Financial Statements
19 Notes to the cash flow statement
Reconciliation of profit on ordinary activities before tax to cash generated from operations
| 2006 £m |
2005 £m |
|
|---|---|---|
| Profit on ordinary activities before tax | 1,590 | 738 |
| Non-cash movements | ||
| Net valuation gains on investment properties and investments | ||
| Revaluation of properties | (1,203) | (550) |
| Revaluation of investments | (92) | (43) |
| Gains on investment property disposals and property derivatives | (166) | (16) |
| (1,461) | (609) | |
| Share of profits after tax of funds and joint ventures | (311) | (158) |
| Spreading of tenant incentives, guaranteed rent uplifts and letting fees | (55) | (38) |
| Impairment of goodwill | 240 | |
| Negative goodwill | (2) | |
| Depreciation and amortisation | 11 | 1 |
| Share options, share awards and pension funding | 20 | 8 |
| (1,556) | (798) | |
| Changes to working capital and other cash movements | ||
| Net financing costs | 369 | 326 |
| Refinancing charges (as described in note 7) | 122 | 180 |
| Dividends received | (16) | |
| Share options, share awards and pension funding | (6) | |
| Decrease in trading properties | 6 | |
| (Increase) decrease in debtors | (9) | 1 |
| (Decrease) increase in creditors | (39) | 11 |
| 421 | 524 | |
| Cash generated from operations | 455 | 464 |