The Isle of Wight Railway Company Limited Audited Financial Statements For the Year Ended 31 December 2022
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED lilmited by Guarantee and not havlng any share capltall CONTENTS Page Chairman's and Financial Report General Manager's Report Futurè Vlsien Charity Information rrustÈe5' Report 9-11 IndependentAuditors' Report 12-14 Consolid3ted Statement of Flnancl81 Activities 15 Consolidated Balante Sheet 16 HDldin8 Company Balance Sheet 17 onsolidated Cashflow Statement 18-19 klold5n8 Company Cashftow Ststement 20-21 Notes to the Accounts 22-36 Detailed Income and Expenditure Account 37 Schedule of Expenditure 38-39 Tradln8 C¢>mpany Detalled Income and Expenditure Account 40-41
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED Iumlted byGuarantee and not having any 5hafe rapltall CHARITY INFORMATION REGISTERED OFFICE AND PRINCIPALADDRESS The Rallway Statlon Haveftstreet Isle of Wight P033 4DS COMPANY NO 1(168690 IEn¥8nd and W31egl CHARITY NO 280918 DIRECTORS AND TRUSTEES The directors of the charitable company I"thÈ tharity'l are Its trustees for the purpose of charity law and throughout thls report are collectlvely referred to as the trustees. The tru5tee5 serving durln8 the year and slnce the year end were as follows: Anthony Barry Lorraine 8uckman Stephen Castle Graham Dee8an Stu8rt Duddv Isaac Farnbank George Felton Simon Futcher Marc Mwgèn-Huws Stephen Oates Stephen Smart Malcolm Smith PeterTaylor Ichaimianl Peter Vail lain Whitlam CHANGES IN TRUSTEES DURING THE YEAR Lorraine Buckman Isaac Farnbank Peter Vai Derek Bishop Peter Conway AndW Merritt Appointed Illune 2022 Appointed 11 lune 2022 Appointed 11 June 2022 Resi8ned 11 June 2022 Resigned 11 lune 2022 Resigned 11 lune 2022 SECREtARY lain Whitlam FORM OF ACCOUNTS Consolldated accounts of The Isle of Wight Railwav Company Llmlted and IWR Tradlng Ilmlted. CHARITABLE STATUS Tho company is a UK Registered Charlty No. 280918 BANKERS Uoyds Bank PLC 22 St Thomas Squa Newport Isle of Wight P030 ISQ SOLICITORS Eldridges 36-37 Stjames, Streèt Newport Isle of Wl8ht P030 ILG REGISTERED AUDITORS Brlght BrowD Llmited Exchange House St Cross Lane Newport Isle of Wight P030 5BZ
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED (Llmlted by Guarantèe and not havlng any share capital) TRUSTEES. REPORT FOR THE YEAR ENDED JI DECEMBER 2022 The trustees who are also dirertors of the charity for the purpose5 of thè Companiès Att 2006. present their annual report with the fSnancial statements of the group. parent company and its subsidiary und£rtakin8s for the year ended 31 December 2022 which has been prepared in accordance wlth ststutory requlrements IFRS102 and FRS 102 SORPI and the charitable company's governlng document. The légal and administrative infomiatlon set out on pagp 8 form5 part of this report. GOVERNANCE The 151e ol Wight Railway Company Llmlted is constitutèd under its articles and mernorandum and Is a Feglstered charity no. 280918. It was inwrporated on 13th Au8ust 1972. Its subsidiary IWR Trading Limited was incorporated 1st December 1992. The Isle of Wight RaihNay Company Llmited is a re8iStered Charitable company 1MIted by gltarantee, not havln8 any share capital. Members 8uarantee to pay durlng their mErrbership and within one year after they cease to be a Mernber, in the event of a windlng-up order, a sum not exceeding five pounds for payment of debts and li0bilities contracted by the charitable company before they c2a5ed to be a member. AppoINfMENT OFTRUSTEES Any fully paid mernber of the charitable company may put thelr name forward for membership of the Board sublect to compliance of article 33 Idl lil of the companV5 Artlcles of Association. In addltion, the Board has the right to invite lu15y paid up tnembers tts put their names forward. Election5 to the Board are subleet to a CDnfidentlal vote of members at the compan5 Annual G£n£ral Meetln8. Those members unable to attend such meeting may vote by proxy. The Board also has the right to c&opt additional members on to the Board at any time durfng the year to fill vèc3ncie5 but these nominees will then t)e subject to the election process at the subsequent Annual General Meetlng. Matters relatini to rnember5hip of the Board are fully covered in artides 31 - 37 of the charitable company's articles of assoclatlon. ORGANISATIONALSTRUCTURE The Board h85 the responsibility for éstabli5hin8 pollcy. Delivery of these pollcy decisions is the responsibllity of the General Manager who works with the char&table mmpany's Heads of Department who cover the followSn8 operations.. rolling Stock, rail infrastructure, estates, health and safety, operatin& retail and catering, commerdal. heritage and learnin& finante and admlnistfation. All Staff and volunteèrs workin8 Wlthin these departments are responsible to their Head of Department, A managernent 5tNcture hès been designed whereby all heads of department report to the General Manager, whD 55 re5ponsitsle to the Board. All new trustees are given induction tralnin& and training during the year. on the work of the Eharity and on specific Issues. The General Manager also oversees the charity's wholly owned UK tradin8 subsidiary, throu8h which the shop and catering Dutlets are operated. RISK MANAGEMENT The trustee5 have examined the Major strategic, business and operatlonal risks which the charitsble company faces and confirm that systerns have been e5tabllshed to enable regtjlar reports to be pruduced 50 that the necessary steps C3n be taken to lessen those risks. VOLUNTEERS, DONATIONS & BEQUESTS The Charity is very grateful for the work contributed by volunteers and for the donations recelved both for 5pecifiE projects and gpneral funds. The trustees also wish to acknowledge with thanks the bequests the charity h31 rec@ived from the wi115 of members and friends of the Railway who have sadly passed away.
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED ltimltèd by Guarantoè and not ha¥lng any shave tapltsll TRUSTEES, REPORT FOR TPIE YEAR ENDED 31 DECEMBER 2022- CONTINUED OBJECTIVESAND ACTIVITIES The principal activity of the charitable cornpany in the year under review continijed to be the retention, preserwation. restgration Bnd operation of a portion ol the railways In the Isle of WiBht as a permanent exhibition and working museum for the advancement of technical, hlstorical and 8eneral education. Thè Rallway is accredlted as a rnuseum by Arts Council En8land. CHARITY'S 1N OBJECTIVES IN THE YEAR An overview of the charity's attivities during ihe year is Included in the precedSn8 annual reviews. Further nformation is available in the recent editions of Island Rail News. The Board publlshed a Strategic Vision Document in lune 2CQ9, which was revised in 2013 and again in 2017. ACHIEVEMENTSAND PERFORMANCE The achievements and performance of the charity during the year are detailed on pages 2 to 6 of thi5 annual report. The trustees report thaL In thelr oplnlon, thSs has been a successful year for the charity. RESULTS For< TPIE FINANaAL YEAR Total income for both the charlty and subsidiary for the year amounted to £2,681,873 12021.. £2.618,5931. Administration and event costs amounted to £491,448 12021.. £381,826), shop, catering ènd show expenditure amounted to £608.541 12021.. E600.2241. Èxpenditurè on rurning and maintalnlng the Railway amounted to £1,273,61812021.. £987,094> The Overall surplus for the year amounted to £310.59212021.' £648,5061. RESERVES IIOLICY It is the policy of the charitable company to maintan unrestricted fund5, which are the Iree reserv of the charltable company, at a level which equates to approximately four months unrestrlcted expenditure in order to avoid operatln8 cashftow problems. The overall serveS of the group held gt 31 December 2022 amounted to £5,252,692 of whlch £179,664 are held for restrirted purposes. Resetve5 of £3,070,289 aro held as fixed assets including investmènt5, £662,866 of reserves relating to legacies received have been designated for specific purposes by trusteès. 8nd £230,717 has been designated toward5 work required for the Train Story 2 project. This leaves £1.109,156 of freè unrestricted reseryes. This level of free reserves is wnsidered by the trustees to be sufficlent to meet the SerVeS pollcy of approximately lour months, expenditure. PRINCIPAL FUNDING SOURCE5 The charlty's principal fundin8 sourtÈs continue to be from donations and membership income, shop, caterSn& tlcket sale5 and other specsal events Income. The charity ha5 a150 benefited from 6raDt funding. Once. the costs of generating these funds has been deducted. the majority of the remaining funds are used in support of the key objectives of the charity, that is the malntenancè and running of the Railway. INVESTMENT POLICY Undèr the charity's 8ovemin8 documeFJL the trustees have the p¢Jwer to invest the monies of the charitable comparny not immediately required. in any such manner as the trustees may from time to time deterlnine. FUTURE PL4NS Details of the charlty's strategy plans are publlshed on the webslte www.5wsteamrailway.co.uk. Thls Includes the Strate&it Vision Docum@nt from which detailed p13ns for the ftUre will be produced. These plans are summarised on page 6. PUBLIC 8ENEFIT The Board of Trustees understands the requirements as set out in Section 17151 of the Charlties Att 2011 and takes the view that The Isle of Wight Railway Company knmited completely satisfies all guidance SUed by the Charity Commission with regard to public benefit. io-
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED Iumlted by Guarantee and not havlng any Share capitall TRU5TEES' REPORT FOR THE YEAR ENDED 31 DECEMBER 1022- CONTINUED COMPANYSUSTAINA8IUTY STATEMENT The Company recognise5 that as a responsible organisation It has obllgations, both in law and morallyi to act in è sustainable manner to redu where possible and practical, it5 impact on the widèr énvironment. It aims to do so by mlnimlsing its consurnption of natural resources, eflective use of those resources, reduction, reuse and rerycling of waste, reduclng its Impact on the natural environmenL promoting biodlversity on its land holdings and tninimlsln8 pollutlon In all forms arising from its operations. TRiJSTEES' RESPONSIBIUTIES Company 13w reguires the truste to prepare financial 5tatement5 for each finandal year in accordance with applitable law and United KSn8dom Generally Accepted Accounting Practice (UK GAAPI. Under cornpany law the trustees must not approve the financial statements un555 they are satisfied that they gwe a true and falr vlew of the state of allairs of the company and of the intome and expenditUfe of the company for that perlod. In preparing those financial statements, the trustees a requlred to.. select suttable accountln8 polieies and then apply them ¢on555tentty', make judgements and estimate5 that are reasonable and prudent., prepare the finantial statemènts ¢n the going concem basis unless it is Inapproprlate to prEsurne that the companywlll continue,. determine lTrow amounts are presented withln items in the ststement of financial artvities and balance sheeL having regard to the substsnce of the reported transactlon5 or arrangements, In accordance with 8enerally accepted accountln8 princlples or practice. The trustees ar& responsible for keeping proper accounting recofds whith disclose with reasonable accuracy at any time thè linancial position of the company and to enat>le them to ensure that the fSnanclal statements comply with the Companie5 Act 2006. They are also responslble for 53feguardlng the assets of the company and hence for tskin8 reasonable 5tep5 for th& prevention and detectlon ol fraud and other irregularities as well as for the maintenance and intè8rity of the corporate ènd financial information included on the charity's wèbsite. STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS So far as the trustees are aware, there is no relevant audit information las deftned by Section 418 of the Comp6nies Act 20061 of whSch the company's auditors are unaw3fE, and each dlrector has taken 311 the steps that he or she ought to have taken a5 a dlrector in ordei to make himself or he15elf aware of any relevafit audit information and to estsblish thatthe CDmpany's auditors are aware of that information. This report has been prepared in accordan with the special provisions of the Companies Act 20C6 relatlng to small companies. v Order of the Board PETER TAY ICHAIRMANI Date.. li-
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED (Llmlted byGuarantèe and not hav1 any share capital) REPORT OF YHE INDEPENDENT Auf)ITORS TO THE MEMBERS OF THE ISLE OF WIGHT RAILWAY COMPANY LIMITED OPINION We have audited the financial staternents of The Isle of Wight Railway Company Limited (the 'parent charitable company, and its subsidiary (the 'charitable group'l for the year ended 31 December 2022 which comprise the CDn501idated statement of financial activities (incorporating an income and expenditure accovntl, consolidated balance shEeL Parent charitable company balance sheeL consolldated ststement of cashflows, parent charitable company statement of cashflows and notes to the f&n3ncial statements. including a summary of significant accounting policies. The financial reportfig framework th3t has been applied in their prèpaTation is applitrable 18W and United Kingdom Accounting Standards, Including Financial Reportlng Standard 102 The Financlèl Reportlng Standard applicable in the UK anij Republic of Ireland Iunlted Kln8dom Generally Attepted Accounting Practice). In our opinion, the financial statements.. Give a true and fair view of the state of the charitBble group's and parent company's aff4ir5 a5 at 31 December 2022 and of the charltable Broups, incoming resources and appllcation of resources ftjr the year then ended., have beeh propedy prepared in accordance with United Kingdom Generally Accepted Accountin8 Practice appllcable to Smaller Entities., and have been prepared in 3ccordance with the requirements of the Companles Act 20D6. 8ASIS FOR OPINION We conducted our audit in accordance with Intemational standards Dn Auditing IUKI IISAS IUKII and appllcable law. Our responsibllities under those Standards are furthe¥ described in the auditor's responsibilities for the )tsdit of the flnancial statements sectlon of our report. We are independent of the chèrltable group in accordance with the ethical re9ulrements that are relevant to our audit of the linanclal ststements in the UK, includln6 the FRCS Ethical Standard, and we have fulfilled our other ethital responsibilities in accordance with these requirement5. We believe thatthe audit evidence wp have obtsined is sufficlent and appmpriate to provide a basis for our oplnion. CONCLUSIONS RELATING TO GOING CONCERN We have nothing to report in respect of the followln8 matters in relation t¢ whirh the ISAS IUKI require us to report to you where.. the trustees, use of the going concem basis ol accountin8 In the preparation of the financial statements 15 not appropriate,. or the trustees have not disclosed in the ffnanclal ststements any identified material uncertainties that may cast SEnIfiCant doubt about the charitable group's or the parent ch3rit3ble company's ability to continue to adopt the 80inE CDncein basis of accounting lor a period of at least twelve months from the date when the financial statements are authori5ed for Issue. OTHER INFORMATION The other information comprlse5 the tnformation included in the annual reporL other than the f)nanclal statements and our auditors report thereon. The trustees a responsible for the other informatlon. Our opinion on the financial statements doe5 not cover the Information and, except to the extent othèrwise explicitly stated in Dur reporL we do not express any form of assurancÈ conclusion thereon. In connection wlth our audit of the financial ststements. our responslblllty is to read the other information and, in dolng so, consider whether the other Information is matèfially inconsistent with the financial statements Of OL(r kno%rfedge obtained in the audit or otherwise appears to be rnaterially misstated. If we identtfv such material inconsistencies or èpparent material misstatements, we are required to detem)Ine whether there is a material m15Statement in the financial statements or a material misstatement of the other information. If, based ¢>n the work we have performed, we conclude that there is a material misststement of thls other information, we are rèquired tD report that fact. We have nothing to report In thls gard. -12-
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED (Llmited by Guafantee and not having any share £apital} REPORT OFTHE INDEPENDENT AUDITORS TO THE MEMBERS OF THE ISLE OF WIGHT RAILWAY COMPANY LIMITED- CONTINUED OPINION ON OTHER mAER5 PRESCRIBED BY THE COMPANIES ACT 2006 In our opinion. based on the work undertaken in the course of the audit.. Thè information given In the tru5tees' reporL which includes the directors, report prepared for the purposes of company law, for the financial year for which thè financial statements are prepared is cornslstent with the flnancial ststements., and the directors, report Included within the trustees, r2port have been prepared in accordance with appllcable legal Tequiremen TTERS ON WHICH WE ARE REQUIRED TO REPORT BY EXCEPYION In the light of Ihe knowledge and understanding of the charitable group and the pant charitable cornpany and Its environment obtained in the course of the audit, we have not identified material mis51atements in the dirèrtors, report Included within the trusteps, report. We have nothSng to report In respect of the following matter5 Whe the Companies Act 2006 require5 U5 tu report to you if. Sn our opinion.. adequate ateountlng COrdS have not been kept by the parenl company, or returns adequate for our audit have not been recelved from branches not visited by.. or the parent charitèble company flnanclal statements are not In aSeMent with the accountlng records and returns., or certain disdosures of tru5tee5' remuneration specified by law are not made- or • we have not received all the information and explanation5 WÈ regulre for our audit. The tnJ5tees were not entitled to prepare the financial statements in actordanee with the small companles regime and take advanta8e of the small companies, exemptions in preparing the trustees repcrt and from the requirement to prep3re a strategic report. RESPON51BILITIE5 OF TRUSTEES As explained Fnoie fully In the trustees, respon51bllities statement set out on page 11 in the trustees, report, the trustees (who are a150 the diretiors of the charitable company for the purposes of cornpany lawl are respons5ble for the prepèfatlon of the financial statements and for being satisfied that they give 3 true and fair vlew, and for such internal control as the trustees determine is necessary to enable the preparation of financlal statpments that 3re free from material misstatement, whether due to fraud or error. In preparing the financial stotements, the trustees are responsible for assessing the Broup's and the parent company'5 ability to continue as a going concern, disclosing, as applicable, m3tters related to 8oin8 concern and sing the 8oing concern basi5 of accounting unless the trustee5 either intend to liquidate the company or to cease operations, or have FTro realistic alternative bul to do so. AUDITOR'S RESPONSIBILITIES FOR THE AUDIT OF THE FINANCIALSTATEMENTS Our objectives are to obtaln reasonable assurance about whether the linancial ststernents as a whole are free from materlal mi5StatemenL whether due to fraud or error, and to 1$5ue an auditor's report th3t Includes OL+r opinion. Reasonable assurance is a high level of a5surnnce, but IS Dot a guarantee that an auLlit CDnducted in accordaD¢e with ISAS IUKI will alway5 detect a material misstaternent when it eX15t5. Mi5Statements can arlse from fraud or error and are tonsSdered material If, Individually or in the aggreBate. they could reasonably be expected to influence the economic decisions of users tsken on the basis of these financial statements. Irregularities. including fraud, are instance5 of non-compliance with laws and rÈgulètions. WÈ design procedure5 in line with our responsibilities, outlined above, to detect material misstatements in respect of irwegularitie5, includirig fraud. The extent to which our procedures are capable of detectlng irregularities, Including fraud is detallèd below.. -13-
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED (Llmlied byGuarantee and not hav4n8 any share capltall REPORT OFTHE INDEPENOENT AUDITORS TO THE MEMBERS OF THE ISLE OF WIGHT AILWAY COMPANY UP4tITED- CONTINUED As part of planning ovr audit wé determinèd materiality and assessed the risk5 of materlal misstatemènt in the fifiancial ststements. Based on our understanding of the charitable cornpany and the 8roup we identified the Pfincipal rlsks to both the tharltable company and the 8roup as management override of controls. rlsk of misclasslfl¢ation of expenses between capital and rpvenue. and potential for fraud in respect of revenue recoBnStion particularly in rpspÈct of cash income. Audit proceduTes perforrned by the engagement team included.. A revièw tsf journals made in preparing the final results for preparation of the accounts, and a revlew of actountin£ estimate5 made by management. Rewew lo ensure there are no tran5action5 that have no apparent business or charitablè purpose, or that have been processed outslde the usual accounting systems. Extension of the sample size5 for audit testing carried out in relafjon to cash income, and consideratlon and test+ng of contro15 in place around thls incorne. Extension of sample SiLe5 foT audit testing carrled out around addltions. and review of addltlon5 and repair5 costs to ensure they are approprlately dassified. Discusslons wlth mana8emÈnt. including conslderatlon of any known or suspectèd instantes of non-compllance with laws and regulations or fraud. There are inherent limitation5 in the audlt procedures described above, and the further removed non-compllance with laws and regulations is from events and transactions reflected in the financlal statements, the less likely we are to become aware ol it. The risk of not detectin8 a material misstaiement due to fraud is higher than the risk ol not detecting one resulting from error. as fraud may involve deliberate concealment or intentional mlsrepresentstlons. A further description of our responsibilities for the audit of th2 financial statements 15 IDcated on the. Financial Reportlng Council's website at.. www.frc.org.uklauditor5responsibilities. This description forms part of our audltorfs report. USE OF OUR REPORT This report is madè solely to the company's members, as a body, acconlance with Sections 495 and 496 of the Companies Act 2006. Our audlt work has been undertaken so that we might state to the company's rnember5 those matters we are reguired to state to them in an auditor's report and for nu uther purpose. Tu the fullest extent permitted by lèw, we do not accept or assume responsibility to anyone other than the company and the company's members as a body. for our audit wort, for this report, or for the opinlons we have formed. GAVIN KELLY, ACA, FCCA ISENIOR STATUTORY AUDITORI for and on behalf ol Bright 8rown Limlted Chartered Accountsnts Statutory Auditor Exchan8e House St Cross L3ne Newport Isle of Wight P030 5BZ Date.. -14-
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED (Llmited by Guaraffitee and not h3vlng any sharè capliall CONSOLIDATED STATEMENT OF FINANCIAL AcfiviTIES INCORPORATING AN INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 DECEMBER 2022 unstrICted Restrlcted Fund5 Funds 2022 Total funds 2021 Total funds 35 re5tateiJ Notes INCOMEAND ENDOWMENTS FROM Voluntary Intome Donations Grants Leg3aes CharTrtablè artlvltlÈs ricket sales Merntsershlp subscriptions Other tradlnK actlvltle5 Special events Shop, catering and show income Other income Investments Interest received 141,253 6.470 205,316 91,017 232,270 6,470 205,316 292,100 81,517 112,(M)2 1.144.575 49.842 1,144,575 59,209 1,048,157 49,829 9,367 334,220 685,152 10,959 334,220 685,152 10.959 285,108 740,756 8.737 3,702 3.702 387 Total 2,581,489 100,384 2,681,873 2,618,593 EXPENDITURE ON Raislng Funds Administration and event costs Shop, c8terln8 and show expendlture Chafltable artlvltles Running and maintaining the Railwav Totsl 483,970 608,541 7,478 491,448 608.541 381,826 600,224 1.224,256 49,362 1.273,618 987,tY34 2,316,767 56,840 2,373,607 1,969,144 Unrea115ed 8alnslllossesl on investrnent5 NET INCOMEIIEXPENDITUREI TrJn5fÈr between lund5 li 2,326 2,326 19431 267,U48 43,544 310,592 648,506 16a 63,157 163,1571 Net movemÈnt In funds 330,205 119,6131 310.592 648,506 RECONCILIATION OF FUNOS Total funds brought foiward As prevlously reported Prior year adjustment As re5tsted 4,689,068 53,755 199,277 4,888,345 53,755 4,293,594 4,742,823 199,277 4,942,100 4,293.594 TOTAL FUNDS CARRIED FORWARO 5,073,028 179,664 5,252,692 4.942.100 CONTINUING OPEIiATIONS All income and expenditure has afisen from continuing actlvities. note5 o¥ipa8es22 ID36 form PWEof these financknl $ratsnIs. -15-
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED Company No: 106865M) Charlty No.. 280918 ILlmlted by Guarantee 3Dd not h3¥ing any share tapltall CON50UDATED BALANCE SHEET FOR THE YEAR ENDED 31 DECEMgFR IL122 2022 2021 as restated Note FIXEDA55ET5 TaTIBible assets Heritage assets Investments loa ioc li 2.872.693 197,596 2,649.416 232,014 1.981 2,883,411 3,070,289 CURRENT ASSErs Stock Debtor5 Cash at bank and in hand 12 13 123,069 167,720 2,039,951 2,330,740 108,622 133,606 2.180,252 2,422.480 CREDITOR5 Amounts falling due within one year 1148.3371 1184,6241 NET CURRENT ASSETS 2,182,403 2,237,856 TOTALASSETS LESS CURRENT LIABILITIES 5,252,692 5,121.267 CREDITORS Amounts f811ing due after one year 15 1179,1671 NET ASSETS 5.252.692 4,942,100 FUNDS Unrestrlcted funds Restrlcted funds 5,073,028 179,664 4,742.823 199,277 164 5,252,692 4,942,ILX) There a no shareholder5, funds as the company Is Ilmlted by guarantee. These financial ststements have been prepared in accordance with the special provislons of part 15 of the Companies Act 2006 relating to small companies. The financlal statements were approved by the Board of Trustees on Slgned on Its behalf bv.. and were PETER TAYLOR IC MANI ThÈrt0 on pa8e522 to 36form rtoftkese nnanclal ststements. -16-
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED Company No: 1068690 Charlly No.. 280918 {Um¥ted by Guarantee and not having any share capital) PARENT CHARITABLE COMPANY BALANCE SHEET FOR THE YEAR ENDED 31 DECEMBER 2022 2022 2021 Note FIXED ASSETS TangSble assets Heritage assets Investments lob IOC li 2,830,524 197.596 10,000 3,038,120 2,609.618 232,014 11,981 2,853,613 CVRRENT ASSETS stock DÈbtors C3sh at bank and in hand 31,970 206.568 1,967,305 2,205,843 17,374 269,372 1.940,724 2.227,470 13 CREDITORS Amounts falling due withln one year 14 1130,2521 1167,3661 NET CURRENT ASSETS 2,075,591 2.060.104 TOTALASSETS LESS CURRENT UABILITIES 5,113,711 4.913.717 CREDITORS Amounts falling due after one year 15 1179,1671 NET ASSETS 5,113,711 4,734.550 FUNDS Umrestrlcted funds Restricted funds 16b 16b 4,934,D47 179,664 4,535,273 199,277 5,113,711 4,734,550 There are no shareholders, funds as the Company Is Ilrnlted by guarantee. These fin3nclal ststements have been prepared in accordance wth the speclal prtrvlsions of part 15 of the Companies Act 2006 relating to small companie5. The financlal statements were approved by the Board of Trustees on si8ned Dn Its behalf by.. and were PETER T Ic AMANI The ftTrtE5 paB 22 to 36forTh part Df thp5Eflnanclal St8mEntS. 17-
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED ILimited by Guarantee and not having any Share capital) CONSOLIDATED CASHFLOW STATEMENT FOR THE YEAR ENDED 31 DECEMBER 2022 2022 2021 Note Cash flowsfrom operailng attlvliles Cash generated from operations 496,417 782.470 Net $h provlded by lused Inl operalln8 artlvStle5 496,417 782,470 Cash flows from In¥estlng attivitles: Purchase of tangible fixed a55ets Proceeds on salè of tangible fixed assets Proceeds on sale of investments Inte$t reed 1417,0601 1221,8781 1,500 4,307 3,702 387 N* cJ5h provKled by (used In) Inwstlng a¢tlvltles 1407,5511 1221,4911 Net cash prowded by (used Inl flnanclng attlvhies PYoceed5 of borrowing Repayment oflgan capita 1229,1671 120,8331 Net cash proded by (used Inl flnancln8 Bctlvhles 1229,1671 120,8331 Change In cash and cash equlvalents In the reportlng period 1140,3011 540,146 Cash and cash equlvalents at thè beginnln8 ol the repprting period 2,180,252 1,640.106 Cash and cash equlvalents at the end of thè repurting period 2.039,951 2,180,252 18-
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED ILlmited by Guarantee and not having any share capital) NOTES TO THE CONSOLIDATED CASHFLOW STATEMENT FOR THE YEAR ENDED 31 DECEMBER 2022 I RECONaLIATION OF NEf INCOMEIIEXPENDITUREI TO NET CASH FLOW FROM OPERATING ACTIVITIES 2022 2021 Net lfttome for the reportlng pwlod las pèr the statement of Ilnanclal attlvitlesl Adjustments for,. Deprethatlon charges Loss on di5PDsal of assets interest rètèived Unrealisèd Ioss&5/lgains1 on ir¥vestments Decreaselllncfeasel (n stock Decreaselllncreasel In debtors Increaselldecreasel In creditors 310,592 648,506 223,439 177,564 3,263 4,796 13,7021 13871 12,3261 943 114.4471 114,0951 134.1141 170,8481 13,712 35,991 Net cash provided by lused inl operatin8 activSt4es 496.417 782,470 19-
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED liimited by Gu3r3Dtee and not havin8 any Share capital) PARENT CHARffA8LE COMPANY CASHFLOW STAYEMENT FOR THE YEAR ENDED 31 DECEMBER 2022 2022 2021 Note Cash flows from operailng actlvltles Cash generated from operations 652,645 570,086 Net ¢ash provkled by Iu5ed Inl operatln8 aCtl¥ltles 652,645 570,086 Cash flows from Investing artlvltses: Purchase ol tangible fiyed assets Proceeds ofi sale of tan6ible fixed asset5 Proceeds on sale of investments Interest received 1406,3181 1217,0841 1,5LKI 4,307 3.614 376 Nèt Cash provided by Iu5ed In) Inve$tln8 actlvltles 1396,8971 1216,7081 Net cash provlded by (used In) flnancins attlvlt]es Proceeds of borrowing Repayment olloan iaplta 1229,1671 120,8331 Net cash providÈd by lused Inl finan¢ln8 actiwltles 229,1671 120,8331 Change In cash and 5h equlvalents In the reporting perlod 26,581 332,545 Cash and cash egulvalents at the beWnnln8 of the reportlng perlod 1.940.724 1,608.179 Cash and cash equlvalents at the end of the reporting period L967,305 1,940,724 -20-
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED (Limited by Guarantee and not having any share ¢apltall NOTES TO THE PARENT CHARITABLE COMPANY CASHFLOW STATEMENT FOR THE YEAR ENDED 31 DECEMBER 2022 I RECONCILIATION OF INCOMEIIEXPEhlDITUREI TO NET CASH FLOW FROM OPERATING ACTIVITIES 2022 2D21 Nèt Income for the reportlng perlod las per the statement of Ilnanclal actlvltlesl Adlustments for.. Depreciation charges Loss tsn di5posèI of assets Interest recelved Unrealised losses/(gainsl on investments Decrea5e/lincreasel in stock Decrea5e/lin£reasel in debtor5 Increase/ldecreasel in creditor5 379,161 496.541 215.995 2.335 13,6141 12,3261 114.5961 62,804 12,886 170,540 4,015 13761 943 2,310 1134,7201 30,833 Net cash provided by Iu5ed inl operating activitie5 652,645 570.086 -21-
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED ILimlted by Guarantee and not having any Share capital) NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2022 I GENERAL INFORMATION The Ie tsf Wi8hi Railway CDrnpany Llrnited Is a private company Ilmited by guarantee and Incorporated in Eng13nd. The financial statements a prEsented in Stprling, which is the funttlonal currency of the charitable group. There are no materlaS uncertaintles about the charity's ability to continue. The Isle of Wi8ht Railway Company Limlted constitutes a public benefit entity as defined by FR5 102. 2 ACCOUNTING POLICIES a Basls of preparing the financial statements The financial statements of the charitable company, whlch is a public beneflt entlty under FRS 102. have been prepared in accordan with the Charities SORP IFRS 1021 'Accounting and Reporting by Charilies.. Ststement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporelng Standard applC3b1e in the UK and Republic of Ireland IFRS 1021 leffective l January 20151,, Financial Reporting Standard 102 'The Financial Reporting Stsndard applic3ble in the LIK and Republic Df Irelond,, the Companies Act 2006 and the Charitie5 Act 2011. The financial stèternefits have been prepared under the historical cost colivention as modified bythe re¥alUaOn of listed fixed asset InVtMents. b Basls of Consolldatlon The consolidated financlal statements incurporale the financial statements of the Isle of Wight Railway CoFnpaFJy Limited and it5 subsidiary IWR Tradlng knmited to 31 December each year. The accounts have been con5015date(J on a line by line basis and intra group transactions have been ellminatèd on tonsolidation. t Heritage Assets It is the ch3ritls policy nDt to capitalise any heritage assets where it Is not posslble to plè any reliable value on them. All heritage assets that can be reliably valued are Included on the balance sheet at cost or valuation less accumulated depreciatlon. The charity has a collertion of wtsrking steam locomotlves and rolling stock, which are held to support their objectives of education and maintenance of the Isle of Wight Steam Railway. The trustees do not con51der that reli3ble cost or valuation can be obtained for the majority of the locomotives in their collertion, due to the rarity and lack of liquid rnarket for them. The chaTlty does not therefore recognlse thèse assets on the balance sheet. d Propemi. Plant and Equlpment Property, plant and equiprnent has been valuèd at tost less accumulated depreclation. e Depretiatlon Depreaation Is provided on the following tan8ible fixed assets, at rate5 calculated to write off the cost of eath asset over its anticipated useful life usln8 the reduclng balance method unless otherwise stated. Freehold property Permanent way Motor vehicles rools 3nd miscellaneous equipment No. 38, 8arclay 0-6-OT Ajux +watt Engine5 46447 and 413 Drewry Railcar Office equipmeni Improvement5 to property Assets in the course of contruction 3% per annum 5% per annum 25% per annum 25% per annum IO% per annu on cost from date brought into service IO% per annum on cost from date brought into Service 5% per annum on cost from date brought into service 20% per annum 20% Per annum Not depreciated until the 355et Is brought into use 22-
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED Iumlted by Guarantee and not havlng any share c•pitsll NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2022 Z ACCOUNTING POUCIE5 ICONTINUEDI f Invèstmènts Investmenls in listed entities are initially recognised at cosL Of where such assets are donated at the fair Wdlue at the date ownership passed to the charity, Subsequentlyj listed investments are measured at fair value through the prDfft or Ioss account. Falr value will be determined by the actTve mèrket pr5ce. Inv&trnellts iT> unlisted entitie5 are measured at cost less 8rnorti5ation a5 no fair value can be reliably cfetem)Ined. g Stocks stock is valued at the lower of cost and net alIsable value. In detertnining the value, cost Is the cost incurred in brin8lng each product to its present location and condition. Net realisable value is based on estimated Selling price less further costs expected to bE incurred to completion and disposal. h Income Voluntary Income Voluntary incDme 15 recognised in the Statement of Finantlal Activlties once the charitable company has entitlement to the funds, kt is probable that the income will be received and the amount can be measured For donation5 this is generally upon recelpt. In the indiwdual company accounts donations from the tradln8 subsidiary arÈ also recugnised on receipt. For legacies thS is when the charity is notified of an impending distribution Dr recelpt of a le8acyJ provided the Value of the 5n¢oming resources can be measured with sufficient reliability. Grants are recognised when uncondltional entitlement to the Income Is PSed to the charitable company. Where there are performance related terms and condition5 that must be met before uncondltional entitlement passes to the chaiitable Eompany, the income Is recognised once it is hjghly probable that these wlll be met. Wherè rho such conditlons exlst the income is reco8nised when it 15 reiVed. Charltsble and Other TradlngActliitles Income frorn Irading activlties. including travel tickets, special events tKkets. shop, caterin8 and shows income, is recD8nised, net of VAT and all other sales taxes when the goods are delivered or se1$ are provided. Membership incorne 15 recognlsed evenly over the period the rnember5hip relate5 to. Investment Intome Intest recÈivable is recognised over the period it is accnted except where thEre are conditlons imp05ed that must be met before interest is received. Where this is the case the income is recogfiised once the conditions have been met. l Ekpendlture Liabilities are reco8nlsed a5 expenditure as soon as there is a legal or constructive obli8Btion committing the charlty to that expenditure, it is prctbable that a transfer of economic benefit5 wlll be re4ulred in settlement and the amount of the obllgation can be rneasured reliably. Expenditu 1% accounted for on an accruals basis and has been classified und@r headings that aggregate all cost relèted to the category. Where costs cannot be directly 3ttributed to particular headin8S they have been allocated to activltles on a ba515 consistent with the use of the resources. -23-
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED ILlmlted by Guarantee and not havln8 any share caplt¥l NOTES TO THE ACCOUNTS FOR THE YEAR ENOED 31 DECEMBER 2022 2 ACCOUNTING POUCIES ICONTINUEDI l Taxatlvn The charity is exempt from corporatlon tax on Its charltable actlvitie k Fund Accounilng Unrestricted funds can be used In accordance with the charitable objectives at the dlscretlon of thè trustees. Restrlcted fund5 can only be used for particular purposes within thè objects of the chartty. Restrictlons arlse when spècilied by the donor orwhen funds are ralsed for paiticular restricted purposes Further explanatlon of the nature and purpose of each fund 15 induded in the notes to the financial ststEments. I Penslon t05ts and other post.retlrement beneffts The charftable company operate5 3 defined COnbUt10n pension scheme. Contributions payable to the charitable company's pension scheme are charged to the Statement of Financial Activities in the perlod to which they relate. m Credltors Short term CdItorS are measured at transaction (invol) price. Lctans and other fi'nancial liabilities are initially re¢o8nlsed at transartlon price net of any trafisactlOFI C05ts and subsequÈntly meèsured at 3mortised cost determined usin8 the effective interest method. n Go5ng Concern The accounts are prepared on a going conrn ba515. There are no UnrtaInte5 about the charitable companV5 abllSty to Continue as a going concern. Unre5trbcted Restricted Total lund5 Total funds 2022 Z022 2022 2021 3 GRANTS RECEWABLE Coronaviru5 Job Retentlon Scheme Other grants 27,435 54,082 6,470 6,470 6,470 6,470 81.517 4 INVESTMENT INCOME Interest frorn UK bank accounts 3,702 3,702 387 5 PRIOR YEAR AD)U5TMENT It has been identSfied that legacy income of E53,755 received In eady January 2022 should have been recognised as in¢tsme in the 2021 atcounts. The comparative fi8urps have been restated to reflect an increase in legacy Income for that year, with a torresponding increase in other debtor5. The effects of this change mean that last year's unrestricted surplus is now Shown as £53,755 greater than originally reported, and funds carried forward 3t 31 Decernber 2021 We also increased by this amount to £4,942,100 for the group, and £4,734,550 for the parent charity. Had the above adjustment not been made these funils would be reco8nlsed a5 legacy income during 2022 and therefore the adjustment has had no effect on the group or parent charity's financial posltion as at 31 Decembpr 2022. -24-
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED (Limlted by Guarantse ond not havlng any share capital) NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2022 G)sts of GÈneratln8 Funds Charltabl• Actlvltles Rallway and Locomotlve5 Admbn and Tradln8 CaterlnB event costs and 5how5 Total 2022 Tota 2021 6 EXPENDITURE Dlrect expendlture Employee costs Locomotive running costs Rolling Stock refurb Operating costs Repairs and maintenan IRN membership costs aeanin8 C05t of 8oods sold Publlcity and advertSsing Special events Printin& post and 5tstionery Insurance Sundry e¥penses Legal and professional Audit accountancy Bad debts Financial costs Depreciation Loss on disposal of assets 73,820 137,638 535,797 231,502 44,605 2,403 131.431 20,668 6,269 747,255 231.502 44,605 2,403 141.546 20.668 6.269 308,371 95.368 139,456 3,551 6,755 54,491 361 8,070 91 36,365 223.439 3,263 655.289 124,848 22,705 3,427 78,595 26,714 5,728 315,373 78,705 113,241 5,356 6,400 45,465 991 7,550 10,115 308,371 3,217 54,811 92,151 84,645 3,276 275 6,755 98 49,387 5,006 361 4,9CKJ 3.170 91 21,753 39,552 2,335 14,612 7,443 928 33.727 177,564 4,796 176,444 367,010 547,158 1.159,661 2.073,829 1,706,474 Support costs Artivlty Sèlary tosts Premlses costs Ba%ls of Allocatlon Time spent Floor area used Costs of Generat1 Funds Charltable Activitles Railway and LocomoVe5 Admln and Trad1 Caterfn8 event costs and shows Total 2022 Total 2D21 Employee costs Insurance Printingi P05t and Stationery Heat, light and water Telephone Rates Rent Health and safety 82.794 6,639 10,105 16,534 4,472 707 1,833 1,354 12,371 39,836 95.165 66,393 14,436 82,671 8.944 7.068 18,333 6,768 89,383 56,684 14,637 68,510 8.454 4,812 I8,0 2,190 19,918 4,331 24,801 2.683 2,120 5,5(X) 2,030 41,336 1.789 4.241 ii,oc 3,384 124,438 61,383 113,957 299,778 262,670 Total expendlture 491,448 608.541 1,273,618 2.373,607 1,969,144 -25-
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED Iumlted by Guarantee and not havln8 any shale capitsll NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2022 2022 2021 7 GROUP OPEIiATING SURPLUS Group operatin8 surplus Auditors, remuneratlon Audltors, remuneratlon non-audlt fees Expenditure on operatin8 leases Dèprèciation Loss on disposal of fixed assets 5,920 2,150 13,5(X) 219,985 3,263 5,400 2,150 13,500 174,110 4,796 and after creditln8'. Interest received 3,702 387 8 EMPLOYEES AND TRUSTEES Gross salaries Employers national Insurance tontributions Pension Costs TralnlnB Costs 784,223 41.415 9,971 6,811 696.321 34.596 8,867 4,888 Total employee costs 842,420 744,672 The average number of ernployee5 for the year amounted to 22 full time12021- 211, 12 part tlme12021- 151, and 14 seasonal12021- 81. Of thesè a tot31 of 35 employees worked for the tharlty ènd 13 for the tradln8 company. No employee5 received remuneratlon of £6O.(M)O or h(gher. DL*rin8 2021 two rnember5 of staff who were connected to trustees were employed by the charity eaming a total of £14,574. This 15 permissible accordin8 to the charity's articles and memorandum. In 2022 there were no emplLJyees related to trustees. No Trustees eamed a salary during elther the current or previous year. 9H PARENT COMPANY INCOMEANO EXPENDITURE ACCOUNT Ng Income and Expendlture Account is presented for the Isle of Wight Railway Company Limited as permitted bv section 408 of the Companles Act 2006. The surplus stated in the accounts for the year ended 31 December 2022 wa5 £379,161 12021.. £496,541), comprising unrestricted fund5 surplus before transfe of £335,617 12021.. £411,832) and restrirted funds surplus befoTe transfer5 01 £43,54412021.. £84.7091. 9b SUBSIDIARY COMPANY INCOME AND EXPENDITURE The turnover for IWR Trading Limited for the year ended 31 December 2022 was £685.15212021.. £740,756). The net surplus after tax and before donations to the charity for the year ended 31 December 2022 was £92,83712021.. £161,248). Total assets at 31 December 2022 were E224,38212021.. £371,075), total liabilltles were £75,40012021- £153,524) and shareholder's tund5 amounted to £148,982 12021.. £217,551). Its primary actlvlty is trading in SUPPDrt of The Isle of Wight Rallway Company Ltd. -26-
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED (Llmlted by Guarantee and not havln8 any ghare tapitall NOTES TOTHE ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2022 loa TANGIBLE FIXEDASSETS- GROUP Permanent Property wayi tools. Offlce Motor F4Xture5 Freehokl Improve- equlpment egulpment vehlc1è5 & Ilttln85 pruperty ments Total Cost At l January 2022 Addltion5 Disposals At 31 December 2022 1,160,091 117,610 10,750 112,462 2,587,317 766,847 4.755.077 143,341 16,914 105,151 10,742 48,682 92,230 417,060 14,4CM)I 110.6831 13,7501 16,9631 125,7961 1,299.032 123,841 112,151 116,241 2.635,999 859.077 5,146,341 Depreclotlon At l January 2022 Charge for year Disposals At 31 December 2022 697,553 46,068 12,4111 741.210 67,665 9,703 72.664 13,W5 26,547 7,443 18,8471 13,7411 16,035 71,823 32,509 74.072 611,707 646,369 2,105,661 53,416 42,542 189,021 121,0341 665,123 688,911 2,273,648 Net book value At 31 December 2022 557,822 52.018 79,642 42,169 1,970,876 170,166 2,872,693 At 31 December 2021 462,538 49,945 1,047 39,798 1,975,610 120,478 2,649,416 lob TANGIBLE FIXEDASSETS- COMPANV Permanent Property way,tools. Offlce Motor Freehold lrnprove- Total egulpment egulpmem vehic105 property ments Cost At l January 2022 Additions Disp05a15 At 31 December 2022 1,160,091 117,610 10,750 2,587,317 766,847 4,642,615 143,341 16,914 105,151 48,682 92,230 406,318 14,4001 110,6831 13.7501 118,8331 L299,032 123,841 112.151 2,635,999 859,077 5,030,100 Depreciatlon At I january 2022 Charge for year Disposals At 31 December 2022 697,553 67,665 9,703 46.068 13,lJJ5 26,547 12.4111 18.8471 13,7411 741.210 71,823 32,509 611,707 646,369 2,032,997 53,416 42,542 181,578 114,9991 665,123 688,911 2,199,576 Nèt book value At 31 December 2022 557,822 52,018 79,642 1,970,876 170,166 2.830,524 At 31 December 2021 462,538 49.945 1.047 1,975,610 120,478 2,609,618 Assets in the course of construction in both thè group and the CDmp3ny èmounted to £62,200 at the year end. £48,682 Is included wlthln Freedold property and £13,518 is induded within Permanent way, tools, eqvlpment. -27-
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED (Llmlted by Guarantee and not ha¥lng ahy sharè capltall NOTES YO THE ACCOUNT5 FOR THE YEAR ENDED 31 DECEMBER 2022 IOC HERITAGE ASSETS Group Drewry Company Ivatts Drewry Alax l¥atts Total Ajam Total Cost At l January 2022 Additions At 31 Decernber 2022 45,478 45,478 309,644 69,075 424,197 45.478 309,644 69,075 424.197 309,644 69,f175 424,197 45,478 309,644 69,075 424.197 Depreclatlon At 113nuary 2022 Charge foryear At 31 December 2022 45,478 45,478 143,251 30,964 174,215 3,454 192,183 3,454 34,418 6,908 226,601 45,478 143,251 30,964 174,215 3,454 3,454 6,908 192,183 34,418 226,601 45,478 Net l)ook value At 31 December 2022 135,429 62,167 197,596 135,429 62,167 197,596 At 31 December 2021 166,393 65.621 232,014 166,393 65,621 232,014 The trustee5 ¢on5ider Heritage Assets to comprise locomotives. coaches, wagons. infrastructijre 3nd artefacts which were or could have been a part of the 151e of Wight railway system and emanating from one or rnore of the following.'111 the Island's pre-Grouping raiSway ¢ompanles,121 The Southern Railway,131 BritSh Railways SJthern Re8ion.141 their successor organisations. The collection consists of Ilfteen locomotives112 steam, 3 diesel), details of which can be found on the chaflty's webslte.. http.'/liwsteamrallway.co.uk/heritage/our-rolling- stocklocomotlves/. Thèse locomotives are used to tiansport the public, in furtherance of the charity's objectives. Two locomotlVe5, Ivatt 46447 and Austerity Jyno are on contracted loans to the East Somerset Railway and National Railway Musetsm respectively. Some other locomotive assets are occasSonally loaned out Dn a short term basis to other steam railways or if suitable promobon31 opportunitles arlse. The remainder of the collection, when not In use, are maintained and mostly stored in theTrain Story fac*lity at the Isle of Wight Steam Railway. It is not posslble to get a rellable estimate of the value of the collettion. There are three locomotives reported on the balance sheet, Aiux, Ivètt 41313 and Ivatt 46447. The remainlng locomotives aré not reported on the balance sheet as their valuation connot be readily assessed in accordance with accountlng policy 2c. Aiux was purchased and therefore was included in the balance Sheet at this cost. Ivatt 41313 and 46447 were donatèd to the Isle of Wlght stearn Railway by the Ivatt Locomotive Trust and the only amounts capitallsed are the costs of bringing the assets into worknng condition as the value of the assets cannot be readily assesspd. These costs are considered bv the trustees to have a useful life of 10 years, the time until the nèxt overhaul 15 required. The locomotives are maintalned by speciali5ed englneer5 8t the Isle of Wlghi Steam Itailway and the Steam locomotives under80 a complete overhaul aftor not more than 10 years use to ensure they are kept in pristine condition. A register of the repalrs completed and requiied 15 held by the charity. Costs of these repalrs are recognlsed in the SOFA In the perlod they are incurred. All acquisition5 and disp05a15 of heritage assets must first be approved by the board of trustees and a register of herltsge assets is maintbined and held In the museum. This register will be made available to the public on request. atts 46447 and 41313 &re trtoth being deptIated on a strèlght line b85is over a 10 year term from the dates whlch they entered servi. There were no èddition5 of hÈrltsge a55ets in the year.12021.. £69.075. 2020.. £NIL, 2019.. £NIL, 2018.. £Nil, 2017.. £44,014, 2016.. £70,646). There were no disp05a15 of any herita8e assets, nor any impairments during the year, or any of the last four reporting periods. -28-
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED (Umlted by Guarantee and not havln8 any shaye capltal) NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2022 Group Company 2022 2021 2022 2021 11 FIXED ASSET INVESTMENTS LISTED INVESTMENTS FAIR VAWE At l J3nuary 2022 Additions Revèluation5 Disposals 1,981 2,924 1.981 2,924 2,326 14,3071 19431 2,326 14.3071 19431 At 31 Dember 2022 1,981 1,981 The Ilsted Investments are shares begueathed to the charity. UNUSTED INVESTMENTS Investment in subsidiary at cost 10.000 10,000 Tutal r(xed asset investments 1,981 io,(M)o 11.981 The subsldlary. which +s included In the charilable compa*7y's aount5, is as follows.. Name Re8lsiered offite IWR Trading Llm5ted Icompany No. 02769446 The same as that of The Isle of Wlght Railway Company Limited as detailed on page 8. R2tail Services En6land and Wales 50 ordlnary £1 shares loo% One vote per share Prlntipal Adlvliv Country of Incorporatlon Shares Held Prijportlon Held VotlnB Rl8hts Group Cornpany 2022 2021 as restated 2022 2021 as restated 12 STOCK Caterin& bar and show Shop Santa stock, coal and other stock 15,427 75,672 31,970 9.824 81,424 17,374 31,970 17,374 123.069 108,622 31,970 17,374 13 DE8TORS Trade debtors Amounts owed by group undertaklngs Olher debtors 22,618 16,079 21,954 16.079 57,315 136,163 127,299 117,130 145,102 117,527 167,720 133,606 206.568 269,372 -29-
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED {Limited by Gu3rantee anil not having any sh3re capital) NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2022 Group Company 2022 2021 2022 2021 14 CREOITORS.. AMOUNT5 OUE WttHIN I YEAR Bank loans Trade credltors Cowenanted loan Taxatson and social security Accrua15 Other tredito 50.000 44,959 loo 12,748 39,978 36,839 50,0(KI 32,183 loo 11.980 36.662 36,441 69,051 loo 12,880 38,456 27.850 56,Tll 100 12,394 34,173 26,814 148,337 184,624 130,252 167,366 15 CREDttORS: AMOUNTS DUE AFTER I YEAR Loan due In'morÉ thafi l year 179.167 179,167 The bank loan, taken out In July 2020, was repaid in full during the year.
trj ry Lr) ft) ) ce r CO Ln ro mcthmc o qp to p4 Li o
a 0 LTh O to r4 tii ro p4 rf) o o) (* Ln rftr O A frt eo mothm Ln En O P4 0 mocnmo eo moo In
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED ILimited by Guarantee and not having any share capltall NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2022 2022 TDtal Funds 2021 Total Funds unreSrted Restrlctsd Funds Funds 16e ANALYSIS OF NET ASSEfs BETWEEN FUNDS Group Fixed a55ets Current assets Current liabilities Long temi Ilabilitie5 3,070,289 2,151,076 1148,3371 3,070,289 179.664 2,330,740 1148,3371 2.883.411 2,368.725 1184,6241 1179,1671 4,888,345 5,073,028 179,664 5,252,692 Companv Fixed assets Current assets 3,038,120 2,026,179 1130,2521 3,038.120 179,664 2,205,843 1130,2521 2,853,613 2,173,715 1167,3661 1179,1671 4,680,79S Long tp.rm Ilabilltles 4.934,047 179,664 5,113.711 16d DETAILS OF FUNDS Train Story 2 reservè Unrestricted funds Set as54Je towards the proposed Train Story 2 development. Deslgnated / legacies reserve The Desi8nated i legacie5 reseive consists of income recelved from legades both where there is a d*ire for tht money to be spent on a partScular project but no legal obli8ation and where they have been received with no specific indlcation as to how the funds a spent. Flxed a55et reserve This fund represents the amount of unrestricted fixed a55et5 held by the charity. Restrlcted funds Carriage and wagon restoratlon-for the restoratlon of cairia8es and wa8ons nClUdIng grant incorne Museum fund- In the furtherance Df the development of the museum (heritage and leamin81 Maycock fund- coach and wagon re5toratlon WSR 200 fund- for the provlsion of volunteer facilitles and other designated projects Wootton- restoration/renovation of Wootton Station Drewry Railear- restoration of the Drewry Railcar ond its related trailer car Calbourne restoration of Colbourne Invincible restoratlon of Invincible Possible acquisition towards the acqulsltion of a SPEciflc locomotive for dlsplay should It become available The Grand Plan- New buildin8s at Havenstreet a5 descrlbed In the strategic vision Transfer5 between funds Transfers out of funds and into the Ilxed asset fund repfe52nt equipment and other long term assets purchased by those fund5, but which are now available as fixed assets for the geneTal unrestricte(J use of the charlty. DÈprea3tion of those assets Ss then transferred out of the fixed asset re¥eNe to offset ihe thargè to the 8enÉral fund. Transfers into funds represent transfers between funds correctinE the allocation of costs incorrectty allocated in thè previou5 year. -33-
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED ILlmited by Guarantee and Ybot havlng any share c3pital} NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2022 8alance 0110112021 Income as restated Total funds 3111212021 as restated Expense Transfers 16e PRIOR YEAR COMPARATIVES FOR THE MOVEMENT IN FUNDS- GflOUP Unrestrlrtèd funds General fund 771,198 2,383.477 11,930,360) 79,142 1.303,457 Flxed agset reserve Deslgnated I legacies fund Toial unrestricted funds 2,844,836 38,575 553,092 112,052 11.3721 1107,817 4,169,126 2,495,529 11.931.732) 9.90) 2,883,411 555,955 4.742,823 Restricted fund5 Carria8e and waEon restorat(on The Museum fund Maycock fund IWSR 200 Club Wootton Drewry Railcar Calbourne The Grand Plan Possible acquisltlon Invincible Total restrlcted funds 43,068 11,337 8,016 913 47.347 6,618 64.903 22,985 3,779 8,330 13,542 3,282 31 117,3481 19,9421 13,6961 17,2201 11491 ,623 24,380 8,099 2,023 60.740 19,9001 31 425 4,815 8,141 199,277 425 4,755 1,989 124,468 6.152 123.064 138.3551 19,9001 Total Funds 4,293,594 2,618.593 11,970,087) 4,942.100 16f PRIOR YEAR COMPARATIVES FOR THE MOVEMENT IN FUNDS- COMPANY Unrestrkted funds General fund 758,421 1,683,274 11,382,122) 76,132 1.135,705 Flxed asset reserve Desl8nated / legacSes fund Totsl unrestricted funds 2,802.028 41.585 553.092 112,052 11,3721 1107,8171 4,113.541 L795,326 11,383,4941 9,900 2.843.613 555,955 4,535,273 Re5tritted funds C3rriage and wagon re5toratiofi The Museum fund Maycock lund IWSR 200 Club Wootton Drewry Railcar Culbourne The Grand PlaTh POlbIe acoui51tlon Invincible Total restricted funds 43,068 11,337 8.016 913 47,347 6,618 64,903 22,985 3,779 8,330 13,542 3,282 31 117.3481 19,9421 13,6961 17,2201 11491 90,623 24.380 8,099 2,023 60,740 19,9(J)I 31 425 4,815 8.141 199,277 425 4,755 1.989 124,468 60 6,152 123,064 138,3551 19,9001 Totsl Funds 4,238,009 1,918,390 11,421,849) 4,734,550 34-
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED ILlmlted tsy Guarantee and not havin8 any share capltal} NOTESTO THE ACCOUNTS FOR THE YEAR ENDED 31 DECEM8ER 2022 17 RELATED PARTY DISCLOSURES Thfee12021.' Eightl trustees received reimbu15Èment for travel, accommodatlon and small Sundry expenses of £744 12021: £4341. Total donations received from trustees in the year amounted to £7,643 12021.. £19,748). 18 CAPITALCOMMITMENT5 Significant capital expend5tvre contracted for at thè end of the reporting period but not recognised as liabilltjes amounted to £134,350 at the year end12021'. £62,450). 19 CONTINGENT ASSETS The charity has ncognISed contingent assets totallin8 £150,01012021.'£nlll. Contingent assets relète to a legacy, which the charfty were notifled of durSn8 the yÈ3r. The charity has recognised an interim payment tsf £170,000 within le8acy income in respect of thi5 legacy durlng the year. The contingent asset relates to the remaining residual value ol the estate being held on account, 8ased on our asse55ment of the lact5 and circUmstaCeS of these future payments at the year end, we conslder it is probable but not virtualw certain that these payments will be received. -35-
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED Iumlted by Guarantsè and not havlng any share capitall NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 20Z2 UMrtrIrted Restrlcted Funds Funds Total 2021 19 PRIOR YEAR COMPARATIVES FOR THE STATEMENT OF FINANCIALAcnviTIES INCOME AND ENDOWMENTS FROM Voluntsry Income Donations Grant5 Legacies Charltable Actlvltles Travel tickets Membership subscriptions Other Tr3dln8 Activitle5 Special events Shop, catering and show Income Other income Investments Interest received 192,183 68,017 58.247 99,917 13,500 292,100 81,517 58,247 1,048,157 40,182 1,048,157 49,829 9,647 285,108 740.756 8,737 285.108 740,756 8,737 387 387 Total 2,441,774 123,064 2,564,838 EXPEPIDITURE ON RalsSng Funds Administration and event costs Shop, catering and show expenditure Charltsble actlvltSes Running and maintalnlng the Railwav 369,592 600,224 12,234 381,826 600,224 960,973 26,121 987,094 1,930,789 38,355 1.969,144 Unreallsed gains1110%5e5} on Investments 19431 19431 NEF INCOMEIIEXPENDITUREI 510,042 84,709 594,751 Transfer between funds 9,900 19,9(J)I Nèt movement In funds 519,942 74,&)9 594,751 RECONCILIATION OF FUNOS Total fun(Js brou8htforward 4,169,126 124,468 4.293,594 TOTAL FUNDS CARRIED FORWARD 4,689.068 199.277 4,888,345 -36-
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED Iljmlted by Guarantèè and not havln8 any share capital) DETAILED INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 DECEMBER 2022 2022 2021 UNRESTRICTED FUNDS Incoffle Travel tickets Platform tlckets Santa specials Other special events Membership subscription5 Bank interest received Management thar8e to subsidiary Rent received Legaoes Sundry incorne 1,131,882 12,693 113,467 220,753 49,842 3,614 37,260 8,985 205,316 9,959 1.035,133 13,024 108,243 176,865 40,182 376 32.807 12.143 58,247 4,579 Donatlons General donations Gift aid donation from subsidiary 141,253 161,4D6 192,183 9,283 Grants Rural Pbyments Agencv Coronavirusjob Retentlon Scheme Other grants 17,924 40,582 6,470 Total Income 2,102,900 1,741,571 Expendlture Engineering Marketing and Operating Sites and e51ates Herlta8e and lebTnin8 Administratlon Membership Finance costs l)epreciation Revaluations of listed investments 610,332 2go,989 192.971 31,620 387,954 20,668 26,744 218,331 12,3261 448,042 230,812 143,018 8,520 326,364 26,714 24,525 174.556 3,687 1.767,283 1,386,238 Surplus of Income 0r expèndlture on unre5tr1ctÈd funds 335.617 355,333 ThIsp38edoes notfomi part clthestalut0ryfin3al stsiements. -37-
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED (LIMIt by Guarantèt atsd not havlng any 5harÈ tapltall SCHEDULE OF EXPENDITURE FOR THE YEAR ENDED 31 DECEMBER 2022 2022 2021 En8ineerlng Employee costs Fuel and coal Other locomotive running c05t5 Carriase and wagon maintenance Permanent way maintenance Workshop5 Rolling stock repairs and refurbishment (Principally W24, Oldbury 21, and SECR63751 Other designated fund engineering costs 330,596 133,837 26,631 20,409 40,235 14.353 25,278 303,135 63,850 20,193 8,873 18,458 15,525 18,008 18,993 610,332 448,042 Markettng and operatlng PUbliCtY Employee cost5 Opefatin8 Costs Prillting and artwork Exhibitions and sundries Santa spècials other specials 92,093 107,732 2.403 275 6,317 40,018 32,151 75,447 91,072 3,427 737 10,908 28,402 20,819 280,989 230.812 Slte5 and e51ates Repair and maintenance Cleaning and ¢onsumables Employee costs 101.456 6,269 85,246 61,060 5,728 76.230 192.971 143.018 Her&tage and learning f mployee costs Education General daily expenses 21,840 302 9,478 1.958 125 6,437 31,620 8,520 Administratron Employee costs Insurancè Printing, siationery and postage HeaL Light and Wèter charges Health and safety and company doctor Telephone AGM & annual report Sundry expènsès Subscriptions Legal lind professlonal fees Rates Rent 136,576 66,393 14,436 82,671 6,768 8,944 1,221 39,588 5,595 361 7,068 18,333 117,553 56,684 14,637 68,510 2,190 8,454 571 30,330 3,632 991 4,812 18,orA) 287.954 326,364 Tklspagedoe$ not part of Ihe5tatutory finanoalstatemwts. -38-
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED (Llmited by Guarantee anil not having any shafe capital} SCHEDULE OF EXPENDITURE FOR THE YEAR ENDEO 31 DECEMBER 2022 2022 2021 Membership 151and Roll News Sundry 20,371 297 21,788 4,926 20,668 26,714 Flnance ¢osts Audit fees Bad debt5 Bank charge5 Bank Interest Credlt card charges Misc@Ilaneous Other interest Revaluations of listed investments 4.900 91 1,877 4,897 13,790 1,189 4,750 1,370 5,561 12,124 720 26,744 24,525 Deprtciatlon Motor vehicle5 Track and equipment Offlce eqijlpment Improvements to property FehOld propertv Locomotlve Drewry Rallcar Losses on disposal of assets 26,547 46,068 13,005 42.542 53,416 30,964 3,454 2,335 349 38.427 12.486 30,119 54,742 30,964 3,454 4,015 218,331 174,556 Total Ub)rÈstritted expendbture 1.769.609 1,382,551 TNspage doe5nDtform part clthe statutoiyfinandal st*ernEnts. -39-
IWR TRADING LIMITED DETAILEO TRADINGAND PROFIT AND LOS5 ACCOUNT FOR THE YEAR ENDED 31 DECEMBER 2022 2022 2021 Shop Takings Cost of Sales Opening 5totk Purchases Wages Closlng Stock 248.648 292,158 81,424 126,945 7,336 175.6721 64,467 175.485 10,385 181,4241 140,033 108,615 168,913 123,245 Gn>s$ Profli Credlt card charges Repairs and renewals 11,703 688 10,974 1,550 12,391 96,224 12.524 110,721 Net Proflt Catering Taking5 Calbouine Room booking5 Costs of sales Opening siock Purchases Wages aosing Stock 352,713 8,358 370,044 6,713 8,563 150,893 120,289 16,4441 9,855 132,547 115.744 18.5631 273,301 87,770 249,S83 127,174 Gr05s wofbt Repairs and renewals 9,427 11.251 9,427 78,343 11,251 115,923 Net profft Bar Takin85 Costs of sales Openln8 Stock Bar purchases Closing stock 53,956 43,728 781 30.384 11,6631 371 23,416 17811 29,502 24,454 23,(XJ6 20,722 Net profft Shows and speclal events Takings Olrert C05tS Opening Stock Site costs and administration C105ing stock 21,476 28,1 480 54,811 17,3201 50,718 1480 47,971 126,4951 50,238 122,1251 Gf0s5 profitlllossl Sh¢M publicitv 3,217 3,258 3,217 129,7121 3,258 125,3831 Net profft11105s1 Tradln8 Profft 169,309 221,983 Thlspw8e doe5 Dot lorm yrtof IhestaiutoryfinaDchl Str0tennts.
IWR TRADING LIMITED DETAILED TRADING AND PROFIT AND IOSS ACCOUNT FOR THE YEAR ENDED 31 DECEMBER 2022 2022 2021 Tradlng profit 169,309 221,983 Other Income Government grants received 9,511 Overheads Rent Insurance Managernent charge5 Gener31 Mana8ef Sundry expenses Audit lees DeptitiO 8ank char8es Losg on disposal of tan8lble a55ets 7,985 6,7S5 37.260 10,013 98 3,170 7,443 2.909 928 7,985 6,4(Kl 32,807 9,470 13 2,800 7.023 2,978 781 76,561 70.257 Total net profft 92,748 161.237 Bank interest received li Nèt proflt before 81ft aSd donatlon 92.836 161,248 Donations to Isle of W58ht Railway 116L4061 19,2831 Retained profft/ Ilossl 168,5701 151,965 Th15 page doe5not forrn p3rt 01 the ststutoryfinanc4a15tatements. -41-