Carphone Warehouse 2009 Annual Report Download

Download and view the complete annual report

Please find the complete 2009 Carphone Warehouse annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 98

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98

The Carphone Warehouse Group PLC
Annual Report 2009
Committed to the
long-term opportunities
Responsive to the
short-term challenges

Table of contents

  • Page 1
    Responsive to the short-term challenges Committed to the long-term opportunities The Carphone Warehouse Group PLC Annual Report 2009

  • Page 2
    ... 2 3 Directors' Report - Business Review Chief Executive Officer's Review ---- Investor Q&A ---- Structural review 4 6 8 TalkTalk Group ---- Key Performance Indicators ---- Strategy ---- Marketplace Trends ---- Risks and Challenges ---- Headline Financials and Business Performance Best Buy Europe...

  • Page 3
    Taking the long-term view will always deliver better value to customers and shareholders. " " We maintain a private company mentality when it comes to investment and growth opportunities. Our focus is on long-term value creation...even if short-term returns are depressed as a result. Charles ...

  • Page 4
    ... to the short-term market conditions we face, but we are also able to keep a clear sight of our long-term objectives. From a business that used to be predominantly reliant on its UK retail business, we now have significant retail operations across continental Europe and a highly visible recurring...

  • Page 5
    ...pursuit of long-term value creation. The deal with Best Buy, the evolution of our retail proposition and the Big Box consumer electronics opportunity can transform the scale of our retail operations; in our telecoms business, the investments of the last five years are now beginning to pay back, with...

  • Page 6
    ... 07 06 23 69 124 Best Buy Europe (100% basis)* Revenue EBITDA EBIT £3,563m 09 08 07 06 2,453 3,091 2,886 3,563 £188m 09 08 07 06 164 188 218 209 £101m 09 08 07 06 116 101 151 154 *Best Buy Europe is a 50% joint venture from 1 July 2008. 2 The Carphone Warehouse Group PLC Annual Report 2009

  • Page 7
    ... on the high street, accepting lower margins in return for sustained top line growth and burgeoning market share in a more depressed mobile phone market. Our increasing market presence will allow us to start to rebuild margins as volumes recover. Within the TalkTalk Group, the service problems of...

  • Page 8
    ... to drive forward our strategy, given our shareholders access to a new growth opportunity, and achieved renewed financial strength. I feel that over the long term, these benefits more than outweigh the issue of near-term earnings dilution. 4 The Carphone Warehouse Group PLC Annual Report 2009

  • Page 9
    ...business over the long term Through organic growth and acquisitions, the Group has delivered a high rate of compound growth in revenues and profitability over the last 10 years. From a business that used to be predominantly reliant on its UK retail business, we now have significant retail operations...

  • Page 10
    Directors' Report - Business Review Chief Executive Officer's Review - continued Accessing the internet via mobile phone is still a relatively under used and limited activity. How will customer expectations drive innovation? Two of the innovative handsets that allow customers to access the ...

  • Page 11
    ... could find somewhere else for free anyway? Q How do you compete with the mobile networks' direct distribution strategies? A The mobile networks have long been competitors on the high street as well as partners, and we have thrived within this market dynamic for many years. Customers are not all the...

  • Page 12
    ...holding company managing four assets - our 100% holding in TalkTalk Group, the Meanwhile, the two businesses are 50% stake in Best Buy Europe, the already effectively run as separate 48.5% stake in Virgin Mobile France, entities, with a very limited shared central and the Group's freehold properties...

  • Page 13
    ... network in the UK. â-ª Best Buy Europe Nearly 2,500 stores across nine European markets. â-ª Strong supplier relationships and access to exclusive product. â-ª Virgin Mobile France 1.1m mobile customers. Widest MVNO distribution in France. â-ª Relationship with Orange. â-ª â-ª Freehold property...

  • Page 14
    ... broadband net adds, before 93,000 AOL base clean-up, taking the total base to 2.8m Broadband monthly ARPU up 3% to £22.65 Major improvements in customer service, resulting in reduced churn and much more positive customer perception â-ª TalkTalk Group TalkTalk Group is our UK fixed line telecoms...

  • Page 15
    ... 2.7 The TalkTalk Group is clearly positioned as the best value provider in the UK residential broadband market. We do not believe that low cost should equate to low service, so we are absolutely focused on maintaining and improving our network quality, developing innovative products and delivering...

  • Page 16
    ...-leader for other products Regulation may curb our access to fibre infrastructure at fair prices, thus preventing us from delivering higher speeds to customers Network or customer service may deteriorate, increasing our churn rate â-ª â-ª 12 The Carphone Warehouse Group PLC Annual Report 2009

  • Page 17
    ...term - typically 18 months. We are now expensing SAC as incurred, bringing our policy in line with the majority of other telecoms companies and more closely aligning our profit and loss performance with our cash flow. Cash ï¬,ow 2009 £m 2008 £m Headline EBITDA Working capital Capex Operating free...

  • Page 18
    ...be able to access and a renewed strategic focus. EBITDA that infrastructure at fair rates margins in both businesses are expected determined by natural market forces. to be flat to slightly up, driven by operating efficiency and scale benefits. 14 The Carphone Warehouse Group PLC Annual Report 2009

  • Page 19
    ...from Best Buy Mobile, a year ahead of plan â-ª â-ª â-ª Operational Highlights â-ª Roll-out of laptop proposition to all UK stores and the majority of European stores Directors' Report - Business Review Estimated 5% UK laptop share from a standing start Strong growth in handset market share Very...

  • Page 20
    ... the nine markets in which Best Buy Europe operates. 15.4 10.9 7.6 5.4 Laptop sales and penetration The laptop market is set for continued strong unit growth as prices fall, hardware becomes subsidised with mobile broadband, and smaller, "netbook" type products proliferate. The market in Western...

  • Page 21
    ...profitability fell year-on-year, we made significant progress in the development of the business and are well positioned in terms of market share, product diversification, an efficient cost base and the strength of our relationships with both vendors and mobile network partners. Pre-pay connections...

  • Page 22
    ... stores, and also from the development of a combined insurance and Geek Squad assurance policy, giving customers not only protection against loss, but also access to technology assistance from the Geek Squad. Cash ï¬,ow (100% basis) 2009 £m 2008 £m Headline EBITDA Working capital Capex Operating...

  • Page 23
    ...in line with the figure we indicated in October 2008. This primarily reflects the costs of the team, research and consultancy fees and the pre-opening rents on the new stores. Best Buy Mobile is set to grow profits strongly in the coming year, enjoying a full year's trading out of all Big Box stores...

  • Page 24
    ... report. Roger Taylor, Chief Financial Officer Joint ventures and associates Alongside the results of Best Buy Europe since the transaction with Best Buy, the Group's share of results of joint ventures and associates in the income statement includes our share of post-tax losses from Virgin Mobile...

  • Page 25
    ... committed bank acquisition of 24m Group shares into our facilities are a £550m revolving credit Employee Benefit Trust earlier in the year facility ("RCF"), which is used for working to avoid future dilution from the exercise capital purposes, and a £375m term loan. of share options, at a cost of...

  • Page 26
    ... committed banking facilities and that these facilities do not start to mature until 2012. Return on capital employed Total shareholders' funds at March 2009 were £1,116m, compared to £651m at March 2008. After taking into account average net debt, excluding debt used to fund Best Buy Europe, and...

  • Page 27
    ... ability to continue trading. Mitigation Banking facilities currently provide substantial headroom, and do not start to mature until 2012, providing significant time before refinancing is necessary. Directors' Report - Business Review Competitive environment Loss of market share and erosion of...

  • Page 28
    ... Our two businesses each have their own partner charity. Best Buy Europe supports Get Connected, and TalkTalk Group supports TreeHouse. We have chosen to back two small charities that both relate to communication, so we can help them not only with fundraising, but also with the more practical and...

  • Page 29
    ... half of teachers polled had not received training to help them support children with autism. TalkTalk Group helped to fund the development of the website and was closely involved in the launch, helping to generate significant coverage in the national and educational press. The Carphone Warehouse...

  • Page 30
    ... with relevant products and in stores. Environmental initiatives New environmental initiatives over the last year include: â-ª Journey Share: after introducing the scheme in December 2007, we now have over 500 members sharing lifts to work; 26 The Carphone Warehouse Group PLC Annual Report 2009

  • Page 31
    ... in February 2008, 75% of employees were engaged. After manager training and work amongst the majority of teams the engagement figure for the group measured 81% in February 2009. Measurement and improvement programmes continue throughout the year with a view to further increasing our performance in...

  • Page 32
    ..., financial reporting and procedures. He also manages the Group's investor relations and corporate finance function and is responsible for corporate development and strategic initiatives. He is also a Director of Best Buy Europe Distributions Limited, the Group's joint venture with Best Buy. John...

  • Page 33
    ..., treasury and risk management policies. Strategic and policy issues are reviewed annually at a combined Board and senior executive strategy day. Performance evaluation During the period the balance of skills, knowledge and experience of the Directors was reviewed. The Board, and each individual...

  • Page 34
    .... During the year, all the requirements of the Code in respect of the Committee were met. The work undertaken by the Committee is described within the following sections of this Report. â-ª review the Company's internal financial controls and its internal control and risk management systems and to...

  • Page 35
    ... the Company to identify, assess and mitigate business, financial, operational and compliance risks. The Board views management of risk as integral to good business practice. The programme is designed to support management's decision making and to improve the reliability of business performance. The...

  • Page 36
    ... refined as periodic reports on investors' views necessary to meet changes in the of the performance of the Company. Group's business and associated risks. All the Non-Executive Directors and, The systems of internal control are in particular, the Chairman and Senior designed to manage rather than...

  • Page 37
    ... incentive plan for Executive Directors measured against a 10% to 30% increase in the total market capitalisation of the Company between June 2009 and December 2010, with a maximum payment capped at 250% of annual salary. The share price for the start of the plan will be the average closing price of...

  • Page 38
    ...performance targets are set out in the No options were granted to Executive share tables later in the Report. Directors in the period ended 31 March 2009. A UK savings-related share option No awards were made to Executive scheme is open to all eligible Group Directors during the year ended employees...

  • Page 39
    ... a member of a defined benefit pension scheme during the period. Pension entitlements are based on basic salary only. Director 2009 £000 2008 £000 J Dale D Goldie(i) A Harrison(i) R Taylor Total (i) Up until date of resignation from the Board. - 22 4 19 45 4 55 11 18 88 Share Options* Details...

  • Page 40
    ...' Report - Governance Remuneration Report - continued Performance Shares* Details of Executive Directors' conditional right to receive nil priced options in the Company are shown in the following table: Granted during the period Exercised during the period Lapsed during the period At 31 March 2009...

  • Page 41
    ... a three-month notice period with no compensation for loss of office. The Company has no age limit for Directors. The dates of each contract are set out below. Directors' Interests in Shares and Dates of Service Contracts Ordinary shares of 0.1p Director 31 March 2009 29 March 2008 Date of contract...

  • Page 42
    ... 07 Jul 07 Nov 07 Mar 08 Jul 08 Nov 08 Mar 09 Carphone Warehouse Group PLC FTSE 100 Index Carphone Warehouse Group PLC FTSE 100 Index This report was approved by the Board on 4 June 2009. Sir Brian Pitman Chairman, Remuneration Committee 38 The Carphone Warehouse Group PLC Annual Report 2009

  • Page 43
    ... in property, plant and equipment are set out in note 14 to the financial statements. In the opinion of the Directors the current open market value of the Group's interests in freehold land and buildings exceeds the book value by £7m at 31 March 2009 (2008: £21m). It is expected that any capital...

  • Page 44
    ...each financial period. The Directors are required a true and fair view of the state of affairs of the Company. by the International Accounting Standard ("IAS") Regulation In preparing these financial statements, the Directors are to prepare the Group financial statements under International required...

  • Page 45
    ... accounting policies set out therein. We have also audited the information in the Directors' Remuneration Report that is described as having been audited. We have reported separately on the individual Company financial statements of The Carphone Warehouse Group PLC for the year ended 31 March 2009...

  • Page 46
    ... operations (see note 5) and to reflect a change in the Group's accounting policy for subscriber acquisition costs (see note 1c). A reconciliation of restated results to the financial statements previously published is provided in note 33. 42 The Carphone Warehouse Group PLC Annual Report 2009

  • Page 47
    ...reserves Net change in available-for-sale investments Total recognised income and expense for the year Issue of share capital Net purchase of own shares Net cost of share-based payments Equity dividends At the end of the year The accompanying notes are an integral part of this consolidated statement...

  • Page 48
    ...,25 25 25 25 1 476 (51) 690 1,116 1 476 (66) 240 651 The financial statements on pages 42 to 85 were approved by the Board on 4 June 2009 and signed on its behalf by: C W Dunstone Chief Executive Officer R W Taylor Chief Financial Officer 44 The Carphone Warehouse Group PLC Annual Report 2009

  • Page 49
    ... Share-based payments Non-cash movements on joint ventures and associates Depreciation Amortisation Impairment of non-current asset investments Loss on disposal of property, plant and equipment Operating cash ï¬,ows before movements in working capital Decrease in trade and other receivables Increase...

  • Page 50
    ... current period by marking to market the relevant financial instruments at the balance sheet date and recognising the gain or loss in reserves in respect of cash flow hedges, and through the income statement in respect of fair value hedges. Financial instruments are also used for the purposes of net...

  • Page 51
    ... the sales to which the commission relates are made, net of any provision for promotional offers and network operator performance penalties. Commission includes the Group's share of customer airtime spend, to the extent that it can be reliably measured and there are no ongoing service obligations...

  • Page 52
    ...suppliers (see note 1e), includes all direct costs incurred in bringing stock to its present location and condition and represents finished goods and goods for resale. Net realisable value is based on estimated selling price, less further costs 48 The Carphone Warehouse Group PLC Annual Report 2009

  • Page 53
    ... been undertaken at the balance sheet date. Provisions are not recognised in respect of future operating losses. Sales: Sales provisions relate to "cash-back" and similar promotions, product warranties, product returns, and network operator performance penalties. The anticipated costs of these items...

  • Page 54
    ...- continued 1 Accounting policies - continued v) Use of critical accounting estimates and assumptions - continued Sales provisions are based on historical patterns: of redemption for promotions, product return rates for returns and warranties, and penalty rates from network operators. The Group has...

  • Page 55
    ... reporting Continuing operations are analysed as follows: 2009 TalkTalk Group £m Best Buy Europe £m Virgin Mobile France £m PLC costs £m Group £m Revenue 1,385 Headline EBITDA 181 Depreciation (41) Amortisation of operating intangibles (16) Share of results of joint ventures and associates...

  • Page 56
    ... retail and distribution business are reflected in the income statement, net of interest and taxation, within discontinued operations. After the transaction, the Group's share of its results are reflected within joint ventures and associates as part of continuing operations, as Best Buy Europe. The...

  • Page 57
    ...: 2009 TalkTalk Group £m Best Buy Europe £m Virgin Mobile France £m Unallocated £m Group £m Assets Liabilities Net assets Capital expenditure 2008 (restated) 961 (299) 662 106 757 - 757 23 6 - 6 - 174 (483) (309) 1 1,898 (782) 1,116 130 TalkTalk Group £m Best Buy Europe £m Virgin...

  • Page 58
    ...of which during the year was the transaction with Best Buy (see note 4). Other services also relate primarily to the transaction with Best Buy. The Group's share of audit fees for Best Buy Europe and Virgin Mobile France was £0.6m in the year. 54 The Carphone Warehouse Group PLC Annual Report 2009

  • Page 59
    ...share £m Note Income statement presentation Part-disposal of retail and distribution business Net gain on disposal Indirect costs of the transaction Other costs arising from the transaction Reorganisation costs Divisionalisation costs AOL integration TalkTalk Group reorganisation Best Buy Europe...

  • Page 60
    ... costs arising indirectly from the transaction principally comprise £3m in relation to the accelerated vesting of a retail share option scheme that was of no value to option-holders, and £3m arising on the write-down of unamortised bank facility fees. 56 The Carphone Warehouse Group PLC Annual...

  • Page 61
    ... for the prior year as presented in the income statement, are provided in note 2. 6 Employee costs The average number of employees (including Executive Directors) for continuing operations was: Financial Statements 2009 Number 2008 Number Administration Sales and customer management 1,693 2,362...

  • Page 62
    ... and network equipment. Compensation earned by the Key Management of continuing operations, comprising the Group Board and operating directors, and the TalkTalk Group Executive Board, was as follows: 2009 £m 2008 £m Salaries and fees Performance bonuses Benefits Pension costs Share-based payments...

  • Page 63
    ...-based payments to certain employees, through the following schemes: a) Performance Share Plan: The Group has a Performance Share Plan ("PSP") which uses share options to provide long-term incentives to senior management. Awards made under the PSP in the years ended 31 March 2007 and 29 March 2008...

  • Page 64
    ...to UK employees at the time of the Group's admission to the London Stock Exchange. Market priced options were also granted during the current year to certain senior employees within the Group and Best Buy Europe. These awards are subject to internal performance conditions, principally in relation to...

  • Page 65
    ... 2009 were 4m options (2008: 4m) held by employees of discontinued operations, of which none (2008: none) were exercisable at the end of the year. f) Fair value models: Nil cost options with internal performance targets were valued using the market price of a share at the date of grant, discounted...

  • Page 66
    ...profits or losses before share of results of joint ventures and associates of 17% (2008: 50%). The tax credit relating to statutory earnings for the year is £31m (2008: £22m). The principal differences between the tax credit shown above and the amount calculated by applying the standard rate of UK...

  • Page 67
    ... during the year are as follows: Share-based payments £m Timing differences on capitalised costs £m Other timing differences £m Tax losses £m Total £m Opening balance (restated) Credit (charge) to the income statement Charge to reserves Disposal of subsidiaries Closing balance 23 (2) (16...

  • Page 68
    ..., depreciation, amortisation and goodwill expense. EBIT represents earnings before interest and taxation. Headline information is provided because the Directors consider that it provides assistance in understanding underlying performance. 64 The Carphone Warehouse Group PLC Annual Report 2009

  • Page 69
    ...Discontinued operations Total 114 (2) 112 (1) 138 137 (41) 591 550 (64) 137 73 2008 Number of shares million 2009 Number of shares million Weighted average number of shares: Average shares in issue Less average holding by Group ESOT For basic earnings per share Dilutive effect of share options...

  • Page 70
    ... rates and expected changes to selling prices and direct costs during the period, all of which are based on historical patterns and expectations of future market developments. Management estimates discount rates using pre-tax rates that reflect current market assessments of the time value of money...

  • Page 71
    ... and licences £m Key money £m Acquisition intangibles £m Total other intangibles £m Opening balance Acquisition of subsidiaries Additions Disposals Amortisation Foreign exchange Closing balance At 29 March 2008 Cost (gross carrying amount) Accumulated amortisation Net carrying amount 115 - 85...

  • Page 72
    ... assets. Other acquisition intangibles primarily represent a licence to continue to use the AOL brand for a limited time period, valued using the relief from royalty method. 14 Property, plant and equipment 2009 Freehold land and buildings £m Short leasehold costs £m Network equipment and computer...

  • Page 73
    ... investments Additions Changes in fair value Closing balance 5 - 1 (5) 1 15 (8) - (2) 5 Non-current asset investments at 31 March 2009 and additions in the year relate to a 15% stake in Shared Band Limited, a telecommunications technology provider. The Group's interest in Frontiers Capital II...

  • Page 74
    ... in joint ventures and associates are as follows: Business Principal activities 2009 interest 2008 interest Best Buy Europe Virgin Mobile France Geek Squad UK The Phone House Services Telecoms SAS Retail, distribution, insurance, MVNO MVNO Home technology support services Facilities management 50...

  • Page 75
    ...ventures and associates are as follows: 2009 Best Buy Europe £m Virgin Mobile France £m Other* £m Total £m Virgin Mobile France £m Other* £m 2008 Total £m Results of joint ventures and associates Revenue Expenses Profit (loss) before taxation Taxation Profit (loss) after taxation Group share...

  • Page 76
    ... the period, adjusted to take account of the timing of acquisitions, was 33 days (2008: 61 days). Included within trade receivable at 29 March 2008 were £21m of receivables that fell due after more than one year. Trade and other receivables are discounted where the time value of money is considered...

  • Page 77
    ...a proportion of the amounts invoiced by suppliers in the period, adjusted to take account of the timing of acquisitions, was 21 days (2008: 48 days). The Directors consider that the carrying amount of trade and other payables approximates to their fair value. www.cpwplc.com 73 Financial Statements

  • Page 78
    ... facilities at 31 March 2009 are the undrawn portion of the £550m RCF maturing in 2013. Loans to joint ventures: The Group provides loan facilities to Best Buy Europe and Virgin Mobile France. The terms of these loans are set out in note 16. 74 The Carphone Warehouse Group PLC Annual Report 2009

  • Page 79
    ... currency of the Group's brand company detailed notes 4 and 22 and the disposal of the Group's South African subsidiary. Prior to the disposal of Best Buy Europe, the Group also had subsidiaries that prepared accounts in Swiss Francs and Swedish Krona. 22 Financial risk management and derivative...

  • Page 80
    ... cover costs of sales and operating expenses. At 31 March 2009, the total notional principal amount of outstanding currency contracts was £344m (2008: £333m). Within this balance, £17m (2008: £31m) is held in relation to cash flow hedges, for which the associated fair value gains and losses will...

  • Page 81
    ... arising from these financial instruments depend on interest periods agreed at the time of rollover. Group policy permits the use of long-term interest rate derivatives in managing the risks associated with movements in interest rates although the Group holds none of these products at present. Since...

  • Page 82
    ... relate to "cash-back" and similar promotions, product warranties, product returns, and network operator performance penalties. Sales provisions relate to the retail and distribution business which was part-disposed during the year. Other: Other provisions relate principally to the anticipated costs...

  • Page 83
    ... (2008: 7m) in the Company for the benefit of the Group's employees. The ESOT has waived its rights to receive dividends and none of its shares has been allocated to specific schemes. At 31 March 2009 the shares had a market value of £28m (2008: £19m). www.cpwplc.com 79 Financial Statements

  • Page 84
    ... Current asset investments Net debt Movements on loans to Best Buy Europe in the period since 30 June 2008 include exchange movements of £48m on non-Sterling loans. These exchange movements are also reflected in the Group borrowings that were used to fund them. 27 Commitments under operating...

  • Page 85
    ... issue within the financial statements. 31 Related party transactions During the year, the Group had the following disclosable transactions with its joint ventures and associates (see note 16): 2009 Best Buy Europe £m Virgin Mobile France £m Geek Squad UK £m The Phone House Services Telecoms SAS...

  • Page 86
    ... £m Income statement for the year ended 29 March 2008 Continuing operations Revenue* Cost of sales Gross profit Operating expenses excluding amortisation and depreciation EBITDA Depreciation Amortisation and goodwill expense Share of results of joint ventures and associates Profit (loss) before...

  • Page 87
    ...£m Change in accounting policy (see note 1) £m Restated £m Balance sheet as at 29 March 2008 Other intangible assets Interests in joint ventures and associates Deferred tax assets Other non-current assets Non-current assets Current assets Total assets Total liabilities Net assets Share capital...

  • Page 88
    ...Share-based payments Non-cash movements on joint ventures and associates Depreciation Amortisation and goodwill expense (Profit) loss on disposal of property, plant and equipment, investments and intangible assets Operating cash ï¬,ows before movements in working capital (Increase) decrease in trade...

  • Page 89
    ...of PLC costs Change in accounting policy As restated Best Buy Europe Previously reported Business transfers Reallocation of PLC costs Change in accounting policy As restated PLC costs Previously reported Reallocation of PLC costs As restated Joint ventures and associates Previously reported Business...

  • Page 90
    ...2009 £m Restated 2008 £m Restated 2007 £m Restated 2006 £m Restated 2005 £m Headline results Revenue* Net profit for the year Net assets employed Non-current assets Net current (liabilities) assets before provisions Provisions Non-current liabilities Net assets Headline earnings per share...

  • Page 91
    ... Report to the members of The Carphone Warehouse Group PLC ("the Company") We have audited the Company financial statements for the year ended 31 March 2009 which comprise the balance sheet and the related notes 1 to 14. These financial statements have been prepared under the accounting policies set...

  • Page 92
    Company Balance Sheet As at 31 March 2009 Notes 31 March 2009 £m 29 March 2008 £m Non-current assets Investments Loans to joint ventures and associates Current assets Current asset investments Trade and other receivables Trade and other payables: amounts falling due within one year Net current...

  • Page 93
    .... The profit recognised for the year was £1,607m (2008: £15m). For schemes with internal performance criteria, the number of Audit fees for the audit of the Company financial statements options expected to vest is recalculated at each balance sheet are £10,000 (2008: £10,000). date, based...

  • Page 94
    ... by way of share-based payments in accordance with UITF 44 'FRS 20 - Group and Treasury Share Transactions'. Details of the Company's investments in material subsidiary undertakings are provided in note 15 to the Group's financial statements. 90 The Carphone Warehouse Group PLC Annual Report 2009

  • Page 95
    ... income 2009 £m 1,235 3 1 1,239 1,652 1 3 1,656 Loans to joint ventures and associates are repayable in more than one year. Amounts owed by Group undertakings are repayable within 12 months of the balance sheet date. 7 Trade and other payables: amounts falling due within one year 2009 £m 2008...

  • Page 96
    ... Company has provided the following loans to joint ventures and associates: Loans outstanding 31 March 2009 £m 29 March 2008 £m Interest charged 2009 £m 2008 £m Best Buy Europe Virgin Mobile France Geek Squad UK 293 22 - - 12 5 12 1 - - 1 - 92 The Carphone Warehouse Group PLC Annual Report...

  • Page 97
    Financial Calendar Results announcement Ex-dividend date Record date Dividend payment date Interim results announcement 5 June 2009 8 July 2009 10 July 2009 7 August 2009 19 November 2009 Designed and produced by salterbaxter Printed by CTD This Report is printed on material that is FSC certified...

  • Page 98
    The Carphone Warehouse Group PLC 1 Portal Way London W3 6RS Tel +44 (0)20 8896 5000 Fax +44 (0)20 8753 8009 Email [email protected] Registered no. 3253714 www.cpwplc.com