Registered number:
FOR THE YEAR ENDED 30 JUNE 2024
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THE WRIGHT BUY LTD
COMPANY INFORMATION
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THE WRIGHT BUY LTD
CONTENTS
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THE WRIGHT BUY LTD
STRATEGIC REPORT
FOR THE YEAR ENDED 30 JUNE 2024
This is a balance and comprehensive review of the performance of our business during the year and its position
at the year end consistent with the size and nature of our business and is written in the context of the risks and uncertainties we face.
The company delivered a strong financial performance over the year, despite facing challenging trading conditions.
Volatile carrier prices from the Far East created pressures on cost management, but strategic initiatives including a refresh of supplier relationships and a continued focus on operational efficiency helped drive profitability. Full-year (FY) sales increased by 15.9%, reaching £21.61 million compared to £18.63 million in the previous year. This growth, coupled with improved cost control and supplier negotiations, led to a 33.86% uplift in gross profit to £8.63 millions (2023 - £6.45 million). Operating profit saw a 40.35% increase, rising to £1.65 million from £1.17 million, while profit before tax improved by 42.6% to £1.64 million (2023 - £1.15 million). Throughout the year, the organisation remained stable, maintaining a clear focus on efficiency and profitability. These results highlight the effectiveness of the company strategic initiatives and provide a solid foundation for continued success in the face of ongoing market challenges. Costs continue to be under control with a stable workforce and exchange rates closely monitored to ensure margins are maintained.
The UK economy is showing little growth, inflation has been high and the cost-of-living crisis has impacted households across the country. The global economic picture has been centred around the Russian invasion of the Ukraine and it’s impact on energy prices as well as staple food stuffs supplied worldwide from Ukraine .
The company minimises risk by continually monitoring key indicators: • Local market conditions - competitor activity beyond prices to include strategic developments such as mergers and acquisitions, new categories, additional service offerings. • Exchange rates - principally $v£ and the £s strength • Shipping rates - from the far east and the calculation to compare against factories in Europe. • Cost of raw materials, components, and services • Staff - stability has been important and new people need to add value.
Key performance indicators, as set out in the Statement of Comprehensive income, are:
• Sales revenue • Gross and Net profit • EBITDA • Stock levels
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THE WRIGHT BUY LTD
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2024
The company continues to monitor:
• Percentage of orders arriving the following day after purchase • Customer satisfaction by solving customer enquiries. • Product performance according to after sales fault rates. • Customer product reviews - number of star ratings given by purchasers. • On-line site traffic and conversion rates for all e-commerce sites. • Out of stocks - aim to minimise by robust demand planning. The company continues to make good progress in each of these indicators.
This report was approved by the board on 27 March 2025 and signed on its behalf.
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THE WRIGHT BUY LTD
DIRECTOR'S REPORT
FOR THE YEAR ENDED 30 JUNE 2024
The director presents his report and the financial statements for the year ended 30 June 2024.
The director who served during the year was:
The profit for the year, after taxation, amounted to £1,332,064 (2023 - £910,321).
The directors recommended the payment of a dividend of £1,060,000 (2023 - £518,000).
The director feels that it is well placed to increase turnover & profitability.
There have been no significant events affecting the Company since the year end.
Under section 487(2) of the Companies Act 2006, Haslers will be deemed to have been reappointed as auditors 28 days after these financial statements were sent to members or 28 days after the latest date prescribed for filing the accounts with the registrar, whichever is earlier.
This report was approved by the board on
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THE WRIGHT BUY LTD
DIRECTOR'S RESPONSIBILITIES STATEMENT
FOR THE YEAR ENDED 30 JUNE 2024
The director is responsible for preparing the Strategic Report, the Director's Report and the financial statements in accordance with applicable law and regulations.
Company law requires the director to prepare financial statements for each financial year. Under that law the director has 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 director must not approve the financial statements unless he is 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 director is 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 director is 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 him to ensure that the financial statements comply with the Companies Act 2006. He is 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.
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THE WRIGHT BUY LTD
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF THE WRIGHT BUY LTD
We have audited the financial statements of The Wright Buy Limited (the 'Company') for the year ended 30 June 2024, which comprise the Statement of Comprehensive Income, the Balance Sheet, the Statement of Changes in Equity 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 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).
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 Auditors' 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.
In auditing the financial statements, we have concluded that the director's 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 director with respect to going concern are described in the relevant sections of this report.
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THE WRIGHT BUY LTD
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF THE WRIGHT BUY LTD (CONTINUED)
The other information comprises the information included in the Annual Report other than the financial statements and our Auditors' Report thereon. The director is responsible for the other information contained within the Annual Report. Our 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.
In our opinion, based on the work undertaken in the course of the audit:
∙the information given in the Strategic Report and the Director's Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
∙the Strategic Report and the Director's Report have been prepared in accordance with applicable legal requirements.
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 Director's Report.
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THE WRIGHT BUY LTD
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF THE WRIGHT BUY LTD (CONTINUED)
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 Auditors' 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:
Based on our understanding of the legal and regulatory frameworks that are applicable to the entity we have considered those that have a direct and indirect material impact on the financial statements and operations of the company. These include but are not limited to the Companies Act 2006, GDPR, employment and Health & Safety legislation and tax legislation. We obtained an understanding of how the company are complying with those legal and regulatory frameworks by making inquiries of management. We corroborated our inquiries through our review of documentation generated and assessing the extent of compliance with the relevant laws and regulations. We discussed among the audit engagement team regarding the opportunities and incentives, including management override of controls, that may exist within the organisation for fraud and how and where fraud might occur in the financial statements. As a result of performing the above, we identified the greatest potential for material misstatements due to fraud are in the following areas, and our specific procedures performed to address these are described below: The risk of management override of controls is the area where the financial statements were most susceptible to material misstatement due to fraud. In addition, the key principal risks related to the existence of inappropriate journal entries to impact the profit for the year and management bias in accounting estimates. Procedures performed to address these were as follows: • Identifying and assessing the design effectiveness of controls management has in place to prevent and detect fraud, including known or suspected instances of non-compliance with laws and regulations, and fraud, • Understanding how those charged with governance considered and addressed the potential for override of controls or other inappropriate influence over the financial reporting process, • Challenging assumptions and judgements made by management in its significant accounting estimates; and • Identifying and testing journal entries, in particular any unusual journal entries posted around the year-end and journal entries posted by infrequent system users.
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THE WRIGHT BUY LTD
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF THE WRIGHT BUY LTD (CONTINUED)
Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.
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 Auditors' 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 2006. Our 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 Auditors' 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.
for and on behalf of
Chartered Accountants
Statutory Auditor
Old Station Road
Essex
IG10 4PL
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THE WRIGHT BUY LTD
STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 30 JUNE 2024
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THE WRIGHT BUY LTD
REGISTERED NUMBER: 06935623
BALANCE SHEET
AS AT 30 JUNE 2024
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THE WRIGHT BUY LTD
REGISTERED NUMBER: 06935623
BALANCE SHEET (CONTINUED)
AS AT 30 JUNE 2024
The financial statements were approved and authorised for issue by the board and were signed on its behalf on
The notes on pages 13 to 28 form part of these financial statements.
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THE WRIGHT BUY LTD
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024
13.Tangible fixed assets (continued)
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THE WRIGHT BUY LTD
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024
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THE WRIGHT BUY LTD
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024
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THE WRIGHT BUY LTD
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024
Profit and loss account
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THE WRIGHT BUY LTD
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024
The Company operates a defined contributions 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 £62,222 (2023 - £54,297). Contributions totalling £5,765 (2023 - £2,130) were payable to the fund at the balance sheet date and are included in creditors
The parent company is
The ultimate controlling party is
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