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Hyprop Investments Limited
Integrated annual report and consolidated financial statements
2017
Value added
statement
for the year ended 30 June 2017
Stakeholder
engagement
Engaging with stakeholders (employees, investors, financiers, local communities, tenants and suppliers) is a critical part of our business strategy. We
determine their needs and respond appropriately.
The board and executive team monitor and ensure that all communication to stakeholders is transparent, true and complies with JSE Listings Requirements,
where relevant. Management’s goal is to ensure that stakeholders have relevant information to accurately assess our performance and prospects. The board
considers the legitimate interests and expectations of stakeholders in its decision making.
Approach
■■
The company’s reputation hinges on its relationship with its stakeholders. The process for identifying and considering the legitimate interests and expectations
of stakeholders is reviewed at least once a year by the board
■■
The board oversees the establishment of mechanisms and processes that support stakeholders as appropriate, in constructively engaging with the company
■■
Stakeholders who could materially affect Hyprop’s operations are identified, assessed and engaged with as part of the risk management process
■■
The board has adopted guidelines that support a responsible communication programme
■■
Complete, timely, relevant, accurate, honest and accessible information is provided to stakeholders, as appropriate, while considering legal and strategic issues
■■
All holders of the same class of shares are treated equally
■■
The board ensures that minority shareholders are protected. The integrated report discloses the nature of the company’s dealings with stakeholders and the
outcomes of these dealings
■■
Ensure the safety and security of shoppers/tenants/employees, as far as possible. Operationally, this is the responsibility of each centre’s management team
and service providers
■■
Engage with analysts, tenants, financiers, regulators and local communities on risks and possible mitigation
■■
Engage with local communities to enhance corporate social investment
■■
Steady improvement in broad-based black economic empowerment (BBBEE) and employment equity
■■
Ensure that a succession plan for senior management is in place.
Principle 5&16
Value added is a measure of the wealth created by the group and its employees through its business activities. The table below sets out the value added and
how it was shared.
12 months to
June 2017
Rm
12 months to
June 2016
Rm
Income from:
2 838
2 658
South Africa property portfolio
2 679
2 549
Sub-Saharan Africa
57
84
South-Eastern Europe
102
25
Other income
37
7
Fund management expenses
(67)
(64)
Antecedent dividend
17
Total value created
2 808
2 618
%
of total
%
of total
Value distribution
To employees
Remuneration and benefits
144
5,1
127
4,9
To providers of finance
Net finance costs
321
11,5
394
15,1
To government
Municipal charges
618
22,0
573
21,9
To providers of capital
Distribution to shareholders
1 725
61,4
1 522
58,1
Total value distributed
2 808
2 618