kAThMANdu  annual report 2012 45 6  RECONCILIATION OF NET PROFIT AFTER TAXATION WITh CASh INFLOW FROM OPERATING ACTIVITIES Group pArent 2012 nZ$’000 2011 nZ$’000 2012 nZ$’000 2011 nZ$’000 Profit after taxation  34,852 39,066 18,281 18,416 Movement in working capital: (Increase) / decrease in trade and other receivables (1,130) 1,564 (69) (11) (Increase) / decrease in inventories (18,473) (16,585) - - Increase / (decrease) in trade and other payables 7,887 4,121 6 (26) Increase / (decrease) in tax liability (558) 2,369 101 (3,213) (12,274) (8,531) 38 (3,250) Add non cash items: Depreciation 7,932 6,553 - - Amortisation of intangibles 1,599 862 - - Revaluation of derivative financial instruments (1,131) 913 - - (Increase) / decrease in deferred taxation 288 5 - 445 Employee share based remuneration 371 379 371 379 Loss on sale of property, plant and equipment 891 527 - - 9,950 9,239 371 824 Items classified as financing activities: Intercompany financing - - - (342) Cash inflow from operating activities 32,528 39,774 18,690 15,648