Group income statement

for the 52 weeks to 24 March 2007

  Note 2007
£m		 2006
£m
Continuing operations      
Revenue 3 17,151 16,061
Cost of sales   (15,979) (14,994)
Gross profit   1,172 1,067
Administrative expenses   (669) (839)
Other income   17 1
Operating profit 4 520 229
Finance income 5 64 30
Finance costs 5 (107) (155)
Profit before taxation   477 104
Analysed as:      
Underlying profit before tax1   380 267
Profit on sale of properties 4 7 1
Financing fair value movements 5 8 (12)
One-off items 7 82 (152)
    477 104
Income tax expense 8 (153) (46)
Profit for the financial year   324 58
Attributable to:      
Equity holders of the parent   325 64
Minority interests   (1) (6)
    324 58
Earnings per share 9 pence pence
Basic   19.2 3.8
Diluted   18.9 3.8
  1. Profit before tax from continuing operations before any gain or loss on the sale of properties, impairment of goodwill, financing fair value movements and one-off items that are material and infrequent in nature. In the current financial year, these one-off items were the profit on part disposal of Sainsbury’s Bank and past service gains on defined benefit schemes. In the prior financial year, these one-off items were the Business Review costs, IT insourcing costs and debt restructuring costs.