Vector Annual Report 2023

Notes to the financial statements

24. Cash flows continued 24.2 Reconciliation of

movement of liabilities to cash flows arising from financing activities

Reconciliation of movement of liabilities to cash flows arising from financing activities

LEASE LIABILITIES BORROWINGS DERIVATIVES

TOTAL

Balance at 1 July 2022

27.7

3,229.4

(33.4)

3,223.7

(886.5)

– – – –

(886.5)

Net repayments

(12.0) (12.0)

(12.0)

Lease liabilities payments Financing cash flows

(886.5)

(898.5)

– – – – –

(0.4)

(0.4)

Cost of debt raising Fair value changes Borrowing fees paid

(75.6)

82.1

6.5

(6.6)

– – – – – –

(6.6)

9.4

9.4

Amortisation of debt raising costs

(0.9)

(0.9)

Premium released ROU asset additions ROU asset disposals

46.8

– – –

46.8

(2.8)

(2.8)

5.3

5.3

Other

As at 30 June 2023

65.0

2,268.8

48.7

2,382.5

25. Equity 25.1 Share Capital Shares

The total number of authorised and issued shares is 1,000,000,000 (2022: 1,000,000,000). All ordinary issued shares are fully paid, have no par value and carry equal voting rights and equal rights to a surplus on winding up of the parent. At balance date 26,343 shares (2022: 26,343) are allocated to the employee share purchase scheme.

25.2 Capital Management Policies

Vector’s objectives in managing capital are: — To safeguard the ability of entities within the group to continue as a going concern; — To provide an adequate return to shareholders by pricing products and services commensurate with the level of risk; and — Maintain an investment grade credit rating. Vector manages and may adjust its capital structure in light of changes in economic conditions and for the risk characteristics of the underlying assets. To achieve this Vector may: — Adjust its dividend policy; — Return capital to shareholders; or — Sell assets to reduce debt.

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