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The amount of working capital required to service Keepmoat’s operations is closely monitored and controlled, and forms a key part of the information reviewed by the board on a weekly and monthly basis. Current assets mainly comprise trade receivables, work in progress and land held

In the course of its ordinary activities, the Group is exposed to some financial risks which include liquidity, credit and interest rate risks. Keepmoat monitors and manages these risks through robust policies

for the development of private housing and affordable housing through partnership schemes. As Keepmoat’s focus is on public sector clients, there is no history of bad or doubtful debts. We have used working capital in the year to support our social housing contracting division and our house sales under shared equity which has underpinned the growth in our private housing division.

Liquidity risk relates to the Group generating sufficient cash flow to meet its operational requirements while avoiding debt covenant

GOING CONCERN The Directors have considered the adequacy of the Group’s Financial Resources through a review of the financial projections for the business, taking into account the new facilities available to the Group following the refinancing on 23 October 2012. The Directors have also considered the covenants attaching to the new facilities and the likely level of headroom available to the Group. After careful consideration the Directors are satisfied that the Group and company have adequate resources to continue in operation

and procedures.

breaches or excessive debt levels. Our borrowings are a combination of the long term loans previously mentioned and revolving working capital credit facilities. Credit risk is in relation to trade receivables from clients. As a result of Keepmoat’s strategy to generate the majority of our revenue from services to public and regulated organisations, the exposure to credit risk is extremely limited.

TAXATION No corporation tax is expected to be payable in respect of the reporting period.

James Thomson Group Chief Financial Officer

for the foreseeable future. For this reason the Directors continue to apply the going concern basis in preparing the accounts.

Keepmoat Annual Report Annual andReport Financial andStatements Financial Statements 2012 2012


Keepmoat plc Annual report and accounts 2012  
Keepmoat plc Annual report and accounts 2012