NOTES TO
FINANCIAL STATEMENTS
69
GDS Global Limited Annual Report 2015
As at 30 September 2015
4
FINANCIAL INSTRUMENTS, FINANCIAL RISKS AND CAPITAL MANAGEMENT
(a)
Categories of financial instruments
The following table sets out the financial instruments as at the end of the reporting period:
Group
Company
2015
2014
2015
2014
$
$
$
$
Financial assets
Loans and receivables (including
cash and cash equivalents)
17,532,189
17,365,082
4,169,623
5,098,508
Financial liabilities
Amortised cost
3,337,821
2,101,777
212,527
230,968
(b) Financial instruments subject to offsetting, enforceable master netting arrangements and
similar agreements
The Group and the Company do not have any financial instruments which are subject to
enforceable master netting arrangements or similar netting agreements.
(c)
Financial risk management policies and objectives
The Group’s overall financial risk management policies and objectives seek to minimise
potential adverse effects on the financial performance of the Group. Risk management is
carried out by the board of directors and periodic reviews are undertaken to ensure that
the Group’s policy guidelines are complied with. There has been no change to the Group’s
exposure to these financial risks or the manner in which it manages and measures the risk.
The Group does not hold or issue derivative financial instruments for speculative purposes.
The Company is not exposed to significant foreign exchange risk, interest rate risk, credit risk
and liquidity risk.
(i)
Foreign exchange risk management
The Group transacts business in various foreign currencies, including the United States
dollar, Australian dollar and Euro and therefore is exposed to foreign exchange risk.
At the end of the reporting period, the carrying amounts of monetary assets and
monetary liabilities denominated in currencies other than the respective entities’
functional currencies are as follows:
Group
Assets
Liabilities
2015
2014
2015
2014
$
$
$
$
United States dollar
948,493
1,497,897
39,394
15,208
Australian dollar
503,750
7
21,466
2,354
Euro
3,596
3,620
42,368
7,365
