The following tables are the consolidated income statements, the consolidated income statements excluding exceptional items and specific IAS 39
mark to market movements and the summary balance sheets for the five years ended 31 December 2006. For the years ended 31 December 2003
and 31 December 2002 the results have been prepared under UK GAAP. They have been re-presented under an IFRS format, in the table below,
to aid comparability.
| Year ended 31 December 2006 (IFRS) £m |
Year ended 31 December 2005 (IFRS) £m |
Year ended 31 December 2004 (IFRS) £m |
Year ended 31 December 2003 (UK GAAP) £m |
Year ended 31 December 2002 (UK GAAP) £m |
|
|---|---|---|---|---|---|
| Revenue: Group and share of joint ventures and associates | 3,783 | 2,936 | 1,267 | 1,273 | 1,129 |
| Less: share of joint ventures’ and associates’ revenue | (1,199) | (1,003) | (499) | (421) | (412) |
| Group revenue | 2,584 | 1,933 | 768 | 852 | 717 |
| Cost of sales | (1,839) | (1,513) | (637) | (1,133) | (661) |
| Gross profit/(loss) | 745 | 420 | 131 | (281) | 56 |
| Other operating income | 102 | 122 | 56 | 66 | 134 |
| Other operating expenses | (163) | (129) | (67) | (64) | (85) |
| Share of results of joint ventures and associates | 214 | 198 | 113 | 195 | 222 |
| Profit/(loss) from operations | 898 | 611 | 233 | (84) | 327 |
| Disposal of investments | - | 10 | 4 | 27 | - |
| Finance income | 53 | 53 | 30 | 42 | 24 |
| Finance expenses | (327) | (255) | (138) | (169) | (156) |
| Profit/(loss) before tax | 624 | 419 | 129 | (184) | 195 |
| Income tax expense | (147) | (89) | (25) | (28) | (76) |
| Profit/(loss) for the year | 477 | 330 | 104 | (212) | 119 |
| Attributable to: | |||||
| Minority interests | 67 | 45 | 6 | 7 | 6 |
| Equity holders of the parent | 410 | 285 | 98 | (219) | 113 |
| Basic earnings/(loss) per share | 27.6p | 19.4p | 7.5p | (17.6)p | 9.0p |
| Diluted earnings/(loss) per share | 26.2p | 18.5p | 7.4p | (17.6)p | 9.0p |
The share of results from joint ventures and associates for the year ended 31 December 2002 and 31 December 2003, presented under UK GAAP, in the above table, is shown before interest, taxation and minority interests.
With effect from 1 January 2004, we reverted to equity accounting for our 36% stake in KAPCO and now account for it as an associate. KAPCO had previously been accounted for as a trade investment with dividend receipts recorded in income from investments. To aid comparability the dividends received in 2003 and 2002 have been included in the share of results of joint ventures and associates in the above table.
CONSOLIDATED INCOME STATEMENTS EXCLUDING EXCEPTIONAL ITEMS AND SPECIFIC IAS 39 MARK TO MARKET MOVEMENTS
| Year ended 31 December 2006 (IFRS) £m |
Year ended 31 December 2005 (IFRS) £m |
Year ended 31 December 2004 (IFRS) £m |
Year ended 31 December 2003 (UK GAAP) £m |
Year ended 31 December 2002 (UK GAAP) £m |
|
|---|---|---|---|---|---|
| Revenue: Group and share of joint ventures and associates | 3,645 | 2,980 | 1,267 | 1,273 | 1,129 |
| Less: share of joint ventures' and associates' revenue | (1,193) | (1,000) | (499) | (421) | (412) |
| Group revenue | 2,452 | 1,980 | 768 | 852 | 717 |
| Cost of sales | (1,807) | (1,570) | (637) | (729) | (558) |
| Gross profit | 645 | 410 | 131 | 123 | 159 |
| Other operating income | 83 | 64 | 56 | 66 | 134 |
| Other operating expenses | (163) | (129) | (78) | (64) | (85) |
| Share of results of joint ventures and associates | 208 | 191 | 113 | 160 | 180 |
| Profit from operations | 773 | 536 | 222 | 285 | 388 |
| Finance income | 53 | 53 | 30 | 42 | 24 |
| Finance expenses | (301) | (255) | (107) | (153) | (156) |
| Profit before tax | 525 | 334 | 145 | 174 | 256 |
| Income tax expense | (122) | (68) | (25) | (54) | (77) |
| Profit for the year | 403 | 266 | 120 | 120 | 179 |
| Attribute to: | |||||
| Minority interests | 71 | 52 | 8 | 7 | 6 |
| Equity holders of the parent | 332 | 214 | 112 | 113 | 173 |
| Basic earnings per share | 22.4p | 14.6p | 8.6p | 9.1p | 13.8p |
The comments set out below the table above also apply to the results presented here.
CONSOLIDATED BALANCE SHEETS
| As at 31 December 2006 (IFRS) £m |
As at 31 December 2005 (IFRS) £m |
As at 31 December 2004 (IFRS) £m |
As at 31 December 2003 (UK GAAP) £m |
As at 31 December 2002 (UK GAAP) £m |
|
|---|---|---|---|---|---|
| Non-current assets | 7,408 | 6,592 | 5,667 | 2,585 | 2,981 |
| Inventories | 141 | 110 | 91 | 65 | 55 |
| Other current asset receivables and derivatives | 803 | 676 | 238 | 160 | 134 |
| Cash and cash equivalents and assets held for trading | 1,022 | 672 | 612 | 743 | 842 |
| Current assets | 1,966 | 1,458 | 941 | 968 | 1,031 |
| Current liabilities | (1,116) | (1,300) | (545) | (846) | (1,405) |
| Non-current liabilities | (5,518) | (4,375) | (4,005) | (1,147) | (838) |
| Net assets | 2,740 | 2,375 | 2,058 | 1,560 | 1,769 |
| Net debt | 3,485 | 2,979 | 2,745 | 692 | 812 |
| Gearing | 127% | 125% | 133% | 44% | 46% |
| Debt capitalisation | 56% | 56% | 57% | 31% | 31% |
| Capital expenditure (including acquisitions) | 1,080 | 847 | 1,549 | 130 | 183 |
