ACCOUNTS - Final Accounts

Auditors' remuneration

Fees payable to the Company's auditors and its associates in respect of:

Registered number: 05216447

DANAZ HEALTHCARE LIMITED

ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 AUGUST 2025

DANAZ HEALTHCARE LIMITED

COMPANY INFORMATION

Directors	N N Zaki
	M Zaki
	D Zaki


Registered number	05216447


Registered office	Wey Court West
	Union Road
	Farnham
	Surrey
	GU9 7PT


Independent auditors	Shaw Gibbs (Audit) Limited
	Statutory Auditors
	Wey Court West
	Union Road
	Farnham
	Surrey
	GU9 7PT

DANAZ HEALTHCARE LIMITED

CONTENTS

	Page
Strategic report	1 - 2
Directors' report	3 - 4
Independent auditors' report	5 - 8
Statement of income and retained earnings	9
Statement of financial position	10 - 11
Statement of cash flows	12 - 13
Analysis of net debt	14
Notes to the financial statements	15 - 29

DANAZ HEALTHCARE LIMITED

STRATEGIC REPORT

FOR THE YEAR ENDED 31 AUGUST 2025

Introduction

The principle activity of Danaz Healthcare Limited during the year was that of providing facilities and services relating to nursing and residential care at Pax Hill Care Homes in Bentley, Farnham, Surrey.

Business review

As at the 31st August our dementia residential care unit (EMF) had 32 residents while Pax Hill Care Home had 68 residents. In the year to 31st August 2025 there were 86 arrivals and 82 leavers.
Private enquiries and admission levels remain strong. We note the greater needs and increased age of new residents continues, this is becoming more normal as people choose to stay in their homes for as long as possible. In order to maintain our very high levels of care we constantly assess residents needs and adjust staffing levels as appropriate. Social Service enquiries remain increasingly unviable as funding available struggles to meet our assessment of care needs. As a result, social service admissions remain low.
Costs continue to rise, the most significant increase being to wages following the 6.7% minimum wage increase imposed in April 2025. This was compounded by the employers NI increase of 1.2% to 15% and the reduction of the NI threshold from £9,100 to £5,000. Other notable increases include food, utilities, insurance and maintenance. Fees have increased to cover the additional costs.
Room refurbishment at Pax Hill care home has continued throughout the year and has proved popular.
Staff retention remains strong enabling us to continue providing excellent service to our residents. At the end of this financial year 51% of our team have been with us for 5 or more years. This dedicated core of care professionals also mentor and support newer team members to ensure standards are consistently maintained.
We continue to invest in our employees with competitive benefits, such as paid breaks. Our most significant investment is in staff development and training where we offer a mix of online and in-house training sessions as well as third party and / or nationally recognised courses.
In the year ending 31 August 2025 turnover increased from £7,962,786 to £8,712,654 while profit increased from £691,365 to £1,048,866.

Page 1

DANAZ HEALTHCARE LIMITED

STRATEGIC REPORT (CONTINUED)

FOR THE YEAR ENDED 31 AUGUST 2025

Principal risks and uncertainties

Competition, particularly from large companies targeting basic residential care with the associated lower care needs continues to be challenging. We meet this challenge by offering a unique ‘whole life’ service from residential and dementia residential through to nursing and end of life care. This care reassurance and our competitive rates continues to support a steady level of residents and our confidence in the future remains strong.
Economic and legislative changes continue to impose a level of uncertainty. The last two budgets have been harsh on the care industry and although costs have been passed on this is changing the business model. As mentioned earlier our residents are staying in their homes longer and come to us older, and with higher care needs. This increases resident turnover and although we have taken on significantly more residents this financial year occupancy levels remain fairly static. At the time of writing we await news of how the budget on 26th November 2025 will impact our plans for 2026.
Compliance, in particular with the Care Quality Commission regulations, is an ongoing process that we invest a significant amount of resource on. Our investment in staff awareness and training in this area has strengthened our commitment to resident care.
Loan liabilities have reduced from £4,704,278, to £4,061,025 since the year end the repayments have continued and no issues have arisen which would prevent the company from continuing to do so.

Future developments

Despite the challenges facing care home providers, the directors remain optimistic and excited about the future. The care home will continue to operate as previously while the directors adapt strategies to meet changing care needs.

Planned investment for next financial year

Room refurbishment will continue to be rolled out this year, and we will start refurbishment of shared residential areas.
New services were tested in house and provided a modest income. We will continue to test these ahead of releasing to the wider community in 2026.

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

D Zaki

Director

Date: 24 April 2026

Page 2

DANAZ HEALTHCARE LIMITED

DIRECTORS' REPORT

FOR THE YEAR ENDED 31 AUGUST 2025

The directors present their report and the financial statements for the year ended 31 August 2025.

Directors' responsibilities statement

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;

∙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.

Principal activity

The company's principal activity during the year was to provide human health care.

Results and dividends

The profit for the year, after taxation, amounted to £1,048,866 (2024 - £691,365).

During the year £266,735 (2024: £171,859) of dividends were declared and paid.

Directors

The directors who served during the year were:

N N Zaki

M Zaki

D Zaki

Page 3

DANAZ HEALTHCARE LIMITED

DIRECTORS' REPORT (CONTINUED)

FOR THE YEAR ENDED 31 AUGUST 2025

Disclosure of information to auditors

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 auditors are 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 auditors are aware of that information.

Auditors

The auditors, Shaw Gibbs (Audit) Limited, will be proposed for reappointment in accordance with section 485 of the Companies Act 2006.

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

D Zaki

Director

Date: 24 April 2026

Page 4

DANAZ HEALTHCARE LIMITED

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF DANAZ HEALTHCARE LIMITED

Opinion

We have audited the financial statements of Danaz Healthcare Limited (the 'Company') for the year ended 31 August 2025, which comprise the statement of income and retained earnings, the statement of financial position, the statement of cash flows and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

∙give a true and fair view of the state of the Company's affairs as at 31 August 2025 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 United Kingdom, including the Financial Reporting Council'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.

Page 5

DANAZ HEALTHCARE LIMITED

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF DANAZ HEALTHCARE LIMITED (CONTINUED)

Other information

The other information comprises the information included in the Annual Report other than the financial statements and our auditors' 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 course of 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.

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 year 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 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 directors' report.

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

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.

Page 6

DANAZ HEALTHCARE LIMITED

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF DANAZ HEALTHCARE LIMITED (CONTINUED)

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

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

We gained an understanding of the legal and regulatory framework applicable to the company and the industry in which it operates, and considered the risk of acts by the company that were contrary to applicable laws and regulations, including fraud. We designed audit procedures to respond to the risk, recognising that the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion.
We focussed on laws and regulations which could give rise to a material misstatement in the financial statements, including, but not limited to, the Companies Act 2006 and UK tax legislation. Our tests included agreeing the financial statement disclosures to underlying supporting documentation, enquiries with management and review of Care Quality Commission reports. We also reviewed the terms of the loans to check if any breaches to requirements set by the bank. There are inherent limitations in the audit procedures described above and, the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would become aware of it.
As in all our audits, we also addressed the risk of management override of internal controls, including testing journals and evaluating whether there was evidence of bias by the directors that represented a risk of material misstatement due to fraud. This included subjective areas of the accounts, for example investment property valuations and recoverability of debts.
We did not identify any key audit matters relating to irregularities, including fraud.

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 auditors' report.

Page 7

DANAZ HEALTHCARE LIMITED

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF DANAZ HEALTHCARE LIMITED (CONTINUED)

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 auditors' 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.

Stephen South FCA (Senior Statutory Auditor)

for and on behalf of

Shaw Gibbs (Audit) Limited

Statutory Auditors

Wey Court West

Union Road

Farnham

Surrey

GU9 7PT

30 April 2026

Page 8

DANAZ HEALTHCARE LIMITED

STATEMENT OF INCOME AND RETAINED EARNINGS

FOR THE YEAR ENDED 31 AUGUST 2025

		As restated
	2025	2024
Note	£	£


Turnover	4	8,712,654	7,962,786
Cost of sales		(445,479)	(461,770)
Gross profit		8,267,175	7,501,016
Administrative expenses		(6,159,653)	(6,200,984)
Exceptional administrative expense	11	(320,000)	(405,718)
Gain from changes in fair value of investment property		-	530,000
Operating profit		1,787,522	1,424,314
Interest receivable and similar income		50,425	57,720
Interest payable and similar expenses	8	(273,177)	(351,457)
Profit before tax		1,564,770	1,130,577
Tax on profit	9	(515,904)	(439,212)
Profit after tax		1,048,866	691,365



Retained earnings at the beginning of the year	5,894,581	5,905,075
Profit for the year	1,048,866	691,365
Dividends declared and paid	(266,735)	(171,859)
Transfer to revaluation reserve for investment property gain	-	(530,000)
Retained earnings at the end of the year	6,676,712	5,894,581

There were no recognised gains and losses for 2025 or 2024 other than those included in the statement of income and retained earnings.

The notes on pages 15 to 29 form part of these financial statements.

Page 9

DANAZ HEALTHCARE LIMITED

REGISTERED NUMBER: 05216447

STATEMENT OF FINANCIAL POSITION

AS AT 31 AUGUST 2025

		As restated
	2025	2024
Note	£	£

Fixed assets
Tangible assets	12		9,732,418		9,858,862
Investment property	13		1,900,000		1,900,000
			11,632,418		11,758,862
Current assets
Debtors: amounts falling due within one year	14	2,750,115		2,633,883
Cash at bank and in hand	15	172,880		10,137
		2,922,995		2,644,020
Creditors: amounts falling due within one year	16	(2,650,389)		(3,080,478)
Net current assets/(liabilities)			272,606		(436,458)
Total assets less current liabilities			11,905,024		11,322,404
Creditors: amounts falling due after more than one year	17		(3,341,202)		(3,562,350)
Provisions for liabilities
Deferred tax	18		(657,240)		(635,603)
Net assets			7,906,582		7,124,451

Capital and reserves
Called up share capital	19	100	100
Revaluation reserve		1,229,770	1,229,770
Profit and loss account		6,676,712	5,894,581
		7,906,582	7,124,451

Page 10

DANAZ HEALTHCARE LIMITED

REGISTERED NUMBER: 05216447

STATEMENT OF FINANCIAL POSITION (CONTINUED)

AS AT 31 AUGUST 2025

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

D Zaki

Director

Date: 24 April 2026

The notes on pages 15 to 29 form part of these financial statements.

Page 11

DANAZ HEALTHCARE LIMITED

STATEMENT OF CASH FLOWS

FOR THE YEAR ENDED 31 AUGUST 2025

			2025	2024
			£	£

Cash flows from operating activities
Profit for the financial year	1,048,866	691,365
Adjustments for:
Depreciation of tangible assets	247,797	253,785
Loss on disposal of tangible assets	-	7,761
Interest paid	273,177	351,457
Interest received	(50,425)	(57,720)
Taxation charge	515,904	439,212
(Increase) in debtors	(140,943)	(59,585)
Decrease in amounts owed by associates	32,807	26,938
Increase in creditors	120,952	51,501
Net fair value losses/(gains) recognised in P&L	-	(530,000)
Corporation tax (paid)	(630,777)	(136,781)
Net cash generated from operating activities	1,417,358	1,037,933

Cash flows from investing activities
Purchase of tangible fixed assets	(121,353)	(37,313)
Associates interest received	50,425	57,720
Net cash from investing activities	(70,928)	20,407

Page 12

DANAZ HEALTHCARE LIMITED

STATEMENT OF CASH FLOWS (CONTINUED)

FOR THE YEAR ENDED 31 AUGUST 2025

		2025	2024
		£	£


Cash flows from financing activities
Repayment of loans	(643,253)	(617,236)
Dividends paid	(266,735)	(171,859)
Interest paid	(273,177)	(351,457)
Net cash used in financing activities	(1,183,165)	(1,140,552)
Net increase/(decrease) in cash and cash equivalents	163,265	(82,212)
Cash and cash equivalents at beginning of year	(4,134)	78,078
Cash and cash equivalents at the end of year	159,131	(4,134)

Cash and cash equivalents at the end of year comprise:
Cash at bank and in hand	172,880	10,137
Bank overdrafts	(13,749)	(14,271)
	159,131	(4,134)

The notes on pages 15 to 29 form part of these financial statements.

Page 13

DANAZ HEALTHCARE LIMITED

ANALYSIS OF NET DEBT

FOR THE YEAR ENDED 31 AUGUST 2025


At 1 September 2024	Cash flows	At 31 August 2025
£	£	£

Cash at bank and in hand	10,137	162,743	172,880
Bank overdrafts	(14,271)	522	(13,749)
Debt due after 1 year	(3,562,350)	221,148	(3,341,202)
Debt due within 1 year	(1,141,928)	422,105	(719,823)
	(4,708,412)	806,518	(3,901,894)

The notes on pages 15 to 29 form part of these financial statements.

Page 14

DANAZ HEALTHCARE LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 AUGUST 2025

1.	General information

Danaz Healthcare Limited, (registered number 05216447), is a privately owned company, limited by shares and incorporated in England and Wales. The registered office is disclosed on the Company Information page and the principal activity is disclosed in the Directors Report.

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 following principal accounting policies have been applied:

2.2

Revenue

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

Rendering of services

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

∙the amount of revenue can be measured reliably;

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

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

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

2.3

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.

2.4

Interest income

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

2.5

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.

Page 15

DANAZ HEALTHCARE LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 AUGUST 2025

2.Accounting policies (continued)

2.6

Borrowing costs

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

2.7

Pensions

Defined contribution pension plan

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

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

2.8

Current and deferred taxation

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

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

Page 16

DANAZ HEALTHCARE LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 AUGUST 2025

2.Accounting policies (continued)

2.10

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, on a reducing balance basis.

Depreciation is provided on the following basis:

Freehold property	-	2%	reducing balance
Fixtures and fittings	-	5%	reducing balance
Office equipment	-	15%	reducing balance

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

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

2.11

Investment property

Investment property is carried at fair value determined by directors and periodically by external valuers and derived from the current market rents and investment property yields for comparable real estate, adjusted if necessary for any difference in the nature, location or condition of the specific asset. No depreciation is provided. Changes in fair value are recognised in profit or loss.

2.12

Debtors

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

2.13

Cash and cash equivalents

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

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

2.14

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.

Page 17

DANAZ HEALTHCARE LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 AUGUST 2025

2.Accounting policies (continued)

2.15

Provisions for liabilities

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

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

2.16

Financial instruments

The Company has elected to apply the provisions of Section 11 “Basic Financial Instruments” of FRS 102 to all of its financial instruments.

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.

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.

Page 18

DANAZ HEALTHCARE LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 AUGUST 2025

2.Accounting policies (continued)

2.17

Dividends

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

3.	Judgments in applying accounting policies and key sources of estimation uncertainty

In the application of the Company's accounting policies, which are described in note 2, management is required to make judgements, estimates and assumptions about the carrying values of assets and liabilities that are not readily apparent from other sources. The estimates and underlying assumptions are based upon historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revisions affects both current and future periods.
Tangible fixed assets are depreciated over their useful lives taking into account residual values where appropriate. The actual lives of the assets and residual values are assessed annually and may vary depending on a number of factors. In re-assessing the asset lives, factors such as life cycles and maintenance programmes are taken into account. Residual values consider such things as future market conditions, the remaining life of the asset and projected disposal values.
Investement properties are carried at fair value which is estimated by external valuers and directors derived from their assessment of current market values of similar properties adjusted if necessary for any difference in the nature, location or condition of the specific asset.

Turnover

The whole of the turnover is attributable to providing facilities and services relating to nursing and residential care.

All turnover arose within the United Kingdom.

Audit-related assurance services

12,960

12,000

Page 19

DANAZ HEALTHCARE LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 AUGUST 2025

Wages and salaries	4,592,528	4,569,579
Social security costs	516,176	452,435
Cost of defined contribution scheme	107,819	106,187
	5,216,523	5,128,201

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

	2025	2024
	No.	No.

Catering and auxiliary services	10	10
Nursing care and assistants	114	115
Admin	15	15
Property Maintenance	4	6

	143	146

7.	Directors' remuneration
		2025	2024
		£	£

Directors' emoluments	78,524	72,530
Company contributions to defined contribution pension schemes	1,320	1,321
	79,844	73,851

During the year retirement benefits were accruing to 1 directors (2024 - 1) in respect of defined contribution pension schemes.

Page 20

DANAZ HEALTHCARE LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 AUGUST 2025

8.	Interest payable and similar expenses
		2025	2024
		£	£

Bank interest payable	273,177	346,441
Other interest payable	-	5,016
	273,177	351,457

Corporation tax
Current tax on profits for the year	494,267	305,616

Total current tax	494,267	305,616

Deferred tax
Origination and reversal of timing differences	21,637	133,596
Total deferred tax	21,637	133,596


	Tax on profit	515,904	439,212

Page 21

DANAZ HEALTHCARE LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 AUGUST 2025

9.Taxation (continued)

Profit on ordinary activities before tax

1,564,770

1,130,692

Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 25% (2024 - 25%)	391,193	282,673
Effects of:
Expenses not deductible for tax purposes, other than goodwill amortisation and impairment	176	2,463
Capital allowances for year in excess of depreciation	22,923	45,545
Non-taxable income	-	(132,450)
Changes in provisions leading to an increase (decrease) in the tax charge	79,975	107,385
Movement in deferred tax	21,637	133,596
Total tax charge for the year	515,904	439,212

Factors that may affect future tax charges

There are no factors that may affect future tax charge.

10.	Dividends
		2025	2024
		£	£

Dividends

266,735

171,859

Page 22

DANAZ HEALTHCARE LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 AUGUST 2025

11.	Exceptional items
		2025	2024
		£	£

Bad debt provision

320,000

405,718

There is uncertainty about the recoverability of amounts owed from related parties Chilterns Healthcare Limited and Bentley Community Care Limited, a bad debt provision has therefore been included in the accounts. See further information in note 21.

12.	Tangible fixed assets

	Freehold property	Fixtures and fittings	Office equipment	Total
	£	£	£	£
Cost or valuation
At 1 September 2024	10,102,481	2,069,417	530,446	12,702,344
Additions	27,145	67,375	26,833	121,353
At 31 August 2025	10,129,626	2,136,792	557,279	12,823,697
Depreciation
At 1 September 2024	1,540,407	866,154	436,921	2,843,482
Charge for the year on owned assets	171,439	61,253	15,105	247,797
At 31 August 2025	1,711,846	927,407	452,026	3,091,279
Net book value
At 31 August 2025	8,417,780	1,209,385	105,253	9,732,418
At 31 August 2024	8,562,074	1,203,263	93,525	9,858,862

Page 23

DANAZ HEALTHCARE LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 AUGUST 2025

13.	Investment property

		Freehold investment property
		£
	Valuation
	At 1 September 2024	1,900,000
	At 31 August 2025	1,900,000

The 2025 valuations were made by Directors, on an open market value for existing use basis.

14.

Debtors

					2025	2024
					£	£


Trade debtors	632,642	471,130
Amounts owed by joint ventures and associated undertakings	2,061,049	2,093,856
Other debtors	27,547	19,451
Prepayments and accrued income	28,877	49,446
	2,750,115	2,633,883

15.	Cash and cash equivalents
		2025	2024
		£	£

Cash at bank and in hand	172,880	10,137
Less: bank overdrafts	(13,749)	(14,271)
	159,131	(4,134)

Page 24

DANAZ HEALTHCARE LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 AUGUST 2025

Bank overdrafts	13,749	14,271
Bank loans	719,823	1,141,928
Trade creditors	243,539	215,685
Corporation tax	338,763	475,272
Other taxation and social security	129,980	109,563
Other creditors	38,844	43,153
Accruals and deferred income	1,165,691	1,080,606
	2,650,389	3,080,478

Page 25

DANAZ HEALTHCARE LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 AUGUST 2025

17.	Creditors: Amounts falling due after more than one year
		2025	2024
		£	£

	Bank loans	3,341,202	3,562,350

The following liabilities were secured:
	2025	2024
	£	£


	Bank Loans	4,061,025	4,704,278

Details of security provided:

There are four bank loans outstanding at the year end with different terms in place.
At the year end:
£3,125,090 is repayable over the next 10 years and interest is being charged at base plus 1.25%.
£246,998 is repayable on demand and interest is being charged at base plus 2.55%.
£688,937 is repayable over the next 9 years and interest is being charged at base plus 2.45%.
The loans are secured on the following properties:
The property known as Pax Hill Nursing and Residential Care Home, Bentley, GU10 5NG.
14 Bonners Field, Bentley, GU10 5LH.
1 Pax Hill, Bentley, GU10 5LH.
11 Bonners Field. Bentley, GU10 5LH.
The bank holds a debenture over all assets of the company and a cross corporate guarantee between Danaz Healthcare Ltd and a third party.

Page 26

DANAZ HEALTHCARE LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 AUGUST 2025

18.	Deferred taxation

		2025
		£

	At beginning of year	(635,603)
	Charged to profit or loss	(21,637)
	At end of year	(657,240)

The provision for deferred taxation is made up as follows:
	2025	2024
	£	£

Accelerated capital allowances	(349,798)	(328,160)
Investment properties gains	(307,442)	(307,443)
	(657,240)	(635,603)

19.	Share capital
		2025	2024
		£	£

Allotted, called up and fully paid

38 (2024 - 38) A Ordinary Shares shares of £1.00 each	38	38
38 (2024 - 38) B Ordinary Shares shares of £1.00 each	38	38
24 (2024 - 24) C Ordinary Shares shares of £1.00 each	24	24

	100	100

20.	Prior year adjustment

An adjustment was made to align the biweekly payroll costs to the year end. Changes made to 2024 figures were to decrease brought forward reserves by £278,165 and increase brought forward payroll accruals by £278,165. The effect on profit and loss for year ended 31 August 2024 was an increase of payroll costs by £115. The effect on profit and loss for year ended 31 August 2025 was an increase of payroll costs by £1,697.

Page 27

DANAZ HEALTHCARE LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 AUGUST 2025

21.	Contingent liabilities

At the year end the company had a balance of £3,038,549 (2024: £3,113,865) owed from Chilterns Healthcare Limited and in 2024 also owed from Bentley Community Care Limited. Due to uncertainties around operations of Chilterns Healthcare Limited it is uncertain if all of the balance will be recoverable and therefore a provision of £977,500 (2024: £657,500) has been included against this debt. The amount owed from Bentley Community Care Limited of £382,509 had been fully provided for in 2024. Bentley Community Care was closed in the year and no amounts were recoverable. The outcome of the course of operations at Chilterns Healthcare Limited is expected to be determined during 2026, the provision is an estimate to reduce the balances to their expected recoverable amount.

22.	Pension commitments

The Company operates a defined contributions pension scheme. The assets of the scheme are held separately from those of the Company in an independently administered fund. The pension cost charge represents contributions payable by the Company to the fund and amounted to £113,682 (2024: £106,187). Contributions totalling £21,508 (2024: £21,749) were payable to the fund at the balance sheet date and are included in creditors.

Not later than 1 year	19,669	19,669
Later than 1 year and not later than 5 years	13,112	32,781
	32,781	52,450

Page 28

DANAZ HEALTHCARE LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 AUGUST 2025

24.

Related party transactions

During the year the company was under the joint control of M Zaki and N Zaki.
During the year £120,000 (2024: £120,000) of rent was charged by the directors to the company. At the balance sheet date £Nil was owed by the directors (2024: £Nil).
During the year, services were provided to a Director at £12,611 charge (2024: £11,811). These services were not provided at arm's length. If these services were provided at arm's length they would have totalled £91,362 (2024: £92,331).
During the year, costs were recharged to Bentley Community Care Limited, a company controlled by the directors, of £30 (2024: £28,706). Bentley Community Care was closed in the year and no amounts were recoverable. In 2024 the balance of £382,509 owed to Danaz Healthcare Limited, had been fully provided for as a bad debt.
During the year, £328,269 was loaned to Chiltern Healthcare Limited, a company controlled by the directors (2024: £401,352). Interest was also charged to Chiltern Healthcare Limited of £50,425 (2024: £57,720). At the year end, a balance of £2,061,049 (2024: £2,093,856) was owed to Danaz Healthcare Limited, this includes a provision for bad debt of £977,500.
Zaki Consulting Limited is a company controlled by one of the directors. At the year end, a balance of £9,684 (2024: £12,800) was owed by Danaz Healthcare Limited to Zaki Consulting.
Key management personnel is considered to be the directors as noted on page 1 of the accounts. Remuneration is disclosed in note 7 of the accounts.

Page 29