15th Aug 2005 10:56
Headlam Group PLC15 August 2005 15 August 2005 Headlam Group plc ("Headlam")Adoption of International Financial Reporting Standards Headlam, Europe's leading floorcovering distributor, announces that it has todaypublished its report explaining the effects of adopting International FinancialReporting Standards ("IFRS") on its previously reported results for the twelvemonth period ended 31 December 2004. The full report, entitled "Financial Information on the Transition toInternational Financial Reporting Standards", is published on Headlam's websitewww.headlam.com. IFRS will apply for the consolidated financial statements of listed companiesfor accounting periods beginning on or after 1 January 2005.Headlam Group plc (Headlam) will publish its 2005 Interim Financial Results and2005 Annual Report and Accounts in accordance with IFRS.The transitional report has been prepared in order to provide financialinformation on the impact of Headlam's transition from a UK Generally AcceptedAccounting Principles (UK GAAP) basis to an IFRS basis. A summary of the changes to the results for the twelve month period to 31December 2005 arising from the implementation of IFRS are given below. £'000 Profit before tax per UK GAAP 38,341 Property depreciation 59Goodwill amortisation 918 --------- 977 Amortisation of intangibles (836)Share based payments (57)Retirement benefit obligations 62Property leases (3) --------- (834) ---------Profit before tax per IFRS 38,484 --------- The net effect of restating the 2004 results to IFRS is to increase profitbefore tax by £143,000. Tax affects, amounting to £237,000, reduce the reportedtax charge under UK GAAP and increase profit after tax to £26,746,000 up from£26,366,000. Basic earning per share increases to 31.3 pence from 30.9 pence. The effect of IFRS on net assets is as follows: £'000 Net assets per UK GAAP 126,868 Property revaluation (6,975)Goodwill amortisation 918 --------- (6,057) Amortisation of intangibles (836)Retirement benefit obligations (17,914)Deferred tax 6,323Property leases (43)Dividends 10,536 --------- (1,934) ---------Profit before tax per IFRS 118,877 --------- Net assets decrease by £7,991,000 under IFRS. The adjustments identified above are described in full within the transitionalreport. EnquiresHeadlam Group plcStephen Wilson, Finance DirectorTel: 01675 433000 This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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