LCH Care Group Limited Group accounts (Group and Company)

COMPANY REGISTRATION NUMBER: 15851936

LCH Care Group Limited

Consolidated Financial Statements

For the year ended

30 November 2025

LCH Care Group Limited

Consolidated Financial Statements

Year ended 30 November 2025

Contents	Page

Officers and professional advisers	1

Strategic report	2

Directors' report	3

Independent auditor's report to the members	6

Consolidated statement of comprehensive income	11

Consolidated statement of financial position	12

Company statement of financial position	14

Consolidated statement of changes in equity	16

Company statement of changes in equity	17

Consolidated statement of cash flows	18

Notes to the consolidated financial statements	19

LCH Care Group Limited

Officers and Professional Advisers

The board of directors	B N Lukka
	N J Lukka

Registered office	Lodge House
	9-17 Lodge Lane
	London
	England
	N12 8JH

Auditor	Streets Audit LLP
	Chartered accountants & statutory auditor
	Enterprise House
	38 Tyndall Court
	Commerce Road
	Lynch Wood
	Peterborough
	Cambridgeshire
	PE2 6LR

LCH Care Group Limited

Strategic Report

Year ended 30 November 2025

The directors present the strategic report for the year ended 30 November 2024. Fair review of the business The principal activity of the group is the provision of nursing home facilities for the elderly. The group made an operating profit of £7.0m (2024: £6.1m) for the year on a turnover of £22.9m (2024: £20.1m). An exceptional item of £2.5m was incurred in the prior year relating to an investment impairment. At 30 November 2025 the group had net assets of £47.6m (2024: £43.0m). During the year, the group acquired 22.2% of shares within LCH2010 Newco Limited, a company under common control. Principal risks and uncertainties The directors recognise that within the business there are a number of risks which may affect the performance of the group. These risks are subject to regular review and, where appropriate, processes are established to minimise the level of exposure. Regulatory - the group's nursing home is regulated by the Care Quality Commission and is exposed to adverse findings that the Commission may raise. The group ensures that the nursing home is run to a high standard and to-date no such adverse findings have been reported. Financial risk - the group is exposed to financial risk through its assets and liabilities. The key financial risk is that, in the current climate, the proceeds from its assets may not be sufficient to fund the obligations from liabilities as they fall due. The most important components of financial risk are: 1) Credit risk - the group continues to minimise commercial credit risk and has not suffered unduly from bad debts. 2) Interest rate risk - the group's borrowings are on a variable rate basis and the group is exposed to potential increases in interest rates. The group continues to monitor its interest obligations and its investment portfolio to ensure that future increases in interest rates will not unduly affect the performance of the business. Future developments The directors continue to monitor its key performance metrics whilst maintaining care quality in its homes.

This report was approved by the board of directors on 31 July 2026 and signed on behalf of the board by:

B N Lukka

Director

Registered office:

Lodge House

9-17 Lodge Lane

London

England

N12 8JH

LCH Care Group Limited

Directors' Report

Year ended 30 November 2025

The directors present their report and the consolidated financial statements of the group for the year ended 30 November 2025 .

Directors

The directors who served the company during the year were as follows:

B N Lukka
N J Lukka

Dividends

The directors do not recommend the payment of a dividend.

Greenhouse gas emissions and energy consumption

	Unit	2025
Emissions resulting from activities for which the group is responsible	tCO2e	751
Emissions resulting from the purchase of electricity by the group for its own use	tCO2e	141
		----
Total emissions	tCO2e	892
Total energy consumption	kWh	4,130,252
Intensity metric - tonnes CO2e per metre square		0.04
		------------

Methodologies for energy and emissions calculations

LCH Care Group Limited has chosen to report on the following key items within its environmental boundary: - Scope 1 - Building gas - 608tCO2e - Scope 2 - Building electricity - 141tCO2e - Scope 3 - Transport (Grey Fleet) - 2tCO2e The building energy data has been calculated using invoices provided by the energy supplier on a monthly basis. Fuel usage associated with gas, electricity and expensed mileage claims have been provided by the financial controller.

Principal measures taken to increase energy efficiency

As a result of the SECR reports for the periods, the group will be reviewing what action can be taken to reduce their carbon footprint further. The measures to be considered and evaluated could include the following; - Continuation of an improved energy and carbon reporting system including performance reporting and improved data collection. - Undertaking an investment grade energy audit across the groups sites to identify potential savings and carbon reduction measures such as voltage optimisation, solar OV potential and smart TRV's for instance. - Procurement of a 100% REGO certified electricity contract when the current contract ends. This will reduce carbon emissions by 21%. - Continually monitoring compliance requirements for ESOS Phase 4 compliance reporting which is due to commence December 2026.

Employment of disabled persons

Full and fair consideration is given to the employment of disabled persons having regard to their particular aptitudes and abilities. Appropriate training is provided for disabled persons and this includes retraining for alternative work of employees who become disabled.

Employee involvement

The group places considerable value on the involvement of its employees and keeps them informed on matters affecting them as employees and on the various factors affecting the performance of the group. This is achieved through formal and informal meetings and social activities.

Disclosure of information in the strategic report

The company has chosen to set out in the strategic report information about the future developments of the company and the financial instruments. The company has chosen in accordance with section 414C(11) of the Companies Act 2006 (Strategic Report and Directors' Report) Regulations 2013 to set out in the company's report information required by schedule 7 of the Large and Medium-sized Companies and Groups (Accounts and Reports) Regulations 2008.

Directors' responsibilities statement

The directors are responsible for preparing the strategic report, directors' report and the consolidated financial statements in accordance with applicable law and regulations. Company law requires the directors to prepare consolidated financial statements for each financial year. Under that law the directors have elected to prepare the consolidated financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the consolidated financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the group and the company and the profit or loss of the group for that period. In preparing these consolidated financial statements, the directors are required to: - select suitable accounting policies 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 consolidated financial statements; - prepare the consolidated financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the consolidated 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. Auditor

Each of the persons who is a director at the date of approval of this report confirms that:

- so far as they are aware, there is no relevant audit information of which the group and the company's auditor is unaware; and - they have taken all steps that they ought to have taken as a director to make themselves aware of any relevant audit information and to establish that the group and the company's auditor is aware of that information. The auditor is deemed to have been re-appointed in accordance with section 487 of the Companies Act 2006.

This report was approved by the board of directors on 31 July 2026 and signed on behalf of the board by:

B N Lukka

Director

Registered office:

Lodge House

9-17 Lodge Lane

London

England

N12 8JH

LCH Care Group Limited

Independent Auditor's Report to the Members of LCH Care Group Limited

Year ended 30 November 2025

Opinion

We have audited the consolidated financial statements of LCH Care Group Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 30 November 2025 which comprise the consolidated statement of comprehensive income, consolidated statement of financial position, company statement of financial position, consolidated statement of changes in equity, company statement of changes in equity, consolidated 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 FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice). In our opinion the consolidated financial statements: - give a true and fair view of the state of the group's and of the parent company's affairs as at 30 November 2025 and of the group's profit for the year then ended; - have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; - 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 consolidated financial statements section of our report. We are independent of the group in accordance with the ethical requirements that are relevant to our audit of the consolidated financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

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

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the group's or the parent company's ability to continue as a going concern for a period of at least twelve months from when the consolidated 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 consolidated financial statements and our auditor’s report thereon. The directors are responsible for the other information. Our opinion on the consolidated financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. In connection with our audit of the consolidated financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the consolidated 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 consolidated financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

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

- the information given in the strategic report and the directors' report for the financial year for which the consolidated financial statements are prepared is consistent with the consolidated 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 group and the parent 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 by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or - the parent company consolidated 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, the directors are responsible for the preparation of the consolidated 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 consolidated financial statements that are free from material misstatement, whether due to fraud or error. In preparing the consolidated financial statements, the directors are responsible for assessing the group's and the parent company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the group or the parent company or to cease operations, or have no realistic alternative but to do so.

Auditor's responsibilities for the audit of the consolidated financial statements

Our objectives are to obtain reasonable assurance about whether the consolidated 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 consolidated 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: Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows: - the engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations; - we identified the laws and regulations applicable to the company through discussions with directors and other management, and from our commercial knowledge and experience of the company and sector in which it operates; - we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the company, including the Companies Act 2006 and taxation legislation, Care Home legislation and health and safety legislation; - we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and inspecting legal correspondence; and - identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit. We assessed the susceptibility of the company's financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by: - making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud; and - considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations. To address the risk of fraud through management bias and override of controls, we: - performed analytical procedures to identify any unusual or unexpected relationships; - tested journal entries to identify unusual transactions; - assessed whether judgements and assumptions made in determining the accounting estimates set out in Note 3 were indicative of potential bias; and - investigated the rationale behind significant or unusual transactions. In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to: - agreeing financial statement disclosures to underlying supporting documentation; - reading the minutes of meetings of those charged with governance; - inquiring of management as to actual and potential litigation and claims; and - reviewing correspondence with HMRC, relevant regulators and the company's legal advisors. There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to inquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any. Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion. As part of an audit in accordance with ISAs (UK), we exercise professional judgment and maintain professional scepticism throughout the audit. We also: - Identify and assess the risks of material misstatement of the consolidated financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. - Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the group's internal control. - Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the directors. - Conclude on the appropriateness of the directors' use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the group's or the parent company's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the consolidated financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the group or the parent company to cease to continue as a going concern. - Evaluate the overall presentation, structure and content of the consolidated financial statements, including the disclosures, and whether the consolidated financial statements represent the underlying transactions and events in a manner that achieves fair presentation. - Obtain sufficient appropriate audit evidence regarding the financial information of the entities or business activities within the group to express an opinion on the consolidated consolidated financial statements. We are responsible for the direction, supervision and performance of the group audit. We remain solely responsible for our audit opinion. We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit. 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.

Jonathan Day

(Senior Statutory Auditor)

For and on behalf of

Streets Audit LLP

Chartered accountants & statutory auditor

Enterprise House

38 Tyndall Court

Commerce Road

Lynch Wood

Peterborough

Cambridgeshire

PE2 6LR

31 July 2026

LCH Care Group Limited

Consolidated Statement of Comprehensive Income

Year ended 30 November 2025

		2025	2024
Note		£	£
Turnover	4	22,861,294	20,159,282

Cost of sales	14,063,184	12,075,594
	-------------	-------------
Gross profit	8,798,110	8,083,688

Administrative expenses		1,833,218	2,008,601
Other operating income	5	–	14,760
		------------	------------
Operating profit	6	6,964,892	6,089,847

Share of profit of associates	14	386,220	–
Income from other fixed asset investments	9	–	180,956
Other interest receivable and similar income		371,895	197,195
Amounts written back to investments	10	–	2,460,043
Interest payable and similar expenses	11	831,267	1,459,187
		------------	------------
Profit before taxation		6,891,740	2,548,768

Tax on profit	12	1,862,983	1,298,439
		------------	------------
Profit for the financial year and total comprehensive income		5,028,757	1,250,329
		------------	------------

All the activities of the group are from continuing operations.

LCH Care Group Limited

Consolidated Statement of Financial Position

30 November 2025

	2025	2024
Note	£	£

Fixed assets

Tangible assets	13	43,653,996	43,820,586
Investments	14	4,384,355	–
		-------------	-------------
		48,038,351	43,820,586

Current assets

Debtors	15	8,161,536	1,859,243
Cash at bank and in hand		8,377,767	19,696,985
		-------------	-------------
		16,539,303	21,556,228

Creditors: amounts falling due within one year	16	3,923,708		9,411,100
		-------------		-------------
Net current assets			12,615,595	12,145,128
			-------------	-------------
Total assets less current liabilities			60,653,946	55,965,714

Creditors: amounts falling due after more than one year	17		9,583,191	10,119,223

Provisions

Taxation including deferred tax	18	3,038,399	2,842,892
		-------------	-------------
Net assets		48,032,356	43,003,599
		-------------	-------------

LCH Care Group Limited

Consolidated Statement of Financial Position (continued)

30 November 2025

	2025	2024
Note	£	£

Capital and reserves

Called up share capital	22	20,400	20,400
Revaluation reserve	23	12,710,197	12,710,197
Profit and loss account	23	35,301,759	30,273,002
		-------------	-------------
Shareholders funds		48,032,356	43,003,599
		-------------	-------------

These consolidated financial statements were approved by the board of directors and authorised for issue on 31 July 2026 , and are signed on behalf of the board by:

B N Lukka

Director

Company registration number: 15851936

LCH Care Group Limited

Company Statement of Financial Position

30 November 2025

	2025	2024
Note	£	£

Fixed assets

Investments	14		4,404,655	20,300

Current assets

Debtors	15	6,766,388	100
Cash at bank and in hand		4,938,645	–
		-------------	----
		11,705,033	100

Creditors: amounts falling due within one year	16	15,636,438		–
		-------------		----
Net current (liabilities)/assets			( 3,931,405)	100
			------------	--------
Total assets less current liabilities			473,250	20,400
			---------	--------

LCH Care Group Limited

Company Statement of Financial Position (continued)

30 November 2025

	2025	2024
Note	£	£

Capital and reserves

Called up share capital	22	20,400	20,400
Profit and loss account	23	452,850	–
		---------	--------
Shareholders funds		473,250	20,400
		---------	--------

The profit for the financial year of the parent company was £ 452,850 (2024: £Nil).

These consolidated financial statements were approved by the board of directors and authorised for issue on 31 July 2026 , and are signed on behalf of the board by:

B N Lukka

Director

Company registration number: 15851936

LCH Care Group Limited

Consolidated Statement of Changes in Equity

Year ended 30 November 2025

		Called up share capital	Revaluation reserve	Profit and loss account	Total
		£	£	£	£
At 1 December 2023		20,400	12,940,162	28,792,708	41,753,270

Profit for the year				1,250,329	1,250,329
Other comprehensive income for the year:
	Reclassification from revaluation reserve to profit and loss account	–	( 229,965)	229,965	–
		--------	-------------	-------------	-------------
Total comprehensive income for the year		–	( 229,965)	1,480,294	1,250,329

At 30 November 2024		20,400	12,710,197	30,273,002	43,003,599

Profit for the year				5,028,757	5,028,757
		--------	-------------	-------------	-------------
Total comprehensive income for the year		–	–	5,028,757	5,028,757

		--------	-------------	-------------	-------------
At 30 November 2025		20,400	12,710,197	35,301,759	48,032,356
		--------	-------------	-------------	-------------

LCH Care Group Limited

Company Statement of Changes in Equity

Year ended 30 November 2025

	Called up share capital	Profit and loss account	Total
	£	£	£
At 1 December 2023	20,400	–	20,400

Profit for the year		–	–

At 30 November 2024	20,400	–	20,400

Profit for the year		452,850	452,850
	--------	---------	---------
Total comprehensive income for the year	–	452,850	452,850

	--------	---------	---------
At 30 November 2025	20,400	452,850	473,250
	--------	---------	---------

LCH Care Group Limited

Consolidated Statement of Cash Flows

Year ended 30 November 2025

	2025	2024
	£	£

Cash flows from operating activities

Profit for the financial year	5,028,757	1,250,329

Adjustments for:
Depreciation of tangible assets	942,079	858,928
Amounts written back to investments	–	2,460,043
Government grant income	–	( 14,760)
Share of profit of associates	( 386,220)	–
Income from other fixed asset investments	–	( 180,956)
Other interest receivable and similar income	( 371,895)	( 197,195)
Interest payable and similar expenses	831,267	1,459,187
Tax on profit	1,862,983	1,298,439
Accrued (income)/expenses	( 253,653)	302,739

Changes in:
Trade and other debtors	( 6,302,293)	11,602,673
Trade and other creditors	648,522	863,293
	------------	-------------
Cash generated from operations	1,999,547	19,702,720

Interest paid	( 831,267)	( 1,459,187)
Interest received	371,895	197,195
Tax paid	( 2,278,708)	( 1,033,045)
	------------	-------------
Net cash (used in)/from operating activities	( 738,533)	17,407,683
	------------	-------------

Cash flows from investing activities

Purchase of tangible assets	( 775,489)	( 6,257,227)
Acquisition of interests in associates and joint ventures	( 3,998,135)	–
Proceeds from sale of other investments	–	6,151,679
Dividends received	–	180,956
	------------	-------------
Net cash (used in)/from investing activities	( 4,773,624)	75,408
	------------	-------------

Cash flows from financing activities

Proceeds from borrowings	( 5,807,061)	( 748,278)
Proceeds from loans from participating interests	–	( 5,574,800)
Government grant income	–	14,760
	------------	-------------
Net cash used in financing activities	( 5,807,061)	( 6,308,318)
	------------	-------------

Net (decrease)/increase in cash and cash equivalents	( 11,319,218)	11,174,773
Cash and cash equivalents at beginning of year	19,696,985	8,522,212
	-------------	-------------
Cash and cash equivalents at end of year	8,377,767	19,696,985
	-------------	-------------

LCH Care Group Limited

Notes to the Consolidated Financial Statements

Year ended 30 November 2025

1. General information

The company is a private company limited by shares, registered in England and Wales. The address of the registered office is Lodge House, 9-17 Lodge Lane, London, N12 8JH, England.

2. Statement of compliance

These consolidated financial statements have been prepared in compliance with FRS 102, 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland'.

3. Accounting policies

Basis of preparation

The financial statements have been prepared on the historical cost basis, as modified by the revaluation of certain financial assets and liabilities measured at fair value through profit or loss. The financial statements are prepared in sterling, which is the functional currency of the entity.

Disclosure exemptions

The group is not entitled to reduced disclosures under FRS 102.

Consolidation

The consolidated financial statements consolidate the consolidated financial statements of LCH Care Group Limited and all of its subsidiary undertakings. These are the 100% owned companies listed in note 14. The results of subsidiaries acquired or disposed of during the year are included from or to the date that control passes. The parent company has applied the exemption contained in section 408 of the Companies Act 2006 and has not presented its individual profit and loss account. Non-controlling interests Minority interests in the net assets of consolidated subsidiaries are identified separately from the Group’s equity. Minority interests consist of the amount of those interests at the date of the original business combination and the minority’s share of changes in equity since the date of the combination. The proportions of profit or loss and changes in equity allocated to the owners of the parent and to the minority interests are determined on the basis of existing ownership interests and do not reflect the possible exercise or conversion of options or convertible instruments.

Judgements and key sources of estimation uncertainty

The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported. These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. The judgements (apart from those involving estimations) that management has made in the process of applying the groups accounting policies and that have the most significant effect on the amounts recognised in the financial statements are as follows: Valuation of land and buildings The group carries its property used in the business at fair value, with changes in fair value being recognised through other comprehensive income. The group has consulted with external valuers to ascertain the fair value of the land and buildings. The valuation of the groups land and buildings is inherently subjective due to, among other factors, the individual nature, location and condition of the nursing home premises. The land element of the land and buildings is also a subjective judgement. As a a result the valuation is subject to a degree of uncertainty. The Directors have assessed the market value of the properties each year and deem the net book value to be materially in line with the market value at the year-end date. Deferred tax has been recognised on revalued property, based on the estimated fair value at the year-end date. Related Party Debtors Included in the accounts are amounts due from companies under the control of N J Lukka and members of his close family. The directors have considered the quality and performance of the underlying assets and deemed these amounts to be recoverable and not impaired. Depreciation Depreciation is recognised over the estimated useful life of assets, please see the accounting policy for further details.

Revenue recognition

Turnover is measured at the fair value of the consideration received or receivable and represents amounts receivable for services rendered, stated net of discounts and of Value Added Tax.

Income tax

The taxation expense represents the aggregate amount of current and deferred tax recognised in the reporting period. Tax is recognised in profit or loss, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. In this case, tax is recognised in other comprehensive income or directly in equity, respectively. Current tax is recognised on taxable profit for the current and past periods. Current tax is measured at the amounts of tax expected to pay or recover using the tax rates and laws that have been enacted or substantively enacted at the reporting date.

Deferred tax is recognised in respect of all timing differences at the reporting date. Unrelieved tax losses and other deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date that are expected to apply to the reversal of the timing difference.

Tangible assets

Tangible assets are initially recorded at cost, and subsequently stated at cost less any accumulated depreciation and impairment losses. Any tangible assets carried at revalued amounts are recorded at the fair value at the date of revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses. An increase in the carrying amount of an asset as a result of a revaluation, is recognised in other comprehensive income and accumulated in equity, except to the extent it reverses a revaluation decrease of the same asset previously recognised in profit or loss. A decrease in the carrying amount of an asset as a result of revaluation, is recognised in other comprehensive income to the extent of any previously recognised revaluation increase accumulated in equity in respect of that asset. Where a revaluation decrease exceeds the accumulated revaluation gains accumulated in equity in respect of that asset, the excess shall be recognised in profit or loss.

Depreciation

Depreciation is calculated so as to write off the cost or valuation of an asset, less its residual value, over the useful economic life of that asset as follows:

Freehold property	-	2% Straight line (excluding land)
Fixtures and fittings	-	15% Reducing balance

Investments

Fixed asset investments are initially recorded at cost, and subsequently stated at cost less any accumulated impairment losses.

Listed investments are measured at fair value with changes in fair value being recognised in profit or loss.

Investments in associates

Investments in associates are accounted for using the equity method of accounting, whereby the investment is initially recognised at the transaction price and subsequently adjusted to reflect the group's share of the profit or loss, other comprehensive income and equity of the associate.

Investments in joint ventures

Investments in joint ventures are accounted for using the equity method of accounting, whereby the investment is initially recognised at the transaction price and subsequently adjusted to reflect the group's share of the profit or loss, other comprehensive income and equity of the joint venture.

Government grants

Government grants are recognised at the fair value of the asset received or receivable. Grants are not recognised until there is reasonable assurance that the company will comply with the conditions attaching to them and the grants will be received. A grant that specifies performance conditions is recognised in income when the performance conditions are met. Where a grant does not specify performance conditions it is recognised in income when the proceeds are received or receivable. A grant received before the recognition criteria are satisfied is recognised as a liability.

Provisions

Provisions are recognised when the entity has an obligation at the reporting date as a result of a past event, it is probable that the entity will be required to transfer economic benefits in settlement and the amount of the obligation can be estimated reliably. Provisions are recognised as a liability in the statement of financial position and the amount of the provision as an expense.

Financial instruments

The company holds basic financial instruments as defined in FRS102. The financial assets and financial liabilities of the company and their measurement basis are as follows: Financial assets - trade and other debtors are basic financial instruments and are debt instruments measured at amortised cost. Prepayments are not financial instruments. Cash at bank is classified as a basic financial instrument and is measured at amortised cost. Financial liabilities - trade creditors, accruals and other creditors are financial instruments, and are measured at amortised cost. Taxation and social security are not included in the financial instruments disclosure definition.

Defined contribution plans

Contributions to defined contribution plans are recognised as an expense in the period in which the related service is provided.

4. Turnover

Turnover arises from:

	2025	2024
	£	£
Nursing home fees	22,861,294	20,159,282
	-------------	-------------

The whole of the turnover is attributable to the principal activity of the group wholly undertaken in the United Kingdom.

5. Other operating income

	2025	2024
	£	£
Government grant income	–	14,760
	----	--------

6. Operating loss

Operating profit or loss is stated after charging:

	2025	2024
	£	£
Depreciation of tangible assets	942,079	858,928
Impairment of trade debtors	–	383,761
	---------	---------

7. Auditor's remuneration

	2025	2024
	£	£
Fees payable for the audit of the consolidated financial statements	48,500	39,538
	--------	--------

8. Staff costs

The average number of persons employed by the group during the year, including the directors, amounted to:

	2025	2024
	No.	No.
Administration and care staff	377	367
	----	----

The aggregate payroll costs incurred during the year, relating to the above, were:

	2025	2024
	£	£
Wages and salaries	11,076,110	9,558,150
Social security costs	1,268,468	896,662
Other pension costs	207,632	210,459
	-------------	-------------
	12,552,210	10,665,271
	-------------	-------------

9. Income from other fixed asset investments

	2025	2024
	£	£
Income from other fixed asset investments	–	180,956
	----	---------

10. Amounts written back to investments

	2025	2024
	£	£
Impairment of other fixed asset investments	–	2,460,043
	----	------------

The group has an investment in Radia Estates Ltd which was fully impaired in the previous year.

11. Interest payable and similar expenses

	2025	2024
	£	£
Interest on banks loans and overdrafts	831,267	1,451,903
Other interest payable and similar charges	–	7,284
	---------	------------
	831,267	1,459,187
	---------	------------

12. Tax on profit

Major components of tax expense

	2025	2024
	£	£

Current tax:

UK current tax expense	1,688,812	1,288,751
Adjustments in respect of prior periods	( 21,336)	–
	------------	------------
Total current tax	1,667,476	1,288,751
	------------	------------

Deferred tax:

Origination and reversal of timing differences	195,507	9,688
	------------	------------
Tax on profit	1,862,983	1,298,439
	------------	------------

Reconciliation of tax expense

The tax assessed on the profit on ordinary activities for the year is higher than (2024: higher than) the standard rate of corporation tax in the UK of 25 % (2024: 25 %).

	2025	2024
	£	£
Profit on ordinary activities before taxation	6,891,740	2,548,768
	------------	------------
Profit on ordinary activities by rate of tax	1,626,381	637,181
Adjustment to tax charge in respect of prior periods	86,192	–
Effect of expenses not deductible for tax purposes	14,276	604,619
Effect of capital allowances and depreciation	136,134	86,751
Effect of revenue exempt from tax	–	( 63,834)
Chargeable gain/loss	–	10,584
Deferred tax not recognised	–	23,138
	------------	------------
Tax on profit	1,862,983	1,298,439
	------------	------------

13. Tangible assets

Group	Land and buildings	Fixtures and fittings	Total
	£	£	£
Cost
At 1 December 2024	45,010,023	3,614,399	48,624,422
Additions	391,374	384,115	775,489
	-------------	------------	-------------
At 30 November 2025	45,401,397	3,998,514	49,399,911
	-------------	------------	-------------
Depreciation
At 1 December 2024	2,202,673	2,601,163	4,803,836
Charge for the year	732,478	209,601	942,079
	-------------	------------	-------------
At 30 November 2025	2,935,151	2,810,764	5,745,915
	-------------	------------	-------------
Carrying amount
At 30 November 2025	42,466,246	1,187,750	43,653,996
	-------------	------------	-------------
At 30 November 2024	42,807,350	1,013,236	43,820,586
	-------------	------------	-------------

The company has no tangible assets.

Included within freehold property is land valued at £8,847,956 which has not been depreciated.

Tangible assets held at valuation

The carrying value of some land and buildings was revalued as at 30 November 2020. The revaluation was based on a valuation report prepared on 7 January 2021 by a third party RICS certified property consultant. Their valuation was based on the special assumption that the land and buildings are fully equipped as operational entities and valued having regard to trading potential, as at the date of valuation. As at 30 November 2025 the directors believe that the carrying value of the land and buildings correctly reflect their fair value.

14. Investments

Group	Interests in associates	Other investments other than loans	Total
	£	£	£
Share of net assets/cost
At 1 December 2024	–	2,460,043	2,460,043
Additions	3,998,135	–	3,998,135
Share of profit or loss	386,220		386,220
	------------	------------	------------
At 30 November 2025	4,384,355	2,460,043	6,844,398
	------------	------------	------------
Impairment
At 1 December 2024 and 30 November 2025	–	2,460,043	2,460,043
	------------	------------	------------

Carrying amount
At 30 November 2025	4,384,355	–	4,384,355
	------------	------------	------------
At 30 November 2024	–	–	–
	------------	------------	------------

Company	Shares in group undertakings	Shares in participating interests	Total
	£	£	£
Cost
At 1 December 2024	20,300	–	20,300
Additions	–	3,998,135	3,998,135
	--------	------------	------------
At 30 November 2025	20,300	3,998,135	4,018,435
	--------	------------	------------
Impairment
At 1 December 2024 and 30 November 2025	–	–	–
	--------	------------	------------

Carrying amount
At 30 November 2025	20,300	3,998,135	4,018,435
	--------	------------	------------
At 30 November 2024	20,300	–	20,300
	--------	------------	------------

Subsidiaries, associates and other investments

Details of the investments in which the group and the parent company have an interest of 20% or more are as follows:

	Registered office	Class of share	Percentage of shares held
Subsidiary undertakings
Acorn Lodge Limited	Macneil House 9-17 Lodge Lane, London, N12 8JH	Ordinary	100
Topcare Limited	Macneil House 9-17 Lodge Lane, London, N12 8JH	Ordinary	100
Mornington Care Ltd	Macneil House 9-17 Lodge Lane, London, N12 8JH	Ordinary	100
LCH Brook Limited	Macneil House 9-17 Lodge Lane, London, N12 8JH	Ordinary	100
BNTL Care Ltd	Macneil House 9-17 Lodge Lane, London, N12 8JH	Ordinary	100

Associates
LCH2010 Newco Limited	Ordinary	22.22

Investments in associates and joint ventures

During the year, the company acquired 22.2% of shares in LCH2010 Newco Limited.

15. Debtors

	Group		Company
	2025	2024	2025	2024
	£	£	£	£
Trade debtors	1,023,799	1,512,088	–	–
Amounts owed by group undertakings	–	–	4,166,288	–
Prepayments and accrued income	351,174	310,265	–	–
Directors loan account	–	2,682	–	–
Other debtors	6,786,563	34,208	2,600,100	100
	------------	------------	------------	----
	8,161,536	1,859,243	6,766,388	100
	------------	------------	------------	----

16. Creditors: amounts falling due within one year

	Group		Company
	2025	2024	2025	2024
	£	£	£	£
Bank loans and overdrafts	223,052	5,494,081	–	–
Trade creditors	1,146,822	1,396,488	–	–
Amounts owed to group undertakings	–	–	14,675,627	–
Accruals and deferred income	465,460	719,113	–	–
Corporation tax	252,519	863,751	22,210	–
Social security and other taxes	277,238	273,522	–	–
Other creditors	1,558,617	664,145	938,601	–
	------------	------------	-------------	----
	3,923,708	9,411,100	15,636,438	–
	------------	------------	-------------	----

Bank loans and overdrafts are secured by a legal charge over the freehold property and a debenture over the assets of the company as well as a cross-guarantee given by other companies under the control of the shareholder. The loans are repayable on a monthly basis and interest of bases rates plus 1.25%, 2.15% and 2.25% is payable on these loans. At 30 November 2025, the net bank loans subject to cross guarantee amounted to £23.6m (2024: £15.6m). There is a second tier fixed and floating charge over the assets of the company.

17. Creditors: amounts falling due after more than one year

	Group		Company
	2025	2024	2025	2024
	£	£	£	£
Bank loans and overdrafts	9,583,191	10,119,223	–	–
	------------	-------------	----	----

Bank loans and overdrafts are secured by a legal charge over the freehold property and a debenture over the assets of the company as well as a cross-guarantee given by other companies under the control of the shareholder. The loans are repayable on a monthly basis and interest of bases rates plus 1.25%, 2.15% and 2.25% is payable on these loans. At 30 November 2025, the net bank loans subject to cross guarantee amounted to £23.6m (2024: £15.6m). There is a second tier fixed and floating charge over the assets of the company.

18. Provisions

Group	Deferred tax (note 19)
	£
At 1 December 2024	2,842,892
Additions	195,507
	------------
At 30 November 2025	3,038,399
	------------

The company does not have any provisions.

19. Deferred tax

The deferred tax included in the statement of financial position is as follows:

	Group		Company
	2025	2024	2025	2024
	£	£	£	£
Included in provisions (note 18)	3,038,399	2,842,892	–	–
	------------	------------	----	----

The deferred tax account consists of the tax effect of timing differences in respect of:

	Group		Company
	2025	2024	2025	2024
	£	£	£	£
Accelerated capital allowances	213,415	126,017	–	–
Pension plan obligations	( 3,400)	( 4,084)	–	–
Deferred tax - other short term timing differences	112,780	–	–	–
Capital gains	2,715,604	2,720,959	–	–
	------------	------------	----	----
	3,038,399	2,842,892	–	–
	------------	------------	----	----

20. Employee benefits

Defined contribution plans

The amount recognised in profit or loss as an expense in relation to defined contribution plans was £ 207,632 (2024: £ 210,459 ).

21. Government grants

The amounts recognised in the consolidated financial statements for government grants are as follows:

Group		Company
2025	2024	2025	2024
£	£	£	£

Recognised in other operating income:

Government grants recognised directly in income	–	14,760	–	–
	----	--------	----	----

22. Called up share capital

Issued, called up and fully paid

	2025		2024
	No.	£	No.	£
Ordinary shares of £ 1 each	20,400	20,400	20,400	20,400
	--------	--------	--------	--------

23. Reserves

Revaluation reserve - This reserve records the value of asset revaluations and fair value movements on assets recognised in other comprehensive income. Profit and loss account - This reserve records retained earnings and accumulated losses.

24. Analysis of changes in net debt

	At 1 Dec 2024	Cash flows	At 30 Nov 2025
	£	£	£
Cash at bank and in hand	19,696,985	(11,319,218)	8,377,767
Debt due within one year	(5,494,081)	5,271,029	(223,052)
Debt due after one year	(10,119,223)	536,032	(9,583,191)
	-------------	-------------	------------
	4,083,681	( 5,512,157)	( 1,428,476)
	-------------	-------------	------------

25. Directors' advances, credits and guarantees

At the year end the group was owed £nil (2024: £2,682) by N J Lukka . No interest was charged and there is no fixed repayment date for the loan.

26. Related party transactions

Group

The company has taken advantage of the exemption available under FRS 102 not to disclose transactions with other group companies. The assets of the group are subject to a cross-guarantee given in relation to the borrowings of other companies under the control of the shareholders.

Company

At 30 November 2025, the company was owed £2.6m by BNJ Investments Limited, a company under common control (2024:£nil). The company was charged no interest on this balance in the current or previous year. The company was owed £2.5m by Lukka Care Homes (2010) Limited, a company under common control (2024:£nil). The company was charged no interest on this balance in the current or previous year. The company was owed £1.7m by Lukka Care Homes Limited, a company under common control (2024:£nil). The company was charged no interest on this balance in the current or previous year. During the year, the company acquired 22.2% of the shares in LCH2010 Newco Limited, a company owned under common control.

LCH Care Group Limited

Notes to the Consolidated Financial Statements (continued)

Year ended 30 November 2025

27. Controlling party

The directors consider that the ultimate controlling parties are the Trustees of the LCH Care Group Discretionary Trust.