McConnell Dowell 2019 Annual Review

88 McConnell Dowell Group Notes to the annual financial statements (continued) for the year ended 30 June 2019 All figures are in A$ 000’s Note 2019 2018 24. Reserves Foreign currency translation reserve At beginning of year (1,368) (4,389) Current year movement 3,733 2,579 Current year tax (expense) / benefit recognised directly in equity - 442 At end of year 24(a) 2,365 (1,368) Asset revaluation reserve At beginning of year 385 385 Current year movement - - At end of year 24(b) 385 385 Capital reserve At beginning of year 2,811 2,811 Current year movement - - At end of year 24(c) 2,811 2,811 Total reserves at end of year 5,561 1,828 25. Retained earnings At beginning of year (86,652) (94,458) Current year profit / (loss) 7,946 7,806 Adjustment on adoption of AASB 15 * 25(a) (25,615) 0 Total retained earnings at end of year (104,321) (86,652) * 25(a) R efer to further details of the impact in the ‘New Accounting Standards and Interpretations’ section of Note 1. 24(a) The foreign currency translation reserve is used to translate the assets and liabilities of foreign controlled entities into Australian dollars at rates of exchange ruling at the reporting date. 24(b) The asset revaluation reserve represents the amount above original cost of land and buildings. 24(c) The capital reserve is used to meet certain statutory obligations of setting up new subsidiaries in foreign jurisdictions. Consolidated Financial Statements 2019