tz Twycross Zoo AT THE HEART OF CONSERVA TION Twycross Zoo- East Midland Zoological Society Limited (limited by guarantee) ANNUAL REPORT AND FINANCIALSTATEMENTS forthe year ended 31 December2022 Company Number 1060956 Registered Charity Number 501841 Twycross Zoo- East Midland Zoological Society Limited Co No: 1060956 Registered Charity No.. 501841 Yearended 31 December 2022 coMrENTS PAGE Administration, Officers and Advisors Report of the Trustees Statement of Trustees, Responsibilities 19 Independent Auditors Report to the Members 20 Consolidated Statement of Financial Artivities 24 Consolidated Group and Company Balance Sheet 25 Consolldated Statement of Cashflows 26 Accountin8 Policies 27 Notes to the Accounts 32 Pase I Twycross Zoo- East Midland Zoological Society Limited Co No.. 1060956 Registered Charity No.. 501841 Year ended 31 December 2022 ADMINISTRATION, OFFICERS AND ADVISORS REGISTERED OFFICE Norton Grange Norton-JuKta-Twycross Atherstone Wa¥wickshSre, CV9 3PX REGISTERED NUMBER 1060956 CHARITY NUMBER 501841 COmMf￿EE (TRUSTEES) The Trustee5 Qf the charitable companyi who are dirertors for the pUr￿Se of company law a￿. Rt. Hon. G W Hoon (Chairman) HSDua G C W England E A Hardwick-smith H J Mfcchell T B Payne T Maxted D Beckett PC Popham M Bennett COMPANY SEcR￿ARy M Dytham AUDITOR Ernst & Young LLP I Colmore square Birmlngham B4 6HQ BANKERS Metro Bank plc Southampton Row London WCIB SHA Page 2 Twycross Zoo - East Midland Zoological Society Limited Co No: 1060956 Registered Charity No: 501841 Year ended 31December 2022 REPORT OF THE TRusfEES The Trustees present their annual report, together with the consolidated financial 51alements of the charlty and Its subsidiaries for the year ended 31 December 2022, which are also prepared to meet the requirements for a directors, report ané financial statements for Companies Art 2(￿6 purposes. CONSTITiJnoN Twycross Zoo- East Midland Zoological Society ￿mited I'Tvrycros5 Zoo" and.the Zorfl is a private company limited by guarantee Ilncorporated in England and Wales wilh company registration number 10609561 governed by adopted Articles of Association as amended 24 June 2019. The Trust is also constituted as a registered charity with the Charlty Commission - charity reg￿tratIOn number 501841. The Board of Trustees Ilhe Board'l confirni that the financial statements compty with current generally a(￿pted aecountlng principles. STRUCTURE, GOVERNANCE AND MANAGEMENT The board of direttors are the trustees of the charity supwrted by the exeajtive managemeht team who together comprise the key management personnel of the charlty. The executive management team are in charge of directing CDntrollin& running and operating the Zoo on a day-to-day basls. Ordlnarity, all Trustees give theirtime freely, however, In the current year David Meek received £4,9(Xl over and above his normal Trustee duties before progressing to an executive role and taklng over as Chief Executive Officer l°CEO"l. Following Sharon Redrobe's resignatlon, David Meek resigned as a truslee to serve as Interim ￿0. Helen Mf(chell also receNed £700for on@ off servlces over and above her norrnal Trustee duties. COMMIThEE (TRUSTEES) The Trustees of the charitable companyi who are dlrectors for the purpose of company law, who served during th year and up to the date of thls report are: Rt. Hon. G W Hoon (Chairman) HSDua G C W England E A Hardwick-smith DJMeek G A Mlddleton H J Mitchell T B Payne J Thornell T Maxted D K Beckett P C Popham M Bennett Resigned 22 lune 2022 ResiEned l January 2023 Resigned 27 June 2022 Appointed 24 October 2022 Appointed l January 2023 Apwjinted 11 December 2023 Appointed 11 December 2023 KEY MANAGEMENT PERSONNEL S Redrobe OBE DJ Meek Chief Executive Officer- Resigned 30 June 2022 Chief Executive Officer- Appointed 30 June 2022 ResEned 26 February 2023 Chief Executive Officer-Appointed 5 June 2023 Chief Operations Officer- Resigned 17 May 2022 Finan￿ Director- Resigned 27 Juty 2022 Finance D1￿Clor- Appointed 27 July 2022 Director of Conservation Commerclal Head of Retail and Operations- Appointed l August 2022 C Dunkerley K Clarke R Walker C Watson R Biddle S O'connor Page 3 Twycross Zoo - East Midland Zoological Society Limited Co No.. 1060956 RegiSte￿d Charity No: 501841 Yearended 31 December 2022 REPORT OF THE TRUSTEES (wntinuedl Method of appointment. Ind￿tIon and trainin8 of Trustees The Board appoint new Trustees as and when they see frt in order to maintain an appFopriate range of skills and experiences amongst the members. New Trustee5 undergo an extensNe Induction Programme and briefing sessions on the orgallisatlon, it5 aims and objectwes. They are provided wrth a copy of the constitution, roles and respon5ibilitles of being a Trustee at Twycross Zoo, the most current Annual Report and Finantial Statements, management accounts, the current business plan, management Structu￿$, pollcles relating to health & Safety. equal opportunities, anlmal collertion plan, economic impact a55essmerbt and development assessment. Throughout the year, Trustees meet with the ￿0 and the Executive/Management team for regular updates regarding the performance and strategic dellvery of the Zoo. In addition, Trustees attend events held during the year which glves them the opportunity to meet with management within the organisation as well as visitors to the zoo. Indemnity Insurance The Trust maintains indemnity insurance on behalf of rts Trustees. Organ15atlonal structure The Board of TrusteÈs meet on a quarter￿ basis and call speaal General Meetlngs as and when thesE are required. In addition, the Chairman vlskts the Zoo regularly to review activities Wfthin the Zoo and also meets with the ￿0 on a regular basis. Oversi8ht is provided by a structure of Committees delegated by the main Board. These Committees include Finan and Audit & Risk who meet quarterty and Animal ConserNatN)n & EducatN)n who conv@ne bi-annuallv. The Finance Committee reviews current financial performance and ensures that future plans a￿ properly costed and adequate fundin8 is identrfied prior to being presented to the Board. The Finance Committee agrees the meeting frequency and dates in advance based on the need5 of the organisation. This has resulted in meetings being held on a quarterly basls since 2019 and the Finance Committee members ￿ceIVIng management infom)ation on a monthly basi5. During the year there was a reorganisation with the departure of the CEO and Chief Operating Officer with the Vice Chair of the Board of Trustees resigning from thelr position in May 2022 to b@com& interim CEO in June 2022. The Finance Dlrettor also departed their role in JLtty 2022, WTth a successor in place immediatefy. At year end the Executive Team was made up of the Interim CEO, Finan￿ Director and Director of Conservation and Commercial Head of Retail and Operations. The role of Corllpany Secretary moved to the Finance Director and then to the newly created post of Executive assistant to the CEO and Trustees. Subsequent to the year end a new permanent CEO joined the executive from June 2023. The Executive Team was charged with management of daily operations and with proposing policy to the Board of Trustees. This process was managed by quarterly Board meetings with Trustees which are formally minuted. Pay policy for staff Ordlnarily all Trustees gNe theirtime freely, with the exception of out of pocket expenses. However, in the current year David Meek re￿iVed £4,900 for service5 over and above hi5 normal Trustee duties before proEresslng to an executive role and taking over as interim CEO. Helen Mtlchell èiso re￿Ived £7(KJ for one off service5 Qver and above her normal Trustee duties. The pay of staff is revÈewed annLkalty and subject to financlal perfom)ance, an increase may be awarded. In view of the nature of the tharity, metho(lology and benchmarking is gained from inside and outside the industry and similar role5 are also used to assess pay and rewards. These include: benchmarking against pay levels in other similar organisations market rate anatysis conducted where similar roles operdte. Where necessary a market addition 15 paid bLbt limited tothe highest benchmarked salary for a comparable role. All staff are paid at teast the National Minimum Wage appropriate to their age with pay rates adjusted in liwTre with . relevant legislation during the year. Page 4 Twycross Zoo- East Midland Zoological Society Limited Co No.. 1060956 Registered Charity No= $01841 Year ended 31December 2022 REPORT OF THE TRUSTEES {contlnued) STRATEGIC REPORT PRINCIPAL OBJECTIVES AND A￿1V￿E5 The tharitvs princlpal charitable objectives Include the enhancement of anlmal welfare, conservatlon, education. research, and recreation for the visiting public. The group also carries out retail and catering activtties to generate addStional income throu8h its sub5Kliary cornpany, Zoo Park ITwycrossl Llmited. The Trust owns and manages Zoological Gardens at Norton-Juxta-Twycross in Lelcestershire covering an area of some 95 acres. The Tru5V5 aims and objertwes are- Life Sciences Praclice professional standards of animal care and welfare and develop environmental enrichment proErammes to give the animals a fulfilled life. both physically and mentallv. Conservation Incorporate the animats, wherever possible, into regional and global breeding programm&s tD aid species conservation. Support 50und8enetic management and co-opèrative policies to maintain the genetic diversity Df species in its care and support appropriate f*ld pro8ramm& and relntroduction projects. Education - Develop formal and informal education programmes for all sectors of society regardlng wildfife and it5 tonseNation Ibiodiversityl. Research - Erbcourage the Kientrfic study of animals in areas that further animal welfare and conservation. Financrdl Resilience- Generate an income to fullil the above and forthe provlsion of facilrties in the Zoo far the recreation and enjoyment. education and cultural enrichment of its visitors. The key developments and achlevements in each of thèse areas i5 detailed in the following page5. Life Sciences In'2022 Twycross Zoo opene(l The Gruffalo Discovery Land. where visitors tan d￿Cover Mouse, Fox, Owl. Snake- and of course the Gruffalo himself - along an interaciive journey thro¥Jgh the deep, dark wood. Alongside the much-loved characters from the bestsèlling children's book The Gruffalo written by Julia Donaldson and illustrated by Axel Scheffler, the land includes a number of animal exhibtls that We￿ reopened and redeveloped during the past four years. These include Butterfly Paradise, a free flight butteffly house, home to many tropical butterfly species and birds including the Victoria crowned plBeon, a new owl aviary for the gfeat grey owl, a refuibished aviary home to red crested turaco and a pair of hamerkops, and a goat walk though where visitors can get close to our group of friendty Afrion pygmy goats. Additionally, two new reptile vivariums were developed, allowing us to move our boa constrlctor into a larger more suitable enclosure, and to bring in a new snake species as part of a managed EEP-the Jamaican boa. As a mernber of EAZA, the European Association of Zoos and Aquaria, Tvrycross Zoo partlclpated in 47 coordinated breeding programmes wlthin Europe during the year and as such several species produced offspring. The following is a selection of births and hatchings during 2022, many of which are part of coordinated European breeding programmes: •2 emperor tamarin5 •2 Francols, kangur •1 bonobo •1 Humboldt penguin •3 black-crowned night heron •8 rainbow lorikeet5 Page 5 Twycross Zoo - East Midland Zoological Society Limited Co No.. 1060956 Registered Charity No.. 501841 Year ended 31December 2022 REPORT OFTHE TRUSTEE5 (continued) Conservution Twycross Zoo 15 fulty commrf(ted to acceleratlng global conservation efforts vla a number of approaches. The Zoo is home to many endangered species, wtth a large nUM￿r of them being part of conservation breeding programmes . coordinated at a European level, which ensure that genetically viable populations continue to be effertisjely managed. Once again, the pandemic, coupled with Brexit and the UK'S exrt from the European Union, has had a disastrous Impart on our abilkty to move anlmals betwèen the UK, Europe and the rest of the world. Thi5 has prevented the completion of many planned animal transfers as part of those programmes throughout the year, impacting our abillty to be able to work with our European colleague5 effectivety. Compared to pr*Srexit years, where in the region of 40 such transfers would ￿ completed, only 6 overseas moves took place during 2022. These included a criticalty endangered female Amur leopard to Memphis Zoo, Tennessee, a pair of crowned lemurs to Johannesburg in South Africa, a Diana monkey to Amsterdam and 2 Francois, lanBurs to Fota Wildlife Park in The Republic of Ireland. A large number of anlmal moves within the UK were tompleted h¢)wever, Induding departures of ? second Twycross born Amur leopard to Yorkshire Wildlife Park. an emperor tamarin to Wild Discovery, a red titi monkey to Exmoor Zoo, a flock of 7 cattle egrets to Folly Farm in Pernbrokeshire, a Ve￿aU￿5 eagle owl to Che#er Zoo, 3 black and white colobus monkeys to Call of the Wild, Essex, B ring-tailed lemurs to Askham Bryan Wildlife & ConseNation Park and a ViLloria crowned pigeon to London Zoo. The majority of these moves were part of the relevant European breedin8 programmes which we work Close￿ wrth. There were also several notable arri￿15 during the year. including a male De Brazza's monkey from Blackpool Zoo, a male snow leopard from The Big Cat Santtuary in Kent, a male vicuna from Knowsley Safari Park, a female hamerkop from Chester Zoo and 2 male Jamaican l)oas. a new species forTwyuoss. from Birmingham Wildlife Conservation Park. All arrivals were part of European breeding programmes and will enable u5 to continue breeding with the majority of these species. Twycross Zoo's commitment to species management is evident in the Zoo's continued representation at both natlDnal and international level through its involvement In key working groups and commrttees focusing on species management and welfare. We continue to be members of European and international organisations. Including the British and Irlsh Association of Zoos and Aquariums IBIAZAI, the European Association of Zoos and Aquaria IEAZAI, the World ￿sOcIatION of Zoos and Aquariums IWAZAI and the International Union for ConseNotion of Nature IIUCNI. Furthermore, Twycross Zoo remains active as a conservation partner of GRASP-UN, which is the only non-human specles-focused UN programme. The Zoo's continued participation in worlthmide managed species programmes. Including EEP IEAZA Ex-sStu Programmesl and ES8 (European Studbooksl ensures the continued genetic health of the animals and population5. The Zoo coordinates the European breeding programmes for the 5iamang gibbon, black howler monkey and Ecuadorian Amazon parrot and actively participates in a number of others, including for Eastern black rhino, Sumatran tigers and the bonobo, one of the four great ape5 and kept only by Twycross Zoo In the UK. The Dlrector of Conservation, Dr Rebecca Biddle is Chair of the EAZA Population Management Advisory Group, Curator of Animal Operations, Lynsey Bugg is a member of the Gibbon Taxonomic Advisory Group, Great Ape Working Group and Specie5 Committee memberfor the lowland gorilla EEP, with Neil Dorman, Curator of Animal Development5 being an elected member of several EEP Species Commrttees, including for bonobo, bush dogs and both Amur and snow leopard. The Veterinary Services Manager, Phillipa Dobbs is the Chair of the BIALA veterinary focus group, veterinary advisor for the BIAZA Marnmal Working Group and the veterinary advhsor forthe slamanB glbbon and bush dog EEP'S. Page 6 Twycross Zoo - East Midland Zoological Society Limited Co No- 1060955 Registered Charity No= 501841 Year ended 31 December 2022 REPORT OF THE TRUSTEES Icontlnued) The Research and Conservation Manager Lisa Gillespie is a member of the BIAZA Research Committee and Dr Rebecca Blddle is a member of the BIA7A Field Conservation Committee. 2022 saw devetopments ￿gardIng the Zoo'5 conservatlon strategy, and an agreed increase In our conservation spend in 2022 and beyond, recognlslng the important role Twycr05s zoo plays as a large tharltable zoo and Conse￿ation organisation. Our conservation Strategy focuses on six key pillars underpinned by conservation research, educatlon and training.. l. Support the maintenance of healthy ex-situ "populations of managed Species, with a focus on threatened prlmates and species with a conservation breeding role. 2. Build conservation resources and capacty in house and in animal range countries to support the preservation of wild populations and their habitats. Deliver conservation education to promote posttive behaviour change for wildlrfe conservatlon. 4. Enhance the value of zoos for witdlife conSerVat￿n by influenang relevant national policy and gecuiSng the future and impact of con5eNation ioos. 5. Conserve UK native wildlife and habitats on our stte and beyond and 5UPPOrt key UK environmental inltiatives 6. Become a sustainable organisation and minimize our contribution to global climate change. A new focus on UK natnie species conseTWdtion will help deltver 8￿ater impact for Twycross Zoo, enabl& greater involvement in our local communit￿5 and support national priorTties in temis of developing a nature recovery network. Thi5 year we have funded two projects in partnership wfch Leicestershire and Rutland Wildlife Trust ILR￿1. The first brought together stakeholders including Leicestershire County Council. Environment Agency Housing developer5, famers and landowner5 to support the development of a local nature recovery Strategy forthe county of Lelcestershire and will feed Into national commtiment OF 30 by 30.. That is 30% of land In England managed for biodiversity by 2030. WÈ have also begun work on our own Biodiversity Artion Plan IBAPI for the Twycross Zoo Nature Reserve, whlch we will look to launch in 2023 with our own pledge for 30% of our land to be managed for natrve biodiverslty by 2030. The second project will work in partnership with LRWtand the National Forest Company to survey the county for the Hazel dormouse believed to no longer persist in the local area. We will look atthe opportunity for 5peeies recovery If suitable habttat exists and ecological condition5 are favourable. conducting detailed woodland surveys and habitat 5Ultability a5se55ments in the first stage of the projèct. In 2022 Twycross Zoo joined Butterfly Conservation's UK Butterfty Monitorlng Scheme by setting up a recognised butterfly transect within T￿CrosS Zoo Nature Reserve. By contrlbuting to this national database. we @im to help improve scientlfic understandirTr8 of the abundance. dispersal and movement of butterfly Speci￿ in the UK, while also establishlng a baseline Llata for the Lepidoptera diverstty on our land. We are also eKploring the possibility of a new project with BC to introduce an endangered day flying moth speoes back to England, where we would use our expertise to support the captive breeding and release programme. As part of our commitment to achieve carl￿)n Net Zerowe undertook a full site carbon audit. As part of thls, we plan to become carbon neutral by 2030 including removing l(KPA of fossil fueb from our site. We have already adopted renewable technologies including a biomass boiler poweringour main visftor centre and LED Ilghtlng across the site. We have reduced 530 tonnes of C02 emissions. almost 50% of the zoos carbon footprint, by adopting electricity from a renewable source. Page 7 Twycross Zoo - East Mldland Zoological Society Limited Co No.. 1060956 Registered Charity No: 501841 Yearended 31 December 2022 REPORT OF THE TRusfEES Icontinued) We have also rolled out a Dry MSxed Recycllng scheme in all staff areas. includlng a crlsp packet recycling scheme and a mobile phone recycllng scheme for staff and visttors. Sustainable fish and palm oil policies are In place as part of our commltment to conserving the environment and resources wtthin It. Twycross Zoo recyclès wastewater discharged from the site through a Ig-pond r@ed bed filtration system. Using only natural ecological processes the wetland habitat (Teated has seen native biodTversity flourish wtth many BAP species identified through regular surveying. The Tvrycross Zoo Nature Reserve 15 free for local communities and public to Use. including an interpretive nature trail and a bird hide situated over a wildlrfe rich pond with educational materials to help ID native specles. In 2022 we launched 8 new in-situ conseNatKJn fund, supporting a selection of existing and new partners. This support enables globally important conseNation work to preserve endangered specles and habitats. Twycross Zoo focuses on supporting organisations, which are making a difference tu wild population5, delivering conservation education in communities to help protect species and habitats or rescuing and rehabilitating animals under threat from anthropogenic pressures. The new fund Invofves a detalled applicatlon process, whlch will help us better monltor and the evaluate the conservation impact being delivered ￿ our partners and identrfy areas where TZ financial support and expertise is best focused. The partners we have supported this year indude.. The Amazona Uladna (ALI Foundallon was set upto safe8uard the future of the Ecuadorian Amazon parrot (Amazona .lilacinal. Desplte legal protecrlon under Ecuadorian law,thisCriticalty Endangered specles is onlyfound in the mangroves and dry forests of coastal Ecuador, where a small declinlng population of just I,0￿ birds remains. The AL Foundation works in three core areas= community led conservation. scientrfic research. and conservation education. Twycross Zoo will be supporting a campaign in the towns close tothe rang@ of this parrot, aiming to ￿lebrate the species through the use of community art and parade& The specie5 is frequent￿ trapped for pet keeping locally and internationally, therefore these celebrations will form part of long temi aims to reduce the demand for these birds as pets and protect their vulnerable nestlng and roosting sites from perSecut￿n. This is a new partnerforT￿ycr0sS Zoo in 2022, whlch Ilnks in-situ and ex-51tu conservation as we look to bring the Ecuadorian Amazon parrot into our collection and also coordinate the EEP for this species. Ape Action Africa IAAA) rescue endangered priTnate5 from the illegal wildlrfe trade. ￿ the largest sanctuary in Cameroon, AAA supports hundreds of primate5 including a significant number of chimpanzees and gorillas. Twycross Zoo has been supportin8 AA4 through financial aid, donating medical supplies. alongside ourveterinary team providing advisory support from the UK and, during visrts to the santtuary, condutting vital health chec￿, supporting tran51ocation of animals and providing tralnlng to AAA staff in Cameroon. In 2022, for the first time slnce A4A wa5 founded, a small population of wild chimpanzees have been reported in I0￿$t$ close to the sanctuary. This is of huge importance, and thus we will be supporting their work to investigate this report and to enhance the protectlon of the habitat by reducSng detrimental human impact on this forert. Friends of Bonobos IF08) are the only sanctuary to have rescued, rehabilitated and re-wllded a group of bonob05. Lola va Bonobo is the world's only sanctuary for orphaned bonobos and Ekolo ya Bonobo Community ReseNe is the world's only bonobo release site, where now over 30 released bonob05 live under the protertion of the local communities, Twycr05s Zoo have supported FOB since 2CMJ7 by contributing to the daity running costs of the sanctuary, supporting the rewilding programme in the reserve, and funding conservation educatlon programmes. Page 8 Twycross Zoo- East Midland Zoological Society Limited Co No= 1060956 Registered Charity No.. 501841 Year ended 31December 2022 REpoKf OF THE TRUSTEES (conlinued) We continue to support the delivery of an antkpoachingconservation educatlon and awarene55-raising campaign which 15 Vital to ￿U¢e the 8￿atest threat to IN)nobos In the wild. illegal poaching. Borneo Nature Foundation IBNFI is a 5isnificant conservation NGO based in Indonesia that works with local stakeholders to protert important areas of tropical rainforest, safeguard wildlife, and support indigenous culture in Borneo. The forests of Central Kalimantan are home to Bornean orangutan, white bearded gibbon, Borneo bay cat, red lanEurs, Sunda clouded leopards and many more th￿atened species. Twycross Zoo has been supportin8 BNF for number of years and will continue to focus our support on thelr conservation education programme which aims to provSde children with an appreciation for nature, and the knowledge and t￿15 to facilitate them to become enablers of future change. BNF dellvered the first conservation talk. Since pre-covid in 2022, delivèring a talk f(Ku5ed on cornmunity edLJcatiDn and their gibbon monitoring programme, to a fvll Window5 on the Wild. We are now stocking the BNF children's book in our gift shop and hope to extend the range to indude local￿ made products that support sustainable livelihoods In Borneo. Wlldtrack5, Belize was established in 199J as a manatee rescue centre and now running very successful prlmate rescue, rehabilttation and reintroduction programmes. Followingthelr great success in reintroducing endangered Yucatan black howler monkey5, Wildtracks have also released two groups of rehabilrtaled spider monkeys in Belize'5 protected North East Biologlcal Corrldor. In 2019 Twycross Zoo travelled to Belize to support the first release, conducting pre-release health tracks and training Wlldtracks vets to international standards. This support enabled Wildtracks vets to manage the 2022 ￿LeaSe themselves With T￿y¢r0$S Zoo contributing to the satellite collar5 to monitor released Individuals and gather important data for future releases. We also provhled filming equipment to caplure ihe release and produced a short film to raise awareness of Wildtracks and our partnership, which Bained 5ignlflcant engagement across our social media channels. We will co7ntinue to support Wildtracw primate programme and their goal to further disseminate knowledge across the region to improve conservation outcomes ihroughout Central America. Fauna and Flora Intematlonal IFFI) run the Caovtt gibbon project. to help increase numbers of this Critically Endangered primate. The Cao Vit gib￿￿ has an estimated population of around 130 animals endemic to the forests on the Chlna- Vietnam border. Habr(at destruction has driven th￿ spec4e5 to the brink of extinciion and FFI are working towards strenohening the effecfiveness of the protetted area in which the gibtN)ns live. FFI contlnue to Conduct population and ecological surveys of the gibbons and work to enact political and cultural change to increase legal protettion for the gibbons. TWycr￿S Zoo has previously supported communtty based patro15 to monitor and protett the glbbons habilat and we continue to SUPPOrt programmes which engage members of local communities to raise awareness of the Importan￿ of Cao Vit gibbons and conseThin8the high biodNerstty found wiihin Vietnamese forests. Wildlife Vets Intemational (IWI) v40rf(to provide velerinary support to international wildlife and cOnse￿ation projects. WVI works with in-country partners to develop capacTty, provide mentorship and trainlng to in-situ veterinary professionals, and to collect and disseminate information to advance education about the health and management of endangered populations. Twycross Zoo have previously sUPPOrted the reintroduction programme for Amur leopard5 and the maintenance of the Wild figer Health Centre IWTHCI, which provides a one stop onlSne hub for vets and biolo6i5ts working In population range countries. Twycross Zoo will continuè to support a wide array of projects at WVI, but C¥ur focus will be to support the trainlng of veterinary staff and biologists in range countries by providing specialist advice from our own expert veterinary team and provide funding for in-sltu capacity building. A5so¢lation Européenne pour I'Etude et la ConseNatlon des Lémurfens (AEECL) CLintinue to secure the wild future of the blue-eyed black lemur (Eulemur flavifronsl. The blue-eyeil black ￿mur is exclusively found on the remote Sahamalaza peninsula. classrfied as Critically Endangered by the IUCN Red List, the ￿rnurs are under threat from the destruction of forest and illegal hunting and trappin& exact nUm￿rS are unknown. AEECL work with local communities nd support education in the fomi of grants to secondary school students and those progressing to unwersity and also Page 9 Twycross Zoo - East Midland Zoological Society Limited Co No= 1060956 Registered Charity No: 501841 Year ended 31 December 2022 REPORT OF THE TRUSTEES (contlnued) subSid￿e 78 community teachers. Tvrycross Zoo provides a membershlp fee to AEECL whlch support5 this Important conservation work alongside other zoos. West African Primate Corwwatlon Action ￿APC￿ are worf(ing to protect one of the IUCN'S 25 key blodlversity hotspots, which cover only 1.4% of the world's Surfa￿ but are home to more than 60% of all animal and plant species found on thi5 planet. WAPCA continue to adopt a one plan approach to primate cons@￿ation working to increase wild populations, whilst working both in-country and through EAZA colleclions to maintain healthy ex-51tu populations. They have managed to restart trans-boundary patrols and CO1￿¢t dats on prlmate Presen￿ and any Illegal activity consistentty this year. The Endangered Primate Breeding Centre contlnues to expand housing four groups (three breedingl of endangered white-naped mangabeys and one lone female, and one h)ne Crltically Endangered Roloway male, a total of eighteen anlmals. Twycr055 Zoo provldes a membership fee to WAPCA to fund thèir conservation activities alongside other zoos and conservation NGOS. Stiftung Arten5chutz are a foundation tledicated to protecting species within their natural habitat and Twycross Zc has provided a small contribution to support their long term. yellowng-term cash flow5. liquidtty positiort and borrowing facilitles. The going con￿rn assessment covers a period to the end of D￿mber 2024. representing more than 12 months from the date of signing the accounts. The base case projections a￿ based upon a reforecast of the butlget for 2023 and 2024 whlch have been approved by the Board of Trustees. The key facto￿ considered by the Trustee5 in making the assessment of going concern were as follows= Prudent financial planning assumptions to ensure resources are directed towards critical activities. For example, tenlial upsides Irom activity such as donation5 made to the Group and from other one-off activities which are planned are.excluded from the budget. Building on the positive trading experience following the change in pricing and marketing slralegies In Summer 2023 with yields ¢onlinuing to imwove on 2022 levels. The implications that social and econom￿ condTtions may have the Group's revenues and profits driven by tho cost of living crisis and high cost infiation. The uncertainty over future changes in the Bank of England interest rdles, to which the Inte￿8t on the £5.7m loan facility with an extended termination date of December 2039 and the £4.3m Coronavirus Business Interruption Loan ICBILI is bound. Due to a challenging start to 2023, the Group breached one of its banking covenants in the first two quarters of 2023. Whllst the bank has reseNed its rights under the existing agreements to call the loan, following the accountin8 implications of the new annual ticket the Group's banking partner has agreed to reset the profitability based covenant such that it is next tested for the quarter ended 30 September 2024, to allow for a full 12 months of earnings of the new tlcket. The minimum cash covenant however has been increased to account for higher Bank of England base rates and the Group has committed to testingthe cashflow based covenant on a quarterty basis to provide further comfort around cash control. The changes a￿ a further demonstration of the banks continued 5UPPOrt for the Group. Page 15 Twycross Zoo- East Midland Zoological Society Limited Co No.. 1060956 Registered Charity No.. 501841 Year ended 31 December 2022 REPORT OF THE TRUSTEES {contlnued) Based on budgets for the period to December 2024, all covenants are met and no further breaches are forecast. However, as a result of the continued cost of living trlsis there contlnues to be increased Un￿rtaInty regarding the potential impact that this may have on visitor numbers and ultimate future cashflows. In the case of an adverse movement in footfall against budget there are a number of operatlngc05ts, particularly given the make-up of the Group's cost base, which can be flexed accordingly and, as was demonstratd during 2020 and 2021 there are a number of other cost reduction mechanisms whlch management can appty which tan be used to further reduce costs during a prolonged downturn. A reverse stress test has been ￿rf0m)ed which demonstrates that standard vlsitor number reductlons of 5.4% can be bome without breaching the Group's covenants during the going concern assessment period. As part of the ordinary running of the business, a number of semi variable L7)sts can be flexed and capital spend can be reduced in response to any downturn in visStor numbers to mitigate the impact of an incowne fall and allow for a 7.3% fall in visitor numbers, before considering further tost reduction actions in a more stressed situation. In the event of a more severe downturn, there arè more signif￿ant actions which management could take reposition the Group's cost base. The Trustees have assessed the financial position of the Organ￿atron, the forecasts described above and the mitigating actions available. The Trustees acknowledge that due to the continued risk5 With current economlc uncertalnty, as well further potentlal future downturns in the current economic dimate, both of which are outside of rnanagement control, there is a plausible, adverse scenario that would be result in a case of nonI￿ for ￿e￿ke1 prfcè The ZDD does rel￿n Its Zoo IlcenG8 . Mwnlth wir8J skndards as dthted by ZOD Li￿4 CarrJY)ui rtrjular dtssktop wfftpl1an￿ revwvE ulartraini Marf*n an adwte Sel leyd capftal. . Cash reser¥Es [D￿a￿L% Èet aside lo cash managernent . Carrywlregukr(xshf0rv￿da¥afd)￿c3Sht0d8ten￿l￿e ad leve . Re￿&￿[revI￿Vs wrfed (xA8nd iap(xithl to B(Atd Kl Comtnittse . ReYb￿rIty￿S r¥¥Jtsd to CommNt8e . RpguL4r Debl revM¥s wrfe¢ Profil tTh)nitor Maftyn Str¢￿ W￿Ing [￿at￿nshIpS YAih key partTEr witho Ines ot tr￿1 wrfh a 'Critica' partner lo provida cA>M￿lan￿ 8%ufdnce . Enwre *uate H&S p￿￿8$ in wh￿h ere implenwled RegLlarand aFvro￿* H&S training forstaff Thwe are It￿rffiGie￿t rAsh funds av¥4labk to Gash fky IheZoD's busYrR5s . Tr Zoo (xuhj d￿re{l ￿ ty urwh1 Cash covenants ore athed . Nrt*￿t0 ddNer th2z￿ r Breath of Heanh & Safety 5ts1utrry re9uL4tions AuthoTity In¥*ibatron aryl Haalh & Thezao irKu￿￿1Min￿d￿rg&s￿yrn8rÉ IT Infrastructure is rKrt adwu8t& lo supy)rt the bu*ness opwau There Is a br*(knm cl IT to agè and Icf Inadwy . Breach oflT rftrEnversat10115 and inquiry of management, including those charged with governance. We considered the procedures and contro15 that the company has established to address risks identified, Of that otherwise prevent, deter and detect fraud and gained an Unde￿tandIng as to how those procedures and controls a￿ implemented and monitored. We determined there to be a risk of management override in relation to the posting of non-standard manual journals in respect of revenue and identified specific transactions for further investigation based on certain criteria. We understood the tran5artlons identified for testing and ag￿e￿ them to sou[￿ documentation. Based on this understanding we designed our audti procedures to identrfy noncompliance with such laws and regulations. Our prO￿dureS invofved verifying that material transartions were recorded in compliance with the Charities SORP, FRS 102 and, where appropriate, Companies Act 2006. A further description of our responsibilitie5 for the audit of the financial statement5 is located on the Financial Reporting Council's website at https:Ilwww.frLor&uVauditorsresponsibilitFes. This descripllon form5 part of our auditorfs report. Page 22 Twycross Zoo - East Midland Zoological Society Limited Co No: lo￿56 Registered Charity No- 501841 Yearended 31 December 2022 INDEPENDENT AUD￿OR's REPORT TO THE MEMBERS OF TWYCROSS ZOO ZOOLOGICAL SOCIEfY LIMITED (Continued) EAST MIDLANDS Use of our report This report is made solely to the charitable companws members, as a bodyi in accordan￿ wfch Chapter 3 of Part 16 of the Companles Act 2(￿6. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them in an auditor's ￿port and for no other purpose. To the fullest extent permitted by law. we do not accept or assume responsibility to anyone other than the company and the company-s members as a body, for our audit work, for this report. or for the opinlons we have forrned. t LLII lorna McNell fseniorsttrtutory uuditorj for und on beholf of Ernst & Young LLP. StotuwAuditor Birniingham 12 De¢ember 2023 Page 23 Twycross Zoo- East Midland Zoological Society Limited Co No: 1060956 Registered Charity No: 501841 Year ended 31 December 2022 CONSOLIDATED STATEMENT OF FINANCIAL A￿1V￿Es Ilncorporntin8 Consolldated Income and fxpendlture Account) for the year ended 31 December 2022 2021 Total Totsl INCOMING RESOURCES £'o vooo FROM GENERATED FUNDS Voluntary Donations & Gifts CHARITABLE AcfiviTIES Llfe Sclence, Education and Conservation Weltsre Actlvitles For Generating Funds Retail & Catering Government Business Support Grants Interest Recelved TOTAL INCOMING RESOURCES 75 75 323 8,898 411 9,309 4,386 4,386 3,119 38 190 411 13,812 10,523 13.401 RESOURCES EXPENDED cosr OF GENERATING FUNDS Retail & Caterin8 CHARITABLE ACTIVFIY tife Sclence, Ed￿catIOn and Consetvation Welfare 415 13,1201 13.1201 11,9291 111.65SI 1991 111,7541 18,8271 GOVERNANCE COSTS 1621 114.837) 1621 114,9361 1521 110,8081 TOTAL RESOURCES EXPENDED 1991 NET IOUTGOINGIIINCOMING RESOURCES 11.4361 312 11.1241 12851 OTHER RECOGNISED GAINS Actuarial 8aSn on revaluation of penslon liabilitv Galn on revaluation of fixéd assets 146 146 12 3,239 NET MOVEMENTIN FUNDS FUND BALANCE5 BROUGFtr FORWARD AT I JANUARY 11,290) 312 19781 2,988 18119 23,679 2.726 i(x) 26.505 23,517 FUND BALANCES CARRIED FORWARD AT 31 DECEMBER 18119 22,389 3.038 i￿) 25,527 26,505 Income and net income for the year arise from the GrDUP'S continuing operation5. No separate Statement of Total Recognised Gains and Losses has been presented as all such gains and losses have been dealt with in the Consolidated Statem2nt ¢Jf Financlal Attivf(ies. Page 24 Twycross Zoo - East Midland Zoological Society Limited Co No.. 1060956 Registered Charity No.. 501841 Year ended 31 December 2022 CONSOLIDATED GROUP AND COMPANY BALANCE SHEET As at 31 December 2022 Group Company Note5 2022 £'ooo 2021 2022 20ZI £'ooo FIXED ASSETS Intangible A55et5 Tangible As5et5 Investments li 30 25 30 25 12 34,726 33,979 34,726 33.979 13 73 73 34.756 34,004 34,829 34,077 CURRENT ASSETS Stocks 14 322 135 Debtor5 15 515 317 1.078 1.615 408 Cash at Bank & In Hand 2,462 4,894 4,192 3.299 5,346 2,697 4,600 CREDITORS., Amounts falling due within one year 16 11,9081 11,9471 11.8331 11,7281 NET CLJRRENT ASSETS 1,391 3.399 864 2.872 TOTALASSETS LESS CURRENT 36,147 37,403 35,693 36,949 CREDITORS." Amounts falling due after more than on& year Pension Creditor 17 110,3671 110,8981 110.3671 110,8981 25 12531 12531 17 110,6201 110,8981 110,6201 110,8981 NET ASSETS 25,527 26.505 25,073 26,051 FUNDS Endowment Fund 18 loo IOD loo loo Restricted Funds 18 3,038 2,726 3.038 2,726 UNRESTRICTED FUNDS Designated Other 18 16.498 1,204 4,687 17,441 1.204 5,034 16.498 750 17.441 750 18 Revaluation Reserve 18 4,687 25,073 5.034 19 25.527 26,505 26,051 The financial statements on pages 24 to 51 have been approved by the board and authorised for issue on Il, December 2023 and are siBned on its behalf bv.. Rt Hon G W Hoon- Chairman Page 25 Twycross Zoo- East Midland Zoological Society Limited Co No.. 1060956 Reglstered Charity No.. 501841 Yearended 31December 2022 CONSOLIDATED STATEMENT OF CASHFLOWS For the year ended 31 De￿mber 2022 Notes 2022 2021 CASHFLOWS FROM OPERATING AC￿V￿lEs £'ooo NET CASPI PROVIDED BY opERA￿NG Acriv￿lEs 22 855 1,423 855 1.423 CASH FLOWS FROM INVESTrNG AcTrvrriES Cash p3id to'acquire Intangible and tangible fixed assets 12,5351 14.3641 12,5351 14,3641 CASH FLOWS FROM FINAN￿NG A￿1V[TIEs Net cash InftDWS from new bank borrowin8S Interest paid Repayments of bankborrowings and repayment of principal amounts of flnance leagès aThd capital credttors 4,3(K) 14681 12841 13,1981 CASH PROVIDED (USED INIIBY FINANCING AcrivmES 17521 1,102 Decrease in cash cash equNalents 22 12,4321 11,8391 Cash and cash equivalents at I"January . 4,894 6.733 CASH AND CASH EQUIVALENTS ATTHE 31% DECEMBER 22 2,462 4,894 Page 26 Twycross Zoo - East Midland Zoological Society Limited Co No.. 1060956 Registered Charity No: 501841 Year ended 31 December 2022 ACCOUNTING POUCIES BASIS OF ACCOUNTING Twytross Zoo- East Midland Zoological Society Limited ￿ a Charitab￿ company and a public benefr( entlty.Therefore, other than the revaluation of the zoo's land and buildings, the financial statements have been prepared under the historical cost accounting rules. Assets and liabilities a￿ init1a1￿ recognised at historical cost or transaction value unless otherwlse stated in the relevant accounting wjliry notes and are in accordance wf(h applicable accounting standards, Accounting and Reportlng by Charities- Statement of Recommended Practice applicable to charities preparing their awounts in accordance with the Financial Reporting Standard appllcable in the UK and Republic of Ireland IFRS 1021 leffertive l January 20151 Icharities SORP IFRS 10211. the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 1021. and the Companles Act 2C(J6. As permitted by section 408 of the Companies Art 2¢X16 the income and expendr(ure account of the parent company has not been separately presented in the financlal statements. The financial statements are presented In thousands 1£). BASIS OF CONSOLIDATION The group financial statements consolldate the financial statements of the company and Its subsldlary undertakin8 on a line by line basls using acquisition accountin& eliminating intercompany balance5 and transaLtion5. The financlal staternents are presented in the form of Groupfinancial statements. GOING CONCERN The Group has net current assets of £1,391k12021.. £3,399kl. In determining whether the Group's annual financial statements tan be prepared on a golng concern basis. the Trustees have considered the Group's business activities, together with the factor5 likely to affect its future devebpment, performance and position, including the impact of the wst of living crisis and high inflation rates In the UK. The review also inclLsde5 the financial position of thecompany and the wlder Group that the Company is part of. their short temi and fong-temi cash flows, liquidity P05fcion and bojrrowing facilities. The going concern assessment coveys a period tothe end of December 2024, representing more than 12 months from the date of signing the accounts. The base case projeciior15 are based upon a reforecast of the budget for 2023 and 2024 which have been approved by the Board of Trustees. The key factors considered by the Trustees in makingthe assessment of goin8 concern were as follows: Prudent fSnanclal planning assumptions to ensure ￿sourceS are directed towards critical activities. For example, potential upsides from activity such as donations made to the Group and from other ontroff actsvttie5 which are planned are excluded frorn'the bud8et. Bullding on the positive trdding experlence following the change in pricing and marketing strategie5 in Summer 2D23 with ylelds Continuing to improve on 2022 levels. The implications that social and economlc wnditions may have the Group's revenues and PfDfits driven by the cost of living crisis and high cost inflation. The uncertainty over future changes in the Bank of England interesk rntes, to which the interest on the £5.7m loan facility with an extended termination date of December 2039 and the £4.3m Coronavirus Business Interruption Loan ICBILI is bound. Due to a challenging start to 2023. the Group breached one of rts banking covenants in the first two quarters of 2023. Whilst the bank has reserved its rights under the existing agreements to call the loan, following the accounting implications of the new annual ticket the Group's banking partner has agreed to reset the profltabillty based covenant such that it is next tested for the quarter ended 30 September 2024, to allow for a full 12 months of earnings of the new ticket. The rninimum cash covenant however has been increased to account for higher Bank of England base rate5 and the Group has committed tote5ting the cashflow based covenant on a quarterty basls to provide further thmfort around cash contro5. The changes are a further demonstration of the bank5 continued support for the Group. Page 27 Twycross Zoo - East Midland Zoological Society Limited Ca No: 1060956 Registered Charity No: 501841 Year ended 31December 2022 ACCOUNTING POLICIES {continued) Based on budget5 for the period to December 2024, all covenants are met and no further breaches are forecast. However. as a result of the continued cost of INing crisis there continues to be increased uncertainty regarding the potential impact that this may have on visitor numbers an(i ultimate futu￿ cashflow5. In the case of an adverse movement in footfall against budget there are a number of operating costs, particularly given the make- up of the Group's cost base, which can be flexed accordingly and, as was demonstsated durlng 2020 and 2021 there are a number of other cost reduction mechanisms which management can apply which can be used to further reduce costs during a prolonged downturn. A reVe￿e stress test has been performed which (lemonstrdtes that standard visitor number reductions of 5.4% can be borne without breachirsg the Group's covenants during the going concern assessment period. As part of the ordinary running of the business, a number of semi variable costs can be flexed and capital spend can be reduced in response to any downturn in v151tor numbers to mitigate the Impact of an income fall and allow fora 7.3% fall in visitor numbers, before considering further cost reduttion actioris in a more stressed situation. In the event of a more severe downturn, there are MO￿ significant actions which management could tske reposition the Group's cost base. The Trustees have assessed the financial position of the organisation, the forecasts described above and the mitigating actions available. The Trusiees acknowledge that due to the continued risks with Current economic uncertainty, as well further potential fvture downtums in the current economic climate, both of which are outside of management control, there is a plausible, adverse scenario that would be result in a case of non- compliance with banking covenant5 and that this constitutes a material uncertainty which may cast significant doubt on the Group's and Companws ability to continue as a Going Concern. However, given the existing mitigating factors and potential upsides to the budgets the Trurtees are confident that the Group and Company can continue in operational existence to the end December 2024. In addition, the Trustees acknowledge a second material uncertainty which may cast Signifi￿nt doubt on the Group's and Compan(s ability to continue as a Going Concern as our banking partner has not waived their rights associated with the covenant breaches at March and June 2023 with the worst case being the bank recall the loans with the Group having insufficient liquidity to settle the debt on demand. However, given the bank have chosen to tske no adverse action to this point and have taken positive actions in altering the covenant testing for the next 12 months to accommodate the impart Of the new annual tickets the Directors, have seen this as an indication they have no intention of taking further action unles5 there was specific reason to du so. The Trustees continue to adopt the going concern basis for the preparation of these financial statements and in preparing the financial statements they do not include any adjustments that would be required if they were prepared on a basis other than going concem. INCOME Income is recognised when the charity has entitlement to the funds- any performance conditions attached to the Itemlsl of income have been met- it is probable that the income will be r@ceived,' and the amount can be fflea5ured Income from government and other grant5, including financial support through Coronavirus Business Interruption Loans and the Coronavirus Job Retention Scheme, whether 'capital' grants or 'revenue' grants, is recognised when the charlty has entitlement to the funds, any performan￿ conditions attached to the grants have been met, it is probable that the Income will be received, and the amount can be rneasured reliablv. Income from gate admissions is recognised at point of entry. Income from the sale of annual passe5 is deferred and recogni5ed evenly over the period that the pass is valid. Income from legacies is recognlsed at the point of receipt. Page 28 Twycross Zoo- East Midland Zoological Society Limited Co No.. 1060956 Registered Charity No.. 501841 Year ended 31 December 202Z ACCOUNTING POLiaES Icontlnued) DONATEDSERVICES AND FAaLITIES Donated professional servlces and donated facilities are reCogn￿ed as income when the charty h?5 control over the item, any conditions associated with the donated item have been met, the receipt of economic benefr( from the use by the charity of the item is probable and that economic benefit can be measured reliably. In accordance with the Charities SORP IFRS 1021, the general volunteer time 15 not reco8rbi5ed and refer to the trustees, annual report for more information about their cuntribution. On recelpt, donated profthional serVi￿S and donated facilities are recogni5ed on the ba515 of the value of the gift to the charrty whlch Is the amount the charity would have been willing to pay to obtain se1vi￿S orfacilitie5 of equlvalent economic benefit on the open market: a corresponding amount is then recognised in expenditure In the period of receipt. FUND ACCOUNTING unrestricted funds are available to spend on activlties that further any of the purposes of charity. Designated funds are unrestrirted funds of the charity which the trustees have decided at their discretion to set aside to use for speciFic purpose. Restricted funds are donations which the donor has specrfied are to be So￿lY used for partlcular areas of the Charws work or for specific artLstic projects being undertaken by the Charity. EXPENDITURE Expendiéure is recognised once there is a legal or constructTve obligation to make 8 payment to a third party, 5t is probable that settlement will be required, and the amount of the obligation can be measured reliably. Expendrture is included in the Statement of Financial ActNlties on an accruals basis net of value added tax. Expend￿￿re is classified underthe following artNtty headings: Costs of raising funds arè those costs incurred the trading activities of the retail and catering funrtions. Expend￿Ure on charitable activities includes costs associated with anlmals. education and coll5ervation and includes both the direct costs and support costs relating to these aCt￿ttle$. Support Costs include central functlons that aSS￿t the work of the charity but do not directly undertake charitable activities. Support costs include back office costs, financei personnels payroll and governan￿ costs whith support the Zoo's activities. Support cost5 have been allocated to activity cost categories on a basis consistent with the use of resources. Irrecoverable VAT Is charged as a cost against the activtyfor which the expendlture was incurred., INTANGIBLE FIXED ASSETS AND AMORllSAllON Intangible fixed assets are stated at historical cost less accumulated aMort￿ation. Amortisation is provi(led to write off the cost less the estimated residual value of intangible ftxed assets over their estimated useful lives as follows- IT 50ftware- 10%- 33% perannum TANGIBLE FIXED A55EtS AND DEPRECIATION The zoo'5 land and buildings ha5 been revalued at adjusted depreciation replacement cost as at 3151 December 2021, excluding asset5 under construction. The revaluation was condurted in accordance with FR5102 guidance in order to reflect more accurately the value of Land and Buildings assets owned by Twycross Zoo. The net difference between the wrltten down value and the revaluation as each point in time ha5 been recorded wtthln the revaluatlon reserve. The difference between the depreciation based on the revalued carrying value and the depreciation based on the origlnal cost is released from the Tevaluation reserve to other unrestricted funds each year. All other fixed assets are held at historical cost. Page 29 Twycross Zoo- East Midland Zoological Society Limited Co No= 1060956 Registered Charity No- 501841 Yearended 31December 2022 ACCOUNTING POLICIES (continued) Depreciation of fixed assets are char8ed by equal annual inst3lments commencing with the year of acquisitlon at rate5 estimated to write off theiT Cost. ￿setS in the course of construction are disclosed separately at a value equal to Costs incurred to date. Once completed, they are reclassified and depreciated usingthe GrDUP'5 depreci8tlon policy below. No residual values are typically considered. Zoo's freehold land and building5 revalued as at 3111212021 Tools, plant and equipment Furniture and equipment Motor vehicle IT equipment Variable dependant on component's life -10%- 2(M per annum -10%- 25% perannum -10%- 20% perannurn -10%- 25% perannum Assets in the course of construction are transferred to the relevant asset category on the date of completion and depreciated from that date. IMPAIRMENT The carrying amount5 of asset5 are reassessed when Impairment indicators are present. An impairment loss would be recognised to thè extent the carryingamount of an asset exceeds ttsestimated recoverable amount. The estimated recoverable amount b reviewed at subsequent balance sheet dates where further information is available. . STOCKS Stocks are valued at the lower of cost and net realisable value. Net reali5able value Is based upon estimated selling price less cost5 of d￿pOs31s. DEBTORS Trade and otherdebtors are recognised at the settlement amourt due after any trade discount offered. P.repayments are wdlued at the amount prepaid net of any trade discounts due. CASH AT BANKAND IN HAND Cash at bank and cash in hand includes cash and short term h￿hlY liquid investments WTth a short maturtty of three months or le55 from the date of acquisition or opening of the deposlt or similar account. CREDITOR5 AND PROVISIONS Creditors and provisions are recognised where the charity has a present obligation re5ultlng from a past event that will probably rèsult in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normalty recognised at their settlement amount after allowing for any trade discounts due. FINANCIAL INSTRUMENT5 The charity only has financial assets and financial liabiltlie5 of a kind that qualify as ba5icfinancial instruments. Basic financial instruments are inttially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at amort15ed cost U5in8 the effectlve interest method. ZOO ANIMALS ost of the Zoo's anlmals are part of intemational breeding programmes and are.on loan. and as such, are not owned by Twycr05s Zoo. No valuation 15 made of the animal collert￿n at the end of each year. Where appropriate, purchases and sales appear in the financial statements as revenue items in the year in which they arise. Page 30 Twycross Zoo- East Midland Zoological Society Limited Co No: 1060956 Registered Charity No.. 501841 Year ended 31 December2022 ACCOUNTING POLICIES Itontinued} LEASED AssFrs Where assets are fInan￿d by leasing agreements that give rEhts approximating to ownership I'finance lea5es°I, the assets are treated a5 though they had been purchased outright. The amount capitalised 15 the present value of the minimum lease payments during the lease temi. The corresponding leasing tommitments are shown as obligations to the lessor. Lease payments are treated as consisting of capital and interest elements and the Inte￿$t i5 Cha￿ed tg the Statement of Financial Activitie5 {SOFAI based upon the effective interest method. TAXATION The charity is exempt from tax on income and gains falling wtthin Section 505 of the Taxes Act 1988 or Sectlon 252 of the Taxation and Chargeable GaSns Art 1992 to the extent that these are appl￿d to hs charltable objects. Its trading company usually donatesthe Who￿ of Itstaxab￿ profitstothe Society each year, and tax relief is granted on the transfer if it is completed in compliance with current tax legislation. RETIREMENT BENEFtTS The Charity runs a stakeholder pension scheme. The amount charged in respett of pension costs b ihe employerfs contributions payable for the year. The pension scheme 15 a defined contrll)ution Scheme. The Company has put arrangements in place via an Employer Financed Retirement Beneffts Scheme IEFRBSI for an Èx- employee with a pension entitlement contained within their employment contrart. The Compan(s obligation5 under this EFRBS will not be funded. however they will a>nstr(ute Ibabilities of the Company payable when due and therefore are disclosed in the Compan(s accounts. INVESTMENTS Investments in the Companvs, accounts relate to holdings in its subsidiary and are carried at cost. FiECOGNITION OF LIABILITIES Liabilitles are recogni5ed when there i% a legal or constructive obligation. CRITICAL ACCOiJNTING ESTIMATES AND ASSUMPTIONS Estimates and judgements aye based on historical experience and other factors, including expectations of future events that are believed to be reasonable underthe circumstances. The zoo'5 land and buildings are revalued at adjusted depreciation replacement Cost which relies upon estimates around both the value of land in the current market as well as estimates around cost to replace the building assets held. These valuations are based on valuations perfomied by an independent valuation expert and ultimately approved by the Trustees. As all tanEible fixed assets are carried at either c05t less depreciation or revaluation ￿sS depreciation, there is also a critical estimate associated with the useful economic INes a5swated with those assets. The estimation of useful lives 15 based on certain indicators such as historical experience with simllar assets as well as anticipation of future event5, which may Impacl the lives, such as changes in technology. The useful lives will also depend on the future performanco of the assets as well as managemenvs judgement of the period over which economic benefits will be derlved from the asset5. The defined beneftt obligatlon Is accounted for using a method that relies on artuarial assumptions to estlmate the liability for inclusion in the financial statements. These actuarial assumptions includediscount rates, inflation rate and mortality rates. PagÈ 31 Twycross Zoo- East Midland Zoological Society Limited Co No.. 1060956 Registered Charity No: 501841 Year ended 31December 2022 Notes to the Accounts I. COMPARATIVE SOFA CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES Ilncorporntlng Consolldated Income and Expènditure Account) for the year ending 31 DKember 2021 2021 Unrestricted Restricted Endowment £'(K)o Total £'ooo INCOMING RESOURCES FROM GENERATED FUNDS Voluntary Donatlons & Glfts CHARITABLE ACFIVIMES Llfe Science. Education and Con5eNation Welfare 323 323 6.873 li 6.884 Activities For Generating Funds Retail & Catering 3.119 3,119 Government Busines5 Support Grants 190 190 Investment Income TOTAL INCOMING RESOURCES RESOURCES EXPENDED 10,512 li 10,523 COSTOF GENEBATING FUNDS Retail & Catering CHARITABLE A￿1VITy Lrfe Science, Education and Conservation Welfare 11.9291 11,9291 18.7251 {102) 18,8271 GOVERNANCE COSTS 1521 1521 TOTAL RESOURCES EXPENDED 110,7061 11021 110,8081 NET INCOMINGIIOLrrGOINGI RESOURCES 11941 1911 12851 Other recognised gains and losse5 Actuarial loss on revaluation of pension liabilrty Gain on revaluation of fixed assets NET MOVEMENT IN FUNDS 34 3.239 34 3,239 3,079 1911 2,988 FUND BAiANCES BROUGHT FORWARD AT I JANUARY FUND BALANCES CARRIED FORWARD AT31 DECEMBER 20,6(N) 2,817 23,517 23,679 2,726 loo 26,505 Pa8e 32 Twycross Zoo- East Midland Zoological Society Limited Co No- 1060956 Registered Charity No: $01841 Yearended 31 December 2022 Notes to the Accounts Icontlnuedl 2. DONATION5 AND LEGACIES 2022 2021 £'ooo DonatSons & Gifts Legacles 29 300 23 46 75 323 3. CHARITABLE AmI￿lEs Life Science, Educdtion and Conservation Welfare 2022 2021 £'ooo Unrestricted Income Gate Admissions and Donations Gift Ald membership.and adopttons Educational visits Other Income 7.596 241 5,660 427 601 14 407 185 8,898 6,873 Restricted Income Research and Conservation Grants 411 li 9.309 6,884 Page 33 Twycross Zoo - East Midland Zoological Society Limited Co No.. 1060956 Registered Chartty No.. 501841 Yearended 31Decembèr 2022 Notes to the Accounts {contlnuedl 4. R￿AlL AND CATERING Notes 2022 2021 Turnover C95t of Sales 4,386 12,6741 3,168 11,7301 Gross Profit 1,712 1,438 Administratlve Expenses 1989 15401 Net Proftt 723 898 Reconciliation to SOFA Cost of sales 2.674 1,730 Admlnistrdtive Expenses 989 540 3,663 2,270 Less rent pavable to parent 15271 13241 Less auditors renLtmeration analysed as govemance costs Less other costs recha￿ed 1161 1171 3.120 1,929 Turnover includes governwnent support grants of Nil12021- £49kl. Page 34 Twycross Zoo - East Midland Zoological Society Limited Co No.. 1060956 Registered Charity No.. 501841 Year ended 31 December 2022 Notes to the Attounts l¢ontlnuedl 5. ANALYSIS OF TOTAL EXPENDITURE Life Scien￿. education and conseNation welfare costs Retail & Catering Costs 2022 Total Costs 2021 Total CDsts COSTS DIREfflY ALLOCATED TO AcnvinES £'wo Llfe Sclence 649 504 Building Expenses 2,154 2,154 1,824 Retail & Catering 2.674 2,674 1,730 Advertising & Publlclty 1,347 1,347 691 Legal & Professional 432 433 191 2,675 4,582 7.257 4,940 SUPPORT COSTS ALLOCATED TO ACTIVITIES Staff Costs 425 3,231 3,656 2,720 office Expense5 20 1,178 1,198 805 Irrecoverable Vat 493 493 713 Depreciation & aMort￿atIon 1.783 1.783 1,210 Finance Costs 487 487 368 445 7,172 7,617 5,816 2022 Totals 3,120 11.754 14,874 10,756 2021 Totals 1,929 8,827 10,756 Page 35 Twycross Zoo - East Midland Zoological Society Limited Co No: 1060956 Registered Charlty No: 501841 Year ended 31 December 2022 Notes to the Accounts l¢ontinued} 6. NETINCOME 2022 2021 £'o Net Income 15 Stated after charging: Oper*ing lease rentals p5ant and machinery Auditors, ￿mUneratIOn for audtt services - for non-audlt services- tax advice Depreciation of tangible fixed assets -leased assets -owned assets Amortlsation of intanglble assets 42 46 54 47 li 14 14 1.749 20 1,136 61 Cost of stock recognlsed a5 an expense 831 540 Operatlng leases Induded in the above are all short-temi. low value leases as such lease commitments are not presented in note 21. , 7. INTEREST EXPENDITURE 2022 2021 Interest on bank loans and overdrafts Other bank, Interest and flnance lease charges Pension net interest expense Inote 251 437 320 43 43 487 368 Page 36 Twycross Zoo - East Midland Zoological Society Limited Co No: 1060956 Registered Charty No.. 501841 Year ended 31 December 2022 Notes to the Accounts Icontlnuedl TAXATION 2022 2021 Current tax: UK corporatlon'tax on profits of period Factors affectlng tax charge forthe period The charity is exempi from tsx on income and gains falling within section 505 of the Taxe5 Act 1988 tsr .section 252 of the Taxation of Chargeable Gains Act 1992 to the extent that these are applied to it5 charltable objects. Profit on Ordinary activities of Zoo Park (Twycrossl Ltd 723 898 Tax at 19%12021: 19%1 on prof Exempt under grfE aid 137 171 11371 11711 CorporatSon Tax Factors affecting tax charge5 in future years Following on from the Budget in March 2021 the tax rate is to rise to 25% from l April 2023. A5 the Company has no deferred tax balances there is not expected to be any impact of this change on the balance sheet. Page 37 Twycross Zoo - East Midland Zoological Society Limited Co No.. 1060956 Registered Charity No: 501841 Yearended 31December 2022 Notes to the Accounts Icontlnuedl 9. DIREcfoRS ANO EMPLOYEES DIREcfoRS AND EMPLOYEES Group staff cost5- 2022 2021 Wages and salaries social gecurity costs Pension costs 3.297 273 2,360 181 129 102 3,699 2,643 Higher paid employees Salary Range 2022 2021 £2CK),(#)0- £210,Lh £140,999- £150,WO £130,CiKJ- £139,999 £100,0(￿- É109.OCK) £70,000- £79,999 £60,000- £69,999 Highest paid employee includes gross pay of £88k, plus payments for loss of office of £119k. Penslon and National Insurance Contributions of £124k12021: £42kl were paid in respect of all hlgher paid employees, of which £59k relate5 tothe highest paid employee. Average monthty number of employees, based on headcount, induding directors. 2022 2021 Average monthly number of employees, based on head count Including dlrectors:_ Education No. No. Resources 21 56 31 14 33 16 51 Visitor services Retail Keepers Vets 52 169 123 Page 38 Twycross Zoo- East Midland Zoological Society Limited Co No- 1060956 Registered Charity No". 501841 Year ended 31 Dècember2022 Notes to the A¢￿untS {c¢ntinued) 10. TRUSTEES Ordinarily all Trustee5 give their time freely, wtth the exception of out of poeket expenses. However, in the current year David Meek received £4,￿0 for services over and above his normal Trnstee duties before progresslng to an executive role and taking over as interim CEO. Helen Mltchell also recewed £700 for one off services over and above her normal Trustee duties. No further remuneration was paid to the Trustees, and none are accruing beneylts under pension schemes12021- £nill DurSng the year, six12021: fivel Trustees were reirnbur5ed expenses of £2.567 12021: £1,675), relatlng to travel and accommodatlon costs. The key management personnel of the group comprlse those having authority and responsibillty. delegated to them bythe Trustees, for plannin& direciing and controllingthe attivtties of the charity. Remuneration for key management personnel, including pension and employerfs national insurance contributions amounted to £806k12021: £329kl- 11. INTANGIBLE A5SEfs Softvlare £,￿0 Total Cost 1st January 2022 Additions 123 123 25 25 31st De￿mber 2022 148 Amortisatlon 1st january 2D22 Charge for the year 98 98 20 20 315t December 2022 118 118 Net Book Value 31st December 2022 30 30 31st December 2021 25 25 Page 39 w c JSOZ a) Qcw Twycross Zoo - East Midland Zoological Society Limited Co No.. 1060956 Registered Charlty No- 501841 Yearended 31December 2022 Notes to the Accounts Icontlnuedl 13. INVESTMEpirs COMPANY 2022 2021 Investment in Subsidiary Company 73 73 The company owns 9,6￿ £1 ordinary share5 in Zoo Park {Twyuossl Limited I'zoo Park") Icompany number 7099151 being the whole of the Issued share caprtal of that company. Zoo Park ITwycros51 Limited is incorporated In, and operates in, the United KinEdom, tt5 registered office being the same as the parent company. Its principal activity is the provision of catering and leisure services. Zoo Park's turnover for the year is £4,386k12021= £3.168kl and rts eXpend[tU￿ is £3,663k12021'. £2,270kl. The Trustees consider that the underlying value of tts investment in the subsidiary company Is not materiallv dlfferent to its Cost of £73k. The subsidiary company ha5 a payable of £248k12021'. £298kl, under gft aid to the paret)t company.. The gubsidiary companrfs retained profrt for the financial year is £nil12021: £nill and its Capital and reseNes at 31 December 20Q2 are £527k12021: £527kl. 14. STOCKS Group Cornpany 2022 2021 2022 £'CM)O 2021 £'ooo Giftshop & Guides 318 135 Spares for Operations 322 135 Page 41 Twycross Zoo - East Midland Zoological Society Limited Co No: 1060956 Reg15tered Charity No.. 501841 Yearended 31December 2022 Notes to the Accounts (continued 15. DEBTORS Group Company 2022 2021 2022 2021 £'ooo Amounts owed bysubsldiary 653 203 Trade debtors 56 55 Other debtors 208 116 109 Prepayrrent5 & accrued Income 251 196 251 196 515 317 1,078 408 Included within other debtors are VAT re￿Nable$ of £99k12021- £19kl- 16. CREDITORS: Amounts falling due In less than one year Group Company 2022 2022 2021 2021 £'o £'ooo CBIL loan 78 78 Sank loans Finance leases Trade creditors Other taxatlon & social securrty Accrua15 & deferred income Capital creditor 158 281 28 354 158 29 281 29 303 28 263 298 43 43 1,146 126 1,119 122 1,076 126 991 122 1,908 1,947 1,833 1,728 Included within tax and social securlty are pension contributions of £lk {2021: £12kl. Included within accruals 15 deferred income ￿lating to the sale5 of annual membership passe5. Due to Covid, annual membership passes were exlended for a period equivalènt to the closure of the zoo. The value of memberships included in income earned from charitable activitie5 duringthe current year 15 £640k12021: £601kl and the qmount deferred is £461k 12021.. £325KI. Paee 42 Twycross Zoo - East Midland Zoological Society Limited Co No.. 1060956 Re8lStered Charity No= 501841 Yearended 31December 2022 Note5 to the Accounls Icontinuedl 17. CREDITORS: Amounts falllng due in more than one year Group Company 2022 2021 2022 £'ooo 2021 £'ooo CBIL LOAN Pension Creditor Flnance Lease Obligations Bank Loans Capital Creditor 4,221 4.3LKI 392 37 5.283 4,221 4,300 392 37 5,283 886 10,898 5,378 760 10,367 5,378 760 10,367 10,898 Bank loans relate5 to £5,700k borrowed from Metro bank in 2019 at a rate of 3% above the Bank of En8land base rate. The average rate of Interest on this loan during the year was 4.16%12021'. 3.15%). In 2019 interest payments of £88k were suspended and a(Ided to the principal borrowed. Monihly capital repayments commenced in June 2022 with final payment due in 2039. In March 2021 the Company repaid a Coronavirus Business Interruption Loan of £3m, the interest on this loan was covered by a COVID Business Interruption Support Grant. The amount of grant received in this year wa5 £nil12021: £24kl. In March 2021 the company borrowed £4,31J)k from Metro Bank with capital repayment commencing in March 2023 at a rate of 3.50% atrrt)ve the Bank of England base rate. The interest on thi5 loan was covered by a COVID Business Interruption Support Grant for the first 12 months. The amount of grant ￿ceiVed in the year was £38k12021- £116kl. The final payment will be made in 2027. The average rate of interest on this loan during the yearwas3.73%. Capital credltor5 relate to the debenture against the tiger enclosure held by Wates Property Serylces Limited. Th financing arrangement wa5 entered into in July 2019, with the final payment due in June 2029. The average interest rate on capital c￿dItorS during the year wa5 3.0%12021: 3.CPAI The Group breached one of their banking covenants in the first two quarters of 2023 which ha5 been notrfied to the bank. The bank reserve their rights under the existing agreements, however, given a challenging start to 2023 and the accounting implications of the new annual ticket the Group's banking partner has agreed to reset the profltabilty based ci)venant such that It is next tested at 30 September 2024, to allow for a full 12 month5 of earnlngs of the new ticket. The minimum cash covenant has been Increased to account for higher levels of Bank of England base rates and the Grovp has committed to testing the Lzshflow based covenant on a quarterly basis to provide further comfort around cash control. The changes are a further demonstration of the banks continued support for the Group. MATURITY OF LOANS & BORROWINGS AND CAPITAL CREDITORS Group Company 2022 2021 2022 £'ooo 2021 £'o Under one year Between two and five year5 Over five years 362 5,515 4,841 10,721 403 362 403 1.873 8,596 10,872 1,873 8,596 10,872 5,515 4,841 10,721 Page 43 Twycross Zoo - East Midland Zoological Society Limited Co No: 1060956 Registered Charity No.. 501841 Year ended 31 December 2022 Note5 to the Accounts Icontlnuedl 18. FUNDS ENDOWMENT FUND £'ooo 100 ljanuary 2022 and 31 December 2022 UNRESTRicfED FUND5 Group Company 2022 2021 2022 2021 E'OOO £'ooo Designated Funds l January 17.441 17,543 17.441 17,543 Transfer to Designated funds from Other Unrestricted Funds 19431 11021 19431 11021 31 December 16,498 17.441 16,498 17,441 Fixed A55ets 15,131 16,074 15,131 16,074 Conservatlon Welfare 1,367 1,367 1,367 1,367 16,498 17,441 16,498 17,441 The Conseryation Welfare Fund is to provide grants to wildlife conservatlon and/or welfare projects. During 2019,theTrustees implemented a policytoestablish a desi8natedfund relatingto tangible fixed assets. Establishing this designated fund reflecls the Group's net assets are largely attributed to capitalised tangible fixed assets, which do not provide free funds which are available for use. The policy requires that an amount which equates to approximately three months of unrestrirted spending expenditure is maintained in free rese￿￿& and is not desienated. The carrying value of tangible fixed assets at 31 Decembèr 2022 was £34,714k 12021.. £33,979kl, see note 12. A reconciliatlon between total fund5 and the significant tomponent5 of net assets is provided in note 20. During 2022 £1,292k have been transferred to"Other Unrestrirted Funds from "Designated Funds" 12021.. £102k transferred to "Other Unrestricted Funds" from "Designated Funds"), resulting In total "Other un￿strICted Funds" of £1,204k and £750k for the Group and Company respectively 12021: £1,204k and £7￿k1. Page 44 Twycross Zoo- East Midland Zoological Society Limited Co No.. 1060956 Registered Charity No= 501841 Year ended 31December 2022 Notes to the Accounts Icontinuedl Note 18 (Contlnuedl Revaluation Reserve Group Companv 2022 2021 2022 2021 £'LKID l January 5.034 1,852 5,034 1,852 Revaluation during the year Annual Transfer from Revaluation Reserve to Other Unrestrlcted Funds 31 December 3,240 3,240 13471 1581 13471 1581 4.687 5,034 4.687 5,034 Other Unrestricted Funds Group 2022 Company 2022 2021 2021 £'ooo £'ooo l January 1.204 1,204 750 750 Net surplus for the year Actuarial Gain on revaluation of pension Ilability Transfer from Revaluation Reserve 11.4361 11941 1,4361 11941 146 34 146 34 347 347 58 Transfer from Designated Funds. Flxed Assets 943 102 943 102 31 Decernber 1,21M 1,204 75D 750 Total unrestricted funds 22,389 23,679 21.935 23,225 Page 45 Twycross Zoo - East Midland Zoological Society Limited Co No.. 1060956 Registered Charity No.. 501841 Yearended 31December2022 Nffles to the A¢counts (contlnuedl Note 18 Icontlnuedl RESTRICTED FUNDS Group Company 2022 2021 2022 2021 £'o 1st January 2.726 2,817 2,726 2,817 Income in the year 411 li 411 li Expended in the year 1991 (1021 199 11021 31st December 3,038 2,726 3,038 2,726 315t December 2022 £'OtX) January 2022 Income Expend¢ture £'ooo Himalaya 2,2 75 2.125 Chan8in8 Places Grant 51 49 LLEP SME Growth Fund 474 14 460 International Zoo Management Projecl National ScSence and Conservation Centre INSCQ 403 403 other 2,726 411 99 3,038 Page 46 Twycross Zoo - East Midland Zoological Society Limited Co No.. 1060956 Registered Charity No.. 501841 Yearended 31December 2022 Note5 to the Accounts Icontlnuedl Note 18 Icontlnuedl Himalaya Twycross Zoo was awarded a 8rant of £3,(KKlk by the East Midlands Development Agency toward5 the constructlon of a new visitor welcome centre. 'Himalaya' is a landmark prolect for the East Midlands ￿giOn. The value of the building is held in Fixed Assets and the fund is amortised over the buildings estimated useful Changlng Places Grant Fund The Changing Places Grant Fund was pmvided to fund some specific capital expendlture Incurred during 2018 and is being amortlsed over its useful lrfe. LLEPSME Growth Fund The Zoo Development Fund represents amounts received from Leicester and Leicestershire Enterprise Partnership to support the Trustees, master plan todeVe￿p the zoo Infrastructure, The funds were expended on r￿ed assets durin8 the 2015 financial year. The fund is arnOrt￿ed over the estimated useful life of the assets. Imematlonal Zoo Mana8emeDt Project This is an Erasmus+ funded programme dedicated tothe development of higher-level training in international zoo management. The project brings together the zoo with the higher education sector to develop a structur@d traininB programme that blend5 the applied/experiential-based knowledge of the zoo sector with the rigour of Higher Education-ba5ed pedaEogy and research. The outcome will be a defined training curriculum incorporating three specific training modules that target International zoo welfare and management, International management of zotrbased conservation. and ethi(*l and legal issues wtth Intematlonal zoo management. National Science and Conservation Centre Following a Successful bid for government levelling up funding, Twycross Zoo has secured funds for the Natlonal Science and Conservation Centre, which is due for completion in 2025. Design and plannlng work is now undeThvay for which £403k of funds were re￿Ned wlthln the year. Pa8e 47 Twycross Zoo - East Midland Zoological Society Limlted Co No.. 1060956 Registered Charity No- 501841 Yearended 31December 2022 Notes tothe Accounts Icontlnued 19. RECONCIUATION OF FUNDS Group Company 2022 2021 2022 £'(M)o 2021 IDeficitl for the year Artuarial galn5 on ￿valUatIoN of pension liabllr(y 11,1241 12851 11,1241 12851 146 146 34 3,239 3,239 Gains on revaluation of fixed assets Openlng funds 26,505 23,517 26,051 23,063 Closin8 funds 25.527 26,505 25,073 26,051 20. ANALYSIS OF NET ASSETS BETWEEN FUNDS Unrestrtcted Funds Restricted funds £'ooo Endowment fund £'ooo Intangible flxed assets (note 111 Tangible fixed assets (note 121 Cash at bank and In hand Other net current a￿ets/{liabIlltieSI Long term liabilltles (note 171 30 31,588 2,462 11,0711 110,6201 3,038 Ic 22,389 3.038 loo Page 48 Twycross Zoo - East Midland Zoological Society Limited Co No.. 1060956 Registered Charty No.. 501841 Yearended 31 December 2022 Notes to the Accounts Icontlnuedl 2L GUARANTEES AND OTHER FINANCIAL COMMITMENts There were no guarantees or flnanaal comrnitment5 at 31 De￿mber 202212021.. £nill. 21 CASHFLOW RECONCILIATION OF NET INCOME TO NET CASHFLOW FROM OPERATING A￿1VITIEs 2022 2021 Net loutgoingl resOur￿S Depreciation & amortisation Amortisation of loan arran8ement fees Interest expense Movement in stoc Movement in debtors Movement in creditor5 11,1241 1,783 12 12851 1,210 li 487 1187 11981 82 191 679 11831 855 1,423 Interest expenses of £368k are included in the net outgoing resources in 2021, however as more akin to financial cashflows are now treated as financing cashflows in 2022. 22 {bl Anaty5is of movemert in net debt Interesl and finance charges 31 De￿mber l January Cash flows 2022 2022 £'ooo Cash and cash equNalents 4,894 12.4321 2.462 Loans 19,8641 466 14371 19,8351 Finance leases 165} 29 131 1371 Capital creditors 11,(K18) 150 1281 18861 Net Debt 16.0431 11,7851 1468 18,2961 Page 49 Twycross Zoo - East Midland Zoological Society Limited Co No.. 1060956 Registered Charity No: 501841 Year ended 31 December 2022 Notes to the A¢counts (continued) 2& RELATED PARTY TRANSACTIONS The Charity owns the whole of thelssued share capital of Zoo pa￿ (Twycrossl Limited I"Zoo Park'l Transartions with Zoo Park were as follovis: 2022 2021 £'ooo Zoo Park profrt gift aided to parent 723 898 Intercompany rent and other recharges 527 324 Intercompany Purchase5 from Zoo Park 1121 Dr Sharon Redmbe. CEO, was appointed a dirertor of her wrfe's comparw, Little Soap Company Limrted, on 27 April 2020. During the yearzoo Park purchased goods for resale on normal commercial terms to the value of £nil 12021: £1.0161 from Ltile Soap Company Limtted. There a￿ no balance5 OUtStanding at the end of the year. 24. CONTINGENaES There are no contingent liabilities at the 31 December 202212021- £ nill. Page SO Twycross Zoo - East Midland Zoological Society Limited Co No= 1060956 Reglstered Charity No.- 501841 Year ended 31 December 2022 Noles to the Affounts Icontlnued) 25. PENSION UABIUTIES The Company has put arrangements in place via an Employer Financed Retlremènt B@nefits Scheme IEFRBSI for an ex-employee with a pension entitlement contained WTthin their employment contract. The Compan¢s obligations under this EFRBS will not be funded, however they whll consttiute liabilitie5 of the Company payable when due and therefore are disclosed in the Companvs accounts. Prlnclpal actuarial assumptions at the balan￿ sheet date Year to 31 December 2022 2021 4.80% 1.8 n/a nla nla nla S3PXA light table with future improvements In line wlth the CMI 2021 projection model were used with a long term trend rate ILTtRI of 1.5% pa12021: 2020 projection model, wlth LftR of 1.5%) Discount rate RPI price inflation CPI prlce Infiatlon Mortallty (pre and post retirementl The amounts recognised in the statement of financial position EFRBS unfunded Liability £'ooo £,￿0 253 392 The amounts reco8nised in the statement of financial artivities Net Interest Cost The amount5 ￿cOgnised In the statement of other ¢omprehensNe income Actuarial gainllloss) on EFRBS Unfunded Liability £'cM)o 146 34 Increase in Liability 2021 £'ooo Sensitivity analysis 2022 £'O(KJ Discount rate decreased by 0.1% Life expectancy increased by one year li The above 5ensitlvity analysls is based on iso13ted change5 in each assumption whilst holdlng all other assumptions constant. In prartice, that is unlikely to occur and there is like￿ to be some level of correlation between the movement5 in (lifferent assumptions. For the year ended 31 Decernber 2022, the totsl amount of actuarial re-measurement galn recorded in Other R￿agnised Gains/Losses (other comprehensive income) was £146k 12021- £34kl. The net interest expense recoEnised in Total Expenditure was £7k12021.' £5k). Page 51