Note 20
Equity
GROUP
Other contributed capital
Refers to equity contributed by shareholders.
| Group | ||
| Reserves 1) | 2018/2019 | 2017/2018 |
| Foreign currency translation reserve | ||
| Opening translation reserve | 87 | -25 |
| Translation effect for the year | 36 | 112 |
| Closing translation reserve | 123 | 87 |
| Closing hedging reserve | 0 | 0 |
| Total reserves | 123 | 87 |
| 1) Refers to reserves attributable to equity holders of the Parent Company. | ||
Translation reserve
The translation reserve includes all exchange differences arising on the translation of the financial reports of foreign operations prepared in a currency other than the Group’s presentation currency for financial re-ports. The Parent Company and Group present their financial reports in Swedish kronor (SEK).
Hedging reserve
The hedging reserve includes the effective portion of the accumulated net change in fair value for a cash-flow hedging instrument attributable to hedge transactions that have not yet occurred.
Retained earnings, including profit for the year
Retained earnings including profit for the year include earnings in the Parent Company and its subsidiaries. Prior provisions to the legal re-serve are included in this equity item.
Repurchased shares
Repurchased shares includes the cost of treasury shares held by the Parent Company. At the end of the reporting period, the Group’s holding of treasury shares was 1,141,387 (1,206,145).
Dividend
After the reporting period, the Board of Directors proposed a dividend of SEK 5.00 per share. The dividend is subject to approval by the Annual General Meeting on 29 August 2019.
| Proposed allocation of earnings 2017/2018 | |
| Retained earnings | 491 SEKm |
| Profit for the year | 181 SEKm |
| 672 SEKm | |
| The Board of Directors and the CEO propose that the funds available for distribution be allocated as follows: | |
| A dividend paid to shareholders of SEK 4.00 per share 1) | 268 SEKm |
| To be carried forward | 404 SEKm |
| 672 SEKm | |
| 1) Based on the number of shares outstanding at 31 May 2018. The total dividend payout may change if the number of treasury shares repurchased changes prior to the proposed dividend record date of 3 September 2018. | |
PARENT COMPANY
Restricted reserves
Restricted reserves are funds that cannot be paid out as dividends.
Statutory reserve
The purpose of the statutory reserve is to save a portion of net profit that will not be used to cover a loss carried forward.
Retained earnings
Retained earnings comprises the previous year’s unrestricted equity, less any dividend paid. Together with profit for the year and any fair value reserve, retained earnings constitute the sum of unrestricted equity, that is, the amount available to be paid as dividends to shareholders.
Number of shares
The number of shares at 31 March 2019 consisted of 3,229,500 Class A shares, entitling the holders to 10 votes per share, and 64,968,996 Class B shares, entitling the holders to one vote per share. The quotient value of the share is SEK 0.75. The Company has repurchased 1,141,387 Class B shares within the framework of the Company’s ongoing repurchasing programme. After subtracting repurchased shares, the number of Class B shares is 63,827,609.
| Number of shares outstanding 2019-03-31 | Class A shares | Class B shares | All share classes |
| At start of year | 3,229,500 | 63,762,851 | 66,992,351 |
| Exercised call options | – | 264,758 | 264,758 |
| Repurchase of treasury shares | – | -200,000 | -200,000 |
| Conversion of Class A shares to Class B shares | – | – | – |
| At year-end | 3,229,500 | 63,827,609 | 67,057,109 |
| Number of shares outstanding 2018-03-31 | Class A shares | Class B shares | All share classes |
| At start of year | 3,237,564 | 63,586,211 | 66,823,775 |
| Exercised call options | – | 368,576 | 368,576 |
| Repurchase of treasury shares | – | -200,000 | -200,000 |
| Conversion of Class A shares to Class B shares | -8064 | 8,064 | – |
| At year-end | 3,229,500 | 63,762,851 | 66,992,351 |