Annual financial statements statement 2015
Supplement to the integrated annual report 30 June 2015
MENU

GROUP FINANCIALS STATEMENTS

MENU Notes to the consolidated financial statements — for the year ended 30 June 2015

  1. Accounting policies
  2. Segment information
  3. Property, plant and equipment
  4. Exploration and evaluation assets
  5. Investment in equity-accounted entities
  6. Deferred tax
  7. Other financial assets
  8. Derivative financial instrument
  9. Prepayments
  10. Inventories
  11. Trade and other receivables
  12. Cash and cash equivalents
  13. Share capital
  14. Non-controlling interest
  15. Borrowings
  16. Other financial liabilities
  17. Sundry liabilities
  18. Provisions
  19. Trade and other payables
  20. Financial instruments and financial risk management
  21. Current tax
  22. Revenue
  23. Cost of sales
  24. Other operating income
  25. Other operating expenses
  26. Impairment
  27. Royalty (income)/expense
  28. Finance income
  29. Finance cost
  30. Other income
  31. Other expenses
  32. Income tax expense
  33. Earnings per share
  34. Dividends
  35. Cash generated from operations
  36. Contingent liabilities and guarantees
  37. Related-party transactions

27.  

Royalty (income)/expense  

    
    2015   2014  
    Rm   Rm  
  Stakeholder royalties   95   105  
  State royalties   156   476  
  State royalty refund*   (1 066)  —  
  Amortisation of royalty prepayment (notes 9 and 35)  240   112  
    (575)  693  
  * The High Court of Zimbabwe issued its judgment in the case involving a dispute between Zimbabwe Platinum Mines (Private) Limited and the Zimbabwe Revenue Authority (ZIMRA) over which mining royalty provisions are applicable to the subsidiary. The judge ruled that the royalty provisions in the subsidiary’s mining agreement take precedence over the royalty provisions set out in the Finance Act. Accordingly the operating subsidiary is liable to pay royalties at the rate of 2.5% of the value of all minerals produced and not at the higher Finance Act rates. The effect of the judgment was that the operating subsidiary overpaid royalties by R 1 066 million in respect of the period between January 2004 and June 2014. ZIMRA allowed for the refund to be offset against current tax payable (note 21).