REPORT OF THE BOARD OF MANAGING DIRECTORS
I
INTRODUCTION
The growth of the Group continued in the financial year 1976/1977. Apart from
a substantial autonomous growth, the extension of the consolidation, which is
explained in further detail below, has had a not inconsiderable effect on the
annual accounts. The effect of this extension on the net profit, however, was
of only limited significance.
The consolidated turnover increased by 15.6% from N.fl. 2,137 million to
N.fl. 2,470 million.
The net profit rose by 18.8% from N.fl. 92.2 million to N.fl. 109.6 million. Per
share of N.fl. 25.par value the profit was N.fl. 11,85, compared with N.fl. 9.97
for the previous financial year.
The condensed statement of income shows the following picture (in millions
of guilders)
1976/1977 1975/1976
amount amount
TURNOVER 2,470.2 100.- 2,136.9 100.-
costs 2,222.2 90.- 1,939.2 90.7
TRADING PROFIT
248.-
10.-
197.7
9.3
interest
- 37.-
1.5
- 31.4
-
1.5
revenues less charges
2.1
0.1
0.1
-.-
taxation
- 106.9
4.3
- 84.9
-
4.-
dividend from
participations
5.6
0.2
7.3
0.3
minority interests
2.2
0.1
3.4
0.2
NET PROFIT
109.6
4.4
92.2
4.3
As this statement shows, the trading profit has increased from 9.3% to 10.-%
of turnover.
Although the results of our activities in the Netherlands were of great importance
and, we trust, will remain so in the future, the progress achieved in the year
under review was partly attributable to a substantial growth in our beer exports,
as well as to the higher earnings of participations outside the Netherlands.
The interest expense has risen this year from N.fl. 31.4 million to N.fl. 37.-
million. The increase in this item is mainly due to the extension of the con
solidation.
11
