OPERATING REVIEW CONTINUED The consolidated financial statements are presented on pages 24 to 47. All amounts in the consolidated Financial Statements are shown in Australian dollars unless otherwise stated. Total comprehensive income for shareholders was A$166.2 million, comprising A$142.0 million profit after tax and A$24.2 million foreign currency translation gain. In accordance with applicable Accounting Standards, effective 1 January 2024 the Company changed its functional currency from Australian dollars to US dollars, however the Group retained Australian dollars as its reporting currency. In a year in which the A$/US$ exchange rate fell from 0.68 at 31 December 2023 to 0.62 at 31 December 2024, the change in functional currency significantly impacted the Financial Statements compared with 2023. Profit before tax for 2024 includes A$7.2 million net foreign currency loss, mainly due to the translation of cash and short-term investments held in Australian dollars to the US dollars functional currency. However, the translation from the US dollars functional currency to the Australian dollars presentation currency resulted in a gain of A$24.2 million, which is included in Total Comprehensive Income and increased shareholders’ equity via the currency translation reserve. The gain in Comprehensive Income is mainly due to the translation to Australian dollars of the cash and short-term investments held in US dollars. FINANCE Summary Financials 2024 $’m 2023 $’m Revenue from contracts with customers 213.2 231.9 Interest income 11.0 5.7 Gain on financial derivatives measured at fair value 3.6 – Foreign exchange gain – 2.4 Total income 227.8 240.0 Research & Development (33.0) (26.8) Corporate & Administration (4.7) (5.9) Loss on financial derivatives measured at fair value – (2.2) Net foreign currency loss (7.2) – Profit before tax 182.9 205.1 Income tax (40.9) (48.0) Profit after tax 142.0 157.1 Other comprehensive income - foreign currency translation 24.2 – Total comprehensive income 166.2 157.1 Cash flow received from operations (11.3) 184.9 Cash flow used in investing 4.1 (211.5) Cash flow received from financing (8.8) 3.6 Effect of exchange rates on cash balances 2.0 (0.1) Cash and short-term investments at 31 December 222.2 228.5 Neuren Pharmaceuticals Limited Annual Report 2024 12
RkJQdWJsaXNoZXIy MjE2NDg3