LENMED AIR 2019.pdf

Group Figures in R’000 2019 Restated 2018 4. Profit before interest and taxation Profit before interest and taxation is arrived at after taking into account the following items: Income Profit on foreign currency transactions 4 396 361 Rental Income 39 786 40 135 Expenditure Loss on disposal of property, plant and equipment 684 732 Depreciation 82 798 53 500 Secretarial fees 775 788 Employee costs 767 482 691 850 Lease rentals Property 37 677 39 519 Equipment 10 083 5 361 Other 2 578 5 831 50 338 50 711 5. Investment income Interest received 4 422 8 680 4 422 8 680 6. Finance costs Long-term loans 120 853 93 677 Bank overdrafts 20 353 11 528 141 206 105 205 7. Taxation Current taxation 43 331 49 877 Underprovision/(overprovision) in prior year 156 – Deferred taxation Current year temporary differences 8 717 3 880 Under provision in prior year 1 038 633 Taxation for the year 53 242 54 390 Reconciliation of rate of taxation % % South African normal tax rate 28.00 28.00 Adjusted for: Underprovision/(overprovision) in prior year 0.66 0.35 Disallowed expenditure 0.22 0.01 Income not taxable ( 0.54) ( 3.13) Lower foreign tax rate ( 5.09) ( 3.08) Effective rate of taxation 23.25 22.15 The current tax charge for the year has been reduced by R5.041 million (2018: R6.940 million) as a result of the prior year tax loss of R18.003 million utilised at Lenmed Health Randfontein Private Hospital (Pty) Ltd, Lenmed Health Kathu Private Hospital (Pty) Ltd and Lenmed Health Management Company (Pty) Ltd. Notes to the consolidated annual financial statements CONSOLIDATED ANNUAL FINANCIAL STATEMENTS 104