SBN HOLDINGS LIMITED Annual Report 2022
ACCOUNTING POLICY ELECTIONS AND RESTATEMENTS continued
66
GROUP
Net interest income
Interest income
Interest expense
Non-interest revenue
Total income
Credit impairment charges
Net income before operating expenses
Operating expenses
Net income before indirect tax
Indirect taxation
Profit before direct taxation
Direct taxation
Profit for the year
Attributable to ordinary shareholders
Attributable to non-controlling interest
Basic and diluted earnings per ordinary share
(735 947)
2021
Previously
reported
N$'000
Restatement
N$'000
Restated
N$'000
1 236 682
1 972 847
(736 165)
(7 370)
(7588)
218
1 229 312
1 965 259
1 208 806
1 208 806
2 445 488
(7 370)
2 438 118
(288 751)
(288 751)
2 156 737
(7 370)
2 149 367
(1 586 804)
(1 586 804)
569 933
(7 370)
562 563
(43 356)
(43 356)
526 577
(7 370)
519 207
(155 355)
2 359
(152 996)
371 222
(5 011)
366 211
370 399
(5 011)
365 388
823
823
71
70
Change in method of statements of cash flows presentation and refinement of definition of
cash and cash equivalents
During 2022, the group performed benchmarking and internal investigations to reassess the definition of cash and cash equivalents when
compiling the statement of cash flows. The following have been identified as industry best practice during this exercise and have resulted
in the following restatements, changes to accounting presentation policies and related additional disclosures:
■The direct method provides more reliable presentation of the cash flow movements for the group and company which is not available
under the indirect method. This change only impacted net cash flows from operating activities within the statement of cash flows for
the group and company.
■The group restated its financial statements to appropriately reflect and present the change from on demand loans and advances
to banks to cash and cash equivalents in the statement of cash flow and updated the related accounting policy accordingly, refer to
note 33.8. These balances, amounting to N$3.3 billion in the 2021 closing cash and cash equivalents balance and N$2.2 billion in the
opening balance, were in prior periods excluded from cash and cash equivalents and instead included in income-earning assets. Both
the balances and movement (N$1.0 billion) have now been appropriately included within the cash and cash equivalents line in the
statement of cash flows.
■ Specific accounting policies, refer to section 3 in Annexure D, have been included for the following:
-Cash and balances with central banks
-Cash and cash equivalents.
The above changes had the following impact on the statement of cash flows:
GROUP
Net cash flows from operating activities
Cash flows from operations (indirect method)
Net income before capital items and equity-accounted earnings
Adjusted for non-cash items and other adjustments included in the income statement
(Increase)/decrease in income-earning assets
Increase/(decrease) in deposits and other liabilities
Interest received
Dividends received
Interest paid
Direct tax paid
Net cash flows from operating activities
Cash flows from operations (direct method)
Interest and commission receipts
Interest payments
Recoveries on loans previously written off
Cash payments to suppliers and employees
Working capital changes
(Increase)/decrease in operating assets
Increase/(decrease) in operating liabilities
Dividends received
Taxation paid
Net cash flows from investing activities
Net cash flows from financing activities
Net increase/(decrease) in cash and balances with the central bank
Cash and balances with the central bank at the beginning of the year
Effects of exchange rate differences on cash and balances with the central bank
Cash and balances with the central bank at the end of the year
COMPANY
SBN HOLDINGS LIMITED
Annual report 2022
2021
Previously
reported
N$'000
Restatement
N$'000
Restated
N$'000
446 661
(446 661)
569 933
(569 933)
(751 308)
(2 416 969)
2002 190
1 968 515
631
(759 732)
(166 599)
751 308
2 416 969
(2 002 190)
(1968 515)
(631)
759 732
166 599
1 476 768
1 476 768
1 049 013
1 049 013
3 122 635
3 122 635
(759 732)
35 954
(1349 844)
593 723
(1 391 904)
1 985 627
631
(166 599)
(759 732)
35 954
(1349 844)
593 723
(1 391 904)
1 985 627
631
(166 599)
(157 194)
(157 194)
163 902
163 902
453 369
1 030 107
1 483 476
1 035 972
2 234 158
(13 494)
1 488 497
(844)
3 250 771
3 270 130
(14 338)
4 739 268
2021
Previously
N$'000
Restated
N$'000
reported Restatement
N$'000
Net cash flows from operating activities
Cash flows from operations (indirect method)
274 928
(274 928)
Net income before capital items and equity-accounted earnings
275 564
(275 564)
Adjusted for non-cash items and other adjustments included in the income statement
(Increase)/decrease in income earning assets
Increase/(decrease) in deposits and other liabilities
(236 917)
5 837
(2364)
Dividends received
236 917
Direct tax paid
(4109)
236 917
(5.837)
2 364
(236 917)
4 109
Net cash flows from operating activities
Cash flows from operations (direct method)
Interest and commission receipts
Cash payments to suppliers and employees
Working capital changes
(Increase)/decrease in operating assets
Increase/(decrease) in operating liabilities
Dividends received
Taxation paid
Net cash flows from financing activities
Net increase/(decrease) in cash and balances with the central bank
Cash and balances with the central bank at the beginning of the year
Cash and balances with the central bank at the end of the year
274 928
274 928
38 647
38 647
43 679
43 679
(5 032)
(5 032)
3 473
3 473
5 837
5 837
(2364)
(2 364)
236 917
236 917
(4109)
(4109)
(156 642)
(156 642)
118 286
118 286
194 115
194 115
312 401
312 401
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