Example consolidated financial statements - Flipbook - Page 43
Notes to the consolidated financial statements
For the year ended 31 December 2020 (expressed in thousands of Euroland currency units, except per share amounts)
IFRS 3.B64 (q)(i-ii)
Good Buy’s contribution to the Group results
Good Buy contributed CU 9,540 of revenue and CU 400 to the consolidated profit for the six months
from 1 July 2019 to 31 December 2019. If Good Buy had been acquired on 1 January 2019,
revenue of the Group for 2019 would have been CU 196,000. However, due to lack of IFRS-specific
data prior to the acquisition of Good Buy, pro-forma profit or loss of the combined entity for the
complete 2019 reporting period cannot be determined reliably.
5.3 Disposal of Highstreet Ltd in 2020
See Note 6.3 below.
6. Interests in subsidiaries
IFRS 12.10(a)(i)
IFRS 12.12
6.1 Composition of the Group
Set out below are the details of the subsidiaries held directly by the Group:
Name of the
Subsidiary
IFRS 12.7
IFRS 12.9
IFRS 10.5–7
IFRS 10.B41-B46
Country of
Principal activity
incorporation
and principal
place of business
Proportion of
ownership interests
held by the Group at
period-end
2020
2019
100%
–
100%
100%
Goodtech GmbH
Euroland
On-line retailer of computer and
telecommunications hardware
Good Buy Inc.
USA
On-line retailer of computer and
telecommunications hardware
Tech Squad Ltd
Euroland
Design and sale of phone and intranet
applications
80%
80%
Data Corp
UK
On-line sales of hardware and software
products
100%
100%
Highstreet Ltd
UK
Design and sale of phone and intranet
applications
–
100%
Significant judgements and assumptions
The Group holds 45% of the ordinary shares and voting rights in Equipe Consultants S.A. (Equipe).
Two other investors each hold 15%. The remaining 25% is held by several other unrelated
investors, none of whom own more than 2% individually. There are no arrangements for the other
shareholders to consult one another or act collectively and past experience indicates that few of the
other owners actually exercise their voting rights at all. The Group has appointed four of Equipe’s
Board of Directors out of a total of eleven.
Management has reassessed its involvement in Equipe in accordance with IFRS 10’s control
definition and guidance. It has concluded it has significant influence but not outright control. In
making its judgement, management considered the Group’s voting rights, the relative size and
dispersion of the voting rights held by other shareholders and the extent of recent participation
by those shareholders in general meetings. Recent experience demonstrates that sufficient of
the smaller shareholders participate in such a way that they, along with the two other main
shareholders, prevent the Group from having the practical ability to direct the relevant activities
of Equipe unilaterally.
Illustrative Corporation Group: IFRS Example Consolidated Financial Statements – 31 December 2020 41
