Caseware UK (AP4) 2024.0.164 2024.0.164 2024-03-312024-03-31truefalse47true2023-04-01falseretailing and wholesaling of fashion wear48falsefalse 03234989 2023-04-01 2024-03-31 03234989 2022-04-01 2023-03-31 03234989 2024-03-31 03234989 2023-03-31 03234989 2022-04-01 03234989 1 2023-04-01 2024-03-31 03234989 1 2022-04-01 2023-03-31 03234989 5 2023-04-01 2024-03-31 03234989 5 2022-04-01 2023-03-31 03234989 d:Director1 2023-04-01 2024-03-31 03234989 d:Director2 2023-04-01 2024-03-31 03234989 d:Director3 2023-04-01 2024-03-31 03234989 d:RegisteredOffice 2023-04-01 2024-03-31 03234989 e:Buildings e:ShortLeaseholdAssets 2023-04-01 2024-03-31 03234989 e:Buildings e:ShortLeaseholdAssets 2024-03-31 03234989 e:Buildings e:ShortLeaseholdAssets 2023-03-31 03234989 e:FurnitureFittings 2023-04-01 2024-03-31 03234989 e:FurnitureFittings 2024-03-31 03234989 e:FurnitureFittings 2023-03-31 03234989 e:FurnitureFittings e:OwnedOrFreeholdAssets 2023-04-01 2024-03-31 03234989 e:OwnedOrFreeholdAssets 2023-04-01 2024-03-31 03234989 e:CurrentFinancialInstruments 2024-03-31 03234989 e:CurrentFinancialInstruments 2023-03-31 03234989 e:Non-currentFinancialInstruments 2024-03-31 03234989 e:Non-currentFinancialInstruments 2023-03-31 03234989 e:CurrentFinancialInstruments e:WithinOneYear 2024-03-31 03234989 e:CurrentFinancialInstruments e:WithinOneYear 2023-03-31 03234989 e:Non-currentFinancialInstruments e:AfterOneYear 2024-03-31 03234989 e:Non-currentFinancialInstruments e:AfterOneYear 2023-03-31 03234989 e:ReportableOperatingSegment1 2023-04-01 2024-03-31 03234989 e:ReportableOperatingSegment1 2022-04-01 2023-03-31 03234989 e:ReportableOperatingSegment2 2023-04-01 2024-03-31 03234989 e:ReportableOperatingSegment2 2022-04-01 2023-03-31 03234989 e:ReportableOperatingSegment7 2023-04-01 2024-03-31 03234989 e:ReportableOperatingSegment7 2022-04-01 2023-03-31 03234989 f:UnitedKingdom 2023-04-01 2024-03-31 03234989 f:UnitedKingdom 2022-04-01 2023-03-31 03234989 f:RestEuropeOutsideUK 2023-04-01 2024-03-31 03234989 f:RestEuropeOutsideUK 2022-04-01 2023-03-31 03234989 f:RestWorldOutsideUK 2023-04-01 2024-03-31 03234989 f:RestWorldOutsideUK 2022-04-01 2023-03-31 03234989 e:UKTax 2023-04-01 2024-03-31 03234989 e:UKTax 2022-04-01 2023-03-31 03234989 e:ShareCapital 2024-03-31 03234989 e:ShareCapital 2023-03-31 03234989 e:ShareCapital 2022-04-01 03234989 e:RetainedEarningsAccumulatedLosses 2023-04-01 2024-03-31 03234989 e:RetainedEarningsAccumulatedLosses 2024-03-31 03234989 e:RetainedEarningsAccumulatedLosses 2022-04-01 2023-03-31 03234989 e:RetainedEarningsAccumulatedLosses 2023-03-31 03234989 e:RetainedEarningsAccumulatedLosses 2022-04-01 03234989 e:AcceleratedTaxDepreciationDeferredTax 2024-03-31 03234989 e:AcceleratedTaxDepreciationDeferredTax 2023-03-31 03234989 e:TaxLossesCarry-forwardsDeferredTax 2024-03-31 03234989 e:TaxLossesCarry-forwardsDeferredTax 2023-03-31 03234989 e:FurtherSpecificTypeProvisionContingentLiability1ComponentTotalProvisionsContingentLiabilities 2024-03-31 03234989 e:FurtherSpecificTypeProvisionContingentLiability1ComponentTotalProvisionsContingentLiabilities 2023-03-31 03234989 d:OrdinaryShareClass1 2023-04-01 2024-03-31 03234989 d:OrdinaryShareClass1 2024-03-31 03234989 d:OrdinaryShareClass1 2023-03-31 03234989 d:FRS102 2023-04-01 2024-03-31 03234989 d:Audited 2023-04-01 2024-03-31 03234989 d:FullAccounts 2023-04-01 2024-03-31 03234989 d:PrivateLimitedCompanyLtd 2023-04-01 2024-03-31 03234989 e:WithinOneYear 2024-03-31 03234989 e:WithinOneYear 2023-03-31 03234989 e:BetweenOneFiveYears 2024-03-31 03234989 e:BetweenOneFiveYears 2023-03-31 03234989 e:MoreThanFiveYears 2024-03-31 03234989 e:MoreThanFiveYears 2023-03-31 03234989 2 2023-04-01 2024-03-31 03234989 g:PoundSterling 2023-04-01 2024-03-31 iso4217:GBP xbrli:shares xbrli:pure


Registered number: 03234989












ISSEY MIYAKE LONDON LIMITED
ANNUAL REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

 

ISSEY MIYAKE LONDON LIMITED

CONTENTS



Page
Company information
 
1
Strategic report
 
2 - 4
Directors' report
 
5
Directors' responsibilities statement
 
6
Independent auditor's report
 
7 - 10
Profit and loss account
 
11
Balance sheet
 
12
Statement of changes in equity
 
13
Statement of cash flows
 
14
Notes to the financial statements
 
15 - 31


 

ISSEY MIYAKE LONDON LIMITED
 
COMPANY INFORMATION


Directors
T M Brickhill 
H Kaito 
K Usui 




Registered number
03234989



Registered office
c/o Browne Jacobson LLP
6 Bevis Marks

London

EC3A 7BA




Independent auditor
Blick Rothenberg Audit LLP
Chartered Accountants & Statutory Auditor

16 Great Queen Street

Covent Garden

London

WC2B 5AH




Page 1

 

ISSEY MIYAKE LONDON LIMITED
 
STRATEGIC REPORT
FOR THE YEAR ENDED 31 MARCH 2024

Introduction
 
The directors present their strategic report and financial statements for the year ended 31 March 2024.
The principal activity of the company continued to be that of retailing and wholesaling of fashion ready-to-wear over six brands. Sales are made through the company's own retail stores, concession stores, e-commerce platform and UK wholesale accounts.
The immediate parent undertaking during the year remains Issey Miyake Inc. in Japan. Issey Miyake London Limited is responsible for the United Kingdom (UK) market within the Group.

Business review

Whilst the turnover grew only 1% over the previous year, it was a much more efficient turnover in that the company closed the Harvey Nichols concession and greatly decreased mark-down sales. By increasing the full price sales and careful management of stock, the directors remain focussed on continuing to strengthen this area of the business and achieving continued growth in both revenue and profits.
The profit and loss account on page 11 of the financial statements provides a summary of the company’s trading results for the year. The performance and results for the year are in line with the directors' expectations.
The financial highlights include:
• Turnover £11.7 million (2023: £11.5 million).
• Gross profit £7.6 million (2023: £7.8 million).
• Reduction in operational costs £0.74 million (2023: increase of £0.41 million).
• Operating profit £2.4 million (2023: £1.8 million).
• Net cash improvement in the year of £0.72 million.
The company’s balance sheet remains strong with net current assets of £7.1 million and shareholders' funds of £7.6 million.
The directors continue to review the business and industry to minimise or mitigate the risks that are prevalent in a commercial environment.

Principal risks and uncertainties
 
The principal risks to which the company is exposed as identified by the Board of directors have been reviewed and systems or procedures have been introduced to manage those risks. Compliance with regulation, legal and ethical standards is a high priority to the directors.
Commercial Risk
Demand for Issey Miyake products may decrease during a slowdown in the economy. For example, clients having less disposable income to spend on non-essential items, or particularly a fall in international customers visiting the UK due to travel restrictions and the withdrawal of tax-free shopping by the UK government. The economic environment renders factors beyond the company’s control, such as inflation, interest rates, the rising cost of materials, transport and production which could lead to drop in full price sales with more stock going into end of season discounted sales thereby reducing margin. However, it should be noted that the brand’s reputation for creativity and technical invention continue to strengthen the demand for Issey Miyake products.
 

Page 2

 

ISSEY MIYAKE LONDON LIMITED

STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024

Principal risks and uncertainties (continued)

Risk mitigation: The Board regularly monitors costs and performance, ensuring that fixed costs are managed well. The Board makes sure that Issey Miyake maintains its reputation for innovative and unique design, with products that reflect this differentiated positioning.
Competition
Issey Miyake enjoys a unique position in the luxury fashion market. However, it should be noted that a potential lack of insight around customers and competitors could result in a reduction in demand. This could decrease the market share if Issey Miyake is not seen as competitive with other brands, or the company fails to offer a competitive and suitably diverse product mix.
Risk mitigation: The Board regularly reviews performance, product, price and competitors to ensure that Issey Miyake is best placed to succeed in a competitive market, thus maintaining the unique designs which positions the company and the group at the forefront of innovation in fashion. The company has recently invested in its online business to steer this. This is further enhanced by the company's increasing digital and press campaigns worldwide, leading to strong brand identity.
Merchandising/stock obsolescence
Stock risk due to obsolescence could lead to write-offs that damage profitability and asset value. This could be a result of lack of customer demand, high price points or poor stock controls.
Risk mitigation: The Board maintains a regular and rigorous forecasting cycle that enables stock ordering to reasonably match achievable sales forecast, as well as early action to recognise and monetise stock levels.  There is a clearly defined rolling table for the depreciation of old stock with stock provisioning in the financial statements.  Annual discounted ‘old’ stock sales in an external venue to a selected list of clients clears this redundant stock.
Labour costs, employee relations, recruitment and retention
Employee costs represent the largest component of the company’s operating costs. The company's aim is always to offer employees a competitive package and to provide a healthy work/life balance.
High employee turnover could lead to higher than expected increases in the cost of recruitment, training and labour costs and operational disruption.  However, it should be noted that the employee turnover is currently low in the company and the retention of staff is very strong.
Risk mitigation: The company constantly seeks to reinforce working practices and retention policies. With increasing wages and incentives, additional costs are routinely factored into the company’s forecasts, to ensure appropriate returns are achieved. Maintaining brand status attracts and retains motivated personnel.
Increasing regulations/legal/tax compliance
Failure to comply with relevant regulatory requirements in relation to tax, financial reporting, health and safety and General Data Protection Regulations could lead to fines and legal actions. For example, fines or penalties when there is failure to comply with changing export/import regulations.
Risk mitigation: Existing reporting, budgeting, accounting and management controls and changes implemented as necessary are under constant review by the Board with the support of external professional advisers.
Compliance and legislation affecting the company is complex and fast-moving, thus adding additional obligations in reporting and the running of the business. The financial instruments used by the company arise wholly and directly from its activities. The main financial instruments comprise debtors, cash at bank and trade creditors. The financial risks arising from these financial instruments are considered low. The mature financial stability of the business ensures the company maintains excellent terms with preferred suppliers and their credit partners.
Cash reserves have remained healthy over the year and the company continues to trade with the support of its parent undertaking. Working capital continues to be monitored on a regular basis by the Board.

Page 3

 

ISSEY MIYAKE LONDON LIMITED

STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024

Financial key performance indicators
 
The results for the year were in line with targets and expectations.
The company has greatly enhanced governance and the reporting of key performance indicators to ensure optimal business performance, including monthly reporting of key metrics to the Board.
Key performance indicators are maintained across all parts of the business to ensure the company is constantly monitoring and challenging the results. To track the performance of the company, the directors regularly monitor the following key indicators:

2024
2023
2022
2021
        %
        %
        %
        %
Gross profit margin

65

67

58
 
48
 

2024
2023
2022
2021
      £'000
      £'000
      £'000
      £'000
Turnover

11,734

11,546

9,663
 
6,055
 
Profit/(loss) before taxation

2,613

1,865

97
 
(1,055)
 
Cash inflow/(outflow)

723

2,061

1,448
 
(1,280)
 


This report was approved by the board and signed on its behalf.



T M Brickhill
Director

Date: 20 March 2025

Page 4

 

ISSEY MIYAKE LONDON LIMITED

DIRECTORS' REPORT
FOR THE YEAR ENDED 31 MARCH 2024

The directors present their report and the financial statements for the year ended 31 March 2024.

Results and dividends

The profit for the year, after taxation, amounted to £1,939,631 (2023 -£1,506,055).

The directors do not recommend a dividend.

Directors

The directors who served during the year were:

T M Brickhill 
H Kaito 
K Usui 

Matters covered in the Strategic report

As permitted by s414c(11) of the Companies Act 2006, the directors have elected to disclose information, required to be in the directors' report by Schedule 7 of the 'Large and Medium-sized Companies and Groups Accounts and Reports) Regulations 2008', in the strategic report.

Disclosure of information to auditor

Each of the persons who are directors at the time when this directors' report is approved has confirmed that:
 
so far as the director is aware, there is no relevant audit information of which the company's auditor is unaware, and

the director has taken all the steps that ought to have been taken as a director in order to be aware of any relevant audit information and to establish that the company's auditor is aware of that information.

This report was approved by the board and signed on its behalf.
 





T M Brickhill
Director

Date: 20 March 2025

Page 5

 

ISSEY MIYAKE LONDON LIMITED
 
DIRECTORS' RESPONSIBILITIES STATEMENT
FOR THE YEAR ENDED 31 MARCH 2024

The directors are responsible for preparing the strategic report, 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 applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable 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 for the company's financial statements and then apply them consistently;

make judgements and accounting estimates that are reasonable and prudent;


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 to enable them to ensure that the financial statements comply with the Companies Act 2006They 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.

Page 6

 

ISSEY MIYAKE LONDON LIMITED

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF ISSEY MIYAKE LONDON LIMITED
 FOR THE YEAR ENDED 31 MARCH 2024

Opinion


We have audited the financial statements of Issey Miyake London Limited (the 'company') for the year ended 31 March 2024, which comprise the profit and loss account, the balance sheet, the statement of changes in equity, the statement of cash flows and the notes to the financial statements, including significant accounting policiesThe 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).


In our opinion the financial statements:


give a true and fair view of the state of the company's affairs as at 31 March 2024 and of its profit for the year then ended;
have been properly prepared in accordance with United Kingdom Generally 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 International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the 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 financial statements 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 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 financial statements are 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.


Page 7

 

ISSEY MIYAKE LONDON LIMITED

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF ISSEY MIYAKE LONDON LIMITED (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024

Other information


The other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The directors are responsible for the other information contained within the annual reportOur opinion on the 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. Our responsibility is to 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 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 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.


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 strategic report and the directors' report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
the strategic report and the directors' report have been prepared in accordance with applicable legal requirements.


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 directors' report.

We have nothing to report in respect of the following matters in relation to which 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 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 6, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.


In preparing the 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.


Page 8

 

ISSEY MIYAKE LONDON LIMITED

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF ISSEY MIYAKE LONDON LIMITED (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024

Auditor's responsibilities for the audit of the financial statements
 

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report 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 financial statements.


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

the engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations;
we identified the laws and regulations applicable to the company through discussions with directors and other management, and from our commercial knowledge and experience of the fashion sector;
we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the company, including the Companies Act 2006, taxation legislation and data protection, anti-bribery and employment legislation;
we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and inspecting legal correspondence; and
identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit.

We assessed the susceptibility of the company’s financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:

making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud; and
considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations.

To address the risk of fraud through management bias and override of controls, we:

performed analytical procedures to identify any unusual or unexpected relationships;
tested a sample of journal entries to identify unusual transactions;
assessed whether judgements and assumptions made in determining the accounting estimates were indicative of potential bias; and
investigated the rationale behind significant or unusual transactions.

In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:
 
agreeing financial statement disclosures to underlying supporting documentation;
reading the minutes of meetings of those charged with governance;
enquiring of management as to actual and potential litigation and claims.

There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any.
Page 9

 

ISSEY MIYAKE LONDON LIMITED

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF ISSEY MIYAKE LONDON LIMITED (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024


Auditor's responsibilities for the audit of the financial statements (continued)
Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.


A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.


Use of our report
 

This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006Our 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 an auditor's report 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.





Marc Levy FCA (senior statutory auditor)
  
for and on behalf of
Blick Rothenberg Audit LLP
 
Chartered Accountants
Statutory Auditor
  
16 Great Queen Street
Covent Garden
London
WC2B 5AH

20 March 2025
Page 10

 

ISSEY MIYAKE LONDON LIMITED
 
PROFIT AND LOSS ACCOUNT
FOR THE YEAR ENDED 31 MARCH 2024

As restated
2024
2023
Note
£
£

  

Turnover
 4 
11,733,594
11,546,214

Cost of sales
  
(4,111,043)
(3,773,508)

Gross profit
  
7,622,551
7,772,706

Distribution costs
  
(3,317,632)
(4,306,239)

Administrative expenses
  
(1,889,154)
(1,638,578)

Other operating income
 5 
16,692
4,591

Operating profit
 6 
2,432,457
1,832,480

Interest receivable and similar income
 9 
181,263
32,709

Interest payable and similar charges
 10 
(934)
(134)

Profit before taxation
  
2,612,786
1,865,055

Tax on profit
 11 
(673,155)
(359,000)

Profit for the financial year
  
1,939,631
1,506,055

There are no items of other comprehensive income for either the year or the prior year other than the profit for the year. Accordingly, no statement of other comprehensive income has been presented.

Page 11


 
REGISTERED NUMBER:03234989
ISSEY MIYAKE LONDON LIMITED

BALANCE SHEET
AS AT 31 MARCH 2024

As restated
2024
2023
Note
£
£

Fixed assets
  

Tangible assets
 12 
702,640
820,404

Current assets
  

Stocks
 13 
1,173,705
652,528

Debtors: amounts falling due after more than one year
 14 
100,000
95,000

Debtors: amounts falling due within one year
 14 
3,088,396
2,434,521

Cash at bank and in hand
  
5,043,826
4,320,377

  
9,405,927
7,502,426

Creditors: amounts falling due within one year
 15 
(2,272,675)
(2,364,069)

Net current assets
  
 
 
7,133,252
 
 
5,138,357

Total assets less current liabilities
  
7,835,892
5,958,761

Creditors: amounts falling due after more than one year
 16 
-
(62,500)

Provisions for liabilities
  

Deferred tax
 17 
(45,000)
(45,000)

Other provisions
 18 
(210,000)
(210,000)

  
 
 
(255,000)
 
 
(255,000)

Net assets
  
7,580,892
5,641,261


Capital and reserves
  

Called up share capital 
 19 
400,000
400,000

Profit and loss account
 20 
7,180,892
5,241,261

Total equity
  
7,580,892
5,641,261


The financial statements were approved and authorised for issue by the board and were signed on its behalf by: 20 March 2025.




T M Brickhill
Director

The notes on pages 15 to 31 form part of these financial statements.

Page 12

 

ISSEY MIYAKE LONDON LIMITED

STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 MARCH 2024


Called up share capital
Profit and loss account
Total equity

£
£
£


At 1 April 2022 (as restated)
400,000
3,735,206
4,135,206



Profit for the financial year as restated
-
1,506,055
1,506,055



At 1 April 2023 (as restated)
400,000
5,241,261
5,641,261



Profit for the financial year
-
1,939,631
1,939,631


At 31 March 2024
400,000
7,180,892
7,580,892


Page 13

 

ISSEY MIYAKE LONDON LIMITED

STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 MARCH 2024

2024
2023
£
£

Cash flows from operating activities

Profit for the financial year
1,939,631
1,506,055

Adjustments for:

Depreciation of tangible assets
204,827
446,763

Loss on disposal of tangible assets
-
415

Taxation charge
673,155
359,000

(Increase)/decrease in stocks
(521,177)
268,227

(Increase) in debtors
(653,875)
(118,808)

(Decrease)/increase in creditors
(533,021)
54,663

Corporation tax (paid)
(546,655)
(312,193)

Net cash generated from operating activities
562,885
2,204,122

 
Cash flows from investing activities

Purchase of tangible fixed assets
(87,063)
(69,463)

Net cash from investing activities
(87,063)
(69,463)

 
Cash flows from financing activities

New loans from group companies
247,627
(73,856)

Net cash used in financing activities
247,627
(73,856)

Net increase in cash and cash equivalents
723,449
2,060,803

Cash and cash equivalents at beginning of year
4,320,377
2,259,574

Cash and cash equivalents at the end of year
5,043,826
4,320,377


Cash and cash equivalents at the end of year comprise:

Cash at bank and in hand
5,043,826
4,320,377


Page 14

 

ISSEY MIYAKE LONDON LIMITED

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

1.


General information

Issey Miyake London Limited is a private company limited by shares incorporated in England and Wales. The address of its registered office is c/o Browne Jacobson LLP, 6 Bevis Marks, London, EC3A 7BA.

The financial statements are presented in Sterling (£), which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.

2.Accounting policies

 
2.1

Basis of preparation of financial statements

The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.

The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgement in applying the company's accounting policies (see note 3).

The following principal accounting policies have been applied:

 
2.2

Going concern

After making enquiries, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence and meet its liabilities as they fall due for the foreseeable future, being a period of at least twelve months from the date these financial statements were approved. Accordingly, they continue to adopt the going concern basis in preparing the financial statements.

  
2.3

Prior year adjustment

The company has restated its comparative figures for the year ended 31 March 2023 and its brought forward profit and loss account reserves as at 1 April 2022. An explanation of the adjustment together with the financial impact is set out in Note 22.

 
2.4

Revenue

Revenue is recognised to the extent that it is probable that the economic benefits will flow to the company and the revenue can be reliably measured. Revenue is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. The following criteria must also be met before revenue is recognised:

Sale of goods

Revenue from the sale of goods is recognised when all of the following conditions are satisfied:
the company has transferred the significant risks and rewards of ownership to the buyer;
the company retains neither continuing managerial involvement to the degree usually associated with ownership nor effective control over the goods sold;
the amount of revenue can be measured reliably;
it is probable that the company will receive the consideration due under the transaction; and
the costs incurred or to be incurred in respect of the transaction can be measured reliably.

Rendering of services

Revenue from a contract to provide services is recognised in the period in which the services are
Page 15

 

ISSEY MIYAKE LONDON LIMITED

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

2.Accounting policies (continued)


2.4
Revenue (continued)

provided in accordance with the stage of completion of the contract when all of the following conditions are satisfied:
the amount of revenue can be measured reliably;
it is probable that the company will receive the consideration due under the contract;
the stage of completion of the contract at the end of the reporting period can be measured reliably; and
the costs incurred and the costs to complete the contract can be measured reliably.

 
2.5

Tangible fixed assets

Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

At each reporting date the company assesses whether there is any indication of impairment. If such indication exists, the recoverable amount of the asset is determined which is the higher of its fair value less costs to sell and its value in use. An impairment loss is recognised where the carrying amount exceeds the recoverable amount.

The company adds to the carrying amount of an item of fixed assets the cost of replacing part of such an item when that cost is incurred, if the replacement part is expected to provide incremental future benefits to the company. The carrying amount of the replaced part is derecognised. Repairs and maintenance are charged to profit or loss during the period in which they are incurred.

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using the straight-line method.

Depreciation is provided on the following basis:

Short-term leasehold property
-
over the period of the lease
Fixtures, fittings and equipment
-
over 3-10 years

The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.

Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in profit or loss.

 
2.6

Operating leases: the company as lessee

Rentals paid under operating leases are charged to profit or loss on a straight-line basis over the lease term.

Benefits received and receivable as an incentive to sign an operating lease are recognised on a straight-line basis over the lease term, unless another systematic basis is representative of the time pattern of the lessee's benefit from the use of the leased asset.

Page 16

 

ISSEY MIYAKE LONDON LIMITED

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

2.Accounting policies (continued)

 
2.7

Foreign currency translation

Functional and presentation currency

The company's functional and presentational currency is Sterling (£).

Transactions and balances

Foreign currency transactions are translated into the functional currency using the spot exchange rates at the dates of the transactions.

At each period end foreign currency monetary items are translated using the closing rate. Non-monetary items measured at historical cost are translated using the exchange rate at the date of the transaction and non-monetary items measured at fair value are measured using the exchange rate when fair value was determined.

Foreign exchange gains and losses resulting from the settlement of transactions and from the translation at period-end exchange rates of monetary assets and liabilities denominated in foreign currencies are recognised in profit or loss except when deferred in other comprehensive income as qualifying cash flow hedges.

Foreign exchange gains and losses are presented in profit or loss within 'administrative expenses'.

 
2.8

Pensions

Defined contribution pension plan

The company operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the company pays fixed contributions into a separate entity. Once the contributions have been paid the company has no further payment obligations.

The contributions are recognised as an expense in profit or loss when they fall due. Amounts not paid are shown in accruals as a liability in the balance sheet. The assets of the plan are held separately from the company in independently administered funds.

 
2.9

Interest income

Interest income is recognised in profit or loss using the effective interest method.

 
2.10

Finance costs

Finance costs are charged to profit or loss over the term of the debt using the effective interest method so that the amount charged is at a constant rate on the carrying amount. Issue costs are initially recognised as a reduction in the proceeds of the associated capital instrument.

 
2.11

Stocks

Stocks are stated at the lower of cost and net realisable value, being the estimated selling price less costs to complete and sell. Cost is based on the cost of purchase on a weighted average basis. Work in progress and finished goods include labour and attributable overheads.

At each balance sheet date, stocks are assessed for impairment. If stock is impaired, the carrying amount is reduced to its selling price less costs to complete and sell. The impairment loss is recognised immediately in profit or loss.

Page 17

 

ISSEY MIYAKE LONDON LIMITED

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

2.Accounting policies (continued)


2.12

Financial instruments

The company has elected to apply Sections 11 and 12 of FRS 102 in respect of financial instruments.

Financial assets and financial liabilities are recognised when the company becomes party to the contractual provisions of the instrument. 

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities. 
 
The company’s policies for its major classes of financial assets and financial liabilities are set out below. 

Financial assets
Basic financial assets, including trade and other debtors, cash and bank balances, intercompany working capital balances, and intercompany financing are initially recognised at transaction price, unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest for a similar debt instrument. Financing transactions are those in which payment is deferred beyond normal business terms or is financed at a rate of interest that is not a market rate.

Such assets are subsequently carried at amortised cost using the effective interest method, less any impairment.

Financial liabilities

Basic financial liabilities, including trade and other creditors, and loans from fellow group companies, are initially recognised at transaction price, unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest for a similar debt instrument. Financing transactions are those in which payment is deferred beyond normal business terms or is financed at a rate of interest that is not a market rate.

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

Page 18

 

ISSEY MIYAKE LONDON LIMITED

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

2.Accounting policies (continued)





Financial instruments (continued)

Impairment of financial assets
Financial assets measured at cost and amortised cost are assessed at the end of each reporting period for objective evidence of impairment. If objective evidence of impairment is found, an impairment loss is recognised in the profit and loss account. 

For financial assets measured at cost less impairment, the impairment loss is measured as the difference between the asset's carrying amount and the best estimate of the amount the company would receive for the asset if it were to be sold at the reporting date. 

For financial assets measured at amortised cost, the impairment loss is measured as the difference between the asset's carrying amount and the present value of estimated cash flows discounted at the asset's original effective interest rate. If the financial asset has a variable interest rate, the discount rate for measuring any impairment loss is the current effective interest rate determined under the contract.

If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss.

Derecognition of financial assets and financial liabilities
Financial assets are derecognised when (a) the contractual rights to the cash flows from the asset expire or are settled, or (b) substantially all the risks and rewards of the ownership of the asset are transferred to another party or (c) despite having retained some significant risks and rewards of ownership, control of the asset has been transferred to another party who has the practical ability to unilaterally sell the asset to an unrelated third party without imposing additional restrictions. 
 
Financial liabilities are derecognised when the liability is extinguished, that is when the contractual obligation is discharged, cancelled or expires.

Offsetting of financial assets and financial liabilities
Financial assets and liabilities are offset and the net amount reported in the balance sheet when there is an 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.

  
2.13

Cash and cash equivalents

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value.

  
2.14

Share capital

Ordinary shares are classified as equity.

Page 19

 

ISSEY MIYAKE LONDON LIMITED

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

2.Accounting policies (continued)

 
2.15

Provisions for liabilities

Provisions are recognised when an event has taken place that gives rise to a legal or constructive obligation, a transfer of economic benefits is probable and a reliable estimate can be made.
Provisions are measured as the best estimate of the amount required to settle the obligation, taking into account the related risks and uncertainties.
 
Deferred tax liabilities are also presented within provisions but are measured in accordance with the accounting policy on taxation.
 
Increases in provisions are generally charged as an expense to profit or loss.

 
2.16

Current and deferred tax

The tax expense for the year comprises current and deferred tax. Tax is recognised in the profit and loss account, except that a charge attributable to an item of income and expense recognised as other comprehensive income or to an item recognised directly in equity is also recognised in other comprehensive income or directly in equity respectively.
Current tax is the amount of income tax payable in respect of taxable profit for the year or prior years.
The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the balance sheet date in the countries where the company operates and generates income.

Deferred tax arises from timing differences that are differences between taxable profits and total comprehensive income as stated in the financial statements. These timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in the financial statements.
Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the balance sheet date, except that:
 
The recognition of deferred tax assets is limited to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits; and
Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met.

Deferred tax balances are not recognised in respect of permanent differences except in respect of business combinations, when deferred tax is recognised on the differences between the fair values of assets acquired and the future tax deductions available for them and the differences between the fair values of liabilities acquired and the amount that will be assessed for tax. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Page 20

 

ISSEY MIYAKE LONDON LIMITED

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

3.


Judgements in applying accounting policies and key sources of estimation uncertainty

In the application of the company’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
Key sources of estimation uncertainty
The estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are as follows.
Stocks
The carrying value of stocks is impaired each year to estimated recoverable value where less than cost. The company's policy is to mark down stock based upon the season it relates to with higher mark-downs for older stock. The cost of the eventual sale of stock will reflect the written down value which can impact the gross profit margin.
Provision for dilapidation
A provision has been made for potential dilapidation claims. These claims generally arise from obligations to restore leased premises to their original condition at the end of a lease term. Estimating the amount of any dilapidation liability requires judgement regarding both the extent of the dilapidations and the cost of the required repairs. The directors have made their assessment of the potential liability based on available information, including:
• The lease terms and any specific requirements outlined in lease agreements;
• Professional advice received regarding expected remedial works and associated costs;
• Current market rates for the type of restoration or repair services that may be required; and
• Historical data on dilapidation claims in similar premises, where relevant.
There is an inevitable degree of judgement involved in that each property is unique and actual outcomes may therefore differ from those estimates due to changes in the scope of remedial work required or variations in market costs for construction and repair services. These estimates are reviewed periodically and adjusted as new information becomes available.

Page 21

 

ISSEY MIYAKE LONDON LIMITED

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

4.


Turnover

An analysis of turnover by class of business is as follows:


2024
2023
£
£

Sales of goods
11,583,925
11,447,396

Sales of services
125,000
60,000

Commissions receivable
24,669
38,818

11,733,594
11,546,214


Analysis of turnover by country of destination:

2024
2023
£
£

United Kingdom
10,442,663
10,534,480

Rest of Europe
135,624
71,206

Rest of the world
1,155,307
940,528

11,733,594
11,546,214



5.


Other operating income

2024
2023
£
£

Sundry income
16,692
4,591



6.


Operating profit

The operating profit is stated after charging:

2024
2023
£
£

Depreciation of tangible fixed assets
204,827
446,762

Exchange differences
5,835
4,949

Operating lease rentals
530,047
1,078,248

Fees payable to the company's auditor and its associates for the audit of
the company's annual financial statements
36,000
19,000

Fees payable to the company's auditor and its associates for non-audit services
10,950
7,700

Pension costs
151,469
116,110

Page 22

 

ISSEY MIYAKE LONDON LIMITED

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

7.


Employees

Staff costs, including directors' remuneration, were as follows:


2024
2023
£
£

Wages and salaries
1,825,674
1,709,624

Commission
64,884
76,081

Social security costs
196,566
196,725

Cost of defined contribution scheme
150,921
116,110

2,238,045
2,098,540


The average monthly number of employees, including the directors, during the year was as follows:


        2024
        2023
            No.
            No.







Retail
27
30



eCommerce
3
3



Wholesale
8
3



Administration
9
12

47
48


8.


Directors' remuneration

2024
2023
£
£

Directors' emoluments
252,000
169,750

Company contributions to defined contribution pension schemes
36,400
9,460

288,400
179,210


The highest paid director received remuneration of £252,000 (2023 -£169,750).

The value of the company's contributions paid to a defined contribution pension scheme in respect of the highest paid director amounted to £ 36,400 (2023 -£9,460).


9.


Interest receivable

2024
2023
£
£


Other interest receivable
181,263
32,709

Page 23

 

ISSEY MIYAKE LONDON LIMITED

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

10.


Interest payable and similar charges

2024
2023
£
£


Bank interest payable
3
134

Other loan interest payable
931
-

934
134


11.


Taxation


2024
2023
£
£

Corporation tax


Current tax on profits for the year
676,000
405,000

Adjustments in respect of previous periods
2,155
-

Total current tax
678,155
405,000

Deferred tax


Origination and reversal of timing differences
(5,000)
(46,000)

Tax on profit
 
673,155
 
359,000
Page 24

 

ISSEY MIYAKE LONDON LIMITED

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024
 
11.Taxation (continued)


Factors affecting tax charge for the year

The tax assessed for the year is higher than (2023 -higher than) the standard rate of corporation tax in the UK of 25% (2023 -19%). The differences are explained below:

2024
2023
£
£


Profit on ordinary activities before tax
2,612,786
1,865,055


Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 25% (2023 -19%)
653,196
357,079

Effects of:


Tax effect of expenses that are not deductible in determining taxable profit
2,569
79

Depreciation in excess of capital allowances
22,293
-

Other permanent differences
-
3,997

Short-term timing difference leading to an increase in taxation
3,811
-

Underprovision in current or prior year
(3,714)
(2,155)

Other differences leading to an increase (decrease) in the tax charge
(5,000)
-

Total tax charge for the year
673,155
359,000





Page 25

 

ISSEY MIYAKE LONDON LIMITED

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

12.


Tangible fixed assets





Short-term leasehold property
Fixtures, fittings & equipment
Total

£
£
£



Cost


At 1 April 2023 (as restated)
2,140,832
2,894,889
5,035,721


Additions
38,411
48,652
87,063



At 31 March 2024

2,179,243
2,943,541
5,122,784



Depreciation


At 1 April 2023 (as restated)
1,493,499
2,721,818
4,215,317


Charge for the year
82,683
122,144
204,827



At 31 March 2024

1,576,182
2,843,962
4,420,144



Net book value



At 31 March 2024
603,061
99,579
702,640



At 31 March 2023 (as restated)
647,333
173,071
820,404


13.


Stocks

2024
2023
£
£

Finished goods and goods for resale
1,173,705
652,528


Page 26

 

ISSEY MIYAKE LONDON LIMITED

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

14.


Debtors

2024
2023
£
£

Due after more than one year

Deferred tax asset
100,000
95,000


As restated
2024
2023
£
£

Due within one year

Trade debtors
1,309,921
1,162,179

Other debtors
1,246,403
698,237

Prepayments
532,072
574,105

3,088,396
2,434,521



15.


Creditors: amounts falling due within one year

2024
2023
£
£

Trade creditors
606,449
908,542

Amounts owed to group undertakings
923,386
675,759

Corporation tax
342,000
210,500

Other taxation and social security
152,568
133,915

Other creditors
26,880
35,237

Accruals
221,392
400,116

2,272,675
2,364,069



16.


Creditors: amounts falling due after more than one year

2024
2023
£
£

Accruals
-
62,500


Page 27

 

ISSEY MIYAKE LONDON LIMITED

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

17.


Deferred taxation




2024
2023


£

£






At beginning of year
50,000
4,000


Charged to profit or loss
5,000
46,000



At end of year
55,000
50,000

The deferred tax balance is made up as follows:

2024
2023
£
£


Depreciation in excess of capital allowances
100,000
95,000

Holdover gain
(45,000)
(45,000)

55,000
50,000

Comprising:

Asset - due after one year
100,000
95,000

Liability
(45,000)
(45,000)

55,000
50,000



18.


Provisions




Other Dilapidation provision

£





At 1 April 2023 (as restated)
210,000



At 31 March 2024
210,000


19.


Share capital

2024
2023
£
£
Allotted, called up and fully paid



400,000 (2023 - 400,000) Ordinary shares of £1.00 each
400,000
400,000


Page 28

 

ISSEY MIYAKE LONDON LIMITED

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

20.


Reserves

Profit and loss account

The profit and loss account includes all current and prior period retained profits and losses.


21.


Analysis of net debt





At 1 April 2023
Cash flows
At 31 March 2024
£

£

£

Cash at bank and in hand

4,320,377

723,449

5,043,826

Debt due within 1 year

(675,759)

(247,627)

(923,386)


3,644,618
475,822
4,120,440


22.


Prior year adjustment

The directors have reclassified rent deposits of £674,011 as at 31 March 2023 to other debtors from prepayments in Note 14, to correct the presentation and ensure is it consistent with the current year. This has no effect on the total debtors due to the company as at 31 March 2023.
The directors have restated the profit and loss account for the year ended 31 March 2023, to account for sales commissions in distribution costs, in order to show sales gross of expenses. This has no effect on the company's profit for the year ended 31 March 2023 or the profit and loss reserves as at that date.
A prior period adjustment has also been made to recognise a dilapidation provision of £210,000 and a corresponding fixed asset of £210,000.
The fixed asset is being depreciated over the lease term, and as of 1 April 2022, accumulated depreciation of £150,133 should have been recognised, and a depreciation charge of £14,310 recognised for the year ended 31 March 2023. The net effect of these adjustments is an increase to fixed assets of £45,557 at 31 March 2023. 
The comparative amounts in the prior period presented have been restated as detailed below:


Changes to the balance sheet

                                                                                                                       At 31 March 2023                    


As previously reported
Adjustment
As restated

Fixed assets
 
 
 

Tangible assets
 774,847
 45,557
 820,404

Provisions for liabilities
 
 
 

Other provisions
 -
 210,000
 210,000

Page 29

 

ISSEY MIYAKE LONDON LIMITED

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

22.
Prior year adjustment (continued)

Changes to the profit and loss account


As previously reported
Adjustment
As restated

£
£
£

Administrative expenses
 (1,624,268)
 (14,310)
 (1,638,578)


Reconciliation of changes in equity


1 April 2022
31 March 2023

£
£

Equity as previously reported
 3,885,339
 5,405,704

Adjustments to prior year
 
 

Adjustments for depreciation
 (150,133)
 (164,443)

 
 

Equity as adjusted
 3,735,207
 5,241,261


23.
Reconciliation of changes in profit for the previous financial period


2023

£

Profit as previously reported
 1,520,365

Adjustments to prior year
 -

Adjustments for depreciation
 (14,310)

 

Profit as adjusted
 1,506,055


24.


Pension commitments

The company operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the company in an independently administered fund. The pension cost charge represents contributions payable by the company to the fund and amounted to £150,921 (2023: £116,110). Contributions totalling £15,245 (2023: £10,730) were payable by the company, to the funds at the balance sheet date and are included in creditors.


Page 30

 

ISSEY MIYAKE LONDON LIMITED

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

25.


Commitments under operating leases

At 31 March 2024 the company had future minimum lease payments due under non-cancellable operating leases for each of the following periods:

2024
2023
£
£


Not later than 1 year
885,000
609,000

Later than 1 year and not later than 5 years
3,125,000
1,290,000

Later than 5 years
2,267,000
1,591,500

6,277,000
3,490,500


26.


Related party transactions

The company has taken advantage of the exemption contained in FRS 102 section 33 “Related Party Disclosures” from disclosing transactions with entities which are wholly owned part of the group. 

27.


Ultimate parent undertaking

The company is a wholly-owned subsidiary of Issey Miyake Inc, an entity registered in Japan. Consolidated financial statements are available from 1-12-10 Tomigaya Shibuya-ku, Tokyo 151-8554, Japan. The ultimate parent undertaking is Miyake Design Studio of Japan.

 
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