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In an ever-evolving logistics industry, increasing efficiency and agility are critical to competing effectively. We are organising ourselves more effectively as ‘One Imperial’, with a focus on delivering our strategy and preparing for a post-Covid-19 world.
Imperial delivered strong results in the first half of F2020, with challenging economic and market conditions dominating the second half, particularly in South Africa and Germany. Covid-19 restrictions imposed across all regions exacerbated the tough environment, severely reducing volumes across most sectors. However, new contract gains and acquisitions offset the impact of lower volumes to some extent. While revenue from continuing operations in H2 F2020 increased by 7%, mainly due to the benefits of these contract gains and acquisitions, continuing operating profit for H2 F2020 was down R1,1 billion in H2 F2019. This was largely due to the negative impact of Covid-19 on trading performance and the associated once-off costs of reducing fixed overheads, and further restructuring mainly in South Africa.
During the second half of the year, we focused on closely managing our cash flows, overhead costs and capital position to maintain the strength of our balance sheet in view of the ongoing uncertainty and to mitigate the impact of Covid-19. Despite these economic challenges, we grew revenue from continuing operations, generated good free cash flow, maintained a strong balance sheet and made significant strategic progress.
We incurred once-off costs of around c.R40 million to reduce fixed overheads and further rationalise, consolidate and restructure our portfolio, the benefits of which will be realised from F2021 onwards. We also successfully concluded the sale of our European shipping business, realising R3,4 billion in proceeds. Our net debt:EBITDA following the receipt of the proceeds of this disposal on 31 July 2020 is 1,6 times, converting foreign EBITDA using the spot rate at year-end, well below our banking covenants of 3,25 times, further bolstering our financial position and freeing up capital to invest in the group’s strategic initiatives.
Our strategic transformation journey is well underway, with the aim of organising and positioning Imperial based on the solutions we offer to our clients, which leverage our capabilities and competitive advantages, and less so on regions. From 1 July 2020, Imperial’s operating model comprises three businesses: Market Access, Logistics Africa and Logistics International. For IFRS reporting, our primary segmentation for this financial year remains our regional disclosure.
Group performance against medium-term guidance
|F2020||Medium-term guidance (over three years)|
|Revenue and operating profit||5% revenue growth
40% decrease in operating profit
|Cash conversion continuing capex||72%||Targeted cash conversion of 70% to 75%|
|Debt capacity||R4 billion to R5 billion (post-European shipping proceeds)||R3 billion to R5 billion|
|Net debt: EBITDA used for bank covenant calculation (excluding IFRS 16)||
|ROIC||4,9% (WACC: 7,6%)||WACC + 3%|
|Dividend||Interim dividend of 167 cents; no final dividend||Will be reviewed – depending on prevailing market conditions|
|Net working capital||5,1% of revenue||4% to 5% of revenue|
In an ever-evolving logistics industry, increasing efficiency and agility is required to compete effectively. In the past few years, Imperial has undertaken significant corporate activity to refine the group's strategic focus and positioning, including the unbundling of Motus and the disposal of non-strategic and underperforming businesses. The transformation of the group from a regional portfolio of businesses to an integrated logistics group, will build on this progress, requiring significant investment in the right organisational structure, processes, systems, people and culture to support longer-term sustainable and profitable growth.
We want the finance function to be a strategic business partner that uses data-backed insights obtained through analysis, harmonised data, industry leading technology and best-in-class processes to assist our stakeholders with their decision making, while maintaining robust control and oversight over our processes.
|Current state of||...to a future state of...|
|Increased cost to serve||Shared services centre for core common processes to reduce cost to serve across our business|
|Lowering enterprise productivity||Best-fit technology and automation to reduce manual effort and improve productivity|
|Disparate ways of working||Harmonised processes across core finance functions, promotes consistency, reduces risks and improves compliance|
|Limited financial visibility||Transparency and visibility of financial, and operational data drives quicker and improved decision making, faster financial close and improved financial compliance|
|Limited business agility||Consolidate solution footprint in cloud to integrate acquisitions and launch new products/services faster enabling growth|
The finance function plays a key enabling role in supporting strategic delivery. We have identified three focus areas to deliver additional value – supporting insight-driven decision making powered by right-time data and analytics, driving excellence in our finance operations and service provision, and enhancing financial integrity, risk management and compliance.
|From bottom line to
|Brilliant basics as a
|Eating the elephant
one bite at a time
To achieve our objectives, we have planned a multi-step journey that will shift our culture from being inward, financially focused and siloed to being a strategic business partner supporting our businesses and divisions.
Short to medium term
BUILD THE CORE, PROVE WITH A PILOT
OF THE FUTURE
|Simple, standard sustainable||Enable value realisation||Realise the value||Innovation, digitalisation and sustainable growth|
We are implementing a group-wide finance solution to ensure that the group is equipped with the appropriate foundational systems and processes necessary for strategic execution. This has entailed designing a finance operating model that supports our transformation by setting up centres of excellence and shared services, which will aggregate all central services on a single business support platform for the group.
In the short term, we will deploy ‘One Imperial’ finance platform to standardise finance processes across the group and provide opportunity for automation and technology enhancements that leverage artificial intelligence to drive operational efficiencies. These investments will not only free up our people from manual work, allowing them to work more strategically, but will also promote enhanced compliance and support our overall control environment.
As we build forward looking finance functions across the group that provide strategic business decision support, using a streamlined system architecture that provides insights through right-time data, we anticipate better strategic decision making and improved operational efficiency.
The following strategic drivers will guide the ‘One Imperial’ Finance operating model:
We will transform from an accounting-driven organisation into business value architects
We will deliver group-wide services independently of businesses or functions
We will accommodate global and regional characteristics through standardised archetypes based on our business
We will use digital tools and technologies and leverage automation
We will leverage our partner ecosystem to source capabilities and to drive value at speed
We will optimise decision making by leveraging right-time data to make the right business decisions
We will use industry recognised language, processes and roles where possible
We will accommodate new ways of working agilely with stakeholders
We will embrace a culture of cost efficiency, cost transparency and value creation
We will reinforce governance and financial control through leading policies and platform solutions
We will structurally organise to support a self-directed and empowered workforce
We will increase collaboration across businesses, functions and finance
Despite challenges posed by Covid-19, our balance sheet management remains resilient, with sufficient headroom and capacity. The pandemic had a significant impact on our earnings, largely in South Africa and the Eurozone, and our efforts to maintain strict cash flow, working capital and overall balance sheet management have ensured that we have not breached any of our debt covenants and have generated positive cash flows. We proactively engaged with a number of our lessors to negotiate extended lease agreements, and with our debt providers to keep them informed, and manage the ongoing uncertainty created by Covid-19 and the potential impact on our debt covenants.
Our cash and liquidity position remains strong with R13,2 billion of available facilities and cash post the proceeds of the European shipping disposal. Net debt (excluding lease obligations and before the receipt of the European shipping disposal proceeds) of R8,4 billion increased by 47% compared to June 2019 mainly due to investment in capital expenditure, acquisitions and foreign exchange translations at the end of the year when converting foreign debt to Rand.
We have continued to focus on reducing our fixed overheads, these being people, infrastructure and IT systems, and releasing capital in underperforming and non-core businesses. Our international operations have been significantly restructured to reduce the central overhead, and we continue to work on reducing our fixed overhead in South Africa. Imperial announced the sale of the European shipping business on 4 May 2020, while retaining our interest in the South American shipping business (still available for sale). This transaction was concluded on 31 July 2020 and more detail is provided in the financial performance section that follows.
Our ability to optimise our capital allocation to achieve our strategy within our means and risk tolerances, is crucial to delivering growth in the long term. Creating a leaner and more efficient structure and investing to drive a ‘One Imperial’ brand and culture, will enable responsive and responsible capital allocation that is forward looking and aligned with our strategic direction. We will prioritise capital allocation, based on detailed scenario analysis, to fund organic growth and be the ‘Gateway to Africa’, focusing on working capital in our market access solution, as well as investing in technology and data to deepen our digital capabilities.
Due to the uncertainty created by Covid-19 and the possibility of reintroduced restrictions, we will remain focused on maintaining our resilience by closely monitoring and managing our balance sheet and cash flows, and reducing our cost base where possible until we have more certainty about the trading environment.
This is a difficult and demanding time for many as the Covid-19 pandemic continues.
Many of our markets are facing increasing uncertainty and volatility, being in various levels of lockdown and restrictions. We therefore anticipate the impact of the Covid-19 pandemic to significantly impact our operations and performance in the short term.
At this stage, for F2021, subject to stable currencies, steady recovery in volumes and revenue on the back of easing Covid-19 restrictions, and a recovery in economies in which we operate from current levels, we expect Imperial’s continuing operations (excluding businesses held for sale) to deliver:
The balance sheet of the business remains sound, with sufficient headroom in terms of capacity and liquidity to facilitate our strategic growth aspirations.
The payment of a dividend will be reassessed at the interim results in February 2021, based on trading conditions for the next six months.
We will find our new normal in a post-Covid-19 world and be agile enough to scale our business accordingly. We will continue to leverage cost efficiencies, with selected capital expenditure while right sizing our businesses where appropriate.
Summarised consolidated statement of profit or loss
for the year ended 30 June 2020
|Revenue||5||46 380||44 039|
|Net operating expenses||(42 282)||(39 423)|
|Profit from operations before depreciation and recoupments||(11)||4 098||4 616|
|Depreciation, amortisation, impairments and recoupments||(2 639)||(2 203)|
|Operating profit||(40)||1 459||2 413|
|Impairment to properties net of recoupments||(194)||(6)|
|Amortisation and impairment of intangible assets arising on business combinations||(393)||(400)|
|Foreign exchange gain (loss)||93||(47)|
|Other non-operating items||52||(1 111)|
|Profit before net finance costs||1 017||849|
|Net finance cost||26||(762)||(605)|
|Profit before share of results of associates and joint ventures||255||244|
|Share of results of associates and joint ventures||22||39|
|Profit before tax||277||283|
|Income tax expense||(159)||(386)|
|Profit (loss) for the year from continuing operations||118||(103)|
|DISCONTINUED OPERATIONS||(344)||3 683|
|Net loss from CPG||(305)||(1 923)|
|Net loss (profit) from the European shipping business||(39)||214|
|Net profit from Motus Holdings Limited (Motus)||5 392|
|Net (loss) profit for the year||(226)||3 580|
|Net profit (loss) attributable to:|
|Owners of Imperial||(303)||3 438|
|– Continuing operations||42||(232)|
|– Discontinued operations||(345)||3 670|
|– Continuing operations||76||129|
|– Discontinued operations||1||13|
Operating profit from continuing operations decreased by 40%, negatively impacted by Covid-19 across all businesses and markets in which we operate.
The R6 million decrease in profit before tax to R277 million is mainly attributed to:
Other non-operating items mainly comprised gains on the remeasurement of the put option liability and contingent consideration liability offset partially by goodwill impairments which arose mainly due to higher discount rates used in valuations, and the net loss on the sale of businesses during the year.
Significant contributors to the higher effective tax rate were deferred tax assets that were not recognised for some loss-making entities.
The loss from discontinued operations comprises CPG and the European shipping business in the current financial year and Motus, the European shipping business and CPG in the prior financial year.
The decrease in non-controlling interests is mainly due to weaker performances across most businesses but mostly impacted by an increase in the share of losses in Pharmed, a decrease in the share of income from Surgipharm and non-controlling share of losses in MDS Logistics.
Pro forma earnings and headline earnings per share
for the year ended 30 June 2020
|BASIC EARNING PER SHARE|
|Earnings (loss) per share||(109)||(161)||1 773|
|Imperial Logistics||(84)||(161)||(1 008)|
|Discontinued operations (CPG)||(84)||(162)||(992)|
|Discontinued operations (Shipping)||(21)||104|
|Discontinued operations (Motus)||2 781|
|Headline earnings (loss) per share^||(84)||105||663|
|Discontinued operations (CPG)||(63)||(161)||(433)|
|Discontinued operations (Shipping)||110||106|
|Discontinued operations (Motus)||542|
|~ Restated for adoption of IFRS 16 – Leases and re-presented for the European shipping business as a discontinued operation in terms of IFRS 5 – Non-current Assets Held For Sale and Discontinued Operations.
^ 2019 HEPS re-presented for the early adoption of Headline Earnings Circular 1/2019.
at 30 June
|Goodwill and intangible assets||5||7 084||6 719|
|Investment in associates and joint ventures||(62)||198||520|
|Property, plant and equipment||26||3 326||2 647|
|Transport fleet||(2)||5 186||5 309|
|Right-of-use assets||13||5 422||4 780|
|Investments and other financial assets||20||271||225|
|Net working capital||(61)||544||1 389|
|Net assets of disposal group and discontinued operations||839||2 781||296|
|Retirement benefit obligation||(17)||(1 109)||(1 343)|
|Net debt excluding lease obligations||47||(8 391)||(5 697)|
|Lease obligations||2||(6 080)||(5 969)|
|Other financial liabilities||32||(1 415)||(1 075)|
|Net income tax assets||27||455||359|
|Total shareholders’ equity||8 272||8 160|
|Total assets||18||42 526||36 060|
|Total liabilities||23||(34 254)||(27 900)|
|Net debt:equity % (excluding lease obligations)||101,4||69,8|
|Net debt:equity % (including lease obligations)||174,9||143,0|
|~ Restated for the adoption of IFRS 16 – Leases and IFRIC 23 – Uncertainty over Income Tax Treatments.|
The significant variances on the financial position at 30 June 2020 when compared to 30 June 2019 are explained as follows:
Movement in total equity for the 12 months to 30 June 2020
Total equity of R8 272 million decreased by R375 million from R8 647 million previously reported on 30 June 2019.
The following table details the changes in equity during the year:
|Decrease in equity for the period to June 2020||Rm|
|IFRS 16 adjustment to opening equity at 1 July 2019~||(487)|
|Net profit attributable to Imperial shareholders||(303)|
|Net profit attributable to non-controlling interests||77|
|Increase in the foreign currency translation reserve||1 004|
|Decrease in the hedge accounting reserve||(29)|
|Revaluation of retirement benefit obligation, net of tax||(66)|
|Movement in share-based reserve net of transfers to retained earnings||37|
|Ordinary dividend paid||(530)|
|Repurchase of Imperial Logistics shares||(225)|
|Non-controlling interest acquired, net of disposals and shares issued||329|
|Net decrease in non-controlling interests through buyout||(54)|
|Non-controlling share of dividends||(128)|
|~ Restated for the adoption of IFRS 16 – Leases and IFRIC 23 – Uncertainty over Income Tax Treatments.|
Pro forma cash flow summary to June 2020 including CPG and European shipping in both periods excluding Motus in the comparative period
|Cash flows from operating activities|
|Cash generated by operations before movements in net working capital||4 536||5 239|
|Movements in net working capital||559||(21)|
|Cash generated by operations before interest and taxes paid||5 095||5 218|
|Net interest paid||(918)||(894)|
|Cash generated by operations||3 810||3 744|
|Cash flows from investing activities|
|Net acquisition of subsidiaries and businesses||(276)||(25)|
|Expansion from capital expenditure||(747)||(471)|
|Net replacement capital expenditure||(735)||(623)|
|Net movement in other associates and joint ventures||45||286|
|Net movement in investments, loans and non-current financial instruments||(59)||(169)|
|Cash utilised in investing activities||(1 772)||(1 002)|
|Cash flows from financing activities|
|Hedge cost premium paid||(2)||(161)|
|Settlement of interest-rate swap instruments||(11)||(13)|
|Repurchase of ordinary shares||(225)||(262)|
|Cash paid on change in non-controlling interests||(277)||(137)|
|Capital raised from non-controlling interests||200|
|Settlement of non-redeemable, non-participating preference shares||(378)|
|Payment of lease obligations||(2 032)||(1 684)|
|Cash utilised in financing activities||(3 205)||(3 227)|
|Movement in net debt before currency adjustments||(1 167)||(485)|
|Free cash flow||1 043||1 437|
| * For the cash flows including Motus in the prior year, please refer to the AFS online. The cash flows relating to Motus that have been excluded are operating cash outflow of R1 343 million,
investing cash outflow of R231 million and financing cash outflow of R1 498 million.
^ Restated for IFRS 16 – Leases.
The balance sheet movement in net debt of R2 694 million includes currency movements of R1 327 million and other non-cash movements that are excluded from the cash flow movement of R1 167 million.
The following are the significant cash flow items:
The cash flow benefited from an inflow arising from movements in other associates and joint ventures mainly due to the sale of associates in the South African division during the period.
Free cash flow (post-maintenance capex and including discontinued operations) generation was resilient despite a decrease to R1 043 million from R1 437 million in the prior year. Free cash outflow from discontinued operations of R261 million (2019: R507 million) is included. Free cash flow (post-maintenance capex and excluding discontinued operations) decreased to an inflow of R1 304 million from a cash inflow of R1 944 million in F2019. This resulted in a continuing free cash flow to continuing headline earnings ratio of 4,42 times.
The group's liquidity position remains strong with R13,2 billion of unutilised banking facilities, following the receipt of the proceeds from the disposal of the European shipping business. In total, 76% of the group debt is long term in nature and 57% of the debt is at fixed rates.
An interim cash dividend of 167 cents per ordinary share was declared in the first half and paid to shareholders in March 2020. Our targeted payout ratio is 45% of continuing HEPS, subject to prevailing circumstances. As the interim dividend (paid from prior year reserves) was more than continuing HEPS for the full financial year to 30 June 2020 – and exceeding the targeted payout ratio – a final dividend was not declared. Therefore, the total cash dividend for F2020 is 167 cents per share (F2019: 244 cents per share).
George de Beer
Group chief financial officer
|PROFIT OR LOSS|
|Revenue||46 380||44 039||48 565||118 567||118 849|
|Operating profit||1 459||2 413||2 868||6 538||6 382|
|Net financing costs||(762)||(605)||(569)||(1 680)||(1 440)|
|Share of result of associates and joint ventures||22||39||56||103||138|
|Income tax expense||(159)||(386)||(620)||(1 060)||(1 221)|
|Tax rate (%)||62,2||158,3||35,6||30,1||28,6|
|Net profit attributable to non-controlling interests||76||129||168||(36)||184|
|Headline earnings||295||870||1 139||2 700||2 994|
|Cash generated by operations (before capital expenditure on rental assets, net financing costs and tax paid)||5 095||5 332||3 336||9 076||8 143|
|Cash flow from investing activities (including capital expenditure on rental assets)||(1 772)||(1 233)||960||(3 648)||(3 199)|
|Net debt (raised) repaid||(1 167)||(3 557)||1 472||437||(1 657)|
|Payment of lease obligations||2 032||1 684||–||–||–|
|Free cash flow||1||1 043||1 437||1 420||4 296||2 536|
|Total assets||42 526||36 060||75 841||68 853||69 835|
|Operating assets||2||31 880||32 443||35 028||61 025||58 783|
|Operating liabilities||3||11 944||12 510||11 484||26 000||24 777|
|Net working capital||4||544||1 389||1 827||8 956||9 804|
|Net interest-bearing debt||5||8 391||5 697||5 198||15 088||15 279|
|Lease obligations||6 080||5 969||5 850|
|Imperial owners' interest||7 320||7 774||22 321||20 742||20 173|
|Non-controlling interest||1 218||913||886||667||909|
|Revenue to average net operating assets (times)||6||2,3||2,0||2,7||3,4||3,5|
|Revenue relating to sales of goods to average inventory (times)||7||5,0||4,8||4,2||4,0||4,4|
|Revenue to average net working capital (times)||48,0||27,4||25,8||12,6||12,5|
|Operating profit to average net operating assets (%)||8||7,3||11,1||15,9||18,9||19,0|
|Operating profit to average gross operating
|Operating margin (%)||9||3,1||5,5||5,9||5,5||5,4|
|Return on average shareholders' interest (%)||10||0,6||(1,5)||9,1||12,7||15,4|
|Return on invested capital (%)||11||4,9||7,6||12,4||12,4||12,8|
|Weighted average cost of capital (%)||12||7,6||8,5||8,5||9,0||9,5|
|Interest cover by operating profit (times)||1,9||4,0||5,0||3,9||4,4|
|Net interest-bearing debt to EBITDA (times)||2,0||1,2||1,5||1,7||1,7|
|Total equity to total assets (%)||19,5||22,6||33,8||29,4||28,4|
|Net interest-bearing debt as a percentage of total equity (%)||101,4||69,8||50,0||74,5||77,2|
|Free cash flow to net profit for the year (times)||8,84||(13,95)||1,20||1,67||0,80|
|Free cash flow to headline earnings (times)||13||3,54||1,65||1,25||1,59||0,85|
|Unutilised facilities||10 620||11 786||13 911||12 450||10 046|
|INVESTING IN THE FUTURE|
|Cost of new acquisitions||933||22||537||1 796||352|
|Net capital expenditure||1 482||1 273||507||2 663||4 138|
|Capital commitments||114||212||216||1 448||1 309|
|Number of transport fleet vehicles (owned)||5 068||6 520||7 596||7 288||7 238|
|Number of employees||25 232||27 463||29 944||49 364||51 256|
|Employee costs||10 517||9 749||10 351||16 623||16 528|
|Wealth created per employee||587||530||587||511||498|
|Total taxes and levies paid||14||347||564||779||1 510||1 661|
|Basic headline earnings per share (cents) continuing operations||156||448||585||1 390||1 552|
|Dividends per share (cents)||167||244||710||650||795|
|Earnings yield (%)||15||4,0||8,7||8,0||8,6||10,4|
|Price earnings ratio (times)||16||25,2||11,5||12,5||11,6||9,6|
|Net asset value per share (cents)||17||3 783||3 960||11 464||10 550||10 261|
|Market prices (cents)|
|– closing||3 933||5 143||19 589||16 100||14 948|
|Total market capitalisation at closing prices||18||7 948||10 350||39 564||32 384||31 118|
|Value of shares traded||12 674||30 675||45 495||34 198||37 985|
|Value traded as a percentage of average capitalisation (%)||139||123||126||108||111|
|Euro to Rand|
|US Dollar to Rand|
|British Pound to Rand|
|Nigerian Naira to Rand|
|Botswana Pula to Rand|
|1.||Free cash flow – calculated by deducting replacement capital expenditure and lease payments from the cash flow from operating activities.|
|2.||Operating assets – total assets less loans receivable, tax assets and assets of disposal group.|
|3.||Operating liabilities – total liabilities less interest-bearing borrowings, tax liabilities and put option liabilities.|
|4.||Net working capital – inventories plus trade, other receivables and contract assets less trade and other payables and provisions.|
|5.||Net interest-bearing debt – interest-bearing borrowings, less cash resources.|
|6.||Revenue to average net operating assets (times) – revenue divided by average net operating assets.|
|7.||Revenue relating to sales of goods to average inventory (times) – revenue relating to sales of goods divided by average inventory.|
|8.||Operating profit to average net operating assets (%) – operating profit divided by average net operating assets.|
|9.||Operating margin (%) – operating profit divided by revenue.|
|10.||Return on average ordinary shareholders' interest (%) – net profit attributable to owners of Imperial divided by average shareholders' interest (calculated by using the opening and closing balances) attributable to shareholders.|
|11.||Return on invested capital (%) – return divided by invested capital. Return is calculated by reducing the operating profit by a blended tax rate, which is an average of the actual tax rates applicable in the various jurisdictions in which we operate. Invested capital is a 12-month average of shareholders' equity plus non-controlling interests, plus net interest-bearing debt (interest-bearing borrowings long term and short term minus non-financial services cash and cash equivalents), plus lease obligations.|
|12.||Weighted average cost of capital (%) – calculated by multiplying the cost of each capital component by its proportional weight and then summing, therefore: ACC = (after tax cost of debt % multiplied by average debt weighting) + (cost of equity multiplied by average equity weighting).|
|13.||Free cash flow to headline earnings ratio – free cash flow divided by headline earnings.|
|14.||Total taxes and levies paid – made up of South African normal taxation, foreign taxation, rates and taxes, skills development and unemployment insurance fund levies.|
|15.||Earnings yield (%) – the headline earnings per share divided by the closing price per share.|
|16.||Price earnings ratio (times) – the closing price of a share divided by the headline earnings per share.|
|17.||Net asset value per share – equity attributable to owners of Imperial divided by total ordinary shares in issue net of shares repurchased (the deferred ordinary shares only participate to the extent of their par value of 0,04 cents).|
|18.||Total market capitalisation at closing prices (Rm) – total ordinary shares in issue before treasury shares multiplied by the closing price per share.|
for the year ended 30 June 2020
|Revenue||46 380||44 039|
|Paid to suppliers for materials and services||(31 577)||(29 496)|
|Total wealth created||14 803||14 543|
|Salaries, wages and other benefits (note 1)||10 517||71||9 749||67|
|Providers of capital||1 292||9||1 635||11|
|– Providers of debt||762||5||605||4|
|– Providers of equity||530||4||1 030||7|
|Government (note 2)||347||2||564||4|
|Reinvested in the group to maintain and develop operations||2 647||18||2 595||18|
|– Depreciation, amortisation, net of impairments and recoupments||2 639||2 203|
|– Future expansion||8||392|
|14 615||100||14 365||100|
|1.||Salaries, wages and other benefits|
|Salaries, wages, overtime, commissions, bonuses and allowances||9 440||8 813|
|Employer contributions||1 077||936|
|10 517||9 749|
|2.||Central and local governments|
|Withholding and secondary tax on companies||25||39|
|Rates and taxes||104||77|
|Skills Development Levy||34||36|
|Unemployment Insurance Fund||50||65|
|* Restated for IFRS 16 – Leases and for the European shipping business discontinued operations.|