2001 Annual Report - OneSteel

More documents

Recommendations

Info

Discussion and Analysis ofStatutory ResultsDISCUSSION AND ANALYSISThe discussion and analysis is provided to assist readers in understanding the Concise Financial Report.The Concise Financial Report has been derived from the Full Financial Report of OneSteel Limited.The OneSteel Limited consolidated entity (“the OneSteel Group”) consists of OneSteel Limited and its controlled entities.Many of the controlled entities were acquired over the period between June 2000 and October 2000 and the prior year’s financialstatements are therefore not comparable.The principal activities of the OneSteel Limited during the financial year comprised:• Mining of iron ore;• Production of steel; and• Manufacturing and distribution of steel products.OneSteel Limited prepares its consolidated financial statements on the basis of market value and historical cost, applying generallyaccepted accounting principles.A statement of significant accounting policies is set out in Note 1 of the notes to the Concise Financial Report.STATEMENT OF FINANCIAL POSITIONTotal assets increased by 60% to $2,710.8 million, due to the acquisition of controlled entities during the year.Total liabilities increased by 9% to $1,594.6 million. Loans from related parties were replaced by bank loans in preparation for theacquisition of controlled entities.The contributed equity increased by $935.9 million, reflecting the allotment of OneSteel shares for part consideration of the acquisition ofcontrolled entities and other businesses.STATEMENT OF FINANCIAL PERFORMANCEOneSteel Limited consolidated loss from ordinary activities after income tax and before extraordinary items for the financial year was($22.9 million) against a profit of $36.3 million in the previous year.The result for the 2001 year was adversely affected by a special restructuring charge of $51.5 million after tax.The restructuring charge comprises a provision for the closure of the Brisbane bar mill, and provisions of other restructuring activities.Sales Revenue was $2,564.6 million against $893.5 million in the previous period, entirely due to the acquisition of controlled entitiesduring the year.STATEMENT OF CASH FLOWSNet operating cash flow from operating activities was $43.5 million, or a 57% reduction from last year, reflecting the new structure of theentity, with increased borrowing costs and income taxes.Net cash outflow from investing activities, decreased by 15% over the previous year, mainly as a result of the sale of OneSteel investmentin Email Limited.The net cash flow from financing activities decreased by $95.4 million or 13% from the previous year. This was the net result of numeroustransactions to set up the new entity in its present form.DIVIDENDSThe directors have recommended and declared a final fully franked dividend for 2001 of 3.0 cents per share payable on18 October 2001.38
Statement of Financial PositionAT 30 JUNEConsolidated2001 2000$m $mCurrent AssetsCash assets 14.1 20.3Receivables 432.9 614.5Other financial assets 128.6 –Inventories 530.1 326.8Other 46.2 8.9Total Current Assets 1,151.9 970.5Non-Current AssetsOther financial assets 9.2 9.0Inventories 10.2 –Property, plant and equipment 1,224.2 518.3Intangibles 234.4 167.1Deferred tax assets 62.1 28.9Other 18.8 –Total Non-Current Assets 1,558.9 723.3Total Assets 2,710.8 1,693.8Current LiabilitiesPayables 444.4 1,275.0Interest bearing liabilities 154.8 37.9Tax liabilities – 21.6Other provisions 158.6 60.3Total Current Liabilities 757.8 1,394.8Non-Current LiabilitiesInterest bearing liabilities 621.7 3.9Deferred tax liabilities 136.7 30.2Other provisions 78.4 36.1Total Non-Current Liabilities 836.8 70.2Total Liabilities 1,594.6 1,465.0Net Assets 1,116.2 228.8EquityContributed equity 995.0 59.1Reserves 1.8 (1.4)Retained profits 67.3 123.6Parent entity interest 1,064.1 181.3Outside equity interests 52.1 47.5Total Equity 1,116.2 228.8The accompanying notes form an integral part of this Statement of Financial Position.39
Page 1 and 2: 2001 ANNUAL REVIEW
Page 3 and 4: CONTENTSOne Business 2Year One High
Page 5 and 6: ssVertically-Integrated OperationsO
Page 7 and 8: FINANCIAL HIGHLIGHTS - PRO-FORMA*Fi
Page 9 and 10: Inventories were managed down $106.
Page 11 and 12: Figure Two - OneSteel IntegrationWH
Page 13 and 14: Management StructureONESTEEL LIMITE
Page 15 and 16: Figure Ten - Other Manufacturing ($
Page 17 and 18: Map of OperationsCANADAYukonWhiteho
Page 19 and 20: Australian DistributionTHE BUSINESS
Page 21 and 22: OneSteel structural steel used for
Page 23 and 24: Human ResourcesSTANDING ALONEMuch o
Page 25 and 26: EnvironmentOneSteel Duragal product
Page 27 and 28: CommunityOneSteel recognises the im
Page 30 and 31: Corporate Governance (continued)Com
Page 32 and 33: Directors’ ReportDIRECTORSThe fol
Page 34 and 35: Directors’ Report (continued)Deta
Page 36 and 37: Discussion of Pro-forma ResultsPRO-
Page 38 and 39: Pro-forma Results12 months to 30 Ju
Page 42 and 43: Statement of Financial PerformanceF
Page 44 and 45: Notes to the Concise Financial Repo
Page 46 and 47: Notes to the Concise Financial Repo
Page 48 and 49: Directors’ DeclarationThe directo
Page 50 and 51: Shareholder Information (continued)
Page 53 and 54: 2001 FULL FINANCIAL REPORT
Page 55 and 56: Directors’ ReportDIRECTORSThe fol
Page 57 and 58: Directors’ Report (continued)Deta
Page 59 and 60: Statement of Financial PositionAT 3
Page 61 and 62: Statement of Cash FlowsFOR THE PERI
Page 63 and 64: Notes to the Financial StatementsNO
Page 87 and 88: Independent Audit ReportTo the Memb
Page 89 and 90: Shareholder Information (continued)
Page 91:
Company DirectoryDIRECTORSPeter Sme
show all

2001 Annual Report - OneSteel

Create successful ePaper yourself

Delete template?

Save as template?