RAND WATER ANNUAL REPORT 2023

Consolidated Annual Financial Statements for the year ended 30 June 2023

Notes to the Consolidated Annual Financial Statements 42. Financial instruments (Continued)

Cash flow sensitivity analysis for variable rate instruments The Group has used a sensitivity analysis technique that measures the estimated change to profit or loss of an instantaneous increase or decrease of 0.5% ‑ 1.5% (50‑150 basis points) in market interest rates, at the reporting date.

The sensitivity analysis below reflects the interest rate impact on the finance income and finance cost at 30 June 2023. This analysis assumes that other variables remain constant.

Figures in Rand thousand Group 30 June 2023 Financial assets Financial liabilities Figures in Rand thousand Group 30 June 2022 Financial assets Financial liabilities Figures in Rand thousand Rand Water 30 June 2023 Financial assets Financial liabilities Figures in Rand thousand Rand Water 30 June 2022 Financial assets Financial liabilities

Income/(Cost)

Equity

Increase of 1.5%

Increase of 0.5%

Decrease of 0.5%

Decrease of 1.5%

Increase of 1.5%

Increase of 0.5%

Decrease of 0.5%

Decrease of 1.5%

64 320 21 440 (21 440)

(64 320)

64 320 21 440 (21 440)

(64 320)

(8 790)

(2 930)

2 930

8 790 (8 790)

(2 930)

2 930

8 790

55 530 18 510 (18 510)

(55 530)

55 530 18 510 (18 510)

(55 530)

Income/(Cost)

Equity

Increase of 1.5%

Increase of 0.5%

Decrease of 0.5%

Decrease of 1.5%

Increase of 1.5%

Increase of 0.5%

Decrease of 0.5%

Decrease of 1.5%

53 113 17 704 (17 704)

(53 113)

53 113 17 704 (17 704)

(53 113)

(8 790)

(2 930)

2 930

8 790

8790 (2 930)

2 930

8 790

44 323 14 774 (14 774)

(44 323)

44 327 14 774 (14 774)

(44 323)

Income/(Cost)

Equity

Increase of 1.5%

Increase of 0.5%

Decrease of 0.5%

Decrease of 1.5%

Increase of 1.5%

Increase of 0.5%

Decrease of 0.5%

Decrease of 1.5%

64 133 (8 790)

21 378 (21 378)

(64 133)

64 133 (8 790)

21 378 (21 378) (64 133)

(2 930)

2 930

8 790

(2 930)

8 790

2 930

55 343 18 448 (18 448)

(55 343)

55 343 18 448 (12 588) (61 203)

Income/(Cost)

Equity

Increase of 1.5%

Increase of 0.5%

Decrease of 0.5%

Decrease of 1.5%

Increase of 1.5%

Increase of 0.5%

Decrease of 0.5%

Decrease of 1.5%

52 960 (8 790)

17 653 (17 653)

(52 960)

51 960 (8 790)

17 653 (17 653) (52 960)

(2 930)

2 930

8 790

(2 930)

2 930

8 790

44 170 14 723 (14 723)

(44 170)

43 170 14 723 (14 723) (44 170)

312