2014 Financial Statement

EDC 2014 Performance Report
structured approach to measuring and recognizing revenue. The new revenue standard is
applicable to all entities and will supersede all current revenue recognition requirements under
IFRS. Either a full or modified retrospective application is required for annual periods
beginning on or after 1 January 2017 with early adoption permitted. The Company is currently
assessing the impact of IFRS 15 and plans to adopt the new standard on the required effective
date once adopted locally.
5.
Discontinued Drilling Operations
In October 2012, the Company discontinued its drilling services to Lihir in Papua New Guinea.
Following are the results of the operations of the drilling component for the year ended
December 31, 2012:
Revenue ₱660,681,295
Cost of drilling services:
Purchased services and utilities (242,739,844)
Rental, insurance and taxes (150,270,290)
Repairs and maintenance (64,518,763)
Parts and supplies issued (34,198,258)
Business and related expenses (3,614,955)
Depreciation (1,259,855)
Personnel costs (310,177)
(496,912,142)
General and administrative expenses:
Depreciation (17,838,394)
Purchased services and utilities (2,675,127)
Parts and supplies issued (1,749,986)
Personnel cost (1,285,920)
Rental, insurance and taxes (886,126)
Business and related expenses (575,725)
Repairs and maintenance (137,900)
(25,149,178)
Other income (charges):
Foreign exchange gains 733,689
Others (74,457)
659,232
Income before income tax 139,279,207
Income before income tax
(Note 28) (41,783,762)
Net income from discontinued operations ₱97,495,445
Net income from discontinued operations is entirely attributable to equity holders of the Parent
Company.
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