Company Registration No: N1028078 Charity Registration No: NIC104605 GRAND OPERA HOUSE TRUST (A company limited by guarantee) ANNUAL REPORT AND CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR EIYDF.D 31 MARCH 2024 GRAND OPERA HOUSE TRUST FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 CONTENTS Page Officers and professional advisors Trustees, annual report (incorporating the strategie r¢port) 2-12 Trustees, responsibility Statement 13 Independent auditor's report 14-17 Collsolidated Statement ijf financial activities 18 Consolidated balance sheet 19 CoMpa￿Y balance sheet 20 Consolidated eash flow statement 21 Notes to the flnancial stat¢menÉs 22-43 GRAND OPERA HOUSE TRUST OFFICERS AND PROFESSIONAL ADVISORS TRUSTEES Ms J Jones Mr C Loughran Mr C Geogliegan Ms P Corbett MBE Mr J Edwards Mr R Ennis Mr B Fitzpatrick Mr J Ireland Ms N Mcveigh Mr (i Parkes Mr R Rana Ms K Strain Mr M Thompson Ms K Thomson (Chair- appointed 26 March 2024, Deputy Chair- resigned 26 March 2024) (Chair and Trustee - resigiied 26 March 2024) (Deputy Chair- appointed 26 March 2024) {appointed 12 December 2023) {resigned 12 December 2023) {appointed 12 December 2023) (resigned 12 December 2023) CHIEF EXECUTIVF Mr lan Wilson COMPANY SECRETARY Ms H Speers BANKFRS U15ter 114ink Limited 11-16 Ilonegall Square East Belfast BTI SHI) SOLICITORS Car%oii McDowell Murray Hous¢ Murray Street Belfast BTI 6DN I]YDF.PENDENT AUDITOR Deloitte (Nl) Limited Statutory Auditor Lincoln Building 27-45 Great Victoria Street Belfast BT2 7SL PRINCIPAL ADDRESS AND REGISTERED OFFICE Grand Opera House Great Victoria Street Belfast BT2 7HR GRAND OPERA HOUSE TRUST TRUSTEES, ANNUAL REPORT (INCORPORATING THE STRATEGIC REPORT) The Trustees (in their capacity as both Trustees and Directors) present their Trustees, annual report (incorporatino the strategic report) for the year ended 31 March 2024. STRATEGIC REPORT Grand Opera House Trust ('the Trust,) is a charitable company limited by guarantee and does not have share capital. It is reLognised as a charity by the Charity Commission for Northern Ireland (charity registration nuinber NIC104605). Principal activity The Grand Opera House is a full time presenting theatre. the pi-incipal activity of which is lo pi-ornote, Inaintain, improve and advance ihe education of the Northem Ireland public in the arts. The Trust promotes a wide range of artistic activity in the Inain auditorium and The Studio. Objectives and altivities Tlie .1 rust was established lo "promote, maintain, improve and advaiice the education of thc Public of Northem Ireland in thc arts (including the art of drama, operatic arts, other performingy (lrts and tlie visual arts) at the Theatre" -rhc CJrand Opera House is Northern Ireland's premier presenting theatre, presentingi an outstanding programme and %howcasing¥ the best in musicals, bdllel, opcrn, drama. coinedy, dance, locally created work, fainily shows and presenting one of the most historic and longest pantomime runs in the UK and Ireland. -Ihe mission of tlie Grand Opera House is to'create and deliver extraordinary experieiices for everyone" To deliver its mission and aims, the Trust has adnpled a strategic approach, which consists of three strategic pillars. namely, as t"ollows'. Customer experiencc- creating and delivering extraordinary experiences for our customcrs. whether they (Ire audiences, visitors, %ponsors or production companies. Stakeholder cngagement serving our sector and community through education, outreach and development aclivities- and Orgyanisational excellence - operating to high quality, value for money standards in everything we do as an organisation and working to be sustainable in the long tenn. The Grand Opera House aims are.. To present a world class theatrical experience. To extend and enhance our reputalion nationally and internationally. To exercise responsible stewardship of our landmark building; To maintain a distinctive education and outreach programme. To sustain and develop a successful organisation. and To provide a positive experience to people visiting and working in the Theatre. The Trustees and staffof the Grand Opera House are committed to creating and delivering extraordinary experiences for everyone by providing an excellent service. We act with integrity at all times, respect our slakeholders, customers and employees, are professional in our planning and delivery and work together in partnership with others, both internally and extemally, for the good of the public of Northern Ireland. GRAND OPERA HOUSE TRUST TRUSTEES, ANNUAL REPORT (INCORPORATING THE STRATEGIC REPORT) STRATEGIC REPORT (Continued) Objectives and aetivities (continued) Public benefit The direct benefits to the public in Northem Ireland which flow froin the Trust's purpose include: The education of audiences through high quality theatrical performances and participation in the Theatre's creative learning programme involving schools, community groups and individuals, including workshops, professional classes, and talkslseminai's. Tlie enrichmenl of lives throLEgh increased awareness, improved knowledge, understanding and appreciation ot-the performing arts across a wide rang)e of genres. 'll)e development of new skills (creative, perforniance and technical skills} and personal development e.g. via participation in the Theatre's COlT]mLEnity engagement activities, such as the Summer Youth Production. Enhanced accessibility to the perfomiing arts for people from disadvantagsed areas and requiring a55iStance to attend the Grand Opera House. As well as coi)tinuing its POPLJlar series of deinentia-friendly ¢in¢ma screenings, the Trust also stag)ed 33 signed, audio described, captioned ¢ind relaxed performiinces during the ye(Ir. In setting the objectives and planning the ilctivities for the ye(Ir, the Trustee5 havc given careful considcration to the Charity Commission for Northem Irel¢ind's guidance on public benefit Èo ensurL that the activities have helped to achieve the 'l'ru8l's purpose and provide (I benLlit to the beneficiaries. The public in Northern Ireland benefitted from the Trust's activilics during the year throu￿ the pr¢scnlation of a h1￿-qUality performaiice progr4imme. which encompassed ihe full r(Ingc of the performing arts. botl) on the maiiist(Ige as well as in smaller produclions in The Studio. Thcre is no other Iheatre in Northern Ireland that can stagie the large-scale and techniciilly dcmanding shows th¢tt fealure in the-IhLalrc's programme which attracted over 314,000 people in 2023124. Alongside the programme of professional touring production5, the Theatre offered ainateur and community groups, and local artistes, the opportunily to perform on one of tl)e m05t historic and iconic stage5 in thc UK and Ireland, as wcll as in The Studio. The Trust's prolific creative learning department delivered a busy programme of perforniance related workshops for all ages and abilities, within the Grand Opera I louse and beyond, schoolleducational focused inilialives. as well as a programme of events with broad appeal to all the communities of Northem Ireland. In 2023124 the Trust's creative learning programme engaged with over 4,200 people. The Trust's perforniance programme 15 created to appeal to the broadest possible range of interests, tastes and ages. and consideration is always given to a range of prices to encourage attendance. The Grand Opera House is an historic listed buildiiig and its history, heritage and its key role in the life of Belfast is shared with as many pcople as possible through talks and a number of inforniative backstage tours. fvl Theatre tours with 1,021 participants were delivered in 202312024. The Trust provides a range of platforms aimed at encouraging the performer5 of tomorrow a5 well as delivering initiatives aimed at developing perforniance skills and confidence, including its annual Summer Youth Production the largest of its kind in Northern Ireland. In July 2023. the Trust produced a production of Oliver! which featured 169 young people aged 10 to 18. The Trust has created several opportunities aimed at appealing to people and communilies who would not olhenvise engage with the Tlieatre or the arts, both through the performance programme as well as through its range of creative learning initiatives. To ensure that the Grand Opera House is accessible to people with disabilities the Theatre promotes a hugely successful 'Access for All, scheme, which had 2,737 members as al 31 March 2024. GRAND OPERA HOUSE TRUST TRUSTEES, ANNUAL REPORT (INCORPORATING THE STRATEGIC REPORT) STRATEGIC REPORT (Continued) Objeetives and activities (continued) Public benefit (continued) The perfonners appearing as part of the Grand Opera House's programme may have benefitted fi'om exposure to a wider audience, which may have enhanced their reputation, however, this was incidental to the achiev¢ment of the Trust's purpose of educating th¢ public of Northern Ireland in the arts. Achievements and performance Key performance indicators The key perforn)ance indicators for the group are as follows- 2024 353 54 83% 294,000 2023 344 48 84% 292,000 No. of perfunnances in the Main Auditorium No. of %hows in the Main Auditorium /0 total Occupancy No. of tickets sold in the Main Auditorium 202312024 represented another extraordii)ary year of theatregoing at the Gr(Ind Opera I louse, both in the terms of the quality of the perforniance programTnL, and the number of people allcnding tlie line-up of shows. With over 314,000 people Ihrough the doors, and with an average attendance of 83 /0 (the UK average for subsidised meinbers of UK Theatre is 630/0.. .8ource UK Theatre), the SUCCL.88 of tlie year re(itTirnis the Grand Opera klouse's position, not only as Nortliern IrelaIid'5 Premier Tlieatre, but also as its leadiiigJ art8 organisatioii. The public's appetite for large-scale, West End shows continues, and titlcs such as Titanic. SIX, The King and I, The Rocky Horror Show, Dirty Dancing, The Bodyguard, 42nd Street, and The Drifter5 Girl, Buddy - The Buddy Holly Story, and An Officer and a Gentleman brought in over 77,000 people, with 9,973 ncw bookers. It was particularly pleasing to see more tOLSring drarnas become available following a reduced number in the period following Covid. The quality of the Olivicr-awarding-winning production of The Life of I'i, was matched by ihe enduring popularity of The Mousetrap, the West End smash-hit 2:22 A Ghost Story, The Best Exotic Marigold Hotel, and The Full Monty. As well as touring productions, mindful of its responsibility to make available the Theatre's iconic slage to local productiDns, the Trust's programrne also included A Happy Mediuin, Vote DLA. Action Ability's annual pilgrimage with its latest show. Up the 80s, The Hen Do, Myra's Story, Foil Arms and Hog, Give My Head Peace. and a two-week run of The Lyric Theatre's production of Good Vibrations, ahead of its New York run. The Tl)eatre also continued its association with Northern Ireland Opera with a sell-out run of Puccini's Tosca, supported by an extensive education and outreach programme, and two of Nortliem Ireland's leading non- professional musical societies also staged shows.. Ulster Operatic with Evita, and St Agnes, Choral Society with The Addams Family, and the hugely popular Shamrock Tenors made their Grand Opera House debut. Family-orientated shows remains a programming priority for the Trust, and during the year the offering included The Spoiigebob Musical, Deinon Dentist, Annie, the Northern Ireland premiere of the worldwide smash-hit show, Bluey. as well as Madagascar the Musical. GRAND OPERA HOUSE TRUST TRUSTEES9 ANNUAL REPORT (INCORPORATING THE STIL4TEGIC REPORT) STRATEGIC REPORT (Continued) Achievements and performance (continued) Other shows included, Singalonga Encanto and The Greatest Showman, the superb talents of Johannes Radebe, The Belfast Ensemble with Marc Alinond, Cara Dillon, Group Acrobaiique de Tanger (all three appeared as part of Ilie Belfast International Arts Festival), Vincent Simone's Tango Passions, an audience with David Suchet, and coinediiins Colin Murphy, and Shane Todd with 16 perforjnances of his stand-up show. Over 460 young people, aged 10 to 18, attended auditions in February 2023, for the Trust's summer youth production of Oliver! With over 4,900 people attending the perfomianLes, the Theatre's annual production - the biggest of its kind in Northern Ireliind- is now firmly established as one of the most su¢cessful youth productions in the UK and Ireland. Attr(l¢ting generations of families since the Theatre opeiied in l 895, no Grand Opera House season would be complete without thL Theatre'5 ¢Xtravagant annual pantomiTn¢, Northern Ireland's biggest Christmas show. The production of Snow Wh ite and the Seven Dwarfs, whicli ran for Six weeks, was the most successful p(Intomime in the Theatre's history. Towards the end of the financial year, thc Trust also created a brand~nvw programme stream, aimed at 8howcasing) the work of local producers, artists ai)d production companies. -l-h¢ debut of 'fhe Studio Scries, held in the Theatre's 123-seat Second space, was the Northem Ireland OperalGrand Opera Holtse co-production of Cupid's Bow, and The Junipcr Tree. 'fhis was tollow¥d by Amanda Verlaquc's poignanl and challenging play, This Sh*t HappLns All tlie 'l'ime, produLed by the Gr(Ind Opera I louse Tlust. A core public benefit of the Trust 15 thL delivery of it% engaging education and outre(ILh programme. Alongyside a busy progJramme of backslage tours for the general public, schools and Lommunity gJroups, during the year, th Theatre's crealive learning leam delivered projects including Silly Moos (in partnership with Arts & Business, and Dale >am]), attended by 727 schoolchildreii, its first ever workshops with Diversc Youth, and Northern Ireland's first workshop for D/deaf perforn)ers, in association with Cr8 1-healre and deaf artisÉ Paula Clarke. All of the -fheatre's successes in 202312024 were dclivered against the backdrop of a furtl)er reduction in the Theatre's public annual subsidy of £169,000 to £206.880, the lowest on record and from a high of £673,554 a decade ago. Although the reduction presenled the I'heatre with several ch(Illenges, especially agyainst rising costs, the Trust is giratcful to the Arts Council of Northern Ireland for its continued support, and the Grand Opera House staff for their unwavering commitment and focus in delivering an unrivallcd performance programme, and prolific creative learningT activities. Financial review The consolidated Statement ol Financial Activities for the year is set out on page 18. The Balance Sheet showing the consolidated posilion at 31 March 2024 15 set out on page 19. The Statement of Financial Activities shows net income for the year of £511,861 (2023.. £1,109,891). GRAND OPERA HOUSE TRUST TRUSTEES, ANNUAL REPORT {INCORPOIL4TING THE STRATEGIC REPORT) STIL4TEGIC REPORT (Continued) Financial review (continued) Total income for the year is made up as follows.. 2024 2023 Charitable activities Other trading activities Investments 8,987,065 1,506,863 345,481 10,839,409 587,781 11,427,190 10,377,546 1,362,103 103,161 11,842,810 601,387 12,444,197 Donations and legacies (including restoration levy) Totdl income Income frum charitable ¢iclivities decreased due to the mix of the sh()w programine, with a larger number of local productions in the current ycar. Income from investm¢nls increased duL to the inLr¢ase in interest rates throughout the year. Income from charitable aetivities To advance the educatioii of the public of Northern Ireland in tlie Art5, the Grand Opera Flouse (11111$ to deliver a varied progJramme, with a mix ol-the arts, and to deliver the higliest quality artistic produclions in an a¢¢cssible way to the widest possible audience. Income froin charitablc activities therefore coiisist.% ol- income gcnlraled from theatre production and programming, education and nutreach work and revenue and capital grant income. An annual grant from the Ails Council of Northern IrLland (ACNI) is of central importance to thc Grand Opera Flouse. In 2023124 revenue grant funding was gratLfully received from ihe Arts Council of Northcrn Ireland of £206,IS80 {2023.' £375,880). In 2023124, a £10,000 revcnue grant was also gr(Itefully received from Arts & Business Northern Ireland to deliver a schools project in partncrship with Dale Farm. In 2023124, a £3,885 capital grant was also gratefully received frorn Belfast City Council for access equipment (2023= £6,364 revenue grant to deliver a community project). Ineome from other trading activities Thc Trust's wholly-owned subsidiary, Thc Grand Opera Hous¢ (Theatre) l.imited, generates the rnajority of the income from othcr trading activities through ancillary theatrc activities including bar and front of house sales, confer¢nce and event income, Friends and corporate sponsorship. Donations and legacies Donations and legacies consists of donations and the voluntary restoration levy which is applied on all ticket sales. During the year this restoration levy raised £552.428 (2023.. £556,077) and is restricted for investment in the preseivation, improvement and enhancement of the historic listed building, slage and main auditorium fixtures and fittings, health and safety obligatiOTJS and in all areas of customer service to ensure that the comfort and safety of all customers and visitors is maintained to the high¢st standard. This voluntary restoration levy income 15 shown as income under restricted funds. GRAND OPERA HOUSE TRUST TRUSTEES, ANNUAL REPORT (INCORPORATING THE STRATEGIC REPORT) STRATEGIC REPORT (Continued) Financial review (continued) Trading subsidiary The Trust's wholly owned subsidiaiy, The Grand Opera House (Theatre) Limited, was established to operate the commercial bar, front of house and event facilities at the Theatre, to hire out the Theatre to third parties and to contract with production companies and sell tickets to customers for admission to the shows presented. The Trust seconds staff to ils subsidiary and licenses the use of the Theatre to its subsidiary for the purpose of presenting productions. In return the subsidiary pays a manageinenl charge to cover wage costs and overheads and a licence fee for the u5¢ of the Theatre. The management charge (Ind licence fee for the current year Wils £3,138,995 {2023- £2,974,429). The profil of the subsidiary for the financial year Was £nil (2023- £nil). The subsidiary has a policy of gift aiding any taxable profits to the 'l"rust whLrc distributable prolits exist. In ihe current yeiir profils gift aided to the .1 rust were £64,989 (2023.. £fv1,235). Principal risks and uncertainties The 'frust has a risk manageinenl slralegy which comprises- An annual review of the risks tl)e I"rust and its subsidiary, The Qirand Opcra House {Tlieatre) l.irnited. may frace" The establishment of syslems and procedures to mitigdlc ihose risks- amd The irnplementation of procedure5 dcsigned to minimise potential impact should those risk8 materialise. This work has identificd that financial sustainability is the major financial risk for both the Trust and it% subsidiary. Appropriate stralcgies including strategJic planning in respect of the programme and budget and business planning have been identified to manage the financial sustainability of the Theatre. The group's strategy is to follow an appropriate risk policy, which effectivcly manages exposures rclated to the achievement of the Drganisation's objectives. The key risks which management face are as follow5.' Business performance risk Business performance risk is the risk that the group may not perform as expected either due to intemal factors, including availability of the premises, extemal factors, such as the rising cost of living and iinpact of the war in Ukraine, or due to competitive pressures in the market in which il operates. The risk is managed through a number of measures.. ensuring Ihc appropriate management team 18 in place. budget and business planning. monthly reporting and variamcc analysis- financial controls. key performance indicators; and regular forecasting. Busine3s conlinuily risk The group ensures that there is adeqiiate knowledge throughout the managernent tearn and sufficient IT support and business continuity plans in place should an unforeseen event occur. Health andsafety risk The group is committed to ensuring a safe working environment. These risk5 are managed by the group through the strong promotion of a health and safety culture, extensive safety training and well-d¢fined health and safety policies. FipEancial and biisiness conlrol Strong financial and business controls are necessary to ensure the integrity and reliability of financial and other infomiation on whicli the group relies for day-to-day operations, external reporting and for longer tern) planning. The group exerci5e5 financial and busine55 control through a combination of qiialified and experienced financial personnel; performance analysis; budgeting aiid forecasting. and clearly defined appi'oval limits. GRAND OPERA HOUSE TRUST TRUSTEES, ANNUAL REPORT (INCORPOtL4TING THE STRATEGIC REPORT) STRATEGIC REPORT (Continued) Principal risks and uneertainties (continued) Environmenlal risk The group has eslablished clearly defined policies and procedures to enable compliance with environmental best practice and legislation. The group is committed to protecting the environment in which it conducts its activities. Finan¢i81 risk management The group's principal financial instruments comprise cash, current asset investments, trade debtors and creditors and ccrtain other debturs, creditors and accruals. The main risks associated with Ihcse financiiil assets and liabililies are set out below.. Credil i-iJk Credit risk is the risk that one party to a financial instrument will cause financial loss for the other party by failing to discharge an obligation. (¥roup policies are aimed at miniinising such lusses and require that deferred tems are only granted to customers who demonstrate cippropriate payment history and satisfy credit worthiness procedures. Given that the majority of tli¢ group's sales (Ire ticket sales payablv ai Ihe time of booking, the group's exposure to credit risk is not significant. The credit risk on liquid funds 15 limited beL(iuse Ihe counterparties are banks with high crcdit ratingy5 assigned by internation(Il credit-rdtingT (Igencies. Liquidity ri.sk Liquidity risk is the risk that an entity will encounter difficulty in meeting its obligations. The group mainlains regJul(Ir contact with its bankers and utili5e4 onlinc bankingy syslcm.% to monitor cash flow pcrformance to manage the group's liquidity risk. 'fhe group holds current asset investments with a number of financial institutions to mitigale the risk further. Health and safety The Chief F.xeculive is respon%iblc to the Board for health and safcty matters and reports reglilarly to the Board of Trustees. An cxt¢rnal healtli and safety audit was carried out in 2023124 and acliieved a satisfactory result. Friends of the Grand Opera House We are grateful for the Continued support of our Friends, of which there were 1,153 (2023- 1.252) as at 31 March 2024. The Stra ic Report was proved by the Board and signed on its khalf by-. J Jones Chair an Deputy Chair Dale.. 24 September 2024 Date.. 24 September 2024 GRAND OPERA HOUSE TRUST TRUSTEES, ANNUAL REPORT (INCORPORATING THE STRATEGIC REPORT) TRUSTEES, ANNUAL REPORT The TI￿SteeS (iii their capacity as both Trustees and Directors) are pleased to present their annual report together with the consolidated fiiiancial statements of Grand Opera House Trust (the Trust) and its siibsidiary undertaking, The Grand Opera House (Theatre) Lirniled (the Theatre), together with the report of the independent auditor for the year ended 31 March 2024. Structure, organisation and management Grand Opera House Trust is a charitable company limited by guarantee and does not have share capital. The Board of Trustees. which administers the Trust, meets bimonthly and there are various other committees coveringJ Audit, Risk and Governance, Planning and Finance, and Human Resources. Trustees are appointed to committees based on their skills. The Trustees elect one of their number as Chair. A Chief Executive is appointed by the Trust to lead and manage the operations of the Trust and the setting of the prograrnme of perfonnances. -fo facilitate effective uperydlions. the Chief Executive has delegated auihority, within tenn5 Ot delegatioTr approved by ihe Trust, for operational matters including finance, einpluymcnt and arti5tiL perfor]nance related activity- -I'he Chief Executive is also responsible for implementing the strr opinion We conducted our audit iii accordance with International St(Indards on Auditing {IJK) (18As (UK)) and applic(Iblc law. Olir responsibilities under those st(Indards are further described in the audilor's responsibilities for the audit o* the financial statements section of our report. We are independent of the group and of the parent charitablc company in accordance with the ethical requircments that are relevant to our audit of the financial stateTnenl8 in the UK, including ihe Financial Reporting Council's (the ' FRC'S,) Ethical Standard. and we have ￿[fIlled our other ethical responsibilities in accordance with thcsc requirements. We believe ihat Ihe audit evidence we have obtained is sufficicnl and appropriate lo provide a basis for our opinion. Conclusions relating to going Concern In audiling the financial statements, we have concluded that the Trustees. use of the going concern basis of accounting in the preparation of the financial stateinenls is appropriate. Based on the work we have performed, we have not identified any matcrial uncertainties relating to events or conditions Ihat. individually or colleclively, may cast significant doubt on the group's and parent charitable company's ability to continue as a gi)ing concern for a period of at least twelve months from when the financial staternents are authorised for issue. Our responsibilities and the responsibilities of the Trustees with respect to going concem are described in the relevant sections of this report. Other information The other infonnation comprises the infonnalion included in the annual report, other than the financial staternent5 and our auditor's report Iher¢on. The Trustees are responsible for the other infonnation contained within the annual report. Our opinion on the financial statements does not cover tlie other information and, except to the extent othenvise explicitly staled in our report, we do not express any forin of assurance conclusion Ihereon. 14 INDEPENDENT AUDITOR?S REPORT TO THE MEMBERS OF GRAND OPERA HOUSE TRUST (Continued) Other information (continued) Our responsibility is to l'ead the other infonnation and, in doing so, consider whether the other infonnation is materially inconsistent witli the financial statenients or our knowledge obtained in the course of the audit, or otherwise appears to be materially Inisstated. If we identify such material inconsistencies or apparent material misstateinents, we are required to determine whether this gives rise lo a material misslateiment in the financial statements Ihernselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other inforinalion. we are required 10 report that fact. We have nothing to report in this regard. Responsibilities of Trustees As explained more fully in the Trustees, responsibilities statement, the Trustees (who are also the directors of the charitable company for the purpose of company law) are responsible for the prepar¢ition of the financial stalements and for being sat15fied that they give a true and lair view, and for such intenial control as the Trnstees determine is nece55ary to enable the preparalion of financial statements that are tree froim malcrial misstatement, whether due to fraud or error. In preparing the financial stalements, the Trustees are responsible for assessing the group's and the Piirent charitable Lonipany's ability lo continue as a going concern, disc105ing, as applicable, matters reldtcd to gi)ing concern and using the going concerti basis of accounting unless tlie -1 ruslces eitlier intend to liquiddtc the group or the parent charitable company or to cease operations, or have no realistic alteriiatiVL but to do so. Auditor'5 responsibilities for the audit of the fjnancial statcment5 Our objeclives are to obtain reasonable assurance about whether the I'inancial st(itemcnts as a whole are frec from material m isstatement, whether due to fraud or error, and to issui an auditor's report that includi% our opinion. Rea50nablc assurance 15 a high level of assurance. but is not a gJuarantee that an audit coE]ducted in accordance witlI ISAS (UK) will always detect a material mi%8tatement when il cxists. Misstatements can arise from fraud or error and are considercd material if. individually or in the aggrcgale, they could reasonably be expecled to influence the economic decisions of users taken on the basis ofihese financial 5tatemenÈs. A further description of our responsibilities fur the audit of the financial statements is Ioc¢lted on the FRC'S website at.. www.frc.oro uklauditOl'5fLslloiisibi lities. This descriplion forms part of our auditor's report. EXte￿t to whieh the audit was considered capable of detecting irregularities, including fraud Irregularities, including fraud, are instances of non-compliance with laws and regltlations. We dcsign procedures in line wilh our responsibilities, ouilined above, to detect niaterial misstatement8 in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below. We considered th¢ nature of the group's industy and its control environment, and reviewed th¢ group's documentation of their policies and proc¢dures relating to fraud and compliance with laws and regulations. We also enquired of managemcnt and the trustees about their own identification and assessment or Ihe risks of irregularities, including those Ihat are specific to the group's busines5 seclor. We obtained an understandiiig of ihe legal and regulatory frameworks that the group operates in, and id¢ntified the key laws and regulations that: had a direct effect on the determination of material amounts and disclosures in the financial statements. These included UK Companies Act, Charity legislation and the Charities SORP 2019; and do not have a direct effect on the financial statements but compliance with which may be fundamental to the group's ability to operate or to avoid a material penalty. These included the Charity Commission for Northern Ireland {Charity Commission) regulations, Health and Safety legislatioii, Employment Law, Data Protection Act and Bribery Act. 15 INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF GRAND OPERA HOUSE TRUST (Continued) Extent to which the audit was considered capable of detecting irregularities, including fraud {continued) We discussed ainong the audit engageinent team regarding the opportunities and incentives that may exist within the orgaiiisation for fraud and how and where fraud m ight occur in Ihe financial statements. As a result of perforniing the above, we identified the greatest potential for fraud in the following areas, and our specific procedures perforined to address it are described below.. Revenue Recognition We assessed the design and implementation of key controls over the cut-off of revenue al year end. and We selected a sample of grant i-evenue recorded and traced to supporting documentation to ensure it had been appropriately recorded in the finanLi¢il slatements and pertormed a recalculation of a sample of deferred revenue to ensure it was appropriately recorded at year end. In cominon with all audits under ISAS (UK). we are also required to perfonn specific procedures to respond to the risk of Inanagenient override. In addressin¥ thc risk of fraud through management override uf controls, we tested the appropriateness uf journal entries and other adjustlT]ents' assessed whether the judgemcnts made in making accounting estiin(Ites are indicative of a potential bias- aTtd evaluated the busine55 rationale of any significaiit transactions ihat are unusual or outside the nonnal Course of busin¢ss. In addition to the above, oui. pi-ocedures lo respond to the risks identified included the following.. reviewingF financial statement disclosures by testing to supporting documentation to assess coinpliance with prov15ion.% of relev4int laws and regJulatinns desci-ibed as having a direct effecl on tlie financial stateinents- perforniing analytical procedures to identify any unusual or unexpected relationships that may indicate risks of material Tni88tatement due to fraud. enquiring of managJemenl concerning dclual and potential litigation and claims, and in.%lances of non- compliancL Wlth laws and rcgulatioiis- and rladtng minut¢% of meetings of ihose charged with governance and rcviewin(F coirrespondence with The Charity Commission for Northcrn Ireland. Repnrt on other legal and regulatory requirements Opinions on other matters prescribed by the Companies Aet 2006 In our opinioi), bkL8ed on the work undertaken in the couysc of the audit.. the iDfom)ation given in the Strategic Report and the Trustees, Annual Report for the financial year for which the financial statements are preparcd is consistent with the financial statements- and the Strategic Report and the Trustees, Annual Report has been prepared in accordance with applicable legal requirements. In the light of the knowledge and understanding of the group and parent charitable company and its environinent obtained in the course of the audit, we have not identified any material misstatements in the Trustee5' report. Matters on which we are required to report by exeeption Under the Companies Act 2006 we are required to report in respect of the following matters if, in our opinion: adequal¢ accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us. or the finaiicial statements are not in agreement with the accounting records and retums- or certain disclosur¢s of Tru5tees' remuneration specified by law are not made- or we have not received all the information and explanations we require for our audit. We have nothing to report in respect of these matters. 16 INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF GRAND OPERA HOUSE TRUST (Continued) Use of our report This report is made solely to the charitable company's membeis, 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 charitable company's members those matters we are required lo slate to them in an auditor's report and for no other purpose. To the fullest extent permitled by law, we do not accept or assuine I'esponsibility to anyone other than the charitable company and the charitable company's membei's as a body, for our audit work, for this report, or for the opinions we have formed. n Starbuck FCA (Senior Statutory Auditor) for and on behalf of Deloitte (Nl) Liimited Statutory Auditor Belfast, United Kingdom Date- 17 GRAND OPERA HOUSE TRUST COINSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES (including consolidated income and expenditure account) For the year ended 31 March 2024 Unrestricted funds 2024 Restricted funds 2024 Total funds 2024 Total funds 2023 Notes Incoming from: Donations and legacies Charitable activities Other trading activities Investments 35.353 8,766,300 1,506.863 345,481 552,428 220,765 587,781 8,987,065 1,506,863 345,481 601.387 10,377,546 1,362,103 103.161 Total income 10,653,997 773,193 11,427,190 12,444.197 Expenditure on: Raising funds Charitable activities l.oss on disposal of fixed assets 1,414.090 8,565,108 517 162,795 705,264 67,555 1,576,885 9,270,372 68,072 1,440.861 9,893,445 Totyl expenditure 9,979,715 935,614 10,915.329 11.334,306 Net iTrcome/(loss) before tax 674,282 (162,421) 511,861 1,109,891 'l-axalion 13 Net iTrcoTnel(loss) for thc year 674,282 (162,421) 511,861 1,109,891 'I'ransfer bctween funds Net D]ov¢ment in funds 674,282 (162,421) 511,861 ,109,891 Reconciliation of funds Total fullds brought fO￿ard 22 5,481,654 13,124,533 18,606,187 17,496,296 Total fund5 carried forward 22 6,155,936 12,962,112 19,118,048 18,606,187 Net income is derived from continuing operations in the current and prior year. There are no other recognised gains or losses other than those reflected in the statement above, and consequently no Statement of Comprehensive Income is present¢d. The surplus of the parent Charitable company for the year for Companies Act purposes is £511,861 (2023.. £1,109,891). As permitted by Section 408 of the Companies Act 2006, no separate Slatement of Financial Activities is presented in respect of the parent charilable cornpany. The notes oll pages 22 to 43 form part of the financial statements. 18 GRAND OPERA HOUSE TRUST Company Registration No: N1028078 CONSOLIDATED BALANCE SHEET As at 31 March 2024 Note 2024 2023 FIXED ASSETS Tangible assets 14 13,185,216 13,781,856 CURRENT ASSETS Stocks Debtors Investments Cash ai bank and in hand 16 17 18 22,225 143,022 9,500,515 1,683,080 24.743 97.327 7,850,508 1,316,944 11,348,842 9,289,522 CREDITORS"_ amounts falling due within one year 19 (5,416,010) (4,465,191) NET CURRENT ASSF.TS 5,932,832 4,824,331 NET ASSF,TS 19,118,048 18,606,187 FUNDS Restricted funds UnrestrictLd tunds 22 22 12,962,112 6,155,916 13,124,533 5,481,654 TOTAL FUNDS 19,118,048 18,60C),187 The fin(Incial staternenl% of QTraiid Opera House Tru%l (registered number N1028078) were approved and autliorised for issue by the Board of .1 ru.%lces on 24 Septcmbcr 2024. They were signed on its beh f by-. J Jones Chair Mr C Geoghegan Deputy Chair The notes on pages 22 to 43 form part of the financial statements. 19 GRAND OPERA HOUSE TRUST Company Registration No: N1028078 COMPANY BALANCE SHEET As at 31 March 2024 Note 2024 2023 FIXED ASSETS Tangible assets Investinents 14 13,185,216 i 00,00 I 13,781,856 i 00,001 13,285,217 13,881,857 CURRENT ASSETS Debtors Investments Cash at b(Ink and in hand 17 18 82,289 9,500,515 747,988 47,164 7,850,508 632,397 10.330,792 8,530,069 CREDITORS- amounts falling due within one year 19 {4.497,961) (3,805,739) NET CURRENT ASSETS 5,832,831 4,724,330 IYF.T ASSETS 19,118,048 18,606,187 FUNDS Restricted fuDd5 Unrestricted funds 22 22 12,962,112 6,155,936 13,124,533 5,481,654 TOTAL FUNDS 19,118,048 18,606,187 The surplu5 for thc financial year dcalt with in the financial statements of the parent LEndcrtaking was £511,861 (2023= £1,109.891). The financial .%tatement5 of Cirand Opera House Trust {regi8lcred number N1028078) were approved and authorised for issue by the Board of Trustees on 24 September 2024. e Signed on its beh by.. s J Jones Chair Mr C Geoghegan Deputy Chair The notes on pages 22 to 43 form part of the financial statements. 20 GIL4ND OPEtL4 HOUSE TRUST CONSOLIDATED CASH FLOW STATEMENT For the year ended 31 March 2024 Note 2024 2023 Net cash flows generated from operating aetivities 25 2,012,655 1,194,140 Cash flows from investing aetivities: Interest from investments Purchase of tangible fixed assets Cash inflow from maturity of investments Cash outflow on deposit of investments 324,599 97.521 (321,111) (435,117) 4,350,508 6,250,979 {6,000,515) (7,850,508) Net cash flows used in investing activities {1,646,519) (1,937,125) Net increaS￿{deCrease) in cash at bank and in hand 366,136 (742.985) Cash at bank and in hand at beginning of year 1,316.944 2,059.929 Cash at bank and in hand at end of year 1,683,080 1,316.944 The note5 on pages 22 to 43 form Pilrt of the financial stateineiits. 21 GRAND OPERA HOUSE TRUST NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 March 2024 COMPANY AND CHARITABLE STATUS Grand Opera House Trust, a public benefit entity, is incorporaied in Northern Ireland as a company limiied by guarantee not having a share capital. There are currently I l Trustees who are also members of the company. Each meinber has undertaken to contribute lo the assets in the event of winding up a sum not exceeding £ l. The charity is a registered charity (charity number NIC104605). The registered otrice is given on page l. ACCOUNTING POLICIES Basis of aeeounting The financial statements are prepared under the historical cost convention, in accordance with the Statement of R¢Lominended Practice"Accounling and Reporting by Chcirities" (SORP 2019} applicable to charities preparing their accounts in accordance with the Financial K¢porting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102), and the Companies Act 2006. The coinpany meets tlie definition of a qualifying entity under FRS 102 and has therefore taken advantage of the disclosure exeinption available to it in respect of its sep(Irale tinancial stalcmcnts in relation to presentation of a cash flow statement. The principal accounting policies are set out below. 'fhey havc been applied Lonsistently tliroughout the currenl and preceding yeai-, unles5 Uthei'wise stated. Prep#ration ol fiiiancial statements- going concern Having reviewed the -frust's forecasts, taking into acc()unl clianges in trading as a result of increased op¢ralional costs, ¢ind havingJ considered a number ol- scenai-ios, includingJ rLduced occupancy as a result of extCiTtal factors, the Trustee5 have a reasonable Lxpcclation that tl)ere (Irc adequate resources in plaLe to continue in operalional exislcncc for the fore5Lcable future. The principal factors underlying tliis judgcinent, subject to nornial levlls of¢ommerci411 risk in ihe current economic climate, include= Currenl levels of financial performance and resources by comparison with budget expectalions- Expected revenues from the planned progyramme for 2024125 and 2025126. Expected cash flows in respect of capital expenditure- and Rcceipt of continued support from ACNI in 2024￿5 and 2025126. Appropriate financial stralegies have been identified to managc ihe financial suslainability of ihe Theatre. Accordingly, the .1 rust continues lo adopt the going concern basis of accounling in preparing the annual financial slatement5. Basi5 of consolidation Con501idated financial statement5 have been prepared in respect of Grand Opera House Trust and its wholly owned subsidiary undertaking The Grand Opera House (Theatre) Limited. All intra-group transactions, balances, income and expenses ar¢ eliminated on coiisolidation. These financial slatements have been consolidated on a line by line basis and the results of the subsidiary undertaking are disclosed in note 15. 22 GRAND OPERA HOUSE TRUST NOTES TO THE FINANCIAL STATEMENTS (Continued) For the year ended 31 March 2024 ACCOUNTING POLICIES (continued) Ineome IncoiMe is r¢cognised when the group and Trust has entitleinent to the funds, any performance conditions attached to the item of income have been met, it is probable that the income will be received and the amount can be measured reliably. Donations and legacies and the restoration levy are recognised in income when received. Revenue grants are recognised as income when receivable and income from ticket sales is recognised when received. Where payments are received from customers in advance of shows taking place, the amounts are recorded as detetTed income and included as part of creditors due within one year until the relevant performance date has passed. Income from trading activities is recognised as and when goods are provided to the customer or services have been providcd to the extent that there is a right to consideration. Inter¢st incume is recognised when receivable. Donated servi¢cs are recogni5ed on the basis of the value of the gTift lo the Trust which is the atmoui)t the .1 rust would be willing to pay to obtain the services of equiv(iILnl economic benefit on thc open In(Irket- a ¢Drrespvnding aiT]ount 15 thcn recognised in expenditure in thL pei'iod of receipt. Capital gJranls are recognised in the year of reLeipl and treated a% restricted funds with dLprLciation on Ihc relevant (i%sets charged dircctly to the re5triLtLd l.uiid in thc Consolidated Statemenl of Finiincial Aclivities. Resources expended Expenditure is recogni5ed once there is a legal or constructive obligation lo make a payment to a third party, it is probable that the settlement will be required aiid the amount of the obligation can be measurcd reliably. Expenditure is classified under the following heading%'. Expenditure on raising funds includes the co8ls incurred in generating income from trading activities including front of House scrvices, sponsorship and the Friends membership scheme. Expenditurc on charitable activities includes costs to deliver the theatre programme and education and outr¢ach activities. Support costs are those functions that assist the work of the Trust but do not directly undcrtake charitable activities. Support costs include govemance costs, general management and adrninislration costs, inforniation tcchnology and communications costs. property costs and depreciation. These cost5 have been allocated between costs of raising funds and expenditure on charitable activities. The bases on which 5UPPOrt Costs have been allocated to activity cost categories on a basis consistent with the use of resources, are set out in note l O. Fulld accounting The Trust's funds consist of unrestricted and restricted funds. Unrestricted funds may be used at the discretion of the Trustee5 to further the Trust's charitable purposes. Designated funds are funds set aside for specific purposes earmarked by the Trustees. They are utilised as required for the purpose for which they were created, and fonn part of unrestricted funds. 23 GRAND OPERA HOUSE TRUST NOTES TO THE FINANCIAL STATEMENTS (Continued) For the year ended 31 March 2024 ACCOUNTING POLICIES (continued) Fund aecounting (eontinued) Restricted funds represent income received wliich is ea￿￿arked by the funder or donor for specific purposes. These funds are not available for the Trusle¢s to apply at their discretion. The purpose and use of the restricted funds is set out in the notes to the financial statements. Tangible fixed assets and depreciation A fixed asset is any item of expenditui'e which has a life expectancy (i.e. usage period) of Inore than one year, a measurable value in excess of £500 and provides a future economic benefit to the organisation. Expendilure on items with a life expectancy of one year or less are considered to be consuinable items and tire expensed in the yeai. in which they ocLur. Tangible fixed assets are stated at cost. net of depreciation and any provision for impairment. Depreciation is provided on all tangible fixed assets, other than land, at ralcs calculated to write off the Lost, less estiniated i-esidual value, of each asset on a straight line basis ovcr its expected useful life, as follows= 'llJcatre restoration Thcatre extensiun 'ixlures, fittingJs & plant Computer equipment Website 2°/0 per (Innum 10/o- 50% perannum 20/0- 33.33 /0 per annum 25 /0 per annum The carrying values of tangible fixed assets are reviewed for impainnent wlien events or changes in ctrcuinstances indicalc the caryingT valuL may i)ot be rccovei7ble. Investmcnts In the Trust balance sheet, the investincnt in the sub8idiary is ITte(Isured at cost less impairnient. Stoeks Stocks are stated at the lower of cost and net realisable value. Provision is made for obsolctc. slow moving or defective iteins as appropriate. Cash and cash equivalents Cash and cash equivalents in the balance sheet comprise cash at bank and in hand and short term current asset investments. Current asset iT]vestments comprise cash deposits and are measured initially at the cash aTnount on deposit and subsequently at the cash amount expected to be received. Operating leases Rentals under operating leases are charged to the Statement of Financial Activities on a 5traight-line basis over the lease term, even if payments are not made on such a basis. 24 GRAND OPERA HOUSE TRUST NOTES TO THE FINANCIAL STATEMENTS (Continued) For the year ended 31 March 2024 ACCOUNTING POLICIES (continued) Pension scheme The Trust operates two group personal pension schemes. these are both defined contribution schemes whereby the assets are held separately from those of the Trust in an independently adn]inistered fund. Tlie amount charged to the Statement of Financial Activities in respect of pension costs is Ilie contributions payable in the year. Differences between contributions payable in the year and contributions actually paid are included within accruals in the balance sheet. Financial instruments Financial assets and financial liabilities are i-ecognised when the group becomes party to the contractual provisions ot the instruments. All financial assets and liabilities are initially measured ¢it transaction price (including transaction costs), except for thus¢ tinancial assets cldssificd as at fair value through profit or loss, which are initially measured at fair value (wliich is n()rmally the tr(Insaction pricc excluding transaction costs), unless the arrangcment constitutes a financing tr