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Strata Homes Limited Registered number: 01709069 Annual report and financial statements For the period ended 28 June 2025
STRATA HOMES LIMITED COMPANY INFORMATION
Directors | A Weaver
| G Smith
| M Leaf
| M Strong
Registered number | 01709069
Registered office | Quay Point
| Lakeside Boulevard
| Doncaster
| DN4 5PL
Independent auditor | Grant Thornton UK LLP
| City Square House
| 11 Wellington Place
| Leeds
| LS1 4DL
Bankers | Lloyds Bank
| 14 Church Square
| Sheffield
| S1 1HP
STRATA HOMES LIMITED CONTENTS
| Page
Strategic Report | 1 - 2
Directors' Report | 3 - 6
Independent Auditor's Report to the members of Strata Homes Limited | 7 - 11
Statement of Comprehensive Income | 12
Statement of Financial Position | 13
Statement of Changes in Equity | 14
Notes to the Financial Statements | 15 - 35
STRATA HOMES LIMITED STRATEGIC REPORT FOR THE PERIOD ENDED 28 JUNE 2025
Principal activities
The principal activity of the Company is that of a holding company. The Company is not a cash generating entity and relies on cash receipts provided by the wider Strata Homes Group.
Business review
In the period the Company made a profit before tax of £11,543k (2024: £19,682k). Excluding £15,745k of dividends received from its subsidiaries, Strata Homes Yorkshire Limited and Strata Homes Midlands Limited, a £4,202k loss before tax arose. All losses arose from administration expenses and interest on accrued on the Company’s RCF facility. The Company is the borrower of funds from Lloyds Bank Plc and acts as internal lender to companies within the Strata Homes Group. Accordingly, all such interest on the Lloyds Bank Plc debt is incurred by the Company and no interest is charged on intra-group balances. The Company is 100% owned by Strata Homes Holdings Limited (registered number: 09138156) and the financial statements of Strata Homes Group Limited contain the consolidated results of the Strata Homes Group. Readers of these financial statements, the Company, should also read the financial statements of the ultimate UK parent company, Strata Homes Group Limited.
Activities during the year under review
The Company holds the Group’s debt facility provided by Lloyds Bank Plc and incurs the associated interest and costs. The Company also holds the Group’s fixed assets and incurs administration costs. The Company Statement of Financial Position reflects the cost of investment in owned subsidiaries, fixed and intangibles assets, inter-group assets and liabilities and the debt facility. The Company received a cash dividend from its wholly owned subsidiary, Strata Homes Limited of £15,745k and, the Company paid a £6m cash dividend to its parent company, Strata Homes Holdings Limited.
Financing
The Company is a Guarantor of the debt facilities provided by Lloyds Bank Plc to the Strata Homes Group. Readers of these financial statements, the Company, should also read the financial statements of the ultimate UK parent company, Strata Homes Group Limited.
Key performance indicators
Please see the Strata Homes Group Limited financial statements for further details of the wider Strata Homes Group.
Risk management
As the Company is a holding company and relies upon the Strata Homes Group for funding, the reader is referred to the financial statements of Strata Homes Group Limited for a wider understanding of the risks facing the Strata Homes Group. - 1 -
STRATA HOMES LIMITED STRATEGIC REPORT (CONTINUED) FOR THE PERIOD ENDED 28 JUNE 2025
Risk and uncertainties
Economic impact of global events Over the last few years in particular, the UK economy and crucially, the housebuilding sector, has had to consider and navigate the impact of conflicts around the world and the long-term impact of BREXIT. As a result, interest rates have increased impacting both the cost of build and customer affordability; supply chain and labour shortage issues. The Company has also been affected by changes to Stamp Duty that came into effect from 1 April 2025 where the nil-rate band has been reduced to £300k. The changes have increased the upfront transaction costs for buyers in our main price market. As the directors look ahead with acceptance of the new norm of such factors, the future is perhaps a little more stable. Interest rates have started to decrease, and inflation has moved to parameters that within which Bank of England wish to see the economy operate, although this is not the same as deflation. The UK government has made a clear commitment to increasing housing supply across all tenures. How and when that objective starts to be physically seen in the increase in output of new housing is probably less optimistic, given the many inter-related elements that are required to be addressed from those that are short term in nature and those that are long-term. Net overall, the housebuilding sector is more optimistic about the future than that it was. The directors have taken account of these potential impacts in their going concern assessment. Strata Homes Limited continues to work with its partners to minimise any impacts of these events and maximise the realisation of any opportunities they may provide to the business.
Section 172 update
The directors consider the requirements of key stakeholders with a focus on the developments of long term relationships in all areas of the business. The directors endeavour to develop and maintain strong long term supplier relationships with its key business partners by contracting on standard business terms and prompt payment in line with agreed terms. There are long standing relationships with key suppliers that ensure the quality of products and services provided and the continuity of the supply chain. Given the non trading nature of the Company, being a holding Company only, the directors of Strata Homes Limited consider that their responsibilities, in respect of s172, are appropriately complied with and are disclosed fully within relevant group entities. Details of these matters, in respect of the trading entity or the wider group, can be found in the financial statements of Strata Homes Group Limited. This report was approved by the board on 4 February 2026 and signed on its behalf.
A Weaver Director
- 2 -
STRATA HOMES LIMITED DIRECTORS' REPORT FOR THE PERIOD ENDED 28 JUNE 2025 The directors present their report and the financial statements for the period ended 28 June 2025.
Statement of directors’ responsibilities in respect of the Strategic Report, the Directors’ Report and the financial statements
The directors are responsible for preparing the Strategic Report, the Directors' Report and the financial statements in accordance with applicable law and regulations. Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with 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 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 for the Company's financial statements and then apply them consistently; ∙make judgments and accounting estimates that are reasonable and prudent; ∙state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and ∙prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Company will continue in business. The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the Company's transactions and disclose with reasonable accuracy at any time the financial position of the Company and 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 hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Financial risk management
The Group’s operations expose it to a variety of financial risks, including price risk, credit risk, liquidity risk, and cash flow risk. The Directors have established policies to monitor and mitigate these exposures to ensure the long-term viability of the business. The Company does not enter into complex financial instruments or speculative derivative contracts. Furthermore, the Company does not currently apply hedge accounting for forecasted transactions. The Directors consider that specific disclosures regarding financial risk management objectives, policies, and the company's exposure to price, credit, liquidity, and cash flow risks are not material for an assessment of the entity's assets, liabilities, financial position, and profit or loss for the period ended 28 June 2025.
Results and dividends
The profit for the period, after taxation, amounted to £12,331 k (2024: £20,858 k). During the period the Company paid dividends to holders of the Ordinary shares of £6m (2024: £18m) to its parent company, Strata Homes Holdings Limited. No further dividends were proposed. - 3 -
STRATA HOMES LIMITED DIRECTORS' REPORT (CONTINUED) FOR THE PERIOD ENDED 28 JUNE 2025
Directors
The directors who served during the period were:
A Weaver
G Smith
M Leaf
M Strong
Going concern The Company is part of the Strata Homes Group of companies. Strata Homes Limited is the Borrower under a facility provided by Lloyds Bank Plc as Lender that matures on 29 June 2026, as was the position on the balance sheet date. Please see below for the post balance sheet date changes to the facility. The Company is a party to this facility and accordingly has entered an unlimited guarantee supported by a debenture creating a fixed and floating charge to secure the borrowing under the facility. Accordingly, the Company is dependent upon the Strata Homes Group remaining a going concern for the Company to also state that it is a going concern. Noted below, is the wording contained within the Strata Homes Group Limited that allows the Company to state that the directors believe that the Company is a going concern. As noted within the Strata Homes Group Limited Strategic Report, Financing section, the Strata Homes Group is supported by a debt facility between Strata Homes Limited as Borrower and Lloyds Bank Plc as Lender. See note 25. Post the balance sheet date, the Strata Homes Group and Lloyds Bank Plc have entered into a new lending facility which runs to 30 June 2028. The facility comprises an overdraft facility of £5m and revolving credit facility of £31.4m, total facility of £36.4m. The revolving credit facility decreases to £28m on 01 June 2026 and to £25.9m on 01 October 2026. The overdraft remains at £5m. The Strata Homes Group Limited also has other debt owed to connected parties. The debt comprises loan notes, preference shares and a short-term loan. The loan notes and preference shares were subject to a post balance sheet debt amendment agreement executed 31 October 2025. Please refer to the Strata Homes Group Limited annual report and financial statements for the period to 28 June 2025 for further detail. No payments will be made by the Strata Homes Group to any of the related party debt holders during the going concern period. The directors of the Company and therefore the Strata Homes Group have considered the following factors in relation to concluding their going concern assumption up to 27 March 2027: ∙A new facility has been executed on 17 December 2025 between Lloyds Bank Plc and the Strata Homes Group. Please see details of facility value and terms above. ∙The Strata Homes Group maintains a rolling business plan that is updated quarterly and is reviewed by the board of the Strata Homes Group. ∙The Strata Homes Group maintains a rolling weekly cash flow report that forecasts for six months in advance and is reviewed by the Executive weekly and the board of Strata Homes Group monthly. ∙A monthly review is undertaken of all live and completed sites from a build cost and sales rate, mix and value perspective. This ensures consistent lifetime margin recognition. - 4 -
STRATA HOMES LIMITED DIRECTORS' REPORT (CONTINUED) FOR THE PERIOD ENDED 28 JUNE 2025 Going concern (continued) ∙The business now operates a two-income stream with differing investment and return profiles. Open Market Sales (“OMS”) requires Lloyds Bank Plc debt funding while Pre-Sold does not. The change in the business model has decreased the overall debt requirements and lessened the debt financing needs and liquidity risks of the business. ∙The OMS forecast for completions in the year to June 2026 is 293 homes to be completed. As at 31 January 2026, 43% are complete, 12% are exchanged, 28% are sold awaiting exchange and 17% are still to be sold, with 5 months of selling period still available. ∙The Pre-Sold profit and net cash expected to be obtained in the year to June 2025 is all on site and under contract. The Company has stress tested various single and multiple plausible but severe scenarios and on a severe and implausible scenario against the Strata Homes Group’s forecasts that reflect the above plans, with a particular focus on sales rates and timing of open market completions, these being the most likely risk for the business. Based on these forecasts, sensitivities and financing these agreements, the directors have concluded the Strata Homes Group has sufficient funds to continue in operational existence for the foreseeable future.
Carbon and Energy reporting
The Company has taken the option to exclude any information relating to energy and carbon reporting as it is included in the consolidated accounts of the Parent Company, Strata Homes Group Limited.
Directors' indemnities
Directors' and officers' insurance is in place for all directors to provide appropriate cover for their reasonable actions on behalf of the Company. No further directors' indemnities are in place.
Future developments
The Company will continue to act as a holding company for its subsidiary undertakings and the directors do not anticipate any significant changes in the Company's activities or its nature. The Company will continue to monitor the performance of its investments and provide support to the Group as required to meet its strategic objectives.
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'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's auditor is aware of that information. - 5 -
STRATA HOMES LIMITED DIRECTORS' REPORT (CONTINUED) FOR THE PERIOD ENDED 28 JUNE 2025
Post balance sheet events
Since 28 June 2025 and up to the date of approving the financial statements, the following transactions have been concluded. As detailed in the Strata Homes Group Strategic report, the Group has successfully entered into a new lending facility with Lloyds Bank Plc, providing committed funding through to 30 June 2028. On 31 October 2025, the Group executed a post balance sheet debt amendment agreement regarding its liabilities to connected parties. This agreement affects the terms of the Group’s existing loan notes and preference shares (further details of which are disclosed in Strata Homes Group Limited’s annual report and financial statements for the period ended 28 June 2025). The debt amendment has been determined to be a substantial modification. As the lenders involved are related parties acting in their capacity as shareholders the transaction has been treated as a capital contribution. The resulting gain has been credited directly to equity rather than through the Group’s profit or loss. See the Strata Homes Group Limited annual accounts for more detail on these events.
Auditor
The auditor, Grant Thornton UK LLP, will be proposed for reappointment in accordance with section 485 of the Companies Act 2006. This report was approved by the board on 4 February 2026 and signed on its behalf.
A Weaver Director
Quay Point
Lakeside Boulevard
Doncaster
DN4 5PL
- 6 -
STRATA HOMES LIMITED INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF STRATA HOMES LIMITED
Opinion
We have audited the financial statements of Strata Homes Limited (the 'Company') for the period from 30 June 2024 to 28 June 2025, which comprise the Statement of Comprehensive Income, the Statement of Financial Position, the Statement of Changes in Equity and the 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 28 June 2025 and of its profit for the period then ended; ∙the financial statements have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and ∙the financial statements 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’s 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. - 7 -
STRATA HOMES LIMITED INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF STRATA HOMES LIMITED (CONTINUED)
Conclusions relating to going concern
We are responsible for concluding 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 report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify the auditor’s opinion. Our conclusions are based on the audit evidence obtained up to the date of our report. However, future events or conditions may cause the company to cease to continue as a going concern. In our evaluation of the directors’ conclusions, we considered the inherent risks associated with the company's business model including effects arising from macro-economic uncertainties such as inflation and the continued cost of living crisis, we assessed and challenged the reasonableness of estimates made by the directors and the related disclosures and analysed how those risks might affect the company's financial resources or ability to continue operations over the going concern period. 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 other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. The directors are responsible for the other information contained within the annual report. 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. 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 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. - 8 -
STRATA HOMES LIMITED INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF STRATA HOMES LIMITED (CONTINUED)
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 the Directors' Report for the financial period for which the financial statements are prepared is consistent with the financial statements; and ∙the Strategic Report and the Directors' Report have been prepared in accordance with applicable legal requirements.
Matters on which we are required to report under the Companies Act 2006
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 Directors' 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, 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 from the financial statements
As explained more fully in the Directors' Responsibilities Statement 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 Company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the Company or to cease operations, or have no realistic alternative but to do so.
Auditor's responsibilities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. - 9 -
STRATA HOMES LIMITED INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF STRATA HOMES LIMITED (CONTINUED) Auditor's responsibilities for the audit of the financial statements (continued) Irregularities, including fraud, are instances of non-compliance with laws and regulations. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: ∙We obtained an understanding of the legal and regulatory frameworks that are applicable to the company and determined that the most significant are financial reporting legislation being FRS 102, Companies Act 2006, and relevant UK tax legislation. ∙We understood how the company is complying with those legal and regulatory frameworks by making inquiries of management and those responsible for legal and compliance procedures. We enquired of management and those charged with governance whether there were any instances of non-compliance with laws and regulations, or whether they had any knowledge of actual or suspected fraud. We corroborated the results of our enquiries through review of meeting minutes and legal and professional fee expenditure. ∙We assessed the susceptibility of the company’s financial statements to material misstatement, including how fraud might occur, by evaluating management's incentives and opportunities for manipulation of the financial statements. This included the evaluation of the risk of management override of controls. ∙In assessing the potential risks of material misstatement, we obtained an understanding of: −the company’s operations, including the nature of their revenue and of their objectives and strategies to understand the classes of transactions, account balances, expected financial disclosures and business risks that may result in material misstatement; −the company’s control environment, including the adequacy of the training to inform staff of the relevant legislation, the adequacy of procedures for authorisation of transactions, and procedures to ensure that possible breaches of requirements are appropriately resolved. ∙Audit procedures performed by the engagement team included: −identifying and assessing the design and implementation of controls management has in place to prevent and detect fraud; −identifying and testing journal entries, in particular journal postings that had material effect on the financial statements and those determined to be large or relating to unusual transactions based on our understanding of the business; −challenging assumptions and judgments made by management in its significant accounting estimates; and −completion of audit procedures to conclude on the compliance of disclosures in the annual report and accounts with applicable financial reporting requirements. ∙These audit procedures were designed to provide reasonable assurance that the financial statements were free from fraud or error. The risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error and detecting irregularities that result from fraud is inherently more difficult than detecting those that result from error, as fraud may involve collusion, deliberate concealment, forgery or intentional misrepresentations. Also, the further removed non-compliance with laws and regulations is from events and transactions reflected in the financial statements, the less likely we would become aware of it; ∙The engagement partner's assessment of the appropriateness of the collective competence and capabilities of the engagement team included consideration of the engagement team's: −Understanding of, and practical experience with audit engagements of a similar nature and complexity through appropriate training and participation; −Knowledge of the industry in which the client operates; and −Understanding of the legal and regulatory requirements specific to the entity. ∙We communicated relevant laws and regulations and potential risks to all engagement team members and remained alert to indications of fraud or non-compliance with laws and regulations throughout the audit. - 10 -
STRATA HOMES LIMITED INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF STRATA HOMES LIMITED (CONTINUED) 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. Victoria McLoughlin Senior Statutory Auditor for and on behalf of Grant Thornton UK LLP Statutory Auditor, Chartered Accountants Leeds 4 February 2026 - 11 -
STRATA HOMES LIMITED STATEMENT OF COMPREHENSIVE INCOME FOR THE PERIOD ENDED 28 JUNE 2025
| 2025 | 2024
Note | £000 | £000
Administrative expenses |  | (2,532) | (2,415)
Exceptional administrative expenses | 4 | 248 | (346)
Operating loss | 5 | (2,284) | (2,761)
Income from shares in group undertakings |  | 15,745 | 26,000
Interest receivable and similar income | 8 | - | 4
Interest payable and similar expenses | 9 | (1,918) | (3,561)
Profit before tax |  | 11,543 | 19,682
Tax on profit | 10 | 788 | 1,176
Profit for the financial period |  | 12,331 | 20,858
There were no recognised gains and losses for 2025 or 2024 other than those included in the statement of comprehensive income.
There was no other comprehensive income for 2025 (2024: £NIL).
The notes on pages 15 to 35 form part of these financial statements.
- 12 -
STRATA HOMES LIMITED REGISTERED NUMBER: 01709069 STATEMENT OF FINANCIAL POSITION AS AT 28 JUNE 2025
|  | 28 June |  | 29 June
|  | 2025 |  | 2024
Note |  | £000 |  | £000
Fixed assets |  |  |  |  |
Intangible assets | 12 |  | 288 |  | -
Tangible assets | 13 |  | 683 |  | 1,022
Investments | 14 |  | 1,922 |  | 119
|  |  | 2,893 |  | 1,141
Current assets |  |  |  |  |
Debtors: amounts falling due within one year | 15 | 26,487 |  | 44,965 |
Cash at bank and in hand | 16 | 37 |  | 79 |
|  | 26,524 |  | 45,044 |
Creditors: amounts falling due within one year | 17 | (3,676) |  | (44,775) |
Net current assets |  |  | 22,848 |  | 269
Total assets less current liabilities |  |  | 25,741 |  | 1,410
Creditors: amounts falling due after more than one year | 18 |  | (18,000) |  | -
Net assets |  |  | 7,741 |  | 1,410
Capital and reserves |  |  |  |  |
Called up share capital | 21 |  | 44 |  | 44
Share premium account | 23 |  | 237 |  | 237
Capital redemption reserve | 23 |  | 624 |  | 624
Profit and loss account | 23 |  | 6,836 |  | 505
|  |  | 7,741 |  | 1,410
The financial statements were approved and authorised for issue by the board and were signed on its behalf on 4 February 2026.
A Weaver
Director
The notes on pages 15 to 35 form part of these financial statements. - 13 -
STRATA HOMES LIMITED STATEMENT OF CHANGES IN EQUITY FOR THE PERIOD ENDED 28 JUNE 2025
| Called up share capital | Share premium account | Capital redemption reserve | Profit and loss account | Total equity
| £000 | £000 | £000 | £000 | £000
At 1 July 2023 | 52 | 619 | 624 | (2,353) | (1,058)
Comprehensive income for the period |  |  |  |  |
Profit for the period | - | - | - | 20,858 | 20,858
Total comprehensive income for the period | - | - | - | 20,858 | 20,858
Contributions by and distributions to owners |  |  |  |  |
Dividends: Equity capital | - | - | - | (18,000) | (18,000)
Shares redeemed during the period | (8) | (382) | - | - | (390)
Total transactions with owners | (8) | (382) | - | (18,000) | (18,390)
At 29 June 2024 | 44 | 237 | 624 | 505 | 1,410
Comprehensive income for the period |  |  |  |  |
Profit for the period | - | - | - | 12,331 | 12,331
Total comprehensive income for the period | - | - | - | 12,331 | 12,331
Contributions by and distributions to owners |  |  |  |  |
Dividends: Equity capital | - | - | - | (6,000) | (6,000)
Total transactions with owners | - | - | - | (6,000) | (6,000)
At 28 June 2025 | 44 | 237 | 624 | 6,836 | 7,741
- 14 -
STRATA HOMES LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE PERIOD ENDED 28 JUNE 2025
1. | General information
Strata Homes Limited (the “Company”) is a private company, limited by shares and registered in England and Wales, registered number 01709069. The registered office is Quay Point, Lakeside Boulevard, Doncaster, DN4 5PL. The principal activity of Strata Homes Limited is that of a holding company. The Company's accounting reference date is 30 June. 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 management to exercise judgment in applying the Company's accounting policies (see note 3). The Company is exempt by virtue of s400 of the Companies Act 2006 from the requirement to prepared group financial statements. These financial statements present information about the Company as an individual undertaking and not about its group. The financial statements have been presented in pound sterling which is the functional currency of the Group, and rounded to the nearest £'000. The following principal accounting policies have been applied:
| 2.2 | Financial Reporting Standard 102 - reduced disclosure exemptions
The Company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by the FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland": ∙the requirements of Section 7 Statement of Cash Flows; ∙the requirements of Section 3 Financial Statement Presentation paragraph 3.17(d); ∙the requirements of Section 11 Financial Instruments paragraphs 11.41(b), 11.41(c), 11.41(e), 11.41(f), 11.42, 11.44 to 11.45, 11.47, 11.48(a)(iii), 11.48(a)(iv), 11.48(b) and 11.48(c); ∙the requirements of Section 12 Other Financial Instruments paragraphs 12.26 to 12.27, 12.29(a), 12.29(b) and 12.29A; ∙the requirements of Section 26 Share-based Payment paragraphs 26.18(b), 26.19 to 26.21 and 26.23; ∙the requirements of Section 33 Related Party Disclosures paragraph 33.7. This information is included in the consolidated financial statements of Strata Homes Group Limited as at 28 June 2025 and these financial statements may be obtained from Quay Point, Lakeside Boulevard, Doncaster, DN4 5PL. - 15 -
STRATA HOMES LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE PERIOD ENDED 28 JUNE 2025 2.Accounting policies (continued)
| 2.3 | Going concern
The Company is part of the Strata Homes Group of companies. Strata Homes Limited is the Borrower under a facility provided by Lloyds Bank Plc as Lender that matures on 29 June 2026, as was the position on the balance sheet date. Please see below for the post balance sheet date changes to the facility. The Company is a party to this facility and accordingly has entered an unlimited guarantee supported by a debenture creating a fixed and floating charge to secure the borrowing under the facility. Accordingly, the Company is dependent upon the Strata Homes Group remaining a going concern for the Company to also state that it is a going concern. Noted below, is the wording contained within the Strata Homes Group Limited that allows the Company to state that the directors believe that the Company is a going concern. As noted within the Strata Homes Group Limited Strategic Report, Financing section, the Strata Homes Group is supported by a debt facility between Strata Homes Limited as Borrower and Lloyds Bank Plc as Lender. See note 25. Post the balance sheet date, the Strata Homes Group and Lloyds Bank Plc have entered into a new lending facility which runs to 30 June 2028. The facility comprises an overdraft facility of £5m and revolving credit facility of £31.4m, total facility of £36.4m. The revolving credit facility decreases to £28m on 01 June 2026 and to £25.9m on 01 October 2026. The overdraft remains at £5m. The Strata Homes Group Limited also has other debt owed to connected parties. The debt comprises loan notes, preference shares and a short-term loan. The loan notes and preference shares were subject to a post balance sheet debt amendment agreement executed 31 October 2025. Please refer to the Strata Homes Group Limited annual report and financial statements for the period to 28 June 2025 for further detail. No payments will be made by the Strata Homes Group to any of the related party debt holders during the going concern period. The directors of the Company and therefore the Strata Homes Group have considered the following factors in relation to concluding their going concern assumption up to 27 March 2027: ∙A new facility has been executed on 17 December 2025 between Lloyds Bank Plc and the Strata Homes Group. Please see details of facility value and terms above. ∙The Strata Homes Group maintains a rolling business plan that is updated quarterly and is reviewed by the board of the Strata Homes Group. ∙The Strata Homes Group maintains a rolling weekly cash flow report that forecasts for six months in advance and is reviewed by the Executive weekly and the board of Strata Homes Group monthly. ∙A monthly review is undertaken of all live and completed sites from a build cost and sales rate, mix and value perspective. This ensures consistent lifetime margin recognition. ∙The business now operates a two-income stream with differing investment and return profiles. Open Market Sales (“OMS”) requires Lloyds Bank Plc debt funding while Pre-Sold does not. The change in the business model has decreased the overall debt requirements and lessened the debt financing needs and liquidity risks of the business. ∙The OMS forecast for completions in the year to June 2026 is 293 homes to be completed. As at 31 January 2026, 43% are complete, 12% are exchanged, 28% are sold awaiting exchange and 17% are still to be sold, with 5 months of selling period still available. ∙The Pre-Sold profit and net cash expected to be obtained in the year to June 2025 is all on site and under contract. - 16 -
STRATA HOMES LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE PERIOD ENDED 28 JUNE 2025 2.Accounting policies (continued)
| 2.3 | Going concern (continued)
The Company has stress tested various single and multiple plausible but severe scenarios and on a severe and implausible scenario against the Strata Homes Group’s forecasts that reflect the above plans, with a particular focus on sales rates and timing of open market completions, these being the most likely risk for the business. Based on these forecasts, sensitivities and financing these agreements, the directors have concluded the Strata Homes Group has sufficient funds to continue in operational existence for the foreseeable future.
| 2.4 | Operating leases: the Company 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.
| 2.5 | Interest income
Interest income is recognised in profit or loss using the effective interest method.
| 2.6 | 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.
| 2.7 | Borrowing costs
All borrowing costs are recognised in profit or loss in the period in which they are incurred unless they relate to the arrangement of longer term facilities. In this situation the borrowings costs are capitalised and amortised over the term of the facility. - 17 -
STRATA HOMES LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE PERIOD ENDED 28 JUNE 2025 2.Accounting policies (continued)
| 2.8 | Current and deferred taxation
The tax expense for the period 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 operates and generates 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; and ∙Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met. 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.
| 2.9 | Exceptional items
Exceptional items are transactions that fall within the ordinary activities of the Company but are presented separately due to their size or incidence.
| 2.10 | Intangible assets
Intangible assets are initially recognised at cost. After recognition, under the cost model, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses. All intangible assets are considered to have a finite useful life. If a reliable estimate of the useful life cannot be made, the useful life shall not exceed ten years. Amortisation is provided on the following bases:
|  |  |  | Computer software | - | 25% |
- 18 -
STRATA HOMES LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE PERIOD ENDED 28 JUNE 2025 2.Accounting policies (continued)
| 2.11 | 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. Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using the straight-line method. Depreciation is provided on the following basis:
|  |  |  | Fixtures & fittings | - | 10 - 25%
|  |  |  | Computer equipment | - | 25%
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.
| 2.12 | Valuation of investments
Investments in subsidiaries are measured at cost less accumulated impairment.
| 2.13 | Associates and joint ventures
An entity is treated as a joint venture where the Group is a party to a contractual agreement with one or more parties from outside the Group to undertake an economic activity that is subject to joint control. An entity is treated as an associated undertaking where the Group exercises significant influence in that it has the power to participate in the operating and financial policy decisions. Where a group company is party to a joint venture which is not an entity that company accounts directly for its part of the income and expenditure, assets, liabilities and cash flows. Such arrangements are reported in the consolidated financial statements on the same basis. In the parent financial statements, investments in associates and jointly controlled entities are carried at cost less impairment.
| 2.14 | 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. - 19 -
STRATA HOMES LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE PERIOD ENDED 28 JUNE 2025 2.Accounting policies (continued)
| 2.15 | 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.
| 2.16 | 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.
| 2.17 | Provisions for liabilities
Provisions are made where an event has taken place that gives the Group a legal or constructive obligation that probably requires settlement by a transfer of economic benefit, and a reliable estimate can be made of the amount of the obligation. Provisions are charged as an expense to profit or loss in the year that the Group becomes aware of the obligation, and are measured at the best estimate at the reporting date of the expenditure required to settle the obligation, taking into account relevant risks and uncertainties. When payments are eventually made, they are charged to the provision carried in the Statement of Financial Position.
| 2.18 | Financial instruments
Financial instruments are recognised in the Company's Statement of Financial Position when the Company becomes party to the contractual provisions of the instrument. Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously. Basic financial assets Basic financial assets, which include trade and other debtors, cash and bank balances, are initially measured at their transaction price (adjusted for transaction costs except in the initial measurement of financial assets that are subsequently measured at fair value through profit and loss) and are subsequently carried at their amortised cost using the effective interest method, less any provision for impairment, unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Discounting is omitted where the effect of discounting is immaterial. The Company's cash and cash equivalents, trade and most other debtors due with the operating cycle fall into this category of financial instruments. - 20 -
STRATA HOMES LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE PERIOD ENDED 28 JUNE 2025 2.Accounting policies (continued)
| 2.18 | Financial instruments (continued)
Impairment of financial assets At the end of each reporting period financial assets measured at amortised cost are assessed for objective evidence of impairment. If an asset is impaired the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset’s original effective interest rate. The impairment loss is recognised in profit or loss. Financial assets are impaired when events, subsequent to their initial recognition, indicate the estimated future cash flows derived from the financial asset(s) have been adversely impacted. The impairment loss will be the difference between the current carrying amount and the present value of the future cash flows at the asset(s) original effective interest rate. If there is a favourable change in relation to the events surrounding the impairment loss then the impairment can be reviewed for possible reversal. The reversal will not cause the current carrying amount to exceed the original carrying amount had the impairment not been recognised. The impairment reversal is recognised in the profit or loss. Basic financial liabilities Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the Company after the deduction of all its liabilities. Basic financial liabilities, which include trade and other creditors, bank loans and other loans are initially measured at their transaction price (adjusting for transaction costs except in the initial measurement of financial liabilities that are subsequently measured at fair value through profit and loss). When this constitutes a financing transaction, whereby the debt instrument is measured at the present value of the future payments discounted at a market rate of interest, discounting is omitted where the effect of discounting is immaterial. Debt instruments are subsequently carried at their amortised cost using the effective interest rate method. Trade creditors are obligations to pay for goods and services that have been acquired in the ordinary course of business from suppliers. Trade creditors are classified as current liabilities if the payment is due within one year. If not, they represent non-current liabilities. Trade creditors are initially recognised at their transaction price and subsequently are measured at amortised cost using the effective interest method. Discounting is omitted where the effect of discounting is immaterial. Derecognition of financial instruments Derecognition of financial assets Financial assets are derecognised when their contractual right to future cash flow expire, or are settled, or when the Company transfers the asset and substantially all the risks and rewards of ownership to another party. If significant risks and rewards of ownership are retained after the transfer to another party, then the Company will continue to recognise the value of the portion of the risks and rewards retained. - 21 -
STRATA HOMES LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE PERIOD ENDED 28 JUNE 2025 2.Accounting policies (continued)
| 2.18 | Financial instruments (continued)
Derecognition of financial liabilities Financial liabilities are derecognised when the Company's contractual obligations expire or are discharged or cancelled.
| 2.19 | 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.
| 2.20 | Share based payments
Certain employees have been issued shares in the Company and the grant date fair value of share based payment awards granted and those not yet vested as at the Statement of Financial Position date is recognised as an employee expense with a corresponding increase in equity, over the period that the employees become unconditionally entitled to the awards. The fair value of the shares is measured based on a pricing mechanism as set out in the scheme rules which reflect the terms and conditions upon which the shares were issued. The amount recognised as an expense is adjusted to reflect the actual number of awards for which the related service and non-market vesting conditions are expected to be met, such that the amount ultimately recognised as an expense is based on the number of awards that do meet the related service and non-market performance conditions at the vesting date. For share based-payment awards with non-vesting conditions, the grant date fair value of the share-based payment is measured to reflect such conditions and there is no true-up for differences between the expected and actual outcomes. For cash settled share based payment transactions, the fair value of the amount payable to the employee is recognised as an expense with a corresponding increase in liabilities. The fair value is initially measured at grant date and spread over the period during which the employees become unconditionally entitled to payment. The fair value is measured based on a pricing mechanism as set out in the scheme rules which reflect the conditions upon which the instruments were granted. The liability is revalued at each Statement of Financial Position date and settlement date with any changes to fair value being recognised in the profit and loss account. The share based payment was cancelled in full on 31 May 2024. - 22 -
STRATA HOMES LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE PERIOD ENDED 28 JUNE 2025
3. | Judgments in applying accounting policies and key sources of estimation uncertainty
Critical judgments in applying the Company's accounting policies The critical judgments that the directors have made in the process of applying the Company's accounting policies that have the most significant effect on the statutory financial statements are discussed below. Assessing indicators of impairment of investments (note 14) In assessing whether there have been any indicators of impairment of assets, the directors have considered both external and internal sources of information such as market conditions, counterparty credit ratings and experience of recoverability. There have been no indicators of impairments identified during the current financial year. Key sources of estimation uncertainty Recoverability of debtors (Note 15) The Company establishes a provision for debtors that are estimated not to be recoverable. When assessing recoverability, the directors have considered factors such as the aging of the debtors, past experience of recoverability, and the credit profile of individual or groups of customers. Valuation of share based payments (note 22) Each year end the Company prepares a valuation of any share based payment liabilities which takes into account historic and future trading performance. The valuations also consider wider market metric and indices, all of which are subject to frequent fluctuations. The share based payment scheme was cancelled in full on 31 May 2024.
4. | Exceptional items
|  |  |  |  | 2025 | 2024
|  |  |  |  | £000 | £000
| Re-organisation costs | - | 346
| Release of intercompany provisions | (248) | -
|  | (248) | 346
| The Company incurred re-organisation costs of £Nil (2024: £346k) (included in administrative expenses). The Company exceptional income of £248k (2024: £Nil) relates to the release of intercompany provisions (included in administrative expenses).
- 23 -
STRATA HOMES LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE PERIOD ENDED 28 JUNE 2025
5. | Operating loss
| The operating profit is stated after charging/(crediting):
|  |  |  |  | 2025 | 2024
|  |  |  |  | £000 | £000
| Property rent and rates | 233 | 249
| Depreciation of tangible fixed assets | 247 | 318
| Amortisation of intangible fixed assets | 4 | -
| Share-based payment | - | (365)
6. | Auditor's remuneration
| During the period, the Company obtained the following services from the Company's auditor:
|  |  |  |  | 2025 | 2024
|  |  |  |  | £000 | £000
| Fees payable to the Company's auditor for the audit of the Company's financial statements | 50 | 80
7. | Employees
| The average monthly number of employees, including the directors, during the period was as follows:
|  |  | 2025 | 2024
|  |  | No. | No.
|  | Directors | 4 | 4
| None of the directors received remuneration for their services from the Company. All such costs are incurred by Strata Homes Yorkshire Limited.
- 24 -
STRATA HOMES LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE PERIOD ENDED 28 JUNE 2025
8. | Interest receivable
|  |  |  |  | 2025 | 2024
|  |  |  |  | £000 | £000
| Other interest receivable | - | 4
9. | Interest payable and similar expenses
|  |  |  |  | 2025 | 2024
|  |  |  |  | £000 | £000
| Bank interest payable | 1,865 | 3,561
| Finance leases and hire purchase contracts | 53 | -
|  | 1,918 | 3,561
10. | Taxation
|  |  |  |  | 2025 | 2024
|  |  |  |  | £000 | £000
| Corporation tax |  |
| Current tax on profits for the year | (736) | (281)
| Adjustments in respect of previous periods | 57 | 118
| Total current tax | (679) | (163)
| Deferred tax |  |
| Origination and reversal of timing differences | (109) | (1,013)
| Total deferred tax | (109) | (1,013)
| Taxation on profit on ordinary activities | (788) | (1,176)
- 25 -
STRATA HOMES LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE PERIOD ENDED 28 JUNE 2025 10.Taxation (continued)
| Factors affecting tax charge for the period
| The tax assessed for the period is lower than (2024 - lower than) the standard rate of corporation tax in the UK of 25% (2024 -25%). The differences are explained below:
|  |  |  |  | 2025 | 2024
|  |  |  |  | £000 | £000
| Profit on ordinary activities before tax | 11,544 | 19,682
| Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 25% (2024 - 25%) | 2,886 | 4,921
| Effects of: |  |
| Expenses not deductible for tax purposes, other than goodwill amortisation and impairment | 129 | 38
| Adjustments to tax charge in respect of prior periods | 131 | (26)
| Remeasurement of deferred tax | 550 | 1,012
| Exempt ABGH distributions | (3,936) | (6,500)
| Other differences leading to a (decrease)/increase in the tax charge | (548) | (621)
| Total tax charge for the period | (788) | (1,176)
| Factors that may affect future tax charges
There are no changes in the rate of corporation tax in the United Kingdom that are expected to impact a future tax rates applicable to the Company.
11. | Dividends
|  |  |  |  | 28 June | 29 June
|  |  |  |  | 2025 | 2024
|  |  |  |  | £000 | £000
| Dividends approved and paid in the period | 6,000 | 18,000
| Dividends of £137.30 per £1 Ordinary share (2024: £402.68) were paid during the period.
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STRATA HOMES LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE PERIOD ENDED 28 JUNE 2025
12. | Intangible assets
|  | Computer software
|  | £000
| Cost |
| Additions | 136
| Transfer between asset group | 1,502
| At 28 June 2025 | 1,638
| Amortisation |
| Charge for the period | 4
| Transfer between asset group | 1,346
| At 28 June 2025 | 1,350
| Net book value |
| At 28 June 2025 | 288
| At 29 June 2024 | -
| Amounts transferred between asset groups related to computer software assets previously recognised within tangible assets. Capitalised asset costs and associated expense allocations have been reclassified from tangible assets in the current year.
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STRATA HOMES LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE PERIOD ENDED 28 JUNE 2025
13. | Tangible fixed assets
|  | Fixtures & fittings | Computer equipment | Total
|  | £000 | £000 | £000
| Cost or valuation |  |  |
| At 29 June 2024 | 3,972 | - | 3,972
| Additions | 31 | 44 | 75
| Transfer between asset group | (1,502) | - | (1,502)
| Disposals | (21) | - | (21)
| Transfers between classes | (397) | 397 | -
| At 28 June 2025 | 2,083 | 441 | 2,524
| Depreciation |  |  |
| At 29 June 2024 | 2,950 | - | 2,950
| Charge for the period | 215 | 32 | 247
| Transfer between asset group | (1,346) | - | (1,346)
| Disposals | (10) | - | (10)
| Transfers between classes | (343) | 343 | -
| At 28 June 2025 | 1,466 | 375 | 1,841
| Net book value |  |  |
| At 28 June 2025 | 617 | 66 | 683
| At 29 June 2024 | 1,022 | - | 1,022
| Amounts transferred between asset groups related to computer software assets previously recognised within tangible assets. Capitalised asset costs and associated expense allocations have been reclassified to intangible assets in the current year.
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STRATA HOMES LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE PERIOD ENDED 28 JUNE 2025
14. | Fixed asset investments
|  | Investments in subsidiary companies | Investments in associates | Unlisted investments | Total
|  | £000 | £000 | £000 | £000
| Cost or valuation |  |  |  |
| At 29 June 2024 | 16 | - | 103 | 119
| Additions | - | 1,562 | - | 1,562
| Share of profit/(loss) | - | 241 | - | 241
| At 28 June 2025 | 16 | 1,803 | 103 | 1,922
| All subsidiary and joint venture undertakings are included in the consolidated financial statements. Subsidiary undertakings are accounted for using the acquisition method. The registered office for all subsidiary undertakings is Quay Point, Lakeside, Doncaster, DN4 5PL.
| Subsidiary undertakings
| The following were subsidiary undertakings of the Company:
| Name | Share type | 2025 Holding | 2024 Holding
| Strata Homes Yorkshire Limited | Ordinary | 100% | 100%
| Strata Homes Midlands Limited | Ordinary | 100% | 100%
| Ignite Homes Limited | Ordinary | 100% | 100%
| Strata Plus Limited | Ordinary | 100% | 100%
| Strata Land & Developments Limited | Ordinary | 100% | 100%
| Strata Regeneration 2009 Limited | Ordinary | 100% | 100%
| Strata Developments Barnsley West Limited | Ordinary | 100% | 100%
| Greathome Properties Limited | Ordinary | 66.67% | 66.67%
| Hornthorpe Developments Limited* | Ordinary | 66.67% | 66.67%
| Strata Sterling Barnsley West Limited* | Ordinary | 100% | 100%
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STRATA HOMES LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE PERIOD ENDED 28 JUNE 2025
| During the year, the Company dissolved the following dormant entities, and reduced their investment to £Nil:
| Name | Share type | 2025 Holding | 2024 Holding
| Strata Homes (Guiseley) | Ordinary | - % | 100%
| Strata Homes (Wath) | Ordinary | - % | 100%
| Franzsigel | Ordinary | - % | 100%
| Tygart Limited | Ordinary | - % | 100%
| Strata Homes Regeneration Limited | Ordinary | - % | 100%
| Stampearth Limited | Ordinary | - % | 100%
| Checkhire Limited* | Ordinary | - % | 100%
| Strata Homes West Midlands Limited* | Ordinary | - % | 66.67%
| All subsidiaries marked with a * are companies which are indirectly held by Strata Homes Limited. The percentage holding has been calculated based on a consolidated position. All Ordinary shares have a nominal value of £1. All subsidiaries have accounting reference dates of 30 June except for Strata Homes West Midlands Limited, Franzsigel and Hornthorpe Developments Limited, which have respective accounting reference dates of 31 December, 31 December and 31 July.
| Joint ventures
| The following were joint ventures of the Company:
| Name | Registered office | Holding
| Goldenmane Limited | Quay Point, Lakeside, Doncaster, DN4 5PL | 50%
| Jam Regeneration Limited | Quay Point, Lakeside, Doncaster, DN4 5PL | -%
| In the case of all joint ventures, the Group has a participating interest. Control is exercised at both company and directors' meetings on the basis of each joint venture party having equal votes. The accounting reference date of Goldenmane Limited is 31 December. During the year, the Company disposed of its investment in the joint venture Jam Regeneration Limited by way of dissolution.
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STRATA HOMES LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE PERIOD ENDED 28 JUNE 2025
| Associates
The following were associates of the Company:
| Name | Registered office |  | Holding
| Aura Real Estate Investments Limited | Suite 7.1, 8 Exchange Quay, Salford, M5 3EJ |  | 10%
In the case of all associates, the Group has a participating interest. Control is exercised at both company and directors' meetings on the basis of each share having equal voting power. During the year, the Company acquired a 10% investment in Aura Real Estate Investments Limited. The accounting reference date of Aura Real Estate Investments Limited is 31 December.
15. | Debtors
|  |  |  |  | 28 June | 29 June
|  |  |  |  | 2025 | 2024
|  |  |  |  | £000 | £000
| Trade debtors | 184 | -
| Amounts owed by group undertakings | 22,783 | 41,546
| Other debtors | 241 | 888
| Prepayments and accrued income | 403 | 444
| Tax recoverable | 1,823 | 1,144
| Deferred taxation | 1,053 | 943
|  | 26,487 | 44,965
| Amounts owed by group undertakings are interest free, unsecured and repayable on demand. Included within amounts owed by group undertakings is £Nil (2024: £6,109k) owed by the Parent Company.
16. | Cash and cash equivalents
|  |  |  |  | 28 June | 29 June
|  |  |  |  | 2025 | 2024
|  |  |  |  | £000 | £000
| Cash at bank and in hand | 37 | 79
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STRATA HOMES LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE PERIOD ENDED 28 JUNE 2025
17. | Creditors: Amounts falling due within one year
|  |  |  |  | 28 June | 29 June
|  |  |  |  | 2025 | 2024
|  |  |  |  | £000 | £000
| Bank loans | - | 39,000
| Trade creditors | 161 | 196
| Amounts owed to group undertakings | 3,068 | 4,809
| Other taxation and social security | 1 | -
| Other creditors | - | 770
| Accruals and deferred income | 446 | -
|  | 3,676 | 44,775
| Amounts owed to group undertakings are interest free, unsecured and repayable on demand. Included in amounts owed to group undertakings is £2,894k (2024: £Nil) owed to the Parent Company.
18. | Creditors: Amounts falling due after more than one year
|  |  |  |  | 28 June | 29 June
|  |  |  |  | 2025 | 2024
|  |  |  |  | £000 | £000
| Bank loans | 18,000 | -
19. | Loans
| Analysis of the maturity of loans is given below:
|  |  |  |  | 28 June | 29 June
|  |  |  |  | 2025 | 2024
|  |  |  |  | £000 | £000
| Amounts falling due within one year |  |
| Bank loans | - | 39,000
| Amounts falling due 1-2 years |  |
| Bank loans | 18,000 | -
|  | 18,000 | 39,000
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STRATA HOMES LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE PERIOD ENDED 28 JUNE 2025
20. | Deferred taxation
|  | 2025 | 2024
|  | £000 | £000
| At beginning of year | 943 | (70)
| Credit to profit or loss | 109 | 1,013
| At end of year | 1,052 | 943
| The deferred tax asset is made up as follows:
|  |  |  |  | 28 June | 29 June
|  |  |  |  | 2025 | 2024
|  |  |  |  | £000 | £000
| Accelerated capital allowances | (136) | (86)
| Other timing differences | 7 | 10
| Losses and other deductions | 1,181 | 1,019
|  | 1,052 | 943
21. | Share capital
|  |  |  |  | 28 June | 29 June
|  |  |  |  | 2025 | 2024
|  |  |  |  | £000 | £000
|  | Allotted, called up and fully paid |  |
|  | 43,700 (2024 - 43,700) Ordinary shares of £1.00 each | 44 | 44
|  | 10,000 (2024 - 10,000) A Ordinary shares of £0.01 each | - | -
|  |  | 44 | 44
| The rights of the £1 Ordinary shares are such that each share entitles the shareholders to receive dividends at the discretion of the board and the shareholders are entitled to receive a share of surplus assets on a liquidation, return of capital, capital reduction or otherwise. Each share is entitled to one vote in any circumstances. The rights of the £0.01 A Ordinary shares are such that they are not entitled to any proceeds on a sale, exit or return on capital until such time as pre-determined net asset and value is exceeded. The £0.01 A Ordinary shares have been issued to members of the senior management team in 2014 and 2015 as part of a long term incentive plan. These shares were issued at a value of £1.05 per share.
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STRATA HOMES LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE PERIOD ENDED 28 JUNE 2025
22. | Share based payments
B Ordinary shares In December 2020 the Company, issued 7,710 B Ordinary shares to three of the directors of Strata Homes Limited as part of a long term incentive plan. The total value of the shares issued was £390k and these were subscribed for in cash by the participants using funds provided to them as loans from Strata Homes Limited. The Company cancelled the B shares 31 May 2024 at the same value as the issue was executed.
23. | Reserves
Share premium account Share premium represents the amount above the nominal value received for issue share capital, less transaction costs. Capital redemption reserve The Capital redemption reserve represents the value of the Company's own shares which have been repurchased. Profit & loss account This reserve includes the cumulative profits or losses.
24. | Analysis of net debt
|  | At 30 June 2024 | Cash flows | Repaid facility | At 28 June 2025
|  | £000 | £000 | £000 | £000
| Cash at bank and in hand | 79 | (42) | - | 37
| Debt due after 1 year | - | - | - | -
| Debt due within 1 year | (39,000) | - | 21,000 | (18,000)
|  | (38,921) | (42) | 21,000 | (17,963)
25. | Contingent liabilities
Under the terms of the Group's banking facilities, Strata Homes Group Limited, Strata Homes Holdings Limited, Strata Homes Limited, Strata Homes Yorkshire Limited, Strata Homes Midlands Limited, Ignite Homes Limited, Strata Developments Barnsley West Limited and Strata Sterling Barnsley West Limited, have given unlimited guarantees supported by a debenture creating a fixed and floating charge to secure their bank borrowings. At 28 June 2025 the gross amount drawn against these facilities was £18,000k (2024: £39,000k). Given the nature of the business there are potential claims which could arise against the Group. The directors have made provisions for any known claim based on their assessment of the likely outcome. - 34 -
STRATA HOMES LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE PERIOD ENDED 28 JUNE 2025
26. | Related party transactions
|  | 28 June | 29 June
|  | 2025 | 2024
|  | £000 | £000
| Directors' loans | 86 | -
| Harrogate Town AFC Limited is no longer a related party. The common directorship ceased 31 May 2024 with the resignation of J N Davis as a director of both the Company and Harrogate Town AFC Limited. During the year, the Group no longer provided sponsorship to Harrogate Town AFC Limited with a value of £Nil in the year (2024: £100k).
27. | Post balance sheet events
Since 28 June 2025 and up to the date of approving the financial statements, the following transactions have been concluded. As detailed in the Strata Homes Group Strategic report, the Group has successfully entered into a new lending facility with Lloyds Bank Plc, providing committed funding through to 30 June 2028. On 31 October 2025, the Group executed a post balance sheet debt amendment agreement regarding its liabilities to connected parties. This agreement affects the terms of the Group’s existing loan notes and preference shares (further details of which are disclosed in Strata Homes Group Limited’s annual report and financial statements for the period ended 28 June 2025). The debt amendment has been determined to be a substantial modification. As the lenders involved are related parties acting in their capacity as shareholders the transaction has been treated as a capital contribution. The resulting gain has been credited directly to equity rather than through the Group’s profit or loss. See the Strata Homes Group Limited annual accounts for more detail on these events.
28. | Controlling party
The Company is wholly owned by Strata Homes Holdings Limited. At 28 June 2025, the ultimate Parent Company was Strata Homes Group Limited. The smallest and largest group in which the Company is consolidated is Strata Homes Group Limited, a company registered in England and Wales under company number 13132559. Copies of the Strata Homes Group Limited accounts can be obtained from the Company Secretary at the registered address Quay Point, Lakeside Boulevard, Doncaster, DN4 5PL. As at 28 June 2025 the persons with Significant Control were AR Weaver, RI Weaver and G Smith as trustees for the Irving Weaver 2018 A Discretionary Settlement trust.
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