Value added statement
for the year ended 30 September 2017
Value added is a measure of the wealth the group has been able to create. The following statement shows how this wealth has been distributed.
| 2017 | 2016 | |||||||
|---|---|---|---|---|---|---|---|---|
| (R'million) | % | Restated | *# | % | ||||
| Revenue | 31 297,9 | 100,0 | 30 588,2 | 100,0 | ||||
| Less: Net cost of products and services | 22 363,7 | 71,5 | 22 198,8 | 72,6 | ||||
| Value added | 8 934,2 | 28,5 | 8 389,4 | 27,4 | ||||
| Add: Income from investments and associates | 568,1 | 1,8 | 887,0 | 2,9 | ||||
| Wealth created | 9 502,3 | 30,4 | 9 276,4 | 30,3 | ||||
| Applied to: | ||||||||
| Employees | ||||||||
| - Salaries, wages and other benefits | 3 733,7 | 39,3 | 3 621,8 | 39,0 | ||||
| Providers of capital | 2 066,6 | 21,7 | 1 837,9 | 19,8 | ||||
| - Interest on borrowings | 241,4 | 2,5 | 188,3 | 2,0 | ||||
| - Dividends and capital distributions to non-controlling interests and preference shareholders | 16,6 | 0,2 | 19,7 | 0,2 | ||||
| - Dividends to ordinary shareholders | 1 808,6 | 19,0 | 1 629,9 | 17,6 | ||||
| Government | ||||||||
| Taxation (refer to note 1) | 1 257,8 | 13,2 | 1 292,6 | 13,9 | ||||
| Retained in the group | 2 444,2 | 25,8 | 2 524,1 | 27,3 | ||||
| 9 502,3 | 100,0 | 9 276,4 | 100,0 | |||||
The payments to government exclude taxation deducted from employees' remuneration of R514,7 million (2016: R507,4 million), net VAT of R625,5 million (2016: R429,0 million), excise duty on revenue and UIF payments.
| (R'million) | 2017 | % | Restated 2016 |
# | % | 2015 | % | 2014 | % | 2013 | % | |||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Trend of value added | ||||||||||||||||||||
| Employees | 3 733,7 | 39 | 3 621,8 | 39 | 3 422,6 | 39 | 3 307,2 | 38 | 2 860,2 | 38 | ||||||||||
| Providers of capital | 2 066,6 | 22 | 1 837,9 | 20 | 1 814,3 | 21 | 1 896,2 | 22 | 1 825,5 | 24 | ||||||||||
| Government | 1 257,8 | 13 | 1 292,6 | 14 | 1 128,0 | 13 | 1 472,8 | 17 | 1 346,1 | 18 | ||||||||||
| Retained in the group | 2 444,2 | 26 | 2 524,1 | 27 | 2 374,6 | 27 | 1 952,5 | 23 | 1 539,3 | 20 | ||||||||||
| 9 502,3 | 100 | 9 276,4 | 100 | 8 739,5 | 100 | 8 628,7 | 100 | 7 571,1 | 100 |
* Restated for the early adoption of IFRS 15 Revenue from Contracts with Customers. Refer to note 6.
# Restated as required by IFRS 5 in relation to the treatment of East Africa Tiger Brands Industries Plc. (EATBI) and Haco Tiger Brands (E.A.) Limited (Haco) as discontinued operations. Refer to note 34.