Securitas AB Annual Report 2005

Swedish GAAP IFRS
MSEK 2001 2002 2003 2004 2005
INCOME
Total sales 60,363.6 65,685.3 58,850.3 59,686.6 66,013.6
of which acquired business 12,364.1 4,104.5 964.0 1,519.0 2,074.3
Organic sales growth, % 7 8 –3 3 5
Operating income before amortization 3,854.5 4,458.4 3,732.0 4,026.4 4,293.6
Operating margin, % 6.4 6.8 6.3 6.7 6.5
Amortization of goodwill –1,089.8 –1,164.5 –1,137.0 – –
Amortization of acquisition related intangible fi xed assets – – – –99.6 –122.5
Acquisition related restructuring costs
Financial income and expenses excluding revaluation
– – – –26.5 –35.1
of fi nancial instruments –892.2 –782.3 –596.8 –516.6 –523.1
Revaluation of fi nancial instruments – – – – 36.2
Share in income of associated companies 29.4 – – – 11.8
Income before taxes 1,901.9 2,511.6 1,998.2 3,383.7 3,660.9
Taxes –718.3 –997.0 –754.1 –855.2 –948.3
Minority share in net income –0.9 –28.8 –1.8 – –
Net income for the year 1,182.7 1,485.8 1,242.3 2,528.5 2,712.6
Average number of shares after dilution
Earnings per share after taxes, after dilution attributable to equity
365,123,348 376,689,957 382,416,866 382,408,810 378,712,105
holders of the Parent Company (SEK) 3.27 4.14 3.45 6.79 7.31
CASH FLOW
Operating income before amortization 3,854.5 4,458.4 3,732.0 4,026.4 4,293.6
Investments in fi xed assets –1,764.3 –1,746.1 –1,718.6 –1,969.9 –2,220.4
Reversal of depreciation 1,377.2 1,493.5 1,564.1 1,613.0 1,948.6
Changes in other operating capital employed1 4,293.6
–2,220.4
1,948.6
–164.0 982.4 –650.3 –39.5 50.6
Cash fl ow from operating activities 3,303.4 5,188.2 2,927.2 3,630.0 4,072.4
as % of operating income before amortization 86 116 78 90 95
Financial income and expenses paid –774.6 –794.6 –615.0 –518.4 –485.2
Current taxes paid –575.5 –678.2 –510.9 –581.5 –926.1
Free cash fl ow 1,953.3 3,715.4 1,801.3 2,530.1 2,661.1
as % of adjusted income
Acquisitions, including cash payments from
80 122 73 93 94
restructuring reserves –3,001.5 –1,709.7 –1,307.8 –2,362.3 –1,213.2
Cash fl ow from fi nancing activities –121.1 29.5 1,572.3 –1,495.3 –1,192.6
Cash fl ow for the year
Interest-bearing net debt at beginning of year
–1,169.3 2,035.2 2,065.8 –1,327.5 255.3
adjusted for new principle –12,418.8 –12,582.6 –9,886.8 –10,686.8 –10,636.9
Change in loans 2,452.7 –414.0 –2,095.5 765.2 97.4
Revaluation of fi nancial instruments – – – – 51.8
Translation differences on interest-bearing net debt –1,447.2 1,074.6 834.0 616.0 –1,712.4
Interest-bearing net debt at year-end –12,582.6 –9,886.8 –9,082.5 –10,633.1 –11,944.8
CAPITAL EMPLOYED AND FINANCING
Fixed assets excluding acquisition related items 9,088.9 8,401.0 8,047.6 7,964.2 8,398.1
Accounts receivable 7,656.5 6,759.5 6,736.0 8,828.0 10,362.5
Other operating capital employed –10,891.3 –10,269.6 –9,262.2 –10,051.3 –10,578.5
Operating capital employed 5,854.1 4,890.9 5,521.4 6,740.9 8,182.1
as % of total sales 9 7 9 11 12
Shares in associated companies 42.4 – – – 178.6
Goodwill 18,639.9 16,672.2 14,777.8 15,301.9 17,792.4
Acquisition related intangible fi xed assets – – – 433.2 638.5
Capital employed 24,536.4 21,563.1 20,299.2 22,476.0 26,791.6
Return on capital employed, % 16 21 18 18 16
Net debt 12,582.6 9,886.8 9,082.5 10,633.1 11,944.8
Net debt equity ratio, multiple 1.05 0.85 0.81 0.90 0.80
Interest coverage ratio, multiple 3.7 5.3 5.3 6.5 6.0
Minority interests 17.5 13.2 15.6 – –
Shareholders’ equity 11,936.3 11,663.1 11,201.1 11,842.9 14,846.8
Return on equity, % 10 11 9 17 17
Equity ratio, % 31 31 30 30 32
Financing of capital employed 24,536.4 21,563.1 20,299.2 22,476.0 26,791.6
1 Including changes in accounts receivable.
Operating items are labeled in green.
For defi nitions and calculations of key ratios refer to note 2.
Five-year fi nancial overview
SECURITAS 2005 29