REGISTERED NUMBER: 06237795 (England and Wales) |
BEECHCROFT CARE HOMES LTD |
GROUP STRATEGIC REPORT, REPORT OF THE DIRECTORS AND |
CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 MAY 2024 |
REGISTERED NUMBER: 06237795 (England and Wales) |
BEECHCROFT CARE HOMES LTD |
GROUP STRATEGIC REPORT, REPORT OF THE DIRECTORS AND |
CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 MAY 2024 |
BEECHCROFT CARE HOMES LTD (REGISTERED NUMBER: 06237795) |
CONTENTS OF THE CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 MAY 2024 |
Page |
Company Information | 1 |
Group Strategic Report | 2 |
Report of the Directors | 4 |
Report of the Independent Auditors | 5 |
Consolidated Income Statement | 9 |
Consolidated Other Comprehensive Income | 10 |
Consolidated Balance Sheet | 11 |
Company Balance Sheet | 12 |
Consolidated Statement of Changes in Equity | 13 |
Company Statement of Changes in Equity | 14 |
Consolidated Cash Flow Statement | 15 |
Notes to the Consolidated Cash Flow Statement | 16 |
Notes to the Consolidated Financial Statements | 17 |
BEECHCROFT CARE HOMES LTD |
COMPANY INFORMATION |
FOR THE YEAR ENDED 31 MAY 2024 |
DIRECTORS: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
AUDITORS: |
Chartered Accountant & Statutory Auditor |
Chancery House |
30 St Johns Road |
Woking |
Surrey |
GU21 7SA |
BEECHCROFT CARE HOMES LTD (REGISTERED NUMBER: 06237795) |
GROUP STRATEGIC REPORT |
FOR THE YEAR ENDED 31 MAY 2024 |
The directors present their strategic report of the company and the group for the year ended 31 May 2024. |
REVIEW OF BUSINESS |
As an established operator of 4 residential care homes for the elderly in Torquay our business focus is to grow our net revenues, with a disciplined focus on key costs, that doesn't compromise the care service that we provide. At the same time provide the essential financial underpinning required to resource properly an evolving care service. |
To grow our revenues we expect to maximise occupancy and drive our weekly rates. In the period in question out of a total available room inventory of 90 rooms our resident occupancy achieved a superb average of 89 residents per night (2024: 89.10%, 2023: 88.93%) |
Taking advantage of good levels of demand our weekly revenues per room again moved very significantly from an average across 3 trading homes of £1,174 per week in April 2023 to £1,301 per week across the complete trading year June 1st 2023 to May 31st 2024 for 90 available rooms. |
Overall our care home revenues in the period (2024 v 2023) , net of subsidies and the limited property income, grew to £6,057k (2023: £5,276k) |
This very significant revenue increase again derived especially from our ability to drive incremental revenue from our residents with local authority funded support packages (1 to 1 care for instance for residents prone to falls). |
Due to our continued success in recruitment with our sponsorship license we could offer this service in house rather than outsourced to the local authority with their own agency contracts. |
Our disciplined approach to staffing costs, which are of course the majority of our costs, resulted in a controlled increase year on year of + £374k (v Revenue increase of + £781k). Given that we funded minimum wage increases of 9.7% on April 1st 2023 and 9.8% on April 1st 2024, which have to be applied to all our hourly paid staff, and funded more 1 to 1 labour packages than in the previous year, our total % increase is very creditable indeed. |
We have almost eliminated our use of expensive agency staff (2024: £74, 2023: £142k) which has improved the consistency of our staff relationships with each other and with the customers. Our annualised labour turnover is again holding steady at 20%. Our permanent staff numbers held steady at 86 in May 2024 from 85 in November 2023. |
We have not been so successful with our food costs, despite our kitchen formula to serve dual sites, and central price negotiation, our food prices had continued to rise steadily over 2023. However, at long last at the time of writing the year on year increase has flattened. |
Our straightforward approach continues to drive good profits, and funds the considerable investment programmes that we maintain. Nonetheless like everybody, we continued to face pressure on prices. Our utility costs associated with light and heat were up 61% and only in the current financial year will we get the proper benefit of the new utility contracts which started in February 2024. |
PRINCIPAL RISKS AND UNCERTAINTIES |
As with most care businesses the single most significant current risk is the almost certain ongoing rise in the minimum wage and employers national insurance increases, and our ability to pass on that increased cost to our customers, so that we remain sustainably profitable. |
The majority of our revenues come from local authority and NHS sources, and that brings the risk of below inflationary annual settlements. We have worked hard to protect our business from this with the massive increase in our productivity, as we have brought in more revenues per resident, (see above), and we continue to be successful in the current year. |
Nonetheless with our new care home opening we have made a strategic decision to focus more on the self funded market, and to do this we must reshape our marketing approach. We have benefited in the past from minimal marketing costs but this can't continue. We must have a web site, brochure and paid advertising, digital and paper. |
Until the new care home builds occupancy past the break even point we will have reduced profitability in the current 2024/2025 financial year. |
BEECHCROFT CARE HOMES LTD (REGISTERED NUMBER: 06237795) |
GROUP STRATEGIC REPORT |
FOR THE YEAR ENDED 31 MAY 2024 |
KEY PERSONNEL AND ORGANISATION STRUCTURE |
We have a consolidated management structure covering all 4 care homes and 3 staff houses within the group of Beechcroft Care Homes Limited. |
The 2 executive directors, David and Julia Gow-Smith pool hotelkeeping skills from a focused corporate environment, with care knowledge of the elderly from a qualified social work background. |
As the 2 directors have continued to reduce their working hours, the new senior management team has been put in place. Our group commercial director, who in addition to his registered manager responsibilities, runs our group reservation service, capitalising on our 4 sites clustered within 500 metres of each other, has excelled in increasing our revenues. |
Although we lost our head of care, and still looking for a replacement, we have strengthened the central management team with a quality assurance manager, who also provides operations support. |
The senior management trio is made up with our Property manager, who has successfully run our property portfolio, including major projects such as Cary Lodge since 2016. |
Within the homes we have a traditional organisation structure with Home manager, deputy, and seniors leading our care brigades. |
DATA STORAGE |
During the period we transitioned our stand alone PC system to a central server, so that virtually all data in our business could be held and viewed centrally, with appropriate controls including reliable back up. |
Our accounts package, and care recording were already cloud based, but the myriad administration and policies files were on paper or on local PCs/laptops. |
Recently we had our first difficulties with the system, but we are now up and running again with improved protocols on data security. |
FUTURE DEVELOPMENTS |
Located within the green conservation area of beautiful Babbacombe, and adjoining an elegant level suburban park, all our care homes share an aspirational attractiveness for the elderly and for their families looking for the ideal care location. With good CQC ratings to give our customers confidence, all have additionally benefited from attractive new extensions, but in particular we have finished the complete refurbishment of our 4th care home in Cary park, Cary Lodge, at a cost of 1.8 million |
Due to inefficiencies in the CQC regulatory process, now publicly acknowledged, we were only able to register the care home in June 2024. |
Registered for 33 elderly our flagship care home will lead our drive for the self funded private market, and provides an even firmer foundation for the company's growth in the future. |
ON BEHALF OF THE BOARD: |
BEECHCROFT CARE HOMES LTD (REGISTERED NUMBER: 06237795) |
REPORT OF THE DIRECTORS |
FOR THE YEAR ENDED 31 MAY 2024 |
The directors present their report with the financial statements of the company and the group for the year ended 31 May 2024. |
PRINCIPAL ACTIVITIES |
The principal activities of the group in the year under review were those of that of the running of residential care homes for the elderly. |
DIVIDENDS |
The total distribution of dividends for the year ended 31 May 2024 was £76,667 (2023, £171,667.) |
EVENTS SINCE THE END OF THE YEAR |
Information relating to events since the end of the year is given in the notes to the financial statements. |
DIRECTORS |
The directors shown below have held office during the whole of the period from 1 June 2023 to the date of this report. |
POLITICAL DONATIONS AND EXPENDITURE |
The group made charitable donations amounting to £2,500 during the year (2023, £2,720.) However this was to multiple charities and not one charity received more than £2,000. |
DISCLOSURE IN THE STRATEGIC REPORT |
Disclosures of performance, risk assessment and future developments have been given in the Strategic Report. |
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; |
- | 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. |
ON BEHALF OF THE BOARD: |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
BEECHCROFT CARE HOMES LTD |
Opinion |
We have audited the financial statements of Beechcroft Care Homes Ltd (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 May 2024 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 May 2024 and of the group's 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 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. |
Other Matters |
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 |
BEECHCROFT CARE HOMES LTD |
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 four, 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. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
BEECHCROFT CARE HOMES LTD |
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. |
Explanation as to what extent the audit was considered capable of detecting irregularities, including fraud |
Objectives |
The objectives of our audit in respect of fraud, are; |
- to identify and assess the risks of material misstatement of the financial statements due to fraud; |
- to obtain sufficient appropriate audit evidence regarding the assessed risks of material misstatement due to fraud, through designing and implementing appropriate responses to those assessed risks; and |
- to respond appropriately to instances of fraud or suspected fraud identified during the audit. |
However, the primary responsibility for the prevention and detection of fraud rests with both management and those charged with governance of the company. |
Audit Approach |
Our approach was as follows: |
- We obtained an understanding of the legal and regulatory requirements applicable to the company and considered that the most significant are the Health and Social Care Act, CQC, National Minimum Wage legislation, Companies Act 2006, FRS 102, and UK taxation legislation. |
- We obtained an understanding of how the company complies with these requirements by discussions with management and those charged with governance, as well a review of relevant correspondence and certifications. |
- We assessed the risk of material misstatement of the financial statements and how it might occur (including the risk of material misstatement due to fraud), by holding discussions with management and those charged with governance. We used our knowledge of the company and the industry in which it operates to determine if management's explanations were consistent with our own conclusions. |
- Based on our understanding developed from the above, we designed specific appropriate audit procedures to identify instances of non-compliance with the key laws and regulations which may result in potential fraud. This included making enquiries of management and those charged with governance, investigating unusual or unexpected relationships or movements in figures disclosed in the accounts and remaining alert for any transactions that appeared to be outside the normal course of business. Furthermore, as required by auditing standards, and taking into account our overall knowledge of the control environment, we have performed procedures to address the risks of management override of controls and the risk of fraudulent revenue recognition. Procedures such as a review of journal entries and assessing estimates for management bias have enabled us to conclude in this area. |
Some instances of non-compliance with laws and regulations were identified from the above procedures, however the directors have provided for an estimate of the potential liabilities arising from this non-compliance and we have been provided evidence that some of these breaches have been subsequently corrected. As a result, we can conclude that the figures in the accounts are materially accurately stated. |
As part of an audit in accordance with ISAs (UK) we exercise professional judgement and maintain professional scepticism throughout the audit. We also: |
- Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. |
- Obtain an understanding of internal control environment relevant to the audit, in order to design audit procedures that are appropriate in the circumstances, but not for the purposes of expressing an opinion on the effectiveness of the company's internal control. |
- Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the directors. |
- Conclude on the appropriateness of the directors' use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the company's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor's report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor's report. However, future events or conditions may cause the company to cease to continue as a going concern. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
BEECHCROFT CARE HOMES LTD |
- Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation. |
- Obtain sufficient appropriate audit evidence regarding the financial information of the entities or business activities within the company, to express an opinion on the consolidated financial statements. |
We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit. |
We have communicated a number of control deficiencies to those charged with governance and have advised them of improvements that they can make to their internal control procedures to ensure that they are compliant with the various laws and regulations going forwards. Despite the control deficiencies identified, we can still conclude that the accounts are free from material misstatement. A number of the suggestions raised during the prior year's audit have been subsequently actioned by those charged with governance, indicating their commitment to improvement. |
Context of the ability of the audit to detect fraud or breaches of law or regulation |
Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. For example, the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely the inherently limited procedures required by auditing standards would identify it. |
In addition, as with any audit, there remains a risk of non-detection of fraud, as these may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal controls. Our audit procedures are designed to detect material misstatement. We are not responsible for preventing non-compliance or fraud and cannot be expected to detect non-compliance with all laws and regulations. |
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. |
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 Accountant & Statutory Auditor |
Chancery House |
30 St Johns Road |
Woking |
Surrey |
GU21 7SA |
BEECHCROFT CARE HOMES LTD (REGISTERED NUMBER: 06237795) |
CONSOLIDATED |
INCOME STATEMENT |
FOR THE YEAR ENDED 31 MAY 2024 |
2024 | 2023 |
Notes | £ | £ |
TURNOVER | 4 | 6,056,523 | 5,275,669 |
Cost of sales | (2,602,677 | ) | (2,356,101 | ) |
GROSS PROFIT | 3,453,846 | 2,919,568 |
Administrative expenses | (1,549,409 | ) | (1,296,532 | ) |
1,904,437 | 1,623,036 |
Other operating income | - | 2,240 |
OPERATING PROFIT | 7 | 1,904,437 | 1,625,276 |
Interest receivable and similar income | 73,054 | 15,434 |
1,977,491 | 1,640,710 |
Gain/loss on revaluation of investment property | - | (86,402 | ) |
1,977,491 | 1,554,308 |
Interest payable and similar expenses | 9 | (9,518 | ) | (618 | ) |
PROFIT BEFORE TAXATION | 1,967,973 | 1,553,690 |
Tax on profit | 10 | (567,135 | ) | (320,277 | ) |
PROFIT FOR THE FINANCIAL YEAR |
Profit attributable to: |
Owners of the parent | 1,400,838 | 1,233,413 |
BEECHCROFT CARE HOMES LTD (REGISTERED NUMBER: 06237795) |
CONSOLIDATED |
OTHER COMPREHENSIVE INCOME |
FOR THE YEAR ENDED 31 MAY 2024 |
2024 | 2023 |
Notes | £ | £ |
PROFIT FOR THE YEAR | 1,400,838 | 1,233,413 |
OTHER COMPREHENSIVE INCOME | - | - |
TOTAL COMPREHENSIVE INCOME FOR THE YEAR | 1,400,838 | 1,233,413 |
Total comprehensive income attributable to: |
Owners of the parent | 1,400,838 | 1,233,413 |
BEECHCROFT CARE HOMES LTD (REGISTERED NUMBER: 06237795) |
CONSOLIDATED BALANCE SHEET |
31 MAY 2024 |
2024 | 2023 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 13 | - | - |
Tangible assets | 14 | 5,159,728 | 4,894,148 |
Investments | 15 | - | - |
Investment property | 16 | 1,216,495 | 1,216,495 |
6,376,223 | 6,110,643 |
CURRENT ASSETS |
Stocks | 17 | 3,169 | 3,076 |
Debtors | 18 | 488,299 | 368,191 |
Cash at bank | 3,386,359 | 2,043,848 |
3,877,827 | 2,415,115 |
CREDITORS |
Amounts falling due within one year | 19 | 698,975 | 408,687 |
NET CURRENT ASSETS | 3,178,852 | 2,006,428 |
TOTAL ASSETS LESS CURRENT LIABILITIES | 9,555,075 | 8,117,071 |
PROVISIONS FOR LIABILITIES | 21 | 324,768 | 210,935 |
NET ASSETS | 9,230,307 | 7,906,136 |
CAPITAL AND RESERVES |
Called up share capital | 22 | 100 | 100 |
Retained earnings | 23 | 9,230,207 | 7,906,036 |
SHAREHOLDERS' FUNDS | 9,230,307 | 7,906,136 |
The financial statements were approved by the Board of Directors and authorised for issue on 25 February 2025 and were signed on its behalf by: |
T D Gow-Smith - Director |
BEECHCROFT CARE HOMES LTD (REGISTERED NUMBER: 06237795) |
COMPANY BALANCE SHEET |
31 MAY 2024 |
2024 | 2023 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 13 |
Tangible assets | 14 |
Investments | 15 |
Investment property | 16 |
CURRENT ASSETS |
Debtors | 18 |
Cash at bank |
CREDITORS |
Amounts falling due within one year | 19 |
NET CURRENT ASSETS |
TOTAL ASSETS LESS CURRENT LIABILITIES |
PROVISIONS FOR LIABILITIES | 21 |
NET ASSETS |
CAPITAL AND RESERVES |
Called up share capital | 22 |
Retained earnings | 23 |
SHAREHOLDERS' FUNDS |
Company's profit for the financial year | 1,385,266 | 1,431,172 |
The financial statements were approved by the Board of Directors and authorised for issue on |
BEECHCROFT CARE HOMES LTD (REGISTERED NUMBER: 06237795) |
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY |
FOR THE YEAR ENDED 31 MAY 2024 |
Called up |
share | Retained | Total |
capital | earnings | equity |
£ | £ | £ |
Balance at 1 June 2022 | 100 | 6,844,290 | 6,844,390 |
Changes in equity |
Dividends | - | (171,667 | ) | (171,667 | ) |
Total comprehensive income | - | 1,233,413 | 1,233,413 |
Balance at 31 May 2023 | 100 | 7,906,036 | 7,906,136 |
Changes in equity |
Dividends | - | (76,667 | ) | (76,667 | ) |
Total comprehensive income | - | 1,400,838 | 1,400,838 |
Balance at 31 May 2024 | 100 | 9,230,207 | 9,230,307 |
BEECHCROFT CARE HOMES LTD (REGISTERED NUMBER: 06237795) |
COMPANY STATEMENT OF CHANGES IN EQUITY |
FOR THE YEAR ENDED 31 MAY 2024 |
Called up |
share | Retained | Total |
capital | earnings | equity |
£ | £ | £ |
Balance at 1 June 2022 |
Changes in equity |
Dividends | - | ( |
) | ( |
) |
Total comprehensive income | - |
Balance at 31 May 2023 |
Changes in equity |
Dividends | - | ( |
) | ( |
) |
Total comprehensive income | - |
Balance at 31 May 2024 |
BEECHCROFT CARE HOMES LTD (REGISTERED NUMBER: 06237795) |
CONSOLIDATED CASH FLOW STATEMENT |
FOR THE YEAR ENDED 31 MAY 2024 |
2024 | 2023 |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 1 | 2,180,882 | 1,631,366 |
Interest paid | (9,518 | ) | (618 | ) |
Tax paid | (117,772 | ) | (246,787 | ) |
Net cash from operating activities | 2,053,592 | 1,383,961 |
Cash flows from investing activities |
Purchase of tangible fixed assets | (370,217 | ) | (663,347 | ) |
Purchase of investment property | - | (507,897 | ) |
Sale of tangible fixed assets | - | 11,588 |
Interest received | 73,054 | 15,434 |
Net cash from investing activities | (297,163 | ) | (1,144,222 | ) |
Cash flows from financing activities |
Amount introduced by directors | 24,552 | 157,648 |
Amount withdrawn by directors | (438,470 | ) | (619,605 | ) |
Equity dividends paid | - | (171,667 | ) |
Net cash from financing activities | (413,918 | ) | (633,624 | ) |
Increase/(decrease) in cash and cash equivalents | 1,342,511 | (393,885 | ) |
Cash and cash equivalents at beginning of year | 2 | 2,043,848 | 2,437,733 |
Cash and cash equivalents at end of year | 2 | 3,386,359 | 2,043,848 |
BEECHCROFT CARE HOMES LTD (REGISTERED NUMBER: 06237795) |
NOTES TO THE CONSOLIDATED CASH FLOW STATEMENT |
FOR THE YEAR ENDED 31 MAY 2024 |
1. | RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS |
2024 | 2023 |
£ | £ |
Profit before taxation | 1,967,973 | 1,553,690 |
Depreciation charges | 104,639 | 75,705 |
Profit on disposal of fixed assets | - | (2,602 | ) |
Loss on revaluation of fixed assets | - | 86,402 |
Finance costs | 9,518 | 618 |
Finance income | (73,054 | ) | (15,434 | ) |
2,009,076 | 1,698,379 |
Increase in stocks | (93 | ) | (401 | ) |
Decrease/(increase) in trade and other debtors | 216,323 | (196,542 | ) |
(Decrease)/increase in trade and other creditors | (44,424 | ) | 129,930 |
Cash generated from operations | 2,180,882 | 1,631,366 |
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 May 2024 |
31.5.24 | 1.6.23 |
£ | £ |
Cash and cash equivalents | 3,386,359 | 2,043,848 |
Year ended 31 May 2023 |
31.5.23 | 1.6.22 |
£ | £ |
Cash and cash equivalents | 2,043,848 | 2,443,476 |
Bank overdrafts | - | (5,743 | ) |
2,043,848 | 2,437,733 |
3. | ANALYSIS OF CHANGES IN NET FUNDS |
At 1.6.23 | Cash flow | At 31.5.24 |
£ | £ | £ |
Net cash |
Cash at bank | 2,043,848 | 1,342,511 | 3,386,359 |
2,043,848 | 1,342,511 | 3,386,359 |
Total | 2,043,848 | 1,342,511 | 3,386,359 |
BEECHCROFT CARE HOMES LTD (REGISTERED NUMBER: 06237795) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 MAY 2024 |
1. | STATUTORY INFORMATION |
Beechcroft Care Homes Ltd is a |
The presentation currency of the financial statements is the Pound Sterling (£). |
2. | STATEMENT OF COMPLIANCE |
These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006. |
3. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
The financial statements have been prepared under the historical cost convention. |
Basis of consolidation |
The consolidated financial statements incorporate the financial statements of the Company and its subsidiaries. |
Subsidiaries, joint ventures and associates are not consolidated if their influence on the Group’s asset, financial and earnings position is considered to be immaterial, either individually or in total. |
Consolidation occurs once control is obtained. |
All subsidiaries utilise the same accounting framework and accounting policies. |
Assets and liabilities of subsidiaries are shown in the consolidated accounts at their fair value on the date of acquisition. In most cases the fair value has approximated to the book value. |
Related party exemption |
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. |
BEECHCROFT CARE HOMES LTD (REGISTERED NUMBER: 06237795) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MAY 2024 |
3. | ACCOUNTING POLICIES - continued |
Critical accounting judgements and key sources of estimation uncertainty |
In the application of the company's accounting policies, management is required to make judgements, estimates and assumptions about the carrying values of assets and liabilities that are not readily apparent from other sources. The estimates and underlying 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 if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods. |
The critical judgements made by management that have a significant effect on the amounts recognised in the financial statements are described below: |
1) Valuation of Investment Property |
As described in the notes to the financial statements, investment properties are stated at fair value based on the valuation of the directors. Although this has not been formally valued by a third party, there is an active market. The directors used observable market prices adjusted as necessary for any difference in the future plans for or condition of the specific asset. This has been reassessed and due to the stability of the market over the last year, this value has been kept consistent. |
2) Impairment of, and rights to, improvements to care home property |
The directors have assessed the value of the property as a whole and feel that the value attributed to the improvements is far in excess of their cost value, based on future generatable profits and revenue levels. On this basis they feel no impairment is considered necessary. |
The property itself is not owned by the company, but is owned by the directors. However the companies are entitled to use the property and receive the benefits and obligations associated with the improvements to the property as a result of their continued use of the premises and ongoing repairs and renewals costs incurred. |
3) Provisions |
The directors have calculated an estimated provision associated with non compliance with laws and regulations. This has been calculated based on the expected maximum liability arising, and has then been adjusted for expected actual payments that may be required. As the total level of the liability is impacted by interpretation of the regulations this is considered to be an appropriate approach. |
Turnover |
Turnover is measured at the fair value of the consideration received or receivable, net of discounts and value added taxes. Turnover represents net invoiced residential care home fees and is recognised per night that a room is occupied. |
Turnover in the parent company represents net invoiced sales regarding property management, excluding value added tax. |
Turnover is deferred where amounts have been invoiced, but these relate to services to be provided in future periods. |
Turnover is accrued where amounts have yet to be invoiced, but where the services have been provided in the period to date. |
BEECHCROFT CARE HOMES LTD (REGISTERED NUMBER: 06237795) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MAY 2024 |
3. | ACCOUNTING POLICIES - continued |
Tangible fixed assets |
Tangible fixed assets are stated at costs less accumulated depreciation and accumulated impairment losses. |
Freehold property - straight line over 50 years * |
Land - not depreciated |
Improvements to property - straight line over 10 or 50 years * |
Fixtures and fittings - 15% on reducing balance |
Motor vehicles - 25% on reducing balance |
* Some assets classified as freehold property and improvements to property were deemed to have had a remaining economic useful life of 50 years from 31 May 2021 onwards. Additions from this date onwards are considered to have a useful life of 50 years. |
Impairment of Assets |
At each reporting date fixed assets are reviewed to determine whether there is any indication that those assets have suffered an impairment loss. If there is an indication of possible impairment, the recoverable amount of any affected asset is estimated and compared with its carrying amount. If the estimated recoverable amount is lower, the carrying amount is reduced to its estimated recoverable amount, and an impairment loss if recognised immediately in profit or loss. |
If an impairment loss subsequently reverses, the carrying amount of the asset is increased to the revised estimate of its recoverable amount, but not in excess of the amount that would have been determined had no impairment loss been recognised for the assets in prior years. A reversal of an impairment loss is recognised immediately in profit or loss. |
Debtors |
Short term debtors are measured at transaction price, less any impairment. |
Creditors |
Short term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transactions costs, and are measured subsequently at amortised costs using the effective interest method. |
Cash |
Cash and cash equivalents comprise of cash at bank and in hand. In the statement of financial position, bank overdrafts are shown within borrowings or current liabilities. |
Investment property |
Investment properties held in the accounts are rented out to third parties and are stated in the statement of financial position at their revalued amounts The valuation is reviewed annually for any uplift or impairment. |
Any aggregate surplus or deficit arising from changes in fair value is recognised immediately in profit or loss and treated as an unrealised gain or loss. |
Stocks |
Stocks are valued at the lower of cost and net realisable value, after making due allowances for obsolete and slow moving items. |
Investments in subsidiaries |
Investments in subsidiary undertakings are recognised at costs less any impairment losses. |
BEECHCROFT CARE HOMES LTD (REGISTERED NUMBER: 06237795) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MAY 2024 |
3. | ACCOUNTING POLICIES - continued |
Taxation |
Current tax is recognised for the amount of income tax payable in respect of the taxable profit for the current or past reporting periods using the tax rates and laws that have been enacted or substantively enacted by the reporting date. |
Deferred tax is recognised in respect of all timing differences at the reporting date, except as otherwise indicated. |
Deferred tax assets are only 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. If and when all conditions for retaining tax allowances for the cost of a fixed asset have been met, the deferred tax is reversed. |
Deferred tax is calculated using the tax rates and laws that have been enacted or substantively enacted by the reporting date that are expected to apply to the reversal of the timing difference. |
The tax expense (income) is presented either in profit or loss, other comprehensive income or equity depending on the transaction that resulted in the tax expense (income). |
Pension costs and other post-retirement benefits |
Short- term employee benefits and contributions to defined contribution plans are recognised as an expense in the period in which they are incurred. |
Provisions for liabilities |
Provisions are recognised when the Company has a present (legal or constructive) obligation as a result of a past event; it is probable that an outflow of resources will be required to settle the obligation; and the amount of the obligation can be estimated reliably. |
The amount recognised as a provision is the best estimate of the consideration required to settle the present recognised as a provision is the best estimate of the consideration required to settle the present obligation at the end of the reporting period, taking into account the risks and uncertainties surrounding the obligation. |
Where the effect of the time value of money is material, the amount expected to be required to settle the obligation is recognised at present value using a pre-tax discount rate. The unwinding of the discount is recognised as a finance costs in profit or loss in the period it arises. |
The Company recognises a provision for annual leave accrued by employees for services rendered in the current period, and which employees are entitled to carry forward and use within the next 12 months, measured at the salary costs payable for the period of absence. |
Provisions also comprise an amount that may be payable in relation to liabilities arising from non-compliance with laws and regulations. The provision has been based on an estimated liability. The final amounts will be dependent on the interpretation of the legislation. |
4. | TURNOVER |
The turnover and profit before taxation are attributable to the principal activities of the group. |
An analysis of turnover by class of business is given below: |
2024 | 2023 |
£ | £ |
Care home fees | 5,998,496 | 5,210,008 |
Rental income | 58,027 | 65,661 |
6,056,523 | 5,275,669 |
BEECHCROFT CARE HOMES LTD (REGISTERED NUMBER: 06237795) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MAY 2024 |
5. | EMPLOYEES AND DIRECTORS |
2024 | 2023 |
£ | £ |
Wages and salaries | 2,280,468 | 1,888,642 |
Social security costs | 176,386 | 146,096 |
Other pension costs | 18,596 | 17,304 |
2,475,450 | 2,052,042 |
The average number of employees during the year was as follows: |
2024 | 2023 |
Administration | 2 | 3 |
Care | 92 | 95 |
6. | DIRECTORS' EMOLUMENTS |
2024 | 2023 |
£ | £ |
Directors' remuneration | - | - |
The directors have received pensions paid totalling £135,485 (2023: £85,817) |
7. | OPERATING PROFIT |
The operating profit is stated after charging/(crediting): |
2024 | 2023 |
£ | £ |
Depreciation - owned assets | 104,637 | 95,119 |
Profit on disposal of fixed assets | - | (2,602 | ) |
Auditors Remuneration can be split as follows: |
2023 | 2022 |
Auditors Remuneration - non audit Work | 12,378 | 25,183 |
Auditors remuneration | 22,032 | 19,525 |
Total | 34,410 | 44,703 |
In addition to the amounts disclosed above, a total of £13,000 has been included in legal and professional fees in relation to fees charged by a related group company of the auditor. |
8. | EXCEPTIONAL ITEMS |
2024 | 2023 |
£ | £ |
Exceptional items | 14,167 | 14,167 |
In a prior year an exceptional item comprised a provision for an estimated amount that may be payable in relation to liabilities arising from non-compliance with laws and regulations. |
In the current and preceding year a portion of the provision has been reversed, as it is considered by the directors that this is no longer due, as a result of the passage of time. |
BEECHCROFT CARE HOMES LTD (REGISTERED NUMBER: 06237795) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MAY 2024 |
9. | INTEREST PAYABLE AND SIMILAR EXPENSES |
2024 | 2023 |
£ | £ |
Other Interest | 9,518 | 618 |
10. | TAXATION |
Analysis of the tax charge |
The tax charge on the profit for the year was as follows: |
2024 | 2023 |
£ | £ |
Current tax: |
UK corporation tax | 435,100 | 257,200 |
Over/under provision of CT | 4,035 | 6,777 |
Total current tax | 439,135 | 263,977 |
Deferred tax | 128,000 | 56,300 |
Tax on profit | 567,135 | 320,277 |
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: |
2024 | 2023 |
£ | £ |
Profit before tax | 1,967,973 | 1,553,690 |
Profit multiplied by the standard rate of corporation tax in the UK of 25 % (2023 - 20 %) |
491,993 |
310,738 |
Effects of: |
Expenses not deductible for tax purposes | - | 18,382 |
Income not taxable for tax purposes | (2,815 | ) | (7,087 | ) |
Capital allowances in excess of depreciation | (54,078 | ) | (68,398 | ) |
Adjustments to tax charge in respect of previous periods | 4,035 | 4,882 |
Deferred Tax movement | 128,000 | 61,760 |
Total tax charge | 567,135 | 320,277 |
11. | INDIVIDUAL INCOME STATEMENT |
As permitted by Section 408 of the Companies Act 2006, the Income Statement of the parent company is not presented as part of these financial statements. |
12. | DIVIDENDS |
2024 | 2023 |
£ | £ |
Ordinary shares of 1 each |
Interim | 76,667 | 171,667 |
BEECHCROFT CARE HOMES LTD (REGISTERED NUMBER: 06237795) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MAY 2024 |
13. | INTANGIBLE FIXED ASSETS |
Company |
Goodwill |
£ |
COST |
At 1 June 2023 |
and 31 May 2024 |
AMORTISATION |
At 1 June 2023 |
and 31 May 2024 |
NET BOOK VALUE |
At 31 May 2024 |
At 31 May 2023 |
14. | TANGIBLE FIXED ASSETS |
Group |
Improvements | Fixtures, |
Freehold | to | fittings |
property | property | & equipment |
£ | £ | £ |
COST |
At 1 June 2023 | 2,855,000 | 1,975,486 | 402,743 |
Additions | - | 306,257 | 62,767 |
At 31 May 2024 | 2,855,000 | 2,281,743 | 465,510 |
DEPRECIATION |
At 1 June 2023 | 102,840 | 87,805 | 163,056 |
Charge for year | 51,420 | 36,894 | 12,489 |
At 31 May 2024 | 154,260 | 124,699 | 175,545 |
NET BOOK VALUE |
At 31 May 2024 | 2,700,740 | 2,157,044 | 289,965 |
At 31 May 2023 | 2,752,160 | 1,887,681 | 239,687 |
BEECHCROFT CARE HOMES LTD (REGISTERED NUMBER: 06237795) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MAY 2024 |
14. | TANGIBLE FIXED ASSETS - continued |
Group |
Motor | Computer |
vehicles | equipment | Totals |
£ | £ | £ |
COST |
At 1 June 2023 | 19,493 | - | 5,252,722 |
Additions | - | 1,193 | 370,217 |
At 31 May 2024 | 19,493 | 1,193 | 5,622,939 |
DEPRECIATION |
At 1 June 2023 | 4,873 | - | 358,574 |
Charge for year | 3,655 | 179 | 104,637 |
At 31 May 2024 | 8,528 | 179 | 463,211 |
NET BOOK VALUE |
At 31 May 2024 | 10,965 | 1,014 | 5,159,728 |
At 31 May 2023 | 14,620 | - | 4,894,148 |
Company |
Fixtures, |
fittings | Motor |
& equipment | vehicles | Totals |
£ | £ | £ |
COST |
At 1 June 2023 |
and 31 May 2024 |
DEPRECIATION |
At 1 June 2023 |
Charge for year |
At 31 May 2024 |
NET BOOK VALUE |
At 31 May 2024 |
At 31 May 2023 |
15. | FIXED ASSET INVESTMENTS |
Company |
Shares in |
group |
undertakings |
£ |
COST |
At 1 June 2023 |
and 31 May 2024 |
NET BOOK VALUE |
At 31 May 2024 |
At 31 May 2023 |
BEECHCROFT CARE HOMES LTD (REGISTERED NUMBER: 06237795) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MAY 2024 |
15. | FIXED ASSET INVESTMENTS - continued |
The group or the company's investments at the Balance Sheet date in the share capital of companies include the following: |
Subsidiaries |
Registered office: Holmfield, Grafton Road, Torquay, TQ1 1QJ |
Nature of business: |
% |
Class of shares: | holding |
Registered office: Holmfield, Grafton Road, Torquay, TQ1 1QJ |
Nature of business: |
% |
Class of shares: | holding |
Registered office: Holmfield, Grafton Road, Torquay, TQ1 1QJ |
Nature of business: |
% |
Class of shares: | holding |
16. | INVESTMENT PROPERTY |
Group |
Total |
£ |
FAIR VALUE |
At 1 June 2023 |
and 31 May 2024 | 1,216,495 |
NET BOOK VALUE |
At 31 May 2024 | 1,216,495 |
At 31 May 2023 | 1,216,495 |
Company |
Total |
£ |
FAIR VALUE |
At 1 June 2023 |
and 31 May 2024 |
NET BOOK VALUE |
At 31 May 2024 |
At 31 May 2023 |
BEECHCROFT CARE HOMES LTD (REGISTERED NUMBER: 06237795) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MAY 2024 |
16. | INVESTMENT PROPERTY - continued |
Company |
Fair value at 31 May 2024 is represented by: |
£ |
Valuation in 2023 | (86,402 | ) |
Valuation in 2022 | 297,639 |
Cost | 1,005,258 |
1,216,495 |
The impairment processed in 2023 has been prepared by a director on the basis of open market value, based on the current marketplace. The director has reviewed the position as at 31 May 2024 and does not consider there to be any movement in the market and hence in the value of the properties has remained the same. |
17. | STOCKS |
Group |
2024 | 2023 |
£ | £ |
Stocks | 3,169 | 3,076 |
18. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group | Company |
2024 | 2023 | 2024 | 2023 |
£ | £ | £ | £ |
Trade debtors | - | 177,998 |
Amounts owed by group undertakings | - | - |
Other debtors | 13,024 | 12,009 |
Directors' current accounts | 336,430 | - | 336,429 | - |
Tax | 22,355 | 18,050 |
Prepayments and accrued income | 116,490 | 160,134 |
488,299 | 368,191 |
19. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group | Company |
2024 | 2023 | 2024 | 2023 |
£ | £ | £ | £ |
Trade creditors | 100,368 | 123,517 |
Amounts owed to group undertakings | - | - |
Tax | 439,297 | 114,227 |
Social security and other taxes | 30,781 | 41,421 |
Other creditors | 94,569 | 70,869 |
Directors' current accounts | - | 822 | - | 822 |
Accruals and deferred income | 33,960 | 57,831 |
698,975 | 408,687 |
20. | SECURED DEBTS |
The Royal Bank of Scotland PLC has both a fixed and floating charge containing a negative pledge over all property, assets and rights of the owner. This is in relation to the mortgage over the property, which is held outside of the group, but used within the group for trading purposes. The property has been moved into the group post year end. |
BEECHCROFT CARE HOMES LTD (REGISTERED NUMBER: 06237795) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MAY 2024 |
21. | PROVISIONS FOR LIABILITIES |
Group | Company |
2024 | 2023 | 2024 | 2023 |
£ | £ | £ | £ |
Deferred tax | 268,100 | 140,100 | 56,100 | 56,100 |
Other provisions | 56,668 | 70,835 | 14,167 | 28,334 |
Aggregate amounts | 324,768 | 210,935 | 70,267 | 84,434 |
Group |
Deferred | Other |
tax | provisions |
£ | £ |
Balance at 1 June 2023 | 140,100 | 70,835 |
Provided during year | 128,000 | - |
Amounts released in the year | - | (14,168 | ) |
Balance at 31 May 2024 | 268,100 | 56,667 |
Company |
Deferred | Other |
tax | provisions |
£ | £ |
Balance at 1 June 2023 |
Released during year | - | (14,167 | ) |
Balance at 31 May 2024 |
Other provisions comprise an estimated amount that may be payable in relation to liabilities arising from non-compliance with laws and regulations. |
The provision has been based on an estimate and the actual amount payable will be dependent on the interpretation of the legislation and the outcome of the efforts undertaken post year end to resolve the issue. |
22. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 2024 | 2023 |
value: | £ | £ |
Ordinary | 1 | 100 | 100 |
Shares have full voting, dividend and capital rights. |
BEECHCROFT CARE HOMES LTD (REGISTERED NUMBER: 06237795) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MAY 2024 |
23. | RESERVES |
Group |
Retained |
earnings |
£ |
At 1 June 2023 | 7,906,036 |
Profit for the year | 1,400,838 |
Dividends | (76,667 | ) |
At 31 May 2024 | 9,230,207 |
Company |
Retained |
earnings |
£ |
At 1 June 2023 |
Profit for the year |
Dividends | ( |
) |
At 31 May 2024 |
24. | DIRECTORS' ADVANCES, CREDITS AND GUARANTEES |
The following advances and credits to a director subsisted during the years ended 31 May 2024 and 31 May 2023: |
2024 | 2023 |
£ | £ |
T D Gow-Smith |
Balance outstanding at start of year | (822 | ) | (462,779 | ) |
Amounts advanced | 438,470 | 619,604 |
Amounts repaid | (101,219 | ) | (157,647 | ) |
Amounts written off | - | - |
Amounts waived | - | - |
Balance outstanding at end of year | 336,429 | (822 | ) |
The overdrawn balance has been cleared post year end by way of a transfer of property into the group. |
Interest has been charged on the overdrawn balance in line with HMRC guidelines. |
25. | RELATED PARTY DISCLOSURES |
During the year there have been rents paid to the directors totalling £213,271 in relation to the property from which the care homes trade (2023: £198,285) . Some of the care homes are owned personally by the directors. |
26. | POST BALANCE SHEET EVENTS |
On 4 October 2024 the properties from which a subsidiary, Choice Retirement Home Limited, traded were purchased from the Directors. The properties were acquired for £5.5m, which will be included in the financial statements of the subsequent period |
27. | ULTIMATE CONTROLLING PARTY |
At the financial year end the ultimate controlling party is Mr T D Gow-Smith. |