Charfty registration number 280918 (England and Wales) Company registration number 1068690 THE ISLE OF WIGHT RAILWAY COMPANY LIMITED ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2024
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED LEGALAND ADMINISTRATIVE INFORMATION Trustees MrAJ Bary Mrs L C Buckman Mr G M Deegan Mr S Duddy Mr l M Fambank Mr G N Felton Mr M l Flynn Mr K Laird Mr S M Oates Ms M J Pardington MrCIPrice MrMHSmith Mr P Taylor Mr I Whiuam Mr J D Woodhams (Appointed 2 January 2024) (Appointed 29 June 2024) (Appointed 29 June 2024) (Appointed 18 April 2025) Secretary Mr I Whitlam Charity number (England and Wales) 280918 Company number 1068690 Regi8t8red office The Railway Statii)n Havenstreet Ryde Isle of Wight P033 4DS Audilor Moore (South) LLP 33 The Clarendon Centre Salisbury Business Park Dairy M8adow Lane Salisbury Wiltshir8 SP12TJ Bankers Lloyds Bank PIC NwNPOrt 22 St Thomas Square Newport Isle of Wight P030 1SQ Sollcltors Eldridges Solicitors 36 St Jamas Street Newporl Isle of Wight P030 1LF
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED CONTENTS Page Trustees, report Independent auditorfs port Statement of firk2ncial activities 10 Balance sheet 11 Statement of cash flov 12 Note5 to Ihe financial statements 13-30
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED TRUSTEES. REPORT {INCLUDING DIRECTORS. REPORT) FOR THE YEAR ENDED 31 DECEMBER 2024 The trustees presents its annual report and financial statements for th8 year 8nd8d 31 December 2024. The financial statements have been prepared in acwrdance wth the accounting policies set out in nole 1 to Ihe financial statements and comply with the charity's govemlng doGument. the Companies Act 2006, FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Iland. and the Chariiies SORP "kcounling and Reporting by Charities: Statement of Recommended Practi applicable to charities preparing their accounts in accordance wth the Finanaal Reporting Standard applicable in the UK and Republic of Ireland {FRS 102).. Objectlves and actlvllies The princtpal aclivity of the group in the year under review continued to be the retention, preseaOn. restoration and op8ration of a portion of Ihe railways in the Isle of Wight as a pemianent exhibition and working museum for the advancement of techni1. historical and general education. The Railway is accredited as a museum byArts Councll England. PubllG benefit The trustees has paid due regard to guidance issued by Ihe Charity Cornmission in deciding what activities the charity should underiake. The Trustees undersland the requirèments sel out in Section 17(5) of the Charitie5 Act 2011 and take the view thal The Isle of Wighl Railway Company Limited. also known as The Isle of Wight steam Railway. completely satisfies all guidanc8 issues by the Charity Commission with respect to public benefit. Volunt89rs The charity is very grateful for the significant work contributed by volunteers and for the donatnS reiVed both for specAfic projects and general funds. The trustees also wish to acknowledge with thanks the bequests the charity has received from the wlls of members and friends of the Raiiway who have sadly passed away. Achievements and perfomian¢• Significanf a¢tiwties and achievements against obieclives Th8 Railway had a more challenging year of trading and operation in 2024. with a drop in visitor numb8rs to the Island and general economic pressures. Additiorially. changes to employment $ts including the natnal minimum vtsge, and the rising cost of supplies has inuea5ed costs. with additional employment costs not abating into 2025. Mitigations going forward include a review of staffing resources. developing more business vrfithin the local Island mark8l. in(xeasing dwell tim8 on site and growing secondary spend. There were three significant safety or cornpliance events througkM)ul 2024, all of which were notified to Ihe appropriate aulhorities. Fundraising pracfiGes The Railway does not employ or contract a professional furKJraiser: a Partnerships and Fundraising Officer was employed on a temporary six-month contract during 2024. Flnancial réview Total incorne for Ihe charity for the year amounted to £2.600.231 {£2.550.111 in 2023). Expenditure on raising fijnds amounted to £850.445 (£679,323 in 2023), charitable activilies direct costs £1,434,654 (£1.329,429 in 2023). charitable activities, share of support and governance costs £132.904 {£128,929 in 2023). other expenditure £4.834 (£3,167 in 2023) The overall surplus for the year was £177.394 (£409.263 in 2023}. An Extraordinary General Meeting was held in December 2024 to appoint Moor8 {South)LLP as the compny'S auditors. who have conducted the audit of these accounts. Following the audit process they have drawn to the attention of the company a number of longstanding practices which, in their opinion. do not comply wth current best practice. They are also recA)mmending several longstanding financial policies are r8viewed. A Finance Working Group has been established to oversee the Railway's finances and make recommendations io the Board. The group consists of senior managers. trustèes and outside ffinancial experts.
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED TRUSTEES. REPORT (INCLUDING DIRECTORS. REPORT) (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2024 Going concem Al the time of approving the financial statements. the trustees has a reasonable 8xpectation that the group and the charity has adequate resources to continue in operational existents for the foreseeable future. Thus the trustees continue to adopt the going concern basis of accounting in prepating the financial statements. This ass8ssment has been m8de following a revi8w of budgets prepared for the next twelve months, current performance and cashfiow modelling that maintain the trustees, position thal the group continues to be a going concern. ReseryesJx)licy The current policy of the charitable company is to maintain unrestricted funds, which ar8 the free reserves of th8 charitable company, at a levèl which equates to approximately four monihs unrestricted expenditure In order to avoid operating cashflow problems. The auditors in their evaluation ol our accounting procedures have recommended that this policy is reviewed. The overall reserves of the charity held on 31 Dember 2024 amounted to £5,700.368 of which £188,915 are held for restricted purposes. Reserves of £3.560.489 ara held as red assets including investments. £754.242 of reserves relating to legacies ceiVed have been designated for specific purposes by trustees, and £141.216 has been designated towards work required for the Train Story 2 project. This leaves £1,055,506 of free. unrestricted resenies. This level of free reserves is considered by the trustees lo be sufficTrent to meet the reserves policy sel out abovg. Of designated funds approximately £145.000 will be spent during 202516 on the completion of th8 E1 restoration project. Ashey Station and an adjoining parcel of land were purchased for £675,000 in Aprtl 2025. utilising a £300k commercial Mortgage and the balance from reserves. This level of reserve5 has been maintsined throughout the year. Principal funding sources The charitys principal funding sources continue lo be from donations aThJ memb8rship incoma. shop sales, catering, ticket sales and other special events income. The charity has also benefitted from grant funding of £50k for the new playground although this was spent in 2025. Once the cosl of generating these funds has been deducted the tnajority of the remaining ftjnds are used in support of the charity's key objectives. Inv8Stm8ntpolicy Under the charity's goveming document. the tTUStees have the power to invest the monies of the chalitable company not immediately quIred. in any such nianner as the trustees may from time to tinie determine. Majorrisks The trustees have exam(ned the major strategic business and operatronal risks which Ihe charitable company faces and confirms that systems have been established to enable regular reFM)rts to b8 produced so that the necessary steps can be taken to lower those risks as far as is reasonably practical. Tho tNstees are conscious of the risks posed by economic uncertainty, the increases to cost of living 2nd rises in minimum wages and National Insuran Contributions. Th8 Isle of Wight as a whole has suffered a downtum in popularity as a lourist destination in recent years, a rnarkel the Railway has relied upon heavily in the past. Actions are set out above in Iha Achievements and Performance section to address these challenges. The Trustees have adopted a strategy to continue to manage Costs robustly while investlng in revenue generation through additional and improved marketing and capital invesltnent in facilities to generats incr8ased secondary spend. Plans for future perlods The Trustees have begun a restructuring of the organisation in tenns of staffing. management and VernanCe to deliver a rnore stralegic approach and streamline the business operation. They wll also identify better and wider utilisation of volunteers to ensure that our paid staff are utilise(I where required, effectively and efficiently.
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED TRUSTEES. REPORT (INCLUDING DIRECTORS, REPORT) (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2024 Slructure, governance and management The Isle of Wight Rallway Cornpany Limited is constituted und8r its Memorar]dum and Artides of AsSlation and is a registered charity no. 289018. It was Incorporated on 13 August 1972. Its subsidiary. IWR Trading Limited was incorporated on 1 December 1992. The Isle of Wighl Railway Company Limited is a registered charitable company limited by guarantee, not having any share Gapital. Members guarantee to pay during their membership and within one year after Ih8y cease to b2 a member. in the event of a winding up order. a sum not axceeding five pounds for paymenl of debts and liabilities contracted by the charwiable company before they ceased to be a member. The members of the Iwslees. who are also the directors for ihe purpose of company law. and who served during the year and up to the dats of signature of the financial statements were: MrAJ Barry Mrs LC Buckman Mr G M Deegan Mr S Duddy Mr l M Fambank Mr G N Felton Mr M l Flynn Mr S Futcher Mr K Laird Mr S M Oates Ms M J Pardington MrCIPri MrSMSmart Mr M H Smtth Mr P Taylor MrPGVail Mr I Whitlam Mr J D Woadhams (Appointed 2 January 2024) (Reslgned 29 June 2024) (Appointed 29 June 2024) (Appoinled 29 June 2024) (Appointed 18 April 2025) (Resigned 29 June 2024) (Resigned 20 January 2025) Recruitment and appoinlment of truste8S Any fvlly paid-up member of the charitable Company may put their name foThvard for membership of the Board subject to compliance with article 33 (d) {1} of the companys Articles of Associalion. In addition, the Board has the right lo invile fully paid-up members to put their rRmes forward. Elections to the Board are subject to a confidential vote of members at the company's Annual General Meeting. Those members unable to attend may vote by proxy. The Board also has the right to coOPl additional members onto the Board at any time during lh8 year to fill vacancies. but thes8 nominées will then be subject to th8 818ction process at the subsequent Annual General Meeting. Matters relating to the membership of the Board are fully covered in articles 31-37 of the charitable company s Articles ofAssociation. An induction is provided to n8W trustees by the Company Secretary. Development and Iraining for truslees is provided throughout their term of Offi where needs are id8ntifi8d. The process for the selection and recruitinant of new trustees is currentty under review wlth the view of increasing diversity.
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED TRUSTEES. REPORT (INCLUDING DIRECTORS. REPORT) (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2024 Organisational structure The Board has the responsibility for establishing policy. DelSvery of these policy decionSI5 responsibility of a Chief ExetIVe. who works wth the charitsble companrfs Heads of Department who cover the following operations: rolling stock, rail infrastnJ¢ture. estates. health and safety. operating. retail and catering. marketing, heritag8 and leaming, finance, human resources and administration. An organisational r8view process was started during 2024 with a view to streamlining the organisation by 2026. All staff and volunteers working within these departments are responsible to th8ir H8ad of Departmenl. A management structura exists whereby all Heads of Department currently report to the Chief Executive, who in tum is responsible to the Board. M Morgan-Huws was appoinled Chief Executive with effect from 1 July 2024 followin9 a six-month p8riod as Interim General Manager. Pay and remuneration for all staff. including key management personnel. is detemiined by the Board ahead of the start of the financial year. The Board considers the rate of inflation and local and sector market rates. Variations may be made during the y8ar to reflect recruitment requ1MentS or arising from changes to Indivldual posts. other matters COMPANY SUSTAINABILrrY STATEMENT The Railway recognises knat. as a responsible organisalion. it has both moral and legal obligations to act in 8 sustainable manner to reduce where possible and practtcal. its impacl on the wider environmenl. It aims to do so by minimising ils consumption of natural resources. effective and efficient use of those resources, reducing waste generation and repurposing and rewcling of waste where possible. thereby reducing its impact on the nalur81 environment. promoting biodiversity on lis land holding and minimising pollution in all fomis arislng from its operations. Dlsclosure of Informatlon to auditor Each of the trustees has confirnied that there is no information of which they are aware which is relevant to the audit, bul of which th8 auditor is unaware. They have further confirmed that Ihey have taken appropriate steps to identfy such relevant information and to establish that the auditor is aware of such information. statement of trustees. responsibilities The trustees, who are also the direclors of The Isle of Wight Railway Company Limited for the purpose of cornpany law, is responsible for preparing the Trusiees. Report and th8 finanaal statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Atrpted knounling Practice}. Company law requires the trustees to prepare financial statements for each financial year which give a true and fair viaw of tha state of affairs of the charity and of the incoming resources and application of resources, induding the income and expenditure. of the charitable company for that year. In preparing these financial stat8mants. the Irustees is required to: - select suitable accounting policies and then apply them consistently. - observe the methods and principles in the Charities SORP: - make judgements and estirnates that are reasonable and prudenL slat8 wh8th8r applicable UK Accounting Slandards have been followed. subject to any materlal departures disclosed and explained In the finanoal slatements" and - prepare the financial statements on Ihg going 0)nM basis unless it is inappropriate to presuTne that the charity will ¢ontinue in operation. The trustees is responsible for keeping adequate aCcunting recorts that disdose wtth reasonable accuracy at any lime the financial position of the charty and enable tt to ensure that the financial statements COTTply with the Companies Act 2006. It is also responsible for safeguarding the assets of the charity and hen for taking r8asonable steps for the prevention and delection of fraud and olher irregularities.
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED TRUSTEES. REPORT (INCLUDING DIRECTORS. REPORT) (CONTINUEDI FOR THE YEAR ENDED 31 DECEMBER 2024 Audttor In accordance with the companys arbdes, a resolution proposing that MO0 (South) LLP be reappdnted as auditor ofthe company wiu be pui al a General Meeting. Iru tees, re ort was approved by the Trustees. MrPTa Date: ...... 19.,,.Ilvg.v+... 2oLf
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED INDEPENDENT AUDITOR'S REPORT TO THE TRUSTEES OF THE ISLE OF WIGHT RAILWAY COMPANY LIMITED Opinion We have audited the financial statements of The Isle of Wight Railway Company Limited {the 'charitW) for the year ended 31 December 2024 which comprise Ihe statement of financial adtvilies, the balance sheet, the statement of cash flows and not8S to the financial statements. including signfficant accounting policias. Tha financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards. including Fin8nci81 Reporling Standard 102 The Financial Repottsng Standard applicable in the UK and Republic ol Ireland (United Kingdom Generally Accepted Accounting Practice). In our opinion, the finan(xal statements= give a true and fair view of Ihe state of the charitable COMpaS affairs as al 31 December 2024 and of its incoming resources and application of resources, for the year then ended. have been properly prepared in accordance wilh Unite(l Kingdom Generally Accepted Accounting Practi. and have been prepared in accordan with the requirements of the Companies Act 2006. Basis for opinion We conduded our audii in accordan with International Standards on Auditing (UK) (ISAS (UK)) and applicable law. Our r8sponsibilitias under those stsndards are further described in the Auditorfs responsibilities for the audil ol the financial statements section of our report. W8 are independent of the charity in accordance with the ethical requiremenls that are relevant to our audtt of the financial statements in the UK. including the FRC'S Ethical Standard, and we have fulfilled our other elhical responsibilities in accordanc& with Ih8se requirements. We believe that th8 audit èvid8nce we hav8 obtained is sufficient and appropriate to provide a basis for our opinion. Con¢lusions relating to golng concern In 8uditing the financial statements. we have concluded that Ihe trustees. use of the going concen basis of accounting in the preparation of the financ1 statements is appropriate. Based on Ihe work we have perfomied, we have not identtfied any material uncertainties relating to events or conditions that. individually or collectively. may cast significant doubt on the chaiity's ability to continue as a going concern for a period of at least tw8lv8 months from when the financial stalements are authorised for issua. Our responsibililies and the rasponsibilities of the trustees with respect to going concem a described in the relevant sections of this report. other intorniatTon The other Infomation comprises the information induded In the annual report other than the financial stslements and our auditorfs report thereon. The trustees is responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other infomiation and we do not express any form of assuran conclusion Ihereon. Our responsibility is to read the other infomiation and, in doing so, consider whether the other infomiation is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identfy such material inconsistencies or apparent material misstatements, we are required lo detemiine whether this gives rise lo a material misstatement in lh8 financial statements th8mselves. If. based on the work w8 hav8 perfonned. we conclude that there is a material misstatement of this olher Information. we are required to report that facL We have nothing to report in this regard. Matters on which we are required to report by exception We have nothlng to Teport in respecl of the followtng matters Tn relation lo which the Charities (Accounts and Reports) Regulations 2008 requires us to report to you rf. in our opinion.. the information given in the financial statements is inconsistent in any material respect wth the trustees, report: or sufficient accounting records have not been kept" or the finanGi81 statements are nol in agreement with the a¢Untg reGords' or we have not received all the infomiation and explanalions we require for our audit.
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE TRUSTEES OF THE ISLE OF WIGHT RAILWAY COMPANY LIMITED Rasponslbllltles of trustees As explained more fully in th8 Statement of trustees. responsibilities. the trustees. who are also the dlrectors of the charity for the purpose of company law, ts responsible for the preparation of the financial statements and for belng satisfied that they give a true and fair vi8w. and for such intemal control as the trustees determines is necessary to enable the preparation of financial statements that are free from material misstat8m8nt. whether due to fraud or error. In preparing the financial statements. Ihe trustees is responsible for assessing the chartiy's abilily to conlinue as a going concern. disdosing, as applicable, matters related to going conc8m and using the going concem basis of accounting unless the trustees either intend to Itquidate Ihe tharitable company or to cease operations. OT have no realistic alternalive bul to do so. Audilorfs r88ponsibilities for the audlt of tho financlal statements We have been appointed as auditor under section 144 of Ihe Charittes Act 2011 and report in accordance with the Act and relevant regulations mad8 or having effect thereunder. Our objectives are to obtain reasonable assuranco about whether the financial statements as a whole are free from matertal misstatement, whether due to fraud or error. and to issue an auditorfs report that includ8s our opinion. Reasonable assurance is a high 18vel of assurance bul is not a guarantee that an audit conducted in accordance wilh ISAS (UK) will always detect a material misstatement when it exists. Misstatements arise from fraud or eor and are considerèd material rf. individually or in the aggregate. they could reasonably be expecied to influ8nce the economic decisions of users taken on the basis of these financial statements. A further description of our responsibilities is available on Ihg Financial Reporting Council's websile at: https.'Il www.fr¢.org.uklauditorsr8sponsibilities. Thls descAiption fomis part of our auditorfs report. The extent to whlch our procedures are Capable of detecting irregularities, including fraud. is delailed below. Explanatlon as to what extent Ihe audit was considered capable of dotocting irregularttles, In¢ludlng fraud The objectives of our audit in respect of fraud, are. to identify and assess the risks of matetial misslatement of the accounts due to fraud. to obtain sufficienl appropriate audit ewdence regarding the assessed risks of malerial misstatemenl due to fraud. through designing and implernenting appropriate responses to those assessed risks. and lo respond appropriately to inStanS of fraud or suspe¢led fraud identified during the audit. However. the primary responsibility for the prevention and detection of fraud rests with both management and thos8 charged with governance of the charity.
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE TRUSTEES OF THE ISLE OF WIGHT RAILWAY COMPANY LIMITED Our approach was as follows: The engagement partner selected staff for the audit. led by persons vAio it was deemed had sufficient experience and who had the required comFdence and skills to be able to identify or recognis8 non- compliance with laws and regulations. We obtained an understanding of the legal and regulatory requirements applicable to the charity and we considered Ihe most signtfiixnt to be the Charities Acl 2011. th6 Companies Act 2006 the Charity SORP, UK financial reporting standards as issued by Ihe Financial Repo.ng Council. UK tax legislation and the Office of Road and Rail. We obtained an understanding of how the charity is complying with thes8 frameworks by maklng enquiries of those chaTged wth govemance and senior management Ihal are charged with responsibility for ensuring 18gal and regulatory compliance is adhered to. We enquired of management and those charged with governance as to any known instances of nonwcompliance or suspected non-compliance with laws and regulations. We assessed the susceptibility of the charitys financial statements to material misstatement, including how fraud might occur. and the inherent difficulty in deiecling irregularities by holding discussions wilh management and those charged with responsilxlity for ensuring legal and regulatory complian(x is adhered to and considered the intemal controls in place to mitigate identified risks. As a result. a fraud risk was identified relating to management oveFtide. In addtknon to the possibility of management override of controls. areas considered higher risk relaling to the presentation of infom)ation in the financial statements includ8d the recognition of venue and idenlification and appropriate disdosure of relaled party tran5aclions. We assessed the control environment, documenting the systems. controls and processes adopted and und8rtook an assessment of risk identified in designing our audit approach which incorporates a combination of controls testing. where appropriate. analylical review and substantive procedures involving tests of transackn.ons and balances. Any irUlar1t[es noted were discussed with management and those charged wtth g0veMan and we obtained additional corroborative evidence as required. To address the risk of fraud through management oveTtide we: perfomied analytical procedures to identify any unusual or unexpected reialionships: tested joumal entries lo identify any unusual transactions., lested items of expenditure to ensure that they were valid and rAKieclly allocated in the nominal ledger, reviewed restricted expenditure to ensure funds were spenl in line with the terms of the applied rastriclion. In response lo the risk of irregularities with regards lo completeness of income we= completed analybcal work to evaluate inconsistencies and significant variances in income strearns- reviewed third party docum8ntalion to o)nfimi that relevant entries were reflected in the accounting records., reviewed transactions b8for8 arKI after the year end lo ensure they had been allocated to the correct period. and: reviewed fund balances for any misallocation of income sources. In response to the rtsk of irregularities with regards to non-disdosure of related parties we-. viewed trustee's declaration of interests for m8ntion of [ble related parties: performed searches of publi¢ registers for any related parties associated with trustees" agreed disclosures to source rec(Jrds. induding approval: and reviewed minutes of meetings for mention of any potential related party.
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE TRUSTEES OF THE ISLE OF WIGHT RAILWAY COMPANY LIMITED There are inherent limitations in our audit procedures desuibed above. The more removed that laws and regulations are from financial transactions. the less likely it is that we would be¢orne aware of non-compliance. Auditing standards also limit the audti procedu5 required to identify non-compliance wilh laws and regulations to 8nquiry of th8 director5 and other managem8nt and the inspeclion of regulatory and legal correspondence, rf any. Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion. Use of our report This report is made solely to the charity's trustoes, as a body. in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2Q08. Our audit work has been undertaken so thal we might state to the charitys trustees those we re required to state to them In an auditor's report and for no other purpose. To the fullest ext8nt perm we do not accepl or assume responsibility to anY¢e other than the charity 2nd the charity's . for our audit Work. for this report, or for the opinions we have fomied. edb bo onald utory Auditor) For and on behalf of Moore (South) LLP, Stslutory Auditor CharteredAccountants 33 The Clarendon Centre Salisbury Business Park Dairy Meadow Lane Salisbury Wiltshire SP12TJ 23 August 2025 Moore {South) LLP is eligible for appointment as auditor of Ihe chatity by virtu8 of its eligibility for appointment as auditor af a rximpany under section 1212 of the Companies Act 2006.
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITUREACCOUNT FOR THE YEAR ENDED 31 DECEMBER 2024 Unrestricted Restrlcled funds funds 2024 2024 Totsl Unrestricted Restricted funds funds 2023 2023 Total 2024 2023 Notes Income and endowments from: Donations and18gacies Charitable aclivilies Other trading activities Investrnents Other income 464.096 1.344.318 451.802 57.327 158.957 123.731 587.827 1.344,318 451,802 57.327 158,957 611.805 1.287.834 396.451 30.634 137.722 77,055 688,860 8.610 1,296.444 396,451 30,634 137,722 Total incom8 2.476.500 123.731 2.600.231 2.464.446 85,665 2.550,111 Expenditure on: Raising funds Charitable actwilies Other expenditure 843.781 1.514.809 4.834 6.664 850.445 52.749 1,567,558 4.834 676.873 1.402,312 3,167 2,450 679,323 56,046 1.458,358 3,167 14 Total expenditure 2,363.424 59.413 2.422.837 2,082,352 58,496 2.140,848 Net in¢orne 113,076 64.318 177.394 382,094 27.169 409.263 Transfers beiween funds 24.578 (24.578) 57.658 (57.658) Net movement In funds 11 137.654 39.740 177.394 439,752 (30,489) 409.263 Recon¢lllatlon of funds: Fund balances at 1 January 5.373.799 149.175 5.522.974 4.934,047 179,664 5,113,711 Fund balances at 31 December 5.511.453 188.915 5,700,368 5,373,799 149.175 5.522,974 The statement of financial aclivities includes all gains and losses recognised in the year. All income and expenditure derive from ¢tInUIng activities. 10-
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED BALANCE SHEET AS AT 31 DECEMBER 2024 2024 2023 Notes Flxed assets Tanglble assets H&ritagÈ assèts InVeStnnIS 16 17 18 3.175.370 38S.119 10.000 3,039,360 218.047 10,CA)O 3,570.489 3.267,407 Current assets Stocks Debtors Cash al bank and In hand 32.043 526.601 1,803.138 36.423 245.010 2,195.957 21 2.361.782 2.477,390 Credlt4Jrs: amounts fallin9 due within one year 22 1231.903) (221.823) Net current assetg 2.129,879 2.255.567 Total assets less current Ilabllities 5.700.368 5.522.974 The funds of the charfty Restrlcled Income funds Unregbicted funds 24 25 188.915 5.511.453 149.175 5.373,799 5.700.368 5.522.974 These financial ststements have been prepared in accordance with Ihe provi5tons appticable to companles subieGt to ihe small ¢ompanies regime. nan 'al statements were approved by the board oftrustees on .. MrP or Company reglstration number 1068690 (England and IAèles) 11
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 DECEMBER 2024 2024 2023 Notss Cash flows from operatlng actlvltles Cash generated from operations 32 116.318 664,181 Investing activities Purchase of tangible fjxed assets Proceeds from disposal of tangible fixed assets Purchase of heritage assets Investment income received (363.928) (411.294} 2,895 (205,431) 57.327 (54.869) 30,634 Net cash used In Investing adivitles {509.137) {435.529) Net cash generated from financing activities Net {decrease)lincrease in cash and cash èquivalents {392,819) 228.652 Cash and cash equivalents at beginning of year 2.195.957 1.967.305 Cash and cash equivalents at end of year 1.803,138 2.195.957 12-
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2024 Accounting policies Charlty Infomiatlon The Is18 of Wight Railway Company Limited is a private company limrted by guarantee incorporated in England and Wales. The registered office is The Railway Station. Havenstreet. Ryde. Isle of Wight. P033 4DS. 1.1 Accountlng conventlon The financial statements have been prepared in accordano with the charivs goveming document. the Companies Act 2006. FRS 102 Yhe Financial Reporting Stsndard applicable in the UK and Republic of Ireland" and the Charities SORP "Accounting and Reporting by Charities.. Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in Iha UK and Republic of Ireland (FRS 102). The Charity is a Public Benefit Entity as defined by FRS 102. The financial statements are prepared in sterling. which is the functional currency of the charity. Monetary amounts in these financial statements a rounded to the nearest £. The financial statements have been prepared under the historical cost CA)nvention. The principal accounting policies adopted are set out below. 1.2 Golng GonGern At the time of approving the financial statements. the trustees has a reasonable expectation Ihat the chartty has adequate resources to continue in operalional existence for the foreseeable fulure. Thus th8 trustees continue to adopt the going concem basis of accounting in preparing the finan¢lal statements. 1.3 Charltable funds Unrestricted funds are available for use at tha discrotion of trustees in fvrtherance of their charitable objectives. Restricted funds are subject to specrfic con¢Jitions by donors or grantors as to how they may be used. The purposes and uses of the restrided funds are set out in the notes lo the financial statements. 1.4 Income Income is recognised when the charity is legally entifled to il after any perfomiance conditions hava baan m&t. the amounts can be measured reliably, arKI it is probabl8 that income will be received. Cash donations are recognised on receipt. Other donations are recognised once the charity has been notified of the donation, un18ss perfomiance conditions require deferral of the amount. Income tsx recoverable in relalton to donations received under GiftAi(J or deeds of covenant is recognised at the time of the donation. Legacies are recognised on receipt or other4vise if the charity has been notified of an impending distribution, the amount is known. and receipt is expected. If the amounl is not known. the lega(ry is treated as a contingent asset. Grants are recognlsed when unconditional entitlement lo the income is passed to the charitable company. Where there are performance related terms and conditions that musl be met before unconditional entitlemenl passes lo the charitable company, the income is recognised once il is highly probabl8 that these will be met. or il is carried forward to the next accounling pèriod. WIre no such conditions exist the income is rocognised when it is reived. 13-
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2024 Accounting pollcles (Continued) 1.5 Expendlture Expenditure is recognised once there is a legal or constructive obligation lo transfer economic benefit to a third party, it is probable that a transfer of e(x)rK)tnic benefrts will be required in settlem8nL and the amount of the obligation can be measured reliably. Expenditure is classified by activity. The costs of each activity are made up of the tolal of d]rt costs and shared costs. induding support costs involved in Undertan9 each activity- Oirect costs attributable to a slngle activity are allocated direcuy to that activity. Shared costs which contribute lo more than one activity and support costs vthich are not attributablè to a single activity are apportioned beeen those aclivilEs on a basis Consistent with the use of resources. Central staff c05t5 are allocated on the basis of lime spenL and depreciation charges ar8 allocated on Ihe portion of the assefs use. 1.6 Tangible fixed assets Tangible fixed assets are initially measured at Cost and subsequently measured at cost or valuation. net of depreciation and any impairment losses. Depreciation is recognÉsed so as to write off the cost or valuation of assets less their residual values over their useful lives using Ihe reducing balance method unless otherwse ststed: Freehold land Freehold property Improvemenls to propety Tools & Equipment Permanenl way Office Equipment Motor vehicles Not depreoated 31J/o per annum 20% per annum 25Yo per annum 5% per annum 20°h per annum 25¥0 per annum Assels in the cours8 of construction are not depreciated until the asset is brought Into use. The gain or loss arising on the disposal of an asset is detetmined as th8 dtfference between the sa18 proceeds and the carrying valu8 of tha assel. and is recognised in the statement of finan(ial aGtivities. 1.7 Herltage assets It is the charitys policy not to capiialise any heritage assets where it is not possible to place any reliable value on them. All heritage assets that can be reliably valued are includ8d on the balan sheet at cost or valuation less accumulated deprectation. The depr8ciation policies for the heritage assets are as fdlows on a straight line basis: No.38, Barclay 0-6-OT Ajax 10 /0 per annum on cost from date brought tnto service Ivatt Engines ovethaul costs 10Yo per annum on cost from date brought Into service Drewry Rail¢ar 5Yo per annum on cost from date brought into servic Island Heritage Locomotives Ovethaul Costs 10Yts P8r annum on cosl from date brought into service Assets being overhauled or in the course of construction are nol depreciation until the asset is brought into US8. The charity has a Collection of working steam locomotives 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 consider thal reliable Cost or valuation can be obtained for the majority of the locomotsves in th8ir co118ction. due to the rarity and lack of liquÈd market for them. The charity does not therefore recognise these assets on the balance sheet. 14-
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED NOTES TO THE FINANCIAL STATEMENTS {CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2024 Accountlng pollcles (Contlnued) 1.8 Flxed asset Investments Fixed asset invesim8nts are intttally measured at transaction price exduding transaction costs. and are subsequently measured at fair value at each reporting date. Changes in fair value a recognised in net incomel{expenditure) for the year. Transactron costs are expensed as incurred. A subsidiary is an entity wntrolled by the charity. Control is the power to govem the finanaal and operating policies of the entity so as to obtain ban&fits from its activities. 1.9 Impalrnient of flxed assets At 8ach r8porting end date. Ihe charÉty reviews the carrying amounts of its tangible assets to d8tem)ine whether there is any indication thal those assets have suffered an impainnent loss. If any such indation exists. the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any}. 1.10 stocks Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cosl comprises direct malerials and. where applicable. direct labour costs and those overh8ads that have been ncurred in bringing tho stocks to their present location and condition. Items held for distribution at no or nominal consideration are measUd the lower of replanien1 cost and cost. Net realisable value is tha estimated selling price 18ss all estimated costs of completion and ¢osts to be incurred in marketing, selling and dislribution. 1.11 Cash and cash equivalents Cash and cash equivalents include cash in hand. deposits held at call with banks, other short-term liquid inveslments with original maturities of three months or less, and bank overdrafts. Bank overdrafis are shown wthin borrowings in current liabilities. 1.12 Flnanclal Instruments The charity has elected to appty the provisions of Section 11 '8asic Financtal Insttuments. and Section 12 'Other Financial Instruments Issues. of FRS 102 lo all of its financial instruments. Financial instruments are recognised in the charitys balance sheet when the charity becomes party to the contractual provistons of the instfument. Financial assets and liabilities are offset, with the net amounts presented in the financial statements. when there is a legally 8nforcaable right to set off th8 tecognised amounts arKI there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously. Bas1¢ flnancial assets Basic financial assets, which indude debtors and cash and bank balans, ale initially measured 81 transaction price including transaction costs and are subs8quently carried at arnortised cosl using the effeclive interest method unless the arrangement consttiutes a financing transaclion. where the transaction is measured at the pr8sent value of the future receipts discounted at a market rate of interest. Financial assets dassified as receivable within one year are not amortised. 15
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED NOTES TO THE FINANCIAL STATEMENTS {CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2024 Accounting policios (Continued} Basic financial liabilitles Basic financial liabiles, includtng creditors and bank toans are inilially recognised at transaction price unless the arrangement constitutes a financing transaction, where Ihe debt instNment is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities dassified as payable within one year are not amortised. Debt instruments are subsequenuy carried at amortised cost, using the effective interest rate method. Trade creditors are obligations to pay for goods or services Ihat have been acquired in the ordinary course of operations from suppliers. Amounts payable are dassified as current liabilities if payment is due within one year or less. If not. they are presented as non-current liabilities. Trade credttors are recognised initially at transaction price and subsequently measured al amortised cost using ihe effective interest method. Derecognition of financlal Ilabllltles Financial liabilities are derecognised when the charity's contradual obligations expire or are discharged or cancelled. 1.13 Employee benefits The cost of any unused holiday entitlement is recognised in the period in which Ihe employee's SerViS are received. T8rmination b8nefits are recognised immediately as an expense when the charity is demonstrably committed to terminate the employment of an employee or lo provide terfflinalion benefits. 1.14 Retirement benefits Payments lo defined contribution retirement benefit schemes are charged as an expense as they fall due. Crlllcal accounting estimates and judgements In the application of the charitys accounting policies. the trustees is required to make judgements. estimates and assumptions aboul the carrying amount of assets and liabilities that are not readily apparent from other sourc8s. The estimates and associated assumptions ar8 based on historical experience and other factors that are considered to be relevant. Adual results may differ from these estimates. The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects cffily Ihal period. or in the period of the revision and future periods where the revision affects both current and future periods. Income from donatlons and legacles Unrestrlcted Reslricted funds funds 2024 2024 ToLIl Unrestrtcted Restricted funds funds 2023 2023 Total 2024 2023 Donations and gifts Legacies Grants 171.112 253.258 39.726 123.731 294,843 253.258 39.726 166.341 427.675 17.789 77.055 243.396 427.675 17.789 464,096 123.731 587.827 611.805 77.055 688,860 16-
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED NOTES TO THE FINANCIAL STATEMENTS {CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2024 Income from charitable activities Unrestrlcted Restricted funds funds 2024 2024 Total Unrestrl¢ted Restricted funds funds 2023 2023 Total 2024 2023 Ticket sales ricket sales Other income 1285.093 3,734 1.285.093 3.734 1.253.842 1,253.842 Membership subscriptions Other incame 55.491 55.491 33.992 8.610 42.602 1.344.318 1.344.318 1,287,834 8,610 1.296.444 Membership subscriptions are recognised evenly over tweive months frcxn the date the membership was taken out. During the previous year. it was IdentiFd that these had not been deferred correctly. The effect was not sufficient io require an adjustment io ihe results. therefore the previous year membership figures appear lower Ihan actual membership numbets for that year. Income from other trading activlties Unrestricted Unrestrict8d funds ftinds 2024 2023 Fundraising events Other income 440.875 10.927 367.601 28.850 other trading activities 451,802 396.451 Income from Inveslm8nts Unrestricted Unrestricted funds fund5 2024 2023 Interest r1Vable 57,327 30,634 17-
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2024 other Income Unrestrfcted Unrestricted funds funds 2024 2023 Income from trading subsidiary 158,957 137.722 ExpondTtur• on raising funds Unrestricted Restrlcted funds funds 2024 2024 Total Unrestricted Restricted funds funds 2023 2023 Total 2024 2023 Fundraising and publicity Financial Costs Special events Volunteer deparlmenl expenses Advertising Other fundraising costs Staff costs Depreciation and impairment Support costs 18.075 103.813 18,075 103,813 16.967 88,471 16.967 88.471 13,157 176.704 68,682 168.543 13.157 176.704 75.346 168.543 15,224 117.753 41.798 111.888 15.224 117,753 44.248 111,888 6.664 2,450 47.537 247.270 47,537 247.270 50,700 234.072 50.700 234.072 843.781 6.664 850.445 676.873 2,450 679.323 18-
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2024 Expenditure on charitable acuvltles Raijway infrastructure and rolling stock Railway infrastructure and rolling stock Unrestricted Restrlcted Total Unrestrlcted Restricted Total funds funds funds 2024 2024 2023 2024 2023 2023 Dlrect ¢osts Staff costs Deprecialion and impairmant Rolling Stock and infrastructure running costs Rolling Stock refurb Sundry Operating costs Printing, posting and siationery Repairs & Maintenance Cleaning Legal & Professional IRN Membership Audit and acwuntsncy Museum expenditure 665.097 16.104 681.201 602,263 45.881 648.144 211.011 211,011 183.009 183.009 277.105 37.525 26.631 9.179 277.105 37.525 26.631 9.179 254,706 17.838 5.939 2.760 254.706 17.838 5.939 2,760 531 531 78.857 5,483 16.040 27.884 22.022 100.879 5.483 16.040 27.884 158,177 5.716 350 25,476 10.165 168.342 5,716 350 25,476 15.815 11.051 15.815 25.674 8.230 8.388 8.230 8.388 14.623 1.381.905 52.749 1.434.654 1,273.383 56,046 1,329.429 Share of support and governance costs (see note 10) Support 132.904 132.904 128,929 128,929 1.514.809 52,749 1.567.558 1.402,312 56.046 1.458,358 Anatysls by fund Unrestrtcted funds Reslricted funds 1,514.809 1.514.809 52.749 1.402.312 1.402.312 56.046 52.749 56.046 1.514,809 52.749 1.567.558 1,402.312 56.046 1.458.358 19-
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2024 10 Support Costs allocated to activities 2024 2023 Staff costs Insurance Printing, post and stationery Heat. light and water Telephone Rates Health and Saf8ty Rent 144.263 85.878 19.218 94.329 10,063 5.291 1.132 20.000 141.431 76.938 15.413 91.206 8.890 4.377 4,746 20.000 380.174 363.001 Analysed between" Fundraising Railway infrastructure and rolling stock 247,270 132.904 234.072 128.929 380.174 363,001 11 Net movement in funds 2024 2023 The net movement in funds is stated after ¢hargingl(crediting): Fees payable for the audit of the charity's financial statements Depreciation of owned tangible fixed assets Depreciation of heritage assets Loss on disposal of tangibl& fixed assets 12,000 220.189 38.359 4,834 8.230 199.291 34.418 3,167 12 Trustees None of the trustees (or any persons connected with them) received any remuneration OT benefits from the charity during the year. 13 Employees The average monthly nurnber of employees during th8 year vras: 2024 Number 2023 Number 43 40 -20-
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2024 13 Employees (Continued) Employment costs 2024 2023 Wages and salaries Social security costs Other pension cosls 920.315 59.389 14,303 845.715 44.341 11,407 994.Q07 901.463 There were no employees whose total employee beneffts (exduding employer pension contributions) within the r8POrting period was more than £60.000. Remuneratlon of key management personnel The remuneration of key management personnd was as follows: 2024 2023 Aggregate eamings 98.425 83,926 The key rnanagnent personnel of the charity comprise the Chief Executive and Chief Finance offir. 14 Other expendlture Unrestricted Unrestricted funds funds 2024 2023 Net105s on disposal of tangible fixed assets 4.834 3,167 15 Taxation Th8 charity is exempl from taxation on its activities because all its inccwne is applied for charitable purposes. 21
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2024 16 Tanglble flxed assets Froehold land Improvements & Proparty to property Tools & Equipment Offic• Equipment Motor vehicles Total Cost At 1 January 2024 Additions Disposals 2.788.415 98.528 883.962 1,442,849 82,318 137.370 (24,759) 130.826 181.099 5.427,151 17.735 27.977 363.928 (3.152) {11.025) {38.936) At 31 December 2024 2.886.943 966.280 1,555.460 145.409 198.051 5.752.143 Deprociation and impairnient At 1 January 2024 Depraciation charged in the year Eliminated in respect of disposals 716,937 727,039 797.469 77.682 68,664 2.387.791 51.006 47.849 73.797 13.984 33.553 220.189 (23.932) (2.452) (4.8231 {31,207) At 31 December 2024 767.943 774,888 847.334 89.214 97,394 2,576.773 Carrylng amount At 31 December 2024 2.119.000 191.392 708,126 56.195 100.657 3,175,370 At 31 Decamb8r 2023 2.071,478 156.923 645,380 53,144 112.435 3.039,360 Assets in the course of construction amounted lo £227,606 at the year end. £202.074 is included wlhin Freehold propety and £25.532 is induded within Permanent way, tools. equipment. 17 Herltage assets Island Heritage Locomotive Overhaul Costs Ajax Ivatts Drewry Total Cosl At 1 January 2024 Additions 45.478 309.644 123.944 69.354 479,066 205.431 136,077 At 31 Decembei 2024 136.OTI 45.478 309.644 193.298 684.497 At 1 January 2024 Depreciation charged in year 45.478 205.179 30.964 10,362 3.454 261.019 38,359 3.941 At 31 December 2024 3.941 45.478 236.143 13.816 299,378 Carrying amount At 31 December 2024 132,136 73.501 179.482 385,119 At 31 December 2023 104.465 113.582 218.047 -22-
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2024 17 Heritage ass8ts (Contlnued) There are heritage assels in the rA)urse of construction at the year end amounting to £166.020. £96.666 is included within Island Heritage Locornolive Overhaul costs relating to E1 W2 Yamioulh and W8 Freshwater and £69.354 is included wiihin the Dewry r81atirtrJ lo a trailer car build. The trustees considar Heritage Assets to comprise locomotives, coa(*es. wagons. infrastructure and artefa¢ts which were or could have been a part of the Isle of Wight railway system and emanating from one or more of the following." (1) the Island's pre-Grouping railway Companies. (2) The Southern Railway, {3) British Railways Southem Region, (4) their successor organisations. The collection consists of fifteen locomotives {12 steam, 3 diesel), details of which can be found on the charivs website: http:Iliwsteamrailway.co.uklheritagelour-rolling stockqocomolivesl. These locomotives are used to transport the public. in furlherance of the charitys objeGiives. Two locomotives, Ivatt 46447 and Austerity Juno are on contracted loans to Ihe East Sotnerset Railway and Nation81 Railway Museum respectively. Some other I(Orn0tiVe assets are occasionally loaned out on a short term basis to other steam railways or if suitable promotional opportunibes arise. The remainder of tha colleciton. when not in use. are maintained and mostly stored in the Train Story facility at the Isle of Wight Steam Railway. It is not possible to get a reliable estimat8 of th8 value of the collection. There are three Ioc3)motives reported on the balance. sheet, AJax. Ivatt 41313 and fvatt 46447. The remaining lo(x)motives are not reported on the balance sheet as their valuation trannot be readily assessed in accordan with accounting policy 2c. Ajax was purchased and therefore was included in the balance sheet at this cost. Svatt 41313 and 46447 w8 donated to the Isle of Wight Steam Rai]way by the tvatt L0mOtiVe Trust and the only amounts capitalised are the costs of bringing the assets into working condition as the value of the assets cannot b8 r8adily assessed. Thes8 costs are considered by the trustees to have a useful lrfe of 10 years. the time until the next overhaul is required. The locomotrves are maintained by specialised 8ThJine8rs at the Isle of Wight Steam Railway and the steam locomotivas undergo a complete overhaul after not more than 10 years use to ensure they are kept in pristine condition. A register of the iepairs compleled and required is held by the charity. Costs of these repairs are recognlsed In the accounts in the period they are incurred. All acquisition5 and disposals of heritage ass8ls must first be approved by the board of trustees and a register of heritage assets is maintained and held in the museum. This register wll be made available to the public on request. Ivatts 46447 and 41313 are both beirKJ depreciated on a straight line basis over 8 10 year term from the dates which they entered s8lVIC8. 18 Fixed asset inveslments othér investments Cost or valuatlon At 1 January 2024 & 31 December 2024 10,000 Carrying amount At 31 December 2024 10.000 At 31 December 2023 10,000 -23-
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2024 18 Flxed asset Investhients (Continued) 2024 2023 Other investments rL)mprise" Notes Investments in subsidiaries 19 10,000 10,000 19 Subsidiaries These financial statements are separate ¢haiity financial statements for The Isle of Wight Railway Company Limiled. Details of the charity's subsidiaries at 31 December 2024 as follows: Name of undertaklng Regjslered office Nature of buslness Class o shares held Yr Held Dlrect Indirect IWR Trading Limited The Railway Station, Havenstreet, Ryde. Isle Of Wight. P033 4DS Trading subsidiary engaged in Ordinary catering and relail souvenir shares sales to raise funds for the tharity. 100.1)0 20 Stocks 2024 2023 Raw materials and consumables 32,043 36,423 21 Debtors 2024 2023 Amounts falllng due within one year: Trade debtors Amounts owed by subsidiary Ltndertakings Other debtors Prepayments and accrued income 10.555 205.810 211.545 98,691 34,008 70,494 57,839 82,669 526.601 245.010 -24-
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2024 22 Creditors" amounts falllng due wlthln one year 2024 2023 Notes Covenanted loans Other taxation and social security Payments CeIVed on account Trade creditors Other creditors Accruals and deferred income 100 17.991 94.308 66.876 3.369 49.259 100 18.608 75,830 93.229 5,948 28,108 231.903 221,823 23 Retlrement beneflt schemes 2024 2023 Deflned ¢ontrlbutlon s¢hemes Charge to profit or loss in respect of dgfined Ix)nlribulion schemes 14.303 11.407 The charity operates a defined contribution pensron scheme for all qualifying employees. The assets of the scheme are held separately from those of the charity in an independently administered fund. 24 Restricted funds The restrtcted funds of the charity comprise Ihe unexpended balances of donalKins and grants held on trust subject to spectfic (x)nditions by donors as to how Ihay may be used. At 1 January 2024 Incomlng resources Resources oxpended Transfers At31 December 2024 Carriaga and wagon resloration The Museum fund Maycock fund IWSR 200 Club Wootton Drewry railcar Calbourne Possible acquisition fund Invincible 58.650 19.290 8.817 7.726 31.377 85,104 8.513 295 5.325 19.695 (40.465) (14.623) 103.289 13.180 9.112 10,601 24.962 (2.450) (1.875) (24.235) (343) 1.973 4.865 16.477 1,973 7,990 17,808 3.125 1.331 149,175 123,731 (59.413) {24,578) 188,915 -25-
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2024 24 Restrictsd funds (Contlnued) Previous year". At 1 January 2023 Incoming resoUe$ Resources expended Transfers At31 December 2023 Carriage and wagon restoration The Museum fund Maycock fund IWSR 200 Club Wootton Drewry railcar Galboume Possible acquisition fvjnd Invincible 72.546 28,756 8.450 7,207 38,387 4.530 31.985 8.661 367 6.780 34.108 237 1.973 50 (45.881 } (6,8g)} 58.650 19,290 8.817 7,726 31,377 {11.237) (2.450) (3.275) (3.811) (37,843) (4.767) 1.973 4.865 16.477 4.815 14.973 179.664 85.665 (58.4%) (57.658) 149,175 Carrjage and vgon restoration - for the restoration of carrtages and wagons including grant income. Museum fund - in the furtheran of the development of Ihe museum {heritage and leaming). Maycock fund - in coach and wagon restoration IWSR 200 fund - for the provision of volunteer facilities and otrEr designaled projecls. Wootton - restorationlrenovation of Wootton Station. Dréwry Railcar- restoration of the Srewry Railcar and its related trailer car Calbourne - restoralion of Calboume Invincible - restoration of Invincible Possible acquisition - towards th8 acquisition of a Specif locorrrf)tive for display should it become availabl8 25 Unrastrlcted funds The unrestricted funds of the charity comprise the unexpended balances of donations and grants which ar8 not subject to specific conditions by donors and grantors as to how they may be used. These Include designated funds which have been set aside out of unreslricted fijnds by the trustees for specific purposes. At 1 January 2024 Incoming resources Resources expended Transfars At31 December 2024 Designaled I legacies fund Train Story 2 d8signatad fund Fixed Asset reserve General funds 931.750 156.561 3.257.407 1.028.081 112.472 (92.831) {2.245) (197.149) {13.100) 303.082 {68.255) 754.242 141,216 3.560,489 1.055,506 2.364,028 (2,268,348) 5.373.799 2.476.500 (2.363.424) 24.578 5.511,453
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED NOTES TO THE FINANCIAL STATEMENTS {CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2024 2S Unrestrl¢ted funds (Contlnued) Prevlous year: At 1 January 2023 Incoming resources Resources expended Transfers At31 December 2023 Designated I lega¢Ses fund Train Story 2 designaled fund Fixed Asset reserve General funds 662,866 230,717 3.028.120 1.012,344 427.675 {22.463) (22.580) (136,328) (51,576} 229,287 16,275 931.750 156.561 3.257.407 1.D28.081 2,036.771 {2.037.309) 4,934,047 2,464.446 (2.082.352) 57.658 5.373.799 Traln Story 2 reserve Unrestricted funds set aside toward the proposed Train Story 2 development. DesignatedlLegacles reserve The designated I legacies reserve ¢on5ists of inrx)me received from legacies both where there is a desire for the money to be spend on a particular project but no legal obligation and where they have been received with no spe¢ific indication as to how the funds are spent. Fixed asset reserve The fund r8pr8sents Ihe amount of unrestricted fixed assets held by the tharity. 26 Analysis of net assets between funds Unrestricted funds 2024 Restrlcted funds 2024 Total 2024 At 31 December 2024: Tangible assets Heritage assets Investments Current assetsl(liabilities) 3,175.370 385.119 10.000 1.940,964 3,175,370 385,119 10.000 2.129,879 188,915 5.511.453 188.915 5.700.368 Unrestricted funds 2023 Restricted funds 2023 Total 2023 At 31 December 2023: Tangible assets Heritage assets Investments Current assetsl(liabilittes) 3.039.360 218,047 10,000 2,106,392 3,039.360 218,047 10.000 2.255,567 149.175 5.373,799 149.175 5.522.974
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2024 27 Financial commitments, guarantees and wntlngent Ilabllities The charity has unrecognised contingent assets totalling £Nil (2023 - £10.000) relating to legacies. which the charity were notified of prior to the end of the year. Th8 contingent assets are estimated based on the anticipaled residual value of the estate due to the charity. where it is considered that the payrnent is probable but not virtually certain to be received. 28 Operatlng lease commltments Lessee At the r8POrting anil date thé charity had outstsnding commitmants for future minimum lease payments under non-cancellable operating leases. which fall due as follows- 2024 2023 Within one year Beiween two and five years 16.667 20,000 16.667 16,667 36,667 29 Capital commltments Amounls contracted for but not promded in the financial statements: 2024 2023 Acquisition of property. plant and equipment 94.300 245.792 30 Events after the reportlng date On 17th April 2025, the charity purchased Ashey ststion and associated buildings and land to the north for £675.000. On 18th February 2025. the charity tered into a contract to construct a new playground for £59,390. Subsequent to the year end. Ihe charity initiated a restructuring process. The process is ongoing and, at this stage. it is not possible to provide a reliable estimate of the financial effect. 31 Related party transactions Transactions wlth related partles -28-
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2024 31 Related party transacllons (Continued) During the year the Charittys subsldiary. IWR Trading Limited. paid the Charity £12,000 {2023 £7.985) in relalion to rent. During the year. the Charity also received a management charge from IWR Trading Lunited amounting to £50,853 {2023 £41.611) and a share of the General ManagerlChi8f Ex8CUtiV8 salary of £11.245 (2023:£12.101). The amount due from the subsidiary at 310ecember 2024 is shown in note 21. The charity's subsidiary, IWR Trading Limited. made a distribution to the charity of £96,104 (2023 £88.126). Trustees. remuneration and expenses No tnjslee received any ramuneration for their role as trustee during the year (2023: £nil). Six (2023". Four) twstees received reimbursem8nt for travel. accommodation and small sundry expenses of £1,959 (2023: £1.068) In accordance with the charitys Articles of Association. all trustees are paid-up members of th8 Railway. Trustees receive the benefits available to both members and volunteers. These benefits are provided on the same terms as those offered to the wider rnembership and volunteer base. 32 Cash generated from operations 2024 2023 Surplus for the year 177.394 409,263 Adjustments for: Investrnent income recognised Tn statement of financial activities Loss on disposal of tangible fixed assets Depieciation and impairtn8nt of tangibl8 fixed assets (57.327) 4,834 258.548 (30.634) 3.167 233.709 Movements in working capltal: Decreasel(increase) in siocks (Increase) in debtors Increase in crediiors 4.380 (302,146) 10.080 (4,453) (38.442) 91,571 Cash generatèd from operatlons 95.763 664,181 -29-
THE ISLE OF WIGHT RAILWAY COMPANY LIMITED NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2024 33 Analysis of changes in net funds At 1 January 2024 Cash flows At 31 December 2024 Cash at bank and in hand 2.195.957 {392.819) 1,803.138 Loans falling due within one year (100) (100) 2.195,857 (392,819) 1.803.038