ROK
MOULDBREAKING LEADTAKING GAMERAISING
EVERPRAISING LIFECHANGING WIDERANGING
HARDWORKING FUNLOVING ROK!
www.rokgroup.com
ROK
Annual Report 2003
Rok property solutions plc
FUN FRESH VIBRANT PASSIONATE OPEN 
ADVANCED IMPRESSIVE COOL INVOLVED 
EXCELLENT EXCITING SERVICE-DRIVEN 
RELIABLE FLEXIBLE ENERGETIC WINNING
CHALLENGING HELPFUL APPROACHABLE
VALUED AMAZING RESPONSIVE HONEST
INTELLIGENT BRILLIANT MOTIVATING
STRATEGIC PROFITABLE NEW SORTED
Rok property solutions plc Annual Report 2003
Cover To Print  17/3/04  4:13 PM  Page 1 1 Financial highlights
2 What we do and how we do it
6 Chairman’s statement
8 Chief Executive’s review
24 Financial review
26 Directors’ report
27 Directors
28 Corporate and social responsibility
32 Financial statements
50 Corporate governance
52 Remuneration report
56 Independent auditors’ report
57 Five year summary
58 Shareholder information
59 Contact points
Our vision
Property solutions:
Creating specially tailored services that use our core
skills to add value for our clients.
Our objectives
To be the best construction stock
To be the best employer
To be the best in local markets
Contents
[Front Cover]
Each year Rok offices organise
charity days in their local
communities which generate large
sums for deserving causes and great
fun for all taking part.
Rok sponsors a wide variety of public
events ranging from classes at
County Shows and local festivals to
the prestigious RIBA Town and
Country Design Awards.
Designed and produced by The Design Stable
Printed in the UK by Westerham Press, St Ives plc
© Rok property solutions plc 2004
The manager of the new Land Rover
showroom built by Rok at Matford in
Exeter said it had been possible to
move in with the minimum of hassle
thanks to the excellent working
relationships with all parties
throughout the project.
Cover To Print  17/3/04  4:13 PM  Page 2 1
Financial highlights
Rok annual report 03
T urnover
£million
* before goodwill amortisation and exceptional costs
Profit before taxation*
£million
Earnings per share*
pence
Dividend per share
pence
92
00
125
01
221
02
380
03
1.3
00
4.1
01
6.8
02
11.4
03
9.8
00
19.6
01
23.8
02
32.1
03
4.5
00
5.5
02
6.4
03
ROK HAS ENJOYED ANOTHER VERY SUCCESSFUL YEAR, DELIVERING A THIRD
SUCCESSIVE RECORD SET OF RESULTS.THIS DEMONSTRATES THE
EFFECTIVENESS OF THE GROUP’S FOCUS ON OPERATING A SERVICE-LED
RATHER THAN PRODUCT -DRIVEN OFFERING TO ITS CUSTOMERS.
5.0
01
2003 2002 Change
T urnover £380.0m £221.0m +72%
Profit before taxation* £11.4m £6.8m +67%
Profit before taxation £10.0m £4.5m +122%
Earnings per share* 32.1p 23.8p +35%
Dividends per share 6.40p 5.50p +16%
Net assets £34.7m £29.7m +17%
Net debt £2.6m £7.6m -66%
Gearing 7.5% 25.8%
Return on average capital employed 26.8% 14.8%
FRONT section 1-30_17/3  17/3/04  4:14 PM  Page 1 What we do
We develop commercial, industrial,
retail and leisure premises, most of
which we build ourselves. In addition,
we provide building and construction
services to a wide range of customers
varying from ‘small ticket’ to large
capital projects. We also maintain
buildings providing 24-hour urgent
response repairs or planned
preventative maintenance.
How we do it
Rok is the mould-breaker of our
industry. We care passionately about
our customers, our people, and the
quality of our service. And we’re
committed to challenging 
preconceptions about how things
should be done. 
We want customers’ experience of Rok
to be both exciting and rewarding. We
will help them articulate their needs,
and use all our skill and expertise to
make their dreams a reality. 
We approach all our relationships with
the same flair and enthusiasm. For
staff, suppliers, and business partners –
as well as customers - the Rok brand
stands for promises kept, expectations
exceeded, and working relationships
that are exciting, mutually beneficial
and fun.
Rok
Rok annual report 03
2
FRONT section 1-30_17/3  17/3/04  4:14 PM  Page 2 Our brand, your experience | SHAREHOLDERS
FOUND THE STYLE AND
WIDE-RANGING CONTENT OF
THE COMPANY’S MAGAZINE
VERY IMPRESSIVE. KEPT IN
THE PICTURE IN SUCH A
DELIGHTFUL WA Y .
EXTREMELY GOOD
STRATEGIC SENSE. EMPHASIS
ON TAKING ON ONLY REALLY
PROFITABLE CONTRACTS.
MANAGEMENT KNOWS
EXACTLY WHAT IT IS DOING.
A WELL MANAGED
COMPANY. ONE OF THE BEST
MANAGED IN ITS SECTOR.
ALWAYS THERE WHEN I
WANT TO SPEAK TO THEM.
EXTREMELY APPROACHABLE,
HONEST AND INTELLIGENT.
CONCENTRATING ON
INSTILLING ITS OWN
CULTURE AND PHILOSOPHY.
THE FEEL-GOOD FACTOR. A
BUSINESS THAT SHOULD
GROW STEADILY. MAKES ME
PROUD TO HAVE A STAKE.
IMPRESSIVE WIDE-RANGING
STRATEGIC DELIGHTFUL
PROFITABLE WELL-MANAGED
APPROACHABLE FEEL-GOOD
INTELLIGENT PROUD
FRONT section 1-30_17/3  17/3/04  4:14 PM  Page 3 Johanna Harrison, Shareholder
When my Autumn copy of Rokface arrived, with a covering letter
from the Chairman (a nice touch), I found the style and wide-ranging
content of the company’s magazine very impressive. It’s a good read
and the ‘feel-good’ factor it evokes made me proud to have a stake
in the organisation. I really appreciate, as a shareholder, being kept in
the picture in such a delightful way.As I live in London, I can’t attend
the Annual General Meetings, so I asked a friend who lives in Exeter
to represent me at one of your AGMs. I am happy to report that she
was so impressed that she, too, became a shareholder.We hope that
when I am next in Exeter we may have the opportunity to visit your
offices and meet some of the people she has already met but I have
only read about.We’d very much like that. I take a keen interest in
the stockmarket, tracking news of the company and its share price
in The Daily Telegraph and Investors Chronicle, and my friend in
Devon sends me cuttings from the local press, which keeps me up
to date with what is happening.
Patrick Evershed, Director of New Star Asset Management Ltd
When investing, I am looking for a company that is one of the best
managed in its sector. Rok is made special by the quality of its senior
management, who have made a good job of turning the company
around and using it as a base for making further acquisitions, which
have fitted in well and have created high quality earnings.These
acquisitions have made extremely good strategic sense and all the
managers of the businesses taken over have the Rok management
philosophy instilled into them.The company puts great emphasis on
taking on only really profitable contracts. Rokforce, has been
developed into a business that should grow steadily and not be
affected by a down turn in the economy. By building up Rokforce the
company is concentrating on quality earnings. Rok’s management is
extremely approachable, honest and intelligent and always there
when I want to speak to them.The relationship could not be better
and I am confident this will continue. If there is a down turn it will
be the same for everyone but Rok is a well managed company and
its management knows exactly what it is doing in its acquisitions,
rationalisations and concentrating on instilling its own culture and
philosophy and I expect it to continue to succeed.
Rok as an investment
FRONT section 1-30_17/3  17/3/04  4:14 PM  Page 4 Former employee Walter Mountford
has held shares in the company for
many years and keeps an eye on
developments via the website and
in-house magazine.
Rok encourages employees to have a
financial stake in the company with a
tax efficient Buy As You Earn Scheme.
Our brand, your experience | SHAREHOLDERS
Rok annual report 03
IMPRESSIVE WIDE-RANGING
STRATEGIC DELIGHTFUL
PROFITABLE WELL-MANAGED
APPROACHABLE FEEL-GOOD
INTELLIGENT PROUD
FRONT section 1-30_17/3  17/3/04  4:14 PM  Page 5 I am pleased to report that your Company has enjoyed another very
successful year, delivering a third successive record set of results.This
demonstrates the effectiveness of the Group’s focus on operating a
service-led rather than product-driven offering to its customers.
Significant progress has been made across all the major parts of the
enlarged Group, which today has 27 offices in towns and cities across
the UK.
I am also pleased to report that the team has continued to achieve
organic growth in both turnover and profits.At the same time, we
have successfully integrated major acquisitions, furthering our goal of
expanding our regionally focused operations across the length and
breadth of the UK.
Results and dividend
Overall Group turnover was up 72% from £221m to £380m with
pre-tax profits (before goodwill amortisation and 2002 exceptional
item) rising 67% from £6.8m to £11.4m.After the full year impact of
the additional shares in issue as a result of the Llewellyn acquisition,
earnings per share (before goodwill amortisation and 2002
exceptional item) rose by 35% to 32.1p.The organic performance
was also very strong with turnover excluding acquisitions increasing
by 32%.
In line with our stated policy of growing the dividend at
approximately half the rate of growth in earnings per share, the
Board is recommending a final dividend of 4.65p, making a total
dividend for the year of 6.4p, up 16% on the 5.5p paid for 2002.The
final dividend will be paid on 7 May 2004 to shareholders on the
register on 2 April 2004.
Objectives
The Board is committed to be judged against the clear targets it has
set out. For 2003, the key tasks we set were:
★ To demonstrate our ability to integrate and extract significant 
shareholder value from substantial acquisitions whilst continuing 
to drive organic growth in revenue and margin.
★ To reorganise Rokforce, our building maintenance service 
operation, and prepare the platform for significant growth.
★ To strengthen the executive team in preparation for the next 
stage in the Group’s development.
I am pleased to report that each of the above tasks has substantially
been achieved.
Driving value through cultural change and customer service
In September 2002, we acquired Llewellyn and effectively doubled
the scale of the Group.The business was swiftly restructured and
integrated. Key to our success in transforming this business was the
significant investment made in changing the underlying culture to
reflect the Rok model with its focus on customer service rather than
product provision.This has resulted in pre-tax margins in Llewellyn’s
core building activities increasing from zero to 1.8% mirroring the
progress made in the original Group when we embarked on a similar
process in 2001.All operations which were non-core to our service
offerings of ‘develop’,‘build’ and ‘maintain’ were disposed of, the last
substantial element being the plant hire business that was sold in
May. Similarly, some 90% of the property portfolio that came with the
acquisition has now been developed and sold.
In November, we seized the opportunity to acquire four branches in
Glasgow,Teesside, Manchester and Ellesmere Port, following the
receivership of Ballast Plc.The integration of these operations and
the cultural change process is well underway to drive productivity,
service and margins.
Where the Rok brand experience is consistently being delivered
across a number of building operations within the original Group, we
are regularly achieving the 3% optimum pre-tax margin that we
expect in current trading conditions. Overall, the original Rok
building activities achieved a 43% growth in revenues and increased
net pre-tax margins to 2.2% (2002: 1.8%).
Rokforce, which delivers our premium maintenance service, was the
focus of major reorganisation during the year.This reorganisation,
coupled with the particularly mild weather throughout 2003, led to a
drop in net pre-tax margin from these operations to 5.8% 
(2002: 7.9%). However, we are confident that our actions have now
created a robust structure and platform for substantial growth in this
area.The flexible cost base we have created and the continuing
investment in systems give us confidence of increasing revenues and
returns in the current and future years.
Chairman’s statement
Rok annual report 03
6
FRONT section 1-30_17/3  17/3/04  4:14 PM  Page 6 7
Galliford T ry
In November 2003, Rok withdrew its interest in pursuing an offer for
Galliford Try plc following their board’s refusal to engage with us and
to facilitate due diligence.We believe our indicative offer represented
significant value and beyond that level it was not in the best interests
of our shareholders to pursue this approach any further.
People
We have made excellent progress in strengthening our executive
team. In September 2003, we welcomed Ashley Martin as Group
Finance Director. His experience in substantial, devolved and
empowered organisations is proving invaluable.
He succeeded Michael Bailey, who had been with the Group since
1985 and Finance Director since 1990.We are most grateful to Mike
for his valued contribution and dedicated service over these years.
A number of other senior executive roles were identified and filled
during the year, reflecting the Group’s increased scale and ambitions.
This process is continuing in 2004.
Strategy
Our strategy remains to drive growth organically from existing
branches and by acquisition, supplemented by opening in-fill branches
to create a local presence throughout the UK.
In every acquisition we make, we look for good core technical skills
and a local reputation restricted, in performance terms, by traditional
hierarchical management structures and the common industry focus
on selling product on the basis of lowest price.We de-layer the
management structure, streamline the administrative processes and
invest substantially in training our people to deliver a service culture.
We are committed to achieving a brand experience for employees,
suppliers, subcontractors and customers that is enjoyable, rewarding
and fun.We take this very seriously – it is what makes us different
from ‘traditional’ companies in our sector and what helps us achieve
industry leading margins and long-lasting relationships with all our
stakeholders.
Prospects
The UK building economy remains strong, especially in the regions
buoyed by continuing strong demand from the public sector in
health, education and housing.The acquisition of four new offices in
the North from Ballast and other new branch openings will give
further momentum in the current year.The Rokeagle development
pipeline continues to be healthy with strong visibility of revenues and
margins for the current year and beyond. Rokforce, having been 
reorganised and embedded into our building units, coupled with
flexibility now built into the cost base, should lead to significant
increases in revenue and return from this activity over the coming
years.The Group is also well placed financially to take advantage of
acquisition opportunities that may arise in fulfilling its strategy of
providing property solutions on a national scale.
Whilst much has been achieved in the last year, this only serves to
emphasise the Group’s potential and gives us confidence that 2004
should be another year of significant progress.
Bob Carlton-Porter
Chairman
15 March 2004
Rok annual report 03
FRONT section 1-30_17/3  17/3/04  4:14 PM  Page 7 Chief Executive’s review
Rok annual report 03
8
Rok set itself apart from its peer group in Spring 2001 when it set
out its vision for the future with its property solutions strategy.The
aim was to revolutionise the way in which people could experience
and value a property development, building and maintenance service.
Our key differentiator is to treat customers as individuals and to
provide a bespoke service to meet their needs rather than a
product-led offering.
2003 was the third year of this strategy implementation; this set of
results clearly demonstrates its effectiveness.They are also a
testament to the dedication and efforts of all 1,600 members of the
Rok team.
Rokeagle
Property development
At the start of 2003, widespread misgivings and concerns were
expressed nationally about commercial property development –
these issues never manifested themselves in Rokeagle. Demand for
the type of service and product we deliver strengthened throughout
the year, and continues in the same vein in the current year.
Why? Rokeagle continues to focus on providing tenant-led solutions,
avoiding speculative development unless economies of scale, in terms
of build cost, negate the associated risk. Our strategy revolves
around acquiring well-located land near major infrastructure routes
or with high tenant demand in, or adjacent to, key towns and smaller
cities across the regions where the Group has a strong presence. On
purchase, the land always has a minimum of outline planning
permission for the proposed use, although we do ensure a continuing
supply of land via low cost, option type agreements that are subject
to planning approval.Any associated costs of this activity are written
off as they arise. Raw material in the form of land and buildings for
redevelopment generally equates to approximately three years’
supply.
Completed developments are sold to the investment market, usually
on occupation and completion, with larger developments, normally in
excess of £5 million gross value, being pre-sold with interim financing
to major financial institutions.This approach enables us to minimise
risk and smooth the flow of returns. However, the majority of our
developments would be viewed as being at the smaller end, with
typical gross values of an individual unit being less than £2 million.
Consequently we spread investment and risk from development
activity over a wide geographical area and capitalise on
our local contacts and knowledge.
At the start of the year, Rokeagle teams were located at Exeter,
Southampton and Crawley. In September, Bristol was added and
coverage will be further enhanced by the creation of a team in
Milton Keynes during the current year.
The Exeter team last year continued to extract value from Matford
Park to the south of the city and completed the 80,000 sq ft EDF
Energy regional centre at Exeter Business Park to much acclaim.A
45,000 sq ft headquarters for regional lawyers Bevan Ashford is
under construction at the same location and a joint development
with Scarborough Developments of two buildings totalling 103,000
sq ft is on site in the city centre.We also completed the first phase
of Plymouth International Business Park and recently gained planning
permission for an out of town retail scheme in Bodmin.
The Bristol office was opened as a result of the success of the first
two phases of Eden Office Park near junction 19 of the M5 and the
team are already well advanced in negotiating a major part pre-let
development in the city centre. Other smaller scale opportunities are
progressing in Gloucester, Clevedon and the surrounding area.
Southampton successfully completed the first phase of a small office
scheme at The Links, Solent Business Park and is on site with a
substantially pre-let office unit at Eagle Point at Segensworth.A
number of other projects are underway in the area and we expect a
significant contribution to revenues from this office during the
current year.
The Crawley team spent a considerable proportion of its efforts in
2003 extracting value from the property portfolio acquired with
Llewellyn and subsequently re-investing the proceeds in other
opportunities in the region.The team has recently been
supplemented with another senior development executive.These
two actions should ensure the creation of projects over the next few
years in the South East on a similar scale to those in the South West.
In Milton Keynes, we disposed of the substantial part of the eight and
a half acre industrial site acquired with Llewellyn and are investing in
land for a commercial development that will commence in the
current year.
FRONT section 1-30_17/3  17/3/04  4:14 PM  Page 8 Our brand, your experience | EMPLOYEES
IT HAS BEEN BRILLIANT
AND I HAVE NOT REALLY
LOOKED BACK. I CAN LOOK
BACK AND KNOW I WAS
INVOLVED, THAT’S COOL.
CHANCE TO GO UP AND UP.
CHALLENGING BUT I PREFER
THAT. WE CAN PICK UP THE
PHONE AND IT WILL BE
SORTED. WILL PUSH YOU
THAT EXTRA MILE. I FEEL
SECURE HERE.
RELATIONSHIPS ARE GOOD.
ENCOURAGING ME.
OPERATES THROUGH
TEAMWORK. HARD
WORKING BUT RELAXED.
VIBRANT BUZZY AND FUN.
VERY REWARDING. AN
EXCITING PLACE TO WORK.
ROK ALLOWS YOU TO
DEVELOP YOUR OWN SKILLS.
THE BEST. PROUD TO BE
ASSOCIATED WITH IT.
BRILLIANT SECURE
COOL ENCOURAGING
CHALLENGING TEAMWORK
SORTED BUZZY
EXCITING BEST
FRONT section 1-30_17/3  17/3/04  4:14 PM  Page 9 Jake Snell,Trainee Site Manager,Yeovil
My father was a carpenter and I used to help him. So was my
brother. I decided that was what I wanted to do so I sent letters to
local companies and the first one I had back was a nice one from
Rok. It has been brilliant and I have not really looked back since. It
just feels as if they appreciate you more here. I am an assistant site
manager now and doing a course at College. I feel secure here and
know that the company will train me if I show willing and will
respond by trying its hardest to get me where I want to be.
Although I am still young, Rok has given me opportunities and I am
grateful. It makes me feel I don’t want to let them down. I am
acquiring more people skills but if I felt I needed to develop them
further I know I could ask and it would be arranged. People here
take an interest and the atmosphere is good.When a project is
finished and I can look back and know I was involved, that’s cool.
Another thing I like is when the tenant representative on the site
where I am working at the moment gives me a good report and it
makes everything worthwhile. I think I have the chance to go up and
up in the company running my own sites because if you want to do
something and show willing, the company will do all it can. If the
company feels you are good in a role it will push you that extra mile
and help you get there through training.We are able to be quite self-
sufficient but we know if there are any problems we can pick up the
phone and it will be sorted. Relationships are good here and it is
friendly, hard working but relaxed.There is pressure and it is
challenging but I prefer that because you never get bored.
Maria Bond,Area Director, Oxford
Rok has a vision of being something different and of being the best
so it is an exciting place to work and fast moving.The world is your
oyster here as long as you can keep up with the pace. It is a
company that cares about its brand because it recognises how
important that is in everything it does and it makes people proud to
be associated with it. I enjoy working in the construction industry as
I like using my brain as well as being outside in the fresh air and I
like the challenge of it. I have been lucky as I have worked with
people who have seen potential in me, creating opportunities and
encouraging me to go for them. In Oxford we have gone from
nothing to having a business with a substantial amount of work
secured and making a name for itself in just 18 months, which is
very rewarding.Virtually all our technicians have been recruited
without going through an agency which shows we are attracting
people who want to work with us. I am pleased that the board has
put its trust in me to deliver and glad it has given me this role
because men and women do think differently and my presence gives
a broader approach to the management strategy. Rok allows you to
develop your own skills in your own way but operates through
teamwork. Everybody pulls together and supports each other.They
say it is a ‘vibrant, buzzy and fun’ place to work
Rok as a place to work
FRONT section 1-30_17/3  17/3/04  4:14 PM  Page 10 Our brand, your experience | EMPLOYEES One Rok office found the Smart
solution to the environmental and
financial costs of travel with the
delivery of an economical, low
emission, pool car.
There was a Champagne moment
for the Rok team responsible for the
look of one of the newest, most
dynamic Rok offices on its opening
night.
BRILLIANT SECURE
COOL ENCOURAGING
CHALLENGING TEAMWORK
SORTED BUZZY
EXCITING BEST
Rok annual report 03
FRONT section 1-30_17/3  17/3/04  4:14 PM  Page 11 Rok
Build
As part of the Group’s property solutions strategy, we endeavour to
be recognised as the premier local builder in each of the locations
from which we operate.To achieve this, we encourage our local
teams to focus on their immediate area, gaining substantial market
share by providing exemplary service levels, delivered by local people
who are as interested in ensuring community and local business
success as the clients they serve.
Every town used to have its premier local builder/developer who
was both trusted by and part of that community.We aim to replicate
this model across the UK using the scale of the Group to provide
greater purchasing power, technical knowledge, better working
conditions and career opportunities.This enables us to provide cost
parity and expertise akin to large construction organisations in a way
that smaller businesses are traditionally unable to do.
Local leadership is also a key element of the Group’s success.We
encourage our local leaders to perceive themselves as businessmen
delivering building services through their local team.They are
encouraged to avoid a common error of the industry, that of 
‘over-managing’ their people, rather to coach and guide team
members to exceed their own personal goals and expectations
within a clearly defined set of values. Leadership training is therefore
a key expenditure and cost £120,000 in 2003. More will be spent in
the current year and beyond to ensure a continuing supply of 
home-grown talent to support the Group’s ambitious growth plans.
We started 2003 with 14 outlets for our building operations and
ended with 20,Taunton was opened in January 2004, with more
branches due to open in Newcastle and Bodmin in the near future.A
number of the original Rok branches, where the risk-averse service
culture is truly embedded, regularly achieve net operating margins in
excess of 3% - the optimum rate we see in current market
conditions.Therefore, a lot of emphasis in 2003 has been placed on
developing this culture in the branches that were acquired as part of
the Llewellyn acquisition in 2002 and latterly in the four that joined
the Group in November following the receivership of Ballast Plc. In
total, during the year, some £400,000 was spent on service culture
training alone and involved 1,200 team members.This level of
expenditure will continue into 2004.
Every Rok outlet, as a minimum, is expected to deliver premium
building maintenance under the Rokforce brand and smaller scale
building services.Area offices provide larger contracting services in a
region that might contain two or three smaller outlets.All work as a
team to develop local market share.
We seek to ensure that, through extensive training and development
programmes, the technical skills of the Group match the industry’s
best, but competitive advantage comes from the manner in which
these are delivered.
By these key methods every outlet we open or acquire is expected
to reach the optimum operating margin within three years. Llewellyn
construction and building activities at acquisition in September 2002
were making zero net margin. Structural reorganisation and removing
outmoded administration and management systems gave an
immediate boost going into 2003 and the Rok culture changes have
already pushed margins to 1.8% at the pre-tax level for the full year.
Meanwhile the original Rok business has moved pre-tax margins to
2.2% in 2003 (2002: 1.8%), whilst driving organic growth 43% to
£160m of sales (2002: £111m).
At the time of the Llewellyn acquisition, it was recognised that the
company had a considerable reputation and expertise in social
housing at a time when the Government is committed to increasing
expenditure in this area.We intend to become a significant player in
this market and continue to spread this expertise across the Group.
Chief Executive’s review
Rok annual report 03
12
FRONT section 1-30_17/3  17/3/04  4:14 PM  Page 12 AN EXCELLENT PLACE
WHICH WORKS WELL. FELT
FANTASTIC HAVING THEM
HERE. THE TEAM WAS
FLEXIBLE AND
UNDERSTANDING. A GOOD
FEELING OF CO-OPERATION
BETWEEN THE PARTIES. IT
WAS FUN AND THEY
ENTERED INTO THE SPIRIT.
NOT RIGID IN THE WAY IT
GOES ABOUT THINGS.
PROFESSIONAL AND
CUSTOMER ORIENTATED.
WENT THAT EXTRA MILE TO
DELIVER AN EXCEPTIONAL
SERVICE. SHOWN THAT IT IS
SERVICE-DRIVEN.
EXPERIENCE HAS BEEN VERY
GOOD. CONSISTENT SITE
TEAM. THE SITE MANAGER
WAS A STAR. EASY TO TALK
TO. ADVANCED PROCEDURES.
APPRECIATION OF OUR
NEEDS AS THE END USERS.
Our brand, your experience | CUSTOMERS
EXCELLENT FANTASTIC
FLEXIBLE CO-OPERATION
FUN PROFESSIONAL
SERVICE-DRIVEN EXCEPTIONAL
ADVANCED CONSISTENT
FRONT section 1-30_17/3  17/3/04  4:14 PM  Page 13 Peter Flukes, Scott Business Park, Plymouth
The finished park is an excellent place, which works well for
business and for us. It is a real credit to the design and build team
and the proof of the pudding is that we only have one industrial unit
and three offices left out of the 34 mixed units that were available
following completion and handover in July 2003.We are enjoying the
benefits of the build quality and it was obvious that the site team
took a pride in their work. It felt fantastic having them here.The site
manager was a star and he was our first point of contact.The team
was flexible and understanding in changing things where necessary as
the project went along.They were easy to talk to and there was a
good feeling of co-operation between the parties. It was fun and
they entered into the spirit of what we were trying to provide.They
showed an appreciation of our needs as the end users and I was
impressed that they were able to allow us to continue our other
activities on the site and to work around these other demands,
whilst maintaining good progress on the contract and the highest
standards of safety.When it was finished we threw a party for the
site team because they deserved it and should be proud of what
they have achieved and left for us to use.
Mike Dale, Pentagon, Fareham
The overall experience has been very good.That is down to the
calibre of the people that Rok employs which mirrors our own
philosophy. Rok is a professional and customer-orientated company
that has moved the construction industry into the service industry.
Rok recognised us as the customer and on many occasions went
that extra mile to deliver an exceptional service.The company has
been caring and committed throughout and shown that it is service-
driven.At project commencement we stressed that success would
depend on a high quality and consistent site team, and in both
respects we have been satisfied.We have now confidently employed
Rok to work on a third project for us in Winchester.The team’s
flexibility has allowed us to work alongside. It is not rigid in the way
it goes about things and yet the necessary discipline is there, keeping
the site safe and tidy. It matters to us how our sites look even
before they are finished and Rok has come with us on that.We have
also been impressed by the advanced procedures Rok employs in
terms of health and safety.
Rok in action
FRONT section 1-30_17/3  17/3/04  4:14 PM  Page 14 Gadeon House was developed and
built for EDF Energy in Exeter and
opened by the Princess Royal.
Rok has built new Mercedes
dealerships for Pentagon at
Chichester and Southampton and is
working on a third at Winchester.
Our brand, your experience | CUSTOMERS
EXCELLENT FANTASTIC
FLEXIBLE CO-OPERATION
FUN PROFESSIONAL
SERVICE-DRIVEN EXCEPTIONAL
ADVANCED CONSISTENT
Rok annual report 03
FRONT section 1-30_17/3  17/3/04  4:14 PM  Page 15 Rokforce
Premium building maintenance
Research indicates that during the 20 years after construction of a
commercial building five times the amount spent on its construction
is spent on servicing and maintaining the facility. Much of this is spent
on fabric repairs, alterations and preventive maintenance.The
building industry’s response to this demand is to leave it to small
local operations or through the provision of wide area, cost driven,
scheduled maintenance providers with the associated high level of
administration costs.
Rokforce provides an alternative national premium service. It is low
on administration costs because of simple billing systems but high in
value-adding quality services that are widely available and reliable.
Our technicians are typically multi-skilled tradesmen trained to
understand our customers’ needs and empowered to take the
decisions that exceed their expectations. Customers can access this
service from either their local branch or via our 24 hour customer
contact centre.
At the beginning of 2003, Rokforce was structured as an
independent business within the Group.At that time it engaged
other parts of the Group and associate suppliers to deliver
maintenance services, most of which were classified ‘urgent
response’ for our national clients, primarily comprising insurance
companies and high street retailers.At the same time, many of our
existing building outlets were also selling maintenance services
locally, typically at lower margins, trading as Rok and treating
Rokforce as any other customer.
We recognised that this was leading to a duplication of costs and
causing internal friction; more importantly, this was preventing the
Group from accessing the potential of Rokforce.Therefore, we have
reorganised this activity during the year so that it is now traded as a
branded building maintenance service from within Rok outlets,
overseen by a Rokforce Brand Director. Local outlets support a
Rokforce team of technicians and a Rokforce service co-ordinator.
This new structure provides a flexibility of resource levels which
enables us to manage fluctuating demand effectively and efficiently.
Responsibility for management and customer service has been
devolved from the customer contact centre in Glasgow to the local
branches which directly benefit from the success of this activity.The
customer contact centre has been reorganised, new IT systems are
being installed and the whole unit is soon to combine with the
Glasgow based Ballast business acquired in November 2003.
Despite the restructuring of Rokforce, progress was made during
2003 in broadening our customer base over a wide geographical
area. Increases in market share were achieved in all our established
locations as more customers enjoyed the Rok service proposition.
Of particular note is our relationship with Royal and Sun Alliance
where during the year, following a review of their 100+ suppliers of
domestic insurance repair work, Rokforce was chosen to be the sole
supplier in much of Southern England, South Wales and Northern
Ireland.
Chief Executive’s review
Rok annual report 03
16
FRONT section 1-30_17/3  17/3/04  4:14 PM  Page 16 VALUED COMMITTED
AMAZING UNDERSTANDING
ENERGETIC LIKE-MINDED
NEW WONDERFUL
RELIABLE FORWARD-THINKING
A VALUED CUSTOMER FOR
WHOM WE WILL GO THAT
EXTRA MILE. WITH ROK IT
HAS BEEN AMAZING. GOOD
RELATIONSHIPS ARE
GROWING UP BETWEEN OUR
COMPANIES ON LOCAL
LEVELS. COMMITTED TO
CONTINUAL IMPROVEMENT.
THERE IS A MUTUAL
UNDERSTANDING. AN EASY
ACCOUNT TO MANAGE. THE
WHOLE ORGANISATION
FOLLOWED THROUGH. AN
ENERGETIC, FORWARD
THINKING APPROACH. WE
ARE LIKE-MINDED AND
HAVE THE SAME GOALS. NOT
CONFRONTATIONAL WHICH
IS WONDERFUL.A NEW
APPROACH IN THE
INDUSTRY. IT IS ABOUT
TEAMWORK. IF WE ARE
RELIABLE THEN ROK WILL BE
RELIABLE. BOTH SIDES ARE
WORKING HARD AT THE
RELATIONSHIP. FORWARD-
THINKING WAY IN WHICH IT
OPERATES.
Our brand, your experience | SUPPLIERS
FRONT section 1-30_17/3  17/3/04  4:14 PM  Page 17 Charles Skinner, Brandon T ool Hire
We have had a long-standing relationship with Rok and are now sole
supplier of its tools which guarantees us a high level of turnover and
is good for Rok as it is a valued customer for whom we will go that
extra mile.We have had similar agreements with other companies
but these have often had little impact on our business whereas with
Rok it has been amazing.Within a couple of months of the
agreement we had all its business and the leap in our turnover was a
straight line up. It was terrific and reflects fantastically well on Rok’s
organisation.The company’s word was enough and the whole
organisation followed through.The lines of communication and the
willingness to work together in Rok meant the whole organisation
delivered and remarkably quickly. Both sides are working hard at the
relationship which is going well and both are committed to continual
improvement so we are always asking what we can do to make life
easier.This kind of relationship has huge benefits for both parties.
Instead of having to have sales representatives visiting Rok sites to
persuade them to use us, we can spend the money on providing a
better service. Good relationships are growing up between our
companies on local levels between the Rokforce people and our
branches which is good because there is a mutual understanding of
what is required. It’s an energetic, forward thinking approach, which
many other companies have considered in theory but few have been
able to deliver in the way that Rok has.
Dave Williams, National Account Manager, Jewson
It is a pleasure to deal with Rok.The people are not confrontational
which is wonderful.We have been able to provide information on
what is purchased across the group which makes it easier for us to
fine tune our service and get the prices right.This is only possible
because of the open and honest relationship we have and it is a new
approach in the industry. Rok was one of the first and its approach
has benefits for both parties as well as for its own customers. Rok is
growing very fast and it is sometimes difficult to keep up but we can
see how it is bringing its culture to the companies it acquires. It is an
easy account to manage because it runs so smoothly which means
we are being given the right information first time, which is fantastic.
We are like-minded and have the same goals and we know that if we
are reliable then Rok will be reliable.We agree that a quality service
is more important than simply going for the cheapest price. It is
about teamwork and when a situation needs to be resolved it is
resolved in an adult fashion.Although Rok is not the biggest
company we deal with, it is one of our biggest accounts because of
the forward-thinking way in which it operates.
Rok as a customer
FRONT section 1-30_17/3  17/3/04  4:14 PM  Page 18 Rok recognises the advantages of a
smooth and efficient supply chain
and passes the cost and time saving
benefits on to its customers.
Deals with sole suppliers have meant
Rok employees can apply their core
skills to projects without the
distraction of chasing lower prices
and delivery dates for materials.
Rok annual report 03
VALUED COMMITTED
AMAZING UNDERSTANDING
ENERGETIC LIKE-MINDED
NEW WONDERFUL
RELIABLE FORWARD-THINKING
Our brand, your experience | SUPPLIERS
FRONT section 1-30_17/3  17/3/04  4:14 PM  Page 19 Spaceage
Building components
Progress was made in Spaceage Plastics during 2003 which is sadly
not reflected by the pre-tax profit of £0.1m.The marketplace for
both plastic building products and conservatory roofs remained
challenging throughout the year due to the Iraqi war followed by the
long hot summer and a failure in the usual pre-Christmas surge in
demand. 2004 has commenced with demand continuing below
expectations but signs of an uplift are emerging.The new assembly
unit for conservatory roofs came on stream in September and is
already leading to improvements in quality and productivity.We shall
continue to look to capitalise on our position in this activity.
UK economy
The recent rise in interest rates has had no appreciable impact on
demand for any of our core activities. If, as predicted, they continue
to rise and have the effect of slowing down house price inflation and
consequently, demand for new houses, the effect on Rok’s building
and construction activities in the medium term would be positive as
competitive pressures impacted on our supplier base. Our view,
however, is that the main driver for housing inflation is the restrictive
planning process, and it will take a considerable sustained hike in
interest rates to have any material effect. Meanwhile, public spending
is continuing to expand although it is questionable whether this
trend can continue without increased tax revenues. However, we do
not envisage any significant slowdown in demand from this sector in
the near future. Maintenance will continue whatever 
macro-economic pressures exist.
The commercial property world is eagerly awaiting the Chancellor’s
paper on Real Estate Investment Trusts.Whatever form this takes, it
is likely to increase demand for property investment opportunities of
the type that Rokeagle produces.
Industry overview
The building and construction industry forms over 8% of GDP, yet is
highly fragmented, slow to change and shy of embracing the
efficiencies of scale and modern technology that have impacted on
other industries in recent decades.The labour force is ageing with
recruitment and training failing to keep pace with retirement.All
these factors, we believe, will conspire to drive consolidation in the
sector towards financially strong groups which have the scale to
provide good training and career opportunities, which value their
employees and which offer their customers a premium service whilst
accessing the benefits of integrated supply chains. Rok intends to
remain a consolidator in this process.
Prospects
I have every confidence that Rok will continue to grow both
organically and by acquisition fuelled by the enthusiasm and drive of
the whole team.We all enjoy the success that comes from using our
technical skills in a way that enhances the experience for our
customers, suppliers and the communities of which we are a part.
With our strong order book of £250m and exciting opportunities
ahead of us, I look forward to reporting another successful year in
2004.
Garvis D Snook
Chief Executive
15 March 2004
Chief Executive’s review
Rok annual report 03
20
FRONT section 1-30_17/3  17/3/04  4:14 PM  Page 20 HAS ALWAYS BEEN HELPFUL.
PROFESSIONALISM IS WHAT
STANDS OUT. HONEST WITH
EACH OTHER. HAVE BEEN
VERY RESPONSIVE TO THE
NEED TO CHANGE. WE ARE
ALL WINNING. EVERYONE IS
HELPFUL AND OPEN.
WORKING WITH ROK AND
THE SUPPLY CHAIN BECOMES
FAR MORE PRODUCTIVE AND
INDEED ENJOYABLE. TAKING
A LOT OF INITIATIVE. A
CLEAR UNDERSTANDING OF
WHAT THE CLIENT NEEDS.
THE MOST RECENT PROJECT
WE COMPLETED WAS THE
BEST SO FAR. A STRONG
TEAM. RESOURCES TO
ENSURE IT DELIVERS. WE ARE
LEARNING TOGETHER AND
GROWING TOGETHER.
RECOGNISES ITS 
RESPONSIBILITIES.VERY
PRAGMATIC. A TRUE
PARTNERSHIP FROM THE
BEGINNING.
Our brand, your experience | PARTNERS
HELPFUL ENJOYABLE
HONEST CLEAR
RESPONSIVE STRONG
WINNING DELIVERS
OPEN PRAGMATIC
FRONT section 1-30_17/3  17/3/04  4:14 PM  Page 21 Paul Read, East Dorset Housing Association
We have worked together for a number of years and it is obvious
that Rok is continually improving and adapting to the changing
environment.As a company it is prepared to invest in the resources
to ensure it delivers and it is getting increasingly better levels of
client satisfaction for its services.The culture to improve and adapt
comes from the top and is being reflected on site and at the front
end of the business. Because of the service Rok is providing it is
getting a clear understanding of what the client needs.There is an
open book relationship and it is obvious the new way of working is
reflected on site and percolating down into the supply chain.As the
teams focus on achieving mutual business goals and processes
become repeated and refined, working with Rok and the supply
chain becomes far more productive and indeed enjoyable. It can be
difficult for companies if the client is not willing to change but
together we have been very responsive to the need to change. Rok
is taking a lot of initiative and often coming up with suggestions of
ways of doing things differently. Our measurements of performance
are being met and exceeded by the company and both parties are
aware of the need for measurement so that we can show our clients
just how well we are performing. Rok recognises this is an advantage
not a threat and the most recent project we completed was the
best so far. By working this way we can come up with ways of
reducing costs during the project and we are all winning as a result.
We are learning together and growing together side by side.What
makes it work is not just the special relationship but the
performance Rok achieves.
Tony Fowles,Tropus Ltd
We are working with Rok on a hospital at Willesden and have put
together a bid for another scheme.The company’s attitude is one of
complete professionalism. It recognises its responsibilities and I
would not hesitate to recommend Rok to any other client. I could
not speak more highly of it. Rok has always been helpful and
understood what the aim is and how we are all trying to achieve a
successful project. Everyone is looking to make a profit and Rok
does not shy away from the fact. It is very pragmatic. Its profes-
sionalism is what stands out.The project at Willesden is going well
and is ahead of programme. Everyone is helpful and open. If there
are issues that need addressing the team is quite happy to discuss
them and make sure they are resolved satisfactorily.The partnership
begins when you are putting a bid together and it takes a long time.
It has to be a true partnership from the beginning otherwise the
parties are not going to be honest with each other.You have to pull
together in the right direction. Rok shows a willingness and an
understanding of its responsibilities for what is within its control. It
is professional in its manner and is a strong team.A project will
succeed if the personalities gel together and I like having Rok on
board.
Rok as a partner
FRONT section 1-30_17/3  17/3/04  4:14 PM  Page 22 Rok has formed strong working
partnerships with organisations
serving a variety of sectors, in
particular health, education and
social housing.
At Glastonbury in Somerset, Rok is
working with Ryhurst Ltd to build a
new Community Hospital and near
Bigbury in Devon it has just
completed timber framed, affordable
housing for Tor Homes.
Our brand, your experience | PARTNERS
HELPFUL ENJOYABLE
HONEST CLEAR
RESPONSIVE STRONG
WINNING DELIVERS
OPEN PRAGMATIC
Rok annual report 03
FRONT section 1-30_17/3  17/3/04  4:14 PM  Page 23 Overview
2003 has been a very successful year financially for the Group with
significant growth in turnover, profits, earnings and cash generation.
The Group’s strategy of providing property solutions based on
strong local relationships is continuing to deliver superior returns.
The core building and development businesses, Rok and Rokeagle,
have performed extremely well with further improvements in
operating margins.The like for like performance of these divisions
has also been strong and, coupled with an integrated operating
structure in place following the Llewellyn acquisition in September
2002, the benefits are now being harnessed.
Overall, Group turnover was up 72% to £380m, pre-tax profits
increased 122% to £10.0m and earnings per share rose 74% to 26.6p.
Operating costs of £28.6m increased 46% due to the full year impact
of the Llewellyn acquisition. Headline pre-tax margins rose 29% to
2.6%, due to the exceptional costs incurred in 2002. On a like for like
basis, excluding acquisitions, turnover increased 32%. Before
exceptional costs incurred in 2002 and amortisation of goodwill,
pre-tax profits rose by 67% to £11.4m.
Divisional performance 
The construction and building division, Rok, increased turnover by
89% to £329m and pre-tax profits by 178% to £6.5m. Excluding the
Llewellyn acquisition, turnover grew by 43% and pre-tax profits by
79%. Pre-tax margins improved overall by 47% to 2.0%, with a 24%
like for like improvement in the original Rok business.The key
drivers behind this performance have been the mild weather in 2003
enabling improved productivity, coupled with a determined focus on
higher margin projects.
Rokeagle, the Group’s property development division, increased
turnover by 51% to £50.6m and pre-tax profit by 62% to £5.6m.
Overall margins improved by 7% to 11.0%. Over 90% of the surplus
properties acquired with Llewellyn had been developed and disposed
of by the year-end. Rokeagle continues to focus on relatively short
timescale, low risk developments, which are pre-let to tenants.
The Group’s maintenance activities were reorganised during the year
with all maintenance work previously carried out by the building
division now integrated with the original Rokforce business into one
business stream operating under the Rokforce brand. Comparative
figures contained in the segmental analysis have been adjusted
accordingly.Turnover from maintenance activities increased 14% to
£22.5m, although pre-tax profits fell 16% to £1.3m, in part due to
costs associated with the reorganisation.As a result pre-tax margins
fell from 7.9% to 5.8%.
Spaceage, the building components division, had a more difficult year
in a tough marketplace.Turnover was down 5% to £6.5m and profits
fell £0.6m to £0.1m as a result of a combination of tightening 
operating margins and higher investment costs associated with the
new assembly facility.
T axation
The effective tax rate for the year increased from 26.4% to 32.9%,
the prior year having benefited from the utilisation of tax losses not
previously recognised. In 2003, the effective rate has been increased
above the standard rate of 30% due to goodwill amortisation not
being tax deductible, partly offset by indexation allowances on
property disposals.
Earnings per share and dividends
Headline earnings per share increased by 74% to 26.6p. Excluding
goodwill amortisation and exceptional costs incurred in 2002,
adjusted EPS increased by 35% to 32.1p.
The Board is recommending a final dividend of 4.65p per share
making a total of 6.40p for 2003, an increase of 16% on last year.The
record date for the final dividend is 2 April 2004 and is payable on 7
May.The dividend is covered 4.2 times by earnings.
Cashflow, interest and borrowings
The Group’s activities are financed through a combination of
retained profits, bank debt and cash generated from the working
capital cycle in the construction operations.A key focus of the
Group is therefore the management of working capital within each
business.The Group’s cash flow can broadly be summarised as
follows:
£m
Operating cash flow before re-investment 
in development activities 27.7
Re-investment in development activities (14.4)
Operating cash flow 13.3
Net interest (0.5)
Taxation (2.4)
Net capital expenditure (1.8)
Free cash flow 8.6
Acquisitions (1.6)
Dividends paid   (1.1)
Share issues, less own shares purchased (0.4)
Change in net debt from cash flows  5.5
Operating cash flow before re-investment in development activity
increased from £21.1m to £27.7m.The Group has significant
flexibility as to the amount of its operating cash flow that is re-
invested into development activities through the funding of such
projects by the ultimate owner (‘pre-selling’). In 2003, some 43% of
all new developments were pre-sold. Net capital expenditure of
£1.8m includes £3.7m on fixed asset purchases and £2.6m for
purchases of quoted investments, less £4.7m received primarily from
the sale of the assets of the Llewellyn plant hire business.
Financial review
Rok annual report 03
24
FRONT section 1-30_17/3  17/3/04  4:14 PM  Page 24 25
Net debt at 31 December 2003 was £2.6m, down from £7.6m at the
end of 2002, largely as a result of strong cash generation.Year end
net debt, however, is not representative of the debt existing
throughout the year, which in 2003 averaged £9.5m, up from £7.6m
in 2002. Net interest payable during the year was £0.6m and was
covered 17 times by profits before interest. Significant scope
therefore exists to increase debt finance as a component of future
acquisition funding.
Treasury activities
Treasury activities are managed by the PLC finance team, which is
responsible for optimisation of short term liquidity, long term
funding requirements, monitoring and management of interest rate
risk and development of the Group’s banking relationships.
Borrowings are only needed to fund acquisition activity and the
Rokeagle property developments, the construction operations being
cash positive.At the year-end the Group had total bank borrowing
facilities of £28.6m, of which £14.1m was utilised in the form of
secured loan and overdraft finance.
The Group’s borrowings are all at floating rates in view of the fact
that there is a natural hedge between the cash utilised in the
development activities and the cash surplus generated by the
construction busineses. However, at the date of the Llewellyn
acquisition, the Group purchased an interest rate cap on £7m of
core borrowing at a base rate of 5.75% through to October 2005.
Acquisition of Ballast contracts
In October 2003 the Group paid a net £0.9m to purchase by
novation a number of construction contracts from the administrator
of Ballast Plc.This amount has been added to work in progress on
the relevant contracts and the gross profit thereon will be released
to profit and loss account over the remaining life of the contracts in
accordance with Rok’s accounting policy.
Pensions
During the year the Group closed its two defined benefit pension
schemes to future service accrual, with a view to being able to
provide more certainty to the level of cost for the Company. In their
place, Rokplan, a new defined contribution scheme was introduced
whereby the Group contributes to individual personal pension plans,
dependent upon the level of contributions made by the employee.
62% of the Group’s employees have now joined Rokplan.
The full implementation of FRS17 has been deferred and the Group
has adopted the transitional provisions, full details of which are
disclosed in note 26 to the financial statements.The FRS17 gross
deficit across the two defined benefit schemes at 31 December 2003
amounted to £24.3m, (2002: £25.9m) of which £13.8m has been
provided for in the accounts as part of the fair value adjustment in 
connection with the acquisition of Llewellyn.The Group has
accounted for pension costs under SSAP24, reflecting the regular
contributions payable during the year, which across all schemes
amounted to £2.5m (2002: £1.6m). Had the Group adopted FRS17 in
full the charge to the profit and loss account would have been £1.8m
(2002: £1.3m)
Risk management
The management of risk is a key factor in the Group’s success. In the
Rok building and construction division, the culture is one where
business is mainly won on the basis of deep local relationships often
without the need to tender alongside competitors.As a result the
average value of each building project is typically much lower than
the industry average, but with higher margins.The construction risk
is therefore spread across some 400 projects at any one time.The
vast majority of construction projects are built with sub-contract
labour providing increased flexibility in the event of an economic
downturn.There is roughly equal exposure to both the public and
private sectors.The Group does not get involved with “Trophy
Projects” where the risk/reward ratio is so often unbalanced, nor
does it operate in Central London.
In Rokeagle, all developments are outside the M25, typically take 18
to 24 months from inception to completion and the vast majority of
projects are client specific through pre-letting to tenants.
Developments are often pre-sold to the ultimate owner to remove
the funding risk.The Board maintains a broad exposure to different
industry sectors to mitigate economic risk with speculative
development of buildings being less than 10% of total turnover.
In 2003 the Group established a new function, Rok Assurance, which
is focussing on systems and processes, key controls, risk 
identification and business improvement. Rok Assurance has a direct
reporting line to the Audit Committee.
Accounting standards
During the year the Group has adopted UITF Abstract 38 in
connection with employee share ownership trusts and FRS 5
(Application note G) on revenue recognition. Neither of these had
a material impact on the financial statements.
Ashley Martin
Group Finance Director
15 March 2004
FRONT section 1-30_17/3  17/3/04  4:14 PM  Page 25 Rok annual report 03
26
The directors present their report and the audited financial
statements of the Group comprising Rok property solutions plc and
its subsidiaries for the year ended 31 December 2003.
Principal activities
Rok property solutions plc is a holding company of a group of
companies providing property solutions through its operations in
property development, building and maintenance.A review of the
Group’s activities and future developments is given in the Chairman’s
Statement and the Chief Executive’s Review on pages 6 to 20.
Results and dividends
The results for the year for 2003 are shown in the Group profit and
loss account on page 32.
The directors recommend that a final dividend of 4.65p per share be
paid which, together with the interim dividend of 1.75p paid in
October 2003, will make a total for the year of 6.40p per share. If
approved at the Annual General Meeting, the final dividend will be
paid on 7 May 2004 to shareholders on the register at 2 April 2004.
Directors
The names and biographical details of the directors at the date of
this report are shown on page 27.These directors served
throughout the year, other than Ashley Martin who was appointed on
5 September 2003. Michael Bailey served as a director until his
resignation on 12 August 2003. Details of directors’ interests and
those of their families are shown on page 55.
In accordance with the Articles of Association, Louis Sherwood and
Gillian Camm retire by rotation at the Annual General Meeting and,
being eligible, offer themselves and are recommended for re-election.
As non-executive directors, Gillian Camm and Louis Sherwood do
not have service contracts but operate under letters of appointment
terminable on 6 months’ notice.
Ashley Martin, having been appointed during the year, will retire at
the Annual General Meeting and offers himself and is recommended
for re-election. He has a service contract terminable on 12 months’
notice.
Other than service contracts or as disclosed in note 27 to the
financial statements, there were no contracts or transactions
between the Company and any of its directors during 2003.
Share capital and substantial shareholdings
Details of the Company’s authorised and issued share capital,
together with changes during the year, are given in note 18 to the
financial statements.
The Company has been notified of the following substantial interests
in the issued ordinary shares as at 1 March 2004:
Mr M R Kay 3,486,093 13.44%
Framlington Investment Management 1,469,698 5.67%
Fleming Investment Management 1,339,762 5.17%
Merrill Lynch Investment Management 1,338,469 5.16%
Mr C S McColligan 802,500 3.09%
Supplier payment policy
Operating units are responsible for agreeing the terms and
conditions under which business transactions are conducted with
their suppliers. It is Group policy that payments to suppliers are
made in accordance with those terms, provided that the supplier has
complied with all the relevant terms and conditions.At 31 December
2003, the Group had an average of 25 days (2002: 24 days) purchases
outstanding with suppliers.
Auditors
A resolution is to be proposed at the Annual General Meeting for
the re-appointment of KPMG Audit Plc as auditors of the Company
and its subsidiaries.
Annual General Meeting
The Company’s Annual General Meeting will be held at the
Woodbury Park Hotel, Golf and Country Club,Woodbury, Exeter on
26 April 2004.A formal notice of meeting, an explanatory circular
and a form of proxy have been sent to shareholders.
By order of the Board
Julian T urnbull
Secretary
15 March 2004
Directors’ report
FRONT section 1-30_17/3  17/3/04  4:14 PM  Page 26 27
Bob Carlton-Porter, Chairman (59)
Appointed a non-executive director in 1992 and as non-executive Chairman in 1996. Bob is an Associate of the Chartered Institute of
Bankers and has over 30 years’ experience as a financial and commercial director. He was previously Group Finance Director of English China
Clays plc and was Chairman and Chief Executive of Newport Holdings plc.
Louis Sherwood, Deputy Chairman and Senior Independent Director (62)
Appointed a non-executive director in 1990. Louis is also a director of HBOS plc and of Wessex Water Services Limited and was previously
Chairman and Chief Executive of Gateway Foodmarkets Limited and Chairman of HTV Group plc.
Gillian Camm, Independent Director (44)
Appointed a non-executive director in 2002. Gillian is also a non-executive director on the Immigration and Nationality Supervisory Board of
the Home Office and a member of the General Medical Council. Gillian was formerly an executive director of Clerical Medical Investment
Group.
Garvis Snook, Chief Executive (51)
Appointed as Chief Executive in June 2000, since when he has overseen a substantial increase in the Company’s scale, profitability and
shareholder value. Garvis was previously a regional managing director of Morgan Sindall plc.
Ashley Martin, Finance Director (45)
Appointed as Finance Director in September 2003. A Chartered Accountant, Ashley worked previously for Grand Metropolitan PLC and
latterly for media services company,Tempus Group PLC, where he was Group Finance Director for five years to 2002.
Mark Kay, Property Director (53)
Appointed to the Board in 2001. Mark is a Chartered Surveyor and was formerly regional manager of Clarke St Modwen Properties Limited.
He founded Rockeagle Limited in 1984 where he developed a substantial property investment portfolio.
BOARD COMMITTEES
Audit Committee
Louis Sherwood (Chair), Gillian Camm and Bob Carlton-Porter
Nomination Committee
Gillian Camm (Chair), Bob Carlton-Porter, Louis Sherwood and Garvis Snook
Remuneration Committee
Gillian Camm (Chair), Bob Carlton-Porter and Louis Sherwood
COMPANY SECRETARY AND REGISTERED OFFICE
Julian T urnbull
Rok property solutions plc
Rok Centre, Guardian Road, Exeter Business Park, Exeter EX1 3PD Tel: 01392 354000 Fax: 01392 354001
Company Number: 358466
Rok annual report 03
Directors
FRONT section 1-30_17/3  17/3/04  4:14 PM  Page 27 Rok annual report 03
28
Corporate and social responsibility
This is the first time we have reported separately on corporate and
social responsibility in an effort to transmit a greater understanding
of the Group’s activities as they affect people, communities and the
environment.
People
The Group’s stated objective of being “Best Employer” in our
industry recognises the vital contribution the Group’s employees
make to its success. Our actions and initiatives in this area far exceed
the minimum requirements of our policy to have regard to an
individual’s aptitude and ability irrespective of race, sex, religion or
disability when considering their recruitment or career development.
To assist the executive in developing best practice we have a
Communication Group made up of a cross section of twenty-five
individuals from across the Group.They meet regularly with our
People Director, Paul Wilkinson, under the guidance of their own
elected chairman.
This group as part of its activities assists in team briefings,
dissemination of Company announcements and presentations where
appropriate. It acts as a conduit for feedback to the executive and
takes direct responsibility for organising the annual employee survey.
The latest survey in December 2003 saw a 73% response rate and
therefore provided reliable data on the views of our most valuable
resource.
Other key initiatives in 2003 included the launch of our Citizenship
Programme and Rokclimbing.
The Citizenship Programme is aimed at ensuring that by the end of
2005 all employees, both those traditionally described as staff and
those described as ‘blue collar’, are employed under the same terms
and conditions.This covers items such as payment terms, pensions,
health care, sickness pay and holidays.A transitional programme is in
place and commenced in September 2003.
Rokclimbing is the name we ascribe to our skills training and
development processes.All employees take part in an annual Personal
Development Review with their line manager.As part of this process
they are encouraged to take responsibility for their own skills
development with the Group providing help, encouragement and the
facilities to enable them to do so.
Health and Safety
The health and safety of the Group’s employees, suppliers,
subcontractors and others we come into contact with as a result of
our activities is actively managed to minimise both short and 
long-term risk.
On a monthly basis the Board reviews a report on health and safety
submitted by the Chief Executive. Responsibility for day to day
management of health and safety is devolved via the Group executive
to a health and safety committee chaired by the South Operations
Director, Bob Irving.The committee is made up of key operational
executives and is attended by our three safety managers and our
external advisors, SSG Training & Consultancy.This committee sits
regularly to review performance, instigate remedial action where
appropriate and ensure that all employees are adequately trained to
fulfil their roles.
The Group, via this system, has incidence rates significantly below the
national average for construction.This is a record that has been
recognised by RoSPA with the award for the second time of a
President’s Award in 2003 following ten years of Gold awards.We
shall continue to be vigilant in seeking to maintain and continuously
improve on this record.
Community
We aim to be “The Best in Local Markets” by encouraging our local
teams to involve themselves in their communities. By doing what we
can to enable the success of those communities we aim to ensure
the long term success of the Group and its employees.
There are numerous examples of this objective in action all individual
to the local branches.The Group initiates charity days where staff
identify a local needy organisation and raise funds through their own
efforts, which are then matched by the Group. In this and other ways
the Group donated £11,749 (2002: £9,767) to charity in 2003. Other
donations to clubs, sponsorship of young people and needy causes
totalled £17,730 (2002: £2,075). No donations were made to political
parties.
Environment
We have via various local and regional initiatives been recognised in
2003 for our efforts in reducing waste and the environmental impact
of our activities.The Group acknowledged, however, that it has a 
responsibility to further enhance its performance in this respect and
intends to set up a dedicated committee on environmental impact
during 2004.
FRONT section 1-30_17/3  17/3/04  4:14 PM  Page 28 Our brand, your experience | COMMUNITIES
FEELS MODERN, FRESH, AND
BRIGHT. PUTS SOMETHING
BACK INTO ITS ROOTS. HAS
TAKEN ON A LEADING ROLE.
HELPS THE COMMUNITY
TAKE PRIDE IN ITSELF. HAS
BEEN FAR-SIGHTED. BRIGHT,
SHINY, CLEAN, AMBITIOUS
AND VIBRANT.
MANAGEMENT IS
ENERGETIC. COMMITTED,
ENTHUSIASTIC AND UP
BEAT. THE MOTIVATING
FORCE. HELPING TO CHANGE
PEOPLE’S PERCEPTIONS. HAS
SHOWN ITSELF TO BE
PASSIONATE. PREPARED TO
STICK ITS HEAD ABOVE THE
PARAPET. COMES ACROSS AS
POSITIVE AND PROACTIVE.
ASKS THE QUESTIONS ‘WHAT
DO YOU NEED?’ AND ‘HOW
CAN WE HELP?’ UNDERTOOK
TO USE LOCAL SUPPLIERS.
WANTED TO BE INVOLVED.
FRESH LEADING
VIBRANT FAR-SIGHTED
MOTIVATING ENERGETIC
PASSIONATE POSITIVE
INVOLVED LOCAL 
FRONT section 1-30_17/3  17/3/04  4:14 PM  Page 29 Bruce Priday, Financial & Taxation Consultants Ltd.
In the last few years Rok has become much more visible and feels
modern, fresh and bright. It has a high profile in the local business
community and has taken on a leading role. It is representative of
what can be achieved and built from the Region and so has given
Exeter and Devon a higher profile which helps the community take
pride in itself.The Rok management is energetic in promoting the
city as it wants to be able to take a pride in the place where its
success began.There is no doubt Exeter is buoyant with the arrival
of the Met. Office and the strength of the professional services
sector and Rok is good at promoting it as a place to do business.
The new motorway junction, which owes its existence largely to
Rok and Exeter Business Park, which has been developed by
Rokeagle, have both been important additions to the city.They are
significant development coups that have meant Exeter has attracted
more high quality employers.At the same time as benefiting from
the good fortune it has helped to create, Rok has contributed back
into the community with its charity events such as the golf days it
has run with The Wooden Spoon.Amidst the growing prosperity of
Exeter there are still pockets of poverty where there is an unbroken
spiral people feel they cannot escape. Rok has been far-sighted in
recognising that it needs crafts people, administrators and managers
in the future and wants to give those in the local community the
aspirations and means to fill these roles which is why it is backing
the Sure Start initiative.Working with Rok on these charitable
ventures has been fun.The impression I get is that Rok people are
ambitious, committed, enthusiastic and up beat.The company is
successful and puts something back into its roots. It is very positive
and good for the city and if I had to sum it up I would say it was
bright, shiny, clean, ambitious and vibrant.
Heather Maude, Head of Inward Investment GO·MK
Rok wanted to be involved as much as possible with the Milton
Keynes community and share in its prosperity. It was behind the
MK:First! Campaign, which undertook to use local suppliers
wherever practical.Whilst the city is regarded as very successful
internationally it is not always seen in that light at home and Rok is
helping to change people’s perceptions.We have been pleased to
work closely with Rok, which has taken a lead role particularly on
the construction forum where it is the motivating force. Milton
Keynes is one of two areas in the South East that have been
earmarked for significant growth with 70,000 new homes planned
but this has to be economically led. It is essential that the
construction industry is on board and able to use local people for
delivery. Rok has shown itself to be passionate about Milton Keynes
and that it understands the challenges ahead. It comes across as
positive and proactive which are qualities that tie in with the city as
a young place with a ‘can do’ attitude. Rok asks the questions ‘what
do you need?’ and ‘how can we help?’ The company seems prepared
to stick its head above the parapet, identify itself with the city and
take a leading role. If Milton Keynes is going to double in size, we
have to ensure continued inward investment and that we bring
people with us, and by sponsoring debates and co-ordinating
responses Rok is helping to do that.
Rok in the community
FRONT section 1-30_17/3  17/3/04  4:14 PM  Page 30 Our brand, your experience | COMMUNITIES Rok has won awards for its
outstanding work in schools and
colleges helping young people to
learn more about careers in
construction.
Eager to support the communities in
which Rok employees live and work,
the company sponsors local events,
concerts and sports teams.
FRESH LEADING
VIBRANT FAR-SIGHTED
MOTIVATING ENERGETIC
PASSIONATE POSITIVE
INVOLVED LOCAL 
Rok annual report 03
BACK section 31-60_17/3  17/3/04  4:15 PM  Page 31 Group profit and loss account
Rok annual report 03
32
for the year ended 31 December 2003
2003 2002
Notes £000 £000 
Turnover 2 379,974 221,037
Cost of sales (339,343) (195,535)
Gross profit 40,631 25,502
Operating and administrative expenses (28,640) (19,616)
Operating profit before goodwill amortisation 4 11,991 5,886
Amortisation of goodwill (1,398) (792)
Operating profit 10,593 5,094
Net interest payable 3 (610) (592)
Profit on ordinary activities before taxation 2 9,983 4,502
Tax on profit on ordinary activities 6 (3,283) (1,188)
Profit on ordinary activities after taxation 6,700 3,314
Dividends 8 (1,605) (1,304)
Retained profit for the year 19 5,095 2,010
Earnings per share
Basic 9 26.6p 15.3p
Exceptional item - 4.8p
Amortisation of goodwill 5.5p 3.7p
Adjusted 32.1p 23.8p
Diluted 9 25.1p 14.5p
There is no difference between the profit disclosed in the profit and loss account and that on an unmodified historical cost basis.All the
Group’s activities are continuing.
Statement of total recognised gains and losses
There were no gains or losses in the year other than those shown in the profit and loss account above.
The notes on pages 35 to 49 form part of these financial statements.
BACK section 31-60_17/3  17/3/04  4:15 PM  Page 32 at 31 December 2003 Group Company 
2003 2002 2003 2002
Restated Restated
Notes £000 £000 £000 £000
Fixed assets
Intangible assets 10 24,490 25,798 - -
Tangible assets 11 6,020 13,309 669 98
Investments 12 1,685 - 18,084 32,037
32,195 39,107 18,753 32,135
Current assets 
Work in progress and stocks 13 39,479 28,483 - -
Debtors 14 60,038 49,785 6,853 3,163
Investments 15 2,611 - 2,611 -
Cash and short-term deposits 12,408 14,873 18,249 2,562
114,536 93,141 27,713 5,725
Creditors: amounts falling due within one year 16 (88,978) (74,851) (9,509) (8,790)
Net current assets (liabilities) 25,558 18,290 18,204 (3,065)
T otal assets less current liabilities 57,753 57,397 36,957 29,070
Creditors: Amounts falling due after one year 16 (9,213) (13,065) (766) (1,014)
Provisions for liabilities and charges 17 (13,841) (14,641) - -
Net assets 34,699 29,691 36,191 28,056
Capital and reserves
Called up share capital 18 2,592 2,550 2,592 2,550
Share premium account 19 15,699 15,208 15,699 15,208
Capital redemption reserve 19 5,573 5,573 5,573 5,573
Own shares held 19 (1,047) (427) (1,047) (427)
Profit and loss account 19 11,882 6,787 13,374 5,152
Equity shareholders’ funds 20 34,699 29,691 36,191 28,056
The financial statements were approved by the Board of Directors on 15 March 2004.
G D Snook A G Martin 
Chief Executive Finance Director
The notes on pages 35 to 49 form part of these financial statements.
33
Balance sheets
Rok annual report 03
BACK section 31-60_17/3  17/3/04  4:15 PM  Page 33 Group cash flow
Rok annual report 03
34
for the year ended 31 December 2003
2003 2002
Notes £000 £000 
Net cash inflow from operating activities 21 13,341 14,350
Returns on investments and servicing of finance
Interest received 257 60
Interest paid (805) (652)
Net cash outflow from returns on investments and servicing of finance (548) (592)
T axation
Corporation tax paid (2,398) (1,618)
Capital expenditure and financial investment
Purchase of tangible fixed assets (3,686) (1,944)
Sale of tangible fixed assets 4,751 1,479
Purchase of investments (2,827) -
Net cash outflow from capital expenditure (1,762) (465)
Acquisitions
Purchase of subsidiary undertakings 24 (110) (16,254)
Debt acquired with subsidiary - (3,187)
Investments in joint ventures (1,469) -
Net cash outflow from acquisitions (1,579) (19,441)
Equity dividends paid (1,096) (1,027)
Cash inflow (outflow) before the use of liquid resources and financing 5,958 (8,793)
Financing
Issue of shares net of expenses 209 6,071
Purchase of own shares (620) (235)
Repayment of loan notes (2,322) (1,147)
(Decrease) increase in bank loans (7,542) 15,079
Net cash (outflow) inflow from financing (10,275) 19,768
(Decrease) increase in cash 22 (4,317) 10,975
Reconciliation of net cash flow to movement in net debt
(Decrease) increase in cash in the year (4,317) 10,975
Cash outflow (inflow) from change in debt 9,864 (13,932)
Change in net debt resulting from cash flows 5,547 (2,957)
Issue of loan notes on acquisition of subsidiary undertaking (500) (492)
Movement in net debt 5,047 (3,449)
Net debt at 1 January (7,648) (4,199)
Net debt at 31 December 22 (2,601) (7,648)
The notes on pages 35 to 49 form part of these financial statements.
BACK section 31-60_17/3  17/3/04  4:15 PM  Page 34 35
Notes to the financial statements
Rok annual report 03
1.Accounting policies
The following accounting policies have been applied consistently in
dealing with items which are considered material in relation to the
Group’s financial statements. During the year, the Group has adopted
the provisions of UITF Abstract 38 in respect of employee share
ownership trusts and FRS5 (Application note G) on revenue
recognition. Neither had a material effect on the financial statements,
although the balance sheet comparatives have been amended in
respect of the adoption of UITF Abstract 38.
Basis of preparation
The financial statements have been prepared under the historical
cost convention and in accordance with applicable accounting
standards and have been prepared on a going concern basis.
Consolidation
The consolidated financial statements incorporate the accounts of
the Company and all its subsidiary undertakings made up to 31
December 2003.The acquisition method of accounting has been
adopted. Under this method, the results of subsidiary undertakings
acquired or disposed of in the year are included in the consolidated
profit and loss account from the date of acquisition or up to the
date of disposal.
Turnover and profit
Turnover comprises the value of construction, building and
maintenance executed during the year, total proceeds of property
disposals and other invoiced sales, and excludes value added tax.The
results for the year include adjustments for the outcome of
contracts, executed in both the current and preceding years.These
adjustments arise from claims by customers or third parties in
respect of work carried out and claims and variations on customers
or third parties for variations on the original contract. Provision for
claims against the Group is made as soon as it is believed that a
liability will arise. Claims and variations made by the Group are not
recognised in the profit and loss account until the outcome is
reasonably certain.
Where it is foreseen that a loss will arise on a contract, full provision
for this loss is made in the current year.
Amounts recoverable on contracts are stated at cost plus
attributable profit less any foreseeable losses and payments on
account and are included in debtors.
Goodwill
Goodwill arises on the acquisition of subsidiaries or businesses
where the fair value of the purchase consideration exceeds the fair
values attributed to the net assets acquired. Goodwill is capitalised as
an intangible fixed asset, and is amortised by equal instalments over
its estimated economic life.The directors consider each acquisition
separately for the purpose of determining the amortisation period.
No such period exceeds 20 years.
Tangible fixed assets and depreciation
Tangible fixed assets are depreciated on a straight line basis over
their useful economic lives, estimated as follows:
Freehold land – nil.
Freehold and long leasehold buildings – 50 years.
Plant and office equipment – between 3 and 6 years.
Fixed asset investments
In the accounts of the Company, shares in subsidiary undertakings
are stated at cost less provisions for any impairments.
Accounting for Employee Share Ownership Trust (ESOT)
The Company’s accounts include the Rok property solutions plc
Employee Share Ownership T rust (“the T rust”).The T rust holds
shares over which it grants options under certain employee share
option schemes and under UITF Abstract 38 the Company is
deemed to have control of the shares held by the Trust and bears
their benefits and risks. Shares held by the Trust are shown as “Own
Shares”, deducted from reserves, and are valued at cost, less any
permanent diminution in value.As required by FRS 14, the shares
held by the Trust are excluded from the calculation of earnings per
share and any dividends received by the Trust have been deducted
from dividends payable in the consolidated accounts.The main
features of the Trust are detailed in note 19 to the financial
statements.
Joint ventures
The appropriate share of results of joint venture undertakings is
included in the consolidated profit and loss account. Investments in
joint venture undertakings are shown in the consolidated balance
sheet using the gross equity method.
Work in progress and stocks
Contract work in progress is stated at costs incurred, less those
transferred to the profit and loss account, after deducting
foreseeable losses and payments on account not matched with
turnover.
The amount of profit attributable to the stage of completion of a
contract is recognised when the outcome of the contract can be
foreseen with reasonable certainty. Development and other work in
progress is stated at cost less interim cash receipts. Interest charges
incurred in respect of development projects are charged to the
profit and loss account as incurred.
Stocks are valued at the lower of cost and net realisable value.
BACK section 31-60_17/3  17/3/04  4:15 PM  Page 35 Notes to the financial statements
Rok annual report 03
36
2. Segmental information
The following table provides details of turnover and pre-tax profit by division:
Turnover 2003 2002
£000 £000
Rokeagle (Develop) 50,578 33,512
Rok (Build) 328,549 174,097
Rokforce (Maintain) 22,519 19,777
Spaceage (Building components) 6,540 6,889
408,186 234,275
Inter-company turnover (28,212) (13,238)
External turnover 379,974 221,037
Pre-tax profit
Rokeagle (Develop) 5,588 3,442
Rok (Build) 6,469 2,326
Rokforce (Maintain) 1,301 1,553
Spaceage (Building components) 103 700
Central administration (2,080) (1,225)
11,381 6,796
Exceptional item - (1,502)
Amortisation of goodwill (1,398) (792)
9,983 4,502
In the opinion of the directors the Group's activities comprise one business segment, property solutions.
All activities were conducted within the United Kingdom.
1.Accounting policies - continued
Pensions
The expected cost to the Group of pension benefits is charged to
the profit and loss account so as to spread the cost over the
employees’ estimated service lives with the Group, in accordance
with advice from independent qualified actuaries.The transitional
disclosure arrangements of FRS17 are being used in these financial
statements. Contributions under the defined contribution scheme
are charged to the profit and loss account as incurred. Details of the
Group’s pension schemes are shown in note 26 to the financial
statements.
T axation
The charge for taxation is based on the result for the year and takes
into account taxation deferred because of timing differences between
the treatment of certain items for taxation and accounting purposes.
Deferred tax is recognised, without discounting, in respect of all
timing differences between the treatment of certain items for
taxation and accounting purposes which have arisen but not reversed
by the balance sheet date, except as otherwise required by FRS19.
Operating leases
Operating lease rentals are charged to the profit and loss account in
the period for which the rentals are due.
BACK section 31-60_17/3  17/3/04  4:15 PM  Page 36 Notes to the financial statements
Rok annual report 03
3. Net interest 2003 2002
£000 £000
Interest payable on bank loans and overdrafts (799) (529)
Interest payable on loan notes (68) (123)
(867) (652)
Interest receivable 257 60
(610) (592)
4. Operating profit
Operating profit is stated after charging (crediting):
External rental income (694) (205)
Rentals under operating leases -  Land and buildings 1,168 427
-  Plant and office equipment 767 832
Hire of plant and machinery 4,857 2,659
Long term incentive plan (LTIP) 88 744
Depreciation of tangible fixed assets 1,289 811
(Profit) loss on sale of fixed assets (211) 733
Auditors' and associates' remuneration -  Audit - parent company 15 10
-  Audit - subsidiary undertakings 145 120
-  Further assurance services - 420
-  Tax advisory services 89 90
Exceptional item - redundancy and reorganisation costs - 1,502
5. Staff costs
Employment costs:
Wages and salaries 39,457 25,677
Social security costs 4,170 2,352
Other pension contributions (note 26) 2,457 1,625
46,084 29,654
Number Number
The average number of people employed by the Group during the year was:
Rokeagle (Develop) 21 16
Rok (Build) 1,109 755
Rokforce (Maintain) 252 211
Spaceage (Building components) 64 57
Group 24 14
1,470 1,053
37
BACK section 31-60_17/3  17/3/04  4:15 PM  Page 37 Notes to the financial statements
Rok annual report 03
38
6.Taxation on profit on ordinary activities 2003 2002
£000 £000 
Corporation tax:
Current tax on income for the year 1,761 1,699
Adjustments in respect of prior years 182 (130)
1,943 1,569
Deferred tax (note 17):
Origination and reversal of timing differences 1,553 (187)
Adjustments in respect of prior years (213) (194)
1,340 (381)
Tax on profit on ordinary activities 3,283 1,188
The current tax charge for the period is lower than the standard rate of corporation tax in the UK 
of 30% (2002: 30%).The differences are explained below.
Current tax reconciliation:
Profit on ordinary activities before tax 9,983 4,502
Current tax at 30% (2002: 30%) 2,995 1,351
Effects of:
Expenses not deductible for tax purposes (including goodwill amortisation) 420 332
Utilisation of tax losses (4) (208)
Origination and reversal of provisions (1,485) 207
Origination and reversal of accelerated capital allowances (68) (20)
Property disposals covered by indexation (97) 37
Adjustments to tax charge in respect of prior years 182 (130)
Total current tax charge (as above) 1,943 1,569
7. Profit for the financial year
The profit for the year of the holding company was £9,827,000 (2002: £2,460,000).The holding company 
has not presented its own profit and loss account having taken advantage of the exemption available under 
Section 230 of the Companies Act 1985.
8. Dividends
Interim of 1.75p per share (2002: 1.6p) 438 322
Proposed final of 4.65p per share (2002: 3.9p) 1,205 995
Dividends waived on shares held by the Trustees of the Rok property solutions plc ESOT (38) (13)
1,605 1,304
BACK section 31-60_17/3  17/3/04  4:15 PM  Page 38 Notes to the financial statements
Rok annual report 03
9. Earnings per share
Earnings per share has been calculated using the profit for the financial year of £6,700,000 (2002: £3,314,000) and the average number of
ordinary shares in issue, excluding those held by the Rok property solutions plc Employee Share Ownership Trust in respect of the Long
Term Incentive Plan, during 2003 of 25,218,000 (2002: 21,666,252). Diluted earnings per share uses an average number of 26,695,593
(2002: 22,871,509) ordinary shares in issue, which takes account of the outstanding options granted under the share option schemes, in
accordance with FRS14.
10. Intangible fixed assets Group
Goodwill
£000
Cost:
At 1 January 2003 27,406
Re-assessment of 2002 acquisitions (note 24) 90
At 31 December 2003 27,496
Amortisation:
At 1 January 2003 1,608
Charge for year 1,398 
At 31 December 2003 3,006 
Net book value:
31 December 2003 24,490
31 December 2002 25,798
11.Tangible fixed assets Group Company
Freehold Long Plant T otal Plant
properties leaseholds and office and office
equipment equipment
£000 £000 £000 £000 £000
Cost:
At 1 January 2003 8,600 76 13,674 22,350 132
Additions 811 - 2,875 3,686 693
Re-classification to work in progress (6,130) (76) - (6,206) - 
Disposals (460) - (10,277) (10,737) - 
At 31 December 2003 2,821 - 6,272 9,093 825 
Accumulated depreciation:
At 1 January 2003 600 - 8,441 9,041 34
Charge for year 218 - 1,071 1,289 122 
Re-classification to work in progress (496) - - (496) -
On disposals (21) - (6,740) (6,761) - 
At 31 December 2003 301 - 2,772 3,073 156 
Net book value:
31 December 2003 2,520 - 3,500 6,020 669
31 December 2002 8,000 76 5,233 13,309 98
The cost of properties not depreciated amounts to £nil (2002: £570,000).
39
BACK section 31-60_17/3  17/3/04  4:15 PM  Page 39 Notes to the financial statements
Rok annual report 03
40
12. Fixed asset investments Group Company
Own Investments Joint Total Own Shares in Total
shares venture sharessubsidiaries
£000 £000 £000 £000 £000 £000 £000
Cost:
1 January 2003 427 - - 427 427 32,037 32,464
Prior year adjustment (427) - - (427) (427) - (427)
As restated - - - - - 32,037 32,037
Additions - 216 1,469 1,685 - 148 148
Amounts written off - - - - - (14,101) (14,101)
31 December 2003 - 2161,4691,685 -18,08418,084
During the year, the Group acquired 50% of the issued share capital of Rokscar Limited, a company set up to develop commercial property.
At 31 December 2003, the Group had advanced £1,468,000 to the joint venture as loan funding towards initial development expenditure.
Rokscar Limited made no profit or loss in the year ended 31 December 2003.The Group’s share of Rokscar Limited’s gross assets was
£1,521,000 and its share of gross liabilities was £52,000.
Details of the principal wholly owned subsidiaries affecting the results for the year and the assets of the Group are as follows:
Registered in England & Wales: Registered in Scotland:
Llewellyn Construction Ltd Llewellyn Management Services Ltd Marwood Homes Ltd City Estates Ltd
Rokbuild Ltd Rokeagle Ltd Rokeagle Land Ltd Rokforce Ltd
Spaceage Plastics Ltd Stonecare Ltd
13.Work in progress and stocks Group
2003 2002
£000 £000
Commercial development land and work in progress 31,933 23,221
Construction work in progress 6,572 4,333
Construction raw materials, consumables and small tools 63 63
Building components stock 911 866
39,479 28,483
14. Debtors Group Company
2003 2002 2003 2002
£000 £000 £000 £000 
Due within one year:
Trade debtors 7,961 9,882 553 101
Amounts recoverable on contracts 46,001 32,618 - -
Amounts owed by subsidiaries - - 5,424 2,406
Tax and social security - - - 102
Deferred tax 3,763 4,397 51 18
Prepayments and accrued income 2,313 2,888 825 536
60,038 49,785 6,853 3,163
All Group debtors are due within one year, except for deferred tax of £3,763,000 (2002: £4,397,000).
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Rok annual report 03
15. Current asset investments 2003 2002
£000 £000 
Listed investments at cost (market value: £2,718,000) 2,611 -
16. Creditors Group Company
2003 2002 2003 2002
£000 £000 £000 £000 
Due within one year:
Bank overdrafts (secured - note 28) 2,263 411 - -
Bank loans (secured - note 28) 2,610 6,550 740 -
Loan notes 923 2,495 923 2,495
Contract payments on account 6,119 3,579 - -
Trade creditors 26,755 24,815 674 213
Amounts owed to subsidiaries - - 4,047 2,644
Tax and social security 2,675 3,067 239 -
Corporation tax 536 991 158 -
Accruals and deferred income 45,930 31,961 1,561 2,456
Proposed dividend 1,167 982 1,167 982
88,978 74,851 9,509 8,790
Due after one year:
Bank loans (secured - note 28) 9,213 12,815 766 764
Loan notes - 250 - 250
9,213 13,065 766 1,014
17. Provisions for liabilities and charges Group
2003 2002
Deferred taxation £000 £000
At 1 January (4,397) 1,135
Profit and loss account for the year 1,340 (381)
Amounts arising on acquisitions -44
Fair value adjustments (706) (5,195)
At 31 December (3,763) (4,397)
The elements of deferred taxation are as follows:
Difference between accumulated depreciation and amortisation and capital allowances (132) (184)
Pension provision (4,152) (4,433)
Other timing differences 521 220
(3,763) (4,397)
Deferred tax asset (4,601) (5,378)
Deferred tax liability 838 981
(3,763) (4,397)
In addition to the above the Group has an unrecognised deferred tax asset at the year end of £793,000 
in respect of tax losses (2002: £1,496,000).
41
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Rok annual report 03
42
17. Provisions for liabilities and charges - continued Group
2003 2002
Pension liability £000 £000
At 1 January 14,641 -
Arising on acquisitions under FRS17 - 14,775
Paid during the year (800) (134)
At 31 December 13,841 14,641
18. Share capital 2003 2002
Authorised Allotted & Authorised     Allotted &
fully paid fully paid
Number of shares of 10p each 82,500,000 25,919,113 82,500,000 25,500,514
£000 £000 £000 £000
Ordinary shares of 10p each 8,250 2,592 8,250 2,550
The increase in issued share capital during the year arose from the allotment of shares in respect of share option exercises and scrip
dividends for consideration totalling £533,000.
Options over 562,791 ordinary shares were outstanding at 31 December 2003 as follows:
Option schemes Date of Grant Option Shares Exercisable between
Price under option
Sharesave Scheme 9 October 1998 48.50p 40,684 01.12.05 & 31.05.06
Executive Share Option Scheme 15 September 2000 79.25p 100,000 15.09.03 & 14.09.10
Executive Share Option Scheme 30 March 2001 83.00p 22,000 30.03.04 & 29.03.08
Executive Share Option Scheme 18 April 2001 94.50p 50,000 18.04.04 & 17.04.11
Executive Share Option Scheme 23 August 2001 136.00p 15,000 23.08.04 & 22.08.11
Sharesave Scheme 30 August 2001 114.50p 330,107 01.11.04 & 30.04.09
Executive Share Option Scheme 28 March 2002 162.50p 5,000 28.03.05 & 27.03.12
19. Reserves Group and Company       Group Company
Share Capital Own Profit Profit
premium redemption shares and loss and loss 
account reserve held account account
£000 £000 £000 £000 £000
At 1 January 2003 15,208 5,573 - 6,787 5,152
Prior year adjustment - - (427) - -
As restated 15,208 5,573 (427) 6,787 5,152
Exercise of share options 185 - - - - 
Premium on scrip dividends 306 - - - - 
Purchase of own shares - - (620) - -
Retained profit for year - - - 5,095 8,222 
At 31 December 2003 15,699 5,573 (1,047) 11,882 13,374
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Employee Share Ownership Trust
The Rok property solutions plc Employee Share Ownership Trust (“the Trust”) was established to purchase shares in the Company in the
open market or to subscribe for shares to satisfy awards under the rules of the Company’s Long Term Incentive Plan (LTIP).The Trust is
financed by gifts from the Company. At 31 December 2003, the Trust held 605,232 (2002: 320,017) shares in the Company at a cost of
£1,047,000 (2002: £427,000) all of which represented LTIP awards at that date. All costs and income of the Trust are charged or credited to
the profit and loss account as they accrue, except for dividends which are waived by the Trust and are deducted from dividends paid by the
Company.
20. Movements in shareholders’ funds 2003 2002 
£000 £000 
Profit on ordinary activities after taxation 6,700 3,314
Dividends (1,605) (1,304)
Own shares purchased (620) (236)
New share capital subscribed as a result of:
-  exercise of options 209 137
-  scrip dividend 324 84
-  placing and open offer - 5,850
Shares issued in respect of acquisition consideration - 2,450
Net movement in shareholders' funds 5,008 10,295
Opening shareholders' funds (restated) 29,691 19,396
Closing shareholders' funds 34,699 29,691
21. Reconciliation of operating profit to net cash inflow from operating activities
Operating profit 10,593 5,094
(Profit) loss on disposal of fixed assets (211) 733
Depreciation and amortisation 2,687 1,603
(Increase) decrease in work in progress and stocks (5,293) 300
Increase in debtors (10,771) (3,221)
Increase in creditors 16,336 9,841
Net cash inflow from operating activities 13,341 14,350
22.Analysis of changes in net debt At Cash Other non At 
1 Jan 2003 flow cash movements 31 Dec 2003
£000 £000 £000 £000 
Cash in hand at bank 14,873 (2,465) - 12,408
Bank overdrafts (411) (1,852) - (2,263)
14,462 (4,317) - 10,145
Debt due within 1 year:
Loan notes (2,495) 2,322 (750) (923)
Bank loans (6,550) 4,680 (740) (2,610)
Debt due after 1 year:
Loan notes (250) - 250 -
Bank loans (12,815) 2,862 740 (9,213)
(7,648) 5,547 (500) (2,601)
Notes to the financial statements
Rok annual report 03
43
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Rok annual report 03
44
23. Commitments
The Group and the Company have commitments for payments in the next year under operating leases as follows:
Group Company
2003 2002 2003 2002
£000 £000 £000 £000 
Plant and office equipment expiring within one year 142 83 - 52
Plant and office equipment expiring from two to five years 420 633 - 547
562 716 - 599
Land and buildings expiring within one year 73 - - -
Land and buildings expiring from two to five years 157 105 - -
Land and buildings expiring over five years 1,014 950 - -
1,244 1,055 - -
24.Acquisitions
The Group made no acquisitions during the year. In accordance with FRS7, the fair value estimates made at 31 December 2002 have been 
re-assessed after one year and the following changes are required in respect of the acquisition of the Llewellyn companies.
£000
Fair value as at 31 December 2002 3,458
Revaluation of fixed assets (185)
Revaluation of work in progress 178
Additional tax impact 27
Fair value as at 31 December 2003 3,478
The final goodwill capitalised in accordance with FRS10 is as follows.
Goodwill as at 31 December 2002 14,494
Fair value adjustments (20)
Additional cost of acquisition 110
Revised Llewellyn goodwill at 31 December 2003 14,584
25. Guarantees
Guarantees for performance are given by the Company in the normal course of business in support of subsidiary companies.
The Company has also provided composite guarantees to bankers in respect of the liabilities of certain subsidiaries in recognition of banking
arrangements arising in the normal course of business.
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Rok annual report 03
26. Pension contributions
The Group operates a defined contribution scheme, Rokplan, which all employees are entitled to join.The assets of the scheme are held for
individual employees separately from those of the Group in an independently administered fund.The amounts charged against profits
represent the contributions payable to the scheme by the Group during the year.
The Group also operates two defined benefit schemes, the Rok property solutions Group scheme (“RPSGS”) and the Llewellyn Group
scheme (“LGS”), the contributions to which are determined by qualified independent actuaries on the basis of triennial valuations.These
schemes are now closed to new members and to future service accrual in respect of existing members. Contributions to the defined benefit
schemes are charged to the profit and loss account so as to spread the cost of pensions over employees’ working lives with the Group. Both
schemes’ assets are measured using market values and their liabilities using either the attained age or the projected unit method discounted
at the current rate of return on a high quality corporate bond of equivalent term and currency to the liabilities.
The most recent actuarial valuation of the RPSGS using the projected unit method was at 1 July 2002, which showed that the market value of
the scheme's assets was £18,552,000 and that the actuarial value of those assets represented 76% of the benefits that had accrued to
members, after allowing for expected future salary increases.The deficiency of £4,454,000 is being amortised over the remaining lifetime of
the active members.The assumptions that had the most significant effect on the result of the valuation were that future investment returns
would exceed salary increases by 2.5% per annum (the rate of increase for each being 7.5% and 5.0% respectively).The next triennial
valuation will be due at 1 July 2005.
The most recent actuarial valuation of the LGS using the attained age method was at 1 January 2002, which showed that the market value of
the scheme's assets was £18,570,000 and that the actuarial value of those assets represented 93% of the benefits that had accrued to
members, after allowing for expected future salary increases.The deficiency of £1,455,000 is being amortised over the remaining lifetime of
the active members.The assumptions that had the most significant effect on the result of the valuation were that future investment returns
would exceed salary increases by 2.0% per annum (the rate of increase for each being 7.0% and 5.0% per annum respectively).The next
triennial valuation will be due on 1 January 2005.
A gross provision of £14,775,000 was set up on the acquisition of Llewellyn in respect of the FRS17 pension deficit at that date. In addition to
the regular contributions to the scheme an additional £800,000 per annum is being paid by the Group under the acquisition agreement for 5
years commencing November 2002 to reduce the scheme deficit.
The total pension charge for the period was £2,457,000 (2002: £1,625,000). Contributions amounting to £368,000 (2002: £nil) were payable
to the schemes at the year end.
FRS 17 Retirement Benefits Disclosure:
Whilst the Company continues to account for pension costs in accordance with Statement of Standard Accounting Practice 24 'Accounting
for pension costs', under FRS17 'Retirement benefits' the following transitional disclosures are required:
The valuations were updated by the schemes’ actuaries on an FRS17 basis as at 31 December 2003.
RPSGS LGS
The major assumptions used by the actuaries were: 2003 2002 2001 2003 2002 2002 
At acq’n.
Rate of increase in salaries N/A 3.9% 4.8% 4.0% 4.5% 4.5%
Rate of increase in pensions in payment and deferred pension 2.9% 2.3% 2.5% 2.9% 2.5% 2.6%
Discount rate applied to scheme liabilities 5.5% 5.5% 6.0% 5.5% 5.5% 5.5%
Inflation assumption 2.9% 2.3% 2.5% 2.9% 2.5% 2.5%
45
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Rok annual report 03
46
26. Pension contributions - continued
The assets in the schemes and the expected long term rates of return were as follows:
RPSGS Return at Value at Return at Value at Return at Value at 
31 Dec 03 31 Dec 03 31 Dec 02 31 Dec 02 31 Dec 01 31 Dec 01
£000 £000 £000
Equities 7.3% 9,324 8.2% 8,154 6.4% 9,204 
Bonds 4.8% 6,216 4.5% 5,436 5.0% 6,136 
Property 4.8% 291 4.5% 227 5.0% 290  
15,831 13,817 15,630 
LGS Return at Value at Return at Value at Return at Value at 
31 Dec 03 31 Dec 03 31 Dec 02 31 Dec 02 acquisition acquisition
£000 £000 £000
Equities 7.0% 14,132 7.5% 10,795 7.5% 10,259 
Bonds 4.5% 4,884 5.0% 4,173 5.0% 4,109 
Property 6.5% 1,028 7.0% 836 7.0% 976 
Cash 3.3% 337 4.5% 356 4.5% 481 
20,381 16,160 15,825 
The following amounts at 31 December 2003 were measured in accordance with the requirements of FRS 17:
RPSGS LGS T otal
2003 2002 2001 2003 2002 At acq’n. 2003 2002 2001
£000 £000 £000 £000 £000 £000 £000 £000 £000
Total market value of scheme assets 15,831 13,817 15,630 20,381 16,160 15,825 36,212 29,977 15,630 
Present value of scheme liabilities (26,362) (23,130) (20,580) (34,125) (32,723) (30,600) (60,487) (55,853) (20,580)
Deficit in the schemes (10,531) (9,313) (4,950) (13,744) (16,563) (14,775) (24,275) (25,876) (4,950)
Included in provisions - -- 13,841 14,641 14,775 13,841 14,641 -
Gross unprovided liabilities (10,531) (9,313) (4,950) 97 (1,922) - (10,434) (11,235) (4,950)
Deferred tax asset at 30% 3,159 2,794 1,485 (29) 577 - 3,130 3,371 1,485
Net unprovided FRS17 liability (7,372) (6,519) (3,465) 68 (1,345) - (7,304) (7,864) (3,465)
If the above amounts had been recognised in the financial statements, the Group's net assets and profit and loss reserve at 31 December
would be as follows:
2003 2002 2001
£000 £000 £000
Net assets 34,699 29,691 19,396 
Net unprovided pension liability under FRS 17 (7,304) (7,864) (3,465)
Net assets including FRS 17 liability 27,395 21,827 15,931 
Profit and loss reserve 11,882 6,787 4,777 
Net unprovided pension liability under FRS 17 (7,304) (7,864) (3,465)
Profit and loss reserve including FRS 17 liability 4,578 (1,077) 1,312
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Rok annual report 03
26. Pension contributions - continued
Movement in gross deficit during the year (or from date of acquisition) 
before deferred tax relief:
2003 2002
RPSGS LGS T otal RPSGS LGS T otal
£000 £000 £000 £000 £000 £000
Gross deficit at 1 January (or date of acquisition) (9,313) (16,563) (25,876) (4,950) (14,775) (19,725)
Movement in year:
Current service cost (373) (1,195) (1,568) (404) (394) (798)
Contributions paid 806 1,573 2,379 578 438 1,016
Other finance costs (321) (669) (990) (323) (162) (485)
Curtailment 781 -  781 -  -  -  
Actuarial (loss) gain (2,111) 3,110 999 (4,214) (1,670) (5,884)
Gross deficit at 31 December (10,531) (13,744) (24,275) (9,313) (16,563) (25,876)
If FRS 17 had been adopted in these financial statements the 
pension costs for the defined benefit schemes would have been:
Current service cost (373) (1,195) (1,568) (404) (394) (798)
Curtailment 781 -  781 -  -  -  
Total operating credit (charge) 408 (1,195) (787) (404) (394) (798)
Analysis of amounts included in other finance costs:
Expected return on pension scheme assets 929 1,139 2,068 904 270 1,174
Interest on pension scheme liabilities (1,250) (1,808) (3,058) (1,227) (432) (1,659)
(321) (669) (990) (323) (162) (485)
Analysis of the amounts recognised in the Statement of 
Total Recognised Gains and Losses (STRGL):
Actual return less expected return on scheme assets 994 1,708 2,702 (2,574) (349) (2,923)
Experience gains and losses arising on scheme liabilities (118) 2,019 1,901 (252) (1,398) (1,650)
Changes in assumptions (2,987) (617) (3,604) (1,388) 77 (1,311)
Actuarial (loss) gain recognised in the STRGL (2,111) 3,110 999 (4,214) (1,670) (5,884)
47
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48
26. Pension contributions - continued
History of experience gains and losses in the year: 2003 2002
RPSGS LGS T otal RPSGS LGS T otal
Actual return less expected return on scheme assets:
Amount (£000) 994 1,708 2,702 (2,574) (349) (2,923)
Percentage of scheme assets 6% 8% 7% -19% -2% -10%
Experience gains and losses arising on scheme liabilities:
Amount (£000) (118) 2,019 1,901 (252) (1,398) (1,650)
Percentage of scheme liabilities 0% 6% 3% -1% -4% -3%
Total amount recognised in the STRGL:
Amount (£000) (2,111) 3,110 999 (4,214) (1,670) (5,884)
Percentage of scheme liabilities -8% 9% 2% -18% -5% -11%
27. Related party transactions
During the year the Group entered into the following transactions on an arms length basis with directors and their related companies:
Party Nature of transaction Value Balance owed by (to) related party
at 31 December 2003
£000 £000
Eagle One Limited (controlled by Mark Kay) Provision of building services 1,907 132
Eagle One Limited (controlled by Mark Kay) Project management services (316) (47) 
Mark Kay Loan note interest (25) - 
Garvis Snook Provision of building services 5 -
Transactions with joint venture companies
Rokeagle Limited supplied property solutions services to Rokscar Limited during the year totalling £58,000 and charged interest on loan
funding of £21,000. At 31 December 2003, £1,487,000 was owed by Rokscar Limited to Rokeagle Limited.
28. Financial instruments
The Group finances its operations through retained earnings, bank borrowings and the management of working capital.The Group's main
financial instruments comprise vendor loan notes, bank loans secured on development land, overdrafts and cash at bank and short-term
debtors and creditors. It continues to be the Group's policy not to engage in speculative arrangements or to trade in complex financial
instruments. All the Group’s activities take place in the United Kingdom and accordingly there is no currency risk.
The principal purpose of the Group's financial instruments is to raise finance for the Group's operations.Whilst the construction activities
are generally cash generative, the property development and, to a lesser extent, the maintenance activities are cash consumptive.
Management of financial risk
The Group considers its major financial risks to be liquidity risk, interest rate risk and credit risk.The Group’s policies with regard to these
risks are set out below:
Liquidity risk
It is Group policy that funding required by subsidiary companies is provided through the Group’s centralised banking facilities managed by the
PLC finance team. Subsidiary companies periodically lend funds to, or borrow from, the Group to optimise liquidity positions and interest
income and costs.At 31 December 2003, the Group had net debt of £2,601,000 (2002: £7,648,000).This comprised cash balances of
£12,408,000 (2002: £14,873,000) and gross borrowings of £15,009,000 (2002: £22,521,000).
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28. Financial instruments - continued
Interest rate risk
The Group’s policy is to accept a degree of interest rate risk as long as the effect of interest rate changes remains within certain parameters.
The Group has a £7 million hedge against bank base rates exceeding 5.75% until 17 October 2005. Other than this, the Group does not
currently enter into any arrangement that fixes or caps any portion of debt.All borrowings are at floating rates and interest payments are
made quarterly.
Credit risk
The PLC finance team is responsible for managing the Group’s exposure with banks and other institutions, either as lender or borrower.
Transactions are only permitted with approved counterparties and dealing limits take account of ratings provided by the major credit rating
agencies.
The profile of the Group's financial assets and liabilities excluding, in accordance with the exemption in FRS13, short-term debtors and
creditors, all of which are denominated in sterling, was as follows:
Interest 2003 2002
rates % £000 £000
Cash at bank Variable 12,408 14,873
Overdrafts (secured) Base plus 1.0% (2,263) (411)
Bank loans (secured) 6.5% - (286)
Bank loans (secured) Base plus 1.0% (3,683) (7,551)
Bank loans (secured) Base plus 1.25% (8,140) (11,528)
Vendor loan notes (fixed rate) 6.0% - (861)
Vendor loan notes (variable rate) Between base and base plus 1.0% (923) (1,884)
(2,601) (7,648)
The fair value of the financial instruments is not considered to be materially different from their book values. Overdrafts and bank loans are
secured by fixed charges over the assets to which they relate.
Maturity of financial liabilities at 31 December: Group Company
2003 2002 2003 2002
£000 £000 £000 £000
In one year or less 5,796 9,456 1,663 2,495
Between one and two years 618 250 766 250
Between two and five years 8,595 12,815 - 764
15,009 22,521 2,429 3,509
Borrowings facilities:
At the year end, the Group had £8,367,000 (2002: £6,971,000) of undrawn committed bank borrowing facilities available. All covenants were
met at 31 December 2003.
49
Notes to the financial statements
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50
Combined Code
The Board recognises the importance of good corporate practice
and is committed to conducting the Group’s operations in
accordance with the best principles of corporate governance.
This statement, together with the Remuneration report on pages 52
to 55, describes how the Company has applied the Principles of
Good Governance and Code of Best Practice dated June 1998 (“the
Combined Code”). A new Combined Code was published in July
2003 applicable to accounting periods beginning on or after 1
November 2003.The Board is reviewing the new Code and will
report against its requirements in next year’s statement.This report
also describes those matters covered by the new Code with which
the Company already complies.
The Board
Responsibilities
The Board is responsible for the overall management of the Group
and for directing and supervising the Company’s business.This
includes establishing the long term objectives and setting commercial
and financial strategy.The Board approves the Group’s business plan,
the annual budget, acquisitions and interim and annual results.All
directors are kept appraised of important developments affecting the
Group and receive full information monthly in relation to the
Group’s operations, finances, risk factors and business performance.
A revised schedule of matters reserved for the Board has recently
been adopted.
Composition
The Board currently comprises three executive and three non-
executive directors. Garvis Snook as Chief Executive and Ashley
Martin as Finance Director have executive responsibilities across the
Group. Mark Kay is directly involved in the Group’s development
division, Rokeagle.There is a clear division between the roles of Bob
Carlton-Porter as Chairman and Garvis Snook as Chief Executive.
The Board considers Louis Sherwood and Gillian Camm to be
independent non-executive directors.While Louis Sherwood has
been a non-executive director for more than nine years, the Board
believes he remains independent in view of his wide business
experience and perceptive judgement. Louis Sherwood is the senior
independent director.
The Board met formally ten times during the year and there was full
attendance with the exception of Mark Kay on two occasions.The
directors have access to the company secretary and there is an
agreed procedure for directors to take independent advice, if
necessary at the Company’s expense. New directors are 
provided with appropriate training as soon as practical after
appointment. It is planned to implement new procedures during the
year for conducting performance evaluation of the Board.
Board committees
The Board has long established Audit and Remuneration Committees
and established a Nomination Committee in December 2003. New
terms of reference for these committees have recently been adopted
and are available for inspection on the Company’s website or at the
Company’s registered office.
Audit committee
The Audit Committee comprises the three non-executive directors
and is chaired by Louis Sherwood. It meets at least three times a
year, with full attendance on each occasion during 2003. It is
responsible for reviewing the Group’s interim and annual financial
statements, the scope and effectiveness of the external audit and for
receiving the reports of the auditors.The Committee advises the
Board on the appointment of the external auditors and reviews their
fees and any non-audit work to monitor their objectivity and
independence.The Committee considers the effectiveness of the
Group’s internal controls and meets periodically with the head of
the Rok Assurance function. It also deals with any matters which may
be brought to its attention by the auditors.
Nomination committee
The Nomination Committee consists of the three non-executive
directors, together with Garvis Snook, and is chaired by Gillian
Camm. It will meet at least twice a year and is responsible for
regularly reviewing the structure and composition of the Board and
for making recommendations to the Board on the appointment of
new directors. External search consultants and advertising are used
as appropriate in the recruitment of directors and senior executives.
Remuneration committee
The Remuneration Committee comprises the three non-executive
directors and is chaired by Gillian Camm. It meets at least three
times a year and there was full attendance during 2003.The
Committee’s responsibilities include setting remuneration policy and
determining the remuneration packages for the executive directors
and other senior executives. It is also responsible for monitoring
best practice in remuneration and related issues.
Shareholder communications
The Board gives priority to establishing and maintaining good
relationships with all shareholders to develop a clear understanding
of the Group’s strategy, performance and potential.The Chief
Executive and Finance Director meet regularly with analysts and
major current and potential shareholders. Feedback on such
meetings and shareholder views generally are communicated to the
Board as a whole.The Annual and Interim Reports are seen as
important communication tools and other information is released
through the Stock Exchange. Shareholders are also sent the
Company’s regular in-house newsletter, Rokface.
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51
There is also a comprehensive investor relations section on the
Company’s website – www.rokgroup.com – which includes annual
and interim reports, institutional presentation documents and Stock
Exchange releases.
The Annual General Meeting is held in April and is attended by the
full Board, including the Chairmen of the three Board committees
who will be available to answer shareholders’ questions.
Internal control
The Board has overall responsibility for the Group’s systems of
internal control which are reviewed in accordance with the
Combined Code. Such systems, however, are designed to manage
rather than eliminate risk and can only give reasonable but not
absolute assurance against material misstatement or loss.
During the year and up to the date of this report, the Board has
maintained the process adopted for its review of the effectiveness of
internal control.This process identifies the risk categories that
threaten the achievement of the Group’s business plan objectives, the
factors contributing to these risks and the controls and early warning
systems in place.These are assessed and appropriate action and
responsibility identified and allocated.These actions will then be
monitored through the year.
In the year, the Board established a new function,‘Rok Assurance’, to
focus on systems, controls and processes, risk identification and
business improvement throughout the organisation.The head of Rok
Assurance reports directly to the Chief Executive, with a functional
reporting line to the Chairman of the Audit Committee.
Each division operates a comprehensive rolling three year business
planning process which is reviewed and approved by Group
management. In the Autumn of each year annual operating, cashflow
and capital expenditure budgets at a divisional level are prepared
linked to the business plan objectives.The consolidated Group
budget that results is reviewed by the Board prior to its adoption.
Monthly financial results are reviewed by both the executive
directors and the full Board and compared to prior years and
budgets with variances highlighted and explained.A full re-forecast of
the result for the year is updated monthly.
The Board has reviewed the operation and effectiveness of the
internal controls for the year ended 31 December 2003.
Combined Code compliance
The Group has complied throughout the year with the Combined
Code.
Going concern statement
The directors are required under the Combined Code to consider
whether or not to adopt the financial statements on the basis that
the Company and the Group are going concerns.As part of its
normal business practice the Group prepares annual and longer-term
plans and, in reviewing this information and in particular the 2004 -
2006 three-year plan and the 2004 budget, the directors believe that
the Company and the Group have adequate resources for the
foreseeable future.Therefore the Company and the Group continue
to adopt the going concern basis in preparing the financial
statements.
Statement of directors’ responsibilities
Company law requires the directors to prepare financial statements
for each financial year which give a true and fair view of the state of
affairs of the Company and Group at the end of the financial year
and of the profit or loss of the Group for that period. In preparing
those financial statements, the directors are required to:
★ select suitable accounting policies and then apply them 
consistently;
★ make judgements and estimates that are reasonable and prudent;
★ follow applicable accounting standards;
★ prepare the financial statements on the going concern basis.
The directors are responsible for maintaining proper accounting
records which disclose with reasonable accuracy at any time the
financial position of the Company and to enable them to ensure that
the financial statements comply with the Companies Act 1985.They
are also responsible for safeguarding the assets of the Group and
hence for taking reasonable steps for the prevention and detection
of fraud and other irregularities.
BACK section 31-60_17/3  17/3/04  4:15 PM  Page 51 Remuneration report
Rok annual report 03
52
This report has been prepared in accordance with the Directors’
Remuneration Report Regulations 2002, which apply to the
Company for the first time this year, and has been approved by the
Board. Information relating to directors’ remuneration and their
interests in shares and their pension contributions on pages 54 and
55 has been audited.
Remuneration committee
The Remuneration Committee is responsible for determining the
broad policy and individual remuneration packages of the executive
directors and other senior executives and is governed by terms of
reference approved by the Board. During the year and to date the
members of the Committee were Gillian Camm (Chairman), Bob
Carlton-Porter and Louis Sherwood.The meetings are attended by
Garvis Snook except when his own remuneration is under
consideration.
The Committee obtains independent advice when required from
external consultants on executive remuneration. Monks Partnership
provided such advice during the year, but did not provide any other
services to the Company.
The remuneration of non-executive directors is determined by the
Chairman of the Company, the Chief Executive and the Finance
Director.
Remuneration policy
The Committee’s policy on directors’ remuneration is designed to
attract and retain directors with the experience and ability required
to manage the Company and to shape and deliver the strategy
approved by the Board aimed at enhancing shareholder value.This
policy applies to 2003 and subsequent years.
It is the aim of the Committee to reward directors competitively and
on the broad principle that their remuneration should be in line with
the remuneration paid to senior management of comparable public
companies. Reference is made to the market median for similar
positions in comparable companies as well as utilising market survey
data. It is aimed at recognising both the contribution of individual
directors and at linking reward to Group performance to align the
interests of directors with those of shareholders.
In order to achieve this, the remuneration of executive directors
comprises the following:
Base salary and benefits
The base salary, which is reviewed annually, is based on each
director’s role within the Group, the nature of their responsibilities
and on individual performance. In addition, a range of benefits 
is provided which include car allowance, health insurance and 
life cover and company pension contributions of between 12% and
15% of base salary to the Group’s defined contribution scheme.
Annual performance bonus
The annual performance bonus, under which executive directors can
earn up to 50% of base salary, subject to additional awards for
exceptional performance, is dependent on achieving short term
performance targets and typically relates to growth in earnings per
share of the Company.The bonus arrangements for Mark Kay relate
to the gross profit achievement from the commercial development
activities of the Group (as defined in his service contract).
Long term incentives
Shareholders approved a Long Term Incentive Plan (“the LTIP”) in
April 2001 in which the executive directors and other senior
executives participate.The LTIP is designed to provide rewards for
consistent out-performance over the longer term by making awards
dependent on performance of total shareholder return over three
year periods against a group of comparator companies in the FTSE
Actuaries Construction and Building Materials sector.Total
shareholder return (“TSR”) and comparable companies in the same
sector were chosen as they best align executive performance with
shareholders’ interests.The comparator companies used to date are:
Amey, Boot, Costain, Galliford T ry, Gleeson, Interserve, Kier ,
Montpellier, Morgan Sindall and Mowlem.
At the end of each three year performance period, the Company’s TSR
is ranked within the peer group and awards vested as set out below:
Position in ranking % age vesting
Below 4th 0 
450
3 100
2 150
1 200
The percentage of awards vesting will be enhanced to 300% if first
position in the peer group is achieved and TSR performance exceeds
that of the second ranked company by more than 10% and by 400%
if this out-performance is 25% or more. If the shares vested under
the scheme are retained for a further two years and the participant
remains in employment, there will be an entitlement to a loyalty
award equivalent to 10% of the number of shares vested.
It is the intention of the Committee to continue to award shares
under the LTIP, under which a participant is eligible to receive awards
with an initial value of up to 100% of annual salary in a 12 month
period.
BACK section 31-60_17/3  17/3/04  4:15 PM  Page 52 Rok annual report 03
53
The Company also has an executive share option scheme approved
by shareholders in 1996.The exercise of options under this scheme
is subject to the growth in earnings per share exceeding the growth
in the Retail Price Index by 2% per annum compounded annually
over three consecutive years. No further options will be granted
under this scheme to executives participating in the LTIP.
There is also a Save As You Earn Scheme in which full time directors
are able to participate on the same basis as other employees.
During the year, the Company adopted a share incentive plan known
as the Rok property solutions plc Buy As You Earn Scheme (“the
BAYE Scheme”).The BAYE Scheme was approved by the Inland
Revenue on 2 December 2003 and enables employees, including full
time directors, to acquire shares in the Company from pre-tax
income. Matching shares currently on a 1:10 basis are allocated to
employees.The shares acquired are held by the trustees,Yorkshire
Building Society.
Performance graph
The graph below charts the Company’s total shareholder return
performance (share price movements plus dividends reinvested) over
the past five years relative to the FTSE Actuaries Construction and
Building Materials Index.This index is regarded as the most direct
comparator for this purpose as it comprises a broad equity market
index of which the Company has been a constituent during the year.
It is also the index from which the comparator companies for the
LTIP are drawn.
Service contracts
The three executive directors are appointed under service contracts
terminable on one year’s notice and entered into as follows:
Executive Contract Date 
Garvis Snook 19 March 2001 
Mark Kay 17 April 2001 
Ashley Martin 3 October 2003
The directors’ service contracts do not make specific provision for
compensation payments in the event of early termination, except in
the case of Garvis Snook and Ashley Martin which contain
compensation of two years’ salary and loss of benefits for loss of
office following a change of control in the Company.The
Remuneration Committee will consider individual cases when
necessary when termination occurs for any other reason in line with
any legal obligations.
The non-executive directors do not have service contracts but are
subject to letters of appointment which are terminable on six
months’ notice.
Pensions
During the year, the Company closed the two defined benefit
schemes to future service accrual following negotiations with the
trustees of those schemes.A Group wide defined contribution
pension scheme, Rokplan, was established which all employees,
including executive directors, are entitled to join.
16/2/04
1999 2000 2001 2002 2003
0
100
200
300
400
500
600
700
800
ROK PR.SOLUTIONS - TOT RETURN IND
FTSE CNSTR. & BLDG.MATS. - TOT RETURN IND
Source: DATASTREAM
BACK section 31-60_17/3  17/3/04  4:15 PM  Page 53 Rok annual report 03
54
Directors’ remuneration
Details of the remuneration of each director and their pension entitlements during their period of office were as follows:
Salary Annual Benefits Pension Compensation 2003 2002
bonus in kind contributions for loss of office Total T otal
£000 £000 £000 £000 £000 £000 £000
Executive Directors:
Garvis Snook  268 120 35 22 - 445 361
Ashley Martin (appointed 5 September 2003) 70 30 - 5 - 105 -
Mark Kay  102 - - - - 102 89 
Michael Bailey (resigned 12 August 2003) 97 - - 18 457 572 193
537 150 35 45 457 1,224 643
Non-executive Directors:
Bob Carlton-Porter  79 - - - - 79 74
Louis Sherwood  30 - - - - 30 23
Gillian Camm  28 - - - - 28 72
674 150 35 45 457 1,361 812
Garvis Snook and Ashley Martin are members of the Company’s defined contribution pension scheme, Rokplan.The Company contributes
15% of base salary in respect of Garvis Snook and 12% in respect of Ashley Martin. No pension contributions are paid in respect of Mark Kay.
Garvis Snook received a salary supplement during 2003 of £14,000 in lieu of his capped pension entitlement.
Bob Carlton-Porter receives no remuneration from the Company.The remuneration disclosed represents the total of payments made to
Lansdown Consultants Ltd, in which he has an interest, under contracts for the provision of his services as a non-executive director and for
the provision of consultancy services to Spaceage Plastics Ltd.
Under the terms of his leaving the Company on 12 August 2003, compensation for loss of office of £202,000 was paid to Michael Bailey, who
had a service contract terminable on 12 months’ notice. In addition, 100,000 shares in Rok property solutions plc held by the trust were
transferred to him in settlement of his participation in the LTIP. The market value of these shares at the termination date was £255,000.
Subject to the terms of the compromise agreement, Michael Bailey also exercised 27,500 share options under the Executive Share Scheme
and made gross gains of £43,000.
Defined benefit pension entitlements:
Accrued Increase Increase Transfer Transfer Transfer Increase in
benefit at in accrued in accrued value of value of value of transfer value
31 Dec 2003 benefits benefits (A) less accrued accrued less directors'
excluding including directors' benefits at benefits at contributions
inflation (A) inflation contributions 1 Jan 2003 12 Aug 2003
£000 £000 £000 £000 £000 £000 £000
Michael Bailey (age 50) 50 5 5 23 263 322 55
The total accrued pension for Michael Bailey includes fixed pensions amounting to £18,063 p.a. payable from age 65 arising from transfers
from other pension arrangements.The transfer value shown above represents a potential liability of the Rok Retirement Benefit scheme. It
does not represent a sum paid or payable to the director.These figures reflect Michael Bailey’s resignation as a director on 12 August 2003.
Remuneration report - continued
BACK section 31-60_17/3  17/3/04  4:15 PM  Page 54 Rok annual report 03
55
Directors’ interests in shares and share options
The directors’ interests, which are all beneficial, in the shares of the Company were as follows:
31 December 2003 1 January 2003*
Ordinary Shares Ordinary Shares
Bob Carlton-Porter 15,030 14,551 
Louis Sherwood 150,000 150,000 
Garvis Snook 17,887 17,410 
Gillian Camm 2,950 2,950 
Mark Kay 3,486,093 3,177,202 
Ashley Martin (appointed 5 September 2003) 12,450 -
* or date of appointment if later
Between 1 January 2004 and 1 March 2004, Garvis Snook and Ashley Martin have both acquired 82 shares under the BAYE Scheme. Apart
from these purchases, there were no other changes in the directors’ share interests between 31 December 2003 and 1 March 2004.
Executive share options
Date of Option At At Exercisable
grant price 01.01.03 31.12.03 between
Garvis Snook 15.09.00 79.25p 100,000 100,000 15.09.03 - 14.09.10
Long term incentive plan
Date of Vesting At Shares At 
award date 01.01.03 awarded 31.12.03
Garvis Snook 17.04.01 17.04.04 67,974 - 67,974
11.03.02 11.03.05 33,566 - 33,566 
17.04.03 17.04.06 - 39,735 39,735 
101,540 39,735 141,275
Ashley Martin 06.10.03 06.10.06 - 10,000 10,000
The LTIP shares are awarded at nil cost to the directors and with performance criteria as described on page 52.
The market price of the Company’s ordinary shares at 31 December 2003 was 295p (2002: 155.5p) and during the year the price ranged
between 134.5p and 304.5p.
BACK section 31-60_17/3  17/3/04  4:15 PM  Page 55 Independent auditors’ report to the members of 
Rok property solutions plc
Rok annual report 03
56
We have audited the financial statements on pages 32 to 49.We have
also audited the information in the remuneration report that is
described as having been audited.
The report is made solely to the Company's members, as a body, in
accordance with section 235 of the Companies Act 1985. Our audit
work has been undertaken so that we might state to the Company's
members those matters we are required to state to them in an
auditor's report and for no other purpose.To the fullest extent
permitted by law, we do not accept or assume responsibility to
anyone other than the Company and the Company's members as a
body, for our audit work, for this report, or for the opinions we have
formed.
Respective responsibilities of directors and auditors
The directors are responsible for preparing the Annual Report and
the remuneration report. As described on page 51 this includes
responsibility for preparing the financial statements in accordance
with applicable United Kingdom law and accounting standards. Our
responsibilities, as independent auditors, are established in the
United Kingdom by statute, the Auditing Practices Board, the Listing
Rules of the Financial Services Authority and by our profession's
ethical guidance.
We report to you our opinion as to whether the financial
statements give a true and fair view and whether the financial
statements and the part of the remuneration report to be audited
have been properly prepared in accordance with the Companies Act
1985.We also report to you if, in our opinion, the directors' report
is not consistent with the financial statements, if the Company has
not kept proper accounting records, if we have not received all the
information and explanations we require for our audit, or if
information specified by law regarding directors' remuneration and
transactions with the Group is not disclosed.
We review whether the statements made on pages 50 and 51 reflect
the Company's compliance with those provisions of the Combined
Code specified for our review by the Listing Rules and we report if
it does not.We are not required to consider whether the board's
statements on internal control cover all risks and controls, or form
an opinion on the effectiveness of the Group's corporate governance
procedures or its risk and control procedures.
We read the other information contained in the Annual Report,
including the corporate governance statement and the unaudited
part of the remuneration report, and consider whether it is
consistent with the audited financial statements.
We consider the implications for our report if we become aware of
any apparent misstatements or material inconsistencies with the
financial statements.
Basis of audit opinion
We conducted our audit in accordance with Auditing Standards
issued by the Auditing Practices Board. An audit includes
examination, on a test basis, of evidence relevant to the amounts and
disclosures in the financial statements and the part of the
Remuneration report to be audited. It also includes an assessment of
the significant estimates and judgements made by the directors in
the preparation of the financial statements and of whether the
accounting policies are appropriate to the Group's circumstances,
consistently applied and adequately disclosed.
We planned and performed our audit so as to obtain all the
information and explanations which we considered necessary in
order to provide us with sufficient evidence to give reasonable
assurance that the financial statements and the part of the
remuneration report to be audited are free from material
misstatement, whether caused by fraud or other irregularity or
error. In forming our opinion we also evaluated the overall adequacy
of the presentation of information in the financial statements and the
part of the remuneration report to be audited.
Opinion
In our opinion:
• the financial statements give a true and fair view of the state of 
affairs of the Company and the Group as at 31 December 2003 
and of the profit of the Group for the year then ended; and
• the financial statements and the part of the remuneration report 
to be audited have been properly prepared in accordance with the
Companies Act 1985.
KPMG Audit Plc
Chartered Accountants
Registered Auditor
15 March 2004
BACK section 31-60_17/3  17/3/04  4:15 PM  Page 56 Five year summary
Rok annual report 03
2003 2002 2001 2000 1999
£000 £000 £000 £000 £000
Profit and loss account
Gross turnover 379,974 221,037 124,953 91,774 82,227
Cost of sales (339,343) (195,535) (109,226) (80,180) (70,680)
Gross profit 40,631 25,502 15,727 11,594 11,547
Operating and administrative expenses (28,640) (18,114) (11,310) (10,434) (10,035)
Operating profit before goodwill 
amortisation and exceptional items 11,991 7,388 4,417 1,160 1,512
Goodwill amortisation (1,398) (792) (386) (125) (125)
Exceptional items - (1,502) - (1,096) -
Net interest (paid) received (610) (592) (270) 159 158
Profit before taxation 9,983 4,502 3,761 98 1,545
Taxation (3,283) (1,188) (878) 90 (205)
Profit for the financial year 6,700 3,314 2,883 188 1,340
Dividends (1,605) (1,304) (978) (496) (438)
Retained profit (loss) 5,095 2,010 1,905 (308) 902
Earnings per share:
Basic 26.6p 15.3p 17.2p 1.7p 12.4p
Goodwill amortisation 5.5p 3.7p 2.3p 1.1p 1.2p
Exceptional items - 4.8p - 7.0p -
Adjusted 32.1p 23.8p 19.6p 9.8p 13.6p
Diluted 25.1p 14.5p 17.0p 1.7p 12.4p
Dividends per share 6.4p 5.5p 5.0p 4.5p 4.0p
2003 2002 2001 2000 1999
Restated Restated
£000 £000 £000 £000 £000
Balance sheet
Fixed assets 32,195 39,107 13,961 8,394 11,216
Net current assets (liabilities) 25,558 18,290 12,756 1,870 (247)
Total assets less current liabilities 57,753 57,397 26,717 10,264 10,969
Creditors due after 1 year (9,213) (13,065) (6,186) - (416)
Provisions (13,841)(14,641) (1,135) - -
Net assets 34,699 29,691 19,396 10,264 10,553
Net (debt) cash (2,601) (7,648) (4,199) 4,495 4,594
57
BACK section 31-60_17/3  17/3/04  4:15 PM  Page 57 Analysis of shareholders (at 31 Dec 03)
Number of shares held Number of  Total %
holders     Shares
1 to 1,000 447 221,114 0.9
1,001 to 10,000 723 2,418,162 9.3
10,001 to 100,000 217 6,423,230 24.8
100,001 to 250,000 32 4,824,162 18.6
250,001 to 500,000 6 2,045,881 7.9
500,001 to 1,000,000 7 5,315,128 20.5
1,000,001 and above 2 4,671,436 18.0
1,434 25,919,113 100.0
Share price performance
Rok property solutions plc v FTSE All Share v
FTSE Construction & Building Materials Sector 
(last 12 months)
Contact point
The Company welcomes contact with investors, brokers, analysts and
others requiring information. If you have any question about the
Group or its services, please do not hesitate to contact Garvis
Snook,Ashley Martin or the Group’s senior independent director,
Louis Sherwood, at Rok Centre, Pegasus Place, Gatwick Road,
Crawley RH10 9AY
Website: www.rokgroup.com
email: info@rokgroup.com
Financial calendar
Ex-dividend date 31 March 2004
Record date 2 April 2004
Annual General Meeting 26 April 2004
Final dividend date 7 May 2004
Interim results announced  August 2004
Interim dividend paid October 2004
Registrars
The Company’s registrars are Computershare Investor Services PLC.
They will be pleased to deal with any questions regarding your 
shareholding or dividends.Their contact details are:
PO Box 82
The Pavilions
Bridgwater Road
Bristol BS99 7NH
t: 0870 702 0000
0
50
100
150
200
250
300
350
87
(p)
62
76 78
145
295
134
143
197
304
155
134
2000 2001 2002 2003
Year End
High
Low
Shareholder information
Rok annual report 03
58
25/2/04
FM A M J J A S O N D J F
80
100
120
140
160
180
200
220
240
260
ROK PR.SOLUTIONS
FTSE ALL SHARE - PRICE INDEX
FTSE CNSTR. & BLDG.MATS. - PRICE INDEX
Source: DATASTREAM
BACK section 31-60_17/3  17/3/04  4:15 PM  Page 58 Contact points - Rok and Rokforce offices
Rok annual report 03
Rok and Rokforce Offices
Brighton
Rok Centre, 19 North Street, Portslade, Brighton BN41 1ED t: 01273 439494 f: 01273 430741
Bristol
Rok Centre, Eden Office Park, 68 Macrae Road, Ham Green, Easton-in-Gordano, Bristol BS20 0EB t: 01275 378800 f: 01275 376369
Crawley
Rok Centre, Pegasus Place, Gatwick Road, Crawley RH10 9AY t: 01293 643100 f: 01293 643191
Eastbourne
Rok Centre, Courtlands Road, Eastbourne BN22 8TS t: 01323 434000 f: 01323 434099
Ellesmere Port
Rok Centre, Dockyard Road, Ellesmere Port, South Wirral CH65 4EF t: 0151 355 7262 f: 0151 357 1740
Exeter
Rok Centre, Guardian Road, Exeter Business Park, Exeter EX1 3PD t: 01392 354030 f: 01392 354031
Glasgow
Rok Centre, Centurion Business Park, 3 Seaward Place, Glasgow G41 1HH t: 0141 420 6899 f: 0141 420 6462
London
Rok Centre, 83 Coborn Road, London E3 2DB t: 020 898 00013 f: 020 898 16549
Manchester
Rok Centre, Laser House,Waterfront Quay, Salford Quays, Manchester M5 2XW t: 0161 877 1411 f: 0161 877 1412
Milton Keynes
Rok Centre, Bleak Hall, Milton Keynes MK6 1LA t: 01908 679222 f: 01908 678631
Newcastle
Rok Centre, 10-11 Allison Court, Metrocentre, Gateshead,Tyne & Wear NE11 9YS t: 0191 495 6200 f: 0191 488 9055
Oxford
Rok Centre, Hinksey Court, Botley, Oxford OX2 9JU t: 01865 305950 f: 01865 724750
Plymouth
Rok Centre,The Business Village, Plymouth International Business Park, Plymouth PL6 5XN t: 01752 237500 f: 01752 780081
Poole
Rok Centre, 7 Acorn Business Park, Ling Road, Poole, Dorset BH12 4NZ t: 01202 731144 f: 01202 736800
Reading
Rok Centre,The Clock House, 22-24 High Street,Theale, Reading, Berks RG7 5AN t: 01189 323300 f: 01189 323331
Solent
Rok Centre, St Andrew’s House, 4400 Parkway,Whiteley, Fareham, Hampshire PO15 7FJ t: 01489 569900 f: 01489 570640
T aunton
Rok Centre, Equity House, Blackbrook Business Park, Blackbrook Park Avenue,Taunton TA1 2PX t: 01823 446020 f: 01823 443572
T eesside
Rok Centre,Wellington House, Falcon Court, Preston Farm Business Park,
Stockton on T ees TS18 3TS t: 01642 616616 f: 01642 679526
T orquay
Rok Centre,Woodland Close,Torquay, Devon TQ2 7BD t: 01803 616171 f: 01803 616564
Truro
Rok Centre, Lower Quay, Newham Road, Newham,Truro TR1 2SU t: 01872 241333 f: 01872 241275
Yeovil
Rok Centre,The Abbey Manor Business Centre, Preston Road,Yeovil, Somerset BA20 2XX t: 01935 424444 f: 01935 420006
59
BACK section 31-60_17/3  17/3/04  4:15 PM  Page 59 Contact points - Rokeagle, Spaceage and PLC offices
Rok annual report 03
60
Rokeagle Offices
Bristol
Commonwealth House, 14 Whiteladies Road, Clifton, Bristol BS8 1PD t: 0117 946 4630 f: 0117 973 5286
Crawley
Rok Centre, Pegasus Place, Gatwick Road, Crawley RH10 9AY t: 01293 649450 f: 01293 643192
Exeter
Malvern House, Matford Court,Yeoford Way, Exeter EX2 8LB t: 01392 823123 f: 01392 823388
Southampton
Brunswick House, Brunswick Place, Southampton SO15 2AP t: 02380 212060 f: 02380 212007
Spaceage Offices
Birmingham
Unit 2,Witton Park Industrial Estate,Tame Road,Witton, Birmingham B6 7HS t: 0121 328 0625 f: 0121 327 3673
Poole
7 Witney Road, Nuffield Industrial Estate, Poole, Dorset BH17 OGH t: 01202 207300 f: 01202 666968
Reading
Unit 2, Hyperion Way, Off Rose Kiln Lane, Reading RG2 OHG t: 01189 874777 f: 01189 863655
PLC Offices
Crawley
Rok Centre, Pegasus Place, Gatwick Road, Crawley RH10 9AY t: 01293 649400 f: 01293 643193
Exeter
Rok Centre, Guardian Road, Exeter Business Park, Exeter EX1 3PD t: 01392 354000 f: 01392 354001
BACK section 31-60_17/3  17/3/04  4:15 PM  Page 60 1 Financial highlights
2 What we do and how we do it
6 Chairman’s statement
8 Chief Executive’s review
24 Financial review
26 Directors’ report
27 Directors
28 Corporate and social responsibility
32 Financial statements
50 Corporate governance
52 Remuneration report
56 Independent auditors’ report
57 Five year summary
58 Shareholder information
59 Contact points
Our vision
Property solutions:
Creating specially tailored services that use our core
skills to add value for our clients.
Our objectives
To be the best construction stock
To be the best employer
To be the best in local markets
Contents
[Front Cover]
Each year Rok offices organise
charity days in their local
communities which generate large
sums for deserving causes and great
fun for all taking part.
Rok sponsors a wide variety of public
events ranging from classes at
County Shows and local festivals to
the prestigious RIBA Town and
Country Design Awards.
Designed and produced by The Design Stable
Printed in the UK by Westerham Press, St Ives plc
© Rok property solutions plc 2004
The manager of the new Land Rover
showroom built by Rok at Matford in
Exeter said it had been possible to
move in with the minimum of hassle
thanks to the excellent working
relationships with all parties
throughout the project.
Cover To Print  17/3/04  4:13 PM  Page 2 ROK
MOULDBREAKING LEADTAKING GAMERAISING
EVERPRAISING LIFECHANGING WIDERANGING
HARDWORKING FUNLOVING ROK!
www.rokgroup.com
ROK
Annual Report 2003
Rok property solutions plc
FUN FRESH VIBRANT PASSIONATE OPEN 
ADVANCED IMPRESSIVE COOL INVOLVED 
EXCELLENT EXCITING SERVICE-DRIVEN 
RELIABLE FLEXIBLE ENERGETIC WINNING
CHALLENGING HELPFUL APPROACHABLE
VALUED AMAZING RESPONSIVE HONEST
INTELLIGENT BRILLIANT MOTIVATING
STRATEGIC PROFITABLE NEW SORTED
Rok property solutions plc Annual Report 2003
Cover To Print  17/3/04  4:13 PM  Page 1