Consolidated Statements of Financial Position CURRENT ASSETS: December 31 3102 3103 3103 Audited Cash and cash equivalents 002321 925,8 )* 823,, Trade receivables 03,225, 03,2915 0012955 Other accounts receivable 002593 012081 002322 Inventories 00,2,59 01929,3 0102392 Purchased call option over noncontrolling interests 828,0 128,, NON CURRENT ASSETS: 3152191 35,2,02 3,125,0 Receivables 0229, 02210 02233 Investment in investee 32003 02123 )* 02111 Longterm prepaid expenses 11, 02013 181 Fixed assets 92213, 912951 1928,2 Goodwill 02258, 05288, 0,21,3 Intangible assets,2,2, 52599 521,5 Deferred taxes 02,95 32158 02,25 0112,21 011288, 012253, 2922,3, 2,32,18 2,,2195 )* Restated
Consolidated Statements of Financial Position December 31 3102 3103 3103 Audited CURRENT LIABILITIES: Credit from banks 03321,8 0052859 018215, Trade payables,12,15 592131,92232 Other accounts payable 3,28,3 3021,2 312,30 NON CURRENT LIABILITIES: 301229, 0852139 09,2889 Loans from banks and others 38250, 212323 252,15 Other noncurrent liabilities 52213 02288 52,,1 Employee benefit liabilities 02533 022,9 02,53 Deferred taxes 32932 02818 3282, EQUITY ATTRIBUTABLE TO EQUITY HOLDERS OF THE PARENT: 282320 2,2819,52130 capital 312939 31290, 31290, premium 282905 2821,5 2821,5 Treasury shares ),08( ),08( ),08( reserves ) 22311( )** 52288 )**,10 reserve from with noncontrolling interests 522,, 522,, earnings,02,92 )**,12015 )**,02023 03229,, 0152,,, 01,2958 Noncontrolling interests 828,2 3,2321,2511 Equity 0222911 0202112 00222,, )** Restated 2922,3, 2,32,18 2,,2195 November 20, 2013 Date of approval of the Financial Statements Ram Belinkov Avi Zalcman Moody Pruss Chairman of the Board Chief Executive Officer Chief Financial Officer
Consolidated Statements of Profit or Loss and Other Comprehensive Income 9 months ending 3 months ending Year ended December 31 3102 3103 3102 3103 3103 Audited )except per share data( Revenues from sales 53,29,, 5332,31 0832,,1 0112,18,8123,1 Cost of sales,222011,,02,51 0592,11 0,,2231 )** 59,2,31 Gross profit 8021,, 9121,2 2,21,1 202398 0152,31 Selling and marketing expenses 252313 2,25,1 032389 032035,52,,1 General and administrative expenses 312029 302111 121,1,292, 382312 Other income 02001 02,1, 02,1, 02521 Operating income 212,,, 3,2135 0,2138 02282, 23250, Finance income 92,20 22,85,91 551 12,91 Finance costs 0121,3 032,9, 32503,2250 01295, Group's share of losses of company accounted for at equity, net 305 2,0 90 )* 291 Income before taxes on income 252929 0,2,12 032,81 01215, 3021,1 Taxes on income 82031 5281, 22320 32581 )** 92,39 Net income 3,2100 012,81 82,,, 12,,, 022023 Other comprehensive income (loss) (after tax): Amounts not to be transferred later on to the profit or loss: Actuarial loss from defined benefit plans )** ),2( Amounts transferred to the profit or loss given specific circumstances: Income from availableforsale financial assets 02230 02230 currency ) 52589(,212, ) 500( 329,0 )105( amounts transferred to the profit or loss ),2311(,212, 901 329,0 )105( other comprehensive income (loss) ),2311(,212, 901 329,0 )159( comprehensive income 332,2, 0,2122 01231, 012215 03221, Net income attributable to: Equity holders of the parent 3325,, 12301 921,3 525,1 )** 923,, Noncontrolling interests,20,1 22,91 02,3, 02801,2999 3,2100 012,81 82,,, 12,,, 022023 comprehensive income attributable to: Equity holders of the parent 092889 012,11 92833 921,5,2,20 Noncontrolling interests 22,2,,223, 0225, 323,1 528,2 332,2, 0,2122 01231, 012215 03221, Basic and diluted net earnings per share attributable to equity holders of the parent (in NIS) 0.5 1.,9 1.5, 1.21 )** 1.55 )* 2)** Restated
Consolidated Statements of Changes in Equity Premium Treasury s Attributable to equity holders of the parent Noncontrolling interests reserve for sharebased payment reserve from availableforsale financial assets fundactuarial loss reserve from transaction s with noncontrolling interests earnings earnings Equity Balance as of January 1, 2013 (audited) 618,02 568,23 ) 206( 630 )** ) 36( 616 38525 )** 508056 0128,36 ) 065( 28251 2831, 0058522 Net income 668355 668355 5802, 5802, 628,00 O ther comprehensive income (loss) Income from availableforsale financial assets 08560 08560 08560 ) 58,2, ( ) 58,2, ( ),50( ),50( )3836,( other comprehensive income (loss) 08560 ) 58,2, ( ) 58352( ),50( ),50( )586,,( comprehensive income (loss) 08560 ) 58,2, ( 668355 0,866, ),50( 5802, 58552 668555 Dividend to pay to the shareholders of the parent ) 08665( ) 08665( )08665( Realization of options to employees 06 31 ) 26( Balance as of, 2013 618,6, 568,03 ) 206( 0,6 08560 ) 36( ) 5823, ( 38525 2082,5 0658,25 ),35( 018,6, 68655 0558,1, )** Restated
Consolidated Statements of Changes in Equity Premium Treasury s Attributable to equity holders of the parent Noncontrolling interests reserve for sharebased payment fundactuarial loss earnings earnings Equity Balance as of January 1, 2012 (audited) 618,05 568,61 ) 206( 65, )** ) 02( 086,6 )** 528,,3 668110 685,6 068566 608600 0618606 Net income,860,,860, 585,1 585,1 01826, O ther comprehensive income 58061 58061,52,52 58152 comprehensive income 58061,860, 01851,,52 585,1 58562 058,55 Dividend to pay to the shareholders of the parent ) 586,, ( ) 586,, ( )586,,( Cost of sharebased payment 53 53 53 Realization of options to employees 6 53 ) 5, ( Balance as of, 2012 618,02 568,23 ) 206( 652 ) 02( 38026 518013 0138522 58553 668616 62865, 0508,15 )** Restated
Consolidated Statements of Changes in Equity Treasury Premium s Attributable to equity holders of the parent Noncontrolling interests reserve for sharebased payment reserve from availableforsale financial assets fundactuarial loss reserve from transaction s with noncontrolling interests earnings earnings Equity Balance as of July 1, 2013 618,6, 568,03 ) 206( 0,6 ) 36( ) 5860, ( 38525 358250 0058656 ),,5( 685,5,83,6 0658350 Net income,8156,8156 08565 08565 68522 O ther comprehensive income (loss) Income from availableforsale financial assets 08560 08560 08560 ) 550( ) 550( ),1( ),1( )300( other comprehensive income (loss) 08560 ) 550(,,1 ),1( ),1(,01 comprehensive income (loss) 08560 ) 550(,8156,8666 ),1( 08565 08535 0186,2 Balance as of, 2013 618,6, 568,03 ) 206( 0,6 08560 ) 36( ) 5823, ( 38525 2082,5 0658,25 ),35( 018,6, 68655 0558,1,
Consolidated Statements of Changes in Equity Premium Treasury s Attributable to equity holders of the parent Noncontrolling interests reserve for sharebased payment fundactuarial loss earnings earnings Equity Balance as of July 1, 2012 618,02 568,23 ) 206( 650 )** )02( 68230 )** 55833, 6,85,2 58106 6186,3 65866, 06085,5 Net income 3835, 3835, 0860, 0860,,8525 O ther comprehensive income 6830, 6830, 565 565 68,50 comprehensive income 6830, 3835,,8123 565 0860, 68651 018513 Cost of sharebased payment 03 03 03 Balance as of, 2012 618,02 568,23 ) 206( 652 ) 02( 38026 518013 0138522 58553 668616 62865, 0508,15 )** Restated
Consolidated Statements of Changes in Equity Premium Treasury s Attributable to equity holders of the parent Noncontrolling interests reserve for sharebased payment fundactuarial loss reserve from with noncontrolling interests Audited earnings earnings Equity Balance as of January 1, 2012 618,05 568,61 ) 206( 65, )** )02( 086,6 )** 528,,3 668110 685,6 068566 608600 0618606 Net income )**,8655,8655 58,,, 58,,, 058056 O ther comprehensive income (loss) Actuarial loss from defined benefit plans )** )55( ) 55( )55( ) 08,,1( ) 08,,1( 08133 08133 ),03( other comprehensive income (loss) ) 55( ) 08,,1( ) 08,05( 08133 08133 ),3,( comprehensive income (loss) ) 55( ) 08,,1(,8655 28550 08133 58,,, 38655 0685,5 Dividend to the shareholders of the parent ) 586,, ( ) 586,, ( )586,,( Cost of sharebased payment Acquisition of noncontrolling interests 31 38525 31 38525 ) 5822, ( ) 0,82,1( ) 60855, ( 31 )0386,5( Realization of options to employees 6 53 ) 5, ( Balance as of December 31, 2012 618,02 568,23 ) 206( 630 ) 36( 616 38525 508056 0128,36 ) 065( 28251 2831, 0058522 )** Restated
Consolidated Statements of Cash Flows Cash flows from operating activities 9 months ending 3 months ending Year ended December 31 3102 3103 3102 3103 3103 Audited Net income 3,2100 012,81 82,,, 12,,, )** 022023 Adjustments to reconcile net income to net cash provided by (used in) operating activities: Adjustments to profit or loss items: Depreciation and amortization 9298, 0120,3 2213, 22,51 022289 Loss (Gain) from sale of fixed assets and sale of land useright ),,( ),11( 28 ) 32( )02131( Decrease (Increase) in longterm prepaid expenses 58 31 31 1 )199( Cost of sharebased payment,5 05 51 Revaluation of longterm liabilities to banks and others ) 1( 032 009 8, 05 Group's share of losses of company accounted for at equity, net 305 )* 2,0 90 )* 291 Taxes on income 82031 5281, 22320 32581 )** 92,39 Change in employee benefit liabilities ) 00, ( ) 13( ) 18( ) 1, ( )** 01, Revaluation of purchased call option over noncontrolling interests ) 32101( ) 003( 252 Interest expenses, net 52311,2100 02,,1 02988 121,, Changes in assets and liabilities items: 302281 3028,8 12981 92128 3923,2 Increase in trade receivables ) 092110( ) 322131( ) 032981( ) 52001( )82531( Decrease (Increase) in other accounts receivable ) 323,1( 32519 32111,23,, 0211, Decrease (Increase) in inventories ) 012,53(,235, 32255 002109 012008 Increase (Decrease) in trade payables 032831,2895 ) 1239, ( ) 00209, ( )028,1( Increase (Decrease) in other accounts payable ) 02,,9( ) 32058( 02055 ) 02211( )223( Cash paid and received during the period for: ) 3,2500( ) 0022,1( ) 02298, ( 218 ),1,( Interest paid ) 5222, ( ),213,( ) 02,,8( ) 028,1( )129,,( Interest received 35 23 1 35 59 Taxes paid ) 52,81( ),2883( ) 32292( ) 02,8, ( )525,0( Taxes received,, 02993 02593 599 ) 0121,3( ) 8201, ( ),2135( ) 02931( )032158( Net cash provided by (used in) operating activities 012939 032093 ) 5,5( 0,2155 3128,3 )* 8)** Restated 6
Consolidated Statements of Cash Flows 9 months ending 3 months ending Year ended December 31 3102 3103 3102 3103 3103 Audited Cash flows from investing activities Purchase of fixed assets ) 052553( ) 12985( ) 929,0( ) 02912( )032081( Purchase of intangible assets ) 311( ) 380( ) 8, ( ) 08, ( )02090( Proceeds from sale of fixed assets and sale of land useright 023 9,1,, 0,,,2911 Insurance compensation for fixed asset breakdown 555 Collection (Grant) of longterm loans, net 0,5 ) 09, ( 02 91 )059( Net cash used in investing activities ) 0,2831( ) 12535( ) 9291, ( ) 02110( ),212,( Cash flows from financing activities Dividend paid to the shareholders of the parent ) 02882( ) 22891( )22891( Repayment of finance lease liabilities ) 510( ) 595( ) 99( ) 3,9( )931( Receipt of longterm loans,2328 02,91,2328 02,91 002588 Repayment of longterm loans ) 002981( ) 52098( ) 321,1( ) 02839( )12990( Acquisition of noncontrolling interests )052033( Receipt (Repayment) of shortterm credit from banks, net 0,2,0,,2150 52250 ) 032020( )22203( Net cash provided by (used in) financing activities,2,,8 ),2132( 12,,3 ) 032,31( )082521( Exchange differences on balances of cash and cash equivalents ) 282( 35, ) 51( 0,1 )020( Increase (Decrease) in cash and cash equivalents 0289, 999 ) 321,8( ) 098( 025,5 Cash and cash equivalents at the beginning of the period 823,, 12,90 022318 92159 12,90 Cash and cash equivalents at the end of the period 002321 925,8 002321 925,8 )* 823,, Significant non cash of the parent Purchased call option over noncontrolling interests 92381 Accrued liability to the shareholders of noncontrolling interests )82051( Purchase of fixed assets under finance lease ) 38( )38( )* Restated ) 38( )998( 01