2019 UEM Edgenta Annual Report

228 229 UEM EDGENTA AT A GLANCE MESSAGE FROM OUR LEADERSHIP STRATEGIC FOCUS OPERATIONAL REVIEW SUSTAINABILITY EFFORTS CORPORATE GOVERNANCE INTRODUCTION FINANCIAL REVIEW ADDITIONAL INFORMATION Notes to the Financial Statements For the year ended 31 December 2019 Notes to the Financial Statements For the year ended 31 December 2019 UEM Edgenta Berhad Annual Report 2019 29. BORROWINGS (CONT’D.) Reconciliation of liabilities arising from financing activities Group Company 2019 RM’000 2018 RM’000 2019 RM’000 2018 RM’000 As at 1 January 532,465 559,761 301,815 301,691 Adjustment upon adoption of MFRS 16 (3,127) - - - As at 1 January 529,338 559,761 301,815 301,691 Cash flows Drawdown of borrowings 125,331 149,636 50,000 50,000 Repayment of borrowings (137,127) (175,320) (50,000) (50,000) Repayment of finance lease - (1,113) - - Interest paid (24,181) (26,249) (14,247) (14,314) Non-cash changes: Amortisation of capitalised transaction costs 679 1,325 125 125 Other changes 25,028 24,425 14,147 14,313 As at 31 December 519,068 532,465 301,840 301,815 Included in the other changes are the effects of foreign currency translations and accrued but not yet paid interest on interest- bearing loans and borrowings. The Group classifies interest paid as cash flows from operating activities. 30. FINANCE LEASES As previously stated under MFRS117 Group 2018 RM’000 Future minimum lease payments: Not later than 1 year 1,311 Later than 1 year and not later than 2 years 1,249 Later than 2 years and not later than 5 years 923 Total future minimum lease payments 3,483 Less: Future finance charges (356) Present value of finance lease liabilities 3,127 Analysis of present value of finance lease liabilities: Not later than 1 year 1,101 Later than 1 year and not later than 2 years 1,132 Later than 2 years and not later than 5 years 894 3,127 Less: Amount due within 12 months (1,101) Amount due after 12 months 2,026 30. FINANCE LEASES (CONT’D.) The Group obtained finance leases for various items of computer equipment and surveying equipment (Note 13). These lease contracts expire within one to five years. The leases have terms of renewal, purchase options and escalation clauses. These terms are at the option of the specific entity that holds the lease. These obligations are secured by a charge over the leased assets. Other information on financial risks of finance lease are disclosed in Note 42. As at 31 December 2018, the finance leases bore interest at rates ranging from 4.5% to 7.1% per annum. 31. TRADE AND OTHER PAYABLES Group 2019 RM’000 2018 RM’000 Current Trade payables (Note a) Third parties 125,469 224,941 Accrued costs 194,569 182,891 Retention payables (Note b): Services: - Infrastructure 27,016 25,845 - Property facility solution 2,690 1,251 Due to related companies (Note c) 2,298 3,849 352,042 438,777 Other payables Employee costs payable 115,064 94,531 Accruals 62,005 67,337 Refundable deposits 3,432 25 Sundry payables 101,453 90,389 Deferred consideration payable (Note d) 2,910 8,691 Due to holding company (Note c) 29,804 37,441 Due to related companies (Note c) 5,232 3,008 319,900 301,422 Total 671,942 740,199