦ā¦ā¦ā¦ā¦ā¦ā¦ā¦ā¦ā¦ā¦ā¦
TheĀ notesĀ onĀ pagesĀ 22Ā to 41 areĀ anĀ integralĀ partĀ ofĀ theseĀ consolidatedĀ financialĀ statements.
Ā
Ā
Ā
TrafalgarĀ PropertyĀ Group Plc
CONSOLIDATEDĀ STATEMENTĀ OFĀ CHANGESĀ INĀ EQUITY
As at 31 March 2021Ā
Ā
Ā
Ā | Share | Share | Loan Note | Reverse | Retained | Total Equity |
Ā | Ā Ā Ā Ā Capital | Premium | Equity | acquisition | profits/ | Ā |
Ā | Ā | Ā | Reserve | reserve | (losses) | Ā |
Ā | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā£ | Ā Ā Ā Ā Ā Ā Ā£ | Ā Ā Ā Ā Ā Ā Ā£ | Ā Ā Ā Ā£ | Ā Ā Ā Ā Ā Ā Ā Ā Ā£ | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā£ |
At 1 April 2019 | Ā Ā Ā Ā 2,570,567 | Ā Ā Ā Ā Ā 2,510,462 | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā -Ā Ā | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā (2,817,633) | Ā Ā Ā Ā Ā (4,873,703) | Ā Ā Ā Ā Ā Ā Ā (2,610,307) |
Ā | Ā | Ā | Ā | Ā | Ā | Ā |
Loss for the year | Ā | Ā | Ā | Ā | Ā Ā Ā Ā Ā (1,022,898) | Ā Ā Ā Ā Ā Ā Ā (1,022,898) |
Total comprehensive | Ā | Ā | Ā | Ā | Ā | Ā |
Income for the year | Ā | Ā | Ā | Ā | Ā Ā Ā Ā Ā (1,022,898) | Ā Ā Ā Ā Ā Ā Ā (1,022,898) |
Issue of shares | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 62,500 | Ā Ā Ā Ā Ā Ā Ā Ā Ā 187,500 | Ā | Ā | Ā | 250,000 |
Share issue costs | Ā | Ā Ā Ā Ā Ā Ā Ā Ā (37,100) | Ā | Ā | Ā | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā (37,100) |
Ā | Ā | Ā | Ā | Ā | Ā | Ā |
At 31 March 2020 | Ā Ā Ā Ā 2,633,067 | Ā Ā Ā Ā Ā 2,660,862 | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā -Ā Ā | Ā Ā Ā Ā Ā Ā Ā Ā (2,817,633) | Ā Ā Ā Ā Ā (5,896,601) | Ā Ā Ā Ā Ā Ā Ā Ā (3,420,305) |
At 1 April 2020 | Ā Ā Ā Ā 2,633,067 | Ā Ā Ā Ā Ā 2,660,862 | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā -Ā Ā | Ā Ā Ā Ā Ā Ā Ā Ā (2,817,633) | Ā Ā Ā Ā Ā (5,896,601) | Ā Ā Ā Ā Ā Ā (3,420,305) |
Loss for the year | Ā | Ā | Ā | Ā | Ā Ā Ā Ā Ā Ā Ā Ā (329,194) | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā (329,194) |
Total comprehensive | Ā | Ā | Ā | Ā | Ā | Ā |
Income for the year | Ā | Ā | Ā | Ā | Ā Ā Ā Ā Ā Ā Ā Ā Ā (329,194) | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā (329,194) |
Loan note equity reserve | Ā | Ā | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 104,132 | Ā | Ā | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 104,132 |
Issue of shares | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 93,750 | Ā Ā Ā Ā Ā Ā Ā Ā Ā 656,250 | Ā | Ā | Ā | Ā Ā Ā 750,000 |
Share issue costs | Ā | Ā Ā Ā Ā Ā Ā Ā Ā Ā (66,863) | Ā | Ā | Ā | Ā Ā Ā (66,863) |
At 31 March 2021 | Ā Ā Ā Ā 2,726,817 | Ā Ā Ā Ā Ā 3,250,249 | Ā Ā Ā Ā 104,132 | Ā Ā Ā Ā Ā Ā Ā (2,817,633) | Ā Ā Ā Ā Ā (6,225,795) | Ā Ā Ā Ā Ā Ā (2,962,230) |
Ā | Ā | Ā | Ā | Ā | Ā | Ā |
TheĀ reverseĀ acquisition reserveĀ wasĀ createdĀ inĀ accordanceĀ withĀ IFRS3Ā 'BusinessĀ Combinations'. Ā TheĀ reserve arisesĀ dueĀ toĀ theĀ eliminationĀ ofĀ theĀ Company's investmentĀ inĀ TNHĀ (formerlyĀ CombeĀ BankĀ HomesĀ Limited). SinceĀ theĀ shareholders ofĀ TNHĀ becameĀ theĀ majorityĀ shareholders ofĀ theĀ enlargedĀ group,Ā theĀ acquisitionĀ is accountedĀ for Ā as Ā thoughĀ thereĀ is Ā a Ā continuationĀ ofĀ the Ā legalĀ subsidiary'sĀ financialĀ statements.Ā InĀ reverse acquisitionĀ accounting,Ā the Ā businessĀ combination'sĀ costs Ā are Ā deemed Ā to Ā have Ā been Ā incurredĀ by Ā the Ā legal subsidiary.Ā RetainedĀ profit/(losses) relateĀ toĀ theĀ profits/lossesĀ earnedĀ byĀ theĀ businessĀ thatĀ haveĀ notĀ been distributedĀ andĀ haveĀ builtĀ upĀ overĀ theĀ yearsĀ ofĀ trading.
Ā
Further details of share issues in the year are shown in note 15 to the accounts.
Ā
TheĀ notesĀ onĀ pagesĀ 22Ā to 41 areĀ anĀ integralĀ partĀ ofĀ theseĀ consolidatedĀ financialĀ statements.
Ā
Ā
Ā
Ā
TrafalgarĀ PropertyĀ Group Plc
CONSOLIDATEDĀ STATEMENTĀ OFĀ CASH FLOWS
ForĀ theĀ yearĀ ended 31 March 2021Ā Ā Ā
Ā
Ā
Ā | 2021 | 2020 |
Ā | Ā£ | Ā£ |
Cash flow from operating activities | Ā | Ā |
Ā (Loss) after taxation | Ā Ā Ā Ā (329,194) | Ā (1,022,898) |
Depreciation | 506 | 902 |
Decrease in inventory | 1,134,084 | Ā Ā Ā Ā Ā Ā Ā Ā 1,303,640 |
(Increase)/decrease in receivables | Ā Ā Ā Ā Ā Ā Ā Ā Ā (8,844) | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 49,783 |
(Decrease)/increase in payables Ā | Ā Ā Ā Ā Ā Ā Ā (70,290) | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 106,601 Ā |
Taxation | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā - | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā - |
Interest payable and similar charges | Ā Ā Ā Ā Ā Ā Ā 214,260 Ā | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 118,177 Ā |
Net cash inflow from operating activities | Ā Ā Ā Ā Ā Ā Ā 940,522 Ā | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 556,205 Ā |
Ā Investing activities | Ā | Ā |
Ā Purchase of tangible fixed assets | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā (599) Ā | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā (986) Ā |
Ā | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā (599) Ā | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā (986) Ā |
Ā Ā | Ā | Ā |
Ā Financing activities | Ā | Ā |
Ā Issue of shares | Ā Ā Ā Ā Ā Ā Ā 683,137 | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 212,900 |
New loan borrowings | Ā Ā Ā 51,250 | Ā Ā Ā Ā Ā Ā Ā Ā 1,479,373 |
Repaid loan borrowings | Ā Ā (555,000) | Ā Ā Ā Ā Ā Ā (2,502,462) |
Related party new loan borrowing | Ā Ā Ā Ā Ā Ā 430,338 | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 778,418 |
Related party loan repayment | Ā Ā Ā Ā Ā (771,431) | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā - |
Repayment of other borrowings | (490,000) | Ā Ā Ā Ā Ā Ā Ā Ā (400,000) |
Interest paid Ā Ā Ā | Ā Ā Ā Ā Ā Ā (69,993) Ā | Ā Ā Ā Ā Ā Ā Ā Ā (128,279) Ā |
Net cash/(outflow) from financing | Ā Ā Ā Ā (721,699) Ā | Ā Ā Ā Ā Ā Ā Ā Ā (560,050) Ā Ā |
Increase/(decrease) in cash and cash equivalents in the year | Ā Ā Ā Ā Ā Ā Ā 218,224Ā | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā (4,831) |
Ā Cash and cash equivalents at the beginning of the year | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 27,969 | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 32,800 |
Cash and cash equivalents at the end of the year | Ā Ā Ā Ā Ā Ā Ā 246,193 | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 27,969 |
Ā
Ā
Ā
TheĀ notesĀ onĀ pagesĀ 22 to 41 areĀ anĀ integralĀ partĀ ofĀ theseĀ consolidatedĀ financialĀ statements.
Ā
Ā
Ā
TrafalgarĀ PropertyĀ Group Plc
GROUPĀ ACCOUNTINGĀ POLICIES
ForĀ theĀ yearĀ ended 31Ā March 2021
Ā
BASISĀ OFĀ ACCOUNTING
Ā
TheseĀ financialĀ statementsĀ areĀ forĀ TrafalgarĀ PropertyĀ GroupĀ PlcĀ ("the Company")Ā andĀ itsĀ subsidiaryĀ undertakings ('theĀ Group'). Ā TheĀ CompanyĀ isĀ aĀ publicĀ company,Ā limitedĀ byĀ shares andĀ incorporated inĀ EnglandĀ andĀ Wales. (companyĀ numberĀ isĀ 04340125).Ā TheĀ Company'sĀ registeredĀ officeĀ isĀ Chequers Barn,Ā BoughĀ Beech,Ā Edenbridge, Kent,Ā TN8Ā 7PD.
Ā
TheĀ natureĀ ofĀ theĀ Group'sĀ operationsĀ andĀ itsĀ principalĀ activitiesĀ are setĀ outĀ inĀ theĀ StrategicĀ ReportĀ onĀ pageĀ 5. BASISĀ OFĀ PREPARATION
TheĀ GroupĀ financialĀ statements haveĀ beenĀ preparedĀ inĀ accordanceĀ withĀ International Financial Reporting Standards (IFRS) and IFRS in conformity with the requirements of Companies Act 2006.Ā TheseĀ financialĀ statementsĀ areĀ forĀ theĀ yearĀ endedĀ 31Ā March Ā 2021Ā and areĀ presentedĀ inĀ poundsĀ sterlingĀ ("GBP").Ā TheĀ comparativeĀ yearĀ is forĀ theĀ yearĀ toĀ 31Ā MarchĀ 2020.
Ā
TheĀ financialĀ statementsĀ haveĀ beenĀ preparedĀ underĀ theĀ historicalĀ costĀ conventionĀ inĀ accordanceĀ withĀ applicable
UnitedĀ KingdomĀ law. Ā TheĀ principalĀ accountingĀ policiesĀ adoptedĀ are setĀ outĀ below.
Ā
Ā
GOINGĀ CONCERN
Ā
TheĀ DirectorsĀ haveĀ reviewedĀ forecasts andĀ budgetsĀ forĀ theĀ comingĀ year,Ā whichĀ haveĀ beenĀ drawnĀ upĀ with appropriate regardĀ forĀ theĀ currentĀ economicĀ environmentĀ andĀ theĀ particularĀ circumstances inĀ whichĀ theĀ Group operates.Ā TheseĀ wereĀ preparedĀ withĀ referenceĀ toĀ historicalĀ andĀ currentĀ industry knowledge,Ā takingĀ intoĀ account futureĀ strategyĀ ofĀ theĀ Group.
Ā
TheĀ GroupĀ continuesĀ toĀ utiliseĀ bankingĀ sourcesĀ forĀ theĀ financingĀ ofĀ itsĀ developments, togetherĀ withĀ loansĀ from thirdĀ partyĀ investors,Ā toĀ ensureĀ thatĀ thereĀ isĀ sufficientĀ moneyĀ availableĀ forĀ theĀ GroupĀ to undertakeĀ andĀ completeĀ its variousĀ developments.
Ā
TheĀ GroupĀ doesĀ notĀ operateĀ anĀ overdraftĀ facilityĀ butĀ borrowĀ onĀ aĀ siteĀ specificĀ basisĀ fromĀ variousĀ bankers,Ā withĀ a mixĀ ofĀ loansĀ fromĀ outsideĀ investorsĀ gearedĀ toĀ someĀ ofĀ theĀ development propertiesĀ andĀ otherwiseĀ loanedĀ onĀ a generalĀ basisĀ toĀ theĀ Group.
Ā
TheĀ BoardĀ isĀ comfortableĀ withĀ theĀ structureĀ ofĀ itsĀ bankĀ finance, whichĀ usuallyĀ involvesĀ theĀ bank lendingĀ aĀ modest sumĀ towardsĀ theĀ landĀ purchaseĀ forĀ theĀ modestĀ sizedĀ residentialĀ development schemes,Ā withĀ theĀ GroupĀ puttingĀ up the restĀ ofĀ theĀ fundsĀ required toĀ acquireĀ theĀ site andĀ theĀ costsĀ associatedĀ withĀ theĀ acquisitionĀ andĀ thenĀ forĀ theĀ bank toĀ provide 100%Ā ofĀ theĀ buildĀ finance.Ā Ā
Ā
Investor loans thatĀ areĀ notĀ relatedĀ toĀ specificĀ sitesĀ areĀ long termĀ loans withĀ repaymentĀ datesĀ extendingĀ beyond the yearĀ endĀ andĀ have,Ā inĀ theĀ past,Ā beenĀ renewed whenĀ theyĀ comeĀ upĀ forĀ repayment.
Ā
TheĀ existingĀ operationsĀ haveĀ beenĀ generatingĀ fundsĀ toĀ meetĀ short-term operatingĀ cashĀ requirementsĀ and management areĀ confidentĀ thatĀ theĀ expectedĀ salesĀ willĀ allowĀ theĀ GroupĀ toĀ meetĀ loanĀ repayments dueĀ withinĀ the nextĀ twelve monthsĀ orĀ thatĀ theĀ loansĀ willĀ beĀ refinanced.
Ā
AsĀ aĀ resultĀ ofĀ theseĀ considerations,Ā atĀ theĀ timeĀ ofĀ approvingĀ theĀ financialĀ statements,Ā theĀ DirectorsĀ considerĀ that theĀ Company andĀ theĀ GroupĀ haveĀ sufficientĀ resourcesĀ toĀ continueĀ inĀ operationalĀ existenceĀ forĀ theĀ foreseeable future.
Ā
HoweverĀ givenĀ thatĀ aĀ degreeĀ ofĀ uncertaintyĀ existsĀ inĀ theĀ timingĀ ofĀ Ā futureĀ sales,Ā andĀ management'sĀ abilityĀ to refinanceĀ allĀ loansĀ dueĀ inĀ theĀ nextĀ twelveĀ months,Ā thereĀ existsĀ aĀ materialĀ uncertainty inĀ relationĀ toĀ theĀ going concernĀ basisĀ adoptedĀ inĀ theĀ preparationĀ ofĀ theĀ financialĀ statements.
Ā
Ā
Ā
Ā
Ā
REVENUE RECOGNITION
RevenueĀ representsĀ the amountsĀ receivable from theĀ sale ofĀ propertiesĀ duringĀ theĀ yearĀ andĀ otherĀ incomeĀ directly associatedĀ withĀ property development. Ā RevenueĀ fromĀ theĀ saleĀ ofĀ propertiesĀ isĀ recognisedĀ whenĀ theĀ amountsĀ of revenueĀ andĀ costĀ canĀ beĀ measured reliably,Ā theĀ significantĀ risksĀ andĀ rewards ofĀ ownership haveĀ beenĀ transferred toĀ theĀ buyer,Ā neither continuingĀ managerialĀ involvementĀ norĀ effectiveĀ controlĀ ofĀ theĀ propertyĀ isĀ retained andĀ itĀ is probableĀ that theĀ economicĀ benefitsĀ associated with theĀ saleĀ willĀ flowĀ toĀ theĀ Group/Company.Ā In theĀ majorityĀ of casesĀ propertiesĀ areĀ treatedĀ asĀ soldĀ andĀ profitsĀ areĀ recognisedĀ atĀ theĀ pointĀ ofĀ legalĀ completion.
Ā
TheĀ DirectorsĀ areĀ ofĀ theĀ opinionĀ thatĀ thisĀ accountingĀ policyĀ accuratelyĀ reflectsĀ commercialĀ realityĀ andĀ the recordingĀ ofĀ revenueĀ forĀ theĀ Group.
Ā
STANDARDSĀ ISSUEDĀ BUTĀ NOTĀ YETĀ EFFECTIVE
Ā
Amendments to IAS 1 Presentation of Financial Statements: Classification of Liabilities as Current or Non-current (issued January 2020)
Ā
The amendments clarify that the classification of a liability as current or non-current is based only on rights existing at the end of the reporting period and the classification is not affected by expectations about whether rights to settle or defer a liability will be exercised. Further, the amendments clarify that the settlement of a liability refers to the transfer of cash, equity instruments, other assets, or services to the counterparty. This amendment only affects presentation.
Ā
The amendment is effective for financial years beginning on or after 1 January 2023 and is not yet endorsed for use under the Companies Act 2006.
Ā
The Group does not expect a material impact on its consolidated financial statements from these amendments.
Ā
Amendments to IAS 16 Property, Plant and Equipment (issued in May 2020)Ā
Ā
The amendments require any proceeds from selling items produced (and related production costs) in the course of bringing an item property, plant and equipment into operation to be recognised in profit or loss clarifying that such items are not reflected in the cost of the asset.
Ā
The amendment is effective for financial years beginning on or after 1 January 2022 and is not yet endorsed for use under the Companies Act 2006.
Ā
The Group does not expect a material impact on its consolidated financial statements from these amendments.
Ā
Amendments to IAS 37 Provisions, Contingent Liabilities and Contingent Assets (issued in May 2020)
Ā
The amendments clarify that the cost of fulfilling a contract are costs that relate directly to that contract. Such costs can be the incremental costs of fulfilling that contract or an allocation of other costs directly related to fulfilling that contract.
Ā
The amendment is effective for financial years beginning on or after 1 January 2022 and is not yet endorsed for use under the Companies Act 2006.
Ā
The Group does not expect a material impact on its consolidated financial statements from these amendments.
Ā
Amendments to IFRS 9, IAS 39, IFRS 7, IFRS 4 and IFRS 16 Interest Rate Benchmark Reform - Phase 2 (issued in August 2020)
Ā
The amendments are aimed at helping companies to provide investors with useful information about the effects of the reform of interest rate benchmarks on those companies' financial statements.
Ā
Ā
Ā
Ā
Ā
The amendments complement those issued in 2019 and focus on the effects on financial statements when a company replaces the old interest rate benchmark with an alternative benchmark rate as a result of the reform.
Ā
The Phase 2 amendments relate to:
Ā
Ā·Ā Ā Ā Ā Ā changes to contractual cash flows-a company will not have to derecognise or adjust the carrying amount of financial instruments for changes required by the reform, but will instead update the effective interest rate to reflect the change to the alternative benchmark rate;
Ā·Ā Ā Ā Ā Ā hedge accounting-a company will not have to discontinue its hedge accounting solely because it makes changes required by the reform, if the hedge meets other hedge accounting criteria; and
Ā·Ā Ā Ā Ā Ā disclosures-a company is required to disclose information about new risks arising from the reform and how it manages the transition to alternative benchmark rates.
Ā
The amendment is effective for financial years beginning on or after 1 January 2022 and is not yet endorsed for use under the Companies Act 2006.
The Group does not expect a material impact on its consolidated financial statements from these amendments.
Amendments to IAS 1 and IFRS Practice Statement 2 Disclosure of Accounting Policies (issued in February 2021)
The amendments enhance the disclosure requirements relating to an entity's accounting policies and clarify that the notes to a complete set of financial statements are required to include material accounting policy information. Material accounting policy information, when considered with other information included in the financial statements, can reasonably be expected to influence decisions that the primary users of financial statements make on the basis of the financial statements
The amendments help preparers determine what constitutes material accounting policy information and notes that accounting policy information which focuses on how IFRS has been applied to its own circumstances is more useful for users of financial statements than standardised information or information duplicating the requirements of IFRS.
The amendment also states that immaterial accounting policy information need not be disclosed but when it is disclosed it shall not obscure material accounting policy information. Further, if accounting policy information is not deemed material this does not affect the materiality of related disclosure requirements of IFRS.
The disclosure of judgements made in applying accounting policies should reflect those that have had the most significant effect on items recognised in the financial statements.
The amendment is effective for financial years beginning on or after 1 January 2022 and is not yet endorsed for use under the Companies Act 2006.
Amendments to IAS 8 Definition of Accounting Estimates (issued in February 2021)
The amendments define accounting estimates as monetary amounts in financial statements that are subject to measurement uncertainty. An accounting policy may require an item in financial statements to be measured at a monetary amount that cannot be observed directly so that in order to achieve the objective of an accounting policy, an estimation is required.
The amendments state that the development of an accounting estimate requires the use of judgement or assumptions based on the latest available reliable information and involve the use of measurement techniques and inputs. Accounting estimates might then need to change as a result of new information, new developments or more experience.
A change in input or measurement technique is a change in accounting estimate which is applied prospectively unless the change results from the correction of prior period errors.
The amendment is effective for financial years beginning on or after 1 January 2023 and is not yet endorsed for use undertheCompaniesAct2006.
Ā
Ā
Ā
Amendments to IAS 12 Deferred Tax related to Assets and Liabilities arising from a Single Transaction (issued 7 May 2021)
The amendments specify how companies should account for deferred tax on transactions such as leases and decommissioning obligations.
In specified circumstances, companies are exempt from recognising deferred tax when they recognise assets or liabilities for the first time. Previously, there had been some uncertainty about whether the exemption applied to transactions such as leases and decommissioning obligations-transactions for which companies recognise both an asset and a liability.Ā
The amendments clarify that the exemption does not apply and that companies are required to recognise deferred tax on such transactions. The aim of the amendments is to reduce diversity in the reporting of deferred tax on leases and decommissioning obligations.
The amendments are effective for annual reporting periods beginning on or after 1 January 2023, with early application permitted and is not yet endorsed for use under the Companies Act 2006.
Ā
Ā
Ā
Ā
Ā
Ā
Ā
BASISĀ OFĀ CONSOLIDATION
Ā
TheĀ consolidatedĀ financialĀ statementsĀ incorporateĀ theĀ financialĀ statementsĀ ofĀ theĀ GroupĀ andĀ itsĀ subsidiaries.
Ā
TheĀ resultsĀ ofĀ subsidiaries acquiredĀ duringĀ theĀ yearĀ areĀ includedĀ fromĀ theĀ dateĀ ofĀ acquisition, beingĀ theĀ dateĀ on whichĀ theĀ GroupĀ obtainsĀ control.Ā TheyĀ areĀ deconsolidatedĀ onĀ theĀ dateĀ thatĀ controlĀ ceases.
Ā
TheĀ consideration transferredĀ forĀ theĀ acquisitionĀ ofĀ aĀ subsidiaryĀ isĀ theĀ fairĀ valueĀ ofĀ theĀ assetsĀ transferred,Ā the liabilitiesĀ incurredĀ and Ā the Ā equityĀ interestsĀ issued Ā byĀ the Ā Group.Ā This Ā fair Ā value Ā includesĀ anyĀ contingent consideration.Ā Acquisition-relatedĀ costsĀ areĀ expensedĀ asĀ incurred.
Ā
When theĀ GroupĀ ceasesĀ toĀ haveĀ control orĀ significantĀ influence, anyĀ retainedĀ interestĀ inĀ theĀ entityĀ isĀ re measured toĀ itsĀ fairĀ value,Ā withĀ theĀ changeĀ inĀ carryingĀ amountĀ recognised inĀ profitĀ orĀ loss. Ā TheĀ fairĀ valueĀ isĀ theĀ initial carryingĀ amountĀ forĀ theĀ purposesĀ ofĀ subsequently accountingĀ forĀ theĀ retainedĀ interestĀ asĀ anĀ associate,Ā joint ventureĀ orĀ financialĀ asset. Ā InĀ addition,Ā anyĀ amountsĀ previouslyĀ recognisedĀ inĀ otherĀ comprehensive incomeĀ in respectĀ ofĀ thatĀ entityĀ areĀ accountedĀ forĀ asĀ ifĀ theĀ GroupĀ hadĀ directly disposedĀ ofĀ theĀ relatedĀ assetsĀ orĀ liabilities. ThisĀ mayĀ meanĀ theĀ amountsĀ previously recognised inĀ otherĀ comprehensive incomeĀ areĀ reclassifiedĀ toĀ profitĀ or loss.
Ā
ControlĀ isĀ achievedĀ whenĀ theĀ Group:
Ā
-Ā Ā Ā Ā Ā Ā hasĀ theĀ powerĀ overĀ theĀ investee;
-Ā Ā Ā Ā Ā Ā isĀ exposedĀ or hisĀ rights,Ā to variableĀ returnsĀ fromĀ itsĀ involvementĀ withĀ theĀ investee;Ā and
-Ā Ā Ā Ā Ā Ā hasĀ theĀ abilityĀ toĀ useĀ itsĀ powerĀ toĀ affectĀ itsĀ returns.
Ā
FUNCTIONALĀ CURRENCY
Ā
ItemsĀ includedĀ inĀ theĀ financial statementsĀ ofĀ eachĀ ofĀ theĀ Group's entitiesĀ areĀ measuredĀ using theĀ currencyĀ ofĀ the primaryĀ economicĀ environmentĀ inĀ whichĀ theĀ entityĀ operatesĀ ('theĀ functionalĀ currency').Ā Ā TheĀ consolidated financialĀ statementsĀ areĀ presentedĀ inĀ PoundsĀ SterlingĀ (Ā£),Ā whichĀ isĀ theĀ Company's functionalĀ andĀ theĀ Group's presentationĀ currency.
Ā
DEFINEDĀ CONTRIBUTIONĀ PENSIONĀ PLAN
Ā
TheĀ GroupĀ operates aĀ definedĀ contributionĀ planĀ forĀ itsĀ employees.Ā AĀ definedĀ contributionĀ planĀ isĀ aĀ pension plan underĀ whichĀ theĀ GroupĀ pays fixed contributionsĀ into aĀ separateĀ entity. OnceĀ theĀ contributionsĀ have beenĀ paidĀ the GroupĀ hasĀ noĀ furtherĀ paymentsĀ obligations.
Ā
TheĀ contributionsĀ areĀ recognisedĀ asĀ anĀ expenseĀ inĀ theĀ profit or lossĀ whenĀ theyĀ fallĀ due. Amounts notĀ paidĀ areĀ shownĀ inĀ accrualsĀ asĀ aĀ liabilityĀ inĀ theĀ Statement ofĀ FinancialĀ Position.Ā TheĀ assetsĀ ofĀ the planĀ are heldĀ separatelyĀ fromĀ theĀ GroupĀ inĀ independentlyĀ administeredĀ funds
Ā
FINANCIALĀ INSTRUMENTS
Ā
TheĀ CompanyĀ recognisesĀ financialĀ instrumentsĀ whenĀ itĀ becomesĀ aĀ partyĀ toĀ theĀ contractualĀ arrangementsĀ ofĀ the instrument.Ā FinancialĀ instrumentsĀ areĀ de-recognisedĀ whenĀ theyĀ areĀ dischargedĀ orĀ whenĀ theĀ contractualĀ term expire.Ā TheĀ Company'sĀ accountingĀ policiesĀ inĀ respectĀ ofĀ financialĀ instrumentsĀ transactionsĀ areĀ explainedĀ below: FinancialĀ assetsĀ and financialĀ liabilitiesĀ areĀ initiallyĀ measuredĀ atĀ fairĀ value.
Ā
FinancialĀ assets:
AllĀ recognisedĀ financialĀ assetsĀ areĀ subsequently measuredĀ inĀ theirĀ entiretyĀ atĀ eitherĀ fairĀ valueĀ orĀ amortisedĀ cost, dependingĀ onĀ theĀ classificationĀ ofĀ theĀ financialĀ assets.
Ā
FairĀ valueĀ throughĀ profitĀ orĀ loss
AllĀ ofĀ theĀ Company'sĀ financialĀ assetsĀ otherĀ thanĀ thoseĀ whichĀ meetĀ theĀ criteriaĀ toĀ beĀ measuredĀ atĀ amortisedĀ cost
areĀ subsequentlyĀ measuredĀ atĀ fairĀ valueĀ atĀ theĀ endĀ ofĀ eachĀ reportingĀ period,Ā withĀ anyĀ fairĀ valueĀ gainsĀ orĀ losses
Ā
Ā
Ā
Ā
Ā
beingĀ recognisedĀ inĀ profitĀ orĀ lossĀ toĀ theĀ extentĀ theyĀ areĀ notĀ partĀ ofĀ aĀ designatedĀ hedgingĀ relationship.Ā TheĀ net gainĀ orĀ lossĀ recognisedĀ inĀ profitĀ orĀ lossĀ includesĀ anyĀ dividendĀ orĀ interestĀ earnedĀ onĀ theĀ financialĀ asset.
Ā
DebtĀ instrumentsĀ atĀ amortisedĀ cost
DebtĀ instrumentsĀ areĀ subsequently measuredĀ atĀ amortisedĀ costĀ whereĀ theyĀ areĀ financialĀ assetsĀ heldĀ withinĀ a businessĀ modelĀ whoseĀ objectiveĀ isĀ toĀ holdĀ financial assets inĀ orderĀ toĀ collectĀ contractualĀ cashĀ flows andĀ selling theĀ financialĀ assets,Ā andĀ theĀ contractualĀ terms ofĀ theĀ financialĀ assetĀ giveĀ riseĀ onĀ specifiedĀ datesĀ toĀ cash flowsĀ that areĀ solely paymentsĀ ofĀ principalĀ andĀ interestĀ onĀ theĀ principalĀ amountĀ outstanding.Ā AmortisedĀ costĀ isĀ calculated usingĀ theĀ effectiveĀ interestĀ methodĀ andĀ representsĀ theĀ amountĀ measuredĀ atĀ initialĀ recognition lessĀ repayments of principalĀ plusĀ theĀ cumulativeĀ amortisationĀ usingĀ theĀ effectiveĀ interestĀ methodĀ ofĀ anyĀ differenceĀ betweenĀ the initialĀ amountĀ andĀ theĀ maturityĀ amount,Ā adjustedĀ forĀ anyĀ lossĀ allowance.
Ā
TradeĀ payables
TradeĀ payablesĀ areĀ initiallyĀ measuredĀ atĀ fairĀ valueĀ andĀ areĀ subsequently measuredĀ atĀ amortisedĀ cost,Ā usingĀ the effectiveĀ interestĀ rate method.
Ā
EquityĀ instruments
EquityĀ instrumentsĀ issuedĀ byĀ theĀ companyĀ are recordedĀ atĀ the proceedsĀ received,Ā net ofĀ directĀ issueĀ costs.Ā Shares issuedĀ are heldĀ atĀ theirĀ fairĀ value.
Ā
ShareĀ capital
Ordinary shareĀ capitalĀ isĀ classifiedĀ asĀ equity.Ā InterimĀ ordinary dividendsĀ areĀ recognisedĀ whenĀ paidĀ andĀ final ordinaryĀ dividendsĀ areĀ recognisedĀ asĀ a liabilityĀ inĀ theĀ yearĀ inĀ whichĀ theyĀ areĀ approved.
Ā
ImpairmentĀ ofĀ financialĀ assets
TheĀ Company recognises aĀ lossĀ allowanceĀ forĀ expectedĀ creditĀ lossesĀ (ECL)Ā onĀ investmentsĀ inĀ debtĀ instruments thatĀ areĀ measuredĀ atĀ amortisedĀ costĀ orĀ FVTOCI, leaseĀ receivables, amounts dueĀ fromĀ customersĀ under constructionĀ contracts, asĀ wellĀ asĀ onĀ loanĀ commitmentsĀ andĀ financial guarantee contracts.Ā NoĀ impairmentĀ lossĀ is recognisedĀ forĀ investments inĀ equityĀ instruments.Ā TheĀ amountĀ ofĀ expectedĀ creditĀ lossesĀ isĀ updatedĀ atĀ each reportingĀ dateĀ toĀ reflectĀ changesĀ inĀ creditĀ riskĀ sinceĀ initialĀ recognitionĀ ofĀ theĀ respectiveĀ financialĀ instrument.
Ā
The CompanyĀ recognisesĀ lifetimeĀ ECLĀ onĀ allĀ financialĀ instrumentsĀ whereĀ there hasĀ beenĀ aĀ significantĀ increaseĀ in creditĀ riskĀ sinceĀ initialĀ recognition. TheĀ assessmentĀ ofĀ whetherĀ lifetime ECLĀ shouldĀ beĀ recognisedĀ isĀ basedĀ on significantĀ increaseĀ inĀ theĀ likelihoodĀ orĀ riskĀ ofĀ aĀ defaultĀ occurringĀ sinceĀ initialĀ recognitionĀ insteadĀ ofĀ onĀ evidence ofĀ a financialĀ assetĀ beingĀ credit-impairedĀ atĀ theĀ reportingĀ dateĀ orĀ anĀ actualĀ defaultĀ occurring.
Ā
LifetimeĀ ECLĀ represents theĀ expectedĀ creditĀ lossesĀ thatĀ willĀ resultĀ fromĀ allĀ possibleĀ defaultĀ events overĀ the expectedĀ lifeĀ ofĀ aĀ financialĀ instrument.Ā InĀ contract, 12Ā monthĀ ECLĀ representsĀ theĀ portionĀ ofĀ lifetimeĀ ECL thatĀ is expectedĀ toĀ resultĀ from default eventsĀ onĀ aĀ financial instrument thatĀ areĀ possibleĀ withinĀ 12Ā monthsĀ afterĀ the reportingĀ date.
Ā
InĀ assessingĀ whether theĀ creditĀ risk onĀ aĀ financialĀ instrumentĀ hasĀ increased, theĀ following shallĀ beĀ taken into account:
-Ā ActualĀ orĀ expectedĀ significantĀ deteriorationĀ inĀ theĀ financialĀ instrument'sĀ externalĀ orĀ internalĀ creditĀ rating;Ā or
-Ā SignificantĀ deteriorationĀ inĀ externalĀ marketĀ conditions;Ā or
-Ā ExistingĀ orĀ forecastĀ adverseĀ changesĀ inĀ business, financialĀ orĀ economicĀ conditionsĀ thatĀ will impact theĀ debtor's
abilityĀ toĀ meetĀ debtĀ obligations;Ā or
-Ā ActualĀ orĀ expectedĀ deteriorationĀ inĀ theĀ operatingĀ resultsĀ ofĀ theĀ debtor;Ā or
-Ā ActualĀ orĀ expectedĀ significantĀ adverseĀ changesĀ inĀ theĀ regulatoryĀ orĀ technologicalĀ environmentĀ ofĀ theĀ debtor
that willĀ impactĀ theĀ debtor'sĀ abilityĀ toĀ meetĀ debtĀ obligations.
Ā
ForĀ certainĀ categories ofĀ financialĀ asset,Ā suchĀ asĀ tradeĀ receivables, assetsĀ thatĀ areĀ assessedĀ notĀ toĀ beĀ impaired individuallyĀ areĀ subsequentlyĀ assessedĀ forĀ impairmentĀ onĀ aĀ collectiveĀ basis.Ā ObjectiveĀ evidenceĀ ofĀ impairment forĀ aĀ portfolioĀ ofĀ receivablesĀ couldĀ includeĀ theĀ Company'sĀ pastĀ experienceĀ ofĀ collectingĀ payments,Ā anĀ increaseĀ in theĀ numberĀ ofĀ delayedĀ paymentsĀ inĀ theĀ portfolio pastĀ theĀ averageĀ creditĀ periodĀ ofĀ 30Ā days,Ā asĀ wellĀ asĀ observable changesĀ inĀ the nationalĀ orĀ localĀ economicĀ conditionsĀ thatĀ correlateĀ withĀ defaultĀ onĀ receivables.
Ā
Ā
Ā
FinancialĀ liabilities:
Ā
FairĀ valueĀ throughĀ profitĀ orĀ loss
Ā
FinancialĀ liabilities areĀ classifiedĀ asĀ atĀ fairĀ valueĀ through profitĀ orĀ loss,Ā when theĀ financialĀ liability isĀ heldĀ for trading,Ā orĀ isĀ designatedĀ asĀ atĀ fairĀ valueĀ throughĀ profit orĀ loss.Ā This designationĀ mayĀ beĀ madeĀ ifĀ such designation estimates orĀ significantlyĀ reducesĀ aĀ measurementĀ orĀ recognitionĀ inconsistencyĀ thatĀ wouldĀ otherwise arise,Ā orĀ the financialĀ liabilityĀ formsĀ partĀ ofĀ aĀ groupĀ ofĀ financialĀ instrumentsĀ whichĀ isĀ managedĀ andĀ itsĀ performance is evaluatedĀ onĀ aĀ fairĀ valueĀ basis,Ā orĀ theĀ financialĀ liabilityĀ formsĀ partĀ ofĀ aĀ contractĀ containingĀ oneĀ orĀ more embeddedĀ derivatives,Ā andĀ IFRSĀ 9Ā permitsĀ the entireĀ combinedĀ contractĀ toĀ beĀ designated asĀ atĀ fairĀ valueĀ through profitĀ orĀ loss.Ā AnyĀ gainsĀ orĀ lossesĀ arisingĀ onĀ changesĀ inĀ fairĀ valueĀ areĀ recognisedĀ inĀ profitĀ orĀ lossĀ toĀ theĀ extent thatĀ theyĀ are notĀ partĀ ofĀ a designatedĀ hedgingĀ relationship.
Ā
AtĀ amortisedĀ cost
Ā
FinancialĀ liabilities whichĀ areĀ neither contingentĀ considerationĀ ofĀ anĀ acquirerĀ inĀ aĀ businessĀ combination,Ā heldĀ for trading,Ā norĀ designatedĀ asĀ atĀ fairĀ valueĀ throughĀ profitĀ orĀ lossĀ areĀ subsequently measuredĀ atĀ amortisedĀ costĀ using theĀ effectiveĀ interestĀ method.Ā ThisĀ isĀ aĀ methodĀ ofĀ calculating theĀ amortisedĀ costĀ ofĀ aĀ financialĀ liability andĀ of allocating interestĀ expenseĀ overĀ theĀ relevantĀ period.Ā TheĀ effectiveĀ interestĀ rateĀ isĀ theĀ rateĀ thatĀ exactly discounts estimatedĀ future cash paymentsĀ throughĀ theĀ expectedĀ lifeĀ ofĀ theĀ financialĀ liability,Ā orĀ where appropriateĀ aĀ shorter period,Ā toĀ theĀ amortisedĀ costĀ ofĀ a financialĀ liability.
Ā
DerecognitionĀ ofĀ financialĀ liabilities
Ā
TheĀ company derecognisesĀ financialĀ liabilitiesĀ when,Ā andĀ onlyĀ when,Ā theĀ company'sĀ obligationsĀ areĀ discharged, cancelledĀ orĀ theyĀ expire.
Ā
CASHĀ ANDĀ CASHĀ EQUIVALENTS
Ā
CashĀ andĀ cashĀ equivalents compriseĀ cashĀ balancesĀ andĀ depositsĀ heldĀ atĀ callĀ withĀ banksĀ withĀ maturities of Ā three monthsĀ orĀ lessĀ fromĀ inception.
Ā
INVENTORIES
Ā
InventoriesĀ consistĀ ofĀ propertiesĀ underĀ construction andĀ areĀ statedĀ atĀ theĀ lowerĀ ofĀ costĀ andĀ netĀ realisableĀ value. CostĀ comprises directĀ materialsĀ and,Ā whereĀ applicable, directĀ labourĀ costsĀ andĀ thoseĀ overheads thatĀ haveĀ been incurredĀ inĀ bringingĀ theĀ inventoriesĀ toĀ theirĀ presentĀ locationĀ andĀ condition.Ā Ā InterestĀ onĀ sumsĀ borrowedĀ that financeĀ specificĀ projectsĀ isĀ addedĀ toĀ cost.Ā NetĀ realisable valueĀ representsĀ theĀ estimatedĀ sellingĀ priceĀ lessĀ all estimatedĀ costsĀ ofĀ completionĀ andĀ costsĀ toĀ beĀ incurredĀ in marketing,Ā sellingĀ andĀ distribution.
Ā
PROPERTYĀ PLANTĀ ANDĀ EQUIPMENT
Ā
Property,Ā plant Ā and Ā equipmentĀ are Ā stated Ā at Ā cost, Ā net Ā of Ā depreciationĀ and Ā any Ā provision Ā for Ā impairment. Depreciation isĀ calculatedĀ toĀ writeĀ downĀ theĀ costĀ lessĀ estimatedĀ residualĀ valueĀ ofĀ allĀ tangibleĀ fixedĀ assetsĀ using theĀ reducingĀ balanceĀ methodĀ overĀ theirĀ expectedĀ usefulĀ economicĀ lives.Ā TheĀ ratesĀ generallyĀ applicableĀ are:
Ā
Fixtures,Ā fittingsĀ andĀ equipmentĀ -Ā 25%Ā onĀ reducingĀ balance
Ā
INVESTMENTĀ PROPERTY
Ā
InvestmentĀ property,Ā whichĀ isĀ property heldĀ toĀ earnĀ rentalsĀ and/orĀ forĀ capitalĀ appreciation (includingĀ property underĀ constructionĀ forĀ suchĀ purposes),Ā isĀ measuredĀ initially atĀ cost,Ā includingĀ transaction costs.Ā SubsequentĀ to initialĀ recognition,Ā investmentĀ propertyĀ isĀ measuredĀ atĀ fair value.Ā GainsĀ orĀ lossesĀ arisingĀ fromĀ changesĀ inĀ theĀ fair valueĀ ofĀ investmentĀ propertyĀ areĀ includedĀ inĀ profitĀ orĀ lossĀ inĀ theĀ periodĀ inĀ whichĀ theyĀ arise."
Ā
FINANCIALĀ LIABILITIESĀ ANDĀ EQUITY
Ā
FinancialĀ liabilities andĀ equityĀ instruments issuedĀ byĀ theĀ GroupĀ areĀ classifiedĀ accordingĀ toĀ theĀ substance ofĀ the contractualĀ arrangementsĀ enteredĀ intoĀ andĀ theĀ definitionsĀ ofĀ aĀ financialĀ liabilityĀ andĀ anĀ equityĀ instrument.Ā An
Ā
Ā
Ā
equityĀ instrumentĀ isĀ anyĀ contractĀ thatĀ evidencesĀ aĀ residualĀ interestĀ inĀ theĀ assetsĀ ofĀ theĀ GroupĀ afterĀ deductingĀ all ofĀ itsĀ liabilities. TheĀ accounting policiesĀ adoptedĀ forĀ specificĀ financialĀ liabilitiesĀ andĀ equity instruments areĀ set outĀ below.
Ā
BORROWINGĀ COSTS
Ā
BorrowingĀ costsĀ directlyĀ attributableĀ toĀ theĀ acquisition,Ā constructionĀ orĀ productionĀ ofĀ qualifyingĀ assets,Ā which areĀ assets thatĀ take aĀ substantialĀ periodĀ ofĀ timeĀ to beĀ completedĀ forĀ sale, areĀ addedĀ toĀ theĀ costĀ ofĀ propertyĀ heldĀ as stockĀ atĀ theĀ year end. Ā All other borrowingĀ costs are recognisedĀ inĀ theĀ profit or lossĀ inĀ the yearĀ inĀ whichĀ theyĀ relate.
Ā
CURRENTĀ ANDĀ DEFERREDĀ TAXATION
Ā
CurrentĀ taxĀ assetsĀ andĀ liabilities forĀ theĀ current andĀ priorĀ yearsĀ areĀ measuredĀ atĀ theĀ amountĀ expectedĀ toĀ be recoveredĀ fromĀ orĀ paidĀ toĀ theĀ taxĀ authorities. Ā TheĀ taxĀ ratesĀ andĀ theĀ taxĀ lawsĀ usedĀ toĀ computeĀ theĀ amountĀ are thoseĀ thatĀ areĀ enactedĀ or substantivelyĀ enacted,Ā byĀ theĀ reportingĀ date.
Ā
TheĀ taxĀ expenseĀ representsĀ theĀ sumĀ ofĀ theĀ taxĀ currentlyĀ payableĀ andĀ deferredĀ tax.
Ā
TheĀ taxĀ currently payableĀ isĀ basedĀ onĀ taxableĀ profitĀ forĀ theĀ year.Ā TaxableĀ profitĀ differsĀ fromĀ netĀ profitĀ as reportedĀ inĀ theĀ incomeĀ statementĀ becauseĀ itĀ excludes itemsĀ ofĀ incomeĀ orĀ expense thatĀ areĀ taxableĀ or deductible inĀ otherĀ yearsĀ andĀ itĀ furtherĀ excludes itemsĀ thatĀ areĀ neverĀ taxable orĀ deductible. TheĀ Group's liabilityĀ forĀ currentĀ taxĀ isĀ calculatedĀ usingĀ taxĀ ratesĀ thatĀ haveĀ beenĀ enactedĀ orĀ substantively enactedĀ byĀ the reportingĀ date.
Ā
DeferredĀ taxĀ isĀ theĀ taxĀ expectedĀ toĀ beĀ payableĀ orĀ recoverable onĀ differences betweenĀ theĀ carryingĀ amountsĀ of assetsĀ andĀ liabilitiesĀ inĀ theĀ financialĀ statementsĀ andĀ theĀ corresponding taxĀ basesĀ usedĀ inĀ theĀ computation of taxableĀ profit.Ā Ā DeferredĀ taxĀ liabilitiesĀ areĀ generallyĀ recognisedĀ forĀ allĀ taxableĀ temporaryĀ differencesĀ and deferredĀ taxĀ assetsĀ areĀ recognised toĀ theĀ extent thatĀ itĀ isĀ probableĀ thatĀ taxableĀ profitsĀ willĀ beĀ available against whichĀ deductibleĀ temporary differencesĀ canĀ beĀ utilised.Ā SuchĀ assetsĀ andĀ liabilities areĀ notĀ recognised ifĀ the temporaryĀ differenceĀ arisesĀ fromĀ goodwillĀ orĀ fromĀ theĀ initialĀ recognitionĀ (otherĀ thanĀ inĀ aĀ businessĀ combination) ofĀ otherĀ assetsĀ andĀ liabilitiesĀ inĀ a transactionĀ thatĀ affectsĀ neitherĀ theĀ taxĀ profitĀ norĀ theĀ accountingĀ profit.
Ā
The carryingĀ amountĀ ofĀ deferredĀ taxĀ assetsĀ isĀ reviewedĀ atĀ eachĀ reportingĀ date and reduced toĀ theĀ extentĀ thatĀ itĀ is noĀ longerĀ probableĀ thatĀ sufficientĀ taxableĀ profitsĀ willĀ beĀ availableĀ toĀ allowĀ allĀ orĀ partĀ ofĀ theĀ assetĀ toĀ be recovered.
Ā
DeferredĀ taxĀ isĀ calculatedĀ atĀ theĀ taxĀ ratesĀ thatĀ areĀ expectedĀ toĀ applyĀ inĀ theĀ yearĀ whenĀ theĀ liabilityĀ isĀ settledĀ or theĀ assetĀ isĀ realised.Ā Ā DeferredĀ taxĀ isĀ chargedĀ orĀ creditedĀ inĀ profitĀ orĀ loss,Ā exceptĀ whenĀ itĀ relatesĀ toĀ items charged orĀ credited directlyĀ toĀ otherĀ comprehensiveĀ income,Ā inĀ whichĀ case theĀ deferredĀ tax is alsoĀ dealtĀ withĀ in otherĀ comprehensiveĀ income.
Ā
PROVISIONS
Ā
ProvisionsĀ areĀ recognisedĀ whenĀ theĀ GroupĀ hasĀ aĀ presentĀ obligationĀ (legalĀ orĀ constructive)Ā asĀ aĀ resultĀ ofĀ a pastĀ eventĀ andĀ itĀ isĀ probableĀ thatĀ anĀ outflowĀ ofĀ resourcesĀ embodying economic benefitsĀ willĀ beĀ requiredĀ to settleĀ theĀ obligation andĀ aĀ reliableĀ estimate canĀ beĀ madeĀ ofĀ theĀ amount ofĀ theĀ obligation. Ā Where theĀ Group expectsĀ someĀ orĀ allĀ ofĀ aĀ provisionĀ toĀ beĀ reimbursed,Ā theĀ reimbursement isĀ recognisedĀ asĀ aĀ separateĀ asset but onlyĀ whenĀ theĀ reimbursement isĀ virtuallyĀ certain.Ā TheĀ expenseĀ relatingĀ toĀ anyĀ provisionĀ isĀ presentedĀ inĀ the incomeĀ statementĀ netĀ ofĀ anyĀ reimbursement.Ā IfĀ theĀ effectĀ ofĀ theĀ timeĀ valueĀ ofĀ moneyĀ isĀ material,Ā provisions areĀ discounted usingĀ aĀ current pre-taxĀ rateĀ thatĀ reflects,Ā whereĀ appropriate, theĀ risksĀ specificĀ toĀ theĀ liability. WhereĀ discounting isĀ used,Ā theĀ increaseĀ inĀ theĀ provision dueĀ toĀ theĀ passageĀ ofĀ timeĀ isĀ recognisedĀ asĀ a borrowingĀ cost.
Ā
COMMITMENTSĀ ANDĀ CONTINGENCIES
Ā
CommitmentsĀ andĀ contingentĀ liabilitiesĀ areĀ disclosedĀ inĀ theĀ financialĀ statements.Ā TheyĀ areĀ disclosedĀ unless theĀ possibility ofĀ anĀ outflowĀ ofĀ resourcesĀ embodyingĀ economicĀ benefitsĀ isĀ remote.Ā AĀ contingentĀ assetĀ isĀ not recognisedĀ inĀ theĀ financial statementsĀ butĀ disclosedĀ whenĀ an inflowĀ ofĀ economicĀ benefitsĀ isĀ virtuallyĀ certain.
Ā
Ā
Ā
Ā
Ā
Ā
CRITICAL ACCOUNTING JUDGMENTSĀ ANDĀ KEYĀ SOURCESĀ OFĀ ESTIMATIONĀ AND UNCERTAINTY
Ā
The preparationĀ ofĀ financialĀ statementsĀ inĀ conformityĀ with International Financial Reporting Standards (IFRS) and IFRS in conformity with the requirements of the Companies Act 2006 requiresĀ theĀ use ofĀ certain criticalĀ accountingĀ estimates.Ā ItĀ alsoĀ requiresĀ managementĀ toĀ exerciseĀ its judgmentĀ inĀ theĀ processĀ ofĀ applyingĀ the Group'sĀ accounting policies.Ā TheĀ areasĀ involvingĀ aĀ higherĀ degreeĀ ofĀ judgmentĀ orĀ complexity, orĀ areasĀ where assumptionsĀ andĀ estimatesĀ areĀ significantĀ toĀ theĀ GroupĀ financialĀ statementsĀ areĀ disclosedĀ below.
Ā
EstimatesĀ andĀ judgmentsĀ areĀ continually evaluatedĀ andĀ areĀ basedĀ onĀ historicalĀ experienceĀ andĀ otherĀ factors, includingĀ expectationsĀ ofĀ futureĀ eventsĀ thatĀ areĀ believedĀ toĀ beĀ reasonableĀ underĀ theĀ presentĀ circumstances.
Ā
ValuationĀ of Inventory
Ā
TheĀ GroupĀ assessesĀ theĀ netĀ realisable valueĀ ofĀ inventories underĀ developmentĀ andĀ completed properties heldĀ for saleĀ accordingĀ toĀ theirĀ recoverableĀ amountsĀ basedĀ onĀ theĀ realisability ofĀ theseĀ properties,Ā takingĀ intoĀ account estimatedĀ costsĀ toĀ completionĀ basedĀ onĀ pastĀ experienceĀ andĀ committedĀ contractsĀ andĀ estimatedĀ netĀ salesĀ based onĀ prevailingĀ marketĀ conditions.Ā ProvisionĀ isĀ madeĀ whenĀ eventsĀ orĀ changesĀ inĀ circumstances indicateĀ thatĀ the carryingĀ amountsĀ mayĀ notĀ beĀ realised.Ā TheĀ carryingĀ valueĀ isĀ reducedĀ byĀ itsĀ sellingĀ priceĀ lessĀ costsĀ toĀ complete andĀ sell.Ā Ā ThisĀ impairmentĀ lossĀ isĀ recognisedĀ immediatelyĀ inĀ profit or loss.Ā Ā The assessmentĀ requiresĀ theĀ use ofĀ judgmentĀ andĀ estimates.Ā The carryingĀ amountĀ ofĀ inventoryĀ is disclosedĀ inĀ note 12 toĀ theĀ financialĀ statements.
Ā
Ā
RecognitionĀ ofĀ deferredĀ taxĀ assets
Ā
The recognitionĀ ofĀ deferredĀ tax assetsĀ is based upon whetherĀ itĀ isĀ moreĀ likelyĀ thanĀ notĀ thatĀ sufficientĀ andĀ suitable taxableĀ profitsĀ willĀ beĀ availableĀ inĀ theĀ futureĀ againstĀ whichĀ theĀ reversalĀ ofĀ temporaryĀ differencesĀ canĀ be deducted.Ā Ā ToĀ determineĀ theĀ futureĀ taxableĀ profits,Ā referenceĀ isĀ madeĀ toĀ theĀ latestĀ availableĀ profitĀ forecasts. WhereĀ theĀ temporaryĀ differencesĀ are relatedĀ toĀ losses,Ā relevantĀ tax lawĀ isĀ consideredĀ to determineĀ theĀ availability ofĀ theĀ lossesĀ toĀ offsetĀ againstĀ theĀ futureĀ taxableĀ profits.
Ā
ImpairmentĀ ofĀ nonĀ financialĀ assets
AtĀ eachĀ statementĀ ofĀ financialĀ positionĀ dateĀ theĀ companyĀ reviewsĀ theĀ carryingĀ amountsĀ ofĀ itsĀ tangibleĀ and
intangibleĀ assetsĀ withĀ finiteĀ livesĀ toĀ determineĀ whetherĀ thereĀ isĀ anĀ indication thatĀ thoseĀ assetsĀ haveĀ sufferedĀ an impairmentĀ loss.Ā IfĀ anyĀ suchĀ indication exists,Ā theĀ recoverable amount ofĀ theĀ assetĀ isĀ estimatedĀ inĀ orderĀ to determineĀ the extentĀ ofĀ theĀ impairmentĀ lossĀ (ifĀ any).
Ā
IfĀ theĀ recoverableĀ amountĀ ofĀ anĀ assetĀ isĀ estimatedĀ toĀ beĀ lessĀ thanĀ itsĀ carryingĀ amount,Ā theĀ carryingĀ amountĀ ofĀ the assetĀ isĀ reducedĀ toĀ itsĀ recoverable amount.Ā ImpairmentĀ lossesĀ areĀ recognisedĀ asĀ anĀ expenseĀ immediately,Ā unless theĀ relevantĀ assetĀ isĀ landĀ orĀ buildingsĀ atĀ aĀ revalued amount,Ā inĀ whichĀ caseĀ theĀ impairment lossĀ isĀ treatedĀ asĀ a revaluationĀ decrease.
Ā
WhereĀ anĀ impairmentĀ lossĀ subsequently reverses,Ā theĀ carryingĀ amountĀ ofĀ theĀ assetĀ isĀ increasedĀ toĀ theĀ revised estimateĀ ofĀ itsĀ recoverable amount,Ā butĀ soĀ thatĀ theĀ increasedĀ carryingĀ amountĀ doesĀ notĀ exceedĀ theĀ carrying amountĀ thatĀ wouldĀ haveĀ beenĀ determined hadĀ noĀ impairmentĀ lossĀ beenĀ recognisedĀ forĀ theĀ assetĀ inĀ priorĀ years.Ā A reversalĀ ofĀ anĀ impairment lossĀ isĀ recognisedĀ asĀ incomeĀ immediately,Ā unlessĀ theĀ relevantĀ assetĀ isĀ carriedĀ atĀ a revaluedĀ amount,Ā inĀ whichĀ caseĀ theĀ reversalĀ ofĀ theĀ impairmentĀ lossĀ isĀ treatedĀ asĀ a revaluationĀ increase.
Ā
Ā
TrafalgarĀ PropertyĀ Group Plc
NOTESĀ TOĀ THEĀ CONSOLIDATEDĀ FINANCIALĀ STATEMENTS
ForĀ theĀ yearĀ ended 31 March 2021
Ā
Ā
1Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā SEGMENTALĀ REPORTING
Ā
ForĀ theĀ purposeĀ ofĀ IFRSĀ 8,Ā theĀ chiefĀ operatingĀ decisionĀ makerĀ ("CODM")Ā takesĀ theĀ formĀ ofĀ theĀ BoardĀ of
Directors.Ā TheĀ Directors'Ā opinionĀ ofĀ theĀ businessĀ ofĀ theĀ GroupĀ isĀ asĀ follows.
Ā
TheĀ principalĀ activityĀ ofĀ theĀ GroupĀ wasĀ propertyĀ development.Ā All theĀ Group'sĀ non-currentĀ assetsĀ areĀ located in theĀ UK.
Ā
BasedĀ onĀ theĀ aboveĀ considerations, thereĀ isĀ consideredĀ toĀ beĀ oneĀ reportableĀ segment. Ā TheĀ internalĀ andĀ external reportingĀ isĀ onĀ aĀ consolidated basisĀ withĀ transactions betweenĀ GroupĀ companiesĀ eliminatedĀ onĀ consolidation. ThereforeĀ theĀ financialĀ informationĀ ofĀ theĀ singleĀ segmentĀ isĀ theĀ sameĀ as that set outĀ inĀ theĀ consolidatedĀ statement ofĀ comprehensiveĀ income,Ā theĀ consolidatedĀ statementĀ of Ā changesĀ inĀ equity,Ā theĀ consolidatedĀ statementĀ of financialĀ positionĀ andĀ cashflows.
Ā
Revenue
Ā
AnĀ analysisĀ ofĀ revenueĀ isĀ as follows:
Ā
TheĀ Group'sĀ revenue,Ā whichĀ isĀ allĀ attributableĀ toĀ theirĀ principalĀ activity,Ā canĀ be splitĀ as follows:
Ā
Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 2021Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 2020
Ā£Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā£
Ā
DevelopmentĀ salesĀ Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 2,212,500Ā Ā Ā Ā Ā Ā Ā 1,891,000
RentalĀ incomeĀ Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 73,300Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 79,106
Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 2,285,800Ā Ā Ā Ā Ā Ā Ā Ā 1,970,106Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā
Ā
Ā
Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā TimingĀ ofĀ revenuesĀ areĀ asĀ follows:
Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 2021Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 2020Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā£Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā£
Ā GoodsĀ transferredĀ atĀ a pointĀ inĀ timeĀ Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 2,212,500Ā Ā Ā Ā Ā Ā Ā Ā Ā 1,891,000
Ā Ā Rental income transferred over timeĀ Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 73,300Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 79,106
Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 2,285,800Ā Ā Ā Ā Ā Ā Ā Ā Ā 1,970,106
Ā
RevenuesĀ analysedĀ byĀ geographicĀ locationĀ areĀ asĀ follows:
Ā
Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 2021Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 2020
Ā Ā£Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā£
UnitedĀ KingdomĀ Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 2,285,800Ā Ā Ā Ā Ā Ā Ā Ā 1,970,106
Ā
Ā
2Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā OTHERĀ INCOME
Ā
Other income Ā consists of sums Ā received by Ā way of Ā furlough sums claimed Ā for one employee as a result of Covid-19 during the first lockdown.
Ā
Ā
Ā
3Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā LOSSĀ FORĀ THEĀ YEAR
Ā
Operating loss is stated after charging / (crediting) the following: | Ā Ā Ā 2021 | Ā Ā Ā 2020 |
Ā | Ā£ | Ā£ |
Subcontractor costs and cost of inventories recognised as an expense | 1,945,107 | 1,687,759 |
Interest charges | Ā Ā Ā Ā Ā 18,687 | Ā Ā Ā Ā Ā Ā 128,279 |
Ā | 1,963,794 | Ā Ā Ā 1,816,038 |
Ā Depreciation of property, plant and equipment | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 506 | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 902 |
Ā Auditor's remuneration - audit services - Group | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 10,000 | Ā Ā 10,000 |
Auditor's remuneration - audit services - Group entities Ā Ā Ā | Ā Ā 15,650 | Ā Ā Ā Ā Ā 7,000 Ā |
Ā Auditor's remuneration - other assurance services - Group | Ā Ā Ā 5,000 | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā - |
Ā Ā | Ā Ā 30,650 | Ā Ā Ā 17,000 |
Ā Ā | Ā | Ā |
Ā
Ā
Ā
Ā
Ā
Ā
Ā
Ā
Ā
4Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā EMPLOYEESĀ ANDĀ DIRECTORS'Ā REMUNERATION
Ā
StaffĀ costsĀ duringĀ theĀ year wereĀ asĀ follows:
Ā
Ā | 2021 | Ā | 2020 |
Ā | Ā£ | Ā | Ā£ |
Wages and salaries | 165,000 | Ā | 113,000 |
Social security costs | Ā Ā Ā Ā Ā Ā Ā Ā Ā 14,179 | Ā | Ā 8,512 |
Other pension costs | 20,040 | Ā | 20,040 |
Ā | 199,219 | Ā | 141,552 |
Ā
TheĀ averageĀ numberĀ ofĀ employeesĀ ofĀ theĀ GroupĀ duringĀ theĀ year was:
Ā
Ā | 2021 | 2020 |
Ā | Number | Number |
Directors | 4 | 3 |
Management Ā | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 1Ā Ā Ā | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 2 |
Ā
Key managementĀ are theĀ Group'sĀ Directors.Ā RemunerationĀ inĀ respectĀ ofĀ keyĀ managementĀ wasĀ asĀ follows:
Ā
Ā | 2021 | Ā | 2020 |
Ā | Ā£ | Ā | Ā£ |
Short-term employee benefits: | Ā | Ā | Ā |
- Emoluments for qualifying services J Dubois | Ā Ā Ā Ā Ā Ā Ā Ā Ā 30,000 | Ā | 15,879 |
- Emoluments for qualifying services A Johnson | 45,000 | Ā | 48,550 |
Ā - Emoluments for qualifying services P Treadaway | 60,000 | Ā | Ā Ā Ā Ā Ā Ā Ā Ā - |
- Emoluments for qualifying services G Thorneycroft | Ā 7,000 | Ā | Ā Ā Ā Ā Ā Ā Ā Ā - |
Ā | Ā Ā Ā Ā Ā Ā 142,000 | Ā | Ā Ā Ā Ā Ā Ā Ā Ā 64,429 |
Ā Ā ThereĀ areĀ retirementĀ benefitsĀ accruingĀ toĀ MrĀ CĀ CĀ JohnsonĀ forĀ whomĀ aĀ companyĀ contributionĀ wasĀ paid duringĀ the Ā Ā Ā Ā Ā Ā Ā yearĀ ofĀ Ā£18,000Ā (2020:Ā Ā£18,000)Ā andĀ MrĀ AĀ JohnsonĀ Ā£Ā 1,350Ā (2020:Ā Ā£1,350).
Ā
ConsultancyĀ feesĀ ofĀ Ā£Ā 9,998Ā (2020:Ā Ā£4,994) wereĀ paidĀ toĀ MrĀ NĀ LottĀ duringĀ theĀ year.
Ā
Ā
Ā
5Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā INTERESTĀ PAYABLEĀ ANDĀ SIMILARĀ CHARGES
Ā
DuringĀ theĀ yearĀ theĀ mortgageĀ interestĀ paidĀ onĀ borrowings relatingĀ toĀ ongoingĀ developmentsĀ wasĀ capitalisedĀ as partĀ ofĀ inventoryĀ Ā£Ā nilĀ (2020:Ā Ā£Ā 10,102)Ā withĀ theĀ interest onĀ properties soldĀ inĀ theĀ yearĀ forming partĀ ofĀ cost ofĀ salesĀ and transferredĀ toĀ profitĀ &Ā lossĀ accordingly. ForĀ sitesĀ whereĀ theĀ construction hadĀ beenĀ completed,Ā theĀ bank loanĀ interestĀ paid during the year on these sites ofĀ Ā£Ā 18,687Ā (2020:Ā Ā£118,177) hasĀ beenĀ accountedĀ forĀ inĀ theĀ profitĀ &Ā lossĀ withinĀ costĀ ofĀ sales.Ā
Ā
In addition, interest of Ā£214,260 (2020: Ā£40,117) has been paid on general funding loans, rental property Ā mortgage loan and provisions for interest on loan notes, further details are provided in notes 15 and 17.
Ā
6Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā TAXATION
Ā
Ā | 2021 | Ā | 2020 |
Ā | Ā£ | Ā | Ā£ |
Ā Current tax | Ā - | Ā | Ā - |
Tax charge | - | Ā | - |
Ā
Ā | 2021 | Ā | 2020 |
Ā | Ā£ | Ā | Ā£ |
Ā (Loss)/profit on ordinary activities before tax | Ā Ā Ā (329,194) | Ā | Ā (1,022,898) |
Ā Based on (loss) for the year: | Ā | Ā | Ā |
Tax at 19% (2020: 19%) | Ā (62,546) | Ā | (194,350) |
Ā Unrelieved tax losses | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā (4,206) | Ā | Ā Ā 76,411 |
Impairment | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā - | Ā | Ā Ā Ā Ā Ā Ā 116,968 |
Tax losses carried forward | Ā Ā Ā Ā Ā Ā Ā 66,752Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā | Ā | Ā 971 |
Tax charge for the year | - | Ā | - |
Ā
DeferredĀ tax
Ā
NoĀ deferredĀ taxĀ assetĀ hasĀ beenĀ recognisedĀ inĀ respectĀ ofĀ historicalĀ lossesĀ dueĀ toĀ theĀ uncertaintyĀ inĀ futureĀ profits againstĀ whichĀ toĀ offsetĀ theseĀ losses.Ā AsĀ atĀ theĀ 31Ā MarchĀ 2021,Ā Ā theĀ GroupĀ hadĀ cumulativeĀ taxĀ lossesĀ of
Ā£Ā 4,645,489Ā (2020:Ā Ā£4,381,991)Ā thatĀ areĀ availableĀ toĀ offsetĀ againstĀ futureĀ taxableĀ profits of the same trade.
Ā
7Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā (LOSS)Ā PERĀ ORDINARYĀ SHARE
Ā
TheĀ calculationĀ ofĀ (loss)/profitĀ perĀ ordinaryĀ shareĀ isĀ basedĀ onĀ theĀ followingĀ profits/(losses)Ā and the numberĀ of shares used should be that retrospectively adjusted for the effect of consolidation:
Ā
Ā | 2021 | 2020 |
Ā | Ā Ā£ | Ā Ā£ |
Ā (Loss) for the year | Ā Ā Ā Ā (329,194) | Ā Ā Ā Ā (1,022,898) |
Ā
Ā
Ā Weighted average number of shares for basic (loss) per share | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 95,644,038 Ā | 487,690,380 Ā |
Ā Weighted average number of shares for diluted (loss) per share | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 95,644,038 Ā | 487,690,380 Ā |
Ā (LOSS) PER ORDINARY SHARE: Basic | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā (0.34)p | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā (0.21)p |
Diluted | Ā Ā Ā Ā Ā Ā Ā Ā Ā (0.34)p | Ā Ā Ā Ā Ā Ā Ā Ā Ā (0.21)p |
Ā
Ā
Ā
Ā
8Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā PROPERTY,Ā PLANTĀ ANDĀ EQUIPMENTĀ
Ā
Ā
Plant and equipment | 2021 | Ā | 2020 |
Ā | Ā£ | Ā | Ā£ |
Cost | Ā | Ā | Ā |
At 1 April | 7,191 | Ā | 6,205 |
Additions | 599 | Ā | Ā 986 |
At 31 March | 7,790 | Ā | 7,191 |
Ā
Depreciation | Ā | Ā | Ā |
At 1 April | 5,768 | Ā | 4,866 |
Charge for the year | 506 | Ā | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 902 |
At 31 March | 6,274 | Ā | 5,768 |
Ā
Ā
NetĀ bookĀ valueĀ atĀ 31Ā MarchĀ Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 1,516Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 1,423
Ā
Ā
Ā
9Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā INVESTMENTĀ PROPERTY
Ā
Ā
Ā | 2021 | 2020 |
Ā | Ā£ | Ā£ |
FAIR VALUE | Ā | Ā |
1 April 2020 | 1,975,000 | - |
Additions | - | 1,975,000 |
31 March 2021 | 1,975,000 | 1,975,000 |
Ā | Ā | Ā |
NET BOOK VALUE | Ā | Ā |
At 31 March 2021 | 1,975,000 | 1,975,000 |
Ā | Ā | Ā |
At 31 March 2020 | 1,975,000 | 1,975,000 |
Ā | Ā | Ā |
Fair Value at 31 March 2021 is represented by: | Ā | Ā |
Valuation in 2019 | 1,975,000 | 1,975,000 |
Ā | Ā | Ā |
Ā
Ā
Ā
Ā
Ā
Ā
Ā
Ā
TheĀ DirectorsĀ considerĀ thereĀ hasĀ beenĀ noĀ changeĀ inĀ theĀ valuationĀ sinceĀ purchaseĀ ofĀ theĀ propertiesĀ inĀ August
2019Ā andĀ thereforeĀ theĀ propertyĀ remainsĀ inĀ theĀ accountsĀ asĀ at 31Ā MarchĀ 2021Ā at Ā£1,975,000.
Ā
Ā
10Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā TRADEĀ ANDĀ OTHERĀ RECEIVABLES
Ā
Ā
Ā | 2021 | Ā | 2020 |
Ā | Ā£ | Ā | Ā£ |
Ā Other receivables | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 700 | Ā | Ā Ā Ā Ā Ā Ā Ā Ā 24,000 |
Other taxes | Ā Ā Ā Ā Ā Ā Ā Ā 11,071 | Ā | Ā Ā Ā Ā Ā Ā Ā 16,480 |
Prepayments | Ā Ā Ā Ā Ā Ā Ā Ā 21,684 | Ā | Ā Ā Ā Ā Ā Ā Ā Ā Ā 1,819 |
Ā | Ā Ā Ā Ā Ā Ā Ā Ā 33,455 | Ā | Ā Ā Ā Ā Ā Ā Ā 42,299 |
ThereĀ areĀ noĀ receivablesĀ thatĀ areĀ pastĀ dueĀ butĀ notĀ impairedĀ atĀ theĀ year-end.Ā ThereĀ areĀ noĀ provisionsĀ for irrecoverableĀ debtĀ includedĀ inĀ theĀ balancesĀ above.
Ā
Ā
Ā
11Ā Ā Ā Ā Ā Ā Ā Ā CASHĀ ANDĀ CASHĀ EQUIVALENTS
Ā
AllĀ ofĀ theĀ Group'sĀ cashĀ andĀ cashĀ equivalentsĀ atĀ 31Ā MarchĀ 2021Ā areĀ inĀ sterlingĀ andĀ heldĀ atĀ floatingĀ interest rates.
Ā
Ā | 2021 | 2020 |
Ā | Ā£ | Ā£ |
Ā Cash and cash equivalents | Ā Ā Ā Ā Ā Ā Ā Ā Ā 246,193 | Ā 27,969 |
Ā
TheĀ DirectorsĀ considerĀ thatĀ theĀ carryingĀ amountĀ ofĀ cashĀ andĀ cashĀ equivalentsĀ approximatesĀ toĀ theirĀ fairĀ value.
Ā
Ā
12Ā Ā Ā Ā Ā Ā Ā Ā Ā INVENTORY
Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 2021Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 2020
Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā£Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā£
Ā
WorkĀ inĀ progressĀ Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 78,608Ā Ā Ā Ā Ā Ā Ā Ā 1,212,692
Ā
SeeĀ noteĀ 5Ā forĀ detailsĀ ofĀ interestĀ capitalisedĀ asĀ partĀ ofĀ theĀ valueĀ ofĀ inventory.
Ā
13Ā Ā Ā Ā Ā Ā Ā Ā TRADEĀ ANDĀ OTHERĀ PAYABLES
Ā
Ā | 2021 | Ā | 2020 |
Ā | Ā£ | Ā | Ā£ |
Ā Trade payables | Ā 23,438 | Ā | Ā 85,950 |
Other payables | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā - | Ā | Ā Ā Ā Ā Ā Ā Ā Ā Ā 28,130 |
Taxation & social security | Ā Ā Ā Ā Ā Ā Ā Ā Ā 22,575 | Ā | 3,422 |
Accruals | 432,501 | Ā | 431,302 |
Ā | Ā Ā Ā Ā Ā Ā Ā 478,514 | Ā | 548,804 |
Ā
14Ā Ā Ā Ā Ā Ā Ā Ā BORROWINGS
Ā
Ā
Ā | 2021 | Ā | 2020 |
Ā | Ā£ | Ā | Ā£ |
Ā Directors' loans | Ā Ā Ā Ā Ā Ā 3,152,865 | Ā | Ā 3,471,511 |
Other loans | Ā Ā 741,250 | Ā | 1,180,000 |
Bank loans - see under | Ā Ā 924,373 | Ā | 1,479,373 |
Ā | 4,818,488 | Ā | 6,130,884 |
Ā
IncludedĀ inĀ Directors'Ā loansĀ isĀ theĀ sum ofĀ Ā£Ā 150,000Ā (2020: Ā£300,000) advancedĀ byĀ theĀ DFMĀ Pension SchemeĀ of whichĀ MrĀ JĀ DuboisĀ isĀ theĀ principalĀ beneficiary. ThisĀ loanĀ bearsĀ interestĀ atĀ 12%Ā perĀ annumĀ (2020:Ā 12%Ā per annum).
Ā
WithinĀ Directors'Ā loansĀ isĀ theĀ sumĀ ofĀ Ā£Ā 240,000 (2020: Ā£ 240,000) Ā providedĀ byĀ MrĀ CĀ CĀ JohnsonĀ forĀ aĀ depositĀ onĀ anĀ optionĀ which wasĀ notĀ takenĀ up, together with the sum of Ā£ 528,925 in relation to convertible loan notes issued to Mr C C Johnson on 14 July 2020. These have a nominal value of Ā£ 600,000 and are repayable on 31 July 2022.Ā As a financial instrument with both debt and equity components, an amount was recognised directly into a Loan Note Equity Reserve on issue, as explained further in Note 15, with the debt element being unwound at an implied interest rate of 10% and the interest recognized through profit and loss.Ā
Ā
TheĀ remainingĀ balanceĀ isĀ disclosedĀ inĀ noteĀ 16.
Ā
ĀĀ
Ā
Ā
Ā
Ā
Included in other loans is Ā£ 600,000 (2020: Ā£ 650,000) advanced by Mr G Howard (son-in-law to Mr C C Johnson toĀ theĀ company atĀ ratesĀ ofĀ 10% & 5% Ā perĀ annumĀ (2020:Ā 10%Ā pa).Ā Ā£Ā 90,000Ā (2020:Ā Ā£530,000)Ā hasĀ been advancedĀ byĀ CĀ Rowe,Ā a formerĀ employeeĀ ofĀ theĀ Group,Ā atĀ a rateĀ ofĀ 10%Ā perĀ annum.
Ā
During the year the loan with LloydsĀ Bank who Ā heldĀ aĀ legalĀ chargeĀ overĀ landĀ atĀ Wellesley Road,Ā Sheerness,Ā Kent,Ā was cleared following the successful sale of all units.
Ā
MrsĀ SĀ Johnson,Ā wifeĀ ofĀ MrĀ CĀ CĀ JohnsonĀ hasĀ aĀ legalĀ charge on flats 3 & 5 Burnside Court Sandhurst Road, Tunbridge Wells KentĀ ofĀ Ā£Ā 380,000 (2020:Ā Ā£380,000) in connection with her loan to Selmat.
Ā
SelmatĀ hasĀ alsoĀ grantedĀ toĀ ParagonĀ Mortgages,Ā legalĀ charges Ā overĀ theĀ freeholdĀ propertyĀ atĀ Hildenborough and leaseholdĀ propertiesĀ ofĀ oneĀ ofĀ theĀ threeĀ flatsĀ atĀ Burnside.Ā TheseĀ mortgagesĀ areĀ interestĀ only, forĀ aĀ termĀ ofĀ 7Ā yearsĀ withĀ a fixedĀ interestĀ rateĀ forĀ theĀ firstĀ 5 years. These properties are rented out.
Ā
TheĀ bankĀ borrowingsĀ areĀ repayableĀ asĀ follows:
Ā
Ā | 2021 | Ā | 2020 |
Ā | Ā£ | Ā | Ā£ |
Ā On demand or within one year | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā _ | Ā | Ā Ā Ā 555,000 |
In the second year | - | Ā | - |
In the third to fifth years inclusive | - | Ā | - |
After five years | 924,373 | Ā | Ā Ā Ā Ā Ā Ā Ā 924,373 |
Ā | Ā Ā 924,373 | Ā | 1,479,373 |
Less amount due for settlement within 12 months (included in current liabilities) | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā - | Ā | Ā Ā Ā 555,000 |
Amount due for settlement after 12 months | 924,373 | Ā | Ā Ā Ā Ā Ā Ā 924,373 |
Ā
TheĀ weightedĀ averageĀ interestĀ ratesĀ paidĀ onĀ theĀ bankĀ loansĀ wereĀ asĀ follows: BankĀ loans:Ā 3.4Ā %Ā (2020:Ā 2.03%)
AllĀ ofĀ theĀ Directors'Ā loansĀ areĀ repayable afterĀ moreĀ thanĀ 1Ā year.Ā AllĀ loansĀ areĀ interestĀ bearingĀ andĀ charged accordingly.Ā HoweverĀ MrĀ CĀ CĀ JohnsonĀ hasĀ waivedĀ his rightĀ toĀ interestĀ inĀ theĀ year with the exception of the first Ā£ Ā 500,000. Interest of Ā£ 25,000 (2020: nil) was paid to him during the year.Ā InterestĀ of Ā£32,761Ā (2020:Ā Ā£36,000)Ā wasĀ paidĀ toĀ MrĀ JĀ DuboisĀ atĀ theĀ rateĀ ofĀ 12%Ā paĀ (2020:Ā 12%Ā pa).
Ā
15Ā Ā Ā Ā Ā Ā SHARE CAPITAL
Ā | Ā | Ā | Ā | Ā | Ā | |
Issued allotted & paid share capital | Ā | Ā | Ā | 2021 | Ā | Ā Ā Ā Ā Ā Ā Ā 2020 |
Ā | Ā | Ā | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā | Number | Ā | Ā Ā Ā Ā Ā Number |
Ordinary shares | Ā | Ā | Ā | Ā | Ā | Ā |
Ordinary shares of 0.01p (2020: 0.1p) in issue | Ā | Ā | 487,690,380 | Ā | Ā Ā Ā 425,190,380 | |
Ordinary shares of 0.01p (2020: 0.1p) issued in year | Ā | 937,500,000 | Ā | Ā 62,500,000 | ||
Total ordinary shares of Ā 0.01p (2020: 0.1p) in issue | Ā | 1,425,190,380Ā Ā Ā Ā Ā Ā | Ā | 487,690,380 | ||
Total ordinary shares of 0.1p in issue following consolidation | Ā | 142,519,038 | Ā | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā - | ||
Ā Deferred sharesĀ | Ā | Ā | Ā | Ā | Ā | Ā |
Deferred shares of 0.9p in issue | Ā | Ā | 238,375,190 | Ā | Ā 238,375,190 | |
Deferred shares of 0.9p arising in year from re-organisation Total Deferred shares of 0.9p in issue | Ā | Ā 48,769,038 Ā 287,144,228 | Ā | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā - Ā 238,375,190 |
Ā
Ā
Ā
Ā
OnĀ 13 July, 2020 the Company undertook a sub-division of its ordinary shares, which sub divided the 487,690,380 ordinary shares of 0.1p each into 487,690,380 ordinary shares of 0.01p each and 487,690,380 deferred shares of 0.09p each. The deferred shares of 0.09p each were consolidated into deferred shares of 0.9p each ranking pari passu as one class with the existing deferred shares of 0.9p each.
Ā
On 14 July 2020, 937,500,000 ordinary shares of 0.01p each were issued under a placing at 0.08p each (at a premium of 0.07p per share) Ā to raise Ā£750,000 before costs of Ā£ 66,863.
Ā
In addition, on 14 July 2020, warrants to subscribe for ordinary shares of 0.01p were granted as follows:
Ā
(a)Ā Ā Subscribers to the placing were granted warrants to subscribe for up to 937,500,000 shares for a period of two years, exercisable at 0.2p per share;
Ā
(b)Ā Ā Peterhouse Capital Limited was granted warrants to subscribe for shares equivalent up to 3% of the issued ordinary share capital for time to time, exercisable for a period of two years, at 0.08p per share.
Ā
Following the consolidation of ordinary shares in December 2020, the warrants have been adjusted and comprise placee warrants to subscribe for up to 93,750,000 ordinary shares of 0.1p at 2p per share, and the warrants held by Peterhouse Capital Limited are exercisable at 0.8p per share.
Ā
In relation to the granting of these warrants to Peterhouse Capital Limited, these fall under the requirements of IFRS 9 Financial Instruments and as such are accounted for at fair value through profit or loss.Ā At the grant date of Ā these warrants these are valued using a Black Scholes model to determine the intrinsic value of the warrant and a liability is recognized for this amount with a corresponding expense through the income statement.Ā The Directors' have concluded that the intrinsic value of the warrant as at 31 March 2021 is not material to the results and subsequent movements in the share price have decreased this value further.Ā As such no accounting entries have been made to these results.
Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā
Further on 14 July 2020, Ā£ 600,000 of convertible loan notes were issued to Mr CĀ C Johnson as part of arrangements to reorganize loans between him and the Group.Ā The notes are repayable on 31 July 2022 and are convertible at any time into 300,000,000 ordinary shares Ā of 0.01p at 0.2p per share.Ā On conversion, warrants to subscribe for up to 300,000,000 ordinary shares will be granted to Mr C C Johnson exercisable for a period of two years from the date of grant at 0.2p per share. Following the consolidation of ordinary shares in December 2020, the loan notes have been adjusted and are convertible into 30,000,000 ordinary shares of 0.1p at 2p per share, with warrants to be granted to subscribe for up to 30,000,000 ordinary shares of 0.1p each at 2p per share.
Ā
The convertible loan notes have been accounted for as having both a debt and an equity element.Ā This results in the creation of a loan note equity reserve at the point of issue.Ā This loan note equity reserve is the difference between the loan note value received by the company of Ā£ 600,000 and the fair value of a debt only instrument with a 10% imputed interest rate and a final settlement figure of Ā£ 600,000 in July 2022.Ā This 10% imputed interest rate of Ā£ 33,058 (2020: nil), Ā is managements' best estimate as to the interest rate that would be expected from the market for an unsecured loan of Ā£ 600,000 without a conversion element.
Ā
OrdinaryĀ sharesĀ entitleĀ theĀ holderĀ toĀ receiveĀ noticeĀ of Ā and Ā toĀ attendĀ orĀ voteĀ atĀ anyĀ generalĀ meetingĀ ofĀ theĀ Company or toĀ receiveĀ dividendsĀ orĀ otherĀ distributions.
Ā
DeferredĀ sharesĀ doĀ notĀ entitle theĀ holderĀ toĀ receiveĀ noticeĀ ofĀ andĀ toĀ attendĀ orĀ voteĀ atĀ anyĀ generalĀ meeting ofĀ the Company orĀ toĀ receiveĀ dividends orĀ otherĀ distributions.Ā UponĀ windingĀ upĀ orĀ dissolution ofĀ theĀ Company the holdersĀ ofĀ deferredĀ sharesĀ shallĀ beĀ entitledĀ toĀ receiveĀ an amountĀ equalĀ toĀ theĀ nominalĀ amountĀ paidĀ upĀ thereon,Ā but only afterĀ holdersĀ ofĀ ordinary shares have received Ā£Ā 100,000 perĀ ordinaryĀ share. Holders of deferredĀ shares are not entitled to any further rights of participation in the assets of the Company.Ā The Company has the right to purchase the deferred shares in issue at any time for no consideration.
Ā
On 29 December 2020, for every ten of the 1,425,190,380 ordinary shares of 0.01p then in issue, were consolidated into one ordinary share of 0.1p resulting in there being 142,519,038 ordinary shares of 0.1p in issue.Ā
Ā
Ā
Ā
Issued,Ā allottedĀ andĀ fully paid
Ā
Ā
Ā | 2021 | 2020 |
Ā | Ā£ | Ā£ |
Ā Ordinary shares | Ā 48,769 | Ā 425,190 |
Deferred shares | 2,145,377 | 2,145,377 Ā |
Issued in year - ordinary shares | Ā Ā Ā Ā Ā Ā Ā Ā Ā 93,750 | Ā Ā Ā Ā 62,500 Ā Ā |
Ā Issued in year - deferred shares | Ā Ā Ā Ā Ā Ā Ā Ā 438,921 | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā - |
Ā | Ā Ā Ā Ā 2,726,817 | Ā Ā 2,633,067 |
For the purpose of preparing the consolidated financial statement of Ā the Group, share capital represents the nominal value of the issued share capital of 0.1p per share (2020: 0.1p per share).Ā Share premium represents the excess over nominal value of the fair value consideration received for equity shares net of expenses plus deferred shares of 0.9p after issued share capital of 1p.
Ā
16Ā Ā Ā Ā Ā Ā Ā Ā RELATEDĀ PARTYĀ TRANSACTIONS
Ā
MrĀ CĀ CĀ JohnsonĀ held 18,681,580 ordinary 0.1pĀ sharesĀ inĀ theĀ GroupĀ asĀ atĀ 31Ā MarchĀ 2021 (2020: 186,815,803 ordinary 0.01p).
Ā Ā Ā
Ā Ā Ā Mr J Dubois held 400,000 ordinary 0.1p shares in the Group as at 31 March 2021 (2020: 4,000,000 ordinaryĀ 0.01p.
Ā
MrĀ DĀ CĀ StocksĀ heldĀ no ordinary 0.1p shares Ā inĀ theĀ GroupĀ asĀ atĀ 31Ā March Ā 2021 (2020: 80,330,532 ordinary 0.01p).Ā HeĀ soldĀ hisĀ entire shareholding during the year.
Ā
Mr N Lott held 50,000 ordinary 0.1p shares in the Group as at 31 March 2021 (2020: 500,000 ordinary 0.01p).Ā
Ā
Ā MrĀ PĀ TreadawayĀ Ā held 19,733,466Ā ordinary 0.1p shares in the Group as at 31 March 2021 (2020: 106,484,658 Ā Ā Ā Ā Ā Ā Ā ordinary 0.01p).
Ā Mr G Thorneycroft held 600,000 ordinary 0.1p shares in the Group as at 31 March 2021 (2020: nil).
Ā FurtherĀ detailsĀ relatingĀ to share option and warrants Ā can be found underĀ noteĀ 17.
Ā Ā The following working capital loans have been provided by the Directors: | 2021 | Ā | 2020 |
Ā | Ā£ | Ā | Ā£ |
Ā Ā C C Johnson | Ā | Ā | Ā |
Ā Opening balances | Ā Ā Ā 3,171,511 | Ā | 2,417,146 |
Ā Loan repayments | Ā (526,000) | Ā | - |
Ā Personal drawings | Ā Ā Ā Ā Ā Ā Ā (95,431) | Ā | Ā Ā Ā Ā Ā (141,910) |
Ā Capital injected | Ā Ā Ā Ā Ā Ā 427,785 | Ā | 896,275 |
Ā Interest payable Ā Balance carried forward Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā | Ā Ā Ā Ā Ā Ā Ā Ā 25,000 Ā Ā Ā Ā 3,002,865 | Ā | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā - 3,171,511 Ā Ā Ā |
Ā | Ā Ā Ā Ā Ā Ā Ā Ā | Ā | Ā |
Ā
Ā
Ā Ā Ā Ā Ā Ā
Ā
Mr Johnson'sĀ LoanĀ boreĀ interestĀ duringĀ theĀ year atĀ 5%Ā (2020:Ā 5%Ā pa), butĀ heĀ hasĀ chosenĀ toĀ foregoĀ theĀ interestĀ in bothĀ years with the exception of the first Ā£ 500,000 in this year only, (2020: exception Ā£ nil). Mr Johnson received Ā£ 25,000 interest (2020: nil). Ā MrĀ Johnson isĀ noĀ longerĀ aĀ Director ,Ā butĀ heĀ servedĀ asĀ aĀ Director forĀ partĀ ofĀ the previous yearĀ andĀ remainsĀ a shareholder.Ā MrĀ Dubois'sĀ Loan,Ā whichĀ isĀ fromĀ his PensionĀ Fund ofĀ which heĀ isĀ theĀ sole beneficiary,Ā was at 12% paĀ interestĀ (2020:Ā 12%Ā pa).
Ā
Ā
Ā
Ā
MrsĀ SĀ Johnson,Ā wife ofĀ MrĀ CĀ CĀ JohnsonĀ providedĀ aĀ Loan ofĀ Ā£380,000Ā (2020: Ā£ 380,000) whichĀ boreĀ interest of 5%Ā pa,Ā (2020: 5% pa), toĀ Selmat,Ā a subsidiaryĀ ofĀ theĀ Group.Ā ThisĀ hasĀ beenĀ includedĀ withinĀ MrĀ CĀ CĀ Johnson'sĀ loanĀ balanceĀ above.
Ā
DuringĀ theĀ yearĀ rentsĀ wereĀ paidĀ ofĀ Ā£7,692Ā (2020:Ā Ā£10,000) toĀ theĀ CombeĀ BankĀ HomesĀ PensionĀ SchemeĀ which ownsĀ theĀ freeholdĀ officesĀ atĀ ChequersĀ Barn.Ā Ā MrĀ CĀ CĀ Ā JohnsonĀ isĀ aĀ TrusteeĀ andĀ BeneficiaryĀ ofĀ thatĀ Pension Scheme.
Ā
PriorĀ toĀ MrĀ PĀ Treadaway'sĀ appointmentĀ asĀ aĀ Director,Ā chargesĀ of nil (2020: Ā£70,108)Ā wereĀ paidĀ toĀ himĀ inĀ relationĀ to consultancyĀ services. Mr P Treadaway now takes remuneration as shown in note 4.
Ā
DuringĀ theĀ yearĀ paymentsĀ wereĀ madeĀ toĀ MrĀ DĀ StocksĀ of nil (2020: Ā£68,936) and to Mr N Lott of Ā£9,998 (2020:Ā Ā Ā Ā Ā Ā£ 4,994)Ā forĀ consultancyĀ services.
Ā
Ā
17Ā Ā Ā Ā Ā Ā Ā Ā SHAREĀ OPTIONSĀ ANDĀ WARRANTS
Ā
ShareĀ optionsĀ orĀ warrantsĀ asĀ atĀ theĀ yearĀ end are as follows (2020:nil)
Ā
OnĀ 14Ā July 2020Ā warrantsĀ toĀ subscribeĀ forĀ ordinaryĀ sharesĀ ofĀ 0.01pĀ were grantedĀ as follows:
Ā
(a)Ā Ā SubscribersĀ toĀ theĀ placingĀ effectedĀ in July 2020Ā wereĀ grantedĀ warrantsĀ toĀ subscribeĀ forĀ upĀ toĀ 937,500,000Ā shares forĀ a periodĀ ofĀ twoĀ years,Ā exercisableĀ atĀ 0.2pĀ perĀ share;
Ā
(b)Ā Ā Peterhouse CapitalĀ LimitedĀ wasĀ grantedĀ warrants toĀ subscribeĀ forĀ sharesĀ equivalentĀ upĀ toĀ 3%Ā ofĀ theĀ issued ordinaryĀ shareĀ capital from time to time, exercisable forĀ a periodĀ of twoĀ years,Ā atĀ 0.08pĀ perĀ share.
Ā
Following the consolidation of ordinary shares in December 2020, the warrants have been adjusted and comprise placee warrants to subscribe for up to 93,750,000 ordinary shares of 0.1p at 2p per share, and the warrants held by Peterhouse Capital Limited are exercisable at 0.8p per share.
Ā
Further on 14 July 2020 Ā£ 600,000 of convertible loan notes were issued to Mr C C Johnson as part of arrangements to reorganize loans between him and the Group.Ā The notes are repayable on 31 July 2022 and are convertible at any time into 300,000,000 ordinary shares of 0.01p at 0.2p per share.Ā On conversion warrants to subscribe for up to 300,000,000 ordinary shares will be granted to Mr C C Johnson exercisable for a period of two years from the date of grant at 0.2p per share.Ā Following the consolidation of ordinary shares in December 2020, the loan notes have been adjusted and are convertible into 30,000,000 ordinary shares of 0.1p at 2p per share, with warrants to be granted to subscribe for up to 30,000,000 ordinary shares of 0.1p each at 2p per share.
Ā
18Ā Ā Ā Ā Ā Ā Ā Ā CATEGORIESĀ OFĀ FINANCIALĀ INSTRUMENTS
Ā
AllĀ financialĀ instrumentsĀ are measuredĀ underĀ IFRSĀ 9 atĀ amortisedĀ cost.
Ā
CapitalĀ risk management
Ā
TheĀ GroupĀ considersĀ itsĀ capitalĀ toĀ compriseĀ itsĀ shareĀ capitalĀ andĀ shareĀ premium.Ā Ā TheĀ Group'sĀ capital management objectivesĀ areĀ toĀ safeguardĀ theĀ entity's ability toĀ continue asĀ aĀ going concern,Ā soĀ thatĀ itĀ can continueĀ toĀ provideĀ returnsĀ forĀ shareholders andĀ benefitsĀ forĀ otherĀ stakeholders andĀ toĀ provideĀ anĀ adequate returnĀ toĀ shareholdersĀ byĀ pricingĀ productsĀ andĀ servicesĀ commensuratelyĀ with theĀ level ofĀ risk.
ĀĀ
Ā
Ā
Ā
Ā
SignificantĀ AccountingĀ Policies
Ā
DetailsĀ ofĀ theĀ significantĀ accountingĀ policiesĀ andĀ methodsĀ adopted,Ā includingĀ theĀ criteriaĀ forĀ recognition, theĀ basisĀ of measurementĀ andĀ theĀ basisĀ onĀ whichĀ incomeĀ andĀ expensesĀ are recognised,Ā inĀ respectĀ ofĀ each classĀ of financialĀ asset,Ā financialĀ liability andĀ equityĀ instrument areĀ disclosedĀ onĀ pagesĀ 22Ā to 30Ā toĀ theseĀ financial statements.
Ā
ForeignĀ currencyĀ risk
Ā
TheĀ GroupĀ hasĀ minimalĀ exposureĀ toĀ theĀ differingĀ typesĀ ofĀ foreignĀ currencyĀ risk.Ā Ā ItĀ hasĀ noĀ foreignĀ currency denominatedĀ monetaryĀ assetsĀ orĀ liabilitiesĀ and doesĀ notĀ makeĀ sales orĀ purchasesĀ fromĀ overseasĀ countries.
Ā
InterestĀ rateĀ risk
Ā
TheĀ GroupĀ isĀ sensitiveĀ toĀ changesĀ inĀ interest ratesĀ whereĀ interestĀ is chargedĀ onĀ aĀ variableĀ rateĀ basis. This risk has been minimized by:
Ā
- the bank loan being repaid in full during the year, which was on a variable rate basis,
- renegotiation of interest rates on some of the other loans from 10% to 5% (all fixed rates),
- partial repayments made in the year on other loans and, Ā Ā
- theĀ ParagonĀ mortgagesĀ which areĀ onĀ aĀ fixedĀ rateĀ forĀ theĀ firstĀ fiveĀ yearsĀ ofĀ theĀ seven yearĀ term.
Ā
TheĀ impactĀ ofĀ aĀ 100Ā basisĀ pointĀ increaseĀ inĀ interestĀ ratesĀ onĀ theseĀ loansĀ wouldĀ resultĀ inĀ additionalĀ interestĀ cost forĀ theĀ yearĀ ofĀ Ā£Ā Nil Ā (2020:Ā Ā£14,794).Ā
Ā
CreditĀ risk management
Ā
CreditĀ riskĀ refersĀ toĀ theĀ riskĀ thatĀ aĀ counter-party willĀ defaultĀ onĀ itsĀ contractualĀ obligationsĀ resultingĀ inĀ financial lossĀ toĀ theĀ Group.
Ā
LiquidityĀ riskĀ management
Ā
ThisĀ isĀ theĀ riskĀ ofĀ theĀ GroupĀ notĀ beingĀ ableĀ toĀ continueĀ toĀ operateĀ asĀ a goingĀ concern.
Ā
TheĀ DirectorsĀ have,Ā afterĀ carefulĀ considerationĀ of theĀ factorsĀ setĀ outĀ above,Ā concludedĀ that itĀ isĀ appropriateĀ to adoptĀ theĀ goingĀ concernĀ basisĀ forĀ theĀ preparationĀ ofĀ theĀ financialĀ statementsĀ andĀ theĀ financial statementsĀ doĀ not includeĀ anyĀ adjustmentsĀ thatĀ wouldĀ resultĀ if theĀ goingĀ concernĀ basis wasĀ notĀ appropriate.
Ā
DerivativeĀ financialĀ instruments
TheĀ GroupĀ doesĀ notĀ currentlyĀ useĀ derivativeĀ financialĀ instrumentsĀ asĀ hedgingĀ isĀ notĀ consideredĀ necessary.
Should theĀ GroupĀ identifyĀ aĀ requirementĀ forĀ theĀ future useĀ ofĀ suchĀ financialĀ instruments,Ā aĀ comprehensiveĀ setĀ of policiesĀ andĀ systemsĀ asĀ approvedĀ byĀ theĀ DirectorsĀ willĀ beĀ implemented.
Ā
Financial liabilities | Ā | Ā Ā Due within | Ā Ā Due within | Ā Ā Due over |
Ā | Total | 1 year Ā£ | 1-5 years Ā£ | 5 Years Ā£ |
Ā Trade payables | Ā 455,939 | Ā Ā 455,939 | Ā | Ā |
Borrowings - Directors' loan | 3,152,865 | Ā | 3,152,865 | Ā |
Borrowings - Bank loan | Ā Ā 924,373 | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā - | - | 924,373 |
Borrowings - Other loans | Ā Ā Ā 741,250 | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā | Ā Ā Ā Ā 741,250 | Ā Ā |
TotalĀ Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 5,274,427Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 455,939Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 3,894,115Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 924,373
Ā
Ā
Ā
Ā
Ā
Ā
19Ā Ā Ā Ā Ā Ā Ā Ā Ā EXCEPTIONALĀ ITEM
Ā
ManagementĀ haveĀ performedĀ aĀ reviewĀ ofĀ theĀ assetsĀ ofĀ itsĀ tradingĀ subsidiaries.Ā Consequently,Ā inventoryĀ valuedĀ atĀ Ā£Ā nil Ā (2020: Ā Ā£432,268) Ā lessĀ potential deferredĀ taxĀ of Ā nil Ā (2020:Ā Ā£Ā nil)Ā hasĀ beenĀ written offĀ inĀ theĀ financialĀ statements. Within TNHĀ theĀ sum of nil (2020:Ā£Ā 163,184) Ā hasĀ beenĀ written offĀ whichĀ relatedĀ toĀ costsĀ incurred toĀ dateĀ onĀ aĀ siteĀ where planningĀ permission hasĀ notĀ beenĀ achievedĀ despiteĀ severalĀ submission attemptsĀ andĀ finallyĀ thisĀ wasĀ takenĀ to appealĀ whereĀ thisĀ wasĀ alsoĀ turnedĀ down.
Ā
20Ā Ā Ā Ā Ā Ā Ā Ā Ā NETĀ DEBTĀ RECONCILIATION
Ā
Ā
Ā | 2021 | 2020 |
Ā£ | Ā£ | |
Ā Cash at bank | Ā Ā Ā Ā Ā Ā Ā 246,193 Ā Ā | Ā Ā Ā Ā 27,969 |
Cash and cash equivalents | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 246,193 | 27,969 |
Ā Borrowing repayable within one year (including overdrafts) | Ā Ā Ā Ā Ā (4,818,488) Ā | Ā (6,130,884) |
Ā Net Debt | Ā Ā Ā Ā Ā (4,572,295) Ā | Ā (6,102,915) |
Ā Cash and liquid investments Ā Ā£ | Ā Gross borrowings with a fixed interest rate Ā£ | Ā Total cash and liquid investments Ā Ā£ |
Ā Net debt as at 1 April 2019Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 32,800 | Ā Ā (6,775,565) | Ā (6,742,765) |
Cash flowsĀ Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā (4,831) Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā | Ā Ā Ā Ā Ā Ā Ā 644,681 Ā | Ā Ā Ā Ā Ā Ā Ā 639.850 |
Ā Net debt as at 31 March 2020Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 27,969 | Ā Ā (6,130,884) | Ā (6,102,915) |
Cash flowsĀ Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 218,224 Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā | 1,312,396 Ā Ā | Ā Ā Ā Ā 1,530,620 |
Ā Net debt as at 31 March 2021Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 246,193 Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā | Ā Ā Ā (4,818,488) Ā | Ā (4,572,295) |
Ā
21Ā Ā Ā Ā Ā Ā Ā Ā Ā SUBSEQUENTĀ EVENTS
Ā
EventsĀ followingĀ theĀ year-endĀ thatĀ provideĀ additionalĀ informationĀ aboutĀ theĀ Group'sĀ positionĀ atĀ the reportingĀ dateĀ andĀ areĀ adjustingĀ eventsĀ areĀ reflectedĀ inĀ theĀ financialĀ statements. Ā EventsĀ subsequentĀ toĀ the year-endĀ thatĀ areĀ notĀ adjustingĀ eventsĀ are disclosedĀ inĀ theĀ notesĀ whenĀ material.
Ā
Following the year end, a further loan repayment of Ā£ 50,000 has been made to the DFM Pension Scheme in which Mr J Dubois is the principal beneficiary.
Ā
Ā
Ā
Ā
Ā
Ā
TrafalgarĀ PropertyĀ Group Plc
COMPANYĀ BALANCEĀ SHEET ForĀ theĀ yearĀ ended 31 March 2021
Ā
Ā
Ā | Note | 2021 | 2020 |
Ā | Ā | Ā£ | Restated Ā£ |
FIXED ASSETS | Ā | Ā | Ā |
Ā Investments | Ā 7 | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā - | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā - |
Ā | Ā | - | - |
Ā Current assets | Ā | Ā | Ā |
Stocks | Ā | - | Ā Ā Ā Ā Ā Ā - |
Debtors | 8 | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 22,159 | 350,134 |
Cash at bank and in hand | Ā | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 84,219 | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 3,538 |
Ā Ā Ā Ā | Ā | Ā Ā Ā Ā Ā Ā Ā Ā 106,378 | 353,672 |
Ā EQUITIES & LIABILITIES Ā Ā | Ā | Ā | Ā |
Current liabilities Trade & other payables Ā Ā Ā | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 9 | Ā Ā Ā Ā Ā Ā Ā Ā 652,662 Ā Ā Ā Ā Ā Ā Ā 652,662 | Ā Ā Ā Ā Ā Ā Ā Ā Ā 873,264 Ā Ā Ā Ā Ā Ā Ā Ā 873,264 |
Ā | Ā | Ā | Ā |
Ā Non-current liabilities BorrowingsĀ Total liabilitiesĀ Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā | Ā Ā Ā Ā Ā Ā Ā Ā 10 | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 33,926 Ā Ā Ā Ā Ā Ā Ā Ā Ā 686,588 | Ā Ā Ā Ā Ā Ā Ā Ā Ā 105,000 Ā Ā Ā Ā Ā Ā Ā 978,264 Ā - |
Ā | Ā | Ā | Ā |
Net (liabilities)/assets | Ā | Ā Ā Ā Ā Ā Ā (580,210) | Ā Ā Ā Ā Ā (624,592) |
Ā | Ā | Ā | Ā |
Called up share capital | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 12 | Ā Ā Ā Ā 2,726,817 | Ā Ā Ā Ā 2,633,067 |
Share premium account | Ā | Ā Ā Ā Ā 3,250,249 | Ā Ā Ā Ā 2,660,862 |
Loan note equity reserve | Ā | Ā Ā Ā Ā Ā Ā Ā 104,132 | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā - |
Profit and loss account | Ā | Ā Ā (6,661,408) | Ā Ā Ā (5,918,521) |
Equity - attributable to the owners of the Parent Ā Ā | Ā | Ā Ā Ā Ā Ā (580,210) Ā Ā Ā | Ā Ā Ā Ā Ā (624,592) |
Ā
Ā Total Equity & Liabilities Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 106,378 Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 353,672
Ā
Ā
Ā
TheĀ lossĀ forĀ theĀ financialĀ yearĀ dealtĀ with inĀ theĀ financialĀ statementsĀ ofĀ theĀ Parent Company wasĀ LossĀ Ā£Ā 742,887 (2020:Ā LossĀ Ā£135,165Ā ).
Ā
Ā
Ā
Ā
TheĀ financialĀ statements Ā wereĀ approved Ā byĀ the Ā BoardĀ ofĀ DirectorsĀ on Ā 6 SeptemberĀ 2021 andĀ authorisedĀ for issueĀ andĀ are signedĀ onĀ itsĀ behalf Ā by:
Ā
Ā
Ā
PĀ Treadaway:Ā ā¦ā¦ā¦ā¦ā¦ā¦ā¦ā¦ā¦ā¦ā¦ā¦ā¦ā¦ā¦.Ā Ā Ā Ā JĀ Dubois:Ā ā¦ā¦ā¦ā¦ā¦ā¦ā¦ā¦ā¦ā¦ā¦ā¦ā¦ā¦ā¦ā¦ā¦
Ā
Ā
Ā
CompanyĀ RegistrationĀ Number:Ā 04340125
Ā
Ā
Ā
TheĀ notesĀ onĀ pagesĀ 44Ā toĀ 50 formĀ anĀ integralĀ partĀ ofĀ theseĀ financialĀ statements
Ā
Ā
Ā
TrafalgarĀ PropertyĀ Group Plc
COMPANYĀ STATEMENTĀ OFĀ CHANGESĀ INĀ EQUITY
31 March 2021
Ā | Ā | Ā | |||||||
Ā | Ā | Ā | Ā | Ā | Ā | Ā | |||
Ā | Ā | Ā | Ā | Ā | Ā | Ā | |||
Ā | Ā | Ā | Ā | Ā | Ā | Ā | |||
Ā | Ā Share Capital | Share | Loan Note | Retained | Total Equity | Ā | |||
Ā | Ā | Premium | Equity | profits/ | Ā | Ā | |||
Ā | Ā | Ā | Reserve | (losses) | Ā | Ā | |||
Ā | Ā Ā Ā Ā Ā Ā Ā Ā£ | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā£ | Ā Ā Ā Ā Ā£ | Ā Ā Ā Ā Ā Ā Ā Ā£ | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā£ | Ā | |||
At 1 April 2019 | Ā Ā Ā Ā 2,570,567 | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 2,510,462 | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā - | Ā Ā Ā Ā Ā 5,783,356 | Ā Ā Ā Ā Ā Ā Ā 702,327 | Ā | |||
Loss for the year | Ā | Ā | Ā | Ā (135,165) | Ā (135,165) | Ā | |||
Total comprehensive | Ā | Ā | Ā | Ā | Ā | Ā | |||
income for the year | Ā | Ā | Ā | Ā (135,165) | Ā (135,165) | Ā | |||
Issue of shares | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 62,500 | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 187,500 | Ā | Ā | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 250,000 | Ā | |||
Share issue costs | Ā | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā (37,100) | Ā | Ā | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā (37,100) | Ā | |||
At 31 March 2020 | Ā Ā Ā Ā 2,633,067 | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 2,660,862 | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā -Ā Ā | Ā (5,918,521) | (624,592) | Ā | |||
At 1 AprilĀ 2020 | Ā Ā Ā Ā 2,633,067 | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 2,660,862 | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā -Ā Ā | Ā (5,918,521) | (624,592) | Ā | |||
Ā | Ā | Ā | Ā | Ā | Ā | Ā | |||
Loss for the year | Ā | Ā | Ā | Ā Ā Ā (742,887) | Ā (742,887) | Ā | |||
Total comprehensive | Ā | Ā | Ā | Ā | Ā | Ā | |||
income for the year | Ā | Ā | Ā | Ā (742,887) | Ā Ā Ā Ā (742,887) | Ā | |||
Ā | Ā | Ā | Ā | Ā | Ā | Ā | |||
Loan note equity reserve | Ā | Ā | Ā 104,132 | Ā | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 104,132 | Ā | |||
Issue of shares | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 93,750 | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 656,250 | Ā | Ā | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 750,000 | Ā | |||
Share issue costs | Ā | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā (66,863) | Ā | Ā | Ā (66,863) | Ā | |||
At 31 March 2021 | Ā Ā Ā Ā 2,726,817 | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 3,250,249 | Ā Ā 104,132 | Ā Ā Ā (6,661,408) | Ā (580,210) | Ā | |||
Ā | Ā | Ā | Ā | Ā | Ā | Ā | Ā | Ā | Ā |
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Ā
Further details of share issues in the year are shown in note 12 Ā to the company accounts.
Ā
TheĀ notesĀ onĀ pagesĀ 44Ā toĀ 50 formĀ anĀ integralĀ partĀ ofĀ theseĀ financialĀ statements.
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Ā
Ā
Ā
TrafalgarĀ PropertyĀ Group Plc
NOTESĀ TOĀ THEĀ COMPANYĀ FINANCIALĀ STATEMENTS
forĀ theĀ year ended 31 March 2021
Ā
1Ā Ā Ā Ā Ā Ā Ā Ā GENERALĀ INFORMATION
Ā
NatureĀ ofĀ operations
TrafalgarĀ PropertyĀ GroupĀ PlcĀ ("theĀ Company")Ā isĀ theĀ UKĀ holdingĀ companyĀ ofĀ aĀ groupĀ ofĀ companiesĀ whichĀ are
engagedĀ inĀ property development. Ā TheĀ CompanyĀ isĀ registeredĀ inĀ EnglandĀ andĀ Wales. Ā ItsĀ registeredĀ officeĀ and principalĀ placeĀ ofĀ businessĀ isĀ ChequersĀ Barn,Ā BoughĀ Beech,Ā Edenbridge,Ā KentĀ TN8Ā 7PD.
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2Ā Ā Ā Ā Ā Ā Ā Ā BASISĀ OFĀ PREPARATION
Ā
TheĀ financialĀ statementsĀ haveĀ beenĀ preparedĀ underĀ theĀ historicalĀ costĀ convention andĀ inĀ accordanceĀ with applicableĀ UnitedĀ KingdomĀ law,Ā FRSĀ 102Ā andĀ accounting standards.Ā TheĀ principalĀ accounting policiesĀ are describedĀ below.Ā TheyĀ haveĀ allĀ beenĀ appliedĀ consistentlyĀ throughoutĀ theĀ yearĀ andĀ precedingĀ year.
Ā
The CompanyĀ hasĀ takenĀ advantageĀ ofĀ theĀ exemptionĀ allowedĀ underĀ sectionĀ 408Ā ofĀ theĀ CompaniesĀ ActĀ 2006 and hasĀ notĀ presentedĀ itsĀ ownĀ StatementĀ ofĀ ComprehensiveĀ IncomeĀ toĀ theseĀ financialĀ statements.
Ā
TheĀ CompanyĀ hasĀ takenĀ advantage ofĀ theĀ disclosure exemption from theĀ requirementsĀ ofĀ section 7Ā StatementĀ of Cashflow,Ā asĀ permittedĀ byĀ theĀ FRSĀ 102 "TheĀ FinancialĀ ReportingĀ StandardĀ applicableĀ inĀ theĀ UKĀ andĀ RepublicĀ of Ireland".
3Ā Ā Ā Ā Ā Ā Ā Ā SIGNIFICANTĀ ACCOUNTINGĀ POLICIES (a)Ā Ā Ā Ā Ā GOINGĀ CONCERN
TheĀ DirectorsĀ haveĀ reviewedĀ forecastsĀ andĀ budgetsĀ forĀ theĀ comingĀ year,Ā whichĀ haveĀ beenĀ drawnĀ upĀ with
appropriateĀ regardĀ forĀ theĀ currentĀ economicĀ environmentĀ andĀ theĀ particularĀ circumstancesĀ inĀ whichĀ theĀ Company operates.Ā TheseĀ wereĀ preparedĀ withĀ referenceĀ toĀ historicalĀ andĀ currentĀ industry knowledge, takingĀ intoĀ account futureĀ strategyĀ ofĀ the CompanyĀ andĀ widerĀ Group.
Ā
TheĀ existingĀ operationsĀ haveĀ beenĀ generatingĀ fundsĀ toĀ meetĀ short-term operatingĀ cashĀ requirements.Ā AsĀ aĀ result ofĀ theseĀ considerations,Ā at Ā theĀ timeĀ ofĀ approvingĀ theĀ financialĀ statements,Ā theĀ DirectorsĀ considerĀ thatĀ the CompanyĀ andĀ theĀ GroupĀ haveĀ sufficientĀ resourcesĀ toĀ continueĀ inĀ operationalĀ existenceĀ forĀ theĀ foreseeableĀ future. ItĀ isĀ appropriateĀ toĀ adoptĀ the goingĀ concernĀ basisĀ inĀ theĀ preparationĀ ofĀ theĀ financialĀ statements.
Ā
As withĀ allĀ businessĀ forecasts,Ā theĀ Directors'Ā statementĀ cannotĀ guaranteeĀ that theĀ goingĀ concernĀ basis willĀ remain
appropriateĀ givenĀ theĀ inherentĀ uncertaintyĀ aboutĀ theĀ futureĀ events.
Ā
(b)Ā Ā Ā Ā Ā INVESTMENTS
InvestmentsĀ heldĀ as fixedĀ assetsĀ are statedĀ atĀ costĀ lessĀ provisionĀ forĀ impairment.
Ā
(c)Ā Ā Ā Ā Ā TAXATION
CurrentĀ tax,Ā includingĀ UKĀ corporation taxĀ andĀ foreignĀ tax,Ā isĀ providedĀ atĀ amounts expectedĀ toĀ beĀ paidĀ (or recovered)Ā usingĀ theĀ taxĀ ratesĀ andĀ lawsĀ thatĀ haveĀ beenĀ enactedĀ or substantivelyĀ enactedĀ byĀ theĀ balanceĀ sheetĀ date.
Ā
DeferredĀ taxĀ isĀ recognisedĀ inĀ respect ofĀ allĀ timingĀ differences thatĀ haveĀ originatedĀ butĀ notĀ reversed atĀ the balanceĀ sheetĀ dateĀ whereĀ transactionsĀ orĀ eventsĀ thatĀ resultĀ inĀ anĀ obligationĀ toĀ payĀ moreĀ taxĀ inĀ theĀ futureĀ orĀ a rightĀ toĀ payĀ lessĀ taxĀ inĀ theĀ futureĀ haveĀ occurredĀ atĀ theĀ balanceĀ sheetĀ date.Ā TimingĀ differences areĀ differences betweenĀ theĀ company'sĀ taxableĀ profits andĀ itsĀ results asĀ statedĀ inĀ theĀ financial statements thatĀ ariseĀ fromĀ the inclusionĀ ofĀ gainsĀ andĀ lossesĀ inĀ taxĀ assessmentsĀ inĀ yearsĀ differentĀ fromĀ thoseĀ inĀ whichĀ theyĀ areĀ recognisedĀ in theĀ financialĀ statements.
Ā
AĀ deferredĀ taxĀ assetĀ isĀ regardedĀ asĀ recoverableĀ andĀ therefore recognised onlyĀ when,Ā onĀ theĀ basisĀ ofĀ allĀ available evidence, itĀ canĀ beĀ regardedĀ asĀ moreĀ likely thanĀ notĀ thatĀ thereĀ willĀ beĀ suitableĀ taxableĀ profits fromĀ which the futureĀ reversalĀ ofĀ the underlyingĀ timingĀ differencesĀ canĀ beĀ deducted.
Ā
(d)Ā Ā Ā Ā Ā FINANCIALĀ INSTRUMENTS
FinancialĀ assetsĀ andĀ liabilitiesĀ areĀ recognisedĀ inĀ theĀ statementsĀ ofĀ financialĀ positionĀ whenĀ theĀ CompanyĀ has
becomeĀ a partyĀ toĀ theĀ contractualĀ provisionsĀ ofĀ theĀ instruments.
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TheĀ Company'sĀ financialĀ assetsĀ andĀ liabilitiesĀ areĀ initiallyĀ measuredĀ atĀ fairĀ valueĀ plusĀ anyĀ directlyĀ attributable transaction costs. Ā TheĀ carryingĀ valueĀ ofĀ theĀ Company'sĀ financial assets,Ā primarilyĀ cashĀ andĀ bankĀ balances,Ā and liabilities,Ā primarilyĀ the Company'sĀ payablesĀ andĀ otherĀ accruedĀ expenses,Ā approximateĀ toĀ theirĀ fair values.
Ā
(i)Ā Ā Ā Ā Ā Ā Ā Ā Ā FinancialĀ assets
OnĀ initial recognition, financialĀ assetsĀ areĀ classifiedĀ asĀ eitherĀ financial assetsĀ atĀ fairĀ valueĀ through profitĀ orĀ loss, held-to-maturity investments,Ā loansĀ andĀ receivablesĀ financialĀ assets,Ā orĀ available-for-saleĀ financialĀ assets,Ā as appropriate.
Ā
TradeĀ andĀ otherĀ receivables
Trade andĀ otherĀ receivablesĀ (includingĀ depositsĀ andĀ prepayments)Ā thatĀ haveĀ fixedĀ orĀ determinableĀ paymentsĀ that areĀ notĀ quotedĀ inĀ anĀ activeĀ marketĀ areĀ classifiedĀ asĀ otherĀ receivables, deposits,Ā andĀ prepayments.Ā Ā Other receivables, deposits,Ā andĀ prepayments areĀ measuredĀ atĀ amortisedĀ costĀ usingĀ theĀ effectiveĀ interestĀ method,Ā less anyĀ impairment loss. Ā InterestĀ income isĀ recognised byĀ applyingĀ theĀ effectiveĀ interestĀ rate,Ā exceptĀ forĀ short-term receivablesĀ whenĀ theĀ recognitionĀ ofĀ interestĀ wouldĀ beĀ immaterial.
Ā
(ii)Ā Ā Ā Ā Ā Ā Ā Ā FinancialĀ liabilitiesĀ andĀ equityĀ instruments
FinancialĀ liabilities areĀ classifiedĀ asĀ liabilities orĀ equity inĀ accordanceĀ withĀ theĀ substance ofĀ theĀ contractual arrangement.
Ā
FinancialĀ liabilities
FinancialĀ liabilitiesĀ compriseĀ long-term borrowings,Ā short-term borrowings,Ā tradeĀ andĀ otherĀ payablesĀ and accruals, measuredĀ atĀ amortisedĀ costĀ usingĀ theĀ effectiveĀ interest method.
Ā
TheĀ effectiveĀ interestĀ methodĀ isĀ aĀ methodĀ ofĀ calculatingĀ theĀ amortisedĀ costĀ ofĀ aĀ financialĀ liabilityĀ andĀ of allocating interestĀ incomeĀ overĀ theĀ relevantĀ period. Ā TheĀ effectiveĀ interestĀ rateĀ isĀ theĀ rateĀ thatĀ exactly discounts estimatedĀ futureĀ cashĀ paymentsĀ (including allĀ feesĀ onĀ pointsĀ paidĀ orĀ receivedĀ thatĀ formĀ anĀ integralĀ partĀ ofĀ the effectiveĀ interestĀ rate,Ā transaction costsĀ andĀ otherĀ premiumsĀ orĀ discounts)Ā throughĀ theĀ expectedĀ lifeĀ ofĀ the financialĀ liability,Ā or,Ā whereĀ appropriate,Ā a shorterĀ periodĀ toĀ the netĀ carryingĀ amountĀ onĀ initialĀ recognition.
Ā
EquityĀ instruments
AnĀ equityĀ instrumentĀ isĀ anyĀ contractĀ thatĀ evidencesĀ aĀ residualĀ interestĀ inĀ theĀ assetsĀ ofĀ an entityĀ afterĀ deductingĀ all itsĀ liabilities. Ā EquityĀ instruments issuedĀ byĀ theĀ CompanyĀ areĀ recognisedĀ atĀ theĀ proceedsĀ received,Ā netĀ ofĀ direct issueĀ costs.
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4Ā Ā Ā Ā Ā Ā Ā Ā Ā CRITICALĀ Ā ACCOUNTINGĀ Ā JUDGEMENTSĀ Ā ANDĀ Ā KEYĀ Ā SOURCESĀ Ā OFĀ Ā ESTIMATION UNCERTAINTY
Ā
InĀ theĀ applicationĀ ofĀ theĀ Company'sĀ accountingĀ policies,Ā whichĀ areĀ describedĀ inĀ noteĀ 3,Ā theĀ DirectorsĀ are requiredĀ toĀ makeĀ judgements,Ā estimatesĀ andĀ assumptionsĀ aboutĀ theĀ carryingĀ amountsĀ ofĀ assets andĀ liabilitiesĀ that areĀ notĀ apparentĀ fromĀ other sources.Ā The estimatesĀ andĀ assumptionsĀ are basedĀ on historicalĀ experienceĀ and other factors,Ā includingĀ expectationsĀ ofĀ futureĀ eventsĀ thatĀ areĀ believedĀ toĀ beĀ reasonableĀ underĀ theĀ circumstances. ActualĀ resultsĀ mayĀ differĀ fromĀ theseĀ estimates.
Ā
TheĀ estimatesĀ andĀ underlyingĀ assumptionsĀ areĀ reviewedĀ onĀ anĀ on-goingĀ basis.Ā RevisionsĀ toĀ accountingĀ estimates areĀ recognisedĀ inĀ theĀ periodĀ inĀ which theĀ estimate isĀ revisedĀ ifĀ theĀ revision affectsĀ onlyĀ thatĀ periodĀ orĀ inĀ the periodĀ ofĀ theĀ revisionĀ andĀ futureĀ periodsĀ ifĀ theĀ revisionĀ affectsĀ bothĀ currentĀ andĀ futureĀ periods.
Ā
TheĀ followingĀ areĀ theĀ keyĀ assumptionsĀ concerning theĀ futureĀ andĀ otherĀ keyĀ sources ofĀ estimationĀ uncertainty at theĀ statementĀ ofĀ financialĀ position dateĀ thatĀ haveĀ aĀ significant riskĀ ofĀ causingĀ aĀ significant adjustment toĀ the carryingĀ amountsĀ ofĀ assetsĀ andĀ liabilitiesĀ inĀ theĀ financialĀ statements:
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Ā
Ā
CarryingĀ valueĀ ofĀ investmentsĀ inĀ subsidiariesĀ andĀ intercompany
Management'sĀ assessmentĀ forĀ impairmentĀ ofĀ investmentĀ inĀ subsidiariesĀ isĀ basedĀ onĀ theĀ estimationĀ ofĀ valueĀ in use ofĀ theĀ subsidiaryĀ byĀ forecastingĀ theĀ expectedĀ futureĀ cash flows expectedĀ onĀ eachĀ developmentĀ project.Ā The value
ofĀ theĀ investmentĀ in subsidiariesĀ isĀ basedĀ onĀ theĀ subsidiariesĀ beingĀ ableĀ toĀ realiseĀ theirĀ cashĀ flowĀ projections.
Ā
RecognitionĀ ofĀ deferredĀ taxĀ assets
The recognitionĀ ofĀ deferredĀ tax assetsĀ is based upon whetherĀ itĀ isĀ moreĀ likelyĀ thanĀ notĀ thatĀ sufficientĀ andĀ suitable taxableĀ profitsĀ willĀ beĀ availableĀ inĀ theĀ futureĀ againstĀ whichĀ theĀ reversalĀ ofĀ temporaryĀ differencesĀ can Ā be
deducted.Ā Ā ToĀ determineĀ theĀ futureĀ taxableĀ profits,Ā referenceĀ isĀ madeĀ toĀ theĀ latestĀ availableĀ profitĀ forecasts. WhereĀ theĀ temporaryĀ differencesĀ are relatedĀ toĀ losses,Ā relevantĀ tax lawĀ isĀ consideredĀ to determineĀ theĀ availability ofĀ theĀ lossesĀ toĀ offsetĀ againstĀ theĀ futureĀ taxableĀ profits.
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Ā
5Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā LOSSĀ FORĀ FINANCIALĀ PERIOD
Ā
TheĀ CompanyĀ hasĀ takenĀ advantageĀ ofĀ sectionĀ 408Ā ofĀ theĀ CompaniesĀ ActĀ 2006Ā and,Ā consequently,Ā aĀ profitĀ and
lossĀ accountĀ forĀ theĀ CompanyĀ aloneĀ hasĀ notĀ beenĀ presented. Ā TheĀ Company's lossĀ forĀ theĀ financialĀ periodĀ Ā was
Ā£742,887Ā (2020:Ā LossĀ Ā£135,165).Ā TheĀ Company'sĀ lossĀ forĀ theĀ financialĀ yearĀ hasĀ beenĀ arrivedĀ atĀ afterĀ charging auditor'sĀ remunerationĀ payableĀ toĀ MHAĀ MacIntyreĀ Hudson forĀ auditĀ servicesĀ toĀ theĀ CompanyĀ ofĀ Ā£10,000Ā (2020:
Ā£10,000).
Ā
6Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā EMPLOYEESĀ ANDĀ DIRECTORS'Ā REMUNERATION
Ā
Ā | 2021 | Ā | 2020 |
Ā | Ā£ | Ā | Ā£ |
Ā Directors' fees | Ā 97,000 | Ā | Ā 15,000 |
Social security costs | Ā Ā Ā Ā Ā Ā Ā Ā Ā 10,938 | Ā | 879 |
Management fees | 9,998 | Ā | 4,994 |
Ā | Ā Ā Ā Ā Ā Ā Ā 117,936 | Ā | 20,873 |
Ā
Ā
TheĀ averageĀ numberĀ ofĀ employeesĀ ofĀ the CompanyĀ duringĀ theĀ year was:
Ā
Ā | 2021 | 2020 |
Ā | Number | Number |
Ā Directors and management | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 3 | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 3 |
Ā
Ā
ThereĀ are noĀ retirementĀ benefitsĀ accruingĀ toĀ anyĀ ofĀ theĀ Directors.
Ā
Ā£Ā 9,998Ā (2020:Ā Ā£4,994) wasĀ paidĀ toĀ MrĀ NormanĀ LottĀ for hisĀ professionalĀ services.
Ā
AdditionalĀ directorsĀ remunerationĀ ofĀ Ā£Ā 45,000Ā (2020:Ā Ā£45,000)Ā wasĀ paidĀ toĀ a directorĀ throughĀ subsidiaryĀ entities.
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7Ā Ā Ā Ā Ā Ā Ā Ā INVESTMENTS
Ā
TheĀ CompanyĀ ownsĀ theĀ followingĀ undertakings,Ā allĀ ofĀ whichĀ areĀ incorporatedĀ inĀ theĀ UnitedĀ KingdomĀ andĀ have theirĀ registeredĀ officesĀ atĀ ChequersĀ Barn,Ā ChequersĀ Hill,Ā BoughĀ Beech,Ā Edenbridge,Ā Kent,Ā TN8Ā 7PD.
Ā
Ā
Ā
Ā
Ā Ā Held directly | Class of shares Ā held | Ā Ā Ā Ā Ā Ā Ā Ā % Shareholding | Principal Activity |
Ā Trafalgar New Homes Limited | Ā Ordinary shares | Ā 100% | Ā Residential property developers |
Ā Trafalgar Retirement + Limited | Ā Ordinary shares | Ā 100% | Ā Residential property & assisted living scheme |
Ā Selmat Limited | Ā Ordinary shares | Ā 100% | Ā Residential property renting |
Ā
Ā
Ā
Held indirectly through Trafalgar New Homes Limited
Combe Bank HomesĀ Ā Ā Ordinary sharesĀ Ā Ā Ā Ā 100% Ā Ā Ā Ā Residential property developers
(Oakhurst) Limited
Ā
Held indirectly through Trafalgar Retirement + Limited
Randell House LimitedĀ Ā Ā Ā Ā Ordinary sharesĀ Ā Ā 100%Ā Ā Ā Assisted living developers
(dissolved 22 September 2020)
Ā
Controlled via Deed of Trust
Combe House (BoroughĀ Ā Ordinary sharesĀ Ā 100%Ā Ā Residential property developers
Green) Limited
Ā
Ā
Ā
Ā
Ā
Ā
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8Ā Ā Ā Ā Ā Ā Ā Ā DEBTORS
Ā
Ā | 2021 | Ā | 2020 |
Ā | Ā£ | Ā | Ā£ |
Ā Amounts owed by group undertakings | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā - | Ā | Ā 343,068 |
Other debtors | Ā Ā Ā Ā Ā Ā Ā Ā Ā 16,637 | Ā | 1,822 |
Other taxes and social security | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 5,522 | Ā | 5,244 |
Ā | Ā Ā Ā Ā Ā Ā Ā Ā Ā 22,159 | Ā | 350,134 |
Ā
9Ā Ā Ā Ā Ā Ā CREDITORS:Ā AMOUNTSĀ FALLINGĀ DUEĀ WITHINĀ ONEĀ YEAR
Ā
Ā
Ā
Ā | 2021 | Ā | 2020 |
Ā | Ā£ | Ā | Restated Ā£ |
Trade creditors | 21,713 | Ā | 36,860 |
Taxation and social security | 5,313 | Ā | 1,323 |
Other creditors | 25,636 | Ā | 30,300 |
Amounts owed to group undertakings | 600,000 | Ā | 804,781 |
Ā | 652,662 | Ā | 873,264 |
Ā
Ā
Ā
Ā
Ā
Ā
Ā
Ā
10Ā Ā Ā Ā Ā BORROWINGS Ā The Borrowings balance in both 2021 and 2020 relates to Director's loans. These balances in both 2021 and 2020 are due in more than one year. The balance for 2020 has been restated as it was incorrectly shown as due within one year. This restatement has no impact on the financial performance of the Company and is purely a reclassification between being due in less than one year to more than one year. Ā Ā Ā Ā Ā | |||
Ā | Ā | Ā | Ā |
11 Ā Ā Ā Ā Ā FINANCIAL INSTRUMENTS Ā | 2021 Ā Ā | Ā | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 2020 |
Ā Financial assets measured at amortised cost: Amounts owed by group undertakings and other debtors | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā£ Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 16,637 | Ā Ā Ā Ā Ā | Ā Ā Ā Ā Ā Ā Ā Ā Ā£ Ā 344,890 |
Financial liabilities Financial liabilities measured at amortised cost | Ā Ā Ā Ā Ā Ā Ā 681,275 Ā | Ā | Ā 976,941 |
Ā
FinancialĀ liabilitiesĀ include,Ā tradeĀ creditors,Ā otherĀ creditorsĀ andĀ amountsĀ dueĀ toĀ groupĀ undertakings.
Ā
12Ā Ā Ā Ā Ā Ā SHAREĀ CAPITAL
Issued, allotted and paid Ā share capital | Ā | Ā | Ā | Ā | Ā | |
Ā | Ā | Ā | Ā | Ā Ā Ā Ā Ā Ā Ā Ā Ā 2021 | Ā Ā Ā Ā Ā Ā 2020 | Ā |
Ā | Ā | Ā | Ā | Ā Ā Ā Number | Ā Number | Ā |
Ordinary shares | Ā | Ā | Ā | Ā | Ā | Ā |
Ordinary shares of 0.01p (2020: 0.1p) Ā in issue | Ā | Ā | Ā 487,690,380 | 425,190,380 | Ā | |
Ordinary shares of 0.01p Ā (2020: 0.1p) issued in year | Ā | Ā 937,500,000 | Ā 62,500,000 | Ā | ||
Total ordinary shares of Ā 0.01p (2020: 0.1p) in issue | Ā | Ā 1,425,190,380 | 487,690,380 | Ā | ||
Total ordinary shares of Ā 0.1p in issue following consolidation | Ā | Ā 142,519,038 | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā - | Ā | ||
Deferred sharesĀ | Ā | Ā | Ā | Ā | Ā | Ā |
Deferred shares of 0.9p in issue | Ā | Ā | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā 238,375,190 | 238,375,190 | Ā | |
Deferred shares of 0.9p arising in year from reorganisation Total Deferred shares of 0.9p in issue | Ā | Ā Ā 48,769,038 Ā Ā 287,144,228 | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā - Ā 238,375,190 | Ā |
Ā
Ā
Ā
Ā Issued allotted and paid | 2021 | 2020 |
Ā | Ā£ | Ā£ |
Ordinary shares of 0.01p (2020: 0.1p) in issue Ā | 48,769 | Ā Ā Ā Ā Ā Ā Ā 425,190 |
Ordinary shares of 0.01p (2020: 0.1p) issued in year Ā Ā Ā | 93,750 | Ā Ā Ā Ā Ā Ā 62,500 Ā |
Total Ordinary shares of 0.1p in issue following | Ā Ā 142,519 | Ā 487,690 |
Re-organisation | Ā | Ā |
Ā | Ā | Ā |
Deferred shares of 0.9p in issue | 2,145,377 | Ā Ā Ā Ā 2,145,377 |
Ā Ā Deferred shares of 0.9p arising in year from reorganization | Ā Ā 438,921 | Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā - |
Ā Ā Re-organisation | 2,584,298 | Ā Ā Ā Ā 2,145,377 |
Ā | Ā | Ā |
Ā | 2,726,817 | Ā Ā Ā Ā 2,633,067 |
Ā
OnĀ 13 July 2020 the Company undertook a sub-division of its ordinary shares, which sub divided the 487,690,380 0.1p ordinary shares of 0.1p each into 487,690,380 ordinary shares of 0.01p each and 487,690,380 0.09p deferred shares of 0.09p each.Ā The 0.09p deferred shares of 0.09p each were consolidated into deferred shares of 0.9p each ranking pari passu as one class with the existing deferred shares of 0.9p each.
Ā
On 14 July 2020, 937,500,000 ordinary shares of 0.01p each were issued under a placing at 0.08p each (at a premium of 0.07p per share) to raise Ā£ 750,000 before costs of Ā£ 66,863.
Ā
In addition, on 14 July 2020 warrants to subscribe for ordinary shares of 0.01p were granted as follows:
Ā
(a)Ā Ā Subscribers to the placing were granted warrants to subscribe for up to 937,500,000 shares for a period of two years, exercisable at 0.2p per share;
Ā
(b)Ā Ā Peterhouse Capital Limited was granted warrants to subscribe for shares equivalent up to 3% of the issued ordinary share capital from time to time, exercisable for a period of two years, at 0.08p per share.
Ā
Ā Ā Ā Ā Ā Ā Ā Following the consolidation of ordinary shares in December 2020, the warrants have been adjusted and comprise placee Ā Ā Ā Ā Ā Ā warrants to subscribe for up to 93,750,000 ordinary shares of 0.1p at 2p per share, and the warrants held by Peterhouse Capital Limited are exercisable at 0.8p per share.
Ā
In relation to the granting of these warrants to Peterhouse Capital Limited, these fall under the requirements of IAS 39 Financial Instruments and as such are accounted for at fair value through profit or loss.Ā At the grant date of these warrants these are valued using a Black Scholes model to determine the intrinsic value of the warrant and a liability is recognized for this amount with a corresponding expense through the income statement.Ā The Directors' have concluded that the intrinsic value of the warrant as at 31 March 2021 is not material to the results and subsequent movements in the share price have decreased this value further.Ā As such no accounting entries have been made to these results.
Ā
Further on 14 July 2020 Ā£ 600,000 of convertible loan notes were issued to Mr CĀ C Johnson as part of arrangements to reorganise loans between him and the Group.Ā The notes are repayable on 31 July 2022 and are convertible at any time Ā into 300,000,000 ordinary shares of 0.01p at 0.2p per share. On conversion, warrants to subscribe for up to 300,000,000 ordinary shares will be granted to Mr C C Johnson exercisable for a period of Ā two years from the date of grant at 0.2p per share.Ā Following the consolidation of ordinary shares in December 2020, the loan notes have been adjusted and are convertible into 30,000,000 ordinary shares of 0.1p at 2p per share, with warrants to be granted to subscribe for up to 30,000,000 ordinary shares of 0.1p each at 2p per share, with warrants to be granted to subscribe for up to 30,000,000 ordinary shares of 0.1p each at 2p per share.
Ā
The convertible loan notes have been accounted for as having both a debt and an equity element.Ā This results in the creation of a loan note equity reserve at the point of issue.Ā This loan note equity reserve is the difference between the loan note value received by the company of Ā£ 600,000 and the fair value of a debt only instrument with a 10% imputed interest rate and a final settlement figure of Ā£ 600,000 in July 2022.Ā This 10% imputed interest rate is managements' best estimate as to the interest rate that would be expected from the market for an unsecured loan of Ā£ 600,000 without a conversion element.
Ā
Ā
Ā
Ā
Ā
Ā
OrdinaryĀ sharesĀ entitleĀ theĀ holderĀ toĀ receiveĀ noticeĀ ofĀ andĀ toĀ attendĀ orĀ voteĀ at Ā anyĀ generalĀ meetingĀ of Ā Ā theĀ Company or Ā toĀ receivedividends orĀ otherĀ distributions.
Ā
Ā
DeferredĀ sharesĀ doĀ notĀ entitle theĀ holderĀ toĀ receiveĀ noticeĀ ofĀ andĀ toĀ attendĀ orĀ voteĀ atĀ anyĀ generalĀ meeting ofĀ the Company orĀ toĀ receiveĀ dividends orĀ otherĀ distributions.Ā UponĀ windingĀ upĀ orĀ dissolution ofĀ theĀ Company the holdersĀ ofĀ deferredĀ sharesĀ shallĀ beĀ entitledĀ toĀ receiveĀ an amountĀ equalĀ toĀ theĀ nominalĀ amountĀ paidĀ upĀ thereon,Ā but only afterĀ holdersĀ ofĀ ordinary shares have received Ā£Ā 100,000 perĀ ordinaryĀ share.Ā Holders of deferredĀ shares are not entitled to any further rights of participation in the assets of the Company.Ā The Company has the right to purchase the deferred shares in issue at any time for no consideration.
Ā
On 29 December 2020 for every ten of the 1,425,190,380 ordinary shares of 0.01p then in issue, were consolidated into one ordinary share of 0.1pĀ resulting in there being 142,519,038 ordinary shares of 0.1p in issue.
Ā
Ā 13Ā Ā Ā Ā Ā INTERCOMPANYĀ TRANSACTIONS
Ā
TheĀ company has taken advantage ofĀ the exemption conferred by FRS102 Section 33Ā "RelatedĀ Party disclosures"Ā notĀ toĀ discloseĀ transactionsĀ undertakenĀ withĀ other whollyĀ owned membersĀ ofĀ theĀ Group and transactions with directors.
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Ā
14Ā Ā Ā Ā Ā POSTĀ BALANCEĀ SHEETĀ EVENTS
Ā
There are no events to report.
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Ā
TRAFALGARĀ PROPERTYĀ GROUPĀ PLC
(RegisteredĀ inĀ EnglandĀ No.Ā 04340125)
Ā
NOTICEĀ OFĀ ANNUALĀ GENERALĀ MEETING
Ā
ExplanationĀ ofĀ resolutionsĀ atĀ theĀ AnnualĀ GeneralĀ Meeting
Ā
InformationĀ relatingĀ toĀ resolutionsĀ toĀ beĀ proposedĀ atĀ theĀ AnnualĀ GeneralĀ MeetingĀ isĀ setĀ outĀ below.Ā TheĀ noticeĀ of
AGMĀ is setĀ outĀ onĀ pageĀ 52
Ā
BusinessĀ atĀ theĀ AGM
Ā
The followingĀ resolutionsĀ willĀ beĀ proposedĀ atĀ theĀ AGM:
(a)Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā ResolutionĀ 1: Ā toĀ approveĀ theĀ annualĀ reportĀ andĀ accounts. Ā TheĀ DirectorsĀ areĀ requiredĀ toĀ layĀ before theĀ CompanyĀ at theĀ AGMĀ theĀ accountsĀ ofĀ theĀ CompanyĀ forĀ theĀ financialĀ year endedĀ 31Ā MarchĀ 2021 , theĀ reportĀ ofĀ theĀ DirectorsĀ andĀ theĀ reportĀ ofĀ the Company'sĀ auditorsĀ onĀ thoseĀ accounts.
Ā
(b)Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā ResolutionĀ 2:Ā Ā Ā to Ā approveĀ the Ā re-appointmentĀ of Ā MHAĀ MacIntyreĀ HudsonĀ as Ā auditorsĀ of Ā the Company. Ā TheĀ CompanyĀ isĀ requiredĀ toĀ appointĀ auditorsĀ atĀ eachĀ generalĀ meeting atĀ whichĀ accounts areĀ laid,Ā to holdĀ officeĀ untilĀ the nextĀ suchĀ meeting.
Ā
(c)Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā ResolutionĀ 3:Ā toĀ approveĀ theĀ remunerationĀ ofĀ theĀ auditorsĀ forĀ the nextĀ year.
Ā
(d)Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Resolution 4: to re-appoint Gary Thorneycroft as a Director; Gary was appointed during the financial year, and is required to be re-appointed at the first Annual General Meeting following his appointment.
Ā
(e)Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Resolution 5:Ā Ā Ā to Ā re-appointĀ Paul TreadawayĀ as Ā a Ā Director;Ā PaulĀ is Ā retiring Ā by Ā rotationĀ and submittingĀ himselfĀ forĀ re-election.
Ā
(f)Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Resolutions 6 and 7:Ā Ā Ā to approve the renewal of general authorities to allot shares, which expire at the AGM, for the purpose of (i) granting the Directors general authority to allot up to a maximum nominal amount of Ā£140,000, representing approximately 98% of the current issued ordinary share capital; and (ii) disapplying pre-emption rights in connection with the allotment of up to a maximum nominal amount of Ā£140,000, representing approximately 98% of the current issued ordinary share capital.
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AttendanceĀ atĀ theĀ AGM
Ā
There are no longer any Covid-19 related legal prohibitions on attending the meeting in person.Ā However, in light of the continuing impact of Covid-19, current government guidance, and recognising that some members and proxies may still be reluctant to attend in person, (i) the vote on each of the resolutions put to the meeting will be taken on a poll; and (ii) shareholders are strongly advised to appoint the chairman of the meeting as their proxy.
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AnyĀ shareholderĀ whoĀ wishesĀ toĀ raiseĀ a questionĀ isĀ askedĀ toĀ contactĀ theĀ CompanyĀ onĀ 01732Ā 700000.
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TRAFALGARĀ PROPERTYĀ GROUPĀ PLC
(RegisteredĀ inĀ EnglandĀ No.Ā 04340125)
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NOTICEĀ OFĀ ANNUALĀ GENERALĀ MEETING
NOTICEĀ ISĀ HEREBY GIVENĀ thatĀ theĀ 2021Ā AnnualĀ GeneralĀ Meeting ofĀ theĀ CompanyĀ willĀ beĀ heldĀ atĀ the Company'sĀ officesĀ atĀ ChequersĀ Barn, BoughĀ Beech, Edenbridge,Ā KentĀ TN8Ā 7PDĀ atĀ 11.00Ā a.m.Ā onĀ 30th September Ā 2021,Ā forĀ theĀ followingĀ purposes:
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RESOLUTIONS
ToĀ considerĀ and,Ā ifĀ thoughtĀ fit,Ā toĀ passĀ resolutionsĀ 1 toĀ 5 asĀ ordinaryĀ resolutions:
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1Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā ToĀ receiveĀ andĀ adoptĀ theĀ directors'Ā report,Ā theĀ auditor'sĀ reportĀ andĀ theĀ Company'sĀ accountsĀ forĀ the
yearĀ endedĀ 31Ā MarchĀ 2021.
2Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā ToĀ re-appointĀ MHAĀ MacIntyreĀ HudsonĀ asĀ auditor inĀ accordanceĀ with sectionĀ 489Ā ofĀ theĀ Companies
ActĀ 2006,Ā toĀ holdĀ officeĀ untilĀ theĀ conclusionĀ ofĀ theĀ AnnualĀ GeneralĀ MeetingĀ ofĀ theĀ CompanyĀ in
2022.
3Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā ToĀ authoriseĀ theĀ DirectorsĀ toĀ determineĀ theĀ remunerationĀ ofĀ theĀ auditor.
4Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā ToĀ re-appointĀ Gary ThorneycroftĀ as a DirectorĀ ofĀ the Company.
5Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā ToĀ re-appointĀ Paul TreadawayĀ as a DirectorĀ ofĀ the Company.
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Special business
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To consider and, if thought fit, to pass resolution 6 as an ordinary resolution, and resolution 7 as a special resolution:
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6Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā THAT, in addition to all existing authorities conferred on the directors to allot shares or to grant rights to subscribe for or to convert any securities into shares, the directors be authorised generally and unconditionally pursuant to Section 551 of the Companies Act 2006 as amended to exercise all the powers of the Company to allot shares and/or rights to subscribe for or to convert any security into shares, provided that the authority conferred by this resolution shall be limited to the allotment of shares and/or rights to subscribe or convert any security into shares of the Company up to an aggregate nominal amount of Ā£140,000 such authority (unless previously revoked, varied or renewed) to expire on the conclusion of the Annual General Meeting of the Company to be held in 2022 or, if earlier, 15 months after the date on which this resolution has been passed, provided that the Company may, before such expiry, make an offer, agreement or other arrangement which would or might require shares and/or rights to subscribe for or to convert any security into shares to be allotted after such expiry and the directors may allot such shares and/or rights to subscribe for or to convert any security into shares in pursuance of such offer, agreement or other arrangement as if the authority conferred hereby had not expired.
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7Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā THAT, in addition to all existing authorities conferred on the directors to allot shares or to grant rights to subscribe for or to convert any securities into shares, the directors be and are hereby generally empowered to allot equity securities (within the meaning of Section 560 of the Companies Act 2006) pursuant to the general authority conferred by resolution 6 above for cash or by way of sale of treasury shares as if Section 561 of the Companies Act 2006 or any pre-emption provisions contained in the Company's articles of association did not apply to any such allotment, provided that the power conferred by this resolution shall be limited to
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(i)Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā any allotment of equity securities where such securities have been offered (whether by way of rights issue, open offer or otherwise) to holders of equity securities in proportion (as nearly as may be practicable) to their then holdings of such securities, but subject to the directors having the right to make such exclusions or other arrangements in connection with such offer as they deem necessary or expedient to deal with fractional entitlements or legal or practical problems arising in, or pursuant to, the laws of any territory or the requirements of any regulatory body or stock exchange in any territory or otherwise howsoever;
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(ii)Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā the allotment (otherwise than pursuant to sub-paragraph (i) above) of equity securities up to an aggregate nominal value of Ā£140,000,
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such authority and power (unless previously revoked, varied or renewed) to expire on the earlier to occur of 15 months after the passing of this resolution or the conclusion of the Annual General Meeting of the Company to be held in 2022, provided that the Company may prior to such expiry make any offer, agreement or other arrangement which would or might require equity securities to be allotted after such expiry and the directors may allot equity securities pursuant to any such offer, agreement or other arrangement as if the power hereby conferred had not expired.
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Dated:Ā Ā 6 September 2021
Registered office:Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā By order of the Board
Chequers BarnĀ Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā N W Narraway
Chequers HillĀ Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Secretary
Bough Beech
Edenbridge
KentĀ TN8 7PD
Notes:
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1.Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā There are no longer any Covid-19 related legal prohibitions on attending the meeting in person.Ā However, in light of the continuing impact of Covid-19, current government guidance, and recognising that some members and proxies may still be reluctant to attend in person, (i) the vote on each of the resolutions put to the meeting will be taken on a poll; and (ii) shareholders are strongly advised to appoint the chairman of the meeting as their proxy.
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2.Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā AsĀ aĀ memberĀ ofĀ theĀ Company,Ā youĀ areĀ entitledĀ toĀ appointĀ aĀ proxyĀ toĀ exerciseĀ allĀ orĀ anyĀ ofĀ your rightsĀ toĀ attend, speakĀ andĀ voteĀ atĀ theĀ MeetingĀ andĀ youĀ shouldĀ have receivedĀ aĀ proxyĀ formĀ withĀ this noticeĀ ofĀ meeting. Ā YouĀ canĀ onlyĀ appointĀ aĀ proxyĀ using theĀ proceduresĀ set outĀ inĀ theseĀ notesĀ andĀ the notesĀ toĀ theĀ proxyĀ form.
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3.Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā AĀ proxyĀ doesĀ notĀ needĀ toĀ beĀ aĀ memberĀ ofĀ theĀ CompanyĀ butĀ mustĀ attendĀ theĀ MeetingĀ toĀ represent you. Ā Details ofĀ howĀ toĀ appointĀ theĀ ChairmanĀ ofĀ theĀ MeetingĀ orĀ anotherĀ personĀ asĀ yourĀ proxyĀ using theĀ proxyĀ formĀ areĀ setĀ outĀ inĀ theĀ notesĀ toĀ theĀ proxyĀ form. As all resolutions will be taken on a poll, shareholders are strongly advised to appoint the chairman of the meeting as their proxy.Ā
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4.Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā YouĀ mayĀ appointĀ moreĀ thanĀ oneĀ proxyĀ providedĀ eachĀ proxyĀ isĀ appointedĀ toĀ exercise rightsĀ attached to differentĀ shares.Ā YouĀ mayĀ notĀ appointĀ moreĀ thanĀ one proxyĀ toĀ exerciseĀ rightsĀ attachedĀ toĀ anyĀ one share.Ā ToĀ appointĀ moreĀ thanĀ oneĀ proxy,Ā youĀ mayĀ photocopyĀ theĀ enclosedĀ proxyĀ form.
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5.Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā If youĀ do notĀ give yourĀ proxyĀ anĀ indicationĀ of howĀ toĀ voteĀ onĀ anyĀ resolution,Ā yourĀ proxyĀ willĀ voteĀ or abstainĀ from votingĀ atĀ hisĀ orĀ herĀ discretion. Ā YourĀ proxyĀ willĀ voteĀ (orĀ abstainĀ fromĀ voting)Ā asĀ heĀ or sheĀ thinksĀ fitĀ inĀ relationĀ toĀ anyĀ other matterĀ whichĀ isĀ putĀ beforeĀ theĀ Meeting.
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6.Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā TheĀ notesĀ toĀ theĀ proxyĀ formĀ explainĀ howĀ toĀ directĀ yourĀ proxyĀ howĀ toĀ voteĀ onĀ eachĀ resolutionĀ or withholdĀ their vote.
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7.Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā To appoint a proxy using theĀ proxyĀ form, the form must be:
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Ā (a)Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā completed and signed;
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(b)Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā sentĀ orĀ deliveredĀ toĀ theĀ Company'sĀ Registrars,Ā NevilleĀ RegistrarsĀ Limited,Ā Neville
House,Ā SteelparkĀ Road,Ā HalesowenĀ B62Ā 8HD;Ā and
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(c)Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā receivedĀ byĀ noĀ laterĀ thanĀ 11.00a.m.Ā on 28Ā September Ā 2021.
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AnyĀ powerĀ ofĀ attorneyĀ orĀ anyĀ otherĀ authorityĀ underĀ whichĀ theĀ proxyĀ formĀ isĀ signedĀ (orĀ aĀ duly certifiedĀ copyĀ ofĀ suchĀ powerĀ orĀ authority)Ā mustĀ beĀ includedĀ withĀ theĀ proxyĀ form.
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8.Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā ToĀ changeĀ yourĀ proxyĀ appointment, simplyĀ submitĀ aĀ newĀ proxyĀ appointmentĀ usingĀ theĀ methodsĀ set outĀ above. Ā NoteĀ thatĀ theĀ cut-offĀ timeĀ forĀ receiptĀ ofĀ proxyĀ appointments (seeĀ above)Ā alsoĀ applyĀ in relationĀ toĀ amendedĀ instructions;Ā anyĀ amendedĀ proxyĀ appointmentĀ receivedĀ afterĀ the relevantĀ cut-off timeĀ willĀ beĀ disregarded.
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WhereĀ youĀ haveĀ appointedĀ aĀ proxyĀ usingĀ theĀ hard-copyĀ proxyĀ formĀ andĀ wouldĀ likeĀ toĀ changeĀ the instructionsĀ usingĀ anotherĀ hard-copyĀ proxyĀ form, youĀ mayĀ photocopyĀ theĀ enclosedĀ proxyĀ form.
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IfĀ youĀ submitĀ moreĀ thanĀ oneĀ validĀ proxyĀ appointment,Ā theĀ appointmentĀ receivedĀ lastĀ beforeĀ the latestĀ timeĀ forĀ theĀ receiptĀ ofĀ proxiesĀ willĀ takeĀ precedence.
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9.Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā InĀ orderĀ toĀ revokeĀ aĀ proxyĀ appointmentĀ youĀ willĀ needĀ toĀ informĀ theĀ Company byĀ sendingĀ aĀ signed hardĀ copyĀ noticeĀ clearlyĀ statingĀ thatĀ youĀ revokeĀ yourĀ proxyĀ appointment toĀ NevilleĀ Registrars Limited,Ā NevilleĀ House,Ā SteelparkĀ Road,Ā Halesowen,Ā B62Ā 8HD.Ā AnyĀ powerĀ ofĀ attorneyĀ orĀ anyĀ other authorityĀ underĀ which theĀ revocation noticeĀ isĀ signedĀ (orĀ aĀ duly certifiedĀ copy ofĀ suchĀ powerĀ or authority)Ā mustĀ beĀ includedĀ withĀ theĀ revocationĀ notice.
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TheĀ revocationĀ noticeĀ mustĀ be receivedĀ byĀ noĀ laterĀ thanĀ 11.00Ā a.m.Ā on 28Ā SeptemberĀ 2021.
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IfĀ youĀ attemptĀ toĀ revokeĀ yourĀ proxyĀ appointmentĀ butĀ theĀ revocationĀ isĀ receivedĀ afterĀ theĀ time specifiedĀ then,Ā subjectĀ toĀ theĀ paragraphĀ directlyĀ below,Ā yourĀ proxyĀ appointmentĀ willĀ remainĀ valid.
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AppointmentĀ ofĀ a proxyĀ doesĀ notĀ preclude you fromĀ attendingĀ theĀ MeetingĀ andĀ votingĀ inĀ person.
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10.Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā Ā PursuantĀ toĀ RegulationĀ 41Ā ofĀ theĀ UncertificatedĀ SecuritiesĀ RegulationsĀ 2001,Ā onlyĀ thoseĀ members registeredĀ inĀ theĀ registerĀ ofĀ membersĀ ofĀ theĀ Company asĀ atĀ 6.00Ā p.m.Ā onĀ 28Ā SeptemberĀ 2021Ā shallĀ be entitledĀ toĀ attendĀ andĀ vote atĀ thisĀ MeetingĀ inĀ respectĀ ofĀ the numberĀ of sharesĀ registeredĀ inĀ their name atĀ thatĀ time.Ā Ā ChangesĀ toĀ entriesĀ onĀ theĀ relevantĀ registerĀ ofĀ securitiesĀ afterĀ suchĀ timeĀ shallĀ be disregardedĀ inĀ determiningĀ the rightsĀ ofĀ anyĀ personĀ toĀ attendĀ or voteĀ atĀ thisĀ Meeting.
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