Our results

Other financial assets

Accounting policy applied

As at 31 December 2017 and 31 December 2016, the Group presented the following categories under the other financial assets heading:

a) Loans and receivables

Loans and receivables are non-derivative financial instruments with constant or foreseeable payments, not quoted in an active market. The Group includes in loans and receivables bank deposits with maturity longer than three months and granted loans. Loans and receivables are carried at amortized cost using the effective interest rate method, taking into account impairment, except for those assets where the discount effect is immaterial.

b) Available-for-sale financial assets

In the Group, financial assets available for sale include capital investments not quoted in an active market, whose fair value cannot be reliably carried. They are carried at cost less impairment. A dividend from available-for-sale capital instruments is recognized in the result once the Group acquires the right to dividend.

Additionally, for other financial assets the Group presents derivative forward-like financial instruments. These instruments are used to hedge future cash flows described in Note 29 of these Consolidated Financial Statements. Upon providing the hedging the Group defines and properly documents hedging relationships, the purpose of risk management and hedging provision strategy. The effective portion of profits / (losses) related to a hedging instrument is recognized in other comprehensive income. The non-effective portion of profits or losses related to the hedging instrument is recognized in the period’s financial performance, unless it has no material value. Profits/losses related to evaluation of hedging instruments and recognized in other comprehensive income are recognized in the financial result when the hedged item affects the financial performance.

Structure of other financial assets

Data in ths. PLN

 As at 31/12/2017 (audited)As at 31/12/2016 (audited)
Derivative instruments  
FX forwards12,047235
Available-for-sale financial assets  
Shares and stock in Polish entities (1)6,0407,141
Shares and stock in foreign entities (1)1,2461,360
Loans and receivables  
Loans granted to related parties1,069796
Deposits above 3 months253,805-
Other  
Other-9
Total274,2079,541
Non-current assets10,5378,649
Current assets263,670892
Total274,2079,541

(1) The value of impairment losses on investments in shares and stock as at 31 December 2017 was equal to PLN 11,811 thousand and on 31 December 2016 equal to PLN 11,833 thousand.