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Financial Report
About this report
This financial report is for the Consolidated entity consisting of Washington H. Soul Pattinson and Company
Limited and its controlled entities for the year ending 31 July 2016. Throughout the report, the Consolidated
entity is also referred to as the ‘Group’.
We are continuously developing the Group’s financial reporting with the aim to enhance our shareholders
understanding of the Group and to highlight the parent company information of Washington H. Soul
Pattinson and Company Limited, illustrating the market value of our investments and the cash flows
generated by them from which dividends to our shareholders are paid.
The notes to the financial statements are ordered so as to focus on the drivers of the Group’s performance.
Please refer to the contents page for how the notes are structured and ordered. In addition to the relevant
financial information, the notes include a description of the accounting policies applied, and where
applicable key judgements and estimates used by management in applying these policies.
for the year ended 31 July 2016
Washington H. Soul Pattinson and Company Limited
Annual Report 2016
48
Consolidated entity perspective
This consolidated financial report combines the operating results, financial positions and cash flows of Washington H. Soul Pattinson and
Company Limited (the Parent company) and each entity that it controls (subsidiaries), into a single set of financial statements.
A controlling stake in a subsidiary often occurs where the parent company owns less than 100% of the subsidiary. The term ‘non-controlling
interest’ is used to describe that portion not owned by the parent company. The non-controlling interest’s share of the consolidated profit
and net assets is disclosed separately in the consolidated income statement, the consolidated statement of comprehensive income, the
consolidated statement of financial position and the consolidated statement of changes in equity.
Investments in which the parent company or a subsidiary has significant influence but does not have control are termed ‘associate entities’.
Unlike controlled entities, the individual financial reports of associates are not consolidated. Associates are equity accounted with the
Group’s share of an associate’s result recorded in profit. The investment in associates is disclosed as a line item (equity accounted associates)
in the consolidated statement of financial position and is adjusted for the Group’s share of the associate’s result and decreased by any
dividends received. This method treats dividends from associates as if they are a return of capital rather than being recognised in income.
Parent company perspective
Financial information for Washington H. Soul Pattinson and Company Limited, the ‘Parent company’ has also been provided. In contrast to
the consolidated financial report, the Parent company information reflects Washington H. Soul Pattinson and Company Limited’s activities
as an ‘investor’ and provides details of its investments (subsidiaries, associate entities and other investments), together with the cash flows
generated by them (dividend income).
Washington H. Soul Pattinson and Company Limited is a for profit company limited by shares, incorporated and
domiciled in Australia. The shares are publicly traded on the Australian Securities Exchange. Its registered office
and principal place of business is as follows:
Washington H. Soul Pattinson and Company Limited
Level 1, 160 Pitt Street, SYDNEY NSW 2000
A description of the nature of the Consolidated entity's operations and its principal activities is included in the
Directors' report, which is not part of this financial report.
This financial report was authorised for issue in accordance with a resolution of the Directors on 24 October 2016.