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Section B: Notes to the Group financial statements for the year ended 30 June 2026
B7 Working capital The Group’s working capital balances are summarised as follows:
2026
2025
$M
$M
Current assets Cash and cash equivalents Demand deposits Short-term investments
1,410
1,229
650
498
2,060
1,727
Trade and other receivables Prepayments
37
83
Trade receivables Other receivables 1 Bank term deposits
253 189
215 110
65
50
544
458
Current liabilities Trade and other payables Trade payables
(52)
(62)
Interest payable Other payables 1
(239) (143) (434)
(213) (154) (429)
Net working capital
2,170
1,756
1. Included within other receivables and other payables are related party receivables of $68 million (2025: $90 million) and related party payables of $6 million (2025: $16 million) respectively (refer to Note B27). Cash and cash equivalents For the purpose of presentation in the consolidated statement of cash flows, cash and cash equivalents includes deposits held at call with financial institutions and other short-term, highly liquid investments with original maturities of three months or less that are readily convertible to known amounts of cash and which are subject to an insignificant risk of changes in value. All cash balances are interest bearing. The amount shown in cash and cash equivalents includes $74 million not available for general use as at 30 June 2026 (2025: $77 million). This comprises amounts required to be held in maintenance and funding reserves, prepaid tolls and restricted term deposits. Trade receivables Trade receivables accounting policy Trade receivables are recognised initially at the amount of consideration that is unconditional unless they contain significant financing components in which case they are recognised at fair value. The Group holds trade receivables with the objective to collect contractual cash flows and therefore measure them subsequently at amortised cost using the effective interest method, less any allowance for expected credit losses. Trade receivables are generally due for settlement no more than 30 days from revenue recognition. The Group applies the simplified approach to measuring the loss allowance at an amount equal to lifetime expected credit losses for all trade receivables. The expected credit loss rates are based on the payment profiles of toll revenue over historical periods and the corresponding historical credit losses experienced. The historical credit loss rates are adjusted to reflect current and forward-looking information on macroeconomic factors affecting the ability of customers to settle the receivables.
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