The full report (PDF, 448 kB) - Securitas

Primary segments and divisional overview
The Divisional Overview shows 2004 according to IFRS and adjusted for the structural changes as described on page 3.
For comparatives for 2004 according to Swedish GAAP, please refer to the published Annual Report for 2004 pages 104-105.
Notes
Security Services
USA
Security Services
Europe
1) The calculation of organic sales growth is specified in the table Specification of
currency changes, Group on page 17.
2) The impact of the transition to IAS 39 and its impact on the opening balance for
shareholders equity, the statement of income and balance sheet can be found on
page 16.
3) Cash flow from operational activities is unchanged under IFRS compared
to under Swedish GAAP. However due to the reclassification of amortization
previously included in operating income before amortization of goodwill, operating
income before amortization has increased with MSEK 8.0 for January – March
2004 under IFRS and with MSEK 32.1 for January – December 2004 under IFRS.
This impact is offset by a reduction in the depreciation that is added back in the
cash flow with MSEK - 8.0 for January – March 2004 under IFRS and with MSEK
– 32.1 for January – December 2004 under IFRS.
4) Free cash flow as a percent of operating income before amortization less current
taxes and net financial items (adjusted income).
5) Free cash flow (rolling 12 months) in relation to closing net debt.
6) The change in accounting principles for January – March 2005 is the result
of the adoption of IAS 39. For further information please refer to page 16. The
change in accounting principles for previous periods have been described in
previous interim reports for all periods accounted for under Swedish GAAP. For
previous periods accounted for under IFRS, please refer to pages 99-115 of the
published Annual Report for 2004.
Security
Systems Direct
15
Cash Handling
Services
7) Change in loans includes the change in securitization for all periods accounted
for under IFRS. Revaluation of financial instruments has no cash flow impact and
is thus shown as a separate item in the specification to the change in net debt.
Translation differences include translation on the securitization for all periods
accounted for under IFRS.
8) Adjusted for the full year sales of acquired entities.
Other and
Eliminations Group
MSEK 2005 2004 2005 2004 2005 2004 2005 2004 2005 2004 2005 2004 2005 2004
Sales, external 4,774 5,073 5,915 5,622 1,148 889 621 495 2,737 2,374 - - 15,195 14,453
Sales, intra-group - - 53 49 110 93 2 2 3 2 -168 -146 - -
Total sales 4,774 5,073 5,968 5,671 1,258 982 623 497 2,740 2,376 -168 -146 15,195 14,453
Organic sales growth, % 0 0 5 3 5 3 25 27 3 2 - - 4 2
Operating income before
amortization 217 249 449 415 116 104 55 42 162 123 -62 -48 937 885
Operating margin, % 4.5 4.9 7.5 7.3 9.2 10.6 8.8 8.5 5.9 5.2 - - 6.2 6.1
Amortization of acquisition
related intangible fi xed assets -8 -9 -10 -4 -4 0 -2 -4 -6 -7 - - -30 -24
Acquisition related
restructuring costs
- -3 - - -4 - - - - - - - -4 -3
Operating income after
amortization
209 237 439 411 108 104 53 38 156 116 -62 -48 903 858
Operating capital employed 1,016 1,158 1,610 1,568 588 442 929 742 2,991 2,757 523 426 7,657 7,093
Operating capital
employed as % of sales1) 5 6 7 7 10 10 33 28 26 28 - - 12 12
Goodwill 6,225 6,756 5,406 5,061 2,050 776 35 22 2,691 2,630 - - 16,407 15,245
Acquisition related
intangible fi xed assets
38 73 194 107 223 3 62 19 66 93 - - 583 295
Capital employed 7,279 7,987 7,210 6,736 2,861 1,221 1,026 783 5,748 5,480 523 426 24,647 22,633
Return on capital
employed,% 2)
13 14 26 26 20 35 21 24 13 9 - - 17 16
1) Adjusted for the full year sales of acquired entities.
2) Return on capital employed is based on 12 months rolling operating income, which for the first quarter 2004 is not adjusted to IFRS since the three quarters of 2003
that impacts this calculation have not been restated to IFRS. The impact on operating income before amortization in 2003 is not deemed to be significant.
9) The key ratios for return on operating capital employed and return on capital
employed are for the first quarter 2004 based on rolling 12 months operating
income, which is not fully adjusted to IFRS since 2003 has not been restated for
IFRS. The impact on operating income before amortization in 2003 is not deemed
to be significant.
10) Operating income before amortization (rolling 12 months) as percent of
closing balance capital employed (excluding shares in associated companies).