Diageo
financial legal appendix | Diageo
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Industry
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January 2024
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36 of 39
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financial legal appendix | Diageo
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financial legal appendix definitions and reconciliation of non measures to measures strategic planning process is based on certain non measures including organic movements these non measures are chosen for planning and reporting and some of them are used for incentive purposes the group management believes these measures provide valuable additional information for users of the statements in understanding the group performance these non measures should be viewed as complementary to and not replacements for the comparable measures and reported movements therein it is not possible to reconcile the forecast tax rate before exceptional items to the most comparable measure as it is not possible to predict without unreasonable effort with reasonable certainty the future impact of changes in exchange rates acquisitions and disposals and potential exceptional items volume volume is a performance indicator that is measured on an equivalent units basis to nine cases of spirits an equivalent unit represents one nine case of spirits which is approximately servings a serving comprises of spirits of wine or of ready to drink or beer therefore to convert volume of products other than spirits to equivalent units the following guide has been used beer in divide by wine in nine cases divide by five ready to drink and certain mixed products that are classified as ready to drink in nine cases divide by ten organic movements organic information is presented using pounds sterling amounts on a constant currency basis excluding the impact of exceptional items certain fair value remeasurement and acquisitions and disposals organic measures enable users to focus on the performance of the business which is common to both years and which represents those measures that local managers are most directly able to influence calculation of organic movements an explanation of non measures including organic movements is set out on page of annual report for the year ended june presentation june | Diageo
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