24th Feb 2005 16:07
National Westminster Bank PLC24 February 2005 RESULTS FOR THE YEAR ENDED 31 DECEMBER 2004 National Westminster Bank Plc ("NatWest") was acquired by The Royal Bank ofScotland Group plc ("RBS") on 6 March 2000 and since then it has operated andbeen managed as a member of the overall RBS Group. As part of the integration ofNatWest Group in the RBS Group a number of businesses and assets have beentransferred between NatWest Group and The Royal Bank of Scotland plc ("RoyalBank") to bring together similar operations and functions. As a consequence ofthis reorganisation, the results for prior periods are not directly comparable. These results of NatWest are published to meet the requirements of the ListingRules of the Financial Services Authority in respect of NatWest's preferenceshares, which continue to be listed on the London Stock Exchange. CONTENTS PAGE Financial highlights 2 Summary consolidated profit and loss account 3 Summary consolidated balance sheet 3 Summary consolidated cash flow statement 4 Notes 4 Contacts 5 FINANCIAL HIGHLIGHTS Profit before tax increased by 11% from £3,129 million to £3,483 million,boosted by the acquisition of First Active plc by Ulster Bank in January 2004. Total income was £8,001 million compared with £7,258 million in the prior year,an increase of £743 million, 10%. Operating expenses increased by £314 million,9% to £3,893 million. Provisions for bad and doubtful debts and amounts written off fixed assetinvestments at £625 million were £75 million higher than prior year. Total assets were up £23 billion from £173 billion to £196 billion, partly dueto the acquisition of First Active. Loans and advances to customers were up 28%,£29 billion at £131 billion. Loans and advances to banks decreased by £8 billionto £28 billion. SUMMARY CONSOLIDATED PROFIT AND LOSS ACCOUNT FOR THE YEAR ENDED 31 DECEMBER 2004 2004 2003 (restated) £m £m Total income 8,001 7,258Operating expenses (3,893) (3,579) ------- -------Profit before provisions 4,108 3,679Provisions for bad and doubtful debts and amounts written off fixed asset investments (625) (550) ------ -----Profit on ordinary activities before tax 3,483 3,129Tax on profit on ordinary activities (955) (946) ------ ------Profit on ordinary activities after tax 2,528 2,183Minority interest (including non - equity) (12) 1Preference dividends (non - equity) (36) (39) ------ ------Profit attributable to ordinary shareholders 2,480 2,145Ordinary dividends (2,300) (2,257) ------- ------Retained profit/(loss) 180 (112) ------ ------- SUMMARY CONSOLIDATED BALANCE SHEET AS AT 31 DECEMBER 2004 2004 2003 (restated) £m £m AssetsCash and balances at central banks and items in the course of collection from other banks 3,897 3,367Treasury bills and other eligible bills 172 541Loans and advances to banks 27,674 35,412Loans and advances to customers 131,353 102,572Debt securities and equity shares 23,707 22,799Other assets 9,462 8,182 ----------- -----------Total Assets 196,265 172,873 ----------- ----------- LiabilitiesDeposits by banks and items in the course of transmission to other banks 23,873 18,501Customer accounts 126,119 116,569Debt securities in issue 3,255 2,112Other liabilities 27,664 20,907Subordinated liabilities 5,808 5,743Minority interest, including non-equity interests 408 3Shareholders' funds, including non-equity interests 9,138 9,038 ------------ ------------Total Liabilities 196,265 172,873 ------------ ----------- SUMMARY CONSOLIDATED CASH FLOW STATEMENT FOR THE YEAR ENDED 31 DECEMBER 2004 2004 2003 £m £m Net cash inflow from operating activities 1,553 17,648Net cash outflow from returns on investment and servicing of finance (243) (259)Net cash outflow from taxation (1,051) (857)Net cash (outflow)/inflow from capital expenditure and financial investment (679) 117Net cash (outflow)/inflow from acquisitions and disposals (750) 578Ordinary equity dividends paid (2,300) (2,257) --------- ---------Net cash (outflow)/inflow before financing (3,470) 14,970Net cash inflow from financing 507 24 --------- ---------(Decrease)/increase in cash (2,963) 14,994 --------- --------- NOTES 1. Accounting policies There have been no changes to the principal accounting policies as set out on pages 7 to 9 of NatWest's 2003 Report and Accounts, except as noted below. The company has adopted the provisions of FRS 17 'Retirement Benefits' with effect from 1 January 2004. The prior year has been restated. 2. Ordinary dividends 2004 2003 £m £m Paid 2,300 2,257 --------- --------3. Date of approval The results for the year ended 31 December 2004 were approved by the Board of directors on 23 February 2005. 4. Statutory accounts Financial information contained in this document does not constitute statutory accounts within the meaning of section 240 of the Companies Act 1985 ("the Act"). The statutory accounts for the year ended 31 December 2004 will be filed with the Registrar of Companies following the company's annual general meeting. The auditors have reported on these accounts; their report was unqualified and did not contain a statement under section 237(2) or (3) of the Act.. CONTACTSFred Watt Group Finance Director 020 7672 0008 0131 523 2028 Richard O'Connor Head of Investor Relations 020 7672 1758 This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
RBS.L