axiata group berhad | annual report 2015
126
NOTES TO THE
FINANCIAL STATEMENTS
FOR THE FINANCIAL YEAR ENDED 31 DECEMBER 2015
1.
GENERAL INFORMATION
The principal activities of the Group are the provision of mobile communication services and network transmission related services.
The principal activities of the Company are investment holding and provision of technical and management services on an international scale, where it
has investments in subsidiaries, joint ventures and associates.
The principal activities of the subsidiaries are set out in Note 39 to the financial statements. There has been no significant change in the nature of the
activities of the Group and the Company during the financial year.
The address of the registered office of the Company is Level 5, Corporate Headquarters, Axiata Tower, 9 Jalan Stesen Sentral 5, Kuala Lumpur Sentral,
50470 Kuala Lumpur.
The address of the principal place of business of the Company is Corporate Headquarters, Axiata Tower, 9 Jalan Stesen Sentral 5, Kuala Lumpur Sentral,
50470 Kuala Lumpur.
The financial statements have been approved for issuance in accordance with a resolution of the Board of Directors on 16 February 2016.
2.
BASIS OF PREPARATION OF THE FINANCIAL STATEMENTS
The financial statements of the Group and the Company have been prepared in accordance with the provisions of the Malaysian Financial Reporting
Standards (“MFRS”), International Financial Reporting Standards and the requirements of the Companies Act, 1965 in Malaysia.
The financial statements have been prepared under the historical cost convention except as disclosed in the summary of significant accounting policies.
The financial statements are presented in Ringgit Malaysia (“RM”) and all values are rounded to the nearest thousand (RM’000) except when otherwise
indicated.
The preparation of financial statements in conformity with MFRS requires the use of certain critical accounting estimates and assumptions that affect
the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements, and the
reported amounts of the revenues and expenses during the reported period. It also requires Directors to exercise their judgement in the process of
applying the Group’s and the Company’s accounting policies. Although these estimates and judgement are based on the Directors’ best knowledge of
current events and actions, actual results may differ.
The areas involving a higher degree of judgement or complexity, or areas where assumptions and estimates are significant to the Group’s and the
Company’s financial statements are disclosed in Note 4 to the financial statements.
(a) Standards and amendments to published standards that are applicable to the Group and the Company that are effective
New and amendments to published standards
The following standards and amendments to published standards have been adopted by the Group and the Company for the first time for the
financial year beginning on or after 1 January 2015:
Annual Improvements 2010 – 2012 Cycle
•
Amendment to MFRS 2 ‘Share-based Payment’ clarifies the definition of a ‘vesting condition’ and separately defines ‘performance condition’
and ‘service condition’.
•
Amendment to MFRS 3 ‘Business Combinations’ clarifies that an obligation to pay contingent consideration which meets the
definition of a financial instrument is classified as a financial liability or as equity, on the basis of the definitions in MFRS 132 ‘Financial
Instruments:Presentation’. It is also clarifies that all non-equity contingent consideration is measured at fair value at each reporting date,
with changes in fair value recognised in profit and loss.
•
Amendment to MFRS 8 ‘Operating Segments’ requires disclosure of the judgements made by management in aggregating operating
segments. It is also amended to require a reconciliation of segment assets to the entity’s assets when segment assets are reported.
