1.4 Net profit

 

 

 

 

 

 

Actual

Variance

€ million

2018

2017

Actual rates

CER

Recurring EBIT

1 105

1 130

-2%

1%

Impairment charges

0

-1

-74%

-69%

Restructuring expenses

-20

-23

-11%

-10%

Gain on disposals

47

3

>100%

>100%

Other non-recurring income/expenses (-)

-23

-22

6%

7%

Total non-recurring income/expenses (-)

4

-43

>-100%

>-100%

EBIT (operating profit)

1 109

1 087

2%

5%

Net financial expenses (-)

-93

-99

-6%

-5%

Result from associates

-1

0

N/A

N/A

Profit before income taxes

1 015

988

3%

6%

Income tax expenses

-200

-218

-8%

-5%

Profit from continuing operations

815

770

6%

9%

Profit/loss (-) from discontinued operations

8

1

>100%

>100%

Profit

823

771

7%

10%

Attributable to UCB shareholders

800

753

6%

10%

Attributable to non-controlling interests

23

18

26%

32%

Profit attributable to UCB shareholders

800

753

6%

10%

 

 

 

 

 

Total non-recurring income/expenses (-) reached € 4 million pre-tax income, compared to € 43 million pre-tax expense in 2017. The income in 2018 is related to gain on disposals from divestitures of UCB’s non-core assets, income resulting from the cumulative amount of exchange differences for liquidated foreign legal entities in 2018 offset with restructuring expenses and provisions for litigations. In 2017, the expense related to restructuring and litigation.

Net financial expenses decreased to € 93 million from € 99 million.

Income tax expenses went down 8% to € 200 million compared to € 218 million in 2017. The average effective tax rate on recurring activities was 19.7% compared to 22.0% in 2017. The effective tax rate 2018 has decreased thanks to R&D incentives.

Profit/loss from discontinued operations reached a profit of € 8 million after € 1 million in 2017.

The profit of the Group amounted to € 823 million (after € 771 million), of which € 800 million is attributable to UCB shareholders and € 23 million to non-controlling interests. For 2017, profit reached € 771 million, of which € 753 million were attributable to UCB shareholders and € 18 million to non-controlling interests.