Rangatira Annual Report 2025 - Flipbook - Page 41
Annual Report 2025
Notes to the
financial statements
For the year ended 31 March 2025
Note 1 Reporting entity and basis of preparation
Rangatira Limited (the Company) is an investment company incorporated and domiciled in New Zealand. Its
principal activity is investment. These financial statements are for the year ended 31 March 2025.
The financial statements are presented in New Zealand dollars and all values are rounded to the nearest thousand
dollar ($000) unless otherwise specified. These financial statements have been prepared on a going concern
basis.
Statement of compliance and reporting framework
These financial statements have been prepared in accordance with generally accepted accounting practice in
New Zealand (NZ GAAP), the Companies Act 1993, and the Financial Reporting Act 2013. They comply with
the New Zealand equivalents to International Financial Reporting Standards (NZ IFRS) and other applicable
Financial Reporting Standards, as appropriate. These financial statements also comply with International Financial
Reporting Standards (IFRS) as published by the International Accounting Standards Board.
Basis of preparation
Investment entity status
As of 30 September 2024, the Company concluded that it met the definition of an investment entity as defined in
NZ IFRS 10 Consolidated Financial Statements. The Company has the key characteristics of an investment entity,
including:
(a) obtaining funds from investors for the purpose of providing those investors with investment management
services;
(b) committing to its investors that its business purpose is to invest funds solely for returns from capital
appreciation; and
(c) measuring and evaluating the performance of substantially all of its investments on a fair value basis.
Under NZ IFRS 10, an investment entity does not consolidate its subsidiaries or apply NZ IFRS 3 Business
Combinations when it obtains control of another entity. Instead, an investment entity measures its investment in
controlled entities at fair value through profit or loss in accordance with NZ IFRS 9 Financial Instruments.
As the investment entity status was concluded as of 30 September 2024, these financial statements consolidate
the Company’s subsidiaries up to 30 September 2024. As of that date, the subsidiaries were deconsolidated, and
recognised as investments at fair value at 30 September 2024.
Further details on the financial impact of the change in investment entity status is provided in note 19.1.
Venture capital organisation exemption
As of 30 September 2024 the Company also concluded that it met the exemption in NZ IAS 28 Investment in
Associates and Joint Ventures from applying the equity method of accounting to its associate companies. Under
NZ IAS 28, venture capital organisations and similar entities may elect to measure their investments in associate
companies at fair value through profit or loss in accordance with NZ IFRS 9.
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