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Annual Report and Financial Statements 2003
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Group profit and loss account
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    Note   2003
£m
2002
£m
 
  Turnover including VAT and sales taxA     18,495 18,206
  VAT and sales tax     (1,065) (1,044)
 
 
  Continuing operations     17,430 17,154
  Discontinued operations     8
           
  Turnover excluding VAT and sales tax 2,3   17,430 17,162
  Cost of sales (including exceptional costs) 3   (16,039) (15,905)
 
  Gross profit     1,391 1,257
 
  Group administrative expenses (including exceptional costs) 3   (717) (632)
 
  Continuing operations – operating profit before exceptional costs
and amortisation of goodwill
    752 679
  Exceptional operating costs 3   (65) (38)
  Amortisation of goodwill 13   (13) (14)
 
 
  Continuing operations – operating profit     674 627
  Discontinued operations – operating loss     (2)
 
 
  Group operating profit 3   674 625
  Share of profit/(loss) in joint ventures     3 (1)
  Loss on sale of properties 4   (11) (4)
  Disposal of operations – discontinued 5   61
 
  Profit on ordinary activities before interest     727 620
  Net interest payable and similar items 6   (60) (49)
 
 
  Underlying profit on ordinary activities before taxB     695 627
  Exceptional items     (15) (42)
  Amortisation of goodwill     (13) (14)
 
 
  Profit on ordinary activities before tax 7   667 571
  Tax on profit on ordinary activities 10   (206) (200)
 
  Profit on ordinary activities after tax     461 371
  Equity minority interest     (7) (7)
 
  Profit for the financial year     454 364
  Equity dividends 11   (298) (285)
 
  Retained profit for the financial year     156 79
 
 
  Basic earnings per share 12   23.7p 19.1p
  Underlying earnings per shareB 12   24.2p 21.5p
  Diluted earnings per share 12   23.7p 18.9p
  Underlying diluted earnings per shareB 12   24.1p 21.3p
 
 
 
A Including VAT at Sainsbury’s Supermarkets and sales tax at Shaw's Supermarkets.
B Before exceptional items and amortisation of goodwill.
   
  Notes to the financial statements

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