Setting new standards - Friends Life
Setting new standards - Friends Life
Setting new standards - Friends Life
You also want an ePaper? Increase the reach of your titles
YUMPU automatically turns print PDFs into web optimized ePapers that Google loves.
FINANCIAL STATEMENTS<br />
IFRS FINANCIAL STATEMENTS<br />
EEV SUPPLEMENTARY INFORMATION<br />
Consolidated income statement<br />
For the year ended 31 December 2006<br />
Revenue<br />
2006 2005<br />
Notes £m £m<br />
Gross earned premiums 4 980 977<br />
Premiums ceded to reinsurers 4 (84) (56)<br />
Net earned premiums 4 896 921<br />
Fee and commission income and income from service activities 565 483<br />
Investment income 5 3,697 6,287<br />
Total revenue 5,158 7,691<br />
Claims, benefits and expenses<br />
Gross claims and benefits paid 6 1,587 1,569<br />
Amounts receivable from reinsurers 6 (43) (37)<br />
Net claims and benefits paid 1,544 1,532<br />
Insurance contracts liabilities 27 (764) 514<br />
Investment contracts liabilities 31 2,620 3,822<br />
Transfer to fund for future appropriations 19 187<br />
Movement in net assets attributable to unit holders 33 131 136<br />
Movement in policyholder liabilities 2,006 4,659<br />
Acquisition expenses 7 412 285<br />
Administrative and other expenses 8 618 759<br />
Finance costs 12 88 89<br />
Total claims, benefits and expenses 4,668 7,324<br />
Share of profit of associates and joint venture 20 1 -<br />
Profit before tax from continuing operations 491 367<br />
Policyholder tax 13 (124) (218)<br />
Profit before shareholder tax from continuing operations 367 149<br />
Total tax expense 13 (70) (178)<br />
Policyholder tax 13 124 218<br />
Shareholder tax 13 54 40<br />
Profit after tax from continuing operations 421 189<br />
Profit after tax from discontinued operations 42 - 8<br />
Profit for the year 421 197<br />
Attributable to:<br />
Equity holders of the parent: (i)<br />
Ordinary shareholders 276 132<br />
Other equity holders 52 37<br />
328 169<br />
Minority interest 93 28<br />
Profit for the year 421 197<br />
Earnings per share<br />
Basic earnings per share from continuing operations (pence) 15 13.1 6.3<br />
Diluted basic earnings per share from continuing operations (pence) 15 12.8 6.3<br />
(i)<br />
All profit attributable to equity holders of the parent is from continuing operations.<br />
70 <strong>Friends</strong> Provident Annual Report & Accounts 2006