Annual Report • Sep 2, 2013
Annual Report
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José Lourenço Abreu Teixeira – Chairman Manuel Fernando Monteiro da Silva – Vice-chairman António Manuel de Oliveira Saramago – 1st Secretary Maria Olívia Almeida Madureira – 2nd Secretary
José Reis da Silva Ramos – Chairman Takeshi Numa – Member Daniele Schillaci – Member Maria Angelina Martins Caetano Ramos - Member Salvador Acácio Martins Caetano – Member Miguel Pedro Caetano Ramos – Member Rui Manuel Machado de Noronha Mendes - Member Shigeki Enami – Alternate Member
José Domingos da Silva Fernandes - Chairman Alberto Luis Lema Mandim – Member Akito Takami - Member Maria Lívia Fernandes Alves – Alternate Member Takao Gonno - Alternate Member
José Pereira Alves, or José Miguel Dantas Maio Marques representing PricewaterhouseCoopers & Associados - Sociedade de Revisores Oficiais de Contas, Lda.
António Joaquim Brochado Correia – Alternate Member
| JUN '13 | JUN '12 | JUN '11 | |
|---|---|---|---|
| TURNOVER | 107.467.227 | 117.230.829 152.323.880 | |
| CASH-FLOW | 6.242.368 | 6.195.895 | 9.478.981 |
| INTEREST AND OTHERS | 1.009.932 | 1.632.907 | -306.744 |
| PERSONNEL EXPENSES | 18.274.762 | 18.744.423 | 22.582.870 |
| NET INVESTMENT | 6.308.000 | 10.310.482 | 12.076.344 |
| NUMBER OF EMPLOYEES | 1.512 | 1.770 | 1.778 |
| NET INCOME WITH NON-CONTROLLED INTEREST | -998.184 | -2.354.115 | 495.492 |
| NET INCOME WITH OUT NON-CONTROLLED INTEREST | -923.092 | -2.235.808 | 520.171 |
| DEGREE OF FINANTIAL AUTONOMY | 61,99% | 53,80% | 51,50% |
In accordance with the provisions laid down in Código dos Valores Mobiliários (Portuguese Securities Code), Article 246 (1-b), the interim report below was prepared, with an indication of the relevant events occurred during the period and the corresponding impact on the financial statements for each Company included in the consolidation perimeter of Toyota Caetano Portugal.
At the same time, the main expectations for the 2nd half of the current financial year are showed, although in brief.
On the first half of the year the Plant operations were still influenced by the strong crisis which began at the end of 2008.
By reviewing the results, we see that 616 units were produced in Toyota's activity, corresponding to a 33% decrease against the same period in 2012. The export market registered a 27% decrease against the 1st half in 2012 and, in the domestic market, a decrease of 13%.
PPO/PDI business prepared 1,349 vehicles, representing a decrease of 8% over the same period last year.
| PRODUCTION | 2013 (JAN JUN) |
2012 | 2011 | 2010 | 2009 | 2008 |
|---|---|---|---|---|---|---|
| Toyota Physical Units | 616 | 1,381 | 2,025 | 2,553 | 1,967 | 5,947 |
| Minibuses Physical Units | 0 | 0 | 12 | 91 | 86 | 154 |
| Converted Physical Units | 1,349 | 2,174 | 4,274 | 6,316 | 5,677 | 10,046 |
| Total employees | 182 | 190 | 214 | 297 | 340 | 360 |
It was also in this period that the production of the new Dyna 200 model started. It should also be noted that in May the APCER audit reviewed our Quality and Environment Management systems (ISO 9001:2008 and ISO 14001:2012) and the first audit of Toyota Motor Europe's Toyota Environmental System also took place.
The 1st half of 2013 shows a slight recovery, with total market growing around 2% when compared to the same period of the previous year, totalling 63, 384 units.
This recovery is based on 2.9% growth in passenger vehicles, while commercial vehicles show a drop of 4.5%.
In the 1st half-year, Toyota shows total sales of 2,793 units, a drop of 8.2% when compared to the same period of the previous year.
This outcome results in a total market share of 4.4% for the first half of the year.
Source: ACAP
In light of the extremely adverse macroeconomic climate, and with an automotive market almost stagnant, the brand's performance in the 1st half-year is explained by the following factors:
This market share decrease is mainly due to:
Growth in Rent-a-Car, premium market and sub-segments sales where the brand has no presence.
Despite these results, the good performance in Auris (14.5% market share), Avensis (14.4% market share) and Verso (15.7% market share) models should be noted; these models rank in the Top 3 of the sub-segments where they compete.
This performance is mainly due to:
On the first half of the year, the make was present at only 1/3 of the commercial vehicles market. Hilux and Dyna rank 1st place in the segment where they compete, with market shares of 29% and 28%, respectively.
For the 2nd half of the year, the outlook is more favourable as a result of the launch of new products that contribute to increased market coverage for the make (around 12%).
Auris Touring Sports (new model enables us to compete in the important C-SW segment, which represents 9% of the total passenger market);
Corolla;
Rav4;
ProAce (new model that ensures the brand presence on the Vans segment (22% of the commercial vehicles market).
Growth in premium market on the 1st half of 2013 was positive. This segment showed a considerable growth of 12% compared to that of passenger total market, which stood around 3%.
This situation involves an increase in the weight of the premium market on the total passenger vehicle market, going from 23% to 25% - an increase of 2 p.p. - this performance is mainly due to:
Broader offer of premium makes to lower segments;
Greater marketing aggression by the main premium makes.
In line with market trends, Lexus shows growth of over 18% compared to the previous year, enabling the market share of 0.4 p.p. to be kept.
This performance is explained by the more aggressive marketing supported by successful campaigns for CT and IS models.
For the 2nd half, an improvement in sales is expected, resulting from the launching of new products:
| LHM MARKET | TOYOTA + BT SALES | |||||||
|---|---|---|---|---|---|---|---|---|
| 1st Half | Change | 1st Half '12 | 1st Half '13 | Change | ||||
| 2012 | 2013 | % | Qty. | Share | Qty. | Share | % | |
| Counterbalanced Forklifts | 334 | 362 | 8,4% | 88 | 26,3% | 56 | 15,5% | -36,4% |
| Warehouse Equipment | 423 | 515 | 21,7% | 83 | 19,6% | 166 | 32,2% | 100,0% |
| TOTAL LHM | 757 | 877 | 15,9% | 171 | 22,6% | 222 | 25,3% | 29,8% |
Source: ACAP
At the end of the 1st half of 2013, overall the national market for load handling machines (LHM) showed a positive trend, with growth of 15.9% compared to the same period in 2012. This growth is explained by the fact that last year there was a sharp drop and, accordingly, the comparison basis is very low. The current economic and financial crisis and the resulting drop in business have caused both the postponement of fleet renewals and also the return of some vehicles.
By segment, the counterbalanced forklift market grew 8.4% and the warehouse equipment market grew 21.7%.
Our overall sales grew 29.8%, more than the market, which enabled Toyota + BT to retain its leadership with a share of 25.3%.
With regard to Toyota Counter-balanced Forklifts sales reached, in the first 6 months of the year, 56 units, representing a decrease in sales of 36.4% with an accumulated share of 15.5%.
With regard to BT Warehouse Equipment the sales volume doubled from 83 units in 2012 to 166 in 2013, as a result of certain fleet businesses, achieving an accumulated share in June of 32,2%.
(Thousand Euros)
| Product | Sales 1st Half 2012 |
Sales 1st Half 2013 |
Growth % 2013.2012 |
|---|---|---|---|
| Parts/ Accessories/Merchandising |
17,904 | 17,139 | -4.3% |
| Extracare/Eurocare Services | 426 | 325 | -23.6% |
| Total | 18,330 | 17,464 | -4.7% |
At the end of the first half of 2013, Toyota's After Sales Division had invoiced a total of 17 million Euros in parts, accessories and merchandising. This figure corresponds to a 4.3% decrease against the first half of 2012.
Also invoicing of Extracare and Eurocare services registers a decrease of 23.6% over the first half of 2012. Invoicing of these services is directly related to the sales of new vehicles, with a trend of change similar to this business.
The Official Toyota Assistance network is the main client of the After-Sales Division. During the first half of this year, this customer was the source of 93.4% of overall sales, the equivalent to 16 million Euros. However, this is a reduction of 2.9% when compared with the previous year.
The first half of 2013 continued to be characterised by the on-going national economic climate of contraction, which started already in 2011.
In this context, which particularly affects the automotive market, TCAP continued its commitment to boosting programmes that contradict the results of this unfavourable economic climate.
We highlight some of the measures taken, with especial incidence on retaining Toyota workshop clients:
Additionally, other measures have been taken to boost After Sales activity, such as:
Launch of the Online Accessories Catalogue for querying the accessories available for all marketed models. This catalogue is updated on a daily basis.
Continuous support and incitement to the sale of products considered as 'business opportunities'. This campaign seeks to boost the concept of additional sales, thus generating greater profitability for Dealers.
In spite of the current context of market recession, Caetano Auto stabilised its turnover by registering the same amounts in the first half-year as in the same period last year. (3,255 units registered on the 1st half of 2013 against 3,221 on the same period in 2012).
On the other hand, overall EBITDA (an indicator that does not include the high weight of depreciation) registered a positive aggregate of 1.3 million Euros in this half-year, compared to only 0.5 million Euros registered in June 2012.
However, careful management of all the Company's expenditures also enabled generalised reductions, mainly in External Supplies and Services and Staff Costs of about 0.6 million Euros.
Last year's annual report and accounts already predicted a difficult year for 2013 and a full economic recession.
In fact, the first half of 2013 saw a continuation of the crisis that had already been noted in the previous financial year. However, despite this scenario, Auto Partner – Comércio de Automóveis managed to keep the turnover levels of the previous year, even recording a slight increase in units sold with an aggregate of 201 units in June 2013, compared to 173 for the same period in the previous year.
In the meanwhile, analysis by businesses shows the clear current dependence of the Company's positive EBITDA on After-sales performance, contrary to the negative income of the car sales businesses.
In fact, efforts to improve occupancy rates in our workshops have been effective, achieving profitable business even in this period of crisis.
In addition, this Company has also carried out internal restructuring for better use of available synergies, which have already led to a reduction of about 40,000 Euros in booked External Supplies and Services alone.
In the same fashion, and in continuing to adjust the Company's structure to the current market, Auto Partner – Comércio de Automóveis has also deactivated the Ermelo, Leca and Trofa facilities, in an effort to ensure that the businesses of these facilities remain in the Company in locations near to these facilities.
Despite the economic crisis we are experiencing, sales volumes for Caetano Colisão (Norte) remained in this half-year at the levels recorded in the same period last year.
This was largely the result of efforts to capture and retain major clients, such as fleet managers and insurers, in order to optimise the installed structure and thus boost income.
However, the Company foresaw the current market difficulties and remained attentive by seeking continuously to re-assess and adjust the entire structure of the organisation, ensuring already for this 1st half year reductions in expenditure compared to the same period last year, particularly in External Supplies and Services and Staff costs.
| 2013 | 2012 | Change | |||
|---|---|---|---|---|---|
| MARKET | MAKE | 1st Half | 1st Half | Qty. | % |
| Toyota | 10 | 36 | ‐26 | ‐72.22% | |
| Light Passenger Vehicles |
Daihatsu | 3 | 7 | ‐4 | ‐57.14% |
| Light Commercial Vehicles |
Toyota | 48 | 60 | ‐12 | ‐20.00% |
| Heavy Commercial Vehicles |
Toyota | 32 | 30 | 2 | 6.67% |
| 93 | 133 | ‐40 | ‐30.08% |
Caetano Auto CV showed a sharp drop (-30.08% vs. same period last year) in the 1st half of 2013. The market for Light Passenger Vehicles fell by 72.22% with special impact on the Corolla model due to the non-allocation of custom duties exemption to taxi companies.
Removal of the custom duties exemption for state agencies, lack of bank liquidity and the paucity of works in the portfolios of civil construction companies are further important reasons that contributed to the drop in the number of units sold in the 1st half of 2013.
| 2013 | 2012 | Change | ||
|---|---|---|---|---|
| MARKET | 1st Half | 1st Half | Qty. | % |
| Parts/ Accessories |
73,966 | 80,613 | ‐6,647 | ‐8.25% |
| Workshop (Labour) |
15,765 | 16,531 | ‐766 | ‐4.63% |
| 89,731 | 97,144 | ‐7,413 | ‐7.63% |
(Amounts in Thousand ECV)
During the 1st half of 2013 Caetano Auto CV invoiced 73,966 Thousand ECV in parts and accessories, a drop of 8.25% over the same period in 2012. Workshop invoicing has decreased by 4.63% compared to the same period last year.
After Sales continues to experience the strong market competition traditionally designated as after-market which is translated in a decrease in volume of over the counter sales and billing to insurers.
Turnover for the period was approximately 1.8 million Euros, and compared with the same period of the previous year, represents a decrease of about 17.77%.
This reduction is due to the fact that the total fleet of the company at the end of the 1st half-year consists of 1383 units, a decrease of approximately 34.14% compared with the 1st half of the previous year.
Total Fleet vehicles have the structures below:
| Light Passenger Vehicles: | 1,088 uts | (79.67%) |
|---|---|---|
| Light Commercial Vehicles: | 41 uts | (2.96%) |
| Industrial Machines: | 254 uts | (18.37%) |
In turn, the significant reduction in the fleet contributed to the decrease of about 34% in booked depreciation.
In June 255 vehicles were purchased for the RACs segment, whose impact on Turnover will only take effect in the next half-year.
In 2012, Caetano Components undertook a restructuring of its business in order to adapt its structure, both in terms of technical skills and human and physical resources, in order to make its business competitive and profitable.
Accordingly, the organisational structure of this company has been adapted to the manufacture of the C5 chassis, which is a Caetano product developed by a Salvador Caetano Group Company - CaetanoBus.
This business is extremely important for the value chain of bodywork production. However, the economic crisis being experienced in Europe has stalled expected turnover for this segment. The first half of 2013 was therefore characterised by a reduction in turnover over the same period in 2012, of approximately 72%, making it necessary to devise new restructuring measures that allow the Company to overcome the economic problems being faced.
Company without activity in the period under review and facing formal closure.
On the period under review, compared to the same period in 2012, the consolidation perimeter of Toyota Caetano Portugal group has changed by means of the integration of the company CAISB – Companhia Imobiliária Administradora São Bernardo, S.A. The impact of this integration was not significant.
In order to contextualise the consolidated financial review of Toyota Caetano Portugal, synthesis of the main consolidated indicators, comparatively speaking, with amounts stated in Euros is reflected in the table below:
| Jun'12 | Jun'13 | Change | |
|---|---|---|---|
| Turnover | 117,230,829 | 107,467,227 | -8% |
| Gross Profits | 29,519,248 | 25,747,058 | -13% |
| % | 25% | 24% | |
| E.B.I.T.D.A. | 7,748,006 | 7,035,697 | -9% |
| % | 7% | 7% | |
| Profits before Taxes | -2,729,601 | -643,985 | 76% |
| % | -2% | -1% | |
| Cash flow (PBT + Depreciations) | 5,745,052 | 6,152,304 | 7% |
| % | 5% | 6% | |
| Net Financial Debt | 48,263,310 | 21,752,855 | -55% |
| Degree of Financial Autonomy | 54% | 61% |
In this first half year of 2013, the group registered a consolidated turnover of about 107 million Euros, representing an 8% decrease against the same period in 2012, as a result of the current macroeconomic environment and the recessive behaviour being shown by the automotive sector.
The table below shows the contribution of each invested company for the consolidated turnover, and a generalised drop is clear in invoiced sales for industrial companies, with automotive retail having a positive behaviour which can indicate the beginning of a longawaited recovery cycle for the sector.
| Jun'12 | Jun'13 | Change | |
|---|---|---|---|
| Toyota Caetano Portugal | 46,661,282 | 38,525,233 | -17% |
| Caetano Components | 2,299,152 | 661,249 | -71% |
| Caetano Auto CV | 4,088,550 | 3,079,437 | -25% |
| Caetano Renting | 2,124,591 | 1,680,432 | -21% |
| Caetano Auto | 56,942,987 | 58,531,070 | 3% |
| Auto Partner Com. Aut. | 2,577,758 | 2,643,779 | 3% |
| Caetano Colisão Norte | 2,536,508 | 2,346,028 | -8% |
| Consolidated Turnover | 117,230,829 | 107,467,227 | -8% |
Operating income was positive standing at about 366 thousand Euros, thus reflecting a visible recovery against the previous year which registered a negative amount of 1.1 million Euros. This recovery shows the cost reduction policy that has been applied but which results mainly from the significant drop in amortisation and depreciation costs, due to the reduction in renting car fleet and the end of the depreciation period of equipment and facilities, namely Ovar Plant.
Profits before taxes, negative at about 644 thousand Euros show a favourable development against June 2012, with the financial component having a significant contribution by registering net financial costs of about 1 million Euros, against the 1.6 million borne in the previous year. In face of this continuous and generalised rise in spreads, and which is not offset by the drops registered in reference interest rates, the favourable development in financial income was possible by substantially reducing the financial debt, a constant concern of the Group in order to own a balanced financial structure and which is translated in the favourable development of the Degree of Financial Autonomy at 61% when in 2012 it stood at 54%.
From all said above, we could say that the crisis that affected the Automotive sector has already 'hit the bottom'. The slight market growth felt in the 1st half of 2013 will probably be followed by economic development and investment incentive measures. As an example, the Parliament has just approved the study of an incentive regime promoting the purchase of new vehicles.
We think that the 2nd half of 2013 will reflect this trend of quite moderate recovery in the automotive market.
On the other hand and in terms of the brands represented by our company, the fact that the introduction of new models (Auris Touring Segment C, VAN Proace and Lexus hybrid IS300h) will surely allow a recovery of accrued business shares and volumes should not be underestimated. Therefore, our outlook for the 2nd half is somehow more optimistic than for the first half, because we think that in accumulated terms Toyota Caetano Group will comply with the budget objectives of achieving its sales critical point and corresponding income equilibrium.
We state, under the terms and for the purposes provided for in article 246(1-c) of Código dos Valores Mobiliários (Portuguese Securities Code), that to the best of our knowledge, the consolidated financial statements of Toyota Caetano Portugal regarding the 1st half of 2013 were prepared in accordance with applicable accounting standards, giving a true and fair view of the assets and liabilities, the state of affairs and the income of this company, and that the interim management report faithfully shows the information required under article 246(2) of CVM.
Vila Nova de Gaia, 27 August 2013
The Board of Directors
José Reis da Silva Ramos - Chairman Takeshi Numa Daniele Schillaci Maria Angelina Martins Caetano Ramos Salvador Acácio Martins Caetano Miguel Pedro Caetano Ramos Rui Manuel Machado de Noronha Mendes
(Under article 447 of Código das Sociedades Comerciais (Portuguese Companies Code) and in accordance with Article 9 (d) and 14 (7) of CMVM Regulation 5/2008)
JOSÉ REIS DA SILVA RAMOS (Chairman of the Board of Directors): Holds no shares or obligations. GRUPO SALVADOR CAETANO, SGPS, S.A., in which he is a Member of the Board of Directors, had no changes, and so as at 30 June 2013, it held 21,288,281 shares with the nominal value of one Euro each. FUNDAÇÃO SALVADOR CAETANO, in which he is Chairman of the Board of Directors, had no changes, and so as at 30 June 2013, it held 138,832 shares with the nominal value of one Euro each. COVIM – Sociedade Agrícola, Silvícola e Imobiliária, S.A., in which his spouse is Chairman of the Board of Directors, had no changes, and so as at 30 June 2013, it held 393,252 shares with the nominal value of one Euro each. COCIGA - Construções Civis de Gaia, S.A., in which his spouse is Chairman of the Board of Directors, had no changes, and so as at 30 June 2013, it held 290 shares with the nominal value of one Euro each.
TAKESHI NUMA (Member of the Board of Directors): Holds no shares or obligations.
DANIELE SCHILLACI (Member of the Board of Directors): Holds no shares or obligations.
MARIA ANGELINA MARTINS CAETANO RAMOS (Member of the Board of Directors): Holds no shares or obligations. GRUPO SALVADOR CAETANO, SGPS, S.A., in which she is Chairman of the Board of Directors, had no changes, and so as at 30 June 2013, it held 21,288,281 shares with the nominal value of one Euro each. FUNDAÇÃO SALVADOR CAETANO, SGPS, S.A., in which her spouse is Chairman of the Board of Directors, had no changes, and so as at 30 June 2013, it held 138,832 shares with the nominal value of one Euro each. COVIM – Sociedade Agrícola, Silvícola e Imobiliária, S.A., in which she is Chairman of the Board of Directors, had no changes, and so as at 30 June 2013, it held 393,252 shares with the nominal value of one Euro each. COCIGA - Construções Civis de Gaia, S.A., in which she is Chairman of the Board of Directors, had no changes, and so as at 30 June 2013, it held 290 shares with the nominal value of one Euro each.
SALVADOR ACÁCIO MARTINS CAETANO (Member of the Board of Directors): Holds no shares or obligations. GRUPO SALVADOR CAETANO, SGPS, S.A., in which he is Vice Chairman of the Board of Directors, had no changes, and so as at 30 June 2013, it held 21,288,281 shares with the nominal value of one Euro each. FUNDAÇÃO SALVADOR CAETANO, SGPS, S.A., in which he is Member of the Board of Directors, had no changes, and so as at 30 June 2013, it held 138,832 shares with the nominal value of one Euro each. COCIGA - Construções Civis de Gaia, S.A., in which he is a Member of the Board of Directors, had no changes, and so as at 30 June 2013, it held 290 shares with the nominal value of one Euro each.
MIGUEL PEDRO CAETANO RAMOS (Member of the Board of Directors): Holds no shares or obligations. GRUPO SALVADOR CAETANO, SGPS, S.A., in which he is a Member of the Board of Directors, had no changes, and so as at 30 June 2013, it held 21,288,281 shares with the nominal value of one Euro each.
RUI MANUEL MACHADO DE NORONHA MENDES (Member of the Board of Directors): Holds no shares or obligations. FUNDAÇÃO SALVADOR CAETANO, SGPS, S.A., in which he is Member of the Board of Directors, had no changes, and so as at 30 June 2013, it held 138,832 shares with the nominal value of one Euro each.
SHIGEKI ENAMI (Alternate Member of the Board of Directors): - Holds no shares or obligations.
José Domingos da Silva Fernandes - Holds no shares or obligations.
Akito Takami - Holds no shares or obligations.
Alberto Luís Lema Mandim - Holds no shares or obligations.
Maria Lívia Fernandes Alves (Alternate Member of the Ausit Board) - Holds no shares or obligations
Takao Gonno (Alternate Member of the Ausit Board) - Holds no shares or obligations
PricewaterhouseCoopers & Associados - Sociedade de Revisores Oficiais de Contas, Lda., represented by José Pereira Alves, or by José Miguel Dantas Maio Marques - Holds no shares or obligations.
| SHAREHOLDERS | Shares | Shares | Shares | Shares |
|---|---|---|---|---|
| Held | Acquired | Sold | Held | |
| As at 31.12.2012 | As at 2013 | As at 2013 | As at 30.06.2013 | |
| TOYOTA MOTOR EUROPE NV/SA | 9,450,000 | -- | -- | 9,450,000 |
| SHAREHOLDERS | Shares | Shares | Shares | Shares |
|---|---|---|---|---|
| Held | Acquired | Sold | Held | |
| As at 31.12.2012 | As at 2013 | As at 2013 | As at 30.06.2013 | |
| GRUPO SALVADOR CAETANO, SGPS, SA | 21,288,281 | -- | -- | 21,288,281 |
| SHAREHOLDER | Shares | % of voting rights |
|---|---|---|
| GRUPO SALVADOR CAETANO - SGPS, SA | 21,288,281 | 60.824 |
| TOYOTA MOTOR EUROPE NV/SA | 9,450,000 | 27.000 |
| SALVADOR FERNANDES CAETANO (HEIRS OF) | 1,399,255 | 3.998 |
| Millenium BCP – Gestão de Fundos de Investimentos, S.A. representing the securities' funds managed by the bank, as follows: |
||
| Millennium Ações Portugal |
630,540 | 1.80 |
| Millennium PPA |
473,468 | 1.35 |
| Millennium Poupança PPR |
71,826 | 0.21 |
| Millennium Investimento PPR |
41,205 | 0.12 |
| Millennium Aforro PPR |
9,896 | 0.03 |
| ASSETS | Notes | 30-06-2013 | 31-12-2012 |
|---|---|---|---|
| NON-CURRENT ASSETS | |||
| Goodwill | 7 | 611.997 | 611.997 |
| Intangible Assets | 8 | 669.800 | 735.848 |
| Tangible Fixed Assets | 5 | 83.217.891 | 83.466.849 |
| Investment property | 6 | 15.750.790 | 16.002.786 |
| Available for sale Investments | 9 | 3.259.751 | 3.181.038 |
| Other Credits | 313.000 | 313.000 | |
| Deferred tax | 14 | 3.383.675 | 3.440.928 |
| Accounts Receivable | 11 | 101.435 | 111.718 |
| Total non-current assets | 107.308.339 | 107.864.164 | |
| CURRENT ASSETS | |||
| Inventories | 10 | 41.019.463 | 44.835.859 |
| Accounts Receivable | 11 | 42.607.311 | 42.891.844 |
| Other Credits | 12 | 6.139.000 | 7.657.930 |
| Public Entities | 20 | 1.035.996 | 228.104 |
| Other Current Assets | 13 | 2.480.112 | 2.995.638 |
| Cash and cash equivalents | 4 | 6.400.742 | 7.507.699 |
| Total current assets | 99.682.624 | 106.117.074 | |
| Total assets | 206.990.963 | 213.981.238 | |
| SHAREHOLDERS' EQUITY & LIABILITIES | |||
| EQUITY | |||
| Share capital | 15 | 35.000.000 | 35.000.000 |
| Legal Reserve | 15 | 7.498.903 | 7.498.903 |
| Revaluation reserves | 15 | 6.195.184 | 6.195.184 |
| Translation reserves | 15 | (1.695.238) | (1.695.238) |
| Fair value reserves | 15 | 181.168 | 102.455 |
| Other Reserve | - | 81.324.070 | 84.174.774 |
| Net Income | - | (923.092) | (2.853.034) |
| 127.580.995 | 128.423.044 | ||
| Non-controlled Interests | 16 | 733.867 | 812.346 |
| Total equity | 128.314.862 | 129.235.390 | |
| LIABILITIES: NON-CURRENT LIABILITIES |
|||
| Loans | 17 | 14.310.577 | 15.442.693 |
| Pension Fund liabilities | 22 | 499.600 | 1.051.264 |
| Provisions | 23 | 326.364 | 315.464 |
| Deferred tax | 14 | 2.499.172 | 2.499.172 |
| Total non-current liabilities | 17.635.713 | 19.308.593 | |
| CURRENT LIABILITIES | |||
| Loans | 17 | 13.843.020 | 24.991.635 |
| Accounts Payable | 18 | 22.151.180 | 18.105.176 |
| Other Creditors | 19 | 2.117.958 | 2.445.622 |
| Public Entities | 20 | 7.865.660 | 5.925.322 |
| Other current liabilities | 21 | 14.775.171 | 13.364.892 |
| Derivative financial instruments | 24 | 287.399 | 604.608 |
| Total current liabilities | 61.040.388 | 65.437.255 | |
| Total liabilities and shareholder' equity | 206.990.963 | 213.981.238 | |
The notes to the financial statements integrates this statement for the period ending at 30 June 2013 .
CHARTERED ACCOUNTANT BOARD OF DIRECTORS ALEXANDRA MARIA PACHECO GAMA JUNQUEIRA JOSÉ REIS DA SILVA RAMOS – President
TAKESHI NUMA DANIELE SCHILLACI MARIA ANGELINA MARTINS CAETANO RAMOS SALVADOR ACÁCIO MARTINS CAETANO MIGUEL PEDRO CAETANO RAMOS RUI MANUEL MACHADO DE NORONHA MENDES
| 01-04 a 30-06-2013 | 01-04 a 30-06-2012 | ||||
|---|---|---|---|---|---|
| Notes | 30-06-2013 | (Non Audit) | 30-06-2012 | (Non Audit) | |
| Operational Income: | |||||
| Sales | 26 | 98.691.430 | 53.840.273 | 107.437.146 | 58.111.831 |
| Service Rendered | 26 | 8.775.797 | 4.423.208 | 9.793.683 | 4.693.394 |
| Other Operating Income | 29 | 16.841.971 | 8.177.714 | 16.358.765 | 8.290.262 |
| Variation of Products | 10 | 705.030 | 389.812 | (480.672) | (2.912.083) |
| 125.014.228 | 66.831.007 | 133.108.922 | 68.183.404 | ||
| Operational Costs: | |||||
| Cost of sales | 10 | (81.720.169) | (45.087.454) | (87.711.581) | (45.704.417) |
| External Supplies and Services | 27 | (17.008.440) | (8.871.378) | (17.776.068) | (9.187.019) |
| Payroll Expenses | 28 | (18.274.762) | (9.359.203) | (18.744.423) | (9.425.718) |
| Depreciations and Amortizations | 5, 6 and 8 | (6.796.289) | (3.472.422) | (8.474.653) | (4.386.739) |
| Provisions and Impairment loss | 23 | 126.539 | 160.725 | (370.047) | (228.399) |
| Other Operating expenses | 29 | (975.160) | (421.261) | (1.128.844) | (411.765) |
| (124.648.281) | (67.050.993) | (134.205.616) | (69.344.057) | ||
| Operational Income | 365.947 | (219.986) | (1.096.694) | (1.160.653) | |
| Finance costs | 30 | (1.499.913) | (679.115) | (1.732.981) | (974.897) |
| Finance Income | 30 | 489.981 | 244.696 | 100.074 | - |
| Profit before taxation from continuing operations | (643.985) | (654.405) | (2.729.601) | (2.135.550) | |
| Income tax for the year | 25 | (354.199) | (127.776) | 375.486 | 218.440 |
| Net profit for the period | (998.184) | (782.181) | (2.354.115) | (1.917.110) | |
| Net profit for the period attributable to: | |||||
| Equity holders of the parent | (923.092) | (712.260) | (2.235.808) | (1.790.941) | |
| Non-controlled interest | (75.092) | (69.921) | (118.307) | (126.169) | |
| (998.184) | (782.181) | (2.354.115) | (1.917.110) | ||
| Earnings per share: | |||||
| Basic | 36 | -0,029 | -0,022 | -0,067 | -0,055 |
| Diluted | 36 | -0,029 | -0,022 | -0,067 | -0,055 |
The notes to the financial statements integrates this statement for the period ending at 30 June 2013 .
CHARTERED ACCOUNTANT BOARD OF DIRECTORS ALEXANDRA MARIA PACHECO GAMA JUNQUEIRA JOSÉ REIS DA SILVA RAMOS – President
TAKESHI NUMA DANIELE SCHILLACI MARIA ANGELINA MARTINS CAETANO RAMOS SALVADOR ACÁCIO MARTINS CAETANO MIGUEL PEDRO CAETANO RAMOS RUI MANUEL MACHADO DE NORONHA MENDES
FOR THE PERIOD ENDED AT 30 JUNE 2013 and 2012
(Amounts expressed in Euros)
| Bal at 3 1 o f D mb er 2 011 anc es ece |
Sha re ital cap 35. 000 .00 0 |
Leg al Re ser ves 7.4 98. 903 |
Re luat ion ava Re ser ves 6.1 95. 184 |
Tra nsla tion res erv es (1.6 95. 238 ) |
Fai lue r va res erv es 14. 396 |
Oth er Re ser ve 86. 270 .79 5 |
Tot al r ese rve s 98. 284 .04 0 |
Ne t fit pro (2.2 18. 405 ) |
Tot al 131 .06 5.6 35 |
No rolle d ont n-c Inte ts res 1.0 58. 180 |
Tot al 132 .12 3.8 15 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Cha s in the riod nge pe : App lica tion of the Co lida ted Ne t In e 2 011 nso com Oth ers Su bto tal Con sol idat ed hen sive inc com pre om e |
- - - - |
- - - - |
- - - - |
- - - - |
- - - 93. 515 |
(2.2 18. 405 ) - (2.2 18. 405 ) (15 0) .52 |
(2.2 18. 405 ) - (2.2 18. 405 ) 77. 995 |
2.2 18. 405 - 2.2 18. 405 (2.2 ) 35. 808 |
- - - (2.1 ) 57. 813 |
- (9.8 18) (9.8 18) (11 07) 8.3 |
- (9.8 18) (9.8 18) (2.2 ) 76. 120 |
| Bal at 3 0 o f Ju 201 2 anc es ne |
35. 000 .00 0 |
7.4 98. 903 |
6.1 95. 184 |
(1.6 95. 238 ) |
107 .91 1 |
84. 036 .87 0 |
96. 143 .63 0 |
(2.2 35. 808 ) |
128 .90 7.8 22 |
930 .05 5 |
129 .83 7.8 77 |
| Bal f D mb at 3 1 o er 2 012 anc es ece |
35. 000 .00 0 |
7.4 98. 903 |
95. 6.1 184 |
(1.6 95. ) 238 |
.45 5 102 |
84. 174 .77 4 |
96. 276 .07 8 |
(2.8 53. ) 034 |
128 .42 3.0 44 |
812 .34 6 |
5.3 129 .23 90 |
| Cha s in the riod nge pe : of Co App lica tion the lida ted Ne t In e 2 012 nso com Oth ers Su bto tal Con sol idat ed hen sive inc com pre om e |
- - - - |
- - - - |
- - - - |
- - - - |
- - - 78. 713 |
(2.8 ) 53. 034 2.3 30 (2.8 ) 50. 704 - |
(2.8 ) 53. 034 2.3 30 (2.8 ) 50. 704 78. 713 |
2.8 53. 034 - 2.8 53. 034 (92 3.0 92) |
- 2.3 30 2.3 30 (84 4.3 79) |
- (3.3 87) (3.3 87) (75 .09 2) |
- (1.0 57) (1.0 57) (91 9.4 71) |
| Bal at 3 0 o f Ju 201 3 anc es ne |
35. 000 .00 0 |
7.4 98. 903 |
6.1 95. 184 |
(1.6 95. 238 ) |
181 .16 8 |
81. 324 .07 0 |
93. 504 .08 7 |
(92 3.0 92) |
127 .58 0.9 95 |
733 .86 7 |
128 .31 4.8 62 |
The notes to the financial statements integrates this statement for the period ending at 30 June 2013 .
CHARTERED ACCOUNTANTALEXANDRA MARIA PACHECO GAMA JUNQUEIRA
BOARD OF DIRECTORS JOSÉ REIS DA SILVA RAMOS – President TAKESHI NUMADANIELE SCHILLACIMARIA ANGELINA MARTINS CAETANO RAMOSSALVADOR ACÁCIO MARTINS CAETANOMIGUEL PEDRO CAETANO RAMOSRUI MANUEL MACHADO DE NORONHA MENDES
IAS/IFRS IAS/IFRS 30-06-2013 30-06-2012 Consolidated net profit for the period, including non-controlled interest (998.184) (2.354.115) Components of other consolidated comprehensive income, net of tax: Available for sale Investments fair value changes 78.713 93.515 Others - (15.520) Consolidated comprehensive income (919.471) (2.276.120) Atributable to: Equity holders of the parent company (844.379) (2.157.813) Non-controlled interest (75.092) (118.307)
The notes to the consolidated financial statments integrates this statement for the period ending at 30 June 2013.
CHARTERED ACCONTANT BOARD OF DIRECTORS CHARTERED BOARD OF
ALEXANDRA MARIA PACHECO GAMA JUNQUEIRA JOSÉ REIS DA SILVA RAMOS – President TAKESHI NUMA DANIELE SCHILLACI MARIA ANGELINA MARTINS CAETANO RAMOS SALVADOR ACÁCIO MARTINS CAETANO MIGUEL PEDRO CAETANO RAMOS RUI MANUEL MACHADO DE NORONHA MENDES
| OPERATING ACTIVITIES | Jun'13 | Jun'12 | |||
|---|---|---|---|---|---|
| Collections from Customers Payments to Suppliers Payments to Personnel |
Operating Flow | 120.111.772 (88.680.875) (15.282.519) |
16.148.378 | 135.935.389 (94.069.370) (15.658.335) |
26.207.684 |
| Payments of Income Tax Other Collections/Payments Related to Operating Activities |
(680.273) (1.703.594) |
(396.277) (12.413.329) |
|||
| Flow in Operating Activities | 13.764.511 | 13.398.078 | |||
| INVESTING ACTIVITIES | |||||
| Collections from: Investments Tangible Fixed Assets Intangible Fixed Assets Subsidies Interest and Others Dividends |
- 4.320.490 - 9.972 66.723 - |
4.397.185 | - 6.151.050 - 11.893 776 - |
6.163.719 | |
| Payments to: Investments Tangible Fixed Assets Intangible Fixed Assets |
- (3.169.013) (5.000) |
(3.174.013) | (5.000.000) (7.315.542) (594) |
(12.316.136) | |
| Flow in Investing Activities | 1.223.172 | (6.152.417) | |||
| FINANCING ACTIVITIES | |||||
| Collections from: Loan |
16.437 | 16.437 | 1.579.785 | 1.579.785 | |
| Payments to: Loan Lease Down Payments Interest and Others Dividends |
(12.293.909) (2.247.188) (1.562.422) |
(7.558) (16.111.077) | (11.843.377) (717.182) (1.748.998) (3.985) |
(14.313.542) | |
| Flow in Financing Activities | (16.094.640) | (12.733.757) | |||
| CASH | |||||
| Cash and Cash Equivalents at Beginning of Period (Note 4) Variation from discontinued operations |
7.507.699 - |
18.006.246 - |
|||
| Net Flow in Cash Equivalents | (1.106.957) | (5.488.096) |
CHARTERED ACCOUNTANT BOARD OF DIRECTORS ALEXANDRA MARIA PACHECO GAMA JUNQUEIRA JOSÉ REIS DA SILVA RAMOS – President
TAKESHI NUMA DANIELE SCHILLACI MARIA ANGELINA MARTINS CAETANO RAMOS SALVADOR ACÁCIO MARTINS CAETANO MIGUEL PEDRO CAETANO RAMOS RUI MANUEL MACHADO DE NORONHA MENDES (Euros)
Detail of cash and cash equivalents:
| (Euros) | ||||
|---|---|---|---|---|
| ITEMS | 30-06-2013 | 30-06-2012 | ||
| Money Bank Deposits at Immediate Disposal Cash Equivalents |
152.577 6.246.191 1.974 |
254.957 12.190.071 73.122 |
||
| Cash and Cash Equivalents | 6.400.742 | 12.518.150 | ||
| AVAILABILITIES AS IN BALANCE SHEET | 6.400.742 | 12.518.150 | ||
| CHARTERED ACCOUNTANT ALEXANDRA MARIA PACHECO GAMA JUNQUEIRA |
BOARD OF DIRECTORS JOSÉ REIS DA SILVA RAMOS – President TAKESHI NUMA DANIELE SCHILLACI |
MARIA ANGELINA MARTINS CAETANO RAMOS SALVADOR ACÁCIO MARTINS CAETANO MIGUEL PEDRO CAETANO RAMOS RUI MANUEL MACHADO DE NORONHA MENDES
(Amounts in Euros)
Toyota Caetano Portugal, S.A. ("Toyota Caetano" or "Company") was incorporated in 1946, has its headquarters in Vila Nova de Gaia, and is the Parent Company of a Group of companies ("Toyota Caetano Group" or "Group"), which mainly develop economic activities included in the automotive sector, namely the import, assembly and commercialization of vehicles, bus and coach industry, sale and rental of industrial equipment forklifts, sale of vehicles parts, as well as the corresponding technical assistance.
Toyota Caetano Group develops its activity mainly in Portugal and Cape Verde.
Toyota Caetano shares are listed in Euronext Lisbon since October 1987.
As of June 30, 2013, the companies included in Toyota Caetano Group, their headquarters and the abbreviations used, are mentioned in Note 3.
The attached financial statements are stated in Euros (rounding by unit), as this is the functional currency used in the economic environment where the Group operates. Foreign operations and transactions are included in the consolidated financial statements in accordance with the policy described in Note 2.3.
Interim financial statements are presented in accordance with IAS 34 – "Interim Financial Reporting".
These interim financial statements, prepared in accordance with the above mentioned framework, do not include all the required information to be included in the annual consolidated financial statements. Therefore, they should be read along with the consolidated financial statements as of December 31, 2012.
Comparative information regarding December 31, 2012, included in consolidated financial statements was audited.
The accompanying consolidated financial statements have been prepared on a going concern basis and under the historical cost convention, except for some financial instruments which are stated at fair value, from the books and accounting records of the companies included in consolidation (Note 3).
The following standards, interpretations, amendments and revisions endorsed by the European Union and mandatory in the fiscal years beginning on or after January 1, 2013, were adopted by the first time in this period:
a) Changes to accounting standards applicable to periods beginning on or after 1 January 2013
Improvements to IFRSs 2009 – 2011. The 2009-2011 annual improvements affects: IFRS 1, IAS 1, IAS16, IAS 32 and IAS 34. This amendment had no impact in the financial statements of Toyota Caetano Portugal.
(Amounts in Euros)
(ii) Interpretations:
IFRIC 21 (new), 'Levies' (estimated effective for annual periods beginning on or after 1 January 2014). This interpretation is still subject to endorsement by European Union. This is an interpretation to IAS 37, concerning the accounting of fees levied by Governments. The interpretation clarifies that the event which leads to the recognition of the obligation of payment of fees by the Government corresponds to the activity described in the relevant legislation which requires the entity to pay these rates, indicating the time when the responsibility must be recognized. Entity will apply this interpretation in the period it becomes effective.
The accompanying financial statements were prepared in accordance with the accounting policies disclosed in the notes to the consolidated financial statements as of June 30, 2013.
The Group's activity is exposed to a variety of financial risks, such as market risk (including currency risk, interest rate risk and price risk), credit risk and liquidity risk. These risks arise from the unpredictability of financial markets that affect the capacity of projected cash flows and profits subject to a perspective of long term ongoing. Management seeks to minimise potential adverse effects that derive from that uncertainty in its financial performance.
The financial risks management is controlled by Toyota Caetano financial department, according to the policies established by the Group Board of Directors. The Board of Directors has established the main principles of global risk management as well as specific policies for some areas, as interest rate risk and credit risk. As mentioned above, these principles and policies are properly described in the notes to the consolidated financial statements as of December 31, 2012.
In this context, then some risk indicators June 30, 2013, considered particularly relevant:
The Group operates internationally and has a subsidiary operating in Cape Verde. The group selects a functional currency for each subsidiary (Cape Verde Escudo, for the subsidiary Caetano Auto CV, S.A.), corresponding to the currency of the economical environment and the ones that better represents its cash flows composition. Foreign currency risk arises mainly from future commercial transactions, as a result of purchases and sales of products and services in a different currency than the functional currency used by each Company.
Foreign currency risk management policies seek to minimize the volatility of investments and transactions made in foreign currencies, aiming to reduce Group's results impact to changes in foreign exchange rates. The Group uses derivative instruments (currency forwards), as the management of foreign currency risk.
The Group foreign currency risk management hedge policies are decided casuistically, considering the foreign currency and country specific circumstances (as at June 30, 2013 and December 31, 2012 and 2011, this situation is not applicable to any of the Group Subsidiaries).
Foreign currency risk related to the foreign subsidiaries financial statements translation, also named translation risk, presents the impact on net equity of the Holding Company, due to the translation of foreign subsidiaries financial statements.
Foreign subsidiaries assets and liabilities are translated into Euros using the exchange rates at statement of financial position date, and gains and losses in the income statement are translated into Euros using the average exchange rate of the year. Resulting exchange differences are recorded in equity caption "Translation reserves".
| Assets | Liabilities | |||||
|---|---|---|---|---|---|---|
| Jun-13 | Dec-12 | Jun-12 | Jun-13 | Dec-12 | Jun-12 | |
| Cabo Verde Escudo (CVE) | 6.812.021 | 7.396.636 | 7.558.305 | 1.000.163 | 1.426.606 | 1.485.957 |
| Great Britain pounds (GBP) | 192.976 | 302.278 | 370.039 | - | - | 3.466 |
| Swedish kronor (SEK) | 101.618 | 55.732 | 41 | - | - | - |
| Japanese yen (JPY) | - | - | - | 211.891 | 39.216 | 377.326 |
| US Dollar (USD) | 10.542 | - | 18.661 | - | - | 859 |
| Norwegian kroner (NOK) | 1.227 | 1.918 | 202.345 | - | - | - |
| Danish kroner (DKK) | 51.313 | 146.150 | 224.256 | - | - | - |
The Group's assets and liabilities amounts (expressed in Euros) recorded in a different currency from Euro can be summarized as follows:
| Jun-13 | Dec-12 | |||||
|---|---|---|---|---|---|---|
| Variation | Net Income | Equity | Net Income | Equity | ||
| Cabo Verde Escudo (CVE) | 5% | (7.909) | 290.593 | (7.495) | 298.502 | |
| Great Britain pounds (GBP) | 5% | 9.649 | - | 15.114 | - | |
| Swedish kronor (SEK) | 5% | 5.081 | - | 2.787 | - | |
| Japanese yen (JPY) | 5% | (9.406) | - | (1.961) | - | |
| US Dollar (USD) | 5% | 527 | - | - | - | |
| Norwegian kroner (NOK) | 5% | 61 | - | 96 | - | |
| Danish kroner (DKK) | 5% | 2.566 | - | 7.307 | - | |
The group is exposed to the changing in raw material's prices used on production processes, namely auto parts. However, considering that the acquisition of those raw materials is not in accordance with a price quoted on an exchange market or formed on a volatile market, the price risk is not considered as being significant.
During 2013 and 2012, the Group has been exposed to the risk of variation of 'available for sale assets' prices. At June 30, 2013 and December 31, 2012 and 2011, the referred caption is composed only by shares of the closed property investment fund Cimóvel – Fundo de Investimento Imobiliário Fechado (Real Estate Investment Fund).
The Group's sensitivity to price variations in investments available for sale can be summarized as follows (increases/(decreases)):
| Jun-13 | Dec-12 | Jun-12 | |||||
|---|---|---|---|---|---|---|---|
| Variation | Net Income | Equity | Net Income | Equity | Net Income | Equity | |
| CIMOVEL FUND | 10% | - | 319.511 | - | 311.640 | - | 312.186 |
| CIMOVEL FUND | -10% | - | (319.511) | - | (311.640) | - | (312.186) |
Toyota Caetano debt is indexed to variable interest rates, exposing the total cost of debt to a high risk of volatility. The impact of this volatility on the Group's results and shareholders´ equity mitigated due to the effect of the following factors: (i) possible correlation between the market interest rate levels and economic growth, having a positive effect on the other lines of the Group's consolidated results (particularly operational), thus partially offsetting the increased financial costs ("natural hedge") and (ii) the availability of consolidated liquidity or cash, also remunerated at variable rates.
Toyota Caetano Board of Directors approves the terms and conditions of the funding, analyzing the debt structure, the inherent risks and the different options available in the market, particularly considering the type of interest rates (fixed / variable) and, permanently monitoring conditions and alternatives existing in the market, and decides upon the contracting of occasional interest rate hedging derivative financial instruments.
The sensitivity analyses presented below was based on exposure to changes in interest rates for financial instruments at the statement of financial position date. For floating rate liabilities, the analysis is prepared assuming the following:
(i) Interest rate is superior in 1 p.p. than the supported interest rate.
The sensitivity analyses are based on a change in an assumption while holding all other assumptions constant. In practice, this is unlikely to occur, and changes in some assumptions may be correlated.
Group's sensitivity to changes in interest rates is summarized as follows (increases/(decreases)):
| Jun-13 | Dec-12 | Jun-12 | |||||
|---|---|---|---|---|---|---|---|
| Variation | Net Income | Equity | Net Income | Equity | Net Income | Equity | |
| Loans- Mutual Contract | 1 p.p | 106.579 | - | 115.789 | - | - | - |
| Guaranteed account | 1 p.p | 100.000 | - | - | - | 63.000 | - |
| Bank Credits | 1 p.p | 1.777 | - | 2.197 | - | - | - |
| Commercial Paper | 1 p.p | - | - | 210.000 | - | 255.000 | - |
| Long-term Bank Loan | 1 p.p | - | - | - | - | 125.000 | - |
| Total | 208.356 | - | 327.987 | - | 443.000 | - | |
| Loans- Mutual Contract | (1 p.p) | (106.579) | - | (115.789) | - | - | - |
| Guaranteed account | (1 p.p) | (100.000) | - | - | - | (63.000) | - |
| Bank Credits | (1 p.p) | (1.777) | - | (2.197) | - | - | - |
| Commercial Paper | (1 p.p) | - | - | (210.000) | - | (255.000) | - |
| Long-term Bank Loan | (1 p.p) | - | - | - | - | (125.000) | - |
| Total | (208.356) | - | (327.987) | - | (443.000) | - | |
The above analysis does not include the consideration of the hedging (swap) financial instrument agreed by the Group to face the interest rates variation.
Liquidity risk is defined as the risk that the Group could not be able to settle or meet its obligations on time or at a reasonable price.
The existence of liquidity in the Group requires the definition of some parameters for the efficient and secure management of liquidity, enabling maximisation of the return obtained and minimisation of the opportunity costs relating to the liquidity.
Toyota Caetano Group liquidity risk management has a threefold objective:
(i) Liquidity, which is to ensure permanent access in the most efficient way to sufficient funds to cover current payments on the respective maturity dates, as well as any unexpected requests for funds;
(ii) Safety, which is the minimisation of the probability of default in the repayment of any application in funds; and
(iii) Financial Efficiency, which is ensuring that the Companies maximise the value / minimize the opportunity cost of holding excess liquidity in the short-term.
All excess liquidity is applied in short-term debt amortization, according to economic and financial reasonableness criteria.
On 30 June 2013 and 31 December 2012, the Group presents a net debt of 21.752.854 Euros and 32.926.629 Euros, respectively, divided between current and non current loans (Note 17) and cash and cash equivalents (Note 4), agreed with the different financial institutions.
The main objective of the Board is to assure the continuity of the operations, providing an adequate remuneration to shareholders and the correspondent benefits to the rest of the stakeholders of the company. For the prosecution of this objective it is fundamental that a careful management of funds invested in the business is assured, trying to keep an optimal capital structure, in order to achieve the desired reduction of the cost of capital. With the purpose of maintaining an adequate capital structure, the Board can propose to the shareholders the measures considered necessary.
The company tries to maintain a level of equity considered adequate to the business characteristics, in order to assure continuity and expansion of the business. The capital structure balance is monitorized through the financial leverage ratio, defined as net debt/(net debt + equity).
| Jun-13 | Dec-12 | Jun-12 | |
|---|---|---|---|
| Debt | 28.153.597 | 40.434.328 | 60.781.460 |
| Cash and Cash Equivalents | 6.400.742 | 7.507.699 | 12.518.150 |
| Net Debt | 21.752.855 | 32.926.629 | 48.263.310 |
| Equity | 128.314.862 | 129.235.390 | 129.837.877 |
| Leverage Ratio | 14,5% | 20,3% | 27,1% |
The gearing remains between acceptable levels, as established by management.
Credit risk refers to the risk that the counterpart will default on its contractual obligations resulting in financial loss to the Group.
The Group's exposure to the credit risk is mainly associated to the receivable accounts of its ordinary activities. Before accepting new clients, the company obtains information from credit rating agencies and makes internal analysis to the collection risk and contingent processes through specific credit and legal departments, attributing credit limits by client, based on the information received.
Risk management seeks to guarantee an effective collection of its credits in the terms negotiated without impact on the financial Group's health. This risk is regularly monitored, being Management's objective (i) to impose credit limits to customers, considering the number of days of sales outstanding, individually or on groups of customers, (ii) control credit levels and (iii) perform regular impairment analysis. The Group obtains credit guarantees whenever the customers' financial situation demands.
Regarding independent dealership customers, the Group requires guarantees "on first demand", that, as disclosed in the notes to the consolidated financial statements of December 31, 2012, whenever these amounts are exceeded, these customers' supplies are suspended.
The adjustments for accounts receivable are calculated considering (a) the client risk profile, (b) the average time of receipt, (c) the client financial situation. The movements of these adjustments for the periods ending at June 30, 2013 and 2012 are stated in Note 23.
At June 30, 2013, the Group considers that there is no need for additional impairment losses, besides the amounts registered on those dates and stated, briefly, in Note 23.
The amount of customers and other debtors in financial statements, which is net of impairment losses, represents the maximum exposure of the Group to credit risk.
(Amounts in Euros)
Exchange rates used in the conversion of foreign affiliated companies, as of June 30, 2013 and December 31, 2012 were as follows:
| 30-06-2013 | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|
| Final Exchange Rate for |
Average Exchange Rate for |
Exchange Rate at the Date of |
Final Exchange rate for |
|||||||
| Currency | Jun-13 | Jun-13 | Incorporation | 2012 | ||||||
| Caetano Auto CV, S.A. | CVE | 0,009069 | 0,009069 | 0,009069 | 0,009069 | |||||
| Captions | Balance Sheet except Shareholders |
Income Statement | Share Capital | Retained Earnings |
| 31-12-2012 | |||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|
| Final Exchange Rate for |
Average Exchange Rate for |
Exchange Rate at the Date of |
Final Exchange rate for |
||||||||
| Currency | Dec-12 | Dec-12 | Incorporation | 2011 | |||||||
| Caetano Auto CV, S.A. | CVE | 0,009069 | 0,009069 | 0,009069 | 0,009069 | ||||||
| Captions | Balance Sheet except Shareholders |
Income Statement | Share Capital | Retained Earnings |
The affiliated companies included in consolidation by the full consolidation method and share of capital held as of June 30, 2013 and December 31, 2012, are as follows:
| Companies | Effective | |
|---|---|---|
| Percentage Held | ||
| Jun-13 | Dec-12 | |
| Parent Company | ||
| Toyota Caetano Portugal, SA | ||
| Saltano - Investimentos e Gestão (SGPS), SA | 99,98% | 99,98% |
| Caetano Components, SA | 99,98% | 99,98% |
| Caetano Auto CV, SA | 81,24% | 81,24% |
| Caetano Renting, SA | 99,98% | 99,98% |
| Caetano - Auto, SA | 98,40% | 98,39% |
| Caetano Retail (Norte) II SGPS, SA | 49,20% | 49,20% |
| Auto Partner - Comércio de Automóveis, SA | 49,20% | 49,20% |
| Caetano Colisão (Norte), SA | 49,20% | 49,20% |
| Movicargo - Movimentação Industrial, Lda. | 100,00% | 100,00% |
| Caisb - Companhia Administradora Imobiliária São Bernardo, S.A. | 98,40% | 98,39% |
These subsidiaries were included in the consolidated financial statements using the full consolidation method, as established in IAS 27 – "Consolidated and Separate Financial Statements" (subsidiary control through the major voting rights or other method, being owner of the company's share capital).
During the six-month period there were no changes to the composition of the consolidation perimeter.
As of June 30, 2013, December 31, 2012 and June 30, 2012 cash and cash equivalents detail was the following:
| Jun-13 | Dec-12 | Jun-12 | |
|---|---|---|---|
| Cash | 152.577 | 147.923 | 254.957 |
| Bank Deposits | 6.246.191 | 7.357.203 | 12.190.071 |
| Cash equivalents | 1.974 | 2.573 | 73.122 |
| 6.400.742 | 7.507.699 | 12.518.150 | |
The Company and its affiliates have available credit facilities as of June 30, 2013 amounting to approximately 44 Million Euros, which can be used in future operational activities and to fulfil financial commitments. There are no restrictions on the use of these facilities.
During the six month period ended as of June 30, 2013 and 2012, the movement in tangible fixed assets, as well as in the respective accumulated depreciation and accumulated impairment losses, was as follows:
| 30-06-13 | ||||||||
|---|---|---|---|---|---|---|---|---|
| Land | Buildings and Other Constructions |
Machinery and Equipment |
Transport Equipment |
Administrative Equipment |
Other Fixed Assets |
Tangible assets in Progress |
Total | |
| Gross Assets: | ||||||||
| Opening Balances | 16.637.519 | 92.320.133 | 59.550.699 | 48.497.032 | 7.691.874 | 4.085.013 | 2.435.357 | 231.217.627 |
| Additions | 48.907 | 31.337 | 171.682 | 9.298.558 | 13.729 | 22.243 | 261.624 | 9.848.080 |
| Disposals | (54.560) | (328.040) | (359.342) | (6.442.857) | (19.280) | (71.202) | - | (7.275.281) |
| Changes in Perimeter | - | - | - | - | - | - | - | - |
| Transfer and Write-offs | 903.473 | - | (159.820) | - | - | 159.820 | (903.473) | - |
| Ending Balances | 17.535.339 | 92.023.430 | 59.203.219 | 51.352.733 | 7.686.323 | 4.195.874 | 1.793.508 | 233.790.426 |
| Accumulated Depreciation and Impairment losses: |
||||||||
| Opening Balances | - | 57.824.400 | 53.876.907 | 25.042.359 | 7.343.297 | 3.663.815 | - | 147.750.778 |
| Depreciations | - | 1.212.906 | 824.420 | 4.273.044 | 65.248 | 83.788 | - | 6.459.406 |
| Transfer and Write-offs | - | (325.827) | (487.732) | (2.862.255) | (19.280) | 57.445 | - | (3.637.649) |
| Changes in Perimeter | - | - | - | - | - | - | - | - |
| Ending Balances | - | 58.711.479 | 54.213.595 | 26.453.148 | 7.389.265 | 3.805.048 | - | 150.572.535 |
| Net Tangible Assets | 17.535.339 | 33.311.951 | 4.989.624 | 24.899.585 | 297.058 | 390.826 | 1.793.508 | 83.217.891 |
(Amounts in Euros)
| 30-06-12 | ||||||||
|---|---|---|---|---|---|---|---|---|
| Land | Buildings and Other Constructions |
Machinery and Equipment |
Transport Equipment |
Administrative Equipment |
Other Fixed Assets |
Tangible assets in Progress |
Total | |
| Gross Assets: | ||||||||
| Opening Balances | 14.632.311 | 86.773.405 | 59.873.383 | 56.300.601 | 7.702.379 | 4.163.309 | 2.675.056 | 232.120.444 |
| Additions | - | 428.043 | 149.149 | 14.716.707 | 13.972 | 48.738 | 465.579 | 15.822.188 |
| Disposals | - | (222.126) | (695.586) | (8.779.867) | (28.260) | (69.482) | - | (9.795.321) |
| Transfer and Write-offs | - | 68.796 | (113.180) | - | - | 113.180 | (68.796) | - |
| Ending Balances | 14.632.311 | 87.048.118 | 59.213.766 | 62.237.441 | 7.688.091 | 4.255.745 | 3.071.839 | 238.147.311 |
| Accumulated Depreciation and Impairment losses: |
||||||||
| Opening Balances | - | 55.566.616 | 52.409.163 | 23.568.102 | 7.214.027 | 3.529.173 | - | 142.287.081 |
| Depreciations | - | 1.361.176 | 1.008.162 | 5.556.008 | 80.649 | 114.742 | - | 8.120.737 |
| Transfer and Write-offs | - | (153.427) | (676.848) | (3.389.697) | (28.261) | 59.165 | - | (4.189.068) |
| Ending Balances | - | 56.774.365 | 52.740.477 | 25.734.413 | 7.266.415 | 3.703.080 | - | 146.218.750 |
| Net Tangible Assets | 14.632.311 | 30.273.753 | 6.473.289 | 36.503.028 | 421.676 | 552.665 | 3.071.839 | 91.928.561 |
The movements registered in item "Transport Equipment" mainly refer to vehicles and forklifts that are being used by the Group as well as being rented, under operating lease, to clients.
As of December 31, 2012, the group has hired a specialized independent entity in order to determine the fair value of some of their Fixed Tangible Assets for which, according to internal and external factors, exhibit impairments signs.
Management believes that a possible change (within a scenario of normal) in the main assumptions used in calculating the fair value will not result in impairment losses, apart from the loss already registered.
As of June 30, 2013 and December 31, 2012, the assets acquired through financial leases are presented as follows:
| Jun-13 | ||||
|---|---|---|---|---|
| Accumulated Gross Value Depreciations |
||||
| Fixed Tangible Assets | 10.403.443 | 3.658.671 | 6.744.772 |
| Dec-12 | ||||||
|---|---|---|---|---|---|---|
| Accumulated Gross Value Depreciations |
||||||
| Fixed Tangible Assets | 10.431.622 | 3.457.108 | 6.974.513 |
(Amounts in Euros)
As of June 30, 2013, December 31, 2012 and June 30, 2012, the caption "Investment properties" refers to real estate's assets held to obtain gains through its rental or for capital gain purposes. These real estate assets are recorded at acquisition cost.
Rentals related to "Investment properties" are recorded in the caption "Other Operating Income" and amounted to 1.344.872 Euros as the six month period ended as of June 30, 2013 (1.402.924 Euros as of June 30,2012) (note 29).
Additionally, in accordance with external appraisals made by independent experts, with reference to December 31, 2012, and in accordance with evaluation criteria usually accepted for real estate markets, the fair value of those investment properties amounts to, approximately, 47 million Euros.
Management believes that a possible change (within a scenario of normal) in the main assumptions used in calculating the fair value will not result in impairment losses, beyond from losses recognized in previous years.
The real estate assets recorded in the caption "Investment properties" as of June 30, 2013, December 31, 2012 and June 30, 2012 is made up as follows:
| Jun-13 | Dec-12 | Jun-12 | |||||
|---|---|---|---|---|---|---|---|
| Building | Local | Net accounting value |
Fair Value (2011) |
Net accounting value |
Fair Value (2011) |
Net accounting value |
Fair Value (2010) |
| Industrial facilities | V.N. Gaia | 806.092 | 9.048.000 | 854.709 | 9.048.000 | 909.692 | 9.121.000 |
| Industrial facilities | Carregado | 6.143.955 | 20.928.000 | 6.190.974 | 20.928.000 | 6.238.235 | 21.026.000 |
| Industrial Warehouse | V.N. Gaia | 1.301.855 | 6.003.000 | 1.353.476 | 6.003.000 | 1.405.097 | 6.111.000 |
| Commercial facilities | Several places | 2.719.943 | 5.335.400 | 2.790.003 | 5.335.400 | 3.034.950 | 5.760.000 |
| Lands not in use | Several places | 3.505.492 | 4.446.000 | 3.525.476 | 4.446.000 | 3.955.357 | 4.633.000 |
| Others | 1.273.453 | 1.247.000 | 1.288.147 | 1.247.000 | 1.302.842 | 1.327.000 | |
| 15.750.790 | 47.007.400 | 16.002.786 | 47.007.400 | 16.846.173 | 47.978.000 | ||
The investment properties fair value disclosed in 2012 was determined on an annual basis by an independent appraiser – American Appraisal (Market Method, Cost Method, Return Method and Use Method models).
The movement in the caption "Investment properties" as of June 30, 2013 and 2012 was as follows:
| 30-06-2013 | |||
|---|---|---|---|
| Gross Assets | Land | Buildings | Total |
| Opening Balances | 9.384.013 | 31.950.557 | 41.334.570 |
| Transfer and Write-offs | - | (49.299) | (49.299) |
| Ending Balances | 9.384.013 | 31.901.258 | 41.285.271 |
| Accumulated Depreciation | Land | Buildings | Total |
| Opening Balances | - | 25.331.784 | 25.331.784 |
| Additions | - | 251.801 | 251.801 |
| Transfer and Write-offs | - | (49.104) | (49.104) |
| Ending Balances | - | 25.534.481 | 25.534.481 |
| 30-06-2012 | |||
|---|---|---|---|
| Gross Assets | Land | Buildings | Total |
| Opening Balances | 9.813.893 | 32.576.383 | 42.390.276 |
| Transfer and Write-offs | - | (29.562) | (29.562) |
| Ending Balances | 9.813.893 | 32.546.821 | 42.360.714 |
| Accumulated Depreciation | Land | Buildings | Total |
|---|---|---|---|
| Opening Balances | - | 25.276.320 | 25.276.320 |
| Additions | - | 268.025 | 268.025 |
| Transfer and Write-offs | - | (29.804) | (29.804) |
| Ending Balances | - | 25.514.541 | 25.514.541 |
At June 30, 2013 and 2012 there were not any movements in item "Goodwill".
The item "Goodwill" is totally related to the amount calculated in the acquisition of the affiliate Movicargo whose business was transferred to the parent Toyota Caetano Portugal, S.A.
The Goodwill is not depreciated. Impairment tests are made annually to the Goodwill.
During the six month period ended as of June 30, 2013 and 2012, the movement in intangible assets, as well as in the respective accumulated depreciation and accumulated impairment losses, was as follows:
| 30-06-2013 | |||||
|---|---|---|---|---|---|
| Industrial Property |
Goodwill | Computer Programs |
Intangible assets in progress |
Total | |
| Gross Assets: | |||||
| Opening Balances | 140.817 | 81.485 | 2.016.656 | 1.188 | 2.240.146 |
| Additions | - | - | 5.000 | 12.373 | 17.373 |
| Transfer and Write-offs | - | - | - | - | - |
| Ending Balances | 140.817 | 81.485 | 2.021.656 | 13.561 | 2.257.519 |
| Accumulated Depreciation and Impairment losses: |
|||||
| Opening Balances | 94.423 | 81.485 | 1.328.389 | - | 1.504.297 |
| Depreciations | 11.648 | - | 73.434 | - | 85.082 |
| Transfer and Write-offs | (194) | - | (1.466) | - | (1.660) |
| Ending Balances | 105.877 | 81.485 | 1.400.357 | - | 1.587.719 |
| Net Intangible Assets | 34.940 | - | 621.299 | 13.561 | 669.800 |
(Amounts in Euros)
| 30-06-2012 | |||||
|---|---|---|---|---|---|
| Industrial Property |
Goodwill | Computer Programs |
Intangible assets in progress |
Total | |
| Gross Assets: | |||||
| Opening Balances | 140.816 | 81.485 | 2.016.656 | 594 | 2.239.551 |
| Additions | - | - | - | 594 | 594 |
| Transfer and Write-offs | - | - | - | - | - |
| Ending Balances | 140.816 | 81.485 | 2.016.656 | 1.188 | 2.240.145 |
| Accumulated Depreciation and Impairment losses: |
|||||
| Opening Balances | 71.519 | 81.485 | 1.180.059 - | 1.333.063 | |
| Depreciations | 11.648 | - | 74.243 - | 85.891 | |
| Transfer and Write-offs | (196) | - | - - | (196) | |
| Ending Balances | 82.971 | 81.485 | 1.254.302 | - | 1.418.758 |
| Net Intangible Assets | 57.845 | - | 762.354 | 1.188 | 821.387 |
During the period ended as of June 30, 2013, and December 31, 2012 and June 30, 2012 the movements in item "Investments available for sale" were as follows:
| Non-current assets | ||||
|---|---|---|---|---|
| Jun-13 | Dec12 | Jun-12 | ||
| Available for sale Investments | ||||
| Fair value at January 1 | 3.181.038 | 3.092.979 | 3.092.979 | |
| Increase/(decrease) in fair value | 78.713 | 88.059 | 93.515 | |
| Fair value at the date of reference | 3.259.751 | 3.181.038 | 3.186.494 | |
The June 30, 2013, the available for sale Investments break down as follows:
Additionally, the impact in equity and impairment losses during the six month period ended as of June 30, 2013 and 2012 from recording "Investments held for sale" at fair value can be summarized as follows:
| Jun-13 | Jun-12 | |
|---|---|---|
| Increase in fair value | 78.713 | 93.515 |
| Deferred tax liabilities | (20.859) | (24.781) |
| 57.854 | 68.734 |
(Amounts in Euros)
As of June 30, 2013, December 31, 2012 and June 30, 2012, this caption breakdown is as follows:
| Jun-13 | Dec-12 | Jun-12 | |
|---|---|---|---|
| Raw and subsidiary Materials | 5.783.511 | 5.149.542 | 6.851.762 |
| Production in Process | 1.548.657 | 1.380.575 | 3.986.511 |
| Finished and semi-finished Products | 3.738.362 | 3.199.930 | 6.227.121 |
| Merchandise | 31.542.855 | 36.870.898 | 37.498.391 |
| 42.613.385 | 46.600.945 | 54.563.785 | |
| Accumulated impairment losses in inventories (Note 23) | (1.593.922) | (1.765.086) | (2.752.951) |
| 41.019.463 | 44.835.859 | 51.810.834 | |
During the six month period ended as of June 30, 2013 and 2012, cost of sales was as follows:
| Jun-13 | Jun-12 | |||||
|---|---|---|---|---|---|---|
| Merchandise | Raw and subsidiary Materials |
Total | Merchandise | Raw and subsidiary Materials |
Total | |
| Opening Balances | 36.870.898 | 5.149.542 | 42.020.440 | 50.095.180 | 10.714.407 | 60.809.587 |
| Net Purchases | 69.085.631 | 7.940.464 | 77.026.095 | 61.895.436 | 9.356.711 | 71.252.147 |
| Ending Balances | (31.542.855) | (5.783.511) | (37.326.366) | (37.498.391) | (6.851.762) | (44.350.153) |
| Total | 74.413.674 | 7.306.495 | 81.720.169 | 74.492.225 | 13.219.356 | 87.711.581 |
During the six month period ended as of June 30, 2013 and 2012, the variation in production was computed as follows:
| Finished and semi-finished products | |||
|---|---|---|---|
| Jun-13 | Jun-12 | ||
| Ending Balances | 5.287.019 | 10.213.632 | |
| Inventories adjustments | (1.484) | 6.073 | |
| Opening Balances | (4.580.505) | (10.700.377) | |
| Total | 705.030 | (480.672) | |
(Amounts in Euros)
As of June 30, 2013, December 31, 2012 and June 30, 2012, the detail of this caption was as follows:
| CURRENT ASSEST | NON-CURRENT ASSETS | |||||
|---|---|---|---|---|---|---|
| Jun | Dec | |||||
| Jun-13 | Dec-12 | Jun-12 | 13 | 12 | Jun-12 | |
| Customers, current accounts | 44.597.913 | 44.815.712 | 43.643.266 | 101.435 | 111.718 | 1.083.786 |
| Customers, notes receivable | 10.855 | 77.210 | 6.517 | - | - | - |
| Doubtful Accounts Receivable | 9.879.457 | 9.877.836 | 11.149.489 | - | - | - |
| 54.488.225 | 54.770.758 | 54.799.272 | 101.435 | 111.718 | 1.083.786 | |
| Accumulated impairment losses in accounts | ||||||
| Receivable (Note 23) | (11.880.914) | (11.878.914) | (12.616.924) | - | - | - |
| 42.607.311 | 42.891.844 | 42.182.348 | 101.435 | 111.718 | 1.083.786 | |
Accounts receivable from customers recorded as non current assets corresponds to the customers of the affiliated company Caetano Auto – Comércio de Automóveis, S.A. that are being paid under formal agreements (whose terms of payment may vary between 1 to 6 years, and which bear interests).
Group exposure to credit risk is mainly related to trade receivables resulting from its operational activity. Before accepting new customers, the Group contacts credit rating agencies and performs internal analysis of credit risk, through specific credit control, collection and legal service departments, and assigns credit limits by customer, based on the gathered information.
Debt maturity without recognition of losses by impairment
| 30-06-2013 | ||||
|---|---|---|---|---|
| - 60 days | 60-90 days | 90-120 days | + 120 days | Total |
| 20.554.963 | 2.320.369 | 1.938.365 | 11.835.614 | 36.649.311 |
| - | - | - | 178.732 | 178.732 |
| 4.883.947 | 309.253 | 72.193 | 615.310 | 5.880.703 |
| 25.438.910 | 2.629.622 | 2.010.558 | 12.629.656 | 42.708.746 |
| 31-12-2012 | |||||
|---|---|---|---|---|---|
| - 60 days | 60-90 days | 90-120 days | + 120 days | Total | |
| Accounts receivable | 21.916.799 | 2.393.061 | 999.502 | 15.056.859 | 40.366.221 |
| Personnel | 18 | - | 509 | 208.367 | 208.894 |
| Independent Dealers | 3.876.010 | 177.315 | 112.458 | 263.742 | 4.429.525 |
| Total | 25.792.827 | 2.570.376 | 1.112.469 | 15.528.968 | 45.004.640 |
(Amounts in Euros)
Debt maturity with recognition of losses by impairment
| 30-06-2013 | |||||||
|---|---|---|---|---|---|---|---|
| - 60 days | 60-90 days | 90-120 days | + 120 days | Total | |||
| Accounts receivable | - | - | - | 2.001.457 | 2.001.457 | ||
| Doubtful Accounts Receivable | - | 4.421 | - | 9.875.036 | 9.879.457 | ||
| Total | - | 4.421 | - | 11.876.493 | 11.880.914 | ||
| 31-12-2012 | |||||||
|---|---|---|---|---|---|---|---|
| - 60 days | 60-90 days | 90-120 days | + 120 days | Total | |||
| Doubtful Accounts Receivable | 5.815 | 1.291 | 29.965 | 9.840.765 | 9.877.836 | ||
| Total | 5.815 | 1.291 | 29.965 | 9.840.765 | 9.877.836 | ||
The amounts presented in the consolidated Statement of financial position are net of accumulated impairment losses to doubtful accounts receivable estimated by the Group, in accordance with its experience based on its evaluation of the economic environment at the statement of financial position date. Credit risk concentration is limited, because the customers' basis is wider and not relational. Thus, the Board of Directors understands that the accounting values of accounts receivable are similar to their respective fair value.
As of June 30, 2013, December 31, 2012 and June 30, 2012, the detail of this caption was as follows:
| Current Assets | Non-Current Assets | |||||
|---|---|---|---|---|---|---|
| Jun-13 | Dec-12 | Jun-12 | Jun-13 | Dec-12 | Jun-12 | |
| Down Payments to Suppliers | 395.801 | 27.679 | 47.151 | - | - | - |
| Other debtors | 5.743.199 | 7.630.251 | 8.410.742 | 313.000 | 313.000 | - |
| 6.139.000 | 7.657.930 | 8.457.893 | 313.000 | 313.000 | - | |
The caption "Other credits" includes the amount of, approximately, 3,4 Million Euros (5,2 Million Euros as of December 31, 2012) in referring to advance payments made by the Group related with leasehold improvements in commercial facilities for automotive retail, which were fully invoiced in previous years, being that the remaining amount is expected to be supported in the short term by third parties.
Additionally, this caption includes, as of June 30, 2013, the amount of, approximately, 800.000 Euros (800.000 Euros as of December 31, 2012 and June 30, 2012) to be received from Salvador Caetano Auto África, SGPS, S.A..
(Amounts in Euros)
As of June 30, 2013, December 31, 2012 and June 30, 2012, the detail of this caption was as follows:
| Jun-13 | Dec-12 | Jun-12 | |
|---|---|---|---|
| Accrued Income | |||
| Fleet programs and Bonus suppliers | 612.357 | 1.065.633 | 247.494 |
| Warranty claims | 359.679 | 447.621 | 367.944 |
| Commisions | 214.333 | 217.896 | 22.199 |
| Assignment of staff | 112.815 | - | 117.616 |
| Insurance | 20.521 | 20.835 | 69.194 |
| Interest | 14.820 | 467.732 | 139.966 |
| Others | 238.983 | 182.863 | 252.184 |
| 1.573.508 | 2.402.580 | 1.216.597 | |
| Deferred Expenses | |||
| Insurance | 351.490 | 187.065 | 361.680 |
| Interest | 162.371 | 90.276 | 235.770 |
| Rentals | 64.296 | 133.677 | 123.898 |
| Pension Fund | 48.745 | - | 92.744 |
| Charges on bank guarantees | 13.187 | - | 59.583 |
| Mutual agreements | - | - | 264.122 |
| Workshop costs | - | 15.487 | - |
| Others | 266.516 | 166.553 | 220.669 |
| 906.604 | 593.058 | 1.358.466 | |
| Total | 2.480.112 | 2.995.638 | 2.575.063 |
(Amounts in Euros)
The detail of deferred tax assets and liabilities recorded in the accompanying consolidated financial statements as of June 30, 2013 and 2012 is as follows:
| 30-06-2013 | ||||
|---|---|---|---|---|
| Dec-12 | Profit and Loss Impact |
Equity Impact |
Jun-13 | |
| Deferred tax assets: | ||||
| Provisions not accepted for tax purpose | 735.612 | - | - | 735.612 |
| Tax losses | 1.825.674 | - | - | 1.825.674 |
| Write-off of tangible assets | 686.150 | 26.807 | - | 712.957 |
| Write-off of deferred costs | 18.521 | - | - | 18.521 |
| Derivative financial instruments valuation | 174.971 | (84.060) | - | 90.911 |
| 3.440.928 | (57.253) | - | 3.383.675 | |
| Deferred tax liabilities: Depreciation as a result of legal and free revaluation of fixed assets |
(1.077.444) | - | - | (1.077.444) |
| Effect of the reinvestments of the surplus in fixed assets sales | (310.448) | - | - | (310.448) |
| Future costs that will not be accepted fiscally | (95.267) | - | - | (95.267) |
| Tax gains according to n.º 7 Artº7 30/G 2000 Portuguese Law | (18.334) | - | - | (18.334) |
| Fair value of fixed assets | (997.679) | - | - | (997.679) |
| (2.499.172) | - | - | (2.499.172) | |
| Net effect ( Note 25 ) | (57.253) | - |
| 30-06-2012 | ||||
|---|---|---|---|---|
| Dec-11 | Profit and Loss Impact |
Equity Impact |
Jun-12 | |
| Deferred tax assets: | ||||
| Provisions not accepted for tax purpose | 909.496 | - | - | 909.496 |
| Tax losses | 157.111 | - | - | 157.111 |
| Write-off of tangible assets | 876.797 | 50.137 | - | 926.934 |
| Write-off of deferred costs | 27.781 | - | - | 27.781 |
| Derivative financial instruments valuation | 117.664 | 40.009 | - | 157.673 |
| 2.088.849 | 90.146 | - | 2.178.995 | |
| Deferred tax liabilities: Depreciation as a result of legal and free revaluation of fixed assets Effect of the reinvestments of the surplus in fixed assets sales Future costs that will not be accepted fiscally Tax gains according to n.º 7 Artº7 30/G 2000 Portuguese Law |
(1.090.890) (368.225) (142.899) (24.445) |
- - - - |
- - - - |
(1.090.890) (368.225) (142.899) (24.445) |
| Net effect ( Note 25 ) | (1.626.459) | - 90.146 |
- - |
(1.626.459) |
In accordance with the applicable legislation in Portugal, tax losses can be carried forward for the following periods:
In June 30, 2013 (date of the latest tax returns delivered), the companies of the Group reported the following tax losses, for which tax deferred assets have been recognized:
| Jun-13 | |||
|---|---|---|---|
| With Latest date of utilization: | Tax Losses | Deferred tax Assets |
|
| At 2007 | |||
| - Auto Partner CA, SA | 81.957 | - | 2013 |
| - Caetano Colisão, SA | 1.100.930 | - | 2013 |
| At 2008 | |||
| - Caetano Colisão, SA | 117.929 | - | 2014 |
| - Auto Partner CA, SA | 343.145 | - | 2014 |
| At 2009 | |||
| - Auto Partner CA, SA | 409.584 | - | 2015 |
| At 2011 | |||
| - Auto Partner CA, SA | 193.548 | - | 2015 |
| - Caetano Colisão, SA | 58.577 | - | 2015 |
| - Consolidated tax Toyota Caetano Portugal | 2.196.396 | 549.099 | 2015 |
| At 2012 | |||
| - Auto Partner CA, SA | 296.350 | - | 2017 |
| - Caisb, SA | 21.391 | 5.669 | 2017 |
| - Consolidated tax Toyota Caetano Portugal | 5.083.624 | 1.270.906 | 2017 |
| 9.903.430 | 1.825.674 |
In a prudent way, the Group recognizes deferred tax assets only when they meet the required conditions, including their future recoverability.
As of June 30, 2013 and 2012 tax rates used to compute current and deferred tax assets and liabilities were as follows:
| Tax rates | ||||
|---|---|---|---|---|
| 30.06.2013 | 30.06.2012 | |||
| Country of origin of affiliate: | ||||
| Portugal | 26,5% - 25% | 26,5% - 25% | ||
| Cape Verde | 35,0% | 35,0% |
Toyota Caetano Group companies with head office in Portugal, except Movicargo, are taxed according to the Corporate Income Tax (CIT) in accordance with the Special Taxation Regimen for Groups of Companies ("Regime Especial de Tributação de Grupos de Sociedades - RETGS") as established by articles 69 and 70 of the CIT.
In accordance with the applicable legislation, the income tax returns of Toyota Caetano and other Group companies with headquarters in Portugal are subject to review and correction by the tax authorities for a 4-year period, except when there were fiscal losses (6 years). Therefore, the tax declarations since the year of 2009 and 2012 are still subject to review. Statements regarding the Social Security may be revised over a period of five years. The Board of Directors believe that the corrections that may arise from such reviews/inspections will not have a significant impact in the accompanying consolidated financial statements.
Under the terms of article 88 of the Corporate Income Tax Code, the companies with headquarters in Portugal are additionally subject to an income tax over a set of expenses at the rates foreseen in the above mentioned article.
As of June 30, 2013, the Company's share capital, fully subscribed and paid for, consisted of 35.000.000 bearer shares, with a nominal value of 1 Euro each.
The entities with over 20% of subscribed capital are as follows:
| - Grupo Salvador Caetano SGPS, S.A. | 60,82% |
|---|---|
| - Toyota Motor Europe NV/SA | 27,00% |
According to the General shareholders meeting deliberation, as of 24 April 2013, no dividends were paid to shareholders.
Commercial legislation establishes that at least 5% of the net profit of each year must be appropriated to a legal reserve until this reserve equals the statutory minimum requirement of 20% of the share capital. This reserve is not available for distribution, except in case of dissolution of the Company, but may be used in share capital increases or used to absorb accumulated losses once other reserves have been exhausted.
The revaluation reserves can not be distributed to the share holders, except if they are completely depreciated and if the respective assets that were revaluated have been alienated.
The translation reserves reflect the currency variations during the passage of the financial statements of affiliated companies in a currency other than Euro and cannot be distributed or used to absorb losses.
The fair value reserves reflect the fair value variations of the investments available for sale and cannot be distributed or used to absorb losses.
According to the Portuguese law, the amount of distributable reserves is determined according to the individual financial statements of Toyota Caetano Portugal, presented according to the Normas Contabilísticas e de Relato Financeiro (NCRF, Portuguese GAAP).
Movements in this caption during the period ended as of June 30, 2013, December 31, 2012 and June 30, 2012 were as follows:
| Jun-13 | Dec-12 | Jun-12 | |
|---|---|---|---|
| Opening Balances as of January 1 Others |
812.346 (3.387) |
1.058.180 (9.813) |
1.058.180 (9.818) |
| Net profit attributable to Non-controlled Interest | (75.092) | (236.021) | (118.307) |
| 733.867 | 812.346 | 930.055 | |
| 0,02% 0,02% 18,76% 0,02% 1,60% 50,80% 50,80% 50,80% 1,60% |
4.580 (424) 1.098.270 304 683.859 1.015.762 (939.106) (1.058.339) (71.040) |
- (72) (29.509) (12) (15.171) (1.224) (59.764) 28.863 1.797 (75.092) |
|---|---|---|
| 733.867 |
The resume of financial information related to each subsidiary that is consolidated is presented below:
| Caption | Caetano Auto | Caetano Retail (Norte) II, SGPS |
APCA | Caetano Colisão (Norte) |
Cais B |
|---|---|---|---|---|---|
| Non Current Assets | 53.624.236 | - | 59.515 | 139.098 | 257.237 |
| Current Assets | 38.581.884 | 3.334.397 | 2.308.202 | 3.999.008 | 477.528 |
| Total Assets | 92.206.119 | 3.334.397 | 2.367.717 | 4.138.105 | 734.765 |
| Non Current Liabilities | 5.492.807 | 352.145 | - | 1.415.038 | 26.720 |
| Current Liabilities | 48.601.053 | 4.800.221 | 3.014.573 | 2.486.175 | 104.621 |
| Equity | 38.112.259 | (1.817.969) | (646.856) | 236.892 | 603.424 |
| - | - | - | - | - | |
| Revenues | 63.149.931 | - | 3.211.807 | 2.544.077 | 197.568 |
| Operating Results | (603.500) | (1.363) | (107.923) | 79.280 | 193.438 |
| Financial Results | (40.628) | (1.046) | (1.484) | (931) | 543 |
| Taxes | (150.000) | - | (4.000) | (22.763) | (51.405) |
| Net Income | (794.128) | (2.409) | (113.407) | 55.587 | 142.576 |
| Caption | Caetano Components |
Caetano Renting |
Saltano | Movicargo | Caetano Auto CV |
| Non Current Assets | 1.332.838 | 13.365.763 | 23.631.458 | 340.000 | 1.714.742 |
| Current Assets | 2.767.511 | 3.088.240 | 4.063.355 | 83.011 | 5.097.279 |
| Total Assets | 4.100.349 | 16.454.004 | 27.694.812 | 423.011 | 6.812.021 |
| Non Current Liabilities | 127.492 | 200.014 | - | - | - |
| Current Liabilities | 2.812.377 | 14.477.173 | 6.219.197 | - | 1.000.163 |
| Equity | 1.160.480 | 1.776.817 | 21.475.615 | 423.011 | 5.811.858 |
| - | - | - | - | - | |
| Revenues | 661.249 | 1.766.736 | - | - | 3.079.436 |
| Operating Results | (321.954) | (97.955) | (1.290) | (7.888) | (158.163) |
| Financial Results | (2.212) | (702) | - | 6.698 | (10) |
| Taxes | - | - | - | - | - |
(Amounts in Euros)
As of June 30, 2013, December 31, 2012 and June 30, 2012 the caption "Loans" was as follows:
| Jun-13 | Dec-12 | Jun-12 | |||||||
|---|---|---|---|---|---|---|---|---|---|
| Current | Non-Current | TOTAL | Current | Non-Current | TOTAL | Current | Non-Current | TOTAL | |
| Bank Loan | 11.842.105 | 8.815.790 | 20.657.895 | 22.842.106 | 9.736.842 | 32.578.948 | 39.642.105 | 10.657.895 | 50.300.000 |
| Finance Leases | 1.194.568 | 4.824.496 | 6.019.064 | 1.301.109 | 4.721.215 | 6.022.324 | 1.302.767 | 4.603.216 | 5.905.983 |
| Bank Overdrafts | 177.658 | - | 177.658 | 219.731 | - | 219.731 | 2.682.082 | - | 2.682.082 |
| Other Loans | 628.689 | 670.291 | 1.298.980 | 628.689 | 984.636 | 1.613.325 | 628.690 | 1.264.705 | 1.893.395 |
| 13.843.020 | 14.310.577 | 28.153.597 | 24.991.635 | 15.442.693 | 40.434.328 | 44.255.644 | 16.525.816 | 60.781.460 | |
As of June 30, 2013 and December 31, 2012, the detail of bank loans, overdrafts, others loans and Commercial Paper Programs, as well as its conditions, were as follows:
| 30-06-2013 | ||||
|---|---|---|---|---|
| Description/Beneficiary Company | Used Amount | Limit | Beginning Date |
Date-Limit |
| Non-current | ||||
| Loan – mutual contract | ||||
| Toyota Caetano Portugal | 8.815.790 | 8.815.790 | 22-06-2012 | 5 years |
| Refundable subsidies | ||||
| Toyota Caetano Portugal | 545.356 | 545.356 | 30-01-2009 | 5 years |
| PME Invest III: | ||||
| Caetano Components | 124.935 | 124.935 | 24-04-2009 | 5 years |
| 9.486.081 | 9.486.081 | |||
| Current | ||||
| Bank Loan | 10.000.000 | 10.000.000 | ||
| Loan – mutual contract | 1.842.105 | 1.842.105 | 22-06-2012 | |
| Bank Overdrafts | 177.658 | 17.500.000 | ||
| Refundable subsidies | 628.689 | 628.689 | 30-01-2009 | 5 years |
| Confirming | - | 5.000.000 | ||
| 12.648.452 | 34.970.794 | |||
| 22.134.533 | 44.456.875 | |||
(Amounts in Euros)
| 31-12-2012 | ||||
|---|---|---|---|---|
| Description/Beneficiary Company | Used Amount | Limit | Beginning Date |
Date-Limit |
| Non-current | ||||
| Loan – mutual contract | ||||
| Toyota Caetano Portugal | 9.736.842 | 9.736.842 | 22-06-2012 | 5 years |
| Refundable subsidies | ||||
| Toyota Caetano Portugal | 818.034 | 818.034 | 30-01-2009 | 5 years |
| 5 years | ||||
| PME Invest III: | ||||
| Caetano Components | 166.601 | 166.601 | 24-04-2009 | 5 years |
| 10.721.478 | 10.721.478 | |||
| Current | ||||
| Loan – mutual contract | 1.842.105 | 1.842.105 | 22-06-2012 | |
| Bank Overdrafts | 219.731 | 17.500.000 | ||
| Refundable subsidies | 628.690 | 628.690 | 30-01-2009 | 5 years |
| Confirming | - | 5.000.000 | ||
| Comercial Paper: | ||||
| Toyota Caetano Portugal | 12.500.000 | 15.000.000 | 30-07-2008 | 5 years |
| Toyota Caetano Portugal | 7.000.000 | 7.000.000 | 27-12-2012 | 5 years |
| Caetano Auto | 1.500.000 | 10.400.000 | 28-09-2007 | 2 years |
| 23.690.526 | 57.370.795 | |||
| 34.412.004 | 68.092.273 | |||
Next, we present below the debt amount outstanding, for which there have been granted mortgages (note 35): - Loan - mutual contract: 10.657.895.
Interests relating to the above mentioned bank loans are indexed to Euribor interest rates, increased with a spread that varies from 1 to 6,5 bps.
With the closure of the project application n.º 00/07099 of the program SIME A of AICEP (Agência para o Investimento e Comércio Externo de Portugal, E.P.) was granted a refundable incentive with the following amortization plan:
| Jun-13 | 2014 | 2015 | Total |
|---|---|---|---|
| Refundable subsidies | |||
| Amortization | 628.689 | 545.356 | 1.174.045 |
| 628.689 | 545.356 | 1.174.045 | |
As of June 30, 2013, the caption "Other loans" refers to a reimbursable subsidy to investment granted in the first semester of 2010, with the following reimbursement plan:
| 2014 | 628.689 |
|---|---|
| 2015 and following years | 670.291 |
| -------------- |
1.298.980 ========
23
The item "Leasings" (current and non-current) is related to the purchase of facilities and equipment. The detail of this caption, as well as the reimbursement plan can be summarized as follows:
| Medium-and long-term | ||||||||
|---|---|---|---|---|---|---|---|---|
| Contract | Leasings | Short-term | 2015 | 2016 | 2017 | > 2018 | TOTAL | TOTAL |
| 343616 | Industrial Equipment | |||||||
| Capital | 12.669 | - | - | - | - | - | 12.669 | |
| 2028278 | Interests Commercial facilities |
293 | - | - | - | - | - | 293 |
| Capital | 93.461 | 94.263 | 95.079 | 95.902 | 461.571 | 746.814 | 840.275 | |
| 559769 | Interests Commercial facilities |
6.874 | 6.066 | 5.250 | 4.427 | 9.547 | 25.290 | 32.164 |
| Capital | 60.046 | 60.462 | 60.889 | 61.319 | 775.164 | 957.834 | 1.017.880 | |
| 626064 | Interests Commercial facilities |
6.972 | 6.548 | 6.121 | 5.691 | 32.662 | 51.023 | 57.995 |
| Capital | 142.148 | 147.204 | 152.439 | 157.861 | 1.317.362 | 1.774.867 | 1.917.015 | |
| Various | Interests Industrial Equipment |
64.228 | 59.172 | 53.936 | 48.515 | 170.570 | 332.193 | 396.421 |
| Capital | 886.244 | 313.804 | 316.350 | 328.457 | 386.371 | 1.344.982 | 2.231.226 | |
| Interests | 84.279 | 34.776 | 55.872 | 35.958 | 18.413 | 145.018 | 229.297 | |
| Total Capital | 1.194.568 | 615.732 | 624.757 | 643.539 | 2.940.468 | 4.824.496 | 6.019.064 | |
| Total Interests | 162.646 | 106.562 | 121.179 | 94.590 | 231.192 | 553.524 | 716.170 |
The maturities of existing loans can be summarized as follows:
| 2014 | 2015 | 2016 | 2017 | > 2017 | Total | |
|---|---|---|---|---|---|---|
| Loan – mutual contract | 1.842.105 | 1.842.105 | 1.842.105 | 1.842.105 | 3.289.475 | 10.657.895 |
| Bank Overdrafts | 177.658 | - | - | - | - | 177.658 |
| Bank Loan | 10.000.000 | - | - | - | - | 10.000.000 |
| Finance Leases | 1.194.568 | 615.732 | 624.757 | 643.539 | 2.940.468 | 6.019.064 |
| Refundable subsidies | 628.689 | 549.294 | 14.957 | 64.981 | 41.059 | 1.298.980 |
| Total loans | 13.843.020 | 3.007.131 | 2.481.819 | 2.550.625 | 6.271.002 | 28.153.597 |
(Amounts in Euros)
As of June 30, 2013, December 31, 2012 and June 30, 2012 this caption was composed of current accounts with suppliers, which end at short term.
The Group, relating to financial risk management, has implemented policies to ensure that all liabilities are paid for within the defined payment period.
As of June 30, 2013, December 31, 2012 and June 30, 2012 the detail of other creditors was as follows:
| Jun-13 Shareholders 25.942 Advance payments from customers 553.021 |
Current Liabilities | |
|---|---|---|
| Dec-12 | Jun-12 | |
| Other Creditors 1.538.995 2.117.958 |
33.501 689.470 1.722.651 2.445.622 |
33.501 409.601 2.101.691 2.544.793 |
The caption public entities can be summarized as follows:
| Current Assets | |||
|---|---|---|---|
| Jun-13 | Dec-12 | Jun-12 | |
| Public Entities | |||
| Value Added Taxes | 1.035.996 | 228.104 | 2.141.147 |
| 1.035.996 | 228.104 | 2.141.147 | |
| Current Liabilities | |||
|---|---|---|---|
| Jun-13 | Dec-12 | Jun-12 | |
| Public Entities | |||
| Income Taxes withheld | 391.220 | 277.937 | 312.530 |
| Value Added Taxes | 5.480.215 | 3.805.230 | 4.758.489 |
| Income Tax (estimated tax) (Note 25) | 453.168 | 843.437 | (285.341) |
| Income Tax (recover tax) | (48.149) | - | (98.646) |
| Income Tax (RETGS) | (100.080) | - | - |
| Income Tax (advance tax pay) | (653.013) | (589.872) | (1.660.049) |
| Vehicles Tax | 1.275.918 | 713.497 | 1.026.946 |
| Custom Duties | 93.463 | 60.594 | 87.747 |
| Employee's social contributions | 734.801 | 596.122 | 757.965 |
| Others | 238.118 | 218.377 | 233.792 |
| 7.865.660 | 5.925.322 | 5.133.433 | |
(Amounts in Euros)
As of June 30, 2013, December 31, 2012 and June 30, 2012 the caption "Other Current Liabilities" was as follows:
| Jun-13 | Dec-12 | Jun-12 | |
|---|---|---|---|
| Accrued Cost | |||
| Vacation pay and bonus | 6.345.422 | 4.517.130 | 6.746.104 |
| Publicity and advertisement campaigns | 1.202.397 | 1.122.253 | 1.202.769 |
| Rappel attributable to fleet management entities | 624.637 | 1.030.404 | - |
| Expenses with sold Vehicles | 575.875 | 647.848 | 903.857 |
| Supply costs | 395.406 | 266.792 | - |
| External supplies and sevices | 382.035 | 465.123 | 438.962 |
| Insurance | 359.488 | 201.243 | 475.341 |
| Commission | 291.069 | 799.671 | 470.144 |
| Accrual for Vehicles Tax | 206.382 | 283.824 | 418.832 |
| Warranty claims | 140.298 | 48.200 | 115.125 |
| Property Tax | 98.391 | 84.180 | 75.014 |
| Royalties | 42.380 | 49.599 | 52.409 |
| Interest | 32.547 | 57.000 | 50.311 |
| Specialized work | 10.527 | - | 69.924 |
| Pension fund Comissions | - | 651.788 | - |
| Pension fund liabilities | - | 975.081 | - |
| Others | 1.536.972 | 195.351 | 1.317.553 |
| 12.243.825 | 11.395.487 | 12.336.345 | |
| Deferred Income | |||
| Publicity recuperation | 938.940 | 875.318 | 939.028 |
| Maintenance and service contracts | 695.629 | - | - |
| Investment subsidy | 543.402 | 553.373 | 662.849 |
| Equipment rental | - | - | 283.749 |
| Interest Charged to Customers | - | 13.079 | - |
| Others | 353.375 | 527.635 | 195.740 |
| 2.531.346 | 1.969.405 | 2.081.366 | |
| Total | 14.775.171 | 13.364.892 | 14.417.711 |
Toyota Caetano (together with other associated and related companies) incorporated, by public deed dated December 29, 1988, the Salvador Caetano Pension Fund, which was subsequently updated in January 2, 1994, in December 29, 1995 and in December 23, 2002.
As of June 30, 2013, the following companies of Toyota Caetano Group were associates of the Salvador Caetano Pension Fund:
The Pension Fund was set up to, while Toyota Caetano Group maintains the decision to make contributions to the referred fund, provide employees (beneficiaries), at their retirement date, the right to a pension complement, which is not subject to update and is based on a percentage of the salary, among other conditions.
A request was made as of December 19, 2006 to the fund manager of the Salvador Caetano Pension Fund (ESAF – Espirito Santo Activos Financeiros, S.A.), to act near the "ISP - Instituto de Seguros de Portugal" and take the necessary measures to change the defined benefit plan into a defined contribution plan, among other changes.
Following the above mentioned, a dossier was sent on December 18, 2007 to Instituto de Seguros de Portugal containing the proposals to change the "Constitutive Contract" of Salvador Caetano Pension Fund, as well as the minute of approval of these changes by the Pensions Fund Advisory Committee, and requesting, with effects as from January 1, 2008, the approval of these changes.
The proposal for changing the pension complement, dully approved by the Pension Funds Advisory Committee ("Comissão de Acompanhamento do Fundo de Pensões"), includes the maintenance of a defined benefit plan for the current retired workers and ex-employees with acquired rights, as well as for all the current employees with more than 50 years and more than 15 years of service completed until January 1, 2008. A new group will be created to which all current employees with less than 50 years and/or less than 15 years of service will be transferred.
At December 29, 2008 Toyota Caetano Portugal, S.A. received a letter from ISP - Instituto de Seguros de Portugal (Portuguese Insurance Institute) with the approval of the pretended alterations and entering into force starting from January 1, 2008. ISP determined in the referred approval that the employees associated to the Salvador Caetano Pension Fund who at January 1, 2008 had achieved 15 years of service and had ages inferior to 50 years (and that shall integrate a Defined Contribution Plan) have the right to an individual "initial capital" according to the new Plan, determined according to the actuarial responsibilities as at December 31, 2007 and based on the presumptions and criteria used on that year.
The actuarial presumptions used at 2012 by the fund manager include the "Projected Unit Credit" calculation method, the Mortality Table and disability TV 73/77 and SuisseRe 2001, respectively, as well as well as salary increase rate, pensions increase rate and discount rate of 0%, 0% and 4,5%, respectively. To this date were used the assumptions as December 31, 2012.
Additionally, during the first semester of 2013 Toyota Caetano Group, recorded an accrual for the above mentioned Pension Fund amounting to approximately 184 thousand Euros (557 thousand Euros in June 30, 2012).
Movements in provisions and accumulated impairment losses over the six month period ended as of June 30, 2013, December 31, 2013 and June 30, 2012 were as follows:
| 30-06-2013 | |||||||
|---|---|---|---|---|---|---|---|
| Opening Balances |
Increases | Disposals and Other |
Other regularizations |
Ending Balances |
|||
| Accumulated impairment losses in investments (Note 9) | 1.781.995 | - | - | - | 1.781.995 | ||
| Accumulated impairment losses in accounts Receivable (Note 11) | 11.878.914 | - | - | 2.000 | 11.880.914 | ||
| Accumulated impairment losses in inventories (Note 10) | 1.765.086 | 36.598 | (207.762) | - | 1.593.922 | ||
| Provisions | 315.464 | 44.625 | - | (33.725) | 326.364 |
(Amounts in Euros)
| 30-06-2012 | |||||
|---|---|---|---|---|---|
| Opening Balances |
Increases | Disposals and Other |
Other regularizations |
Ending Balances |
|
| Accumulated impairment losses in investments (Note 9) | 1.781.995 | - | - | - | 1.781.995 |
| Accumulated impairment losses in accounts Receivable (Note 11) | 12.555.905 | 60.815 | - | 204 | 12.616.924 |
| Accumulated impairment losses in inventories (Note 10) | 2.489.764 | 310.629 | (47.442) | - | 2.752.951 |
| Provisions | 345.026 | 46.045 | - | (37.715) | 353.356 |
As of June 30, 2013, December 31, 2012 and June 30, 2012, the caption "Provisions" has the following breakdown:
| Jun-13 | Dec-12 | Jun-12 | |
|---|---|---|---|
| Warranty provision | 126.350 | 115.450 | 153.342 |
| Litigations in progress | 200.014 | 200.014 | 200.014 |
| 326.364 | 315.464 | 353.356 | |
The derivative financial instruments used by the group in the June 30, 2013 were as follows:
Although these derivatives (two interest rate swap contracts) were contracted for interest rate hedging purposes as well as funding cost optimization, they haven't been designated for hedge accounting. The fair value of these derivative financial instruments at June 30, 2013 was negative on 287.399 Euros (445.108 Euros negative at June 30, 2012) and comprises a total exposure of 20 million Euros, for a period of three years, counting from December 21, 2010 and an exposure of 10.657.895 Euros for a period of 6 years, counting from June 26, 2012.
These derivatives' valuations were provided at June 30, 2013 by the bank with whom they were contracted, taking into account future cash flows and risk estimates. That measure, falls within the Level 2 fair value hierarchy as set out in paragraph 27-A of IFRS7 (measurement inputs based on assumptions indirectly observable in the market).
The main characteristics of these contracts can be summarized as follows:
| Justo Valor | ||||
|---|---|---|---|---|
| Derivatives | Swap rate | Jun-13 | Dec-12 | Changes in financial statement |
| Interest rate swap Interest rate swap Interest rate swap |
1,9975% 1,9935% 1,1000% |
(135.030) (43.355) (109.014) (287.399) |
(277.641) (89.427) (231.817) (598.885) |
142.611 46.072 122.803 311.486 |
It is the intention of Toyota Caetano Group to hold these instruments until their maturities, so this form of assessment reflects the best estimate of present value of future cash flows to be generated by such instruments.
(Amounts in Euros)
The income tax for the six month period ended as of June 30, 2013 and 2012 was as follows:
| Jun-13 | Jun-12 | |
|---|---|---|
| Insufficient taxes estimation | 1.141 | - |
| Excess taxes estimation | (157.363) | - |
| Current taxes estimation (Note 20) | 453.168 | (285.341) |
| Deferred income taxes (Note 14) | 57.253 | (90.146) |
| 354.199 | (375.486) | |
The detail of sales and services rendered by geographic markets, during the six month periods ended as of June 30, 2013 and 2012, was as follows:
| Jun-13 | Jun-12 | |||
|---|---|---|---|---|
| Market | Amount | % | Amount | % |
| National | 96.731.016 | 90,01% | 102.405.580 | 87,35% |
| African Countries with Official Portuguese Language | 4.682.757 | 4,36% | 5.411.803 | 4,62% |
| Belgium | 5.178.348 | 4,82% | 6.890.931 | 5,88% |
| Germany | 155.437 | 0,14% | 1.454.836 | 1,24% |
| Spain | 236.446 | 0,22% | 21.942 | 0,02% |
| United Kingdom | 63.992 | 0,06% | 133.474 | 0,11% |
| Others | 419.231 | 0,39% | 912.263 | 0,78% |
| 107.467.227 | 100,00% | 117.230.829 | 100,00% |
Additionally, sales and services rendered by activity were as follows:
| Jun-13 | Jun-12 | ||||
|---|---|---|---|---|---|
| Activity | Amount | % | Amount | % | |
| Vehicles | 74.814.567 | 69,62% | 80.368.129 | 68,56% | |
| Spare Parts | 23.342.817 | 21,72% | 24.641.079 | 21,02% | |
| Repairs and after sales services | 6.849.896 | 6,37% | 7.443.024 | 6,35% | |
| Others | 2.459.947 | 2,29% | 4.778.597 | 4,08% | |
| 107.467.227 | 100,00% | 117.230.829 | 100,00% | ||
(Amounts in Euros)
The caption "External supplies and services" was as follows:
| Jun-13 | Jun-12 | |
|---|---|---|
| Subcontracts | 877.084 | 870.483 |
| Specialized Services | 7.776.404 | 8.759.282 |
| Professional Services | 2.487.438 | 2.530.517 |
| Advertising | 3.928.431 | 4.910.201 |
| Vigilance and Security | 247.937 | 306.550 |
| Professional Fees | 409.485 | 356.994 |
| Comissions | 78.487 | 97.402 |
| Repairs and Maintenance | 624.626 | 557.618 |
| Materials | 252.824 | 211.343 |
| Tools and utensils | 58.794 | 47.853 |
| Books and technical documentation | 111.694 | 98.893 |
| Office supplies | 75.877 | 54.133 |
| Gifts | 6.459 | 10.464 |
| Utilities | 1.399.265 | 1.543.743 |
| Electricity | 577.724 | 605.087 |
| Fuel | 704.287 | 764.231 |
| Water | 91.184 | 81.452 |
| Others | 26.070 | 92.973 |
| Travel and transportation | 819.349 | 892.773 |
| Traveling espenses | 458.487 | 460.771 |
| Personnel transportation | 47.396 | 49.084 |
| Transportation of materials | 313.466 | 382.918 |
| Other supplies | 5.883.514 | 5.498.444 |
| Rent | 1.181.967 | 1.334.919 |
| Communication | 367.765 | 370.236 |
| Insurance | 574.970 | 521.170 |
| Royalties | 125.938 | 195.160 |
| Notaries | 19.121 | 9.307 |
| Cleaning and confort | 286.397 | 416.964 |
| Others Services | 3.327.356 | 2.650.688 |
| 17.008.440 | 17.776.068 | |
Payroll expenses are decomposed as follows:
| Jun-13 | Jun-12 | |
|---|---|---|
| Payroll Management Payroll Personnel Benefits Plan Termination Indemnities Social Security Contribution Workmen´s Insurance Others |
191.662 12.276.683 894.365 409.868 3.001.447 184.016 1.316.721 18.274.762 |
202.906 12.900.980 507.076 378.948 3.070.834 191.454 1.492.225 18.744.423 |
(Amounts in Euros)
The remuneration of members of the board of Toyota Caetano Portugal, S.A. in the six months ended as of June 30, 2013 and 2012 were as follows:
| Board Members | Jun-13 | Jun-12 |
|---|---|---|
| Board of Directors Fixed remunerations Variable remunerations |
318.433 - |
324.318 - |
During the six month period ended as of June 30, 2013 and 2012, the average number of personnel was as follows:
| Personnel | Jun-13 | Jun-12 |
|---|---|---|
| Employees | 1.033 | 1.203 |
| Workers | 479 | 567 |
| 1.512 | 1.770 |
As of June 30, 2013 and 2012, the caption "Other operating income" and "Other operating expenses" were as follows:
| Jun-13 | Jun-12 |
|---|---|
| 4.605.342 | 4.936.244 |
| 4.457.234 | 3.066.922 |
| 724.764 | 630.764 |
| 754.763 | 735.809 |
| 705.759 | 625.746 |
| 723.362 | 874.172 |
| 844.030 | 1.045.713 |
| 382.452 | 512.578 |
| 163.295 | 220.373 |
| 1.140.385 | 540.309 |
| 10.996 | 10.313 |
| - | 363.183 |
| 1.344.872 | 1.402.924 |
| 984.716 | 1.393.716 |
| 16.841.971 | 16.358.765 |
(Amounts in Euros)
| Other operating expenses | Jun-13 | Jun-12 |
|---|---|---|
| Taxes | 370.490 | 527.492 |
| Bad debts | 1.417 | - |
| Losses in Inventories | (19.817) | (9.378) |
| Prompt payment discounts granted | 1.915 | 11.840 |
| Losses in other non-financial investments | 93.271 | 10.283 |
| Corrections to previous years | 43.258 | 5.761 |
| Donations | 6.323 | 250 |
| Subscriptions | 8.698 | 5.975 |
| Fines and penalties | 1.415 | 65.519 |
| Others | 468.190 | 511.102 |
| Others | 527.884 | 588.607 |
| 975.160 | 1.128.844 | |
The caption "Other Operating expenses" refers essentially to business incentives and bonuses.
Consolidated net financial results as of June 30, 2013 and 2012 were as follows:
| Expenses and Losses | Jun-13 | Jun-12 |
|---|---|---|
| Interest | 1.148.168 | 1.341.768 |
| Other Financial Expenses | 351.745 | 391.213 |
| 1.499.913 | 1.732.981 | |
| Income and Gains | Jun-13 | Jun-12 |
|---|---|---|
| Interest | 172.772 | 100.074 |
| Other Financial Income | 317.209 | - |
| 489.981 | 100.074 | |
(Amounts in Euros)
We summarize in the table below a resume of financial instruments of Toyota Caetano Group as of June 30, 2013, December 31, 2012 and June 30, 2012:
| Financial Assets | Financial Liabilities | |||||
|---|---|---|---|---|---|---|
| Jun-13 | Dec-12 | Jun-12 | Jun-13 | Dec-12 | Jun-12 | |
| Derivate Financial Instruments | - | - | - | 287.399 | 604.608 | 539.333 |
| Available for sale Assets | 3.259.751 | 3.181.038 | 3.186.494 | - | - | - |
| Accounts Receivable | 44.428.340 | 43.003.562 | 43.266.134 | - | - | - |
| Other credits - Current | 6.139.000 | 7.657.930 | 8.457.893 | - | - | - |
| Other credits - Non-Current | 313.000 | 313.000 | - | - | - | - |
| Other Current assets | 2.480.112 | 2.995.638 | 2.575.063 | - | - | - |
| Bank Loans | - | - | - | 20.657.895 | 32.578.948 | 50.300.000 |
| Leasings | - | - | - | 6.019.064 | 6.022.324 | 5.905.983 |
| Bank Overdrafts | - | - | - | 177.658 | 219.731 | 2.682.082 |
| Other Loans | - | - | - | 1.298.980 | 1.613.326 | 1.893.395 |
| Other Creditors | - | - | - | 3.837.552 | 2.445.622 | 2.544.793 |
| Public Entities | 1.035.996 | 228.104 | 2.141.147 | 7.865.660 | 5.925.322 | 5.133.433 |
| Other Current liabilities | - | - | - | 14.775.171 | 13.364.892 | 14.417.711 |
| Accounts Payable | - | - | - | 22.151.180 | 18.105.176 | 24.002.266 |
| Cash and Cash Equivalents | 6.400.742 | 7.507.699 | 12.518.150 | - | - | - |
| 64.056.941 | 64.886.971 | 72.144.881 | 77.070.559 | 80.879.949 | 107.418.996 | |
| Financial Assets | Financial Liabilities | |||||
|---|---|---|---|---|---|---|
| Jun-13 | Dec-12 | Jun-12 | Jun-13 | Dec-12 | Jun-12 | |
| Derivate Financial Instruments Available for sale Assets |
- 3.259.751 |
- 3.181.038 |
- 3.186.494 |
(287.399) - |
(604.608) - |
(539.333) - |
| 3.259.751 | 3.181.038 | 3.186.494 | (287.399) | (604.608) | (539.333) | |
Classification and Measurement
| Available for sale Assets | Derivate Financial Instruments | ||||
|---|---|---|---|---|---|
| At fair value | At cost | Cash Flow Hedge Accounting |
Negotiation | Level | |
| Cimóvel Fund | 3.195.115 | - | - | - | 1) |
| Others | - | 64.636 | - | - | 3) |
| Interest rate swap | - | - | - | (287.399) | 2) |
According to the paragraph 27-A of IFRS 7, we provide below, the disclosure of classification and measurement of financial instruments' fair value, by hierarchy level:
| Impact on equity | Impact on Income | ||||||||
|---|---|---|---|---|---|---|---|---|---|
| Jun-13 | Dec-12 | Jun-12 | Jun-13 | Dec-12 | Jun-12 | ||||
| - | - | - | (317.209) | 216.252 | 150.978 | ||||
| 78.713 | 88.059 | 93.515 | - | - | - | ||||
| 78.713 | 88.059 | 93.515 | (317.209) | 216.252 | 150.978 | ||||
| Minimum payments of operational lease | Jun-13 | Dec-12 |
|---|---|---|
| Not more than one year | 1.922.310 | 1.860.352 |
| More than one year and no more than five | 5.528.427 | 5.679.718 |
| More than five years | 2.295.528 | 3.436.300 |
| 9.746.265 | 10.976.370 | |
Balances and transactions between the Parent Company and its affiliates, which are related entities to the Parent Company, were eliminated in the consolidation process, so they will not be disclosed in this Note. Balances and transactions details between the Group and the related parties can be summarized as follows:
(Amounts in Euros)
| Purchases / COMPANY Receivable Payable Sales Purchases Sales Rendered Obtained Income Costs ALBITIN- CIMFT, LDA - 1.747 - 7.090 - - 1.334 - - AMORIM BRITO & SARDINHA LDA 1.958 - - - - - - - 1.875 ATLÂNTICA-COMPANHIA PORTUGUESA DE PESCA, SA 5.111 - - - - - - - - CAETANO ACTIVE (SUL),LDA 26.165 5.713 440 - - - - - 483 CAETANO AERONAUTIC, SA 22.644 - 3.316 - - - - - 17.614 CAETANO BAVIERA - COMÉRCIO DE AUTOMÓVEIS, SA 250.163 22.201 1.163.541 4.328 (9.508) - 72.603 72.266 80.202 CAETANO CITY E ACTIVE (NORTE) SA 37.520 18.678 5.888 - - 13.611 41.705 8.480 564 CAETANO DRIVE SPORT URBAN (NORTE)SA 219.812 83.102 9.317 141.764 714.832 773.596 14.046 - 4.751 CAETANO FORMULA (NORTE),SA 25.358 69.160 13.035 83.787 - 30.193 23.644 8.132 4.444 CAETANO MOTORS , SA 24.218 761 2.393 2.236 - 17.771 385 - 2.869 CAETANO PARTS LDA (1.072) 49.031 19.347 198 - 206.846 1.382 42 3.332 CAETANO POWER SA 837 26.286 4.319 64.705 - 4.353 2.613 - 5.792 CAETANO RETAIL SERVIÇOS SA - 4.937 - - - - - - - CAETANO RETAIL SGPS, S.A. - 3.624 683 - - - - - 25.629 CAETANO SPAIN, SA 371.074 648 - - - - - - - CAETANO STAR (SUL) SA - 34.134 550 - - - - - 1.666 CAETANO TECHNIK E SQUADRA LDA 22.227 152.862 17.266 209.089 10.851 33.682 13.672 - 3.389 CAETANOLYRSA, S.A - - - - - - - - - CAETANO UK LIMITED - 4.840 - - - - - - - CAETANOBUS-FABRICAÇÃO DE CARROÇARIAS SA 7.963.890 206.909 909.831 11.337 - 253 145.377 76.200 1.109.909 CAETSU SA 3.361 120.481 7.275 4.787 - - 887.332 1.200 1.599 CARPLUS-COMERCIO AUTOMOVEIS SA 203.954 42.353 10.371 - - 38.903 1.046 709 4.928 CHOICE CAR-COMERCIO AUTOMOVEIS SA 212 - - - - - - - 633 CIBERGUIA - INTERNET MARKETING, SA. 9.954 - - - - - - - - COCIGA - CONSTRUÇÕES CIVIS DE GAIA, SA 42.788 10.112 7.070 - 223.474 2.973 173.894 - 12.403 GRUPO SALVADOR CAETANO,SGPS, SA - - - - - - - - - CONTRAC GMBH MASCHINEN UND ANLAGEN - 167.829 - - - - 6.637 - - DICUORE-DECORACAO SA 177 - 190 - 13.814 - 1.745 - - IBERICAR GALICIA AUTO,SL - - - - - - - - - IBERICAR KELDENICH,SL - - - - - - - - - ENP-ENERGIAS RENOVÁVEIS PORTUGAL, S.A. 3.232 - 2.659 - - - - - 3.214 FINLOG - ALUGUER E COMÉRCIO AUTO, SA 162.290 108.357 30.580 159.259 - 70.802 185.720 66.727 977 FUNDAÇÃO SALVADOR CAETANO - - - - - - - - - GILLCAR NORTE - COM. IND. MAQUINAS E TINTAS,SA - 1.595 162 29.346 - 70 10.536 - - GRUPO SOARES DA COSTA 30.451 - - - - - - - - GUERIN RENT A CAR, SL 206.887 45.412 - - - - - 100.382 - GUÉRIN-RENT-A-CAR(DOIS),LDA 370.031 101.523 - - - - 75.743 - 293.477 HDICUORE DESIGN, LDA 2.454 - 2.392 - - - - 249 - IBERICAR AUTO NIPON, SA 15.525 224 - - - - 224 - - ISLAND RENT, ALUGUER DE AUTOMÓVEIS, S.A. - - - - - - - - 703 LUSILECTRA - VEÍCULOS E EQUIPAMENTOS, SA 305.317 137.271 180.053 23.543 (1.650) - 68.420 750 14.589 LUSO ASSISTÊNCIA-GESTÃO DE ACIDENTES , SA 1.710 - - - - - 690 - 567 MDS AUTO - MEDIAÇÃO SEGUROS SA 2.061 6.709 - 31.536 - - 396.921 1.437 15.700 NOVEF-SGPS 19.500 - - - - - - - - OESTE MAR, LDA - - - - - - - - 590 POAL 17.806 - - - - - - - - PORTIANGA - COMÉRCIO INTERNACIONAL E PARTICIPAÇÕES, SA 103.961 4.189 6.622 - - - 10.542 - 21.824 RARCON - ARQUITECTURA E CONSULTADORIA, SA - 37.081 - - 23.535 - 81.314 - 251 RIGOR - CONSULTORIA E GESTÃO, SA 95.367 638.488 63.586 78.487 375 - 1.145.414 7.285 212.919 ROBERT HUDSON ,LTD 10.542 - - - - - - - 10.542 SALVADOR CAETANO AUTO AFRICA, SGPS, SA - - - - - - - 18 - SIMOGA - SOC. IMOBILIÁRIA DE GAIA, SA 508 - - - - - - - 35 SPRAMO - PUBLICIDADE & IMAGEM, S.A. - 681 - - - - - - - TURISPAIVA - SOCIEDADE TURÍSTICA PAIVENSE, LDA. 374 - - - - - - - 365 VAS AFRICA (SGPS), SA 891 - - - - - - - 2.335 10.579.258 2.106.938 2.460.885 851.492 975.724 1.193.051 3.362.937 343.877 1.860.170 |
Commercial Debts | Products | Fixed assets | Services | Others | ||
|---|---|---|---|---|---|---|---|
Goods and services purchased and sales to related parties were made at market prices.
(Amounts in Euros)
The main information relating to the business segments existing on June 30, 2013 and 2012, prepared according to the same accounting policies and criteria adopted in the preparation of the consolidated financial statements, is as follows:
| 30- 06- 201 |
3 | |||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| NA TIO NA L FO RE IGN |
||||||||||||||||
| Ve hic |
les | Ind ust rial Eq uip nt me |
Oth ers |
Ve | hic les |
Ind ust rial Eq uip nt me |
Re val mo s |
Co lida ted nso |
||||||||
| Ind ust ry |
Co ial mm erc |
Se rvic es |
Re l nta |
Ma chi nes |
Se rvic es |
Re l nta |
Ind ust ry |
Co ial mm erc |
Ma chi nes |
Se rvic es |
Re l nta |
|||||
| PR OF IT |
||||||||||||||||
| Ext al s ale ern s |
4.7 68. 757 |
1 23. 080 .79 4 |
9.3 06. 935 |
2.2 62. 352 |
3.1 28. 853 |
978 .23 4 |
5.1 05. 047 |
197 .56 8 |
5.6 26. 148 |
6.9 23. 551 |
164 .79 4 |
7.4 04 |
3.5 00 |
( 7) 49. 478 .36 |
112 .07 5.5 69 |
|
| Inc om e |
||||||||||||||||
| Op tion al i era nco me |
( 965 .47 4) |
654 .32 0 |
8.8 10 |
( 70. 222 ) |
( 17. 554 ) |
609 .94 2 |
804 .94 9 |
189 .73 0 |
( 1.1 36. 685 ) |
( 93. 788 ) |
11 .61 4 |
4.7 46 |
620 | 364 .94 0 |
365 .94 7 |
|
| Fin ial inc anc om e |
( ) 25. 069 |
( 7) 271 .90 |
( 14) 4.3 |
( ) 503 |
( 91) 8.6 |
( 07) 6.1 |
( 2) 643 .21 |
553 | ( ) 34. 845 |
( ) 14. 446 |
( 23) 1.3 |
( 44) |
( 24) |
- | ( ) 1.0 09. 932 |
|
| Ne t In ith lled ntro com e w non -co inte ts res |
( 1.0 36. 822 ) |
97. 512 |
( 34. 100 ) |
( 70. 725 ) |
( 30. 123 ) |
603 .08 1 |
55 .07 9 |
138 .87 8 |
( 1.1 71. 530 ) |
( 113 .72 1) |
10 .29 1 |
4.7 03 |
595 | 548 .69 8 |
( 998 .18 4) |
|
| Oth Info atio er rm n |
||||||||||||||||
| Tot al c olid d a ate ts ons sse |
57. 570 .17 2 |
180 .57 2.5 62 |
13. 865 .04 6 |
11 .79 5.4 73 |
4.7 76. 440 |
334 .68 6 |
39 .73 8.6 28 |
35 .08 8.9 66 |
- | 9.2 18. 732 |
- | - | - | ( 144 .25 0.1 49) |
208 .71 0.5 57 |
|
| Tot al c olid d li abi litie ate ons s |
20. 532 .17 2 |
82. 063 .09 7 |
9.7 10. 979 |
10 .52 1.7 15 |
1.4 17. 407 |
110 .54 3 |
15 .76 9.5 91 |
14 .82 7.8 97 |
- | 2.3 98. 440 |
- | - | - | ( 6) 76. 956 .14 |
80. 395 .69 5 |
|
| Ca ital Ex p pen ses |
256 .66 9 |
464 .64 7 |
- | 4.9 68. 217 |
21 .08 1 |
4.1 02 |
556 .85 2 |
- | - | 4.9 87 |
- | - | - | ( ) 47. 073 |
6.2 29. 482 |
|
| De cia tion pre |
793 8 .55 |
2.2 89. 230 |
179 .74 1 |
1.4 39. 523 |
59 .83 8 |
11 .64 4 |
1.8 56. 156 |
29 7.5 |
- | 122 .84 9 |
- | - | - | 36 .22 2 |
6.7 96. 289 |
|
| 30- 06- 201 |
2 | |||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| NA TIO NA L FO RE IGN |
||||||||||||||||
| Ve hic |
les | Ind rial Eq uip ust nt me |
Oth | Ve | hic les |
Ind ust |
rial Eq uip |
nt me |
Re val mo s |
Co lida ted nso |
||||||
| Ind ust ry |
Co ial mm erc |
Se rvic es |
Re nta l |
Ma chi nes |
Se rvic es |
Re nta l |
ers | Ind ust ry |
Co ial mm erc |
Ma chi nes |
Se rvic es |
Re nta l |
||||
| PR OF IT |
||||||||||||||||
| Ext al s ale ern s |
8.5 07. 094 |
1 22. 135 .84 7 |
9.2 26. 526 |
3.1 81. 755 |
3.1 77. 932 |
1.1 87. 497 |
5.4 33. 388 |
- | 8.8 86. 295 |
7.5 52. 256 |
66 .59 4 |
1.4 26 |
450 | ( 47. 223 .01 5) |
122 .13 4.0 45 |
|
| Inc om e |
||||||||||||||||
| Op tion al i era nco me |
( 1.1 87. 735 ) |
( 1.2 78. 449 ) |
876 .45 4 |
( 398 .04 8) |
( 28. 707 ) |
742 .93 5 |
467 .11 5 |
( 184 .07 1) |
( 793 .03 5) |
227 .55 1 |
( 2.1 94) |
1.0 41 |
( 180 ) |
460 .62 7 |
( 1.0 96. 694 ) |
|
| Fin ial inc anc om e |
( 75. 237 ) |
( 853 .42 3) |
46. 108 |
( 193 .21 8) |
( 16. 559 ) |
( 13. 003 ) |
( 389 .14 9) |
- | ( 101 .37 3) |
( 36. 412 ) |
( 619 ) |
( 18) |
( 4) |
- | ( 1.6 32. 907 ) |
|
| Ne t In ith lled ntro com e w non -co inte ts res |
( ) 1.1 48. 992 |
( ) 2.3 52. 016 |
900 .60 9 |
( 1) 475 .47 |
( ) 45. 343 |
670 .06 5 |
93 .65 7 |
( 6) 224 .04 |
( 8) 894 .40 |
17 1.5 55 |
( 13) 2.8 |
939 | ( ) 183 |
952 .33 2 |
( ) 2.3 54. 115 |
|
| Oth Info atio er rm n |
||||||||||||||||
| Tot al c olid d a ate ts ons sse |
73. 984 .02 6 |
167 .78 4.7 91 |
27. 669 .71 3 |
20 .79 0.3 63 |
7.6 65. 883 |
370 .66 6 |
46 .32 5.4 85 |
35 .59 1.5 08 |
- | 7.6 80. 391 |
- | - | - | ( 97) 146 .51 9.9 |
241 .34 2.8 28 |
|
| Tot al c olid d li abi litie ate ons s |
28. 762 .70 0 |
82. 589 .43 7 |
16. 618 .05 5 |
19 .85 0.2 34 |
2.5 79. 240 |
132 .67 5 |
20 .65 3.7 15 |
14 .33 2.9 41 |
- | 1.6 08. 083 |
- | - | - | ( 9) 75. 622 .12 |
111 .50 4.9 51 |
|
| Ca ital Ex p pen ses |
251 .64 8 |
721 .00 5 |
141 .87 6 |
7.6 67. 148 |
69 .50 1 |
6.7 29 |
1.1 09. 385 |
- | - | 298 .81 1 |
- | - | - | ( ) 49. 377 |
10. 216 .72 5 |
|
| De cia tion pre |
894 .00 7 |
1.7 88. 854 |
656 .42 7 |
2.2 91. 724 |
166 .91 7 |
16 .16 0 |
2.3 01. 835 |
- | - | 97 .77 1 |
- | - | - | ( 67) 7.0 |
8.2 06. 628 |
|
The line "Turnover" includes Sales, Service Rendered and the amount of about 4.605.342 Euros (4.936.244 Euros as of June 30, 2012) related to equipment rentals accounted in Other Operating Income (Note 29).
The column "Eliminations" mainly includes the elimination of transactions between Group companies included in consolidation, mainly belonging to Vehicles segment.
(Amounts in Euros)
As of June 30, 2013, December 31, 2012 and June 30, 2012, Toyota Caetano Group had assumed the following financial commitments:
| Commitments | Jun-13 | Dec-12 | Jun-12 |
|---|---|---|---|
| Credits Guarantees of Imports Mortgage Property of Prior Velho |
211.942 11.397.714 - |
243.175 13.578.088 - |
277.546 13.206.124 14.797.000 |
| 11.609.656 | 13.821.263 | 28.280.670 |
At June 30, 2013 and December 31, 2012, the financial commitments classified as "Guarantees for Imports" the amount of 8.080.910 Euros is related with guarantees on imports provided to Customs Agency.
According to current legislation, the Company's tax returns are subject to revision and correction by the tax authorities during a period of four years, except for fiscal losses, in which the period to be considered increases to 6 years. Thus, the tax returns for the years 2009 to 2012 may subsequently be subject to revision. Statements regarding the Social Security may be revised over a period of five years. The Board of Directors believes that any improvements resulting from reviews / inspections by the tax authorities to tax returns for the years open to inspection should not have a significant effect on financial statements
At December 31,2013 as a result of favourable decisions on the judicial impugnation processes, referring to the additional payments ofCorporate Income Tax relating to the fiscal years of 1995, 1997, 1998 and 1999, Toyota Caetano has been reimbursed on 934.446 Euros (570.591 related to 1995 fiscal year, 363.855 from 1997 to 1999 fiscal years and 352.203 corresponding to compensatory interest).
Regarding the tax inspection to the years 2003 and 2004, the additional assessments related with Corporate Income Tax already paid and recognized as expenses in previous years were claimed, amounting to 725.542 Euros, as the Company understands that there are legal reasons for this procedure. During the year of 2010 it has been recovered approximately 218.000 Euros related with this judicial process.
Regarding to the tax inspection of the year 2003, an additional Corporate Income tax assessment was received and paid during 2007, amounting to 453.895 Euros, and recorded as an expense in that period, although it was partially judicially claimed by the Company.
Concerning to the tax inspection made to the year 2004, additional tax assessments were received and paid during 2007, amounting to 677.473 Euros, and recorded as an expense in that period, having the Company decided to claim them judicially. Also, in relation with this tax inspection, the Group received a notification from the tax authorities to correct its tax losses that can be carried forward, and that had already been used in prior years, amounting to 354.384 Euros, recorded under "other operating expenses" in previous years.
(Amounts in Euros)
The Board of Directors and its legal advisors believe that the arguments presented by a former agent, who claims compensation for the termination of the agency contract, is not in accordance with applicable law and thereby no losses will result to the company, so it was not recorded any provision in the financial statements. The referred agency contract termination was due to breach of contractual obligation.
As of January 2011, the court judgement was concluded with favourable decision to the Group.In September 2011, the referred former agent made an appeal in order to reopen the case.
In September 2012, the Group has been notified by the Court of Appeal, confirming the inexistence of responsibilities for Toyota Caetano.
On January 2013, the former agent made another appeal to the Supreme Court.
It is conviction of the board that no responsibilities will result for the Group from the end of this process.
The board and its legal advisors believe that the collective dismissal process is based on strong market, structural and technological reasons. It is conviction of the board that no responsibilities will arise for the Group from the end of this process.
The Group adopts the necessary measures relating to the environment, aiming to fulfil current applicable legislation.
The Toyota Caetano Group Board of Directors does not estimate that there are risks related to the environmental protection and improvement, not having received any infraction related to this matter during the first half of 2013.
In September 2000, the European Commission approved a Directive regarding end-of-life vehicles and the responsibility of Producers/Distributors for dismantling and recycling them.
Producers/Distributors will have to support at least a significant part of the cost of the dismantling of vehicles that went to the market after July 1, 2002, as well as in relation to vehicles produced before this date, but presented as of January 1, 2007.
This legislation will impact Toyota vehicles sold in Portugal. Toyota Caetano and Toyota are closely monitoring the development of Portuguese National Legislation in order to access the impact of these operations in its financial statements.
It is our conviction, in accordance with studies performed on the Portuguese market, and taking in consideration the possible usage of the vehicles parts resulting from the dismantlement, that the effective impact of this legislation in the Company accounts will be reduced or nil.
Meanwhile, and according to the legislation in force (Dec./Law 196/2003), the Company signed a contract with "ValorCar – Sociedade de Gestão de Veículos em Fim de Vida, Lda" - a licensed entity for the management of an integrated system of VLF- the transfer of the liabilities in this process.
(Amounts in Euros)
The earnings per share for the six month period ended as of June 30, 2013 and 2012 were computed based on the following amounts:
| Jun-13 | Jun-12 | |
|---|---|---|
| Net Income | ||
| Basic | -998.184 | -2.354.115 |
| Diluted | -998.184 | -2.354.115 |
| Number of shares | 35.000.000 | 35.000.000 |
| Earnings per share (basic and diluted) | -0,029 | -0,067 |
During the six month period ended at 2013 and 2012 there were no changes in the number of shares outstanding.
The consolidated financial statements were approved by the Board of Directors on August 27th, 2013.
These financial statements are a translation of financial statements originally issued in Portuguese language in accordance with IFRS. In the event of discrepancies, the Portuguese language version prevails.
ADMINISTRATIVE MANAGER BOARD OF DIRECTORS ALEXANDRA MARIA PACHECO GAMA JUNQUEIRA JOSÉ REIS DA SILVA RAMOS - President
In accordance with the terms of item g) of Article 420.º of the Companies Code and of the Articles of Association, it competes us to appreciate the report of the management performed and proceed to the general appraisal of the documents and statement of consolidated accounts of TOYOTA CAETANO PORTUGAL, SA, referring to the first semester of 2013 and which were presented to us by the Board of Directors.
In accordance with the assignments conferred to us, during this exercise we proceeded to the follow-up of the evolution of the social business with the frequency and to the extend considered advisable, to the general analysis of the financial procedures and the confirmation by sampling of the respective files.
We have no knowledge of any situation which didn't respect the articles of association and the legal terms applicable.
We analysed the limited revision Report elaborated by the registered auditor in CMVM (Comissão Mercado Valores Mobiliários) under number 9077, with which we agree.
Thus,
All members of the Board of Auditors of the TOYOTA CAETANO PORTUGAL, SA under the terms of item c) of number 1 of Article 246.º of the Exchange Stock Code, hereby confirm, as far as it is our knowledge, that the information provided in item a) of the above referred article was elaborated according to accounting rules applicable, evidencing a correct and clear image of the assets and liabilities, of the financial highlights and results of Group TOYOTA CAETANO PORTUGAL, SA and that the report of the management clearly shows the business evolution, the performance and the position of the Group, evidencing as well a description of the mains risks and incertitude's to be faced.
In these terms, we believe that the Financial Statements referring to the period ending at 30th June 2013 accurately reflect the result of all operations developed in that same period by the Group Toyota Caetano Portugal, S.A.
Vila Nova de Gaia, 29th August 2013
José Domingos da Silva Fernandes - President Alberto Luis Lema Mandim Akito Takami
1 In accordance with the Portuguese Securities Market Code (CVM), we present our limited review report on the consolidated financial information for the six-month period ended (30 June 2013 of Toyota Caetano Portugal, S.A. included in the consolidated Directors' Report, consolidated statement of financial position (which shows total assets of Euro 206,990,963 and total shareholders' equity of Euro 128,314,862, including non-controlling interests of Euro 733,867 and a net profit loss of Euro 923,092), consolidated income statement by nature, consolidated statement of comprehensive income, consolidated statement of changes in equity and consolidated statement of cash flows for the period then ended, and the corresponding notes to the accounts.
2 The amounts in the consolidated financial statements, as well as those in the additional financial information, are derived from the respective accounting records.
3 It is the responsibility of the Board of Directors: (a) to prepare consolidated financial information which present fairly, in all material respects, the financial position of the companies included in the consolidation, the consolidated results and the consolidated comprehensive income of their operations, the changes in consolidated equity and the consolidated cash flows; (b) to prepare historical financial information in accordance with International Accounting Standard 34 – Interim Financial Reporting as adopted by the European Union and which is complete, true, up-to-date, clear, objective and lawful as required by the CVM; (c) to adopt appropriate accounting policies and criteria; (d) to maintain appropriate systems of internal control; and (e) to disclose any significant matters which have influenced the activity, financial position or results.
4 Our responsibility is to verify the financial information included in the documents referred to above, namely as to whether it is complete, true, up-to-date, clear, objective and lawful, as required by the CVM, for the purpose of issuing an independent and professional report based on our work.
5 Our work was performed with the objective of obtaining moderate assurance about whether the financial information referred to above is free from material misstatement. Our work was performed in accordance with the Standards and Technical Recommendations issued by the Institute of Statutory Auditors, planned according to that objective, and consisted, primarily, in enquiries and analytical procedures, to review: (i) the reliability of the assertions included in the financial information; (ii) the appropriateness and consistency of the accounting principles used, as applicable; (iii) the applicability, or not, of the going concern basis of accounting; (iv) the presentation of the financial information; (v) as to whether the consolidated financial information is complete, true, up-to-date, clear, objective and lawful.
6 Our work also covered the verification that the consolidated financial information included in the consolidated Directors' Report is consistent with the remaining documents referred to above.
7 We believe that the work performed provides a reasonable basis for the issue of this limited review report on the half year information.
8 Based on the work, which was performed with the objective of obtaining a moderate level of assurance, nothing has come to our attention that leads us to conclude that the consolidated financial information for the six-month period ended 30 June 2013 contain material misstatements that affect its conformity with International Accounting Standard 34 – Interim Financial Reporting as adopted by the European Union and that it is not complete, true, up-to-date, clear, objective and lawful.
9 Based on the work, nothing has come to our attention that leads us to believe that the consolidated financial information included in the consolidated Directors' Report is not consistent with the consolidated financial information for the period.
August 29, 2013
PricewaterhouseCoopers & Associados - Sociedade de Revisores Oficiais de Contas, Lda. represented by:
José Pereira Alves, R.O.C.
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