Statement of Cash Flows

2025 2024
Notes AED’000 AED’000
Cash flows from operating activities
Profit before tax 1,706,954 1,279,686
Adjustments for:
  • Depreciation of property and equipment
 11 1,506 1,237
  • Depreciation of right‑of‑use assets
 11 2,276 1,903
  • Amortisation of intangibles
 11 140,987 87,960
  • Provision for  employees’ end‑of‑service benefits
 25 1,947 922
  • Finance charge on lease liabilities
 12 390 447
  • Finance charge on balance due to a related party
 12 106,972 11,530
  • Finance charge on borrowings
 12 205,624 244,687
  • Other finance costs
 12 160 160
  • Finance income
 22 (21,010) (48,515)
  • Impairment loss on trade receivables
 21 36,810 13,990
Operating cash flows before changes in working capital, payment of  employees’ end of service benefits and income tax paid 2,182,616 1,594,007
Changes in working capital:
  • Trade and other receivables excluding impact of impairment loss and accrued interest
 (32,691) (58,338)
  • Due from related parties
 (234,159) (91,980)
  • Inventories
 (13,516) (11,338)
  • Trade and other payables
 (16,998) 29,768
  • Due to a related party
 280,279 (3,812)
  • Other assets
 160 160
  • Contract asset
 21,623 (24,437)
  • Contract liabilities
 43,039 29,203
Cash generated from operations 2,230,353 1,463,233
Payment of  employees’ end of service benefits 25 (697) (102)
Income tax paid 28 (147,183) ‑
Net cash flows generated from operating activities 2,082,473 1,463,131
Cash flows from investing activities
(Placement) / encashment of fixed deposits with original maturity of more than 3 months 22 (502,207) 750,000
Payment for purchase of property and equipment 18 (1,169) (2,895)
Payment for purchase of intangibles 15 (1,744) (2,999)
Interest income on deposits and call account 23,607 57,207
Net cash flows (used in) / generated from investing activities (481,513) 801,313
Cash flows from financing activities
Dividend paid 31 (1,390,694) (1,094,759)
Principal element of long‑term related party debt repayment (348,742) (216,327)
Finance charge on related party debt paid (106,972) (11,530)
Finance charge on lease liabilities paid (390) (447)
Finance charge on borrowings and other finance cost paid (202,578) (241,641)
Principal element of lease payment (2,291) (2,228)
Net cash used in financing activities (2,051,667) (1,566,932)
Net (decrease) / increase in cash and cash equivalents (450,707) 697,512
Cash and cash equivalents at the beginning of the year 963,692 266,180
Cash and cash equivalents at the end of the year 22 512,985 963,692
Supplemental non‑cash information
Additions to intangibles 15 ‑ 2,734,280
Due from related party balance netted off against due to related party balance 23 243,221 ‑

The accompanying notes 1 to 37 form an integral part of these financial statements.