HKSI Institute AR2023

57 HKSI Institute Annual Report 2023 for the year ended 31 March 2023 (Expressed in Hong Kong dollars) CONSOLIDATED CASH FLOW STATEMENT Note 2023 2022 Deficit before taxation $ (385,673) $ (1,478,344) Adjustments for: Interest income (345,086) (79,271) Interest expenses 1,306,637 317,228 Depreciation 9 6,325,015 7,514,154 Loss on disposal of property, plant and equipment 9 190,915 – Operating cash flow before changes in working capital $ 7,091,808 $ 6,273,767 Decrease/(increase) in deposits, prepayments and other receivables 5,854,655 (5,525,761) (Decrease)/increase in accruals and other payables (1,242,472) 749,010 (Decrease)/increase in deferred income (3,529,105) 2,888,718 Decrease/(increase) in restricted cash balances 3,081,765 (384,231) (Decrease)/increase in provisions (650,000) 1,993,000 (Decrease)/increase in amount due to the government of the Hong Kong Special Administrative Region (2,838,327) 502,407 Tax paid (23,668) (196,853) Net cash generated from operating activities $ 7,744,656 $ 6,496,910 Investing activities Interest received $ 345,086 $ 79,271 Payment for purchase of property, plant and equipment (7,905,323) (24,728) Net proceed from/(payment for) time deposits with bank 2,744,868 (60,507) Net cash used in investing activities $ (4,815,369) $ (5,964) Financing activities Interest element of lease rentals paid 12 $ (1,306,637) $ (317,228) Capital element of lease rentals paid 12 (3,152,369) (8,330,728) Net cash used in financing activities $ (4,459,006) $ (8,647,956) Net decrease in cash and cash equivalents $ (1,529,719) $ (2,353,863) Cash and cash equivalents at 1 April 13,125,950 15,345,364 Effect of foreign exchange rate changes (379,507) 134,449 Cash and cash equivalents at 31 March 12 $ 11,216,724 $ 13,125,950 The notes on pages 58 to 78 form part of these financial statements.