Cremorne Capital Limited – HVT Land Trust
ARSN 154 154 033
Interim Financial Report for the Half Year
Ended 31 December 2022
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For the Half Year Ended 31 December 2022 Page Number Directors’ Report 2 Auditors Independence Declaration 3 Independent Review Report 4 Directors’ Declaration 6 Condensed Statement of Profit and Loss and Other Comprehensive Income 7 Condensed Statement of Financial Position 8 Condensed Statement of Changes in Net Assets Attributable to Unitholders 9 Condensed Statement of Cash Flows 10 Condensed Notes to the Condensed Financial Statements 11
Interim Financial Report
DIRECTORS’ REPORT
The directors of Cremorne Capital Limited (‘the Responsible Entity’) submit herewith the condensed financial report of HVT Land Trust (‘the Scheme’) for the half year ended 31 December 2022. In order to comply with the provisions of the Corporations Act 2001, the directors report as follows:
Directors
The names of the directors of the Responsible Entity during or since the end of the year are:
• Mr M A Ramsden
• Mr D.A. Carroll
• Mr O.R. Carton
Directors were in office for this entire period unless otherwise stated.
Review of operations
Results
The financial results of the operations of the Scheme are disclosed in the condensed statement of profit and loss and other comprehensive income. The net profit for the Scheme half-year ended 31 December 2022 was $251,415. This compares to a loss of $13,140 for the half-year ended 31 December 2021.
In respect of the half-year ended 31 December 2022, no distributions are payable (2021: Nil.)
Independence declaration by auditor
A copy of the auditor's independence declaration as required under section 307C of the Corporations Act 2001 is set out on page 3.
Signed in accordance with a resolution of the directors of the Responsible Entity made pursuant to s.298 (2) of the Corporations Act 2001.
On behalf of the Directors
Michael Ramsden Director
MELBOURNE
DATED 15 March 2023
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Auditor’s Independence Declaration Cremorne Capital Limited – HVT Land Trust
I declare that, to the best of my knowledge and belief, during the half-year ended 31 December 2022 there has been:
a.no contraventions of the auditor independence requirements as set out in the CorporationsAct2001 in relation to the review, and
b.no contraventions of any applicable code of professional conduct in relation to the review.
Nexia Melbourne Audit Pty Ltd Melbourne
Dated this 16th day of March 2023
Richard Cen Director
Nexia Melbourne Audit Pty Ltd Registered Audit Company 291969 Level 35, 600 Bourke Street Melbourne Victoria 3000 T: +61 3 8613 8888 F: +61 3 8613 8800 Nexia Melbourne Audit Pty Ltd (ABN 86 005 105 975) is a firm of Chartered Accountants. It is affiliated with, but independent from Nexia Australia Pty Ltd. Nexia Australia Pty Ltd is a member of Nexia International, a leading, global network of independent accounting and consulting firms. For more information please see nexia.com.au/legal. Neither Nexia International nor Nexia Australia Pty Ltd provide services to clients. Liability limited by a scheme approved under Professional Standards Legislation.
Australia
Registered Audit Company 291969
Level 35, 600 Bourke Street
Melbourne Victoria 3000
T: +61 3 8613 8888
F: +61 3 8613 8800
Independent Auditor’s Review Report
To the members of Cremorne Capital Limited – HVT Land Trust Report on the Half-Year Financial Report
Conclusion
We have reviewed the half-year financial report of Cremorne Capital Limited – HVT Land Trust, which comprises the Condensed Statement of Financial Position as at 31 December 2022, the Condensed Statement of Profit or Loss and Other Comprehensive Income, Condensed Statement of Changes in Equity and Condensed Statement of Cash Flows for the half-year ended on that date, notes comprising a summary of significant accounting policies and other explanatory information, and the Directors’ Declaration.
Based on our review, which is not an audit, we have not become aware of any matter that makes us believe that the accompanying half-year financial report of Cremorne Capital Limited – HVT Land Trust does not comply with the Corporations Act 2001 including:
i) giving a true and fair view of Cremorne Capital Limited – HVT Land Trust’s financial position as at 31 December 2022 and of its performance for the half-year ended on that date; and
iii) complying with Accounting Standard AASB 134 Interim FinancialReporting and the CorporationsRegulations 2001.
Basis for Conclusion
We conducted our review in accordance with ASRE 2410 Review of a FinancialReport Performed by theIndependentAuditor of the Entity. Our responsibilities are further described in the Auditor’s Responsibilities for the Review of the FinancialReport section of our report We are independent of the Scheme in accordance with the auditor independence requirements of the Corporations Act 2001 and the ethical requirements of the Accounting Professional & Ethical Standards Board’s APES 110 Code of Ethics for Professional Accountants (includingIndependence Standards) (the Code) that are relevant to our audit of the annual financial report in Australia. We have also fulfilled our other ethical responsibilities in accordance with the Code.
We confirm that the independence declaration required by the Corporations Act 2001 which has been given to the directors of the Scheme, would be in the same terms if given to the directors as at the time of this auditor’s review report
Material Uncertainty Related To Going Concern
We draw attention to Note 9 in the half-year financial report, which indicates that the financial statements of the Scheme have been prepared on the basis of a going concern Although the Scheme incurred a net gain of $251,415 during the half-year ended 31 December 2022, it has a negative working capital of $208,038. These events or conditions, indicate that a material uncertainty exists that may cast significant doubt on the Scheme’s ability to continue as a going concern. Our opinion is not modified in respect of this matter.
Australia Nexia Melbourne Audit Pty Ltd
Nexia Melbourne Audit Pty Ltd (ABN 86 005 105 975) is a firm of Chartered Accountants. It is affiliated with, but independent from Nexia Australia Pty Ltd. Nexia Australia Pty Ltd is a member of Nexia International, a leading, global network of independent accounting and consulting firms. For more information please see nexia.com.au/legal. Neither Nexia International nor Nexia Australia Pty Ltd provide services to clients. Liability limited by a scheme approved under Professional Standards Legislation.
Responsibility of the Directors for the Financial Report
The directors of the Scheme are responsible for the preparation of the half-year financial report that gives a true and fair view in accordance with Australian Accounting Standards and the Corporations Act 2001 and for such internal control as the directors determine is necessary to enable the preparation of the half-year financial report that gives a true and fair view and is free from material misstatement, whether due to fraud or error.
Auditor’s Responsibility for the Review of the Financial Report
Our responsibility is to express a conclusion on the half-year financial report based on our review. ASRE 2410 requires us to conclude whether we have become aware of any matter that makes us believe that the half-year financial report is not in accordance with the CorporationsAct2001 including giving a true and fair view of the Scheme’s financial position as at 31 December 2022 and its performance for the half-year ended on that date, and complying with Accounting Standard AASB 134 InterimFinancialReporting and the CorporationsRegulations2001.
A review of a half-year financial report consists of making enquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with Australian Auditing Standards and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.
Nexia Melbourne Audit Pty Ltd Melbourne
Dated this 16th day of March 2023
Richard Cen Director
Australia
DIRECTORS’ DECLARATION
The condensed financial statements and notes thereto of the HVT Land Trust for the half year ended 31 December 2022 as set out on pages 7 – 15 have been prepared by Cremorne Capital Limited (‘the Responsible Entity’) in accordance with the Corporations Act 2001.
The directors of the Responsible Entity declare that:
a) In the directors’ opinion, there are reasonable grounds to believe that the Scheme will be able to pay its debts as and when they become due and payable; and
b) In the directors’ opinion, the attached condensed financial statements and notes thereto are in accordance with the Corporations Act 2001, including compliance with accounting standards and giving a true and fair view of the financial position and performance of the Scheme.
Signed in accordance with a resolution of the Directors of the Responsible Entity made pursuant to s.303 (5) of the Corporations Act 2001.
On behalf of the Directors
M. Ramsden Director
MELBOURNE
Dated: 15 March 2023
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DIRECTORS’ DECLARATION
CONDENSED STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME
For the Half Year ended 31 December 2022
Other Comprehensive Income
Items that will not be reclassified subsequently to profit or loss
Loss on revaluation of land and biological asset --
Items that may be reclassified subsequently to profit or loss --
Total Comprehensive Income --
Change in Net Assets Attributed to Unitholders --
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The above Statement should be read in conjunction with the accompanying notes
Note Half Year Ended 31 Dec 2022 $ Half Year Ended 31 Dec 2021 $ INCOME Maintenance contributions 508,804379,873 Other income 102,03091,553 Total Income 610,834471,426 EXPENSES Management Fees (157,125)(145,923) Borrowing Costs (24,653)(23,188) Plantation expenses (95,791)(168,221) Auditor’s Remuneration (5,800)(4,200) Other Expenses (76,050)(143,034) Total Expenses (359,419)(484,566) Profit (Loss) before income tax 251,415(13,140) Income tax (expense) benefit 2 -Profit (Loss) after tax 251,415(13,140)
CONDENSED STATEMENT OF FINANCIAL POSITION
As at 31 December 2022
The above Statement should be read in conjunction with the accompanying notes
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Note Half Year Ended 31 Dec 2022 $ Half Year Ended 30 June 2022 $ ASSETS Current Assets Cash and cash equivalents 4311,026 410,461 Trade and Other Receivables 110,764 16,948 Total Current Assets 421,790 427,409 Biological Assets 53,687,000 3,687,000 Property, Plant & Equipment 64,561,833 4,564,594 Total Non-current Assets 8,248,833 8,251,594 Total Assets 8,670,623 8,679,003 LIABILITIES Current Liabilities Trade and other payables (87,545) (72,034) Borrowings (542,283) (817,589) Total Current Liabilities (629,828) (889,623) Total Liabilities (excluding net assets attributable to Unitholders) (629,828) (889,623) Surplus (Deficit) attributable to Unitholders 3 8,040,795 7,789,380
CONDENSED STATEMENT OF CHANGES IN NET ASSETS ATTRIBUTABLE TO UNITHOLDERS
For the Half Year ended 31 December 2022
The above Statement should be read in conjunction with the accompanying notes 9
31 Dec 2022 $ 31 Dec 2021 $ Opening net assets attributable to unitholders 7,789,380 6,641,686 Net profit/(loss) attributable to unitholders251,415 (13,140) Other comprehensive income -Application for units - 1,237,900 Redemption of units -Closing net assets attributable to unitholders 8,040,795 7,866,446
CONDENSED STATEMENT OF CASH FLOWS
For the Half Year ended 31 December 2022
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The above Statement should be read in conjunction with the accompanying notes
Note Half Year Ended 31 Dec 2022 Inflows (Outflows) $ Half Year Ended 31 Dec 2021 Inflows (Outflows) $ Cash flows from Operating Activities Receipts 517,018 368,599 Payments for expenses (316,494) (837,527) Finance costs (24,653) (23,189) Net Cash used in operating activities 175,871 (492,117) Cash flows from Investing Activities Payments for property, plant and equipment-Net Cash used in/provided by investing activities -Cash flows from Financing Repayment of borrowings (275,306) (276,784) Proceeds from unit issue - 1,237,900 Net cash used in financing activities (275,306) 961,116 Net increase(decrease) in cash and cash equivalents held (99,435) 468,999 Cash and cash equivalents at beginning of the period 410,461 36,812 Cash and cash equivalents at end of the period 4 311,026 505,811
Condensed Notes to and forming part of the Interim Financial Statements for the Half Year Ended 31 December 2022
1 Summary of Significant Accounting Policies
(a) Approval of Financial Statements
The financial statements of the Scheme for the first half of December 2022 were authorised for issue in accordance with a resolution of the board of directors on .
(b) Statement of compliance
The half year financial report is a general purpose financial report prepared in accordance with the Corporations Act 2001 and AASB 134 Interim Financial Reporting. Compliance with AASB 134 ensures compliance with International Financial Reporting Standard IAS 34 Interim Financial Reporting. The half year report does not include notes of the type normally included in an annual financial report and shall be read in conjunction with the most recent annual financial report.
(c) Basis of preparation
The condensed financial statements have been prepared on the basis of historical cost, except for the revaluation of certain non-current assets and financial instruments. Cost is based on the fair values of the consideration given in exchange for assets. All amounts are presented in Australian dollars, unless otherwise noted.
The accounting policies and methods of computation adopted in the preparation of the half year financial report are consistent with those adopted and disclosed in the Scheme’s 2022 annual financial report for the financial year ended 30 June 2022, except for the impact of the Standards and Interpretations described below. These accounting policies are consistent with Australian Accounting Standards and with International Financial Reporting Standards.
(d) Adoption of new accounting standard
The Scheme has adopted all of the new and revised Standards and Interpretations issued by the Australian Accounting Standards Board (the AASB) that are relevant to their operations and effective for the current reporting period.
The adoption of all the new and revised Standards and Interpretations has not resulted in any changes to the Scheme’s accounting policies and has no effect on the amounts reported for the current or prior periods. The new and revised Standards and Interpretations has not had a material impact and not resulted in changes to the Scheme’s presentation of, or disclosure in, its half-year financial statements.
The above Statement should be read in conjunction with the accompanying notes
Cremorne Capital Limited – HVT Land Trust
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Condensed Notes to and forming part of the Interim Financial Statements for the Half Year Ended 31 December 2022
Cremorne Capital Limited – HVT Land Trust
above Statement should be read in conjunction with the accompanying notes 12 2. Income Tax 31 December 2022 $ 31 December 2021 $ a) Income tax expense The major component of tax expense comprises Local Current Tax –current period 75,424 (3,942) Deferred tax expenses (benefit) In respect of the current year (75,424) 3,942 Total income tax expense (benefit) -b) The prima facie tax payable on profit before income tax is reconciled to the income tax expense as follows: Prima facie income tax receivable/payable on loss/profit before income tax at 30% 75,424 (3,942) Add/deduct tax effect of: Other non-assessable items -Other deductible items -Tax losses (utilized) brought to account (75,424) 3,942 Income tax expense (benefit) -c) Deferred tax Revenue losses -Temporary difference -Deferred tax asset -d) Income tax payable -Withholding tax expenses -Prior period tax payable -Total tax payable - -
The
Condensed Notes to and forming part of the Interim Financial Statements for the Half Year Ended 31 December 2022
The plantation was independently valued by Margules Groome, dated June 2021, based on their fair market value.
The above Statement should be read in conjunction with the accompanying notes
Cremorne Capital
Limited – HVT Land Trust
13 3. Net assets attributable to unit holders (a) Movements in net assets attributable to unit holders 31 December 2022 $ 30 June 2022 $ At beginning of the half year 7,789,380 6,641,686 Units issued during the half year - 1,425,100 Units redeemed during the half year -Units on issue at half year end 7,789,380 8,066,706 Transfer of the net profit (loss) from the statement of profit or loss and other comprehensive income 251,415 (277,406) Revaluation of assetsClosing balance of net assets attributable to unit holders 8,040,795 7,789,380 4. Notes to the Statement of Cash flows Reconciliation of cash and cash equivalent 31 December 2022 $ 30 June 2022 $ Cash Deposits at call 311,026 410,461 Total cash and cash equivalent 311,026 410,461 5. Biological Assets 31 December 2022 $ 30 June 2022 $ Balance at the beginning of the period 3,687,000 3,687,000 Revaluation movement -Balance at the end of the period 3,687,000 3,687,000
Condensed Notes to and forming part of the Interim Financial Statements for the Half Year Ended 31 December 2022
Movements in carrying amounts of property, plant and equipment
Asset Revaluations
The plantation was independently valued by Margules Groome, dated June 2021, based on their fair market value.
7. Commitments and contingencies
There are no commitments or contingencies.
The above Statement should be read in conjunction with the accompanying notes
Cremorne Capital Limited – HVT Land Trust
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Property, Plant & Equipment 31 December 2022 $ 30 June 2022 $ Land Land – At independent valuation 4,400,000 4,400,000 Closing Balance 4,400,000 4,400,000 Building House – At cost 158,414 158,414 Accumulated depreciation (29,032) (27,052) Closing Balance 129,382 131,362 Plant and Equipment Equipment – At cost 57,861 57,862 Accumulated depreciation (25,410) (24,630) Closing Balance 32,451 33,232 Total Property, Plant & Equipment 4,561,833 4,564,594
6.
Land $ Buildings $ Plant & Equipment $ Total $ Half Year Ended 31December 2022 Balance at the beginning of the period 4,400,000131,36233,232 4,564,594 Revaluation ---Additions ---Depreciation -(1,980) (781) (2,761) Balance at the end of the period 4,400,000 129,382 32,451 4,561,833
Cremorne Capital Limited – HVT Land Trust
Condensed Notes to and forming part of the Interim Financial Statements for the Half Year Ended 31 December 2022
8. After balance date events
Since 31 December 2022 there have been no other matters or circumstances not otherwise dealt with in the condensed report that have significant effect or may significantly affect the Scheme.
9. Going Concern
This report has been prepared on the going concern basis, which contemplates the continuity of normal business activity and the realisation of assets and settlement of liabilities in the normal course of business.
Future operating expenses will either be met through subscriptions received from members of the Scheme, maintenance contributions or from the proceeds of asset and stock sales. Based on sales to date, the Responsible Entity is confident that the Scheme will be successful in achieving its objectives.
Additional Company Information
Cremorne Capital Limited (A.C.N. 006 844 588) a company incorporated and operating in Australia is the Responsible Entity of the Cremorne Capital Limited - HVT Land Trust.
Registered Office
8 Chapel Street
Cremorne Vic 3121
The above Statement should be read in conjunction with the accompanying notes
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