The director presents the strategic report for the year ended 31 March 2025.

The principal activities of the group continued to be that of dental care services through the operation and management of multiple dental practices.

A summary of the results of the years trading is given on page 8 of the financial statements.

The group operates a network of dental practices providing a broad range of routine and specialist dental services. During the year, the business has traded positively, generating growth across its practices and demonstrating continued signs of commercial viability.

Management has invested selectively in research and development, focusing on improving clinical processes, patient experience, and the adoption of modern dental technologies. These investments are intended to support long-term efficiency, service quality, and sustainable growth.

Overall, there are no significant concerns noted in the review of the business. Financial performance has been stable governance and operational controls appear appropriate, and the group is well positioned to build on its progress in the coming years.

The Group operates in a dynamic environment where several risks could materially impact performance:

Economic Conditions: Continued cost pressures from inflation, changes in consumer spending, and broader UK economic uncertainty may affect patient demand for elective dental treatments and discretionary services.

Regulatory and Funding Changes: Adjustments to NHS funding, regulatory requirements, or dental care policies could shift the balance between private and publicly funded treatments, affecting revenue mix and reimbursement rates.

Workforce Availability: Recruitment and retention of qualified dental professionals remains a sector-wide challenge. Skills shortages or increased wage costs could constrain capacity and compress margins.

Operational Risks: Disruptions in supply chains for specialized dental materials or equipment could lead to treatment delays or increased costs. Effective supply management and contingency planning are critical to continuity of care.

Clinical and Technological Risk: Adoption of new technologies and clinical techniques carries inherent risks related to implementation, training, and patient safety. The group mitigates these through robust governance and compliance frameworks.

The Board regularly monitors these and other risks through strategic planning and risk management processes to safeguard the group’s resilience and long-term prospects.

Future development goals include expanding the group’s network of dental practices, continuing targeted investment in research and development to enhance clinical outcomes and patient experience, and strengthening operational systems to support scalable and sustainable growth. The group also aims to build on its performance by improving efficiency, broadening service offerings, and reinforcing its market presence.

The Group's key performance indicators were as follows:

On behalf of the board

The director presents his annual report and financial statements for the year ended 31 March 2025.

The results for the year are set out on Page 8.

Ordinary dividends were paid amounting to £200,000. The director does not recommend payment of a further dividend.

The director who held office during the year and up to the date of signature of the financial statements was as follows:

Subsequent to the year end, the group entered into finance leases of £107,086 and an additional bank loan of £186,850. The loan is repayable in January 2034 and bears interest at 2.18% above base rate.

In accordance with the company's articles, a resolution proposing that BKL Audit LLP, who were appointed during the year, be reappointed as auditor of the company will be put at a General Meeting.

The director is responsible for preparing the Annual Report and the financial statements in accordance with applicable law and regulations.

Company law requires the director to prepare financial statements for each financial year. Under that law the director has elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the director must not approve the financial statements unless he is satisfied that they give a true and fair view of the state of affairs of the group and company, and of the profit or loss of the group for that period. In preparing these financial statements, the director is required to:

• select suitable accounting policies and then apply them consistently;

• make judgements and accounting estimates that are reasonable and prudent;

• state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements;

• prepare the financial statements on the going concern basis unless it is inappropriate to presume that the group and company will continue in business.

The director is responsible for keeping adequate accounting records that are sufficient to show and explain the group’s and company’s transactions and disclose with reasonable accuracy at any time the financial position of the group and company and enable them to ensure that the financial statements comply with the Companies Act 2006. He is also responsible for safeguarding the assets of the group and company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

The group has chosen to set out in the group's strategic report information in respect of the principal activities of the group as well as the future developments and the financial risk management objectives and policies of the group.true

So far as each person who was a director at the date of approving this report is aware, there is no relevant audit information of which the auditor of the company is unaware. Additionally, the directors individually have taken all the necessary steps that they ought to have taken as directors in order to make themselves aware of all relevant audit information and to establish that the auditor of the company is aware of that information.

The director has a reasonable expectation that the company and the group have adequate resources to continue in operational existence for the foreseeable future. He therefore continues to adopt the going concern basis in preparing the annual financial statements.

This report has been prepared in accordance with the provisions applicable to companies entitled to the medium-sized companies exemption.

We have audited the financial statements of Lam Commercial Holdings Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 March 2025 which comprise 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 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).

In our opinion the financial statements:

• give a true and fair view of the state of the group's and the parent company's affairs as at 31 March 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; 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 Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the group and parent company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the director's 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 group's and parent 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 director with respect to going concern are described in the relevant sections of this report.

Other information

The other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The director is 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.

Opinions on other matters prescribed by the Companies Act 2006

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

• The information given in the strategic report and the director's report for the financial year for which the financial statements are prepared is consistent with the financial statements; and

• The strategic report and the director's report have been prepared in accordance with applicable legal requirements.

In the light of the knowledge and understanding of the group and the parent company and their environment obtained in the course of the audit, we have not identified material misstatements in the strategic report or the director's 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 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.

As explained more fully in the director's responsibilities statement, the director is 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 director determines 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 director is responsible for assessing 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 director either intends to liquidate the parent company or to cease operations, or has no realistic alternative but to do so.

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

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

Based on our understanding of the group and industry, we identified that the principal risks of non-compliance with laws and regulations include healthcare and regulatory requirements, tax regulations, health and safety regulations, data protection legislation, employment law, and regulations set by relevant professional and healthcare bodies and we considered the extent to which non-compliance might have a material effect on the financial statements. We also considered those laws and regulations that have a direct impact on the preparation of the financial statements such as the Companies Act 2006. We evaluated management's incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls), and determined that the principal risks were related to posting inappropriate journal entries and management bias in accounting estimates. Audit procedures performed by the auditors included:

• Discussions with the director, including consideration of known or suspected instances of non-compliance with laws and regulations and fraud;

• Identifying and testing manual journal entries, in particular any journal entries posted with unclear rationale. We performed journal entry testing by specific risk criteria, with a focus on journals indicating large or unusual transactions based on our understanding of the business;

• Assessing managements’ significant judgements and estimates in particular to those relating to the revenue recognition; and

• Reviewing legal correspondence and other supporting documentation.

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. Also, 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.

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 group financial statements have been prepared on a consolidated basis for the first time in the current period. Accordingly, the comparative financial information presented has not been subject to 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.

These financial statements have been prepared in accordance with the provisions relating to medium-sized groups.

As permitted by s408 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 £833,581 (2024 - £1,080,389 profit).

These financial statements have been prepared in accordance with the provisions relating to medium-sized companies.

Lam Commercial Holdings Limited (“the company”) is a private limited company domiciled and incorporated in England and Wales. The registered office is Niddry Lodge, 51 Holland Street, Kensington, London, United Kingdom, W8 7JB.

The group consists of Lam Commercial Holdings 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 investment properties and certain financial instruments at fair value. The principal accounting policies adopted are set out below.

These are the Group's first consolidated financial statements and the comparative consolidated financial information is unaudited. During the year, the company and certain subsidiaries transitioned from FRS 105 to FRS 102; further information regarding these transitions is included in the notes to the financial statements.

This company is a qualifying entity for the purposes of FRS 102, being a member of a group where the parent of that group prepares publicly available consolidated financial statements, including this company, which are intended to give a true and fair view of the assets, liabilities, financial position and profit or loss of the group. The company has therefore taken advantage of exemptions from the following disclosure requirements:

• Section 7 ‘Statement of Cash Flows’: Presentation of a statement of cash flow and related notes and disclosures.

In the parent company financial statements, the cost of a business combination is the fair value at the acquisition date of the assets given, equity instruments issued and liabilities incurred or assumed, plus costs directly attributable to the business combination. The excess of the cost of a business combination over the fair value of the identifiable assets, liabilities and contingent liabilities acquired is recognised as goodwill. The cost of the combination includes the estimated amount of contingent consideration that is probable and can be measured reliably, and is adjusted for changes in contingent consideration after the acquisition date. Provisional fair values recognised for business combinations in previous periods are adjusted retrospectively for final fair values determined in the 12 months following the acquisition date. Investments in subsidiaries, joint ventures and associates are accounted for at cost less impairment.

Deferred tax is recognised on differences between the value of assets (other than goodwill) and liabilities recognised in a business combination accounted for using the purchase method and the amounts that can be deducted or assessed for tax, considering the manner in which the carrying amount of the asset or liability is expected to be recovered or settled. The deferred tax recognised is adjusted against goodwill or negative goodwill.

The consolidated group financial statements consist of the financial statements of the parent company Lam Commercial Holdings 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.

Entities in which the group holds an interest and which are jointly controlled by the group and one or more other venturers under a contractual arrangement are treated as joint ventures. Entities other than subsidiary undertakings or joint ventures, in which the group has a participating interest and over whose operating and financial policies the group exercises a significant influence, are treated as associates.

Investments in joint ventures and associates are carried in the group balance sheet at cost plus post-acquisition changes in the group’s share of the net assets of the entity, less any impairment in value. The carrying value also includes any long-term loans which, in substance, form part of the group's net investment in the entity. The carrying values of investments in joint ventures and associates include acquired goodwill.

If the group’s share of losses in a joint venture or associate equals or exceeds its investment in the joint venture or associate, the group does not recognise further losses unless it has incurred obligations to do so or has made payments on behalf of the joint venture or associate.

Unrealised gains arising from transactions with joint ventures and associates are eliminated to the extent of the group’s interest in the entity.

The group's business activities, together with the factors likely to affect its future development, performance and position are set out in the strategic report on pages 1 and 2.

Whilst the group has net current liabilities at the balance sheet date, these largely comprise deferred income and amounts due to the director. The director has confirmed his continued financial support. The group remains profitable, has a positive net asset position and continues to generate revenue and profits across its principal trading entities. Post year-end management accounts demonstrate continued trading activity and profitability.

At the time of approving the financial statements, the director has a reasonable expectation that the company and the group has access to adequate resources to continue in operational existence for the foreseeable future. He therefore continues to adopt the going concern basis in preparing the annual financial statements.

Turnover represents amounts receivable for dental services and rental income earned during the year.

Turnover from short-term dental treatments is recognised at the point the treatment is provided. Turnover from long-term dental treatments, including orthodontic treatment plans spanning multiple appointments, is recognised over the period of the treatment. Amounts received in advance of treatment provided are recognised as deferred income and released to turnover as the related services are performed.

Goodwill represents the excess of the cost of acquisition of a business over the fair value of net assets acquired. It is initially recognised as an asset at cost and is subsequently measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is considered to have a finite useful life and is amortised on a systematic basis over its expected life, which is 20 years.

For the purposes of impairment testing, goodwill is allocated to the cash-generating units expected to benefit from the acquisition. Cash-generating units to which goodwill has been allocated are tested for impairment at least annually, or more frequently when there is an indication that the unit may be impaired. If the recoverable amount of the cash-generating unit is less than the carrying amount of the unit, the impairment loss is allocated first to reduce the carrying amount of any goodwill allocated to the unit and then to the other assets of the unit pro-rata on the basis of the carrying amount of each asset in the unit.

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

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.

Investment property, which is property held to earn rentals and/or for capital appreciation, is initially recognised at cost, which includes the purchase cost and any directly attributable expenditure. Subsequently it is measured at fair value at the reporting end date. Changes in fair value are recognised in profit or loss.

Equity investments are measured at fair value through profit or loss, except for those equity investments that are not publicly traded and whose fair value cannot otherwise be measured reliably, which are recognised at cost less impairment until a reliable measure of fair value becomes available.

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.

An associate is an entity, being neither a subsidiary nor a joint venture, in which the company holds a long-term interest and where the company has significant influence. The group considers that it has significant influence where it has the power to participate in the financial and operating decisions of the associate.

Investments in associates are initially recognised at the transaction price (including transaction costs) and are subsequently adjusted to reflect the group’s share of the profit or loss, other comprehensive income and equity of the associate using the equity method. Any difference between the cost of acquisition and the share of the fair value of the net identifiable assets of the associate on acquisition is recognised as goodwill. Any unamortised balance of goodwill is included in the carrying value of the investment in associates.

Losses in excess of the carrying amount of an investment in an associate are recorded as a provision only when the company has incurred legal or constructive obligations or has made payments on behalf of the associate.

In the parent company financial statements, investments in associates are accounted for at cost less impairment.

Entities in which the group has a long term interest and shares control under a contractual arrangement are classified as jointly controlled entities.

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.

Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.

If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.

Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset (or cash-generating unit) is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset (or cash-generating unit) in prior years. A reversal of an impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase.

Stocks comprise dental materials, consumables and supplies held for use in the provision of dental services. Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell, where applicable.

At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of stocks over its estimated selling price less costs to complete and sell is recognised as an impairment loss in profit or loss. Reversals of impairment losses are also recognised in profit or loss.

Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

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 finance leases, 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.

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.

Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessees. All other leases are classified as operating leases.

Assets held under finance leases are recognised as assets at the lower of the assets fair value at the date of inception and the present value of the minimum lease payments. The related liability is included in the balance sheet as a finance lease obligation. Lease payments are treated as consisting of capital and interest elements. The interest is charged to profit or loss so as to produce a constant periodic rate of interest on the remaining balance of the liability.

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 director is 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.

The following judgements (apart from those involving estimates) have had the most significant effect on amounts recognised in the financial statements.

The Group has prepared consolidated financial statements for the first time in the year. Certain financial information of associates included in the consolidation and equity accounting has not been subject to audit.

In applying the Group’s accounting policies, management has exercised judgement in assessing the completeness and reliability of this financial information and in determining whether any adjustments were required to align it with the Group’s accounting policies. Management is satisfied that the financial information used is appropriate for the purposes of preparing the consolidated financial statements and that no material adjustments are required.

The estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are as follows.

The Group recognises revenue over the course of patient treatment based on the estimated stage of completion at the reporting date. Determining the stage of completion requires management to make estimates regarding treatment progress and the pattern in which services are delivered to patients.

Management uses a revenue recognition model incorporating assumptions and parameters, including treatment duration, treatment stages and historical experience. Changes in these assumptions may result in a material adjustment to the amount and timing of revenue recognised.

As a result of recognising revenue over the course of treatment, the Group deferred income of £1.4m at 31 March 2025 (2024: £1.1m).

The carrying value of the fixed asset investments of £2,479,461 (2024: £2,159,736) is assessed for impairment where indicators of impairment exist. Determining the recoverable amount of these investments requires management to make estimates regarding the future financial performance and prospects of the underlying entities.

Goodwill of £5,619,499 (2024: £5,935,445) arising on the acquisition of subsidiary companies operating dental practices is amortised over its' estimated useful economic life of 20 years. The determination of the useful economic life and the assessment of whether indicators of impairment exist require management to make estimates regarding the expected future economic benefits arising from the acquired businesses.

The average monthly number of persons (including directors) employed by the group and company during the year was:

Their aggregate remuneration comprised:

Retirement benefits are accruing to 1 director (2024: 1) under a defined contribution scheme.

The actual charge for the year can be reconciled to the expected charge for the year based on the profit or loss and the standard rate of tax as follows:

Investment property comprises a long leasehold property let to a related entity. The fair value of the investment property has been arrived at on the basis of a valuation carried out at 31 March 2025 by the Director. The valuation was made on an open market value basis by reference to market evidence of transaction prices for similar properties.

If the investment property had been accounted for under the historic cost accounting rules, the property would have been included at a cost of £390,373 (2024: £390,373).

The company's subsidiaries as listed below are exempt from the requirements of Companies Act relating to the audit of its accounts by virtue of s479A Companies Act 2006 and the provision of a parent guarantee in respect of the liabilities of the subsidiary companies.

Details of the company's subsidiaries, all of which were incorporated in the UK, at 31 March 2025 are as follows:

All subsidiaries have been included in the consolidated financial statements.

Details of associates at 31 March 2025 are as follows:

During the year, the group entered into transactions with associated companies, comprising recharges for clinical services of £97,940 (2024: £100,873).

At the reporting date, amounts due from associated companies totalled £1,007,723 (2024: £993,084) and amounts due to associated companies totalled £500 (2024: £nil).

The carrying value of loans to associates recognised within fixed asset investments was £590,794 (2024: £706,696), being gross amounts due from associates of £1,007,723 (2024: £993,084), adjusted for cumulative equity accounting movements and impairment provisions of £416,929 (2024: £286,388).

Amounts owed by group undertakings are unsecured, interest free and repayable on demand.

Amounts payable by instalments shown below are repayable at dates from 2032 to 2038. These loans bear interest at between 2.52% and 3.28% above the base rate.

Included in borrowings is £3,878,615, (2024: £4,067,446), which has been secured by a fixed and floating charge over the assets of Aligndent Holdings Limited and its subsidiaries Aligndent Limited and Aligndent NK Limited. There is also a charge over the leasehold properties rented by those two subsidiaries. This loan is repayable in 2038 and bears interest of 2.52% above base rate. The director has provided a personal guarantee in respect of these borrowings.

Included in borrowings is £136,334 (2024: £149,298), which has been secured by a fixed and floating charge over the assets of the The Dental Abode Limited and a fixed charge over a leasehold property rented by that company. This loan is repayable in 2032 and bears interest of 3.25% above base rate. The director has provided a personal guarantee in respect of these borrowings.

Included in borrowings is £23,636 (2024: £45,455), which has been secured by a fixed and floating charge over the assets of The Orthodontic Gallery Limited. This loan is repayable in April 2026 and bears interest of 1.96% above base rate.

Included in borrowings is £189,060 (2024: £200,371) which has been secured by a fixed and floating over the assets of Lam Commercial Properties Limited and The Orthodontic Gallery Limited as well as the property owned by those companies. This loan is repayable in 2037 and bears interest of 3.28% above base rate.

Finance lease payments represent rentals payable by the group for certain items of dental equipment. Leases include purchase options at the end of the lease period, and no restrictions are placed on the use of the assets. The average remaining lease term is 2 (2024: 3) years. All leases are on a fixed repayment basis and no arrangements have been entered into for contingent rental payments.

Leases are secured over the assets of the group and guaranteed by unlimited debentures over certain group companies and a personal guarantee by the director.

The following are the major deferred tax liabilities and assets recognised by the group, and movements thereon:

The deferred tax liability set out above is expected to reverse within 5 years and relates to accelerated capital allowances that are expected to mature within the same period.

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.

Ordinary A and B shares have attached to them full voting, dividend and capital distribution rights.

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:

At the balance sheet date the lease has a remaining period of 8 years and rentals are fixed for the remaining term of the lease.

At the reporting end date the group had contracted with tenants for the following minimum lease payments:

Certain group entities transitioned to FRS 102, with a transition date of 1 April 2023. As part of this transition, a property owned by the Group was reclassified from tangible fixed assets to investment property. Consequently, the accounting policy applicable to the property changed from measurement at historical cost to valuation. The Director assessed that the fair value of the property as at 1 April 2023 and 31 March 2024 was not materially different from its carrying amount under the previous accounting policy and, accordingly, the transition did not have a material impact on the Group's net assets or profit for the year ended 31 March 2024.

The group has taken advantage of the exemption available not to disclose related party transactions with companies that are wholly owned within the group.

At the year end, amounts due to associated undertakings totalled £500 (2024: £500). Amounts are unsecured, interest-free and are repayable on demand.

During the year, the group recognised revenue in respect of dental services provided to associated undertakings. The total revenue recognised in respect of these services was £97,940 (2024: £100,873). In addition, the group recognised rental income from an associated undertaking of £23,780 (2024: £30,001).

During the year, the group entered into transactions with entities under significant influence of the company and key management personnel. At the reporting date, amounts due from such related parties totalled £40,651 (2024: £40,651). Amounts are unsecured, interest-free and are repayable on demand.

During the year, the group made long term loans of £368,975 (2024: £235,124) and received £7,000 (2024: £1,805) to entities under significant influence of the company and key management personnel. At year end, long term loans included in investments amounted to £1,461,183 (2024: £1,099,208). Amounts are unsecured and interest-free.

During the year, the company made advances of £644,290 (2024: £743,174) to the director and received repayments of £291,145 (2024: £407,782). At the year end, the company owed £1,285,514 (2024: £1,638,659) to the director in respect of a loan account. The balance is unsecured, interest-free and repayable on demand.

Dividends totalling £120,000 (2024 - £120,000) were paid in the year in respect of shares held by the company's director.

The ultimate controlling party is Dr Anthony Lam.

Subsequent to the year end, the group entered into finance leases of £107,086 and an additional bank loan of £186,850. The loan is repayable in January 2034 and bears interest at 2.18%.

The prior period adjustment relates to a reassessment of certain long term loans to associates and third parties. As part of this reassessment, the loans were reclassified as investments and impairment charges were recognised.