Integrated Annual Report 2024 SECTION 6 • FINANCIAL STATEMENTS 335 INDEPENDENT AUDITORS’ REPORT To the members of Press Metal Aluminium Holdings Berhad Registration No. 201601027232 (1198171-H)) (Incorporated in Malaysia) REPORT ON THE AUDIT OF THE FINANCIAL STATEMENTS Opinion We have audited the financial statements of Press Metal Aluminium Holdings Berhad, which comprise the statements of financial position as at 31 December 2024 of the Group and of the Company, and the statements of profit or loss and other comprehensive income, statements of changes in equity and statements of cash flows of the Group and of the Company for the year then ended, and notes to the financial statements, including material accounting policy information, as set out on pages 239 to 333. In our opinion, the accompanying financial statements give a true and fair view of the financial position of the Group and of the Company as at 31 December 2024, and of their financial performance and their cash flows for the year then ended in accordance with MFRS Accounting Standards as issued by the Malaysian Accounting Standards Board (“MFRS Accounting Standards”), IFRS Accounting Standards as issued by the International Accounting Standards Board (“IFRS Accounting Standards”) and the requirements of the Companies Act 2016 in Malaysia. Basis for Opinion We conducted our audit in accordance with approved standards on auditing in Malaysia and International Standards on Auditing. Our responsibilities under those standards are further described in the Auditors’ Responsibilities for the Audit of the Financial Statements section of our auditors’ report. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. Independence and Other Ethical Responsibilities We are independent of the Group and of the Company in accordance with the By-Laws (on Professional Ethics, Conduct and Practice) of the Malaysian Institute of Accountants (“By-Laws”) and the International Ethics Standards Board for Accountants’ International Code of Ethics for Professional Accountants (including International Independence Standards) (“IESBA Code”), and we have fulfilled our other ethical responsibilities in accordance with the By-Laws and the IESBA Code. KEY AUDIT MATTERS Key audit matters are those matters that, in our professional judgement, were of most significance in our audit of the financial statements of the Group and of the Company for the current year. These matters were addressed in the context of our audit of the financial statements of the Group and of the Company as a whole, and in forming our opinion thereon, and we do not provide a separate opinion on these matters. Hedge accounting Refer to Note 28.7 – Financial instruments – Hedging activities. The key audit matter The Group and the Company are exposed to transactional foreign currency risk to the extent that there is a mismatch between the currency in which sales are denominated and the respective functional currencies of the Group entities. The Group is also exposed to commodity price risk due to fluctuations in aluminium prices. Derivative financial instruments are used to manage and hedge foreign currency risk and commodity price risk. The Group then applied hedge accounting to hedge its cash flows arising from highly probable forecast sale transactions. We focused on this area because applying hedge accounting is a complex and judgemental area, particularly in assessing the appropriateness of the designation of the hedge relationship and documentation, the effectiveness of the hedge and the probability of forecast transactions. The complexity of the application of hedge accounting and the number of hedge contracts the Group and the Company entered into required us to involve senior members and spend considerable time and effort to audit this area.
RkJQdWJsaXNoZXIy NDgzMzc=