As part of your analysis, you have decided to investigate Angostura’s cash flows.
Using the financial statements and additional notes provided, calculate the following for 2019:
Operating Cash Flow
Net Capital Spending
Change in Net Working Capital
Extracted text: Angostura Holdings Limited Income Statements For the years ended December 31, 2018 & 2019 2018 2019 ('000s) 783,692 ('000s) 847,200 Sales Cost of Sales (392,209) 391,483 (429,723) 417,477 Gross Profit Selling & Marketing Expenses Administrative Expenses Expected credit loss on trade receivables (145,010) (69,935) (2,487) (140,205) (88,713) (4,304) Interest Income 5,201 Other Income/(Expenses) Earnings before Interest & Taxes Interest Expense 8,648 3,427 196,330 398 179,650 (312) 179,338 (47,685) 131,653 (555) 195,775 Taxable Income Taxation (59,935) 135,840 Net Income Dividends Paid 43,318 49,507 Angostura Holdings Limited Statement of Financial Position As at December 31, 2018 & 2019 2018 2019 2018 2019 ('000s) ('000s) ('000s) ('000s) ASSETS LIABILITIES & EQUITY Current Assets Current Liabilities Accounts Payables 107,299 16,572 Inventories 245,491 253,769 80,929 Accounts Receivables 185,870 411,461 145,742 Other Current Liabilities 4,098 Other Current Assets 318,475 85.027 123,871 Cash & Equivalents 103, 151 954,251 119,075 828,783 Non-current Liabilites 75,705 77,337 Non Current Assets, Net 387,117 388,458 Total Liabilities 160,732 201,208 Equity Share Capital & Other Reserves Retained Earnings Total Equity 219,354 219,354 835,814 922,147 1055,168 1141,501 TOTAL ASSETS 1215,900 1342,709 TOTAL LIAB. & EQUITY 1215,900 1342,709 ADDITIONAL NOTES to FINANCIAL STATEMENTS: > Depreciation Expense for 2019 = $26,144 ('000) Common Stock = Share Capital & Other Reserves
Extracted text: Case Analysis: Angostura Holdings Limited Angostura is one of the Caribbean's leading rum producers with a superb collection of rum brands and is the world's market leader for bitters. These include: rum brands like Angostura 1824, Angostura® 1787, Angostura® 1919, Angostura® 7 year old rum, Angostura® 5 year old, Angostura® Reserva, Angostura® Single Barrel, White Oak, Forres Park Puncheon, Fernandes Black Label, Royal Oak, and the Angostura® AMARO, Angostura® orange bitters, Angostura® aromatic bitters and a signature beverage Angostura® Lemon Lime and Bitters. Angostura® aromatic bitters has not been changed since the first bottle was introduced to the world in 1824. Besides being a Royal Warrant holder to the Queen of England for its Angostura® aromatic bitters, the company has successfully marketed its iconic bitters globally and has a geographic reach into 170 markets. Many of our brands have been around for generations in Trinidad and Tobago, our core rum market. Angostura's international rums have won gold medals at many international competitions in the past decade and have been named 'the world's most awarded rum range' by the Rum Masters. As part of your Financial Management course your lecturer has introduced you to the concepts of financial analysis, cash flows and long-term financial planning via the use of pro-forma statements. Utilising the condensed/simplified following financial statements compiled from Angostura's Annual Report 2019, you are required to apply these concepts.