New Zealand Gazette – 2006 – No. 163

Page 4740

✨ Financial Statements Notes



NOTES TO AND FORMING PART OF THE FINANCIAL STATEMENTS (Continued)

Line Business 2006 2005
$000's $000's
  1. Reconciliation of Net Surplus After Taxation with Cash Inflow from Operating Activities:

Net Surplus After Taxation | 8,793 | 8,276 |

Add (less) Non Cash Items:
Depreciation | 3,995 | 3,954 |
Capital Contributions | (3,821) | |

Movements in Working Capital
Increase (Decrease) in Creditors | (1,007) | (1,060) |
(Increase) Decrease in Taxation Refund | 367 | (320) |
(Increase) Decrease in Accounts Receivable | (117) | 153 |
(Increase) Decrease in Inventory | (48) | (36) |

Net Cash Flow from Operating Activities | 8,162 | 10,967 |

  1. Financial Instruments:
    Financial instruments which potentially subject the company to credit risk principally consist of cash bank balances, short term deposit, and accounts receivable. Northpower does not generally require collateral from customers.

Northpower places its cash and short term deposits with high credit quality financial institutions (A1 or better), and limits the amount of credit exposure to any one institution, in accordance with Company policy.

The fair value of all financial instruments is approximated by the carrying value recorded in the Statement of Financial Position.

  1. Segment Information:
    Northpower Ltd operates predominantly in the electricity network industry within the Northland area.

Therefore, there is no segmental information.

  1. Contingent Liabilities:
    There are no contingent liabilities (2005 $Nil)

  2. Commitments:
    | | 2006 | 2005 |
    |---------------------------|------|------|
    | Commitments relate to purchase of Distribution equipment | 286 | - |

  3. Related Parties:
    Provision has been made in the accounts for payment of a final dividend to Northpower Electric Power Trust of $4,154,900 (2005 $4,094,650) and as at 31 March 2006 the amount owing to the Trust is $4,154,900 (2005 $4,094,650).

The Northpower Electric Power Trust is the sole shareholder. All related party transactions with the Northpower Electric Power Trust have been conducted on a commercial and arms length basis.

Northpower’s Contracting Division provided the following services to the Network Division, for the full year, at cost, including overheads*:

2006 2005
(i) Maintenance of Assets 5,545 3,234
(ii) Consumer disconnections/reconnections 11 10
(iii) Other Services 633 737

Construction of New Assets:

2006 2005
(a) Subtransmission Assets 325 -
(b) Zone Substations 1,021 465
(c) Distribution Lines and Cables 624 443
(d) Medium Voltage Switchgear 844 29
(e) Distribution Transformers 454 169
(f) Distribution Substations - -
(g) Low Voltage Reticulation 52 105

Network Maintenance and Capital Works are charged in accordance with a Fixed Term Contract.

  • No balance is outstanding at balance date.
  • No amounts have been written off or forgiven during the year.
  • No transactions have been made at nil or nominal value.


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Online Sources for this page:

VUW Te Waharoa — PDF NZ Gazette 2006, No 163


Gazette.govt.nz — PDF NZ Gazette 2006, No 163




✨ LLM interpretation of page content

💰 Northpower Limited Financial Statements Notes (continued from previous page)

💰 Finance & Revenue
Financial statements, Notes, Reconciliation, Financial instruments, Segment information, Contingent liabilities, Commitments, Related parties