Restatement boost for BAT
British American Tobacco sees profits increase under IFRS.
Tobacco company BAT has seen large increases in its pre-tax profits and basic earnings per share after restating its 2004 accounts according to IFRS.
The tobacco giant saw pre-tax profit for 2004 come in at £1.8bn under UK GAAP, but under the new accounting standards pre-tax profits soared to £3.6bn.
Basic earnings per share for 2004 also rocketed under IFRS, coming in at 135.11p per share as compared to the 55.02p per share reported in the UK GAAP accounts.
BAT attributed the increases to no longer having to amortise goodwill and treating gains and losses on the disposal of subsidiaries differently.