Liabilities Reveal Squeeze on Namibia Post Limited’s Finances
======================================================
A recent financial statement review has shed light on the significant liabilities faced by Namibia Post Limited, a leading postal service provider in Namibia.
Total Liabilities Increase
According to the annual financial statements for the year ended September 30, 2021, the company’s total liabilities have increased to N$6.99 billion (approximately USD $450 million), up from N$6.89 billion (approximately USD $440 million) in the previous year.
Breakdown of Total Liabilities
- Non-current liabilities accounted for a significant portion of the total liabilities, amounting to N$1.31 billion (approximately USD $83 million). This includes:
- Retirement benefit obligations: N$12.5 million (approximately USD $800,000)
- Lease liabilities: N$943 million (approximately USD $60 million)
- Other financial liabilities: N$344 million (approximately USD $22 million)
Cash Flow Statement
The company’s cash flow statement revealed a net outflow of N$289 million (approximately USD $18 million) in investing activities, primarily driven by: * Purchase of property, plant, and equipment * Investments in intangible assets
In contrast, the company reported a net inflow of N$120 million (approximately USD $8 million) in operating activities, mainly due to: * Cash generated from operations * Dividend received
Challenges and Sustainability
The financial statement review highlights the challenges faced by Namibia Post Limited in managing its liabilities and maintaining a healthy balance sheet. The company’s ability to generate cash from operations will be crucial in addressing these liabilities and ensuring its long-term sustainability.
Additional Information
For more information on Namibia Post Limited’s financial performance, please refer to their annual financial statements for the year ended September 30, 2021.