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Group |
Company |
|
| |
31 March
2021
Rm |
31 March
2021
Rm |
| Total interest-bearing debt |
11 932 |
10 866 |
11 932 |
10 866 |
| Non-current interest-bearing debt |
8 221 |
10 173 |
8 221 |
10 173 |
| Local debt |
7 344 |
9 135 |
7 344 |
9 135 |
| Foreign debt |
877
|
1 038 |
877 |
1 038 |
| Current portion of interest-bearing debt |
3 711 |
693 |
3 711 |
693 |
| Local debt |
3 558 |
693 |
3 558 |
693 |
| Bonds |
1 015 |
– |
1 015 |
– |
| Accrued interest |
107 |
– |
107 |
– |
| Other loans1 |
2 436 |
693 |
2 436 |
693 |
| Foreign debt |
153 |
– |
153 |
– |
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|
|
|
|
| 1 Other loans relate to loans from Absa, Standard Bank and Future Growth. |
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| Total interest-bearing debt is made up as follows: |
11 932 |
10 866 |
11 932 |
10 866 |
| (a) Local debt |
10 902 |
9 828 |
10 902 |
9 828 |
| Telkom debt instruments |
10 902 |
9 828 |
10 902 |
9 828 |
| Name,maturity,ratep.a.,nominalvalue |
|
|
|
|
| TL23, 2022, 5.907% |
592 |
592 |
592 |
592 |
| TL24, 2022, 9.04% (fixed) |
423 |
423 |
423 |
423 |
| TL25, 2024, 9.57% (fixed) |
835 |
835 |
835 |
835 |
| TL26, 2024, 6.217% |
400 |
400 |
400 |
400 |
| TL27, 2023, 5.442% |
500 |
500 |
500 |
500 |
| TL28, 2025, 9.28% (fixed) |
1 000 |
1 000 |
1 000 |
1 000 |
| TL29, 2025, 5.732% |
500 |
500 |
500 |
500 |
| TL30, 2024, 5.718% |
877 |
877 |
877 |
877 |
| TL31, 2026, 5.928% |
623 |
623 |
623 |
623 |
| TL32, 2027, 5.808% |
1 000 |
1 000 |
1 000 |
1 000 |
| Export Credit Agency (ECA) loan, 2022 - 2030, 6.367% |
907 |
907 |
907 |
907 |
| Export Credit Risk Agreement – insurance premium (unamortised cost) |
(83) |
(94) |
(83) |
(94) |
| Other loans, 2022 - 2026, 5.15% - 6.225% |
3 221 |
– |
3 221 |
– |
| Loans, 2021 - 2026, 4.4% - 5.6%2 |
– |
2 265 |
– |
2 265 |
| Accrued interest |
107 |
– |
107 |
– |
Total interest-bearing debt is made up of R11 932 million debt at amortised cost (31 March 2021: R10 866 million debt at amortised cost). Finance costs accrued on debt are included in interest-bearing debt.
Other loans are repayable quarterly and have maturities ranging from 2022 to 2026. The ECA loan is repayable quartely from 2022 to 2030.
The floating debts are priced based on the three-month JIBAR plus a margin. |
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|
|
|
|
(b) Foreign debt |
1 030 |
1 038 |
1 030 |
1 038 |
| Telkom |
|
|
|
|
| Maturity, rate p.a., nominal value |
|
|
|
|
| ECA ZAR loan: 2022 - 2030, 6.367% |
907 |
907 |
907 |
907 |
| Euro: 2022 - 2025, 0.14% (2021: 0.14%), €7.6 million (2021: €7.6 million) |
123 |
131 |
123 |
131 |
| Included in non-current and current debt is: |
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|
|
| Debt guaranteed by the South African Government |
123 |
131 |
123 |
131 |
| 2 These loans were settled in the current financial year. |
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During the year under review, R1 150 million (31 March 2021: R268 million) debt was raised for Group and Company. R193 million (31 March 2021: R1 400 million) debt was repaid for Group and Company.
The Company may issue or reissue locally registered debt instruments in terms of the Post Office Amendment Act, 85 of 1991. The borrowing powers of the Company are set out as per note 22.
Interest-bearing debt
Interest-bearing debt is at amortised cost, and finance costs accrued on debt are included in interest-bearing debt. The debts are unsecured but limits the Group's ability to create encumbrances on revenue or assets and secure any indebtedness without securing the outstanding debts equally and rateably with such indebtedness.
Debt covenants applicable to Telkom loans require the following for the Group:
- Net debt to EBITDA of 3:1
- EBITDA to finance charges of at least 3.5:1
As at 31 March 2022, Telkom’s net debt to EBITDA ratio was 1.2x (31 March 2021: 0.9x) and interest cover 12.3x (31 March 2021: 11x).
Telkom has complied with the financial covenants of its borrowing facilities during the 2022 reporting period.
Repayments/refinancing of the current portion of interest-bearing debt
The repayment of the current portion of interest-bearing debt of R3 711 million (31 March 2021: R693 million) for Company and Group as at 31 March 2022 is expected to be repaid from available cash, operational cash flow or the issue of new debt instruments.
Management believes that sufficient funding facilities will be available at the date of repayment. |
