112 / 136
112
Phuthuma Nathi Investments (RF) Limited
Integrated annual report 2018
Financial review
(continued)
Notes to the summarised annual financial
statements
(continued)
for the year ended 31 March
2018
R’000
2017
R’000
Movement in carrying amount
At the beginning of the year
2 989 507
3 014 152
Share of net profit
1 040 968
927 626
Share of changes in other reserves
(71 539)
(85 605)
Dividends received
(866 669)
(866 666)
At the end of the year
3 092 267
2 989 507
Analysis of carrying amount
Cost
2 250 000
2 250 000
Share of post-acquisition reserves
842 267
739 507
3 092 267
2 989 507
Reconciliation of carrying amount
Share of net assets of associate
1 182
1 079
Goodwill
1 910
1 910
Carrying amount
3 092
2 989
Although the company holds less than 20% of the equity shares in MCSAH, it exercises significant
influence by virtue of its contractual right to appoint directors to the board of directors of that
company. It also has the power to participate in the financial and operating policy decisions
of MCSAH.
There has been no objective evidence of impairment of the associate in the current or prior years.