Registered number.. 1480369 Charity number: 279652 DDRC HEALTHCARE {A COMPANY LIMITED BY GUARANTEE) TRUSTEES. REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022 Bishop Fleming
ODRC HEALTHCARE IA COMPANY LIMITED BY GUARANTEE} CONTENTS Page Reference and Admlnistrative Detalls of the Charity, its Trustees and Advlsers Trustees. Report Independent Auditor$' Report on the Financial Statements 10-13 Con501idated Statement of Financial Activities 14 Consolidated Balance Sheet 15 Charity Balance Shèet 16 Consolidated Statemenl of Cash Flows 17 Notes to the Flnan¢.ial Statements 18-36
DDRC HEALTHCARE IA COMPANY LIMITED BY GUARANTEEI REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 31 MARCH 2022 Trustees Mr P Atkey (appointed 26 JanLJary 20221 Mr C McLaren Iresigned 16 November 20211 MrJ Champan Mr S Mann18ppointed 26 January 20221 Mr T Anthony Mr B Clargo Mr T Pe8rce Mr R Sparrow Mr S Walbridge (resigned 11 January 20221 Mr K Walker, Chair Company registered number 1480369 Charity regist•r•d number 279652 Registered offlco The Hyperbaric Medical Centre, Research Way Plymouth Science Park Plymouth PL6 8BU PL6 88U Chief executive officer Dr G Smerdon Independent auditors Bishop Fleming LLP Chartered A¢¢ountants Sall Quay House 4 North East Quay Sutton Harbour Plymouth PL4 OBN Bankers Barclays Bank PIC 140-148 Armada Way PIyTllOUth PL1 1LA Page 7
DDRC HEALTHCARE IA COMPANY LIMITED BY GUARANTEEI TRUSTEES. REPORT FOR THE YEAR ENDED 31 MARCH 2022 The Trustees, who are also directors of the Charity for the purposes of the Companies Act, submit their annual report and the audited financial slalemenls for the year ended 31 March 2022. The Trustees have adopted the provisions of the Slalement of Recommended Practice ISORPI 'Accounting 2nd Reporting by Charities" issued in 2015 in preparing the annual report and financi81 slalemenls of the Charity. Since the Group and the Charity qualify as small under section 383 of the Companies Act 2006, the Group Strategic Report required of medium and large companies under the Companies Act 2006 (Strategic Report and Directors. Fieporll Regulations 2013 is not req%Jired. OBJECTIVES AND ACTIVITIES Policles. objectlves and public benefit DDRC Healthcare IDDRCI, founded in 1980, is the only facility of ils kind in the UK run on a not for profil basis. with all profits used ID fund research into diving medicine and hyperbaric oxygen therapy IHBOI and lo promote the benefits of safer diving practices and of the wider applications of HBO in general medicine through service delivery, awaroness raising, training and research. ODRC is committed to promoting research into diving related diseases, improving diving safety through education and providing the best possible medical Irealmenl for victims of diving accidents. DDRC believes in the efficacy of HBO as an eleGlive, evidence based treatment for medical conditions recognised to benefit from HBO. DDRC continually strives to improve the evidence base for use of HBO and is active in design and participation in research projects and clinical trials. The Charity's stated mission is To Improve our understanding of altered pressure and gas environments for the benefit of divers and patients through treatment, research and education" Main Objectives for the Year- The overall objectives for this year were.. DDRC Healthcarè crosswcutting objectives To provide full 24 hour emerg8ncy service for diving accidents and other urgent indiGalions for hyperbaric oxygen therapy. To work with the National Health Service INHSI and the Care Quality Commission ICQCI lo Inainlain patient access lo hyperbaric Irealmenl. To maintain the provision of high quality, hyperbaric oxygen therapy to elective patients with appropriate medical conditions. To further ulilise new facilities for the development of leaching, education and research as if p8ndemi¢ restrictions continue to recede. To develop a new 4 year slr8legy for Ihe Charity and ils subsidiaries. To improve divers, understanding of the implications of altered pressure environments and their ability to look after themselves through continued training and education. To educate the medical world and the public regarding the potential and known benefits of hyperbaric oxygen therapy. DDRC Healthcare research objectives To participate in local. national and inlemalional conferences to gather and dissemin8le research Information, to Inleracl with potential collaborators, and lo learn the lalesl information pertinent to the fields of hyperbaric and diving medicine. To build further research interest in the effects of altered pressure and gas environments on the brain. To publish research results in high quality peer reviewed joumals. To develop 8nd participate in clinical trials. Page 2
DDRC HEALTHCARE IA COMPANY LIMITED BY GUARANTEEI TRUSTEES. REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022 OBJECTIVES AND ACTIVITIES (CONTINUED) To carry out cutting edge research projects, predominantly in collaboration with academics and clinicians 81 the forefront of their fields. This research will predominantly be conducting using poslgraduale and postdoctoral researchers partly sUPPOrted by DDRC Healthcare. To interact with the diving community and develop projects pertinent to the diving industry (recreational or commerciall. DDRC Profes$lonal Services Llmlted IDDRCPS} To further expand our customer portfolio, utilise the new facilities teaching spaces lo expand the quantity, frequency and range of courses provi(Jed. To provide courses for the many customers who we have been unable lo seNice due to international travel restrictions. To seek out new markets and consider the introduction of new courses to widen its already comprehensive training portfolio. To preserve existing markets with customers in the UK and around the world, encouraging them to return for updates. The Directors of DDRCPS believe that this strategy will ensure the profitsbility of the company for the medium to long term. DDRC Medical Services Limited IDDRCMSI {incorporating DDRC Wound Care} To further expand the range and capacity for occupational medicals. To further develop wound care services for both private customers and NHS Commissioners. To continue lo expand the scope and frequency of occupational rnedicals. To develop activity within DDRC Wound Care focussed on both private medicine and co118borating wlth relevant Clinical Commissioning Groups. b. Strategles for achleving objoctlves Regular reporting on aims and objectives is undertaken by the Chief Executive lo the Trustees on a quarterly basis. A summary of achievements and performance is given below. ACHIEVEMENTS AND PERFORMANCE . Key ftnancial perfomian¢e indlcators The business uses the following financial KPIS in order lo drive performance.. Achieve a surpltjs in Charity belween 0-30/. DDRC Professional Services Ltd and DDRC Medical Services Ltd performar>ce is now measured on absolute sales volume, on a rolling 12 month basis. Free reserves to be in excess of £250k The pandemic has continued to impact on perform8nce measures in the subsidiary companies. although DDRC Professional Services Ltd did achieve its largel in the final 3 months. While clinical restrictions impacted for longer on DDRC Medical Services Ltd. il remains behind largel, though improving. The Trustees are confident that all targets remains achievable with reslriclions hopefully now lifted for good. Page 3
DDRC HEALTHCARE IA COMPANY LIMITED BY GUARANTEE} TRUSTEES, REPORT ICONTINUEDI FOR THE YEAR ENDED 31 MARCH 2022 ACHIEVEMENTS AND PERFORMANCE ICONTINUEDI b. Review of activitias Cr05S-CLlttlng objectives The Charity continued to provide a comprehensive 24 hour emergency seNice to divers and olher5 requiring urgent hyperbaric therapy. 11 continued lo provide 24 hour emergency telephone advice on behalf of the British Hyperbaric Association ¢overing England. Demand for elective Irealmenls continued, bul in light of the pandemi¢ and minimal NHS support for elective therapies only one therapeutic compression is progommed per day with 1-4 consultant referred patients. Other chamber activities including chamber experience dives have been strategically limited due to considerations surrounding the pandemic with respect lo staff safety and maintsining a team to Ire8t any diving emergencies as contracted by the NHS. However, with the threats from the pandemic receding there has been a recent trajectory towards the pre-pandemic activity levels, with respect to other uses Df the chamber such as experienc£ dives. Work has continued to Inform local clinicians of the potential benefits of hyperbaric oxygen therapy and keep them informed of relevant publications. The new leaching facilities built during the pandemic continue lo be increasingly used for the delivery of training and educational events by DDRC staff. The new 4 year strategy developed this year will deliver further educational activities through better engagement with Ihe diving community. This will help lo improve divers. understanding of the implications of altered pressure environments and thus their ability to avoid accidents in the SLJbaquatic environment. The dissemination ol the benefits the Charity provides through participation in trade shows is being considered post cessation during the pandemic. The Charity continues its active participation al a European level through involvernenl with EBASS (European Baromedical Association) lo improve education and safety at hyperbaric facilities. Involvement in committees such as the British Diving Safety Group IBDSG) continue. We continue lo participate in steering comrnittee activities of the global CHYMAERA (formerly DAHMNet I group which seeks to develop registries as a global initiative for developing high quality clinical trials globally for HBO indications. Patient data continues to be collected and submitted anonymously to the REDCap database to help develop the evidence base for hyperbaric oxygen therapies. Educational programmes, Charity courses for divers IDARCI and boat skippers, and Other ad hoc events were all cancelled again on safely grounds to prevent COVID infections bul are due lo be resurrected in 2022123. Research objectivos Research at DDRC includes clinical trials, biomedical research and diving studies. Participation in national and Intemalional reseaTch conferences is an important activity. The British Hyperbaric Association Annual Scientifie Meeting was combined with the biannual UK Diving Medical Committee meeting in Oban in November and was well attended in person and online by DDRC staff. Stsff attended the 2022 EUBS Ithe European Underwater and Baromedical Society) Annual Scientific Meeting in Prague in August . The 2022 UHMS Iundersea and Hyperbaric Medical Socielyl Annual Scientific Meeting in San Remo (United Stales) was not attended due lo continued risk of pandemic-related travel disruption at that time. The pandemic had a signrficant imp8¢1 on research activities that will be reflected in the short to medium term due lo all 18boralory a¢¢ess being stopped for research students and collaborators. In the April 21 March 22 period there were 5 peer-reviewed publications.. St Leger Dowse, M., Waterman, M.K., Jones, R. and Smerdon. GR 120221 Aural health awareness and incident prevention in UK s¢uba divers. Diving Hyperb Med Mar 31,'52(11'.22-26. doi.. 10.289201dhm52.1.22-26 St Leger Dowse, M., Howell, S. and Smerdon, GR 120211 Flying after diving.. a questionnaire-based evaluation of pre-flight diving behaviour In a recreational divin9 cohort. Diving Hyperb Med 2021 Oec 20',51141.'361-367. doi.. 10.289201dhm51.4.361-367. Koch, J., Heskelh-Besl, P.J.. Srnerdon, G.R., Warburton, P.J., Howell, K. and Uplon, M. 120211 Impact of growth media and pressure on the diversity and anlimicrobial 8clivily of isolates from two species of hexaclinellid sponge. Microbiology 1671121'.001123. doi.. 10.10991mic.0.001123 Page 4
DDRC HEALTHCARE IA COMPANY LIMITED BY GUARANTEE) TRUSTEES, REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022 Bishop A. {20211 Wound assessment and dressing selection.. an overview. Br J Nurs. Mar 11,'30(51'.S12-S20. doi.. 10.129681bjon.2021.30.5.S12.PMID.' 33733848 ACHIEVEMENTS AND PERFORMANCE (CONTINUED) New clinical trials have been difficult to progress. The most advanced of these is DIONYSIUS which is a trial of hyperbaric oxygen therapy for the Irealmenl of chronic diabetic fool ulcers. The trial has been aulhorised and is now recruiting patients in the Nelhed8nds. DDRC is developing access lo the required infrastructure lo allow us to participate in this trial in 2022123. The development of access lo such infrastructure needs to be funded from DDRC research funds bul once in place will also facililale the development of further trials in the future. Other hyperbaric cenlres lo not generally have aCsS lo research funds which has hampered p8rticipalion lo dale. DDRC continues lo perform cutting edge research through its collaborations with local universities. No students submitted their theses in 2021122 but three have recently submitted - 2 for PhD degrees and one for an MPhil. A collaborative PhD project with the Brain Research Imaging Centre IBRICI continues and a further PhD sludenlship has commenced with the University of Plymouth studying hypoxia. The Health of Divers research prograrnme continues with a study of Cancer and Diving being written up for publication. A study of protein markers of decompression illness has been ongoing. Research and clinical papers published in 2019 & 2020.. Moore L, Eggleton P, Smerdon G, Newcombe J, Holley JE, Gulowski NJ, Smallwood M. (20201 Engagement of people with multiple sclerosis lo enhance research into the physiobgical effect of hyperbari¢ oxygen therapy. klulliple Sclerosis and Related Disorders 43'.102084. doi.. 10.10161j.msard.2020.102084. Epub 2020 Apr 29. PMID.. 32442882 8ishop AJ120201 Negative pressure wound therapy for Irealing diabetic foot ulcers. The Diabetic Fool Journal 23{41.' 3641 Bishop A. 120201 Development of guidelines for the referral of diabetic problem wounds for hyperbaric oxygen therapy. Wounds UK 16131.'45 50 Trading Subsidiarles DDRC Professional Services Limited IDDRCPSI continued to provide 8 range of services and courses for the maritime, diving, and offshore communities. For the early part of 2021 overall numbers were considerably down on previous years due to restrictions imposed for the pandemic. By utilising the new, more spacious leaching facilities and with the restrictions of the pandemic receding, we have managed to further expand our customer base and return to the levels of course participants seen in previous years. Overseas clients unable lo travel lo access our seNices during the pandemic returned and the level of overseas training has continued to climb. The signing of a MOU with the royal Thai Navy in Bangkok for the delivery of courses collaboratively further strengthened our presence in Asia. DDRC Medical Services Limited IDDRCMSI has delivered occupational medicals despite p8ndemic restrictions. DDRC WoLJnd Care saw no growth in patient treatments bul educational opportunities continued lo emerge. The decision was taken to ase undertaking wound care within the DDRC Medical Services subsidiary and de-regisler the company from the Care Quality Cofflmission. Wound care education and training continues. FINANCIAL REVIEW . Going concern After making appropriate enquiries, the Trustees have a reasonable expectation that the Charity has adequate resoLJrces lo continue in operational existence for the foreseeable future. For this reason they continue to adopt the going conrn basis in preparing the financial slalemenls. Further details regarding the adoption of the going concern basis ¢an be found in the Accounting Policies. Page 5
DDRC HEALTHCARE IA COMPANY LIMITED BY GUARANTEE) TRUSTEES, REPORT ICONTINUEDI FOR THE YEAR ENDED 31 MARCH 2022 FINANCIAL REVIEW {CONTINUED) b. Income and expènditure The year 2021122 remained impacted by the pandemic, particularly through the early months, as described above. While a large part of the Charity's income is fixed in advance, il did benefit from the completion of its new facilities, allowing for an increase in income from its tenants. The trading subsidiaries struggled financialty through the eartier months while reslrictlDns remained in place. However, the final quarter was very busy, as old customers returned, and others caught up the opportunities missed during the pandemic. Income for the year was up by 36Q/o at £2.416m. The majority of this increase was in the subsidiary Iradin companies, for the reasons described above, with training income up by 1930/0 and medical services income up 57D/.. There was also an increase in the income for the Charity. There was a boost to Other Income in the Charity as a result of seltling the final cost for the building extension. Total expenses, related lo operations, increased by 180/. to £1.979m. Operationally, the Charity remained operational 24171365 through all of the Covid lockdowns, though activity was reduced. The Group is rep)rting 8 surplus of £451,607 for the year. The subsidiary companies both made profits In the ye8r. and the Charity itself was in surplus. . Reserves policy The Charity's reserves policy identifies a level of reserves which would be necessary should its income g¢nerating activities be subjected to unexpert8d fluctuations, and also takes into account the Charity's capital expenditure plans and its policy to invest in in¢ased research where possible. A minimum of £400,000 is retsined as unrestricted free reserves. lo meet any short term shocks. Al the year end, the Group held unrestricted free reserves of £735,466. d. Principal funding The Charity holds a significant risk in having only one significant customer the NHS. In England, the risk is mitigated by the obligation an the NHS lo provide emergency treatment for divers, which continues lo be a major source of funding. The new facilities. available from the beginning of the financial year, has aSlowed the Charity lo diversify Ils income, with revenue from ils new tenant. It has also opened the way for additional collaboration with the university and the NHS, and these opportunities are being developed, lor both revenLJe enhancement and rese2rch. With the additional space, more appropriate lo the services provided, there is every confidence that turnover can be increased. The Impact of Covid has lingered through a large part of 2021, but business has returned, and there should be no threat as a going concern. STRUCTURE, GOVERNANCE AND MANAGEMENT a. Constitution The Charity is a company limited by guarantee, and was $81 up in 1980. 11 is governed by a Memorandum and Articles of Association. The objects for which the Charity is eslablish8d are the advancement ol education and the relief of sickness by.. lal The conduct of scientific and medical research into Page 6
DDRC HEALTHCARE IA COMPANY LIMITED BY GUARANTEEI TRUSTEES, REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022 li) The effect upon the human body of exposure to altered pressure andlor gas environments, and {iil Underwater diving safety. and the publication of the results of such research., Ib) The prevention and treatment of medical conditions arising from exposure lo an altered pressure andlor gas environment., Icl The altered pressure andlor gas environment treatment of illness, disability or injury., {dl The provision of training in altered pressure andlor gas environment treatment, procedures and care., and lel The education of the public about the effects upon the human body of exposure to altered pressu 2ndlor gas environments. In these objects, "altered pressure andlor gas environment. means any environment in which the pressure differs from that at sea level, andlor the constituent gases differ in nature or proportion lo those present in air. b. Methods of appolntment or election of Trustees The management of the Group and the Charity is the responsibility of the Trustees who are elected and co opted under the terms of the Articles of Association. ¢. Organisational structure and declsion making The Board of Trustees delegates authority to the Senior hAenagement Team and the Finance Sub Committee which operate uncler specific terms of reference. The meetings of committees are ¢h8ired by Trustees and allended by staff. Each committee has its decisions ratified by the 8oaril of Trustees where appropriate. The Board meets qUarteY and delegates day lo day operation of the organisation to the Chief Executive. DDRC has a clearfy defined management structure and wrillen policies for delegation of powers and financial arrangements in line with Gurrenl Charity Commission guidelines. d. Poli¢les adopted for the inductlon and tralning of Trustees A panel comprising existing Trustees selects new members of the Board of Trustees. Applications for Trusteeship are sought by a variety of methods depending on the skills required. Trustees either volunteer or are head hunted and, following a comprehensive introduction lo the Charity, receive a documented induction programme. Trustees serve for two years before being required lo be re-elected. e. Pay policy for senior staff The senior man8gemenl team was unchanged throughout the financial year. The Charity continues to review its remuneration policy for all stsff, with p8rticular consideration lo comparable salaries in the healthcare sector. and has again improved its pension offering. f. Rlsk management The Charity has accredilalion to ISO 9001..2015. This ensures that a comprehensive Risk Management process is conducted at all levels within the operational part of the Charity. There is 8 Standing agenda item for all Trustee meetings, which requires the Chief Executive to report on any major risks which could threaten the Charity. "Major risks" are those risks which have a high likelihood of occurring and would, if they occurred, have a severe impact on operational performance, achievement of aims and objectives or could dam8ge the reputation of the Charrty, changing the way trustees, supporters or beneficiaries might deal with the Charity. Funds held as Custodian The Charity anil its Tnjslees do not act as Custodian Trustees in any other Charity. Page 7
DDRC HEALTHCARE IA COMPANY LIMITED BY GUARANTEEI TRUSTEES, REPORT ICONTINUEDI FOR THE YEAR ENDED 31 MARCH 2022 STRUCTURE. GOVERNANCE AND MANAGEMENT ICONTINUEDI The overall Dbjectives for the coming year.. DDRC Healthcare cross<utting objectives .To provicle full 24 hour emergency service for diving accidents and iatrogenic gas embolisms as per the NHSE conlra¢l. +To work with the National Health Service INHSI and the Care Quality Commission ICQC} to maintain patient access lo hyperb8ri¢ treatment and m8inlain the provision of high quality, hyperbaric oxygen therapy to elective patients with appropriate medical Conditions +To continue to improve divers, understanding of the implicaty'ons of altered pressure environments and their ability to look after themselves through continued training 2nd education. .To begin to deliver the 2022-2026 DDRC Healthcare strategy DDRC Healthcare research objectives •To carry out cutting edge research projects, predominantly in collaboration with academics and dinicians al the for¢fronl of their fields. .To develop and participate in clinical trials. .To partiCiP8le in local, national and inlemalional conferences to gather and disseminate research information, to interact with potential collaborators, and lo leam the latest information pertinent to the fields of hyperbaric and diving medi¢ine. .To publish research results in high quality peer reviewed journals. DDRC Professional S&Ni¢es Limited IDDRCPSI .To further expand our customer portfolio, utilise the new facilities teaching spaces lo expand the quantity, frequency and range of Gourses provided. .To seek out new markets and consider the introduction of new cours8S to widen its already comprehensive training portfolio. .To preserve existing markets with customers in the UK and around the world, encouraging Ihem lo relum for updales. DDRC Medical Services Llmlted IDDRCMSI {incorporatlng DDRC Wound Care) .To continue lo expand the scope and frequency of occupational medicals starting with a return to pre-covid levels of activity Page 8
DDRC HEALTHCARE IA COMPANY LIMITED BY GUARANTEEI TRUSTEES. REPORT ICONTINUEDI FOR THE YEAR ENDED 31 MARCH 2022 STATEMENT OF TRUSTEES. RESPONSIBILITIES The Trustees Iwho are also the directors of the Charity for Ihe purposes of company lawl are responsible for preparing the Trustees, Report and the financial s12tements in accordance with applicable law and United Kingdom Accounting Standards Iunited Kingdom Generally Accepted Accounting Praclice}- Company law requires the Trustees lo prepare financial statements for each financial year. Under comp8ny law, the Trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the stale of affairs of the Group and the Charity and of their incoming resources and application of resoLJr¢es, including their income and expenditure, for that period. In preparing these financial stalemenls, the Trustees are required to.. select suitable accL)unling policies and then apply them consislenlly.. observe the methods and principles of the Charities SORP IFRS 1021,. make judgements and accounb'ng estimates that are reasonable and prudent., slate whether appIlble UK Accounting Standards (FRS 1021 have been followed, subject to any material departures disclosed and explained in the financial slalemenls-, prepare the financial statements on the going concern basis unless il is inappropriate to Presume that the Group will continue in business. The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the Group and the Charity's Ir2nsactions and disclose with reason2ble accuracy al any time the financial position of the Group 2nd the Charity and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the Group and the Charity and hence for taking reasonable steps for the prevention 8nd detection of fraud and other irregularities. Dlsclosure of inforniatlon to auditors Each of the persons who are Trustees at the time when this Trustees, Report is approved has confirmed that.. so far as that Trustee is aware, there is no relevant audit information of which the charitable group's auditors are unaware, and that Trustee has taken all the steps that ought to have been taken as a Trustee in order lo be aware of any relevant audit information and lo establish that the charitable group's auditors are aware of that information. Approved by order of the members of the board of Trustees on 6 DÈc&mb&r 2022 and signed on their behalf by.. Mr K Walker Page 9
DDRC HEALTHCARE {A COMPANY LIMITED BY GUARANTEE} INDEPENDENT AUDITORS. REPORT TO THE MEMBERS OF ODRC HEALTHCARE OPINION We have audited the financial statements of DDRC Healthcare Ithe 'parent charitable companll and its subsidiaries (the 'group'l for the year ended 31 MarGh 2022 which comprise the Consolidated Statement ol Financial Aclivilies, the Consolidated Balance Sheet, the Charity Balance Sheet, the Consolidated Statement ol Cash Flows and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounling Standards. including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland, (United Kingdom Generally Accepted Accounting Pra¢ticel. In our opinion the financial slalemenls". give 8 true and fair view of the stale of the Group's and of the p8rent charitable companls affairs as 8131 March 2022 and of the Group's incoming resources and application of resources, including its income and expenditure for the year then ended., have been properly prepared in accordan¢e with United Kingdom Gener811y 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 Intemalional Standards on Auditing IUKI IISAS IUKII and applicable law. Our responsibilities under Ihoss standards are further described in the ALJditors' responsibilities for the audit of the f1nancial statements section of our report. We are independent of the GroLJP in accordanGe with the ethical requirernents that are relevant lo our audit of the financial stslements in the United Kingdom, including the Financial Reporting Council'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 lo provide a basis for our opinion. CONCLUSIONS RELATING TO GOING CONCERN In auditing the financial slalements, we have concluded that the Trustees, use of the going concern basis of accounting in the preparation of the financial sialements is appropriate. Based on the work wè have performed, we have not identified any material uncertsinties relating to events or conditions that, individually or collectively, may cast significant doubl on the Group's or the parent charitable company's ability to continue as 8 going concern for a period of at least twelve months frorn when the financial statements are aulhorised for issue. Our responsibilities and the responsibilities of the TrLJStees 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 Auditors. Report Ihereon. The Trustees are responsible for the other information contained wlhin the Annual Report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicit5y slated in our report, we do not express any form of assurance conclusion Ihereon, Our responsibility is lo 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 Othernlse appears to be materially misstated. If we identify such material inconsistencies or apparent material misslalements, we are required to determine whether this gives rise lo a material misstslement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a m8leii21 misstalemenl of this other Information, we are required lo report that fact. We have nothing lo report in this regard. Page 10
DDRC HEALTHCARE IA COMPANY LIMITED 8Y GUARANTEEI INDEPENDENT AUDITORS, REPORT TO THE MEMBERS OF DDRC HEALTHCARE (CONTINUED) OPINION 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 Trustees, Report for the financial year for which the financial statements are prepared is consistent with the financial slatemenls. the Trustees. Report has been prepared in accordance wth applicable legal requirernenls. MATTERS ON WHICH WE ARE REQUIRED TO REPORT BY EXCEPTION In the light of our knoedge and understanding of the charitsble company and ils environment obtained in the course of the audit, we have not identified matèrial misstatements in the Trustees, Report. We have nothing to report in respect of the following matters in relation to which Companies Act 2006 requires us to report to you if, in our opinion.. the parent charitable company has not kept adequat& and sufficient accounting records, or retums adequate for our audit have not beén receiv8d from branches not visited by us., or the parent charitable company financial statements a not in agreement with the accounting records and returns., or certain disclosures of Trustees. remuneration specified by law are not made., or we have not received all the information and explanations we quire for our 8udil', or the Twslees were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small compsnies. 8xemptions in preparing the Trustees, Report and from the requirernenl to prepare a Slr8legic Report. RESPONSIBILITIES OF TRUSTEES As explained more fully in the Trustees, Responsibilities Slalemenl, the Trust&es (who are also the directors of the charitable company for the purposes of company 18wI are spOnSible for the preparation of the financial statements and for being satisfied that they give a Iwe and fair view, anLI for such internal control 8$ the Trustees determine is necessary lo enable the preparation of financial statements that are free from material misslalemenl, whether due to fraud or error. In preparing the financial statements. the Trustees are responsible for assessing the Group's and the parent charitable companls 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 Trustees either intend to liquiolale the Group or the parent ¢h8ritable company or to cease operations, or have no realistic alternative but to do so. Page 11
ODRC HEALTHCARE IA COMPANY LIMITED BY GUARANTEEI INDEPENDENT AUDITORS. REPORT TO THE MEMBERS OF DDRC HEALTHCARE ICONTINUEDI AUDITORS, RESPONSIBILITIES FOR THE AUDIT OF THE FINANCIAL STATEMENTS Our objectives are lo obtain reasonable assurance about wheth¢r the financial slalements as a ole are free from material misstatement, whether due to fraud or error, and lo issue an Auditors, Report that includes our opinion. Reasonable assurance is a high level of assurance, bul is not a guarantee that an audit conducted in accordance with ISAS IUKI will always delect 3 material misstalemenl when il exists. Misstalemenls can arise from fraud or error and are considered material if, individually or in the aggregate, they Could reasonably be expected lo influence the economic decisions of users taken on the basis of these financial slalements. Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above. lo detect material mi5slalemenls in respect of irregularities, including fraud. The exlenl lo which our procedures are capable ol detecling irregularities, including fraud is detailed below.. Identifying and assessing potential risks rèlat•d to irregularitie5 We have considered the nature of the industry and sector, control enwronment and financial perform8nce', We have considered the results of our enquiries of management about their own identification and assessment of the risks of irregularities within the entity, and, We have reviewed the documentation of key processes and ¢ontmls and performed walkthroLJghs of transa¢tions to confirm that the systems are operating in line with documentation. We have ob18ined and reviewed the Charity's documentation of their policies and procedLJres relating to.. Identity"ng, evaluating. and complying with laws an(5 regulations and whether they were aware of any instances of non-compliance., Detécting and responding lo the risks of fraud and whether they h8ve knowledge of any actual, suspected, or alleged fraud., The internal controls established to miligale risks of fraud or non-compliance with laws and regiilatianq We have considered the matters discussed among the audit engagement team Tegarding now and where fraud might occur in the financial statements and any potential indicators of fraud. As a result of these procedures, we consid8red the opportunities and incentives that may exist within the organisation for fraud and identified the greatest potential for fraud in revenue ieoognition. In common with all audits under ISAS IUKI, we are also required lo perforffl specific procedures to respond to Ihe risk of management override. An additional risk was identified Tmth regards to the valuation of Land and Buildings. We also obtained an understsnding of the legal and regulators frameworks that the group opeT8les in, focusing on prowsions of those laws and regulations that had a direct effect on the determination of materi31 amounts and disclosures in the fin8n¢i81 stalemenls. The key laws and regulations we considered in this context included the Companies Act 2008, Financial Reporting Standard 102, Charities Act 2011, Charity SORP 2019, UK tax legislation and employrnent law. In addition, we considered provisions of other laws and regulations that do not have 8 direct effect on the financi81 statements but compliance with which may be fundamental io the GMLJP s aDilily to opetate or lo avoid a rnaleri81 penalty. These regulations include.. Diving at Work, Control of Substances Hazardous to Health, Confined Spa¢es, Work in Compressed Air. Data Protection, Occupational Health and Safety 8nd $mployment legislation. Audlt response to risks identified We idenlified revenue recognition CUtff and accounting estimates as key audit matters related to the potential risk of fraud. Our procedures to respond lo the risks identified included the following.. Reviewing the financial statement disclosures and lesling lo supporting documentatioll to assess mpliance wth provisions of relevant laws and fegLJlations described as having a direct effect on the financial statements. Page 12
DDRC HEALTHCARE (A COMPANY LIMITED BY GUARANTEE) INDEPENDENT AUDITORS, REPORT TO THE MEMBERS OF DDRC HEALTHCARE (CONTINUED} Enquiring of manag8menl concorning actual and potential litigation and claims- Performing analytical procedures lo identify any unusual or unexpected relationships that may indicate risks of material misstalemenl due lo fraud.. Performing detailed transactional testing in relation lo the recognition of revenue with a particular focus around year-end cut off., Reviewing minutes of meetings of those charged wth governances.. In addressing the risk of fraud through management override of controls, testing the appropriateness of journal entries, and other adjustments., assessing whether the judgements made in making accounting estimates arg indicative of potential bias.. and evaluating the business rationale of any significant transactions that are unusual or outside the normal COLJrse of the business. Considered the nature and use of fixed assets, agreed completion dales of building works, and considered future rental weld. We also mmUni¢81ed relevant identified laws and regulations and potential fraud risk lo all engagement team members and remained alert to any indications of fraud or non-compliance wrth laws and regulations throughout the 8udil. Our audit procedures were designed lo respond lo risks of material misslalement in the financial slalements, recognising that the risk of not detecting a material misstatement due to fraud is higher th8TI the risk of not detecting one resulting from an error, as fraud may involve deliberate con¢e8lment by, for exarnple, forgery, misrepresentations or through collusion. There are inherent limitations in the audit procedures performed 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. A further description of our responsibilities for the audit of the financial stat6menls is located on the Financial Reporting Council's websito at.. www.frc.or .uklaudilorsre nsibilffiie Auditors, Report. This description fomis part of our USE OF OUR REPORT This report is made solely lo the charitable companvs members, as a body, in accordan¢o with Chaptor 3 of Part 16 of the Companies Act 2006, and to the charitable companvs trustees, as a body, Part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might slate to the charitable companls members those matters we are required to slate lo them in an Auditors, Report and for no other purpose. To the fullest extent permilled by law, we do not accept or assume responsibility to anyone other than the charitable company and ils members, as a body, for our audit work, for this report, or for the opinions we have formed. Pamela Tuckètt CA DChA Isenior Ststutory Audmorl for and on behalf of Blshop Fleming LLP Chartered Accountants Slalutory Auditors Salt Quay House 4 North East Quay Sutton Harbour Plymouth PL4 OBN Dale.. 15 December 2022 Page 13
DDRC HEALTHCARE IA COMPANY LIMITED BY GUARANTEE) CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING INCOME AND EXPENDITURE ACCOUNTI FOR THE YEAR ENDED 31 MARCH 2022 Unrestricted funds 2022 Total funds 2022 Total funds 2021 Note Income from- Donations and legacies Charitsble activities Othef trading activities Inveslmenls Other income 12,B07 1,596.667 461,866 230,825 113.434 12,807 1.596,667 461,866 230.825 113.434 11,574 1,561,712 174,734 9,450 16.793 Total income 2,415,599 2.415,599 1.774,263 Expenditure on: Raising funds Charitable actiwties 268,191 1,695,801 268,191 1,695,801 194,418 1,973,072 Total expènditur 1.963,992 1,963,992 2.167,490 Net movement in funds 451.607 451,607 1393,2271 Reconciliation of funds.. Total funds brought forward Nel movament in funds 3,607.236 451,607 3,607,236 451,607 4,000,463 1393,2271 Total funds carried forward 4,058,843 4,058,843 3,607,236 The Consolidated Statement of Financia5 Activities includes all gains and losses recognised in the year. The notes on pages 18 to 36 forrn part of these financial statements. Page 14
DDRC HEALTHCARE IA COMPANY LIMITED BY GUARANTEEI REGISTERED NUMBER:1480369 CONSOLIDATED BALANCE SHEET AS AT 31 MARCH 2022 2022 2021 Note Fixed assets Tangible assets Investment propety 13 2,956.726 1,624,813 2,838,747 1,624,813 14 4.581.539 4,463,560 Current assets Stocks Debtors Cash al bank and in hand 16 17 21,012 171,090 849,139 17,070 100,485 307,601 1,041,241 425,156 Creditors.. amounts falling due within one year 18 1461,6591 11,281,480) Net current assets I Illabilitiesl Creditors.. amounts falling due after more than one year 579,$82 1856,3241 19 1.102,278} Total net a$$¢ts 4,058,843 3,607.236 Group funds Unreslricled funds 20 4.058.843 3,607,236 Total funds 4,058,843 3,607,236 The Trustees acknowledge their responsibilities for complying with the requirements of the Act wrth respect to accounting records and preparation of financial statements. The financial statements have been prepared in accordance with the provisions applicable to entities subject to the small companies regime. The financial statements wsre approved and authorised for issue by the Trustees 6 December 2022 and signed on their behalf by.. on Mr K Walker The notes on pages 18 10 36 form part of these financi81 slalements. Page 15
DORC HEALTHCARE {A COMPANY LIMITED BY GUARANTEEI REGISTERED NUMBER-1480369 CHARITY STATEMENT OF FINANCIAL POSITION FOR THE YEAR ENDED 31 MARCH 2022 2022 2021 Note Flxed assets Tangible assets Investments 13 2,944,971 2,825.711 15 14 Inveslrnent property 1.624,813 1,624,813 4.569,788 4,450,528 Current assets Stocks 16 17.601 125,935 579.850 13,044 93,830 172,730 Debtors Cash at bank and in hand 723,386 279,604 Creditors.. amounts falling due within one year 18 1371,1971 11,296,011> Net current a55ets I Iliabilitiesl Creditors.. amounts falling due after more than one year 352,189 11,016,407) 19 11,102,278) Total net assets 3.819,699 3,434,121 Charity funds Unrestricted fndS 20 3,819,699 3,434,121 Total funds 3.819,699 3,434,121 The Ttuslees acknOedge their responsibilities for complying with the Tequiretnents of the Act with respect to a¢counting records and preparation of financial statements. The financial statements have been prepared in accordance with the provisions applicable to entities subject lo the small companies regime. The financial statements were approved and authorised for issue by the Trustees 6 December 2022 and signed on their behalf by.. on Mr K Walker The notes on pages 18 to 36 form part of these financial slalerrients. Page 16
DDRC HEALTHCARE IA COMPANY LIMITED BY GUARANTEEI CONSOLIDATED STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 MARCH 2022 2022 2021 Cash flows from operatlng activities Nel cash provided by operating activities 225.933 460,072 Cash flows from inve$tlng activlties Purchase of tangible fixed assets (282,4601 12,195,261) Net cash used in invosting activities 1282,4601 12.195.261) Cash flows trom flnancing a¢tlvlties Cash inflows froln new borrowing Interest paid 638,493 (40,4281 619,669 16,7871 Net cash provlded by financlng activities 598,065 612,882 Change In cash and cash equivalents In the year Cash and cash equiv81ents at the beginning of the ye8r 541.538 {1.122.3071 1,429,908 307,601 Cash and cash equivalents at the end of the year 849,139 307,601 The notes on pages 18 to 36 form part of these financial stslemenls Psge 17
DDRC HEALTHCARE (A COMPANY LIMITED BY GUARANTEEI NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022 GENERAL INFORMATION The Charity is a private company limited by guarantee and incorporated in England ancl Wales. The members of the Charity are th$ Trustees named on page 1. In the event of the Charity being wound up, the liability in respect of the guarantee is limited 10 £1 per member of the Gharity. The reoistered office 01 the Charity is The Hyperbaric Medical Cenlre, Research Way. Plymouth Science Park, Plymouth. ACCOUNTING POLICIES 2.1 BASIS OF PREPARATION OF FINANCIAL STATEMENTS The financial statements have been prepared in accordance rith the Charities SORP IFRS 1021 Ac¢oLJnting and Reporting by Charities." Slalemenl of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 1021 leffective 1 January 20191, the Financial Reporting Stsndard applicable in the UK and Republic of Ireland IFRS 1021 and the Companies Act 2006. DDRC Healthcare meets the definition of a public benefit enlily under FRS 102. Assets and liabilities are initially recognised al historical cost or transaction value unless olhenmse staled in the relevant accounting policy. The Consolidated Sl8lement of Financial Activities ISOFAI 8nd Consolidated B818n¢e Sheet consolidate the financial statements of the Charity and ils subsidiary undertaking. The results of the SLJbsidiary are consolidated on a line by line basis. The Charity has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 arid has not presented its own Statement of Financial Activitie5 in these financial statements. Thè financial statements are presented in pounds sterling as il is considered lo be th6 funclional curren¢y of DDRC Healthcare and are rounded lo thè nearest £. The Charws nel movement in funds for the year was £385,57812021 - £1320,27611. 2.2 GOING CONCERN The accounts have been prepared on the going concern basis. The Group has returned a surplus in the current year, and has nel current assets at the balance sheet dale (net Current liabilities at the prior year balance sheet datel. 11 is the opinion of the Trustees Ihal the Charity will continue as a going concern as the Ch8rity is returning lo pre Covid levels of activity. The services delivered (including those provided in the trading subsidiaries) have increased post Covid and there remains a demand for the services. Based upon this. the Trustees are confident the going concern ba51S IS correct. Page 18
DDRC HEALTHCARE {A COMPANY LIMITED BY GUARANTEE) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022 ACCOUNTING POLICIES l¢ontinuèd} 2.3 INCOME All income is recognised once the Charity has enlillemenl lo the income, il is probable that the income will be received and the amoLinl of income receivable can be measured reliably. Income lax recoverable in relaliDn lo donations received under Gift Aid or d8eLls of covenant is re¢ogriised at the lime of the donation. Income lax recoverable in relation to investment income is recognised al the lime the investment income is receivable. Incoming resources from UK Pijblic Health Authorities have been included as income from activities in furtherance of the Charills objects, as these amount to ¢onlracls for either muline or emergency medical services. 2.4 EXPENDITURE Expenditure is recognIs once there is a legal or constructive obligation to transfer economic benefit to a third paty, it is probable that 8 transfèr of economic benefits will be required in settlement 8nd the amount of the obligation can be measured reliably. Expenditure is classified by activity. Thè costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable lo a single activity are allocated directly lo that activity. Shared costs which contribute to more than one activity and support costs which are not allributable lo a single activity are apportioned bettveen those activities on a basis consistent wth the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset's use. Expenditure on raising funds includes all expenditure incurred by the Group to raise funds for its charitablo purposos and includes costs of all fundraising a¢livilies evènts and non-charitable trading. Expenditure on charitable ackn'vities is incurred on directly undertaking the activities which further the Group's objectives, as well as any associated support Gosls. 2.5 INTEREST RECEIVABLE Interest on funds held on deposit is induded when receivable and the amount can be measured reliably by the Group,. this is norfflally upon notification of the interest paid or payable by the institution th whom the funds are deposited. 2.6 TAXATION The Charity is considered to P8ss the tests set out in Paragraph 1 Schedule 6 of the Finance Act 2010 and thereforè il meets the definits'on of a ¢haritable company for UK corporelion tax purposes. Accordingly, the Charity is potentially exempt from taxation in réspect of income or capital gains received within categories covered by Chapter 3 Part 11 of the Corporation Tax Act 2010 or SeGlion 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such incorne or gains are applied exclusively lo charitable purposes. Page 19
DDRC HEALTHCARE (A COMPANY LIMITED BY GUARANTEEI NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022 ACCOUNTING POLICIES Icontinuedl 2.7 TANGIBLE FIXED ASSETS AND DEPRECSATION Tangible fixed assets are initially recognised al cost. After recognition, under the Cost model, tangible fixed assets are measured 81 cost less accumulaled depreciation and any accumulated impairment losses. All costs in¢urred to bring a tangible fixed asset into ils intended working condition should be included in the measurement of cost. Al each reporting dale the Group assesses whether there is any indication of impairment. If such indication exists, the recoverable amount of the asset is determined to be the higher of ils fair value less costs lo sell and its value in use. An impairment loss is recnISed where the carrying arnounl exceeds the recoverable amount. Depreciation is charged so as lo allocate the cost of tangible fixed assets less their residual value over their estimated useful lives, using the straight-line method or on a reducing balance basis as appropriate. Depre¢i8tion is prowded on the following bases.. Long-lerm leasehold property Plant and office equipment straight line up to 50 years 1 SQA redijcing balance and straight line over 2 10 45 years straight line oveT 6 years not depreciated Motor vehicles Assets under conslrucllon 2.8 INVESTMENTS Fixed asset investments are a forrn of financial instrument and are initially recognised at their transaction cost and subsequently measured al fair value al Ihe Balance Sheet date, Ljnless the value cannot be measured reliably in which case il is measured at cost less impairment. Investment gains and 105ses, whether realised or unrealised, are combined and presented as 'GainsllLossesl on inveslmenls, in the Consolidated Slalement of Financial Activities. Investments in subsidiaries are valued at cost less provision for impairment. Investments held as fixed assets 8re shown at cost less provision lor impairment. 2.9 STOCKS Stocks are valued at the lower of cost and nel realisable value aller making due allowance for obsolete and slow-moving stocks. Cost includes all direct costs and an appropriate proportion of fixed and variable overheads. Page 20
DDRC HEALTHCARE (A COMPANY LIMITED BY GUARANTEE) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022 ACCOUNTING POLICIES {contlnu¢dl 2.10 LIABILITIES AND PROVISIONS Liabilities are rec(onised when there is an obligation al the Balance Sheet dale as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement Can be eslimaled reliably. Liabilities are recognised at the amount that the Group anticipates il will pay to settle the debt or the amount il has received as advanced payments for the goods or services it must prowde. Provisions are measured at the best estimate of the amounts reqLJired lo sellle the obligation. Where the effect of the time value of money is material, the provision is based Dn the present value of those amounts, discounted al the pre-18x discount rate that reflects the risks specific lo the Iiabilily. The unwinding of the discount is recognised in the Consolidated Slalemenl of Financial Activities 8$ a rinance cost. 2.11 FINANCIAL INSTRUMENTS The Group only has financial assets and fi'nancial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially reGnised at transaction value and subsequently measured at their settlement value with the èxception of bank loans which are subsequently measured at amortised cost using the effectivè interest method. 2.12 PENSIONS The Group operates defined contribution pension schemes and the pension charge represents the amounis payable by the Group to the fund In respect of the year. 2.13 FUND ACCOUNTING General funds are unrestricted funds which are available for use al the discretion of the Trustees in furtherance of the general objectives of the Group and which have not been designated for other purposes. Designated funds comprise unrestricted funds that have been sel aside by the Trustees for particular purposes. The aim and us& of each designated fund is sel out in the notes lo the financ131 statements. Investment income, g8ins and losses are 811ocated to the appropriate fund. Page 21
DDRC HEALTHCARE IA COMPANY LIMITED BY GUARANTEE} NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022 CRITICAL ACCOUNTING ESTIMATES AND AREAS OF JUDGEMENT Eslimates and judgements are continually evaluated and are based Dn historical experience and tsther factors, including expectations of future events that are believed to be reasonable under the circumstances. Critical accounting eslimales and assumptions.. The Group makes eslimales and assumptions concerning the future. The resulting accounting estimates and assumptions will, by definition, seldom equal the related actual results. Critical areas of judgement.. Investment property is included at valuation which requires management judgement to calculate., this valuation consicjers the net present value ol futtjre cash inftows gener8led from the propety in addition to consideration of ils market value. Impairment of fixed assets is based upon valuation inform8tion and the value in use, which requires management judgement to calculate. INCOME FROM DONATIONS AND LEGACIES Unreslri¢t¢d funds 2022 Total funds 2022 Donations 12,807 12,807 Unrestricted funds 2021 Total funds 2021 Donations 11,574 11,574 INCOME FROM CHARITABLE ACTIVITIES Unrestricted fund5 2022 Total funds 2022 Medical income Conference and course fees 1,596,667 1,596,667 TOTAL 2022 1,596,667 1,596.667 Page 22
DDRC HEALTHCARE IA COMPANY LIMITED BY GUARANTEEI NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022 INCOME FROM CHARITABLE ACTIVITIES {CONTINUEDI Unrestricted fLJnds 2021 Total funds 2021 Medical income conferen and course fees 1,556,045 5,667 1.556,045 5,667 TOTAL 2021 1,561,712 1.561,712 INCOME FROM OTHER TRADING ACTIVITIES In¢ome from nan charitable tradlng activltlas Unrestrlcted funds 2022 Total funds 2022 Merchandising and training income DDRC Professional Sérvices Limited DDRC Medical Services Limited 1,771 381.628 78,467 1,771 381,628 78,467 TOTAL 2022 467,866 461,866 Unrestricted funds 2021 Total funds 2021 Merchandising and training income DDRC Professional Services Limited DDRC Medical Serwces Limited 62 62 125,572 49,100 125,572 49,100 TOTAL 2021 174,734 174,734 P8ge 23
DDRC HEALTHCARE IA COMPANY LIMITED BY GUARANTEEI NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022 INVESTMENT INCOME Unrestrl¢ted funds 2022 Total fund5 2022 Rental income Bank interest receivable 230,785 40 230,785 40 TOTAL 2022 230,825 230,825 Unrestricted funds 2021 Tol81 funds 2021 Rental income 88nk interest receivable 8,350 1,100 8,350 1,100 TOTAL 2021 9,450 9,450 OTHER INCOMING RESOURCES Unrestricted funds 2022 Total funds 2022 Other operating income Other incoming resources 12,149 101,285 12,149 101,285 113,434 113.434 Unrestricted funds 2021 Total funds 2021 Other operating income 16,793 16.793 Page 24
DDRC HEALTHCARE IA COMPANY LIMITED BY GUARANTEEI NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022 ANALYSIS OF EXPENDITURE BY ACTIVITIES Acllvitles undertaken directly 2022 Support costs Total funds 2022 2022 Charitable activities 1,632,189 63,612 1,695.801 Activities undertaken directly 2021 Support costs 2021 Total funds 2021 Charitable activities 1,924,091 48,981 1,973,072 ANALYSIS OF SUPPORT COSTS Total funds 2022 Activltles 2022 Governance costs 63,612 63.612 Total funds 2021 Activities 2021 Governance costs 48,981 48,981 10. AuDORs. REMUNERATION 2022 2021 Fees payable to the Group's auditor for the audit of the Group's annual accounts 13.510 11.220 Fe6s payable to the Group's auditor in respect of.. All non-audit services not included above 3.740 3,105 Page 25
DDRC HEALTHCARE A COMPANY LIMITED BY GUARANTEE) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022 STAFF COSTS Group 2022 Group 2021 Charity 2022 Charity 2021 Wages and salaries Social security costs Contribution to defined contribution pension schemes 986,985 72,579 934,311 72.905 870.247 63,162 846,944 65,678 68,383 57,236 60.409 52,411 1,127,947 1.064,452 993.818 965,033 Ouring the year slalulory redundancy payments were made by the Charity of £6,044 to 1 employee 12021.. £NILI. These pawnenls are included in wages and salaries costs. The average number of persons employed by the Charity during the year was as follows.. Group 2022 No. Group 2021 No. Charlty 2022 No. Charity 2021 No. Staff 47 47 41 43 The number of employees whose employee benefits (excluding employer pension costs) exceeded £60,000 was.. Group 2022 No. Group 2021 No. In the band £80,001 - £90,000 In the band £90,001- £100,000 In the band £100,001 £110.000 All Trustees and certain senior employees who have authority and responsibility for planning, directing and controlling the activities of the Group are considered lo be key management personnel. Tol81 remuneration in respect of these individu81s is £316,801 12021.. £288,332). Trustees receive no remuneration for their role and all remuneration reported relates to employees of the Group. 12. TRUSTEES. REMUNERATION AND EXPENSES During the year, no Trustees received any remuneration or other benefils12021 £NILI. During the year ended 31 March 2022, expenses lotaling £NIL were reimbursed or paid directly to no Truslees12021 £NILI. Page 26
DDRC HEALTHCARE IA COMPANY LIMITED BY GUARANTEEI NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022 13. TANGIBLE FIXED ASSETS GROUP Long-tÈrm lèa$ehold property Plant and machinery Motor vehicles Total COST OR VALUATION Al 1 April 2U21 Acldilions Disposals 3.746,609 188,782 1,397,921 93,678 11.1621 12.842 5.157,372 282,460 11,1621 At 31 March 2022 3,935.391 1,490,437 12,842 5,438,670 DEPRECIATION At 1 April 2021 Charge for the year On disposals 1.183,450 92,752 1,122,333 71,729 11,1621 12,842 2.318,625 164,481 11,1621 At 31 March 2022 1,276,202 1.192,900 12.842 2,4B1,944 NET 800K VALUE At 31 March 2022 2,659,189 297,537 2,956,726 Al 31 March 2021 2,563,159 275,588 2,838,747 Page 27
DDRC HEALTHCARE {A COMPANY LIMITED BY GUARANTEE) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022 13. TANGIBLE FIXED ASSETS ICONTINUED} CHARITY Long.term leasehold property Plant and machinery Total COST OR VALUATION Al 1 April 2021 Additions 3,746,609 188,782 1,358,492 90,870 5,105,101 279,652 Al 31 March 2022 3,935,391 1,449.362 5,384,753 DEPRECIATION At 1 Apri12021 Charg6 for the year 1,183,450 92,752 1,095,940 67,640 2,279.390 160,392 At 31 M8fGh 2022 1,276,202 1,163,580 2.439.782 NET BOOK VALUE Al 31 March 2022 2.659,189 285,782 2,944,971 Al 31 March 2021 2,563,159 262,552 2,825,711 P8ge 28
DDRC HEALTHCARE IA COMPANY LIMITED BY GUARANTEEI NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022 14. INVESTMENT PROPERTY GROUP Long tèrm Ioasehold Investment property VALUATION Al 1 April 2021 1.624.813 At 31 March 2022 1,624,813 CHARITY Long lerni lèasehold Investment pmperty VALUATION At 1 Ap1 2021 1,624,B13 Al 31 M8rch 2022 1.624.813 Investment property relates to a proportion of the DDRC building, which is rented out lo third parties. The 2022 valuations were made by the Trustees, on an open market value for existing use basis. 15. FIXED ASSET INVESTMENTS Investments in Subsidiary companies CHARITY COST OR VALUATION Al 1 April 2021 AT 31 MARCH 2022 P8ge 29
DDRC HEALTHCARE IA COMPANY LIMITED BY GUARANTEEI NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022 PRINCIPAL SUBSIDIARIES The following were subsidiary undertakings of the Charity-. Names Company number Registered offlce or prlncipal HoSdlng place of buslne55 DDRC Professional Services Limited 03004311 8 Research Way, Derriford, Plymouth, PL6 8BU 8 Research Way, Derrilord, Plymouth, PL6 8BU 100% DDRC Medical Services Limited 07560790 100Y. The financial results of the subsidiaries for the ye8r were= Names Incom• Expenditure Profit for thè yéar Net assets DORC Professional Services Limited DDRC Medical Services Limited 394,178 82,687 1340.7331 146,2521 53.445 36.435 164,612 74,535 DDRC Medical Servi¢és Limited has not been audited. The Directors have taken advant8ge of exemptions under Companies Act 479A. The parent Charity has signed a stslement of guarantee for the subsidiary. 16. STOCKS Group 2022 Group 2021 Charity 2022 Charity 2021 Raw materials and consurnables 21.012 17,070 17,601 13,044 17. DEBTORS Group 2022 Group 2021 CharSty 2022 Charity 2021 DUE WITHIN ONE YEAR Trade debtors Amounts owed by group ijndertakings Other debtors Prepayments and accrued inGome 73,304 1,589 6,104 47,644 755 71,432 1,008 21,467 26,282 45,073 15,050 82,736 36,189 62,707 171.090 100,485 125,935 93,830 Page 30
DDRC HEALTHCARE {A COMPANY LIMITED BY GUARANTEE) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022 18. CREDITORS.. AMOUNTS FALLING DUE WITHIN ONE YEAR Group 2022 Group 2021 Charlty 2022 Charity 2021 Bank loans Trade creditors Amounts owed to group undertakings Other taxation and social sa¢urity Other creditors Accruals and deferred income 155,884 108,663 619.669 107,111 155,884 93,658 619,669 88,113 101,291 21,186 6,142 459,610 42,246 7,203 147,663 32,670 6,142 515,888 38.893 7,204 75.558 461,659 1,281,480 371,197 1,296,011 Bank loans in 2021 relate lo a bridging 108n for the new build project. In 2022 this has been renegotiated to a loan repayable over 10 years with a fixed interest rale of 3.7 /0 per annum. This loan is secured via a fixed and floating ¢harge over property of the Charity. Deferred income is held for fees received in the year for training courses taking place after year end. 19. CREDITORS.. AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR Group 2022 Group 2021 Charlty 2022 Charity 2021 Bank loans 1,102,278 1,102,278 Included within the above 8re amounts falling due as follows.. Group 2022 Group 2021 Charity 2022 Charity 2021 BETWEEN ONE AND TWO YEARS Bank loans 155,884 155,884 BETWEEN TWO AND FIVE YEARS Bank108ns 467.652 467,652 OVER FIVE YEARS Bank loans 478.742 478,742 Amounts payable on the above bank loan are repayabl8 by instslmenls. Page 31
DDRC HEALTHCARE IA COMPANY LIMITED BY GUARANTEE) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022 20. STATEMENT OF FUNDS STATEMENT OF FUNDS- CURRENT YEAR Balance at 31 March 2022 Balance at 1 April 2021 Transfers inlout Incom¢ Expenditure UNRESTRICTED FUNDS DESIGNATED FUNDS Fixed assets 3,843,891 1164,481} 1356,0331 3.323,377 GENERAL FUNDS General funds 1236,6551 2.415,599 11,799,5111 356,033 735,466 TOTAL UNRESTRICTED FUNDS 3,607,236 2,415,599 {1,963,9921 4,058,843 Designated Funds Fixed assets This fund represents the net book value of designated assèts. less any loans associated with the build. Transfers in to this designated fund relate to fixed asset purchases from general funds. Reflected in the transfers, there has bÈen a significant transfer out of this fund of £638,493 In the current year, which relates to the renegoli81ion of the loan in respect of the build. Page 32
DDRC HEALTHCARE {A COMPANY LIMITED BY GUARANTEE} NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022 20. STATEMENT OF FUNDS {CONTINUEDI STATEMENT OF FUNDS- PRIOR YEAR Balance at 31 March 2021 Balance at 1 April 2020 Transfers inloul Income Expenditure UNRESTRICTED FUNDS DESIGNATED FUNDS Main site development fund Fixed assets 704,979 2,852,347 (704,9791 1,575,358 (583,8141 3,843,891 3,557,326 1583,8141 870,379 3,843,891 GENERAL FUNDS General funds DDRC Professional Services Ltd 200,000 1,570,259 11.387,6331 1789,9921 {407,3661 190,128 53,009 151,578 52,426 1169,1411 (26,9021 (58,6541 121,7331 113,911 56,800 DDRC Medical Services Ltd 443,137 1,774,263 11,583.6761 1870,3791 1236,6551 TOTAL UNRESTRICTED FUNDS 4,000,463 1,774,263 12,187,4901 3,607,236 21. SUMMARY OF FUNDS SUMMARY OF FUNDS- CURRENT YEAR Balance at 31 March 2022 Balance at 1 April 2021 Transfers inlout Income Expenditure Designated funds General funds 3,843,891 1164,4811 1236.6551 2.415,599 {1.799,511} 1356,0331 356.033 3,323,377 735.466 3.607.236 2,415,599 {1.963,9921 4,058,843 Page 33
DDRC HEALTHCARE IA COMPANY LIMITED BY GUARANTEEI NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022 21. SUMMARY OF FUNDS ICONTINUED) SUMMARY OF FUNDS- PRIOR YEAR Balance al 31 March 2021 Balance at 1 April 2020 Transfers Inloul Income Expenditure Designated funcjs General funds 3,557,326 443,137 1583,8141 870,379 3,843,891 11,583,676) 1870,3791 1236,6551 1,774,263 4,000,463 1,774,263 12,167,490) 3,607,236 22. ANALYSIS OF NET ASSETS BETWEEN FUNDS ANALYSIS OF NET ASSETS BETWEEN FUNDS - CURRENT YEAR Unrestricted funds 2022 Total fund5 2022 Tangible fixed assets Inveslment property Current 8ssels Creditors due within one year Creditors due in more than one year 2,956,726 2.956,726 1,624,813 1,624,813 1,041,241 1.041,241 1461.6591 1461,6591 11,102,278) 11.102,2781 TOTAL 4,058,843 4,058,843 ANALYSIS OF NET ASSETS BETWEEN FUNDS- PRIOR YEAR Unrestricted funds 2021 Total funds 2021 Tangible fixed assets Investment property Currenl assets Creditors due within one year 2,838,747 2,838,747 1,624,813 1,624,813 425,156 425,156 11,281,480) 11,281,480) TOTAL 3,807,236 3,607,236 Page 34
DDRC HEALTHCARE IA COMPANY LIMITED BY GUARANTEEI NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022 23. RECONCILIATION OF NEf MOVEMENT IN FUNDS TO NET CASH FLOW FROM OPERATING ACTIVITIES Group 2022 Group 2021 Nel incomelexpenditure for the year las per Slalement of Financial Activities) 451,607 1393,2271 ADJUSTMENTS FOR.. Depreci81ion charges Impairment charges Loss on the sale of fixed assets Decreasel(increasel in stocks Decreasellincreasel in debtors Increaselldecreasel in creditors Interest charges 164,481 98.497 485,317 601 1,169 190,680 70,248 6,787 (3.942) 170,6051 1356,0361 40,428 NET CASH PROVIDED 8Y OPERATING ACTIVITIES 225,933 460,072 24. ANALYSIS OF CASH ANO CASH EQUIVALENTS Group 2022 Group 2021 Cash in hand 849,139 307,601 25. ANALYSIS OF CHANGES IN NET DEBT At 1 April 2021 Cash flows At 31 March 2022 Cash at bank and in hand Debt due within 1 y08r Debt due after 1 year 307,601 1619,6691 541,538 849,139 463,785 1155,8841 (1,102,2781 11,102,278> Page 35
DDRC HEALTHCARE IA COMPANY LIMITED BY GUARANTEEI NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022 26. CAPITAL COMMITMENTS Group 2022 Group 2021 Charity 2022 Charity 2021 CONTRACTED FOR BUT NOT PROVIDED IN THESE FINANCIAL STATEMENTS Acquisition of tangible fixed 8ssets 183,862 163,862 The Charity committed lo building an extension lo the DDRC Medical Centre in the prior year. This w8S completed in year and no furthef ¢ommitments are now in place. 27. PENSION COMMITP¥lENTS The Group operates two defined contribution pension schemes. The assets of the schernes are held separately from those of the Group in an independently administered fund. The pension costs charge represents contributions payable by the Group to the funds and atnounted to £68,38312021'. £57,236). Contributions tolaling £7,20312021." £6,139) were payable to the funds al the balance sheet dale. 28. RELATED PARTY TRANSACTIONS The Charity has two 100°/o subsidiaries as included in note 1 S. As these a wholly owned by DDRC Healthcare, the Charity has taken advantagc of the exemption contain8d in FRS 102 Section 33.1A not to disclose transactions or balances wilh entities which form part of the Group. There have been no Ir8nsactions with other olated parties. 29. CONTROLLING PARTY The Charity is controlled by the Trustees. Page 36