the Group and the Company may adjust the amount of dividends paid to shareholders, issue new shares or return capital to shareholders. In order to be consistent with industry norms, the Group and the Company monitor its capital structure on the basis of the gearing ratio. This ratio is calculated as total borrowings divided by capital employed. T otal borrowings include non-current borrowings and current borrowings as shown in the consolidated statement of financial position. Capital employed is the summation of total equity and total borrowings. NOTES TO THE FINANCIAL STATEMENTS 31 December 2023 FINANCIAL STATEMENTS Sec 5 337 46 CAPITAL RISK MANAGEMENT (CONTINUED) The gearing ratios are as follows: Group Company 2023 RM’million 2022 RM’million 2023 RM’million 2022 RM’million T otal borrowings (Note 26) 61,770.2 63,882.2 29,678.1 36,231.9T otal equity 61,082.7 60,966.2 46,415.0 46,410.7 T otal capital employed 122,852.9 124,848.4 76,093.1 82,642.6 Gearing ratios 0.50 0.51 0.39 0.44 The Group and the Company have met all externally imposed capital requirements. 47 RESTATEMENT (a) Financial assets at FVOCI During the year, the Group and the Company changed the presentation of the fair value changes of financial assets measured at FVOCI as ‘Items that will not be reclassified subsequently to profit or loss’ within the statements of comprehensive income from ‘Items that maybe reclassified subsequently to profit or loss’ previously. There is no change to OCI or total comprehensive income for the Group and the Company. (b) Reclassification for deposits maturing more than 90 days The Group also changed the classification of the cash flows relating to placements and withdrawals of deposits maturing more than 90 days from the date of acquisition. These cash flows are separately classified as ‘Cash Flows from Investing Activities’ in the consolidated statement of cash flows. They were previously classified as ‘Cash Flows from Financing Activities’. The change had no impact on the net decrease in cash and cash equivalents