Financials

STATEMENT OF DIRECTORS' RESPONSIBILITIES IN RELATION TO THE SUMMARY FINANCIAL INFORMATION

The Summary financial information comprises the Consolidated income statement, Consolidated statement of comprehensive income, Consolidated balance sheet, Consolidated cash flow statement and Consolidated statement of changes in equity of BBC Worldwide Limited ('the Company').

The Summary financial information presented within the Annual Review does not constitute the statutory accounts of the Company for the financial years ended 31 March 2015 and 31 March 2014 but represents extracts from them. These extracts do not provide as full an understanding of the financial performance and position, or financial and investing activities, of the Company as the complete annual financial statements of the Company.

The statutory accounts for those years have been reported on by the Company's auditor. The statutory accounts for 31 March 2014 have been delivered to the registrar of companies, and those for 31 March 2015 will be delivered in due course. The reports of the auditor were:

(i) unqualified;

(ii) did not include a reference to any matters to which the auditor drew attention by way of emphasis without qualifying their report, and;

(iii) did not contain a statement under section 498 (2) or (3) of the Companies Act 2006.

The Annual Report, including the auditor's report, can be downloaded at www.bbcworldwide.com.

The Directors of the Company ('the Directors') have accepted responsibility for preparing the Annual Review and for preparing the Summary financial information included therein by extracting the Consolidated income statement, Consolidated statement of comprehensive income, Consolidated balance sheet, Consolidated cash flow statement and Consolidated statement of changes in equity directly from the Company's full annual financial statements.

The Summary financial information was approved by the Directors and signed on their behalf on 9 June 2015 by:

Tim Davie
Chief Executive, BBC Worldwideand Director, Global

 

INDEPENDENT AUDITOR'S STATEMENT TO BBC WORLDWIDE LIMITED

We have examined the Summary financial information for the year ended 31 March 2015, which comprises the Consolidated income statement, Consolidated statement of comprehensive income, Consolidated balance sheet, Consolidated cash flow statement and Consolidated statement of changes in equity on pages 42 to 45 of the Annual Review.

This Report is made solely to the Company in accordance with the terms of our engagement letter dated 4 June 2015. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the Company, for our work, for this report, or the opinion we have formed.

Respective responsibilities of the Directors and the auditor

As explained more fully in the Statement of Directors' Responsibilities on page 40, the Directors are responsible for preparing the Summary financial information so that it is consistent with the full annual financial statements of the Company.

Our responsibility is to report to the Company our opinion on the consistency of the Summary financial information, with the full annual financial statements.

We also read the other information contained in the Annual Review and consider the implications for our report if we become aware of any apparent misstatements or material inconsistencies with the summary financial information.

We conducted our work in accordance with Bulletin 2008/3 issued by the Auditing Practices Board. Our report on the Company's full annual financial statements describes the basis of our opinion on those financial statements.

Opinion

In our opinion the Summary financial information is consistent with the full financial statements of the Company for the year ended 31 March 2015.

Richard Wilson (Senior Statutory Auditor)
For and on behalf of Ernst & Young LLP,
Statutory Auditor
London

9 June 2015

 

CONSOLIDATED INCOME STATEMENT

FOR THE YEAR ENDED 31 MARCH 2015

 

Ongoing businesses
2015
£m

BBC AMERICA*
2015
£m

Total
2015
£m

Ongoing businesses
2014
£m

BBC AMERICA*
2014
£m

Total
2014
£m

HEADLINE SALES INCLUDING JOINT VENTURES

948.1

53.7

1,001.8

944.5

97.8

1,042.3

Less: Share of revenue of joint ventures

(150.5)

-

(150.5)

(150.3)

-

(150.3)

REVENUE

797.6

53.7

851.3

794.2

97.8

982.0

 

 

 

 

 

 

 

Total operating costs

(782.5)

(42.3)

(770.8)

(719.7)

(62.6)

(782.3)

Share of results of joint ventures and associates

35.8

-

35.8

25.9

-

25.9

OPERATING PROFIT

104.9

11.4

116.3

100.4

35.2

135.6

 

 

 

 

 

 

 

Analysed as:

 

 

 

 

 

 

Headline profit

127.2

11.4

138.6

122.2

35.2

157.4

Share of interest and tax of joint ventures and associates

(9.4)

-

(9.4)

(9.7)

-

(9.7)

Pension deficit reduction payment

(8.1)

-

(8.1)

(2.3)

-

(2.3)

Other specific items

(4.8)

-

(4.8)

(9.8)

-

(9.8)

 

104.9

11.4

116.3

100.4

35.2

135.6

 

 

 

 

 

 

 

Gains on disposals

-

115.9

115.9

4.1

-

4.1

Other gains and losses

(5.7)

-

(5.7)

(9.3)

-

(9.3)

Finance income

0.8

-

0.8

0.4

-

0.4

Finance expense

(3.5)

-

(3.5)

(4.6)

-

(4.6)

PROFIT BEFORE TAX

96.5

127.3

223.8

91.0

35.2

126.2

Profit before tax excluding gains and losses on disposals

96.5

11.4

107.9

86.9

35.2

122.1

 

 

 

 

 

 

 

Tax charge for the year

(11.7)

(26.6)

(38.3)

(14.3)

(13.8)

(28.1)

PROFIT FOR THE YEAR ATTRIBUTABLE TO EQUITY SHAREHOLDER OF THE PARENT COMPANY

84.8

100.7

185.5

76.7

21.4

98.1

 

CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

FOR THE YEAR ENDED 31 MARCH 2015

 

Ongoing businesses
2015
£m

BBC AMERICA*
2015
£m

Total
2015
£m

Ongoing businesses
2014
£m

BBC AMERICA*
2014
£m

Total
2014
£m

PROFIT FOR THE YEAR

84.8

100.7

185.5

76.7

21.4

98.1

 

 

 

 

 

 

 

ITEMS THAT ARE OR MAY BE RECLASSIFIED TO PROFIT OR LOSS:

 

 

 

 

 

 

Recycling of translation reserves on disposal of business

-

6.1

6.1

-

-

-

Recognition and transfer of cash flow hedges

(10.9)

-

(10.9)

16.4

-

16.4

Tax on cash flow hedges taken directly to other comprehensive income

2.3

-

2.3

(3.7)

-

(3.7)

Exchange differences on translation of foreign operations

16.4

2.8

19.2

(1.5)

(5.6)

(7.1)

OTHER COMPREHENSIVE INCOME FOR THE YEAR

7.8

8.9

16.7

11.2

(5.6)

5.6

TOTAL COMPREHENSIVE INCOME FOR THE YEAR ATTRIBUTABLE TO EQUITY SHAREHOLDER OF THE PARENT COMPANY

92.6

109.6

202.2

87.9

15.8

103.7

* BBC AMERICA: this comprises the results of NVCA up to the date of disposal, together with the Group's gain on disposal. Whilst the transaction does not meet the criteria of a discontinued operation under IFRS 5 Non-Current Assets Held for Sale and Discontinued Operations, it is considered to be of sufficient importance as to justify the presentation of a separate column for BBC AMERICA in order to provide a better understanding of the profit and other comprehensive income for the current and the prior year.

 

CONSOLIDATED BALANCE SHEET

AS AT MARCH 2015

 

2015
£m

2014
£m

NON-CURRENT ASSETS

 

 

Goodwill

33.4

34.1

Distribution rights

202.8

170.1

Other intangible assets

27.9

21.0

Property, plant and equipment

28.6

16.9

Interests in joint ventures and associates

148.8

12.8

Investments

13.1

8.5

Deferred tax assets

4.2

3.5

Derivative financial assets

2.9

3.4

 

461.7

270.3

 

 

 

CURRENT ASSETS

 

 

Programme rights and other inventories

67.3

102.6

Trade and other receivables

367.2

315.4

Current tax receivable

20.6

12.7

Derivative financial assets

8.4

9.5

Cash and cash equivalents

66.6

45.1

Assets classified as held for sale

3.0

-

 

533.1

485.3

 

 

 

TOTAL ASSETS

994.8

755.6

 

 

 

CURRENT LIABILITIES

 

 

Interest bearing loans and borrowings

0.3

0.7

Trade and other payables

405.2

327.6

Current tax liabilities

4.6

2.6

Provisions

5.3

4.7

Derivative financial liabilities

10.2

1.1

 

425.6

336.7

 

 

 

NON-CURRENT LIABILITIES

 

 

Interest-bearing loans and borrowings

135.5

98.7

Trade and other payables

0.8

0.8

Provisions

1.9

0.5

Derivative financial liabilities

6.2

2.0

Deferred tax liabilities

19.2

2.2

 

163.6

104.2

 

 

 

TOTAL LIABILITIES

589.2

440.9

 

 

 

NET ASSETS

405.6

314.7

 

 

 

EQUITY

 

 

Share capital

0.2

0.2

Hedging reserve

(3.0)

5.6

Translation reserve

12.1

(13.2)

Retained earnings

396.3

322.1

TOTAL EQUITY

405.6

314.7

 

CONSOLIDATED CASH FLOW STATEMENT

FOR THE YEAR ENDED 31 MARCH 2015

 

2015
£m

2014
£m

CASH FLOWS FROM OPERATING ACTIVITIES

 

 

Cash generated from operations

217.5

188.1

Tax paid

(26.5)

(37.6)

 

191.0

150.5

 

 

 

CASH FLOWS FROM INVESTING ACTIVITIES

 

 

Interest received

0.8

0.4

Dividends received from joint ventures and associates

26.5

18.2

Purchases of distribution rights

(145.9)

(142.2)

Purchases of other intangible assets

(11.7)

(7.7)

Purchases of property, plant and equipment

(20.3)

(1.9)

Proceeds on disposal of available-for-sale investments

-

1.8

Disposal of operations net of cash disposed

64.5

25.7

Disposal of distribution rights

-

1.8

Acquisition of interests in joint ventures and associates

(3.6)

(0.4)

Acquisition of investments

(5.4)

(2.6)

Amounts advanced to related parties

(0.1)

(0.4)

Repayment by related parties

0.3

2.0

 

(94.9)

(107.1)

 

 

 

CASH FLOWS FROM FINANCING ACTIVITIES

 

 

Interest paid

(3.3)

(4.6)

Drawdown of loans and borrowings

36.4

25.5

Equity dividends paid

(111.3)

(88.3)

 

(78.2)

(67.4)

 

 

 

NET INCREASE/(DECREASE) IN CASH AND CASH EQUIVALENTS

17.9

(24.0)

 

 

 

Cash and cash equivalents at the beginning of the year

45.1

74.7

Foreign exchange translation gains/(losses)

3.6

(5.6)

CASH AND CASH EQUIVALENTS AT END OF THE YEAR

66.6

45.1

Cash and cash equivalents is comprised entirely of cash at banks and on hand.

 

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

FOR THE YEAR ENDED 31 MARCH 2015

 

Share capital
£m

Hedging reserve
£m

Translation reserve
£m

Retained earnings
£m

Total equity
£m

BALANCE AT 1 APRIL 2013

0.2

(7.1)

(6.1)

312.3

299.3

Profit for the year

-

-

-

98.1

98.1

Recognition and transfer of cash flow hedges

-

16.4

-

-

16.4

Tax on items taken directly to equity

-

(3.7)

-

-

(3.7)

Exchange differences on translation of foreign operations

-

-

(7.1)

-

(7.1)

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

-

12.7

(7.1)

98.1

103.7

Dividends paid

-

-

-

(88.3)

(88.3)

BALANCE AT 31 MARCH 2014

0.2

5.6

(13.2)

322.1

314.7

Profit for the year

-

-

-

185.5

185.5

Recycling of translation reserves on disposal

-

-

6.1

-

6.1

Recognition and transfer of cash flow hedges

-

(10.9)

-

-

(10.9)

Tax on items taken directly to equity

-

2.3

-

-

2.3

Exchange differences on translation of foreign operations

-

-

19.2

-

19.2

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

-

(8.6)

25.3

185.5

202.2

Dividends paid

-

-

-

(111.3)

(111.3)

BALANCE AT 31 MARCH 2015

0.2

(3.0)

12.1

396.3

405.6