新锐股份：澳大利亚矿业服务有限公司审计报告
AustralasianMiningServicesPtyLtdABN
AnnualReport
-fortheyearended
December2022
December2022
TABLEOFCONTENTSDirectors'report.............................................................................................................................................
Auditor'sindependencedeclaration...........................................................................................................
Statementofprofitorlossandothercomprehensiveincome.................................................................
Statementoffinancialposition....................................................................................................................
Statementofchangesinequity..................................................................................................................
Statementofcashflows...............................................................................................................................
Notestothefinancialstatements.............................................................................................................
Directors'declaration..................................................................................................................................
independentauditor'sreport......................................................................................................................
AustralasianMiningServicesPtyLtdDirectors'reportFortheyearended
December2022
Thedirectorspresenttheirreport,togetherwiththefinancialstatements,consistingofAustralasianMiningServicesPtyLtd(referredtohereafterasthe'company')fortheyearended
December2022.
Directors
ThefollowingpersonsweredirectorsofAustralasianMiningServicesPtyLtdduringtheyearanduptothedateofthisreportunlessotherwisestated:
AndrewAndreou
-
DirectorGuoZhuLiu
-
Director
HeHongRichardWu
-
DirectorPaulJamesMander
-
Director
JieqiangQin
-Director
Principalactivities
Theprincipalactivitiesofthecompanyduringtheyearwassalesandafter-salesservicetothemininganddrillingindustry.
Dividends
Atotalof$6,500,000individendswasdeclaredon
February2023inrelationtotheyearended
December2022.Atotal
of$5,000,000individendswasdeclaredandpaidduringtheyearended
December2022inrelationtotheyearended
December2021.
Reviewofoperations
Theprofitforthecompanyafterprovidingforincometaxwas$10,744,870(2021:
$9,831,431).
Significantchangesinthestateofaffairs
Therewerenoothersignificantchangesinthestateofaffairsofthecompanyduringthefinancialyear.
Eventssubsequenttoreportingdate
On
February2023,adividendof$6,500,000intotalwasdeclaredandfullypaidfromtheretainedprofitsofthecompanybycash,insatisfactionofpartofthedividendpolicyagreedbytheshareholdersofthecompanyundertheShareholdersagreement.
Otherthantheabove,noothermatterorcircumstancehasarisensince
December2022thathassignificantlyaffected,
ormaysignificantlyaffectthecompany'soperations,theresultsofthoseoperations,orthecompany'sstateofaffairsin
futurefinancialyears.
Likelydevelopmentsandexpectedresultsofoperations
Informationonlikelydevelopmentsintheoperationsofthecompanyandtheexpectedresultsofoperationshavenotbeen
includedinthisreportbecausethedirectorsbelieveitwouldbelikelytoresultinunreasonableprejudicetothecompany.
Environmentalregulation
ThecompanyisnotsubjecttoanysignificantenvironmentalregulationunderAustralianCommonwealthorStatelaw.
SharesoptionsandinterestNooptionsoverissuedsharesorinterestsinthecompanyweregrantedduringorsincetheendofthefinancialyearand
therewerenooptionsoutstandingatthedateofthisreport.Indemnityandinsuranceofauditor
Thecompanyhasnot,duringorsincetheendofthefinancialyear,indemnifiedoragreedtoindemnifytheauditorofthe
companyoranyrelatedentityagainstaliabilityincurredbytheauditor.Duringthefinancialyear,thecompanyhasnotpaidapremiuminrespectofacontracttoinsuretheauditorofthecompanyoranyrelatedentity.
ProceedingsonbehalfofthecompanyNopersonhasappliedtotheCourtundersection
oftheCorporationsAct2001forleavetobringproceedingsonbehalfofthecompany,ortointerveneinanyproceedingstowhichthecompanyisapartyforthepurposeoftakingresponsibility
onbehalfofthecompanyforallorpartofthoseproceedings.
Directors'report
Fortheyearended
December2021Auditor'sindependencedeclarationAcopyoftheauditor'sindependencedeclarationasrequiredundersection3070oftheCorporationsAct2001issetoutimmediatelyafterthisdirectors'report.
Thisreportismadeinaccordancewitharesolutionofdirectors,pursuanttosection298(2)(a)oftheCorporationsAct2001
Onbehalfofthedirectors
AndrewAndreou
Director
March2023
Perth,WesternAustralia
RSMAustraliaPartnersLevel32,ExchangeTower
TheEsplanadePerthWA6000GPOBoxR1253PerthWA68441+61(0)892619100
F+61(0)892619111
wwwrsmcom,auAUDITOR'SINDEPENDENCEDECLARATIONAsleadauditorfortheauditofthefinancialreportofAustralasianMiningServicesPtyLtdfortheyearended
December2022,Ideclarethat,tothebestofmyknowledgeandbelief,therehavebeennocontraventionsof:
(i)theauditorindependencerequirementsoftheCorporationsAct2001inrelationtotheaudit;and
(ii)anyapplicablecodeofprofessionalconductinrelationtotheaudit.
Perth,WA
Dated:
March2023
THEPOWEROFBEINGUNDERSTOOD
AUDITITAXICONSULTING
RSMAUSTRALIAPARTNERS
TUTUPHONG
Partner
RSMAustraliaPartnersisamemberoftheRSMnetworkandtradesasRSM.RSMisthetradingnameusedbythemembersoftheRSMnetwork.EachmemberoftheRSMnetworkisanindependent
accountingandconsultingfirmwhichpracticesinitsownright.TheRSMnetworkIsnotitselfaseparatelegalentityinany
Jurisdiction.RSMAustraiiaPartnersAEN
LiabilitylimitedbyaschemeapprovedunderProfessionalStandardsLegislation
StatementofprofitorlossandothercomprehensiveincomeFortheyearended
December2022
RevenuefromcontinuingoperationsCostofsalesGrossprofit
OtherincomeExpensesSalesexpensesManagementexpensesWarehouseexpensesAdministrativeexpensesFinancialexpensesProfitbeforeincometaxexpenseIncometaxexpenseProfitafterincometaxexpenseOthercomprehensiveincomeforyear,netoftaxTotalcomprehensiveincomefortheyear
December2022
December2021
$$
75,439,63263,391,399
(52,088,224)(42,230,275)23,351,40821,161,124
144,08560,464
(2,374,434)(2,428,150)(1,285,048)(1,077,619)(1,957,302)(1,411,197)
(2,314,050)(2,173,214)
(177,904)(75,573)
15,386,75514,055,835
(4,641,885)(4,224,404)
10.744,870
9,831,431
10,744,8709,831,431
Theabovestatementofprofitorlossandothercomprehensiveincomeshouldbereadinconjunctionwiththe
accompanyingnotes
StatementofFinancialPositionAsat
December2022
AssetsCurrentassets
CashandcashequivalentsTradeandotherreceivablesInventoriesTotalcurrentassets
Note
December2022
December2021$$
9,101,7408,214,324
12,534,50211,783,039
23,723,95024,095,67045,360,19244,093,033Non-currentassetsPlantandequipment
1,132,387895,777
Intangibles
14,46717,614
Securitybond40,150
-
Deferredtaxassets
405,792361,795Rightofuseassets
3,185,3513,109,070
Totalnon-currentassets4,778,1474,384,256
Totalassets50,138,33948,477,289
Liabilities
Currentliabilities
Tradeandotherpayables
Provisionforincometax
Provisionforemployeeentitlements
Leaseliabilities
Borrowings
Totalcurrentliabilities
10,796,48615,156,758
356,202606,729
221,900216,035
471,609399,734
168,05180,52012,014,24816,459,776
Non-currentliabilities
Provisionforemployeeentitlements
95,17553,347
Deferredtaxliabilities
297,077197,819
Leaseliabilities
2,892,2842,790,557Borrowings
264,610145,715
Totalnon-currentliabilities
3,549,1463,187,438
Totalliabilities15,563,39419,647,214
Netassets34,574,94528,830,075
Equity
Issuedcapital
9,013,4819,013,481
Retainedearnings
25,561,46419,816,594
Totalequity
34,574,94528,830,075
Theabovestatementoffinancialpositionshouldbereadinconjunctionwiththeaccompanyingnotes
StatementofChangesinEquityFortheyearended
December2022
IssuedRetained
capitalearnings
$$
Balanceat
January20229,013,48119,816,594Profitafterincometaxexpensefortheyear-
10,744,870Totalcomprehensiveincomefortheyear
-
-
10,744,870
Transactionswithownersintheircapacityasowners.Dividendspaidorpayable(Note26)Balanceat
December2022
Balanceat
January2021Profitafterincometaxexpensefortheyear
Totalcomprehensiveincomefortheyear
Transactionswithownersintheircapacityasowners:
Dividendspaidorpayable(Note26)
Balanceat
December2021
Totalequity
$
28,830,075
10,744,870
10,744,870
-
(5,000,000)(5,000,000)9,013,48125,561,46434,574,945
9,013,48114,985,16323,998,644
-
9,831,4319,831,431
-
9,831,4319,831,431
-
(5,000,000)(5,000,000)
9,013,48119,816,59428,830,075
Theabovestatementofchangesinequityshouldbereadinconjunctionwiththeaccompanyingnotes
StatementofCashFlowsFortheyearended
December2022
CashflowsfromoperatingactivitiesReceiptsfromcustomersPaymentstosuppliersandemployeesInterestreceivedInterestpaidTaxespaidNetcashflowsprovidedbyoperatingactivitiesCashflowsfrominvestingactivitiesPaymentsforplantandequipmentPaymentsforintangiblesProceedsfromsaleofplantandequipmentNetcashflowsusedininvestingactivities
Cashflowsfromfinancingactivities
PaymentofdividendsProceedsfromborrowings
RepaymentofborrowingsRepaymentofleaseliabilities
Netcashflowsusedinfinancingactivities
Netincrease/(decrease)incashandcashequivalents
Cashandcashequivalentsatbeginningofyear
cashandcashequivalentsatendofyear
December2022
December2021
$$
74,680,35360,483,893
(63,157,031)(50,995,237)
7,8181,634
(160,048)(178,713)(4,837,152)(4,060,787)
6,533,9405,250,790
(544,626)(505,123)
(7,165)(2,324)
110,00036,182
(441,791)(471,265)
(5,000,000)(5,000,000)
334,449194,720(128,023)(45,317)(411,159)(336,453)
(5,204,733)(5,187,050)
887,416(407,525)
8,214,3248,621,849
9,101,7408,214,324
Theabovestatementofcashflowsshouldbereadinconjunctionwiththeaccompanyingnotes
AustralasianMiningServicesPtyLtdNotestothefinancialstatements
December20221.Generalinformation
AustralasianMiningServicesPtyLtd(the"company")isacompanylimitedbyshares,incorporatedanddomiciledinAustralia.
Theregisteredofficeandprincipalplaceofbusinessisat
BerkshireRoad,ForrestfieldWA6058.
ThefinancialstatementscoverAustralasianMiningServicesPtyLtdasanindividualentity.Thefinancialstatementsare
presentedinAustraliandollars,whichisthecompany'sfunctionalandpresentationcurrency.
2.Significantaccountingpolicies
Theprincipalaccountingpoliciesadoptedinthepreparationofthefinancialstatementsaresetoutbelow.Thesepolicies
havebeenconsistentlyappliedtoalltheyearspresented,unlessotherwisestated.
New,revisedoramendingAccountingStandardsandInterpretationsadopted
ThecompanyhasadoptedalloftheneworamendedAccountingStandardsandInterpretationsissuedbytheAustralianAccountingStandardsBoard('AASB')thataremandatoryforthecurrentreportingperiod.
TheadoptionoftheseAccountingStandardsandInterpretationsdidnothaveanysignificantimpactonthefinancial
performanceorpositionofthecompany.Basisofpreparation
ThesegeneralpurposefinancialstatementshavebeenpreparedinaccordancewiththeAustralianAccountingStandards
-
SimplifiedDisclosuresissuedbytheAustralianAccountingStandardsBoard('AASB')andtheCorporationsAct2001,as
appropriateforfor-profitorientedentities.HistoricalcostconventionThefinancialstatementshavebeenpreparedunderthehistoricalcostconvention.CriticalaccountingestimatesThepreparationofthefinancialstatementsrequirestheuseofcertaincriticalaccountingestimates.Italsorequires
managementtoexerciseitsjudgementintheprocessofapplyingthecompany'saccountingpolicies.Theareasinvolvinga
higherdegreeofjudgementorcomplexity,orareaswhereassumptionsandestimatesaresignificanttothefinancial
statements,aredisclosedinNote3.
Foreigncurrencytransactions
ForeigncurrencytransactionsaretranslatedintoAustraliandollarsusingtheexchangeratesprevailingatthedatesofthetransactions.Foreignexchangegainsandlossesresultingfromthesettlementofsuchtransactionsandfromthetranslation
atfinancialyear-endexchangeratesofmonetaryassetsandliabilitiesdenominatedinforeigncurrenciesarerecognisedin
profitorloss.Thefollowingsignificantaccountingpolicieshavebeenadoptedinthepreparationandpresentationofthefinancialreport:
AustralasianMiningServicesPtyLtdNotestothefinancialstatements
December20222.Significantaccountingpolicies(cont'd)RevenuerecognitionRevenueisrecognisedasfollows:
RevenuefromcontractswithcustomersRevenueisrecognisedatanamountthatreflectstheconsiderationtowhichthecompanyisexpectedtobeentitledinexchangefortransferringgoodsorservicestoacustomer.Foreachcontractwithacustomer,thecompany:
identifiesthe
contractwithacustomer;identifiestheperformanceobligationsinthecontract;determinesthetransactionpricewhichtakes
intoaccountestimatesofvariableconsiderationandthetimevalueofmoney;allocatesthetransactionpricetotheseparateperformanceobligationsonthebasisoftherelativestand-alonesellingpriceofeachdistinctgoodorservicetobedelivered;
andrecognisesrevenuewhenoraseachperformanceobligationissatisfiedinamannerthatdepictsthetransfertothe
customerofthegoodsorservicespromised.
Variableconsiderationwithinthetransactionprice,ifany,reflectsconcessionsprovidedtothecustomersuchasdiscounts,
rebatesandrefunds,anypotentialbonusesreceivablefromthecustomerandanyothercontingentevents.Suchestimates
aredeterminedusingeitherthe'expectedvalue'or'mostlikelyamount'method.Themeasurementofvariableconsideration
issubjecttoaconstrainingprinciplewherebyrevenuewillonlyberecognisedtotheextentthatitishighlyprobablethatasignificantreversalintheamountofcumulativerevenuerecognisedwillnotoccur.Themeasurementconstraintcontinues
untiltheuncertaintyassociatedwiththevariableconsiderationissubsequentlyresolved.Amountsreceivedthataresubject
totheconstrainingprinciplearerecognisedasarefundliability.
Saleofgoods
Revenuefromthesaleofgoodsisrecognisedatthepointintimewhenthecustomerobtainscontrolofthegoods,whichisgenerallyatthetimeofdelivery.InterestInterestrevenueisrecognisedasinterestaccrues.
Otherrevenue
Otherrevenueisrecognisedwhenitisreceivedorwhentherighttoreceivepaymentisestablished.
Incometax
Theincometaxexpenseorbenefitfortheperiodisthetaxpayableonthatperiod'staxableincomebasedontheapplicableincometaxrateforeachjurisdiction,adjustedbythechangesindeferredtaxassetsandliabilitiesattributabletotemporary
differences,unusedtaxlossesandtheadjustmentrecognisedforpriorperiods,whereapplicable.
Deferredtaxassetsandliabilitiesarerecognisedfortemporarydifferencesatthetaxratesexpectedtobeappliedwhentheassetsarerecoveredorliabilitiesaresettled,basedonthosetaxratesthatareenactedorsubstantivelyenacted,exceptfor:
-
Whenthedeferredincometaxassetorliabilityarisesfromtheinitialrecognitionofgoodwilloranassetorliabilityina
transactionthatisnotabusinesscombinationandthat,atthetimeofthetransaction,affectsneithertheaccountingnor
taxableprofits;or
-
Whenthetaxabletemporarydifferenceisassociatedwithinterestsinsubsidiaries,associatesorjointventures,aridthetimingofthereversalcanbecontrolledanditisprobablethatthetemporarydifferencewillnotreverseintheforeseeablefuture.Deferredtaxassetsarerecognisedfordeductibletemporarydifferencesandunusedtaxlossesonlyifitisprobablethatfuturetaxableamountswillbeavailabletoutilisethosetemporarydifferencesandtosses.
Thecarryingamountofrecognisedandunrecogniseddeferredtaxassetsarereviewedateachreportingdate.Deferredtaxassetsrecognisedarereducedtotheextentthatitisnolongerprobablethatfuturetaxableprofitswillbeavailableforthe
carryingamounttoberecovered.Previouslyunrecogniseddeferredtaxassetsarerecognisedtotheextentthatitisprobable
thattherearefuturetaxableprofitsavailabletorecovertheasset.
Deferredtaxassetsandliabilitiesareoffsetonlywherethereisalegallyenforceablerighttooffsetcurrenttaxassetsagainst
currenttaxliabilitiesanddeferredtaxassetsagainstdeferredtaxliabilities;andtheyrelatetothesametaxableauthorityon
eitherthesametaxableentityordifferenttaxableentitieswhichintendtosettlesimultaneously.
Notestothefinancialstatements
December2022
2.Significantaccountingpolicies(cont'd)
Currentandnon-currentclassificationAssetsandliabilitiesarepresentedinthestatementoffinancialpositionbasedoncurrentandnon-currentclassification.
Anassetisclassifiedascurrentwhen:
itiseitherexpectedtoberealisedorintendedtobesoldorconsumedinthecompany'snormaloperatingcycle;itisheldprimarilyforthepurposeoftrading;itisexpectedtoberealisedwithin
monthsafterthe
reportingperiod;ortheassetiscashorcashequivalentunlessrestrictedfrombeingexchangedorusedtosettlealiabilityfor
atleast
monthsafterthereportingperiod.Allotherassetsareclassifiedasnon-current.Aliabilityisclassifiedascurrentwhen:
itiseitherexpectedtobesettledinthecompany'snormaloperatingcycle;itisheld
primarilyforthepurposeoftrading;itisduetobesettledwithin
monthsafterthereportingperiod;orthereisnounconditional
righttodeferthesettlementoftheliabilityforatleast
monthsafterthereportingperiod.Allotherliabilitiesareclassifiedasnon-current.
Deferredtaxassetsandliabilitiesarealwaysclassifiedasnon-current.
Cashandcashequivalents
Cashandcashequivalentsincludescashonhand,depositsheldatcallwithfinancialinstitutions,othershort-term,highly
liquidinvestmentswithoriginalmaturitiesofthreemonthsorlessthatarereadilyconvertibletoknownamountsofcashand
whicharesubjecttoaninsignificantriskofchangesinvalue.
Tradeandotherreceivables
Tradereceivablesareinitiallyrecognisedatfairvalueandsubsequentlymeasuredatamortisedcostusingtheeffectiveinterestmethod,lessanyallowanceforexpectedcreditlosses.Tradereceivablesaregenerallydueforsettlementwithin
days.
Thecompanyhasappliedthesimplifiedapproachtomeasuringexpectedcreditlosses,whichusesalifetimeexpectedloss
allowance.Tomeasuretheexpectedcreditlosses,tradereceivableshavebeengroupedbasedondaysoverdue.Otherreceivablesarerecognisedatamortisedcost,lessanyallowanceforexpectedcreditlosses.
Inventories
Inventoriesarevaluedatthelowerofcostandnetrealisablevalue.Costofpurchasedinventoryisdeterminedonthebasisofweightedaveragecosts.Costofmanufacturedandworkinprogressstockincludesdirectmaterials,directlabour,andanappropriateproportionofvariableandfixedfactoryoverheadexpendituredirectlyrelatedtoproduction.Thesecostsare
assignedtoallitemsofinventoryonastandardcostbasis.
Stockintransitisstatedatthelowerofcostandnetrealisablevalue,Costcomprisesofpurchaseanddeliverycosts,netofrebatesanddiscountsreceivedorreceivable.
Netrealisablevalueistheestimatedsellingpriceintheordinarycourseofbusinesslesstheestimatedcostsofcompletion
andtheestimatedcostsnecessarytomakethesale.
Notestothefinancialstatements
December20222.Significantaccountingpolicies(cont'cl)Property,plantandequipmentProperty,plantandequipmentaremeasuredonthecostbasislesswhereapplicable,anyaccumulateddepreciationand
impairmentlosses.Thecarryingamountofproperty,plantandequipmentisreviewedannuallybydirectorstoensureitisnotinexcessoftherecoverableamountfromthoseassets.Therecoverableamountisassessedonthebasisoftheexpectednetcashflowswhichwillbereceivedfromtheasset'semploymentandsubsequentdisposal.Theexpectednetcashflowshavenotbeendiscountedtopresentvaluesindeterminingrecoverableamounts.
Thedepreciableamountofallproperty,plantandequipmentaredepreciatedonastraight-linebasisovertheirestimated
usefullivestothecompanycommencingfromthetimetheassetisheldreadyforuse.Theusefullivesofproperty,plantandequipmenthavebeenestimatedtobe:
Electricalequipment
years
Machinery
years
Leaseholdimprovements3-5years
Motorvehicles
years
Otherplantandequipment
years
Theresidualvalues,usefullivesanddepreciationmethodsarereviewed,andadjustedifappropriate,ateachreportingdate.Leaseholdimprovementsandplantandequipmentunderleasearedepreciatedovertheunexpiredperiodoftheleaseor
theestimatedusefullifeoftheassets,whicheverisshorter.Anitemofplantandequipmentisderecognisedupondisposalorwhenthereisnofutureeconomicbenefittothecompany.Gainsandlossesbetweenthecarryingamountandthedisposalproceedsaretakentoprofitorloss.Anyrevaluationsurplus
reserverelatingtotheitemdisposedofistransferreddirectlytoretainedprofits.
Intangibleassets
Intangibleassetsacquiredseparatelyareinitiallyrecognisedatcost.Finitelifeintangibleassetsaresubsequentlymeasured
atcostlessamortisationandanyimpairment.Thegainsorlossesrecognisedinprofitorlossarisingfromthederecognitionofintangibleassetsaremeasuredasthedifferencebetweennetdisposalproceedsandthecarryingamountoftheintangibleasset.Themethodandusefullivesoffinitelifeintangibleassetsarereviewedannually.Changesintheexpectedpatternof
consumptionorusefullifeareaccountedforprospectivelybychangingtheamortisationmethodorperiod.
Software
Significantcostsassociatedwithsoftwarearedeferredandamortisedonastraight-linebasisovertheperiodoftheirexpected
benefit,beingtheirfinitelifeof
years.
AustralasianMiningServicesPtyLtdNotestothefinancialstatements
December2022
2.Significantaccountingpolicies(cont'd)Right-of-useassetsAright-of-useassetisrecognisedatthecommencementdateofalease.Theright-of-useassetismeasuredatcost,whichcomprisestheinitialamountoftheleaseliability,adjustedfor,asapplicable,anyleasepaymentsmadeatorbeforethecommencementdatenetofanyleaseincentivesreceived,anyinitialdirectcostsincurred,and,exceptwhereincludedinthecostofinventories,anestimateofcostsexpectedtobeincurredfordismantlingandremovingtheunderlyingasset,and
restoringthesiteorasset.
Right-of-useassetsaredepreciatedonastraight-linebasisovertheunexpiredperiodoftheleaseortheestimateduseful
lifeoftheasset,whicheveristheshorter.Wherethecompanyexpectstoobtainownershipoftheleasedassetattheendoftheleaseterm,thedepreciationisoveritsestimatedusefullife.Right-ofuseassetsaresubjecttoimpairmentoradjustedfor
anyremeasurementofleaseliabilities.Thecompanyhaselectednottorecognisearight-of-useassetandcorrespondingleaseliabilityforshort-termleaseswithtermsof
monthsorlessandleasesoflow-valueassets.Leasepaymentsontheseassetsareexpensedtoprofitorloss
asincurred.
Impairmentofnon-financialassets
Non-financialassetsarereviewedforimpairmentwhenevereventsorchangesincircumstancesindicatethatthecarryingamountmaynotberecoverable.Animpairmentlossisrecognisedfortheamountbywhichtheasset'scarryingamount
exceedsitsrecoverableamount.
Recoverableamountisthehigherofanasset'sfairvaluelesscostsofdisposalandvalue-in-use.Thevalue-in-useisthe
presentvalueoftheestimatedfuturecashflowsrelatingtotheassetusingapre-taxdiscountratespecifictotheassetorcash-generatingunittowhichtheassetbelongs.Assetsthatdonothaveindependentcashflowsaregroupedtogetherto
formacash-generatingunit.
Tradeandotherpayables
Theseamountsrepresentliabilitiesforgoodsandservicesprovidedtothecompanypriortotheendofthefinancialyearand
whichareunpaid.Duetotheirshort-termnaturetheyaremeasuredatamortisedcostandarenotdiscounted.Theamounts
areunsecuredandareusuallypaidwithin
daysofrecognition.
Leaseliabilities
Aleaseliabilityisrecognisedatthecommencementdateofalease.Theleaseliabilityisinitiallyrecognisedatthepresent
valueoftheleasepaymentstobemadeoverthetermofthelease,discountedusingtheinterestrateimplicitintheleaseor,ifthatratecannotbereadilydetermined,thecompany'sincrementalborrowingrate.Leasepaymentscompriseoffixed
paymentslessanyleaseincentivesreceivable,variableleasepaymentsthatdependonanindexorarate,amountsexpectedtobepaidunderresidualvalueguarantees,exercisepriceofapurchaseoptionwhentheexerciseoftheoptionisreasonably
certaintooccur,andanyanticipatedterminationpenalties.Thevariableleasepaymentsthatdonotdependonanindexorarateareexpensedintheperiodinwhichtheyareincurred.Leaseliabilitiesaremeasuredatamortisedcostusingtheeffectiveinterestmethod.Thecarryingamountsareremeasuredif
thereisachangeinthefollowing:
futureleasepaymentsarisingfromachangeinanindexorarateused;residualguarantee;
leaseterm;certaintyofapurchaseoptionandterminationpenalties.Whenaleaseliabilityisremeasured,anadjustmentismadetothecorrespondingright-ofuseasset,ortoprofitorlossifthecarryingamountoftheright-of-useassetisfullywritten
down.
AustralasianMiningServicesPtyLtdNotestothefinancialstatements
December2022
2.Significantaccountingpolicies(cont'd)EmployeebenefitsShort-termemployeebenefitsLiabilitiesforwagesandsalaries,includingnon-monetarybenefits,annualleaveandlongserviceleaveexpectedtobesettledwithin
monthsofthereportingdatearerecognisedincurrentliabilitiesinrespectofemployees'servicesuptothereportingdateandaremeasuredattheamountsexpectedtobepaidwhentheliabilitiesaresettled.
Otherlong-termemployeebenefits
Theliabilityforannualleaveandlongserviceleavenotexpectedtobesettledwithin
monthsofthereportingdateare
recognisedinnon-currentliabilities,providedthereisanunconditionalrighttodefersettlementoftheliability.Theliabilityis
measuredasthepresentvalueofexpectedfuturepaymentstobemadeinrespectofservicesprovidedbyemployeesupto
thereportingdateusingtheprojectedunitcreditmethod.Considerationisgiventoexpectedfuturewageandsalarylevels,
experienceofemployeedeparturesandperiodsofservice.Expectedfuturepaymentsarediscountedusingmarketyieldsatthereportingdateonnationalgovernmentbondswithtermstomaturityandcurrencythatmatch,ascloselyaspossible,the
estimatedfuturecashoufflows.Definedcontributionsuperannuationexpense
Contributionstodefinedcontributionsuperannuationplansareexpensedintheperiodinwhichtheyareincurred.Issuedcapital
Ordinarysharesareclassifiedasequity.
Incrementalcostsdirectlyattributabletotheissueofnewsharesoroptionsareshowninequityasadeduction,netoftax,
fromtheproceeds.Dividends
Dividendsarerecognisedwhendeclaredduringthefinancialyearandnolongeratthediscretionofthecompany.
GoodsandServicesTax('GST)andothersimilartaxes
Revenues,expensesandassetsarerecognisednetoftheamountofassociatedGST,unlesstheGSTincurredisnot
recoverablefromthetaxauthority.Inthiscaseitisrecognisedaspartofthecostoftheacquisitionoftheassetoraspartoftheexpense.
ReceivablesandpayablesarestatedinclusiveoftheamountofGSTreceivableorpayable.ThenetamountofGST
recoverablefrom,orpayableto,thetaxauthorityisincludedinotherreceivablesorotherpayablesinthestatementof
financialposition.
Cashflowsarepresentedonagrossbasis.TheGSTcomponentsofcashflowsarisingfrominvestingorfinancingactivities
whicharerecoverablefrom,orpayabletothetaxauthority,arepresentedasoperatingcashflows.
CommitmentsandcontingenciesaredisclosednetoftheamountofGSTrecoverablefrom,orpayableto,thetaxauthority.
AustralasianMiningServicesPtyLtdNotestothefinancialstatements
December20222.Significantaccountingpolicies(cont'd)
InvestmentsandotherfinancialassetsInvestmentsandotherfinancialassetsareinitiallymeasuredatfairvalue.Transactioncostsareincludedaspartoftheinitialmeasurement,exceptforfinancialassetsatfairvaluethroughprofitorloss.Suchassetsaresubsequentlymeasuredateither
amortisedcostorfairvaluedependingontheirclassification.Classificationisdeterminedbasedonboththebusinessmodel
withinwhichsuchassetsareheldandthecontractualcashflowcharacteristicsofthefinancialassetunless,anaccounting
mismatchisbeingavoided.Financialassetsarederecognisedwhentherightstoreceivecashflowshaveexpiredorhavebeentransferredandthe
companyhastransferredsubstantiallyalltherisksandrewardsofownership.Whenthereisnoreasonableexpectationof
recoveringpartorallofafinancialasset,it'scarryingvalueiswrittenoff.
Financialassetsatfairvaluethroughprofitorloss
Financialassetsnotmeasuredatamortisedcostoratfairvaluethroughothercomprehensiveincomeareclassifiedas
financialassetsatfairvaluethroughprofitorloss.Typically,suchfinancialassetswillbeeither:
(i)heldfortrading,wherethey
areacquiredforthepurposeofsellingintheshort-termwithanintentionofmakingaprofit,oraderivative;or(ii)designated
assuchuponinitialrecognitionwherepermitted.Fairvaluemovementsarerecognisedinprofitorloss.Financialassetsatfairvaluethroughothercomprehensiveincome
Financialassetsatfairvaluethroughothercomprehensiveincomeincludeequityinvestmentswhichthecompanyintendsto
holdfortheforeseeablefutureandhasirrevocablyelectedtoclassifythemassuchuponinitialrecognition.
Impairmentoffinancialassets
Thecompanyrecognisesalossallowanceforexpectedcreditlossesonfinancialassetswhichareeithermeasuredat
amortisedcostorfairvaluethroughothercomprehensiveincome.Themeasurementofthelossallowancedependsuponthecompany'sassessmentattheendofeachreportingperiodastowhetherthefinancialinstrument'screditriskhasincreasedsignificantlysinceinitialrecognition,basedonreasonableandsupportableinformationthatisavailable,withoutunduecostor
efforttoobtain.
Wheretherehasnotbeenasignificantincreaseinexposuretocreditrisksinceinitialrecognition,a
-monthexpectedcredit
lossallowanceisestimated.Thisrepresentsaportionoftheasset'slifetimeexpectedcreditlossesthatisattributabletoadefaulteventthatispossiblewithinthenext
months.Whereafinancialassethasbecomecreditimpairedorwhereitis
determinedthatcreditriskhasincreasedsignificantly,thelossallowanceisbasedontheasset'slifetimeexpectedcreditlosses.Theamountofexpectedcreditlossrecognisedismeasuredonthebasisoftheprobabilityweightedpresentvalueof
anticipatedcashshortfallsoverthelifeoftheinstrumentdiscountedattheoriginaleffectiveinterestrate.Forfinancialassetsmeasuredatfairvaluethroughothercomprehensiveincome,thelossallowanceisrecognisedwithinother
comprehensiveincome.Inallothercases,thelossallowanceisrecognisedinprofitorloss.
Provisions
Provisionsarerecognisedwhenthecompanyhasapresent(legalorconstructiveobligation),asaresultofpastevents,for
whichitisprobablethatanoutflowofeconomicbenefitswillresultandthatoutflowcanbereliablymeasured.
Provisionsaremeasuredusingthebestestimateoftheamountsrequiredtosettletheobligationattheendofthereportingperiod.
Notestothefinancialstatements
December20223.Criticalaccountingjudgements,estimatesandassumptions
Thepreparationofthefinancialstatementsrequiresmanagementtomakejudgements,estimatesandassumptionsthat
affectthereportedamountsinthefinancialstatements.Managementcontinuallyevaluatesitsjudgementsandestimatesinrelationtoassets,liabilities,contingentliabilities,revenueandexpenses.Managementbasesitsjudgements,estimatesandassumptionsonhistoricalexperienceandonothervariousfactors,
includingexpectationsoffutureevents,managementbelievestobereasonableunderthecircumstances.Theresulting
accountingjucigementsandestimateswillseldomequaltherelatedactualresults.Thejudgements,estimatesand
assumptionsinthesefinancialstatementsthathaveasignificantriskofcausingamaterialadjustmenttothecarryingamounts
ofassetsandliabilitieswithinthenextfinancialyeararedisclosedbelow.
Allowanceforexpectedcreditlosses
Theallowanceforexpectedcreditlossesassessmentrequiresadegreeofestimationandjudgement.Itisbasedonthe
lifetimeexpectedcreditloss,groupedbasedondaysoverdue,andmakesassumptionstoallocateanoverallexpectedcreditlossrateforeachgroup.Theseassumptionsincluderecentsalesexperienceandhistoricalcollectionrates.
Provisionforimpairmentofinventories
Theprovisionforimpairmentofinventoriesassessmentrequiresadegreeofestimationandjudgement.Thelevelofthe
provisionisassessedbytakingintoaccounttherecentsalesexperience,theageingofinventoriesandotherfactorsthat
affectinventoryobsolescence.
4.Revenue
Revenuefromcontractswithcustomers
Saleofgoods
-
miningequipment
Disaggregationofrevenue
Thedisaggregationofrevenuefromcontractswithcustomersisasfollows:
Geographicalregions
Australia
USANewZealandRestoftheWorld
Timingofrevenuerecognition.
Goodstransferredatapointintime
December2022
December2021
$$
75,439,63263,391,399
75,439,63263,391,399
December2022
December2021
$S
73,090,76561,933,480
95,505587,863
-
6,7892,253,362863,267
75,439,63263,391,399
75,439,63263,391,399
Notestothefinancialstatements
December2022
5.OtherincomeInterestreceivedOtherIncameGainondisposalofproperty,plantandequipment
6.Expenses
Profitbeforeincometaxincludesthefollowingspecificexpenses:
CostofsalesCostofsalesFinancecostsInterestandfinancechargesonborrowingsInterestandfinancechargesonleaseliabilities
NetforeignexchangelossNetforeignexchangelossLeasesShort-termandlow-valueassetsleasepayments
Superannuationexpense
Definedcontributionsuperannuationexpense
Impairmentofassets
Inventories
December2022
December2021
$$
7,8181,634
35,03530,996
.23227.834144,08560,464
December2022
December2021
$$
52,088,22442,230,275
17,8576,490
160,04769,083
177,904
75.573
213,383153,519
122,62958,324400,600346,511
12,127
Notestothefinancialstatements
December20227.Incometaxexpense
December2022
December2021
$$Incometaxexpense
Currenttax
4,595,866
4,155,957Deferredtax-originationandreversaloftemporarydifferences55,261153,051Adjustmentrecognisedforpriorperiods(9,242)(84,604)AggregateincometaxexpenseDeferredtaxincludedinincometaxexpensecomprises:
Decreaseindeferredtaxassets
Increaseindeferredtaxliabilities
4,641,8854,224,404
(43,997)65,85699,258
87.195
Deferredtax
-originationandreversaloftemporarydifferences
Numericalreconciliationofincometaxexpenseandtaxatthe
statutoryrate
Profitbeforeincometaxexpense
55,261153,051
15,386,75514,055,835
Taxatthestatutorytaxrateof30%4,616,0274,216,751
Taxeffectamountswhicharenotdeductible/(taxable)incalculating
taxableincome:
Entertainmentexpenses
NetunrealisedforeignexchangemovementsNon-deductibledonations
30,33924,244
(5,867)-
3,300-
4,643,7994,240,995
Adjustmentrecognisedforpriorperiods
Incometaxexpense
(1,914)(16,591)4,641,8854,224,404
Notestothefinancialstatements
December20228.Cashandcashequivalents
Cashatbank
Cashonhand
December2022
December2021
$$9,101,5278,214,163
9,101,7408,214,324
9.Tradeandotherreceivables
TradereceivablePrepaymentsandotherreceivables
10.Inventories
InventoriesProvisionforimpairment
December2022
December2021$$11,670,24410,662,888864,2581,120,15112,534,50211,783,039
December2022
December2021
$$
24,453,36524,832,648(729,415)(736,978)23,723,95024,095,670
AustralasianMiningServicesPtyLtdNotestothefinancialstatements
December202211.Plantandequipment
Electricalequipment
AtcostAccumulateddepreciationMachineryAtcostAccumulateddepreciationOtherplantandequipmentAtcostAccumulateddepreciationMotorvehiclesAtcost
Accumulateddepreciation
Leaseholdimprovements
Atcost
Accumulateddepreciation
December2022
December2021
$$
164,423146,918
(95,349)(76,395)
69,07470,523
182,760181,065
(88,809)(70,622)
93,951110,443585,237496,816(152,965)(98,975)
432,272397,841
1,366,8091,056,193
(846,456)(754,073)
520,353302,12045,16032,750(28,423)(17,900)16,73714,850
Totalplantandequipment1,132,387895,777
ReconciliationsReconciliationsofthewrittendownvaluesatthebeginningandendofthecurrentfinancialyeararesetoutbelow:
December2022
December2021
Movementincarryingamount:
$$
Carryingamountat
January895,777669,691
Additions544,625505,123
Disposals(8,768)(8,348)
Depreciationexpense(299,247)(270,689)
Carryingamountat
December1,132,387895,777
Notestothefinancialstatements
December2022
12.Intangibles
Computersoftware
Atcost
Accumulatedamortisation
December2022
December2021$$
9706289,897(82,595)(72,283)14,46717,614ReconciliationsRecortdlliationsofthewrittendownvaluesatthebeginningandendofthecurrentfinancialyeararesetoutbelow:
Carryingamountat
JanuaryAdditionsAmortisationexpense
Carryingamountat
December
13.Deferredtaxassets
Deferredtaxassetcomprisestempora,ydifferencesattributableto:
Amountsrecognisedinprofitorloss:
December2022
December2021
$$
17,61430,222
7,1652,324
(10,312)(14,932)
14467
17.614
December2022
December2021
$
$
Inventories
218,825
221,093
Provisionforemployeebenefits
109,391
80,815
Leases
53,563
24,366
Accruedexpenses
23,259
27,722
Others
7.799
DeferredtaxassetMovements:
Openingbalance
Expensed/(Credited)toprofitorloss
Closingbalance
405,792
361,795361,795
427,65143,997
(65,856)
405,792
361,795
Notestothefinancialstatements
December202214.Right-of-useassets
Cost
Balanceat
JanuaryAdditionsduringtheyearDisposalduringtheyearBalanceat
December
Accumulateddepreciation
Balanceat
JanuaryDepreciationfortheyearDisposalduringtheyearBalanceat
DecemberCarryingamountat
JanuaryCarryingamountat
December
December2022
December2021$$3,544,4663,127,883
584,7613,153,481
-
(2,736,898)
4,129,2273,544,466
435,396430,636
508,480448,892
-
(444,132)
943,876435,3963,109,0702,697,247
3,185,3513,109,070Thecompany.leaseslandandbuildingsforitsoffices,warehousesunderagreementsofbetweenonetofiveyearswith,in
somecases,optionstoextend.Theleaseshavevariousescalationclauses.Onrenewal,thetermsoftheleasesare
renegotiated.Oneleaseforofficeisonmonthlybasis.Thisleaseisshort-term,sohavebeenexpensedasincurredandnotcapitaUsedasright-of-useassets.15.Tradeandotherpayables
Tradepayables
Otherpayablesandaccruedexpenses*
December2022
December2021
$$
10,339,66014,854,929
456,826301,829
10,796,48615,156,758
*lnclude$75,000(2021:
$115,000)bonusaccruedtoAndrewAndreoufortheyearended
December2022.
AustralasianMiningServicesPtyLtdNotestothefinancialstatements
December2022
16.Leaseliabilities
December2022
December2021$$Current471,609399,734Non-current2,892,2842,790,557
3,363,8933,190,291
December2022
December2021
$$
FutureleasepaymentsFutureleasepaymentsaredueasfollows:
WithinoneyearOnetofiveyearsMorethanfiveyears17.Deferredtaxliabilities
Deferredtaxliabilitycomprisestemporaiydifferencesattributableto:
Amountsrecognisedinprofitorloss:
PlantandequipmentOthercurrentasset
Deferredtaxliability
Movements:
Openingbalance
Expensedtoprofitorloss(Note7)
Closingbalance
626,689551,440
2,239,7732,529,634
1,099,495672,423
3,965,9573,753,497
December2022
December2021
$$
263,983183,24433,09414,575
297.077
197819
197,819110,62499,25887,195
297,077197,819
AustralasianMiningServicesPtyLtdNotestothefinancialstatements
December202218.Issuecapital
2022202220212021Shares$
Shares$
Ordinaryshares
-
fuHypaid1000009,013,481100,0009,013,481
OrdinanjsharesOrdinarysharesentitletheholdertoparticipateindividendsandtheproceedsonthewindingupofthecompanyinproportion
tothenumberofandamountspaidonthesharesheld.Thefullypaidordinaryshareshavenoparvalueandthecompanydoesnothavealimitedamountofauthorisedcapital.
OnashowofhandseverymemberpresentatameetinginpersonorbyproxyshaHhaveonevoteanduponapolleachshareshallhaveonevote.19.Retainedearnings
Retainedearningsatthebeginningofthefinancialyear
ProfitafterincometaxexpensefortheyearDividendpaid
Retainedearningsattheendofthefinancialyear
20.Provisionforincometax
Provisionforincometax
21.Provisionforemployeeentitlements
CurrentNon-current
22.Borrowings
December2022
December2021
$$
19,816,59414,985,163
10,744,8709,831,431
(5,000,000)(5,000,000)25,561,46419,816,594
December2022
December2021
$$
356,202606,729
December2022
December2021
$$
221,900216,03595,17553,347
December2022
December2021
$$
Current
-
Chattelmortgages168,0180,520
Non-current
-
Chattelmortgages264,610145,715
Thechattelmortgagesrepresentstheloanusedtoacquiremotorvehicles.Assetspledgedassecurity
Thechattelmortgagesaresecuredbymortgagesoverthecompany'smotorvehicle.Thechattelmortgagesareprincipalandinterestpaymentloan,repayableinmonthlyinstalmentsandduetomaturein2025.
Thefixedinterestrateis
4.19%
(2021:
3.56%).
AustralasianMiningServicesPtyLtdNotestothefinancialstatements
December202223.KeymanagementpersonneldisclosuresCompensation
Theaggregatecompensationmadetodirectorsandothermembersofkeymanagementpersonnelofthecompanyisset
outbelow:
December2022
December2021$$Aggregatecompensation1,204,5331,054,94824.ContingentassetsandcontingentliabilitiesThecompanyhasnocontingentliabilitiesandcontingentassetsasat
December2022(2021:
Nil).
25.RemunerationofauditorsDuringthefinancialyear,thefollowingfeeswerepaidorpayableforservicesprovidedbyRSMAustraliaPartners,theauditor
ofthecompany:
December2022
December2021
$$
Auditservices
Auditofthefinancialstatements
26.Dividends
DividendsDividendspaidorpayableduringthefinancialyearwereasfollows:
62.500
December2022
December2021
$$
Dividenddeclaredandpaid(2021:
dividendwasdeclaredduringtheyearended
December2020andpaidduringtheyear
December2021)5,000,0005,000,000
Frankingcredits
December2022
December2021
$$
Frankingcreditsavailableforsubsequentfinancialyearsbasedonataxrate
of30%11,610,4278,916,132
Theaboveamountsrepresentthebalanceofthefrankingaccountasattheendofthefinancialyear,adjustedfor:
?frankingcreditsthatwillarisefromthepaymentoftheamountoftheprovisionforincometaxatthereportingdate;
?frankingdebitsthatwillarisefromthepaymentofdividendsrecognisedasaliabilityatthereportingdate;and
?frankingcreditsthatwillarisefromthereceiptofdividendsrecognisedasreceivablesatthereportingdate.
AustralasianMiningServicesPtyLtdNotestothefinancialstatements
December2022
27.RelatedpartytransactionsParententityShareateToolsLtdistheultimateparententity.KeymanagementpersonnelDisclosuresrelatingtokeymanagementpersonnelaresetoutinNote23.
Transactionswithrelatedparties
Thefollowingtransactionsoccurredwithrelatedparties:
December2022
December2021$$Purchaseofgoodsfrom:
-Ultimateparent9,040,75111,407,188-
Subsidiaryofultimateparent-SuzhouShareateTradeCoLtd584,0831,413,656
Paymentofofficerenttodirector-relatedentity499,197465,702
Paymentreceivedforfinancialservicseprovidedbyimmediateparent21,91319,391
Saleofgoodstosubsidiaryofimmediateparent
-
AmericanMining
ServicesLLC95,505-
Receivablefromandpayabletorelatedparties
Thefollowingbalancesareoutstandingatthereportingdateinrelationtotransactionswithrelatedparties:
December2022
$
Currentpayables:
Tradepayablestoultimateparent3,032,751
Tradepayablestosubsidiaryofultimateparent-SuzhouShareateTradeCoLtd44,219Accrual75,000
Loansto/fromrelatedparties
Therewerenoloanstoorfromrelatedpartiesatthecurrentandpreviousreportingdate.
Termsandconditions
Alltransactionsweremadeonnormalcommercialtermsandconditionsandatmarketrates.
28.CommitmentsThecompanyhadnocommitmentsasat
December2022and
December2021.
Notestothefinancialstatements
December202229.EventssubsequenttoreportingdateOn
February2023,adividendof$6,500,000intotalwasdeclaredandfullypaidfromtheretainedprofitsofthecompanybycash,insatisfactionofpartofthedividendpolicyagreedbytheshareholdersofthecompanyundertheShareholders
agreement.
Otherthantheabove,noothermatterorcircumstancehasarisensince
December2022thathassignificantlyaffected,or
maysignificantlyaffectthecompany'soperations,theresultsofthoseoperations,orthecompany'sstateofaffairsinfuture
financialyears.
AustralasianMiningServicesPtyLtdABN
DIRECTORS'DECLARATIONInthedirectors'opinion:
?theattachedfinancialstatementsandnotescomplywiththeCorporationsAct2001,theAustralianAccountingStandards
-SimplifiedDisclosures,theCorporationsRegulations2001andothermandatoryprofessionalreportingrequirements;?theattachedfinancialstatementsandnotesgiveatrueandfairviewofthecompany'sfinancialpositionasat
December2022andofitsperformanceforthefinancialyearendedonthatdate;and
?therearereasonablegroundstobelievethatthecompanywillbeabletopayitsdebtsasandwhentheybecomedue
andpayable.
Signedinaccordancewitharesolutionofdirectorsmadepursuanttosection295(5)(a)oftheCorporationsAct2001.Onbehalfofthedirectors
WAouDirector
DatedatPerththe15thdayofMarch2023
oiii
I
RSMAustraliaPartnersLevel32,ExchangeTower
TheEsplanadePerthWA6000GPOBoxR1253PerthWA6844T+61(0)
92619100F+61
(0)892619111
www.rsm.com.auINDEPENDENTAUDITOR'SREPORTTOTHEMEMBERSOFAUSTRALASIANMININGSERVICESPTYLTDOpinionWehaveauditedthefinancialreportofAustralasianMiningServicesPtyLtd(theCompany),whichcomprisesthestatementoffinancialpositionasat
December2022,thestatementofprofitorlossandothercomprehensiveincome,thestatementofchangesinequityandthestatementofcashflowsfortheyearthenended,andnotes
tothefinancialstatements,includingasummaryofsignificantaccountingpolicies,andthedirectors'declaration.
Inouropinion,theaccompanyingfinancialreportoftheCompanyisinaccordancewiththeCorporationsAct
2001,including:
(i)givingatrueandfairviewoftheCompany'sfinancialpositionasat
December2022andofitsfinancialperformancefortheyearthenended;and(ii)complyingwithAustralianAccountingStandards
-
SimplifiedDisclosuresunderAASB1060Genera/PurposeFinancialStatements
-
SimplifiedDisclosuresforFor-ProfitandNot-for-ProfitTier
Entitiesandthe
CorporationsRegulations2001.
BasisforOpinionWeconductedourauditinaccordancewithAustralianAuditingStandards.Ourresponsibilitiesunderthose
standardsarefurtherdescribedintheAuditor'sResponsibilitiesfortheAuditoftheFinancialReportsectionof
ourreport.WeareindependentoftheCompanyinaccordancewiththeauditorindependencerequirementsoftheCorporationsAct2001andtheethicalrequirementsoftheAccountingProfessionalandEthicalStandardsBoard'sAPES
CodeofEthicsforProfessionalAccountants(theCode)thatarerelevanttoourauditofthefinancialreportinAustralia.WehavealsofulfilledourotherethicalresponsibilitiesinaccordancewiththeCode.
WeconfirmthattheindependencedeclarationrequiredbytheCorporationsAct2001,whichhasbeengivento
thedirectorsoftheCompany,wouldbeinthesametermsifgiventothedirectorsasatthetimeofthisauditor'sreport.
Webelievethattheauditevidencewehaveobtainedissufficientandappropriatetoprovideabasisforour
opinion.
THEPOWEROFBEINGUNDERSTOOD
AUDIT!TAXICONSULTING
RSMAustraliaPartnersisamemberoftheRSMnetworkandtradosasRSM.RSMisthetradingnameusedbythemembersoftheRSMnetwork.EachmemberoftheRSMnetworkisanindependent
accountingandconsultingfirmwhichpracticesinitsownright.TheRSMnetworkisnotitseifaseparateiogalentityinanyJsrisdiction.RSMAustraflaPartnersAGN
i65
LiabilitylimitedbyaschemeapprovedunderProfessionalStandardsLegislation
USM
OtherInformation
Thedirectorsareresponsiblefortheotherinformation.TheotherinformationcomprisestheinformationincludedintheCompany'sannualreport,butdoesnotincludethefinancialreportandtheauditor'sreportthereonOuropiniononthefinancialreportdoesnotcovertheotherinformationandaccordinglywedonotexpressanyformofassuranceconclusionthereon.Inconnectionwithourauditofthefinancialreport,ourresponsibilityistoreadtheotherinformationand,indoing
so,considerwhethertheotherinformationismateriallyinconsistentwiththefinancialreportorourknowledge
obtainedintheauditorotherwiseappearstobemateriallymisstated.
If,basedontheworkwehaveperformed,weconcludethatthereisamaterialmisstatementofthisother
information,wearerequiredtoreportthatfact.Wehavenothingtoreportinthisregard.ResponsibilitiesoftheDirectorsfortheFinancialReport
ThedirectorsoftheCompanyareresponsibleforthepreparationofthefinancialreportthatgivesatrueandfairviewinaccordancewithAustralianAccountingStandards
-
SimplifiedDisclosuresunderAASB1060General
PurposeFinancialStatements
-
SimplifiedDisclosuresforFor-ProfitandNot-for-ProfitTier
EntitiesandtheCorporationsAct2001andforsuchinternalcontrolasthedirectorsdetermineisnecessarytoenablethe
preparationofthefinancialreportthatgivesatrueandfairviewandisfreefrommaterialmisstatement,whetherduetofraudorerror.
Inpreparingthefinancialreport,thedirectorsareresponsibleforassessingtheabilityoftheCompanytocontinue
asagoingconcern,disclosing,asapplicable,mattersrelatedtogoingconcernandusingthegoingconcernbasis
ofaccountingunlessthedirectorseitherintendtoliquidatetheCompanyortoceaseoperations,orhaveno
realisticalternativebuttodoso.
Auditor'sResponsibilitiesfortheAuditoftheFinancialReport
Ourobjectivesaretoobtainreasonableassuranceaboutwhetherthefinancialreportasawholeisfreefrom
materialmisstatement,whetherduetofraudorerror,andtoissueanauditor'sreportthatincludesouropinion.
Reasonableassuranceisahighlevelofassurance,butisnotaguaranteethatanauditconductedinaccordance
withtheAustralianAuditingStandardswillalwaysdetectamaterialmisstatementwhenitexists.Misstatementscanarisefromfraudorerrorandareconsideredmaterialif,individuallyorintheaggregate,theycouldreasonablybeexpectedtoinfluencetheeconomicdecisionsofuserstakenonthebasisofthisfinancialreport.
AfurtherdescriptionofourresponsibilitiesfortheauditofthefinancialreportislocatedattheAuditingand
AssuranceStandardsBoardwebsiteat:
https://www.auasb.pov.au/audjtorsresponsibilities/ar4.
Ddf.Thisdescriptionformspartofourauditor'sreport.
RSMAUSTRALIAPARTNERS
-
Perth,WA
TUTUPHONGDated:
March2023
Partner