BT 2005 Annual Report Download - page 125

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2001 2002 2003 2004 2005
Financial ratios
Basic earnings per share on continuing activities
before goodwill amortisation and exceptional
items – pence
a
19.2 9.0 14.4 16.9 18.1
Basic earnings (loss) per share on continuing
activities – pence
a
20.6 (34.6) 31.4 16.4 21.4
Basic earnings (loss) per share – pence
a
(25.8) 12.1 31.4 16.4 21.4
Return on capital employed %
bc
14.9 6.6 15.5 15.1
d
15.5
d
Interest cover
e
2.6 0.6 2.0 3.0
f
3.5
f
a
Restated following adoption of UITF 17 and UITF 38 (see note 1 on page 81).
b
The ratio is based on profit before tax, goodwill amortisation and interest on long-term borrowings, to average capital employed. Capital employed
is represented by total assets, excluding goodwill, less current liabilities, excluding corporate taxes and dividends payable, and provisions other than
those for deferred taxation. Year-end figures are used in the computation of the average, except in the case of short-term investments and borrowings
where average daily balances are used in their place.
c
Return on capital employed is based upon the continuing activities.
d
Return on capital employed before goodwill amortisation and exceptional items was 16.0% (2004 – 15.3%).
e
The number of times net interest payable is covered by total operating profit before goodwill amortisation.
f
Interest cover before goodwill amortisation and exceptional items was 3.6 times (2004 – 3.3 times).
2001
£m
2002
£m
2003
£m
2004
£m
2005
£m
Expenditure on research and development
Total expenditure 364 362 380 334 257
2001
£m
2002
£m
2003
£m
2004
£m
2005
£m
Expenditure on tangible fixed assets
Plant and equipment
Transmission equipment 1,655 1,373 1,277 1,324 1,488
Exchange equipment 478 428 228 150 143
Other network equipment 918 694 466 585 648
Computers and office equipment 407 273 281 205 312
Motor vehicles and other 231 189 162 316 349
Land and buildings 171 153 40 73 64
3,860 3,110 2,454 2,653 3,004
Increase (decrease) in engineering stores (3) (10) (9) 20 7
Total continuing activities 3,857 3,100 2,445 2,673 3,011
Total discontinued activities 1,129 808 – – –
Total expenditure on tangible fixed assets 4,986 3,908 2,445 2,673 3,011
(Increase) decrease in creditors (230) 161 135 11 45
Cash outflow on purchase of tangible fixed assets 4,756 4,069 2,580 2,684 3,056
Financial statistics have been restated where necessary to provide consistency with the presentation of the 2005
financial year figures.
Financial statistics
Years ended 31 March
124 BT Group plc Annual Report and Form 20-F 2005