Cover
Cover - shares | 12 Months Ended | |
Jun. 30, 2023 | Oct. 16, 2023 | |
Document Information Line Items | ||
Entity Registrant Name | IRSA Investments and Representations Inc. | |
Entity Central Index Key | 0000933267 | |
Document Type | 20-F | |
Amendment Flag | false | |
Entity Voluntary Filers | Yes | |
Current Fiscal Year End Date | --06-30 | |
Entity Well Known Seasoned Issuer | No | |
Entity Shell Company | false | |
Entity Emerging Growth Company | false | |
Entity Current Reporting Status | Yes | |
Document Period End Date | Jun. 30, 2023 | |
Entity Filer Category | Accelerated Filer | |
Document Fiscal Period Focus | FY | |
Document Fiscal Year Focus | 2023 | |
Entity Common Stock Shares Outstanding | 811,137,457 | |
Document Annual Report | true | |
Document Transition Report | false | |
Entity File Number | 001-13542 | |
Entity Incorporation State Country Code | C1 | |
Entity Address Address Line 1 | Carlos M. Della Paolera 261 | |
Entity Address Address Line 2 | 9th Floor | |
Entity Address City Or Town | City of Buenos Aires | |
Entity Address State Or Province | AR | |
Entity Address Country | AR | |
Security 12b Title | Common Stock, par value ARS 1.00 per share | |
Trading Symbol | IRS | |
Security Exchange Name | NYSE | |
Document Registration Statement | false | |
Document Accounting Standard | International Financial Reporting Standards | |
Entity Interactive Data Current | Yes | |
Auditor Name | PRICE WATERHOUSE & Co. S.R.L | |
Auditor Location | Buenos Aires, Argentina | |
Auditor Firm Id | 1349 | |
Entity Address Postal Zip Code | C1001ADA | |
Business Contact [Member] | ||
Document Information Line Items | ||
Entity Address Address Line 1 | Carlos M. Della Paolera 261 | |
Entity Address Address Line 2 | 9th Floor | |
Entity Address City Or Town | City of Buenos Aires | |
Entity Address Country | AR | |
City Area Code | 5411 | |
Local Phone Number | 4323-7449 | |
Contact Personnel Email Address | ir@irsa.com.ar | |
Contact Personnel Name | Matías Iván Gaivironsky | |
Entity Address Postal Zip Code | C1001ADA |
Consolidated Statements of Fina
Consolidated Statements of Financial Position - ARS ($) $ in Millions | Jun. 30, 2023 | Jun. 30, 2022 |
Non-current assets | ||
Investment properties | $ 570,010 | $ 632,284 |
Property plant and equipment | 10,148 | 17,225 |
Trading Properties | 6,035 | 6,556 |
Intangible assets | 7,945 | 7,284 |
Right-of-use assets | 2,935 | 2,678 |
Investments in associates and joint ventures | 37,073 | 34,782 |
Deferred income tax assets | 860 | 164 |
Income tax credit | 21 | 52 |
Trade and other receivables | 4,437 | 9,348 |
Investments in financial assets | 1,922 | 1,848 |
Total non-current assets | 641,386 | 712,221 |
Current assets | ||
Trading properties | 144 | 416 |
Inventories | 331 | 269 |
Income tax credit | 729 | 116 |
Trade and other receivables | 25,875 | 23,349 |
Investments in financial assets | 34,412 | 39,753 |
Cash and cash equivalents | 8,735 | 27,543 |
Total current assets | 70,226 | 91,446 |
TOTAL ASSETS | 711,612 | 803,667 |
SHAREHOLDERS' EQUITY | ||
Shareholders' equity attributable to equity holders of the parent (according to corresponding statement) | 364,945 | 342,457 |
Non-controlling interest | 22,330 | 23,443 |
TOTAL SHAREHOLDERS' EQUITY | 387,275 | 365,900 |
Non-current liabilities | ||
Borrowings | 67,324 | 28,138 |
Lease liabilities | 2,643 | 2,475 |
Deferred income tax liabilities | 167,251 | 212,541 |
Trade and other payables | 9,838 | 7,668 |
Provisions | 5,919 | 423 |
Salaries and social security liabilities | 90 | 200 |
Total non-current liabilities | 253,065 | 251,445 |
Current liabilities | ||
Borrowings | 40,617 | 132,974 |
Lease liabilities | 374 | 172 |
Trade and other payables | 25,605 | 18,376 |
Income tax liabilities | 1,053 | 32,591 |
Provisions | 844 | 427 |
Derivative financial instruments | 6 | 34 |
Salaries and social security liabilities | 2,773 | 1,748 |
Total current liabilities | 71,272 | 186,322 |
TOTAL LIABILITIES | 324,337 | 437,767 |
TOTAL SHAREHOLDERS' EQUITY AND LIABILITIES | $ 711,612 | $ 803,667 |
Consolidated Statements of Inco
Consolidated Statements of Income and Other Comprehensive Income - ARS ($) $ in Millions | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Consolidated Statements of Income and Other Comprehensive Income | |||
Revenues | $ 89,285 | $ 69,168 | $ 45,880 |
Costs | (30,804) | (26,119) | (23,204) |
Gross profit | 58,481 | 43,049 | 22,676 |
Net (loss) / gain from fair value adjustment of investment properties | (49,145) | 29,427 | (27,469) |
General and administrative expenses | (19,319) | (11,377) | (10,667) |
Selling expenses | (4,511) | (4,822) | (5,267) |
Other operating results, net | (7,195) | 131 | (304) |
(Loss) / profit from operations | (21,689) | 56,408 | (21,031) |
Share of profit / (loss) of associates and joint ventures | 2,622 | (764) | (15,483) |
(Loss) / profit before financial results and income tax | (19,067) | 55,644 | (36,514) |
Finance income | 825 | 998 | 1,276 |
Finance costs | (13,876) | (19,818) | (25,800) |
Other financial results | 14,264 | 38,357 | 41,424 |
Inflation adjustment | 14,323 | 6,012 | (5,109) |
Financial results, net | 15,536 | 25,549 | 11,791 |
Profit / (loss) before income tax | (3,531) | 81,193 | (24,723) |
Income tax expense | 64,517 | (5,971) | (76,617) |
Profit / (loss) for the year from continuing operations | 60,986 | 75,222 | (101,340) |
Loss for the year from continuing operations | 0 | 0 | (31,545) |
Profit / (loss) for the year | 60,986 | 75,222 | (132,885) |
Items that may be reclassified subsequently to profit or loss: | |||
Currency translation adjustment and other comprehensive loss from subsidiaries (i) | (1,020) | (1,158) | (1,315) |
Revaluation (deficit) / surplus: | (266) | 779 | 1,349 |
Other comprehensive (loss) / income for the year | (1,286) | (379) | 34 |
Other comprehensive loss for the year from discontinued operations | 0 | 0 | (40,451) |
Total other comprehensive loss for the year | (1,286) | (379) | (40,417) |
Total comprehensive income / (loss) for the year | 59,700 | 74,843 | (173,302) |
Total comprehensive income / (loss) from continuing operations | 59,700 | 74,843 | (101,306) |
Total comprehensive (loss) / income from discontinued operations | 0 | 0 | (71,996) |
Total comprehensive income / (loss) for the year | 59,700 | 74,843 | (173,302) |
Profit / (loss) for the year attributable to: | |||
Equity holders of the parent | 60,243 | 74,487 | (105,800) |
Non-controlling interest | 743 | 735 | (27,085) |
Profit / (loss) from continuing operations attributable to: | |||
Equity holder of the parent | 60,243 | 74,487 | (80,877) |
Non-controlling interest | 743 | 735 | (20,463) |
Total comprehensive income / (loss) attributable to: | |||
Equity holders of the parent | 58,934 | 74,103 | (123,055) |
Non-controlling interest | 766 | 740 | (50,247) |
Total comprehensive income / (loss) from continuing operations attributable to: | |||
Equity holders of the parent | 58,934 | 74,103 | (78,349) |
Non-controlling interest | $ 766 | $ 740 | $ (22,957) |
Profit / (loss) per share attributable to equity holders of the parent: (ii) | |||
Basic | $ 80.54 | $ 98.53 | $ (192.36) |
Diluted | 80.86 | 100.52 | (192.36) |
Profit / (loss) for the year per share from continuing operations attributable to equity holders of the parent: | |||
Basic | 80.54 | 98.53 | (147.05) |
Diluted | $ 80.86 | $ 100.52 | $ (147.05) |
Consolidated Statement of Chang
Consolidated Statement of Changes in Shareholders Equity shares in Millions, $ in Millions, $ in Millions | ARS ($) | Inflation Adjustment Of Share Capital And Treasury Shares (i) [Member] shares | Reserve For Future Dividends [Member] USD ($) | Currency Translation Adjustment Reserve [Member] USD ($) | Currency Translation Adjustment Reserve [Member] ARS ($) | Special Reserve [Member] USD ($) | Special Reserve [Member] ARS ($) | Total Other Reserves [Member] USD ($) | Total Other Reserves [Member] ARS ($) | Cost Of Treasury Stock [Member] USD ($) | Cost Of Treasury Stock [Member] ARS ($) | Subtotal [Member] USD ($) | Subtotal [Member] ARS ($) | Share capital Outstanding shares Member shares | Treasury shares Member shares | Warrants Member shares | Share premium Member shares | Additional paid-in capital from treasury shares Member USD ($) | Additional paid-in capital from treasury shares Member ARS ($) | Legal reserve Member USD ($) | Legal reserve Member ARS ($) | Special reserve Resolution CNV Member USD ($) | Other reserves One Member USD ($) | Other reserves One Member ARS ($) | Retained earnings (Accumulated deficit) Member USD ($) | Retained earnings (Accumulated deficit) Member ARS ($) | Non-controlling interest Member USD ($) | Non-controlling interest Member ARS ($) | Other reserves Two Member USD ($) | Other reserves Two Member ARS ($) | Shares to issue Member shares |
Balance, shares at Jun. 30, 2020 | shares | 74,348 | 577 | 2 | 77,206 | |||||||||||||||||||||||||||
Balance, amount at Jun. 30, 2020 | $ 651,268 | $ 8,985 | $ (3,865) | $ 55,193 | $ 31,300 | $ (910) | $ 303,330 | $ 502 | $ 2,574 | $ 49,921 | $ 31,300 | $ 66,900 | $ 347,938 | $ (28,103) | |||||||||||||||||
Statement [Line Items] | |||||||||||||||||||||||||||||||
Net loss for the year | (132,885) | (105,800) | (105,800) | (27,085) | |||||||||||||||||||||||||||
Other comprehensive (loss) / income for the year | (40,417) | $ (18,693) | $ (17,255) | $ (17,255) | $ (17,255) | $ (23,162) | $ 1,438 | ||||||||||||||||||||||||
Total profit and other comprehensive (loss) / income for the year | (173,302) | (18,693) | (17,255) | (123,055) | (17,255) | $ (105,800) | (50,247) | 1,438 | |||||||||||||||||||||||
Assignment of results according to Shareholders? Meeting | 0 | $ 56,195 | 56,195 | $ 3,094 | 56,195 | (59,289) | |||||||||||||||||||||||||
Issuance of shares, shares | shares | 219 | 80 | 6,288 | 8,024 | |||||||||||||||||||||||||||
Issuance of shares, amount | 14,611 | 14,611 | |||||||||||||||||||||||||||||
Distribution of dividends in shares | (2,570) | (2,570) | (2,570) | ||||||||||||||||||||||||||||
Reserve for share-based payments | 0 | (22) | $ 6 | $ 22 | (22) | (28) | |||||||||||||||||||||||||
Capitalization of irrevocable contributions | 181 | 181 | |||||||||||||||||||||||||||||
Dividend distribution | (9,486) | (9,486) | |||||||||||||||||||||||||||||
Decrease due to loss of control | (221,013) | (221,013) | |||||||||||||||||||||||||||||
Changes in non-controlling interest | 1,592 | (1,502) | (1,502) | (1,502) | 3,094 | (1,502) | |||||||||||||||||||||||||
Other changes in equity | 31,162 | 24,848 | 27,772 | 27,772 | 27,772 | 3,390 | 2,924 | ||||||||||||||||||||||||
Balance, shares at Jun. 30, 2021 | shares | 74,567 | 657 | 2 | 6,288 | 85,230 | ||||||||||||||||||||||||||
Balance, amount at Jun. 30, 2021 | 292,443 | 8,985 | 2,290 | 111,388 | 96,488 | (904) | 218,586 | 524 | 5,668 | 49,921 | 96,488 | (100,759) | 73,857 | (25,271) | |||||||||||||||||
Statement [Line Items] | |||||||||||||||||||||||||||||||
Net loss for the year | 75,222 | 74,487 | 74,487 | 735 | |||||||||||||||||||||||||||
Other comprehensive (loss) / income for the year | (379) | (1,162) | (384) | (384) | (384) | 5 | 778 | ||||||||||||||||||||||||
Total profit and other comprehensive (loss) / income for the year | 74,843 | (1,162) | (384) | 74,103 | (384) | 74,487 | 740 | 778 | |||||||||||||||||||||||
Assignment of results according to Shareholders? Meeting | 0 | (108,506) | (108,506) | (108,506) | 108,506 | ||||||||||||||||||||||||||
Capitalization of irrevocable contributions | 93 | 93 | |||||||||||||||||||||||||||||
Dividend distribution | (381) | (381) | |||||||||||||||||||||||||||||
Repurchase of treasury shares, shares | shares | (4) | 4 | |||||||||||||||||||||||||||||
Repurchase of treasury shares, amount | (701) | (701) | (701) | (701) | (701) | ||||||||||||||||||||||||||
Warrants exercise, shares | shares | (4) | 13 | |||||||||||||||||||||||||||||
Warrants exercise, amount | 9 | 9 | |||||||||||||||||||||||||||||
Incorporated by merger, shares | shares | 295 | 152 | 56,855 | ||||||||||||||||||||||||||||
Incorporated by merger, amount | (406) | (41) | (377) | 50,460 | 1,054 | (377) | (7,519) | (50,866) | (336) | ||||||||||||||||||||||
Balance, shares at Jun. 30, 2022 | shares | 74,862 | 805 | 6 | 6,284 | 142,098 | ||||||||||||||||||||||||||
Balance, amount at Jun. 30, 2022 | 365,900 | 8,985 | 1,087 | 2,882 | (13,480) | (1,605) | 342,457 | 524 | 6,722 | 49,921 | (13,480) | 74,715 | 23,443 | (24,829) | |||||||||||||||||
Statement [Line Items] | |||||||||||||||||||||||||||||||
Net loss for the year | 60,986 | 60,243 | 60,243 | 743 | |||||||||||||||||||||||||||
Other comprehensive (loss) / income for the year | (1,286) | (1,043) | (1,309) | (1,309) | (1,309) | 23 | (266) | ||||||||||||||||||||||||
Total profit and other comprehensive (loss) / income for the year | 59,700 | (1,043) | (1,309) | 58,934 | (1,309) | 60,243 | 766 | (266) | |||||||||||||||||||||||
Assignment of results according to Shareholders? Meeting | 0 | 55,335 | 55,335 | $ 3,316 | 55,335 | (58,651) | |||||||||||||||||||||||||
Issuance of shares, shares | shares | 7,573 | (14,126) | 6,553 | ||||||||||||||||||||||||||||
Issuance of shares, amount | 0 | ||||||||||||||||||||||||||||||
Reserve for share-based payments | 0 | 22 | 24 | $ (22) | 22 | (2) | |||||||||||||||||||||||||
Capitalization of irrevocable contributions | 2 | 2 | |||||||||||||||||||||||||||||
Dividend distribution | (36,706) | $ (27,108) | (27,108) | (34,778) | (27,108) | $ (7,670) | (1,928) | ||||||||||||||||||||||||
Changes in non-controlling interest | (57) | (99) | (99) | (99) | 42 | $ (99) | |||||||||||||||||||||||||
Other changes in equity | 150 | $ 145 | 145 | 145 | 145 | $ 5 | |||||||||||||||||||||||||
Repurchase of treasury shares, shares | shares | (6) | 6 | |||||||||||||||||||||||||||||
Repurchase of treasury shares, amount | (1,744) | $ (1,744) | $ (1,744) | (1,744) | $ (1,744) | ||||||||||||||||||||||||||
Warrants exercise, shares | shares | (19) | 49 | |||||||||||||||||||||||||||||
Warrants exercise, amount | 30 | $ 30 | |||||||||||||||||||||||||||||
Balance, shares at Jun. 30, 2023 | shares | 82,435 | 799 | 12 | 6,265 | 128,021 | 6,553 | |||||||||||||||||||||||||
Balance, amount at Jun. 30, 2023 | $ 387,275 | $ 8,985 | $ 189 | $ 31,109 | $ 11,762 | $ (3,325) | $ 364,945 | $ 502 | $ 10,038 | $ 49,921 | $ 11,762 | $ 68,637 | $ 22,330 | $ (25,196) |
Consolidated Statement of Cash
Consolidated Statement of Cash Flows - ARS ($) $ in Millions | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Operating activities: | |||
Net cash generated from / (used in) continuing operating activities before income tax paid | $ 39,388 | $ 28,390 | $ (5,842) |
Income tax and minimum presumed income tax paid | (2,894) | (1,061) | (149) |
Net cash generated from / (used in) continuing operating activities | 36,494 | 27,329 | (5,991) |
Net cash generated from discontinued operating activities | 0 | 0 | 11,141 |
Net cash generated from operating activities | 36,494 | 27,329 | 5,150 |
Investing activities: | |||
Contributions and issuance of capital in associates and joint ventures | (24) | (269) | (149) |
Acquisition and improvements of investment properties | (5,904) | (13,224) | (3,531) |
Contributions and issuance of capital in associates and joint ventures pending of susbscription | (45) | (123) | 0 |
Proceeds from sales of investment properties | 22,644 | 56,001 | 64,107 |
Acquisitions and improvements of property, plant and equipment | (793) | (722) | (1,084) |
Proceeds from sales of property, plant and equipment | 2,427 | 9 | 1,233 |
Acquisitions of intangible assets | (143) | (140) | (183) |
Dividends collected from associates and joint ventures | 319 | 7,731 | 0 |
Proceeds from loans granted | 2 | 977 | 32 |
Proceeds / (Payment) of derivative financial instruments | 23 | (166) | (1,848) |
Acquisitions of investments in financial assets | (36,238) | (49,305) | (37,625) |
Proceeds from disposal of investments in financial assets | 43,823 | 22,638 | 58,821 |
Interest received from financial assets | 351 | 727 | 2,380 |
Net cash generated from continuing investing activities | 26,442 | 24,134 | 82,153 |
Net cash generated from discontinued investing activities | 0 | 0 | 155,966 |
Net cash generated from investing activities | 26,442 | 24,134 | 238,119 |
Financing activities: | |||
Borrowings, issuance and new placement of non-convertible notes | 38,460 | 19,680 | 58,051 |
Payment of borrowings and non-convertible notes | (67,217) | (23,554) | (140,726) |
(Payment) / collections of short term loans, net | (1,442) | (2,154) | 18,125 |
Interests paid | (13,097) | (17,647) | (29,069) |
Repurchase of non-convertible notes | (3,745) | (3,721) | (18,135) |
Capital contributions from non-controlling interest in subsidiaries | 0 | 86 | 93 |
Acquisition of non-controlling interest in subsidiaries | 0 | 0 | (265) |
Issuance of shares | 0 | 0 | 14,611 |
Loans received from associates and joint ventures, net | 0 | 52 | 0 |
Payment of borrowings to related parties | (28) | (1,037) | 0 |
Dividends paid | (32,284) | (390) | (9,145) |
Warrants exercise | 30 | 9 | 0 |
Payment of financial leases | (57) | (78) | (144) |
Repurchase of treasury shares | (1,744) | (701) | 0 |
Net cash used in continuing financing activities | (81,124) | (29,455) | (106,604) |
Net cash used in discontinued financing activities | 0 | 0 | (64,209) |
Net cash used in financing activities | (81,124) | (29,455) | (170,813) |
Net (decrease) / increase in cash and cash equivalents from continuing activities | (18,188) | 22,008 | (30,442) |
Net increase in cash and cash equivalents from discontinued activities | 0 | 0 | 102,898 |
Net (decrease) / increase in cash and cash equivalents | (18,188) | 22,008 | 72,456 |
Cash and cash equivalents at the beginning of the year | 27,543 | 6,827 | 479,787 |
Inflation adjustment | (1,195) | (859) | (800) |
Deconsolidation of subsidiaries | 0 | 0 | (513,762) |
Foreign exchange gain / (loss) on cash and unrealized fair value result for cash equivalents | 575 | (433) | (30,854) |
Cash and cash equivalents at end of the year | $ 8,735 | $ 27,543 | $ 6,827 |
The Group's business and genera
The Group's business and general information | 12 Months Ended |
Jun. 30, 2023 | |
The Group's business and general information | 1. The Group’s business and general information IRSA was founded in 1943, and it has engaged in diverse real estate activities in Argentina since 1991. IRSA and its subsidiaries are collectively referred to hereinafter as “the Group”. Cresud is our direct parent company, whose main shareholders are Inversiones Financieras del Sur S.A., Agroinvestment S.A. and Consultores Venture Capital Uruguay S.A., whose final beneficiary is Eduardo Sergio Elsztain. These Consolidated Financial Statements have been approved for issuance by the Board of Directors on October 19, 2023. As of the end of these Consolidated Financial Statements, the Group owns 15 shopping malls, 6 office buildings, three hotels and an extensive land reserve for future mixed-use developments. Additionally, the Group holds a 29.91% interest in Banco Hipotecario S.A. (BHSA), which is a leading commercial bank in the provision of mortgaged loans in Argentina. BHSA's shares are listed on the BYMA. The Group operates and holds a majority interest (with the exception of La Ribera Shopping Center, of which it has a 50% ownership interest) in a portfolio of 14 shopping malls in Argentina, six of which are located in the Autonomous City of Buenos Aires (Abasto Shopping, Alcorta Shopping, Alto Palermo, Patio Bullrich, Dot Baires Shopping and Distrito Arcos), two in Buenos Aires province (Alto Avellaneda and Soleil Premium Outlet) and the rest are situated in different provinces (Alto Noa in the City of Salta, Alto Rosario in the City of Rosario, Mendoza Plaza in the City of Mendoza, Córdoba Shopping Villa Cabrera in the City of Córdoba, Alto Comahue in the City of Neuquén and La Ribera Shopping in the City of Santa Fe). The Group also owns the historic building where the Patio Olmos Shopping Mall is located, operated by a third party. Likewise, the Group manages a 6 office buildings portfolio and has majority stakes in three luxury hotels including the Libertador and Intercontinental hotels in the Autonomous City of Buenos Aires and the exclusive Llao Llao resort, in the city of San Carlos de Bariloche, in southern Argentina. Additionally, the Group participates in the development of residential properties for sale, as well as in other investments. Operations Center in Israel As stated in Note 1 to the consolidated financial statements as of June 30, 2020, on September 25, 2020 the Court decreed the insolvency and liquidation of IDBD and appointed a trustee for its shares along with a custodian over DIC and Clal shares. After this decision, the Board of Directors of IDBD was removed from its functions, therefore, the Group lost control on that date. For comparability purposes and as required by IFRS 5, the results of the Israel Operations Center have been reclassified to discontinued operations for fiscal year ended June 30, 2021. |
Summary of significant accounti
Summary of significant accounting policies | 12 Months Ended |
Jun. 30, 2023 | |
Summary of significant accounting policies | 2. Summary of significant accounting policies 2.1. Basis of preparation of the Consolidated Financial Statement (a) Basis of preparation These Consolidated Financial Statements have been prepared in accordance with IFRS issued by IASB and interpretations issued by the IFRIC. All IFRS applicable as of the date of these Consolidated Financial Statements have been applied. IAS 29 "Financial Reporting in Hyperinflationary Economies" requires that the financial statements of an entity whose functional currency is one of a hyperinflationary economy be expressed in terms of the current unit of measurement at the closing date of the reporting fiscal year, regardless of whether they are based on the historical cost method or the current cost method. To do so, in general terms, the inflation produced from the date of acquisition or from the revaluation date, as applicable, must be calculated in the non-monetary items. This requirement also includes the comparative information of the financial statements. In order to conclude on whether an economy is categorized as hyper-inflationary in the terms of IAS 29, the standard details a series of factors to be considered, including the existence of an accumulated inflation rate in three years that is approximate or exceeds 100%. Accumulated inflation in Argentina in the last three years is over 100%. It is for this reason that, in accordance with IAS 29, Argentina must be considered a country with high inflation economy starting July 1, 2018. In addition, Law No. 27,468 (published in the Official Gazette on December 4, 2018), amended Section 10 of Law No. 23,928, as amended, and established that the derogation of all the laws or regulations imposing or authorizing price indexation, monetary restatement, cost variation or any other method for strengthening debts, taxes, prices or rates of goods, works or services, does not extend to financial statements, as to which the provisions of Section 62 of the General Companies Law No. 19,550 (1984 revision), as amended, shall continue to apply. Moreover, the referred law repealed Decree No. 1269/2002 dated July 16, 2002, as amended, and delegated to the Argentine Executive Branch the power to establish, through its controlling agencies, the effective date of the referred provisions in connection with the financial statements filed with it. Therefore, under General Resolution 777/2018 (published in the Official Gazette on December 28, 2018) the Argentine Securities Commission (CNV) ordered that issuers subject to its supervision shall apply the inflation adjustment to reflect the financial statements in terms of the measuring unit current at the end of the reporting period set forth in IAS 29 in their annual, interim and special financial statements closed on or after December 31, 2018. Thus, these Consolidated Financial Statements have been reported in terms of the measuring unit current as of June 30, 2023 according to IAS 29. Pursuant to IAS 29, the Financial Statements of an entity whose functional currency is that of a high inflationary economy should be reported in terms of the measuring unit current as of the date of the Financial Statements. All the amounts included in the Consolidated Statement of Financial Position which are not stated in terms of the measuring unit current as of the date of the Financial Statements should be restated applying the general price index. All items in the Consolidated Statement of Income and Other Comprehensive Income should be stated in terms of the measuring unit current as of the date of the Financial Statements, applying the changes in the general price index occurred from the date on which the revenues and expenses were originally recognized in the Financial Statements. Adjustment for inflation in the initial balances has been calculated considering the indexes reported by the FACPCE based on the price indexes published by the Argentine Institute of Statistics and Census (INDEC). The principal inflation adjustment procedures are the following: - Monetary assets and liabilities that are already recorded at the measuring unit of the balance sheet closing date are not restated because they are already stated in terms of the measuring unit current as of the date of the financial statements. - Non-monetary assets, and liabilities recorded at cost as of the balance sheet date and equity component are restated by applying the relevant adjustment coefficients. - All items in the Consolidated Statement of Income and Other Comprehensive Income are restated applying the relevant conversion factors. - The effect of inflation on the Group’s net monetary position is included in the Consolidated Statement of Income and Other Comprehensive Income under Financial results, net, in the item “Inflation adjustment”. - Comparative figures have been adjusted for inflation following the procedure explained in the previous paragraphs. Upon initially applying inflation adjustment, the equity accounts were restated as follows: - Capital was restated as from the date of subscription or the date of the most recent inflation adjustment for accounting purposes, whichever is later. The resulting amount was included in the “Comprehensive Inflation adjustment of share capital and treasury shares adjustment” account. - Translation difference was restated in current terms. - Other comprehensive income / (loss) was restated as from each accounting allocation. - The other reserves in the Consolidated Statement of Income and Other Comprehensive Income were restated from the initial application. The inflation index to be used and in accordance with the FACPCE Resolution No. 539/18, it will be determined based on the Wholesale Price Index (IPIM) until 2016, considering for the months of November and December 2015 the average variation of Consumer Price index (CPI) of the Autonomous City of Buenos Aires, because during those two months there were no national IPIM measurements. Since January 2017, the National Consumer Price Index (National CPI) will be considered. The table below show the evolution of these indexes in the last two fiscal years and as of June 30, 2023 according to official statistics (INDEC) following the guidelines described in Resolution 539/18. Annual price variation June 30, 2021 June 30, 2022 June 30, 2023 Cumulative as of June 30, 2023 (3 years) 50% 64% 116% 431% As a consequence of the aforementioned, these Consolidated Financial Statements as of June 30, 2023 were restated in accordance with IAS 29. (b) Current and non-current classification The Group presents current and non-current assets, and current and non-current liabilities, as separate classifications in its Consolidated Statement of Financial Position according to the operating cycle of each activity. Current assets and current liabilities include the assets and liabilities that are either realized or settled within 12 months from the end of the fiscal year. All other assets and liabilities are classified as non-current. Current and deferred tax assets and liabilities (income tax liabilities) are presented separately from each other and from other assets and liabilities, classified as current and non-current, respectively. (c) Presentation currency The Consolidated Financial Statements are presented in millions of Argentine Pesos. Unless otherwise stated or the context otherwise requires, references to “Peso amounts” or “ARS”, are millions of Argentine Pesos, references to “USD” or “US Dollars” are millions of US Dollars and references to "NIS" are millions of New Israeli Shekel. (d) Fiscal year-end The fiscal year begins on July 1st and ends on June 30 of each year. (e) Accounting criteria See Notes 2.2 to 2.25 with the accounting policies of each item. (f) Reporting cash flows The Group reports operating activities cash flows using the indirect method. Interest paid is presented within financing activities. Interest received for financing of operating activities is presented within operating activities whereas the rest is presented within investing activities. The acquisitions and disposals of investment properties are disclosed within investing activities as this most appropriately reflects the Group’s business activities. Cash flows in respect to trading properties are disclosed within operating activities because these items are sold in the ordinary course of business. (g) Use of estimates The preparation of Financial Statements at a certain date requires the Management to make estimations and evaluations affecting the amount of assets and liabilities recorded and contingent assets and liabilities disclosed at such date, as well as income and expenses recorded during the year. Actual results might differ from the estimates and evaluations made at the date of preparation of these Consolidated Financial Statements. The most significant judgments made by Management in applying the Group’s accounting policies and the major estimations and significant judgments are described in Note 3. 2.2. New accounting standards and amendments The following standards and amendments have been issued by the IASB. Below we outline the standards and amendments that may potentially have an impact on the Group at the time of application. Standards and amendments adopted by the Group Standards and amendment Description Date of mandatory adoption for the Group in the year ended on Covid-19 - related Rent Concessions - Amendments to IFRS 16. As a result of the COVID-19 pandemic, rent concessions have been granted to lessees. Such concessions might take a variety of forms, including payment holidays and deferral of lease payments. In May 2020, the IASB made an amendment to IFRS 16 Leases which provides lessees with an option to treat qualifying rent concessions in the same way as they would if they were not lease modifications. In many cases, this will result in accounting for the concessions as variable lease payments in the period in which they are granted. Entities applying the practical expedients must disclose this fact, whether the expedient has been applied to all qualifying rent concessions or, if not, information about the nature of the contracts to which it has been applied, as well as the amount recognized in profit or loss arising from the rent concessions. 06-30- 2021 Property, plant and equipment: Proceeds before intended use - Amendments to IAS 16. The amendment to IAS 16 Property, Plant and Equipment (PP&E) prohibits an entity from deducting from the cost of an item of PP&E any proceeds received from selling items produced while the entity is preparing the asset for its intended use. It also clarifies that an entity is ‘testing whether the asset is functioning properly’ when it assesses the technical and physical performance of the asset. The financial performance of the asset is not relevant to this assessment. 06-30-2023 Reference to the Conceptual Framework – Amendments to IFRS 3 Minor amendments were made to IFRS 3 Business Combinations to update the references to the Conceptual Framework for Financial Reporting and add an exception for the recognition of liabilities and contingent liabilities within the scope of IAS 37 Provisions, Contingent Liabilities and Contingent Assets and Interpretation 21 Levies. The amendments also confirm that contingent assets should not be recognized at the acquisition date. 06-30-2023 Amendment to IAS 37. The amendment to IAS 37 clarifies that the direct costs of fulfilling a contract include both the incremental costs of fulfilling the contract and an allocation of other costs directly related to fulfilling contracts. Before recognizing a separate provision for an onerous contract, the entity recognizes any impairment loss that has occurred on assets used in fulfilling the contract. 06-30-2023 Annual Improvements to IFRS Standards 2018-2020 The following improvements were finalized in May 2020: 06-30-2023 · IFRS 9 Financial Instruments - clarifies which fees should be included in the 10% test for derecognition of financial liabilities. · IFRS 16 Leases - amendment of illustrative example 13 to remove the illustration of payments from the lessor relating to leasehold improvements, to remove any confusion about the treatment of lease incentives. The adoption of these amendment has not had a material impact for the Group. Standards and amendments not yet adopted by the Group: Standards and amendment Description Date of mandatory adoption for the Group in the year ended on IFRS 17 Insurance Contracts IFRS 17 was issued in May 2017 as replacement for IFRS 4 Insurance Contracts. It requires a current measurement model where estimates are remeasured in each reporting period. Contracts are measured using the building blocks of: 06-30-2024 · discounted probability-weighted cash flows · an explicit risk adjustment, and · a contractual service margin (CSM) representing the unearned profit of the contract which is recognised as revenue over the coverage period. The standard allows a choice between recognising changes in discount rates either in the statement of profit or loss or directly in other comprehensive income. The choice is likely to reflect how insurers account for their financial assets under IFRS 9. An optional, simplified premium allocation approach is permitted for the liability for the remaining coverage for short duration contracts, which are often written by non-life insurers. There is a modification of the general measurement model called the ‘variable fee approach’ for certain contracts written by life insurers where policyholders share in the returns from underlying items. When applying the variable fee approach, the entity’s share of the fair value changes of the underlying items is included in the CSM. The results of insurers using this model are therefore likely to be less volatile than under the general model. The new rules will affect the financial statements and key performance indicators of all entities that issue insurance contracts or investment contracts with discretionary participation features. Targeted amendments made in July 2020 aimed to ease the implementation of the standard by reducing implementation costs and making it easier for entities to explain the results from applying IFRS 17 to investors and others. The amendments also deferred the application date of IFRS 17 to 1 January 2023. Further amendments made in December 2021 added a transition option that permits an entity to apply an optional classification overlay in the comparative period(s) presented on initial application of IFRS 17. The classification overlay applies to all financial assets, including those held in respect of activities not connected to contracts within the scope of IFRS 17. It allows those assets to be classified in the comparative period(s) in a way that aligns with how the entity expects those assets to be classified on initial application of IFRS 9. The classification can be applied on an instrument-by-instrument basis. Classification of Liabilities as Current or Non-current - Amendments to IAS 1 The narrow-scope amendments to IAS 1 Presentation of Financial Statements clarify that liabilities are classified as either current or non-current, depending on the rights that exist at the end of the reporting period. Classification is unaffected by the entity’s expectations or events after the reporting date (e.g. the receipt of a waiver or a breach of covenant). The amendments also clarify what IAS 1 means when it refers to the ‘settlement’ of a liability. The amendments could affect the classification of liabilities, particularly for entities that previously considered management’s intentions to determine classification and for some liabilities that can be converted into equity. They must be applied retrospectively in accordance with the normal requirements in IAS 8 Accounting Policies, Changes in Accounting Estimates and Errors. Since the approval of these modifications, the IASB has issued an exposure draft proposing further changes and the postponement of these modifications until at least January 1, 2024 Accounting Policy Disclosures - Amendment to IAS 1 and Practical Statement 2 The IASB amended IAS 1 to require entities to disclose their material accounting policies rather than their significant accounting policies. The amendments define what it implies and how to identify material accounting policy information. They also clarify that it is not necessary to disclose immaterial accounting policy. If it is disclosed should not overshadow material accounting information. To support this amendment, the IASB also amended IFRS Practical Statement 2 on "Making materiality related judgments" to advise on how to apply the concept of materiality to disclosure of accounting policies. 06-30-2024 Definition of accounting estimates - Amendments to IAS 8. The IASB amended IAS 1 to require entities to disclose their material accounting policies rather than their significant accounting policies. The amendments define what it implies and how to identify material accounting policy information. They also clarify that it is not necessary to disclose immaterial accounting policy. If it is disclosed should not overshadow material accounting information. To support this amendment, the IASB also amended IFRS Practical Statement 2 on "Making materiality related judgments" to advise on how to apply the concept of materiality to disclosure of accounting policies. 06-30-2024 Deferred Tax related to Assets and Liabilities arising from a Single Transaction - Amendments to IAS 12 The amendments to IAS 12 Income Taxes require companies to recognise deferred tax on transactions that, on initial recognition, give rise to equal amounts of taxable and deductible temporary differences. They will typically apply to transactions such as leases of lessees and decommissioning obligations, and will require the recognition of additional deferred tax assets and liabilities. 06-30-2024 Sale or contribution of assets between an investor and its associate or joint venture - Amendments to IFRS 10 and IAS 28 The IASB has made limited scope amendments to IFRS 10 Consolidated Financial Statements and IAS 28 Investments in Associates and Joint Ventures. The amendments clarify the accounting treatment for sales or contribution of assets between an investor and their associates or joint ventures. They confirm that the accounting treatment depends on whether the non-monetary assets sold or contributed to an associate or joint venture constitute a ‘business’ (as defined in IFRS 3 Business Combinations'). Where the non-monetary assets constitute a business, the investor will recognise the full gain or loss on the sale or contribution of assets. If the assets do not meet the definition of a business, the gain or loss is recognised by the investor only to the extent of the other investor’s interests in the associate or joint venture. The amendments apply prospectively. In December 2015, the IASB decided to defer the application date of this amendment until such time as the IASB has finalized its research project on the equity method. Global implementation of Pillar Two model In December 2021, the Organization for Economic Cooperation and Development (OECD) published the Pillar Two model, with the objective of carrying out certain tax reforms applicable to companies. The rules are designed to ensure that large multinational companies within the scope of the rules pay a minimum level of tax. Generally, the rules apply a supplementary tax system that raises the total amount of taxes paid on an entity's excess profits in a jurisdiction up to the minimum rate of 15%. 06-30-2024 Supplier finance arrangements amendments – amendments to IAS 7 and IFRS 7 The amendment were prepared to respond to requests from investors regarding the need to have more information regarding financing agreements with suppliers, in order to be able to evaluate how these agreements affect liabilities, cash flows and the liquidity risk of an entity. New disclosures must be included in the financial statements, such as the terms and conditions of said agreements, as well as the recorded values of the liabilities, and ranges of payment due dates applicable to the liabilities that are under the Payment Agreement scheme. financing with suppliers, as well as for comparable commercial accounts that are not part of such agreements. Entities will apply such modifications to reporting annual years beginning on or after January 1, 2024. Early application is permitted. If an entity applies those modifications to prior years, it shall disclose this fact. Lack of interchangeability of currencies - amendments to IAS 21 The amendments to IAS 21, issued in August 2023, have been prepared to respond to concerns about diversity in practice when accounting for the lack of interchangeability between currencies. The amendments will assist businesses and investors by addressing an issue that was not previously covered in the accounting requirements for the effects of changes in exchange rates. An entity shall apply such amendments for annual reporting periods beginning on or after January 1, 2025. Early application is permitted. If an entity applies the modifications for a prior period, it shall disclose that fact. Management is evaluating the impact that these new standards and amendments will have for the Group. At the date of issuance of these consolidated financial statements, there are no other standards or amendments issued by the IASB that are not yet effective and are expected to have a significant effect on the Group. 2.3. Scope 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 rights to variable returns from its involvement with the entity and has the ability to affect those returns through its power over the entity. The Group also analyzes whether there is control when it does not hold more than 50% of the voting rights of an entity but does have capacity to define its relevant activities because of de-facto control. The Group uses the acquisition method of accounting for business combinations. The consideration transferred for the acquisition of a subsidiary is the fair value of the assets transferred, the liabilities incurred and the equity interests issued by the Group. 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. The Group recognizes any non-controlling interest in the acquiree on an acquisition-by-acquisition basis either at fair value or at the non-controlling interest’s proportionate share of the acquirer’s net assets. The Group chooses the method to be used on a case-by-case basis. The excess of the sum of the consideration transferred, the amount of any non-controlling interest in the acquiree and the acquisition-date fair value of any previous equity interest in the acquiree over the fair value of the identifiable net assets acquired is recorded as goodwill. If the total of consideration transferred, non-controlling interest recognized and previously held interest measured is less than the fair value of the net assets of the subsidiary acquired in the case of a bargain purchase, the difference is recognized directly in the Consolidated Statement of Income and Other Comprehensive Income as “Bargain purchase gains”. The Group conducts its business through several operating and investment companies, the main ones are listed below: % of ownership interest held by the Group Name of the entity Country Main activity 06.30.2023 06.30.2022 06.30.2021 IRSA's direct interest: E-Commerce Latina S.A. Argentina Investment 100.00% 100.00% 100.00% Efanur S.A. (3) Uruguay Investment - 100.00% 100.00% Hoteles Argentinos S.A.U. Argentina Hotel 100.00% 100.00% 100.00% Inversora Bolívar S.A. Argentina Investment 100.00% 100.00% 100.00% Llao Llao Resorts S.A. (1) Argentina Hotel 50.00% 50.00% 50.00% Nuevas Fronteras S.A. Argentina Hotel 76.34% 76.34% 76.34% Palermo Invest S.A. Argentina Investment 100.00% 100.00% 100.00% Ritelco S.A. Uruguay Investment 100.00% 100.00% 100.00% Tyrus S.A. Uruguay Investment 100.00% 100.00% 100.00% U.T. IRSA y Galerias Pacifico (1) Argentina Investment 50.00% 50.00% 50.00% Arcos del Gourmet S.A. Argentina Real estate 90.00% 90.00% 90.00% Emprendimiento Recoleta S.A. Argentina Real estate 53.68% 53.68% 53.68% Fibesa S.A.U. Argentina Real estate 100.00% 100.00% 100.00% Panamerican Mall S.A. Argentina Real estate 80.00% 80.00% 80.00% Shopping Neuquén S.A. Argentina Real estate 99.95% 99.95% 99.95% Torodur S.A. Uruguay Investment 100.00% 100.00% 100.00% EHSA Argentina Investment 70.00% 70.00% 70.00% Centro de Entretenimiento La Plata Argentina Real estate 100.00% 100.00% 100.00% We Are Appa S.A. Argentina Design and software development 98.67% 93.63% 93.63% Tyrus S.A.'s direct interest: DFL and DN BV Bermuda’s / Netherlands Investment 99.59% 99.50% 99.50% IRSA International LLC USA Investment 100.00% 100.00% 100.00% Jiwin S.A. (3) Uruguay Investment - 100.00% 100.00% Liveck S.A. (2) British Virgin Islands Investment 100.00% 100.00% 100.00% Real Estate Strategies LLC USA Investment 100.00% 100.00% 100.00% Efanur S.A.'s direct interest: Real Estate Investment Group VII LP (REIG VII) (3) Bermuda’s Investment - 100.00% 100.00% DFL's and DN BV's direct interest: Dolphin IL Investment Ltd. Israel Investment 100.00% 100.00% 100.00% (1) The Group has consolidated the investment in Llao Llao Resorts S.A. and UT IRSA and Galerías Pacífico considering its equity interest and a shareholder agreement that confers its majority of votes in the decision-making process. (2) Includes Tyrus’ and IRSA S.A.’s equity interests. (3) Liquidated in October 2022. Except for the aforementioned items, the percentage of votes does not differ from the stake. The Group takes into account both quantitative and qualitative aspects in order to determine which non-controlling interests in subsidiaries are considered significant. In quantitative terms, the Group considers significant investments as those that individually represent at least 20% of the total equity attributable to non-controlling interest in subsidiaries at each year-end. Therefore, in qualitative terms, the Group considers, among other factors, the specific risks to which each company is exposed, their returns and the importance that each of them has for the Group. Summarized financial information on subsidiaries with material non-controlling interests and other information are included in Note 7. (b) Changes in ownership interests in subsidiaries without change of control Transactions with non-controlling interests that do not result in loss of control are accounted for as equity transactions – i.e., as transactions with the owners in their capacity as owners. The recorded value corresponds to the difference between the fair value of the consideration paid and/or received and the relevant share acquired and/or transferred of the carrying value of the net assets of the subsidiary. (c) Disposal of subsidiaries with loss of control When the Group ceases to have control any retained interest in the entity is re-measured at its fair value at the date when control is lost, with changes in carrying amount recognized in profit or loss. 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 recognized in other comprehensive income in respect of that entity are accounted for as if the Group had directly disposed of the related assets or liabilities. This may mean that amounts previously recognized in other comprehensive income are reclassified to profit or loss. (d) Associates and joint arrangements Associates are all entities over which the Group has significant influence but not control, usually representing an interest between 20% and at least 50% of the voting rights. Joint arrangements are arrangements of which the Group and other party or parties have joint control bound by a contractual arrangement. Under IFRS 11, investments in joint arrangements are classified as either joint ventures or joint operations depending on the contractual rights and obligations each investor has rather than the legal structure of the joint arrangement. A joint venture is a joint arrangement whereby the parties that have joint control of the arrangement have rights to the net assets of the arrangement. A joint operation is a joint arrangement whereby the parties that have joint control of the arrangement have rights to the assets, and obligations for the liabilities, relating to the arrangement. The Group has assessed the nature of its joint arrangements and determined them to be joint ventures. Investments in associates and joint ventures are accounted for under the equity method of accounting, pursuant to which interests in joint ventures are initially recognized in the Consolidated Statement of Financial Position at cost and adjusted thereafter to recognize the Group’s share of post-acquisition profits or losses and other comprehensive income in the Consolidated Statement of Income and Other Comprehensive Income. The Group’s investment in associates includes goodwill identified on acquisition. As of each year-end or upon the existence of evidence of impairment, a determination is made as to whether there is any objective indication of impairment in the value of the investments in associates or joint ventures. If this is the case, the Group calculates the amount of impairment as the difference between the recoverable amount of the associates or joint venture and its carrying value and recognizes the amount adjacent to "Share of profit / (loss) of associates and joint ventures" in the Statement of Income and Other Comprehensive Income. Profit and losses resulting from transactions between the Group and the associate or joint venture are recognized in the Group's financial statements only to the extent of the interests in the associates or joint ventures of the unrelated investor. Unrealized losses are eliminated unless the transaction reflects signs of impairment of the value of the asset transferred. The accounting policies of associates or joint ventures are modified to ensure uniformity within Group policies. The Group takes into account quantitative and qualitative aspects to determine which investments in associates or joint ventures are considered significant. Note 8 includes summary financial information and other information of the Group's associates. 2.4. Segment information Operating segments are reported in a manner consistent with the internal reporting provided to the Chief Operating Decision-Maker (“CODM”), responsible for allocating resources and assessing performance. The operating segments are described in Note 6. 2.5. Foreign currency translation (a) Functional and presentation currency Items included in the Financial Statements of each of the Group’s entities are measured using the currency of the primary economic environment in which the entity operates (‘the functional currency’). The Consolidated Financial Statements are presented in Argentine Pesos, which is the Group’s presentation currency. (b) Transactions and balances in foreign currency Foreign currency transactions are translated into the functional currency using the exchange rates prevailing at the dates of the transactions. 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 nominated in foreign currencies are recognized in the profit or loss for the year. Foreign exchange gains and losses are presented in the Consolidated Statement of Income and Other Comprehensive Income within other financial income, as appropriate, unless they have been capitalized. (c) Group companies The results and financial position of all the Group entities that have a functional currency different from the presentation currency (none of which has the currency of a hyperinflationary economy) are translated into the presentation currency as follows: (i) assets, liabilities and goodwill for each Statement of Financial Position presented are translated at the closing rate at the date of that financial position; (ii) income and expenses for each Statement of Comprehensive Income are translated at average exchange rates (unless this average is not a reasonable approximation of the |
Significant judgments, key assu
Significant judgments, key assumptions and estimates | 12 Months Ended |
Jun. 30, 2023 | |
Significant judgments, key assumptions and estimates | |
Significant judgments, key assumptions and estimates | 3. Significant judgments, key assumptions and estimates Not all of these significant accounting policies require management to make subjective or complex judgments or estimates. The following is intended to provide an understanding of the policies that management considers critical because of the level of complexity, judgment or estimations involved in their application and their impact on the Consolidated Financial Statements. These judgments involve assumptions or estimates in respect of future events. Actual results may differ from these estimates. Estimation Main assumptions Potential implications Main references Control, joint control or significant influence Judgment relative to the determination that the Group holds an interest in the shares of investees (considering the existence and influence of significant potential voting rights), its right to designate members in the executive management of such companies (usually the Board of directors) based on the investees’ bylaws; the composition and the rights of other shareholders of such investees and their capacity to establish operating and financial policies for investees or to take part in the establishment thereof. Accounting treatment of investments as subsidiaries (consolidation) or associates (equity method) Note 2.3 Recoverable amounts of cash-generating units (even those including goodwill), associates and assets. The discount rate and the expected growth rate before taxes in connection with cash-generating units. The discount rate and the expected growth rate after taxes in connection with associates. Cash flows are determined based on past experiences with the asset or with similar assets and in accordance with the Group’s best factual assumption relative to the economic conditions expected to prevail. Business continuity of cash-generating units. Appraisals made by external appraisers and valuators with relation to the assets’ fair value, net of realization costs (including real estate assets). Should any of the assumptions made be inaccurate, this could lead to differences in the recoverable values of cash-generating units. Note 8 – Investments in associates and joint ventures Note 10 – Property, plant and equipment Note 12 – Intangible assets Estimated useful life of intangible assets and property, plant and equipment Estimated useful life of assets based on their conditions. Recognition of accelerated or decelerated depreciation by comparison against final actual earnings (losses). Note 10 – Property, plant and equipment Note 12 – Intangible assets Fair value valuation of investment properties Fair value valuation made by external appraisers and valuators. See Note 10. Incorrect valuation of investment property values Note 9 – Investment properties Income tax The Group estimates the income tax amount payable for transactions where the Treasury’s Claim cannot be clearly determined. Additionally, the Group evaluates the recoverability of assets due to deferred taxes considering whether some or all of the assets will not be recoverable. Upon the improper determination of the provision for income tax, the Group will be bound to pay additional taxes, including fines and compensatory and punitive interest. Note 21 – Taxes Allowance for doubtful accounts A periodic review is conducted of receivables risks in the Group’s clients’ portfolios. Bad debts based on the expiration of account receivables and account receivables’ specific conditions. Improper recognition of charges / reimbursements of the allowance for bad debt. Note 15 – Trade and other receivables Level 2 and 3 financial instruments Main assumptions used by the Group are: Incorrect recognition of a charge to income / (loss). Note 14 – Financial instruments by category · Discounted projected income by interest rate · Values determined in accordance with the shares in equity funds on the basis of its Financial Statements, based on fair value or investment assessments. · Comparable market multiple (EV/GMV ratio). · Underlying asset price (Market price); share price volatility (historical) and market interest-rate (Libor rate curve). Probability estimate of contingent liabilities. Whether more economic resources may be spent in relation to litigation against the Group; such estimate is based on legal advisors’ opinions. Charge / reversal of provision in relation to a claim. Note 19 – Provisions Qualitative considerations for determining whether or not the replacement of the debt instrument involves significantly different terms The entire set of characteristics of the exchanged debt instruments, and the economic parameters represented therein: Average lifetime of the exchanged liabilities; Extent of effects of the debt terms (linkage to index; foreign currency; variable interest) on the cash flows from the instruments. Classification of a debt instrument in a manner whereby it will not reflect the change in the debt terms, which will affect the method of accounting recording. Note 14 – Financial instruments by category |
Acquisitions and disposals
Acquisitions and disposals | 12 Months Ended |
Jun. 30, 2023 | |
Acquisitions and disposals | 4. Acquisitions and disposals A) Sale of Catalinas Tower building On August 17, 2022, the Company sold and transferred one floor of the tower “261 Della Paolera” for a total leasable area of approximately 1,184 square meters and 8 parking spaces located in the building. The transaction price was set at approximately USD 12.6 million (USD/square meters 10,600), which had already been paid. On February 28, 2023, the deed for the sale of 2 floors with a total of 2,394 square meters, 18 parking spaces, and 4 complementary units of the aforementioned building was signed. The transaction price was set at USD 22.5 million, which had already been paid. On March 28, 2023, the deed for the sale of 5 floors with a total of 5,922 square meters, 49 parking spaces, and 10 complementary units of the same building was signed. The transaction price was set at USD 58.7 million, which had already been paid. B) Barter transaction Córdoba On August 18, 2022, the transfer of ownership was made as an exchange of the Property "Lot 16" located in the province of Córdoba, whose commitment had been celebrated on May 17, 2016. The price of the transaction was USD 2 million, and in exchange, the client assumes the commitment and the obligation to transfer, under the horizontal property regime, future real estate that will be functional units (apartments) and complementary units (storage rooms), whose construction and completion will be at his sole expense. C) Zetol – Sell of plot and Boating Trust interest On November 23, 2022, Zetol, subsidiary of Liveck S.A., sold the property number 46,931 located in Ciudad de la Costa, department of Canelones, to the Boating Trust for an amount of USD 8 million. The form of payment was the equivalent of USD 6 million in units and USD 2 million remains as an account receivable. The units were delivered to the Maneiro family as partial cancellation of the debt that Liveck maintains with them for the purchase of the shares of Zetol. Later that day, a novation agreement was made between Zetol and the Trust, substituting the receivable of USD 2 million that Zetol had for the sale of the plot, becoming trustor and beneficiary of the trust that will carry out the real estate development. Due to this, Zetol has the right to receive the net proceeds from the sale of units, equivalent to 791.7 square meters. Such a contract has established a minimum amount to be received. D) Purchase of property on Paseo Colón Avenue The Company purchased by public auction from the Government of the Autonomous City of Buenos Aires (hereinafter "GCABA"), a property located at 245 Paseo Colón Avenue and 12 parking spaces located at 275 Paseo Colón Avenue. The property, with potential for mixed uses, has 13 floors of offices in a covered area of approximately 13,700 m2 and an underground parking area. The purchase price was ARS 1,435 million, which was paid in full. On March 7th, 2023, the property was awarded. On May 29, 2023, possession and the signing of the title transfer deed were already signed and simultaneously with the deed, the Company signed a bailment agreement with GCBA, which will maintain possession of the property free of charge for a period of 18 months (with the option to require a 6-month extension with a lease agreement), in accordance with the conditions agreed upon in the auction. E) Purchase of Rundel Global Ltd preferred shares On April 11, 2023 Tyrus S.A. purchased 573,442 Series A preferred shares of Rundel Global Ltd for a total of USD 2.8 million, representing a share-holding of 9.22% of the share capital. F) Local acquisition Mendoza Bandera de los Andes 3027 On June 12, 2023, IRSA received possession of the land that had been duly sold to TROMEN S.A. in the province of Mendoza and which was subsequently repurchased in a judicial auction that took place on June 28, 2021. The price for ARS 30 million was compensated with the credit claimed judicially from TROMEN. G) Purchase of We Are Appa´s common-shares On June 22, 2023, IRSA purchased We Are Appa´s common-shares equivalent to 5.04% of the capital share. The operation was agreed for USD 115,000, equivalent to ARS 55.3 million. H) Barter transaction Conil On June 27, 2023, the barter transaction was signed with FIDEICOMISO ESQUINA GUEMES, which received 2 commercial premises, 2 apartments units and 4 parking spaces of the property located at Avenida General Güemes 898, Avellaneda district, province of Buenos Aires, which they were classified as “trading properties”. Likewise, a partial amendment of the barter transaction contract was signed, with which the parcel of land initially ceded is reincorporated. I) Barter transaction Air Space Coto “Tower 2” On June 30, 2023, in compliance with the barter transaction entered into in June 2016 with ABASTO TWINS S.A., the assignment of a functional parking space and the right to raise the so-called “Tower 2 of Abasto” for a price of USD 3 million was signed , for which the sum of USD 15,250 was received in cash, and as non-cash consideration, the obligation to receive at least 29 functional units of the future tower, representing the equivalent of 20% of the square meters of the plans approved by the Government of the City of Buenos Aires, for the construction of the tower, with a minimum insured of 1,639 square meters. |
Financial risk management and f
Financial risk management and fair value estimates | 12 Months Ended |
Jun. 30, 2023 | |
Financial risk management and fair value estimates | 5. Financial risk management and fair value estimates The Group's activities expose it to a variety of financial risks: market risk (including foreign currency risk, interest rate risk, indexing risk due to specific clauses and other price risks), credit risk, liquidity risk and capital risk. Within the Group, risk management functions are conducted in relation to financial risks associated to financial instruments to which the Group is exposed during a certain period or as of a specific date. The general risk management policies of the Group seek both to minimize adverse potential effects on the financial performance of the Group and to manage and control the financial risks effectively. The Group uses financial instruments to hedge certain risk exposures when deemed appropriate based on its internal management risk policies, as explained below. The Group’s principal financial instruments comprise cash and cash equivalents, receivables, payables, interest bearing assets and liabilities, other financial liabilities, other investments and derivative financial instruments. The Group manages its exposure to key financial risks in accordance with the Group’s risk management policies. The Group’s management framework includes policies, procedures, limits and allowed types of derivative financial instruments. The Group has established a Risk Committee, composed of the CEO, the CFO, the compliance manager and certain directors, which reviews and oversees management’s compliance with these policies, procedures and limits and has overall accountability for the identification and management of risk across the Group. This section provides a description of the principal risks that could have a material adverse effect on the Group’s strategy, performance, results of operations and financial condition. The risks facing the businesses, set out below, do not appear in any particular order of potential materiality or probability of occurrence. This sensitivity analysis provides only a limited, point-in-time view. The actual impact on the Group’s financial instruments may differ significantly from the impact shown in the sensitivity analysis. (a) Market risk management The market risk is the risk of changes in the market price of financial instruments with which the Group operates. The Group’s market risks arise from open positions in foreign currencies, interest-bearing assets and liabilities and equity securities of certain companies, to the extent that these are exposed to market value movements. The Group sets limits on the exposure to these risks that may be accepted, which are monitored on a regular basis. Foreign Exchange risk and associated derivative financial instruments The Group publishes its Consolidated Financial Statements in Argentine pesos but conducts operations and holds positions in other currencies. As a result, the Group is exposed to foreign currency exchange risk through exchange rate movements, which affect the value of the Group’s foreign currency positions. Foreign exchange risk arises when future commercial transactions or recognized assets or liabilities are denominated in a currency that is not the entity’s functional currency and its subsidiaries. The real estate, commercial and/or financial activities of the Group’s subsidiaries have the Argentine Peso as functional currency. An important part of the business activities of these subsidiaries is conducted in that currency, thus not exposing the Group to foreign exchange risk. Other Group's subsidiaries have other functional currencies, principally US Dollar. In the ordinary course of business, the Group, through its subsidiaries, transacts in currencies other than the respective functional currencies of the subsidiaries. These transactions are primarily denominated in US Dollars. Net financial position exposure to the functional currencies is managed on a case-by-case basis, partly by entering into foreign currency derivative instruments and/or by borrowings in foreign currencies, or other methods, considered adequate by the Management, according to circumstances. Financial instruments are considered sensitive to foreign exchange rates only when they are not in the functional currency of the entity that holds them. As of June 30, 2023 and 2022, the book value net liability of the Group's instruments denominated in foreign currency is equivalent to the sum of ARS 63,158 and ARS 96,440, respectively. The Group estimates that, other factors being constant, a 10% appreciation in real terms of the US Dollar against the respective functional currencies at year-end would result in a net additional loss before income tax for the years ended June 30, 2023 and 2022 for an amount of ARS 6,316 (loss) and ARS 9,644 (loss), respectively. A 10% depreciation in real terms of the US Dollar against the functional currencies would have an equal and opposite effect on the Statements of Income and Other Comprehensive Income. On the other hand, the Group also uses derivatives, such as future exchange contracts, to manage its exposure to foreign currency risk. As of June 30, 2023 the Group has future exchange contracts pending for an amount of ARS 6 (liability) and as of June 30, 2022 the Group has no future exchange contracts pending. Interest rate risk The Group is exposed to interest rate risk on its investments in debt instruments, short-term and long-term borrowings and derivative financial instruments. The primary objective of the Group’s investment activities is to preserve principal while at the same time maximizing yields without significantly increasing risk. To achieve this objective, the Group diversifies its portfolio in accordance with the limits set by the Group. The Group maintains a portfolio of cash equivalents and short-term investments in a variety of securities, including both government and corporate obligations and money market funds. The Group’s interest rate risk principally arises from long-term borrowings (Note 20). Borrowings issued at variable rates expose the Group to cash flow interest rate risk. Borrowings issued at fixed rates expose the Group to fair value interest rate risk. As of June 30, 2023 and 2022, 97.8% and 99.1% of the Group’s long-term financial loans have a fixed interest rate so that IRSA is not significantly exposed to the fluctuation risk of the interest rate. The Group manages this risk by maintaining an appropriate mix between fixed and floating rate interest bearing liabilities. These activities are evaluated regularly to determine that the Group is not exposed to interest rate fluctuations that could adversely impact its ability to meet its financial obligations and to comply with its borrowing covenants. The Group occasionally manages its cash flow interest rate risk exposure by different hedging instruments, including but not limited to interest rate swap, depending on each particular case. For example, interest rate swaps have the economic effect of converting borrowings from floating rates to fixed rates or vice versa. The interest rate risk policy is approved by the Board of Directors. Management analyses the Group’s interest rate exposure on a dynamic basis. Various scenarios are simulated, taking into consideration refinancing, renewal of existing positions and alternative financing sources. Based on these scenarios, the Group calculates the impact on profit and loss of a defined interest rate shift. The scenarios are run only for liabilities that represent the major interest-bearing positions. Trade payables are normally interest-free and have settlement dates within one year. The simulation is done on a regular basis to verify that the maximum potential loss is within the limits set by management. Note 20 shows a breakdown of the Group’s fixed-rate and floating-rate borrowings per currency denomination and functional currency of the subsidiary that holds the loans for the fiscal years ended June 30, 2023 and 2022. The Group estimates that, other factors being constant, a 1% increase in real terms in floating rates at year-end would increase net loss before income tax for the years ended June 30, 2023 and 2022 in the amount of ARS 23.4 and ARS 9, respectively. A 1% decrease in real terms in floating rates would have an equal and opposite effect on the Consolidated Statement of Income and Other Comprehensive Income. Other price risks The Group is exposed to equity securities price risk or derivative financial instruments because of investments held in entities that are publicly traded, which were classified on the Consolidated Statement of Financial Position at “fair value through profit or loss”. The Group regularly reviews the price evolution of these equity securities in order to identify significant movements. As of June 30, 2023 and 2022 the total value of Group’s investments in shares of public companies amounts to ARS 5,046 and ARS 2,902, respectively. The Group estimates that, other factors being constant, a 10% decrease in quoted prices of equity securities and in derivative financial instruments portfolio at year-end would generate a loss before income tax for the year ended June 30, 2023, of ARS 505 (ARS 290 in 2022). An increase of 10% on these prices would have an equal and opposite effect in the Statement of Income and Other Comprehensive Income. (b) Credit risk management The credit risk arises from the potential non-performance of contractual obligations by the parties, with a resulting financial loss for the Group. Credit limits have been established to ensure that the Group deals only with approved counterparties and that counterparty concentration risk is addressed and the risk of loss is mitigated. Counterparty exposure is measured as the aggregate of all obligations of any single legal entity or economic entity to the Group. The Group is subject to credit risk arising from deposits with banks and financial institutions, investments of surplus cash balances, the use of derivative financial instruments and from outstanding receivables. The credit risk is managed on a country-by-country basis. Each local entity is responsible for managing and analyzing the credit risk. The Group’s policy is to manage credit exposure from deposits, short-term investments and other financial instruments by maintaining diversified funding sources in various financial institutions. All the institutions that operate with the Group are well known because of their experience in the market and high credit quality. The maximum exposure to credit risk is represented by the carrying amount of cash and cash equivalents and short-term investments in the Consolidated Statement of Financial Position. Trade receivables related to leases and services provided by the Group represent a diversified tenant base and account for 98.6% and 96.6% of the Group’s total trade receivables of the operations center as of June 30, 2023 and 2022, respectively. The Group has specific policies to ensure that rental contracts are transacted with counterparties with appropriate credit quality. The majority of the Group’s shopping mall, offices and other rental properties’ tenants are well recognized retailers, diversified companies, professional organizations, and others. Owing to the long-term nature and diversity of its tenancy arrangements, the credit risk of this type of trade receivables is considered to be low. Generally, the Group has not experienced any significant losses resulting from the non-performance of any counterpart to the lease contracts and, as a result, the allowance for doubtful accounts balance is low. Individual risk limits are set based on internal or external ratings in accordance with limits set by the Group. If there is no independent rating, risk control assesses the credit quality of the customer, taking into account its past experience, financial position, actual experience and other factors. Based on the Group’s analysis, the Group determines the size of the deposit that is required from the tenant at inception. Management does not expect any material losses from non-performance by these counterparties. See details on Note 15. On the other hand, property receivables related to the sale of trading properties represent 1.2% and 2.3% of the Group’s total trade receivables as of June 30, 2023 and 2022, respectively. Payments on these receivables have generally been received when due. These receivables are generally secured by mortgages on the properties. Therefore, the credit risk on outstanding amounts is considered very low. (c) Liquidity risk management The Group is exposed to liquidity risks, including risks associated with refinancing borrowings as they mature, the risk that borrowing facilities are not available to meet cash requirements, and the risk that financial assets cannot readily be converted to cash without loss of value. Failure to manage liquidity risks could have a material impact on the Group’s cash flow and Consolidated Statement of Financial Position. Prudent liquidity risk management implies maintaining sufficient cash, the availability of funding through an adequate amount of committed credit facilities and the ability to close out market positions. Due to the dynamic nature of the underlying businesses, the Group aims to maintain flexibility in funding its existing and prospective debt requirements by maintaining diversified funding sources. The Group monitors current and projected financial position using several key internally generated reports: cash flow; debt maturity; and interest rate exposure. The Group also undertakes sensitivity analysis to assess the impact of proposed transactions, movements in interest rates and changes in property values on the key profitability, liquidity and balance sheet ratios. The debt and the derivative positions are continually reviewed to meet current and expected debt requirements. The Group maintains a balance between longer-term and shorter-term financings. Short-term financing is principally raised through bank facilities and overdraft positions. Medium- to longer-term financing comprises public and private bond issues, including private placements. Financing risk is spread by using a variety of types of debt. The maturity profile is managed in accordance with the Group needs, by spreading the repayment dates and extending facilities, as appropriate. The tables below show financial liabilities, including derivative financial liabilities of the Group groupings based on the remaining period at the Statements of Financial Position to the contractual maturity date. The amounts disclosed in the tables are the contractual undiscounted cash flows and does not include advances and other concepts already disbursed since they are not future cash flows, as a result, they do not reconcile to the amounts disclosed on the Statements of Financial Position. However, undiscounted cash flows in respect of balances due within 12 months generally equal their carrying amounts in the Consolidated Statement of Financial Position, as the impact of discounting is not significant. The tables include both interest and principal flows. Where the interest payable is not fixed, the amount disclosed has been determined by reference to the existing conditions at the reporting date. 06.30.2023 Less than 1 year Between 1 and 2 years Between 2 and 3 years Between 3 and 4 years More than 4 years Total Trade and other payables 15,792 435 358 267 360 17,212 Borrowings 40,617 27,349 20,908 7,025 12,042 107,941 Finance leases obligations 281 291 330 317 4,140 5,359 Derivative Financial Instruments 6 - - - - 6 Total 56,696 28,075 21,596 7,609 16,542 130,518 06.30.2022 Less than 1 year Between 1 and 2 years Between 2 and 3 years Between 3 and 4 years More than 4 years Total Trade and other payables 9,971 222 86 56 86 10,421 Borrowings 132,974 22,572 4,635 248 683 161,112 Finance leases obligations 188 190 200 213 4,516 5,307 Derivative Financial Instruments 34 - - - - 34 Total 143,167 22,984 4,921 517 5,285 176,874 See Note 20 for a description of the commitments and restrictions related to loans and the ongoing renegotiations. (d) Capital risk management The capital structure of the Group consists of shareholders’ equity and net borrowings. The Group’s equity is analyzed into its various components in the Consolidated Statements of Changes in Shareholders’ Equity. Capital is managed so as to promote the long-term success of the business and to maintain sustainable returns for shareholders. The Group seeks to manage its capital requirements to maximize value through the mix of debt and equity funding, while ensuring that Group entities continue to operate as going concerns, comply with applicable capital requirements and maintain strong credit ratings. The Group assesses the adequacy of its capital requirements, cost of capital and gearing (i.e., debt/equity mix) as part of its broader strategic plan. The Group continuously reviews its capital structure to ensure that (i) sufficient funds and financing facilities are available to implement the Group’s property development and business acquisition strategies, (ii) adequate financing facilities for unforeseen contingencies are maintained, and (iii) distributions to shareholders are maintained within the Group’s dividend distribution policy. The Group also protects its equity in assets by obtaining appropriate insurance. The Group’s strategy is to maintain key financing metrics (net debt to total equity ratio or gearing and debt ratio) in order to ensure that asset level performance is translated into enhanced returns for shareholders whilst maintaining an appropriate risk reward balance to accommodate changing financial and operating market cycles. The following tables provide details on the Group’s key metrics in relation to managing its capital structure. The ratios are within the ranges previously established by the Group’s strategy. 06.30.2023 06.30.2022 Gearing ratio (i) 22.83 % 31.99 % Debt ratio (ii) 18.19 % 24.31 % (i) Calculated as total of borrowings over total borrowings plus equity attributable equity holders of the parent company. (ii) Calculated as total borrowings over total properties (including trading properties, property, plant and equipment, investment properties and rights to receive units under barter agreements). |
Segment information
Segment information | 12 Months Ended |
Jun. 30, 2023 | |
Segment information | 6. Segment information IFRS 8 requires an entity to report financial and descriptive information about its reportable segments, which are operating segments or aggregations of operating segments that meet specified criteria. Operating segments are components of an entity about which separate financial information is available that is evaluated regularly by the CODM. According to IFRS 8, the CODM represents a function whereby strategic decisions are made and resources are assigned. The CODM function is carried out by the President of the Group, Mr. Eduardo S. Elsztain. Segment information is reported from the perspective of products and services, considering separately the various activities being developed, which represent reporting operating segments given the nature of its products, services, operations and risks. After the merger of the Company with IRSA CP, the structure is made up of the following five segments: -Shopping Malls -Offices -Hotels -Sales and development -Others The “Offices and Other Rental Properties” segment was renamed “Offices” and exclusively includes the results from the company’s six buildings. The other rental properties that were part of this segment were allocated to the “Sales and Developments” segment, which include the results generated by these assets, as well as those from Land Reserves, Barter Agreements and Properties for Sale. Likewise, the “Others” segment was incorporated, which groups the results from investments in associates and foreign companies that were previously allocated to the “Corporate” and “International” segments. The “Shopping Malls” and “Hotels” segments did not undergo any changes. Below is the segment information which was prepared as follows: · The Group operates in the following segments: o The “Shopping Malls” o The “Offices” o The “Sales and Developments” o The "Hotels" o The “Others” The CODM periodically reviews the results and certain asset categories and assesses performance of operating segments based on a measure of profit or loss of the segment composed by the operating income plus the share of profit / (loss) of joint ventures and associates. The valuation criteria used in preparing this information are consistent with IFRS standards used for the preparation of the Consolidated Financial Statements, except for the following: · Operating results from joint ventures are evaluated by the CODM applying proportional consolidation method. Under this method the profit/loss generated and assets are reported in the Statement of Income line-by-line based on the percentage held in joint ventures rather than in a single item as required by IFRS. Management believes that the proportional consolidation method provides more useful information to understand the business return. On the other hand, the investment in the joint venture La Rural S.A. is accounted for under the equity method since this method is considered to provide more accurate information in this case. · Operating results from Shopping Malls and Offices segments do not include the amounts pertaining to building administration expenses and collective promotion funds (“FPC”, as per its Spanish acronym) as well as total recovered costs, whether by way of expenses or other concepts included under financial results (for example default interest and other concepts). The CODM examines the net amount from these items (total surplus or deficit between building administration expenses and FPC and recoverable expenses). The assets’ categories examined by the CODM are: investment properties, property, plant and equipment, trading properties, inventories, right to receive future units under barter agreements, investment in associates and goodwill. The sum of these assets, classified by business segment, is reported under “assets by segment”. Assets are allocated to each segment based on the operations and/or their physical location. Most revenue from its operating segments is derived from, and their assets are located in, Argentina, except for some share of profit / (loss) of associates included in the “Others” segment located in the USA. Revenues for each reporting segment derive from a large and diverse client base and, therefore, there is no revenue concentration in any particular segment. Until September 2020 the Group used to report its financial performance separately in two Operations Centers. However, as described in Note 1 to the Consolidated Financial Statements as of June 30, 2020, during September 2020 the Group lost control of IDBD and, then, has reclassified the results of Operations Center in Israel to discontinued operations. As a consequence of the situation described, from October 1, 2020, the Group reports its financial performance through a single Operation Center. Segment information for the previous fiscal years has been recast for the purposes of comparability with the present fiscal year. Below is a summary of the Group’s lines of business and a reconciliation between the results from operations as per segment information and the results from operations as per the Consolidated Statement of Income and Other Comprehensive Income for the years ended June 30, 2023, 2022 and 2021: 06.30.2023 Total Joint ventures (1) Expenses and collective promotion funds Elimination of inter-segment transactions and non-reportable assets / liabilities (2) Total as per statement of income / statement of financial position Revenues 72,303 (453 ) 17,435 - 89,285 Costs (13,251 ) 198 (17,751 ) - (30,804 ) Gross profit / (loss) 59,052 (255 ) (316 ) - 58,481 Net loss from fair value adjustment of investment properties (51,180 ) 2,035 - - (49,145 ) General and administrative expenses (19,438 ) 67 - 52 (19,319 ) Selling expenses (4,538 ) 27 - - (4,511 ) Other operating results, net (7,284 ) (25 ) 166 (52 ) (7,195 ) Loss from operations (23,388 ) 1,849 (150 ) - (21,689 ) Share of profit of associates and joint ventures 3,889 (1,267 ) - - 2,622 Segment loss (19,499 ) 582 (150 ) - (19,067 ) Reportable assets 635,002 (3,588 ) - 80,198 711,612 Reportable liabilities (i) - - - (324,337 ) (324,337 ) Net reportable assets 635,002 (3,588 ) - (244,139 ) 387,275 06.30.2022 Total Joint ventures (1) Expenses and collective promotion funds Elimination of inter-segment transactions and non-reportable assets / liabilities (2) Total as per statement of income / statement of financial position Revenues 55,174 (502 ) 14,496 - 69,168 Costs (11,498 ) 196 (14,817 ) - (26,119 ) Gross profit / (loss) 43,676 (306 ) (321 ) - 43,049 Net gain / (loss) from fair value adjustment of investment properties 26,576 2,851 - - 29,427 General and administrative expenses (11,484 ) 57 - 50 (11,377 ) Selling expenses (4,834 ) 12 - - (4,822 ) Other operating results, net 61 - 120 (50 ) 131 Profit / (loss) from operations 53,995 2,614 (201 ) - 56,408 Share of profit of associates and joint ventures 1,005 (1,769 ) - - (764 ) Segment profit / (loss) 55,000 845 (201 ) - 55,644 Reportable assets 702,440 (4,180 ) - 105,407 803,667 Reportable liabilities (i) - - - (437,767 ) (437,767 ) Net reportable assets 702,440 (4,180 ) - (332,360 ) 365,900 06.30.2021 Total Joint ventures (1) Expenses and collective promotion funds Elimination of inter-segment transactions and non-reportable assets / liabilities (2) Total as per statement of income / statement of financial position Revenues 35,754 (179 ) 10,415 (110 ) 45,880 Costs (12,214 ) 247 (11,237 ) - (23,204 ) Gross profit / (loss) 23,540 68 (822 ) (110 ) 22,676 Net (loss) / gain from fair value adjustment of investment properties (27,040 ) (429 ) - - (27,469 ) General and administrative expenses (10,885 ) 48 - 170 (10,667 ) Selling expenses (5,338 ) 71 - - (5,267 ) Other operating results, net (551 ) (71 ) 378 (60 ) (304 ) (Loss) / profit from operations (20,274 ) (313 ) (444 ) - (21,031 ) Share of (loss) / profit of associates and joint ventures (14,102 ) (1,381 ) - - (15,483 ) Segment (loss) / profit (34,376 ) (1,694 ) (444 ) - (36,514 ) Reportable assets 724,290 (5,348 ) - 68,624 787,566 Reportable liabilities (i) - - - (495,128 ) (495,128 ) Net reportable assets 724,290 (5,348 ) - (426,504 ) 292,438 (1) Represents the equity value of joint ventures that were proportionately consolidated for information by segment purposes. (2) Includes deferred income tax assets, income tax and minimum presumed income tax credits, trade and other receivables, investment in financial assets, cash and cash equivalents and intangible assets except for rights to receive future units under barter agreements, net of investments in associates with negative equity which are included in provisions in the amount of ARS 1, ARS 17 and ARS 26, as of June 30, 2023, 2022 and 2021, respectively. (i) The CODM centers the review on reportable assets. Below is a summarized analysis of the lines of Group business for the fiscal years ended June 30, 2023, 2022 and 2021: 06.30.2023 Shopping Malls Offices Sales and developments Hotels Others (i) Total Revenues 47,438 4,584 4,382 14,964 935 72,303 Costs (3,213 ) (379 ) (1,333 ) (7,580 ) (746 ) (13,251 ) Gross profit 44,225 4,205 3,049 7,384 189 59,052 Net loss from fair value adjustment of investment properties (11,169 ) (4,546 ) (35,352 ) - (113 ) (51,180 ) General and administrative expenses (6,682 ) (745 ) (2,560 ) (3,275 ) (6,176 ) (19,438 ) Selling expenses (2,168 ) (103 ) (1,123 ) (1,028 ) (116 ) (4,538 ) Other operating results, net (585 ) (69 ) (884 ) (143 ) (5,603 ) (7,284 ) Profit / (loss) from operations 23,621 (1,258 ) (36,870 ) 2,938 (11,819 ) (23,388 ) Share of profit of associates and joint ventures - - - - 3,889 3,889 Segment profit / (loss) 23,621 (1,258 ) (36,870 ) 2,938 (7,930 ) (19,499 ) Investment properties and trading properties 186,816 120,482 279,821 - 804 587,923 Investment in associates and joint ventures - - - - 28,698 28,698 Other operating assets 662 107 7,359 8,783 1,470 18,381 Reportable assets 187,478 120,589 287,180 8,783 30,972 635,002 (i) Includes the result for the investment in GCDI and BHSA for ARS 137 and ARS 3,083 respectively, in the line “Share of profit of associates and joint ventures”. From all the revenues corresponding to the segments, ARS 69,765 originated in Argentina, and ARS 2,538 in other countries, principally in Uruguay for ARS 2,516 and USA for ARS 22. No external client represents 10% or more of revenue of any of the reportable segments. From all of the assets corresponding to the segments, ARS 631,211 are located in Argentina and ARS 3,791 in other countries, principally in the USA for ARS 528 and Uruguay for ARS 3,244. 06.30.2022 Shopping Malls Offices Sales and developments Hotels Others (i) Total Revenues 37,369 6,556 1,608 9,270 371 55,174 Costs (3,223 ) (632 ) (1,253 ) (5,295 ) (1,095 ) (11,498 ) Gross profit / (loss) 34,146 5,924 355 3,975 (724 ) 43,676 Net gain / (loss) from fair value adjustment of investment properties 1,192 (11,622 ) 36,877 - 129 26,576 General and administrative expenses (6,170 ) (735 ) (2,281 ) (1,574 ) (724 ) (11,484 ) Selling expenses (1,826 ) (168 ) (1,988 ) (733 ) (119 ) (4,834 ) Other operating results, net (306 ) (50 ) (103 ) (127 ) 647 61 Profit / (loss) from operations 27,036 (6,651 ) 32,860 1,541 (791 ) 53,995 Share of profit of associates and joint ventures - - - - 1,005 1,005 Segment profit / (loss) 27,036 (6,651 ) 32,860 1,541 214 55,000 Investment properties and trading properties 197,838 147,020 307,225 - 927 653,010 Investment in associates and joint ventures - - - - 24,960 24,960 Other operating assets 645 5,469 6,433 9,018 2,905 24,470 Reportable assets 198,483 152,489 313,658 9,018 28,792 702,440 (ii) Includes the result for the investment in GCDI and BHSA for ARS (1,537) and ARS 1,882 respectively, in the line “Share of profit of associates and joint ventures”. From all the revenues included in the segments ARS 55,143 originated in Argentina and ARS 31 originated in the USA. No external client represents 10% or more of revenue of any of the reportable segments. From all of the assets included in the segments, ARS 698,267 are located in Argentina and ARS 4,174 in other countries, principally in the USA for ARS 638 and Uruguay for ARS 3,514. 06.30.2021 Shopping Malls Offices Sales and developments Hotels Others (i) Total Revenues 18,814 9,488 2,740 3,256 1,456 35,754 Costs (3,079 ) (509 ) (2,973 ) (3,765 ) (1,888 ) (12,214 ) Gross profit / (loss) 15,735 8,979 (233 ) (509 ) (432 ) 23,540 Net (loss) / gain from fair value adjustment of investment properties (71,894 ) 19,592 25,131 - 131 (27,040 ) General and administrative expenses (5,062 ) (1,478 ) (2,510 ) (1,506 ) (329 ) (10,885 ) Selling expenses (1,594 ) (661 ) (2,468 ) (498 ) (117 ) (5,338 ) Other operating results, net (445 ) (18 ) (18 ) (42 ) (28 ) (551 ) (Loss) / profit from operations (63,260 ) 26,414 19,902 (2,555 ) (775 ) (20,274 ) Share of loss of associates and joint ventures - - (57 ) - (14,045 ) (14,102 ) Segment (loss) / profit (63,260 ) 26,414 19,845 (2,555 ) (14,820 ) (34,376 ) Investment properties and trading properties 192,018 256,568 220,787 - 911 670,284 Investment in associates and joint ventures - - - - 31,495 31,495 Other operating assets 941 3,963 7,052 9,202 1,353 22,511 Reportable assets 192,959 260,531 227,839 9,202 33,759 724,290 (iii) Includes the result for the investment in GCDI and BHSA for ARS (7,537) and ARS (2,673) respectively, in the line “Share of loss of associates and joint ventures”. From all the revenues corresponding included in the segments ARS 35,694 are originated in Argentina and ARS 60 are originated in the USA. No external client represents 10% or more of revenue of any of the reportable segments. From all of the assets included in the segments, ARS 708,964 are located in Argentina and ARS 15,328 in other countries, principally in the USA for ARS 12,271 and Uruguay for ARS 3,165. |
Information about the main subs
Information about the main subsidiaries | 12 Months Ended |
Jun. 30, 2023 | |
Information about the main subsidiaries | 7. Information about the main subsidiaries The Group conducts its business through several operating and holding subsidiaries. The Group considers that the subsidiaries below are the ones with significant non-controlling interests to the Group. Restrictions, commitments and other matters in respect of subsidiaries According to Law N° 19,550, 5% of the profit in each fiscal year must be separated to constitute a legal reserve until they reach legal capped amounts (20% of the nominal value of total capital). This legal reserve is not available for dividend distribution and can only be released to absorb losses. The Group has not reached the legal limit of this reserve. Dividends are paid across the Group’s subsidiaries based on their individual accounting statements. Arcos del Gourmet (“Arcos” or “AGSA”) 1. Lawsuits related to the concession granted by the Argentine government. In November 2008, the Arcos del Gourmet S.A. signed a contract with the Agencia de Administración de Bienes del Estado (State Assets Administration Office, or AABE in Spanish) for which the Company had been granted the concession to use the properties located in the jurisdiction of Estación Palermo, ex Línea San Martín - Palermo loading deck (on Juan B. Justo Avenue from Santa Fe Avenue to Paraguay Street) until December 31, 2025. Subsequently, in September 2011, a Contract for the Readjustment of this Concession was entered into with the Railway Infrastructure Administrator (ADIF in Spanish) (to which the rail assets were transferred in the jurisdiction of AABE), pursuant to the term of the Arcos concession agreement was extended until December 31, 2030. This new agreement provides for an automatic extension of 3 years and 4 months if the Company complies with the agreement, as determined by ADIF. Likewise, a new extension is established for an additional 3 years if the Company so declares and ADIF corroborates compliance with the obligations. This agreement established an initial monthly fee of ARS 0.2 million (plus VAT) until December 31, 2025, and ARS 0.25 million (plus VAT) as of January 1, 2026, these values being adjustable every 2 years until the end of the term of the concession. The Argentine government issued Executive Order 1723/2012, whereby several plots of land located in prior rail yards of Palermo, Liniers and Caballito were designated for development and urbanization projects. In this respect and as part of several measures related to other licensed persons and/or concessionaires, the Company was notified of Resolution 170/2014 which led to the revocation of the Arcos Concession agreement. In this context, it is important to note that the actions taken: (i) were not a result of any wrongdoing on Arcos behalf and; (ii) as of the date of issuance of these financial statements, these actions have not disrupted the ongoing commercial activities and operations of the shopping mall, which continues to function under normal conditions. 1.A. “ARCOS DEL GOURMET SA AND ANOTHER V. EN-AABE KNOWLEDGE PROCESS”: This process was initiated on June 18, 2015, by AGSA to raise the nullity of the revocation of the contract for the readjustment of the use and exploitation concession, established by Resolution No. 170/2014 by the Agencia de Administración de Bienes del Estado (State Assets Administration Office, or AABE in Spanish). Evidence was produced, and arguments were presented. On August 24, 2022, the Court rejected the lawsuit filed by Arcos del Gourmet SA, with costs. On August 26, 2022, Arcos del Gourmet S.A. appealed the final judgment issued in the case. The company's main grievance is the violation of its property rights due to the abrupt revocation, as well as the arbitrariness of it being arranged before there is a specific urban project to move forward. As of December 15, 2022, the file is pending judgment. Considering that ARCOS has not breached any obligations and based on the opinion of our external legal advisors, we believe there is a higher probability that the outcome will be favorable to AGSA's interests. 1.B. “PLAYAS FERROVIARIAS DE BUENOS AIRES SA V. ARCOS DEL GOURMET SA EVICTION LAW 17.091”: On June 14, 2018, Playas Ferroviarias de Buenos Aires S.A. initiated an eviction process against AGSA. On February 13, 2019, it was decided to accumulate the eviction process with the nullity action promoted by AGSA (referred to in the preceding 1.A). On May 11, 2022, the Court ruled to decree the immediate eviction of AGSA and/or occupants and/or intruders of the properties. At the same time, it ordered Playas Ferroviarias de Buenos Aires S.A. to make arrangements to ensure the continuity of the commercial activities of the sub-lessees and the employment sources they employ and, for at least 6 months, the values agreed upon with the current concessionaire must be maintained. The next day, AGSA appealed. Finally, on July 13, 2022, the Prosecutor published an opinion recommending the dismissal of the unconstitutionality raised by AGSA concerning Law 17.091. As of July 15, 2022, the file is pending judgment in Chamber V of the National Court of Appeals for Administrative Litigation. Based on the opinion of our external legal advisors, we believe there is a higher probability that the outcome will be favorable to AGSA's interests. 1.C. “ARCOS DEL GOURMET SA V. ADMINISTRACION DE INFRAESTRUCTURAS FERROVIARIAS SOC DEL ESTADO CONSIGNMENT LAWSUIT”: On April 8, 2015, AGSA initiated this lawsuit since AGSA was not allowed to pay the March 2015 canon corresponding to the Readjustment Contract of Use and Exploitation that Arcos agreed with ADIF. To date, all the canons that have been accrued to date have been judicially deposited - and those amounts invested in fixed-term deposits. On November 17, 2017, ADIF answered the lawsuit. The trial opened for evidence on 21/03/2019, which was produced, and arguments were presented in December 2022. The judgment has not yet been ordered, as it is awaiting the resolution of the lawsuit referred to in section 1.A above. Based on the opinion of our external legal advisors, although will be highly relevant the outcome in section 1.A., we believe there is a higher probability that the outcome will be favorable to AGSA's interests. 2 Lawsuits related to the Distrito Arcos project: 2.A. “FEDERACION DE COMERCIO E INDUSTRIA DE LA CIUDAD DE BUENOS AIRES (FECOBA) and others V. GCBA and others on protective petition”: Federación de Comercio e Industria de la Ciudad de Buenos Aires ( Federation of Commerce and Industry of the City of Buenos Aires, or FECOBA in Spanish) argued that the project under which the open-air commercial walk known as "DISTRITO ARCOS" was executed did not have the necessary environmental approvals and did not comply with zoning guidelines. It also requested a precautionary measure that was admitted and caused the opening to the public to be delayed until December 18, 2014, which is currently operating normally. In the main process, after the submission of various procedural resources, Chamber III of the Appeals Court issued a judgment on February 14, 2019, in the following sense: it condemned AGSA and GCBA, with AGSA having to allocate at least 23,319.41 square meters - equivalent to 65% of the total surface - for public use and benefit with unrestricted access and especially and preferably for the generation of new landscaped green spaces - located wholly or partially on the property subject to the lawsuit (Distrito Arcos) or neighboring lands. If the company cannot allocate the entire land fraction to the City of Buenos Aires, it will then have to pay, after conducting an expert opinion, the necessary sum of money so that the Administration can search for a property to comply with the purpose established during the concession contract's validity. If none of the mentioned alternatives were carried out by AGSA, the demolition of the necessary works on the property would be ordered to comply with the stipulations of the Urban Planning Code (art. 3.1.2). Later, within the framework of the complaint for denied unconstitutionality filed by AGSA against the mentioned sentence, the Superior Court of Justice ruled that the demolition of the works carried out on the property where the "Distrito Arcos" Shopping Center is currently located is not appropriate, as ordered by the Chamber, confirming the rest of the sentence. Our legal advisors are analyzing the procedural steps to follow. Based on the detailed mentions above and based on the opinion of our internal and external legal advisors, we conclude that no provision should be registered for these situations. Emprendimiento Recoleta S.A . As a result of a public auction, in February 1991, the City of Buenos Aires granted to ERSA a 20-year concession to use a plot of land in Centro Cultural Recoleta, which was set to expire in November 2013. Pursuant to Decree No. 867/10 dated November 25, 2010, a five-year extension was granted so the agreement expired on November 18, 2018. On April 12, 2018, ERSA was notified by the Federal National Criminal and Correctional Court No. 1, Secretariat No. 2 in the case entitled “Blaksley Enrique and others s / infraction art. 303” of the judicial intervention for a period of six months, ordering the appointment of collecting and informants overseers and decreeing their general inhibition of assets. On July 20, 2018 and subsequently, on August 10, 2018, ERSA received two new notifications from the same Court in which it was ordered: 1) to transfer to the Court's account 7.36% of the income received by the company for any concept and 2) designate as representatives of the minority of 46.316% in all shareholders' meetings, board meetings, the interveners. On January 8, 2019, the Federal National Criminal and Correctional Court No. 1 decreed the preventive seizure for the purpose of confiscation of 46.316% of all value obtained from the sale and / or liquidation of the assets of ERSA after deduction of taxes and any other expense. Although these measures were appealed in a timely manner, all of them are in force as of the date of these Consolidated Financial Statements. On November 16, 2018, the Ordinary and Extraordinary General Shareholders meeting resolved the early dissolution and the beginning of the liquidation process of ERSA, appointing Messrs. Gastón Armando Lernoud and Juan Manuel Quintana as liquidator. On December 5, 2018, the property was returned to the competent authorities, who from that date have control of the property, terminating the concession. Subsequently, during the Ordinary Shareholders’ Meeting on December 6, 2022, the resignation of Mr. Gastón Armando Lernoud was unanimously accepted. It should be noted that the end of ERSA’s concession has no significant impact on the Group’s Financial Statements. Panamerican Mall S.A. Below is the summarized financial information of subsidiaries with material non-controlling interests which are considered significant for the Group, presented before intercompany eliminations. Current Assets Non-current Assets Current Liabilities Non-current Liabilities Net assets % of ownership interest held by non-controlling interests Book value of non-controlling interests % of ownership interest held by controlling interests Book value of controlling interests 06.30.2023 2,164 112,945 1,463 28,015 85,631 20 % 17,126 80 % 68,505 06.30.2022 1,638 128,484 4,429 33,079 92,614 20 % 18,523 80 % 74,091 Revenues Comprehensive loss for the year Cash of Operating activities Cash of investing activities Cash of financial activities Net Increase / (decrease) in cash and cash equivalents Dividends distribution to non-controlling shareholders 06.30.2023 9,277 (6,100 ) 4,124 (874 ) (3,094 ) 156 177 06.30.2022 8,118 (2,434 ) 5,207 (630 ) (4,552 ) 25 - The non-controlling interests of the remaining subsidiaries summarize ARS 5,204 and ARS 4,920 as of June 30, 2023 and 2022, respectively. None of these subsidiaries has a non-controlling interest that individually is considered significant for the Group. |
Investments in associates and j
Investments in associates and joint ventures | 12 Months Ended |
Jun. 30, 2023 | |
Investments in associates and joint ventures | 8. Investments in associates and joint ventures Changes of the Group’s investments in associates and joint ventures for the fiscal years ended June 30, 2023 and 2022 were as follows: 06.30.2023 06.30.2022 Beginning of the year 34,765 42,978 Capital contributions (Note 30) 55 2,231 Share of profit / (loss) 2,622 (764 ) Currency translation adjustment (51 ) (1,020 ) Dividends (Note 30) (319 ) (7,731 ) Reclassification to financial instruments - (320 ) Others - (609 ) End of the year (i) 37,072 34,765 (i) Includes ARS (1) and ARS (17) reflecting interests in companies with negative equity as of June 30, 2023 and 2022, respectively, which are disclosed in “Provisions” (see Note 19). Below is a detail of the investments and the values of the stake held by the Group in associates and joint ventures for the years ended as of June 30, 2023 and 2022, as well as the Group's share of the comprehensive results of these companies for the years ended on June 30, 2023, 2022 and 2021: Name of the entity % ownership interest Value of Group's interest in equity Group's interest in comprehensive income / (loss) 06.30.2023 06.30.2022 06.30.2021 06.30.2023 06.30.2022 06.30.2023 06.30.2022 06.30.2021 Associates and joint ventures New Lipstick 49.96 % 49.96 % 49.96 % 243 308 (66 ) 149 (1,697 ) BHSA (1) 29.91 % 29.91 % 29.91 % 23,918 20,836 3,083 1,882 (2,673 ) Condor (2) - 21.70 % 18.89 % - - 76 916 (1,464 ) Quality (3) 50.00 % 50.00 % 50.00 % 6,987 8,316 (1,387 ) (2,119 ) (916 ) La Rural SA 50.00 % 50.00 % 50.00 % 1,214 524 705 (91 ) (476 ) GCDI (former TGLT S.A.) 27.82 % 27.82 % 27.82 % 1,915 1,753 162 (1,559 ) (7,625 ) Other joint ventures N/A N/A N/A 2,795 3,028 (2 ) (962 ) (8,531 ) Total associates and joint ventures 37,072 34,765 2,571 (1,784 ) (23,382 ) Name of the entity Place of business / Country of incorporation Main activity Latest financial statements issued Common shares 1 vote Share capital (nominal value) Profit / (loss) for the year Shareholders’ equity Associates and joint ventures New Lipstick USA Real estate 23,631,037 (*) 47 (*) (2) (*) (44) BHSA (1) Argentina Financial 448,689,072 (**) 1,500 (**) 10,306 (**) 77,676 Quality (3) Argentina Real estate 1,421,672,293 2,843 (2,768 ) 13,645 La Rural SA Argentina Organization of events 714,998 1 719 1,896 GCDI (former TGLT S.A.) Argentina Real estate 257,330,595 925 (2,008 ) 6,885 (1) BHSA is a commercial bank of comprehensive services that offers a variety of banking and financial services for individuals, small and medium businesses and large companies. The market price of the share is 34.95 pesos per share. The effect of the treasury shares in the BHSA portfolio is considered for the calculation. (2) See Note 4.B to the Consolidated Financial Statements as of June 30, 2022. (3) Quality is dedicated to the exploitation of the San Martín property (former property of Nobleza Piccardo S.A.I.C. and F.). (*) Amounts in millions of US Dollars under US GAAP. (**) Information as of June 30, 2023 according to IFRS GCDI (former TGLT S.A.): During the fiscal year ended at June 30, 2020, GCDI (former TGLT S.A.) and the Company entered into a recapitalization agreement, based on which IRSA increased its holding in GCDI (former TGLT S.A.) reason why it began to be considered an associate company. During the fiscal year ended at June 30, 2021, GCDI (former TGLT S.A.) yielded significant losses and its business was affected by different factors related to the context in which it finds itself. Therefore, the Company decided to re-evaluate the recoverability of this asset. For this reason and considering that the facts are public and have been openly communicated to the market, a test is carried out comparing the market value and the book value, valuing the investment considering the lower amount between the two of them. As of June 30, 2023, there were no changes in the situation described in the preceding paragraphs. La Rural S.A. As publicly known, in December 2012 the National Executive Branch issued Executive Order 2552/12 that annulled an executive order dated 1991 which had approved the sale of the Palermo Fairgrounds (the Fairgrounds) to the Sociedad Rural Argentina (SRA); the effect of this new order was to revoke the sale transaction. Subsequently, on March 21, 2012, the National Executive Branch notified the SRA of said executive order and further ordered that the property be returned to the Argentine government within 30 subsequent days. Then, the SRA issued a press release publicly disclosing the initiation of legal actions and the obtaining of a precautionary measure for which Decree 2552/12 was suspended. The injunction requested was granted on January 4, 2013, by the National Chamber of Appeals in Civil and Commercial Federal Matters (CNACCF). After several appeals, motions, and various procedural steps, the injunction stands firm and in effect. On August 21, 2013, the Supreme Court of Justice rejected the appeal filed by the Argentine government against the interim measure timely requested by the SRA. Neither has IRSA been served notice formally nor is it a party involved in the legal actions brought by the SRA. Given the potential dimension of the dispute, as it has been known to the public, we estimate that if Executive Order 2552/12 was found to be unconstitutional, such order shall have no legal effects either in Entertainment Holdings S.A. (EHSA) or in the acquisition by IRSA of an equity interest in EHSA. However, should the opposite happen, that is, a court order declaring the Executive Order 2699/91, this could have a real impact on acquired assets. In this scenario, the judicial decision may render the purchase of the Plot of Land by SRA null and void, and all acts executed by SRA in relation to the Plot of Land, including the right of use currently held by the entity where EHSA has an indirect equity interest, through vehicle entities, would also become null and void. On March 11, 2016 La Rural S.A. was summoned as a third party in the case referred to above, and filed an answer to such summons on April 6, 2016. On April 21, 2016 the National Government presented itself, requested the annotation of litis By order of April 29, 2016, the National Government was presented, opposed to the exception raised, the claim in subsidy was contested and the action of injuriousness filed, and it ordered the transfer of the different Government proposals to the SRA. On the same occasion, the precautionary measure for the annotation of the requested litigation was admitted under the responsibility of the National Government regarding the individualized properties in the process. On June 19, 2017, the transfer of the exception of incompetence raised by the National Government was substantiated, which was answered by La Rural S.A. in June 2017. On the same occasion, SRA accused expiry of that previous exception in the terms of article 310 CPCCN, which was resolved by order of July 14, 2017. On that occasion it was resolved to sustain the expiration filed by Sociedad Rural Argentina regarding the incident of exception of incompetence filed by the National Government. Therefore, the process was settled in the Civil and Commercial Federal jurisdiction. On October 5, 2017, the Federal Oral Criminal Court No. 2 requested the referral of the proceedings in the context of the case: "Menem, Carlos Saúl and other s / inf. Art. 261, first paragraph of the CP ". For presentations of December 2017 and March 2018, SRA requested the Oral Court to return the proceedings in order to continue with the process. On March 27, 2018, the Court decided to convict various Administration officials, including former President Carlos S. Menem and former Minister Domingo F. Cavallo, as necessary participants in the crime of peculation. Additionally, it resolved to acquit the authorities of the imputed Argentine Rural Society and it was decided to reject the request for restitution of the property requested by the AABE, leaving the decision on that matter in the hands of the Federal Civil and Commercial Court involved. The basics of the decision were published on May 28, 2018. On February 27, 2020, the proceedings were considered returned to the Federal Civil and Commercial Court and the parties were ordered to notify their return. On August 19, 2021, the Civil and Commercial Court decided to defer the treatment of the prescription exception opposed by Sociedad Rural with respect to the counterclaim of the government for the moment of sentencing, and also decided to reject the examination request of the paragraphs by the government. Against this last resolution, the government filed an appeal, which was admitted by resolution of September 8, 2021. Finally, on February 2, 2022, the Chamber of Appeals upheld the proposal of the government and ordered that the considerations expressed by the SRA in Chapter 8 of the presentation of the response to the action of harmfulness be omitted, considering that such response was not admitted by the procedural system. On March 7, 2022, the case was returned to the court of origin. On May 11, 2022, the trial was opened. On December 2, 2022, the National Government requested, among other matters, a preliminary resolution on the claim of unconstitutionality of decree 2552/12. On December 20, 2022, SRA opposed this request. Before addressing this issue, the Court requested the formation of the evidence notebooks from the parties. On April 17, 2023, the evidence notebooks were completed. On May 23, 2023, SRA insisted that the proceedings be moved forward to address the National Government’s claims, aiming to preliminarily address the request for a declaration of unconstitutionality of Decree 2552/12; and timely, the mutual objections raised by the parties to the production of the offered evidence measures. Since then, the proceedings are pending resolution. As of the date of these Consolidated Financial Statements, there are no elements or evidence to suggest that the Society should return the property exploited by La Rural S.A., so it continues its activities normally. However, this estimate could change based on the progress of the legal process, so the Society will monitor its development. Given the details, the analysis to be carried out must consider these circumstances of uncertainty. Set out below is summarized financial information of the associates and joint ventures considered to be material to the Group: Current Assets Non-current Assets Current Liabilities Non-current Liabilities Net assets % of ownership interest held Interest in associate and joint venture Goodwill and others Book value 06.30.2023 Associates BHSA 520,170 139,246 572,821 6,593 80,002 29.91 % 23,929 (11 ) 23,918 GCDI 14,898 26,748 17,971 16,790 6,885 27.82 % 1,915 - 1,915 Joint ventures Quality Invest (ii) 50 20,975 146 7,234 13,645 50.00 % 6,823 164 6,987 06.30.2022 Associates BHSA 520,704 172,333 604,692 19,318 69,027 29.91 % 20,646 190 20,836 GCDI 16,192 26,670 17,626 16,550 8,686 27.82 % 2,417 (664 ) 1,753 Joint ventures Quality Invest (ii) 131 24,771 152 8,448 16,302 50.00 % 8,151 165 8,316 Revenues Net income / (loss) Total comprehensive income / (loss) Dividend distribution Cash of operating activities Cash of investing activities Cash of financing activities Changes in cash and cash equivalents 06.30.2023 (i) Associates BHSA 168,559 10,306 10,306 - 8,077 (1,104 ) 8,051 15,024 GCDI 13,420 266 501 - (563 ) 501 64 2 Joint ventures Quality Invest (ii) 124 (2,768 ) (2,768 ) - (325 ) 48 234 (43 ) 06.30.2022 (i) Associates BHSA 116,506 6,295 6,295 - 71,590 (517 ) (52,997 ) 18,076 GCDI 9,050 (4,590 ) (4,503 ) - (2,850 ) 9,074 (5,454 ) 770 Joint ventures Quality Invest (ii) 445 (4,236 ) (4,236 ) - (90 ) (71 ) 206 45 (i) Information under GAAP applicable in the associate and joint ventures´ jurisdiction. (ii) In March 2011, Quality acquired an industrial plant located in San Martín, Province of Buenos Aires. The facilities are suitable for multiple uses. On January 20, 2015, Quality agreed with the Municipality of San Martin on certain re zoning and other urban planning matters (“the Agreement”) to surrender a non-significant portion of the land and a monetary consideration of ARS 40 million, payable in two installments of ARS 20 each, the first of which was actually paid on June 30, 2015. In July 2017, the Agreement was amended as follows: 1) a revised zoning plan must be submitted within 120 days as from the amendment date, and 2) the second installment of the monetary considerations was increased to ARS 76 million payables in 18 equal monthly installments. On March 8, 2018, it was agreed with the well-known Gehl Study (Denmark) - Urban Quality Consultant - the elaboration of a Master Plan, generating a modern concept of New Urban District of Mixed Uses. On July 20, 2020 we were notified of the granting of the Hydraulic Aptitude in pre-feasibility instance. On August 5, 2021, they were signed between Quality Invest S.A. and the Municipality of San Martín the following documents: 1) CLUB PERETZ CLUB AGREEMENT ACT CLOSING: It is agreed that within 48 hours of signing the same Quality will pay the certificates owed for the work in question already completed, releasing both parties from any claim regarding the Minutes signed on January 20, 2015 The amount owed (already checked and agreed between the parties) is ARS 19 million. and the execution of the works are described, detailed and carried out. As of June 30, 2022, the amount owed and the works are completed and paid, as well as the closing act signed. 2) COMPLEMENTARY AGREEMENT WITH THE MUNICIPALITY OF SAN MARTIN: In this agreement the completion of the Rodriguez Peña expansion work and the relocation and start-up of the EDENOR substation are agreed, according to the plan and specifications drawn up by TIS and that they are part of its annexes. In return, the certifications owed will be paid as follows: The total is for ARS 26 million: ARS 15 million- are paid 48 hours after signing this document and the balance (without any adjustment clause) at the time of the provisional reception of the work, where the definitive reception and Delivery Certificate will be signed. As of June 30, 2023, the aforementioned amount of ARS 11 million had not yet been paid (awaiting the administrative act by the Municipality to proceed), and at the same time, we are making the corresponding submissions to Hidráulica and the ADA (PBA) to complete the registration of the road and infrastructure project for the macro-blocks. BHSA BHSA is subject to certain restrictions on the distribution of profits, as required by BCRA regulations. The Annual Shareholders' Meeting decided to allocate 35.1 million of Class D shares of a par value of ARS 1, to an employee compensation plan pursuant to Section 67 of Law 26,831. As of June 30, 2023, BHSA has a remnant of 25.2 million of such treasury shares. As of June 30, 2023, considering the effect of such treasury shares, the Group’s interest in BHSA amounts to 29.91%. The Group estimated that the value in use of its investment in BHSA as of June 30, 2023 and 2022 amounted to ARS 25,676, ARS 20,868, respectively. The value in use was estimated based on the present value of future business cash flows. The main assumptions used were the following: - The Group considered 9 years as the horizon for the projection of BHSA cash flows, including perpetual value. - The “Private BADLAR” interest rate was projected based on internal data and information gathered from external advisors. - The projected inflation and exchange rate was estimated in accordance with internal data and external information provided by independent consultants. - The discount rate used to discount actual dividend flows was 18.51% in 2023 and 15.64% in 2022. - The sensitivity to a 1% increase in the discount rate would be a reduction in the value in use of ARS 1,741 for 2023 and of ARS 1,638 for 2022. The estimated value in use exceeds the book value of the investment, because of that, no adjustment was necessary on the recorded value of the investment. Puerto Retiro (joint venture) At present, this 8.3-hectare plot of land is affected by a zoning regulation defined as U.P. which prevents the property from being used for any purposes other than strictly port activities. Puerto Retiro was involved in a judicial bankruptcy action brought by the National Government. The current Board of Directors would not be held personally liable with regard to this action. Management and legal counsel of the Company believe that there are sufficient legal and technical arguments to consider that the petition for extension of the bankruptcy case will be dismissed by the court. However, in view of the current status of the action, its result cannot be predicted. Moreover, Tandanor filed a civil action against Puerto Retiro S.A. and the other defendants in the criminal case for violation of Section 174 (5) based on Section 173 (7) of the Criminal Code of Argentina. Such action seeks -on the basis of the nullity of the decree that approved the bidding process involving the Dársena Norte property- the restitution of the property and a reimbursement in favor of Tandanor for all such amounts it has allegedly lost as a result of a suspected fraudulent transaction involving the sale of the property. Puerto Retiro has presented the allegation on the merit of the evidence, highlighting that the current shareholders of Puerto Retiro did not participate in any of the suspected acts in the criminal case since they acquired the shares for consideration and in good faith several years after the facts told in the process. Likewise, it was emphasized that the company Puerto Retiro is foreign to the bidding / privatization carried out for the sale of Tandanor shares. On September 7, 2018, the Oral Federal Criminal Court No. 5 rendered a decision. According to the sentence read by the president of the Court, Puerto Retiro won the preliminary objection of limitation filed in the civil action. However, in the criminal case, where Puerto Retiro is not a party, it was ordered, among other issues, the confiscation (“decomiso”) of the property owned by Puerto Retiro known as Planta I. The grounds of the Court’s judgment were read on November 11, 2018. From that moment, all the parties were able to present the appeals. Given this fact, an extraordinary appeal was filed, which was rejected, and as a result, a complaint was filed for a rejected appeal, which was granted. Consequently, the appeal is under study in the Argentine Supreme Court of Justice. In the criminal action, the claimant reported the violation by Puerto Retiro of the injunction ordered by the criminal court consisting in an order to stay (“prohibición de innovar”) and not to contract with respect to the property disputed in the civil action. As a result of this complaint, the Federal Oral Court No. 5 formed an incident and ordered and executed the closure of the property where the lease agreements with Los Cipreses S.A. y Flight Express S.A. were being executed, in order to enforce compliance with the measure before mentioned. As a result of this circumstance, it was learned that the proceedings were turned over to the Criminal Chamber for the allocation of the court to investigate the possible commission of a crime of disobedience. As of the date of issuance of these Consolidated Financial Statements there has been no news about the progress of this cause. Faced with the evolution of the legal cases that affect it and based on the reports of its legal advisors, Puerto Retiro Management has decided to register in fiscal year 2019 an allowance equivalent to 100% of the book value of its investment property, without prejudice to reverse it when a favorable ruling is obtained in the interposed actions. |
Investment properties
Investment properties | 12 Months Ended |
Jun. 30, 2023 | |
Investment properties | |
Investment properties | 9. Investment properties Changes in the Group’s investment properties according to the fair value hierarchy for the years ended June 30, 2023 and 2022 were as follows: 06.30.2023 06.30.2022 Level 2 Level 3 Level 2 Level 3 Fair value at the beginning of the year 449,610 182,674 330,860 316,608 Additions 3,317 2,711 15,875 4,424 Capitalized leasing costs 14 51 50 41 Amortization of capitalized leasing costs (i) (18 ) (17 ) (78 ) (19 ) Transfers 2,671 882 134,414 (136,475 ) Disposals (22,722 ) - (62,768 ) - Currency translation adjustment (18 ) - (75 ) - Net (loss) / gain from fair value adjustment (39,749 ) (9,396 ) 31,332 (1,905 ) Fair value at the end of the year 393,105 176,905 449,610 182,674 (i) As of June 30, 2023 and 2022, amortization charges of capitalized leasing costs were recognized in "Costs" in the Consolidated Statement of Income and Other Comprehensive Income (Note 24). The following is the balance by type of investment property of the Group as of June 30, 2023 and 2022: 06.30.2023 06.30.2022 Shopping Malls (i) 185,564 194,328 Offices and other rental properties 132,460 160,258 Undeveloped parcels of land 251,387 275,848 Properties under development 78 1,222 Others 521 628 Total 570,010 632,284 (i) Includes parking spaces. Certain investment property assets of the Group have been mortgaged or restricted to secure some of the Group’s trade and other payables. The net book value of those properties as of June 30, 2023 and 2022 is as follows: 06.30.2023 06.30.2022 Córdoba Shopping (i) 5,048 4,775 Total 5,048 4,775 (i) A portion of the Córdoba Shopping mall property is encumbered with an antichresis right as collateral for an advance rent received from NAI International II Inc. amounting to ARS 545 million and ARS 586 million, as of June 30, 2023 and 2022, respectively, (included in “Trade and other payables” in the Consolidated Statement of Financial Position). The following amounts have been recognized in the Consolidated Statement of Income and Other Comprehensive Income: 06.30.2023 06.30.2022 06.30.2020 Revenues (Note 23) 70,517 58,814 39,005 Direct operating costs (22,176 ) (19,814 ) (15,660 ) Development costs (262 ) (400 ) (403 ) Net realized gain from fair value adjustment of investment properties (i) 12,106 30,138 38,255 Net unrealized loss from fair value adjustment of investment properties (ii) (61,251 ) (711 ) (65,724 ) (i) As of June 30, 2023, ARS 421 corresponds to the result for changes in the fair value realized for the year ((ARS 83) from the sale of parking spaces in Libertador 498 building, ARS 504 from the sale of Catalinas building) and ARS 11,685 from the result of changes in the fair value made in previous years (ARS 185 from the sale of parking spaces in Libertador 498 building, ARS 11,500 from the sale of Catalinas building’s floors). As of June 30, 2022, (ARS 20,508) corresponds to the result for changes in the fair value realized for the year ((ARS 222) from the sale of Casona Hudson, (ARS 47) from the sale of Merlo land, (ARS 54) from the sale of Mariano Acosta land, (ARS 224) from the sale of parking spaces in Libertador 498 building, (ARS 5,892) from the sale of Catalinas building and (ARS 14,069) from the sale of República building) and ARS 50,646 from the result of changes in the fair value made in previous years (ARS 261 from the Casona Hudson sale, ARS 226 from the Merlo land sale, ARS 216 from the Mariano Acosta land sale, ARS 468 from the sale of parking spaces in Libertador 498 building, ARS 17,151 from the sale of Catalinas building’s floors and ARS 32,324 from the sale of República Building). As of June 30, 2021, (ARS 5,501) corresponds to the result for changes in the fair value realized for the year ((ARS 3,785) from the sale of Torre Boston, (ARS 1,662) from the sale of Bouchard 710 and (ARS 54) for the sale of parking spaces in Bouchard 557) and ARS 43,756 from the result of changes in the fair value made in previous years (ARS 22,995 from the Boston Tower sale and ARS 20,640 from the Bouchard 710 and ARS 121 from the Bouchard 557 sale). (ii) It includes the result from changes in the fair value of those investment properties that are in the portfolio and have not yet been sold. This was generated in accordance with what is described in the section named "valuation techniques". See note 5 (liquidity schedule) for details of contractual commitments related to investment properties. Valuation processes The Group’s investment properties were valued at each reporting date by independent professionally qualified appraisers who hold a recognized relevant professional qualification and have experience in the locations and segments of the investment properties appraised. For all investment properties, their current use equates to the highest and best use. The Group has a team which reviews the appraisals performed by the independent appraisers (the “review team”). The review team: i) verifies all major and important assumptions relevant to the appraisal in the valuation report from the independent appraisers; ii) assesses property valuation movements compared to the valuation report from the prior period; and iii) holds discussions with the independent appraisers. Changes in Level 2 and 3 fair values, if any, are analyzed at each reporting date during the valuation discussions between the review team and the independent appraisers. The Board of Directors ultimately approves the fair value calculation for recording into the Financial Statements. During the annual investment property valuation process carried out in previous years, the following circumstances were identified, among other aspects: i) entry into force of the modifications in the urban planning code of the Autonomous City of Buenos Aires (CABA) with the new urban code law sanctioned in November 2020 and which entered into force in February 2021 modifying approximately one third of the current code, ii) new construction potential, iii) consolidation of new paradigms of the sector imposed by the pandemic, the general economic situation and the situation of the real estate sector that make technical, legal or economically viable buildable potentials or surpluses for alternative uses of the entire portfolio of properties. In this sense, the shopping malls were the most affected by the aforementioned circumstances, taking into account the size of their plots and their unique and strategic locations, considering an alternative potential realization market. The impact of the pandemic and the long-term closure of shopping malls led to a reconsideration of the possibility of mixed uses in the buildable potentials of such shopping malls, seeking a new centrality and enhancing the attractiveness in replacement of anchor stores. On the other hand, the analysis of opening towards its surroundings and the generation of open spaces produced a new distribution of the value of the existing square meters, producing a change of focus on how to maximize said surplus square meters. This led to reevaluate the analysis of the value of surplus square meters that were potentially marketable, (being that historically they were the most profitable), to reconvert them to other complementary uses. The buildable potentials analyzed have unique, irreplaceable locations, with high potentials, feasible realization and very attractive from an economic point of view. As a data, the value of construction during 2020 improved the relationship of the construction cost and its future sale speculation of square meters. The identified buildable potentials are included in the value of the investment property based on the methodology established for other Level 2 properties: 1. Patio Bullrich, CABA 2. Alto Palermo, CABA 3. Córdoba Shopping, Córdoba 4. Alto Rosario, Rosario, Santa Fe. 5. Beruti 3345/47, CABA. Valuation techniques used for the estimation of fair value of the investment property The Group has defined valuation techniques according to the characteristics of each property and the type of market in which these assets are located, in order to maximize the use of observable information available for the determination of fair value. For the Shopping Malls operated by the Group there is no liquid market for the sale of properties with these characteristics that can be taken as a reference of value. Likewise, the Shopping Malls, a business whose revenue is denominated in Argentine Pesos, are highly related to the fluctuation of macroeconomic variables in Argentina, the purchasing power of individuals, the economic cycle of Gross Domestic Product (GDP) growth, the evolution of inflation, among others. Consequently, the methodology adopted by the Group for the valuation of Shopping Malls is the discounted cash flow model (“DCF”), which allows the volatility of the Argentine economy to be taken into account and its correlation with the revenue streams of the Malls and the inherent risk of the Argentine macroeconomy. The DCF methodology contemplates the use of certain unobservable valuation assumptions, which are determined reliably based on the information and internal sources available at the date of each measurement. These assumptions mainly include the following: · Future projected income flow based on the current locations, type and quality of the properties, supported by the rental contracts that the Company has signed with its tenants. Because the Company's income arises from the higher value between a Minimum Insured Fixed Value (“VMA”) and a percentage of the sales of the tenants in each Shopping Mall, estimates of the evolution of GDP and Inflation of the Argentine economy provided by external consultants to estimate the evolution of tenant sales, which present a high correlation with these macroeconomic variables. Said macroeconomic projections were contrasted with the projections prepared by the International Monetary Fund (“IMF”), the Organization for Economic Cooperation and Development (“OECD”) and with the Market Expectations Survey (“REM”), which consists of a survey prepared by the Central Bank of the Argentine Republic (“BCRA”) aimed at local and foreign specialized analysts in order to allow a systematic monitoring of the main macroeconomic forecasts in the short and medium term on the evolution of the Argentine economy. · The income from all Shopping Malls was considered to grow with the same elasticity in relation to the evolution of the GDP and the projected inflation. The specific characteristics and risks of each Shopping Mall are captured through the use of the historical average EBITDA Margin of each of them. · Cash flows from future investments, expansions or improvements in Shopping Mall were not contemplated. · Terminal value: a perpetuity calculated from the cash flow of the last year of useful life was considered. · The cash flow for concessions was projected until the termination date of the concession stipulated in the current contract. · Given the prevailing inflationary context and the volatility of certain macroeconomic variables, a reference long term interest rate in Argentine Pesos is not available to discount the projected cash flows from shopping malls. Consequently, the projected cash flows were dollarized through the future ARS / US$ exchange rate curve provided by an external consultant, which are contrasted to assess their reasonableness with those of the IMF, OECD, REM and the On-shore Exchange Rate Futures Market (ROFEX). Finally, dollarized cash flows were discounted with a long-term dollar rate, the weighted average capital cost rate (“WACC”), for each valuation date. · The estimation of the WACC discount rate was determined according to the following components: a) United State Governments Bonds risk-free rate; b) Industry beta, considering comparable companies from the United States, Brazil, Chile and Mexico, in order to contemplate the Market Risk on the risk-free rate; c) Argentine country risk considering the EMBI + Index; and d) Cost of debt and capital structure, considering that information available from the Argentine corporate market (“blue chips”) was determined as a reference, since sovereign bonds have a history of defaults. Consequently, and because IRSA, based on its representativeness and market share represents the most important entity in the sector, we have taken its indicators to determine the discount rate. Due to the debt restructuring carried out during the last fiscal year, which affected the composition of the group's capital structure, the use of two different discount rates was introduced in the valuation of our shopping malls: one for the flows discount and another for perpetuity. Unlike the previous closing where a single discount rate was used. Here is the difference between the two: · Discounted cash flow rate: considers the capital structure resulting from the debt restructuring. · Discount perpetuity rate: considers a market capital structure, based on comparable companies. The introduction of the normalized rate in perpetuity is due to the fact that we consider that the relationship between debt and capital would tend to normalize in the long term. For offices, other rental properties, plot of lands and buildable potentials the valuation was determined using transactions of comparable market assets, since the market for offices and land banks in Argentina is liquid and has market transactions that can be taken as reference. These values are adjusted to reflect differences in key attributes such as location, property size and quality of interior fittings (incidence adjustments). The most significant input to the comparable market approach is the price per square meter that derives from the supply and demand in force in the market at each valuation date. Since September 2019, the real estate market has faced certain changes in terms of its operation as a consequence of the implementation of regulations applicable to the foreign exchange market. In general terms, the measure adopted on September 1, 2019 by the BCRA sets forth that exporters of goods and services should settle foreign currency from abroad in the local exchange market 5 days after the collection of such funds, at the latest. Furthermore, it provides that legal entities residing in Argentina may buy foreign currency without restrictions for imports or payments of debts on the maturity date thereof, although they shall apply for the BCRA´s prior authorization for the purposes of: buying foreign currency in order to form external assets, prepaying debts, making remittances of profits and dividends abroad or transferring funds abroad. Likewise, pursuant to such regulations, access to the market by natural persons for the purchase of dollars was restricted. Afterwards, the BCRA implemented stricter measures, further limiting access to the foreign exchange market (see Note 35). From the previous year, it is observed that the purchase and sales transactions for office buildings may be settled in Argentine Pesos (by using an implicit foreign exchange rate higher than the official one) or in dollars. Consequently, the most probable scenario is that any sale of office buildings/reserves be settled in Argentine Pesos at an implicit foreign exchange rate higher than the official one. This is evidenced by the transactions consummated by the Group prior to and after the closing of these Consolidated Financial Statements. Therefore, the Group has valued its office buildings, land reserves and buildable potentials in Argentine Pesos at the end of the year considering the situation described above, considering an implicit exchange rate higher than the official one. In certain situations, it is complex to determine reliably the fair value of developing properties. In order to assess whether the fair value of a developing property can be determined reliably, management considers the following factors, among others: · The provisions of the construction contract. · The stage of completion. · Whether the project / property is standard (typical for the market) or non-standard. · The level of reliability of cash inflows after completion. · The specific development risk of the property. · Previous experience with similar constructions. · Status of construction permits. There were no changes in the valuation techniques during the year. The following table presents information regarding the fair value measurements of investment properties using significant unobservable inputs (Level 3): 06.30.23 (i) 06.30.22 (i) 06.30.21 (i) Description Valuation technique Parameters Range fiscal year 2023 / 2022 / 2021 Increase Decrease Increase Decrease Increase Decrease Shopping Malls (Level 3) Discounted cash flows Discount cash flows rate 15.25% / 14.53% / 13.53% (3,757 ) 4,024 (4,667 ) 5,019 (4,787 ) 5,172 Discount perpetually rate 14.20% / 14.53% / 13.53% (8,848 ) 10,891 (7,974 ) 9,835 (8,788 ) 11,051 Growth rate 2.4% / 2.4% / 2.4% 6,710 (5,662 ) 5,683 (4,816 ) 6,217 (5,204 ) Inflation (*) 24,052 (21,969 ) 22,670 (18,764 ) 28,886 (23,826 ) Devaluation (*) (16,082 ) 17,690 (16,725 ) 20,441 (15,403 ) 18,824 (*) Fiscal year 2023: For the next 5 years, an average ARS / USD exchange rate with an upward trend was considered, starting at ARS 479.4 (corresponding to the year ended June 30, 2024) and arriving at ARS 2,118.20 in 2029. In the long term, a nominal devaluation rate of 5.57% calculated based on the quotient between inflation in Argentina and the United States is assumed. The considered inflation shows a downward trend, which starts at 144.3% (corresponding to the year ended June 30, 2024) and stabilizes at 8.0% after 5 years.Fiscal year 2022: For the next 5 years, an average ARS / USD exchange rate with an upward trend was considered, starting at ARS 163.65 (corresponding to the year ended June 30, 2023) and arriving at ARS 622.06 in 2028. In the long term, a nominal devaluation rate of 5.57% calculated based on the quotient between inflation in Argentina and the United States is assumed. The considered inflation shows a downward trend, which starts at 70.9% (corresponding to the year ended June 30, 2022) and stabilizes at 8.0% after 5 years. Fiscal year 2021: For the next 5 years, an average ARS / USD exchange rate with an upward trend was considered, starting at ARS 116.94 (corresponding to the year ended June 30, 2022) and arriving at ARS 376.56 in 2027. In the long term, a nominal devaluation rate of 27.5% calculated based on the quotient between inflation in Argentina and the United States is assumed. The considered inflation shows a downward trend, which starts at 44.1% (corresponding to the year ended June 30, 2022) and stabilizes at 30.0% after 5 years. (i) Considering an increase or decrease of: 100 points for the discount and growth rate in Argentina, 10% for the incidence and inflation and 10% for the devaluation. Costa Urbana –former Solares de Santa María– Costanera Sur, Buenos Aires City (IRSA) On December 21, 2021, it was published the law from Buenos Aires City congress approving the Regulations for the development of the property of approximately 70 hectares, owned by the Company since 1997, previously known as “Solares de Santa María”, located in front of the Río de la Plata in the South Coast of the Autonomous City of Buenos Aires, southeast of Puerto Madero. The published law grants a New Standard, designated: “U73 - Public Park and Costa Urbana Urbanization”, which enables the combination of diverse uses such as homes, offices, retail, services, public spaces, education, and entertainment. The Company will have a construction capacity of approximately 866,806 square meters, which will drive growth for the coming years through the development of mixed-use projects. IRSA agreed to give in 50.8 hectares for public use, which represents approximately 71% of the total area of the property to the development of public green spaces and will contribute with three additional lots of the property, two for the Sustainable Urban Development Fund (FODUS) and one for the Innovation Trust, Science and Technology of the Government of the Autonomous City of Buenos Aires, and the sum of USD 2 million in cash and the amount of 3,000,000 sovereign bonds (AL35) which have already been paid. In March 2023, Mensura was approved with a proposal for subdivision, fractioning, transfer of streets and public space and we are in the process of deeding the 3 plots and the public park sector that is transferred for consideration. Likewise, IRSA will be in charge of the infrastructure and road works on the property and will carry out the public space works contributing up to USD 40 million together with the maintenance of the public spaces assigned for 10 years or until the sum of USD 10 million is completed. On October 29, 2021, a notification was received in relation to a collective protective petition in relation to the property, in which it was stated that there were annulments that affected the approval process of the Urban Development Agreement (CU). Subsequently, the lawsuit was extended, also challenging issues proposed in the CU. IRSA proceeded to answer the claim on November 12, 2021 requesting the rejection and on March 10, 2022 the court handed down a judgment partially allowing the collective petition, which was appealed by IRSA and the GCBA. On March 6, 2023, the Chamber for Administrative, Tax and Consumer Relations Litigation - Room IV resolved to revoke the first instance ruling, and consequently reject the lawsuit. Given that said judgment was not appealed, the case has concluded and to date, IRSA does not have any judicial process in progress related to the Costa Urbana project. “Costa Urbana” will change the landscape of Buenos Aires City, giving life to an undeveloped area and will be in an exceptional property due to its size, location and connectivity, providing the City the possibility of expanding and recovering access to the Río de la Plata coast with areas for walks, recreation, green spaces, public parks and mixed uses. |
Property, Plant and Equipment
Property, Plant and Equipment | 12 Months Ended |
Jun. 30, 2023 | |
Property, Plant and Equipment | |
Property, plant and equipment | 10. Property, plant and equipment Changes in the Group’s property, plant and equipment for the years ended June 30, 2023 and 2022 were as follows: Buildings and facilities Machinery and equipment Others (i) Total Net book amount at the June 30, 2021 13,493 599 565 14,657 Costs 25,014 8,884 2,046 35,944 Accumulated depreciation (11,521 ) (8,285 ) (1,481 ) (21,287 ) Balances at June 30, 2021 13,493 599 565 14,657 Additions 608 110 4 722 Disposals (4 ) (2 ) - (6 ) Currency translation adjustment - - (6 ) (6 ) Transfers 3,216 41 - 3,257 Depreciation charges (ii) (1,076 ) (239 ) (84 ) (1,399 ) Net book amount at the June 30, 2022 16,237 509 479 17,225 Costs 28,833 9,033 2,044 39,910 Accumulated depreciation (12,596 ) (8,524 ) (1,565 ) (22,685 ) Balances at June 30, 2022 16,237 509 479 17,225 Additions 490 231 72 793 Disposals (3,382 ) - (2 ) (3,384 ) Currency translation adjustment - - (3 ) (3 ) Transfers (3,212 ) 25 - (3,187 ) Depreciation charges (ii) (942 ) (270 ) (84 ) (1,296 ) Net book amount at the June 30, 2023 9,191 495 462 10,148 Costs 22,729 9,289 2,111 34,129 Accumulated depreciation (13,538 ) (8,794 ) (1,649 ) (23,981 ) Balances at June 30, 2023 9,191 495 462 10,148 (i) Includes furniture and fixtures and vehicles. (ii) As of June 30, 2023 and 2022, depreciation charges of property, plant and equipment were recognized: ARS 921 and ARS 998 in "Costs", ARS 370 and ARS 392 in "General and administrative expenses" and ARS 5 and ARS 9 in "Selling expenses", respectively in the Consolidated Statement of Income and Other Comprehensive Income (Note 24). |
Trading Properties
Trading Properties | 12 Months Ended |
Jun. 30, 2023 | |
Trading properties | 11. Trading properties Changes in the Group’s trading properties for the fiscal years ended June 30, 2023 and 2022 were as follows: Completed properties Properties under development (i) Undeveloped sites Total At June 30, 2021 427 2,835 2,953 6,215 Additions - 1,015 80 1,095 Currency translation adjustment - (338 ) - (338 ) At June 30, 2022 427 3,512 3,033 6,972 Additions 30 144 143 317 Currency translation adjustment - 15 - 15 Transfers 147 - (579 ) (432 ) Disposals (11 ) (427 ) (255 ) (693 ) At June 30, 2023 593 3,244 2,342 6,179 June 30, 2023 June 30, 2022 Non-current 6,035 6,556 Current 144 416 Total 6,179 6,972 (i) Includes Zetol and Vista al Muelle plots of land, which have been mortgaged to secure Group's borrowings. The net book value amounted to ARS 3,243 and ARS 3,512 as of June 30, 2023 and 2022, respectively. Additionally, the Group has contractual obligations not provisioned related to these plots of lands committed when certain properties were acquired or real estate projects were approved, and amount to ARS 1,634 and ARS 2,054, respectively. 4 of the 6 units received for the Tower 1, built on plot 2, were sold, and the infrastructure work concerning sectors A and B of the property, which includes, among others, the coastal road, roundabouts, lights, landfills and storm and sewage connections for an amount of about USD 3.2 MM. Likewise, the exchange of Plot 2 was signed with the same developer of Plot 1, beginning the works at the end of 2022. |
Intangible assets
Intangible assets | 12 Months Ended |
Jun. 30, 2023 | |
Intangible assets | |
Intangible assets | 12. Intangible assets Changes in the Group’s intangible assets for the years ended June 30, 2023 and 2022 were as follows: Goodwill Information systems and software Future units to be received from barters and others Total Balance at June 30, 2021 476 723 7,284 8,483 Costs 476 2,788 8,373 11,637 Accumulated amortization - (2,065 ) (1,089 ) (3,154 ) Net book amount at June 30, 2021 476 723 7,284 8,483 Additions - 140 82 222 Disposals - - (1,015 ) (1,015 ) Impairment - (85 ) - (85 ) Amortization charges (i) - (319 ) (2 ) (321 ) Balance at June 30, 2022 476 459 6,349 7,284 Costs 476 2,843 7,440 10,759 Accumulated amortization - (2,384 ) (1,091 ) (3,475 ) Net book amount at June 30, 2022 476 459 6,349 7,284 Additions - 143 1,272 1,415 Disposals - - (179 ) (179 ) Transfers - - (200 ) (200 ) Amortization charges (i) - (352 ) (23 ) (375 ) Balance at June 30, 2023 476 250 7,219 7,945 Costs 476 2,986 8,333 11,795 Accumulated amortization - (2,736 ) (1,114 ) (3,850 ) Net book amount at June 30, 2023 476 250 7,219 7,945 (i) Amortization charge was recognized in the amount of ARS 220 and ARS 86 under "Costs", in the amount of ARS 155 and ARS 235 under "General and administrative expenses" as of June 30, 2023 and 2022, respectively in the Consolidated Statement of Income and Other Comprehensive Income (Note 24). |
Rights of use of assets
Rights of use of assets | 12 Months Ended |
Jun. 30, 2023 | |
Rights of use of assets | |
Rights of use of assets | 13. Right-of-use assets 06.30.2023 06.30.2022 Offices, shopping malls and other rental properties 457 37 Machinery and equipment - 4 Convention center 2,478 2,637 Total Right-of-use assets 2,935 2,678 Non-current 2,935 2,678 Total 2,935 2,678 Changes in the Group´s right-of-use assets during the fiscal years ended June 30, 2023 and 2022, were as follows: 06.30.2023 06.30.2022 Beginning of the year 2,678 2,868 Additions 451 - Depreciation charges (194 ) (190 ) Total 2,935 2,678 Depreciation charge for right-of-use assets is detailed below: 06.30.2023 06.30.2022 Offices, shopping malls and other rental properties 30 2 Machinery and equipment 4 10 Others 160 178 Total depreciation of right-of-use assets (i) 194 190 (i) As of June 30, 2023, depreciation charges were recognized as follows: ARS 166 in "Costs", ARS 18 in "General and administrative expenses" and ARS 10 in "Selling expenses" in the Consolidated Statement of Income and Other Comprehensive Income (Note 24). Other charges to income related to right-of-use assets were as follows: June 30, 2023 June 30, 2022 Lease liabilities interests (222 ) (259 ) Results from short-term leases (134 ) (93 ) |
Financial instruments by catego
Financial instruments by category | 12 Months Ended |
Jun. 30, 2023 | |
Financial instruments by category | |
Financial instruments by category | 14. Financial instruments by category The following note presents the financial assets and financial liabilities by category and a reconciliation to the corresponding line in the Consolidated Statement of Financial Position, as appropriate. Since the line items “Trade and other receivables” and “Trade and other payables” contain both financial instruments and non-financial assets or liabilities (such as prepayments, trade receivables, trade payables in-kind and tax receivables and payables), the reconciliation is shown in the columns headed “Non-financial assets” and “Non-financial liabilities”. Financial assets and liabilities measured at fair value are assigned based on their different levels in the fair value hierarchy. IFRS 9 defines the fair value of a financial instrument as the amount for which an asset could be exchanged, or a financial liability settled, between knowledgeable, willing parties in an arm’s length transaction. All financial instruments recognized at fair value are allocated to one of the valuation hierarchy levels of IFRS 7. This valuation hierarchy provides for three levels. In the case of Level 1, valuation is based on quoted prices (unadjusted) in active markets for identical assets and liabilities that the Company can refer to at the date of valuation. In the case of Level 2, fair value is determined by using valuation methods based on inputs directly or indirectly observable in the market. If the financial instrument concerned has a fixed contract period, the inputs used for valuation must be observable for the whole of this period. In the case of Level 3, the Group uses valuation techniques not based on inputs observable in the market. This is only permissible insofar as no market data is available. The inputs used reflect the Group’s assumptions regarding the factors which market players would consider in their pricing. The Group’s Finance Division has a team in place in charge of estimating the valuation of financial assets required to be reported in the Consolidated Financial Statements, including the fair value of Level-3 instruments. The team directly reports to the Chief Financial Officer ("CFO"). The CFO and the valuation team discuss the valuation methods and results upon the acquisition of an asset and, as of the end of each reporting period. According to the Group’s policy, transfers among the several categories of valuation are recognized when occurred, or when there are changes in the prevailing circumstances requiring the transfer. Financial assets and financial liabilities as of June 30, 2023 are as follows: Financial assets at amortized cost Financial assets at fair value through profit or loss Subtotal financial assets Non-financial assets Total Level 1 Level 2 June 30, 2023 Assets as per Statements of Financial Position Trade and other receivables (excluding the allowance for doubtful accounts and other receivables) (Note 15) 24,152 - - 24,152 7,354 31,506 Investments in financial assets: - Public companies’ securities - 5,046 - 5,046 - 5,046 - Mutual funds - 20,152 - 20,152 - 20,152 - Bonds - 9,215 - 9,215 - 9,215 - Others 627 1,294 - 1,921 - 1,921 Cash and cash equivalents: - Cash at bank and on hand 5,254 - - 5,254 - 5,254 - Short-term investments - 3,481 - 3,481 - 3,481 Total assets 30,033 39,188 - 69,221 7,354 76,575 Financial liabilities at amortized cost Financial liabilities at fair value through profit or loss Subtotal financial liabilities Non-financial liabilities Total Level 1 Level 2 June 30, 2023 Liabilities as per Statements of Financial Position Trade and other payables (Note 18) 15,215 - - 15,215 20,228 35,443 Borrowings (Note 20) 107,941 - - 107,941 - 107,941 Derivative financial instruments: - Bond futures - 6 - 6 - 6 Total liabilities 123,156 6 - 123,162 20,228 143,390 Financial assets and financial liabilities as of June 30, 2022 were as follows: Financial assets at amortized cost Financial assets at fair value through profit or loss Subtotal financial assets Non-financial assets Total Level 1 Level 2 June 30, 2022 Assets as per Statements of Financial Position Trade and other receivables (excluding the allowance for doubtful accounts and other receivables) (Note 15) 25,993 - - 25,993 8,544 34,537 Investments in financial assets: - Public companies’ securities - 2,902 - 2,902 - 2,902 - Mutual funds - 29,901 - 29,901 - 29,901 - Bonds - 8,205 - 8,205 - 8,205 - Others 22 571 - 593 - 593 Cash and cash equivalents: - Cash at bank and on hand 21,591 - - 21,591 - 21,591 - Short term investments - 5,952 - 5,952 - 5,952 Total assets 47,606 47,531 - 95,137 8,544 103,681 Financial liabilities at amortized cost Financial liabilities at fair value through profit or loss Subtotal financial liabilities Non-financial liabilities Total Level 1 Level 2 June 30, 2022 Liabilities as per Statements of Financial Position Trade and other payables (Note 18) 9,572 - - 9,572 16,472 26,044 Borrowings (Note 20) 161,112 - - 161,112 - 161,112 Derivative financial instruments: - Swaps - - 34 34 - 34 Total liabilities 170,684 - 34 170,718 16,472 187,190 (i) The fair value of financial assets and liabilities at their amortized cost does not differ significantly from their book value, except for borrowings (Note 20). The following are details of the book value of financial instruments recognized, which were offset in the statements of financial position: 06.30.2023 06.30.2022 Gross amounts recognized Gross amounts offset Net amount presented Gross amounts recognized Gross amounts offset Net amount presented Financial assets Trade and other receivables (excluding the allowance for doubtful accounts and other receivables) 25,635 (1,483 ) 24,152 27,136 (1,143 ) 25,993 Financial liabilities Trade and other payables 13,732 1,483 15,215 8,429 1,143 9,572 Income, expense, gains and losses on financial instruments can be assigned to the following categories: Financial assets / liabilities at amortized cost Financial assets / liabilities at fair value through profit or loss Total June 30, 2023 Interest income 825 - 825 Interest expense (11,909 ) - (11,909 ) Interest expense on lease liabilities (222 ) - (222 ) Foreign exchange gains, net 6,762 - 6,762 Gain from repurchase of NCN 199 - 199 Fair value gain on financial assets at fair value through profit or loss - 7,407 7,407 Interest and allowances generated by operating credits 661 - 661 Gain on derivative financial instruments, net - 46 46 Other finance costs (1,895 ) - (1,895 ) Total financial instruments (i) (5,579 ) 7,453 1,874 Financial assets / liabilities at amortized cost Financial assets / liabilities at fair value through profit or loss Total June 30, 2022 Interest income 998 - 998 Interest expense (17,614 ) - (17,614 ) Interest expense on lease liabilities (259 ) - (259 ) Foreign exchange gains, net 31,056 - 31,056 Gain from repurchase of NCN 3,148 - 3,148 Fair value gain on financial assets at fair value through profit or loss - 3,134 3,134 Interest and allowances generated by operating credits 276 - 276 Gain on derivative financial instruments, net - 70 70 Other finance costs (996 ) - (996 ) Total financial instruments (i) 16,609 3,204 19,813 Financial assets / liabilities at amortized cost Financial assets / liabilities at fair value through profit or loss Total June 30, 2021 Interest income 1,274 - 1,274 Interest expense (22,658 ) - (22,658 ) Interest expense on lease liabilities (341 ) - (341 ) Foreign exchange gains, net 24,818 - 24,818 Dividend income 2 - 2 Loss from repurchase of NCN (336 ) - (336 ) Fair value gain on financial assets at fair value through profit or loss - 18,799 18,799 Interest and allowances generated by operating credits 342 - 342 Loss on derivative financial instruments, net - (1,597 ) (1,597 ) Other finance costs (3,061 ) - (3,061 ) Total financial instruments (i) 40 17,202 17,242 (i) Included within “Financial results, net“ in the Consolidated Statement of Income and Other Comprehensive Income, with the exception of interest and discount generated by operating assets, which are included within "Other operating results, net". The following table presents the changes in Level 3 financial instruments as of June 30, 2022 and 2021: Investments in financial assets - Others Total Balances at June 30, 2021 170 170 Currency translation adjustment (17 ) (17 ) Write off (207 ) (207 ) Gain for the year (i) 54 54 Balances at June 30, 2022 (ii) - - (i) Included within “Financial results, net” in the Consolidated Statement of Income and Other Comprehensive Income. (ii) During the year ended June 30, 2023 there were no changes in Level 3 financial instruments. During the fiscal year ended June 30, 2023 and 2022, there were no transfers between levels of hierarchy of the fair value. When there are no quoted prices available in an active market, fair values (especially derivative instruments) are based on recognized valuation methods. The Group uses a range of valuation models for the measurement of Level 2 and Level 3 instruments, details of which may be obtained from the following table. Description Pricing model / method Parameters Fair value hierarchy Range Derivative financial instruments Swaps Theoretical price Underlying asset price and volatility Level 2 - As of June 30, 2023, there are no changes in economic or business circumstances that affect the fair value of the Group's financial assets and liabilities that were not considered in the fair value estimation. |
Trade and other receivables
Trade and other receivables | 12 Months Ended |
Jun. 30, 2023 | |
Trade and other receivables | |
Trade and other receivables | 15. Trade and other receivables Group’s trade and other receivables as of June 30, 2023 and 2022 were as follows: 06.30.2023 06.30.2022 Sale, leases and services receivables 14,919 17,273 Less: Allowance for doubtful accounts (1,194 ) (1,840 ) Total trade receivables 13,725 15,433 Borrowings, deposits and others 9,364 9,358 Advances to suppliers 2,329 1,977 Tax receivables 1,480 2,016 Prepaid expenses 609 730 Long-term incentive plan 1 1 Dividends - 440 Others 2,804 2,742 Total other receivables 16,587 17,264 Total trade and other receivables 30,312 32,697 Non-current 4,437 9,348 Current 25,875 23,349 Total 30,312 32,697 Book amounts of Group's trade and other receivables in foreign currencies are detailed in Note 32. The fair value of current receivables approximates their respective carrying amounts because, due to their short-term nature, the effect of discounting is not considered significant. Trade accounts receivables are generally presented in the Consolidated Statement of Financial Position net of allowances for doubtful accounts. Impairment policies and procedures by type of receivables are discussed in detail in Note 2. Movements on the Group’s allowance for doubtful accounts were as follows: 06.30.2023 06.30.2022 Beginning of the year 1,840 3,007 Additions (i) 210 539 Recovery (i) (121 ) (607 ) Currency translation adjustment 371 158 Receivables written off during the year as uncollectible - (26 ) Inflation adjustment (1,106 ) (1,231 ) End of the year 1,194 1,840 (i) The creation and release of the provision for impaired receivables have been included in “Selling expenses” in the Consolidated Statement of Income and Other Comprehensive Income (Note 24). The Group’s trade receivables comprise several classes. The maximum exposure to credit risk at the reporting date is the carrying amount of each class of receivables (see Note 5). The Group also has receivables from related parties neither of them is due nor impaired. Due to the distinct characteristics of each type of receivables, an aging analysis of past due unimpaired and impaired receivables is shown by type and class, as of June 30, 2023 and 2022 (a column of non-past due receivables is also included so that the totals can be reconciled with the amounts appearing on the Consolidated Statement of Financial Position): Past due Up to 3 months From 3 to 6 months Over 6 months Non-past due Impaired Total % of representation Leases and services 455 123 1,031 11,901 1,194 14,704 98.56 % Consumer financing - - - 41 - 41 0.27 % Sale of properties and developments - - 173 1 - 174 1.17 % Total as of June 30, 2023 455 123 1,204 11,943 1,194 14,919 100.00 % Leases and services 843 513 1,399 12,086 1,840 16,681 96.57 % Consumer financing - - - 189 - 189 1.09 % Sale of properties and developments 86 - 43 274 - 403 2.32 % Total as of June 30, 2022 929 513 1,442 12,549 1,840 17,273 99.98 % |
Cash flow information
Cash flow information | 12 Months Ended |
Jun. 30, 2023 | |
Cash flow information | |
Cash flow information | 16. Cash flow information Following is a detailed description of cash flows generated by the Group’s operations for the years ended June 30, 2023, 2022 and 2021: Note 06.30.2023 06.30.2022 06.30.2021 Profit / (loss) for the year 60,986 75,222 (132,885 ) Profit for the year from discontinued operations - - 31,545 Adjustments for Income tax 21 (64,517 ) 5,971 76,617 Amortization and depreciation 24 1,900 2,007 2,266 Loss from disposal of property, plant and equipment 684 - - Net loss / (gain) from fair value adjustment of investment properties 49,145 (29,427 ) 27,469 Impairment of others assets 34 - - Realization of currency translation adjustment (423 ) - - Gain from disposal of associates - - (132 ) Gain from disposal of trading properties (2,991 ) - - Financial results, net (19,307 ) (30,824 ) (23,372 ) Provisions and allowances 16,611 3,364 3,982 Share of loss / (profit) of associates and joint ventures 8 (2,622 ) 764 15,483 Changes in operating assets and liabilities: - (Increase) / decrease in inventories (62 ) (15 ) 93 Decrease / (increase) in trading properties 92 192 (99 ) (Increase) / decrease in trade and other receivables (704 ) (67 ) 5,353 (Decrease) / increase in trade and other payables (291 ) 1,345 (11,971 ) Increase in salaries and social security liabilities 920 67 188 Decrease in provisions (67 ) (209 ) (379 ) Net cash generated by / (used in) continuing operating activities before income tax paid 39,388 28,390 (5,842 ) Net cash generated by discontinued operating activities before income tax paid - - 12,023 Net cash generated by operating activities before income tax paid 39,388 28,390 6,181 The following table shows balances incorporated as result of business combination or deconsolidation of subsidiaries: June 30, 2023 June 30, 2022 June 30, 2021 Investment properties - - 415,546 Property, plant and equipment - - 169,649 Trading properties - - 27,185 Intangible assets - - 129,195 Investments in associates and joint ventures - - 171,253 Deferred income tax assets - - 2,007 Restricted assets - - 29,696 Income tax and MPIT credit - - 1,507 Trade and other receivables - - 249,909 Right-of-use assets - - 91,393 Investments in financial assets - - 111,862 Derivative financial instruments - - 1,300 Inventories - - 16,658 Group of assets held for sale - - 194,531 Borrowings - - (1,503,569 ) Lease liabilities - - (83,768 ) Deferred income tax liabilities - - (57,484 ) Trade and other payables - - (108,709 ) Provisions - - (25,083 ) Employee benefits - - (2,205 ) Derivative financial instruments - - (2,205 ) Salaries and social security liabilities - - (15,651 ) Group of liabilities held for sale - - (101,829 ) Income tax expense - - (2,106 ) Net value of deconsolidated assets that do not affect cash - - (290,918 ) Cash and cash equivalents - - (513,762 ) Non-controlling interest - - (221,013 ) Net value of deconsolidated assets - - (1,025,693 ) The following table shows a detail of significant non-cash transactions occurred in the years ended June 30, 2023, 2022 and 2021: 06.30.2023 06.30.2022 06.30.2021 Increase of trading properties through an increase in borrowings - - 216 Increase of intangible assets through an increase of trade and other payables - 26 - Distribution of dividends in shares - - 2,572 Increase in non-convertible notes through a decrease in non-convertible notes 45,938 9,279 - Decrease of property, plant and equipment through an increase of tax receivables and tax payables - - 293 Increase in investment properties through an increase in trade and other payables 143 399 - Increase of investment properties through an increase of borrowings - - 1,440 Increase in intangible assets through a decrease in investment in associates - - 2,889 Currency translation adjustment 1,286 379 40,417 Increase in investment properties under barter agreements - 6,767 - Payment of non-convertible notes - 1,365 - Decrease in lease liabilities through a decrease in trade and other receivables - 6 - Decrease in investment properties through an increase in property, plant and equipment 23 3,359 - Decrease in property, plant and equipment through an increase in investment properties 3,210 1,293 - Decrease in property, plant and equipment through an increase in revaluation surplus 266 1,199 - Decrease in revaluation surplus through an increase in deferred income tax liabilities - 420 - Increase in intangible assets through an increase salaries and social security liabilities - 56 - Increase in investments in associates through a decrease in investments in financial assets - 1,865 - Decrease in borrowings through a decrease in trade and other receivables - 951 - Increase in investments in associates and joint ventures through a decrease in trade and other receivables 31 - - Increase in investments in associates and joint ventures through a decrease in investments in financial assets - 97 - Capital contributions from non-controlling interest through a decrease of borrowings - 9 - Capital contributions from non-controlling interest through an increase in trade and other receivables - 11 - Decrease of trading properties through an increase in intangible assets 1,272 - - Decrease in investments in financial assets through a decrease in trade and other payables 368 - - Decrease in dividends receivables through an increase in investments in financial assets 13 - - Decrease in Shareholders’ Equity through a decrease in trade and other receivables 1,695 - - Decrease in investment properties through a decrease in investments in financial assets 78 - - Decrease in Shareholders’ Equity through a decrease in investments in financial assets 2,536 - - Increase in right-of-use assets through a decrease in lease liabilities 451 - - Increase of investments in financial assets through a decrease in trade and other receivables 580 - - Decrease of intangible assets through an increase in investment properties 53 - - Decrease of intangible assets through an increase in trading properties 147 - - Increase of investment properties through a decrease in trade and other receivables 46 - - Decrease in Shareholders’ Equity through an increase in trade and other payables 191 - - Increase of investment properties through a decrease in trading properties 579 - - Decrease in borrowings through a decrease in trading properties 338 - - |
Shareholders' Equity
Shareholders' Equity | 12 Months Ended |
Jun. 30, 2023 | |
Shareholders' Equity | 17. Shareholders’ Equity Share capital and share premium The share capital of the Group is represented by common shares with a nominal value of ARS 10 per share and one vote each. On April 12, 2021, the Company announced the launch of its public offering of shares for up to 80 million shares (or its equivalent 8 million GDS) and 80 million warrants to subscribe for new common shares, to registered holders as of April 16, 2021. Each common share right entitles its holder to subscribe for 0.1382465082 new common shares and to receive free of charge, for each new common share that it purchases pursuant to this offering, one warrant to purchase one additional common share. The final subscription price for the new shares was ARS 58.35 or USD 0.36 and for the new GDS it was USD 3.60. The new shares, registered, of ARS 1 (one peso) of par value each and with the right to one vote per share gives the right to receive dividends under the same conditions as the current shares in circulation. The 80,000,000 new shares (or its equivalent 8 million GDS) offered were totally subscribed. Likewise, 80,000,000 warrants were issued that will entitle the holders through their exercise to acquire up to 80 million additional new shares. The exercise price of the warrants is USD 0.432. The warrants may be exercised quarterly from the 90th day of their issuance on the 17th to the 25th (inclusive) of the months of February, May, September, and November of each year on the business day prior to maturity and on the date of maturity (if dates are business days in the city of New York and in the Autonomous City of Buenos Aires) until their expiration 5 years from the date of issue. These warrants have been considered as equity instruments. The Company received all the funds in the amount of USD 28.8 million and issued the new shares, increasing the capital stock to 658,676,460 shares. By Extraordinary Shareholders’ Meeting dated December 22, 2021, an increase of the capital stock of the company was approved, as a result of the merger by absorption with IRSA Propiedades Comerciales S.A. in the amount of ARS 152,158,215 through the issuance of 152,158,215 common shares of ARS 1 par value each and one vote per share. By Extraordinary Shareholders’ Meeting dated April 27, 2023, an increase of the capital stock of the company was approved to the sum of ARS 7,364 million and the subsequent issuance and distribution of new shares to the shareholders of the settlement date, according to their equity interest. Additionally, the change in the nominal value of the shares was approved from ARS 1 to ARS 10. As of June 30, 2023, the total number of shares issued by the Company amounts to 811,137,457 shares. On September 13, 2023, the procedure for the increase of 6,552,405,000 shares and the change in the nominal value of the shares to the sum of ARS 10 was approved before the Registration and Control Management of the National Securities Commission. Treasury shares On March 11, 2022, the IRSA Board of Directors approved the shares buyback program issued by the Company and established the terms and conditions for the acquisition of shares issued by the Company, under the terms of Article 64 of Law No. 26,831 and the regulations of the CNV, for up to a maximum amount of ARS1,000 million and up to 10% of the capital stock, up to a daily limit of up to 25% of the average volume of daily transactions experienced by the Company's shares, jointly in the listed markets, during the previous 90 business days, and up to a maximum price of USD 7 per ADS and ARS 140 per share. Likewise, the buyback term was set at up to 120 days, beginning the day following the date of publication of the information in the Daily Bulletin of the Buenos Aires Stock Exchange. On July 12, 2022, the Board of Directors extended, for a period of 120 (one hundred twenty) days from the day following the publication date of the information in the Daily Bulletin of the Buenos Aires Stock Exchange (“BCBA”), the share buyback program that was approved by resolution of the management body on March 11, 2022. The remaining terms and conditions set for the acquisition of the company's shares, which were duly communicated to the investing public, remain in effect. On September 21, 2022, the Company announced the completion of the share buyback program, having acquired the equivalent of 9,419,623 ordinary shares, which represent approximately 99.51% of the approved program and 1.16% of the share capital. On June 15, 2023, the Board of Directors of IRSA approved a new program for the repurchase of securities issued by the Company and established the terms and conditions for the acquisition of its own shares, under the terms of Article 64 of Law No. 26,831 and the regulations of the CNV. This is for up to a maximum amount of ARS 5,000 million and up to 10% of the share capital, with a daily limit of up to 25% of the average transaction volume experienced by the Company's shares, jointly on the markets where it is listed, during the previous 90 business days, and up to a maximum price of USD 8 per GDS and ARS 425 per share. Additionally, the buyback period was set to up to 180 days, starting the day after the publication date of the information in the Daily Bulletin of the Buenos Aires Stock Exchange. During the current fiscal year, the Company acquired 1,263,435 ordinary shares (N.V. ARS 1 per share) for a total of ARS 506 million, representing 10.11% of the program approved on June 15, 2023. The amounts are expressed in the currency at the time of acquisition. As of the issuance date of these consolidated financial statements, no deadline has been set for the disposal of the acquired shares. Inflation adjustment of share capital and treasury shares The inflation adjustment related to share capital is allocated to an inflation adjustment account that forms part of shareholders' equity. The balance of this account could be applied only towards the issuance of common stock to shareholders of the Company. Warrants Common stock purchase options (warrants), issued by IRSA with common shares during the fiscal year and treated as equity instruments, are recorded as a separate component of the equity and are measured at cost; represented by fair value on the issue date using the Black-Scholes pricing model, which incorporates certain inputs assumptions, including shares price and volatility, risk-free interest rate, and warrant maturity. At the time of the exercise of the warrants by the holders, the warrants are transferred to share capital for the nominal value of the issued shares and the difference with the product is recognized in the share premium. Legal reserve According to Law N° 19,550, 5% of the profit of the year is destined to the constitution of a legal reserve until it reaches the legal capped amount (20% of total capital). This legal reserve is not available for dividend distribution and can only be released to absorb losses. The Group has not reached the legal limit of this reserve. Special reserve Resolution CNV 609/12 - Retained earnings The CNV, through General Ruling N° 562/9 and 576/10, has provided for the application of Technical Resolutions N° 26 and 29 of the FACPCE, which adopt the IFRS, as issued by the IASB, for companies subject to the public offering regime ruled by Law 17,811, due to the listing of their shares or corporate notes, and for entities that have applied for authorization to be listed under the mentioned regime. The Group has applied IFRS, as issued by the IASB, for the first time in the year beginning July 1 st st Special reserve The Ordinary and Extraordinary General Meeting of Shareholders on October 31, 2017 constituted a special reserve which was subsequently utilized to absorb losses and as of June 30, 2023 amounts to ARS 31,109. Additional paid-in capital from treasury shares Upon sale of treasury shares, the difference between the net realizable value of the treasury shares sold and the acquisition cost will be recognized, whether it is a gain or a loss, under the non-capitalized contribution account and will be known as “Treasury shares trading premium”. Dividends On October 26, 2020, our shareholders held an Ordinary and Extraordinary Meeting and approved an in kind dividend distribution equivalent to ARS 484 million (representative of ARS 0.84 per share) and payable in shares of IRSA CP. Our shareholders decided to consider IRSA CP’s quoted price per share as of October 23, 2020, which amounted to ARS 320 per share. Pursuant to that shareholders’ decision, we distributed 1,512,500 common shares of IRSA CP. We reflected this transaction on our financial statements as a change in equity, which generated a reduction of the equity attributable to the controlling shareholders totaling ARS 2,570 million restated as of the date of these consolidated financial statements. During the fiscal year ended June 30, 2022 there was no distribution of dividends. On October 28, 2022 and April 27, 2023, our shareholders held an Ordinary and Extraordinary Meeting and approved the pay of dividends to ARS 4,340 million and ARS 21,900 million, respectively. See Note 34 to these consolidated financial statements. The amounts are expressed in currency defined as approved by the Ordinary and Extraordinary Shareholders' Meeting. |
Trade and other payables
Trade and other payables | 12 Months Ended |
Jun. 30, 2023 | |
Trade and other payables | |
Trade and other payables | 18. Trade and other payables Group’s trade and other payables as of June 30, 2023 and 2022 were as follows: 06.30.2023 06.30.2022 Customers´ advances (*) 9,089 7,849 Trade payables 2,826 3,447 Accrued invoices 2,452 2,542 Admission fees (*) 8,170 5,551 Other income to be accrued 145 207 Tenant deposits 141 144 Total trade payables 22,823 19,740 Taxes payable 2,823 2,865 Other payables 9,797 3,439 Total other payables 12,620 6,304 Total trade and other payables 35,443 26,044 Non-current 9,838 7,668 Current 25,605 18,376 Total 35,443 26,044 (*) Corresponds mainly to admission rights and rents collected in advance, which will accrue in an average term of 3 to 5 years. The variation is mainly due to the new contracts signed and an extraordinary rent in Alto Avellaneda. The fair value of payables approximates their respective carrying amounts because, due to their short-term nature, the effect of discounting is not considered significant. Fair values are based on discounted cash flows (Level 3). |
Provisions
Provisions | 12 Months Ended |
Jun. 30, 2023 | |
Provisions | |
Provisions | 19. Provisions The Group is subject to claims, lawsuits and other legal proceedings in the ordinary course of business, including claims from clients where a third party seeks reimbursement or damages. The Group’s responsibility under such claims, lawsuits and legal proceedings cannot be estimated with certainty. From time to time, the status of each major issue is evaluated and its potential financial exposure is assessed. If the potential loss involved in the claim or proceeding is deemed probable and the amount may be reasonably estimated, a liability is recorded. The Group estimates the amount of such liability based on the available information and in accordance with the provisions of the IFRS. If additional information becomes available, the Group will make an evaluation of claims, lawsuits and other outstanding proceedings, and will revise its estimates. The following table shows the movements in the Group's provisions categorized by type: Legal claims Investments in associates and joint ventures (ii) Total As of 06.30.21 897 26 923 Additions (i) 735 - 735 Share of profit of associates - (9 ) (9 ) Recovery (i) (170 ) - (170 ) Used during the year (209 ) - (209 ) Inflation adjustment (420 ) - (420 ) As of 06.30.22 833 17 850 Additions (i) 7,676 - 7,676 Share of profit of associates - (16 ) (16 ) Recovery (i) (224 ) - (224 ) Used during the year (67 ) - (67 ) Inflation adjustment (1,456 ) - (1,456 ) As of 06.30.23 6,762 1 6,763 06.30.2023 06.30.2022 Non-Current 5,919 423 Current 844 427 Total 6,763 850 (i) Additions and recoveries are included in "Other operating results, net". As of June 30, 2023, includes the provision for the IDBD demand. (ii) Corresponds to the equity interest in Puerto Retiro in 2022 and 2021. Additions and recoveries are included in "Share of profit / (loss) of associates and joint ventures". IDBD As indicated in Note 1. to these Consolidated Financial Statements, the Group lost control of IDBD on September 25, 2020. On September 21, 2020, IDBD filed a lawsuit against Dolphin Netherlands B.V. (“Dolphin BV”) and IRSA before the Tel-Aviv Jaffa District Court (civil case no. 29694-09-20). The amount claimed by IDBD is NIS 140 million, alleging that Dolphin BV and IRSA breached an alleged legally binding commitment to transfer to IDBD 2 installments of NIS 70 million. On December 24, 2020, and following approval by the insolvency court, the IDBD trustee filed a motion to dismiss the claim, maintaining the right as IDBD trustee, to file a new inter alia claim in the same matter, after conduct an investigation into the reasons for IDBD's insolvency. On December 24, 2020, the court entered a judgment to dismiss the claim as requested. On October 31, 2021, the Insolvency Commissioner notified that he did not oppose the motion, and on that same date, the court affirmed the motion initiated by the trustee of IDBD. On December 26, 2021 IDBD filed the lawsuit against Dolphin BV and IRSA for the sum of NIS 140 million. On January 30, 2023, a copy of the lawsuit was sent to us and we evaluated the legal defense alternatives for the company's interests. On May 9, 2023, two filings were made by Dolphin BV and IRSA for the purpose of reversing the decision of the Tel-Aviv Jaffa District Court regarding the manner in which the lawsuits were made, the law and the jurisdiction applicable. The following day, the Court granted a period of 20 days for IDBD to respond to the presentations made by Dolphin BV and IRSA and set a hearing for June 29, 2023. On May 30, 2023, IDBD made a presentation to answer the arguments raised by IRSA and Dolphin BV in their briefs. On June 29, 2023, the hearing set by the Court took place, where the parties had the opportunity to explain the arguments raised in their briefs. The Court would be in a position to issue a verdict regarding the statements made on the way in which the notification of the lawsuits was made, the law and applicable jurisdiction. Based on the review of the commitments and the analysis of the Company's lawyers, the sum of NIS 80 million, equivalent to ARS 5,536 million, are provisioned in these consolidated financial statements. |
Borrowings
Borrowings | 12 Months Ended |
Jun. 30, 2023 | |
Borrowings | 20. Borrowings The breakdown and the fair value of the Group borrowings as of June 30, 2023 and 2022 was as follows: Book value Fair value 06.30.2023 06.30.2022 06.30.2023 06.30.2022 NCN 96,599 142,749 97,277 134,546 Bank loans and others 2,575 2,182 2,575 2,195 Bank overdrafts 6,592 12,657 6,592 12,657 Other borrowings 1,720 3,061 1,720 3,061 Loans with non-controlling interests 455 463 455 463 Total borrowings 107,941 161,112 108,619 152,922 Non-current 67,324 28,138 Current 40,617 132,974 Total 107,941 161,112 As of June 30, 2023 and 2022, total borrowings include collateralized liabilities (seller financing, leases and bank loans) of ARS 1,634 and ARS 2,054, respectively. These borrowings are mainly collateralized by trading properties of the Group (Notes 11). The terms of the loans include standard covenants for this type of financial operations. As of the date of these Consolidated Financial Statements, the Group has complied with the covenants contemplated in its respective loan agreements. The maturity of the Group's borrowings is as follows: 06.30.2023 06.30.2022 Capital Less than 1 year 39,029 129,796 Between 1 and 2 years 27,146 22,572 Between 2 and 3 years 20,794 4,499 Between 3 and 4 years 7,025 229 Between 4 and 5 years 12,042 545 106,036 157,641 Interest Less than 1 year 1,588 3,178 Between 1 and 2 years 203 - Between 2 and 3 years 114 136 Between 3 and 4 years - 19 Between 4 and 5 years - 138 1,905 3,471 107,941 161,112 The following table shows a breakdown of Group’s borrowing by type of fixed-rate and floating-rate, per currency denomination and per functional currency of the subsidiary that holds the loans for the fiscal years ended June 30, 2023 and 2022. 06.30.2023 Rate per currency Argentine Peso US dollar Total Fixed rate: Argentine Peso 19,395 - 19,395 US Dollar - 86,205 86,205 Subtotal fixed-rate borrowings 19,395 86,205 105,600 Floating rate: Argentine Peso 2,341 - 2,341 Subtotal floating-rate borrowings 2,341 - 2,341 Total borrowings as per analysis 21,736 86,205 107,941 Total borrowings as per Statement of Financial Position 21,736 86,205 107,941 06.30.2022 Rate per currency Argentine Peso US dollar Total Fixed rate: Argentine Peso 25,477 - 25,477 US Dollar - 134,197 134,197 Subtotal fixed-rate borrowings 25,477 134,197 159,674 Floating rate: Argentine Peso 901 - 901 US Dollar - 537 537 Subtotal floating-rate borrowings 901 537 1,438 Total borrowings as per analysis 26,378 134,734 161,112 Total borrowings as per Statement of Financial Position 26,378 134,734 161,112 The following describes the debt issuances made by the Group for the years ended June 30, 2023 and 2022: Entity Series Issuance / expansion date Amount in original currency Maturity date Interest Principal payment Interest payment rate IRSA Series XIII aug-21 USD 58.1 03/31/2024 3.90% n.a Biannual Quarterly IRSA Series XIV jul-22 USD 171.20 06/22/2028 8.75% n.a. 17.5% in June 2024 – 17.5% in June 2025 – 17.5% in June 2026 – 17.5% in June 2027 - 30% in June 2028 Biannual IRSA Series XV jan-23 USD 61.75 03/25/2025 8.00% n.a. At expiration Biannual IRSA Series XVI jan-23 USD 28.25 07/25/2025 7.00% n.a. At expiration Biannual IRSA Series XVII jun-23 USD 25 12/07/2025 5.00% n.a. At expiration 1° quarterly and then biannual The following table shows a detail of evolution of borrowing during the years ended June 30, 2023 and 2022: 06.30.2023 06.30.2022 Balance at the beginning of the year 161,112 219,648 Borrowings 80,829 16,011 Payment of borrowings (112,982 ) (25,512 ) Payment of short term loans, net (1,442 ) (2,154 ) Interests paid (13,331 ) (17,686 ) Accrued interests 7,477 16,647 Cumulative translation adjustment and exchange differences, net 72,773 48,842 Inflation adjustment (86,117 ) (91,978 ) Reclassifications and other movements (378 ) (2,706 ) Balance at the end of the year 107,941 161,112 Series XIV Notes As a consequence of the regulations established by the BCRA, on July 6, 2022, the company completed the exchange of its Series II Notes in an aggregate principal amount of USD 360 million, maturing on March 23, 2023. On July 6, 2022, the expiration of the exchange was announced, USD 239 million of Series II Notes were validly tendered and accepted, representing an acceptance of 66.38%. On July 8, the exchange offer was settled, the new Series XIV Notes were issued for an amount of USD 171.2 million. Series XIV Notes were issued under New York Law, will mature on June 22, 2028 and will accrue interest at a fixed rate of 8.75%, with interest payable semi-annually on June 22 and December 22 of each year, until expiration. Amortization will be in annual installments payable on June 22 of each year, each for 17.5% from 2024 to 2027 and the remaining 30% on June 22, 2028. The issue price was 100%. On the exchange settlement date, the Series II Notes were partially cancelled, leaving an outstanding amount of USD 121 million. On February 8, 2023, the Series II Notes were redeemed and paid (see “Series II Notes Redemption - IRSA”). Series XV and XVI Notes On January 31, 2023, IRSA issued new Notes for a total amount of USD 90.0 million. · Series XV: for USD 61.7 million at a fixed rate of 8.0%, with semi-annual payments. The principal will be paid at maturity on March 25, 2025. The price of issuance was 100.0% of the nominal value. · Series XVI: for USD 28.2 million at a fixed rate of 7.0%, with semi-annual payments. The principal will be paid at maturity on July 25, 2025. The price of issuance was 100.0% of the nominal value. USD 5.1 million were subscribed in cash and USD 23.1 million in kind with Series IX Notes (Nominal Value USD 22.5 million with maturity date on March 1, 2023, which were subsequently cancelled) (see “Series IX Notes Redemption). Series II Notes Redemption On February 3, 2023, the Company notified the holders of Series II Notes of the redemption in accordance with the terms and conditions of the Series II Notes and the provisions of the Trust Agreement entered into on March 23, 2016 and its addendum May 16, 2022 between the Company, The Bank of New York Mellon (formerly The Bank of New York), as trustee, co-registrar agent, principal paying agent and transfer agent (the “Trustee”) and Banco Santander Argentina S.A., as representative of the Trustee in Argentina (“Trust Agreement”), under which the Series II Notes are issued for a current and outstanding amount of USD 121 million. The redemption was carried out on February 8, 2023. The redemption price was 100% of the face value of each current and outstanding Series II Notes, plus accrued and unpaid interest, prior settlement in the exchange market of funds received from the issuance of Series XV and XVI Notes (see " Series XV and XVI Notes - IRSA"). Series IX Notes Partial Cancellation On February 6, 2023, and regarding the issuance of Series XVI Notes, which were partially subscribed with Series IX Notes, the Company announced the partial cancellation of the Notes detailed below: · Series IX Notes: - Issuance Date: November 12, 2020 - Maturity Date: March 1, 2023 - Nominal Value originally issued: USD 81 million - Nominal Value to be cancelled: USD 22.5 million - Nominal Value under circulation: USD 58 million Series IX Notes Redemption On February 10, 2023, the Company informed the holders of Series IX Notes of the redemption in accordance with the terms and conditions detailed in the Offering Memorandum dated October 22, 2020, for an outstanding amount in circulation of USD 58 million (see " Series IX Notes Partial Cancellation "). The redemption was carried out on February 17, 2023. The redemption price was 100% of the face value of the Series IX Notes, plus accrued and unpaid interest, as of the date set for redemption, subject to settlement in the foreign exchange market of funds received from the issuance of Series XV and XVI Notes (see " Series XV and XVI Notes "). Series XVII Notes On June 7, 2023, IRSA issued new Notes for a total amount of USD 25 million. · Series XVII: for USD 25 million at a fixed rate of 5.0%, with semi-annual payments except for the first and second interest payments that will be made at 9 and 12 months, respectively, from the Issue and Settlement Date. The principal will be paid at maturity on December 7, 2025. The price of issuance was 100.0% of the nominal value. |
Taxes
Taxes | 12 Months Ended |
Jun. 30, 2023 | |
Taxes | 21. Taxes The Group’s income tax has been calculated on the estimated taxable profit for each year at the rates prevailing in the respective tax jurisdictions. The subsidiaries of the Group in the jurisdictions where the Group operates are required to calculate their income taxes on a separate basis; thus, they are not permitted to compensate subsidiaries’ losses against subsidiaries income. Argentine tax reform The Argentine Tax Authority established through the resolution 5248/2022 an extraordinary compulsory payment in advance of the income tax payable in 3 monthly installments, for companies that meet any of the following requirements: (i) The amount of the tax determined from the affidavit corresponding to the fiscal period 2021 (closing between August and December 2021) or 2022 (closing between January and July 2022), as applicable, is equal to or greater than ARS 100 million. (ii) The amount of the tax result that arises from the affidavit, without applying the deduction of tax losses from previous years, is equal to or greater than ARS 300 million. The compulsory payment in advance was 25% of the base for calculating the advance if point 1 is met, or 15% of the tax result without taking into account losses from previous years if point 2 is met. The aforementioned compulsory payment in advance cannot be offset with other tax-related credits and, furthermore, should not be taken into account when a request for reduction of advances is made. The expiration of the first installment is in October 2022 for those of the fiscal period 2021 and April 2023 for those of the fiscal period 2022. The companies that paid the extraordinary payment on account were: IRSA, PAMSA, Fibesa and Arcos, all maturing after April 2023. Regarding IRSA, an appeal was requested in each installment to AFIP and a precautionary measure in judicial court requesting the suspension of the effects of the resolution 5248/2022 since the payment of said advance would imply an excess of the tax obligation for the company. To date, there has been no response from the judicial corte or the Treasury regarding the precautionary measure and the appeal filed, nor have the extraordinary advance payments been made. Notwithstanding the foregoing, compensatory interest has been provisioned as of June 30, 2023 for the sum of ARS 445 million since the submission of the income tax return has been anticipated. Submission of income tax presentation – IRSA Dated November 15, 2021 IRSA CP hereinafter "the taxpayer", which has been absorbed by the Company according to what was detailed in the Note. 4.C to the Consolidated Financial Statements as of June 30, 2022, filed to the Argentine Tax Authority the income tax for the fiscal year ended June 30, 2021 applying the systemic and comprehensive inflation adjustment mechanism as detailed: restating tax amortizations according to articles 87 and 88; updating the computable cost of real estate acquired or built prior to July 1, 2018 and sold in this fiscal year under the terms of article 63; updating the loss of the fiscal period 2018, until the limit of the tax result of the exercise, following the methodology provided in article 25 and updating the costs of inventories as established in article 59, all articles mentioned belong to the income tax law (ordered text in 2019). In the same sense, on November 16, 2022, IRSA filed to the Argentine Tax Authority the income tax for the fiscal year ended June 30, 2022, applying the same systematic and comprehensive inflation adjustment mechanism mentioned in the previous paragraph updating accumulated losses. The non-application of the aforementioned mechanisms would have implied that the tax to be paid amounted to ARS 1,377 million in the fiscal year 2021 and ARS 11,892 million in the fiscal year 2022, in this way the effective rate to be paid would have consumed a substantial portion of the income obtained by the taxpayer exceeding the reasonable limit of taxation, being configured in the opinion of the taxpayer and his tax and legal advisors an assumption of confiscation, an assumption that at the date of issuance of these financial statements has not been validated or challenged by the Argentine Tax Authority or by higher courts. Together with the aforementioned income tax presentation, a multinote form was presented in which the application of the mechanisms was reported, arguing that the effective tax rate would represent a percentage that would exceed the reasonable limits of taxation, setting up a situation of confiscation, in violation of art. 17 of the National Constitution (according to doctrine of the judgment "Candy S.A. c/AFIP and another a/ protection action", judgment of 07/03/2009, Judgments 332:1571, and subsequent precedents). The aforementioned legal doctrine of the national supreme court is fully applicable to the particular case of IRSA, since the application of the regulations that do not allow the application of the integral and systematic inflation adjustment would prevent, as happened in the "Candy case", recognizing the totality of the inflationary effect in its tax balance causing the company to pay taxes on fictitious income. As of the date of issuance of these financial statements, there are new legal precedents in line with the Company's position and the "Candy" ruling mentioned above. In late October 2022, the Supreme Court of Justice of the Nation, in the case "Telefónica de Argentina S.A. and another v. EN - AFIP - DGI regarding the General Tax Directorate," upheld the opinion of the Attorney General of the Nation issued in the "Appeal No. 1, Telefónica de Argentina S.A. and Another v. EN-AFIP DGI regarding the General Tax Directorate," asserting the inadmissibility of a tax that, in its application, would be confiscatory for the taxpayer. Considering the foregoing, IRSA's Board of Directors together with its legal and tax advisors re-evaluated during the present year the accounting decision taken at the end of the previous fiscal year 2021, in light of the new elements of judgment, and concluded that all the existing evidence and, in particular, the last sentence of the Supreme Court of Justice of the Nation, mentioned in the previous paragraph, configure a position of favorability greater than a position of rejection in higher instances in the face of a possible controversy with the Argentine Tax Authority. For all the detailed reasons, they have decided, following the guidelines established by the IFRS, to reverse the provision for the aforementioned tax registered as of June 30, 2022 and 2021 for ARS 13,979 million, their provisioned interest accounted at the closing of the Annual Financial Statements for ARS 366 million and register in the deferred income tax, the updating of the remaining losses, aligning the accounting treatment with the tax criteria duly presented. In the same sense, IRSA made the provision for income tax for the year ended June 30, 2023, applying the same systematic and comprehensive inflation adjustment criteria as the update of its accumulated losses. The Company analyzes the recoverability of its deferred tax assets when there are events or changes in circumstances that imply a potential indication of revaluation or devaluation. The value in use is determined on the basis of projected tax cash flows. The aforementioned cash flows are prepared based on estimates regarding the future behavior of certain variables that are sensitive in determining the recoverable value, among which are: (i) sales projections; (ii) expense projections; (iii) macroeconomic variables such as growth rates, inflation rates, exchange rates, among others. The details of the provision for the Group’s income tax, is as follows: 06.30.2023 06.30.2022 06.30.2021 Current income tax (i) 18,531 (35,588 ) (3,387 ) Deferred income tax 45,986 29,617 (73,230 ) Income tax from continuing operations 64,517 (5,971 ) (76,617 ) (i) Includes reversal of the income tax provision. See “Submission of income tax presentation”. The statutory taxes rates in the countries where the Group operates for all of the years presented are: Tax jurisdiction Income tax rate Argentina 25% - 35% Uruguay 0% - 25% U.S.A 0% - 21% Bermuda / British Virgin Islands / Netherlands 0% Israel 23% - 24% Below is a reconciliation between income tax expense and the tax calculated applying the current tax rate, applicable in the respective countries, to profit before taxes for years ended June 30, 2023, 2022 and 2021: 06.30.2023 06.30.2022 06.30.2021 Loss / (profit) from continuing operations at tax rate applicable in the respective countries (i) 1,003 (28,198 ) 7,420 Permanent differences: Share of loss / (profit) of associates and joint ventures 305 (334 ) (4,646 ) (Unrecognized tax loss carryforwards) / tax loss carryforwards recovery (543 ) 10,022 (8,347 ) Inflation adjustment permanent difference (IAS 29) 27,740 33,710 12,448 Tax rate differential - - (53,684 ) Difference between provision and tax return (ii) 10,955 (179 ) 962 Non-taxable profit, non-deductible expenses and others 373 (527 ) (1,244 ) Fiscal transparency - - (593 ) Tax inflation adjustment 24,684 (20,465 ) (28,933 ) Income tax from continuing operations 64,517 (5,971 ) (76,617 ) (i) The applicable income tax rate was calculated based on the legal tax rates in the countries where the Group operates. As of June 30, 2023, the tax rate in the Argentine Republic was 35%, while as of June 30, 2022 and 2021 it was 34.99% and 30%, respectively. (ii) includes reversal of the income tax provision. See “Submission of income tax presentation”. Deferred tax assets and liabilities of the Group as of June 30, 2023 and 2022 will be recovered as follows: 06.30.2023 06.30.2022 Deferred income tax asset to be recovered after more than 12 months 4,097 2,076 Deferred income tax asset to be recovered within 12 months 4,512 2,223 Deferred income tax assets 8,609 4,299 06.30.2023 06.30.2022 Deferred income tax liability to be recovered after more than 12 months (171,317 ) (215,702 ) Deferred income tax liability to be recovered within 12 months (3,683 ) (974 ) Deferred income tax liability (175,000 ) (216,676 ) Deferred income tax liabilities, net (166,391 ) (212,377 ) The movement in the deferred income tax assets and liabilities during the years ended June 30, 2023 and 2022, without taking into consideration the offsetting of balances within the same tax jurisdiction, is as follows: 06.30.2022 Charged / (Credited) to the Consolidated Statement of Income and Other Comprehensive Income 06.30.2023 Assets Investment properties and Property, plant and equipment 97 (50 ) 47 Trade and other payables 3,261 2,215 5,476 Tax loss carry-forwards 1,001 1,761 2,762 Borrowings 369 (357 ) 12 Trade and other receivables (418 ) 408 (10 ) Others (11 ) 333 322 Subtotal assets 4,299 4,310 8,609 Liabilities Investment properties and Property, plant and equipment (192,408 ) 30,378 (162,030 ) Trade and other receivables (823 ) (241 ) (1,064 ) Investments (67 ) (2,458 ) (2,525 ) Tax inflation adjustment (22,015 ) 14,822 (7,193 ) Borrowings - 28 28 Intangible assets (1,466 ) (296 ) (1,762 ) Others 103 (557 ) (454 ) Subtotal liabilities (216,676 ) 41,676 (175,000 ) Assets (Liabilities), net (212,377 ) 45,986 (166,391 ) 06.30.2021 Charged / (Credited) to the Consolidated Statement of Income and Other Comprehensive Income Revaluation surplus reserve 06.30.2022 Assets Investment properties and Property, plant and equipment 1,807 (1,710 ) - 97 Trade and other payables 2,660 601 - 3,261 Tax loss carry-forwards 824 177 - 1,001 Borrowings 3,805 (3,436 ) - 369 Trade and other receivables 10,378 (10,796 ) - (418 ) Others 1,808 (1,819 ) - (11 ) Subtotal assets 21,282 (16,983 ) - 4,299 Liabilities Investment properties and Property, plant and equipment (204,396 ) 12,523 (535 ) (192,408 ) Trade and other receivables (11,626 ) 10,803 - (823 ) Investments (9 ) (58 ) - (67 ) Tax inflation adjustment (45,957 ) 23,942 - (22,015 ) Borrowings 6 (6 ) - - Intangible assets (265 ) (1,201 ) - (1,466 ) Others (494 ) 597 - 103 Subtotal liabilities (262,741 ) 46,600 (535 ) (216,676 ) Assets (Liabilities), net (241,459 ) 29,617 (535 ) (212,377 ) Deferred income tax assets are recognized for tax loss carry-forwards to the extent that the realization of the related tax benefits through future taxable profits is probable. Tax loss carry-forwards may have expiration dates or may be permanently available for use by the Group depending on the tax jurisdiction where the tax loss carry-forward is generated. Tax loss carry forwards in Argentina and Uruguay generally expire within 5 years. As of June 30, 2023, the Group's recognized tax loss carry forward prescribed as follows: Date of generation Date of generation Total 2018 2023 121 2019 2024 172 2020 2025 472 2021 2026 4,695 2022 2027 1,474 2023 2028 898 Total cumulative tax loss carry-forwards 7,832 In order to fully realize the deferred tax asset, the respective companies of the Group will need to generate future taxable income. To this aim, a projection was made for future years when deferred assets will be deductible. Such projection is based on aspects such as the expected performance of the main macroeconomic variables affecting the business, production issues, pricing, yields and costs that make up the operational flows derived from the regular exploitation of fields and other assets of the group, the flows derived from the performance of financial assets and liabilities and the income generated by the Group’s strategy of crop rotation. Such strategy implies the purchase and/or development of fields in marginal areas or areas with a high upside potential and periodical sale of such properties that are deemed to have reached their maximum appreciation potential. Based on the estimated and aggregate effect of all these aspects on the companies’ performance, Management estimates that as of June 30, 2023, it is probable that the Company will realize all of the deferred tax assets. The Group did not recognize deferred income tax assets (tax loss carry forwards) of ARS 749 as of June 30, 2023 and ARS 399 as of June 30, 2022. Although the Management estimates that the business will generate sufficient income, pursuant to IAS 12, management has determined that, as a result of the recent loss history and the lack of verifiable and objective evidence due to the subsidiary’s results of operations history, there is sufficient uncertainty as to the generation of sufficient income to be able to offset losses within a reasonable timeframe, therefore, no deferred tax asset is recognized in relation to these losses. |
Leases
Leases | 12 Months Ended |
Jun. 30, 2023 | |
Leases | |
Leases | 22. Leases The Group as lessee In the ordinary course of business, the Group leases property or spaces for administrative or commercial use. The agreements entered into include several clauses, including but not limited, to fixed, variable or adjustable payments. Some leases were agreed upon with related parties (Note 30). The future minimum payments that the Group must pay under leases are as follows: 06.30.2023 06.30.2022 06.30.2021 No later than one year 292 220 278 Later than one year and not later than five years 1,538 1,273 1,594 Later than five years 3,539 4,171 5,686 5,369 5,664 7,558 The Group as lessor Leases: In the Shopping Malls segment and Offices segment, the Group enters into operating lease agreements typical in the business. Given the diversity of properties and lessees, and the various economic and regulatory jurisdictions where the Group operates, the agreements may adopt different forms, such as fixed, variable, adjustable leases, etc. For example, operating lease agreements with lessees of Shopping Malls generally include escalation clauses and contingent payments. Income from leases are recorded in the Statement of Income and Other Comprehensive Income under rental and service income in all of the filed fiscal years. Rental properties are considered to be investment properties. Book value is included in Note 9. The future minimum proceeds under non-cancellable operating leases from Group’s shopping malls, offices and other buildings are as follows: 06.30.2023 06.30.2022 06.30.2021 No later than one year 12,101 5,840 14,222 Later than one year and not later than five years 12,024 15,233 28,489 Later than five years 578 2,746 8,011 24,703 23,819 50,722 |
Revenues
Revenues | 12 Months Ended |
Jun. 30, 2023 | |
Revenues | |
Revenues | 23. Revenues 06.30.2023 06.30.2022 06.30.2021 Base rent 25,506 21,617 16,186 Contingent rent 19,368 17,885 5,087 Admission rights 3,983 3,012 2,771 Parking fees 2,094 1,242 132 Commissions 1,184 891 559 Property management fees 457 499 542 Others 495 321 864 Averaging of scheduled rent escalation (6 ) (1,148 ) 2,449 Rentals and services income 53,081 44,319 28,590 Revenue from hotels operation and tourism services 14,961 9,266 3,256 Sale of trading properties 3,807 1,088 3,619 Total revenues from sales, rentals and services 71,849 54,673 35,465 Expenses and collective promotion fund 17,436 14,495 10,415 Total revenues from expenses and collective promotion funds 17,436 14,495 10,415 Total Group’s revenues 89,285 69,168 45,880 |
Expenses by nature
Expenses by nature | 12 Months Ended |
Jun. 30, 2023 | |
Expenses by nature | |
Expenses by nature | 24. Expenses by nature The Group disclosed expenses in the Consolidated Statement of Income and Other Comprehensive Income by function as part of the line items “Costs”, “General and administrative expenses” and “Selling expenses”. The following tables provide additional disclosure regarding expenses by nature and their relationship to the function within the Group as of June 30, 2023, 2022 and 2021: Costs General and administrative expenses Selling expenses 06.30.2023 Cost of sale of goods and services 2,014 - - 2,014 Salaries, social security costs and other personnel expenses 10,788 5,616 683 17,087 Depreciation and amortization 1,342 543 15 1,900 Fees and payments for services 532 1,818 938 3,288 Maintenance, security, cleaning, repairs and others 8,301 992 11 9,304 Advertising and other selling expenses 4,700 8 324 5,032 Taxes, rates and contributions 2,006 582 2,409 4,997 Director´s fees (Note 30) (*) - 9,070 - 9,070 Leases and service charges 560 180 13 753 Allowance for doubtful accounts, net - - 89 89 Other expenses 561 510 29 1,100 Total as of June 30, 2023 30,804 19,319 4,511 54,634 (*) This amount was approved by the Shareholders' Meeting dated on October 5, 2023. Costs General and administrative expenses Selling expenses 06.30.2022 Cost of sale of goods and services 1,313 - - 1,313 Salaries, social security costs and other personnel expenses 9,293 4,337 325 13,955 Depreciation and amortization 1,337 662 8 2,007 Fees and payments for services 543 1,454 1,089 3,086 Maintenance, security, cleaning, repairs and others 7,539 960 7 8,506 Advertising and other selling expenses 2,860 - 672 3,532 Taxes, rates and contributions 2,354 460 2,754 5,568 Director´s fees (Note 30) - 2,836 - 2,836 Leases and service charges 554 181 16 751 Allowance for doubtful accounts, net - - (68 ) (68 ) Other expenses 326 487 19 832 Total as of June 30, 2022 26,119 11,377 4,822 42,318 Costs General and administrative expenses Selling expenses 06.30.2021 Cost of sale of goods and services 3,534 - - 3,534 Salaries, social security costs and other personnel expenses 7,914 4,088 515 12,517 Depreciation and amortization 1,455 791 20 2,266 Fees and payments for services 448 807 1,043 2,298 Maintenance, security, cleaning, repairs and others 5,937 967 9 6,913 Advertising and other selling expenses 1,265 - 142 1,407 Taxes, rates and contributions 1,805 439 2,781 5,025 Director´s fees (Note 30) - 2,988 - 2,988 Leases and service charges 668 126 49 843 Allowance for doubtful accounts, net - - 685 685 Other expenses 178 461 23 662 Total as of June 30, 2021 23,204 10,667 5,267 39,138 |
Costs
Costs | 12 Months Ended |
Jun. 30, 2023 | |
Costs | |
Costs | 25. Costs 06.30.2023 06.30.2022 06.30.2021 Inventories at the beginning of the year (*) 7,241 6,470 62,949 Purchases and expenses 31,183 27,230 4,913 Currency translation adjustment 15 (340 ) (20,448 ) Transfers (432 ) - (1,082 ) Disposals (693 ) - - Deconsolidation - - (16,658 ) Inventories at the end of the year (*) (6,510 ) (7,241 ) (6,470 ) Total costs 30,804 26,119 23,204 The following table presents the composition of the Group’s inventories for the years ended June 30, 2023 and 2022: 06.30.2023 06.30.2022 Real estate 6,179 6,972 Others 331 269 Total inventories at the end of the year (*) 6,510 7,241 (*) Includes trading properties and inventories. |
Other operating results, net
Other operating results, net | 12 Months Ended |
Jun. 30, 2023 | |
Other operating results, net | |
Other operating results, net | 26. Other operating results, net 06.30.2023 06.30.2022 06.30.2021 Result from purchase / sale of subsidiary and associates - - 130 Realization of currency translation adjustment (*) 428 - - Donations (355 ) (323 ) (485 ) Lawsuits and other contingencies (7,452 ) (596 ) (309 ) Administration fees 107 80 35 Interest and allowances generated by operating credits 661 276 342 Loss from disposal of property, plant and equipment (684 ) - - Others 100 694 (17 ) Total other operating results, net (7,195 ) 131 (304 ) (*) Corresponds to the liquidation of Condor, Real Estate Investment Group VII LP and Jiwin S.A. |
Financial results, net
Financial results, net | 12 Months Ended |
Jun. 30, 2023 | |
Financial results, net | |
Financial results, net | 27. Financial results, net 06.30.2023 06.30.2022 06.30.2021 Finance income: - Interest income 825 998 1,274 - Dividend income - - 2 Total finance income 825 998 1,276 Finance costs: - Interest expenses (12,131 ) (17,873 ) (24,655 ) - Other finance costs (1,745 ) (1,945 ) (2,801 ) Subtotal finance costs (13,876 ) (19,818 ) (27,456 ) Capitalized finance costs - - 1,656 Total finance costs (13,876 ) (19,818 ) (25,800 ) Other financial results: - Fair value gain of financial assets and liabilities at fair value through profit or loss, net 7,407 3,134 18,799 - Exchange rate differences, net 6,762 31,056 24,818 - Gain / (loss) from repurchase of NCN 199 3,148 (336 ) - Gain / (loss) from derivative financial instruments, net 46 70 (1,597 ) - Other financial results (150 ) 949 (260 ) Total other financial results 14,264 38,357 41,424 - Inflation adjustment 14,323 6,012 (5,109 ) Total financial results, net 15,536 25,549 11,791 |
Earnings per share
Earnings per share | 12 Months Ended |
Jun. 30, 2023 | |
Profit / (loss) per share attributable to equity holders of the parent: (ii) | |
Earnings per share | 28. Earnings per share Below is a reconciliation between the weighted-average number of common shares outstanding and the diluted weighted-average number of common shares. June 30, 2023 June 30, 2022 June 30, 2021 Weighted - average outstanding shares 748 756 550 Adjustments for calculation of diluted earnings per share Treasury shares (11 ) (23 ) - Warrants 8 8 - Weighted - average diluted common shares 745 741 550 (a) Basic Basic earnings per share amounts are calculated in accordance with IAS 33 "Earning per share" by dividing the profit attributable to equity holders of the Group by the weighted average number of common shares outstanding during the year. June 30, 2023 June 30, 2022 June 30, 2021 Profit / (loss) for the year of continuing operations attributable to equity holders of the parent 60,243 74,487 (80,877 ) Loss for the year of discontinued operations attributable to equity holders of the parent - - (24,923 ) Profit / (loss) for the year attributable to equity holders of the parent 60,243 74,487 (105,800 ) Weighted average number of common shares outstanding 748 756 550 Basic earnings per share (i) 80.54 98.53 (192.36 ) (b) Diluted Diluted earnings per share amounts are calculated by adjusting the weighted average number of common shares outstanding to assume conversion of all dilutive potential shares. The Group holds treasury shares and, as of fiscal year 2021, warrants associated with incentive plans with potentially dilutive effect. June 30, 2023 June 30, 2022 June 30, 2021 Profit / (loss) for the year of continuing operations attributable to equity holders of the parent 60,243 74,487 (80,877 ) Loss for the year of discontinued operations attributable to equity holders of the parent - - (24,923 ) Profit / (loss) for the year per share attributable to equity holders of the parent 60,243 74,487 (105,800 ) Weighted average number of common shares outstanding 745 741 550 Diluted earnings per share 80.86 100.52 (192.36 ) (i) EPSs for 2022 and 2021 show the comparative impact in the capital increases, where there was no corresponding change in the entity’s resources. |
Employee benefits and share-bas
Employee benefits and share-based payments | 12 Months Ended |
Jun. 30, 2023 | |
Employee benefits and share-based payments | |
Employee benefits and share-based payments | 29. Employee benefits and share-based payments Incentive Plan The Group has an equity incentives plan (“Incentive Plan”), created on September 30, 2011, which is aimed at certain employees, directors and top management of the Company and Cresud (the “Participants”). Engagement was voluntary and by invitation of the Board of Directors. Under the Incentive Plan, over the years 2011, 2012 and 2013, Participants will be entitled to receive shares ("Contributions") of the Company and Cresud based on a percentage of their annual bonus for the years 2011, 2012 and 2013, providing they remain as employees of the Company for at least five years, among other conditions required, to qualify for such Contributions. Contributions shall be held by the Company and Cresud, and as the conditions established by the Plan are verified, such contributions shall be transferred to the Participants. In spite of this, the economic rights of the shares in the portfolio assigned to said participants will be received by them. Regarding the shares to be delivered by Cresud to the employees of the company, and for the shares to be delivered by IRSA to Cresud employees, the Group accounts the active or passive position measured at the closing date of the financial statements. For the fiscal years ended June 30, 2023 and 2021, the Group has incurred a charge related to the Incentive Plan of ARS 1.18 and ARS 2.31, respectively. Movements in the number of matching shares outstanding under the incentive plan corresponding to the Company’s contributions are as follows: 06.30.2023 06.30.2022 06.30.2021 At the beginning 2.0 2.1 2.4 Granted - (0.1 ) (0.3 ) At the end 2 2.0 2.1 The fair value determined at the time of granting the plan after obtaining all the corresponding authorizations was ARS 23.5 per share of IRSA. This fair value was estimated by taking into account the market price of the shares of the Company on said date. Defined contribution plan The Group operates a defined contribution plan (the “Plan”) which covers certain selected managers. The Plan was effective as from January 1, 2006. Participants can make pre-tax contributions to the Plan of up to 2.5% of their monthly salary (“Base Contributions”) and up to 15% of their annual bonus (“Extraordinary Contributions”). Under the Plan, the Group matches employee contributions to the plan at a rate of 200% for Base Contributions and 300% for Extraordinary Contributions. All contributions are invested in funds administered outside of the Group. Participants or their assignees, as the case may be, will have access to the 100% of the Company contributions under the following circumstances: (i) ordinary retirement in accordance with applicable labor regulations; (ii) total or permanent incapacity or disability; (iii) death. In case of resignation or termination without fair cause, the manager will receive the Group’s contribution only if he or she has participated in the Plan for at least 5 years. Contributions made by the Group under the Plan amount to ARS 346 and ARS 218 for the fiscal years ended June 30, 2023 and 2022, respectively. |
Related party transactions
Related party transactions | 12 Months Ended |
Jun. 30, 2023 | |
Related party transactions | |
Related party transactions | 30. Related party transactions In the normal course of business, the Group conducts transactions with different entities or parties related to it. Remunerations of the Board of Directors The Business Companies Act of Argentina (Law N° 19,550), provides that the remuneration to the Board of Directors, where it is not set forth in the Company’s by-laws, shall be fixed by the Shareholders' Meetings. The maximum amount of remuneration that the members of the Board are allowed to receive, including salary and other performance-based remuneration of permanent technical-administrative functions, may not exceed 25% of the profits. Such maximum amount is limited to 5% where no dividends are distributed to the Shareholders, and will be increased proportionately to the distribution, until reaching such cap where total profits are distributed, except that such remunerations were expressly agreed by the Shareholders' Meeting, for which purpose the matter must be included as one of the items on the agenda. Some of the Group's Directors are hired under the Employment Contract Law N° 20,744. This Act rules on certain conditions of the work relationship, including remuneration, salary protection, working hours, vacations, paid leaves, minimum age requirements, workmen protection and forms of suspension and contract termination. The remuneration of directors for each fiscal year is based on the provisions established by the Business Companies Act, taking into consideration whether such directors perform technical-administrative functions and depending upon the results recorded during the fiscal year. Once such amounts are determined, they should be approved by the Shareholders’ Meeting. Senior Management remuneration The members of the Group’s senior management are appointed and removed by the Board of Directors and perform functions in accordance with the instructions delivered by the Board itself. The Company’s Senior Management is composed of as follows: Name Date of Birth Position Current position since Eduardo S. Elsztain 01/26/1960 General Manager 1991 Arnaldo Jawerbaum 08/13/1966 Operating Manager 2022 Jorge Cruces 11/07/1966 Investment Manager 2020 Matías I. Gaivironsky 02/23/1976 Administrative and Financial Manager 2011 The total remuneration paid to members of senior management for their functions consists of a fixed salary that takes account of the manager's background capacity and experience, plus an annual bonus based on their individual performance and the Group's results. Members of senior management participate in defined contributions and share-based incentive plans that are described in Note 29. The aggregate compensation to the Senior Management for the year ended June 30, 2023 amounts to ARS 178. Corporate Service Agreement with Cresud Considering that IRSA and Cresud have operating overlapping areas, the Board of Directors considered it convenient to implement alternatives that allow reducing certain fixed costs of its activity, in order to reduce its impact on operating results, taking advantage of and optimizing the individual efficiencies of each of the companies in the different areas that make up the operational administration. For this purpose, on June 30, 2004, a Framework Agreement for the Exchange of Corporate Services (“Framework Agreement”) was signed, between IRSA, Cresud and IRSA CP. On December 22, 2021, were held the shareholders' meeting approving the merger by absorption of IRSA and IRSA CP, for which IRSA, in its capacity as absorbing company, is the successor of all the rights and obligations assumed by IRSA CP by the Framework Agreement. The last modification to the Framework Agreement was made on July 12, 2022. Under this Framework Agreement, corporate services are currently provided for different areas including: Corporate Human Resources, Administration and Finance, Planning, Institutional Relations, Compliance and others. Under this agreement, the companies entrusted to an external consultant the semi-annual review and evaluation of the criteria used in the process of apportionment of costs to be settled for corporate services, as well as the distribution bases and supporting documentation used in the aforementioned process, through the preparation of a semi-annual report. It should be noted that the operation under comment allows Cresud and IRSA to maintain absolute independence and confidentiality in their strategic and commercial decisions, being the allocation of costs and benefits made on the basis of operational efficiency and equity, without pursuing individual economic benefits for each of the companies. Offices and Shopping Malls spaces leases The offices of our President are located at 108 Bolivar, in the Autonomous City of Buenos Aires. The property has been rented to Isaac Elsztain e Hajes S.A., a company controlled by some family members of Eduardo Sergio Elsztain, our president, and to Hamonet S.A., a company controlled by Fernando A. Elsztain, one of our directors, and some of his family members. Furthermore, we also let various spaces in our shopping malls (stores, stands, storage space or advertising space) to third parties and related parties such as BHSA. Donations granted to Fundación IRSA and Fundación Museo de los Niños Fundación IRSA is a non-profit charity institution that seeks to support and generate initiatives concerning education, the promotion of corporate social responsibility and the entrepreneurial spirit of the youth. It carries out corporate volunteering programs and fosters donations by the employees. The main members of Fundación IRSA's Board of Directors are: Eduardo S. Elsztain (President); Saul Zang (Vice President I), Alejandro Elsztain (Vice President II) and Mariana C. de Elsztain (secretary). It funds its activities with the donations made by us and Cresud. Fundación Museo de los Niños is a non-profit association, created by the same founders of Fundación IRSA and its Management Board is formed by the same members as Fundación IRSA. Fundación Museo de los Niños acts as a special vehicle for the development of "Museo de los Niños, Abasto" and "Museo de los Niños, Rosario". On October 29, 1999, our shareholders approved the award of the agreement “Museo de los Niños, Abasto” to Fundación Museo de los Niños. On October 31, 1997, IRSA CP entered into an agreement with Fundación IRSA whereby it loaned 3,800 square meters of the area built in the Abasto Shopping mall for a total term of 30 years, and on November 29, 2005, shareholders of IRSA CP approved another agreement entered into with Fundación Museo de los Niños whereby 2,670.11 square meters built in the Alto Rosario shopping mall were loaned for a term of 30 years. Fundación IRSA has used the available area to house the museum called “Museo de los Niños, Abasto” an interactive learning center for kids and adults, which was opened to the public in April 1999. Legal Services The Group hires legal services from Estudio Zang, Bergel & Viñes, at which Saúl Zang was a founding partner and sits at the Board of Directors of the Group companies. Hotel services Our company and related parties sometimes rent from NFSA and Hoteles Argentinos S.A. hotel services and conference rooms for events. Purchase and sale of goods and/or service hiring In the normal course of its business and with the aim of making resources more efficient, in certain occasions purchases and/or hires services which later sells and/or recovers for companies or other related parties, based upon their actual utilization. Sale of advertising space in media Our company and our related parties frequently enter into agreements with third parties whereby we sell/acquire rights of use to advertise in media (TV, radio stations, newspapers, etc.) that will later be used in advertising campaigns. Normally, these spaces are sold and/or recovered to/from other companies or other related parties, based on their actual use. Purchase and sale of financial assets The Group usually invests excess cash in several instruments that may include those issued by related companies, acquired at issuance or from unrelated third parties through secondary market deals. Investment in investment funds managed by BACS The Group invests part of its liquid funds in mutual funds managed by BACS among other entities. Borrowings In the normal course of its activities, the Group enters into diverse loan agreements or credit facilities between the group’s companies and/or other related parties. These borrowings generally accrue interests at market rates. Financial and service operations with BHSA The Group works with several financial entities in the Argentine market for operations including, but not limited to, credit, investment, purchase and sale of securities and financial derivatives. Such entities include BHSA and its subsidiaries. BHSA and BACS usually act as underwriters in Capital Market transactions. In addition, we have entered into agreements with BHSA, who provides collection services for our shopping malls. The following is a summary presentation of the balances with related parties as of June 30, 2023 and 2022: Item 06.30.2023 06.30.2022 Trade and other receivables 7,809 9,447 Investments in financial assets 1,722 6,110 Borrowings (308 ) (358 ) Trade and other payables (8,768 ) (2,402 ) Total 455 12,797 Related party 06.30.2023 06.30.2022 Description of transaction Item New Lipstick LLC 62 65 Reimbursement of expenses receivable Trade and other receivable Comparaencasa Ltd. 559 589 Other investments Investments in financial assets - (88 ) Others Trade and other payables Galerias Pacifico 1,570 1,516 Others Trade and other receivable La Rural S.A. 796 530 Loans granted Trade and other receivable - 440 Dividends Trade and other receivable (137 ) (11 ) Others Trade and other payables 2 9 Others Trade and other receivable Other associates and joint ventures 1 2 Reimbursement of expenses receivable Trade and other receivable (86 ) (132 ) Loans obtained Borrowings 12 14 Leases and/or rights of use receivable Trade and other receivable 45 - Irrevocable contributions pending subscription Trade and other receivable 27 41 Management Fee Trade and other receivable (134 ) (135 ) NCN Borrowings (70 ) (91 ) Others Trade and other payables 18 108 Others Trade and other receivable 1 2 Share based payments Trade and other payables Total associates and joint ventures 2,666 2,859 Cresud - 11 Reimbursement of expenses receivable Trade and other receivable (784 ) (897 ) Corporate services receivable Trade and other payables 427 5,521 NCN Investment in financial assets (252 ) (442 ) Others Trade and other payables (3 ) (6 ) Share based payments Trade and other payables Total parent company (612 ) 4,187 Futuros y Opciones S.A. 1 4 Others Trade and other receivable Helmir S.A. (88 ) (91 ) NCN Borrowings Total subsidiaries of parent company (87 ) (87 ) Directors (7,388 ) (785 ) Fees for services received Trade and other payables - 1,300 Advances Trade and other receivable Rundel Global LTD 736 - Other investments Investments in financial assets Yad Levim LTD 4,739 4,762 Loans granted Trade and other receivable Others (1) (9 ) (28 ) Leases and/or rights of use receivable Trade and other payables 511 591 Others Trade and other receivable (126 ) (30 ) Others Trade and other payables - (26 ) Management Fee Trade and other payables 25 54 Reimbursement of expenses receivable Trade and other receivable Total directors and others (1,512 ) 5,838 Total at the end of the year 455 12,797 (1) Includes CAMSA, Estudio Zang, Bergel y Viñes, Fundación Puerta 18, Sociedad Rural Argentina, CAM Communication LP, Sutton and Fundación Museo de los Niños. The following is a summary of the results with related parties for the years ended June 30, 2023, 2022 and 2021: Related party 06.30.2023 06.30.2022 06.30.2021 Description of transaction BACS - 125 276 Financial operations Metropolitan (1) - 67 54 Financial operations BHN Vida S.A (3 ) 54 54 Leases and/or rights of use BHN Seguros Generales S.A. (1 ) 52 22 Leases and/or rights of use Lipstick Management LLC - 43 30 Financial operations Comparaencasa Ltd. 75 414 - Financial operations La Rural S.A. - - (54 ) Leases and/or rights of use Condor 4 58 901 Financial operations Otras asociadas y negocios conjuntos 70 293 41 Financial operations (63 ) (30 ) (28 ) Leases and/or rights of use 92 67 - Corporate services Total associates and joint ventures 174 1,143 1,296 Cresud 103 132 127 Leases and/or rights of use (2,846 ) (2,455 ) (2,520 ) Corporate services 3,975 (54 ) 1,164 Financial operations Total parent company 1,232 (2,377 ) (1,229 ) Helmir (25 ) 2 338 Financial operations Total subsidiaries of parent company (25 ) 2 338 Directors (9,070 ) (2,836 ) (2,988 ) Fees and remunerations Senior Management (178 ) (166 ) (155 ) Fees and remunerations Rundel Globa LTD 132 - - Financial operations Yad Leviim LTD 215 244 - Financial operations Others (2) 15 13 - Corporate services (18 ) 22 (56 ) Leases and/or rights of use (23 ) 37 (6 ) Financial operations (150 ) (136 ) (188 ) Donations (215 ) (32 ) - Fees and remuneration (100 ) (106 ) (106 ) Legal services Total others 9,392 (2,960 ) (3,499 ) Total at the end of the year 8,011 ) (4,192 ) (3,094 ) (1) On January 31, 2022 Metropolitan 885 3rd Av, LLC was liquidated. (2) It includes CAMSA, Fundación Puerta 18, Galerías Pacífico, Estudio Zang, Bergel & Viñes, Austral Gold, Fundación Museo de los Niños, Sociedad Rural Argentina, Sutton, Espacio Digital S.A. and Casposo Argentina Ltd. The following is a summary of the transactions with related parties for the years ended June 30, 2023 and 2022: Related party 06.30.2023 06.30.2022 Description of the operation Quality (55 ) (88 ) Capital contributions Condor - (1,865 ) Exchange of shares Comparaencasa - (278 ) Capital contributions Total capital contributions (55 ) (2,231 ) Cresud (18,797 ) - Dividend distributed Helmir (948 ) - Dividend distributed Total other transactions (19,745 ) - Condor 103 7,731 Dividends received Nuevo Puerto Santa Fe 216 - Dividends received Total other transactions 319 7,731 |
CNV General Resolution N 622
CNV General Resolution N 622 | 12 Months Ended |
Jun. 30, 2023 | |
CNV General Resolution N 622 | |
CNV General Resolution N? 622 | 31. CNV General Resolution N° 622 As required by Section 1°, Chapter III, Title IV of CNV General Resolution N° 622, below there is a detail of the notes to the Consolidated Financial Statements that disclose the information required by the Resolution in Exhibits. Exhibit A - Property, plant and equipment Note 9 Investment properties and Note 10 Property, plant and equipment Exhibit B - Intangible assets Note 12 Intangible assets Exhibit C - Investment in associates Note 8 Investments in associates and joint ventures Exhibit D - Other investments Note 14 Financial instruments by category Exhibit E - Provisions and allowances Note 15 Trade and other receivables and Note 19 Provisions Exhibit F - Cost of sales and services provided Note 25 Costs Exhibit G - Foreign currency assets and liabilities Note 32 Foreign currency assets and liabilities |
Foreign currency assets and lia
Foreign currency assets and liabilities | 12 Months Ended |
Jun. 30, 2023 | |
Foreign currency assets and liabilities | |
Foreign currency assets and liabilities | 32. Foreign currency assets and liabilities Book amounts of foreign currency assets and liabilities are as follows: Item / Currency (3) Amount (1) Peso exchange rate (2) 06.30.2023 06.30.2022 Assets Trade and other receivables US Dollar 25.58 256.30 6,557 7,358 Euros 0.08 279.42 23 24 Receivables with related parties: US Dollar 20.31 256.70 5,214 4,881 Total trade and other receivables 11,794 12,263 Investments in financial assets US Dollar 71.46 256.30 18,314 3,714 Pounds 0.73 326.75 237 211 New Israel Shekel 5.04 69.20 349 1,237 Investments with related parties: US Dollar 5.87 256.70 1,506 6,174 Total investments in financial assets 20,406 11,336 Cash and cash equivalents US Dollar 17.01 256.30 4,359 19,885 Euros 0.01 279.42 2 2 New Israel Shekel 0.38 69.20 26 - Total cash and cash equivalents 4,387 19,887 Total Assets 36,587 43,486 Liabilities Trade and other payables US Dollar 16.34 256.70 4,194 2,313 Euros - 280.50 - 2 Uruguayan pesos 1.31 6.87 9 - Payables to related parties: US Dollar 0.05 256.70 12 129 Total Trade and other payables 4,215 2,444 Borrowings US Dollar 338.09 256.70 86,787 134,744 Borrowings with related parties US Dollar 1.13 256.70 291 300 Total Borrowings 87,078 135,044 Derivative financial instruments US Dollar 0.02 256.70 6 34 Total derivative financial instruments 6 34 Lease liabilities US Dollar 11.34 256.70 2,910 2,404 Total lease liabilities 2,910 2,404 Provisions New Israel Shekel 80.00 69.20 5,536 - Total Provisions 5,536 - Total Liabilities 99,745 139,926 (1) Stated in millions of units in foreign currency. Considering foreign currencies those that differ from each Group’s functional currency at each year-end. (2) Exchange rate as of June 30, 2023, according to Banco Nación Argentina records. (3) The Group uses derivative instruments as a complement in order to reduce its exposure to exchange rate movements (see Note 14). |
Results from discontinued opera
Results from discontinued operations | 12 Months Ended |
Jun. 30, 2023 | |
Results from discontinued operations | |
Results from discontinued operations | 33. Results from discontinued operations The results of discontinued operations include the operations of IDBD / DIC which were deconsolidated in previous years (see Note 4.G to the Consolidated Financial Statements as of June 30, 2021) and the results of the comparative fiscal years have been reclassified. 06.30.2023 06.30.2022 06.30.2021 Revenues - - 133,783 Costs - - (108,552 ) Gross profit - - 25,231 Net loss from fair value adjustment of investment properties - - (98 ) General and administrative expenses - - (15,399 ) Selling expenses - - (14,669 ) Other operating results, net - - 5,006 Profit from operations - - 71 Share of profit of associates and joint ventures - - 2,542 Profit before financial results and income tax - - 2,613 Finance income - - 1,858 Finance cost - - (24,395 ) Other financial results - - 1,613 Financial results, net - - (20,924 ) Loss before income tax - - (18,311 ) Income tax - - 978 Loss from operations that are discontinued - - (17,333 ) Loss for loss of control - - (14,212 ) Loss from discontinued operations - - (31,545 ) Loss for the year from discontinued operations attributable to: Equity holders of the parent - - (24,923 ) Non-controlling interest - - (6,622 ) Loss per share from discontinued operations attributable to equity holders of the parent: Basic - - (45.31 ) Diluted - - (45.31 ) |
Other relevant events of the ye
Other relevant events of the year | 12 Months Ended |
Jun. 30, 2023 | |
Other relevant events of the year | |
Other relevant events of the year | 34. Other relevant events of the year Ordinary and Extraordinary Shareholders' Meeting - IRSA On October 28, 2022, the Ordinary and Extraordinary Shareholders’ Meeting resolved: - The distribution of a dividend to shareholders for up to ARS 4,340 million, payable in cash and/or in kind. On October 31, 2022, the Board of Directors established the payment thereof in cash. - The creation of a new incentive plan for employees, management and directors to join without a share premium for up to 1.16% of the Share Capital. On November 8, 2022, the Company distributed among its shareholders a cash dividend of ARS 4,340 million, equivalent to 541.4380% of the Share Capital, an amount of ARS 5.41438 per share and an amount of ARS 54.1438 per ADR (Argentine Pesos per ADR). The amounts are expressed in the closing currency as of June 30, 2022 as approved by the Ordinary and Extraordinary Shareholders' Meeting. Change in Warrants terms and conditions Because of the payment of cash dividends made on November 8, 2022, certain terms and conditions of the outstanding warrants to subscribe common shares have changed: · Number of shares to be issued per warrant: Pre-dividend ratio: 1. Post-dividend ratio: 1.0442. · Exercise price per new share to be issued: Pre-dividend price: USD 0.432. Post-dividend price: USD 0.414. The other terms and conditions of the warrants remain the same. Warrants exercise During the year ended June 30, 2023, certain warrant holders exercised their right to purchase additional shares. For this reason, USD 106,246 were received, for converted warrants of 245,821 to common shares. Amounts in USD are expressed in integers. Ordinary and Extraordinary Shareholders' Meeting - IRSA On April 27, 2023, the Ordinary and Extraordinary Shareholders’ Meeting resolved: - Capital Stock increased from ARS 811 million to the sum of ARS 7,364 million, through the partial capitalization of the share premium and the resulting issuance of 6,553 will be distributed to the shareholders according to their equity interest. - Change of the par value of the shares from ARS 1 to ARS 10. - Distribution of a cash dividend for ARS 21,900 million, in proportion to the shareholders’ equity interest. On May 5, 2023, the Company distributed among its shareholders the cash dividend in an amount of ARS 21,900 million equivalent to 2,731.3451% of the stock capital, an amount per share of ARS 27.3135 and an amount per ADR of ARS 273.1345 (Argentine Pesos per ADR). The amounts are expressed in currency as approved by the Ordinary and Extraordinary Shareholders' Meeting. Change in Warrants terms and conditions Because of the payment of cash dividends made on May 5, 2023, certain terms and conditions of the outstanding warrants to subscribe common shares have changed: · Number of shares to be issued per warrant: Pre-dividend ratio: 1.0442. Post-dividend ratio: 1.1719. · Exercise price per new share to be issued: Pre-dividend price: USD 0.414. Post-dividend price: USD 0.3689. The other terms and conditions of the warrants remain the same. |
Economic context in which the G
Economic context in which the Group operates | 12 Months Ended |
Jun. 30, 2023 | |
Economic context in which the Group operates | |
Economic context in which the Group operates | 35. Economic context in which the Group operates The Company operates in a complex economic context, whose main variables have, and are expected to continue to show, strong volatility at the national level. The year 2023 is being complex for the Argentine economy. It began with a historic drought that implied a drop in exportable agricultural production and, consequently, a loss of foreign exchange income of around USD 20,000 million. This had an impact on the diminished reserves of the Central Bank and on tax revenues. The combination of both exacerbated macroeconomic imbalances and led to the goals agreed upon in the Extended Facilities Agreement with the International Monetary Fund (IMF) not being met during the first half of the year, forcing a renegotiation. Although an agreement was reached that would make it possible to carry out the planned disbursements, it generated greater volatility in the exchange and financial markets, with its corresponding impact on inflation. Additionally, the lack of foreign currency generated a hardening of the conditions to access them and for the payment of goods and services from abroad. Likewise, 2023 is an electoral year and it is likely that volatility and uncertainty rise in the second half. The main indicators in our country are: · Gross Domestic Product (GDP) drop in 2023 after two years of post-pandemic recovery. · Accumulated inflation as of August 2023 reached 80.2%. Year-on-year inflation in July reached 124.4%, a triple-digit level that is expected to be sustained for the remainder of the year (CPI). · Between January 1 and August 31, 2023, the peso depreciated 97.8% against the US dollar, according to the exchange rate of Banco de la Nación Argentina. · The monetary authority imposed greater exchange restrictions, which also affect the value of foreign currency in existing alternative markets for certain restricted exchange transactions in the official market. These measures aimed at restricting access to the exchange market in order to contain the demand for dollars imply the request for prior authorization from the Central Bank for certain transactions, the following being applicable to the Company: - The payment of import of services to related companies abroad - The formation of external assets and operations with derivatives - The payment of capital and interest of foreign financial indebtedness with related counterparties Additionally, the exchange regime already determined as mandatory the entry and settlement in national currency of the funds obtained as a result of the following operations and concepts: - Exports of goods - Service export charges - Collections of pre-financing, advances and post-financing for the export of goods - Disposal of non-produced non-financial assets - Foreign financial debts, in the event that the counterparty is a third party and the principal and interest are to be paid through the exchange market. Likewise, the exchange authority requires the presentation of a series of affidavits to access the exchange market; among which it undertakes not to operate with securities since in case of doing so, it would generate a period of inhibition to access the exchange market. These exchange restrictions, or those issued in the future, could affect the Company's ability to access the Official Exchange Market (MULC) to acquire the necessary currencies to meet its financial obligations. Assets and liabilities in foreign currency as of June 30, 2023 have been valued considering the current prices in the MULC. The aforementioned exchange restrictions have not prevented the Company from complying with its financial obligations, both for the payment of interest and for the successful refinancing of its debt. The Company has been reducing its debt since 2020, lowering the cost of financing and diversifying its exposure by currency. To date, it has a conservative capital structure in terms of its cash flow and consolidated assets, and it is not expected that its ability to meet the financial commitments of the next twelve months may be affected. The context of volatility and uncertainty continues as of the date of issuance of these Consolidated Financial Statements. The Company's Management permanently monitors the evolution of the variables that affect its business, to define its course of action and identify the potential impacts on its patrimonial and financial situation. The Company's Consolidated Financial Statements must be read in light of these circumstances. |
Subsequent events
Subsequent events | 12 Months Ended |
Jun. 30, 2023 | |
Subsequent events | |
34. Subsequent events | 36. Subsequent events “261 Della Paolera” floor sale On August 9, 2023, IRSA signed the deed for the sale of the 9th floor with a total of 1,142 square meters, 10 parking spaces, and 2 complementary units of the same building. The transaction price was set at USD 12.2 million, which had already been paid. After this operation, IRSA retains ownership of 6 floors with an approximate rental area of 7,332 m2 in addition to parking spaces and other complementary spaces. On October 5, 2023, IRSA signed the deed for the sale of two floors for a total of 2,213 square meters, 18 parking spaces, and 6 complementary units of the same building. The transaction price was set at ARS 12,674.6 million, which had already been paid. “Maple Building" sale On July 24, 2023, IRSA signed the deed for the sale of all the functional and complementary units of the “Maple Building” located at 664 Suipacha Street in the Autonomous City of Buenos Aires. The price of the operation was USD 6.75 million, of which USD 3 million has been collected in cash, USD 750,000 through the delivery of 3 functional units in a building owned by the buyer at Avenida Córdoba 633 in the Autonomous City of Buenos Aires, with a bailment agreement for 30 months and the remaining balance of USD 3 million will be paid as follows: - USD 2.5 million in 10 semiannual, equal and consecutive installments of USD 250,000, the first due 24 months from the signing of the deed, with an annual interest of 5%; - USD 500,000 through the provision of services by the buyer. Repurchase of Own Shares On August 7, 2023, the Company reported that as of August 4, 2023, the Company proceeded with the repurchase of common shares, and a total of 4,608,962 common shares were repurchased, representing approximately 37.92% of the approved program. Sale of Quality Investment S.A. On August 31, 2023, IRSA sold and transferred 100% of its participation in Quality Invest S.A. representing of 50% of the share capital. The amount of the transaction amounted to USD 22.9 million, of which USD 21.5 million has been collected together with the transfer of the shares and the balance of USD 1.4 million will be collected after 3 years, accruing an interest of 7% per year. General Ordinary Shareholders’ Meeting - IRSA On September 5, 2023, we informed that our Board of Directors has resolved to call a General Ordinary and Extraordinary Shareholders’ Meeting to be held on October 5, 2023, to address, among other topics, the following: - -Allocation of net income for the fiscal year ended June 30, 2023 for ARS 57,350.9 million, as follows: (i) to the legal reserve for ARS 2,867.5 million, in accordance with the laws in force; (ii) the balance of ARS 54,483.3 million to the distribution of a dividend to the shareholders in proportion to their shareholding interests for up to ARS 64,000 million payable in cash and/or in kind, to which effect it is proposed to reverse the reserve for distribution of future dividends for up to ARS 8,984.9 million and the special reserve for up to ARS 531.8 million to complete the proposed dividend distribution amount. - Consideration of the distribution of up to 13,928,410 own shares to the shareholders in proportion to their holdings pursuant to the provisions of section 67 of Law No. 26,831. - Consideration of approval of extension of Global Note Program for the issuance of simple, non-convertible, unconditional notes, secured or unsecured, to be paid in cash and/or in kind for a maximum outstanding amount of up to USD 750 million or its equivalent in other currencies or value units, as approved by the shareholders’ meeting dated March 20, 2019 (the “Program”) for a term of five years or such longer term as permitted by the applicable laws. - Consideration of (i) delegation to the board of directors of the broadest powers to implement the extension of the Program and to determine all the Program’s terms and conditions not expressly approved by the shareholders’ meeting as well as the time, the increase or decrease of the amount, term, placement method and further terms and conditions of the various series and/or tranches of notes issued thereunder; (ii) authorization for the board of directors to (a) approve, execute, grant and/or deliver any agreement, contract, document, instrument and/or security related to the extension of the Program and/or the implementation of the increase or decrease of its amount and/or the issuance of the various series and/or tranches of notes thereunder; (b) apply for and secure authorization by the Argentine Securities Commission to carry out the public offering of such notes; (c) as applicable, apply for and secure before any authorized securities market of Argentina and/or abroad the authorization for listing and trading such notes; and (d) carry out any proceedings, actions, filings and/or applications related to the extension of the Program and/or the increase and/or decrease of its amount and/or the issuance of the various series and/or tranches of notes under the Program; and (iii) authorization for the board of directors to sub-delegate the powers and authorizations referred to in items (i) and (ii) above to one or more of its members. On October 5, 2023, the General Ordinary and Extraordinary Shareholders’ Meeting approved the topics addressed by the Board of directors. Share repurchase program. Modification of Maximum Price On September 5, 2023, we inform that our Board of Directors, by virtue of the powers granted at the meeting of the Board held on June 15, 2023, in connection with the creation of the share repurchase program for up to ARS 5,000,000,000 (five billion pesos) pursuant to the terms of Section 64 of Law 26,831 and the Rules of the CNV, had resolved to modify the acquisition price of the Company’s own shares establishing a maximum value of USD 9.0 (nine U.S. dollars) per GDS and up to a maximum value in Pesos of ARS 720 (seven hundred and twenty pesos) per share, maintaining the remaining terms and conditions duly communicated. Change in the total amount of shares and its nominal value On September 13, 2023, we announced that our shareholders’ meeting held on April 27, 2023, approved: (i) an increase in the capital stock in the amount of ARS 6,552.4 million, through the partial capitalization of the Issue Premium account, resulting in the issuance of 6,552,405,000 common shares, with a par value of ARS 1 (one peso) and with the right to one vote per share; and (ii) changing the nominal value of the ordinary shares from ARS 1 to ARS 10 each and entitled to one (1) vote per share. Having obtained the authorizations from the Comisión Nacional de Valores (the Argentine National Securities Commission) and from the Buenos Aires Stock Exchange, the Company informs all shareholders who have such quality as of September 19, 2023, according to the registry maintained by Caja de Valores S.A., that from September 20, 2023, the shares distribution and the change in nominal value was made simultaneously and the entry of the change of 811,137,457 book-entry common shares, with a nominal value of ARS 1 each and one vote per share, for the amount of 736,354,245 book-entry common shares with a nominal value of ARS 10 each and one vote per share, consequently, a reverse split of the Company’s shares shall be carried out, where every 1 (one) old share with nominal value of ARS 1 shall be exchanged for 0.907804514 new shares with nominal value ARS 10. The new shares distributed due to the described capitalization have economic rights under equal conditions with those that are currently in circulation. Also, regarding the GDS holders, we instruct the GDS Depositary to process the reverse split, at the same rate as mentioned above for the ADR program, effective October 3, 2023. Regarding the shareholders who, because of the entry in the Scriptural Registry, have fractions of common shares with a nominal value of ARS 10 and one vote per share, they were settled in cash in accordance with the listing regulations of Bolsas y Mercados Argentinos. Regarding the shareholders who, due to the exchange of shares did not reach at least one share with a nominal value of ARS 10, the necessary amount was be assigned to them until the nominal value of ARS 10 is completed. The Company share capital after de indicated operations will amount to ARS 7,364 million represented by 736,354,245 book-entry common shares with a nominal value of ARS 10 each and one vote per share. Likewise, the Buenos Aires Stock Exchange has been requested to change the modality of the negotiation of the shares representing the share capital. Specifically, the negotiation price will be registered per share instead of being negotiated by Argentine peso (ARS) of nominal value, given that the change in nominal value, and the issuance of shares resulting from the capitalization, would produce a substantial downward effect on the share price. This capitalization and change in the nominal value of the shares do not modify the economic values of the holdings or the percentage of participation in the share capital. Warrants – Modification on Ratio and Price On September 14, 2023, we reported that as a result of (i) an increase in the capital stock through the partial capitalization of the Issue Premium account; and (ii) an amendment to section seven of its bylaws, changing the nominal value of the ordinary shares from one peso (ARS 1) to ten pesos (ARS 10) each and entitled to one (1) vote per share, which was informed in September 13, 2023, where the outstanding shares will change from 811,137,457 common shares, with a nominal value of ARS 1 each and one vote per share, to the amount of 736,354,245 common shares with a nominal value of ARS 10 each and one vote per share, as it was approved by the shareholders meeting held on April 27, 2023. The terms and conditions of the outstanding warrants for common shares of the Company have been modified as follows: Amount of shares to be issued per warrant: · Ratio previous to the adjustment: 1.1719 (Nominal Value ARS 1); · Ratio after the adjustment (current): 1.0639 (Nominal Value ARS 10). Warrant exercise price per new share to be issued: · Price previous to the adjustment: USD 0.3689 (Nominal Value ARS 1); · Price after the adjustment (current): USD 0.4063 (Nominal Value ARS 10). The other terms and conditions of the warrants remain the same. Exercise of Warrants On September 29, 2023, we informed that between September 17 and 25, 2023, certain warrants holders have exercised their right to acquire additional shares. Therefore, a total of 63,039 ordinary shares of the Company will be registered, with a face value of ARS 10. As a result of the exercise, USD 27,247 were collected by the Company. Amounts in USD are expressed in integers. After the exercise of these warrants, the number of shares of the Company increased from 736,354,245 to 736,421,306 with a face value of ARS 10, the stock capital increases from 7,363,542,450 to 7,364,213,060, and the new number of outstanding warrants decreased from 79,709,301 to 79,646,262. |
Summary of significant accoun_2
Summary of significant accounting policies (Policies) | 12 Months Ended |
Jun. 30, 2023 | |
Basis of preparation of the Consolidated Financial Statement | (a) Basis of preparation These Consolidated Financial Statements have been prepared in accordance with IFRS issued by IASB and interpretations issued by the IFRIC. All IFRS applicable as of the date of these Consolidated Financial Statements have been applied. IAS 29 "Financial Reporting in Hyperinflationary Economies" requires that the financial statements of an entity whose functional currency is one of a hyperinflationary economy be expressed in terms of the current unit of measurement at the closing date of the reporting fiscal year, regardless of whether they are based on the historical cost method or the current cost method. To do so, in general terms, the inflation produced from the date of acquisition or from the revaluation date, as applicable, must be calculated in the non-monetary items. This requirement also includes the comparative information of the financial statements. In order to conclude on whether an economy is categorized as hyper-inflationary in the terms of IAS 29, the standard details a series of factors to be considered, including the existence of an accumulated inflation rate in three years that is approximate or exceeds 100%. Accumulated inflation in Argentina in the last three years is over 100%. It is for this reason that, in accordance with IAS 29, Argentina must be considered a country with high inflation economy starting July 1, 2018. In addition, Law No. 27,468 (published in the Official Gazette on December 4, 2018), amended Section 10 of Law No. 23,928, as amended, and established that the derogation of all the laws or regulations imposing or authorizing price indexation, monetary restatement, cost variation or any other method for strengthening debts, taxes, prices or rates of goods, works or services, does not extend to financial statements, as to which the provisions of Section 62 of the General Companies Law No. 19,550 (1984 revision), as amended, shall continue to apply. Moreover, the referred law repealed Decree No. 1269/2002 dated July 16, 2002, as amended, and delegated to the Argentine Executive Branch the power to establish, through its controlling agencies, the effective date of the referred provisions in connection with the financial statements filed with it. Therefore, under General Resolution 777/2018 (published in the Official Gazette on December 28, 2018) the Argentine Securities Commission (CNV) ordered that issuers subject to its supervision shall apply the inflation adjustment to reflect the financial statements in terms of the measuring unit current at the end of the reporting period set forth in IAS 29 in their annual, interim and special financial statements closed on or after December 31, 2018. Thus, these Consolidated Financial Statements have been reported in terms of the measuring unit current as of June 30, 2023 according to IAS 29. Pursuant to IAS 29, the Financial Statements of an entity whose functional currency is that of a high inflationary economy should be reported in terms of the measuring unit current as of the date of the Financial Statements. All the amounts included in the Consolidated Statement of Financial Position which are not stated in terms of the measuring unit current as of the date of the Financial Statements should be restated applying the general price index. All items in the Consolidated Statement of Income and Other Comprehensive Income should be stated in terms of the measuring unit current as of the date of the Financial Statements, applying the changes in the general price index occurred from the date on which the revenues and expenses were originally recognized in the Financial Statements. Adjustment for inflation in the initial balances has been calculated considering the indexes reported by the FACPCE based on the price indexes published by the Argentine Institute of Statistics and Census (INDEC). The principal inflation adjustment procedures are the following: - Monetary assets and liabilities that are already recorded at the measuring unit of the balance sheet closing date are not restated because they are already stated in terms of the measuring unit current as of the date of the financial statements. - Non-monetary assets, and liabilities recorded at cost as of the balance sheet date and equity component are restated by applying the relevant adjustment coefficients. - All items in the Consolidated Statement of Income and Other Comprehensive Income are restated applying the relevant conversion factors. - The effect of inflation on the Group’s net monetary position is included in the Consolidated Statement of Income and Other Comprehensive Income under Financial results, net, in the item “Inflation adjustment”. - Comparative figures have been adjusted for inflation following the procedure explained in the previous paragraphs. Upon initially applying inflation adjustment, the equity accounts were restated as follows: - Capital was restated as from the date of subscription or the date of the most recent inflation adjustment for accounting purposes, whichever is later. The resulting amount was included in the “Comprehensive Inflation adjustment of share capital and treasury shares adjustment” account. - Translation difference was restated in current terms. - Other comprehensive income / (loss) was restated as from each accounting allocation. - The other reserves in the Consolidated Statement of Income and Other Comprehensive Income were restated from the initial application. The inflation index to be used and in accordance with the FACPCE Resolution No. 539/18, it will be determined based on the Wholesale Price Index (IPIM) until 2016, considering for the months of November and December 2015 the average variation of Consumer Price index (CPI) of the Autonomous City of Buenos Aires, because during those two months there were no national IPIM measurements. Since January 2017, the National Consumer Price Index (National CPI) will be considered. The table below show the evolution of these indexes in the last two fiscal years and as of June 30, 2023 according to official statistics (INDEC) following the guidelines described in Resolution 539/18. Annual price variation June 30, 2021 June 30, 2022 June 30, 2023 Cumulative as of June 30, 2023 (3 years) 50% 64% 116% 431% As a consequence of the aforementioned, these Consolidated Financial Statements as of June 30, 2023 were restated in accordance with IAS 29. (b) Current and non-current classification The Group presents current and non-current assets, and current and non-current liabilities, as separate classifications in its Consolidated Statement of Financial Position according to the operating cycle of each activity. Current assets and current liabilities include the assets and liabilities that are either realized or settled within 12 months from the end of the fiscal year. All other assets and liabilities are classified as non-current. Current and deferred tax assets and liabilities (income tax liabilities) are presented separately from each other and from other assets and liabilities, classified as current and non-current, respectively. (c) Presentation currency The Consolidated Financial Statements are presented in millions of Argentine Pesos. Unless otherwise stated or the context otherwise requires, references to “Peso amounts” or “ARS”, are millions of Argentine Pesos, references to “USD” or “US Dollars” are millions of US Dollars and references to "NIS" are millions of New Israeli Shekel. (d) Fiscal year-end The fiscal year begins on July 1st and ends on June 30 of each year. (e) Accounting criteria See Notes 2.2 to 2.25 with the accounting policies of each item. (f) Reporting cash flows The Group reports operating activities cash flows using the indirect method. Interest paid is presented within financing activities. Interest received for financing of operating activities is presented within operating activities whereas the rest is presented within investing activities. The acquisitions and disposals of investment properties are disclosed within investing activities as this most appropriately reflects the Group’s business activities. Cash flows in respect to trading properties are disclosed within operating activities because these items are sold in the ordinary course of business. (g) Use of estimates The preparation of Financial Statements at a certain date requires the Management to make estimations and evaluations affecting the amount of assets and liabilities recorded and contingent assets and liabilities disclosed at such date, as well as income and expenses recorded during the year. Actual results might differ from the estimates and evaluations made at the date of preparation of these Consolidated Financial Statements. The most significant judgments made by Management in applying the Group’s accounting policies and the major estimations and significant judgments are described in Note 3. |
New accounting standards and amendments | The following standards and amendments have been issued by the IASB. Below we outline the standards and amendments that may potentially have an impact on the Group at the time of application. Standards and amendments adopted by the Group Standards and amendment Description Date of mandatory adoption for the Group in the year ended on Covid-19 - related Rent Concessions - Amendments to IFRS 16. As a result of the COVID-19 pandemic, rent concessions have been granted to lessees. Such concessions might take a variety of forms, including payment holidays and deferral of lease payments. In May 2020, the IASB made an amendment to IFRS 16 Leases which provides lessees with an option to treat qualifying rent concessions in the same way as they would if they were not lease modifications. In many cases, this will result in accounting for the concessions as variable lease payments in the period in which they are granted. Entities applying the practical expedients must disclose this fact, whether the expedient has been applied to all qualifying rent concessions or, if not, information about the nature of the contracts to which it has been applied, as well as the amount recognized in profit or loss arising from the rent concessions. 06-30- 2021 Property, plant and equipment: Proceeds before intended use - Amendments to IAS 16. The amendment to IAS 16 Property, Plant and Equipment (PP&E) prohibits an entity from deducting from the cost of an item of PP&E any proceeds received from selling items produced while the entity is preparing the asset for its intended use. It also clarifies that an entity is ‘testing whether the asset is functioning properly’ when it assesses the technical and physical performance of the asset. The financial performance of the asset is not relevant to this assessment. 06-30-2023 Reference to the Conceptual Framework – Amendments to IFRS 3 Minor amendments were made to IFRS 3 Business Combinations to update the references to the Conceptual Framework for Financial Reporting and add an exception for the recognition of liabilities and contingent liabilities within the scope of IAS 37 Provisions, Contingent Liabilities and Contingent Assets and Interpretation 21 Levies. The amendments also confirm that contingent assets should not be recognized at the acquisition date. 06-30-2023 Amendment to IAS 37. The amendment to IAS 37 clarifies that the direct costs of fulfilling a contract include both the incremental costs of fulfilling the contract and an allocation of other costs directly related to fulfilling contracts. Before recognizing a separate provision for an onerous contract, the entity recognizes any impairment loss that has occurred on assets used in fulfilling the contract. 06-30-2023 Annual Improvements to IFRS Standards 2018-2020 The following improvements were finalized in May 2020: 06-30-2023 · IFRS 9 Financial Instruments - clarifies which fees should be included in the 10% test for derecognition of financial liabilities. · IFRS 16 Leases - amendment of illustrative example 13 to remove the illustration of payments from the lessor relating to leasehold improvements, to remove any confusion about the treatment of lease incentives. The adoption of these amendment has not had a material impact for the Group. Standards and amendments not yet adopted by the Group: Standards and amendment Description Date of mandatory adoption for the Group in the year ended on IFRS 17 Insurance Contracts IFRS 17 was issued in May 2017 as replacement for IFRS 4 Insurance Contracts. It requires a current measurement model where estimates are remeasured in each reporting period. Contracts are measured using the building blocks of: 06-30-2024 · discounted probability-weighted cash flows · an explicit risk adjustment, and · a contractual service margin (CSM) representing the unearned profit of the contract which is recognised as revenue over the coverage period. The standard allows a choice between recognising changes in discount rates either in the statement of profit or loss or directly in other comprehensive income. The choice is likely to reflect how insurers account for their financial assets under IFRS 9. An optional, simplified premium allocation approach is permitted for the liability for the remaining coverage for short duration contracts, which are often written by non-life insurers. There is a modification of the general measurement model called the ‘variable fee approach’ for certain contracts written by life insurers where policyholders share in the returns from underlying items. When applying the variable fee approach, the entity’s share of the fair value changes of the underlying items is included in the CSM. The results of insurers using this model are therefore likely to be less volatile than under the general model. The new rules will affect the financial statements and key performance indicators of all entities that issue insurance contracts or investment contracts with discretionary participation features. Targeted amendments made in July 2020 aimed to ease the implementation of the standard by reducing implementation costs and making it easier for entities to explain the results from applying IFRS 17 to investors and others. The amendments also deferred the application date of IFRS 17 to 1 January 2023. Further amendments made in December 2021 added a transition option that permits an entity to apply an optional classification overlay in the comparative period(s) presented on initial application of IFRS 17. The classification overlay applies to all financial assets, including those held in respect of activities not connected to contracts within the scope of IFRS 17. It allows those assets to be classified in the comparative period(s) in a way that aligns with how the entity expects those assets to be classified on initial application of IFRS 9. The classification can be applied on an instrument-by-instrument basis. Classification of Liabilities as Current or Non-current - Amendments to IAS 1 The narrow-scope amendments to IAS 1 Presentation of Financial Statements clarify that liabilities are classified as either current or non-current, depending on the rights that exist at the end of the reporting period. Classification is unaffected by the entity’s expectations or events after the reporting date (e.g. the receipt of a waiver or a breach of covenant). The amendments also clarify what IAS 1 means when it refers to the ‘settlement’ of a liability. The amendments could affect the classification of liabilities, particularly for entities that previously considered management’s intentions to determine classification and for some liabilities that can be converted into equity. They must be applied retrospectively in accordance with the normal requirements in IAS 8 Accounting Policies, Changes in Accounting Estimates and Errors. Since the approval of these modifications, the IASB has issued an exposure draft proposing further changes and the postponement of these modifications until at least January 1, 2024 Accounting Policy Disclosures - Amendment to IAS 1 and Practical Statement 2 The IASB amended IAS 1 to require entities to disclose their material accounting policies rather than their significant accounting policies. The amendments define what it implies and how to identify material accounting policy information. They also clarify that it is not necessary to disclose immaterial accounting policy. If it is disclosed should not overshadow material accounting information. To support this amendment, the IASB also amended IFRS Practical Statement 2 on "Making materiality related judgments" to advise on how to apply the concept of materiality to disclosure of accounting policies. 06-30-2024 Definition of accounting estimates - Amendments to IAS 8. The IASB amended IAS 1 to require entities to disclose their material accounting policies rather than their significant accounting policies. The amendments define what it implies and how to identify material accounting policy information. They also clarify that it is not necessary to disclose immaterial accounting policy. If it is disclosed should not overshadow material accounting information. To support this amendment, the IASB also amended IFRS Practical Statement 2 on "Making materiality related judgments" to advise on how to apply the concept of materiality to disclosure of accounting policies. 06-30-2024 Deferred Tax related to Assets and Liabilities arising from a Single Transaction - Amendments to IAS 12 The amendments to IAS 12 Income Taxes require companies to recognise deferred tax on transactions that, on initial recognition, give rise to equal amounts of taxable and deductible temporary differences. They will typically apply to transactions such as leases of lessees and decommissioning obligations, and will require the recognition of additional deferred tax assets and liabilities. 06-30-2024 Sale or contribution of assets between an investor and its associate or joint venture - Amendments to IFRS 10 and IAS 28 The IASB has made limited scope amendments to IFRS 10 Consolidated Financial Statements and IAS 28 Investments in Associates and Joint Ventures. The amendments clarify the accounting treatment for sales or contribution of assets between an investor and their associates or joint ventures. They confirm that the accounting treatment depends on whether the non-monetary assets sold or contributed to an associate or joint venture constitute a ‘business’ (as defined in IFRS 3 Business Combinations'). Where the non-monetary assets constitute a business, the investor will recognise the full gain or loss on the sale or contribution of assets. If the assets do not meet the definition of a business, the gain or loss is recognised by the investor only to the extent of the other investor’s interests in the associate or joint venture. The amendments apply prospectively. In December 2015, the IASB decided to defer the application date of this amendment until such time as the IASB has finalized its research project on the equity method. Global implementation of Pillar Two model In December 2021, the Organization for Economic Cooperation and Development (OECD) published the Pillar Two model, with the objective of carrying out certain tax reforms applicable to companies. The rules are designed to ensure that large multinational companies within the scope of the rules pay a minimum level of tax. Generally, the rules apply a supplementary tax system that raises the total amount of taxes paid on an entity's excess profits in a jurisdiction up to the minimum rate of 15%. 06-30-2024 Supplier finance arrangements amendments – amendments to IAS 7 and IFRS 7 The amendment were prepared to respond to requests from investors regarding the need to have more information regarding financing agreements with suppliers, in order to be able to evaluate how these agreements affect liabilities, cash flows and the liquidity risk of an entity. New disclosures must be included in the financial statements, such as the terms and conditions of said agreements, as well as the recorded values of the liabilities, and ranges of payment due dates applicable to the liabilities that are under the Payment Agreement scheme. financing with suppliers, as well as for comparable commercial accounts that are not part of such agreements. Entities will apply such modifications to reporting annual years beginning on or after January 1, 2024. Early application is permitted. If an entity applies those modifications to prior years, it shall disclose this fact. Lack of interchangeability of currencies - amendments to IAS 21 The amendments to IAS 21, issued in August 2023, have been prepared to respond to concerns about diversity in practice when accounting for the lack of interchangeability between currencies. The amendments will assist businesses and investors by addressing an issue that was not previously covered in the accounting requirements for the effects of changes in exchange rates. An entity shall apply such amendments for annual reporting periods beginning on or after January 1, 2025. Early application is permitted. If an entity applies the modifications for a prior period, it shall disclose that fact. Management is evaluating the impact that these new standards and amendments will have for the Group. At the date of issuance of these consolidated financial statements, there are no other standards or amendments issued by the IASB that are not yet effective and are expected to have a significant effect on the Group. |
Scope 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 rights to variable returns from its involvement with the entity and has the ability to affect those returns through its power over the entity. The Group also analyzes whether there is control when it does not hold more than 50% of the voting rights of an entity but does have capacity to define its relevant activities because of de-facto control. The Group uses the acquisition method of accounting for business combinations. The consideration transferred for the acquisition of a subsidiary is the fair value of the assets transferred, the liabilities incurred and the equity interests issued by the Group. 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. The Group recognizes any non-controlling interest in the acquiree on an acquisition-by-acquisition basis either at fair value or at the non-controlling interest’s proportionate share of the acquirer’s net assets. The Group chooses the method to be used on a case-by-case basis. The excess of the sum of the consideration transferred, the amount of any non-controlling interest in the acquiree and the acquisition-date fair value of any previous equity interest in the acquiree over the fair value of the identifiable net assets acquired is recorded as goodwill. If the total of consideration transferred, non-controlling interest recognized and previously held interest measured is less than the fair value of the net assets of the subsidiary acquired in the case of a bargain purchase, the difference is recognized directly in the Consolidated Statement of Income and Other Comprehensive Income as “Bargain purchase gains”. The Group conducts its business through several operating and investment companies, the main ones are listed below: % of ownership interest held by the Group Name of the entity Country Main activity 06.30.2023 06.30.2022 06.30.2021 IRSA's direct interest: E-Commerce Latina S.A. Argentina Investment 100.00% 100.00% 100.00% Efanur S.A. (3) Uruguay Investment - 100.00% 100.00% Hoteles Argentinos S.A.U. Argentina Hotel 100.00% 100.00% 100.00% Inversora Bolívar S.A. Argentina Investment 100.00% 100.00% 100.00% Llao Llao Resorts S.A. (1) Argentina Hotel 50.00% 50.00% 50.00% Nuevas Fronteras S.A. Argentina Hotel 76.34% 76.34% 76.34% Palermo Invest S.A. Argentina Investment 100.00% 100.00% 100.00% Ritelco S.A. Uruguay Investment 100.00% 100.00% 100.00% Tyrus S.A. Uruguay Investment 100.00% 100.00% 100.00% U.T. IRSA y Galerias Pacifico (1) Argentina Investment 50.00% 50.00% 50.00% Arcos del Gourmet S.A. Argentina Real estate 90.00% 90.00% 90.00% Emprendimiento Recoleta S.A. Argentina Real estate 53.68% 53.68% 53.68% Fibesa S.A.U. Argentina Real estate 100.00% 100.00% 100.00% Panamerican Mall S.A. Argentina Real estate 80.00% 80.00% 80.00% Shopping Neuquén S.A. Argentina Real estate 99.95% 99.95% 99.95% Torodur S.A. Uruguay Investment 100.00% 100.00% 100.00% EHSA Argentina Investment 70.00% 70.00% 70.00% Centro de Entretenimiento La Plata Argentina Real estate 100.00% 100.00% 100.00% We Are Appa S.A. Argentina Design and software development 98.67% 93.63% 93.63% Tyrus S.A.'s direct interest: DFL and DN BV Bermuda’s / Netherlands Investment 99.59% 99.50% 99.50% IRSA International LLC USA Investment 100.00% 100.00% 100.00% Jiwin S.A. (3) Uruguay Investment - 100.00% 100.00% Liveck S.A. (2) British Virgin Islands Investment 100.00% 100.00% 100.00% Real Estate Strategies LLC USA Investment 100.00% 100.00% 100.00% Efanur S.A.'s direct interest: Real Estate Investment Group VII LP (REIG VII) (3) Bermuda’s Investment - 100.00% 100.00% DFL's and DN BV's direct interest: Dolphin IL Investment Ltd. Israel Investment 100.00% 100.00% 100.00% (1) The Group has consolidated the investment in Llao Llao Resorts S.A. and UT IRSA and Galerías Pacífico considering its equity interest and a shareholder agreement that confers its majority of votes in the decision-making process. (2) Includes Tyrus’ and IRSA S.A.’s equity interests. (3) Liquidated in October 2022. Except for the aforementioned items, the percentage of votes does not differ from the stake. The Group takes into account both quantitative and qualitative aspects in order to determine which non-controlling interests in subsidiaries are considered significant. In quantitative terms, the Group considers significant investments as those that individually represent at least 20% of the total equity attributable to non-controlling interest in subsidiaries at each year-end. Therefore, in qualitative terms, the Group considers, among other factors, the specific risks to which each company is exposed, their returns and the importance that each of them has for the Group. Summarized financial information on subsidiaries with material non-controlling interests and other information are included in Note 7. (b) Changes in ownership interests in subsidiaries without change of control Transactions with non-controlling interests that do not result in loss of control are accounted for as equity transactions – i.e., as transactions with the owners in their capacity as owners. The recorded value corresponds to the difference between the fair value of the consideration paid and/or received and the relevant share acquired and/or transferred of the carrying value of the net assets of the subsidiary. (c) Disposal of subsidiaries with loss of control When the Group ceases to have control any retained interest in the entity is re-measured at its fair value at the date when control is lost, with changes in carrying amount recognized in profit or loss. 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 recognized in other comprehensive income in respect of that entity are accounted for as if the Group had directly disposed of the related assets or liabilities. This may mean that amounts previously recognized in other comprehensive income are reclassified to profit or loss. (d) Associates and joint arrangements Associates are all entities over which the Group has significant influence but not control, usually representing an interest between 20% and at least 50% of the voting rights. Joint arrangements are arrangements of which the Group and other party or parties have joint control bound by a contractual arrangement. Under IFRS 11, investments in joint arrangements are classified as either joint ventures or joint operations depending on the contractual rights and obligations each investor has rather than the legal structure of the joint arrangement. A joint venture is a joint arrangement whereby the parties that have joint control of the arrangement have rights to the net assets of the arrangement. A joint operation is a joint arrangement whereby the parties that have joint control of the arrangement have rights to the assets, and obligations for the liabilities, relating to the arrangement. The Group has assessed the nature of its joint arrangements and determined them to be joint ventures. Investments in associates and joint ventures are accounted for under the equity method of accounting, pursuant to which interests in joint ventures are initially recognized in the Consolidated Statement of Financial Position at cost and adjusted thereafter to recognize the Group’s share of post-acquisition profits or losses and other comprehensive income in the Consolidated Statement of Income and Other Comprehensive Income. The Group’s investment in associates includes goodwill identified on acquisition. As of each year-end or upon the existence of evidence of impairment, a determination is made as to whether there is any objective indication of impairment in the value of the investments in associates or joint ventures. If this is the case, the Group calculates the amount of impairment as the difference between the recoverable amount of the associates or joint venture and its carrying value and recognizes the amount adjacent to "Share of profit / (loss) of associates and joint ventures" in the Statement of Income and Other Comprehensive Income. Profit and losses resulting from transactions between the Group and the associate or joint venture are recognized in the Group's financial statements only to the extent of the interests in the associates or joint ventures of the unrelated investor. Unrealized losses are eliminated unless the transaction reflects signs of impairment of the value of the asset transferred. The accounting policies of associates or joint ventures are modified to ensure uniformity within Group policies. The Group takes into account quantitative and qualitative aspects to determine which investments in associates or joint ventures are considered significant. Note 8 includes summary financial information and other information of the Group's associates. |
Segment information | Operating segments are reported in a manner consistent with the internal reporting provided to the Chief Operating Decision-Maker (“CODM”), responsible for allocating resources and assessing performance. The operating segments are described in Note 6. |
Foreign currency translation | (a) Functional and presentation currency Items included in the Financial Statements of each of the Group’s entities are measured using the currency of the primary economic environment in which the entity operates (‘the functional currency’). The Consolidated Financial Statements are presented in Argentine Pesos, which is the Group’s presentation currency. (b) Transactions and balances in foreign currency Foreign currency transactions are translated into the functional currency using the exchange rates prevailing at the dates of the transactions. 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 nominated in foreign currencies are recognized in the profit or loss for the year. Foreign exchange gains and losses are presented in the Consolidated Statement of Income and Other Comprehensive Income within other financial income, as appropriate, unless they have been capitalized. (c) Group companies The results and financial position of all the Group entities that have a functional currency different from the presentation currency (none of which has the currency of a hyperinflationary economy) are translated into the presentation currency as follows: (i) assets, liabilities and goodwill for each Statement of Financial Position presented are translated at the closing rate at the date of that financial position; (ii) income and expenses for each Statement of Comprehensive Income are translated at average exchange rates (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 (iii) all resulting exchange differences are recognized in the Consolidated Statement of Income and Other Comprehensive Income. The accounting policy of the Group consists in accounting for the translation difference of its subsidiaries by the “step-by-step” method according to IAS 21. |
Investment properties | Investment properties are those properties owned by the Group that are held either to earn long-term rental income or for capital appreciation, or both, and that are not occupied by the Group for its own operations. Investment property also includes property that is being constructed or developed for future use as investment property. The Group also classifies as investment properties land whose future use has not been determined yet. The Group’s investment properties primarily comprise the Group’s portfolio of shopping malls and offices, certain property under development and undeveloped land. Additionally, the Group reflects the value of economically “buildable potentials” in those properties that meet the following requirements: a) have buildable potential that are legally viable based on the application of approved Planning Codes and / or specific Ordinances. and b) have a commercial viability either due to their realization market or their constructive feasibility (see Note 9). If due to regulatory or legal regulations and commercial and/or economic aspects, the buildable potential can only be made by the Group and it has not been built yet, the asset value is not recognized. When a property is partially owner-occupied, with the rest being held for rental income or capital appreciation, the Group accounts for the portions separately. The portion that is owner-occupied is accounted for as property, plant and equipment under IAS 16 “Property, Plant and Equipment” and the portion that is held for rental income or capital appreciation, or both, is treated as investment properties under IAS 40 “Investment Properties”. Investment properties are measured initially at cost. Cost comprises the purchase price and directly attributable expenditures, such as legal fees, certain direct taxes, commissions and in the case of properties under construction, the capitalization of financial costs. For properties under development, capitalization of costs includes not only financial costs, but also all costs directly attributable to works in process, from commencement of construction until it is completed and property is in condition to start operating. Direct expenses related to lease contract negotiation (such as payment to third parties for services rendered and certain specific taxes related to execution of such contracts) are capitalized as part of the book value of the relevant investment properties and amortized over the term of the lease. Borrowing costs associated with properties under development or undergoing major refurbishment are capitalized. The finance cost capitalized is calculated using the Group’s weighted average cost of borrowings after adjusting for borrowings associated with specific developments. Where borrowings are associated with specific developments, the amount capitalized is the gross interest incurred on those borrowings less any investment income arising on their temporary investment. Finance cost is capitalized from the commencement of the development work until the date of practical completion. Capitalization of finance costs is suspended if there are prolonged periods when development activity is interrupted. Finance cost is also capitalized on the purchase cost of land or property acquired specifically for redevelopment in the short term but only where activities necessary to prepare the asset for redevelopment are in progress. After initial recognition, investment property is carried at fair value. Investment property that is being redeveloped for continuing use as investment property or for which the market has become less active continues to be measured at fair value. Investment properties under construction are measured at fair value if the fair value is considered to be reliably determinable. On the other hand, properties under construction for which the fair value cannot be determined reliably, but for which the Group expects it to be determinable when construction is completed, are measured at cost less impairment until the fair value becomes reliably determinable or construction is completed, whichever is earlier. Fair values are determined differently depending on the type of property being measured. Generally, the fair value of office buildings and land reserves is based on comparable active market prices, adjusted, if necessary, for differences in the nature, location or condition of the specific asset (Level 2). The fair value of the Group’s portfolio of Shopping Malls is based on discounted cash flow projections. This method of valuation is commonly used in the shopping mall industry in the region where the Group conducts its operations (Level 3). As required by CNV 576/10 Resolution, valuations are performed as of the financial position date by accredited external appraisers who have recognized professional qualifications and have recent experience in the location and category of the investment property being valued. These valuations form the basis for the carrying amounts in the Consolidated Financial Statements. The fair value of investment property reflects, among other things, rental income from current leases and other assumptions market participants would make when pricing the property under current market conditions. Subsequent expenditures are capitalized to the asset’s carrying amount only when it is probable that future economic benefits associated with the expenditure will flow to the Group and the cost can be measured reliably. All other repairs and maintenance costs are expensed when incurred. When part of an investment property is replaced, the carrying amount of the replaced part is derecognized. Changes in fair values are recognized in the Consolidated Statement of Income and Other Comprehensive Income under the line item “Net (loss) / gain from fair value adjustment of investment properties”. Asset transfers, including assets classified as investments properties which are reclassified under other items or vice-versa, may only be carried out when there is a change of use evidenced by: a) commencement of occupation of real property by the Group, where investment property is transferred to property, plant and equipment; b) commencement of development activities for sale purposes, where investment property is transferred to property for sale; c) the end of Group occupation, where it is transferred from property, plant and equipment to investment properties; or d) commencement of an operating lease transaction with a third party, where properties for sale are transferred to investment property. The transfer of investment properties to other items is carried out at the fair value of the asset on the date of change of use and said fair value is the cost of the property for the purposes of subsequent accounting according to the applicable standard. If an owner-occupied property is converted to investment property, the Group values the property at the corresponding carrying amount prior to transfer and classifies it as investment property at fair value on the date of change of use. The Group will treat any difference, as of that date, between the determined carrying amount of the property and the fair value, in the same way in which it would record a revaluation applying IAS 16. A transfer from inventories to Investment properties, will be accounted for by recognizing the result between its previous book value and its fair value and any difference between the fair value of the property at that date and its previous carrying amount will be recognized in the result of the fiscal year. The Group may sell its investment property when it considers that such property no longer forms part of the lease business. The carrying value immediately prior to the sale is adjusted to the transaction price, and the adjustment is recorded in the Consolidated Statement of Income and Other Comprehensive Income in the line “Net gain from fair value adjustments of investment properties”. Investment properties are derecognized when they are disposed of or when they are permanently withdrawn from use and no future economic benefits are expected to arise from their disposals. The disposal of properties is recognized when the significant risks and rewards have been transferred to the buyer. As for unconditional agreements, proceeds are accounted for when title to property passes to the buyer and the buyer intends to make the respective payment. In the context of conditional agreements, disposals are recognized only after the conditions to which the agreements are subject have been satisfied. Where consideration receivable for the sale of the properties is deferred, it is discounted to present value. The difference between the discounted amount and the amount receivable is treated as interest income and recognized over the period using the effective interest method. Direct expenses related to the sale are recognized in the line "Other operating results, net" in the Consolidated Statement of Income and Other Comprehensive Income at the time they are incurred. |
Property, plant and equipment | This category primarily comprises buildings or portions of a building used for administrative purposes, machines, computers, and other equipment, motor vehicles, furniture, fixtures and fittings and improvements to the Group’s corporate offices. The Group also has several hotel properties. Based on the respective contractual arrangements with hotel managers and / or given their direct operators nature, the Group considers it retains significant exposure to the variations in the cash flows of the hotel operations, and accordingly, hotels are treated as owner-occupied properties and classified under "Property, plant and equipment". All property, plant and equipment (“PPE”) is stated at acquisition cost restated as of the closing date less accumulated depreciation and impairment, if any. The acquisition cost includes expenditures which are directly attributable to the acquisition of the items. For properties under development, capitalization of costs includes not only financial costs, but also all costs directly attributable to works in process, from commencement of construction until it is completed and the property is in conditions to start operating. Subsequent costs are included in the asset’s carrying amount or recognized 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. Such costs may include the cost of improvements and replacement of parts as they meet the conditions to be capitalized. The carrying amount of those parts that are replaced is derecognized. Repairs and maintenance are charged as incurred in the Consolidated Statement of Income and Other Comprehensive Income. Depreciation, based on a component approach, is calculated using the straight-line method to allocate the cost over the assets’ estimated useful lives. The remaining useful life as of June 30, 2023 is as follows: Buildings and facilities Between 5 and 50 years Machinery and equipment Between 3 and 24 years Others Between 3 and 25 years As of each fiscal year-end, an evaluation is performed to determine the existence of indicators of any decrease in recoverable value or useful life of assets. If there are any indicators, the recoverable amount and/or residual useful life of impaired asset(s) is estimated, and an impairment adjustment is made, if applicable. As of each fiscal year-end, the residual useful life of assets is estimated and adjusted, if necessary. The book amount of an asset is reduced to its recoverable value if the book value is greater than its estimated recoverable value. Gains from the sale of these assets are recognized when control is transferred to the buyer. This will normally take place on unconditional exchange, generally when legal title passes to the buyer and it is probable that the buyer will pay. For conditional exchanges, sales are recognized when these conditions are satisfied. Gains and losses on disposals are determined by comparing the proceeds net of direct expenses related to such sales, with the carrying amount as of the date of each transaction. Gains and losses from the disposal of property, plant and equipment items are recognized within “Other operating results, net” in the Consolidated Statement of Income and Other Comprehensive Income. When assets of property, plant and equipment are transferred to investment property, the difference between the value at cost transferred and the fair value of the investment property is allocated to a reserve within equity. |
Leases | Leases are recorded pursuant to IFRS 16. The Group recognizes an asset for the right of use and a liability at present value with respect to those contracts that meet the definition of a lease in accordance with the standard and the rate used will be the implicit rate in the contract if it can be determined. A Group company is the lessor: Properties leased out to tenants under operating leases are included in “Investment Properties” in the Consolidated Statement of Financial Position. See Note 2.21 for the recognition of rental income. A Group company is the lessee: The Group acquires certain specific assets (especially machinery, computer equipment and real property exploitation concessions) under leases pursuant to IFRS 16. Assets so acquired are recorded as an asset at the present value of the minimum future lease payments (the rate used by the Group is between 10.61% and 52.94%). Capitalized lease assets are depreciated over the shorter of the estimated useful life of the assets and the lease term. The finance charges are charged over the lease period so as to produce a constant periodic rate of interest on the remaining balance of the liability for each period. Leases falling within the IFRS 16 exemption, where the Group acts as lessee are charged to results at the time they accrue. They mainly include contracts for less than one year and/or for non-material items. |
Intangible assets | (a) Goodwill Goodwill represents future economic benefits arising from assets that are not capable of being individually identified and separately recognized by the Group on an acquisition. Goodwill is initially measured as the difference between the fair value of the consideration transferred, plus the amount of non-controlling interest in the acquisition and, in business combinations achieved in stages, the acquisition-date fair value of the previously held equity interest in the acquisition; and the net fair value of the identifiable assets and liabilities assumed on the acquisition date. Goodwill is not amortized but tested for impairment at each fiscal year-end, or more frequently if there is an indication of impairment. For the purpose of impairment testing, assets are grouped at the lowest levels for which there are separately identifiable cash flows, referred to as cash-generating units (“CGU”). In order to determine whether any impairment loss should be recognized, the book value of CGU or CGU groups is compared against its recoverable value. Net book value of CGU and CGU groups include goodwill and assets with limited useful life (such as, investment properties, property, plant and equipment, intangible assets and working capital). If the recoverable amount of the CGU is less than the carrying amount of the unit, the impairment loss is allocated first to reduce the carrying amount of any goodwill allocated to the unit and then to the other assets of the unit pro rata on the basis of the carrying amount of each asset in the unit. Impairment losses recognized for goodwill are not reversed in a subsequent period. The recoverable amount of a CGU is the higher of the fair value less costs-to-sell and the value-in-use. The fair value is the amount at which a CGU may be sold in a current transaction between unrelated, willing and duly informed parties. Value-in-use is the present value of all estimated future cash flows expected to be derived from CGU or CGU groups. Goodwill is assigned to the Group's cash generating units on the basis of operating segments. The recoverable amount of a cash generating unit is determined based on fair value calculations. These calculations use the price of the CGU assets and they are compared with the book values plus the goodwill assigned to each cash generating unit. No material impairment was recorded as a result of the analysis performed. (Note 12). (b) Computer software Acquired computer software licenses are capitalized on the basis of the costs incurred to acquire and bring to use the specific software. Costs associated with maintaining computer software programs are recognized as an expense as incurred. Development costs that are directly attributable to the design and testing of identifiable and unique software products controlled by the Group are recognized as intangible assets when the following criteria are met: (i) it is technically feasible to complete the software product so that it will be available for use; (ii) management intends to complete the software product and use or sell it; (iii) there is an ability to use or sell the software product; (iv) it can be demonstrated how the software product will generate probable future economic benefits; (v) adequate technical, financial and other resources to complete the development and to use or sell the software product are available; and (vi) the expenditure attributable to the software product during its development can be reliably measured. Directly attributable costs that are capitalized as part of the software product include the software development employee costs and an appropriate portion of relevant overheads. Other development expenditures that do not meet these criteria are recognized as an expense as incurred. Development costs previously recognized as an expense are not recognized as an asset in a subsequent period. Computer software development costs recognized as assets are amortized over their estimated useful lives, which does not exceed 3 years. (c) Right to receive future units under barter agreements The Group also enters into barter transactions where it normally exchanges undeveloped parcels of land or other assets with third-party developers for future property to be constructed on the bartered land. The Group generally receives monetary assets as part of the transactions and/or a right to receive future units to be constructed by developers. Such rights are initially recognized at cost (which is the fair value of the land assigned) and are not adjusted later, unless there is any sign of impairment. At each year-end, the Group reviews the carrying amounts of its intangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any of such signs exists, the recoverable amount of the asset is estimated in order to determine the extent, if any, of the impairment loss. For intangible assets with indefinite useful lives, the Group annually reviews the existence of an impairment, or more frequently if signs of impairment are identified. |
Trading properties | Trading properties comprises those properties either intended for sale or in the process of construction for subsequent sale. Trading properties are carried at the lower of cost and net realizable value. Cost comprises all costs of purchase, costs of conversion and other costs incurred in bringing the trading properties to their present location and condition. |
Inventories | Inventories include assets held for sale in the ordinary course of the Group's business activities, assets in production or construction process for sale purposes, and materials, supplies or other assets held for consumption in the process of producing sales and/or services. Inventories are measured at the lower of cost or net realizable value. Net realizable value is the estimated selling price in the ordinary course of business less selling expenses. It is determined on an ongoing basis, taking into account the product type and aging, based on the accumulated prior experience with the useful life of the product. The Group periodically reviews the inventory and its aging and books an allowance for impairment, as necessary. The cost of consumable supplies, materials and other assets is determined using the weighted average cost method, the cost of inventories of mobile phones, related accessories and spare parts is priced under the moving average method, and the cost of the remaining inventories is priced under the first in, first out (FIFO) method. Cost comprises all costs of purchase, costs of conversion and other costs incurred in bringing the inventories to their present location and condition. Inventories and materials are initially recorded at their cash purchase price, any further discrepancies are being accounted for as finance costs. |
Financial instruments | The Group classifies financial assets in the following categories: those to be measured subsequently at fair value, and those to be measured at amortized cost. This classification depends on whether the financial asset is an equity investment or a debt investment. Debt investments A debt investment is classified at amortized cost only if both of the following criteria are met: (i) the objective of the Group’s business model is to hold the asset to collect the contractual cash flows; and (ii) the contractual terms give rise on specified dates to cash derived solely from payments of principal and interest due on the principal outstanding. The nature of any derivatives embedded in the debt investment are considered in determining whether the cash derives solely from payment of principal and interest due on the principal outstanding and are not accounted for separately. If either of the two criteria mentioned in the previous paragraph is not met, the debt instrument is classified as an asset at fair value through profit or loss. The Group has not designated any debt investment as measured at fair value through profit or loss to eliminate or significantly reduce an accounting mismatch. Changes in fair values and gains from disposal of financial assets at fair value through profit or loss are recorded within “Financial results, net” in the Consolidated Statement of Income and Other Comprehensive Income. Equity investments All equity investments, which are neither subsidiaries nor associate companies nor joint ventures of the Group, are measured at fair value. Equity investments that are held for trading are measured at fair value through profit or loss. For all other equity investments, the Group can make an irrevocable election at initial recognition to recognize changes in fair value through other comprehensive income rather than profit or loss. The Group decided to recognize changes in fair value of equity investments through changes in profit or loss. At initial recognition, the Group measures a financial asset at its fair value plus, in the case of a financial asset not at fair value through profit or loss, transaction costs that are directly attributable to the acquisition of the financial asset. Transaction costs of financial assets carried at fair value through profit or loss are expensed in the Consolidated Statement of Income and Other Comprehensive Income. In general, the Group uses the transaction price to ascertain the fair value of a financial instrument on initial recognition. In the other cases, the Group records a gain or loss on initial recognition only if the fair value of the financial instrument can be supported by other comparable transactions observable in the market for the same type of instrument or if based on a technical valuation that only inputs observable market data. Unrecognized gains or losses on initial recognition of a financial asset are recognized later on, only to the extent they arise from a change in factors (including time) that market participants would consider upon setting the price. Gains/losses on debt instruments measured at amortized cost and not identified for hedging purposes are charged to income where the financial assets are derecognized or an impairment loss is recognized, and during the amortization process under the effective interest method. The Group is required to reclassify all affected debt investments when and only when its business model for managing those assets changes. The Group assesses at the end of each reporting period the expected losses for impairment of a financial asset or group of financial assets measured at amortized cost. A financial asset or a group of financial assets is impaired and impairment losses are incurred only if there is objective evidence of impairment as a result of one or more events that occurred after the initial recognition of the asset (a ‘loss event’) and that loss event (or events) can be reliably estimated. The amount of the loss is measured as the difference between the asset’s carrying amount and the present value of estimated future cash flows (excluding future credit losses that have not been incurred) discounted at the financial asset’s original effective interest rate. Financial assets and liabilities are offset, and the net amount reported in the statement of financial position, when there is a legally enforceable right to offset the recognized amounts and there is an intention to settle on a net basis, or realize the asset and settle the liability simultaneously. |
Derivative financial instruments and hedging activities and options | Derivative financial instruments are initially recognized at fair value. The method of recognizing the resulting gain or loss depends on whether the derivative is designated as a hedging instrument, and if so, the nature of the item being hedged. The Group manages exposures to various risks using hedging instruments that provide coverage. The Group does not use derivative financial instruments for speculative purposes. To date, the Group has used put and call options, foreign currency future and forward contracts and interest rate swaps, as appropriate. The Group’s policy is to apply hedge accounting where it is permissible under IFRS 9, practical to do so and its application reduces volatility, but transactions that may be effective hedges in economic terms may not always qualify for hedge accounting under IFRS 9. The fair values of financial instruments that are traded in active markets are computed by reference to market prices. The fair value of financial instruments that are not traded in an active market is determined by using valuation techniques. The Group uses its judgment to select a variety of methods and make assumptions that are mainly based on market conditions existing at the end of each reporting year. |
Trade and other receivables | Trade receivables are recognized initially at fair value and subsequently measured at amortized cost using the effective interest method. An allowance for doubtful accounts is recorded based on the expected loss of the receivables portfolio. Indicators of doubtful accounts include significant financial distress of the debtor, the debtor potentially filing a petition for reorganization or bankruptcy, or any event of default or past due account. For significant non-homogeneous receivables, the Group generally measures impairment based on an individual analysis. When they are evaluated individually, the Group recognizes the provision for impairment as the difference between the book value of the receivable and the present value of future cash flows, taking into account the existing guarantees, if applicable. This allowance for doubtful accounts considers the financial situation of the debtor, their resources, the payment history and, if applicable, the value of the guarantees provided. For non-significant homogeneous receivables, the Group assesses the impairment by grouping these receivables based on characteristics of similar risks, considering the type of asset, the delinquency condition and other relevant factors. The Group considers different factors to calculate the amount of the allowance for impairment, which, in its opinion, represents the expected losses over the life of the receivables. When determining the allowance for doubtful accounts, the Group considers, among other factors: (i) the delinquency of the receivables, (ii) the history of losses and the general behavior of the clients, (iii) the trends in volumes and terms of the receivables, (iv) the Group's experience in credit management, (v) national and local economic trends, (vi) credit concentrations by individual size and type of credit, and (vii) the effect of other external factors. The amount of the allowance is the difference between the asset’s carrying amount and the present value of estimated future cash flows, discounted at the original effective interest rate. The carrying amount of the asset is reduced through the use of a separate account, and the amount of the loss is recognized in the Consolidated Statement of Income and Other Comprehensive Income within “Selling expenses”. Subsequent recoveries of amounts previously written off are credited against “Selling expenses” in the Consolidated Statement of Income and Other Comprehensive Income. |
Trade and other payables | Trade payables are initially recognized at fair value and subsequently measured at amortized cost using the effective interest method. |
Borrowings | Borrowings are recognized initially at fair value, net of transaction costs incurred. Borrowings are subsequently stated at amortized cost; any difference between the proceeds (net of transaction costs) and the redemption value is recognized as finance cost over the period of the borrowings using the effective interest method. |
Provisions | Provisions are recognized when: (i) the Group has a present (legal or constructive) obligation as a result of past events; (ii) it is probable that an outflow of resources will be required to settle the obligation; and (iii) a reliable estimate of the amount of the obligation can be made. Provisions are not recognized for future operating losses. The Group bases its accruals on up-to-date developments, estimates of the outcomes of the matters and legal counsel´s experience in contesting, litigating and settling matters. As the scope of the liabilities becomes better defined or more information is available, the Group may be required to change its estimates of future costs, which could have a material adverse effect on its results of operations and financial condition or liquidity. Provisions are measured at the present value of the cash flows 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 provisions due to passage of time is recognized in the Consolidated Statement of Income and Other Comprehensive Income. |
Employee benefits | (a) Defined contribution plans The Group operates a defined contribution plan, which is a pension plan under which the Group pays fixed contributions into a separate entity. The Group has no legal or constructive obligations to pay further contributions if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current year or prior periods. The contributions are recognized as employee benefit expenses in the Consolidated Statement of Income and Other Comprehensive Income in the fiscal year they are due. (b) Termination benefits Termination benefits are payable when employment is terminated by the Group before the normal retirement date, or whenever an employee accepts voluntary redundancy in exchange for these benefits. The Group recognizes termination benefits when it is demonstrably committed to either terminating the employment of current employees according to a detailed formal plan without possibility of withdrawal or as a result of an offer made to encourage voluntary termination as a result of redundancy. (c) Bonus plans The Group recognizes a liability and an expense for bonuses based on a formula that takes into consideration the profit attributable to the Company’s shareholders after certain adjustments. The Group recognizes a provision where contractually obliged or where there is a past practice that has created a constructive obligation. (d) Share-based payments The fair value of share-based payments is measured at the date of grant. The Group measures the fair value using the valuation technique that it considers to be the most appropriate to value each class of award. Methods used may include Black-Scholes calculations or other models as appropriate. The valuations take into account factors such as non-transferability, exercise restrictions and behavioral considerations. The fair value of the share-based payment is expensed and charged to income under the straight-line method over the vesting period, during which the right to the equity instrument becomes irreversible. This valuation is determined based on the most accurate estimate available for the expected quantity of equity instruments likely to vest. If subsequent information becomes available, indicating a variance from the initial estimates in terms of the number of equity instruments expected to vest, these estimates are subject to revision. |
Current income tax, deferred income tax and minimum presumed income tax | Tax expense for the year comprises the charge for tax currently payable and deferred income. Income tax is recognized in the Consolidated Statement of Income and Other Comprehensive Income, except to the extent that it relates to items recognized in other comprehensive income or directly in equity, in which case, the tax is also recognized in other comprehensive income or directly in equity, respectively. Current income tax expense is calculated on the basis of the tax laws enacted or substantially enacted at the date of the Statements of Financial Position in the countries where the Company and its subsidiaries operate and generate taxable income. The Group periodically evaluates positions taken in tax returns with respect to situations in which applicable tax regulation is subject to interpretation. The Group establishes provisions where appropriate on the basis of amounts expected to be paid to the tax authorities. Deferred income tax is recognized, using the deferred tax 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 recognized 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. Deferred income tax is determined using tax rates (and laws) that have been enacted or substantively enacted by the date of the Statements of Financial Position and are expected to apply when the related deferred income tax asset is realized or the deferred income tax liability is settled. Deferred income tax assets are recognized only to the extent that it is probable that future taxable profit will be available against which the temporary differences can be utilized. Deferred income tax is provided on temporary differences arising on investments in subsidiaries, joint ventures and associates, except for deferred income tax liabilities where the timing of the reversal of the temporary difference is controlled by the Group and it is probable that the temporary difference will not reverse in the foreseeable future. Deferred income 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 income taxes assets and liabilities relate to income taxes levied by the same taxation authority on either the same taxable entity or different taxable entities where there is an intention to settle the balances on a net basis. The Group is able to control the timing of dividends from its subsidiaries and hence does not expect taxable profit. Hence, deferred tax is recognized in respect of the retained earnings of overseas subsidiaries only if at the date of the Statements of Financial Position, dividends have been accrued as receivable a binding agreement to distribute past earnings in future has been entered into by the subsidiary or there are sale plans in the foreseeable future. Entities in Argentina were subject to the Minimum Presumed Income Tax (“MPIT”). Pursuant to this tax regime, an entity is required to pay the greater of the income tax or the MPIT. Any excess of the MPIT over the income tax is carried forward and recognized as a tax credit against future income taxes payable over a 10-year period. When the Group assesses that it is probable that it will use the MPIT payment against future taxable income tax charges within the applicable 10-year period, recognizes the MPIT as a current or non-current receivable, within “Trade and other receivables” in the Consolidated Statement of Financial Position. The minimum presumed income tax was repealed by Law N ° 27,260 in its article 76 for the periods that begin as of January 1,2019. |
Cash and cash equivalents | Cash and cash equivalents include cash on hand, deposits held with banks, and other short-term highly liquid investments with original maturities of three months or less and that they are subject to a negligible risk of change in value. Bank overdrafts are not included. |
Revenue recognition | The group identifies contracts with customers and evaluates the goods and services committed therein to determine performance obligations and their classification between performance obligations that are satisfied at a given time or over time. Revenue from satisfaction of performance obligations at a given time is recognized when the client obtains control of the committed asset or service considering whether there is a right to collection, if the client has the physical possession, if the client has the legal right and if they have transferred the risks and benefits. In accordance with IFRS 15, the Group recognizes revenues over time from the sales of real estate developments in which there is no alternative use for the asset and the Group has the right to demand payment of the contract. When these conditions are not met, the income is recognized at the time of delivery or deed, depending on the case, when the risk transfers are completed, the collection is reasonably assured and there is a price already determined. Revenue from satisfaction of performance obligations over time for real estate developments is recognized by measuring progress towards compliance with the obligation when it can be measured reliably. For this measurement, the Group uses the input method, that is, the effort consumed by the entity and determines the percentage of progress based on the estimate of the total development costs. The Group's revenue is recognized at the probable value of the consideration to which it will be entitled in exchange for transferring the products or services to the customer which is not expected to suffer significant changes. · Rental and services - Shopping malls portfolio Revenues derived from business activities developed in the Group’s shopping malls mainly include rental income under operating leases, admission rights, commissions and revenue from several complementary services provided to the Group’s lessees. The Argentine Civil and Commercial Code section 1221 provides that tenants may rescind commercial lease within the initial six months by means of written notification. If option is used within the first year of the lease, the Tenant shall pay the Lessor, as compensation, the equivalent of one-and-a-half month’s rent, and one month’s rent if the tenant makes use of the option after that period. Given that the rule does not provide for advance notice, Lease Agreements include a provision whereby the lessee must give at least 60 days advance notice of its intention to terminate the lease. The exercise of such early termination could materially and adversely affect the Group. The Group has determined that, in all operating leases, the lease term for accounting purposes matches the term of the contract. The Group concluded that, even though a lease is cancellable under the terms of the Argentine Civil and Commercial Code section 1221, tenants would incur significant “economic penalties” if the leases are terminated prior to expiry. The Group considered that these economic penalties are of such amount that continuation of the lease contracts by tenants appears to be reasonably certain at the inception of the respective agreements. The Group reached this conclusion based on factors such as: (i) the strategic geographical location and accessibility to customers of the Group’s investment properties; (ii) the nature and tenure of tenants (mostly well-known local and international retail chains); (iii) limited availability of identical revenue-producing space in the areas where the Group’s investment properties are located; (iv) the tenants’ brand image and other competitive considerations; (v) tenants’ significant expenses incurred in renovation, maintenance and improvements on the leased space to fit their own image; (vi) the majority of the Group’s tenants only have stores in shopping malls with a few or none street stores. See details in Note 22. Lessees of rental space located within shopping malls are generally required to pay the higher of: (i) a base monthly rent (the “Base Rent”) and (ii) a specific percentage of gross monthly sales recorded by the Lessee (the “Contingent Rent”), which generally ranges between 2% and 12% of the lessees’ gross sales. In addition, in accordance with the standard terms of the typical commercial lease, the Base Rent is usually increased at that time by the Consumer Price Index (CPI) in Argentina. In addition, some leases include provisions that set forth variable rent based on specific volumes of sales revenue and other types of ratios. Rental income from shopping malls, admission rights and commissions, are recognized in the Consolidated Statement of Income and Other Comprehensive Income on a straight-line basis over the term of the leases. When lease incentives are granted, they are recognized as an integral part of the net consideration for the use of the property and are therefore recognized on the same straight-line basis. Contingent rents, i.e. lease payments that are not fixed at the inception of a lease, are recorded as income in the periods in which they are known and can be determined. Rent increases are recognized when such increases have been agreed with tenants. Tenants in the Group’s shopping mall are also generally charged a non-refundable admission right upon entering a lease contract or renewing an existing one. Admission rights are treated as additional rental income and recognized in the Consolidated Statement of Income and Other Comprehensive Income on a straight-line basis over the term of the respective lease agreement. The Group acts as its own leasing agent for arranging and closing lease agreements for its shopping malls properties and consequently earns letting fees. Letting fees are paid by tenants upon the successful closing of an agreement. A transaction is considered successfully concluded when both parties have signed the related lease contract. Letting fees received by the Group are treated as additional rental income and are recognized in the Consolidated Statement of Income and Other Comprehensive Income on a straight-line basis over the term of the lease agreements. The Group’s lease contracts also provide that common area maintenance charges and collective promotion funds of the Group’s shopping malls are borne by the corresponding lessees, generally on a proportional basis. These common area maintenance charges include all expenses necessary for various purposes including, but not limited to, the operation, maintenance, management, safety, preservation, repair, supervision, insurance and enhancement of the shopping malls. The lessor is responsible for determining the need and suitability of incurring a common area expense. The Group makes the original payment for such expenses, which are then reimbursed by the lessees. The Group considers that it acts as a principal in these cases. Service charge income is presented separately from property operating expenses. Property operating expenses are expensed as incurred. Under the terms of the leases, lessees also agree to participate in collective promotion funds (“CPF”) to be used in advertising and promoting the Group’s shopping malls. Each lessee’s participation generally equals a percentage calculated based on the monthly accrued rental prices. Revenue so derived is also included under rental income and services segregated from advertising and promotion expenses. Such expenses are charged to income when incurred. On the other hand, revenue includes income from managed operations and other services such as car parking spaces. Those revenues are recognized on an accrual basis as services are provided. · Rental and services - Offices and other rental properties Rental income from offices and other rental properties include rental income from offices leased out under operating leases, income from services and expenses recovery paid by tenants. Rental income from offices and other rental properties is recognized in the Consolidated Statement of Income and Other Comprehensive Income on a straight-line basis over the term of the leases. When lease incentives are granted, they are recognized as an integral part of the net consideration for the use of the property and are therefore recognized on the same straight-line basis. A substantial portion of the Group’s leases require the tenant to reimburse the Group for a substantial portion of operating expenses, usually a proportionate share of the allocable operating expenses. Such property operating expenses include necessary expenses such as property operating, repairs and maintenance, security, janitorial, insurance, landscaping, leased properties and other administrative expenses, among others. The Group manages its own rental properties. The Group makes the original payment for these expenses, which are then reimbursed by the lessees. The Group considers that it acts as a principal in these cases. The Group accrues reimbursements from tenants as service charge revenue in the period the applicable expenditures are incurred and is presented separately from property operating expenses. Property operating expenses are expensed as incurred. · Revenue from communication services and sale of communication equipment Revenue derived from the use of communication networks by the Group, including mobile phones, Internet services, international calls, fixed line calls, interconnection rates, roaming service rates and television, are recognized when the service is provided, proportionally to the extent the transaction has been realized, and provided all other criteria have been met for revenue recognition. Revenue from the sale of mobile phone cards is initially recognized as deferred revenue and then recognized as revenue as they are used or upon expiration, whichever takes place earlier. A transaction involving the sale of equipment to a final user normally also involves a service sale transaction. In general, this type of sale is performed without a contractual obligation by the client to consume telephone services for a minimum amount over a predetermined period. As a result, the Group records the sale of equipment separately of the performance obligations and recognizes revenue pursuant to the transaction value upon delivery of the equipment to the client. Revenue from telephone services is recognized and accounted for as they are provided over time. When the client is bound to make a minimum consumption of services during a predefined period, the contract formalizes a transaction of several elements and, therefore, revenue from the sale of equipment is recorded at an amount that should not exceed its fair value, and is recognized upon delivery of the equipment to the client and provided the criteria for recognition are met. The Group ascertains the fair value of individual elements, based on the price at which it is normally sold, after taking into account the relevant discounts. Revenue derived from long-term contracts is recognized at the present value of future cash flows, discounted at market rates prevailing on the transaction date. Any difference between the original credit and its net present value is accounted for as interest income over the credit term. Revenue derived from the use of communication networks by the Group have been recognized in discontinued operations. See Note 33 to these Consolidated Financial Statements. · Sales and Development activities Revenue from sale and developments of real estate properties primarily comprises the results from the sale of trading properties. Results from the sale of properties are recognized only when the control has been transferred to the buyer. This normally takes place on unconditional exchange of contracts (except where payment or completion is expected to occur significantly after exchange). For conditional exchanges, sales are recognized when these conditions are satisfied. The Group also enters into barter transactions where the Group normally exchanges undeveloped parcels of land with third-party developers for future property to be constructed on the bartered land and on occasion, the Group also receives cash as part of the transactions. Legal title to the land together with all risks and rewards of ownership are transferred to the developer upon sale. The Group generally requires the developer to issue insurances or to mortgage the land in favor of the Group as performance guarantee. In the event the developer does not fulfill its obligations, the Group forecloses on the land through the execution of the mortgage or the surety insurances, together with a cash penalty. The Group determines that its barters have commercial substance and that the conditions for recording the income from the transfer of parcels or land are met at the time the swap operation is carried out. Revenues are recorded at the fair value of the goods delivered, adjusted as appropriate by the amount of cash received. In exchange for the parcels or land transferred, the Group generally receives cash and / or a right to receive future units that are part of the projects to be built on the parcels or land exchanged. This right is initially recognized at cost (this being the fair value of the land transferred) as an intangible asset in the statements of financial position. Said intangible asset is not adjusted in subsequent years unless it is impaired. The Group may sell the residential apartments to third-party homebuyers once they are finalized and transferred from the developer. In these circumstances, revenue is recognized when the control is transferred to the buyer. This will normally take place when the deeds of title are transferred to the homebuyer. However, the Group may market residential apartments during construction or even before construction commences. In these situations, buyers generally surrender a down payment to the Group with the remaining amount being paid when the developer completes the property and transfers it to the Group, and the Group in turn transfers it to the buyer. In these cases, revenue is not recognized until the apartments are completed and the transaction is legally completed, that is when the apartments are transferred to the homebuyers and deeds of title are executed. This is because in the event the residential apartments are not completed by the developer and consequently not delivered to the homebuyer, the Group is contractually obligated to return to the homebuyer any down payment received plus a penalty amount. The Group may then seek legal remedy against the developer for non-performance of its obligations under the agreement. The Group exercised judgment and considers that the most significant risk associated with the asset the Group holds (i.e. the right to receive the apartments) consisting of the non-fulfillment of the developer's obligations (i.e. to complete the construction of the apartments) has not been transferred to the homebuyers upon reception of the down payment. · Revenue from hotels Revenue income from hotel operations mainly includes room services, gastronomy and other services. Revenue from the sale of products is recognized when the product is delivered and the significant risks and rewards of ownership are transferred to the buyer. Revenue from the sale of services is recognized when the service is provided. Revenue from supermarket sales have been recognized in discontinued operations (see Note 33). |
Cost of sales | The cost of sales, includes the acquisition costs and the operational and management costs for shopping malls and offices held by the Group as part of its real estate investments. The Group’s cost of sales in relation to the supply of communication services mainly includes the costs to purchase equipment, salaries and related expenses, service costs, royalties, ongoing license dues, interconnection and roaming expenses, cell tower lease costs, depreciation and amortization expenses and maintenance expenses directly related to the services provided and they are classified in discontinued operations (see Note 33). The cost of sales of supermarkets, includes the acquisition costs for the products less discounts granted by suppliers, as well as all expenses associated with storing and handling inventories and is classified as discontinued operations (see Note 33). |
Cost of borrowings and capitalization | The costs for general and specific loans that are directly attributable to the acquisition, construction or production of suitable assets for which a prolonged period is required to place them in the conditions required for their use or sale, are capitalized as part of the cost of those assets until the assets are substantially ready for use or sale. The general loan costs are capitalized according to the average debt rate of the Group. Foreign exchange differences for loans in foreign currency are capitalized if they are considered an adjustment to interest costs. The interest earned on the temporary investments of a specific loan for the acquisition of qualifying assets are deducted from the eligible costs to be capitalized. The rest of the costs from loans are recognized as expenses in the period in which they are incurred. |
Share capital | Ordinary shares are classified as equity. Incremental costs directly attributable to the issue of new common shares or options are shown in equity as a deduction, net of tax, from the proceeds. When any Group’s subsidiary 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 until the shares are cancelled or reissued. When such common shares are subsequently reissued, any consideration received, net of any directly attributable incremental transaction costs and related income tax effects, is included in equity. Instruments issued by the Group that will be settled by the Company delivering a fixed number of its own equity instruments in exchange for a fixed amount of cash or another financial asset are classified as equity. |
Comparability of information | The balances as of June 30, 2022 and 2021 that are disclosed for comparative purposes were restated in accordance with IAS 29. See Note 2.1. Certain items from prior fiscal years have been reclassified for consistency purposes. Additionally, the Group has redefined the operating segments, see Note 6 to these Consolidated Financial Statements. |
Summary of significant accoun_3
Summary of significant accounting policies (Tables) | 12 Months Ended |
Jun. 30, 2023 | |
Schedule of evolution of these indices | |
Schedule of business through several operating and investment companies | % of ownership interest held by the Group Name of the entity Country Main activity 06.30.2023 06.30.2022 06.30.2021 IRSA's direct interest: E-Commerce Latina S.A. Argentina Investment 100.00% 100.00% 100.00% Efanur S.A. (3) Uruguay Investment - 100.00% 100.00% Hoteles Argentinos S.A.U. Argentina Hotel 100.00% 100.00% 100.00% Inversora Bolívar S.A. Argentina Investment 100.00% 100.00% 100.00% Llao Llao Resorts S.A. (1) Argentina Hotel 50.00% 50.00% 50.00% Nuevas Fronteras S.A. Argentina Hotel 76.34% 76.34% 76.34% Palermo Invest S.A. Argentina Investment 100.00% 100.00% 100.00% Ritelco S.A. Uruguay Investment 100.00% 100.00% 100.00% Tyrus S.A. Uruguay Investment 100.00% 100.00% 100.00% U.T. IRSA y Galerias Pacifico (1) Argentina Investment 50.00% 50.00% 50.00% Arcos del Gourmet S.A. Argentina Real estate 90.00% 90.00% 90.00% Emprendimiento Recoleta S.A. Argentina Real estate 53.68% 53.68% 53.68% Fibesa S.A.U. Argentina Real estate 100.00% 100.00% 100.00% Panamerican Mall S.A. Argentina Real estate 80.00% 80.00% 80.00% Shopping Neuquén S.A. Argentina Real estate 99.95% 99.95% 99.95% Torodur S.A. Uruguay Investment 100.00% 100.00% 100.00% EHSA Argentina Investment 70.00% 70.00% 70.00% Centro de Entretenimiento La Plata Argentina Real estate 100.00% 100.00% 100.00% We Are Appa S.A. Argentina Design and software development 98.67% 93.63% 93.63% Tyrus S.A.'s direct interest: DFL and DN BV Bermuda’s / Netherlands Investment 99.59% 99.50% 99.50% IRSA International LLC USA Investment 100.00% 100.00% 100.00% Jiwin S.A. (3) Uruguay Investment - 100.00% 100.00% Liveck S.A. (2) British Virgin Islands Investment 100.00% 100.00% 100.00% Real Estate Strategies LLC USA Investment 100.00% 100.00% 100.00% Efanur S.A.'s direct interest: Real Estate Investment Group VII LP (REIG VII) (3) Bermuda’s Investment - 100.00% 100.00% DFL's and DN BV's direct interest: Dolphin IL Investment Ltd. Israel Investment 100.00% 100.00% 100.00% |
Schedule of useful life | Buildings and facilities Between 5 and 50 years Machinery and equipment Between 3 and 24 years Others Between 3 and 25 years |
Significant judgments, key as_2
Significant judgments, key assumptions and estimates (Tables) | 12 Months Ended |
Jun. 30, 2023 | |
Significant judgments, key assumptions and estimates | |
Schedule of complexity, judgment or estimations involved in their application | Estimation Main assumptions Potential implications Main references Control, joint control or significant influence Judgment relative to the determination that the Group holds an interest in the shares of investees (considering the existence and influence of significant potential voting rights), its right to designate members in the executive management of such companies (usually the Board of directors) based on the investees’ bylaws; the composition and the rights of other shareholders of such investees and their capacity to establish operating and financial policies for investees or to take part in the establishment thereof. Accounting treatment of investments as subsidiaries (consolidation) or associates (equity method) Note 2.3 Recoverable amounts of cash-generating units (even those including goodwill), associates and assets. The discount rate and the expected growth rate before taxes in connection with cash-generating units. The discount rate and the expected growth rate after taxes in connection with associates. Cash flows are determined based on past experiences with the asset or with similar assets and in accordance with the Group’s best factual assumption relative to the economic conditions expected to prevail. Business continuity of cash-generating units. Appraisals made by external appraisers and valuators with relation to the assets’ fair value, net of realization costs (including real estate assets). Should any of the assumptions made be inaccurate, this could lead to differences in the recoverable values of cash-generating units. Note 8 – Investments in associates and joint ventures Note 10 – Property, plant and equipment Note 12 – Intangible assets Estimated useful life of intangible assets and property, plant and equipment Estimated useful life of assets based on their conditions. Recognition of accelerated or decelerated depreciation by comparison against final actual earnings (losses). Note 10 – Property, plant and equipment Note 12 – Intangible assets Fair value valuation of investment properties Fair value valuation made by external appraisers and valuators. See Note 10. Incorrect valuation of investment property values Note 9 – Investment properties Income tax The Group estimates the income tax amount payable for transactions where the Treasury’s Claim cannot be clearly determined. Additionally, the Group evaluates the recoverability of assets due to deferred taxes considering whether some or all of the assets will not be recoverable. Upon the improper determination of the provision for income tax, the Group will be bound to pay additional taxes, including fines and compensatory and punitive interest. Note 21 – Taxes Allowance for doubtful accounts A periodic review is conducted of receivables risks in the Group’s clients’ portfolios. Bad debts based on the expiration of account receivables and account receivables’ specific conditions. Improper recognition of charges / reimbursements of the allowance for bad debt. Note 15 – Trade and other receivables Level 2 and 3 financial instruments Main assumptions used by the Group are: Incorrect recognition of a charge to income / (loss). Note 14 – Financial instruments by category · Discounted projected income by interest rate · Values determined in accordance with the shares in equity funds on the basis of its Financial Statements, based on fair value or investment assessments. · Comparable market multiple (EV/GMV ratio). · Underlying asset price (Market price); share price volatility (historical) and market interest-rate (Libor rate curve). Probability estimate of contingent liabilities. Whether more economic resources may be spent in relation to litigation against the Group; such estimate is based on legal advisors’ opinions. Charge / reversal of provision in relation to a claim. Note 19 – Provisions Qualitative considerations for determining whether or not the replacement of the debt instrument involves significantly different terms The entire set of characteristics of the exchanged debt instruments, and the economic parameters represented therein: Average lifetime of the exchanged liabilities; Extent of effects of the debt terms (linkage to index; foreign currency; variable interest) on the cash flows from the instruments. Classification of a debt instrument in a manner whereby it will not reflect the change in the debt terms, which will affect the method of accounting recording. Note 14 – Financial instruments by category |
Financial risk management and_2
Financial risk management and fair value estimates (Tables) | 12 Months Ended |
Jun. 30, 2023 | |
Schedule of Group's derivative financial liabilities to the contractual maturity date. | 06.30.2023 Less than 1 year Between 1 and 2 years Between 2 and 3 years Between 3 and 4 years More than 4 years Total Trade and other payables 15,792 435 358 267 360 17,212 Borrowings 40,617 27,349 20,908 7,025 12,042 107,941 Finance leases obligations 281 291 330 317 4,140 5,359 Derivative Financial Instruments 6 - - - - 6 Total 56,696 28,075 21,596 7,609 16,542 130,518 06.30.2022 Less than 1 year Between 1 and 2 years Between 2 and 3 years Between 3 and 4 years More than 4 years Total Trade and other payables 9,971 222 86 56 86 10,421 Borrowings 132,974 22,572 4,635 248 683 161,112 Finance leases obligations 188 190 200 213 4,516 5,307 Derivative Financial Instruments 34 - - - - 34 Total 143,167 22,984 4,921 517 5,285 176,874 |
Schedule of Group's key metrics in relation to managing its capital structure | 06.30.2023 06.30.2022 Gearing ratio (i) 22.83 % 31.99 % Debt ratio (ii) 18.19 % 24.31 % |
Segment information (Tables)
Segment information (Tables) | 12 Months Ended |
Jun. 30, 2023 | |
Schedule of Group's lines of business and a reconciliation between the results from operations as per segment information | 06.30.2023 Total Joint ventures (1) Expenses and collective promotion funds Elimination of inter-segment transactions and non-reportable assets / liabilities (2) Total as per statement of income / statement of financial position Revenues 72,303 (453 ) 17,435 - 89,285 Costs (13,251 ) 198 (17,751 ) - (30,804 ) Gross profit / (loss) 59,052 (255 ) (316 ) - 58,481 Net loss from fair value adjustment of investment properties (51,180 ) 2,035 - - (49,145 ) General and administrative expenses (19,438 ) 67 - 52 (19,319 ) Selling expenses (4,538 ) 27 - - (4,511 ) Other operating results, net (7,284 ) (25 ) 166 (52 ) (7,195 ) Loss from operations (23,388 ) 1,849 (150 ) - (21,689 ) Share of profit of associates and joint ventures 3,889 (1,267 ) - - 2,622 Segment loss (19,499 ) 582 (150 ) - (19,067 ) Reportable assets 635,002 (3,588 ) - 80,198 711,612 Reportable liabilities (i) - - - (324,337 ) (324,337 ) Net reportable assets 635,002 (3,588 ) - (244,139 ) 387,275 06.30.2022 Total Joint ventures (1) Expenses and collective promotion funds Elimination of inter-segment transactions and non-reportable assets / liabilities (2) Total as per statement of income / statement of financial position Revenues 55,174 (502 ) 14,496 - 69,168 Costs (11,498 ) 196 (14,817 ) - (26,119 ) Gross profit / (loss) 43,676 (306 ) (321 ) - 43,049 Net gain / (loss) from fair value adjustment of investment properties 26,576 2,851 - - 29,427 General and administrative expenses (11,484 ) 57 - 50 (11,377 ) Selling expenses (4,834 ) 12 - - (4,822 ) Other operating results, net 61 - 120 (50 ) 131 Profit / (loss) from operations 53,995 2,614 (201 ) - 56,408 Share of profit of associates and joint ventures 1,005 (1,769 ) - - (764 ) Segment profit / (loss) 55,000 845 (201 ) - 55,644 Reportable assets 702,440 (4,180 ) - 105,407 803,667 Reportable liabilities (i) - - - (437,767 ) (437,767 ) Net reportable assets 702,440 (4,180 ) - (332,360 ) 365,900 06.30.2021 Total Joint ventures (1) Expenses and collective promotion funds Elimination of inter-segment transactions and non-reportable assets / liabilities (2) Total as per statement of income / statement of financial position Revenues 35,754 (179 ) 10,415 (110 ) 45,880 Costs (12,214 ) 247 (11,237 ) - (23,204 ) Gross profit / (loss) 23,540 68 (822 ) (110 ) 22,676 Net (loss) / gain from fair value adjustment of investment properties (27,040 ) (429 ) - - (27,469 ) General and administrative expenses (10,885 ) 48 - 170 (10,667 ) Selling expenses (5,338 ) 71 - - (5,267 ) Other operating results, net (551 ) (71 ) 378 (60 ) (304 ) (Loss) / profit from operations (20,274 ) (313 ) (444 ) - (21,031 ) Share of (loss) / profit of associates and joint ventures (14,102 ) (1,381 ) - - (15,483 ) Segment (loss) / profit (34,376 ) (1,694 ) (444 ) - (36,514 ) Reportable assets 724,290 (5,348 ) - 68,624 787,566 Reportable liabilities (i) - - - (495,128 ) (495,128 ) Net reportable assets 724,290 (5,348 ) - (426,504 ) 292,438 |
Schedule of lines of business of groups operations center | 06.30.2023 Shopping Malls Offices Sales and developments Hotels Others (i) Total Revenues 47,438 4,584 4,382 14,964 935 72,303 Costs (3,213 ) (379 ) (1,333 ) (7,580 ) (746 ) (13,251 ) Gross profit 44,225 4,205 3,049 7,384 189 59,052 Net loss from fair value adjustment of investment properties (11,169 ) (4,546 ) (35,352 ) - (113 ) (51,180 ) General and administrative expenses (6,682 ) (745 ) (2,560 ) (3,275 ) (6,176 ) (19,438 ) Selling expenses (2,168 ) (103 ) (1,123 ) (1,028 ) (116 ) (4,538 ) Other operating results, net (585 ) (69 ) (884 ) (143 ) (5,603 ) (7,284 ) Profit / (loss) from operations 23,621 (1,258 ) (36,870 ) 2,938 (11,819 ) (23,388 ) Share of profit of associates and joint ventures - - - - 3,889 3,889 Segment profit / (loss) 23,621 (1,258 ) (36,870 ) 2,938 (7,930 ) (19,499 ) Investment properties and trading properties 186,816 120,482 279,821 - 804 587,923 Investment in associates and joint ventures - - - - 28,698 28,698 Other operating assets 662 107 7,359 8,783 1,470 18,381 Reportable assets 187,478 120,589 287,180 8,783 30,972 635,002 06.30.2022 Shopping Malls Offices Sales and developments Hotels Others (i) Total Revenues 37,369 6,556 1,608 9,270 371 55,174 Costs (3,223 ) (632 ) (1,253 ) (5,295 ) (1,095 ) (11,498 ) Gross profit / (loss) 34,146 5,924 355 3,975 (724 ) 43,676 Net gain / (loss) from fair value adjustment of investment properties 1,192 (11,622 ) 36,877 - 129 26,576 General and administrative expenses (6,170 ) (735 ) (2,281 ) (1,574 ) (724 ) (11,484 ) Selling expenses (1,826 ) (168 ) (1,988 ) (733 ) (119 ) (4,834 ) Other operating results, net (306 ) (50 ) (103 ) (127 ) 647 61 Profit / (loss) from operations 27,036 (6,651 ) 32,860 1,541 (791 ) 53,995 Share of profit of associates and joint ventures - - - - 1,005 1,005 Segment profit / (loss) 27,036 (6,651 ) 32,860 1,541 214 55,000 Investment properties and trading properties 197,838 147,020 307,225 - 927 653,010 Investment in associates and joint ventures - - - - 24,960 24,960 Other operating assets 645 5,469 6,433 9,018 2,905 24,470 Reportable assets 198,483 152,489 313,658 9,018 28,792 702,440 06.30.2021 Shopping Malls Offices Sales and developments Hotels Others (i) Total Revenues 18,814 9,488 2,740 3,256 1,456 35,754 Costs (3,079 ) (509 ) (2,973 ) (3,765 ) (1,888 ) (12,214 ) Gross profit / (loss) 15,735 8,979 (233 ) (509 ) (432 ) 23,540 Net (loss) / gain from fair value adjustment of investment properties (71,894 ) 19,592 25,131 - 131 (27,040 ) General and administrative expenses (5,062 ) (1,478 ) (2,510 ) (1,506 ) (329 ) (10,885 ) Selling expenses (1,594 ) (661 ) (2,468 ) (498 ) (117 ) (5,338 ) Other operating results, net (445 ) (18 ) (18 ) (42 ) (28 ) (551 ) (Loss) / profit from operations (63,260 ) 26,414 19,902 (2,555 ) (775 ) (20,274 ) Share of loss of associates and joint ventures - - (57 ) - (14,045 ) (14,102 ) Segment (loss) / profit (63,260 ) 26,414 19,845 (2,555 ) (14,820 ) (34,376 ) Investment properties and trading properties 192,018 256,568 220,787 - 911 670,284 Investment in associates and joint ventures - - - - 31,495 31,495 Other operating assets 941 3,963 7,052 9,202 1,353 22,511 Reportable assets 192,959 260,531 227,839 9,202 33,759 724,290 |
Information about the main su_2
Information about the main subsidiaries (Tables) | 12 Months Ended |
Jun. 30, 2023 | |
Schedule of subsidiaries with significant non-controlling interests | Current Assets Non-current Assets Current Liabilities Non-current Liabilities Net assets % of ownership interest held by non-controlling interests Book value of non-controlling interests % of ownership interest held by controlling interests Book value of controlling interests 06.30.2023 2,164 112,945 1,463 28,015 85,631 20 % 17,126 80 % 68,505 06.30.2022 1,638 128,484 4,429 33,079 92,614 20 % 18,523 80 % 74,091 Revenues Comprehensive loss for the year Cash of Operating activities Cash of investing activities Cash of financial activities Net Increase / (decrease) in cash and cash equivalents Dividends distribution to non-controlling shareholders 06.30.2023 9,277 (6,100 ) 4,124 (874 ) (3,094 ) 156 177 06.30.2022 8,118 (2,434 ) 5,207 (630 ) (4,552 ) 25 - |
Investments in associates and_2
Investments in associates and joint ventures (Tables) | 12 Months Ended |
Jun. 30, 2023 | |
Schedule of Group's investments in joint ventures | 06.30.2023 06.30.2022 Beginning of the year 34,765 42,978 Capital contributions (Note 30) 55 2,231 Share of profit / (loss) 2,622 (764 ) Currency translation adjustment (51 ) (1,020 ) Dividends (Note 30) (319 ) (7,731 ) Reclassification to financial instruments - (320 ) Others - (609 ) End of the year (i) 37,072 34,765 |
Schedule of additional information related to the Groups investment | Name of the entity % ownership interest Value of Group's interest in equity Group's interest in comprehensive income / (loss) 06.30.2023 06.30.2022 06.30.2021 06.30.2023 06.30.2022 06.30.2023 06.30.2022 06.30.2021 Associates and joint ventures New Lipstick 49.96 % 49.96 % 49.96 % 243 308 (66 ) 149 (1,697 ) BHSA (1) 29.91 % 29.91 % 29.91 % 23,918 20,836 3,083 1,882 (2,673 ) Condor (2) - 21.70 % 18.89 % - - 76 916 (1,464 ) Quality (3) 50.00 % 50.00 % 50.00 % 6,987 8,316 (1,387 ) (2,119 ) (916 ) La Rural SA 50.00 % 50.00 % 50.00 % 1,214 524 705 (91 ) (476 ) GCDI (former TGLT S.A.) 27.82 % 27.82 % 27.82 % 1,915 1,753 162 (1,559 ) (7,625 ) Other joint ventures N/A N/A N/A 2,795 3,028 (2 ) (962 ) (8,531 ) Total associates and joint ventures 37,072 34,765 2,571 (1,784 ) (23,382 ) Name of the entity Place of business / Country of incorporation Main activity Latest financial statements issued Common shares 1 vote Share capital (nominal value) Profit / (loss) for the year Shareholders’ equity Associates and joint ventures New Lipstick USA Real estate 23,631,037 (*) 47 (*) (2) (*) (44) BHSA (1) Argentina Financial 448,689,072 (**) 1,500 (**) 10,306 (**) 77,676 Quality (3) Argentina Real estate 1,421,672,293 2,843 (2,768 ) 13,645 La Rural SA Argentina Organization of events 714,998 1 719 1,896 GCDI (former TGLT S.A.) Argentina Real estate 257,330,595 925 (2,008 ) 6,885 |
Schedule of financial information of the joint ventures considered to be material | Current Assets Non-current Assets Current Liabilities Non-current Liabilities Net assets % of ownership interest held Interest in associate and joint venture Goodwill and others Book value 06.30.2023 Associates BHSA 520,170 139,246 572,821 6,593 80,002 29.91 % 23,929 (11 ) 23,918 GCDI 14,898 26,748 17,971 16,790 6,885 27.82 % 1,915 - 1,915 Joint ventures Quality Invest (ii) 50 20,975 146 7,234 13,645 50.00 % 6,823 164 6,987 06.30.2022 Associates BHSA 520,704 172,333 604,692 19,318 69,027 29.91 % 20,646 190 20,836 GCDI 16,192 26,670 17,626 16,550 8,686 27.82 % 2,417 (664 ) 1,753 Joint ventures Quality Invest (ii) 131 24,771 152 8,448 16,302 50.00 % 8,151 165 8,316 Revenues Net income / (loss) Total comprehensive income / (loss) Dividend distribution Cash of operating activities Cash of investing activities Cash of financing activities Changes in cash and cash equivalents 06.30.2023 (i) Associates BHSA 168,559 10,306 10,306 - 8,077 (1,104 ) 8,051 15,024 GCDI 13,420 266 501 - (563 ) 501 64 2 Joint ventures Quality Invest (ii) 124 (2,768 ) (2,768 ) - (325 ) 48 234 (43 ) 06.30.2022 (i) Associates BHSA 116,506 6,295 6,295 - 71,590 (517 ) (52,997 ) 18,076 GCDI 9,050 (4,590 ) (4,503 ) - (2,850 ) 9,074 (5,454 ) 770 Joint ventures Quality Invest (ii) 445 (4,236 ) (4,236 ) - (90 ) (71 ) 206 45 |
Investment properties (Tables)
Investment properties (Tables) | 12 Months Ended |
Jun. 30, 2023 | |
Investment properties | |
Schedule of investment properties | 06.30.2023 06.30.2022 Level 2 Level 3 Level 2 Level 3 Fair value at the beginning of the year 449,610 182,674 330,860 316,608 Additions 3,317 2,711 15,875 4,424 Capitalized leasing costs 14 51 50 41 Amortization of capitalized leasing costs (i) (18 ) (17 ) (78 ) (19 ) Transfers 2,671 882 134,414 (136,475 ) Disposals (22,722 ) - (62,768 ) - Currency translation adjustment (18 ) - (75 ) - Net (loss) / gain from fair value adjustment (39,749 ) (9,396 ) 31,332 (1,905 ) Fair value at the end of the year 393,105 176,905 449,610 182,674 |
Schedule of investment property of the Group | 06.30.2023 06.30.2022 Shopping Malls (i) 185,564 194,328 Offices and other rental properties 132,460 160,258 Undeveloped parcels of land 251,387 275,848 Properties under development 78 1,222 Others 521 628 Total 570,010 632,284 |
Schedule of Group's borrowings and other payables | 06.30.2023 06.30.2022 Córdoba Shopping (i) 5,048 4,775 Total 5,048 4,775 |
Schedule of recognized in the Statements of Income | 06.30.2023 06.30.2022 06.30.2020 Revenues (Note 23) 70,517 58,814 39,005 Direct operating costs (22,176 ) (19,814 ) (15,660 ) Development costs (262 ) (400 ) (403 ) Net realized gain from fair value adjustment of investment properties (i) 12,106 30,138 38,255 Net unrealized loss from fair value adjustment of investment properties (ii) (61,251 ) (711 ) (65,724 ) |
Schedule of fair value measurements of investment properties | 06.30.23 (i) 06.30.22 (i) 06.30.21 (i) Description Valuation technique Parameters Range fiscal year 2023 / 2022 / 2021 Increase Decrease Increase Decrease Increase Decrease Shopping Malls (Level 3) Discounted cash flows Discount cash flows rate 15.25% / 14.53% / 13.53% (3,757 ) 4,024 (4,667 ) 5,019 (4,787 ) 5,172 Discount perpetually rate 14.20% / 14.53% / 13.53% (8,848 ) 10,891 (7,974 ) 9,835 (8,788 ) 11,051 Growth rate 2.4% / 2.4% / 2.4% 6,710 (5,662 ) 5,683 (4,816 ) 6,217 (5,204 ) Inflation (*) 24,052 (21,969 ) 22,670 (18,764 ) 28,886 (23,826 ) Devaluation (*) (16,082 ) 17,690 (16,725 ) 20,441 (15,403 ) 18,824 |
Property, Plant and Equipment (
Property, Plant and Equipment (Tables) | 12 Months Ended |
Jun. 30, 2023 | |
Property, Plant and Equipment | |
Schedule of property, plant and equipment | Buildings and facilities Machinery and equipment Others (i) Total Net book amount at the June 30, 2021 13,493 599 565 14,657 Costs 25,014 8,884 2,046 35,944 Accumulated depreciation (11,521 ) (8,285 ) (1,481 ) (21,287 ) Balances at June 30, 2021 13,493 599 565 14,657 Additions 608 110 4 722 Disposals (4 ) (2 ) - (6 ) Currency translation adjustment - - (6 ) (6 ) Transfers 3,216 41 - 3,257 Depreciation charges (ii) (1,076 ) (239 ) (84 ) (1,399 ) Net book amount at the June 30, 2022 16,237 509 479 17,225 Costs 28,833 9,033 2,044 39,910 Accumulated depreciation (12,596 ) (8,524 ) (1,565 ) (22,685 ) Balances at June 30, 2022 16,237 509 479 17,225 Additions 490 231 72 793 Disposals (3,382 ) - (2 ) (3,384 ) Currency translation adjustment - - (3 ) (3 ) Transfers (3,212 ) 25 - (3,187 ) Depreciation charges (ii) (942 ) (270 ) (84 ) (1,296 ) Net book amount at the June 30, 2023 9,191 495 462 10,148 Costs 22,729 9,289 2,111 34,129 Accumulated depreciation (13,538 ) (8,794 ) (1,649 ) (23,981 ) Balances at June 30, 2023 9,191 495 462 10,148 |
Trading Properties (Tables)
Trading Properties (Tables) | 12 Months Ended |
Jun. 30, 2023 | |
Schedule of trading properties | Completed properties Properties under development (i) Undeveloped sites Total At June 30, 2021 427 2,835 2,953 6,215 Additions - 1,015 80 1,095 Currency translation adjustment - (338 ) - (338 ) At June 30, 2022 427 3,512 3,033 6,972 Additions 30 144 143 317 Currency translation adjustment - 15 - 15 Transfers 147 - (579 ) (432 ) Disposals (11 ) (427 ) (255 ) (693 ) At June 30, 2023 593 3,244 2,342 6,179 June 30, 2023 June 30, 2022 Non-current 6,035 6,556 Current 144 416 Total 6,179 6,972 (i) Includes Zetol and Vista al Muelle plots of land, which have been mortgaged to secure Group's borrowings. The net book value amounted to ARS 3,243 and ARS 3,512 as of June 30, 2023 and 2022, respectively. Additionally, the Group has contractual obligations not provisioned related to these plots of lands committed when certain properties were acquired or real estate projects were approved, and amount to ARS 1,634 and ARS 2,054, respectively. 4 of the 6 units received for the Tower 1, built on plot 2, were sold, and the infrastructure work concerning sectors A and B of the property, which includes, among others, the coastal road, roundabouts, lights, landfills and storm and sewage connections for an amount of about USD 3.2 MM. Likewise, the exchange of Plot 2 was signed with the same developer of Plot 1, beginning the works at the end of 2022. |
Intangible assets (Tables)
Intangible assets (Tables) | 12 Months Ended |
Jun. 30, 2023 | |
Intangible assets | |
Schedule of intangible assets | Goodwill Information systems and software Future units to be received from barters and others Total Balance at June 30, 2021 476 723 7,284 8,483 Costs 476 2,788 8,373 11,637 Accumulated amortization - (2,065 ) (1,089 ) (3,154 ) Net book amount at June 30, 2021 476 723 7,284 8,483 Additions - 140 82 222 Disposals - - (1,015 ) (1,015 ) Impairment - (85 ) - (85 ) Amortization charges (i) - (319 ) (2 ) (321 ) Balance at June 30, 2022 476 459 6,349 7,284 Costs 476 2,843 7,440 10,759 Accumulated amortization - (2,384 ) (1,091 ) (3,475 ) Net book amount at June 30, 2022 476 459 6,349 7,284 Additions - 143 1,272 1,415 Disposals - - (179 ) (179 ) Transfers - - (200 ) (200 ) Amortization charges (i) - (352 ) (23 ) (375 ) Balance at June 30, 2023 476 250 7,219 7,945 Costs 476 2,986 8,333 11,795 Accumulated amortization - (2,736 ) (1,114 ) (3,850 ) Net book amount at June 30, 2023 476 250 7,219 7,945 |
Rights of use of assets (Tables
Rights of use of assets (Tables) | 12 Months Ended |
Jun. 30, 2023 | |
Rights of use of assets | |
Schedule of composition of the rights of use of the Group?s assets | 06.30.2023 06.30.2022 Offices, shopping malls and other rental properties 457 37 Machinery and equipment - 4 Convention center 2,478 2,637 Total Right-of-use assets 2,935 2,678 Non-current 2,935 2,678 Total 2,935 2,678 |
Schedule of changes in the Group?s rights of use | 06.30.2023 06.30.2022 Beginning of the year 2,678 2,868 Additions 451 - Depreciation charges (194 ) (190 ) Total 2,935 2,678 |
Schedule of depreciation charge for rights of use | 06.30.2023 06.30.2022 Offices, shopping malls and other rental properties 30 2 Machinery and equipment 4 10 Others 160 178 Total depreciation of right-of-use assets (i) 194 190 |
Schedule of other charges to income related to rights of use | June 30, 2023 June 30, 2022 Lease liabilities interests (222 ) (259 ) Results from short-term leases (134 ) (93 ) |
Financial instruments by cate_2
Financial instruments by category (Tables) | 12 Months Ended |
Jun. 30, 2023 | |
Financial instruments by category | |
Schedule of financial assets and financial liabilities | Financial assets at amortized cost Financial assets at fair value through profit or loss Subtotal financial assets Non-financial assets Total Level 1 Level 2 June 30, 2023 Assets as per Statements of Financial Position Trade and other receivables (excluding the allowance for doubtful accounts and other receivables) (Note 15) 24,152 - - 24,152 7,354 31,506 Investments in financial assets: - Public companies’ securities - 5,046 - 5,046 - 5,046 - Mutual funds - 20,152 - 20,152 - 20,152 - Bonds - 9,215 - 9,215 - 9,215 - Others 627 1,294 - 1,921 - 1,921 Cash and cash equivalents: - Cash at bank and on hand 5,254 - - 5,254 - 5,254 - Short-term investments - 3,481 - 3,481 - 3,481 Total assets 30,033 39,188 - 69,221 7,354 76,575 Financial liabilities at amortized cost Financial liabilities at fair value through profit or loss Subtotal financial liabilities Non-financial liabilities Total Level 1 Level 2 June 30, 2023 Liabilities as per Statements of Financial Position Trade and other payables (Note 18) 15,215 - - 15,215 20,228 35,443 Borrowings (Note 20) 107,941 - - 107,941 - 107,941 Derivative financial instruments: - Bond futures - 6 - 6 - 6 Total liabilities 123,156 6 - 123,162 20,228 143,390 Financial assets at amortized cost Financial assets at fair value through profit or loss Subtotal financial assets Non-financial assets Total Level 1 Level 2 June 30, 2022 Assets as per Statements of Financial Position Trade and other receivables (excluding the allowance for doubtful accounts and other receivables) (Note 15) 25,993 - - 25,993 8,544 34,537 Investments in financial assets: - Public companies’ securities - 2,902 - 2,902 - 2,902 - Mutual funds - 29,901 - 29,901 - 29,901 - Bonds - 8,205 - 8,205 - 8,205 - Others 22 571 - 593 - 593 Cash and cash equivalents: - Cash at bank and on hand 21,591 - - 21,591 - 21,591 - Short term investments - 5,952 - 5,952 - 5,952 Total assets 47,606 47,531 - 95,137 8,544 103,681 Financial liabilities at amortized cost Financial liabilities at fair value through profit or loss Subtotal financial liabilities Non-financial liabilities Total Level 1 Level 2 June 30, 2022 Liabilities as per Statements of Financial Position Trade and other payables (Note 18) 9,572 - - 9,572 16,472 26,044 Borrowings (Note 20) 161,112 - - 161,112 - 161,112 Derivative financial instruments: - Swaps - - 34 34 - 34 Total liabilities 170,684 - 34 170,718 16,472 187,190 |
Schedule of book value of financial instruments recognized | 06.30.2023 06.30.2022 Gross amounts recognized Gross amounts offset Net amount presented Gross amounts recognized Gross amounts offset Net amount presented Financial assets Trade and other receivables (excluding the allowance for doubtful accounts and other receivables) 25,635 (1,483 ) 24,152 27,136 (1,143 ) 25,993 Financial liabilities Trade and other payables 13,732 1,483 15,215 8,429 1,143 9,572 |
Schedule of income, expense, gains and losses on financial instruments | Financial assets / liabilities at amortized cost Financial assets / liabilities at fair value through profit or loss Total June 30, 2023 Interest income 825 - 825 Interest expense (11,909 ) - (11,909 ) Interest expense on lease liabilities (222 ) - (222 ) Foreign exchange gains, net 6,762 - 6,762 Gain from repurchase of NCN 199 - 199 Fair value gain on financial assets at fair value through profit or loss - 7,407 7,407 Interest and allowances generated by operating credits 661 - 661 Gain on derivative financial instruments, net - 46 46 Other finance costs (1,895 ) - (1,895 ) Total financial instruments (i) (5,579 ) 7,453 1,874 Financial assets / liabilities at amortized cost Financial assets / liabilities at fair value through profit or loss Total June 30, 2022 Interest income 998 - 998 Interest expense (17,614 ) - (17,614 ) Interest expense on lease liabilities (259 ) - (259 ) Foreign exchange gains, net 31,056 - 31,056 Gain from repurchase of NCN 3,148 - 3,148 Fair value gain on financial assets at fair value through profit or loss - 3,134 3,134 Interest and allowances generated by operating credits 276 - 276 Gain on derivative financial instruments, net - 70 70 Other finance costs (996 ) - (996 ) Total financial instruments (i) 16,609 3,204 19,813 Financial assets / liabilities at amortized cost Financial assets / liabilities at fair value through profit or loss Total June 30, 2021 Interest income 1,274 - 1,274 Interest expense (22,658 ) - (22,658 ) Interest expense on lease liabilities (341 ) - (341 ) Foreign exchange gains, net 24,818 - 24,818 Dividend income 2 - 2 Loss from repurchase of NCN (336 ) - (336 ) Fair value gain on financial assets at fair value through profit or loss - 18,799 18,799 Interest and allowances generated by operating credits 342 - 342 Loss on derivative financial instruments, net - (1,597 ) (1,597 ) Other finance costs (3,061 ) - (3,061 ) Total financial instruments (i) 40 17,202 17,242 |
Schedule of changes in Level 3 instruments | Investments in financial assets - Others Total Balances at June 30, 2021 170 170 Currency translation adjustment (17 ) (17 ) Write off (207 ) (207 ) Gain for the year (i) 54 54 Balances at June 30, 2022 (ii) - - |
Schedule of range of valuation models for the measurement of Level 2 and Level 3 instruments | Description Pricing model / method Parameters Fair value hierarchy Range Derivative financial instruments Swaps Theoretical price Underlying asset price and volatility Level 2 - |
Trade and other receivables (Ta
Trade and other receivables (Tables) | 12 Months Ended |
Jun. 30, 2023 | |
Trade and other receivables | |
Schedule of trade and other receivables | 06.30.2023 06.30.2022 Sale, leases and services receivables 14,919 17,273 Less: Allowance for doubtful accounts (1,194 ) (1,840 ) Total trade receivables 13,725 15,433 Borrowings, deposits and others 9,364 9,358 Advances to suppliers 2,329 1,977 Tax receivables 1,480 2,016 Prepaid expenses 609 730 Long-term incentive plan 1 1 Dividends - 440 Others 2,804 2,742 Total other receivables 16,587 17,264 Total trade and other receivables 30,312 32,697 Non-current 4,437 9,348 Current 25,875 23,349 Total 30,312 32,697 |
Schedule of allowance for doubtful accounts | 06.30.2023 06.30.2022 Beginning of the year 1,840 3,007 Additions (i) 210 539 Recovery (i) (121 ) (607 ) Currency translation adjustment 371 158 Receivables written off during the year as uncollectible - (26 ) Inflation adjustment (1,106 ) (1,231 ) End of the year 1,194 1,840 |
Schedule of an aging analysis of past due unimpaired and impaired receivables | Past due Up to 3 months From 3 to 6 months Over 6 months Non-past due Impaired Total % of representation Leases and services 455 123 1,031 11,901 1,194 14,704 98.56 % Consumer financing - - - 41 - 41 0.27 % Sale of properties and developments - - 173 1 - 174 1.17 % Total as of June 30, 2023 455 123 1,204 11,943 1,194 14,919 100.00 % Leases and services 843 513 1,399 12,086 1,840 16,681 96.57 % Consumer financing - - - 189 - 189 1.09 % Sale of properties and developments 86 - 43 274 - 403 2.32 % Total as of June 30, 2022 929 513 1,442 12,549 1,840 17,273 99.98 % |
Cash flow information (Tables)
Cash flow information (Tables) | 12 Months Ended |
Jun. 30, 2023 | |
Cash flow information | |
Schedule of cash flows generated | Note 06.30.2023 06.30.2022 06.30.2021 Profit / (loss) for the year 60,986 75,222 (132,885 ) Profit for the year from discontinued operations - - 31,545 Adjustments for Income tax 21 (64,517 ) 5,971 76,617 Amortization and depreciation 24 1,900 2,007 2,266 Loss from disposal of property, plant and equipment 684 - - Net loss / (gain) from fair value adjustment of investment properties 49,145 (29,427 ) 27,469 Impairment of others assets 34 - - Realization of currency translation adjustment (423 ) - - Gain from disposal of associates - - (132 ) Gain from disposal of trading properties (2,991 ) - - Financial results, net (19,307 ) (30,824 ) (23,372 ) Provisions and allowances 16,611 3,364 3,982 Share of loss / (profit) of associates and joint ventures 8 (2,622 ) 764 15,483 Changes in operating assets and liabilities: - (Increase) / decrease in inventories (62 ) (15 ) 93 Decrease / (increase) in trading properties 92 192 (99 ) (Increase) / decrease in trade and other receivables (704 ) (67 ) 5,353 (Decrease) / increase in trade and other payables (291 ) 1,345 (11,971 ) Increase in salaries and social security liabilities 920 67 188 Decrease in provisions (67 ) (209 ) (379 ) Net cash generated by / (used in) continuing operating activities before income tax paid 39,388 28,390 (5,842 ) Net cash generated by discontinued operating activities before income tax paid - - 12,023 Net cash generated by operating activities before income tax paid 39,388 28,390 6,181 |
Schedule of reclassification of assets and liabilities held for sale | June 30, 2023 June 30, 2022 June 30, 2021 Investment properties - - 415,546 Property, plant and equipment - - 169,649 Trading properties - - 27,185 Intangible assets - - 129,195 Investments in associates and joint ventures - - 171,253 Deferred income tax assets - - 2,007 Restricted assets - - 29,696 Income tax and MPIT credit - - 1,507 Trade and other receivables - - 249,909 Right-of-use assets - - 91,393 Investments in financial assets - - 111,862 Derivative financial instruments - - 1,300 Inventories - - 16,658 Group of assets held for sale - - 194,531 Borrowings - - (1,503,569 ) Lease liabilities - - (83,768 ) Deferred income tax liabilities - - (57,484 ) Trade and other payables - - (108,709 ) Provisions - - (25,083 ) Employee benefits - - (2,205 ) Derivative financial instruments - - (2,205 ) Salaries and social security liabilities - - (15,651 ) Group of liabilities held for sale - - (101,829 ) Income tax expense - - (2,106 ) Net value of deconsolidated assets that do not affect cash - - (290,918 ) Cash and cash equivalents - - (513,762 ) Non-controlling interest - - (221,013 ) Net value of deconsolidated assets - - (1,025,693 ) |
Schedule of detail of significant non-cash transactions | 06.30.2023 06.30.2022 06.30.2021 Increase of trading properties through an increase in borrowings - - 216 Increase of intangible assets through an increase of trade and other payables - 26 - Distribution of dividends in shares - - 2,572 Increase in non-convertible notes through a decrease in non-convertible notes 45,938 9,279 - Decrease of property, plant and equipment through an increase of tax receivables and tax payables - - 293 Increase in investment properties through an increase in trade and other payables 143 399 - Increase of investment properties through an increase of borrowings - - 1,440 Increase in intangible assets through a decrease in investment in associates - - 2,889 Currency translation adjustment 1,286 379 40,417 Increase in investment properties under barter agreements - 6,767 - Payment of non-convertible notes - 1,365 - Decrease in lease liabilities through a decrease in trade and other receivables - 6 - Decrease in investment properties through an increase in property, plant and equipment 23 3,359 - Decrease in property, plant and equipment through an increase in investment properties 3,210 1,293 - Decrease in property, plant and equipment through an increase in revaluation surplus 266 1,199 - Decrease in revaluation surplus through an increase in deferred income tax liabilities - 420 - Increase in intangible assets through an increase salaries and social security liabilities - 56 - Increase in investments in associates through a decrease in investments in financial assets - 1,865 - Decrease in borrowings through a decrease in trade and other receivables - 951 - Increase in investments in associates and joint ventures through a decrease in trade and other receivables 31 - - Increase in investments in associates and joint ventures through a decrease in investments in financial assets - 97 - Capital contributions from non-controlling interest through a decrease of borrowings - 9 - Capital contributions from non-controlling interest through an increase in trade and other receivables - 11 - Decrease of trading properties through an increase in intangible assets 1,272 - - Decrease in investments in financial assets through a decrease in trade and other payables 368 - - Decrease in dividends receivables through an increase in investments in financial assets 13 - - Decrease in Shareholders’ Equity through a decrease in trade and other receivables 1,695 - - Decrease in investment properties through a decrease in investments in financial assets 78 - - Decrease in Shareholders’ Equity through a decrease in investments in financial assets 2,536 - - Increase in right-of-use assets through a decrease in lease liabilities 451 - - Increase of investments in financial assets through a decrease in trade and other receivables 580 - - Decrease of intangible assets through an increase in investment properties 53 - - Decrease of intangible assets through an increase in trading properties 147 - - Increase of investment properties through a decrease in trade and other receivables 46 - - Decrease in Shareholders’ Equity through an increase in trade and other payables 191 - - Increase of investment properties through a decrease in trading properties 579 - - Decrease in borrowings through a decrease in trading properties 338 - - |
Trade and other payables (Table
Trade and other payables (Tables) | 12 Months Ended |
Jun. 30, 2023 | |
Trade and other payables | |
Schedule of trade and other payables | 06.30.2023 06.30.2022 Customers´ advances (*) 9,089 7,849 Trade payables 2,826 3,447 Accrued invoices 2,452 2,542 Admission fees (*) 8,170 5,551 Other income to be accrued 145 207 Tenant deposits 141 144 Total trade payables 22,823 19,740 Taxes payable 2,823 2,865 Other payables 9,797 3,439 Total other payables 12,620 6,304 Total trade and other payables 35,443 26,044 Non-current 9,838 7,668 Current 25,605 18,376 Total 35,443 26,044 |
Provisions (Tables)
Provisions (Tables) | 12 Months Ended |
Jun. 30, 2023 | |
Provisions | |
Schedule of provisions | Legal claims Investments in associates and joint ventures (ii) Total As of 06.30.21 897 26 923 Additions (i) 735 - 735 Share of profit of associates - (9 ) (9 ) Recovery (i) (170 ) - (170 ) Used during the year (209 ) - (209 ) Inflation adjustment (420 ) - (420 ) As of 06.30.22 833 17 850 Additions (i) 7,676 - 7,676 Share of profit of associates - (16 ) (16 ) Recovery (i) (224 ) - (224 ) Used during the year (67 ) - (67 ) Inflation adjustment (1,456 ) - (1,456 ) As of 06.30.23 6,762 1 6,763 06.30.2023 06.30.2022 Non-Current 5,919 423 Current 844 427 Total 6,763 850 |
Borrowings (Tables)
Borrowings (Tables) | 12 Months Ended |
Jun. 30, 2023 | |
Schedule of fair value of borrowings | Book value Fair value 06.30.2023 06.30.2022 06.30.2023 06.30.2022 NCN 96,599 142,749 97,277 134,546 Bank loans and others 2,575 2,182 2,575 2,195 Bank overdrafts 6,592 12,657 6,592 12,657 Other borrowings 1,720 3,061 1,720 3,061 Loans with non-controlling interests 455 463 455 463 Total borrowings 107,941 161,112 108,619 152,922 Non-current 67,324 28,138 Current 40,617 132,974 Total 107,941 161,112 |
Schedule of maturity of the group's borrowings | 06.30.2023 06.30.2022 Capital Less than 1 year 39,029 129,796 Between 1 and 2 years 27,146 22,572 Between 2 and 3 years 20,794 4,499 Between 3 and 4 years 7,025 229 Between 4 and 5 years 12,042 545 106,036 157,641 Interest Less than 1 year 1,588 3,178 Between 1 and 2 years 203 - Between 2 and 3 years 114 136 Between 3 and 4 years - 19 Between 4 and 5 years - 138 1,905 3,471 107,941 161,112 |
Schedule of borrowing by type of fixed-rate and floating-rate | 06.30.2023 Rate per currency Argentine Peso US dollar Total Fixed rate: Argentine Peso 19,395 - 19,395 US Dollar - 86,205 86,205 Subtotal fixed-rate borrowings 19,395 86,205 105,600 Floating rate: Argentine Peso 2,341 - 2,341 Subtotal floating-rate borrowings 2,341 - 2,341 Total borrowings as per analysis 21,736 86,205 107,941 Total borrowings as per Statement of Financial Position 21,736 86,205 107,941 06.30.2022 Rate per currency Argentine Peso US dollar Total Fixed rate: Argentine Peso 25,477 - 25,477 US Dollar - 134,197 134,197 Subtotal fixed-rate borrowings 25,477 134,197 159,674 Floating rate: Argentine Peso 901 - 901 US Dollar - 537 537 Subtotal floating-rate borrowings 901 537 1,438 Total borrowings as per analysis 26,378 134,734 161,112 Total borrowings as per Statement of Financial Position 26,378 134,734 161,112 |
Schedule of debt issuances | Entity Series Issuance / expansion date Amount in original currency Maturity date Interest Principal payment Interest payment rate IRSA Series XIII aug-21 USD 58.1 03/31/2024 3.90% n.a Biannual Quarterly IRSA Series XIV jul-22 USD 171.20 06/22/2028 8.75% n.a. 17.5% in June 2024 – 17.5% in June 2025 – 17.5% in June 2026 – 17.5% in June 2027 - 30% in June 2028 Biannual IRSA Series XV jan-23 USD 61.75 03/25/2025 8.00% n.a. At expiration Biannual IRSA Series XVI jan-23 USD 28.25 07/25/2025 7.00% n.a. At expiration Biannual IRSA Series XVII jun-23 USD 25 12/07/2025 5.00% n.a. At expiration 1° quarterly and then biannual |
Schedule of evolution of borrowing | 06.30.2023 06.30.2022 Balance at the beginning of the year 161,112 219,648 Borrowings 80,829 16,011 Payment of borrowings (112,982 ) (25,512 ) Payment of short term loans, net (1,442 ) (2,154 ) Interests paid (13,331 ) (17,686 ) Accrued interests 7,477 16,647 Cumulative translation adjustment and exchange differences, net 72,773 48,842 Inflation adjustment (86,117 ) (91,978 ) Reclassifications and other movements (378 ) (2,706 ) Balance at the end of the year 107,941 161,112 |
Taxes (Tables)
Taxes (Tables) | 12 Months Ended |
Jun. 30, 2023 | |
Schedule of provision for group income tax | 06.30.2023 06.30.2022 06.30.2021 Current income tax (i) 18,531 (35,588 ) (3,387 ) Deferred income tax 45,986 29,617 (73,230 ) Income tax from continuing operations 64,517 (5,971 ) (76,617 ) |
Schedule of statutory taxes rates | Tax jurisdiction Income tax rate Argentina 25% - 35% Uruguay 0% - 25% U.S.A 0% - 21% Bermuda / British Virgin Islands / Netherlands 0% Israel 23% - 24% |
Schedule of reconciliation of income tax expense | 06.30.2023 06.30.2022 06.30.2021 Loss / (profit) from continuing operations at tax rate applicable in the respective countries (i) 1,003 (28,198 ) 7,420 Permanent differences: Share of loss / (profit) of associates and joint ventures 305 (334 ) (4,646 ) (Unrecognized tax loss carryforwards) / tax loss carryforwards recovery (543 ) 10,022 (8,347 ) Inflation adjustment permanent difference (IAS 29) 27,740 33,710 12,448 Tax rate differential - - (53,684 ) Difference between provision and tax return (ii) 10,955 (179 ) 962 Non-taxable profit, non-deductible expenses and others 373 (527 ) (1,244 ) Fiscal transparency - - (593 ) Tax inflation adjustment 24,684 (20,465 ) (28,933 ) Income tax from continuing operations 64,517 (5,971 ) (76,617 ) |
Schedule of deferred tax assets and liabilities | 06.30.2023 06.30.2022 Deferred income tax asset to be recovered after more than 12 months 4,097 2,076 Deferred income tax asset to be recovered within 12 months 4,512 2,223 Deferred income tax assets 8,609 4,299 06.30.2023 06.30.2022 Deferred income tax liability to be recovered after more than 12 months (171,317 ) (215,702 ) Deferred income tax liability to be recovered within 12 months (3,683 ) (974 ) Deferred income tax liability (175,000 ) (216,676 ) Deferred income tax liabilities, net (166,391 ) (212,377 ) |
Schedule of movement in the deferred income tax assets and liabilities | 06.30.2022 Charged / (Credited) to the Consolidated Statement of Income and Other Comprehensive Income 06.30.2023 Assets Investment properties and Property, plant and equipment 97 (50 ) 47 Trade and other payables 3,261 2,215 5,476 Tax loss carry-forwards 1,001 1,761 2,762 Borrowings 369 (357 ) 12 Trade and other receivables (418 ) 408 (10 ) Others (11 ) 333 322 Subtotal assets 4,299 4,310 8,609 Liabilities Investment properties and Property, plant and equipment (192,408 ) 30,378 (162,030 ) Trade and other receivables (823 ) (241 ) (1,064 ) Investments (67 ) (2,458 ) (2,525 ) Tax inflation adjustment (22,015 ) 14,822 (7,193 ) Borrowings - 28 28 Intangible assets (1,466 ) (296 ) (1,762 ) Others 103 (557 ) (454 ) Subtotal liabilities (216,676 ) 41,676 (175,000 ) Assets (Liabilities), net (212,377 ) 45,986 (166,391 ) 06.30.2021 Charged / (Credited) to the Consolidated Statement of Income and Other Comprehensive Income Revaluation surplus reserve 06.30.2022 Assets Investment properties and Property, plant and equipment 1,807 (1,710 ) - 97 Trade and other payables 2,660 601 - 3,261 Tax loss carry-forwards 824 177 - 1,001 Borrowings 3,805 (3,436 ) - 369 Trade and other receivables 10,378 (10,796 ) - (418 ) Others 1,808 (1,819 ) - (11 ) Subtotal assets 21,282 (16,983 ) - 4,299 Liabilities Investment properties and Property, plant and equipment (204,396 ) 12,523 (535 ) (192,408 ) Trade and other receivables (11,626 ) 10,803 - (823 ) Investments (9 ) (58 ) - (67 ) Tax inflation adjustment (45,957 ) 23,942 - (22,015 ) Borrowings 6 (6 ) - - Intangible assets (265 ) (1,201 ) - (1,466 ) Others (494 ) 597 - 103 Subtotal liabilities (262,741 ) 46,600 (535 ) (216,676 ) Assets (Liabilities), net (241,459 ) 29,617 (535 ) (212,377 ) |
Schedule of tax loss carry forward | Date of generation Date of generation Total 2018 2023 121 2019 2024 172 2020 2025 472 2021 2026 4,695 2022 2027 1,474 2023 2028 898 Total cumulative tax loss carry-forwards 7,832 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Jun. 30, 2023 | |
Leases | |
Schedule of future minimum payments | 06.30.2023 06.30.2022 06.30.2021 No later than one year 292 220 278 Later than one year and not later than five years 1,538 1,273 1,594 Later than five years 3,539 4,171 5,686 5,369 5,664 7,558 |
Schedule of non-cancellable operating leases | 06.30.2023 06.30.2022 06.30.2021 No later than one year 12,101 5,840 14,222 Later than one year and not later than five years 12,024 15,233 28,489 Later than five years 578 2,746 8,011 24,703 23,819 50,722 |
Revenues (Tables)
Revenues (Tables) | 12 Months Ended |
Jun. 30, 2023 | |
Revenues | |
Schedule of revenues | 06.30.2023 06.30.2022 06.30.2021 Base rent 25,506 21,617 16,186 Contingent rent 19,368 17,885 5,087 Admission rights 3,983 3,012 2,771 Parking fees 2,094 1,242 132 Commissions 1,184 891 559 Property management fees 457 499 542 Others 495 321 864 Averaging of scheduled rent escalation (6 ) (1,148 ) 2,449 Rentals and services income 53,081 44,319 28,590 Revenue from hotels operation and tourism services 14,961 9,266 3,256 Sale of trading properties 3,807 1,088 3,619 Total revenues from sales, rentals and services 71,849 54,673 35,465 Expenses and collective promotion fund 17,436 14,495 10,415 Total revenues from expenses and collective promotion funds 17,436 14,495 10,415 Total Group’s revenues 89,285 69,168 45,880 |
Expenses by nature (Tables)
Expenses by nature (Tables) | 12 Months Ended |
Jun. 30, 2023 | |
Expenses by nature | |
Schedule of expenses by nature | Costs General and administrative expenses Selling expenses 06.30.2023 Cost of sale of goods and services 2,014 - - 2,014 Salaries, social security costs and other personnel expenses 10,788 5,616 683 17,087 Depreciation and amortization 1,342 543 15 1,900 Fees and payments for services 532 1,818 938 3,288 Maintenance, security, cleaning, repairs and others 8,301 992 11 9,304 Advertising and other selling expenses 4,700 8 324 5,032 Taxes, rates and contributions 2,006 582 2,409 4,997 Director´s fees (Note 30) (*) - 9,070 - 9,070 Leases and service charges 560 180 13 753 Allowance for doubtful accounts, net - - 89 89 Other expenses 561 510 29 1,100 Total as of June 30, 2023 30,804 19,319 4,511 54,634 (*) This amount was approved by the Shareholders' Meeting dated on October 5, 2023. Costs General and administrative expenses Selling expenses 06.30.2022 Cost of sale of goods and services 1,313 - - 1,313 Salaries, social security costs and other personnel expenses 9,293 4,337 325 13,955 Depreciation and amortization 1,337 662 8 2,007 Fees and payments for services 543 1,454 1,089 3,086 Maintenance, security, cleaning, repairs and others 7,539 960 7 8,506 Advertising and other selling expenses 2,860 - 672 3,532 Taxes, rates and contributions 2,354 460 2,754 5,568 Director´s fees (Note 30) - 2,836 - 2,836 Leases and service charges 554 181 16 751 Allowance for doubtful accounts, net - - (68 ) (68 ) Other expenses 326 487 19 832 Total as of June 30, 2022 26,119 11,377 4,822 42,318 Costs General and administrative expenses Selling expenses 06.30.2021 Cost of sale of goods and services 3,534 - - 3,534 Salaries, social security costs and other personnel expenses 7,914 4,088 515 12,517 Depreciation and amortization 1,455 791 20 2,266 Fees and payments for services 448 807 1,043 2,298 Maintenance, security, cleaning, repairs and others 5,937 967 9 6,913 Advertising and other selling expenses 1,265 - 142 1,407 Taxes, rates and contributions 1,805 439 2,781 5,025 Director´s fees (Note 30) - 2,988 - 2,988 Leases and service charges 668 126 49 843 Allowance for doubtful accounts, net - - 685 685 Other expenses 178 461 23 662 Total as of June 30, 2021 23,204 10,667 5,267 39,138 |
Costs (Tables)
Costs (Tables) | 12 Months Ended |
Jun. 30, 2023 | |
Costs | |
Schedule of cost of goods sold and services | 06.30.2023 06.30.2022 06.30.2021 Inventories at the beginning of the year (*) 7,241 6,470 62,949 Purchases and expenses 31,183 27,230 4,913 Currency translation adjustment 15 (340 ) (20,448 ) Transfers (432 ) - (1,082 ) Disposals (693 ) - - Deconsolidation - - (16,658 ) Inventories at the end of the year (*) (6,510 ) (7,241 ) (6,470 ) Total costs 30,804 26,119 23,204 |
Schedule of inventories | 06.30.2023 06.30.2022 Real estate 6,179 6,972 Others 331 269 Total inventories at the end of the year (*) 6,510 7,241 |
Other operating results net (Ta
Other operating results net (Tables) | 12 Months Ended |
Jun. 30, 2023 | |
Schedule of other operating results | 06.30.2023 06.30.2022 06.30.2021 Result from purchase / sale of subsidiary and associates - - 130 Realization of currency translation adjustment (*) 428 - - Donations (355 ) (323 ) (485 ) Lawsuits and other contingencies (7,452 ) (596 ) (309 ) Administration fees 107 80 35 Interest and allowances generated by operating credits 661 276 342 Loss from disposal of property, plant and equipment (684 ) - - Others 100 694 (17 ) Total other operating results, net (7,195 ) 131 (304 ) |
Financial results net (Tables)
Financial results net (Tables) | 12 Months Ended |
Jun. 30, 2023 | |
Schedule of financial results | 06.30.2023 06.30.2022 06.30.2021 Finance income: - Interest income 825 998 1,274 - Dividend income - - 2 Total finance income 825 998 1,276 Finance costs: - Interest expenses (12,131 ) (17,873 ) (24,655 ) - Other finance costs (1,745 ) (1,945 ) (2,801 ) Subtotal finance costs (13,876 ) (19,818 ) (27,456 ) Capitalized finance costs - - 1,656 Total finance costs (13,876 ) (19,818 ) (25,800 ) Other financial results: - Fair value gain of financial assets and liabilities at fair value through profit or loss, net 7,407 3,134 18,799 - Exchange rate differences, net 6,762 31,056 24,818 - Gain / (loss) from repurchase of NCN 199 3,148 (336 ) - Gain / (loss) from derivative financial instruments, net 46 70 (1,597 ) - Other financial results (150 ) 949 (260 ) Total other financial results 14,264 38,357 41,424 - Inflation adjustment 14,323 6,012 (5,109 ) Total financial results, net 15,536 25,549 11,791 |
Earnings per share (Tables)
Earnings per share (Tables) | 12 Months Ended |
Jun. 30, 2023 | |
Profit / (loss) per share attributable to equity holders of the parent: (ii) | |
Schedule of reconciliation between the weighted-average number of common shares outstanding | June 30, 2023 June 30, 2022 June 30, 2021 Weighted - average outstanding shares 748 756 550 Adjustments for calculation of diluted earnings per share Treasury shares (11 ) (23 ) - Warrants 8 8 - Weighted - average diluted common shares 745 741 550 |
Schedule of basic earnings per share | June 30, 2023 June 30, 2022 June 30, 2021 Profit / (loss) for the year of continuing operations attributable to equity holders of the parent 60,243 74,487 (80,877 ) Loss for the year of discontinued operations attributable to equity holders of the parent - - (24,923 ) Profit / (loss) for the year attributable to equity holders of the parent 60,243 74,487 (105,800 ) Weighted average number of common shares outstanding 748 756 550 Basic earnings per share (i) 80.54 98.53 (192.36 ) |
Schedule of diluted earnings per share | June 30, 2023 June 30, 2022 June 30, 2021 Profit / (loss) for the year of continuing operations attributable to equity holders of the parent 60,243 74,487 (80,877 ) Loss for the year of discontinued operations attributable to equity holders of the parent - - (24,923 ) Profit / (loss) for the year per share attributable to equity holders of the parent 60,243 74,487 (105,800 ) Weighted average number of common shares outstanding 745 741 550 Diluted earnings per share 80.86 100.52 (192.36 ) (i) EPSs for 2022 and 2021 show the comparative impact in the capital increases, where there was no corresponding change in the entity’s resources. |
Employee benefits and share-b_2
Employee benefits and share-based payments (Tables) | 12 Months Ended |
Jun. 30, 2023 | |
Employee benefits and share-based payments | |
Schedule of movements in the number of matching shares outstanding | 06.30.2023 06.30.2022 06.30.2021 At the beginning 2.0 2.1 2.4 Granted - (0.1 ) (0.3 ) At the end 2 2.0 2.1 |
Related party transactions (Tab
Related party transactions (Tables) | 12 Months Ended |
Jun. 30, 2023 | |
Related party transactions | |
Schedule of company's senior management | Name Date of Birth Position Current position since Eduardo S. Elsztain 01/26/1960 General Manager 1991 Arnaldo Jawerbaum 08/13/1966 Operating Manager 2022 Jorge Cruces 11/07/1966 Investment Manager 2020 Matías I. Gaivironsky 02/23/1976 Administrative and Financial Manager 2011 |
Schedule of balances with related parties | Item 06.30.2023 06.30.2022 Trade and other receivables 7,809 9,447 Investments in financial assets 1,722 6,110 Borrowings (308 ) (358 ) Trade and other payables (8,768 ) (2,402 ) Total 455 12,797 |
Schedule of results with related parties | Related party 06.30.2023 06.30.2022 Description of transaction Item New Lipstick LLC 62 65 Reimbursement of expenses receivable Trade and other receivable Comparaencasa Ltd. 559 589 Other investments Investments in financial assets - (88 ) Others Trade and other payables Galerias Pacifico 1,570 1,516 Others Trade and other receivable La Rural S.A. 796 530 Loans granted Trade and other receivable - 440 Dividends Trade and other receivable (137 ) (11 ) Others Trade and other payables 2 9 Others Trade and other receivable Other associates and joint ventures 1 2 Reimbursement of expenses receivable Trade and other receivable (86 ) (132 ) Loans obtained Borrowings 12 14 Leases and/or rights of use receivable Trade and other receivable 45 - Irrevocable contributions pending subscription Trade and other receivable 27 41 Management Fee Trade and other receivable (134 ) (135 ) NCN Borrowings (70 ) (91 ) Others Trade and other payables 18 108 Others Trade and other receivable 1 2 Share based payments Trade and other payables Total associates and joint ventures 2,666 2,859 Cresud - 11 Reimbursement of expenses receivable Trade and other receivable (784 ) (897 ) Corporate services receivable Trade and other payables 427 5,521 NCN Investment in financial assets (252 ) (442 ) Others Trade and other payables (3 ) (6 ) Share based payments Trade and other payables Total parent company (612 ) 4,187 Futuros y Opciones S.A. 1 4 Others Trade and other receivable Helmir S.A. (88 ) (91 ) NCN Borrowings Total subsidiaries of parent company (87 ) (87 ) Directors (7,388 ) (785 ) Fees for services received Trade and other payables - 1,300 Advances Trade and other receivable Rundel Global LTD 736 - Other investments Investments in financial assets Yad Levim LTD 4,739 4,762 Loans granted Trade and other receivable Others (1) (9 ) (28 ) Leases and/or rights of use receivable Trade and other payables 511 591 Others Trade and other receivable (126 ) (30 ) Others Trade and other payables - (26 ) Management Fee Trade and other payables 25 54 Reimbursement of expenses receivable Trade and other receivable Total directors and others (1,512 ) 5,838 Total at the end of the year 455 12,797 Related party 06.30.2023 06.30.2022 06.30.2021 Description of transaction BACS - 125 276 Financial operations Metropolitan (1) - 67 54 Financial operations BHN Vida S.A (3 ) 54 54 Leases and/or rights of use BHN Seguros Generales S.A. (1 ) 52 22 Leases and/or rights of use Lipstick Management LLC - 43 30 Financial operations Comparaencasa Ltd. 75 414 - Financial operations La Rural S.A. - - (54 ) Leases and/or rights of use Condor 4 58 901 Financial operations Otras asociadas y negocios conjuntos 70 293 41 Financial operations (63 ) (30 ) (28 ) Leases and/or rights of use 92 67 - Corporate services Total associates and joint ventures 174 1,143 1,296 Cresud 103 132 127 Leases and/or rights of use (2,846 ) (2,455 ) (2,520 ) Corporate services 3,975 (54 ) 1,164 Financial operations Total parent company 1,232 (2,377 ) (1,229 ) Helmir (25 ) 2 338 Financial operations Total subsidiaries of parent company (25 ) 2 338 Directors (9,070 ) (2,836 ) (2,988 ) Fees and remunerations Senior Management (178 ) (166 ) (155 ) Fees and remunerations Rundel Globa LTD 132 - - Financial operations Yad Leviim LTD 215 244 - Financial operations Others (2) 15 13 - Corporate services (18 ) 22 (56 ) Leases and/or rights of use (23 ) 37 (6 ) Financial operations (150 ) (136 ) (188 ) Donations (215 ) (32 ) - Fees and remuneration (100 ) (106 ) (106 ) Legal services Total others 9,392 (2,960 ) (3,499 ) Total at the end of the year 8,011 ) (4,192 ) (3,094 ) |
Schedule of transactions with related parties | Related party 06.30.2023 06.30.2022 Description of the operation Quality (55 ) (88 ) Capital contributions Condor - (1,865 ) Exchange of shares Comparaencasa - (278 ) Capital contributions Total capital contributions (55 ) (2,231 ) Cresud (18,797 ) - Dividend distributed Helmir (948 ) - Dividend distributed Total other transactions (19,745 ) - Condor 103 7,731 Dividends received Nuevo Puerto Santa Fe 216 - Dividends received Total other transactions 319 7,731 |
Foreign currency assets and l_2
Foreign currency assets and liabilities (Tables) | 12 Months Ended |
Jun. 30, 2023 | |
Foreign currency assets and liabilities | |
Schedule of book amounts of foreign currency assets and liabilities | Item / Currency (3) Amount (1) Peso exchange rate (2) 06.30.2023 06.30.2022 Assets Trade and other receivables US Dollar 25.58 256.30 6,557 7,358 Euros 0.08 279.42 23 24 Receivables with related parties: US Dollar 20.31 256.70 5,214 4,881 Total trade and other receivables 11,794 12,263 Investments in financial assets US Dollar 71.46 256.30 18,314 3,714 Pounds 0.73 326.75 237 211 New Israel Shekel 5.04 69.20 349 1,237 Investments with related parties: US Dollar 5.87 256.70 1,506 6,174 Total investments in financial assets 20,406 11,336 Cash and cash equivalents US Dollar 17.01 256.30 4,359 19,885 Euros 0.01 279.42 2 2 New Israel Shekel 0.38 69.20 26 - Total cash and cash equivalents 4,387 19,887 Total Assets 36,587 43,486 Liabilities Trade and other payables US Dollar 16.34 256.70 4,194 2,313 Euros - 280.50 - 2 Uruguayan pesos 1.31 6.87 9 - Payables to related parties: US Dollar 0.05 256.70 12 129 Total Trade and other payables 4,215 2,444 Borrowings US Dollar 338.09 256.70 86,787 134,744 Borrowings with related parties US Dollar 1.13 256.70 291 300 Total Borrowings 87,078 135,044 Derivative financial instruments US Dollar 0.02 256.70 6 34 Total derivative financial instruments 6 34 Lease liabilities US Dollar 11.34 256.70 2,910 2,404 Total lease liabilities 2,910 2,404 Provisions New Israel Shekel 80.00 69.20 5,536 - Total Provisions 5,536 - Total Liabilities 99,745 139,926 |
Results from discontinued ope_2
Results from discontinued operations (Tables) | 12 Months Ended |
Jun. 30, 2023 | |
Results from discontinued operations | |
Schedule of discontinued operations | 06.30.2023 06.30.2022 06.30.2021 Revenues - - 133,783 Costs - - (108,552 ) Gross profit - - 25,231 Net loss from fair value adjustment of investment properties - - (98 ) General and administrative expenses - - (15,399 ) Selling expenses - - (14,669 ) Other operating results, net - - 5,006 Profit from operations - - 71 Share of profit of associates and joint ventures - - 2,542 Profit before financial results and income tax - - 2,613 Finance income - - 1,858 Finance cost - - (24,395 ) Other financial results - - 1,613 Financial results, net - - (20,924 ) Loss before income tax - - (18,311 ) Income tax - - 978 Loss from operations that are discontinued - - (17,333 ) Loss for loss of control - - (14,212 ) Loss from discontinued operations - - (31,545 ) Loss for the year from discontinued operations attributable to: Equity holders of the parent - - (24,923 ) Non-controlling interest - - (6,622 ) Loss per share from discontinued operations attributable to equity holders of the parent: Basic - - (45.31 ) Diluted - - (45.31 ) |
The Groups business and general
The Groups business and general information (Details Narrative) | 12 Months Ended |
Jun. 30, 2023 | |
Business combinations interest, percent | 29.91% |
Ownership[ Interest | 50% |
Summary of significant accoun_4
Summary of significant accounting (Details) | Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 |
Annual | 116% | 64% | 50% |
Accumulated in three years | 431% |
Summary of significant accoun_5
Summary of significant accounting policies (Details 1) | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
IRSA CP's Direct Interest [Member] | Panamerican Mall S.A [Member] | |||
Statement [Line Items] | |||
Country | Argentina | ||
Main activity | Real estate | ||
% of ownership interest held by the Group | 80% | 80% | 80% |
IRSA CP's Direct Interest [Member] | We Are Appa S A [Member] | |||
Statement [Line Items] | |||
Country | Argentina | ||
Main activity | Design and software development | ||
% of ownership interest held by the Group | 98.67% | 93.63% | 93.63% |
IRSA CP's Direct Interest [Member] | Arcos del Gourmet S.A. [Member] | |||
Statement [Line Items] | |||
Country | Argentina | ||
Main activity | Real estate | ||
% of ownership interest held by the Group | 90% | 90% | 90% |
IRSA CP's Direct Interest [Member] | Emprendimiento Recoleta S.A. [Member] | |||
Statement [Line Items] | |||
Country | Argentina | ||
Main activity | Real estate | ||
% of ownership interest held by the Group | 53.68% | 53.68% | 53.68% |
IRSA CP's Direct Interest [Member] | Fibesa S.A. [Member] | |||
Statement [Line Items] | |||
Country | Argentina | ||
Main activity | Real estate | ||
% of ownership interest held by the Group | 100% | 100% | 100% |
IRSA CP's Direct Interest [Member] | Shopping Neuquen S.A. [Member] | |||
Statement [Line Items] | |||
Country | Argentina | ||
Main activity | Real estate | ||
% of ownership interest held by the Group | 99.95% | 99.95% | 99.95% |
IRSA CP's Direct Interest [Member] | Torodur S.A. [Member] | |||
Statement [Line Items] | |||
Country | Uruguay | ||
Main activity | Investment | ||
% of ownership interest held by the Group | 100% | 100% | 100% |
IRSA CP's Direct Interest [Member] | EHSA [Member] | |||
Statement [Line Items] | |||
Country | Argentina | ||
Main activity | Investment | ||
% of ownership interest held by the Group | 70% | 70% | 70% |
IRSA CP's Direct Interest [Member] | Centro De Entretenimiento La Plata [Member] | |||
Statement [Line Items] | |||
Country | Argentina | ||
Main activity | Real estate | ||
% of ownership interest held by the Group | 100% | 100% | 100% |
IRSA's Direct Interest [Member] | Efanur S.A. [Member] | |||
Statement [Line Items] | |||
Country | Uruguay | ||
Main activity | Investment | ||
% of ownership interest held by the Group | 0% | 100% | 100% |
IRSA's Direct Interest [Member] | Hoteles Argentinos S.A. [Member] | |||
Statement [Line Items] | |||
Country | Argentina | ||
Main activity | Hotel | ||
% of ownership interest held by the Group | 100% | 100% | 100% |
IRSA's Direct Interest [Member] | Inversora Bolivar S.A. [Member] | |||
Statement [Line Items] | |||
Country | Argentina | ||
Main activity | Investment | ||
% of ownership interest held by the Group | 100% | 100% | 100% |
IRSA's Direct Interest [Member] | Llao Llao Resorts S.A. [Member] | |||
Statement [Line Items] | |||
Country | Argentina | ||
Main activity | Hotel | ||
% of ownership interest held by the Group | 50% | 50% | 50% |
IRSA's Direct Interest [Member] | Nuevas Fronteras S.A. [Member] | |||
Statement [Line Items] | |||
Country | Argentina | ||
Main activity | Hotel | ||
% of ownership interest held by the Group | 76.34% | 76.34% | 76.34% |
IRSA's Direct Interest [Member] | Palermo Invest S.A. [Member] | |||
Statement [Line Items] | |||
Country | Argentina | ||
Main activity | Investment | ||
% of ownership interest held by the Group | 100% | 100% | 100% |
IRSA's Direct Interest [Member] | Ritelco S.A. [Member] | |||
Statement [Line Items] | |||
Country | Uruguay | ||
Main activity | Investment | ||
% of ownership interest held by the Group | 100% | 100% | 100% |
IRSA's Direct Interest [Member] | Tyrus S.A. [Member] | |||
Statement [Line Items] | |||
Country | Uruguay | ||
Main activity | Investment | ||
% of ownership interest held by the Group | 100% | 100% | 100% |
IRSA's Direct Interest [Member] | U.T. IRSA y Galerias Pacifico [Member] | |||
Statement [Line Items] | |||
Country | Argentina | ||
Main activity | Investment | ||
% of ownership interest held by the Group | 50% | 50% | 50% |
IRSA's Direct Interest [Member] | E-Commerce Latina S.A. [Member] | |||
Statement [Line Items] | |||
Country | Argentina | ||
Main activity | Investment | ||
% of ownership interest held by the Group | 100% | 100% | 100% |
Tyrus S.A.'s Direct Interest [Member] | DFL and DN BV [Member] | |||
Statement [Line Items] | |||
Country | Bermuda’s / Netherlands | ||
Main activity | Investment | ||
% of ownership interest held by the Group | 99.59% | 99.50% | 99.50% |
Tyrus S.A.'s Direct Interest [Member] | IRSA International LLC [Member] | |||
Statement [Line Items] | |||
Country | USA | ||
Main activity | Investment | ||
% of ownership interest held by the Group | 100% | 100% | 100% |
Tyrus S.A.'s Direct Interest [Member] | Jiwin S.A. [Member] | |||
Statement [Line Items] | |||
Country | Uruguay | ||
Main activity | Investment | ||
% of ownership interest held by the Group | 0% | 100% | 100% |
Tyrus S.A.'s Direct Interest [Member] | Real Estate Strategies LLC [Member] | |||
Statement [Line Items] | |||
Country | USA | ||
Main activity | Investment | ||
% of ownership interest held by the Group | 100% | 100% | 100% |
Tyrus S.A.'s Direct Interest [Member] | Liveck S.A. [Member] | |||
Statement [Line Items] | |||
Country | British Virgin Islands | ||
Main activity | Investment | ||
% of ownership interest held by the Group | 100% | 100% | 100% |
Efanur S.A.'s Direct Interest [Member] | Real Estate Investment Group VII LP (REIG VII) [Member] | |||
Statement [Line Items] | |||
Country | Bermuda’s | ||
Main activity | Investment | ||
% of ownership interest held by the Group | 0% | 100% | 100% |
DFL's Direct Interest [Member] | Dolphin IL Investment Ltd. [Member] | |||
Statement [Line Items] | |||
Country | Israel | ||
Main activity | Investment | ||
% of ownership interest held by the Group | 100% | 100% | 100% |
Summary of significant accoun_6
Summary of significant accounting policies (Details 2) | 12 Months Ended |
Jun. 30, 2023 | |
Buildings And Facilities [Member] | |
Statement [Line Items] | |
Useful life of property, plant and equipment | Between 5 and 50 years |
Machinery and Equipment [Member] | |
Statement [Line Items] | |
Useful life of property, plant and equipment | Between 3 and 24 years |
Other PPE [Member] | |
Statement [Line Items] | |
Useful life of property, plant and equipment | Between 3 and 25 years |
Summary of significant accoun_7
Summary of significant accounting policies (Details Narrative) | 12 Months Ended |
Jun. 30, 2023 | |
Associates voting rights, description | Associates are all entities over which the Group has significant influence but not control, usually representing an interest between 20% and at least 50% of the voting rights |
Acquisitions and disposals (Det
Acquisitions and disposals (Details Narrative) shares in Millions, $ in Millions, $ in Millions | 1 Months Ended | 12 Months Ended | ||||||||
Apr. 11, 2023 USD ($) shares | Jun. 22, 2023 | Nov. 23, 2022 USD ($) | Jun. 30, 2023 ARS ($) | Jun. 30, 2022 ARS ($) | Jun. 30, 2021 ARS ($) | Mar. 28, 2023 USD ($) ft² | Feb. 28, 2023 USD ($) ft² | Aug. 18, 2022 USD ($) | Aug. 17, 2022 USD ($) ft² | |
Statement [Line Items] | ||||||||||
Sales of property | $ 22,644 | $ 56,001 | $ 64,107 | |||||||
Sale of Boston Tower building [Member] | ||||||||||
Statement [Line Items] | ||||||||||
Covering a total area | ft² | 5,922 | 2,394 | 3,582 | |||||||
Transaction price | $ 58.7 | $ 22.5 | $ 12.6 | |||||||
Zetol Sell Of Plot And Boating Trust Interest [Member] | ||||||||||
Statement [Line Items] | ||||||||||
Sales of property | $ 8 | |||||||||
Payment of equivalent | 6 | |||||||||
Account receivable | $ 2 | |||||||||
Descripton of sale | a novation agreement was made between Zetol and the Trust, substituting the receivable of USD 2 million that Zetol had for the sale of the plot, becoming trustor and beneficiary of the trust that will carry out the real estate development. Due to this, Zetol has the right to receive the net proceeds from the sale of units, equivalent to 791.7 square meters | |||||||||
Purchase Of Rundel Global Ltd Preferred shares [Member] | ||||||||||
Statement [Line Items] | ||||||||||
Purchase Series A preferred shares | shares | 573,442 | |||||||||
Purchase Series A preferred amount | $ 2.8 | |||||||||
Purchase Of We Are Appas Common Shares [Member] | ||||||||||
Statement [Line Items] | ||||||||||
Purchase of common shares description | IRSA purchased We Are Appa´s common-shares equivalent to 5.04% of the capital share. The operation was agreed for USD 115,000, equivalent to ARS 55.3 million | |||||||||
Barter Transaction Cordoba [Member] | ||||||||||
Statement [Line Items] | ||||||||||
Transaction price | $ 2 | |||||||||
Barter Transaction Air Space Coto Tower 2 [Member] | ||||||||||
Statement [Line Items] | ||||||||||
Cash received | 15,250 | |||||||||
Purchase Of Property On Paseo Colon Avenue [Member] | ||||||||||
Statement [Line Items] | ||||||||||
Purchase price of property | $ 1,435 |
Financial risk management and_3
Financial risk management and fair value estimates (Details) - ARS ($) | Jun. 30, 2023 | Jun. 30, 2022 |
Statement [Line Items] | ||
Trade and other payables | $ 9,838,000,000 | $ 7,668,000,000 |
Liquidity Risk [Member] | ||
Statement [Line Items] | ||
Trade and other payables | 17,212,000,000 | 10,421,000,000 |
Borrowings (excluding finance leases liabilities) | 107,941 | 161,112 |
Finance leases obligations | 5,359 | 5,307 |
Derivative Financial Instruments | 6 | 34 |
Total obligations | 130,518,000,000 | 176,874,000,000 |
Liquidity Risk [Member] | Less Than 1 year [Member] | ||
Statement [Line Items] | ||
Trade and other payables | 15,792 | 9,971 |
Borrowings (excluding finance leases liabilities) | 40,617 | 132,974 |
Finance leases obligations | 281 | 188 |
Derivative Financial Instruments | 6 | 34 |
Total obligations | 56,696,000,000 | 143,167,000,000 |
Liquidity Risk [Member] | Between 1 And 2 Years [Member] | ||
Statement [Line Items] | ||
Trade and other payables | 435 | 222 |
Borrowings (excluding finance leases liabilities) | 27,349 | 22,572 |
Finance leases obligations | 291 | 190 |
Derivative Financial Instruments | 0 | 0 |
Total obligations | 28,075,000,000 | 22,984,000,000 |
Liquidity Risk [Member] | Between 2 and 3 years [Member] | ||
Statement [Line Items] | ||
Trade and other payables | 358 | 86 |
Borrowings (excluding finance leases liabilities) | 20,908 | 4,635 |
Finance leases obligations | 330 | 200 |
Derivative Financial Instruments | 0 | 0 |
Total obligations | 21,596,000,000 | 4,921,000,000 |
Liquidity Risk [Member] | Between 3 and 4 years [Member] | ||
Statement [Line Items] | ||
Trade and other payables | 267 | 56 |
Borrowings (excluding finance leases liabilities) | 7,025 | 248 |
Finance leases obligations | 317 | 213 |
Derivative Financial Instruments | 0 | 0 |
Total obligations | 7,609,000,000 | 517,000,000 |
Liquidity Risk [Member] | More Than 4 Years [Member] | ||
Statement [Line Items] | ||
Trade and other payables | 360 | 86 |
Borrowings (excluding finance leases liabilities) | 12,042 | 683 |
Finance leases obligations | 4,140 | 4,516 |
Derivative Financial Instruments | 0 | 0 |
Total obligations | $ 16,542,000,000 | $ 5,285,000,000 |
Financial risk management and_4
Financial risk management and fair value estimates (Details 1) - Operations Center in Argentina [Member] | Jun. 30, 2023 | Jun. 30, 2022 |
Statement [Line Items] | ||
Gearing ratio | 22.83% | 31.99% |
Debt ratio | 18.19% | 24.31% |
Financial risk management and_5
Financial risk management and fair value estimates (Details Narrative) - ARS ($) shares in Millions | 12 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Statement [Line Items] | ||
Book value of net liability | $ 63,158 | $ 96,440 |
Interest Rate Risk [member] | ||
Statement [Line Items] | ||
Fixed interest rate on long-term borrowing | 97.80% | 99.10% |
Increase in floating rates | 1% | 1% |
Decrease in floating rates | 1% | 1% |
Other Price Risk [Member] | Derivatives [Member] | ||
Statement [Line Items] | ||
Financial investment | 5,046 | 2,902 |
Decrease in quoted prices of equity securities | 10% | |
Loss before income tax | $ 505,000,000 | $ 290,000,000 |
Increase derivative financial instruments | 10% | |
Credit Risk [Member] | Operations Center in Argentina [Member] | ||
Statement [Line Items] | ||
Percentage of trade receivable by group | 98.60% | 96.60% |
Property receivable sale of trading properties | 1.20% | 2.30% |
Foreign Exchange risk and associated derivative financial instruments [Member] | ||
Statement [Line Items] | ||
Appreciation of the foreign currency | 10% | |
Statement of Income and Other Comprehensive Income before income tax | $ 6,316 | $ 9,644 |
Depreciation against functional currency percentage | 10% |
Segment information (Details)
Segment information (Details) - ARS ($) $ in Millions | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Statement [Line Items] | |||
Revenues | $ 89,285 | $ 69,168 | $ 45,880 |
Costs | 30,804 | 26,119 | 23,204 |
Gross profit / (loss) | 58,481 | 43,049 | 22,676 |
Net loss from fair value adjustment of investment properties | 49,145 | (29,427) | 27,469 |
General and administrative expenses | 19,319 | 11,377 | 10,667 |
Selling expenses | 4,511 | 4,822 | 5,267 |
Other operating results, net | (7,195) | 131 | (304) |
Loss from operations | (21,689) | 56,408 | (21,031) |
Share of loss of associates and joint ventures | 2,622 | (764) | (15,483) |
Segment Loss | (19,067) | 55,644 | (36,514) |
Costs | (30,804) | (26,119) | (23,204) |
General and administrative expenses | (19,319) | (11,377) | (10,667) |
Selling expenses | (4,511) | (4,822) | (5,267) |
Operations Center in Israel [Member] | |||
Statement [Line Items] | |||
Revenues | 89,285 | 69,168 | 45,880 |
Costs | 30,804 | 26,119 | 23,204 |
Gross profit / (loss) | 58,481 | 43,049 | 22,676 |
Net loss from fair value adjustment of investment properties | (49,145) | 29,427 | (27,469) |
General and administrative expenses | 19,319 | 11,377 | 10,667 |
Selling expenses | 4,511 | 4,822 | 5,267 |
Other operating results, net | (7,195) | 131 | (304) |
Loss from operations | (21,689) | 56,408 | (21,031) |
Share of loss of associates and joint ventures | 2,622 | (764) | (15,483) |
Segment Loss | 19,067 | 55,644 | (36,514) |
Reportable assets | 711,612 | 803,667 | 787,566 |
Reportable liabilities | (324,337) | (437,767) | (495,128) |
Net reportable assets | 387,275 | 365,900 | 292,438 |
Costs | (30,804) | (26,119) | (23,204) |
General and administrative expenses | (19,319) | (11,377) | (10,667) |
Selling expenses | (4,511) | (4,822) | (5,267) |
Operations Center in Israel [Member] | Income and Other Comprehensive Income, Total [Member] | |||
Statement [Line Items] | |||
Revenues | 72,303 | 55,174 | 35,754 |
Costs | 13,251 | 11,498 | 12,214 |
Gross profit / (loss) | 59,052 | 43,676 | 23,540 |
Net loss from fair value adjustment of investment properties | (51,180) | 26,576 | (27,040) |
General and administrative expenses | 19,438 | 11,484 | 10,885 |
Selling expenses | 4,538 | 4,834 | 5,338 |
Other operating results, net | 7,284 | 61 | (551) |
Loss from operations | (23,388) | 53,995 | (20,274) |
Share of loss of associates and joint ventures | 3,889 | 1,005 | (14,102) |
Segment Loss | (19,499) | 55,000 | (34,376) |
Reportable assets | 635,002 | 702,440 | 724,290 |
Reportable liabilities | 0 | 0 | 0 |
Net reportable assets | 635,002 | 702,440 | 724,290 |
Costs | (13,251) | (11,498) | (12,214) |
General and administrative expenses | (19,438) | (11,484) | (10,885) |
Selling expenses | (4,538) | (4,834) | (5,338) |
Operations Center in Israel [Member] | Elimination of Inter-Segment Transactions and Non-reportable Assets / Liabilities [Member] | |||
Statement [Line Items] | |||
Revenues | 0 | 0 | (110) |
Costs | 0 | 0 | 0 |
Gross profit / (loss) | 0 | 0 | (110) |
Net loss from fair value adjustment of investment properties | 0 | 0 | 0 |
General and administrative expenses | 52 | 50 | 170 |
Selling expenses | 0 | 0 | 0 |
Other operating results, net | (52) | (50) | (60) |
Loss from operations | 0 | 0 | 0 |
Share of loss of associates and joint ventures | 0 | 0 | 0 |
Segment Loss | 0 | 0 | 0 |
Reportable assets | 80,198 | 105,407 | 68,624 |
Reportable liabilities | (324,337) | (437,767) | (495,128) |
Net reportable assets | (244,139) | (332,360) | (426,504) |
Costs | 0 | 0 | 0 |
General and administrative expenses | (52) | (50) | (170) |
Selling expenses | 0 | 0 | 0 |
Operations Center in Israel [Member] | Expenses and Collective Promotion Funds [Member] | |||
Statement [Line Items] | |||
Revenues | 17,435 | 14,496 | 10,415 |
Costs | (17,751) | (14,817) | (11,237) |
Gross profit / (loss) | (316) | (321) | (822) |
Net loss from fair value adjustment of investment properties | 0 | 0 | 0 |
General and administrative expenses | 0 | 0 | 0 |
Selling expenses | 0 | 0 | 0 |
Other operating results, net | 166 | 120 | 378 |
Loss from operations | (150) | (201) | (444) |
Share of loss of associates and joint ventures | 0 | 0 | 0 |
Segment Loss | (150) | (201) | (444) |
Reportable assets | 0 | 0 | 0 |
Reportable liabilities | 0 | 0 | 0 |
Net reportable assets | 0 | 0 | 0 |
Costs | 17,751 | 14,817 | 11,237 |
General and administrative expenses | 0 | 0 | 0 |
Selling expenses | 0 | 0 | 0 |
Operations Center in Israel [Member] | Joint Ventures [Member] | |||
Statement [Line Items] | |||
Revenues | (453) | (502) | (179) |
Costs | 198 | 196 | 247 |
Gross profit / (loss) | (255) | (306) | 68 |
Net loss from fair value adjustment of investment properties | 2,035 | 2,851 | (429) |
General and administrative expenses | 67 | 57 | 48 |
Selling expenses | 27 | 12 | 71 |
Other operating results, net | (25) | 0 | (71) |
Loss from operations | 1,849 | 2,614 | (313) |
Share of loss of associates and joint ventures | (1,267) | (1,769) | (1,381) |
Segment Loss | 582 | 845 | (1,694) |
Reportable assets | (3,588) | (4,180) | (5,348) |
Reportable liabilities | 0 | 0 | 0 |
Net reportable assets | (3,588) | (4,180) | (5,348) |
Costs | (198) | (196) | (247) |
General and administrative expenses | (67) | (57) | (48) |
Selling expenses | $ (27) | $ (12) | $ (71) |
Segment information (Details 1)
Segment information (Details 1) - ARS ($) | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Statement [Line Items] | |||
Revenues | $ 89,285,000,000 | $ 69,168,000,000 | $ 45,880,000,000 |
Costs | (30,804,000,000) | (26,119,000,000) | (23,204,000,000) |
Gross profit / (loss) | 58,481,000,000 | 43,049,000,000 | 22,676,000,000 |
Net gain from fair value adjustment of investment properties | 49,145,000,000 | (29,427,000,000) | 27,469,000,000 |
General and administrative expenses | (19,319,000,000) | (11,377,000,000) | (10,667,000,000) |
Selling expenses | (4,511,000,000) | (4,822,000,000) | (5,267,000,000) |
Other operating results, net | (7,195,000,000) | 131,000,000 | (304,000,000) |
(Loss) / profit from operations | (21,689,000,000) | 56,408,000,000 | (21,031,000,000) |
Segment (loss) / profit | (19,067,000,000) | 55,644,000,000 | (36,514,000,000) |
Operations Center in Argentina [Member] | |||
Statement [Line Items] | |||
Revenues | 72,303,000,000 | 55,174,000,000 | 35,754,000,000 |
Costs | (13,251,000,000) | (11,498,000,000) | (12,214,000,000) |
Gross profit / (loss) | 59,052,000,000 | 43,676,000,000 | 23,540,000,000 |
Net gain from fair value adjustment of investment properties | (51,180,000,000) | 26,576,000,000 | (27,040,000,000) |
General and administrative expenses | (19,438,000,000) | (11,484,000,000) | (10,885,000,000) |
Selling expenses | (4,538,000,000) | (4,834,000,000) | (5,338,000,000) |
Other operating results, net | (7,284,000,000) | 61,000,000 | (551,000,000) |
(Loss) / profit from operations | (23,388,000,000) | 53,995,000,000 | (20,274,000,000) |
Share of profit of associates and joint ventures | 3,889,000,000 | 1,005,000,000 | (14,102,000,000) |
Segment (loss) / profit | (19,499,000,000) | 55,000,000,000 | (34,376,000,000) |
Investment properties and trading properties | 587,923,000,000 | 653,010,000,000 | 670,284,000,000 |
Investment in associates and joint ventures | 28,698,000,000 | 24,960,000,000 | 31,495,000,000 |
Other operating assets | 18,381,000,000 | 24,470,000,000 | 22,511,000,000 |
Operating assets | 635,002,000,000 | 702,440,000,000 | 724,290,000,000 |
Operations Center in Argentina [Member] | Shopping Malls [Member] | |||
Statement [Line Items] | |||
Revenues | 47,438,000,000 | 37,369,000,000 | 18,814,000,000 |
Costs | (3,213,000,000) | (3,223,000,000) | (3,079,000,000) |
Gross profit / (loss) | 44,225,000,000 | 34,146,000,000 | 15,735,000,000 |
Net gain from fair value adjustment of investment properties | (11,169,000,000) | 1,192,000,000 | (71,894,000,000) |
General and administrative expenses | (6,682,000,000) | (6,170,000,000) | (5,062,000,000) |
Selling expenses | (2,168,000,000) | (1,826,000,000) | (1,594,000,000) |
Other operating results, net | (585,000,000) | (306,000,000) | (445,000,000) |
(Loss) / profit from operations | 23,621,000,000 | 27,036,000,000 | (63,260,000,000) |
Share of profit of associates and joint ventures | 0 | 0 | 0 |
Segment (loss) / profit | 23,621,000,000 | 27,036,000,000 | (63,260,000,000) |
Investment properties and trading properties | 186,816,000,000 | 197,838,000,000 | 192,018,000,000 |
Investment in associates and joint ventures | 0 | 0 | 0 |
Other operating assets | 662,000,000 | 645,000,000 | 941,000,000 |
Operating assets | 187,478,000,000 | 198,483,000,000 | 192,959,000,000 |
Operations Center in Argentina [Member] | Offices [Member] | |||
Statement [Line Items] | |||
Revenues | 4,584,000,000 | 6,556,000,000 | 9,488,000,000 |
Costs | (379,000,000) | (632,000,000) | (509,000,000) |
Gross profit / (loss) | 4,205,000,000 | 5,924,000,000 | 8,979,000,000 |
Net gain from fair value adjustment of investment properties | (4,546,000,000) | (11,622,000,000) | 19,592,000,000 |
General and administrative expenses | (745,000,000) | (735,000,000) | (1,478,000,000) |
Selling expenses | (103,000,000) | (168,000,000) | (661,000,000) |
Other operating results, net | (69,000,000) | (50,000,000) | (18,000,000) |
(Loss) / profit from operations | (1,258,000,000) | (6,651,000,000) | 26,414,000,000 |
Share of profit of associates and joint ventures | 0 | 0 | 0 |
Segment (loss) / profit | (1,258,000,000) | (6,651,000,000) | 26,414,000,000 |
Investment properties and trading properties | 120,482,000,000 | 147,020,000,000 | 256,568,000,000 |
Investment in associates and joint ventures | 0 | 0 | 0 |
Other operating assets | 107,000,000 | 5,469,000,000 | 3,963,000,000 |
Operating assets | 120,589,000,000 | 152,489,000,000 | 260,531,000,000 |
Operations Center in Argentina [Member] | Sales and Developments [Member] | |||
Statement [Line Items] | |||
Revenues | 4,382,000,000 | 1,608,000,000 | 2,740,000,000 |
Costs | (1,333,000,000) | (1,253,000,000) | (2,973,000,000) |
Gross profit / (loss) | 3,049,000,000 | 355,000,000 | (233,000,000) |
Net gain from fair value adjustment of investment properties | (35,352,000,000) | 36,877,000,000 | 25,131,000,000 |
General and administrative expenses | (2,560,000,000) | (2,281,000,000) | (2,510,000,000) |
Selling expenses | (1,123,000,000) | (1,988,000,000) | (2,468,000,000) |
Other operating results, net | 884,000,000 | (103,000,000) | (18,000,000) |
(Loss) / profit from operations | (36,870,000,000) | 32,860,000,000 | 19,902,000,000 |
Share of profit of associates and joint ventures | 0 | 0 | (57,000,000) |
Segment (loss) / profit | (36,870,000,000) | 32,860,000,000 | 19,845,000,000 |
Investment properties and trading properties | 279,821,000,000 | 307,225,000,000 | 220,787,000,000 |
Investment in associates and joint ventures | 7,359,000,000 | 0 | 0 |
Other operating assets | 1,931,000,000 | 6,433,000,000 | 7,052,000,000 |
Operating assets | 287,180,000,000 | 313,658,000,000 | 227,839,000,000 |
Operations Center in Argentina [Member] | Hotels [Member] | |||
Statement [Line Items] | |||
Revenues | 14,964,000,000 | 9,270,000,000 | 3,256,000,000 |
Costs | (7,580,000,000) | (5,295,000,000) | (3,765,000,000) |
Gross profit / (loss) | 7,384,000,000 | 3,975,000,000 | (509,000,000) |
Net gain from fair value adjustment of investment properties | 0 | 0 | 0 |
General and administrative expenses | (3,275,000,000) | (1,574,000,000) | (1,506,000,000) |
Selling expenses | (1,028,000,000) | (733,000,000) | (498,000,000) |
Other operating results, net | 143,000,000 | (127,000,000) | (42,000,000) |
(Loss) / profit from operations | 2,938,000,000 | 1,541,000,000 | (2,555,000,000) |
Share of profit of associates and joint ventures | 0 | 0 | 0 |
Segment (loss) / profit | 2,938,000,000 | 1,541,000,000 | (2,555,000,000) |
Investment properties and trading properties | 0 | 0 | 0 |
Investment in associates and joint ventures | 0 | 0 | 0 |
Other operating assets | 8,783,000,000 | 9,018,000,000 | 9,202,000,000 |
Operating assets | 8,783,000,000 | 9,018,000,000 | 9,202,000,000 |
Operations Center in Argentina [Member] | Other [Member] | |||
Statement [Line Items] | |||
Revenues | 935,000,000 | 371,000,000 | 1,456,000,000 |
Costs | 746,000,000 | (1,095,000,000) | (1,888,000,000) |
Gross profit / (loss) | 189,000,000 | (724,000,000) | (432,000,000) |
Net gain from fair value adjustment of investment properties | (113,000,000) | 129,000,000 | 131,000,000 |
General and administrative expenses | (6,176,000,000) | (724,000,000) | (329,000,000) |
Selling expenses | (116,000,000) | (119,000,000) | (117,000,000) |
Other operating results, net | (5,603,000,000) | 647,000,000 | (28,000,000) |
(Loss) / profit from operations | (11,819,000,000) | (791,000,000) | (775,000,000) |
Share of profit of associates and joint ventures | 3,889,000,000 | 1,005,000,000 | (14,045,000,000) |
Segment (loss) / profit | (7,930,000,000) | 214,000,000 | (14,820,000,000) |
Investment properties and trading properties | 804,000,000 | 927,000,000 | 911,000,000 |
Investment in associates and joint ventures | 28,698,000,000 | 24,960,000,000 | 31,495,000,000 |
Other operating assets | 1,470,000,000 | 2,905,000,000 | 1,353,000,000 |
Operating assets | $ 30,972,000,000 | $ 28,792,000,000 | $ 33,759,000,000 |
Segment information (Details Na
Segment information (Details Narrative) - ARS ($) $ in Millions | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Statement [Line Items] | |||
Maximum allowed percentage of revenue | 10% | 10% | 10% |
Operations Center in Argentina [Member] | |||
Statement [Line Items] | |||
Revenues | $ 69,765 | $ 55,143 | $ 35,694 |
Reportable assets | 631,211 | 698,267 | 708,964 |
Uruguay [Member] | |||
Statement [Line Items] | |||
Revenues | 2,516 | ||
Reportable assets | 3,244 | 3,514 | 3,165 |
U.S.A [Member] | |||
Statement [Line Items] | |||
Revenues | 22 | 31 | 60 |
Reportable assets | 528 | 638 | 12,271 |
Other Countries [Member] | |||
Statement [Line Items] | |||
Revenues | 2,538 | ||
Reportable assets | $ 3,791 | $ 4,174 | $ 15,328 |
Information about the main su_3
Information about the main subsidiaries (Details) - ARS ($) $ in Millions | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Statement [Line Items] | |||
Current Assets | $ 70,226 | $ 91,446 | |
Non-current Assets | 641,386 | 712,221 | |
Current Liabilities | 71,272 | 186,322 | |
Non-current Liabilities | 253,065 | 251,445 | |
Net assets | 711,612 | 803,667 | |
Book value of controlling interests | 22,330 | 23,443 | |
Revenues | 89,285 | 69,168 | $ 45,880 |
Net income / (loss) | 60,986 | 75,222 | (132,885) |
Cash of Operating activities | 36,494 | 27,329 | 5,150 |
Net cash generated from operating activities | 36,494 | 27,329 | 5,150 |
Cash of investing activities | 26,442 | 24,134 | 238,119 |
Net cash generated from investing activities | 26,442 | 24,134 | 238,119 |
Cash of financial activities | (81,124) | (29,455) | (170,813) |
Net cash used in financing activities | (81,124) | (29,455) | (170,813) |
Net (decrease) / increase in cash and cash equivalents | (18,188) | 22,008 | $ 72,456 |
IRSA Inversionesy Representaciones Sociedad Anonima (IRSA) [Member] | |||
Statement [Line Items] | |||
Revenues | 9,277 | 8,118 | |
Net income / (loss) | (6,100) | (2,434) | |
Cash of Operating activities | 4,124 | 5,207 | |
Net cash generated from operating activities | 4,124 | 5,207 | |
Cash of investing activities | (874) | (630) | |
Net cash generated from investing activities | (874) | (630) | |
Cash of financial activities | (3,094) | (4,552) | |
Net cash used in financing activities | (3,094) | (4,552) | |
Net (decrease) / increase in cash and cash equivalents | 156 | 25 | |
Dividends distribution to non-controlling shareholders | $ 177 | $ 0 | |
Panamerican Mall S.A [Member] | |||
Statement [Line Items] | |||
Direct interest of non-controlling interest % | 20% | 20% | |
Direct interest of controlling interest | 80% | 80% | |
Current Assets | $ 2,164 | $ 1,638 | |
Non-current Assets | 112,945 | 128,484 | |
Current Liabilities | 1,463 | 4,429 | |
Non-current Liabilities | 28,015 | 33,079 | |
Net assets | 85,631 | 92,614 | |
Book value of non-controlling interests | 17,126 | 18,523 | |
Book value of controlling interests | $ 68,505 | $ 74,091 |
Information about the main su_4
Information about the main subsidiaries (Details Narrative) - ARS ($) | 1 Months Ended | 12 Months Ended | ||
Jan. 08, 2019 | Aug. 10, 2018 | Jun. 30, 2023 | Jun. 30, 2022 | |
Description of term monthly fees | established an initial monthly fee of ARS 0.2 million (plus VAT) until December 31, 2025, and ARS 0.25 million (plus VAT) as of January 1, 2026, these values being adjustable every 2 years until the end of the term of the concession | |||
Expiration period | November 18, 2018 | |||
Income received percentage | 7.36% | |||
Designated percentage | 46.31% | 46.31% | ||
Non-controlling interest | $ 5,204 | $ 4,920 |
Investments in associates and_3
Investments in associates and joint ventures (Details) - ARS ($) $ in Millions | 12 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Beginning of the year | $ 34,765 | $ 42,978 |
Capital contributions | 55 | 2,231 |
Share of profit / (loss) | 2,622 | (764) |
Currency translations adjustment | (51) | (1,020) |
Dividends | (319) | (7,731) |
Reclassification to financial instruments | 0 | (320) |
Others | 0 | (609) |
End of the year | $ 37,072 | $ 34,765 |
Investments in associates and_4
Investments in associates and joint ventures (Details 1) - ARS ($) | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
La Rural S. A. [Member] | |||
Statement [Line Items] | |||
% ownership interest | 50% | 50% | 50% |
Group's interest in comprehensive income/(loss) | $ 705,000,000 | $ (91,000,000) | $ (476,000,000) |
Value of group interest in equity | 1,214,000,000 | $ 524,000,000 | |
Condor [Member] | |||
Statement [Line Items] | |||
% ownership interest | 21.70% | 18.89% | |
Group's interest in comprehensive income/(loss) | 76,000,000 | $ 916,000,000 | $ (1,464,000,000) |
Value of group interest in equity | $ 0 | $ 0 | |
Quality Invest [Member] | |||
Statement [Line Items] | |||
% ownership interest | 50% | 50% | 50% |
Group's interest in comprehensive income/(loss) | $ (1,387,000,000) | $ (2,119,000,000) | $ (916,000,000) |
Value of group interest in equity | $ 6,987,000,000 | $ 8,316,000,000 | |
New Lipstick [Member] | |||
Statement [Line Items] | |||
% ownership interest | 49.96% | 49.96% | 49.96% |
Group's interest in comprehensive income/(loss) | $ (66,000,000) | $ 149,000,000 | $ (1,697,000,000) |
Value of group interest in equity | $ 243,000,000 | $ 308,000,000 | $ 0 |
BHSA [Member] | |||
Statement [Line Items] | |||
% ownership interest | 29.91% | 29.91% | 29.91% |
Group's interest in comprehensive income/(loss) | $ 3,083,000,000 | $ 1,882,000,000 | $ (2,673,000,000) |
Value of group interest in equity | $ 23,918,000,000 | $ 20,836,000,000 | |
TGLT [Member] | |||
Statement [Line Items] | |||
% ownership interest | 27.82% | 27.82% | 27.82% |
Group's interest in comprehensive income/(loss) | $ 162,000,000 | $ (1,559,000,000) | $ (7,625,000,000) |
Value of group interest in equity | $ 1,915,000,000 | $ 1,753,000,000 | |
Other joint ventures [Member] | |||
Statement [Line Items] | |||
% ownership interest | 0% | 0% | 0% |
Group's interest in comprehensive income/(loss) | $ 2,000,000 | $ (962,000,000) | $ (8,531,000,000) |
Value of group interest in equity | 2,795,000,000 | 3,028,000,000 | |
Total Associates And Joint Ventures [Member] | |||
Statement [Line Items] | |||
Group's interest in comprehensive income/(loss) | 2,571,000,000 | (1,784,000,000) | $ (23,382,000,000) |
Value of group interest in equity | $ 37,072,000,000 | $ 34,765,000,000 |
Investments in associates and_5
Investments in associates and joint ventures (Details 2) shares in Millions, $ in Millions | 12 Months Ended |
Jun. 30, 2023 USD ($) shares | |
La Rural S. A. [Member] | |
Statement [Line Items] | |
Place of business / Country of incorporation | Argentina |
Main activity | Organization of events |
Common share 1 vote | shares | 714,998 |
Share capital (nominal value) | $ 1 |
Loss for year | 719 |
Shareholders equity | $ 1,896 |
Quality [Member] | |
Statement [Line Items] | |
Place of business / Country of incorporation | Argentina |
Main activity | Real estate |
Common share 1 vote | shares | 1,421,672,293 |
Share capital (nominal value) | $ 2,843 |
Loss for year | (2,768) |
Shareholders equity | $ 13,645 |
New Lipstick [Member] | |
Statement [Line Items] | |
Place of business / Country of incorporation | USA |
Main activity | Real estate |
Common share 1 vote | shares | 23,631,037 |
Share capital (nominal value) | $ 47 |
Loss for year | (2) |
Shareholders equity | $ (44) |
BHSA [Member] | |
Statement [Line Items] | |
Place of business / Country of incorporation | Argentina |
Main activity | Financial |
Common share 1 vote | shares | 448,689,072 |
Share capital (nominal value) | $ 1,500 |
Loss for year | 10,306 |
Shareholders equity | $ 77,676 |
TGLT [Member] | |
Statement [Line Items] | |
Place of business / Country of incorporation | Argentina |
Main activity | Real estate |
Common share 1 vote | shares | 257,330,595 |
Share capital (nominal value) | $ 925 |
Loss for year | (2,008) |
Shareholders equity | $ 6,885 |
Investments in associates and_6
Investments in associates and joint ventures (Details 3) - ARS ($) | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Statement [Line Items] | |||
Current Assets | $ 70,226,000,000 | $ 91,446,000,000 | |
Non-current Assets | 641,386,000,000 | 712,221,000,000 | |
Current Liabilities | 71,272,000,000 | 186,322,000,000 | |
Non-current Liabilities | 253,065,000,000 | 251,445,000,000 | |
Net assets | 711,612,000,000 | 803,667,000,000 | |
Revenues | 89,285,000,000 | 69,168,000,000 | $ 45,880,000,000 |
Net income / (loss) | 60,986,000,000 | 75,222,000,000 | (132,885,000,000) |
Total comprehensive income / (loss) | 59,700,000,000 | 74,843,000,000 | (173,302,000,000) |
Cash of operating activities | 36,494,000,000 | 27,329,000,000 | 5,150,000,000 |
Net cash generated from / (used in) investing activities | 26,442,000,000 | 24,134,000,000 | 238,119,000,000 |
Cash of financing activities | (81,124,000,000) | (29,455,000,000) | $ (170,813,000,000) |
Quality Invest [Member] | |||
Statement [Line Items] | |||
Current Assets | 50,000,000 | 131,000,000 | |
Non-current Assets | 20,975,000,000 | 24,771,000,000 | |
Current Liabilities | 146,000,000 | 152,000,000 | |
Non-current Liabilities | 7,234,000,000 | 8,448,000,000 | |
Net assets | $ 13,645,000,000 | $ 16,302,000,000 | |
% ownership interest held | 50% | 50% | |
Interest in associate and joint venture | $ 6,823,000,000 | $ 8,151,000,000 | |
Goodwill and others | 164,000,000 | 165,000,000 | |
Book value | 6,987,000,000 | 8,316,000,000 | |
Revenues | 124,000,000 | 445,000,000 | |
Net income / (loss) | (2,768,000,000) | (4,236,000,000) | |
Total comprehensive income / (loss) | (2,768,000,000) | (4,236,000,000) | |
Dividend distribution | 0 | ||
Cash of operating activities | (325,000,000) | (90,000,000) | |
Net cash generated from / (used in) investing activities | 48,000,000 | (71,000,000) | |
Cash of financing activities | 234,000,000 | 206,000,000 | |
Changes in cash and cash equivalents | (43,000,000) | 45,000,000 | |
BHSA [Member] | |||
Statement [Line Items] | |||
Current Assets | 520,170,000,000 | 520,704,000,000 | |
Non-current Assets | 139,246,000,000 | 172,333,000,000 | |
Current Liabilities | 572,821,000,000 | 604,692,000,000 | |
Non-current Liabilities | 6,593,000,000 | 19,318,000,000 | |
Net assets | $ 80,002,000,000 | $ 69,027,000,000 | |
% ownership interest held | 29.91% | 29.91% | |
Interest in associate and joint venture | $ 23,929,000,000 | $ 20,646,000,000 | |
Goodwill and others | (11,000,000) | 190,000,000 | |
Book value | 23,918,000,000 | 20,836,000,000 | |
Revenues | 168,559,000,000 | 116,506,000,000 | |
Net income / (loss) | 10,306,000,000 | 6,295,000,000 | |
Total comprehensive income / (loss) | 10,306,000,000 | 6,295,000,000 | |
Dividend distribution | 0 | 0 | |
Cash of operating activities | 8,077,000,000 | 71,590,000,000 | |
Net cash generated from / (used in) investing activities | (1,104,000,000) | (517,000,000) | |
Cash of financing activities | 8,051,000,000 | (52,997,000,000) | |
Changes in cash and cash equivalents | 15,024,000,000 | 18,076,000,000 | |
TGLT [Member] | |||
Statement [Line Items] | |||
Current Assets | 14,898,000,000 | 16,192,000,000 | |
Non-current Assets | 26,748,000,000 | 26,670,000,000 | |
Current Liabilities | 17,971,000,000 | 17,626,000,000 | |
Non-current Liabilities | 16,790,000,000 | 16,550,000,000 | |
Net assets | $ 6,885,000,000 | $ 8,686,000,000 | |
% ownership interest held | 27.82% | 27.82% | |
Interest in associate and joint venture | $ 1,915,000,000 | $ 2,417,000,000 | |
Goodwill and others | 0 | (664,000,000) | |
Book value | 1,915,000,000 | 1,753,000,000 | |
Revenues | 13,420,000,000 | 9,050,000,000 | |
Net income / (loss) | 266,000,000 | (4,590,000,000) | |
Total comprehensive income / (loss) | 501,000,000 | (4,503,000,000) | |
Dividend distribution | 0 | 0 | |
Cash of operating activities | (563,000,000) | (2,850,000,000) | |
Net cash generated from / (used in) investing activities | 501,000,000 | 9,074,000,000 | |
Cash of financing activities | 64,000,000 | (5,454,000,000) | |
Changes in cash and cash equivalents | $ 2,000,000 | $ 770,000,000 |
Investments in associates and_7
Investments in associates and joint ventures (Details Narrative) $ / shares in Units, shares in Millions | 1 Months Ended | 12 Months Ended | ||||
Mar. 31, 2021 | Jun. 30, 2023 ARS ($) $ / shares shares | Jun. 30, 2022 ARS ($) | Jun. 30, 2023 USD ($) shares | Jun. 30, 2019 ARS ($) | Jan. 20, 2015 ARS ($) | |
Statement [Line Items] | ||||||
Provisional Balance due | $ 11,085,086 | |||||
Value of Group's interest in equity | 26,000,000 | $ 15,000,000 | $ 35,780,000,000 | |||
Aforementioned amount | 11,000,000 | |||||
Reduction in the value | $ 1,741,000,000 | $ 1,638,000,000 | ||||
Quality Invest [Member] | ||||||
Statement [Line Items] | ||||||
Amount owed | $ 19,000,000 | |||||
% ownership interest | 50% | 50% | ||||
BHSA [Member] | ||||||
Statement [Line Items] | ||||||
Treasury stock | shares | 25.2 | 25.2 | ||||
Investmen values | $ 25,676,000,000 | $ 20,868,000,000 | ||||
Market Price | $ / shares | $ 34.95 | |||||
Treasury shares | $ 30 | |||||
Description of assumptions for future business cash flows | The discount rate used to discount actual dividend flows was 18.51% in 2023 and 15.64% in 2022 | |||||
% ownership interest | 29.91% | 29.91% | ||||
Interest Rate | 100% | |||||
Year | 9 years | |||||
TGLT [Member] | ||||||
Statement [Line Items] | ||||||
Debt instrument, description | On January 20, 2015, Quality agreed with the Municipality of San Martin on certain re zoning and other urban planning matters (“the Agreement”) to surrender a non-significant portion of the land and a monetary consideration of ARS 40 million, payable in two installments of ARS 20 each, the first of which was actually paid on June 30, 2015. In July 2017, the Agreement was amended as follows: 1) a revised zoning plan must be submitted within 120 days as from the amendment date, and 2) the second installment of the monetary considerations was increased to ARS 76 million payables in 18 equal monthly installments. On March 8, 2018 | |||||
% ownership interest | 27.82% | 27.82% |
Investment properties (Details)
Investment properties (Details) - ARS ($) | 12 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Statement [Line Items] | ||
Fair value at the beginning of the year | $ 632,284,000,000 | |
Fair value at the end of the year | 570,010,000,000 | $ 632,284,000,000 |
Level 3 [Member] | Shopping Malls in Argentina [Member] | ||
Statement [Line Items] | ||
Fair value at the beginning of the year | 182,674,000,000 | 316,608,000,000 |
Additions | 2,711,000,000 | 4,424,000,000 |
Capitalized leasing costs | 51,000,000 | 41,000,000 |
Amortization of capitalized leasing costs | (17,000,000) | (19,000,000) |
Transfers | 882 | (136,475,000,000) |
Disposals | 0 | 0 |
Currency translation adjustment | 0 | 0 |
Net gain / (loss) from fair value adjustment | (9,396,000,000) | (1,905,000,000) |
Fair value at the end of the year | 176,905,000,000 | 182,674,000,000 |
Level 2 [Member] | ||
Statement [Line Items] | ||
Fair value at the beginning of the year | 449,610,000,000 | 330,860,000,000 |
Additions | 3,317,000,000 | 15,875,000,000 |
Capitalized leasing costs | 14,000,000 | 50,000,000 |
Amortization of capitalized leasing costs | (18,000,000) | (78,000,000) |
Transfers | 2,671 | 134,414 |
Disposals | 22,722,000,000 | 62,768,000,000 |
Currency translation adjustment | (18,000,000) | (75,000,000) |
Net gain / (loss) from fair value adjustment | (39,749,000,000) | 31,332,000,000 |
Fair value at the end of the year | $ 393,105,000,000 | $ 449,610,000,000 |
Investment properties (Details
Investment properties (Details 1) $ in Millions, $ in Millions | Jun. 30, 2023 ARS ($) | Jun. 30, 2022 ARS ($) | Jun. 30, 2022 USD ($) | Jun. 30, 2021 ARS ($) |
Statement [Line Items] | ||||
Property plant and equipment | $ 10,148 | $ 17,225 | $ 14,657 | |
Property plant and equipment | 570,010 | 632,284 | ||
Undeveloped Parcels Of Land [Member] | ||||
Statement [Line Items] | ||||
Property plant and equipment | 251,387 | 275,848 | ||
Shopping Malls [Member] | ||||
Statement [Line Items] | ||||
Property plant and equipment | 185,564 | $ 194,328 | ||
Other PPE [Member] | ||||
Statement [Line Items] | ||||
Property plant and equipment | 462 | 479 | $ 565 | |
Property plant and equipment | 521 | 628 | ||
Offices and other rental poperties [Member] | ||||
Statement [Line Items] | ||||
Property plant and equipment | 132,460 | 160,258 | ||
Property Under Development [Member] | ||||
Statement [Line Items] | ||||
Property plant and equipment | $ 78 | $ 1,222 |
Investment properties (Detail_2
Investment properties (Details 2) - ARS ($) $ in Millions | Jun. 30, 2023 | Jun. 30, 2022 |
Statement [Line Items] | ||
Total Properties | $ 5,048 | $ 4,775 |
Cordoba Shopping [Member] | ||
Statement [Line Items] | ||
Total Properties | $ 5,048 | $ 4,775 |
Investment properties (Detail_3
Investment properties (Details 3) - ARS ($) $ in Millions | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2020 | |
Investment properties | |||
Revenues (Note 23) | $ 70,517 | $ 58,814 | $ 39,005 |
Direct operating costs | (22,176) | (19,814) | (15,660) |
Development costs | (262) | (400) | (403) |
Net realized gain from fair value adjustment of investment properties (i) | 12,106 | 30,138 | 38,255 |
Net unrealized loss from fair value adjustment of investment properties (ii) | $ (61,251) | $ (711) | $ (65,724) |
Investment properties (Detail_4
Investment properties (Details 4) - Level 3 [Member] - Shopping Malls in Argentina [Member] - ARS ($) | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Statement [Line Items] | |||
Fair value of investment properties, valuation technique | Discounted cash flows | ||
Fair value investment properties, range | 15.25% | 14.53% | 13.53% |
Fair value investment properties, increase | $ (3,757) | $ (4,667) | $ (4,787) |
Fair value investment properties, decrease | $ 4,024 | $ 5,019 | $ 5,172 |
Discount rate [Member] | |||
Statement [Line Items] | |||
Fair value investment properties, range | 14.20% | 14.53% | 13.53% |
Fair value investment properties, increase | $ (8,848) | $ (7,974) | $ (8,788) |
Fair value investment properties, decrease | $ 10,891 | $ 9,835 | $ 11,051 |
Growth rate [Member] | |||
Statement [Line Items] | |||
Fair value investment properties, range | 2.40% | 2.40% | 2.40% |
Fair value investment properties, increase | $ 6,710 | $ 5,683 | $ 6,217 |
Fair value investment properties, decrease | (5,662) | (4,816) | (5,204) |
Inflation [Member] | |||
Statement [Line Items] | |||
Fair value investment properties, increase | 24,052 | 22,670 | 28,886 |
Fair value investment properties, decrease | (21,969) | (18,764) | (23,826) |
Devaluation [Member] | |||
Statement [Line Items] | |||
Fair value investment properties, increase | (16,082) | (16,725) | (15,403) |
Fair value investment properties, decrease | $ 17,690 | $ 20,441 | $ 18,824 |
Investment properties (Detail_5
Investment properties (Details Narrative) - ARS ($) | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Investment properties | |||
Cash | $ 2,000,000 | ||
Sovereign bond | 3,000,000 | ||
Infrastructure and road works | $ 10,000,000 | ||
Assigned for year | 10 years | ||
Investment properties, description | For the next 5 years, an average ARS / USD exchange rate with an upward trend was considered, starting at ARS 479.4 (corresponding to the year ended June 30, 2024) and arriving at ARS 2,118.20 in 2029. In the long term, a nominal devaluation rate of 5.57% calculated based on the quotient between inflation in Argentina and the United States is assumed. The considered inflation shows a downward trend, which starts at 144.3% (corresponding to the year ended June 30, 2024) and stabilizes at 8.0% after 5 years. | For the next 5 years, an average ARS / USD exchange rate with an upward trend was considered, starting at ARS 163.65 (corresponding to the year ended June 30, 2023) and arriving at ARS 622.06 in 2028. In the long term, a nominal devaluation rate of 5.57% calculated based on the quotient between inflation in Argentina and the United States is assumed. The considered inflation shows a downward trend, which starts at 70.9% (corresponding to the year ended June 30, 2022) and stabilizes at 8.0% after 5 years. | For the next 5 years, an average ARS / USD exchange rate with an upward trend was considered, starting at ARS 116.94 (corresponding to the year ended June 30, 2022) and arriving at ARS 376.56 in 2027. In the long term, a nominal devaluation rate of 27.5% calculated based on the quotient between inflation in Argentina and the United States is assumed. The considered inflation shows a downward trend, which starts at 44.1% (corresponding to the year ended June 30, 2022) and stabilizes at 30.0% after 5 years. |
Property Plant and Equipment (D
Property Plant and Equipment (Details) - ARS ($) | 12 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Statement [Line Items] | ||
Beginning balance | $ 17,225,000,000 | $ 14,657,000,000 |
Additions | 793,000,000 | 722,000,000 |
Disposals | (3,384,000,000) | (6,000,000) |
Currency translation adjustment | (3,000,000) | (6,000,000) |
Transfers | (3,187,000,000) | 3,257,000,000 |
Depreciation charges | (1,296,000,000) | (1,399,000,000) |
Ending balance | 10,148,000,000 | 17,225,000,000 |
Costs [Member] | ||
Statement [Line Items] | ||
Beginning balance | 17,225,000,000 | 995,000,000 |
Ending balance | 10,148,000,000 | 17,225,000,000 |
Accumulated Depreciation [Member] | ||
Statement [Line Items] | ||
Beginning balance | 17,225,000,000 | 995,000,000 |
Ending balance | 10,148,000,000 | 17,225,000,000 |
Buildings And Facilities [Member] | ||
Statement [Line Items] | ||
Beginning balance | 16,237,000,000 | 13,493,000,000 |
Additions | 490,000,000 | 608,000,000 |
Disposals | (3,382,000,000) | (4,000,000) |
Transfers | (3,212,000,000) | 3,216,000,000 |
Depreciation charges | (942,000,000) | (1,076,000,000) |
Ending balance | 9,191,000,000 | 16,237,000,000 |
Buildings And Facilities [Member] | Accumulated Depreciation [Member] | ||
Statement [Line Items] | ||
Beginning balance | 995,000,000 | 995,000,000 |
Ending balance | 10,148,000,000 | 995,000,000 |
Buildings And Facilities [Member] | Costs [Member] | ||
Statement [Line Items] | ||
Beginning balance | 995,000,000 | 995,000,000 |
Ending balance | 10,148,000,000 | 995,000,000 |
Machinery and Equipment [Member] | ||
Statement [Line Items] | ||
Beginning balance | 509,000,000 | 599,000,000 |
Additions | 231,000,000 | 110,000,000 |
Disposals | (2,000,000) | |
Transfers | 25,000,000 | 41,000,000 |
Depreciation charges | (270,000,000) | (239,000,000) |
Ending balance | 495,000,000 | 509,000,000 |
Machinery and Equipment [Member] | Accumulated Depreciation [Member] | ||
Statement [Line Items] | ||
Beginning balance | 995,000,000 | 995,000,000 |
Ending balance | 10,148,000,000 | 995,000,000 |
Machinery and Equipment [Member] | Costs [Member] | ||
Statement [Line Items] | ||
Beginning balance | 995,000,000 | 995,000,000 |
Ending balance | 10,148,000,000 | 995,000,000 |
Other PPE [Member] | ||
Statement [Line Items] | ||
Beginning balance | 479,000,000 | 565,000,000 |
Additions | 72,000,000 | 4,000,000 |
Disposals | (2,000,000) | |
Currency translation adjustment | (3,000,000) | (6,000,000) |
Depreciation charges | (84,000,000) | (84,000,000) |
Ending balance | 462,000,000 | 479,000,000 |
Other PPE [Member] | Accumulated Depreciation [Member] | ||
Statement [Line Items] | ||
Beginning balance | 17,225,000,000 | 995,000,000 |
Ending balance | 10,148,000,000 | 17,225,000,000 |
Other PPE [Member] | Costs [Member] | ||
Statement [Line Items] | ||
Beginning balance | 995,000,000 | 995,000,000 |
Ending balance | $ 10,148,000,000 | $ 995,000,000 |
Property Plant and Equipment _2
Property Plant and Equipment (Details Narrative) - ARS ($) $ in Millions | Jun. 30, 2023 | Jun. 30, 2022 |
General And Administrative Expenses [Member] | ||
Statement [Line Items] | ||
Depreciation charges | $ 370 | $ 392 |
Costs [Member] | ||
Statement [Line Items] | ||
Depreciation charges | 921 | 998 |
Selling Expenses [Member] | ||
Statement [Line Items] | ||
Depreciation charges | $ 5 | $ 9 |
Trading Properties (Details)
Trading Properties (Details) - ARS ($) $ in Millions | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Statement [Line Items] | |||
Additions | $ 317 | $ 1,095 | |
Currency translation adjustment | 15 | (338) | |
Transfers | (432) | ||
Disposals | (693) | ||
Ending | 6,179 | 6,972 | $ 6,215 |
Properties Under Development [Member] | |||
Statement [Line Items] | |||
Additions | 144 | 1,015 | |
Currency translation adjustment | 15 | (338) | |
Transfers | 0 | ||
Disposals | (427) | ||
Ending | 3,244 | 3,512 | 2,835 |
Completed Properties [Member] | |||
Statement [Line Items] | |||
Additions | 30 | 0 | |
Currency translation adjustment | 0 | 0 | |
Transfers | 147 | ||
Disposals | (11) | ||
Ending | 593 | 427 | 427 |
Undeveloped Sites [Member] | |||
Statement [Line Items] | |||
Additions | 143 | 80 | |
Currency translation adjustment | 0 | 0 | |
Transfers | (579) | ||
Disposals | (255) | ||
Ending | $ 2,342 | $ 3,033 | $ 2,953 |
Trading Properties (Details 1)
Trading Properties (Details 1) - ARS ($) $ in Millions | Jun. 30, 2023 | Jun. 30, 2022 |
Non-current | $ 6,035 | $ 6,556 |
Current | 144 | 416 |
Total current and non-current | $ 6,179 | $ 6,972 |
Trading Properties (Details Nar
Trading Properties (Details Narrative) - ARS ($) $ in Millions | Jun. 30, 2023 | Jun. 30, 2022 |
Net book value | $ 3,243 | $ 3,512 |
Contractual obligations | $ 1,634 | $ 2,054 |
Intangible Assets (Details)
Intangible Assets (Details) $ in Millions, $ in Millions | 12 Months Ended | |||
Jun. 30, 2023 ARS ($) | Jun. 30, 2023 USD ($) | Jun. 30, 2022 ARS ($) | Jun. 30, 2022 USD ($) | |
Statement [Line Items] | ||||
Transfers | $ (3,187) | $ 3,257 | ||
Additions | 793 | 722 | ||
Disposals | (3,384) | (6) | ||
Information Systems And Software [Member] | ||||
Statement [Line Items] | ||||
Beginning balance | 459 | 723 | ||
Transfers | 0 | |||
Ending balance | 250 | 459 | ||
Additions | 143 | 140 | ||
Disposals | 0 | 0 | ||
Impairment | (85) | |||
Amortization charges (i) | $ (352) | (319) | ||
Goodwill [Member] | Accumulated Depreciation [Member] | ||||
Statement [Line Items] | ||||
Beginning balance | 0 | $ 0 | ||
Ending balance | 0 | |||
Goodwill [Member] | Costs [Member] | ||||
Statement [Line Items] | ||||
Beginning balance | 476 | 476 | ||
Ending balance | 476 | |||
Information Systems And Software [Member] | Accumulated Depreciation [Member] | ||||
Statement [Line Items] | ||||
Beginning balance | (2,736) | (2,384) | ||
Ending balance | (2,736) | |||
Information Systems And Software [Member] | Costs [Member] | ||||
Statement [Line Items] | ||||
Beginning balance | 2,986 | 2,843 | ||
Ending balance | 2,986 | |||
Future units to be received from barters and others [Member] | ||||
Statement [Line Items] | ||||
Beginning balance | 6,349 | 7,284 | ||
Transfers | (200) | |||
Ending balance | 7,219 | 6,349 | ||
Additions | 1,272 | 82 | ||
Impairment | 0 | |||
Amortization charges (i) | (23) | (2) | ||
Disposals | (179) | (1,015) | ||
Future units to be received from barters and others [Member] | Accumulated Depreciation [Member] | ||||
Statement [Line Items] | ||||
Beginning balance | (1,114) | (1,091) | ||
Ending balance | (1,114) | |||
Future units to be received from barters and others [Member] | Costs [Member] | ||||
Statement [Line Items] | ||||
Beginning balance | 8,333 | 7,440 | ||
Ending balance | 8,333 | |||
Total Intangible Assets [Member] | Costs [Member] | ||||
Statement [Line Items] | ||||
Beginning balance | 11,795 | 10,759 | ||
Ending balance | 11,795 | |||
Totals [Member] | ||||
Statement [Line Items] | ||||
Beginning balance | 7,284 | 8,483 | ||
Transfers | (200) | |||
Ending balance | 7,945 | 7,284 | ||
Additions | 1,415 | 222 | ||
Impairment | (85) | |||
Amortization charges (i) | (375) | (321) | ||
Disposals | (179) | (1,015) | ||
Totals [Member] | Accumulated Depreciation [Member] | ||||
Statement [Line Items] | ||||
Beginning balance | (3,850) | $ (3,475) | ||
Ending balance | (3,850) | |||
Goodwill Other Than Intangible Assets [Member] | ||||
Statement [Line Items] | ||||
Beginning balance | 476 | 476 | ||
Additions | 0 | 0 | ||
Disposals | 0 | 0 | ||
Transfers | 0 | |||
Impairment | 0 | |||
Amortization charges | $ 0 | 0 | ||
Ending balance | $ 476 | $ 476 |
Intangible assets (Details Narr
Intangible assets (Details Narrative) - ARS ($) $ in Millions | 12 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
General And Administrative Expenses [Member] | ||
Statement [Line Items] | ||
Amortization charge | $ 155 | $ 235 |
Costs [Member] | ||
Statement [Line Items] | ||
Amortization charge | $ 220 | $ 86 |
Rights of use of assets (Detail
Rights of use of assets (Details) - ARS ($) $ in Millions | Jun. 30, 2023 | Jun. 30, 2022 |
Statement [Line Items] | ||
Total Right-of-use assets | $ 2,935 | $ 2,678 |
Non-current | 2,935 | 2,678 |
Total right of use assets including non-current | 2,935 | 2,678 |
Machinery and Equipment [Member] | ||
Statement [Line Items] | ||
Total Right-of-use assets | 0 | 4 |
Real Estate [Member] | ||
Statement [Line Items] | ||
Total Right-of-use assets | 457 | 37 |
Other [Member] | ||
Statement [Line Items] | ||
Total Right-of-use assets | $ 2,478 | $ 2,637 |
Rights of use of assets (Deta_2
Rights of use of assets (Details 1) - ARS ($) $ in Millions | 12 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Rights of use of assets | ||
Beginning of the year | $ 2,678 | $ 2,868 |
Additions (i) | 451 | 0 |
Depreciation charges | (194) | (190) |
Total Right-of-use assets | $ 2,935 | $ 2,678 |
Rights of use of assets (Deta_3
Rights of use of assets (Details 2) - ARS ($) $ in Millions | Jun. 30, 2023 | Jun. 30, 2022 |
Statement [Line Items] | ||
Total depreciation of right-of-use assets | $ 194 | $ 190 |
Machinery And Equipment [Member] | ||
Statement [Line Items] | ||
Total depreciation of right-of-use assets | 4 | 10 |
Real Estate [Member] | ||
Statement [Line Items] | ||
Total depreciation of right-of-use assets | 30 | 2 |
Other [Member] | ||
Statement [Line Items] | ||
Total depreciation of right-of-use assets | $ 160 | $ 178 |
Rights of use of assets (Deta_4
Rights of use of assets (Details 3) - ARS ($) $ in Millions | 12 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Rights of use of assets | ||
Right-of-use interests | $ (222) | $ (259) |
Results from short-term leases | $ (134) | $ (93) |
Rights of use of assets (Deta_5
Rights of use of assets (Details Narrative) - 12 months ended Jun. 30, 2023 $ in Millions, $ in Millions | USD ($) | ARS ($) |
Rights of use of assets | ||
Depreciation charges | $ 166 | |
General and administrative expenses | $ 18 | |
Other Comprehensive Income | $ 10 |
Financial instruments by cate_3
Financial instruments by category (Details) - ARS ($) $ in Millions | Jun. 30, 2023 | Jun. 30, 2022 |
Statement [Line Items] | ||
Financial assets at amortized cost | $ 30,033 | $ 47,606 |
Subtotal financial assets | 69,221 | 95,137 |
Non-financial assets | 7,354 | 8,544 |
Total financial asset | 76,575 | 103,681 |
Financial liabilities at amortized cost | 123,156 | 170,684 |
Subtotal financial liabilities | 123,162 | 170,718 |
Non-financial liabilities | 20,228 | 16,472 |
Total financial liability | 143,390 | 187,190 |
Borrowings 1 [Member] | ||
Statement [Line Items] | ||
Financial liabilities at amortized cost | 107,941 | 161,112 |
Subtotal financial liabilities | 107,941 | 161,112 |
Non-financial liabilities | 0 | 0 |
Total financial liability | 107,941 | 161,112 |
Trade And Other Payables [Member] | ||
Statement [Line Items] | ||
Financial liabilities at amortized cost | 15,215 | 9,572 |
Subtotal financial liabilities | 15,215 | 9,572 |
Non-financial liabilities | 20,228 | 16,472 |
Total financial liability | 35,443 | 26,044 |
Level 2 [Member] | ||
Statement [Line Items] | ||
Financial assets at fair value through profit or loss | 0 | 0 |
Financial liabilities at fair value through profit or loss | 0 | 34 |
Level 2 [Member] | Borrowings Excluding Finance Leases [Member] | ||
Statement [Line Items] | ||
Financial liabilities at fair value through profit or loss | 0 | 0 |
Level 2 [Member] | Trade And Other Payables Two [Member] | ||
Statement [Line Items] | ||
Financial liabilities at fair value through profit or loss | 0 | 0 |
Level 1 [Member] | ||
Statement [Line Items] | ||
Financial assets at fair value through profit or loss | 39,188 | 47,531 |
Financial liabilities at fair value through profit or loss | 6 | 0 |
Level 1 [Member] | Borrowings Excluding Finance Leases [Member] | ||
Statement [Line Items] | ||
Financial liabilities at fair value through profit or loss | 0 | 0 |
Level 1 [Member] | Trade And Other Payables one [Member] | ||
Statement [Line Items] | ||
Financial liabilities at fair value through profit or loss | 0 | 0 |
Trade And Other Receivables Excluding The Allowance For Doubtful Accounts And Other Receivables [Member] | ||
Statement [Line Items] | ||
Financial assets at amortized cost | 24,152 | 25,993 |
Subtotal financial assets | 24,152 | 25,993 |
Non-financial assets | 7,354 | 8,544 |
Total financial asset | 31,506 | 34,537 |
Trade And Other Receivables Excluding The Allowance For Doubtful Accounts And Other Receivables [Member] | Level 2 [Member] | ||
Statement [Line Items] | ||
Financial assets at fair value through profit or loss | 0 | 0 |
Trade And Other Receivables Excluding The Allowance For Doubtful Accounts And Other Receivables [Member] | Level 1 [Member] | ||
Statement [Line Items] | ||
Financial assets at fair value through profit or loss | 0 | 0 |
Investments In Financial Assets [Member] | Mutual fonds [Member] | ||
Statement [Line Items] | ||
Financial assets at amortized cost | 0 | 0 |
Subtotal financial assets | 20,152 | 29,901 |
Non-financial assets | 0 | 0 |
Total financial asset | 20,152 | 29,901 |
Investments In Financial Assets [Member] | Mutual fonds [Member] | Level 2 [Member] | ||
Statement [Line Items] | ||
Financial assets at fair value through profit or loss | 0 | 0 |
Investments In Financial Assets [Member] | Mutual fonds [Member] | Level 1 [Member] | ||
Statement [Line Items] | ||
Financial assets at fair value through profit or loss | 20,152 | 29,901 |
Investments In Financial Assets [Member] | Public Companies Securities [Member] | ||
Statement [Line Items] | ||
Financial assets at amortized cost | 0 | 0 |
Subtotal financial assets | 5,046 | 2,902 |
Non-financial assets | 0 | 0 |
Total financial asset | 5,046 | 2,902 |
Investments In Financial Assets [Member] | Public Companies Securities [Member] | Level 2 [Member] | ||
Statement [Line Items] | ||
Financial assets at fair value through profit or loss | 0 | 0 |
Investments In Financial Assets [Member] | Public Companies Securities [Member] | Level 1 [Member] | ||
Statement [Line Items] | ||
Financial assets at fair value through profit or loss | 5,046 | 2,902 |
Investments In Financial Assets [Member] | Bonds [Member] | ||
Statement [Line Items] | ||
Financial assets at amortized cost | 0 | 0 |
Subtotal financial assets | 9,215 | 8,205 |
Non-financial assets | 0 | 0 |
Total financial asset | 9,215 | 8,205 |
Investments In Financial Assets [Member] | Bonds [Member] | Level 2 [Member] | ||
Statement [Line Items] | ||
Financial assets at fair value through profit or loss | 0 | 0 |
Investments In Financial Assets [Member] | Bonds [Member] | Level 1 [Member] | ||
Statement [Line Items] | ||
Financial assets at fair value through profit or loss | 9,215 | 8,205 |
Investments In Financial Assets [Member] | Others [Member] | ||
Statement [Line Items] | ||
Financial assets at amortized cost | 627 | 22 |
Subtotal financial assets | 1,921 | 593 |
Non-financial assets | 0 | 0 |
Total financial asset | 1,921 | 593 |
Investments In Financial Assets [Member] | Others [Member] | Level 2 [Member] | ||
Statement [Line Items] | ||
Financial assets at fair value through profit or loss | 0 | 0 |
Investments In Financial Assets [Member] | Others [Member] | Level 1 [Member] | ||
Statement [Line Items] | ||
Financial assets at fair value through profit or loss | 1,294 | 571 |
Derivative Financial Instruments [Member] | Bond Futures [member] | ||
Statement [Line Items] | ||
Financial liabilities at amortized cost | 0 | |
Subtotal financial liabilities | 6 | |
Non-financial liabilities | 0 | |
Total financial liability | 6 | |
Derivative Financial Instruments [Member] | Swaps [member] | ||
Statement [Line Items] | ||
Financial liabilities at amortized cost | 0 | |
Subtotal financial liabilities | 34 | |
Non-financial liabilities | 0 | |
Total financial liability | 34 | |
Derivative Financial Instruments [Member] | Level 2 [Member] | Bond Futures [member] | ||
Statement [Line Items] | ||
Financial liabilities at fair value through profit or loss | 0 | |
Derivative Financial Instruments [Member] | Level 2 [Member] | Swaps [member] | ||
Statement [Line Items] | ||
Financial liabilities at fair value through profit or loss | 34 | |
Derivative Financial Instruments [Member] | Level 1 [Member] | Bond Futures [member] | ||
Statement [Line Items] | ||
Financial liabilities at fair value through profit or loss | 6 | |
Derivative Financial Instruments [Member] | Level 1 [Member] | Swaps [member] | ||
Statement [Line Items] | ||
Financial liabilities at fair value through profit or loss | 0 | |
Cash And Cash Equivalents [member] | Cash At Bank And On Hand [Member] | ||
Statement [Line Items] | ||
Financial assets at amortized cost | 5,254 | 21,591 |
Subtotal financial assets | 5,254 | 21,591 |
Non-financial assets | 0 | 0 |
Total financial asset | 5,254 | 21,591 |
Cash And Cash Equivalents [member] | Cash At Bank And On Hand [Member] | Level 2 [Member] | ||
Statement [Line Items] | ||
Financial assets at fair value through profit or loss | 0 | 0 |
Cash And Cash Equivalents [member] | Cash At Bank And On Hand [Member] | Level 1 [Member] | ||
Statement [Line Items] | ||
Financial assets at fair value through profit or loss | 0 | 0 |
Cash And Cash Equivalents [member] | Short Term Investments [Member] | ||
Statement [Line Items] | ||
Financial assets at amortized cost | 0 | 0 |
Subtotal financial assets | 3,481 | 5,952 |
Non-financial assets | 0 | 0 |
Total financial asset | 3,481 | 5,952 |
Cash And Cash Equivalents [member] | Short Term Investments [Member] | Level 2 [Member] | ||
Statement [Line Items] | ||
Financial assets at fair value through profit or loss | 0 | 0 |
Cash And Cash Equivalents [member] | Short Term Investments [Member] | Level 1 [Member] | ||
Statement [Line Items] | ||
Financial assets at fair value through profit or loss | $ 3,481 | $ 5,952 |
Financial instruments by cate_4
Financial instruments by category (Details 1) - ARS ($) $ in Millions | Jun. 30, 2023 | Jun. 30, 2022 |
Statement [Line Items] | ||
Net amount presented | $ 69,221 | $ 95,137 |
Net amount presented | 123,162 | 170,718 |
Trade And Other Payables one [Member] | ||
Statement [Line Items] | ||
Gross amounts recognized | 13,732 | 8,429 |
Gross amounts offset | (1,483) | (1,143) |
Net amount presented | 15,215 | 9,572 |
Trade And Other Receivables Excluding The Allowance For Doubtful Accounts And Other Receivables [Member] | ||
Statement [Line Items] | ||
Gross amounts recognized | 25,635 | 27,136 |
Gross amounts offset | 1,483 | 1,143 |
Net amount presented | $ 24,152 | $ 25,993 |
Financial instruments by cate_5
Financial instruments by category (Details 2) - ARS ($) $ in Millions | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Statement [Line Items] | |||
Interest income | $ 825 | $ 998 | $ 1,274 |
Interest expense | (11,909) | (17,614) | (22,658) |
Interest expense on lease liabilities | (222) | (259) | (341) |
Foreign exchange gains, net | 6,762 | 31,056 | 24,818 |
Dividend income | 0 | 0 | 2 |
Gain/Loss from repurchase of negotiable obligations | 199 | 3,148 | (336) |
Fair value gain on financial assets at fair value through profit or loss | 7,407 | 3,134 | 18,799 |
Interest and discount generated by operating credits | 661 | 276 | 342 |
Gain on derivative financial instruments, net | 46 | 70 | (1,597) |
Other finance costs | (1,895) | (996) | (3,061) |
Total financial instruments | 1,874 | 19,813 | 17,242 |
Financial Assets And Liabilities At Amortised Cost Category [Member] | |||
Statement [Line Items] | |||
Interest income | 825 | 998 | 1,274 |
Interest expense | (11,909) | (17,614) | (22,658) |
Interest expense on lease liabilities | (222) | (259) | (341) |
Foreign exchange gains, net | 6,762 | 31,056 | 24,818 |
Dividend income | 2 | ||
Gain/Loss from repurchase of negotiable obligations | 199 | 3,148 | (336) |
Fair value gain on financial assets at fair value through profit or loss | 0 | 0 | 0 |
Interest and discount generated by operating credits | 661 | 276 | 342 |
Gain on derivative financial instruments, net | 0 | 0 | 0 |
Other finance costs | (1,895) | (996) | (3,061) |
Total financial instruments | (5,579) | 16,609 | 40 |
Financial Assets And Liabilities At Fair Value Through Profit Or Loss Category [Member] | |||
Statement [Line Items] | |||
Interest income | 0 | 0 | 0 |
Interest expense | 0 | 0 | 0 |
Interest expense on lease liabilities | 0 | 0 | |
Foreign exchange gains, net | 0 | 0 | 0 |
Dividend income | 0 | ||
Gain/Loss from repurchase of negotiable obligations | 0 | 0 | |
Fair value gain on financial assets at fair value through profit or loss | 7,407 | 3,134 | 18,799 |
Interest and discount generated by operating credits | 0 | 0 | 0 |
Gain on derivative financial instruments, net | 46 | 70 | (1,597) |
Other finance costs | 0 | 0 | 0 |
Total financial instruments | $ 7,453 | $ 3,204 | $ 17,202 |
Financial instruments by cate_6
Financial instruments by category (Details 3) - 12 months ended Jun. 30, 2023 | ARS ($) | USD ($) |
Statement [Line Items] | ||
Write off | $ (207,000,000) | |
Gain / (loss) for the year | 54,000,000 | |
financial instruments ending | $ 0 | |
Currency translation adjustments | (17,000,000) | |
financial instruments, beginning | 170 | |
Investments In Financial Assets [Member] | Total Others [Member] | ||
Statement [Line Items] | ||
Write off | (207,000,000) | |
Gain / (loss) for the year | 54,000,000 | |
financial instruments ending | $ 0 | |
Currency translation adjustments | (17,000,000) | |
financial instruments, beginning | $ 170 |
Financial instruments by cate_7
Financial instruments by category (Details 4) - Theoretical Price [Member] - Level 2 And 3 [Member] | 12 Months Ended |
Jun. 30, 2023 | |
Statement [Line Items] | |
Description | Derivative financial instruments Swaps |
Pricing model / method | Theoretical price |
Parameters | Underlying asset price and volatility |
Range | 0 |
Trade and other receivables (De
Trade and other receivables (Details) - ARS ($) $ in Millions | Jun. 30, 2023 | Jun. 30, 2022 |
Trade and other receivables | ||
Sale, leases and services receivables | $ 14,919 | $ 17,273 |
Less: Allowance for doubtful accounts | (1,194) | (1,840) |
Total trade receivables | 13,725 | 15,433 |
Borrowings, deposits and others | 9,364 | 9,358 |
Advances to suppliers | 2,329 | 1,977 |
Tax receivables | 1,480 | 2,016 |
Prepaid expenses | 609 | 730 |
Long-term incentive plan | 1 | 1 |
Dividends | 0 | 440 |
Others | 2,804 | 2,742 |
Total other receivables | 16,587 | 17,264 |
Total trade and other receivables | 30,312 | 32,697 |
Non-current | 4,437 | 9,348 |
Current | 25,875 | 23,349 |
Total trade and other receivables including current | $ 30,312 | $ 32,697 |
Trade and other receivables (_2
Trade and other receivables (Details 1) - ARS ($) $ in Millions | 12 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Trade and other receivables | ||
Beginning of the year | $ 1,840 | $ 3,007 |
Additions (i) | 210 | 539 |
Recovery (i) | (121) | (607) |
Currency translations adjustment | 371 | 158 |
Receivables written off during the period/year as uncollectable | 0 | (26) |
Inflation adjustment | (1,106) | (1,231) |
End of the year | $ 1,194 | $ 1,840 |
Trade and other receivables (_3
Trade and other receivables (Details 2) - ARS ($) $ in Millions | 12 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Statement [Line Items] | ||
% of representation | 100% | 99.98% |
Leases And Services [Member] | ||
Statement [Line Items] | ||
% of representation | 98.56% | 96.57% |
Consumer Financing [Member] | ||
Statement [Line Items] | ||
% of representation | 0.27% | 1.09% |
Sale Of Properties And Developments [Member] | ||
Statement [Line Items] | ||
% of representation | 1.17% | 2.32% |
Non-Past Due [Member] | ||
Statement [Line Items] | ||
Leases and services | $ 11,901 | $ 12,086 |
Consumer financing | 41 | 189 |
Sale of properties and developments | 1 | 274 |
Total other receivables | 11,943 | 12,549 |
Past Due, Total [Member] | ||
Statement [Line Items] | ||
Leases and services | 14,704 | 16,681 |
Consumer financing | 41 | 189 |
Sale of properties and developments | 174 | 403 |
Total other receivables | 14,919 | 17,273 |
Impaired [Member] | ||
Statement [Line Items] | ||
Leases and services | 1,194 | 1,840 |
Consumer financing | 0 | 0 |
Sale of properties and developments | 0 | 0 |
Total other receivables | 1,194 | 1,840 |
Up to 3 Months [Member] | ||
Statement [Line Items] | ||
Leases and services | 455 | 843 |
Consumer financing | 0 | 0 |
Sale of properties and developments | 0 | 86 |
Total other receivables | 455 | 929 |
3 To 6 Months [Member] | ||
Statement [Line Items] | ||
Leases and services | 123 | 513 |
Consumer financing | 0 | 0 |
Sale of properties and developments | 0 | 0 |
Total other receivables | 123 | 513 |
Over 6 Months [Member] | ||
Statement [Line Items] | ||
Leases and services | 1,031 | 1,399 |
Consumer financing | 0 | 0 |
Sale of properties and developments | 173 | 43 |
Total other receivables | $ 1,204 | $ 1,442 |
Cash flow information (Details)
Cash flow information (Details) | 12 Months Ended | ||||
Jun. 30, 2023 USD ($) | Jun. 30, 2023 ARS ($) | Jun. 30, 2022 USD ($) | Jun. 30, 2022 ARS ($) | Jun. 30, 2021 ARS ($) | |
Cash flow information | |||||
Net income / (loss) | $ 60,986,000,000 | $ 75,222,000,000 | $ (132,885,000,000) | ||
Profit for the period from discontinued operations | 0 | 0 | 31,545,000,000 | ||
Adjustments for: | |||||
Income tax | (64,517,000,000) | 5,971,000,000 | 76,617,000,000 | ||
Amortization and depreciation | 1,900,000,000 | 2,007,000,000 | 2,266,000,000 | ||
Net gain / (loss) from fair value adjustment of investment properties | 49,145,000,000 | (29,427,000,000) | 27,469,000,000 | ||
Loss from disposal of property, plant and equipment | 684 | $ 0 | 0 | ||
Impairment of others assets | $ 34 | 0 | 0 | ||
Realization of currency translation adjustment | (423) | 0 | 0 | ||
Gain from disposal of associates | 0 | 0 | (132,000,000) | ||
Financial results, net | (19,307,000,000) | (30,824,000,000) | (23,372,000,000) | ||
Gain from disposal of trading properties | (2,991) | $ 0 | 0 | ||
Provisions and allowances | 16,611,000,000 | 3,364,000,000 | 3,982,000,000 | ||
Share of (profit) /loss of associates and joint ventures | (2,622,000,000) | 764,000,000 | 15,483,000,000 | ||
Changes in operating assets and liabilities: | |||||
Decrease in inventories | (62,000,000) | (15,000,000) | 93,000,000 | ||
Decrease in trading properties | 92,000,000 | 192,000,000 | (99,000,000) | ||
Decrease / (Increase) in trade and other receivables | (704,000,000) | (67,000,000) | 5,353,000,000 | ||
Decrease in trade and other payables | (291,000,000) | 1,345,000,000 | (11,971,000,000) | ||
Increase / (decrease) in salaries and social security liabilities | 920,000,000 | 67,000,000 | 188,000,000 | ||
Decrease in provisions | (67,000,000) | (209,000,000) | (379,000,000) | ||
Net cash (used in) / generated by continuing operating activities before income tax paid | 39,388,000,000 | 28,390,000,000 | (5,842,000,000) | ||
Net cash generated by discontinued operating activities before income tax paid | 0 | 0 | 12,023,000,000 | ||
Net cash generated by operating activities before income tax paid | $ 39,388,000,000 | $ 28,390,000,000 | $ 6,181,000,000 |
Cash flow information (Details
Cash flow information (Details 1) | Jun. 30, 2023 ARS ($) | Jun. 30, 2022 ARS ($) | Jun. 30, 2022 USD ($) | Jun. 30, 2021 ARS ($) |
Cash flow information | ||||
Investment properties | $ 0 | $ 0 | $ 415,546,000,000 | |
Property, plant and equipment | 0 | 0 | 169,649,000,000 | |
Trading properties | 0 | 0 | 27,185,000,000 | |
Intangible assets | 0 | 0 | 129,195,000,000 | |
Investments in associates and joint ventures | 0 | 0 | 171,253,000,000 | |
Deferred income tax assets | 0 | 0 | 2,007,000,000 | |
Restricted assets | 0 | 0 | 29,696,000,000 | |
Income tax and MPIT credit | 0 | 0 | 1,507,000,000 | |
Trade and other receivables | 0 | 0 | 249,909,000,000 | |
Right-of-use assets | 0 | 0 | 91,393,000,000 | |
Investments in financial assets | 0 | 0 | 111,862,000,000 | |
Derivative financial instruments | 0 | 0 | 1,300,000,000 | |
Inventories | 0 | 0 | (16,658,000,000) | |
Group of assets held for sale | 0 | 0 | 194,531,000,000 | |
Borrowings | 0 | 0 | (1,503,569,000,000) | |
Lease liabilities | 0 | 0 | (83,768,000,000) | |
Deferred income tax liabilities | 0 | 0 | (57,484,000,000) | |
Trade and other payables | 0 | 0 | (108,709,000,000) | |
Provisions | 0 | 0 | (25,083,000,000) | |
Employee benefits | 0 | 0 | (2,205,000,000) | |
Derivative financial instruments | 0 | 0 | (2,205,000,000) | |
Salaries and social security liabilities | 0 | 0 | (15,651,000,000) | |
Group of liabilities held for sale | 0 | $ 0 | (101,829) | |
Income tax expense | 0 | 0 | (2,106,000,000) | |
Net value of incorporated assets that do not affect cash | 0 | 0 | (290,918,000,000) | |
Cash and cash equivalents | 0 | 0 | (513,762,000,000) | |
Non-controlling interest | 0 | 0 | (221,013,000,000) | |
Net value of assets incorporated / intended for sale | $ 0 | $ 0 | $ (1,025,693,000,000) |
Cash flow information (Detail_2
Cash flow information (Details 2) | 12 Months Ended | |||
Jun. 30, 2023 ARS ($) | Jun. 30, 2022 ARS ($) | Jun. 30, 2022 USD ($) | Jun. 30, 2021 ARS ($) | |
Cash flow information | ||||
Increase of trading properties for sale through an increase in borrowings | $ 0 | $ 0 | $ 216,000,000 | |
Increase of intangible assets through an increase of trade and other payables | 0 | 26,000,000 | 0 | |
Distribution of dividends on shares | 0 | 0 | 2,572,000,000 | |
Increase in non-convertible notes through a decrease in non-convertible notes | 45,938 | $ 9,279 | 0 | |
Decrease of property, plant and equipment through an increase of tax receivables and tax payables | 0 | $ 0 | 293 | |
Increase in investment properties through an increase in trade and other payables | 143 | 399 | 0 | |
Increase of investment properties through an increase of borrowings | 0 | 0 | 1,440 | |
Increase in intangible assets through a decrease in investment in associates | 0 | 0 | 2,889 | |
Currency translation adjustment | 1,286 | 379 | 40,417 | |
Increase in investment properties under barter agreements | 0 | 6,767 | 0 | |
Payment of non-convertible notes | 0 | 1,365 | 0 | |
Decrease in lease liabilities through a decrease in trade and other receivables | 0 | 6 | 0 | |
Decrease in investment properties through an increase in property, plant and equipment | 23 | 3,359 | 0 | |
Decrease in property, plant and equipment through an increase in investment properties | 3,210 | 1,293 | 0 | |
Decrease in property, plant and equipment through an increase in revaluation surplus | 266 | 1,199 | 0 | |
Decrease in revaluation surplus through an increase in deferred income tax liabilities | 0 | 420 | 0 | |
Increase in intangible assets through an increase salaries and social security liabilities | 0 | 56 | 0 | |
Increase in investments in associates through a decrease in investments in financial assets | 0 | 1,865 | 0 | |
Decrease in borrowings through a decrease in trade and other receivables | 0 | 951 | 0 | |
Increase in investments in associates and joint ventures through a decrease in trade and other receivables | 31 | 0 | 0 | |
Increase in investments in associates and joint ventures through a decrease in investments in financial assets | 0 | 97 | 0 | |
Capital contributions from non-controlling interest through a decrease of borrowings | 0 | 9 | 0 | |
Capital contributions from non-controlling interest through an increase in trade and other receivables | 0 | 11 | 0 | |
Decrease of trading properties through an increase in intangible assets | 1,272 | 0 | 0 | |
Decrease in investments in financial assets through a decrease in trade and other payables | 368 | 0 | 0 | |
Decrease in dividends receivables through an increase in investments in financial assets | 13 | 0 | 0 | |
Decrease in Shareholders' Equity through a decrease in trade and other receivables | 1,695 | 0 | 0 | |
Decrease in investment properties through a decrease in investments in financial assets | 78 | 0 | 0 | |
Decrease in Shareholders' Equity through a decrease in investments in financial assets | 2,536 | 0 | 0 | |
Increase in right-of-use assets through a decrease in lease liabilities | 451 | 0 | 0 | |
Increase of investments in financial assets through a decrease in trade and other receivables | 580 | 0 | 0 | |
Decrease of intangible assets through an increase in investment properties | 53 | 0 | 0 | |
Decrease of intangible assets through an increase in trading properties | 147 | 0 | 0 | |
Increase of investment properties through a decrease in trade and other receivables | 46 | 0 | 0 | |
Decrease in Shareholders' Equity through an increase in trade and other payables | 191 | 0 | 0 | |
Increase of investment properties through a decrease in trading properties | 579 | 0 | 0 | |
Decrease in borrowings through a decrease in trading properties | $ 338 | $ 0 | $ 0 |
Shareholders Equity (Details Na
Shareholders Equity (Details Narrative) - ARS ($) $ / shares in Units, $ in Millions | 1 Months Ended | 12 Months Ended | ||||||||||
Nov. 08, 2022 | Mar. 11, 2022 | Apr. 27, 2023 | Oct. 28, 2022 | Sep. 21, 2022 | Oct. 26, 2020 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 15, 2023 | Dec. 22, 2021 | Apr. 12, 2021 | Jun. 30, 2017 | |
Statement [Line Items] | ||||||||||||
Description of legal reserve | the Company announced the completion of the share buyback program, having acquired the equivalent of 9,419,623 ordinary shares, which represent approximately 99.51% of the approved program and 1.16% of the share capital | According to Law N° 19,550, 5% of the profit of the year is destined to the constitution of a legal reserve until it reaches the legal capped amount (20% of total capital). This legal reserve is not available for dividend distribution and can only be released to absorb losses | ||||||||||
Nominal value per share | $ 10 | |||||||||||
Reserve | $ 31,109 | $ 5,000 | $ 425 | |||||||||
Public offering of shares | 80,000,000 | |||||||||||
Warrants to subscribe | 80,000,000 | |||||||||||
Totally subscribed | 80,000,000 | |||||||||||
Warrants issued | 80,000,000,000,000 | |||||||||||
Exercise price | $ 0.432 | |||||||||||
Additional new shares | 7,364,000,000 | 152,158,215 | 80,000,000 | |||||||||
Additional new share | 28,800,000 | |||||||||||
increasing capital stock | 6,552,405,000 | 658,676,460 | ||||||||||
Buyback program | On March 11, 2022, the IRSA Board of Directors approved the shares buyback program issued by the Company and established the terms and conditions for the acquisition of shares issued by the Company, under the terms of Article 64 of Law No. 26,831 and the regulations of the CNV, for up to a maximum amount of ARS1,000 million and up to 10% of the capital stock, up to a daily limit of up to 25% of the average volume of daily transactions experienced by the Company's shares, jointly in the listed markets, during the previous 90 business days, and up to a maximum price of USD 7 per ADS and ARS 140 per share. Likewise, the buyback term was set at up to 120 days, beginning the day following the date of publication of the information in the Daily Bulletin of the Buenos Aires Stock Exchange. | |||||||||||
Common shares | 1,512,500,000,000 | |||||||||||
Dividend distribution | On October 26, 2020, our shareholders held an Ordinary and Extraordinary Meeting and approved an in kind dividend distribution equivalent to ARS 484 million (representative of ARS 0.84 per share) and payable in shares of IRSA CP. Our shareholders decided to consider IRSA CP’s ’quoted price per share as of October 23, 2020, which resulted amounted ARS 320 per share. Pursuant to that shareholders’ decision, we distributed 1,512,500 common shares of IRSA CP. We reflected this transaction on our financial statements as a change in equity, which generated a reduction of the equity attributable to the controlling shareholders totalling ARS 1,189 million restated for inflation as of June 30, 2022. | |||||||||||
New share | 811,137,457 | |||||||||||
Ordinary Shareholders' Meeting [Member] | ||||||||||||
Statement [Line Items] | ||||||||||||
Payment of dividend in cash | $ 4,340 | $ 21,900 | $ 4,340 |
Trade and other payables (Detai
Trade and other payables (Details) | Jun. 30, 2023 ARS ($) | Jun. 30, 2023 USD ($) | Jun. 30, 2022 ARS ($) | Jun. 30, 2022 USD ($) |
Trade and other payables | ||||
Trade payables | $ 2,826,000,000 | $ 3,447,000,000 | ||
Accrued invoices | $ 2,452,000,000 | 2,542,000,000 | ||
Admission fee | 8,170,000,000 | 5,551,000,000 | ||
Other income to be accrued | 145,000,000 | 207,000,000 | ||
Tenant deposits | 141,000,000 | 144,000,000 | ||
Customer advances | 9,089 | $ 7,849 | ||
Total trade payables | 22,823,000,000 | 19,740,000,000 | ||
Taxes payable | 2,823,000,000 | 2,865,000,000 | ||
Other payables | 9,797,000,000 | 3,439,000,000 | ||
Total other payables | 12,620,000,000 | 6,304,000,000 | ||
Total trade and other payables | 35,443,000,000 | 26,044,000,000 | ||
Trade and other payables | 9,838,000,000 | 7,668,000,000 | ||
Current | 25,605,000,000 | 18,376,000,000 | ||
Total other payable | $ 35,443,000,000 | $ 26,044,000,000 |
Trade and other payables (Det_2
Trade and other payables (Details Narrative) | 12 Months Ended |
Jun. 30, 2023 | |
Bottom Range [Member] | |
Statement [Line Items] | |
Admission rights and rents collected average term | 3 years |
Top Range [Member] | |
Statement [Line Items] | |
Admission rights and rents collected average term | 5 years |
Provisions (Details)
Provisions (Details) - ARS ($) $ in Millions | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Statement [Line Items] | |||
As of beginning | $ 850 | $ 923 | |
Additions | 7,676 | 735 | |
Share of los of associates | (16) | (9) | |
Recovery | (224) | (170) | |
Used during the period / year | (67) | (209) | |
Inflation adjustment | (1,456) | (420) | |
As of end | 6,763 | 850 | $ 923 |
Inflation adjustment | 14,323 | 6,012 | (5,109) |
Legal Claims [Member] | |||
Statement [Line Items] | |||
As of beginning | 833 | 897 | |
Additions | 7,676 | 735 | |
Recovery | (224) | (170) | |
Used during the period / year | (67) | (209) | |
As of end | 6,762 | 833 | 897 |
Share of Profit of associates | 0 | 0 | |
Inflation adjustment | (1,456) | (420) | |
Investments In Associates And Joint Ventures [Member] | |||
Statement [Line Items] | |||
As of beginning | 17 | 26 | |
Additions | 0 | 0 | |
Recovery | 0 | 0 | |
Used during the period / year | 0 | 0 | |
As of end | 1 | 17 | $ 26 |
Share of Profit of associates | (16) | (9) | |
Inflation adjustment | $ 0 | $ 0 |
Provisions (Details 1)
Provisions (Details 1) - ARS ($) $ in Millions | Jun. 30, 2023 | Jun. 30, 2022 |
Provisions | ||
Non-current | $ 5,919 | $ 423 |
Current | 844 | 427 |
Total provision | $ 6,763 | $ 850 |
Borrowings (Details)
Borrowings (Details) $ in Millions, $ in Millions | Jun. 30, 2023 ARS ($) | Jun. 30, 2023 USD ($) | Jun. 30, 2022 ARS ($) | Jun. 30, 2021 ARS ($) |
Statement [Line Items] | ||||
Total non-current borrowings | $ 67,324 | $ 28,138 | ||
Total current borrowings | $ 40,617 | 132,974 | ||
Borrowings total amount | 107,941 | 161,112 | $ 219,648 | |
NCN [Member] | ||||
Statement [Line Items] | ||||
Borrowings total amount | 96,599 | 142,749 | ||
Bank loans [Member] | ||||
Statement [Line Items] | ||||
Borrowings total amount | 2,575 | 2,182 | ||
Other Borrowings [Member] | ||||
Statement [Line Items] | ||||
Borrowings total amount | 1,720 | 3,061 | ||
Loans with Non-controlling Interests [Member] | ||||
Statement [Line Items] | ||||
Borrowings total amount | 455 | 463 | ||
Bank Overdrafts [Member] | ||||
Statement [Line Items] | ||||
Borrowings total amount | 6,592 | 12,657 | ||
Book value [Member] | ||||
Statement [Line Items] | ||||
Borrowings total amount | 107,941 | 161,112 | ||
At Fair Value [Member] | ||||
Statement [Line Items] | ||||
Borrowings total amount | 108,619 | 152,922 | ||
At Fair Value [Member] | NCN [Member] | ||||
Statement [Line Items] | ||||
Borrowings total amount | 97,277 | 134,546 | ||
At Fair Value [Member] | Other Borrowings [Member] | ||||
Statement [Line Items] | ||||
Borrowings total amount | 1,720 | 3,061 | ||
At Fair Value [Member] | Loans with Non-controlling Interests [Member] | ||||
Statement [Line Items] | ||||
Borrowings total amount | 455 | 463 | ||
At Fair Value [Member] | Bank Overdrafts [Member] | ||||
Statement [Line Items] | ||||
Borrowings total amount | 6,592 | 12,657 | ||
At Fair Value [Member] | Bank Loans [Member] | ||||
Statement [Line Items] | ||||
Borrowings total amount | $ 2,575 | $ 2,195 |
Borrowings (Details 1)
Borrowings (Details 1) $ in Millions, $ in Millions | Jun. 30, 2023 ARS ($) | Jun. 30, 2023 USD ($) | Jun. 30, 2022 ARS ($) | Jun. 30, 2021 ARS ($) |
Statement [Line Items] | ||||
Share capital | $ 106,036 | $ 157,641 | ||
Borrowings total amount | $ 107,941 | 161,112 | $ 219,648 | |
Interest | 1,905 | 3,471 | ||
Less Than 1 year [Member] | ||||
Statement [Line Items] | ||||
Share capital | 39,029 | 129,796 | ||
Interest | 1,588 | 3,178 | ||
Between 1 And 2 Years [Member] | ||||
Statement [Line Items] | ||||
Share capital | 27,146 | 22,572 | ||
Interest | 203 | 0 | ||
Between 2 and 3 years [Member] | ||||
Statement [Line Items] | ||||
Share capital | 20,794 | 4,499 | ||
Interest | 114 | 136 | ||
Between 3 and 4 years [Member] | ||||
Statement [Line Items] | ||||
Share capital | 7,025 | 229 | ||
Interest | 0 | 19 | ||
Between 4 and 5 years [Member] | ||||
Statement [Line Items] | ||||
Share capital | 12,042 | 545 | ||
Interest | $ 0 | $ 138 |
Borrowings (Details 2)
Borrowings (Details 2) $ in Millions, $ in Millions | Jun. 30, 2023 ARS ($) | Jun. 30, 2022 ARS ($) | Jun. 30, 2022 USD ($) | Jun. 30, 2021 ARS ($) |
Rate per currency | ||||
Subtotal fixed-rate borrowings | $ 105,600 | $ 159,674 | ||
Subtotal floating-rate borrowings | 2,341 | 1,438 | ||
Total borrowings as per analysis | 107,941 | 161,112 | ||
Borrowings total amount | 107,941 | 161,112 | $ 219,648 | |
Floating rate [Member] | ||||
Rate per currency | ||||
Subtotal floating-rate borrowings | 2,341 | 901 | ||
Argentine Peso [Member] | ||||
Rate per currency | ||||
Subtotal fixed-rate borrowings | 19,395 | 25,477 | ||
Subtotal floating-rate borrowings | 2,341 | 901 | ||
Total borrowings as per analysis | 21,736 | 26,378 | ||
Borrowings total amount | 21,736 | 26,378 | ||
Argentine Peso [Member] | Fixed rate [Member] | ||||
Rate per currency | ||||
Subtotal fixed-rate borrowings | 19,395 | 25,477 | ||
Argentine Peso [Member] | Floating rate [Member] | ||||
Rate per currency | ||||
Subtotal floating-rate borrowings | 2,341 | 901 | ||
US Dollar [Member] | ||||
Rate per currency | ||||
Subtotal fixed-rate borrowings | 86,205 | $ 134,197 | ||
Subtotal floating-rate borrowings | 0 | 537 | ||
Total borrowings as per analysis | 86,205 | 134,734 | ||
Borrowings total amount | 86,205 | 134,734 | ||
US Dollar [Member] | Fixed rate [Member] | ||||
Rate per currency | ||||
Subtotal fixed-rate borrowings | 86,205 | 134,197 | ||
US Dollar [Member] | Floating rate [Member] | ||||
Rate per currency | ||||
Subtotal floating-rate borrowings | 0 | $ 537 | ||
USD [Member] | Fixed rate [Member] | ||||
Rate per currency | ||||
Subtotal fixed-rate borrowings | 0 | 0 | ||
Argentine Peso Total [Member] | Fixed rate [Member] | ||||
Rate per currency | ||||
Subtotal fixed-rate borrowings | 19,395 | 25,477 | ||
US Dollar Total [Member] | Fixed rate [Member] | ||||
Rate per currency | ||||
Subtotal fixed-rate borrowings | $ 86,205 | 134,197 | ||
USD [Member] | ||||
Rate per currency | ||||
Subtotal floating-rate borrowings | $ 537 |
Borrowings (Details 3)
Borrowings (Details 3) - IRSA [Member] $ in Thousands | 12 Months Ended |
Jun. 30, 2023 ARS ($) | |
Class XIII [Member] | |
Statement [Line Items] | |
Maturity date | 03/31/2024 |
Principal payment | Biannual |
Interest payment | Quarterly |
Description of interest rate | 3.90% n.a |
Issuance / expansion date | aug-21 |
Class XIII [Member] | USD [Member] | |
Statement [Line Items] | |
Amount in original currency | $ 58,100 |
Class XIV [Member] | |
Statement [Line Items] | |
Maturity date | 06/22/2028 |
Principal payment | 17.5% in June 2024 – 17.5% in June 2025 – 17.5% in June 2026 – 17.5% in June 2027 - 30% in June 2028 |
Interest payment | Biannual |
Description of interest rate | 8.75% n.a. |
Issuance / expansion date | jul-22 |
Class XIV [Member] | USD [Member] | |
Statement [Line Items] | |
Amount in original currency | $ 171,200 |
Class XV [Member] | |
Statement [Line Items] | |
Maturity date | 03/25/2025 |
Principal payment | At expiration |
Interest payment | Biannual |
Description of interest rate | 8.00% n.a |
Issuance / expansion date | jan-23 |
Class XV [Member] | USD [Member] | |
Statement [Line Items] | |
Amount in original currency | $ 61,750 |
Class XVI [Member] | |
Statement [Line Items] | |
Maturity date | 07/25/2025 |
Principal payment | At expiration |
Interest payment | Biannual |
Description of interest rate | 7.00% n.a. |
Issuance / expansion date | jan-23 |
Class XVI [Member] | USD [Member] | |
Statement [Line Items] | |
Amount in original currency | $ 28,250 |
Class XVII [Member] | |
Statement [Line Items] | |
Maturity date | 12/07/2025 |
Principal payment | At expiration |
Interest payment | 1° quarterly and then biannual |
Description of interest rate | 5.00% n.a. |
Issuance / expansion date | jun-23 |
Class XVII [Member] | USD [Member] | |
Statement [Line Items] | |
Amount in original currency | $ 25,000 |
Borrowings (Details 4)
Borrowings (Details 4) | 12 Months Ended | |||
Jun. 30, 2023 ARS ($) | Jun. 30, 2023 USD ($) | Jun. 30, 2022 ARS ($) | Jun. 30, 2022 USD ($) | |
Balance at the beginning of the year | $ 161,112,000,000 | $ 219,648,000,000 | ||
Borrowings | $ 80,829,000,000 | 16,011,000,000 | ||
Payment of borrowings | (112,982,000,000) | (25,512,000,000) | ||
Payment of short term loans, net | (1,442,000,000) | (2,154,000,000) | ||
Interests paid | (13,331,000,000) | (17,686,000,000) | ||
Accrued interests | 7,477,000,000 | 16,647,000,000 | ||
Cumulative translation adjustment and exchange differences, net | 72,773,000,000 | 48,842,000,000 | ||
Inflation adjustment | (86,117,000,000) | (91,978,000,000) | ||
Reclassifications and other movements | (378) | $ (2,706) | ||
Balance at the end of the year | $ 107,941,000,000 | $ 161,112,000,000 |
Borrowings (Details Narrative)
Borrowings (Details Narrative) - ARS ($) $ in Millions | 12 Months Ended | |||||||
Jul. 06, 2022 | Nov. 12, 2020 | Jun. 30, 2023 | Jan. 31, 2023 | Jul. 08, 2022 | Jun. 30, 2022 | May 16, 2022 | Feb. 08, 2022 | |
Statement [Line Items] | ||||||||
Total Borrowings from collateralized liabilities | $ 1,634 | $ 2,054 | ||||||
Series XIV Notes [Member] | ||||||||
Statement [Line Items] | ||||||||
Muturity date | Mar. 23, 2023 | Jun. 22, 2028 | ||||||
Issuance price percentage | 66.38% | |||||||
Aggregate principal amount | $ 360 | |||||||
Value of shares issued | $ 171.2 | |||||||
Description of interest payable | interest at a fixed rate of 8.75%, with interest payable semi-annually on June 22 and December 22 of each year, until expiration. Amortization will be in annual installments payable on June 22 of each year, each for 17.5% from 2024 to 2027 and the remaining 30% on June 22, 2028. The issue price was 100% | |||||||
Leaving outstanding amount | $ 121 | |||||||
Series XV Notes [Member] | ||||||||
Statement [Line Items] | ||||||||
Description of semi annual payments | for USD 61.7 million at a fixed rate of 8.0%, with semi-annual payments. The principal will be paid at maturity on March 25, 2025. The price of issuance was 100.0% of the nominal value | |||||||
Value of shares issued | $ 90 | |||||||
Series XVI Notes [Member] | ||||||||
Statement [Line Items] | ||||||||
Description of semi annual payments | for USD 28.2 million at a fixed rate of 7.0%, with semi-annual payments. The principal will be paid at maturity on July 25, 2025. The price of issuance was 100.0% of the nominal value | |||||||
Series II Notes [Member] | ||||||||
Statement [Line Items] | ||||||||
Leaving outstanding amount | $ 121 | |||||||
Series IX Notes [Member] | ||||||||
Statement [Line Items] | ||||||||
Muturity date | Mar. 01, 2023 | |||||||
Nominal value cancelled | $ 22.5 | |||||||
Nominal value originally issed | 81 | |||||||
Nominal value under circulation | $ 58 | |||||||
Series XVII Notes [Member] | ||||||||
Statement [Line Items] | ||||||||
Description of semi annual payments | for USD 25 million at a fixed rate of 5.0%, with semi-annual payments except for the first and second interest payments that will be made at 9 and 12 months, respectively, from the Issue and Settlement Date. The principal will be paid at maturity on December 7, 2025. The price of issuance was 100.0% of the nominal value |
Taxes (Details )
Taxes (Details ) - ARS ($) $ in Millions | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Current income tax | $ 18,531 | $ (35,588) | $ (3,387) |
Deferred income tax | 45,986 | 29,617 | (73,230) |
Income tax from continuing operations | $ 64,517 | $ (5,971) | $ (76,617) |
Taxes (Details 1)
Taxes (Details 1) | 12 Months Ended |
Jun. 30, 2022 | |
Argentina, Pesos [Member] | Bottom Range [Member] | |
Statement [Line Items] | |
Statutory taxes rates | 25% |
Argentina, Pesos [Member] | Top Range [Member] | |
Statement [Line Items] | |
Statutory taxes rates | 35% |
Uruguay [Member] | Bottom Range [Member] | |
Statement [Line Items] | |
Statutory taxes rates | 0% |
Uruguay [Member] | Top Range [Member] | |
Statement [Line Items] | |
Statutory taxes rates | 25% |
U.S.A. [Member] | Bottom Range [Member] | |
Statement [Line Items] | |
Statutory taxes rates | 0% |
U.S.A. [Member] | Top Range [Member] | |
Statement [Line Items] | |
Statutory taxes rates | 21% |
Israel [Member] | Bottom Range [Member] | |
Statement [Line Items] | |
Statutory taxes rates | 23% |
Israel [Member] | Top Range [Member] | |
Statement [Line Items] | |
Statutory taxes rates | 24% |
Bermuda [Member] | Bottom Range [Member] | |
Statement [Line Items] | |
Statutory taxes rates | 0% |
Taxes (Details 2)
Taxes (Details 2) | 12 Months Ended | |||
Jun. 30, 2023 ARS ($) | Jun. 30, 2023 USD ($) | Jun. 30, 2022 ARS ($) | Jun. 30, 2021 ARS ($) | |
Profit from continuing operations at tax rate applicable in the respective countries | $ 1,003,000,000 | $ (28,198,000,000) | $ 7,420,000,000 | |
Permanent differences: | ||||
Share of profit of associates and joint ventures | 305,000,000 | (334,000,000) | (4,646,000,000) | |
Unrecognized tax loss carryforwards | (543,000,000) | 10,022,000,000 | (8,347,000,000) | |
Inflation adjustment permanent difference | 27,740,000,000 | 33,710,000,000 | 12,448,000,000 | |
Difference between provision and tax return | $ 10,955 | (179) | 962 | |
Tax rate differential | 0 | 0 | (53,684,000,000) | |
Non-taxable profit, non-deductible expenses and others | 373,000,000 | (527,000,000) | (1,244,000,000) | |
Fiscal transparency | 0 | 0 | (593,000,000) | |
Tax inflation adjustment | 24,684,000,000 | (20,465,000,000) | (28,933,000,000) | |
Income tax from continuing operations | $ 64,517,000,000 | $ (5,971,000,000) | $ (76,617,000,000) |
Taxes (Details 3)
Taxes (Details 3) - ARS ($) $ in Millions | Jun. 30, 2023 | Jun. 30, 2022 |
Deferred income tax asset to be recovered after more than 12 months | $ 4,097 | $ 2,076 |
Deferred income tax asset to be recovered within 12 months | 4,512 | 2,223 |
Deferred income tax assets | 8,609 | 4,299 |
Deferred income tax liability to be recovered after more than 12 months | (171,317) | (215,702) |
Deferred income tax liability to be recovered within 12 months | (3,683) | (974) |
Deferred income tax liability | (175,000) | (216,676) |
Deferred income tax assets (liabilities), net | $ (166,391) | $ (212,377) |
Taxes (Details 4)
Taxes (Details 4) - ARS ($) | 12 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Statement [Line Items] | ||
Assets (Liabilities), net at beginning of period | $ (212,377,000,000) | $ (241,459,000,000) |
Charged / (Credited) to the Consolidated Statements of Income and Other Comprehensive Income | 45,986,000,000 | 29,617,000,000 |
Revaluation surplus reserve | (535,000,000) | |
Assets (Liabilities), net at ending of period | (166,391,000,000) | (212,377,000,000) |
Intangible Assets [Member] | ||
Statement [Line Items] | ||
Assets (Liabilities), net at beginning of period | (1,466,000,000) | (265,000,000) |
Charged / (Credited) to the Consolidated Statements of Income and Other Comprehensive Income | (296,000,000) | (1,201,000,000) |
Revaluation surplus reserve | 0 | |
Assets (Liabilities), net at ending of period | (1,762,000,000) | (1,466,000,000) |
Subtotal Liabilities [Member] | ||
Statement [Line Items] | ||
Assets (Liabilities), net at beginning of period | (216,676,000,000) | (262,741,000,000) |
Charged / (Credited) to the Consolidated Statements of Income and Other Comprehensive Income | 41,676,000,000 | 46,600,000,000 |
Revaluation surplus reserve | (535,000,000) | |
Assets (Liabilities), net at ending of period | (175,000,000,000) | (216,676,000,000) |
Other PPE [Member] | ||
Statement [Line Items] | ||
Assets (Liabilities), net at beginning of period | (11,000,000) | 1,808,000,000 |
Charged / (Credited) to the Consolidated Statements of Income and Other Comprehensive Income | 333,000,000 | (1,819,000,000) |
Revaluation surplus reserve | 0 | |
Assets (Liabilities), net at ending of period | 322,000,000 | (11,000,000) |
Others PPE 1 [Member] | ||
Statement [Line Items] | ||
Assets (Liabilities), net at beginning of period | 103,000,000 | (494,000,000) |
Charged / (Credited) to the Consolidated Statements of Income and Other Comprehensive Income | (557,000,000) | 597,000,000 |
Revaluation surplus reserve | 0 | |
Assets (Liabilities), net at ending of period | (454,000,000) | 103,000,000 |
Borrowings 1 [Member] | ||
Statement [Line Items] | ||
Assets (Liabilities), net at beginning of period | 0 | 6,000,000 |
Charged / (Credited) to the Consolidated Statements of Income and Other Comprehensive Income | 28,000,000 | (6,000,000) |
Revaluation surplus reserve | 0 | |
Assets (Liabilities), net at ending of period | 28,000,000 | 0 |
Investment properties and Property plant and equipment [Member] | ||
Statement [Line Items] | ||
Assets (Liabilities), net at beginning of period | 97,000,000 | 1,807,000,000 |
Charged / (Credited) to the Consolidated Statements of Income and Other Comprehensive Income | (50,000,000) | (1,710,000,000) |
Revaluation surplus reserve | 0 | |
Assets (Liabilities), net at ending of period | 47,000,000 | 97,000,000 |
Trade And Other Receivables [Member] | ||
Statement [Line Items] | ||
Assets (Liabilities), net at beginning of period | (418,000,000) | 10,378,000,000 |
Charged / (Credited) to the Consolidated Statements of Income and Other Comprehensive Income | 408,000,000 | (10,796,000,000) |
Revaluation surplus reserve | 0 | |
Assets (Liabilities), net at ending of period | (10,000,000) | (418,000,000) |
Borrowings [Member] | ||
Statement [Line Items] | ||
Assets (Liabilities), net at beginning of period | 369,000,000 | 3,805,000,000 |
Charged / (Credited) to the Consolidated Statements of Income and Other Comprehensive Income | (357,000,000) | (3,436,000,000) |
Revaluation surplus reserve | 0 | |
Assets (Liabilities), net at ending of period | 12,000,000 | 369,000,000 |
Investment Property and Property Plant and Equipment 1 [Member] | ||
Statement [Line Items] | ||
Assets (Liabilities), net at beginning of period | (192,408,000,000) | (204,396,000,000) |
Charged / (Credited) to the Consolidated Statements of Income and Other Comprehensive Income | 30,378,000,000 | 12,523,000,000 |
Revaluation surplus reserve | (535,000,000) | |
Assets (Liabilities), net at ending of period | (162,030,000,000) | (192,408,000,000) |
Tax Loss Carry-Forwards [Member] | ||
Statement [Line Items] | ||
Assets (Liabilities), net at beginning of period | 1,001,000,000 | 824,000,000 |
Charged / (Credited) to the Consolidated Statements of Income and Other Comprehensive Income | 1,761,000,000 | 177,000,000 |
Revaluation surplus reserve | 0 | |
Assets (Liabilities), net at ending of period | 2,762,000,000 | 1,001,000,000 |
Subtotal Assets [Member] | ||
Statement [Line Items] | ||
Assets (Liabilities), net at beginning of period | 4,299,000,000 | 21,282,000,000 |
Charged / (Credited) to the Consolidated Statements of Income and Other Comprehensive Income | 4,310,000,000 | (16,983,000,000) |
Revaluation surplus reserve | 0 | |
Assets (Liabilities), net at ending of period | 8,609,000,000 | 4,299,000,000 |
Trade And Other Payable [Member] | ||
Statement [Line Items] | ||
Assets (Liabilities), net at beginning of period | 3,261,000,000 | 2,660,000,000 |
Charged / (Credited) to the Consolidated Statements of Income and Other Comprehensive Income | 2,215,000,000 | 601,000,000 |
Revaluation surplus reserve | 0 | |
Assets (Liabilities), net at ending of period | 5,476,000,000 | 3,261,000,000 |
Tax inflation adjustment [Member] | ||
Statement [Line Items] | ||
Assets (Liabilities), net at beginning of period | (22,015,000,000) | (45,957,000,000) |
Charged / (Credited) to the Consolidated Statements of Income and Other Comprehensive Income | 14,822,000,000 | 23,942,000,000 |
Revaluation surplus reserve | 0 | |
Assets (Liabilities), net at ending of period | (7,193,000,000) | (22,015,000,000) |
Trade and other receivables 1 [Member] | ||
Statement [Line Items] | ||
Assets (Liabilities), net at beginning of period | (823,000,000) | (11,626,000,000) |
Charged / (Credited) to the Consolidated Statements of Income and Other Comprehensive Income | (241,000,000) | 10,803,000,000 |
Revaluation surplus reserve | 0 | |
Assets (Liabilities), net at ending of period | (1,064,000,000) | (823,000,000) |
Investments 1 [Member] | ||
Statement [Line Items] | ||
Assets (Liabilities), net at beginning of period | (67,000,000) | (9,000,000) |
Charged / (Credited) to the Consolidated Statements of Income and Other Comprehensive Income | (2,458,000,000) | (58,000,000) |
Revaluation surplus reserve | 0 | |
Assets (Liabilities), net at ending of period | $ (2,525,000,000) | $ (67,000,000) |
Taxes (Details 5)
Taxes (Details 5) $ in Millions | Jun. 30, 2022 ARS ($) |
2023 | $ 121 |
2024 | 172 |
2025 | 472 |
2026 | 4,695 |
2027 | 1,474 |
2028 | 898 |
Total taxes | $ 7,832 |
Taxes (Details Narrative)
Taxes (Details Narrative) - ARS ($) $ in Millions | Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 |
Statement [Line Items] | |||
Deferred income tax liabilities, not recognize | $ 445 | $ 13,979 | $ 366 |
Deferred liability, group recognized | 11,892 | ||
Deferred income tax assets and liabilities, net | $ 1,377 | ||
Bottom Range [Member] | |||
Statement [Line Items] | |||
Reduction of the corporate tax rate | 15% | ||
Tax rate applicable to companies | 25% | ||
Top Range [Member] | |||
Statement [Line Items] | |||
Tax rate applicable to the companies | 30% | ||
Joint Ventures [Member] | |||
Statement [Line Items] | |||
Deferred income tax liabilities, not recognize | $ 300 | ||
Argentine Operations Center [Member] | |||
Statement [Line Items] | |||
Deferred income tax assets, not recognize | $ 100 | ||
Tax rate applicable to the companies | 35% | 34.99% | 30% |
Leases (Details)
Leases (Details) - ARS ($) $ in Millions | Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 |
Statement [Line Items] | |||
Operating Lease by lessee | $ 5,369 | $ 5,664 | $ 7,558 |
Less Than 1 year [Member] | |||
Statement [Line Items] | |||
Operating Lease by lessee | 292 | 220 | 278 |
Later Than One Year And Not Later Than Five Years [Member] | |||
Statement [Line Items] | |||
Operating Lease by lessee | 1,538 | 1,273 | 1,594 |
Later Than Five Years [Member] | |||
Statement [Line Items] | |||
Operating Lease by lessee | $ 3,539 | $ 4,171 | $ 5,686 |
Leases (Details 1)
Leases (Details 1) - ARS ($) $ in Millions | Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 |
Statement [Line Items] | |||
Operating Lease by lessor | $ 24,703 | $ 23,819 | $ 50,722 |
Less Than 1 year [Member] | |||
Statement [Line Items] | |||
Operating Lease by lessor | 12,101 | 5,840 | 14,222 |
Later Than One Year And Not Later Than Five Years [Member] | |||
Statement [Line Items] | |||
Operating Lease by lessor | 12,024 | 15,233 | 28,489 |
Later Than Five Years [Member] | |||
Statement [Line Items] | |||
Operating Lease by lessor | $ 578 | $ 2,746 | $ 8,011 |
Revenues (Details)
Revenues (Details) - ARS ($) $ in Millions | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Revenues | |||
Base rent | $ 25,506 | $ 21,617 | $ 16,186 |
Contingent rent | 19,368 | 17,885 | 5,087 |
Admission rights | 3,983 | 3,012 | 2,771 |
Parking fees | 2,094 | 1,242 | 132 |
Total revenues from expenses and collective promotion funds | 17,436 | 14,495 | 10,415 |
Revenues | 89,285 | 69,168 | 45,880 |
Commissions | 1,184 | 891 | 559 |
Property management fees | 457 | 499 | 542 |
Others | 495 | 321 | 864 |
Averaging of scheduled rent escalation | (6) | (1,148) | 2,449 |
Rentals and services income | 53,081 | 44,319 | 28,590 |
Revenue from hotels operation and tourism services | 14,961 | 9,266 | 3,256 |
Sale of trading properties | 3,807 | 1,088 | 3,619 |
Total revenues from sales, rentals and services | 71,849 | 54,673 | 35,465 |
Expenses and collective promotion fund | $ 17,436 | $ 14,495 | $ 10,415 |
Expenses by nature (Details)
Expenses by nature (Details) - ARS ($) | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Statement [Line Items] | |||
Cost of sale of goods and services | $ 2,014,000,000 | $ 1,313,000,000 | $ 3,534,000,000 |
Salaries, social security costs and other personnel expenses | 17,087,000,000 | 13,955,000,000 | 12,517,000,000 |
Depreciation and amortization | 1,900,000,000 | 2,007,000,000 | 2,266,000,000 |
Fees and payments for services | 3,288,000,000 | 3,086,000,000 | 2,298,000,000 |
Maintenance, security, cleaning, repairs and others | 9,304,000,000 | 8,506,000,000 | 6,913,000,000 |
Advertising and other selling expenses | 5,032,000,000 | 3,532,000,000 | 1,407,000,000 |
Taxes, rates and contributions | 4,997,000,000 | 5,568,000,000 | 5,025,000,000 |
Director's fees | 9,070,000,000 | 2,836,000,000 | 2,988,000,000 |
Leases and service charges | 753,000,000 | 751,000,000 | 843,000,000 |
Allowance for doubtful accounts, net | 89,000,000 | (68,000,000) | 685,000,000 |
Other expenses | 1,100,000,000 | 832,000,000 | 662,000,000 |
Total cost and expense | 54,634,000,000 | 42,318,000,000 | 39,138,000,000 |
General And Administrative Expenses [Member] | |||
Statement [Line Items] | |||
Cost of sale of goods and services | 0 | 0 | 0 |
Salaries, social security costs and other personnel expenses | 5,616,000,000 | 4,337,000,000 | 4,088,000,000 |
Depreciation and amortization | 543,000,000 | 662,000,000 | 791,000,000 |
Fees and payments for services | 1,818,000,000 | 1,454,000,000 | 807,000,000 |
Maintenance, security, cleaning, repairs and others | 992,000,000 | 960,000,000 | 967,000,000 |
Advertising and other selling expenses | 8,000,000 | 0 | 0 |
Taxes, rates and contributions | 582,000,000 | 460,000,000 | 439,000,000 |
Director's fees | 9,070,000,000 | 2,836,000,000 | 2,988,000,000 |
Leases and service charges | 180,000,000 | 181,000,000 | 126,000,000 |
Allowance for doubtful accounts, net | 0 | 0 | 0 |
Other expenses | 510,000,000 | 487,000,000 | 461,000,000 |
Total cost and expense | 19,319,000,000 | 11,377,000,000 | 10,667,000,000 |
Costs [Member] | |||
Statement [Line Items] | |||
Cost of sale of goods and services | 2,014,000,000 | 1,313,000,000 | 3,534,000,000 |
Salaries, social security costs and other personnel expenses | 10,788,000,000 | 9,293,000,000 | 7,914,000,000 |
Depreciation and amortization | 1,342,000,000 | 1,337,000,000 | 1,455,000,000 |
Fees and payments for services | 532,000,000 | 543,000,000 | 448,000,000 |
Maintenance, security, cleaning, repairs and others | 8,301,000,000 | 7,539,000,000 | 5,937,000,000 |
Advertising and other selling expenses | 4,700,000,000 | 2,860,000,000 | 1,265,000,000 |
Taxes, rates and contributions | 2,006,000,000 | 2,354,000,000 | 1,805,000,000 |
Director's fees | 0 | 0 | 0 |
Leases and service charges | 560,000,000 | 554,000,000 | 668,000,000 |
Allowance for doubtful accounts, net | 0 | 0 | 0 |
Other expenses | 561,000,000 | 326,000,000 | 178,000,000 |
Total cost and expense | 30,804,000,000 | 26,119,000,000 | 23,204,000,000 |
Selling Expenses [Member] | |||
Statement [Line Items] | |||
Cost of sale of goods and services | 0 | 0 | 0 |
Salaries, social security costs and other personnel expenses | 683,000,000 | 325,000,000 | 515,000,000 |
Depreciation and amortization | 15,000,000 | 8,000,000 | 20,000,000 |
Fees and payments for services | 938,000,000 | 1,089,000,000 | 1,043,000,000 |
Maintenance, security, cleaning, repairs and others | 11,000,000 | 7,000,000 | 9,000,000 |
Advertising and other selling expenses | 324,000,000 | 672,000,000 | 142,000,000 |
Taxes, rates and contributions | 2,409,000,000 | 2,754,000,000 | 2,781,000,000 |
Director's fees | 0 | 0 | 0 |
Leases and service charges | 13,000,000 | 16,000,000 | 49,000,000 |
Allowance for doubtful accounts, net | 89,000,000 | (68,000,000) | 685,000,000 |
Other expenses | 29,000,000 | 19,000,000 | 23,000,000 |
Total cost and expense | $ 4,511,000,000 | $ 4,822,000,000 | $ 5,267,000,000 |
Cost of goods sold and services
Cost of goods sold and services provided (Details) | 12 Months Ended | |||
Jun. 30, 2023 ARS ($) | Jun. 30, 2022 ARS ($) | Jun. 30, 2022 USD ($) | Jun. 30, 2021 ARS ($) | |
Inventories at the beginning of the year | $ (7,241,000,000) | $ (6,470,000,000) | $ 62,949,000,000 | |
Purchases and expenses | 31,183,000,000 | 27,230,000,000 | 4,913,000,000 | |
Currency translation adjustments | 15,000,000 | (340,000,000) | (20,448,000,000) | |
Transfers | (432,000,000) | 0 | (1,082,000,000) | |
Deconsolidation cogs | 0 | 0 | (16,658,000,000) | |
Disposals | (693) | $ 0 | 0 | |
Inventories at the end of the year | 6,510,000,000 | (7,241,000,000) | (6,470,000,000) | |
Total costs | $ 30,804,000,000 | $ 26,119,000,000 | $ 23,204,000,000 |
Cost of goods sold and servic_2
Cost of goods sold and services provided (Details 1) - ARS ($) $ in Millions | Jun. 30, 2023 | Jun. 30, 2022 |
Real estate | $ 6,179 | $ 6,972 |
Others | 331 | 269 |
Total inventories at the end of the year | $ 6,510 | $ 7,241 |
Other operating results, net (D
Other operating results, net (Details) | 12 Months Ended | ||||
Jun. 30, 2023 ARS ($) | Jun. 30, 2022 ARS ($) | Jun. 30, 2022 USD ($) | Jun. 30, 2021 ARS ($) | Jun. 30, 2021 USD ($) | |
Other operating results, net | |||||
Result from purchase / sale of subsidiary and associates | $ 0 | $ 0 | $ 130,000,000 | ||
Realization of currency translation adjustment | 428,000,000 | 0 | 0 | ||
Donations | 355,000,000 | 323,000,000 | 485,000,000 | ||
Lawsuits and other contingencies | (7,452,000,000) | (596,000,000) | (309,000,000) | ||
Administration fees | 107 | 80 | $ 35 | ||
Interest and discount generated by operating credits | 661,000,000 | 276,000,000 | 342,000,000 | ||
Others | 100,000,000 | 694,000,000 | (17,000,000) | ||
Loss from disposal of property, plant and equipment | (684) | $ 0 | 0 | ||
Total other operating results, net | $ (7,195,000,000) | $ 131,000,000 | $ (304,000,000) |
Financial results, net (Details
Financial results, net (Details) - ARS ($) $ in Millions | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Financial results, net | |||
- Interest income | $ 825 | $ 998 | $ 1,274 |
- Dividend income | 0 | 0 | 2 |
Total finance income | 825 | 998 | 1,276 |
- Interest expense | (12,131) | (17,873) | (24,655) |
- Others financial costs | (1,745) | (1,945) | (2,801) |
Subtotal finance costs | (13,876) | 19,818 | 27,456 |
Capitalized finance costs | 0 | 0 | 1,656 |
Total finance costs | (13,876) | 19,818 | (25,800) |
- Fair value gain of financial assets and liabilities at fair value through profit or loss, net | (7,407) | (3,134) | (18,799) |
Exchange rate differences, net | 6,762 | 31,056 | 24,818 |
- Gain/(Loss) from repurchase of negotiable obligations | 199 | 3,148 | (336) |
- (Loss) / gain from derivative financial instruments, net | 46 | 70 | (1,597) |
Other financial results | (150) | 949 | (260) |
Total Other financial results | 14,264 | 38,357 | 41,424 |
- Inflation adjustment | 14,323 | 6,012 | (5,109) |
Total financial results, net | $ 15,536 | $ 25,549 | $ 11,791 |
Earnings per share (Details)
Earnings per share (Details) - shares | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Profit / (loss) per share attributable to equity holders of the parent: (ii) | |||
Weighted average outstanding shares | 748,000,000 | 756,000,000 | 550,000,000 |
Adjustments for calculation of diluted earnings per share Treasury shares | (11,000,000) | (23,000,000) | |
Adjustments for calculation of diluted earnings per share warrants | 8 | 8 | 0 |
Weighted - average diluted common shares | 745,000,000 | 741,000,000 | 550,000,000 |
Earnings per share (Details 1)
Earnings per share (Details 1) - ARS ($) $ / shares in Units, shares in Millions, $ in Millions | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Basic | |||
Profit / (loss) for the year of continuing operations attributable to equity holders of the parent | $ 60,243 | $ 74,487 | $ (80,877) |
Loss for the year of discontinued operations attributable to equity holders of the parent | 0 | 0 | (24,923) |
Profit / (loss) for the year attributable to equity holders of the parent | $ 60,243 | $ 74,487 | $ (105,800) |
Weighted average number of ordinary shares outstanding | 748 | 756 | 550 |
Basic earnings per share | $ 80.54 | $ 98.53 | $ (192.36) |
Earnings per share (Details 2)
Earnings per share (Details 2) - ARS ($) $ / shares in Units, shares in Millions, $ in Millions | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Diluted | |||
Profit / (loss) for the year of continuing operations attributable to equity holders of the parent | $ 60,243 | $ 74,487 | $ (80,877) |
Loss for the year of discontinued operations attributable to equity holders of the parent | 0 | 0 | (24,923) |
Profit / (loss) for the year per share attributable to equity holders of the parent | $ 60,243 | $ 74,487 | $ (105,800) |
Weighted average number of ordinary shares outstanding | 745 | 741 | 550 |
Diluted earnings per share | $ 80.86 | $ 100.52 | $ (192.36) |
Employee benefits and share-b_3
Employee benefits and share-based payments (Details) - shares | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Employee benefits and share-based payments | |||
At the beginning | 200,000 | 2,100,000 | 2,400,000 |
Granted | 0 | (100,000) | (300,000) |
At the end | 200,000 | 200,000 | 2,100,000 |
Employee benefits and share-b_4
Employee benefits and share-based payments (Details Narrative) - ARS ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Employee benefits and share-based payments | ||
Charge related to the Incentive Plan | $ 1,180 | $ 2,310 |
Granting fair value per share | $ 23.5 | |
Defined contribution plan, description | The Plan was effective as from January 1, 2006. Participants can make pre-tax contributions to the Plan of up to 2.5% of their monthly salary (“Base Contributions”) and up to 15% of their annual bonus (“Extraordinary Contributions”). Under the Plan, the Group matches employee contributions to the plan at a rate of 200% for Base Contributions and 300% for Extraordinary Contributions | |
Percentage of contributions access | 100% | |
Resignation or termination, description | In case of resignation or termination without fair cause, the manager will receive the Group’s contribution only if he or she has participated in the Plan for at least 5 years | |
Contributions plan amount | $ 346,000 | $ 218,000 |
Related Party Transactions (Det
Related Party Transactions (Details) | 12 Months Ended |
Jun. 30, 2023 | |
Arnaldo Jawerbaum [Member] | |
Statement [Line Items] | |
Date of Birth | 08/13/1966 |
Position | Operating Manager |
Current position since | 2022 |
Eduardo S. Elsztain [Member] | |
Statement [Line Items] | |
Date of Birth | 01/26/1960 |
Position | General Manager |
Current position since | 1991 |
Matias I. Gaivironsky [Member] | |
Statement [Line Items] | |
Date of Birth | 02/23/1976 |
Position | Administrative and Financial Manager |
Current position since | 2011 |
Jorge Cruces [Member] | |
Statement [Line Items] | |
Date of Birth | 11/07/1966 |
Position | Investment Manager |
Current position since | 2020 |
Related Party Transactions (D_2
Related Party Transactions (Details 1) - ARS ($) $ in Millions | Jun. 30, 2023 | Jun. 30, 2022 |
Statement [Line Items] | ||
Total related party balances | $ (455) | $ 12,797 |
Borrowings [Member] | ||
Statement [Line Items] | ||
Total related party balances | (308) | (358) |
Trade And Other Receivables [Member] | ||
Statement [Line Items] | ||
Total related party balances | 7,809 | 9,447 |
Trade And Other Payable [Member] | ||
Statement [Line Items] | ||
Total related party balances | (8,768) | (2,402) |
Investments In Financial Assets [Member] | ||
Statement [Line Items] | ||
Total related party balances | $ 1,722 | $ 6,110 |
Related Party Transactions (D_3
Related Party Transactions (Details 2) | Jun. 30, 2023 ARS ($) | Jun. 30, 2023 USD ($) | Jun. 30, 2022 ARS ($) | Jun. 30, 2022 USD ($) | Jun. 30, 2021 ARS ($) |
Statement [Line Items] | |||||
Total associates and joint ventures | $ 2,666,000,000 | $ 2,859,000,000 | |||
Total parent company | (612,000,000) | 4,187,000,000 | |||
Total subsidiaries of parent company | (87,000,000) | (87,000,000) | |||
Total directors and others | (1,512,000,000) | 5,838,000,000 | |||
Total at the end of the year | (455,000,000) | 12,797,000,000 | |||
Borrowings total amount | 107,941,000,000 | 161,112,000,000 | $ 219,648,000,000 | ||
others | 331,000,000 | 269,000,000 | |||
Other PPE [Member] | Trade And Other Payables [Member] | |||||
Statement [Line Items] | |||||
Total others | (126,000,000) | (30,000,000) | |||
Leases and/or rights of use receivables | (9,000,000) | (28,000,000) | |||
Management fees | 0 | (26,000,000) | |||
Trade And Other Payables [Member] | Cresud [Member] | |||||
Statement [Line Items] | |||||
Total others | (252,000,000) | (442,000,000) | |||
NCN | 427,000,000 | 5,521,000,000 | |||
Share-based payments | (3,000,000) | (6,000,000) | |||
Reimbursement of expenses receivable | 0 | 11,000,000 | |||
Corporate services receivable | (784,000,000) | (897,000,000) | |||
Trade And Other Payables [Member] | Directors [Member] | |||||
Statement [Line Items] | |||||
Fees for services received | (7,388,000,000) | (785,000,000) | |||
La Rural S.A. [Member] | Trade And Other Payables [Member] | |||||
Statement [Line Items] | |||||
Borrowings total amount | 796,000,000 | 530,000,000 | |||
Dividends | 0 | 440,000,000 | |||
Other 1 | $ (137) | (11) | |||
Total others | 2,000,000 | 9,000,000 | |||
Yad Levim LTD [Member] | Total trade and other receivables [Member] | |||||
Statement [Line Items] | |||||
Borrowings total amount | 4,739,000,000 | 4,762,000,000 | |||
Trade And Other Receivables [Member] | |||||
Statement [Line Items] | |||||
Total at the end of the year | 7,809,000,000 | 9,447,000,000 | |||
Trade And Other Receivables [Member] | Other PPE [Member] | |||||
Statement [Line Items] | |||||
Total others | 511,000,000 | 591,000,000 | |||
Reimbursement of expenses receivables | 25,000,000 | 54,000,000 | |||
Trade And Other Receivables [Member] | Directors [Member] | |||||
Statement [Line Items] | |||||
Advances | 0 | 1,300,000,000 | |||
Comparaencasa Ltd [Member] | Trade And Other Receivables [Member] | |||||
Statement [Line Items] | |||||
Total others | 0 | (88,000,000) | |||
Other investments | 559 | $ 589 | |||
Galerias Pacificos [Member] | Trade And Other Receivables [Member] | |||||
Statement [Line Items] | |||||
Total others | 1,570,000,000 | 1,516,000,000 | |||
New Lipstick [Member] | Trade And Other Receivables [Member] | |||||
Statement [Line Items] | |||||
Reimbursement of expenses receivables | 62,000,000 | 65,000,000 | |||
Other Associates And Joint Ventures [Member] | Trade And Other Receivables [Member] | |||||
Statement [Line Items] | |||||
Reimbursement of expenses receivables | 1,000,000 | 2,000,000 | |||
Loans obtained | (86,000,000) | (132,000,000) | |||
Leases and/or rights of use receivables | 12,000,000 | 14,000,000 | |||
Irrevocable contributions pending subscription | 45 | 0 | |||
Management fees | 27,000,000 | 41,000,000 | |||
NCN | (134,000,000) | (135,000,000) | |||
others | (70,000,000) | (91,000,000) | |||
Others One | 18,000,000 | 108,000,000 | |||
Share-based payments | 1,000,000 | 2,000,000 | |||
Futuros y Opciones S.A. [Member] | Trade And Other Receivables [Member] | |||||
Statement [Line Items] | |||||
Total others | 1,000,000 | 4,000,000 | |||
Helmir S.A. [Member] | Trade And Other Receivables [Member] | |||||
Statement [Line Items] | |||||
NCN | (88,000,000) | (91,000,000) | |||
Rundel Global LTD [Member] | Investments In Financial Assets [Member] | |||||
Statement [Line Items] | |||||
Other investments | $ 736 | $ 0 |
Related Party Transactions (D_4
Related Party Transactions (Details 3) - ARS ($) | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Others (2) [Member] | |||
Statement [Line Items] | |||
Fees and remunerations | $ (215) | $ (32) | $ 0 |
Leases and/or rights of use | (18,000,000) | 22,000,000 | (56) |
Financial operations | (23,000,000) | 37,000,000 | (6) |
Corporate services | 15,000,000 | 13,000,000 | 0 |
Donations | (150,000,000) | (136,000,000) | (188) |
Legal services | (100,000,000) | (106,000,000) | (106,000,000) |
Totals [Member] | |||
Statement [Line Items] | |||
Total related party liabilities | (8,011,000,000) | (4,192,000,000) | (3,094,000,000) |
Total Associates And Joint Ventures [Member] | |||
Statement [Line Items] | |||
Total associates and joint ventures | 174,000,000 | 1,143,000,000 | 1,296,000,000 |
Comparaencasa Ltd [Member] | |||
Statement [Line Items] | |||
Financial operations | 75,000,000 | 414 | 0 |
Yad Leviims LTD [Member] | |||
Statement [Line Items] | |||
Financial operations | 215,000,000 | 244 | 0 |
Otras asociadas y negocios conjuntons [Member] | |||
Statement [Line Items] | |||
Leases and/or rights of use | (63,000,000) | (30,000,000) | (28,000,000) |
Financial operations | 70,000,000 | 293 | 41,000,000 |
Corporate services | 92,000,000 | 67,000,000 | 0 |
Lipstick Management LLC [Member] | |||
Statement [Line Items] | |||
Financial operations | 0 | 43 | 30,000,000 |
BACS [Member] | |||
Statement [Line Items] | |||
Financial operations | 0 | 125,000,000 | 276,000,000 |
BHN Vida S.A [Member] | |||
Statement [Line Items] | |||
Leases and/or rights of use | (3,000,000) | 54,000,000 | 54 |
BHN Seguros Generales S.A [Member] | |||
Statement [Line Items] | |||
Leases and/or rights of use | 1,000,000 | 52,000,000 | 22,000,000 |
Total subsidiaries of parent company [Member] | |||
Statement [Line Items] | |||
Total subsidiaries of parent company | (25,000,000) | 2,000,000 | 338,000,000 |
La Rural S. A. [Member] | |||
Statement [Line Items] | |||
Leases and/or rights of use | 0 | 0 | (54) |
Condor Related Party [Member] | |||
Statement [Line Items] | |||
Financial operations | 4,000,000 | 58 | 901,000,000 |
Senior Management [Member] | |||
Statement [Line Items] | |||
Fees and remunerations | (178,000,000) | (166,000,000) | (155,000,000) |
Helmir [Member] | |||
Statement [Line Items] | |||
Financial operations | (25,000,000) | 2,000,000 | 338,000,000 |
Directors [Member] | |||
Statement [Line Items] | |||
Fees and remunerations | (9,070,000,000) | (2,836,000,000) | (2,988,000,000) |
Total Parent Company [Member] | |||
Statement [Line Items] | |||
Total parent company | 1,232,000,000 | (2,377,000,000) | (1,229,000,000) |
Total Others [Member] | |||
Statement [Line Items] | |||
Total others | (9,392,000,000) | (2,960,000,000) | (3,499,000,000) |
Cresud [Member] | |||
Statement [Line Items] | |||
Leases and/or rights of use | 103,000,000 | 132,000,000 | 127,000,000 |
Financial operations | 3,975,000,000 | (54,000,000) | 1,164,000,000 |
Corporate services | (2,846,000,000) | (2,455,000,000) | (2,520,000,000) |
Metropolitan (1) [Member] | |||
Statement [Line Items] | |||
Financial operations | 0 | 67,000,000 | 54 |
Rundel Globa LTD [Member] | |||
Statement [Line Items] | |||
Financial operations | $ 132,000,000 | $ 0 | $ 0 |
Related Party Transactions (D_5
Related Party Transactions (Details 4) - ARS ($) | 12 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Statement [Line Items] | ||
Total capital contributions | $ (55,000,000) | $ (2,231,000,000) |
Total dividends distribution | (19,745,000,000) | 0 |
Total other transactions | 319,000,000 | 7,731 |
Nuevo Puerto Santa Fe [Member] | ||
Statement [Line Items] | ||
Dividends received | 216,000,000 | 0 |
Condor [Member] | ||
Statement [Line Items] | ||
Dividends received | 103,000,000 | 7,731,000,000 |
Exchange of shares | 0 | (1,865) |
Quality [Member] | ||
Statement [Line Items] | ||
Capital contributions | (55,000,000) | (88,000,000) |
Helmir [Member] | ||
Statement [Line Items] | ||
Dividends Distribution | (948,000,000) | 0 |
Cresud [Member] | ||
Statement [Line Items] | ||
Dividends Distribution | (18,797,000,000) | 0 |
Comparaencas [Member] | ||
Statement [Line Items] | ||
Capital contributions | $ 0 | $ (278,000,000) |
Related Party Transactions (D_6
Related Party Transactions (Details Narrative) | 1 Months Ended |
Oct. 29, 1999 | |
Related party transactions | |
Award of the agreement, description | November 29, 2005, shareholders of IRSA CP approved another agreement entered into with Fundación Museo de los Niños whereby 2,670.11 square meters built in the Alto Rosario shopping mall were loaned for a term of 30 years. Fundación IRSA has used the available area to house the museum called “Museo de los Niños, Abasto” an interactive learning center for kids and adults, which was opened to the public in April 1999 |
Foreign currency assets and l_3
Foreign currency assets and liabilities (Details) - ARS ($) $ / shares in Units, $ in Thousands | Jun. 30, 2023 | Jun. 30, 2022 |
Assets | ||
Total Financial assets | $ 36,587,000 | $ 43,486,000 |
Liabilities | ||
Total financial liabliites | 99,745,000 | 139,926,000 |
Trade And Other Payable [Member] | ||
Liabilities | ||
Total trade and other payables | 4,215,000 | 2,444,000 |
Total trade and other receivables [Member] | ||
Assets | ||
Total Financial assets | 11,794,000 | 12,263,000 |
New Israel Shekel [Member] | Provisions [Member] | ||
Liabilities | ||
Amount | $ 80,000 | |
Peso exchange rate | $ 69.20 | |
Derivative Financial Liabilities | $ 5,536,000 | 0 |
Derivative Financial Instruments [Member] | ||
Liabilities | ||
Total financial liabliites | 6,000 | 34,000 |
Derivative Financial Instruments [Member] | Lease liabilities [Member] | ||
Liabilities | ||
Derivative Financial Liabilities | 2,910,000 | 2,404,000 |
Derivative Financial Instruments [Member] | Borrowings [Member] | ||
Liabilities | ||
Derivative Financial Liabilities | 87,078,000 | 135,044,000 |
Derivative Financial Instruments [Member] | Total Cash And Cash Equivalents [Member] | ||
Liabilities | ||
Derivative Financial Assets | 4,387,000 | 19,887,000 |
Derivative Financial Instruments [Member] | Total Investments In Financial Assets [Member] | ||
Liabilities | ||
Derivative Financial Assets | 20,406,000 | 11,336,000 |
Derivative Financial Instruments [Member] | Euros [Member] | Cash And Cash Equivalents [Member] | ||
Liabilities | ||
Amount | $ 10 | |
Peso exchange rate | $ 279.42 | |
Derivative Financial Assets | $ 2,000 | 2,000 |
Derivative Financial Instruments [Member] | Euros [Member] | Trade And Other Payables [Member] | ||
Liabilities | ||
Peso exchange rate | $ 280.50 | |
Amount | $ 0 | |
Derivative Financial Liabilities | $ 0 | 2,000 |
Derivative Financial Instruments [Member] | USD [Member] | Lease Liabilities [Member] | ||
Liabilities | ||
Peso exchange rate | $ 256.70 | |
Amount | $ 20 | |
Derivative Financial Liabilities | $ 6,000 | 34,000 |
Derivative Financial Instruments [Member] | USD [Member] | Borrowings [Member] | ||
Liabilities | ||
Peso exchange rate | $ 256.70 | |
Amount | $ 338,090 | |
Derivative Financial Liabilities | $ 86,787,000 | 134,744,000 |
Derivative Financial Instruments [Member] | USD [Member] | Related Parties [Member] | Borrowings [Member] | ||
Liabilities | ||
Peso exchange rate | $ 256.70 | |
Amount | $ 1,130 | |
Derivative Financial Liabilities | 291,000 | 300,000 |
Derivative Financial Instruments [Member] | USD [Member] | Receivable [member] | Related Parties [Member] | ||
Liabilities | ||
Amount | $ 20,310 | |
Peso exchange rate | $ 256.70 | |
Derivative Financial Assets | $ 5,214,000 | 4,881,000 |
Derivative Financial Instruments [Member] | USD [Member] | Investments In Financial Assets [Member] | Related Parties [Member] | ||
Liabilities | ||
Amount | $ 5,870 | |
Peso exchange rate | $ 256.70 | |
Derivative Financial Assets | $ 1,506,000 | 6,174,000 |
Derivative Financial Instruments [Member] | USD [Member] | Cash And Cash Equivalents [Member] | ||
Liabilities | ||
Amount | $ 17,010 | |
Peso exchange rate | $ 256.30 | |
Derivative Financial Assets | $ 4,359,000 | 19,885,000 |
Derivative Financial Instruments [Member] | USD [Member] | Trade And Other Payables [Member] | ||
Liabilities | ||
Peso exchange rate | $ 256.70 | |
Amount | $ 16,340 | |
Derivative Financial Liabilities | $ 4,194,000 | 2,313,000 |
Derivative Financial Instruments [Member] | USD [Member] | Payables [member] | Related Parties [Member] | ||
Liabilities | ||
Peso exchange rate | $ 256.70 | |
Amount | $ 50 | |
Derivative Financial Liabilities | 12,000 | 129,000 |
Derivative Financial Instruments [Member] | New Israel Shekel [Member] | Investments In Financial Assets [Member] | ||
Liabilities | ||
Amount | $ 5,040 | |
Peso exchange rate | $ 69.20 | |
Derivative Financial Assets | $ 349,000 | 1,237,000 |
Derivative Financial Instruments [Member] | New Israel Shekel [Member] | Cash And Cash Equivalents [Member] | ||
Liabilities | ||
Amount | $ 380 | |
Peso exchange rate | $ 69.20 | |
Derivative Financial Assets | $ 26,000 | 0 |
Derivative Financial Instruments [Member] | Pounds [Member] | Investments In Financial Assets [Member] | ||
Liabilities | ||
Amount | $ 730 | |
Peso exchange rate | $ 326.75 | |
Derivative Financial Assets | $ 237,000 | 211,000 |
Derivative Financial Instruments [Member] | USD [Member] | Lease liabilities [Member] | ||
Liabilities | ||
Amount | $ 11,340 | |
Peso exchange rate | $ 256.70 | |
Derivative Financial Assets | $ 2,910,000 | 2,404,000 |
Derivative Financial Instruments [Member] | USD [Member] | Investments In Financial Assets [Member] | ||
Liabilities | ||
Amount | $ 71,460 | |
Peso exchange rate | $ 256.30 | |
Derivative Financial Assets | $ 18,314,000 | 3,714,000 |
Derivative Financial Instruments [Member] | Uruguayan pesos [Member] | Trade And Other Payables [Member] | ||
Liabilities | ||
Peso exchange rate | $ 6.87 | |
Amount | $ 1,310 | |
Derivative Financial Liabilities | 9,000 | 0 |
Derivative Financial Instruments [Member] | Trade And Other Receivables [Member] | Euros [Member] | ||
Liabilities | ||
Amount | $ 80 | |
Peso exchange rate | $ 279.42 | |
Derivative Financial Assets | $ 23,000 | 24,000 |
Derivative Financial Instruments [Member] | Trade And Other Receivables [Member] | USD [Member] | ||
Liabilities | ||
Amount | $ 25,580 | |
Peso exchange rate | $ 256.30 | |
Derivative Financial Assets | $ 6,557,000 | 7,358,000 |
Derivative Financial Instruments [Member] | Provisions [Member] | ||
Liabilities | ||
Derivative Financial Liabilities | $ 5,536,000 | $ 0 |
Results from discontinued ope_3
Results from discontinued operations (Details) $ / shares in Units, $ in Millions, $ in Millions | 12 Months Ended | |||
Jun. 30, 2023 ARS ($) $ / shares | Jun. 30, 2023 USD ($) | Jun. 30, 2022 ARS ($) $ / shares | Jun. 30, 2021 ARS ($) $ / shares | |
Statement [Line Items] | ||||
Revenues | $ 89,285 | $ 69,168 | $ 45,880 | |
Costs | (30,804) | (26,119) | (23,204) | |
Gross profit / (loss) | 58,481 | 43,049 | 22,676 | |
Net loss from fair value adjustment of investment properties | (49,145) | 29,427 | (27,469) | |
General and administrative expenses | 19,319 | 11,377 | 10,667 | |
Selling expenses | 4,511 | 4,822 | 5,267 | |
Profit from operations | 60,986 | 75,222 | (101,340) | |
Share of profit of associates and joint ventures | 2,622 | (764) | (15,483) | |
Finance income | 825 | 998 | 1,276 | |
Finance cost | 13,876 | 19,818 | 25,800 | |
Financial results, net | 15,536 | 25,549 | 11,791 | |
Loss before income tax | (3,531) | 81,193 | (24,723) | |
Loss from discontinued operations | 0 | 0 | (31,545) | |
Equity holders of the parent | 60,243 | 74,487 | (105,800) | |
Non-controlling interest | $ 743 | $ 735 | $ (27,085) | |
Basic | $ / shares | $ 80.54 | $ 98.53 | $ (192.36) | |
Diluted | $ / shares | $ 80.86 | $ 100.52 | $ (192.36) | |
Discontinued Operations [Member] | ||||
Statement [Line Items] | ||||
Revenues | $ 0 | $ 0 | $ 133,783 | |
Costs | $ 0 | 0 | 108,552 | |
Gross profit / (loss) | 0 | 0 | 25,231 | |
Net loss from fair value adjustment of investment properties | 0 | 0 | (98) | |
General and administrative expenses | 0 | 0 | 15,399 | |
Selling expenses | 0 | 0 | 14,669 | |
Other operating results, net | 0 | 0 | 5,006 | |
Profit from operations | 0 | 0 | 71 | |
Share of profit of associates and joint ventures | 0 | 0 | 2,542 | |
Profit before financial results and income tax | 0 | 0 | 2,613 | |
Finance income | 0 | 0 | 1,858 | |
Finance cost | 0 | 0 | (24,395) | |
Other financial results | 0 | 0 | 1,613 | |
Financial results, net | 0 | 0 | 20,924 | |
Loss before income tax | 0 | 0 | (18,311) | |
Income tax | 0 | 0 | 978 | |
Loss from operations that are discontinued | 0 | 0 | (17,333) | |
(Loss) / gain for loss of control | 0 | 0 | (14,212) | |
Loss from discontinued operations | 0 | 0 | (31,545) | |
Equity holders of the parent | 0 | 0 | (24,923) | |
Non-controlling interest | $ 0 | $ 0 | $ (6,622) | |
Basic | $ / shares | $ 0 | $ 0 | $ (45.31) | |
Diluted | $ / shares | $ 0 | $ 45.31 | $ 0 |
Other relevant events of the _2
Other relevant events of the year (Details Narrative) | 1 Months Ended | ||||||
May 05, 2023 ARS ($) $ / shares | Nov. 08, 2022 ARS ($) | Nov. 08, 2022 $ / shares | Apr. 27, 2023 ARS ($) | Oct. 31, 2022 | Oct. 28, 2022 ARS ($) | Jun. 30, 2023 ARS ($) shares | |
Warrants exercise | |||||||
Statement [Line Items] | |||||||
Converted warrants | shares | 245,821 | ||||||
Warrants received | $ | $ 106,246 | ||||||
Ordinary Shareholders' Meeting [Member] | |||||||
Statement [Line Items] | |||||||
Share incentive plan for employee | 1.16% | ||||||
Payment of dividend in cash | $ | $ 4,340,000,000 | $ 21,900,000,000 | $ 4,340,000,000 | ||||
Exercise price share pre dividend price | $ 0.432 | ||||||
Exercise price share post dividend price | $ 0.414 | ||||||
Share to be issued per warrant description | Pre-dividend ratio: 1. Post-dividend ratio: 1.0442 | ||||||
Ordinary Shareholders' Meeting One [Member] | |||||||
Statement [Line Items] | |||||||
Capital stock increased description | Capital Stock increased from ARS 811 million to the sum of ARS 7,364 million, through the partial capitalization of the share premium and the resulting issuance of 6,553 will be distributed to the shareholders according to their equity interest | ||||||
Changes of par value of shares | par value of the shares from ARS 1 to ARS 10 | ||||||
Payment of dividend in cash | $ | $ 21,900,000,000 | ||||||
Exercise price share pre dividend price | $ 0.414 | ||||||
Exercise price share post dividend price | $ 0.3689 | ||||||
Share to be issued per warrant description | Pre-dividend ratio: 1.0442. Post-dividend ratio: 1.1719 |
Economic context in which the_2
Economic context in which the Group operates (Details Narrative) - USD ($) $ in Millions | 1 Months Ended | 8 Months Ended | 12 Months Ended |
Aug. 31, 2023 | Aug. 31, 2023 | Jun. 30, 2023 | |
Economic context in which the Group operates | |||
Accumulated inflation percent | 80.20% | ||
Loss of foreign exchange income | $ 20,000 | ||
Peso depreciated accroding to exchange rate description | the peso depreciated 97.8% against the US dollar, according to the exchange rate of Banco de la Nación Argentina |
Subsequent events (Details Narr
Subsequent events (Details Narrative) | 1 Months Ended | 12 Months Ended | |||||||||||
Oct. 05, 2023 | Sep. 14, 2023 $ / shares | Sep. 13, 2023 ARS ($) | Aug. 09, 2023 | Aug. 07, 2023 shares | Sep. 29, 2023 ARS ($) $ / shares shares | Aug. 31, 2023 | Jul. 24, 2023 USD ($) | Jun. 30, 2023 ARS ($) | Jun. 30, 2022 ARS ($) | Jun. 30, 2021 ARS ($) | Jun. 30, 2023 USD ($) | Jun. 30, 2023 ARS ($) | |
Statement [Line Items] | |||||||||||||
Share Capital | $ 157,641,000,000 | $ 106,036,000,000 | |||||||||||
Net income / (loss) | $ 60,986,000,000 | $ 75,222,000,000 | $ (132,885,000,000) | ||||||||||
General Ordinary Shareholders [Member] | |||||||||||||
Statement [Line Items] | |||||||||||||
Net income / (loss) | 57,350,900,000 | ||||||||||||
Legal reseve | $ 2,867,500,000 | ||||||||||||
Distribution Of Dividend | 54,483,300,000 | ||||||||||||
Distribution Of Future Dividend | $ 8,984,900,000 | ||||||||||||
Special reseve | $ 531,800,000 | ||||||||||||
Subsequent Events [Member] | |||||||||||||
Statement [Line Items] | |||||||||||||
Description Of Voting right per share | (i) an increase in the capital stock in the amount of ARS 6,552.4 million, through the partial capitalization of the Issue Premium account, resulting in the issuance of 6,552,405,000 common shares, with a par value of ARS 1 (one peso) and with the right to one vote per share; and (ii) changing the nominal value of the ordinary shares from ARS 1 to ARS 10 each and entitled to one (1) vote per share | ||||||||||||
Share Capital | $ 7,364,000,000 | ||||||||||||
Subsequent Events [Member] | Exercise Of Warrants [Member] | |||||||||||||
Statement [Line Items] | |||||||||||||
Ordinary shares | shares | 63,039 | ||||||||||||
Face value of Ordinary share | $ / shares | $ 10 | ||||||||||||
Warrants Exercise amount | $ 27,247 | ||||||||||||
Description of outstanding warrants | the number of shares of the Company increased from 736,354,245 to 736,421,306 with a face value of ARS 10, the stock capital increases from 7,363,542,450 to 7,364,213,060, and the new number of outstanding warrants decreased from 79,709,301 to 79,646,262 | ||||||||||||
Subsequent Events [Member] | Warrants Modification [Member] | |||||||||||||
Statement [Line Items] | |||||||||||||
Description of common shares | outstanding shares will change from 811,137,457 common shares, with a nominal value of ARS 1 each and one vote per share, to the amount of 736,354,245 common shares with a nominal value of ARS 10 each and one vote per share | ||||||||||||
Warrants exercise previous price | $ / shares | $ 0.3689 | ||||||||||||
Warrants exercise after price | $ / shares | $ 0.4063 | ||||||||||||
Subsequent Events [Member] | 261 Della Paolera" floor sale [Member] | |||||||||||||
Statement [Line Items] | |||||||||||||
Description of floor sale | IRSA signed the deed for the sale of two floors for a total of 2,213 square meters, 18 parking spaces, and 6 complementary units of the same building. The transaction price was set at ARS 12,674.6 million, which had already been paid | IRSA signed the deed for the sale of the 9th floor with a total of 1,142 square meters, 10 parking spaces, and 2 complementary units of the same building. The transaction price was set at USD 12.2 million, which had already been paid | |||||||||||
Subsequent Events [Member] | Maple Building Sale [Member] | |||||||||||||
Statement [Line Items] | |||||||||||||
Description of building sale | IRSA signed the deed for the sale of all the functional and complementary units of the “Maple Building” located at 664 Suipacha Street in the Autonomous City of Buenos Aires. The price of the operation was USD 6.75 million, of which USD 3 million has been collected in cash, USD 750,000 through the delivery of 3 functional units in a building owned by the buyer at Avenida Córdoba 633 in the Autonomous City of Buenos Aires, with a bailment agreement for 30 months and the remaining balance of USD 3 million will be paid | ||||||||||||
Remaining amount paid in installment | $ 2,500,000 | ||||||||||||
Interest rate | 5% | ||||||||||||
Provision of services by the buyer | $ 500,000 | ||||||||||||
Subsequent Events [Member] | Repurchase Of Share [Member] | |||||||||||||
Statement [Line Items] | |||||||||||||
Repurchase of common shares | shares | 4,608,962 | ||||||||||||
Shares of ownership | 37.92% | ||||||||||||
Subsequent Events [Member] | Sale Of Quality Investment S.A. [Member] | |||||||||||||
Statement [Line Items] | |||||||||||||
Interest rate | 7% | ||||||||||||
Description of sale fo shares | IRSA sold and transferred 100% of its participation in Quality Invest S.A. representing of 50% of the share capital. The amount of the transaction amounted to USD 22.9 million, of which USD 21.5 million has been collected together with the transfer of the shares and the balance of USD 1.4 million will be collected after 3 years |