Commentary
 
Notes to the cash flow statements >
for the year ended 30 September 2008 		   
     
     
   
        GROUP   COMPANY  
      2008    2007    2008    2007  
        Rm      Rm    Rm    Rm  
A. RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS BEFORE WORKING CAPITAL CHANGES                    
  Profit before taxation     1 634,4    925,9    1 037,8    1 921,4   
  Adjusted for:                    
  – Net interest received     (56,1)   (47,1)   (16,2)   (28,4)  
  – Dividends received     (4,2)   (7,7)   (416,4)   (1 724,2)  
  – Depreciation of property, plant and
   equipment		     79,3    68,0    28,1    24,8   
  – Amortisation of intangible assets     7,3    6,3    3,5    3,7   
  – Negative goodwill     —    (1,1)   —    —   
  – Impairment of goodwill     —    0,8    —    —   
  – Net loss/(surplus) on disposal of
   property, plant and equipment		     5,2    (0,5)   1,0    0,7   
  – Net surplus on disposal of intangible
   assets		     —    (0,2)   —    —   
  – Other abnormal items     —    (34,5)   (2,4)   (1,7)  
  – Surplus on dilution in shareholding in
   investment in associate		     (1,5)    —    —    —   
  – Surplus on disposal of businesses     —    (118,1)   —    (366,3)  
  – Share option expense     14,4    609,6    7,5    565,2   
  – Impairment of intangible assets     —    1,7    —    —   
  – Other non–cash movements     (0,2)   13,6    (3,6)   3,6   
  Cash generated from operations before working capital changes     1 678,6    1 416,7    639,3    398, 8   
 
B. WORKING CAPITAL CHANGES                    
  – Inventory and contracts in progress     (48,6)   (66,1)   14,2    3,5   
  – Accounts receivable, derivative assets
   and non-current assets held-for-sale		     (192,6)   (240,3)   (106,6)   86,1   
  – Trade and other payables and derivative
   liabilities		     (54,0)   (132,6)   (41,4)   (102,0)  
  Working capital changes     (295,2)   (439,0)   (133,8)   (12,4)  
 
C. RECONCILIATION OF TAXATION PAID TO THE AMOUNTS DISCLOSED IN THE INCOME STATEMENT AS FOLLOWS:                    
  – Net amounts unpaid at beginning of year     (12,1)   (182,2)   14,3    (61,0)  
  – Current taxation per the income
   statement		     (478,2)   (400,8)   (208,9)   (147,8)  
  – Translation reserve     —    0,3    —    —   
  – Taxation provisions of subsidiaries
   purchased		     (4,9)   (0,3)   —    —   
  – Taxation provisions of subsidiaries sold     —    2,3    —    —   
  – Net amounts unpaid at end of year     84,4    12,1    36,5    (14,3)  
  Cash amounts paid     (410,8)   (568,6)   (158,1)   (223,1)  
 
D. RECONCILIATION OF CASH DIVIDENDS PAID TO THE AMOUNTS DISCLOSED IN THE STATEMENTS OF CHANGES IN EQUITY AS FOLLOWS:                    
  – Dividends unpaid at the beginning of
   year		     —    (390,7)   —    (390,7)  
  – Dividends per the statement of changes
   in equity		     (567,2)   (484,1)   (626,2)   (600,1)  
  – Dividends paid to outside shareholders
   in subsidiaries		     (1,8)   (4,5)   —    —   
  Cash amounts paid     (569,0)   (879,3)   (626,2)   (990,8)  
 
E. ANALYSIS OF TRANSFER/DISPOSAL OF SUBSIDIARIES AND BUSINESSES:                    
  Inventory     —   —    —   11,5   
  Accounts receivable     —   1 704,5    —   37,6   
  Trade and other payables and provisions     —   (5,8)   —   (29,6)  
  Taxation     —   (2,3)   —   —   
  Property, plant and equipment     —   1,2    —   5,2   
  Intangible assets     —   —    —   1,1   
  Deferred taxation     —   (41,4)   —   —   
  Investments in subsidiaries     —   —    —   43,4   
  Existing goodwill     —   —    —   13,8   
  Surplus on transfer/disposal     —   118,1    —   389,3   
  Attributable portion of goodwill arising in Quince on this transaction     —   107,1    —   —   
  Loss on disposal     —   —    —   (23,0)  
  Short-term borrowings     —   (1 575,1)   —   —   
  Cash on hand     —   68,7    —   2,2   
  Amounts received in cash     —   375,0    —   451,5   
  Net short-term borrowings/(cash) on hand at time of transfer/disposal     —   1 506,4    —   (2,2)  
  Net cash received     —   1 881,4    —   449,3   
 
F. ANALYSIS OF ACQUISITION OF SUBSIDIARIES AND BUSINESSES:                    
  Inventory     (16,0)   (4,7)   (11,1)   —   
  Accounts receivable     (245,6)   (12,9)   (12,8)   —   
  Accounts receivable – RCCF     (1 924,5)   —           
  Trade and other payables and provisions     40,0    14,5    10,3    —   
  Taxation     4,9     0,3    —    —   
  Amounts due to bankers and short-term loans     858,4    —    —    —   
  Property, plant and equipment     (11,5)   (69,1)   (6,2)   —   
  Intangible assets     (10,0)   (1,6)   (6,0)   —   
  Deferred taxation     50,6    10,2     —    —   
  Net cash on hand at time of the acquisition     (73,7)   (8,2)   —    —   
  Long-term liabilities     700,7    24,1    0,2    —   
  Goodwill on previous acquisitions     —    (25,2)   —    —   
  Outside shareholders’ interest     —    (26,9)   —    —   
  Goodwill on acquisitions     (137,1)   (20,5)   —    —   
  Attributable share of net assets at date of acquisition (decrease in investment in associates)     279,9    —    —    —   
  Shares purchased     —    —    (437,9)   (35,8)  
  Cost of investment     (483,9)   (120,0)   (463,5)   (35,8)  
  Net cash on hand at time of the acquisition     73,7    8,2     —    —   
  Amounts due to bankers and short term loans at time of acquisition     (858,4)   —    —    —   
  Loan taken over from the seller     219,0    —    —    —   
  Loans contributed by non-controlling shareholder     1,0    —           
  Net cash paid     (1 048,6)   (111,8)   (463,5)   (35,8)  
 
 
    Back to top