Consolidated income statement
SWISS GAAP ARR
IFRS
2004
2005
2006
2007
2008
m
m
m
m
m
Sales
3 375
3 671
4 308
4 827
5 302
Cost of sales
(1 283)
(1 415)
(1 588)
(1 753)
(1 897)
Gross profit
2 092
2 256
2 720
3 074
3 405
Net operating expenses
(1 796)
(1 771)
(2 007)
(2 174)
(2 297)
Operating profit
296
485
713
900
1 108
Net finance (costs)/income
6
(48)
5
31
47
Profit before taxation
302
437
718
931
1 155
Taxation
(64)
(97)
(130)
(158)
(195)
Profit after taxation
238
340
588
773
960
Minority interests
(2)
(2)
(1)
1
Net profit of the parent and its subsidiaries
238
338
586
772
961
Share of results of associated undertakings
422
474
526
578
621
Tobacco
422
474
526
577
620
Other
1
1
Attributable net profit underlying basis
660
812
1 112
1 350
1 582
Gross profit margin
62.0%
61.5%
63.1%
63.7%
64.2%
Operating profit margin
8.8%
13.2%
16.6%
18.6%
20.9%
Effective taxation rate
21.2%
22.2%
18.1%
17.0%
16.9%
Basis of preparation
The income statement is presented on an underlying basis. Under Swiss GAAP ARR, the underlying basis excludes the effect of exceptional
items and goodwill amortisation. Under IFRS, the underlying basis excludes the effect of disposal gains, restructuring charges and similar
items identified in the financial review. A reconciliation to the results presented on a reported basis is given on page 126.
Analysis of sales
SWISS GAAP ARR
IFRS
2004
2005
2006
2007
2008
m
m
m
m
m
Sales by geographic region
Europe
1 458
1 580
1 811
2 042
2 293
Asia-Pacific
637
755
899
1 070
1 296
Americas
655
697
875
984
1 014
Japan
625
639
723
731
699
3 375
3 671
4 308
4 827
5 302
Sales by distribution channel
Retail
1 392
1 509
1 762
2 009
2 214
Wholesale
1 983
2 162
2 546
2 818
3 088
3 375
3 671
4 308
4 827
5 302
Sales by product line
Watches
1 560
1 750
2 053
2 263
2 555
Jewellery
789
844
1 011
1 146
1 254
Leather goods
240
258
353
463
498
Writing instruments
273
297
326
373
374
Clothing and other
513
522
565
582
621
3 375
3 671
4 308
4 827
5 302
Five year record
Richemont Annual Report and Accounts 2008
125
Five year record