Characteristics of the basic economic and financial values of the Budimex Group

[103-1], [103-2], [103-3]

The Budimex Group’s financial situation in 2017 was characterised by selected economic and financial values published in the statement of the financial position and profit and loss account (listed below with comparable data for 2016).

Consolidated statement of financial position of the Budimex Group

See the table below for the main items of the consolidated statement of the financial position of the Budimex Group, as of 31 December 2017, in comparison with the status valid as of 31 December 2016:

As of 31 December 2017, the consolidated value of assets increased by PLN 403,691 thousand in relation to the status as of the end of December 2016, as a result of the increase in the value of fixed assets by 8.2% (PLN 70,398 thousand) and increase in the value of current assets by 7.0% (PLN 333,293 thousand).

Non-current (long-term) assets:

The following factors caused the change in the value of fixed assets as of 31 December 2017 in comparison with the value as of 31 December 2016:

• increase in the balance of other financial assets, mainly resulting from new loans granted to associated company, in the amount of PLN 51,153 thousand,
• increase in balance of tangible assets by PLN 47,748 thousand, mainly due to the purchase and financial lase of fixed assets worth PLN 72,086 thousand,
• Decrease of assets for deferred income tax by PLN 39,767 thousand, which was caused mainly by the increase of the balance of deferred tax liabilities due to lease and amounts due and receivable from customers under construction contract (the assets and liabilities will be reimbursed on the level of each company under consolidation).

Equity and liabilities:

On the equity and liabilities side, changes referred to:

• increase in the value of non-current liabilities by PLN 89,041 thousand, mainly because of the increase in the balance of the provisions for long-term liabilities by PLN 58,377 thousand and loans, borrowings and other external sources of financing by PLN 29,753 thousand, due to the purchase of tangible assets,
• increase in the value of current liabilities by PLN 238,342 thousand, where the main changes referred to:
  • increase in the trade and other liabilities by PLN 222,001 thousand;
  • decrease in the amounts due and payable to customers under construction contracts by PLN 325,601 thousand, which comprises the correction decrease of the recognised sales over invoiced sales due to long-term contract valuation in the amount of PLN 160,975 thousand, and the decrease of the balance of the provisions for contract losses in the amount of PLN 164,626 thousand;
  • increase in the balance of deferred income by PLN 343,250 thousand, mainly due to advance payments for implemented construction contracts and payments for flats in the property development field.