Mainfreight Annual Report 2022

102 103
Notes to the FINANCIAL STATEMENTS
Notes to the FINANCIAL STATEMENTS
20 LEASES (CONTINUED)
NZ IFRS 16 Leases (continued)
Property
$000
2022 2021
Other
$000
Right of Use
Lease Assets
2022
$000
Property
$000
Other
$000
Right of Use
Lease Assets
2021
$000
Opening Book Value 525,846 42,110 567,956 541,806 73,444 615,250
Closing Book Value 537,067 48,903 585,970 525,846 42,110 567,956
Depreciation Charge for the Year 105,779 21,510 127,289 94,326 19,612 113,938
22 RECONCILIATION OF CASH FLOWS WITH REPORTED NET SURPLUS
Net Surplus After Taxation 355,397 188,110
Non-cash Items:
Depreciation and Amortisation 200,613 182,398
(Increase) / Decrease in Deferred Tax Asset 1,221 (3,423)
Increase / (Decrease) in Deferred Tax Liability 4,113 (83)
2022
$000
2021
$000
561,344 367,002
LEASE LIABILITIES CLASSIFIED IN THE BALANCE SHEET AS:
Current 121,136 118,158
Non-current 490,099 467,276
2022
$000
2021
$000
611,235 585,434
21 CONTRIBUTED EQUITY
Ordinary shares are classified as equity. Incremental costs directly attributable to the issue of new shares or options are shown in
equity as a deduction, net of tax, from the proceeds.
2022
Shares
2021
Shares
Authorised, Issued and Fully Paid Up Capital
Ordinary shares 100,698,548 100,698,548 85,821 85,821
Ordinary shares do not have a par value. All Ordinary shares have equal voting rights and share equally in dividends and any surplus
on winding up to the extent that they are paid up.
Capital Management
When managing capital, the Board of Directors' (the "Board") objective is to ensure the entity continues as a going concern as well as to
maintain optimal returns to shareholders and benefits for other stakeholders. The Board also aims to maintain a capital structure that
ensures the lowest cost of capital available to the entity. The capital structure of the Group consists of Shareholders' Equity and debt.
The Board is periodically reviewing and adjusting the capital structure to take advantage of favourable costs of capital. As the market
is constantly changing, the Board may change the amount of dividends to be paid to shareholders, return capital to shareholders,
issue new shares or sell assets to reduce debt.
The Board has no current plans to issue further shares on the market.
The Board monitors capital through the Group gearing ratio (net debt / net debt and equity).
Total Borrowings (excluding NZ IFRS 16 lease liabilities) 203,326 241,766
Less Cash and Cash Equivalents (202,258) (139,555)
Net Debt 1,068 102,211
Total Equity 1,429,269 1,115,046
NET DEBT AND EQUITY 1,430,337 1,217,257
2022
$000
2022
$000
2021
$000
2021
$000
Add / (Less) Movements in Other Working Capital
Items, Net of Effect of Acquisitions:
(Increase) / Decrease in Accounts Receivable (316,323) (68,407)
(Increase) / Decrease in Other Receivables 40,968 (16,402)
Increase / (Decrease) in Accounts Payable 206,559 95,873
Increase / (Decrease) in Interest Payable - (5)
(Increase) / Decrease in Interest Receivable - 1
Increase / (Decrease) in Taxation Payable 10,873 8,413
Increase / (Decrease) in Net GST 2,875 305
Adjustment for Movement in Exchange Rate (1,602) (9,897)
Less Items Classified as Investing Activity:
Net (Surplus) / Deficit on Sale of Fixed Assets (897) (601)
NET CASH INFLOW FROM OPERATING ACTIVITIES 503,797 376,282
Changes in Liabilities arising from financing activities
Asset
Finance
Loans
Current &
Non-current
$000
NZ IFRS 16
Current &
Non-current
$000
Year Ended 31 March 2022
Bank Term
Loan
$000
Bank
Current
$000
Total
$000
At 1 April 2021, Opening Book Value 210,000 - 31,766 585,434 827,200
New Borrowings 68,126 - 6,666 - 74,792
Repayments (94,992) - (9,732) - (104,724)
New Leases - - - 154,060 154,060
Lease Disposals - - - (2,141) (2,141)
Payments Net of Notional Interest Charge - - - (119,336) (119,336)
Foreign Exchange Impact (7,129) - (1,379) (6,782) (15,290)
AT 31 MARCH 2022, CLOSING BOOK VALUE 176,005 - 27,321 611,235 814,561
Gearing Ratio 0.1% 8.4%