Glasgow Science Centre (Trading) Limited. Annual Report and Financial Statements. 31 March Registered number SC210177

Transcription

1 Glasgow Science Centre (Trading) Limited Annual Report and Financial Statements 31 March 2015 Registered number SC210177

2 Glasgow Science Centre (Trading) Limited Registered No: SC Directors, Officers and Advisers Directors Professor Sir Jim McDonald Dr K G Chrystie Dr W Duncan S Patrick Secretary D McQueen Independent Auditor KPMG LLP Chartered Accountants 191 West George Street Glasgow G2 2LJ Bankers The Royal Bank of Scotland plc Sauchiehall Street Branch 23 Sauchiehall Street Glasgow G2 3AD Solicitors Burness 120 Bothwell Street Glasgow G2 7JL Registered Office 50 Pacific Quay Glasgow G51 1EA 1

3 Annual Report of the Directors The Directors present their report and financial statements for the year ended 31 March Principal activity Glasgow Science Centre (Trading) Limited was incorporated on 18 August 2000 as a company limited by shares (number SC210777). It is a wholly owned subsidiary of Glasgow Science Centre Charitable Trust. The Company s principal activity and aim is the operation of catering, corporate events, car parking and retail facilities at the Glasgow Science Centre and the provision of visitor centre management services, property rental and exhibit design and fabrication services to third parties. It is the view of the Directors that the future prospects of the company, in so far as the achievement of its aims is concerned, are satisfactory. Trading Performance It s been a very successful year for the Company with turnover up 1.082m or 41.8% at 3.668m (2014: 2.586m) and profits up 305k or 69.5% at 743k (2014: 438k). There has been very strong growth in the sale of exhibit design and fabrication services with a number of contracts underway or completed during the year with revenues up 874k or 373% at 1,108k (2014: 234k). It s also been a good year for the Corporate events business with revenues up 177k or 21.9% at 991k (2014: 817k) due to the upturn in the economy. Car parking has benefitted from the introduction of a new more flexible ticketing system and increased passing trade from the SSE Hydro concert venue with revenues up 75k or 31.2% at 315k (2014: 240k). Income from the rental and service charge of the IMAX Cinema to Cineworld was up 89k or 63.6% at 230k (2014: 141k) with 2015 being the first full year of the Cineworld rental agreement however this has been more than offset by the lack of any IMAX DMR Admissions income or income from the IMAX Snack Bar. Income from visitor centre management services, café, shop and vending operations were all broadly in line with last year. The full profits for the year of 743k (2014: 438k) have been gift aided to Glasgow Science Centre Limited which is a registered charity and a fellow subsidiary of Glasgow Science Centre Charitable Trust. Directors The Directors of the company during the year and up to the date of approval and signing of these financial statements are listed on page 1. Directors interests The Directors at 31 March 2015 had no interest in the share capital of Glasgow Science Centre (Trading) Limited. The Company s immediate parent undertaking is Glasgow Science Centre Charitable Trust. The ultimate parent undertaking is Scottish Enterprise. 2

4 Annual Report of the Directors Statement of Directors responsibilities in respect of the Annual Report of the Directors and financial statements The Directors are responsible for preparing the Annual Report of the Directors and the financial statements in accordance with applicable law and regulations. Company law requires the Directors to prepare financial statements for each financial year. Under that law the Directors have prepared 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 those financial statements, the Directors are required to: select suitable accounting policies and then apply them consistently; make judgements and accounting estimates that are reasonable and prudent; 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 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. The Directors are responsible for the maintenance and integrity of the corporate and financial information included on the company s website. Legislation in the UK governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions. Disclosure of information to Auditor The Directors who held office at the date of approval of the Annual Report of the Directors confirm that, so far as they each are aware, there is no relevant information of which the company s auditor is unaware, and each Director has taken all the steps that they ought to have taken as a Director to make themselves aware of any relevant audit information and to establish that the company s auditor is aware of the information. Auditor In accordance with section 487 of the Companies Act 2006, the auditor will be deemed to be reappointed and KPMG LLP will therefore continue in office. Small company exemptions This report has been prepared in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small companies. On behalf of the Board of Directors Professor Sir Jim McDonald Director 1 June

5 Independent auditor s report to the Members of Glasgow Science Centre (Trading) Limited We have audited the financial statements of Glasgow Science Centre (Trading) Limited for the year ended 31 March 2015 set out on pages 5 to 11. The financial reporting framework that has been applied in their preparation is applicable law and the Financial Reporting Standard for Smaller Entities (Effective April 2008) (UK Generally Accepted Accounting Practice applicable to Smaller Entities). 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 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. Respective responsibilities of directors and auditor As explained more fully in the Directors' Responsibilities Statement set out on page 2, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view. Our responsibility is to audit, and express an opinion on, the financial statements in accordance with applicable law and International Standards on Auditing (UK and Ireland). Those standards require us to comply with the Auditing Practices Board's (APB s) Ethical Standards for Auditors. Scope of the audit of the financial statements A description of the scope of an audit of financial statements is provided on the Financial Reporting Council s website at Opinion on financial statements In our opinion the financial statements: give a true and fair view of the state of the company's affairs as at 31 March 2015 and of its result for the year then ended; have been properly prepared in accordance with UK Generally Accepted Accounting Practice applicable to Smaller Entities; and have been prepared in accordance with the requirements of the Companies Act Opinion on other matter prescribed by the Companies Act 2006 In our opinion the information given in the Annual Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements. Matters on which we are required to report by exception We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion: adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or the financial statements are not in agreement with the accounting records and returns; or certain disclosures of directors' remuneration specified by law are not made; or we have not received all the information and explanations we require for our audit; or the directors were not entitled to prepare financial statements in accordance with the small companies regime, take advantage of the small companies exemption in preparing the directors report and take advantage of the small companies exemption from the requirement to prepare a strategic report. Andrew Shaw (Senior Statutory Auditor) for and on behalf of KPMG LLP, Statutory Auditor Chartered Accountants 191 West George Street Glasgow, G2 2LJ 4

6 Profit and loss account For the year ended 31 March 2015 Notes Turnover 2 3,667,861 2,586,394 Cost of sales (2,921,388) (2,142,790) Gross Profit 746, ,604 Other operating income 3 13,260 10,434 Other interest receivable & similar income Other operating expenditure (17,880) (16,297) Gift aid payment (742,800) (438,192) Profit on ordinary activities before taxation 5, Taxation Profit on ordinary activities after taxation being profit for the financial year - - Profit and loss account brought forward - - Profit and loss account carried forward - - The above results are wholly derived from continuing activities. The company had no recognised gains or losses in the year ended 31 March 2015 or the year ended 31 March 2014 other than the results disclosed above. 5

7 Balance sheet As at 31 March 2015 Notes Current assets Stocks 109,534 85,731 Debtors 8 272, ,755 Cash on hand and in bank 1,071, ,934 1,453,555 1,170,420 Creditors: amounts falling due within one year 9 (1,453,553) (1,170,418) Net assets 2 2 Capital and reserves Called up share capital Profit and loss account Equity Shareholder's funds 2 2 The accounts have been prepared in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small companies and with the Financial Reporting Standard for Smaller Entities. These financial statements were approved by the Board of Directors on 1 June 2015 and were signed on its behalf by: Professor Sir Jim McDonald Director 1 June

8 Notes to the financial statements For the year ended 31 March Accounting policies Basis of preparation The accounts have been prepared on a going concern basis, which assumes that the Company will continue in operational existence for the foreseeable future and be able to meet its liabilities as they fall due. The Directors are aware of no material uncertainties in making this assessment. Accounting convention The accounts are prepared under the historical cost convention and in accordance with the Financial Reporting Standard for Smaller Entities (effective 2008). Advantage has been taken of the exemption allowed by FRS 1 for companies which are wholly owned subsidiary undertakings and where the ultimate parent has prepared a cash flow statement. Turnover Turnover comprises income from the operation of catering, corporate events, car parking and retail facilities at the Glasgow Science Centre and the provision of visitor centre management services, exhibit design and fabrication services and the rental of the IMAX cinema to third parties. Taxation The Directors have resolved that the full profits of the Company will be gifted on an annual basis to its fellow subsidiary, Glasgow Science Centre Limited, a company limited by shares (number SC184352) and a registered Scottish Charity (number SC030809). This means there is no requirement to provide for any tax on the profits of the company. Value Added Tax Irrecoverable VAT is charged to the relevant expenditure category. Where output tax is charged or input tax is recoverable, the amounts are stated net of VAT. Stocks Stocks are stated at the lower of cost and net realisable value. Pension Scheme The company operates a stakeholder (money purchase) pension scheme on behalf of its employees through Friends Provident. No employers contribution is normally made however employees have the option of dispensing with any cost of living salary increase in return for an employers contribution of the same amount to the scheme. This option has now been removed for future cost of living increases following the introduction of the People s Pension but existing arrangements will continue to be honoured. From the 1 April 2014 all eligible employees were auto enrolled in the People s Pension with non-eligible and entitled employees also free to join. An initial employers contribution of 1% on all earnings will be made by the Company. Related Party The Company has taken advantage of the exemption available under Financial Reporting Standard 8 not to disclose details of intra-group transactions, on the grounds that it is a subsidiary where 100% of the voting rights are controlled by Glasgow Science Centre Charitable Trust. The consolidated financial statements are available from Glasgow Science Centre Charitable Trust, 50 Pacific Quay, Glasgow, G51 1EA. 7

9 Notes to the financial statements For the year ended 31 March Turnover The turnover is attributable to the continuing principal activity and represents amounts charged to third parties, stated net of value added tax. The split is summarised below: Exhibit Design & Fabrication 1,107, ,353 Corporate Events 990, ,496 Retail - Cafe 415, ,568 Management Fees - Whitelee Visitor Centre 317, ,858 Car Parking 314, ,625 Retail - Shop, Snack Bar and Vending 292, ,705 Property Rental & Service Charge - IMAX 229, ,253 IMAX Admissions DMR Films - 123,536 3,667,861 2,586, Other operating income The other operating income is summarised below: Berthing charges 11,008 10,434 Other rental income 2,252-13,260 10, Other interest receivable and similar income Bank interest Profit on ordinary activities is stated after charging/crediting: Auditor's remuneration: audit of these financial statements 3,000 3,000 Gift Aid payment to Glasgow Science Centre Limited 742, ,192 8

10 Notes to the financial statements For the year ended 31 March Staff Costs Wages and salaries 749, ,860 Social security costs 46,538 47,353 Pension costs 10,325 4,712 Redundancy - 2,192 Average number of employees 806, ,117 Retail/Corporate Events/Catering/Whitelee/Exibition Services No. No. The Directors received no remuneration for their services or reimbursement of any out of pocket expenses during the year (2014: 0). One individual employee earned remuneration (excluding pension contributions) in the range of 60,000-70,000 (2014: one). Pension contributions of 4,807 (2014: 4,712) were made on behalf of employees to the company s Friends Provident stakeholder pension scheme under salary sacrifice arrangements. Employers pension contributions of 5,518 (2014: 0) were made on behalf of enrolled employees to the People s Pension Fund. 7. Taxation Factors affecting the tax charge for the current period: The current tax charge for the period is lower (2014: lower) than the standard rate of corporation tax in the UK (20%, 2014: 20%). The differences are explained below: Current tax reconcilation: Profit on ordinary activities before tax and gift aid 742, ,192 Current tax at 20% (2014: 20%) 148,560 87,638 Effects of: gift aid (148,560) (87,638) Total current tax charge - - Factors that may affect future current and total tax charges: There are no other factors that may affect future and total tax charges. 9

11 Notes to the financial statements For the year ended 31 March Debtors Trade debtors 259, ,879 Prepayments and accrued income 12,774 5, , , Creditors: amounts falling due within one year Trade creditors 81,731 25,064 Amount owed to fellow subsidiary undertakings 1,036, ,126 Accruals and deferred income 335, ,228 1,453,553 1,170, Called up share capital Allotted, issued Authorised and fully paid Ordinary shares of 1 each Reserves Profit and loss account Total At 1 April Result for year - - At 31 March

12 Notes to the financial statements For the year ended 31 March Financial Commitments The Company has an annual financial commitment under a non-cancellable operating lease with Glasgow Science Centre Limited for the rental of the IMAX cinema as follows: After more than five years 115, , Ultimate parent undertaking The Company s immediate parent undertaking is Glasgow Science Centre Charitable Trust. The ultimate parent undertaking is Scottish Enterprise. Group financial statements can be obtained from Scottish Enterprise, Atrium Court, 50 Waterloo Street, Glasgow, G2 6HQ. 11