ACCOUNTS - Final Accounts

An analysis of turnover by class of business is as follows:

Registered number: 05317825

OHI CANNON CARE HOMES LTD
(FORMERLY CANNON CARE HOMES LTD)

ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 SEPTEMBER 2024

OHI CANNON CARE HOMES LTD (FORMERLY CANNON CARE HOMES LTD)

COMPANY INFORMATION

DIRECTORS	Mr R Cannon (resigned 18 October 2024)
	Mr R Stephenson (appointed 18 January 2024)
	Mr V Gupta (appointed 18 October 2024)
	Mr D Booth (appointed 18 October 2024, resigned 2 January 2025)
	Mr N Ballew (appointed 18 October 2024)


REGISTERED NUMBER	05317825


REGISTERED OFFICE	C/O Arnold & Porter Kaye Scholer (UK) LLP
	Tower 42
	25 Old Broad Street
	London
	EC2N 1HQ


AUDITORS	Albert Goodman LLP
	Chartered Accountants & Statutory Auditors
	Goodwood House
	Blackbrook Park Avenue
	Taunton
	United Kingdom
	TA1 2PX

OHI CANNON CARE HOMES LTD (FORMERLY CANNON CARE HOMES LTD)

CONTENTS

	Page
Group strategic report	1 - 2
Directors' report	3 - 4
Independent auditor's report	5 - 8
Consolidated statement of comprehensive income	9
Consolidated statement of financial position	10
Company statement of financial position	11
Consolidated statement of changes in equity	12
Company statement of changes in equity	13
Consolidated statement of cash flows	14
Consolidated analysis of net debt	15
Notes to the financial statements	16 - 35

OHI CANNON CARE HOMES LTD (FORMERLY CANNON CARE HOMES LTD)

GROUP STRATEGIC REPORT

FOR THE YEAR ENDED 30 SEPTEMBER 2024

INTRODUCTION

On 18 October 2024, the entire share capital of Cannon Care Home Limited was acquired by OHI UK Healthcare Properties Limited.
Immediately following the ownership change the group's trade and assets were acquired by a fellow group company, excluding the property, which was not transferred until 31 December 2024.
Following the transfer of the property the group ceased to trade, and as such the Directors consider it appropriate to prepare the financial statements on a basis other than a going concern basis. All assets have been adjusted to reflect their expected net realisable value and provisions have been made for all known current and future liabilities. It should be noted that the historic classification of assets and liabilities have been retained, reflecting the future use of the assets by the wider group. For example the fixed assets have not been reclassified as current assets.

BUSINESS REVIEW

The Group has had another successful year supporting the local community and surrounding areas. All three care homes continue to be rated “Outstanding” by The Care Quality Commission, providing a high quality of care and environment for both residents and staff to enjoy.
Whilst staffing still remains one of the key challenges across the sector, the Group has benefitted from the employment of overseas workers and some easing in the recruitment within the local area.

PRINCIPAL RISKS AND UNCERTAINTIES

The principal risks and uncertainties facing the group are trading performance and the ability of the group to continue as a going concern. See note 2.3 to the accounts for further details. However, as noted above the group ceased to trade following the transfer of its trade and assets to a fellow group company, and as a result the directors consider it appropriate to prepare the financial statements on a basis other than a going concern basis.
Exposure to liquidity and cashflow risk
Liquidity risk is the risk that an entity will encounter difficulty in meeting obligations associated with financial liabilities. The group aims to mitigate this by the managing of cash generation by its operations.
Cash flow risk is the risk to variability that is attributable to a particular risk associated with the recognised asset or liability. The group manages this risk by maintaining a rolling cash flow forecast to ensure it has sufficient working capital to operate efficiently.
Regulation and compliance risk
The group faces risks from noncompliance with key regulation and compliance required within the care home sector. The group aims to mitigate this risk by maintaining compliance with all key regulations, and regularly monitoring these throughout the period

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OHI CANNON CARE HOMES LTD (FORMERLY CANNON CARE HOMES LTD)

GROUP STRATEGIC REPORT (CONTINUED)

FOR THE YEAR ENDED 30 SEPTEMBER 2024

FINANCIAL KEY PERFORMANCE INDICATORS

The Group's key financial and other performance indicators during the year were as follows:
2024 2023
£’000 £’000
Turnover 12,742 12,145
Operating profit 3,090 3,129
Profit after tax 1,235 1,634
Shareholders’ funds 10,895 12,645
Average number of employees 245 235
Further key financial performance indicators which the Group uses to monitor performance are salary costs as a percentage of income, and EBITDA. Other key performance indicators include monitoring average monthly occupancy.

This report was approved by the board and signed on its behalf.

Mr V Gupta

Director

Date: 30 September 2025

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OHI CANNON CARE HOMES LTD (FORMERLY CANNON CARE HOMES LTD)

DIRECTORS' REPORT

FOR THE YEAR ENDED 30 SEPTEMBER 2024

The director presents his report and the financial statements for the year ended 30 September 2024.

DIRECTORS' RESPONSIBILITIES STATEMENT

The directors are responsible for preparing the Group strategic report, the Directors' report and the consolidated 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 director has elected to prepare the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland'. Under Company law the director must not approve the financial statements unless he is 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 for the Group's financial statements and then apply them consistently;

∙make judgments 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 Group 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 the Group and to 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.

PRINCIPAL ACTIVITY

The principal activity of the company during the year was that of a company holding investments in its subsidiaries. The principal activity of the group during the year was that of a residential care home operator. As noted within the introduction section of the strategic report the Group has, since the year end, ceased to trade.

RESULTS AND DIVIDENDS

The profit for the year, after taxation, amounted to £1,234,529 (2023: £1,634,323).

Dividends declared and paid in the year amounted to £1,285,000 (2023: £1,527,022).

DIRECTORS

The directors who served during the year were:

Mr R Cannon (resigned 18 October 2024)
Mr V Gupta (appointed 18 October 2024)
Mr D J Booth (appointed 18 October 2024, resigned 2 January 2025)
Mr N A Ballew (appointed 18 October 2024)
Mr R O Stephenson (appointed 18 October 2024)

FUTURE DEVELOPMENTS

As noted within the Strategic report the group, following the transfer of its trade and assets to another group company, has ceased to trade. The directors are therefore preparing the financial statements on a basis other than a going concern basis.

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OHI CANNON CARE HOMES LTD (FORMERLY CANNON CARE HOMES LTD)

DIRECTORS' REPORT (CONTINUED)

FOR THE YEAR ENDED 30 SEPTEMBER 2024

FINANCIAL RISK MANAGEMENT

The principal financial risk faced by the group is liquidity risk. However, the group is trading profitably and maintains a positive cash balance. In addition, regular cash flow forecasts are prepared which take into account the predictable operational revenue and debt repayment cost streams.

DISCLOSURE OF INFORMATION TO AUDITOR

Each of the persons who are directors at the time when this Directors' report is approved has confirmed that:

∙so far as the director is aware, there is no relevant audit information of which the Company and the Group's auditor is unaware, and

∙the director has taken all the steps that ought to have been taken as a director in order to be aware of any relevant audit information and to establish that the Company and the Group's auditor is aware of that information.

POST BALANCE SHEET EVENTS

As noted in the strategic report, on 18 October 2024, the entire share capital of Cannon Care Home Limited was acquired by OHI UK Healthcare Properties Limited.
Immediately following the ownership change the group's trade and assets were acquired by a fellow group company, excluding the property, which was not transferred until 31 December 2024.

This report was approved by the board and signed on its behalf.

Mr V Gupta

Director

Date: 30 September 2025

C/O Arnold & Porter Kaye Scholer (UK) LLP

Tower 42

25 Old Broad Street

London

EC2N 1HQ

Page 4

OHI CANNON CARE HOMES LTD (FORMERLY CANNON CARE HOMES LTD)

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF OHI CANNON CARE HOMES LTD (FORMERLY CANNON CARE HOMES LTD)

OPINION

We have audited the financial statements of OHI Cannon Care Homes Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 30 September 2024, which comprise the Consolidated Statement of Comprehensive Income, the Consolidated Statement of Financial Position, the Company Statement of Financial Position, the Consolidated Statement of Changes in Equity, the Company Statement of Changes in Equity, the Consolidated Statement of Cash Flow, the Consolidated Analysis of Net Debt and the related Notes, 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's affairs as at 30 September 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 auditor 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..

EMPHASIS OF MATTER - CONCLUSIONS RELATING TO GOING CONCERN

We draw your attention to note 2.3 and the strategic report to the financial statements which explains that following a transfer of the group’s trade and assets to fellow group companies the group ceased to trade. As such the directors consider it appropriate to prepare the financial statements on a basis other than a going concern basis. All assets have been adjusted to reflect their expected net realisable value and provisions have been made for all known current and future liabilities.

It should be noted that the historic classification of assets and liabilities have been retained, reflecting the future use of the assets by the wider group. For example, the fixed assets have not been reclassified as current assets. Our opinion is not modified in respect of this matter.

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OHI CANNON CARE HOMES LTD (FORMERLY CANNON CARE HOMES LTD)

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF OHI CANNON CARE HOMES LTD (FORMERLY CANNON CARE HOMES LTD) (CONTINUED)

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.

OPINION ON OTHER MATTERS PRESCRIBED BY THE COMPANIES ACT 2006

In our opinion, based on the work undertaken in the course of the audit:

∙the information given in the Strategic Report and Director's Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and

∙the Strategic Report and Director's Report have been prepared in accordance with applicable legal requirements.

In the light of our knowledge and understanding of the Group and the parent company and their environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report and the Director's Report.

MATTERS ON WHICH WE ARE REQUIRED TO REPORT BY EXCEPTION

We have nothing to report in respect of the following matters in relation to which 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 THE DIRECTOR

As explained more fully in the set out on page 3, 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 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.

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OHI CANNON CARE HOMES LTD (FORMERLY CANNON CARE HOMES LTD)

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF OHI CANNON CARE HOMES LTD (FORMERLY CANNON CARE HOMES LTD) (CONTINUED)

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.
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:

The extent to which the audit was considered capable of detecting irregularities including fraud
Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows:

∙the engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations;

∙we identified the laws and regulations applicable to the group through discussions with directors and other management, and from our commercial knowledge and experience of the sector;

∙we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the group, including the Companies Act 2006, taxation legislation, employment, environmental and health, safety legislation and the CQC requirements;

∙we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and inspecting legal correspondence; and

∙identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit.

We assessed the susceptibility of the group’s financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:

∙making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud; and

∙considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations.

To address the risk of fraud through management bias and override of controls, we:

∙performed analytical procedures to identify any unusual or unexpected relationships;

∙tested journal entries to identify unusual transactions;

∙assessed whether judgements and assumptions made in determining the accounting estimates were indicative of potential bias; and

∙investigated the rationale behind significant or unusual transactions.

In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:

∙agreeing financial statement disclosures to underlying supporting documentation;

∙enquiring of management as to actual and potential litigation and claims; and

∙reviewing correspondence with HMRC and relevant regulators.

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OHI CANNON CARE HOMES LTD (FORMERLY CANNON CARE HOMES LTD)

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF OHI CANNON CARE HOMES LTD (FORMERLY CANNON CARE HOMES LTD) (CONTINUED)

There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any.
Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.

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 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.

Christopher Walford BSc FCA (Senior statutory auditor)

for and on behalf of

Albert Goodman LLP

Chartered Accountants

Statutory Auditor

Goodwood House

Blackbrook Park Avenue

Taunton

United Kingdom

TA1 2PX

Date: 30 September 2025

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OHI CANNON CARE HOMES LTD (FORMERLY CANNON CARE HOMES LTD)

CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

FOR THE YEAR ENDED 30 SEPTEMBER 2024

	2024	2023
Note	£	£


Turnover	4	12,742,340	12,145,037
Cost of sales		(7,765,577)	(7,502,874)
Gross profit		4,976,763	4,642,163
Administrative expenses		(1,886,628)	(1,531,698)
Other operating income	5	-	18,124
Operating profit	6	3,090,135	3,128,589
Interest receivable and similar income	9	66,616	72,373
Interest payable and similar expenses	10	(1,445,532)	(1,107,481)
Profit before taxation		1,711,219	2,093,481
Tax on profit	11	(476,690)	(459,158)
Profit for the financial year		1,234,529	1,634,323


Unrealised loss on revaluation of tangible fixed assets	(2,266,350)	-
Deferred tax on revaluation loss	566,588	-
Other comprehensive income for the year	(1,699,762)	-
Total comprehensive income for the year	(465,233)	1,634,323

Profit for the year attributable to:
Owners of the parent Company	1,234,529	1,634,323
	1,234,529	1,634,323

The notes on pages 16 to 35 form part of these financial statements.

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OHI CANNON CARE HOMES LTD (FORMERLY CANNON CARE HOMES LTD)

REGISTERED NUMBER:05317825

CONSOLIDATED STATEMENT OF FINANCIAL POSITION

AS AT 30 SEPTEMBER 2024

		2024		2023
Note		£		£

Fixed assets
Tangible assets	13		28,571,539		30,891,828
			28,571,539		30,891,828
Current assets
Stocks	15	8,970		7,370
Debtors: amounts falling due within one year	16	5,551,746		4,653,214
Cash at bank and in hand	17	101,779		280,586
		5,662,495		4,941,170
Creditors: amounts falling due within one year	18	(4,294,574)		(2,821,735)
Net current assets			1,367,921		2,119,435
Total assets less current liabilities			29,939,460		33,011,263
Creditors: amounts falling due after more than one year	19		(14,358,813)		(15,133,190)
Deferred taxation	22		(4,685,976)		(5,233,169)
Net assets			10,894,671		12,644,904

Capital and reserves
Called up share capital	23	1	1
Profit and loss account	24	10,894,670	12,644,903
		10,894,671	12,644,904

The financial statements were approved and authorised for issue by the board and were signed on its behalf by:

Mr V Gupta

Director

Date: 30 September 2025

The notes on pages 15 to 37 form part of these financial statements.

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OHI CANNON CARE HOMES LTD (FORMERLY CANNON CARE HOMES LTD)

REGISTERED NUMBER:05317825

COMPANY STATEMENT OF FINANCIAL POSITION

AS AT 30 SEPTEMBER 2024

		2024		2023
Note		£		£

Fixed assets
Tangible assets	13		229		305
Investments	14		3,911,453		3,911,453
			3,911,682		3,911,758
Current assets
Debtors: amounts falling due within one year	16	13,647,697		13,954,006
Cash at bank and in hand	17	75,864		177,228
		13,723,561		14,131,234
Creditors: amounts falling due within one year	18	(2,185,731)		(1,431,151)
Net current assets			11,537,830		12,700,083
Total assets less current liabilities			15,449,512		16,611,841

Creditors: amounts falling due after more than one year	19		(14,043,593)		(14,642,426)

Net assets			1,405,919		1,969,415

Capital and reserves
Called up share capital	23		1		1
Profit and loss account brought forward		1,969,414		506,579
Profit for the year		721,504		2,989,857
Dividends		(1,285,000)		(1,527,022)
Profit and loss account carried forward			1,405,918		1,969,414
			1,405,919		1,969,415

The financial statements were approved and authorised for issue by the board and were signed on its behalf by:

Mr V Gupta

Director

Date: 30 September 2025

The notes on pages 15 to 37 form part of these financial statements.

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OHI CANNON CARE HOMES LTD (FORMERLY CANNON CARE HOMES LTD)

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

FOR THE YEAR ENDED 30 SEPTEMBER 2024

	Called up share capital	Profit and loss account	Equity attributable to owners of parent Company	Total equity
	£	£	£	£
At 1 October 2022	1	12,537,602	12,537,603	12,537,603
Comprehensive income for the year
Profit for the year	-	1,634,323	1,634,323	1,634,323
Contributions by and distributions to owners
Dividends: Equity capital	-	(1,527,022)	(1,527,022)	(1,527,022)

At 1 October 2023	1	12,644,903	12,644,904	12,644,904
Comprehensive income for the year
Profit for the year	-	1,234,529	1,234,529	1,234,529
Movements relating to revaluation of property and associated deferred tax	-	(1,699,762)	(1,699,762)	(1,699,762)
Other comprehensive income for the year	-	(1,699,762)	(1,699,762)	(1,699,762)
Total comprehensive income for the year	-	(465,233)	(465,233)	(465,233)
Contributions by and distributions to owners
Dividends: Equity capital	-	(1,285,000)	(1,285,000)	(1,285,000)
Total transactions with owners	-	(1,285,000)	(1,285,000)	(1,285,000)
At 30 September 2024	1	10,894,670	10,894,671	10,894,671

The notes on pages 16 to 35 form part of these financial statements.

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OHI CANNON CARE HOMES LTD (FORMERLY CANNON CARE HOMES LTD)

COMPANY STATEMENT OF CHANGES IN EQUITY

FOR THE YEAR ENDED 30 SEPTEMBER 2024

	Called up share capital	Profit and loss account	Total equity
	£	£	£
At 1 October 2022	1	506,579	506,580
Comprehensive income for the year
Profit for the year	-	2,989,857	2,989,857
Contributions by and distributions to owners
Dividends: Equity capital	-	(1,527,022)	(1,527,022)

At 1 October 2023	1	1,969,414	1,969,415
Comprehensive income for the year
Profit for the year	-	721,504	721,504
Contributions by and distributions to owners
Dividends: Equity capital	-	(1,285,000)	(1,285,000)
At 30 September 2024	1	1,405,918	1,405,919

The notes on pages 16 to 35 form part of these financial statements.

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OHI CANNON CARE HOMES LTD (FORMERLY CANNON CARE HOMES LTD)

CONSOLIDATED STATEMENT OF CASH FLOWS

FOR THE YEAR ENDED 30 SEPTEMBER 2024

			2024	2023
			£	£

Cash flows from operating activities
Profit for the financial year	1,234,529	1,634,323
Adjustments for:
Depreciation of tangible assets	133,660	144,747
Interest paid	1,445,532	1,107,481
Interest received	(66,616)	(72,373)
Taxation charge	476,690	459,158
(Increase)/decrease in stocks	(1,600)	-
(Increase) in debtors	(579,996)	(198,860)
Increase/(decrease) in creditors	184,143	(405,121)
Corporation tax (paid)/received	(640,384)	74,662
Net cash generated from operating activities	2,185,958	2,744,017

Cash flows from investing activities
Purchase of tangible fixed assets	(79,721)	(141,899)
Interest received	66,616	72,373
Net cash from investing activities	(13,105)	(69,526)
Cash flows from financing activities
New secured loans	1,400,116	155,000
Repayment of loans	(959,244)	(574,476)
Repayment of/new finance leases	(62,000)	(73,234)
Dividends paid	(1,285,000)	(1,527,022)
Interest paid	(1,433,700)	(1,100,935)
Associates interest paid	(11,832)	(6,546)
Net cash used in financing activities	(2,351,660)	(3,127,213)
Net (decrease) in cash and cash equivalents	(178,807)	(452,722)
Cash and cash equivalents at beginning of year	280,586	733,308
Cash and cash equivalents at the end of year	101,779	280,586

Cash and cash equivalents at the end of year comprise:
Cash at bank and in hand	102,471	282,582
Bank overdrafts	(692)	(1,996)
	101,779	280,586

The notes on pages 16 to 35 form part of these financial statements.

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OHI CANNON CARE HOMES LTD (FORMERLY CANNON CARE HOMES LTD)

CONSOLIDATED ANALYSIS OF NET DEBT

FOR THE YEAR ENDED 30 SEPTEMBER 2024


At 1 October 2023	Cash flows	At 30 September 2024
£	£	£

Cash at bank and in hand	280,586	(178,807)	101,779
Debt due after 1 year	(15,113,923)	762,339	(14,351,584)
Debt due within 1 year	(1,113,921)	(1,203,211)	(2,317,132)
Finance leases	(106,040)	62,000	(44,040)
	(16,053,298)	(557,679)	(16,610,977)

The notes on pages 16 to 35 form part of these financial statements.

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OHI CANNON CARE HOMES LTD (FORMERLY CANNON CARE HOMES LTD)

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 SEPTEMBER 2024

1.	GENERAL INFORMATION

OHI Cannon Care Homes Ltd (formerly Cannon Care Homes Ltd) is a private Company, limited by shares and registered in the UK. The registered number is 05317825, the address of the registered office is C/O Arnold & Porter Kaye Scholer (Uk) Llp Tower 42, 25 Old Broad Street, London, EC2N 1HQ. The principal activity of the Company for the year was that of a holding Company.
However, as noted in the strategic report, following the transfer of the group's trade and assets to another group company the company and group ceased to trade.

2.ACCOUNTING POLICIES

2.1

BASIS OF PREPARATION OF FINANCIAL STATEMENTS

The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.

The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires Group management to exercise judgment in applying the Group's accounting policies (see note 3).

The Company has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own Statement of comprehensive income in these financial statements.

The following principal accounting policies have been applied:

2.2

BASIS OF CONSOLIDATION

The consolidated financial statements present the results of the Company and its own subsidiaries ("the Group") as if they form a single entity. Intercompany transactions and balances between group companies are therefore eliminated in full.
The consolidated financial statements incorporate the results of business combinations using the purchase method. In the Statement of financial position, the acquiree's identifiable assets, liabilities and contingent liabilities are initially recognised at their fair values at the acquisition date. The results of acquired operations are included in the Consolidated statement of comprehensive income from the date on which control is obtained. They are deconsolidated from the date control ceases.
In accordance with the transitional exemption available in FRS 102, the Group has chosen not to retrospectively apply the standard to business combinations that occurred before the date of transition to FRS 102, being 1 April 2018.

2.3

GOING CONCERN

Following the transfer of the property the group ceased to trade, and as such the directors consider it appropriate to prepare the financial statements on a basis other than a going concern basis. All assets have been adjusted to reflect their expected net realisable value and provisions have been made for all known current and future liabilities. It should be noted that the historic classification of assets and liabilities have been retained, reflecting the future use of the assets by the wider group. For example the fixed assets have not been reclassified as current assets.

Page 16

OHI CANNON CARE HOMES LTD (FORMERLY CANNON CARE HOMES LTD)

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 SEPTEMBER 2024

2.ACCOUNTING POLICIES (continued)

2.4

REVENUE

Revenue is recognised to the extent that it is probable that the economic benefits will flow to the Group and the revenue can be reliably measured. Revenue is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. The following criteria must also be met before revenue is recognised:

Rendering of services

Revenue from a contract to provide services is recognised in the period in which the services are provided in accordance with the stage of completion of the contract when all of the following conditions are satisfied:

∙the amount of revenue can be measured reliably;

∙it is probable that the Group will receive the consideration due under the contract;

∙the stage of completion of the contract at the end of the reporting period can be measured reliably; and

∙the costs incurred and the costs to complete the contract can be measured reliably.

2.5

OPERATING LEASES: THE GROUP AS LESSEE

Rentals paid under operating leases are charged to profit or loss on a straight-line basis over the lease term.

Benefits received and receivable as an incentive to sign an operating lease are recognised on a straight-line basis over the lease term, unless another systematic basis is representative of the time pattern of the lessee's benefit from the use of the leased asset.

2.6

LEASED ASSETS: THE GROUP AS LESSEE

Assets obtained under hire purchase contracts and finance leases are capitalised as tangible fixed assets. Assets acquired by finance lease are depreciated over the shorter of the lease term and their useful lives. Assets acquired by hire purchase are depreciated over their useful lives. Finance leases are those where substantially all of the benefits and risks of ownership are assumed by the company. Obligations under such agreements are included in creditors net of the finance charge allocated to future periods. The finance element of the rental payment is charged to profit or loss so as to produce a constant periodic rate of charge on the net obligation outstanding in each period.

2.7

INTEREST INCOME

Interest income is recognised in profit or loss using the effective interest method.

2.8

FINANCE COSTS

Finance costs are charged to profit or loss over the term of the debt using the effective interest method so that the amount charged is at a constant rate on the carrying amount. Issue costs are initially recognised as a reduction in the proceeds of the associated capital instrument.

2.9

BORROWING COSTS

All borrowing costs are recognised in profit or loss in the year in which they are incurred.

Page 17

OHI CANNON CARE HOMES LTD (FORMERLY CANNON CARE HOMES LTD)

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 SEPTEMBER 2024

2.ACCOUNTING POLICIES (continued)

2.10

PENSIONS

DEFINED CONTRIBUTION PENSION PLAN

The Group operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the Group pays fixed contributions into a separate entity. Once the contributions have been paid the Group has no further payment obligations.

The contributions are recognised as an expense in profit or loss when they fall due. Amounts not paid are shown in accruals as a liability in the Statement of financial position. The assets of the plan are held separately from the Group in independently administered funds.

2.11

CURRENT AND DEFERRED TAXATION

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

The current income 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 Company and the Group operate and generate income.

Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the reporting date, except that:

∙The recognition of deferred tax assets is limited to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits;

∙Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met; and

∙Where they relate to timing differences in respect of interests in subsidiaries, associates, branches and joint ventures and the Group can control the reversal of the timing differences and such reversal is not considered probable in the foreseeable future.

Deferred tax balances are not recognised in respect of permanent differences except in respect of business combinations, when deferred tax is recognised on the differences between the fair values of assets acquired and the future tax deductions available for them and the differences between the fair values of liabilities acquired and the amount that will be assessed for tax. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the reporting date.

2.12

TANGIBLE FIXED ASSETS

Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

Page 18

OHI CANNON CARE HOMES LTD (FORMERLY CANNON CARE HOMES LTD)

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 SEPTEMBER 2024

2.ACCOUNTING POLICIES (continued)

2.12

TANGIBLE FIXED ASSETS (CONTINUED)

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, on a reducing balance and straight line basis..

Depreciation is provided on the following basis:

Freehold property	-	not depreciated
Plant and machinery	-	15/25% reducing balance and straight line
Motor vehicles	-	25% reducing balance
Fixtures and fittings	-	25% reducing balance and straight line
Office equipment	-	25% reducing balance

The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.

Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in profit or loss.

2.13

REVALUATION OF TANGIBLE FIXED ASSETS

Individual freehold and leasehold properties are carried at current year value at fair value at the date of the revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses. Revaluations are undertaken with sufficient regularity to ensure the carrying amount does not differ materially from that which would be determined using fair value at the reporting date.
Fair values are determined from market based evidence normally undertaken by professionally qualified valuers.

Revaluation gains and losses are recognised in other comprehensive income unless losses exceed the previously recognised gains or reflect a clear consumption of economic benefits, in which case the excess losses are recognised in profit or loss.
As noted, the group is to transfer its trade and assets to another group company. The tangible fixed assets are recognised at the anticipated realisable value. As these assets will be retained as fixed in the group the directors have retained them as fixed in the current year accounts.

2.14

VALUATION OF INVESTMENTS

Investments in subsidiaries are measured at cost less accumulated impairment.

2.15

STOCKS

Stocks are stated at the lower of cost and net realisable value, being the estimated selling price less costs to complete and sell. Cost is based on the cost of purchase on a first in, first out basis. Work in progress and finished goods include labour and attributable overheads.

At each reporting date, stocks are assessed for impairment. If stock is impaired, the carrying amount is reduced to its selling price less costs to complete and sell. The impairment loss is recognised immediately in profit or loss.

Page 19

OHI CANNON CARE HOMES LTD (FORMERLY CANNON CARE HOMES LTD)

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 SEPTEMBER 2024

2.ACCOUNTING POLICIES (continued)

2.16

DEBTORS

Short-term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.

2.17

CASH AND CASH EQUIVALENTS

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value.

In the Consolidated statement of cash flows, cash and cash equivalents are shown net of bank overdrafts that are repayable on demand and form an integral part of the Group's cash management.

2.18

CREDITORS

Short-term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.

2.19

PROVISIONS FOR LIABILITIES

Provisions are recognised when an event has taken place that gives rise to a legal or constructive obligation, a transfer of economic benefits is probable and a reliable estimate can be made.
Provisions are measured as the best estimate of the amount required to settle the obligation, taking into account the related risks and uncertainties.

Increases in provisions are generally charged as an expense to profit or loss.

2.20

FINANCIAL INSTRUMENTS

The Group only enters into basic financial instrument transactions that result in the recognition of financial assets and liabilities like trade and other debtors and creditors, loans from banks and other third parties, loans to related parties and investments in ordinary shares.
Debt instruments (other than those wholly repayable or receivable within one year), including loans and other accounts receivable and payable, are initially measured at present value of the future cash flows and subsequently at amortised cost using the effective interest method. Debt instruments that are payable or receivable within one year, typically trade debtors and creditors, are measured, initially and subsequently, at the undiscounted amount of the cash or other consideration expected to be paid or received. However, if the arrangements of a short-term instrument constitute a financing transaction, like the payment of a trade debt deferred beyond normal business terms or in case of an out-right short-term loan that is not at market rate, the financial asset or liability is measured, initially at the present value of future cash flows discounted at a market rate of interest for a similar debt instrument and subsequently at amortised cost, unless it qualifies as a loan from a director in the case of a small company, or a public benefit entity concessionary loan.
Financial assets that are measured at cost and amortised cost are assessed at the end of each reporting period for objective evidence of impairment. If objective evidence of impairment is found, an impairment loss is recognised in the Consolidated statement of comprehensive income.

Page 20

OHI CANNON CARE HOMES LTD (FORMERLY CANNON CARE HOMES LTD)

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 SEPTEMBER 2024

2.ACCOUNTING POLICIES (continued)

2.21

DIVIDENDS

Equity dividends are recognised when they become legally payable. Interim equity dividends are recognised when paid. Final equity dividends are recognised when approved by the shareholders at an annual general meeting.

3.	JUDGMENTS IN APPLYING ACCOUNTING POLICIES AND KEY SOURCES OF ESTIMATION UNCERTAINTY

The preparation of the financial statements requires management to make judgments, estimates and assumptions that affect the amounts reported for assets and liabilities as at the balance sheet date and the amounts reported for revenues and expenses during the period. However the nature of estimation means that actual outcomes could differ from those estimates. The following judgments have had the most significant effect on amounts recognised in the financial statements.
Classification of leases:
The Group obtains use of fixed assets as a lessee. The classification of such leases as operating or finance lease required the Group to determine, based on an evaluation of the terms and conditions of the arrangements, whether it retains or acquires the significant risks and rewards of ownership of these assets and accordingly whether the lease requires an asset and liability to be recognised in the Statement of Financial Position.
Valuation of properties:
The Group carries its freehold property at fair value, with changes in fair value being recognised in other comprehensive income. The Group engaged independent valuation specialists, Cushman & Wakefield, to determine fair value at 12 June 2024 The valuer used the profits method of valuation as they consider the market norm is to assess this type of asset for sale purposes by reference to its trading characteristics and profitability. The directors have then assessed their understanding of the market and adjusted the value recognised as materially required.
Fixed asset investments
Fixed Asset investments represent the Company's shareholding in its subsidiary entities, as detailed on note 14 of the financial statements. Investments are reviewed for indication of impairment at each statement of financial position date. Where such an indication exists, the director undertakes a formal impairment review and if considered necessary, an impairment loss is recognised in the statement of comprehensive income.

	Fee income	12,742,340	12,145,037

All turnover arose within the United Kingdom.

Page 21

OHI CANNON CARE HOMES LTD (FORMERLY CANNON CARE HOMES LTD)

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 SEPTEMBER 2024

5.	OTHER OPERATING INCOME
		2024	2023
		£	£

	Insurance claims receivable	-	18,124

Depreciation of tangible fixed assets	133,659	142,584
Hire of equipment	33,799	31,082
Defined contribution pension costs	131,929	113,016

Fees payable to the Company's auditor for the audit of the consolidated and parent Company's financial statements

22,250

19,400

Page 22

OHI CANNON CARE HOMES LTD (FORMERLY CANNON CARE HOMES LTD)

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 SEPTEMBER 2024

8.	EMPLOYEES
	Staff costs were as follows:

Group	Group	Company	Company
2024	2023	2024	2023
£	£	£	£


Wages and salaries	6,847,157	6,206,051	153,456	129,312
Social security costs	444,184	368,466	-	-
Cost of defined contribution scheme	150,262	129,016	18,333	16,000
	7,441,603	6,703,533	171,789	145,312

The average monthly number of employees, including the directors, during the year was as follows:

	Group	Group	Company	Company
	2024	2023	2024	2023
	No.	No.	No.	No.

Director	1	1	1	1
Employees	244	234	6	5

	245	235	7	6

Key management personnel are deemed to be the director. The director received remuneration during the year of £1,285,000 (2023: £1,527,022).

9.	INTEREST RECEIVABLE
		2024	2023
		£	£

Other interest receivable

66,616

72,373

10.	INTEREST PAYABLE AND SIMILAR EXPENSES
		2024	2023
		£	£

Bank interest payable	1,427,389	1,100,935
Finance leases and hire purchase contracts	11,832	6,546
Other interest payable	6,311	-
	1,445,532	1,107,481

Page 23

OHI CANNON CARE HOMES LTD (FORMERLY CANNON CARE HOMES LTD)

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 SEPTEMBER 2024

CORPORATION TAX
Current tax on profits for the year	457,007	437,421
Adjustments in respect of previous periods	288	-
TOTAL CURRENT TAX	457,295	437,421

DEFERRED TAX
Origination and reversal of timing differences	19,395	21,737
TOTAL DEFERRED TAX	19,395	21,737


	TAXATION ON PROFIT ON ORDINARY ACTIVITIES	476,690	459,158

Profit on ordinary activities before tax

1,711,219

2,093,481

Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 25.00% (2023: 22.01%)	427,805	461,015
EFFECTS OF:
Fixed asset timing differences	-	(3,282)
Expenses not deductible for tax purposes	48,497	4,254
Non-taxable income	-	(2,508)
Effect of change in tax rates on deferred tax balances	-	2,596
Adjustments in respects of prior periods (deferred tax)	388	-
Capital gains / (losses)	-	(2,917)
TOTAL TAX CHARGE FOR THE YEAR	476,690	459,158

12.	DIVIDENDS
		2024	2023
		£	£

Dividends paid

1,285,000

1,527,022

Page 24

OHI CANNON CARE HOMES LTD (FORMERLY CANNON CARE HOMES LTD)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 SEPTEMBER 2024

	13.	TANGIBLE FIXED ASSETS
		Group

	Freehold property	Plant and machinery	Motor vehicles	Fixtures and fittings	Office equipment	Total
	£	£	£	£	£	£
COST OR VALUATION
At 1 October 2023	30,408,106	201,037	243,529	2,268,168	21,685	33,142,525
Additions	-	3,713	-	69,638	6,370	79,721
Revaluations	(2,266,350)	-	-	-	-	(2,266,350)
At 30 September 2024	28,141,756	204,750	243,529	2,337,806	28,055	30,955,896
DEPRECIATION
At 1 October 2023	-	151,047	206,213	1,877,068	16,369	2,250,697
Charge for the year on owned assets	-	11,768	161	100,658	76	112,663
Charge for the year on financed assets	-	-	9,168	11,829	-	20,997
At 30 September 2024	-	162,815	215,542	1,989,555	16,445	2,384,357
NET BOOK VALUE
At 30 September 2024	28,141,756	41,935	27,987	348,251	11,610	28,571,539
At 30 September 2023	30,408,106	49,990	37,316	391,100	5,316	30,891,828

Page 25

OHI CANNON CARE HOMES LTD (FORMERLY CANNON CARE HOMES LTD)

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 SEPTEMBER 2024

13.TANGIBLE FIXED ASSETS (CONTINUED)

The net book value of assets held under finance leases or hire purchase contracts, included above, are as follows:
	2024	2023
	£	£


Plant and machinery	2,376	7,127
Motor vehicles	29,944	30,186
Furniture, fittings and equipment	31,825	46,233
	64,145	83,546

Cost of valuation at 30 September 2024 is as follows:

		2024	2023
		£	£


At Cost	9,195,649	9,195,649
At Valuation	18,946,107	21,212,457
	28,141,756	30,408,106

As noted within the strategic report the group is transferring its trade and assets to another group company following which it will cease to trade. The directors have assessed the recognised net value of the tangible assets and are confident that the value is at the lower of cost and net realisable value.

Page 26

OHI CANNON CARE HOMES LTD (FORMERLY CANNON CARE HOMES LTD)

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 SEPTEMBER 2024

13.TANGIBLE FIXED ASSETS (CONTINUED)

	Company

		Office equipment
		£
	COST OR VALUATION
	At 1 October 2023	16,674
	At 30 September 2024	16,674
	DEPRECIATION
	At 1 October 2023	16,369
	Charge for the year on owned assets	76
	At 30 September 2024	16,445
	NET BOOK VALUE
	At 30 September 2024	229
	At 30 September 2023	305

14.	FIXED ASSET INVESTMENTS

	Company

		Investments in subsidiary companies
		£
	COST OR VALUATION
	At 1 October 2023	3,911,453
	At 30 September 2024	3,911,453

Page 27

OHI CANNON CARE HOMES LTD (FORMERLY CANNON CARE HOMES LTD)

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 SEPTEMBER 2024

SUBSIDIARY UNDERTAKINGS
The following were subsidiary undertakings of the Company:
Name	Class of shares	Holding

OHI Cannon Care Home 4 LTD (Formerly known as Cannon Care Homes 4 Limited)	Ordinary £1	100%
OHI Thornfield Care LTD (Formerly known as Thornfield Care Limited)	Ordinary £1	100%
OHI Check House LTD (Formerly known as The Check House Limited)	Ordinary £1	100%
OHI Silverleigh LTD (Formerly known as Silverleigh Limited)	Ordinary £1	100%

OHI Cannon Care Homes 4 LTD (formerly known as Cannon Care Homes 4 Limited) holds 100% of the ordinary shares of OHI Silverleigh LTD (formerly known as Silverleigh Limited). The registered office of OHI Cannon Care Homes 4 LTD (formerly known as Cannon Care Homes 4 Limited), OHI Thornfield Care LTD (formerly known as Thornfield Care Limited), OHI Check House LTD (formerly known as The Check House Limited) and OHI Silverleigh LTD (formerly known as Silverleigh Limited) is C/O Arnold & Porter Kaye Scholer (Uk) Llp Tower 42, 25 Old Broad Street, London, England, EC2N 1HQ.

The aggregate of the share capital and reserves as at 30 September 2024 and the profit or loss for the year ended on that date for the subsidiary undertakings were as follows:
Name	Aggregate of share capital and reserves	Profit/(Loss)
	£	£

	-	-
OHI Thornfield Care LTD (formerly known as Thornfield Care Limited)	4,740,484	451,221
OHI Check House LTD (formerly known as The Check House Limited)	6,366,995	461,594
OHI Silverleigh LTD (formerly known as Silverleigh Limited)	8,012,964	500,211

Page 28

OHI CANNON CARE HOMES LTD (FORMERLY CANNON CARE HOMES LTD)

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 SEPTEMBER 2024

15.	STOCKS
		Group	Group
		2024	2023
		£	£

	Finished goods and goods for resale	8,970	7,370

16.

DEBTORS

Group	Group	Company	Company
2024	2023	2024	2023
£	£	£	£


Trade debtors	469,899	426,718	-	-
Amounts owed by group undertakings	-	-	8,652,825	9,788,807
Other debtors	5,051,595	4,207,216	4,994,872	4,165,199
Prepayments and accrued income	30,252	19,280	-	-
	5,551,746	4,653,214	13,647,697	13,954,006

17.	CASH AND CASH EQUIVALENTS
		Group	Group	Company	Company
		2024	2023	2024	2023
		£	£	£	£

	Cash at bank and in hand	101,779	280,586	75,864	177,228

Page 29

OHI CANNON CARE HOMES LTD (FORMERLY CANNON CARE HOMES LTD)

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 SEPTEMBER 2024

18.	CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
		Group	Group	Company	Company
		2024	2023	2024	2023
		£	£	£	£

Bank loans (note 20)	2,223,864	1,113,921	1,750,610	802,689
Other loans (note 20)	93,268	-	-	-
Trade creditors	137,991	135,993	-	-
Corporation tax	664,502	847,591	5,451	487,468
Other taxation and social security	163,448	92,247	10,041	-
Obligations under finance lease and hire purchase contracts	36,811	86,773	-	-
Other creditors	87,923	74,041	58,030	45,803
Accruals and deferred income	886,767	471,169	361,599	95,191
	4,294,574	2,821,735	2,185,731	1,431,151

Page 30

OHI CANNON CARE HOMES LTD (FORMERLY CANNON CARE HOMES LTD)

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 SEPTEMBER 2024

19.	CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR
		Group	Group	Company	Company
		2024	2023	2024	2023
		£	£	£	£

Bank loans (note 20)	14,351,584	15,113,923	14,043,593	14,642,426
Net obligations under finance leases and hire purchase contracts	7,229	19,267	-	-
	14,358,813	15,133,190	14,043,593	14,642,426

20.	LOANS
	Analysis of the maturity of loans is given below:
		Group	Group	Company	Company
		2024	2023	2024	2023
		£	£	£	£

AMOUNTS FALLING DUE WITHIN ONE YEAR
Bank loans	2,223,864	1,113,921	1,750,610	802,689
Other loans	93,268	-	-	-
AMOUNTS FALLING DUE 1-2 YEARS
Bank loans	1,192,320	1,337,573	884,329	866,075
AMOUNTS FALLING DUE 2-5 YEARS
Bank loans	2,762,466	2,390,346	2,762,466	2,390,346
AMOUNTS FALLING DUE AFTER MORE THAN 5 YEARS
Bank loans	10,396,798	11,386,004	10,396,798	11,386,004
	16,668,716	16,227,844	15,794,203	15,445,114

Page 31

OHI CANNON CARE HOMES LTD (FORMERLY CANNON CARE HOMES LTD)

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 SEPTEMBER 2024

20.LOANS (CONTINUED)

OHI Cannon Care Homes Ltd (formely known as Cannon Care Homes Limited)
OHI Cannon Care Homes Ltd (formerly known as Canon Care Homes Limited) Loan 1 - Interest is paid monthly at a rate of 2% on the carrying value of the loan. The term length of the loan is 216 months with final payment due in January 2038.
OHI Cannon Care Homes Ltd (formerly known as Canon Care Homes Limited) Loan 2 - Interest is paid monthly at a rate of 2.5% on the carrying value of the loan. The term length of the loan is 216 months with final payment due in January 2038.
OHI Cannon Care Homes Ltd (formerly known as Canon Care Homes Limited) Loan 3 - Interest is paid monthly at a rate of 2% on the carrying value of the loan. The term length of the loan is 216 months with final payment due in February 2038.
The director has provided a personal guarantee of £500,000.
Loan interest on all OHI Cannon Care Homes Ltd (formerly known as Canon Care Homes Limited) loans are levied based upon a margin above the UK base rate. Interest is charged per annum.
The loans are secured against the assets of the group.
OHI Silverleigh Ltd (formerly known as Silverleigh Limited)
OHI Silverleigh Ltd (formerly known as Silverleigh Limited) loan 1 totalling £89,990 at the balance sheet date has an interest rate of 8.9% per annum.
OHI Silverleigh Ltd (formerly known as Silverleigh Limited) loan 2 totalling £195,815 at the balance sheet date has an interest rate of 11.8% per annum.
OHI Silverleigh Ltd (formerly known as Silverleigh Limited) loan 3 totalling £147,635 at the balance sheet date has an interest of 9.89% per annum.
OHI Silverleigh Ltd (formerly known as Silverleigh Limited) loan 4 totalling £122,450 at the balance sheet date has an interest rate of 4.8% per annum.
The loans in OHI Silverleigh Ltd (formerly known as Silverleigh Limited) are secured by way of fixed and floating charge over the assets of the Company and by a cross guarantee over the assets of the Group.
Other loans are unsecured, repayable by monthly installments and incur a fixed interest charge. The loan is guaranteed by the Director at the year end.
OHI Check House Ltd (formerly known as The Check House Limited)
OHI Check House Ltd (formerly known as The Check House Limited) loan 1 - totalling £225,355 at the balance sheet date has an interest of 2.75% per day.
The director has provided a personal guarantee against OHI Check House Ltd (formerly known as The Check House Limited) loan 1.

Page 32

OHI CANNON CARE HOMES LTD (FORMERLY CANNON CARE HOMES LTD)

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 SEPTEMBER 2024

21.	HIRE PURCHASE AND FINANCE LEASES
	Minimum lease payments under hire purchase fall due as follows:
		Group	Group
		2024	2023
		£	£

Within one year	36,811	86,773
Between 1-5 years	7,229	14,128
Over 5 years	-	5,139
	44,040	106,040

22.	DEFERRED TAXATION
	Group

		2024
		£

	At beginning of year	(5,233,169)
	Charged to profit or loss	(19,395)
	Charged to other comprehensive income	566,588
	AT END OF YEAR	(4,685,976)


The provision for deferred taxation is made up as follows:
	Group	Group
	2024	2023
	£	£

Short term timing differences	2,970	4,547
Capital Gains	(4,223,160)	(4,789,747)
Fixed asset timing differences	(465,786)	(447,969)
	(4,685,976)	(5,233,169)

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OHI CANNON CARE HOMES LTD (FORMERLY CANNON CARE HOMES LTD)

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 SEPTEMBER 2024

23.	SHARE CAPITAL
		2024	2023
		£	£

ALLOTTED, CALLED UP AND PARTLY PAID

1 (2023: 1) Ordinary share of £1.00	1	1

24.

RESERVES

Profit and loss account

The Company and Group profit and loss reserves are represented cumulative profits and losses net of distributions to shareholders and by unrealised valuation gains on freehold property.
The profit and loss reserve is represented by £5,363,613 relating to distributable profits and £5,531,057 relating to previous revaluations of freehold property.

25.	PENSION COMMITMENTS

The Group operates a defined contributions pension scheme. The assets of the scheme are held separately from those of the Group in an independently administered fund. The pension contributions payable by the Group to the fund amounted to £150,262 (2023: £129,016). Contributions totalling £29,615 (2023: £26,782) were payable to the fund at the reporting date.

26.	TRANSACTIONS WITH DIRECTORS

At the year end, Mr R Cannon owed £4,543,766 (2023: £4,461,935) to the Company via his director's loan account. Interest is charged on this balance at 2.5% and there is no fixed date for repayment. However, the director will not seek settlement if detrimental to the company, it is probable that an element will not be settled with in the 12 months following the year end.

27.	RELATED PARTY TRANSACTIONS
	The Group is taking advantage of the exemption to disclose transactions between group members, where the subsidiary is wholly owned, as defined in section 33.1A of FRS102. During the year OHI Cannon Care Homes Ltd (formerly Cannon Care Homes Limited) paid £1,285,000 (2023: £1,527,022) in dividends to Mr R Cannon, the director of the Company.

28.	POST BALANCE SHEET EVENTS

After the year end, the group was acquired by Omega Healthcare Investors, Inc. on 18 October 2024. As part of this transaction, the company settled its obligations in full due to Triodos Bank Nv.
As noted in the strategic report, on 18 October 2024, the entire share capital of Cannon Care Home Limited (the company's ultimate parent company) was acquired by OHI UK Healthcare Properties Limited, a subsidiary of Omega Healthcare Investors, Inc.
Immediately following the ownership change the company's trade and assets were acquired by a fellow group company, excluding the property, which was not transferred until 31 December 2024.

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OHI CANNON CARE HOMES LTD (FORMERLY CANNON CARE HOMES LTD)

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 SEPTEMBER 2024

29.	CONTROLLING PARTY

As at 30 September 2024, the Company was under the control of Mr R Cannon.
After the year-end, the group within which the company forms a part, was acquired by Omega Healthcare Investors, Inc. Following this acquisition, the immediate parent company is OHI UK Healthcare Properties Ltd, ultimate parent company is Omega Healthcare Investors, Inc. There is no ultimate controlling party.

30.	CHARGES AND GUARANTEES

On the 12 January 2018 charges were registered in line with Chapter A1 Part 25 of the Companies Act 2006 with Companies House. Pursuant to the charge, Triodos Bank NV, acting through its registered office at Deanery Road, Bristol, BS1 5AS, placed a fixed and floating charge on all property of Group. Charges were satisfied on 23 October 2024.

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