SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D.C. 20549

                                   FORM 10-QSB

          QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES
                              EXCHANGE ACT OF 1934

                       FOR THE QUARTER ENDED MAY 31, 2008

                       COMMISSION FILE NUMBER: 333-121044

                             W. S. INDUSTRIES, INC.
             ______________________________________________________
             (EXACT NAME OF REGISTRANT AS SPECIFIED IN ITS CHARTER)

                   Nevada                        98-0439650
          _______________________   ____________________________________
          (State of organization)   (I.R.S. Employer Identification No.)

                                 2275 West 23rd
                                  Vancouver, BC
                                     V6L 1N3
                    ________________________________________
                    (Address of principal executive offices)

                                Tel: 604-830-6499
                _________________________________________________
                Registrants telephone number, including area code

Check  whether the issuer (1) filed all reports  required to be filed by Section
13 or 15(d) of the  Exchange  Act  during  the past 12  months  and (2) has been
subject to such filing requirements for the past 90 days. Yes [X]



         Securities registered under Section 12(g) of the Exchange Act:

   There are 21,088,680 shares of common stock outstanding as of MAY 31, 2008.


<PAGE>




                              W.S. INDUSTRIES, INC.

                          (A Development Stage Company)

                          INTERIM FINANCIAL STATEMENTS

                                  May 31, 2008

                                   (Unaudited)

                             (STATED IN US DOLLARS)




<PAGE>

<TABLE>
<CAPTION>

                             SEE ACCOMPANYING NOTES
                              W.S. INDUSTRIES, INC.
                          (A Development Stage Company)
                             INTERIM BALANCE SHEETS
                        May 31, 2008 and August 31, 2007
                                   (Unaudited)
                             (STATED IN US DOLLARS)


                                                                                          May 31,           August 31,
                                                                                           2008                2007
                                        ASSETS
<S>                                                                                      <C>                <C>
Current
        Cash                                                                             $ 18,332           $  77,994

Investment - Note 3                                                                        45,548              22,596
Equipment                                                                                     438                 566
                                                                                         ________           _________

                                                                                         $ 64,318           $ 101,156
                                                                                         ========           =========


                                       LIABILITIES
Current
        Accounts payable and accrued liabilities                                         $ 28,962             $ 8,639
                                                                                         ________           _________

                                      STOCKHOLDERS' EQUITY
Capital Stock - Note 4
        Common Stock, $0.001 par value
        25,000,000 authorized
        21,088,680 issued and outstanding (August 31, 2007: 21,088,680)                    21,089              21,089
Additional paid-in capital                                                                214,097             214,097
Deficit accumulated during the development stage                                         (206,040)           (149,901)
Cumulative effect of foreign currency translation adjustment                                6,210               7,232
                                                                                         ________           _________
                                                                                           35,356              92,517
                                                                                         ________           _________

                                                                                         $ 64,318           $ 101,156
                                                                                         ========           =========
</TABLE>


                             SEE ACCOMPANYING NOTES




<PAGE>
<TABLE>
<CAPTION>


                              W.S. INDUSTRIES, INC.
                          (A Development Stage Company)
                        INTERIM STATEMENTS OF OPERATIONS
                   for the three and nine months ended May 31,
                 2008 and 2007 and for the period from April 5,
                    2004 (Date of Inception) to May 31, 2008
                                   (Unaudited)
                             (STATED IN US DOLLARS)
                                                                                                                      April 5, 2004
                                                                                                                        (Date of
                                             Three months ended                     Nine months ended                 Inception) to
                                                  May 31,                                May 31,                          May 31,
                                         2008                       2007              2008                2007            2008
                                         ____                       ____              ____                ____            ____
<S>                                  <C>               <C>                  <C>              <C>                  <C>
Revenue
   Storage rental fee                $              -  $                 -  $             -  $             1,800  $        17,285
                                     ________________  ___________________  _______________  ___________________  _______________

Expenses
   Accounting and audit fees                    3,851                4,072           22,446               14,984           73,600
   Amortization                                    42                   61              126                  182            1,500
   Bad debt expense                                 -                    -                -                    -            8,085
   Bank charges and interest                      639                   64              793                  368            2,267
   Consulting fees                                  -                    -                -                    -            8,878
   Courier and postage - Note 5                     -                    -                -                    -              177
   Equipment                                        -                    -                -                    -            1,952
   Legal                                        1,632                1,586            4,316                6,894           24,490
   Management fees                             22,500                    -           22,500                    -           22,500
   Office and miscellaneous                         -                    -                -                  390           11,233
   Registration and filing fees -                 446                  790            3,121                3,100           15,753
Note 5
   Rent                                           709                  632            2,127               2,8007           17,173
   Research and marketing                           -                    -                -                    -            7,500
   Telephone                                      203                  181              203                  217            1,527
   Travel                                           -                    -                -                  672            6,154
   Wages                                            -                    -                -                    -            6,139
                                     ________________  ___________________  _______________  ___________________  _______________

                                               30,022                7,386           55,632               29,614          208,928
                                     ________________  ___________________  _______________  ___________________  _______________

Loss before other items                       (30,022)              (7,386)         (55,632)             (27,814)        (191,643)
   Interest income                                  -                    -                -                    -            4,509
   Foreign exchange loss                         (185)                (392)            (507)              (1,713)          (8,906)
   Impairment of investment                         -                    -                -                    -          (10,000)
                                     ________________  ___________________  _______________  ___________________  _______________

Net loss for the period                       (30,207)              (7,778)         (56,139)             (29,527)        (206,040)

Other comprehensive income (loss)
   Foreign currency translation                   (49)                 324           (1,022)                 180            6,210
   adjustment
                                     ________________  ___________________  _______________  ___________________  _______________

Comprehensive loss for the period    $        (30,256) $            (7,454) $       (57,161) $           (29,347) $      (199,830)
                                     ================  ===================  ===============  ===================  ===============

Basic loss per share                 $          (0.00) $             (0.00) $         (0.00) $             (0.00)
                                     ================  ===================  ===============  ===================
Weighted average number of shares
outstanding                                21,088,680           21,088,680      21,088,6801           21,088,680
                                     ================  ===================  ===============  ===================

</TABLE>


                             SEE ACCOMPANYING NOTES

<PAGE>
<TABLE>
<CAPTION>


                              W.S. INDUSTRIES, INC.
                          (A Development Stage Company)
                        INTERIM STATEMENTS OF CASH FLOWS
                     for the nine months ended May 31, 2008
                 and 2007 and for the period from April 5, 2004
                       (Date of Inception) to May 31, 2008
                                   (Unaudited)
                             (STATED IN US DOLLARS)

                                                                                                                     April 5, 2004
                                                                                  Nine months ended           (Date of Inception) to
                                                                                        May 31,                        May 31,
                                                                                  2008                2007              2008

<S>                                                                            <C>                 <C>                 <C>
Cash Flows used in Operating Activities
        Net loss for the period                                                $ (56,139)          $ (29,527)          $ (206,040)
        Items not affecting cash:
        Amortization                                                                 126                 182                1,500
        Bad debt expenses                                                              -                   -                8,085
        Impairment of investment                                                       -                   -               10,000
        Changes in non-cash working capital balances:
        Accounts receivable                                                            -               2,303               (8,085)
        Accounts payable and accrued liabilities                                  20,323              (2,933)              28,962
                                                                               _________           _________           __________
Net cash used in operating activities                                            (35,690)            (29,975)            (165,578)
                                                                               _________           _________           __________

Cash Flows from Financing Activities
        Common stock issued                                                            -                   -              297,186
        Common stock repurchased                                                       -                   -              (62,000)
                                                                               _________           _________           __________
Net cash from financing activities                                                     -                   -              235,186
                                                                               _________           _________           __________

Cash Flows used in Investing Activities
        Acquisition of equipment                                                       -                   -               (1,940)
        Acquisition of investments                                               (22,952)                  -              (56,841)
                                                                               _________           _________           __________
Net cash used in investing activities                                            (22,952)                  -              (58,781)
                                                                               _________           _________           __________

Effect of exchange rate changes on cash                                           (1,020)              1,473                7,505
                                                                               _________           _________           __________

Net increase (decrease) in cash during the period                                (59,662)            (28,502)              18,332

Cash, beginning of period                                                         77,994             122,004                    -
                                                                               _________           _________           __________

Cash, end of period                                                            $  18,332           $  93,502           $   18,332
                                                                               =========           =========           ==========
Non-cash Transactions - Note 6

</TABLE>


                             SEE ACCOMPANYING NOTES

<PAGE>
<TABLE>
<CAPTION>


                              W.S. INDUSTRIES, INC.
                          (A Development Stage Company)
             INTERIM STATEMENT OF STOCKHOLDERS' EQUITY (DEFICIENCY)
        for the period April 5, 2004 (Date of Inception) to May 31, 2008
                                   (Unaudited)
                             (STATED IN US DOLLARS)


                                                                                                         Cumulative
                                                                                          Deficit         Effect of
                                                 (Note 4)                               Accumulated        Foreign
                                               Common Shares            Additional       During the       Currency
                                      ______________________________      Paid-in       Development      Translation
                                          Number         Par Value        Capital          Stage         Adjustment        Total
                                          ______         _________        _______          _____         __________        _____

<S>                                      <C>          <C>             <C>             <C>               <C>            <C>
Issued for cash: - Note 6
   Private placement agreements
                 - at $0.000049          20,007,680   $       20,008  $     (19,022)  $            -   $           -  $        986
                 - at $0.01               2,000,000            2,000         18,000                -               -        20,000
                 - at $0.20                  81,000               81         16,119                -               -        16,200
Foreign currency translation
adjustment                                        -                -              -                -             380           380
Net loss for the period                           -                -              -          (11,573)              -       (11,573)
                                      _____________   ______________  _____________   ______________   _____________  ____________

Balance, August 31, 2004                 22,088,680           22,089         15,097          (11,573)            380        25,993
Foreign currency translation
adjustment                                        -                -              -                -           1,279         1,279
Net loss for the year                             -                -              -          (32,276)              -       (32,276)
                                      _____________   ______________  _____________   ______________   _____________  ____________

Balance, August 31, 2005                 22,088,680           22,089         15,097          (43,849)          1,659        (5,004)
Issued for cash:
   Private placement agreements
                 - at $0.20               1,000,000            1,000        199,000                -               -       200,000
Shares repurchased
                 - at $0.20              (2,000,000)          (2,000)      (398,000)               -               -      (400,000)
Capital contribution                              -                -        398,000                -               -       398,000
Foreign currency translation
adjustment                                        -                -              -                -           4,788         4,788
Net loss for the year                             -                -              -          (51,090)              -       (51,090)
                                      _____________   ______________  _____________   ______________   _____________  ____________

Balance, August 31, 2006                 21,088,680           21,089        214,097          (94,939)          6,447       146,694
Issued for cash:
   Private placement agreements
                 - at $0.20                 300,000              300         59,700                -               -        60,000
Shares repurchased
                 - at $0.20                (300,000)            (300)       (59,700)               -               -       (60,000)
Foreign current translation adjustment
                                                  -                -              -                -             785           785
Net loss for the year                             -                -              -          (54,962)              -       (54,962)
                                      _____________   ______________  _____________   ______________   _____________  ____________

Balance, August 31, 2007                 21,088,680           21,089        214,097         (149,901)          7,232        92,517

                                                                                                                        .../cont'd


                             SEE ACCOMPANYING NOTES

<PAGE>

<CAPTION>

                                                                                                                         Continued
                              W.S. INDUSTRIES, INC.
                          (A Development Stage Company)
             INTERIM STATEMENT OF STOCKHOLDERS' EQUITY (DEFICIENCY)
        for the period April 5, 2004 (Date of Inception) to May 31, 2008
                                   (Unaudited)
                             (STATED IN US DOLLARS)


                                                                                                        Cumulative
                                                                                          Deficit         Effect of
                                                 (Note 4)                               Accumulated        Foreign
                                               Common Shares            Additional       During the       Currency
                                      ______________________________      Paid-in       Development      Translation
                                          Number         Par Value        Capital          Stage         Adjustment       Total
                                          ______         _________        _______          _____         __________       _____


<S>                                      <C>          <C>             <C>             <C>               <C>            <C>
Balance, August 31, 2007                 21,088,680           21,089        214,097         (149,901)          7,232        92,517
Foreign current translation
 adjustment                                       -                -              -                -          (1,022)       (1,022)
Net loss for the period                           -                -              -          (56,139)              -       (56,139)
                                      _____________   ______________  _____________   ______________   _____________  ____________

Balance, May 31, 2008                    21,088,680   $       21,089  $     214,097   $     (206,040)  $       6,210  $     35,356
                                      =============   ==============  =============   ==============   =============  ============

</TABLE>




                             SEE ACCOMPANYING NOTES


<PAGE>




                              W.S. INDUSTRIES, INC.
                          (A Development Stage Company)
                    NOTES TO THE INTERIM FINANCIAL STATEMENTS
                                  May 31, 2008
                                   (Unaudited)
                             (STATED IN US DOLLARS)


Note 1        INTERIM REPORTING

              While  the  information  presented  in  the  accompanying  interim
              financial  statements  is unaudited,  it includes all  adjustments
              which are,  in the  opinion of  management,  necessary  to present
              fairly the  financial  position,  results of  operations  and cash
              flows for the interim periods  presented.  These interim financial
              statements  follow the same  accounting  policies  and  methods of
              their   application  as  the  Company's  August  31,  2007  annual
              financial  statements.  All adjustments are of a normal  recurring
              nature. It is suggested that these interim financial statements be
              read in  conjunction  with the  Company's  August 31,  2007 annual
              financial statements.

              Operating  results for the nine months  ended May 31, 2008 are not
              necessarily indicative of the results that can be expected for the
              year ended August 31, 2008.

Note 2        NATURE OF OPERATIONS AND ABILITY TO CONTINUE AS A GOING CONCERN

              These  financial  statements have been prepared in accordance with
              generally  accepted  accounting  principles  applicable to a going
              concern,  which  assumes that the Company will be able to meet its
              obligations  and  continue  its  operations  for its  next  twelve
              months.  Realization  values may be  substantially  different from
              carrying  values as shown and these  financial  statements  do not
              give effect to adjustments that would be necessary to the carrying
              values and  classification  of assets and  liabilities  should the
              Company be unable to continue as a going concern. At May 31, 2008,
              the  Company  had  not yet  achieved  profitable  operations,  has
              accumulated  losses of $206,040,  has a working capital deficiency
              of $10,630 and expects to incur further losses in the  development
              of its business,  all of which casts  substantial  doubt about the
              Company's  ability to continue as a going  concern.  The Company's
              ability  to  continue  as a going  concern is  dependent  upon its
              ability to generate future profitable  operations and/or to obtain
              the  necessary  financing  to meet its  obligations  and repay its
              liabilities arising from normal business operations when they come
              due.  Management  has no  formal  plan in  place to  address  this
              concern  but  considers  that the  Company  will be able to obtain
              additional   funds  by  equity   financing  and/or  related  party
              advances,  however  there is no  assurance of  additional  funding
              being available.

Note 3        INVESTMENT

              The investment is comprised of wine purchased for appreciation and
              long-term resale.  The wine is valued at the lower of cost and net
              realizable  value.  Cost is  determined  using  the  average  cost
              method. The Company does not anticipate selling the product during
              the next twelve months.


<PAGE>



Note 4        CAPITAL STOCK - Note 5

              On May 31, 2004, the Company forward split its common stock on the
              basis of 20.3 new for 1 old.  The  number  of  shares  issued  and
              outstanding,  par value and  additional  paid-in  capital has been
              restated to give  retroactive  effect to the forward  split of its
              common stock.

              The  Company  filed a Form SB-2  registration  statement  with the
              United  States  Security  and  Exchange  Commission  and  received
              $200,000 for the offering of 1,000,000  common shares at $0.20 per
              share.  The Form  SB-2  also  included  an  offering,  by  selling
              shareholders of the Company,  of 2,081,000  common shares at $0.20
              per share.  The  Company  received  none of the  proceeds  of this
              portion of the offering.

              In December  2006,  the Company  received an order for  production
              from the British Columbia Securities  Commission (BCSC) to provide
              certain  information  and documents  relating to, inter alia,  the
              sale  of  the  SB-2  shares  to  verify  the  availability  of the
              registration and prospectus  exemptions relied upon by the Company
              in  offering  such  share to  residents  of British  Columbia.  To
              resolve the  matter,  the  Company  issued a voluntary  rescission
              offer to rescind any previous subscriptions of the SB-2 shares and
              offered a full refund of the subscription  monies.  In lieu and in
              place of the SB-2 shares, the Company offered an equivalent number
              of shares for sale pursuant to an updated private  placement dated
              June  27,  2007.  Of the  nine  SB-2  investors,  three  investors
              accepted the rescission offer at $0.20 per share and were refunded
              the total amount of their investment of $60,000 and 300,000 common
              shares were  returned to treasury  and  cancelled.  The  remaining
              investors  rejected the  rescission  offer and three new investors
              completed and paid the remaining  portion of the private placement
              by the payment of $60,000.

Note 5        RELATED PARTY TRANSACTIONS - Note 6

              During  the  period  ended  August  31,  2004 the  Company  issued
              20,007,680  shares to the director of the Company for expenses and
              loan proceeds totalling $986 as follows:

                                                          April 5, 2004
                                                             (Date of
                                                            Inception)
                                                                to
                                                            August 31,
                                                               2004

              Courier and postage                        $            177
              Registration and filing fees                            659
              Loan proceeds                                           150
                                                         ----------------

                                                         $            986
                                                         ================



<PAGE>



Note 6        NON-CASH TRANSACTIONS

              Investing  and  financing  activities  that do not  have a  direct
              impact on current cash flows are excluded  from the  statements of
              cash flows.

              During the period  April 5, 2004  (Date of  Inception)  to May 31,
              2008:

              -    the Company issued  20,007,680 common shares to a director of
                   the Company to settle $986 due to a related party;

              -    the  Company  reacquired   2,000,000  common  shares  from  a
                   director of the Company for $2,000  pursuant to a  promissory
                   note, which was paid prior to August 31, 2006.

                   The fair value of this transaction  was recorded at $0.20 per
                   share and  consequently  the  Company  has received a capital
                   contribution of $398,000.

              These  transactions have been excluded from the statements of cash
              flows.




<PAGE>




                                     ITEM 2.

MANAGEMENT'S DISCUSSION AND ANALYSIS OR PLAN OF OPERATION

This report contains  forward-looking  statements and information relating to us
that is based on  beliefs  of  management  as well as  assumptions  made by, and
information   currently  available  to  management.   These  statements  may  be
identified by the use of  terminology  such as  "BELIEVES,"  "PLANS",  EXPECTS,"
"MAY," "SHOULD" or "ANTICIPATES",  or expressing this terminology  negatively or
similar expressions or by discussions of strategy.  These statements reflect our
current view  respecting  future events and are subject to risks,  uncertainties
and  assumptions,  including the risks and  uncertainties  noted  throughout the
document.  Although we have attempted to identify  important  factors that could
cause the actual results to differ  materially,  there may be other factors that
cause the forward looking statements not to come true as anticipated,  believed,
projected,  expected  or  intended.  Should  one  or  more  of  these  risks  or
uncertainties  materialize,  or should  underlying  assumptions prove incorrect,
actual results may differ materially from those described herein as anticipated,
believed, projected, estimated, expected or intended.

INTRODUCTION
Management's  Discussion  and  Analysis  (MD&A) is  intended  to  facilitate  an
understanding  of our  business and results of  operations.  This MD&A should be
read in conjunction with our Financial  Statements and the accompanying Notes to
Financial  Statements  included elsewhere in this report.  This MD&A consists of
the following sections:
o Overview: a summary of our business.
o Critical  Accounting  Policies:  a discussion of critical  accounting policies
that require the exercise of judgments and estimates
o Results of Operations: a discussion of operating results.
o Financial  Condition,  Liquidity  and Capital  Resources:  an analysis of cash
flows, sources and uses of cash, contractual obligations and financial position.

OVERVIEW

WS Industries  was founded as a wine storage  company and re-seller of fine wine
accessories.  In the  last  six  months,  the  Company  has  purchased  wine for
investment and resale  purposes;  there are no plans to sell any of our wines in
the next 12 months.  However,  the Company's  inventory of fine wines may become
available  for resale to the  discerning  wine  connoisseur  in the future.  The
Company has a website at  WWW.YOURWINEWIZARD.COM  where potential customers will
find a description of our services and information regarding the storage of fine
wines.  The website also provides  customers with a web-based retail store where
they can order wine related  accessories  such as  glassware,  corkscrews,  wine
cabinets and wine  racking for their home  cellars.  The website is  continually
undergoing  upgrades and the next phase of operations  will include the addition
of online ordering and secure online payment facilities.

THE FOLLOWING  MANAGEMENT'S  DISCUSSION AND ANALYSIS OF FINANCIAL  CONDITION AND
RESULTS OF OPERATIONS,  CONTAINS FORWARD-LOOKING STATEMENTS, WHICH INVOLVE RISKS
AND  UNCERTAINTY.   OUR  ACTUAL  RESULTS  COULD  DIFFER  MATERIALLY  FROM  THOSE
ANTICIPATED IN THESE  FORWARD-LOOKING  STATEMENTS AS A RESULT OF CERTAIN FACTORS
DISCUSSED IN THIS SECTION.  OUR FISCAL YEAR IS FROM  SEPTEMBER 1 THROUGH  AUGUST
31.

CRITICAL ACCOUNTING POLICIES

Revenue is  recognized  as earned based on CONTRACTS or sales  invoices,  as the
rental  for  storage  takes  place  and  the  amount  of  revenue  is  fixed  or
determinable  and  collection  is  reasonably  assured.  Provision for estimated
losses on CONTRACTS is recorded when identified.



<PAGE>


EFFECT OF INFLATION AND FOREIGN CURRENCY EXCHANGE

We have not  realized a  reduction  in the price of our  services as a result of
domestic inflation. Nor have we experienced unfavorable profit reductions due to
currency  exchange  fluctuations  or inflation with our foreign  customers.  All
sales  transactions to date have been denominated in U.S. Dollars.  However,  we
pay our lease for storage space in Canadian  dollars.  The current exchange rate
is US$1.00 = CDN$.9942 at May 31, 2008.

GOING CONCERN OPINION

We are a development stage corporation and commenced  business  operations APRIL
5, 2004.

We included a going concern disclosure in our financial  statements.  We believe
there is substantial  doubt that we can continue as an on-going business for the
next twelve months unless we obtain additional capital to pay our bills. We have
developed a WEBSITE for OUR COMPANY: WWW.YOURWINEWIZARD.COM.  We must raise cash
from  sources  other  than  operations,  such as  investments  by  others in OUR
COMPANY, we may raise cash to further develop our project.

WS Industries has one officer and director; he is responsible for our managerial
and organizational  structure,  which will include preparation of disclosure and
accounting  controls under the Sarbanes  Oxley Act of 2002.  When these controls
are implemented,  he will be responsible for the administration of the controls.
Should he not have  sufficient  experience,  he may be incapable of creating and
implementing  the  controls  which may cause us to be subject to  sanctions  and
fines  by  the  SEC  which  ultimately  could  cause  investors  to  lose  their
investment.

OFF BALANCE SHEET ARRANGEMENTS

THE COMPANY does not have any off balance sheet arrangements.

RESULTS OF OPERATIONS

There is no  historical  financial  information  about us upon  which to base an
evaluation of our performance.  We are in development  stage operations and have
only generated small revenues.  We cannot guarantee we will be successful in our
business  operations.   Our  business  is  subject  to  risks  inherent  in  the
establishment of a new business enterprise,  including limited capital resources
and  possible  cost  overruns  due to price and cost  increases  in services and
products.

From  inception  on April 5, 2004 to May 31, 2008 we  incorporated  THE COMPANY,
hired the attorney,  and hired the auditor all in respect to the  preparation of
the Registration  Statement.  We prepared an internal business plan. We acquired
the domain name  "yourwinewizard.com." Our net loss since inception is $199,830.
When we  started  our  business  operations,  we had one  (1)  customer  for our
services, said customer generated revenues of $17,285. At this time, the company
is upgrading its new facility,  while this facility undergoes upgrades, the wine
purchased by the Company is cellared offsite in a secure  location.  The Company
also  continues to seek out new vendors whose  products can be  represented  and
resold by the company via our website.

At the end of the  three-month  period ended May 31, 2008,  the Company had cash
available  in the amount of $18,332.  For the  three-month  period ended May 31,
2008 we had a net loss of  $30,207.  For the period  from April 5, 2004 (date of
inception)  to May 31,  2008,  we have only  generated an  accumulated  total of
$17,285 in revenues from our business operations.  As at May 31, 2008, our total
assets were $64,318 and our total liabilities were $28,962.

On March 1, 2008 the Company entered into a Management  Agreement with a private
company  to  provide  management  consulting  services  for a monthly  fee of US
$7,500.  With  the  addition  of  this  consultant,  more  time  will  be  spent

<PAGE>

implementing  the company's  plans which include the upgrade of the wine storage
facility,  identifying  new vendors,  updating and  maintaining  the website and
seeking out new customers for our products.

We do not anticipate significant research and development expenses over the next
twelve months, other than those related to the development of our WEBSITE.

To become profitable and competitive, we have to locate and negotiate agreements
with wine collectors to allow us to store their wines on a fee basis.

If we are unable to  successfully  attract  customers  and  negotiate  strategic
alliances  or if we are unable to  attract  enough  clients to utilize  our wine
storage  services,  we may quickly use up the  proceeds  from the money from the
previous  offering  and will  need to find  alternative  sources,  like a second
public offering,  a private placement of securities,  or loans from our officers
or others in order for us to maintain our  operations.  At the present  time, we
have not made any  arrangements to raise  additional cash. If we need additional
cash and cannot raise it, we will either have to suspend  operations until we do
raise the cash, or cease  operations  entirely.  Other than as described in this
paragraph, we have no other financing plans.

If we cannot  generate  sufficient  revenues  to  continue  operations,  we will
suspend or cease operations. If we cease operations, we do not know what we will
do and we do not have any plans to do anything else.

FINANCIAL CONDITION, LIQUIDITY AND CAPITAL RESOURCES

We are a  development  stage  company  with  limited  operations  and  revenues.
Management has made $985.60 of contributions to our business and the Company has
raised a total  of  $297,186  net of  repurchase  of  $62,000,  through  Private
Placements.  Management's  capital  contributions  may be  accomplished  through
interest-bearing  promissory  notes between our company and management.  We have
not  determined  the amount of funds that will be necessary  for  management  to
contribute or if there is any need  management  to contribute  any funds at all.
Nor is there any assurance our management  will have funds  available to loan us
as and when we require funds.  In this event,  we will be required to seek loans
and/or  equity  funding from third  parties and there is no assurance we will be
able to do so.

Until upgrades  and/or  expansion of the Company's  website and wine storage and
cellaring  facilities  are performed,  we do not expect to have any  significant
revenues from our operations.  If additional  capital is raised through the sale
of equity,  the  issuance  of the  securities  will  result in  dilution  to our
shareholders.  We  anticipate  that if our  WEBSITE  and our  wine  storage  and
cellaring facilities are expanded,  of which there can be no assurance,  we will
generate  revenues from wine storage and retail sales of wine related  products.
There  is no  assurance  that we will be  successful  in  marketing  our  retail
products or wine storage services. We have no other proposed sources of revenue.
Therefore, if we are not successful in this regard, we will be unable to achieve
revenues  under our  current  business  plan.  Furthermore,  if we are unable to
negotiate  suitable  arrangements  with  wine-related  suppliers  or  vendors to
advertise on our WEBSITE or allow us to represent their companies,  or if we are
unable to  attract  clients  to use our wine  storage  services,  we may have to
suspend or cease operations.

If OUR  COMPANY  or its  management  receives  proceeds  from  the  sales of the
securities by the selling security  shareholders,  which neither THE COMPANY nor
its management has any intent to do, those persons may have conducted an illegal
distribution of our securities and may be deemed underwriters. Accordingly, they
will have  liability  for any material  misrepresentations  or omissions in this
document and otherwise in the offer and sale of securities.

<PAGE>

We have no assurance that future financing will be available to us on acceptable
terms. If financing is not available on satisfactory  terms, we may be unable to
continue,  develop or expand our  operations.  Equity  financing could result in
additional dilution to existing shareholders.

At the present time, we have not made any arrangements to raise additional cash.
If we need  additional  cash and cannot raise it, we will either have to suspend
operations until we do raise the cash, or cease operations entirely.  Other than
as described in this paragraph, we have no other financing plans.


PART II       OTHER INFORMATION

ITEM 6.       EXHIBITS AND REPORTS ON FORM 8-K

              There  was one  report on Form 8-K dated  March  18,  2008,  filed
during the quarter for which this report is filed.  The  following  exhibits are
filed with this report:

              31.1 Certification of Chief Executive Officer

              31.2 Certification of Chief Financial Officer

              32.1 Section 906 Certification

              32.2 Section 906 Certification

ITEM 7.       SIGNATURES

In accordance with the  requirements of the Exchange Act, the registrant  caused
this  report to be  signed on its  behalf  by the  undersigned,  thereunto  duly
authorized.

Date:  July 11, 2008                  W. S. INDUSTRIES, INC.

                                      /s/ JAMES F. DEMPSEY
                                      _________________________________________
                                          James F. Dempsey
                                          President and Chief Executive Officer