Consolidated income statement for the year ended 31 December 2017


Consolidated income statement for the year ended 31 December 2017 // US Dollars million
Notes For the year ended 31 December 2017 For the year ended 31 December 2016
Revenue
Metal sales 6 8,415 7,646
Other sales 731 613
Total revenue 9,146 8,259
Cost of metal sales 7 (3,968) (3,633)
Cost of other sales (632) (508)
Gross profit 4,546 4,118
General and administrative expenses 8 (759) (581)
Selling and distribution expenses 9 (75) (111)
Impairment of non-financial assets 14 (227) (61)
Other net operating expenses 10 (362) (84)
Operating profit 3,123 3,281
Foreign exchange gain, net 159 491
Finance costs 11 (535) (453)
Impairment of available-for-sale investments 15 – (153)
Gain/(loss) from disposal of subsidiaries and assets classified as held for sale 20 20 (4)
Income from investments, net 12 77 114
Profit before tax 2,844 3,276
Income tax expense 13 (721) (745)
Profit for the year 2,123 2,531
Attributable to:
Shareholders of the parent company 2,129 2,536
Non-controlling interests (6) (5)
2,123 2,531
Earnings per share
Basic and diluted earnings per share attributable to shareholders of the parent company (US Dollars per share) 21 13.5 16.1


Consolidated statement of comprehensive income for the year ended 31 December 2017 // US Dollars million
For the year ended 31 December 2017 For the year ended 31 December 2016
Profit for the year 2,123 2,531
Other comprehensive income
Items to be reclassified to profit or loss in subsequent periods:
Effect of translation of foreign operations 15 13
Other comprehensive income to be reclassified to profit or loss in subsequent periods, net 15 13
Items not to be reclassified to profit or loss in subsequent periods:
Effect of translation to presentation currency 277 561
Other comprehensive income not to be reclassified to profit or loss in subsequent periods, net 277 561
Other comprehensive income for the year, net of tax 292 574
Total comprehensive income for the year, net of tax 2,415 3,105
Attributable to:
Shareholders of the parent company 2,417 3,106
Non-controlling interests (2) (1)
2,415 3,105

Consolidated statement of financial position at 31 December 2017 // US Dollars million
Notes At 31 December 2017 At 31 December 2016
Assets
Non-current assets
Property, plant and equipment 14 10,960 9,306
Intangible assets 148 94
Other financial assets 15 192 190
Other taxes receivable 16 1 2
Deferred tax assets 13 77 72
Other non-current assets 17 731 1,013
12,109 10,677
Current assets
Inventories 17 2,689 1,912
Trade and other receivables 18 327 173
Advances paid and prepaid expenses 71 66
Other financial assets 15 99 8
Income tax receivable 82 82
Other taxes receivable 16 296 277
Cash and cash equivalents 19 852 3,325
Other current assets 110 3
4,526 5,846
Total assets 16,635 16,523
Equity and liabilities
Capital and reserves
Share capital 21 6 6
Share premium 1,254 1,254
Translation reserve (4,490) (4,778)
Retained earnings 27 7,557 7,340
Equity attributable to shareholders of the parent company 4,327 3,822
Non-controlling interests 22 331 74
4,658 3,896
Non-current liabilities
Loans and borrowings 23 8,236 7,276
Provisions 25 464 441
Trade and other long-term payables 402 523
Deferred tax liabilities 13 407 355
Other long-term liabilities 116 50
9,625 8,645
Current liabilities
Loans and borrowings 23 817 579
Trade and other payables 26 783 1,613
Dividends payable 27 6 1,164
Employee benefit obligations 24 377 301
Provisions 25 189 183
Derivative financial instruments 24 1
Income tax payable 9 2
Other taxes payable 16 147 139
2,352 3,982
Total liabilities 11,977 12,627
Total equity and liabilities 16,635 16,523

Consolidated statement of cash flows for the year ended 31 December 2017 // US Dollars million
For the year ended 31 December 2017 For the year ended 31 December 2016
Operating activities
Profit before tax 2,844 3,276
Adjustments for:
Depreciation and amortisation 645 557
Impairment of non-financial assets 227 61
Impairment of available for sale investments – 153
Loss on disposal of property, plant and equipment 9 16
(Gain)/loss from disposal of subsidiaries and assets classified as held for sale (20) 4
Change in provisions and allowances 41 13
Finance costs and income from investments, net 458 360
Foreign exchange gain, net (159) (491)
Other 58 9
4,103 3,958
Movements in working capital:
Inventories (346) (751)
Trade and other receivables (174) (3)
Advances paid and prepaid expenses 10 13
Other taxes receivable (5) (36)
Employee benefit obligations 9 44
Trade and other payables (1,118) 835
Provisions (48) (45)
Other taxes payable 2 26
Cash generated from operations 2,433 4,041
Income tax paid (670) (530)
Net cash generated from operating activities 1,763 3,511
Investing activities
Purchase of property, plant and equipment (1,940) (1,667)
Purchase of other financial assets – (150)
Purchase of intangible assets (62) (47)
Purchase of other non-current assets (88) (31)
Loans issued (18) (103)
Proceeds from repayment of loans issued 48 –
Net change in deposits placed (80) (10)
Proceeds from sale of other financial assets 25 10
Proceeds from disposal of property, plant and equipment 29 1
Proceeds from disposal of subsidiaries and assets classified as held for sale 99 3
Interest received 51 74
Net cash used in investing activities (1,936) (1,920)
Financing activities
Proceeds from loans and borrowings 4,233 936
Repayments of loans and borrowings (3,140) (1,741)
Financial lease payments (10) (5)
Dividends paid (2,971) (1,232)
Dividends paid to non-controlling interest (1) –
Interest paid (642) (591)
Proceeds from sale of a non-controlling interest in a subsidiary 294 80
Sale of own shares from treasury stock – 154
Net cash used in financing activities (2,237) (2,399)
Net decrease in cash and cash equivalents (2,410) (808)
Cash and cash equivalents at the beginning of the year 3,325 4,098
Effects of foreign exchange differences on balances of cash and cash equivalents (63) 35
Cash and cash equivalents at the end of the year 852 3,325

Consolidated statement of changes in equity for the year ended 31 December 2017 // US Dollars million
Notes Equity attributable to shareholders of the parent company Non-controlling interests Total
Share capital Share premium Treasury shares Translation reserve Retained earnings Total
Balance at 1 January 2016 6 1,254 (196) (5,348) 6,523 2,239 22 2,261
Profit/(loss) for the year – – – – 2,536 2,536 (5) 2,531
Other comprehensive income – – – 570 – 570 4 574
Total comprehensive income/(loss) for the year – – – 570 2,536 3,106 (1) 3,105
Dividends 27 – – – – (1,708) (1,708) – (1,708)
Increase in non-controlling interest due to decrease in ownership of a subsidiary 22 – – – – 25 25 55 80
Sale of own shares from treasury stock – – 196 – (38) 158 – 158
Decrease in non-controlling interest due to increase in ownership of a subsidiary – – – – 2 2 (2) –
Balance at 31 December 2016 6 1,254 – (4,778) 7,340 3,822 74 3,896
Profit/(loss) for the year – – – – 2,129 2,129 (6) 2,123
Other comprehensive income – – – 288 – 288 4 292
Total comprehensive income/(loss) for the year – – – 288 2,129 2,417 (2) 2,415
Dividends 27 – – – – (1,846) (1,846) (1) (1,847)
Increase in non-controlling interest due to decrease in ownership of a subsidiary 22 – – – – 35 35 259 294
Other effects related to transactions with non-controlling interest owners – – – – (100) (100) – (100)
Decrease in non-controlling interest due to increase in ownership of a subsidiary – – – – (1) (1) 1 –
Balance at 31 December 2017 6 1,254 – (4,490) 7,557 4,327 331 4,658

The accompanying notes form an integral part of the consolidated financial statements