SPIRENT PLC
Consolidated Profit and Loss Account
Year to
GBP million Six months to 30 June 31
December
--------------------- ------- --------
2003 2002 2002
Before
except Except-
ional ional
Notes items items Total Total Total
Turnover:
Group and
share of
joint venture 251.6 - 251.6 348.1 634.5
Less: share of
joint
venture's
turnover (22.4) - (22.4) (37.1) (75.6)
------- ------- ------- ------- -------
Turnover 1,2 229.2 - 229.2 311.0 558.9
=== ======= ======= ======= ======= =======
Operating 1,2 9.5 (4.9) 4.6 6.2 (970.5)
profit/(loss)
---------------- --- ------- ------- ------- ------- -------
Operating
exceptional
items
Goodwill - - - - 923.3
impairment
Other 3 - 4.9 4.9 2.3 41.6
Goodwill 4.8 - 4.8 26.7 56.1
amortisation
Operating
profit before
goodwill
amortisation
and
exceptional 1,2 14.3 - 14.3 35.2 50.5
items
---------------- --- ------- ------- ------- ------- -------
Income from
interests in
joint
ventures 2.7 - 2.7 2.8 7.4
Income from
interests in
associates
less goodwill
amortisation 0.8 - 0.8 (0.1) 0.8
------- ------- ------- ------- -------
Operating
profit/(loss)
of the
Group, joint
ventures and
associates 13.0 (4.9) 8.1 8.9 (962.3)
Non-operating
exceptional
items
Profit/(loss)
on disposal of
operations - 1.6 1.6 (24.8) (48.4)
Provision
against
investment
in own shares - - - - (30.1)
------- ------- ------- ------- -------
Profit/(loss) 13.0 (3.3) 9.7 (15.9) (1,040.8)
before
interest
Net interest
(payable) and
similar (5.0) (14.3) (19.3) (6.5) (12.3)
charges
------- ------- ------- ------- -------
Loss before 8.0 (17.6) (9.6) (22.4) (1,053.1)
taxation
Taxation 4 3.8 (1.1) 2.7 9.0 26.9
charge/(credit)
--- ------- ------- ------- ------- -------
Loss after 4.2 (16.5) (12.3) (31.4) (1,080.0)
taxation
Minority
shareholders'
interest
- equity 0.1 - 0.1 - 0.1
Minority
shareholders'
interest
- joint - - - 0.1 0.3
venture
------- ------- ------- ------- -------
Loss
attributable
to
shareholders 4.1 (16.5) (12.4) (31.5) (1,080.4)
Dividends - - - 12.5 12.5
------- ------- ------- ------- -------
Loss for the 4.1 (16.5) (12.4) (44.0) (1,092.9)
period
======= ======= ======= ======= ========
Basic and
diluted loss
per
share (pence) 5 (1.34) (3.42) (117.12)
Headline
earnings per
share
(pence) 5 0.96 2.42 3.40
Net dividend - 1.35 1.35
per share
(pence)
Consolidated Statement of Total Recognised Gains and Losses
Year to
GBP million Six months to 30 June 31 December
--------------------- -----------
2003 2002 2002
Loss attributable to (12.4) (31.5) (1,080.4)
shareholders
Gain on lapsed options 0.9 4.0 5.2
Exchange adjustment on 5.0 (9.7) (23.0)
subsidiaries,
joint ventures and
associates
Taxation on exchange (0.2) - 0.1
adjustment
-------- ------- ---------
Total recognised gains (6.7) (37.2) (1,098.1)
and losses
======== ======= =========
Consolidated Balance Sheet
GBP million At 30 June At 31 December
----------------------- ----------------
2003 2002 2002
Fixed
assets
Intangible 107.9 943.4 113.6
assets
Tangible 101.4 123.5 110.0
assets
Investments
Investment
in joint
ventures
Share of 0.3 72.1 72.9
gross
assets
Share of - (24.8) (22.8)
gross
liabilities
----- ----- -----
0.3 47.3 50.1
Investment 13.5 18.5 13.3
in
associates
Other 2.1 32.2 2.1
investments
----- ----- -----
15.9 98.0 65.5
------ ------- ------
Total fixed 225.2 1,164.9 289.1
assets
Current
assets
Stocks 59.6 74.5 61.5
Debtors 87.8 139.0 97.3
Investments - 0.1 0.1
Cash at 21.1 26.0 83.5
bank and in
hand
----- ----- -----
168.5 239.6 242.4
----- ----- -----
Current
liabilities
Creditors 101.4 138.9 107.5
due within
one year
Loans and 3.4 3.1 1.8
overdrafts
----- ----- -----
104.8 142.0 109.3
----- ----- -----
Net current 63.7 97.6 133.1
assets
----- ------ ------
Assets less 288.9 1,262.5 422.2
current
liabilities
Long term
liabilities
Creditors
due after
more than
one year (125.6) (179.9) (252.6)
Provisions
for
liabilities
and
charges (26.2) (1.3) (28.4)
----- ------- ------
Assets less 137.1 1,081.3 141.2
liabilities
===== ======= ======
Shareholders' 135.0 1,079.3 139.1
funds -
equity
Minority 2.1 2.0 2.1
interests -
equity
----- ------- ------
137.1 1,081.3 141.2
===== ======= ======
Consolidated Cash Flow Statement
Year to
GBP million Six months to 30 June 31 December
--------------------- -----------
2003 2002 2002
Net cash inflow from 28.6 40.7 76.9
operating activities
-------- -------- --------
Dividends received from - 0.2 0.2
joint venture
Dividends received from - 0.2 0.1
associates
Returns on investments
and servicing of
finance (19.0) (6.1) (10.8)
Taxation (2.3) (6.4) (4.2)
Capital expenditure and (6.3) (14.1) (25.8)
financial investment
-------- -------- --------
Cash inflow before
acquisitions and
disposals, equity 1.0 14.5 36.4
dividends and financing
Acquisitions and 60.7 41.5 6.4
disposals
Equity dividends paid - (27.6) (40.2)
Management of liquid 0.1 0.2 0.2
resources
Financing (124.7) (32.2) 53.8
-------- -------- --------
Net cash (62.9) (3.6) 56.6
(outflow)/inflow
======== ======== ========
Reconciliation of Net Cash Flow to Movement in Net Debt
Year to
GBP million Six months to 30 June 31 December
--------------------- -----------
2003 2002 2002
Net cash (62.9) (3.6) 56.6
(outflow)/inflow
Cash outflow/(inflow)
arising from the change
in debt and lease
financing 125.2 34.5 (51.4)
Cash inflow arising
from the decrease in
liquid resources (0.1) (0.2) (0.2)
-------- -------- --------
Movement arising from 62.2 30.7 5.0
cash flows
Debt issue costs (0.6) - -
Loans and finance
leases acquired with
subsidiary - - (0.2)
New finance leases - (0.5) (0.2)
Exchange adjustment 0.7 5.7 12.7
-------- -------- --------
Movement in net debt 62.3 35.9 17.3
Net debt at 1 January (161.8) (179.1) (179.1)
-------- -------- --------
Net debt (99.5) (143.2) (161.8)
======== ======== ========