Final Results - Part 2

RNS Number : 6737X

Berkeley Group Holdings (The) PLC

27 June 2008

 



    Consolidated Income Statement

			Year ended  30 April 2008 Unaudited	Year ended  30 April 2007 Audited
		Notes	£'000	£'000
Continuing operations
Revenue		3(a)	991,465	918,410
Cost of sales			(687,071)	(649,549)
Gross profit			304,394	268,861
Net operating expenses			(98,376)	(91,789)
Operating profit		3(b)	206,018	177,072
Finance income		4	6,480	10,121
Finance costs		4	(15,774)	(5,941)
Share of post tax results of joint ventures using the equity method		3(c)	(2,416)	6,798
Profit on ordinary activities before taxation			194,308	188,050
Taxation		5	(56,481)	(52,505)
Profit for the financial year attributable to equity shareholders			137,827	135,545
Earnings per Ordinary Share
	- Basic	6	114.2p	112.6p
	- Diluted	6	114.1p	112.3p

    Consolidated Statement of Recognised Income and Expense

		Year ended 30 April 2008 Unaudited	Year ended 30 April 2007 Audited
		£'000	£'000
Profit for the financial year		137,827	135,545
Actuarial (loss) / gain recognised in the pension scheme		(644)	961
Deferred tax on actuarial loss / (gain) recognised in the pension scheme		180	(288)
Deferred tax in respect of employee share schemes		(7,830)	23,850
Total recognised income for the financial year		129,533	160,068

      Consolidated Balance Sheet

		At 30 April  2008 Unaudited	At 30 April 2007 Audited (Restated)
	Notes	£'000	£'000
Assets
Non-current assets
Intangible assets		17,869	19,686
Property, plant and equipment		4,667	2,368
Investments accounted for using equity method		2,447	1,729
Deferred tax assets		39,074	34,594
		64,057	58,377
Current assets
Inventories		1,231,852	1,129,374
Trade and other receivables		20,800	27,601
Cash and cash equivalents		-	140,330
		1,252,652	1,297,305
Liabilities
Current liabilities
Borrowings		(4,549)	(59,368)
Trade and other payables		(526,114)	(413,240)
Current tax liabilities		(56,437)	(38,680)
		(587,100)	(511,288)
Net current assets		665,552	786,017
Total assets less current liabilities		729,609	844,394
Non-current liabilities
Other non-current liabilities		(48,202)	(62,819)
		(48,202)	(62,819)
Net assets		681,407	781,575
Shareholders' equity
Share capital		12,082	18,123
Share premium		264	264
Capital redemption reserve		18,173	12,132
Other reserve		(961,299)	(961,299)
Revaluation reserve		11,329	17,725
Retained profit		1,600,858	1,694,630
Total equity	7	681,407	781,575

      Consolidated Cash Flow Statement

		Year ended  30 April 2008 Unaudited	Year ended  30 April 2007 Audited (Restated)
	Notes	£'000	£'000
Cash flows from operating activities
Cash generated from operations		215,246	199,053
Dividends from joint ventures		323	6,016
Interest received		6,376	10,121
Interest paid		(7,908)	(2,716)
Tax paid		(50,854)	(51,540)
Net cash flow from operating activities	8	163,183	160,934
Cash flows from investing activities
Purchase of property, plant and equipment		(3,598)	(1,183)
Sale of property, plant and equipment		324	345
Purchase of shares in joint ventures		(70)	(5)
Sale of shares in joint ventures		-	10
Movements in loans with joint ventures		(3,709)	6,528
Acquisition of subsidiary undertaking		-	(97,457)
Cash balance in subsidiary acquired		-	34,658
Expenses relating to acquisition of subsidiary		-	(1,812)
Net cash flow from investing activities		(7,053)	(58,916)
Cash flows from financing activities
Redemption of shares		(241,641)	(241,641)
Increase in short-term borrowings		-	59,283
Repayment of bank loan		(59,283)	-
Net cash flow from financing activities		(300,924)	(182,358)
Net decrease in cash and cash equivalents		(144,794)	(80,340)
Cash and cash equivalents at start of the financial year		140,330	220,670
Cash and cash equivalents, including bank overdraft, at end of the financial year		(4,464)	140,330
Cash and cash equivalents at end of the financial year		-	140,330
Bank overdraft at end of the financial year		(4,464)	-

  1    Basis of preparation 

The unaudited financial information for the year ended 30 April 2008 and the comparative audited information for the year ended 30 April 2007 does not constitute statutory accounts within the meaning of section 240 of the Companies Act 1985. This information was approved by the Board on 27 June 2008, and has been extracted from the Group's statutory accounts which have not yet been signed, nor have the auditors yet reported on them.

This information, including the comparative information for the year ended 30 April 2007, has been prepared in accordance with EU endorsed International Financial Reporting Standards ('IFRSs'), International Financial Reporting Interpretations Committee ('IFRIC') interpretations and in accordance with the listing rules of the Financial Services Authority and consistently in accordance with the accounting policies set out in the 2007 Annual Report, except for the restatement explained in note 2. 

The statutory accounts for the year ended 30 April 2007 have been delivered to the Registrar of Companies. The report of the auditors on these financial statements was unqualified and did not contain a statement under section 237(2) or (3) of the Companies Act 1985.

2    Restatement

    In order to enhance clarity for the readers of the financial statements a restatement in a disclosure item has been made which has no impact on gross profit, profit from operations or net assets. New property deposits and on account contract receipts previously classified as a reduction in inventories are now disclosed within current trade and other payables following the principles applicable to deferred income. Deposits received and on account contract receipts at 30 April 2008 amounted to £170,758,000 (2007: £71,380,000).

3    Analysis by Activity

		Year ended  30 April 2008 Unaudited £'000	Year ended  30 April 2007 Audited £'000
(a)	Revenue
	Residential housebuilding	960,036	867,944
	Commercial property and other activities	31,429	50,466
		991,465	918,410
(b)	Operating profit
	Residential housebuilding	197,553	170,097
	Commercial property and other activities	8,465	6,975
		206,018	177,072
(c)	Share of post tax results of joint ventures
	Residential housebuilding	(2,416)	6,751
	Commercial property and other activities	-	47
		(2,416)	6,798

All revenue and profit disclosed in the table above relate to continuing activities of the Group and are derived from activities performed in the United Kingdom. Included in Group residential housebuilding revenue and operating profit are £13,106,000 and £806,000 in respect of land sales (2007: £43,997,000 and £9,245,000).

4    Net finance (costs) / income 

	Year ended  30 April 2008 Unaudited £'000	Year ended  30 April 2007 Audited £'000
Finance income	6,480	10,121
Finance costs
Interest payable on bank loans and overdrafts	(6,035)	(3,000)
Facility refinancing fees	(1,792)	-
Other finance costs	(7,947)	(2,941)
	(15,774)	(5,941)
Net finance (costs) / income	(9,294)	4,180

5    Taxation

	Year ended  30 April 2008 Unaudited £'000	Year ended  30 April 2007 Audited £'000
Current tax
UK corporation tax payable	(72,565)	(63,106)
Adjustments in respect of previous periods	3,954	4,610
	(68,611)	(58,496)
Deferred tax	13,317	5,991
Adjustment in respect of change of tax rate from 30% to 28%	(1,187)	-
	(56,481)	(52,505)

6    Earnings per Ordinary Share 

Earnings per Ordinary Share is calculated as the profit for the financial year of £137,827,000 (2007: £135,545,000) divided by the weighted average number of Ordinary Shares in issue during the year of 120,669,135 (2007: 120,335,736). For diluted earnings per Ordinary Share, the weighted average number of Ordinary Shares in issue is adjusted to assume the conversion of all dilutive potential Ordinary Shares. The dilutive potential Ordinary Shares relate to shares granted under employee share schemes where the exercise price is less than the average market price of the Ordinary Shares during the year. The effect of the dilutive potential Ordinary Shares is 71,072 shares (2007: 388,267), which gives a diluted weighted average number of Ordinary Shares of 120,740,207 (2007: 120,724,003).

7    Statement of Changes in Shareholders' Equity

	Year ended  30 April 2008 Unaudited	Year ended 30 April 2007 Audited
	£'000	£'000
Profit for the financial year	137,827	135,545
Actuarial (loss) / gain recognised in the pension scheme	(644)	961
Deferred tax on actuarial loss / (gain) recognised in the pension scheme	180	(288)
Revaluation of 50% of net assets of subsidiaries owned prior to acquisition of remaining 50% of net assets in the year	-	20,297
Redemption of shares	(241,641)	(241,641)
Credit in respect of employee share schemes	11,940	5,661
Deferred tax in respect of employee share schemes	(7,830)	23,850
Net movement on shareholders' equity	(100,168)	(55,615)
Opening shareholders' equity	781,575	837,190
Closing shareholders' equity	681,407	781,575

8    Notes to the Consolidated Cash Flow Statement

	Year ended  30 April 2008 Unaudited	Year ended  30 April 2007 Audited (Restated)
	£'000	£'000
Net cash flows from operating activities
Continuing operations
Profit for the financial year	137,827	135,545
Adjustments for:
- Taxation	56,481	52,505
- Depreciation	1,016	1,278
- Amortisation of intangible assets	1,817	746
- Profit on sale of property, plant and equipment	(41)	(34)
- Finance income	(6,480)	(10,121)
- Finance costs	15,774	5,941
- Share of results of joint ventures after tax	2,416	(6,798)
- Non-cash charge in respect of share awards	11,940	5,661
Changes in working capital:
- (Increase) / decrease in inventories	(102,478)	8,747
- Decrease in receivables	6,801	5,354
- Increase in payables	90,713	9,854
- Decrease in employee benefit obligations	(540)	(9,625)
Cash generated from operating activities	215,246	199,053
Dividends from joint ventures	323	6,016
Interest received	6,376	10,121
Interest paid	(7,908)	(2,716)
Taxation	(50,854)	(51,540)
Net cash flow from operating activities	163,183	160,934

  8    Notes to the Consolidated Cash Flow Statement continued

	Year ended  30 April 2008 Unaudited £'000	Year ended  30 April 2007 Audited £'000
Reconciliation of net cash flow to net (debt) / cash
Net decrease in cash and cash equivalents, including bank overdraft	(144,794)	(80,340)
Cash outflow / (inflow) from decrease / (increase) in debt	59,283	(59,283)
Movement in net debt in the financial year	(85,511)	(139,623)
Opening net cash	80,962	220,585
Closing net (debt) / cash	(4,549)	80,962
	At 30 April 2008 Unaudited £'000	At 30 April 2007 Audited £'000
Net (debt) / cash
Cash and cash equivalents	-	140,330
Borrowings	(4,549)	(59,368)
Net (debt) / cash	(4,549)	80,962

 

END

 

 

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