Consolidated Statement of Cash Flows
Consolidated statement of cash flows
for the year ended 31 December
| 2020 | 2019 | ||
| Note | AED’000 | AED’000 | |
| Cash flows from operating activities | |||
| Profit for the year | 20,900 | 22,445 | |
| Adjustments for: | |||
| Depreciation of property, fixtures and equipment | 15,208 | 16,382 | |
| Interest on lease liabilities | 171 | 318 | |
| Share of result of equity accounted investee | 307 | 365 | |
| Dividend income from investments | (24,230) | (20,413) | |
| Loss on disposal of investments | |||
| carried at fair value through profit or loss | 1,023 | 25,475 | |
| Net change in fair value of investments carried at fair | |||
| value through profit or loss | (7,439) | (16,051) | |
| Net impairment loss on loans and advances and Islamic assets | 74,098 | 70,458 | |
| Net change in fair valuation of investment properties | – | 157 | |
| Provision for employees’ end of service | |||
| benefits | 352 | 493 | |
| ——————— | ——————— | ||
| 80,390 | 99,629 | ||
| Changes in: | |||
| Islamic financing and investing assets | 28,644 | 50,564 | |
| Loans and advances | 211,404 | (224,388) | |
| Increase in placement with banks maturing above three months | (1,044) | – | |
| Interest receivable and other assets | (65,318) | 34,859 | |
| Insurance receivables and contract assets | 59,491 | -16,803 | |
| Customers’ deposits and margin accounts | (546,848) | (276,084) | |
| Unearned premiums | (15,522) | 5,952 | |
| Gross claims outstanding | (1,655) | (4,501) | |
| Interest payable and other liabilities | (13,950) | 8,391 | |
| Decrease in lease liabilities | (4,913) | – | |
| ——————— | ——————— | ||
| Net cash used in operating activities | (269,321) | (322,381) | |
| ——————— | ——————— | ||
| Cash flows from investing activities | |||
| Purchase of investments carried at fair value through | |||
| other comprehensive income | (6,272) | (20,076) | |
| Proceeds from sale of investments carried at fair value | |||
| through other comprehensive income | 130,028 | 248,870 | |
| Purchase of investments carried at fair value through profit or loss | (9,147) | (16,726) | |
| Proceeds from sale of investments carried at fair value | |||
| through profit or loss | 72,245 | 82,699 | |
| Proceeds from sale of investments carried at amortized cost | – | 1,837 | |
| Purchase of investments carried at amortized cost | (3,673) | – | |
| Purchase of property, fixtures and equipment | (7,094) | (3,065) | |
| Disposal of property, fixtures and equipment | – | 20 | |
| Purchase of investments in equity accounted investee | – | (39,975) | |
| Dividend received | 24,230 | 20,413 | |
| ——————— | ——————— | ||
| 200,317 | 273,997 | ||
| ——————— | ——————— |
| 2020 | 2019 | ||
| Note | AED’000 | AED’000 | |
| Cash flows from financing activities | |||
| Repayments of short-term borrowings | (173,100) | (14,500) | |
| Repayment of Medium-term loans | (75,003) | (83,332) | |
| Proceed from Short Term borrowings | 298,160 | 160,000 | |
| Movement in Tier 1 Sukuk | (550) | (1,100) | |
| Proceeds from Tier 1 Bonds | – | 15,000 | |
| Tier 1 SUKUK coupon paid | (20,797) | (21,076) | |
| Tier 1 Bonds dividend paid | – | (962) | |
| Lease liabilities paid | – | (8,374) | |
| Cash dividend paid | (8,359) | (8,873) | |
| Directors’ remuneration paid | (1,223) | (1,064) | |
| ——————— | ——————— | ||
| Net cash generated from financing activities | 19,128 | 35,719 | |
| ——————— | ——————— | ||
| Net decrease in cash and cash equivalents | (49,876) | (12,281) | |
| Cash and cash equivalents at 1 January | 496,483 | 509,148 | |
| ——————— | ————————- | ||
| Cash and cash equivalents at 31 December | 18 | 446,607 | 496,483 |
| =========== | =========== |
The notes on pages 15 to 113 are an integral part of this consolidated financial statements.
