PETRONAS DAGANGAN BERHAD INTEGRATED REPORT 2019

STATEMENT OF FINANCIAL POSITION

AS AT 31 DECEMBER 2019

2019 2018
Note RM’000 RM’000

ASSETS
Property, plant and equipment 3 3,836,914 3,144,897
Prepaid lease payments 4 – 492,256
Investments in subsidiaries 5 60,010 29,010
Investments in associates 6 530 530
Investments in joint ventures 7 25 25

TOTAL NON-CURRENT ASSETS 3,897,479 3,666,718

Inventories 8 789,694 810,897

Trade and other receivables 9 1,376,002 2,061,662
Cash and cash equivalents 11 3,146,732 1,969,066

TOTAL CURRENT ASSETS 5,312,428 4,841,625

TOTAL ASSETS 9,209,907 8,508,343

EQUITY
Share capital 12 993,454 993,454
Reserves 13 4,571,557 4,491,727

TOTAL EQUITY 5,565,011 5,485,181

LIABILITIES
Borrowings 15 82,291 –
Deferred tax liabilities 16 76,350 95,727
Other long term liabilities and provisions 17 27,680 28,777

TOTAL NON-CURRENT LIABILITIES 186,321 124,504

Trade and other payables 18 3,245,170 2,854,988

Borrowings 15 138,406 –
Taxation 74,999 43,670

TOTAL CURRENT LIABILITIES 3,458,575 2,898,658

TOTAL LIABILITIES 3,644,896 3,023,162

TOTAL EQUITY AND LIABILITIES 9,209,907 8,508,343

The notes set out on pages 211 to 279 are an integral part of these financial statements.

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STATEMENT OF PROFIT OR LOSS

AND OTHER COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 DECEMBER 2019

2019 2018
Note RM’000 RM’000

Revenue 19 29,726,075 29,476,319

Cost of revenue (26,666,919) (26,774,432)

Gross profit 3,059,156 2,701,887

Selling and distribution expenses (1,303,382) (997,004)
Administration expenses (1,097,656) (1,006,050)
Other income 440,307 402,564

Operating profit 20 1,098,425 1,101,397

Financing costs 21 (13,430) (1,644)

Profit before taxation 1,084,995 1,099,753

Tax expense 22 (272,280) (293,233)

PROFIT FOR THE YEAR REPRESENTING TOTAL

COMPREHENSIVE INCOME FOR THE YEAR 812,715 806,520

The notes set out on pages 211 to 279 are an integral part of these financial statements.

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STATEMENT OF CHANGES IN EQUITY

FOR THE YEAR ENDED 31 DECEMBER 2019

Attributable to shareholders
of the Company
Non-
distributable Distributable

Share Retained
Note capital profits Total
RM’000 RM’000 RM’000

At 1 January 2018 993,454 4,619,054 5,612,508

Profit for the year representing total comprehensive – 806,520 806,520

income for the year
Dividends paid 24 – (933,847) (933,847)
At 31 December 2018/1 January 2019
– As previously reported 993,454 4,491,727 5,485,181
– Adjustment on initial application of MFRS 16, net of tax 37 – (37,467) (37,467)

At 1 January 2019, restated 993,454 4,454,260 5,447,714

Profit/Total comprehensive income for the year – 812,715 812,715

Dividends paid 24 – (695,418) (695,418)

At 31 December 2019 993,454 4,571,557 5,565,011

Note 12

The notes set out on pages 211 to 279 are an integral part of these financial statements.

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STATEMENT OF CASH FLOWS

FOR THE YEAR ENDED 31 DECEMBER 2019

2019 2018
Note RM’000 RM’000

CASH FLOWS FROM OPERATING ACTIVITIES

Profit before taxation 1,084,995 1,099,753
Adjustments for:
Depreciation and amortisation 434,629 317,563
Net impairment losses/(write–back) on:
– Receivables (355) 4,293
Net gain on disposal of property, plant and equipment (18,727) (10,125)
Interest income (113,133) (89,226)
Dividend income (9,455) (20,500)
Property, plant and equipment written off 9,778 308
Net unrealised foreign exchange gain (411) (2,271)
Inventories written off 390 –
Financing costs 13,431 1,644

Operating profit before changes in working capital 1,401,142 1,301,439

Changes in working capital:
Inventories 21,203 33,497
Trade and other receivables 685,660 (518,213)
Trade and other payables 387,597 (387,861)

Cash generated from operations 2,495,602 428,862

Taxation paid (248,496) (372,904)

Net cash generated from operating activities 2,247,106 55,958

CASH FLOWS FROM INVESTING ACTIVITIES

Dividends received 9,455 20,500
Interest income 113,133 89,226
Investment in a newly incorporated subsidiary (31,000) –
Purchase of property, plant and equipment (360,858) (366,907)
Proceeds from disposal of prepaid lease assets – 716
Proceeds from disposal of property, plant and equipment 31,111 16,483

Net cash used in investing activities (238,159) (239,982)

CASH FLOWS FROM FINANCING ACTIVITIES

Dividends paid 24 (695,418) (933,847)
Repayment of lease liabilities (123,367) –
Interest paid on lease liabilities (12,496) –

Net cash used in financing activities (831,281) (933,847)

The notes set out on pages 211 to 279 are an integral part of these financial statements.

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STATEMENT OF CASH FLOWS

FOR THE YEAR ENDED 31 DECEMBER 2019
(CONTINUED)

2019 2018
Note RM’000 RM’000

NET INCREASE/(DECREASE) IN CASH AND CASH EQUIVALENTS 1,177,666 (1,117,871)

CASH AND CASH EQUIVALENTS AT BEGINNING OF THE YEAR 1,969,066 3,086,937

CASH AND CASH EQUIVALENTS AT END OF THE YEAR 11 3,146,732 1,969,066

CASH AND CASH EQUIVALENTS

Cash with PETRONAS Integrated Financial Shared Services Centre 3,111,722 1,944,019
Cash and bank balances 35,010 25,047

11 3,146,732 1,969,066

Total cash outflows for leases amounts to RM438,662,000 which comprise of repayment and interest paid in relation to
lease liabilities, short-term lease, low-value assets and variable lease payments.

The notes set out on pages 211 to 279 are an integral part of these financial statements.

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