62

  

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McPHERSON’S LIMITED

 ANNUAL REPORT 2015

NOTE 11.   TRADE AND OTHER RECEIVABLES (CONTINUED)

Credit risk

The credit risk relating to trade and other receivables of the Group which have been recognised on the balance sheet, is the carrying amount, net of 

any provision for impairment.  The following provides an overview of the credit risk associated with trade receivables.

2015

$’000

2014

1

$’000

Neither past due nor impaired

31,360

34,240

Past due, but not impaired:

– less than 30 days 

9,327

14,869

– 30 to 59 days

2,754

4,092

– 60 to 89 days

2,449

1,788

– 90 to 119 days

544

1,168

– 120 days or more

2,715

827

Gross carrying amount

49,149

56,984

Provision for impairment

(378)

(189)

Net carrying amount

48,771

56,795

1. See Note 1(A) for details regarding the restatement as a result of an error

Credit risk concentration
Two external customers represent $16,568,000 (2014: $15,381,000) and $5,573,000 (2014: $14,371,000) respectively of the closing receivables 

balance.  These debtor balances are in relation to the Australian business.

NOTE 12.   INVENTORIES

2015

$’000

2014

$’000

Raw materials

5,333

3,095

Finished goods

46,840

40,437

Stock in transit

8,169

6,698

60,342

50,230

Provision for inventory obsolescence

(2,557)

(4,741)

57,785

45,489

The basis of inventory valuation adopted is set out in Note 1(L).
Inventory recognised as expenses during the year ended 30 June 2015 amounted to $208,485,000 (2014: $205,685,000). At 30 June 2015 the 

Group has transferred $19,676,000 (2014: $26,136,000) of inventories to assets held for sale.  Refer to Note 14(B) for further information.  

NOTES TO AND FORMING PART OF THE  

CONSOLIDATED FINANCIAL STATEMENTS CONTINUED