Page 94 - flipbook-ubp-IR

INTRODUCTION ABOUT US MANAGEMENT APPROACH
FINANCIAL CAPITAL
Investment in Capital Expenditure
Our Group investment strategy remains focused on satisfying market demand, expanding our range of products and services by proposing innovative and full-fledged (A to Z) solutions to our customers, increasing our market share and maintaining our position as pioneer and leader on the market. In line with this objective, our Group invested Rs 509.2 million in capital expenditure (including ROU Assets) for the year under review as detailed below :
In terms of intangible assets, we pursued our digital transformation plan by investing in new software, including a new Customer Relationship Management (CRM), a new Capex management tool for the Group, the complete replacement of the production software and a new ERP for Pre-Mixed Concrete Limited and an improved e-commerce platform and new applications for our retail Espace Maison activities, in view of improving our customer experience.
Besides the above, we have invested into a significant extension of our Head Office building in Trianon, which was completed in September 2022. In addition, we acquired the premises of Trimetys at Cap Tamarin in July 2022. At time of writing, the Board has approved the extension project of Espace Maison Tamarin which is due to be completed by mid-2023.
2022
Rs’000
44,179
205
203,125
30,198
103,960
381,667
21,613
-
105,890
509,170
Freehold land & buildings
Leasehold & land improvement
Plant & equipment Motor vehicles Asset in progress
Total investment in Property, Plant & Equipment
Investment in intangible assets
Investment properties
ROU Assets excluding land & buildings
Total
2020 Rs’000 55,965
50 205,044 20,693 6,186
287,938
35,262 88
15,608
338,896
2021 Rs’000 36,371
285 98,215 7,874 16,858
159,603
9,476 480
39,332
208,891
INVESTMENT IN CAPITAL EXPENDITURE
92
UBP INTEGRATED REPORT 2022
This year, the major investments made in terms of our core business activities segment (including Pre-Mixed Concrete Limited and Drymix Ltd) involved the acquisition of a portable crushing plant, the replacement and upgrading of our existing plants to cater for increasing demand (including a new packer for Drymix Ltd), a new MV metering electrical installation at Poudre d’Or and the replacement of quarrying equipments.
In terms of our retail activities segment, the main investment made this year related to the building amenities (incurred by UBP) and the fitting out of our new Espace Pro sections in all of our shops except Beau Vallon, the creation of our new B2B showroom at Geoffroy Road and the replacement of rackings and displays in all of our shops. As regards our agricultural segment, investments made this year related to new plant and machinery for our food crop activities, the extension of our sugar cane plantation surface area and the improvement of our restaurant amenities and leisure activities.
Rs’000
600,000 500,000 400,000 300,000 200,000 100,000
0 FY2018
FY2019 FY2020 Additions
FY2021 FY2022 Depreciation
284,040 265,003
363,094 265,388
338,896 278,597
208,891 292,668
314,063
509,170