Leasing arrangements - leasee

12 Months Ended

Dec. 31, 2021

Presentation of leases for lessee [abstract]

14.	Leasing arrangements - lessee

The Group leases various assets, including land, buildings, machinery and equipment, and others. Lease agreements are typically made for periods of 1 to 30 years. Lease terms are negotiated on an individual basis and contain a wide range of different terms and conditions. The lease agreements do not impose covenants, but leased assets may not be used as security for borrowing purposes.

The carrying amount of

right-of-use

assets and the depreciation expenses are as follows:


	December 31, 2020		December 31, 2021
	Carrying amount		Carrying amount
	NT$000		NT$000
Land		636,261		616,458
Buildings		19,044		10,946
Machinery and equipment		203,249		204,484
Others		515		3,917

		859,069		835,805


	Year ended December 31,
	2019		2020		2021
	Depreciation expenses		Depreciation expenses		Depreciation expenses
	NT$000		NT$000		NT$000
Land		22,657		20,938		20,486
Buildings		7,113		7,819		9,870
Machinery and equipment		4,520		46,225		247,090
Others		1,809		1,544		1,634

		36,099		76,526		279,080

For the years ended December 31, 2020 and 2021, additions to

right-of-use

assets were NT$261,798 thousand and NT$433,768 thousand, respectively.

The information on profit or loss accounts relating to lease contracts is as follows:


	Year ended December 31,
	2019		2020		2021
	NT$000		NT$000		NT$000
Items affecting profit or loss
Interest expense on lease liabilities		14,349		13,442		15,245
Expense on short-term lease contracts		230,589		202,782		143,791

For the years ended December 31, 2019, 2020 and 2021, the Group’s total cash outflow for leases were NT$273,709 thousand, NT$274,727 thousand and NT$448,290 thousand, respectively.