- Explanation and interpretation of the statement of cash flows to which items provide and consume the most cash by examining and interpreting each line of the statement of account.
Aluminium Bahrain B.S.C. CONSOLIDATED STATEMENT OF CASH FLOWS For the year ended 31 December 2019 Note 2019 BD '000 2018 BD 4000 5,581 60,283 64,825 1,556 CASH FLOWS FROM OPERATING ACTIVITIES Profit for the year before tax Adjustments for: Depreciation and amortisation Provision for employees' end of service benefits Provision for slow moving inventories (Reversal provision for impairment of receivables - net Changes in fair value of derivative financial instruments Loss on disposal of property, plant and equipment Interest income Forex gain on revaluation of loans and borrowings Finance costs 52 80,345 1,581 92 (253) 5,426 4,269 (791) (5,822) 22,458 4,081 (2,699) 1,043 (537) (15,803) 1,146 112,886 113,947 Operating profit before working capital changes Working capital changes: Inventories Trade and other receivables Trade and other payables (refer to note (ii) below) 44,982 (24,680) 58,134 (67.704) 29,306 112,478 17(a) Cash generated from operations Employees' end of service benefits paid Income tax paid Net cash flows generated from operating activities 191,322 (1,631) (33) 189,658 188,027 (1,443) (528) 186,056 72 537 CASH FLOWS FROM INVESTING ACTIVITIES Acquisition of property, plant and equipment (refer to note (below) (299,430) (525,845) Proceeds from disposal of property, plant and equipment 125 Interest received 22 791 Net cash flows used in investing activities (298,567) (525,183) CASH FLOWS FROM FINANCING ACTIVITIES Borrowings availed 1,460,256 522,212 Borrowings repaid (1,319,644) (91,032) Interest on loans and borrowings and leases (refer to note (ii) below) (53,122) (26,976) Leases liabilities paid (refer to note (iii) below) (831) Dividends paid (36,720) Purchase of treasury shares (2,530) (5,769) Proceeds from resale of treasury shares 2,252 3,810 Net cash flows generated from financing activities 86,381 365,525 NET (DECREASEY/INCREASE IN CASH AND CASH EQUIVALENTS (22,528) 26,398 Bank balances and cash at 1 January 103,857 77,459 CASH AND CASH EQUIVALENTS AT 31 DECEMBER 81,329 103,857 Non-cash items: (1) Non-cash effects of right of use assets amounting to BD 6,952 thousand, recognised as a result of the initial application of IFRS 16, were excluded from aquisition of property, plant and equipment (2018: Nil). (ii) The Group had movements in unpaid interest on borrowings amounting to BD 3,617 thousand which was excluded from the movement in trade and other payables (2018: BD 4,829 thousand). ii) Effective 01 January 2019, the Group has, on adoption of IFRS 16, classified cash payment for principal portion of lease liabilities under financing activities. Comparative information has not been restated. The attached notes 1 to 31 form part of these consolidated financial statements. Aluminium Bahrain B.S.C. CONSOLIDATED STATEMENT OF CASH FLOWS For the year ended 31 December 2019 Note 2019 BD '000 2018 BD 4000 5,581 60,283 64,825 1,556 CASH FLOWS FROM OPERATING ACTIVITIES Profit for the year before tax Adjustments for: Depreciation and amortisation Provision for employees' end of service benefits Provision for slow moving inventories (Reversal provision for impairment of receivables - net Changes in fair value of derivative financial instruments Loss on disposal of property, plant and equipment Interest income Forex gain on revaluation of loans and borrowings Finance costs 52 80,345 1,581 92 (253) 5,426 4,269 (791) (5,822) 22,458 4,081 (2,699) 1,043 (537) (15,803) 1,146 112,886 113,947 Operating profit before working capital changes Working capital changes: Inventories Trade and other receivables Trade and other payables (refer to note (ii) below) 44,982 (24,680) 58,134 (67.704) 29,306 112,478 17(a) Cash generated from operations Employees' end of service benefits paid Income tax paid Net cash flows generated from operating activities 191,322 (1,631) (33) 189,658 188,027 (1,443) (528) 186,056 72 537 CASH FLOWS FROM INVESTING ACTIVITIES Acquisition of property, plant and equipment (refer to note (below) (299,430) (525,845) Proceeds from disposal of property, plant and equipment 125 Interest received 22 791 Net cash flows used in investing activities (298,567) (525,183) CASH FLOWS FROM FINANCING ACTIVITIES Borrowings availed 1,460,256 522,212 Borrowings repaid (1,319,644) (91,032) Interest on loans and borrowings and leases (refer to note (ii) below) (53,122) (26,976) Leases liabilities paid (refer to note (iii) below) (831) Dividends paid (36,720) Purchase of treasury shares (2,530) (5,769) Proceeds from resale of treasury shares 2,252 3,810 Net cash flows generated from financing activities 86,381 365,525 NET (DECREASEY/INCREASE IN CASH AND CASH EQUIVALENTS (22,528) 26,398 Bank balances and cash at 1 January 103,857 77,459 CASH AND CASH EQUIVALENTS AT 31 DECEMBER 81,329 103,857 Non-cash items: (1) Non-cash effects of right of use assets amounting to BD 6,952 thousand, recognised as a result of the initial application of IFRS 16, were excluded from aquisition of property, plant and equipment (2018: Nil). (ii) The Group had movements in unpaid interest on borrowings amounting to BD 3,617 thousand which was excluded from the movement in trade and other payables (2018: BD 4,829 thousand). ii) Effective 01 January 2019, the Group has, on adoption of IFRS 16, classified cash payment for principal portion of lease liabilities under financing activities. Comparative information has not been restated. The attached notes 1 to 31 form part of these consolidated financial statements
