REGISTERED NUMBER: 07275199 (England and Wales)

Strategic Report, Report of the Directors and

Financial Statements for the Year Ended 31 December 2025

for

ACPH Limited

Page

Company Information

1

Strategic Report

2

Report of the Directors

7

Report of the Independent Auditors

9

Income Statement

13

Other Comprehensive Income

14

Balance Sheet

15

Statement of Changes in Equity

16

Cash Flow Statement

17

Notes to the Cash Flow Statement

18

Notes to the Financial Statements

20

DIRECTORS:

Mrs Barbara Ford

Mr David William Ford

Mr Philip Henry Ford

Miss Anna Caroline Ford

REGISTERED OFFICE:

16 Wilbury Grove

Hove

East Sussex

BN3 3JQ

REGISTERED NUMBER:

07275199 (England and Wales)

SENIOR STATUTORY AUDITOR:

Oliver Atkinson

AUDITORS:

Atkinsons

Chartered Accountants & Statutory Auditors

Palmeira Avenue Mansions

19 Church Road

Hove

East Sussex

BN3 2FA

The Directors present their Strategic Report on ACPH Ltd ("the Company") for the year ending 31st December 2025.

Hopscotch Children's Nurseries is a long-standing and trusted provider of early years education and care across Sussex, operating seven settings in Brighton, Hove, Peacehaven, Seaford and Worthing. Founded in 1988 and still family-owned, Hopscotch is proudly independent - a status that is increasingly uncommon in a sector shaped by consolidation and private equity-backed expansion.

Our core purpose is to provide high-quality, child-centred early years education, delivered through strong relationships with families and communities. Our sites operate year-round, serving children from infancy through to school readiness, and we are committed to meeting the developmental, emotional and social needs of every child.

We are a values-led organisation with a deep-rooted belief in relational care, professional trust, and meaningful connections. Unlike many larger operators, we prioritise long-term quality and integrity over short-term growth, and we retain a hands-on approach to leadership and governance.

REVIEW OF BUSINESS

The 2025 financial year was a stable and well-performing one for Hopscotch. All seven nurseries remained open throughout the year, and there were no acquisitions or closures during the period. Interest in our nurseries remained strong, with occupancy levels maintained at a high and consistent level across most sites.

We continued to invest in our existing estate, including refurbishment, repairs and renewals across the network, and the continued integration of our Worthing site (acquired in late 2023) within the Hopscotch group. This investment reflects our commitment to quality and consistency across the portfolio.

The business delivered a strong financial performance. Revenue increased by 14.5%, reflecting fee increases, the expansion of government-funded childcare hours for working families from September 2025, and strong occupancy across the group. Nursery care delivery costs increased by 11.8%, driven mainly by statutory pay increases (the National Living Wage rose by 6.7% in April 2025) and the rise in employer National Insurance contributions from April 2025, alongside general inflation in the cost of provisions. Overheads increased by 13.3%, reflecting the same pay and National Insurance changes within our central team and continued repairs and renewals across the network. With costs growing more slowly than revenue, EBITDA before the property revaluation and related capital grants increased by 33.0%. Following the completion of the refurbishment programme, our freehold properties were valued by independent chartered surveyors during the year and the directors have adopted those valuations at 31 December 2025. This resulted in a revaluation deficit of £555,806 against the carrying value including the year's refurbishment expenditure, of which £459,069 has been charged to profit and the balance set against previously recognised revaluation surpluses. This is a non-cash accounting adjustment with no effect on the company’s trading, cash generation or corporation tax payable, and accounts for the more modest growth in net assets.

2025

2024

Year on Year% Change

Revenue

£8.64m

£7.55m

+14.5%

Cash

£2.11m

£1.56m

+35.1%

Net Assets

£4.85m

£4.63m

+4.8%

Nursery Care Delivery Costs

£5.27m

£4.72m

+11.8%

Overheads

£2.00m

£1.76m

+13.3%

EBITDA*

£1.48m

£1.11m

+33.0%

Overheads are administrative expenses before depreciation and amortisation. *EBITDA is operating profit before depreciation, amortisation, the loss on revaluation of freehold property of £459,069 (2024, as restated: £177,730) and capital grants of £73,831 (2024: £nil) released against the same expenditure; on a statutory basis, including both, EBITDA was £1.10m (2024: £0.94m). Both measures are taken from the audited financial statements and are not defined by accounting standards. The 2024 comparatives have been restated as explained in note 9 to the financial statements.

Our independence allows us to make decisions quickly and focus on what matters most: children, families, and staff.

PRINCIPAL RISKS AND UNCERTAINTIES

The directors consider the following to be the principal risks and uncertainties facing the company:

- Recruitment and retention: a sector-wide shortage of qualified practitioners, increased by the expansion of funded childcare, makes it harder to recruit and retain staff. We mitigate this through our apprenticeship programme, structured career pathways and investment in culture and wellbeing.

- Government funding: a significant and growing share of income comes from government-funded entitlements, whose hourly rates are set by central and local government and may not keep pace with costs. Funding policy may also change following future elections. We monitor developments closely and engage with policymakers and sector bodies.

- Operating costs: statutory increases in the National Living Wage and employer National Insurance, together with food, energy and maintenance costs, put pressure on margins. We manage this through careful cost control, fee reviews and ongoing investment in efficient systems.

- Market competition: continued consolidation and new entrants in the local market. Our reputation, Ofsted outcomes, freehold estate and strong word-of-mouth referrals provide resilience.

The company continues to monitor these risks closely and is focused on building resilience through quality, reputation, local market strength and thoughtful operational investment.

CURRICULUM AND PEDAGOGY

Hopscotch delivers its own in-house curriculum, which is aligned with the EYFS framework but enhanced by a focus on experiential, child-led learning. The curriculum is overseen by our Curriculum Lead, who was appointed in 2023 and has continued to shape practice and drive consistency throughout 2025.

Nature-based learning is an important part of our offer. Our "Hopscotch Explorers" strand encourages regular trips to woodlands, parks, beaches and other natural spaces, helping to instil curiosity, resilience and a connection with the environment. These sessions have become a highlight for many children, and are now firmly embedded within our practice.

Ongoing work has been done to support curriculum implementation and observation quality, including the use of digital platforms to streamline documentation and improve communication with parents.

STAFFING, CULTURE AND PEOPLE STRATEGY

Recruitment and retention challenges continue to affect the entire early years sector, and 2025 was no exception. A shortage of qualified practitioners, high turnover in entry-level roles, and non-completion rates among apprentices all presented operational hurdles.

Despite this, Hopscotch remains committed to staff development and wellbeing. Our national recognition in 2024 as one of the UK's top-performing SME apprentice employers reflects our continued investment in training, support and a positive working environment, which we have maintained throughout 2025.

We have taken meaningful steps to improve culture and autonomy within the team. This has included changes to internal processes to increase professional trust, reduce unnecessary bureaucracy, and give staff more agency in shaping their day-to-day practice. These initiatives are showing positive early results in staff confidence, job satisfaction and retention.

We have also continued to strengthen our safeguarding culture by ensuring that all employees undertake regular training and feel confident in their responsibilities to protect children. Alongside this, we have expanded our approach to equality, diversity and inclusion, with clear policies in place to support disabled colleagues and those who acquire a disability while in employment. Recognising the importance of professional growth, we have introduced structured career development pathways that enable staff to progress from apprenticeships through to senior practitioner and management roles.

Employee engagement remains a cornerstone of our people strategy. We have enhanced opportunities for consultation and dialogue through staff forums and regular feedback sessions, ensuring that practitioners' voices are heard and reflected in the decisions that shape both their work and the quality of care we provide. In addition, we have continued to invest in health and wellbeing initiatives, including mental health support, flexible working practices where possible, and access to external resources to promote a healthy work-life balance.

The company does not operate an employee share scheme. Staff are involved in the company's performance through setting-level targets and recognition arrangements, and managers brief teams on occupancy, funding rates and the cost pressures facing the business so that staff understand the financial and economic factors affecting the company's performance.

TECHNOLOGY AND OPERATIONAL INNOVATION

Hopscotch continued to modernise its operational infrastructure in 2025. Having completed the implementation of the Famly nursery management platform across all sites in 2024, we have built on it to improve administrative efficiency and parent communication. We began developing our own in-house digital tools, supported by a formal AI policy, to reduce administrative workload and free practitioners' time for children.

We also introduced new digital tools to streamline recruitment and compliance, including platforms to support faster DBS checking and document processing. These systems have helped to reduce delays in onboarding and improve transparency for both staff and managers.

We remain committed to reducing paperwork, improving clarity and freeing up time for what matters most: direct work with children.

CUSTOMER AND COMMUNITY ENGAGEMENT

Hopscotch's relationships with families remain a central pillar of our success. Across all sites, we work to build warm, respectful and responsive relationships with parents and carers, ensuring that they feel involved, informed and valued.

During 2025, the Famly platform continued to strengthen day-to-day communication and feedback mechanisms, with parents receiving regular updates and real-time messaging capabilities. We also continued to run surveys and termly parent consultations to gather structured input.

Hopscotch is proud of its community roots. We maintain close links with local organisations, including our longstanding partnership with Amaze, a Brighton-based charity supporting children with additional needs and their families. Through this and other connections, we aim to contribute positively to the wider social fabric of our communities.

SUSTAINABILITY AND ENVIRONMENTAL CONSIDERATIONS

As a business that supports children's learning and development, we recognise our responsibility to model and support sustainable practices. While we are early in our journey, we are actively exploring ways to embed environmental thinking into our operations and curriculum.

Our nature-based learning sessions already provide children with regular opportunities to explore and respect the natural world. Looking ahead, we intend to build on this by reviewing energy use, waste practices and procurement standards across our nurseries, with the aim of identifying practical steps towards more sustainable delivery.

OUTLOOK AND STRATEGIC PRIORITIES

Hopscotch enters 2026 in a stable and confident position. The company is well established in the Sussex early years market, with a strong brand, experienced leadership, and a reputation for quality and care built over nearly 40 years.

Our strategic focus for the coming year includes:

- Continued improvement of our existing facilities

- Investment in team development

- Selective exploration of growth opportunities

- Strengthening of community links and social impact partnerships

- Further refinement of digital systems

ON BEHALF OF THE BOARD:

Mr Philip Henry Ford - Director

14 October 2026

The directors present their report with the financial statements of the company for the year ended 31 December 2025.

PRINCIPAL ACTIVITY

The principal activity of the company in the year under review was that of child day-care activities.

DIVIDENDS

The total distribution of dividends for the year ended 31 December 2025 was £295,000 (2024: £335,701).

DIRECTORS

The directors shown below have held office during the whole of the period from 1 January 2025 to the date of this report.

Mrs Barbara Ford

Mr David William Ford

Mr Philip Henry Ford

Miss Anna Caroline Ford

INDEMNITY OF DIRECTORS

The company's articles of association provide qualifying third party indemnity provisions for the benefit of its directors, which were in force throughout the year and remain in force at the date of this report. The company also maintains directors' and officers' liability insurance.

DONATIONS AND EXPENDITURE

The company made charitable donations to charitable organisations amounting to £1,738 (2024 - £4,744). No contributions to political organisations were made during the year.

FINANCIAL RISK MANAGEMENT

The company's principal financial instruments comprise cash, a bank loan, loans from directors and trade and other receivables and payables arising from its operations. The main risks are interest rate risk on the bank loan, which bears interest at a margin over the Bank of England base rate, and liquidity risk. The company does not use derivatives or hedge accounting. Interest rate risk is managed by monitoring base rate movements against the company's cash generation; a one percentage point change in base rate would change annual interest by approximately £9,400. Liquidity risk is managed through cash flow forecasting and the maintenance of cash balances sufficient to meet the company's obligations as they fall due. Credit risk is limited because fees are collected in advance or shortly after the service is provided and a significant proportion of income is government funding. The company is not exposed to material price or foreign exchange risk.

EMPLOYEES AND FUTURE DEVELOPMENTS

Information on the company's policies in respect of the employment of disabled persons, engagement with employees and likely future developments in the business, which the directors are required to include in this report, is given in the Strategic Report.

EVENTS SINCE THE END OF THE YEAR

There have been no significant events affecting the company since the year end.

STATEMENT OF DIRECTORS' RESPONSIBILITIES

The directors are responsible for preparing the Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations.

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with 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 company and of the profit or loss of the company for that period. In preparing these financial statements, the directors are required to:

-	select suitable accounting policies and then apply them consistently;

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

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

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

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS

So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and each director has taken all the steps that he or she ought to have taken as a director in order to make himself or herself aware of any relevant audit information and to establish that the company's auditors are aware of that information.

AUDITORS

Atkinsons, Chartered Accountants and Statutory Auditors, have expressed their willingness to continue in office and, in accordance with section 487(2) of the Companies Act 2006, will be deemed to be re-appointed.

ON BEHALF OF THE BOARD:

Mr Philip Henry Ford - Director

14 October 2026

Opinion

We have audited the financial statements of ACPH Limited (the 'company') for the year ended 31 December 2025 which comprise the Income Statement, Other Comprehensive Income, Balance Sheet, Statement of Changes in Equity, Cash Flow Statement and Notes to the Cash Flow Statement, Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

-	give a true and fair view of the state of the company's affairs as at 31 December 2025 and of its profit for the year then ended;

-	have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

-	have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the 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 directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.

Other information

The directors are responsible for the other information. The other information comprises the information in the Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon.

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.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether 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 the audit:

-	the information given in the Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and

-	the Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report or the Report of the Directors.

We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:

-	adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or

-	the financial statements are not in agreement with the accounting records and returns; or

-	certain disclosures of directors' remuneration specified by law are not made; or

-	we have not received all the information and explanations we require for our audit.

Responsibilities of directors

As explained more fully in the Statement of Directors' Responsibilities set out on page eight, 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 necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the directors are responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.

Auditors' responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors 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.

The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

We identified the laws and regulations applicable to the company through discussions with the directors and our knowledge of the company and the early years sector, and considered those that have a direct effect on the financial statements, principally the Companies Act 2006, FRS 102 and UK tax legislation, and those where non-compliance could have a material effect on the company's ability to operate, principally the Childcare Act 2006 and the statutory framework for the Early Years Foundation Stage, Ofsted registration requirements, safeguarding, employment and health and safety legislation. We assessed the susceptibility of the financial statements to material misstatement, including how fraud might occur, and concluded that the principal risks related to management override of controls, the recognition of fee and government-funded income, and management judgements in respect of the valuation of freehold property, the non-depreciation of property, the recoverability of deferred tax assets and the corporation tax provision.

Our procedures included enquiry of the directors and management as to actual and potential litigation, claims and instances of non-compliance; review of board minutes and of correspondence with Ofsted, local authorities and HMRC; review of the tax computation; obtaining and evaluating the independent property valuation and the directors' assessment of it; testing journal entries with a focus on unusual or manual postings and year-end adjustments; testing the cut-off and completeness of income; and challenging the assumptions and judgements underlying significant accounting estimates.

Because of 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. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve deliberate concealment, collusion, forgery, misrepresentation or the override of internal control. We are not responsible for preventing non-compliance or fraud and cannot be expected to detect all instances of non-compliance with laws and regulations.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors.

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 a Report of the Auditors 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.

Oliver Atkinson (Senior Statutory Auditor)

for and on behalf of Atkinsons

Chartered Accountants & Statutory Auditors

Palmeira Avenue Mansions

19 Church Road

Hove

East Sussex

BN3 2FA

14 October 2026

TURNOVER

8,642,434

7,546,072

Cost of sales

5,271,122

4,715,409

GROSS PROFIT

3,371,312

2,830,663

Administrative expenses

2,150,197

1,910,127

1,221,115

920,536

Other operating income

182,290

46,515

Loss on revaluation

of freehold property

(459,069

)

(177,730

)

OPERATING PROFIT

5

944,336

789,321

Interest receivable and similar income

46,693

19,524

991,029

808,845

Interest payable and similar expenses

6

98,290

104,753

PROFIT BEFORE TAXATION

892,739

704,092

Tax on profit

7

301,919

167,379

PROFIT FOR THE FINANCIAL YEAR

590,820

536,713

PROFIT FOR THE YEAR

590,820

536,713

OTHER COMPREHENSIVE INCOME

Property revaluations

(96,737

)

548,088

Income tax relating to other comprehensive income

24,184

(137,022

)

OTHER COMPREHENSIVE INCOME FOR THE YEAR, NET OF INCOME TAX

(72,553

)

411,066

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

518,267

947,779

FIXED ASSETS

Intangible assets

10

535,945

600,908

Tangible assets

11

5,047,838

5,027,530

5,583,783

5,628,438

CURRENT ASSETS

Debtors

12

151,695

39,351

Cash at bank

2,108,728

1,561,073

2,260,423

1,600,424

CREDITORS

Amounts falling due within one year

13

1,880,427

1,325,195

NET CURRENT ASSETS

379,996

275,229

TOTAL ASSETS LESS CURRENT LIABILITIES

5,963,779

5,903,667

CREDITORS

Amounts falling due after more than one year

14

(1,094,275

)

(1,188,546

)

PROVISIONS FOR LIABILITIES

19

(17,438

)

(86,322

)

NET ASSETS

4,852,066

4,628,799

CAPITAL AND RESERVES

Called up share capital

20

110

110

Revaluation reserve

21

451,425

523,978

Other reserves

21

101,737

101,737

Retained earnings

21

4,298,794

4,002,974

SHAREHOLDERS' FUNDS

4,852,066

4,628,799

The financial statements were approved by the Board of Directors and authorised for issue on 14 October 2026 and were signed on its behalf by:

Mr Philip Henry Ford - Director

Called up

share

Retained

Revaluation

Other

Total

capital

earnings

reserve

reserves

equity

£

£

£

£

£

Balance at 1 January 2024

105

4,021,609

(85,161

)

101,737

4,038,290

Prior year adjustment

(note 9)

-

(219,647

)

198,073

-

(21,574

)

Increase in share capital

5

-

-

-

5

Dividends

-

(335,701

)

-

-

(335,701

)

Total comprehensive income

-

536,713

411,066

-

947,779

Balance at 31 December 2024

110

4,002,974

523,978

101,737

4,628,799

Dividends

-

(295,000

)

-

-

(295,000

)

Total comprehensive income

-

590,820

(72,553

)

-

518,267

Balance at 31 December 2025

110

4,298,794

451,425

101,737

4,852,066

Cash flows from operating activities

Cash generated from operations

1

1,841,034

1,509,509

Interest paid

(73,478

)

(74,760

)

Tax paid

(235,990

)

(71,234

)

Net cash from operating activities

1,531,566

1,363,515

Cash flows from investing activities

Purchase of tangible fixed assets

(669,363

)

(73,520

)

Interest received

46,365

19,524

Receipt of capital grants

33,831

-

Net cash from investing activities

(589,167

)

(53,996

)

Cash flows from financing activities

Repayment of bank loans

(14,665

)

(13,384

)

Amount introduced by directors

31,014

77,549

Amount withdrawn by directors

(126,093

)

(172,892

)

Share issue

-

5

Equity dividends paid

(285,000

)

(335,701

)

Net cash from financing activities

(394,744

)

(444,423

)

Increase in cash and cash equivalents

547,655

865,096

Cash and cash equivalents at beginning of year

2

1,561,073

695,977

Cash and cash equivalents at end of year

2

2,108,728

1,561,073

1.	RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS

31.12.25

31.12.24

as restated

£

£

Profit before taxation

892,739

704,092

Depreciation charges

152,554

147,345

Loss on disposal of fixed assets

5,658

2,930

Loss on revaluation of fixed assets

459,069

177,730

Capital grants released

(73,831

)

-

Finance costs

98,290

104,753

Finance income

(46,693

)

(19,524

)

1,487,786

1,117,326

(Increase)/decrease in trade and other debtors

(72,016

)

51,834

Increase in trade and other creditors

425,264

340,349

Cash generated from operations

1,841,034

1,509,509

2.	CASH AND CASH EQUIVALENTS

The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts:

Year ended 31 December 2025

31/12/25

1/1/25

£

£

Cash and cash equivalents

2,108,728

1,561,073

Year ended 31 December 2024

31/12/24

1/1/24

as restated

£

£

Cash and cash equivalents

1,561,073

695,977

3.	ANALYSIS OF CHANGES IN NET FUNDS

Other

non-cash

At 1/1/25

Cash flow

changes

At 31/12/25

£

£

£

£

Net cash

Cash at bank

and in hand

1,561,073

547,655

2,108,728

1,561,073

547,655

2,108,728

Debt

Debts falling due

within 1 year

(14,665

)

14,665

(17,494

)

(17,494

)

Debts falling due

after 1 year

(943,662

)

-

17,494

(926,168

)

(958,327

)

14,665

-

(943,662

)

Total

602,746

562,320

-

1,165,066

1.	STATUTORY INFORMATION

ACPH Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page.

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006.

The financial statements have been prepared on the going concern basis and under the historical cost convention, modified to include the revaluation of freehold property.

The financial statements are prepared in sterling which is the functional and presentational currency of the company.

Turnover

Turnover represents fees receivable from parents and funding receivable from local authorities for funded childcare places. All turnover arises from the provision of childcare services in the United Kingdom. It comprises the fair value of the consideration received or receivable for the provision of services in the ordinary course of the company's activities. Turnover is shown net of discounts. The company recognises revenue when the amount of revenue can be reliably measured, it is probable that future economic benefits will flow to the entity and specific criteria have been met for each of the company's activities.

Goodwill

Goodwill represents the excess of the cost of acquiring nursery businesses over the fair value of their identifiable net assets. It is amortised to administrative expenses on a straight-line basis over ten years, which the directors consider to be the period over which the acquired settings' established reputations and occupancy are expected to continue to generate benefits for the company.

Intangible assets

Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

Tangible fixed assets

Tangible fixed assets other than freehold property are measured at cost less accumulated depreciation and any accumulated impairment losses. Depreciation is provided at the following annual rates in order to write off the cost less estimated residual value of each asset over its estimated useful life:

Plant and machinery 33% on cost

Motor vehicles 25% on reducing balance

Freehold property is carried at fair value at the date of revaluation less any subsequent accumulated depreciation and impairment losses. Revaluations are undertaken with sufficient regularity to ensure that the carrying amount does not differ materially from fair value at the balance sheet date, with a full valuation by an independent professionally qualified valuer at least every three years and a review by the directors in the intervening years. An increase in the carrying amount arising on revaluation is recognised in other comprehensive income and accumulated in the revaluation reserve, except to the extent that it reverses a decrease previously recognised in profit or loss on the same asset, in which case it is recognised in profit or loss. A decrease arising on revaluation is recognised in other comprehensive income to the extent of any surplus previously accumulated in the revaluation reserve in respect of that asset, and any excess is recognised in profit or loss. Surpluses and deficits are assessed on a property-by-property basis.

No depreciation is provided on freehold property. The directors consider that the residual values of the properties, maintained by a continuing programme of repair and refurbishment, are such that any depreciation charge would be immaterial. The carrying amounts are reviewed annually for impairment.

Government grants

Government grants are recognised based on the accrual model and are measured at the fair value of the asset received or receivable. Grants are classified as relating either to revenue or assets. Grants relating to revenue are recognised in income over the period in which the related costs are recognised. Grants relating to assets are recognised in income over the period in which the related expenditure is charged to profit or loss. Government grants of £182,290 (2024: £46,515) were recognised in other operating income in the year, comprising revenue grants of £108,459 (2024: £46,515) from the local authority and central government other than funding for early years places, and capital grants of £73,831 (2024: £nil) towards building works, recognised in full as the related expenditure was written down through the revaluation of the properties in the year. The capital grants were awarded towards building works to create additional childcare places and are repayable only if the funds are used other than for the agreed works or the grant conditions are not complied with. The works were completed in the year and the directors consider that the conditions have been met; accordingly there are no unfulfilled conditions or other contingencies attaching to grants recognised in income.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Deferred tax

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference.

Unrelieved tax losses and other deferred tax assets are recognised only 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 relating to freehold property measured using the revaluation model is measured using the tax rates and allowances that would apply to the sale of the asset. Surpluses and deficits are assessed on a property-by-property basis, and deferred tax assets arising on revaluation deficits are recognised to the extent of deferred tax liabilities on revaluation surpluses expected to reverse against them. Deferred tax assets and liabilities are offset where they relate to taxes levied by the same authority and the company has a legally enforceable right to set them off.

Foreign currencies

Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result.

Operating leases

Rentals payable under operating leases are charged to profit or loss on a straight-line basis over the period of the lease. Lease incentives, including rent-free periods, are recognised as a reduction of the rental expense on a straight-line basis over the lease term.

Pension costs and other post-retirement benefits

The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate.

Financial instruments

Financial assets, other than investments and derivatives, are initially measured at transaction price (including transaction costs) and subsequently held at amortised cost, less any impairment.

Financial liabilities and equity are classified according to the substance of the financial instrument's contractual obligations, rather than the financial instrument's legal form. Financial liabilities, excluding convertible debt and derivatives, are initially measured at transaction price (after deducting transaction costs) and subsequently held at amortised cost.

Cash and cash equivalents

Cash and cash equivalents comprise cash at bank and in hand, demand deposits with banks and other short-term highly liquid investments with original maturities of three months or less and bank overdrafts. In the statement of financial position, bank overdrafts are shown within borrowings or current liabilities.