Company number522061 Registered Charity number 209299 BRITISH EDITORIAL SOCIETY OF BONE & JOINT SURGERY (THE) (A COMPANY LIMITED BY GUARANTEE) ANNUAL REPORT AND FINANCIAL STATEMENTS YEAR ENDED 31 DECEMBER 2023
BRITISH EDITORIAL SOCIE OF BONE & JOINT SURGERY (THE) (A COMPANY LIMITED BY GUARANTEE) YEAR ENDED 31 DECEMBER 2023 Contents Page Officers and professional advisers Annual Report of the Council of Management statement of the Council of Management's responsibilities AudiloTS' Port 9-11 ststement of Finanaal Aclimties 12 Balance sheet 13 Statement of Cash flows 14 Notes lo the financial statements 15-24
BRITISH EDITORIAL SOCIETY OF BONE & JOINT SURGERY (THE) ANNUAL REPORT FOR THE YEAR ENDED 31 DECEMBER 2023 Officers and professional advisers COUNCIL OF MANAGEMENT Mr Fergal Monsell FRCS (Chairman from 1 January 20231 Mr David Limb FRCS (Treasurer from 1 January 20231 Professor G8reth Scotl FRCS laprx)inted 1 JanLJary 2023) Professor John Skinner FRCS Mr Martin Bircher FRCS (resigned 31 December 20231 Professor Deborah Ea$h00d FRCS (President- Brrf(ish Orthopaedic Association. to 30 September 20231 Mr Simon Hodkinson FRCS IPiesident- British Orthopaedic Association, from 1 October 2023) Managing Director Mr Richard Hollingsworth Editor. The Bone & Joint Journal Professor Fares Haddad FRCS CHARITY NUMBER 209299 COMPANY NUMBER 522061 REGISTERED OFFICE 22 Buckingham Street London WC2N 6ET BANKERS Coutts & Co 440 Strand London WC2R aQS SOLICITORS Wilsons Solicftors LLP 4 Lincoln'5 Inn Fields London WC2A 3AA AUDITOR Crowe U.K LLP Aquis House 49-51 Blagrave Street Reading Berkshire RG1 1 PL INVESTMENT ADVISORS BlackRock Investsnent Managers {UKI Limited 33 King William Street London EC4R 9AS Page 1
BRITISH EDITORIAL SOCIETY OF BONE & JOINT SURGERY (THE) ANNUAL REPORT FOR THE YEAR ENDED 31 DECEMBER 2023 TRUSTEES. REPORT The Board of TrLJStees of The British Editorial Society of Bone & Joint Surgery I'lhe Society") present their Annual Report for the year ended 31 December 2023 under the Companies Act 2006 and the Charities Act 2011, together with the audited financial Statements for that period. REFERENCE AND ADMINISTRATIVE DETAILS The British Editorial Society of Bone & Joint Surgery is a registered charity (No. 2092991 and a company INO. 5220611 limrted by memborship guarantees. Its registered office is as shown on page 1. The present Trustees. and any past Trustees who served during the period, are given on page 1. The external advisers of the Society ar& also set out on page 1. STRUCTURE, GOVERNANCE AND MANAGEMENT The Members of the Society are everyone appointed to The Bone & Joint Joumal Edrtorial Board. The Board of Trustees, I'the Council of Management"), is responsible for the overall governance of the Society. Twstees are elected by, and are members of, The Bone & Joint Joumal Editorial Board. The Articles of Association were last amended by special resolution dated 9 June 2023. Changes were made lo reflect the Charity Govemance Code and to set out the prowsions of the Articles in such a way that they are more accessible and easier to follow. Alterations were made in respect of the trusteeship provisions lo reflect and to better manage potential conflicts of interest. The Council consists of al least five trustees being one ax-officio trustee (ps1dent of the BOA), four elected trustees and four trustees appointed by resolution of the Council {referred to as Co-opted trusleesl. The number of co-opted trustees has been increased from two to four to allow the Council to address the need for the Council to have 8 mix of skills and experience on the Council. Co-opted trustees are not required to have served on Th& Bone & Joint Joumal Editorial Board. Members ofthe Society elect the Council of Management at the AGM. The Chairman of the Council of Management is also Chairman of the Society. Elected Members of Council may remain in office for three years. and may, be re-elected for up lo further Ihree-year terms. Council elects a Chairman and Treasurer from ils elected members. The person elected as Chaimian serves in that office for three years. Each MembeT of Council is required to tske responsibility for specific aspects of the Society's work. Counul nomally meets fornally four limes a year. New trustees receive a copy Df the Articles. and as they have been a member of The Bone & Joint Journal Editorial Board, they are already familiar with the major issues facing the Society, Trustee training is provided in specific areas such as investment, when required. The Couriul delegates the exercise of certain powers in connection wth the management and administration of the Society as set out below. This is controlled by requiring regular reporting back to the Council, so that all decisions made under delegated powers Can be ratified by the full Council in due course. The Council seeks adwce from experts in govemance. finance. marketing, digftal publishing. and other areas as required. REMUNERATION COMMIThEE AND MANAGEMENT REMUNERATION The RemLJneration Committee comprises the Chaiman, Treasurer and Managing Director. The Cornmitt6e meets annually to review staff salaries and benefits and the fees paid to independent Conlraclors. The review lakes account of performance, prevailing market rates, and any changes in the job role. Page 2
BRITISH EDITORIAL SOCIE OF BONE & JOINT SURGERY (THE) ANNUAL REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023 MANAGING DIRECTOR AND EDITOR The Managing Director is responsible for the day-lo-day mansgernenl of the Society and for implementing policies agreed by the Council of Management. The Managing Director is assistecj by a group of senior managers, including the Diroctor of Publishing and the Head of Marketing & Sales. The Editor is responsible for directing the editorial policy of The Bone & Joinl Joumal. He is aided by a team of Associate Editors, and by the Editorial Board. On editorial matters the Editor is accountable to the Editorial Board, and on publishing business matters to the Managing Director. The Managing Director reports lo Council through the person of the Chairman. The Society publishes three olh8rjournals, each th their own Editors and Editorial Boards, and all the Society's joumals, whilst editorially independent, come under the overall governance of the Council of Management. STATEMENT OF THE COUNCIL OF MANAGEMENT'S RESPONSIBILITIES The Council of Managomenl is responsible for preparing the Annual Report and the financial statements in accordance with applicable law and United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Slandardsl. The law applicable to charities in England and Wales requires the Counal of Management to prepare rinancial slalemenls for each financial year which give a true and fair view of the slate of affairs of the Society and of the incoming resources and application of resources of the Society for that periocs. In preparing these financial statements. the Council of M8n898ment is required lo.. select suitable accounting policies and then apply them consistenuy., observe the methods and principles in the Charities SORP., make judgements and estimates that are reasonable and prudent., stale whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the accounts., 8ntJ prepare the financial slalements on the going concern basis unless it is inappropriate lo presume that the Society will continue in business. The Council of Management is r8SPOnsible for keeping proper accounting records which disclose with reasonable accuracy al any time the financial position of the Society and to enable them lo ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the Society and hen for taking reasonable steps for the prevention and deleGtion of fraud and other irregularities. The Council of Management is responsible for the maintenance and integrity of the corporate and financial information included in the Society's website. So far as each member of the Council of Management is aware, there is no relevant audit information of which the Society's auditors are unaware. Each member ofthe Council of Management has taken all the steps that they ought to have taken in order lo make themselves aware of any relevant audit information and to establish that the Society's auditors are aware of th81 information. Page 3
BRITISH EDITORIAL SOCIE OF BONE & JOINT SURGERY (THE) ANNUAL REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023 RISK MANAGEMENT Risks are reviewed 2s a part of the regular Council meetings. A risk register is maintsined and formally approved by Council on a quartedy basis. Key risks reviewed include strategic and operational areas linked lo subscription and advertising revenues, changing business models in the publishing sector, the Impact Factors of ourjournals, and a potential decline in the Soryety's investment incorne. Membership deals with orthopaedic associations in the UK and overseas fomi a very important proportion of individual subscriptions, ancl they are kept under close review. CONFLICT OF INTEREST Council hes adopted a policy for conflicts of interest. All the Iruslees and senior managers have made a dec12ration of potential conflicts and signed the policy. The dedaralions have been reviewed and no seriotjs confiicls have arisen. OBJECTS AND PRINCIPAL ACTIVITIES OF THE CHARITY The objeds of the Society for the public benefit are defined as-. °The advancement of education in, and the improvement in the practice of, orthopaedics and allied branches of surgery together with the cliffusion of such knowledge throughout the world." Our principal activity in furtherance of these objects is the publication of The Bone & Joint Journal and related joumals under the Society's Bone & Joint imprint. Other activities include.. providing orthopaedic information via our websites and disseminating The Bone & Joint Joumal and our other joumals as widely as possible. The objectives of those activities. and the Society's achievements against them, are discussed under the heading Achievements and Performance, below. When planning our activities, the Council of Management have considered the Charity Commission's published guidance on the Public Benefit requirement under the Charities Act 2011. The So¢iety provides PLJblic benefit by helping to increase the knowledg8 and skills of pra¢tising orthopaedic surgeons and researchers. Article titles and abslracls are fully searchable and freely available online for all content in The Bone & Joint Joumal. ACHIEVEMENTS AND PERFORMANCE From the strategic plan this period's key objectives and the irnpact of ourachievemenls are summarised as follows.. Publlshing and Maft*eting The Bone & Joint Joumal Our aim Is to publish the best quality papers in the science and practice of orthopae(Sics in The Bone & Joint Joumal, and to encourage surgeons to subscribe 8nd to ad the Joumal. Submissions for publication from surgeons and researchers woddwide totslled 1,436 in calendar year 2023. All submissions undergo a rigorous double-blind peer review process, and as a result only some 150/0 are acpted for publication, ensuring that the best paper5 in orthopaedics are published in The Bone & Joint Joumal. We have continued lo develop our online submissions and reviewing system which helps to ensure that we maintain our impressive response lime to authors. AtK>ul 900/0 of papers receive an init181 decision from the Editor within six weeks of receipt. Our policy is to keep the subscription rates lo The Bone & Joint Journal as low as possible to increase accessibility. Surgeons in training benefit from a 500/0 discount on the consultsnt rate. At December 2023, trainee subscribers comprised some 10°/o of our total paid subscribers. We market the Journ81 worfdwide in a¢¢ordance with a Marketing Plan approved by Council as part of the annual budget cycle. This encompasses a wide range of activities including stands in exhibitions. partnerships with orthopaedic associations. social media posts, print media, email and specially designed web pages. Page 4
BRITISH EDITORIAL SOCIETY OF BONE & JOINT SURGERY (THE) ANNUAL REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023 Providing orthopaedi¢ informatk)n vla the webslts Our aim is to have a website which orthopaedic surgeons regard as "The Source" of reference and education. In Febmary 2023 we launched a new website to host our joumals. This forms part of a broader digital transformation strategy. Every issue of The Bone & Joint Joumal published since 1948 is available in ils entirely wa the website. In January 2020 we laun¢hed the open a¢¢ess journal Bone & Joint Open. We also publish an open access journal aimed al the research Community.. Bone & Joint Research. This received ils first Imp2rt Factor in 2015 and the Impact FaclDr has increased in subsequent years. We also publish a sumrnary digest joumal for orthopaedi¢ surgeons, Bon$ & Joint 360, whose wortdwide arculation continues to grow. The new digital pl8lfom)s Orthomedia, which hosts multimedia content., and Orthosearch, a discovery service enabling effective search and retrieval of orthopaedic conlenl. continued to develop, and grow in terms of profile and the numbers of users. To diTsseminatg The Bon8 & Joint Journal as widely as possible Our aim 15 to increase the Ljnderslanding of how The Bone & Joffnl Joumal is published, to encourage authors lo submit their papers to us, and thus inuease the educational standard of the papers we publish. We also aim to make The Bone & Joint Joumal as widely available as possible, given OLJr finanryal constraints, so that the educational content re8ches the wdest possible worfdwde audience. The Editor has given talks at orthopaedic meetings in the UK and al many conferences aroLJnd the world on The Bone & Joint Journal and our publishing process_ The Editor also hosted well-attended Reviewers, Days and we continue to expand the number of reviewers in the UK and inlem81ionally. Local editions.. We work with Ihird-party publishers lo publish local editions of selected papers, either lo provide translations into major languages or lo reach markets more easily than we can. These local editions are typically distributed free, funded by local sponsorship. Developing countries.. We support the Resear¢h4Life project that provides free online access tojoumals a accredited instilulions in developing countries. ABC Travelling Fellows.. We provide donations to cover the travel costs of the ABC Travelling Fellows (surgeons selected by the AOA and BOA as the leaders amongst their generation lo travel and leam about orthopaedic surgery in other countries) while they are in the UK, we fund travel for UK surgeons travelling to the USA. Donations are also routinely made lo support the Br((ish Orthopaedic Research Society {BORSI Intemalional Travelling Fellowships. Core Trainee Prize Awards.. Trainees planning lo apply for specialty training in orthopaedics in the UK and Ireland are invited lo submrt an essay or review paper on a subject relevant to the contemporary practi or future development of orthopaedic surgery. There were three award winners in 2023. Pmviding publishing sorvices We no longer publish EFOR Topen Reviews, an open accessjournal, in partnership with the European Federation of National Associations of Orthopaedics and Traumatology IEFORTI, and the Journal of Children's Orthopeedics, in partnership with the European Paediatric Orthopaedic Society IEPOSI. Fundralsing The Society had no fundraising activities requiring disclosure under S162A ol the Charities Act 2011. Page 5
BRITISH EDITORIAL SOCIETY OF BONE & JOINT SURGERY (THE) ANNUAL REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023 FINANCIAL REVtEW AND RESULTS FOR THE YEAR The Statement of Financial Activities ISOFAI set out on page 12, shows that lolal income of £2.35m was up on £2.30m in 2022. Subscription sales were flat at £1.30m, and Comparable to 2022. Online sales and open access revenues were £294k and up on £253k in 2022. This increase is due to a orealer volume of articles published under an Dpen access business model. Income from investments was £507k against £479k in 2022. Expenditure on charitable activities al £2.52m was higherthan the £2.29m in 2022. This was due to investment in the new webslte and other new digital platforms. Total expenditure was therefore £2.59m and higher than the previous year's figure of £2.38m. This resulted in a net loss for the period of £240,322 compared lo a net loss of £77,808 in 2022. After taking into account unrealised gains on investments, lolal fund balances decreased by £126k to £19.05m {2022.' £19.18ml. FINANCIAL MANAGEMENT POLICIES RgseNes The Society's total funds were valued al approximately £19.05m at 31 December 2023 12022.. £19.18ml, of which £14.50m represents the free reserves12022'. £14.65ml. Free reserves comprise unreslricled funds which are expendable at the dis¢retion of the Council of Management in furtherance of the charity's objects being lotsl unrestricted funds less tangible and intangible fixed assets, investment properties and other designated funds. Wh we hold he reseNes These provide an important resouice which has enabled the Society to advance orthopaedic education by maintaining low subscription rates despite running a trading deficit on our publishing activities_ These reserves have also allowed the Society to fund the important educational initiative of providing reduced subscription rates to trainees lo encourage the newest members of the profession to subscribe lo our publications in both their paper and electronic forms. The income derived from the investments is used for continuing operations and lor funding new developments. These developments include continued investment in new technology for the digitsl dissemination of information, the cost of building, enhancing and maintaining a new website, and investment in new publishing activities in furtherance of our charitable objectives. The Council of Management has reviewed the level of free reserves which it feels are appropriate for a Society which carries a number of major risks in its publishing actiwties, and believes that 8 figure of approximately £14-16m is required in order to mitigate risks including the folloMng-. the need lo invest in newtechnology to exploit the potential of digital technologies and solutions increasing publication, printing and distribution costs decreases in advertising revenue pressures on journal subscription income and a move to open access business models potential litigation from author. patient, manufadurer or other organisation plans to invest in adclitional medical publishing activities to further our educational objectives fluclualions in stock market performance impacting our investment income The Council of Management believe that it is important for the Society lo hold reserves to mitigate these risks, and lo provide investment income to the Society. The Current Reserves Policy lakes into account the financial pressures on the joumal subscription mod&l, reduced library budgets, reduced advertising income, and the need to invest in new digital services. The Council of Management has commilled lo investments in digital transfomiation and lo develop and launch new products that meet the needs of our community. What level or ran of reserves tho trustees belleve the charit needs The Council of Managernent regularly reviews the level of resetves which il feels are appropriate for a charitable medical publisher and Councal believes that the current level of reserves enables us lo achieve our charitable objectives. In order lo maintain this level of reserves, Council has given the investment managers the investmgnl obj&ctive of maximi5ing long-lerm total return while also Providing income. Page 6
BRITISH EDITORIAL SOCIETY OF BONE & JOINT SURGERY (THE) ANNUAL REPORT {CONTINUED} FOR THE YEAR ENDED 31 DECEMBER 2023 Arran ements for monitorin and reviewin the The Treasurer and Mana9ing D1clOr meet regularly with the Society's investment managers. BlackRock, lo review targets, the investment managers, perfomance against them, and to assess whether invested assets are al an appropTiale level. The Treasurer reports the outcome of these meetings bad< to Council. The Council of Management are keeping under review the impact of changes in the global economy on our principal sources of income- subscriptions and advertising- and on OUT costs. Significant changes in these might require a revision of the Reserves Policy. Review of oli¢ The Trustees review this Reserves PolScy on an annual basis. Going Concern Bearing in mind current trading, future plans and existing levels of reserves. the CouncAI of Management has a reasonable expectation that the Society has adequate resources lo continue ils activities for the foreseeable future. Council has cDnsider8d the potential adverse effect of the current macro-economic picture on the Society. Although there is likely to be pressure on our income and costs, the Council of Management believe the existing slr8t&gy and Core activities of the Society can continue as planned. Accordingly, the Council continues lo adopt the going concern basis in preparing the financial statements. INVESTMENT POLICY AND PERFORMANCE Under the Articles of Association, the Society is required lo invest monies not immediately required for the purposes of the Society, in investments or securities as may be thought frt. The Council of Management has delegated their investment powers to BlackRo¢k, who oversee the everyday interests in the investments and report to the Society on a quarterly basis. In 2019 the Charity transitioned the investment portfolio lo invest in the new BlackRock Charities Growth & Income Fund. The Fund seeks to provide a liquid, risk-aware, diversified investment solution for charity investors. The Fund has twn objectives.. it aims to deliver long-term capital growth and a steady income distribution. The Fund's sustainable investment policy is central to ils strategy which closely aligns with the values, ethos and principles of the Society. In addition to sp8afic sector exclusions. such as tobacco and armaments, Environmental, Social and Governance IESG} erileria is inlegraled into the investment process as a long-temi risk management tool. The Society's objective for ils investments is lo maximise the long-lerrn lotsl relum. after providing for the annual income target, which is approximately £450k-£500k, with cautious to moderate risk appetite. During the year ending 31 December 2023. the portfolio produced an income of £507k {2022.. £479kl. The value of the portfolio increased to £13.53m12022.- £13.42ml. FUTURE PLANS We plan to continue to develop of The Bone & Joint Joumsl as the leading international orthopaedic journal. We wll further develop our newer titles. Bone & Joint Open. Bone & Joint Research and Sone & Joint 360. There will be continued developments in our new website, whith launched in February 2023. to enhan the user experien for our authors, reviewers and readers. We will wnlinue to develop and market Orthosearch and Orthomedia. building additional features. and expanding the number of users. The Council of Management is committed to investing in other new digital platfoms that support thè Objectives of the Society and that meet the needs of our community. Page 7
BRITISH EDITORIAL SOCIETY OF BONE & JOINT SURGERY (THE) ANNUAL REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023 AUDITOR Crowe U.K LLP has indicated its willingness to be reappointed as statutory auditor for the next financial year. This report has been prepared taking advantsge of the small companies, exemptions wlhin the Companies Act. Sig be f of the Counryl of Management on 7 June 2024 by.. Èerg Chair Monsell Page 8
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF BRITISH EDITORIAL SOCIETY OF BONE & JOINT SURGERY (THE) Opinion We have audited the finan¢i81 slalemenls of The British Editorial Society of Bone & Jolnt Surgery I'lhe ch8rit8ble Company'l for the year ended 31 December 2023 which comprise the Stslemenl of Financial Activities, Ba18nce Sheet. Slaternent of Cash Flows and ntsles lo the financial slalemenls, inclLJding significant accounting poliaes. The financial reporting frarnework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Slancsard applicable in the UK and Republic of Ireland Iuniled Kingdom Generally Accepted Accounting Practice). In our opinion the financial statements.. give a true and fair view of the slate of the charitable company's affairs as al 31 December 2023 and of its income and expenditure, for the year then ended., have been properly prepared in accordance wrfth United Kingdom Generally Accepted Accounting Practice., and have been prepared in accordance wrth the requirements of the Companies Act 2006. Basis for opinion We conducted our audit in accordance with International Standards on Auditing IUKI IISAS IUKII 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 charitable company in accordance with tho ethical requirements that are relevant to our audit of the finanaal stalernents in the UK, including the FRC'S Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance wth these requirements. We believe that the audit evidence we have obtained is SLJffi¢ient and appropriate to provide a basis for our opinion. Con¢lu$ions rolating to going concern In auditing the finanaal statements. we have concluded that the members of the Council of Management's use of the going concern basis of accounting in the preparation of the financial statements is appropriate. Based on the work we have performed, we have not identSfied any material nrtaIntIeS relating lo events or conditions that, individually or Collectively. may cast significant doubt on the ¢harilable company's ability to continue as a going nCe for a period of at least twelve months from when the rinancial statements are authorised for issue. Our responsibilities and the responsibilities of the trustees wth respect to going concem are described in the relevant sections of this report. Other information The members of the Council of Management are resp¢)nsible for the other infomalion contsined within the annual report. The other inform81ion comprises the information included in the annual report, other than the financial statements and our auditor's report Ihereon. Our opinion on the finanryal slalements does not cover the other information and, except lo the extent otheise explicidy stated in our report, we do not expross any fomi 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 audit or otherwise appears lo be materially misslaled. If we identify such material inconsistencies or apparent material misstatem&nls, we are required lo delemiine whether this gives rise lo a material misstatement in the financial statements themselves. If, based on the work we have perfornied, we conclude that there is a malenal misstatement of this other information, we are qUIred to report that fact. We have nothing to report in this regard. Page 9
INDEPENDENT AUDITOR'S REPORT (continuedl TO THE MEMBERS OF BRITISH EDITORIAL SOCIEff OF BONE & JOINT SURGERY ITHE) 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 infomalion given in the annual report, which includes the directors, report prepared for the purposes of company law, for the financial year for which the financial statements are prepared is consistent Tmth the financial statements., and the clirectors, report included within the annual report has been prepared in accordan wth applicable legal requirernenls. Matters on which we are required to report by exception In light of the knowledge and understanding of the charitable company and their environment obtained in the course ol the audit. we have not identified material misstatements in the directors, report included wythin the annual report. We have nothing lo report in respect of the following mallers in relation lo which the Companies Act 2006 requires us lo report lo you if, in our opinion.. adequate and proper accounting records have not been kept., or the financial slalemenls are not in agreement with the accounting records and retums,. or certain disclosures of trustees. remuneration specified by law 8re not made., or we have not received all the information and explanab'ons we require for our audit., or the trustees were not enlbtled to prepare the finanaal statements in accordance with the small companies, regime and lake advantage of the small companies, exemptions in preparing the trustees, report and from the requirement to prepare a strategic report. Responsibilitie5 of trustees (members of the Council of Management) As explained more fully in the trustees. (members of the Council of Management's) responsibilities slalemenl sel out on page 3, the trLJStees Iwho are also the directors of the charitsble company for the purposes of company lawl are responsible for the prepar*ion of the financial slalemenls and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enabl& the preparation of financial ststements that are free from material misstalemenl, whether clue lo fraud or error. In preparing the financial statements, the trustees are responsible for assessing the charitable company's ability lo continue as a going concern, disclosing, as applicable, matters related to going concem and using the going concern basis of accounting unless the Iruslees either intend to liquidate the ch2r1tate company or to Cease opefftlions, or have no realistic alternative but lo do so. Auditor's responsibilitie5 for the audit of the financlal Statements Our objectives are to obtain reasonable assurance about whether the financial slalements as a whole are free from material mi55tslemenl. 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 IUKI will always detect a material misstatement when il exists. Misslatemenls 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. Details of the extent to which the audit was considered capable of detecting irregularities, including fraud and non-compliance wlh laws and regulations are sel out below. A further description of our responsibilities for the audit of the financial statements is located on the Finanryal Reporting Counal's website al.. www.fr audilorsres onsibililies. This description forms part of our au(Sitorfs report. Page 10
INDEPENDENT AUDITOR'S REPORT (continued)
TO THE MEMBERS OF BRITISH EDITORIAL SOCIETY OF BONE & JOINT SURGERY (THE)
Extent to which the audit was considered capable of detecting irregularities, including fraud
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We identified and assessed the risks of material misstatement of the financial statements from irregularities, whether due to fraud or error, and discussed these between our audit team members. We then designed and performed audit procedures responsive to those risks, including obtaining audit evidence sufficient and appropriate to provide a basis for our opinion.
We obtained an understanding of the legal and regulatory frameworks within which the charitable company operates, focusing on those laws and regulations that have a direct effect on the determination of material amounts and disclosures in the financial statements. The laws and regulations we considered in this context were the Companies Act 2006 and the Charities Act 2011 together with the Charities SORP (FRS 102). We assessed the required compliance with these laws and regulations as part of our audit procedures on the related financial statement items.
In addition, we considered provisions of other laws and regulations that do not have a direct effect on the financial statements but compliance with which might be fundamental to the charitable company's ability to operate or to avoid a material penalty. We also considered the opportunities and incentives that may exist within the charitable company for fraud. The laws and regulations we considered in this context for the UK operations were copyright laws, taxation laws and General Data Protection Regulation (GDPR).
Auditing standards limit the required audit procedures to identify non-compliance with these laws and regulations to enquiry of the trustees and other management and inspection of regulatory and legal correspondence, if any.
We identified the greatest risk of material impact on the financial statements from irregularities, including fraud, to be within the override of controls by management. Our audit procedures to respond to these risks included enquiries of management, and the Council of Management about their own identification and assessment of the risks of irregularities, sample testing on the posting of journals, reviewing accounting estimates for biases, reviewing any regulatory correspondence with the Charity Commission and reading minutes of meetings of those charged with governance.
Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. For example, the further removed non compliance with laws and regulations (irregularities) is from the events and transactions reflected in the financial statements, the less likely the inherently limited procedures required by auditing standards would identify it. In addition, as with any audit, there remained a higher risk of non-detection of irregularities, as these may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal controls. We are not responsible for preventing non-compliance and cannot be expected to detect non-compliance with all laws and regulations.
Use of our 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.
Janette Joyce
Senior Statutory Auditor
For and on behalf of Crowe U.K. LLP, Statutory Auditor, Reading
Date 7 June 2024
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BRITISH EDITORIAL SOCIETY OF BONE & JOINT SURGERY (THE) STATEMENT OF FINANCIAL ACTIVITIES (Incorporating an Income and Expenditure A¢¢ount) FOR THE YEAR ENDED 31 DECEMBER 2023 Unrestricted Funds Notes 2023 2022 Income from Charitab18 a¢tlvities Subscriptions Reprints and royalties Online sales and Open Access Other income Other trading activities Rental income Advertisements Investments Interest receivable Income from investments 1,305,204 11.709 294,280 8,925 1,302, 714 18,838 253, 151 9.175 124.000 84.204 124,578 119,537 19.013 507,963 2,417 479,491 Total income 2.355 298 2 309,961 Expendlture on Raising lunds Advertisements Investment manager's fees Property sts 25,425 56,330 12,729 93,884 53,688 13,459 67.147 Charitable activities Publishing and marketing the Journals Providing orthopaedic information via the website Disseminating the Journals as widely as possible Providing publishing services 2,145,269 305,203 78,001 1,950, 797 218,653 99,308 25, 127 2,293,885 2,528,473 Total expenditure 2.595,620 2.387, 769 Net income before investment gains and losses 1240,322) {77,808J Nel gains I IIOs5esl on investments 113,614 (1,856, 779) Nel income and nel movement in funds 1126,7081 (1.934,587) Total funds brought forward 19.185.709 21, 120,296 Totsl funds ¢arrled forward 19,059 001 19,185. Tog The notes on pages 15-24 fomi part of these financial statements Page 12
BRITISH EDITORIAL SOCIETY OF BONE & JOINT SURGERY (THE) BALANCE SHEET AS AT 31 DECEMBER 2023 Company number 522061 Total 2023 Total 2022 Notes FIXED AssErs Intangible assets Tangible assets Investments 707,027 762.171 16,389.793 646,516 796,571 16,276. 179 17,858,991 1T,719,266 CURRENT ASSETS Debtors 10 427,087 1,439.269 436,473 1,736, 682 Cash al bank and in hand 1.866.356 2, 173, 155 CREDITORS.. amounts falling dLJe within one year 11 663 188 103 218 NET CURRENT ASSETS 1,203,168 1,469,937 CREDITORS: amounts falling due more than one year 12 13.1581 (3.494) NET ASSETS 185 709 FUNDS Unrestricted funds 14 General 13.865.374 1.469.198 3,488,700 235,729 14,725,807 Designated - Fixed assets Revaluat'on reserve 1,443,087 3,375,086 241, 729 Designated- Gharilable donations 19059 001 19 185 709 These financial statements were approved and authorised for issue by the Counal of Management on 7 June 2024 and sign d on Ihelr behalf by.. Fe Ch Monsell an David Limb Treasurer The notes on pages 15 - 24 fG-. financial statements Page 13
BRITISH EDITORIAL SOCIETY OF BONE & JOINT SURGERY (THE) STATEMENT OF CASHFLOWS FOR THE YEAR ENDED 31 DECEMBER 2023 Notes 2023 2022 Cash flows from operating activitie5 Net cash used in operating activities lal 572 284 Cash flows from investing activities.. Dividends, interest & rerrts from investments Purchase of fixed assets Purchase of intangible assets $07.963 {3.040} {230.052) 479,49Y (1,53f) (492, T26) Net Cash {usedl provided by inve$ling activities Change in cash and Cash equivalents in the year 274871 (14, 766) 1297,4131 (523.917) Cash and cash equivalents brought fotrward 2 260 599 Cash and cash equivalents carriod forward (b} a) Reconciliation of net Incoming resources to net cash inflow from operating activities 2023 2022 Net lexpenditurel for the year Adjuslmenl for.. Depreciation and amortisalion charges (Gainsll I(Se$ on investments Dividends, interest and rents from investments Decrease in debtors (Decrease) in creditors {126.708} (1, 934.587) 206,9B1 113.6141 1507,9631 9,386 122,559 1,856, 779 (479,491) 13.611 Net cash used in operating activities b) Analysis of cash and cash equivalents 2023 2022 Cash in hand The notes on pages 15-24 fom part of these financial statements Page 14
BRITISH EDITORIAL SOCIETY OF BONE & JOINT SURGERY {THE} NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 ACCOUNTING POLICIES Charity infomiation The Society is a registered charity in England and Wales and a company limited by guarantee (company number.. 5220611. The liability in respect of the guar8ntee, as set out in the memorandum. is limited to £1 per member of the company. There 8re 49 members. 11 is a Public Benefrt entity, governed by its Articles of Asswiation, updated and adopted by the members of the Society on 9 June 2023. The Society's Charity Commission regislrdlion number is 209299 and its registered address is 22 Buckingham Street, London, WC2N 6ET. Basis of preparation The financial stslemenls have been prepared underthe historical ¢osl convention as modified by the revaluation of investments and in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS1021, the Companies Act 2006 and the Statement of Recommended Practice applicable to charities preparing their 8CCOLJnls i accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 1021- effective 1 January 2019. The functional currency of the Souety is considered to be GBP. Going Concern After making enquiries, and in discussing the issues and impact of the current macTO- economic enwronment, the Council of Management have 8 reasonable expectation that the Society has adequate resources to continue ils 8Ctivities for the foreseeable futu. The trustees are not aware of any material uncertainties about the Society's ability to continue and accordingly. they continue to adopt the going concern basis in preparing the financial statements. Critical accountlng judgements and key source$ of estlmation uncertalnty In the application of the Society's accounting policies, which are described in this note, the Council are required to rnake judgerllents, estimates, assumptions about the carrying values of assets and liabililias that are not readily apparent from other sources. The estimates and undertying assumptions are based on historical experience and other factors that are considered lo be relevant. Actual results may diffeT from these eslimales. The eslimales and underfying assumptions are reviewed on an on4Joing basis. Revisions lo accounting estimates are recognised in the period in which the estim*e is revised if the revision affects only that period, or in the period of the revision and ftjlure periods if the revision affects the current and future periods. The principle accounting policies adopted, judgements and key sources of eslimalion unrtaInty in the presentation of the financial slalements are included in the accounting policies below. Those Connected lo revaluation of investment properties are wnsidered lo be those with the most significant impact on the financial slalements. Page 15
BRITISH EDITORIAL SOCIETY OF BONE & JOINT SURGERY (THE) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 d) Deprnciation Depreciation is Charged on an asset when it has he brought into use. Depreciation is provided on the cost of assets, in equal annual instalments, over the eslimaled useful livès of the assets. The rates of depreciatlon are as follows.. Freehold premises Over 50 years Long leasehold premises Over 50 years Computer equipment 33°k per 8nnum Other equipment 20% per annum Fixtures and fittings 100/ts par annum Land induded vthirt Freehold pffjmises is not depreciated. Intangible asset$ Inlangib1e f xed assets represent software costs and website development eosls capilalised in accord8nce wth FRS102. These a slated at historical cost and amortised on a straight- line basis over the periJ which venUe is expected to be generaled13years). Amortssalion is recognised in the Slalemenl of Financi81 Aciivilies as part of expenditure and IS 81Locat across the expenditure headings on the sgmg basis as Support & Governance costs. Translation of foreign ¢urr•nci•s Transactions in foreign currencies are convèrted into stèrfing using the pwailing rate of exchange. There is also a rate prg4etermined by the Council of Management which is used throughout the period. Assets and liabilities at the penod end %ich are dencmninated in foreign (yjrrency are translated al the rates ruling al the balance sheet dale. Exthange drfferences arising translation are dealt with in the Statement ol Financial Activities. g) Investment$ Investments aré revalued lo Maet value as al the balance sheet dale and the surplus or deficit of this revaluation is shown 85 gains or losses on the face of the Slalement of Financial Activities. The dIfferenS between the carrying value lor eosl rf acquired during the perKKJ} and the proceeds of inveslmgnts disposed of are shown as realised investment gains or losses in the Statement of Financial Activities. Investsment propeit'es are slated at their market vdue at the b81ane8 sheet dats. No depreciation is provided for in respect of investment properties in accordance with FRS102. Such properties are held lor their Investment polentsal and rK)t for consLtmption within the business. h) Penslons Retirement benefits to certain employees are lunded by OtritArti0nS from the Society. %¥thich are paid into Ihelr personal pension 5cheme8 and tharged against the rgsults for the p8ric(I In which they become payable. Page 16
BRITISH EDITORIAL SOCIETY OF BONE & JOINT SURGERY (THE) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 ACCOUNTING POLICIES (Continued) Fund accounting General funds are available for use al the discretion of the Council of Management in furthgrance of the objects of the Society. Designated funds comprise general funds which have been set aside al the discretion of the Council of Management for specrfic purposes. Income All income is accounted for on a receivable basis and is stated nel of discounts. Any income restricted to future accounting periods is cleferred and recognised in those accounting periods. Investment income is accounted for on an accruals basis. Rental income is recognised in the period lo which il relates, based on th& operating lease agreement. Subscription InMe is recognised over the period during which the subscriber is entitled lo the benefits of the subscription. Sales income is recognised in the period in which a sale lakes place. Investment income is recognised based on the ex-dividend date. Expenditure All expenses are accourrted for on an accruals basis. Irrecoverable VAT is included with the item of expense lo which it relates. Expenditure on raising funds comprise those costs directly attributable to managing the investment portfolio and the costs of advertising in the journal publications. Expenditure incurred in o)nneclion with the specific objects of th8 Society is induded under the heading "charitable adivities.. This would include the costs of joumal publications. Expenditure on charitable activities has been directly allocated lo the main areas of expenditure where possible, and the rernainder has been proportionally allocated on the basis of staff lime spent in each area. Support costs comprise stsff costs together with the general overheads of the Society. Governance costs are those incurred in connection wth compliance with conslitLrtional and slalulory requirements. Financial Instruments kl Financial assets and finanr#al liabilities are recognised when the Society becomes a party lo the contractual provisions of the instrument. Additionally, all financial assets and liabilities are classified according lo the substance of the contractual affangemenls entered into. Financial assets and liabilities are initially measured al transaction price (including transaction costs) and are subsequently re-measured where applicable at amortised cost with the exception of Investments which are held at fair value. Assets and liabilities held in foreign currency are translated lo GBP at the balance sheet date at an appropriate ye8r end exchange rate. Page17
BRITISH EDITORIAL SOCIETY OF BONE & JOINT SURGERY (THE) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 TURNOVER Analysis of subscription income by geographical area is as follows.. 2023 2022 United Kingdom Europe USA Rest of the wodd 29 16 15 40 28 17 74 41 100 foo SUBSCRIPTIONS AND DEFERRED INCOME 2023 2022 Subscription income received Release of prior year Deferred in period 1,298,277 453.067 1446,1401 1,274.335 481,506 1453.067} 1,305,204 1,302,774 INCOME FROM LISTED INVESTMENTS 2023 2022 Income from listed investments- UK INTEREST RECEIVABLE 2023 2022 Bank interest Investment cash deposit interest 19.013 2,414 19,013 2,417 Page 18
BRITISH EDITORIAL SOCIETY OF BONE & JOINT SURGERY (THE) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 CHARITABLE AcmwTIES Support Costs Direct Costs 2023 Total 2022 Tolal Publishing and marketing the Journals Providing orthopaedic information via the website Dissominating the journals as widely as possible Providing publishing seNices 460,734 1.684.535 72,001 233,202 72,001 6,000 2.145,269 305.203 78,001 1,950, 797 218,653 99,308 25,127 604.736 1.923.737 2.528,473 2,293.885 2023 2022 Support Costs are represented by: Salaries HR CDnsultsncy Training Travelling Repairs and maintenance Depreciation staff recruitment IT Costs Entertaining stationery Postage Telephone and fax Sundry expenses Insurance Exchange Igainsl I losses Legal and professional Bank chaTges Cleaning Lighting and heating Rates and water rates Accountants fees Audit and accountancy 83,777 4,805 5,652 102.978 32,267 129.638 12,419 36,395 14,888 254 2,138 6,046 11,421 16,977 6,890 18,700 8,340 8,702 7,876 18,320 55,645 20,608 108,371 5,581 1,436 88, 744 26.675 45.219 2.812 36.347 12,697 358 2,509 7,903 12, 190 73.927 f28,009) 20,787 5, 160 7,069 578 21.845 51.090 20.035 604,736 469,324 Page 19
BRITISH EDITORIAL SOCIETY OF BONE & JOINT SURGERY (THE) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 Employeg costs during the ygar: 2023 2022 Wages and salaries Social security costs Other pension costs Health and life insurance 757,817 76.051 63.446 21.755 735, 780 80,883 63.273 15.443 919,069 895,379 No. The average number of employee5, who were all involved in the direct charitable activities was 16 18 The number of individuals who eamed greater than £60,000 during the year was as follows.. £60,001- £70,000 £70,001- £80,000 £90,001- £100,000 £100,001 £110.000 £110,001 £120,000 £120,001 £130,000 £130,001 £140.000 The key management personnel of the Society lexduding the Council of Management) are the Managing Director, the Director of Publishing an(S the Head of Marketing. Total remuneration paid lo these individuals was £325.607 during the year (2022.. £308,867). Members of the Counol of Management received no muneratIon during erther the current or preceding financial years. Expenses relating to travel and subsistence of £21,14212022.. £9.9TO) were paid on behalf of 512022.. 4 member of the Council of Management during the year. During the year the Society made termination payments tolalling £nil12022.. £8,523). Rolated party transactions See transactions noted above. In addition, Fergall Monsell and Garelh Scott, members of the Council of Managernenl received £1,028 (2022.. £2,312) and £8,048 (2022.- £Nil) respectively during the year in respect of edrfcorial services provided lo the SDoety. Balances outstanding al the year end in respect of these transactions were £1,028 (2022.- £800) and £1,950 (2022.. £Nil) respectively. P8ge 20
BRITISH EDITORIAL SOCIETY OF BONE & JOINT SURGERY (THE) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 INTANGIBLE FIXED ASSETS Software Website Ortho Products & Trademarks Assets under construction Total Cost At 1 January 2023 Additions Disposals Transfer At 31 December 2023 24.908 305.877 39,492 1305.8781 450,570 490,061 292,877 450,570 190,560 1,074,232 230,052 1305,878) 1450,570} 190,560 24.908 292,877 998,406 Amort15ation At 1 January 2023 Charge for the year Disposals At 31 December 2023 5,828 7.386 305,877 84,814 {305,8781 84,813 116.011 77,341 427,716 169,541 {305,8781 291,379 13,214 193,352 Net book value At 31 December 2023 11.694 405.248 190,560 707 027 At 31 Dec8mber 2022 79,080 176,866 Assets under construction at year end relates largely lo the development of the new BJJ Training Product. 450.570 646,516 TANGIBLE FIXED ASSETS Freehold premises Fixtures Equipment & ringS Total Cost Al 1 January 2023 Additions At 31 December 2023 1. 164,685 135,957 2,907 138,864 705,730 133 1,406,372 3,040 1,409,412 1,164,685 105,863 Dfrpreciation At 1 January 2023 Charge for the year At 31 December 2023 425,369 17,902 443,271 114,356 14,132 128,488 70,076 5,406 75,482 609,801 37,440 647.241 Net book value At 31 December 2023 721 414 10,376 30.381 762 171 Al 31 December 2022 739,316 21,601 35, 654 796,571 Included within frèehold property is land with an eslirnated cost of £366,600 which has not been depreciated. Page 21
BRITISH EDITORIAL SOCIETY OF BONE & JOINT SURGERY {THE> NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 INVESTMENTS HELD AS FIXED ASSETS LISTED INVESTMENTS 2023 2022 Market value Al start of the period Additions Disposals Net gains 13,426,179 15,282,958 113,614 1,856. 779 Market value of investments at end of the period 13.539.793 13,426, 179 Hlslorical cost of investments al end of the period 10995242 10,995,242 These investments are held fully in the Bla¢kRo¢k Charities Growth & Income Fund. whiGh is a mix of equity, fixed interest and other products. INVESTMENT PROPERTIES 2023 2022 Market Value At stsrt of the period Revaluation gains I (losses) 2,850,000 2,850,000 Market value at end of the period 2.850,000 2,850,000 A full -valUation of the Society's investrnent properties in Buckingham Street and John Adam Street was carried out as at 18 November 2021 based upon a professional valuation undertaken by Third Sector Property, Chartered Surveyors. The valuation of both the commercial and residential property was undertaken by members of the Royal Institution of Chartered Surveyors IRICSI and the valuations approved by RICS Registered Valuers. The valuation had regard lo recent sale prices and rental yields for similar properties in a similar location to those owned by the Society. The Directors consider there has been limited change in the commercial or resid&ntial market for properties of this nature during the financjal peri(xJ, and thereforg the Directors bèlieve the carrying value of these assets remains unchanged. 10. DEBTORS 2023 2022 Trade debtors Other debtors and accrued income Prepayments 154,097 163,354 109.636 170.915 160,359 105, 199 427.087 436,473 Page 22
BRITISH EDITORIAL SOCIETY OF BONE & JOINT SURGERY (THE) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 11. CREDITORS.. amounts falling due wthin one year 2023 2022 Trade creditors Other taxes and Soaal Security Other Creditors Accruals and deferred income 132,872 147,094 59,669 75.385 480,739 703.218 12. CREDITORS: amounts falling due more than one year 2023 2022 Accruals and deferred income 13. PENSION SCHEME The Society makes payments lo certain employe8s' personal schemes. During the year £63,446 (2022.. £63.273) was charged to the Statement of Financial Activities. 14. FUNDS Slatemenl of funds - current year At31 December 2023 At 1 January 2023 Income Expenditure Gainsl Ilossesl Transfers Unrestricted funds Designated fixed asset Designated Charitable donations Revaluation reserve General funds 1,443,087 241,729 26,111 1,469,198 235.729 {6,000} 3,375,086 14, 125.807 2 355.298 113.614 3,488,700 13.865,374 2.569.620 Total unrestricted funds 19. 185, 709 2,355,298 2.595.620) 113,614 19,059,001 The designated fixed asset ftjnd represents the amount of funds held as tangible and intangible fixed assets. The dgsignaled charitable donations fund relates lo travelling fellowships. The revaluation SerVe fund represents the uplift ori listed investments and investrnent properties since they were acquired. Page 23
THE BRITISH EDITORIAL SOCIETY OF BONE & JOINT SURGERY NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 Statement of funds- prior year At l Jarpuary 2022 Gains/ (losses) A131 DeGember 2022 Income Expenditure Transfers Unrtrslricled funds Designated fixed asset Designated charitable donations Revaluation r8seNe General funds 1.071.389 290, 784 3T1,6g8 1,443,087 241,729 (49,055) 441,503 19 316,620 2 309,961 (1,856. 779) 4, 790,362 5, 162,060 3,375,086 14, 125, 807 2,338.714 Total unrestricledfunds 21, 120.296 2,309,961 (2,381,769) ff,856, 779) 19, 185, 709 15. OTHER COMMITMENTS Capital Works of £180k and revenue works of £180k were contracted for as at 31 December 202312022.. £360k} relating to website development and maintenan. 16. OPERATING LEASES Lessor The company eams rent81 income by leasing ils properties to tenants under non-cancellable operating leased. Leases in which substsntially all risks and rewards of ownership are taIned by another party, the lessor, are classified as operating leases. At 31 December 2023 the charity had future minimum lease receipts du8 under non-cancellable operating leases for gach of the following periods= 2023 2022 Not18ter than 1 year Later than 1 year and not later than 5 years 110,000 124.000 Page 24