Exxaro report selector 2019

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Exxaro Resources Limited
Group and company annual financial statements for the year ended 31 December 2019

CHAPTER 1: THE YEAR IN BRIEF

CHAPTER 2: REPORTS

CHAPTER 3: SEGMENTAL REPORTING

CHAPTER 4: FINANCIAL STATEMENTS

CHAPTER 5: EARNINGS

CHAPTER 6: OPERATIONAL PERFORMANCE AND WORKING CAPITAL

CHAPTER 7: TAXATION

CHAPTER 8: BUSINESS ENVIRONMENT AND PORTFOLIO CHANGES

CHAPTER 9: ASSOCIATES AND JOINT ARRANGEMENTS

CHAPTER 10: ASSETS

CHAPTER 11: LEASES

CHAPTER 12: FUNDING

CHAPTER 13: PROVISIONS AND CONTINGENCIES

CHAPTER 14: PEOPLE

CHAPTER 15: RELATED PARTIES

CHAPTER 16: FINANCIAL INSTRUMENTS

CHAPTER 17: SUBSIDIARIES

CHAPTER 18: COMPLIANCE

CHAPTER 19: ANNEXURES

CHAPTER 20: ACRONYMS

Currently viewing: CHAPTER 17 / 17.3 Dividend income from investments in subsidiaries

17.3 Dividend income from investments in subsidiaries

17.3

TRANSACTIONS WITH SUBSIDIARIES

17.3.1 REVENUE
      Company  
For the year ended 31 December Note    2019
Rm		   2018
Rm		  
Corporate services rendered to the following subsidiaries of Exxaro:             
Exxaro Coal Proprietary Limited     1 471   1 256  
Exxaro Coal Mpumalanga Proprietary Limited     483   475  
Exxaro Coal Central Proprietary Limited     177   15  
Other subsidiaries     33   31  
Revenue 6.1.2   2 164   1 777   

17.3.2 DIVIDEND INCOME FROM INVESTMENTS IN SUBSIDIARIES

  Company  
For the year ended 31 December 2019
Rm		   2018
Rm		  
Dividend income from investments in subsidiaries         
Exxaro Coal Central Proprietary Limited     300  
Eyesizwe (RF) Proprietary Limited 461   82  
Dividend income from subsidiaries 461   382   

17.3.3 NET FINANCE INCOME

      Company  
For the year ended 31 December Note    2019 
Rm 		   2018 
Rm 		  
Finance income 12.1.2   1 979    1 176    
Interest income received from interest-bearing loans receivable     466    415   
Interest income on BEE loan         1   
Interest income received from treasury facilities receivable     1 513    759   
Finance costs 12.1.2   (1 364)   (704)  
Interest expense on treasury facilities payable     (1 364)   (704)  
Net finance income from investments in subsidiaries     615    472    
Exxaro Coal Proprietary Limited     510    524   
Exxaro Coal Mpumalanga Proprietary Limited     179    41   
Exxaro Coal Central Proprietary Limited     (87)   (103)  
Other subsidiaries     13    10   

17.3.4 IMPAIRMENT AND OTHER TRANSACTIONS

  Company  
For the year ended 31 December 2019
Rm		   2018 
Rm 		  
Impairment charge of Investment in subsidiary (Exxaro Coal Central Proprietary Limited)1 227       
Impairment charges on indebtedness receivable from subsidiaries: 2      
– Non-interest-bearing loan receivable (Gravelotte Iron Company Proprietary Limited) 2      
Write-off of non-interest-bearing loan receivable (Exxaro Beijing Proprietary Limited)     (1)   
1 In 2019, an impairment loss of R227 million has been recognised against profit, reducing the carrying amount to its recoverable amount of R2 390 million. The impairment was triggered by poor market conditions affecting the ECC group which resulted in the carrying value of the investment exceeding its recoverable amount. Refer note 10.1.2 for details of the key assumptions and sensitivities applicable to the determination of the recoverable amount.