REGISTERED NUMBER: |
Hospital Innovations Limited |
Unaudited Financial Statements for the Year Ended 31 March 2023 |
REGISTERED NUMBER: |
Hospital Innovations Limited |
Unaudited Financial Statements for the Year Ended 31 March 2023 |
Hospital Innovations Limited (Registered number: 04261709) |
Contents of the Financial Statements |
for the Year Ended 31 March 2023 |
Page |
Company Information | 1 |
Balance Sheet | 2 |
Notes to the Financial Statements | 4 |
Hospital Innovations Limited |
Company Information |
for the Year Ended 31 March 2023 |
Directors: |
Secretary: |
Registered office: |
Registered number: |
Accountants: |
7 Neptune Court |
Vanguard Way |
Cardiff |
CF24 5PJ |
Hospital Innovations Limited (Registered number: 04261709) |
Balance Sheet |
31 March 2023 |
2023 | 2022 |
Notes | £ | £ |
Fixed assets |
Tangible assets | 4 |
Investments | 5 |
Investment property | 6 |
Current assets |
Stocks | 7 |
Debtors | 8 |
Cash at bank and in hand |
Creditors |
Amounts falling due within one year | 9 | ( |
) | ( |
) |
Net current assets |
Total assets less current liabilities |
Creditors |
Amounts falling due after more than one year | 10 | ( |
) | ( |
) |
Provisions for liabilities | 12 | ( |
) | ( |
) |
Net assets |
Capital and reserves |
Called up share capital |
Revaluation reserve | 13 |
Retained earnings | 13 |
The directors acknowledge their responsibilities for: |
(a) | ensuring that the company keeps accounting records which comply with Sections 386 and 387 of the Companies Act 2006 and |
(b) | preparing financial statements which give a true and fair view of the state of affairs of the company as at the end of each financial year and of its profit or loss for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the company. |
Hospital Innovations Limited (Registered number: 04261709) |
Balance Sheet - continued |
31 March 2023 |
In accordance with Section 444 of the Companies Act 2006, the Profit and Loss Account has not been delivered. |
The financial statements were approved by the Board of Directors and authorised for issue on |
Hospital Innovations Limited (Registered number: 04261709) |
Notes to the Financial Statements |
for the Year Ended 31 March 2023 |
1. | Statutory information |
Hospital Innovations Limited is a |
2. | Accounting policies |
Basis of preparing the financial statements |
These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view. |
The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £. |
The financial statements have been prepared under the historical cost convention, modified to include the revaluation of leasehold properties and to include investment properties and certain financial instruments at fair value. The principal accounting policies adopted are set out below. |
The company has taken advantage of the exemption under section 399 of the Companies Act 2006 not to prepare consolidated accounts, on the basis that the group of which this is the parent qualifies as a small group. The financial statements present information about the company as an individual entity and not about its group. |
Significant judgements and estimates |
In the application of the company's accounting policies, the directors 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 where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods. |
Turnover |
Turnover is recognised at the fair value of the consideration received or receivable for goods provided in the normal course of business and is shown net of VAT and other sales related taxes. The fair value of consideration takes into account trade discounts, settlement discounts and volume rebates. |
Revenue from the sale of goods is recognised when the significant risks and rewards of ownership of the goods have passed to the buyer (usually on dispatch of the goods), the amount of revenue can be measured reliably, it is probable that the economic benefits associated with the transaction will flow to the entity and the costs incurred or to be incurred in respect of the transaction can be measured reliably. |
Tangible fixed assets |
Freehold property | - |
Short leasehold | - |
Plant and machinery | - |
Fixtures and fittings | - |
Motor vehicles | - |
Computer equipment | - |
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses. |
Freehold land is not depreciated. |
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss. |
Hospital Innovations Limited (Registered number: 04261709) |
Notes to the Financial Statements - continued |
for the Year Ended 31 March 2023 |
2. | Accounting policies - continued |
Investments in subsidiaries |
Interests in subsidiaries, associates and jointly controlled entities are initially measured at cost and subsequently measured at cost less any accumulated impairment losses. The investments are assessed for impairment at each reporting date and any impairment losses or reversals of impairment losses are recognised immediately in profit or loss. |
A subsidiary is an entity controlled by the company. Control is the power to govern the financial and operating policies of the entity so as to obtain benefits from its activities. |
Investment property |
Investment property, which is property held to earn rentals and/or for capital appreciation, is initially recognised at cost, which includes the purchase cost and any directly attributable expenditure. Subsequently it is measured at fair value at the reporting end date. Changes in fair value are recognised in profit or loss. |
Stocks |
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the stocks to their present location and condition. |
Stocks held for distribution at no or nominal consideration are measured at the lower of cost and replacement cost, adjusted where applicable for any loss of service potential. |
At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of stocks over its estimated selling price less costs to complete and sell is recognised as an impairment loss in profit or loss. Reversals of impairment losses are also recognised in profit or loss. |
Research and development |
Research expenditure is written off against profits in the year in which it is incurred. Identifiable development expenditure is capitalised to the extent that the technical, commercial and financial feasibility can be demonstrated. |
Foreign currencies |
Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result. |
Pension costs and other post-retirement benefits |
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due. |
Employee benefits |
The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be 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. |
Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits. |
Hospital Innovations Limited (Registered number: 04261709) |
Notes to the Financial Statements - continued |
for the Year Ended 31 March 2023 |
2. | Accounting policies - continued |
Cash and cash equivalents |
Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities. |
Leases |
Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss on straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the leases asset are consumed. |
Impairment of fixed assets |
At each reporting period end date, the company reviews the carrying amounts of its tangible assets to determine 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). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs. |
Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted. |
If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease. |
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 cash-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) in prior years. A reversal of an impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase. |
Financial instruments |
The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments. |
Financial instruments are recognised in the company's balance sheet when the company becomes party to the contractual provisions of the instrument. |
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities. |
Financial assets and liabilities are only offset in the Balance Sheet when, and only where there exists a legally enforceable right to set off the recognised amounts, the company intends either to settle on a net basis, or to realise the asset and settle the liability simultaneously. |
Taxation |
The tax expense represents the sum of the tax currently payable and deferred tax. |
Current tax |
The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The company's liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date. |
Deferred tax |
Hospital Innovations Limited (Registered number: 04261709) |
Notes to the Financial Statements - continued |
for the Year Ended 31 March 2023 |
2. | Accounting policies - continued |
Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit. |
The carrying amount of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the profit and loss account, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset when the company has a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority. |
3. | Employees and directors |
The average number of employees during the year was |
4. | Tangible fixed assets |
Freehold | Short | Plant and |
property | leasehold | machinery |
£ | £ | £ |
Cost |
At 1 April 2022 |
Additions |
Disposals | ( |
) |
At 31 March 2023 |
Depreciation |
At 1 April 2022 |
Charge for year |
Eliminated on disposal | ( |
) |
At 31 March 2023 |
Net book value |
At 31 March 2023 |
At 31 March 2022 |
Hospital Innovations Limited (Registered number: 04261709) |
Notes to the Financial Statements - continued |
for the Year Ended 31 March 2023 |
4. | Tangible fixed assets - continued |
Fixtures |
and | Motor | Computer |
fittings | vehicles | equipment | Totals |
£ | £ | £ | £ |
Cost |
At 1 April 2022 |
Additions |
Disposals | ( |
) | ( |
) |
At 31 March 2023 |
Depreciation |
At 1 April 2022 |
Charge for year |
Eliminated on disposal | ( |
) | ( |
) |
At 31 March 2023 |
Net book value |
At 31 March 2023 |
At 31 March 2022 |
Included in cost of land and buildings is freehold land of £ 150,000 (2022 - £ 150,000 ) which is not depreciated. |
Land and buildings with a carrying amount of £1,185,000 were revalued during 2019 by Chris Clarke Surveyors Limited, independent valuers not connected with the company on the basis of market value. The valuation conforms to International Valuation Standards and was based on recent market transactions on arm's length terms for similar properties. |
The director has reviewed the carrying value as at 31 March 2023 and is of the opinion that the market value of land and buildings does not materially differ to the above valuation. |
The revaluation surplus is disclosed in note 15. |
Freehold property is shown at valuation and as at 31 March 2023, that is represented by the original cost of £595,811 and subsequent revaluations in 2016 and 2019. |
5. | Fixed asset investments |
Shares in |
group |
undertakings |
£ |
Cost |
At 1 April 2022 |
and 31 March 2023 |
Net book value |
At 31 March 2023 |
At 31 March 2022 |
Hospital Innovations Limited (Registered number: 04261709) |
Notes to the Financial Statements - continued |
for the Year Ended 31 March 2023 |
5. | Fixed asset investments - continued |
The company's investments at the Balance Sheet date in the share capital of companies include the following: |
Name of undertaking |
Registered office |
Class of shares held |
% holding |
Hospital Innovations Inc. | United States of America | Ordinary | 100 |
iCurtis Limited | United Kingdom | Ordinary | 100 |
iDente Limited | United Kingdom | Ordinary | 100 |
iFortis Limited | United Kingdom | Ordinary | 100 |
iGraft Limited | United Kingdom | Ordinary | 100 |
iHip Limited | United Kingdom | Ordinary | 100 |
iJoint Limited | United Kingdom | Ordinary | 100 |
iOrtho Limited | United Kingdom | Ordinary | 100 |
iSpine Limited | United Kingdom | Ordinary | 100 |
iStruments Limited | United Kingdom | Ordinary | 100 |
iSupport Limited | United Kingdom | Ordinary | 100 |
iSurance Limited | United Kingdom | Ordinary | 100 |
iSurge Limited | United Kingdom | Ordinary | 100 |
iTrauma Limited | United Kingdom | Ordinary | 100 |
Whitebox Medical Limited | United Kingdom | Ordinary | 100 |
6. | Investment property |
Total |
£ |
Fair value |
At 1 April 2022 |
Disposals | ( |
) |
At 31 March 2023 |
Net book value |
At 31 March 2023 |
At 31 March 2022 |
Investment property comprises a leasehold property. The fair value of the investment property as at 31 March 2022 was on the basis of a valuation carried out by the director as at the year end. During the year, the property was sold. |
7. | Stocks |
2023 | 2022 |
£ | £ |
Stocks |
8. | Debtors: amounts falling due within one year |
2023 | 2022 |
£ | £ |
Trade debtors |
Amounts owed by group undertakings |
Other debtors |
Hospital Innovations Limited (Registered number: 04261709) |
Notes to the Financial Statements - continued |
for the Year Ended 31 March 2023 |
9. | Creditors: amounts falling due within one year |
2023 | 2022 |
£ | £ |
Bank loans and overdrafts (see note 11) |
Trade creditors |
Taxation and social security |
Other creditors |
10. | Creditors: amounts falling due after more than one year |
2023 | 2022 |
£ | £ |
Bank loans (see note 11) |
11. | Loans |
An analysis of the maturity of loans is given below: |
2023 | 2022 |
£ | £ |
Amounts falling due within one year or on demand: |
Bank overdrafts |
Bank loans |
Amounts falling due between one and two years: |
Bank loans - 1-2 years |
Amounts falling due between two and five years: |
Bank loans - 2-5 years |
A debenture is held over the assets of the company by HSBC Bank Plc over all the Company's liabilities to them in relation to any kind and in any currency (whether present or future actual or contingent and whether incurred alone or jointly with another). |
12. | Provisions for liabilities |
2023 | 2022 |
£ | £ |
Deferred tax | 164,284 | 219,428 |
Deferred |
tax |
£ |
Balance at 1 April 2022 |
Credit to Profit and Loss Account during year | ( |
) |
Balance at 31 March 2023 |
Hospital Innovations Limited (Registered number: 04261709) |
Notes to the Financial Statements - continued |
for the Year Ended 31 March 2023 |
12. | Provisions for liabilities - continued |
The following are the major deferred tax liabilities and assets recognised by the company and movements thereon: |
Liabilities | Liabilities |
2023 | 2022 |
Balances: | £ | £ |
Accelerated capital allowances | 31,192 | 37,674 |
Revaluations | 172,891 | 222,891 |
Other timing differences | (39,798 | ) | (41,137 | ) |
164,284 | 219,428 |
13. | Reserves |
Retained | Revaluation |
earnings | reserve | Totals |
£ | £ | £ |
At 1 April 2022 | 1,000,620 |
Profit for the year |
Dividends | ( |
) | ( |
) |
Revaluation reserve other |
movement | 11,379 | (11,379 | ) | - |
At 31 March 2023 | 1,279,747 |
14. | Director's advances, credits and guarantees |
Dividends totalling £350,362 (2022 - £266,875) were paid in the year in respect of shares held by the company director. |
At 31 March 2023, the balance owed by the company to the director, Mr W P Davies, was £46,740 (2022: £26,871). This amount is disclosed within other creditors, is non-interest bearing and repayable on demand. |
15. | Related party disclosures |
Hospital Innovations Inc |
At 31 March 2023 the balance owed to the company by Hospital Innovations Inc, a subsidiary undertaking, was £234,809 (2022: £103,872). The balance is disclosed within other debtors. |