Relatório de Gestão
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specifically from long term loans. The fixed rate loans
expose the Group to the risk of the fair value related to
the interest rate. With the current level of the interest
rates, the Group’s policy, regarding long term financing,
is to totally or partially setting of the interest rates.Ibersol
made use of operations to hedge the interest rate risk
of 30% of the loans granted.
Credit Risk
Themain activity of the Group is performed through sell-
ing’s’ paid in cash or credit/debit card, hence the Group
has no relevant credit risk concentrations. However, due
to the increased sales in the catering business, with a
significant part of its sales on credit, the Group started to
trackmore regularly the accounts receivable, aiming to:
i) limit the amount of credit granted to the customers
ii) analyse the age and recoverability of the amounts
receivable
iii) analyse the customers’ risk profile.
Liquidity Risk
As stated earlier, the current situation of financial mar-
kets hasmade liquidity riskmore important. Systematic
financial planning based on cash flow forecasting for
more than one scenario and for periods longer than a
year has become obligatory in the Group. Short-term
cash is supported in annual planning, which is revised
quarterly and adjusted daily. Associated to dynamics of
the subjacent businesses, the Group’s cash position has
been governed by flexiblemanagement of commercial
paper and the negotiation of available credit lines at
all times. The policy of open dialogue with all financial
partners has enabled a relationship with a high degree
of trust. The Group favoured the financing lines that
have already been contracted and are seldom used, to
the detriment of cost.
Capital Risk
The corporation makes efforts to maintain an equity
capital level adequate to the characteristics of themain
business (cash sales and supplier credit) and to assure
continuity and expansion. The balance of the capital
structure is tracked based on the financial leverage ratio
(defined as: net remunerated debt / (net remunerated
debt + own capital)) with the purpose of situating it in
the 35%-70%bracket. As aprecautionarymeasure, given
the current constraints in themarkets, for 2014 we have
registered a ratio of 17%.
Environmental
This risk area is coordinated by the Quality Department
and its main activity is the implementation of policy
deriving from Ibersol’s sustainability principles, so that
processes and procedures are guaranteed across the
company, specifically regarding the promotion of re-
sponsible and proactive behaviour when managing
resources and waste.
The training plans ensure that teams knowhow to ration-
ally manage water and electric power, and to recycle
used materials and cooking oils.
