CCO Trading Limited - Period Ending 2021-01-31
CCO Trading Limited - Period Ending 2021-01-31
Registration number:
CCO Trading Limited
for the Year Ended 31 January 2021
CCO Trading Limited
Contents
Company Information |
|
Strategic Report |
|
Directors' Report |
|
Statement of Directors' Responsibilities |
|
Independent Auditor's Report |
|
Consolidated Profit and Loss Account |
|
Consolidated Statement of Comprehensive Income |
|
Consolidated Balance Sheet |
|
Balance Sheet |
|
Consolidated Statement of Changes in Equity |
|
Statement of Changes in Equity |
|
Consolidated Statement of Cash Flows |
|
Notes to the Financial Statements |
CCO Trading Limited
Company Information
Directors |
H E M Osmond A P Bradshaw |
Company secretary |
A P Bradshaw |
Registered office |
|
Auditors |
|
CCO Trading Limited
Strategic Report for the Year Ended 31 January 2021
The directors present their strategic report for the year ended 31 January 2021.
Principal activity
The principal activity of the company is a holding company for a group of investments in several businesses. The underlying businesses are in a range of sectors including farming, property, hotels and advisory services. The group also has a subsidiary with operations in France.
Review of the business
During the period under review the consolidated turnover was £3.5m (2020: £3.2m) and the Group generated a profit after taxation of £2.5m (2020: loss of £5.7m).
In August 2020 Rare Bird Hotels Ltd completed a hive down of its trade and assets to a newly formed subsidiary, Rare Bird Hotels at Streatley Ltd. This subsidiary was sold on 18 September 2020 to Various Eateries Trading plc in exchange for 9,523,809 shares in that company. The group has therefore realised a profit on disposal of its hotel operations of £6.8m.
Farming revenues fell year on year with a decrease from £743k to £622k.The business performed as expected.
The Apex Building was substantially completed at the end of 2019. The Apex2100 International Ski Academy took up occupancy of the facility in January 2020 with 60 students and staff in residence. The remaining works to the building were completed in 2021. The Academy now has over 50 students and is expected to expand significantly in 2022.
In the current year exchange movements resulted in a gain of £0.393m (2020: loss of £0.286m).
CCO Trading Limited
Strategic Report for the Year Ended 31 January 2021
Principal risks and uncertainties
The Directors are responsible for the Group’s system of internal financial controls. Although no system of financial control can provide absolute assurance against material misstatement or loss, the Group’s system is designed to provide reasonable assurance that problems are identified on a timely basis and dealt with appropriately.
In carrying out their responsibility the Directors have put in place a framework of controls to ensure as far as possible that ongoing financial performance is monitored in a timely manner, that corrective action is taken and that risk is identified as early as possible.
Farming risks are principally in the area of crop production and pricing. The Directors work with a specialist to assist with the management of the farm to ensure that crop production is effective. In addition the Board seeks advice regarding crop prices and market conditions to ensure an appropriate understanding and appreciation of the timing of sale to ensure best prices are obtained.
The investment in Apex has also resulted in a foreign exchange risk as Apex has been completing the development of a building in France, hence the build cost will be denominated in Euro. This is monitored by the Board and suitable hedging strategies will be implemented if considered appropriate and necessary.
The global coronavirus pandemic highlights the impact of wider risks outside of the company's control and the effects of the pandemic have continued into the year ending 31 January 2022 and likely beyond, having a direct effect on trading conditions, a wider effect on the global economy and causing restrictions on travel and hospitality. Despite the Group's exposure to the effects on the hospitality industry, the directors believe that the Group has diverse businesses in unrelated industries thereby providing a hedge against industry-specific risks caused by the pandemic, making the Group well positioned to handle these challenges.
CCO Trading Limited
Strategic Report for the Year Ended 31 January 2021
Financial key performance indicators
The Board monitors each business and the underlying investments on a monthly basis via the use of financial analysis, budgets and performance reviews. The Board monitors both through financial reports and discussions with management. Key financial performance indicators across all businesses are revenue, revenue growth and EBITDA which are implemented by each subsidiary.
The Board also ensures that where applicable suitable timescales and milestones are agreed and monitored. In particular these controls are used in property development and capital expenditure projects.
Approved by the
.........................................
Company secretary and director
CCO Trading Limited
Directors' Report for the Year Ended 31 January 2021
The directors present their report and the for the year ended 31 January 2021.
Directors of the group
The directors who held office during the year were as follows:
Financial instruments
Objectives and policies
The Group's activities expose it to a number of financial risks including credit risk, cash flow risk and liquidity risk. The use of financial derivatives is governed by the Group's policies approved by the board of directors, which provide written principles on the use of the financial derivatives to manage these risks. The Group does not use derivative financial instruments for speculative purposes.
Price risk, credit risk, liquidity risk and cash flow risk
Cash flow risk
The Group's activities expose it primarily to the financial risks of changes in foreign currency exchange rates and interest rates. The Group does not use derivatives to hedge the risk of movements in exchange rates but monitors the position and if considered appropriate will implement suitable hedging strategies. Interest bearing assets and liabilities are held at fixed rate to ensure certainty of cash flows.
Credit risk
The Group's principal financial assets are bank balances and cash, trade and other receivables, listed investments and related party and external loans.
The Group's credit risk is primarily attributable to its trade receivables and related party loans. The amounts presented in the balance sheet are net of allowances for doubtful receivables, where appropriate. An allowance for impaiment is made where there is an identified loss event which, based on previous experience, is evidence of a reduction in the recoverability of the cash flows.
The credit risk on liquid funds is limited because the counterparties are with reputable banks with high credit-ratings assigned by international credit-rating agencies.
The Group has no significant concentration of credit risk, with exposure spread over a large number of counterparties and customers.
Liquidity risk
In order to maintain liquidity to ensure that sufficient funds are available for ongoing operations and future developments, the Group uses a mixture of long-term and short-term debt finance.
Foreign currency exchange rate risk
The Group is exposed to foreign currency exchange rate risk as a result of its foreign operations and euro denominated preference shares. The Group does not use hedging to manage its foreign exchange risk.
CCO Trading Limited
Directors' Report for the Year Ended 31 January 2021
Going concern
The financial statements have been prepared on a going concern basis. The directors consider this to be appropriate despite the net current liabilities of the group at the end of the current period.
The directors have an reasonable expectation that the group has adequate resources to continue in operational existence for the foreseeable future and continue to adopt the going concern basis in preparing the financial statements.
Separately the directors have also expressed an intention to sell one of the group's non-core, non-current assets which would boost the company's liquidity, although no formal sale of the asset has currently taken place.
Additionally, the group has received assurances that certain current liabilities will not be recalled unless the group has sufficient funds to facilitate repayment.
Disclosure of information to the auditor
Each director has taken steps that they ought to have taken as a director in order to make themselves aware of any relevant audit information and to establish that the company's auditor is aware of that information. The directors confirm that there is no relevant information that they know of and of which they know the auditor is unaware.
Approved by the
.........................................
Company secretary and director
CCO Trading Limited
Statement of Directors' Responsibilities
The directors acknowledge their responsibilities for preparing the Annual Report and the financial statements in accordance with applicable law and regulations.
Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. In preparing these financial statements, the directors are required to:
• |
select suitable accounting policies and apply them consistently; |
• |
make judgements and accounting estimates that are reasonable and prudent; |
• |
state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and |
• |
prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. |
The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
CCO Trading Limited
Independent Auditor's Report to the Members of CCO Trading Limited
Opinion
We have audited the financial statements of CCO Trading Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 January 2021, which comprise the Consolidated Profit and Loss Account, Consolidated Statement of Comprehensive Income, Consolidated Balance Sheet, Balance Sheet, Consolidated Statement of Changes in Equity, Statement of Changes in Equity, Consolidated Statement of Cash Flows, and Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).
In our opinion the financial statements:
• | give a true and fair view of the state of the group's and the parent company's affairs as at 31 January 2021 and of the group's profit for the year then ended; |
• | have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and |
• | have been prepared in accordance with the requirements of the Companies Act 2006. |
Basis for opinion
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the 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, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
Conclusions relating to going concern
In auditing the financial statements, we have concluded that the director's use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the original financial statements were authorised for issue.
Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.
Other information
The directors are responsible for the other information. The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.
In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.
We have nothing to report in this regard.
CCO Trading Limited
Independent Auditor's Report to the Members of CCO Trading Limited
Opinion on other matter prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of the audit:
• |
the information given in the Strategic Report and Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
• |
the Strategic Report and Directors' Report have been prepared in accordance with applicable legal requirements. |
Matters on which we are required to report by exception
In the light of our knowledge and understanding of the 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 and the Directors' Report.
We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:
• | adequate accounting records have not been kept by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or |
• | the parent company financial statements are not in agreement with the accounting records and returns; or |
• | certain disclosures of directors’ remuneration specified by law are not made; or |
• | we have not received all the information and explanations we require for our audit. |
Responsibilities of directors
As explained more fully in the Statement of Directors' Responsibilities set out on page 7, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, the directors are responsible for assessing the 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.
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 the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
CCO Trading Limited
Independent Auditor's Report to the Members of CCO Trading Limited
Detecting irregularities, including fraud
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. As such, we have considered:
• the nature of the industry and sector, control environment and business performance including the group's remuneration policies, bonus levels, and performance targets;
• the group's own assessment, including assessments made by key management, of the risks that irregularities may occur either as a result of fraud or error;
• any matters we identified having reviewed the company's policies and procedures relating to:
- identifying, evaluating and complying with laws and regulations and whether they were aware of any instances of non-compliance;
- detecting and responding to the risks of fraud and whether they have knowledge of any actual, suspected or alleged fraud; and
- the internal controls established to mitigate risks of fraud or non-compliance with laws and regulations;
• the matters discussed amongst the audit engagement team.
As a result of these procedures, we considered the opportunities and incentives that may exist within the organisation for fraud and identified the greatest potential for fraud in the areas in which management is required to exercise significant judgement, such as the disclosure of adjusting items. In common with all audits under ISAs (UK), we are also required to perform specific procedures to respond to the risk of management override.
We also obtained an understanding of the legal and regulatory framework that the company operates in, focusing on provisions of those laws and regulations that had a direct effect on the determination of material amounts and disclosures in the financial statements. The key laws and regulations we considered in this context were the Companies Act, tax legislation and regulations concerning importing and exporting to and from the UK.
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.
......................................
For and on behalf of
2 Old Bath Road
Berkshire
RG14 1QL
CCO Trading Limited
Consolidated Profit and Loss Account for the Year Ended 31 January 2021
Note |
Continuing operations |
Discontinued operations |
Total |
Continuing operations |
Discontinued operations |
Total |
|
Turnover |
|
|
|
|
|
|
|
Cost of sales |
( |
( |
( |
( |
( |
( |
|
Gross profit |
|
|
|
|
|
|
|
Administrative expenses |
( |
( |
( |
( |
( |
( |
|
Other operating income |
|
|
|
|
|
|
|
Operating loss |
( |
( |
( |
( |
( |
( |
|
Profit on disposal of operations |
- |
|
|
- |
- |
- |
|
Gain on financial assets at fair value through profit and loss account |
|
- |
|
- |
- |
- |
|
Other interest receivable and similar income |
|
- |
|
|
- |
|
|
Amounts written off investments |
( |
- |
( |
- |
- |
- |
|
Interest payable and similar expenses |
( |
- |
( |
( |
- |
( |
|
(1,320,919) |
- |
(1,320,919) |
(1,022,485) |
- |
(1,022,485) |
||
(Loss)/profit before tax |
( |
|
|
( |
( |
( |
|
Tax on profit/(loss) |
|
- |
|
- |
- |
- |
|
(Loss)/profit for the financial year |
( |
|
|
( |
( |
( |
CCO Trading Limited
Consolidated Profit and Loss Account for the Year Ended 31 January 2021
Note |
Continuing operations |
Discontinued operations |
Total |
Continuing operations |
Discontinued operations |
Total |
|
Profit/(loss) attributable to: |
|||||||
Owners of the company |
( |
|
|
( |
( |
( |
|
Minority interests |
( |
|
|
( |
( |
( |
|
( |
|
|
( |
( |
( |
CCO Trading Limited
Consolidated Statement of Comprehensive Income for the Year Ended 31 January 2021
2021 |
2020 |
|
Profit/(loss) for the year |
|
( |
Foreign currency translation gains/(losses) |
( |
|
Total comprehensive income for the year |
|
( |
Total comprehensive income attributable to: |
||
Owners of the company |
|
( |
Minority interests |
|
( |
|
( |
CCO Trading Limited
(Registration number: 05902636)
Consolidated Balance Sheet as at 31 January 2021
Note |
2021 |
2020 |
|
Fixed assets |
|||
Intangible assets |
|
|
|
Tangible assets |
|
|
|
Investment property |
|
|
|
Other financial assets |
14 |
14 |
|
|
|
||
Current assets |
|||
Stocks |
|
|
|
Debtors |
|
|
|
Other financial assets |
6,619,047 |
- |
|
Cash at bank and in hand |
|
|
|
|
|
||
Creditors: Amounts falling due within one year |
( |
( |
|
Net current liabilities |
( |
( |
|
Total assets less current liabilities |
|
|
|
Creditors: Amounts falling due after more than one year |
( |
( |
|
Provisions for liabilities |
- |
( |
|
Net assets |
|
|
|
Capital and reserves |
|||
Called up share capital |
3,228,633 |
3,228,633 |
|
Share premium reserve |
13,508,155 |
13,508,155 |
|
Foreign currency translation reserve |
(64,796) |
55,931 |
|
Non-distributable reserve |
(333,334) |
- |
|
Merger reserve |
19,019,406 |
19,019,406 |
|
Investment property revaluation reserve |
1,132,452 |
661,661 |
|
Profit and loss account |
(7,937,498) |
(10,151,052) |
|
Equity attributable to owners of the company |
28,553,018 |
26,322,734 |
|
Minority interests |
(555,314) |
(654,038) |
|
Shareholders' funds |
27,997,704 |
25,668,696 |
Approved and authorised by the
.........................................
Company secretary and director
CCO Trading Limited
(Registration number: 05902636)
Balance Sheet as at 31 January 2021
Note |
2021 |
2020 |
|
Fixed assets |
|||
Investments |
|
|
|
Current assets |
|||
Debtors |
|
|
|
Cash at bank and in hand |
|
|
|
|
|
||
Creditors: Amounts falling due within one year |
( |
( |
|
Net current assets |
|
|
|
Total assets less current liabilities |
|
|
|
Creditors: Amounts falling due after more than one year |
( |
( |
|
Net assets |
|
|
|
Capital and reserves |
|||
Called up share capital |
3,228,633 |
3,228,633 |
|
Share premium reserve |
13,508,155 |
13,508,155 |
|
Profit and loss account |
3,166,183 |
3,179,858 |
|
Shareholders' funds |
19,902,971 |
19,916,646 |
The company made a loss after tax for the financial year of £13,675 (2020 - profit of £458,333).
Approved and authorised by the
.........................................
Company secretary and director
CCO Trading Limited
Consolidated Statement of Changes in Equity for the Year Ended 31 January 2021
Equity attributable to the parent company
Share capital |
Share premium |
Foreign exchange reserve |
Merger reserve |
Investment property revaluation reserve |
Profit and loss account |
Total |
Non- controlling interests |
|
At 1 February 2019 |
|
|
|
|
|
( |
|
|
Loss for the year |
- |
- |
- |
- |
- |
( |
( |
( |
Other comprehensive income |
- |
- |
|
- |
- |
- |
|
- |
Total comprehensive income |
- |
- |
|
- |
- |
( |
( |
( |
New share capital subscribed |
- |
- |
- |
- |
- |
- |
- |
|
At 31 January 2020 |
|
|
|
|
|
( |
|
( |
Total equity |
|
At 1 February 2019 |
|
Loss for the year |
( |
Other comprehensive income |
|
Total comprehensive income |
( |
New share capital subscribed |
|
At 31 January 2020 |
|
CCO Trading Limited
Consolidated Statement of Changes in Equity for the Year Ended 31 January 2021
Equity attributable to the parent company
Share capital |
Share premium |
Foreign currency translation |
Non- |
Merger reserve |
Investment property revaluation reserve |
Profit and loss account |
Total |
|
At 1 February 2020 |
|
|
|
- |
|
|
( |
|
Profit for the year |
- |
- |
- |
- |
- |
- |
|
|
Other comprehensive income |
- |
- |
( |
- |
- |
- |
- |
( |
Total comprehensive income |
- |
- |
( |
- |
- |
- |
|
|
Transfers |
- |
- |
- |
(333,334) |
- |
470,791 |
(137,457) |
- |
At 31 January 2021 |
|
|
( |
( |
|
|
( |
|
Non- controlling interests |
Total equity |
|
At 1 February 2020 |
( |
|
Profit for the year |
|
|
Other comprehensive income |
- |
( |
Total comprehensive income |
|
|
Transfers |
- |
- |
At 31 January 2021 |
( |
|
CCO Trading Limited
Statement of Changes in Equity for the Year Ended 31 January 2021
Share capital |
Share premium |
Profit and loss account |
Total |
|
At 1 February 2019 |
|
|
|
|
Profit for the year |
- |
- |
|
|
Total comprehensive income |
- |
- |
|
|
At 31 January 2020 |
|
|
|
|
Share capital |
Share premium |
Profit and loss account |
Total |
|
At 1 February 2020 |
|
|
|
|
Loss for the year |
- |
- |
( |
( |
Total comprehensive income |
- |
- |
( |
( |
At 31 January 2021 |
|
|
|
|
CCO Trading Limited
Consolidated Statement of Cash Flows for the Year Ended 31 January 2021
Note |
2021 |
2020 |
|
Cash flows from operating activities |
|||
Profit/(loss) for the year |
|
( |
|
Adjustments to cash flows from non-cash items |
|||
Depreciation and amortisation |
|
|
|
Changes in fair value of investment property |
( |
- |
|
Change in fair value of investments |
333,334 |
- |
|
Profit on disposal of tangible assets |
- |
( |
|
(Profit)/loss from disposals of business segments and investments |
( |
|
|
Finance income |
( |
( |
|
Finance costs |
|
|
|
Income tax expense |
( |
- |
|
Impairment of loans |
- |
20,918 |
|
( |
( |
||
Working capital adjustments |
|||
Decrease in stocks |
|
|
|
Increase in trade debtors and other financial assets |
( |
( |
|
Increase in trade creditors |
|
|
|
Cash generated from operations |
( |
|
|
Income taxes received |
- |
|
|
Net cash flow from operating activities |
( |
|
|
Cash flows from investing activities |
|||
Interest received |
|
|
|
Acquisitions of tangible assets |
( |
( |
|
Proceeds from sale of tangible assets |
|
|
|
Acquisition of intangible assets |
( |
( |
|
Proceeds from sale of intangible assets |
- |
|
|
Movement in related party loans |
- |
(71,641) |
|
Net cash flows from investing activities |
( |
( |
|
Cash flows from financing activities |
|||
Interest paid |
( |
( |
|
Proceeds from issue of ordinary shares, net of issue costs |
- |
|
|
Proceeds from bank borrowing draw downs |
|
|
|
Proceeds from other borrowing draw downs |
|
|
|
Proceeds from issue of convertible debt, net of issue costs |
|
|
|
Net cash flows from financing activities |
|
|
|
Net decrease in cash and cash equivalents |
( |
( |
|
Cash and cash equivalents at 1 February |
|
|
CCO Trading Limited
Consolidated Statement of Cash Flows for the Year Ended 31 January 2021
Note |
2021 |
2020 |
|
Effect of exchange rate fluctuations on cash held |
|
( |
|
Cash and cash equivalents at 31 January |
1,008,517 |
1,550,628 |
CCO Trading Limited
Notes to the Financial Statements for the Year Ended 31 January 2021
General information |
The company is a private company limited by share capital, incorporated in England and Wales.
The address of its registered office and principal place of business is:
England
These financial statements were authorised for issue by the
Accounting policies |
Summary of significant accounting policies and key accounting estimates
The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.
Statement of compliance
These financial statements have been prepared in accordance with Financial Reporting Standard 102 Section 1A - 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006.
Basis of preparation
These financial statements have been prepared using the historical cost convention except that as disclosed in the accounting policies certain items are shown at fair value.
Basis of consolidation
The consolidated financial statements consolidate the financial statements of the company and its subsidiary undertakings drawn up to 31 January 2021. Where subsidiaries do not have a 31 January 2021 year end, interim figures have been prepared to this date for the purposes of the consolidation.
A subsidiary is an entity controlled by the company. Control is achieved where the company has the power to govern the financial and operating policies of an entity so as to obtain benefits from its activities.
The results of subsidiaries acquired or disposed of during the year are included in the Profit and Loss Account from the effective date of acquisition or up to the effective date of disposal, as appropriate. Where necessary, adjustments are made to the financial statements of subsidiaries to bring their accounting policies into line with those used by the group.
The purchase method of accounting is used to account for business combinations that result in the acquisition of subsidiaries by the group. The cost of a business combination is measured as the fair value of the assets given, equity instruments issued and liabilities incurred or assumed at the date of exchange, plus costs directly attributable to the business combination. Identifiable assets acquired and liabilities and contingent liabilities assumed in a business combination are measured initially at their fair values at the acquisition date. Any excess of the cost of the business combination over the acquirer’s interest in the net fair value of the identifiable assets, liabilities and contingent liabilities recognised is recorded as goodwill.
CCO Trading Limited
Notes to the Financial Statements for the Year Ended 31 January 2021
Inter-company transactions, balances and unrealised gains on transactions between the company and its subsidiaries, which are related parties, are eliminated in full.
Intra-group losses are also eliminated but may indicate an impairment that requires recognition in the consolidated financial statements.
Accounting policies of subsidiaries have been changed where necessary to ensure consistency with the policies adopted by the group. Non-controlling interests in the net assets of consolidated subsidiaries are identified separately from the group’s equity therein. Non-controlling interests consist of the amount of those interests at the date of the original business combination and the non-controlling shareholder’s share of changes in equity since the date of the combination.
Going concern
The financial statements have been prepared on a going concern basis. The directors consider this to be appropriate despite the net current liabilities of the group at the end of the current period.
The directors have an reasonable expectation that the group has adequate resources to continue in operational existence for the foreseeable future and continue to adopt the going concern basis in preparing the financial statements.
Separately the directors have also expressed an intention to sell one of the group's non-core, non-current assets which would boost the company's liquidity, although no formal sale of the asset has currently taken place.
Additionally, the group has received assurances that certain current liabilities will not be recalled unless the group has sufficient funds to facilitate repayment.
Judgements
Financial instruments classification - The classification of financial instruments as 'basic' or 'other' requires judgment as to whether all the applicable conditions for classification as basic are met. This includes consideration of the form of the instrument and its return. |
Impairment of goodwill - Determining whether goodwill is impaired requires an estimation of the value in use of the cash generating units (CGU) to which goodwill has been allocated. The value in use calculation requires the Group to estimate the future cash flows expected to arise from the CGU and apply a suitable discount rate in order to calculate the present value. The carrying amount of £134,030 (2020: £178,668) is shown in the intangible assets note. |
Impairment of investments - Determining whether investments in the parent company are impaired requires an estimation of the value in use of cash generating units (CGU) to which the investments are allocated. The value in use calculation requires the Company to estimate future cash flows expected to arise from the CGU and apply a suitable discount rate in order to calculate the present value. The carrying amount of £9,250,204 (2020: £9,250,204) is shown in the investments note. |
Impairment of tangible fixed assets - Determining whether tangible fixed assets are impaired requires an estimation of the value in use of cash generating units (CGU) to which the investments are allocated. The value in use calculation requires the Company to estimate future cash flows expected to arise from the CGU and apply a suitable discount rate in order to calculate the present value. The carrying amount of £53,334,584 (2020: £65,085,419) is shown in the tangible assets note. |
Impairment of amounts owed by related undertakings - Determining whether amounts owed by related undertakings to the group and by group undertakings to the parent company requires judgment to be made by the directors in respect of the recoverability of those amounts. An assessment is made by the Group of the ability of these undertakings to repay the amounts due and a provision is made where appropriate. The carrying amount of these debtors is disclosed in note 19. An impairment provision of nil (2020: £20,918) has been made against these debtors. |
CCO Trading Limited
Notes to the Financial Statements for the Year Ended 31 January 2021
Revenue recognition
Revenue is recognised to the extent that it is probable that the economic benefits will flow to the Group and the revenue can be reliably measured. Revenue is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, Value Added Tax and other sales taxes.
Revenue comprises sales recognised by the Group in respect of goods and services supplied during the year, exclusive of Value Added Tax and trade discounts. In respect of the different trades undertaken by the Group, this includes:
Revenue in relation to goods and services supplied in the normal course of operations of a hotel business (excluding Value Added Tax). Income from the ownership and operation of hotels is recognised at the point at which the accomodation and related services are provided.
Revenue from farming activities is recognised when the sale of produce occurs.
Revenue from school fees and consultancy are recognised at the point at which services are provided.
Revenue additionally comprises sales recognised by the Group in respect of the sale of completed property development.
Rental income, exclusive of Value Added Tax, is recognised on a receivable basis.
Foreign currency transactions and balances
Non-monetary items measured in terms of historical cost in a foreign currency are not retranslated but stated at the exchange rate prevailing at the date of teh transaction.
Foreign exchange gains and losses resulting from the settlement of transactions and from the translation at period ended exchange rates in relation to monetary assets and liabilities denominated in foreign currencies are recognised in the income statement.
The results of overseas operations are translated at the average rates of exchange during the period and their balance sheets at the rates ruling at the balance sheet date. Exchange differences arising on translation of the opening net assets and results of overseas operations are reported in other comprensive income and accumulated in equity.
Tax
The tax expense for the period comprises current tax payable and deferred tax.
The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the company operates and generates taxable income.
Deferred tax is recognised in respect of all timing differences between taxable profits and profits reported in the financial statements.
Unrelieved tax losses and other deferred tax assets are recognised when it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.
Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date and that are expected to apply to the reversal of the timing difference.
CCO Trading Limited
Notes to the Financial Statements for the Year Ended 31 January 2021
Tangible assets
Tangible assets are stated in the balance sheet at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.
The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.
Depreciation
Depreciation is charged so as to write off the cost of assets, other than land and properties under construction over their estimated useful lives, as follows:
Asset class |
Depreciation method and rate |
Freehold property |
2% straight line |
Leasehold improvements |
Over 15 years |
Plant & machinery |
20% straight line |
Motor vehicles |
25% reducing balance |
Fixtures & fittings |
20% reducing balance |
Office equipment |
25% reducing balance |
Computer equipment |
20-25% reducing balance |
Investment property
Business combinations
Business combinations are accounted for using the purchase method. The consideration for each acquisition is measured at the aggregate of the fair values at acquisition date of assets given, liabilities incurred or assumed, and equity instruments issued by the group in exchange for control of the acquired, plus any costs directly attributable to the business combination. When a business combination agreement provides for an adjustment to the cost of the combination contingent on future events, the group includes the estimated amount of that adjustment in the cost of the combination at the acquisition date if the adjustment is probable and can be measured reliably.
Goodwill
Goodwill arising on the acquisition of an entity represents the excess of the cost of acquisition over the company’s interest in the net fair value of the identifiable assets, liabilities and contingent liabilities of the entity recognised at the date of acquisition. Goodwill is initially recognised as an asset at cost and is subsequently measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is held in the currency of the acquired entity and revalued to the closing rate at each reporting period date. Goodwill is amortised over its useful life, which shall not exceed ten years if a reliable estimate of the useful life cannot be made.
Intangible assets
Separately acquired trademarks and licences are shown at historical cost.
Trademarks, licences (including software) and customer-related intangible assets acquired in a business combination are recognised at fair value at the acquisition date.
Trademarks, licences and customer-related intangible assets have a finite useful life and are carried at cost less accumulated amortisation and any accumulated impairment losses.
CCO Trading Limited
Notes to the Financial Statements for the Year Ended 31 January 2021
Amortisation
Amortisation is provided on intangible assets so as to write off the cost, less any estimated residual value, over their useful life as follows:
Asset class |
Amortisation method and rate |
Goodwill |
10% straight line |
Website costs and patents |
20% straight line |
Internally generated software development costs |
20% straight line |
Other intangible assets |
20% straight line |
Investments
Investments in equity shares which are publicly traded or where the fair value can be measured reliably are initially measured at fair value, with changes in fair value recognised in profit or loss. Investments in equity shares which are not publicly traded and where fair value cannot be measured reliably are measured at cost less impairment.
Interest income on debt securities, where applicable, is recognised in income using the effective interest method. Dividends on equity securities are recognised in income when receivable.
Cash and cash equivalents
Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.
Debtors
Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.
Stocks
Stocks are stated at the lower of cost and net realisable value, being the estimated selling price less costs to complete and sell. Cost is based on the cost of purchase on a first in, first out basis. Work in progress and finished goods include labour and attributable overheads.
Stocks which are agricultural assets are valued at the lower of cost and net realisable value after due allowances for obsolete and slow-moving items. Cost includes all direct costs and an appropriate proportion of fixed and variable overheads.
Creditors
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers.
Borrowings
Interest-bearing borrowings are initially recorded at fair value, net of transaction costs. Interest-bearing borrowings are subsequently carried at amortised cost, with the difference between the proceeds, net of transaction costs, and the amount due on redemption being recognised as a charge to the Profit and Loss Account over the period of the relevant borrowing.
Interest expense is recognised on the basis of the effective interest method and is included in interest payable and similar charges.
Borrowings are classified as current liabilities unless the company has an unconditional right to defer settlement of the liability for at least twelve months after the reporting date.
CCO Trading Limited
Notes to the Financial Statements for the Year Ended 31 January 2021
Leases
Leases in which substantially all the risks and rewards of ownership are retained by the lessor are classified as operating leases. Payments made under operating leases are charged to profit or loss on a straight-line basis over the period of the lease.
Share capital
Ordinary shares are classified as equity. Equity instruments are measured at the fair value of the cash or other resources received or receivable, net of the direct costs of issuing the equity instruments. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis.
Defined contribution pension obligation
A defined contribution plan is a pension plan under which fixed contributions are paid into a pension fund and the company has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.
Contributions to defined contribution plans are recognised as employee benefit expense when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.
CCO Trading Limited
Notes to the Financial Statements for the Year Ended 31 January 2021
Financial instruments
Classification
The Group's financial instruments comprise trade and other debtors, cash and cash equivalents, bank overdrafts, trade and other creditors, loans from banks and other third parties, loans to and from related parties, investments in non-puttable ordinary shares and preference shares classified as debt.
Financial assets and financial liabilities are recognised when the Group becomes a party to the contractual provisions of the instrument.
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the Group after deducting all of its liabilities.
Recognition and measurement
All financial assets and liabilities are initially measured at transaction price (including transaction costs), except for those financial assets classified as at fair value through profit or loss, which are initially measured at fair value, unless the arrangement constitutes a financing transaction. A financing transaction may arise where payment is deferred beyond normal business terms or financed at a rate of interest that is not a market rate. If an arrangement constitutes a financing transaction, the financial asset or financial liability is measured at the present value of the future payments discounted at a market rate of interest for a similar debt instrument.
Financial assets and liabilities are only offset in the statement of financial position when, and only when there exists a legally enforceable right to set off the recognised amounts and the Group intends either to settle on a net basis, or to realise the asset and settle the liability simultaneously.
Debt instruments which meet the conditions of being 'basic' financial instruments as defined in FRS 102.11.9 are subsequently measured at amortised cost using the effective interest method.
Debt instruments that have no stated interest rate (and do not constitute a financing transaction) and are classified as payable or receivable within one year are initially measured at an undiscounted amount of the cash or other consideration expected to be paid or received, net of impairment.
Financial assets are derecognised when, and only when (a) the contractual rights to the cash flows from the financial asset expire or are settled, (b) the Group transfers to another party substantially all of the risks and rewards of ownership of the financial asset, or (c) the Group, despite having retained some, but not all, significant risks and rewards of ownership, has transferred control of the asset to another party.
Financial liabilities are derecognised only when the obligation specified in the contract is discharged, cancelled or expires.
CCO Trading Limited
Notes to the Financial Statements for the Year Ended 31 January 2021
Revenue |
The analysis of the company's revenue for the year is as follows:
2021 |
2020 |
|
Hotel and related services |
|
|
Farming |
|
|
Rental income |
|
- |
School fees |
|
- |
Consultancy |
|
|
|
|
Other operating income |
The analysis of the company's other operating income for the year is as follows:
2021 |
2020 |
|
Management services |
51,157 |
41,430 |
Rental income |
- |
32,704 |
Job Retention Scheme income |
147,697 |
- |
|
|
Following the hive down of the trade and assets of Rare Bird Hotels Ltd and entering into a new lease outside of the group (as detailed in note 14), the directors consider that property rental now represents a significant element of the group's operations and should consequently be recognised within turnover.
Other gains and losses |
The analysis of the company's other gains and losses for the year is as follows:
2021 |
2020 |
|
Gain (loss) on disposal of tangible fixed assets |
- |
|
Gain (loss) from write-downs and reversals of inventories |
- |
( |
Gain (loss) from disposal of business segments and investments |
|
( |
6,809,081 |
29,773 |
Operating profit/(loss) |
Arrived at after charging/(crediting)
2021 |
2020 |
|
Depreciation expense |
|
|
Amortisation expense |
|
|
Foreign exchange (gains)/losses |
( |
|
Operating lease expense - plant and machinery |
- |
|
Profit on disposal of tangible fixed assets |
- |
( |
CCO Trading Limited
Notes to the Financial Statements for the Year Ended 31 January 2021
Other interest receivable and similar income |
2021 |
2020 |
|
Interest income on bank deposits |
|
|
Other finance income |
|
|
|
|
Interest payable and similar expenses |
2021 |
2020 |
|
Interest on bank overdrafts and borrowings |
|
|
Interest expense on other finance liabilities |
|
|
|
|
Staff costs |
The aggregate payroll costs (including directors' remuneration) were as follows:
2021 |
2020 |
|
Wages and salaries |
|
|
Social security costs |
|
|
Private health insurance |
|
|
Pension costs, defined contribution scheme |
|
|
Other employee expense |
|
|
|
|
The average number of persons employed by the group (including directors) during the year, analysed by category was as follows:
2021 |
2020 |
|
Administration and support |
|
|
Other departments |
|
|
|
|
Directors' remuneration |
The directors' remuneration for the year was as follows:
2021 |
2020 |
|
Remuneration |
|
|
CCO Trading Limited
Notes to the Financial Statements for the Year Ended 31 January 2021
Auditors' remuneration |
2021 |
2020 |
|
Audit of these financial statements |
6,000 |
6,000 |
Audit of the financial statements of subsidiaries of the company pursuant to legislation |
62,875 |
54,587 |
|
|
|
Other fees to auditors |
||
All other assurance services |
|
|
Taxation |
Tax charged/(credited) in the income statement
2021 |
2020 |
|
Current taxation |
||
UK corporation tax adjustment to prior periods |
( |
- |
Deferred taxation |
||
Arising from origination and reversal of timing differences |
( |
- |
Tax receipt in the income statement |
( |
- |
The tax on profit before tax for the year is the same as the standard rate of corporation tax in the UK (2020 - the same as the standard rate of corporation tax in the UK) of
The differences are reconciled below:
2021 |
2020 |
|
Profit/(loss) before tax |
|
( |
Corporation tax at standard rate |
|
( |
Effect of revenues exempt from taxation |
|
|
Effect of expense not deductible in determining taxable profit (tax loss) |
( |
|
Increase/(decrease) from tax losses for which no deferred tax asset was recognised |
|
( |
Tax increase from effect of capital allowances and depreciation |
|
|
Tax decrease from effect of profit on disposal of operations |
( |
- |
Tax decrease from effect of adjustment in research and development tax credit |
( |
- |
Total tax credit |
( |
- |
CCO Trading Limited
Notes to the Financial Statements for the Year Ended 31 January 2021
Deferred tax
Group
Deferred tax assets and liabilities
2020 |
Liability |
Accelerated capital allowances |
|
CCO Trading Limited
Notes to the Financial Statements for the Year Ended 31 January 2021
Intangible assets |
Group
Goodwill |
Trademarks, patents and licenses |
Internally generated software development costs |
Other intangible assets |
Total |
|
Cost or valuation |
|||||
At 1 February 2020 |
|
|
|
|
|
Additions acquired separately |
- |
- |
- |
|
|
At 31 January 2021 |
|
|
|
|
|
Amortisation |
|||||
At 1 February 2020 |
|
|
|
|
|
Amortisation charge |
|
|
|
|
|
At 31 January 2021 |
|
|
|
|
|
Carrying amount |
|||||
At 31 January 2021 |
|
|
|
|
|
At 31 January 2020 |
|
|
|
|
|
CCO Trading Limited
Notes to the Financial Statements for the Year Ended 31 January 2021
Tangible assets |
Group
Land and buildings |
Furniture, fittings and equipment |
Motor vehicles |
Total |
|
Cost or valuation |
||||
At 1 February 2020 |
|
|
|
|
Additions |
|
|
|
|
Disposals |
- |
( |
- |
( |
Transfers to/from investment property |
( |
- |
- |
( |
Transfers |
|
( |
( |
|
At 31 January 2021 |
|
|
|
|
Depreciation |
||||
At 1 February 2020 |
|
|
|
|
Charge for the year |
|
|
|
|
Eliminated on disposal |
- |
( |
- |
( |
Transfers to/from investment property |
( |
- |
- |
( |
Transfers |
|
( |
( |
|
At 31 January 2021 |
|
|
|
|
Carrying amount |
||||
At 31 January 2021 |
|
|
|
|
At 31 January 2020 |
|
|
|
|
CCO Trading Limited
Notes to the Financial Statements for the Year Ended 31 January 2021
Included within the net book value of land and buildings above is £52,006,195 (2020 - £62,088,858) in respect of freehold land and buildings and £57,485 (2020 - £96,280) in respect of long leasehold land and buildings.
On 24 August 2020 Rare Bird Hotels Limited (a subsidiary) entered into a hive down whereby it transferred the trade to a connected company. The lease of the property that had historically been with Rare Bird Hotels Ltd was terminated and a new one entered into with the new connected company Rare Bird Hotels At Streatley Limited. Rare Bird Hotels at Streatley Limited was sold on 18 September 2020 to Various Eateries plc. Due to the lease now being held outside of the group it meets the requirements of an investment property under FRS 102. As such the freehold property was subsequently reclassed as an investment property and restated to fair value with a £470,791 uplift.
Investment properties |
Group
2021 |
|
At 1 February |
|
Transfers to and from owner-occupied property |
16,195,876 |
Fair value adjustments |
|
At 31 January |
|
The 2021 valuations were made by the directors, on an open market value for existing use basis.
Investments |
Company
2021 |
2020 |
|
Investments in subsidiaries |
|
|
Subsidiaries |
£ |
Cost or valuation |
|
At 1 February 2020 |
|
Carrying amount |
|
At 31 January 2021 |
|
At 31 January 2020 |
|
CCO Trading Limited
Notes to the Financial Statements for the Year Ended 31 January 2021
Details of undertakings
Details of the investments (including principal place of business of unincorporated entities) in which the company holds 20% or more of the nominal value of any class of share capital are as follows:
Undertaking |
Registered office |
Holding |
Proportion of voting rights and shares held |
||||
2021 |
2020 |
||||||
Subsidiary undertakings |
|||||||
|
23 Beaumont Mews London W1G 6EN England & Wales |
|
|
|
|||
|
23 Beaumont Mews London W1G 6EN England & Wales |
|
|
|
|||
|
23 Beaumont Mews London W1G 6EN England & Wales |
|
|
|
|||
|
23 Beaumont Mews London W1G 6EN England & Wales |
|
|
|
|||
|
23 Beaumont Mews London W1G 6EN England & Wales |
|
|
|
|||
|
Le Pramecou Le Rosset 73320 Tignes France |
|
|
|
|||
|
23 Beaumont Mews London W1G 6EN England & Wales |
|
|
|
Subsidiary undertakings |
CCO Cygnet Limited The principal activity of CCO Cygnet Limited is |
Rare Bird Hotels Limited The principal activity of Rare Bird Hotels Limited is |
Well Barn Farm Limited The principal activity of Well Barn Farm Limited is |
Devonshire Place Holdings Limited The principal activity of Devonshire Place Holdings Limited is |
CCO Trading Limited
Notes to the Financial Statements for the Year Ended 31 January 2021
Apex 2100 Limited The principal activity of Apex 2100 Limited is |
SCI Alpine Excellence The principal activity of SCI Alpine Excellence is |
Osmond Capital Limited The principal activity of Osmond Capital Limited is |
The Company's investment in SCI Alpine Excellence is held via Apex 2100 Limited, which itself is owned via Devonshire Place Holdings Limited.
The registered office of the subsidiaries listed above is 23 Beaumont Mews, First Floor, London, W1G 6EN with the exception of SCI Alpine Excellence, whose registered office is Pramecou le Rosset, 73320, Tignes, France.
Other financial assets |
Group
Unlisted investments |
Total |
|
Non-current financial assets |
||
Cost or valuation |
||
At 1 February 2020 |
14 |
14 |
At 31 January 2021 |
14 |
14 |
Carrying amount |
||
At 31 January 2021 |
|
14 |
CCO Trading Limited
Notes to the Financial Statements for the Year Ended 31 January 2021
Financial assets at fair value through profit and loss |
Total |
|
Current financial assets |
||
Cost or valuation |
||
Additions |
6,952,381 |
6,952,381 |
Fair value adjustments |
(333,334) |
(333,334) |
At 31 January 2021 |
6,619,047 |
6,619,047 |
Impairment |
||
Carrying amount |
||
At 31 January 2021 |
|
6,619,047 |
Stocks |
Group |
Company |
|||
2021 |
2020 |
2021 |
2020 |
|
Raw materials and consumables |
|
|
- |
- |
Finished goods and goods for resale |
|
|
- |
- |
|
|
- |
- |
The difference between purchase price or production cost of stocks and their replacement cost is not material.
Included within stocks belonging to Well Barn Farm Limited is fertiliser of value £52,227 (2020: £52,992), growing crops of value £70,575 (2020: £83,277), wheat of value £45,500 (2020: £40,800), barley of value £15,600 (2020: £40,000), feed wheat of value £nil (2020: £51,700) and oats of value £21,600 (2020: £nil).
CCO Trading Limited
Notes to the Financial Statements for the Year Ended 31 January 2021
Debtors |
Group |
Company |
||||
Note |
2021 |
2020 |
2021 |
2020 |
|
Trade debtors |
|
|
- |
- |
|
Amounts owed by group undertakings |
- |
- |
|
|
|
Other debtors |
|
|
- |
- |
|
Prepayments |
|
|
- |
- |
|
Accrued income |
|
|
- |
- |
|
|
|
|
|
||
Less non-current portion |
- |
( |
( |
( |
|
|
|
|
|
Details of non-current trade and other debtors
Group
£Nil (2020 - £84,588) of other debtors is classified as non current.
Company
£7,003,258 (2020 - £7,003,258) of amounts owed by group and related undertakings is classified as non current. Included within company debtors due after more than one year are loan notes issued by CCO Cygnet Limited, a subsidiary company. The loan notes accrue interest at 5% per annum, are unsecured and are repayable on 1 June 2023.
Cash and cash equivalents |
Group |
Company |
|||
2021 |
2020 |
2021 |
2020 |
|
Cash at bank |
|
|
|
|
Bank overdrafts |
( |
( |
- |
- |
Cash and cash equivalents in statement of cash flows |
1,008,517 |
1,550,628 |
81,903 |
92,702 |
CCO Trading Limited
Notes to the Financial Statements for the Year Ended 31 January 2021
Creditors |
Group |
Company |
||||
Note |
2021 |
2020 |
2021 |
2020 |
|
Due within one year |
|||||
Loans and borrowings |
|
|
- |
- |
|
Trade creditors |
|
|
- |
- |
|
Amounts due to group undertakings |
- |
- |
|
|
|
Social security and other taxes |
|
|
- |
- |
|
Outstanding defined contribution pension costs |
|
|
- |
- |
|
Other payables |
|
|
- |
- |
|
Accruals |
|
|
|
|
|
|
|
|
|
||
Due after one year |
|||||
Loans and borrowings |
|
|
|
|
|
Other non-current financial liabilities |
- |
|
- |
- |
|
32,123,619 |
38,017,153 |
1,019,457 |
894,456 |
CCO Trading Limited
Notes to the Financial Statements for the Year Ended 31 January 2021
Loans and borrowings |
Group |
Company |
|||
2021 |
2020 |
2021 |
2020 |
|
Current loans and borrowings |
||||
Bank borrowings |
|
- |
- |
- |
Bank overdrafts |
|
|
- |
- |
Other borrowings |
|
- |
- |
- |
|
|
- |
- |
Group |
Company |
|||
2021 |
2020 |
2021 |
2020 |
|
Non-current loans and borrowings |
||||
Bank borrowings |
|
|
- |
- |
Redeemable preference shares |
|
|
- |
- |
Other borrowings |
|
|
|
|
|
|
|
|
The Group has in issue loan notes to the sum of £1,118,344 (2020: £1,118,344) net of accrued interest included in the balance of other borrowings above. These loan notes have been issued by CCO Cygnet Limited to the shareholders of that company. They are unsecured and bear compound interest at the fixed rate of 5% per annum, which is considered to be equivalent to a market rate of interest. The loans are repayable on 1 June 2023. Accumulated interest of £321,461 (2020: £321,461) is included in the balance of other borrowings above. No interest was payable on the loan notes in the current financial year.
The preference shares are presented as debt payable in more than one year and are held at amortised cost in accordance with FRS 102. Accordingly, the accrued non-discretionary dividend is treated as a finance cost within the profit and loss account.
Provisions for liabilities |
Group
Deferred tax |
Total |
|
At 1 February 2020 |
|
|
Increase (decrease) in existing provisions |
( |
( |
At 31 January 2021 |
- |
- |
CCO Trading Limited
Notes to the Financial Statements for the Year Ended 31 January 2021
Pension and other schemes |
Defined contribution pension scheme
The group operates a defined contribution pension scheme. The pension cost charge for the year represents contributions payable by the group to the scheme and amounted to £105,608 (2020 - £57,565).
Contributions totalling £
Share capital |
Allotted, called up and fully paid shares
2021 |
2020 |
|||
No. |
£ |
No. |
£ |
|
Ordinary shares of £1 each |
3,228,633 |
3,228,633 |
3,228,633 |
3,228,633 |
Allotted, called up and fully paid shares
2021 |
2020 |
|||
No. |
£ |
No. |
£ |
|
|
|
22,684,174 |
|
22,684,174 |
The Series 2 preference shares are due for redemption in 2022. The dividends on the preference shares accrue at the rate specified in the shareholder agreement and are non-discretionary. No voting rights attach to the preference shares.
CCO Trading Limited
Notes to the Financial Statements for the Year Ended 31 January 2021
Reserves |
Group
Share premium account
The share premium account is used to record the aggregate amount or value of premiums paid when the company's shares are issued at an amount in excess of nominal value.
Foreign exchange reserve
The foreign exchange reserve arises from the translation of the Group's net investment in its overseas operations.
Investment property revaluation reserve
The investment property revaluation reserve is used to record the difference between the depreciated historic cost of investment property and the fair value at the balance sheet date, net of related deferred taxation.
Merger reserve
The merger reserve arose from the acquisition of the subsidiary Devonshire Place Holdings Limited in 2014, which was acquired by CCO Trading Limited in a share for share exchange.
Profit & loss account
This reserve relates to cumulative retained earnings less amounts distributed to shareholders.
The changes to each component of equity resulting from items of other comprehensive income for the current year were as follows:
Foreign currency translation |
Total |
|
Foreign currency translation gains/(losses) |
( |
( |
The changes to each component of equity resulting from items of other comprehensive income for the prior year were as follows:
Foreign currency translation |
Total |
|
Foreign currency translation gains/(losses) |
|
|
CCO Trading Limited
Notes to the Financial Statements for the Year Ended 31 January 2021
Obligations under leases and hire purchase contracts |
Group
Operating leases
The total of future minimum lease payments is as follows:
2021 |
2020 |
|
Not later than one year |
|
|
Later than one year and not later than five years |
- |
|
|
|
Commitments |
Group
Capital commitments
Related party transactions |
Group
Key management compensation
2021 |
2020 |
|
Salaries and other short term employee benefits |
|
|
CCO Trading Limited
Notes to the Financial Statements for the Year Ended 31 January 2021
Summary of transactions with entities with joint control or significant interest
Mudlark Hotels Limited
During the year, the Group invoiced £37,500 (2020: £37,500) for consultancy services to Mudlark Hotels Limited. A balance was outstanding at the year end of £45,000 (2020: £11,250). Mudlark Hotels Limited is considered a related party by virtue of common control and directors in common.
The Great House at Sonning Limited
Included within other debtors is a balance of £14,989 (2020: £166,799) owed by The Great House at Sonning Limited, a subsidiary of Mudlark Hotels Limited. Transactions included within this balance relate solely to recharged expenses.
Various Eateries Limited
During the year, the Group invoiced Various Eateries Trading Limited £379,000 (2020: £237,000) for the rendering of monitoring services. A balance was outstanding at the year end of £195,000 (2020: £142,200). Various Eateries Trading Limited is a related party by virtue of common control and directors in common.
During the year, the Group also invoiced £157,598 (2020: £226,496) for services rendered and incurred expenses of £59,098 (2020: £301,086) to Various Eateries Limited. At the year end, there was a debtor of £370,558 (2020: £370,558) and a creditor of £Nil (2020: £200,372).
Capital Physio Limited
During the year, the Group invoiced Capital Physio Limited £50,000 (2020: £35,420) for the rendering of management services. A balance was outstanding at the year end of £67,503 (2020: £42,503).
Directors
During the year, the Group incurred expenditure of £38,432 (2020: £7,203) on behalf of one of the directors.
Xercise2 Limited
During the year the Group drew down on a loan facility from Xercise2 Limited, a related company by virtue of common directors. The balance as at the year end was £4,087,147 (2020: £1,377,711). During the year Xercise2 Limited advanced loans to the sum of £4,112,080. These loans are interest free and were repaid subsequent to the year end.
Apex2100 Foundation
At the year end trading balances existed between the Group and Apex2100 Foundation, a charity which is considered a related party by virtue of the fact that a majority of its trustees are also directors of the Group. Included within other debtors is £47,069 (2020: creditor of £17,450) owed by Apex2100 Foundation. The movement during the year represents expenses and sales recharged to the Foundation of £11,460 (2020: £263,089), and net transfers of £53,059 (2020: £Nil).
Rare Bird Hotels at Streatley Limited
Subsequent to the hive-down and transfer of the hotel trade (note 14), rent was receivable from the new lessee Rare Bird Hotels at Streatley Limited, a related party by virtue of common director for part of the financial period. Rent received during the period totalled £258,477 (2020: £Nil).
CCO Trading Limited
Notes to the Financial Statements for the Year Ended 31 January 2021
Ultimate controlling party |
The ultimate controlling party is