DHL 2003 Annual Report Download - page 79
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Business Developments
The “Postbank at equity” scenario allows an analysis of the key figures relating
to debt. We report the following key figures in this context.
In the year under review, we expanded the net debt indicator. It now includes
cash equivalents in addition to financial liabilities minus securities and cash. The prior-
period amounts were restated accordingly. On balance, net debt in the “Postbank at
equity” scenario rose to €2,044 million in 2003 (previous year: €1,494 million), and net
gearing rose to 25.1% (previous year: 22.7%). Adjusted for the repayment of Euro-
pean Union state aid of €907 million (including interest), net debt did not increase
year-on-year. We were therefore able to finance all investments and acquisitions in the
year under review from operating cash flow. Adjusted for discounted minimum lease
payments (see also item 48 of the Notes), net debt in the “Postbank at equity” scenario
(restated) increased, rising by 11.4% to €5,928 million (previous year: €5,323 million).
The net interest cover indicator compares the operating income (EBIT) available
to cover financial liabilities with the balance of interest payments and interest received.
As of December 31, 2003, operating income in the “Postbank at equity” scenario corres-
ponded to 18 times net interest payment liabilities (previous year: 7 times).
The “Postbank at equity” scenario is also suitable for measuring financial strength.
The current ratio rose to 126.8% (previous year: 118.0%). This indicator
compares current assets with current liabilities and represents an assessment at the
balance sheet date. It is an indicator of the volume of cash resources available to
cover current liabilities. Its development is a reflection of the Company’s significant
short-term financial strength.
As of December 31, 2003, we had bank credit lines of around €3.9 billion at
our disposal. Together with the existing cash reserves, the Group has sufficient funds
to finance the further expansion of business operations.
We explain financial strength and the cash flow statement in detail in item 44
of the Notes.
Management Report
in €m
Jan.1– Dec. 31, Jan.1– Dec. 31,
2002 2003
Change in cash and cash equivalents 1,428 311
Net profit before changes in working capital 2,209 2,811
Net cash from operating activities 3,220 2,491
Net cash used in investing activities –1,845 –1,887
Net cash used in (from) financing activities 72 –244
Selected indicators for Deutsche Post World Net (Postbank at equity) financial position