Annual Report 2013 - Mainfreight

21 Contributed Equity (continued)
Capital Management (continued)
The Board monitors capital through the Group gearing ratio (net debt/total debt and equity).
2013
$000
Group
2012
$000
Total Borrowings 285,337 294,873
Less Cash and Cash equivalents (48,090) (46,187)
Net Debt 237,247 248,686
Total Equity 389,232 349,616
Total Debt and Equity 626,479 598,302
Gearing Ratio 37.9% 41.6%
22 Reconciliation of Cash Flows with Reported Net Surplus
2013
$000
Group
2012
$000
2013
$000
Parent
2012
$000
Net Surplus After Taxation 65,911 80,450 60,032 49,249
Non-cash Items:
Depreciation and Amortisation 30,433 32,073 9,572 8,652
Share Based Payments – 406 – 406
Earnout Reversal – (17,901) – –
(Increase)/Decrease in Deferred Tax Asset 230 (1,173) – –
Increase/(Decrease) in Deferred Tax Liability (3,764) (3,798) (537) 638
92,810 90,057 69,067 58,945
Add/(Less) Movements in Other Working Capital Items,
Net of Effect of Acquisitions:
(Increase)/Decrease in Accounts Receivable (8,572) 6,584 (1,746) 780
(Increase)/Decrease in Derivatives – 201 – –
Increase/(Decrease) in Accounts Payable 230 (19,656) 1,774 (3,993)
Increase/(Decrease) in Interest Payable (261) 993 (206) 590
(Increase)/Decrease in Interest Receivable 15 45 103 (497)
Increase/(Decrease) in Taxation Payable 758 (2,403) 4,904 (2,581)
Increase/(Decrease) in Net GST 350 425 (685) 200
Adjustment for Movement in Exchange Rate (1,029) 1,711 (6,961) –
Less Items Classified as Investing Activity:
Net (Surplus)/Deficit on Sale of Fixed Assets (1,126) (817) 7 29
Net (Surplus)/Deficit on Sale of Investments – – – –
Net Cash Inflow From Operating Activities 83,175 77,140 66,257 53,473
106 Mainfreight | Annual Report 2013