|
Depreciation charge of right of use assets |
2021 £’000 |
2020 £’000 |
|
Buildings |
970 |
759 |
|
Cars |
104 |
92 |
|
Others |
32 |
27 |
|
1,106 |
878 |
The Group has elected to utilise the practical expedient for all rent concessions that met the criteria under the amendment to IFRS 16 (Covid-19-Related Rent Concessions). The effect of applying the practical expedient was a credit to administrative expenses of £88k (FY 20: nil).
Business combinations
On 7 May 2019, the Company entered into two share purchase agreements (each a “SPA”) to acquire the entire issued share capital of Geomap-Imagis Participations (“Geomap-Imagis”) (the “Acquisition”), for a total consideration of €7.0m (the “Consideration”). Full details of the acquisition were provided in the Annual Report for the year ended 31 January 2020. No changes were made in the year ended 31 January 2021 to the previously reported fair values and resulting goodwill.
During the year, further costs were incurred associated with the acquisition and integration of the Geomap-Imagis Group amounting to £0.5m as disclosed in note 4.
In June 2020, 1Spatial France paid the deferred consideration of €0.7m (£585,000) of the cash consideration which had been held in escrow until the first anniversary of Completion.
As at 31 January 2021, a balance of €440,540 (£390,000) Consideration Shares remained outstanding to be satisfied on 30 March 2023.
As disclosed in note 16, Post Balance Sheet Events, the terms of the Share Purchase agreement were amended.
Deferred tax
The following are the major deferred tax liabilities and (assets) recognised by the Group and movements thereon during the current year and prior reporting years.
|
Tax losses £’000 |
Accelerated tax depreciation £’000 |
Intangibles £’000 |
Other temporary differences £’000 |
Total £’000 |
|
|
At 1 February 2019 |
(405) |
22 |
586 |
(11) |
192 |
|
Acquired in the year |
(310) |
- |
1,059 |
(188) |
561 |
|
Deferred tax (credit)/charge for year in profit or loss |
100 |
(22) |
(149) |
(7) |
(78) |
|
DT charge/(credit) OCI |
- |
- |
- |
23 |
23 |
|
Foreign exchange difference |
- |
- |
(20) |
1 |
(19) |
|
At 31 January 2020 |
(615) |
- |
1,476 |
(182) |
679 |
|
Deferred tax (credit)/charge for year in profit or loss |
53 |
- |
(121) |
142 |
74 |
|
DT charge/(credit) OCI |
- |
- |
- |
5 |
5 |
|
Foreign exchange difference |
- |
- |
- |
18 |
18 |
|
At 31 January 2021 |
(562) |
- |
1,355 |
(17) |
776 |
Deferred income tax assets are recognised against tax loss carry-forwards to the extent that the realisation of the related tax benefit through future taxable benefits is probable. The Group did not recognise potential deferred tax assets of £4,018,000 (2020: £3,859,000) in respect of losses amounting to £18,029,000 (2020: £18,442,000) that can be carried forward against future taxable income, on the grounds that at the balance sheet date their utilisation is not considered probable.
