THE ENGLISH STACE COMPAf4Y LIMITED (A ¢ompw limited by guarantee) TRUSTEES. REPORT AI¥D FJ]YAPICIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 Registtied a)¥ity Number.. 231242 Rtgisiertd Company Number'.539332 **iAJWUDXK• 2211212021 COMPANIES HOUSÉ A11 #162 THEENGLISHSTAGECOMPANYLIMITED REPORT AF4D FINANCIAL STA TEMENTS FOR THE YEAR ENDED 31 MARCH 2021 CONTENTS P*gts Trustets at)d advisers Chair's Report R¢p)rt of th¢Cwn¢il 3- 10 Indep¢nLlent Auditorf R¢pon Con501idaled Siatcment ul'FIna￿l￿ Atlivilk Consolidsied and Chariiy Balance Shee l5 Consolidated C&sh flow Statement 16 Noits 10 iheFsnatycial Sthi¢mtnis 17-35 THE ENGLISH STACE.COMPANY LIMITED TRUSTEESANDADVISERS FOR THEYEAR EIYDEDJI MARCH21121 Principal Addre55 Royal Court Thcatrc, Sloane Square, IA)ndon. SWI W 8AS Trustees 4nd advisors The Tru5tte5. who are a150 the directort of thE company fw the purpose of the Companies A¢L forni the Council of the English Sia8e Company Limited.. Anthony Burton CBE (Chair) Graham Devlin CBE (Vice-chair) Jeanette Arnold Judy Daish Pamela Jtkiemi Mwenya Kawesha Etnrna Marsh James Midgley Winsome Pinnock Andrew Rodger Anits Scott Emma Tucker (resigned 21si May 2021) Lord Siewart Wood Mahdi Yahya Senlor M*n*gtme#t Tea Exeeutive Artistic Director and CEO- Vicky Feather5tone Executive Producer- Lucy Davie5 Senior Managers Finance Director- Helen Perryer General Manager- Catherine Thornborrow Head of Production- Marius Ronning Company Sttretary Lucy Glynn Allditors G¢)odman Jone5 LLP. 29130 Fitsoy Square. London, WIT 6LQ Principal Banker5 Barclays Bank, United Kingdom House. * Floor. 180 Oxford StreeL London. Wl D I EA Solicitor5 SiTnons Muirhead & Burton. 8-9 Frith Street. Soho. London, WID 3JB OtheT principal advisors Wrightsure Servtces Ltd, tla Perfornier4 Wrightsure House, 799 IA)Dth)n West Thurrock. Essex. RM20 3LH THE ENGLISH STAGECOMPAP4Y LIMITED CHAIR'S REPORT FOR THE YEAR ENDED JI MARCH 21121 Chair's Rtport The ¢oronavirus pandemic has be¢n devaststing for th¢ cultural sector. aThd we will look back on 2020r21 as an in¢redibly difficult year in our theatre's hisiory. Ir is a r¢markable achievemeni. therefore. that the Royal Coun tram immediately stepped inio lobbying ond fundrai5in& while also ¢r¢aiing imaginariw¢ digiial work and ¢oniinuing io gather writers together online. The whole 51aff i¢am played their part in steadying the organisation athd ensuring that li weathered this drtadful storm intact. We wer¢ able io relain all staff in the ¢hariry. ￿ndraisIng vigorously to protect jobs and support freclance artists. Although workin8 remoiety the team miraculously kept the spirit and vigour of the Royal Court alive. The Bar and Kitchen led by the Incompa￿le Rthrt Smael was able ty open a new outdoor offerin& Court in the Squar¢, which wa5 a gam¢-¢hanging opporn]nity contributing so brilliantty to the ideniity and fin￿Gial health of the theatre- for many y¢4rs to come, we hotg. The Finance Committee mei weekly and then fotthightly during the first month5 of this year to support the Executive team in financial decisions and resilien¢e. The eniire Board has been 5tyaiegi¢alty critic41 in the wisdom. guidance and support they have br￿Ight and l am immensely grateful to them. The charity has don¢ all i¢ ¢an this year LO suppm freelancers. with over 300 artists involved in Living Newspaper. We have also begun a multi-year partneTship with ¢onsulthnts Sour.Lemons io irtierrogate and re5Ct our int¢mal systems and culture through an antI-￿I$l lens. Interestingly the pandemi¢ has enabled us to reflect and embark on a period of Tadical chan8e at the Royal Court. Finon¢ially we ¢nded lh¢ ycar with r¢s¢rv¢s inta¢t artd with fvnds to delLver the anistTrc activity we envisioned_ Nonethel¢ss the ￿ture- parti¢ularly in 202 Ir22 artd 2022123- look5 very uncenzin and we know that recovering and rebuilding from ihis ierrible crisis is going io demand ¢v¢n more of our colleciive ima8ination and adaptability. The whole Board is it)debted and gra*￿1 to the kadership of Vi¢ky Featherstone. Lucy Davies and Helen Perry¢r and the extraordinarily dedicated team at Sloane Square for fighting so hard for the Court with suth remarkable stsmina and flair. AnthoDy Burton CBE Chair Datt.. THE ENGLISH STAGECOMPANY LIMrrED REPORTOFTHECOUiYCIL FOR THE YEAR ENDED 31 MARCH 2021 The following sections represent the sty*egic r¢w( for th¢ year eDded 31 March 2021. Structur¢, Gov¢rnan¢¢ #nd Manag¢m¢n¢ objectiv￿ and A¢tiviti¢s of th¢ Charity Aehi¢v¢m¢n¢s, P¢rformaD¢¢ and Futur¢ Pb Financial Revi¢w Reserves a￿d Policy S¢a¢¢Jn¢ots Structure Gov¢rnan¢e #Rd MAna erneDt Th¢ regisiered ¢harity whi¢h is a ¢ompany limiied by guarantee in¢orpoT8ied on 16 Ociobtr 1954, is governed by its memolandum and articles of association. As * 31 March 2021. the￿ were 15 guarantors whose liability in the event of a winding up is limited to £10 ea¢h. These accounts are ple￿¢d in a¢¢ordan¢e with SOJIP 2015 and the Companie5 Act 2006. There ts a Coun¢il of betw¢en five and 20 TnLSt¢es. For the purpose of company law, the Trnstee5 arc the DiTe¢ttsrs of the company and are non-exe¢utiv¢ athd unpaid. During the financial period under review, the Tn￿le¢S met four tirnes Ther¢ is ot)¢ sub-con)mLtlee for Finan¢¢ ar>d Gen¢ro1 PuryxJs¢s and a Development Council. The Finance and General PuTw$e$ Sub-committee and Developmeni Coun¢il are made up of Dite¢Lors artd other professionals. Both operate under specific terns of r¢f¢r¢n¢¢ wilh ¢¢nain fiJn¢uons d¢legatrd by the Council. Each has its decisions dt5CU55ed by the full Couo¢il. The trading subsidiary for th¢ ￿tering operaiion also has a Board. which me¢LS quarterly made up of Dir￿tOrS. the Exe¢utive ieam, and other prof¢ssionals. Th¢ Chi¢f Exe¢utJv¢ (and Artisti¢ DiTe¢tor- not a dire¢tor as defjned by the Companie5 Act 2006) ts appointed by the Council lo manage the programming, operations and staff of the company workin8 With the Exccutivc Dir¢¢tor I Producer. To8ether with the Finance Director, these three forni the Executive Team. trustCeS are elected by the members of the company ai the Annual Gtntral MetEing. Thc English Stage Company L {ESCJ Council opis to appoint its Trusiees for an unlimlted period bui regard5 that appointrneni as being a three-year appoiThunenL reThewable lor further ternis of three years. The Council meets io review and agree all new appointments i order to secure the best indus￿ and professional expertise. The Council has adopted a policy ort governan¢e that incorpordtcs training and tru5t¢e5' responsibilities. Thc Coun¢il meets to revicw the xtivity of thc company and to •Jvi5e the Exe¢utiv¢$ resp)nsibl¢ for ¢arrying out the day-lo￿laY acliyity of the company. ste induetion and iraiDin New trustees undergts an tsrientation to brief them on.. their legal obligaiiotts under ¢hariry and company law, Ihe Chariry Com]nission guidance on public benefiL and inf(Km them of the content of the Memornrbdum at)d Articles of Association. the Committee and decision-making pro¢esses. the business plan and rttent fmancial perfornian¢e of the ¢h¥ity. During the indurtion they meei kcy crnployccs and other tru5te¢s. Tru5tee5 are enwurdged to attcnd appropriaie exiemal trouiing events where these will fatiliiate the underttyking of their rol¢. rst The Chief Executive an4J Executive Direcior review the pay of the employees annually in line with pe¢r organis81ions of a similar size and consider responsibility levels. London LKving Wage and innation as well as affordability. The recommended pay increases are included in the annual budget that is taken to Finance and General Purposes Committee for approval where salaries are discussed in more detail. The Financc and General Pu￿OSeS Cornmittee review the pay of the Executive and other senior staff periodically. THE ENGLISH STAGE COMPANY LIMITED REPORTOF THECOUNCIL FOR THE YEAR ENDED 31 MARCH 2021 Risk Covi&19 brought an entirety new ¢hapler io the risk register and this continucs to be adapted as the circumstances change. The risks &s$o¢la￿d with audienc￿ ii¢k¢t in¢om¢. and disrnption to show5 as a result of infection will bt wilh us for some The fimdamental 5yStemi¢ risks thal our risk review pmcess has revealed ore the ongoing challenges of managing 5tand5till Core fimding and the deferred naNre of Theatre Tax Relief p3ym¢nts. The la¢w in particular hol&s the risk of an impact on h flow. The oiher major risk for the charity is the unpredithblt naTh￿e of fuDdrai5in8 income. particularly in un¢ertain political nd world mork¢i limes. which iJnpacl on corporat¢ behaviours and investmeni portfolios. A balan¢¢d budget r¢li¢5 on an ambLiiOUS filndraising thrg¢¢ often before the ￿e￿Iled Producilon activity of the year has been decided. Our Risk Management Policy includes building issues as a risk to the organisatLOn: the r¢newal of th¢ le25e, the shared usage of the alleyway running beside the building giving acce5S to ¢)ur stage door and dock. and the dilapidaiion of the stage technology and building sysiems. Mitigating stf41¢gies ar¢ place ￿ the highest level io supw>rt ar￿ offset ri5k5. including proa¢itve stskeholder liaison, long-terni contingency planning. and a flexible producing model that allows us to re5PDnd to exteTnal impac￿. The trustees have a risk management straiegy thai cornpn5¢5". an an￿￿21 review of the rwipal Tisks and unc¢rtaintics that thc charity and its subsidiaries face as laid ovi it) the risk regi$t¢r the estsblishmen¢ of policies. systems and pro¢tyJures io mitigale those risks a5 laid out in the risk r¢gt5tcr the implementation of piocedures designed to minimise or mana8e any p)tential impact on the chaiity should those risks materialise Ouro ectiv anda The Royal Court Theatre is the writcts. theatre. It 15 the leading forte ID world theatre for rtndin8 writer5 and producing ew plays that are ori8inal. contemporary and provocative. The Royal Coun's mission is to be meaningfvlly engaged with civic. political. domesti¢ and intcrnational life- giving wriiers a home in which to tackle big idea5 and tell extraordinary stories, and 10 share their work with th¢ widesi possible audience. The purposes of the charity are: to advance the education of the public in all aspects of world ¢la5s contemporary playwriting to ¢ultivaie. rrain and develop new playwriting Talen4 diversifying pathway5 10 writing for the stage the development of public appreciation of arr by the provision of theatre at)d the pres¢nthrion of publi perfortnan¢es- ènd ro further the social aDd cultural welfare of the communities in which we work thrtsjghout Londo The vtsion that shapes our annual a¢tiviii¢s has b¢¢n consisteni for 60 year4 and thi5 year was Year Four of a four-year 5trdtesic and business plan approved by the Board aThd Arts Council England. In shapin8 our obje¢iives for th¢ year and planning our a¢tivitie4 the trustees have con5Ldered the Charity Commi55ion's guidance on publi¢ benefil_ The theatre relies on Arts Coun¢il England fijnding, hJndraisin8 income aThd the revcnue from tickets and trading to ¢over its operating Costs. Affordability and acctss is critical io us in setting pricing. We endeavour io represenr and encourage all those within Lond(ffi'5 ¢ommuniti¢s to attend or tak¢ part. We work with local and Gr¢atrr London schools and many higher educaiion insuNtions across th¢ UK. THE ENGLISH sfAGE COMPANY LIMITED REPORTOFTHECOUNCIL FOR THE YEAR ENDED31 MARCH 2021 The strategies employed io achieve the charity's aims and objective5 Én the year ended 31 Mar¢h 2021 wtre to.. Sustain the workforce throughout the pandemic by using the CJRS and rdising Cultural Recrjvery Fund 5UPPOrt Continue a pipeline of ial¢nt through writer d¢v¢lopm¢ni a¢ti¥ity Cultivate fvn&raising support for It￿0vatIve projects in a ¢hallenging ¢oDtexi Creaie anisii¢ content online and in the buildin8 for live audiences when legislation allows Support s¢hoo15 and young p￿P]e stricken by Covid relaied i501ation and frustrated learning Read up to 3.0(X) plays and continue commissioning Thew work5 Work in ¢ollaboraiion with the sector atross the UK to disseminate our skÉlls and Share pratttce Activety promo1¢ and Celebrate the diversity of ¢vltyres in our so¢i¢ty by working with art15ts of different backgrounds, at)d Sup￿)nIng atypiul artists to make work with us and for us Achievements Performance T4leftr Develo meni Work Stth Navigating 2020r21 operationally and arttSLically was a Lesi for every eultural leader. 11 is an incredible credit to the 18 Stsff who Coniinued working and th¢ many more who were furlough¢d (or flexi-fijrloughed as the pi¢tUTe ¢onst8thily chat)gedl that ihe Royal Coun produced some flagship works durtng the year and coniinued (o make an impact on wrI￿r$, anists and audienc¢s, r¢sponding io the world in Catastyophe. Plans were rnadr and unmade as the UK moved irt and oui of lockdowns over the Sprin& Autumn and Winter. So¢ial distav¢ing r¢main¢d in place throughtrJi peiityts when we w¢re permitted to open. Our plan was to susiain a pipeTrin¢ of trleni, relain our global profile and patrtr¢rships, build (tn philanthropic relationships and nuthre new and existing audi¢rt¢¢s. The projc¢ts and plays that w¢ tonsid¢r¢d viable for this partially op¢D, socially distani and digital model w¢r¢ built on a ¢ompleiely differ￿1 ¢cooomi¢ pr¢mise than a 5tsndard production of a play. As result they were lighter on income bui had &$ much artistic and public impaci and reach as a Standard propJamme of work (if nol mor¢). Critically. this work appealed to funders and donor5. ￿uCiallY 5U51aining philaDthropic relalion5hip5 that would otherwise dwin.dle through ongoing c105ure. Wc cancelled three plays which were in produ¢iion for Ayil 2020 and delayed a fvrther seven programmed for later in the year. Instead we produced three flagship digital prtsje¢ts. in addition to putting CYPRUS AVENUE by David Ireland back online for a month. CARETAKER by H¢5ter Chillin8WOrth- a 2￿hour duraiional livestream from our empry 5ta8e with audio messages MY WHITE BEST FRIEND and other letters left unsaid by Rathel D￿lahaY and Milli Bl￿tIa LivfNG NEWSPAPER - a 7 week pmgramTne of weekly editions of a theatrical newspaper created acros5 the whole building by over 68 writer5 3nd over 300 freelance artists Ln total ln addition, we initiated the feature film of debbie tucker green's ear for rye (tffoduced at the Royal Court io great acclaim it) 2018) produ¢ed by Fiona iamptey for BBC Films. Thc Court'5 development of ￿ltIng tslent is un5urpas5ed in the theatre ccology. tkspitc tht pandemi¢. oui wriier dcvclopment work continued online with no reduction in activity compared with a standard year. We ran writers groups. forged new partnerships, coniinued Youn8 A8itsior and schools programmes and commissioned playwrights. THE ENGLISH STAGE COMPA]YY LIMITED REPORTOFTHECOUNCIL FOR THE YEAR ENDED 31 MARCH 2021 Rt&cA The pro8fdmrne is deli￿ratelY dLvers¢, expansive and broad- we we as ambitious for developing our audiences as we are for ¢Jur artists. We look for shrewd ways to d151ribut¢ th¢ woik acioss plaifornls and stages in the UK to reath tnany more people than we could in Sloan¢ Squar¢ alohe. W¢ aim io dr4w an audiettee that is representative of London and increase attendance by those with at¢ess needs. In 2019r20 550A of the writers whos¢ plays we produced (23 wriiers) were Black and Global Majority. 74(hTr ideThtify as female. 4•h were disabled. 450/• of our cast and creative reams were Black and Global Majority. 61¥/• idenTified as femal¢ ond 0.5Q/• were disabled. Our audience is younger and more diverse than the iA)ndon theatre-going average. and around 30V• of the audience for any Show is neiv io the Royal Court. of th¢ writers we Commissioned w¢re Black and Global Majority. were women. 9Y• were disabled. The work leads, and WriL¢rs h8v¢ a Very important enfranthised voi¢¢ in the ¢ulwr¢ of our organisation. Our Board is 40V• Black and Global Majority. 60•/• identify ￿ female. PA are di54bl¢d. OUT Workf0￿e, however, is not yet r¢pr¢seniativ¢ of the ¢ity- whil¢. George Floyd's n)urder in May 2020 led many theatres io share a de¢pened anii-ra¢ism plan. Ai the heart of our plan was forging a new iWOvy¢ar partnership with Sour Lemons io intrnogate and resei our In￿rnal sysi¢ms and culture.we wanted an external pattrer for fa¢ilitsied third pa￿ organisaiional questioning, a Black-ied pamer, with fantastic theoreti¢al and praciical expertise in systems. pro¢esse$ and language. We knew. and it 1$ proving so, that in lookin8 at our organisation through the lens of race and making it fairer. we would make it fairer and better for everyone. The impa¢ts of Covid-19 will eX￿erbate inequaiiiies and implement barriers for audi¢n¢es whtch we have spent year5 dismantling. We know thai working Class theatre-makers are experieThcin& profound poverty and leaving the Sector a]ready- unproie¢t¢d by th¢ Equaliii¢5 Affj this is ￿ area where w¢ aT¢ ¢0mmi￿d io wi(TrTh. The critical role for culwral orgaDisaiions is LO Tebuild a cotlfideni recovery with soclal justice and inclusion ai the centre. As we enter ACE'5 Lei'5 Creale strategy, this crisis fasi-tracks the principle5 of creaiivity and culiure building better. fairer, more resilient communiiies. The provocativ¢. ¢ontemporary. responsive mission of ihe Royal Court is the urhique privilege of thi5 organisaiion and why we must and will weather this dev&staiin8 Crisi5 for the arts so we Can contribute And 5UStain the sector for another 60 years. Di8ltal working across the artistic team enabled iDteTDatiMal writers to join digitsl writ¢ts groups for the first time, and to participate in Living Newspaper and oth¢1 ¢or¢ wtsjerts where being wesent was not t￿entIal lor even possible). Understhndably planned projects in Japan, P8le$tine and the Caribbean were all PO$ty*)ned bui some were able to continue in a virtual forniai. We also forged Dew pa￿erShIps." developing a Telaiionship with Push Fesiival in Canada and obtainin8 money from the High Commission to deliver a new project," with the Taiwart Cultural Divisioth and ¢he National Theatre of Taiwan- with the Norweigian Culturdl office pay￿8 to tra￿late Norwegian plays inio English with the idea of developing a new proje¢t," and with Pro Hevctia (Swi55 Art5 Council) rut￿l￿g an onlinc re5tden¢y during lockdown. THE ENGLISH sfAGE COMPANY LIMITED REPORTOFTHECOUJYCIL FOR THE YEAR eNDED 31 MARCH 2021 Funders P&rtner5 Much of our a¢iivity in this unprecedented year continued to be Su￿ned by generous fvndcrs. partner5, and 5upponers. A considerdble amount of our play dev¢ioprnent work is uDd¢Tpinned through grdnts from Trusts & Foundations. Jetwood Art5 COntitLued to fund our Jerwood New Playwrights progra￿¢ with Hester Chillin8WOrth, Somalia Nonyé Seaton and Ross Willhs the 2020 beneficiaries. Our partieipatory work recexved funding from TTUSts including The Backstage Trust, The Aurum Charitabk frn5t. John Lyot)'s Charity and Garfield We5ttsn Foundatitsn. Our Wrii¢rfs Groups were supported by the Andr¢w Lloyd WcbbEr Foundation. Suppon from individua15 remained our largesi fiJndrais¢d it)come srream. We saw a slighi decrease in membership income this year a5 a result of our extended ¢losure perityl but an increase in gifts reccived from major donors. We also had 5igtLifEcanr Success in rdising fjjnds following a pllblic'support the Court. campaign in October 2020. Despi￿ a decline in corpordte membership in¢ome during our ¢105ed year. overall income from ¢orporates in¢reased thanks io donations from new pam)ets within th¢ film and iekvisi¢)n iThthL5ty. Ehvir&MmeThfulsusfothablll We are proud of our readiness to step into sector-leading work in this field. W¢ were in the firsi cohort of cultural organisations io declare climate emergency in April 2019 and spent Aulumn 2019 developing our cr¢dibl¢ plan for a just tran$ilion to net zero, ￿ outlined in I￿t year'5 report. This work was foresthlled by the pandemkc, bui also deepened by it. During 2020121 we Contributed to the new Green Book for theatre produ¢rÈon and adopied its principles as standard goi¢¥g fon¥ards. We have continued to Work co￿P¢￿tively with fcllww LTC theatres (Lu¢y r¢main¢d LTC Chair for & sixth and final yearl and Julie's Bicycle, 10 pro8ress the shared 5trate&v for the cnvironmeDtal impaet of our work. With LTC. we are part of the Arts Council Acceleraior progrdmrnt with an ambitious roadmap of sustsinable ambitions to 2025. The Court was awarded S* in our Industry Grten ¢ertifi¢aiion artd Lucy Ihvies was awarded Creative Green Champion in the 2020 Creative Green Awards. DI liul The pandemic demanded a digitsl offcr and. appropTiaiely ai the Couo the direction and Shape of our onljne offerings came from (he wriieT5. From a durational livestream with audio. to a live zoom festival with post-5how dccompre5sion spaces for audience$, to Living Newspaper which r¢l¢&sed 15 shon film5 a week, daily into your inbox, we t¢5ted new ways of creatin8 and distributing work. We built a brilliant new artistic paTther5hip wtth Tea Films. and created a new Cog Player to str¢am work. We also parthered wÉth Stuckcrnarkt Bcrlin to crcatc a spttial series of Playwrights P(￿l¢asts. hosted by Simon Siephens. Fin*nrial Re rt and Risks We success￿]IY raised £lm in CJRS and just under £lm in two stsands of DCMS suppffi: Em¢rg¢Dcy Funds and CRFI. This Combined 5UPPOrt amounts to £2rn of relief ￿ndS which have been a lifeline in sustaining oui WOTkfor¢¢ and stabilising our busine55 during a year when we have 105t Si8nificant COTnmercial and trading income. We have SOU8hi to protect a viable cash T￿r¥e p05iiion aNI adapt and explore other incotne generation strategies, for example vtgorous fundrdi5ing and an enty¢pr¢newial ourdoor ￿lerIng offer. Otl April l st 2020 our liquid reserves were ai £590,0(K) (DeSLgnated and Generdl Reserves excluding Capital Replacement Reserve) against an ideal level of £750,000. The impact of lockdown in March also left us carying fi]rther potential liabilities of around £300,000. Our ¢ash flow showed the business becoming very vulnerdbl¢ by summer 2020. THE ENGLISH STAGECOMPANY LIMITED REPORTOFTHECOUNCIL FOR THE YEARENDED31 MARCH 2021 Ernergency Funds from DCMS I ACE of £220.000 steadied u5. and in August 2020 we suecesshjlly applied for a fv¢ther £750,000 in the fir51 round of CRF funding. We furloughed over of our workfor¢¢ during the deep period of lockdown and closures while the rernaining stsff continued ￿ develop and Create artisiic work. support schoo15 and young people. fundrdi5e and strat¢gi5e. We produced two digital projects over the summ¢r of 2020 and in the Autumn cr¢aled a huge LiviTh8 Newspaper project employing over 300 freelancers. perfornled live and online. Thi5 proje¢1 was disrupted by 2 further l(Kkdowns and eventually becatne entircly digithl berween Awil and May 2021. The disruptions and migfdtion online inflated the budget by ovcr 250/•. At April Ist 2021 we were carying forward restrictcd CRF and donated funds to supwt artistic activity between April and June 21 delayed by c105ure5 &s well a5 designated re5erve5 for the theatres recovery. We did noi apply for CRF2 furhds as our position was Secure at that stage to protect reserves artd deliver the progTamm¢ of activity. Our fundraising effon5 had proved 5ucces5ful and we were c(XLtiniiiTh8 to judiciously use the fl¢xi-thrlough ￿h¢me io retain staff. A proven. sustainable and Ir￿0VatIve business model SUpp￿ts the Royal Court's artisu¢ programme. but it L5 undoubtedly tested by a decade of reduced and flat linin8 public fufiditLg- if our NPO grani had risen in line with inflation we would receive an additional £500.OIX) t(Mlay. This sap. as costs rise. is a¢u*ly felt. The practice of well controlled expenditure, prudent forecas(in& energetic fundraisin& divetse paTThership aDd robust commercial activity continues to be pushed to plug that gap. At the year-end date, ESC had total re3erYe5 of £2.87rn (2020.. £1.68m). The Redevelopment Fund sei up using fi2nd5 from Art8 Council and other matched funds for ihe 1997-21)00 theaire rebuild ha5 now been fully drawD down in line with the len8th of the lease. There is an endowmcni fund of £137k {2020.. £137k) estsblish¢d 10 support exploitaiion of the Charity'5 work- other fund5 restricted io usc on particular projects 8nd programm¢s amount io £1,21 Ik (2020.. £783k) with £378k bcin8 5Ptcific to dtlaycd programme of works and to SUStsiJ the ¢ompany while it continues to deal with the irnpact of the par5demic. The ￿Main1ng funds of £1.45m include funds design8r¢d by th¢ Board for capital replacemeni of £264k and £570k [[￿ new writing and future devtloprnent with a futthei £615k d¢sign8ied 10 recovery. This leaves free reserves of £77k, which is a realistic figure giveTh that the designatrd fijnds exisi io suppon ih¢ objects of the Charity. On a day-tfyday basi5. ESC TnoniiOWS its fthan¢ial p)siiion less in iemis of fre¢ reserves and more in terrns tsf th¢ availability of cash and cash flow in the business. Our cash-flow. lik¢ oth¢r thearres. resulis in peak5 and trough5 of cash at certain litnes of the year and through vigilant managemen¢ of the finan¢¢s and regular fmancial infomiation provid to ¢N$te¢s ESC seeks io hold sufficiertt cath io ensure it ¢an ￿1[11 its short and medium terni 5tralegic objeclives. The nawre of the receipi of Theatre Tax Relief at one poini in the year is ¢hallengiog for the cash flow of the organi5ation. Although the Tnjstees are aware of the unprec¢d¢nied cu￿¢111 lev¢1 of designat¢d reserves. there L5 an awaren¢s5 that ihrough ¢ash flow proje¢tions ESC will quickly depl¢* r¢s¢Tres and Should continue io cotnplele the accourhts and ¢orpoNion tax retums as early as possible to maximise a [￿li1ve cash tlow FKit¢niial. The Roy81 Courfs funthaising activities include seeking and stturing financial ¢ofttributions from individuals, orporations and trusts. foundations and grdni-making bodies towards the Royal Court's work. We att Individual Giving scheme which offers various levels of split mernEeTships which sn¢orpoTate a benefits package and a ¢hariiable donation. Thi5 membership s¢heTne rdn8e$ from £250 to £10,000 and donatitsns made above this amouni are considered Major Gifts. Our Annual Fund encourages low-level one-off donation5 from audience members outside of OUT regular giving sehemes and these are often made iTh addition to tickei purchases. We claim Gift Aid on donarions made by individuals who are eligible. We welcome legacy gifts and en¢ourage supporters ond audience members to remember the Royal Coutrt in their will_ We nLn a Corporate Membership sctleme thai offers companies difterent tiers of suppon ranging from £5,000-£15,000 plus VAT. In additlOD. we work with compaÈ)ies with whom we share values to create THE Ef4GLISH sfAGE COMPANY LIMITED REPORTOFTHECOUNCIL FOR THE YEAR ENDED31 MARCH 2021 larger partner5hip5 and offcr spon50rship OPPOTDJnilie$. PaTtherships wilh ¢ompanie5 can offer both financial and in- kind support. We seek funds from charitable Tntsts and Found*10￿$ and apply for both gencral core suypurt and ￿t)dS restricted to specific projects and purposes. O¢¢asionally. we prowme 5￿cial fundrahsing events io generate additional income through¢)ut thc ycar and have introduced Producuon Circles fw our supporters 10 join. All fundrai5in8 is managed internally and delega*d io the De￿10pm¢ni Diwior who is accountable tts the Tnwiees via the Executive. As well as being guided by our own inien)al ethi¢al fiLndraising poli￿, the Royal Court 15 a member tsf the UK Fundraising Regulator io ensure our fvndraising 3¢1iviry adh¢res to their code of conduct ènd follows best pracii¢e. No complainis were received during the year in rel￿)0￿ io our fundrdi5iThg. Fmlure Develo ents Th¢5¢ are very uncenoin limes. 2021122 and 202Y23 will be very challenging year5 as the 5UPP)rt cushions from the stat¢ ebb away and we tsy to rebuild audiences and trading in¢om¢. ring 202ir22 we shall reinstaie the postyoned from 2020. only reopening our Theatre Up5tair5 from Decetnber 2021 in ordeT to rnitigate losses in that smaller spxe. We will ￿gin with Jasmine L¢e-Jones' seven methods of killing kylie jeThner in a reconfigured Downs￿1rS auditorium to allow for socially disthnt audi¢n¢¢s on both 5ide5 of thE 5tag¢. The production ha5 been invited to NY and Washington in Jan l Feb l Mar 2022 and w¢ will film it for on-demand online vicwing in the Witlier of 202Rn2. The Song Projttt follows in August 2021 and from SepL¢mb¢r we resume full pr￿uCtIonS with full house5'. IS GOD IS by Ale5hea H3This WHAT IF IF ONLY by Caryl Churchill MARYLAND by Lucy Kirkwood- s¢ripi-in4ond RARE EARTH ME￿LE by Al Smith- prowmed io coincide with COP26 A FIGHT AGAtNST by Pablo Manzi translaL¢d by William Gre80ry- filmed and streamed inio Santiago è Mil F¢￿1¥al, Chile THE GLOW by Alistsir McDowall PURPLE SNOWFLAKES AND TifTYWANKS by Sarah Hanly- ¢frprtyJu¢ed with the Ablxy Theatre, Dublin TWO PALESTINIANS GO DOGGfNG by Sami Ibrdhim In addition we will present work by the Queer Upstsirs writers gtoup. htsst a week of plays and talks around our Living Archive enquiry, arbd c￿produce ISLA by Tim Price wilh Theatrclwyd. opentng there in O¢tober2021. We will produce our f￿51 play as part of our collalmyfdtion with Sister Picbjres in Feb 2022 in the Theatre Upstai￿. W¢ are hopeful of sustaining Coyn in the Squ￿¢ thrwgh the sumrner and the winter. and for many summers io come. Our work with Sour Lemons will influence a revfftew of our structures lor I￿king after people. and th¢ ongoing capi￿1 hallenges to our building's fabric and Systems will influence a review of the operdiional team and ihe developmeni of a capital fundraising s¢heme while xizing on all potential grani oppomiThites_ A new cornrnercial income working group will be ¢reated to look at long4ern) incom¢ generntion. ond ow net zero planning and Green Book work will be rdmped yp during this critical year. In Jan- Mar 2022 we will be applying for our nexi ro￿nd of NPO fundin8 from Arts Council En￿and and a number of strategic days with Board and sraff will ￿k¢ place in the Tun-up w thai submi55ion. THE ENGLISH STACECOMPANY LIMITED REPORT OF THE COIINCIL (continued) FOR TJIE YEAR ENDED 31 M.*RCII 2021 STATEMENT OF COUNCIL MEMBEILS. RESPONSIBILITIES The Council Members are responsible for preparing the Report of the Council and the fmancial 5tat¢m¢nts in •¢cordance with applicable law and regulatlons. Company law requires the Council Members to prepare financiol stsiements fly ¢ach fjnartrcial year. Under that law the Council Member5 have elecled to prepare the fmancial sthiements in accordanc¢ with Uniled Kingdom Generdlty A¢¢epied A¢¢ouniing Practice (Uniied Kingdom Accouniing Standards and applicable law)_ The fman¢ial statemenL5 are requwed by law io give a tnje and .fair view of the sraie of the affair5 of the charitsble company and of th¢ surplus or deficit of the charitabl¢ company for that period. In preparin8 these fllwjcial statements the Council Mernbexs ar¢ r¢quirtd kn: Select suitsble accounting wlici¢s and appty thern C￿lS1$1¢￿￿Y Observe methods and principles in the Charities SORP Make judgements and esiimaies thal ore r¢asonable and prudtht whether applicable a¢couniing Sfandards have been followrf subject to any ma*rial depamhres disclosed and explaitied in the fthancial $￿teMents Prepare the financial statements on the going ¢￿¢¢M basis un1¢5S li is inappropriate to assume ihar the ¢harithble company will Continue in operaiion The Coun¢il Members are also responsibl¢ for keeping proper accounting r￿OrdS that discltsse with reasot)able accuracy at any time the fioat)¢ial positron of the charirable company and enable thern to eTrsu￿ th￿ the f￿an(la1 ststements ¢omply with the Companies A¢1 2006. They are also responsible for safeguarding the assets of the charitable cotnpany and hence for taking reasonable steps for (he prevention and detection of fraud and other iTreguiariiies. The Council Members are responsible for the maintenance and integrity of the corporal¢ and fir1a￿la1 infomiaiion included in the ¢harirable company's website. Legislation in England and Wale5 8overnLng the prepardtion and diss¢minaiion of finaTh¢i81 staiements and oth¢r inforniatron included in ￿￿slee$, reports may differ le8L$lation in other jurisdictions. AUDITORS The auditors will be proposed for r¢-appointhJeni * th¢ forthcorning Annual General Meeting. Signed on ehalf of the Council . Anthony C Burto* CBE- Dffirector io INDEPENDEI¥T AUDITORS. REPORTTOTHETRVSTEESOF THE ENGLISH STAGE COMPANY LIMITED Opinion We have atsdiied the finan¢Jal siatemenis of English Siage Company Limit¢d {'the patent charity'l and its 5ubssdiaries (together'the group,) for the year endthl 31 March 2021 set out on pages 14 to 35. Th¢ finaTh¢ial reporting framework that has b¢en applied in ih¢ir pr¢parn¢ioo is appli¢able law and United Kingdom AccounTing StsndJrds, includin8 Financial REPOrting Siand¥d 102 Th¢ Financial Re￿rtillg Standard applieable in ihe UK and Republic of Ireland, (United Kin8dom Generally Acceplcd Accounting Practieel- In our opinion the finathctal $to*ments". give a true and fair view of the stkn of th¢ group'5 and of the p•r¢nt ¢hatitable company'5 affairs ￿ at 31 Mar¢h 2021 and of the group's incom&n8 resource5 and application of resources. ]￿luding its income and expenditure for Ihe year then ended- hav¢ b¢¢n PrO￿rIY Pr￿ared in a¢¢ordante with United Kin8dom Generally Accepred Accounting Prdctice- and have be¢Th prepared in ￿OrdanCe wilh the r4￿1r¢m¢nts of the Charities Att 2011. B8si5 for opinion We conducted our audit in accordance with Iniernational Siandard5 on Auditing (UK) (ISAS (UKII and applicable law. Our responsibilities ut)der Ihose s(andards are further descrabed in ihe Audiiors. rewnsibilitigs for th¢ audit of the financial staieinents seaion of our report. We are independent of the 8TOUP in accordance with th¢ ¢thical requirements that are relevant 10 ouraudit of the financial statements in the United Kingdom. includin8the Finan¢ial R¢porting Council's Ethical Standard. and we have ftsifilled OUT ￿her ethical iesponsibilifies irt accordance wsth these requiretnents. We believe ihai the audit evidence we have obtsined is sufficieni and appropriate io prnvide a ba515 for OUT opinion. In auditing the finanrial statements. w¢ hav¢ con¢luda th* the Tws¢¢¢s use of the 80in8 concern basi5 of accounting ir) the preparation of th¢ financial statements is approprk*. Based on the work we hav¢ p¢rformed, w¢ have not identified any malerial uncertainties Telating to cv¢nts or ctsnditions thai, individually or collectivelytr may cast 5i8nificant doubt on the Chariigs ability io coniinut a5 a going concern for a p¢rtod of 81 1¢8St ¢w¢lv¢ months from wh¢n th¢ fiDon¢i¥l si8t¢ments are auihorised for issue. Our Tesponsibililie$ and th¢ resportsibiliti¢s of th¢ Jir¢¢tors wilh r¢sp¢¢t io going concern are described in the relevani seciion5 of Ihis report. Other iTrforniation The Trusiees are responsible for the tsthet infomiation. The other inforniat¢on compri5C5 the infonnation included in the Annual Report. other than the financial ststements and our Audiiors. Report thereon. Our opinion on the financial statements doe5 not cover the other infom?aiion and we do expres5 any fonn of as5urdnce ￿nClUSion thereon. In conftcetion wilh our oudit of the fjnancial siatements, our responsibility is 10 tead the other information aThd, in doing so, consider whether the other infomiation is materially ineonsisteni with the financial statement5 or our knowledge obtained in rhe audit or otherwise appears to be materially mis5wed. If we identify such rnal¢Ti31 inconsistenties or apparent material mis5t*ements. we are r4uired to detemine whe¢her there is a maicrial mi5siwern¢nt in th¢ finan¢i81 staiemenis or a material mLssiaLement of ihe other information. If. b&sed on the Work we have p¢rform¢d. w¢ ctsn¢lud¢ that there is a material missiaLemeni of this other infomiation, we are required io report that faci. We have nothin8 to report in thi$ retotd. li INDEPENDENT AUDITORS. REPORTTOTHETRUSTEESOF THE ENGLISH STAGE COMPANY LIMrrED Matt¢rs Y4hith we are rtquired lo report by exceptio• We have nothing to report in respect of the followin8 rnatters where the Chariiies {Accounrs and Reryjttsl Re8ulaiions 2008 requi￿$ u5 to r¢port Its you if, in our opinion.. the tnformaiion 8iven in the Trustees. Report is Inc￿ls¢t￿l in any mat¢ri81 r¢spe¢i with the financial stht¢m¢nts', or th¢ par¢nt ¢h#rity has noi kepi s￿￿1¢1¢nI accounting records- or the parent charity financial 5tarem¢ntS 3r¢ not in agreement with the accouniing records and r¢iuTllS- or we have received all ihe infonnation and explan￿0￿$ we r¢quir¢ for our audit. Responslbllitles of trusites As explained more fully in ihe Trnstees. responsibilities staiemenl th¢ Trus[￿ (who are also the dirxtors of the charity for the P￿rposeS of company law) are responsyble for the prepararion of the financial 5taiem¢nts and for bein8 saiisfied that they 8iv¢ a irue and fair view. and for such internal coThirol as the Twste¢$ d¢t¢rffjine is rtecessaiy to enable ihe prep¥ation of financial statements are free from material rnisswtrnenL wlKth¢f due to fraud or trroT. In prepariog lh¢ finan¢ial sta¢¢m¢nis, the TrLL#¢¢S are rtsponsible for a%ses5ing ihe group's and th¢ par¢ni charitable ¢Otnpany'5 abtlity tts continue as a gtsing concern. dis¢losin& ￿ applicable. matters rela(ed to going and using ihe goiThg ¢on¢¢rn basis of a¢¢ounting unless the Trust¢¢s either intertd to liquidaie ihe group or the parent charitable cornpany or to c¢as¢ ￿TatIons. or have no reali5¢ic altcrnalivr bu¢ to do 50. Auditors. re5ponsibiltties for tbt a￿di¢ of the fjn4nci81 St*te￿¢￿ts We have been appointed as audiior under seclion 151 of the Chariiie5 Act 2011 and report in a¢¢ord•)ce with ihe Act and r¢l¢v>nl Tegulations tnad¢ or having ¢ffe¢t th¢reund¢i. Our tsbj¢rtiv¢$ are to oblain rca50nabl¢ assuTanC¢ about whetheT the fithancial Ma(ements 8 whole are fre¢ from material mi5Stalement. whether due to fraud or error. and to 1S5u¢ an Audittsrs. Report that includes our opinion. R¢a50nabl assurance is a high l¢vel of assurance, but j5 a guarant¢¢ audit conducted in accordance with JSAS IUKI will always d¢l¢d a mat¢rial mi55t3¢¢rn¢nt when it ¢Xl5ts. Mi55ts1ernetLts can arise from fraud or error and are considered material if. individually or in the wgate. they could reasonably be expected to influence Ehe economi¢ de¢isions of users taken on the basis of th¢$¢ finan¢ial siatements. Irregularities. inclLtdittg fraud. are instances of non compliance with 18W5 and regvlaiions. W¢ d¢stgn procedure$ in line with our respollsibilities. outlined above. to de￿¢1 maters81 missta*ments in rcspeu of irregularitie5. including fraud. The extrnt to which our procedures are capable of ddectin8 Irre8ulariiies. including fraud 1$ detailed below.. B¥¢d u￿1¢￿ts￿ding of th¢ Charity and $¢dor, w¢ identifi¢d that the principal risks of non-complianc¢ with laws and i¢gulations r¢lat¢d to industy s¢tior ￿gUlationS and unethical and ptohibited business practices, and wt considered the extent to which nonn5¢ lo th¢5¢ risks w¢r¢ ¢￿i¢d Qui. Th¢s¢ proC¢Jur￿ incluJ¢d- Dyscussions with managemenL including consideration of known or suspccted instatt¢es of non-¢ompliance with law5 and regulation and fraud. Reading minutes of meetings of those charged with governance. Obtaining and reading correspondencc from legal ar￿ rcgularory bodies including HMRC. Identifying aTLd t¢5ting journal eDtrie5' Challenging assumptions and judgements made by management in their Si￿0 ificani accounting ¢5timates. W¢ also communicated relevani ideniified laws and regulations and po*niial fraud ri5k5 to all engagement team m¢mber5.' and remained alert to any indications of fraud or nonrycompliance with laws and re8ulations ihrou8houi the audit. 12 INDEPEiYDENT AUDITORS, REPORTTOTHETRUSTEESOF THE ENGLISH STAGE COMPANY LIMITED Theie are inhertnt limitations tn the audit procedur¢5 de5¢rib¢d above and the furthei rtmoved non-conipliJn¢e with laws and regulations is from the events and Iransactions r¢fl¢d¢d in the financial statements. the le55 lskely w¢ would become aware of il. Also, the risk of noi detecting a material rni$s￿¢¢McTr¢ due to fla￿ is higher than the risk of not detectin8 one Ttsulting from error, &% fraud may Involvc dclibcraic concealm¢nt by. for example, for8ery or intentional misrepresentations, or Ihrough tollu$ion. A further d¢5cription of r¢spon5ibiliti¢s for th¢ aydit of the fthancia] ￿ateMentS is located on th¢ Financial Reporting Council's website ai-. www.frr.org.uklaudi¢orsrcsponsibili¢i¢s. This d¢script*)n forms part of our Auditors. report. Ust of our rtport This report is made solely to the chatiiable CoMpan￿S ttustees. a5 a body. in xcordanc¢ with Part 4 of the CharitlC5 (Account5 and Reports) RegulatlQll5 2008. Oui audit Wotk has been undertaktn so Ihai we might state to the chariiable ¢ompny's trust¢es thos¢ matt¢rs w¢ ¥r¢ re4Uiftd to $tate to them in an Auditots, ReJx>rt and for no tsther putpose. To ihe fllllest ¢xtenl permitted by law. we do not a¢cept or assume responsibility io anyone other than ¢he charitable company and its trustees. a5 8 ts)dy. for our al￿1¢ WOTK for this r¢port, Ot for the opinions we have formed. InAn Jones LLP Sthiuiory Alidito￿ ¥Ènd (It￿lnered AlC(b￿lI￿¢S 1gjjQ liitr¢iy. IATrndo "I'r 6LQ .//.￿2/ GoodmanJuncs l.l.P ary.¢!igitslc tiiJLYmy (srseL%1(￿ 1712 ofihtrLiimyiitL¥ A￿l 2OD6.. 13 THEEf4GLISH STAGECOMPANY LIMITED CONSOLIDATED STATEMEP4T OF FINANCIAL ACTIVITIES IINCORPORATJNG INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED31 MARCH 2021 De5ign*ttd and rtstri¢t¢d Restricted Funds Funds Total Fuhds 2021 Total Funds 2020 Endowment Funds r4•tes INCOME FROM: Voluntary inrom¢ Activities for generaiing funds Invcslmenl income 4280.051 163,419 1,695 1.067.6U 5.347.695 163.419 1.695 3,671,856 825.880 5.163 Total 4.445.165 1.067,644 5.512.809 4.502.899 Incoming ￿sourCeS from charitable activiiies Oth¢r incoming resources 42.940 45.456 42.940 .719.246 412.817 45.456 Totaj ltycoming resourtes 4J33561 1.067.6U WI305 6.634.962 EXPENDITURE ON: Costs of raiginE fund5 Cosis of 8¢neratin8 voluntary income Tradin8 Costs Tot#R ¢osts of raising funds ChaTltable *ttivities 371.834 569.659 371,834 169.659 Sll,896 610,944 541.493 541,493 .122.840 3.229,538 638,984 3,868.522 6.049.154 Total rt50ur¢es e%peDd¢d 3.771.031 638.984 4.410,01S 7.171,994 Net (exp¢ttditUT¢)fin¢ome before redevelopment expenditthrt RedevelopmeDt expendJtur¢ 762.530 428.660 {537.032) {758.452) 21 Net movernent in 762J30 428.6611 1.191,190 11.29S,4841 Balances brought for¥YaTd at l April 2020 B*lartce r#rritd forward •t 3] Mareh 763 782.620 137ASS 1.684.066 L979J50 2021 lJ26J21 1311.280 137.45$ 2875356 ,684,066 The incom¢ at¥t ex￿￿Oi1ur¢ detailed above all arises from Coniinuing operatio￿. The￿ were no di$corttintsed op¢rations in th¢ year. The charkty has no reco8nisedgains and lossesother than th¢)se above and th¢r¢fore no separaie St3t¢rn¢nt of Toial Rerognised Gains and Lossesh¥ been present¢d. Ther¢ is ryodiff¢r¢n¢e betwttn thtn¢t mov¢m¢ni In fund5 forih¢yearstated above and its hislorical cost¢quival¢nt. Th¢ not¢s on pages 17 to 35 fonn w of these financial stat¢m¢nts. THE ENGLISH STAGE COMPANY LIMITED Company T4￿Mber- 539332 CONSOLIDATED AND CHARITY BALANCE SHEETS AS AT 31 MARCH 2021 Group Charity 2021 202 2021 2020 Notes FIXED ASSETS Tan8Eble assets Tangible assets- redevelopment Inv¢stmenis Ila&b 574.286 746.860 574286 743.850 12 574.286 746.860 574.387 743.951 CURRENf ASSETS Stock Debtors- amounts falling due wiihin one year Advance expendlture on prcduthioths Cash and ¢ash ¢quival¢nts 13 14 7.947 338295 20,262 2,457.480 10,315 664.104 324.870 1.215,180 357.107 20.262 2,446.852 667.986 324.870 1.192.873 2.82J.984 2214,469 2.824.221 1185.729 CURRENT LVABILITVES Creditors." amount5 falling due wiihin one year Deferred itheom¢ 15 16 (490.329) (32.6851 (514.723} (762.540) 1470,4381 (483.074} {32,685) 1762,540} 1523.0141 11.277.263} 1503,123) 11,245,614) NET CURRENT ASSETS 2.300.970 937.206 2,321,098 940.115 TOT AL ASSETS LESS CURRENT LIABJLITIES 2.875,256 1,684,066 2.895.485 1.684,066 NET ASSETS 2075356 1th84,066 1195,485 1084,Ib66 CAPITAL AIYD RESERVES Uniestriciedfunds D¢signated fi￿d$ Gen¢ral funds Trading Subsidiaries 17 18 12 1.449.433 97.317 (20.2291 704,698 59293 1.449.433 97.317 704,698 59.293 1.526.521 1211380 137.455 763.991 782,620 137,455 1.546.750 .211.280 137.455 763,991 782.620 137,455 Restricted fund5 Endowmeni funds 19 20 TOTAL FUNDS 2J7SJ56 Ih84.066 2I9S.485 1.684.066 The Truste¢s a¢knowledRe their responsibilirie5 for complyin8 Wlth the requiremenis of tb¢ Act with respect to accounting rttord5 and the preparalion of financial statements. The finan¢ial stat¢JrieDts wer¢ opwoved and authoris¢d for issue by the Council on 4 November 202 1 and w¢r¢sign¢d b¢low on its behalf by= Anihi)iiy iiilitiili C'BE ChaiT The note5 on page5 17 to 35 forni pan of ih¢s¢ attounts. THE ENGLISH STAGE COMPANY LIMITED CONSOLIDATED CASIIFLOW STATEMENT FOR THE YEAR ENDED31 MARCH 21121 2021 21120 Cgsh tlows fro* optrxting 4ctiviti 1.242.441 150.890 C95h flow8 fro￿ investimg aeiiviiies Dividend5 and interest Pur¢hJs¢ of property. plant and equipment Iyet c*sh provSded byl(u5ed Sn) InvestiThg activltle5 1.695 S,163 (1.836 128,5611 1141) (23,3981 Change tn eash and cash equivalenis in ihe reporting period Cash and cash equivalents at the be8innin8 of the reporting period 1242 J .215.180 127.492 l.C+87.688 Cgsh and cash equlw8lt*ts at the end of the reportlThg ptriod 2,457,480 1.215.180 NOTES TO THE CASH FLOW STATEMEPIT 202) zozo RtconciJi*lion ofNei intomt io Ntt Cash Flow from Optrxfing Actiwilies N¢¢ in¢ome for tht reporting period D¢preciaiion charges Decre&sel{increa5el in debtor5 IDecrea5eVincrcase in credit¢)f5 Interest and dividends Decreasel(tncrease) in siock l.l91.1 174,410 630,417 {754.2491 (1.695) 2.368 (1.295,4831 936.792 34.486 476.557 (5.163) 3,701 N¢t cash PTovided byl(u5ed in) oper4tinK aelivitie5 1242.441 150.8 AD*lysls of Cash Cash Eguiwakttts Cash at bank and in hand Short terni deposiis 2.457,480 1.069.300 145.880 Totg1- 2.457,480 J21S.I80 16 THE ENGLISH STAGE COMPANY LIMITED NOTESTOTHE FINANCIALSTATEMENTS leonlimued) FOR THE YEARENDED31 MARCH 2021 GENERAL INFORMATION AND COMPANY STATUS The English Stsge Company is a charitsble company limit¢d by gtsaratltre ￿gIstered in England PTKI Wales. The registered office Royal Court Theatre. Sl(*ne Square. London. SW I W 8AS. The liability of eaeh mtinber in t event of wÈnding-up L5 limited lo £10. The Tnain a¢iiviti¢S of the charity are io fjnd. develop and PT(yJuce new plays. ¢r¢ating th¢ conditions for writets. rtationally and internationa]ly. to flourish_ PRINCIPAL ACCOUNTif4G POLICILS The finantial statements have beert prepared in aecordance wilh (he Charitie5 SORP (FRS 102) - Accounting and Reporting by CharitiC5= Ststernent of Recomrnended Pra¢tice applicable io charitie5 preparing th¢iraCco￿ntS in accord3n¢e with the Financial Reporting Standard applicable in lh¢ UK and Republic of Ireland {FRS 102) (eff¢r¢ive l January 2015) (Charitl¢5 SOtiP (FRS 102)), the Financial Reporting Siandard applicable tn the UK and Republic of Ireland IFRS 102) and the Companies Act 2006. A summary of the principal aecouniing poli¢i¢s. whi¢h have b¢¢nappli¢d ¢onsist¢ntly, are set out below. Thechariiablecompany isapubli¢benefitentiry under FRS102 and it 15 registered &8 a charity in England amd Wales. Ctsing tontern After tnaking appropriate enquiries. the Tntstees have rtasonable confidence that ihe Chariry has adequate resour¢es to ¢ontinu¢ in operational existence for the foreseeable ￿luTe. The Trusitts m¢t the Execulive team very r¢gularly for 6 monihs to dis¢uss what impacts ihe Covid-19 pandemic may have for the Chariry. Actions for both th¢ Charity ond Cat¢ring Subsidiary were deliberated usin8 key Jnfomiation such as ¢ash flow and accessibiliry to fjnancial supw)rt. The Trusle¢s wnsid¢r that the ongoing NPO funding and Successful applications in July and October for Emergency funding will en5UT¢ the Charity ¢an meei iheir commitments and liabilitits for the foreseeable future. Th¢ Catering Subsidiary was able to rerf>pen in the square this summer which provided financial 5¢curity as the th¢atr¢ r¢ open¢d. Accordingly. they continue to adopt tht going con¢ern basis in preparinE the fir￿n£la1 statements. Basis of atcounti￿8 The financial 5tstements are prepared in accordance with historical cosi convention. Ass¢ts and liabilities are initially recogntsed ai hLStorical COSE or iransaciion value unle55 Otherwis¢ 5tat¢d in the relevanl accounting poli¢y. The financial 5tatemenis are prepared in 51CTling. whirh is th¢ functional Curren￿ of the 8roup. Mondary amounts in these financial statements are rounded to the ntaresi £. The financial stat¢menT5 consolidate th05¢ of the Etjglish Stsge Cornpany Limited and its non-charitable subsidiaries Royal Court Theaite Produciions Limited and ESC c￿erIng Limiied. ThE r¢sults of these wholly- owncd trading subsidiaric5 are incorporated on a line by lit* bhsis in thcse filhancial statements. A further wholly- owned subsidiary. ESC Produeiions Limiied. has noi been ¢onsolidaied as it was dorniant for th¢ whole of the urrent and PTior years. No separate SOFA ha5 been presented for the Charity alone as permitted by section 408 of the Compani¢s Act 2006. The income and expenditure account for the year dealt with tn the accounts of the Charity was a sury)lus of £1.269.561 (2020= £1.295.484 deficii). Fortlg* currency Transactions whirh are denominatd in a for¢ign currency arc translated at the Ne prevailing al the date of the tfdnsaciion. Balance sheet items are iranslat¢d at th¢ rate prevailin8 ai yearvend. All differences are taken to the Stattment of Firhancial Activities. 17 THE ENGLISH STAGE COMPANY LIMITED IYOTESTOTHEFINAiYCIALSTATEMEiYTS(continued) FOR THEYEARENDED31 MARCH2021 PIUNCIPAL Accouf4TING POLICIES (continued) Fund actounting General funds are unrestricted funds which are available for wc at th¢ di$¢retion of the Council m¢mbers irt furtherance of the general obje¢iives of the ¢harity atsd which have not been de5ignattd for oth¢r purposes. Designaied funds comprise unresirhaed funds that have beert s¢t aside by the Council rnembers ft>r particular purposes. The aim and us¢ of ¢a¢h d¢siRnaied fund is S￿ oui in the noies io th¢ finan¢ial statemenrs. Restrictcd and Endowment funds ar¢ fvnd5 which are to be used in accordance with spccific T¢Strictions imposed by donors or which have been raised by the charity for particulaT PUTpose5. Th¢ ¢05t of AiSlll8 and administering such funds are charged against the sp¢cifi¢ fvnd. Th¢ airn and use of each restricted fund is set out in the notes in the fLnanciai ststemenLS. Jmtome lrtcome is r¢¢ognis¢d once th¢ Charity has et)titlement to the income. it is probable that the income will be received. and the amount of income receivable can be measured Teliably. Income tax recoverable in relation to donations received under Gift Aid or deeds of ¢ovetwii is reco8nised at ¢hc time of the donation. SpO￿$0r$hiP •Nd don4tion$ Sponsorship and donaiion5 are crediied to the Ststemtnt of Fivon¢ial A¢tjVllies in the year in which they are ¢£ivable or alternatively if sponsorship or donwions are 8iven for a specific play or PTOj¢Gt th¢n they are Credited in ihe year in which that play or project takes pla¢e. Gr4nt funding Grants are credited io the Staiement of FiT)an¢ial A¢tivili¢s in the year in whbch they are receivable. Th¢y ar¢ recognised when the above irtcome ieco8nilion criieria are mei and io ihe ¢xienithat any p¢rfotm3nce conditions attached to thc grants have been mct. Box offlte *Dd assoeixted lTrcome and expendithre Box office income eomprises ticket sa]es for perforniances and events in the Jtrwood Th¢atre Downstairs and the J¢rwo(>d Thcatr¢ Upstsits. For produ¢tions 0￿U￿￿n8 wholly within one fjnancial year, revenue is r¢¢ognis¢d ticket sale5 are made and all associated costs are written off in Thai fJnan¢ial year. Where produciions span rhe year•end ¢0sts 8nd in¢om¢ are ￿cOgnised in the year in which the press night of the related production takes plac¢. Trading iTrtoTht Trading income is stated cxclusive of valu¢ added tsx. Gifts in kind Gifts in kitjd are recognis¢d 05 inwming r¢50ur¢¢s when reccivcd. at the cost to the do￿￿. where iht am¢￿nI 15 material and quaniifiable. Interest re¢eiv*ble Inierest on funds held on deposit IS jrtcluded when receiwable and ihe amount can be measured rcliably by the ¢harity,' this is norn)ally 4tp)n T￿tIr1￿110n of the int¢r¢s¢ pwd or payable by the bank. 18 THE ENGLISH STAGE COMPANY LIMITED IYOTESTOTHEFINANCIALSTATEMENTS leontiBued) FOR THEYEAREJ¥DED31 MARCH 2021 PRINCIPAL ACCOUNTING POLICIES{t•Atitt•td} Resources expended All expertditure is a¢￿￿nted for on an accruals basis. Expenditure is recognised on¢e there is a legal or onstructive obligation to transfer economic benefit to a ihird party. li is probable that a transfer of econtsmi¢ benefjts will be required in selllemtnL and ihe amount of the obli8aiion can be measuTed reliably. Expenditure has b¢¢n c13ssifi¢d und¢r the hegdin8s ihat aggregate all cos15 T¢lat¢d to the caie80ry. Whcre costs cannot be directly attributed ro panicular hfadings they h#v¢ ileen allocated on a basi5 consisl¢nt with use of resourcts. Costs ar¢ attiibui¢d in proponion to the nvmber of employ¢¢s diredly enEaged in each arta of ￿tiVity. All expenditure is inclusive of any 7￿c¢0veTlblC VAT. Support costs Support ¢osis comprise the indirect Costs. including staff relaiing ro ihe charitabl¢ a¢tÉvilies and are attributed in proportion to the directly associated activity- Redundanq and tern)inY4tion costs The charity recognises employee redundancy and terMiT￿l0￿ Costs in fvll on the da￿ th¢ redundancy or terniin81ion is confirnied. Governafyce Cos15 Gov¢rnanre cost$ are ststed ¥ a sum total of the audii fee and any Board related costs in the year. Pension eosls and other po$¢*reliremeThl benefits The charity opeiaies a defined conirtbution pension scheme. Contributions payable io ihe charity's pension scherne are rhar8ed to the Siatement of Finartcial Actlvjlies in the period to which they relate. Operxting kases Rentals applicable to operaiirt8 leasts are char8ed to the Staiemtnt of Financial Activities on a straiBht-line basis over the lease tern)s. T*ngitJle Fii¢d Ass¢l$ (in¢ludiog Tedtvelopment) All as5¢ts arc inrlud¢d at th¢ir pur¢hase PTite tO8ether with any incidentsl costs of x4uisitiOn. Tansible fixed assets are carried at cosL nei of depreciation and any provision for impaiTm¢nt. Assets wilh a value below £300 are not ¢apitalised. Assets whi¢h are ¢o-dependeni and have a combined value of £300 and abov¢ ar¢ capiialised. A review for impaimient of a fixed asset 15 carried out if ¢V¢Dt$ or ¢han8es in cArctsmsrances indicate that the carryin8 value of any fixed asstt may noi be recoverable. Shortfalls b¢tw¢¢n the carrying value of fixed assets and their recov¢rJble arnounts are Te¢ognised as irnpairments. Impaimlent 1055es are recognised in Siaternent of Financial Activities. Depreciation and amortisation of tangible fixed is carried ustng the straight liD¢ method over the following PeTiods_' Leasehold P￿MiseS/[mproyeMCnts Stage athd LiBhtitl8 Equipment Plant Equipmen4 Fixtur¢s and Fittith8s Lifdim¢ of the l¢•se 3-10 years 3-10 yeaTS 19 THE ENGLISH STAGE COMPANY LIMITED NOTESTOTHE FJNANCIALSTATEMENTS(c(•ntlnued) FOR THEYEAREJ¥DED31 MARCHZ•21 PRINCIPAL ACCOUNTING POLICIES Ito#tiMutd) Siotk Stock in the wnsolidat¢d a￿o￿nts r¢pr¢s¢nts fo(Ml. liquor. disposable items. books. play texts, pro8ramme5, and merchandise held for resale and is valued at lh¢ lower of ¢o5t and net tealisable value. At each balance sheet dale, stocks are assessed for impaimient. If stock is impaired. the carrying amount 15 reduced ￿ its selling pric¢ less costs ￿ comple* and sell. The impaimient105s is recognis¢d immediakly in profil or10sS. D¢biors Short-temi debtors are measured at transaction price. les5 #ny impaiment. Loans receivable are Metysu￿d initially at fair value. ftet of transaction costs. and *e me&sured subsequently ai amortised ¢ost using the effective interc5t method. less wiy Lrnpairment. Advance expeDditure produ£tioDs These con5l5t of exptndiiure incurred tn respe￿ of productions in the future period and art carried forward on the balance sheet until they are eXpet￿ed in the period that ihe Telaied production has its press night. Cxsh ¥1 Bank and in h¥nd Cash 21 bank and in hand in¢ludcs rash aDd s￿￿rt temi highly liquid invesiments with a short m*uriiy of three months or less from the dale of acquisition or opening of the deposit or similar ¥r¢ounL Creditors Creditors and provisions are recognised where the charity has a prcs¢nt obligation resultin8 from a past tvent that will Probably result in the ttsnsfer of funds to a third pa]ty. and the amouni due to Settle the obligaiion Can be measured or estimaied reliably. Liabilities are rccognised at the amount that the Charity aniicipaies it will pay to settle the debt or the amount it has received &$ advanced payments for the goods or 5¢ryices it must provide. Provision5 are measured at ihc bc5t estimat¢ of the amounts required to settle the obli8ation. Wherc the effert Of the timt value of monty 15 material. the provision is based on the PTC5¢nt value of thos¢ amounts, discountcd at the pre40x dis¢ount rat¢ that r¢fl¢¢ts the risks specific to the liability. The unwinding of thc discount is recognised within interest payable and Similar chaJges. Deferred income Income received in the year is deferred where ihe event to which the inwme relates is happenin8 in a fvture period or Whe￿ the p¢rfomian¢e ¢onditions attached to the fundin& have not been md. FiD¥D¢ial in5trume•ts The charity only has financial &sseis and financial liabilities of a kind ihat qualify as basi¢ finartial instruments. Basic finanri#l instruments. inrluding trad¢ and other debt0￿ and ¢r¢ditors #rt initially reco8rtised ai iransaciion value and subsequenily rn￿ured at their settlemeni value. Critic*1 aceountlng Judgements and esti￿*(C5 In th¢ application of the ac¢ounting policies, the Trnste¢s are required to make judgemeni. esrimares. and assumpiions about the canying value of as5eis and liabilities that are noi readily app•r¢nt from other sources. The esiimates and underlyingassumptions are b￿d on histori¢a] experience and othei factors that are considered to be relevant. Actual results may dkffer from these e51imaies. The esiimate5 and underlying assumptions are reviewed ort an oftgoirtg basis. Revisions to accounting estim*es are recognised in the period in which the cstimat¢ 15 ￿vISed if th¢ ￿ViSIon affects only thai period. or in ihe period of th¢ revision and future peiiods if the revision affected current and future F)tritrJs. In the view of the Trusiees. no assumptions ¢on¢¢rning the fvtyTe or estimation un¢erfainty affeetin8 assets or liabilities ai the balance sheet date are likely to Yesult in a material adjustment to their carrying amounts in (he next finanrial y¢ar. 20 THE ENGLISH STAGE COMPANY LIMITED NOTESTOTHEFINANCIALSTATEMEKfs(¢0otlnu¢d) FOR THEYEARENDED31 MARCH2O21 VOLUNTAR Y INCOME Uart51ricied Funds Rtslri¢ted runds To¢91 2021 Sponsorship and don*ti¥Jns Ptrformxoce Trust5 and Foundation Individual donations Corporate S￿nSorShip 46,468 149.113 IQO,262 195.581 100,262 46.468 254J75 300.343 CenerAI xctivliy intJudinE C•pii*l Trusts and Foundation Individual donations CorpoTa¢¢ SJx)nsorship 67.IXKI 500.315 105.104 7.5 74.500 500.315 105,104 672.419 7,5Q) 679.919 Writer aid Play Developmellt Trusts and Foundation lthdividual donaiions Corporne Spon50tships & Ev¢nt5 40.(X)O 25.910 40.000 25.910 65,910 65.910 PArtltlpstioTr Trusts and Found¥iion Individual donati¢Jns Co4Jorate Sponsorships & Events 31,000 31,iX 36,(K 36,000 Total spoTrstsrshbPS a￿d do￿*110115 718.887 i63,785 1,082,672 Publit Funding 3.561.164 703.859 4.265.023 Total Voluntary in¢om¢ 4,280,051 1.067.644 5.347.695 Public Funding relates to grants rtceived flom Arts Council. British Council. Great London Authority and income r¢G¢iv¢d from the Corona vin￿ Job Retention Schcme. Corpornie sponsorships includes £205.366 (2020.. £144J3 l) of corporne membership and co4)orate sponsorship fee5. This disclosure allows incortJ¢ to be ¢onsist¢rtt and in line with th¢ costs to generate this income. which is inclL]ded in fundraising costs within noie 6. 21 THE ENGLISH STAGE COMPANY LIMITED NOTESTOTHE FJNANCIALSTATEmEP4TS(contill￿ed) FOR THEYEARETr4DED31 MARCH 2•ZI 34. PRIOR YEAR VOLUNTARY If4COME Unrestritted Fund$ Rt5tricted funds Total 2020 SpoThsorship donations Perforn)#nct TTUSt$ and Foundation Individual donation$ Corporate Sponsorship 104.833 49J85 104.833 103.810 54.425 S4.425 154,218 208.643 Gen*r#l #tllwity i•¢luding C•pil*l Trusts aiid Foundation Individual donarions Corporate Sporbsorship 24.100 476.637 144,331 645.068 31,100 476.637 144,331 652.068 Writer #Kd Play Dtvejopnjent Trusts and Foundalion Individual donations Corporaie Sponsoi$hips & Events 37.5 87.640 37.500 87,640 125,140 125,140 Participation Trusts ènd Foundaiion lrtdividual donations Corpornte Sponsorships & Evenls 111.864 35,918 111.864 35,918 147.782 147,782 Totsl spottsorships 699,493 434,140 ,133,633 Pubjie Fundithg 2.311.234 226.989 2.538.223 Totgl Voluntary i￿ome 3,010.727 661.129 3.671.856 22 THE ENGLISH STAGE COMPAf4Y LJMITED NOTESTOTHEFINANCIALSTATEMENfs(toDtiNued) FOR THE YEARENDED31 MARCH 2021 INVESTMEIYT INCOME 2021 2020 Interesi bearing deposits 1.695 S.163 1.695 5.163 All investtn¢n¢ income in the current and th¢ prior year relaies to unresLtieL¢d funds. INCOMINC RESOURCES FROM CHARITABLE ACTIVITIES 2021 2020 Box offict and assotiattdiniome Box office iKconfte Jernvood theatre downstairs Jerwood thcalre upstairs Royalt¢¢slfees Outside eoniribution5 to pr￿l￿ti¢m5 1,369.937 266,246 32,013 51,050 35.490 7,450 42,940 1.719,246 By gtogr¥phie¥l 5egmeMt: United Kingdorn 42.940 1.719.246 42,940 1,719.246 All incoming resotsrces from charitsble a¢tiviti¢s in th¢ turrent and ihe prior ycar rrlates lo unrestricted fund$. COSTS OF CHAWTABLE ACTIVITIES Support Costs Costs 11)21 2020 Performght*$ Resiricied Unrestrictcdldesignated Play development ResTrid¢d UDr¢strictcdldesignaied Gtntr#l xctivity ResiTiCted Uniestrictedldesignat Education writer developmeTrt Restricted UnT¢styid¢d/de5i8nated 313.975 .287.677 313.975 1.926.578 638.901 4.234,473 115.219 448.9)6 115.219 592,49) 354.755 371.006 143.584 7,5 214.589 146.204 247,105 153.704 461.694 153,204 319.486 56.086 144.765 56.086 248,776 272,478 162,601 104.011 Total costs •fcb•rii*bl¢ >¢tivity 2.588.717 1.279,805 3.868,522 6.049.154 Toial costs ofchoriioble aclivity ix 2020 4.806.323 1.242.831 6,049,154 23 THE ENGLISM STAGE COMPANY LIMrfED NOTESTOTHEFINAficIALsfATEMENTS(eontiDwedl FORTHE YEARENDED31 MARCH2021 RESOURCES EXPENDED St*ff Costs er Costs Dtpretiatio 2021 Costs of generaied fuAd5: Trading cosis {unrestrictedl 151.648 169.659 151.648 15.(Kll 3.010 169.659 Costs of generating voluntary income.. Fundraising ¢o$ts {unrestri¢tedl Marketing and publi¢ity (unr¢styicted) 180.435 156.626 5.184 29.589 185.619 186.215 337￿61 34.773 371.834 Cwjts of charitsble activities: PToduction costs lunr¢$tri¢l¢dl ProdLKtion costs (restricted) Support costs (unrestricied) Support ¢ost$ IT¢StrirL¢d) 1,462J32 239278 485280 515,934 7J(M) 1,701.610 485,280 1.527.928 153.704 986.796 25.198 146.204 2.M9.128 1.247.992 171.402 3.868.522 Total resources expertded 2.937.837 1297.766 174,412 4.410.015 PRIOR YEAR RESOURCES EXPENDED Stsff Costs Other Costs Depreciatb)n 2112 Costs of generated funds". Tiadin8 W5ts {unr¢51ri¢t¢d) 350,914 257.908 2.122 610,944 350.914 257.908 2,122 610.944 Costs of generatiAg voJuntY4ry income: FutJdrai$ivg ¢o$ts (unrestricted) Marketing and publicity (unrestri¢t¢d) 209.6 206.422 20.(K16 75.868 229ffj06 282.290 416.022 95.874 511,896 Cogts oftharltable aciivltkes: Production costs lunrestriciedl Pioduction w5ts Ir¢strici¢d} Support Costs lunrestricied) Supp)rt costs Ire5tricted) 2.270925 64.918 834.159 1222.514 743.466 729,950 3.493.439 808J84 .594.127 153204 30.018 146.204 3,170,002 2.702.930 176.222 6,049,154 T+Jtal resources expended 3.936.938 3.056,712 178 J44 7,171,994 24 THE EP4GLISH STAGE COMPAf4Y LIMITED NOTESTOTHE FINANCIALSTATEMENTS{continued) FORTHE YEARENDED31 MARCH2021 NET INCOMINC RESOURCES 2021 2OZO Net incomin8 Tesourees is stated after credittll8'. Intere51 receivable Nei incoming resources is stated after charying: D¢pr¢ri#tion Depr¢ciation- rcdev¢lopm¢nt Auditors, remwier*ion 1.695 5.163 174.412 178.344 758.453 16.000 16.( Indemnity in5uranc¢ for Counril M¢mbe￿. liabrlity has been put¢hased by the clwAy. Th¢ Auditorf$ remuneration include5 Costs of auditing thc charity and group. EMPLOYEE INFORMATION 2021 Numbtr 2020 Number The average weekly number of full-time equivalent pe￿On5 employed during the year was". P¢rfornian¢¢s Play developmeni General activity Education ESC Catcring Ltd 43 10 16 70 10 15 14 80 Key manlgtment salary afyd pension Th¢ following Staff comprise k¢y mana8emeDI ond their remuneration is as folkjws.. The fjve member5 of the Senior Managemenr team received a to￿ r¢muneration pa¢k•g¢ of £358.939 {Salaries and Nl.. £346.316, Pension.. £12.623). In ihe prior y¢ar th¢se tt)sts were £389.560 (Salaries and Nl.. £337.018. P¢Th5ion'. £13,360). Redundaney payments of £l2.629 were made in the ye4rw three employces12020.. £nill, whi¢h is krtcltsd¢d within wages and salaries. One employee receivedemolumenis beiween £60.000 and £70,000, oncemployce rcc¢iv¢d ¢molurnents between £70.000 and £80.LhYJ. and one employee beNeen £80.CiIO and £￿.000 during th¢ CUTr¢nt ￿rIOd12020-. One employee received emolumenis bemeen £60.000 and £70.OfKI. one ¢mployee received cmoluments b¢tw¢¢n £70,000 ond £80,IKK). and one employee beNeen £90.OLA) and £lOO.(rfJO). None of the Trustee5 rcttived unoluments in that Capacity dwing th¢ curr¢nt or previous p¢nod. The Charity has not reimbursed expenses incurrcd by any Trus￿¢. 25 THE ENGLISH STAGE COMPANY LIMITED TrIOTESTOTHEFINANCIALSTATEMENTS(foTrtinued) FOR THE YEAR ENDED 3J MARCH 21121 EMPLOYEE If4FORMATIOtY {c•tttiN#ed) 2021 2020 Tot*1 staff tosts Wages and salaries Social security costs Perk%ion tosts 2.667.028 205.430 65,379 3.602,189 249.196 85,553 2.937.837 3,936.938 ACTIVITILS FOR CENERATING FUNDS 2021 2020 Summary Tradin8 and catering sales Less.. Trading and catering purehase5 Catering statTins 163.419 825.880 {260.0301 {350.914j (151.648) Nét {defitiiytontribution from ¢r*ding ictivities {6.240) 214,936 ESC CateTin8 Limited- Note 12 Royal Court Theatr¢ Produ¢lion5 Limitrd- Notr 12 149.167 2.412 151,579 11.840 682.705 308 683.013 142,867 Oth¢r irading activities Totsi in¢orn¢ 163.419 825J80 Les5= Tradin8 Costs (169.659) {610,944} Net tfyntribuii•n frnm trading ¥Jttlvltlu (6.2401 214936 All income and expenditure for activiti￿ for g¢n¢rating funds in Ihc current and the prior year relaies to unre5trici¢d funds. JO. TAXATION ThE entity 15 a r¢gi5*red chariry. and ¥ s￿h ts entitled to ¢¢Main ¢x¢mpiions on any 5urpluse5 on irading aaiviiie5 carried in furtheranc¢ of the charity's primary obJech"v¢s if these $urylu5¢s ar¢ appli¢d solely forcharitable purposes. English Stsge Company Limit￿ arHI its subsidiaries ar¢ 5wdaTd ratcd for VAT. THE Ef4GLISH STAGE COP*lPANY LIMITED NOTESTOTHEFINANCIALSTATEMENTS{cootilltred) FOR THE YEARENDEDJI MARCH 2112) Ila. TANGIBLE FIXED ASSETS Leasehold premises& imPTovement Stage and Ilghiihg equipmemt rixture5 & Fittings Group Toi#l Cost At I April 2020 AdditLons Disposals Ai 31 M#r¢h 2021 2.535.181 469.780 290.287 1.836 156.668) 3.295,248 1.836 156.668) 3.240.416 2535.181 469.781 235.455 Dtprtciation At I ApTiI 2020 Charge for the yeai Eliniinai¢d on disposals Al 31 March Z021 1,996,874 297,845 39.451 253,667 11.270 156.668} 2.548,386 174.412 156,668) l2i.691 337396 20U69 2,666.130 Nei Book Value At 31 March 2021 414.616 132.484 27.186 574,286 Ai 31 March 2020 538.307 171.935 36.618 746.860 Illx TAPIGIBLE FIXED ASSETS L**sthold premises& improvemeDt St*ge and Itghting eqllipment Plant, equiprn￿t rix*urt5 & Fittings Charity Total Cost At l April 2020 Additions DistK>sals At 31 March 2021 2,497,842 469.779 286,957 1.836 {56.6681 232.125 3254.578 1.836 56.668) 2.497J42 469.779 3.199.746 Dtprrtia¢ion At l April 2020 Charge for the year Eliminaied on di5P05als At 31 Marrh 2021 1.958,802 299ffj23 252,301 2,510,726 120.681 39,451 11,270 {56,668) 20&903 171,402 (56.6681 2,625,460 2,079.483 339,074 Net Book Value At 31 March 2021 418J59 130.705 25.222 574.286 At 31 Morth 2020 743 850 27 ""THE ENGLISH'STAGE COMPANY LIMITED . NOTESTOTHEFINANCIALSTATEMENTS(eonliuwed} FOR THEYEARELYDED31 MARCH 2021 Ilc. TANCIBLE FIXED ASS￿$ Plant & *chihtry* rixlure5 th ritiings Stsgt and lighliTrg orrLtt & computer t4uipmtnt R￿ey*lopMen1- Growp & Ch*rity premises Tolal Cost At l April 2020 l8J49.196 548.167 3.076,233 1,195,291 23,168,887 Dtprecialion At l April 2020 Char8e for the ycar 18.349.196 758.453 548.167 3.076.233 1.195.291 23.168.887 758,453 At 31 March 2021 18.349.196 548.167 3.076.233 1.195.291 23.168.887 Iyel Book Value At 31 March 2021 Al 3 l Ma￿h 2020 FIXED ASSET IPIVEsfMEP4TS Croup Cb*rlty 2021 2021 2020 2020 Interest in group undertakin￿. Cost ioi Net ￿0k VAlue IY*mtol undertaking Andtountryof in¢orporAtion and registration Description of shares held Proportion of nomin91 value of i55ue5 $h8re ¢apil¥l Royal Court Theatre Produ￿10￿ Limit¢d IVK) 100 Ordinary 5har¢s of £1 cach ESC CaLerin8 Limited l Ordinary share of £1 each The nomial aciivity of Royal Court Theatre Producti(KL5 Limitrd is th¢ wmm¢rcial exploitstion of plays produced by Ihc English Stage CompwLy Limi1￿. loo% Th¢ xtivity tsf ESC Catering Limited isto ser¥e fwd *)d dTink to Royal Court pa¢ron5 and the generaj public in the Royal Court Caf¢ Bar in the b&sement and ￿￿￿bY B*r. The charity also own5 100% of th¢ issued share capiuj (l ordirtary share of £1 ts¢h) ESC ProduGlions Lirnit¢d. This tornpany is dormant and has not traded in either the current OT the priory¢af. 28 THE ENGLISH STAGE COMPANY LIMITED NOTESTOTHEFINANCIALSTATEMENTS(tontinved} FOR THE YEARENDED31 MARCH21b21 12. FIXED ASSET INVESTMENTS (¢ontiwued) Roygl CourtTheatre Productiow Limited ESCC*ttring Limited 2021 2020 2021 2020 Profit 1055 •ttount Tumovey Cost of sales 149.167 1162.9921 682,705 (561.0591 2,412 308 Grojs profit {13,825) 121,646 2.412 308 Other 0￿rating ex￿n$t5 (6.404) (107,501) {471 (461 Operatiwg 005syprofit (20.229) 14.145 2.365 262 Nct inter￿¢ receivable 68 ProfiU(loss) for thé fittAttci*l year b¢foT¢ tsy (20229) 14.145 2.366 330 Tax ¢Jn profit for the year PrOfi￿{lo$S) for the fin*nti*l year #fttr t*s 120.229) 14.145 2.366 330 Payments under deed of covenan( to parent charity 114.145} {2.366} {330) Profit and loss account carry fwward (202291 Royal CourtThtalre Produttions Limiied Z021 ESCC*itring Limiied 2021 2020 2020 Fixed *ssets Tangible asser5 3,010 CurreAt *sset5 Stock 7.947 7.547 IOJ15 11.252 Debtors and prepayrn¢nts Cash at bank and in hand 6.895 20.623 3.733 1.684 22J89 42,190 3,733 J,684 Crediwr5= amoun15 falling due wihin one year (42h17) {45.l991 (3.6331 11,5841 Total assets less ¢urr¢D¢ liJbilitle5 100 Net gssttsl{li*biliti¢5} 20 IOD loo CgpitAI and Restrvt Called up share eapitsl 100 Profil and loss aecouThl 1202291 Equity sh*reholdtrs' fund$ (2113281 100 29 THE ENGLISH STAGE COMPANY LIMITED NOTESTOTHE FINANCIALsfATEMENfs(tontinued) FOR THEYEAR ENDED31 MARCH 2021 13. STOCKS Group Charity 2021 202 2021 2020 Caterin8 $Lock 7.947 10.315 7.947 14. EBTORS.. falliDgdue wilhiTr ont year Group Chgrlty 2021 2020 2021 202 Trade debiors Due from Subsidiary undertakings Other taxation and social 5ccurity Orh¢r debtors Pr¢payments 82.553 95.760 30.264 23.993 23,806 87,878 141.166 95.760 15,134 12.248 422,256 122,588 23.806 85,512 146,424 12.248 427.185 128,911 3￿295 664.104 357.107 067J86 Js. CREDITORS: gmountsfalliwgd¥¢withi oneye*r Group Charity 2021 2020 2021 2020 Trade creditors Taxarion Ocher taxaiiort and social ￿¢￿rI Other fT¢ditQT5 Accruals 239.641. 15.467 56.333 23,996 154.892 292.555 15.580 73,694 19.524 13,370 239.641 290.597 55.976 23,002 151,819 63.660 19,524 109.293 490J29 514.723 470,438 483.lJ74 16. DEFERREDINCOME Group Ch*Tity The mov¢meni ith deferred in¢omr is ¥noly5ed below: Deferred income bTOU8ht forward at l April 2020 Atnounrs released from pr¢vious y¢aTS Incoming resourc￿ deferred in the year 762.540 {762.5401 32.685 762.540 1762,5401 32.685 Deferred incom¢ Carried forward to 31 Marth 2021 32.685 32,685 The¢h8rityTeceived income relatin8 LO produ¢tiOn SPOnSOTsbip and other aclivitics in advance of the upcoming year. THE ENGLISH STAGECOMPANY LIMITED NOTESTOTHE FINANCIALSTATEMENTS 1¢oniith￿ed FOR THE YEAR ENDED31 MARCH 2(121 17. UNRESTRICTED FUNDS- DESIGNATED FUNDS Group 4nd Charily C*pi¢•l R¢plgcement TheatTt WritiDg Funo COVID Developments Recovery Fund Tot21 At l April 2020 Sponsorship. donation5 and other income 174.152 267.840 262.706 704,698 TTan5fers ioo,o 40.(IJ) 615.OOD 755,000 EXpendi￿re (10265) 110.265} At 31 March 2021 243187 307 262.706 sisooo .449.433 The Capital Replacement Fund is used io seryice the depreciation charge on capithl purchase5 not funded elsewhere and matches net book value of th¢ relevant group of tangibl¢ ass¢ts. The Theatre Writin8 Fund is us¢d to Gov¢rwmmis5ion payments, lièbilitie5 aiisingthrov8h timingof 5¢fipL delivery and expenditure on shows and play d¢v¢lopm¢nt. The Future Development Fund is held for futurt work*d xrivity. This is considerd by th¢ TnJste¢5 when lookin8 the re5¢rv¢s policy. The COVID Rcwvcry Fund will erbsure donations received forthe retovery of the theatTe's activities and fabTiC are tsstd accordingly. 18. UNREsfRJCTED FUNDS- GENERAL nJNDS GTOUP Charity At l April 2020 Intoming re50ur¢¢s Transfer to designaied funds R¢sour¢es Expended 59,293 59,293 4.533.561 4.384,347 1755.000) {755,000} {1,760.7661 (3,591.3231 At 31 March 2021 77.088 97J17 31 THE ENGLISH STAGE COMPAT4Y LIMITED IYOTESTOTHE FIiYANCIALSTATEMENTS{coDtinued FOR THEYEAR ENDED31 MARCH 2021 19. RESTIUCTED FUP4DS B*l*A¢e l April 21121) BAlaTrce 31 Mareh 2021 Trntt5fers Expendittsrt N¢vill¢ Blond Fund Clare Mclntyre Fund ACE Capital Projeci Fund Participaiion Fund InierThaiional Play Development Capital Ma¢¢hed Funding Writer Developmeni Legacy Fund New Playwrights Reopening Fund Cultural Recovery Fund 16.082 9,838 369260 57.931 15.777 210.574 51.500 31.658 20.(KKI 16.082 11,238 276.152 37,845 15.777 157.478 26.51)0 34.808 20.000 237.375 378 025 193.108) (56.086) {28.859) {60,596) (85.0(Y)) (1.3601 (5,1￿0) (12.0(Xl) 296.975 36.IKMI 28.859 7JOO 4.510 249.375 675.0 782.620 1.067.6U (638.9841 1,211,280 The N¢vill¢ Blond Fund wasset up In 1987 to tommemotate Neville Blond and is used to provid¢ bursaries for young writer5. The Clare M¢lntyre Fund wa5 set up in 2010 to support wrirer5' auachments 10 the theatre. The Royal Court Development ACE fvnd wossei up in 1995fy6. IL repr￿¢￿￿ the Arts Courtcil EnglAnd's ¢ontributtons io the Capital redevelopment of tht theatre ai Sloane Square ani5 it is reltssed 10 the Ststernent of Financial Aciivit)C5 over the life ihe a55Cts It ha5 fund¢d_ The ACE Capital Project Fund Is the grant awarded for the rebJ￿1￿ment project and ivill be deprEGiattyJ proptsrtionally. The Parricipaiion Fund is dedicaied to ¢ncourdging and devclopirlg young wriiers. We aim to show-case the work by Putttng on a bi-annual Young Writ¢rs F¢stiv81. Thelnternatimal PlayDcvelopment and Perfomianceis dedicaled todevelopin8and nurturin8ploywritin8talent outside theVK. The Capital Matched Fund was set up to provide a matched ￿ntributi1)n a5 part of the capital. The Writer Development irtitiative support5 th¢ play d¢v¢lopm¢nt Work of the Royal Court Thtaire. Le8acy Fund relaies to donations in m¢rnory of a member of staff that is to be pui towards a PTojeci in the next year. Thc New Playwri8hts initiative supports ihe devel¢Jpmcnt and produdion of plays at the Royal Court Th2atre. The ReopeninB Fund is rn￿¢ yp of restric￿ funds don￿ed io support the theatre and cultural iecovery when ihe doors re- opened and we were abl¢ lo stage work. The Cultural Rwovery Fund is a restricied fund from th¢ Arts Couneil which enabled us to re-open with a programme of work under 5wial distancing measures. The iim¢tabl¢ for this WOTk ¢hanged after theatres had to close in the first part of 2021 but w¢ w¢r¢ abl¢ lo Carry funds forward. 32 TH£ ENGLISH STAGECOMPANY LIIIUTED f40TESTOTHE FIIYAIYCIALSTATEMENTS{¢ontimued) FOR THE YEAR EP4DED31 MARCH21J21 20. ENDOWMENT FUP4DS 2021 202(1 Balanc¢ at l April 2020 Inve5tmeDI inwrne ExpendiNre- management costs Nei 8ainlllos$) ort tevaluatio 137.455 137.455 BalaTh¢e * 31 Marth 2021 137.455 137.455 Theendowment fund wa5 rett1v￿ in 2008 and i5us¢dtcisupportn¢wEommi5sions. 21. REDEVELOPMENT 2021 2020 Depreciation on redevelopment capital R¢strirted ACE grant ￿1¢•5 758,452 (758,452) 22. ANALYSIS OF GROUP NET ASS8TS BETWEEN FUNDS Nti ¢urrent *SSttsl Oiabilitiu) Tangible rixed assels Lo*g term liabililies 2021 2020 Tot*1 Investmeats TotHI Restricted fi2nd$ Unrestricted fijnds Endownent funds 1.211.280 952.235 137.455 1,211,280 1,526.521 137.455 782.620 763.991 137,455 574,286 574286 2.31hJ.970 2.875.256 1,684.066 PRIOR YEAR ANALYSIS OFGROUPP4ET ASSETS BETWEEN FUNDS Net current *$stisI (liabilities T*nEible fixed asstts Lt)thg t*.Ym liabilities 2020 Total vestments Restricted fvnds Unrestricted fvnds Endowmeni fvt 782,620 782.620 763.991 137.455 746.860 137.455 746,860 937,206 1.684,066 22. CAPITAL Th¢ charity 1$ a Cornpany limitcd byguararnee. Each Council metnber has uTrdertaken to contribute£lOttstheassets of Ihecharity to meet its liabiliti¢s ifrallcd to d050. Thctotal amount8Uoranteed by Council members at 31 March 2021 15£14012020.. £140). 33 THE ENGLISH STACE COMPA14Y LIMITED NOT£STOTHÉFINANCIALSTATEMENTSl