OPERATING SGEMENTS (Tables)

12 Months Ended

Jun. 30, 2018

Disclosure of operating segments Explanatory

OPERATING SEGMENTS

		Other
2018		reconciling
Amounts in R million	Ergo	items	Total

Financial performance
Revenue (External)	2 490.4	-	2 490.4
Cash operating costs	(2 159.7)	-	(2 159.7)
Movement in gold in process	24.5	-	24.5

Operating profit	355.2	-	355.2
Administration expenses and general costs⁽¹⁾	(11.5)	(78.6)	(90.1)
Interest income⁽²⁾	9.5	12.3	21.8
Interest expense ⁽³⁾	(3.1)	(1.0)	(4.1)
Current tax	(2.9)	(3.5)	(6.4)

Working profit/(loss) before capital expenditure	347.2	(70.8)	276.4
Additions to property, plant and equipment	(125.2)	(0.9)	(126.1)

Working profit/(loss) after capital expenditure	222.0	(71.7)	150.3
^{(1) Administration expenses and general costs excludes loss on disposal of property, plant and equipment}
^{(2) Interest income excludes the unwinding of the long-term receivable}
^{(3) Interest expense excludes the fair value adjustment on the initial recognition of the long-term receivable}

Reconciliation of profit/(loss) for the year
Working profit/(loss) before capital expenditure	347.2	(70.8)	276.4
- Depreciation	(167.4)	(0.6)	(168.0)
- Movement in provision for environmental rehabilitation	2.5	0.4	2.9
- Growth in investment in environmental obligation funds	10.1	6.2	16.3
- Loss on disposal of property, plant and equipment	(0.6)	-	(0.6)
- Unwinding of provision for environmental rehabilitation	(44.3)	(1.3)	(45.6)
- Fair value adjustment on the initial recognition of long-term
receivable including subsequent unwinding	(8.1)	-	(8.1)
- Ongoing rehabilitation expenditure	(26.7)	-	(26.7)
- Net other operating (costs)/income	(36.2)	15.6	(20.6)
- Deferred tax	(23.2)	3.7	(19.5)

Profit/(loss) for the year	53.3	(46.8)	6.5

Statement of cash flows
Cash flows from operating activities	285.3	(51.5)	233.8
Cash flows from investing activities	(140.2)	(0.2)	(140.4)
Cash flows from financing activities	(2.8)	(42.2)	(45.0)


21	OPERATING SEGMENTS continued

			Other
	2017		reconciling
	Amounts in R million	Ergo	items	Total

	Financial performance
	Revenue (External)	2 339.9	-	2 339.9
	Cash operating costs	(2 087.9)	-	(2 087.9)
	Movement in gold in process	4.8	-	4.8
	Operating profit	256.8	-	256.8
	Interest income	6.8	16.8	23.6
	Interest expense	(3.3)	(2.4)	(5.7)
	Retrenchment costs	(23.0)	-	(23.0)
	Administration expenses and general costs	(4.5)	(64.9)	(69.4)
	Current tax	(1.9)	-	(1.9)

	Working profit/(loss) before capital expenditure	230.9	(50.5)	180.4
	Additions to property, plant and equipment	(116.2)	(0.1)	(116.3)
	Additions to unlisted investments	-	(0.1)	(0.1)

	Working profit/(loss) after capital expenditure	114.7	(50.7)	64.0

	Reconciliation of profit/(loss) for the year
	Working profit/(loss) before capital expenditure	230.9	(50.5)	180.4
	- Depreciation	(179.7)	(0.1)	(179.8)
	- Movement in provision for environmental rehabilitation	(0.6)	-	(0.6)
	- Growth in environmental rehabilitation trust funds and reimbursive right	10.9	5.5	16.4
	- Profit on disposal of property, plant and equipment	0.2	12.7	12.9
	- Unwinding of provision for environmental rehabilitation	(45.3)	(1.2)	(46.5)
	- Ongoing rehabilitation expenditure	(22.4)	-	(22.4)
	- Net other operating (costs)/income	(30.3)	31.3	1.0
	- Deferred tax	54.2	(1.9)	52.3

	Profit/(loss) for the year	17.9	(4.2)	13.7

	Statement of cash flows
	Cash flows from operating activities	32.5	19.1	51.6
	Cash flows from investing activities	(116.6)	19.9	(96.7)
	Cash flows from financing activities	(2.4)	(50.6)	(53.0)

21	OPERATING SEGMENTS continued

			Other
	2016		reconciling
	Amounts in R million	Ergo	items	Total
	Financial performance
	Revenue (External)	2 433.1	-	2 433.1
	Cash operating costs	(1 991.2)	-	(1 991.2)
	Movement in gold in process	(7.1)	-	(7.1)
	Operating profit	434.8	-	434.8
	Interest income	2.8	19.6	22.4
	Interest expense	(4.1)	(0.5)	(4.6)
	Administration expenses and general costs	(4.5)	(82.7)	(87.2)
	Current tax	(0.5)	(5.1)	(5.6)
		-	-	-
	Working profit/(loss) before capital expenditure	428.5	(68.7)	359.8
	Additions to property, plant and equipment	(100.0)	-	(100.0)
	Additions to listed investments	-	(1.3)	(1.3)
		-	-	-
	Working profit/(loss) after capital expenditure	328.5	(70.0)	258.5

	Reconciliation of profit/(loss) for the year
	Working profit/(loss) before capital expenditure	428.5	(68.7)	359.8
	- Depreciation	(180.1)	(0.1)	(180.2)
	- Movement in provision for environmental rehabilitation	(21.4)	2.1	(19.3)
	- Growth in environmental rehabilitation trust funds and reimbursive right	9.8	4.7	14.5
	- Profit on disposal of property, plant and equipment	9.3	1.2	10.5
	- Unwinding of provision for environmental rehabilitation	(41.5)	(1.5)	(43.0)
	- Ongoing rehabilitation expenditure	(27.8)	-	(27.8)
	- Net other operating (costs)/income	(29.6)	18.3	(11.3)
	- Deferred tax	(46.9)	5.6	(41.3)

	Profit/(loss) for the year	100.3	(38.4)	61.9

	Statement of cash flows
	Cash flows from operating activities	414.8	1.1	415.9
	Cash flows from investing activities	(105.6)	(1.6)	(107.2)
	Cash flows from financing activities	(2.0)	(279.1)	(281.1)