Growthpoint Interactive Annual Report 2018

Notes to the Financial Statements Section 1: Basis of preparation Reporting entity Growthpoint Properties Australia was formed by the stapling of two entities: Growthpoint Properties Australia Limited (“the Company”) and Growthpoint Properties Australia Trust (“the Trust”). In this report, the Trust includes all of its controlled entities. The Company is the Responsible Entity for the Trust. Growthpoint Properties Australia is also referred to as “the Group”. The Group was established for the purpose of facilitating a joint quotation of the Company and the Trust and its controlled entities on the Australian Securities Exchange (ASX Code: GOZ). The constitutions of the Company and the Trust ensure that, for so long as the two entities remain jointly quoted, the number of shares in the Company and the number of units in the Trust shall be equal and the shareholders of the Company and the unitholders in the Trust are identical. The Company, both in its personal capacity and in its capacity as the Responsible Entity of the Trust, must at all times act in the best interests of the Group. The Group is a for profit entity. The consolidated financial report includes financial statements for Growthpoint Properties Australia, the stapled consolidated Group, which is domiciled in Australia as at, and for the twelve months ended, 30 June 2018. The Group’s registered address is Level 31, 35 Collins Street, Melbourne, Victoria 3000, Australia. The ultimate parent entity of the Group is Growthpoint Properties Limited. Working capital deficiency The Group has unutilised facilities of $320 million and sufficient working capital and cashflows in order to fund all requirements arising from the net current asset deficiency as at 30 June 2018. The deficiency is largely driven by the provision for the 30 June 2018 distribution. Statement of compliance The consolidated financial statements are general purpose financial statements which have been prepared in accordance with Australian Accounting Standards (AASB’s) adopted by the Australian Accounting Standards Board (AASB) and the Corporations Act 2001 . The consolidated financial statements comply with International Financial Reporting Standards (IFRS) adopted by the International Accounting Standards Board (IASB). The consolidated financial statements were authorised for issue by the Board on 16 August 2018. Basis of measurement The consolidated financial statements have been prepared on the historical cost basis except for the following material items in the Consolidated Statement of Financial Position: t t derivative financial instruments measured at fair value; t t assets held for sale are measured at fair value; t t investment in securities is measured at fair value; t t investment property is measured at fair value; and t t share-based payment arrangements are measured at fair value. Functional and presentation currency These consolidated financial statements are presented in Australian dollars, which is the Group’s functional currency. The Group is of a kind referred to in ASIC Corporations (Rounding in Directors’ / Financial Reports) Instrument 2016/191 and in accordance with that Instrument, all financial information presented in Australian dollars has been rounded to the nearest thousand unless otherwise stated. in this section ... This section shows the basis of reporting for the Group and relevant new accounting standards, amendments and interpretations, whether these are effective in FY18 or later years. We explain how these changes are expected to impact the financial position and performance of the Group. Growthpoint Properties Australia 2018 Annual Report 61 Financial Report Portfolio Review Financial Management Business Overview Governance Additional Information