REGISTERED CHARITY NUMBER: 1205660 REPORT OF THE TRUSTEES AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025 FOR PORTSMOUTH ROYAL MARITIME CLUB
PORTSMOUTH ROYAL MAArriME CLUB REPORT OF THETRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2025 Page Rewrt tsf the Trustees 1 to6 Report of the Independent Audttors 7109 Consolidaltsd Statem6nt of Financial Aclivilios 10 Consolidated Balan¢e Sheet Consolidated Statem&nl of Cashllows 12 Notes to the Finartcial Statements 13to25
POR TSMOUTH ROYAL MARITIME CLUB REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2025 REFERENCE AND ADMINISTRATIVE DETAILS Trusteos Mr M Dawe, Trustee and Chairman Mr M Massey, Trusteo and Vice Chairma Mrs C Sleolsmi(h Capl. P Quinn OBE RN IRldl Mr T Cfark Mi Duck Mrs K Cosco lappoinled on 25th March 20251 Mr N Batther lappoinled on 25th March 20251 Mr S James lappoinled on 25th March 2025, resigned 8th Decembor 20251 Charfty reglstered number 1205660 Prlnclpal offlce 75-80 Queen Str881 Portsmouth Harnpshire P013HS Auditors MC Audit Limited Chartered Accountants Statutory Auditors Lak¢ House 2 Port Way Port Solent Hampshire P06 4TY Bankers Handelsbanken Ground Floor 1000 Lakeside North Harbour Portsmouth P06 3EN Solicitors Wannops Froddinglon House Cumberland Business Centre Northumberland Road Portsmouth P02 OLR Knights Midland House Wesl Way Boiley Oxford OX2 OPH Page 1
PORTSMOUTH ROYAL klARITIME CLUB REPORTOF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2025 The Trustees psent their annual report together with the audited financial &teMentS lor year &nded 31st December 2025. STRUCTURE. GOVERNANCE AND MANAGEMENT Governlng document and Slgnlficant Changos The Club's origins were as the Home Club, opened in 1851. The Portsmouth Royal Sailors Home Club was created by a conveyance and assignmènt and declaration c)1 trust of 13 Febwary 1883. Follow7ng obtaining consonl trom the Privy Council and the Charity Commission. a new chtY was formed and in March 2024, approval was obtained from the transfer all the assots, liabilities and activities into a Charitable Incorwraled Organisation ICIOI- Charity Number 1205660. The transfer took place on 1 st April 2024. The objectives ol the new charity precisely mirror tho old charity, and the Trustecs remain the same. Truste¢s The present membership of the Br)ard of Trustees is as listed on page 1. 7 members served throughout the pgriod. The number ol Trustees is in accordance wilh the govorning document. The appointment ol a Trustee must be made at a special meeting. Trustse meetsngs take place at least four limes a year. Organlsation, management and structu The Charity is managed by a Board of Trustees who themseeS are responsible lor the appointment ol ihe Chief Executive Officer ICEOI. ThB CEO has overall responsibility for th& day-to-day management and running ol the Charwty. Th8 CEO appoints all stall. The management structure is split into areas of rgsponsibilily, induding Op¢rations, HDusekeeping, Food and Beverage. MarkeliThJ and Events and Finance Regular moelings take place between the Heads of Department and the CEO. Each Head of Departtnent is answerable to the CEO who is answerable and reports lo the Board of Trusiees. Mr David KnKJht has been the CEO since his appointment in April 2023. Tho Trustees were initially appointed under the Charitable Scheme, dated 21 O¢lober 1998. New Trustees arg apFxilnied by the Board ol Trustees. The Trustees are responsible for overall pollcy d¢¢isions. The rKJn-charilthe functions aro undertaken to support the Charty and run by a parallel trading company, tho directors ol which are at present thg Tru8tees, Mr Knight the CEO is the Company Secretary. Page 2
PORTSMOUTH ROYAL MARITIME CLUB REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2025 Risk management The Trustees review and update, at their meetings and at least annually, the risk assessment for the building and its use, and consider regularly the risks associated with the operations of ihe charity. Amongst risks specifically considered in the past year are future development and refurbishment, increasing competition, risk5 of reputational damage and occupancy rates. OBJECTIVES AND ACTIVITIES FOR THE PUBLIC BENEFIT Objects and actlvitles The objects aims and principaj actwities of the Charity are as sel out in Paragraph 4 (al and Ibl of the Charitable Schemè da16d 21st Oclober 1998. The activities of the Charily are h0 provision of recreation, accommodatien and leisure time occupation for iys beneficiaries and also to provide for the relief ol seafarers and formor seafarers who are in need, sufforing hardship or distress" Strateglc alms and Intended effect The stralsgic aim ol tho Charty has always been to ensure il is able lo fulfil its charitable objects. The Trustees highlighted the need lo make changes in Ihe manner in which they sought to achieve this having regard lo the lar reaching changes, which have occurred in the market pla in which the Chartty operates. Imponanlly, wilh 141.497 serving seNice personnel and 52,762 veteran service personnel living in the Solenl artsa. il has become iwnFx)rtanl to include ajl armed lorcps personnel and their families in i(s r¢mil. Whilst the Club's membership 15 changing with a reLluction in the size and use ot the club by seNing personnel, there is an increase in the nutnbers ol younger retirèd sailors and Marines especially those seeking the service provided by supporting Charities. The range and scope of tho Club's charitable activities rellecl those changgs which have improved the chai11$ performance and greatly assist futfilling the objectives. Oblectlves of the ygar To continue the expanslon of access to the Club to the Armed Serwces, uniformed seryi¢es, and Other seafarers to ensuie the fullest use of the Chariils facilities can be madè. 2 To ¢onlinue to upgrade thè Charivs premis65, particularly disabled facilities, to mantain and improve the structure in aordare wrth a 5-10 year planned Maintenan programme. To actively improve, modernize and promote lh6 facilities of the Club by undertaknng a subslanlial programmg of mod&inizaiion ot bedrooms, together with other improvements. Princlpal actlvlties The Club's principal actmly continues to be the provision of accommodatlon, C0a110n and Other leisure lime occupation its fuifil its charitable objects. and the provision of space tor the delivery ol services by other seNice hariii¢s. Publlc benefit The Trustees confi'rm that they have referred lo the guidance contained in the Charity Commission's gengral guidance on public benefit whan rgvSewing the Charity's aims and objectives and in planning future aclniilies. The principal objects ol the Charfly are promoted by free or redu¢ed room hir6 for Naval and military charitable Associations., use of rooms for Veterans Outreach Support lor their expanding and important counselling work particularly for ex seNice personngl allecled by post Iraumatlc stross disorder and a wide range of personal issues, providing free or reduced cost respite holidays lor needy beneficiary families., special rgductions for naval personnel lor all ev&nts- assisting local fund raising for numerous national and local chaaties., and discounts in respect ol accommodation, bar and food. Page 3
PORTSMOUTH ROYAL MARrriME CLUB REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2025 The prlncipal actiwties continue to be; Room hire free ol chaig8 2 Room hiie at a substantially discounted rale from the normal larill Prowsion of fa¢ililies for Royal Navy, Royal Marine and other military veterans, groups that utilise the Club as a base for regular gatherings and pay lor food and drink as taken A summary ol the public benefit activities lor the year ended 31st December 2025 are as follows.. Charitable groups.. 175 events for 4,624 ilidal$ Public bgnelil 1ndTvidus.' 6,187 Rooms for 9,700 Adults and 402 Children Serwng RN occupants.. 591 Rooms for 174 Adults and 18 Children Former RN occupants.. 2,906 Rooms for 4,123 Adults and 46 Children Serving & lormor other forces.. 11 Rotsms for 11 Adults Respite holidays.. 107 nights for 117 Aduhs and 2 Childr8n A summary of the public benefit activities for the 9 month Peri emled 31st December 2024 are as lollows.. Charilablo groups.. 153 events for 3,673 individuals Public benefit indiMduals.' 6,554 Rooms lor 10,224 Adults and 393 Children Serving RN occupants.. 565 Rooms lor 164 Adults Former RN occupants.. 22 Rooms lor 22 Adults Samng & lom)er other forces.. 5 Roc*ms for 5 Adults Re8pile holidays.. 47 nights lor 65 Adults and 4 Children ACHIEVEMENTS AND PERFORMANCE Operations performance The Club's performance as soi out within the accounts lor the year ended 31st December 2025 reflect the effect on the Hospitalty Irado caused by the continuing personal expenditure crisis following events of 2022. The Russian invasN)n of Ukraine and ensuing ellecl on domestic economies also continues to be a problern for the Charity as r( has had to cope with the doubling of ulilily costs and dramatic increa59s Iri Interest rates on Ihe long term flnanclng of loans. The Club Trusteos continue lo regularly monitor and review Ihe Cost ol goods and services and all expendtture. The Club's programme of updating and improvemonts are baing carrled out as fuThJs allow. The Trustees are eaSed lo report the Club has again been awarded a 3 star rating under Visit England. Quality in Tourisrn Accreditation S¢heme, plus grading recognition of Mobility One, TWD and Three Assisted. Veterans Outreach Support The Club continues lo actively supwrt Velerans Outreach SupF)Qrt whose offices and activities are wthin the Club. The Club is developing ils close 11gs and is cooperating in a number ol events. A repres8nlative ol VOS attends Trustee m08tings as an observer al the respective Charities mèetings and a PRMC Trustee is also Trustee ol VOS. Pagg 4
PORTSMOUTH ROYAL MARrriME CLUB REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2025 FINANCIAL REVIEW for the year to 31st D8cember 2025 The Sialoment ol Financial Activities reports net loss of 1£131.5421 trom funds thal are unrestricted lor the period before transfers between funds. Th8 financi performan ol the Charity is affected by many olernal factors, especially the economic clirnate. The need lo maintain a 1950's building is increasing. The Trustees commissioned a specialisl report lor a planned maintenance programme which is being implemented. The Trustees continue to monitor the development ol services and all expenditure is included in budgets atvj closely controlled. At 31st Decembor 2025, the total resenjes ol the Charity stood at £3,733,824, the largest asset is the premises. Cash balances stood at £387,323, which included a bank loan of £300,000 which is to be used for Ihe relurbishmttni of the bU11ng. Investrngnl powers The investment powers ol the Charty are vested in the Trustees, who have lull power of inv8slm8nt, subjeGI to their fiduciary responsibilities. Investment pollcy The investment powers of the Charity are vested in the Trustees, who hav8 full power of investment. subject to their fiduciary responsibiltties. Donatlon$ The Club vgry gratefully acknowledges ch)nallons received during the period from individuals, and bequests, in appreciation of services provKled. The Club was again honoured lo receive a donation from The Privy Purs8. Fund Ralslng In compliance wtlh the requirements of the Charities Act 2011 and the Fundraising Regulator, il is confirmed that the Club does not undertake fundraising and no professional fundraiser has been involved. The Club acknowledges and will comply wlth all requirements to be taken into account for any lundraisino In the future. Reserves Pollcy The Ghartty will seek to create and add to ils reserves in a prudent and responsible way and wlth the benefit of professional advice. The most signilicarrt part of the reserv¢s, however, is the freehold site and oxisling buikling. The structure iequiTes regular maintonance, wth improvement and repairs lo comply with numerous regulations. Those works, together with a conlinualton of upgrading bedrooms, required assistan¢e from our bankers, which is gratefully ackn0edged. Due lo the age ol the t*Jilding and for lir¢ancial budgeting, the Trustee8 commissioned a planned maintenance report for the building in order lo plan a regular programme of maintenance and refurbishment over a period of years. 11 is tho policy of the Trustee8 to maintain tree cash reseNes sufficient to cover th& overheads of ihe charity lor three months in the event all income ceased. At 31 st Dècember 2025, cash ban¢s5 stood at £387.323. Page 5
PORTSMOUTH ROYAL MARITIME CLUB REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2025 PLANS FOR FUTURE PERIODS Despilts the economic uncertainly, the Gharity has gmerged in as good a finaneial position as COLEld be hoped. The Trustees look forward to L*ing able to eomplwe the remainder Df th8 r8lurt)ishment plans. The Trustees aiffl lo provKle the greatest use and accoss to Ihe Club to support its charitable aims. The Trustees and CEO continue lo monitor all actlvS1ies ol the Club to promote and market the Club's facilities to the widest audien¢o. STAFF The Trusreeg particularly acknowlèdge ihe considerable work throughout the period by Heads of Department and JI the staff and including involvement in a wide range and number of mallers allecling the Club. The Club benefits from the experience ol several longstanding membors of Staff. A Charity the size of the Portsmouth Royal Marttime Club requirès dodi¢aled and continuous performance and team work. All stalf promde an èx¢eplignJ seryice arKI support, and have adapted lo changes allecting the Charity and the needs of it's members, beneficiaries and guests. Pay is rewewed at least annually. taking intt) account a range of internal and external factors including local and national market changes. The lower rate ol pay in the organizalion il thal sel in accordance with minimum wage legislation. A range ol benèlils designed to encourage good health, wellbeing and linanclal resilience18 oflÉred to slall in keeping with the principles of our charitable objects. STATEMENT OF TRUSTEE RESPONSIBILITIES The Trustees are reswnsible lor preparing the TrustoÈs' raport and the financial stalcmenls in acGordance with the applicablg law and Unitgd Kingdom Accounting Standards (Untted Kingdom Generally Accepted Accounting Pracli¢el. The law applicable lo charities in England & Wales, the Chariiies A¢1 2011, requires the Trustees to prepare financial slalemenls for each linaneial yoar which give a true and fair view of the state of aflairs of the charity and the group and of the incoming iesourcos and application of resourcos of th8 group lor that period. In preparing these tinancial statements, the Trustees are required lo.. Select suitable accounting polici&s and Ihen apply them consistently., Observe tho methJS and principles in the Charities SORP- Make judgements and accounting estimates that are reasonable and pwdent., Prepare the financial statements Dn the going concern basis unloss it is inappr¢Jpriale lo presume that the charity will continue in businèss. The Twstees are reswnsible for keeping proper accounting records which disclose with reasonable accuracy at anytime the financial position of the charity and the oroup and lo enable them io ensure that the finan¢ial statements comply with the Charities Act 2011, the Charity IA¢counts and Reports) Regulations 2008 and the provisions of the trust deed. They are also responsible lor safeguarding the assets Df the charity and the group and hence for taking reasonable stops for the prevention and detection of fraud and other irregularities. This reph)rt was approved by the Trustees, on arKI slgned on their behalf by.. Mrm . Truste8 and Chairman Page 6
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF PORTSMOUTH ROYAL MARITIME CLUB Opinion We have audited the financial statements of Portsmouth Royal Maritime Club and ils subsidiary for the period ended 31 December 2025 on pages 10 to 25, which Comprise ihe Consolidated Siatemenl of Financial Aclivilies, the Group and Charity Balance Sheets and Consolidated Cashftow Statements and notes to the financial slalemenls, including a summary ol significant accounting policies. The fiarla1 reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard FRS 102 'The Financial Reporting Slandard ApICable in the UK and Republic of Ir91and' (United ngdOM Generally Accepted Accounting PraCte). In our opinion the financi statements.. give a true and fair vigw ol ihè state of the group and the parent charivs affairs as at 31 December 2025 and ot the group's incoming resources and application ol resources, including ils income and exp8ndiÉurg, for the pgriod then &nded', have been properly prepared in accordawg wlh United Kingdom Generally AcceOed Accounting Pracli¢e', and have be&n prepared in aCcOrdae with the requirements of the Charrtios A¢t 2011 Basis for opinion We conducled our audit in accordance with International Standards on Auditing IUKI {ISAs {UKII and applicable lavw. Our responsibilities ur*er those standards are further described in the Auditors responsibilities lor the audit ol the financial statements section of our rewrt. We are independent of the group and paronl chalty in accordance with the ethical requirements that are relgvanl to our audit of the financial slaternents in the UK, including the FRC'S Ethic Standard, and we have fulfilled our other ethic responsibilities in accordance with these requirements. We believe that the aLJdit evidence we have obtained is sufficient and appropriate ID provide a basis for our opinion. Concluslons rglatlng to golng concem In audity'ng the financial stalgmgnts, we hav8 concludgd that the Iruslees, use of the going concern basis of accounting in the preparation of the financial slatemonts is approprialo. Based on the work we have performed, we have nol identified any material uncgrtaintiès relating to evenis or condiéions that, irKlividually or collectively, may cast significant doubt on the charttatle company's ability lo continuc as a going concern lor a period ol al least twelve months from when the financi statements are authorised for issue. Our responsibilities and the responsitili118s of the trustees with respecl to going concem are des¢ribod in the relevant so¢tions of this report. Other information The trustees are responsible lor the other information. The other information comprises the information included in the annual report. other than thè financial slalements and our Report ol the Independent Audstors Ihereon. assurance conclusion ther80n. Our opÉnion of the financial statements does not cover the other information and we do not express any form of opinion or assurance conclusion Iheroon. In connection with our audit ol the financial slalements, our r6sponsibilily is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the linancial slalements or our knowledge obtained in the audit or Oiherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstalemenls, we are required 10 delomiine whether there is a material misstatement in the linancid slalements or a materi misstalernenl ol Ihe other information. If, based on the work we have performed. we conclude that there is a algrial misstatement of this other inlormation, we are required lo report that fact. We have nothing lo roport in this regard. Page 7
REPORT OF THE INDEPENDENT AUDtTORS TO THE MEMBERS OF POR TSMOUTH ROYAL MARITIME CLUB Matters on whlch we are required to report by exception We have nothing lo report in respect of the following rnatters where the Charities Act 201 1 requires us lo report lo you if, in our opinion.. the information given in the Reth)rt of the Trustees is inconsistent in any material respect with the financial statements or SLffticient accounting records have not been kept., or the tinancial slalemenls are not in agreemonl with the accounting records and returns.. or we have not recebved all the information and ¢xF4analions we requiro for our audll. Regponslbllities of trustgos As explaned more fully in the Slalement ol Trustees Responsibilities, the trLJStees are responsible lor the proparalion of the financial statements which give a true and fair view, and for such internal control as the Iruslees delem)ine is necessary to enable the preparation of linancial statements that are free from material misstatement, whether due to Iraltd or error. In prgparing the financial statements, the trustees are responslble for assessing the group's abilty to continue as a going Concern, disdosing, as applicable, mailers related lo going concern and using the going concern basis of accounting unless the Iruslees either intend to liquidate the group or charty or lo Cease q)eralions, or have no realistic allornalive but lo do so. Audttors, responsibllllles for the audlt of the flnanclal statement5 Our objectlVQ5 are lo obtain reasonable assurance at)out whether the financial slalemenls as a whole are free from material misstatement, whether due to fraud or error, and lo issue a Report of the Independent Auditors that in¢ludes our opinion. Reasonable assurance is a high level ol assurancg, bul is not a guarantee that an audit eonducled in accordance with ISAS IUKI wll always detect a material misstatement when 11 exists. Misstalem8nts can arise from fraud or error and are considered materia if, Individually or in Ihe aggregate, they could reasonably b& oxpected to influence the economic decisions ol users taken on the basis ol these financial statements. A further description of our responsibilities lor the audit of the financial slalemenls is located on the Financial Reporting Council's website al www.fre.org.uklauditorsresponsibllllles. Thls description forms part ol our Rewrl ol the Indepondenl Auditors. Irregularities, irlUding fraud, are instances of non-compliance with laws and regulalions. We design procedures in linè with our responsibili118S, OLrtllned abovo, to delecl materid misstalemenls in respfjct of irregularities, including fraud. The ext6N lo which our procedures are capable of detecting irr¢gulariiies, including fraud Is detailed below.. From discussion with management and those charged with governance information about tho onlty is documenied to assess the activity within the organisation. We discuss managements assessment of risk in respect ol irregularities, fraud and going concern. Based on these discussions and our own assessments we determined that the key risk areas were income recognition in respect of cut ofF issues ooncerning income reGognttion and management overrlde eorKernir#J the size ol the organisalion. We sel financial statement maioriality level based on the level of income. As a not for profit organisalion ralslno income is ils primary focus which is why income was used to detemiine the level ol materiality. Our overall assessment ol risk was used lo determine performance materiality al an appropriale19v81. Page 8
REPORT OFTHE INDEPENDENT AUDITORSTO THE MEMBERS OF PORTSMOUTH ROYAL mARlE CLUB Substantive audit tests were designed after assessing and testing systems and conlrols. The systems and controls which have been designed to act as a preventative measure aqainst fraud and error were operating as documented. SubslanlivE lesling tesled a sample ol the population. representative ol the population, to identify errors. The testing did not identify any tnaterial misstalemenls in areas tesled. Audit substsnlive tests concluded no matèrial errors over the key risk areas ol income recognition and management override. The audit considers thg organisalion is not exposed to Materi risk ol error as a result of assessing laws and regulations that are appropriate lo the organisation. Use of our report This report is made solely to the charity's trustees, as a body, in accordance wth Section 144 of the Charities Act 2011 and regulations made under Section 154 of ihal Act. Our audit work has been undertaken so that W8 might slate lo the charills trustees those matters we are required lo stalo to them in an auditors, report and lor no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and the charitys trustees as a body, lor our audit work. for this report. or lor the opinions we have formed. MC Audit Limited Chartered Accountants Statutory Audilois Eligible lo act as an auditor in terrns of Section 1212 of the Companies Act 2006 Lake House 2 Port Way PortsmDuth P06 4TY Dale.. Page 9
PORTSMOLrrH ROYAL MARITIME CLUB CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES {INCORPORATING A CONSOLIDATED INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 DECEMBER 2025 Total Funds 2025 Total Funds 2024 Unrestricted Fund5 Re8tr1cted Funds INCOME FROM Donations and legacles Charitable activities Other trading activities Other income Investment income 296 1,585,540 1.245,825 82,377 296 1,585,540 1,245.825 82.377 241 1,415.975 I,053,2 18,346 Tolal 2,914,038 2.914,038 2.488,414 EXPENDITURE ON Fiaising funds Charilable acb'vities 1,080,485 1,965,095 1,080,485 1,965.095 803,131 1.594,485 Totsi 3.045,580 3.045,580 2,397,616 Net Ios58s on investrnents NET LOSSES 1131,5421 1131,5421 90,798 ILossesllGains on reVUatIOn 942,537 942,537 NET MOvEmEr$ IN FUNDS 810.995 810,995 90,798 RECONCILIATION OF FUNDS Total funds brought forward 2,922.829 2.922.829 2,832,031 TOTAL FLNDS CARRIED FORWARD 3,733,824 3,733,824 2,922,V29 The comparative column for2024 felates to the 9 monthp8nod enthng 31 December 2024. Page 10
PORTSMOUTh ROYAL MARITIME CLUB CONSOLIDATED AND CHARITY BALANCE SHEET AT 31 DECEMBER 2025 Group 2025 Group 2024 Charlty 2025 Charity 2024 Note FIXED ASSETS Tangible ast8 Investmen15 5,014.729 4,192,343 5.014.729 4.192,343 5,014,729 4,192,343 5,014,731 4,192,345 CURREwf ASSETS Stocks Dèbtors Cash at bank and in hand 29,816 56,319 387,323 29,031 50,595 187,917 14 56,319 384,489 48,398 180.288 473.458 267,543 440,808 228,688 CREDITORS Arnounts falling due wilhin one year 15 1486,6091 1525,983 1453,961) 1487,1281 CURRENT LIABILITIES 113,1511 1258,440 113,1531 1258,4421 TOTAL ASSETS LESS CURRENT LIABILITIES s,1.578 3.933,903 5,001,578 3.933.903 CREDrroRS Amounts falling due in morè than one year 16 11,267,754) 11,011,074) 11,267,754> 11,011,074 NET A$ss 3,733,824 2,922,829 3,733,824 2,922,829 FUNDS UnreslFiCted funds Revaluation reserve Restricted funds 18 18 18 1,945,649 1,788,175 2,077.191 845.638 1,945,649 1,788.175 2.077,191 845,638 TOTAL FUNDS 3,733,824 2,922,829 3,733,824 2,922,829 The financial stalempnts their behalf by-. ere awroved by the Board of Tyuslees on and signed on Mrm stge and Chairman Page 11
PORTSMOUTH ROYAL MARITIME CLUB CONSOLIDATED STATEMENT OF CASHFLOWS FOR THE YEAR ENDED 31 DECEMBER 2025 Group 202S Group 2024 Charity 2025 Charity 2024 Not8 Cash flow5 from operatlng activities Cash generated from operations 20 46,955 266,520 51,751 258,991 46,955 266,520 51,751 258,991 Cash IIow8 from inve5tlng actfvlties Interest recoived Purchase ol langSble xed assets Sale of investments 136,3601 136,3601 Cash provlded by (used In) investing acllvliles 136,3601 136,3601 Ca8h flows from financing aetlvltles Capital repayments Cagh inflows from new borrowings 182,9501 300,000 182,9501 300,000 100,255 100.286 Ca$h provlded by Iu8ed In) financlng actlvlilgs 217,050 100,255 217,050 100,286 Change In cash and cash equivalents in the reporting period 264,006 330,415 268.801 322,917 Cash and cash equivalerts al the beginning ol the rep)rting period 187.917 {142.4981 180,288 {142,6291 Total cash al the gnd of the year 451.923 187,917 449,089 180.288 Amounts included in Cash at bank and in hand 387,323 187,917 384,489 180,288 Amounts included in Bank k)ans and ovgrdrafts 387,323 187,917 384,489 180,288 Page12
PORTSMOUTH ROYAL MARITIME CLUB NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025 ACCOUNTI POLICIES Basis of preparlng the flnanclal statements Th8 financial slalements of the charty, which is a public beneltt entity under FRS 102, have been prepared in accordance with the Charities SORP IFRS 1021 'Accounling and Reporting by Charities.. Statement ol Recommended Practice applicabl8 lo charili&s prèparing their accounts in accordance wlth the Financiai Reporting Standard applicablo in the UK and Republic of Ireland IFRS 1021 lelleclive 1 January 20191., and the Charities Act 2011. The flnanclal statements have been prepared under the historical cost convention th the exception ol investments which are included at market value, as modified by the revalualK>n ol c8rtain assets. The trustees consider that there are no material uncertainties regarding the charitys ability to contlnue as a going concern. Income All income is recDgnised in the Statement of Financial Activitigs on¢¢ the charity has enlitlemenl to the funds, it is probable that the income will bo received the amount can be measured rellably. Incomg for aGcommodation and events is recognlsed on customer arrival, or wh8n date in which the event takes place. Expendllyre Liabilities aro recognised as expenditure as soon as there is a legal or Constructive obligation committing the charity to that expenditure, il is probable that a transfer of economi¢ benefits will be requir8d in settlement the amount ol the obligation Can be measured reliably. Expenditure is accountgd lor on an accruals basis and has been classified under headings that aggregate all cost related to tho category. Where costs cannot be directly attribulgd lo particular headings they have been allocated to activities on a basis consislgnt wth the use of resources. Bo818 of consolldatlon These financial statements consolidate the results of the chartty and its wholly owngd subsidiary, Portsmouth Royal Maritime Glub Limtted, on a line by line basis. Tanglble fixed ass5 Tangible fixed assets are carried al Cost or valuation. nel ol depreciation any provlslon for Impairmani. Depreciation is provided al rates calculated to write off the cost or valuation of fixed assets, less th&ir estimated iesidual value, over their Èxpècted useful lives on the following basis.. Freehold property Fixtures and littings Straight line over 5 - 20 years Reducing balanoe 5% - 15°A IndivKlual Iix6d assgls wsling £1,000 or more are capttalised at eoat. The eharily has adopted the cost model whereby items of plant and equipment are measurèd at ¢osl less any ac¢umulated depreciation and any accumulated impairmoftt ltssses. For freehold prDperty, the charty has adopted the revaluation model. A professional valuation is obtained al least once every five years and the trustees rgview for material movements annually. Revdued freehold property is depreciated over its useful life lo its residual value. Investments Inv6slmellt5 are stated at market value al the balance sheot dale. The Statement ol Financial Activities include the nel gains and losses arising on revduation and distx)sal throughout the year. Page 13
PORTSMOUTH ROYAL MARITIME CLUB NOTES TO THE FINANCIAL sTATEMErs FOR THE YEAR ENDED 31 DECEMBER 2025 ACCOUNTING POLICIES {continued} Stocks Stocks arè valued al the lower ol cost and nel realisable value after making due allowance lor obsolete and slow-moving stocks. Flnanclal Instruments The charity only enters into basic financial instwments transactians that result in the recognltlon of financial assets and liabilities like trade and other accounts receivable and payable, loans from banks and othèr third parties and loans to related partles and investmenis in rN)n-puttable ordinary shares. Trade and other debtors Short term debtors are measufftd al transaction price. less any impairment. Loans receivable arg measured initially al fr value, nel of transaction costs, and are measured subs8quently al amorli86d cost using the effective interest method, loss any impairment. Cash and cash ¢qulvalents Cash and cash equivalents ¢omprfse cash al bank and on hand, deposits wlh bank5 and other short-lerm highly liqu investments and bank overdralls. In the balance sheet, bank overdrafts are shown wtthin borrowings or Current liabiliti88. Trade and other ¢redltors Short tenn trade creditors are measured al the transaction pricg. Other ffnanclal liabilities. including bank loans, are Measu initially at fair value, nèt ol transaction costs, and are mgasured subsequèntly at amortised ¢ost using the effective interest method. Penslon8 and other post retlrement benefits Ponsion Contr)utIonS represent payments made by the charity on behalf of staft mombers to a retirement securlly plan administered by trustses in a fund indeFRndgnl from Iho charity. Taxation The charity is exempl from tax on its charttable acb'vities. Fund accountlng Unre5tricled funds can be used in accordance wih the charitable objectives al the discretion of the trustees. Restricted funds can only be used lor particular resldcted purposos within the objgcls of the charity. Resiriclions arise when specified by tho donor or when funQs arg raised lor particular rostricl&d purposes. Hlre purchase and lea$ing commitments Assets obtained under hire wrchase oonlra¢ts or finan¢e leases are capilalised in the balance sheet. Thos& held under hire purchase conlraots are depreciated ovgr thoir estimated uselul lives. Those held under finance leases are depreciated over iheir estimated useful lives or the lèase lerm, whichevèr is the strM)rtor. The interest eloment of these obligations is charged lo the Stalgment of Financial Ackn'vities over the relevant period. The capital element ol the futuro payments is treated as a liability. Rentals paKI UfKJer opeialing leases are charged lo the Statement ol Financial Actlvliles on a slraFghl line basis over the period of the lease. Page14
PORTSMoiJfH ROYAL MARITIME CLUB NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025 AccouvfiNG POLICIES l¢ontinued) Critical accounting estimates and argas of judgement Estimates and judgcments are Gonlinually evaluated and are based on historical experience and othgr laclors, including expeclalions ol tutuie èvents that are believed to be reasonable under thè circumstances. Critical accounting estlmates and assumpltons.. The charty makes estimates and assumptions toncerning the futur8. The resulting accounting estimates and assumptions will, by delinilion, seldom equal the related actual results. The trustees have reviewed the a55et lives and associated residual values ol dl fixed asset classes and have concluded that asset lives an(1 residual valuos are appropriate. Page 15
PORTSMOUTH ROYAL MARITIME CLUB NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025 2. DONATIONS AND LEGACIES Total Funds 2025 Total Funds 2024 Unrestrkted R68trlct¢d Funds Funds Donations 296 296 241 296 296 241 INCOME FROM CHARITABLE ACTIVITIES Total Funds 2025 Total Funds 2024 Unrestrleted Restrlcted Funds Funds Relief for HM Armed Forces Servi¢0 Personnel Veterans & Farnilies 1,585,540 1,585,540 1,415.975 1,585,540 1,585,540 1.415,975 INCOME FROM COMMERCIAL TRADING OPERATIONS The chariLVs wholly owned trading subsidiary Portsmouth Royal Maritime Glub Llmlted. which is incorporated in England and Wales (registered no. 036814481, pays dl prolks to Ihg charity. PortsmDUth Royal Mariiime Club Limited provides catering and bar facillties. The lollowiThJ is an extract tsl the financial stsl8ments of Portsmouth Royal Maritime Club Llmiled for the year ended 31 December 2025. 2025 2024 Turnover Cost of sales Adminislratlve exponses C4)eratiro profivllossl 1,245,825 1970,8621 33,977 1,053,852 1745,5761 26,702 240,985 281,574 Interest receivabla and similar income Profil trjefore taxation 240,985 281,574 Profits dislritmjled lo tho charity Retained in the subsidiary 240,985 281574 The assets and Ilabllltltss of the trading subsidiary were as follows.. Currerrt assets CurreN liabilities Long term liabilities Nel assets 90.628 190.626) 92,205 192,2031 Aggregate share capitaf and reserves Page16
PORTSMOUTH ROYAL mARlME CLUB NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025 5. OTHER INCOME 2025 2024 Oiher income 82,377 18,346 82,377 18,349 FINANCIAL ACTIVITIES OF THE CHARITY The financial activities shown In the Consolidated Statement of Financial Actlvliies includes IPw)se of the charitls wholly owned subsidiary. Portsmouth Royal Maritime Glub Llmited. A summary of the ffnancial activities undertaken by the charity is sel out below.. 2025 2024 Total incomlng resources Total expenditure on charitable a¢tThiities 1,909,198 2,040,740 1.716,137 1,625,339 Net incoming resources 1131.5421 90,798 Gains on revaluation of freehold propety 942,537 Nei movement ill funds 810,995 90,798 Total funds brought lorward 2,922,829 2,832,031 Total lunds carried forward 3,733,824 2,922,829 7. DIRECT COSTS Rellef to Seafarers Total 2025 Total 2024 Finance costs Staff costs Premises CommLJnicalions Depreciation Other costs 91,309 935,909 378,804 61.511 184,750 312.812 91.309 935,909 378,804 61.511 184,750 312,812 74,217 751,005 305,010 48,427 135,862 279,864 1965,095 1,965,095 1.594,485 8. AUDITORS, REMUNERATION The ALKlitors' MUneratIon amounts to an audit fee of £10,80012024- £10.5001. Page 17
PORTSMOUTH ROYAL MARITIME CLUB NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025 STAFF COSTS Group 2025 Group 2024 Charlty 2025 Charity 2024 Wages and salaries Social security costs Employers pension costs 1,392,574 1,100,842 137,009 80.348 35,319 23,685 925,127 740,509 10,782 1,4,902 1,204,875 935,909 751,005 Tho average number ol stall employed during ihe period was 8812024= 871. The average number ol full time 9qUiV2fonl staff employed dtsring tho period was 3612024.. 331. The number of employees whose annual emoluments werè £80.000 or more were: 2025 Total 2024 Tolal £80,000 to £89,999 The key management person1 ol the parent charity comprise the Trustggs, CEO. Finance Manager, HR Manager, Hospttaity Managor, Reception Manager, Operations Manager and Evonls and Banqueting Manager. The total employee salaries paid to the k8y management personnel of the Charlty were £313,48912024.. £315,209). The key management personnel ol the subsidiary company comprise the Bar Manager, Head Chef, Housekeeping Manag&r, HOspitllY Manager and Maintenance Manager. The lolal employee salaries pard to the koy management personnel ol the subsidiary company was £113,37912024= £77,931 I. The combined talal ol key managernenl personnel for the charity and company was £426,86812024-. £393,1401 Trusteo remuneration and other benglils is rèported in note 10. 10. TRUSTEE REMUNERATION AND BENEFrrs No trustees, receiv¢d remuneration or other benefits during the period ended 31 December 2025 nor lor the pgriod ended 31 Dec9mber 2024. Trustees. expenses During the period, Iwo trusloes12024'. nono) were reimbursed for t of pocket gxpensos of £75. Page 18
PORTSMOUTH ROYAL MARITIME CLUB NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025 11. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES Total Funds 2024 Unrestrlcted Restrided Funds Funds INCOME FROM Donalions and legacies Charitable aNItieS Other trading activities Other income Investment income 241 1.415.975 1,053,852 18,346 241 1,415,975 1,053,852 18.346 Total 2,488.414 2,488.414 EXPENDITURE ON RSIng funds ChartEable activities 803.130 1.594,485 2,397,615 803.131 1,594,485 Total 2,397,616 Not gal[ on inv8stments INCOME .799 90,798 Transfors been funds NEf AIOVEMENTS IN FUNDS 90.799 90,798 RECONCILIATION OF FUNDS Total funds brought forward 2,832,031 2,832,031 TOTAL FUNDS CARRIED FORWARD 2,922,830 2,922,829 Page 19
PORTSMOUTH ROYAL MARMME CLUB NOTES TO THE FINANCIAL STATEMENTS FOR ThE YEAR ENDED 31 DECEklBEFI 2025 12. TANGIBLE FIXED ASSETS Freehold Fixture$ 8nd Property Flttings Total COST At 1 January 2025 Additions Disposals Revaluation At 31 Decembèr 2025 4,509,860 47.492 3.845,205 17,108 8,355,065 64,600 297,352 4,260,000 297,352 8,122,313 3,862,313 DEPRECIATION Al 1 January 2025 Charge lor the period Eliminatfjd on disSaI Revaluation 1,135,676 104,213 3,027,046 80,538 4,162,722 184,761 1,239.889 1.239,889 3,107,584 At 31 Decetnb8r 2025 3,107,584 NET BOOK VALUE Al 31 Decen*er 2025 4.260,000 754,729 5,014,729 At 31 December 2024 3,374,184 818,159 4,192.343 Included wlhin the net book value of £5,014,729 (2024-. £4.192,3431 is £13,79912024'. £21,341) relating to assets held und8r hire purchase agreements. The deweciation charged to the financial statements in th9 period in respgct ol such assets arrK)unled 10 £7.54212024= £11.1141. Cost or valuation al 31 December 2025 is as follows.. Land and Buildlngs Group Al cost At valuallon: Open market basis at 31 December 2025 3,317,463 942,537 4,260,000 11 the land and buildings had not been included al valuation Ih8y would have been induded under the historical eonvenlion as follows.. 2025 Group Cost Aceumulaled depreciation 2024 2,088,012 839,807 2,040,520 735,594 The deem8d cost ol the fre8hold propety was bas8d upon a valuation carried out by Vail WiS1iams, Gommercial and Industrial Propety Agents and Sutveyors on 9 December 2010. This valuation was made on the basis ol the IrBehold inler95t with vacant possession al open market value in ac00rdan with the SORP and Ihg RICS Appraisal and Valuation Manual. The second valualiDn related to the cost of fixttjres and fittings and was based on a valuation of £452.845 as al 31 December 1998, and subsequgnl additions at cost. The trustees made a lurth8r revaluation ol the Ireehold property as at 31 D8mbar 2025 based on a valuation report completed by Christie & Co on 5 February 2026. This report focused on comparisofts baeen other hotgls on the south coast, laking sales price per room into consideration. Pag& 20
PORTSMOUTH ROYAL MARITIME CLUB NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025 13. FIXED ASSEf INVESTMENTS Charity 2025 2024 Investment in unlisted subsidiary 14. DEBTORS Group 2025 Group 2024 CharFty 2025 Charity 2024 Trade debtors Prepayments and acewed income 1,704 56.319 56.319 48,398 56,319 50,595 56,319 48,398 15. CREDITORS: Amouwfs FALLING DUE WITHIN ONE YEAR G¥oup 2025 Group 2024 Charlty Charlty 2024 Bank loans and overdrafts Trade creditors OEher taxation and social security Amounts owed to group LJndertaking5 Other crtsditors Accruals and deferred income 110,600 85,193 153,737 150,230 100,670 161,277 110,600 85,193 60,992 60,097 82.175 54,904 150,230 100,671 71.405 52,451 55,475 56,896 82.175 54.904 55,475 58,331 486,609 525.983 453,961 487,128 Page 21
PORTSMOUTH ROYAL IJIARITIME CLUB NOTES TO THE FINANCIAL sTATEMEr$ FOR THE YEAR ENDED 31 DECEMBER 2025 16. CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR Group 2025 Group 2024 Charity 2025 Charity 2024 Bank loans 1,267,754 1.011,074 1,267,754 1,267,754 1,011,074 1,011074 1,267,754 1.011.074 DEFERRED INCOME Deferred income relates to deposlts recelved in advan¢0 that are lor a future accounting period. Group 2025 Group 2024 Charlty 2025 Char1ty 2024 Bruught forward Amount released lo incoming resources Amount dèferred in périod 29,175 129,1751 29,175 129,1751 28,158 28,158 Garried forward 28,158 28,158 17. SECURED DEBTS Tha following secured detAs are included wihin creditors.. Group 2025 Group 2024 Charlty 2025 Charlly 2024 Bank loans 1,378,354 1,161,304 1,378.354 1,181,304 Page 22
PORTSMOUTH ROYAL MARITIME CLUB NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025 18. MOVEME IN FUNDS Transfers (Lossos Balance at between Gains on 31 December lunds Revaluatlon 2025 Balance al 1 January 2025 Income ExnlIre Unr&slrf¢lgd funds Revaluation resarve 2,077,191 845,638 2,914,038 13,045.5801 1,945,649 1.788,175 942.537 2,922,829 2,914,038 13,045,580 942,537 3,733.824 Fl8stricted funds TOTAL FUNDS 2,922,829 2,914.038 13,045,580) 942.537 3,733.624 Conyaratives for movemont in lunds Transfers {Lossesll Balancg at betweon Gains on 31 December lunds Flevaluation 2024 Balance at 1 Aprll 2024 Incom Expendllure Unrestrlcted funds 1,986,3¥J Revaluation reseNe 845,638 2,488,414 12,397,816) 2,077.191 845,638 2,832,031 2,488,414 12,397,618) 2,922,829 Restricted funds TOTAL FUNDS 2,832,031 2,488,414 12,397,616) 2.922,829 Page 23
PORTSMOUTH ROYAL MARITIME CLUB NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025 19. ANALYSIS OF NET ASss BEfwEEN FUNDS 2025 Total funds Unreslrlcted Restricted fund$ funds Fixed assets Current assets Current liabilities Long term IHbilities 5.014,729 473,458 1486,6091 11,267,754) 3,733,824 5,014,729 473,458 1486,6091 11,267,754) 3,733,824 20. RECONCILIATION OF NEf INCOmEI{EXPENDURE> TO NET CASH FLOW FROM OPERATING ACTIVITIES Group 2025 Group 2024 Charity 2025 Charity 2024 Nel rnovemenl in funds Gain on revaluation of freehold property Deprecialion charges Decreas8 in stocks Interest received Ilncreaselldecraase in deblors (Decreasellincrease in cred(tors 810,995 1942.5371 184,750 {7851 ,798 810,995 1942,5371 184.750 90.798 135,852 11,3681 135,862 15,7241 256 112,5661 .793 266,519 17,9201 6,463 112,5661 44,896 258,990 46,955 21. OPERATING LEASE COMMITMENTS Al 31 December 2025 the total future minimum lease payments under non leases was as follows.. can¢gllable operating Group 2025 Group 2024 Charlty 2025 Charlly 2024 Amounts payable: Within 1 year Bebveen 1 and 5 years Within > 5 years 7,190 8,988 7,190 16,178 16.178 23,368 Pago 24
PORTSMOUTH ROYAL MARITIME CLUB NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEklBER 2025 22. RELATED PARTY TRANSACTIONS During the period, the charity onlered Into the lollowtng transactions with Portsmouth Royal Marillme Cub mited. a 100Yo owned subsidiary incorporated in England and Wales. Sales and expenses were recharged to thg company 01 £881.435 {2024.' £311,596). Sales and expenses recharged from Ihe trading Company were £nil12024'. £nill- The eharity also received a gift aid payment ol £240,98512024: £281,574) from the trading company. 2025 2024 Amounts owed Ibyyto the charity at the balance sheet date 160,D96) 152,4511 The CIO also had received income for room hire, event hiro and office rent Irom VOS tolalling £20,791 12024.. £14,730). Michael Dawe is a Trustee ol both Portsmouth Royal Maritime Club and VOS. Finally, the CIO received income for event hire from the Naval Families Fed6ralion of £654 {2024.. £rkill. Paul Anthony Quinn is a Trustee of both Portsmouth Royal Maritime Club and Naval Familie5 Federation. 23. PENSION COMMITMENT The charty operale(l a defined contribution scheme. The ¢osts lo the charity for the period were £35,319 12024.. £23,685). There were £nil12024.. £nill contributions to the scheme unpaid at thg end of the period. Page 25