Iii THE MAC (METROPOLITAN ARTS CENTRE) (COMPANY LIMITED BY GUARANTEE) FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 Contents Page Reference and Administratlve Details Trustees, Report (in¢ludlng the Strategic Report) Independent Audit Report 10-13 statement of Financial Activits'es 14-15 Balance Sheet 18-17 Statement of Cash Flows 18 Notes to the Financial Statements 19-32
THE MAC IMETROPOUTAN ARTS CEKfREI IA COMPANY LIMITED BY GUARANTEE) FINAMCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 REFERENCE AND ADMINISTRATIVE DETAILS Trustees Colm Devine David Gavaghan (resigned 23 June 2023) Raymond Hutchinson (Chairman) Louise O'Boyle Karen Shaw (resigned 14 August 2023) Dorothy Wilson-Longfils (resigned 28 August 2024) Kim Spence Reglst•red office 10 Exchange Street West Belfast BT12NJ Sollcltors Edwards & Co. Solicitors 28 Hill St Belfast BT12LA Bank Ulster Bank Limited 11-18 Donegall Square East Belfast BT15UB Reglstered audltors Harbinson Mulholland Centrepoint 24 Ormeau Avenue Belfast BT2 8HS R•cognlsed a$ a charlty by HM Revenu• and Customs under numbor XR26229 Company number N1022945 Charfty registration number NIC100808
THE MAC (METROPOLITAN ARTS CENTREI (A COMPANY LIMITED B Y GUARAp¥fEE) FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 TRUSTEES, REPORT {includlng the Strategic Report) The trustees. who are also directors for the purposes of company law, present their report and the financial statement5 of the company for the year ended 31 March 2024 Structure, Governance and Management Governlng Document The company was incorporated on 26 July 1989 as The Old Museum Arts Centre and changed its name to The MAC (Metropolitan Arts Centre) on 14 October 2010. The MAC (Metropolitan Arts Centrel is a company limited by guarantee with charitable status and is registered under company number N122945. It is accepted as a charity by the Inland Revenue under referen XR26229. The company has been registered with the Charity Commission for Northern Ireland from 3 November 2014 under registration number NIC100808. The charitable objective of the company as stated in its Articles of Association is.. °the advancement of education in Northern Ireland in relation to the arts and in particular by the provision of a Centre for use in instruction in the various arts (visual, perfomiing, musical and literary) and which may also be used for training In any such activities or for the performances, readings or exhibits and so that the policy governing the use of the centre shall not discriminate on the grounds of religion, polltlcal opinion, ra¢e, colour, ethnic origin, sex or age., There have been no amendments to the govemlng document8 in the year. Governance Structure The MAC {Charityl Board is comprised of up to 15 trustees who meet at least 4 times per year. The trustees are also directors of the company for the purposes of company law. The term of office for trustees is 4 years, with the option to seNe a maximum of 2 terms. The Board's key responsibilities include setting out the vision, mission and values of the MAC, agreeing the strategy to deliver the vision and mission, agreeing the charity's governance structure and policies and ensuring the protection of the capital asset. The Charlty has established a wholly owned 5ubsidlary, the MAC Tradlng Company Ltd (Tradeco), a company Ilmited by shares which has a service level agreement with the Charity which provides a licence to Tradeco to carry out artistic programmes and ancillary trading In the building and sets out the commercial relatlonshlp between the trwo companies. Any profits are gifted to the charity in their entirety. The Board has set out the functions of sub-committees, officers, the chief executive and other staff in clear delegated authorities and monitors their perfomiance. In carrying out their responsibilities, trustees remain mindful oftheircommitment to upholding the values ofaccountability to stakeholders, probity and transparency. Sub-commlttees Audit and RiskJFinance and Remuneration and Nominations sub-committees are in place to deal with specific issues as required. The Audit and RisklFinance sub-committee meets monthly with at least 4 of the meetings each year being audit and risk focussed. All members of the sub-committee are non-executive directors. The sub-committee is chaired by the Charity Treasurer who has significant, recent and relevant financial experience. The sub- committee includes two other members from the Boards, neither of whom is the Chair of the Charity. The Remuneration and Nominations sub-committee meets as required on an ad hoc basis All members of the sub-committee are non-executive directors. The sub-committee is chaired by the Charity Chairman, indudes the Chairman of Tradeco and at least bNo other members dravm from the Charity Board one of whom has significant HR skills and experience.
THE MAC (METROPOLITAN ARTS CENTRE} IA COMPANY LIMITED BY GUARANTEE) FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 RCH 2024 TRUSTEES, REPORT (includlng the Strategic Report) (CONT'D ObJectlve8 and Activltles The MAC aims to contribute to the ongoing transformation of Northern Ireland through the creation of, participation in and appreciation of outstanding art. We seek to achieve this overarching goal by supporting artists in the creation of excellent art and by delivering programmes which make this art accessible to as many people as possible. Our artistic programme aims to entertain, connect people to art, and address social issu88 relevant to the people we work with, and the people of Northem Ireland. In 202312024 we delivered 8 curated programme of artistic events across (i) Visual Art, (li) Creative Leamlng & Engagement and (iiil Live Events which attracted and inspired over 191,000 vlsitors During this year the MAC brought internationally acclaimed artists to Northern Ireland to share their athork with local people, at the same time as plafforming emerging, mid-career and acclaimed local artists. We worked with national partner8 and communities to explore social inequalities and injustices through art and creativity. As we grow back audiences post covid, The MAC 's Audience Development Plan worked towards re-engaging audiences and generating new visitors through our brand led 'Space forlto, campaign. Our nomination as Art Fund Museum of the Year 2024 also gave the MAC a fantastic opportunity to showcase ourselves in a major way, to both old and new audiences, celebrating all that has been achieved in the past 12 years and garnering support and nationwide press coverage highlighting this momentous achievement. An overview of 23124 The MAC has continued rebuilding audience8 afterthe disruption caused by Covid. We anticipated this would take several years. The number of paid ticket bookers for 2023124 is at 850h of pre-covid levels. Sustaining ticket sales at pre-pandemic levels and explored potential for further growth, expanding the MAC'S commitment to access for all. Annual footfall for 2023124 was 191,000 which was slightly lower than the footfall from previous year, however Ron Mueck in 2022 had a huge impact on footfall. The blockbuster exhibition '1 see his blood upon the rose, was moved frorn 23124 to 24125 where we would have seen large numbers through the doors, but we look forward to that impact in the coming year. The MAC is In the buslness of Imaginatlon We value creativity on our stages and galleries and In everything we do. Vlsual Art In 2023124 the MAC presented exhibitions which created significant profile-rai5ing opportunities for Northem Irish artists at a critical stage of their careers including Louise Wallace and Sharon Kelly. We also strength8ned our relationship with our MACtivate Associate Partners.. Participation and the Practice of Rights, Alliance for Choice, The Rainbow Project, Action Mental Health, and Extern through our exhibition and participatory programme around At the Table. We curated a major presentation of intemationally renowned artist Korakrit Arunanondchai, a video and multimedia artist originally from Bangkok who now splits his time beeen New York and Bangkok. In addition to international relationships developed over 2023124 we also collaborated with our colleagues in the South of Ireland through Niamh Mccann's exhibition 'someone decides, hawk or dove, a commissioned part of the programme for ART'.2023, a Decade Of Centenaries supported by The Arts Council of IrelandlAn Chomhairle Ealaion and the Department of Tourism, Culture, Arts, Gaeltscht, Sport and Media.
THE MAC IMETrOPOLITAN ARTS CENTREI IA COMPANY UMITEO BY GUARANTEE) FIIIANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 TRUSTEES, REPORT (including the Strategic Report) (CONT'D) At The Table 7 April - 23 July At The Table brought socially and politically engaged practices into our core gallery programming. It is our first major exhibition developed from MACtivate. The exhibition showcased the work we co-designed with our Associate Partners who work to combat some of society's most pressing issues and inequalities - Alliance for Choice, Action Mental Health, The Rainbow Project, Extern and Participation and the Practice of Rights (PPR). A community table cut through the length of the gallery acting as an invitation to actively participate in the programme - whilst also providing a space for social interaction and communal dining. Loulse Wallace: Midnlght Feast 7 Aprfl - 26 November 2023 This exhibitlon was a significant profile-raising opportunity for Belfast based artist Louise Wallace. Wallace produces work that Is deliberately provocatlve, utilising a palette of lush colour to create images that draw on abstraction and Surrealism to transform the suburban Into scenes that hover betrween the familiar and the uncanny. The exhibition positioned painting as a field of enquiry rather than a medium-speclfic condition. A febrlle sense of colour is instrumental to holding relationships across media and into the gallery space. Wallace's painting practice is reimagined across drawing, collage and three-dimensional objects. Wallace's practice is improvisational., one move generates the next whether the medium is painting, drawing or assemblages. The exhibition Installation was an extension of Wallace's studio where she displays a range of objects and manipulates them to extend the compositional space of painting. Louise Wallace made a number of sales through the exhibition and her work is now in the Arts Council of Northern Ireland, Ulster University and is being conSided for inclusion in the Govemment Art Collection. Wallace's work is currently in the offices of Investec as part of our Art Leasing Scheme. Sharon Kelly." Rod-to-Red 7 Aprll - 26 November 2023 This exhibition was another significant opportunity to present the work of a Northern lrfsh artist created during the Arts Council of Northern Ireland supported Fellovrfship at the British School at Rome where the work was completed over the period of the artists residency. Kally drew on her obseprfances and encounters from her time in Rome and created work, externalty affirmatlve and universally connective in nature. Her sensibility to the body and in particular the fragmented body. the torso and broken gesture featured strongly in works created in response to her original residency period and in the intervening three years. With rts generative force emanating from personal encounters with severe illness and its aftermath, her work also embraced ideas of liminalily and transformation. A marker for warning or impending danger. Red is the colour symbolising authority, or status., generals in the days of the Roman Empire had their bodies painted red to celebrate victory. Red was also the colour of protective amulets. Red may indicate energy, vibrancy - the longest-lasting and most dominant of the colours of the Etruscan tresco wall-paintings. These red figurative images, fragmented over time, depict life, death, and the transitional spa.
THE MAC (METROPOLITAN ARTS CENTREI (A COMPANY LIMITED BY GUARANTEE) FINANCIAL STATEMEMTS FOR THE YEAR ENDED 31 MARCH 2024 TRUSTEES, REPORT (Includlng th8 Strategic Report) (CONTD) Korakrit Arunanondchal: No History in a Room Filled with People wlth Funny Names 5 29 August 2023 - 26 November 2023 This was the first exhibition in Ireland by Korakrit Arunanondchai, a video and multimedia artist originally from Bangkok who now splits his time between New York and Bangkok. This new exhibition seNes as a reconfiguration of Korakrit Arunanondchai's continuous conversations and collaborations with artists, Alex Gvojic and Tosh Basco. Opening with the myth of "Ghost Cinema" a tradition in North East Thailand that grew out of remnants from the occupation of the US military during the Cold War. Korakrit Arunanondchai weaves together a story about possession and the dependency beeen the caretaker and the care receiver. The filmic installation is charged with the idea of community and questions what holds it together- among humans and non-humans. Nlamh Mccann: 'someone d•cldes, hawk or dov•, 8 December 2023 7 Apr612024 'someone decldes. hawk or dove, was a commissioned work by artlst Niamh Mccann as part of the programme for ART:2023, a Decade Of Centenaries supported by The Arts Council of IrelandlAn Chomhairle Ealalon and the Department of Tourism, Culture, Arts, Gaeltacht, Sport and Media. The title of the exhibition 'someone decides, hawk or dove, is a Ilne from the poem Hairline Crack in Belfast poet Ciaran Carson's 1989 collection Belfast Confetti. Hairline Crack is also the title of a film central to this exhibition which comprises of thr8e acts with musical interludes. An eyeless dog guides us through three separate landscapes.. one bucolic, one musicological and one socio-political, in an odyssey along the border region of Northern Ireland. Like a mythological seer, this eyeless dog perceives and interprets obscur8 truths, through philosophical musings on Man's long hubrists-c dominion over beasts, places, people. The exhibition featured a sculpturelstructure Tum Again developed by Niamh Mccann in collaboration with architect Peter Carroll, bespoke seating by architect Peter Carroll, and a commissioned ensemble and specially composed music by Grammy-nominated artist larla O Lionaird (The Gloaming). Work from 'someone decides, hawk or dove, _ or iterations of same - has been shown at the Rudolf-Scharpf- Galerie, Ludwigshafen, Germany (hosted by Wlhelm-Hack-Museum), at Centre Cutturel Irlandais, Paris, StableArts, Washington DC (hosted by Solas Nua), and at The Battle of the Boyne Visitor Centre, Meath, Ireland. 'someone decides, hawk or dove, was curated by Belinda Quirke, Director Solstice Arts Centre. Livo Events Despite ongoing challenges in the sector in 23124, the MAC sought to present an artistically ambitious, innovative, and balanced core programme alongside strategic Festivals and likeminded artistic partners who co-presented or hired the theatre spaces. The programme covered a diverse range of art forms presented in collaboration wlth local, national, and international pariners with programming choices reflecting contemporary artistic practi, sectoral, cultural, political, and social issues comprising new and extant work from emerging and established artists and organisations. The programme of work and associated schemes contained a practical commitm8nt to the development of artists and companies across all live event disciplines, at every stsge in their career, providing a plattomi for NS based artists to develop and present their work. Simultaneously, the MAC engaged with and presented work from the national and international arena. Featuring highly was the presentation of theatrical work produced and centred in and ofthe Belfast and Northem Irish experience, including The Daughters of Roisin by Sole Purpose, Billy Boy by Eastslde Arts, Float by Crybaby Productions, 10 Thlngs l Hate about You by Brunswick Productlons, Tribe by Replay Theatre Co, Teechers by Bruiser and Mlkel Murphy's Mysterious Case of Kltsy Rainey.
THE MAC IMETROPOLITAN ARTS cERE? (A COMPANY LIMITED BY GUARANTEE) FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 hlARCH 2024 TRUSTEES, REPORT (includlng the Strategic Report) {CONT'D) Two popular and well received Christmas theatre productions were also Nl produced - family focused The Night Before Christmas, was produced in house and featured in The Stage, top 50 shows in the UK of the year. In the Upstairs theatre Ccurran Productlons lifted adult spirits with Are Yule Belng Served. In contemporary dance we presented Wasteland by the Gary Clarke Company which included a local community cast of musicians and dancers, internationally acclaimed Chotto Desh by the Akram Khan Company and Gutter by Off the Rails. Local dance training opportunities were provided through the SIX Collective and by DU Dance's Unanimous. Comedy at the MAC included Brldget Christle, Mark Thomas, Jenny Éclalr, Keiran Hodgson and Tom Davies. In spoken word, Poetry wlth Prlde celebrating queer writers from Belfast and beyond featuring Sarah Clancy, Mary Montague, Sacha Whlte and Tiegan Johnston was presented as part of Belfast Pride. Musical talent also featured heavily with Nl based Nl Opera staging a Salon Serles of 7 concerts, a dramatically staged concert by Petsr Corry's Thank You for the Muslcals. Contemporary and mainstream audiences also enjoyed concerts from UK and international artists such as Cherlsh the Ladles, Th8 Hlghstool Prophets and Brlana Corrlgan. The MAC supported the devélopmant of Northem Irish artists through schemes providing space, funding, and professlonal support. Through Space to Creato, the MAC provided 30 Ilve event artlsts with over 70 days of free space to facilitate the development of new work. Loulse Matthews, Fergus Wachala-Kelly and Colm Mccreadywere our three HATCH artists, who along with Artlst in Resldence, former Derry Girl Ma, actor and writer, Tara Lynne O'Nelll provided with bursaries, free workspaces in venue and mentoring and advice from MAC staff and associates. The MAC also presented a significant number of multi-disciplinary art form events as part of the Belfast Intemational Arts Festival, the Belfast Children's Fests'val and the Northern Ireland Science Festival programmes. Other Festivals included the Outburst Queer Arts, Belfast Pride, and Belfast Media Festivals. Over the summer months the MAC welcomed youth and communily theatre productions from companies such as New Lodge Arts, Belfast School of Performing Arts, and Ravara Productions. Craatlve Learnlng & Engagomont Thé MAC Creative Learning team focus on three core areas: MAClivate where we use art to address social inequality with associate partners. Growing Up with the MAC which enables babies and children to learn with us. Arts and Peacebuilding study abroad programmes for international universities and groups. MACtivate At The Table, was a participatory co-designed exhibition showcased projects co-designed with our MACtivate Assoclate Partners who work to address social inequalities. To realise this exhibition, we commissioned four socially engaged artists who collaborated with our Associate Partners.. Dumbworld collaborated with Partlclpation and the Practlce of Rights campaigners to Futur• Garden which asked how the needs & rights of humans for shelter can coexist with our need to care for the planet we live on. Sam's Eden Overload by Thomas Wells in collaboration with The Ralnbow Project is a new queer publication project which explored queer visibility in cultural spaces. Actlon Mental Health participants collaborated with visual artist Kerrle Hanna to create images of hope which were presented on billboards during Mental Health Awareness week. Artist and activist Khaled Barakeh addressed the rights of people in the asylum system by collaborating with Participation and the Practice of Rlghts and Anaka Women's Collective. To position this exhibition, we commissioned artist Laura Nelson and Duncan Ross.
THE MAC (METROPOLITAN ARTS CENTREI IA COMPANY LIMITED BY GUARANTEE) FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 TRUSTEES, REPORT Ilncluding the Strateglc Report) ICONfD) Over the duration of the exhibition 15,680 people visited the gallery., 1500 people participated in workshopsleventsltalkslcommissions exploring social inequality,. 600+ people created and exhibited their art on the community art wall, and 5 chefs living in the asylum system catered for 360 people attending events. Growln wlth the MAC Our Growing Up with the MAC programme was attended by 950 children and their families and delivered by local artists and facilitators. These workshops ranged across visual and performance artforms, including highlights such as comic book drawing, sculpture, drumming, and interactive storytelling. Through our workshops we engaged with themes covered in our exhibitions, as well as themes around the environment, mental health, bullying and social issues. During At the Table. we hosted a kindergarten for families in the asylum system, which was regularly attended by 15 families, and held family-friends, events for Belfast Prlde. We also revived our baby sensory workshops, which have been exceedingly popular since their retum in December. We provided a mix of ticketed and drop-ln workshops and programmed events In collaboration with the Deaf Arts Festlval Nl. We delivered our MAC In a Box programme, facilitating schools to attend and creatively engage with our exhibitions and Christmas show. 181 students participated in our Gallery in a Box programme, exploring our galleries and learning new art skills. 147 students participated in Theatre in a Box, engaging in creative workshops, learning about the MAC, and enjoying our show The Night Before Christm8s. These programmes especially benefitted schools with SEN groups or in areas of socioeconomic disadvantage. Additionally, our Passport to the MAC programme enabled eight schools to attend The Night Before Christmas. removing the barrier of transportation costs. stud abroad Arts and Peacebulldln ro ramme During summer 2023 we delivered Socially Engaged Artmaking in Northem Irgland, a one-month study abroad programme with SUNY Purchase College. Thirteen under-graduate students explored how art has been used to address the Troubles. They met and engaged with local artists, creatives, activists and academics. This opportunity VRS personally and academically transformational for the students. The MAC is in the business of Belfast We will help build Belfast's reputation as one of the world's most creatlve cities. The critical value of social arts spaces In clties, placemaking aspirations has been well researched and arb'culated internationally and has been one of the charity's key function8 in the period. The MAC'S social, economic and cultural impact {placemaking's main considerations) have been evidenced through a series of independent reviews. The MAC is one of Northern Ireland's iconic cultural landmarks and is a valuable capital asset which the Board of Trustees and MAC team protect, maintain and preserve. Each year the building is used by and visited by thousands of people. It is our responsibility to ensure all elements of the building are serviced, maintaingd and safe for everyday use, and protected for the long-term. The MAC continues to review and develop its Sustainability Policy. This year we secured funding to install a building energy monitoring system. This system enables real time monitoring of energy usage including gas, electric and water. Plant and equipment controls updated to reduce running times and reduce costs The MAC became a member of The Gallery Climate Coalition. We partnered with Queens university to facilitat8 5 student placements, who led the organisation in gaining a Green Tourism accreditation River ridge recycling appointed to manage YRste collections, with zero to land fill status
THE MAC (METROPOLITAN ARTS CENTREI IA COMPANY LIMITED B Y GUARANTEE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 TRUSTEES. REPORT (includlng the Strategic Report) (CONfD) Publlc fundlng and sustalnabillty Our conts'nued focus is on developing a more commercially resilient model and securing additional funding from trusts, foundations, and private sources. We continue to build unrestricted reserves and secure funds for critical infrastructure repairs and renewals. Cor ora esu ort We continue to 8xpand our relationships and partnerships with Friends of the MAC, donors and sponsors. With their support we create space for thousands of people to imagine, enjoy, participate in, and create art. Public Fundin Our core funders- We are very appreciative of the Arts Council of Northern Ireland and Belfast Cty Council, continued support, enabling us to deliver our mission vision and public purpose. Trusts and Foundations We ara grateful to the Trusts and Foundations who fund us. supporting thousands of artists through artlstlc residencies, commissioning of their work, free space in which to experiment, development funding, mentoring support, and employment. TTUSte88' responslbllltles statement The trustees {who are also the directors of the MAC {Metropolitan Arts Centre) for the purposes of company law) are responsible for preparing the Trustees, Report and financial statements in accordance wrth applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). Company law requires the trust8es to prepare financial ststements for each year which glve a true and fair view of the state of affairs of the group and charitable company and of the incoming resources and application of resource5, including the income and expenditure, of the charitable group for that period. In preparing the financial statements, the trustees are required to: select suitable accounting policies and then apply them consistently. observe the methods and principles in the Charities SORP. make judgements and estimates that are reasonable and prudent. state whether applicable UK accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements., and prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Charity will continue in business. The trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial posilion of the group and charitable company and to enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets ofthe group and charitable company and hen tsking reasonable steps forthe prevention and detection of fraud and other irregularities.
THE MAC (METROPOLITAN ARTS CEMTREI (A COMPANY LIMITED BY GUAPANTEE) FINANCIAL STATEMEMTS FOR THE YEAR ENDED 31 MARCH 2024 TRUSTEES. REPORT (Including tha Strateglc Report) ICONT'D) Disclosures of infomation to auditors In so far as the trustees are aware at the time of approving our Trustees, Report.. there is no relevant information, being informats'on needed by the auditor in connection with preparing their report, ofwhich the group's auditor is unaware, and the trustees, having made enquiries of fellow directors and the group's auditor that they ought to have individually taken, have each taken all steps that helshe is obliged to take as a director in order to make themselves aware of any relevant audrt information and to establish that the auditor is aware of that inforniation. The Trustees, Report, including the Strategic Report, was approved by the trustees on 3rd September, 2024 By order of the trustees Ray Hutchinson Trustee Colm Devine Treasurer
THE MAC IMETROPOLITAN ARTS CENTRE) {A COMPANY LIMITED BY GUARANTEE) FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF THE MAC (METROPOLITAN ARTS CENTRE) Oplnlon We have audited the consolidated financial statements of The MAC (Metropolitan Arts Centre) for the year ended 31 March 2024 which comprise the Consolidated Statement of Financial Activities (including Income and Expenditure Account), the parent charitable company Statement of Financial Activities (including Income and Expenditure Account), the Consolidated Balance Sheet, the parent charitable company Balance Sheet, the Consolidated Statement of Cash Flows and the related notes. These financial statements have been prepared under the accounting policies set out therein. In our opinion the financial statements.. give a true and fair view ofthe state of the group and the parent charitable company's affairs as at 31 March 2023 and of its surplus for the year then ended; have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice., and have been prepared In accordance with the requirements of the Companies Act 2006. Basls for oplnion We conducted our audit in accordance with International Standards on Auditing (UK) <ISAs (UK)) and applicable law Our responsibilities under those stsndards are further described in the Auditorfs responsibilities for the audffit of the financial statements section of our report. We are independent of the charitsble company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, induding the FRC'S Ethical Standard, and we have fulfilled our other ethical responsibilities in accordan with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. Materfal uncertalnty related to going concern In forming our opinion on the financial statements, which is not modified, we have considered the adequacy of the disclosure made in note 2 to the financial statements conceming the group and the parent charitable company's abilityto continue as a going concem. The conditions explained in note 2 to the financial statements, indicate the existence of a material uncertainty which may cast significant doubt about the group and the parent charitable company's ability to continue as a going concern. The financial statements do not include the adjustments that would result if the group and the parent charltable company were unable to continue as going concern. Concluslons relatlng to golng concern We have nothing to report in respect of the following matters in relation to which the ISAS (UK) require us to report to you where.. the directors, use of the going concern basis of accounting in the preparation of the financial statements is not appropriate., or • the directors have not disclosed in the financial statements any identified material uncertainties that may cast significant doubt about the group and charitable company's ability to continue to adopt the going conrn basis of accounting for a period of at least e1ve months from the date when the financial statements are authorised for issue. 10
THE MAC (METROPOLITAN ARTS CENTREI {A COMPANY LIMITED BY GUARANTEE) FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF THE MAC (METROPOLITAN ARTS CENTRE) (CONT'D) Other infomiatlon The directors are responsible for the other information. The other information comprises the information included in the annual report, other than the financial statements and our auditor'5 report thereon. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. In connection with our audit of the financial statements, our responsibility is to read the other infomation and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially mi5Stated. If we identify such material inconsistencie5 or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of th8 Other information. If, based on the work we have performed, we conclude that there Is a material misstatement of this other Information, we are required to report that fact. Vle have nothing to report in thls regard. Oplnlons on other matters prascrlbed by th8 Companles Act 2006 In our opinion, based on the work undertaken in the course of our audit.. • the information given in the strategic report and directors, report for the financial year for which the financial statements are prepared is consistent with the financial statements., and • the directors, report has been prepared in accordance with applicable legal requirements. Matters on which we are requlred to report by exceptlon In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified any material misstatements in the directors, report. We have nothing to report in resped of the following matters vthere the Companies Act 2006 requires us to report to you if, in our opinion.. adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us., or the financial statements are not in agreement with the accounting records and retums; or certain disclosures of directors, remuneration specified by law are not made., or we have not recelved all the information and explanations we requlre for our audit., or Respon8lbllltles of dlrectors As explained more fully in the directors, responsibilities statement, the directors are responsible for the preparation of the financial statements and for being Satisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the directors are responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.
THE MAC IMETROPOLITAN ARTS CENTRE} IA COMPANY LIMITED BY GUARAKfEE) FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF THE MAC (METROPOLITAN ARTS CENTRE) (CONT'D) Auditovs responsibiliti88 for the audit of the financial statements Our objectives are to obtain reasonable assuran about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditors report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAS (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered matorial if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at.. http.'1.fr¢.Org.uklaudILOrSresPQnslb1lltle$. This description forms part of our auditor's report. Our approach to identifying and assessing the risks of material misstatement in respect of irregularlties, including fraud and non-compliance with laws and regulations. was as follows- the engagement partner ensured that the engagement team collectively had the appropriate competence, capabilitie8 and skills to identfy or recognise non-compliance wlth applicable lavrfs and regulations; we identified the laws and regulations applicable to the company through discussions with directors andlor senior management, and from our commercial knowledge and 8xperience of the sector; We focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the company, including Companies Act 2006, taxation legislation, data protection, anti-bribery, employment, environmental and health and safety legislation we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and inspecting legal correspondence., and identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit. We asse6sed the susceptibility of th8 company's financial ststements to material misstatement, induding obtaining an understanding of how fraud might occur, by.. maklng enqulries of management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud., and considering the internal controls in place to mitigate rlsks of fraud and non-compliance with laws and regulations- To address the risk of fraud through management bias and override of controls, we.. performed analytical procedures to identrfy any unusual or unexpected relationships. tested journal entries to identify unusual transactions., assessed whether judgements and assumpts-ons made in determining the accounting estimates set out in Note 2 were indicative of potential bias., and investigated the rationale behind significant or unusual transactions,. 12
THE MAC IMETROPOLITAN ARTS CENTRE) IA COMPANY LIMITED BY GUARANTEE) FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF THE MAC (METROPOLITAN ARTS CENTRE) (CONT'D) Auditor's respon51bllltle8 forthe audit of the flnanclal ststemènts (Cont'dl In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to: agreeing financial statement disclosures to underlying supporting documentation- reading the minutes of meetings of those charged with governance., enquiring of management as to actual and potential litigation and claims,. and reviewing correspondence with HMRC and the company's legal advisors., There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-complian. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal corraspondence, if any. Material misstatements that arise due to fraud can be harder to detect than those that arlse from error as they may involve deliberate concealment or collusion. Thls report is made solely to the charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company'8 members those Tnatters we are required to state to them in an auditorfs report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed. Angela ralgan (Senlor Statutory Audltor for and on behalf of Harbinson Mulholland Chartered Accountants Statutory Auditors Centrepoint 24 Omeau Avenue Belfast Co. Antrirn Northem Ireland BT2 8H 31?11 13
THE MAC (METROPOLITAN ARTS CETrTfRE) (A COMPANY LIMITED BY GUARANTEE) FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES (INCLUDING INCOME & EXPENDITURE ACCOUNT) 2024 Unrestricted Restricted Funds Funds 2023 Restricted Funds Notes Unrestricted Funds Total Totsl Income and endowments Donallons and legacies Investments Other trading activities Olher income 270,000 1,686.933 1,452 1,280,694 114,034 1,956,933 1,452 1,280,694 114,034 370,000 1,069 1.292,052 7.984 1,433.478 1,803,478 1,069 1,292,052 7,984 Total 1,666,180 1,686,933 3,353.113 1,671,105 1,433,478 3.104,583 Expendlture on: Charitable activities Cost of raising funds.. Commercial trading activities 509.218 2,019,654 2,528,872 548,486 1,754,242 2,302.728 1,280.849 1,280,849 1,090.554 1,090,554 Total 1.790,067 2,019,654 3,809,721 1,639,040 1,754,242 3,393,282 Net Incomel{expendlture) {123,8871 {332,721 } 1456,6081 32,065 1320,764} 1288,6991 Grogs transfers beiween fund8 Net mov•m6nt In lund8 {123,8871 1332,7211 {456,6081 32.065 1320,7641 1288,6991 Totsl funds brought forward 290,224 13,333,302 13,623,526 258.159 13.654.066 13,912,225 Totsl funds ¢arrled forward 166,337 13,000,581 13,166.918 290,224 13.333.302 13,623.526 The statement of financial activities includes all gains and losses recognised in the year. All income and expendrture derive from continuing activities. Th8 Statement of financial activities also complies with the requirements for an income and expenditure account under the Companies Act 2006. The notes on pages 19 to 32 form part of these accounts. 14
THE MAC (METROPOLITAN ARTS CENTRE) (A COMPANY LIMITED BY GUARANTEE) FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 STATEMENT OF FINANCIAL ACTIVITIES IINCLUDING INCOME & EXPENDITURE ACCOUNT) OF THE CHARITY ALONE 2024 Unrestricted Restricted Funds Funds 2023 Unrestricted Restricted Funds Funds Notes Total Total Income and ondowments from: Donations and legacies Investments Other tradlng adlvitles 270,000 1,686,933 1,956,933 1.452 1.452 114,034 114,034 370,000 1,069 209,482 1,433,478 1,803,478 1,069 209,482 Total 385,486 1,686,933 2,072,419 580,551 1,433,478 2,014,029 Expendlturn on: Charitable activities 509,218 2.019,654 2,528,872 548,486 1,754,242 2,302,728 Total 509,218 2.019,654 2,528,872 548,486 1,754,242 2.302.728 Net movernent In fund8 1123,732) 1332,7211 {456,4531 32,065 {320,764} 1288,6991 Gro88 tran8fern betsveen funds Net movement In fund8 1123,732) 1332,7211 1456,4531 32,065 1320,764) 1288,699} Total funds brought forward 290,224 13,333,302 13,623,526 258,159 13,654,066 13,912,255 Totsl fundg carrlod foN•ard 166,492 13,000,581 13,167,073 290,224 13,333,302 13,623,526 The statement of financial activities includes all gains and losses recognised In the year. All income and expenditure derive from continuing activities. The statement of financial activities also complies v¥ith the requirements for an income and expenditure account under the Companies Act 2006. The notes on pages 19 to 32 form part of these accounts. 15
THE MAC (METROPOLITAN ARTS CEPRE) (A COMPANY LIMITED BY GUARANTEE) FINANCIAL STATEP41ENTS FOR THE YEAR ENDED 31 MARCH 2024 CONSOLIDATED BALANCE SHEET Notes 2024 2023 Flxed assets Intangible assets Tangible assets 375 13,382,991 12 13,044 968 13,044,988 13 383,366 Current assets stock Debtors Cash at bank and in hand 13,711 179,102 394,584 13,454 325,061 287,174 14 587,377 625,689 Credltors: amounts falllng due one yoar 15 485,427 385,529 Net ¢urMnt assats 121,950 240 160 Total a$$8ts lass current Ilabllltles 13,186,918 13,823,526 Funds Unrestricted funds Restricted funds 17 16 166,337 13,000,581 290,224 13,333 302 Totsl fund8 13,166,918 13,623,526 The financlal statements on pages 14 to 32 were approved and authorised for Issue by the trustees on 3rd September, 2024 and were signed on their behalf by Ray Hutchinson Trustee Colm Devine Treasurer Company reglstratlon number: N1022945 The notes on pages 19 to 32 form part of these accounts. 16
THE MAC (MROPoLITAN ARTS CENTRE) {A COMPANY LIMITED BY GUARANTEE) FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 CHARITY BALANCE SHEET Notes 2024 2023 Flxed assets Intangible assets Tangible assets Investrnent5 375 13,382.991 12 13,044,968 13,044,969 13 383,367 Debtors Cash at bank and in hand 14 167,261 201,084 354,003 202 781 368,325 556,784 Creditor8: amounts falllng due one year 15 246,221 316,625 Net current assets 122,104 240,159 Totsl a888ts1888 current liabllltles 13,167,073 13,623.526 Funds Unrestricted funds Restricted funds 17 16 166,492 13,000,581 290,224 13,333 302 Total fund8 13 167,073 13 623 $26 The financlal statements on pages 14 to 32 vKre approved and authorised for issue by the trustees on and wero Signed on their behalf by Ray Hutchinson Trustee Colm Devine Treasurer Company reglstratlon number: N1022945 The notes on pages 19 to 32 form part of these accounts. 17
THE MAC IMETROPOLITAN ARTS CENTRE) IA COMPANY LIMITED BY GUARANTEE) FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 CONSOLIDATED STATEMENT OF CASH FLOWS 2024 2023 Notes Cash flows from operatlng actlvitios Cash generated from operations 23 144,325 46,102 Inve8tlng actlvltles Purchase of tangible fixed assets Interest ceIVed (38,388) (290,737) 1,452 1,069 Net cash (used In) Investlng activltlos (38,9361 (289,668) Not Increasel (decrnase) In cash and cash equlvalents 107,389 (243,566) Cash and cash equivalents of beglnning ofyear 287,175 530,741 Cash and cash equivalents at end of year 394,564 287,175 Relatlng to: Bank balances and short term deposits 394,564 287,175 18
THE MAC (METROPOLITAN ARTS CEKfREI (A COMPANY LIMITED BY GUARANTEE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 NOTES TO THE FINANCIAL STATEMENTS Nature of organ15ation The charity is an incorporated company limited by guarantee with charitable status. It is governed by Memorandum and Articles of Association and the liability of each member is limited to an amount not exceeding £1. The registered office is 10 Exchange Street West, Belfast. The subsidiary is a company limited by shares. Accountlng pollcles Basls of accountlng These financial statements have been prepared in accordance with the Companies Act 2006 and 'Accounting and Reporting by Charities.. Statement of Recommended Practice applicable to charities preparing their accounts with the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS1021" {as amended for accounting periods commencing from 1 January 2016). The principal accounting policies, judgments and key sources of estimation uncertainty are set out below. The trustees conslder that these accountlng policies are suitable, have been consistently applied and aro supported by reasonable and prudent judgment and estimates. The MAC {Metropolitan Arts Centre) meets the definltlon of a public benefit entity under FRS 102. The financial statements are prepared in accordance with the historical cost convention. The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in th8se financial statements are rounded to the nearest £. Group financlal statements These financial statements consolidate the resutts of the Charity and its wholly owned subsidiary The MAC (Metropolitan Arts Centrel Trading Co. Limited on a line-by-line basis. A separate Stst8ment of Financial Actlvlties and Income and Expenditure Accounts for the Charity alon8 has been presented on page 14. All financial statements are made up to 31 March 2024. Vwiere necessary, adjustments are made to the financial statem8nts of subsidiaries to bring the accounting policies used into line with those used by other members of the group. All intra-group transactions, balances and unrealised gains on transactions beeen group companies are eliminated on consolidation. Unrealised losses are also eliminated unless the transaction provides evidence of an impairment of the asset transferred. Preparation of the accounts on a golng concern ba818 The continued operation of the MAC is dependent on the ongoing support of its funders, Arts Council of Northern Ireland IACNI) and Belfast City Council (BCC). The MAC was planned and built as a space that requires a rtain level of public subsidy in order to provide the benefits it was built to deliver 19
THE MAC (METROPOLITAN ARTS CENTREI IA COMPANY LIMITED BY GLIARANTEE) FINANCIAL STATEhlENTS FOR THE YEAR ENDED 31 MARCH 2024 NOTES TO THE FINANCIAL STATEMENTS {CONT'D) Accounting pollcles, (Cont'd) Preparatlon of the accounts on a golng concern basls Icont'd) The financial performance for the year is set out in the Statement of Financial Activities on pages 14 to 15 and described in the Trustees Report. The charity's expenditure exceeded income within unrestricted resources by £123,732 for the year. This result decreased unrestricted reserves from £290,224 to £168,492 at the year end. The d1CtorS are forecasting an unrestricted surplus of £14,611 for the year ended 31 March 2025. The trustees are encouraged by the extensive dialogue and closer working relationship with the MAC'S funders and we continue to work collaboratively in delivering a sustainable break-even business model in 2024125. The trustees consider that in preparing the financial statements they have taken into account all information that could reasonably be expected to be available and recognise that the circumstances described above represent a material uncertainly that casts doubt on the ability of the group and the parent charitable company to continue as a going concern. Nevertheless, having considered these circumstances. alongside proposals for future sustsinability, the trustees have a reasonable expectation that the group and the parent charitable company will continue in operational existence for the foreseeable future. For this reason, they continue to adopt the going concern basis in preparing the financial statements. Income and endowments (a) Donations and legacies Donations and legacles includes all incoming resources generated from gifts, donations and grants, and is recognised In full in the Statement of Financial Activities when receivable. Grants are credited to incoming resources on the earlier of when they are received or when they are receivable, unless they relate to a specified future period, In which case they are deferred. Grants which have been restricted for use by the donor or which relate to capital expendlture are treated as restricted income and are credited to the Statement of Financial Activilies when they are receivable and when all conditions have been met. (b) Investments Investment income represents interest receivable during the year on bank deposits. (c) Other trading activities This includes income receivable for services provided, income from activities undertaken to raise funds to undertake charitable actNities, and income from the operation of the MAC. 20
THE MAC IMETROPOLITAN ARTS CENTREI IA COMPANY LIMITED BY GUARANTEE) FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 NOTES TO THE FINANCIAL STATEMENTS (CONT'D) 1 Accounting pollcles (Cont'd) Expondlture (a) Charitable activities This comprises all resources applied by the Charity when working to meet its charitable objectives. This includes support costs allocated to ath'vits'es on the basis of time spent on those activities. (b) Commercial trading activities This comprises all resources applied by the Charity's wholly owned subsidiary in operating the MAC. (cl Governance costs Governance costs include the costs of govemance arrangements which relate to Ihe general running of the Charity. All costs are allocated betsveen the expenditure categories on a basis deslgned to reflect the use of resources. Costs relating to a particular actlvlty are allocated directly., others are apportioned on a basls consistent wlth the use of resources, Intanglble flxed a880ts Intangible assets comprise the costs associated with acquiring the liquor licence, and is valued at cost less accumulated amortisation. Amortisation is calculated to write off the cost in equal annual instalments of each asset over its estimated useful economic life of 5 years. Tanglble flxed assets Tangible fixed assets are stated at cost less depreclatlon. The cost of fixed assets is their purchase cost, together with any incidental costs of acquisition, net of any VAT recoverable. Depreciation is calculated so as to write off the cost of tangible fixed asset8, less their estimated residual values, over the expected useful economic lives of the assets concerned. The principal annual rates used for this purpos8 are-. Land and buildings Fixtures, fittings and equipment 20A per annum straight line -10Vk . 250/0 per annum straight line 21
THE MAC (METROPOLITAN ARTS CENTRE) (A COMPANY LIMITED BY GUARANTEE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 NOTES TO THE FINANCIAL STATEMENTS ICONT'D) 2 Accountlng pollcios (Cont'd Impairment of fixed assets At each reporting end date, the group and the parent charitable company review the carying amounts of its tangible and intangible assets to detemiine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists. the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss {if any). Vvhere it is not possible to estimate the recoverable amount of an individual asset, the group and the parent charitable company estimate the recoverable amount of the cash-generats'ng unit to which the asset belongs. Intangible assets with indefinite useful lives and intangible assets not yet available for use are tested for impaimient annually, and whenever there is an indication that the asset may be Impaired. Recognised impairment losses are reversed If. and only if, the reasons for the impairment loss have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset (or ca5h-generating unit) is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset (or cash-generating unit) prior years. A reversal of an impairment Ioss is recognised immediately in profit or loss, unless the relevant asset is carried in at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase. Cash and cash equlvalents Cash and cash equivalents include cash in hand, deposits held at call with banks other short-temi liquid investments with original maturities of three months or less and bank overdrafts. Flnanclal assets The group and the parent charitable company have elected to apply the provisions of Section 11 'Basic Financial Instruments, and S8Ction 12'0ther Financial Instruments Issues, of FRS 102 to all of rtsfinancial instruments. Financial assets are recognised in the group's and the parent charitable company's statement of financial position when the group and the parent charitable company become paty to the contraclual provisions of the instrument. Financial assets are classified into specified categories. The classification depends on the nature and purpose of the financial assets and is determined at the time of recognition. Basic financial assets, which include trade and other receivables and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method, unless the arrangement constitutes a financing transaction. whe the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Other financial assets classified as fair value through profit or loss are measured at fair value. Loans and receivables Trade debtors, loans and other receivables that have fixed or determinable payments that are not quoted in an active market are classified as 'loans and receivables,. Loans and receivables are measured at amortised cost using the effective interest method, less any impairment. 22
THE MAC (METROPOLITAN ARTS CENTRE} (A COMPANY LIMITED BY GUARANTEE) FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 NOTES TO THE FINANCIAL STATEMENTS ICONT'D) Accounting pollcles {Cont'd Interest is recognised by applying the effective interest rate, except for short-term receivables when the recognition of interest would be immaterial. The effective interest method is a method of calculating the amortised cost of a debt instrument and of allocating the interest income over the relevant period. The effective interest rate is the rate that exactly discounts estimated future cash receipts through the expected life of the debt instrument to the net carrying amount on initial recognition. Imp8im?ent of financi81 assets Financial assets, other than those held at fair value through profit and loss, are assessed for indicators of impairmgnt at each reporting end date. Financlal assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset. the estimated future cash flows have been affected. The impairment loss is recognised in profit or loss. Dgrecognition of financial assets Financial assets are derecognised only when the contractual rfghts to the cash flows from the asset expire, or when it transfers the financial asset and substants'ally all the risks and rewards of ownership to another entity. Flnanclal liabllltles Basic financial liabilities are initially measured at transaction price, unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future receipts discounted at a market rate of interest. Other financial liabilities classified as fair value through profit or loss are measured at fair value. Other financial liabilities other financial liabilities, are initially measured at fair value, net of transaction costs. They are subsequently measured at amortised cost using the effective interest method, with interest expense recognised on an effective yield basis. The effective interest method is a method of calculating the amortised cost of a financial liability and of allocating interest expense over the relevant period. The effective interest rate is the rate that exactly discounts estimated future cash payments through the expected lif8 of the financial liability to the net carrying amount on initial recognition. DeTrcognition of financial liabilities Financial liabilities are derecognised when, and only when, the group's and parent charitsble company's obligations are discharged, cancelled, or they expire. Employee beneflts The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are recognised as part of the cost of stock or fixed assets. The cost of any unused holiday entitlement is recognised in the period in which the employee's services are received. Terrninats-on benefits are recognised immediately as an expense when the group and parent charitable company are demonstrably committed to terminate the employment of an employee or to provide termination benefrts. 23
THE MAC (METROPOLITAN ARTS CENTRE) {A COMPANY LIMITED BY GUAIiANTEE) FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 NOTES TO THE FINANCIAL STATEMENTS (CONT'D) Accountlng pollcles (Cont'd) Taxation As a registered charity, The MAC (Metropolitan Arts Centre) is not liable to either Income Tax or Corporation Tax. Fund accounting The Charity has types of funds for which it is responsible, and which roqulre separate disclosuro. Definitions of the funds are as follovts: (a) Restricted funds Grants, donations and other income received vthich are earmarked by the funder or donor for specific purposes. Such purposes are within the overall aims of the Charlty. (b) Unrestrlcted funds Funds which are expendable atthe discretion of the trustees, forthe general purposes of the Charlty. In addition, funds may be held in order to finance capital investments and working capital. Crltical accountlng estimates and Judgements In the application of the group's and parent charitable company's accounting policies, the twstees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual 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, if the revision affects only that period, or in the period of the revision and future periods if the revision affects both Current and future periods Key sources of estlmation uncertalnty Going concern The trustees have prepared budgets and cash flows for a period of at least e1ve months from the date of the approval ofthe financial statements. As explained more fully in Note 2 there is a material uncertainty regarding the group's and parent charitable company's ability to meet it5 liabilities as they fall due, and to continue as a going concern. Nevertheless. having considered the circumstances, the trustees consider it appropriate to prepare the financial statements on a going concern basis. Accordingly, these financial statements do not include any adjustments to the carrying amounts and classification of assets and liabilities that may arise if the group and parent charitable company are unable to continue as a going concern. T8ngible fixed assets Tangible assets are depreciated over their useful lives taking into account residual values where appropriate. The actual lives of the assets are assessed annually and may vary depending on a number of factors. In reassessing asset lives factors such as maintenance programmes are taken into account. Residual value assessments consider issues such as the remaining live of the asset and the estimated value in use. 24
THE MAC (METROPOLITAN ARTS CENTRE) {A COMPANY LIMITED BY GUARANTEE) FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 NOTES TO THE FINANCIAL STATEMENTS (CONT'D) Financial perforniance of the Charlty The consolidated statement of financial activities includes the results of the Charity's wholly owned subsidiary which operates the arts facility. The financial performance of the Charity alone is shown on page 15. Income and endowments 2024 Restricted Funds 2023 Unrestricted Funds Unrestricted Funds Restrict6d Funds Total Total Donatlonl and leg•cle8 Arts Council of Northem Ireland - Capital Works Arts Council of Northem Ireland Belfast City Council Grants Paul Hamlyn Foundation Ulster Garden Villages Garfield Weston Foyle Foundation Esmée Fairbairn Foundation Belfast Harbour Social Change Initiative Bank of Ireland Begin Together Arts Fund Community Foundation Nl British Council Fuel Theatre - Fly the Flag Cultural Bridge Dormant Accounts Art Fund Freelands Foundation Adrian Swire Trust Theatres Trust Other 30,490 1,587.838 30,490 1,587,838 150,000 25,064 1,246.426 25,064 1,246,426 150,000 75.000 30,000 100.000 20.000 120,000 10,000 3,950 5,500 150,WO 150,000 75,000 30,000 100.000 100,000 100,000 20,OCwJ 120,000 10,000 3,950 5,500 4,500 4,300 4.500 4,300 3,000 3,000 1,650 3,000 3,000 1.650 45,380 8,072 45,380 8,072 9.888 9,888 15,000 15,000 1,000 5,000 4,933 420 1.000 5,000 4,933 420 1,686,933 1956 933 370,000 1,433,478 1803 478 Investments Interest receivable 1,452 1,452 1,069 1,069 Other tradlng actlvltles Spon50r8hip Gifts and donations Rental income Commercial trading operalions 48,821 19.474 16,233 1,222,906 48.821 19.474 16.233 1.222,906 25,346 69.598 19,031 1,178,077 25,346 69.598 19,031 1.178.077 1.307,434 1 307,434 1,292,052 1.292,052 Other Income Theatre & Museum & Gallery tax relief 87,294 87,294 7,984 7,984 Totsl 1.666.180 1,686,933 3,353.113 1,671,105 1,433.478 3,104.583 25
THE MAC {METROPOLITAN ARTS CENTRE) (A COMPANY UMITED BY GUARANTEE) FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 NOTES TO THE FINANCIAL STATEMENTS (CONT'D) Expendlture Anatysls of expendlturg Support other D1ct Costs osts 2024 2023 Charltable actlvltlos Core costs Capital Project- The MAC 189,031 368 563 1,971,278 2,160,309 368 563 1,926,901 375 827 Totsl resources expended 1971278 2 528 872 2 302 728 Anatysls of Support costs Charitable Activities Gover ance 2024 2023 Premises Financial costs Depreciation 173,924 760 376410 173,924 7,260 145,738 4,802 125 6,500 Total support costs 531665 Net Incomlng rnsources 2024 2023 Net incoming resources are stated after charging.. Depreciation - owned assets Auditor's remuneration: Audit of financial statements of the group and parent charitable company Audit of the parent Charitate company's subsidiary 376,410 381,125 4,750 4,750 There are no other material costs not already disclosed in notes 6 to 10. 26
THE MAC {METROPOLITAN ARTS CENTRE) IA COMPANY LIMITED BY GUARANTEE) FINANCIAL STATEMENTS FOR THEYEAR ENDED 31 MARCH 2024 NOTES TO THE FINANCIAL STATEMENTS ICONT'D) Income from tradlng activities The wholly owned trading subsidiary The MAC (Metropolitan Arts Centrel Trading Co. Llmited is incorporated in Northern Ireland {company number N1604239) and pays all of its profits to the Charity under the gift aid Scheme. The MAC (Metropolitan Arts C8ntre) Trading Co. Limited operates the arts facility and all commercial trading operations carried on at The MAC (Metropolitan Arts Centre) premises. The summary financial performance of the subsidiary alone is.. 2024 2023 Turnover Cost of sales Administration costs Distribution costs Other income 2,880,694 {712,387) {2,121,9431 146,5191 2,681,729 (710,972) (1,845,884) (33,699) Net profrt Gift aided to the Charity (155) 71,174 71,174 (Lossllprofit before taxation Tax (155) Retained in subsidiary 155 The assets and liabilities of the subsidiary alone were; Total assets Total liabilities 501,705 501,859 406,498 406.497 Total net assets 154 Aggregate share capltal and reserves 154 Employee Informatlon 2024 2023 staff costs Vlages and salaries Redundancy costs Social security costs Pension costs 1,530,495 160,389 133,440 1,343,869 119,351 1,864,406 1,498,913 Average number of employees including trustees Employees earning between £70,000 and £80,000 The total amount of employee benefits reIved by key management personnel in the period was £195,269 (2023.. £192.870}. The Charity considers its key management personnel comprises of the Chief Executive, Commercial Director, Director of Finance and Corporate Services and Creative Director. 27
THE MAC (METROPOLITAN ARTS CENTREI (A COMPANY LIMITED BY GUARANTEE) FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 NOTES TO THE FINANCIAL STATEMENTS (CONT'D) 10 Trustees, remuneratlon The trustees received no emoluments during the year. Two directors in the trading subsidiary received £2,526 {2023.' £1,214) for reimbursement of travel expenses. 11 Intangible flxed assets Group Charitable Com Cost At 1 April 2023 Additions 31,364 1,874 At 31 March 2024 1,874 Depreclatlon At 1 April 2023 Amortisation charged for the year 30,989 1,499 375 375 At 31 March 2024 Net book valuo At 31 March 2024 At 31 March 2023 375 375 12 Tanglble flxed assets Group and charltable company Land & Buildin Fittings & ment Total Cost At 1 April 2023 Additions Disposals 16,594,196 500,201 38,388 17,094,397 38,388 At 31 March 2024 16,594,196 538,589 17,132 785 Depreclatlon At 1 April 2023 Charge for year Released on disposal 3,418,830 331,884 292,576 44,526 3,711,408 376,410 At 31 March 2023 3 750,714 337.102 4087 816 Net book value At 31 March 2024 At 31 March 2023 12,843,482 13,175,366 201.486 207,625 13,044.968 13 382,991 28
THE MAC IMETROPOLITAN ARTS CENTREI (A COMPANY LIMITED BY GUARANTEE) FINANCIAL STATEMEMTS FOR THE YEAR ENDED 31 MARCH 2024 NOTES TO THE FINANCIAL STATEMENTS (CONT'D) 13 Investments The Charity holds one share of£1 in its wholly owned trading subsidiary The MAC (Metropolitan Arts Centre) Trading Co. Limited, which is incorporated in Northem Ireland. This is the only share allotted, called up and fully paid. The activities and results of this company are summarised in note 8. 14 Debto Amounts falllng dua wlthln one year: Group Charitable Company 2024 20 2023 2023 Trade debtors Prepayments and accrued income Other debtors 145,391 32,571 102,251 216,583 27,240 30,660 28,296 216,583 111725 10678 16 Credltorn: amounts falllng due wlthln one year Group Charitable Company 2024 2024 2023 2023 Trade creditors Other tax and social securlty Accruals other creditors Intercompany balance 90,874 28,267 146,971 199,315 98,808 7,000 110,023 171,700 3,655 28,645 2,475 4,650 87,224 55,635 799 1,218 226 477 29
THE MAC IMETROPOLITAN ARTS CENTRE) (A COMPANY LIMITED BY GUARANTEE) FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 NOTES TO THE FINANCIAL STATEMENTS (CONT'D) 16 Restricted funds of the Charity Restated Balance Movement in 1 April resources 2023 incoming Movement in resources outgoing Transfer Balan been 31 March 2024 funds Flxed asset funds Capitsl Project 13 333,302 35,842 368,563 13 000,581 Subtotal 13.333.302 35.842 368.563 13000 581 Other net assets funds Core costs 1,651,091 1,651.091 Subtotal 1651.091 1.651091 Total 13,333,302 1686,933 2 019.654 13,000,581 Fixod asset fund8 The fixed asset funds represent funds provided for the purchase of tangible fixed assets. The fund is represented by fixed assets and is reduced by the depreciation charge on the assets. 17 Unrestrlcted funds of the Charlty Net incoming resources for year Balance at 1 April 2023 Transfer bebNeen funds Total General reserve Designated - Garfield Weston 210,725 79,499 (123,887) 86,838 79,499 Total 290,224 (123,887) 186,337 30
ThE MAC (METROPOLITAN ARTS CENTrEI IA COMPANY LIMITED BY GUARANTEE) FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 NOTES TO THE FINANCIAL STATEMENTS (CONT'D) 18 Analysis of net assets between funds Tangible Fixed assets Other net assets Restrlcted funds 13,000,581 13,000,581 Unrestrlcted funds 121950 19 R•lated party tran¥a¢tlons Under the control of the Board of Trustees. the MAC Trading Co. Llmited, a wholly owned subsidiary of the Charity, charged the Charity expenses of £1,600.000 (2023.. £1,500,000) and transferred to the Charity under Gift Aid a donation of £NIL (2023: £71,174). At 31 March 2024 a balance of £172,068 (2023.. £226,478) was owed by the Charty to the subsidiary. There were no other transaction8 or outstanding balances wilh related parties. 20 Contlngenclos A portion of grants recelved may become repayable rf the Charity fails to comply with the terms of letter of offer. 21 Corporatlon taxatlon The Charity Is exempt from taxation in respect of income or capital gains received. HM Revenue and Customs reference number XR26229. Its subsidiary is subject to corporation taxation on its income and capital gains. 22 Subsldlarlos These financial statements are separate company financial statements for The MAC Llmlted Details of the company's subsidiaries at 31 March 2024 are as follows.. Name of undertaklng Reglstered Nature of buslness Cla$9 of offlce shares held % Hold Dlrect Indlre¢t The MAC Trading Co. Limited As above Operation of arts facilities Ordinary shares 100 31
THE MAC (METROPOLITAN ARTS CENTRE (A COMPANY UMITED BY GUARANTEE) FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 NOTES TO THE FINANCIAL STATEMENTS {CONT'D) 23 Reconciliation of net movement in funds to net cash flow from operatlng activities 2024 2023 Net movement in funds for the year (456,608) (288,699) Depreciats'on & amortisation 376,785 382,835 Loss on disposal of tangible fixed assets {Decrea$8)lincrease in creditors 79,898 (199,433) Decreasel{Increase) in debtors 145,959 156,070 Decreasel{Increase) in stock <257) (3,602) Interest received Net cash inflowl (oufflow) from operating activities 32