CFSL - Annual report 2018

EXPLANATORY NOTES 30 SEPTEMBER 2018 5. NET INTEREST INCOME (a) Interest income GROUP COMPANY Sep-18 Sep-17 Sep-18 Sep-17 MUR m MUR m MUR m MUR m Earned income on leases and other credit agreements 942.5 871.4 - - Interest income 246.7 171.0 140.1 126.0 1,189.2 1,042.4 140.1 126.0 (b) Interest expense GROUP COMPANY Sep-18 Sep-17 Sep-18 Sep-17 MUR m MUR m MUR m MUR m Bank overdrafts 1.8 1.1 - 0.1 Bank loans and other loans repayable by instalments 146.4 124.2 16.3 19.6 Bank loans and other loans not repayable by instalments 209.0 210.6 67.6 67.5 Other finance costs 24.8 16.2 24.8 16.2 382.0 352.1 108.7 103.4 Net interest income 807.2 690.3 31.4 22.6 6. FEE AND COMMISSION INCOME GROUP COMPANY Sep-18 Sep-17 Sep-18 Sep-17 MUR m MUR m MUR m MUR m Commission* 401.0 400.3 - - Fee income 138.4 166.0 - - 539.4 566.3 - - *Commission includes merchant discounts which are recognised and released to profit or loss in accordance with note 2.6(d). 7. OTHER OPERATING INCOME GROUP COMPANY Sep-18 Sep-17 Sep-18 Sep-17 MUR m MUR m MUR m MUR m Rental income 99.4 75.2 - - Other income * 79.1 141.9 - 2.4 Operating lease income 35.9 36.9 - - Profit on disposal of land - 6.8 - - Profit on disposal of property, plant and equipment 17.9 0.6 - - Change in fair value of foreign currency forward contracts (32.0) 12.0 (33.3) 13.3 Change in fair value of debt instruments 3.0 - 3.0 - Fair value gain on valuation of investment properties 29.6 48.2 - 2.7 232.9 321.6 (30.3) 18.4 *Main components of other income include management fees, service charges and administration fees. 8. EMPLOYEE BENEFIT EXPENSE GROUP COMPANY Sep-18 Sep-17 Sep-18 Sep-17 MUR m MUR m MUR m MUR m Wages, salaries and related expenses 441.2 445.6 6.8 7.1 Pension and other retirement benefit costs 43.6 39.6 2.4 0.9 484.8 485.2 9.2 8.0 9. OTHER OPERATING EXPENSE GROUP COMPANY Sep-18 Sep-17 Sep-18 Sep-17 MUR m MUR m MUR m MUR m Administration 249.5 217.3 13.3 2.6 Professional fees 87.6 71.1 27.4 17.1 Advertising and marketing 20.9 16.7 - - 358.0 305.1 40.7 19.7 94 CIM FINANCIAL SERVICES LTD ANNUAL REPORT 2018