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Dar Al-Maal Al-Islami Trust
Annual Report 2014
Page
Independent auditors’ report
11
Consolidated statement
of financial position
12
Consolidated statement
of income
13
Consolidated statement
of comprehensive income
14
Consolidated Statement
of changes in Equity
15
Consolidated Statement
of Cash Flows
16
Notes to the Consolidated Financial
Statements
1. Formation and activities
18
2. Accounting policies
18
Basis of preparation
18
Impact of new accounting
pronouncements and new
and amended standards
adopted
18
New and amended
standards and interpretations 18
Consolidation
19
Foreign currency
translation
20
Derivative financial
instruments and hedging 21
Income from investments with
Islamic institutions and
investments in financings 21
Fee and commission
income
21
Distribution to Massaref
account holders
21
Sale and repurchase
agreements
21
Financial assets
22
Offsetting financial instruments 23
Impairment of financial assets 23
Impairment of non-financial
assets
24
Investments with Islamic
institutions
24
Intangible assets
24
Investment property
24
Property, plant and
equipment
and depreciation
24
Leases
25
Provisions
25
Non-current asset held
for sale
25
Page
Discontinued operations
26
Due to banks and financial
institutions
26
Borrowings
26
Retirement benefit plans
26
Taxation
26
Deferred income taxes
26
Trust capital and treasury
stock
27
Acceptances
27
Cash and cash equivalents 27
Fiduciary activities
27
3. Critical accounting
estimates and judgements
in applying accounting
policies
27
Impairment of investments
in financings
27
Fair value and impairment
of available-for-sale
equity investments
27
Fair value of investment
properties
28
Income taxes
28
Consolidation of entities in
which the Group holds less
than 50%
28
Impairment of associated
companies
28
Estimated impairment
of goodwill
28
4. Financial instruments
30
Strategy in using
financial instruments
30
Capital management
30
Financial risk
management
31
Credit risk
31
Market risk
35
Liquidity risk
38
5. Cash and cash
equivalents
42
6. Trading securities
42
7. Investments in financings
43
8. Collateral received and
re-pledged
44
9. Allowance account
from credit losses
44
10. Investment securities
45
Page
11. Fair value of financial
instruments
47
12. Accounts receivable
50
13. Investment property
51
14. Fair values of land
and buildings
52
15. Investments in associates
56
16. Property, plant and equipment 62
17. Intangible assets
63
18. Non-current assets and
liabilities and
discontinued operations
64
19. Accounts payable
65
20. Tax liability
65
21. Massaref accounts
66
22. Provisions
66
23. Collateralised borrowings
67
24. Net trading income
67
25. Income from investments
in financings
67
26. Fee and commission
income
67
27. Dividend income
68
28. Gains/(losses) from
other income
68
29. Staff costs
68
30. General and administrative
expenses
68
31. Proposed dividend
68
32. Taxes
68
33. Non-controlling interests
69
34. Funds under management
71
35. Retirement benefit plans
71
36. Related party transactions
and balances
76
37. Contingent liabilities
and commitments
77
38. Current and non-current
assets and liabilities
79
39. Concentration of
assets and liabilities
80
40. Maturities of assets and
liabilities
82
41. Currency exposure
83
42. Trust capital
84
43. Date of authorization
for issue
84
44. Principal subsidiaries
84
INDEX TO THE CONSOLIDATED FINANCIAL STATEMENTS