Selected financial data
The US Securities and Exchange Commission’s new rule on the US GAAP reconciliation eliminates the requirement to present US GAAP selected financial data for companies that prepare
financial statements in accordance with IFRS as issued by the IASB. This rule became effective for filings made on or after 4 March 2008. The group’s consolidated financial statements for 2008, 2007, 2006 and 2005 were prepared in accordance
with IFRS, as adopted by the EU and issued by the IASB. However, the group’s
consolidated financial statements for 2004 were prepared in accordance with
UK GAAP. US GAAP selected financial data is presented for 2005 and 2004.
| Summary
of group income statement – IFRS
|
|
|
|
|
|
| |
2008
|
|
2007
|
|
2006
|
|
2005
|
|
|
Year ended 31 March |
£m |
|
£m |
|
£m |
|
£m |
|
| Revenue |
20,704 |
|
20,223 |
|
19,514 |
|
18,429 |
|
| Other operating income |
349 |
|
233 |
|
227 |
|
551 |
|
| Operating costs |
(18,697 |
) |
(17,915 |
) |
(17,246 |
) |
(15,988 |
) |
|
|
|
|
|
|
|
|
|
|
Operating profit |
|
|
|
|
|
|
|
|
| Before specific itemsa |
2,895
|
|
2,713
|
|
2,633
|
|
2,693
|
|
| Specific itemsa |
(539
|
) |
(172
|
) |
(138
|
) |
299
|
|
| |
2,356
|
|
2,541
|
|
2,495
|
|
2,992
|
|
|
Net finance expense |
|
|
|
|
|
|
|
|
| Net finance expense before specific items |
(378
|
) |
(233
|
) |
(472
|
) |
(599
|
) |
| Specific items |
–
|
|
139
|
|
–
|
|
–
|
|
| |
(378
|
) |
(94
|
) |
(472
|
) |
(599
|
) |
Share of post tax profits (losses) of associates and joint ventures |
(11
|
) |
15
|
|
16
|
|
(39
|
) |
|
Profit on disposal of associates and joint ventures |
9
|
|
22
|
|
1
|
|
–
|
|
|
Profit before tax |
|
|
|
|
|
|
|
|
| Before specific itemsa |
2,506
|
|
2,495
|
|
2,177
|
|
2,080
|
|
| Specific itemsa |
(530
|
) |
(11
|
) |
(137
|
) |
274
|
|
| |
1,976
|
|
2,484
|
|
2,040
|
|
2,354
|
|
|
Taxation |
|
|
|
|
|
|
|
|
| Before specific itemsa |
(581
|
) |
(611
|
) |
(533
|
) |
(541
|
) |
| Specific itemsa |
343
|
|
979
|
|
41
|
|
16
|
|
| |
(238
|
) |
368
|
|
(492
|
) |
(525
|
) |
|
|
|
|
|
|
|
|
|
|
Profit for the year |
|
|
|
|
|
|
|
|
| Before specific itemsa |
1,925
|
|
1,884
|
|
1,644
|
|
1,539
|
|
| Specific itemsa |
(187
|
) |
968
|
|
(96
|
) |
290
|
|
| |
1,738
|
|
2,852
|
|
1,548
|
|
1,829
|
|
|
|
|
|
|
|
|
|
|
|
Year ended 31 March |
2008
|
|
2007
|
|
2006
|
|
2005
|
|
Average number of shares used in basic earnings per share (millions) |
8,066
|
|
8,293
|
|
8,422
|
|
8,524
|
|
Average number of shares used in diluted earnings per share (millions) |
8,223
|
|
8,479
|
|
8,537
|
|
8,581
|
|
|
Basic earnings per share |
21.7
|
p |
34.4
|
p |
18.4
|
p |
21.5
|
p |
|
Diluted earnings per share |
21.1
|
p |
33.6
|
p |
18.1
|
p |
21.3
|
p |
|
Dividends per sharec |
15.8
|
p |
15.1
|
p |
11.9
|
p |
10.4
|
p |
|
Dividends per share, centsb,c |
31.4
|
c |
29.7
|
c |
20.7
|
c |
19.5
|
c |
|
|
|
|
|
|
|
|
|
|
Basic earnings per share before specific itemsa |
23.9
|
p |
22.7
|
p |
19.5
|
p |
18.1
|
p |
|
Diluted earnings per share before specific itemsa |
23.4
|
p |
22.2
|
p |
19.2
|
p |
17.9
|
p |
|
|
|
|
|
|
|
|
|
a
|
A definition of specific items
is provided in the accounting policies section. The directors
believe these measures provide a more meaningful analysis of the trading
results of the group and are consistent with the way the financial
performance is measured by management. |
| b |
Based on actual dividends paid
and/or year end exchange rate on proposed dividends. |
c
|
Dividends per share represents
the dividend proposed in respect of the relevant financial year. Under
IFRS, dividends are recognised as a deduction from shareholders’ equity
when they are
paid. |
Summary of group
income statement – UK
GAAP
|
|
2005
|
|
2004
|
|
| Year
ended 31 March |
£m |
|
£m |
|
| Total turnover |
19,031
|
|
18,914
|
|
|
Group’s share of associates’ and joint ventures’ turnover |
(408
|
) |
(395
|
) |
|
|
|
|
|
| Group turnover |
18,623
|
|
18,519
|
|
| Other operating income |
171
|
|
177
|
|
| Operating costsa,b |
(16,005
|
) |
(15,826
|
) |
|
|
|
|
|
| Group operating profit |
|
|
|
|
| Before goodwill amortisation
and exceptional items |
2,864
|
|
2,889
|
|
| Goodwill amortisation and exceptional items |
(75
|
) |
(19
|
) |
|
|
2,789
|
|
2,870
|
|
| Group’s share of
operating loss of associates and joint
venturesc |
(25
|
) |
(34
|
) |
|
|
|
|
|
| Total operating profit |
2,764
|
|
2,836
|
|
| Profit on sale of fixed asset investments and group undertakings |
358
|
|
36
|
|
| Profit on sale of property fixed assets |
22
|
|
14
|
|
| Net interest payabled |
(801
|
) |
(941
|
) |
|
|
|
|
|
| Profit on ordinary activities before taxation |
|
|
|
|
| Before goodwill amortisation and exceptional items |
2,085
|
|
2,013
|
|
| Goodwill
amortisation and exceptional items |
258
|
|
(68
|
) |
|
|
2,343
|
|
1,945
|
|
| Tax on profit on ordinary activitiese |
(523
|
) |
(539
|
) |
|
|
|
|
|
| Profit on ordinary activities after taxation |
1,820
|
|
1,406
|
|
| Minority interests |
1
|
|
8
|
|
|
|
|
|
|
| Profit for the year |
1,821
|
|
1,414
|
|
|
|
|
|
|
| Average number of shares used in basic earnings per share (millions) |
8,524
|
|
8,621
|
|
| Basic earnings per share |
21.4
|
p |
16.4
|
p |
| Diluted earnings per share |
21.2
|
p |
16.3
|
p |
| Dividends per share |
10.4
|
p |
8.5
|
p |
| Dividends per share, centsf |
19.5
|
c |
15.3
|
c |
|
|
|
|
|
| Basic earnings per share before goodwill amortisation and exceptional items |
18.1
|
p |
16.9
|
p |
| Diluted earnings per share before goodwill amortisation and exceptional items |
18.0
|
p |
16.8
|
p |
|
|
|
|
|
| a |
Includes
net exceptional costs |
59
|
|
7
|
|
| b |
Includes
leaver costs |
166
|
|
202
|
|
| c |
Includes
exceptional costs |
25
|
|
26
|
|
| d |
Includes
exceptional costs |
–
|
|
55
|
|
| e |
Includes
exceptional tax credit |
(16
|
) |
(29
|
) |
| f |
Based
on actual dividends paid and/or year end exchange rate on proposed dividends. |
|
|
|
|
US GAAP
|
|
2005
|
|
2004
|
|
| Year
ended 31 March |
£m |
|
£m |
|
|
Group operating profit |
2,779
|
|
2,420
|
|
|
Income before taxes |
1,576
|
|
1,188
|
|
|
Net income |
1,297
|
|
883
|
|
|
|
|
|
|
|
Basic earnings per ordinary share |
15.2
|
p |
10.2
|
p |
|
Diluted earnings per ordinary share |
15.1
|
p |
10.2
|
p |
|
Average number of ADSs used in basic earnings per ADS (millions) |
852
|
|
862
|
|
|
Basic earnings per ADS |
£1.52
|
|
£1.02
|
|
|
Diluted earnings per ADS |
£1.51
|
|
£1.02
|
|
|
|
|
|
|
|
Total assets |
29,006
|
|
28,674
|
|
|
Total shareholders’ deficita |
(264
|
) |
(1,135
|
) |
|
|
|
|
|
a
|
Opening retained earnings and shareholders’ equity
have been restated to correct a deferred tax valuation allowance of £320
million related to the group’s property sale and lease back transaction
in 2001. The adjustment has the effect of increasing US GAAP deferred
tax assets and retained earnings by £320 million. The adjustment
did not have a material impact on US GAAP net income or earnings per
share. |
Summary of group cash flow statement – IFRS
|
|
2008
|
|
2007
|
|
2006
|
|
2005
|
|
|
Year ended 31 March |
£m
|
|
£m |
|
£m |
|
£m |
|
|
Net cash inflow from operating activities |
5,486
|
|
5,210
|
|
5,387
|
|
5,574
|
|
|
Net cash (outflow) inflow from investing activities |
(3,664
|
) |
(3,035
|
) |
365
|
|
(1,740
|
) |
|
Net cash used in financing activities |
(1,430
|
) |
(2,898
|
) |
(5,278
|
) |
(3,529
|
) |
|
Effect of exchange rate changes on cash and cash equivalents |
25
|
|
(37
|
) |
–
|
|
–
|
|
|
|
|
|
|
|
|
|
|
|
Net increase (decrease) in cash and cash equivalents |
417
|
|
(760
|
) |
474
|
|
305
|
|
|
Cash and cash equivalents at the start of the year |
757
|
|
1,784
|
|
1,310
|
|
1,005
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash equivalents at the end of the year |
1,174
|
|
1,024
|
|
1,784
|
|
1,310
|
|
|
|
|
|
|
|
|
|
|
Summary of group cash flow statement – UK
GAAP
| |
|
|
|
|
|
|
2005
|
|
2004
|
|
| Year
ended 31 March |
£m |
|
£m |
|
|
Net cash flow from operating activities |
5,898
|
|
5,389
|
|
|
Dividends from associates and joint ventures |
2
|
|
3
|
|
|
Returns on investments and servicing of finance |
(878
|
) |
(527
|
) |
|
Taxation paid |
(332
|
) |
(317
|
) |
|
Capital expenditure and financial investment |
(2,408
|
) |
(2,477
|
) |
|
Acquisitions and disposals |
(418
|
) |
(60
|
) |
|
Equity dividends paid |
(784
|
) |
(645
|
) |
|
|
|
|
|
|
Cash inflow before management of liquid resources and financing |
1,080
|
|
1,366
|
|
|
Management of liquid resources |
587
|
|
1,123
|
|
|
Financing |
(1,485
|
) |
(2,445
|
) |
|
|
|
|
|
|
Increase in cash in the year |
182
|
|
44
|
|
|
|
|
|
|
|
Decrease in net debt in the year resulting from cash flows |
887
|
|
1,222
|
|
|
|
|
|
|
Summary of group balance sheet – IFRS
| |
|
|
|
|
|
|
|
|
| |
2008 |
|
2007
|
|
2006
|
|
2005
|
|
|
At 31 March |
£m |
|
£m |
|
£m |
|
£m |
|
| Intangible assets |
3,355 |
|
2,584 |
|
1,908 |
|
1,379 |
|
| Property, plant and equipment |
15,307 |
|
14,997 |
|
15,222 |
|
15,266 |
|
| Retirement benefit asset |
2,887 |
|
– |
|
– |
|
– |
|
| Other non current assets |
1,280 |
|
759 |
|
1,153 |
|
1,567 |
|
|
|
|
|
|
|
|
|
|
| |
22,829 |
|
18,340 |
|
18,283 |
|
18,212 |
|
| Current assets less current
liabilities |
(3,181 |
) |
(3,757 |
) |
(3,063 |
) |
(2,783 |
) |
|
|
|
|
|
|
|
|
|
| Total assets less
current liabilities |
19,648 |
|
14,583 |
|
15,220 |
|
15,429 |
|
| Non current loans and
other borrowings |
(9,818 |
) |
(6,387 |
) |
(7,995 |
) |
(7,744 |
) |
| Retirement benefit obligations |
– |
|
(389 |
) |
(2,547 |
) |
(4,807 |
) |
| Other non current liabilities |
(4,398 |
) |
(3,535 |
) |
(3,071 |
) |
(2,783 |
) |
|
|
|
|
|
|
|
|
|
| Total assets less
liabilities |
5,432 |
|
4,272 |
|
1,607 |
|
95 |
|
|
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
| Called up share capital |
420 |
|
432 |
|
432 |
|
432 |
|
| Share premium account |
62 |
|
31 |
|
7 |
|
3 |
|
| Capital redemption reserve |
15 |
|
2 |
|
2 |
|
2 |
|
| Other reserves |
(527 |
) |
88 |
|
364 |
|
762 |
|
| Retained earnings (deficit) |
5,439 |
|
3,685 |
|
750 |
|
(1,154 |
) |
|
|
|
|
|
|
|
|
|
| Total parent shareholders’
equity |
5,409 |
|
4,238 |
|
1,555 |
|
45 |
|
| Minority interests |
23 |
|
34 |
|
52 |
|
50 |
|
|
|
|
|
|
|
|
|
|
| Total equity |
5,432 |
|
4,272 |
|
1,607 |
|
95 |
|
|
|
|
|
|
|
|
|
|
Summary of group balance sheet – UK GAAP
|
|
2005
|
|
2004
|
|
| At
31 March |
£m |
|
£m |
|
|
Intangible fixed assets |
623
|
|
204
|
|
|
Tangible fixed assets |
15,916
|
|
15,487
|
|
|
Fixed asset investments |
115
|
|
324
|
|
|
Net current (liabilities) assets |
(2,165
|
) |
2,027
|
|
|
|
|
|
|
|
Total assets less current liabilities |
14,489
|
|
18,042
|
|
|
Loans and other borrowings falling due after one year |
(8,091
|
) |
(12,426
|
) |
|
Provisions for liabilities and charges |
(2,497
|
) |
(2,504
|
) |
|
Minority interests |
(50
|
) |
(46
|
) |
|
|
|
|
|
|
Total assets less liabilities |
3,851
|
|
3,066
|
|
|
|
|
|
|
|
Called up share capital |
432
|
|
432
|
|
|
Share premium account |
3
|
|
2
|
|
|
Capital redemption reserve |
2
|
|
2
|
|
|
Other reserves |
998
|
|
998
|
|
|
Profit and loss account |
2,416
|
|
1,632
|
|
|
|
|
|
|
|
Total equity shareholders’ funds |
3,851
|
|
3,066
|
|
|
|
|
|
|
|
Total assets |
26,950
|
|
26,565
|
|
|
|
|
|
|
|
