increase of P123.44 million in debenture interest (other income) from P27.33 million in the previous year to P150.77 million in the year under review. The debenture interest was paid and accrued from the JTTM (a subsidiary of Botswana Railways). The organisation had a total comprehensive income of P76.44 million compared to a comprehensive loss of P15.52 million in the previous year. The improvement in the comprehensive income of P27.81 million from net profit of P48.62 million to a net comprehensive profit of P76.43 million was mainly due to amortisation of government grant of P27.81 million. 

Expenditure on the other hand decreased marginally by P20.35 million (4%) from P458.61 million in the previous year to P438.27 million in the year under review. 

The Group results showed a loss of P26.41 million in the year under review, compared to a profit of P16.46 million recorded in the previous year representing 260.5% decline in profit. The decline in the Group’s performance was mainly attributable to a reduction in total revenue from operations which was P420.86 million in the previous year, compared to P405.78 million in the year under review and a decrease in Other Income from P38.38 million in the previous year to P19.70 million in the year under review. The comprehensive income for the Group was P1.40 million for the year under review, compared to P44.06 million in the previous year. The increase in comprehensive income was mainly due to the amortisation of government grant of P27.81 million. 

Expenditure for the group had a marginal decrease of 3% from P498.48 million in the previous year to P482.69 million in the year under review. 

## 2.3 Working Capital 

As at 31 March 2018, the working capital position of the Botswana Railways Group showed current assets of P617.38 million and current liabilities of P218.66 million, resulting in a net current assets position of P398.71 million. The working capital position of BR showed current assets of P549.44 million and current liabilities of P201.77 million, resulting in a net current assets position of P347.67 million. 

## 3.0 Management Letter 

The following were some of the matters I had raised and the management responses thereto: 

