Globaltrans Investment PLC
Annual Report and Accounts
for 2024
Globaltrans Investment PLC
Annual Report and Accounts for the year ended 31 December 2024 2
CONTENTS
PRESENTATION OF FINANCIAL AND OTHER INFORMATION .......................................................... 3
LEGAL DISCLAIMER ............................................................................................................................ 4
DIRECTORS’ STATEMENT .................................................................................................................. 5
KEY CORPORATE EVENTS ................................................................................................................ 6
MARKET REVIEW ................................................................................................................................ 7
FINANCIAL AND OPERATIONAL REVIEW .......................................................................................... 9
CORPORATE GOVERNANCE REPORT ............................................................................................ 12
DEFINITIONS ..................................................................................................................................... 21
CONTACTS ........................................................................................................................................ 23
CONSOLIDATED MANAGEMENT REPORT AND CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024 .................................................................................. 24
Globaltrans Investment PLC
Annual Report and Accounts for the year ended 31 December 2024 3
PRESENTATION OF FINANCIAL AND OTHER INFORMATION
In this Annual Report and Accounts (“Annual Report”), Globaltrans Investment PLC (the “Company” or
“Globaltrans”) has used certain measures not recognised by International Financial Reporting Standards (“IFRS”)
(referred to as “non-IFRS measures”) as supplemental measures of the operating performance. The management
believes that these non-IFRS measures provide valuable information to readers, because they enable them to
focus more directly on the underlying day-to-day performance of the business. However, these non-IFRS
measures have limitations as analytical tools, and you should not consider them in isolation or place undue
reliance on them. Similarly titled measures are used by other companies for a variety of purposes and are often
calculated in ways that reflect the circumstances/factors of those companies. You should exercise caution in
comparing these measures as reported by us to the same or similar measures as reported by other companies.
Certain financial information which is derived from the management accounts is marked in this Annual Report
with an asterisk {*}. Information (non-IFRS financial and operating measures) requiring an additional explanation
or defining is marked with initial capital letters and the explanations or definitions are provided at the end of this
Annual Report. The presentational currency of the financial results is the Russian rouble (“RUB”).
All information in this Annual Report is presented on a consolidated basis and includes Globaltrans Investment
PLC (the "Company") and its subsidiaries (together “the Group”) as of 31 December 2024, unless otherwise
stated.
Please note that on 10 April 2025, the Adjourned Extraordinary General Meeting of shareholders of
Globaltrans approved the sale of the Company’s five wholly-owned subsidiaries (including their financial
obligations) in Russia and Kazakhstan, namely BaltTransServis, GTI Management, New Forwarding
Company, Ural Wagonrepair Company and Adaptive Capital Ltd (the "Asset Sale Transaction"). The
transfer of the subsidiaries to the purchaser under the Asset Sale Transaction was completed on 17 April
2025.
In this regard, and to avoid confusion, all information presented in this Annual Report – including, among
other things, historical operational and financial information, market data, assumptions, and the
Company’s intentions, beliefs or expectations – is based on the information available prior to the
completion of the Asset Sale Transaction and may not reflect the circumstances as of the date of
publication of this Annual Report, unless otherwise stated.
Globaltrans Investment PLC
Annual Report and Accounts for the year ended 31 December 2024 4
LEGAL DISCLAIMER
Information contained in this Annual Report concerning the Company is for general information purposes only.
The statements and any opinions presented herein are based on general information gathered at the time of
writing and are subject to change without notice.
None of the Company nor any of its shareholders, directors, officers or any other person accepts any liability
whatsoever for any loss howsoever arising from any use of the contents of this Annual Report or otherwise arising
in connection therewith. This Annual Report does not constitute an offer or an advertisement of any securities in
any jurisdiction. The distribution of this Annual Report in other jurisdictions may be restricted by law and any such
restrictions should be observed.
This Annual Report may contain forward-looking statements regarding future events. You can identify forward
looking statements by terms such as “expect”, “believe”, “estimate”, “anticipate”, “intend”, “will”, “could”, “may”, or
“might”, the negative of such terms or other similar expressions. These forward-looking statements include
matters that are not historical facts and statements regarding the Company’s intentions, beliefs or current
expectations. By their nature, forward-looking statements involve risks and uncertainties, because they relate to
events and depend on circumstances that may or may not occur in the future. The Company cautions you that
forward-looking statements are not guarantees of future performance and that Globaltrans’ actual results of
operations, financial condition, liquidity, prospects, growth, strategies and the development of the industry in which
Globaltrans operates may differ materially from those described in or suggested by the forward-looking statements
contained in this Annual Report.
In addition, even if Globaltrans’ results of operations, financial condition, liquidity, prospects, growth strategies
and the development of the industry in which the Company operates are consistent with the forward-looking
statements contained in this Annual Report, those results or developments may not be indicative of results or
developments in future periods. Unless otherwise set out herein, the Company does not intend to update this
Annual Report or reflect events and circumstances occurring after the date hereof or to reflect the occurrence of
unanticipated events. Many factors could cause actual results to differ materially from those contained in forward-
looking statements of Globaltrans, including, among others, general economic conditions, the competitive
environment, as well as many of the risks specifically related to Globaltrans and its operations. No reliance may
be placed for any purposes whatsoever on the forward-looking statements contained in this Annual Report.
Globaltrans Investment PLC
Annual Report and Accounts for the year ended 31 December 2024 5
DIRECTORS’ STATEMENT
Dear Shareholders,
We are pleased to present the Annual Report of Globaltrans for 2024.
The past year was marked by significant headwinds across the freight rail transportation industry. In 2024, the
market faced a combination of considerable operational challenges, railcar infrastructure constraints, subdued
demand, and a rising railcar oversupply. In this complex environment the Group delivered relatively solid financial
performance, however, its operational results were under pressure.
Throughout the year, the Board remained actively engaged in steering the Group through the challenging market
landscape while focusing on various strategic initiatives aimed at safeguarding the best interest of our
shareholders.
Key developments in the reporting year included the Company’s re-domiciliation to the Abu Dhabi Global Market
(ADGM) and the completion of our listings restructuring, which resulted in the Astana International Exchange
Limited (AIX) becoming the sole organised trading venue for the Company’s global depositary receipts (GDRs).
To provide an opportunity for certain GDR holders to monetise their investments in Globaltrans amid current
financial market infrastructure limitations, the subsidiaries of the Company (which were subsidiaries as of the date
of the tender offers) conducted several voluntary GDR tender offers.
In 2024, the Group reaffirmed its commitment to sustainable development by actively pursuing a range of ESG
initiatives. Our key priorities included the wellbeing and professional development of our employees, enhancing
safety culture, and minimising our environmental footprint.
In April 2025, the shareholders at the Adjourned Extraordinary General Meeting approved the sale of the
Company’s five wholly-owned subsidiaries (including their financial obligations) in Russia and Kazakhstan for an
aggregate consideration of USD 767 million (payable in RUB). Following the completion of the assets transfer,
the Board of Directors approved a special interim dividend which corresponds to approximately 95% of the gross
proceeds from the sale of assets.
At present, the Company has no ongoing operating activities. Accordingly, while no specific operational
developments are expected in the immediate future, the Company’s strategic plans remain under consideration
and are expected to be developed by the Board and announced in due course.
The Board of Directors of Globaltrans continues to discharge its responsibilities, ensuring full compliance with
applicable laws and regulations.
This Annual Report was approved by the Board of Directors and signed on its behalf by:
Anton Gazizov
Managing Director,
member of the Board of Directors
The Going concern Board Statement can be found on page 8 of the Consolidated Management Report and
Consolidated Financial Statements for the year ended 31 December 2024 which form part of this Annual Report. To
avoid confusion, please note that all information presented in this Annual Report – including, among other things,
historical operational and financial information, market data, assumptions, and the Company’s intentions, beliefs or
expectations – is based on the information available prior to the completion of the Asset Sale Transaction and may
not reflect the circumstances as of the date of publication of this Annual Report, unless otherwise stated.
Globaltrans Investment PLC
Annual Report and Accounts for the year ended 31 December 2024 6
KEY CORPORATE EVENTS
More details are available on the Globaltrans’ corporate website (www.globaltrans.com).
To avoid confusion, please note that all information presented in this Annual Report – including, among
other things, historical operational and financial information, market data, assumptions, and the
Company’s intentions, beliefs or expectations – is based on the information available prior to the
completion of the Asset Sale Transaction and may not reflect the circumstances as of the date of
publication of this Annual Report, unless otherwise stated.
Re-domiciliation to the Abu Dhabi Global Market
•
Re-domiciliation of the Company from Cyprus to the Abu Dhabi Global Market (ADGM) was completed on
26 February 2024.
Listings restructuring
•
In October-November 2024, the Company finalised the voluntary delistings from the Moscow Exchange
(MOEX), the SPB Exchange (SPBE) and the London Stock Exchange (LSE).
•
The Astana International Exchange Limited (AIX) became the sole organised trading venue for the Company’s
GDRs.
Voluntary GDR tender offers
•
Through the GDR tender offers conducted by Globaltrans’ subsidiaries (which were subsidiaries as of the
date of the tender offers), and over-the-counter transactions carried out by affiliates of the Company’s
shareholders, GDR holders were provided with an opportunity to monetise their investments in Globaltrans
amid current financial market infrastructure limitations.
Asset sale transaction and approval of special interim dividends
•
The Adjourned Extraordinary General Meeting of shareholders on 10 April 2025 approved the sale of the
Company’s five wholly-owned subsidiaries (including their financial obligations) in Russia and Kazakhstan,
namely BaltTransServis, GTI Management, New Forwarding Company, Ural Wagonrepair Company and
Adaptive Capital Ltd (the "Asset Sale Transaction") to KSP Capital Asset Management LLC being the trust
management company (Д.У.) of the Closed-End Unit Investment Combined Fund "Transatlant" (the
“Purchaser”) for the aggregate consideration of USD 767 million payable in RUB. The transfer of the
subsidiaries to the Purchaser under the Asset Sale Transaction was completed on 17 April 2025.
•
The distribution of a special interim dividend in the amount of RUB 335 per 1 ordinary share of the Company
was approved by the Board of Directors of the Company on 18 April 2025. The amount, in line with previously
announced intentions, represents approximately 95% of the gross proceeds from the Asset Sale Transaction.
The record date to determine list of persons eligible for the special interim dividend was set as 18 June 2025.
Globaltrans Investment PLC
Annual Report and Accounts for the year ended 31 December 2024 7
MARKET REVIEW1
To avoid confusion, please note that all information presented in this Annual Report – including, among
other things, historical operational and financial information, market data, assumptions, and the
Company’s intentions, beliefs or expectations – is based on the information available prior to the
completion of the Asset Sale Transaction and may not reflect the circumstances as of the date of
publication of this Annual Report, unless otherwise stated.
The freight rail transportation market is under significant pressure from operational challenges and an
oversupply of railcars
•
Overall industry freight rail turnover and transportation volumes decreased 4.3% and 4.2% year on year in
2024.
•
A persistent downward trend prevailed in the market throughout 2024, driven by both operational challenges
and a reduction in the cargo base. In January-February 2025, overall industry transportation volumes declined
5.6% year on year.
•
Continued infrastructure constraints due to the changes in logistics, a shortage of throughput capacities and
an increase in the size of the industry railcar fleet.
•
The average industry railcar turnaround increased 11% year on year to c.21 days in 2024 (the weakest level
over the last 15 years), which negatively impacts the efficiency of railcars.
•
Over the past 5 years, the industry freight railcar fleet has increased 18%2, while overall industry transportation
volumes declined 5% compared to 2020.
•
According to the estimation of the rail infrastructure owner, the railcar oversupply surged from c.200,000 units
in September 2024 to c.400,000 units in early February 2025 (about 29% of the industry railcar fleet). In
response, the rail infrastructure owner is implementing a range of measures to reduce the number of railcars
on the network.
•
Intensifying cost pressures for freight rail operators, including the increased regulated tariffs for the traction of
empty railcars (which rose by 10.75% from December 2023, then by 13.8% from December 2024, and by an
additional 10% for empty gondola cars only from January 2025) along with a rise in the costs of repairs and
spare parts.
Gondola segment: intensifying operational challenges, shrinking cargo base and pricing pressures
•
Overall industry transportation volumes of bulks (mostly transported in gondola cars)3 decreased 6.9% year
on year in 2024.
•
The gondola segment is a key market for Globaltrans (68% of the Group’s Total Fleet) and one of the most
competitive segments in the industry.
•
The industry gondola fleet reached a historical high of c.649,000 units4, while overall industry bulk cargo
volumes are at multi-year lows5, which results in an oversupply of railcars. Net additions of gondola cars to
the network amounted to 4%, or c.26,000 units, in 2024, while the industry gondola fleet rose 16%, or by
c.92,000 units6, over the past 5 years.
1 Information in this section of the Annual Report is based on public data and the Company’s estimates.
2 The fleet at the end of 2024 compared to the beginning of 2020.
3 Including coal, metallurgical cargoes and construction materials.
4 As of 31 December 2024.
5 Over the last 15 years.
6 As compared to the beginning of 2020.
Globaltrans Investment PLC
Annual Report and Accounts for the year ended 31 December 2024 8
•
Overall transportation volumes in the key bulk cargo segments decreased throughout 2024 due to ongoing
operational challenges, a shortage of throughput capacities and a shrinking cargo base: coal (-5.1% year on
year), metallurgical cargoes (-5.4% year on year) and construction materials (-12.9% year on year)7.
•
In the second half of 2024, market pricing conditions began to deteriorate due to the challenging operational
environment and oversupply of railcars. This decline extended into early 2025. The downward trend is
expected to continue in the medium term.
7 Coal including coke; metallurgical cargoes including ferrous metals, scrap metal and ores; construction materials including
cement.
Globaltrans Investment PLC
Annual Report and Accounts for the year ended 31 December 2024 9
FINANCIAL AND OPERATIONAL REVIEW
To avoid confusion, please note that all information presented in this Annual Report – including, among
other things, historical operational and financial information, market data, assumptions, and the
Company’s intentions, beliefs or expectations – is based on the information available prior to the
completion of the Asset Sale Transaction and may not reflect the circumstances as of the date of
publication of this Annual Report, unless otherwise stated.
Operational performance
•
The Group’s Freight Rail Turnover and Transportation Volumes were down 10% year on year8 in 2024, largely
reflecting a decline in the number of loaded trips per railcar due to operational challenges and a deterioration
in industry railcar turnaround. A decrease in the gondola segment’s operational performance was partially
offset by growth in the liquids segment due to some previously leased-out rail tanks being switched into
operation.
•
In January-February 2025, the Group’s Transportation Volumes fell 17% year on year, driven by the continued
operational challenges, a decrease in average rolling stock operated and lower demand in key segments.
•
The Group’s Total Fleet declined 3% compared to the end of 2023 and amounted to 63,584 units as of the
end of 2024, largely due to a decrease in the number of leased-in gondola cars. The average age of the
Group’s Owned Fleet is 16.2 years.
•
Empty Run Ratio for gondola cars improved to 31% in 2024 compared to 36% in 2023. Total Empty Run Ratio
for all types of railcars stood at 43% (2023: 45%).
•
In the second half of 2024, average pricing terms for all types of railcars started to decrease largely due to
the worsening market environment in the gondola segment.
Financial results
•
Adjusted Revenue was up 6% year on year to RUB 92.7 billion in 2024.
•
Total Operating Cash Costs increased 11% year on year to RUB 38.8 billion in 2024.
o
Empty Run Costs, which accounted for 49% of the Group’s Total Operating Cash Costs in 2024, went
up 5% year on year. The regulated tariffs for the traction of empty railcars rose by 10.75% from
December 2023 and by 13.8% from December 2024. This was partially offset by the improvement in
the Empty Run Ratio for gondola cars along with a decrease in the Group’s Freight Rail Turnover
(-10% year on year).
o
Employee benefit expense, which represented 23% of the Group’s Total Operating Cash Costs in
2024, increased 9% year on year. This was due to inflation-driven growth in wages and salaries, with
a slight rise in average headcount (+1% year on year).
o
Repairs and maintenance costs, which comprised 13% of the Group’s Total Operating Cash Costs in
2024, grew 25% year on year. This reflects a higher number of scheduled and current repairs, along
with inflation-driven rises in the costs of repairs, services and certain spare parts.
o
Fuel and spare parts – locomotives expenses, which accounted for 6% of the Group’s Total Operating
Cash Costs in 2024, increased 20% year on year, reflecting higher fuel prices, coupled with increased
volumes transported by the Group’s owned block trains.
•
Adjusted EBITDA was RUB 53.9 billion in 2024 (+3% compared to 2023).
•
Total CAPEX adjusted for M&A9 amounted to RUB 10.6 billion (2023: RUB 10.1 billion).
8 Including Engaged Fleet.
9 Including maintenance CAPEX.
Globaltrans Investment PLC
Annual Report and Accounts for the year ended 31 December 2024 10
•
Free Cash Flow amounted to RUB 26.3 billion (2023: RUB 25.8 billion). However, Free Cash Flow adjusted
for expenses related to the acquisition of GDRs10 decreased by 51% year on year to RUB 12.8 billion in 2024.
•
Profit for the year increased 2% year on year to RUB 39.4 billion in 2024.
•
Negative Net Debt as of 31 December 2024.
Results in detail
The following tables provide the Group’s key financial and operational information for the years ended 31
December 2024 and 2023.
IFRS financial information
2023
2024
Change,
RUB mln
RUB mln
%
Revenue
104,748
108,727
4%
Total cost of sales, selling and marketing costs and administrative
expenses
(63,740)
(65,252)
2%
Profit from sale of subsidiary
3,400
-
-100%
Other losses - net
(283)
(168)
-41%
Operating profit
44,125
43,308
-2%
Finance income - net
2,962
8,477
186%
Profit before income tax
47,087
51,784
10%
Income tax expense
(8,469)
(12,338)
46%
Profit for the year
38,618
39,447
2%
Profit attributable to:
Owners of the Company
38,620
39,447
2%
Non-controlling interests
(3)
-
-100%
Basic and diluted earnings per share for profit attributable to the equity
holders of the Company during the year (RUB per share)
216.58
228.16
5%
2023
2024
Change,
RUB mln
RUB mln
%
Cash generated from operations (after changes in working capital)
49,194
51,253
4%
Income tax paid
(8,267)
(10,590)
28%
Net cash from operating activities
40,926
40,663
-1%
Net cash used in investing activities
(6,851)
(12,475)
82%
Net cash used in financing activities
(10,462)
(24,901)
138%
Non-IFRS financial information
2023
2024
Change,
RUB mln
RUB mln
%
Adjusted Revenue
87,388
92,654
6%
Total Operating Cash Costs
35,049
38,792
11%
Including
Empty Run Cost
18,297*
19,148*
5%
Employee benefit expense
8,174
8,913
9%
Repairs and maintenance
4,081
5,090
25%
Fuel and spare parts - locomotives
1,958
2,345
20%
Adjusted EBITDA
52,289
53,860
3%
Total CAPEX adjusted for M&A (including maintenance CAPEX)
10,092
10,619
5%
Free Cash Flow
25,845
26,328
2%
Free Cash Flow adjusted for expenses related to acquisition of GDRs10
25,845
12,754
-51%
10 The expenses related to the acquisition of global depositary receipts (GDRs) in 2024 under the tender offers (excluding the
expenses for the acquisition of GDRs undertaken in January 2025).
Globaltrans Investment PLC
Annual Report and Accounts for the year ended 31 December 2024 11
Debt profile
as of
31 Dec 2023
as of
31 Dec 2024
Change,
RUB mln
RUB mln
%
Total debt
15,377
7,725
-50%
Cash and cash equivalents
42,777
46,080
8%
Net Debt / (Net Cash Position)
(27,400)
(38,355)
40%
Operational Information
2023
2024
Change,
%
Freight Rail Turnover, billion tonnes-km (including Engaged Fleet)
138.8
125.6
-10%
Transportation Volumes, million tonnes (including Engaged Fleet)
78.6
70.4
-10%
Total Empty Run Ratio (for all types of rolling stock), %
45%
43%
-
Empty Run Ratio for gondola cars, %
36%
31%
-
Total Fleet, units (at year end), including:
65,644
63,584
-3%
Owned Fleet, units (at year end)
61,813
61,751
0%
Leased-in Fleet, units (at year end)
3,831
1,833
-52%
Leased-out Fleet, units (at year end)
6,164
5,490
-11%
Average age of Owned Fleet, years (at year end)
15.2
16.2
-
Total number of employees (at year end)
1,802
1,873
4%
Globaltrans Investment PLC
Annual Report and Accounts for the year ended 31 December 2024 12
CORPORATE GOVERNANCE REPORT
All information in this section is presented as of 31 December 2024 unless otherwise stated.
To avoid confusion, please note that all information presented in this Annual Report – including, among
other things, historical operational and financial information, market data, assumptions, and the
Company’s intentions, beliefs or expectations – is based on the information available prior to the
completion of the Asset Sale Transaction and may not reflect the circumstances as of the date of
publication of this Annual Report, unless otherwise stated.
The Group’s Board of Directors, underpinned by an effective and well-functioning corporate governance framework,
has always been essential in navigating the Company towards the fulfilment of its strategic goals, enhancing
transparency, and ensuring sustainable success for the long haul.
The Group’s Board of Directors hereby states that, in its opinion, and based on the Globaltrans’ corporate
documents and policies, the corporate governance framework of Globaltrans is effective in achieving the outcome
required by Astana Financial Services Authority (AIFC) rules and regulations and promoting compliance with the
Corporate Governance Principles set out in the AIFC Market Rules.
CORPORATE GOVERNANCE POLICIES
Globaltrans' corporate governance policies and practices are designed to ensure that the Group upholds its
responsibilities to shareholders and other stakeholders. The Group promotes and applies this principle across all
levels of its organisation, supported by clear and effective governance structures.
Globaltrans had followed the UK Corporate Governance Code until the voluntary delisting of GDRs from the London
Stock Exchange. Since 22 October 2024, when the Astana International Exchange Limited (AIX) became the sole
trading platform for the Group’s GDRs, Globaltrans' Board of Directors has adopted and updated the Company's
Code of Corporate Governance Best Practice Standards in accordance with the Corporate Governance Principles
set out in the AIFC Market Rules, guaranteeing that the interests of all shareholders are given due consideration.
Globaltrans' Board of Directors is of the opinion that the Company’s corporate governance framework is effective
in achieving compliance with the outcomes intended by the Corporate Governance Principles and contribute to
prudent and sound management of the Company.
For the Group's corporate governance documents and policies, please visit the Company’s corporate website at:
https://www.globaltrans.com/governance/corporate-documents
Globaltrans Investment PLC
Annual Report and Accounts for the year ended 31 December 2024 13
BOARD OF DIRECTORS (effective from 20 March 2024 to 21 May 2025)
The composition of the Board of Directors presented below was approved by shareholders at the Extraordinary
General Meeting held on 4 April 2024.
The Board of Directors comprised 13 members, including:
•
5 Executive Directors
•
3 Independent Non-Executive Directors
•
5 Non-executive Directors
Further details are available on page 1 of the Consolidated Management Report and Consolidated Financial
Statements for the year ended 31 December 2024, which form part of this Annual Report.
BOARD OF DIRECTORS (effective from 21 May 2025)
The composition of the Board of Directors presented below was approved by shareholders at the Annual General
Meeting held on 21 May 2025.
The Board of Directors comprises 5 members, including:
•
1 Executive Director
•
4 Non-executive Directors
The Chairman of the Board is Georgy Panfilov.
SENIOR MANAGEMENT TEAM
Anton Gazizov is the Managing Director of the Company.
Globaltrans Investment PLC
Annual Report and Accounts for the year ended 31 December 2024 14
BOARD’S RESPONSIBILITIES AND ACTIVITIES
The governance structure of Globaltrans establishes a clear and well-defined division of roles and responsibilities
between the Board of Directors and the senior management team, ensuring robust oversight and operational
efficiency. The Board is responsible for strategic performance of the Group, while the Company’s senior
management is in charge of day-to-day business activities and implementation of the Board-approved strategic
decisions.
Globaltrans' Board of Directors is accountable to the Company's shareholders for standards of governance across
the Group's activities. The Board is committed to providing effective, transparent and ethical oversight of the Group
so that it can take decisions which it believes benefit all its stakeholders and communities and create value for the
Group.
Responsibilities of the members of the Board of Directors:
•
Providing leadership, setting the overall strategy and ensuring that the necessary components are in place
for the Group to meet its objectives;
•
Setting Group values and standards, and ensuring that obligations to all stakeholders are understood and
met;
•
Monitoring and reviewing the performance of the Group and its management;
•
Maintaining an effective system of internal control and risk management to safeguard shareholders' rights
and interests and the Group's assets;
•
Ensuring an effective governance framework and compliance with relevant regulations;
•
Assessing from time to time whether the Independent Non-executive Directors continue to demonstrate
independence.
Responsibilities of the Chairman of the Board of Directors:
•
Organising the work of the Board of Directors, convening and chairing its meetings, and ensuring the
maintenance of minutes at all meetings of the Board of Directors;
•
Overseeing the preparation of the agendas of the meetings of the Board of Directors;
•
Organising the proceedings at the meetings of the Board of Directors so that discussion of the matters on
the agenda thereof be open, comprehensive, concise, representative of diverse points of view, and
conducive to the approval of specific agreed resolutions;
•
Facilitating the development of efficient resolutions on the matters on the agenda and, if necessary,
encouraging free discussion of the relevant issues to ensure meetings of the Board of Directors occur in а
supportive and constructive atmosphere;
•
Providing all Directors with accurate, timely and clear information;
•
Initiating development of draft resolutions on the matters under consideration;
•
Ensuring effective communication with shareholders;
•
Ensuring that the Directors continually update their skills, knowledge, and familiarity with the Company
required to fulfil their roles on the Board of Directors and its Committees;
•
Ensuring that new Directors receive а full, formal and tailored induction on joining the Board of Directors
and or its Committees;
•
Conducting meetings with the Non-Executive Directors in the absence of executives;
•
Maintaining prompt communication with other governing bodies and officers of the Company with а view
to not only obtain complete and reliable information as may be required for the purposes of informed
decision-making by the members of the Board of Directors, but also to ensure efficient interaction of such
governing bodies and officers among themselves and with third parties;
Globaltrans Investment PLC
Annual Report and Accounts for the year ended 31 December 2024 15
•
Facilitating efficient operation of the Committees of the Board of Directors, initiating nomination of the
members of the Board of Directors to various Committees based on their professional and personal
qualities and subject to the proposals of the members of the Board of Directors as to the creation of such
Committees, provided that, if necessary, the matters examined by such Committees are submitted for
consideration by the plenary meetings of the Board of Directors;
•
Ensuring that the performance of individuals, the Board of Directors as а whole, and its Committees is
evaluated at least once а year.
Membership
The Nomination Committee leads the process for Board appointments, and members of the Board are elected at
the General Meeting. Board members are nominated based on their industry knowledge, expertise and experience
in areas such as accounting, finance, business management and strategic planning. In selecting candidates for the
Board, the Group seeks to create an effective and complementary Board whose capability is appropriate for the
business’ scale, complexity and strategic positioning. Non-executive Directors are drawn from a wide range of
industries and backgrounds including infrastructure, transport, audit and financial services, and have appropriate
experience working with and for large international organisations. In addition, the Group selects Independent
Directors intending to ensure that the views of free-float shareholders are represented and that the interests of all
stakeholders are taken into account.
As of 31 December 2024, the Board comprised 13 members, eight of whom were Non-executive Directors. Three
of the Non-executive Directors were independent. As of 10 December 2024, members of the Board of Directors
held 57,272,701 shares and GDRs in Globaltrans.
On 21 May 2025, shareholders at the Annual General Meeting approved the new composition of the Board (as
presented on page 13 of this Annual Report). As of the date of this Annual Report, the new Board of Directors has
not established any committees.
Induction and professional development
The Chairman is responsible for ensuring that the induction process for new directors joining the Board is well
constructed and timely. Directors have full access to a regular supply of financial, operational, strategic and
regulatory information to help them discharge their responsibilities.
Performance evaluation
The Board's performance is assessed annually, and the evaluation process is conducted through a combination of
self-assessment and annual appraisals. The Chairman's performance is evaluated by the Non-executive Directors.
Globaltrans Investment PLC
Annual Report and Accounts for the year ended 31 December 2024 16
Activities
The Board meets at least four times a year. Fixed meetings are scheduled at the end of each quarter, while ad-
hoc meetings are called whenever the Board needs to discuss pressing matters in between the scheduled
meetings.
The Board met 18 times during 2024 and considered 110 items including the following:
Regular meetings
•
Review of the Group's financial and operational performance;
•
Approval of the annual budget;
•
Review of the Group's performance against the approved annual budget;
•
Approval of the annual and semi-annual financial statements and the respective regulatory
announcements;
•
Review of the results of risk assessments;
•
Approval of the Annual General Meeting agenda, including Board reappointments;
•
Approval of appointments to the Board of Directors of subsidiaries.
Ad-hoc meetings
•
Approval of material borrowings and pledges by the Company and its subsidiaries;
•
Approval of the contracts of the Company;
•
Approval of the remuneration of key management and executive directors;
•
Appointment of the key management of the Group;
•
Approval of dividend distribution by subsidiaries;
•
Review and consideration of various business development opportunities and major transactions;
•
Approval of related party transactions of subsidiaries.
The Board and the Board Committees meetings in 2024 and the attendance of Directors from 1 January 2024 until
20 March 2024 can be found on page 9 of the Consolidated Management Report and Consolidated Financial
Statements for the year ended 31 December 2024 which form part of this Annual Report.
The Board and the Board Committees meetings in 2024 and the attendance of Directors from 20 March 2024
until 31 December 2024 can be found page 9 of the Consolidated Management Report and Consolidated
Financial Statements for the year ended 31 December 2024 which form part of this Annual Report.
Globaltrans Investment PLC
Annual Report and Accounts for the year ended 31 December 2024 17
Remuneration of the Board and management
Directors serve on the Board under letters of appointment which specify their terms of appointment and
remuneration. Appointments are effective until the following Annual General Meeting. Remuneration levels for Non-
executive Directors reflect their expertise, time commitment, responsibilities and membership of any Board
Committees. Directors are also reimbursed for expenses associated with the discharge of their duties.
Non-Executive Directors are not eligible for bonuses, retirement benefits or participation in any incentive plans
operated by the Group. The Group's shareholders approved the remuneration of Board members for 2024 at the
Extraordinary General Meeting held on 4 April 2024.
For further information on the remuneration paid to the Board and key executives in 2024, please see Note 35a of
the Group's Consolidated Management Report and Consolidated Financial Statements enclosed to this Annual
Report.
The overall remuneration policy and strategy are determined by the General Meeting of Shareholders that may
from time to time resolve that the members of the Board of Directors shall be paid remuneration for the work
performed by them during their terms in office and/or reimbursed for the expenses associated with discharge of
their duties. The amounts of such remuneration and reimbursement are established by resolution of the General
Meeting of Shareholders.
The remuneration for any director (both executive and non-executive) is based on individual performance and is
paid on the basis of resolution of the General Meeting of Shareholders out of the annual financial results of the
Company. For Non-Executive Directors, remuneration levels reflect the time commitment and responsibilities
associated with their roles. No Director is involved in deciding his or her own remuneration. Non-Executive Directors
do not receive remuneration in form of share options.
The performance of the Board of Directors, its Committees and individual Directors is subject to annual evaluation.
The evaluation of the Board of Directors and individual Directors' performance is made through self-assessment
and cross-assessment. The Non-Executive Directors, led by the Senior Independent Director, are responsible for
performance evaluation of the Chairman of the Board of Directors.
Globaltrans Investment PLC
Annual Report and Accounts for the year ended 31 December 2024 18
BOARD COMMITTEES
Globaltrans has four principal committees that advise the Board: the Audit Committee, the Nomination Committee,
the Remuneration Committee and the ESG Committee.
These committees oversee, review and monitor key areas on behalf of the Board and while they have the authority
to make recommendations, ultimate decision-making responsibility for all matters lies with the full Board. Each
committee has written terms of reference, approved by the Board, summarising its role and responsibilities.
On 21 May 2025, shareholders at the Annual General Meeting approved the new composition of the Board (as
presented on page 13 of this Annual Report). As of the date of this Annual Report, the new Board of Directors has
not established any committees.
Audit Committee
The role of the Audit Committee is to ensure the integrity of the Group's published financial information and the
effectiveness of the internal audit function and the systems for internal control and risk management, as well as
the external audit process.
You can find more information on page 9 of the Consolidated Management Report and Consolidated Financial
Statements for the year ended 31 December 2024 which form part of this Annual Report.
Nomination Committee
The role of the Nomination Committee is to monitor and review the size, composition and balance of the Board
and its committees to ensure Globaltrans has the right structure, skills and diversity for the effective management
of the Group.
You can find more information on page 10 of the Consolidated Management Report and Consolidated Financial
Statements for the year ended 31 December 2024 which form part of this Annual Report.
Remuneration Committee
The role of the Remuneration Committee is to ensure that executive remuneration aligns appropriately with the
business strategy and that the remuneration policy remains appropriate.
You can find more information on page 10 of the Consolidated Management Report and Consolidated Financial
Statements for the year ended 31 December 2024 which form part of this Annual Report.
ESG Committee
The role of the ESG Committee is to monitor the development of the Group's sustainability strategy, review and
recommend ESG disclosures for Board approval and approve the Group's sustainability reports.
You can find more information on page 10 of the Consolidated Management Report and Consolidated Financial
Statements for the year ended 31 December 2024 which form part of this Annual Report.
SHAREHOLDER ENGAGEMENT
The Board places great importance on its relationships with the Company's shareholders.
The Board engages with shareholders in a variety of ways. Management undertakes a regular schedule of
meetings, presentations, conference calls and webcasts with investors and sell-side analysts. The Group has a
dedicated Investor Relations team that acts as the primary point of contact with the investor community.
Globaltrans Investment PLC
Annual Report and Accounts for the year ended 31 December 2024 19
INTERNAL CONTROL AND AUDIT
The Board is primarily responsible for establishing a framework of prudent and effective internal controls and risk
management in relation to the financial reporting process for the undertakings included in the Group consolidation
that enables risks to be assessed and managed and financial reports to be prepared. The Audit Committee reviews
and assesses the Group's internal control and risk management processes. The system of controls is designed to
manage rather than eliminate the risks relevant to the Group's operations and, therefore, can only provide
reasonable, and not absolute, assurance against material errors, losses, fraud or breaches of laws and regulations.
At Globaltrans, the body responsible for internal audit is the Internal Audit Service (“IAS”).
It tests the Group's systems of risk management, internal control and corporate governance to obtain reasonable
assurance that:
•
The risk management system functions efficiently;
•
Material financial, management and operating information is accurate, reliable and up-to-date;
•
The actions of employees and management bodies comply with the Group's policies, standards and
procedures and applicable laws;
•
Resources are procured reasonably and used efficiently, and their safekeeping is fully guaranteed;
•
Group companies conduct their business in compliance with applicable laws.
Every year, the Audit Committee approves an internal audit plan, which is developed by identifying the audit
universe, performing a risk analysis and obtaining input from management relative to risks, controls and
governance processes. The internal auditor regularly reports to the Audit Committee on the progress of planned
audits. If any material internal control deficiencies are identified, they are immediately communicated to the Audit
Committee and consequently to the Board.
EXTERNAL AUDITOR
The Audit Committee manages the relationship with the external auditor on behalf of the Board. Each year it
considers the reappointment of the external auditor, reviews requirements on the rotation of the audit partner and
the audit firm when applicable, as well as its remuneration and other terms of engagement, and makes a
recommendation to the Board. Shareholders are then asked to approve the appointment at the Annual General
Meeting. The Group has a formal policy for assessing the independence and objectivity of the external auditor. It
regulates the terms of appointment of the external auditor and the nature of audit and permitted non-audit services
provided to the Group.
External auditors periodically (at least annually) provide written confirmation to the Audit Committee that, in their
professional judgement, they are independent of the Group. The Committee is satisfied that the independence and
objectivity of the external auditors is not impaired and that the external audit process remains effective.
The Audit Committee recommended the appointment of RAI LLP as the Group's external auditor in respect of the
audit of the financial year ending 2024. The appointment was approved by the shareholders at the Annual General
Meeting on 29 April 2024. On 21 May 2025, shareholders at the Annual General Meeting approved the
reappointment of RAI LLP as the Company’s external auditor to audit the financial statements for the financial year
ending 31 December 2025.
Globaltrans Investment PLC
Annual Report and Accounts for the year ended 31 December 2024 20
SHARE CAPITAL
Globaltrans was formed in 2004. The Group's public history commenced with its Initial Public Offering in 2008.
Currently Globaltrans' Global Depositary Receipts (GDRs) are traded on the Astana International Exchange Limited
(AIX).
Effective from 17 April 2025, the aggregate issued and outstanding share capital of the Company comprises
203,064,235 ordinary shares with a nominal value of USD 0.10 each. This includes 24,745,976 ordinary shares
treated as treasury shares underlying Global Depositary Receipts (ISIN US37949E2046), which are non-voting
and non-eligible for dividend distribution.
A certain portion of share capital of the Company is held in the form of Global Depositary Receipts (GDRs). The
GDRs represent one ordinary share each. Citibank N.A. is the depositary bank for the GDR programme of
Globaltrans.
SHAREHOLDER STRUCTURE
Based on the Company’s register of shareholders as of 21 May 2025, the following shareholders hold more than
5% of the total voting shares in the Company:
Name
%
NATIONAL CITY NOMINEES LIMITED
(acts in its capacity of custodian that issued GDRs)
20.60
AQNIET HOLDING GROUP LTD
14.8
GTI FINANCE LLC
13.88
MARIGOLD INVESTMENTS LTD
11.54
ONYX INVESTMENTS LTD DMCC
11.54
STOCK MARKET JSC
(acts in its capacity of the nominee holder in the interest of
the member: KSP Capital Asset Management Limited
Liability Company (Unified State Registration Number
1077759966756) being the trust management company
(Д.У.) of the Closed-End Unit Investment Combined Fund
"Investtrans" (КСП Капитал УА ООО Д.У. ЗПИФ
комбинированный «Инвесттранс») (trust management
rules No. 6723-СД, number assignment date 2 December
2024, as amended)
10.87
LITTEN INVESTMENTS LTD DMCC
5.08
CORPORATE STRUCTURE
Globaltrans Investment PLC is registered in the Abu Dhabi Global Market and has two non-operating 100%
subsidiaries as at the date of publication of this Annual Report:
•
LLC Ukrainian New Forwarding Company (Ukraine).
•
GLTR Cyprus Ltd (Cyprus).
Globaltrans Investment PLC
Annual Report and Accounts for the year ended 31 December 2024 21
DEFINITIONS
Terms that require definitions are marked with capital letters in this Annual Report and their definitions are
provided below in alphabetical order:
Adjusted EBITDA (a non-IFRS financial measure) represents EBITDA excluding “Net foreign exchange
transaction gains/(losses) on financing activities”, “Other gains/(losses) - net”, “Net gain/(loss) on sale of property,
plant
and
equipment”,
“Impairment/(reversal
of
impairment)
of
property,
plant
and
equipment”,
“Impairment/(reversal of impairment) of intangible assets”, “Loss on derecognition arising on capital repairs” and
“Profit from sale of subsidiary”. EBITDA (a non-IFRS financial measure) represents “Profit for the period” before
“Income tax expense”, “Finance costs - net” (excluding “Net foreign exchange transaction gains/(losses) on
financing activities”), “Depreciation of property, plant and equipment”, “Amortisation of intangible assets” and
“Depreciation of right-of-use assets”.
Adjusted Revenue (a non-IFRS financial measure) is calculated as “Total revenue” less the following “pass
through” items “Infrastructure and locomotive tariffs: loaded trips” and “Services provided by other transportation
organisations”.
Empty Run or Empty Runs means the movement of railcars without cargo for the whole or a substantial part of
the journey.
Empty Run Costs (a non-IFRS financial measure meaning costs payable to the rail infrastructure provider for
forwarding empty railcars) is derived from management accounts and presented as part of the “Infrastructure and
locomotive tariffs: empty run trips and other tariffs” component of “Cost of sales” reported under EU IFRS. Empty
Run Costs do not include costs of relocation of rolling stock to and from maintenance, purchased rolling stock in
transition to its first place of commercial utilisation, rolling stock leased in or leased out and Engaged Fleet.
Empty Run Ratio is calculated as the total of empty trips in kilometres by respective rolling stock type divided by
total loaded trips in kilometres of such rolling stock type. Empty trips are only applicable to rolling stock operated
(not including rolling stock in maintenance, purchased rolling stock in transition to its first place of commercial
utilisation, rolling stock leased out and Engaged Fleet).
Engaged Fleet is defined as rolling stock subcontracted or otherwise engaged from a third-party rail operator for
a loaded trip from the point of origination to the cargo’s destination, at which point the railcar is then released to
such third-party.
Free Cash Flow (a non-IFRS financial measure) is calculated as “Cash generated from operations” (after
“Changes in working capital”) less “Tax paid”, “Purchases of property, plant and equipment” (including
maintenance CAPEX), “Purchases of intangible assets”, “Acquisition of subsidiary undertakings - net of cash
acquired”, “Principal elements of lease payments for leases with financial institutions”, “Principal elements of lease
payments for other lease liabilities”, “Interest paid on other lease liabilities”, “Interest paid on bank borrowings and
non-convertible unsecured bonds”, “Interest paid on leases with financial institutions”, “Payment for acquisition of
non-controlling interest”, “Payment for rolling stock to disposed subsidiary” plus “Cash inflow from disposal of
subsidiary undertakings - net of cash disposed of”.
Freight Rail Turnover is a measure of freight carriage activity over a particular period calculated as the sum of
tonnage of each loaded trip multiplied by the distance of each loaded trip, expressed in tonnes-km. It includes
volumes transported by Engaged Fleet (unless otherwise stated).
Leased-in Fleet is defined as fleet leased in under operating leases, including railcars and locomotives.
Leased-out Fleet is defined as fleet leased out to third parties under operating leases.
Net Debt / Net Cash Position (a non-IFRS financial measure) is defined as the sum of total borrowings (including
interest accrued) less “Cash and cash equivalents”.
Owned Fleet is defined as the fleet owned and leased in under finance lease as at the end of the reporting period.
It includes railcars and locomotives, and excludes Engaged Fleet.
Globaltrans Investment PLC
Annual Report and Accounts for the year ended 31 December 2024 22
Total CAPEX adjusted for M&A (a non-IFRS financial measure) is calculated as a combination of Total CAPEX
(which includes maintenance CAPEX) and cash inflows and outflows from acquisitions and disposals. Total
CAPEX (a non-IFRS financial measure) is calculated on a cash basis as the sum of “Purchases of property, plant
and equipment” (which includes maintenance CAPEX), “Purchases of intangible assets” and “Principal elements
of lease payments for leases with financial institutions”.
Total Fleet is defined as the fleet owned and leased in under finance and operating leases as at the end of
reporting period. It includes railcars and locomotives, and excludes Engaged Fleet.
Total Operating Cash Costs (a non-IFRS financial measure) represent operating cost items payable in cash
and calculated as “Total cost of sales, selling and marketing costs and administrative expenses” less the “pass
through” items: “Infrastructure and locomotive tariffs: loaded trips” and “Services provided by other transportation
organisations” and non-cash items: “Depreciation of property, plant and equipment”, “Amortisation of intangible
assets”, “Depreciation of right-of-use assets”, “Loss on derecognition arising on capital repairs”, “Net impairment
gains/(losses) on trade and other receivables”, “Impairment/(reversal of impairment) of property, plant and
equipment” and “Net gain/(loss) on sale of property, plant and equipment”.
Transportation Volumes is a measure of freight carriage activity over a particular period, measuring weight of
cargo carried in tonnes. It includes volumes transported by Engaged Fleet (unless otherwise stated).
Globaltrans Investment PLC
Annual Report and Accounts for the year ended 31 December 2024 23
CONTACTS
GENERAL CONTACTS
Globaltrans Investment PLC
Legal/postal address: Unit 3, Floor 6, Al Sila Tower, Abu Dhabi Global Market Square,
Al Maryah Island, Abu Dhabi, UAE.
Phone: +971 2 877 4166
Email: adgm@globaltrans.com
Website: www.globaltrans.com
FOR INVESTORS AND SHAREHOLDERS
INVESTOR RELATIONS
Phone: +971 2 8776840
E-mail: irteam@globaltrans.com
DEPOSITARY BANK
Citibank, N.A.
Phone: +1 212 723 5435 / +44 207 500 2030
Email: citiadr@citi.com
Website: www.citi.com/adr
STOCK EXCHANGE
Astana International Exchange Limited
55/19 Mangilik El st., block C 3.4., Astana, Kazakhstan, Z05T3C4
Website: https://aix.kz/
AUDITORS
RAI LLP
Blue Sky Tower, 17th Floor, P.O. Box 94996, Abu Dhabi, UAE
Phone: +971 2 222 2236
FOR MEDIA
Phone: +971 2 877 4166
Email: media@globaltrans.com
Globaltrans Investment PLC
Annual Report and Accounts for the year ended 31 December 2024 24
CONSOLIDATED MANAGEMENT REPORT AND CONSOLIDATED
FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2024
Contents
Consolidated Management report, IFRS Accounting Standards Consolidated Financial
Statements for the year ended 31 December 2024 and Independent Auditor’s report
Consolidated Management Report ................................................................................................................. 1
Board of Directors and other officers ............................................................................................................ 1
Consolidated Management Report ................................................................................................................. 2
Directors’ responsibility .................................................................................................................................13
Independent Auditor’s report and IFRS Accounting Standards Consolidated financial statements for
the year ended 31 December 2024 ................................................................................................................14
Consolidated income statement ....................................................................................................................15
Consolidated statement of comprehensive income ....................................................................................16
Consolidated statement of financial position ...............................................................................................17
Consolidated statement of changes in equity ..............................................................................................18
Consolidated cash flow statement ................................................................................................................20
Notes to Consolidated Financial Statements
1. General information ..................................................................................................................................... 21
2. Basis of preparation .................................................................................................................................... 21
3. Adoption of new or revised standards and interpretations ........................................................................... 21
4. Summary of material accounting policies .................................................................................................... 22
5. Financial risk management ......................................................................................................................... 34
6. New accounting pronouncements ............................................................................................................... 40
7. Critical accounting estimates and judgements ............................................................................................ 41
8. Segmental information ................................................................................................................................ 42
9. Non-IFRS financial information.................................................................................................................... 44
10. Revenue ...................................................................................................................................................... 47
11. Expenses by nature ..................................................................................................................................... 48
12. Other (losses)/gains – net ........................................................................................................................... 49
13. Employee benefit expense .......................................................................................................................... 49
14. Finance income/(costs) - net ....................................................................................................................... 49
15. Income tax expense .................................................................................................................................... 50
16. Net foreign exchange (losses) / gains ......................................................................................................... 51
17. Property, plant and equipment .................................................................................................................... 51
18. Right-of-use assets ..................................................................................................................................... 53
19. Intangible assets ......................................................................................................................................... 54
20. Long term bank deposits ............................................................................................................................. 54
21. Principal subsidiaries ................................................................................................................................... 55
22. Financial assets........................................................................................................................................... 56
23. Other assets ................................................................................................................................................ 57
24. Inventories ................................................................................................................................................... 58
25. Cash and cash equivalents ......................................................................................................................... 58
26. Share capital, share premium and treasury shares ..................................................................................... 58
27. Dividends .................................................................................................................................................... 59
28. Borrowings .................................................................................................................................................. 59
29. Other lease liabilities ................................................................................................................................... 61
30. Deferred income tax .................................................................................................................................... 62
31. Trade and other payables ........................................................................................................................... 63
32. Earnings per share ...................................................................................................................................... 63
33. Contingencies.............................................................................................................................................. 63
34. Commitments .............................................................................................................................................. 65
35. Related party transactions ........................................................................................................................... 65
36. Business combinations ................................................................................................................................ 67
37. Events after the balance sheet date ............................................................................................................ 68
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 1
Consolidated Management Report
Board of Directors and other officers
Board of Directors as of 4 March 2025
Mr. Jaafar Borhan
Senior Independent Non-Executive Director
Appointed on 4 April 2024, (Senior Independent director
since 5 April 2024)
Chairman of Remuneration Committee
Chairman of Nomination Committee
Member of ESG Committee
Ms. Jouslin Khairallah
Independent Non-Executive Director
Appointed on 4 April 2024
Member of the Audit Committee
Member of Remuneration Committee
Member of Nomination Committee
Chairman of ESG Committee
Mr. Abdulla Belobaida
Independent Non-Executive Director
Appointed on 4 April 2024
Chairman of the Audit Committee
Mr. Abdultaiab Bahrainwala
Non-executive Director
Appointed on 4 April 2024
Ms. Albina Amangeldinova
Non-Executive Director
Appointed on 4 April 2024
Mr. Yerzhan Niyazaliyev
Chairman of the Board of Directors
Appointed on 4 April 2024
Executive Director
Mr. Kairat Itemgenov
Executive Director
Appointed on 4 April 2024
Mr. Anton Gazizov
Executive Director
Appointed on 4 April 2024
Mr. Alexander Storozhev
Executive Director
Appointed on 4 April 2024
Mr. Viacheslav Stanislavskiy
Executive Director
Appointed on 4 April 2024
Mr. Ruslan Izatov
Non-executive Director
Member of the Audit Committee
Appointed on 4 April 2024
Mr. Stefan Henrich
Non-executive Director
Appointed 26 February 2024
Mr. Yousef Abu Laban
Non-executive Director
Appointed 26 February 2024
Board support
The Company Secretary is available to advise all Directors to ensure compliance with the Board procedures. Also a
procedure is in place to enable Directors, if they so wish, to seek independent professional advice at the Company’s
expense.
Company Secretary
Mr. Aleksandr Lavrentjev
Registered office
Office Unit 3, Floor 6, Al Sila Tower
Abu Dhabi Global Market Square
Al Maryah Island, Abu Dhabi, UAE
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 2
Consolidated Management Report
The Board of Directors presents its report together with the audited consolidated financial statements for the year ended
31 December 2024. The Group’s financial statements have been prepared in accordance with IFRS Accounting
Standards®.
Principal activities
The principal activities of the Company (or Globaltrans) together with its subsidiaries (the Group), which are unchanged
from last year, are the provision of railway transportation services, using own and leased rolling stock and fleet engaged
from third party rail operators, as well as the operating lease of rolling stock.
Review of developments, position and performance of the Group’s business
Globaltrans reported solid financial results in 2024 despite challenging market environment and intensified cost
pressures. The freight rail transportation market was under pressure from operational challenges and a shrinking cargo
base, which had a negative impact on the Group’s operational performance. The robust financial profile was maintained.
IFRS financial information
Management considers amongst others the following IFRS measures in analysing the performance of the Group.
The Group’s Total revenue increased 4% year on year to RUB 108,727,032 thousand in 2024 (2023: RUB 104,748,023
thousand). Operating profit decreased 2% year on year to RUB 43,307,522 thousand in 2024 (2023: RUB 44,124,702
thousand). The profit for the year ended 31 December 2024 increased 2% year on year to RUB 39,446,610 thousand
(2023: RUB 38,617,605 thousand).
On 31 December 2024 the total assets of the Group were RUB 148,522,253 thousand (2023: RUB 130,385,766
thousand) and net assets were RUB 125,374,322 thousand (2023: RUB 99,853,356 thousand).
On 31 December 2024 the total debt of the Group was RUB 7,725,266 thousand which decreased by 50% as compared
to end of 2023 which amounted to RUB 15,377,104 thousand. Total cash and cash equivalents on 31 December 2024
increased by 8% and amounted to RUB 46,080,128 thousand (31 December 2023: 42,776,832 thousand).
Non-IFRS financial information
Amongst others, management analyses the following key non-IFRS measures. These non-IFRS measures are marked
with capital letters and their definitions are provided at the end of this section in alphabetical order.
Adjusted Revenue increased 6% year on year to RUB 92,654,077 thousand (2023: RUB 87,387,994 thousand). Total
Operating Cash Costs were up 11% year on year to RUB 38,792,408 thousand (2023: RUB 35,048,708 thousand).
Adjusted EBITDA increased 3% year on year to RUB 53,859,519 thousand (2023: RUB 52,289,028 thousand).
The Group had a strong balance sheet with Net Debt to Adjusted EBITDA decreasing to (0.71x) (2023 end:(0.52x)).
Net Debt reduced to RUB (38,354,862) thousand (2023 end: RUB (27,399,728) thousand).
Free Cash Flow of RUB 26,327,904 thousand increased 5% year on year (RUB 25,845,174 thousand for 2023).
Total CAPEX increased 29% year on year to RUB 10,618,969 thousand (2023: RUB 8,260,603 thousand) and Total
CAPEX adjusted for M&A increased 5% year on year to RUB 10,618,969 thousand (2023: RUB 10,091,996 thousand).
Operational information
In 2024, Freight Rail Turnover (including Engaged Fleet) decreased by 10% year on year and the Group’s
Transportation Volume (including Engaged Fleet) decreased by 10%. The Freight Rail Turnover (including Engaged
Fleet) amounted to 125.6 billion tonnes-km (2023: 138.8 billion tonnes-km) and the Group’s Transportation Volume
(including Engaged Fleet) was 70.4 million tonnes in 2024 (2023: 78.6 million tonnes).
The Empty Run Ratio for gondola cars improved to 31% (2023: 36%) whereas the Total Empty Run Ratio decreased
to 43% (2023: 45%). Total Fleet decreased by 3% to 63,584 units (2023 end: 65,644 units).
The financial position, development and performance of the Group as presented in the financial statements is
considered satisfactory.
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 3
Definitions to Non-IFRS financial measures
Adjusted EBITDA represents EBITDA excluding “Net foreign exchange transaction (losses)/gains from financing
activities”, “Share of loss of associate”, “Other gains - net”, “Net (gain)/loss on sale of property, plant and equipment”,
“Reversal of impairment/(impairment) of property, plant and equipment”, “Loss on derecognition arising on capital
repairs” and “Reversal of impairment of intangible assets”.
Adjusted EBITDA Margin is calculated as Adjusted EBITDA divided by Adjusted Revenue.
Adjusted Revenue is calculated as “Total revenue” less the following “pass through” items “Infrastructure and
locomotive tariffs: loaded trips” and “Services provided by other transportation organisations”.
EBITDA represents “Profit for the year” before “Income tax expense”, “Finance costs - net” (excluding “Net foreign
exchange transaction (losses)/gains on financing activities”), “Depreciation of property, plant and equipment”,
“Amortisation of intangible assets” and “Depreciation of right-of-use assets”.
Empty Run Ratio is calculated as the total of empty trips in kilometres by respective rolling stock type divided by total
loaded trips in kilometres of such rolling stock type. Empty trips are only applicable to rolling stock operated (not
including rolling stock in maintenance, purchased rolling stock in transition to its first place of commercial utilisation,
rolling stock leased out and Engaged Fleet).
Engaged Fleet is defined as rolling stock subcontracted or otherwise engaged from a third-party rail operator for a
loaded trip from the point of origination to the cargo’s destination, at which point the railcar is then released to such
third-party.
Free Cash Flow is calculated as “Cash generated from operations” (after “Changes in working capital”) less “Tax paid”,
“Purchases of property, plant and equipment”, “Purchases of intangible assets”, “Acquisition of subsidiary undertakings
- net of cash acquired”, “Acquisition of non-controlling interest”, “Interest paid on lease liabilities”, “Interest paid on bank
borrowings and non-convertible unsecured bonds” “Interest paid on leases with financial institutions”, “Principal
elements of lease payments for other lease liabilities”, “Payment for rolling stock to disposed subsidiary” plus “Cash
inflow from disposal of subsidiary undertakings - net of cash disposed of”.
Freight Rail Turnover is a measure of freight carriage activity over a particular period calculated as the sum of tonnage
of each loaded trip multiplied by the distance of each loaded trip, expressed in tonnes-km. It excludes volumes
transported by Engaged Fleet (unless otherwise stated).
Net Debt is defined as the sum of total borrowings (including interest accrued) less “Cash and cash equivalents”.
Owned Fleet is defined as the fleet owned and leased in under finance lease as at the end of the reporting period. It
includes railcars and locomotives, unless otherwise stated, and excludes Engaged Fleet.
Total CAPEX calculated on a cash basis as the sum of “Purchases of property, plant and equipment”, “Purchases of
intangible assets”.
Total CAPEX adjusted for M&A (a non-IFRS financial measure) is calculated as a combination of Total CAPEX (which
includes maintenance CAPEX) and cash inflows and outflows from acquisitions and disposals.
Total Empty Run Ratio is calculated as total kilometres travelled empty divided by the total kilometres travelled loaded
by the rolling stock fleet operated by Globaltrans (not including the relocation of rolling stock to and from maintenance,
purchased rolling stock in transition to its first place of commercial utilisation, or rolling stock leased out and Engaged
Fleet) in the relevant period.
Total Fleet is defined as the fleet owned and leased in under finance and operating leases as at the end of reporting
period. It includes railcars and locomotives, unless otherwise stated, and excludes Engaged Fleet.
Total Operating Cash Costs represent operating cost items payable in cash and calculated as “Total cost of sales,
selling and marketing costs and administrative expenses” less the “pass through” items: “Infrastructure and locomotive
tariffs: loaded trips” and “Services provided by other transportation organisations” and non-cash items: “Depreciation
of property, plant and equipment”, “Amortisation of intangible assets”, “Depreciation of right-of-use assets”, “Loss on
derecognition arising on capital repairs”, “Net impairment losses on trade and other receivables”, “Reversal of
impairment/(impairment) of property, plant and equipment” and “Net gain/(loss) on sale of property, plant and
equipment”.
Transportation Volume is a measure of freight carriage activity over a particular period, measuring weight of cargo
carried in tonnes. It excludes volumes transported by Engaged Fleet (unless otherwise stated).
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 4
Changes in group structure
During the year ended 31 December 2024 the Company acquired 100% subsidiary Adaptive Capital Ltd (Kazakhstan).
and the Group incorporated of GTI Finance OOO (Russia) as a 100% indirect subsidiary of the Company.
Strategic developments during the year ended 31 December 2024
During the year ended 31 December 2024 the Company finished redomiciliation to United Arab Emirates and the
Company’s Global Depositary Receipts (GDRs) were admitted to the Astana International Exchange (“AIX”) official list
of securities and trading on AIX. Also the Company completed delisting of GDRs from Moscow Exchange on 12
November 2024 and from London Stock Exchange International Main Market on 22 November 2024.
The Company’s indirect 100% subsidiary GTI Finance OOO (Russian Federation) organised a tender offer for purchase
of GDRs from the Moscow Exchange and acquired 13.88% of company’s share capital in form of GDR’s, and
Company’s direct 100% subsidiary Adaptive Capital Ltd. (Kazakhstan) organised a tender offer for purchase of GDRs
from Astana International Exchange (“AIX”) and as of 31 December 2024 acquired 0.77% of company’s GDR’s. The
buyback from AIX was completed in January 2025.
Environmental matters
Rail is one of the most environmentally friendly modes of transport. Nonetheless, any commercial activity has an
environmental impact and Globaltrans strives to minimise those from its operations where possible. To this end, the
Group ensures that its activities fully comply with local environmental regulations. It also aims to help business and
nature co-exist by focusing on applying modern technology in its operations and using natural resources rationally.
Human resources
Globaltrans considers the wellbeing of employees central to its success and strives to maintain exemplary working
standards, ensure job satisfaction and create opportunities for professional growth. The Group’s personnel policy
focuses on creating a positive atmosphere at all offices and facilities to maximise productivity. As part of this, it offers
medical insurance, support for education, opportunities to obtain additional qualifications and training, and financial aid
in particularly difficult times.
The Group’s future success will partly depend on its ability to continue to attract, retain and motivate key employees
and qualified personnel, in particular an experienced management team. Competition in Russia for such personnel with
relevant expertise is intense due to the small number of qualified individuals with suitable practical experience in the
rail industry.
Adequate remuneration packages, which are in line with or in excess of market levels, are offered to all employees and
key managers and remuneration is linked to the Group’s financial results. The Human Resource function regularly
monitors salary levels and other benefits offered by competitors to ensure that the Group’s remuneration packages are
adequate.
Principal risks and uncertainties
The Group faces a number of diverse potential and actual risks to its business. The Board has adopted a formal process
to identify, evaluate and manage principal risks and uncertainties faced by the Group.
To identify, evaluate and mitigate these, the Group has established an in-house system to monitor and control
uncertainties and threats throughout its activities. This is overseen by a dedicated Risk Management function, which
works directly with the Board of Directors in this area.
The escalation of the conflict in Ukraine and the associated sanctions imposed by the US, European Union and a
number of other countries on some of the biggest Russian industrial groups, as described in Note 33 to the consolidated
financial statements, may adversely affect the business environment and prospects of the Company and its subsidiaries
and create significant new risks, which did not exist as at the balance sheet date.
The Group has grouped the risks that it considers to be significant into key categories – strategic, operational,
compliance and financial – and they are presented below.
Strategic risks
The strategic risks faced by the Company and its subsidiaries, together referred to as “Group”, that pose risks that
influence the Group’s ability to achieve its strategy include the general economic situation and operating environment
in Russia, Kazakhstan and CIS countries in which the Group operates; the regulatory risk relating to the operation of
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 5
the Russian railway transportation market including railway tariff regulation and technical requirements for fleet
maintenance; the highly competitive Russian rail transportation market with unregulated operators’ services tariffs; the
significant concentration of the Group’s customer base; cost of borrowing and/or deterioration in market conditions with
potential impacts on the profitability and recoverability of investments; and reliance on State railway company for issuing
permits allowing the Group to operate locomotives.
The Group operates mainly in Russia, other emerging markets. Emerging markets, such as Russia and Kazakhstan,
are subject to greater risks than more developed markets, including significant economic, political, social, legal and
legislative uncertainties. Moreover, the Group’s business depends on the demand in the Russian freight rail
transportation market, which in turn depends on certain key commodity sectors and, accordingly, on economic
conditions in Russia, Europe and elsewhere. A decrease in production and demand for key commodities in Russia, or
in adjacent countries where the commodities of the Group’s key customers are shipped by rail, as a result of a
technological shift, economic downturn, political crisis or other event in Russia or another relevant country, negatively
impacts the Group’s business and growth prospects.
The management of the Group constantly monitors the developments in the operating environment and regulatory
regime of the railway transportation market in the countries in which the Group operates. The Group’s business model
is to maintain a balanced fleet between universal gondola cars, adaptable to the demand for transportation of various
bulk cargoes and rail tank cars. Further, the Group has long-term, established relationships with its key customers and
their affiliates and suppliers and in some cases, the Group becomes an integrated part of its customers’ operations.
Significant part of the Group’s Adjusted Revenue in 2024 was covered by long-term service contracts with several large
clients. Such contracts provide additional stability and greater certainty regarding transport volumes for the Group. In
addition, the Group’s marketing function regularly monitors competitors’ strategies, their use of technology, their price
strategies and industry trends.
The sanctions imposed on the Russian Central Bank, National Settlement Depositary (NSD) and number of commercial
banks, the restrictions for capital movements outside Russian Federation, the sanctions imposed by US, European
Union and number of other countries on the biggest Russian industrial groups adversely affects the business
environment and prospects of the Group and create significant risks. The restrictions on the export of certain types of
Russian commodities or change in directions of supply for Russian commodities may have a negative impact on the
freight rail transportation market and the Group’s business.
The situation is still evolving and further sanctions and limitations on business activity of companies operating in the
region, as well as consequences on the Russian economy in general, may arise but the full nature and possible effects
of these are unknown. It is not possible for management to predict with any degree of certainty the impact of this
uncertainty on the future operations of the Group and estimate the financial effect on the Group. Management is closely
monitoring the situation and is ready to act depending on the developments.
In addition, the appearance of new pandemics or other dangerous illnesses could seriously affect the global and local
business environment and lead to negative consequences for Group’s business.
Operational risks
The operational risks faced by the Group that could influence the Group’s operational efficiency include the physical
state of the Russian and CIS countries railway infrastructure which may negatively impact the condition of the Group’s
rolling stock, ability of relocation of rolling stock between different countries and the performance of the Group; the
impact of inflation in Russia on the Group’s costs with limited opportunities to increase tariffs to customers; the
competition for personnel with relevant expertise and experience in Russia and the impact on the Group’s ability to
continue to attract, retain and motivate key employees and qualified personnel; reliance on State railway company for
locomotive traction and infrastructure usage and the impact of this on the quality of the Group’s freight transportation
services and therefore customer satisfaction; IT availability and continuity considerations due to reliance on specialised
trail transport and logistics software for ensuring efficient and effective logistics, dispatching and rolling stock tracking
services; and risks of terrorist attacks, natural disasters or other catastrophic events beyond the Group’s control.
The Group is managing operational risk by ensuring that practically all of the Group’s rolling stock is insured against
damage. Further, the Group monitors its rolling stock through the Group’s dispatch centre on a 24/7 basis and plans
routes accordingly to minimise the risks of disruption. The Group monitors Russian Federal Antimonopoly Service
(FAS) initiatives with the aim of detecting possible changes in tariff-setting methodology and tries to reflect respective
changes in contracts with customers. Among the Group’s key objectives are to increase operational efficiency and to
focus on control and reduction of costs. The Group continuously monitors its costs to maintain efficiency.
The Human Resource function regularly monitors salary levels and other benefits offered by competitors to ensure that
the Group’s remuneration packages are adequate. Customer satisfaction is one of the key metrics that the Group’s
management monitors, with customer feedback being analysed and appropriate follow-up actions being taken. Due to
recent sanctions imposed by US, European Union and number of other countries, number of IT solutions will no longer
be maintained by US and European Union suppliers. Local IT specialists have introduced alternative solutions to
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 6
maintain the availability of IT services, continuity of business processes and ensure their recovery in case of disruption.
The IT function and Internal Audit function monitor all IT-related activities and performance for compliance with IT
policies and procedures.
Further the Group permanently monitors any disruptive events and applies a Business Continuity Policy to ensure the
safety of employees and human life; maintain continuity of time-critical services; minimise disruptions to clients and
partners; and minimise operational, financial and reputational impact.
Compliance risks
The Group is also subject to compliance risk, being the risks that influence the Group’s adherence to relevant laws and
regulations, including the regulations of the Astana International Exchange (“AIX”), where Company’s GDR are listed.
The Group is involved in legal actions from time to time. Some of it may have an adverse effect on the Group. The
ambiguity of the law in Russia and CIS countries creates regulatory uncertainty and might result in claims from different
government authorities. Local tax, currency, sanctions and customs legislation, especially in Russia, other emerging
markets, may be subject to varying interpretations, inconsistencies between federal laws, regional and local laws, rules
and regulations, frequent changes and a lack of judicial and administrative guidance on interpreting legislation.
The Group runs its operations in compliance with tax, currency, labour, sanctions, customs, antimonopoly and other
applicable legislation and constantly monitors any changes in the regulatory environment as well as compliance with
the terms of its agreements. Standard forms of agreements are used for transportation services, and various controls
are in place to ensure that the terms of agreements are adhered to. All contracts are subject to rigorous review by all
of the Group functions concerned and a formal approval process prior to execution. The Group has controls in place,
including highly qualified and experienced personnel, to monitor changes in legislation and determine the appropriate
action needed to minimise the risk of a challenge to such treatments by the authorities. For complex matters, the Group
attracts external consultants.
Financial risks
The Group’s activities exposed it to a variety of financial risks: market risk (including foreign exchange risk, cash flow
and fair value interest rate risk), credit risk and liquidity risk. The Group’s overall risk management program focuses on
the unpredictability of financial markets and seeks to minimise potential adverse effects on the Group’s financial results.
Foreign exchange risk
Foreign exchange risk arises when future commercial transactions or recognised assets or liabilities are denominated
in the currency different from the functional currency of each of the entities of the Group.
The Group is exposed to the effects of currency fluctuations between (i) the Russian Rouble and the US Dollars/AED
in relation to US Dollar/AED denominated balances held in the Company and between (ii) the Russian Rouble and the
Chinese Yuan in relation to Chinese Yuan denominated balances held in the Group.
The Group does not have formal arrangements for hedging foreign exchange risk.
Cash flow and fair value interest rate risk
The Group’s income and operating cash flows are exposed to changes in market interest rates. The Group obtains
borrowings at market interest rates and does not use any hedging instruments to manage interest rate risk.
Credit risk
Credit risk is the risk that one party to a financial instrument will cause a financial loss for the other party by failing to
meet an obligation. Credit risk arises from cash and cash equivalents, trade receivables, loans and other receivables
as well as finance lease receivables.
Liquidity risk
The Group has an excess of current assets over current liabilities of RUB 50,992,567 thousand as at 31 December
2024.
Management controls current liquidity based on expected cash flows and expected revenue receipts. In the long-term
perspective, the liquidity risk is determined by forecasting future cash flows at the moment of signing new credit, loan
or lease agreements and by budgeting procedures.
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 7
Further details on the Group’s exposure to financial risks are presented in Note 6 to the consolidated financial
statements.
Contingencies
The Group’s contingencies are disclosed in Note 33 to the consolidated financial statements.
Future developments
The Group’s strategic objective is to strengthen its position as a leading freight rail transportation group in the CIS
countries. The future development of the Group may be affected by the escalation of the conflict in Ukraine in the period
after the balance sheet date. It is not possible for the Board of Directors to predict with any degree of certainty the
impact of this uncertainty on the future operations of the Group and estimate the financial effect on the Group.
Results
The Group’s results for the year are set out on pages 18 and 19. On the date of this report, the Board of Directors,
having considered the profitability and liquidity position of the Group as well as all the risks and recent developments,
does not recommend the payment of a final dividend and the net profit for the year is retained.
Dividends
Pursuant to its Articles of Continuation, the Company may pay dividends out of its profits. To the extent that the
Company declares and pays dividends, owners of Global Depositary Receipts (GDRs) on the relevant record date will
be entitled to receive dividends payable in respect of Ordinary Shares underlying the GDRs, subject to the terms of the
Deposit Agreement. In case the Company declares the dividends, the Company expects such dividends to be declared
in Russian Roubles and pay such dividends in US Dollars. If dividends are not paid in US Dollars and if the conversion
from the currency of payment to US Dollars is possible for the Depositary, except as otherwise described under “Terms
and Conditions of the Global Depositary Receipts – Conversion of Foreign Currency”, they will be converted into US
Dollars by the Depositary and paid to holders of GDRs net of currency conversion expenses.
The Company is a holding company and thus its ability to pay dividends depends on the ability of its subsidiaries to
pay dividends to the Company in accordance with relevant legislation and contractual restrictions. The payment of such
dividends by its subsidiaries is contingent upon the sufficiency of their earnings, cash flows and distributable reserves
and limitations on capital movement, if applicable. The maximum dividend payable by the Company’s subsidiaries is
restricted to the total accumulated retained earnings of the relevant subsidiary, determined according to the law.
On the date of this report, the Board of Directors of the Company, having considered the profitability and liquidity
position of the Group as well as all the risks and recent developments, does not recommend a payment of final
dividends.
Share capital
As of 31 December 2024 the issued share capital of the Company comprised 178,318,259 ordinary shares with a par
value of US$0.10 per share (31 December 2023 comprised 178,318,259 ordinary shares with a par value of US$0.10
per share).
Treasury shares
At 31 December 2024 treasury shares include 26,126,074 GDRs of the Company (31 December 2023: NIL) owned by
wholly-owned subsidiaries of the Group. These GDRs carry voting rights in the same proportion as other ordinary
shares. Voting rights of GDRs of the Company held by the entities within the Group are effectively controlled by
management of the Group.
Significant direct or indirect holdings (including indirect shareholding though
structures or cross shareholdings)
The issued share capital of the Company consists of 178,318,259 ordinary shares with a nominal value of USD 0.10
each, a certain portion of which is held in the form of Global Depositary Receipts (GDRs). The GDRs represent one
ordinary share each and as at 31 December 2024 are listed on Astana International Exchange (AIX), under the ticker
GLTR. The Company’s depositary bank for the GDR programme is Citibank N.A. The Company’s indirect 100%
subsidiary GTI Finance OOO (Russian Federation) acquired 13.88% of company’s GDR’s, and Company’s direct 100%
subsidiary Adaptive Capital Ltd. as of 31 December 2024 acquired 0.77% of company’s GDR’s.
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 8
Research and development activities
The Group has not undertaken any research and development activities during the year ended 31 December 2024.
Events after the balance sheet date
The events after the balance sheet date are disclosed in Note 37 to the consolidated financial statements.
Branches
The Group operates through branches and representative offices, maintaining six branches and eight representative
offices during 2024 (six branches and eight representative offices during 2023).
Going concern
The Directors have access to all information necessary to exercise their duties. The Directors continue to adopt the
going concern basis in preparing the consolidated financial statements based on the fact that, after making enquiries
and following a review of the Group’s budget for 2025, including cash flows and borrowing facilities, and taking into
account the developments after the reporting date impacting the economic and business environment in which the
Group operates, as set out in Note 33 to the consolidated financial statements, the Directors consider that the Group
has adequate resources to continue in operation for the foreseeable future.
Corporate governance
Globaltrans’ Board of Directors adopted the Company’s Code of Corporate Governance (the “Code”), guaranteeing
that the interests of all shareholders are given due consideration. The Code is based on principles recommended by
the UK Corporate Governance Code (formerly the Combined Code) and respective ADGM Companies Regulations
2020.
Globaltrans’ corporate governance policies and practices are designed to ensure that the Group upholds its
responsibilities to shareholders. As such, all employees are required to comply with these guidelines and the Group’s
management team takes responsibility for ensuring that all departments adhere to these standards. These key
principles are promoted and applied across all levels of the Group in order to establish effective and transparent
corporate governance. In January 2010, the Board supplemented its Code of Corporate Governance with a corporate
policy on the treatment of the rights of its non-controlling shareholders; this aims to ensure fair treatment of the rights
of non-controlling shareholders of the Company.
Full details of our governance policies can be found at https://globaltrans.com/governance/corporate-documents.
The role of the Board of Directors
The Group is managed by the Board of Directors which is collectively responsible to the shareholders for the success
of the Group.
The Board sets the strategic objectives and ensures that the necessary resources are in place to enable these
objectives to be met. The Board is fully involved in decision making in the most important areas of business and
conducts regular reviews of the Group’s operational and financial performance. One of the Board’s key responsibilities
is to ensure that there is in place a system of prudent and effective risk controls that enable risks to be identified,
assessed and managed appropriately.
Members of the Board of Directors
As at 31 December 2024, the Board comprises of 13 members (2023: 14 members), 8 (2023: 10 members) of whom
are non-executive directors. Three (2023: three) of the non-executive directors are independent, they have no
relationship with the Company, its related companies or their officers that could interfere, or be reasonably perceived
to interfere, with the exercise of the director’s independent business judgment with a view to the best interests of the
Company, and they are able to exercise objective judgment on corporate affairs independently from management.
The members of the Board of Directors at the date of this report are shown on page 1, the members of the Board of
Directors as of 31 December 2024 are shown in the table below, all of them were members of the Board throughout
the year 2024.
There is no provision in the Company’s Articles of Continuance for retirement of Directors by rotation; however, in
accordance with the Terms of reference of the Board of Directors all board members are required to submit for re-
election at least once every three years. Should a non-executive Director serve any term beyond six years, his/her re-
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 9
election would be subject to particularly rigorous review. In practice, all current appointments are for one year and all
directors will stand for re-election at the forthcoming Annual General Meeting of shareholders of the Company.
The total gross remuneration of the members of the Board of Directors incurred by the Group in 2024 amounted to
RUB 1,644,712 thousand (2023: RUB 1,076,241 thousand) (Note 35).
Board performance
The Board held 18 meetings in 2024. The Directors’ attendance is presented in the table below.
From 1 January 2024 till 20 March 2024:
Eligible
Attended
Alexander Lemzakov
1
1
Andrey Ryan
1
1
Elia Nicolaou
1
1
Evgeniy Yakushkin
1
1
George Papaioannou
1
1
John Carrol Colley
1
1
Michael Thomaides
1
1
Mikhail Loganov
1
1
Stefan Henrich
1
1
Thomas Beute
1
1
Yousef Abu Laban
1
1
From 21 March 2024 till 31 December 2024:
Eligible
Attended
Stefan Henrich
17
17
Yousef Abu Laban
17
16
Abdulla Belobaida
17
17
Abdultaiyab Bahrainwala
17
17
Albina Amangeldinova
17
17
Alexander Storozhev
17
17
Anton Gazizov
17
16
Jaafar Borhan
17
17
Jouslin Khairallah
17
16
Kairat Itemgenov
17
14
Ruslan Izatov
17
17
Viacheslav Stanislavskiy
17
17
Yerzhan Niyazaliyev (Chairman)
17
17
The Board Committees
During 2024 the Board had four committees: the Audit Committee, the Nomination Committee, the Remuneration
Committee and the ESG Committee. A brief description of the terms of reference of the committees is set out below.
Audit Committee
The Audit Committee comprises of three Directors and meets at least four times each year. As of 31 December
2024 two members of the Audit Committee were independent and one member of the Audit Committee is non-
executive. As of 31 December 2024 the Audit Committee was chaired by Abdulla Belobaida and was also attended by
Jouslin Khairallah and Ruslan Izatov (from 27.08.2024). The Audit Committee is responsible for considering, among
other matters: the integrity of the Company’s financial statements, including its annual and interim accounts, and the
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 10
effectiveness of the Company’s internal controls and risk management systems; auditors’ reports and the terms of
appointment and remuneration of the auditor.
The Committee supervises, monitors and advises the Board on risk management and control systems and the
implementation of codes of conduct. In addition, the Audit Committee supervises the submission by the Company of
financial information and a number of other audit-related issues. The Audit Committee is also responsible for assessing
the efficiency of the performance of the Chairman of the Board.
The Audit Committee manages the relationship with the external auditor on behalf of the Board. It considers the
reappointment of the external auditor each year, as well as remuneration and other terms of engagement, and makes
a recommendation to the Board. Shareholders are asked to approve the reappointment of the auditor each year at the
Annual General Meeting.
The Internal Audit function is carried out internally by the Group’s Internal Audit Service (“IAS”). IAS is responsible for
testing the systems of risk management, internal control and corporate governance of the Group.
Nomination Committee
The Nomination Committee comprises of two Independent Directors and meets at least once a year. As of 31
December 2024 the Nomination Committee was chaired by Jaafar Borhan and Abdulla Belobaida was the other
member. The Committee’s remit is to prepare selection criteria and appointment procedures for members of the Board
and to review on a regular basis the structure, size and composition of the Board. In undertaking this role, the Committee
refers to the skills, knowledge and experience required of the Board, given the Company’s stage of development, and
makes recommendations to the Board as to any changes. The Committee also considers future appointments in respect
of the Board’s composition and makes recommendations regarding the membership of the Audit and Remuneration
Committees.
Remuneration Committee
The Remuneration Committee comprises of two Independent Directors and meets at least once a year. As of 31
December 2024 the Remuneration Committee was chaired by Jaafar Borhan and Abdulla Belobaida was the other
member. The Committee’s responsibility is the determination and review of, among other matters, the remuneration of
Executive Directors, and the review of the Company’s remuneration policies. The remuneration of Independent
Directors is a matter for the Chairman of the Board and the Executive Directors. No Director or manager may be
involved in any decisions as to his/her own remuneration.
ESG Committee
The Board of Directors established an ESG Committee to lead its thinking on ESG matters and ensure that ESG issues
are integrated into the Group’s long-term strategy. The ESG Committee also monitors the development of the Group’s
sustainability strategy, reviews and recommends ESG disclosures for Board approval and approves the Group’s
sustainability reports. The ESG Committee is comprised of two Board members: Jouslin Khairallah, Independent Non-
executive Director, who serves as the Chair, and Jaafar Borhan, Independent Non-executive Director. The ESG
Committee meets at least two times a year.
Board and Management Remuneration
Non-executive directors serve on the Board pursuant to the letters of appointment which are subject to approval by the
shareholders at the Annual General Meeting. Such letters of appointment specify the terms of appointment and the
remuneration of non-executive directors. Appointments are for one year.
Levels of remuneration for Non-Executive Directors reflect the time commitment, responsibilities of the role and
membership of the respective committees of the Board. Directors are also reimbursed for expenses associated with
discharge of their duties.
The shareholders of the Company approved the remuneration of the members of the Board of Directors at the Annual
General Meeting of shareholders held on 4 April 2024.
Refer to Note 35 of the consolidated financial statements for details of remuneration of directors and other key
management personnel.
Diversity policy
The Company does not have a formal Board diversity policy to aspects such as age, gender or educational and
professional backgrounds, but, following best practice, while making the new appointments and considering the current
composition of the Board of Directors, these aspects are taken into account.
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 11
As of the date of publication of these financial statements the Board has 2 female directors representing approximately
15% from the total number of directors. The average age of directors being 48 years. The Board members have the
following educational backgrounds: transportation industry, accounting, legal, economics and financial, banking sector
and legal, engineering and mechanics, international affairs and risk management. The Board has the necessary
balance of skills and expertise to run the Company and the Group.
Further details of the corporate governance regime of the Company can be found on the website:
https://globaltrans.com/governance/corporate-documents
Regulations with regards to the amendment of the article of association
The Articles of Continuance of the Company may be amended from time to time by special resolution at the General
Meeting of the Shareholders.
Company’s internal control and risk management systems in relation to the
financial reporting process
The Board of Directors is responsible for the preparation of the consolidated financial statements present fairly in
accordance with IFRS Accounting Standards, and for such internal control as the Board of Directors determines is
necessary to enable the preparation of consolidated financial statements that are free from material misstatement,
whether due to fraud or error.
In preparing the consolidated financial statements, the Board of Directors is responsible for assessing the Group’s
ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going
concern basis of accounting unless the Board of Directors either intends to liquidate the Group or to cease operations,
or has no realistic alternative but to do so.
Those charged with governance are responsible for overseeing the Group’s financial reporting process.
The Board is primarily responsible for establishing a framework of prudent and effective controls that enables risks to
be assessed and managed.
The Audit Committee assists the Board in this task by reviewing and assessing the Group’s internal control and risk
management processes in relation to Group’s financial reporting process.
The system of controls is designed to manage rather than eliminate the risks relevant to the Group’s operations and,
therefore, can only provide reasonable, and not absolute, assurance against material errors, losses, fraud or breaches
of laws and regulations.
At Globaltrans, the body responsible for internal audit is the Internal Audit Service (IAS). It tests the Group’s systems
of risk management, internal control and corporate governance to obtain a reasonable assurance that:
•
The risk management system functions efficiently;
•
Material financial, management and operating information is accurate, reliable and up-to-date;
•
The actions of employees and management bodies are in compliance with the Group’s policies, standards and
procedures and the applicable laws;
•
Resources are procured reasonably and used efficiently and their safekeeping is fully guaranteed; and
•
Group companies conduct their business in compliance with applicable laws.
Each year, the Audit Committee approves an internal audit plan, which is developed by identifying the audit universe,
performing a risk analysis and obtaining input from management relative to risks, controls and governance processes.
The internal auditor regularly reports to the Audit Committee on the progress of planned audits. If any material internal
control deficiencies are identified, they are communicated to the Audit Committee, and consequently to the Board, at
once.
The holders of special titles that provide special control rights and description of
such rights
The Company does not have any titles with special rights.
14
Independent Auditor’s report and IFRS®
Accounting Standards Consolidated
financial statements for the year ended 31
December 2024
Joint-Stock Company
“Technologies of Trust – Audit”
(“Technologies of Trust – Audit” JSC)
Ferro-Plaza Business Centre,
14/3 Krzhizhanovsky street, bldg. 5/1,
Akademichesky municipal district,
Moscow, Russian Federation, 117218
T: +7 495 967 60 00
www.tedo.ru
Independent Auditor’s Report
To the Shareholders of Globaltrans Investment PLC:
Opinion
In our opinion, the consolidated financial statements present fairly, in all material respects, the consolidated
financial position of Globaltrans Investment PLC and its subsidiaries (together – the “Group”) as at
31 December 2024, and the Group’s consolidated financial performance and consolidated cash flows for the year
then ended in accordance with IFRS Accounting Standards.
What we have audited
The Group’s consolidated financial statements comprise:
•
the consolidated income statement for the year ended 31 December 2024;
•
the consolidated statement of comprehensive income for the year ended 31 December 2024;
•
the consolidated statement of financial position as at 31 December 2024;
•
the consolidated statement of changes in equity for the year ended 31 December 2024;
•
the consolidated cash flow statement for the year ended 31 December 2024; and
•
the notes to the consolidated financial statements, which include material accounting policy information and
other explanatory information.
Basis for opinion
We conducted our audit in accordance with International Standards on Auditing (ISAs). Our responsibilities under
those standards are further described in the Auditor’s responsibilities for the audit of the consolidated financial
statements section of our report.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
Independence
We are independent of the Group in accordance with the International Code of Ethics for Professional Accountants
(including International Independence Standards) issued by the International Ethics Standards Board for
Accountants (IESBA Code) and the ethical requirements of the Auditor’s Professional Ethics Code and Auditor’s
Independence Rules that are relevant to our audit of the consolidated financial statements in the Russian
Federation. We have fulfilled our other ethical responsibilities in accordance with these requirements and the
IESBA Code.
Key audit matters
Key audit matters are those matters that, in our professional judgment, were of most significance in our audit of the
consolidated financial statements of the current period. These matters were addressed in the context of our audit of
the consolidated financial statements as a whole, and in forming our opinion thereon, and we do not provide a
separate opinion on these matters.
www.tedo.ru
2
Key audit matter
How our audit addressed the key audit matter
Revenue recognition period
Please see Note 4 to the consolidated financial
statements of the Group in relation to material
accounting policy information and Note 10 to the
consolidated financial statements of the Group in
relation to the total amount of revenue from operator’s
services.
The revenue of the Group for the year ended 31
December 2024 equals RUB 108 727 032 thousand,
including RUB 103 649 126 thousand of revenue
attributable to railway transportation – operator’s
services.
In practice the process of rendering of such services
takes time and there is a part of such performance
obligations of the Group which are not fulfilled as of
the reporting date.
In accordance with requirements of IFRS 15 “Revenue
from contracts with customers” the entity recognized
revenue over time if the customer simultaneously
receives and consumes the benefits provided by the
entity’s performance as the entity performs.
As of the reporting date the management of the Group
performs calculation of a percentage of completion for
unfinished railway transportations based on the
information available as of the date of authorization of
consolidated financial statements.
We paid special attention to the assessment of
revenue from operator’s services required for
recognition in the reporting period due to the fact that
the process of revenue recognition in the current
period is complex and requires detailed recalculations.
Our audit procedures for the verification of correctness of
recognition of revenue from operator’s services in the
period when such services were actually rendered
included:
•
Sample testing of primary documents and contracts
with customers to confirm the date of start and
fulfillment of transportation service.
•
Recalculation of the revenue for transportations not
fulfilled at the reporting date based on the data
available for the start date and finish date for the
transportation as well as our knowledge of the standard
period of transportation for specific directions and our
understanding of the business;
•
Analysis that adjustments made to the consolidated
financial statements of the Group in relation to the
unfinished transportations are attributable to the correct
period;
•
Receipt and analysis of written representations of the
management with respect to correctness of percentage
of completion calculation for unfinished railway
transportations as of the reporting date and
recalculation of respective revenue adjustments.
Other information
Management is responsible for the other information. The other information comprises Consolidated management
report, for the year ended 31 December 2024 (but does not include the consolidated financial statements and our
auditor’s report thereon), which we obtained prior to the date of this auditor’s report, and the complete Annual
report, which is expected to be made available to us after that date.
Our opinion on the consolidated financial statements does not cover the other information and we do not and will
not express any form of assurance conclusion thereon.
In connection with our audit of the consolidated financial statements, our responsibility is to read the other
information identified above and, in doing so, consider whether the other information is materially inconsistent with
the consolidated financial statements or our knowledge obtained in the audit, or otherwise appears to be materially
misstated.
If, based on the work we have performed on the other information that we obtained prior to the date of this auditor’s
report, we conclude that there is a material misstatement of this other information, we are required to report that
fact. We have nothing to report in this regard.
When we read the complete Annual report, if we conclude that there is a material misstatement therein, we are
required to communicate the matter to those charged with governance.
www.tedo.ru
3
Responsibilities of management and those charged with governance for the consolidated financial
statements
Management is responsible for the preparation and fair presentation of the consolidated financial statements in
accordance with IFRS Accounting Standards, and for such internal control as management determines is
necessary to enable the preparation of consolidated financial statements that are free from material misstatement,
whether due to fraud or error.
In preparing the consolidated financial statements, management is responsible for assessing the Group’s ability to
continue as a going concern, disclosing, as applicable, matters related to going concern and using the going
concern basis of accounting unless management either intends to liquidate the Group or to cease operations, or
has no realistic alternative but to do so.
Those charged with governance are responsible for overseeing the Group’s financial reporting process.
Auditor’s responsibilities for the audit of the consolidated financial statements
Our objectives are to obtain reasonable assurance about whether the consolidated financial statements as a whole
are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our
opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in
accordance with ISAs will always detect a material misstatement when it exists. Misstatements can arise from fraud
or error and are considered material if, individually or in the aggregate, they could reasonably be expected to
influence the economic decisions of users taken on the basis of these consolidated financial statements.
As part of an audit in accordance with ISAs, we exercise professional judgment and maintain professional
scepticism throughout the audit. We also:
•
Identify and assess the risks of material misstatement of the consolidated financial statements, whether due to
fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is
sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement
resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery,
intentional omissions, misrepresentations, or the override of internal control.
•
Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are
appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the
Group’s internal control.
•
Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and
related disclosures made by management.
•
Conclude on the appropriateness of management’s use of the going concern basis of accounting and, based
on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may
cast significant doubt on the Group’s ability to continue as a going concern. If we conclude that a material
uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the
consolidated financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions
are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or
conditions may cause the Group to cease to continue as a going concern.
•
Evaluate the overall presentation, structure and content of the consolidated financial statements, including the
disclosures, and whether the consolidated financial statements represent the underlying transactions and
events in a manner that achieves fair presentation.
•
Plan and perform the group audit to obtain sufficient appropriate audit evidence regarding the financial
information of the entities or business units within the group as a basis for forming an opinion on the group
financial statements. We are responsible for the direction, supervision and review of the audit work performed
for purposes of the group audit. We remain solely responsible for our audit opinion.
We communicate with those charged with governance regarding, among other matters, the planned scope and
timing of the audit and significant audit findings, including any significant deficiencies in internal control that we
identify during our audit.
www.tedo.ru
4
We also provide those charged with governance with a statement that we have complied with relevant ethical
requirements regarding independence, and to communicate with them all relationships and other matters that may
reasonably be thought to bear on our independence, and where applicable, actions taken to eliminate threats or
safeguards applied.
From the matters communicated with those charged with governance, we determine those matters that were of
most significance in the audit of the consolidated financial statements of the current period and are therefore the
key audit matters. We describe these matters in our auditor’s report unless law or regulation precludes public
disclosure about the matter or when, in extremely rare circumstances, we determine that a matter should not be
communicated in our report because the adverse consequences of doing so would reasonably be expected to
outweigh the public interest benefits of such communication.
The certified auditor responsible for the audit resulting in this independent auditor’s report is Zubenko Aleksei
Stanislavovich.
4 March 2025
Moscow, Russian Federation
Zubenko Aleksei Stanislavovich is authorised to sign on behalf of the General Director of Joint-Stock Company
“Technologies of Trust – Audit” (Principal Registration Number of the Record in the Register of Auditors and Audit
Organizations (PRNR) – 12006020338), certified auditor (PRNR – 21906105827).
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 15
15
Consolidated income statement
for the year ended 31 December 2024
Note
2024
2023
RUB’000
RUB’000
Revenue
10
108,727,032
104,748,023
Cost of sales
11
(58,050,822)
(57,899,197)
Gross profit
50,676,210
46,848,826
Selling and marketing costs
11
(286,802)
(346,867)
Administrative expenses
11
(6,914,062)
(5,494,083)
Profit from sale of subsidiary
12,36
-
3,400,047
Other losses – net
12
(167,824)
(283,221)
Operating profit
43,307,522
44,124,702
Finance income
14
10,381,193
2,173,246
Finance costs
14
(1,441,780)
(2,405,410)
Net foreign exchange transaction (losses)/gains on financing activities
14
(462,665)
3,194,185
Finance income – net
14
8,476,748
2,962,021
Profit before income tax
51,784,270
47,086,723
Income tax expense
15
(12,337,660)
(8,469,118)
Profit for the year
39,446,610
38,617,605
Profit attributable to:
Owners of the Company
39,446,610
38,620,269
Non-controlling interest
-
(2,664)
39,446,610
38,617,605
Weighted average number of ordinary shares outstanding (thousand)
32
172,893
178,318
Basic and diluted earnings per share for profit attributable to the equity holders
of the Company during the year (expressed in RUB per share)(1)
32
228.16
216.58
(1) Basic and diluted earnings per share is calculated by dividing the profit attributable to equity holders of the Company by the weighted
average number of ordinary shares in issue during the year, excluding treasury shares.
The notes on pages 21 to 68 are an integral part of these consolidated financial statements.
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 16
16
Consolidated statement of comprehensive income
for the year ended 31 December 2024
2024
2023
RUB’000
RUB’000
Profit for the year
39,446,610
38,617,605
Other comprehensive (loss)/income:
Items that may be reclassified subsequently to profit or loss
Currency translation differences
-
(3,332,461)
Currency translation differences attributable to non-controlling interest
-
3,473
Items that will not be reclassified to profit or loss
Other comprehensive loss for the year, net of tax
-
(3,328,988)
Total comprehensive income for the year
39,446,610
35,288,617
Total comprehensive income for the year attributable to:
- owners of the Company
39,446,610
35,287,808
- non-controlling interest
-
809
39,446,610
35,288,617
Items in the statement above are disclosed net of tax. There is no income tax relating to the components of other comprehensive income
above.
The notes on pages 21 to 68 are an integral part of these consolidated financial statements.
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 18
18
Consolidated statement of changes in equity
for the year ended 31 December 2024
Note
Share
capital
Share
premium
Treasury
shares
Common
control
transaction
reserve
Translation
reserve
Capital
contribution
Retained
earnings
Total
Non-
controlling
interest
Total
RUB’000
RUB’000
RUB’000
RUB’000
RUB’000
RUB’000
RUB’000
RUB’000
RUB’000
RUB’000
Balance at 1 January
2023
516,957 27,929,478
(145,993) (10,429,876)
3,332,461
2,694,851
43,579,823
67,477,701
(15,506)
67,462,195
Comprehensive
income
Profit/(loss) for the
year
-
-
-
-
-
-
38,620,269
38,620,269
(2,664)
38,617,605
Other comprehensive
(loss)/income
Currency translation
differences
-
-
-
- (3,332,461)
-
-
(3,332,461)
3,473
(3,328,988)
Total comprehensive
(loss)/income for 2023
-
-
-
- (3,332,461)
-
38,620,269
35,287,808
809
35,288,617
Transactions with
owners
Sale of Spacecom AS
21
-
-
-
1,971,542
-
-
(4,883,695)
(2,912,153)
14,697
(2,897,456)
Cancellation of
treasury shares
26
(1,222)
-
145,993
-
-
-
(144,771)
-
-
-
Total transactions
with owners
(1,222)
-
145,993
1,971,542
-
-
(5,028,466)
(2,912,153)
14,697
(2,897,456)
Balance at 31
December 2023
515,735 27,929,478
-
(8,458,334)
-
2,694,851
77,171,626
99,853,356
-
99,853,356
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 19
19
Consolidated statement of changes in equity
for the year ended 31 December 2024
Note
Share
capital
Share
premium
Treasury
shares
Common
control
transaction
reserve
Translation
reserve
Capital
contribution
Retained
earnings
Total
Non-
controlling
interest
Total
RUB’000
RUB’000
RUB’000
RUB’000
RUB’000
RUB’000
RUB’000
RUB’000
RUB’000
RUB’000
Balance at 1 January
2024
515,735 27,929,478
-
(8,458,334)
-
2,694,851
77,171,626
99,853,356
-
99,853,356
Comprehensive
income
Profit for the year
-
-
-
-
-
-
39,446,610
39,446,610
-
39,446,610
Other comprehensive
income
Currency translation
differences
-
-
-
-
-
-
-
-
-
-
Total comprehensive
income for 2024
-
-
-
-
-
-
39,446,610
39,446,610
-
39,446,610
Transactions with
owners
Purchasing of
treasury shares
26
-
- (13,925,644)
-
-
-
- (13,925,644)
- (13,925,644)
Total transactions
with owners
-
- (13,925,644)
-
-
-
- (13,925,644)
- (13,925,644)
Balance at 31
December 2024
515,735 27,929,478 (13,925,644)
(8,458,334)
-
2,694,851 116,618,236 125,374,322
- 125,374,322
The notes on pages 21 to 68 are an integral part of these consolidated financial statements.
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 20
Consolidated cash flow statement
for the year ended 31 December 2024
Note
2024
2023
RUB’000
RUB’000
Cash flows from operating activities
Profit before tax
51,784,270
47,086,723
Adjustments for:
Depreciation of property, plant and equipment
17
8,057,441
8,852,851
Depreciation of right-of-use assets
18
2,071,896
2,445,695
Amortisation of intangible assets
19
6,781
429
Gain on sale of property, plant and equipment
17
(59,816)
(280,219)
Loss on derecognition arising on capital repairs
17
315,163
284,448
(Reversal of impairment)/impairment of property, plant and equipment
11
(7,292)
(22,052)
Profit on sale of subsidiaries
12
-
(3,400,047)
Net impairment losses on trade and other receivables
11
2,150
50,258
Interest income
14
(10,381,143)
(2,173,246)
Interest expense and other finance costs
14
1,441,780
2,405,410
Net foreign exchange transaction losses/(gains) on financing activities
14
462,665
(3,194,185)
Other losses/(gains)
16,915
(14,145)
53,710,810
52,041,920
Changes in working capital:
Inventories
331,210
441,993
Trade receivables
(790,662)
(2,424,377)
Other assets
(1,545,987)
1,892,188
Other receivables
(152,605)
(259,777)
Trade and other payables
(284,291)
(2,488,682)
Contract liabilities
(15,401)
(9,695)
Cash generated from operations
51,253,074
49,193,570
Income tax paid
(10,589,794)
(8,267,084)
Net cash from operating activities
40,663,280
40,926,486
Cash flows from investing activities
Proceeds from sale of subsidiaries - net of cash disposed
21
-
4,771,748
Payment for rolling stock to disposed subsidiary
36
-
(6,603,141)
Long term bank placed deposits
(12,481,364)
-
Loans granted to third parties
-
(884,700)
Loan repayments received from related parties
-
400,000
Loans repayments received from third parties
-
884,700
Purchases of property, plant and equipment
(10,590,959)
(8,259,858)
Purchases of intangible assets
(28,010)
(745)
Proceeds from sale of property, plant and equipment
17
148,604
626,548
Interest received
10,381,143
2,160,854
Receipts from finance lease receivable - related parties
1,682
10,796
Receipts from finance lease receivable - third parties
104,150
42,891
Other
(9,916)
-
Net cash used in investing activities
(12,474,670)
(6,850,907)
Cash flows from financing activities
Proceeds from bank borrowings
28
-
8,800,000
Repayments of bank borrowings
28
(6,360,635)
(10,188,110)
Repayments of non-convertible unsecured bonds
28
(1,250,000)
(3,750,000)
Principal elements of lease payments for other lease liabilities
28
(2,241,558)
(2,477,780)
Interest paid on bank borrowings and non-convertible unsecured bonds
28
(1,136,050)
(2,051,443)
Interest paid on other lease liabilities
28
(338,799)
(460,093)
Dividends paid to non-controlling interests in subsidiaries
27
-
(334,268)
Purchase of treasury shares
26
(13,574,383)
-
Net cash used in financing activities
(24,901,425)
(10,461,694)
Net increase in cash and cash equivalents
3,287,185
23,613,885
Exchange (losses)/gains on cash and cash equivalents
16,111
3,110,602
Cash and cash equivalents at beginning of year
42,776,832
16,052,345
Cash and cash equivalents at end of year
25
46,080,128
42,776,832
Principal non-cash investing and financing transactions
The principal non-cash investing and financing transactions consist of finance leases with the Group acting as a lessor
(Note 23) and leases with the Group acting as the lessee (Notes 28 and 29).
The notes on pages 21 to 68 are an integral part of these consolidated financial statements.
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 21
Notes to the consolidated financial statements
1. General information
Country of incorporation and domiciliation
Globaltrans Investment PLC (“the Company”) was incorporated and domiciled in Cyprus as a limited liability
company in accordance with the provisions of the Cyprus Companies Law, Cap. 113 and converted into a public
company on 15 April 2008. Until 26 February 2024 the address of its registered office was 20 Omirou Street, CY-
3095 Limassol, Cyprus. On 26 February 2024 the Company has completed redomiciliation to Abu Dhabi Global
Market (ADGM), United Arab Emirates with the registered address: Office Unit 3, Floor 6, Al Sila Tower, Abu
Dhabi Global Market Square, Al Maryah Island, Abu Dhabi, United Arab Emirates.
The Group’s principal place of business is at Nizhnyayа Krasnoselskaya st. 39, bld. 1, Moscow, Russia.
Approval of the consolidated financial statements
These consolidated financial statements were authorised for issue by the Board of Directors on 4 March 2025.
Global Depositary Receipts and issued bonds
Global Depositary Receipts, each representing one ordinary share of the Company, are listed on Astana
International Exchange (AIX) from 22 October 2024. Until 22 November 2024 Global Depositary Receipts were
listed on the London Stock Exchange International Main Market and until 12 November 2024 were listed on the
Moscow Exchange.
Furthermore, Russian Rouble denominated bonds, issued by the Company’s subsidiary New Forwarding
Company, АО, for a total amount of RUB 10 billion, out of a RUB 100 billion registered program, were listed on
the Moscow Exchange, all outstanding bonds were redeemed in February 2024.
Principal activities
The principal activities of the Group, which are unchanged from last year, are the provision of railway
transportation services, using own and leased rolling stock and fleet engaged from third party rail operators, as
well as the operating lease of rolling stock.
2. Basis of preparation
The consolidated financial statements of Globaltrans Investment PLC have been prepared in accordance with
IFRS Accounting Standards as issued by the International Accounting Standards Board (IASB).
Until February 2024 the Group has applied International Reporting Standards issued by the International
Accounting Standards Board (“IASB”) that have been adopted by the EU through the endorsement procedure
established by the European Commission. Following the completion of redomiciliation to Abu Dhabi Global
Market, United Arab Emirates of the Company in February 2024, the Group started to apply the International
Financial Reporting Standards issued by IASB. There is no material impact on consolidated financial statements
of Globaltrans Investment PLC for the year ended 31 December 2024 from transition to International Accounting
Standards issued by the International Accounting Standards Board (“IASB”).
The financial statements have been prepared under the historical cost convention.
The preparation of financial statements in conformity with IFRS Accounting Standards requires the use of certain
critical accounting estimates and requires management to exercise its judgement in the process of applying the
Group’s accounting policies. The areas involving a higher degree of judgement or complexity, or areas where
assumptions and estimates are significant to the financial statements are disclosed in Note 7.
3. Adoption of new or revised standards and interpretations
The following amended standards became effective from 1 January 2024, but did not have a material impact for
the Group:
Classification of liabilities as current or non-current – Amendments to IAS 1 (issued on 23 January 2020 and
effective for annual periods beginning on or after 1 January 2022, the effective date subsequently modified to 1
January 2024 by the Amendments to IAS 1).
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 22
Classification of liabilities as current or non-current, deferral of effective date – Amendments to IAS 1 (issued on
15 July 2020 and effective for annual periods beginning on or after 1 January 2023, the effective date
subsequently modified to 1 January 2024 by the Amendments to IAS 1).
Non-current Liabilities with Covenants – Amendments to IAS 1 (issued on 31 October 2022 and effective for
annual periods beginning on or after 1 January 2024).
Lease Liability in a Sale and Leaseback Amendments to IFRS 16 – Amendments to IFRS 16 (issued on 22
September 2022 and effective for annual periods beginning on or after 1 January 2024).
Supplier Finance Arrangements – amendments to IAS 7 and IFRS 7 (issued on 25 May 2023 and effective for
annual periods beginning on or after 1 January 2024).
4. Summary of material accounting policies
The principal accounting policies applied in the preparation of these consolidated financial statements are set out
below. These policies have been consistently applied to all the years presented, unless otherwise stated.
Basis of consolidation
(a)
Subsidiaries
Subsidiaries are all entities (including structured entities) over which the Group has control. The Group controls
an entity when the Group is exposed to, or has the rights to, variable returns from its involvement with the entity
and has the ability to affect those returns through its power over the entity.
Subsidiaries are fully consolidated from the date on which control is transferred to the Group. They are de-
consolidated from the date that control ceases.
Business combinations involving entities under common control (ultimately controlled by the same party, before
and after the business combination, and that control is not transitory) are accounted using the predecessor basis
of accounting. Under this method, the financial statements of the acquiree are included in the consolidated
financial statements using pre-acquisition IFRS Accounting Standards carrying amounts using uniform accounting
policies, on the assumption that the Group was in existence for all periods presented. The excess of the cost of
acquisition over the carrying amount of the Group’s share of identifiable net assets is recorded in equity, as
“common control transaction reserve”.
The acquisition method of accounting is used for the acquisitions of subsidiaries that do not involve entities or
businesses under common control by the Group. The consideration transferred for the acquisition of a subsidiary
is the fair value of the assets transferred, equity instruments issued by the Group and liabilities incurred to the
former owners of the acquiree. The consideration transferred includes the fair value of any asset or liability
resulting from a contingent consideration arrangement. Acquisition-related costs are expensed as incurred.
Identifiable assets acquired and liabilities and contingent liabilities assumed in a business combination are
measured initially at their fair values at the acquisition date.
Goodwill is initially measured as the excess of the aggregate of the consideration transferred and the fair value of
non-controlling interest or the non-controlling interest’s proportionate share of the acquiree’s identifiable net
assets over the net identifiable assets acquired and liabilities assumed. If this consideration is lower than the fair
value of the net assets of the subsidiary acquired, the difference is recognised in the income statement.
Indemnification assets recognised at the acquisition date continue to be measured on the same basis as the
related indemnified item subject to collectability and contractual terms until they are collected, sold, cancelled or
expire in the post-combination period. The entity measures the indemnification asset on the same basis as the
related item, subject to any restrictions in the contractual terms such as a ceiling on the amount payable and any
adjustment for the seller creditworthiness. Measurement on the same basis includes recognising any gains or
losses appropriately.
On an acquisition by acquisition basis, the Group recognises any non-controlling interest in the acquiree either at
the fair value or at the non-controlling interest's proportionate share of the acquiree's identifiable net assets.
Any contingent consideration to be transferred by the Group is recognised at fair value at the acquisition date.
Subsequent changes to the fair value of the contingent consideration that is deemed to be an asset or liability is
recognised in accordance with IFRS 9 in the income statement. Contingent consideration that is classified as
equity is not re-measured, and its subsequent settlement is accounted for within equity.
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 23
Where necessary, adjustments are made to the financial statements of subsidiaries to bring their accounting
policies into compliance with those used by the Group.
All inter-company transactions, balances, income, expenses and unrealised gains and losses are eliminated on
consolidation. Profits and losses from intra-group transactions that are recognised in assets are also eliminated.
Unrealised losses are also eliminated but considered as an impairment indicator of the asset transferred.
(b)
Transactions with non-controlling interests
The Group treats transactions with non-controlling interests that do not result in loss of control as transactions
with equity owners in their capacity as equity owners of the Group. For purchases from non-controlling interests,
the difference between the fair value of any consideration paid and the relevant share acquired of the carrying
value of net assets of the subsidiary is recorded in equity attributable to owners of the Company. Gains or losses
on disposals to non-controlling interests are also recorded in equity attributable to the owners of the Company.
(c)
Disposal of subsidiaries
When the Group ceases to have control, any retained interest in the entity is re-measured to its fair value at the
date when control is lost, with the change in carrying amount recognised in the income statement. The fair value
is the initial carrying amount for the purposes of subsequently accounting for the retained interest as an associate,
joint venture or financial asset. In addition, any amounts previously recognised in other comprehensive income in
respect of that entity are accounted for as if the Group had directly disposed of the related assets and liabilities.
This may mean that amounts previously recognised in other comprehensive income are reclassified to profit or
loss.
Segment reporting
Operating segments are reported in a manner consistent with the internal reporting provided to the chief operating
decision-maker. The chief operating decision-maker, who is responsible for allocating resources and assessing
performance of the operating segments, has been identified as the Board of Directors of the Company that makes
strategic decisions.
Revenue recognition
Recognition and measurement. Revenue represents the amount of consideration to which the Group expects
to be entitled in exchange for transferring the promised goods or services to the customer, excluding amounts
collected on behalf of third parties (for example, value-added taxes). Revenue is recognised net off discounts and
estimates for rebates that are in accordance with the contracts entered into with the customers. The Group
includes in the transaction price an amount of variable consideration only to the extent that it is highly probable
that a significant reversal in the amount of cumulative revenue recognized will not occur when the uncertainty
associated with the variable consideration is subsequently resolved. Estimations for rebates and discounts are
based on the Group’s experience with similar contracts and forecasted sales to the customer.
The Group recognises revenue when the parties have approved the contract (in writing, orally or in accordance
with other customary business practices) and are committed to perform their respective obligations, the Group
can identify each party’s rights and the payment terms for the goods or services to be transferred, the contract
has commercial substance (i.e. the risk, timing or amount of the Group’s future cash flows is expected to change
as a result of the contract), it is probable that the Group will collect the consideration to which it will be entitled in
exchange for the goods or services that will be transferred to the customer and when specific criteria have been
met for each of the Group’s contracts with customers, as described below.
The Group bases its estimates on historical results, taking into consideration the type of customer, the type of
transaction and the specifics of each arrangement. In evaluating whether collectability of an amount of
consideration is probable, the Group considers only the customer’s ability and intention to pay that amount of
consideration when it is due.
Estimates of revenues, costs or extent of progress toward completion are revised if circumstances change. Any
resulting increases or decreases in estimates are reflected in the income statement in the period in which the
circumstances that give rise to the revision become known by management.
Revenues earned by the Group are recognised on the following bases:
Revenue from railway transportation services - using own, leased or engaged rolling stock
Operator’s services
The Group organises transportation services for clients using its own, leased or engaged rolling stock. There are
four types of operator’s services contracts:
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 24
•
The Group has a contractual relationship with the client and sets the terms of the transactions, such as
selling and payment terms, bears credit risk and controls the flow of receipts and payments. The
infrastructure tariff is borne by the Group. Total proceeds from clients are included in the Group’s revenue.
•
The Group has a contractual relationship with the client and sets the terms of the transactions, such as
selling and payment terms, bears credit risk and controls the flow of receipts and payments. The
infrastructure tariff is borne by the Group and recharged to the customer as a reimbursement but the Group
bears the variability in tariffs. Total proceeds from clients are included in the Group’s revenue.
•
The Group has a contractual relationship with the client and sets the terms of the transaction, excluding
the infrastructure tariff, such as selling and payment terms, bears credit risk and controls the flow of receipts
and payments. The infrastructure tariff is paid by the Group and recharged to the customer as a
reimbursement. Under these arrangements the Group recognises revenue net of infrastructure tariff.
•
The Group has a contractual relationship with the customer and sets the terms of the transaction, excluding
the infrastructure tariff, such as selling and payment terms, bears credit risk and controls the flow of receipts
and payments. The tariff is paid directly by the customer to providers of infrastructure tariff. Under these
arrangements the Group recognises revenue net of infrastructure tariff. Revenue for all of the above types
of contracts is recognised over time while the Group satisfies its performance obligation by transferring
control over the promised services to the customer in the accounting period in which the services are
rendered. In particular, revenue is recognised in accordance with the stage of completion of the
transaction, determined based on the actual trip days lapsed against the total estimated number of trip
days for the entire trip, since the customer receives and consumes the benefits from the services
simultaneously.
Customers are invoiced on a regular basis and in accordance with pre-agreed payment terms with credit periods
not exceeding one year. If the services rendered by the Group exceed the payment and the Group does not have
the unconditional right to consideration for the services rendered, a contract asset is recognised. If the payments
exceed the services rendered, a contract liability is recognised.
Identification of performance obligations. The Group assesses whether contracts that involve the provision of
a range of goods and/or services contain one or more performance obligations (that is, distinct promises to provide
a good or service) and allocates the transaction price to each performance obligation identified on the basis of its
stand-alone selling price. A good or service that is promised to a customer is distinct if the customer can benefit
from the good or service, either on its own or together with other resources that are readily available to the
customer (that is, the good or service is capable of being distinct) and the Group’s promise to transfer the good
or service to the customer is separately identifiable from other promises in the contract (that is, the promise to
transfer the good or service is distinct within the context of the contract).
In assessing whether two or more promises to transfer goods and/or services to a customer are separate
performance obligations, the Group considers, amongst others, whether it provides a significant service of
integrating the good or services with other goods or services promised in the contract into a bundle of goods or
services that represent the combined output or outputs for which the customer has contracted (that is, the Group
is using the goods or services as inputs to produce or deliver the combined output or outputs specified by the
customer), whether one or more of the goods and/or services significantly modifies or customises, or is
significantly modified or customised by, one or more of the other goods or services promised in the contract or
whether the good or services are highly interdependent or highly interrelated. The Group considers that all of the
above operator’s services contracts contain a single performance obligation.
Financing component. In determining the transaction price, the Group adjusts the promised amount of
consideration for the effects of the time value of money if the timing of payments agreed to (either explicitly or
implicitly) provides the customer or the Group with a significant benefit of financing. In these circumstances, the
contract contains a significant financing element.
The Group does not have any material contracts where the period between the transfer of the promised goods or
services to the customer and payment by the customer exceeds one year. Consequently, the Group elected to
use the practical expedient provided by IFRS 15 and does not adjust any of the transaction prices for the effect
of the financing component for the time value of money.
Contract assets and contract liabilities. In case the goods transferred or services rendered by the Group as of
the reporting date exceed the payments made by the customer as of that date and the Group does not have the
unconditional right to charge the client for the goods transferred or services rendered, a contract asset is
recognised. If the payments made by a customer exceed the goods transferred or services rendered under the
relevant contract, a contract liability is recognised. The Group recognises any unconditional rights to consideration
separately from contract assets as a trade receivable because only the passage of time is required before the
payment is due.
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 25
The Group assesses a contract asset for impairment in accordance with IFRS 9 using the simplified approach
permitted by IFRS 9 which requires lifetime expected credit losses to be recognised from initial recognition of the
contract asset. Impairments of contract assets are measured, presented and disclosed on the same basis as as
for trade receivables. Contract assets are written off when there is no reasonable expectation of recovery.
Indicators that there is no reasonable expectation of recovery include, amongst others, the failure of a debtor to
engage in a repayment plan with the Group and a failure to make contractual payments for a period of greater
than 180 days past due.
Costs to obtain or fulfil contracts with customers. To the extent that these are recoverable, incremental costs
incurred by the Group to obtain a contract and incremental costs incurred to fulfil a contract are capitalised and
amortised on a straight-line basis over the term of the specific contract – consistent with the pattern of the transfer
of the goods and/or services to which they relate to – and assessed for impairment. Incremental costs of obtaining
contracts are those costs that the Group incurs to obtain a contract with a customer that would not have been
incurred if the contract had not been obtained.
The Group does not have any contracts where the period of transfer of the goods and/or provision of the services
(that is, the period between the start and completion of a trip) exceeds one year. Accordingly, the Group
recognises the incremental costs of obtaining a contract as an expense when incurred since the amortization
period of the asset that it would otherwise have recognised is less than one year.
Foreign currency translation
(a)
Functional and presentation currency
Items included in the financial statements of each entity of the Group are measured using the currency of the
primary economic environment in which the entity operates (“the functional currency”). The functional currency of
the Company and of the majority of its subsidiaries is the Russian Rouble (RUB). The consolidated financial
statements are presented in Russian Roubles (RUB) (“the presentation currency”) because this is the currency
better understood by the principal users of the financial statements.
(b)
Transactions and balances
Foreign currency transactions are translated into the functional currency using the exchange rates prevailing at
the dates of the transactions or valuations where items are re-measured. Foreign exchange gains and losses
resulting from the settlement of such transactions and from the translation at year-end exchange rates of monetary
assets and liabilities denominated in foreign currencies are recognised in the income statement, with the exception
of foreign exchange differences that relate to qualifying cash flow hedges which are deferred in equity.
Net foreign exchange differences arising from borrowings and other liabilities and from cash and cash equivalents
and other monetary assets are presented on the face of the income statement in the line “net foreign exchange
transaction (losses)/gains on financing activities”, with the appropriate disclosure of the split between the two in
the Note “Finance income/(costs) - net”.
All other foreign exchange gains and losses are presented in the income statement within “Other (losses)/gains
– net”.
(c)
Group companies
The results and financial position of all the Group entities (none of which has the currency of a hyper-inflationary
economy) that have a functional currency different from the presentation currency are translated into the
presentation currency as follows:
•
Assets and liabilities are translated at the closing rate existing at the date of the balance sheet presented;
•
Income and expense items at the average yearly rate (unless this average is not a reasonable
approximation of the cumulative effect of the rates prevailing on the transaction dates, in which case
income and expenses are translated at the rate on the dates of the transactions); and
•
Share capital, share premium and all other reserves are translated using the historic rate.
All exchange differences resulting from the above translation are recognised in other comprehensive income.
On consolidation, exchange differences arising from the translation of the net investment in foreign operations,
including foreign exchange differences on long term loans receivable designated as part of the net investment in
foreign operations, are recognised in other comprehensive income. When a foreign operation is disposed of or
sold and control or significant influence is lost, exchange differences that were recorded in equity are recognised
in the income statement as part of the gain or loss on disposal. On a partial disposal of a foreign operation, the
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 26
proportionate share of the cumulative amount of the exchange differences recorded in equity relating to the
amount disposed is reclassified in the income statement. The Group assesses whether there is a partial disposal
of a foreign operation on the basis of the change in the Group’s proportionate ownership interest in the foreign
operation.
Goodwill and fair value adjustments arising on the acquisition of a foreign entity are treated as assets and liabilities
of the foreign entity and translated at the closing rate. Exchange differences arising are recognised in other
comprehensive income.
Property, plant and equipment
Property, plant and equipment are recorded at purchase or construction cost less depreciation. Historical cost
includes expenditure that is directly attributable to the acquisition or construction of the items.
Land is not depreciated.
Depreciation on property, plant and equipment begins when it is available for use and is calculated using the
straight-line method to allocate their cost, less residual value, over their estimated useful lives, as follows:
Number of years, range
Buildings
30
Rolling stock: (except locomotives)
Gondola cars
22
Rail tank cars
32
Rail tank cars (specialised types)
30-40
Hoppers
15-26
Flat cars
20-32
Locomotives
9-45
Mounted wheels
7
Motor vehicles and other property, plant and equipment
3-10
The assets’ residual values and useful lives are reviewed, and adjusted if appropriate, at the end of each reporting
period.
An asset’s carrying amount is written down immediately to its recoverable amount if the asset’s carrying amount
is greater than its estimated recoverable amount.
Assets under construction are not depreciated until they are completed and brought into use, at which time they
are reclassified in the relevant class of property, plant and equipment and depreciated accordingly.
Borrowing costs to finance the construction of property, plant and equipment are capitalised, during the period of
time that is required to complete and prepare the asset for its intended use. All other borrowing costs are
expensed.
Expenditure for repairs and maintenance of property, plant and equipment is charged to the income statement of
the year in which they are incurred. The cost of major renovations and other subsequent expenditure are included
in the carrying amount of the asset or recognised as a separate asset, as appropriate, only when it is probable
that future economic benefits associated with the item will flow to the Group and the cost of the item can be
measured reliably. The carrying amount of the replaced cost is derecognised.
Gains and losses on disposal of property, plant and equipment are determined by comparing the proceeds with
carrying amount and these are included within operating profit as part of operating expenses.
Rolling stock repair and maintenance costs
Repair and maintenance costs relating to periodical capital repairs of locomotives and other rolling stock and
periodical middle repairs of locomotives constitute major repairs that result in enhancement of the economic
benefits of the rolling stock and as such are capitalised by the Group.
In particular, the cost of each major periodic capital repair is recognised in the carrying amount of the relevant
item of rolling stock repaired and separately depreciated over the expected period until the next periodic capital
repair or until the end of the useful economic life of the item of rolling stock, if earlier. Significant components
replaced as part of periodic major capital repairs are capitalised and depreciated separately over their useful
economic life. Simultaneously with the capitalisation of the costs of the new periodic major capital repair, the
carrying amount of the repaired rolling stock that is attributable to the previous periodic capital repair and/or
significant component replaced, if any, is derecognised and debited in ‘cost of sales’ in the income statement as
“loss on derecognition arising on capital repairs”.
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 27
If it is not practicable for the Group to determine the carrying amount of the repaired rolling stock that is attributable
to the previous periodic capital repair and/or significant component replaced to be derecognised, the Group uses
the cost of the current periodic major capital repair or replaced part as an indication of what the cost of the replaced
part was at the time the rolling stock was acquired.
Other types of repairs of rolling stock, such as current repairs and depot repairs, are viewed by the Group as
routine repairs and maintenance and thus their cost is charged in the Group’s income statement as and when
incurred.
Upon initial recognition of rolling stock, the Group’s accounting policy is not to separately identify and depreciate
the element of its cost that is reflecting the maintenance element of the periodic major capital repair of the rolling
stock on initial recognition. The cost attributed to significant components, such as wheel pairs, is separately
identified and depreciated over their useful economic life.
Intangible assets
(a)
Computer software
The costs of acquiring computer software for internal use are capitalised as intangible assets where the software
supports a significant business system and the expenditure leads to the creation of a durable asset. Computer
software is capitalised at cost and amortised over three years, which reflects its estimated useful life, using
straight-line method commencing when the asset is available for its intended use. Costs associated with
maintaining computer software programmes are recognised as an expense as incurred.
Impairment of non-financial assets
Assets that have indefinite useful life and goodwill are not subject to amortisation and are tested annually for
impairment. Assets that are subject to depreciation or amortisation are reviewed for impairment whenever events
or changes in circumstances indicate that the carrying amount may not be recoverable. An impairment loss is
recognised for the amount by which the asset’s carrying amount exceeds its recoverable amount. The recoverable
amount is the higher of an asset’s fair value less costs to sell and value in use. For the purposes of assessing
impairment, assets are grouped at the lowest levels for which there are separately identifiable cash flows (cash-
generating units). Non-financial assets, other than goodwill, that have suffered impairment are reviewed for
possible reversal of impairment whenever there is an indication that an impairment recognised in prior periods
may no longer exist or may have decreased.
Leases
(a)
The Group is the lessee
Leases are recognised as a right-of-use asset and a corresponding liability at the date at which the leased asset
is available for use by the Group, with limited exceptions as set out below. Each lease payment is allocated
between the liability and finance cost. The finance cost is charged to the income statement over the lease period
so as to produce a constant periodic rate of interest on the remaining balance of the liability for each period.
Assets and liabilities arising from a lease are initially measured on a present value basis. Lease liabilities include
the net present value of the following lease payments:
•
fixed payments (including in-substance fixed payments), less any lease incentives receivable;
•
variable lease payments that are based on an index or a rate;
•
amounts expected to be payable by the Group under residual value guarantees;
•
the exercise price of a purchase option, if the Group is reasonably certain to exercise that option; and
•
payments of penalties for terminating the lease, if the lease term reflects the Group exercising that option.
Contracts may contain both lease and non-lease components. The Group accounts for each lease component
within such contracts as a lease separately from the non-lease components. The consideration in the contract is
allocated to each lease component on the basis of the relative standalone price of the lease component and the
aggregate standalone price of the non-lease components. The consideration for non-lease components relating
to services is recognised as an expense in the income statement.
The lease payments are discounted using the interest rate implicit in the lease. If that rate cannot be determined,
the Group’s incremental borrowing rate is used, being the rate that the Group would have to pay to borrow the
funds necessary to obtain an asset of similar value to the right-of-use asset in a similar economic environment
with similar terms and conditions. To determine the incremental borrowing rate, the Group, where possible, uses
recent third-party financing received by the individual lessee as a starting point, adjusted to reflect changes in
financing conditions since third party financing was received.
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 28
The Group is exposed to potential future increases in variable lease payments based on an index or a rate, which
are not included in the lease liability until they take effect. When adjustments to lease payments based on an
index or rate take effect, the lease liability is reassessed and adjusted against the right-of-use asset.
Right-of-use assets are measured at cost comprising the following:
•
the amount of the initial measurement of lease liability;
•
any lease payments made at or before the commencement date less any lease incentives received;
•
any initial direct costs; and
•
restoration costs.
Any remeasurement of the lease liability arising if the cash flows change based on the original terms and
conditions of the lease results in a corresponding adjustment to the right-of-use asset. The adjustment can be
positive or negative.
Right-of-use assets are generally depreciated over the shorter of the asset's useful life and the lease term on a
straight-line basis. If the Group is reasonably certain to exercise a purchase option, the right-of-use asset is
depreciated over the underlying asset’s useful life.
In determining the lease term, the Group considers all facts and circumstances that create an economic incentive
to exercise an extension option, or not exercise a termination option. Extension options (or periods after
termination options) are only included in the lease term if the lease is reasonably certain to be extended (or not
terminated).
Right-of-use assets are reviewed for impairment in accordance with the Group’s accounting policy for impairment
of non-financial assets.
As an exception to the above, the Group accounts for short-term leases and leases of low value assets by
recognising the lease payments as an expense on a straight-line basis in the income statement. Short-term leases
are leases with a lease term of 12 months or less.
Right-of-use assets and associated lease liabilities are presented as separate lines on the face of the balance
sheet.
Security deposits paid by the Group at the commencement of a lease contract that are held by the lessor
throughout the term of the lease and are refunded to the Group at the end of the lease term if the Group has fully
performed and observed all of the conditions set out in the contract are accounted for as financial assets.
(b)
The Group is the lessor
Finance leases
Where the Group is a lessor in a lease which transfers substantially all the risks and rewards incidental to
ownership to the lessee, the assets leased out are presented as a finance lease receivable and carried at the
present value of the future lease payments. Finance lease receivables are initially recognised at commencement
(when the lease term begins) using a discount rate determined at inception (the earlier of the date of the lease
agreement and the date of commitment by the parties to the principal provisions of the lease).
The difference between the gross receivable and the present value represents unearned finance income. The
income is recognised over the term of the lease using the net investment method (before income tax and other
taxes) which reflects a constant periodic rate of return. Incremental costs directly attributable to negotiating and
arranging the lease are included in the initial measurement of the finance lease receivable and reduce the amount
of income recognised over the lease term. Finance income from leases is recorded within interest income in the
income statement.
Impairment of lease receivables
The Group recognises credit loss allowance on lease receivables in accordance with IFRS 9 using the simplified
approach permitted by the standard, which requires expected credit losses to be recognised from initial recognition
of the lease receivable at an amount equal to lifetime ECL. The ECL is determined in the same way as for trade
receivables and is recognised through an allowance account to write down the lease receivables’ net carrying
amount to the present value of expected cash flows discounted at the interest rates implicit in the leases. The
estimated future cash flows reflect the cash flows that may result from obtaining and selling the assets subject to
the lease.
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 29
Operating leases
Assets leased out under operating leases are included in property, plant and equipment in the balance sheet
based on the nature of the asset. They are depreciated over their expected useful lives on a basis consistent with
similar owned property, plant and equipment.
Revenues from operating leasing
Rental income (net of any incentives given to lessees) is recognised on a straight-line basis over the lease term.
Financial instruments
(a)
Financial assets
Recognition and derecognition. All purchases and sales of financial assets that require delivery within the time
frame established by regulation or market convention (“regular way” purchases and sales) are recorded at trade-
date; being the date on which the Group commits to purchase or sell the asset. All other purchases and sales are
recognised when the entity becomes a party to the contractual provisions of the instrument.
Financial assets are derecognised when the rights to receive cash flows from the financial assets have expired
or have been transferred and the Group has transferred substantially all the risks and rewards of ownership. Any
gain or loss arising upon their derecognition is recognised directly in the income statement.
Classification. The classification depends on the Group’s business model for managing the financial assets and
the contractual cash flow characteristics of the assets. Management determines the classification of financial
assets at initial recognition.
The Group classifies its financial assets at amortised cost. Financial assets at amortised cost are held for
collection of contractual cash flows and their cash flows represent solely payments of principal and interest. They
are included in current assets, except for maturities greater than twelve months after the balance sheet date.
These are classified as non-current assets. The Group’s financial assets at amortised cost comprise of trade
receivables, loans and other receivables and cash and cash equivalents on the balance sheet.
Reclassification. Financial instruments are reclassified only when the business model for managing those assets
changes. The reclassification has a prospective effect and takes place from the start of the first reporting period
following the change.
Measurement. At initial recognition, the Group measures financial assets classified at amortised cost at their fair
value plus incremental transaction costs that are directly attributable to the acquisition of the financial assets.
Subsequently, these are measured at amortised cost.
Interest income. Interest income on financial assets at amortised cost is recognised using the effective interest
rate method and is included within “finance income” in the Consolidated income statement where it is earned from
financial assets that are held for cash management purposes (Note 14), any other interest income is included in
Other (losses)/gains – net (Note 12). In particular, interest income is calculated by applying the effective interest
rate to the gross carrying amount of a financial asset except for financial assets that subsequently become credit-
impaired. For credit-impaired financial assets, the effective interest rate is applied to the net carrying amount of
the financial asset; that is after deduction of the loss allowance. The Group’s definition of credit-impaired assets
is explained in Note 5, Credit risk section.
Impairment. The Group assesses on each reporting date and on a forward looking basis the expected credit
losses (“ECL”) associated with its debt financial assets carried at amortised cost. The measurement of ECL
reflects: (i) an unbiased and probability weighted amount that is determined by evaluating a range of possible
outcomes, (ii) time value of money, and (iii) all reasonable and supportable information that is available without
undue cost and effort at the end of each reporting period about past events, current conditions and forecasts of
future conditions.
The carrying amount of the financial assets is reduced through the use of an allowance account, and the amount
of the loss is recognised in the income statement within “selling and marketing costs”. Subsequent recoveries of
amounts for which loss allowance was previously recognised are credited against the same line item.
The impairment methodology applied by the Group for calculating expected credit losses depends on the type of
financial asset assessed for impairment. Specifically:
-
For trade receivables the Group applies the simplified approach permitted by IFRS 9 for calculating expected
credit losses, which requires lifetime expected losses to be recognised from initial recognition of the financial
assets. The assessment is done on an individual basis.
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 30
-
For all its other debt financial assets carried at amortised cost, the Group applies the general approach. In
particular, the Group applies the three stage model for calculating impairment, which is based on changes
in the credit quality of the financial asset since initial recognition. A financial instrument that is not credit -
impaired on initial recognition is classified in Stage 1. The ECL of financial assets in Stage 1 is measured at
an amount equal to the portion of lifetime ECL that results from default events possible within the next 12
months or until contractual maturity, if shorter. If the Group identifies a significant increase in credit risk
(“SICR”) since initial recognition, the asset is transferred to Stage 2 and its ECL is measured based on ECL
on a lifetime basis, that is, up until its contractual maturity but considering expected prepayments, if any.
Refer to Note 5, Credit risk section for a description of how the Group determines when a SICR has occurred.
If the Group determines that a financial asset is credit-impaired, the asset is transferred to Stage 3 and its
ECL is measured as a Lifetime ECL. The Group’s definition of credit impaired assets and definition of default
is explained in Note 5, Credit risk section.
Write-off. Financial assets are written-off, in whole or in part, when the Group has concluded that there is no
reasonable expectation of recovery. Indicators that there is no reasonable expectation of recovery include,
amongst others, the failure of a debtor to engage in a repayment plan with the Group and a failure to make
contractual payments for a period of greater than 180 days past due. The Group may write-off financial assets
that are still subject to enforcement activity when the Group seeks to recover amounts that are contractually due,
however, there is no reasonable expectation of recovery. Subsequent recoveries of amounts previously written
off are credited against ‘selling and marketing costs’ in the income statement.
Classification as trade receivables. Trade receivables are amounts due from customers for services performed
in the ordinary course of business. If collection is expected in one year or less (or in a normal operating cycle of
the business, if longer than one year) they are classified as current assets, if not, they are presented as non-
current assets. Trade receivables are recognised initially at the amount of consideration that is unconditional
unless they contain significant financing components, in which case they are recognised at fair value. The Group
holds its trade receivables with the objective to collect the contractual cash flows and their contractual cash flows
represent solely payments of principal and interest and therefore measures them subsequently at amortised cost
using the effective interest method, less provision for impairment.
Classification as loans and other receivables. These amounts generally arise from transactions outside the
usual operating activities of the Group. These are held with the objective to collect their contractual cash flows
and their contractual cash flows represent solely payments of principal and interest. Accordingly, these are
measured at amortised cost using the effective interest method, less provision for impairment. Loans and other
receivables are classified as current assets if they are due within one year or less (or in the normal operating
cycle of the business if longer). If not, they are presented as non-current assets.
Classification as cash and cash equivalents. In the cash flow statement, cash and cash equivalents include
cash in hand and deposits held at call with banks with original maturity of three months or less, less bank
overdrafts, if any. Cash and cash equivalents are carried at amortised cost using the effective interest method,
less provision for impairment. Bank overdrafts are shown within borrowings in the current liabilities on the balance
sheet.
(b)
Financial liabilities
Classification. The Group’s financial liabilities are initially recognised at fair value and classified as subsequently
measured at amortised cost.
Derecognition of financial liabilities. A financial liability is derecognised when the obligation under the liability
is discharged or cancelled or expires. The difference between the carrying amount of a financial liability that has
been extinguished or transferred to another party and the consideration paid, including any non-cash assets
transferred or liabilities assumed, is recognised in income statement as other income or finance costs. When an
existing financial liability is replaced by another from the same lender on substantially different terms, or the terms
of an existing liability are substantially modified, such an exchange or modification is treated as a derecognition
of the original liability and the recognition of a new liability, and the difference in the respective carrying amounts,
including costs or fees incurred for the modification, is recognised in profit or loss within finance costs. When the
terms of the existing financial liability are not substantially modified, the existing liability is not derecognised and
the gain/loss arising on the modification, including costs or fees incurred for the modification, is recognised in the
income statement within finance costs.
Modifications. An exchange between the Group and its original lenders of debt instruments with substantially
different terms, as well as substantial modifications of the terms and conditions of existing financial liabilities, are
accounted for as an extinguishment of the original financial liability and the recognition of a new financial liability.
The terms are substantially different if the discounted present value of the cash flows under the new terms,
including any fees paid net of any fees received and discounted using the original effective interest rate, is at least
10% different from the discounted present value of the remaining cash flows of the original financial liability. In
addition, other qualitative factors, such as the currency that the instrument is denominated in, changes in the type
of interest rate, new conversion features attached to the instrument and change in loan covenants are also
considered.
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 31
If an exchange of debt instruments or modification of terms is accounted for as an extinguishment, any costs or
fees incurred are recognised as part of the gain or loss on the extinguishment. If the exchange or modification is
not accounted for as an extinguishment, any costs or fees incurred adjust the carrying amount of the liability and
are amortised over the remaining term of the modified liability.
Modifications of liabilities that do not result in extinguishment are accounted for as a change in estimate using a
cumulative catch up method, with any gain or loss recognised in profit or loss, unless the economic substance of
the difference in carrying values is attributed to a capital transaction with owners.
Borrowings. Borrowings are recognised initially at fair value, net of transaction costs incurred. Borrowings are
subsequently stated at amortised cost. Any difference between the proceeds (net of transaction costs) and the
redemption value is recognised over the period of the borrowings using the effective interest method.
Fees paid on the establishment of loan facilities are recognised as transaction costs of the loan to the extent that
it is probable that some or all of the facility will be drawn down. In this case, the fee is deferred until draw down
occurs. To the extent there is no evidence that it is probable that some or all of the facility will be drawn down, the
fee is capitalised as a pre-payment for liquidity services and amortised over the period of the facility to which it
relates.
Borrowings are classified as current liabilities unless the Group has an unconditional right to defer settlement of
the liability for at least twelve months after the balance sheet date.
Borrowings are removed from the balance sheet when the obligation specified in the contract is extinguished (i.e.
when the obligation specified in the contract is discharged, cancelled or expires). The difference between the
carrying amount of a financial liability that has been extinguished or transferred to another party and the
consideration paid, including any non-cash assets transferred or liabilities assumed, is recognised in the income
statement as other income or finance costs.
Borrowing costs. Borrowing costs incurred for the construction of any qualifying asset are capitalised during the
period of time that is required to complete and prepare the asset for its intended use. Other borrowing costs are
expensed in the period in which they are incurred.
Trade and other payables. Trade payables are obligations to pay for goods or services that have been acquired
in the ordinary course of business from suppliers. Trade and other payable are classified as current liabilities if
payment is due within one year or less (or in the normal operating cycle of the business if longer). If not, they are
presented as non-current liabilities. Trade and other payables are recognised initially at fair value and
subsequently measured at amortised cost using the effective interest method.
Inventories. Group entities usually maintain a store of spare parts and servicing equipment. These are carried
as inventory and recognised in the income statement as consumed, unless they meet the definition of property,
plant and equipment in which case they are classified as such. Major spare parts are also recognised within
property, plant and equipment when they meet the definition of property, plant and equipment. Spare parts in
inventory as well as other inventories are stated at the lower of cost and net realisable value. Cost is determined
using the weighted average cost method. Net realisable value is the estimated selling price in the ordinary course
of business less the cost of completion and applicable variable selling expenses and takes into account, amongst
others, evidence of damage or obsolescence.
Cash flow statement. Cash flow statement is prepared under the indirect method. Purchases of property, plant
and equipment, including prepayments for property, plant and equipment, are included within cash flows from
investing activities and finance lease payments are included within cash flows from financing activities and are
shown net of VAT. Related input VAT is included in movement in changes of working capital, within trade and
other receivables.
When the Group enters into a sale and lease back arrangement which constitutes collateralised borrowing, the
proceeds received are included within cash flows from financing activities. Receipts from finance lease receivables
are included within cash flows from investing activities.
Share capital, share premium and treasury shares. Ordinary shares are classified as equity.
Incremental costs directly attributable to the issue of new shares are shown in equity as a deduction, net of tax,
from the proceeds.
Any excess of the fair value of consideration received over the par value of shares issued is recognised as share
premium. Share premium is the difference between the fair value of the consideration receivable for the issue of
shares and the nominal value of the shares. Share premium account can only be resorted to for limited purposes,
which do not include the distribution of dividends, and is otherwise subject to the provisions of ADGM Companies
Regulations 2020 on reduction of share capital.
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 32
Where any Group company purchases the Company’s equity share capital (treasury shares), the consideration
paid, including any directly attributable incremental costs (net of income taxes) is deducted from equity attributable
to the Company’s equity holders within a separate reserve ‘treasury shares’ until the shares are cancelled or re-
issued. Where such ordinary shares are subsequently re-issued, any consideration received, net of any directly
attributable incremental transaction costs and the related income tax effects, is included in equity attributable to
the Company’s equity holders within retained earnings. The consideration initially paid for treasury shares which
are subsequently re-issued is transferred from “treasury shares” to retained earnings.
Basic earnings per share is calculated by dividing:
•
the profit attributable to owners of the Company, by
•
the weighted average number of ordinary shares in issue during the financial year, excluding treasury
shares (Note 32).
Capital contribution. Capital contribution constitutes contributions made by the Company’s shareholders other
than for the issue of shares by the Company in their capacity as equity owners of the Company for which the
Company has no contractual obligation to repay them. Such contributions are recognised directly in equity as they
constitute transactions with equity owners in their capacity as equity owners of the Company.
Provisions and contingent liabilities. Provisions are recognised when the Group has a present legal or
constructive obligation as a result of past events, it is more likely than not that an outflow of resources will be
required to settle the obligation, and the amount has been reliably estimated. Provisions are not recognised for
future operating losses.
Where there are a number of similar obligations, the likelihood that an outflow will be required in settlement is
determined by considering the class of obligations as a whole. A provision is recognised even if the likelihood of
an outflow with respect to any one item included in the same class of obligations may be small.
Provisions are measured at the present value of the expenditure expected to be required to settle the obligation
using a pre-tax rate that reflects current market assessments of the time value of money and the risks specific to
the obligation. The increase in the provision due to passage of time is recognised as interest expense.
Provisions are only used to cover those expenses which they had been set up for. Other possible or present
obligations that arise from past events but it is not probable that an outflow of resources embodying economic
benefit will be required to settle the obligations, or the amount cannot be measured with sufficient reliability, are
disclosed in the notes to the financial statements as contingent liabilities.
Current and deferred income tax. The tax expense for the period comprises of current and deferred tax. Tax is
recognised in the income statement, except to the extent that it relates to items recognised in other comprehensive
income or directly in equity. In this case, the tax is also recognised in other comprehensive income or directly in
equity respectively.
Current income tax liabilities and assets for the current and prior periods are measured at the amount expected
to be paid to or recovered from the taxation authorities using the tax rates and laws that have been enacted or
substantively enacted by the balance sheet date. Management periodically evaluates positions taken in tax
returns with respect to situations in which applicable tax regulations are subject to interpretations and establishes
provisions where appropriate on the basis of amounts expected to be paid to tax authorities.
Deferred income tax is provided in full, using the liability method, on temporary differences arising between the
tax bases of assets and liabilities and their carrying amounts in the consolidated financial statements. However,
deferred tax liabilities are not recognised if they arise from the initial recognition of goodwill. Deferred income tax
is not accounted for if it arises from initial recognition of an asset or liability in a transaction other than a business
combination that at the time of the transaction affects neither accounting nor taxable profit or loss. In accounting
for the tax effects of on-balance sheet leases, the Group considers the right-of-use asset and lease liability
separately and recognises deferred tax on the net temporary difference.
Deferred tax is determined using tax rates and laws that have been enacted or substantially enacted by the
balance sheet date and are expected to apply when the related deferred tax asset is realised or the deferred tax
liability is settled.
Deferred income tax assets are recognised only to the extent that it is probable that future taxable profit will be
available against which the temporary differences can be utilised.
Deferred income tax is provided on temporary differences arising on investments in subsidiaries and associates
except where the Group can control the timing of the reversal and it is probable that the temporary difference will
not reverse in the foreseeable future.
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 33
Deferred income tax assets and liabilities are offset when there is a legally enforceable right to offset current tax
assets against current tax liabilities, when the income tax assets and liabilities relate to income taxes levied by
the same taxation authority on either the taxable entity or different taxable entities when there is an intention to
settle the balances on a net basis.
Uncertain tax positions. The Group’s uncertain tax positions are reassessed by management at the end of each
reporting period. Liabilities are recorded for income tax positions that are determined by management as more
likely than not to result in additional taxes being levied if the positions were to be challenged by the tax authorities.
The assessment is based on the interpretation of tax laws that have been enacted or substantively enacted by
the end of the reporting period, and any known court or other rulings on such issues. Liabilities for penalties,
interest and taxes other than on income are recognised based on management’s best estimate of the expenditure
required to settle the obligations at the end of the reporting period. Adjustments for uncertain income tax positions,
other than interest and fines, are recorded within the income tax charge. Adjustments for uncertain income tax
positions in respect of interest and fines are recorded within finance costs and other gains/(losses), net,
respectively.
Russian Value Added Tax (VAT). Russian output value added tax related to sales is payable to tax authorities
on the earlier of (a) collection of receivables from customers or (b) delivery of goods or services to customers.
Input VAT is generally recoverable against output VAT upon receipt of the VAT invoice. The tax authorities
permit the settlement of VAT on a net basis. VAT related to sales and purchases is recognised in the balance
sheet on a gross basis and disclosed separately as an asset and liability. Where provision has been made for
the impairment of receivables, the impairment loss is recorded for the gross amount of the debtor, including
VAT.
Employee benefits. Wages, salaries, contributions to the state pension and social insurance funds, paid annual
leave and sick leave, bonuses and other benefits (such as health services) are accrued in the year in which the
associated services are rendered by the employees of the Group. These are included in staff costs and the Group
has no further obligations once the contributions have been paid.
The Group recognises a liability and an expense for bonuses where contractually obliged or where there is a past
practice that has created a constructive obligation.
Termination benefits. Termination benefits are payable when employment is terminated by the Group before the
normal retirement date, or when an employee accepts voluntary redundancy in exchange for these benefits. The
Group recognises termination benefits at the earlier of the following dates: (a) when the Group can no longer
withdraw the offer of those benefits; and (b) when the Group recognises costs for a restructuring that is within the
scope of IAS 37 and involves the payment of terminations benefits. In the case of an offer made to encourage
voluntary redundancy, the termination benefits are measured based on the number of employees expected to
accept the offer. Benefits falling due more than 12 months after the end of the reporting period are discounted to
present value.
Dividend distribution. Dividend distribution to the Company’s shareholders is recognised as a liability in the
Group’s financial statements in the period in which the dividends are approved and are no longer at the discretion
of the Company. More specifically, interim dividends are recognised when approved by the Board of Directors
whereas in case of final dividends, these are recognised at the time when they are approved by the Company’s
shareholders.
Prepayments. Prepayments are carried at cost less provision for impairment. A prepayment is classified as non-
current when the goods or services relating to the prepayment are expected to be obtained after one year, or
when the prepayment relates to an asset which will itself be classified as non-current upon initial recognition.
Prepayments to acquire assets are transferred to the carrying amount of the asset once the Group has obtained
control of the asset and it is probable that future economic benefits associated with the asset will flow to the Group.
Other prepayments are written off to profit or loss when the goods or services relating to the prepayments are
received. If there is an indication that the assets, goods or services relating to a prepayment will not be received,
the carrying value of the prepayment is written down accordingly and a corresponding impairment loss is
recognised in the income statement.
Other income. Other income generally represents amounts received from transactions that are outside the
Group’s principal activities. This is recognised in the income statement over the period it relates to, based on the
terms of the arrangement. Other income that it is not linked to the Group’s future performance and/or satisfaction
of any future obligations is recognised in the period in which the Group is entitled to receive it.
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 34
5. Financial risk management
Financial risks factors
The Group’s activities exposed it to a variety of financial risks: market risk (including foreign exchange risk, cash
flow and fair value interest rate risk), credit risk and liquidity risk. The Group’s overall risk management program
focuses on the unpredictability of financial markets and seeks to minimise potential adverse effects on the Group’s
financial results.
Market risk
(a) Foreign exchange risk
Foreign exchange risk arises when future commercial transactions or recognised assets or liabilities are
denominated in the currency different from the functional currency of each of the entities of the Group.
As of 31 December 2024, 100% of the Group’s long-term borrowings are denominated in Russian Rouble. Further,
a large proportion of the Group’s expenses and revenues are denominated and settled in Russian Roubles. Risks
related to liabilities denominated in foreign currency are partly compensated by assets and income denominated
in foreign currency.
As of the end of December 2024 the Russian Rouble has decreased against the US Dollar from 89.6883 as of 31
December 2023 to 101.6797 Russian Roubles (13.4% decrease) and has decreased against the Euro from
99.1919 as of 31 December 2023 to 106.1028 Russian Roubles (7.0% decrease).
The Group is exposed to the effects of currency fluctuations between (i) the Russian Rouble and the US Dollars
in relation to US Dollar and AED denominated balances held in the Company and Russian subsidiaries of the
Group having the Russian Rouble as their functional currency; (ii) the Russian Rouble and the Chinese Yuan in
relation to CNY denominated balances held in the Russian subsidiaries of the Group having the Russian Rouble
as their functional currency.
The carrying amounts of monetary assets and liabilities denominated in US Dollars as at 31 December 2024 and
31 December 2023 are as follows:
2024
2023
RUB’000
RUB’000
Assets
902,755
29,478
Liabilities
51,652
232
Had US Dollar exchange rate strengthened/weakened by 20% against the Russian Rouble and all other variables
remained unchanged, the post-tax profit of the Group for the year ended 31 December 2024, would have
increased/decreased by RUB 139,526 thousand (2023: 20% change, effect RUB 4,937 thousand) and equity
would have increased/decreased by RUB 139,526 thousand (2023: 20% change, effect RUB 4,937 thousand).
This is mainly due to foreign exchange gains and losses arising upon retranslation of cash and cash equivalents
and accounts payable denominated in US Dollars for the Group entities with Russian Rouble being their functional
currency.
The carrying amounts of monetary assets and liabilities denominated in Chinese yuan as at 31 December 2024
and 31 December 2023 are as follows:
2024
2023
RUB’000
RUB’000
Assets
12,030,771
-
Liabilities
-
-
Had Chinese yuan exchange rate strengthened/weakened by 20% against the Russian Rouble and all other
variables remained unchanged, the post-tax profit of the Group for the year ended 31 December 2024, would
have increased/decreased by RUB 1,924,923 thousand (2023: 20% change, effect RUB Nil thousand) and equity
would have increased/decreased by RUB 1,924,923 thousand (2023: 20% change, effect RUB Nil thousand).
This is mainly due to foreign exchange gains and losses arising upon retranslation of long term deposit
denominated in Chinese yuan for the Group entities with Russian Rouble being their functional currency.
(b) Cash flow and fair value interest rate risk
The Group’s income and operating cash flows are exposed to changes in market interest rates arising mainly
from floating rate borrowings. In addition, the Group is exposed to fair value interest rate risk through market value
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 35
fluctuations of borrowings and bank deposits with fixed interest rates. However, any potential change in the market
rates of interest will not have an impact on the carrying amount of the fixed rate financial instruments and hence
on the Group’s post tax profit or equity as these instruments are carried at amortised cost.
Long-term borrowing contracts of the Group are concluded to finance the purchase of rolling stock. While
analysing new investment projects and concluding credit facility agreements, loan agreements and lease
contracts, issues of bonds and various scenarios are developed taking into account terms of refinancing and
alternative financing sources. Based on these scenarios the Group measures the impact of a definite change in
interest rate on profit or loss and selects the financing model that allows maximizing the estimated future profit.
As at 31 December 2024 and 31 December 2023, the Group did not have any credit facilities at floating interest
rates, therefore any reasonably possible change in market interest rates would not have any significant impact on
the post-tax profit or equity of the Group.
The Group obtains borrowings at current market interest rates and does not use any hedging instruments to
manage interest rate risk. Management monitors changes in interest rates and takes steps to mitigate these risks
as far as practicable.
Credit risk
Credit risk is the risk that one party to a financial instrument will cause a financial loss for the other party by failing
to meet an obligation. Credit risk arises from cash and cash equivalents, long-term bank deposits, trade
receivables, loans and other receivables as well as finance lease receivables.
(i) Risk management
The Group has policies in place to ensure that sales of goods and services are made to customers with an
appropriate credit history. Management assesses the credit quality of the Group’s customers, taking into account
their financial position, past experience and other factors. These policies allow the Group to reduce its credit risk.
However, the Group’s business is heavily dependent on a few large key customers, with the top ten customers
accounting for 74.93% of the Group’s trade receivables as at 31 December 2024 (2023: 78.89%).
For banks and financial institutions, the Group has established policies whereby the majority of bank balances
are held with independently rated parties with a minimum rating of ‘Baa1’. These policies enable the Group to
reduce its credit risk significantly.
(ii) Impairment of financial assets
The Group has five types of assets that are subject to the expected credit loss model:
•
trade receivables;
•
finance lease receivables;
•
other receivables;
•
long-term bank deposits; and
•
cash and cash equivalents.
The impairment methodology applied by the Group for calculating expected credit losses depends on the type of
assets assessed for impairment. All assets are assessed for impairment on an individual basis. Specifically:
-
For trade receivables and finance lease receivables the Group applies the simplified approach permitted
by IFRS 9 for calculating expected credit losses, which requires lifetime expected credit losses to be
recognised from initial recognition of the financial assets.
-
For loans and other receivables, cash and cash equivalents and bank deposits, the Group applies the
general approach. In particular, the Group applies the three-stage model for calculating impairment,
which is based on changes in the credit quality of the financial asset since initial recognition. A financial
instrument that is not credit-impaired on initial recognition is classified in Stage 1. The ECL of financial
assets in Stage 1 is measured at an amount equal to the portion of lifetime ECL that results from default
events possible within the next 12 months or until contractual maturity, if shorter. If the Group identifies
a significant increase in credit risk since initial recognition, the asset is transferred to Stage 2 and its ECL
is measured based on ECL on a lifetime basis, that is, up until its contractual maturity but considering
expected prepayments, if any. If the Group determines that a financial asset is credit-impaired, the asset
is transferred to Stage 3 and its ECL is measured as a Lifetime ECL.
Significant increase in credit risk. The Group considers the probability of default upon initial recognition of an
asset and whether there has been a significant increase in credit risk on an ongoing basis throughout each
reporting period. To assess whether there is a significant increase in credit risk the Group compares the risk of a
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 36
default occurring on the asset as at the reporting date with the risk of default as at the date of initial recognition.
In making this assessment, the Group considers available reasonable and supportive forwarding-looking
information.
Especially the following indicators are incorporated:
-
internal credit rating
-
external credit rating (as far as available)
-
actual or expected significant adverse changes in business, financial or economic conditions that are
expected to cause a significant change to the borrower’s/counterparty’s ability to meet its obligations
-
actual or expected significant changes in the operating results of the borrower/counterparty
-
significant increases in credit risk on other financial instruments of the same borrower/counterparty
-
significant changes in the value of the collateral supporting the obligation or in the quality of third-party
guarantees or credit enhancements
-
significant changes in the expected performance and behaviour of the borrower/counterparty, including
changes in the payment status of counterparty in the group and changes in the operating results of the
borrower.
Macroeconomic information (such as market interest rates or growth rates) is incorporated as part of the internal
rating model. The historical loss rates are adjusted to reflect current and forward-looking information on
macroeconomic factors affecting the ability of the customers to settle the receivable balances. Regardless of the
analysis above, a significant increase in credit risk is presumed if a debtor is more than 30 days past due in making
a contractual payment.
Default and credit-impaired. A default on a financial asset is when the financial asset meets one or more of the
following criteria: (i) the borrower is more than 90 days past due on its contractual payments, (ii) the borrower is
assessed as unlikely to pay its credit obligations in full without realisation of collateral, regardless of the existence
of any past-due amount or of the number of days past due, (iii) the Group, for economic or contractual reasons
relating to the borrower’s financial difficulty, granted to the borrower a concession(s) that it would not otherwise
consider. The Group considers defaulted assets to be credit-impaired so that Stage 3 represents all debt financial
assets which are considered defaulted.
Write-off. Assets are written-off, in whole or in part, when the Group has concluded that there is no reasonable
expectation of recovery. Indicators that there is no reasonable expectation of recovery include, amongst others,
the failure of a debtor to engage in a repayment plan with the Group and a failure to make contractual payments
for a period of greater than 180 days past due. The Group may write-off financial assets that are still subject to
enforcement activity when the Group seeks to recover amounts that are contractually due, however, there is no
reasonable expectation of recovery. Subsequent recoveries of amounts previously written off are credited against
‘selling and marketing costs’ in the income statement.
The Group does not have any material debt financial assets that are subject to the impairment requirements of
IFRS 9 and their contractual cash flows have been modified.
The Group’s exposure to credit risk for each class of asset subject to the expected credit loss model is set out
below:
Trade receivables and finance lease receivables
The Group assesses, on an individual basis, its exposure to credit risk arising from trade receivables and finance
lease receivables. This assessment is based on the credit history of the customers with the Group as well as the
period the trade receivable or finance lease receivable is past due (in days).
The following table contains an analysis of the gross carrying amount of the Group’s trade receivables and finance
lease receivables by reference to the days past due. This basis is aligned with the Group’s internal credit risk
grades for these assets.
Trade
receivables
Finance lease
receivables
RUB’000
RUB’000
As at 31 December 2024
Current (not past due)
4,197,328
63,018
1-30 days past due
1,090,309
-
31-90 days past due
124,188
-
more than 90 days past due
7,919
-
Total
5,419,744
63,018
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 37
Trade
receivables
Finance lease
receivables
RUB’000
RUB’000
As at 31 December 2023
Current (not past due)
3,748,020
138,760
1-30 days past due
678,363
-
31-90 days past due
205,866
-
more than 90 days past due
10,348
-
Total
4,642,597
138,760
The gross carrying amounts, as per above, represent the Group’s maximum exposure to credit risk on these
assets as at 31 December 2024 and as at 31 December 2023 without taking into account any collateral held. The
Group does not hold any collateral as security for any trade receivable balances. Finance lease receivables are
effectively secured as the rights to the leased asset revert to the Group in the event of default.
The movement in the credit loss allowance for trade receivables during the years 2024 and 2023 is presented in
the table below:
Trade receivables
2024
2023
RUB’000
RUB’000
Opening balance as at 1 January
(15,200)
(10,343)
Net loss allowance of financial assets during the year
(31,027)
(7,490)
Amounts written off during the year as uncollectible
2,636
135
Recoveries
31,692
2,498
Closing balance as at 31 December
(11,899)
(15,200)
The estimated expected credit loss allowance on finance lease receivables as at 31 December 2024 and as at 31
December 2023 was immaterial. This assessment takes into consideration the presence of the leased asset,
which acts as a collateral for the finance lease receivable.
Other receivables
The Group assesses, on an individual basis, its exposure to credit risk arising from other receivables. This
assessment takes into account, amongst others, the period the other receivable balance is past due (in days) and
history of defaults in the past, adjusted for forward looking information.
The following table contains an analysis of the credit risk exposure on other receivables on the basis of the Group’s
internal credit risk rating grades. The gross carrying amounts below represent the Group’s maximum exposure to
credit risk on these assets as at 31 December 2024 and 2023:
Internal credit risk
rating grade
Company definition of category
2024
RUB’000
2023
RUB’000
Performing
Stage 1 - Counterparties have a low risk of default and a
strong capacity to meet contractual cash flows
382,112
261,446
Under-performing
Stage 2 - Customers for which there is a significant
increase in credit risk; as significant increase in credit risk
is presumed if interest and/or principal repayments are 30
days past due
17,074
10,881
Non-performing or
Credit-impaired
Stage 3 - Interest and/or principal repayments are more
than 90 days past due
28,264
25,632
The movement in the credit loss allowance for other receivables during the years 2024 and 2023 is presented in
the table below:
Non-performing
2024
2023
RUB’000
RUB’000
Opening balance as at 1 January
(25,632)
(4,602)
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 38
Assets written off during the year as uncollectible
183
202
Other
(2,815)
(21,232)
Closing balance as at 31 December
(28,264)
(25,632)
Cash and cash equivalents and bank deposits
The Group assesses, on an individual basis, its exposure to credit risk arising from cash at bank based on ratings
from external credit rating institutions and internal ratings if external are not available.
The following table contains an analysis of the gross carrying amount of the Group’s cash at bank and bank
deposits by reference to the credit risk ratings assigned by external credit rating agencies. The gross carrying
amounts below represent the Group’s maximum exposure to credit risk on these assets as at 31 December 2024
and 2023:
2024
2023
Rating
RUB’000
RUB’000
Cash at bank and bank deposits
Moody’s (1)
A2 – A1
894,660
859,279
Moody’s (1)
Baa3 – Baa1
1,878
79,065
Fitch (2)
BBB+ - B+
34
-
ACRA (3)
AAA(RU) - A-(RU)
44,309,326
41,723,686
ACRA (3)
BBB(RU) - B+(RU)
106
414
Expert RA (4)
ruAA - ruA
16,351
114,005
Expert RA (4)
ruBBB+
1,920
-
Other external non-rated banks – satisfactory credit
quality (performing)
855,424
-
Total cash and cash equivalents (5)
46,079,699
42,776,449
Long-term bank deposits(6)
ACRA (3)
AA
12,030,771
-
(1) International rating agency Moody’s Investors Service
(2) International rating agency Fitch Ratings
(3) Russian authorized credit rating agency ACRA
(4) Russian authorized credit rating agency Expert RA
(5) The rest of the balance sheet item ‘cash and cash equivalents’ is cash on hand.
(6) Long term bank deposit is placed in one Russian bank.
The Group does not hold any collateral as security for any of the above balances.
The estimated expected credit loss allowance on cash and cash equivalents on bank deposits as at 31 December
2024 and as at 31 December 2023 based on the general approach of IFRS 9, was immaterial. All cash and cash
equivalents were performing (Stage 1) as at 31 December 2024 and as at 31 December 2023.
Liquidity risk
The Group has an excess of current assets over current liabilities of RUB 50,992,567 thousand as at 31 December
2024 (2023: excess of current assets over current liabilities of RUB 39,017,720 thousand).
The Group has predictable cash flows which allow the Group to repay its liabilities when they fall due. The Group
also has successful credit and refinancing history and maintains enough flexibility ensuring the ability to attract
necessary funds through committed credit facilities. Due to availability of undrawn borrowing facilities amounting
to RUB 31,500,000 thousand as of 31 December 2024 (2023: RUB 29,000,000 thousand), together with long-
term borrowings (Note 28) the Group has the ability to meet its liabilities as they fall due and mitigate risks of
adverse changes in the financial markets environment.
Management controls current liquidity based on expected cash flows and expected revenue receipts. In the long-
term perspective, the liquidity risk is determined by forecasting future cash flows at the moment of signing new
credit, loan or lease agreements and by budgeting procedures.
The table below summarises the analysis of financial liabilities of the Group by maturity as of 31 December 2024
and 31 December 2023. The amounts in the table are contractual undiscounted cash flows. Trade and other
payables balances due within 12 months equal their carrying balances as the impact of discounting is not
significant.
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 39
Less than
one
month
Between
one
month
and three
months
Between
three and
six months
Between 6
months
and less
than one
year
Between 1
and 2
years
Between 2
and 5
years
Over five
years
Total
RUB’000
RUB’000
RUB’000
RUB’000
RUB’000
RUB’000
RUB’000
RUB’000
31 December 2024
Borrowings
445,773
797,133
1,220,323
1,762,832
2,462,506
2,116,448
-
8,805,015
Trade and
other
payables
1,297,634
22,061
-
-
-
-
-
1,319,695
Other lease
liabilities
114,088
176,256
253,958
464,494
293,212
594,550
-
1,896,558
1,857,495
995,450
1,474,281
2,227,326
2,755,718
2,710,998
-
12,021,268
31 December 2023
Borrowings
990,107
2,697,528
2,086,700
2,997,037
4,208,639
4,578,954
-
17,558,965
Trade and
other
payables
581,157
12,005
-
-
-
-
-
593,162
Other lease
liabilities
286,184
557,783
719,938
950,674
554,005
562,276
1,658
3,632,518
1,857,448
3,267,316
2,806,638
3,947,711
4,762,644
5,141,230
1,658
21,784,645
Note: statutory liabilities are excluded as the analysis is provided for financial liabilities only.
(a) Capital risk management
The Group’s main objective when managing capital is to maintain the ability to continue as a going concern in
order to ensure the required profitability of the Group, maintain optimum equity structure and reduce its cost of
capital.
Defining capital, the Group uses the amount of net assets attributable to the Company’s equity owners and the
Group’s borrowings.
The Group manages the capital based on borrowings to total capitalisation ratio. Borrowings include loan liabilities.
To maintain or change its equity structure, the Company may vary the amount of dividend paid or sell assets in
order to reduce debts.
Total capitalisation is calculated as the sum of the total Group borrowings and total equity attributable to the equity
owners of the Company. The management does not currently have any specific target for the rate of borrowings
to total capitalisation.
The rate of borrowings to total capitalisation as at 31 December 2024 and 31 December 2023 are as follows:
2024
2023
RUB’000
RUB’000
Total borrowings
7,725,266
15,377,104
Total capitalisation
133,099,588
115,230,460
Total borrowings to total capitalisation ratio (percentage)
5.80%
13.34%
External requirements are imposed on the capital of the Group as defined by management in relation to long-term
loans provided by financial institutions to the Company and certain subsidiaries of the Company. The Group
analyses compliance with external requirements to the capital at each reporting date and when entering into new
loan agreements and lease contracts. There were no instances of non-compliance with externally imposed capital
requirements during 2024 and 2023. Management believes that the Group will be able to comply with its external
requirements to the capital during the whole term of agreements.
Fair value estimation
Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction
between market participants at the measurement date. The best evidence of fair value is price in an active market.
An active market is one in which transactions for the asset or liability take place with sufficient frequency and
volume to provide pricing information on an ongoing basis.
The estimated fair values of financial instruments have been determined by the Group, using available market
information, where it exists, appropriate valuation methodologies and assistance of experts. However, judgement
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 40
is necessarily required to interpret market data to determine the estimated fair value. The Russian Federation
continues to display some characteristics of an emerging market and economic conditions continue to limit the
volume of activity in the financial markets. Market quotations may be outdated or reflect distress sale transactions
and therefore do not always represent the fair values of financial instruments. The Group has used all available
market information in estimating the fair value of financial instruments.
Fair value measurements are analysed by level in the fair value hierarchy as follows: (i) level one are
measurements at quoted prices (unadjusted) in active markets for identical assets or liabilities, (ii) level two
measurements are valuations techniques with all material inputs observable for the asset or liability, either directly
(that is, as prices) or indirectly (that is, derived from prices), and (iii) level three measurements are valuations not
based on observable market data (that is, unobservable inputs). Management applies judgement in categorising
financial instruments using the fair value hierarchy. If a fair value measurement uses observable inputs that require
significant adjustment, that measurement is a Level 3 measurement. The significance of a valuation input is
assessed against the fair value measurement in its entirety.
The fair values in level 2 and level 3 of fair value hierarchy were estimated using discounted cash flows valuation
techniques. The fair value of unquoted fixed and floating interest rate instruments which are not quoted in an
active market was estimated based on estimated future cash flows expected to be received discounted at current
interest rates for new instruments with similar credit risk and remaining maturity.
Financial assets at amortised cost. The fair value of floating rate instruments is normally their carrying amount.
The estimated fair value of fixed interest rate instruments is based on estimated future cash flows expected to be
received, discounted at current interest rates for new instruments with similar credit risk and remaining maturity.
Discount rates used depend on credit risk of the counterparty.
The fair values of financial assets do not materially differ from their carrying amounts as the impact of discounting
is not significant.
Financial liabilities carried at amortised cost. Fair values of borrowings and other liabilities were determined
using valuation techniques.
As at 31 December 2024 and 31 December 2023 there were no fixed or floating interest rate instruments with
stated maturity denominated in a currency other than the Russian Rouble.
The fair value as at 31 December 2024 and 31 December 2023 of fixed interest rate instruments with stated
maturity denominated in Russian Rouble was estimated based on expected cash flows discounted using the rate
of similar Russian Rouble denominated instruments entered into by the Group close to 31 December 2024 and
31 December 2023, respectively. The discount rate used was 25.2% p.a. (2023: 18.5% p.a.) (Note 28). The fair
value as at 31 December 2023 of the fixed interest rate non-convertible bonds was equal to their quoted price
and the resulting fair value measurement is within level 1.
The fair value of liabilities repayable on demand or after a notice period (“demandable liabilities”) is estimated as
the amount payable on demand, discounted from the first date on which the amount could be required to be paid.
6. New accounting pronouncements
Certain new standards and interpretations have been issued that are mandatory for the annual periods beginning
on or after 1 January 2025 or later, and which the Group has not early adopted.
Lack of exchangeability – Amendments to IAS 21 The Effects of Changes in Foreign Exchange Rates (issued on
15 August 2023 and effective for annual periods beginning on or after 1 January 2025).
IFRS 18 Presentation and Disclosure in Financial Statements (issued on 9 April 2024 and effective for annual
periods beginning on or after 1 January 2027). The Group is currently assessing the impact of the amendments
on its consolidated financial statements.
IFRS 19 Subsidiaries without Public Accountability: Disclosures (issued on 9 May 2024 and effective for annual
periods beginning on or after 1 January 2027).
Amendments to the Classification and Measurement of Financial Instruments – Amendments to IFRS 9 and IFRS
7 (issued on 30 May 2024 and effective for annual periods beginning on or after 1 January 2026).
Annual Improvements to IFRS Accounting Standards – Amendments to IFRS 1, IFRS 7, IFRS 9, IFRS 10 and
IAS 7 (issued on 18 July 2024 and effective for annual periods beginning on or after 1 January 2026).
Sale or Contribution of Assets between an Investor and its Associate or Joint Venture – Amendments to IFRS 10
and IAS 28 (issued on 11 September 2014 and effective for annual periods beginning on or after a date to be
determined by the International Accounting Standards Board (IASB)).
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 41
Unless otherwise described above, the new standards and interpretations are not expected to affect significantly
the Group’s consolidated financial statements.
7. Critical accounting estimates and judgements
Estimates and judgements are continually evaluated and are based on historical experience and other factors,
including expectations of future events that are believed to be reasonable under the circumstances.
(a) Critical accounting estimates and assumptions
The Group makes estimates and assumptions concerning the future. The resulting accounting estimates will, by
definition, seldom equal the related actual results. The estimates and assumptions that have a significant risk of
causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are
discussed below:
i) Tax legislation
Russian tax, currency and customs legislation is subject to varying interpretations (Note 33).
(b) Critical judgements in applying in Group’s accounting policies
The Group also makes certain judgements, apart from those involving estimations, in the process of applying the
accounting policies. Judgements that have the most significant effect on the amounts recognised in the financial
statements and estimates that can cause a significant adjustment to the carrying amount of assets and liabilities
within the next financial year are discussed below:
Revenue recognition
The assessment of the accounting treatment of certain of the Group’s revenue contracts requires management
to make certain critical judgments. The judgments that had the most significant effect on management's
conclusion are the following:
•
Identification of performance obligations
Operator’s services contracts involve the provision by the Group of a wide range of services. Management
believes that, although some of these services can be obtained by the clients from the market separately
and different combinations of services can be provided to different customers, in the context of each
individual contract with a customer, the services provided by the Group are highly dependent and interrelated
with each other and, therefore, are not distinct. In making this assessment, management noted that, despite
the fact that the Group’s contracts contain a promise to deliver multiple services, the nature of the promise
within the context of the contracts and the economic substance of the transaction is that the customers are
purchasing integrated operator’s services to which the individual services promised are inputs rather than
separate services and consequently this is considered to constitute a single performance obligation.
•
Assessment as to whether the Group is acting as an agent or principal for certain operator’s services
contracts
Operator’s services are rendered using own or leased rolling stock. In those cases when the Group’s
customers do not interact with providers of infrastructure tariff, a full service is charged by the Group to its
customers and the infrastructure tariff is borne by the Group with or without further recharge to its customers.
There are certain characteristics indicating that the Group is acting as an agent in these arrangements,
particularly the fact that infrastructure tariffs are available to the public and therefore are known to the
customer. However, the services are rendered with the use of own or leased rolling stock and the Group
bears the infrastructure tariff to bring the rolling stock back or to the next destination. The Group is
independent in its pricing policy and considers its potential loss for empty run tariff.
Management’s position is that the Group acts as a principal in these arrangements and the Group accounts
for full receipts from customers as sales revenue and the infrastructure tariff is also included in cost of sales.
Management believes that the Group is acting as a principal in these arrangements as it is the party that
controls the services prior these are transferred to the customers and, through separate arrangements with
providers of infrastructure tariff, obtains the right to direct them to provide services on its behalf.
Had the infrastructure tariff directly attributable to such services been excluded from revenues and cost of
sales for the year ended 31 December 2024 both would have decreased by RUB 11,979,807 thousand
(2023: RUB 12,963,846 thousand).
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 42
8. Segmental information
The chief operating decision-maker has been identified as the Board of Directors of the Company. The Board
reviews the Group’s internal reporting in order to assess performance and allocate resources. Management has
determined the operating segments based on these reports.
The Board considers the business from two perspectives: by type of activity and by type of rolling stock used.
From a type of activity perspective, the Board reviews revenues with no further analysis of the underlying cost
components. From the type of rolling stock used perspective, the Board assesses the performance of each type
of rolling stock at the level of adjusted revenue. In particular, the Board reviews discrete financial information for
gondola cars and rail tank cars, whereas all other types of rolling stock (such as hopper cars and platforms) are
reviewed together.
Adjusted revenue for reportable segments is the measure of profit looked at by the chief operating decision-maker
and this includes the revenues derived from the relating type of rolling stock used less infrastructure tariff paid for
the loaded trips of the relevant rolling stock and services provided by other transportation organisations. Further,
the Board receives information in respect of depreciation charges for rolling stock and right-of-use assets relating
to rolling stock, amortisation charges for customer relationships, impairment charges/reversals of impairment in
respect of rolling stock, right-of-use assets relating to rolling stock and customer relationships and loss on
derecognition arising on capital repairs. All other information provided to the Board is measured in a manner
consistent with that in the financial statements.
The Board also reviews additions to segment assets. Segment assets consist of rolling stock, right-of-use assets
relating to rolling stock and customer relationships. Unallocated assets comprise all the assets of the Group except
for rolling stock, right-of-use assets relating to rolling stock and customer relationships, as included within segment
assets. Liabilities are not segmented since they are not reviewed from that perspective by the chief operating
decision maker. Capital expenditure comprises additions of rolling stock to property, plant and equipment and
additions of right-of-use assets relating to rolling stock.
The Group does not have transactions between different business segments.
Gondola cars
Rail tank
cars
Other
railcars
Total
RUB’000
RUB’000
RUB’000
RUB’000
Year ended 31 December 2024
Total revenue – operator’s services
60,441,210
43,207,916
-
103,649,126
Total revenue – operating lease
645,663
2,821,460
869,047
4,336,170
Revenue (from external customers)
61,086,873
46,029,376
869,047
107,985,296
less Infrastructure and locomotive tariffs - loaded trips
(4,138,052)
(7,841,755)
-
(11,979,807)
less Services provided by other transportation organisations
(3,449,066)
(644,082)
-
(4,093,148)
Adjusted revenue for reportable segments
53,499,755
37,543,539
869,047
91,912,341
Depreciation and amortisation
(7,324,553)
(2,308,345)
(232,919)
(9,865,817)
Reversal of impairment of property, plant and equipment
7,292
-
-
7,292
Loss on derecognition arising on capital repairs
(239,013)
(76,142)
(8)
(315,163)
Additions to non-current assets (included in reportable
segment assets)
4,384,098
2,714,805
25,264
7,124,167
Reportable segment assets
48,017,304
21,394,183
2,765,974
72,177,461
Gondola cars
Rail tank
cars
Other
railcars
Total
RUB’000
RUB’000
RUB’000
RUB’000
Year ended 31 December 2023
Total revenue – operator’s services
64,542,462
35,043,375
311
99,586,148
Total revenue – operating lease
282,535
3,414,292
841,363
4,538,190
Revenue (from external customers)
64,824,997
38,457,667
841,674
104,124,338
less Infrastructure and locomotive tariffs - loaded trips
(6,283,602)
(6,731,050)
-
(13,014,652)
less Services provided by other transportation organisations
(3,538,931)
(806,446)
-
(4,345,377)
Adjusted revenue for reportable segments
55,002,464
30,920,171
841,674
86,764,309
Depreciation and amortisation
(8,188,938)
(2,608,828)
(248,909)
(11,046,675)
Reversal of impairment/(impairment )of property, plant and
equipment
30,163
(8,111)
-
22,052
Loss on derecognition arising on capital repairs
(249,618)
(34,822)
(8)
(284,448)
Additions to non-current assets (included in reportable
segment assets)
7,039,168
2,393,800
23,924
9,456,892
Reportable segment assets
51,913,859
21,357,916
2,971,154
76,242,929
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 43
A reconciliation of total adjusted revenue to total profit before income tax is provided as follows:
2024
2023
RUB’000
RUB’000
Adjusted revenue for reportable segments
91,912,341
86,764,309
Other adjusted revenues
741,736
623,685
Total adjusted revenue
92,654,077
87,387,994
Cost of sales (excl. Infrastructure and locomotive tariffs - loaded trips,
services provided by other transportation organisations, reversal of
impairment/(impairment) of property, plant and equipment, depreciation of
property, plant and equipment and right-of-use assets, amortisation of
intangible assets and loss on derecognition arising on capital repairs)
(31,711,596)
(29,167,495)
Selling, marketing and administrative expenses (excl. depreciation,
amortisation and impairments)
(7,020,996)
(5,600,994)
Depreciation and amortisation
(10,136,118)
(11,298,975)
Net impairment losses on trade and other receivables
(2,150)
(50,258)
Reversal of impairment/(impairment) of property, plant and equipment
7,292
22,052
Loss on derecognition arising on capital repairs
(315,163)
(284,448)
Other gains – net
(167,824)
3,116,826
43,307,522
44,124,702
Finance income
10,381,193
2,173,246
Finance costs
(1,441,780)
(2,405,410)
Net foreign exchange transaction (losses)/gains on financing activities
(462,665)
3,194,185
Profit before income tax
51,784,270
47,086,723
Segment assets and liabilities are reconciled to the Group assets and liabilities as follows:
2024
2023
Assets
Liabilities
Assets
Liabilities
RUB’000
RUB’000
RUB’000
RUB’000
Segment assets/ liabilities
72,177,461
-
76,242,929
-
Unallocated:
Deferred tax liabilities
-
10,747,224
-
8,734,998
Current income tax assets/liabilities
352,120
13,843
149,107
75,280
Property, plant and equipment
1,575,792
-
1,166,593
-
Right-of-use assets
498,606
-
541,070
-
Intangible assets
24,210
-
2,076
-
Long term bank deposits
12,030,771
-
-
-
Other assets
8,199,410
-
3,464,737
-
Assets classified as held for sale
9,916
-
-
-
Trade receivables
5,407,845
-
4,627,397
-
Other receivables
399,186
-
272,353
-
Inventories
1,766,808
-
1,142,672
-
Cash and cash equivalents
46,080,128
-
42,776,832
-
Borrowings
-
7,725,266
-
15,377,104
Other lease liabilities
-
1,340,198
-
3,096,087
Trade and other payables
-
2,526,332
-
2,438,472
Contract liabilities
-
795,068
-
810,469
Total
148,522,253
23,147,931
130,385,766
30,532,410
Geographic information
Revenues from external customers
2024
2023
RUB’000
RUB’000
Revenue
Russia
108,727,032
104,714,413
Estonia
-
33,610
108,727,032
104,748,023
The revenue information above is based on the location where the sale has originated, i.e. on the location of the
respective subsidiary of the Group.
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 44
In the periods set out below, certain customers, included within the revenue generated in Russia, accounted for
greater or equal than 10% of the Group’s total revenues:
2024
2023
RUB’000
% revenue
RUB’000
% revenue
Revenue
Customer A – rail tank cars segment
26,415,038
24
21,732,232
21
Customer B – gondola cars segment
17,325,821
16
20,142,950
19
Customer C – gondola cars segment
10,874,502
10
11,492,224
11
The table below presents the Group’s non-current assets, other than financial instruments, deferred tax assets,
and post-employment benefit assets:
2024
2023
RUB’000
RUB’000
Non-current assets
Russia
89,805,566
78,106,332
Cyprus
-
9,268
89,805,566
78,115,600
9. Non-IFRS financial information
In addition to financial information under IFRS, the Group also use certain measures not recognised by IFRS
Accounting Standards (referred to as “non-IFRS measures”) as supplemental measures of the Group’s operating
and financial performance. The management believes that these non-IFRS measures provide valuable
information to readers, because they enable them to focus more directly on the underlying day-to-day performance
of the Group’s business. These might not be consistent with measures (of similar description) used by other
entities.
Adjusted Revenue
Adjusted Revenue is defined as “Total revenue” adjusted for “pass through” items: “Infrastructure and locomotive
tariffs: loaded trips” and “Services provided by other transportation organisations”. “Infrastructure and locomotive
tariffs: loaded trips” comprises revenue resulting from tariffs that customers pay to the Group and the Group pays
to providers of of infrastructure tariff, which are reflected in equal amounts in both the Group’s Total revenue and
Cost of sales. “Services provided by other transportation organisations” is revenue resulting from the tariffs that
customers pay to the Group and the Group pays on to third-party rail operators for subcontracting their rolling
stock, which are reflected in equal amounts in both the Group’s Total revenue and Cost of sales.
The following table provides details of Adjusted revenue for 2024 and 2023 and its reconciliation to Total revenue.
2024
2023
RUB’000
RUB’000
Total revenue
108,727,032
104,748,023
Minus “pass through” items
Infrastructure and locomotive tariffs: loaded trips
(11,979,807)
(13,014,652)
Services provided by other transportation organisations
(4,093,148)
(4,345,377)
Adjusted Revenue
92,654,077
87,387,994
Total Operating Cash Costs and Non-cash Costs
In order to show the dynamics and nature of the Group’s cost base, individual items of Total cost of sales, selling
and marketing costs and administrative expenses have been regrouped into Operating Cash Costs and Operating
Non-cash Costs.
Total Operating Cash Costs represent operating cost items payable in cash and calculated as “Total cost of
sales, selling and marketing costs and administrative expenses” less the “pass through” items: “Infrastructure and
locomotive tariffs: loaded trips” and “Services provided by other transportation organisations” and non-cash items:
“Depreciation of property, plant and equipment”, “Depreciation of right-of-use assets”, “Amortisation of intangible
assets”, “Net impairment losses on trade and other receivables”, “Reversal of impairment/(impairment) of
property, plant and equipment”, “Net gain/(loss) on sale of property, plant and equipment” and “Loss on
derecognition arising on capital repairs”.
Total Operating Non-cash Costs include cost items such as “Depreciation of property, plant and equipment”,
“Depreciation of right-of-use assets”, “Amortisation of intangible assets”, “Loss on derecognition arising on capital
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 45
repairs”, “Net impairment losses on trade and other receivables” “Reversal of impairment/(impairment) of property,
plant and equipment” and “Net gain/(loss) on sale of property, plant and equipment”.
Other Operating Cash Costs include cost items such as “Advertising and promotion”, “Auditors’ remuneration”,
“Communication costs”, “Information services”, “Legal, consulting and other professional fees”, “Expense relating
to short-term leases – office”, “Taxes (other than income tax and value added taxes)” and “Other expenses”.
2024
2023
RUB’000
RUB’000
“Pass through” cost items
(16,072,955)
(17,360,029)
Infrastructure and locomotive tariffs: loaded trips
(11,979,807)
(13,014,652)
Services provided by other transportation organisations
(4,093,148)
(4,345,377)
Total cost of sales, selling and marketing costs and administrative
expenses (adjusted for “pass through” cost items)
(49,178,731)
(46,380,118)
Total Operating Cash Costs
(38,792,408)
(35,048,708)
Infrastructure and locomotive tariffs - empty runs and other tariffs
(20,406,904)
(19,489,606)
Repairs and maintenance
(5,090,171)
(4,080,984)
Repairs and maintenance - third parties rolling stock
(301,361)
(192,931)
Employee benefit expense
(8,913,186)
(8,173,564)
Expense relating to short-term leases – rolling stock
(82,150)
(58,860)
Fuel and spare parts – locomotives
(2,344,619)
(1,957,931)
Engagement of locomotive crews
(145,435)
(93,812)
Other Operating Cash Costs
(1,508,582)
(1,001,020)
Advertising and promotion
(60,789)
(57,167)
Auditors' remuneration
(62,166)
(49,997)
Communication costs
(27,677)
(25,437)
Information services
(22,356)
(18,582)
Legal, consulting and other professional fees
(201,902)
(114,467)
Expense relating to short-term leases – office
(140,355)
(94,052)
Taxes (other than on income and value added taxes)
(18,076)
(13,534)
Other expenses
(975,261)
(627,784)
Total Operating Non-Cash Costs
(10,386,323)
(11,331,410)
Depreciation of property, plant and equipment
(8,057,441)
(8,852,851)
Depreciation of right-of-use assets
(2,071,896)
(2,445,695)
Amortisation of intangible assets
(6,781)
(429)
Loss on derecognition arising on capital repairs
(315,163)
(284,448)
Net impairment losses on trade and other receivables
(2,150)
(50,258)
Reversal of impairment/(impairment) of property, plant and equipment
7,292
22,052
Gain on sale of property, plant and equipment
59,816
280,219
Total cost of sales, selling and marketing costs and administrative
expenses
(65,251,686)
(63,740,147)
Adjusted EBITDA
Adjusted EBITDA represents EBITDA excluding “Net foreign exchange transaction (losses)/gains from financing
activities”, “Share of loss of associate”, “Other gains - net”, “Net (gain)/loss on sale of property, plant and
equipment”, “Reversal of impairment/(impairment) of property, plant and equipment”, “Loss on derecognition
arising on capital repairs” and “Reversal of impairment of intangible assets”.
EBITDA represents “Profit for the period” before “Income tax expense”, “Finance income - net” (excluding “Net
foreign exchange transaction (losses)/gains on financing activities), “Depreciation of property, plant and
equipment”, “Depreciation of right-of-use assets” and “Amortisation of intangible assets”.
The following table provides details on Adjusted EBITDA for 2024 and 2023 and its reconciliation to EBITDA and
Profit for the year:
2024
2023
RUB‘000
RUB‘000
Profit for the year
39,446,610
38,617,605
Plus (Minus)
Income tax expense
12,337,660
8,469,118
Finance income – net
(8,476,748)
(2,962,021)
Net foreign exchange transaction (losses)/gains on financing activities
(462,665)
3,194,185
Amortisation of intangible assets
6,781
429
Depreciation of right-of-use assets
2,071,896
2,445,695
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 46
Depreciation of property, plant and equipment
8,057,441
8,852,851
EBITDA
52,980,975
58,617,862
Plus (Minus)
Loss on derecognition arising on capital repairs
315,163
284,448
Net foreign exchange transaction (losses)/gains on financing activities
462,665
(3,194,185)
Other (losses)/gains – net
167,824
283,221
Profit from sale of subsidiaries
-
(3,400,047)
Gain on sale of property, plant and equipment
(59,816)
(280,219)
Reversal of impairment/(impairment) of property, plant and equipment
(7,292)
(22,052)
Adjusted EBITDA
53,859,519
52,289,028
Free Cash Flow
Free Cash Flow is calculated as “Cash generated from operations” (after “Changes in working capital”) less “Tax
paid”, “Interest paid on bank borrowings and non-convertible unsecured bonds”, “Interest paid on leases with
financial institutions”, “Interest paid on other lease liabilities”, “Purchases of property, plant and equipment”,
“Purchases of intangible assets”, “Acquisition of subsidiary undertakings - net of cash acquired”, “Acquisition of
non-controlling interest”, “Payment for rolling stock to disposed subsidiary”, “Principal elements of lease payments
for other lease liabilities” plus “Cash inflow from disposal of subsidiary undertakings - net of cash disposed of”.
Total CAPEX calculated on a cash basis as the sum of “Purchases of property, plant and equipment”, “Purchases
of intangible assets” and “Acquisition of subsidiary undertakings - net of cash acquired”.
Total CAPEX adjusted for M&A (a non-IFRS financial measure) is calculated as a combination of Total CAPEX
(which includes maintenance CAPEX) and cash inflows and outflows from acquisitions and disposals.
The Attributable Free Cash Flow means Free Cash Flow less Adjusted profit attributable to non-controlling
interests.
Adjusted Profit Attributable to Non-controlling Interests is calculated as “Profit attributable to non-controlling
interests” less share of “Impairment of property, plant and equipment” and “Impairment of intangible assets”
attributable to non-controlling interests.
The following table sets out details on Free Cash Flow and Attributable Free Cash Flow for 2024 and 2023, and
its reconciliation to Cash generated from operations.
2024
2023
RUB’000
RUB’000
Cash generated from operations
51,253,074
49,193,570
Tax paid
(10,589,794)
(8,267,084)
Interest paid on bank borrowings and non-convertible unsecured bonds
(1,136,050)
(2,051,443)
Interest paid on other lease liabilities
(338,799)
(460,093)
Purchases of property, plant and equipment
(10,590,959)
(8,259,858)
Payment for rolling stock to disposed subsidiary
-
(6,603,141)
Purchases of intangible assets
(28,010)
(745)
Principal elements of other lease payments
(2,241,558)
(2,477,780)
Cash inflow from disposal of subsidiary undertakings - net of cash disposed of
-
4,771,748
Total CAPEX
(10,618,969)
(8,260,603)
Total CAPEX adjusted for M&A
(10,618,969)
(10,091,996)
Free Cash Flow
26,327,904
25,845,174
Attributable Free Cash Flow
26,327,904
25,847,838
Net Debt and Net Debt to Adjusted EBITDA
Net Debt is defined as the sum of total borrowings (including interest accrued) less “Cash and cash equivalents”.
Total Debt is defined as total borrowings (including interest accrued)
The following table sets out the details on the Group’s Net Debt and Net Debt to Adjusted EBITDA at 31 December
2024 and 2023, and reconciliation of Net Debt to Total Debt.
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 47
2024
2023
RUB’000
RUB’000
Total debt
7,725,266
15,377,104
Minus
Cash and cash equivalents
46,080,128
42,776,832
Net Debt
(38,354,862)
(27,399,728)
Net Debt to Adjusted EBITDA
-0.71x
-0.52x
10. Revenue
(a)
Disaggregation of revenue
2024
2023
RUB’000
RUB’000
Railway transportation – operator’s services (tariff borne by the Group)
39,791,895
36,655,751
Railway transportation – operator’s services (tariff borne by the client)
63,857,231
62,930,397
Other
741,736
623,685
Total revenue from contracts with customers recognised over time
104,390,862
100,209,833
Operating lease of rolling stock
4,336,170
4,538,190
Total revenue
108,727,032
104,748,023
Note: Revenue from railway transportation – operators services (tariff borne by the Group) includes infrastructure
and locomotive tariffs for loaded trips for the year ended 31 December 2024 amounting to RUB 11,979,807
thousand (for the year ended 31 December 2023: RUB 13,014,652 thousand) and the cost of engaging the fleet
from third parties recharged to clients of the Group amounting to RUB 4,093,148 thousand (2023: RUB 4,345,377
thousand).
(b)
Liabilities related to contracts with customers
The Group has recognised the following liabilities related to contracts with customers as of 31 December 2023
and 31 December 2024:
31 December
2024
31 December
2023
1 January
2023
RUB’000
RUB’000
RUB’000
Current
Contract liabilities relating to railway transportation contracts –
Third parties
781,721
791,215
811,178
Contract liabilities relating to railway transportation contracts –
Related parties (Note 35)
-
1,467
2,228
781,721
792,682
813,406
Non-current
Contract liabilities relating to railway transportation contracts –
Third parties
13,347
12,909
9,575
Contract liabilities relating to railway transportation contracts –
Related parties (Note 35)
-
4,878
4,879
13,347
17,787
14,454
Total contract liabilities
795,068
810,469
827,860
Contract liabilities represent advances from customers for transportation services.
(c)
Revenue recognised in relation to contract liabilities
The Group’s revenue for the year ended 31 December 2024 includes RUB 797,306 thousand that were included
in the balance of the contract liability as of 1 January 2024 (year ended 31 December 2023: RUB 810,821 as of
1 January 2023).
The Group does not have any contracts where the period of provision of the services (that is, the period between
the start and completion of a trip) exceeds one year. As permitted under IFRS 15, the transaction price allocated
to unsatisfied (or partially unsatisfied) performance obligations as of the balance sheet date is not disclosed.
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 48
11. Expenses by nature
2024
2023
RUB’000
RUB’000
Cost of sales
Infrastructure and locomotive tariffs: loaded trips
11,979,807
13,014,652
Infrastructure and locomotive tariffs: empty run trips and other tariffs
20,406,904
19,489,606
Services provided by other transportation organisations
4,093,148
4,345,377
Expense relating to short-term leases (rolling stock)
82,150
58,860
Employee benefit expense
3,102,631
3,381,556
Repairs and maintenance
5,090,171
4,080,984
Repairs and maintenance - third parties rolling stock
301,361
192,931
Depreciation of property, plant and equipment
7,997,402
8,788,362
Depreciation of right-of-use assets
1,957,778
2,320,501
Loss on derecognition arising on capital repairs
315,163
284,448
Amortisation of intangible assets
3,220
414
Fuel and spare parts – locomotives
2,344,619
1,957,931
Engagement of locomotive crews
145,435
93,812
Gain on sale of property, plant and equipment
(43,799)
(275,960)
Reversal of impairment of property, plant and equipment
(7,292)
(22,052)
Other expenses
282,124
187,775
Total cost of sales
58,050,822
57,899,197
2024
2023
RUB’000
RUB’000
Selling, marketing and administrative expenses
Depreciation of property, plant and equipment
60,039
64,489
Depreciation of right-of-use assets
114,118
125,194
Amortisation of intangible assets
3,561
15
Gain on sale of property, plant and equipment
(16,017)
(4,259)
Employee benefit expense
5,810,555
4,792,008
Net impairment losses on trade and other receivables
2,150
50,258
Expense relating to short-term leases (office)
140,355
94,052
Auditors’ remuneration
62,166
49,997
Legal, consulting and other professional fees
201,902
114,467
Advertising and promotion
60,789
57,167
Communication costs
27,677
25,437
Information services
22,356
18,582
Taxes (other than income tax and value added taxes)
18,076
13,534
Other expenses
693,137
440,009
Total selling, marketing and administrative expenses
7,200,864
5,840,950
2024
RUB’000
2023
RUB’000
Total expenses
Depreciation of property, plant and equipment (Note 17)
8,057,441
8,852,851
Depreciation of right-of-use assets (Note 18)
2,071,896
2,445,695
Loss on derecognition arising on capital repairs (Note 17)
315,163
284,448
Amortisation of intangible assets (Note 19)
6,781
429
Reversal of impairment of property, plant and equipment (Note 17)
(7,292)
(22,052)
Gain on sale of property, plant and equipment (Note 17)
(59,816)
(280,219)
Employee benefit expense (Note 13)
8,913,186
8,173,564
Net impairment losses on trade and other receivables
2,150
50,258
Expense relating to short-term leases (rolling stock)
82,150
58,860
Expense relating to short-term leases (office)
140,355
94,052
Repairs and maintenance
5,090,171
4,080,984
Repairs and maintenance - third parties rolling stock
301,361
192,931
Fuel and spare parts – locomotives
2,344,619
1,957,931
Engagement of locomotive crews
145,435
93,812
Infrastructure and locomotive tariffs: loaded trips
11,979,807
13,014,652
Infrastructure and locomotive tariffs: empty run trips and other tariffs
20,406,904
19,489,606
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 49
Services provided by other transportation organisations
4,093,148
4,345,377
Auditors’ remuneration
62,166
49,997
Legal, consulting and other professional fees
201,902
114,467
Advertising and promotion
60,789
57,167
Communication costs
27,677
25,437
Information services
22,356
18,582
Taxes (other than income tax and value added taxes)
18,076
13,534
Other expenses
975,261
627,784
Total cost of sales, selling and marketing costs and administrative
expenses
65,251,686
63,740,147
Note: The auditors' remuneration stated above includes fees of RUB 20,844 thousand (2023: RUB 11,686
thousand) for statutory audit services and RUB 7,008 thousand (2023: RUB 4,308 thousand) for other assurance
services charged by the Company’s statutory audit firm. The rest of the auditors’ remuneration relates to fees for
audit services charged by the auditors of the subsidiaries of the Company.
Legal, consulting and other professional fees include RUB 281 thousand for the year 2024 (RUB NIL thousand
for the year 2023) in relation to fees paid to the Company’s statutory audit firm for tax consultancy services.
12. Other (losses)/gains – net
2024
2023
RUB’000
RUB’000
Other gains
537,658
338,368
Other losses
(774,303)
(628,581)
Net foreign exchange gains (Note 16)
68,821
6,992
Gain from sale of subsidiaries (Note 36)
-
3,400,047
Total other (losses)/gains – net
(167,824)
3,116,826
13. Employee benefit expense
2024
2023
RUB’000
RUB’000
Wages and salaries
4,171,014
3,282,401
Termination benefits
55,534
3,397
Bonuses
3,286,763
3,553,688
Social insurance costs
1,399,875
1,334,078
Total employee benefit expense
8,913,186
8,173,564
Average number of employees during the year
1,792
1,771
14. Finance income/(costs) - net
2024
2023
RUB’000
RUB’000
Interest expense:
Bank borrowings
(1,080,997)
(1,733,788)
Non-convertible bonds
(13,850)
(204,879)
Total interest expense calculated using the effective interest rate method
(1,094,847)
(1,938,667)
Other lease liabilities
(333,407)
(464,560)
Total interest expense
(1,428,254)
(2,403,227)
Other finance costs
(13,526)
(2,183)
Total finance costs
(1,441,780)
(2,405,410)
Interest income:
Bank balances
2,223,099
1,654,015
Short and long term deposits
8,136,419
492,734
Loans to related parties (Note 35)
-
9,666
Loans to third parties
-
2,726
Total interest income calculated using the effective interest rate method
10,359,518
2,159,141
Finance leases – related parties (Note 35)
662
609
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 50
Finance leases – third parties
20,963
13,496
Total interest income
10,381,143
2,173,246
Other finance income
50
-
Total finance income
10,381,193
2,173,246
Net foreign exchange transaction losses on borrowings and other liabilities
-
(70,925)
Net foreign exchange transaction (losses)/gains on cash and cash equivalents and
other monetary assets
(462,665)
3,265,110
Net foreign exchange transaction (losses)/gains on financing activities (Note 16)
(462,665)
3,194,185
Net finance income
8,476,748
2,962,021
15. Income tax expense
2024
2023
RUB’000
RUB’000
Current tax:
Corporation tax
10,229,046
8,111,952
Withholding tax on dividends
38,991
702,849
Withholding tax on interest payments
57,397
558
Total current tax
10,325,434
8,815,359
Deferred tax (Note 30):
Origination and reversal of temporary differences
(135,404)
(346,241)
Deferred tax effect from the increase in tax rate to 25% in Russian Federation
2,147,630
-
Total deferred tax
2,012,226
(346,241)
Income tax expense
12,337,660
8,469,118
The Company has applied the mandatory exception to recognising and disclosing information about deferred tax
assets and liabilities arising from Pillar Two income taxes. Furthermore, the Company has reviewed its corporate
structure in light of the introduction of Pillar Two Model Rules in various jurisdictions. Since the Group’s effective
tax rate is well above 15% in all jurisdictions in which it operates, it has determined that it is not subject to Pillar
Two “top-up” taxes. Therefore, the parent company financial statements do not include information required by
paragraphs 88A-88D of IAS 12.
On 12 July 2024, Federal Law No. 176-FZ on Amendments to part one and part two of the Tax Code of the
Russian Federation, certain legislative acts of the Russian Federation and on the invalidation of certain provisions
of legislative acts of the Russian Federation was adopted (published on 12 July 2024, hereinafter referred to as
the “Law”). In accordance with the provisions of the Law, the corporate income tax rate was increased from 20%
to 25%. This change became effective starting 1 January 2025.
In accordance with IAS 12, deferred tax assets and liabilities recognised as at 31 December 2024 were
remeasured by the Group using the new income tax rate of 25%. The effect of this remeasurement is recognised
in the consolidated statement of financial position, the consolidated statement of profit or loss and other
comprehensive income of the consolidated financial statements for 2024 within income taxes in the amount of
RUB 2,147,630 thousand, deferred tax assets in the amount of RUB 317,157 thousand and deferred tax liabilities
in the amount of RUB (2,464,788) thousand.
The tax on the Group’s profit before tax differs from the theoretical amount that would arise using the applicable
tax rates as follows:
2024
2023
RUB’000
RUB’000
Profit before tax
51,784,270
47,086,723
Tax calculated at domestic tax rates applicable to profits in the respective
countries
10,296,099
10,699,255
Tax effects of:
Expenses not deductible for tax purposes
59,417
(218,447)
Allowances and income not subject to tax
32,492
132,196
Tax effect of tax losses for which no deferred tax asset was recognised
(3,531)
(4,629)
Tax effect of revaluation of deferred tax liabilities at current tax rates
2,147,630
-
Withholding taxes:
Estonian income tax arising on distribution(1)
-
(497,474)
Dividend tax provision in relation to intended dividend distribution of
subsidiaries
(75,031)
(1,744,903)
Withholding tax on interest payments
79,243
558
Over provision of current and deferred tax in prior years
(198,659)
(131,004)
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 51
Windfall tax
-
233,566
Tax charge
12,337,660
8,469,118
(1) Estonian tax law calls for profits to be taxed at the time of distribution and not during the year in which they
arise. During the year 2023, the Group incurred taxes on distributions from Estonian subsidiaries.
As of 31 December 2024 the Company is subject to income tax on taxable profits at the rate of 9.0%. 0% corporate
tax rate applies on qualifying income in United Arab Emirates tax legislation. As of 31 December 2023 the
Company was subject to income tax on taxable profits at the rate 12.5%.
For Russian subsidiaries, the annual profit is taxed at 20%. Withholding tax is applied to dividends distributed to
the Company by its Russian subsidiaries at the rate of 15% (5% in 2023) on gross dividends declared; such tax
is withheld at source by the respective subsidiary and is paid to the Russian tax authorities at the same time when
the payment of dividend is effected. Dividend withholding tax provision is recognised in the respective periods for
the withholding taxes that will be payable by Russian subsidiaries where there is an intention that earnings will be
distributed to the Company in the form of dividends.
The Group has not recognised any tax in relation to other comprehensive income as all elements of other
comprehensive income are not subject to tax.
16. Net foreign exchange (losses) / gains
The exchange differences credited to the income statement are included as follows:
2024
2023
RUB’000
RUB’000
Finance income/(costs) - net (Note 14)
(462,665)
3,194,185
Other gains – net (Note 12)
68,821
6,992
(393,844)
3,201,177
17. Property, plant and equipment
Rolling stock
Land and
buildings
Motor
vehicles
Other
Total
RUB’000
RUB’000
RUB’000
RUB’000
RUB’000
At 1 January 2023
Cost
128,806,367
447,195
247,323
1,046,626
130,547,511
Accumulated depreciation
(52,034,377)
(149,548)
(143,343)
(613,317)
(52,940,585)
Net book amount
76,771,990
297,647
103,980
433,309
77,606,926
Year ended 31 December 2023
Opening net book amount
76,771,990
297,647
103,980
433,309
77,606,926
Additions
8,566,804
298,653
66,086
138,444
9,069,987
Disposals
(368,595)
-
(9,215)
(9,637)
(387,447)
Disposed through disposals of subsidiaries
(1,135,154)
(12,377)
(15,245)
(1,039)
(1,163,815)
Depreciation charge (Note 11)
(8,729,125)
(16,660)
(20,982)
(86,084)
(8,852,851)
Transfers
164
69,399
-
(69,563)
-
Impairment charge
(8,111)
-
-
-
(8,111)
Reversal of impairment
30,163
-
-
-
30,163
Transfer to inventories
(800,263)
(33)
-
(206)
(800,502)
Derecognition arising on capital repairs
(284,448)
-
-
-
(284,448)
Currency translation differences
1,660
18
21
77
1,776
Closing net book amount
74,045,085
636,647
124,645
405,301
75,211,678
At 31 December 2023
Cost
130,579,728
795,400
255,216
1,060,247
132,690,591
Accumulated depreciation
(56,534,643)
(158,753)
(130,571)
(654,946)
(57,478,913)
Net book amount
74,045,085
636,647
124,645
405,301
75,211,678
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 52
Rolling stock
Land and
buildings
Motor
vehicles
Other
Total
RUB’000
RUB’000
RUB’000
RUB’000
RUB’000
At 1 January 2024
Cost
130,579,728
795,400
255,216
1,060,247
132,690,591
Accumulated depreciation
(56,534,643)
(158,753)
(130,571)
(654,946)
(57,478,913)
Net book amount
74,045,085
636,647
124,645
405,301
75,211,678
Year ended 31 December 2024
Opening net book amount
74,045,085
636,647
124,645
405,301
75,211,678
Additions
6,739,854
73,581
89,612
412,105
7,315,152
Disposals
(52,871)
-
(12,964)
(234)
(66,069)
Depreciation charge (Note 11)
(7,913,118)
(33,069)
(25,198)
(89,972)
(8,061,357)
Transfers
3,749
520
(630)
(3,639)
-
Reversal of impairment
7,292
-
-
-
7,292
Transfer to inventories
(966,825)
-
-
(913)
(967,738)
Derecognition arising on capital repairs
(315,163)
-
-
-
(315,163)
Closing net book amount
71,548,003
677,679
175,465
722,648
73,123,795
At 31 December 2024
Cost
132,513,456
869,650
292,644
1,462,425
135,138,175
Accumulated depreciation
(60,965,453)
(191,971)
(117,179)
(739,777)
(62,014,380)
Net book amount
71,548,003
677,679
175,465
722,648
73,123,795
Useful lives of rolling stock
The estimation of the useful lives of items of rolling stock is a matter of judgment based on the experience with
similar assets. The future economic benefits embodied in the assets are consumed principally through use.
However, other factors, such as technical or commercial obsolescence and wear and tear, often result in the
diminution of the economic benefits embodied in the assets. The Group assesses the remaining useful lives of its
rolling stock as of each balance sheet date taking into account the current technical conditions of the assets and
estimated period during which the assets are expected to earn benefits for the Group. The following primary
factors are considered: (a) the expected usage of the assets; (b) the expected physical wear and tear, which
depends on operational factors and maintenance programme; and (c) the technical or commercial obsolescence
arising from changes in market conditions.
Based on management’s assessment, the useful economic life of the Group’s rolling stock as of 31 December
2024 is considered appropriate.
Residual values of rolling stock
The Group reviews and adjusts the residual values of its rolling stock and wheel pairs as of each balance sheet
date, taking into account, among others, the price of scrap metal as of the assessment date. Management has
revised the residual value of the Group’s rolling stock and wheel pairs as of 1 January 2024, following a significant
decrease in market prices of scrap metal. In making this assessment, management took into account actual scrap
prices achieved by the Group near the assessment date and available market information on the level of scrap
metal as at that date.
As a result of the revision of the residual values of the Group’s rolling stock and wheel pairs, the depreciation
charged in the income statement for the year ended 31 December 2024 is RUB 937,199 thousand lower than the
one that would have been charged for the same period if there was no revision in residual values (the year ended
31 December 2023 is RUB 915,451 thousand higher than the one that would have been charged for the same
period if there was no revision in residual values). A reasonable change in the inputs used by management would
not result in material differences.
Based on management’s assessment, the residual values of the Group’s rolling stock as of 31 December 2024
are considered appropriate.
Impairment assessment of rolling stock
The Group assesses at each balance sheet date whether there are indications for impairment of the Group’s
property, plant and equipment, in accordance with its accounting policy for impairment of non-financial assets, as
set out in Note 4.
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 53
In the cash flow statement, proceeds from sale of property, plant and equipment comprise:
2024
2023
RUB’000
RUB’000
Net book amount
66,069
387,447
Gains on sale of property, plant and equipment (Note 11)
59,816
280,219
Consideration from sale of property, plant and equipment
125,885
667,666
The consideration from sale of property, plant and equipment is further analysed as follows:
2024
2023
RUB’000
RUB’000
Cash consideration received within year
148,604
626,548
Movement in advances received for sales of property, plant and equipment
(22,719)
41,118
125,885
667,666
The total net book value of pledged property, plant and equipment (included above) which are held as collateral
for the borrowings and loans are as follows (Note 28):
2024
2023
RUB’000
RUB’000
Rolling stock
4,641,143
13,649,738
Depreciation expense of RUB 7,997,402 thousand in 2024 (2023: RUB 8,788,362 thousand) has been charged
to “cost of sales” and RUB 60,039 thousand in 2024 (2023: RUB 64,489 thousand) has been charged to “selling,
marketing and administrative expenses” (Note 11).
18. Right-of-use assets
Rolling stock
Land and
buildings
Total
RUB’000
RUB’000
RUB’000
Year ended 31 December 2023
Opening net book amount
3,675,184
162,843
3,838,027
Additions
890,088
19,146
909,234
Disposals
(189,047)
-
(189,047)
Disposals through subleases
-
(38,136)
(38,136)
Change of terms of leases
139,169
533,781
672,950
Depreciation charge (Note 11)
(2,317,550)
(128,145)
(2,445,695)
Currency translation differences
-
7
7
Disposed through disposals of subsidiaries
-
(8,426)
(8,426)
As at 31 December 2023
2,197,844
541,070
2,738,914
Rolling stock
Land and
buildings
Total
RUB’000
RUB’000
RUB’000
Year ended 31 December 2024
Opening net book amount
2,197,844
541,070
2,738,914
Additions
384,313
94,540
478,853
Disposals
-
(679)
(679)
Disposals through subleases
-
(30,905)
(30,905)
Change of terms of leases
-
16,672
16,672
Depreciation charge (Note 11)
(1,952,699)
(119,197)
(2,071,896)
Early termination
-
(2,895)
(2,895)
As at 31 December 2024
629,458
498,606
1,128,064
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 54
Summarised information for the Group’s right-of-use assets
In accordance with the Group’s accounting policy for leases as disclosed in Note 4, right-of-use assets and
associated lease liabilities are presented as separate lines on the face of the Consolidated statement of financial
position.
The total cash outflow for leases in 2024 was RUB 2,580,357 thousand (2023: RUB 2,937,873 thousand).
19. Intangible assets
Computer software
Total
RUB’000
RUB’000
At 1 January 2023
Cost
12,934
12,934
Accumulated amortisation
(11,174)
(11,174)
Net book amount
1,760
1,760
Year ended 31 December 2023
Opening net book amount
1,760
1,760
Additions
745
745
Amortisation charge (Note 11)
(429)
(429)
Closing net book amount
2,076
2,076
At 31 December 2023
Cost
2,907
2,907
Accumulated amortisation
(831)
(831)
Net book amount
2,076
2,076
Year ended 31 December 2024
Opening net book amount
2,076
2,076
Additions
28,915
28,915
Amortisation charge (Note 11)
(6,781)
(6,781)
Closing net book amount
24,210
24,210
At 31 December 2024
Cost
31,535
31,535
Accumulated amortisation
(7,325)
(7,325)
Net book amount
24,210
24,210
Amortisation of RUB 3,220 thousand (2023: RUB 414 thousand) has been charged to “cost of sales” in the income
statement and RUB 3,561 thousand (2023: RUB 15 thousand) to “selling, marketing and administrative expenses”
(Note 11).
20. Long term bank deposits
2024
2023
RUB’000
RUB’000
Long term bank deposits
12,030,771
-
12,030,771
-
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 55
The long term deposits have a maturity of 36 months.
Long term bank deposits are denominated in the following currencies:
2024
2023
RUB’000
RUB’000
Chinese Yuan
12,030,771
-
Total long term bank deposits
12,030,771
-
21. Principal subsidiaries
The Company had the following subsidiaries at 31 December 2024 and 31 December 2023:
Name
Place of
business/ country
of
incorporation
Principal activities
Proportion of ordinary
shares held by the
Company (%)
Proportion of ordinary
shares held by the Group
(%)
2024
2023
2024
2023
New Forwarding
Company, АО
Russia
Railway transportation
100
100
100
100
GTI Management, OOO
Russia
Railway transportation
100
100
100
100
GTI Finance, OOO1
Russia
Purchase of GDRs of
Globaltrans Investment Plc
-
-
100
-
Ural Wagonrepair
Company, AO
Russia
Repair and maintenance of
rolling stock
100
100
100
100
Ukrainian New
Forwarding Company
OOO
Ukraine
Railway transportation
100
100
100
100
BaltTransServis, OOO
Russia
Railway transportation
100
100
100
100
BTS-Locomotive
Solutions, OOO2
Russia
Support activities for
locomotive traction
-
-
100
100
RemTransServis, OOO3
Russia
Repair and maintenance of
rolling stock
-
-
100
100
GLTR Cyprus Limited
Cyprus
Operation in Cyprus
100
100
100
100
Adaptive Capital Ltd.
Kazakhstan
Purchase of GDRs of
Globaltrans Investment Plc
100
-
100
-
1.
GTI Finance, OOO is a 99.9% subsidiary of GTI Management, OOO and 0.1% subsidiary of New Forwarding Company, AO.
2.
BTS-Locomotive Solutions, OOO is a 100% subsidiary of BaltTransServis, OOO.
3.
RemTransServis, OOO is a 100% subsidiary of BaltTransServis, OOO.
All subsidiary undertakings are included in the consolidation. The proportion of the voting rights in the subsidiary
undertakings held directly by the parent company do not differ from the proportion of ordinary shares held.
In January 2023 the Group disposed of its shareholding 65.25% in Spacecom AS for EUR 65,300,000.
In September 2023 the Group incorporated a new Cyprus company GLTR Cyprus Limited and holds 100% shares.
In November 2024 the Company bought a new dormant Kazakhstan company Adaptive Capital Ltd. and holds
100% shares.
Significant restrictions
There are no significant restrictions, statutory, contractual, regulatory, or arising from protective rights of non-
controlling interests, on the ability of the Group to access or use the assets and settle the liabilities of the Group.
Summarised financial information of subsidiaries with material non-controlling interests
Set out below are the summarised financial information for each subsidiary that has non-controlling interests that
are material to the Group. The financial information of Spacecom AS includes Spacecom Trans AS.
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 56
Summarised income statement
Spacecom AS
2024
2023
RUB’000
RUB’000
Revenue
-
33,610
Loss before income tax
-
(7,312)
Income tax expense
-
-
Post-tax loss from continuing operations
-
(7,312)
Other comprehensive loss
-
(6,944,213)
Total comprehensive loss
-
(6,951,525)
Total comprehensive loss allocated to non-
controlling interests
-
(2,541)
Dividends paid to non-controlling interest
-
-
Summarised cash flow statements
Spacecom AS
2024
2023
RUB’000
RUB’000
Cash flows from operating activities
Cash generated from/(used in) operations
-
921,130
Income tax paid
-
-
Net cash generated from/(used in)
operating activities
-
921,130
Net cash generated from/(used in)
investing activities
-
(3,175)
Net cash used in financing activities
-
(962,408)
Net increase/(decrease) in cash and cash
equivalents
-
(44,453)
Cash and cash equivalents at beginning of
year
-
222,442
Exchange differences on cash and cash
equivalents
-
(1,310)
Cash and cash equivalents at end of year
-
176,679
The information above includes the amounts before inter-company eliminations.
22. Financial assets
(a)
Trade receivables
2024
2023
RUB’000
RUB’000
Trade receivables – third parties
5,419,744
4,641,832
Trade receivables – related parties (Note 35)
-
765
Less: Provision for impairment of trade receivables
(11,899)
(15,200)
Trade receivables – net
5,407,845
4,627,397
Current portion
5,407,845
4,627,397
The carrying amounts of the Group’s trade receivables are denominated in the following currencies:
2024
2023
RUB’000
RUB’000
Currency:
Russian Roubles
5,407,845
4,627,397
5,407,845
4,627,397
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 57
According to the management’s estimates, the fair values of trade receivables do not materially differ from their
carrying amounts as the impact of discounting is not significant.
(b)
Оther receivables
2024
2023
RUB’000
RUB’000
Other receivables – third parties
427,450
297,959
Other receivables – related parties (Note 35)
-
26
Less: Provision for impairment of other receivables
(28,264)
(25,632)
Оther receivables – net
399,186
272,353
Current portion
399,186
272,353
The carrying amounts of the Group’s other receivables are denominated in the following currencies:
2024
2023
RUB’000
RUB’000
Currency:
Russian Roubles
399,186
272,353
399,186
272,353
According to the management’s estimates, the fair values of other receivables do not materially differ from their
carrying amounts as the impact of discounting is not significant.
23. Other assets
2024
2023
RUB’000
RUB’000
Prepayments – third parties
8,022,502
3,283,283
Prepayments – related parties (Note 35)
554
-
Finance leases to third parties
63,018
137,801
Finance leases to related parties (Note 35)
-
959
VAT recoverable
113,336
42,694
Other assets
8,199,410
3,464,737
Less non-current portion:
Finance leases to third parties
54,752
33,378
Prepayments for property, plant and equipment
3,488,810
162,932
Total non-current portion
3,543,562
196,310
Current portion
4,655,848
3,268,427
The Group’s finance leases as at 31 December 2024 and 31 December 2023 are denominated in Russian
Roubles. The finance lease receivables are scheduled as follows:
Less than
one year
Between 1
to 5 years
Over 5 years
Total
RUB’000
RUB’000
RUB’000
RUB’000
At 31 December 2024
Minimum lease receivable
23,671
83,569
-
107,240
Less: Unearned finance income
(15,405)
(28,817)
-
(44,222)
Present value of minimum lease receivables
8,266
54,752
-
63,018
At 31 December 2023
Minimum lease receivable
118,819
50,174
1,179
170,172
Less: Unearned finance income
(13,437)
(17,954)
(21)
(31,412)
Present value of minimum lease receivables
105,382
32,220
1,158
138,760
According to the management’s estimates, the fair values of finance lease receivables do not materially differ
from their carrying amounts as the impact of discounting is not significant.
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 58
The effective interest rates on finance lease receivables at the balance sheet were as follows:
2024
2023
%
%
Finance leases to third parties
25.2
16.05
24. Inventories
2024
2023
RUB’000
RUB’000
Raw materials, spare parts and consumables
1,766,808
1,142,672
1,766,808
1,142,672
All inventories are stated at cost.
25. Cash and cash equivalents
2024
2023
RUB’000
RUB’000
Cash at bank and in hand
4,491,117
42,617,451
Short term bank deposits
41,589,011
159,381
Total cash and cash equivalents
46,080,128
42,776,832
The weighted average effective interest rate on short-term deposits was 18.62-23.47% in 2024 (2023: 10.5-
12.87%) and these deposits have a maturity of 1 to 18 days (2023: 1 to 12 days).
Cash and cash equivalents include the following for the purposes of the cash flow statement:
2024
2023
RUB’000
RUB’000
Cash and bank balances
46,080,128
42,776,832
Total cash and cash equivalents
46,080,128
42,776,832
Cash and cash equivalents are denominated in the following currencies:
2024
2023
RUB’000
RUB’000
Russian Rouble
44,314,930
41,902,714
US Dollar
887,503
29,478
Euro
11,603
844,640
Emirati dirham
866,092
-
Total cash and cash equivalents
46,080,128
42,776,832
The carrying value of cash and cash equivalents approximates their fair value.
26. Share capital, share premium and treasury shares
Number of
shares
outstanding
Share
capital
Share
premium
Treasury
shares
Total
RUB’000
RUB’000
RUB’000
RUB’000
At 1 January 2023
178,740,916
516,957
27,929,478
(145,993)
28,300,442
Cancellation of treasury shares
(422,657)
(1,222)
-
145,993
144,771
At 31 December 2023/1 January 2024
178,318,259
515,735
27,929,478
-
28,445,213
Purchase of treasury shares
(26,126,074)
-
-
(13,925,644)
(13,925,644)
At /31 December 2024
152,192,185
515,735
27,929,478
(13,925,644)
14,519,569
The total authorised number of ordinary shares at 31 December 2024 was 233,495,471 shares with a par value
of US$0.10 per share (31 December 2023: 233,495,471 shares with a par value of US$0.10 per share). Total
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 59
number of ordinary shares issued at 31 December 2024 was 178,318,259 (31 December 2023: 178,318,259
shares). All issued shares are fully paid.
In accordance with the decision of the Adjourned Extraordinary General Meeting of shareholders and its Board of
Directors’ meeting dated 7 October 2024, the Company’s indirect subsidiary, LLC “GTI Finance”, has launched
an on-exchange tender offer to purchase certain global depositary receipts (“GDRs”) of the Company held in the
National Settlement Depository and PJSC “SPB Bank”. The buyback programme was completed on 6 November
2024.
In accordance with the decision of the Board of Directors’ meeting dated 25 November 2024, the Company’s
direct subsidiary, Adaptive Capital Ltd., has launched an on-exchange tender offer to purchase certain GDRs of
the Company held through Astana International Exchange Central Securities Depository Limited. The buyback
programme was completed on 24 January 2025.
At 31 December 2024 treasury shares include 26,126,074 GDRs of the Company which were acquired for a total
consideration of RUB 13,925,644 thousand (31 December 2023: NIL) owned by wholly-owned subsidiaries of the
Group. The GDRs represent one ordinary share each and as at 31 December 2024 are listed on Astana
International Exchange (AIX), under the ticker GLTR. These GDRs carry voting rights in the same proportion as
other ordinary shares. Voting rights of GDRs of the Company held by the entities within the Group are effectively
controlled by management of the Group.
27. Dividends
During the years ended 31 December 2024 and 2023, the Group declared and paid dividends in favour of the
equity holders of the Company and the non-controlling interests as detailed in the table below.
2024
2023
RUB’000
RUB’000
Dividends paid to non-controlling interest
-
334,268
28. Borrowings
2024
2023
RUB’000
RUB’000
Current
Bank borrowings
3,609,726
6,423,132
Non-convertible unsecured bonds
-
1,291,000
Total current borrowings
3,609,726
7,714,132
Non-current
Bank borrowings
4,115,540
7,662,972
Total non-current borrowings
4,115,540
7,662,972
Total borrowings
7,725,266
15,377,104
Maturity of non-current borrowings
Between 1 and 2 years
2,118,445
3,559,959
Between 2 and 5 years
1,997,095
4,103,013
4,115,540
7,662,972
Bank borrowings
Bank borrowings mature by 2028 (2023: by 2028) and bear average interest of 10.8% per annum (2023: 10.2%
per annum).
There were no defaults or breaches of loan terms during the years ended 31 December 2024 and 31 December
2023.
The current and non-current bank borrowings amounting to RUB 3,609,726 thousand and RUB 4,115,540
thousand respectively (2023: RUB 6,423,132 thousand and RUB 7,662,972 thousand respectively) are secured
by pledge of rolling stock with a total carrying net book value of RUB 4,641,143 thousand (2023: RUB 13,649,738
thousand) (Note 17).
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 60
Non-convertible bonds
New Forwarding Company AO issued non-convertible Russian Rouble denominated bonds for amount of RUB 5
billion in 2018, priced at a coupon rate of 7.25% p.a. and with maturity in 2023 and for amount of RUB 5 billion in
2019, priced at a coupon rate of 8.8% p.a. and with maturity in 2024 out of a total RUB 100 billion registered
program. In 2024 the non-convertible Russian Rouble denominated bonds were fully redeemed and the bond
programme was closed.
The Company acted as the guarantor for the bond issue.
The maturity analysis of the borrowings is as follows:
2024
2023
RUB’000
RUB’000
6 months or less
2,232,967
5,204,824
6 to 12 months
1,376,759
2,509,309
1 to 5 years
4,115,540
7,662,971
7,725,266
15,377,104
Movements in borrowings are analysed as follows:
Bank
borrowings
and loans
(excl.
overdrafts)
Other lease
liabilities
Non-
convertible
unsecured
bonds
Total
RUB’000
RUB’000
RUB’000
RUB’000
Year ended 31 December 2023
Opening amount as at 1 January 2023
15,493,079
4,194,796
5,155,571
24,843,446
Cash flows:
Amounts advanced
8,800,000
-
-
8,800,000
Repayments of borrowings
(10,188,110)
(2,477,780)
(3,750,000)
(16,415,890)
Interest paid
(1,731,993)
(460,093)
(319,450)
(2,511,536)
Non-cash changes:
Interest charged
1,733,788
464,560
204,879
2,403,227
Net foreign exchange
1
1,440
-
1,441
Other lease liability
-
909,234
-
909,234
Change of terms of leases
-
472,438
-
472,438
Disposed through disposals of subsidiaries
-
(8,508)
-
(8,508)
Other
(20,661)
-
-
(20,661)
Closing amount as at 31 December 2023
14,086,104
3,096,087
1,291,000
18,473,191
Bank
borrowings
and loans
(excl.
overdrafts)
Other lease
liabilities
Non-
convertible
unsecured
bonds
Total
RUB’000
RUB’000
RUB’000
RUB’000
Year ended 31 December 2024
Opening amount as at 1 January 2024
14,086,104
3,096,087
1,291,000
18,473,191
Cash flows:
Amounts advanced
-
-
-
-
Repayments of borrowings
(6,360,635)
(2,241,558)
(1,250,000)
(9,852,193)
Interest paid
(1,081,200)
(338,799)
(54,850)
(1,474,849)
Non-cash changes:
Interest charged
1,080,997
333,407
13,850
1,428,254
Other lease liability
-
477,642
-
477,642
Change of terms of leases
-
13,419
-
13,419
Closing amount as at 31 December 2024
7,725,266
1,340,198
-
9,065,464
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 61
The carrying amount and fair value of current and non-current borrowings are as follows:
Carrying amount
Fair value
2024
2023
2024
2023
RUB’000
RUB’000
RUB’000
RUB’000
Bank borrowings
7,725,266
14,086,104
6,770,785
12,929,168
Non-convertible unsecured bonds
-
1,291,000
-
1,244,375
7,725,266
15,377,104
6,770,785
14,173,543
The fair value as at 31 December 2024 and 31 December 2023 of fixed interest rate instruments with stated
maturity denominated in Russian Rouble was estimated based on expected cash flows discounted using the rate
of similar Russian Rouble denominated instruments entered into by the Group close to 31 December 2024 and
31 December 2023. The discount rate was 25.2% p.a. (2023: 18.5% p.a.). The fair value measurements are within
level 2 of the fair value hierarchy (2023: level 2). The fair value as at 31 December 2024 and 31 December 2023
of the fixed interest rate non-convertible bonds was equal to their quoted price and the resulting fair value
measurement is within level 1.
The fair value of liabilities repayable on demand or after a notice period (“demandable liabilities”) is estimated as
the amount payable on demand, discounted from the first date on which the amount could be required to be paid.
The carrying amounts of the Group’s borrowings are denominated in the following currencies:
2024
2023
RUB’000
RUB’000
Russian Rouble
7,725,266
15,377,104
7,725,266
15,377,104
The Group has the following undrawn borrowing facilities:
2024
2023
RUB’000
RUB’000
Fixed rate:
Expiring within one year
19,500,000
1,000,000
Expiring beyond one year
12,000,000
28,000,000
31,500,000
29,000,000
Drawdowns under certain of the above credit facilities are subject to successful conclusion of additional
agreements with the lenders, which, amongst others, will specify the terms of each disbursement.
The weighted average effective interest rates at the balance sheet were as follows:
2024
2023
%
%
Bank borrowings
10.8
10.2
Non-convertible unsecured bonds
-
8.8
29. Other lease liabilities
2024
2023
RUB’000
RUB’000
Other lease liabilities
Current lease liabilities
747,662
2,198,502
Non-current lease liabilities
592,536
897,585
Total lease liabilities
1,340,198
3,096,087
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 62
2024
2023
RUB’000
RUB’000
Maturity of other lease liabilities
Between 1 and 2 years
151,164
450,483
Between 2 and 5 years
441,372
445,578
Over 5 years
-
1,524
592,536
897,585
30. Deferred income tax
Deferred tax assets and liabilities are offset when there is a legally enforceable right to offset current tax assets
against current tax liabilities and when the deferred taxes relate to the same taxable entity and fiscal authority.
The gross movement on the deferred income tax account is as follows:
2024
2023
RUB’000
RUB’000
Beginning of year
8,734,998
9,081,239
Income statement charge (Note 15)
2,012,226
(346,241)
End of year
10,747,224
8,734,998
The movement on the deferred tax assets and liabilities during the year, without taking into consideration the
offsetting of balances within the same tax jurisdiction, is as follows:
Property, plant
and equipment
Withholding
tax provision
Intangible
assets
Right-of-use
assets
Total
Deferred tax liabilities
RUB’000
RUB’000
RUB’000
RUB’000
RUB’000
At 1 January 2023
8,832,959
682,645
-
721,640
10,237,244
Charged/(credited) to:
Income statement (Note 15)
76,521
(568,623)
-
(217,794)
(709,896)
At 31 December 2023
8,909,480
114,022
-
503,846
9,527,348
Charged/(credited) to:
Income statement (Note 15)
2,254,386
(92,176)
2,512
(330,726)
1,833,996
At 31 December 2024
11,163,866
21,846
2,512
173,120
11,361,344
Trade and
other
payables
Other lease
liabilities and
Borrowings
Other
assets/
liabilities
Total
Deferred tax assets
RUB’000
RUB’000
RUB’000
RUB’000
At 1 January 2023
(191,220)
(801,815)
(162,970)
(1,156,005)
Charged/(credited) to:
Income statement (Note 15)
171,909
212,921
(21,175)
363,655
At 31 December 2023
(19,311)
(588,894)
(184,145)
(792,350)
Charged/(credited) to:
Income statement (Note 15)
(52,982)
184,544
46,668
178,230
At 31 December 2024
(72,293)
(404,350)
(137,477)
(614,120)
Withholding tax at the rate of 15% (2023: 5%) is applied to the dividends distributed by the Russian subsidiaries
of the Group to the Company. The Group recognises provisions for such taxes based on management’s estimates
and intention for future dividend distribution by each respective subsidiary out of profits of subsidiaries as of 31
December 2024.
Deferred income tax liabilities of RUB 16,582,800 thousand (2023: RUB 2,809,390 thousand) have not been
recognised for the withholding taxes that would be payable in case unremitted earnings of certain subsidiaries are
distributed to the Company in the form of dividends as it is the current intention of the management of the Group
that such amounts are reinvested. Unremitted earnings on which no deferred tax liability was recognised totalled
to RUB 110,552,000 thousand as at 31 December 2024 (2023: RUB 55,871,122 thousand).
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 63
31. Trade and other payables
2024
2023
RUB’000
RUB’000
Current
Trade payables to third parties
787,902
550,862
Other payables to third parties
642,712
154,497
VAT payable and other taxes
900,162
1,485,159
Accrued expenses
153,576
113,874
Accrued key management compensation (Note 35)
41,980
134,080
2,526,332
2,438,472
The fair value of trade and other payables approximates their carrying amount at the balance sheet date.
32. Earnings per share
Basic and diluted
Basic and diluted earnings per share is calculated by dividing the profit attributable to equity holders of the
Company by the weighted average number of ordinary shares in issue during the year, excluding treasury shares.
2024
2023
Profit attributable to equity holders of the company (RUB thousand)
39,446,610
38,620,269
Weighted average number of ordinary shares in issue (thousand)
172,893
178,318
Basic and diluted earnings per share (expressed in RUB per share) attributable to
the equity holders of the Company during the year
228.16
216.58
The Company has no dilutive potential ordinary shares; therefore, the diluted earnings per share equals the basic
earnings per share.
33. Contingencies
Operating environment
Russian Federation. The Russian Federation displays certain characteristics of an emerging market. Its economy
is particularly sensitive to oil and gas prices. The legal, tax and regulatory frameworks continue to develop and are
subject to frequent changes and varying interpretations. Ongoing political tension in the region and sanctions against
certain Russian companies and individuals have an additional negative impact on the Russian economy.
In 2024 there remains significant geopolitical tension which was developing since February 2022 with the situation
with Ukraine. Sanctions and restrictions for multiple Russian entities, including removing access to the Euro and
USD markets, the international SWIFT system, and many other, have been imposed and continue being introduced.
A number of multinational groups suspended or terminated their business activity in the Russian Federation. Earlier
the EU and several non-EU countries have introduced a price ceiling for supplies of Russian oil and Russian gas
supplies, an embargo on maritime supplies of Russian oil and petroleum products. The financial markets continue
to demonstrate instability. In 2024, foreign currency exchange rates against the rouble increased in comparison with
rates at 31 December 2023. The key rate of the Bank of Russia was raised in December 2023 to 16%, in July 2024
– to 18%, in September 2024 – to 19% and in October 2024 – to 21%.
In June 2024 the USA imposed sanctions on the Moscow Stock Exchange, as well as the National Clearing Center
(NCC) and the National Settlement Depository (NSD), which are members of its group. In this regard, since 13 June
2024, trading in dollars and euros, as well as instruments involving the use of these currencies has been suspended
on the Moscow Stock Exchange. At the same time, transactions with the US dollar and euro continue to be conducted
on the over-the-counter market. Since the suspension of trading on the Moscow Stock Exchange, the official
exchange rates of the US dollar and the euro against the ruble are set on the basis of reporting data from credit
institutions or data from digital platforms for over-the-counter trading.
In November 2024, the USA imposed sanctions on Bank GPB (JSC), which is the only authorized bank for making
payments by foreign buyers for natural gas supplies.
There is an expectation of further sanctions and limitations on foreign business activity affecting companies operating
in the Russian Federation, as well as possible negative consequences for the Russian economy in general, but the
full extent and scale of possible effects of these are unknown. It is not possible to determine how long this increased
volatility will last or at what level the above financial indicators will eventually level out.
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 64
The Group actively monitors political developments on an ongoing basis. However, the macroeconomic situation in
Ukraine, Russia is out of Management's control. The scope and impact of any new potential sanctions (and any
counter-sanctions) is yet unknown, however they might further affect key Russian financial institutions as well as
companies operating in the Russian Federation.
The Group continues to monitor the situation and implement a set of measures to minimize the impact of possible
risks on the Group's operations and financial position.
Tax contingencies. Russian tax and customs legislation which was enacted or substantively enacted at the end of
the reporting period, is subject to varying interpretations when being applied to the transactions and activities of the
Group. Consequently, tax positions taken by management and the formal documentation supporting the tax positions
may be challenged by tax authorities. Russian tax administration is gradually strengthening, including the fact that
there is a higher risk of review of tax transactions without a clear business purpose or with tax incompliant
counterparties. Fiscal periods remain open to review by the authorities in respect of taxes for three calendar years
preceding the year when decisions about the review was made. Under certain circumstances reviews may cover
longer periods.
The Russian transfer pricing legislation is generally aligned with the international transfer pricing principles developed
by the Organisation for Economic Cooperation and Development (OECD) but has specific characteristics. This
legislation provides the possibility for tax authorities to make transfer pricing adjustments and impose additional tax
liabilities in respect of controlled transactions (transactions with related parties and some types of transactions with
unrelated parties), provided that the transaction price is not arm's length. Management has implemented internal
controls to be in compliance with this transfer pricing legislation. Management believes that its pricing policy used in
2024 and 2023 and preceding years is arm’s length and it has implemented internal controls to be in compliance
with this transfer pricing legislation.
Tax liabilities arising from transactions between companies within the Group are determined using actual transaction
prices. It is possible, with the evolution of the interpretation of the transfer pricing rules, that such transfer prices could
be challenged. The impact of any such challenge cannot be reliably estimated; however, it may be significant to the
financial position and/or the overall operations of the Group.
The Group includes companies incorporated in UAE, Russia, Kazakhstan and Ukraine. The tax liabilities of the Group
are determined on the assumption that these companies are tax residents in the countries where they are
incorporated and are not subject to profits tax of other tax jurisdictions, because they do not have permanent
establishments in other jurisdictions. The Company is the only and full beneficial owner of the equity interests held
directly and indirectly in these subsidiaries. This interpretation of relevant legislation may be challenged but the
impact of any such challenge cannot be reliably estimated currently; however, it may be significant to the financial
position and/or the overall operations of the Group.
As Russian tax legislation does not provide definitive guidance in certain areas, the Group adopts, from time to time,
interpretations of such uncertain areas that reduce the overall tax rate of the Group. While management currently
estimates that the tax positions and interpretations that it has taken can probably be sustained, there is a possible
risk that an outflow of resources will be required should such tax positions and interpretations be challenged by the
tax authorities. Management will vigorously defend the positions and interpretations applied in determining taxes
recognised in these financial statements if these are challenged by the authorities. The impact of any such challenge
cannot be reliably estimated; however, it may be significant to the financial position and/or the overall operations of
the Group.
Compliance with covenants
The Group is subject to certain financial and non-financial covenants related primarily to its borrowings, including
Net Debt to EBITDA and gearing ratios, timely submission of IFRS financial statements and pledges of property,
plant and equipment. Non-compliance with such covenants may result in negative consequences for the Group
including claims for early repayment. The Group is in compliance with covenants as of 31 December 2024 and
31 December 2023 (Note 28). There are no indications that the Group would have difficulties complying with the
above covenants when they will be next tested as at 30 June 2025.
Insurance policies
The Group holds insurance policies in relation to all vehicles (rolling stock and motor vehicles) and in respect of
public third-party liability. The Group does not have full insurance for business interruption or third-party liability in
respect of environmental damage.
Environmental matters
The enforcement of environmental regulation in the countries in which the Group operates is evolving and the
enforcement posture of government authorities is continually being reconsidered. The Group periodically
evaluates its obligations under environmental regulations. As obligations are determined, they are recognised
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 65
immediately. Potential liabilities, which might arise as a result of changes in existing regulations, civil litigation or
legislation, cannot be estimated but could be material. In the current enforcement climate under existing
legislation, management believes that there are no significant liabilities for environmental damage.
Legal proceedings
In the opinion of management, there are no legal proceedings or other claims outstanding, as of 31 December
2024 and 2023 which could have a material effect on the results of operations or financial position of the Group
and which have not been accrued or disclosed in these financial statements.
34. Commitments
(a)
Capital commitments
Capital expenditure contracted for at the balance sheet date but not yet incurred is as follows:
2024
2023
RUB’000
RUB’000
Property, plant and equipment
1,464,266
62,413
(b)
Operating lease commitments – Group as lessor
The Group leases out rolling stock and locomotives under cancellable and non-cancellable operating lease
agreements. The future aggregate minimum lease payments receivable under non-cancellable operating leases
in which the Group is acting as the lessor are as follows:
2024
2023
RUB’000
RUB’000
Not later than 1 year
1,691,261
3,367,422
Later than 1 year not later than 5 years
990,318
25,397
2,681,579
3,392,819
There were no contingent-based rents to be recognised in the income statement for the year ended 31 December
2024 and 31 December 2023.
35. Related party transactions
As of 31 December 2024 and 31 December 2023 the Company did not have an ultimate controlling party.
For the purposes of these financial statements, parties are generally considered to be related if the parties are
under common control or if one party has the ability to control the other party or can exercise significant influence
or joint control over the other party in making financial and operational decisions. In considering each possible
related party relationship, attention is directed to the substance of the relationship, not merely the legal form.
Related parties may enter into transactions, which unrelated parties might not, and transactions between related
parties may not be effected on the same terms, conditions and amounts as transactions between unrelated
parties.
The following transactions were carried out with related parties:
(a)
Key management compensation
2024
2023
RUB’000
RUB’000
Key management salaries and other short-term employee benefits
3,169,256
3,334,479
3,169,256
3,334,479
The key management compensation above includes directors’ remuneration paid to the directors of the Company
both by the Company and by subsidiaries of the Company in respect of services provided to such subsidiaries
amounting to RUB 1,644,712 thousand (2023: RUB 1,076,241 thousand) and analysed as follows:
2024
2023
RUB’000
RUB’000
Non-executive directors’ fees
30,645
20,537
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 66
Emoluments in their executive capacity
1,614,067
1,055,704
1,644,712
1,076,241
(b)
Sale of goods and services
2024
2023
RUB’000
RUB’000
Revenue from entity under control of member of key management:
Operating lease of rolling stock
139,931
832,175
Other
161
673
140,092
832,848
(c)
Expenses by nature
2024
2023
RUB’000
RUB’000
Other related parties:
Employee benefit expense
23,357
-
Expense relating to short-term leases (office)
17,911
Other expenses
195
-
41,463
-
(d)
Other gains
2024
2023
RUB’000
RUB’000
Other gains from entity under control of member of key management:
Other gains
636
112,567
636
112,567
(e)
Year-end balances arising from sales/purchases of goods or services
2024
2023
RUB’000
RUB’000
Trade receivables from related parties - current (Note 22):
Entity under control of member of key management
-
765
-
765
Other receivables from related parties – current (Note 22):
Entity under control of member of key management
-
26
-
26
Other assets from related parties – current (Note 23):
Other related parties
554
-
554
-
Key management remuneration – current (Note 31):
Accrued salaries and other short-term employee benefits
41,980
134,080
41,980
134,080
(f)
Interest income
2024
2023
RUB’000
RUB’000
Finance leases (Note 14):
Entity under control of members of key management
662
609
662
609
Loans (Note 14):
Entity under control of members of key management
-
9,666
-
9,666
(g)
Contract liabilities
2024
2023
RUB’000
RUB’000
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 67
Contract liabilities relating to railway transportation contracts – current (Note 10):
Entity under control of member of key management
-
1,467
-
1,467
Contract liabilities relating to railway transportation contracts – non-current (Note
10):
Entity under control of member of key management
-
4,878
-
4,878
(h)
Loans
2024
2023
RUB’000
RUB’000
Loans receivables (Note 22):
Entity under control of member of key management
-
-
-
-
2024
2023
RUB’000
RUB’000
At the beginning of the period
-
401,151
Loans advanced during the year
-
-
Loans repaid during the year
-
(400,000)
Interest charged (Note 14)
-
9,666
Interest received
-
(10,817)
At the end of the period
-
-
(i)
Finance leases
2024
2023
RUB’000
RUB’000
Finance leases to related parties – current (Note 23):
Entity under control of member of key management
-
959
-
959
(j)
Operating lease commitments – Group as lessor
2024
2023
RUB’000
RUB’000
Entity under control of member of key management
Not later than 1 year
-
856,038
Later than 1 year not later than 5 years
-
-
-
856,038
36. Business combinations
Disposal of subsidiary
In January 2023 the Group disposed of its 65.25% shareholding in Spacecom AS, Estonia for EUR 65,300,000
(RUB 4,948,427 thousand) realising a profit from sale of RUB 3,400,047 thousand. The disposed subsidiary was
part of rail tank cars reportable segment.
Details of the sale of the subsidiary as of the date of disposal:
RUB’000
Consideration for disposal of the subsidiary
4,948,427
Fair value of accounts payable to the disposed subsidiary
(6,603,141)
Carrying amount of disposed net assets, net of non-controlling interest
1,722,300
Cumulative currency translation reserve on foreign operation recycled from other
comprehensive income to profit or loss
3,332,461
Gain on sale
3,400,047
Globaltrans Investment PLC
Consolidated management report and consolidated financial statements for the year ended 31 December 2024 68
Acquisition of subsidiary
In November 2024 the Company acquired 100% of share capital of Adaptive Capital Ltd., Kazakhstan for USD
180,000 (RUB 17,990 thousand).
37. Events after the balance sheet date
There were no material post balance sheet events which have a bearing on the understanding of these
consolidated financial statements.