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Registration number: 12348567

Iris Care Group (England) Limited
(formerly Ancala Bidco Limited

Annual Report and Financial Statements

for the Year Ended 30 April 2024

 

Iris Care Group (England) Limited

Contents

Company Information

1

Strategic Report

2

Directors' Report

3

Statement of Directors' Responsibilities

4

Independent Auditor's Report

5 to 7

Profit and Loss Account

8

Balance Sheet

9

Statement of Changes in Equity

10

Notes to the Financial Statements

11 to 18

 

Iris Care Group (England) Limited

Company Information

Directors

S M Clunie

R W Correia

A P R Hough

T M Power

M L Western

Registered office

Mill Place
90 Bristol Road
Gloucester
GL1 5SQ

Auditors

Hazlewoods LLP
Windsor House
Bayshill Road
Cheltenham
GL50 3AT

 

Iris Care Group (England) Limited

Strategic Report for the Year Ended 30 April 2024

The directors present their strategic report for the year ended 30 April 2024.

Principal activity

The principal activity of the company is as a holding company.

Fair review of the business

The results for the year, which are set out in the profit and loss account, show turnover of £50,000 (2023 - £50,000 and an operating loss of £265,479 (2023 - £543,410). At 30 April 2024, the company had net assets of £2,243,757 (2023 - £809,144). The directors consider the performance for the year and the financial position of the group and company at the year end to be satisfactory.

Given the nature of the business, the company's directors are of the opinion that key performance indicators are important. The company uses a number of indicators to monitor and improve development, performance or the position of the business. Indicators are reviewed and altered to meet changes both in the internal and external environments. The directors do not consider the inclusion of an analysis using key performance indicators to be necessary to assist users of the financial statements in their understanding of the financial performance or position of the company.

Principal risks and uncertainties

Principal risks to the organisation are managed through organisation risk registers. These identify all of the potential risks to the business with mitigating controls for managing and monitoring risk.

All risks are profiled, and the Board is regularly updated on the current status of risks to the organisation and commensurate risk mitigation strategies.

Reputational risk
Provision of poor or inappropriate levels of care would cause severe damage to Holmleigh Care Group's (the Group’s) brand and the ability of the business to attract new service users. The business operates sophisticated levels of performance monitoring with regular reporting to senior management and the Board of any potential issues.

Health and safety
We believe that no serious injury to staff, residents, their guests or anyone else on our premises is acceptable. Everyone in our business has accountability for health and safety, and they are given the necessary tools (including training, safety equipment and resources) to operate safely.

Government policy
Whilst there is continued pressure on Government and Local Authority spending, the business is mitigating these pressures by continuing to grow its service offering for those with higher acuity needs and in response to the Transforming Care Agenda.

Cost base inflation
The principal costs for the successful operation of the business include staff costs, energy and food. All of these areas are subject to on-going cost pressures in excess of inflation. In order to mitigate these issues, the Group has a well organised procurement process to source energy and food at the best possible rates. The Group also has a well organised operations structure to ensure that labour is employed as effectively as possible.

Approved by the Board on 31 January 2025 and signed on its behalf by:


A P R Hough
Director

 

Iris Care Group (England) Limited

Directors' Report for the Year Ended 30 April 2024

The directors present their report and the financial statements for the year ended 30 April 2024.

Directors of the company

The directors who held office during the year were as follows:

S M Clunie

R W Correia

A P R Hough

T M Power

M L Western

Future developments

The external environment is expected to remain competitive in 2024/25, however the directors remain confident that they will continue to improve the future performance of the business.

Financial instruments

Price risk, credit risk, liquidity risk and cash flow risk

The group is exposed to the usual credit and cash flow risk associated with selling on credit and manages this through credit control procedures. The group's bank loans are subject to price and liquidity risk as disclosed in note 14 to the financial statements. The board constantly monitor the company's trading results to ensure that the group can meet its future obligations as they fall due.

Disclosure of information to the auditors

Each director has taken steps that they ought to have taken as a director in order to make themselves aware of any relevant audit information and to establish that the company's auditors are aware of that information. The directors confirm that there is no relevant information that they know of and of which they know the auditors are unaware.

Appointment of auditors

Hazlewoods LLP have expressed their willingness to continue in office.

Approved by the Board on 31 January 2025 and signed on its behalf by:


A P R Hough
Director

 

Iris Care Group (England) Limited

Statement of Directors' Responsibilities

The directors are responsible for preparing the Strategic Report, Directors' Report 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 of the profit or loss of the company for that period. In preparing these financial statements, the directors are required to:

select suitable accounting policies and apply them consistently;

make judgements and accounting estimates that are reasonable and prudent;

state whether applicable UK Accounting Standards has been followed, subject to any material departures disclosed and explained in the financial statements; and

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 transactions and disclose with reasonable accuracy at any time the financial position of the company 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 hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

 

Iris Care Group (England) Limited

Independent Auditor's Report to the Members of Iris Care Group (England) Limited

Opinion

We have audited the financial statements of Iris Care Group (England) Limited (the 'company') for the year ended 30 April 2024, which comprise the Profit and Loss Account, Balance Sheet, Statement of Changes in Equity, and 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 company's affairs as at 30 April 2024 and of its profit 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 auditor responsibilities for the audit of the financial statements section of our report. We are independent of the company 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 company's ability to continue as a going concern for a period of at least twelve months from when the original financial statements were 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 included in the annual report, other than the financial statements and our auditor’s report 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 there is a material misstatement in the financial statements or a material misstatement of the other information. 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.

 

Iris Care Group (England) Limited

Independent Auditor's Report to the Members of Iris Care Group (England) Limited

Opinion on other matter 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 Strategic Report and Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and

the Strategic Report and Directors' Report have been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In the light of our knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report and the Directors' Report.

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, or returns adequate for our audit have not been received from branches not visited by us; or

the 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 4, 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 is 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 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 company or to cease operations, or have no realistic alternative but to do so.

Auditor’s 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 an auditor’s report 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.

Extent to which the audit was capable of detecting irregularities, including fraud

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

We considered the nature of the company’s industry and its control environment and reviewed the company’s documentation of their policies and procedures relating to fraud and compliance with laws and regulations. We also enquired of management about their own identification and assessment of the risks of irregularities.

We obtained an understanding of the legal and regulatory framework that the company operates in and identified the key laws and regulations that had a direct effect on the determination of material amounts and disclosures in the financial statements, including the UK Companies Act and tax legislation, and, those that do not have a direct effect on the financial statements but compliance with which may be fundamental to the company’s ability to operate or to avoid a material penalty.

We discussed among the audit engagement team regarding the opportunities and incentives that may exist within the organisation for fraud and how and where fraud might occur in the financial statements.

 

Iris Care Group (England) Limited

Independent Auditor's Report to the Members of Iris Care Group (England) Limited

In common with all audits conducted in accordance with ISAs (UK), we are also required to perform specific procedures to respond to the risk of management override of controls. In addressing the risk of fraud through management override of controls, we tested the appropriateness of journal entries and other adjustments; assessed whether the judgements made in accounting estimates are indicative of a potential bias; and evaluated the business rationale of any significant transactions that are unusual or outside the normal course of business.

In addition to the above, our procedures to respond to the risks identified included the following:

reviewing financial statement disclosures by testing to supporting documentation to assess compliance with provisions of relevant laws and regulations described as having a direct effect on the financial statements;

performing analytical procedures to identify any unusual or unexpected relationships that may indicate risks of material misstatements due to fraud;

enquiring of management concerning actual and potential litigation and claims and instances of non-compliance with laws and regulations; and

reading minutes of meetings of those charged with governance.

Our audit procedures were designed to respond to risks of material misstatement in the financial statements, recognising that the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery, misrepresentations or through collusion. There are inherent limitations in the audit procedures performed and the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we are to become aware of it.

A further description of our responsibilities is available on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.

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 an auditor’s report 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.





Simon Worsley (Senior Statutory Auditor)
For and on behalf of Hazlewoods LLP, Statutory Auditor

Windsor House
Bayshill Road
Cheltenham
GL50 3AT

31 January 2025

 

Iris Care Group (England) Limited

Profit and Loss Account for the Year Ended 30 April 2024

Note

2024
 £

2023
 £

Turnover

3

50,000

50,000

Administrative expenses

 

(164,964)

(232,937)

Operating loss before exceptional items

4

(114,964)

(182,937)

Exceptional items

5

(150,515)

(360,473)

Operating loss after exceptional costs

 

(265,479)

(543,410)

Other interest receivable and similar income

6

6,200,000

-

Interest payable and similar charges

7

(4,499,908)

(3,426,904)

Profit/(loss) before tax

 

1,434,613

(3,970,314)

Taxation

10

-

-

Profit/(loss) for the financial year

 

1,434,613

(3,970,314)

The above results were derived from continuing operations.

The company has no other comprehensive income for the year.

 

Iris Care Group (England) Limited

(Registration number: 12348567)
Balance Sheet as at 30 April 2024

Note

2024
 £

2023
 £

Fixed assets

 

Intangible assets

144,773

169,000

Investments

11

40,745,758

40,724,852

Current assets

 

Debtors: Amounts falling due within one year

12

473,505

413,359

Cash at bank and in hand

 

30,735

4,120,951

 

504,240

4,534,310

Creditors: Amounts falling due within one year

13

(22,484,169)

(20,125,992)

Net current liabilities

 

(21,979,929)

(15,591,682)

Total assets less current liabilities

 

18,910,602

25,302,170

Creditors: Amounts falling due after more than one year

13

(16,666,845)

(24,493,026)

Net assets

 

2,243,757

809,144

Capital and reserves

 

Called up share capital

15

10,625,756

10,625,756

Profit and loss account

(8,381,999)

(9,816,612)

Total equity

 

2,243,757

809,144

Approved and authorised by the Board on 31 January 2025 and signed on its behalf by:
 


A P R Hough
Director

 

Iris Care Group (England) Limited

Statement of Changes in Equity for the Year Ended 30 April 2024

Share capital
£

Profit and loss account
£

Total
£

At 1 May 2023

10,625,756

(9,816,612)

809,144

Profit for the year

-

1,434,613

1,434,613

At 30 April 2024

10,625,756

(8,381,999)

2,243,757

Share capital
£

Profit and loss account
£

Total
£

At 1 May 2022

10,625,756

(5,846,298)

4,779,458

Loss for the year

-

(3,970,314)

(3,970,314)

At 30 April 2023

10,625,756

(9,816,612)

809,144

 

Iris Care Group (England) Limited

Notes to the Financial Statements for the Year Ended 30 April 2024

 

1

General information

The company is a private company limited by share capital, incorporated in England and Wales.

The address of its registered office is:
Mill Place
90 Bristol Road
Gloucester
GL1 5SQ

 

2

Accounting policies

Summary of significant accounting policies and key accounting estimates

The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.

Statement of compliance

These financial statements were prepared in accordance with Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland and the Companies Act 2006'.

Basis of preparation

These financial statements have been prepared using the historical cost convention except for, where disclosed in these accounting policies, certain items that are shown at fair value.

The presentational currency of the financial statements is Pounds Sterling, being the functional currency of the primary economic environment in which the company operates. Monetary amounts in these financial statements are rounded to the nearest Pound.

Summary of disclosure exemptions

The company has not presented a cash flow statement on the grounds that the company is a wholly owned subsidiary and a group cash flow statement is included in the financial statements of the ultimate parent company.

Name of parent of group

These financial statements are consolidated in the financial statements of Iris Care Group Limited.

The financial statements of Iris Care Group Limited may be obtained from Companies House.

Group accounts not prepared

The financial statements present information about the company as an individual undertaking and not about its group. The company has not prepared group accounts as it is exempt from the requirements to do so by section 400 of the Companies Act 2006 as it is a subsidiary undertaking of Iris Care Group Limited, a company incorporated in England and Wales, and is included in the consolidated accounts of that company.

Going concern

After reviewing the company's forecasts and projections, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. The company therefore continues to adopt the going concern basis in preparing its financial statements.

Judgements and estimation uncertainty

These financial statements do not contain any significant judgements or estimation uncertainty.

Revenue recognition

Turnover comprises the fair value of the consideration received or receivable for the provision of services in the ordinary course of the group’s activities. Turnover is shown net of sales/value added tax, returns, rebates and discounts and after eliminating sales within the group. The group recognises revenue when the amount of revenue can be reliably measured, it is probable that future economic benefits will flow to the entity and specific criteria have been met for each of the group's activities.

 

Iris Care Group (England) Limited

Notes to the Financial Statements for the Year Ended 30 April 2024

Tax

The tax expense for the period comprises current and deferred tax. Tax is recognised in the profit and loss account, except that a charge attributable to an item of income or expense recognised as other comprehensive income is also recognised directly in other comprehensive income.

The current tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the group operates and generates taxable income.

Deferred tax is recognised on temporary differences arising between the tax bases of assets and liabilities and their carrying amounts in the consolidated financial statements and on unused tax losses or tax credits in the group. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the reporting date.

The carrying amount of deferred tax assets are reviewed at each reporting date and a valuation allowance is set up against deferred tax assets so that the net carrying amount equals the highest amount that is more likely than not to be recovered based on current or future taxable profit.

Tangible assets

Tangible assets are stated in the balance sheet at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.

The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.

Depreciation

Depreciation is charged so as to write off the cost of assets, over their estimated useful lives, as follows:

Asset class

Depreciation method and rate

Freehold property

1% on cost

Leasehold land and buildings

Over the term of the lease

Furniture, fittings and equipment

15% reducing balance and 33% on cost

Motor vehicles

25% reducing balance

Freehold land

Nil

Investments

Investments in equity shares which are publicly traded or where the fair value can be measured reliably are initially measured at fair value, with changes in fair value recognised in profit or loss. Investments in equity shares which are not publicly traded and where fair value cannot be measured reliably are measured at cost less impairment.

Interest income on debt securities, where applicable, is recognised in income using the effective interest method. Dividends on equity securities are recognised in income when receivable.

Cash and cash equivalents

Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.

Trade creditors

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the company does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.

Trade creditors are recognised initially at the transaction price and all are repayable within one year and hence are included at the undiscounted amount of cash expected to be paid.

 

Iris Care Group (England) Limited

Notes to the Financial Statements for the Year Ended 30 April 2024

Borrowings

Interest-bearing borrowings are initially recorded at fair value, net of transaction costs. Interest-bearing borrowings are subsequently carried at amortised cost, with the difference between the proceeds, net of transaction costs, and the amount due on redemption being recognised as a charge to the profit and loss account over the period of the relevant borrowing.

Interest expense is recognised on the basis of the effective interest method and is included in interest payable and similar charges.

Borrowings are classified as current liabilities unless the company has an unconditional right to defer settlement of the liability for at least twelve months after the reporting date.

Leases

Leases in which substantially all the risks and rewards of ownership are retained by the lessor are classified as operating leases. Payments made under operating leases are charged to profit or loss on a straight-line basis over the period of the lease.

Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessee.

Assets held under finance leases are recognised at the lower of their fair value at inception of the lease and the present value of the minimum lease payments. These assets are depreciated on a straight-line basis over the shorter of the useful life of the asset and the lease term. The corresponding liability to the lessor is included in the Balance Sheet as a finance lease obligation.

Lease payments are apportioned between finance costs in the Profit and Loss Account and reduction of the lease obligation so as to achieve a constant periodic rate of interest on the remaining balance of the liability.

Share capital

Ordinary shares are classified as equity. Equity instruments are measured at the fair value of the cash or other resources received or receivable, net of the direct costs of issuing the equity instruments. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis.

Dividends

Dividend distribution to the company’s shareholders is recognised as a liability in the financial statements in the reporting period in which the dividends are declared.

Defined contribution pension obligation

A defined contribution plan is a pension plan under which fixed contributions are paid into a pension fund and the company has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.

Contributions to defined contribution plans are recognised as employee benefit expense when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.

 

Iris Care Group (England) Limited

Notes to the Financial Statements for the Year Ended 30 April 2024

Financial instruments


Classification
Financial instruments are classified and accounted for according to the substance of the contractual arrangement, as financial assets, financial liabilities or equity instruments. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities. Where shares are issued, any component that creates a financial liability of the company is presented as a liability on the balance sheet. The corresponding dividends relating to the liability component are charged as interest expenses in the profit and loss account.

 Recognition and measurement
All financial assets and liabilities are initially measured at transaction price (including transaction costs), except for those financial assets classified as at fair value through profit or loss, which are initially measured at fair value (which is normally the transaction price excluding transaction costs), unless the arrangement constitutes a financing transaction. If an arrangement constitutes a financing transaction, the financial asset or financial liability is measured at the present value of the future payments discounted at a market rate of interest for a similar debt instrument.

 Impairment
Assets, other than those measured at fair value, are assessed for indicators of impairment at each balance sheet date. If there is objective evidence of impairment, an impairment loss is recognised in profit or loss as described below.

A non financial asset is impaired where there is objective evidence that, as a result of one or more events that occurred after initial recognition, the estimated recoverable value of the asset has been reduced. The recoverable amount of an asset is the higher of its fair value less costs to sell and its value in use.

The recoverable amount of goodwill is derived from measurement of the present value of the future cash flows of the cash-generating units ('CGUs') of which the goodwill is a part. Any impairment loss in respect of a CGU is allocated first to the goodwill attached to that CGU, and then to other assets within that CGU on a pro-rata basis.

Where indicators exist for a decrease in impairment loss, the prior impairment loss is tested to determine reversal. An impairment loss is reversed on an individual impaired asset to the extent that the revised recoverable value does not lead to a revised carrying amount higher than the carrying value had no impairment been recognised. Where a reversal of impairment occurs in respect of a CGU, the reversal is applied first to the assets (other than goodwill) of the CGU on a pro-rata basis and then to any goodwill allocated to that CGU.

For financial assets carried at amortised cost, the amount of an impairment is the difference between the asset’s carrying amount and the present value of estimated future cash flows, discounted at the financial asset’s original effective interest rate.

For financial assets carried at cost less impairment, the impairment loss is the difference between the asset’s carrying amount and the best estimate of the amount that would be received for the asset if it were to be sold at the reporting date.

Where indicators exist for a decrease in impairment loss, and the decrease can be related objectively to an event occurring after the impairment was recognised, the prior impairment loss is tested to determine reversal. An impairment loss is reversed on an individual impaired financial asset to the extent that the revised recoverable value does not lead to a revised carrying amount higher than the carrying value had no impairment been recognised.

 

Iris Care Group (England) Limited

Notes to the Financial Statements for the Year Ended 30 April 2024

 

3

Revenue

The total turnover of the company has been derived from its principal activity wholly undertaken in the United Kingdom.

 

4

Operating profit

Arrived at after charging:

2024
 £

2023
 £

Amortisation expense

24,227

-

 

5

Exceptional items

2024
 £

2023
 £

Exceptional expenses

150,515

360,473

Exceptional items during the year relate to one off legal and professional fees.

 

6

Other interest receivable and similar income

2024
£

2023
£

Dividend income

6,200,000

-

 

7

Interest payable and similar expenses

2024
£

2023
£

Finance charges adjacent to interest

173,819

173,819

Bank interest payable

1,631,318

1,471,583

Interest payable on intercompany loans

2,694,771

1,781,502

4,499,908

3,426,904

 

8

Staff costs

The aggregate payroll costs (including directors' remuneration) were as follows:

2024
 £

2023
 £

Wages and salaries

49,663

139,046

Social security costs

2,770

18,650

52,433

157,696

The average number of persons employed by the company (including directors) during the year, analysed by category was as follows:

2024
 No.

2023
 No.

Directors

2

2

 

Iris Care Group (England) Limited

Notes to the Financial Statements for the Year Ended 30 April 2024

 

9

Directors' remuneration

The directors' remuneration for the year was as follows:

2024
£

2023
£

Remuneration

49,663

139,046

 

10

Taxation

The tax on profit before tax for the year is higher than the standard rate of corporation tax in the UK (2023 - higher than the standard rate of corporation tax in the UK) of 25% (2023 - 19.5%).

The differences are reconciled below:

2024
£

2023
£

Profit/(loss) before tax

1,434,613

(3,970,314)

Corporation tax at standard rate

358,653

(774,211)

Effect of revenues exempt from taxation

(1,550,000)

-

Effect of expense not deductible in determining taxable profit (tax loss)

1,028,877

497,561

Tax increase arising from group relief

162,470

276,650

Total tax charge/(credit)

-

-

 

11

Investments

2024
£

2023
£

Investments in subsidiaries

40,745,758

40,724,852

Subsidiaries

£

Cost and carrying amount

At 1 May 2023

40,724,852

Additions

20,906

At 30 April 2024

40,745,758

Details of undertakings

Details of the investments (including principal place of business of unincorporated entities) in which the company holds 20% or more of the nominal value of any class of share capital are as follows:

Undertaking

Registered office

Holding

Proportion of voting rights and shares held

     

2024

2023

Subsidiary undertakings

Holmleigh Care Homes Limited

England and Wales

Ordinary

100%

100%

Holmleigh Properties (Gloucester) Limited *

England and Wales

Ordinary

100%

100%

Holmleigh (Pirton) Limited *

England and Wales

Ordinary

100%

100%

Cathedral Care (Gloucester) Limited *

England and Wales

Ordinary

100%

100%

 

Iris Care Group (England) Limited

Notes to the Financial Statements for the Year Ended 30 April 2024

Subsidiary undertakings

Holmleigh Care Homes Limited

The principal activity of Holmleigh Care Homes Limited is that of the provision of residential and supporting people care and accommodation for persons with learning disabilities, physical disabilities and complex needs.

Holmleigh Properties (Gloucester) Limited *

The principal activity of Holmleigh Properties (Gloucester) Limited * is property development for the care sector.

Holmleigh (Pirton) Limited *

The principal activity of Holmleigh (Pirton) Limited * is the provision of residential nursing care for persons with huntingtons, acquired brain injuries and physical disabilities.

Cathedral Care (Gloucester) Limited *

The principal activity of Cathedral Care (Gloucester) Limited * is residential care services.

* - owned indirectly via Holmleigh Care Homes Limited.

 

12

Debtors

Current

Note

2024
£

2023
£

Amounts owed by related parties

16

456,242

348,465

Other debtors

 

9,550

43,310

Prepayments

 

7,713

21,584

   

473,505

413,359

 

13

Creditors

Note

2024
 £

2023
 £

Due within one year

 

Amounts due to group undertakings

16

22,331,965

20,008,107

Social security and other taxes

 

1,228

7,444

Other creditors

 

24,218

10,120

Accrued expenses

 

126,758

100,321

 

22,484,169

20,125,992

Due after one year

 

Loans and borrowings

14

16,666,845

24,493,026

 

Iris Care Group (England) Limited

Notes to the Financial Statements for the Year Ended 30 April 2024

 

14

Loans and borrowings

2024
£

2023
£

Non-current loans and borrowings

Bank borrowings

16,666,845

24,493,026

Bank loans outstanding of £16,666,845 (2023 - £24,493,026) are stated after deducting £333,155 (2023 - £506,974) of costs associated with the raising of finance which are being released to the profit and loss account over the debt in accordance with FRS 102. Total bank loans excluding capitalised debt costs were £17,000,000 at 30 April 2024 (2023 - £25,000,000).

The bank loans are secured by a fixed and floating charge debenture over the property owned by the group together with a cross guarantee between the group companies. The bank loans are repayable in full on 31 March
2026. Interest is charged at 3.25% p. a.

Hire purchase contracts are secured on the assets to which they relate.

A group refinancing was completed post year end, replacing the bank loan as at 30 April 2024 with intercompany debt.

 

15

Share capital

Allotted, called up and fully paid shares

 

2024

2023

 

No.

£

No.

£

Ordinary shares of £0.01 each

10,625,756

106,258

10,625,756

106,258

         
 

16

Related party transactions

Summary of transactions with key management

Key management personnel are considered to be the directors of the company and key management personnel compensation is disclosed in note 9 to the financial statements.

 

17

Parent and ultimate parent undertaking

The company's immediate parent was Iris Care Group Midco Limited, incorporated in England and Wales. Post year end there has been a group restructure and the immediate parent from 15 August 2024 is Iris Care Group Midco 2 Limited, incorporated in England and Wales.

The ultimate parent is Iris Care Group Limited, incorporated in England and Wales.

The ultimate controlling party is funds managed by Ancala Partners LLP, a limited liability partnership registered in England and Wales.