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Al Mazaya Holding Company K.S.C. and its Subsidiaries
NOTES TO INTERIM CONDENSED CONSOLIDATED FINANCIAL INFORMATION
(UNAUDITED)
At 30
June
2012
3
RESTATEMENT
During the year ended 31 December 20 Il, the Group's management discovered that the method of calculating the
income based on percentage of completion method from certain properties under development, classified as held for
trading was incorrect This was based on certain items specified in the contracts for the sale of these properties and
laws governing real estate in the jurisdiction where the Group builds and sells these properties. These regulations
indicate
that
the transfer of risks and rewards associated with ownership of properties may cease due to cancellation
of sale contracts to customers. Accordingly, in accordance with International Accounting Standards (lAS) 8 -
"Accounting Policies, Changes in Accounting Estimates and Errors", the Group reversed the revenues recognised
based on percentage of completion method and recorded revenue using completed contract basis in the previous
years in order to make the revenue recognition consistent with the transfer of risk and rewards to the buyer and
rectified the error in compliance with lAS 18 "Revenue". Consequently the three and six months figures for the
periods ended 3] March 20 Il and 30 June 20 Il respectively have been restated.
The comparative figures in this interim condensed consolidated financial information have been restated as follows:
(As
previously
reported)
(Restated)
30June
30June
2011
Adjustments
2011
KD
KD
KD
The interim condensed consolidated statement of financial
position:
Investment properties
] 15,900,771
1,511,381 117,412,152
Investment in joint ventures
3,638,8]2
(563,741)
3,075,071
Properties held for trading
137,368,644 (62,135,779)
75,232,865
Accumulated losses
(11,742,260)
(14,715,994)
(26,458,254)
Equity attributable to shareholders of the Parent Company
130,664,172 (14,715,994)
115,948,178
Advances from customers
73,758,719 (55,595,518)
18,163,201
Three months ended 30 June
Six months ended 30 June
(As previously
(As previously
reported)
(Restated)
reported)
(Restated)
2011
2011
2011
2011
KD Adjustments
KD
K.D
Adjustments
KD
K.D
K.D
The interim
condensed
consolidated
statement of
income:
Revenue from sale of
properties held for
trading
35,878 6,686,435 6,722,313
35,878 55,595,517
55,631,395
Cost of sale of
properties held for
trading
(479,531) (5,806,196) (6,285,727)
(479,531)
(36,565,863)
(37,045,394)
(Loss) profit for the
period
(2,117,334)
1,016,996 (1,100,338)
(3,045,437)
18,937,316
15,891,879
Basic and diluted
(loss) earnings for the
period attributable to
equity holders of the
Parent Company
(3.53) fils
(1.66) fils (1.87) fils
(5.56) fils
(34.05) fils
28.49 fils
9