Value added is a measure of the wealth the group has been able to create. The following statement shows how this wealth has been distributed.
|
2020 |
|
2019* |
|
(R’million) |
|
(%) |
|
(%) |
Revenue |
29 796,1 |
100,0 |
28 578,9 |
100,0 |
Less: Net cost of products and services |
22 021,7 |
73,9 |
20 546,5 |
71,9 |
Value added |
7 774,4 |
26,1 |
8 032,4 |
28,1 |
Add: Income from investments and associates |
382,0 |
1,3 |
414,3 |
1,5 |
Add: Foreign exchange gains |
40,1 |
0,1 |
9,6 |
– |
Wealth created |
8 196,5 |
27,5 |
8 456,3 |
29,6 |
Applied to: |
|
|
|
|
Employees |
|
|
|
|
– Salaries, wages and other benefits |
4 117,6 |
50,2 |
4 043,0 |
47,8 |
Providers of capital |
900,6 |
11,0 |
5 681,7 |
67,2 |
– Interest on financing facilities |
110,8 |
1,4 |
30,2 |
0,4 |
– Dividends and capital distributions to non-controlling interests and preference shareholders |
50,0 |
0,6 |
27,4 |
0,3 |
– Dividends to ordinary shareholders |
739,8 |
9,0 |
5 624,1 |
66,5 |
Government |
|
|
|
|
Taxation (refer note 1) |
1 089,4 |
13,3 |
1 157,7 |
13,7 |
Retained in the group |
2 088,9 |
25,5 |
(2 426,1) |
(28,7) |
|
8 196,5 |
100,0 |
8 456,3 |
100,0 |
(R’million) |
2020 |
2019* |
Note 1 |
|
|
Income taxation (excluding deferred tax) |
784,7 |
926,8 |
Skills Development Levy |
25,4 |
29,5 |
Rates and taxes paid to local authorities |
32,1 |
33,1 |
Customs duties, import surcharges and excise taxes |
247,2 |
168,3 |
Gross contribution to government |
1 089,4 |
1 157,7 |
The payments to government exclude taxation deducted from employees’ remuneration of R449,1 million (2019: R601,2 million), net VAT receivable of R9,2 million (2019: payable R37,7 million), excise duty on revenue and UIF payments.
(R’million) |
2020 |
(%) |
2019* |
(%) |
2018 |
(%) |
2017 |
(%) |
2016 |
(%) |
Trend of value added |
|
|
|
|
|
|
|
|
|
|
Employees |
4 117,6 |
50 |
4 043,0 |
48 |
3 857,5 |
45 |
3 733,7 |
39 |
3 621,8 |
39 |
Providers of capital |
900,6 |
11 |
5 681,7 |
67 |
1 932,7 |
23 |
2 066,6 |
22 |
1 837,9 |
20 |
Government |
1 089,4 |
13 |
1 157,7 |
14 |
1 033,9 |
12 |
1 257,8 |
13 |
1 292,6 |
14 |
Retained in the group |
2 088,9 |
26 |
(2 426,1) |
(29) |
1 821,2 |
20 |
2 444,2 |
26 |
2 524,1 |
27 |
|
8 196,5 |
100 |
8 456,3 |
100 |
8 645,3 |
100 |
9 502,3 |
100 |
9 276,4 |
100 |
* |
Restated as required by IFRS 5 in relation to the treatment of Value Added Meat Products (VAMP), a division of Tiger Consumer Brands Limited (Domestic
operations – Consumer Brands – Food) as a discontinued operation. Refer to note 33. |