Vodafone 2013 Annual Report Download - page 118

14. Investments in joint ventures
We hold interests in several joint ventures that are companies where we share control with one or more third
parties, with our business in Italy being the most signicant. The principal joint ventures at 31 March 2013,
as well as their impact on the Group’s consolidated nancial statements, are shown below. We record our share
of results, assets, liabilities and cash ows on a line by line basis in Group’s nancial statements.
Unless otherwise stated the Company’s principal joint ventures all have share capital consisting solely of ordinary shares, which are indirectly held,
and the country of incorporation or registration is also their principal place of operation.
Name Principal activity
Country
of incorporation
or registration
Percentage1
shareholdings
Indus Towers Limited Network infrastructure India 35.52
Vodafone Hutchison Australia Pty Limited3Network operator Australia 50.0 
Vodafone Fiji Limited Network operator Fiji 49.04
Cornerstone Telecommunications Infrastructure Limited Network infrastructure UK 50.0
Vodafone Omnitel N.V.5Network operator Netherlands 76.96
Notes:
1 Effective ownership percentages of Vodafone Group Plc at 31 March 2013, rounded to the nearest tenth of one percent.
2 42% of Indus Towers Limited is held by Vodafone India Limited (‘VIL’) in which, as discussed in note A8, footnote 5, the Group had a 64.4% interest through wholly-owned subsidiaries and a further 20.1% indirectly through less
than 50% owned entities.
3 Vodafone Hutchison Australia Pty Limited has a year end of 31 December.
4 The Group holds substantive participating rights which provide it with a veto over the signicant nancial and operating policies of Vodafone Fiji Limited and which ensure it is able to exercise joint control over Vodafone Fiji
Limited with the majority shareholder.
5 The principal place of operation of Vodafone Omnitel N.V. is Italy.
6 The Group considered the existence of substantive participating rights held by the non-controlling shareholder provide that shareholder with a veto right over the signicant nancial and operating policies of Vodafone
Omnitel N.V., and determined that, as a result of these rights, the Group does not have control over the nancial and operating policies of Vodafone Omnitel N.V., despite the Group’s 76.9% ownership interest.
Effect of proportionate consolidation of joint ventures
The following table presents, on a condensed basis, the effect on the consolidated nancial statements of including joint ventures using
proportionate consolidation. The results of Polkomtel are included until its disposal on 9 November 2011.
2013 2012 2011
£m £m £m
Revenue 6,431 7,436 7,849
Cost of sales (3,976) (4,483) (4,200)
Gross prot 2,455 2,953 3,649
Selling, distribution and administrative expenses (1,459) (1,231) (1,624)
Impairment losses (4,500) (2,450) (1,050)
Other income and expense (3) 296 –
Operating (loss)/prot (3,507) (432) 975
Net nancing costs (137) (141) (146)
(Loss)/prot before tax (3,644) (573) 829
Income tax expense (374) (552) (608)
(Loss)/prot for the nancial year (4,018) (1,125) 221
2013 2012
£m £m
Non-current assets 11, 0 41 15,707
Current assets 1,733 911 
Total assets 12,774 16,618
Total shareholders’ funds and total equity 8,246 12,574
Non-current liabilities 1,595 1,721
Current liabilities 2,933 2,323
Total liabilities 4,528 4,044
Total equity and liabilities 12,774 16,618
Notes to the consolidated nancial statements (continued)
116 Vodafone Group Plc
Annual Report 2013