Sasol Integrated Report 2022 - Book - Page 44
INTRODUCTION | ABOUT SASOL
STRATEGIC OVERVIEW
CREATING VALUE
DELIVERING
GOVERNANCE AND REWARDS
ADMINISTRATION
PERFORMANCE OVERVIEW (CONTINUED)
Performance summary | Profit | Statement of financial position at 30 June
R287 billion
Non-current
assets
Current
assets
R132 billion
Total
assets
R420 billion
Return on invested capital (ROIC)
8
7
3
2
%
8
18
4
21
8
(8)
(40)
19
18
20
Year
Including AUC
21
22
Excluding AUC
The Group’s ROIC for 2022 improved from 2021 as a result of higher
earnings mainly due to higher EBITDA generation, higher
remeasurement items net gains (mainly due to prior year impairment
and current year asset divestments), lower depreciation resulting
from 2021 impairments, partly offset by movement in derivative and
hedging losses.
Net debt to EBITDA
(RCF covenant definition)
0,8
21
Year
221 308
12 629
3 051
12 684
2 024
633
3 210
555
31 198
198 021
12 903
2 482
10 142
1 896
591
4 224
809
24 511
Non-current assets
287 292
255 579
41 110
732
46 671
313
43 140
29 742
1 113
30 933
1 514
31 231
131 966
94 533
290
10 631
Total assets
419 548
360 743
Equity and liabilities
Shareholders‘ equity
Non-controlling interests
188 623
4 574
146 489
5 982
Total equity
193 197
152 471
Long-term debt
Lease liabilities
Long-term provisions
Post-retirement benefit obligations
Long-term deferred income
Long-term financial liabilities
Deferred tax liabilities
82 500
14 266
16 550
10 063
372
276
10 549
97 137
13 906
16 164
13 297
400
2 011
7 793
Non-current liabilities
134 576
150 708
Short-term debt
Short-term provisions
Tax payable
Trade and other payables
Short-term deferred income
Short-term financial liabilities
Bank overdraft
24 184
3 144
3 142
53 555
724
6 851
173
7 337
5 064
806
36 670
576
3 162
243
Current liabilities
91 773
53 858
2
3 706
419 548
360 743
Assets in disposal groups held for sale
(29)
(40)
1,5
20
4,3
19
2,3
18
1,8
0
Assets
Property, plant and equipment
Right-of-use assets
Goodwill and other intangible assets
Equity accounted investments
Other long-term investments
Post-retirement benefit assets
Long-term receivables and prepaid expenses
Long-term financial assets
Deferred tax assets
Current assets
(24)
22
2021
Rm
Inventories
Tax receivable
Trade and other receivables
Short-term financial assets
Cash and cash equivalents
40
24
2022
Rm
1
2
times
3
4
5
Net debt to EBITDA at 30 June 2022 reduced to 0,8 times from 1,5 in
the prior year, well below the covenant of 3,0 times. The improvement
was due to stronger EBITDA generation and continued repayment
of debt from divestiture proceeds offset by the weaker closing
exchange rate.
Liabilities in disposal groups held for sale
Total equity and liabilities
SASOL INTEGRATED REPORT 2022
43
Commentary
PROPERTY, PLANT AND EQUIPMENT
Additions to property, plant and equipment amounted
to R22,6 billion and current year depreciation amounted
to R11,5 billion. Reversal of asset impairments in 2022 of
R1,4 billion related to the Chemical Work-up and Heavy Alcohols
cash generating unit. This was mainly due to a higher price
outlook on the back of a sustained increase in demand for
alcohols into the personal hygiene market during and post
the COVID-19 pandemic.
DEFERRED TAX ASSETS
Deferred tax assets increased by R4,9 billion compared to the
prior year mainly due to timing differences on hedging losses in
Sasol Financing International Limited and was further impacted
by the weakening of the Rand compared to 30 June 2021.
INVENTORIES
Inventories increased compared to 30 June 2021, mainly as a
result of increases in raw material and energy costs.
TRADE AND OTHER RECEIVABLES
The year-on-year increase in Trade and other receivables
is mainly as a result of higher sales prices and the weaker
Rand/US dollar closing exchange rate.
ASSETS IN DISPOSAL GROUP HELD FOR SALE
Assets divested in 2022 included:
• 30% of our shareholding in Republic of Mozambique Pipeline
Investments Company;
• Our shareholding in Central Térmica de Ressano Garcia S.A.
(CTRG); and
• Our Canadian shale gas assets.
DEBT
Our total debt was R105,1 billion compared to R102,9 billion at
30 June 2021, with approximately R101,6 billion (US$6,2 billion)
denominated in US dollar. The weaker closing rand/US dollar
exchange rate had a R13 billion impact on the debt balance.
At 30 June 2022, the balance sheet saw a significant
improvement in the gearing at 41,8% (30 June 2021: 61,5%) and
Net debt: EBITDA of 0,8 times (30 June 2021: 1,5 times) (based on
the RCF and US dollar term loan covenant definition).
TRADE AND OTHER PAYABLES
Trade and other payables increased compared to the prior year
due to increases in the cost of raw material and the accrual for
settlement of crude oil derivatives.
