APC 2013 Annual Report Download - page 179

BUSINESS REVIEW
REVIEW OF THE CONSOLIDATED FINANCIAL STATEMENTS
Partner business recorded an adjusted EBITA margin of 21.2% IT business reported an adjusted EBITA margin of 18.9% for the
for the year ended December31, 2013, up 0.5% compared year ended December31, 2013, down 0.1% in line with 19.0%
to20.7% for the year ended December31, 2012, due to good margin for the year ended December31, 2012, at all time high
industrial productivity. level.
Infrastructure business recorded an adjusted EBITA margin of Buildings business recorded an adjusted EBITA margin of 5.9%
9.8% for the year ended December31, 2013, down 0.9% for the year ended December31, 2013, down 0.5% compared to
compared to 10.7% for the year ended December31, 2012, 6.4% for the year ended December31, 2012, due to low volume
impacted by one-off charges from delays in project execution and in mature markets in the first half and unfavorable mix.
difficulties in public transportation business in Spain. Corporate costs amounted to EUR526million for the year ended
Industry business recorded an adjusted EBITA margin of 19.3% December31, 2013 or 2.2% of Group revenues, a similar level as
for the year ended December31, 2013, up 0.9% compared to in the year ended December31, 2012 (2.1% of Group revenues
18.4% for the year ended December31, 2012, thanks to positive or EUR501million).
pricing and good control of commercial costs.
Operating income (EBIT)
Operating income (EBIT) increased from EUR2,866million for the item, amortization of intangibles linked to business combinations
year ended December31, 2012 to 3,091million for the year ended decreased by EUR6million (EUR218million on the year ended
December31, 2013, representing an increase of 7.9% linked to December31, 2013 compared to EUR224million on the year
the non-recurrence of a goodwill impairment on Buildings CGU of ended December31, 2012).
EUR250million (before tax effect) recorded in 2012. Excluding this
Net financial income/loss
4
Net financial loss amounted to EUR483million for the year ended to a lower average interest rate. The higher net financial loss is
December31, 2013, compared to EUR446million for the year mainly linked to the change in other financial incomes and costs,
ended December31, 2012 (restated for the application of IAS19 from a net expense of EUR97million for year ended December31,
Revised disclosed in note1.2 of the consolidated financial 2012 to a net expense of EUR159million for year ended
statements). Within the net financial loss, the cost of net financial December31, 2013. This is mainly due to a EUR50million
debt decreased from EUR349million for year ended December31, impairment of NVC Lighting investment described in note15 of the
2012 to EUR324million for year ended December31, 2013 thanks consolidated financial statements.
Tax
The effective tax rate was 25.5% for the year ended December31, investment that triggered no tax effect, the effective tax rate was
2013, increasing compared to 22.9% for the year ended limited to 25.0%. The corresponding tax expense increased from
December31, 2012 (restated for the application of IAS19 Revised EUR554million for the year ended December31, 2012 to
disclosed in note1.2 of the consolidated financial statements). EUR665million for the year ended December31, 2013.
However, excluding the EUR50million one-off impairment of NVC
Share of profit/(losses) of associates
The share of profit of associates amounted to EUR22million for the Schneider Electric consolidated financial statements and thus has
year ended December31, 2013, compared to EUR34million for not contributed anymore to share of profit of associates whereas
the year ended December31, 2012. From April1, 2013, she was contributing on a 12 months basis in 2012 when it was
Electroshield – TM Samara in Russia is fully consolidated in consolidated through equity method.
Non-controlling interests
Minority interests in net income for the year ended December31, 2013 totaled EUR77million, compared to EUR87million for the year
ended December31, 2012. This represented the share in net income attributable, in large part, to the minority interests of certain Chinese
companies.
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