HALF-YEARLY FINANCIAL REPORT 2024 - Flipbook - Page 21
THE EDINBURGH INVESTMENT TRUST PLC / FINANCIAL REVIEW / 19
NOTES TO THE CONDENSED
FINANCIAL STATEMENTS
1. ACCOUNTING POLICIES
The condensed financial statements have been prepared in accordance with applicable United Kingdom Accounting Standards
and applicable law (UK Generally Accepted Accounting Practice), including FRS 102 The Financial Reporting Standard applicable
in the UK and Republic of Ireland, FRS 104 Interim Financial Reporting and the Statement of Recommended Practice Financial
Statements of Investment Trust Companies and Venture Capital Trusts, issued by the Association of Investment Companies in
July 2022. The financial statements are issued on a going concern basis.
The accounting policies applied to these condensed financial statements are consistent with those applied in the financial
statements for the year ended 31 March 2024.
2. INCOME
Six Months to
30 September
2024
(Unaudited)
£’000
2023
(Unaudited)
£’000
19,360
18,299
Income from investments:
UK dividends
Overseas dividends
- ordinary
- special
732
147
- ordinary
351
1,570
- special
Interest from money market funds
–
318
1,032
542
21,475
20,876
Other income:
Deposit interest
Total income
6
7
21,481
20,883
Special dividends of £702,000 were recognised in capital during the period (2023: £nil)
3. MANAGEMENT FEE AND FINANCE COSTS
The management fee arrangements are as reported in the Company’s 2024 Annual Financial Report, being 0.03750% per
month on the first £500 million, falling to 0.03333% on the next £500 million and 0.02917% on the remainder of the market
capitalisation of the Company’s ordinary shares at each month end and paid monthly in arrears (equivalent to an annualised
fee of 0.45% on the first £500m, 0.40% on the next £500m and 0.35% on the remainder).
The management fee and finance costs are allocated 30% to revenue and 70% to capital.
4. TAXATION
Owing to the Company’s status as an investment company no tax liability arises on capital gains. The tax charge represents
withholding tax suffered on overseas income. A deferred tax asset is not recognised in respect of surplus management
expenses since the Directors believe that there will be no taxable profits in the future against which these can be offset.
