2nd Aug 2007 14:00
Barclays Bank PLC02 August 2007 Barclays Bank PLC Results Announcement 30th June 2007 Barclays Bank PLC 2nd August 2007 BARCLAYS BANK PLC BARCLAYS BANK PLC IS A WHOLLY OWNED SUBSIDIARY OF BARCLAYS PLC The Directors report the following results of the Barclays Bank PLC Group forthe half-year ended 30th June 2007: CONSOLIDATED INCOME STATEMENT (UNAUDITED) Half year ended 30.06.07 31.12.06 30.06.06 £m £m £mContinuing operations --------- --------- ---------Interest income 12,037 11,261 10,544Interest expense (7,450) (6,522) (6,140) --------- --------- ---------Net interest income 4,587 4,739 4,404 --------- --------- ---------Fee and commission income 4,292 3,928 4,077Fee and commission expense (480) (403) (425) --------- --------- ---------Net fee and commission income 3,812 3,525 3,652 --------- --------- ---------Net trading income 2,810 1,429 2,203Net investment income 396 588 374 --------- --------- ---------Principal transactions 3,206 2,017 2,577Net premiums from insurance contracts 442 550 510Other income 130 171 86 --------- --------- ---------Total income 12,177 11,002 11,229Net claims and benefits incurred on insurance contracts (248) (342) (233) --------- --------- ---------Total income net of insurance claims 11,929 10,660 10,996Impairment charges (959) (1,097) (1,057) --------- --------- ---------Net income 10,970 9,563 9,939 --------- --------- ---------Operating expenses excluding amortisation of intangible assets (6,760) (6,332) (6,206)Amortisation of intangible assets (87) (73) (63) --------- --------- ---------Operating expenses (6,847) (6,405) (6,269)Share of post-tax results of associates and joint ventures - 16 30Profit on disposal of subsidiaries, associates and joint ventures 5 323 - --------- --------- ---------Profit before tax 4,128 3,497 3,700Tax (1,158) (869) (1,072) --------- --------- ---------Profit for the period 2,970 2,628 2,628 --------- --------- --------- Profit attributable to minority interests 167 187 155Profit attributable to equity holders 2,803 2,441 2,473 --------- --------- --------- 2,970 2,628 2,628 --------- --------- --------- The information in this announcement, which was approved by the Board ofDirectors on 1st August 2007, does not comprise statutory accounts within themeaning of Section 240 of the Companies Act 1985 (the 'Act'). CONSOLIDATED BALANCE SHEET (UNAUDITED) As at 30.06.07 31.12.06 30.06.06 £m £m £mAssetsCash and balances at central banks 4,785 6,795 6,777Items in the course of collection from other banks 2,533 2,408 2,600Trading portfolio assets 217,595 177,884 181,871Financial assets designated at fair value:- held on own account 46,171 31,799 18,833- held in respect of linked liabilities to customers under investment contracts 92,194 82,798 79,334Derivative financial instruments 174,225 138,353 136,901Loans and advances to banks 43,191 30,926 35,330Loans and advances to customers 321,243 282,300 282,097Available for sale financial investments 48,019 51,952 53,953Reverse repurchase agreements and cash collateral on securities borrowed 190,546 174,090 171,869Other assets 6,289 5,850 5,866Current tax assets 345 557 -Investments in associates and joint ventures 228 228 560Goodwill 6,635 6,092 5,968Intangible assets 1,228 1,215 1,125Property, plant and equipment 2,538 2,492 2,515Deferred tax assets 774 764 776 ----------- ----------- ----------- Total assets 1,158,539 996,503 986,375 ----------- ----------- ----------- CONSOLIDATED BALANCE SHEET (UNAUDITED) As at 30.06.07 31.12.06 30.06.06 £m £m £mLiabilitiesDeposits from banks 87,429 79,562 86,221Items in the course of collection due to other banks 2,206 2,221 2,700Customer accounts 292,650 256,754 253,200Trading portfolio liabilities 79,252 71,874 74,719Financial liabilities designated at fair value 63,490 53,987 43,594Liabilities to customers under investment contracts 93,735 84,637 81,380Derivative financial instruments 177,777 140,697 138,982Debt securities in issue 118,745 111,137 102,198Repurchase agreements and cash collateral on securities lent 181,093 136,956 146,165Other liabilities 10,908 10,337 10,767Current tax liabilities 1,003 1,020 592Insurance contract liabilities, including 3,770 3,878 3,558unit-linked liabilitiesSubordinated liabilities: - Undated loan capital - non convertible 5,697 5,422 4,743 - Dated loan capital - convertible 24 25 38 - Dated loan capital - non convertible 9,346 8,339 8,848Deferred tax liabilities 258 282 430Other provisions for liabilities 527 462 474Retirement benefit liabilities 1,840 1,807 1,976 ----------- ----------- ----------- Total liabilities 1,129,750 969,397 960,585 ----------- ----------- ----------- Shareholders' equityCalled up share capital 2,366 2,363 2,357Share premium account 9,493 9,452 9,354Available for sale reserve 258 184 32Cash flow hedging reserve (407) (230) (172)Other shareholders' funds 2,565 2,534 2,570Translation reserve (486) (438) (176)Retained earnings 13,190 11,556 10,217 ----------- ----------- ----------- Shareholders' equity excluding minority interests 26,979 25,421 24,182Minority interests 1,810 1,685 1,608 ----------- ----------- ----------- Total shareholders' equity 28,789 27,106 25,790 ----------- ----------- ----------- Total liabilities and shareholders' equity 1,158,539 996,503 986,375 ----------- ----------- ----------- CONSOLIDATED STATEMENT OF RECOGNISED INCOME AND EXPENSE (UNAUDITED) Half-year ended 30.06.07 31.12.06 30.06.06 £m £m £m Net movements in available for sale reserve 63 202 (322)Net movements in cash flow hedging reserve (280) (68) (419)Net movements in currency translation reserve (48) (186) (595)Tax 37 (14) 267Other movements 23 (5) 30 ----------- ----------- ----------- Amounts included directly in equity (205) (71) (1,039)Profit for the period 2,970 2,628 2,628 ----------- ----------- ----------- Total recognised income and expense for the year 2,765 2,557 1,589 ----------- ----------- ----------- Attributable to:Equity holders 2,655 2,414 1,718Minority interests 110 143 (129) ----------- ----------- ----------- 2,765 2,557 1,589 ----------- ----------- ----------- The consolidated statement of recognised income and expense reflects all itemsof income and expense for the period, including items taken directly to equity.Movements in individual reserves are shown including amounts which relate tominority interests; the impact of such amounts is then reflected in the amountattributable to such interests. Movements in individual reserves are also shownon a pre-tax basis with any related tax recorded on the separate tax line. The available for sale reserve reflects gains or losses arising from the changein fair value of available for sale financial assets except for items recordedin the income statement which are: impairment losses; gains or lossestransferred to the income statement due to fair value hedge accounting; andforeign exchange gains or losses on monetary items such as debt securities. Whenan available for sale asset is impaired or derecognised, the cumulative gain orloss previously recognised in the available for sale reserve is transferred tothe income statement. The movement in the first half of 2007 primarily reflectsthe recognition of net unrealised gains from changes in fair value partiallyoffset by the transfer of net realised gains. Cash flow hedging aims to minimise exposure to variability in cash flows that isattributable to a particular risk associated with a recognised asset orliability or a highly probable forecast transaction that could affect profit orloss. The portion of the gain or loss on the hedging instrument that is deemedto be an effective hedge is recognised in the cash flow hedging reserve. Thegains and losses deferred in this reserve will be transferred to the incomestatement in the same period or periods during which the hedged item isrecognised in the income statement. The movement in the first half of 2007primarily reflects net unrealised losses from changes in the fair value of thehedging instruments partially offset by the transfer of net losses to the incomestatement. Exchange differences arising on the net investments in foreign operations andeffective hedges of net investments are recognised in the currency translationreserve and transferred to the income statement on the disposal of the netinvestment. The movement in the first half of 2007 primarily reflects changes inthe value of the US Dollar on net investments and the impact of changes in thevalue of the Rand on the minority interest in Absa Group Limited partiallyoffset by the impact of other currency movements on net investments which arehedged on a post-tax basis. The US Dollar net investments are economicallyhedged through US Dollar-denominated preference share capital, which is notrevalued for accounting purposes. SUMMARY CONSOLIDATED CASH FLOW STATEMENT (UNAUDITED) Half-year ended 30.06.07 31.12.06 30.06.06 £m £m £mNet cash flow from operating activities 2,934 954 9,103Net cash flow from investing activities 3,990 161 (1,338)Net cash flow from financing activities 755 (1,028) 1,593Effects of exchange rate on cash and cash equivalents (196) 938 (386) -------- -------- --------Net increase in cash and cash equivalents 7,483 1,025 8,972Cash and cash equivalents at beginning of period 30,402 29,377 20,405 -------- -------- --------Cash and cash equivalents at end of period 37,885 30,402 29,377 -------- -------- -------- In order to provide more relevance to users and to enhance the comparability ofits financial statement presentation, the Group has changed certainclassification within the cash flow statement in 2006. Certain activities whichwere categorised as operating activities have been reclassified as financingactivities and investing activities. NOTES 1. Authorised share capital Ordinary shares The authorised ordinary share capital of Barclays Bank PLC at 30th June 2007 was3,000 million (31st December 2006: 3,000 million) ordinary shares of £1 each. Preference shares 30.06.07 31.12.06 30.06.06 '000 '000 '000 Authorised share capital - shares of £1 each 1 1 1Authorised share capital - shares of £100 each 400 400 400Authorised share capital - shares of US$0.25 each 80,000 80,000 80,000Authorised share capital - shares of US$100 each 400 400 400Authorised share capital - shares of €100 each 400 400 400 2. Issued share capital Ordinary shares The issued ordinary share capital of Barclays Bank PLC at 30th June 2007comprised 2,332 million (31st December 2006: 2,329 million) ordinary shares of£1 each. The whole of the issued ordinary share capital of Barclays Bank PLC at 30th June2007 is beneficially owned by Barclays PLC. Preference shares The issued preference share capital of Barclays Bank PLC at 30th June 2007comprised £34m (31st December 2006: £34m) of preference shares of the followingdenominations: 30.06.07 31.12.06 30.06.06 '000 '000 '000 Issued and fully paid shares of £1 each 1 1 1Issued and fully paid shares of £100 each 75 75 75Issued and fully paid shares of US$0.25 each 30,000 30,000 30,000Issued and fully paid shares of US$100 each 100 100 100Issued and fully paid shares of €100 each 240 240 240 3. Staff numbers On a full time equivalent basis the total permanent and fixed term contractstaff at 30th June 2007 was 127,000 (31st December 2006: 122,600). Additionally,agency staff totalled 15,000 (31st December 2006: 9,100). This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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