Ferrovial S.A. – Annual report – 31 December 2022
Industry: construction
4.3. SHORT-TERM TRADE AND OTHER PAYABLES (extract)
Set out below is a breakdown of this heading at 31 December 2022 and 2021:
a) Trade payables
Set out below is a breakdown of trade payables at 31 December 2022 and 2021:
Trade payables increased by EUR 120 million compared to the balance recognized at 31 December 2021. Excluding the foreign exchange effect and scope changes, trade payables grew by EUR 112 million, primarily in the Construction Division (EUR 78 million), including most notably activity in the US and Canada.
Trade payables pending payment to suppliers under reverse factoring arrangements (Note 1.3.3.3 on accounting policies) increased by EUR 8 million compared to the balance at 31 December 2021.
Group management considers that the carrying amount of trade receivables approximates fair value.
1.3.3.3. Other balance sheet and income statement items (extract)
Trade payables
The heading “Trade payables” includes balances payable to suppliers under reverse factoring arrangements with banks.
These balances are classified as trade payables and the related payments as cash flows from operating activities, since the payments are made to the banks on the same terms agreed with the suppliers. The company required to make payment to the supplier does not arrange an extension with the banks beyond the due dates agreed with the suppliers and there are no special guarantees securing the payments to be made.
Accounts examples 