Marks and Spencer 2012 Annual Report Download - page 85

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Financial statements Marks and Spencer Group plc Annual report and financial statements 2012 83
Overview Strategic review Financial review Governance Financial statements and other information
3 Expense analysis
2012 2011
Underlying
£m
Adjustments
£m
Total
£m
Underlying
£m
Adjustments
£m
Total
£m
Revenue 9,934.3 – 9,934.3 9,740.3 – 9,740.3
Cost of sales (6,179.1) – (6,179.1) (6,015.6) – (6,015.6)
Gross profit 3,755.2 – 3,755.2 3,724.7 – 3,724.7
Selling and administrative expenses (3,021.9) – (3,021.9) (2,959.7) – (2,959.7)
Other operating income 76.7 – 76.7 59.9 – 59.9
Non-GAAP adjustments to underlying profit
(see note 5) – (63.5) (63.5) – 12.0 12.0
Operating profit 810.0 (63.5) 746.5 824.9 12.0 836.9
The selling and administrative expenses are further analysed below:
2012
£m
2011
£m
Employee costs (see note 10A) 1,253.5 1,264.2
Occupancy costs 637.9 585.3
Repairs, renewals and maintenance of property 101.4 101.8
Depreciation, amortisation and asset write-offs 479.7 467.5
Other costs 549.4 540.9
Selling and administrative expenses 3,021.9 2,959.7
4 Profit before taxation
The following items have been included in arriving at profit before taxation:
2012
£m
2011
£m
Net foreign exchange losses/(gains) 0.1 (3.0)
Cost of inventories recognised as an expense 6,127.0 5,781.8
Depreciation of property, plant, and equipment
– owned assets 393.5 403.3
– under finance leases 11.3 13.2
Amortisation of intangible assets 65.3 51.0
Profit on property disposals – (2.9)
Operating lease rentals payable
– property 278.7 247.6
– fixtures, fittings and equipment 7.8 8.7
Included in administrative expenses is the auditors’ remuneration, including expenses for audit and non-audit services, payable
to the Company’s auditors PricewaterhouseCoopers LLP and its associates as follows:
2012
£m
2011
£m
Annual audit of the Company and the consolidated financial statements 0.6 0.6
Audit of subsidiary companies 1.0 1.0
Other services pursuant to legislation 0.3 0.1
Tax services 0.4 0.6
Other services 0.1 0.1
2.4 2.4