Nexa Resources S.A. | CIK:0001713930 | 3

  • Filed: 5/9/2018
  • Entity registrant name: Nexa Resources S.A. (CIK: 0001713930)
  • Generator: Merrill
  • SEC filing page: http://www.sec.gov/Archives/edgar/data/1713930/000110465918031781/0001104659-18-031781-index.htm
  • XBRL Instance: http://www.sec.gov/Archives/edgar/data/1713930/000110465918031781/nexa-20171231.xml
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  • ifrs-full:DisclosureOfShareCapitalReservesAndOtherEquityInterestExplanatory

     

    24Equity

     

    (a)Accounting policy

     

    Common shares are classified in equity. Each time a share premium is paid to the Company for an issued share, the respective share premium is allocated to the share premium reserve account.

     

    Each time the repayment of a share premium is decided, such repayment shall be done pro-rata to the existing shareholders.

     

    The distribution of dividends to the Company’s shareholders is recognized as a liability in the Company’s consolidated financial statements in the period in which the dividends are approved by the Company’s shareholders.

     

    (b)Capital

     

    At December 31, 2017, the Company’s fully subscribed and paid-up capital, in the amount of US$ 133,320 (2016: US$ 1,041,416), comprised 133,320 thousand (2016: 1,041,416 thousand) registered common shares.

     

    (c)Share premium

     

    The share premium, if any, may be freely distributed to the shareholders in accordance with the law by a resolution of the Board of Directors. The constitution and payment of share premium during 2017 are demonstrated in notes 1 (iv), 1 (v) and 1 (x). At December 31, 2017, share premium account is in the amount of US$ 1,123,755.

     

    (d)Reserves

     

    The reserves were created to preserve the undistributed balance of retained earnings to fund expansion projects pursuant to the Company’s investment plan.

     

    (e)Accumulated other comprehensive income (loss)

     

    The Company recognizes in other comprehensive income (loss) the effects of foreign exchange gains/losses on direct and indirect investments abroad.

     

    This account also includes: fair value gains/losses on derivatives designated to mitigate risks related to foreign exchange, commodity prices and interest rates (hedge accounting), and actuarial gains and losses on pension plans.

     

    The changes in the accumulated other comprehensive income (loss) are as follows:

     

     

     

    Exchange

     

     

     

     

     

     

     

     

     

    variation on

     

    Remeasurements with

     

    Hedge

     

     

     

     

     

    investm ents abroad

     

    retirement benefits

     

    accounting

     

    Total

     

    At January 1, 2015

     

    (45,297

    )

    2,792

     

    444

     

    (109,857

    )

     

     

     

     

     

     

     

     

     

     

    Currency translation of investees located abroad

     

    (74,163

    )

     

     

    (74,163

    )

    Remeasurements of retirement benefits

     

     

    535

     

     

    535

     

    Operating cash flow hedge accounting

     

     

     

    5,832

     

    5,832

     

     

     

     

     

     

     

     

     

     

     

    At December 31, 2015

     

    (119,460

    )

    3,327

     

    6,276

     

    (177,653

    )

     

     

     

     

     

     

     

     

     

     

    Currency translation of investees located abroad

     

    30,373

     

     

     

    30,373

     

    Operating cash flow hedge accounting

     

     

     

    (16,256

    )

    (16,256

    )

     

     

     

     

     

     

     

     

     

     

    At December 31, 2016

     

    (89,087

    )

    3,327

     

    (9,980

    )

    (163,536

    )

     

     

     

     

     

     

     

     

     

     

    Currency translation of investees located abroad

     

    (10,742

    )

     

     

    (10,742

    )

    Operating cash flow hedge accounting

     

     

     

    12,556

     

    12,556

     

    Achievement of remeasurements with retirement benefits

     

     

    (3,327

    )

     

    (3,327

    )

     

     

     

     

     

     

     

     

     

     

    At December 31, 2017

     

    (99,829

    )

     

    2,576

     

    (165,049

    )

     

     

     

     

     

     

     

     

     

     

     

    (f)Earnings per share

     

    Basic and diluted earnings per share were computed as shown in the table below for the periods indicated. Basic earnings per share are computed by dividing the profit (loss) attributable to owners of the parent by the average number of shares for the period. Diluted earnings per share are computed on a similar way, but with the adjustment in the denominator when assuming the conversion of all shares that may be diluted.

     

    (i)Basic

     

    Earnings per share information have been retroactively adjusted for proportional reductions in the number of shares arising from transfers from Capital to Share Premium, which resulted in the effects bellow:

     

    ·

    Cancellation of 350,000,000 shares in April 2016;

     

    ·

    Cancellation of 200,000,000 shares in June 2017,

     

    ·

    Cancellation of 300,000,000 shares in September 2017 and

     

    ·

    Cancellation of 428,595,552 shares in October 2017.

     

     

     

     

     

    (Restated)

     

    (Restated)

     

     

     

    2017

     

    2016

     

    2015

     

    Profit (loss) attributable to owners of the parent

     

    126,885

     

    93,167

     

    (129,461

    )

    Weighted average number of outstanding common shares (thousands)

     

    116,527

     

    80,699

     

    1,874

     

     

     

     

     

     

     

     

     

    Earnings per share in US Dollars

     

    1.09

     

    1.15

     

    (69.08

    )

     

     

     

     

     

     

     

     

     

    (ii)Diluted

     

    As of December 31. 2017, the Company does not have any instrument with potential dilutive effect, therefore basic and dilute earnings per share are the same.

     

    (g)Non-controlling interests

     

     

     

    NEXA CJM (i)

     

    Pollarix S.A. (ii)

     

    Summarised balance sheet

     

    2017

     

    2016

     

    2017

     

    2016

     

    Current assets

     

    1,105,182

     

    1,159,112

     

    6,717

     

    26,128

     

    Current liabilities

     

    469,291

     

    462,428

     

    911

     

    12,667

     

     

     

     

     

     

     

     

     

     

     

    Current net assets

     

    635,891

     

    696,684

     

    5,806

     

    13,461

     

     

     

     

     

     

     

     

     

     

     

    Non-current assets

     

    2,852,410

     

    3,070,147

     

    110,246

     

    161,595

     

    Non-current liabilities

     

    987,143

     

    1,107,542

     

    24,978

     

    39,184

     

     

     

     

     

     

     

     

     

     

     

    Non-current net assets

     

    1,865,267

     

    1,962,605

     

    85,268

     

    122,411

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

    Net assets

     

    2,501,158

     

    2,659,289

     

    91,074

     

    135,872

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

    Accumulated NCI

     

    361,265

     

    385,762

     

    60,716

     

    90,581

     

     

    (i)

    Consolidated amounts, which includes NEXA CJM, NEXA PERU and NEXA ATACOCHA.

     

    (ii)

    Consolidated amounts, which includes the energy generation assets Enercan, Capim Branco, Igarapava and Picada.