Hestia Care Homes Limited

The directors have pleasure in presenting their Strategic report of the company for the year ended 31 December 2024. Principal Activities The principal activity of the company during the year continues to be the operation of nursing and care homes. Development and Performance Review of Business Despite the ongoing challenging economic and social conditions, the company has improved in performance with increased turnover but reduction in profit before adjusting for the exceptional expenditure on repairs and maintenance. The company has also continued a longer term cost control programme and continued to invest in keeping the homes to a high standard. The care homes continue to provide qualitative services as verified by independent regulatory authority checks. Future Developments The directors are continuing the programme of capital improvement which are intended to upgrade the properties and facilities. This in time will lead with sustaining the level of profitability if not increasing it. Management policies will continue to be reviewed in the light of changing trading conditions. Employees With the key responsibility of providing residents with a quality level of care, our employees are fundamental to our success and as such we strive to attract and retain the best employees by offering a fair rate for the industry and focussed training. Customers Our clients are our most valued asset and we aim to provide the highest standards of care by continually investing and developing our care homes. This allows the company to give our clients the best possible service. Producers and Suppliers To be able to provide the high level of service to our clients, we rely on an efficient supply chain. We need to have a timely supply of food and other products to be able to maintain our service levels. The coronavirus pandemic demonstrated the strength of these relationships as we were able to continue to operate efficiently throughout. Business Conduct We ensure that our staff receive sufficient training to enable us to maintain our high standards of business conduct. Regular CQC inspections also ensure that we are meeting not only our own standards but also those expected by the industry. Financial risk management objectives and policies Principal Risks and Uncertainties The key business risks and uncertainties relate to the current economic climate and possible cuts by the referring agencies in terms of care purchasing. The company has taken measures to refine its service provision and reconfigure its care categories with a view to targeting new sustainable income streams. Financial and Liquidity Risk Management The company recognises the potential of financial risks given the current economic climate and is active in managing such risks. The company has interest bearing bank loans which attracts interest at variable rates. Liquidity and cashflow risks are managed by ensuring that the company at all times has sufficient working capital available to meet anticipated levels of expenditure.