RBS 2003 Annual Report Download - page 64

Operating and financial review continued
62
Operating and financial review
Summary consolidated profit and loss account for the year ended 31 December 2003
The profit and loss account set out below shows goodwill amortisation and integration costs separately. In the statutory profit
and loss account on page 141, these items are included in the captions prescribed by the Companies Act.
2003 2002 2001
£m £m £m
Net interest income 8,301 7,849 6,846
Dividend income 58 58 54
Fees and commissions receivable 5,755 5,308 4,735
Fees and commissions payable (1,337) (965) (930)
Dealing profits 1,793 1,462 1,426
Other operating income 1,598 1,209 1,052
7,867 7,072 6,337
General insurance net premium income 3,061 1,894 1,375
Non-interest income 10,928 8,966 7,712
TOTAL INCOME 19,229 16,815 14,558
Staff costs 4,393 3,942 3,461
Other operating expenses 3,996 3,727 3,380
OPERATING EXPENSES 8,389 7,669 6,841
Profit before other operating charges 10,840 9,146 7,717
General insurance net claims 2,195 1,350 948
Operating profit before provisions 8,645 7,796 6,769
Provisions for bad and doubtful debts 1,461 1,286 984
Amounts written off fixed asset investments 33 59 7
PROFIT BEFORE TAX, GOODWILL AMORTISATION AND INTEGRATION COSTS 7,151 6,451 5,778
Goodwill amortisation 763 731 651
Integration costs 229 957 875
PROFIT BEFORE TAX 6,159 4,763 4,252
Tax 1,910 1,556 1,537
Profit after tax 4,249 3,207 2,715
Minority interests (including non-equity) 210 133 90
Preference dividends – non-equity 261 305 358
3,778 2,769 2,267
Additional Value Shares dividend – non-equity 1,463 798 399
Profit attributable to ordinary shareholders 2,315 1,971 1,868
Basic earnings per ordinary share 79.0p 68.4p 67.6p
Additional Value Shares dividend 49.9p 27.7p 14.5p
128.9p 96.1p 82.1p
Goodwill amortisation 25.0p 24.2p 23.2p
Integration costs 5.4p 23.8p 22.6p
Adjusted earnings per ordinary share 159.3p 144.1p 127.9p