Analysis of Attributable Net Profit

	March 2006 € m	March 2005 € m
Parent and subsidiaries
Net profit before non-recurring (expenses)/income	586	338
Non-recurring income	22	76
Attributable net profit from parent and subsidiaries	608	414
Share of post-tax profit of associate – British American Tobacco
Net profit before non-recurring (expenses)/income	544	493
Non-recurring (expenses)/income	(58)	305
Net profit – share of associate	486	798
Attributable net profit of the Group	1094	1212
Analysed as follows:
Parent, subsidiaries and share of associate before non-recurring items	1130	831
Non-recurring (expenses)/income	(36)	381
Attributable net profit of the Group	1094	1212

Earnings per unit excluding non-recurring (expenses)/income
Basic	€2.043	€1.517
Diluted basis	€2.015	€1.498

During the year the Group realised non-recurring income of € 28 million, being the net disposal gains realised within its luxury business as detailed earlier on page 41. Net of taxation, this non-recurring income amounted to € 22 million. In the prior year there were no such items within the Group’s luxury business. However, in the prior year the Group realised a gain of € 76 million in respect of the partial disposal of British American Tobacco ordinary shares.

The non-recurring items included in the Group’s share of the results of its associate, British American Tobacco, amounted to a net charge of € 58 million in the year under review. This primarily reflected restructuring charges, net of gains on the disposal of subsidiaries, non-current investments and brands. In the comparative year, the nonrecurring net gain of € 305 million primarily reflected gains on the disposal of subsidiaries, non-current investments and brands, reduced by the impact of restructuring charges. The most significant of these disposal gains arose in the quarter ended 30 September 2004 and related to the agreement to combine British American Tobacco’s US business, Brown & Williamson, with R.J. Reynolds.

Excluding non-recurring items from both years, attributable net profit in the year to 31 March 2006 would have been € 1 130 million compared to € 831 million in the prior year, representing an increase of 36 per cent. Excluding non-recurring items, Richemont’s fully diluted earnings per unit would have increased by 35 per cent from € 1.498 to € 2.015.