COVE COMMUNITIES MANAGEMENT LIMITED

• ⚠

  Material uncertainty over going concern

  The Company recognised a net profit before tax of £4,174,312 for the year ended 31 December 2024 (2023: £4,069,670) and the Company's net current liabilities are £2,515,456 (2023: £5,510,761). The Company generated cash of £4,767,174 from operating activities (2023: Cash used in operations of £1,840,387). In June 2024 the Company received a one-off payment of £4,875,151 from its related party customers to cover losses before taxation from prior years. A price increase was also negotiated on its management agreements with related parties which will allow it to cover its costs and maintain sufficient profitability and cash inflows. The directors have prepared a going concern assessment for the period of 12 months following the approval of these financial statements utilising board approved forecasts. They are not aware of any events or conditions beyond this period that could cast doubt over the ability to remain a Going Concern. The Company is solely dependent on a related party, Cove Communities UK Investments, LP, for its revenue, and therefore its future cash inflows. Cove Communities UK Investments, LP has a £70.3m mortgage debt facility with an initial term ending in December 2025, and is required to meet certain covenants to extend the facility for a further year. It is forecasted that Cove Communities UK Investments, LP will require financial support in order to meet the covenants, and whilst that support is expected it is not guaranteed. As a result, the accounts of Cove Communities UK Investments, LP include a material uncertainty in relation to Going Concern. Given the reliance of the Company on Cove Communities UK Investments, LP, these conditions indicate the existence of a material uncertainty that may cast significant doubt about the Company's ability to continue as a Going Concern.

• ◆

  2 PSCs ceased in last 24 months

  Significant control changed hands — see the Ownership section.

Values shown as filed in the company's annual accounts. — indicates the figure wasn't present under that line item in that period. About these numbers

Margins divide P&L lines by turnover. Gearing is liabilities over total assets. Current ratio is current assets over creditors falling due within one year. Interest cover is operating profit over absolute finance costs. Sector-distribution context coming next.

Accounting basis

FRS 102

Reporting scope

Standalone (parent only)

Auditor

PricewaterhouseCoopers LLP

Audit opinion

Unqualified (clean)

Going concern

Material uncertainty disclosed

“The Company recognised a net profit before tax of £4,174,312 for the year ended 31 December 2024 (2023: £4,069,670) and the Company's net current liabilities are £2,515,456 (2023: £5,510,761). The Company generated cash of £4,767,174 from operating activities (2023: Cash used in operations of £1,840,387). In June 2024 the Company received a one-off payment of £4,875,151 from its related party customers to cover losses before taxation from prior years. A price increase was also negotiated on its management agreements with related parties which will allow it to cover its costs and maintain sufficient profitability and cash inflows. The directors have prepared a going concern assessment for the period of 12 months following the approval of these financial statements utilising board approved forecasts. They are not aware of any events or conditions beyond this period that could cast doubt over the ability to remain a Going Concern. The Company is solely dependent on a related party, Cove Communities UK Investments, LP, for its revenue, and therefore its future cash inflows. Cove Communities UK Investments, LP has a £70.3m mortgage debt facility with an initial term ending in December 2025, and is required to meet certain covenants to extend the facility for a further year. It is forecasted that Cove Communities UK Investments, LP will require financial support in order to meet the covenants, and whilst that support is expected it is not guaranteed. As a result, the accounts of Cove Communities UK Investments, LP include a material uncertainty in relation to Going Concern. Given the reliance of the Company on Cove Communities UK Investments, LP, these conditions indicate the existence of a material uncertainty that may cast significant doubt about the Company's ability to continue as a Going Concern.”

Auditor, going-concern and subsidiary information is drawn from the narrative of the latest annual accounts. About these numbers

Filings

5

last 12 months

Capital events

0

last 24 months

Officers appointed

1

last 12 months

Officers resigned

1

last 12 months

Direct counts from the register. No score, no rating — see the Filing timeline for the underlying events.

• Turnover

  +126.1%

  £5,179,421 → £11,709,718

• Cash

  +289.1%

  £18,531 → £72,098

• Net assets

  +55.8%

  -£5,350,363 → -£2,364,110

• Employees

  +1.3%

  79 → 80

• Operating profit

  +202.6%

  -£3,994,842 → £4,099,038

• Profit before tax

  +202.6%

  -£4,069,670 → £4,174,312

• Wages

  -3.4%

  £5,190,548 → £5,011,528

Each % is (latest − prior) ÷ |prior| for the line item as filed. The comparison is only shown when the latest and prior accounts cover broadly equal-length periods — short or long stubs (typical around incorporation or a year-end change) are suppressed rather than misrepresented. Lines a company doesn't report are omitted. About these numbers