ABC Corporation
Annual Report
ABC Corporation Annual Report / Contents
Contents
Page
Independent Auditor’s Report 1
Management Discussion & Analysis (MD&A) 2
Statement of Financial Position 3
Statement of Comprehensive Income 4
Cash Flow Statement 5-6
Statement of Changes in Equity 7
Notes to the Financial Statements 8 - 10
ABC Corporation Annual Report / Statement of Financial Position
Statement of Financial Position
as at 31st December 20XX
Current Year Previous Year
USD in million Notes 20XX 20XX -1
ASSETS
Non-current assets
Property, plant and equipment 5 822 757
Intangible assets 6 39 4
Trade receivables 8 454 -
Deferred tax assets 11 70 91
Total non-current assets 1,385 852
Current assets
Inventories 7 2,135 1,577
Trade receivables 8 8,648 10,435
Receivables from related parties 21 1,662 1,219
Cash and cash equivalents 9 1,248 793
Total current assets 13,693 14,024
TOTAL ASSETS 15,078 14,876
EQUITY AND LIABILITIES
Equity
Share capital 10 1,378 1,378
Retained earnings 8,784 8,312
Total Equity 10,162 9,690
Non-current liabilities
Long-term borrowings 14 88 55
12 100 100
Total non-current liabilities 188 155
Current liabilities
Trade and other payables 15 4,700 4,998
Short-term borrowings 13 10 2
Income tax payable 11 18 31
Total Current Liabilities 4,728 5,031
Total Liabilities 4,916 5,186
TOTAL EQUITY AND LIABILITIES 15,078 14,876
ABC Corporation Annual Report / Statement of Comprehensive Income
Statement of Comprehensive Income
for the year ended 31st December 20XX
Current Year Previous Year
USD in million Notes 20XX 20XX -1
Income Statement
Revenue 2 28,992 29,584
Cost of sales 3 (19,347) (19,545)
9,645 10,039
Selling, general and administrative expenses (SG&A) 16 (5,511) (6,128)
EBITDA 4,134 3,911
Depreciation and amortization 17 (800) (1,000)
Operating profit (EBIT) 3,334 2,911
Finance cost 19 (23) (22)
Profit before tax (EBT) 3,311 2,889
Income tax expense 11 (338) (296)
Net Income 2,973 2,593
ABC Corporation Annual Report / Cash Flow Statement - Direct Method
Cash Flow Statement
Direct Method
Current Year Previous Year
USD in million Notes 20XX 20XX -1
Cash sale of goods and rendering of services 7,310 6,150
Cash payments to suppliers (2,346) (2,140)
Cash payments to employees (1,960) (2,150)
Interest paid 450 342
Interest received - -
Dividends received - -
Income tax paid (331) (324)
3,123 1,878
Purchase of property, plant and equipment (370) (140)
Purchase of intangible assets (4) (1)
Proceeds from sale of property, plant and equipment 237 185
Proceeds from sale of intangible assets - -
(137) 44
Proceeds from issue of share capital - -
Repayments/proceeds from long term borrowings (31) 72
Dividend paid (2,500) (2,001)
(2,531) (1,929)
455 (7)
455 (7)
Cash & cash equivalents at start of the period 9 793 800
Cash & cash equivalents at end of the period 9 1,248 793
ABC Corporation Annual Report / Cash Flow Statement - Indirect Method
Cash Flow Statement
Indirect Method
Current Year Previous Year
USD in million Notes 20XX 20XX -1
Net Income 2,973 2,593
Adjustments for:
Depreciation and amortization 105 120
Deferred income taxes 11 10
Decrease in accounts receivable 890 240
Increase in inventory (558) (621)
Decrease in accounts payable (298) (464)
3,123 1,878
Purchase of property, plant and equipment (370) (140)
Purchase of intangible assets (4) (1)
Proceeds from sale of property, plant and equipment 237 185
Proceeds from sale of intangible assets - -
(137) 44
Proceeds from issue of share capital - -
Repayments/proceeds from long term borrowings (31) 72
Dividend paid (2,500) (2,001)
(2,531) (1,929)
455 (7)
455 (7)
Cash & cash equivalents at start of the period 9 793 800
Cash & cash equivalents at end of the period 9 1,248 793
ABC Corporation Annual Report / Statement of Changes in Equity
Statement of Changes in Equity
for the Year Ended 31st December 20XX
Share Retained Revaluation Total
USD in million capital earnings Surplus equity
Balance at 1 January 20XX-1 1,378 7,721 - 9,099
Changes in equity for the year 20XX-1
Issue of share capital
Distribution of dividends (2,001) (2,001)
Net income for the year 2,593 2,593
Other comprehensive income for the year (1) (1)
Revaluation gain
Balance at 31 December 20XX-1 1,378 8,312 - 9,690
Balance at 1 January 20XX 1,378 8,312 - 9,690
Changes in equity for the year 20XX
Issue of share capital
Distribution of dividends (2,500) (2,500)
Net income for the year 2,973 2,973
Other comprehensive income for the year (1) (1)
Revaluation gain
Balance at 1 January 20XX-1 1,378 8,784 - 10,162
ABC Corporation Annual Report / Contents of the Notes to the Financial Statements
Contents of the Notes to the Financial
Statements
Summary of significant accounting policies
1 Basis of preparation
How numbers are calculated
2 Revenue from contracts with customers
3 Cost of goods sold
4 Other operating income
5 Property, Plant and Equipment
6 Intangible assets
7 Inventories
8 Trade Receivables
9 Cash and cash equivalents
10 Equity
11 Income tax expense
13 Short-term borrowings
14 Long-term borrowings
15 Trade and other payables
16 Distribution expenses
17 Administrative expenses
18 Other operating expenses
19 Finance income/cost
20 Other comprehensive Income
Further details
21 Related party transactions
22 Share-based payments
23 Earnings per share
25 Assets pledged as security
27 Changes in accounting policies
Risk
28 Critical estimates, judgements and errors
29 Financial risk management
30 Capital management
Group structure
31 Business combination
32 Discontinued operations
33 Interests in other entities
Unrecognized items
34 Contingent liabilities and contingent assets
35 Commitments
36 Events occurring after the reporting period
ABC Corporation Annual Report / Notes to the Financial Statements
Summary of significant accounting policies
The policy has been applied consistently for all years of presentation unless otherwise stated
1. Basis of preparation
-
ing Standards (IFRS) and interpretations issued by the IFRS Interpretations Committee (IFRS IC) as adopted by
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-
-
2. Revenue from contracts with customers
The amount of revenue is not considered to be reliably measurable until all contingencies relating to the sale
The Company bases its estimates on historical results, taking into consideration the type of customer, the type
5. Property, plant and equipment
Plant and machinery
Measuring/testing/laboratory equipment
Vehicles (cars)
Vehicles (warehouse)
Equipment
Computers
Demo equipment
The assets residual values and useful lives are reviewed, and adjusted if appropriate, at each balance sheet
ABC Corporation Annual Report / Notes to the Financial Statements
6. Intangible non-current assets
Software
Acquired computer software licenses are stated at historical cost less subsequent depreciation and eventual
Software licenses and rights 4 years
7. Inventories
