Eleven year consolidated financial summary

	Ordinary shares highs/lows 1998 pence		ADSs highs/lows 1998 (US dollars)		Revenue per Employee £000
	The highest price in 1998 was 770.0p, the lowest 412.0p.		The highest price in 1998 was $743/4, the lowest $421/8.

 
 

Click icon for this table in Excel format	1998 £m	1997 £m	1996 £m	1995 £m	1994 £m	1993 £m	1992 £m	1991 £m	1990 £m	1989 £m	1988 £m
Results
Revenue	3,032	2,882	2,914	2,703	2,309	1,874	1,568	1,467	1,369	1,187	1,003
Net interest receivable	2	80	61	60	51	60	66	49	30	19	9
Profit before tax	580	626	652	558	510	440	383	340	320	283	208
Taxation	196	236	210	185	162	140	123	110	112	102	81
Profit attributable to ordinary shareholders	384	390	442	373	347	299	236	230	207	181	126
Net assets
Fixed assets	1,098	1,046	1,026	999	687	571	499	488	531	484	408
Net current (liabilities)/assets	(643)	714	525	387	176	151	419	289	81	(33)	(46)
Long term creditors	(16)	(37)	(41)	(135)	(87)	(32)	(26)	(30)	(27)	(22)	(77)
Provisions	(50)	(44)	(51)	(39)	(36)	(32)	(23)	(25)	(30)	(20)	(11)
	389	1,679	1,459	1,212	740	658	869	722	555	409	274
Tangible fixed assets
Additions	296	361	372	304	319	268	199	159	196	193	229
Depreciation	331	312	283	250	221	204	186	193	140	110	95
Development expenditure	200	235	202	191	159	110	79	67	62	60	55
Free cash flow	490	449	494	455	321	224	276	339	227	54	30
	1998	1997	1996	1995	1994	1993	1992	1991	1990	1989	1988
Ratios
Basic earnings per ordinary share	26.7p	24.0p	27.3p	23.2p	21.7p	18.0p	14.0p	13.7p	12.4p	10.9p	7.6p
Adjusted earnings per ordinary share (1)	30.3p	29.1p	30.4p	25.8p	21.7p	18.0p	14.0p	13.7p	12.4p	10.9p	7.6p
Dividends per ordinary share	14.4p	13.0p	11.75p	9.8p	8.0p	6.5p	5.3p	4.25p	3.75p	3.25p	2.25p
Cash flow per ordinary share (2)	67.9p	61.0p	60.7p	52.7p	45.6p	40.3p	33.6p	31.7p	27.4p	23.6p	18.3p
Book value per ordinary share (3)	23.3p	99.9p	88.3p	73.7p	44.7p	40.6p	51.2p	42.7p	32.9p	24.5p	16.4p
Cash flow/book value (4)	292.0%	61.0%	68.8%	71.5%	102.0%	99.2%	65.7%	74.2%	83.5%	96.2%	111.4%
Profit before tax as a percentage of revenue	19.1%	21.7%	22.4%	20.6%	22.1%	23.5%	24.4%	23.2%	23.4%	23.8%	20.7%
Return on tangible fixed assets (5)	48.2%	49.0%	60.0%	55.2%	57.6%	57.2%	53.2%	45.4%	41.3%	40.9%	37.2%
Return on equity (6)	78.5%	25.6%	33.7%	34.8%	50.8%	39.5%	29.9%	36.2%	43.2%	53.6%	51.8%
UK corporation tax rate	31.0%	31.5%	33.0%	33.0%	33.0%	33.0%	33.0%	33.25%	34.25%	35.0%	35.0%
Infrastructure
Shares issued (millions)	1,422	1,694	1,689	1,677	1,668	1,662	1,753	1,743	1,735	1,724	1,686
Employees	16,938	16,119	15,478	14,348	13,548	11,306	10,393	10,450	10,731	10,071	10,064
User accesses	498,500	435,000	362,000	327,100	296,700	227,400	200,800	201,800	200,900	194,800	169,100

Notes.

1995 to 1996 have been restated to reflect the effect of FRS 10 issued in 1997 which required purchased goodwill and intangible assets to be capitalised and amortised through the profit and loss account.
1988 to 1994 have not been restated for FRS 10.
1988 has not been restated to reflect the effects of the prior year adjustment for pensions made in 1989.
1988 to 1991 have not been restated to reflect the effects of the prior year adjustment for post-retirement medical benefits made in 1992.
1988 to 1991 have not been restated to reflect the change to reporting user accesses in 1994.
1988 to 1993 have been restated for the subdivision of every ordinary share of 10 pence each into four new ordinary shares of 2.5 pence each in April 1994.
1988 has been restated to reflect the cost of discontinuing operations at IDR Inc. as an exceptional item rather than an extraordinary item.
1990 to 1994 fixed assets have been restated to reflect the effect of UITF abstract 13 issued in 1995.
Free cash flow is defined as net cash inflow from operating activities plus net interest received less tax paid and expenditure on tangible fixed assets.

Ratios.

1. Adjusted earnings per share are based on profit attributable to ordinary shareholders excluding capital reorganisation costs and goodwill amortisation.
2. Cash flow per ordinary share represents profit before taxation, goodwill amortisation and depreciation divided by the number of shares in issue after deducting shares held by employee share ownership trusts. In 1998 to 1997 shares in Reuters Holdings PLC held by group companies are also deducted.
3. Book value per ordinary share represents adjusted shareholders’ equity divided by the number of shares in issue after deducting shares held by employee share ownership trusts. In 1988 to 1997 shares in Reuters Holdings PLC held by group companies are also deducted from shares in issue.
4. Cash flow/book value represents profit before taxation, goodwill amortisation and depreciation as a percentage of adjusted shareholders’ equity.
5. Return on tangible fixed assets represents profit after taxation as a percentage of average tangible fixed assets. The average is calculated by adding tangible fixed assets at the start and the end of each year and dividing by two.
6. Return on equity represents profit attributable to ordinary shareholders divided by the average adjusted shareholders’ equity. The average is calculated by adding adjusted shareholders’ equity at the start and the end of each year and dividing by two. In 1998 a weighted average has been used to reflect the capital reorganisation.