Last checked at 29 Jun 2009 12:45
The Rank Group Plc
29 June 2009
Accounting change: segmental operating profit
The Rank Group Plc ('Rank' or the 'Group') in accordance with IFRS 8 ('Operating segments') will modify its reporting of segmental operating profit from the beginning of the current financial year. This is solely an accounting adjustment and consequently there are no changes to Group operating profit, profit before tax or earnings per share.
Certain operating costs, previously reported within 'shared services' will be allocated to Mecca Bingo, Grosvenor Casinos and Rank Interactive as appropriate. In addition, the remaining 'shared services' costs will be aggregated with 'central costs' under 'central overhead'. These changes will take effect from Rank's half-year financial results for the six months ended 30 June 2009 which are scheduled to be announced on 31 July 2009.
To aid year-on-year comparison, Rank has prepared segmental operating profit figures for 2008 (first half and full year) on the same allocation basis that it will report its 2009 financial results (see note 1 below).
The Rank Group Plc full-year 2008 - segmental operating profit (£ million)
| Treatment adopted for 2009 financial year | As published in annual report business review | |
| Mecca Bingo | 37.9 | 41.8 |
| Top Rank Espana | 6.9 | 6.9 |
| Grosvenor Casinos | 25.9 | 29.5 |
| Rank Interactive | 7.6 | 11.4 |
| Shared services | - | (20.8) |
| Central costs | - | (8.5) |
| Central overhead | (18.0) | - |
| Group | 60.3 | 60.3 |
The Rank Group Plc half-year 2008 - segmental operating profit (£ million)
| Treatment adopted for 2009 financial year | As published in annual report business review | |
| Mecca Bingo(1) | 22.7 | 24.5 |
| Top Rank Espana | 4.1 | 4.1 |
| Grosvenor Casinos | 12.5 | 14.5 |
| Rank Interactive | 3.5 | 5.3 |
| Shared services | - | (11.2) |
| Central costs | - | (5.4) |
| Central overhead | (11.0) | - |
| Group(1) | 31.8 | 31.8 |
Note 1 - Operating profit for Mecca Bingo and the Group in the first half of 2008 is shown on the same basis as that disclosed in the business review section of the Group's annual report and financial statements. This differs from the figure disclosed in the Group's 2008 half-year results statement (which will be the comparative in the 2009 half year results statement) owing to a VAT repayment from HMRC which was recognised in the year.
Ends
Further information
The Rank Group Plc
Dan Waugh, director of investor relations: 01628 504 053
Financial Dynamics
Ben Foster/Marc Cohen 020 7831 3113
Notes to editors
About the Rank Group
Rank is a leading European gaming business, head-quartered in the UK and listed on the London Stock Exchange (RNK.L). The Group's principal activities are the operation of bingo clubs and casinos in the UK with complementary on-line gaming and bookmaking services. For more information about The Rank Group, visit www.rank.com.