Docusign Envelope ID: 92303AA9-9BFB-4A38-8102-809AF4B4E606 **Charity registration number 1058879** **Company registration number 03261721 (England and Wales)** ## **REDEMPTORIST PUBLICATIONS** **ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023** Docusign Envelope ID: 92303AA9-9BFB-4A38-8102-809AF4B4E606 ## **REDEMPTORIST PUBLICATIONS** ## **LEGAL AND ADMINISTRATIVE INFORMATION** |**Trustees**|Rev R Reid|| |---|---|---| ||Rev A Burns|| ||Rev T Buckley|| ||Rev E Gweme|| ||Rev D McBride|(Appointed 11 January 2023)| |**Secretary**|Rev D McBride|| |**Charity number**|1058879|| |**Company number**|03261721|| |**Principal address**|Wolfes Lane|| ||Chawton|| ||Alton|| ||Hampshire|| ||GU34 3HQ|| |**Registered office**|Wolfes Lane|| ||Chawton|| ||Alton|| ||Hampshire|| ||GU34 3HQ|| |**Auditor**|Fiander Tovell Limited|| ||Stag Gates House|| ||63/64 The Avenue|| ||Southampton|| ||Hampshire|| ||SO17 1XS|| |**Solicitors**|Pothecary Witham Weld|| ||70 St George's Square|| ||London|| ||SW1V 3RD|| Docusign Envelope ID: 92303AA9-9BFB-4A38-8102-809AF4B4E606 ## **REDEMPTORIST PUBLICATIONS** ## **CONTENTS** ||**Page**| |---|---| |Trustees' report|1 - 8| |Independent auditor's report|9 - 11| |Statement of financial activities|12| |Balance sheet|13| |Statement of cash flows|14| |Notes to the financial statements|15 - 27| Docusign Envelope ID: 92303AA9-9BFB-4A38-8102-809AF4B4E606 ## **REDEMPTORIST PUBLICATIONS** ## **TRUSTEES' REPORT (INCLUDING DIRECTOR'S REPORT) FOR THE YEAR ENDED 31 DECEMBER 2023** The Trustees present their annual report and financial statements for the year ended 31 December 2023. The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the charity's governing document, the Companies Act 2006 and "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)". ## **Objectives and activities** The main activity of the Charity is the publication and distribution of religious material for both the Catholic Church and Anglican Communion. All activities are faithful to Church teachings for the purposes of the advancement of the charitable objectives, and the advancement of religion. The nature of this religious material is regularly reviewed so as to continually meet the needs of the people who access it: Catholic priests, Clergy and practitioners from other Christian faiths, the laity and also individuals with no explicit religious faith drawn to publications which fall into the categories of Spirituality and Wellbeing. In addition to Church and parish communities the Charity’s activities serve the education sector, families and those at the margins of society. Some of the publications are translated, through foreign rights agreements so as to make them accessible to speakers of other languages. In identifying and setting the aims and objectives for the Charity’s priorities for 2023, the Charity gave careful consideration to the Charity Commission’s general guidance on public benefit. The objects for which the Charity was established, as set out in the Memorandum and Articles of Association, are “The charitable purposes which advances the religious and other charitable work for the time being carried on by, or under the direction of the Society, being the voluntary association of men known as The Congregation of the Most Holy Redeemer". ## **Achievements and performance** In 2023, new publications included the second series, consisting of 12 books for the _Faith in Phonics_ reading scheme for primary schools was published leading to increased income from sales when compared with 2022. The _Faith in Phonics_ trademark registration was completed for Australia, the US, and Ireland. The Charity was able to rapidly respond to the news of the death of Pope Benedict XVI on the 31 December 2022, and published two new titles, _Pope Benedict: Behind the Scenes_ and _Pope Benedict: Thoughts from the Pen of a Pope_ in the first few weeks of 2023. The Charity continued to offer support to those at the margins of society with a new publication _Accompany People Living with Dementia_ . The publication offers practical information and was available as a resource to coincide with the national Dementia Prayer Week in March 2023. Once again, the Charity was able to offer a hardback, exquisitely written and designed Diary for 2024 featuring thought-provoking reflections by Father Denis McBride CSsR, the Charity’s Publishing Director. Several new titles were commissioned in 2023 for publication in 2024, including a new title from one of the Charity’s most prolific and best-selling authors, Father Jim McManus CSsR, _Make Your Home in Me as I Make Mine in You_ . The Charity was delighted to be able to support the Confraternity of St James (CSJ) facilitating the publication of six new titles for the organisation. In 2023, the Charity continued its work as the largest charity in the UK publishing one-time use Sunday sheets for use in parishes. In line with its policy for sustainability, the Charity continued to publish its Sunday Sheets using paper which was Forest Stewardship Council (FSC) certified, meaning it met the "gold standard" in ethical production (which is not necessarily the case for all publishers). The Charity welcomed a student from Treloar College, Alton, for a work-placement within the Editorial Department. The student went on to write an article about his experience with the Charity which was published by the College in 2023. 2023 was a positive and constructive year for the Charity’s digital media productions. The _Garden Mass Online_ has become a staple for many families across the world, especially the most vulnerable who constantly remind us, through Bidding Prayers and YouTube comments, of the importance of our effort in growing and nourishing the community. - 1 - Docusign Envelope ID: 92303AA9-9BFB-4A38-8102-809AF4B4E606 ## **REDEMPTORIST PUBLICATIONS** ## **TRUSTEES' REPORT (INCLUDING DIRECTOR'S REPORT) (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023** The number of new YouTube subscribers grew in 2023 by approx. 1200. From comments and letters received, the Charity is aware that each YouTube subscriber often reflects more than one person watching in any one household. The Garden Mass is a celebration which brings people and families together. Each mass (more than 52 filmed in 2023) had a view count of approx. 2000 (generally fluctuating between 1800 and 2500), which evidences a huge Sunday Mass congregation with an estimated viewership of over 4000 individuals per week. The _Faith in Phonics_ reading scheme was supported with the release of a series of feature videos with over 2000 views from the targeted audience. In addition, the Charity made available two video collaborations with Ave Maria Press _Prepare Your Heart_ and _Living the Word_ . In total over 100 new videos were published in 2023 (with 30,700 hours of viewing). The Feast of Christ the King (end November 2023) saw the last of the weekly Children’s Liturgy videos which were made available through the partnership with the Dominican Sisters of St Joseph, Lymington. The project generated more than 156 weekly videos all providing input for catechists and families covering the three liturgical years. During 2023 changes were made to the Charity’s social media content strategy which led to a significant increase in engagement (+195%) across its social channels (includes Facebook, Twitter and Instagram) the impact of which saw a growth in sales through its website. Total audience figures increased by 4% on the previous year, with total impressions increasing by 231%. The greatest increase was in the number of new Instagram followers. Email marketing increased on 2022, with only a slight drop in the ‘open’ rate. The rate of ‘unsubscribe’ clicks reduced in 2023 as a result of focused relevant content tailored to specific audiences. Compared with 2022, website user traffic increased by 210%. The charity continues to make user improvements leading to customers using the site for a longer period each visit although, the impact of the cost of living across the board in the UK undoubtedly has affected sales overall including the value of sales placed through the Charity’s website. The Charity continued to prioritise its approach to customer service evidenced by an excellent Trustpilot score of 4.75 which indicates a high level of customer service satisfaction. Recent examples of feedback include ‘Easy website. Quick delivery. Great books. Reading level was so well judged and pictures engaging.’ And, ‘Excellent range of resources. Found exactly what I was looking for on the website at a fair price. Simple ordering process.’ The Charity continued to make itself accessible to its customers by offering a range of purchasing solutions including staffing bookstands at major conferences related to its priority markets, knowledgeable and skilled Customer Care Centre for telephone orders, email ordering process and web sales. In light of the changing external market needs and competition, in 2023 the Leadership Team, together with the RPTC started the process of exploring and developing plans to remodel/rationalize the business offer (to be completed in 2024) to ensure the charity is fit for purpose to better meet the challenges from 2025 onwards. ## **Fundraising** Overall income from fundraising activities in 2023 totalled £38k. The overwhelming majority of the donations were linked to the online celebrations of Sunday Mass. Through the Garden Mass the Charity has built an online community of regular supporters and more than 5000 subscribers. The Charity’s fundraising activities do not incur costs. The Charity does not engage with external professional fundraisers or commercial participators to carry out fundraising activities nor does it engage in face-to-face or telephone fundraising actions. The Charity has never received complaints about its fundraising activities. ## **Charitable donations** The priorities in 2023 for the Charity’s Charitable donations amounting to £107k were made to The London Province of the Most Holy Redeemer (2022: £177k) which channeled the donations to support the Province’s sick and elderly confreres, sponsored the work of priestly formation, and supported the Redemptorist outreach work in Zimbabwe, particularly Caritas in Harare and the Mavambo Orphan Care The Charity continued to support those at the margins of society in prison with donations of printed resources for the main seasonal liturgical celebrations in 2023 and it continued to support local needs especially with the donation of missals to some primary school children. - 2 - Docusign Envelope ID: 92303AA9-9BFB-4A38-8102-809AF4B4E606 ## **REDEMPTORIST PUBLICATIONS** ## **TRUSTEES' REPORT (INCLUDING DIRECTOR'S REPORT) (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023** ## **Financial review** The full detailed figures for financial activities are shown in the accounts. However, it is appropriate to comment on some key points. The original budget for 2023 recognised it would be difficult to return the charity to an operating surplus by the 2023 year end. As such the budget was set at an operating deficit of £34k plus donations to the congregation of £107k amounting to an overall deficit of £141k. The underlying performance of the charity was very similar to 2022, but one off adjustments to stock and debtors meant that the overall position before unrealised gains and losses on investments worsened by £118k. In 2022 our investments performed poorly, but in line with market trends this was reversed in 2023 and investments grew in value by £74k. The targets for the next 3 years are to a) return the Charity to achieving a small retained surplus and b) continue to make sufficient surpluses to fund charitable donations to the Congregation of the Most Holy Redeemer. The effects of the pandemic continued into 2023 and sales are approximately 70% of pre pandemic levels. Churches continue to experience lower attendance, which has impacted upon the sales of our weekly sheets and other liturgical programmes. Whilst sales are lower than pre pandemic levels they are similar to 2022 levels. Income for the Charity is derived traditionally from the sales of three main product lines, the Weekly Sheets which are distributed to the parishes, production of our own RP books and resources and a distribution service. During 2020 another source of income was derived from donations made to the Charity largely due to the on-line mass provided each week and this new income stream continued throughout 2023 albeit at a reduced level. Total sales in 2023, including this new income stream, amounted to £1.463m, which is lower than the 2022 figure of £1.519m largely due to the drop in donations . The Charity continues to actively monitor its stock levels and has continued to revalue stock where appropriate. Stock value is £125k (2022: £197K). The Charity has closely monitored its cash position throughout the year to ensure it has sufficient flexibility to perform its mission and deliver its objectives. At the start of the year cash balances were £256k which has increased to £346k by year end. The Trustees have provided a further short-term loan of £100k to maintain flexibility without the need to draw upon investments in this volatile period. The Charity’s fixed assets mainly comprise the land and buildings and the Charity commissioned an independent valuation to assess their value relative to the cost reported in the accounts. The market value has deemed to be between £2m to £2.7m dependent upon whether the whole site is available for redevelopment. This compares to a value on the balance sheet of £915k. - 3 - Docusign Envelope ID: 92303AA9-9BFB-4A38-8102-809AF4B4E606 ## **REDEMPTORIST PUBLICATIONS** ## **TRUSTEES' REPORT (INCLUDING DIRECTOR'S REPORT) (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023** ## **Reserves policy** The Charitable Company’s reserves are all unrestricted. It is the policy of the Charitable Company to hold reserves in its unrestricted general funds which have not yet been committed or designated for any particular purpose. Our reserves are designed to be between one year and 18 months of annual turnover. This is to protect the Charity against risk in the market and ensure the on-going continuation of the Charitable mission. The sum of £518,846 has been identified as a reserve for St Clements, £299,271 for office buildings and £1,000,000 as working capital to support the business. Much of the general reserves are available to provide the Congregation of the Most Holy Redeemer with a financial cushion as it seeks to maintain some of its apostolic ventures and ensure proper provision can be made for its elderly and sick priests and brothers, and an amount has been identified as general reserves. At 31 December 2023 the general reserves amounted to £2m (£2.29m at December 2022). The reserves are sufficient for the working capital requirements to allow for continued research and development so that the Charity can develop new resources in a variety of media and meet its overall objectives. ## **Investment policy** The investment policy is to have a diverse and cautious portfolio of investments in order to minimise risk or capital loss. The Trustees have the power to invest in such assets as they see fit in keeping with the Charity's ethical and moral principles. The policy is to maintain income whilst preserving the real value of investment assets for use in meeting the Charity's objectives. The investment fund is regularly monitored and reviewed with the Financial Advisor. In this they are guided by the following principles: In keeping with good practice, the Trustees endeavour, by the prudent investment of assets, to a) supplement the income of Redemptorist Publications; to help the Charity carry out its purposes effectively in the short term and b) to maintain and, if possible, to increase the value of the invested funds to secure the long-term future of Redemptorist Publications. During 2023 the investments increased in value by £74k and offset the decline that occurred in 2022 of £141k. - 4 - Docusign Envelope ID: 92303AA9-9BFB-4A38-8102-809AF4B4E606 ## **REDEMPTORIST PUBLICATIONS** ## **TRUSTEES' REPORT (INCLUDING DIRECTOR'S REPORT) (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023** ## **Risk management** The risks to which the charity is exposed, as identified by the RPTC and Trustees, have been reviewed and systems and procedures have been established to manage these risks. The Leadership Team reviews the risk register regularly, especially when considering changes to agreed plans or potential new opportunities. Examples of potential risks and mitigation in 2023 included: |**Risk**|**Mitigation**| |---|---| |Insufficient IT capacity and a lack of investment in IT
systems could directly impact on the Charity’s ability to
launch and deliver its strategy priorities.|All hardware and software is upgrade on a
rolling-programme.| |Transition to virtual working could result in additional
cyber risks via use of malware (e.g., viruses and
ransomware). These could result in data theft and
identity fraud. Data breach would result in reputational
damage and possible GDPR fines.|The charity enhanced its cyber security by
outsourcing
its
IT
support
in
2022
to
professional specialists and updated software,
continued regular anti-virus updates together
with off-site server back-ups.| |Health & Safety – Insufficient attention given to the legal
requirements and welfare of employees and visitors.|Operational risks regularly re-evaluated. H&S
risk assessments carried out by external,
independent Risk Assessor each year - action
plans delivered in year. The Charity’s activities
are mainly office and warehouse based.
However,
it
is
recognised
that
some
employees travel and work from home as
hybrid workers. These risks are regularly
assessed as set out in the Charity’s Employee
Handbook.| |Finance processes fail to meet business needs.|Internal and external audit reviews, including
controls, regularly undertaken.| |Trustees fail to take responsibility for delivery of duties
(requirement of Charity Commission) including legal
responsibilities|Induction and training of new Trustees. New
Trustees receive training and are informed of
their legal obligations under charity law.
Regular reports to the RPTC ensure that the
Trustees (through the Chair and one other
RPTC Trustee) are aware of strategic
priorities and performance.| |Failure to retain RP’s reputation as a leading Catholic
publication house.|
Systems in place to review content of new
publications
throughout
planning
and
development cycle for each product. Where
required, RP seeks the appropriate Imprimatur
and Nihil Obstat. Publication of new titles each
year to ensure the Charity remains current and
appeals to a broad range of customers.| |Mass and parish attendance levels fails to recover to pre-
Covid levels|Continue to work with parishes to provide
outreach resources and support with initiatives
to engage with, and welcome ‘returners’.
Continue to support parishes with resources
focused on evangelization.| |Reduced income levels and negative cash flow|Finances are monitored on a regular basis
together with quarterly reports to the RPTC and
actions taken to address emergingconcerns.| - 5 - Docusign Envelope ID: 92303AA9-9BFB-4A38-8102-809AF4B4E606 ## **REDEMPTORIST PUBLICATIONS** ## **TRUSTEES' REPORT (INCLUDING DIRECTOR'S REPORT) (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023** ## **Plans for the future** The priorities for 2024 will see the Leadership Team continue to develop and roll out key objectives as part of the Looking to the Future re-modelling project. The aim of this project will be to significantly reduce operating costs through a phase of outsourcing of some business operations and the re-modelling of the Charity’s core product mix. The sensitivity around this project will be to ensure the Charity maintain its commitment to its mission and customers and to continue to be a positive influencer raising awareness of Christian values and spirituality. Plans are in place to publish Your New Sunday Missal. This major publication will be available from September 2024 for use from the First Week of Advent (end November 2024). This initiative is in response to the new Lectionary text being made available by the Catholic Bishops Conference for England and Wales. There is an expectation that the Charity’s new Sunday Missal will provide a notable increase in income in the latter half of 2024. Another major focus for the Charity in 2023 and 2024 will be to continue to explore the potential impact and options available for publishing within the new Redemptorist Federation – a merger of the London Province with the Irish, Munich-Vienna and St Clement’s provinces of Western Europe. The creation of the Federation will see Redemptorist Publications developing its position as the largest Redemptorist publishing house in Western Europe. ## **Structure, governance and management** Redemptorist Publications is a Charitable Company limited by guarantee, having no share capital. The objects for which the Charitable Company is established are set out in the Memorandum and Articles of Association dated 11 July 1996. The Charitable Company was incorporated on 10 October 1996. All the Trustees are priests of The Congregation of the Most Holy Redeemer, which was authorised by the Roman Catholic Church as a religious order in 1749 and which has spread to most countries throughout the world. The Congregation for the Most Holy Redeemer has been working in the UK since 1845 and has been developing its publication work since 1960. Trustees are elected by members of the Congregation of the Most Holy Redeemer for a term of four years; the Provincial Superior (Chairman) cannot hold office for more than three terms unless permission is granted by the Congregation’s General Superior. Trustees are trained within the ordinary procedures of the Roman Catholic Church and are subject to the laws of the Church. For finance and civil law matters the Trustees are aware of the importance of seeking appropriate professional advice. ## Trustees for the year ended 31 December 2023 Rev C Corrigan (Resigned 11 January 2023) Rev R Reid Rev A Burns Rev T Buckley Rev E Gweme Rev R Maidwell Rev D McBride (Appointed 11 January 2023 and resigned 31 May 2023) (Appointed 11 January 2023) - 6 - Docusign Envelope ID: 92303AA9-9BFB-4A38-8102-809AF4B4E606 ## **REDEMPTORIST PUBLICATIONS** ## **TRUSTEES' REPORT (INCLUDING DIRECTOR'S REPORT) (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023** In addition to the three OPC (Ordinary Provincial Council) post-holders, three Trustees are appointed every four years by all the confreres of the Congregation of the Most Holy Redeemer, London Province. The Trustees delegate the daily running of the Charity to the Redemptorist Publications Trustees’ Committee (RPTC). Two members of the OPC are part of the RPTC. The Trustees named in this report form the Directors of the Charitable Company. The power to appoint or elect Trustees of the Charitable Company rests with the board of Trustees. Appointing new members of the Redemptorist Publications Trustees Committee (RPTC) rests with this committee. In 2023 the decision was taken not to replace Brother Richard Maidwell CSsR who resigned as a Trustee in January 2023. The Trustees of Redemptorist Publications are also Trustees of The Congregation of the Most Holy Redeemer (Registered Charity number 252041, Scotland Registration number SCO39359) and The Ace of Clubs (Registered Charity number 1055187, Registered Company number 03080066). Both charities share similar objectives to Redemptorist Publications; to spread the Christian Gospel message and to help those in society who are in greatest need. The work of the Congregation of the Most Holy Redeemer is managed by fundraising and donations. It does not receive any grants for the education of students or the administration of the parishes. ## Trustees for year ended December 2023 Rev R Reid CSsR (Chair and OPC) Rev E Gweme CSsR (Vicar General and OPC) Rev T Buckley CSsR (OPC) Rev A Burns CSsR Rev D McBride CSsR (Publishing Director and Secretary to the RPTC) Brother Richard Maidwell CSsR (resigned January 2023) ## **The Redemptorist Publications Trustee Committee (RPTC)** In accordance with Article 42 of the Articles of Association, the Trustees of Redemptorist Publications generally delegate their powers to a committee on an annual basis. In 2023, the RPTC included three trustees; two OPC trustees and the Publishing Director and five other lay men and women advisors, providing specialist business acumen. The skills mix of the advisors is regularly reviewed with new members being appointed as and when appropriate. The RPTC meets quarterly to review activities including monitoring performance against key objectives, strategic and operational. In 2023 all meetings were organized using Zoom software. Regular reports include: Director’s report, year-to-date Finance report, Editorial projects, Workforce updates, Estates and Health & Safety. Strategic business management is delivered by the Publishing Director and the other two members of the Leadership Team. In 2023 day-to-day operational activities were managed by the Heads of Departments. The organisation structure provides for two lay key management posts. These posts are recruited by the RPTC, and with the Publishing Director (who is always an ordained Redemptorist Priest of the London Province) form the Leadership Team. Pay and remuneration for the Leadership Team is agreed by the RPTC and benchmarked to appropriate specialist salaries for similar posts within the Charitable and publishing sectors. Trustees do not receive payment for their services although are entitled to submit travel expenses for attending meetings. There were no travel expenses submitted by the trustees in 2023. Expenses for the RPTC advisors totalled £nil (£nil 2022, £nil 2021, £nil 2020). - 7 - Docusign Envelope ID: 92303AA9-9BFB-4A38-8102-809AF4B4E606 ## **REDEMPTORIST PUBLICATIONS** ## **TRUSTEES' REPORT (INCLUDING DIRECTOR'S REPORT) (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023** ## **Statement of Trustees' responsibilities** The Trustees, who are also the Directors of Redemptorist Publications for the purpose of company law, are responsible for preparing the Trustees' Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). Company Law requires the Trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the Charity and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that year. In preparing these financial statements, the Trustees are required to: - select suitable accounting policies and then apply them consistently; - observe the methods and principles in the Charities SORP; - make judgements and 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 Charity will continue in operation. The Trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the Charity and enable them to ensure that the financial statements comply with the Companies Act 2006. Trustees are inducted and trained as and when they are appointed. ## **Risk management** The Trustees are responsible for safeguarding the assets of the Charity and hence, for taking responsible steps for the detection and prevention of fraud and other irregularities. During 2023 the Trustees have assessed the major risks to which the company is exposed, in particular those related to the operations and finances of the company and are satisfied that through the Redemptorist Publications Trustees Committee, systems and procedures are in place to mitigate exposure to the major risks. ## **Auditor** The auditor, Fiander Tovell Ltd, is deemed to be reappointed under section 487(2) of the Companies Act 2006. ## **Disclosure of information to auditor** Each of the Trustees has confirmed that there is no information of which they are aware which is relevant to the audit, but of which the auditor is unaware. They have further confirmed that they have taken appropriate steps to identify such relevant information and to establish that the auditor is aware of such information. The Trustees' report was approved by the Board of Trustees. .............................. .............................. Rev R Reid Rev A Burns **Trustee Trustee** 26/9/2024 | 14:44 BST Date: ............................................. - 8 - Docusign Envelope ID: 92303AA9-9BFB-4A38-8102-809AF4B4E606 ## **REDEMPTORIST PUBLICATIONS** ## **INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF REDEMPTORIST PUBLICATIONS** ## **Opinion** We have audited the financial statements of Redemptorist Publications (the ‘charity’) for the year ended 31 December 2023 which comprise the statement of financial activities, the balance sheet, the statement of cash flows and notes to the financial statements, including 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 charitable company's affairs as at 31 December 2023 and of its incoming resources and application of resources, including its income and expenditure, 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 charity 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 Trustees' 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 charity’s ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. Our responsibilities and the responsibilities of the Trustees with respect to going concern are described in the relevant sections of this report. ## **Other information** The other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The Trustees are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. ## **Opinions on other matters prescribed by the Companies Act 2006** In our opinion, based on the work undertaken in the course of our audit: - the information given in the Trustees' report for the financial year for which the financial statements are prepared, which includes the directors' report prepared for the purposes of company law, is consistent with the financial statements; and - the directors' report included within the Trustees' report has been prepared in accordance with applicable legal requirements. - 9 - Docusign Envelope ID: 92303AA9-9BFB-4A38-8102-809AF4B4E606 ## **REDEMPTORIST PUBLICATIONS** ## **INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE MEMBERS OF REDEMPTORIST PUBLICATIONS** ## **Matters on which we are required to report by exception** In the light of the knowledge and understanding of the charity and its environment obtained in the course of the audit, we have not identified material misstatements in the directors' report included within the Trustees' report. We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion: - 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 trustees' remuneration specified by law are not made; or - we have not received all the information and explanations we require for our audit; or - the Trustees were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies' exemptions in preparing the Trustees' report and from the requirement to prepare a strategic report. ## **Responsibilities of Trustees** As explained more fully in the statement of Trustees' responsibilities, the Trustees, who are also the directors of the charity for the purpose of company law, 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 Trustees 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 Trustees are responsible for assessing the charity’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 Trustees either intend to liquidate the charitable 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. The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below. ## **Extent to which the audit was considered capable of detecting irregularities, including fraud** Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows: - the engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations. - we identified the laws and regulations applicable to the company through discussions with directors and other management, and from our commercial knowledge and experience. - we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the company, including the Companies Act 2006, taxation legislation, data protection, employment, environmental and health and safety legislation. - we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management. We assessed the susceptibility of the company’s financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by: - making enquiries of management as to where they considered there was susceptibility to fraud, their - knowledge of actual, suspected and alleged fraud. - considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations. - 10 - Docusign Envelope ID: 92303AA9-9BFB-4A38-8102-809AF4B4E606 ## **REDEMPTORIST PUBLICATIONS** ## **INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE MEMBERS OF REDEMPTORIST PUBLICATIONS** ## **Audit response to risks identified** To address the risk of fraud through management bias and override of controls, we: - performed analytical procedures to identify any unusual or unexpected relationships. - tested journal entries to identify unusual transactions. - tested a sample of BACS payments to identify payments being made to unexpected bank accounts. - performed transactional testing on payroll costs in respect of those employees with responsibility or authority in connection with the payroll function. - assessed whether judgements and assumptions made in determining the accounting estimates were indicative of potential bias. - investigated the rationale behind significant or unusual transactions. In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to: - agreeing financial statement disclosures to underlying supporting documentation. - enquiring of management as to actual and potential litigation and claims. There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any. Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion. A further description of our responsibilities is available on the Financial Reporting Council’s website at: https:// www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report. This report is made solely to the charitable 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 charitable 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 charitable company and the charitable company’s members as a body, for our audit work, for this report, or for the opinions we have formed. ## **Adam Buse ACA (Senior Statutory Auditor) for and on behalf of Fiander Tovell Limited** ## 26/9/2024 | 15:04 BST ......................... **Chartered Accountants Statutory Auditor** Stag Gates House 63/64 The Avenue Southampton Hampshire SO17 1XS - 11 - Docusign Envelope ID: 92303AA9-9BFB-4A38-8102-809AF4B4E606 ## **REDEMPTORIST PUBLICATIONS** ## **STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 DECEMBER 2023** |**Unrestricted**
**Restricted**
**funds**
**funds**
**2023**
**2023**
**Notes**
**£**
**£**
**Income from:**
Donations and legacies
**3**
33,566
4,764
Charitable activities
**4**
1,422,058
-
Investments
**5**
2,333
-
**Total income**
1,457,957
4,764
**Expenditure on:**
Charitable activities
**6**
1,827,995
-
Net gains/(losses) on investments
**10**
74,255
-
**Net movement in funds**
(295,783)
4,764
Fund balances at 1 January 2023
2,288,650
-
**Fund balances at 31 December 2023**
1,992,867
4,764|**Total**
Unrestricted
funds
**2023**
2022
**£**
**£**
38,330
89,551
1,422,058
1,429,591
2,333
671
1,462,721
1,519,813
1,827,995
1,766,975
74,255
(141,564)
(291,019)
(388,726)
2,288,650
2,677,376
1,997,631
2,288,650| |---|---| The statement of financial activities includes all gains and losses recognised in the year. The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities. The statement of financial activities also complies with the requirements for an income and expenditure account under the Companies Act 2006. - 12 - Docusign Envelope ID: 92303AA9-9BFB-4A38-8102-809AF4B4E606 ## **REDEMPTORIST PUBLICATIONS** ## **BALANCE SHEET** ## **AS AT 31 DECEMBER 2023** ||||**2023**|||**2022**|| |---|---|---|---|---|---|---|---| ||**Notes**|**£**||**£**|**£**||**£**| |**Fixed assets**|||||||| |Tangible assets|**12**|||926,249|||956,897| |Investments|**13**|||918,489|||844,234| |||||1,844,738|||1,801,131| |**Current assets**|||||||| |Stocks|**14**|125,386|||196,751||| |Debtors|**15**|293,434|||341,995||| |Cash at bank and in hand||186,268|||346,546||| |||605,088|||885,292||| |**Creditors: amounts falling due within**|**16**||||||| |**one year**||(452,195)|||(397,773)||| |Net current assets||||152,893|||487,519| |**Total assets less current liabilities**||||1,997,631|||2,288,650| |**The funds of the charity**|||||||| |Restricted income funds|**18**|||4,764|||-| |Unrestricted funds||||1,879,907|||2,172,160| |Revaluation reserve||||112,960|||116,490| |||||1,997,631|||2,288,650| 26/9/2024 | 14:44 BST The financial statements were approved by the Trustees on ......................... |Richard Reid (Sok|ludrw Burns| |---|---| |..............................|..............................| |Rev R Reid|Rev A Burns| |**Trustee**|**Trustee**| Company registration number 03261721 (England and Wales) - 13 - Docusign Envelope ID: 92303AA9-9BFB-4A38-8102-809AF4B4E606 ## **REDEMPTORIST PUBLICATIONS** ## **STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 DECEMBER 2023** |**Notes**
**Cash flows from operating activities**
Cash (absorbed by)/generated from
operations
**22**
**Investing activities**
Purchase of tangible fixed assets
Investment income received
**Net cash generated from/(used in)**
**investing activities**
**Net cash used in financing activities**
**Net (decrease)/increase in cash and cash**
**equivalents**
Cash and cash equivalents at beginning of year
**Cash and cash equivalents at end of year**|**2023**
**£**
**£**
(162,611)
-
2,333
2,333
-
(160,278)
346,546
186,268|**2022**
**£**
(9,130)
671|**£**
98,101
(8,459)
-
89,642
256,904
346,546| |---|---|---|---| - 14 - Docusign Envelope ID: 92303AA9-9BFB-4A38-8102-809AF4B4E606 ## **REDEMPTORIST PUBLICATIONS** ## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023** ## **1 Accounting policies** ## **Charity information** Redemptorist Publications is a private company limited by guarantee incorporated in England and Wales. The registered office is Wolfes Lane, Chawton, Alton, Hampshire, GU34 3HQ. ## **1.1 Accounting convention** The accounts have been prepared in accordance with the charity's memorandum and articles of association, the Companies Act 2006 and “Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)” (as amended for accounting periods commencing from 1 January 2016). The charity is a Public Benefit Entity as defined by FRS 102. The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £. The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below. ## **1.2 Going concern** At the time of approving the financial statements, the Trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the Trustees continue to adopt the going concern basis of accounting in preparing the financial statements. ## **1.3 Charitable funds** The unrestricted funds of the Charitable Company are divided into designated funds and general reserves. Designated funds are determined by the trustees from time to time and are held for specific purposes. Restricted funds are subject to specific conditions by donors or grantors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements. ## **1.4 Income** All incoming resources are included in the statement of financial activities when the Charitable Company is entitled to the income and the amount can be quantified with reasonable accuracy. The following specific policies are applied to particular categories of income: - Incoming resources from charitable trading activity are accounted for when earned. Income relating to publications for dates after the year end is deferred until the period to which it relates. - · Investment income is recognised on a receivable basis. Cash donations are recognised on receipt. Other donations are recognised once the charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation. ## **1.5 Expenditure** Expenditure is recognised on an accruals basis when a liability is incurred. Charitable expenditure comprises expenditure by the Charitable Company in furtherance of the general objectives of the Charity. Support costs include central functions and have been allocated to the activity cost categories on a basis consistent with the use of resources within these activities. - 15 - Docusign Envelope ID: 92303AA9-9BFB-4A38-8102-809AF4B4E606 ## **REDEMPTORIST PUBLICATIONS** ## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023** ## **1 Accounting policies** ## **(Continued)** ## **1.6 Tangible fixed assets** Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses. Depreciation is calculated to write down the cost, or valuation, less estimated residual value of all tangible fixed assets, other than freehold land, held for charity use. Single items costing less than £1,000 are not capitalised. Freehold property 50 years straight line Plant and machinery 15% reducing balance Computers 3 to 5 years straight line Motor vehicles 25% reducing balance The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the statement of financial activities. St Clements is not depreciated on the basis that the residual value is considered to be in excess of cost and therefore the depreciable amount is £nil. The asset is reviewed for impairment on an annual basis. ## **1.7 Fixed asset investments** Fixed asset investments are initially measured at transaction price excluding transaction costs, and are subsequently measured at fair value at each reporting date. Changes in fair value are recognised in net income/(expenditure) for the year. Transaction costs are expensed as incurred. ## **1.8 Impairment of fixed assets** At each reporting end date, the charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). ## **1.9 Stocks** Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the stocks to their present location and condition. Items held for distribution at no or nominal consideration are measured at the lower of replacement cost and cost. Stock is accounted for on an average cost basis. Net realisable value is the estimated selling price less all estimated costs of completion and costs to be incurred in marketing, selling and distribution. Stock provisions are considered for items meeting the policy shown in note 2. Provisions are also considered in respect of slow moving or obsolete product lines on an individual basis. ## **1.10 Cash and cash equivalents** Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities. - 16 - Docusign Envelope ID: 92303AA9-9BFB-4A38-8102-809AF4B4E606 ## **REDEMPTORIST PUBLICATIONS** ## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023** ## **1 Accounting policies** ## **(Continued)** ## **1.11 Financial instruments** The charity has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments. Financial instruments are recognised in the charity's balance sheet when the charity becomes party to the contractual provisions of the instrument. Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously. ## **Basic financial assets** Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method 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. Financial assets classified as receivable within one year are not amortised. ## **Basic financial liabilities** Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised. Debt instruments are subsequently carried at amortised cost, using the effective interest rate method. Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method. ## **Derecognition of financial liabilities** Financial liabilities are derecognised when the charity’s contractual obligations expire or are discharged or cancelled. ## **1.12 Employee benefits** The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received. Termination benefits are recognised immediately as an expense when the charity is demonstrably committed to terminate the employment of an employee or to provide termination benefits. ## **1.13 Retirement benefits** The Charitable Company operates a money purchase pension scheme. Contributions are charged to the statement of financial activities as incurred. The pensions scheme's assets are held separately from those of the Charitable Company and are managed by independent fund managers, who are responsible for matters of the investment policy and the actual payment of pensions to the persons so entitled to it. ## **1.14 Foreign exchange** Transactions in currencies other than pounds sterling are recorded at the rates of exchange prevailing at the dates of the transactions. At each reporting end date, monetary assets and liabilities that are denominated in foreign currencies are retranslated at the rates prevailing on the reporting end date. Gains and losses arising on translation are included in net expenditure for the period. - 17 - Docusign Envelope ID: 92303AA9-9BFB-4A38-8102-809AF4B4E606 ## **REDEMPTORIST PUBLICATIONS** ## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023** ## **1 Accounting policies** ## **(Continued)** ## **1.15 Debtors** Trade and other debtors are recognised at the settlement amount due. Prepayments are valued at the amount prepaid. ## **1.16 Creditors and provisions** Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount. ## **1.17 Government grants** Government grants are recognised at the fair value of the asset received or receivable when there is reasonable assurance that the grant conditions will be met and the grants will be received. ## **2 Critical accounting estimates and judgements** In the application of the charity’s accounting policies, the Trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates. The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods. ## **Key sources of estimation uncertainty** The estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are as follows. ## **Stock provisions** Stock is held at the lower of cost and net realisable value. At the year end, management reviews each line of stock, considering the number of units held sales in the last 12 and 24 months and whether there is any reason that a stock item might be or might become obsolete and a provision is then calculated. The total stock provision for the year is £105,127 (2022 - £103,165). ## **3 Income from donations and legacies** ||**Unrestricted**|**Restricted**|**Total**|**Unrestricted**|**Restricted**|**Total**| |---|---|---|---|---|---|---| ||**funds**|**funds**||**funds**|**funds**|| ||**2023**|**2023**|**2023**|**2022**|**2022**|**2022**| ||**£**|**£**|**£**|**£**|**£**|**£**| |Donations and gifts|33,566|4,764|38,330|89,551|-|89,551| - 18 - Docusign Envelope ID: 92303AA9-9BFB-4A38-8102-809AF4B4E606 ## **REDEMPTORIST PUBLICATIONS** ## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023** ## **4 Income from charitable activities** ||**Unrestricted**|**Unrestricted**| |---|---|---| ||**funds**|**funds**| ||**2023**|**2022**| ||**£**|**£**| |Publication sales|1,245,376|1,280,466| |Royalties|14,240|19,226| |Postage, carriage and sundry costs|162,442|129,899| ||1,422,058|1,429,591| ## **Charitable trading income** All charitable activity income is in relation to unrestricted funds. ## **5 Income from investments** ||**Unrestricted**|**Unrestricted**| |---|---|---| ||**funds**|**funds**| ||**2023**|**2022**| ||**£**|**£**| |Interest receivable|2,333|671| - 19 - Docusign Envelope ID: 92303AA9-9BFB-4A38-8102-809AF4B4E606 ## **REDEMPTORIST PUBLICATIONS** ## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023** ## **6 Expenditure on charitable activities** |||**Charitable**|**Charitable**| |---|---|---|---| |||**activities**|**activities**| |||**2023**|**2022**| |||**£**|**£**| ||**Direct costs**||| ||Donations|107,236|117,210| ||Publication and distribution of religious materials|859,656|745,382| ||Staff recruitment, training and welfare|5,494|11,374| ||Postage and stationery|16,629|19,824| ||Advertising, conferences and sponsorship|33,936|43,012| ||Travel and motor expenses|5,285|8,682| ||Legal and professional fees|5,403|861| ||Computer maintenance|48,401|66,193| ||Finance costs|19,699|20,957| ||Bad and doubtful debts|39,750|-| |||1,141,489|1,033,495| ||**Share of support and governance costs (see note 7)**||| ||Support|673,006|720,730| ||Governance|13,500|12,750| |||1,827,995|1,766,975| ||**Analysis by fund**||| ||Unrestricted funds - general|1,827,995|1,766,975| |**7**|**Support costs allocated to activities**||| |||**Charitable**|**Total**| |||**activities**|| |||**2023**|**2022**| |||**£**|**£**| ||Staff costs|582,525|622,351| ||Depreciation|30,650|41,903| ||Repairs and renewals|6,348|6,702| ||Telephone and fax|11,955|10,385| ||Rent, rates and service charge|5,622|4,058| ||Insurance|7,216|6,719| ||Light and heat|18,473|15,351| ||Sundry expenses|10,217|13,261| ||Governance|13,500|12,750| |||686,506|733,480| - 20 - Docusign Envelope ID: 92303AA9-9BFB-4A38-8102-809AF4B4E606 ## **REDEMPTORIST PUBLICATIONS** ## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023** |**7**
**Support costs allocated to activities**
**Governance costs comprise:**
Audit fees|**(Continued)**
**2023**
**2022**
**£**
**£**
13,500
12,750
13,500
12,750|**(Continued)**
**2023**
**2022**
**£**
**£**
13,500
12,750
13,500
12,750| |---|---|---| |||12,750| Support costs are allocated between activities on a basis consistent with the use of resources within these activities. Included in the audit fees is £2,000 (2022: £2,000) which relates to other financial services. ## **8 Trustees** None of the Trustees (or any persons connected with them) received any remuneration during the year. There were also no travel expenses reimbursed to the Congregation of the Most Holy Redeemer, a related charity, regarding the trustees during the year. ## **9 Employees** The average monthly number of employees during the year was: |**Employment costs**
Wages and salaries
Social security costs
Other pension costs|**2023**
**Number**
24
**2023**
**£**
512,168
44,468
25,889
582,525|**2022**
**Number**
24| |---|---|---| |||**2022**
**£**
548,032
46,361
27,958| |||622,351| There were no employees whose annual remuneration was more than £60,000. - 21 - Docusign Envelope ID: 92303AA9-9BFB-4A38-8102-809AF4B4E606 ## **REDEMPTORIST PUBLICATIONS** ## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023** ## **10 Gains and losses on investments** ||**Unrestricted**|**Unrestricted**| |---|---|---| ||**funds**|**funds**| ||**2023**|**2022**| |Gains/(losses) arising on:|**£**|**£**| |Revaluation of investments|74,255|(141,564)| ## **11 Taxation** The charity is exempt from tax on income and gains falling within section 505 of the Taxes Act 1988 or section 252 of the Taxation of Chargeable Gains Act 1992 to the extent that these are applied to its charitable objects. ## **12 Tangible fixed assets** |**Cost or valuation**
At 1 January 2023
At 31 December 2023
**Depreciation and impairment**
At 1 January 2023
Depreciation charged in the year
At 31 December 2023
**Carrying amount**
At 31 December 2023
At 31 December 2022|**Freehold**
**property**
**£**
1,118,846
1,118,846
204,000
12,000
216,000
902,846
914,846|**Plant and**
**machinery**
**£**
200,944
200,944
177,072
3,580
180,652
20,292
23,872|**Computers Motor vehicles**
**£**
**£**
373,537
34,138
373,537
34,138
355,358
34,138
15,068
-
370,426
34,138
3,111
-
18,179
-|**Total**
**£**
1,727,465| |---|---|---|---|---| |||||1,727,465| |||||770,568
30,648| |||||801,216| |||||926,249| |||||956,897| Land and buildings with a carrying amount of £423,500 were revalued to £600,000 at 29 February 2000 by G B Glanfield B.Sc (Hons) ARICS, independent valuers not connected with the charity on the basis of market value. The valuation conformed to International Valuation Standards and was based on recent market transactions on arm's length terms for similar properties. Since that date, the charitable company took advantage of the provisions of FRS15 not to implement a policy of revaluation and have since held the property at the carrying value of £600,000. At 31 December 2023, had the revalued assets been carried at historic cost less accumulated depreciation and accumulated impairment losses, their carrying amount would have been approximately £789,886 (2022 - £798,356). Since the revaluation above additional building costs of £518,846 have been incurred on a residential property on the same site and those additions are shown at cost. This residential property is not depreciated on the basis that the difference between its cost and residual value is not material; it has an estimated useful economic life in excess of 50 years and is the subject of regular maintenance and repair. The trustees undertake an annual impairment review to confirm there is no material impairment of the property. - 22 - Docusign Envelope ID: 92303AA9-9BFB-4A38-8102-809AF4B4E606 ## **REDEMPTORIST PUBLICATIONS** ## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023** ## **13 Fixed asset investments** ||**Listed**| |---|---| ||**investments**| ||**£**| |**Cost or valuation**|| |At 1 January 2023|844,234| |Valuation changes|74,255| |At 31 December 2023|918,489| |**Carrying amount**|| |At 31 December 2023|918,489| |At 31 December 2022|844,234| |**14**|**Stocks**||| |---|---|---|---| |||**2023**|**2022**| |||**£**|**£**| ||Finished goods and goods for resale|125,386|196,751| Impairment losses of £1,962 (2022 - impairment losses reversed of £24,881) have been charged in the year. |**15**
**Debtors**
**Amounts falling due within one year:**
Trade debtors
Other debtors
Prepayments and accrued income
**16**
**Creditors: amounts falling due within one year**
Other taxation and social security
Trade creditors
Other creditors
Accruals and deferred income|**2023**
**£**
203,564
22,120
67,750
293,434
**2023**
**£**
13,756
78,853
300,454
59,132
452,195|**2022**
**£**
238,406
25,102
78,487| |---|---|---| |||341,995| |||**2022**
**£**
37,131
82,499
200,202
77,941| |||397,773| - 23 - Docusign Envelope ID: 92303AA9-9BFB-4A38-8102-809AF4B4E606 ## **REDEMPTORIST PUBLICATIONS** ## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023** ## **16 Creditors: amounts falling due within one year** ## **(Continued)** Included within other creditors is a £300,000 loan (2022: £200,000) from The Congregation of the Most Holy Redeemer (CMHR). This is due within one year and repayable on demand. See note 21 for further information. ## **17 Retirement benefit schemes** ## **Defined contribution schemes** The Charitable Company operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the Charitable Company in an independently administered fund. The charge to profit or loss in respect of defined contribution schemes was £25,889 (2022 - £27,958). At the balance sheet date £nil (2022 - £2,409) was payable in respect of these costs. ## **18 Restricted funds** ||**At**|**1**|**January**|**Incoming**|**At 31**| |---|---|---|---|---|---| ||||**2023**|**resources**|**December**| ||||||**2023**| ||||**£**|**£**|**£**| |Ukraine|||-|4,764|4,764| ## **19 Designated 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 specific purposes: |**Movement**
**in funds**
**Balance at**
**1 January 2022**
**Incoming**
**resources**
**Balance at**
**1 January 2023**
**£**
**£**
**£**
St Clements fund
518,846
-
518,846
Office buildings reserve
302,801
-
302,801
Working capital reserve
1,000,000
-
1,000,000
1,821,647
-
1,821,647|**Transfers**
**Balance at**
**31 December**
**2023**
**£**
**£**
-
518,846
(3,530)
299,271
-
1,000,000
(3,530)
1,818,117| |---|---| ## **St Clements fund** This fund is the value of the St Clements property owned by the Charitable Company that is provided for use by the Redemptorist community. - 24 - Docusign Envelope ID: 92303AA9-9BFB-4A38-8102-809AF4B4E606 ## **REDEMPTORIST PUBLICATIONS** ## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023** ## **19 Designated funds** **(Continued)** ## **Office buildings reserve** This fund represents the premises used by the Charitable Company in the course of its normal operations. The depreciation related to the revalued part of the 'cost' in the accounts is adjusted against the revaluation reserve. ## **Working capital reserve** This fund represents the working capital designated by the Trustees as being required to maintain the Charitable Company's normal operational capacity. ## **20 Analysis of net assets between funds** |**Unrestricted**
**Restricted**
**funds**
**funds**
**2023**
**2023**
**£**
**£**
**Fund balances at 31 December 2023 are represented by:**
Tangible assets
926,249
-
Investments
918,489
-
Current assets/(liabilities)
148,129
4,764
1,992,867
4,764
**Unrestricted**
**Restricted**
**funds**
**funds**
**2022**
**2022**
**£**
**£**
**Fund balances at 31 December 2022 are represented by:**
Tangible assets
956,897
-
Investments
844,234
-
Current assets/(liabilities)
487,519
-
2,288,650
-|**Total**
**2023**
**£**
926,249
918,489
152,893| |---|---| ||1,997,631| ||**Total**
**2022**
**£**
956,897
844,234
487,519| ||2,288,650| - 25 - Docusign Envelope ID: 92303AA9-9BFB-4A38-8102-809AF4B4E606 ## **REDEMPTORIST PUBLICATIONS** ## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023** ## **21 Related party transactions** The Charitable Company is controlled by its members who are also directors and trustees. During the year, no expenses were reimbursed trustees (2022 - none). The Charitable Company is related to The Congregation of the Most Holy Redeemer (CMHR), a registered charity, by virtue of the common control by the same group of persons. All transactions during the year were on an arm's length basis. Charitable donations of £107,351 (2022 - £107,351) were paid and pledged to CMHR during the year. As part of its charitable support for CMHR the Charitable Company provides payroll and administrative services including the payment of salaries in advance of reimbursement. At the balance sheet date, the Charitable Company were owed £45 (2022 - £54). During the year, there were amounts received from the CHMR of £300,000 in respect to a short term loan. The full amount was owing at the year end. The loan is due within one year and is repayable on demand. The Charitable Company is related to Ace of Clubs (Clapham), a registered charity, by virtue of the common control by the same group of persons. As part of its charitable support for Ace of Clubs (Clapham) the Charitable Company provides payroll and administrative services including the payment of salaries in advance of reimbursement. Residential property owned by Redemptorist Publications is occupied by one of the officers, who is entitled to live there by virtue of his role in the organisation. Docusign Envelope ID: 92303AA9-9BFB-4A38-8102-809AF4B4E606 ## **REDEMPTORIST PUBLICATIONS** ## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023** |**22**|**Cash generated from operations**|**2023**|**2022**| |---|---|---|---| |||**£**|**£**| ||Deficit for the year|(291,019)|(388,726)| ||Adjustments for:||| ||Investment income recognised in statement of financial activities|(2,333)|(671)| ||Fair value gains and losses on investments|(74,255)|141,564| ||Depreciation and impairment of tangible fixed assets|30,650|41,903| ||Movements in working capital:||| ||Decrease in stocks|71,365|67,365| ||Decrease/(increase) in debtors|48,559|(27,393)| ||Increase in creditors|54,422|264,059| ||**Cash (absorbed by)/generated from operations**|(162,611)|98,101| ## **23 Analysis of changes in net funds** The charity had material debt of £300,000 (2022: £200,000) due to The Congregation of the Most Holy Redeemer. - 27 -