RWS AR 23 Final Single pages - Flipbook - Page 137
15. TRADE AND OTHER RECEIVABLES
Accounting policy
Trade and other receivables are carried at amortised cost less expected credit losses. They are included in current
assets, except for maturities greater than 12 months after the balance sheet date. These are classi昀椀ed as non current
assets. Trade receivables are non-interest bearing and generally on terms ranging from 30 to 120 days. Due to their
short maturities, the carrying amount of trade and other receivables approximates to their fair value.
The Group has no signi昀椀cant concentration of credit risk, with exposure spread over a large number of customers and
geographies.
Accrued income relates to the Group’s rights to consideration for work performed but not billed at the reporting date
for language and professional services. Accrued income balances are transferred to trade receivables when there is an
unconditional right to consideration, generally, when an invoice is issued to the customer.
Both trade receivables and accrued income amounts are initially stated at fair value and subsequently at amortised
cost using the e昀昀ective interest method less an estimate made for expected credit losses. The Group applies the
IFRS 9 simpli昀椀ed approach to measuring expected credit losses which uses a lifetime expected loss allowance for all
trade receivables and contract assets. In order to estimate the expected credit losses, the Group reviews outstanding
amounts at year end based on historical rates of default adjusted for forward looking information where material.
Other receivables represent security deposits held in respect of o昀케ce leases, recoverable taxes and capitalised
contract costs.
2023
Gross
2023
Provisions
2023
Net
2022
Gross
2022
Provisions
2022
Net
Trade receivables
140.4
(1.8)
138.6
151.2
(2.3)
148.9
Other receivables
6.0
-
6.0
7.3
-
7.3
15.0
-
15.0
13.1
-
13.1
53.2
(0.5)
52.7
51.7
(0.5)
51.2
214.6
(2.3)
212.3
223.3
(2.8)
220.5
Prepayments
Accrued income
At 30 September
Trade receivables net of allowances are held in the following currencies at the
reporting date:
2023
£m
Sterling
Euros
Japanese Yen
US Dollars
2022
£m
5.6
18.9
29.9
24.0
2.5
3.0
93.4
88.7
Swiss Francs
1.2
1.3
Other
6.0
13.0
138.6
148.9
Loss
allowance
£m
Net amount
£m
The following table provides information about the exposure to
credit risk for trade receivables at 30 September 2023:
Not past due
Gross
amount
£m
105.0
-
105.0
Past due 1-30 days
15.7
-
15.7
Past due 31-60 days
7.1
-
7.1
Past due 61-90 days
3.9
(0.2)
3.7
8.7
(1.6)
7.1
140.4
(1.8)
138.6
Past due > 90 days
NOTES TO THE CONSOLIDATED STATEMENTS
RWS Holdings plc — Annual Report 2023
137
