Annual - Aramex

Consolidated statement of cash flows
for the year ended 31 December 2008
2008 2007
AED’000 AED’000
Cash flows from operating activities
Profit for the year before income tax
Adjustments for:
179,945 150,517
Depreciation 43,228 34,742
Amortization of intangible assets 717 862
Provision for doubtful debts (net) 9,981 6,751
Provision for employees’ end of service benefits 15,747 13,289
Net finance income (1,933) (3,938)
Loss on sale of property, plant and equipment 853 298
Profit on sale of investment (512) -
---------- ----------
Operating profit before working capital changes 248,026 202,521
Change in trade receivables (37,098) (64,248)
Change in other current assets (2,024) (17,655)
Change in trade payables (18,918) 14,555
Change in other current liabilities 53,643 20,515
Employees’ end of service benefits paid (2,970) (5,113)
Directors’ fees paid (1,400) (800)
---------- ----------
Cash generated by operations 239,259 149,775
Income tax paid (5,631) (7,815)
---------- ----------
Net cash from operating activities 233,628 141,960
---------- ----------
Cash flows from investing activities
Acquisition of property, plant and equipment (96,614) (97,828)
Proceeds from sale of property, plant and equipment 1,666 786
Acquisition of intangible assets - (742)
Consideration paid for acquisition of GDA Singapore - (1,635)
Adjustment to goodwill - (40)
Acquisition of minority interest (2,044) (5,907)
Proceeds from sale of available for sale investment 512 -
Change in other non-current assets (2,855) 6,953
Change in margin deposits (735) (1,383)
Interest income received 5,375 8,070
---------- ----------
Net cash used in investing activities (94,695) (91,726)
---------- ----------
Cash flows from financing activities
Interest paid (3,442) (4,132)
Net movement in bank borrowings (299) 6,078
Dividends paid to minority shareholders (20,035) (14,346)
Amount paid to former shareholders of Two Way - (16,522)
Net other movements in minority interest 1,495 1,270
---------- ----------
Net cash used in financing activities (22,281) (27,652)
---------- ----------
Net increase in cash and cash equivalents 116,652 22,582
Cash and cash equivalents at beginning of the year 212,602 190,447
Effect of exchange rate changes on cash held (6,526) (427)
---------- ----------
Cash and cash equivalents at end of the year (note 18) 322,728 212,602
====== ======
The notes on pages 10 to 38 are an integral part of these consolidated financial statements.
The independent auditors’ report is set out on page 4
Annual
Report 2008
7