Group Financial Statements/Auditors' Report - Pumpkin Patch ...

More documents

Recommendations

Info

PUMPKIN PATCH LIMITED & SUBSIDIARIES NOTES TO THE FINANCIAL STATEMENTS 31 JULY 2010 PUMPKIN PATCH LIMITED & SUBSIDIARIES NOTES TO THE FINANCIAL STATEMENTS 31 JULY 2010 4 NON-RECURRING EXPENSES continued (C) SUMMARY OF DISCONTINUED ACTIVITIES Consolidated - Year ended Parent - Year ended 31 July 2010 31 July 2009 31 July 2010 31 July 2009 $’000 $’000 $’000 $’000 Revenue ‐ US discontinued stores - 16,261 - - Operating Expenses ‐ US discontinued stores - (21,751) - - (Loss) from US discontinued operating activities - (5,490) - - Impairment of assets of discontinued stores - (12,098) - - Inventory write down - (15,019) - - Other expenses - (2,546) - - Income tax credit - 6,652 - - (Loss) from discontinued operations - (28,501) - - Loss before income tax includes the following specific expenses: Rental and operating lease expenses - (4,119) - - Salaries and wages - (4,087) - - Impairment of store assets - (12,098) - - Depreciation ‐ Computer and point of sale equipment - (50) - - Depreciation ‐ Shop fitouts - (1,395) - - Depreciation ‐ Office equipment and furniture & fittings - (337) - - Cash flow from discontinued activities: Cash flow from operating activities - (4,202) - - Net increase/(decrease) in cash generated by discontinued activities - (4,202) - - 5 SEGMENT INFORMATION Management has determined the operating segments based on the reports reviewed by the Board of Directors that are used to make strategic decisions. The Board considers the business from both a geographic and distribution perspective. Geographically, the Board considers the performance of retail operations in New Zealand, Australia, the UK and the US, while the performance of the Wholesale and Direct business is assessed as a whole. The following is an analysis of the Group’s revenue and results by operating segment. Revenue reported below represents revenue generated from external customers. There were no inter‐segment sales in the year (2009:nil). The accounting policies of the reportable segments are the same as the Group’s accounting policies described in note 2. Segment profit represents the profit earned by each segment without allocation of central administration costs, finance costs and income tax expense. (D) SUMMARY OF NON‐RECURRING EXPENSES Impairment of continuing stores ‐ United States - (10,247) - - Impairment of continuing stores ‐ United Kingdom - (6,377) - - Impairment of continuing stores ‐ Urban Angel - (163) - - Impairment of investment in subsidiary - - - (20,307) Total Impairment - (16,787) - (20,307) 20 years young 59
PUMPKIN PATCH LIMITED & SUBSIDIARIES NOTES TO THE FINANCIAL STATEMENTS 31 JULY 2010 PUMPKIN PATCH LIMITED & SUBSIDIARIES NOTES TO THE FINANCIAL STATEMENTS 31 JULY 2010 5 SEGMENT INFORMATION continued Australia Retail New Zealand Retail United Kingdom Retail United States Wholesale Retail & Direct Head Office Group 2010 $’000 $’000 $’000 $’000 $’000 $’000 $’000 Total revenue 198,276 58,908 52,455 19,138 53,217 204 382,198 Total segment result before non‐recurring expenses 38,705 11,310 (885) (2,685) 13,708 (22,393) 37,760 Non‐recurring expenses (note 4) - - - - - - - Total segment result before income tax 38,705 11,310 (885) (2,685) 13,708 (22,393) 37,760 Income tax - - - - - (12,258) (12,258) Profit for the year 38,705 11,310 (885) (2,685) 13,708 (34,651) 25,502 Segment total assets 57,986 19,567 26,199 6,030 21,449 47,358 178,589 Segment non‐current assets 23,664 5,546 8,787 270 - 34,984 73,251 Acquisitions of property, plant and equipment, intangibles and other non‐current segment assets 6,757 1,311 1,368 - 70 5,512 15,018 Depreciation and amortisation expense 4,229 1,045 1,482 - 47 4,607 11,410 Interest expense - - - - - 2,549 2,549 2009 Total revenue 203,426 64,357 59,200 22,825 62,540 197 412,545 Total segment result before non‐recurring expenses 38,469 11,125 (4,962) (9,289) 16,583 (24,543) 27,383 Non‐recurring expenses (note 4) - (163) (6,377) (10,247) - - (16,787) Total segment result before income tax 38,469 10,962 (11,339) (19,536) 16,583 (24,543) 10,596 Income tax (note 6) - - - - - (8,834) (8,834) (Loss) from discontinuing operations net of tax (note 4) - - - - - - (28,501) (Loss) for the year - - - - - - (26,739) Segment total assets 57,348 18,504 31,921 9,412 18,373 52,631 188,189 Segment non‐current assets 23,144 6,248 9,988 - 73 32,280 71,733 Acquisitions of property, plant and equipment, intangibles and other non‐current segment assets 3,686 719 1,708 583 73 4,961 11,730 Depreciation and amortisation expense 4,833 1,312 3,262 2,323 32 3,295 15,057 Interest expense - - - - - 5,144 5,144 The Group’s liabilities are not analysed on a segmental basis and therefore have not been reported. 6 INCOME TAX EXPENSE/(CREDIT) Consolidated - Year ended Parent - Year ended 31 July 2010 31 July 2009 31 July 2010 31 July 2009 $’000 $’000 $’000 $’000 (A) INCOME TAX EXPENSE/(CREDIT Current tax expense/(credit) 5,403 17,858 (1,405) 363 Prior period adjustment 210 31 93 1,025 Deferred tax (note 13) 6,371 629 240 116 Tax impact on equity - (9,835) - - Foreign tax credits not utilised 21 151 - - Effect of change in tax rate 3 - (92) - Adjustment for removal of building depreciation 250 - 250 - 12,258 8,834 (914) 1,504 (B) NUMERICAL RECONCILIATION OF INCOME TAX EXPENSE TO PRIMA FACIE TAX PAYABLE Profit before income tax expense 37,760 10,596 20,904 (19,556) Tax at other jurisdictions tax rate of 30% (2009 ‐ 30%) 11,328 3,179 6,273 (5,867) Adjustments to taxation for: Non‐assessable income - (1,143) (7,438) (38) Non‐deductible expenses 446 1,628 - 6,384 Non‐deductible impairment charge - 4,988 - - Prior period adjustment 210 31 93 1,025 Foreign tax credits not utilised 21 151 - - Effect of change in tax rate from 30% to 28% 3 - (92) - Adjustment for removal of building depreciation 250 - 250 - Income tax expense/(credit) 12,258 8,834 (914) 1,504 During the year, as a result of the change in the NZ corporate tax rate from 30% to 28% which was enacted on 27 May 2010 and which will be effective from 1 June 2011, the relevant deferred tax balances have been remeasured. Deferred tax expected to reverse in the year to 31 May 2012 or later has been measured using the effective rate that will apply for that period, being 28%. (C) UNRECOGNISED TAX LOSSES The Group has estimated tax losses to carry forward from: - Pumpkin Patch Limited (UK) of GBP 146,000 (NZD 314,000) (2009: GBP 1,002,000; NZD 2,532,000) which can be carried forward indefinitely to be offset against future profits; and - Pumpkin Patch LLC USD 16,302,000 (NZD 22,424,000) (2009: USD 15,426,000; NZD 23,617,000) which expire between 2026 and 2030. The Group operates in a number of tax jurisdictions where the tax rates range from 28% ‐ 34% (2009: 28% ‐ 34%). 20 years young 61
Page 1 and 2: PUMPKIN PATCH LIMITED & SUBSIDIARIE
Page 11: PUMPKIN PATCH LIMITED & SUBSIDIARIE

Group Financial Statements/Auditors' Report - Pumpkin Patch ...

You also want an ePaper? Increase the reach of your titles

Delete template?

Save as template?