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Company Information
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Contents
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Strategic report
For the year ended 30 September 2021
The directors present their strategic report of The Future Media Group Limited ('the company') for the year ended 30 September 2021.
The year to 30 September 2021 has been another successful year for the company. During the year, the group was acquired by a private equity investor, Endeavour Capital, via a restructuring with our parent company Visual Data Media Services LLC.
With the backing of Endeavour Capital, a strong revenue outlook with great industry tailwinds, we are very optimistic that our business will continue its growth as the pre-eminent media service business in industry. The acquisition of VDMS Acton Limited by the company's subsidiary, Visual Data Media Services Limited, and the migration of employees and operations to a single premises commenced during the year, resulting in consolidation of various service contracts and associated synergies.
COVID-19 risk
We have faced limited disruption to the company resulting from COVID-19, therefore the overall impact on the company is considered to be minimal. Our procurement teams are in regular conversations to assess the risk of supply failure and have built relationships with alternative vendors to mitigate the risk. Foreign currency risk There is a risk of foreign currency balance exposure. The company aims to have sufficient currency to carry out its purchases due to a diverse sales territory portfolio.
The directors do not believe there are any key performance indicators other than those already disclosed in the financial statements.
Future Developments
The directors expect the general level of activity to remain consistent with the current year's performance in the forthcoming year.
This report was approved by the board on 7 February 2022
and signed on its behalf.
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Directors' report
For the year ended 30 September 2021
The directors present their report and the financial statements of The Future Media Group Limited ('the company') for the year ended 30 September 2021.
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 2006. They 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.
The directors do not consider this to be cause for material uncertainty in respect of the company's ability to continue as a going concern. The company has adapted well, , successfully employing contingency plans, and we consider that the company has sufficient support available to continue for the foreseeable future. Therefore the financial statements have been prepared on a going concern basis.
The profit for the year, after taxation, amounted to £
NIL
(2020 -
£
NIL
)
.
During the year, the directors proposed a dividend totalling £1,474,211 (2020 - £nil).
The directors who served during the year were:
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Directors' report (continued)
For the year ended 30 September 2021
The company has chosen, in accordance with s.414C(11) of the Companies Act 2006, to set out in the company's Strategic report information required by Schedule 7 of the Large and Medium sized Companies and Groups (Accounts and Reports) Regulations 2008, and Part 2 of the Companies (Miscellaneous Reporting) Regulations 2018 to be contained in the Directors' report. It has done so in respect of risk exposure and future developments.
In preparing this report, the directors have taken advantage of the small companies exemptions provided by section 415A of the Companies Act 2006.
This report was approved by the board on
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Independent auditor's report to the members of The Future Media Group Limited
For the year ended 30 September 2021
We have audited the financial statements of The Future Media Group Limited (the 'company') for the year ended 30 September 2021, which comprise the Statement of income and retained earnings, the Statement of financial position
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 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.
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.
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Independent auditor's report to the members of The Future Media Group Limited (continued)
For the year ended 30 September 2021
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 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 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.
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.
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Independent auditor's report to the members of The Future Media Group Limited (continued)
For the year ended 30 September 2021
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:
How the audit was considered capable of detecting irregularities including fraud Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows:
∙
the Senior Statutory Auditor ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations, including knowledge specific to auditing holding companies;
∙
we made enquiries of management as to where they considered there was susceptibility to fraud, and their knowledge of actual, suspected and alleged fraud;
∙
we identified the laws and regulations that could reasonably be expected to have a material effect on the financial statements of the company through discussions with directors and other management at the planning stage, and from our knowledge and experience of holding companies;
∙
the audit team held a discussion to identify any particular areas that were considered to be susceptible to misstatement, including with respect to fraud and non-compliance with laws and regulations;
∙
we considered the impact of COVID-19 on the company and its internal controls; and
∙
we focused our planned audit work 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, and taxation legislation.
We assessed the extent of compliance with the laws and regulations identified above through:
∙
making enquiries of management;
∙
inspecting legal correspondence throughout the year for any potential litigation or claims; and
∙
considering the internal controls in place that are designed 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:
∙
determined the susceptibility of the company to management override of controls by checking the implementation of controls and enquiring of individuals involved in the financial reporting process, taking into account the impact of COVID-19 on controls during the year;
∙
reviewed journal entries throughout the year to identify unusual transactions;
∙
performed analytical procedures to identify any large, unusual or unexpected transactions and investigated any large variances from the prior period; and
∙
reviewed accounting estimates and evaluated where judgements or decisions made by management indicated bias on the part of the company’s management.
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Independent auditor's report to the members of The Future Media Group Limited (continued)
For the year ended 30 September 2021
In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included:
∙
agreeing financial statement disclosures to underlying supporting documentation; and
∙
enquiring of management as to actual and potential litigation and claims.
There are inherent limitations in our audit procedures described above. Irregularities that result from fraud might be inherently more difficult to detect than irregularities that result from error as they may involve deliberate concealment or collusion. 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.
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.
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.
for and on behalf of
Statutory Auditor
130 Wood Street
EC2V 6DL
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Statement of income and retained earnings
For the year ended 30 September 2021
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Statement of financial position
As at
The financial statements were approved and authorised for issue by the board and were signed on its behalf on
The notes on pages 10 to 14 form part of these financial statements.
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Notes to the financial statements
For the year ended 30 September 2021
The company is a private company limited by shares and is registered in England and Wales. The registered office and principal place of business of the company is 316-318 Latimer Road, London, W10 6QN. The registered number of the company is 06457221.
2.
Accounting policies
the results of the company are consolidated in the financial statements of the ultimate parent undertaking. These financial statements present information about the company as an individual undertaking.
The following principal accounting policies have been applied:
The company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by the FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":
∙
the requirements of Section 11 Financial Instruments paragraphs 11.42, 11.44 to 11.45, 11.47, 11.48(a)(iii), 11.48(a)(iv), 11.48(b) and 11.48(c);
∙
the requirements of Section 12 Other Financial Instruments paragraphs 12.26 to 12.27, 12.29(a), 12.29(b) and 12.29A;
∙
the requirements of Section 33 Related Party Disclosures paragraph 33.7.
This information is included in the consolidated financial statements of VDMS UK Holdings Limited as at 30 September 2021 and these financial statements may be obtained from Companies House.
Impact of COVID-19
The directors have considered the impact of the COVID-19 pandemic on the company, with a particular focus on its effect on the on the group and whether this will effect the support available to the company. The directors do not consider this to be cause for material uncertainty in respect of the company's ability to continue as a going concern. The company has adapted well, , successfully employing contingency plans, and we consider that the company has sufficient support available to continue for the foreseeable future and therefore the financial statements have been prepared on a going concern basis.
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Notes to the financial statements
For the year ended 30 September 2021
2.
Accounting policies (continued)
The company only enters into basic financial instruments transactions that result in the recognition of financial assets and liabilities like trade and other debtors and creditors and loans to related parties.
Financial assets that are 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 Statement of income and retained earnings. For financial assets measured at amortised cost, the impairment loss is measured as the difference between an asset's carrying amount and the present value of estimated cash flows discounted at the asset's original effective interest rate.
Functional and presentation currency
Transactions and balances
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Notes to the financial statements
For the year ended 30 September 2021
The directors considered areas involving estimation uncertainty or significant judgement to be in relation to:
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Notes to the financial statements
For the year ended 30 September 2021
Capital redemption reserve
This arose when the company purchased back its own shares.
Profit and loss account
Includes all current and prior period retained profits and losses.
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Notes to the financial statements
For the year ended 30 September 2021
The immediate parent undertaking at the year end was VDMS UK Holdings Limited.
The ultimate parent company at the year end was
The smallest group of undertakings preparing consolidated financial statements including the company is headed by Visual Data Media Services LLC. Consolidated financial statements can be obtained from 610 N. Hollywood Way, Burbank, CA 91505, USA.
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