REGISTERED NUMBER: 03227281 (England and Wales) |
Group Strategic Report, Report of the Directors and |
Consolidated Financial Statements for the Year Ended 31 December 2023 |
for |
OLDERCARE (HASLEMERE) LIMITED |
REGISTERED NUMBER: 03227281 (England and Wales) |
Group Strategic Report, Report of the Directors and |
Consolidated Financial Statements for the Year Ended 31 December 2023 |
for |
OLDERCARE (HASLEMERE) LIMITED |
OLDERCARE (HASLEMERE) LIMITED (Registered number: 03227281) |
Contents of the Consolidated Financial Statements |
for the Year Ended 31 December 2023 |
Page |
Company Information | 1 |
Group Strategic Report | 2 |
Report of the Directors | 6 |
Report of the Independent Auditors | 8 |
Consolidated Income Statement | 11 |
Consolidated Other Comprehensive Income | 12 |
Consolidated Balance Sheet | 13 |
Company Balance Sheet | 14 |
Consolidated Statement of Changes in Equity | 15 |
Company Statement of Changes in Equity | 16 |
Consolidated Cash Flow Statement | 17 |
Notes to the Consolidated Cash Flow Statement | 18 |
Notes to the Consolidated Financial Statements | 19 |
OLDERCARE (HASLEMERE) LIMITED |
Company Information |
for the Year Ended 31 December 2023 |
DIRECTORS: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
AUDITORS: |
Chartered Accountants & Statutory Auditors |
23 Mountside |
Stanmore |
Middlesex |
HA7 2DS |
OLDERCARE (HASLEMERE) LIMITED (Registered number: 03227281) |
Group Strategic Report |
for the Year Ended 31 December 2023 |
The directors present their strategic report of the company and the group for the year ended 31 December 2023. |
REVIEW OF BUSINESS |
The results for the year and financial position of the company and the group are as shown in the annexed financial statements. |
The directors consider that the results for the year and the financial position of the group at the end of the year to be satisfactory.. |
The new unit known as St Martha's improved its occupancy levels and increased its revenue but reorganisation and refurbishments at St Magnus House units resulted in a fall in their revenue. The group's overall revenue remained static. However, rising staff costs and overheads resulted in reduced profitability. |
The occupancy levels within all units are expected to improve in the coming year. This should improve profitability. |
PRINCIPAL RISKS AND UNCERTAINTIES |
Majority of the times the trading companies within the group enjoy a healthy waiting list for any beds that become vacant but maintaining that in the face of competition in the market place and reducing the lead time is always challenging. |
Increasing staff costs and the resistance from NHS and local health authorities to increase the bed fees are the principal risks facing the group. |
OLDERCARE (HASLEMERE) LIMITED (Registered number: 03227281) |
Group Strategic Report |
for the Year Ended 31 December 2023 |
SECTION 172(1) STATEMENT |
The Directors, in line with their duties under s172 of the Companies Act 2006, act individually and collectively in the way they consider, in good faith, would be most likely to promote the success of the Company for the benefit of its member, and in doing so have regard, amongst other matters, to the: |
- Likely consequences of any decision in the long term |
- Interests of the company's employees |
- Need to foster the company's business relationships with suppliers, customers and others |
- Impact of the company's operations on the community and the environment |
- Desirability of the company maintaining a reputation for high standards of business conduct |
- Need to act fairly as between members of the company |
The Directors’ regard to these matters is embedded in their decision-making process, through the Company’s business strategy, culture, governance framework, management information flows and stakeholder engagement processes. |
The Company’s business strategy is focused on achieving success for the Company in the long-term. In setting this strategy, the Board takes into account the impact of relevant factors and stakeholder interests on the Company’s performance. The Board also identifies principal risks facing the business and sets risk management objectives. |
The Board promotes a culture of upholding the highest standards of business conduct and regulatory conduct. The Board ensures these core values are communicated to the Company’s employees and embedded in the Company’s policies and procedures, employee induction and training programmes and its risk control and oversight framework. |
The Board recognizes that building strong and lasting relationships with our stakeholders will help us to deliver our strategy in line with our long-term values, and operate a sustainable business. |
The Directors are supported in the discharge of their duties by: |
- A director training programme to further their understanding of their duties and obligations under applicable law and regulation |
- Processes which ensure the provision of timely management information and escalation through reporting lines to the Board from the Company’s business areas, its risk and control functions, support teams and committees of the Board |
Stakeholders |
The Board understands the importance of engagement with all of its stakeholders and gives appropriate weighting to the outcome of its decisions for the relevant stakeholder in weighing up how best to promote the success of the Company. |
The Board regularly discusses issues concerning employees, clients, suppliers, community and environment, regulators and its shareholder, which it takes into account in its discussions and in its decision-making process. |
In addition to this, the Board seeks to understand the interests and views of the Company’s stakeholders by engaging with them directly when required. The below summarises the key stakeholders and how we engage with each: |
Employees |
Our employees contribute to a positive working culture and healthy working environment. Employees are key to the success of our business. In addition to aiming to be a responsible employer in our approach to pay and benefits, we continue to engage with our team to ascertain which training and development opportunities should be made available to improve our team’s productivity and our individual employees’ potential within the business. |
We continually invest in employee development and wellbeing to create and encourage an inclusive culture within the organisation. Our employee appraisal programme encourages employee feedback and facilities the opportunity for both employees and managers to set performance goals on an annual basis. We work hard to ensure employees feel welcome and are valued and recognized for their hard work. |
Clients |
Clients are at the centre of our business. |
OLDERCARE (HASLEMERE) LIMITED (Registered number: 03227281) |
Group Strategic Report |
for the Year Ended 31 December 2023 |
Our client service teams build lasting relationships with current and potential clients to understand their objectives and requirements. We are in regular contact with clients in order to meet their service requirements. This includes face to face meetings depending on client preferences. We take a consultative approach with clients focused on building long-term relationships |
Suppliers |
We work with a wide range of suppliers mainly in the UK. We remain committed to being fair and transparent in our dealings with all of our suppliers. |
The Company has systems and processes in place to ensure suppliers are paid in a timely manner. |
Community and Environment |
The Board’s approach to social responsibility, diversity and community is of high importance. |
Corporate social responsibility principles are part of our culture and decision making process. We take a consultative approach focused on building long-term relationships and solving business problems. |
Regulators |
We work with our regulators in an open and proactive manner to help develop regulations that meet the needs of all our stakeholders. |
The Board’s intention is to behave responsibly and to ensure that the management team operates the business in a responsible manner, acting with the high standards and good governance expected of a regulated business like ours. In doing so, we believe we will achieve our long-term business strategy and further develop our reputation in our sector. |
We have a risk and control framework to ensure that the Company complies with all legal and regulatory requirements relating to the provision of services to our clients. |
Shareholders |
The Board also seeks to behave in a responsible manner towards the shareholders. The Board communicates information relevant to the shareholders, such as its financial reporting. |
BUSINESS PERFORMANCE |
The directors consider that the key financial performance indicators that communicate the financial performance and strength of the group as a whole are turnover, staff costs, profit before tax, total shareholders' funds and net cash inflow/(outflow). These were as follows: |
- Turnover £26,738,064 (2022: £26,754,319) |
- Staff costs £17,135,866 (2022: £15,799,837) |
- Profit before tax £304,068 (2022: £3,963,564) |
- Total shareholders' funds £19,824,567 (2022: £20,285,106) |
- Net cash (outflow)/inflow £(4,966,145) (2022: £4,336,837) |
Full amortisation of goodwill arising on consolidation from the acquisition of shares in Coombe Healthcare Ltd has been a major contributor to the fall in profits during the year. |
Repayment of all the bank loans has resulted in a net cash outflow. |
OLDERCARE (HASLEMERE) LIMITED (Registered number: 03227281) |
Group Strategic Report |
for the Year Ended 31 December 2023 |
FINANCIAL INSTRUMENTS |
The trading companies within the group have a normal level of exposure to price, credit, liquidity and cash flow risks arising from trading activities which are for the most part conducted in sterling. |
ON BEHALF OF THE BOARD: |
OLDERCARE (HASLEMERE) LIMITED (Registered number: 03227281) |
Report of the Directors |
for the Year Ended 31 December 2023 |
The directors present their report with the financial statements of the company and the group for the year ended 31 December 2023. |
DIVIDENDS |
An interim dividend of £90 per share on the 'B' Ordinary £1 shares was paid during the year. The directors recommend that no final dividend be paid on these shares. |
'A' Ordinary shares are not entitled to dividends. |
The total distribution of dividends for the year ended 31 December 2023 will be £900,000. |
DIRECTORS |
The directors shown below have held office during the whole of the period from 1 January 2023 to the date of this report. |
GROUP'S POLICY IN RESPECT OF EMPLOYEES |
A part of our employment policy we do not discriminates by age or ability and will make reasonable adjustments to support disabled or older job applicants and employees. This means ensuring disabled and older people can overcome any substantial disadvantages they may have in doing their jobs and progressing in the work-place. We are an inclusive group and value the opinions, ideas and criticisms that may emanate from any staff member and works hard to ensure that the workforce is well informed at all times. |
STATEMENT OF DIRECTORS' RESPONSIBILITIES |
The directors are responsible for preparing the Group Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations. |
Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and the group and of the profit or loss of the group for that period. In preparing these financial statements, the directors are required to: |
- | select suitable accounting policies and then apply them consistently; |
- | make judgements and accounting estimates that are reasonable and prudent; |
- | state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements; |
- | prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. |
The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's and the group's transactions and disclose with reasonable accuracy at any time the financial position of the company and the group and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. |
STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS |
So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the group's auditors are unaware, and each director has taken all the steps that he or she ought to have taken as a director in order to make himself or herself aware of any relevant audit information and to establish that the group's auditors are aware of that information. |
OLDERCARE (HASLEMERE) LIMITED (Registered number: 03227281) |
Report of the Directors |
for the Year Ended 31 December 2023 |
AUDITORS |
The auditors, AUDIT NETWORK LIMITED, will be proposed for re-appointment at the forthcoming Annual General Meeting. |
ON BEHALF OF THE BOARD: |
Report of the Independent Auditors to the Members of |
OLDERCARE (HASLEMERE) LIMITED |
Opinion |
We have audited the financial statements of OLDERCARE (HASLEMERE) LIMITED (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 December 2023 which comprise the Consolidated Income Statement, Consolidated Other Comprehensive Income, Consolidated Balance Sheet, Company Balance Sheet, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Cash Flow Statement and Notes to the Consolidated Cash Flow Statement, Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice). |
In our opinion the financial statements: |
- | give a true and fair view of the state of the group's and of the parent company affairs as at 31 December 2023 and of the group's loss for the year then ended; |
- | have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and |
- | have been prepared in accordance with the requirements of the Companies Act 2006. |
Basis for opinion |
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. |
Conclusions relating to going concern |
In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate. |
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the group's and the parent company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. |
Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report. |
Other information |
The directors are responsible for the other information. The other information comprises the information in the Group Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon. |
Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. |
In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. |
Opinions on other matters prescribed by the Companies Act 2006 |
In our opinion, based on the work undertaken in the course of the audit: |
- | the information given in the Group Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
- | the Group Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements. |
Report of the Independent Auditors to the Members of |
OLDERCARE (HASLEMERE) LIMITED |
Matters on which we are required to report by exception |
In the light of the knowledge and understanding of the group and the parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group Strategic Report or the Report of the Directors. |
We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion: |
- | adequate accounting records have not been kept by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or |
- | the parent company financial statements are not in agreement with the accounting records and returns; or |
- | certain disclosures of directors' remuneration specified by law are not made; or |
- | we have not received all the information and explanations we require for our audit. |
Responsibilities of directors |
As explained more fully in the Statement of Directors' Responsibilities set out on page six, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. |
In preparing the financial statements, the directors are responsible for assessing the group's and the parent company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the group or the parent company or to cease operations, or have no realistic alternative but to do so. |
Auditors' responsibilities for the audit of the financial statements |
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. |
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: |
Based on our understanding of the group and industry, we identified the principal risks of non-compliance with laws and regulations, and we considered the extent to which non-compliance might have a material effect on the financial statements. We also considered those laws and regulations that have a direct impact on the preparation of the financial statements such as Companies Act 2006 and various taxes Acts. |
We evaluated the management's incentives and opportunities for fraudulent manipulation of the financial statements and the risk of override of controls, and determined that the principal risks were related to posting inappropriate journal entries to revenue and management bias in accounting estimates. Audit procedures performed by the engagement team included: |
- Inspecting correspondence with regulators and tax authorities; |
- Discussions with management including consideration of known or suspected instances of non-compliance with laws and regulation and fraud; |
- Evaluating management's controls designed to prevent and detect irregularities; |
- Identifying and testing journals, in particular journal entries posted with unusual account combinations, postings by unusual users or with unusual descriptions; and |
- Challenging assumptions and judgements made by management in their critical accounting estimates. |
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors. |
Report of the Independent Auditors to the Members of |
OLDERCARE (HASLEMERE) LIMITED |
Use of our report |
This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed. |
for and on behalf of |
Chartered Accountants & Statutory Auditors |
23 Mountside |
Stanmore |
Middlesex |
HA7 2DS |
OLDERCARE (HASLEMERE) LIMITED (Registered number: 03227281) |
Consolidated Income Statement |
for the Year Ended 31 December 2023 |
31.12.23 | 31.12.22 |
as restated |
Notes | £ | £ |
TURNOVER | 3 | 26,738,064 | 26,754,319 |
Cost of sales | 13,453,150 | 12,201,907 |
GROSS PROFIT | 13,284,914 | 14,552,412 |
Administrative expenses | 13,026,675 | 10,645,449 |
258,239 | 3,906,963 |
Other operating income | 202,941 | 216,563 |
OPERATING PROFIT | 5 | 461,180 | 4,123,526 |
Interest receivable and similar income | 5,896 | 13,396 |
467,076 | 4,136,922 |
Interest payable and similar expenses | 6 | 163,008 | 173,358 |
PROFIT BEFORE TAXATION | 304,068 | 3,963,564 |
Tax on profit | 7 | 748,814 | 1,061,187 |
(LOSS)/PROFIT FOR THE FINANCIAL YEAR |
( |
) |
(Loss)/profit attributable to: |
Owners of the parent | (452,232 | ) | 3,358,670 |
Non-controlling interests | 7,486 | (456,293 | ) |
(444,746 | ) | 2,902,377 |
OLDERCARE (HASLEMERE) LIMITED (Registered number: 03227281) |
Consolidated Other Comprehensive Income |
for the Year Ended 31 December 2023 |
31.12.23 | 31.12.22 |
as restated |
Notes | £ | £ |
(LOSS)/PROFIT FOR THE YEAR | (444,746 | ) | 2,902,377 |
OTHER COMPREHENSIVE INCOME | - | - |
TOTAL COMPREHENSIVE INCOME FOR THE YEAR |
(444,746 |
) |
2,902,377 |
Note |
Prior year adjustment | 10 | (3,566,775 | ) |
TOTAL COMPREHENSIVE INCOME SINCE LAST ANNUAL REPORT |
(4,011,521 |
) |
Total comprehensive income attributable to: |
Owners of the parent | (3,142,314 | ) | 3,361,170 |
Non-controlling interests | (869,207 | ) | (458,793 | ) |
(4,011,521 | ) | 2,902,377 |
OLDERCARE (HASLEMERE) LIMITED (Registered number: 03227281) |
Consolidated Balance Sheet |
31 December 2023 |
31.12.23 | 31.12.22 |
as restated |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 11 | - | - |
Tangible assets | 12 | 19,978,367 | 20,480,801 |
Investments | 13 | - | - |
19,978,367 | 20,480,801 |
CURRENT ASSETS |
Debtors | 14 | 1,796,674 | 1,897,021 |
Cash at bank and in hand | 6,300,260 | 11,266,405 |
8,096,934 | 13,163,426 |
CREDITORS |
Amounts falling due within one year | 15 | 4,795,125 | 5,348,661 |
NET CURRENT ASSETS | 3,301,809 | 7,814,765 |
TOTAL ASSETS LESS CURRENT LIABILITIES |
23,280,176 |
28,295,566 |
CREDITORS |
Amounts falling due after more than one year |
16 |
(51,100 |
) |
(3,722,579 |
) |
PROVISIONS FOR LIABILITIES | 19 | (706,941 | ) | (701,107 | ) |
NET ASSETS | 22,522,135 | 23,871,880 |
CAPITAL AND RESERVES |
Called up share capital | 20 | 20,000 | 20,000 |
Retained earnings | 21 | 19,804,567 | 20,265,106 |
SHAREHOLDERS' FUNDS | 19,824,567 | 20,285,106 |
NON-CONTROLLING INTERESTS | 22 | 2,697,568 | 3,586,774 |
TOTAL EQUITY | 22,522,135 | 23,871,880 |
The financial statements were approved by the Board of Directors and authorised for issue on 9 August 2024 and were signed on its behalf by: |
F S N WHITE - Director |
OLDERCARE (HASLEMERE) LIMITED (Registered number: 03227281) |
Company Balance Sheet |
31 December 2023 |
31.12.23 | 31.12.22 |
as restated |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 11 |
Tangible assets | 12 |
Investments | 13 |
CURRENT ASSETS |
Debtors | 14 |
Cash at bank and in hand |
CREDITORS |
Amounts falling due within one year | 15 |
NET CURRENT (LIABILITIES)/ASSETS | ( |
) |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CREDITORS |
Amounts falling due after more than one year |
16 |
( |
) |
( |
) |
PROVISIONS FOR LIABILITIES | 19 | ( |
) | ( |
) |
NET ASSETS |
CAPITAL AND RESERVES |
Called up share capital | 20 |
Retained earnings | 21 |
SHAREHOLDERS' FUNDS |
Company's profit for the financial year | 2,981,971 | 3,884,592 |
The financial statements were approved by the Board of Directors and authorised for issue on |
OLDERCARE (HASLEMERE) LIMITED (Registered number: 03227281) |
Consolidated Statement of Changes in Equity |
for the Year Ended 31 December 2023 |
Called up |
share | Retained | Non-controlling | Total |
capital | earnings | Total | interests | equity |
£ | £ | £ | £ | £ |
Balance at 1 January 2022 | 20,000 | 18,506,436 | 18,526,436 | 4,045,567 | 22,572,003 |
Changes in equity |
Dividends | - | (1,600,000 | ) | (1,600,000 | ) | - | (1,600,000 | ) |
Total comprehensive income | - | 6,925,445 | 6,925,445 | (458,793 | ) | 6,466,652 |
Balance at 31 December 2022 | 20,000 | 23,831,881 | 23,851,881 | 3,586,774 | 27,438,655 |
Prior year adjustment | - | (3,566,775 | ) | (3,566,775 | ) | - | (3,566,775 | ) |
As restated | 20,000 | 20,265,106 | 20,285,106 | 3,586,774 | 23,871,880 |
Changes in equity |
Dividends | - | (900,000 | ) | (900,000 | ) | - | (900,000 | ) |
Total comprehensive income | - | 439,461 | 439,461 | (869,207 | ) | (429,746 | ) |
Balance at 31 December 2023 | 20,000 | 19,804,567 | 19,824,567 | 2,717,567 | 22,542,134 |
OLDERCARE (HASLEMERE) LIMITED (Registered number: 03227281) |
Company Statement of Changes in Equity |
for the Year Ended 31 December 2023 |
Called up |
share | Retained | Total |
capital | earnings | equity |
£ | £ | £ |
Balance at 1 January 2022 |
Changes in equity |
Dividends | - | ( |
) | ( |
) |
Total comprehensive income | - |
Balance at 31 December 2022 |
Changes in equity |
Dividends | - | ( |
) | ( |
) |
Total comprehensive income | - |
Balance at 31 December 2023 |
OLDERCARE (HASLEMERE) LIMITED (Registered number: 03227281) |
Consolidated Cash Flow Statement |
for the Year Ended 31 December 2023 |
31.12.23 | 31.12.22 |
as restated |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 1 | 4,238,422 | 7,466,975 |
Interest paid | (163,008 | ) | (173,358 | ) |
Tax paid | (1,020,507 | ) | (991,912 | ) |
Net cash from operating activities | 3,054,907 | 6,301,705 |
Cash flows from investing activities |
Purchase of intangible fixed assets | (2,507,500 | ) | (1,254,050 | ) |
Purchase of tangible fixed assets | (344,669 | ) | (361,202 | ) |
Sale of tangible fixed assets | 6,250 | 533,231 |
Interest received | 5,896 | 13,396 |
Net cash from investing activities | (2,840,023 | ) | (1,068,625 | ) |
Cash flows from financing activities |
Loan repayments in year | (4,592,981 | ) | (870,837 | ) |
HP contracts | (13,761 | ) | 84,815 |
Amount withdrawn by directors | 330,713 | 1,492,279 |
Minority interest acquired | (5,000 | ) | (2,500 | ) |
Equity dividends paid | (900,000 | ) | (1,600,000 | ) |
Net cash from financing activities | (5,181,029 | ) | (896,243 | ) |
(Decrease)/increase in cash and cash equivalents | (4,966,145 | ) | 4,336,837 |
Cash and cash equivalents at beginning of year |
2 |
11,266,405 |
6,929,568 |
Cash and cash equivalents at end of year | 2 | 6,300,260 | 11,266,405 |
OLDERCARE (HASLEMERE) LIMITED (Registered number: 03227281) |
Notes to the Consolidated Cash Flow Statement |
for the Year Ended 31 December 2023 |
1. | RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS |
31.12.23 | 31.12.22 |
as restated |
£ | £ |
Profit before taxation | 304,068 | 3,963,564 |
Depreciation charges | 3,352,551 | 2,798,458 |
Profit on disposal of fixed assets | (4,197 | ) | (351,297 | ) |
Finance costs | 163,008 | 173,358 |
Finance income | (5,896 | ) | (13,396 | ) |
3,809,534 | 6,570,687 |
Decrease in trade and other debtors | 100,347 | 307,574 |
Increase in trade and other creditors | 328,541 | 588,714 |
Cash generated from operations | 4,238,422 | 7,466,975 |
2. | CASH AND CASH EQUIVALENTS |
The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts: |
Year ended 31 December 2023 |
31.12.23 | 1.1.23 |
£ | £ |
Cash and cash equivalents | 6,300,260 | 11,266,405 |
Year ended 31 December 2022 |
31.12.22 | 1.1.22 |
as restated |
£ | £ |
Cash and cash equivalents | 11,266,405 | 6,929,568 |
3. | ANALYSIS OF CHANGES IN NET FUNDS |
At 1.1.23 | Cash flow | At 31.12.23 |
£ | £ | £ |
Net cash |
Cash at bank and in hand | 11,266,405 | (4,966,145 | ) | 6,300,260 |
11,266,405 | (4,966,145 | ) | 6,300,260 |
Debt |
Finance leases | (84,815 | ) | 13,761 | (71,054 | ) |
Debts falling due within 1 year | (935,264 | ) | 935,264 | - |
Debts falling due after 1 year | (3,657,718 | ) | 3,657,718 | - |
(4,677,797 | ) | 4,606,743 | (71,054 | ) |
Total | 6,588,608 | (359,402 | ) | 6,229,206 |
OLDERCARE (HASLEMERE) LIMITED (Registered number: 03227281) |
Notes to the Consolidated Financial Statements |
for the Year Ended 31 December 2023 |
1. | STATUTORY INFORMATION |
OLDERCARE (HASLEMERE) LIMITED is a |
2. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
Basis of consolidation |
The consolidated financial statements comprise the financial statements of the Company and subsidiaries controlled by the Company. The financial statements of subsidiaries used in the preparation of the consolidated financial statements are prepared for the same reporting year as the Company. The results of the related company has been accounted for under the Equity Method. |
Significant judgements and estimates |
Preparation of the financial statements requires management to make significant judgements and estimates. The items in the financial statements where these judgments and estimates have been made include: |
- Useful life of fixed assets and depreciation rates |
- Fair value of assets |
- Recoverability of debts |
Turnover |
Turnover is measured at the fair value of the consideration received or receivable, excluding discounts and rebates. Care fees are recognised in the period in which they are receivable. |
Goodwill |
Goodwill arising on consolidation is fully amortised. |
Intangible assets |
Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses. |
Tangible fixed assets |
Freehold land & property | - |
Freehold buildings | - |
Improvements to property | - |
Plant and machinery | - |
Fixtures and fittings | - |
Motor vehicles | - |
Land has not been depreciated. |
Financial instruments |
Financial instruments are recognised at fair value with any gains or losses being reported in profit or loss. Outstanding derivatives at reporting date are included under the appropriate format heading depending on the nature of the derivative. |
OLDERCARE (HASLEMERE) LIMITED (Registered number: 03227281) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 December 2023 |
2. | ACCOUNTING POLICIES - continued |
Taxation |
Taxation for the year comprises current and deferred tax. Tax is recognised in the Consolidated Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. |
Current or deferred taxation assets and liabilities are not discounted. |
Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date. |
Deferred tax |
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date. |
Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference. |
Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. |
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. |
Hire purchase and leasing commitments |
Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. Those held under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leases are depreciated over their estimated useful lives or the lease term, whichever is the shorter. |
The interest element of these obligations is charged to profit or loss over the relevant period. The capital element of the future payments is treated as a liability. |
Pension costs and other post-retirement benefits |
The group operates a defined contribution pension scheme. Contributions payable to the group's pension scheme are charged to profit or loss in the period to which they relate. |
3. | TURNOVER |
Turnover represents rendering services of a hospital and a care home facility within the UK. |
4. | EMPLOYEES AND DIRECTORS |
31.12.23 | 31.12.22 |
as restated |
£ | £ |
Wages and salaries | 15,388,160 | 14,093,533 |
Social security costs | 1,495,466 | 1,470,099 |
Other pension costs | 252,240 | 236,205 |
17,135,866 | 15,799,837 |
OLDERCARE (HASLEMERE) LIMITED (Registered number: 03227281) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 December 2023 |
4. | EMPLOYEES AND DIRECTORS - continued |
The average number of employees during the year was as follows: |
31.12.23 | 31.12.22 |
as restated |
Administration | 35 | 35 |
Nursing | 355 | 353 |
31.12.23 | 31.12.22 |
as restated |
£ | £ |
Directors' remuneration | 397,474 | 260,000 |
Information regarding the highest paid director is as follows: |
31.12.23 | 31.12.22 |
as restated |
£ | £ |
Emoluments etc | 200,000 | 125,000 |
5. | OPERATING PROFIT |
The operating profit is stated after charging/(crediting): |
31.12.23 | 31.12.22 |
as restated |
£ | £ |
Depreciation - owned assets | 823,845 | 834,190 |
Depreciation - assets on hire purchase contracts | 21,205 | - |
Profit on disposal of fixed assets | (4,197 | ) | (351,297 | ) |
Goodwill amortisation | 2,507,500 | 1,964,267 |
Auditors remuneration | 16,300 | 16,300 |
6. | INTEREST PAYABLE AND SIMILAR EXPENSES |
31.12.23 | 31.12.22 |
as restated |
£ | £ |
Bank interest | 147,903 | 173,510 |
Other interest | 9,467 | (152 | ) |
Hire purchase | 5,638 | - |
163,008 | 173,358 |
OLDERCARE (HASLEMERE) LIMITED (Registered number: 03227281) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 December 2023 |
7. | TAXATION |
Analysis of the tax charge |
The tax charge on the profit for the year was as follows: |
31.12.23 | 31.12.22 |
as restated |
£ | £ |
Current tax: |
UK corporation tax | 742,980 | 1,034,000 |
Deferred tax: |
Accelerated capital allowances | 5,834 | 27,187 |
Tax on profit | 748,814 | 1,061,187 |
Reconciliation of total tax charge included in profit and loss |
The tax assessed for the year is higher than the standard rate of corporation tax in the UK. The difference is explained below: |
31.12.23 | 31.12.22 |
as restated |
£ | £ |
Profit before tax | 304,068 | 3,963,564 |
Profit multiplied by the standard rate of corporation tax in the UK of 23.640 % (2022 - 19 %) |
71,882 |
753,077 |
Effects of: |
Income not taxable for tax purposes | (9,964 | ) | (72,216 | ) |
Depreciation in excess of capital allowances | 80,462 | 35,272 |
Adjustments to tax charge in respect of previous periods | (5,570 | ) | (201 | ) |
Deferred tax | 5,834 | 27,187 |
Tax on goodwill on consolidation write-off | 606,170 | 318,068 |
Total tax charge | 748,814 | 1,061,187 |
8. | INDIVIDUAL INCOME STATEMENT |
As permitted by Section 408 of the Companies Act 2006, the Statement of Comprehensive Income of the parent company is not presented as part of these financial statements. |
9. | DIVIDENDS |
31.12.23 | 31.12.22 |
as restated |
£ | £ |
'B' Ordinary shares of £1 each |
Interim | 900,000 | 1,600,000 |
10. | PRIOR YEAR ADJUSTMENT |
This represents an uplift of 40% of total equity, in the non-controlling interest in Coombe Healthcare Ltd, in the prior year. |
OLDERCARE (HASLEMERE) LIMITED (Registered number: 03227281) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 December 2023 |
11. | INTANGIBLE FIXED ASSETS |
Group |
Goodwill |
£ |
COST |
At 1 January 2023 | 6,749,942 |
Additions | 2,507,500 |
At 31 December 2023 | 9,257,442 |
AMORTISATION |
At 1 January 2023 | 6,749,942 |
Amortisation for year | 2,507,500 |
At 31 December 2023 | 9,257,442 |
NET BOOK VALUE |
At 31 December 2023 | - |
At 31 December 2022 | - |
Company |
Goodwill |
£ |
COST |
At 1 January 2023 |
and 31 December 2023 |
AMORTISATION |
At 1 January 2023 |
and 31 December 2023 |
NET BOOK VALUE |
At 31 December 2023 |
At 31 December 2022 |
OLDERCARE (HASLEMERE) LIMITED (Registered number: 03227281) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 December 2023 |
12. | TANGIBLE FIXED ASSETS |
Group |
Freehold | Improvements |
land & | Freehold | to |
property | buildings | property |
£ | £ | £ |
COST |
At 1 January 2023 | 7,175,411 | 882,450 | 11,932,120 |
Additions | - | - | - |
Disposals | - | - | - |
At 31 December 2023 | 7,175,411 | 882,450 | 11,932,120 |
DEPRECIATION |
At 1 January 2023 | 865,686 | 321,491 | 2,473,191 |
Charge for year | 118,024 | 17,649 | 238,642 |
Eliminated on disposal | - | - | - |
At 31 December 2023 | 983,710 | 339,140 | 2,711,833 |
NET BOOK VALUE |
At 31 December 2023 | 6,191,701 | 543,310 | 9,220,287 |
At 31 December 2022 | 6,309,725 | 560,959 | 9,458,929 |
Fixtures |
Plant and | and | Motor |
machinery | fittings | vehicles | Totals |
£ | £ | £ | £ |
COST |
At 1 January 2023 | 75,785 | 8,690,246 | 226,931 | 28,982,943 |
Additions | - | 308,459 | 36,210 | 344,669 |
Disposals | - | - | (12,500 | ) | (12,500 | ) |
At 31 December 2023 | 75,785 | 8,998,705 | 250,641 | 29,315,112 |
DEPRECIATION |
At 1 January 2023 | 63,261 | 4,677,967 | 100,546 | 8,502,142 |
Charge for year | 1,252 | 429,349 | 40,134 | 845,050 |
Eliminated on disposal | - | - | (10,447 | ) | (10,447 | ) |
At 31 December 2023 | 64,513 | 5,107,316 | 130,233 | 9,336,745 |
NET BOOK VALUE |
At 31 December 2023 | 11,272 | 3,891,389 | 120,408 | 19,978,367 |
At 31 December 2022 | 12,524 | 4,012,279 | 126,385 | 20,480,801 |
Included in cost of land and buildings is freehold land of £594,336 (2022 - £594,336) which is not depreciated. |
OLDERCARE (HASLEMERE) LIMITED (Registered number: 03227281) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 December 2023 |
12. | TANGIBLE FIXED ASSETS - continued |
Group |
Fixed assets, included in the above, which are held under hire purchase contracts are as follows: |
Motor |
vehicles |
£ |
COST |
At 1 January 2023 |
and 31 December 2023 | 84,816 |
DEPRECIATION |
Charge for year | 21,205 |
At 31 December 2023 | 21,205 |
NET BOOK VALUE |
At 31 December 2023 | 63,611 |
At 31 December 2022 | 84,816 |
Company |
Freehold | Improvements | Fixtures |
land & | to | and | Motor |
property | property | fittings | vehicles | Totals |
£ | £ | £ | £ | £ |
COST |
At 1 January 2023 |
Additions |
Disposals | ( |
) | ( |
) |
At 31 December 2023 |
DEPRECIATION |
At 1 January 2023 |
Charge for year |
Eliminated on disposal | ( |
) | ( |
) |
At 31 December 2023 |
NET BOOK VALUE |
At 31 December 2023 |
At 31 December 2022 |
OLDERCARE (HASLEMERE) LIMITED (Registered number: 03227281) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 December 2023 |
12. | TANGIBLE FIXED ASSETS - continued |
Company |
Fixed assets, included in the above, which are held under hire purchase contracts are as follows: |
Motor |
vehicles |
£ |
COST |
At 1 January 2023 |
and 31 December 2023 |
DEPRECIATION |
Charge for year |
At 31 December 2023 |
NET BOOK VALUE |
At 31 December 2023 |
At 31 December 2022 |
13. | FIXED ASSET INVESTMENTS |
Company |
Unlisted |
investments |
£ |
COST |
At 1 January 2023 |
Additions |
At 31 December 2023 |
NET BOOK VALUE |
At 31 December 2023 |
At 31 December 2022 |
The group or the company's investments at the Balance Sheet date in the share capital of companies include the following: |
Subsidiaries |
Registered office: Marley Lane, Haslemere, Surrey GU27 3PX |
Nature of business: |
% |
Class of shares: | holding |
31.12.23 | 31.12.22 |
£ | £ |
Aggregate capital and reserves |
Profit/(loss) for the year | ( |
) |
OLDERCARE (HASLEMERE) LIMITED (Registered number: 03227281) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 December 2023 |
13. | FIXED ASSET INVESTMENTS - continued |
Registered office: La Deveze, 15600 Saint Etienne de Maurs, France |
Nature of business: |
% |
Class of shares: | holding |
31.12.23 | 31.12.22 |
£ | £ |
Aggregate capital and reserves |
Loss for the year | ( |
) | ( |
) |
Registered office: Marley Lane, Haslemere, Surrey GU27 3PX |
Nature of business: |
% |
Class of shares: | holding |
31.12.23 | 31.12.22 |
£ | £ |
Aggregate capital and reserves |
(Loss)/profit for the year | ( |
) |
Registered office: Marley Lane, Haslemere, Surrey GU27 3PX |
Nature of business: |
% |
Class of shares: | holding |
31.12.23 | 31.12.22 |
£ | £ |
Aggregate capital and reserves |
Loss for the year | ( |
) | ( |
) |
14. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group | Company |
31.12.23 | 31.12.22 | 31.12.23 | 31.12.22 |
as restated | as restated |
£ | £ | £ | £ |
Trade debtors | 1,652,486 | 1,783,995 |
Amounts owed by group undertakings | - | - |
Other debtors | 42,982 | 14,820 |
Prepayments | 101,206 | 98,206 |
1,796,674 | 1,897,021 |
OLDERCARE (HASLEMERE) LIMITED (Registered number: 03227281) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 December 2023 |
15. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group | Company |
31.12.23 | 31.12.22 | 31.12.23 | 31.12.22 |
as restated | as restated |
£ | £ | £ | £ |
Bank loans and overdrafts (see note 17) | - | 935,264 |
Hire purchase contracts (see note 18) | 19,954 | 19,954 |
Trade creditors | 2,639,753 | 2,268,857 |
Amounts owed to group undertakings | - | - |
Tax | 758,030 | 1,035,557 |
Social security and other taxes | 165,972 | 345,655 |
Other creditors | 22,600 | 40,334 |
Pension contributions | 95,730 | 45,016 | 62,516 | 27,890 |
Wages control | - | 1,554 | - | 1,185 |
Directors' current accounts | 618,489 | 287,775 | 618,489 | 287,775 |
Accrued expenses | 474,597 | 368,695 |
4,795,125 | 5,348,661 |
16. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
Group | Company |
31.12.23 | 31.12.22 | 31.12.23 | 31.12.22 |
as restated | as restated |
£ | £ | £ | £ |
Bank loans (see note 17) | - | 3,657,718 |
Hire purchase contracts (see note 18) | 51,100 | 64,861 |
51,100 | 3,722,579 |
17. | LOANS |
An analysis of the maturity of loans is given below: |
Group | Company |
31.12.23 | 31.12.22 | 31.12.23 | 31.12.22 |
as restated | as restated |
£ | £ | £ | £ |
Amounts falling due within one year or on | demand: |
Sterling bank loan | - | 935,264 | - | 935,264 |
Amounts falling due between one and two | years: |
Sterling bank loan - 1-2 years | - | 935,264 | - | 935,264 |
Amounts falling due between two and five | years: |
Sterling bank loan - 2-5 years | - | 2,087,359 | - | 2,087,359 |
Amounts falling due in more than five years: |
Repayable by instalments |
Sterling bank loan over 5 years | - | 635,095 | - | 635,095 |
OLDERCARE (HASLEMERE) LIMITED (Registered number: 03227281) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 December 2023 |
17. | LOANS - continued |
All bank loans were repaid during the year. |
18. | LEASING AGREEMENTS |
Minimum lease payments fall due as follows: |
Group |
Hire purchase contracts |
31.12.23 | 31.12.22 |
as restated |
£ | £ |
Net obligations repayable: |
Within one year | 19,954 | 19,954 |
Between one and five years | 51,100 | 64,861 |
71,054 | 84,815 |
Company |
Hire purchase contracts |
31.12.23 | 31.12.22 |
£ | £ |
Net obligations repayable: |
Within one year |
Between one and five years |
19. | PROVISIONS FOR LIABILITIES |
Group | Company |
31.12.23 | 31.12.22 | 31.12.23 | 31.12.22 |
as restated | as restated |
£ | £ | £ | £ |
Deferred tax | 706,941 | 701,107 | 388,541 | 391,158 |
Group |
Deferred |
tax |
£ |
Balance at 1 January 2023 | 701,107 |
Accelerated capital allowances | 5,834 |
Balance at 31 December 2023 | 706,941 |
Company |
Deferred |
tax |
£ |
Balance at 1 January 2023 |
Accelerated capital allowances | (2,617 | ) |
Balance at 31 December 2023 |
OLDERCARE (HASLEMERE) LIMITED (Registered number: 03227281) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 December 2023 |
20. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 31.12.23 | 31.12.22 |
value: | as restated |
£ | £ |
'A' Ordinary | £1 | 10,000 | 10,000 |
'B' Ordinary | £1 | 10,000 | 10,000 |
20,000 | 20,000 |
21. | RESERVES |
Group |
Retained |
earnings |
£ |
At 1 January 2023 | 23,831,881 |
Prior year adjustment | (3,566,775 | ) |
20,265,106 |
Deficit for the year | (452,232 | ) |
Dividends | (900,000 | ) |
Non-controlling interest |
acquired | 891,693 |
At 31 December 2023 | 19,804,567 |
Company |
Retained |
earnings |
£ |
At 1 January 2023 |
Profit for the year |
Dividends | ( |
) |
At 31 December 2023 |
22. | NON-CONTROLLING INTERESTS |
This is in respect of shares held in Coombe Healthcare Ltd by R White. |
OLDERCARE (HASLEMERE) LIMITED (Registered number: 03227281) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 December 2023 |
23. | DIRECTORS' ADVANCES, CREDITS AND GUARANTEES |
The following advances and credits to directors subsisted during the years ended 31 December 2023 and 31 December 2022: |
31.12.23 | 31.12.22 |
as restated |
£ | £ |
R J F WHITE |
Balance outstanding at start of year | - | 1,130,063 |
Amounts repaid | - | (1,130,063 | ) |
Amounts written off | - | - |
Amounts waived | - | - |
Balance outstanding at end of year | - | - |
J M RANDALL |
Balance outstanding at start of year | - | 74,441 |
Amounts repaid | - | (74,441 | ) |
Amounts written off | - | - |
Amounts waived | - | - |
Balance outstanding at end of year | - | - |
24. | RELATED PARTY DISCLOSURES |
The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group. |
Transactions between group entities which have been eliminated on consolidation are not disclosed within the financial statements. |