Notes 6-10
- 6 Segment information
- 7 Product sales information
- 8 Property, plant and equipment
- 9 Goodwill
- 10 Intangible assets
6 SEGMENT INFORMATION
The Group’s activities are in one business segment, pharmaceuticals. There are no other significant classes of business, either singularly or in aggregate.
Geographic areas
The tables below show information by geographic area and, for sales and property, plant and equipment, material countries. The figures show the sales, operating profit and profit before tax made by companies located in that area/country, together with segment assets, segment assets acquired, net operating assets and property, plant and equipment owned by the same companies; export sales and the related profit are included in the area/country from which those sales were made.
| Sales | |||
|---|---|---|---|
| 2007 $m |
2006 $m |
2005 $m |
|
| UK | |||
| External | 1,981 | 1,686 | 1,388 |
| Intra-Group | 6,506 | 6,123 | 5,037 |
| 8,487 | 7,809 | 6,425 | |
| Continental Europe | |||
| Belgium | 387 | 344 | 360 |
| France | 1,806 | 1,641 | 1,630 |
| Germany | 1,164 | 1,113 | 1,180 |
| Italy | 1,111 | 1,075 | 986 |
| Spain | 840 | 723 | 713 |
| Sweden | 985 | 843 | 767 |
| Others | 2,291 | 1,929 | 1,779 |
| Intra-Group | 4,123 | 4,314 | 3,852 |
| 12,707 | 11,982 | 11,267 | |
| The Americas | |||
| Canada | 1,145 | 1,031 | 976 |
| US | 13,404 | 12,381 | 10,735 |
| Others | 872 | 673 | 523 |
| Intra-Group | 786 | 351 | 413 |
| 16,207 | 14,436 | 12,647 | |
| Asia, Africa & Australasia | |||
| Australia | 631 | 481 | 502 |
| Japan | 1,585 | 1,433 | 1,453 |
| China | 403 | 224 | 198 |
| Others | 954 | 898 | 760 |
| Intra-Group | 56 | 49 | 41 |
| 3,629 | 3,085 | 2,954 | |
| Continuing operations | 41,030 | 37,312 | 33,293 |
| Intra-Group eliminations | (11,471) | (10,837) | (9,343) |
| 29,559 | 26,475 | 23,950 | |
Export sales from the UK totalled $7,546m 31 December 2007 (2006 $7,012m, 2005 $5,716m). In the US, sales to three wholesalers accounted for approximately 82% of US sales (2006 three wholesalers accounted for approximately 80%, 2005 three wholesalers accounted for approximately 80%).
Intra-Group pricing is determined on an arm’s length basis.
| Operating profit | Profit before tax | |||||
|---|---|---|---|---|---|---|
| Profit from | 2007 $m |
2006 $m |
2005 $m |
2007 $m |
2006 $m |
2005 $m |
| UK | 2,060 | 1,852 | 1,526 | 1,828 | 1,936 | 1,560 |
| Continental Europe | 2,894 | 3,648 | 3,073 | 2,964 | 3,700 | 3,095 |
| The Americas | 2,734 | 2,437 | 1,628 | 2,781 | 2,627 | 1,743 |
| Asia, Africa & Australasia | 406 | 279 | 275 | 410 | 280 | 269 |
| Continuing operations | 8,094 | 8,216 | 6,502 | 7,983 | 8,543 | 6,667 |
| Total assets | ||||||
| 2007 $m |
2006 $m |
2005 $m |
||||
| UK | 12,003 | 13,346 | 10,694 | |||
| Continental Europe | 7,311 | 6,937 | 6,525 | |||
| The Americas | 24,175 | 6,334 | 5,686 | |||
| Asia, Africa & Australasia | 2,217 | 1,950 | 1,752 | |||
| Income tax receivable | 2,251 | 1,365 | 183 | |||
| Continuing operations | 47,957 | 29,932 | 24,840 | |||
| Assets acquired 1 | Net operating assets 2 | |||||
| 2007 $m |
2006 $m |
2005 $m |
2007 $m |
2006 $m |
2005 $m |
|
| UK | 929 | 2,282 | 366 | 5,043 | 4,977 | 3,761 |
| Continental Europe | 624 | 440 | 380 | 4,972 | 4,820 | 4,703 |
| The Americas | 17,858 | 292 | 224 | 19,742 | 2,081 | 1,930 |
| Asia, Africa & Australasia | 48 | 50 | 38 | 1,510 | 1,270 | 1,228 |
| Continuing operations | 19,459 | 3,064 | 1,008 | 31,267 | 13,148 | 11,622 |
1Included in ‘assets acquired’ are those assets that are expected to be used during more than one period (property, plant and equipment, goodwill and intangible assets).
2Net operating assets exclude short term investments, cash, short term borrowings, loans, retirement benefit obligations and non-operating receivables and payables.
| Property, plant and equipment | |||
|---|---|---|---|
| 2007 $m |
2006 $m |
2005 $m |
|
| UK | 2,490 | 2,508 | 2,276 |
| Sweden | 2,204 | 2,104 | 1,897 |
| US | 1,915 | 1,172 | 1,176 |
| Rest of the world | 1,689 | 1,669 | 1,636 |
| Continuing operations | 8,298 | 7,453 | 6,985 |
Geographic markets
The table below shows turnover in each geographic market in which customers are located.
| 2007 $m |
2006 $m |
2005 $m |
|
|---|---|---|---|
| UK | 1,003 | 850 | 757 |
| Continental Europe | 9,138 | 8,053 | 7,706 |
| The Americas | 15,459 | 14,213 | 12,327 |
| Asia, Africa & Australasia | 3,959 | 3,359 | 3,160 |
| Continuing operations | 29,559 | 26,475 | 23,950 |
