bat plc annual report 2007 - Five year summary

 
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Annual Report and Accounts 2007
For the years ended 31 December2007
IFRS
£m
2006
IFRS
£m
2005
IFRS
£m
2004
IFRS
£m
2003
UK GAAP
£m
Income statement     
Gross turnover (including duty, excise and other taxes)26,234 25,189 23,984 31,833 25,622
Revenue (after deducting duty, excise and other taxes)10,018 9,762 9,325 10,768 10,570
Profit from operations*2,905 2,622 2,420 3,760 1,852
Profit before taxation3,078 2,764 2,584 3,637 1,567
Profit for the year (before minority interest)2,287 2,048 1,894 2,964 788
*after (charging)/crediting     
– restructuring costs(173)(216)(271)(206)(437)
– investment costs written off   (50) 
– net gains/(losses) on disposal of businesses
non-current investments and brands
75 41 72 1,427  
– goodwill amortisation    (405)
 2007
IFRS
pence
2006
IFRS
pence
2005
IFRS
pence
2004
IFRS
pence
2003
UK GAAP
pence
Earnings per share     
– basic unadjusted105.19 92.08 84.34 133.76 26.93
– diluted unadjusted104.46 91.33 83.66 131.45 26.69
– diluted adjusted108.53 98.12 89.34 76.62 69.21
Dividends declared per share66.20 55.90 47.00 41.90 38.80
At 31 December2007
IFRS
£m
2006
IFRS
£m
2005
IFRS
£m
2004
IFRS
£m
2003
UK GAAP
£m
Balance sheet     
Non-current assets13,362 12,385 13,147 12,095  
Fixed assets    11,313
Current assets5,366 5,391 5,904 5,680 7,544
Total assets18,728 17,776 19,051 17,775 18,857
Shareholders’ funds6,880 6,461 6,630 5,919 4,361
Minority interests218 227 247 198 225
Total equity7,098 6,688 6,877 6,117 4,586
Non-current liabilities7,076 6,635 6,338 7,218  
Current liabilities4,554 4,453 5,836 4,440  
Borrowings    7,610
Provisions and other creditors    6,661
Total liabilities11,630 11,088 12,174 11,658 14,271
Total equity and liabilities18,728 17,776 19,051 17,775 18,857

The information included in the five year summary for the year ended 31 December 2003 is published under UK GAAP and has not been restated to IFRS.

The main adjustments in changing to IFRS were as follows:

 UK GAAP

£m
Post-
retirement
benefits
(a)
£m
Goodwill
(b)
£m
Dividends
(c)
£m
Reallocations
(d)
£m
Other
(e)
£m
IFRS

£m
Shareholders’ funds:       
- 1 January 20044,361 (493) 585  (66)4,387
- 31 December 20045,220 (237)473 617  (154)5,919
Year ended 31 December 2004       
Profit from operations1,794 59 454  1,323 130 3,760
Profit for the year (before minority interests)1,224 29 491  1,132 88 2,964
Earnings per share       
Basic55.20p      133.76p
Adjusted diluted75.83p      76.62p

(a) All cumulative actuarial gains and losses were recognised at 1 January 2004.

(b) Under UK GAAP, goodwill was amortised over its useful economic life, while from 1 January 2004 goodwill is not amortised under IFRS.

(c) Under UK GAAP, the final dividend for the year was provided in the results for that year while under IFRS it is provided in the year that it is declared.

(d) In respect of the Reynolds American transaction in 2004, which combined the Group’s US domestic business (B&W) with R.J. Reynolds:

– a £918 million unrecognised gain, included in the statement of total recognised gains and losses in UK GAAP, is included in profit from operations under IFRS; and

– a write-back of £216 million under UK GAAP for goodwill previously written off to reserves, is not required under IFRS, which results in an additional gain on the partial disposal of B&W.

In addition, the gains and losses on the disposal of subsidiaries and fixed asset investments were shown below profit from operations under UK GAAP (£185 million).

(e) The other adjustments principally reflect:

– provisions for deferred tax on the unremitted profit of associates and part of the unremitted profit of subsidiaries required under IFRS but not UK GAAP;

– the application of IFRS to the results of associates; and

– an additional gain on the partial disposal of B&W in 2004 of £128 million, as a result of the IFRS adjustments for B&W in respect of post-retirement benefits.

IAS32 and IAS39, which deal with financial instruments, were applied from 1 January 2005 and consequently the figures for 2004 and 2003 do not reflect the impact of those standards.

© British American Tobacco