REGISTERED NUMBER: 07525422 (England and Wales)

KIMS HOSPITAL LIMITED

REVISED

STRATEGIC REPORT, REPORT OF THE DIRECTORS AND

FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 APRIL 2025

Page

Company Information

1

Strategic Report

2

Report of the Directors

5

Report of the Independent Auditors

9

Revised Income Statement

13

Revised Other Comprehensive Income

14

Revised Balance Sheet

15

Revised Statement of Changes in Equity

17

Revised Cash Flow Statement

18

Notes to the Revised Cash Flow Statement

19

Notes to the Revised Financial Statements

20

DIRECTORS:

Dr N Kukreja

Mrs K Planterose

A S Premananthan

Mrs P Subaskaran

M R Selvarajah

REGISTERED OFFICE:

Kims Hospital Newnham Court Way

Weavering

Maidstone

Kent

ME14 5FT

REGISTERED NUMBER:

07525422 (England and Wales)

SENIOR STATUTORY AUDITOR:

Jon Spurling FCCA

AUDITORS:

Spurling Cannon Audit Limited

424 Margate Road

Westwood

Ramsgate

Kent

CT12 6SJ

The directors present their strategic report for the year ended 30 April 2025.

Fair review of business performance and future developments:

KIMS Hospital remains committed to achieving "Outstanding", following a "Good" rating by the Care Quality Commission (CQC). It continues to focus on its pathway to "Outstanding", by successfully delivering its three core strategic objectives;

- Providing safe, outstanding, quality care to patients

- Working together as One Team; making KIMS Hospital a great place to work

- Commercial Success

The impact of the COVID-19 pandemic subsided in the year to April 2024 which meant that the Hospital was able to focus on returning to the growth trajectory that it had been successfully plotting prior to the pandemic.

Private patient demand continues to be significant with the healthcare economy very different post-pandemic. There is a higher propensity amongst patients to seek private healthcare where they can, either by self-funding or via private medical insurance policies, in an attempt to avoid the lengthy waiting lists and backlogs that the NHS are challenged with. This led to a 9% increase in Private activity. In addition, KIMS Hospital, like much of the independent healthcare sector, continue to work closely with the NHS to support the reduction of these backlogs. As a result of this support mechanism, NHS activity at KIMS Hospital grew by 11% in the financial year with the business partnering with Kent & Medway Integrated Care Board as well as local NHS Trusts such as Maidstone & Tunbridge Wells; East Kent and Medway.

The growth in activity saw Private revenues increase 16% with Self Pay revenue growing 13% and Insured revenue by 19%. NHS revenues also saw growth at 9% compared to the previous year.

This financial year was the second full year under the ownership of Lyca Leasing (Cormorant) Limited (with KIMS part of the LycaHealth group of healthcare businesses). LycaHealth continue to be committed to bringing high quality, accessible health services to local communities in the UK with sites at Canary Wharf and Orpington in addition to the KIMS Hospital site in Maidstone and the satellite diagnostic site in Sevenoaks.

Over the coming years, LycaHealth plan to invest in KIMS Hospital’s technology and facilities to further enhance its services.

The key focus for FY24/25 and beyond is to continue:

- With the support of LycaHealth, our journey to "Outstanding" by providing safe, outstanding, quality care to people in Kent

- To support the NHS and deliver high quality service

- To dynamically adapt to the changing healthcare economy as we did during and after the COVID-19 pandemic

- To grow higher acuity private caseload

- Work with Private Medical Insurers (PMIs) to develop products and services which meet the needs of their customers in a more direct and easier to access manner

- To continue to grow our strategic relationship with Bupa and facilitate their Bupa Health Clinic from our Sevenoaks Medical Centre as well as at other sites

- To work collaboratively with our local NHS Integrated Care Board (ICB) and Integrated Care System (ICS) to support the NHS to reduce their backlogs across multiple elective specialties

- To successfully integrate wherever possible the processes and structures of KIMS Hospital and the LycaHealth businesses to further strengthen the relationship and commercial success of the business

- To continue to identify other sites that present opportunities to generate business for KIMS

Hospital and the wider LycaHealth group

- To focus on improving gross margin through a combination of efficient staff utilisation; a reduction in agency costs; rationalisation of direct consumable costs and resizing of other direct and indirect cost contracts

- To maintain and, where possible, reduce the fixed cost base without impact on patient safety and quality of care

- To improve commercial and quality processes, with aspirations to secure an "outstanding" rating from the regulator

- Digitally transform our hospital to make it easy for patients, staff, consultants and other key stakeholders to be treated and or interact with us

- To build on services such as our Rapid Access Cardiology proposition and focus on services which will enable us to have the potential to be Centres of Excellence. By doing so we will continue to grow our share of the self-pay and PMI market in Kent

- To continue to utilise our two fully-operational Cath Labs in our Cardiology Centre, the only independent sector hospital in Kent to be able to do this

- Our journey to meet our Sustainability commitment to have net zero emissions by 2035 and a net zero supply chain by 2045.

PRINCIPAL RISKS AND UNCERTAINTIES

- The significant uncertainty in the local, UK and global economies, all of which have a significant impact on our business, our people and our patients

- This impacts the cost base of the business with key areas of expenditure such as consumable costs, many of which may be imported from overseas suppliers, and energy bills influenced by economic factors.

- Navigating the ongoing global economic situation, particularly the cost-of-living crisis, which has a profound effect not only on our operational performance but also on our patients and our staff.

Key performance indicators:

- In this year we saw net revenue of £52.2m compared to £49.3m in FY23/24 an increase of 5.9%, Gross profit was £20.3m a margin of 39% (2024: £18.1m, 37%).

- Administrative costs increased from £20.2m in 2024 to £23.9m in 2025.

- Loss before tax was £4.1m (2024: Loss before tax of £2.6m).

- A key contributor to the loss before tax came from an operating lease that represents the lease of a hospital premises from a group under the control of common directors. The lease expired in April 2022 with a rent-free period until April 2019. Thereafter, the rent comprised a fixed amount of not less than £2m plus VAT and a performance based amount referable to the Earnings Before Interest, Taxation, Depreciation, Amortisation and Rent ("EBITDAR") of the company.

- The movement in these KPIs are a result of the trading factors described in detail under the review business performance section above.

- Key balance sheet KPIs remained broadly in line with trading performance.

- Throughout the year, KIMS Hospital continued to review consultants' scope of practise with the number of active consultants now standing at 353 (2024: 277).

- Whilst striving to improve efficiencies and maintain its existing fixed cost base, patient safety sits at the very core of the hospital activity.

- Following the extremely positive CQC rating and report, published in April 2018, KIMS Hospital is continuing to develop its quality initiatives with a view at achieving an "Outstanding" rating across all areas. This includes for our medical centre in Sevenoaks which was awardee "Good" in 2022.

SECTION 172(1) STATEMENT

In line with section 172(1) of the Companies Act 2006, the directors of the company must act in a way which they consider, in good faith, would most likely promote the success of the company for the benefit of its members as a whole, and in doing so must have regard to a number of other key matters. There must therefore be a careful balance of sometimes competing interests of different stakeholder groups and it is the duty of the directors to act in such a way to promote the long-term success of the company as a whole. In particular, section 172 requires the directors to consider the following:

Likely long-term consequences of decisions

Maintaining a reputation for high standards of business conduct

Acting fairly between members of the company

Having regard to specific stakeholder groups.

The way the directors work to promote the long-term success of the group whilst mindful of our section 172 responsibilities is set out in this statement and, where appropriate, the directors' report.

The company operates the KIMS Hospital in Kent. Having been awarded a "Good" rating by the Care Quality Commission (CQC) in March 2023, KIMS Hospital continues to focus on its pathway to "outstanding," by successfully delivering its three core strategic objectives:

Providing safe, outstanding, quality care to patients. This is fundamental to us and to the business, and we continue to build on the "Good" CQC rating.

Working together as One Team; making KIMS Hospital a great place to work. Our employees, consultants and agency partners are key to patient care and commercial results.

Commercial success. That is ultimately to deliver the best financial results in the circumstances for the benefit of all members of the company.

ON BEHALF OF THE BOARD:

M R Selvarajah - Director

15 October 2026

The directors present their report with the financial statements of the company for the year ended 30 April 2025.

PRINCIPAL ACTIVITY

The principal activity of the company in the year under review was that of the provision of medical and surgical services.

DIVIDENDS

The results for the year are set out on page 14.

No ordinary dividend were paid. The directors do not recommend payment of a final dividend.

DIRECTORS

Mrs P Subaskaran has held office during the whole of the period from 1 May 2024 to the date of this report.

Other changes in directors holding office are as follows:

Dr N Kukreja - appointed 10 September 2024

Mrs K Planterose - appointed 6 January 2025

R M Dimblebee - resigned 6 January 2025

M R Selvarajah was appointed as a director after 30 April 2025 but prior to the date of this report.

Disabled persons

Applications for employment by disabled persons are always fully considered bearing in mind the aptitudes of the applicant concerned. In the event of members of staff becoming disabled, every effort is made to ensure that their employment within the company continues and that the appropriate training is arranged. It is the policy of the company that the training, career development and promotion of disabled persons should, as far as possible, be identical to that of other employees.

Employee involvement

The company's policy is for the directors to consult and engage in discussion with employees, through KIMS Voice, staff councils and at meetings on matters likely to affect employees' interests. This is key in the directors being able to consider the interests of employees in decisions affecting the fundamentals of the business quality patient care and outcomes and the commercial results achieved. This is demonstrated in the Good to Outstanding (GO) Fund which is a 'Dragon's Den style' scheme that has been implemented to encourage innovation in the hospital, and promote employee development and engagement in delivering the three strategic objectives.

Information about matters of concern to employees is given through monthly "KIMS Voice" meetings, the Evolve wellness e-publication, CEO briefings and regular information bulletins and reports which seek to achieve a common awareness on the part of all employees of the financial and economic factors affecting rte company's performance.

Energy and carbon reporting

KIMS Hospital Limited has taken exemption from the reporting requirements of SECR as this information is included in the consolidated accounts of Lyca Leasing Holding Limited, the ultimate controlling party.

Statement of disclosure to auditor

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 company's auditor is unaware. Additionally, each director has taken all the necessary steps that they ought to have taken as a director in order to make themselves aware of all relevant audit information and to establish that the company's auditor is aware of that information.

Strategic report

The company has chosen, in accordance with section 414C of the Companies Act 2006 (Strategic Report and Directors' Report) Regulations 2013 to set out in the company's strategic report information required by schedule 7 of the Large and Medium-sized Companies and Groups (Accounts and Reports) Regulations 2008. The matters covered in the strategic report are fair review of business performance and future developments, principal risks and uncertainties, key performance indicators and going concern.

.

DIRECTORS' RESPONSIBILITIES STATEMENT

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

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law), including Financial Reporting Standard 102 'The Financial Reporting Standard in the UK and Republic of Ireland'. Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. In preparing these financial statements, the directors are required to:

-select suitable accounting policies 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; and

-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

The auditors, Spurling Cannon Audit Limited, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:

M R Selvarajah - Director

15 October 2026

Opinion

We have audited the revised financial statements of Kims Hospital Limited (the 'company') for the year ended 30 April 2025 which comprise the Income Statement, Other Comprehensive Income, Balance Sheet, Statement of Changes in Equity, Cash Flow Statement and Notes to the Revised Cash Flow Statement, Notes to the Revised 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). These revised financial statements replace the original financial statements approved by the directors on 15 May 2026.

The revised financial statements have been prepared in accordance with The Companies (Revision of Defective Accounts and Reports) Regulations 2008 and accordingly do not take account of events which have taken place after the date the original financial statements were approved.

In our opinion the revised financial statements:

-	give a true and fair view, seen as at the date the original financial statements were approved, of the state of the company's affairs as at 30 April 2025 and of its loss for the year then ended;

-	have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice seen as at the date the original financial statements were approved; and

-	have been prepared in accordance with the requirements of the Companies Act 2006 as they have effect under the Companies (Revision of Defective Accounts and Reports) Regulations 2008.

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 revised 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 revised 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 original financial statements were 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.

Emphasis of matter

We draw attention to note 1 of the revised financial statements, which explains that the financial statements have been revised to include the required Section 172(1) statement and to correct the classification of finance lease liabilities between amounts falling due within one year and amounts falling due after more than one year. The revisions and their effect on the financial statements are set out in note 1.

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 revised financial statements and our Report of the Auditors thereon.

Our opinion on the revised 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 revised financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the revised 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 revised 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 y financial statements are prepared is consistent with the y financial statements; and

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

In our opinion, the original financial statements for the year ended 30 April 2025 failed to comply with the requirements of the Companies Act 2006 in the respects identified by the directors in note one to the revised financial statements.

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

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

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

Responsibilities of directors

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

In preparing the revised 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 revised 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 revised financial statements.

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

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.

We obtained an understanding of the legal and regulatory framework applicable to the company and the industry in which it operates and considered the risk of acts by the company which were contrary to applicable laws and regulations, including fraud. We focused on those laws and regulations that could have a material effect on the financial statements, including the Companies Act 2006, applicable UK tax legislation and relevant healthcare laws and regulations.

We assessed the susceptibility of the company's financial statements to material misstatement, including how fraud might occur, by making enquiries of management, considering the controls established to prevent and detect fraud, and assessing the incentives and opportunities for fraud.

Our audit procedures included, but were not limited to, making enquiries of management, reviewing relevant correspondence with regulatory and taxation authorities where appropriate, testing journal entries and other adjustments, considering whether accounting estimates indicated evidence of management bias, and evaluating the business rationale of significant transactions outside the normal course of business.

Owing to the inherent limitations of an audit, there is an unavoidable risk that some material misstatements in the financial statements may not be detected, even though the audit is properly planned and performed in accordance with the ISAs (UK). 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.

A further description of our responsibilities for the audit of the revised 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.

We also required to report whether in we opinion the original financial statements failed to comply with the requirements of the Companies Act 2006 in the respects identified by the directors. The audit of revised financial statements includes the performance of procedures to assess whether the revisions made by the directors are appropriate and have been properly made.

Use of our report

This report is made solely to the company's members, as a body, in accordance with the Companies (Revision of Defective Accounts and Reports) Regulations 2008. 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.

Jon Spurling FCCA (Senior Statutory Auditor)

for and on behalf of Spurling Cannon Audit Limited

424 Margate Road

Westwood

Ramsgate

Kent

CT12 6SJ

16 October 2026

TURNOVER

3

52,207,649

49,396,612

Cost of sales

31,939,933

31,254,991

GROSS PROFIT

20,267,716

18,141,621

Administrative expenses

23,846,926

20,217,341

(3,579,210

)

(2,075,720

)

Other operating income

1,028,011

664,991

OPERATING LOSS

5

(2,551,199

)

(1,410,729

)

Interest receivable and similar income

6

83,630

63,463

(2,467,569

)

(1,347,266

)

Interest payable and similar expenses

7

1,615,401

1,291,503

LOSS BEFORE TAXATION

(4,082,970

)

(2,638,769

)

Tax on loss

8

-

-

LOSS FOR THE FINANCIAL YEAR

(4,082,970

)

(2,638,769

)

LOSS FOR THE YEAR

(4,082,970

)

(2,638,769

)

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

(4,082,970

)

(2,638,769

)

FIXED ASSETS

Intangible assets

9

52,378

27,181

Tangible assets

10

5,608,769

3,302,729

5,661,147

3,329,910

CURRENT ASSETS

Stocks

11

1,060,985

1,050,457

Debtors

12

3,665,552

5,610,100

Cash at bank and in hand

743,010

534,185

5,469,547

7,194,742

CREDITORS

Amounts falling due within one year

13

30,054,865

26,542,023

NET CURRENT LIABILITIES

(24,585,318

)

(19,347,281

)

TOTAL ASSETS LESS CURRENT LIABILITIES

(18,924,171

)

(16,017,371

)

CREDITORS

Amounts falling due after more than one year

14

2,488,332

1,312,162

NET LIABILITIES

(21,412,503

)

(17,329,533

)

CAPITAL AND RESERVES

Called up share capital

17

8,000,111

8,000,111

Share premium

18

52,504,245

52,504,245

Retained earnings

18

(81,916,859

)

(77,833,889

)

SHAREHOLDERS' FUNDS

(21,412,503

)

(17,329,533

)

The financial statements were approved by the Board of Directors and authorised for issue on 15 October 2026 and were signed on its behalf by:

M R Selvarajah - Director

Called up

share

Retained

Share

Total

capital

earnings

premium

equity

£

£

£

£

Balance at 1 May 2023

8,000,111

(75,195,120

)

52,504,245

(14,690,764

)

Changes in equity

Total comprehensive income

-

(2,638,769

)

-

(2,638,769

)

Balance at 30 April 2024

8,000,111

(77,833,889

)

52,504,245

(17,329,533

)

Changes in equity

Total comprehensive income

-

(4,082,970

)

-

(4,082,970

)

Balance at 30 April 2025

8,000,111

(81,916,859

)

52,504,245

(21,412,503

)

Cash flows from operating activities

Cash generated from operations

1

(829,331

)

(2,880,944

)

Interest paid

(1,146,554

)

(959,276

)

Interest element of finance lease payments paid

(468,847

)

(332,227

)

Net cash from operating activities

(2,444,732

)

(4,172,447

)

Cash flows from investing activities

Purchase of intangible fixed assets

(48,572

)

-

Purchase of tangible fixed assets

(3,752,515

)

(1,625,745

)

Sale of tangible fixed assets

(43,225

)

-

Interest received

83,630

63,463

Net cash from investing activities

(3,760,682

)

(1,562,282

)

Cash flows from financing activities

Loan repayments in year

(990,623

)

-

Capital repayments in year

1,638,212

85,281

Intercompany balance movement

5,766,650

5,993,782

Net cash from financing activities

6,414,239

6,079,063

Increase in cash and cash equivalents

208,825

344,334

Cash and cash equivalents at beginning of year

2

534,185

189,851

Cash and cash equivalents at end of year

2

743,010

534,185

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

2025

2024

£

£

Loss before taxation

(4,082,970

)

(2,638,769

)

Depreciation charges

1,466,137

1,311,893

Finance costs

1,615,401

1,291,503

Finance income

(83,630

)

(63,463

)

(1,085,062

)

(98,836

)

Increase in stocks

(10,528

)

(42,614

)

Decrease/(increase) in trade and other debtors

1,944,548

(1,792,825

)

Decrease in trade and other creditors

(1,678,289

)

(946,669

)

Cash generated from operations

(829,331

)

(2,880,944

)

2.	CASH AND CASH EQUIVALENTS

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

Year ended 30 April 2025

30.4.25

1.5.24

£

£

Cash and cash equivalents

743,010

534,185

Year ended 30 April 2024

30.4.24

1.5.23

£

£

Cash and cash equivalents

534,185

189,851

3.	ANALYSIS OF CHANGES IN NET DEBT

At 1.5.24

Cash flow

At 30.4.25

£

£

£

Net cash

Cash at bank and in hand

534,185

208,825

743,010

534,185

208,825

743,010

Debt

Finance leases

(1,826,994

)

(1,638,212

)

(3,465,206

)

(1,826,994

)

(1,638,212

)

(3,465,206

)

Total

(1,292,809

)

(1,429,387

)

(2,722,196

)

1.	REVISED FINANCIAL STATEMENTS

The financial statements for the year ended 30 April 2025 have been revised.

They

-

replace the original financial statements;

-

are now the statutory financial statements;

-

are prepared as they were at the date of the original financial statements and not as at the date of revision and accordingly do not deal with events between those dates.

The original financial statements did not comply with the requirements of the Companies Act 2006 in respect of the disclosure of the Section 172(1) statement and the classification of finance lease liabilities falling due within one year.

The revised financial statements correct these matters by including the required Section 172(1) statement and by correcting the classification of finance lease liabilities between amounts falling due within one year and amounts falling due after more than one year. These revisions do not affect the loss for the financial year or the net liabilities of the company.

2.	ACCOUNTING POLICIES

Company information

KIMS Hospital Limited is a private company limited by shares incorporated and registered in England and Wales. The registered office is KIMS Hospital, Newnham Court Way, Weavering, Maidstone, Kent, ME14 5FT.

The company's principal activities and nature of its operations are disclosed in the Director's Report.

Accounting convention

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, including the provisions of the Large and Medium-sized Companies and Groups (Accounts and Reports) Regulations 2008.

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 pound.

The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.

Going concern

For the year to 30 April 2025, the company made a loss of £4.1m (2024: loss of £2.6m) and at the balance sheet date had net current liabilities of £23.6m (2024: £19.3m) and net liabilities of £21.4m (2024: £17.3m).

Previous years had been impacted heavily by the COVID-19 pandemic however the majority of the year saw pandemic-imposed restrictions ease. This enabled the business to focus on sales growth programmes as well as cost efficiencies and investment. The new owners (as of October 2021), Lyca Leasing (Cormorant) Limited have continued to be supportive.

Whilst there remain after-effects of the COVID-19 pandemic in terms of the ease with which patients can access healthcare, patients, with the support of the healthcare sector, have learnt how to navigate their healthcare options more effectively. Therefore trading during the year to 30 April 2025 saw a significant demand in private activity with those who have the resources opting for Self Pay treatment or Private Medical Insurance. Although NHS waiting lists remain long and a target of the government to reduce, NHS activity increased in the year as these government targets have encouraged NHS bodies to further work closely with the Independent Sector. KIMS Hospital has a longstanding positive relationship with the local NHS organisations that allows it to fully support the NHS where needed whilst not jeopardising its private patients.

Throughout the year, and since the balance sheet date, the directors have taken appropriate measures where possible to control costs despite the growing global cost of living crisis. Accordingly, the company has been able to trade satisfactorily in the current climate.

The directors continue to monitor the likely impact on operations going forward due to the uncertainty inherent in the current situation, as well as from the company's own circumstances, The directors have assessed the company's projected business activities and available financial resources, together with appropriate cash forecasts. This includes the support of the investors, via the parent company, through existing facilities and the commitment to provide additional cash funding as required. The directors believe that the company is appropriately placed to manage its business risks through the current economic uncertainty. Therefore, the directors consider that the company will continue to trade, and has access to sufficient appropriate resources to meet its liabilities as they fall due, for at least twelve months from the date of approval of these financial statements. and have thus prepared the financial statements on a going concern basis.

Turnover

The turnover shown in statement cf comprehensive income represents the value of all services delivered during the year, at selling price. Sales are recognised within the accounting period in which the service has been rendered. For services spanning the balance sheet date, revenue is recognised by the reference to the stage of completion of the service delivery.

Intangible fixed assets - goodwill

Goodwill represents the excess of the cost of acquisition of unincorporated businesses 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 2 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, 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.

Intangible fixed assets other than goodwill

Intangible assets acquired separately from a business are recognised at cost and subsequently measured at cost less accumulated amortization and accumulated Impairment losses Intangible assets accrued on business combinations are recorded separately from goodwill at the acquisition date where it is probable that the expected future economic benefits that are attributable to the asset will flow to the entity and the fair value of the asset can be measured reliably.

Amortisation is recognized so as to write off the cost of asset less their residual values over their useful lives on the following bases:

Software 25% straight line

Tangible fixed assets

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

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

Plant machinery 15% straight line

Fixtures, fittings and equipment 15% straight line

IT equipment 25% straight line

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 credited or charged to profit or loss.

Residual value is calculated on prices prevailing at the reporting date, after estimated costs of disposal, for the asset as if it were at the age and in the condition expected at the end of its useful life.

Impairment of fixed assets

At each reporting period end date, the company 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.

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.

Intangible assets with indefinite useful lives and intangible assets not yet available for use are tested for impairment annually, and whenever there is an indication that the asset may be impaired.

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.

Stocks

Stocks are valued at the lower of cost and net realisable value after making due allowance for obsolete and slow-moving items.

Financial instruments

The company 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 when the company becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset, with 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

Basic financial assets, which include trade and other debtors 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 financial asset is measured at the present value of the future receipts discounted at a market rate of interest.

Impairment of financial assets

Financial assets 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.

Derecognition of financial assets