5.3 Explanation of differences between the 2016 annual consolidated financial statements and these consolidated financial statements

Annual Report 2017 > Results 2017 > Supplementary information and notes > 5.3 Explanation of differences between the 2016 annual consolidated financial statements and these consolidated financial statements
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5.3.1. Purchase price allocation of the acquisition of Bank BPH’s Core Business

Due to the completion of the final purchase price allocation of the acquisition of Bank BPH’s Core Business, a retroactive restatement of data as at 31 December 2016 has been performed. More information on this purchase price allocation is presented in item 2.4.5.

5.3.2. Change in presentation of revenues earned by Money Makers TFI SA

In order to unify the presentation of revenues earned by mutual fund companies in the PZU Group, the revenues earned by Money Makers TFI SA (Alior Bank’s subsidiary) from other operating income to revenue from commissions and fees.

5.3.3. Change of presentation of interest income and expenses for derivative instruments

To ensure better reflection of the economic nature of the transactions in derivative instruments, the presentation of interest income and expenses has been changed for those instruments by netting interest income and expenses.

5.3.4. Change of presentation of Alior Bank’s IT costs in the consolidated profit and loss account

To unify the presentation of IT costs, the costs incurred by Alior Bank were transferred from other operating expenses to administrative expenses.

5.3.5. Change to presentation of receivables on account of deposits and guarantees.

To reflect better the economic character of receivables on account of deposits and guarantees paid, these receivables have been transferred from other assets to receivables.

5.3.6. Change to presentation of costs of services provided to banks

To reflect better the economic character of the costs incurred, some costs of services purchased by banks have been transferred from fees and commission expenses to administrative expenses.

5.3.7. Impact exerted by the differences on the consolidated financial statements

The following tables present the impact of the aforementioned changes on the individual items of the consolidated financial statements.

Assets31 December 2016 (historical)Adjustment31 December 2016 (restated)1 January 2016 (historical)Adjustment1 January 2016 (restated)
Other assets8717 1) (12) 2)866813(12) 2)801
Financial assets105,300(14) 1)105,28689,229-89,229
Available for sale11,63517 1)11,6527,745-7,745
Loans54,365(31) 1)54,33443,326-43,326
Deferred tax assets6249 1)633369-369
Receivables5,703(51) 1) 12 2)5,6643,33812 2)3,350
Total assets125,345(49) 1)125,296105,397-105,397

1)  Change described in section 5.3.1.

2)  Change described in section 5.3.5.

Equity and liabilities31 December 2016 (historical)Adjustment31 December 2016 (restated)1 January 2016 (historical)  Adjustment1 January 2016 (restated)
Equity      
Equity attributable to equity holders of the Parent13,010(12) 1)12,99812,924-12,924
Retained earnings2,055(12) 1)2,0432,696-2,696
Net profit1,947(12) 1)1,935---
Non-controlling interest4,117(31) 1)4,0862,194-2,194
Total equity17,127(43) 1)17,08415,118-15,118
Other liabilities4,997(6) 1)4,9913,570-3,570
Total liabilities108,218(6) 1)108,21290,279-90,279
Total equity and liabilities125,345(49) 1)125,296105,397-105,397

1)  Change described in section 5.3.1.

Consolidated profit and loss account1 January – 31 December 2016 (historical)Adjustment1 January – 31 December 2016 (restated)
Revenue from commissions and fees8089 1)817
Net investment income4,165(54) 2)4,111
Net movement in fair value of assets and liabilities measured at fair value357(22) 2)335
Other operating income1,388(9) 1) (43) 3)1,336
Fee and commission expense(285)12 4)(273)
Interest expense(773)76 2)(697)
Administrative expenses(2,843)(68) 5) (12) 4)(2,923)
Other operating expenses(2,128)68 5)(2,060)
Operating profit3,034(43) 3)2,991
Net profit2,417(43) 3)2,374
- profit attributable to the equity holders of the Parent Company1,947(12) 3)1,935
- profit (loss) attributed to holders of non-controlling interest470(31) 3)439

1)  Change described in section 5.3.2.

2)  Change described in section 5.3.3.

3)  Change described in section 5.3.1.

4)  Change described in section 5.3.6.

5)  Change described in section 5.3.4.

Consolidated cash flow statement1 January – 31 December 2016 (historical)Adjustment1)1 January – 31 December 2016 (restated)
Profit before tax3,031(43)2,988
Movement in loan receivables from clients(5,190)31(5,159)
Movement in receivables(2,338)39(2,299)
Change in liabilities1,967(6)1,961
Other adjustments3,163(21)3,142
Net cash flows from operating activities4,237-4,237

1)  Change described in section 5.3.1.

 

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