G4S Annual Report and Accounts 2011

More documents

Recommendations

Info

Overview Strategic review Performance Notes to the consolidated financial statements continued 6 Operating segments continued Other information Impairment losses recognised in income Depreciation and amortisation Capital additions Impairment losses recognised in income Depreciation and amortisation Capital additions By reportable segment 2011 2011 2011 2010 2010 2010 £m £m £m £m £m £m Secure solutions 13 145 244 – 148 209 Cash solutions 6 89 86 – 86 63 Head office – 1 9 – 2 4 Total 19 235 339 – 236 276 Capital additions Capital additions By geographical area 2011 2010 £m £m UK and Ireland 101 50 Continental Europe 59 62 Europe 160 112 North America 27 48 Middle East and Gulf States 4 6 Latin America and the Caribbean 100 73 Africa 13 11 Asia Pacific 26 22 Developing markets 143 112 Head office 9 4 Total 339 276 7 Discontinued operations Operations qualifying as discontinued in 2011 included; the cash solutions business in Sweden, which was disposed of on 27 February 2012; the secure solutions business in Russia, and the UK Risk Assessment business in Afghanistan. No businesses became qualified as discontinued in 2010. The results of the discontinued operations which have been included in the consolidated income statement are presented below: 2011 £m Revenue 126 142 Expenses (145) (154) Impairment of assets (6) – Operating loss before interest and taxation (PBIT) (25) (12) Net finance costs (1) (2) Attributable tax credit/(charge) 1 (1) Net loss attributable to discontinued operations (25) (15) 2010 £m The effect of discontinued operations on segment results is disclosed in note 6. The impairment of assets relates to the sale of the Swedish cash solutions business which was sold in 2012 for total proceeds below the carrying value of its assets. Cash flows from discontinued operations included in the consolidated cash flow statement are as follows: Net cash flows from operating activities (8) (8) Net cash flows from investing activities (4) (10) Net cash flows from financing activities (1) (28) (13) (46) 2011 £m 2010 £m 88 G4S plc Annual Report and Accounts 2011
Governance Financial statements Shareholder information 8 Profit from operations before interest and taxation (PBIT) The income statement can be analysed as follows: Continuing operations Revenue 7,522 7,258 Cost of sales (5,924) (5,695) Gross profit 1,598 1,563 Administration expenses (1,226) (1,130) Share of profit from associates 3 5 PBIT 375 438 2011 £m 2010 £m Included within administration expenses is £86m (2010: £88m) of amortisation of acquisition-related intangible assets and a £13m (2010: £nil) goodwill impairment charge relating to the group’s businesses in Greece, £2m (2010: £4m) of acquisition-related expenses and £55m (2010: £nil) of aborted acquisition and legal settlement costs. The aborted acquisition costs include debt finance underwriting fees, financing and hedging costs that arose on the proposed acquisition of ISS A/S which was terminated on 1 November 2011. Revenue and expenses relating to discontinued operations are disclosed in note 7. 9 Profit from operations Profit from continuing and discontinued operations has been arrived at after charging/(crediting): Cost of sales Cost of inventories recognised as an expense 101 102 Write-down of inventories to net realisable value 2 1 Administration expenses Acquisition-related expenses 2 4 Aborted acquisition and legal settlement costs 55 – Amortisation of acquisition-related intangible assets 86 88 Goodwill impairment 13 – Amortisation of other intangible assets 18 17 Impairment of other assets relating to disposal groups 6 – Depreciation of property, plant and equipment 131 131 Profit on disposal of property, plant and equipment and intangible assets other than acquisition-related (11) (16) Profit on disposal of subsidiaries (33) (8) Impairment of trade receivables 13 5 Litigation settlements 1 1 Research and development expenditure 6 5 Operating lease rentals payable 143 142 Operating sub-lease rentals receivable (14) (13) Cost of equity-settled transactions 1 7 Government grants received as a contribution towards wage costs (1) (1) 2011 £m 2010 £m 10 Auditors’ remuneration Fees payable to the company’s auditor for the audit of the company’s annual report and accounts 1 1 Fees payable to the company’s auditor and its associates for other services: The audit of the company’s subsidiaries pursuant to legislation 5 5 Corporate finance services 1 – Fees payable to other auditors for the audit of the company’s subsidiaries pursuant to legislation 1 1 2011 £m 2010 £m In addition, the group paid £0.3m (2010: £0.4m) for taxation services. The Corporate Governance Statement on pages 57 to 61 outlines the company’s established policy for ensuring that audit independence is not compromised through the provision by the company’s auditor of other services. G4S plc Annual Report and Accounts 2011 89
Page 1 and 2:
G4S plc Annual Report and Accounts
Page 3 and 4:
Governance Financial statements Sha
Page 5 and 6:
Page 7 and 8:
Page 9 and 10:
Page 11 and 12:
Page 13 and 14:
Page 15 and 16:
Page 17 and 18:
Page 19 and 20:
Page 21 and 22:
Page 23 and 24:
Page 25 and 26:
Page 27 and 28:
Page 29 and 30:
Page 31 and 32:
Page 33 and 34:
Page 35 and 36:
Page 37 and 38:
Page 39 and 40: Governance Financial statements Sha
Page 89: Governance Financial statements Sha
Page 141 and 142:
Page 144:
G4S plc The Manor Manor Royal Crawl
show all

G4S Annual Report and Accounts 2011

Create successful ePaper yourself

Delete template?

Save as template?