- Financial Statements
Additional Pro Forma Unaudited Financial Information
Basis of preparation
The Group completed the merger with George Wimpey plc on 3 July 2007. The statutory results of the Group for the year to 31 December 2007 therefore exclude the first six months trading of the former George Wimpey plc businesses.
To assist investors in understanding the performance of the combined Taylor Wimpey plc Group, a summary pro forma income statement has been prepared by aggregating the underlying financial information for the year to 31 December 2007 of the former Taylor Woodrow plc ('TW') and the former George Wimpey Plc ('GW'), to illustrate the effect of the merger of TW and GW as if the transaction had taken place on 1 January 2006. The results from the two legacy businesses have been prepared on the basis of their historic accounting policies as published in the 2006 financial statements of the two Groups. In aggregating the two sets of financial information, intra-Group trading between the two entities has not been eliminated and fair value adjustments arising from the acquisition accounting have been excluded. This information has not been audited.
Pro Forma Unaudited Combined Group Summary Income Statement
for year to 31 December 2007
| Pro forma Combined before exceptional items |
||
| Year to 31 December 2007 £m |
Year to 31 December 2006 £m |
|
| Consolidated Revenue | 5,887.5 | 6,719.5 |
| Cost of sales | (4,899.7) | (5,514.6) |
| Gross profit | 987.8 | 1,204.9 |
| Net operating expenses | (347.8) | (342.0) |
| Share of results of joint ventures | 27.0 | 29.7 |
| Profit on ordinary activities before finance costs | 667.0 | 892.6 |
| Net finance costs | (131.4) | (116.1) |
| Profit on ordinary activities before taxation | 535.6 | 776.5 |
Note to the Pro Forma Unaudited Combined Group Summary Income Statement
for year to 31 December 2007
| Pro forma Combined before exceptional items |
||
| Revenue | Year to 31 December 2007 £m |
Year to 31 December 2006 £m |
| Housing United Kingdom | 3,998.8 | 4,150.4 |
| Housing North America | 1,215.0 | 1,926.4 |
| Housing Spain and Gibraltar | 64.4 | 92.1 |
| Construction | 609.3 | 550.6 |
| Corporate | – | – |
| 5,887.5 | 6,719.5 | |
| Profit on ordinary activities before finance costs | £m | £m |
| Housing United Kingdom | 608.5 | 533.0 |
| Housing North America | 62.4 | 336.8 |
| Housing Spain and Gibraltar | 7.9 | 26.4 |
| Construction | 2.0 | 8.1 |
| Corporate | (13.8) | (11.7) |
| 667.0 | 892.6 | |