Company: ARBK
Filing Date: 2025-04-22
Form Type: 20-F/A
Source: 0001104659-25-037403
Chunk: 45

Company: Argo Blockchain Plc
Filing Date: 2025-04-22
Form: 20-F/A
Chunk 45
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    |   | ​             |   | Effect on profit |   | Effect on pre- |
| ​    | ​ | Change in CAD | ​ | before tax       | ​ | tax equity     |
| ​    | ​ | rate          | ​ | $’000            | ​ | $’000          |
| 2023 |   | +/-10         | % | +/-274           |   | —              |
| ​    | ​ | ​             | ​ | ​                | ​ | ​              |
| ​    | ​ | ​             | ​ | ​                | ​ | ​              |
| 2022 |   | +/-10         | % | +/-1,384         |   | +/-3,208       |

Interest rate sensitivity

The following table demonstrates the sensitivity to a reasonable possible change in interest rates on the portion of the loans and borrowings affected. With other variables held constant, the impact on the Group’s profit before tax is affected through the impact on floating rate borrowings, as follows.

| ​    | ​ | ​                 | ​ | ​                 |
| ​    |   | ​                 |   | Effect on         |
| ​    | ​ | Increase/decrease | ​ | profit before tax |
| ​    | ​ | in basis points   | ​ | $’000             |
| 2023 | ​ | +/-180            | ​ | +/-464            |
| ​    | ​ | ​                 | ​ | ​                 |
| ​    | ​ | ​                 | ​ | ​                 |
| 2022 |   | +/-180            | ​ | +/-665            |

Credit risk

Credit risk arises from cash and cash equivalents as well as any outstanding receivables. Management does not expect any losses from non-performance of these receivables. The amount of exposure to any individual counter party is subject to a limit, which is assessed by the Board.

The Group considers the credit risk on cash and cash equivalents to be limited because the counterparties are banks with high credit ratings assigned by international credit rating agencies.

The carrying amount of financial assets recorded in the financial statements represents the Group’s and Company’s maximum exposure to credit risk. The Group and Company do not hold any collateral or other credit enhancements to cover this credit risk.

Liquidity risk

Liquidity risk arises from the Group’s management of working capital. It is the risk that the Group will encounter difficulty in meeting its financial obligations as they fall due.

Management updates cashflow projections on a