The financial highlights in brief
- The year 2006 was mainly characterised by positive developments in the gross margin in the first half and increasing pressure on the gross margin in the second half as a result of increased purchase costs. Notably the decrease in the operating expenses contributed to the positive development of the results compared to last year;
- Turnover excluding incidental items increased 14% to € 5,390 million;
- Operating profit excluding incidental items increased 19% to € 773 million;
- The gross margin as a percentage of the turnover decreased from 43% in 2005 to 39% in 2006, notably due to the increase in the purchase costs of gas, electricity and raw materials for the generation of electricity. In addition, the settled results from trading activities decreased compared to last year, despite the increase in total trading results (i.e. including fair value movements) in 2006;
- Operating expenses, excluding incidental items, decreased 5% to € 1,228 million. Savings were mainly realised on the hiring of external employees. In addition, the operating expenses were positively influenced by lower additions to, the release of provisions and lower impairments on debtors;
- Profit after taxation for 2006 amounted to € 763 million (2005: € 1,138 million). Excluding incidental items, the profit after taxation increased from € 416 million in 2005 to € 495 million in 2006;
- The free cash flow was slightly higher than the level of 2005. In addition, net debt was reduced in 2006 to € 72 million compared to € 922 million at the end of 2005.
