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2007 annual report and accounts
2007 ra ymarine annu al repor t and a ccounts contents
1  financial highlights
2  chairman’s statement
5 chief executive ofﬁ cer’s review
8 financial review
14 board of directors 
16 corporate governance statement
20  directors’ remuneration report
24 company history
26 directors’ report
28 statement of directors’ responsibilities
29 independent auditors’ report to the members of raymarine plc 
30 consolidated income statement
31 consolidated statement of recognised income and expense
32 consolidated balance sheet
33 consolidated cash flow statement
34 notes to the financial statements
68 independent auditors’ report to the members of raymarine plc 
69 company income statement
69 company statement of recognised income and expense
70 company balance sheet
71 company cash flow statement
72 notes to the company financial statements
78 five year summary
79 shareholder information and professional advisers financial highlights
1
  adjusted measures present the results after adding back restructuring costs of £25m 2006 £78m and amortisation of other intangible ﬁ xed assets of £10m 2006 £07m
2
  ebita earnings before interest tax and amortisation comprises operating proﬁ t before amortisation of other intangible ﬁ xed assets of £10m 2006 £07m
3
  ebitda earnings before interest tax depreciation and amortisation comprises operating proﬁ t before amortisation of other intangible ﬁ xed assets of £10m 2006 £07m and depreciation 
of property plant and equipment of £29m 2006 £31m
4  
see note 12
actual 
2007
adjusted
1
 
2007
actual 
2006
adjusted
1
 
2006
revenue £m 1407 1407 1365 1365
gross proﬁ t £m 633 633 562 562
gross margin 450 450 412 412
ebita £m
2
281 306 168 246
ebita margin 199 217 123 180
ebitda £m
3
310 335 199 277
proﬁ t before tax £m 234 269 141 226
dividend p 100p 100p 875p 875p
earnings per share
4
basic p 213p 245p 125p 200p
diluted p 210p 241p 122p 196p
1 raymarine plc annual report 2007  chairman’s statement
i am pleased to report that for the ﬁ nancial year 2007 the group 
achieved its proﬁ t expectations and continues to perform well
a record adjusted basic eps of 245p up 225 is great testimony to 
everyone’s efforts in a year that saw the challenges arising from a slow 
down in certain segments of the leisure marine market in the us sales 
to the european markets and the new markets in asia were extremely 
encouraging with sales to the rest of the world row up 195 to 
£800m
the performance demonstrated the beneﬁ ts of a broad geographical 
spread of business overall revenues rose by 31 to £1407m 2006 
£1365m and adjusted proﬁ t before tax was up 188 to £269m 
2006 £226m
the proﬁ t was supported by strong margin growth upheld by the 
outsourcing programme which has now settled into a routine process 
within the group the strategy of continuing to acquire a number of 
key market distributors has contributed positively to earnings with new 
whollyowned subsidiaries in australia france and germany we are 
delighted to welcome not only these companies and their employees 
into the group but also those of our largest european distributor deck 
marine spa italy and of our distributor in finland navsystems oy the 
acquisitions which we announced this month
the markets that have remained as independent distributors have 
collectively performed well and continued to build both oem and 
aftermarket business despite the challenges in the us retail market 
the oem revenues with the us boat builders have held up extremely 
well supported by the stronger demand being on larger vessels where 
raymarine enjoys greater and more complex levels of equipment
of the new product launches in 2007 the g series was the most 
signiﬁ cant addition to the range the product fully meets the strategy of 
moving to both larger craft and greater system capability it is our most 
powerful and comprehensive multifunction display product to date 
with extensive systems networking capacity when coupled to the new 
digital radar it creates one of the most complete control systems in 
leisure marine electronics presentations of the g series at recent boat 
shows in europe and the us have resulted in enthusiastic reviews both 
from the press and marine professionals
whilst the board is mindful of the new pressures in world economies 
it recognises that the fundamentals of the business remain very strong 
the brand remains preeminent in the marketplace the strategies 
of continuing to build a growing and comprehensive product range 
and driving new markets are supported by the continuing strength of 
oem demand on growing large boat order books in europe and asia 
it is the board’s view that current trading is in line with expectations 
and the outlook for 2008 remains positive it is therefore with this 
conﬁ dence that the ﬁ nal dividend for 2007 is proposed subject to 
shareholder approval at 663p per share
the excellent performance of 2007 was only possible through a great 
deal of effort and commitment by everyone in the group and the 
board on behalf of all the shareholders express their thanks to all 
employees
peter ward
chairman
25 february 2008
 calculation of these measures is explained on page 1
raymarine plc annual report 2007 2 3 raymarine plc annual report 2007  raymarine plc annual report 2007 4 chief executive ofﬁ cer’s review
introduction
in the year to 31 december 2007 raymarine demonstrated that it could 
continue growing its worldwide business to successfully offset a softer us 
market group revenues improved by 31 to £1407m from £1365m in 
2006 in real terms accounting for the devaluation of the us dollar and 
on a like for like basis excluding the beneﬁ t of acquisitions sales grew by 
40
throughout 2007 pricing was maintained cost of goods fell as the group 
started to beneﬁ t from the lower cost of labour overheads and components 
achieved through outsourcing production to hungary
as a result of these activities adjusted ebitda grew by 210 to £335m 
and we are pleased to propose subject to shareholder approval an 114 
increase in the ﬁ nal dividend to 663p per share
the market
raymarine supplies electronic navigation control safety communication 
and entertainment equipment for recreational boats throughout the world 
it is regarded by boaters in all markets as being the premier brand for such 
equipment just under two thirds of its products head for the reequipping 
and refurbishment of power and sail boats through retail wholesale and 
dealer channels and the rest is delivered either direct or via dealers to 
boatyards for installation into new boats 
the market can be characterised in the past year in two ways – regionally 
between us and the rest of the world and by boat size mid to large size 
boats against the market for smaller boats
during 2007 the market outside of the us continued to be driven by robust 
demand for the supply of equipment across continental europe and the 
emerging markets of eastern europe the middle east and asia paciﬁ c which 
have different characteristics to the us markets were particularly strong 
across the us the retail market weakened dealer channels were soft but 
sales to oems grew by 13
by boat size those companies building larger boats and that includes those 
based in the us continued to see strong demand above 60ft in length 
builders were claiming business up 10 above 80ft market estimates put last 
year’s growth at 18 however builders of smaller sized boats most notably 
those in the us were in a less upbeat mood seeing downturns in volume and 
in some cases they were consolidating plants
acquisitions
in january raymarine set up its own subsidiary to serve australia and south 
east asia thereby replacing the long standing distributor that had represented 
raymarine in that region for more than 20 years this acquisition differed 
from the others in that a new organisation was set up from scratch in march 
the group acquired sdm electronique sas “sdm” the sole distributor for 
france monaco and overseas french territories and in august acquired its 
german distributorship he eissing kg gmbh  co “eissing gmbh” 
these have been trading well on the back of excellent and well established 
relationships with boat builders retailers and dealers this has proved to be 
invaluable in getting even closer to the customer base and tapping into a 
proﬁ table supply chain whilst these are successful organisations with years of 
experience in the sales marketing and support of marine products there are 
opportunities for improvement
at the time of announcing our interim results i commented that i hoped we 
could add other distributorships in time and i was therefore delighted to 
announce on 4 february 2008 the acquisition of deck marine spa “deck 
marine” the sole distributor of raymarine products in italy deck marine 
which was founded in 1976 employs 15 staff and is headquartered in milan 
alberto monfrini current managing director of deck marine will remain with 
the company in addition to raymarine products deck marine distributes 
a small number of products manufactured by third party suppliers and will 
continue to do so following the acquisition 
deck marine is the fourth distributorship to be acquired by raymarine in 12 
months in deck marine we know we are getting a further strong team of 
people with excellent trading relationships and a leading market share in one 
of raymarine’s key markets 
in addition to this on the 25 february 2008 we announced the acquisition of 
the business and assets of navsystems oy the sole distributor of raymarine 
products in finland navsystems operate from a base near helsinki and 
employs a total of 4 staff the current managing director will work for us for a 
period of time to effect a smooth transition
we will continue to seek out appropriate opportunities elsewhere
trading
with raymarine having such a strong market presence its trading mirrors 
the markets’ trends to an extent although there are always opportunities in 
certain sectors and regions for greater share
on a likeforlike basis and excluding the beneﬁ t of the acquisitions of 
distributorships raymarine business in regions outside of the americas grew 
by 127 in 2007 over 2006 the emerging markets across eastern europe 
and the middle east provided excellent growth at 21 and 19 respectively 
it is particularly pleasing to record strong performances in the more well
established regions – australia and south east asia grew year on year by just 
over 20 and southern europe showed an improvement of just under 19 
uk domestic revenues climbed by 116 reﬂ ecting the strength of uk boat 
builders and most signiﬁ cantly gains created in the retail channel northern 
europe excluding the uk fared less well – holland and sweden were weaker 
than they had been in previous years and in total this region advanced by 3
in the americas sales direct to boat builders accounting for 22 of 
raymarine’s americas business grew by 13 but retailers 19 of business 
fell by 20 when compared to the prior year dealers and wholesalers who 
were ﬂ at at the half year shrank by 27 by the year end sales in the us 
overall fell by 39 year on year at constant exchange rates just marginally 
worse than we reported at the half year stage overseas distributors which 
includes sales to canada and south america fell by 5 this was particularly 
disappointing and these regions must represent an opportunity for growth in 
the future
 calculation of these measures is explained on page 1
5 raymarine plc annual report 2007  product development
this area continues to be paramount for raymarine and during the year the 
engineering division went through a change in structure to deliver improved 
efﬁ ciency whilst market trends and strength of distribution have an impact on 
raymarine’s top line growth new products are capable of having an equally 
signiﬁ cant effect as customers search for advanced technology that meets 
their growing needs consumers are tending to purchase or reﬁ t larger boats 
which require devices that can be networked and give conﬁ dence safety 
simplicity and improved functionality at sea
each year raymarine spends a large amount of money and time evaluating 
product opportunities and how best to deliver value to the consumer 
raymarine is a premium brand and therefore aims its offering at the upper 
level of each sector with this in mind the product management group 
thoroughly researches and deﬁ nes the product concept and speciﬁ cation 
before handing it over to the largest group of employees – the engineering 
division each project takes between 9 months and 18 months for this division 
to deliver and whilst some of the work is outsourced most of it is insourced 
at raymarine’s facilities in portsmouth uk during and after completion 
products undergo thousands of hours of trials and testing in some of the 
harshest conditions available raymarine employs a network of trialists 
operating both in manmade environmental chambers and also the deepest 
and roughest oceans of the world
early in 2007 the group launched a number of new products in different 
sectors and aimed at different sized boats – from the smaller a60 combined 
chartplotter and fishﬁ nder for boats with centre consoles and open cockpits 
to the g170 and g190 marine displays for the larger vessel segment 
later in the year raymarine launched the ﬁ rst colour instrument with eight 
userdeﬁ ned data pages offering speed depth heading wind engine and 
environmental data modes two new class d dsc high performance radios 
were added to the communications range and for larger vessels the g 
series was introduced to accompany the g170 and g190 displays g series 
is a complete multifunction helm solution that offers advanced navigation 
visualisation capabilities and versatility the system features 3d chartplotting 
with embedded cartography preinstalled on a hard disk drive high deﬁ nition 
digital radar utilising digital signal processing for improved target detection 
networked video for accessing remote cameras dvd and satellite television 
plus remote dedicated wired and wireless keyboards all this gives raymarine 
a distinct edge over its competitors and helps consolidate its global market 
leading position
supply chain 
we continue to reap beneﬁ ts in product cost yield and manufacturing quality 
from the successfully completed outsourcing project whilst we manage and 
own all critical design work from the uk we commission the manufacture 
of these products to our partners around the world approximately 90 of 
products are sourced from hungary with most of the remainder coming from 
mexico and asia 
service levels to our worldwide customer base measured by the daily 
fulﬁ llment of orders improved throughout the year but with it inventory levels 
rose some of the increases are as a direct result of acquiring distributors but 
stock turns can be much improved through better forecasting logistics and 
inventory control and we will be focusing on this in the months ahead at the 
end of the year we moved to a new warehouse and hub in the netherlands 
and expect to serve most of europe direct from this third party controlled 
facility the americas have for some time held inventory in a 
single strategically located hub in the us a new hub has very recently been 
established in australia to serve south east asia
delivery to our customers many of whom hold little stock and who are 
refurbishing and building new boats on a ‘justintime’ process is a key metric 
by which we and our competitors are measured 
people
the strength of raymarine lies in its people there are many long serving 
employees who have extensive knowledge within the marine industry and 
also newcomers who bring a wider experience from outside together they 
provide raymarine with a unique ability to focus directly on a single brand 
aimed at one market this year as in previous years they have worked 
tirelessly to deliver exceptional results in a challenging environment as well 
as wanting to thank everyone for their efforts i would also like to welcome 
new colleagues in australia france germany italy and finland
outlook
as in previous years raymarine has a large number of new products 
scheduled for launch in 2008 many of those expected to have the largest 
impact will be launched in the ﬁ nal quarter of the year
we expect trading in the current year to be in line with expectations we are 
forecasting that the us market will remain ﬂ at and that the regions outside 
the us will continue to grow in much the same way as they did last year 
builders of mid to large boats are reporting healthy orders
taking together the resilience of our overall spread of markets and the 
introduction of more attractive products to complement the existing excellent 
range of new products we are able to look forward to the future with 
conﬁ dence
malcolm miller
chief executive ofﬁ cer
25 february 2008
raymarine plc annual report 2007 6 7 raymarine plc annual report 2007  year ended 31 december
2007
£’000
2006
£’000
increase 

revenue 140690 136490 40
gross proﬁ t 63326 56232 126
gross margin 450 412 92
adjusted ebita before foreign exchange 30604 24175 266
adjusted ebita margin before foreign exchange 217 177 228
foreign exchange losses  gains 36 469 na
restructuring costs note 5 2507 7823 na
finance costs net of ﬁ nance income 3670 2005 830
proﬁ t before taxation 23411 14091 661
adjusted proﬁ t before taxation

26898 22639 188
adjusted effective tax rate 251 268 na
basic eps 213p 125p 704
adjusted eps basic note 11 245p 200p 225
net debt 59964 43632 374
financial review
2007 has been a year of success and progress for raymarine with 
proﬁ ts once again showing a substantial increase on the prior year 
these results mark the fourth successive year of proﬁ t growth since the 
ﬂ otation of the company earnings per share increased by 225 to 
245p adjusted basic eps the board is proposing a full year dividend 
of 10p per share an increase of 143 in recognition of the growth in 
earnings a summary of the 2007 results is set out below
results summary and sales
revenue was £1407m 2006 £1365m a nominal increase of 31 
underlying this however reported sales have been suppressed by 
the weakness of the us dollar while having been increased by the 
acquisitions made during the year likeforlike sales after adjusting for 
these two factors was 40 up on last year at the time of the interim 
results the group reported that us sales were not achieving the rate 
of growth that had originally been anticipated for the year for the 
full year sales in the americas were down by 39 in dollars and in 
the us down by 36 across the rest of the world sales have been 
strong offsetting the us weakness and growing by 195 overall or 
by 127 when the contribution of the new acquisitions is removed as 
remarked elsewhere the strength of sales into boat builders has been a 
signiﬁ cant feature of sales in all territories and reﬂ ects the positioning 
of raymarine’s product portfolio which is largely focused from the 
mid to upper end of the market where demand is more resilient sales 
to the americas were 1206m 2006 1255m sales to the rest of 
the world were £800m 2006 £670m of which the newly acquired 
distributorships contributed £46m 2006 £nil the weakness of the 
dollar against sterling which reduced reported sales by £61m 
compared to last year has not had any negative effect upon the 
reported proﬁ ts of the group due to its natural hedging of the dollar 
see below for more details
adjusted ebita before foreign exchange was £306m 2006 
£242m an increase of 266 the increase in proﬁ ts is mainly 
attributable to the growth in sales the reduction in costs resulting 
from the outsourcing project and the ﬁ rst time contribution from the 
acquisitions
the outsourcing of production to hungary a project that has taken 
up a great deal of management resource since its announcement in 
2005 was successfully completed during the year the beneﬁ ts are now 
showing through as expected and the project was completed at a cost 
very close to the original estimates
the group’s ﬁ nance charges after interest received rose to £37m 
2006 £20m reﬂ ecting the higher average level of net debt 
throughout the year brought about by a number of factors discussed 
below including the purchase consideration for the acquisitions 
adjusted proﬁ t before tax was £269m 2006 £226m an increase of 
188 the statutory proﬁ t before tax was £234m 2006 £141m 
an increase of 661 proﬁ ts were charged to tax at an adjusted 
underlying rate of 251 2006 268 adjusted basic earnings per 
share were 245p 2006 200p an increase of 225 
at 31 december 2007 net debt stood at £600m 2006 £436m
 calculation of these measures is explained on page 1
 sales growth adjusted to remove the effect of acquisitions and dollar exchange rate movements
raymarine plc annual report 2007 8 gross margins
gross proﬁ t was £633m 2006 £562m an increase of 126 gross 
margin percentage increased to 450 from 412 the principal gain 
in gross margin has come largely from the lower cost of goods sold 
due to the outsourcing of production to hungary this was offset to a 
degree by the need to increase the charge in respect of the provision 
for warranty to reﬂ ect a rise in the running rate of warranty costs to 
31 from 26 and also a small increase in inventory provisions 
against a nonoutsourced item product warranty is a signiﬁ cant cost 
for raymarine as the group provides warranties extending up to three 
years and featuring repair or replacement on board the increase in 
warranty costs is in contrast to a decrease in 2006 however had it 
not been for the rise in warranty costs and inventory provision the 
gross margin percentage would have risen to 458 freight costs 
remained at similar levels to 2006 having been budgeted to reduce it 
is anticipated that the desired savings in freight will be realised in 2008 
following a review of logistics arrangements and the opening of a new 
distribution hub in holland this combined with the full year effect of 
the outsourcing beneﬁ ts should ensure that the group’s gross margin 
percentage increases further in 2008
research and development
raymarine’s sales and marketing strategy is based upon a signiﬁ cant 
level of new product introductions each year there is a very strong 
link between the percentage of new products brought to market and 
sales growth a high level of investment in new product development 
rd is the key to continuing success in this activity and raymarine 
has been steadily increasing its investment in rd since its ﬂ otation 
in 2004 cash expenditure on rd rose to £151m 2006 £126m 
and under ias 38 the amount capitalised was £99m or 653 of total 
spend 2006 £79m or 630 capitalised rd is amortised over 3 
years once development is complete the amount amortised or impaired 
was £36m 2006 £36m the total charge to the income statement 
in respect of rd was £89m 2006 £83m at 31 december 2007 
the amount of capitalised development expenditure held in the 
balance sheet was £180m 2006 £117m or 498 2006 400 
of the rd expenditure of the last three years amortisation of these 
development costs is charged as part of the expense described on the 
income statement as “research and development” and the cost is 
included in ebita earnings before interest tax and amortisation while 
the amortisation of intellectual property rights knowhow patents 
and customer relationships is included within “amortisation of other 
intangibles” and excluded from ebita see note 6
restructuring costs
restructuring costs relate to the outsourcing of production from the 
group’s factory in the uk to a facility of flextronics in hungary this 
large project was commenced in 2005 and was brought to a successful 
conclusion in 2007 it is pleasing to report the total cumulative non
recurring costs of the project amounted to £212m compared to the 
original announced estimate of £210m the restructuring cost in the 
2007 income statement was £25m 2006 £78m which was incurred 
on the ﬁ nal engineering costs the transfer or writeoff of residual 
assets property costs and redundancies as detailed in note 5 to the 
accounts cash expenditure on outsourcing incurred during the year 
was £33m 2006 £10m the board expects a high proportion of the 
outsourcing costs will be allowable expenses for taxation many of the 
beneﬁ ts from the outsourcing were available for part of 2007 only and 
will have full year effect in 2008 providing a further enhancement of 
gross margins
finance costs and interest
net interest payable was £37m 2006 £20m the rise reﬂ ects the 
lower level of average net debt in the prior period and the subsequent 
rise in net debt due to the acquisition of three distributorships the 
completion of the restructuring project the buying in to treasury of 
raymarine’s own shares plus the increases in rd dividend payments 
tax and inventories the net interest charge after interest income was 
covered 91 times 2006 139 times by adjusted ebitda and 83 
times 2006 123 times by adjusted ebita these ratios show the 
liquidity of the group and its strong underlying cash position
current borrowing costs are based on the total level of net debt on a 
ratchet which runs between 50 and 115 basis points over libor for 
the currency in which the borrowings are drawn net interest consists 
of interest cost of £40m 2006 £25m less interest income of £04m 
2006 £01m in addition there were foreign exchange losses on 
borrowings of £01m 2006 gain of £04m full details are provided in 
notes 8 and 9 to the accounts all the group’s borrowings are currently 
at variable rates of interest
taxation
the charge for taxation was £59m 2006 £38m giving an adjusted 
effective tax rate before amortisation of intangibles of 251 2006 
268 the charge has been reduced by £09m 2006 £23m for a 
tax credit in respect of the outsourcing costs as detailed in note 10 to 
the accounts
earnings per share
basic earnings per share eps were 213p 2006 125p an increase of 
704 this comparison is distorted by the effects of the outsourcing 
costs adjusted basic eps increased by 225 to 245p 2006 17 
increase to 200p adjusted fully diluted eps was 241p 2006 196p 
an increase of 23 the small amount of dilution relates to the effect 
of the ltip management incentive plan by assuming the full vesting of 
these awards
dividends
subject to shareholder approval at the annual general meeting a ﬁ nal 
dividend of 663p per share 2006 595p will be paid on 30 may 2008 
to shareholders on the register of members at the close of business on 
2 may 2008 the cost of this ﬁ nal dividend of £55m 2006 £49m will 
 calculation of these measures is explained on page 1
9 raymarine plc annual report 2007    calculation of these measures is explained on page 1
not be recognised in the accounts until it is approved by the members 
combined with the interim dividend already paid of 337p 2006 28p 
this amounts to a dividend for the full year of 100p 2006 875p an 
increase of 143 over the prior year and is intended to reﬂ ect the 
increase in earnings the group’s cash position and future prospects 
the full year dividend is covered 24 times by adjusted basic earnings 
see note 11
acquisitions
during the year the group acquired three of its distributors and shortly 
after the year end was successful in acquiring a further two more 
these acquisitions are not only ﬁ nancially accretive transactions but 
also facilitate greater control and investment over the marketing of 
raymarine’s products in the majority of instances raymarine has been 
successful in retaining the local management team who have built 
these businesses up
the inventory goodwill and undertaking of the raymarine 
distributorship for australia and south east asia was acquired on 23 
january 2007 from oceantalk australia pty sdm electronique sas the 
distributor of raymarine for france monaco and the overseas french 
territories was acquired on 31 march 2007 raymarine acquired on 17 
august 2007 its german distributorship he eissing kg gmbh  co 
the activities of these distributorships consist mainly of the distribution 
of raymarine products augmented by the sale of a limited number of 
other complimentary marine products
the consideration for all these acquisitions has been paid in full in cash 
during the year the consideration in respect of raymarine australia pty 
was £08m before transaction costs of £04m sdm was acquired for an 
enterprise value of £64m when taking into account net cash balances 
of £07m within the company and before transaction costs of £04m 
eissing was acquired for £15m before transaction costs of £05m
the proﬁ t before tax contributed by the acquisition of sdm for the 
last nine months of the year was £14m and the acquisition of eissing 
contributed £02m for the last 4 months the acquisition of raymarine 
australia differed from the others in that a new organisation was set 
up from scratch which then had the acquired rights to the raymarine 
distributorship agreement transferred to it 
on 4 february 2008 raymarine announced that it had acquired deck 
marine spa for a cash consideration of up to a maximum of €25m 
subject to completion accounts in its year to 31 december 2006 
deck marine’s proﬁ ts before tax were €5m and its gross assets at 31 
december 2006 were €107m the managing director of deck marine 
joins raymarine following the acquisition
on 25 february 2008 raymarine announced it had agreed to acquire the 
assets and business of navsystems oy for a cash consideration of a maximum 
of €5m subject to completion accounts turnover for the year to 31 
december 2007 was €44m and ebit for the same period was €12m proﬁ t
cash ﬂ ow and net debt
the group has a strong balance sheet backed by a 5 year multicurrency 
borrowing facility of 185m committed until november 2009 
adjusted ebitda before restructuring cost was £335m 2006 
£277m an increase of 210 and equivalent to 238 2006 
203 of sales revenues
operating cash ﬂ ow after exceptionals but before movements in 
working capital was £358m 2006 £207m an increase of 732 
cash generated by operations after exceptionals was £303m 2006 
£157m an increase of 930 free cash ﬂ ow before exceptionals 
share buybacks acquisitions and dividends but after capital 
expenditure rd spend interest and taxation was £106m 2006 
£88m the increase of £18m is accounted for by the increase in 
2007 above 2006 in respect of the operating proﬁ t of £57m together 
with the move in provisions of £24m offset by the increase in the 
movement in capitalised rd held in the balance sheet of £20m 
and increases in the outﬂ ows in respect of capital expenditure £06m 
taxation £17m and working capital £13m operating cash ﬂ ow 
and notes to the cash ﬂ ow statement are detailed in note 30 to the 
accounts
net debt increased during the year to £600m from £436m a rise 
of £164m against an adjusted ebitda of £335m of this increase 
£10m 2006 £nil was spent on acquisitions £53m 2006 £nil on 
buying raymarine’s own shares £33m 2006 £10m on nonrecurring 
outsourcing costs and dividend payments of £77m 2006 £65m 
were made capitalised rd increased £20m 2006 £43m capital 
expenditure was £50m 2006 £42m tax payments £51m 2006 
£34m interest payments £32m 2006 £23m and working capital 
increased by £48m 2006 £35m the increase in working capital 
was largely due to an increase in ﬁ nished goods inventories in order 
to ensure high service levels to customers net debt was increased by 
£07m 2006 £25m decrease by foreign exchange rate movements 
this increase was on euro borrowings drawn down to naturally hedge 
the group’s euro assets represented by its holdings in its french and 
german subsidiaries
net debt consists of bank loans of £689m 2006 £452m plus 
obligations under ﬁ nance leases of £02m 2006 £05m less cash and 
cash equivalents of £91m 2006 £21m 
capital expenditure
capital expenditure was £50m 2006 £42m this was mainly incurred 
on ﬁ xtures ﬁ ttings tools and equipment as was the case last year 
plus “assets in the course of construction” which refers to engineering 
test equipment and it systems the group’s business is not a capital 
intensive one outside the research and development of new products 
which is the group’s dominant channel of organic investment through 
acquisitions tangible ﬁ xed assets with a net book value of £01m 
2006 £nil were added to the group disposals and writeoffs were 
£02m 2006 £18m at net book value
raymarine plc annual report 2007 10 11 raymarine plc annual report 2007  raymarine plc annual report 2007 12 financial instruments and risk management
the group does not enter into speculative ﬁ nancial transactions and 
uses ﬁ nancial instruments for certain risk management purposes only
the group’s transactions are entered into in several different currencies 
the most signiﬁ cant of these by far are in us dollars and relates to 
sales receipts disbursements on procurement including those from its 
outsourcing partner flextronics and trading expenses incurred within 
the us in this way the group attempts to hedge naturally its exposure 
to the us dollar it is raymarine’s policy to keep under review the 
requirement for covering any remaining currency exposures through 
forward exchange contracts in 2007 the group had a net outﬂ ow 
of us dollars and this exposure was hedged during the year through 
forward contracts it is expected that in 2008 the group’s us dollar 
disbursements will again exceed its us dollar inﬂ ows
following the acquisition of two european distributorships and one 
based in australia the group now has a signiﬁ cant net inﬂ ow in euros 
and to a lesser extent in australian dollars these are also expected to 
continue into 2008 again the group covers these exposures well in 
advance through forward foreign exchange contracts 
the group keeps under review the appropriateness of ﬁ xing interest 
rates on its borrowings although at 31 december 2007 all debt was at 
ﬂ oating rates in light of the very high degree of interest cover from cash 
ﬂ ow and earnings
foreign exchange
under the policy described above of hedging its trading exposures 
to foreign currencies the group had 25 2006 nil foreign currency 
forward contracts in place at 31 december 2007 details are set out in 
notes 19 and 27 to the accounts
the results of the group’s subsidiary in the united states raymarine 
inc have been translated at an average rate of £1199 2006 
£1181 the period end rate was £1200 2006 £1196 
although the depreciation of the us dollar has reduced the reported 
sales it has had no material effect on the reported proﬁ t due to 
raymarine’s naturally hedged position
pensions
the group does not operate any deﬁ ned beneﬁ t pension plans nor 
does it have any liabilities under any past plans of this type there is a 
deﬁ ned contribution pension scheme for all the employees in the uk
share capital and shareholders’ funds
the group had 828m shares in issue at 31 december 2007 2006 
828m during the year the group bought 19m 2006 nil of its 
own shares and transferred these to be held as treasury shares the 
weighted average price paid by the group for these shares was 275p 
per share the treasury shares will not receive any payments of dividend 
and are excluded from the calculation of earnings per share although 
the buying in of these shares recognises the group’s low level of 
net debt it is the group’s intention to hold these shares for possible 
future use in the award of management incentive plans which vest in 
raymarine shares 
the company’s shareholders’ funds totalled £332m 2006 £200m of 
which £283m 2006 £154m are distributable reserves
raymarine shares london stock exchange symbol ray which were 
listed in december 2004 at 152p were 292p on 31 december 2007 
2006 472p
tony osbaldiston
finance director
25 february 2008
  calculation of these measures is explained on page 1
13 raymarine plc annual report 2007  malcolm has over 25 years 
experience in the consumer 
electronics industry he was chief 
executive ofﬁ cer of pace micro 
technology plc from 1997 to 2002 
and was formerly chief executive 
ofﬁ cer of sega europe from 1994 
to 1997 his earlier career was 
with amstrad plc culminating in 
appointment as managing director 
malcolm joined raymarine as chief 
executive ofﬁ cer in january 2003 
he is currently a nonexecutive 
director of avis europe plc and non
executive chairman of radioscape 
plc malcolm has a ba in business 
studies from the university of 
westminster
tony is a chartered accountant who 
has followed a career in ﬁ nancial 
management with publicly quoted 
companies he has been finance 
director of both max factor uk 
group cosmetics where he was 
employed between 1985 and 1989 
and volvo car uk ltd where he 
was employed between 1989 and 
1994 he then joined firstgroup 
plc in 1995 as finance director and 
in 1999 was promoted to deputy 
ceo and then ceo of firstgroup 
america he joined raymarine as 
finance director in august 2004 
he is currently a nonexecutive 
director and chairman of the audit 
committee of bss group plc tony 
has an msc in management sciences 
from durham university
terry started his career with the 
black  decker corporation in 
1984 originally in sales and 
marketing then moving into general 
management roles in 1997 he 
joined vermont american a joint 
venture of bosch and emerson as sr 
vice president and corporate ofﬁ cer 
in 2000 terry joined the polaroid 
corporation as vice president 
and general manager as well as 
president and chairman of the 
canadian company in december 
2002 terry was appointed president 
of the americas raymarine inc 
and head of global product 
management for raymarine 
worldwide terry resigned as a 
director on 1 february 2008
the board of directors
malcolm miller 
chief executive ofﬁ cer
52 years
tony osbaldiston
finance director
55 years
terry carlson 
president of americas  head of 
global product management
45 years
raymarine plc annual report 2007 14 jim has over 30 years experience 
developing manufacturing and 
marketing high technology products 
internationally at raychem 
corporation he held a number 
of senior management positions 
in manufacturing and business 
development serving high growth 
electronics and transportation 
markets and was general manager 
of the european wire and cable 
business since 1993 he has been 
an executive director of spectris 
plc responsible for a number of the 
group’s precision instrumentation 
and controls companies he holds a 
bsc hons in metallurgy from the 
university of leeds 
peter has over 35 years experience 
working within companies which 
design manufacture and market 
products the majority of which have 
been at board level he has held 
senior management roles at peugeot 
sa where he was subsequently 
managing director of motorquip 
limited he was chairman and chief 
executive ofﬁ cer for rollsroyce and 
bentley motor cars and managing 
director operations for vickers plc 
peter was also chairman and chief 
executive ofﬁ cer of cunard line 
he is currently chairman of tg21 
plc and a nonexecutive director of 
hartest holdings plc
stephen has 40 years experience 
in the electronics industry his 
early career was spent in ﬁ nancial 
management with various 
companies including gec plc 
he then moved into general 
management gaining extensive 
experience in international 
operations strategic planning and 
mergers and acquisitions in 1985 
he became managing director of 
kam circuits ltd a manufacturer of 
printed circuit boards from 1989 
until 1999 he was group chief 
executive of kode international 
plc the computer and electronic 
components group stephen was 
the senior nonexecutive director 
of radstone technology plc from 
1998 to 2006 he is currently a non
executive director of belgravium 
technologies plc
paul joined deloitte haskin  sells 
in 1978 where he qualiﬁ ed as a 
chartered accountant in 1981 
following a further ﬁ ve years at 
deloitte haskin  sells he moved 
into industry with a variety of 
roles in ﬁ nance and business 
development paul is corporate 
development director and currently 
also finance director of consort 
medical plc a medical devices 
manufacturer from 1991 to 2004 he 
was business development director 
of spectris plc paul was also a non
executive director of london bridge 
software holdings plc from 1999 
to 2004 he has a bsc in business 
economics
peter ward
chairman
62 years
jim webster
nonexecutive director
57 years
stephen day
senior independent 
nonexecutive director
62 years
paul boughton
nonexecutive director
52 years
15 raymarine plc annual report 2007  scheduled 
full board meetings 
attended
renumeration 
committee meetings 
attended
audit
committee meetings 
attended
nomination 
committee meetings 
attended
number of meetings in the year 10 4 3 2
malcolm miller 10 na na na
tony osbaldiston 10 na na na
terry carlson 
1
8 na na na
peter ward 10 4 na 2
nicholas turner 
2
311 –
paul boughton 8 3 3 2
jim webster 10 4 3 2
stephen day 
3
2111
corporate governance statement
the following section explains how the group applies the principles 
and supporting principles set out in section 1 of the combined code on 
corporate governance issued in june 2006 the “combined code”
compliance with the combined code
the board is responsible for the group’s system of corporate 
governance and is ultimately accountable for the group’s activities 
strategy and ﬁ nancial performance during the 12 months to 31 
december 2007 raymarine was outside the ftse 350 and except 
as noted below met the provisions of the combined code set out in 
section 1 as applied to smaller companies
nicholas turner held the position of senior independent nonexecutive 
director until his resignation on 1 may 2007 please see “independence 
of nonexecutives” below for further details the position of senior 
independent nonexecutive director was vacant from 1 may 2007 until 
the appointment of stephen day on 1 november 2007 as a result 
of the process to recruit a suitable candidate for the position in this 
respect the group was noncompliant with the combined code during 
this period 
the board has a process for monitoring and evaluating its own 
performance that of its committees and individual directors which 
includes setting speciﬁ c objectives for each committee and individual 
directors and the monitoring of how these objectives are met a formal 
consultation process with each board member is in operation with the 
objective of assessing and evaluating the commitment and contribution 
of each member to each of the committees and to the board the data 
collection for 2007 is currently ongoing and its evaluation is expected 
to be completed in the ﬁ rst quarter of 2008 the senior independent 
nonexecutive director is leading the evaluation of the chairman taking 
into account the views of executive and nonexecutive directors
the chairman is a member of the remuneration committee which 
is now permitted by the june 2006 version of the code the board 
considers that the chairman should participate in decisions concerning 
remuneration of the executive directors and that his membership of 
the committee helps to ensure that the group’s remuneration policy is 
aligned with its strategic objectives
independence of nonexecutives
the chairman satisﬁ ed the independence criteria of the combined 
code on his appointment and paul boughton jim webster and stephen 
day are considered to be independent according to the principles of the 
combined code 
nicholas turner has been a senior employee of a major shareholder 
for the last four years and whilst the company believes him to 
be independent he was not so considered under the rules of the 
combined code consequently before he was appointed to the position 
of senior independent nonexecutive director the chairman carried out 
a consultation process with all major shareholders with the objective of 
obtaining consensus for his appointment these investors supported this 
nomination nicholas turner resigned as a director on 1 may 2007
board and board committees
board structure
the board as at 31 december 2007 comprised a nonexecutive 
chairman three nonexecutive directors and three executive directors 
1
 terry carlson resigned 1 february 2008
2
 nicholas turner resigned 1 may 2007
3
 stephen day appointed 1 november 2007
the directors’ attendance at the scheduled 
meetings during the year ended 31 december 
2007 was as follows
the board scheduled ten meetings during the year ended 31 december 2007 and an additional ﬁ ve adhoc meetings were convened as necessary 
to deal with urgent matters as they arose
raymarine plc annual report 2007 16 the posts of chairman and chief executive ofﬁ cer are held by different 
directors clear divisions of accountability and responsibility exist and 
operate effectively for these positions peter ward is responsible for 
the leadership of the board setting its agenda and monitoring its 
effectiveness he ensures effective communication between shareholders 
and the board he facilitates both the contribution of the nonexecutive 
directors and constructive relations between the executive and non
executive directors working with the chief executive ofﬁ cer he ensures 
the development of a strategy which is supported by the board as a 
whole malcolm miller the chief executive ofﬁ cer is responsible for 
executing the strategy once agreed by the board
the remuneration nomination and audit committees are comprised 
solely of nonexecutive directors biographies of these directors can be 
found on pages 14 and 15
board process
the board is accountable to shareholders for ensuring that the group is 
appropriately managed and achieves the strategic objectives it sets the 
board discharges those responsibilities through an annual programme of 
meetings which include the approval of overall budgetary planning and 
business strategy the board reviews the group’s internal controls and 
risk management policies and approves its governance structure and 
code of ethics
the board appraises and approves major ﬁ nancing investment and 
contractual decisions in excess of deﬁ ned thresholds in addition the 
board evaluates and monitors the performance of the group as a whole 
this includes
• engaging at board meetings with the chief executive ofﬁ cer and 
the other executive directors as appropriate on the ﬁ nancial and 
operating performance of the group and external issues material to 
the group’s prospects
•  evaluating progress towards the achievement of the group’s ﬁ nancial 
and business objectives and annual plans and
•  monitoring all of the material risks facing the group
the board has a procedure through which the directors are able to take 
independent advice at the group’s expense in the furtherance of their 
responsibilities the directors have access to the advice and services 
of the company secretary the company secretary is responsible to 
the board and is available to individual directors in respect of board 
procedures ensuring that they are complied with the group has 
provided the directors and ofﬁ cers of the group with appropriate 
insurance cover
the terms and conditions of appointment of nonexecutive directors are 
available for inspection at the company’s registered ofﬁ ce during normal 
business hours and at the agm
all new directors are submitted for election by the shareholders in their 
ﬁ rst year all directors have to submit themselves for reelection at least 
every three years if they wish to continue serving and are considered by 
the board to be eligible
the appointment of stephen day as senior independent nonexecutive 
director on 1 november 2007 was made following the required process 
as indicated below with the aid of external professional recruitment 
advisors stephen day also became a member of the nomination 
remuneration and audit committees upon his appointment to the 
board
upon appointment all directors executive and nonexecutive receive a 
formal induction programme which includes meeting the other directors 
and key senior executives visiting site locations and attending formal 
presentations on the group and its activities
training for existing directors is provided on an as needed basis and 
includes site visits discussions with senior executives on speciﬁ c aspects 
of the business and board presentations covering such aspects as 
pensions health and safety issues and regulatory changes the board 
regularly assesses the need for directors’ training
in addition the board has established an audit committee a 
remuneration committee and a nomination committee with formally 
delegated duties and responsibilities each of which has written terms of 
reference these terms of reference are available on the website www
raymarinecom or at the agm
the executive operational management team comprising the executive 
directors and other senior managers meets weekly
with the exception of the audit committee of which peter ward is 
not a member but can attend by invitation each board committee is 
composed of all the nonexecutive directors
the audit committee
the audit committee meets formally at least three times per year 
and otherwise as required the audit committee reviews all matters 
relating to ﬁ nancial controls and internal reporting process the 
internal control system the scope and results of external audits the 
independence and objectivity of the external auditors and keeps under 
review the effectiveness of the group’s controls and risk management 
the committee is authorised by the board to seek and obtain any 
information it requires from any ofﬁ cer or employee of the group and 
to obtain external legal or other independent advice as is deemed 
necessary at the invitation of the committee the chairman the chief 
executive ofﬁ cer the finance director other directors representatives 
from the ﬁ nance function and the external auditors may attend and 
speak at the meetings three meetings of the audit committee took 
place during the year ended 31 december 2007
17 raymarine plc annual report 2007  the audit committee is also responsible for evaluating the need for 
an internal audit function the evaluation and assessment is carried 
out considering the size and complexity of the business and other 
circumstances management are currently reviewing informal controls 
in place throughout the group with a view to formalising procedures 
regarding the internal control function especially in light of its recent 
overseas expansion
the committee is also responsible for making recommendations to 
the board in respect of the appointment or reappointment of the 
group’s external auditors and subject to the approval of shareholders 
recommends to the board the audit fee to be paid to the external 
auditors the objectivity and independence of the external auditors is 
considered on a regular basis with particular regard to the level of non 
audit fees
the board has satisﬁ ed itself that at least one member of the audit 
committee has recent and relevant ﬁ nancial experience the audit 
committee is chaired by paul boughton
the remuneration committee
the remuneration committee determines the terms of service 
and remuneration of the chairman executive directors and senior 
management details of the remuneration committee together with 
a statement of the group’s remuneration strategy policy and details 
of directors’ remuneration are set out in the directors’ remuneration 
report on pages 20 to 23 
 
the remuneration committee is chaired by jim webster
the nomination committee
the nomination committee reviews the structure size and composition 
of the board and proposes appointments to and retirement of 
members from the board and other senior positions in addition it 
makes recommendations to the board on these matters as appropriate 
with the objective of maintaining within the group’s organisation 
the right balance of skills knowledge and experience necessary to 
achieve the group’s objectives the committee meets formally at least 
twice a year and otherwise as required detailed job descriptions are 
provided to the committee for all senior roles potential candidates 
must pass a rigorous interview process with the nomination committee 
members and also on occasion with external advisors before a 
formal recommendation is made to the board when appointing 
a nonexecutive director a formal notice is sent clearly stating 
the expectations of the group with respect to time commitments 
committee membership and other duties 
the nomination committee was chaired by nicholas turner until his 
resignation on 1 may 2007 when the role of chairman was taken by 
peter ward
other meetings of nonexecutive directors
in addition to the above committee structure the chairman and other 
nonexecutive directors meet quarterly without the executive directors 
present
going concern
after making enquiries the directors have formed a judgment at the 
time of approving the ﬁ nancial statements that there is a reasonable 
expectation that the company and the group have adequate resources 
to continue in operational existence for the foreseeable future for 
this reason the directors continue to adopt the going concern basis in 
preparing the ﬁ nancial statements
internal controls
1 framework
the board has established procedures to meet the requirements of the 
combined code and its related guidance these procedures which are 
subject to a regular review provide an ongoing process for identifying 
evaluating and managing any signiﬁ cant risks faced by the group 
the internal control framework includes central direction resource 
allocation and risk management of the key activities of research and 
development manufacturing marketing and sales legal human 
resource information systems and ﬁ nancial practice
2 responsibility
the board has accountability for reviewing and approving the adequacy 
and effectiveness of internal controls operated by the group including 
ﬁ nancial operational and compliance controls and risk management 
the responsibility for establishing detailed control and risk management 
procedures within each part of the business and reporting such to the 
board lies with the executive directors 
3 control environment
the board is committed to business integrity high ethical and moral 
values and professionalism in all of the group’s activities managers 
and employees are required to comply with these principles there is a 
deﬁ ned organisational structure with clear lines of responsibility and 
delegated authority which allows the board to plan execute control 
and monitor the business in a manner consistent with the achievement 
of the group’s objectives the daytoday business management is 
delegated to the executive directors and senior managers under the 
direction of the chief executive ofﬁ cer as noted above the board 
retains certain key decisions to itself enabling it to maintain control 
over the key business decisionmaking processes and signiﬁ cant 
transactions in terms of size type or risk
4 monitoring
the group prepares all ﬁ nancial information in compliance with 
generally accepted accounting practice as part of this framework there 
is a comprehensive planning system with an annual budget approved 
by the board the results of the operating units are reported monthly 
and compared to the budget together with commentary on 
raymarine plc annual report 2007 18 key variances to forecast budget and prior year forecasts are prepared 
regularly throughout the year the group has a ﬁ nancial reporting 
manual detailing the key procedures and controls expectations reports 
on internal ﬁ nancial controls including any reports from the external 
auditors are reviewed by the audit committee
5 risk assessment
the board has taken into account the relevant provisions of the 
combined code with respect to risk assessment in formulating the 
systems and procedures in operation within the group the board is 
aware of the need to conduct regular risk assessments to identify any 
deﬁ ciencies in the controls currently operating over all aspects of the 
group’s activities the group conducts formal ongoing risk assessments 
covering all aspects of its business it will also report by exception 
on any material changes once a risk has been identiﬁ ed the board 
assesses the probability of its occurrence and potential impact of that 
risk the board then reviews the effectiveness of or puts in place 
mitigating controls to minimise any impact to the group
6 effectiveness of controls
the board conﬁ rms that they have reviewed the effectiveness of the 
system of internal control which has been in operation throughout 
the year and up to the date of this report in line with the combined 
code and the turnbull guidance the board continues to take steps to 
embed internal control and risk management procedures further into 
the operations of the business and to deal with areas of improvement 
which come to management’s and the board’s attention the system of 
internal controls is designed to manage rather than eliminate the risk 
of not achieving business objectives and can only provide reasonable 
and not absolute assurance against material misstatement or loss
health safety and the environment
the group is committed to the health safety and welfare of its 
employees and recognises that safe operations depend not only on 
technically sound equipment and facilities but also on competent 
people and an active health safety and environmental culture the 
board regularly considers the group’s values and standards in this area
the group seeks to achieve high standards of environmental practice 
the group monitors environmental developments and seeks to 
take appropriate action including committing appropriate levels of 
capital expenditure where required requests for signiﬁ cant capital 
expenditure are submitted to the board for approval and subsequent 
reviews are carried out on a regular basis
the group’s management is accountable for understanding and 
managing health safety and environmental risks and in meeting 
health safety and environmental objectives the director of human 
resources is responsible for coordinating the application of such policy 
and provides a regular update to the chief executive ofﬁ cer should 
anything arise of a signiﬁ cant nature the chief executive ofﬁ cer is 
responsible for advising the board accordingly it has been conﬁ rmed to 
the chief executive ofﬁ cer that all obligatory requirements are in place 
and that risk assessments are uptodate
relations with shareholders
the group recognises the importance of regular communication with 
all of its shareholders the full annual report and financial statements 
and the interim report are issued to shareholders each year and are 
published on the group’s website these reports are intended to provide 
shareholders and other interested parties with a clear and balanced 
understanding of the group’s operational performance prospects and 
its ﬁ nancial results and position
all investors are kept informed of key business activities decisions 
appointments etc via regulatory news press releases and the group’s 
website there is also regular dialogue with institutional shareholders 
throughout the year and general presentations are made by the chief 
executive ofﬁ cer and finance director following the announcement of 
the annual and interim results other directors including nonexecutive 
directors attend meetings with major shareholders if requested and 
such meetings have taken place during the year ended 31 december 
2007 a monthly broker report is circulated to the board and all 
directors are kept updated with analyst notes and relevant press 
coverage
all shareholders have the opportunity to put questions to the directors 
at the company’s agm following a report which is made on the 
highlights of the key business developments during the ﬁ nancial year 
under review the chairmen of each of the remuneration nomination 
and audit committees attend the agm to answer speciﬁ c questions 
from shareholders notice of the agm is circulated to all shareholders 
at least 21 working days prior to the meeting separate resolutions are 
proposed at the agm on each substantially separate issue proxy votes 
are counted on all resolutions and where votes are taken by a show 
of hands the proxy results are subsequently announced to the meeting 
and made available on wwwraymarinecom
19 raymarine plc annual report 2007  directors’ remuneration report
introduction
this report has been prepared in accordance with schedule 7a to the 
companies act 1985 “the act” it outlines the membership of the 
remuneration committee “the committee” and explains the various 
elements of the group’s remuneration policy together with details 
of directors’ remuneration in respect of the year ended 31 december 
2007 in accordance with the act a resolution to approve this report 
will be proposed at the company’s annual general meeting to be held 
on 23 may 2008
the act requires the auditors to report to shareholders on the 
information contained in part of this report and to state whether in 
their opinion that part of the report has been properly prepared in 
accordance with the act this report has therefore been divided into 
separate sections of audited and unaudited information
the board considers that the group has complied throughout the year 
with the requirements of the combined code in relation to directors’ 
remuneration
unaudited information
remuneration committee
the committee comprises solely nonexecutive directors and is 
chaired by jim webster other members of the committee who served 
during the year were peter ward paul boughton nicholas turner and 
stephen day all of the committee members are independent with 
the exception of peter ward who was independent on appointment 
to the committee the board is responsible for implementing the 
recommendations of the committee its terms of reference are available 
on the company’s website or direct from the company secretary in 
accordance with the committee’s terms of reference no director may 
participate in discussions relating to his own terms and conditions of 
remuneration by invitation the chief executive ofﬁ cer the director of 
human resources and external advisors may attend the remuneration 
committee but are not present when matters relating directly to their 
own remuneration are discussed
the committee is responsible for recommending to the board the policy 
for the remuneration of the executive directors and certain other senior 
managers it determines the individual total remuneration packages 
of the executive directors and other senior managers and the fees of 
the chairman it also oversees the design and operation of the group’s 
share incentive arrangements 
new bridge street consultants llp nbsc has provided independent 
external advice throughout the year to assist the committee in 
formulating its recommendations to the board nbsc were appointed 
by the committee and only provide advice to the group in respect of 
senior executives’ remuneration and employee share schemes generally 
the committee met four times during the year ended 31 december 
2007 to consider the employment terms and remuneration of the 
chairman executive directors and senior management
policy
the key policy objective of the committee is to secure motivate and 
retain high calibre executives with the skills and experience necessary 
to direct and manage the affairs of the group the committee aims to 
align its remuneration policies with the group’s medium and long
term strategy via a signiﬁ cant proportion of reward being linked to 
performance and takes account of pay and conditions elsewhere in 
the business when determining executive directors’ remuneration the 
policy can be summarised as follows
• a package of pay and beneﬁ ts commensurate with comparable 
packages by reference to a deﬁ ned group of similar companies
• an annual performance incentive bonus scheme providing rewards 
which reﬂ ect the company’s performance and the contribution of 
individual directors in a particular year
• longterm performance share awards which encourage executives to 
drive longterm shareholder value by allowing them to participate in 
the increased shareholder value delivered and
• a payment of 12 of their base salary towards their pension 
arrangements
the committee keeps the general policy on remuneration described 
above under annual review the committee’s implementation of the 
remuneration policy is described below
the remuneration committee has introduced a formal policy of 
shareholding guidelines which encourages all executive directors to 
build and maintain a shareholding in the company these guidelines 
will be linked to the vesting of future awards granted under the 2005 
performance share plan and any other executive sharebased incentive 
plan that the company may operate from time to time executive 
directors are encouraged to build and maintain a shareholding 
equivalent in value to no less than their base salary in order to ensure 
that progress is made towards this target executive directors are 
requested to retain shares to a value of 50 of the posttax gain 
under all executive share schemes until the threshold is attained the 
committee regularly reviews the operation of this policy
base salary and beneﬁ ts
when setting base salaries consideration is given to the director’s 
experience performance and responsibilities salaries are reviewed 
annually with effect from 1 january the committee aims to pay base 
salaries at no higher than a market median level in comparison to 
companies of a similar size and nature in addition to base salaries 
executive directors receive beneﬁ ts in kind comprising the provision 
of a company car or a car allowance expenses in lieu of relocation if 
applicable and life medical and health insurance
raymarine plc annual report 2007 20 6 dec 2004
value £
raymarine plc
this graph shows the value by 31 december 2007 of £100 invested in raymarine  on 6 december 2004 compared with the value of £100 invested in the 
ftse small company index the other points plotted are the values at intervening financial year ends
ftse small cap index
total shareholder return
source datastream
31 dec 2004
0
50
100
150
200
250
300
350
31 dec 2005
31 dec 2006
31 dec 2007
pensions
the company provided the executive directors with contributions 
towards pension of 12 of basic salary in 2007 in the case of terry 
carlson this was paid into his company pension scheme for tony 
osbaldiston and malcolm miller this was paid as a salary supplement 
through the payroll following a review of the competitiveness of 
pension policy these contributions will rise to 15 of basic salary in 
2008
annual performance incentive bonus
for 2007 the annual bonus potential was up to a maximum of 100 
of an executive’s base salary bonuses are earned primarily on the 
achievement of operating proﬁ t targets 70 of bonus potential 
with the remainder payable on meeting speciﬁ c personal performance 
objectives for 2008 maximum annual bonus potential will remain at 
100 with 70 based upon operating proﬁ t targets and 30 based 
upon personal performance objectives 
longterm incentive plans ltip
shortly before ﬂ otation the company adopted the performance share 
plan psp and the executive share option plan esop no awards 
under the psp or esop were made to executive directors in 2007 
under the psp  executive directors may be granted an award entitling 
them to ﬁ xed numbers of ordinary shares at the end of a threeyear 
period subject to continued employment and performance conditions 
being satisﬁ ed in any year except in exceptional circumstances awards 
will not be granted to an individual with a value of greater than 150 
of their annual salary the company has adopted a phased grant policy 
and whilst no award was made to directors in 2007 in 2008 it is 
expected that awards may be made over shares worth 80 to 100 
of an executive’s salary 110 of salary for the chief executive ofﬁ cer 
awards over lower percentages may be made to less senior executives
awards will be subject to performance conditions determined each 
year by the remuneration committee for the awards to be made 
in 2008 performance will continue to be measured by reference to 
the company’s total shareholder return tsr against the companies 
comprising the ftse small cap index over a threeyear period from 
the start of the ﬁ nancial year in which an award is made there is no 
provision to retest the performance condition a quarter of the award 
vests at median tsr performance with full vesting at upper quartile tsr 
performance 
tsr was selected so as to align the objectives of the directors with 
those of the shareholders 
tsr performance is independently calculated by nbsc and veriﬁ ed by 
the committee
total shareholder return
the graph below shows the total shareholder return for the company 
since the date of listing compared with the ftse small cap index 
the company is a member of the ftse small cap index and the 
constituents of this index are used to determine vesting under the 
psp  therefore the committee considers this is the most appropriate 
benchmark against which the relative performance of the company 
should be measured
since 6 december 2004 raymarine plc shares have outperformed the ftse small cap index by 178
21 raymarine plc annual report 2007  external appointments
where board approval is given for an executive director to accept 
an outside nonexecutive directorship unless the appointment is in 
connection with group business the individual director is entitled to 
retain any fees received two executive directors hold outside non
executive directorships malcolm miller is a nonexecutive director 
at avis europe plc 2007 fee £37500 2006 £37500 and non
executive chairman of radioscape plc 2007 fee £16667 2006 £nil 
and tony osbaldiston is a nonexecutive director at bss group plc 
2007 fee £35000 2006 £30125
nonexecutive directors’ remuneration
the remuneration of nonexecutive directors is determined by the board 
within the limits set out in the company’s articles of association the 
nonexecutive directors do not participate in the bonus scheme long
term incentive arrangements nor do they receive beneﬁ ts in kind or 
compensation on early termination of their appointment in the event 
that notice to terminate their appointment is given by either party there 
is a three month written notice period required
dates of original appointment of nonexecutive directors
peter ward  1 december 2004
paul boughton 1 december 2004
nicholas turner 28 january 2001 resigned 1 may 2007
jim webster 16 january 2006
stephen day 1 november 2007
the terms of appointment of nonexecutive directors are documented 
in letters of appointment between the company and the director their 
term of appointment does not extend beyond the date on which they 
are next subject to reelection by shareholders stephen day will offer 
himself for election as a director of the company at the agm his 
appointment is terminable if not reelected
audited information
the remuneration of the directors of the company is set out in the table 
opposite
each nonexecutive director receives £30000 per annum by way of 
remuneration with an additional £5000 per annum for chairing each 
internal committee
the executive directors’ bonus scheme for the year ended 31 december 
2007 was based on operating performance and achievement subject 
to a minimum level of ﬁ nancial performance of the personal objectives 
set at the beginning of the year under the terms of the 2007 executive 
directors’ bonus scheme the required ﬁ nancial performance thresholds 
were not met and as a consequence no payments will be made for the 
year ended 31 december 2007 
performance related bonuses and beneﬁ ts in kind are not pensionable 
details of the contributions made by the company in respect of 
directors under deﬁ ned contribution schemes are set out opposite
contract date term notice by company notice by director
malcolm miller 6 december 2004 rolling 12 months 6 months
tony osbaldiston 6 december 2004 rolling 12 months 6 months
terry carlson 6 december 2004 rolling 12 months 6 months
service contracts
no executive director has a service contract requiring a notice period from the company of more than one year the policy on early termination is to 
provide compensation which reﬂ ects the company’s contractual obligations in the event that a notice to terminate the service contract is given by 
either party the company may use its sole discretion to pay the executive a sum equal to 120 of his basic salary in lieu of any unexpired period 
of notice this payment relieves the company of any liability for ﬁ xed emoluments in any potential termination package
details of the executive directors’ 
service contracts are
raymarine plc annual report 2007 22 scheme
at 31122006 
number
awards granted 
number
at 311207 
number
crystallising dates of 
awards
name of director
malcolm miller
ltip 2005 194515 – 194515 3508
ltip 2006 93711 – 93711 1409
tony osbaldiston
ltip 2005 136502 – 136502 3508
ltip 2006 65762 – 65762 1409
terry carlson
ltip 2005 105052 – 105052 3508
ltip 2006 54974 – 54974 1409
salary and fees
£’000
beneﬁ ts in kind
1
£’000
performance 
related 
annual bonus
£’000
pension 
contribution
£’000
total for the 
year ended 31 
december 2007 
£’000
total for the 
year ended 31 
december 2006 
£’000
executive
malcolm miller 308 28 – 37 373 645
tony osbaldiston 238 32 – 29 299 492
terry carlson
2
176 17 – 21 215 429
kieran breheny
3
––––– 170
nonexecutive
peter ward 95 – – – 95 88
paul boughton 35 – – – 35 30
stephen day
4
6– – – 6 –
nicholas turner
5
10 – – – 10 30
jim webster 35 – – – 35 29
total 903 77 – 87 1068 1913
notes 
1
  the beneﬁ ts in kind relate to fully expensed car beneﬁ t health and life insurance and expenses in lieu of relocation 
2
  the emoluments for terry carlson were designated and paid in us dollars the ﬁ gures have been converted at the average rate of 
 us199 2006 us181 resigned as director of the company on 1 february 2008
3
  resigned as director of the company on 22 november 2006 
4
  appointed as director of the company on 1 november 2007
5
  resigned as director of the company on 1 may 2007
share options and incentives
the psp entitles executive directors and other employees of the group to be granted awards entitling them to a ﬁ xed number of ordinary shares at 
the end of speciﬁ ed periods subject to conditions relating to total shareholders’ return being satisﬁ ed details of directors’ interests in the schemes 
are as follows
the remuneration of the directors of the company is set out below 
the prices of an ordinary share and the date when the awards were 
made were as follows
ltip 2005 3 may 2005   £215 
ltip 2006 1 april 2006  £345
both awards are subject to the performance conditions for psp awards 
as outlined in the policy section 
the lowest and highest share prices during the year ended 31 
december 2007 were 1995p and 490p the midmarket price of the 
company’s shares were 4715p 1 january 2007 and 29175p 31 
december 2007
jim webster
chairman of remuneration committee
25 february 2008
23 raymarine plc annual report 2007  1923  raytheon launches ﬁ rst depth sounder
1958  raytheon acquires apelco
1974  nautechautohelm is formed
1975  british design award for the ﬁ rst autohelm tiller autopilot
1984  launch of autohelm ‘keyboard micro’ autopilots the ﬁ rst cockpit autopilots in the world to employ digital control systems
1988  british design award for autohelm 4000 cockpitinstalled wheel autopilot
1989  british design award and silk cut nautical award for the seatalk digital communications protocol linking instruments and autopilots
1991  launch of autohelm navcenter ﬁ rst generation electronic chartplotter
1992  integration of gps technology into seatalk navigation instrument and autopilot control systems
1992  dame award for st2000 tiller autopilot
1996  imtec award for apelco l365 entrylevel lcd ﬁ shﬁ nder
  dame award for the st80 instrument system
1997  launch of the pathﬁ nder radar – ﬁ rst leisure marine radar to be designed and built outside japan for 15 years
1999  launch of high speed bus hsb protocol integrating high resolution radar and chartplotters
2000  acquisition of kiwitech and launch of raytech pc software packages
  dame award for rl80c and rl80crc 10” colour radar and radarchartplotter
2001 raymarine acquires raytheon’s recreational marine division in a management buyout backed by hg capital
  launch of advanced steering technology ast inboard autopilot course computers
2002  imtec award for raytech version 4 pc navigation software integrated with onboard navigation systems
2003  nmea ‘best in show’ hdfi – high deﬁ nition fish imaging
2004  dame award for c series multifunction displays
 nmea best in show award 2004 for c series multifunction display
 december 6 – raymarine plc ﬂ oats on the london stock exchange
2005 motor boating magazine best of the year awards for e series high performance multifunction navigation displays and s1000 
autopilot
 nmea best in show award 2005 for e series multifunction display
raymarine begins outsourcing of manufacturing
2006 sail pittman award for cam100 night and day video camera 
 rya powerboating gold award – sponsor of the year
 raymarine completes outsourcing of manufacturing
2007 sail pittman innovation award in electronics category for lifetag
 raymarine asia pty ltd founded
 march – sdm electronique sas acquired
 august – he eissing kg “gmbh  co” acquired
 final stage of the outsourcing project completed
2008 february – deck marine spa acquired
   – navsystems oy acquired
company history
raymarine plc annual report 2007 24 25 raymarine plc annual report 2007 
financial information raymarine plc annual report 2007 26
interest at end of year interest at start of year
name of director
peter ward 50000 40000
malcolm miller 778192 778192
tony osbaldiston 145905 145905
terry carlson 100400 100400
paul boughton 35000 26000
jim webster 10000 5000
stephen day – na
directors’ report
the directors present their annual report on the 
affairs of the group together with the ﬁ nancial 
statements and auditors’ report for the year 
ended 31 december 2007
principal activities
the principal activities of the group comprise 
the manufacture and marketing of navigation 
equipment within the marine market
the subsidiaries principally affecting the proﬁ ts or 
net assets of the group in the year are listed in 
note 45 to the ﬁ nancial statements
business review
a review of the business of the group is set out 
in the chairman’s statement on page 2 the chief 
executive ofﬁ cer’s review on pages 5 to 8 and 
the ﬁ nancial review on pages 8 to 13 a list of 
principal risks and uncertainties is given below 
the ﬁ nancial review also contains the group’s 
policy and objective in respect of the use of 
ﬁ nancial instruments information about the use 
of ﬁ nancial instruments by the company and its 
subsidiaries is given in note 38 to the ﬁ nancial 
statements
details of signiﬁ cant events since the balance 
sheet date are contained in note 36 to the 
ﬁ nancial statements
dividends
the directors recommend a ﬁ nal dividend of 
663p per ordinary share to be paid on 30 may 
2008 to ordinary shareholders on the register 
on 2 may 2008 which together with the interim 
dividend of 337p paid on 28 september 2007 
would make a total of 100p for the year 2006 
875p
capital structure
details of the authorised and issued share 
capital together with details of any movements 
during the year are shown in note 23 the 
company has one class of ordinary shares which 
carry no right to ﬁ xed income  each share carries 
the right to one vote at general meetings of the 
company  
there are no speciﬁ c restrictions on the size of a 
holding nor on the transfer of shares which are 
both governed by the general provisions of the 
articles of association and prevailing legislation 
the directors are not aware of any agreements 
between holders of the company’s shares that 
may result in restrictions on the transfer of 
securities or on voting rights
details of employee share schemes are set out in 
note 33
no person has any special rights of control over 
the company’s share capital and all issued shares 
are fully paid
acquisition of the company’s own 
shares
at the end of the year the directors had authority 
under the shareholders’ resolution of 18 may 2007 
to purchase through the market 8280546 of the 
company’s ordinary shares at prices per share 
ranging between £001 and an amount equal 
to 105 of the average of the middle market 
quotations of the company’s ordinary shares as 
derived from the london stock exchange daily 
ofﬁ cial list for the ﬁ ve business days immediately 
preceding the day on which such share is contracted 
to be purchased exclusive of expenses paid this 
authority expires on 23 may 2008
during the year ended 31 december 2007 
the company made onmarket purchases 
totalling 1900000 of its own ordinary shares 
nominal value £19000 representing 229 
of the issued share capital for an aggregate 
consideration of £5263257 these shares have 
been purchased to satisfy future ltip awards  
during the year the company also transferred 
44613 shares out of treasury  at the end of the 
ﬁ nancial year the company held 1855387 of its 
own shares in treasury 
directors’ interests
the directors who held ofﬁ ce at 31 december 2007 had the following interests 
in the ordinary shares of the company according to the register of directors’ 
interests
these shareholdings are all beneﬁ cial interests and include shares held by directors’ spouses and other connected persons no changes took place in the 
interests of directors between 31 december 2007 and 25 february 2008
the interests of the directors under the longterm incentive scheme of the company are shown in the directors’ remuneration report
the company has made qualifying third party indemnity provisions for the beneﬁ t of its directors which were made during the year and remain in force at 
the date of this report 27 raymarine plc annual report 2007 
directors
the directors who served throughout the year 
except as noted were as follows
peter ward nonexecutive chairman
malcolm miller chief executive ofﬁ cer
terry carlson  resigned 1 february 2008
tony osbaldiston finance director 
paul boughton nonexecutive
nicholas turner nonexecutive resigned 
 1 may 2007 
jim webster nonexecutive
stephen day senior independent non
 executive appointed 
 1 november 2007
company secretary
terri howell resigned 2 july 2007
ian day appointed 2 july 2007
as a new appointment to the board of directors 
stephen day will offer himself for election as 
a director of the company at the agm paul 
boughton who was appointed as a director on 
1 december 2004 will retire at the next annual 
general meeting and will not offer himself for 
reelection
biographical details of all directors can be found 
on pages 14 and 15
supplier payment policy
the company’s policy which is also applied 
by the group is to ﬁ x terms of payment with 
suppliers when agreeing the terms of business 
transactions this is to ensure that the supplier is 
aware of those terms and abides by the agreed 
terms of payment when they have satisfactorily 
provided the goods or services in accordance 
with the terms of contract trade creditors of the 
company at 31 december 2007 were equivalent 
to 27 days’ purchases 2006 18 days based on 
the average daily amount invoiced by suppliers 
during the year
charitable and political contributions
the group made no political contributions during 
the year 2006 £nil charitable donations 
amounted to £959 2006 £2373
substantial shareholdings
on 25 february 2008 the company had been 
notiﬁ ed in accordance with chapter 5 of the 
disclosure and transparency rules of the 
following interests in the ordinary share capital of 
the company
name of holder number 
axa sa 10943863 1343
scottish widows 8130983 998
standard life investments 6251840 768
harris associates lp 4272357 524
aberforth partners llp 4268982 516
legal  general 3504159 430
employees
the group operates regular team brieﬁ ngs on 
the ﬁ nancial performance business activities and 
related matters to ensure good communication 
across the workforce an ‘open door’ policy is 
operated under which any employee may seek 
information from senior management on business 
performance
group policy with regard to disabled people is to 
provide equal employment opportunities by giving 
full and fair consideration to their applications 
for employment and continuing employment 
wherever possible of employees who become 
disabled and providing suitable opportunities for 
their training career development and promotion
the employee share scheme has been running 
successfully since its inception in december 
2004  it is open to all uk employees and allows 
participants the opportunity to buy shares by 
deduction from their pretax salary in addition all 
employees are eligible for an annual bonus related 
to the overall proﬁ tability of the group bonus and 
share scheme arrangements for staff in the new 
subsidiaries acquired during the year ended 31 
december 2007 are currently under review and are 
expected to be brought into line with the group’s 
schemes in due course
principal risks and uncertainties
the board has a proactive approach to risk 
management with the aim of protecting its 
employees and customers and safeguarding the 
interests of the company and its shareholders
the company has speciﬁ c policies in place to 
ensure that risks are properly evaluated and 
managed at the appropriate level within the 
business a risk assessment exercise is carried out 
across the group regularly and the outcome is 
reviewed by the board
outlined below is a summary of the key risks 
and uncertainties affecting the group and those 
activities undertaken to mitigate them
product reliability and safety
raymarine products must be robust and reliable to 
withstand the harsh environments they are used in 
and to aid safety on the water where appropriate 
products are designed with this in mind and we 
have invested considerable engineering resource 
to this end all new product introductions must 
undergo extensive testing both on and off the 
water before they are launched to meet our 
rigorous standards
product development
the group focuses considerable resources on 
research and development in the belief that sales 
growth is quite signiﬁ cantly dependent on new 
product introduction the process of product 
development is often lengthy and has to pass 
through a number of milestones before products 
reach the group’s “approval to ship” status at 
various milestones senior executives review the 
product’s anticipated market acceptance return on 
capital employed and expected margin the board 
recognises the importance and risks and receives 
a monthly report on project management and key 
tasks to reach completion
 
suppliers
the future revenues of the group could be 
adversely affected by an interruption of supply 
from our electronics manufacturing service ems 
outsourcing partner for a protracted length of time  
this risk has been mitigated with the inventory 
held in the distribution channel and the extensive 
business continuity plan in place with our ems 
partner this includes utilising spare capacity at 
multiple sites around the world
the group is reliant on the continuance of supply 
from sole source component suppliers  there could 
be a risk to revenue if a sole source supplier was 
not able to supply components for a protracted 
length of time this risk is mitigated by sourcing a 
second supplier for key components wherever this 
is possible
technology and systems
the group is reliant on certain technologies and 
systems the business process is aligned with these 
systems and any potential failure could have an 
impact on business operations to mitigate these 
risks we have a disaster recovery plan in place 
with various backup procedures and third party 
support  during 2008 the group will implement a 
new enterprise resource planning system and this 
will further reduce this risk raymarine plc annual report 2007 28
statement of directors’ responsibilities
the directors are responsible for preparing the 
annual report directors’ remuneration report 
and the ﬁ nancial statements in accordance with 
applicable law and regulations
company law requires the directors to prepare 
ﬁ nancial statements for each ﬁ nancial year the 
directors are required by the ias regulation to 
prepare the group ﬁ nancial statements under 
international financial reporting standards 
ifrss as adopted by the european union 
and have also elected to prepare the parent 
company ﬁ nancial statements in accordance 
with ifrss as adopted by the european union 
the ﬁ nancial statements are also required by 
law to be properly prepared in accordance with 
the companies act 1985 and article 4 of the ias 
regulation  
international accounting standard 1 requires 
that ﬁ nancial statements present fairly for each 
ﬁ nancial year the company’s ﬁ nancial position 
ﬁ nancial performance and cash ﬂ ows  this 
requires the faithful representation of the effects 
of transactions other events and conditions in 
accordance with the deﬁ nitions and recognition 
criteria for assets liabilities income and expenses 
set out in the international accounting standards 
board’s ‘framework for the preparation and 
presentation of ﬁ nancial statements’  in virtually 
all circumstances a fair presentation will be 
achieved by compliance with all applicable ifrss  
however directors are also required to
�  properly select and apply accounting policies
�  present information including accounting 
policies in a manner that provides relevant 
reliable comparable and understandable 
information and 
�  provide additional disclosures when 
compliance with the speciﬁ c requirements 
in ifrss are insufﬁ cient to enable users 
to understand the impact of particular 
transactions other events and conditions on 
the entity’s ﬁ nancial position and ﬁ nancial 
performance
the directors are responsible for keeping proper 
accounting records that disclose with reasonable 
accuracy at any time the ﬁ nancial position of the 
company and enable them to ensure that the 
ﬁ nancial 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
the directors are responsible for the maintenance 
and integrity of the corporate and ﬁ nancial 
information included on the group’s website 
legislation in the united kingdom governing 
the preparation and dissemination of ﬁ nancial 
statements may differ from legislation in other 
jurisdictions
directors’ report continued
people retention and motivation
to develop support and market its products the 
group must employ and retain highly skilled and 
motivated employees with particular expertise 
the group’s strategic plans could be undermined 
by failure to recruit or retain key personnel this 
risk has been mitigated by the implementation 
of a management development programme 
appraisal process succession planning appropriate 
remuneration packages and a rigorous recruitment 
process
annual general meeting
the agm will be held in the little ship club bell 
wharf lane upper thames street london ec4r 
3tb on friday 23 may 2008 at 11am notice of 
meeting is contained in a separate letter from the 
chairman accompanying this report
auditors
in the case of each person who is a director of 
the company at the date when this report is 
approved 
�  so far as each of the directors is aware there 
is no relevant audit information of which the 
company’s auditors are unaware and 
�  each of the directors has taken all the steps 
that they ought to have taken as a director to 
make themselves aware of any relevant audit 
information as deﬁ ned and to establish that 
the company’s auditors are aware of that 
information
this conﬁ rmation is given and should be 
interpreted in accordance with the provisions of 
section 234za of the companies act 1985
deloitte  touche llp have expressed their 
willingness to continue in ofﬁ ce as auditors of 
the company and their reappointment will be 
put to members at the annual general meeting
raymarine plc    
robinson way
anchorage park
portsmouth 
hampshire     
po3 5td
by order of the board
malcolm miller
chief executive ofﬁ cer
25 february 2008 29 raymarine plc annual report 2007 
independent auditors’ report to the members of raymarine plc
we have audited the group ﬁ nancial statements 
of raymarine plc for the year ended 31 december 
2007 which comprise the consolidated income 
statement the consolidated statement 
of recognised income and expense the 
consolidated balance sheet the consolidated 
cash flow statement and the related notes 1 to 
38 these group ﬁ nancial statements have been 
prepared under the accounting policies set out 
therein we have also audited the information 
in the directors’ remuneration report that is 
described as having been audited
we have reported separately on the parent 
company ﬁ nancial statements of raymarine plc 
for the year ended 31 december 2007
this 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 auditors’ 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’ responsibilities for preparing the 
annual report the directors’ remuneration 
report and the group ﬁ nancial statements in 
accordance with applicable law and international 
financial reporting standards ifrss as adopted 
by the european union are set out in the 
statement of directors’ responsibilities
our responsibility is to audit the group ﬁ nancial 
statements in accordance with relevant legal 
and regulatory requirements and international 
standards on auditing uk and ireland
we report to you our opinion as to whether the 
group ﬁ nancial statements give a true and fair 
view whether the group ﬁ nancial statements 
have been properly prepared in accordance 
with the companies act 1985 and article 4 of 
the ias regulation and whether the part of the 
directors’ remuneration report described as 
having been audited has been properly prepared 
in accordance with the companies act 1985 
we also report to you whether in our opinion 
the information given in the directors’ report is 
consistent with the group ﬁ nancial statements 
the information given in the directors’ report 
includes that speciﬁ c information presented in 
the financial review that is cross referred from 
the business review section of the directors’ 
report
in addition we report to you if in our opinion 
we have not received all the information and 
explanations we require for our audit or if 
information speciﬁ ed by law regarding directors’ 
remuneration and other transactions is not 
disclosed
we review whether the corporate governance 
statement reﬂ ects the company’s compliance 
with the nine provisions of the 2006 combined 
code speciﬁ ed for our review by the listing rules 
of the financial services authority 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 as described in the contents 
section and consider whether it is consistent 
with the audited group ﬁ nancial statements 
we consider the implications for our report if we 
become aware of any apparent misstatements or 
material inconsistencies with the group ﬁ nancial 
statements our responsibilities do not extend 
to any further information outside the annual 
report
basis of audit opinion
we conducted our audit in accordance with 
international standards on auditing uk and 
ireland issued by the auditing practices board 
an audit includes examination on a test basis 
of evidence relevant to the amounts and 
disclosures in the group ﬁ nancial statements and 
the part of the directors’ remuneration report 
to be audited it also includes an assessment 
of the signiﬁ cant estimates and judgements 
made by the directors in the preparation of the 
group ﬁ nancial 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 sufﬁ cient evidence to give 
reasonable assurance that the group ﬁ nancial 
statements and the part of the directors’ 
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 
group ﬁ nancial statements and the part of the 
directors’ remuneration report to be audited
opinion
in our opinion
�  the group ﬁ nancial statements give a true 
and fair view in accordance with ifrss as 
adopted by the european union of the state 
of the group’s affairs as at 31 december 
2007 and of its proﬁ t for the year then ended
�  the group ﬁ nancial statements have been 
properly prepared in accordance with the 
companies act 1985 and article 4 of the ias 
regulation 
�  the part of the directors’ remuneration 
report described as having been audited has 
been properly prepared in accordance with 
the companies act 1985 and 
�  the information given in the directors’ 
report is consistent with the group ﬁ nancial 
statements
deloitte  touche llp
chartered accountants and registered auditors 
southampton united kingdom
25 february 2008 raymarine plc annual report 2007 30
note
before 
restructuring 
costs
£’000
restructuring
costs
£’000
year ended 
31 december 
2007
£’000
year ended 
31 december 
2006
£’000
revenue 3
cost of sales
gross proﬁ t
distribution costs
administrative expenses
– research and development 6
– other administrative expenses
– amortisation of patents and knowhow 13
restructuring costs 5
other operating income – foreign exchange gains 245
other operating expenses – foreign exchange losses 281
operating proﬁ t 26 29588
finance income 38
finance costs 9
proﬁ t before tax
tax charge 10
proﬁ t for the year attributable to 
shareholders of the company
28
earnings per share pence
basic 12
diluted 12
consolidated income statement
year ended 31 december 2007
all results relate to continuing activities
140690
77364
63326
12352
8869
11501
980
21350
–
–
–
–
–
–
–
–
–
2507
–
–
2507
140690
77364
63326
12352
8869
11501
980
21350
2507
245
281
27081
434
4104
23411
5867
17544
213p
210p
136490
80258
56232
10998
8329
12730
725
21784
7823
474
5
16096
529
2534
14091
3754
10337
125p
122p 31 raymarine plc annual report 2007 
note
2007
£’000
2006
£’000
gains on cash ﬂ ow hedges 27 – 18
exchange losses  gains on translation of foreign currency operations 27
tax on items taken directly to equity
net expense  income recognised directly in equity
transfers
transfer of the initial carrying amount of hedged items on cash ﬂ ow hedges 27
related deferred tax on transfer to the initial carrying amount of hedged items on cash ﬂ ow hedges 27
transferred to proﬁ t and loss on cash ﬂ ow hedges 27
related deferred tax on items transferred from equity 27
vested awards under the longterm incentive plan ltip 26
other adjustments
proﬁ t for the period 17544
total recognised income for the year attributable to shareholders of the parent 29 16543
consolidated statement of recognised income and expense
year ended 31 december 2007
–
443
–
443
935
281
91
27
7
25
18
446
6
458
–
–
399
120
152
–
10337
10364 raymarine plc annual report 2007 32
note
2007
£’000
2006
£’000
noncurrent assets
intangible ﬁ xed assets 13 58648 44876
property plant and equipment 14 9708 7809
deferred tax assets 20 554 320
68910 53005
current assets
inventories 15 23524 16849
trade and other receivables 16 24431 21674
cash and cash equivalents 9095 2068
57050 40591
current liabilities
bank overdraft 18 4049 7035
trade and other payables 17 17880 15640
tax liabilities 2038 2522
obligations under ﬁ nance leases 18 21 150 291
derivative ﬁ nancial instruments 19 390 –
shortterm provisions 22 5031 4273
29538 29761
net current assets 27512 10830
noncurrent liabilities
trade and other payables 17 – 220
bank loans 18 64789 38156
derivative ﬁ nancial instruments 19 432 –
deferred tax liabilities 20 2457 786
obligations under ﬁ nance leases 18 21 71 218
longterm provisions 22 2066 1836
69815 41216
net assets 26607 22619
equity
share capital 23 828 828
share premium account 24 3305 3255
own shares 25 5263 –
equity reserve 26 1200 859
hedging and translation reserves 27 652 381
retained earnings 28 27189 17296
equity attributable to shareholders of the parent 29 26607 22619
consolidated balance sheet
at 31 december 2007
the ﬁ nancial statements were approved by the board of directors and authorised for issue on 25 february 2008  they were signed on its behalf by
tony osbaldiston 
finance director 33 raymarine plc annual report 2007 
note
2007
£’000
2006
£’000
net cash from operating activities 31 22000 10408
investing activities
proceeds on disposal of property plant and equipment 130 656
purchases of property plant and equipment 4986 4245
expenditure on product development 9891 7858
acquisition of subsidiaries 9966 –
net cash used in investing activities 24713 11447
financing activities
dividends paid 7683 6458
net proceeds from issue of ordinary share capital 50 48
purchase of treasury shares 25 5263 –
proceeds from borrowings 25763 3000
repayments of borrowings – 2000
repayments of obligations under ﬁ nance leases 284 399
net cash fromused in ﬁ nancing activities 12583 5809
net increasedecrease in cash and cash equivalents 9870 6848
cash cash equivalents and bank overdrafts at beginning of year 4967 2042
effect of foreign exchange rate changes 143 161
cash cash equivalents and bank overdrafts at end of year 5046 4967
net debt
1
59964 43632
1
net debt is calculated as cash less bank loans and obligations under ﬁ nance leases it does not include ﬁ nancial assets or ﬁ nancial liabilities
consolidated cash flow statement
year ended 31 december 2007 raymarine plc annual report 2007 34
notes to the financial statements
year ended 31 december 2007
1 general information
raymarine plc is a company incorporated in the 
united kingdom under the companies act 1985 
the address of the registered ofﬁ ce is given on page 
100 the nature of the group’s operations and its 
principal activities are set out in note 4 and in the 
directors’ report on pages 26 to 28
these ﬁ nancial statements are presented in pounds 
sterling because that is the currency of the primary 
economic environment in which the group operates 
foreign operations are included in accordance with 
the policies set out in note 2
in the current year  the group has adopted ifrs 7 
financial instruments disclosures which is effective 
for annual reporting periods beginning on or after 1 
january 2007 and the related amendment to ias 1 
presentation of financial statements the impact of the 
adoption of ifrs 7 and the changes to ias 1 has 
been to expand the disclosures provided in these 
ﬁ nancial statements regarding the group’s ﬁ nancial 
instruments and management of capital see note 
38 four interpretations issued by the international 
financial reporting interpretations committee are 
effective for the current period these are ifric 7 
applying the restatement approach under ias 29 
financial reporting in hyperinﬂ ationary economies 
ifric 8 scope of ifrs 2 ifric 9 reassessment of 
embedded derivatives and ifric 10 interim financial 
reporting and impairment the adoption of these 
interpretations has not led to any changes in the 
group’s accounting policies
at the date of authorisation of these ﬁ nancial 
statements the following standards and 
interpretations which have not been applied in 
these ﬁ nancial statements were in issue but not yet 
effective
�  ifrs 8 operating segments
�  ias 23 revised borrowing costs 
�  ifric 11 ifrs 2 – group and treasury share 
transactions
�  ifric 12 service concession arrangements
�  ifric 13 customer loyalty programmes 
�  ifric 14 ias 19 – the limit on a deﬁ ned 
beneﬁ t asset minimum funding requirements 
and their interaction
the directors anticipate that the adoption of these 
standards and interpretations in future periods will 
have no material impact on the ﬁ nancial statements 
of the group except for any additional segment 
disclosures when ifrs 8 comes into effect for 
periods commencing on or after 1 january 2009
the eu directive on waste electrical and electronic 
equipment “weee” requires the group to 
assume responsibility for proper disposal of such 
equipment sold after 13 august 2005 when it has 
become waste 
the cost of verifying compliance of source 
components which are used in the group’s products 
has been charged to the income statement as 
incurred in particular where new sources have been 
switched to new low cost suppliers as part of the 
outsourcing project  
in the uk the dti is responsible for transposing 
the weee directive into uk law working in 
partnership with the devolved administrations  
this legislation has not had a material impact on 
our business due the nature of our current product 
portfolio  
2 signiﬁ cant accounting policies 
basis of accounting
the ﬁ nancial statements have been prepared in 
accordance with international financial reporting 
standards ifrss the ﬁ nancial statements have 
also been prepared in accordance with ifrss 
adopted by the european union and therefore the 
group ﬁ nancial statements comply with article 4 of 
the eu ias regulation
the ﬁ nancial statements have been prepared on 
the historical cost basis except for the revaluation 
of ﬁ nancial instruments the principal accounting 
policies adopted are set out below
basis of consolidation
the consolidated ﬁ nancial statements incorporate 
the ﬁ nancial statements of the company and 
entities controlled by the company its subsidiaries 
made up to 31 december each year  control is 
achieved where the company has the power to 
govern the ﬁ nancial and operating policies of an 
investee entity so as to obtain beneﬁ ts from its 
activities
on acquisition the assets liabilities and contingent 
liabilities of a subsidiary are measured at their fair 
values at the date of acquisition any excess of 
the cost of acquisition over the fair values of the 
identiﬁ able net assets acquired is recognised as 
goodwill any deﬁ ciency of the cost of acquisition 
below the fair values of the identiﬁ able net assets 
acquired ie discount on acquisition is credited to 
proﬁ t and loss in the period of acquisition
where necessary adjustments are made to the 
ﬁ nancial statements of subsidiaries to bring the 
accounting policies used into line with those used 
by the group
all intragroup transactions balances income and 
expenses are eliminated on consolidation
goodwill
goodwill arising on consolidation represents the 
excess of the cost of acquisition over the group’s 
interest in the fair value of the identiﬁ able assets 
and liabilities of a subsidiary associate or jointly 
controlled entity at the date of acquisition
goodwill is recognised as an asset and reviewed 
for impairment at least annually any impairment 
is recognised immediately in proﬁ t or loss and 
is not subsequently reversed goodwill arising 
on acquisitions before the date of transition to 
ifrss has been retained at the previous uk gaap 
amounts subject to being tested for impairment at 
that date
on disposal of a subsidiary associate or jointly 
controlled entity the attributable amount of 
goodwill is included in the determination of the 
proﬁ t or loss on disposal
revenue recognition
revenue is measured at the fair value of the 
consideration received or receivable and represents 
amounts receivable for goods and services provided 
in the normal course of business net of discounts 
vat and other salesrelated taxes
sales of goods are recognised when goods are 
delivered and title has passed
other income
interest income is accrued on a time basis by 
reference to the principal outstanding and at the 
effective interest rate applicable which is the rate 
that exactly discounts estimated future cash receipts 
through the expected life of the ﬁ nancial asset to 
that asset’s net carrying amount
dividend income from investments is recognised 
when the shareholders’ rights to receive payment 
have been established 35 raymarine plc annual report 2007 
all other sundry income including royalty income is 
recognised in the period to which it relates
leasing
leases are classiﬁ ed as ﬁ nance leases whenever 
the terms of the lease transfer substantially all 
the risks and rewards of ownership to the lessee 
all other leases are classiﬁ ed as operating leases  
assets held under ﬁ nance leases are recognised as 
assets of the group at their fair value or  if lower  at 
the present value of the minimum lease payments 
each determined at the inception of the lease the 
corresponding liability to the lessor is included in the 
balance sheet as a ﬁ nance lease obligation lease 
payments are apportioned between ﬁ nance charges 
and reduction of the lease obligation so as to 
achieve a constant rate of interest on the remaining 
balance of the liability 
finance charges are charged directly against 
income unless they are directly attributable to 
qualifying assets in which case they are capitalised 
in accordance with the group’s general policy on 
borrowing costs see below
rentals payable under operating leases are charged 
to income on a straightline basis over the term of 
the relevant lease  beneﬁ ts received and receivable 
as an incentive to enter into an operating lease are 
also spread on a straightline basis over the lease 
term
foreign currencies
transactions in functional currencies are recorded 
at the rates of exchange prevailing on the dates 
of the transactions  at each balance sheet date 
monetary assets and liabilities that are denominated 
in foreign currencies are retranslated at the rates 
prevailing on the balance sheet date nonmonetary 
assets and liabilities carried at fair value that are 
denominated in foreign currencies are translated 
at the rates prevailing at the date when the fair 
value was determined gains and losses arising on 
retranslation are included in net proﬁ t or loss for 
the period except for exchange differences arising 
on nonmonetary assets and liabilities where the 
changes in fair value are recognised directly in 
equity
in order to hedge its exposure to certain foreign 
exchange risks the group enters into forward 
contracts see below for details of the group’s 
accounting policies in respect of such derivative 
ﬁ nancial instruments 
on consolidation the assets and liabilities of the 
group’s overseas operations are translated at 
exchange rates prevailing on the balance sheet 
date income and expense items are translated at 
the average exchange rates for the period unless 
exchange rates ﬂ uctuate signiﬁ cantly exchange 
differences arising if any are classiﬁ ed as equity 
and transferred to the group’s translation reserve 
per note 27
operating proﬁ t
operating proﬁ t comprises proﬁ t from operations 
and is stated after charging restructuring costs but 
before ﬁ nance income and ﬁ nance costs
retirement beneﬁ t costs 
payments to deﬁ ned contribution retirement beneﬁ t 
schemes are charged as an expense as they fall 
due payments made to statemanaged retirement 
beneﬁ t schemes are dealt with as payments to 
deﬁ ned contribution schemes where the group’s 
obligations under the schemes are equivalent to 
those arising in a deﬁ ned contribution retirement 
beneﬁ t scheme
taxation
the tax expense represents the sum of the tax 
currently payable and deferred tax
the tax currently payable is based on taxable 
proﬁ t for the year  taxable proﬁ t differs from 
net proﬁ t as reported in the income statement 
because it excludes items of income or expense 
that are taxable or deductible in other years and 
it further excludes items that are never taxable or 
deductible the group’s liability for current tax is 
calculated using tax rates that have been enacted or 
substantively enacted by the balance sheet date
deferred tax is the tax expected to be payable or 
recoverable on differences between the carrying 
amounts of assets and liabilities in the ﬁ nancial 
statements and the corresponding tax bases used in 
the computation of taxable proﬁ t and is accounted 
for using the balance sheet liability method 
deferred tax liabilities are generally recognised 
for all taxable temporary differences and deferred 
tax assets are recognised to the extent that it is 
probable that taxable proﬁ ts will be available 
against which deductible temporary differences 
can be utilised such assets and liabilities are not 
recognised if the temporary difference arises from 
goodwill or from the initial recognition other than 
in a business combination of other assets and 
liabilities in a transaction that affects neither the tax 
proﬁ t nor the accounting proﬁ t
deferred tax liabilities are recognised for taxable 
temporary differences arising on investments in 
subsidiaries except where the group is able to 
control the reversal of the temporary difference and 
it is probable that the temporary difference will not 
reverse in the foreseeable future
the carrying amount of deferred tax assets is 
reviewed at each balance sheet date and reduced 
to the extent that it is no longer probable that 
sufﬁ cient taxable proﬁ ts will be available to allow all 
or part of the asset to be recovered
deferred tax is calculated at the tax rates that are 
expected to apply in the period when the liability 
is settled or the asset is realised deferred tax is 
charged or credited in the income statement except 
when it relates to items charged or credited directly 
to equity in which case the deferred tax is also dealt 
with in equity
deferred tax assets and liabilities are offset when 
there is a legally enforceable right to set off current 
tax assets against current tax liabilities and when 
they relate to income taxes levied by the same 
taxation authority and the group intends to settle 
its current tax assets and liabilities on a net basis
property plant and equipment
fixtures and equipment are stated at cost less 
accumulated depreciation and any recognised 
impairment loss
depreciation is charged so as to write off the cost or 
valuation of assets other than land and properties 
under construction over their estimated useful lives 
using the straightline method on the following 
basis
leasehold land and buildings life of the lease
plant and machinery 7 years
furniture ﬁ xtures and ﬁ ttings 7 years
tools and equipment 4 years
nonrecurring engineering 4 years
boats 10 years
computer equipment  software 3 years
technology licences 45 years
assets held under ﬁ nance leases are depreciated 
over their expected useful lives on the same basis as 
owned assets or  where shorter  over the term of the 
relevant lease
the gain or loss arising on the disposal or retirement 
of an asset is determined as the difference between 
the sales proceeds and the carrying amount of the 
asset and is recognised in income raymarine plc annual report 2007 36
assets in the course of construction represents 
costs directly associated with the development by 
the group of new test equipment and a new erp 
system enterprise resource planning software 
these assets are not depreciated until they are 
brought into use
internallygenerated intangible assets – 
research and development expenditure
expenditure on research activities is recognised as 
an expense in the period in which it is incurred
development expenditure where it meets certain 
criteria given below is capitalised and amortised 
on a straightline basis over its useful life which 
is estimated to be three years  asset lives are 
subject to regular review and an impairment 
exercise is carried out at least once a year   where 
no internallygenerated intangible asset can be 
recognised development expenditure is expensed 
in the period in which it is incurred an asset is 
recognised only if all of the following conditions 
are met
� the product is technically feasible and 
marketable
� the group has adequate resources to complete 
the development of the product
� the development cost of the asset can be 
measured reliably and 
� it is probable that the asset created will generate 
future economic beneﬁ ts
patents and trademarks
patents and trademarks are measured initially at 
purchase cost and are amortised on a straightline 
basis over their estimated useful lives which is 
determined to be ten years 
impairment of tangible and intangible 
assets excluding goodwill
at each balance sheet date the group reviews the 
carrying amounts of its tangible and intangible 
assets to determine whether there is any indication 
that those assets have suffered an impairment loss 
if any such indication exists the recoverable amount 
of the asset is estimated in order to determine 
the extent of the impairment loss if any where 
the asset does not generate cash ﬂ ows that are 
independent from other assets the group estimates 
the recoverable amount of the cashgenerating unit 
to which the asset belongs an intangible asset with 
an indeﬁ nite useful life is tested for impairment 
annually and whenever there is an indication that 
the asset may be impaired
recoverable amount is the higher of fair value less 
costs to sell and value in use in assessing value in 
use the estimated future cash ﬂ ows are discounted 
to their present value using a pretax discount rate 
that reﬂ ects current market assessments of the time 
value of money and the risks speciﬁ c to the asset for 
which the estimates of future cash ﬂ ows have not 
been adjusted
if the recoverable amount of an asset or cash
generating unit is estimated to be less than its 
carrying amount the carrying amount of the asset 
cashgenerating unit is reduced to its recoverable 
amount an impairment loss is recognised as an 
expense immediately unless the relevant asset is 
carried at a revalued amount in which case the 
impairment loss is treated as a revaluation decrease
where an impairment loss subsequently reverses 
the carrying amount of the asset cashgenerating 
unit is increased to the revised estimate of its 
recoverable amount but so that the increased 
carrying amount does not exceed the carrying 
amount that would have been determined had 
no impairment loss been recognised for the asset 
cashgenerating unit in prior years a reversal 
of an impairment loss is recognised as income 
immediately unless the relevant asset is carried 
at a revalued amount in which case the reversal 
of the impairment loss is treated as a revaluation   
increase
inventories
inventories are stated at the lower of cost and net 
realisable value cost comprises direct materials 
and where applicable direct labour costs and those 
overheads that have been incurred in bringing the 
inventories to their present location and condition 
cost is calculated using the ﬁ rst in ﬁ rst out fifo 
basis net realisable value represents the estimated 
selling price less all estimated costs of completion 
and costs to be incurred in marketing selling and 
distribution
financial instruments
financial assets and ﬁ nancial liabilities are 
recognised on the group’s balance sheet when the 
group becomes a party to the contractual provisions 
of the instrument
cash and cash equivalents
cash and cash equivalents comprise cash on hand 
and demand deposits 
trade receivables
trade receivables do not carry any interest and 
are stated at their nominal value as reduced by 
appropriate allowances for estimated irrecoverable 
amounts 
derecognition of ﬁ nancial assets
the group derecognises a ﬁ nancial asset only when 
the contractual rights to the cash ﬂ ows from the 
asset expire or it transfers the ﬁ nancial asset and 
substantially all the risks and rewards of ownership 
of the asset to another entity if the group neither 
transfers nor retains substantially all the risks and 
rewards of ownership and continues to control the 
transferred asset the group recognises its retained 
interest in the asset and an associated liability for 
amounts it may have to pay if the group retains 
substantially all the risks and rewards of ownership 
of a transferred ﬁ nancial asset the group continues 
to recognise the ﬁ nancial asset and also recognises 
a collateralised borrowing for the proceeds received
financial liabilities and equity
financial liabilities and equity instruments are 
classiﬁ ed according to the substance of the 
contractual arrangements entered into an equity 
instrument is any contract that evidences a residual 
interest in the assets of the group after deducting 
all of its liabilities
bank borrowings
interestbearing bank loans and overdrafts are 
recorded at the proceeds received net of direct 
issue costs finance charges including premiums 
payable on settlement or redemption and direct 
issue costs are accounted for on an accruals basis 
to the proﬁ t and loss account using effective interest 
method and are added to the carrying amount 
of the instrument to the extent that they are not 
settled in the period in which they arise
trade payables
trade payables are not interestbearing and are 
stated at their nominal value
derecognition of ﬁ nancial liabilities
the group derecognises ﬁ nancial liabilities when 
and only when the group’s obligations are 
discharged cancelled or they expire 
derivative ﬁ nancial instruments and 
hedge accounting
the group’s activities expose it primarily to the 
ﬁ nancial risks of changes in foreign currency 
exchange rates and interest rates the group uses 
foreign exchange forward contracts to hedge these 
foreign exchange exposures the group does not 
use derivative ﬁ nancial instruments for speculative 
purposes
the use of ﬁ nancial derivatives is governed by 
the group’s policies approved by the board of 
directors which provide written principles on the 
use of ﬁ nancial derivatives  the purpose for which 
a derivative is used is identiﬁ ed at inception to 
qualify for hedge accounting the contract must be 
in accordance with established guidelines which 
require that the hedging relationship is documented 
ensure it is highly effective in achieving its objective 
and require that its effectiveness can be reliably 
measured throughout its durationterm
changes in the fair value of derivative ﬁ nancial 
instruments that are designated and effective as 
hedges of future cash ﬂ ows are recognised directly 
in equity and the ineffective portion is recognised  37 raymarine plc annual report 2007 
immediately in the income statement if the cash 
ﬂ ow hedge of a ﬁ rm commitment or forecasted 
transaction results in the recognition of an asset or 
a liability then at the time the asset or liability is 
recognised the associated gains or losses on the 
derivative that had previously been recognised in 
equity are included in the initial measurement of 
the asset or liability for hedges that do not result 
in the recognition of an asset or a liability amounts 
deferred in equity are recognised in the income 
statement in the same period in which the hedged 
item affects net proﬁ t or loss
for an effective hedge of an exposure to changes 
in the fair value the hedged item is adjusted for 
changes in fair value attributable to the risk being 
hedged with the corresponding entry in proﬁ t 
or loss  gains or losses from remeasuring the 
derivative or for nonderivatives the foreign currency 
component of its carrying amount are recognised in 
proﬁ t or loss
changes in the fair value of derivative ﬁ nancial 
instruments that do not qualify for hedge 
accounting are recognised in the income statement 
as they arise 
hedge accounting is discontinued when the 
hedging instrument expires or is sold terminated 
or exercised or no longer qualiﬁ es for hedge 
accounting at that time any cumulative gain or loss 
on the hedging instrument recognised in equity is 
retained in equity until the forecasted transaction 
occurs if a hedged transaction is no longer expected 
to occur  the net cumulative gain or loss recognised 
in equity is transferred to net proﬁ t or loss for the 
period
hedges of net investments in foreign 
operations
hedges of net investments in foreign operations are 
accounted for similarly to cash ﬂ ow hedges  any 
gain or loss on the hedging instrument relating to 
the effective portion of the hedge is recognised in 
equity in the foreign currency translation reserve 
the gain or loss relating to the ineffective portion 
is recognised immediately in proﬁ t or loss and is 
included in the ‘other gains and losses’ line of the 
income statement
gains and losses deferred in the foreign currency 
translation reserve are recognised in proﬁ t and loss 
on disposal of the foreign operation
provisions
provisions for warranty costs are recognised at 
the date of sale of the relevant products at the 
directors’ best estimate of the expenditure required 
to settle the group’s liability  provisions for 
restructuring costs are recognised when the group 
has a detailed formal plan for the restructuring that 
has been communicated to affected parties
sharebased payments
the group has applied the requirements of ifrs 
2 sharebased payments in accordance with the 
transitional provisions ifrs 2 has been applied to 
all grants of equity instruments after 7 november 
2002 that were unvested as of 1 january 2005
the group issues equitysettled sharebased 
payments to certain employees equitysettled share
based payments are measured at fair value at the 
date of grant the fair value determined at the grant 
date of the equitysettled sharebased payments is 
expensed on a straightline basis over the vesting 
period based on the group’s estimate of shares that 
will eventually vest  fair value is measured by use 
of a stochastic model the expected life used in the 
model has been adjusted based on management’s 
best estimate for the effects of nontransferability 
exercise restrictions and behavioural considerations
restructuring costs
costs are treated as restructuring costs when 
they are associated with normal activities are of 
a nonrecurring nature and are of an exceptional 
magnitude that if they were not shown separately 
the accounts would not present a true and fair 
view this includes costs incurred in relation to the 
outsourcing of all uk manufactured raymarine 
products
critical accounting judgements and key 
sources of estimation uncertainty
in the process of applying the group’s accounting 
policies which are described above management 
has made the following judgements and estimations 
about the future that have the most signiﬁ cant 
effect on the amounts recognised in the ﬁ nancial 
statements  we regularly review these estimates 
and update them when required
       
warranty reserve
determination of the warranty provision is based 
on historical failure rates warranty return periods 
and the estimated cost of the repairs  the latter is 
a function of the warranty given up to three years 
from the point of sale to the end customer  and the 
period products are within the distribution channel  
       
capitalisation of development costs
capitalisation of development expenditure is a 
requirement of ias 38  all capitalised and ongoing 
projects are reviewed regularly to ensure they meet 
the criteria for capitalisation
revenue assumptions are made for new products 
based on our market knowledge historical sales and 
competition for projects to be authorised they must 
achieve a high internal rate of return  research and 
development expenditure is incurred up front and 
capitalised before any revenue has been earned 
from them actual revenue will vary from the 
original estimates however due to the high internal 
rates of return assumed any risk of impairment is 
considered to be minimal  
development expenditure is amortised over three 
years our best estimate of the useful life of the 
projects the period over which the assets will 
generate revenue  
goodwill
the carrying value of goodwill at the year end is 
£376m 2006 £302m an annual impairment 
review is required under ifrs 3 ‘business 
combinations’ involving judgement of the future 
cash ﬂ ows for cashgenerating units management 
prepare such cash ﬂ ow forecasts derived from the 
most recent budgets approved by the board for 
the next three years further details of the other 
assumptions used are given above
taxation
in arriving at our tax obligations we make 
judgements on appropriate tax law within the 
relevant tax jurisdictions that we have a taxable 
presence  we seek professional tax advice as 
appropriate before making judgements on tax 
matters  deferred tax liabilities are generally 
recognised for all taxable temporary differences and 
deferred tax assets are recognised to the extent that 
it is probable that taxable proﬁ ts will be available 
against which deductible temporary differences can 
be utilised  the carrying value of deferred tax assets 
is reviewed at each balance sheet date and reduced 
to the extent that it is no longer probable that 
sufﬁ cient taxable proﬁ ts will be available to allow all 
or part of the asset to be recovered
in arriving at the tax charge for the period a 
judgement has been made on the appropriate level 
of expenditure which will qualify for the research 
and development tax credits a prudent view has 
been taken at this stage on the level of qualifying 
spend due to the uncertainty over the ﬁ nal quantum 
of the claim which is currently near completion the 
accounts currently include a tax beneﬁ t of £250k 
per annum between the years 2005 and 2007 
inclusive
fair value of derivatives and other 
ﬁ nancial instruments
as described in note 38 the directors use their 
judgement in selecting an appropriate valuation 
technique for derivative ﬁ nancial instruments 
assumptions are made based on quoted market 
rates adjusted for speciﬁ c features of the instrument raymarine plc annual report 2007 38
row 
2007
£’000
row
2006
£’000
americas
2007
£’000
americas
2006
£’000
total
2007
£’000
total
2006
£’000
revenue
total sales 117278 115590 61107 69727
intersegment sales 37237 48618 458 209
sales to third parties 80041 66972 60649 69518 140690 136490
2007
£’000
2006
£’000
sale of goods 140462 136119
royalty income 228 371
140690 136490
interest revenue 434 529
141124 137019
4 business and geographical segments
geographical segments
for management purposes the group currently has two geographical areas of operation – row united kingdom europe middle east africa and asia
paciﬁ c and the americas the geographical areas are the basis on which the group reports its primary segment information which is presented below
3 revenue
an analysis of the group’s revenue is as follows
 intersegment sales are charged at prevailing market rates 39 raymarine plc annual report 2007 
row
2007
£’000
row
2006
£’000
americas
2007
£’000
americas
2006
£’000
elim
2007
£’000
elim
2006
£’000
total
2007
£’000
total
2006
£’000
operating proﬁ t before 
restructuring costs
31041 24741 1899 2191 3352 3013 29588 23919
   restructuring and nonrecurring costs 2507 7823
operating proﬁ t 27081 16096
 investment income 434 529
 finance costs 4104 2534
proﬁ t before tax 23411 14091
 tax 5867 3754
proﬁ t after tax 17544 10337
row
2007
£’000
row
2006
£’000
americas
2007
£’000
americas
2006
£’000
elim
2007
£’000
elim
2006
£’000
total
2007
£’000
total
2006
£’000
other information
capital additions 25521 11872 448 460 – – 25969 12332
depreciation and amortisation 6989 6875 380 313 – – 7369 7188
impairment losses  reversals recognised 
in income
244 1061 – – – – 244 1061
balance sheet
assets
segment assets 108470 77629 25854 28967 8918 13320 125406 93276
unallocated assets 
1
554 320
total consolidated assets 125960 93596
liabilities
segment liabilities 26047 26454 10500 13384 7521 10834 29026 29004
unallocated liabilities 
2
70327 41973
total consolidated liabilities 99353 70977
business segments
the group’s revenue is derived from one class of business that of marine electronics it is not possible to disaggregate the products beyond the core 
marine electronics products as they all operate through the same markets and are considered to have the same risks and rewards associated with them
1
 unallocated assets includes taxation assets
2
 unallocated liabilities includes bank borrowings ﬁ nance lease liabilities derivative ﬁ nancial liabilities and taxation liabilities
4 business and geographical segments continued
geographical segments continued raymarine plc annual report 2007 40
2007
£’000
2006
£’000
net foreign exchange gains 495 24
research and development costs
   research and development costs expensed 5259 4779
   amortisation of capitalised development costs 3413 3391
   impairment of capitalised development costs 197 159
warranty costs for the year 4357 3718
warranty provision increase  release 1171 1177
amortisation of other intangible assets 980 725
depreciation and other amounts written off property plant and equipment
   owned 2697 2671
   leased 279 401
impairment charge of property plant and equipment 47 427
loss  proﬁ t on disposal of ﬁ xed assets 39 334
rentals payable under operating leases
   property 1110 1384
   hire of other assets 229 290
staff costs note 7 23346 25598
abortive acquisition costs – 355
cost of inventories recognised as an expense 54657 58580
amounts written off inventories 6 39
impairment loss recognised on trade receivables 87 177
auditors’ remuneration for audit services see opposite 206 154
2007
£’000
2006
£’000
redundancy costs 393 530
property costs 655 40
consultancy and other staff related costs 151 4057
loss   proﬁ t on disposal of ﬁ xed assets 14 711
transfer costs 969 3636
weee  costs 325 351
2507 7823
in july 2005 the group agreed to outsource the majority of its manufacturing function to flextronics a provider of electronics manufacturing services 
under the agreement flextronics provides vertically integrated manufacturing services to the group initially through its facility in western hungary to the 
extent that workers can not be redeployed termination terms have been agreed and the related costs together with the expected costs of exiting properties 
which will become vacant as part of the restructuring and costs of transferring stocks and assets to hungary have been included in the restructuring 
provision note 22  the balance of the charge comprises incremental costs incurred in the period which are associated with the project the tax effect of 
the restructuring costs in 2007 was a credit of £856000 2006 £2316000 as explained further in note 10  following the conclusion in 2006 of the 
initial transfer phase of the outsourcing project 2007 represented the ﬁ rst full year for flextronics hungary as raymarine’s primary manufacturer of ﬁ nished 
product the second phase of the outsourcing project the transfer of the supply of materials and components to flextronics suppliers was also concluded 
successfully during 2007 in line with expectations
5 administrative expenses – restructuring costs
6 operating proﬁ t
operating proﬁ t before restructuring costs is stated after charging or crediting 41 raymarine plc annual report 2007 
2007
£’000
2006
£’000
fees payable to the company’s auditors for the audit of the company’s annual accounts 12 9
fees payable to the company’s auditors and their associates for other services to the group
   the audit of the company’s subsidiaries pursuant to legislation 156 113
   other assurance work 38 32
total audit fees 206 154
other services pursuant to legislation
   tax services related to
      compliance 84 114
      general advisory 102 104
      restructuring 70 125
   corporate ﬁ nance services – 25
total nonaudit fees 256 368
a description of the work of the audit committee is set out in the corporate governance statement on page 16 and includes an explaination of how 
auditor objectivity and independence is safeguarded when nonaudit services are provided by the auditors
6 operating proﬁ t continued
the analysis of auditors’ remuneration is as follows raymarine plc annual report 2007 42
2007
number
2006
number
production and supply chain 78 201
research and development 182 131
technical support 121 84
sales and marketing 104 65
administration 80 58
565 539
2007
£’000
2006
£’000
their aggregate remuneration comprised
wages and salaries 14062 15747
redundancy 1461 604
social security costs 540 1913
other pension costs note 34 475 364
16538 18628
leased employees see below 6808 6970
23346 25598
2007
£’000
2006
£’000
interest receivable 434 139
foreign exchange gains – 390
434 529
7 staff costs
the average monthly number of employees including executive directors was
the average number of persons employed by the group includes 133 2006 133 at raymarine inc which leased its employees from adp totalsource 
pension contributions included above in the raymarine inc – payroll costs were £364000 2006 £393000
the ﬁ gures above include a charge for redundancy provision of £393000 2006 £530000 as detailed in note 5
8 finance income 43 raymarine plc annual report 2007 
2007
£’000
2006
£’000
current tax
uk corporation tax
   current year 4042 3390
   adjustment recognised in period for current tax of prior periods 259 37
foreign tax
   current year 662 20
   adjustment recognised in period for current tax of prior periods 189 –
current tax charge for year 4634 3447
deferred tax note 20
   current year 2022 875
   adjustment recognised in period for deferred tax of prior periods 789 568
1233 307
total tax charge 5867 3754
2007
£’000
2006
£’000
interest payable on bank loans 4006 2505
interest payable on ﬁ nance leases 22 29
total borrowing costs 4028 2534
foreign exchange losses 76 –
4104 2534
9 finance costs
10 tax charge
the adjusted effective rate after adjusting proﬁ t before tax for restructuring costs of £25m 2006 £78m and amortisation of other intangible ﬁ xed 
assets of £10m 2006 £07m is calculated at 251 2006 268 for the year the charge for the year has been reduced by £09m 2006 £23m 
for a tax credit in respect of restructuring costs
taxation for other jurisdictions is calculated at the rates prevailing in the respective jurisdictions
on 22 november 2004 raymarine inc a 100 subsidiary of raymarine plc was migrated to be resident in the united states under uk tax rules 
there is a deemed disposal of the company’s assets for uk tax purposes on the date of emigration from the uk which gives rise to a heldover 
chargeable gain the gain would crystallise if raymarine inc were to sell its chargeable asset goodwill before 22 november 2010 or cease to be a 
75 subsidiary of the group at any time  the estimated tax charge that would arise is £44m in accordance with ias 12 no provision has been made 
for this raymarine plc annual report 2007 44
  2007 2006
£’000  £’000 
proﬁ t before tax 23411 14091
tax at the uk corporation tax rate of 30 2006 30 7023 4227
tax effect of expenses that are not deductible in determining taxable proﬁ t 216 269
prior year adjustments 859 531
tax effect of utilisation of tax losses not previously recognised 469 235
effect of different tax rates of subsidiaries operating in other jurisdictions 153 24
deferred tax rate difference 177 –
withholding tax 20 –
tax charge and effective tax rate for the year 5867 251 3754 266
2007
£’000
2006
£’000
amounts recognised as distributions to equity holders in the period
final dividend paid in the year ended 31 december 2005 of 5p per share – 4140
interim dividend paid for the year ended 31 december 2006 of 28p per share – 2318
final dividend paid in the year for the year ended 31 december 2006 of 595p per share 4927 –
interim dividend paid in the year for the year ended 31 december 2007 of 337p per share 2756 –
7683 6458
proposed ﬁ nal dividend for the year ended 31 december 2007 of 663p 2006 595p per share 5491 4927
2007 2006
basic eps 213p 125p
diluted eps 210p 122p
10 tax charge continued
the charge for the year can be reconciled to the proﬁ t per the income statement as follows
11 dividends
the proposed ﬁ nal dividend is subject to approval by shareholders at the annual general meeting and accordingly has not been included as a liability in 
these ﬁ nancial statements
12 earnings per share
eps pence 45 raymarine plc annual report 2007 
2007
£’000
2006
£’000
earnings
earnings for the purposes of basic earnings per share being net proﬁ t attributable to equity shareholders of the parent 17544 10337
add     exceptional restructuring costs note 5 net of tax 1651 5507
             amortisation of other intangible assets note 13 980 725
earnings for the purposes of adjusted earnings per share 20175 16569
2007
number
2006
number
number of shares
weighted average number of ordinary shares for the purposes of basic earnings per share 82196739 82802408
effect of dilutive potential ordinary shares
   share options 18691 64950
   directors bonus shares 37303 –
   longterm incentive plan 1313487 1527851
weighted average number of ordinary shares for the purposes of diluted earnings per share 83566220 84395209
2007 2006
basic eps 245p 200p
diluted eps 241p 196p
adjusted eps pence
the calculation of the basic and diluted earnings per share is based on the following data raymarine plc annual report 2007 46
goodwill
£’000
development 
expenditure
£’000
other
£’000
total
£’000
cost
at 1 january 2006 31174 11323 7254 49751
exchange differences 1007 – – 1007
additions – 7858 – 7858
at 1 january 2007 30167 19181 7254 56602
exchange differences 72 – 8 64
additions – 9891 – 9891
acquisitions note 30 7440 – 1097 8537
at 31 december 2007 37535 29072 8359 74966
amortisation
at 1 january 2006 3885 3566 7451
charge for the year 3391 725 4116
at 1 january 2007 – 7276 4291 11567
exchange differences – – 2 2
charge for the year – 3413 980 4393
at 31 december 2007 – 10689 5273 15962
impairment
at 1 january 2006 ––––
charge for the year – 159 – 159
at 1 january 2007 – 159 – 159
charge for the year – 197 – 197
at 31 december 2007 – 356 – 356
net book value
at 31 december 2007 37535 18027 3086 58648
at 31 december 2006 30167 11746 2963 44876
13 intangible ﬁ xed assets
other intangible ﬁ xed assets comprise intellectual property patents and licences and customer relationships arising on acquisitions 47 raymarine plc annual report 2007 
short 
leasehold land 
and buildings
£’000
plant and 
machinery
£’000
fittings 
ﬁ xtures tools 
and equipment
£’000
assets in the 
course of 
construction
£’000
total
£’000
cost
at 1 january 2006
exchange differences
additions
disposals and writeoffs
transfers
at 1 january 2007
exchange differences
additions
acquisitions
disposals and writeoffs
transfers
at 31 december 2007
accumulated depreciation
at 1 january 2006
exchange differences
charge for the period
disposals and writeoffs
at 1 january 2007
exchange differences
charge for the period
acquisitions
disposals and writeoffs
at 31 december 2007
impairment
at 1 january 2006
charge for the period
at 1 january 2007
charge  credit for the period
disposals and writeoffs
at 31 december 2007
net book value
at 31 december 2007
at 31 december 2006
the carrying amount of the group’s ﬁ xtures ﬁ ttings tools and equipment included £221000 2006 £509000 
in respect of assets held under ﬁ nance leases
14 property plant and equipment
1418
28
305
14
–
1681
2
312
116
53
–
2058
625
8
269
12
874
5
343
89
41
1270
–
85
85
124
–
209
579
722
6786
–
280
4179
–
2887
5
78
12
979
–
2003
4318
–
457
2928
1847
1
285
14
780
1367
–
252
252
92
71
89
547
788
18657
271
2886
4589
68
16751
29
2062
978
1124
208
18904
13128
186
2346
4091
11197
23
2348
898
1088
13378
–
90
90
15
–
105
5421
5464
26861
299
4374
8782
–
22154
36
4986
1106
2156
–
26126
18071
194
          3072
7031
13918
29
2976
1001
1909
16015
–
427
427
47
71
403
9708
7809
–
–
903
–
68
835
–
2534
–
–
208
3161
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
3161
835 raymarine plc annual report 2007 48
2007
£’000
2006
£’000
raw materials and consumables 273 1430
workinprogress 97 148
finished goods and goods for resale 23154 15271
23524 16849
2007
£’000
2006
£’000
trade receivables i 21555 19305
allowance for doubtful debts ii 399 271
21156 19034
other debtors 800 1027
prepayments and accrued income 2475 1613
24431 21674
15 inventories
16 other ﬁ nancial assets
trade and other receivables
i  the average credit period taken on sales of goods in the uk europe middle east africa and asiapaciﬁ c row is 64 days 2006 58 days in the 
americas the credit period is 41 days 2006 31 days  management review overdue balances on a case by case basis to determine if interest should be 
charged from the date of the invoice until payment is received on those receivables that are past due amounts receivable for sale of goods of £399k 
2006 £271k were fully impaired and mainly relate to customers experiencing difﬁ cult economic situations the directors consider that the carrying 
amount of trade and other receivables approximates to their fair value
ii included in the group’s trade receivables balance are debtors with a carrying amount of £3681k 2006 £2599k which are 1 to 30 days overdue and 
£479k 2006 £240k which are over 30 days past due at the reporting date for which the group has not provided as there has not been a signiﬁ cant 
change in the credit quality and the group believes that these amounts are still recoverable the group does not hold any collateral over these balances
the group does not experience signiﬁ cant bad debt writeoffs 2007 £38k 2006 £27k and no movement schedule for the allowance for doubtful debts 
has been provided due to its immaterial level 18 of trade receivables 2006 14
in determining the recoverability of trade receivables the group considers any change in the credit quality of the trade receivable from the date the credit 
was initially granted up to the reporting date the concentration of credit risk is limited due to the customer base being large and unrelated with only a few 
exceptions accordingly the directors believe that there is no further credit provision required in excess of the allowance for doubtful debts and that the 
carrying amount of trade and other receivables approximates to their fair value
cash and cash equivalents
cash and cash equivalents comprise cash held by the group and shortterm bank deposits with an original maturity of three months or less the carrying 
amount of these assets approximates to their fair value
credit risk
the group’s principal ﬁ nancial assets are bank balances cash trade and other receivables which represent the group’s maximum exposure to credit risk 
in relation to ﬁ nancial assets the group’s credit risk is primarily attributable to its trade receivables the amounts presented in the balance sheet are net 
of allowances for doubtful receivables estimated by the group’s management based on prior experience the circumstances of speciﬁ c customers and their 
assessment of the current economic environment
the credit risk on liquid funds and derivative ﬁ nancial instruments is limited because the counterparties are banks with high creditratings assigned by 
international creditrating agencies  
the group has no signiﬁ cant concentration of credit risk with exposure spread over a large number of counterparties and customers with only a few 
exceptions
inventory of workinprogress and raw material has been sold to the outsourcing partner as part of the outsourcing plan final inventories of workin
progress and raw materials will be transferred by the end of 2008 49 raymarine plc annual report 2007 
2007
£’000
2006
£’000
unsecured – at amortised cost
current
bank overdrafts 4049 7035
noncurrent
bank loans 64789 38156
secured  at amortised cost
current
finance lease liabilities i 150 291
non–current
finance lease liabilities i 71 218
69059 45700
the borrowings are repayable as follows
on demand or within one year 4199 7326
in the second to ﬁ fth years inclusive 64860 38374
69059 45700
2007
£’000
2006
£’000
current liabilities
trade payables 12744 8156
accruals and deferred income 5136 7484
17880 15640
noncurrent liabilities
trade payables – 220
17880 15860
18 borrowings
17 trade and other payables
trade creditors comprise amounts outstanding for trade purchases and ongoing costs the average credit period taken for trade purchases in the united 
kingdom europe middle east africa and asiapaciﬁ c row is 32 days 2006 32 days in the americas the credit period is 30 days 2006 30 days no 
interest is charged on trade payables
the group has ﬁ nancial risk management policies in place to ensure that all payables are paid within the credit timeframe
the directors consider that the carrying amount of trade and other payables approximates to their fair value
i secured by the assets leased raymarine plc annual report 2007 50
2007
£’000
2006
£’000
forward foreign exchange contracts 37785 –
2007

2006

the weighted average interest rates paid were as follows
bank overdrafts 59 63
bank loans 61 55
2007
£’000
2006
£’000
bank overdrafts 4049 7035
bank loans 65006 38388
69055 45423
sterling
£’000
us dollars
£’000
eur
£’000
aud
£’000
total
£’000
analysis of borrowings by currency
31 december 2007
bank overdrafts – 1302 2747 – 4049
bank loans 27964 20069 11029 5727 64789
27964 21371 13776 5727 68838
31 december 2006
bank overdrafts 2988 4047 – – 7035
bank loans 18969 19187 – – 38156
21957 23234 – – 45191
19 derivative ﬁ nancial instruments
currency derivatives
the group utilises currency derivatives to hedge signiﬁ cant future transactions and cash ﬂ ows there were 25 foreign currency forward contracts in place at 
31 december 2007 2006 nil 
the total notional amount of outstanding forward foreign exchange contracts that the group has committed to at the end of each year is shown below
bank loans of £650m 2006 £384m relate to a facility under a 185m 2006 135m syndicated revolving credit arrangement set up on 6 december 
2004 and amended on 18 october 2007  the loan carried a charge of 50 basis points over dollar and sterling libor 2006 50 basis points at 31 
december 2007
the directors estimate the fair value of the group’s borrowings as follows
bank overdrafts are repayable on demand the average effective interest rate on bank overdrafts approximates 59 2006 63 per annum and is 
determined based on 1 per cent plus prime rate
at 31 december 2007 the group had available £325m 2006 £255m of undrawn committed borrowing facilities in respect of which all conditions 
precedent had been met
18 borrowings continued
the directors consider that the carrying amount of the bank loans and overdraft approximates their fair value 51 raymarine plc annual report 2007 
2007
£’000
2006
£’000
derivatives
derivatives that are designated and effective as hedging instruments carried at fair value
current
foreign currency forward contracts 390 –
derivatives that are designated and effective as hedging instruments carried at fair value
noncurrent
foreign currency forward contracts 432 –
total 822 –
following the acquisition of two european distributorships and one based in australia the group now has a signiﬁ cant net inﬂ ow in euros and to a lesser 
extent in australian dollars these are also expected to continue into 2008 again the group covers these exposures well in advance through forward foreign 
exchange contracts 
the arrangements are designed to address signiﬁ cant exchange exposures covering the period until the fourth quarter of 2010 the foreign exchange 
exposure of the group is monitored on an ongoing basis and the requirement for future derivative ﬁ nancial instruments is kept under review 
at 31 december 2007 the fair value of the group’s currency derivatives is a liability of £822k 2006 £nil the 2007 amounts are based on quoted market 
values of equivalent instruments at the balance sheet date the fair value of currency derivatives that were designated and effective as cash ﬂ ow hedges 
amounting to a liability of £08m in 2007 were deferred in equity
for further details of foreign currency forward contracts see note 38 included in other operating income is a £01m loss 2006 £04m gain which has been 
transferred from reserves in respect of foreign currency forward contracts that have matured during the period
hedge of net investment in foreign entity
the group has us dollar denominated borrowings which it has designated as a hedge of the net investment in its subsidiary in the us the fair value of 
the dollar borrowings hedging the net investment as at 31 december 2007 was £109m 2006 £31m foreign exchange losses of £02m 2006 gains of 
£03m on translation of the borrowings into pounds sterling have been recognised in the statement of recognised income and expense
the group has euro denominated borrowings which it has designated as a hedge of the net investment in its subsidiaries in france and germany the fair 
value of the euro borrowings hedging the net investment as at 31 december 2007 was £101m 2006 £nil foreign exchange losses of £08m 2006 £nil 
on translation of the borrowings into pounds sterling have been recognised in the statement of recognised income and expense
the group has australian dollar denominated borrowings which it has designated as a hedge of the net investment in its subsidiary in australia the fair 
value of the australian dollar borrowings hedging the net investment as at 31 december 2007 was £13m 2006 £nil foreign exchange gains of £nil 
2006 £nil on translation of the borrowings into pounds sterling have been recognised in the statement of recognised income and expense raymarine plc annual report 2007 52
minimum lease payments present value of lease payments
2007
£’000
2006
£’000
2007
£’000
2006
£’000
amounts payable under ﬁ nance leases
within one year 164 313 150 291
in the second to ﬁ fth years inclusive 81 242 71 218
245 555 221 509
less future ﬁ nance charges 24 46 na na
present value of lease obligations 221 509
less
amount due for settlement within 12 months shown under current liabilities 150 291
amount due for settlement after 12 months 71 218
2007
£’000
2006
£’000
deferred tax liabilities 2457 786
deferred tax assets 554 320
1903 466
2007
£’000
2006
£’000
accelerated 
tax 
depreciation
£’000
deferred 
development 
costs 
£’000
revaluation 
of ﬁ nancial 
assets 
£’000
share 
based 
payment
£’000
tax 
losses
£’000
other
£’000
total
£’000
at 1 january 2006 913 2227 – – – 872 442
charge  credit to income 321 1293 – 246 – 1061 307
charge to equity – – – 232 – 114 346
exchange differences 38 – – – – 101 63
at 1 january 2007 630 3520 – 478 – 1946 466
charge  credit to income note 10 348 1787 – 121 71 533 1410
charge  credit to equity – – – 178 – 254 76
acquisition of subsidiaries – – 225 – – 39 264
exchange differences 9 – 2 – – 9 16
effect of change in tax rate income statement note 10 54 239 – – – 8 177
at 31 december 2007 219 5068 223 421 71 2677 1903
21 obligations under ﬁ nance leases
leases are classiﬁ ed as ﬁ nance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessee the 
average lease term weighted by asset cost is 14 months 2006 42 months
the effective interest rate weighted by asset cost is 26 2006 29
the group has ﬁ nance leases denominated in pounds sterling euros and us dollars the fair value of the group’s lease obligations approximates their 
carrying amount the group’s obligations under ﬁ nance leases are secured by the lessors’ charges over the leased assets
certain deferred tax assets and liabilities have been offset the following is the analysis of the deferred tax 
balances after offset for ﬁ nancial reporting purposes
20 deferred tax
the following are the major deferred tax liabilities 
and assets recognised by the group and movements 
thereon during the current and prior reporting period
at the balance sheet date the group has unused tax losses of £73m 2006 £88m available for offset against future proﬁ ts a deferred tax asset has been 
recognised in respect of £02m 2006 £nil of such losses no deferred tax asset has been recognised in respect of the remaining £71m 2006 £88m due 
to the unpredictability of future proﬁ t streams and uncertainty over the level of eligible losses due to ongoing hm revenue and customs enquiries included 
in unrecognised tax losses are losses of £28m 2006 £32m that will expire in 2023 other losses may be carried forward indeﬁ nitely 53 raymarine plc annual report 2007 
warranty 
provision
£’000
restructuring 
provision
£’000
other
£’000
total
£’000
at 1 january 2007 4504 1605 – 6109
exchange difference 6 – 2 8
acquisitions 305 – 25 330
additional provision in the year 5509 586 – 6095
writeback in the year – 56 – 56
utilisation of provision 4353 1036 – 5389
at 31 december 2007 5971 1099 27 7097
included in current liabilities 5031
included in noncurrent liabilities 2066
7097
2007
£’000
2006
£’000
authorised
equity 1000000000 2006 1000000000 ordinary shares of £001 each 10000 10000
issued and fully paid
equity 82818130 2006 82803530 ordinary shares of £001 each 828 828
number £’000
at the beginning of the year 82803530 828
allotment of shares to share incentive plan 14600 –
balance at 31 december 2007 82818130 828
22 provisions
the warranty provision reﬂ ects the best estimate of future claims under product warranties which are given to the end user for up to three years from date 
of sale
the restructuring provision relates to the implementation of outsourcing manufacturing to flextronics in hungary which began in 2005 the remaining 
balance reﬂ ects anticipated property costs associated with cessation of manufacturing at our anchorage park facility
23 share capital
changes in the issued share capital during the year were as follows
the company has one class of ordinary shares which carries no right to ﬁ xed income raymarine plc annual report 2007 54
£’000
balance at 1 january 2006 3207
premium arising on issue of equity shares 48
balance at 1 january 2007 3255
premium arising on issue of equity shares 50
balance at 31 december 2007 3305
£’000
balance at 1 january 2007 155
vested awards under the ltip 152
awards under the ltip 313
share option plan 7
deferred tax on the above items 232
balance at 1 january 2007 859
vested awards under the ltip 7
awards under the ltip 562
share option plan 36
deferred tax on the above items 178
balance at 31 december 2007 1200
24 share premium account
26 equity reserve
during the year the group entered into further ltip’s for three new members of staff  these plans are all being accounted for as equity settled schemes 
and operate over three years with any award being linked to performance related targets which reﬂ ect the group’s performance during the period  the 
maximum award under the schemes is shown in note 33 a credit to the income statement of £17000 2006 charge of £270000 arises in the year in 
respect of national insurance contributions
£’000
balance at 31 december 2006 and 1 january 2007 –
acquired in the period 5263
balance at 31 december 2007 5263
25 own shares
own shares represents shares in raymarine plc purchased in the market during the year ended december 2007 the company made onmarket purchases 
totalling 1900000 of its own ordinary shares nominal value £19000 representing 229 of the issued share capital for an aggregate consideration of 
£5263257 these shares have been purchased to satisfy future ltip awards  during the year the company also transferred 44613 shares out of treasury 
at the end of the ﬁ nancial year the company held 1855387 of its own shares in treasury  55 raymarine plc annual report 2007 
£’000
balance at 1 january 2006 13569
net proﬁ t for the year 10337
dividends paid note 11 6458
vested awards under the ltip 152
balance at 1 january 2007 17296
net proﬁ t for the year 17544
dividends paid note 11 7683
vested awards under the ltip 7
other 25
balance at 31 december 2007 27189
hedging 
reserve
£’000
translation 
reserve
£’000
total
£’000
balance at 1 january 2006 267 65 202
exchange differences on translation of overseas operations – 446 446
transfer to income on cash ﬂ ow hedges 399 – 399
foreign exchange gains on hedging derivatives maturing during the year 18 – 18
related deferred tax on above items 114 – 114
balance at 1 january 2007 – 381 381
exchange differences on translation of foreign currency operations – 443 443
transfer of the initial carrying amount of hedged items on cash ﬂ ow hedges 935 – 935
transfer to income on cash ﬂ ow hedges 91 – 91
related deferred tax on above items 254 – 254
balance at 31 december 2007 590 62 652
28 retained earnings
27 hedging and translation reserves
the hedging reserve reﬂ ects the fair value of the unrealised exchange gains and losses on unmatured foreign exchange contracts at the year end the 
cumulative currency translation adjustment for the group is held in the translation reserve and both reserves are considered to be undistributable raymarine plc annual report 2007 56
2007
£’000
2006
£’000
total recognised income for the year 16543 10364
dividends paid 7683 6458
purchase of treasury shares 5263 –
increase in equity reserve 341 704
increase in share capital and premium 50 48
3988 4658
shareholders’ equity brought forward 22619 17961
shareholders’ equity carried forward 26607 22619
acquiree’s 
carrying 
amount before 
combination
£’000
fair value 
adjustments
£’000
fair value
£’000
net assets acquired
intangible assets – 806 806
property plant and equipment 30 – 30
financial assets –2222
inventories 566 132 434
trade and other receivables 4779 – 4779
cash and cash equivalents 716 – 716
trade and other payables 3815 79 3894
current tax asset 53 – 53
deferred tax liabilities – 197 197
provisions for liabilities 241 26 267
2088 394 2482
goodwill arising on acquisition 5015
total consideration 7497
consideration
cash 7089
directly attributable costs 408
7497
29 consolidated statement of changes in equity
30 acquisitions
i  on 31 march 2007 the group acquired 100 per cent of the issued share capital of 
sdm electronique sas “sdm” for cash consideration of £7089000 the principle 
business activity of sdm is the distribution of marine electronics this transaction 
has been accounted for using the acquisition method of accounting the net assets 
acquired in the transaction and the goodwill arising are as follows
i valuation of customer relationships asset
ii write down for slow moving and obsolete stock
iii provision for dilapidations on buildings
the goodwill arising on the acquisition of sdm is attributable to the anticipated proﬁ tability of the distribution of the group’s products in the french market 
and the anticipated future operating synergies from the combination
the proﬁ t before tax contributed by sdm in the period between the date of acquisition and the balance sheet date was £14m
it is difﬁ cult to determine what the additional turnover and proﬁ t before tax to the group would have been had this company been acquired on 1 january 
2007 due to the fact that these acquisitions are vertical and the extent of intercompany transactions which would have to be eliminated are unknown
i
ii
iii 57 raymarine plc annual report 2007 
acquiree’s 
carrying 
amount before 
combination
£’000
fair value 
adjustments
£’000
fair value
£’000
net assets acquired
intangible assets – 200 200
property plant and equipment 75 – 75
inventories 1264 285 979
trade and other receivables 690 6 684
cash and cash equivalents 525 – 525
trade and other payables 1299 62 1361
current tax asset 121 68 53
provisions for liabilities 14 34 48
bank loans 287 – 287
833 119 714
goodwill arising on acquisition 1547
total consideration 2261
consideration
cash 1776
directly attributable costs 485
2261
30 aquisitions continued
ii  on 17 august 2007 the group acquired 100 per cent of the issued share capital 
of he eissing kg gmbh  co “eissing” for cash consideration of £1776000 
the principle business activity of eissing is the distribution of marine electronics this 
transaction has been accounted for using the acquisition method of accounting the 
net assets acquired in the transaction and the goodwill arising are as follows
i valuation of customer relationships asset
ii write down for slow moving and obsolete stock
the goodwill arising on the acquisition of eissing is attributable to the anticipated proﬁ tability of the distribution of the group’s products in the german 
market and the anticipated future operating synergies from the combination
the proﬁ t before tax contributed by eissing in the period between the date of acquisition and the balance sheet date was £02m
it is difﬁ cult to determine what the additional turnover and proﬁ t before tax to the group would have been had this company been acquired on 1 january 
2007 due to the fact that these acquisitions are vertical and the extent of intercompany transactions which would have to be eliminated are unknown
i
ii raymarine plc annual report 2007 58
acquiree’s 
carrying 
amount before 
combination
£’000
fair value 
adjustments
£’000
fair value
£’000
net assets acquired
intangible assets –91 91
inventories 236 – 236
deferred tax liabilities – 28 28
provisions for liabilities – 15 15
236 48 284
goodwill arising on acquisition 878
total consideration 1162
consideration
cash 789
directly attributable costs 373
1162
30 aquisitions continued
iii on 23 january 2007 the group acquired assets from oceantalk australia pty for 
cash consideration of £789000 the principle business activity of oceantalk was the 
distribution of marine electronics this transaction has been accounted for using the 
acquisition method of accounting the assets acquired in the transaction and the 
goodwill arising are as follows
i valuation of customer relationships asset
the goodwill arising on the acquisition of these assets is attributable to the anticipated proﬁ tability of the distribution of the group’s products in the 
australian and asian markets and the anticipated future operating synergies from the combination
the loss before tax contributed by these acquired assets in the period between the date of acquisition and the balance sheet date was £03m
the group proﬁ t for the period would not have been materially different from that which has been reported had the assets been acquired at 1 january 
2007
i 59 raymarine plc annual report 2007 
2007
£’000
2006
£’000
operating proﬁ t 27081 16096
adjustments for
   foreign exchange 48 823
   depreciation of property plant and equipment 2976 3072
   impairment charge  reversal on ﬁ xtures and equipment 47 93
   amortisation and impairment of intangible assets 4590 4275
   loss  proﬁ t on disposal of property plant and equipment 39 334
   increase   decrease in provisions 471 3179
   equity settled share based transactions 527 –
operating cash ﬂ ows before movements in working capital 35779 20660
   increase  decrease in inventories 4875 802
   increase in receivables 923 5958
   increase in payables 347 209
cash generated by operations 30328 15713
interest received 432 138
interest paid 3604 2434
foreign exchange 76 392
tax paid 5080 3401
net cash from operating activities 22000 10408
reconciliation of net debt reconciliation of net debt
1 january
2007 
£’000
foreign 
exchange 
£’000
cash ﬂ ow
£’000
noncash
£’000
31 december 
2007
£’000
cash in hand and at bank 2068 145 6882 – 9095
overdrafts 7035 2 2988 – 4049
4967 143 9870 – 5046
debt due after 1 year 38156 856 25689 88 64789
finance leases 509 4 284 – 221
net debt 43632 709 15535 88 59964
31 notes to the cash ﬂ ow statement
additions to ﬁ xtures and equipment during the year amounting to £nil 2006 £01m were ﬁ nanced by new ﬁ nance leases 
cash and cash equivalents which are presented as a single class of assets on the face of the balance sheet comprise cash at bank and other shortterm 
highly liquid investments with a maturity of three months or less less the bank overdraft raymarine plc annual report 2007 60
ltip share options
maximum 
number of 
shares
weighted 
average fair 
value per 
share £
number of 
shares
weighted 
average fair 
exercise 
price £
outstanding at beginning of period 1678098 163 450000 374
lapsed during the period 349906 165 450000 374
granted during the period 64232 210 – –
vested during the period 60374 150 – –
outstanding at the end of the period 1332050 168 – –
ltip
030507 230807 010406 030505
weighted average fair value per share £247 £127 £250 £114
expected volatility 302 346 284 260
expected life 3 years 3 years 3 years 3 years
expected dividend yield 2 3 2 3
2007
£’000
2006
£’000
within one year 1853 1704
in the second to ﬁ fth years inclusive 3366 4549
after ﬁ ve years 562 1093
5781 7346
33 share based payments
operating lease payments represent rentals payable by the group for the entire duration of the lease for certain cars and properties average lease terms at 
ﬁ xed rates for cars and vending equipment are 39 months and 32 months respectively the average lease term for properties is 85 months operating lease 
payments for some of the properties are subject to a rent review
32 operating lease arrangements
at the balance sheet date the group had outstanding commitments for future minimum lease 
payments under noncancellable operating leases which fall due as follows
expected volatility was determined by calculating the historical volatility of the group’s share price from the date of listing 6 december 2004 to the date 
of the grant the expected life used in the model is management’s best estimate allowing for the effects of nontransferability exercise restrictions and 
behavioural considerations
ltip
in 2005 and again in 2006 the company entered into two plans which are being accounted for as equity settled schemes they both operate over three 
years with any award being linked to performance related targets which reﬂ ect the group’s performance during the period the current maximum award 
under the scheme is 801555 shares and 475411 shares respectively
during the current period the group again entered into the additional ltip’s for some of its staff the plans are also being accounted for as equity settled 
schemes and operate over three years with any award being linked to performance related targets which reﬂ ect the group’s performance during the period 
the current maximum award under the scheme is 55084 shares
a charge to the income statement of £598000 2006 £791000 in respect of all three schemes arises in the period 
equitysettled share option plan
all of the share options issued under the esop lapsed on 1 may 2007 consequently a credit of £68000 has been released to the income statement in the 
period
the inputs into the blackscholes model are as follows 61 raymarine plc annual report 2007 
34 retirement beneﬁ t schemes
deﬁ ned contribution scheme
the group operates a deﬁ ned contribution pension scheme for raymarine uk limited the assets of the scheme are held separately from those of the group 
in funds under the control of trustees where there are employees who leave the scheme prior to vesting fully in the contributions the contributions payable 
by the group are reduced by the amount of forfeited contributions
the cost charged to income in respect of this pension scheme of £475000 2006 £364000 represents contributions payable to the scheme by the group 
at rates speciﬁ ed in the rules of the plan as at 31 december 2007 contributions of £75000 2006 £65000 due in respect of the current reporting period 
had not been paid over to the scheme and are included in payables
the group leased its raymarine inc employees from adp totalsource during the entire year of 2007  adp totalsource operates a deﬁ ned contribution 
scheme 
35 capital commitments
on 31 december 2007 the group had commitments for capital expenditure contracted for but not provided of £18m principally relating to the purchase of 
test equipment and tooling for use in the business
in addition on 31 december 2007 the group was committed to spending £05m on its replacement erp enterprise resource planning system the initial 
stage of which is due to be implemented in april 2008
the group signed a contract in april 2007 with a developer to provide a new site with new ofﬁ ces and an engineering research and development service 
repair and test centre in portsmouth to be occupied from the second quarter 2009 the new building located to the north of portsmouth will unite the 
operations in the uk the new site will be taken on under a 15 year lease commencing late in 2008 a portion of the expected cash cost of £03m was 
committed at 31 december 2007
36 events after the balance sheet date
on 4 february 2008 the group announced the acquisition of the shares representing 100 of the outstanding capital and voting rights of deck marine 
spa “deck marine” the sole distributor of raymarine products in italy for a consideration up to a maximum of €25m £188m deck marine was 
founded in 1976 employs 15 staff and is headquartered in milan the current managing director of deck marine will remain with the company in addition 
to raymarine products deck marine distributes a small number of products manufactured by third party suppliers and will continue to do so following the 
acquisition for the year ended 31 december 2006 deck marine reported proﬁ t before tax of €5m £38m and had gross assets of €107m £8m
on 25 february 2008 the group further announced the acquisition of the business and assets of navsystems oy the sole distributor of raymarine products 
in finland for a consideration up to a maximum of €5m £37m navsystems operates from a base near helsinki and employs a total of 4 staff for the year 
ended 31 december 2007 navsystems reported a turnover of €44m £30m
the ﬁ nal consideration for both of these acquisitions is still subject to work currently being carried out on the opening fair values for the balance sheet as at 
the date of the acquisition therefore no further information regarding these can be provided at this time
37 related party transactions
transactions between the company and its subsidiaries which are related parties have been eliminated on consolidation and are not disclosed in this note  
remuneration of key management personnel
details of the remuneration of the directors who are the key management personnel of the group is provided in aggregate for each of the categories 
speciﬁ ed in ias 24 related party disclosures in the audited part of the directors’ remuneration report on pages 20 to 23 along with further information 
about the remuneration of individual directors
38 financial instruments
a capital risk management
the group manages its capital to ensure that entities within the group will be able to continue as a going concern while maximising the return to 
stakeholders through the optimisation of the debt and equity balance
the capital structure of the group consists of debt which includes the borrowings disclosed in note 18 cash and cash equivalents and equity attributable 
to shareholders of the parent comprising issued share capital reserves and retained earnings as disclosed in notes 23 to 29 raymarine plc annual report 2007 62
2007
£’000
2006
£’000
financial assets
at amortised cost
cash 9095 2068
trade receivables 21155 19305
financial liabilities
at amortised cost
bank overdrafts 4049 7035
trade payables 12744 8156
bank loans 64789 38156
finance lease obligations 221 509
derivative instruments in designated hedge accounting relationships 822 –
2007
£’000
2006
£’000
debt 69059 45700
cash and cash equivalents 9095 2068
net debt 59964 43632
equity 26607 22619
net debt to equity ratio 69 66
38 financial instruments continued
b gearing ratio
the group regularly reviews the capital structure  as part of this review it considers the cost of capital and the risks associated with each class of capital 
the gearing ratio at the year end is as follows
debt is deﬁ ned as long and shortterm borrowings as detailed in note 18
equity includes all capital and reserves of the group attributable to equity holders of the parent
c signiﬁ cant accounting policies
details of the signiﬁ cant accounting policies and methods adopted including the criteria for recognition the basis of measurement and the basis on which 
income and expenses are recognised in respect of each class of ﬁ nancial asset ﬁ nancial liability and equity instrument are disclosed in note 2 to the 
ﬁ nancial statements
d categories of ﬁ nancial instruments
e   financial risk management objectives
the group’s treasury function overseen by senior management provides services to the whole of the business it also monitors and manages the ﬁ nancial 
risks relating to the operations of the group including market risk credit risk liquidity risk and interest rate risk
the group seeks to minimise the effects of these risks by using where deemed appropriate derivative ﬁ nancial instruments to hedge these risk exposures 
the use of ﬁ nancial derivatives is governed by the group’s policies approved by the board of directors the group does not enter into or trade ﬁ nancial 
instruments including derivative ﬁ nancial instruments for speculative purposes 63 raymarine plc annual report 2007 
liabilities assets
2007
£’000
2006
£’000
2007
£’000
2006
£’000
usd 28497 27529 8427 9323
eur 14361 39  6126 1810
aud 5954 – 2068 –
other 22 28 343 1
total 48834 27596 16964 11134
2007
£’000
2006
£’000
us dollar impact 1277 1159
euro impact 524 –
australian dollar impact 247 –
increase in proﬁ t 2048 1159
effect of foreign exchange movements on investments in foreign subsidiaries 1754 1050
294
i
 109 
ii

hedging reserve impact 
iii
2264 –
f   market risk
the group’s activities expose it primarily to the ﬁ nancial risks of changes in foreign currency exchange rates see below and interest rates see section g 
changes in foreign currency exchange rates
as noted in the financial review the exchange rate risk associated with sales made in us dollars approx 43 of total sales is signiﬁ cantly mitigated by the 
outsourcing arrangement with flextronics with the supply contract being denominated in us dollars
with the acquisitions made during the year the group now has exposure to sales made in euros and australian dollars to mitigate this exposure the group 
has entered into a number of forward foreign exchange contracts see below to hedge the exchange rate risk associated with these future cash ﬂ ows
changes in interest rates
the current borrowing costs are based on the total level of net debt on a ratchet which runs between 50 and 115 basis points over libor for the currency 
in which the borrowings are drawn after reviewing all relevant factors including monitoring the level of interest cover from cash ﬂ ow and earnings the 
treasury function has ascertained the appropriateness of maintaining all of the group’s borrowings at variable rates of interest
foreign currency sensitivity
the carrying amount of the group’s foreign currency denominated monetary assets and monetary liabilities at the reporting date is as follows
in 2007 the group was mainly exposed to us dollars euros and australian dollars
in 2006 the group was mainly exposed to us dollars
the following table details the group’s sensitivity to a 10 per cent change in pounds sterling against the respective foreign currencies 10 per cent has 
been used as this has been deemed as a reasonably possible movement a positive number indicates an increase in proﬁ t or loss where pounds sterling 
strengthens against the respective currency
i
 the gain in 2007 is mainly attributable to the foreign currency borrowings
ii
 the gain in 2006 is mainly attributable to the usd denominated payables offset by usd denominated receivables
iii
 this is a result of the changes in fair value of derivative instruments designated as cash ﬂ ow hedges raymarine plc annual report 2007 64
outstanding contracts outstanding contracts average 
exchange rate
foreign 
currency
’000
contract value
£’000
fair value
£’000
current
buy usd  sell euro 2038 6000 2899 45
buy gbp  sell euro 1354 €15112 10884 278
buy gbp  sell aud 2294 11244 4834 67
390
noncurrent
buy gbp  sell euro 1348 €18650 13617 216
buy gbp  sell aud 2312 13048 5427 216
432
2008
£’000
2009
£’000
2010
£’000
total
£’000
foreign currency forward contracts 18740 12226 6819 37785
following the acquisition of two european distributorships and one based in australia the group now has a signiﬁ cant net inﬂ ow in euros and to a lesser 
extent australian dollars these are also expected to continue into 2008 again the group covers these exposures well in advance through forward foreign 
exchange contracts
as at the reporting date the aggregate amount of unrealised losses net of tax under forward foreign exchange contracts deferred in the hedging reserve 
relating to the exposure on the anticipated future transactions is £575k 2006 £nil these contracts are due to mature on various dates through to the 
fourth quarter of 2010
foreign currency forward contracts
the group utilises currency derivatives to hedge signiﬁ cant future transactions and cash ﬂ ows there were 25 foreign currency forward contracts in place at 
31 december 2007 2006 nil
the total notional amount of outstanding forward foreign exchange contracts that the group has committed to by maturity year are shown below
the fair value of currency derivatives that are designated as effective cash ﬂ ow hedges was a liability of £822k 2006 £nil
the fair value of the foreign currency forward contracts are measured using quoted forward exchange rates and yield curves derived from quoted rates 
matching maturities of the contracts 
the directors believe that the fair value of the foreign currency forward contracts approximates the carrying value 
included in other operating income is £01m 2006 £04m which has been transferred from reserves in respect of foreign currency forward contracts that 
have matured during the period
the foreign exchange exposure of the group is monitored on an ongoing basis and the requirement for future derivative ﬁ nancial instruments is kept under 
review
forward foreign exchange contracts
it is the policy of the group to review the need for and where deemed appropriate to enter forward foreign exchange contracts to cover speciﬁ c foreign 
currency payments and receipts
the following table details the forward foreign currency contracts outstanding as at the reporting date 65 raymarine plc annual report 2007 
2007 2007
weighted 
average 
effective rate

less than 
1 month
£’000
1 to 6 months
£’000
6 months 
to 1 year
£’000
1 to 5 years
£’000
total
£’000
noninterest bearing 00 12381 363 – – 12744
finance leases 26 21 81 62 81 245
variable interest rate instruments
bank overdrafts 59 4049 – – – 4049
bank loans 61 65006 – – – 65006
sub total 81457 444 62 81 82044
less bank loans 65006 – – – 65006
total 16451 444 62 81 17038
g interest rate risk management
the group is exposed to interest rate risk as entities in the group borrow funds at ﬂ oating interest rates the group keeps under review the appropriateness 
of ﬁ xing interest rates on its borrowings
interest rate sensitivity
the sensitivity analysis below has been determined based on the exposure to interest on the ﬁ nancial instrument balances at the reporting date and the 
stipulated change taking place at the beginning of the ﬁ nancial year and held constant throughout the reporting period
at the reporting date if interest rates had been 100 basis points higherlower and all other variables were held constant the group’s net proﬁ t would 
increasedecrease by £423k 2006 £321k this is mainly attributable to the group’s exposure to interest rates on its variable rate borrowings
100 basis points have been used as this has been deemed as a reasonably possible movement
the group’s sensitivity to interest rates has increased during the current period mainly due to the increase in variable rate debt instruments
h  credit risk management
credit risk refers to the risk that a counterparty will default on its contractual obligations resulting in ﬁ nancial loss to the group the group’s policy is to only 
deal with creditworthy counterparties carrying out signiﬁ cant background checks before any new accounts are opened so as to mitigate the risk of ﬁ nancial 
loss from defaults the group’s exposure and the credit ratings of its counterparties are continuously monitored with no signiﬁ cant concentration of credit 
risk with a single counterparty credit exposure is controlled by counterparty limits that are reviewed and approved by senior management as and when 
necessary but at a minimum annually
the carrying amount of ﬁ nancial assets recorded in the ﬁ nancial statements net of any allowances for losses represents the group’s maximum exposure to 
credit risk
i liquidity risk management
ultimate responsibility for liquidity risk management rests with the board of directors which reviews and manages the group’s short medium and long 
term funding and liquidity requirements on a regular basis the group manages liquidity risk by maintaining adequate reserves banking facilities and reserve 
borrowing facilities by regularly monitoring forecast and actual cash ﬂ ows whilst attempting to match the maturity proﬁ les of ﬁ nancial assets and liabilities 
as at 31 december 2007 the group had £325m 2006 £255m of undrawn facilities that the group has at its disposal to further reduce liquidity risk see 
note 18
the following table details the group’s remaining contractual maturity for its nonderivative ﬁ nancial liabilities the table has been drawn up based on the 
undiscounted contractual maturities of the ﬁ nancial liabilities including interest that will accrue to those liabilities
 note although the bank loans have a contractual 1 month maturity date the group also has a contractual right to draw down up to £925m 185m 
under the terms of the syndicated revolving credit arrangement set up on 6 december 2004 and amended on 18 october 2007 the current credit 
arrangement facility is due to expire on 12 november 2009 there is therefore no liquidity risk for the group attached to the bank loans raymarine plc annual report 2007 66
2006 2006
weighted 
average 
effective rate

less than 
1 month
£’000
1 to 6 months
£’000
6 months 
to 1 year
£’000
1 to 5 years
£’000
total
£’000
noninterest bearing 00 8012 144 – 220 8376
finance leases 29 30 140 141 244 555
variable interest rate instruments
bank overdrafts 63 7035 – – – 7035
bank loans 55 38388 – – – 38388
sub total 53465 284 141 464 54354
less bank loans 38388 – – – 38388
total 15077 284 141 464 15966
   note although the bank loans have a contractual 1 month maturity date the group also had a contractual right to draw down up to £689m 135m 
under the terms of the syndicated revolving credit arrangement set up on 6 december 2004 the current credit arrangement facility is due to expire on 
12 november 2009 there is therefore no liquidity risk for the group attached to the bank loans
  the following table details the group’s expected maturity for its nonderivative ﬁ nancial assets the table has been drawn up based on the undiscounted 
contractual maturities of the ﬁ nancial assets including interest that will be earned on those assets except where the group anticipates that the cash ﬂ ow 
will occur in a different period
2007 2007
weighted 
average 
effective rate

less than 
1 month
£’000
1 to 6 months
£’000
6 months 
to 1 year
£’000
1 to 5 years
£’000
total
£’000
cash 33 9095 – – – 9095
noninterest bearing trade receivables 00 6327 14827 2 – 21156
total 15422 14827 2 – 30251
2006 2006
weighted 
average 
effective rate

less than 
1 month
£’000
1 to 6 months
£’000
6 months 
to 1 year
£’000
1 to 5 years
£’000
total
£’000
cash 25 2068 – – – 2068
noninterest bearing trade receivables 00 4545 14489 – – 19034
total 6613 14489 – – 21102 67 raymarine plc annual report 2007 
1 to 6 months 6 months to 1 year 1 to 5 years
payable receivable payable receivable payable receivable
£’000 £’000 £’000 £’000 £’000 £’000
11881 11644 7249 7097 19476 19044
the following table details the group’s expected maturity for its derivative ﬁ nancial instruments the table has been drawn up based on the undiscounted 
gross cash inﬂ owsoutﬂ ows on the derivative instruments
forward foreign exchange contracts
there were no forward foreign exchange contracts as at 31 december 2006 raymarine plc annual report 2007 68
we have audited the parent company ﬁ nancial statements of raymarine plc for the year ended 31 december 2007 which comprise the income statement 
the balance sheet the cash flow statement the statement of recognised income and expense and the related notes 39 to 54 these parent company 
ﬁ nancial statements have been prepared under the accounting policies set out therein
we have reported separately on the group ﬁ nancial statements of raymarine plc for the year ended 31 december 2007 and on the information in the 
directors’ remuneration report that is described as having been audited 
this 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 auditors’ 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’ responsibilities for preparing the annual report and the parent company ﬁ nancial statements in accordance with applicable law and 
international financial reporting standards ifrss as adopted by the european union are set out in the statement of directors’ responsibilities
our responsibility is to audit the parent company ﬁ nancial statements in accordance with relevant legal and regulatory requirements and international 
standards on auditing uk and ireland
we report to you our opinion as to whether the parent company ﬁ nancial statements give a true and fair view and whether the parent company ﬁ nancial 
statements have been properly prepared in accordance with the companies act 1985 we also report to you whether in our opinion the information given 
in the directors’ report is consistent with the parent company ﬁ nancial statements the information given in the directors’ report includes that speciﬁ c 
information presented in the financial review that is cross referred from the business review section of the directors’ report
in addition we report to you if in our opinion 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 speciﬁ ed by law regarding directors’ remuneration and other transactions is not disclosed
we read the other information contained in the annual report as described in the contents section and consider whether it is consistent with the 
audited parent company ﬁ nancial statements we consider the implications for our report if we become aware of any apparent misstatements or material 
inconsistencies with the parent company ﬁ nancial statements our responsibilities do not extend to any further information outside the annual report
basis of audit opinion
we conducted our audit in accordance with international standards on auditing uk and ireland issued by the auditing practices board an audit includes 
examination on a test basis of evidence relevant to the amounts and disclosures in the parent company ﬁ nancial statements it also includes an assessment 
of the signiﬁ cant estimates and judgments made by the directors in the preparation of the parent company ﬁ nancial statements and of whether the 
accounting policies are appropriate to the company’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 
sufﬁ cient evidence to give reasonable assurance that the parent company ﬁ nancial statements 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 parent company 
ﬁ nancial statements
opinion
in our opinion
�  the parent company ﬁ nancial statements give a true and fair view in accordance with ifrss as adopted by the european union of the state of the 
company’s affairs as at 31 december 2007 and of its proﬁ t for the year then ended
�  the parent company ﬁ nancial statements have been properly prepared in accordance with the companies act 1985 and
�  the information given in the directors’ report is consistent with the parent company ﬁ nancial statements
deloitte  touche llp
chartered accountants and registered auditors 
southampton united kingdom
25 february 2008
independent auditors’ report to the members of raymarine plc 69 raymarine plc annual report 2007 
2007
£’000
2006
£’000
note
administrative expenses
 – other administrative expenses 628 606
operating loss 40 628 606
finance income 42 26445 13305
proﬁ t before tax 25817 12699
taxation 43 55 179
proﬁ t for the year attributable to equity shareholders of the company 50 25762 12520
2007
£’000
2006
£’000
note
transfers
other 25 –
vested awards under the ltip 48 7 152
proﬁ t for the period 25762 12520
total recognised income and expense for the year attributable to shareholders 
of the company
51 25794 12368
company income statement
year ended 31 december 2007
company statement of recognised income and expense
year ended 31 december 2007 raymarine plc annual report 2007 70
2007
£’000
2006
£’000
note
noncurrent assets
intangible assets 44 274 274
current assets
trade and other receivables 46 14 39
amounts owed by group undertakings 46 27517 17185
current tax assets 100 2637
cash and cash equivalents 5538 10
33169 19871
current liabilities
trade and other payables 47 215 129
amounts owed to group undertakings – 27
215 156
net current assets 32954 19715
net assets 33228 19989
equity
share capital 23 828 828
share premium account 24 3305 3255
own shares 25 5263 –
equity reserve 48 1200 859
hedging and translation reserve 49 382 382
retained earnings 50 33540 15429
equity attributable to equity shareholders of the company 51 33228 19989
company balance sheet
at 31 december 2007
the ﬁ nancial statements were approved by the board of directors and authorised for issue on 25th february 2008 they were signed on its behalf by
tony osbaldiston
finance director 71 raymarine plc annual report 2007 
2007
£’000
2006
£’000
note
net cash inﬂ ow  outﬂ ow from operating activities 52 3935 308
investing activities
dividends received 24500 12908
net cash from investing activities 24500 12908
financing activities
issue of ordinary shares 50 48
purchase of treasury shares 5263 –
increase in intercompany loans 10111 6127
increase  repayments of intercompany borrowings 100 255
dividends paid 7683 6458
net cash used in ﬁ nancing activities 22907 12792
net increase  decrease in cash and cash equivalents 5528 192
cash and cash equivalents at beginning of year 10 202
cash and cash equivalents at end of year 5538 10
company cash flow statement
year ended 31 december 2007 raymarine plc annual report 2007 72
2007
£’000
2006
£’000
auditors’ remuneration for audit services see below 23 9
the analysis of auditors’ renumeration is as follows
2007
£’000
2006
£’000
fees payable to the company’s auditors for the audit of the company’s annual accounts 12 9
total audit fees 12 9
other services pursuant to legislation
   tax services related to
      compliance 8 10
      general advisory 10 43
total nonaudit fees 18 53
2007
£’000
2006
£’000
dividends received 24500 12908
interest received 1945 395
foreign exchange gains – 2
26445 13305
40 operating loss
operating loss is stated after charging
a description of the work of the audit committee is set out in the corporate governance statement on page 16 and includes an explanation of how auditor 
objectivity and independence is safeguarded when nonaudit services are provided by the auditors
41 staff costs
there were no employees of the company during the year ended 31 december 2007 2006 nil emoluments of the nonexecutive directors can be found 
in the directors’ remuneration report on page 20
42 finance income
39 signiﬁ cant accounting policies
the separate ﬁ nancial statements of the company are presented as required by the companies act 1985 as permitted by that act the separate ﬁ nancial 
statements have been prepared in accordance with international financial reporting standards ifrss
the ﬁ nancial statements have been prepared on the historical cost basis the principal accounting policies adopted are the same as those set out in note 2 
to the consolidated ﬁ nancial statements except as noted below
investments in subsidiaries are stated at cost less where appropriate provisions for impairment
notes to the company financial statements
year ended 31 december 2007 73 raymarine plc annual report 2007 
goodwill
£’000
cost and net book value
at 1 january 2006 1 january 2007 and 31 december 2007 274
name of subsidiary
place of 
incorporation 
or registration
principal 
activity
class and 
percentage 
shares held
method used 
to account for 
investment
raymarine holdings limited great britain holding company ordinary 100 purchase
raymarine 2002 limited great britain nontrading ordinary 100 purchase
raymarine inc us marine electronics ordinary 100 purchase
raymarine uk limited great britain marine electronics ordinary 100 purchase
raymarine asia pty limited australia marine electronics ordinary 100 purchase
sdm electronique sas france marine electronics ordinary 100 purchase
he eissing kg gmbh  co germany marine electronics ordinary 100 purchase
goodwill
2007 2006
£’000  £’000 
proﬁ t before tax 25817 12699
tax at domestic income tax rate of 30 2006 30 7745 3810
tax effect of expenses that are not deductible in determining taxable proﬁ t 5 7
dividend income not taxable 7350 3872
adjustment to tax charge in respect of previous periods 55 234
tax effect of utilisation of tax losses not previously recognised 400 –
tax charge and effective tax rate for the year 55 02 179 14
2007
£’000
2006
£’000
current tax
domestic – current – 55
               – prior year 55 234
55 179
43 taxation
domestic income tax is calculated at 30 2006 30 of the estimated assessable proﬁ t for the year
the charge for the year can be reconciled to the proﬁ t per the income statement as follows
44 intangible assets
45 subsidiaries
details of the company’s subsidiaries at 31 december 2007 are as follows
investment held by a subsidiary company raymarine plc annual report 2007 74
£’000
balance at 1 january 2006 155
vested awards under the ltip 152
awards under the ltip 313
share option plan 7
deferred tax on the above 232
balance at 1 january 2007 859
vested awards under the ltip 7
awards under the ltip 562
share option plan 36
deferred tax on the above items 178
balance at 31 december 2007 1200
2007
£’000
2006
£’000
other receivables 14 39
amounts owed by group undertakings 27517 17185
27531 17224
2007
£’000
2006
£’000
current liabilities
trade and other payables 215 129
46 financial assets
trade and other receivables
48 equity reserve
amounts owed by group undertakings are recoverable on demand and earn interest at an arms length rate
cash and cash equivalents
these comprise cash held by the company and shortterm bank deposits with an original maturity of three months or less the carrying amount of these 
assets approximates their fair value
47 financial liabilities
trade and other payables
trade payables principally comprise amounts outstanding for trade purchases and ongoing costs the average credit period taken for trade purchases is 27 
days 2006 18 days
the company has ﬁ nancial risk management policies in place to ensure that all payables are paid within the credit timeframe
the directors consider that the carrying amount of trade payables approximates to their fair value 75 raymarine plc annual report 2007 
£’000
balance at 1 january 2006 13304
total recognised income and expense for the year 12368
dividends paid 6458
increase in share capital and premium 48
increase in equity reserves 704
other adjustments 23
balance at 1 january 2007 19989
total recognised income for the year 25794
dividends paid 7683
increase in share capital and premium 50
increase in equity reserves 341
treasury shares 5263
balance at 31 december 2007 33228
translation 
reserve
£’000
balance at 1 january 2006 405
exchange differences on translation of employee beneﬁ t trust 23
balance at 1 january 2007 and 31 december 2007 382
£’000
£’000
balance at 1 january 2006 9519
net proﬁ t for the year 12520
dividends paid 6458
other adjustments 152
balance at 1 january 2007 15429
net proﬁ t for the year 25762
dividends paid 7683
vested awards under the ltip 7
other 25
balance at 31 december 2007 33540
equity comprises share capital share premium hedging and translation reserve and retained earnings
51 statement of changes in equity
49 hedging and translation reserve
50 retained earnings raymarine plc annual report 2007 76
2007
£’000
2006
£’000
operating loss 628 606
adjustments for
 foreign exchange – 23
operating cash ﬂ ows before movements in working capital 628 583
    decrease  increase in receivables 25 12
    increase   decrease in payables 111 110
cash used in operations 492 705
interest received 1945 395
foreign exchange – 2
tax paid 2482 –
net cash inﬂ ow  outﬂ ow from operating activities 3935 308
2007
£’000
2006
£’000
financial assets
at amortised cost
cash 5538 10
amounts owed by group undertakings 27517 17185
financial liabilities
at amortised cost
trade payables 215 129
amounts owed to group undertakings – 27
52 notes to the cash ﬂ ow statement
cash and cash equivalents which are presented as a single class of assets on the face of the balance sheet comprise cash at bank and other shortterm 
highly liquid investments with maturity of three months or less
53 share based payments
the company currently operates three share based payments schemes all costs are recharges to group subsidiaries for further information see note 33
54 financial instruments
the company follows the same accounting policies and manages its capital and risks in the same way as the group please see note 38 for further details
a categories of ﬁ nancial instruments
b market risk
the company’s activities expose it primarily to the risks of changes in interest rates the group has no foreign exchange exposure as all balances are in 
pounds sterling
changes in interest rates
amounts owed byto group undertakings carry interest at a rate of 2 2006 royal bank of scotland savings rate 05 above the respective territories 
libor rate
interest rate sensitivity
the sensitivity analysis below has been determined based on the exposure to interest on the ﬁ nancial instrument balances at the reporting date and the 
stipulated change taking place at the beginning of the ﬁ nancial year and held constant throughout the reporting period
at the reporting date if interest rates had been 100 basis points higherlower and all other variables were held constant the company’s net proﬁ t 
would increasedecrease by £330k 2006 £172k this is mainly attributable to the company’s exposure to interest rates on its amounts owed by group 
undertakings 100 basis points have been used as this has been deemed as a reasonably possible movement
the company’s sensitivity to interest rates has increased during the current period mainly due to the increase in amounts owed by group undertakings 77 raymarine plc annual report 2007 
2007 2007
weighted 
average 
effective rate

less than 
1 month
£’000
1 to 6 months
£’000
6 months 
to 1 year
£’000
1 to 5 years
£’000
total
£’000
noninterest bearing 00 215 – – – 215
2006 2006
weighted 
average 
effective rate

less than 
1 month
£’000
1 to 6 months
£’000
6 months 
to 1 year
£’000
1 to 5 years
£’000
total
£’000
noninterest bearing 00 129 – – – 129
variable interest rate instruments
    amounts owed to group undertakings 53 27 – – – 27
total 156 – – – 156
2007 2007
weighted 
average 
effective rate

less than 
1 month
£’000
1 to 6 months
£’000
6 months 
to 1 year
£’000
1 to 5 years
£’000
total
£’000
cash 45 5538 – – – 5538
amounts owed by group undertakings 81 27517 – – – 27517
total 33055 – – – 33055
2006 2006
weighted 
average 
effective rate

less than 
1 month
£’000
1 to 6 months
£’000
6 months 
to 1 year
£’000
1 to 5 years
£’000
total
£’000
cash 36 10 – – – 10
amounts owed by group undertakings 53 17185 – – – 17185
total 17195 – – – 17195
54 financial instruments continued
c liquidity risk management
the following table details the company’s remaining contractual maturity for its nonderivative ﬁ nancial liabilities the table has been drawn up based on 
the undiscounted contractual maturities of the ﬁ nancial liabilities including interest that will accrue to those liabilities
the following table details the company’s expected maturity for its nonderivative ﬁ nancial assets the table has been drawn up based on the undiscounted 
contractual maturities of the ﬁ nancial assets including interest that will be earned on those assets except where the group anticipates that the cash ﬂ ow 
will occur in a different period raymarine plc annual report 2007 78
ifrs uk gaap
2007
£’000
2006
£’000
2005
£’000
2004
£’000
2003
£’000
results
revenue 140690 136490 121851 106268 93616
operating proﬁ t 27081 16096 11077 11385 5967
proﬁ t before tax 23411 14091 8062 5257 990
proﬁ t attributable to equity shareholders of raymarine plc 17544 10337 8367 2492 306
assets employed
noncurrent assets 68910 52713 49459 51156 45020
current assets 57050 40563 37761 42349 35425
current liabilities 29538 29761 25108 26106 18559
noncurrent liabilities 69815 40896 44151 56885 57261
net assets 26607 22619 17961 10514 4625
financed by
equity 26607 22619 17961 10514 4625
key statistics
basic earnings per share 213p 125p 101p 33p 04p
diluted earnings per share 210p 122p 100p 30p 04p
five year summary
the amounts disclosed before 2004 are stated on the basis of uk gaap because it is not practicable to restate amounts for periods prior to the date of 
transition to ifrs 
 
the company was incorporated on 22 august 2000 and the group began to trade on 29 january 2001 79 raymarine plc annual report 2007 
shareholder information and professional advisers
report and accounts
copies of the 2007 report and accounts will be sent to shareholders and will be available after 23 may 2008 from the company secretary at the registered 
ofﬁ ce raymarine ﬁ nancial information is also available at our website wwwraymarinecom
registered ofﬁ ce
raymarine plc 
anchorage park 
robinson way 
portsmouth 
hampshire 
po3 5td
shareholder enquiries
equiniti limited maintain the company’s share register enquiries about standings should be addressed to the registrars at the causeway worthing west 
sussex bn99 6da telephone 0870 600 3970
annual general meeting
the agm will be held at the little ship club bell wharf lane upper thames street london ec4r 3tb on friday 23 may 2008 at 11am
professional advisers
financial adviser
hawkpoint partners limited
41 lothbury
london 
ec2r 7ae
broker
jpmorgan cazenove limited
20 moorgate
london
ec2r 6da
auditors
deloitte  touche llp
1 grosvenor square
mountbatten house
southampton
so15 2bz
principal bankers
lloyds tsb plc
25 gresham street
london 
ec2v 7hn raymarine plc annual report 2007 80 algeria
antigua
argentina
austria
australia
bahamas
bahrain
belgium
bermuda
brazil
british virgin islands
bulgaria
canada
canary islands
cape verde
chile
china
costa rica
croatia
cyprus
denmark
dominican republic
ecuador
egypt
estonia
finland
france
germany
ghana
gibraltar
grand cayman islands
greece
hong kong
iceland
india
indonesia
iran
israel
italy
jamaica
japan
korea
kuwait
latvia
lebanon
lithuania
malaysia
maldives
malta
mexico
morocco
netherlands
netherland antilles
new caledonia
new zealand
norway
oman
panama
papua new guinea
poland
portugal
puerto rico
qatar
romania
russia
saudi arabia
singapore
slovenia
south africa
spain
sri lanka
st lucia
st maarten
sweden
switzerland
taiwan
tahiti
thailand
trinidad
tunisia
turkey
turks and caicos islands
ukraine
united arab emirates
united states of america
united kingdom  ireland
usvi st thomas
uruguay
venezuela
vietnam
zimbabwe
 
world leaders in electronics for the marine industry
raymarine plc anchorage park portsmouth hampshire po3 5td england
tel 44 023 9269 3611  fax 44 023 9269 4642
photography courtesy of
joe mccarthy sealine international limited malo yachts
 nimbus hallberg rassy rick tomlinson shutterstock
 radar  navigation aids  instruments  autopilots  satellite tv  communications  fishfinders  software  systems 
2007 annual report and accounts
2007 ra ymarine annu al repor t and a ccounts


Summary:
 chief executive ofﬁ cer’s review
introduction
in the year to 31 december 2007 raymarine demonstrated that it could 
continue growing its worldwide business to successfully offset a softer us 
market group revenues improved by 31 to £1407m from £1365m in 
2006 in real terms accounting for the devaluation of the us dollar and 
on a like for like basis excluding the beneﬁ t of acquisitions sales grew by 
40
throughout 2007 pricing was maintained cost of goods fell as the group 
started to beneﬁ t from the lower cost of labour overheads and components 
achieved through outsourcing production to hungary
as a result of these activities adjusted ebitda grew by 210 to £335m 
and we are pleased to propose subject to shareholder approval an 114 
increase in the ﬁ nal dividend to 663p per share
the market
raymarine supplies electronic navigation control safety communication 
and entertainment equipment for recreational boats throughout the world 
it is regarded by boaters in all markets as being the premier brand for such 
equipment just under two thirds of its products head for the reequipping 
and refurbishment of power and sail boats through retail wholesale and 
dealer channels and the rest is delivered either direct or via dealers to 
boatyards for installation into new boats 
the market can be characterised in the past year in two ways – regionally 
between us and the rest of the world and by boat size mid to large size 
boats against the market for smaller boats
during 2007 the market outside of the us continued to be driven by robust 
demand for the supply of equipment across continental europe and the 
emerging markets of eastern europe the middle east and asia paciﬁ c which 
have different characteristics to the us markets were particularly strong 
across the us the retail market weakened dealer channels were soft but 
sales to oems grew by 13
by boat size those companies building larger boats and that includes those 
based in the us continued to see strong demand above 60ft in length 
builders were claiming business up 10 above 80ft market estimates put last 
year’s growth at 18 however builders of smaller sized boats most notably 
those in the us were in a less upbeat mood seeing downturns in volume and 
in some cases they were consolidating plants
acquisitions
in january raymarine set up its own subsidiary to serve australia and south 
east asia thereby replacing the long standing distributor that had represented 
raymarine in that region for more than 20 years this acquisition differed 
from the others in that a new organisation was set up from scratch in march 
the group acquired sdm electronique sas “sdm” the sole distributor for 
france monaco and overseas french territories and in august acquired its 
german distributorship he eissing kg gmbh  co “eissing gmbh” 
these have been trading well on the back of excellent and well established 
relationships with boat builders retailers and dealers this has proved to be 
invaluable in getting even closer to the customer base and tapping into a 
proﬁ table supply chain whilst these are successful organisations with years of 
experience in the sales marketing and support of marine products there are 
opportunities for improvement
at the time of announcing our interim results i commented that i hoped we 
could add other distributorships in time and i was therefore delighted to 
announce on 4 february 2008 the acquisition of deck marine spa “deck 
marine” the sole distributor of raymarine products in italy deck marine 
which was founded in 1976 employs 15 staff and is headquartered in milan 
alberto monfrini current managing director of deck marine will remain with 
the company in addition to raymarine products deck marine distributes 
a small number of products manufactured by third party suppliers and will 
continue to do so following the acquisition 
deck marine is the fourth distributorship to be acquired by raymarine in 12 
months in deck marine we know we are getting a further strong team of 
people with excellent trading relationships and a leading market share in one 
of raymarine’s key markets 
in addition to this on the 25 february 2008 we announced the acquisition of 
the business and assets of navsystems oy the sole distributor of raymarine 
products in finland navsystems operate from a base near helsinki and 
employs a total of 4 staff the current managing director will work for us for a 
period of time to effect a smooth transition
we will continue to seek out appropriate opportunities elsewhere
trading
with raymarine having such a strong market presence its trading mirrors 
the markets’ trends to an extent although there are always opportunities in 
certain sectors and regions for greater share
on a likeforlike basis and excluding the beneﬁ t of the acquisitions of 
distributorships raymarine business in regions outside of the americas grew 
by 127 in 2007 over 2006 the emerging markets across eastern europe 
and the middle east provided excellent growth at 21 and 19 respectively 
it is particularly pleasing to record strong performances in the more well
established regions – australia and south east asia grew year on year by just 
over 20 and southern europe showed an improvement of just under 19 
uk domestic revenues climbed by 116 reﬂ ecting the strength of uk boat 
builders and most signiﬁ cantly gains created in the retail channel northern 
europe excluding the uk fared less well – holland and sweden were weaker 
than they had been in previous years and in total this region advanced by 3
in the americas sales direct to boat builders accounting for 22 of 
raymarine’s americas business grew by 13 but retailers 19 of business 
fell by 20 when compared to the prior year dealers and wholesalers who 
were ﬂ at at the half year shrank by 27 by the year end sales in the us 
overall fell by 39 year on year at constant exchange rates just marginally 
worse than we reported at the half year stage overseas distributors which 
includes sales to canada and south america fell by 5 this was particularly 
disappointing and these regions must represent an opportunity for growth in 
the future
 calculation of these measures is explained on page 1
5 raymarine plc annual report 2007  product development
this area continues to be paramount for raymarine and during the year the 
engineering division went through a change in structure to deliver improved 
efﬁ ciency whilst market trends and strength of distribution have an impact on 
raymarine’s top line growth new products are capable of having an equally 
signiﬁ cant effect as customers search for advanced technology that meets 
their growing needs consumers are tending to purchase or reﬁ t larger boats 
which require devices that can be networked and give conﬁ dence safety 
simplicity and improved functionality at sea
each year raymarine spends a large amount of money and time evaluating 
product opportunities and how best to deliver value to the consumer 
raymarine is a premium brand and therefore aims its offering at the upper 
level of each sector with this in mind the product management group 
thoroughly researches and deﬁ nes the product concept and speciﬁ cation 
before handing it over to the largest group of employees – the engineering 
division each project takes between 9 months and 18 months for this division 
to deliver and whilst some of the work is outsourced most of it is insourced 
at raymarine’s facilities in portsmouth uk during and after completion 
products undergo thousands of hours of trials and testing in some of the 
harshest conditions available raymarine employs a network of trialists 
operating both in manmade environmental chambers and also the deepest 
and roughest oceans of the world
early in 2007 the group launched a number of new products in different 
sectors and aimed at different sized boats – from the smaller a60 combined 
chartplotter and fishﬁ nder for boats with centre consoles and open cockpits 
to the g170 and g190 marine displays for the larger vessel segment 
later in the year raymarine launched the ﬁ rst colour instrument with eight 
userdeﬁ ned data pages offering speed depth heading wind engine and 
environmental data modes two new class d dsc high performance radios 
were added to the communications range and for larger vessels the g 
series was introduced to accompany the g170 and g190 displays g series 
is a complete multifunction helm solution that offers advanced navigation 
visualisation capabilities and versatility the system features 3d chartplotting 
with embedded cartography preinstalled on a hard disk drive high deﬁ nition 
digital radar utilising digital signal processing for improved target detection 
networked video for accessing remote cameras dvd and satellite television 
plus remote dedicated wired and wireless keyboards all this gives raymarine 
a distinct edge over its competitors and helps consolidate its global market 
leading position
supply chain 
we continue to reap beneﬁ ts in product cost yield and manufacturing quality 
from the successfully completed outsourcing project whilst we manage and 
own all critical design work from the uk we commission the manufacture 
of these products to our partners around the world approximately 90 of 
products are sourced from hungary with most of the remainder coming from 
mexico and asia 
service levels to our worldwide customer base measured by the daily 
fulﬁ llment of orders improved throughout the year but with it inventory levels 
rose some of the increases are as a direct result of acquiring distributors but 
stock turns can be much improved through better forecasting logistics and 
inventory control and we will be focusing on this in the months ahead at the 
end of the year we moved to a new warehouse and hub in the netherlands 
and expect to serve most of europe direct from this third party controlled 
facility the americas have for some time held inventory in a 
single strategically located hub in the us a new hub has very recently been 
established in australia to serve south east asia
delivery to our customers many of whom hold little stock and who are 
refurbishing and building new boats on a ‘justintime’ process is a key metric 
by which we and our competitors are measured 
people
the strength of raymarine lies in its people there are many long serving 
employees who have extensive knowledge within the marine industry and 
also newcomers who bring a wider experience from outside together they 
provide raymarine with a unique ability to focus directly on a single brand 
aimed at one market this year as in previous years they have worked 
tirelessly to deliver exceptional results in a challenging environment as well 
as wanting to thank everyone for their efforts i would also like to welcome 
new colleagues in australia france germany italy and finland
outlook
as in previous years raymarine has a large number of new products 
scheduled for launch in 2008 many of those expected to have the largest 
impact will be launched in the ﬁ nal quarter of the year
we expect trading in the current year to be in line with expectations we are 
forecasting that the us market will remain ﬂ at and that the regions outside 
the us will continue to grow in much the same way as they did last year 
builders of mid to large boats are reporting healthy orders
taking together the resilience of our overall spread of markets and the 
introduction of more attractive products to complement the existing excellent 
range of new products we are able to look forward to the future with 
conﬁ dence
malcolm miller
chief executive ofﬁ cer
25 february 2008
raymarine plc annual report 2007 6 7 raymarine plc annual report 2007