ar11-lr-final

Annual 5 Year Summary
Annual 5 Year Summary – continued
(52 WEEKS) (52 WEEKS) (53 WEEKS) (52 WEEKS) (52 WEEKS)
2011 2010 2009 2008 2007
$000 $000 $000 $000 $000
SUMMARY INCOME STATEMENTS
The Warehouse 1,462,912 1,476,219 1,531,114 1,533,625 1,546,238
Warehouse Stationery 201,453 193,599 187,167 199,471 213,538
Other Group operations 8,320 8,107 8,419 7,611 8,913
Inter-segment eliminations (4,908) (5,230) (5,945) (5,677) (7,303)
Revenue 1,667,777 1,672,695 1,720,755 1,735,030 1,761,386
The Warehouse 98,777 112,664 120,238 112,744 136,609
Warehouse Stationery 10,103 8,044 1,596 5,070 9,394
Other Group operations 5,256 3,341 3,118 3,326 3,276
Operating profit 114,136 124,049 124,952 121,140 149,279
Equity earnings of associate 3,575 2,808 3,220 3,037 3,162
Gain/(loss) on disposal of property 1,470 – 315 1,176 (542)
Release of warranty provisions – – – 7,208 5,939
Changes in fair value of financial instruments 194 (282) (1,698) 2,126 167
Gain/(loss) on disposal of business operations – – (10,661) – 17,432
Earnings before interest and tax 119,375 126,575 116,128 134,687 175,437
Net interest expense (9,845) (7,409) (6,837) (6,394) (6,467)
Profit before tax 109,530 119,166 109,291 128,293 168,970
Income tax expense (31,385) (58,626) (32,295) (37,350) (53,834)
Profit after tax 78,145 60,540 76,996 90,943 115,136
Minority interests (316) (355) (214) (174) (302)
Profit attributable to shareholders 77,829 60,185 76,782 90,769 114,834
ADJUSTED PROFIT RECONCILIATION
Unusual items (detailed above) (1,664) 282 12,044 (10,510) (22,996)
Income tax relating to unusual items (138) 22,951 (3,613) 638 5,629
Adjusted net profit 76,027 83,418 85,213 80,897 97,467
THE WAREHOUSE
Operating margin (%) 6.8 7.6 7.9 7.4 8.8
Same store sales growth (%) (0.9) (2.2) (0.4) (1.2) 2.0
Number of stores 88 87 86 85 85
Store footprint (square metres) 476,115 470,156 467,596 465,530 455,361
WAREHOUSE STATIONERY
Operating margin (%) 5.0 4.2 0.9 2.5 4.4
Same store sales growth (%) 4.6 7.8 (7.1) (4.5) 2.2
Number of stores 51 47 46 43 43
Store footprint (square metres) 58,307 56,101 56,388 56,532 58,165
DIVIDEND DISTRIBUTIONS
Interim (cents per share) 15.5 15.5 15.5 15.5 12.0
Final (cents per share) 6.5 8.5 5.5 5.5 5.5
Ordinary dividends declared (cents per share) 22.0 24.0 21.0 21.0 17.5
Special dividends declared (cents per share) – 6.5 10.0 – 35.0
2011 2010 2009 2008 2007
$000 $000 $000 $000 $000
SUMMARY BALANCE SHEETS
Inventories 262,663 254,606 257,943 275,581 254,770
Trade and other receivables 25,791 19,021 24,466 26,599 25,530
Creditors and provisions (177,781) (174,341) (197,519) (163,281) (160,632)
Working capital 110,673 99,286 84,890 138,899 119,668
Fixed assets 316,098 293,385 280,680 294,507 305,154
Investments 7,585 5,921 7,376 7,191 8,908
Funds employed 434,356 398,592 372,946 440,597 433,730
Taxation (liabilities)/assets (3,370) (16,947) 25,401 26,550 23,529
Derivative financial instruments (33,333) (5,982) (29,955) 7,117 (14,080)
Capital employed 397,653 375,663 368,392 474,264 443,179
Net debt 126,113 72,417 47,248 139,608 42,996
Equity attributable to shareholders 271,215 302,906 320,893 334,465 399,888
Minority interest 325 340 251 191 295
Sources of funds 397,653 375,663 368,392 474,264 443,179
SUMMARY CASH FLOW
Operating profit 114,136 124,049 124,952 121,140 149,279
Depreciation and amortisation 39,772 40,937 41,840 39,634 35,409
Trading EBITDA 153,908 164,986 166,792 160,774 184,688
Change in trade working capital (13,474) (10,864) 50,329 (11,658) (32,299)
Income tax paid (36,235) (22,181) (19,108) (40,427) (17,537)
Net interest paid (9,937) (7,023) (7,743) (9,273) (8,046)
Share based payment expense 1,640 2,609 2,600 2,720 2,219
Loss on sale of plant and equipment 1,008 1,624 1,589 422 537
Operating cash flow 96,910 129,151 194,459 102,558 129,562
Capital expenditure (65,896) (57,280) (37,103) (45,694) (60,505)
Proceeds from divestments 5,567 401 1,489 17,179 40,460
Dividend from associate 1,911 4,263 3,035 4,754 –
Dividends paid (91,194) (101,543) (65,580) (176,327) (55,368)
Employee share schemes (449) 82 (3,940) 963 18,277
Other items (545) (243) – (45) –
Net cash flow (53,696) (25,169) 92,360 (96,612) 72,426
Opening debt (72,417) (47,248) (139,608) (42,996) (115,422)
Closing debt (126,113) (72,417) (47,248) (139,608) (42,996)
FINANCIAL RATIOS
Operating margin (%) 6.8 7.4 7.3 7.0 8.5
Trading EBITDA margin (%) 9.2 9.9 9.7 9.3 10.5
Interest cover (times) 12.1 17.1 17.0 21.1 27.1
Fixed charge cover (times) 3.1 3.4 3.2 3.6 4.3
Net debt/EBITDA (times) 0.8 0.4 0.3 0.8 0.2
Net debt/net debt plus equity (%) 31.7 19.3 12.8 29.4 9.7
Return on funds employed (%) 28.3 32.9 31.5 28.4 35.4
Capex/depreciation (times) 1.7 1.4 0.9 1.2 1.7
Cash conversion ratio (%) 85.3 107.3 155.4 89.0 97.5
Ordinary dividend payout ratio (%) 90.1 89.5 76.7 80.8 55.8
Basic earnings per share (cents) 25.1 19.5 24.9 29.4 37.5
Basic adjusted earnings per share (cents) 24.6 27.0 27.6 26.2 31.8
ANNUAL 5 YEAR SUMMARY 76 ANNUAL 5 YEAR SUMMARY 77