REGISTERED NUMBER: 10355181 (England and Wales)

STRATEGIC REPORT, REPORT OF THE DIRECTORS AND

FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

FOR

SYDMAR LODGE LIMITED

Page

Company Information

1

Strategic Report

2

Report of the Directors

3

Report of the Independent Auditors

4

Income Statement

7

Other Comprehensive Income

8

Balance Sheet

9

Statement of Changes in Equity

10

Notes to the Financial Statements

11

DIRECTORS:

B S Bains

Mrs K K Bains

REGISTERED OFFICE:

Highdown House

11 Highdown Road

Leamington Spa

Warwickshire

CV31 1XT

REGISTERED NUMBER:

10355181 (England and Wales)

SENIOR STATUTORY AUDITOR:

Mark Ashfield BA FCA

AUDITORS:

HB&O Ltd

Chartered Accountants and Statutory Auditors

Highdown House

11 Highdown Road

Sydenham

Leamington Spa

Warwickshire

CV31 1XT

BANKERS:

Virgin Money

177 Bothwell Street

Glasgow

G2 7ER

The directors present their strategic report for the year ended 31 December 2024.

REVIEW OF BUSINESS

We aim to present a balanced and comprehensive review of the development and performance of our business during the year and its position at the year end. Our review is consistent with the size and nature of the business and is written in the context of the risks and uncertainties it faces.

We consider that the key financial performance indicators are those that communicate the financial performance and strength of the revenue, gross profit, profit before tax, cash reserves and net assets.

During the year the company has seen a slight decline in occupancy levels, resulting in a decrease in turnover to £3,931,973 (2023 - £4,077,318) and reports a gross profit of £2,176,158 (2023 - £2,471,373). Continued cost controls and close monitoring of staffing levels has enabled the entity to report a broadly consistent gross profit margin.

Overall, the profit before tax has decreased to £2,030,669 (2023 - £2,090,628). The company has substantial cash reserves at the year end and the balance sheet remains strong with net assets of £8,218,366 (2023 - £7,270,014 ).

PRINCIPAL RISKS AND UNCERTAINTIES

There continue to be significant challenges in the wider economic environment. Amongst other things, there have been stubborn inflation levels and continued pressures on costs.

The company appears well equipped to manage these challenges due to the strong financial performance of the business and healthy reserves to draw down upon, if necessary. The Board of Directors regularly identify, monitor and ensure appropriate processes are in place to mitigate the potential risks and uncertainties faced by the company.

FUTURE DEVELOPMENTS

In spite of ongoing challenges, the company has still traded very solidly during the year and continues to do so in 2025. The directors remain confident that the company will still be profitable in the forthcoming 12 months and beyond, with control over costs still considered to be a key strategy.

As such, the directors believe the company to be a going concern and have adopted this assumption in preparing the financial statements, having considered any material uncertainties in this regard for a period of at least 12 months from the date of approval of these financial statements.

ON BEHALF OF THE BOARD:

B S Bains - Director

22 December 2025

The directors present their report with the financial statements of the company for the year ended 31 December 2024.

PRINCIPAL ACTIVITY

The principal activity of the company in the year under review was that of the provision of nursing home care.

DIVIDENDS

Dividends of £575,000 (2023 - £575,000) will be distributed for the year ended 31 December 2024.

DIRECTORS

The directors shown below have held office during the whole of the period from 1 January 2024 to the date of this report.

B S Bains

Mrs K K Bains

DISCLOSURE IN THE STRATEGIC REPORT

The company's review of business, principal risks and uncertainties and future developments are disclosed within the strategic report.

STATEMENT OF DIRECTORS' RESPONSIBILITIES

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

-	select suitable accounting policies and 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 transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

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 company'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 company's auditors are aware of that information.

ON BEHALF OF THE BOARD:

B S Bains - Director

22 December 2025

Opinion

We have audited the financial statements of Sydmar Lodge Limited (the 'company') for the year ended 31 December 2024 which comprise the Income Statement, Other Comprehensive Income, Balance Sheet, Statement of Changes in Equity and Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

-	give a true and fair view of the state of the company's affairs as at 31 December 2024 and of its profit for the year then ended;

-	have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

-	have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the 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 Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon.

Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

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

-	the information given in the 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 Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report 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, or returns adequate for our audit have not been received from branches not visited by us; or

-	the financial statements are not in agreement with the accounting records and returns; or

-	certain disclosures of directors' remuneration specified by law are not made; or

-	we have not received all the information and explanations we require for our audit.

Responsibilities of directors

As explained more fully in the Statement of Directors' Responsibilities set out on page three, 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 company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.

Auditors' responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

The audit process includes an assessment of the entity's risk environment, through enquiry of and discussion with management, including an assessment of any key laws and regulations with which the company must comply in the ordinary course of its business.

Additionally, the overall risks of irregular transactions occurring are assessed following our observations and confirmation of the design and implementation of management's controls. Whilst we are mindful of these risks, our audit focus is geared towards the risk of material misstatement in the financial statements as a whole.

As such, our procedures cannot guarantee that all transactions have been fully compliant with all relevant laws and regulations, including those regulations relating to fraud, as our procedures are not designed to detect all instances of non-compliance. By definition, the risk of our detection of non-compliance is greater where compliance with a law or regulation is removed from the events and transactions reflected in the financial statements. The risk is also greater regarding irregularities due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.

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.

Mark Ashfield BA FCA (Senior Statutory Auditor)

for and on behalf of HB&O Ltd

Chartered Accountants and Statutory Auditors

Highdown House

11 Highdown Road

Sydenham

Leamington Spa

Warwickshire

CV31 1XT

22 December 2025

TURNOVER

3

3,931,973

4,077,318

Cost of sales

1,755,815

1,605,945

GROSS PROFIT

2,176,158

2,471,373

Administrative expenses

470,116

389,095

1,706,042

2,082,278

Other operating income

778

5,014

OPERATING PROFIT

5

1,706,820

2,087,292

Interest receivable and similar income

323,849

3,336

PROFIT BEFORE TAXATION

2,030,669

2,090,628

Tax on profit

6

483,074

516,418

PROFIT FOR THE FINANCIAL YEAR

1,547,595

1,574,210

PROFIT FOR THE YEAR

1,547,595

1,574,210

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

1,547,595

1,574,210

FIXED ASSETS

Tangible assets

8

5,762,202

5,680,513

CURRENT ASSETS

Debtors

9

732,447

1,036,700

Cash at bank and in hand

5,566,418

4,512,980

6,298,865

5,549,680

CREDITORS

Amounts falling due within one year

10

3,709,190

3,876,253

NET CURRENT ASSETS

2,589,675

1,673,427

TOTAL ASSETS LESS CURRENT LIABILITIES

8,351,877

7,353,940

PROVISIONS FOR LIABILITIES

12

109,268

83,926

NET ASSETS

8,242,609

7,270,014

CAPITAL AND RESERVES

Called up share capital

13

1

1

Retained earnings

14

8,242,608

7,270,013

SHAREHOLDERS' FUNDS

8,242,609

7,270,014

The financial statements were approved by the Board of Directors and authorised for issue on 22 December 2025 and were signed on its behalf by:

B S Bains - Director

Called up

share

Retained

Total

capital

earnings

equity

£

£

£

Balance at 1 January 2023

1

6,270,803

6,270,804

Changes in equity

Dividends

-

(575,000

)

(575,000

)

Total comprehensive income

-

1,574,210

1,574,210

Balance at 31 December 2023

1

7,270,013

7,270,014

Changes in equity

Dividends

-

(575,000

)

(575,000

)

Total comprehensive income

-

1,547,595

1,547,595

Balance at 31 December 2024

1

8,242,608

8,242,609

1.	STATUTORY INFORMATION

Sydmar Lodge Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page.

The presentation currency of the financial statements is the Pound Sterling (£).

The company's principal place of business is:-

Sydmar Lodge Care Home

201 Hale Lane

Edgeware

HA8 9QH

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

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. The financial statements have been prepared under the historical cost convention.

The accounts have been prepared in accordance with applicable accounting standards. The principal accounting policies adopted in the preparation of the financial statements are set out below and remain unchanged from the previous period.

Going concern

The financial statements have been prepared on a going concern basis as there are no material uncertainties about the company's ability to continue its operations.

Financial Reporting Standard 102 - reduced disclosure exemptions

The company has taken advantage of the following disclosure exemption in preparing these financial statements, as permitted by FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":

•

the requirements of Section 7 Statement of Cash Flows.

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.

Critical accounting judgements and key sources of estimation uncertainty

Accounting judgements and estimates relate primarily to depreciation and asset valuations. The directors do not believe that any accounting judgements or estimates are significant to the reported results of the entity.

Turnover

Turnover represents gross fee income charged to residents during the year.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Short leasehold

-

2% on cost

Plant and machinery

-

20% on reducing balance

Furniture and fittings

-

7.5% on reducing balance

Motor vehicles

-

25% on reducing balance

Computer equipment

-

Straight line over 3 years

Tangible fixed assets are stated at cost less accumulated depreciation and accumulated impairment losses. Cost includes costs directly attributable to making the asset capable of operating as intended.

It is the policy of the company to maintain its freehold property in a good condition with the cost of repairs and maintenance being charged to the profit and loss account. In the opinion of the directors the residual value of the property is approximately equal to its carrying value. As such, the directors consider that any such depreciation would be immaterial and this is further supported by way of an annual impairment review.

Government grants

Other operating income includes government grants which are recognised in the period in which they become receivable.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Deferred tax

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference.

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Pension costs and other post-retirement benefits

The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate.

Financial instruments

Loans and borrowings are initially recognised at the transaction price including transaction costs. Subsequently, they are measured at amortised cost using the effective interest rate method, less impairment.

Debtors and creditors with no stated interest rate and receivable or payable within one year are recorded at transaction price. Any losses arising from impairment are recognised in the income statement.

3.

TURNOVER

The turnover and profit before taxation are attributable to the one principal activity of the company.

4.	EMPLOYEES AND DIRECTORS

2024

2023

£

£

Wages and salaries

1,357,329

1,235,266

Social security costs

101,761

92,696

Other pension costs

24,064

21,247

1,483,154

1,349,209

The average number of employees during the year was as follows:

2024

2023

Management, administration and care

70

71

2024

2023

£

£

Directors' remuneration

-

-

5.	OPERATING PROFIT

The operating profit is stated after charging:

2024

2023

£

£

Depreciation - owned assets

54,802

46,719

Auditors remuneration

5,700

4,650

Other operating leases

23,170

-

6.

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

457,732

482,601

Deferred tax

25,342

33,817

Tax on profit

483,074

516,418

UK corporation tax has been charged at 25% (2023 - 23.50%).

Reconciliation of total tax charge included in profit and loss

The tax assessed for the year is lower than the standard rate of corporation tax in the UK. The difference is explained below:

2024

2023

£

£

Profit before tax

2,030,669

2,090,628

Profit multiplied by the standard rate of corporation tax in the UK of 25% (2023 - 23.500%)

507,667

491,298

Effects of:

Expenses not deductible for tax purposes

3,098

2,563

Capital allowances in excess of depreciation

(3,346

)

(6,162

)

Deferred tax movement

25,342

33,817

Group relief

(49,687

)

(5,098

)

Total tax charge

483,074

516,418

During the year the UK corporation tax rate remained at 25% and is set to remain so for the foreseeable future.

7.

DIVIDENDS

2024

2023

£

£

Interim

575,000

575,000

8.	TANGIBLE FIXED ASSETS

Freehold

Short

Plant and

buildings

leasehold

machinery

£

£

£

COST

At 1 January 2024

5,187,500

72,677

63,755

Additions

-

-

14,580

At 31 December 2024

5,187,500

72,677

78,335

DEPRECIATION

At 1 January 2024

-

10,659

29,035

Charge for year

-

1,454

9,048

At 31 December 2024

-

12,113

38,083

NET BOOK VALUE

At 31 December 2024

5,187,500

60,564

40,252

At 31 December 2023

5,187,500

62,018

34,720

Furniture

and

Motor

Computer

fittings

vehicles

equipment

Totals

£

£

£

£

COST

At 1 January 2024

553,309

49,469

29,138

5,955,848

Additions

120,417

-

1,494

136,491

At 31 December 2024

673,726

49,469

30,632

6,092,339

DEPRECIATION

At 1 January 2024

188,013

28,609

19,019

275,335

Charge for year

33,191

5,215

5,894

54,802

At 31 December 2024

221,204

33,824

24,913

330,137

NET BOOK VALUE

At 31 December 2024

452,522

15,645

5,719

5,762,202

At 31 December 2023

365,296

20,860

10,119

5,680,513

9.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2024

2023

£

£

Trade debtors

97,112

393,117

Amounts owed by group undertakings

475,076

627,055

Other debtors

5,047

5,651

Prepayments and accrued income

155,212

10,877

732,447

1,036,700

10.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2024

2023

£

£

Trade creditors

14,659

18,196

Amounts owed to group undertakings

3,404,352

3,434,240

Tax

166,422

196,287

Social security and other taxes

-

31,740

Other creditors

1,472

4,536

Directors' current accounts

5,094

90,381

Accruals and deferred income

117,191

100,873

3,709,190

3,876,253

11.	LEASING AGREEMENTS

Minimum lease payments under non-cancellable operating leases fall due as follows:

2024

2023

£

£

Within one year

21,297

-

Between one and five years

23,072

-

44,369

-

12.	PROVISIONS FOR LIABILITIES

2024

2023

£

£

Deferred tax

Accelerated capital allowances

109,268

83,926

Deferred

tax

£

Balance at 1 January 2024

83,926

Provided during year

25,342

Balance at 31 December 2024

109,268

13.	CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:

Number:

Class:

Nominal

2024

2023

value:

£

£

1

Ordinary

£1

1

1

All Ordinary shares rank pari passu with respect to voting rights, the rights to distribution of dividends and the repayment of capital.

14.

RESERVES

Retained

earnings

£

At 1 January 2024

7,270,013

Profit for the year

1,547,595

Dividends

(575,000

)

At 31 December 2024

8,242,608

Retained earnings

This reserve represents all current and prior year retained profits and losses.