The directors present the strategic report for the year ended 31 March 2025.
The primary focus for the business remains the quality of life of the residents that live in our home and we continue to aim to provide them with the best possible experience. Our people are core to this provision and we are focussed on building stable and well-trained teams to deliver consistency and quality at every level of the organisation.
The group's ongoing strategy is to provides high-quality care, within safe and stimulating environments and we work with all stakeholders to ensure our care is accessible to all. The homes are modern and well-maintained facilities, and the group continues to update existing care homes through its continuing refurbishment programme.
The directors are pleased with the strong growth in turnover and profitability achieved during the year. The results reflect the successful implementation of our growth strategy and continued demand for its services. The directors remain confident that the business is well positioned to continue its growth trajectory, making strategic acquisitions and commissioning new developments.
The group currently operates 12 active care homes providing over 850 beds. Whether our customers are publicly or privately funded, the company will not compromise on meeting individual needs. We continue to put a lot of emphasis on regulatory compliance and have invested in our central teams to ensure that standards are sustainable.
We have a new development opening in 2026 in Havant and will be developing out a new site in Farnborough in 2027. It is our intention to continue our development programme and we are currently in the process of acquiring new development sites.
During the year ended 31 March 2025, the group achieved a significant improvement in turnover resulting in an increase to £32,396,854 (2024: £12,315,819), gross profit of £9,435,407 (2024: £6,122,960). Administrative expenses increased to £13,386,415 (2024: £8,362,126), reflecting the expansion of the company's activities during the year. Operating loss of £3,940,457 compared to 2024 profit of £2,150,193. Losses before taxation of £4,722,064 compared to 2024 profit of £2,093,562 and loss for the financial period amounted to £4,918,762 (2024: £2,069,995 profit).
The Board of Directors has overall responsibility for assessing risks, while the senior management team is responsible for managing risk and maintaining an appropriate control environment.
The principal risks can be categorised as commercial, operational and financial risk.
Commercial
The principal commercial risk that the group faces is the level of demand for its services and the consumer’s ability to pay for those services. To mitigate this risk, there are arrangements in place to ensure standards are maintained through oversight, governance and training. There is a strong emphasis on relationship management with stakeholders and we work with those involved to ensure clear funding pathways.
Future changes in the National Living Wage (NLW) are expected to have a significant impact on labour costs in the social care sector. If the Company is unable to recover these increased costs, it could have a negative impact on operating margins.
Other inflationary pressures, such as rising utility and food costs, are also being closely monitored by the management team. To mitigate these risks, cost control strategies are employed including price hedging where possible, and actively manages supplier relationships.
Operational
With the emphasis on quality of care, the recruitment and retention of team members is a significant focus for the operational team. In the year, this key function was centralised to ensure there was a consistency of approach and designated job roles have also been created at home level to support new team members settle into their work environment. Pay rates are regularly reviewed to ensure they are competitive in the local markets.
Tied to recruitment and retention, agency use is a low to medium risk for the business with occasional usage required across our homes. We continue to actively monitor and measure agency usage on a monthly basis.
There is a risk that care standards are either not maintained or not consistent across our group. A new learning and development manager was employed and they have established a training framework across the homes. This framework ensures every job role has a training plan and also provides staff with opportunities to further develop their careers.
Failure to adhere to regulations in our industry carries significant risk. This could range from restrictions on new resident admissions to the potential loss of registration certificates required to operate. To mitigate regulatory risks, stringent quality policies and procedures are in place, supported by rigorous internal governance audits and oversight to ensure compliance and the safety of its residents. In addition, the group operates within a robust external governance structure;.
Financial
The group has long-term bank loans and interest rates present a significant risk. Whilst interest rate have fallen after the period, the risk remains relevant. Interest rate hedging has been utilised where possible, thereby limiting the exposure to interest rate fluctuations. Prudent liquidity management policies are in place, which include the preparation of regular, detailed cash flow forecasts to monitor liquidity on an ongoing basis and ensure financial stability.
A significant portion of the group’s revenue comes from privately funded customers, exposing it to credit risk. In the event of a prolonged recession or weakened macroeconomic conditions, personal disposable income and/or asset values could decline, affecting the ability of some clients to pay for care services. However, this risk is considered to be manageable, and adequate provisions have been made in the financial statements to address any potential defaults.
Section 172(1) Statement
Under section 172(1) of the Companies Act 2006, the directors must act in the way they consider, in good faith, would be most likely to promote the success of the Company for the benefit of its members as a whole, having regard to the matters set out in s172(1)(a)–(f). This statement explains how the directors have done so during the period.
Residents and families — Resident wellbeing, dignity and safety remain central to Board decision-making. The directors have regard to feedback when reviewing care quality and refurbishment priorities.
Employees — The Group's ability to deliver high-quality care depends on a skilled, engaged workforce. The directors have had regard to employee interests and recognise the importance of staff retention to continuity of care.
Regulators and commissioners — Given the regulated environment in which the Group operates, the directors maintain close working relationships with the CQC, the Care Inspectorate, local authorities and NHS commissioners to ensure care standards and commissioning arrangements remain aligned.
Suppliers and business relationships — The Group seeks long-term, fair relationships with its suppliers and contractors.
Long-term decision-making — The Board's decisions reflect its assessment of the long-term benefit to residents, employees and shareholders, weighed against the risks set out in Principal Risks and Uncertainties.
The directors use a range of financial and non-financial key performance indicators (“KPIs”) to measure the company’s performance and progress against its objectives. The company strategy is focused on delivery of service, maintain growth, upholding care homes to a high standard and generating increasing operating income through high level of occupancy.
These KPIs are reviewed regularly by the directors and are used to assist in corrective action to ensure that the company meets it objectives.
The key financial and other key performance indicators during the year were as follows:
| 2025 | 2024 |
| £ | £ |
Turnover | 32,396,854 | 12,315,819 |
Operating (loss)/profit | (3,940,457) | 2,150,193 |
(Loss)/profit before taxation | (4,722,064) | 2,093,562 |
Average number of employees | 963 | 217 |
Equity Shareholders’ funds | (3,722,071) | (362,946) |
The Directors are satisfied with the results for the year.
The directors consider these financial KPIs to be appropriate measures of the company’s profitability, financial strength and ability to support its ongoing operations and growth strategy.
Non-financial key performance indicators
The directors monitor a number of non-financial KPIs which they consider to be relevant to an understanding of the development, performance and position of the company’s business.
The principal non-financial KPI's monitored by the directors are occupancy levels in the company’s care homes, which reflect the company’s ability to maintain good relationships with its customers and in turn increase consumer awareness of the company’s care home portfolio. The directors also review employee numbers and staff retention to ensure that the company has appropriate resources and expertise to manage its activities effectively.
The directors continue to use non-financial KPIs alongside financial performance measures in assessing the company’s development.
On behalf of the board
The directors present their annual report and financial statements for the year ended 31 March 2025.
The results for the year are set out on page 11.
Ordinary dividends were paid amounting to £558,000. The directors do not recommend payment of a further dividend.
The directors who held office during the year and up to the date of signature of the financial statements were as follows:
The group's policy is to consult and discuss with employees, through unions, staff councils and at meetings, matters likely to affect employees' interests.
Information about matters of concern to employees is given through information bulletins and reports which seek to achieve a common awareness on the part of all employees of the financial and economic factors affecting the group's performance.
There is no employee share scheme at present, but the directors are considering the introduction of such a scheme as a means of further encouraging the involvement of employees in the company's performance.
In accordance with the company's articles, a resolution proposing that Arnold Hill & Co LLP be reappointed as auditor of the group will be put at a General Meeting.
During the current and preceding periods, the company has maintained adequate cover for its directors and officers under a director's and officer's liability insurance policy.
This report has been prepared in accordance with the provisions applicable to groups and companies entitled to the exemptions of the small companies regime.
United Kingdom company law requires the directors to prepare financial statements for each financial year. Under that law, the directors have elected to prepare the group and parent company financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law, the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the group and parent company, and of the profit or loss of the group for that period.
In preparing these financial statements, the directors are required to:
select suitable accounting policies and then apply them consistently;
make judgements and accounting estimates that are reasonable and prudent;
state whether applicable United Kingdom Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and
prepare the financial statements on the going concern basis unless it is inappropriate to presume that the group and parent company will continue in business.
The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the group’s and parent company’s transactions and disclose with reasonable accuracy at any time the financial position of the group and parent company, and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the group and parent company, and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
We have audited the financial statements of Anavo Capital Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 March 2025 which comprise the group profit and loss account, the group statement of comprehensive income, the group balance sheet, the company balance sheet, the group statement of changes in equity, the company statement of changes in equity, the group statement of cash flows, the company statement of cash flows and notes to the financial statements, including 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).
Basis for opinion
Conclusions relating to going concern
Other information
Opinions on other matters prescribed by the Companies Act 2006
As explained more fully in the directors' responsibilities statement, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the directors are responsible for assessing the group's and 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 parent company or to cease operations, or have no realistic alternative but to do so.
The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below.
The objectives of our audit, in respect to fraud, are: to identify and assess the risks of material misstatement of the financial statements due to fraud; to obtain sufficient appropriate audit evidence regarding the assessed risks of material misstatement due to fraud, through designing and implementing appropriate responses; and to respond appropriately to fraud or suspected fraud identified during the audit. However, the primary responsibility for the prevention and detection of fraud rests with both those charged with governance of the entity and its management.
Our approach was as follows:
We identified areas of laws and regulations that could reasonably be expected to have a material effect on the financial statements from our general commercial and sector experience, and through discussion with the directors and other management (as required by auditing standards), and discussed with the directors and other management the policies and procedures regarding compliance with laws and regulations;
We considered the legal and regulatory frameworks directly applicable to the financial statements reporting framework (FRS 102 and the Companies Act 2006) and the relevant tax compliance regulations in the UK;
We considered the nature of the industry, the control environment and business performance, including the key drivers for management’s remuneration;
We communicated identified laws and regulations throughout our team and remained alert to any indications of non-compliance throughout the audit;
We considered the procedures and controls that the company has established to address risks identified, or that otherwise prevent, deter and detect fraud; and how senior management monitors those programmes and controls.
Based on this understanding we designed our audit procedures to identify non-compliance with such laws and regulations. Where the risk was considered to be higher, we performed audit procedures to address each identified fraud risk. These procedures included: testing manual journals; reviewing the financial statement disclosures and testing to supporting documentation; performing analytical procedures; and enquiring of management, and were designed to provide reasonable assurance that the financial statements were free from fraud or error.
Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. For example, the further removed non-compliance with laws and regulations (irregularities) is from the events and transactions reflected in the financial statements, the less likely the inherently limited procedures required by auditing standards would identify it. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation. We are not responsible for preventing non-compliance and cannot be expected to detect non-compliance with all laws and regulations.
A further description of our responsibilities is available on the Financial Reporting Council’s website at: https://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.
Other matters which we are required to address
The consolidated financial statements for the year ended 31 March 2024 which form the corresponding figures of the financial statement for the year ended 31 March 2025 were not audited.
Use of our report
This report is made solely to the parent 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 parent 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 parent company and the parent company’s members as a body, for our audit work, for this report, or for the opinions we have formed.
As permitted by section 408 of the Companies Act 2006, the company has not presented its own profit and loss account and related notes. The company’s profit for the year was £883,336 (2024 - £176,988 profit).
These financial statements have been prepared in accordance with the provisions relating to medium-sized companies.
Anavo Capital Limited (“the company”) is a private limited company domiciled and incorporated in England and Wales. The registered office is First Floor, 15-17 The Crescent, Leatherhead, Surrey, KT22 8DY.
The group consists of Anavo Capital Limited and all of its subsidiaries.
These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006.
The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention, modified to include the revaluation of freehold properties at fair value. The principal accounting policies adopted are set out below.
The consolidated group financial statements consist of the financial statements of the parent company Anavo Capital Limited together with all entities controlled by the parent company (its subsidiaries) and the group’s share of its interests in joint ventures and associates.
All financial statements are made up to 31 March 2025. Where necessary, adjustments are made to the financial statements of subsidiaries to bring the accounting policies used into line with those used by other members of the group.
All intra-group transactions, balances and unrealised gains on transactions between group companies are eliminated on consolidation. Unrealised losses are also eliminated unless the transaction provides evidence of an impairment of the asset transferred.
Subsidiaries are consolidated in the group’s financial statements from the date that control commences until the date that control ceases.
At the time of approving the financial statements, the directors have a reasonable expectation that the group and parent company have adequate resources to continue in operational existence for the foreseeable future. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.
Revenue comprises sales of goods or services provided to customers net of value added tax and other sales taxes, less an appropriate deduction for actual and expected returns and discounts. Revenue is recognised when performance obligations are satisfied and the control of goods or services is transferred to the buyer. Where the performance obligation is satisfied over time, revenue is recognised in accordance with its progress towards complete satisfaction of that performance obligation.
When cash inflows are deferred and represent a financing arrangement, the promised consideration is adjusted for the effects of the time value of money, which is recognised as interest income.
Revenue from the sale of goods is recognised when the significant risks and rewards of ownership of the goods have passed to the buyer (usually on dispatch of the goods), the amount of revenue can be measured reliably, it is probable that the economic benefits associated with the transaction will flow to the entity and the costs incurred or to be incurred in respect of the transaction can be measured reliably.
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the profit and loss account.
Properties whose fair value can be measured reliably are held under the revaluation model and are carried at a revalued amount, being their fair value at the date of valuation less any subsequent accumulated depreciation and subsequent accumulated impairment losses. The fair value of the land and buildings is usually considered to be their market value.
Revaluation gains and losses are recognised in other comprehensive income and accumulated in equity, except to the extent that a revaluation gain reverses a revaluation loss previously recognised in profit or loss or a revaluation loss exceeds the accumulated revaluation gains recognised in equity; such gains and loss are recognised in profit or loss.
Changes in accounting policy
During the year, the Group changed its accounting policy for freehold properties from the cost model to the revaluation model. The directors consider that the revaluation model provides more relevant information to users of the financial statements, reflecting the current value of the Group's property portfolio. The properties have been revalued by independent external valuers. As the Group did not own any freehold properties prior to the acquisition of the BAM and SCCL group companies during the previous financial year, there is no material impact on comparative information.
In the parent company financial statements, investments in subsidiaries, associates and jointly controlled entities are initially measured at cost and subsequently measured at cost less any accumulated impairment losses.
A subsidiary is an entity controlled by the group. Control is the power to govern the financial and operating policies of the entity so as to obtain benefits from its activities.
At each reporting period end date, the group reviews the carrying amounts of its tangible and intangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs.
The carrying amount of the investments accounted for using the equity method is tested for impairment as a single asset. Any goodwill included in the carrying amount of the investment is not tested separately for impairment.
The group has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the group's balance sheet when the group becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset and the net amounts presented in the financial statements when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method 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. Financial assets classified as receivable within one year are not amortised.
Other financial assets, including investments in equity instruments which are not subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the transaction price. Such assets are subsequently carried at fair value and the changes in fair value are recognised in profit or loss, except that investments in equity instruments that are not publicly traded and whose fair values cannot be measured reliably are measured at cost less impairment.
Financial assets, other than those held at fair value through profit and loss, are assessed for indicators of impairment at each reporting end date.
Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows have been affected. If an asset is impaired, the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset’s original effective interest rate. The impairment loss is recognised in profit or loss.
If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been, had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss.
Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the group transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party.
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 group after deducting all of its liabilities.
Basic financial liabilities, including creditors, bank loans, loans from fellow group companies and preference shares that are classified as debt, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
Derivatives, including interest rate swaps and forward foreign exchange contracts, are not basic financial instruments. Derivatives are initially recognised at fair value on the date a derivative contract is entered into and are subsequently re-measured at their fair value. Changes in the fair value of derivatives are recognised in profit or loss in finance costs or finance income as appropriate, unless hedge accounting is applied and the hedge is a cash flow hedge.
Debt instruments that do not meet the conditions in FRS 102 paragraph 11.9 are subsequently measured at fair value through profit or loss. Debt instruments may be designated as being measured at fair value through profit or loss to eliminate or reduce an accounting mismatch or if the instruments are measured and their performance evaluated on a fair value basis in accordance with a documented risk management or investment strategy.
Financial liabilities are derecognised when the group's contractual obligations expire or are discharged or cancelled.
Equity instruments issued by the group are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the group.
The tax expense represents the sum of the tax currently payable and deferred tax.
The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The group’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.
Deferred tax liabilities are generally recognised for all timing differences and 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. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.
The carrying amount of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the profit and loss account, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset if, and only if, there is a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority.
The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the leased asset are consumed.
In the application of the group’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on 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 where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
There is no significant judgement.
Exceptional Item includes a total gain of £Nil (2024: £4,389,359) arising from the waiver of bank loan of £Nil (2024: £3,818,540) and a gain of £Nil (2024: £570,819) arising from a loan waiver from the BAM entities acquired in 2024. The waivers were unconditional and resulted in the derecognition of the related financial liability during the year.
The average monthly number of persons (including directors) employed by the group and company during the year was:
Their aggregate remuneration comprised:
The actual charge for the year can be reconciled to the expected (credit)/charge for the year based on the profit or loss and the standard rate of tax as follows:
In addition to the amount charged to the profit and loss account, the following amounts relating to tax have been recognised directly in other comprehensive income:
The Group's freehold land and buildings were revalued as at 1 March 2025 by CBRE Limited, an independent firm of RICS Registered Valuers acting as external valuers in accordance with the RICS Valuation – Global Standards (the "Red Book"). The valuation was undertaken on the basis of Market Value (Trading) using a desktop valuation approach, having regard to the trading potential of the care homes and assuming that there had been no material change in the condition of the properties since the previous inspection. Had the freehold land and buildings been carried under the historical cost model, their carrying amount at 31 March 2025 would have been £16,153,110.
Details of the company's subsidiaries at 31 March 2025 are as follows:
The long-term bank loans related to Anavo Care Scot Limited and secured by way of first fixed charge over the shares, the derivative assets and all rights accruing or incidental to the Shares and/or Derivative Assets from time to time in Anavo Capital Limited.
The bank loan relating to Anavo Capital Limited comprises a Bounce Back Loan with Santander UK plc under the UK Government's Bounce Back Loan Scheme. The loan bears interest at a fixed rate of 2.5% per annum and is repayable by monthly instalments over a six-year term.
The other loans relate to Anavo Care (Surbiton) Limited and comprise a loan from the Royal Borough of Kingston Upon Thames entered into in connection with the operation of the care home. The loan is repayable by quarterly instalments over the term of the agreement, together with fixed interest of 26.18% in accordance with the loan agreement.
The following are the major deferred tax liabilities and assets recognised by the group and company:
The deferred tax asset set out above relates to the utilisation of tax losses against future expected profits of the same period. The deferred tax liability set out above relates to accelerated capital allowances that are expected to mature within the same period.
Deferred income is included in the financial statements as follows:
A defined contribution pension scheme is operated for all qualifying employees. The assets of the scheme are held separately from those of the group in an independently administered fund.
At the reporting end date the group had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:
In the financial year 2026, a development is under way for a new home whilst the lease on another home has been acquired. The development of a home is also expected to be completed in financial year 2027.
There are two security charges held against the company's shares which have been issued after the balance sheet date.
As at the 31st March 2025, amounts due from associated companies was £256,687 (2024: £64,132).