for the year ended 30 September 2011
 

Notes to the cash flow statements

 
 
      Group   Company
      2011  
Rm  
  Restated  
2010  
Rm  
  2011  
Rm  
  2010  
Rm  
A.   Reconciliation of profit before taxation to cash generated from operations before working capital changes                  
  Profit before taxation     1 778,7     1 288,0     1 925,4     960,7  
  Adjusted for:                  
  Abnormal item     (346,4)    34,0     (333,6)    –  
  Interest received1     (46,9)    (65,0)    (24,4)    (9,2) 
  Interest paid1     6,6     7,2     2,6     3,0  
  Dividends received     (0,6)    (1,4)    (1 172,6)    (457,3) 
  Depreciation of property, plant and equipment     95,3     96,4     33,3     35,9  
  Amortisation of intangible assets     26,5     16,3     8,0     1,9  
  Impairment of property, plant and equipment     –     5,6     –     5,6  
  Share option expense     21,2     16,5     0,3     2,0  
  Profit on sale of shares in terms of BEE transaction     –     –     –     (99,0) 
  IFRS 3 profit on acquisition of subsidiary     –     (8,2)    –     –  
  Net (profit)/loss on disposal of property, plant and equipment     (2,1)    0,1     0,1     0,5  
  Movement in provisions     (24,2)    2,3     (11,5)    3,1  
  Other non-cash movements     3,5     10,0     (4,3)    (1,5) 
  Cash generated from operations before working capital changes     1 511,6     1 401,8     423,3     445,7  
B.   Working capital changes                  
  Inventory and contracts in progress     1,8     (130,0)    73,2     (58,0) 
  Accounts receivable and derivative assets2     184,4     356,3     5,7     65,0  
  Trade and other payables and derivative liabilities     (138,5)    92,0     (58,6)    (0,7) 
  Working capital changes     47,7     318,3     20,3     6,3  
C.   Reconciliation of taxation paid to the amounts disclosed in the income statement as follows:                  
  Net amounts overpaid/(unpaid) at beginning of year     9,8     (6,4)    4,6     21,3  
  Current taxation per the income statement     (456,8)    (395,9)    (194,4)    (140,4) 
  Taxation charge on transaction with BEE partner     –     (2,0)    –     –  
  Taxation provisions of subsidiaries purchased     –     6,2          
  Net amounts unpaid/(overpaid) at end of year     8,2     (9,8)    0,9     (4,6) 
  Cash amounts paid     (438,8)    (407,9)    (188,9)    (123,7) 
D.   Reconciliation of cash dividends paid to the amounts disclosed in the statements of changes in equity as follows:                  
  Dividends per the statement of changes in equity     (494,3)    (456,0)    (590,1)    (503,2) 
  Dividends paid to non-controlling interests     (4,2)    (0,8)    –     –  
  Cash amounts paid     (498,5)    (456,8)    (590,1)    (503,2) 
 
1 The information for 2010 has been restated. Had it not been restated the group’s results would have been: net interest received (R97,0 million) and the company’s results would have been: net interest received (R6,2 million).  
2 The movement in Quince accounts receivable in 2010 of R235,3 million has been included in the prior year accounts receivable and derivative assets of R121,0 million to reflect the R356,3 million.  
   
E.   Analysis of disposal of subsidiaries and businesses:                  
  Inventory     –     –     7,7     14,7  
  Accounts receivable     –     –     14,3     6,9  
  Trade and other payables and provisions     –     –     (3,6)    (5,3) 
  Property, plant and equipment     –     –     0,2     1,5  
  Intangible assets     –     –     0,1     0,2  
  Existing goodwill     –     –     4,9     –  
  Proceeds on disposal     –     –     23,6     18,0  
F.   Analysis of acquisition of subsidiaries and businesses:                  
  Shares acquired     –     –     –     112,2  
  Deferred taxation     (13,2)    7,2     (7,8)    1,0  
  Property, plant and equipment     41,1     23,7     34,8     14,5  
  Intangible assets     55,9     –     33,6     0,1  
  Inventory     22,2     36,1     5,2     47,2  
  Accounts receivable     128,5     164,1     54,3     121,3  
  Taxation     –     6,2     –     –  
  Trade and other payables and provisions     (90,8)    (80,0)    (68,9)    (87,3) 
  Amounts due to bankers and short-term loans     –     (168,1)    –     –  
  Fair value of assets and liabilities acquired     143,7     (10,8)    51,2     209,0  
  Purchase consideration still owing to previous owners     (90,9)    –     (1,9)    –  
  Purchase consideration     (215,6)    (12,2)    (171,0)    (262,7) 
  Goodwill arising on acquisition     (162,8)    (23,0)    (121,7)    (53,7) 
  Settled by:                  
  Cash paid     (213,6)    (12,2)    (171,0)    (162,7) 
  Purchase consideration     (306,5)    (12,2)    (172,9)    (262,7) 
  Less: purchase consideration still owing to previous owners     90,9     –     1,9     –  
  Less: loans contributed by non-controlling shareholders     2,0     –     –     –  
  Less: non-cash preference share deal in terms of BEE transaction     –     –     –     100,0  
  Less: amounts due to bankers and short-term loans     –     (168,1)    –     –  
  Net cash flow on acquisition of subsidiaries and businesses     (213,6)    (180,3)    (171,0)    (162,7)