THE PALACE THEATRE WATFORD LIMITED ANNUAL REPORT AND FINANCIAL STATEMENTS FQR THE YEAR ENOED 31 MARCH 202.5 c.ompany Registration No. 3218719 (England and Wales) 'AEHJ L))N* 1611212025 COMPANIES HOUSE A26 THE PALACE THEATRE WATFORD LIMITED CONTENTS Page Directors and Advlsers Report of th8 Directors Report.of the Independent Audltorn Sts¢ement, ol Flnan¢.ia!: Activltle8 8alance Shégt. Statement of Cash Flo.ws Notes, to the Flnanclal.Statements THE PALACE THEATRE WATFORD LIMITED DIRECTORS AND ADVISERS Directors Chair Chair Aaqil Ahmed (appointed 29 September 2025) John Hunt (resigned 29 September 2025) Marilyn Devonish ' Agni8szka Dychton ' Felicity Evans Anne Fenton Sarah Golding Howard Groves Mark Lawrence Carol Lingwood Bibi Mauthoor Binlta Mehla-Parm0r Giles Rowland Brett Spencer Kenny Sperry Jayne Trotman Governance Committee Governance Committee Governan￿ Committee Governance Committee Governance Committee Directors nominated by Watford Borough Council. Secrptary .Jamie Arden Regi8tèred Offlce 20 Clarendon Road W8tford Herts WD17 1JZ Bankers National Westminsler Bank plc 72-74 High Street Walford Herlg V4D17 2BQ Audltor PKF Littlejohn LLP Statutory auditor 15 Westferry Circus Canary Wharf London E14 4HD Charity Registration number 1056950 Company Registration numbor 3218719 THE PALACE THEATRE WATFORD LIMITED REPORT OF THE DIRECTORS The Directors of the Charitable Company present herewith their Annual Report. together with the audited Financial Statements for the year ended 31 March 2025. This report is intended to fulfil the requirements both of Section 234 of the Companies Act 2006 and of the Charities Act 2011.The Directors have adopted the provisions of the Statement of Recommen(led Practice "Accounting and Reporting by Charities" in preparing the annual report and financial slalements of the charity. Reference and Admln18tratlve Detall8 The Palace Theatre Wafford Limited is a charitable company limited by guarantee and governed by a Memorandum and Articles ofAsso¢iation dated 17 May 1996. Public Benefit The Trustees confirm thal they hawe had regard to the. guidaTrce on public benefit issued by Ihè Charity Commission when considering the objectives and aclivilies of the Charilable Company. Board of DiroCtor6 The Directors and Trustees from 1 April 2024 to the date of the signing of Ihe Financial Statements were as shown on page 2. The Directors shall have power at any lime to appoint any person to be a Director, but so that the total number of Directors shall not at any lime exceed the number fixed in accordance with the Articles. Any Director so appointed shall hold Offi￿ only until the following Annual General Meeting, and shall then be eligible for re-election, but shall nof be taken into account in determining the Directors who are lo retire by rotation at such meeting. Two Directors are nominated by Watford Borough Council. (There afe specific requirements associated with th8 rotation of Director5, the terms of which are stated in the Memorandum and Articles of Association). Trustees receive ongoing training, including attendance at strategic 'working parties, or away days. The. Directors and Trustees deleg8te the day to day running of the organisallon to.. Steve Marmion - Chief Executive and Director of Programming Jamie Arden - Executive Director and Company Secretary Andrew Phillips - Director of Finance Power8 of the Company The Directors take this opportunity lo confirm that under Clause 3 of the Charitable Company's Memorandum of Association, il is empowered to carry out the activities reviewed in the Annual Report including, bul not limited to, the beneficial investment of the Charitable Company's funds. Strateglc Objectlves Annual Report Snapshot 2024-25 This has been a year of transformation at Wafford Palace Theatre one of change, renewal, and momentum. We set oul to make the Palace a home that truly reflects its community, a place where world-¢lass work and local creativity share the same stage. As the year closes, the building, the programme, and the peopl6 who make it all possible feet stronger than eNer. A Palace Reborn The most visible change will be the refurbishment for which we have raised the funds and made the plans.. new studios, Ihe 1908 Cabaret, and expanded trdining spa￿S to give us the capacity to host more artists, young people, and community groups than ever before. At the same time, our decarbonisation works will make the Palace greener, leaner, and future-ready. Behind the scenes, we've invested in our staff, with new roles and training ensuring the team has the skills and support to match our ambition. THE PALACE THEATRE WATFORD LIMITED REPORT OF THE DIRECTORS ade in Watford: A Year on Stage The programme has been both bold and broad. Our Young Company returned in spectacular fashion with Spongebob- The Musical, a production that brought new talent and technical apprentices to the stage. Two of imagining a final meeting between Lennon and Mccartney in John's New York apartment - which was made and premiered in Wafford and then transferred to Home Manchester, all to standing ovations and national press attention. The South Asian Comedy Festival brought huge diversity and audience response, while Sitting in Limbo gave voice to the powerful story of Windrush on our stage and across the national media. Our festive season sparkled with Aladdin. the highest-grossing panto in recent years, while Bitch Boxer picked up a Black British T.heatre Award nomination. Our new musical Frankie Goes to Bollywood was made in Watford with our partners Rifco and toured the country, finishing up at London's Southbank Centre. Touring work continued to carry the Palace's name far beyond Hertfordshire, with our acclaimed show Merchant of Venice 1936 twice transferring to the West End as well as the RSC and touring UK. Uncanny the hit BBC show and podcast, rehearsed and opened with us in Walford, live on our stage. before touring the country. and our show Whipped Upl that we made specifically for babies and toddlers, opened in Watford. transferrecl lo London's Polka Thealre before embarking on an exiensive tour across venues in the South East in partnership with House. We were also immensely proud to be the only UK date on an extensive worldwide lour for the powerhouse Belgian company Ontroerend Goed with a new version of their show Fight Night. Our work and our brand all reaching new audiences across the country- achieving our ambition lo bring the World lo Watford and Ihen take Wafford to the World. Building Audiences & Community Our audiences have grown again, wilh ticket sales up mora than 5°h, and participation climbing by 160/0. The Young Company has expanded. with more young people than ever taking part onstage, backstage, and in training roles. And our building is busier than ever, with local partners from Ihe Chinese Association to Knit & Chat and the Herts MIND Mental Health Cafè making our front of house a true hub of community activity. Securlng Our Futuro Financially, the yéar has been one of both strength and challenge. Turnover has grown by 320k. At the same time, we've made the deliberate choice to invest reserves in new role5, marketing and producing capacity. and essential works ensuring resilience for the years ahead. We close the year forecasting a deficit, but with clear plan to rebalance through stronger programming, sharper ticketing strategies, and an invigorated fundraising campaign. Ra58lng Our Volco Wafford pala￿ is firmly back in the public eye. Our partnerships with top PR and marketing agencies have put the Palace on national plattorms with coverage across the BBC, The Guardian, The Stage, and strengthened our relationship wilh local press e.g. Watford Observer. New film campaigns and striking visuals have begun lo reshape how we tell our story, while sold-out houses and standing ovations tell their own story about the impact of the work on stage. Looklng Ahead As we look to the year ahead, the energy in the building is undeniable. Productions like The Void. Surinderella, Jack and the 8eanstalk. and The Mesmerist promise bold entertainment for every taste. Our new spaces are alive with activity, Our team is stronger, our audiences are returning in greater numbers, and our community is woven through everything we do. We are proud to be Watford's home of entertainment with world 274.338 (3,463) (15,464} 128.777) (144,439) {20,489) 263,397 (924) (154,619) 116.824 Net cash flow provided from op'erating actlvities 38,114 59,750 Ca8h and cash equivalents consists of: Cash at bank and in hand Short term investments 571,796 150,000 586,413 300,000 Ca8h and cash equlvalent8 7.21,796 886,413 The Accounting Policies and Notes on pages 16 to 25 form part of these Financial Statements. THE PALACE THEATRE WATFORD LIMITED NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 MARCH 2025 General inforniation and basis of preparation The Palace Theatre Watford Limited is a company limited by guarantee in the United Kingdom. In the event of the charity being wound up, the liability in respect of the guarantee is limited to £1 per member of the charity. The add￿sS of Ihe regISte￿d Offi￿ is given in Ihe charity information on page 2 of these financial statements. The nature of the charity's operations and principal activities are set out in the Report of the Trustees. The charity constitutes a public benefit entity as defined by FRS 102. The financial statements have been prepared in accordance with Accounting and Reporting by Charities.. Slalement of Recommended Practice applicable to charities preparing their accounts in accordance wilh the Financial Reportin9 Standard applicable in the UK and Republic of Ireland (FRS 1021, the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102), the Charities Act 2011, the Comp8nies Act 2006 and UK Generally Accepted Practice as it applies from 1 January 2019. The financial statements are prepated on a going concern basis under the historical cost convention, modified to include certain items al fair value. The financial statements are prepared in sterling which is the functional currency of the charity. The significant accounting policies applied in the prep8ralion of these financial statements are set out below. These policies have been consistently applied to all years presented unless otheNise stated. Going Concern It is the opinion of the Dlrectorsrrrustees that the use of the golng concern basis of accounting is appropriate because.. there are no material uncertainties relating lo events or conditions that may cast significant doubt about the ability of the Charitable Company lo continue as a going concern., there is reasonable expectation that the Charitable Company has adequate resources tocontinue in operational existence for Ihe foreseeable future, considered to be 8t least ￿e1ve months from the date of approval of the financial statements. Accountlng Pollcle8 2.1 Funds Unrostrlcted Deslgnated Funds Refurbishrnenl Depreciation Fund - costs related to small scale repairs and renovations, and the associated depreciation. Future Production and Artistic projects - to hold grant and other monies for use on future productions and artistic projects. 8uilding and visitor experlence - to hold grant and other monles to cover building contingency expenses and for physical improvements to enhance the visilor experience. Lighting Desk Depreciation Fund - Ihe depreciation cost of the lighting desk acquired in November 2012. Resilience Projects Fund to hold grant and other monies to fund one-off midllong term impact projects related to the Charitable Company's strategic resilience. Bar Refit Depreciation Fund costs related to the renovation of the Bar I Cafe areas, and the associated depreciation. VAT Project Fund - fees and other expenses in relation to a revlew of the Theatre's historic VAT treatment, and subsequent claim for a refund from HMRC. THE PALACE THEATRE WATFORD LIMITED NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 MARCH 2025 Accountlng Polici08 (continued) Restricted Funds Theatre refurbishment fund - funds receivedlreceivable specifically for the cost of the refurbishment of the Theatre. Catalyst Arts Fund - funds receivedlreceivable specifically in relation to the Arts Council England's Catalyst Arts Capacity building and match funding scheme, to support organisations in building their fundraising capacity and capability over a three-year period. ACE Capital Fund - funding towards capital works to enhance rehearsal facilities, to improve energy efficiency and to replace essential specialist equipment. New INriting Fund- funding towards investment in writing new work. Arts Council Cultural Recovery Fund the government'8 Culture Recovery Fund, supporting cultural organisations through the impact of the Covid-19 pandemic. Garfield Weston Foundation - grant received form the Weston Culture Fund to support our Take Part youth and community programmes. Amounls are drawn down against the fund and transferred to the general fund when expenditure is incurred. Restoration Levy Fund - monies charged per Box Oftice transaction, specifically towards the refurbishment, improvernent, and upkeèp of the theatre. Herts Foundalion Fund- granl received from the HeTttordshire Community Foundation to support the WPT and OneYMCA Partnership Youth Theatres project. Neighbourhood Grant Fund - Monies received from Walford Borough Council, being for small grants with local neighbourhood impact. Secured specifically for support with decarbonisation efforts aclioned during Summer 2025. Backstage Trust Fund Charitable trust funding for the improvement of earned income facilities and new 8paces (such as the Studi08 and Cabaret Bar) during Summer 2025. Fund Transfers Transfers are made be￿een funds as and when the Trustees deem thern necessary, within the limits of any restrictions that are in place. 2.2 Incomlng Resources Voluntary income including donations, gifts and grants that provid6 core funding or are of a general nature are recognised where there is entitlement, probability of receipt and the amount can be measured with sufficient reliability. Such income is only deferred where the donor has specified that the grant or donation must be used in a future accounting period. Investment income is recognised on a raeeNable basis Income from charitable activities includes.. income derived from theatrical productions which is accounted for in the period in which the production closes., grant Income to support education and youth activities which is recognised where there is entitlement, certainty of receipt and the amount can be reliably measured. 2.3 Resources Expended Expenditure is recognised in the Statement of Financial Activities when a liability is incurred and the following conditions are met: The charity has a legal or constructive obligation as a result of a past event., It is probable that a transfer of economic benefit will be required to settle the obligation., and The amount of obligation can be measured reliably. THE PALACE THEATRE WATFORD LIMITED NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 MARCH 2025 Accounting Policies (continued) Charitable activities include expenditure associated with the staging of theatrical productions and participation activities. These include both the direct costs and support costs relating to these activities. Expenditure on materials for set, props and costumes are accounted for in the Consolidated Statement of Financial Activities (SOFA) of the period of the production. None of this expenditure is capitalised, as sets are either disposed of, or sold on within the same financial year, or very shortly after the financial year end. Support costs represent cenlral function costs, governance costs and overtieads and have been allocatett be￿een the activities of productions and participalion using an apportionment percentage calculated by comparing the direct costs attributable to each of those categories in the year. 2.4 Financial Instruments Basic financial assets. including debtors, cash 8t bank and in hand, and short lenn investments, are initially recognised at transaction price, unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Other financial assets are initially measured at fair value, which is normally the transaction price. Such assets are subsequently carried al fair value and the changes in fair value are recognised in profit or loss, except that investments in equity instruments that are not publicly traded and whose fair values cannot be measured reliably are measured at cost less impairment. Financial as8et8 are derecognised when (al the contractual rights to the cash flows from the asset expire or are settled, or (b) substantially all the risks and rewards of the ownership of the asset are transferred to another party or (c) control of the asset has been transferred to another party who has the practical ability to unilaterally sell the assel to an unrelated third party without imposing additional restrictions. 2.4 Tangible Fixed Asset8 Fixed assets (other than those relating to productions see above) are stated al historical cost. Deprecialion is provided on all tangible fixed assets at rates calculaled to wiite each asset down lo its eslimated residual value eventy over its expected usefLtI life. as follows.. Plant, equipment and machlnery Information technology Leasehold improvements Long leasehold propety 10% . 25QA straight line 100/0 . 33% straight line 2.50/0 200kn straight line 2.50kn straight line 2.5 Stock Stock is valued at the lower of cost and net realisable value, after making due allowance for obsolete or slow moving items. 2.6 Leased assets and obllgations All operating lease rentals are charged to the SOFA on a slraighl line basis over the lease tem. 2.7 New Wrltlng Arrangement8 These are advance costs incurrerj for possible future shows where Ihe Charitable Company commissions a writer to work on a production which may or may not eventually be produced. The costs are written off to the SOFA in the year in which they are incurred. 2.8 Penslon8 The Charilable Company operates a defined contribution pension scheme and the pension charge represents the amounts payable by the Charitable Company to the fund in respect of the year. 2.9 Taxatlon The Charitable Company is exempt from Corporation Tax as all of its income is charitable and is applied for charitable purposes. The Charitable Company is registered for Value Added Tax (VAT),. irrecoverable VAT (where applicable) is included in the cost of those items to which it relates. THE PALACE THEATRE WATFORD LIMITED NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 MARCH 2025 Net Expenditure Note 2025 2024 This is ststed after charg.ing'. Au'ditors, Temuneration Depreciation Operating leases - land and buildings 9,880 274,338 7,268 9,389 263.397 27,000 Incoming Resources 2025 2024 Grants Recolvable and Feej Unrestricted income from.. Arts Council England - grant Service provision fees - Waiford Borough Council 805,118 211,081 805,118 231,957 Restricted income from: Herffordshire Foundation Grant WBC Neighbourhood Grant Backstage Trust Grant 10.000 50,000 200,000 1,266,199 1.047,075 Incomlng Regour¢o8 frpm Charitable A¢tlvStl08 Production.. Box office income - produced Bo* office income - co produced Box office income - presented Other production income Film sales Hire fees income Front of house sales 433,873 181,592 427,442 278,819 2,754 50,089 6,026 383,168 73,272 441.958 71,629 18,412 52,431 7,564 1,380,595 1,048.434 Participalion: Educational activilies 32,474 20,723 32,474 20,723 Other.. Tax relief Sundry income 370,729 37,151 162,421 37,123 407,880 199,544 Total income from ¢haritable activities 1,820,949 1,268.701 Income from grants receivable and fees was £1,266,199 {2024 £1,047,075) of which £250,000 (2024 £10,000) was attributable lo restricted funds and £1,016,199 (2024 - £1,037,075) was attributable to unrestricted funds. lncome.from charitatyle activities was £1,820,949 (2024 £1,268,701) of which £21.059 (2024 £10,869) was attribulable to restricted funds and £1,799,890 (2024 - £1,257,832) was attributable to unrestricted funds. THE PALACE THEATRE WATFORD LIMITED NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 MARCH 2025 Employee Inforniation - Staff Costs 2025 2024 Estsblishment salaries Establishm8nt social security costs Establishment pension costs Non-estoblishment salaries Non-establishment social security costs Non-establishment pension costs 891,315 88,060 17,914 419,134 10,868 5,294 815,153. 77,436 16,800 278,851 6,337 1,810 1,4.32.585 1,196,387 The number of employees during the period w.ho earned over £60,000 in the year was as follows.. Number of employee8 2025 2024 £60,001- £70,000 £70,001- £80,000 The total amount of employee benefits Teceived by key management personnel, considered to be the Executive Team, during the year was £201,67212024 - £185,630). Totsl redundancy I termination payments of £Nil (2024 - £13,704) were made. No payments were outstanding at the year end. Average Monthly Number of Employees durlng the Year Part-time Casualls•asonal 2025 2024 Establishment Non Establishment 28 31 26 26 Transactlons wlth Dlrectorn The Directors of the Charitable Company received no remuneration or reimbursement of expenses in the year (2024 - £nil). Total Resources Expended 6.1 Analysis of Charitable Expenditure Dlrect costs Support costs Total 2025 Total 2024 Production Participation 1,527,327 79,122 1,765,242 92,908 3,292,569 2,532,430 172,030 104,078 1,606.449 1,858,150 3,464,599 2,636.508 THE PALACE THEATRE WATFORD LIMITED NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 MARCH 2025 Total Resources Expended (continued) Charitable expenditure wa8 £3.464,599 (2024 - £2,636,508) of which £226.281 (2024 £2.24,977) was attributable to restricted funds and £3,238,318 (2024 - £2,411.531) was attributable to unrestricted funds. 6.2 .Analysls of Support Costs Charitable Governance Actlvltie8 C08ts Total 2025 Total 2024 Wages Establishment Administration Marketing and box office Depreciation Bank charges and interest Legal and accountancy fees Board Audit 1.036.354 273,910 153,872 102,517 274,338 6,496 1,036,354 273,910 153,872 102,517 274,338 6,496 690 93 9,880 922,434 235,232 132,954 84,291 263.397 3,790 813 144 9,389 690 93 9,880 1,847,487 10,663 1,858,150 1,652,444 Support costs are allocated as shown in Ihe table above and then further apportioned between the two haritable activities undertaken. Support costs are allocated on a basis consi3tent with the use of resources. Tanglble Assets Leasehold Improvement projects Plant and machlnery Long leasehold property Equlpment Total Coat .At 1 April 2024 Additions 538,226 55.792 863,677 159,629 349,984 9.235 7,819,178 9,571,065 224,656 At 31 March 2025 594,018 1,023,308 359,219 7,819,178 9,795,721 Depreciation At 1 April 2024 Charge for the year 465.112 22.422 776,969 51,731 349.052 4,706 3,810,310 5,401,443 195,479. 274,338 At 31 March 2025 487.534 828,700 353,758 4,005,789 5,675,781 Not Book Value At 31 March 2025 106,484 194,60S 5,467 3,813,389 4,119,940 At 31 March 2024 73,114 86,708 935 4,008,865 4,169,622 THE PALACE THEATRE WATFORD LIMITED NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 MARCH 2025 8. Investment~ subsldlary tradlng companies 2025 2024 Shares in group undertakings" Cost, at 1 April and at 31 March 200 200 The Chariteble Company owns 100% of'the ordinary share capital of The Palace Theatre Wafford Procluctions Limited. which is incorporated in England and Wales. The subsidiary company was domant during the year. The Charilable Company owns 100 % of the ordinary share capital of The Pal8¢e Theatre Wafford Bar Limited, which is incorporated in England and Wales. The Charitable Company has 1009/0 control over this subsidiary company. This subsidiary company has been dormant from 1 April 2015, but previously operated to provide working capital finance for the charitable parent Charitable Company by covenanting distributable profits to The Palace Thealre Watford Limited. The subsidiary company operated catering facilities at the theatre. 9. Stocks. 2025 2024 Stocks 9,577 6.114 10. Debtors 2026 2024 Trade deblors Prepayments and accrued income , 46,726 577,892 38,592 570,562 624,618 609.154 1.1. Credltors: Amounts falllng duo wlthln one-year 2025 2024 Trade creditors Amounts due to subsidiary companies Social security and olher taxes Other creditors Accruals and deferred income 50,268 200 31,465 47,848 315,669 43.520 200 25.729 55.541 349.237 445,450 474,227 Included in accruals and deferred income is deferred income of £235,042 (2024 - £225,576) which comprises advance ticket sales. £225,576 was released to the SOFA in the year lo 31 March 2025 and £235,042 will be released to the SOFA in the year to 31 March 2026. Included in other creditors are defined contribution pension liabilities of £10,004 (2024 £3,941) 811 of which has been funded by unrestricled funds. Amounts due to subsidiary companies are interest-free. unsecured and repayable on demand. THE PALACE THEATRE WATFORD LIMITED NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 MARCH 2025 12. Unrestrlctsd Designatèd Funds The income funds of the Charitable Company include the following designated funds which have been set aside out of unrestricted funds by the Trustees for sp.ecific purposes: Balance at 1 April 2024 Balance at 31 March 2025 Incoming resources Outgoing expenditure Transfers G•neral Funds 250,312 2,983,390 {3,228,217) 244,850 250,335 Oesignated Funds Refurblshment Fund Future Production & Artistic Projects Building and Visitor Experience Resilience Projecl Fund VAT Projecl Fund 4,494 190,592 271,685 220,755 17,255 (1,123) 3,371 194,332 261.842 59,255 16.686 43,740 (40,000) (643) {161,500) (9,200) (569) 704,781 43,740 (10.892) (202,143) 535.486 Unre6trlcted Funds 955,093 3,027,130 13,239,109) 42,707 785,821 Balance at 1 April 2023 Balance at 31 March 2024 Incoming rosource8 Outgoing expendltur• Tran81or8 General Fund8 250,666 2.449,352 (2.405,058) (44,650) 250,312 Deslgnated Fund6 Refurbishment Fund Future Production & Artistic Projects Building and Visitor Experience Resilience Project Fund VAT Project Fund 5,620 169,649 245,814 190,755 {1,126) 4,494 190.592 271,685 220,755 17,255 20.943 {4,629) 30,500 30,000 (720) 629,813 20.943 (6,475) 60,500 704,781 Unrestricted Funds 880,479 2,470,295 12,411.531) 15,850 955.093 A description of the designated funds can be found at note 2.1. THE PALACE THEATRE WATFORD LIMITED NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 MARCH 2025 13. Restrlcted Fund The income funds of the Charitable Company include the following restricted funds where the donor has specified the purpose for which the fund is lo be used.. Balance at 1 Aprll 2024 Balance at 31 March 2025 Incomlng resource8 Outgolng expenditure TransferB Theatre Refurbishment Fund Catalyst Arts Fund Arts Council England Capital Fund New Writing Fund Arts Council Cultural Recovery Fund Garfield W8Ston Foundalion Restoration Levy Fund Herts Foundation Fund Neighbourhood Grant Fund Backstage Trust Fund 4,008,866 8,387 8,581 478 73,119 121,883 10,869 10,000 (195,480) (335) (610) 3,813,386 8,994 942 478. 52,623 79.481 31.927 (21.139) (5,352> 643 (37,050.) 21,058 (3,700) (6,300) 50,000 200,000 50,000 200,000 4,242,183 272,000 (226,616) (42,707) 4,244,860 Balance at l April 2023 8alanco al 31 March 2024 Incomlng resources Outgoing expenditure Transfers Theatre Refurbishment Fund Catalyst Arts Fund Arts Council England Capital Fund New Writing Fund Arts Council Cultural Recovery Fund Garfield Weston Foundation Restoration Levy Fund .Herts Foundation Fund 4.204.347 10,780 22,082 478 83.764 139,785 (195,481) (379) (13,501) 4,008,866 8,387 8,581 478 73,119 121,883 10.869 10,000, 1,286 (3,300} (10,645) (5,352) .(12,550) 10,869 10,000 4.461,236 22,155 <225,358) {15,850) 4,242,183 A description of the restricted fund8 can be found at note 2.1. THE PALACE THEATRE WATFORD LIMITED NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 MARCH 2025 14. Allocatlon of Net Assets between Funds G&n8ral Designated Restricted fund fund fund Total 2025 Tangible fixed assets. Investments Current assets Current liabilities 145,732 200 549,853 (445,450) 109.018 3,865,190 4,119,940 200 379,670 1,355,991 (445,450) 426.468 Net assets 25Q,335 535,486 4,244,860 5.030,681 General D981gnated Restrlcted fund fund fund Total 2024 Tangible fixed assets. Investments Current assets Current liabilities 102,118 200 622,221 1474,227) 66,052 4,001,452 4,169,622 200 1,501,681 (474,227) 638,729 240,731 Net assets 250,312 704,781 4,242,183 5,197,276 15. Capital Commltments At 31 March 2025, the Charity had capital commitments of £296,000 relating to the refurbishment of its main premises, which were contracted for but noi provided for in the financial statements {2024 - none). 16. Related Party R•latlonship8 and Tran8a¢tlon8 During the year, the following Trustees have been connected with organisations that have made payments to the Charitable Company.. Councillor Agni88zka Dychlon and Marilyn Devonish - Watford Borough Coun¢il - S¢rvice provision fee8 of £211,081 (2024.. £231,957) and further funding of £50,000 (2024 - £nill.