We produce a wide range of specialist, high-specification materials that have extraordinary attributes and properties. Engineered into products, they deliver enhanced performance, often under extreme conditions. Our dynamic, highly skilled people are continuously engaged in finding solutions for complex and technologically demanding applications, which are used all over the world. In short, we supply innovative, differentiated products made from highly technical advanced materials which enable our customers' products and processes to perform more efficiently, more reliably and for longer.
- A year of strong performance with record revenue and operating profit for the Group.
- Revenue for the year increased by \(8.2 \%\) to \(£ 1,101.0\) million.
- Underlying profit before taxation* increased by \(58.1 \%\) to \(£ 119.7\) million.
- Underlying earnings per share \({ }^{\star \star \star}\) increased by \(59.9 \%\) to 29.9 pence per share.
- Proposed final dividend increased by \(20.0 \%\) to 6.0 pence, giving a full-year dividend of 9.25 pence.
Extract from Financial Review
Reference is made to 'Underlying operating profit' and 'Underlying earnings per share (EPS)'. EPS is defined in note 9 on page 98 . These measures of earnings are shown because the Directors consider that they give a better indication of underlying performance.

* Defined as operating profit before amortisation of intangible assets less net financing costs.
** Defined as operating profit before amortisation of intangible assets.
*** Defined as basic earnings per share adjusted to exclude amortisation of intangible assets.
Discussion points
1 Why does the company provided a mixture of operational and financial higlights?
2 What are the arguments for and against a company defining its own measure of 'underlying' profits?

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Revenue Underlying profit Continuing businesses m before taxation* 942.6 1,017.1 1,101.0 +8.2% Continuing businesses m 47.7 75.7 119.7 +58.1% Underlying operating profit** margin Continuing businesses % 8.2 10.0 12.9 Underlying earnings per share*** Pence 13.2 18.7 29.9 +59.9%