BANQUE SAUDI FRANSI
(A SAUDI JOINT STOCK COMPANY)
CONDENSED INTERIM CONSOLIDATED
FINANCIAL STATEMENTS
FOR THE NINE MONTHS PERIOD ENDED
SEPTEMBER 30, 2024
BANQUE SAUDI FRANSI (A Saudi Joint Stock Company) | Page 1 | ||||
CONDENSED INTERIM CONSOLIDATED STATEMENT OF FINANCIAL POSITION | |||||
As at | |||||
SAR '000 | Notes | Sep 30, 2024 | Dec 31, 2023 | Sep 30, 2023 | |
(Unaudited) | (Audited) | (Unaudited) | |||
ASSETS | |||||
Cash and balances with Saudi Central Bank | 5 | 11,118,415 | 10,558,759 | 10,482,660 | |
Due from banks and other financial institutions, net | 6 | 6,763,542 | 4,113,165 | 5,126,833 | |
Investments, net | 7 | 57,385,839 | 48,467,289 | 46,389,673 | |
Positive fair value of derivatives | 11 | 5,330,305 | 5,658,824 | 7,346,045 | |
Loans and advances, net | 8 | 201,008,036 | 179,391,223 | 174,680,785 | |
Investment in associate, net | 9,695 | 9,695 | 9,695 | ||
Property, equipment and right of use assets, net | 2,229,778 | 2,038,231 | 1,940,512 | ||
Other real estate, net | 343,500 | 343,359 | 343,359 | ||
Other assets, net | 3,481,113 | 2,802,304 | 3,542,677 | ||
Total assets | 287,670,223 | 253,382,849 | 249,862,239 | ||
LIABILITIES AND EQUITY | |||||
Liabilities | |||||
Due to Saudi Central Bank | 9 | 11,251,935 | 5,065,895 | 10,502,718 | |
Due to banks and other financial institutions | 10 | 12,928,872 | 13,879,375 | 10,037,630 | |
Customers' deposits | 12 | 193,341,687 | 172,208,983 | 166,366,883 | |
Negative fair value of derivatives | 11 | 5,264,439 | 5,985,332 | 8,618,430 | |
Debt securities and term loans | 13 | 12,798,009 | 8,634,026 | 8,175,207 | |
Other liabilities | 5,968,646 | 6,488,017 | 6,878,704 | ||
Total liabilities | 241,553,588 | 212,261,628 | 210,579,572 | ||
Equity | |||||
Share capital | 12,053,572 | 12,053,572 | 12,053,572 | ||
Statutory reserve | 12,053,572 | 12,053,572 | 12,053,572 | ||
General reserve | 982,857 | 982,857 | 982,857 | ||
Other reserves | (222,888) | (1,423,083) | (2,505,650) | ||
Retained earnings | 13,474,271 | 11,428,181 | 11,854,549 | ||
Proposed dividend | - | 1,197,738 | - | ||
Treasury shares | (224,749) | (171,616) | (156,233) | ||
Equity attributable to the shareholders of the Bank | 38,116,635 | 36,121,221 | 34,282,667 | ||
Tier 1 Sukuk | 16 | 8,000,000 | 5,000,000 | 5,000,000 | |
Total equity | 46,116,635 | 41,121,221 | 39,282,667 | ||
Total liabilities and equity | 287,670,223 | 253,382,849 | 249,862,239 | ||
The accompanying notes 1 to 24 form an integral part of these condensed interim consolidated financial statements.
Ramzy Darwish | Bader AlSalloom | Mazin AlRomaih |
Chief Financial Officer | Chief Executive Officer | Chairman of the Board |
BANQUE SAUDI FRANSI (A Saudi Joint Stock Company) | Page 2 | |||
CONDENSED INTERIM CONSOLIDATED STATEMENT OF INCOME | ||||
Unaudited | ||||
SAR '000 | For the three months ended | For the nine months ended | ||
Sep 30, 2024 | Sep 30, 2023 | Sep 30, 2024 | Sep 30, 2023 | |
Special commission income | 4,220,968 | 3,489,003 | 12,212,303 | 9,711,622 |
Special commission expense | 2,235,352 | 1,421,015 | 6,368,248 | 3,744,165 |
Net special commission income | 1,985,616 | 2,067,988 | 5,844,055 | 5,967,457 |
Fee and commission income | 424,565 | 380,586 | 1,247,152 | 1,083,329 |
Fee and commission expense | 201,438 | 149,514 | 512,490 | 405,970 |
Net fee and commission income | 223,127 | 231,072 | 734,662 | 677,359 |
Exchange income, net | 137,765 | 113,382 | 331,069 | 337,297 |
Trading income, net | 52,769 | 72,443 | 140,789 | 151,691 |
Dividend income | 4,197 | 3,598 | 11,864 | 10,512 |
Gains on FVOCI / non-trading investments, net | 8,402 | (20,916) | 22,820 | (16,494) |
Other operating income | 130 | 63 | 385 | 5,229 |
Total operating income | 2,412,006 | 2,467,630 | 7,085,644 | 7,133,051 |
Salaries and employee related expenses | 479,657 | 453,350 | 1,407,483 | 1,284,645 |
Rent and premises related expenses | 18,481 | 17,850 | 49,154 | 50,382 |
Depreciation and amortization | 76,542 | 57,521 | 210,540 | 170,745 |
Other operating and general and administrative expenses | 282,194 | 211,290 | 771,874 | 670,041 |
Total operating expenses before impairment charge | 856,874 | 740,011 | 2,439,051 | 2,175,813 |
Impairment charge for expected credit losses on loans and | 252,061 | 350,787 | 821,211 | 1,262,845 |
advances, net | ||||
Impairment charge / (reversal) for investments, financial | 22,475 | (6,137) | 3,013 | (81,657) |
assets and others, net | ||||
Total operating expenses, net | 1,131,410 | 1,084,661 | 3,263,275 | 3,357,001 |
Net income for the period before Zakat | 1,280,596 | 1,382,969 | 3,822,369 | 3,776,050 |
Zakat for the period | 132,474 | 137,475 | 395,102 | 380,801 |
Net income for the period | 1,148,122 | 1,245,494 | 3,427,267 | 3,395,249 |
Basic and diluted earnings per share (SAR) | 0.90 | 0.99 | 2.71 | 2.69 |
The accompanying notes 1 to 24 form an integral part of these condensed interim consolidated financial statements.
Ramzy Darwish | Bader AlSalloom | Mazin AlRomaih |
Chief Financial Officer | Chief Executive Officer | Chairman of the Board |
BANQUE SAUDI FRANSI (A Saudi Joint Stock Company) | Page 3 | |||
CONDENSED INTERIM CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME | ||||
Unaudited | ||||
For the three months ended | For the nine months ended | |||
SAR '000 | ||||
Sep 30, 2024 | Sep 30, 2023 | Sep 30, 2024 | Sep 30, 2023 | |
Net income for the period | 1,148,122 | 1,245,494 | 3,427,267 | 3,395,249 |
Other comprehensive income / (loss): | ||||
Items that cannot be recycled back to condensed interim | ||||
consolidated statement of income in subsequent periods |
Movement in equity instruments at fair value through other comprehensive income
Net change in the fair value | (34,960) | (2,938) | (20,622) | 30,998 |
Items that can be recycled back to condensed interim consolidated statement of income in subsequent periods
Debt instruments at fair value through other comprehensive income
Net change in the fair value | 793,717 | (244,524) | 786,883 | (197,623) | |
Net change in ECL | 733 | (208) | 3,072 | (1,203) | |
(Income) / loss transferred to condensed interim consolidated | (8,401) | 11,306 | (23,858) | 6,884 | |
statement of income | |||||
Cash flow hedge | |||||
Net change in the fair value | 479,119 | (433,582) | (235,968) | (837,716) | |
Loss transferred to condensed interim consolidated statement | 219,146 | 236,617 | 690,688 | 583,077 | |
of income | |||||
Total other comprehensive income / (loss) for the period | 1,449,354 | (433,329) | 1,200,195 | (415,583) | |
Total comprehensive income for the period | 2,597,476 | 812,165 | 4,627,462 | 2,979,666 | |
The accompanying notes 1 to 24 form an integral part of these condensed interim consolidated financial statements. | |||||
Ramzy Darwish | Bader AlSalloom | Mazin AlRomaih |
Chief Financial Officer | Chief Executive Officer | Chairman of the Board |
BANQUE SAUDI FRANSI (A Saudi Joint Stock Company) | Page 4 | ||||||||||||||
CONDENSED INTERIM CONSOLIDATED STATEMENT OF CHANGES IN EQUITY | |||||||||||||||
Unaudited | |||||||||||||||
Other reserves | |||||||||||||||
Total equity | |||||||||||||||
Actuarial | |||||||||||||||
SAR '000 | Share | Statutory | General | Retained | gain / | Proposed | Treasury | attributable | Tier 1 | Total | |||||
capital | reserve | reserve | earnings | (loss) on | Cash flow | dividend | shares | to the | Sukuk | Equity | |||||
FVOCI | |||||||||||||||
defined | hedge | shareholders | |||||||||||||
benefit | |||||||||||||||
plans | |||||||||||||||
For the nine months period ended Sep 30, 2024 | |||||||||||||||
Balance at the beginning of the period | 12,053,572 | 12,053,572 | 982,857 | 11,428,181 | (633,619) | 6,418 | (795,882) | 1,197,738 | (171,616) | 36,121,221 | 5,000,000 | 41,121,221 | |||
Net income for the period | - | - | - | 3,427,267 | - | - | - | - | - | 3,427,267 | - | 3,427,267 | |||
Net change in the fair value | - | - | - | - | 769,333 | - | (235,968) | - | - | 533,365 | - | 533,365 | |||
Net amount transferred to condensed interim | - | - | - | - | (23,858) | - | 690,688 | - | - | 666,830 | - | 666,830 | |||
consolidated statement of income | |||||||||||||||
Total comprehensive income for the period | - | - | - | 3,427,267 | 745,475 | - | 454,720 | - | - | 4,627,462 | - | 4,627,462 | |||
Final dividend for 2023 | - | - | - | - | - | - | - | (1,197,738) | - | (1,197,738) | - | (1,197,738) | |||
Interim dividend for 2024 | - | - | - | (1,199,541) | - | - | - | - | - | (1,199,541) | - | (1,199,541) | |||
Tier 1 Sukuk related cost | - | - | - | (181,636) | - | - | - | - | - | (181,636) | - | (181,636) | |||
Issuance of additional Tier 1 Sukuk | - | - | - | - | - | - | - | - | - | - | 3,000,000 | 3,000,000 | |||
Net change in treasury shares | - | - | - | - | - | - | - | - | (53,133) | (53,133) | - | (53,133) | |||
Balance at the end of the period | 12,053,572 | 12,053,572 | 982,857 | 13,474,271 | 111,856 | 6,418 | (341,162) | - | (224,749) | 38,116,635 | 8,000,000 | 46,116,635 | |||
For the nine months period ended Sep 30, 2023 | |||||||||||||||
Balance at the beginning of the period | 12,053,572 | 12,053,572 | 982,857 | 9,768,005 | (850,259) | 11,080 | (1,250,888) | 1,079,633 | (102,247) | 33,745,325 | 5,000,000 | 38,745,325 | |||
Net income for the period | - | - | - | 3,395,249 | - | - | - | - | - | 3,395,249 | - | 3,395,249 | |||
Net change in the fair value | - | - | - | - | (167,828) | - | (837,716) | - | - | (1,005,544) | - | (1,005,544) | |||
Net amount transferred to condensed interim | - | - | - | - | 6,884 | - | 583,077 | - | - | 589,961 | - | 589,961 | |||
consolidated statement of income | |||||||||||||||
Total comprehensive income for the period | - | - | - | 3,395,249 | (160,944) | - | (254,639) | - | - | 2,979,666 | - | 2,979,666 | |||
Final dividend for 2022 | - | - | - | - | - | - | - | (1,079,633) | - | (1,079,633) | - | (1,079,633) | |||
Interim dividend for 2023 | - | - | - | (1,140,213) | - | - | - | - | - | (1,140,213) | - | (1,140,213) | |||
Tier 1 Sukuk related cost | - | - | - | (168,492) | - | - | - | - | - | (168,492) | - | (168,492) | |||
Net change in treasury shares | - | - | - | - | - | - | - | - | (53,986) | (53,986) | - | (53,986) | |||
Balance at the end of the period | 12,053,572 | 12,053,572 | 982,857 | 11,854,549 | (1,011,203) | 11,080 | (1,505,527) | - | (156,233) | 34,282,667 | 5,000,000 | 39,282,667 | |||
The accompanying notes 1 to 24 form an integral part of these condensed interim consolidated financial statements.
Ramzy Darwish | Bader AlSalloom | Mazin AlRomaih |
Chief Financial Officer | Chief Executive Officer | Chairman of the Board |
BANQUE SAUDI FRANSI (A Saudi Joint Stock Company) | Page 5 | ||
CONDENSED INTERIM CONSOLIDATED STATEMENT OF CASH FLOWS | |||
Unaudited | |||
SAR '000 | Note | For the nine months period ended | |
Sep 30, 2024 | Sep 30, 2023 | ||
OPERATING ACTIVITIES | |||
Net income for the period before zakat | 3,822,369 | 3,776,050 | |
Adjustments to reconcile net income before zakat to net cash from / (used in) operating | |||
activities: | |||
Accretion of discounts on investments not held as FVSI, net | 62,543 | 68,009 | |
Gains on FVOCI | (23,858) | 16,494 | |
Depreciation and amortization | 210,540 | 170,745 | |
Gain on disposal of property, equipment, net | (139) | (120) | |
Impairment charge for expected credit losses on loans and advances, net | 8 | 931,177 | 1,370,069 |
Impairment charge / (reversal) for investments, financial assets and others, net | 3,013 | (81,657) | |
Long term incentive scheme provision | 39,963 | 32,248 | |
Operating income before changes in operating assets and liabilities | 5,045,608 | 5,351,838 | |
Net (increase) / decrease in operating assets: | |||
Statutory deposit with SAMA | (562,030) | (218,679) | |
Due from banks and other financial institutions maturing after ninety days from the date of | 223,770 | (25,889) | |
acquisition | |||
Investments held as FVSI, trading | (274,733) | (28,350) | |
Loans and advances | (22,547,989) | (16,985,661) | |
Other assets | 104,599 | (807,374) | |
Net increase / (decrease) in operating liabilities: | |||
Due to SAMA, banks and other financial institutions, net | 5,235,537 | 3,700,137 | |
Customers' deposits | 21,132,704 | 8,774,562 | |
Other liabilities | (1,068,897) | 925,972 | |
7,288,569 | 686,556 | ||
Zakat paid | (485,412) | (412,832) | |
Net cash generated from operating activities | 6,803,157 | 273,724 | |
INVESTING ACTIVITIES | |||
Proceeds from sales and maturities of investment not held as FVSI | 4,310,337 | 18,925,865 | |
Purchase of investments not held as FVSI | (12,249,581) | (21,026,166) | |
Purchases of property and equipment | (343,750) | (323,695) | |
Proceeds from sale of property and equipment | 192 | 229 | |
Net cash used in investing activities | (8,282,802) | (2,423,767) | |
FINANCING ACTIVITIES | |||
Issuance of term loan | 4,087,500 | 3,937,500 | |
Issuance of Tier 1 sukuk | 3,000,000 | - | |
Dividends paid | (2,397,279) | (2,219,846) | |
Tier I Sukuk related cost | (181,636) | (168,492) | |
Payment of lease liability | (64,361) | (68,657) | |
Purchase of Treasury Shares | (93,096) | (86,234) | |
Net cash from financing activities | 4,351,128 | 1,394,271 | |
Increase / (decrease) in cash and cash equivalents | 2,871,483 | (755,772) | |
Cash and cash equivalents at the beginning of the period | 3,118,898 | 5,797,919 | |
Cash and cash equivalents at the end of the period | 15 | 5,990,381 | 5,042,147 |
Special commission received during the period | |||
11,535,197 | 8,828,496 | ||
Special commission paid during the period | |||
6,385,011 | 3,398,167 | ||
Supplemental non-cash information | |||
RoU assets | 68,261 | 55,082 | |
Lease liability | 21,914 | 20,275 | |
Movement in other reserve and transfers to the interim condensed consolidated statement of income | 1,200,195 | (415,583) | |
The accompanying notes 1 to 24 form an integral part of these condensed interim consolidated financial statements.
Ramzy Darwish | Bader AlSalloom | Mazin AlRomaih |
Chief Financial Officer | Chief Executive Officer | Chairman of the Board |
BANQUE SAUDI FRANSI (A Saudi Joint Stock Company) | Page 6 |
NOTES TO THE CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS | |
For the nine months ended September 30, 2024 and 2023 | |
1. General |
Banque Saudi Fransi (the Bank) is a Saudi Joint Stock Company established by Royal Decree No. M/23 dated Jumada Al Thani 17, 1397H (corresponding to June 04, 1977). The Bank formally commenced its activities on Muharram 01, 1398H (corresponding to December 11, 1977), by taking over the branches of the Banque de l'Indochine et de Suez in the Kingdom of Saudi Arabia. The Bank operates under Commercial Registration Number 1010073368 dated Safar 04, 1410H (corresponding to September 05, 1989), through its 82 branches (September 30, 2023: 82 branches) in the Kingdom of Saudi Arabia, employing 3,140 people (September 30, 2023: 3,072 people).
The objective of the Bank is to provide a full range of banking services, including Islamic products, which are approved and supervised by an independent Shariah Board. The Bank's Head Office is located at King Saud Road, P.O. Box 56006, Riyadh 11554, Kingdom of Saudi Arabia.
The Bank is regulated by the Saudi Central Bank (SAMA).
The Bank owns a subsidiary, Saudi Fransi Capital (100% share in equity) engaged in brokerage, asset management and corporate finance business. The Bank also owns Saudi Fransi Insurance Agency (SAFIA), Saudi Fransi for Finance Leasing (rebranded from SFL to JB), Sofinco Saudi Fransi and Saudi Fransi Digital Ventures having 100% share in equity. The Bank owns 100% (95% direct ownership and 5% indirect ownership through its subsidiary) share in Sakan Real Estate Financing. These subsidiaries are incorporated in the Kingdom of Saudi Arabia.
The Bank also formed subsidiaries BSF Markets Limited & BSF Finance Limited registered in Cayman Islands having 100% share in equity. The objective of BSF Markets Limited Company is derivative trading and Repo activities. BSF Finance Limited is a special purpose vehicle established to raise capital for Banque Saudi Fransi by the issuance of debt instruments.
The Bank formed a subsidiary Sur Multi Family Office Limited registered in United Kingdom having 100% share in equity. The objective of this subsidiary is to provide a wide range of wealth management services to BSF's high net worth clients and their families.
The Bank has investment in an associate and owns 27% shareholding in Banque BEMO Saudi Fransi, incorporated in Syria.
2. Basis of preparation
The condensed interim consolidated financial statements of the Group as at and for the period ended September 30, 2024 have been prepared in accordance with International Accounting Standard 34 - Interim Financial Reporting ("IAS 34") as endorsed in the Kingdom of Saudi Arabia and other standards and pronouncements issued by the Saudi Organization for Chartered and Professional Accountants ("SOCPA"). The condensed interim consolidated financial statements do not include all the information and disclosures required in the annual financial statements, and should be read in conjunction with the Group's annual financial statements as at December 31, 2023.
The consolidated financial statements of the Group as at and for the year ended December 31, 2023, were prepared in accordance with International Financial Reporting Standards (IFRS) as endorsed in the Kingdom of Saudi Arabia and other standards and pronouncements endorsed by the SOCPA. The condensed interim consolidated financial statements are expressed in Saudi Arabian Riyals (SAR) and amounts are rounded to the nearest thousand.
BANQUE SAUDI FRANSI (A Saudi Joint Stock Company) | Page 7 |
NOTES TO THE CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS | |
For the nine months ended September 30, 2024 and 2023 | |
3. Basis of consolidation |
The new Companies Law issued through Royal Decree M/132 on 1/12/1443H (corresponding to June 30, 2022) (hereinafter referred as "the Law") came into force on 26/6/1444H (corresponding to January 19, 2023). For certain provisions of the Law, full compliance is expected not later than two years from 26/6/1444H (corresponding to January 19, 2023). The management is in process of assessing the impact of the New Companies Law and will amend its Articles of Association / By-Laws for any changes to align the Articles to the provisions of the Law. Consequently, the Bank shall present the amended Articles of Association / By-Laws to the shareholders in the General Assembly meeting for their ratification.
The condensed interim consolidated financial statements comprise the financial statements of the Bank and its subsidiaries. The financial statements of the subsidiaries are prepared for the same reporting period as that of the Bank, using consistent accounting policies. Adjustments are made wherever necessary in the financial statements of the subsidiaries to align with the Bank's condensed interim consolidated financial statements.
Subsidiaries are the entities that are controlled by the Bank. The Bank controls an entity when it is exposed, or has a right, to variable returns from its involvement with the entity and has the ability to affect those returns through its power over that entity.
Subsidiaries are consolidated from the date on which control is transferred to the Bank and cease to be consolidated from the date on which the control is transferred from the Bank. The results of subsidiaries acquired or disposed during the period, if any, are consolidated in the condensed interim consolidated statement of income from the effective date of the acquisition or up to the effective date of disposal, as appropriate.
Balances between the Bank and its subsidiaries, and any unrealised income and expenses arising from intra-group transactions, are eliminated in preparing the condensed interim consolidated financial statements. Unrealised losses are eliminated in the same way as unrealised gains, but only to the extent that there is no evidence of impairment.
4. Material Accounting Policies and Estimates
The accounting policies, estimates and assumptions used in the preparation of these condensed interim consolidated financial statements are consistent with those used in the preparation of the annual consolidated financial statements for the year ended December 31, 2023.
New standards, interpretations and amendments adopted by the Group
The accounting policies adopted in the preparation of the condensed interim consolidated financial statements are consistent with those followed in the preparation of the Group's annual consolidated financial statements for the year ended December 31, 2023, except for the adoption of new standards effective as of January 01, 2024. The Group has not early adopted any standard, interpretation or amendment that has been issued but is not yet effective. Several amendments apply for the first time in 2024, but do not have a significant impact on the condensed interim consolidated financial statements of the Group.
Standard, | ||
interpretation, | Description | Effective date |
amendments | ||
Amendment to | These amendments include requirements for sale and leaseback transactions | |
in IFRS 16 to explain how an entity accounts for a sale and leaseback after | ||
IFRS 16 - Leases | ||
the date of the transaction. Sale and leaseback transactions where some or all | 01 January 2024 | |
on sale and | ||
the lease payments are variable lease payments that do not depend on an | ||
leaseback | ||
index or rate are most likely to be impacted. | ||
BANQUE SAUDI FRANSI (A Saudi Joint Stock Company) | Page 8 | ||
NOTES TO THE CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS | |||
For the nine months ended September 30, 2024 and 2023 | |||
4. Material Accounting Policies and Estimates (continued) | |||
Standard, | |||
interpretation, | Description | Effective date | |
amendments | |||
Amendments to IAS | These amendments require disclosures to enhance the transparency of | ||
supplier finance arrangements and their effects on a company's liabilities, | |||
7 and IFRS 7 on | 01 January | ||
cash flows and exposure to liquidity risk. The disclosure requirements are the | |||
Supplier finance | 2024 | ||
IASB's response to investors' concerns that some companies' supplier finance | |||
arrangements | |||
arrangements are not sufficiently visible, hindering investors' analysis. | |||
Amendment to IAS 1 | These amendments clarify how conditions with which an entity must comply | ||
- Non-current | within twelve months after the reporting period affect the classification of a | 01 January | |
liabilities with | liability. The amendments also aim to improve information an entity provides | 2024 | |
covenants | related to liabilities subject to these conditions. | ||
IFRS S1, 'General | 01 January | ||
requirements for | This standard includes the core framework for the disclosure of material | ||
2024 subject to | |||
disclosure of | information about sustainability-related risks and opportunities across an | ||
endorsement | |||
sustainability-related | entity's value chain. | ||
from SOCPA | |||
financial information | |||
01 January | |||
IFRS S2, 'Climate- | This is the first thematic standard issued that sets out requirements for entities | 2024 subject to | |
related disclosures' | to disclose information about climate-related risks and opportunities. | endorsement | |
from SOCPA | |||
New standards not yet effective and not early adopted | |||
Standard, | |||
interpretation, | Description | Effective date | |
amendments | |||
IASB amended IAS 21 to add requirements to help in determining whether a | |||
Amendment to IFRS | currency is exchangeable into another currency, and the spot exchange rate | ||
to use when it is not exchangeable. Amendment set out a framework under | 01 January | ||
21 - Lack of | |||
which the spot exchange rate at the measurement date could be determined | 2025 | ||
exchangeability | |||
using an observable exchange rate without adjustment or another estimation | |||
technique. | |||
Amendments to | Partial gain or loss recognition for transactions between an investor and its | ||
IFRS 10 and IAS 28- | |||
associate or joint venture only apply to the gain or loss resulting from the sale | |||
Sale or Contribution | Effective date | ||
or contribution of assets that do not constitute a business as defined in IFRS 3 | |||
of Assets between | deferred | ||
Business Combinations and the gain or loss resulting from the sale or | |||
an Investor and its | indefinitely | ||
contribution to an associate or a joint venture of assets that constitute a | |||
Associate or Joint | |||
business as defined in IFRS 3 is recognized in full. | |||
Venture | |||
IFRS 18 provides guidance on items in statement of profit or loss classified | |||
into five categories: operating; investing; financing; income taxes and | |||
IFRS 18, | discontinued operations It defines a subset of measures related to an entity's | ||
financial performance as 'management-defined performance measures' | |||
Presentation and | 01 January | ||
('MPMs'). The totals, subtotals and line items presented in the primary | |||
Disclosure in | 2027 | ||
financial statements and items disclosed in the notes need to be described in | |||
Financial Statements | |||
a way that represents the characteristics of the item. It requires foreign | |||
exchange differences to be classified in the same category as the income and | |||
expenses from the items that resulted in the foreign exchange differences. | |||