2020 Trust Tairāwhiti Financial Statements
Total Page:16
File Type:pdf, Size:1020Kb
Trust Tairāwhiti Consolidated Financial Statements For the year ended 31 March 2020 The trustees are pleased to present the consolidated financial statements of Trust Tairawhiti for the year ended 31 March 2020. For and on behalf of the Board of Trustees. Paul Reynolds Ailsa Cuthbert Trustee, Chairman Trustee, Chair of Audit, Finance and Risk Committee 21st July 2020 Independent Auditor’s Report To the Trustees of Trust Tairāwhiti Opinion We have audited the financial statements of Trust Tairāwhiti (the ‘entity’) and its subsidiaries (‘the group’), which comprise the Consolidated Statement of Financial Position as at 31 March 2020, and the Consolidated Statement of Comprehensive Revenue and Expense, Statement of Changes in Net assets/Equity and Statement of Cash Flows for the year then ended, and notes to the financial statements, including a summary of significant accounting policies. In our opinion, the accompanying consolidated financial statements, on pages F - 3 to F - 58, present fairly, in all material respects, the consolidated financial position of the group as at 31 March 2020, and its consolidated financial performance and cash flows for the year then ended in accordance with Public Benefit Entity Standards. Basis for opinion We conducted our audit in accordance with International Standards on Auditing (‘ISAs’) and International Standards on Auditing (New Zealand) (‘ISAs (NZ)’). Our responsibilities under those standards are further described in the Auditor’s Responsibilities for the Audit of the Consolidated Financial Statements section of our report. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. We are independent of the group in accordance with Professional and Ethical Standard 1 International Code of Ethics for Assurance Practitioners (including International Independence Standards) (New Zealand) issued by the New Zealand Auditing and Assurance Standards Board and the International Ethics Standards Board for Accountants’ International Code of Ethics for Professional Accountants (including International Independence Standards), and we have fulfilled our other ethical responsibilities in accordance with these requirements. Other than in our capacity as auditor and the provision of other assurance services relating to the audit of regulatory disclosure statements, we have no relationship with or interests in the entity or any of its subsidiaries. These services have not impaired our independence as auditor of the entity or group. Other information The Board of Trustees are responsible on behalf of the group for the other information. The other information comprises the information in the Annual Report that accompanies the consolidated financial statements and the audit report. Our opinion on the consolidated financial statements does not cover the other information and we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information, and consider whether it is materially inconsistent with the consolidated financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If so, we are required to report that fact. We have nothing to report in this regard. Board of Trustee’s responsibilities The Board of Trustees are responsible on behalf of the group for the preparation and fair for the consolidated financial presentation of the consolidated financial statements in accordance with Public Benefit statements Entity Standards, and for such internal control as the Board of Trustees determine is necessary to enable the preparation of consolidated financial statements that are free from material misstatement, whether due to fraud or error. In preparing the consolidated financial statements, the Board of Trustees are responsible on behalf of the group for assessing the group’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Board of Trustees either intend to liquidate the group or to cease operations, or have no realistic alternative but to do so. Auditor’s responsibilities for the Our objectives are to obtain reasonable assurance about whether the consolidated financial audit of the consolidated financial statements as a whole are free from material misstatement, whether due to fraud or error, statements and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs and ISAs (NZ) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these consolidated financial statements. A further description of our responsibilities for the audit of the consolidated financial statements is located on at the External Reporting Board’s website at: https://www.xrb.govt.nz/standards-for-assurance-practitioners/auditors- responsibilities/audit-report-7 This description forms part of our auditor’s report. Restriction on use This report is made solely to the Board of Trustees, as a body, in accordance with Section 16 of the Trust Deed. Our audit has been undertaken so that we might state to the Board of Trustees those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the Board of Trustees as a body, for our audit work, for this report, or for the opinions we have formed. Auckland, New Zealand 21 July 2020 Consolidated Statement of Comprehensive Revenue and Expense FOR THE YEAR ENDED 31 MARCH 2020 2020 2019 * Notes $'000 $'000 Revenue from exchange transactions 1 107,463 99,761 Revenue from non-exchange transactions 1 1,101 1,391 Total revenue 1 108,564 101,152 Operating expenditure 2 (22,624) (19,581) Depreciation and amortisation 2 (21,910) (18,849) Personnel expenses 28 (16,915) (13,282) Administrative expenses 2 (16,739) (13,185) Finance expenses 17 (10,606) (7,196) Total expenditure (88,794) (72,093) Operating surplus 19,770 29,059 Other non-operating income 3 9,796 2,090 Other non-operating expenditure 4 (5,184) (315) Share of surplus/(loss) of joint ventures 15 (258) 155 Share of loss of associate 14 (1,431) (2,264) Surplus before income tax 22,693 28,725 Income tax expense 5 (9,474) (9,754) Net surplus after tax 13,219 18,971 Distributions for the benefit of beneficiaries Distributions and grants (4,774) (10,652) Tax effect of distributions 1,243 753 Net surplus after tax and distributions 9,688 9,072 Surplus attributable as: Equity holders of the parent 9,926 8,908 Non-controlling interest (238) 164 9,688 9,072 Other comprehensive revenue and expense: Items that will not reclassify subsequently to profit or loss: Revaluation of property, plant and equipment 47,470 (1,935) Tax on revaluation of property, plant and equipment (13,294) 1,144 Items that will reclassify subsequently to profit or loss: Revaluation of other investments (3,220) 1,813 Revaluation of cash flow hedges 5,444 (7,678) Tax on revaluation of cashflow hedges (1,524) 2,150 Share of associate other comprehensive income 14 (1,083) 450 Tax on share of associate other comprehensive income 303 (126) Total other comprehensive revenue and expense 34,096 (4,182) Total comprehensive revenue for the period 43,784 4,890 Total comprehensive revenue: Equity holders of the parent 42,056 4,726 Non-controlling interest 1,728 164 43,784 4,890 * Distributions and related tax effect disclosures changed during the year and prior year comparatives altered to reflect this change. Note 30. These financial statements should be read in conjunction with notes and accounting policies on pages F-9 to F-58 Trust Tairawhiti F - 3 Consolidated Statement of Financial Position AS AT 31 MARCH 2020 Notes 2020 2019 $'000 $'000 ASSETS Current assets Cash and cash equivalents 20,611 19,044 Exchange trade and other receivables 10 12,400 12,518 Non exchange other receivables 10 848 348 Other investments and receivables 11 4,722 7,336 Inventory 84 32 Income tax receivable 1,306 837 Derivative financial instruments 18 3,166 75 Total current assets 43,137 40,190 Non-current assets Property, plant and equipment 7 607,856 541,250 Other investments and receivables 11 40,899 45,084 Derivative financial instruments 18 659 116 Investment properties 8 25,361 22,020 Intangible assets 9 10,392 6,277 Investment in joint venture 15 1,095 1,317 Investment in associate 14 5,864 9,887 Total non-current assets 692,126 625,951 TOTAL ASSETS 735,263 666,141 LIABILITIES Current liabilities Payables and accruals 12 21,120 29,858 Income tax 334 4,214 Employee entitlements 28 2,618 2,257 Derivatives financial instruments 18 772 4,990 Total current liabilities 24,844 41,319 Non-current liabilities Loans 16 250,000 227,000 Deferred tax 5 64,546 46,613 Derivative financial instruments 18 15,429 13,018 Employee entitlements 28 1,313 - Provision for restoration costs 7 1,560 4,500 Income in advance 275 321 Total non-current liabilities 333,123 291,452 TOTAL LIABILITIES 357,967 332,771 NET ASSETS 377,296 333,370 EQUITY Retained earnings 187,262 177,973 Trust capital 20,000 20,000 Reserves 167,711 134,802 Non-controlling interest 2,323 595 TOTAL EQUITY 377,296 333,370 These financial statements should