Year Ended
Registration number:
Wright Bros. (Holdings) Limited
Contents
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Company Information |
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Strategic Report |
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Directors' Report |
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Statement of Directors' Responsibilities |
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Independent Auditor's Report |
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Consolidated Statement of Income and Retained Earnings |
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Consolidated Balance Sheet |
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Balance Sheet |
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Consolidated Statement of Changes in Equity |
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Statement of Changes in Equity |
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Consolidated Statement of Cash Flows |
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Notes to the Financial Statements |
Wright Bros. (Holdings) Limited
Company Information
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Directors |
B P L Wright R J C Hancock S J Wright A R Wright |
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Company secretary |
R J C Hancock L Gowler |
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Registered office |
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Auditors |
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Wright Bros. (Holdings) Limited
Strategic Report
Year Ended 30 December 2024
The directors present their strategic report in respect of Wright Bros. (Holdings) Limited (the “company”) and its subsidiaries (together with the company, the “group”) for the year ended 30 December 2024. This is for the 52 weeks ended 29 December 2024.
Principal activity
The principal activity of the group is continued to be those of the operation of restaurants, online retail and wholesale distribution of seafood.
Fair review of the business
Group
2024 was another successful year, consolidating the significant sales growth achieved in 2023. During the year, the group invested in new roles including an in-house Health & Safety Compliance Officer and senior hires in our People & Culture department.
Restaurants (Wright Brothers Oyster House Limited)
Despite a challenging year for the hospitality industry, Wright Brothers restaurants significantly increased profit before tax to £1.2m in 2024.
Our Borough Market restaurant continues to trade very successfully with consistent sales YOY and delivering very strong EBITDA margin. Our Battersea restaurant increased YOY EBITDA. Our South Kensington restaurant increased sales and profit on the prior year. Again, successful collaborations with Soho House and Royal Ascot brought additional revenue and brand exposure.
Wholesale and Retail (Wright Bros. Limited)
Despite a modest fall in average order value due to pressures across the hospitality industry, Wright Bros. Limited continued to attract new customers with quality and service, delivering annual turnover of £21.2m.
The fruits of the subsidiary’s significant investments in additional factory space and people started to bear fruit. Wright Bros. Limited delivered a positive operating profit and increased net profit after tax by £329k.
Development and performance
As the group continues to acquire customers, the focus remains on investing in our staff and systems and ensuring we have the capacity to fulfil demand.
Wright Bros. (Holdings) Limited
Strategic Report
Year Ended 30 December 2024
Principal risks and uncertainties
Given the nature of the group’s businesses, the principal business risks relate to the following:
• The UK economy as a whole and in particular, the cost of living crisis, the impact of inflation, rising interest rates and utility costs on consumer spending.
• Competition and pricing in the sector.
• Customer satisfaction and transparency of ratings.
• Health and safety and compliance with legislative or regulatory requirements.
• Employee retention.
• Supply chain and timely supplies of quality product.
• Failure to withstand the impact of an event or combination of events that significantly disrupts all or a substantial part of the group’s sales or operations (e.g. pandemic).
The above risks are partly mitigated by the following key measures:
• We have a diversified business covering wholesale, retail and restaurants.
• A continued focus on delivering quality produce with great service to our customers at competitive prices.
• Competitive reward structures and comprehensive training and development programs.
• Close monitoring against key supplier service level agreements, with contingent arrangements in place where necessary.
• Building strong relationships and increasing engagement with key stakeholders including landlords and providers of finance.
• Policies and training in place in respect of key compliance areas.
• Close monitoring of trading performance, margins, costs and cash flow forecasts.
Key Performance Indicators
The directors consider the key indicators of the performance of the group, both financial and non-financial, to be turnover, number of customers, average spend, labour costs, gross profit percentage and EBITDA. We also monitor customer reviews and ratings.
Financial instruments
Objectives and policies
The group uses financial instruments comprising bank borrowings, a trade finance facility, cash and other liquid resources. The main purpose of these financial instruments is to raise finance for the group's operations. The main risks arising from the group's financial instruments are currency risk, interest rate risk, liquidity risk and credit risk. The directors review and agree policies for managing each of these risks and they are summarised below. The policies have remained unchanged from previous periods.
Wright Bros. (Holdings) Limited
Strategic Report
Year Ended 30 December 2024
Price risk, credit risk, liquidity risk and cash flow risk
Currency Risk
The group is exposed to transaction foreign exchange risk in that approximately 9% of stock purchases in the wholesale division are denominated in Euros. To mitigate this risk, from time to time the group enters into forward foreign currency contracts purchasing Euros up to one month in advance. Whilst the aim is to achieve an economic hedge, the group does not adopt an accounting policy of hedge accounting in these financial statements.
Interest Rate Risk
The group finances its operations through its positive trading cash flow, a trade financing facility for its wholesale business and loans from its principal banker HSBC Bank plc. The interest rates applied to the various loans and instruments are a mixture of fixed and floating rates.
Liquidity Risk
The group seeks to manage financial risk by ensuring sufficient liquidity is available to meet foreseeable needs. Primarily this is achieved through close management and control of working capital and utilisation of existing debt facilities.
Credit Risk
The group’s principal financial assets are its cash and trade debtors arising in the wholesale division.
To manage the credit risk arising from trade debtors, credit limits are set or declined for each customer, based on an independent credit check, past trading history and any other relevant ancillary information we can obtain on the customer. The company regularly monitors and reviews the financial position and payment history of its customers and amends their credit limits as appropriate.
Approved and authorised by the
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Wright Bros. (Holdings) Limited
Directors' Report
Year Ended 30 December 2024
The directors present their report and the for the year ended 30 December 2024.
Directors of the group
The directors who held office during the year were as follows:
Results and dividends
The results for the period are set out on page 12.
No ordinary dividends were paid. The directors do not recommend payment of a further dividend.
Disclosure of information to the auditor
Each director has taken steps that they ought to have taken as a director in order to make themselves aware of any relevant audit information and to establish that the company's auditor is aware of that information. The directors confirm that there is no relevant information that they know of and of which they know the auditor is unaware.
Approved and authorised by the
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Wright Bros. (Holdings) Limited
Statement of Directors' Responsibilities
The directors acknowledge their responsibilities for preparing the Annual 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 United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). 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 group and the company and of the profit or loss of the group for that period. In preparing these financial statements, the directors are required to:
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select suitable accounting policies and apply them consistently; |
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make judgements and accounting estimates that are reasonable and prudent; |
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state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and |
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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 group's and the company's transactions and disclose with reasonable accuracy at any time the financial position of the group and the company 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 company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Wright Bros. (Holdings) Limited
Independent Auditor's Report to the Members of Wright Bros. (Holdings) Limited
Qualified opinion
We have audited the financial statements of Wright Bros. (Holdings) Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 30 December 2024, which comprise the Consolidated Statement of Income and Retained Earnings, Consolidated Balance Sheet, Balance Sheet, Consolidated Statement of Changes in Equity, Statement of Changes in Equity, Consolidated Statement of Cash Flows, and Notes to the Financial Statements, 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).
In our opinion, except for the possible effects of the matter described in the basis for qualified opinion section of our report, the financial statements:
• | give a true and fair view of the state of the group's and the parent company's affairs as at 30 December 2024 and of the group's loss 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 qualified opinion on financial statements
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 responsibilities for the audit of the financial statements section of our report. We are independent of the group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’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 qualified opinion.
Conclusions relating to going concern
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 group and parent company's ability to continue as a going concern for a period of at least twelve months from when the original financial statements were 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.
Other information
The directors are responsible for the other information. The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. 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.
Wright Bros. (Holdings) Limited
Independent Auditor's Report to the Members of Wright Bros. (Holdings) Limited
In connection with our audit of the financial statements, 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 audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. 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.
As described in the basis for qualified opinion section of our report, we were unable to satisfy ourselves concerning the inventory quantity of £632,212 held at 30 December 2024 which is included in the consolidated balance sheet. We have concluded that where the other information refers to the inventory balance or related balances such as cost of sales, it may be materially misstated for the same reason.
Opinion on other matter prescribed by the Companies Act 2006
Except for the possible effects of the matter described in the basis for qualified opinion section of our report, in our opinion, based on the work undertaken in the course of the audit:
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the information given in the Strategic Report and Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
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the Strategic Report and Directors' Report have been prepared in accordance with applicable legal requirements. |
Matters on which we are required to report by exception
Except for the matter described in the basis for qualified opinion section of our report, in the light of our 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 and the Directors' Report.
Arising solely from the limitation on the scope of our work relating to inventory, referred to above:
• we have not obtained all the information and explanations that we considered necessary for the purpose of our audit.
We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:
• | adequate accounting records have not been kept by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or |
• | the parent company financial statements are not in agreement with the accounting records and returns; or |
• | certain disclosures of directors' remuneration specified by law are not made. |
Responsibilities of directors
As explained more fully in the Statement of Directors' Responsibilities 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 group’s and the parent 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 group or the parent company or to cease operations, or have no realistic alternative but to do so.
Wright Bros. (Holdings) Limited
Independent Auditor's Report to the Members of Wright Bros. (Holdings) Limited
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:
As part of our audit planning, through discussions with management, we obtained an understanding of the legal and regulatory framework that is applicable to the company and the sector in which it operates to identify the key laws and regulations affecting the company.
We also considered those laws and regulations that have a direct impact on the preparation of the financial statements, primarily the Companies Act 2006, the reporting framework (FRS 102), and relevant tax compliance regulations in the UK.
We discussed with management how the compliance with these laws and regulations is monitored and we discussed the policies and procedures in place. We also identified the individuals who have responsibility for ensuring that the entity complies with laws and regulations and deals with reporting any issues if they arise. As part of our planning procedures, we assessed the risk of any non-compliance with laws and regulations on the company's ability to continue trading and the risk of material misstatement to the accounts.
Based on this understanding we designed our audit procedures to identify non-compliance with such laws and regulations. Our procedures involved the following:
- Enquiries of management and those charged with governance regarding their knowledge of any non-compliance with laws and regulations that could affect the financial statements.
As part of our enquiries, we discussed with management whether there have been any known instances, allegations or suspicions of fraud, of which there were none.
We also evaluated the risk of fraud through management override including that arising from management's incentives. The key risk we identified was fraudulent financial reporting to meet the Group's bank loan covenants.
In response to the identified risk, as part of our audit work we:
- Used data analytics to test journal entries throughout the year and year end adjustments, for appropriateness;
- Reviewed estimates and judgements made in the accounts for any indication of bias and challenged
assumptions used by management in making the estimates; and
- Reviewed the basis of costs recharged between group companies making sure that there is a clear justification. We challenged management and assessed the reasonableness of all recharges.
Wright Bros. (Holdings) Limited
Independent Auditor's Report to the Members of Wright Bros. (Holdings) Limited
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. The risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate omissions, collusion, forgery, misrepresentations, or the override of internal controls. We are also less likely to become aware of instances of non-compliance with laws and regulations that are not closely related to events and transactions reflected in the financial statements.
A further description of our responsibilities is available 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 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 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.
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Lowin House
Tregolls Road
Cornwall
TR1 2NA
Wright Bros. (Holdings) Limited
Consolidated Statement of Income and Retained Earnings for the Year Ended 30 December 2024
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Note |
2024 |
2023 |
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Turnover |
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|
|
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Cost of sales |
( |
( |
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Gross profit |
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|
|
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Administrative expenses |
( |
( |
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Additional information |
|||
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Adjusted earnings before interest, tax, depreciation, amortisation and exceptional costs |
713,080 |
1,155,157 |
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Non-recurring marketing costs |
- |
(85,640) |
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Non-recurring operating costs |
(25,673) |
(75,000) |
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|
Non-recurring additional financial consultancy resource |
(18,750) |
(42,388) |
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Financial advisory services |
(5,500) |
(50,838) |
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Non-recurring accountancy and audit costs |
- |
(22,900) |
|
|
Bad and doubtful debts |
(66,263) |
(111,549) |
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Exceptional charges |
- |
(9,300) |
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Depreciation and amortisation |
(474,589) |
(486,259) |
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Operating profit |
|
|
|
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Other interest receivable and similar income |
|
|
|
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Interest payable and similar charges |
( |
( |
|
|
(469,623) |
(480,258) |
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Loss before tax |
( |
( |
|
|
Taxation |
|
|
|
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Loss for the financial year |
( |
( |
|
|
Profit/(loss) attributable to: |
|||
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Owners of the company |
( |
( |
|
|
Retained earnings brought forward |
(3,698,322) |
(3,490,898) |
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|
Retained earnings carried forward |
(3,797,291) |
(3,698,322) |
Wright Bros. (Holdings) Limited
Consolidated Balance Sheet
30 December 2024
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Note |
2024 |
2023 |
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Fixed assets |
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Intangible assets |
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Tangible assets |
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Current assets |
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Stocks |
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Debtors |
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Cash at bank and in hand |
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|
|
|
|
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||
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Creditors: Amounts falling due within one year |
( |
( |
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Net current liabilities |
( |
( |
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Total assets less current liabilities |
( |
( |
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|
Creditors: Amounts falling due after more than one year |
( |
( |
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Provisions for liabilities |
( |
( |
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Net liabilities |
( |
( |
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Capital and reserves |
|||
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Called up share capital |
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|
|
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Profit and loss account |
( |
( |
|
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Equity attributable to owners of the company |
( |
( |
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Shareholders' deficit |
( |
( |
Approved and authorised by the
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Company Registration Number: 06030283
Wright Bros. (Holdings) Limited
Balance Sheet
30 December 2024
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Note |
2024 |
2023 |
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Fixed assets |
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Intangible assets |
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Tangible assets |
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Investments |
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Current assets |
|||
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Debtors |
|
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Cash at bank and in hand |
|
|
|
|
|
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||
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Creditors: Amounts falling due within one year |
( |
( |
|
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Net current liabilities |
( |
( |
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Total assets less current liabilities |
( |
|
|
|
Creditors: Amounts falling due after more than one year |
( |
( |
|
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Provisions for liabilities |
- |
( |
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Net liabilities |
( |
( |
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Capital and reserves |
|||
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Called up share capital |
|
|
|
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Profit and loss account |
( |
( |
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Shareholders' deficit |
( |
( |
The company has taken the exemption in section 408 of the Companies Act 2006 and has not presented its individual profit and loss account. The company made a loss after tax for the financial year of £1,062,372 (2023 - loss of £292,126).
Approved and authorised by the
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Company Registration Number: 06030283
Wright Bros. (Holdings) Limited
Consolidated Statement of Changes in Equity
Year Ended 30 December 2024
|
Share capital |
Profit and loss account |
Total |
|
|
At 31 December 2023 |
|
( |
( |
|
Loss for the year |
- |
( |
( |
|
At 30 December 2024 |
|
( |
( |
|
Share capital |
Profit and loss account |
Total |
|
|
At 31 December 2022 |
|
( |
( |
|
Loss for the year |
- |
( |
( |
|
At 30 December 2023 |
100 |
(3,698,322) |
(3,698,222) |
Wright Bros. (Holdings) Limited
Statement of Changes in Equity
Year Ended 30 December 2024
|
Share capital |
Profit and loss account |
Total |
|
|
At 31 December 2023 |
|
( |
( |
|
Loss for the year |
- |
( |
( |
|
At 30 December 2024 |
|
( |
( |
|
Share capital |
Profit and loss account |
Total |
|
|
At 31 December 2022 |
|
( |
( |
|
Loss for the year |
- |
( |
( |
|
At 30 December 2023 |
100 |
(2,235,145) |
(2,235,045) |
Wright Bros. (Holdings) Limited
Consolidated Statement of Cash Flows
Year Ended 30 December 2024
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Note |
2024 |
2023 |
|
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Cash flows from operating activities |
|||
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Loss for the year |
( |
( |
|
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Adjustments to cash flows from non-cash items |
|||
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Depreciation and amortisation |
|
|
|
|
Loss from disposals of investments |
- |
|
|
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Finance income |
( |
( |
|
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Finance costs |
|
|
|
|
Income tax expense |
( |
( |
|
|
|
|
||
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Working capital adjustments |
|||
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Increase in stocks |
( |
( |
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|
Decrease in trade debtors |
|
|
|
|
Increase in trade creditors |
|
|
|
|
Cash generated from operations |
|
|
|
|
Income taxes received/(paid) |
|
( |
|
|
Net cash flow from operating activities |
|
|
|
|
Cash flows from investing activities |
|||
|
Interest received |
|
|
|
|
Acquisitions of tangible assets |
( |
( |
|
|
Advances of loans, classified as investing activities |
- |
|
|
|
Proceeds from disposal of investments in joint ventures and associates |
- |
( |
|
|
Net cash flows from investing activities |
( |
|
|
|
Cash flows from financing activities |
|||
|
Interest paid |
( |
( |
|
|
Repayment of bank borrowing |
( |
( |
|
|
Repayment of other borrowing |
( |
( |
|
|
Payments to finance lease creditors |
( |
|
|
|
Net cash flows from financing activities |
( |
( |
|
|
Net (decrease)/increase in cash and cash equivalents |
( |
|
|
|
Cash and cash equivalents at 31 December |
|
|
|
|
Cash and cash equivalents at 30 December |
93,540 |
360,232 |
|
Wright Bros. (Holdings) Limited
Notes to the Financial Statements
Year Ended 30 December 2024
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General information |
The company is a private company limited by share capital, incorporated in England and Wales.
The address of its registered office is:
These financial statements were authorised for issue by the
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Accounting policies |
Summary of significant accounting policies and key accounting estimates
The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.
Statement of compliance
These financial statements were prepared in accordance with Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'.
Basis of preparation
These financial statements have been prepared using the historical cost convention except that as disclosed in the accounting policies certain items are shown at fair value.
Basis of consolidation
The consolidated financial statements consolidate the financial statements of the company and its subsidiary undertakings drawn up to 30 December 2024.
As a consolidated profit and loss account is published, a separate profit and loss account for the parent company is omitted from the group financial statements by virtue of section 408 of the Companies Act 2006.
Wright Bros. (Holdings) Limited
Notes to the Financial Statements
Year Ended 30 December 2024
A subsidiary is an entity controlled by the company. Control is achieved where the company has the power to govern the financial and operating policies of an entity so as to obtain benefits from its activities.
The results of subsidiaries acquired or disposed of during the year are included in the Profit and Loss Account from the effective date of acquisition or up to the effective date of disposal, as appropriate. Where necessary, adjustments are made to the financial statements of subsidiaries to bring their accounting policies into line with those used by the group.
The purchase method of accounting is used to account for business combinations that result in the acquisition of subsidiaries by the group. The cost of a business combination is measured as the fair value of the assets given, equity instruments issued and liabilities incurred or assumed at the date of exchange, plus costs directly attributable to the business combination. Identifiable assets acquired and liabilities and contingent liabilities assumed in a business combination are measured initially at their fair values at the acquisition date. Any excess of the cost of the business combination over the acquirer’s interest in the net fair value of the identifiable assets, liabilities and contingent liabilities recognised is recorded as goodwill.
Inter-company transactions, balances and unrealised gains on transactions between the company and its subsidiaries, which are related parties, are eliminated in full.
Intra-group losses are also eliminated but may indicate an impairment that requires recognition in the consolidated financial statements.
Accounting policies of subsidiaries have been changed where necessary to ensure consistency with the policies adopted by the group. Non-controlling interests in the net assets of consolidated subsidiaries are identified separately from the group’s equity therein. Non-controlling interests consist of the amount of those interests at the date of the original business combination and the non-controlling shareholder’s share of changes in equity since the date of the combination.
Wright Bros. (Holdings) Limited
Notes to the Financial Statements
Year Ended 30 December 2024
Going concern
The financial statements have been prepared on a going concern basis.
The directors have concluded that there is no material uncertainty regarding the ability of the group to continue as a going concern for a period of at least 12 months from the date of approval of these accounts and that it remains appropriate to prepare the financial statements on the going concern basis.
These expectations are based on the following assessments and a review of risks and uncertainties which take into account the current economic climate.
Management have completed and sensitised a forecast to September 2026. Taking into consideration the improved performance we have seen as well as reviewing market uncertainties this performance shows continued liquidity.
Detailed cash flow forecasts based on the sensitised budget looking forward 12 months are maintained and reviewed weekly.
The group meets its day-to-day working capital requirements through its own resources and bank facilities as disclosed in notes 17 and 18. The group’s net current liabilities position at the period end is due mainly to the availability of supplier credit terms on day to day purchasing and the short term bank finance.
As with any business placing reliance on future forecasts, the directors acknowledge that there can be no certainty that future forecasts will be achieved given the challenges the business has faced over the last 5 years since the start of the pandemic in the UK and the more general macro-economic uncertainties affecting discretionary consumer spend and availability of debt in the financial markets.
Key sources of estimation uncertainty
The group makes estimates and assumptions concerning the future. The resulting accounting estimates and assumptions will, by definition, seldom equal the related actual results.
Rent payable
The rent payable in respect of the Battersea restaurant is dependent on a number of factors including the level of turnover generated by the unit and the phase of development reached by the Battersea Power Station Estate. It is therefore necessary for management to estimate the future rentals payable in aggregate and spread these over the remaining life of the lease.
Revenue recognition
Turnover comprises the fair value of the consideration received or receivable for the sale of goods and provision of services in the ordinary course of the group’s activities. Turnover is shown net of value added tax, returns, rebates and discounts and after eliminating sales within the company.
Revenue from the sale of goods is recognised when the significant risks and rewards of ownership of the goods have passed to the buyer (usually on dispatch of the goods), the amount of revenue can be measured reliably, it is probable that the economic benefits associated with the transaction will flow to the entity and the costs incurred or to be incurred in respect of the transaction can be measured reliably.
Wright Bros. (Holdings) Limited
Notes to the Financial Statements
Year Ended 30 December 2024
Foreign currency transactions and balances
Non-monetary items measured in terms of historical cost in a foreign currency are not retranslated.
Tax
Tax is recognised in profit or loss, except that a change attributable to an item of income or expense recognised as other comprehensive income is also recognised directly in other comprehensive income.
The current corporation tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the group operates and generates taxable income.
Deferred tax is recognised on all timing differences at the balance sheet date unless indicated below. Timing differences are differences between taxable profits and the results as stated in the consolidated profit and loss account and other comprehensive income. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the reporting date.
The carrying amount of deferred tax assets are reviewed at each reporting date and a valuation allowance is set up against deferred tax assets so that the net carrying amount equals the highest amount that is more likely than not to be recovered based on current or future taxable profit.
Tangible assets
Tangible assets are stated in the balance sheet at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.
The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.
Depreciation
Depreciation is charged so as to write off the cost of assets, other than land and properties under construction over their estimated useful lives, as follows:
|
Asset class |
Depreciation method and rate |
|
Leasehold land and buildings |
over the term of the lease |
|
Leasehold improvements |
over the term of the lease |
|
Plant and equipment |
20% reducing balance |
|
Fixtures and fittings |
20% reducing balance |
|
Motor vehicles |
over the term of the lease |
Intangible assets
Intangible assets acquired separately from a business are recognised at cost and are subsequently measured at cost less accumulated amortisation and accumulated impairment losses.
Amortisation
Amortisation is provided on intangible assets so as to write off the cost, less any estimated residual value, over their useful life as follows:
Wright Bros. (Holdings) Limited
Notes to the Financial Statements
Year Ended 30 December 2024
|
Asset class |
Amortisation method and rate |
|
Software |
20% reducing balance |
Investments
Investments in equity shares which are publicly traded or where the fair value can be measured reliably are initially measured at fair value, with changes in fair value recognised in profit or loss. Investments in equity shares which are not publicly traded and where fair value cannot be measured reliably are measured at cost less impairment.
Interest income on debt securities, where applicable, is recognised in income using the effective interest method. Dividends on equity securities are recognised in income when receivable.
Stocks
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell.
At each reporting date, stocks are assessed for impairment. If stocks are 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.
Leases
Leases in which substantially all the risks and rewards of ownership are retained by the lessor are classified as operating leases. Payments made under operating leases are charged to profit or loss on a straight-line basis over the period of the lease.
Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessee.
Assets held under finance leases are recognised at the lower of their fair value at inception of the lease and the present value of the minimum lease payments. These assets are depreciated on a straight-line basis over the shorter of the useful life of the asset and the lease term. The corresponding liability to the lessor is included in the balance sheet as a finance lease obligation.
Lease payments are apportioned between finance costs in the profit and loss account and reduction of the lease obligation so as to achieve a constant periodic rate of interest on the remaining balance of the liability.
Defined contribution pension obligation
A defined contribution plan is a pension plan under which fixed contributions are paid into a pension fund and the group has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.
Contributions to defined contribution plans are recognised as employee benefit expense when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.
Wright Bros. (Holdings) Limited
Notes to the Financial Statements
Year Ended 30 December 2024
Financial instruments
Classification
• Short term trade and other debtors and creditors;
• Bank loans; and
• Cash and bank balances.
All financial instruments are classified as basic.
Recognition and measurement
Financial instruments are recognised when the company becomes party to the contractual provisions of the instrument and derecognised when in the case of assets, the contractual rights to cash flows from the assets expire or substantially all the risks and rewards of ownership are transferred to another party, or in the case of liabilities, when the company’s obligations are discharged, expire or are cancelled.
Except for bank loans, such instruments are initially measured at transaction price, including transaction costs, and are subsequently carried at the undiscounted amount of the cash or other consideration expected to be paid or received, after taking account of impairment adjustments.
Bank loans are initially measured at transaction price, including transaction costs, and are subsequently carried at amortised cost using the effective interest method.
|
Turnover |
The analysis of the group's Turnover for the year from continuing operations is as follows:
|
2024 |
2023 |
|
|
Sale of goods |
|
|
|
Other revenue |
|
|
|
|
|
The analysis of the group's Turnover for the year by market is as follows:
|
2024 |
2023 |
|
|
UK |
|
|
Wright Bros. (Holdings) Limited
Notes to the Financial Statements
Year Ended 30 December 2024
|
Operating profit |
Arrived at after charging/(crediting)
|
2024 |
2023 |
|
|
Depreciation expense |
|
|
|
Amortisation expense |
|
|
|
Foreign exchange gains |
- |
( |
|
Operating lease expense - plant and machinery |
- |
|
|
Operating lease expense - other |
|
|
|
Staff costs |
The aggregate payroll costs (including directors' remuneration) were as follows:
|
2024 |
2023 |
|
|
Wages and salaries |
|
|
|
Social security costs |
|
|
|
Pension costs, defined contribution scheme |
|
|
|
Other employee expense |
|
|
|
|
|
The average number of persons employed by the group (including directors) during the year, analysed by category was as follows:
|
2024 |
2023 |
|
|
Administration and support |
|
|
|
Other departments |
|
|
|
|
|
|
Directors' remuneration |
The directors' remuneration for the year was as follows:
|
2024 |
2023 |
|
|
Remuneration |
|
|
|
Contributions paid to money purchase schemes |
|
|
|
367,675 |
207,490 |
Wright Bros. (Holdings) Limited
Notes to the Financial Statements
Year Ended 30 December 2024
During the year the number of directors who were receiving benefits and share incentives was as follows:
|
2024 |
2023 |
|
|
Accruing benefits under money purchase pension scheme |
|
|
In respect of the highest paid director:
|
2024 |
2023 |
|
|
Remuneration |
|
|
|
Company contributions to money purchase pension schemes |
|
|
|
Auditor's remuneration |
|
2024 |
2023 |
|
|
Audit of these financial statements |
33,500 |
16,150 |
|
Audit of the financial statements of subsidiaries of the company pursuant to legislation |
24,750 |
18,500 |
|
|
|
|
Other interest receivable and similar income |
|
2024 |
2023 |
|
|
Other finance income |
|
|
|
Interest payable and similar expenses |
|
2024 |
2023 |
|
|
Interest on bank overdrafts and borrowings |
|
|
|
Interest on obligations under finance leases and hire purchase contracts |
|
|
|
Interest expense on other finance liabilities |
|
|
|
Other finance costs |
|
|
|
|
|
Wright Bros. (Holdings) Limited
Notes to the Financial Statements
Year Ended 30 December 2024
|
Taxation |
Tax charged/(credited) in the consolidated profit and loss account
|
2024 |
2023 |
|
|
Current taxation |
||
|
UK corporation tax adjustment to prior periods |
( |
- |
|
Deferred taxation |
||
|
Arising from origination and reversal of timing differences |
( |
|
|
Arising from changes in tax rates and laws |
- |
( |
|
Total deferred taxation |
( |
( |
|
Tax receipt in the income statement |
( |
( |
The tax on profit before tax for the year is the same as the standard rate of corporation tax in the UK (2023 - the same as the standard rate of corporation tax in the UK) of
The differences are reconciled below:
|
2024 |
2023 |
|
|
Loss before tax |
( |
( |
|
Corporation tax at standard rate |
( |
( |
|
Tax increase from effect of capital allowances and depreciation |
|
|
|
Effect of expense not deductible in determining taxable profit (tax loss) |
|
|
|
Effect of tax losses |
- |
( |
|
Tax increase from effect of unrelieved tax losses carried forward |
- |
|
|
Tax decrease arising from group relief |
- |
( |
|
Deferred tax credit from unrecognised tax loss or credit |
( |
- |
|
Decrease from effect of tax incentives |
- |
( |
|
Tax increase from effect of unrelieved loss on disposal of operations |
- |
|
|
Further item of tax decrease |
( |
( |
|
Total tax credit |
( |
( |
Wright Bros. (Holdings) Limited
Notes to the Financial Statements
Year Ended 30 December 2024
Deferred tax
Group
Deferred tax assets and liabilities
|
2024 |
Asset |
Liability |
|
- |
|
|
|
- |
|
|
2023 |
Asset |
Liability |
|
- |
|
|
|
- |
|
Company
Deferred tax assets and liabilities
|
2023 |
Asset |
Liability |
|
- |
|
|
|
- |
|
|
Intangible assets |
Group
|
Internally generated software development costs |
Total |
|
|
Cost or valuation |
||
|
At 31 December 2023 |
|
|
|
At 30 December 2024 |
|
|
|
Amortisation |
||
|
At 31 December 2023 |
|
|
|
Amortisation charge |
|
|
|
At 30 December 2024 |
|
|
|
Carrying amount |
||
|
At 30 December 2024 |
|
|
|
At 30 December 2023 |
|
|
Wright Bros. (Holdings) Limited
Notes to the Financial Statements
Year Ended 30 December 2024
Company
|
Internally generated software development costs |
Total |
|
|
Cost or valuation |
||
|
At 31 December 2023 |
|
|
|
At 30 December 2024 |
|
|
|
Amortisation |
||
|
At 31 December 2023 |
|
|
|
Amortisation charge |
|
|
|
At 30 December 2024 |
|
|
|
Carrying amount |
||
|
At 30 December 2024 |
|
|
|
At 30 December 2023 |
|
|
Wright Bros. (Holdings) Limited
Notes to the Financial Statements
Year Ended 30 December 2024
|
Tangible assets |
Group
|
Land and buildings |
Furniture, fittings and equipment |
Motor vehicles |
Plant and machinery |
Total |
|
|
Cost or valuation |
|||||
|
At 31 December 2023 |
|
|
|
|
|
|
Additions |
|
|
- |
|
|
|
At 30 December 2024 |
|
|
|
|
|
|
Depreciation |
|||||
|
At 31 December 2023 |
|
|
|
|
|
|
Charge for the year |
|
|
|
|
|
|
At 30 December 2024 |
|
|
|
|
|
|
Carrying amount |
|||||
|
At 30 December 2024 |
|
|
|
|
|
|
At 30 December 2023 |
|
|
|
|
|
Included within the net book value of land and buildings above is £747,149 (2023 - £953,023) in respect of short leasehold land and buildings.
Wright Bros. (Holdings) Limited
Notes to the Financial Statements
Year Ended 30 December 2024
Assets held under finance leases and hire purchase contracts
The net carrying amount of tangible assets includes the following amounts in respect of assets held under finance leases and hire purchase contracts:
|
2024 |
2023 |
|
|
Plant and equipment |
48,414 |
58,201 |
|
Motor vehicles |
155,930 |
205,462 |
|
204,344 |
263,663 |
Company
|
Furniture, fittings and equipment |
Motor vehicles |
Total |
|
|
Cost or valuation |
|||
|
At 31 December 2023 |
|
|
|
|
At 30 December 2024 |
|
|
|
|
Depreciation |
|||
|
At 31 December 2023 |
|
|
|
|
Charge for the year |
|
|
|
|
At 30 December 2024 |
|
|
|
|
Carrying amount |
|||
|
At 30 December 2024 |
|
|
|
|
At 30 December 2023 |
|
|
|
Assets held under finance leases and hire purchase contracts
The net carrying amount of tangible assets includes the following amounts in respect of assets held under finance leases and hire purchase contracts:
|
2024 |
2023 |
|
|
Motor vehicles |
18,623 |
23,278 |
|
Investments |
Company
|
2024 |
2023 |
|
|
Investments in subsidiaries |
|
|
Wright Bros. (Holdings) Limited
Notes to the Financial Statements
Year Ended 30 December 2024
|
Subsidiaries |
£ |
|
Cost or valuation |
|
|
At 31 December 2023 |
|
|
Provision |
|
|
Carrying amount |
|
|
At 30 December 2024 |
|
|
At 30 December 2023 |
|
Details of undertakings
Details of the investments (including principal place of business of unincorporated entities) in which the company holds 20% or more of the nominal value of any class of share capital are as follows:
|
Undertaking |
Registered office |
Holding |
Proportion of voting rights and shares held |
|
|
2024 |
2023 |
|||
|
Subsidiary undertakings |
||||
|
|
56 Old Brompton Road,
England and Wales |
|
|
|
|
|
56 Old Brompton Road,
England and Wales |
|
|
|
|
|
56 Old Brompton Road,
England and Wales |
|
|
|
|
|
56 Old Brompton Road,
England and Wales |
|
|
|
|
|
56 Old Brompton Road,
England and Wales |
|
|
|
|
|
56 Old Brompton Road,
England and Wales |
|
|
|
Wright Bros. (Holdings) Limited
Notes to the Financial Statements
Year Ended 30 December 2024
|
Subsidiary undertakings |
|
Wright Bros. Limited The principal activity of Wright Bros. Limited is |
|
Wright Brothers Oyster House Limited The principal activity of Wright Brothers Oyster House Limited is |
|
Wright Brothers Soho Limited The principal activity of Wright Brothers Soho Limited is |
|
WB Spitalfields Limited The principal activity of WB Spitalfields Limited is |
|
WBBX1 Limited The principal activity of WBBX1 Limited is |
|
WBBX2 Limited The principal activity of WBBX2 Limited is |
|
Stocks |
|
Group |
Company |
|||
|
2024 |
2023 |
2024 |
2023 |
|
|
Other inventories |
|
|
- |
- |
|
Debtors |
|
Group |
Company |
||||
|
Note |
2024 |
2023 |
2024 |
2023 |
|
|
Trade debtors |
|
|
- |
- |
|
|
Amounts owed by related parties |
- |
- |
|
|
|
|
Other debtors |
|
|
|
|
|
|
Prepayments |
|
|
|
|
|
|
Income tax asset |
|
|
|
|
|
|
|
|
|
|
||
|
Less non-current portion |
- |
( |
( |
( |
|
|
|
|
|
|
||
Wright Bros. (Holdings) Limited
Notes to the Financial Statements
Year Ended 30 December 2024
Details of non-current trade and other debtors
Group
£Nil (2023 - £1) of Amounts owed to group undertakings is classified as non current.
Company
£(323,812) (2023 - £(168,904)) of Amounts owed to group undertakings is classified as non current.
|
Cash and cash equivalents |
|
Group |
Company |
|||
|
2024 |
2023 |
2024 |
2023 |
|
|
Cash on hand |
|
|
- |
- |
|
Cash at bank |
|
|
|
|
|
|
|
|
|
|
|
Creditors |
|
Group |
Company |
||||
|
Note |
2024 |
2023 |
2024 |
2023 |
|
|
Due within one year |
|||||
|
Loans and borrowings |
|
|
|
|
|
|
Trade creditors |
|
|
|
|
|
|
Social security and other taxes |
|
|
|
|
|
|
Outstanding defined contribution pension costs |
|
|
- |
- |
|
|
Other creditors |
|
|
|
|
|
|
Accruals |
|
|
|
|
|
|
Corporation tax |
88 |
46 |
- |
- |
|
|
Other creditors |
|
|
- |
- |
|
|
|
|
|
|
||
|
Due after one year |
|||||
|
Loans and borrowings |
|
|
|
|
|
|
Other creditors |
|
|
- |
- |
|
|
|
|
|
|
||
Wright Bros. (Holdings) Limited
Notes to the Financial Statements
Year Ended 30 December 2024
Bank loans and overdrafts are secured by way of fixed and floating charges on all assets of the group, including all future freehold and leasehold property, book and other debts, chattels, goodwill and uncalled capital, both present and future; first legal charges on certain leasehold properties and composite guarantees provided by all group companies.
The trade financing facility is secured by a fixed and floating charge over the related trade debtors.
Obligations under finance leases are secured by the assets to which they relate.
Included in finance lease liability is an amount owed of £416,667 (2023: £500,000). This is secured by way of fixed and floating charges on the assets of the Battersea restaurant and composite guarantees provided by all group companies. Further details about these other borrowings are included in note 18.
Other creditors include a non-refundable capital contribution by the Landlord of the Battersea site. This benefit has been spread over the life of the lease
Wright Bros. (Holdings) Limited
Notes to the Financial Statements
Year Ended 30 December 2024
|
Loans and borrowings |
Current loans and borrowings
|
Group |
Company |
|||
|
2024 |
2023 |
2024 |
2023 |
|
|
Bank borrowings |
|
|
|
|
|
Finance lease liabilities |
|
|
|
|
|
Other borrowings |
|
|
- |
- |
|
|
|
|
|
|
Non-current loans and borrowings
|
Group |
Company |
|||
|
2024 |
2023 |
2024 |
2023 |
|
|
Bank borrowings |
|
|
|
|
|
Finance lease liabilities |
|
|
- |
|
|
Amounts owed to group undertakings |
- |
- |
|
|
|
Other borrowings |
|
|
- |
- |
|
|
|
|
|
|
Bank loans owed to HSBC Bank plc of £1,457,239 (2023 £2,075,140) are repayable through monthly instalments with the terms of the loans ending at various dates between November 2025 and June 2026. The loans incur interest at various fixed rates between 3% and 3.99% p.a. above Bank of England base rate and are generally secured over specific group assets.
Other loans owed to YouLend is denominated in £ with a nominal interest rate of 7.5%, and the final instalment is due on 23 August 2025. The carrying amount at year end is £216,438.
Other loans comprise the following;
(1) A loan from Battersea Project Phase 1 Company Limited - £416,667 (2023 £500,000). Interest accrues under the terms of the loan, which was amended in June 2021, and is payable on the loan from this date in monthly instalments at a rate of 5% over the Central Bank Rate. The loan is secured on all the assets of Wright Brothers Soho Limited and a composite cross guarantee given by all companies within the Wright Bros. (Holdings) Limited group.
Wright Bros. (Holdings) Limited
Notes to the Financial Statements
Year Ended 30 December 2024
|
Obligations under leases and hire purchase contracts |
Group
Finance leases
The total of future minimum lease payments is as follows:
|
2024 |
2023 |
|
|
Not later than one year |
|
|
|
Later than one year and not later than five years |
|
|
|
|
|
Operating leases
The total of future minimum lease payments is as follows:
|
2024 |
2023 |
|
|
Not later than one year |
|
|
|
Later than one year and not later than five years |
|
|
|
Later than five years |
|
|
|
|
|
Company
Finance leases
The total of future minimum lease payments is as follows:
|
2024 |
2023 |
|
|
Not later than one year |
- |
|
|
Provisions for liabilities |
Group
|
Deferred tax |
Total |
|
|
At 31 December 2023 |
|
|
|
Increase (decrease) in existing provisions |
( |
( |
|
At 30 December 2024 |
|
|
|
|
||
Wright Bros. (Holdings) Limited
Notes to the Financial Statements
Year Ended 30 December 2024
Company
|
Deferred tax |
Total |
|
|
At 31 December 2023 |
|
|
|
Increase (decrease) in existing provisions |
( |
( |
|
At 30 December 2024 |
- |
- |
|
|
||
|
Pension and other schemes |
Defined contribution pension scheme
The group operates a defined contribution pension scheme. The pension cost charge for the year represents contributions payable by the group to the scheme and amounted to £
Contributions totalling £
|
Share capital |
Allotted, called up and fully paid shares
|
2024 |
2023 |
|||
|
No. |
£ |
No. |
£ |
|
|
|
|
100 |
|
100 |
The company has two classes of ordinary shares which carry no right to fixed income. All share classes rank pari-passu except in respect of the right to receive a dividend and the rate of dividend.
|
Parent and ultimate parent undertaking |
The company is controlled by the directors who own 100% of the called-up share capital.
|
Related party transactions |
Group
In accordance with FRS 102 Section 33 “Related Party Disclosures” the company has taken advantage of the exemption not to disclose transactions with any other wholly owned members of the group
Wright Bros. (Holdings) Limited
Notes to the Financial Statements
Year Ended 30 December 2024
|
Transactions with directors |
|
2024 |
At 31 December 2023 |
Advances to director |
Repayments by director |
At 30 December 2024 |
|
B P L Wright |
||||
|
Director's loan at 2% interest |
|
|
( |
|
|
S J Wright |
||||
|
Director's loan at 2% interest |
( |
- |
- |
( |
|
A R Wright |
||||
|
Director's loan at 2% interest |
|
|
( |
|
|
R J C Hancock |
||||
|
Director's loan at 2% interest |
|
|
( |
|
|
2023 |
At 31 December 2022 |
Advances to director |
Repayments by director |
At 30 December 2023 |
|
B P L Wright |
||||
|
Director's loan at 2% interest |
|
|
( |
|
|
S J Wright |
||||
|
Director's loan at 2% interest |
( |
- |
- |
( |
|
A R Wright |
||||
|
Director's loan at 2% interest |
|
|
( |
|
|
R J C Hancock |
||||
|
Director's loan at 2% interest |
|
|
( |
|
Wright Bros. (Holdings) Limited
Notes to the Financial Statements
Year Ended 30 December 2024
|
Analysis of changes in net debt |
Group
|
At 31 December 2023 |
Financing cash flows |
Other non-cash changes |
At 30 December 2024 |
|
|
Cash and cash equivalents |
||||
|
Cash |
360,232 |
(266,692) |
- |
93,540 |
|
Borrowings |
||||
|
Long term borrowings |
(1,556,079) |
1,026,463 |
(9,273) |
(538,889) |
|
Short term borrowings |
(1,019,061) |
- |
9,273 |
(1,009,788) |
|
Lease liabilities |
(269,999) |
44,365 |
- |
(225,634) |
|
(2,845,139) |
1,070,828 |
- |
(1,774,311) |
|
|
|
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|
( |
|
- |
( |
|