Page 66

AFRICAN DAWN Annual Report 2016

continued Notes to the Financial Statements Annual Financial Statements For the year ended 29 February 2016 4. Goodwill (continued) With regard to Knife Capital • The recoverable amount calculated based on value in use exceeded the carrying amount by R3,831 million(2015: R4,886 million). • An annual revenue growth rate of 7%, annual operating costs growth rate of 14% or a rise in discount rate to 29% would, all changes taken in isolation, result in the recoverable amount being equal to the carrying amount. With regard to Grindstone • The recoverable amount calculated based on value in use exceeded the carrying amount by R2750 million (2015: 1,512 million). • An annual revenue growth rate of 7%, annual operating costs growth rate of 11% or a rise in discount rate to 42% would, all changes taken in isolation, result in the recoverable amount being equal to the carrying amount. 5. Intangible assets 2016 2015 Cost Accumulated depreciation and impairment Carrying amount Cost Accumulated depreciation and impairment Carrying amount R ‘000 R ‘000 R ‘000 R ‘000 R ‘000 R ‘000 Group Micro finance software 1,756 (911) 845 1,709 (562) 1,147 Medical finance software - - - 1,355 (1,355) - Contractual customer contracts on acquisition of Knife Capital Group 6,543 (2,532) 4,011 6,543 (1,211) 5,332 Contractual customer contracts Yuedilligence 299 - 299 - - - Total 8,598 (3,443) 5,155 9,607 (3,128) 6,479 Reconciliation of intangible assets - Group - 2016 Opening balance Additions through business combinations Amortisation Impairment Closing balance R ‘000 R ‘000 R ‘000 R ‘000 R ‘000 Micro finance software 1,147 47 (349) - 845 Contractual customer contracts on acquisition of Knife Capital Group 5,332 - (1,321) - 4,011 Contractual customer contracts - - - - - Yuedilligence - 299 - - 299 6,479 346 (1,670) - 5,155 64 AFRICAN DAWN ANNUAL REPORT 2016


AFRICAN DAWN Annual Report 2016
To see the actual publication please follow the link above