2,501.93 Adaro Energy 2008 Annual Report English
Adaro Energy Annual Report 2008 www.adaro.com
121
Financial Report
123 124
133
Directors Statement Regarding the Responsibility for the Consolidated Financial Statements
Independent Auditor’s Report Notes to the Consolidated Financial Statements
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PT ADARO ENERGY Tbk Schedule 11
FORMERLY PT PADANG KARUNIA AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS
AS AT 31 DECEMBER 2008 AND 2007 Expressed in million Rupiah, except for par value and share data
The accompanying notes form an integral part of these consolidated financial statements
Notes 2008
2007 CURRENT ASSETS
Cash and cash equivalents 2a, 5
2,415,853 831,840
Restricted cash and cash equivalents - current portion 2a, 6
- 64,595
Available-for-sale investments 2f, 7
1,096,081 1,734,330
Trade receivables, net of allowance for doubtful accounts of Rp nil 2007: Rp nil
- Third parties 2d, 8
2,116,295 1,153,572
- Related parties 2d, 8, 38a
215,591 396,571
Other third party receivables 18,043
60,727 Advances and prepayments
9 567,508
83,638 Inventories, net of provision for obsolete stock of Rp nil 2007: Rp nil
2e, 10 304,670
238,148 Prepaid taxes
2q, 37a 286,826
153,997 Recoverable taxes
2q, 37b 709,722
210,171 Deferred financing costs, net - current portion
2n, 12 36,243
16,269 Deferred expenses, net - current portion
2o -
49,776 Other current assets
89,967 4,038
Total current assets 7,856,799
4,997,672
NON-CURRENT ASSETS Other related party receivables
2d, 38b 2,243
26,128 Fixed assets, net of accumulated depreciation of Rp 1,964,951
2007: Rp 1,364,994 2h, 2i,13
5,924,184 3,558,698
Investments in associates 2f, 14
5, 594 4,868
Mining properties, net of accumulated amortisation of Rp 255,349 2007:Rp 46,593
2b, 15 10,470,181
118,362 Goodwill, net of accumulated amortisation of Rp 425,632
2007: Rp 36,684 2b, 16
9,128,419 1,225,532
Deferred exploration and development expenditure, net of accumulated amortisation of Rp 304,223 2007: Rp 258,857
2j, 11 97,651
86,828 Loans to related parties
38c -
4,498,016 Deferred financing costs, net - non-current portion
2n, 12 144,292
59,728 Deferred expenses, net - non-current portion
2o 5,370
12,590 Deferred tax assets
2q, 37e 43,824
36,823 Restricted cash and cash equivalents - non-current portion
2a, 6 11,036
11,236 Other non-current assets
30,577 52,202
Total non-current assets 25,863,371
9,691,011 TOTAL ASSETS
33,720,170 14,688,683
As restated refer to Note 4
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PT ADARO ENERGY Tbk Schedule 12
FORMERLY PT PADANG KARUNIA AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS
AS AT 31 DECEMBER 2008 AND 2007 Expressed in million Rupiah, except for par value and share data
The accompanying notes form an integral part of these consolidated financial statements
Notes 2008
2007 CURRENT LIABILITIES
Short-term borrowings: - Bank loans
19 876,000
447,045 - Other third party loans
20 -
191,677 Trade payables
- Third parties 17
2,391,923 1,505,851
- Related parties 17, 38d
249,386 182,322
Taxes payable 2q, 37c
1,151,214 1,020,045
Accrued expenses 18
265,093 306,127
Current maturity of long-term borrowings: - Finance lease payables
2k, 22 334,810
125,728 - Bank loans
23 818,538
747,892 - Other third party loans
24 -
6,594 - Derivative liabilities
2s, 25 51,112
- Other current liabilities
7,051 1,237
Royalties payable 21
576,500 583,452
Total current liabilities 6,721,627
5,117,970
NON-CURRENT LIABILITIES Amounts due to related parties
38e 6,339
8,765 Long-term borrowings, net of current maturities:
- Finance lease payables 2k, 22
683,651 243,036
- Bank loans 23
8,325,942 5,535,428
- Other loans: - Third parties
24 -
23,753 - Related parties
38f -
10,945 - Subordinated loan
26 -
94,190 - Derivative liabilities
2s, 25 157,633
- Deferred tax liabilities
2q, 37f 3,144,306
473,922 Provision for employee benefits
2p 56,657
50,195 Accrued stripping costs
2m, 27 596,391
421,522 Total non-current liabilities
12,970,919 6,861,756
MINORITY INTEREST 2b, 28a
18,379 558,403
EQUITY Share capital - authorised 80,000,000,000 shares 2007: 80,000,000,000 shares
issued and fully paid 31,985,962,000 shares 2007: 20,624,780,000 shares with par value of Rp 100 2007: Rp 100 per share
29 3,198,596
2,062,478 Additional paid-in-capital
2v, 30 10,732,663
- Exchange difference due to financial statement translation
2c 39,926
18,696 Difference in value from restructuring transactions of entities under common control
2w, 31 191,843
325,119 Difference from equity changes in subsidiaries and associates
32 4,188
- Fair value reserve
196,426 2,946
Retained earningsaccumulated losses 422,141
258,685 Total equity
14,009,245 2,150,554
TOTAL LIABILITIES AND EQUITY 33,720,170
14,688,683
As restated refer to Note 4
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PT ADARO ENERGY Tbk Schedule 2
FORMERLY PT PADANG KARUNIA AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF INCOME
FOR THE YEARS ENDED 31 DECEMBER 2008 AND 2007 Expressed in million Rupiah, except for basic earnings per share
The accompanying notes form an integral part of these consolidated financial statements
Notes 2008
2007 Revenue
2r, 34 18,092,502
11,592,640
Cost of revenue 2r, 35
13,149,270 9,089,223
Gross profit 4,943,232
2,503,417
Operating expenses Selling and marketing
2r, 36a 528,316
173,173 General and administration
2r, 36b 203,058
77,725 Total operating expenses
731,374 250,898
Operating income 4,211,858
2,252,519
Other incomeexpenses Interest expenses and finance charges
616,310 1,725,928
Interest income 47,933
610,722 Loss on disposal of fixed assets
2h, 13 3,059
1,489 Foreign exchange loss, net
2c 455,357
167,799 Share in net loss of associates
2f, 14 -
20,541 Gain from sales of subsidiaries
95,203 -
Gain on sale of available-for-sale investments 2f, 7
48,798 -
Amortisation of goodwill 2b, 16
360,233 32,027
Other expensesincome, net 44,129
31,568 1,287,154
1,305,494
Profit before income tax 2,924,704
947,025 Income tax expense
2q, 37d 1,601,976
656,927
Profit from ordinary activity 1,322,728
290,098 Extraordinary item, net of tax
44 372,741
-
Profit before pre-acquisition income 949,987
290,098 Pre-acquisition income
126,390 38,048
Profit before minority interest 823,597
252,050 Minority interest in net lossincome of subsidiaries
2b, 28b 63,601
163,516
Net income 887,198
88,534
Basic earnings per share 2t, 39
35 62
As restated refer to Note 4
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PT ADARO ENERGY Tbk Schedule 31
FORMERLY PT PADANG KARUNIA AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY
FOR THE YEARS ENDED 31 DECEMBER 2008 AND 2007 Expressed in million Rupiah, unless otherwise stated
The accompanying notes form an integral part of these consolidated financial statements
Difference in value from
Exchange restructuring
Difference difference
transactions from equity
due to of entities
changes in Retained
Additional financial
under subsidiaries
earnings Share
paid-in- statement
common and
Fair value accumulated
capital capital
translation control
associates reserve
losses Total
Balance at 1 January 2007 143,628
- 22,596
113,970 -
- 38,448
196,554 Adjustments related to the implementation of
Statement of Financial Accounting Standards No. 38 Revised 2004 in 2007 due to
acquisition of PT Saptaindra Sejati “SIS”, PT Alam Tri Abadi “ATA” and
PT Makmur Sejahtera Wisesa “MSW” -
- -
259,833 -
- 5,877
253,956 Adjustment to retained earnings related to
amendments of the Annual Tax Return for Corporate Income Tax for 2004, 2005
and 2006 of PT Adaro Indonesia “Adaro” -
- 9,161
242,404 -
- 251,564
484,807
Balance at 1 January 2007 - restated
143,628 -
13,435 131,399
- -
295,889 34,297
Net income for the year -
- -
- -
- 88,534
88,534 The Company’s share of net income of
entities under common control acquired prior to restructuring transactions
MSW, SIS and ATA -
- -
61,541 -
- 61,541
- Changes in equity of subsidiaries related to
exchange difference due to financial statement translation
- -
32,131 32,131
- -
- 64,262
Changes in equity of subsidiaries related to difference in value from restructuring
transactions of entities under common control due to disposal of PT Anugerah
Buminusantara Abadi “ABA” -
- -
3,365 1,831
- -
5,196 Changes in equity of subsidiaries related to
unrealised gain from available-for-sale investments
- -
- 3,131
- 2,946
- 6,077
As restated refer to Note 4
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PT ADARO ENERGY Tbk Schedule 32
FORMERLY PT PADANG KARUNIA AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY
FOR THE YEARS ENDED 31 DECEMBER 2008 AND 2007 Expressed in million Rupiah, unless otherwise stated
The accompanying notes form an integral part of these consolidated financial statements
Difference in value from
Exchange restructuring
Difference difference
transactions from equity
due to of entities
changes in Retained
Additional financial
under subsidiaries
earnings Share
paid-in- statement
common and
Fair value accumulated
capital capital
translation control
associates reserve
losses Total
Deficit in changes in equity of subsidiaries and associates charged to retained earnings
- -
- -
1,831 -
1,831 -
Issuance of share capital 1,918,850
- -
- -
- -
1,918,850 Adjustment to retained earnings related to
recognition of income from investment in PT Indonesia Bulk Terminal which was not
recognised previously using the cost method -
- -
12,042 -
- 12,042
24,084 Disposal of subsidiaries to entities under
common control -
- -
107,467 -
- -
107,467 Difference from equity changes in
subsidiaries and associates -
- -
190,023 -
- -
190,023 Payments to acquire entities under
common control -
- -
209,250 -
- -
209,250
Balance at 31 December 2007 - restated 2,062,478
- 18,696
325,119 -
2,946 258,685
2,150,554 Net income for the year
- -
- -
- -
887,198 887,198
The Company’s share of net income of entities under common control acquired
prior to restructuring transactions MSW, SIS and ATA
- -
- 24,049
- -
24,049 -
Adjustment to retained earnings related to recognition of income from investment
in Adaro by MEC Indo Coal B.V. and net loss from additional interests in Arindo
Holdings Mauritius Ltd and Rachmalta Investment Ltd
- -
- 6,702
- -
184,154 190,856
Issuance of share capital 1,136,118
10,732,663 -
- -
- -
11,868,781
As restated refer to Note 4
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PT ADARO ENERGY Tbk Schedule 33
FORMERLY PT PADANG KARUNIA AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY
FOR THE YEARS ENDED 31 DECEMBER 2008 AND 2007 Expressed in million Rupiah, unless otherwise stated
The accompanying notes form an integral part of these consolidated financial statements
Difference in value from
Exchange restructuring
Difference difference
transactions from equity
due to of entities
changes in Retained
Additional financial
under subsidiaries
earnings Share
paid-in- statement
common and
Fair value accumulated
capital capital
translation control
associates reserve
losses Total
Reversal of difference in value from restructuring transactions of entities under
common control due to loss of under common control status between
transacting entities -
- -
98,003 -
- -
98,003 Changes in equity of subsidiaries related
to exchange difference due to financial statement translation
- -
21,230 4,747
- -
- 16,483
Changes in equity of subsidiaries related to unrealised gain from available-for-
sale investments and unrealised loss from cash flow hedges
- -
- 5,809
- 199,372
- 193,563
Difference from equity changes in subsidiaries and associates
- -
- 12,454,326
6,019 -
- 12,460,345
Reversal of difference from equity changes in subsidiaries and associates
which was previously charged to retained earnings
- -
- -
1,831 -
1,831 -
Payments to acquire entities under common control
- -
- 12,891,694
- -
- 12,891,694
Balance at 31 December 2008 3,198,596
10,732,663 39,926
191,843 4,188
196,426 422,141
14,009,245
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PT ADARO ENERGY Tbk Schedule 4
FORMERLY PT PADANG KARUNIA AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF CASH FLOWS
FOR THE YEARS ENDED 31 DECEMBER 2008 AND 2007 Expressed in million Rupiah, unless otherwise stated
The accompanying notes form an integral part of these consolidated financial statements
2008 2007
Cash flows from operating activities Receipts from customers
17,468,809 11,523,125
Payments to suppliers 12,462,109
6,766,613 Payments to employees
458,178 305,958
Receipts of interest income 46,309
684,316 Payments of royalties
1,075,532 564,864
Payments of income taxes 1,625,751
671,208 Payments of interest and finance charges
606,757 908,094
Other receipts 38,917
-
Net cash flows provided from operating activities before extraordinary item 1,325,708
2,990,704 Payments for demurrage
647,326 -
Net cash flows provided from operating activities 678,382
2,990,704
Cash flows from investing activities Purchase of fixed assets
1,463,972 650,770
Proceeds from disposal of fixed assets 6,250
12,743 Payments for addition of available-for-sale investments
- 1,728,106
Proceeds from redemption of available-for-sale investments 701,492
- Payments of deferred expenses
- 68,345
Payments for addition of investments in associates -
82 Loans to related parties
- 3,187,880
Receipts from repayment of loans to related parties 46,061
4,762,757 Net cash outflow from acquisition of subsidiaries
10,299,789 749,005
Net cash inflow from disposal of subsidiaries 20,000
163,769
Net cash flows used in investing activities 10,989,958
1,444,919
Cash flows from financing activities Receipts from related party loans
- 27,000
Repayments of related party loans 473,412
60,219 Receipts from third party loans
245,350 301,068
Repayments of third party loans 447,564
499,182 Receipts from bank loans
3,438,993 6,299,800
Repayments of bank loans 3,007,249
5,056,064 Payments of finance charges
116,752 108,304
Repayments of Notes -
3,654,400 Payments of obligations under finance leases
200,763 122,365
Receipts from issuance of new shares, net of share issuance cost 12,253,265
1,920,050 Payments of finance charges on early settlement of Notes
- 548,211
Payments for security deposits -
174
Net cash flows provided fromused in financing activities 11,691,868
1,501,001
Net increase in cash and cash equivalents 1,380,292
44,784
Cash and cash equivalents at the beginning of the year 831,840
758,453
Effect of exchange rate changes on cash and cash equivalents 203,721
28,603
Cash and cash equivalents at the end of the year refer to Note 5 2,415,853
831,840
Non-cash activities:
Acquisition of assets under finance leases 722,255
263,542 Acquisition of subsidiary through issuance of new shares
22,185 -
As restated refer to Note 4
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PT ADARO ENERGY Tbk Schedule 51
FORMERLY PT PADANG KARUNIA AND SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
31 DECEMBER 2008 AND 2007 Expressed in million Rupiah, unless otherwise stated