Doggerbank Seefischerei GmbH

Bremerhaven

Befreiender Konzernabschluss zum Geschäftsjahr vom 01.01.2022 bis zum 31.12.2022

PP Groep Katwijk B.V.

Katwijk/Niederlande

Table of contents

Directors' report

Directors' report

Consolidated financial statements

Consolidated balance sheet as at 31 December 2022

Consolidated profit and loss account for the year 2022

Consolidated cash flow statement for the year 2022

Notes to the consolidated financial statements

Notes to the consolidated balance sheet

Notes to the consolidated profit and loss account

Other notes

Company-only financial statements

Company-only balance sheet as at 31 December 2022

Company-only profit and loss account for the year 2022

Notes to the company-only financial statements

Notes to the company-only balance sheet

Notes to the company-only profit and loss account

Other notes

Other information

Provisions of the Articles of Association relating to profit appropriation

Independent auditor's report

Directors' report

The directors' report is available for inspection at the company's office.

Consolidated financial statements

Consolidated balance sheet as at 31 December 2022

(After appropriation of result)

Assets

		31-12-2022		31-12-2021
	x 1,000	EUR	EUR	EUR	EUR
Fixed assets
Intangible assets	1		89.873		83.395
Property, plant and equipment	2		445.245		439.871
Financial assets	3		78.086		72.348
Current assets
Inventories	4		421.216		372.104
Receivables	5		272.758		245.330
Cash and cash equivalents	6		87.294		121.279
Total assets			1.394.472		1.334.327

Equity and liabilities

		31-12-2022		31-12-2021
x 1,000		EUR	EUR	EUR	EUR
Group equity	7
Equity		640.434		596.636
Minority interest in group company		26.643		27.227
			667.077		623.863
Provisions	8		69.821		73.219
Non-current liabilities	9		167.720		183.609
Current liabilities	10		489.854		453.636
Total equity and liabilities			1.394.472		1.334.327

Consolidated profit and loss account for the year 2022

		2022		2021
		EUR	EUR	EUR	EUR
x 1,000
Net turnover	11	1.632.782		1.467.628
Cost of goods sold		-812.561		-746.538
Gross margin		820.221		721.090
Other operating income	12	14.492		12.725
Operating income			834.713		733.815
Wages and salaries	13	223.625		208.496
Social security charges	14	23.750		23.218
Pension contributions	15	1.693		6.408
Depreciation of intangible and tangible fixed assets	16	64.541		65.989
Release of negative goodwill		-3.634		-5.983
Other operating expenses	17	451.667		337.801
Total of sum of expenses			761.642		635.929
Total of operating result			73.071		97.886
Financial income and expense	18		-4.889		875
Total of result of activities before tax			68.182		98.761
Income tax expense	19		-26.660		-27.854
			41.522		70.907
Share in result of participations			2.805		1.161
Total of result of activities after tax			44.327		72.068
Result third-party share	20		3.457		-1.895
Total of result after tax			47.784		70.173

Consolidated cash flow statement for the year 2022

		2022		2021
x 1,000		EUR	EUR	EUR	EUR
Total of cash flows from (used in) operating activities
Operating result			73.071		97.886
Adjustments for
Depreciation	16		63.372		60.755
Increase (decrease) in provisions	8		-5.097		-3.936
Changes in working capital
Decrease (increase) in inventories	4	-49.112		-18.698
Movements receivables	5	-27.428		-22.753
Increase (decrease) in other payables	10	-19.912		9.068
			-96.452		-32.383
Total of cash flows from (used in) operations
			34.894		122.322
Interest received		1.994		13.691
Interest paid		-10.563		-12.816
Income tax paid	19	-24.255		-32.773
			-32.824		-31.898
Total of cash flows from (used in) operating activities (transport)			2.070		90.424

		2022		2021
		EUR	EUR	EUR	EUR
x 1,000
Carry forward			2.070		90.424
Total of cash flows from (used in) investment activities
Purchase of intangible assets	1	-22.510		-516
Purchase of property, plant and equipment		-65.204		-82.826
Purchase of financial fixed assets		3.297		-11.282
Acquisition of group companies	3	-11.500		-11.472
Proceeds from sales of property, plant and equipment		7.883		749
Proceeds in financial fixed assets		-		8.347
Proceeds from sales of financial assets	3	1.810		-
Total of cash flows from (used in) investment activities
			-86.224		-97.000
Total of cash flows from (used in) financing activities
Dividend paid		-		-20.000
Proceeds from borrowings		35.469		28.933
Repayments from borrowings		-27.765		-36.835
Increase (decrease) in payables to credit institutions	10	40.323		7.105
Total of cash flows from (used in) financing activities			48.027		-20.797
Net cash flow			-36.127		-27.373
Exchange rate and translation differences on cash			2.142		-1.083
Total of increase (decrease) in cash and cash equivalents			-33.985		-28.456

	2022	2021
	EUR	EUR
Movement in cash and cash equivalents
Cash and cash equivalents at the beginning of the period	121.279	149.735
Increase (decrease) cash and cash equivalents	-33.985	-28.456
Cash and cash equivalents at the end of the period	87.294	121.279

Notes to the consolidated financial statements

Entity information

Registered address and registration number trade register

The actual address of PP Groep Katwijk B.V. is Voorschoterweg 31, 2235 SE in Valkenburg ZH, the registered office of the legal entity is Katwijk. PP Groep Katwijk B.V. is registered at the Chamber of Commerce under number 28042057.

General notes

The most important activities of the entity

The operations of PP Groep Katwijk B.V. and its group companies ("the Group") consists mainly of catching, producing and trading in pelagic and demersal fish and sea products.

Sales take place both domestically and internationally, whereby countries outside of the European Union are the most important markets.

Going concern

Disclosure of going concern

The accounting principles applied to the valuation of assets and liabilities and the determination of results in the financial report are based on the assumption of going concern of the company.

Group structure

Disclosure of group structure

PP Groep Katwijk B.V., Voorschoterweg 31 in Valkenburg, The Netherlands is the ultimate parent company of the group.

Estimates

Disclosure of estimates

In applying the principles and policies for drawing up the financial statements, the directors of PP Groep Katwijk B.V. make different estimates and judgments that may be essential to the amounts disclosed in the financial statements. If it is necessary in order to provide the transparency required under Book 2, article 362, paragraph 1, the nature of these estimates and judgments, including related assumptions, is disclosed in the notes to the relevant financial statement item.

Consolidation

Disclosure of consolidation

The consolidation includes the financial information of PP Groep Katwijk B.V., its group companies and other entities in which it exercises control or whose central management it conducts. Group companies are entities in which PP Groep Katwijk B.V. exercises direct or indirect control based on a shareholding of more than one half of the voting rights, or whose financial and operating policies it otherwise has the power to govern. Potential voting rights that can directly be exercised at the balance sheet date are also taken into account.

Group companies and other entities in which PP Groep Katwijk B.V. exercises control or whose central management it conducts are consolidated in full. Minority interests in group equity and group profit are disclosed separately.

Investments in joint ventures are consolidated proportionately. An entity qualifies as a joint venture if its participants jointly exercise control under a collaborative agreement.

Intercompany transactions, profits and balances among group companies and other consolidated entities are eliminated. Unrealized losses on intercompany transactions are eliminated as well, unless such a loss qualifies as an impairment. The accounting policies of group companies and other consolidated entities have been changed where necessary, in order to align them to the prevailing group accounting policies.

The group companies UK Fisheries group, Platvis Holding group, Dutch Pelagic, Atlantex, Latvian Fishing Company group and Erwin Gooss group qualify as a joint venture. Control in the partnership firm is exercised jointly with the other partner. The relative share of PP Groep Katwijk B.V. in the assets, liabilities and result of these companies is proportionally recognized in the consolidation.

In the consolidation Cuxhavener Kuhlhaus GmbH is proportionally consolidated due to the joint venture of 50% at the level of Erwin Gooss GMBH. PP Groep Katwijk has an effective share of 25.9% in the company and joint control over the entity. The consolidation is of limited effect on the financial statements as a whole.

The consolidated companies are listed below:

―	P.P. Groep Katwijk B.V., Katwijk, The Netherlands (100.00%)
―	P.P. DS B.V., Katwijk, The Netherlands (100.00%)
―	Rederij Samenwerking 1 B.V., Katwijk, The Netherlands (100.00%)
―	Parlevliet & Van der Plas Beheer B.V., Katwijk, The Netherlands (100.00%)
―	Parlevliet & Van der Plas Vastgoed B.V., Katwijk, The Netherlands (100.00%)
―	Ouwehand Visverwerking B.V., Katwijk, The Netherlands (100.00%)
―	Frigo Umuiden 2000 B.V., Katwijk, The Netherlands (100.00%)
―	Parlevliet & Van der Plas Haringhandel B.V., Katwijk, The Netherlands (100.00%)
―	Sawad International B.V., Katwijk, The Netherlands (100.00%)
―	Tory B.V., Katwijk, The Netherlands (100.00%)
―	Silver Pit B.V., Katwijk, The Netherlands (100.00%)
―	Fladen Gronden B.V., Katwijk, The Netherlands (100.00%)
―	Kilda B.V.,Katwijk,The Netherlands (100.00%)
―	Rederij Samenwerking 2 B.V., Katwijk,The Netherlands (100.00%)
―	Vikingbank B.V., Katwijk, The Netherlands (100.00%)
―	Parlevliet & Van der Plas B.V., Katwijk, The Netherlands (100.00%)
―	Rona B.V., Katwijk, The Netherlands (100.00%)
―	Parlevliet & Van der Plas Faeroer B.V., Katwijk,The Netherlands (100.00%)
―	P.P. Frankrijk B.V., Katwijk, The Netherlands (100.00%)
―	Frozen Fish Trading Company B.V., Umuiden, The Netherlands (100.00%)
―	Dutch Pelagic B.V., Katwijk,The Netherlands (50.00%)
―	Flatfish Urk B.V., Urk, The Netherlands (100.00%)
―	Platvis Holding B.V., Edam, The Netherlands (50.00%)
―	Platvis Holland B.V., Edam, The Netherlands (50.00%)
―	Niwe Vastgoed B.V., Edam, The Netherlands (50.00%)
―	Platvis Vastgoed B.V., Edam, The Netherlands (50.00%)
―	Norpesca Holland B.V., Middelburg, The Netherlands (50.00%)
―	Eurobaltic Fishverarbeitungs GmbH, Sassnitz, Germany (100.00%)
―	Doggerbank Seefischerei GmbH, Bremerhaven, Germany (100.00%)
―	Oderbank Hochseefisherei GmbH, Sassnitz, Germany (100.00%)
―	Nordbank Hochseefischerei GmbH, Sassnitz, Germany (100.00%)
―	Ostbank Hochseefischerei GmbH, Sassnitz, Germany (100.00%)
―	Westbank Hochseefischerei GmbH, Sassnitz, Germany (100.00%)
―	Warnemunder Hochseefischerei GmbH, Sassnitz, Germany (100.00%)
―	P.P. Kuhlhaus GmbH, Bremerhaven, Germany (100.00%)
―	C.C.H. Bosch GmbH, Bremerhaven, Germany (100.00%)
―	Rockall GmbH, Sassnitz, Germany (100.00%)
―	Ocean Food Beteiligungs GmbH, Bremerhaven, Germany (100.00%)
―	Cuxhavener Kühlhaus GmbH, Germany, (25.91%)
―	Gooss Logistik GmbH, Cuxhaven, Germany (50.00%)
―	Best Harvest GmbH, Otterndorf, Germany (50.00%)
―	Mecklenburger Hochseefischerei GmbH, Sassnitz, Germany (100.00%)
―	Eurofrost GmbH, Bremerhaven, Germany (100.00%)
―	German Seafrozen Handelsgesellschaft GmbH, Bremerhaven, Germany (100.00%)
―	Deutsche See Holding GmbH, Bremerhaven, Germany (89.40%)
―	Deutsche See GmbH, Bremerhaven, Germany (94.00%)
―	UK Fisheries Limited, Hull, United Kingdom (50.00%)
―	Boydline Limited, Hull, United Kingdom (50.00%)
―	J. Marr Fisheries Limited, Hull, United Kingdom (50.00%)
―	Lionman Limited, Hull, United Kingdom (50.00%)
―	Marr Management Limited, Hull, United Kingdom (50.00%)
―	Swanella Limited, Hull, United Kingdom (50.00%)
―	Jacinta Limited, Hull, United Kingdom (50.00%)
―	Armana Limited, Hull, United Kingdom (50.00%)
―	Kirkella Limited, Hull, United Kingdom (50.00%)
―	Thornella Limited, Hull, United Kingdom (50.00%)
―	Euronor SAS, Boulogne, France (50.00%)
―	Euronor Distribution SAS, Boulogne, France (50.00%)
―	Hesselholt Fisk Eksport AS, Hanstholm, Denmark (50.00%)
―	Pequera Ancora S.L., Vigo, Spain (50.00%)
―	Absolutely Genuine Unipessoal LDA, Lissabon, Portugal (50.00%)
―	Naeraberg Holding AS, Oslo, Norway (100.00%)
―	Faroer Real Estate Limited, Kjollafjord, Faroer Islands (100.00%)
―	Sp/f P.P. Faroe Pelagic, Kjollafjord, Faroer Islands (100.00%)
―	P/f DWF, Kjollafjord, Faroer Islands (100.00%)
―	Atlantic Highsea Fishing Company UAB, Klaipeda, Lithuania (100.00%)
―	Balsola UAB, Klaipeda, Lithuania, (51%.00)
―	Baltlanta UAB, Klaipeda, Lithuania (51.00%)
―	SIA Latvian Fishing Company, Riga, Latvia (50.00%)
―	SIA Batterfisa, Riga, Latvia (50.00%)
―	P.P.C.C. B.V., Zoutkamp, The Netherlands (100.00%)
―	Vastgoed C.C. B.V., Zoutkamp, The Netherlands (100.00%)
―	Heiploeg Holding International B.V., Zoutkamp, The Netherlands (100.00%)
―	Noord Zuid Beheer International B.V., Zoutkamp, The Netherlands (100.00%)
―	Heitrans International B.V., Zoutkamp, The Netherlands (100.00%)
―	Heiploeg Seafood International B.V., Zoutkamp, The Netherlands (100.00%)
―	Heiploeg International B.V., Zoutkamp, The Netherlands (100.00%)
―	Goldfish International B.V., Zoutkamp, The Netherlands (100.00%)
―	Heiploeg Zuid-Amerika B.V., Zoutkamp, The Netherlands (100.00%)
―	Profish Food B.V., Twello, The Netherlands (100.00%)
―	Profish Deutschland GmbH, Gronau, Germany (100.00%)
―	TK Fish, Touane, Marocco (100.00%)
―	Nautica Nova N.V., Curacao, Curacao (100.00%)
―	Heiploeg Suriname N.V., Commewijne, Suriname (100.00%)
―	Neptune Fisheries, Commewijne, Suriname (100.00%)
―	St Lucia Shrimp Traders, St. Lucia, St Lucia (100.00%)
―	Noble House Seafoods Limited, St. Lucia, St Lucia (100.00%)
―	Heiploeg Seafood India Pvt Limited, Cochin, India (74.26%)
―	Büsumer Krabbenhandel GmbH, Büsum, Germany (100.00%)
―	Namoona N.V. Commewijne Suriname (100,00%)
―	Heiploeg Inc., Wilmington, United States of America (100.00%)
―	P.P. Thon S.A.S., Concarneau, France (100.00%)
―	Compagnie Francaise du Thon Oceanique S.A.S., Concarneau, France (100.00%)
―	Kersaint S.A.S., Concarneau, France (100.00%)
―	Aven Shipping Limited, Belize City. Belize (100.00%)
―	Industria Armatoriale Tonniera S.R.L., Milan , Italy (100.00%)
―	Sivcoge Industries, Abidjan, Ivory Coast (100.00%)
―	Arctic Navigations SP Z.O.O, Warschau, Poland, (50,00%)
―	Atlantex SP. Z.O.O., Warschau, Poland (50.00%)
―	Thunnus Overseas Group SAS,Paris, France (50.00%)
―	Thunnus Cote d'Ivoire Abidjan, Ivory Coast (50.00%)
―	SCI Thunnus, Dunkirk, France (50.00%)
―	Conserverie des Cing Oceans, Paris, France (50.00%)
―	Peche et Froid Ocean Indien, Antsiranana, Madagascar (50.00%)
―	Société des Conserves de Cote d'Ivoire, Abidjan Ivory Coast (49.95%)
―	Oceans Unlocked B.V. Eindhoven, The Netherlands (50,00%)
―	Seaflavours International B.V. Eindhoven, The Netherlands (50,00%)
―	Green Marine Farming B.V. Eindhoven, The Netherlands (50,00%)
―	Blue Wave Biotech B.V. Eindhoven, The Netherlands (50,00%)

Mergers and acquisitions

Disclosure of mergers and acquisitions

Identifiable assets acquired and liabilities assumed in a business combination are recognized in the consolidated financial statements from the acquisition date, being the moment that control can be exercised in the acquired company.

The acquisition price consists of the cash consideration, or equivalent, agreed for acquiring the company plus any directly attributable expenses. If the acquisition price exceeds the net amount of the fair value of the identifiable assets and liabilities, the excess is capitalized as goodwill under intangible assets.

If the acquisition price is lower than the net amount of the fair value of the identifiable assets and liabilities, the difference (i.e. negative goodwill) is disclosed under Non-current Liabilities. Entities continue to be consolidated until they are deconsolidated from the date that control ceases and if they are classified as groups held-for- disposal.

All acquisitions are accounted for conform the purchase accountingmethod.

General accounting principles

The accounting standards used to prepare the financial statements

The financial statements are prepared in accordance with the provisions of Title 9, Book 2 of the Dutch Civil Code and the firm pronouncements in the Dutch Accounting Standards, as published by the Dutch Accounting Standards Board ('Raad voor de Jaarverslaggeving').

Assets and liabilities are generally valued at historical cost, production cost or at fair value at the time of acquisition. If no specific valuation principle has been stated, valuation is at historical cost. In the balance sheet, income statement and the cash flow statement, references are made to the notes.

Changes in accounting policies

Disclosure of changes in accounting policies

The valuation principles and method of determining the result are the same as those used in the previous year, with the exception of the changes in accounting policies as set out in the relevant sections.

Foreign currency translation

Conversion of amounts denominated in foreign currency

The financial statements are presented in euros, which is the functional and presentation currency of PP Groep Katwijk B.V.

Basis of conversion and processing of exchange rate differences relating to foreign currency transactions for the balance sheet

Transactions in foreign currencies are stated in the financial statements at the exchange rate of the functional currency on the transaction date.

Monetary assets and liabilities in foreign currencies are converted to the closing rate of the functional currency on the balance sheet date. The translation differences resulting from settlement and conversion are credited or charged to the income statement, unless hedge-accounting is applied.

Non-monetary assets measured at historical cost in a foreign currency are converted at the exchange rate on the transaction date (historical rate).

Non-monetary assets valued at fair value in a foreign currency are converted at the exchange rate on the date on which the most recent fair value was determined.

Translation differences on intragroup long-term loans that effectively constitute an increase or decrease in net investments in a foreign operation are directly recognised in equity as a component of the legal reserve for translation differences.

Translation differences on foreign currency loans contracted to finance a net investment in a foreign operation are recognised in the legal reserve for currency translation differences if and when such loans effectively hedge the exchange rate exposure on that net investment in a foreign operation.

Group companies

Assets and liabilities of consolidated group companies with a functional currency different from the presentation currency are translated at the rate of exchange prevailing at the balance sheet date; income and expense are translated at average rates during the financial year. Goodwill and fair value adjustments arising on the acquisition of a foreign operation are treated as assets and liabilities of these subsidiaries and translated at the closing rate. Any resulting exchange differences are taken directly to the legal reserve for translation differences within equity.

Leases

Finance leases

The company has lease contracts whereby it retains substantially all the risks and rewards of ownership of these assets. These assets are recognised on the balance sheet upon commencement of the lease contract at the lower of the fair value of the asset or the discounted value of the minimum lease payments. The lease instalments to be paid are divided into a repayment and an interest portion, using the annuity method. The liabilities under the lease, excluding the interest payments, are included under long-term debts.

The interest component is included in the consolidated profit and loss account for the duration of the contract on the basis of a fixed interest percentage of the average remaining redemption component. The assets are depreciated over the remaining economic life or, if shorter, the duration of the contract.

Operating leases

The company has lease contracts whereby a large part of the risks and rewards associated with ownership are not for the benefit of or incurred by the company. The lease contracts are recognised as operational leasing. Lease payments are recorded on a straight-line basis, taking into account reimbursements received from the lessor, in the consolidated profit and loss account for the duration of the contract.

Financial instruments

Financial instruments

Securities included in financial and current assets are stated at fair value, if these are related to securities held for trading or if they relate to equity instruments not held for trading, as well as derivatives of which the underlying object is listed on a stock exchange. All other on-balance financial instruments are carried at (amortised) cost.

Current value of financial instruments

Fair value is the amount for which an asset could be exchanged, or a liability settled, between knowledgeable, willing parties in an arm's length transaction. If no fair value can be readily and reliably established, fair value is approximated by deriving it from the fair value of components or of a comparable financial instrument, or by approximating fair value using valuation models and valuation techniques. Valuation techniques include using recent arm's length market transactions between knowledgeable, willing parties, if available, reference to the current fair value of another instrument that is substantially the same, discounted cash flow analysis and/or option pricing models, making allowance for entityspecific inputs.

Derivatives are initially recognised in the balance sheet at fair value, the subsequent valuation of derivative financial instruments depends on whether or not the instrument is quoted in an open market. If the underlying object of the derivative financial instrument is listed on a stock exchange, it is valued at fair value. If the object is not quoted in an open market, it will be stated at cost or current value, if lower. Recognition of changes in the value of a derivative financial instrument is dependent on whether or not the instrument is designated as a hedging instrument to which hedge accounting is applied.

Hedge accounting

The company applies hedge accounting. At the time of entering into a hedging relationship, this is documented by the company. The company periodically establishes the effectiveness of the hedging relationship by means of a test. This can be done by comparing the critical characteristics of the hedging instrument with those of the hedged item and / or by comparing the change in fair value of the hedging instrument and the hedged item. If there is an indication of ineffectiveness, the company determines this possibly ineffective part by means of a quantitative ineffectiveness measurement.

When applying cost-price hedge accounting, the initial measurement and the determination of the result of the hedge instrument depend on the measurement principle of the hedged item.This means the following:

―	if the hedged item is measured in the balance sheet at cost, the derivative is also valued at cost;
―	as long as the hedged item in the cost-price hedge relationship is not yet recognized in the balance sheet, the hedge instrument is not revalued. This applies, for example, in the case of the hedge of the currency risk of a future transaction;
―	if the hedged item concerns a monetary item in foreign currency that is included in the balance sheet, the derivative, insofar as it contains currency elements, is also measured at the spot rate on the balance sheet date.
―	if the derivative contains currency elements, the difference between the spot rate that applies at the time the derivative is concluded and the forward rate at which the derivative will be settled is amortized over the term of the derivative.

The ineffective part of the hedge relationship is recognized directly in the profit and loss account.

Applying cost price hedge accounting is terminated if:

―	the hedge instrument expires or is sold, terminated or exercised;
―	the hedge no longer meets the conditions for hedge accounting.

The company also applies cost hedge accounting to forward exchange contracts to hedge its future purchases.

Fair value of financial instruments

Currency risk

PP Groep Katwijk B.V. operates in different regions (including outside the European Union). The currency risk for PP Groep Katwijk B.V. largely concerns positions and future transactions in US dollar, Danish Crones and Pounds Sterling. Management has determined, based on a risk assessment, that some of these currency risks need to be hedged. If decided, forward exchange contracts are used for this purpose. PP Groep Katwijk B.V. also incurs currency risk on the net investment in the UK-based operation. This risk is partly covered through borrowings denominated in pounds sterling.

Interest rate and cash flow risk

The Company incurs interest rate risk on interest bearing receivables (in particular those included in financial assets, securities and cash) and on interest bearing non-current and current liabilities (including borrowings).

Where floating-interest loans and receivables are concerned, PP Groep Katwijk B.V. incurs risk regarding future cash flows. In addition, PP Groep Katwijk B.V. incurs risks on fixed interest loans and receivables with respect to the fair value due to changes in the market rate of interest. No financial derivatives for interest rate risk are contracted with regard to the receivables.

Credit risk

PP Groep Katwijk B.V. does not have any significant concentrations of credit risk. Sales are made to customers that meet the Company's credit rating. Goods and services are sold subject to payment deadlines ranging between eight and 60 days. A different payment period may apply to major supplies, in which case additional securities are demanded, including guarantees.

Accounting principles

Accounting principles applied to the valuation of assets and liabilities

Intangible assets

Intangible fixed assets are stated at historical cost less amortisation. Impairments are taken into consideration; this is relevant in the event that the carrying amount of the asset (or of the cash-generating unit to which the asset belongs) is higher than its realisable value.

With regard to the determination as to whether an intangible fixed asset is subject to an impairment, please refer to relevant section.

Costs of acquisition of patents, trademarks and other rights

Costs of intangible assets other than those internally generated, including quotas and fishing licenses, are valued at acquisition cost and amortised on a straight-line basis over their estimated future useful lives, with a maximum of 20 years.

Costs of goodwill acquired from third party

Goodwill resulting from acquisitions is capitalised and amortised on a straight-line basis over the estimated economic life.

Negative goodwill is released in the income statement to the extent that charges and losses occur, where it is taken into account in the allocation of the acquisition and these charges and losses can be measured reliably. If expected charges and losses have not been taken into account, the negative goodwill is released based on the weighted average of the remaining life of the acquired amortisable assets. Insofar as the negative goodwill exceeds the fair value of the non-monetary assets identified, the surplus is recognised directly in the income statement.

Property, plant and equipment

Tangible fixed assets are valued at acquisition costs or production costs plus additional costs less straight-line depreciation based on the expected life, unless stated otherwise. Impairments expected on the balance sheet date are taken into account. Major maintenance is capitalized under tangle fixed assets.

Land and buildings

Land and buildings are valued at historical cost plus additional costs or production cost less straight-line depreciation based on the expected useful life. Land is not depreciated. Impairments expected on the balance sheet date are taken into account. With regard to the determination as to whether a tangible fixed asset is subject to an impairment, please refer to the relevant section.

For obligations to restore the asset after use (dismantling cost) a provision is recognised for the expected amount at the time of capitalisation. This amount is recognised as part of the carrying amount of the asset against which a provision is recognised for the full amount.

If land was purchased with buildings with the intention to demolish or remove these buildings and to construct new buildings any carrying amount of the buildings and any demolition costs should be included in the acquisition price of the land.

Machinery

Plant and equipment are valued at historical cost plus additional costs or production cost less straight-line depreciation based on the expected useful life and impairments expected.

Subsidies on investments will be deducted from the historical cost price or production cost of the assets to which the subsidies relate.

Financial assets

Participations, over which significant influence can be exercised, are valued according to the net asset value method. In the event that 20% or more of the voting rights can be exercised, it may be assumed that there is significant influence.

The net asset value is calculated in accordance with the accounting principles that apply for these financial statements; with regard to participations in which insufficient data is available for adopting these principles, the valuation principles of the respective participation are applied.

If the valuation of a participation based on the net asset value is negative, it will be stated at nil. If and insofar as PP Groep Katwijk B.V. can be held fully or partially liable for the debts of the participation, or has the firm intention of enabling the participation to settle its debts, a provision is recognised for this.

Newly acquired participations are initially recognised on the basis of the fair value of their identifiable assets and liabilities at the acquisition date. For subsequent valuations, the principles that apply for these financial statements are used, with the values upon their initial recognition as the basis.

The amount by which the carrying amount of the participation has changed since the previous financial statements as a result of the net result achieved by the participation is recognised in the consolidated profit and loss account.

Participations over which no significant influence can be exercised are valued at historical cost. The result represents the dividend declared in the reporting year, whereby dividend not distributed in cash is valued at fair value.

In the event of an impairment loss, valuation takes place at the recoverable amount; an impairment is recognised and charged to the consolidated profit and loss account.

Receivables recognised under financial fixed assets are initially valued at the fair value less transaction costs. These receivables are subsequently valued at amortised cost price, which is, in general, equal to the nominal value. For determining the value, any depreciation is taken into account.

Deferred tax assets are recognised for all deductible temporary differences between the value of the assets and liabilities under tax regulations on the one hand and the accounting policies used in these financial statements on the other, on the understanding that deferred tax assets are only recognised insofar as it is probable that future taxable profits will be available to offset the temporary differences and available tax losses.

The calculation of the deferred tax assets is based on the tax rates prevailing at the end of the reporting year or the rates applicable in future years, to the extent that they have already been enacted by law.

Deferred tax assets are valued at their nominal value.

Other financial assets

Other receivables presented under financial assets include issued loans and other receivables as well as purchased loans that will be held to their maturity date. These receivables are initially measured at fair value and subsequently carried at amortised cost. If loans are issued at a discount or premium, the discount or premium is recognised through profit or loss over the maturities of the loans using the effective interest method. Also transaction costs are included in the initial valuation and recognised through profit or loss as part of the effective interest method. Impairment losses are deducted from amortised cost and expensed in the income statement.

Impairment of non-current assets

On each balance sheet date, the company assesses whether there are any indications that a fixed asset may be subject to impairment. If there are such indications, the realisable value of the asset is determined. If it is not possible to determine the realisable value of the individual asset, the realisable value of the cash-generating unit to which the asset belongs is determined.

An impairment occurs when the carrying amount of an asset is higher than the realisable value; the realisable value is the higher of the fair value less cost to sell and the value in use. An impairment loss is directly recognised in the income statement while the carrying amount of the asset concerned is concurrently reduced.

The realisable value is initially based on a binding sale agreement; if there is no such agreement, the realisable value is determined based on the active market, whereby usually the prevailing bid price is taken as market price. The costs deducted in determining net realizable value are based on the estimated costs that are directly attributable to the sale and are necessary to realize the sale. For the determination of the value in use, an estimate is made of the future net cash flows in the event of continued use of the asset / cash-generating unit; these cash flows are discounted, based on a discount rate of 7.18%. The discount rate does not reflect risks already taken into account in future cash flows.

If it is established that an impairment that was recognised in the past no longer exists or has reduced, the increased carrying amount of the asset concerned is set no higher than the carrying amount that would have been determined if no impairment value adjustment for the asset concerned had been reported. An impairment of goodwill cannot be reversed.

The Company assesses at each balance sheet date whether there is objective evidence that a financial asset or a group of financial assets is impaired. If any such evidence exists, the impairment loss is determined and recognised in the income statement.

The amount of an impairment loss incurred on financial assets stated at amortised cost is measured as the difference between the asset's carrying amount and the present value of estimated future cash flows, discounted at the financial asset's original effective interest rate (i.e. the effective interest rate computed at initial recognition). If, in a subsequent period, the amount of the impairment loss decreases and the decrease can be related objectively to an event occurring after the impairment was recognised, the previously recognised impairment loss shall be reversed. The reversal shall not result in a carrying amount of the financial asset that exceeds what the amortised cost would have been had the impairment not been recognised at the date the impairment is reversed. The amount of the reversal shall be recognised through profit or loss.

If an impairment loss has been incurred on an investment in an equity instrument carried at cost, the amount of the impairment loss is measured as the difference between the carrying amount of the financial asset and the present value of estimated future cash flows discounted at the current market rate of return for a similar financial asset. The impairment loss shall be reversed only if the evidence of impairment is objectively shown to have been removed.

Inventories

Inventories (stocks) are valued at historical price or production cost based on the FIFO method (first in, first out) or lower realisable value.

The cost price consists of the historical cost or production cost and costs incurred in order to bring the stocks to their current location and current condition. The production cost includes direct labour and fixed and variable production overheads, taking into account the costs of the operations office, the maintenance department and internal logistics.

The realisable value of finished products and goods for resale is the estimated sales price less directly attributable sales costs. In determining the realisable value the obsolescence of the inventories is taken into account.

The realisable value of raw materials and consumables and work in progress (presented under raw materials and consumables) is derived from the estimated sales price of the finished products and goods for resale, taking into account the estimated costs of completion and the estimated costs that are necessary to realise the sale.

Receivables

Receivables are initially valued at the fair value of the consideration to be received. Receivables are subsequently valued at the amortised cost price. If there is no premium or discount and there are no transaction costs, the amortised cost price equals the nominal value of the accounts receivable. If payment of the receivable is postponed under an extended payment deadline, fair value is measured on the basis of the discounted value of the expected revenues. Interest gains are recognised using the effective interest method. Provisions for bad debts are deducted from the carrying amount of the receivable.

Cash and cash equivalents

Cash at banks and in hand represent cash in hand, bank balances and deposits with terms of less than twelve months. Overdrafts at banks are recognised as part of debts to lending institutions under current liabilities. Cash at banks and in hand is valued at nominal value.

Share in group equity not accrued to legal entity

Non-controlling interests in group equity are stated at the amount of the net interest in the net assets of group companies concerned.

Where the group company in question has an equity deficit, the negative value and any other losses are not allocated to the non-controlling interest, unless the non-controlling interest holders have a constructive obligation and are able to clear the losses. As soon as the group company manages to post an equity surplus, profits are allocated to the participating interest.

Provisions

Provisions are recognised for legally enforceable or constructive obligations that exist at the balance sheet date, and for which it is probable that an outflow of resources will be required and a reliable estimate can be made.

Provisions are measured at the best estimate of the amount that is necessary to settle the obligation as per the balance sheet date. Provisions for pension are valued on the basis of actuarial principles. The other provisions are carried at the nominal value of the expenditure that is expected to be necessary in order to settle the obligation, unless stated otherwise.

If obligations are expected to be reimbursed by a third party, such reimbursement is included as an asset in the balance sheet if it is probable that such reimbursement will be received when the obligation is settled.

Provision for tax liabilities

Deferred tax liabilities are recognised for temporary differences between the value of the assets and liabilities under tax regulations on the one hand and the book values applied in these financial statements on the other. The computation of the deferred tax liabilities is based on the tax rates prevailing at the end of the reporting year or the rates applicable in future years, to the extent that they have already been enacted by law.

Deferred income tax is provided on temporary differences arising on investments in group companies, associates and joint ventures, except where the timing of the reversal of the temporary difference is controlled by PP Groep Katwijk B.V. and it is probably that the temporary difference will not reverse in the foreseeable future.

Deferred tax balances are valued at nominal value.

Provisions for pension obligations

PP Groep Katwijk B.V. has a number of pension schemes for employees; these are financed by payments to the pension administrator. The premium payable is recorded as an expense in the consolidated profit and loss account.

The provision is stated based on actuarial valuation methods generally accepted in the Netherlands. The actuarial assumptions to be applied are based on AG-mortality (life) table, being the best estimate of the variables which determine the amount of the expenditure which is expected to be necessary to settle the liability. The expenditure is discounted at the current market interest rate, which is the market interest rate applicable to high quality corporate bonds.

Foreign pension plans

For foreign pension plans similar to the way in which the Dutch pension system is designed and operates, recognition and measurement of liabilities arising from these pension schemes are carried out in accordance with the valuation of the Dutch pension schemes.

For foreign pension schemes which are not similar to the way in which the Dutch pension system is designed and operates, a best estimate is made of the obligation as at the balance sheet date. The liability is determined using the Projected Unit Credit method, as used in IAS 19 and FAS 87/158.

Non-current liabilities

On initial recognition long-term debts are recognised at fair value. Transaction costs which can be directly attributed to the acquisition of the long-term debts are included in the initial recognition. After initial recognition long-term debts are recognised at the amortised cost price, being the amount received taking into account premiums or discounts and minus transaction costs. If there is no premium / discount or if there are no transaction costs, the amortised cost price is the same as the nominal value of the debt.

The difference between stated book value and the mature redemption value is accounted for as interest cost in the consolidated profit and loss account on the basis of the effective interest rate during the estimated term of the long-term debts.

Current liabilities

On initial recognition current liabilities are recognised at fair value. After initial recognition current liabilities are recognised at the amortised cost price, being the amount received taking into account premiums or discounts and minus transaction costs. This is usually the nominal value.

Accounting principles for the determination of the result

Accounting principles for determining the result

The result is the difference between the realisable value of the goods/services provided and the costs and other charges during the year. The results on transactions are recognised in the year in which they are realised.

Revenue recognition

Net turnover comprises the income from the supply of goods and services and after deduction of discounts and such like and of taxes levied on the turnover.

Net revenue

Net revenue comprises the income from the supply of goods and services after deduction of discounts and such like and of taxes levied on the turnover. Turnover from the sale of goods is recognized per performance obligation.

Revenue is recognised for the amount to which the legal entity expects to be entitled in exchange for the transfer of promised goods or services, i.e. the transaction price. This amount does not include amounts collected on behalf of third parties (including sales taxes). The transaction price consists of a fixed fee and variable consideration such as discounts and performance bonuses. Credit risk is not taken into account when determining the transaction price.

The determination of the transaction price is based on the assumption that the goods will be transferred in accordance with the relevant agreement and that this agreement will not be cancelled, extended or otherwise modified.

The effects of variable consideration are taken into account in determining the transaction price. These effects are based on an estimate of the fees. Such estimates are updated at the end of each financial year. Only variable fees that are unlikely to be reversed later on are taken into account.

Revenue is recognised for each separate performance obligation. The following performance obligations are distinguished:

- Revenues ensuing from the sale of goods are accounted for when all major entitlements to economic benefits as well as all major risks have transferred to the buyer. The cost price of these goods is allocated to the same period.

Cost of sales

Cost of sales represents the direct and indirect expenses attributable to goods purchased from external parties which have been sold during the period. Expenses related to goods sold of own caught products are not presented in cost of sales, but presented in the other expense categories like employee cost, depreciation charges and other operating expenses that are attributable to fish caught.

Other operating income

Other operating income results are recognized which are not directly linked to the supply of goods or services as part of the normal, non-incidental operations.

Government subsidies

Operating subsidies are recorded as income in the consolidated profit and loss account in the year in which the subsidised costs were incurred or income was lost or when there was a subsidised operating deficit. Income is recognised when it is probable that it will be received.

Subsidies related to investments in tangible fixed assets are deducted from the asset to which they relate and recorded in the consolidated profit and loss account as part of the amortisation costs.

Wages

The benefits payable to personnel are recorded in the consolidated profit and loss account on the basis of the employment conditions.

Applied policy of pension costs

PP Groep Katwijk B.V. applies the liability approach to account for all pension schemes. The premium payable during the reporting year is recorded as an expense. Changes in the pension provision are also charged to the result. The contributions are recorded as personnel costs from the date that they become payable. Prepaid contributions are reported as accrual if this results in a repayment or a reduction in future payments. Contributions that are not yet paid are included as a liability in the balance sheet.

Amortisation of intangible assets and depreciation of property, plant and equipment

Intangible fixed assets, including goodwill, and tangible fixed assets are depreciated or amortised from the date of initial use over the expected future economic life of the asset, while taking into account any applicable restrictions with respect to buildings, other tangible fixed assets and capitalised goodwill. Land is not depreciated.

Future depreciation and amortisation is adjusted if there is a change in estimated future useful life.

Gains and losses from the occasional sale of property, plant or equipment are included in depreciation.

Depreciation of property, plant and equipment

Tangible fixed assets are depreciated from the date of initial use over the expected future economic life of the asset, while taking into account any applicable restrictions with respect to buildings, investment property, other tangible fixed assets. Land is not depreciated.

Future depreciation is adjusted if there is a change in estimated future useful life.

Gains and losses from the occasional sale of property, plant or equipment are included in depreciation.

Operating expenses

Costs are determined on a historical basis and are attributed to the reporting year to which they relate.

Financial income and expenses

Interest income and expenses are recognised on a pro rata basis, taking account of the effective interest rate of the assets and liabilities to which they relate. In accounting for interest expenses, the recognised transaction expenses for loans received are taken into consideration.

Exchange differences that arise from the settlement or translation of monetary items are recorded in the profit and loss account in the period in which they occur, unless hedge-accounting is applied.

Dividends to be received from participations and securities not carried at net asset value are recognised as soon as PP Groep Katwijk B.V. has acquired the right to them.

Changes in the value of financial instruments recognised at fair value are recorded in the consolidated profit and loss account.

Income tax expense

Tax on the result is calculated based on the result before tax in the consolidated profit and loss account, taking account of the losses available for set-off from previous financial years (to the extent that they have not already been included in the deferred tax assets) and exempt profit components and after the addition of non-deductible costs. Due account is also taken of changes which occur in the deferred tax assets and deferred tax liabilities in respect of changes in the applicable tax rate.

In the financial statements of group companies a tax charge is calculated on the basis of the accounting result. The corporate income tax that is due by these group companies is charged into the current accounts with PP Groep Katwijk B.V.

Share in results of participating interests

The result is the amount by which the carrying amount of the participation has changed since the previous financial statements as a result of the earnings achieved by the participation to the extent that this can be attributed to PP Groep Katwijk B.V.

Accounting principles: Cash flow statement

Cash flow statement

The cash flow statement has been prepared using the indirect method. The cash items disclosed in the cash flow statement comprise cash at banks and in hand except for deposits with a maturity longer than three months. Cash flows denominated in foreign currencies have been translated at average estimated exchange rates. Exchange differences affecting cash items are shown separately in the cash flow statement. Interest paid and received, dividends received and income taxes are included in cash from operating activities. Dividends paid are recognised as cash used in financing activities. The purchase consideration paid for the acquired group corporation has been recognised as cash used in investing activities where it was settled in cash. Any cash at banks and in hand in the acquired group corporation have been deducted from the purchase consideration. Transactions not resulting in inflow or outflow of cash, including finance leases, are not recognised in the cash flow statement. Payments of finance lease instalments qualify as repayments of borrowings under cash used in financing activities and as interest paid under cash generated from operating activities.

Notes to the consolidated balance sheet

1 Intangible assets

		31-12-2022	31-12-2021
	x 1,000	EUR	EUR
Costs of acquisition of patents, trademarks and other rights		16.247	14.016
Intellectual property rights and software		39.485	41.398
Goodwill		33.887	27.787
Prepayments on intangible assets		254	194
		89.873	83.395

Intangible assets

	Costs of acquisition of patents, trademarks and other rights	Intellectual property rights and software	Goodwill	Prepayments on intangible assets	Total
x 1,000	EUR	EUR	EUR	EUR	EUR
Balance as at 1 January 2022
Cost or manufacturing price	59.579	56.352	51.449	194	167.574
Accumulated amortization	-45.563	-14.954	-23.662	-	-84.179
Book value as at 1 January 2022	14.016	41.398	27.787	194	83.395
Movements
Additions	6.845	1.201	14.369	95	22.510
New consolidation	168	-	-	-	168
Revaluations	1.186	200	-	-35	1.351
Amortisations	-2.754	-3.245	-5.853	-	-11.852
Amortisation revaluations	-34	-69	-249	-	-352
Disposals	-1.645	-342	-3.004	-	-4.991
Amortization on disposals	524	342	824	-	1.690
Exchange differences	-2.059	-	13	-	-2.046
Balance movements	2.231	-1.913	6.100	60	6.478
Balance as at 31 December 2022
Cost or manufacturing price	64.355	57.345	62.828	254	184.782
Accumulated amortization	-48.108	-17.860	-28.941	-	-94.909
Book value as at 31 December 2022	16.247	39.485	33.887	254	89.873

Textual disclosure

Disclosure of intangible assets

During the year the following amortisation rates are used:

Concessions and Licences: 5 - 25%

Intellectual property rights and software: 5 - 25%

Goodwill: 10 - 20%

Prepayment on intangibles: 0%

―	On 20 December 2021 the Lithuanian company Balsola UAB was founded. As of 7 Januari 2022, Baltlanta UAB owns 100% of the shares.
―	On 23 February, the company acquired a 100% interest in Arctic Navigations sp.z.o.o. via its joint venture Atlantex. Artic Navigations is a Polish company owning the pelagic vessel Alina (GDY 346). The acquisition price is EUR 14.0. This acquisition has been accounted for using the purchase price allocation method. As from this acquisition date, the company includes the results of Artic Navigations in its profit and loss account and recognizes the acquired identifiable assets and liabilities in its balance sheet. The investment qualifies as a 100% subsidiary of it joint venture operation Atlantex. Therefore, the investment is consolidated proportionately. The difference between the fair value of identifiable assets and liabilities acquired and the acquisition price is included in the balance sheet as goodwill arising from this acquisition. All assets on the balance sheet have been valued at fair value. The goodwill amounts to EUR 12.0 million.
―	On 21 March, Oceans Unlocked BV was incorporated as a 50% subsidiary of Rederij Samenwerking I BV and 50% Blue is the New Green BV (third party). On the same date, the following companies were incorporated under this company namely Blue Wave BioTech BV, Green Marine Farming BV and SeaFlavours International BV. These companies will engage in respectively purchasing, processing and selling fish residue streams and seaweed with the cultivation of seaweed and the purchase and sale of seaweed products;
―	On 5 April 2022, Rederij Samenwerking I transferred its interest (75%) in Dutch Flatfish BV to a third party following a demerger procedure. As of that date, Dutch Flatfish BV is no longer part of the PP Group;
―	On 11 August 2022, Heiploeg Suriname NV purchased all the shares of NV Nanooma in Suriname for USD 4,500,000. NV Nanooma is a company which holds 14 fishing licences with which to fish for shrimp.
―	During the year no impairment (prior year € 0) was charged to the result of the financial year.

Disclosure of costs of goodwill acquired from third party

Impairment tests for goodwill

For both companies PPDS BV and PP Thon SAS impairment triggers were identified.

Each company was assessed seperately. PPDS was assessed based on value in use method and CFTO was based on the fair value less costs to sell.

Significant assumptions for the value in use are:

a)	Growth rate (2023 - 2026) 1,5%,
b)	Long term Growth rate 1,5%
c)	WACC (Pre-tax) 10,%

After conducting the impairment tests, no impairment was deemed necessary since the discounted future cash flows exceeded the carrying value (including goodwill) for each company.

It is inherent in the method of computation used that a change in the assumptions may lead to a different conclusion on the impairment required.

2 Property, plant and equipment

	31-12-2022	31-12-2021
x 1,000	EUR	EUR
Land and buildings	115.075	103.056
Machinery	246.716	255.898
Other fixed assets	25.543	28.559
Property, plant and equipment in progress and prepayments of property, plant and equipment	57.911	52.358
	445.245	439.871

Property, plant and equipment

	Land and buildings	Machinery Other fixed assets		Property, plant and equipment in progress and prepayments of property, plant and equipment	Total
x 1,000	EUR	EUR	EUR	EUR	EUR
Balance as at 1 January 2022
Cost or manufacturing price	134.839	560.305	116.218	52.358	863.720
Accumulated depreciation	-31.783	-304.407	-87.659	-	-423.849
Book value as at 1 January 2022	103.056	255.898	28.559	52.358	439.871
Movements
Additions	18.986	27.431	5.549	21.113	73.079
New consolidation	9	7.189	-	-	7.198
Depreciation	-6.916	-40.747	-7.491	-	-55.154
Disposals	8	-9.812	-10.128	-15.073	-35.005
Revaluations	15	4.233	-1.949	-499	1.800
Depreciation on disposals	-26	5.285	9.255	-	14.514
Revaluations on accumulated depreciations	-11	-2.750	1.642	-	-1.119
Exchange differences	-46	-11	106	12	61
Balance movements	12.019	-9.182	-3.016	5.553	5.374
Balance as at 31 December 2022
Cost or manufacturing price	153.819	588.230	109.841	57.911	909.801
Accumulated depreciation	-38.744	-341.514	-84.298	-	-464.556
Book value as at 31 December 2022	115.075	246.716	25.543	57.911	445.245

Textual disclosure

Disclosure of property, plant and equipment

During the year the following depreciation rates are used:

Land and buildings: 0 - 20%

Machinery: 4 - 33.33%

Other fixed assets: 20%

Property, plant and equipment in progress and prepayments of property, plant and equipment: 0%

Vessels are included under Machinery

The prepayments on fixed assets amount to EUR 57.9 million (31 December 2021: EUR 52.3 million). The construction of the deep freezing storage has been completed €15.0 million has been transferred from assets under construction to land and buildings. Main investments have been made two newly to build ships. One to replace the Gerda Maria in Nordbank invested €1.7 million in 2022 (total €32.3 million) and one to replace the Annelies llena in Vikingbank invested €15.7 million in 2022 (total 15.7 million).

The amount of grants included in the book value of tangible fixed assets amounts to EUR 2.8 million (2021: EUR 3 million).

The loans under Non-current liabilities are secured by mortgages on the vessels and buildings and right of lien of the insurance payments.

The carrying amounts of assets under financial leasing, which are held without legal title by the company is EUR 0.6 million (2021: EUR 0.9 million) and relates to other fixed operating assets.

3 Financial assets

		31-12-2022	31-12-2021
	x 1,000	EUR	EUR
Receivables from affiliated companies		5.409	6.058
Associates		26.569	24.095
Loans to associates		2.817	2.805
Deferred tax assets		10.113	9.073
Other receivable		33.178	30.317
		78.086	72.348

Financial assets

	Receivables from affiliated companies	Associates	Loans to associates
x 1,000	EUR	EUR	EUR
Balance as at 1 January 2022	6.058	24.095	2.805
Investments	-	424	-
Addition	-	-	12
Contribution	-	-	-
Share of profit of participations	-	2.805	-
Foreign exchange	-	406	-
Exchange rate differences	-	-	-
Disposals	-	-1.161	-
Repayments	-649	-	-
Usage	-	-	-
Balance as at 31 December 2022	5.409	26.569	2.817

	Deferred tax assets	Other receivable	Total
x 1,000	EUR	EUR	EUR
Balance as at 1 January 2022	9.073	30.317	72.348
Investments	-	-	424
Addition	-	11.152	11.164
Contribution	3.150	-	3.150
Share of profit of participations	-	-	2.805
Foreign exchange	-	-	406
Exchange rate differences	-	306	306
Disposals	-	-	-1.161
Repayments	-	-8.597	-9.246
Usage	-2.110	-	-2.110
Balance as at 31 December 2022	10.113	33.178	78.086

Textual disclosure

Disclosure of financial assets

PP Groep Katwijk B.V. has direct interests in the following associates:

―	Groupe de Company de Peche SAS, St. Malo, France, 25.00%
―	P/F H.H., Klaksvik, Faroer Islands, 49.00%
―	P/F Kosin, Klaksvik, Faroer Islands, 27.27%
―	UAB Marlinas, Vilnius, Lithuania, 25.00%
―	UAB Seivalas, Klaipeda, Lithuania, 25.00%
―	P/f Naeraberg, Klaksvik, Faroer Islands, 33.33%
―	Bremerhaven Eiswerk GmbH, Bremerhaven, Germany, 37.50%
―	Copropriete du Navire Emeraude, St Malo, France, 37.50%
―	Marine Biotechnology Products Cote d'Ivoire, Abidjan, Ivory Coast 24.50%
―	Cuxhavener Kuhlhaus GmbH, Cuxhaven, Germany, 25.90%

Disclosure of receivables from group companies

In receivables from loans to associates the loans included generally qualify as being of a long-term nature. Nothing has been agreed in respect of repayment and securities.

Interest-bearing loans amount to EUR 2.8 million (2021: EUR 2.8 million). Interest rate is 5% (effective 4.8%). The loans have initially been recorded at fair value and subsquently at historical cost. The term-loan shall be repaid within 5 years with fixed installments.

Disclosure of receivables from other affiliated companies

Receivables from affiliated companies consist of several loans granted to 50% joint ventures which are proportionally consolidated. The loans included qualify as being of a long-term nature. Interest rates are between 2-4% (effective 3.0% over the year). Nothing has been agreed in respect of securities. The fair value of the loans to associates approximates the book value, given the interest and time to maturity. Some of these receivables are subordinated to other debts the debtor has.

Disclosure of other receivables

Other receivables also include an arm's length loan of EUR 11.6 million (2021: EUR 11.5 million). The fixed- interest loan is subject to an interest rate of 4.0% (2021: 4.0%), and has a remaining maturity of 3 years. Nothing has been agreed in respect of securities. It is expected that this loan will be rolled over before maturity and thereby extending time to maturity.

Finally, the other receivables include long-term loans of EUR 21.6 million (2021: EUR 9.8 million). Interest rates are between 2-5%. Nothing has been agreed in respect of securities or repayment.

Disclosure of deferred tax assets

The deferred tax assets are deductible temporary differences valued at the expected local tax rate at which the will be used. It is expected that EUR 2.5 million of the deferred tax assets will be settled within 1 year.

In respect of the unused deductible losses an amount of EUR 20.4 million (2021: 10.4 million) related tax losses carry-forward is not capitalized.

Receivables from affiliated companies

	31-12-2022	31-12-2021
x 1,000	EUR	EUR
Loans to joint ventures	5.409	6.058

Associates

	31-12-2022	31-12-2021
x 1,000	EUR	EUR
Zeehaven IJmuiden N.V. at IJmuiden	71	71
Seefrost Vertrieb GmbH at Cuxhaven, Germany	15	15
Groupe de Compagnie de Peche at St. Malo, France	6.883	5.510
GIE Plasticofres at Boulogne-sur-Mer, France	92	92
Kosin at Klaksvik, Faroe Islands	1.907	1.908
P/f HH at Klaksvik, Faroe Islands	14.290	14.296
Bremerhaven Eiswerke GmbH at Bremerhaven, Germany	66	66
Joblinge gAG at Bremerhaven, Germany	10	10
UAB Marlinas at Klaipeda, Lithuania	2.677	1.540
Naeraberg p/f	558	587
	26.569	24.095

Loans to associates

	31-12-2022	31-12-2021
x 1,000	EUR	EUR
Loans to associates	2.817	2.805

Other receivable

	31-12-2022	31-12-2021
x 1,000	EUR	EUR
Loans to third parties	33.178	30.317

4 Inventories

	31-12-2022	31-12-2021
x 1,000	EUR	EUR
Raw materials and consumables	196.396	167.659
Finished goods for resale	195.677	171.747
Other inventories	29.143	32.698
	421.216	372.104

Textual disclosure

Disclosure of inventories

The majority of the inventories has been encumbered with an undisclosed pledge as security for multiple borrowing base facilities. Most of the borrowing base facilities use a percentage of the inventory as the maximum facility level.

A provision for obsolescence is regarded necessary. The amount is EUR 6.3 million (2021: EUR 6.0 million). Raw materials and consumables valued at a lower realizable value have a book value of EUR 0 as at the balance sheet date.

5 Receivables

	31-12-2022	31-12-2021
x 1,000	EUR	EUR
Trade receivables	191.486	190.997
Receivables from group companies	18.878	10.682
Receivables from affiliated companies	773	943
Taxes and social security charges	11.484	9.516
Other receivables, prepayments and accrued income	50.137	33.192
	272.758	245.330

Textual disclosure

Disclosure of receivables

All receivables have a remaining term to maturity of less than one year, unless stated otherwise. The fair value of the receivables is close to the carrying amount, given the current nature of the receivables and the fact that, where necessary, provisions for bad debt have been recognised.

Part of the receivables have been encumbered with a silent pledge as security for short term (borrowing base) facilities, false factoring agreements and other facilities. As the false factoring agreements do not meet the criteria for derecognition of accounts receivables, receivables considered in the false factoring have been presented in full. The funds retrieved have been presented under short term payables to banks.

Trade receivables

	31-12-2022	31-12-2021
x 1,000	EUR	EUR
Trade receivables	199.146	197.908
Provision for doubtful debts	-7.660	-6.911
	191.486	190.997

Taxes and social security charges

	31-12-2022	31-12-2021
x 1,000	EUR	EUR
Value added tax	4.939	5.484
Corporate income tax	6.198	3.819
Wage taxes	-	15
Other taxes	347	198
	11.484	9.516

Other receivables, prepayments and accrued income

	31-12-2022	31-12-2021
x 1,000	EUR	EUR
Turnover to be invoiced	2.092	3.115
Rent	1.183	1.389
Insurance	369	272
Interest	2	61
Other receivables, prepayments and accrued income	46.491	28.355
	50.137	33.192

6 Cash and cash equivalents

Textual disclosure

Disclosure of cash and cash equivalents

An amount of EUR 0.1 million (2021: EUR 0.1 million) is included of marketable shares. The shares are stated at the lower cost or market value at year-end.

The cash and cash equivalents are valued at face value. The cash and cash equivalents available as of 31 December 2022 are free of disposal to the company.

7 Group equity

Disclosure of group equity

The shareholders' equity is explained in the notes to the company-only balance sheet.

Minority interest in group company

	31-12-2022	31-12-2021
x 1,000	EUR	EUR
Minority interest in group company	26.643	27.227

In 2022 the result allocated to the minority interest is EUR -3.5 million. As a large part of the minority interest is dominated in foreign currency there is a EUR 2.9 million currency exchange effect in 2022.

8 Provisions

	31-12-2022	31-12-2021
x 1,000	EUR	EUR
Provisions for pension obligations	34.071	39.168
Deferred tax liabilities	35.750	34.051
	69.821	73.219

Textual disclosure

Disclosure of provision for pension obligations

An amount of EUR 34 million of the provision can be classified as non-current (longer than one year).

The provisions are based on actuarial calculations, of which the most important actuarial principles are:

―	Discount rate of 3.9% (2021: 0.95%)
―	Mortality / life table Heubeck RT 2018G for surviving dependents' pension (2021: 2018G)
―	Salary growth 1.45% (2021: 1.5%)
―	BBG trend 1.87% (2021: 2.0%)
―	Pension trend 1.79% (2021:1.5%)

Disclosure of deferred tax liabilities

Deferred tax liabilities are recognized for the taxable temporary differences between the tax base and the accounting base of tangible fixed assets. The provision is calculated based on the local applicable tax rate. Approximately EUR 14 million will be used in the coming year.

Provisions for pension obligations

	2022	2021
x 1,000	EUR	EUR
Balance as at 1 January	39.168	41.968
Addition interest	9.761	2.020
Withdrawal	-14.858	-4.820
Balance as at 31 December	34.071	39.168

Deferred tax liabilities

	2022	2021
x 1,000	EUR	EUR
Balance as at 1 January	34.051	28.756
Addition	3.596	6.601
Release	-	-7.490
New consolidation	70	6.184
Usage	-1.655	-
Exchange rate differences	-312	-
Balance as at 31 December	35.750	34.051

9 Non-current liabilities

	31-12-2022	31-12-2021
x 1,000	EUR	EUR
Negative goodwill	16.962	20.505
Payables to banks	148.294	160.298
Liabilities to affiliated companies	2.464	2.806
	167.720	183.609

Non-current liabilities

	Balance as at 31 December 2022	Repayment due	Remaining pay-back time > 1 year	Remaining pay-back time > 5 year	Interest percentage
x 1,000	EUR	EUR	EUR	EUR	%
Negative goodwill	20.505	3.543	16.962	9.870	-
Payables to banks	201.853	53.559	148.294	56.962	2,50
Liabilities to affiliated companies	2.464	-	2.464	-	4,00
Total	224.822	57.102	167.720	66.832

Textual disclosure

Disclosure of payables to banks

Finance company debt consists of long-term loans obtained from banks.

The carrying amounts of bank borrowings approximate their fair value due to the variability of the interest rates. The bank borrowings are to a large extent term-loans with variable interest rates (Euribor+margin spread), secured by fixed assets like vessels, buildings and machinery. In some cases the term-loan ends in a bullet payment for the outstanding amount. The exposure to variable interest rate is not mitigated by any instrument.

As at 31 December 2022, the Group had the following long-term bank borrowings (including short-term part):

―	a EUR 8.0 million mortgage term-loan (2021: EUR 12 million), maturing in December 2023.
―	a EUR 3.6 million term-loan (2021: 7.3 million), maturing in December 2023.
―	a EUR 18.1 million bullet loan (2021: EUR 18.1 million), maturing December 2023.
―	a EUR 47.8 million facility with bullet payment (70%) (2021: EUR 29.4 million), maturing December 2024.
―	a EUR 23.7 million term-loan (2021: EUR 28.0 million) denominated in GBP, maturing December 2028.
―	a EUR 15.7 million term-loan (2021: EUR 18.3 million) denominated in PLN, maturing December 2029.
―	a EUR 19.0 million term-loan (2021: EUR 22.5 million ), maturing December 2027.
―	a EUR 15.0 million PGE Government Loan (new), maturing December 2026.
―	a EUR 9.5 million PGE Government Loan (2021: EUR 6 million), maturing December 2025.
―	a EUR 20.1 million term-loan facility (2021: EUR 10 million) maximum of EUR 40.2 million, maturing in September 2031.
―	a variety of term-loan facilities EUR 21.3 million maturing between 1 and 5 years.

The group expects to refinance (roll-over) all bullet loans at maturity date.

Financial covenants exist on the bank borrowings. The financial covenants consist of solvency ratio, EBITDA level, interest coverage ratio and net debt to EBITDA ratio. As per 30 June 2022 the financial covenants were not met by the company for the first three loans as noted above. A new agreement was made with the bank on these loans. As part of this agreement the maturity, principle amount and repayment terms of these loans remain unchanged. However, the company provided the bank with an additional guarantee of EUR 5 million through a shareholder loan to the subsidiary and a corporate financial guarantee to support debt service obligations. The financial covenants for these loans have been waived until Q3 2023. All other covenants have been met and the company expects to adhere to the agreed covenants in the foreseeable future.

The short-term part of the long-term loans EUR 55.8 million (2021: EUR 36.8 million) is included in the current liabilities.

Interest percentages of the loans are 1.0 - 6.0% (2021: 1.0 - 6.0%) Some of these interest rates depend on the EURIBOR and are variable in nature.

Disclosure of negative goodwill

Negative goodwill Heiploeg International B.V.

The original amount is EUR 12,3 million The amortization takes place over a period of 11 years. As of 31 December 2022 an amount of EUR 1.6 million of the negative goodwill has a residual term longer than one year and less than five years.

As of 31 December 2022 an amount of EUR 0.0 million of the negative goodwill has a residual term longer than five years.

Negative goodwill Compagnie Francaise du Thon Oceanique S.A.S.

The original amount is EUR 38,6 million The amortization takes place over a period of 15 years. As of 31 December 2022 an amount of EUR 5.5 million of the negative goodwill has a residual term longer than one year and less than five years.

As of 31 December 2022 an amount of EUR 4.4 million of the negative goodwill has a residual term longer than five years.

Negative goodwill Erwin Gooss

The original amount is EUR 1.2 million The residual amount has been released in the prior financial period.

Negative goodwill Thunnus Overseas Group SAS

The original amount is EUR 7.5 million The amortization takes place over a period of 10 years. As of 31 December 2021 an amount of EUR 3.0 million of the negative goodwill has a residual term longer than one year and less than five years.

As of 31 December 2021 an amount of EUR 2.5 million of the negative goodwill has a residual term longer than five years.

Disclosure of other payables

An interest rate of 3.50% has been calculated.

Negative goodwill

	31-12-2022	31-12-2021
x 1,000	EUR	EUR
Negative goodwill Heiploeg International B.V.	1.612	2.652
Negative goodwill Compagnie Francaise du Thon Oceanique S.A.S.	9.900	11.519
Negative goodwill Thunnus Overseas Group SAS	5.450	6.334
	16.962	20.505

Negative goodwill Heiploeg International B.V.

	2022	2021
x 1,000	EUR	EUR
Balance as at 1 January	3.692	4.732
Release current financial period	-1.040	-1.040
	2.652	3.692
Release next financial year	-1.040	-1.040
Balance as at 31 December	1.612	2.652

Negative goodwill Compagnie Francaise du Thon Oceanique S.A.S.

	2022	2021
x 1,000	EUR	EUR
Balance as at 1 January	13.368	16.824
Release current financial period	-1.849	-3.456
	11.519	13.368
Release next financial year	-1.619	-1.849
Balance as at 31 December	9.900	11.519

Negative goodwill Erwin Gooss

	2022	2021
x 1,000	EUR	EUR
Balance as at 1 January	-	1.115
Release current financial period	-	-1.115
Balance as at 31 December	-	-

Negative goodwill Thunnus Overseas Group SAS

	2022	2021
x 1,000	EUR	EUR
Balance as at 1 January	7.079	-
Increase	-	7.452
Release current financial period	-745	-373
	6.334	7.079
Release next financial year	-884	-745
Balance as at 31 December	5.450	6.334

Payables to banks

Loan

	2022	2021
x 1,000	EUR	EUR
Balance as at 1 January	193.269	193.617
Increase	37.433	28.933
New consolidation	-	5.777
Repayment	-27.765	-36.835
Exchange rate differences	-1.084	1.777
	201.853	193.269
Current portion	-53.559	-32.971
Balance as at 31 December	148.294	160.298

10 Current liabilities

	31-12-2022	31-12-2021
x 1,000	EUR	EUR
Short-term part of the long term debt	55.790	36.758
Payables to banks	249.046	208.723
Trade payables	118.682	137.033
Liabilities to group companies	4.476	1.864
Amounts due to participants and to companies in which participation takes place	58	539
Payables relating to taxes and social security contributions	13.637	18.125
Other liabilities and accrued expenses	48.165	50.594
	489.854	453.636

Textual disclosure

Disclosure of current liabilities

All current liabilities fall due in less than one year. The fair value of the current liabilities approximates the book value due to their short-term character.

Current liabilities include the short-term part of the long term debt for the next 12 months.

Disclosure of payables to banks

The company has revolving credit facilities, these facilities are borrowing base facilities (incl. two false factoring facilities). The maximum amount is EUR 290 million (2021: EUR 231 million) and based on the eligible level of trade receivables, inventory and trade payables. As collateral for the facilities these assets (inventory and (trade) receivables) are pledged.

Some facilities have financial covenants on solvency and interest coverage. The company adhered to the agreed covenants and expects to continue to do so in the foreseeable future.

The interest rate is determined per installment and ranges between 1, 2 or 3 months EURIBOR plus a variable margin based on leverage of 1-2%.

The company has access to committed facilities with a maximum amount of EUR 69.5 million (2021: EUR 71.5 million).

Interest rate for these facilities vary between 1-4%. Working capital (e.g. inventory and receivables) have been pledged for these facilities.

Short-term part of the long term debt

	31-12-2022	31-12-2021
x 1,000	EUR	EUR
Loans	53.271	32.917
Release negative goodwill	2.364	3.634
Financial lease	155	207
	55.790	36.758

Payables relating to taxes and social security contributions

	31-12-2022	31-12-2021
x 1,000	EUR	EUR
Wage tax	6.636	7.605
Corporate income tax	4.306	7.531
Social security charges	21	-
Pension premiums	1.594	812
Value added tax	426	1.240
Other taxes	654	937
	13.637	18.125

Other liabilities and accrued expenses

	31-12-2022	31-12-2021
x 1,000	EUR	EUR
Selling expenses	27.189	32.842
Holiday accruals	6.629	6.214
Other personnel expenses	7.684	7.789
Repair and maintenance costs	872	1.250
Accommodation expenses	1.264	928
Interest	188	202
Audit accrual	41	172
Other liabilities and accrued expenses	4.298	1.197
	48.165	50.594

Contingent assets and liabilities

Textual disclosure

Disclosure of contingent arrangements

Investment obligations

The company has signed a contract for the investment of a new demersal fishing vessel under German flag. This will replace the vessel "Gerda Maria". Delivery is planned mid 2023. The investment contract accounts for EUR 55 million. The total of investment contracts not recognized on the balance sheet as per 31 December 2020 is EUR 22.7 million.

The company has also signed a contract for the investment of a new pelagic fishing vessel under Dutch flag. This will replace the vessel "Anelies llena" in Vikingbank B.V.. Delivery is expected 2024. The investment contract accounts for EUR 80 million. The total of investment contracts not recognized on the balance sheet as per 31 December 2020 is EUR 64.3 million.

Legal proceedings

In the ordinary course of business, PP Groep Katwijk B.V. and it's subsidiaries are subject to litigation and claims. These are not expected to have a material impact on PP Groep Katwijk B.V. The claims with a possible higher impact are mentioned below.

FNV claims that resulting from the pre-pack, as a matter of law all former and current personnel are employed by the current Heiploeg Seafood International B.V. and Heitrans International B.V. Heiploeg disputes the claim and is confident about the outcome of these proceedings.

Sailing goods

At the end of 2022 a total of EUR 15.4 million (2021: EUR 26.9 million) of inventory is in transit (sailing goods). Since the company is not the owner of the inventory in transit, these goods are not presented in the balance sheet as inventory. However the company has a contractual liability to purchase these goods and will be the owner of the goods when they are released from transit.

Tax claims

After the closing of the financial year, Heiploeg International B.V. received a tax assessment of import duties for the period 2017-2022 for the amount of EUR 14.1 million. Heiploeg objected to the additional tax assessment, has filled an appeal and is confident about the outcome of this process.

The off-balance sheet liabilities relating to the fiscal unity

The company forms an income tax group with all Dutch entities and a VAT group excluding PPCC B.V. PP Groep Katwijk B.V. is head of this income tax group.Therefore the holding company is responsible for Company tax.

Off-balance sheet commitments relating to guarantees

Bank(er's) guarantee

As at 31 December 2022 bank guarantee credits have been granted to the company for a maximum amount of EUR 6.1 million (2021: EUR 6.1 million).

The liability for the debts of others

The company has given the right to some of her associates and affiliated companies to, if needed, postpone payments of installments of loans and interest in order to continue it's normal operations for 2023 and 2024.

Operating lease commitments: Breakdown maturity

	31-12-2022	31-12-2021
x 1,000	EUR	EUR
Minimal lease payments of operational leases with a maturity within one year	8.486	12.542
Minimal lease payments of operating leases with a maturity exceeding one year and within five years	12.928	20.566
Minimal lease payments of operating leases with a maturity exceeding five years	2.861	2.148
Total of minimal lease payments of operating leases	24.275	35.256

Notes to the consolidated profit and loss account

11 Net turnover

	2022	2021
x 1,000	EUR	EUR
Pelagic	409.990	319.318
Demersal	179.868	141.567
Processing	26.104	44.252
Retail	870.986	856.505
Tuna	141.990	102.245
Other	3.844	3.741
	1.632.782	1.467.628

11 Net turnover

Textual disclosure

Disclosure of net revenue

The sales mainly consist of the selling of fish and fish products. Main part of the fish is caught by the company's own fishing vessels.

The bulk of the net sales are gained for more than 65% outside of the EU (2021: 65%).

The gross margin of the sales changed from 50.0% in 2021 to 50.2% in 2022.

12 Other operating income

	2022	2021
x 1,000	EUR	EUR
Other operating income	14.492	12.725

13 Wages and salaries

	2022	2021
x 1,000	EUR	EUR
Gross wages	183.692	165.071
Temporary workers	39.933	43.425
	223.625	208.496

14 Social security charges

	2022	2021
x 1,000	EUR	EUR
Social security charges	23.750	23.218

15 Pension contributions

	2022	2021
x 1,000	EUR	EUR
Other pension charges	1.693	6.408

16 Depreciation of intangible and tangible fixed assets

	2022	2021
x 1,000	EUR	EUR
Amortisation of intangible fixed assets	11.852	12.387
Depreciation of property, plant and equipment	52.689	53.602
	64.541	65.989

Amortisation of intangible fixed assets

	2022	2021
x 1,000	EUR	EUR
Amortisation costs concessions and licenses	2.754	3.042
Amortisation costs intellectual property	3.245	3.141
Amortisation costs of goodwill acquired from third party	5.853	6.204
	11.852	12.387

Depreciation of property, plant and equipment

	2022	2021
x 1,000	EUR	EUR
Buildings and land	6.916	5.785
Machinery	40.747	41.021
Other fixed assets	7.491	7.545
	55.154	54.351
Book profit	-2.465	-749
	52.689	53.602

17 Other operating expenses

	2022	2021
x 1,000	EUR	EUR
Other expenses of employee benefits	18.207	19.035
Housing expenses	43.466	34.048
Operating and machine expenses	247.156	175.200
Selling expenses	103.187	74.688
Car expenses	19.545	15.807
Office expenses	11.690	10.686
General expenses	8.416	8.337
	451.667	337.801

18 Financial income and expense

	2022	2021
x 1,000	EUR	EUR
Interest and similar income	5.674	13.691
Interest and similar expenses	-10.563	-12.816
	-4.889	875

Interest and similar income

	2022	2021
x 1,000	EUR	EUR
Interest and similar income	5.674	13.691

Interest and similar income

	2022	2021
x 1,000	EUR	EUR
Interest and similar income	1.994	13.691
Exchange differences	3.680	-
	5.674	13.691

Interest and similar expenses

	2022	2021
x 1,000	EUR	EUR
Exchange differences	-	829
Interest and similar expenses	10.563	11.987
	10.563	12.816

19 Income tax expense

Breakdown

	2022	2021
x 1,000	EUR	EUR
Deferred income tax expense	-659	6.359
Income tax expense from current financial year	-26.001	-34.213
Total of income tax expense	-26.660	-27.854
Effective tax rate	39,10	28,20
Applicable tax rate	27,80	27,80

Textual disclosure

Disclosure of income tax expense

The effective tax rate is 39,10% (2021: 28.2%). The applicable tax rate 5-36% (2021: 5-36%).

The effective rate differs from the applicable rate due to tax rate changes in The Netherlands, prior year adjustments and the permanent differences between the valuation in the financial report and the tax valuation of assets and liabilities. Furthermore, not all losses in the Group are included in the Deferred Tax Liabilitity.

The applicable tax rate is based on the relative proportion of the group companies' contribution to profit and the tax rates ruling in the countries concerned.

20 Result third-party share

	2022	2021
x 1,000	EUR	EUR
Result third-party share	3.457	-1.895

Specification of related party transactions of importance and not taken under market conditions

All legal entities that can be controlled, jointly controlled or significantly influenced are considered to be a related party. Also entities which can control the company are considered to be a related party. In addition, statutory directors, other key management of PP Groep Katwijk B.V. or the ultimate parent corporation and close relatives are regarded as related parties.

Transactions with related parties are disclosed in the notes insofar as they are not transacted under normal market conditions. The nature, extent and other information is disclosed if this is necessary in order to provide the required insight.

Other notes

Average number of employees

Breakdown

	2022	2021
Average number of employees over the period working in the Netherlands	871,00	857,00
Average number of employees over the period working outside the Netherlands	4.833,00	4.989,00
Total of average number of employees over the period	5.704,00	5.846,00

Auditors fees

Breakdown

Auditors Fees

	2022	2021
x 1,000	EUR	EUR
Auditors fees relating to the audit of the financial statements	1.573	883
Accountant fees for other audit assignments	113	8
Auditors fees relating to tax services	139	150
Auditors fees relating to other non-audit procedures	476	28
Total of auditors' fees	2.301	1.069

Textual disclosure

Disclosure of auditors fees

The fees listed above relate to the procedures applied to the company and its consolidated group entities by accounting firms and independent external auditors as referred to in Section 1, subsection 1 of the Audit Firms Supervision Act (Wet toezicht accountantsorganisaties - Wta) as well as by Dutch and foreign based accounting firms, including their tax services and advisory groups.

These fees relate to the audit of the 2022 financial statements, regardless of whether the work was performed during the financial year.

Company-only financial statements

Company-only balance sheet as at 31 December 2022

(After appropriation of result)

Assets

		31-12-2022		31-12-2021
x 1,000		EUR	EUR	EUR	EUR
Fixed assets
Intangible assets	21		1.140		111
Property, plant and equipment	22		386		1.381
Financial assets	23		729.472		1.005.752
Current assets
Receivables	24		110.217		137.913
Cash and cash equivalents	25		113		569
Total assets			841.328		1.145.726

Equity and liabilities

		31-12-2022		31-12-2021
x 1,000		EUR	EUR	EUR	EUR
Equity	26
Share capital paid called up	27	7.200		7.200
Legal and statutory reserves	28	93.047		75.018
Other reserve	29	540.187		514.418
			640.434		596.636
Provisions	30		60		-
Current liabilities	31		200.834		549.090
Total equity and liabilities			841.328		1.145.726

Company-only profit and loss account for the year 2022

		2022		2021
		EUR	EUR	EUR	EUR
x 1,000
Depreciation of intangible and tangible fixed assets	32	96		18
Other operating expenses		3.241		2.403
Total of sum of expenses			3.337		2.421
Total of operating result			-3.337		-2.421
Financial income and expense	33		-5.132		-7.331
Total of result before tax			-8.469		-9.752
Income tax expense			-1.889		1.803
			-10.358		-7.949
Share in result of participations			58.142		78.122
Total of result after tax			47.784		70.173

Notes to the company-only financial statements

General accounting principles

General accounting principles

The accounting standards used to prepare the financial statements

The company-only financial statements are drawn up in accordance with the provisions of Title 9, Book 2 of the Dutch Civil Code and the firm pronouncements in the Dutch Accounting Standards, as published by the Dutch Accounting Standards Board ('Raad voor de Jaarverslaggeving').

Assets and liabilities are generally valued at historical cost, production cost or at fair value at the time of acquisition. If no specific valuation principle has been stated, valuation is at historical cost.

The accounting policies for the company financial statements and the consolidated financial statements are the same. Group companies are stated at net asset value in accordance with the consolidated financial statements.

For the accounting policies for the company balance sheet and income statement, reference is made to the notes to the consolidated balance sheet and income statement.

Accounting principles

Accounting principles for the determination of the result

Share in results of participating interests

The result is the amount by which the carrying amount of the participation has changed since the previous financial statements as a result of the earnings achieved by the participation to the extent that this can be attributed to PP Groep Katwijk B.V.

Notes to the company-only balance sheet

	31-12-2022	31-12-2021
x 1,000	EUR	EUR
21 Intangible assets
Intellectual property rights and software	1.140	111

Intangible assets

	Intellectual property rights and software
x 1,000	EUR
Balance as at 1 January 2022
Cost or manufacturing price	129
Accumulated amortization	-18
Book value as at 1 January 2022	111
Movements
Additions	1.125
Amortisations	-96
Balance movements	1.029
Balance as at 31 December 2022
Cost or manufacturing price	1.254
Accumulated amortization	-114
Book value as at 31 December 2022	1.140

22 Property, plant and equipment

	31-12-2022	31-12-2021
x 1,000	EUR	EUR
Property, plant and equipment in progress and prepayments of property, plant and equipment	386	1.381

Property, plant and equipment

	Property, plant and equipment in progress and prepayments of property, plant and equipment
x 1,000	EUR
Balance as at 1 January 2022
Cost or manufacturing price	1.381
Book value as at 1 January 2022	1.381
Movements
Disposals	-995
Balance movements	-995
Balance as at 31 December 2022
Cost or manufacturing price	386
Book value as at 31 December 2022	386

23 Financial assets

	31-12-2022	31-12-2021
x 1,000	EUR	EUR
Shares, certificates of shares and other types of participating interests in group companies	716.412	992.692
Receivables from affiliated companies	13.000	13.000
Other receivable	60	60
	729.472	1.005.752

	Shares, certificates of shares and other types of participating interests in group companies	Receivables from affiliated companies	Other receivable	Total
x 1,000	EUR	EUR	EUR	EUR
Balance as at 1 January 2022	992.692	13.000	60	1.005.752
Investments	19.000	-	-	19.000
Share of profit of participations	58.142	-	-	58.142
Foreign exchange	-3.422	-	-	-3.422
Dividend	-350.000	-	-	-350.000
Balance as at 31 December 2022	716.412	13.000	60	729.472

Shares, certificates of shares and other types of participating interests in group companies

	31-12-2022	31-12-2021
x 1,000	EUR	EUR
Parlevliet & Van der Plas Haringhandel B.V., Katwijk, The Netherlands, 100.00%	15.005	20.681
Parlevliet & Van der Plas Vastgoed B.V., Katwijk, The Netherlands, 100.00%	32.106	14.402
Rederij Samenwerking 1 B.V., Katwijk, The Netherlands, 100.00%	559.649	833.584
Mecklenburger Hochseefischerei GmbH, Sassnitz, Germany, 100.00%	10.876	8.751
Parlevliet & Van der Plas Faeroer B.V., Katwijk, The Netherlands, 100.00%	55.846	53.443
P.P. DS B.V., Katwijk, The Netherlands, 100.00%	-10.250	-94
Parlevliet & Van der Plas Beheer B.V., Katwijk, The Netherlands, 100.00%	3.400	2.451
P.P.C.C., Zoutkamp B.V., The Netherlands, 100.00%	106.629	104.445
P.P. Frankrijk B.V., Katwijk, The Netherlands, 100.00%	-56.849	-44.971
	716.412	992.692

24 Receivables

	31-12-2022	31-12-2021
x 1,000	EUR	EUR
Receivables from group companies	109.557	135.475
Receivables from affiliated companies	208	208
Other receivables, prepayments and accrued income	82	41
Taxes and social security charges	370	2.189
	110.217	137.913

Textual disclosure

Disclosure of receivables

All receivables have a remaining term to maturity of less than one year, unless stated otherwise. The fair value of the receivables is close to the carrying amount, given the current nature of the receivables and the fact that, where necessary, provisions for bad debt have been recognised.

For receivables from group companies an interest is calculated of 2% (2021: 2%).

Taxes and social security charges

	31-12-2022	31-12-2021
x 1,000	EUR	EUR
Value added tax	370	423
Corporate income tax	-	1.766
	370	2.189

25 Cash and cash equivalents

Textual disclosure

Disclosure of cash and cash equivalents

The cash and cash equivalents available as of 31 December 2022 are free of disposal to the company, with the exemption the guarantees as mentioned under the off balance sheet commitments.

26 Equity

Movements in equity were as follows:

	Share capital paid called up	Legal and statutory reserves	Other reserve	Total
x 1,000	EUR	EUR	EUR	EUR
Balance as at 1 January 2022	7.200	75.018	514.418	596.636
Appropriation of result	-	-	47.784	47.784
Allocation to legal and statutory reserves	-	22.015	-	22.015
Release in favor of revaluation reserve	-	-	-22.015	-22.015
Exchange differences	-	-3.986	-	-3.986
Balance as at 31 December 2022	7.200	93.047	540.187	640.434

Appropriation of the results

Statement of the proposed appropriation of the result

The board of directors of the company proposes to appropriate the result as follows:

The appropriation of profit for the period 2022 in the amount of EUR 47.784,000 will be fully added to the other reserves.

This proposal needs to be determined by the General Meeting and has therefore not yet been processed in the annual accounts 2022 for the company.

27 Share capital paid called up

Textual disclosure

Disclosure of share capital paid called up

The authorised share capital of PP Groep Katwijk B.V. amounts to EUR 32,000,000 (2021: EUR 32,000,000).

Paid up share capital

1,600,000 ordinary shares at par value EUR 1.50 = EUR 2,400,000

1,600,000 ordinary shares at par value EUR 1.25 = EUR 1,600,000

1,600,000 ordinary shares at par value EUR 1.25 = EUR 1,600,000

1,600,000 ordinary shares at par value EUR 1.00 = EUR 1,600,000

In total EUR 800,000 has not been paid yet.

28 Legal and statutory reserves

	31-12-2022	31-12-2021
x 1,000	EUR	EUR
Legal reserve participating interest	92.054	70.039
Reserve for exchange differences	993	4.979
	93.047	75.018

Reserve related to retained profits from participating interests

	2022	2021
x 1,000	EUR	EUR
Balance as at 1 January	70.039	55.798
Addition in financial year	22.015	14.241
Balance as at 31 December	92.054	70.039

Reserve for exchange differences

	2022	2021
x 1,000	EUR	EUR
Balance as at 1 January	4.979	-2.310
Exchange differences	-3.986	7.289
Balance as at 31 December	993	4.979

29 Other reserve

	2022	2021
x 1,000	EUR	EUR
Balance as at 1 January	514.418	478.486
Appropriation of result	47.784	70.173
Dividend distribution	-	-20.000
Allocation to legal and statutory reserves	-22.015	-14.241
Balance as at 31 December	540.187	514.418

30 Provisions

	31-12-2022	31-12-2021
x 1,000	EUR	EUR
Other provisions	60	-

Textual disclosure

Disclosure of provisions

The other provision must be regarded as long-term in its entirety.

31 Current liabilities

	31-12-2022	31-12-2021
x 1,000	EUR	EUR
Trade payables	314	120
Liabilities to group companies	198.827	548.623
Payables relating to taxes and social security contributions	1.240	-
Other liabilities and accrued expenses	453	347
	200.834	549.090

Textual disclosure

Disclosure of current liabilities

All current liabilities fall due in less than one year. The fair value of the current liabilities approximates the book value due to their short-term character.

For the current account group companies an interest is calculated of 2% (2021: 2%).

Payables relating to taxes and social security contributions

	31-12-2022	31-12-2021
x 1,000	EUR	EUR
Corporate income tax	1.240	-

Notes to the company-only profit and loss account Net turnover

32 Depreciation of intangible and tangible fixed assets

	2022	2021
x 1,000	EUR	EUR
Amortisation of intangible fixed assets	96	18

33 Financial income and expense

	2022	2021
x 1,000	EUR	EUR
Interest and similar income	519	544
Interest and similar expenses	-5.651	-7.875
	-5.132	-7.331

Textual disclosure

Disclosure of financial income and expenses

In the financial income and expenses an expense amount of EUR 5.1 million (2021: EUR 7.3 million) is included for interest of loans from and to group companies.

Other notes

Average number of employees

Textual disclosure

Disclosure of average number of employees during the period

There are no employees employed for 2022 (2021: 0).

Remuneration of managing and supervisory directors

Remuneration of managing and supervisory directors

Disclosure of remuneration of managing and supervisory directors

Emoluments of directors

The amount in accordance with section 383(1), Book 2 of the Netherlands Civil Code amounts to EUR 1 million for the year ended 31 December 2022 (2021: EUR 1 million).

Emoluments of supervisory board

The amount in accordance with section 383(1), Book 2 of the Netherlands Civil Code amounts to EUR 0.0 million for the year 2022 (2021: EUR 0.0 million).

Katwijk, 2 June 2023

PP Groep Katwijk B.V.

D. Parlevliet, Board of Directors

D. van der Plas, Board of Directors

A. van der Plas, Supervisory Board

D.J. Parlevliet, Supervisory Board

Other information

Provisions of the Articles of Association relating to profit appropriation

Based on the article 21 at association the result is at disposal of the General Shareholders Meeting.

Independent auditor's report

To: the general meeting and the supervisory board of PP Groep Katwijk B.V.

Report on the financial statements 2022

Our opinion

In our opinion, the financial statements of PP Groep Katwijk B.V. ('the Company') give a true and fair view of the financial position of the Company and the Group (the company together with its subsidiaries) as at 31 December 2022, and of its result for the year then ended in accordance with Part 9 of Book 2 of the Dutch Civil Code.

What we have audited

We have audited the accompanying financial statements 2022 of PP Groep Katwijk B.V., Katwijk. The financial statements comprise the consolidated financial statements of the Group and the company financial statements.

The financial statements comprise:

•	the consolidated and company balance sheet as at 31 December 2022;
•	the consolidated and company profit and loss account for the year then ended; and
•	the notes, comprising a summary of the accounting policies applied and other explanatory information.

The financial reporting framework applied in the preparation of the financial statements is Part 9 of Book 2 of the Dutch Civil Code.

The basis for our opinion

We conducted our audit in accordance with Dutch law, including the Dutch Standards on Auditing.

We have further described our responsibilities under those standards in the section

'Our responsibilities for the audit of the financial statements' of our report.

We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Independence

We are independent of PP Groep Katwijk B.V. in accordance with the 'Wet toezicht accountantsorganisaties' (Wta, Audit firms supervision act), the 'Verordening inzake de onafhankelijkheid van accountants bij assuranceopdrachten' (ViO, Code of Ethics for Professional Accountants, a regulation with respect to independence) and other relevant independence regulations in the Netherlands. Furthermore, we have complied with the 'Verordening gedrags- en beroepsregels accountants' (VGBA, Dutch Code of Ethics).

Information in support of our opinion

We designed our audit procedures with respect to fraud and going concern, and the matters resulting from that, in the context of our audit of the financial statements as a whole and in forming our opinion thereon. The information in support of our opinion, such as our findings and observations related to the audit approach fraud risk and the audit approach going concern was addressed in this context, and we do not provide a separate opinion or conclusion on these matters.

Audit approach fraud risks

We identified and assessed the risks of material misstatements of the financial statements due to fraud. During our audit we obtained an understanding of PP Groep Katwijk B.V. and its environment and the components of the internal control system. This included the board of directors' risk assessment process, the board of directors' process for responding to the risks of fraud and monitoring the internal control system and how the supervisory board exercised oversight, as well as the outcomes. We refer to section risks and uncertainties of the directors' report for management's fraud risk assessment.

We evaluated the design and relevant aspects of the internal control system with respect to the risks of material misstatements due to fraud and in particular the fraud risk assessment, as well as the code of ethics, whistle-blower procedures, incident registration and investigation protocols, among other things. We evaluated the design and the implementation and, where considered appropriate, tested the operating effectiveness of internal controls designed to mitigate fraud risks.

We asked management, the directors and the supervisory board whether they are aware of any actual or suspected fraud. This did not result in signals of actual or suspected fraud that may lead to a material misstatement.

As part of our process of identifying fraud risks, we evaluated fraud risk factors with respect to financial reporting fraud, misappropriation of assets and bribery and corruption. We evaluated whether these factors indicate that a risk of material misstatement due to fraud is present.

We identified the following fraud risks and performed the following specific procedures:

Risk of management override of controls	Where relevant to our audit, we evaluated the controls in place like segregation of duties and monitoring controls. We performed our
Identified fraud risks	Our audit work and observations
Management is in a unique position to perpetrate fraud because of management's ability to manipulate accounting records and prepare fraudulent financial statements by overriding controls that otherwise appear to be operating effectively. That is why, in all our audits, we pay attention to the risk of management override of controls in: • the appropriateness of journal entries and other adjustments made in the preparation of the financial statements; • estimates; • significant transactions, if any, outside the normal course of business for the entity. The risk of fraudulent financial reporting due to overstating the revenue As part of our risk assessment and based on a presumption that there are risks of fraud in revenue recognition, we evaluated which types of revenue are subject to specific tendencies. The nature of the revenue transactions are relatively simple, recurring and without complex conditions. The company is family owned and family managed. There are not any variable remuneration components in relation to targets. Bank covenants are set with some headroom. Overall, we have identified the risk to overstate revenue by recognising revenue too early or entering fictitious revenue.	Where relevant to our audit, we evaluated the controls in place like segregation of duties and monitoring controls. We performed our audit procedures which are primarily substantive based. We selected journal entries and consolidation entries based on risk criteria and conducted specific audit procedures for these entries. These procedures include, amongst others, inspection of the entries to source documentation. We did not identify any significant transactions outside the normal course of business, which are an indicator of management override of controls. We also performed specific audit procedures related to important estimates of management, including the expected credit loss, valuation of inventory, impairment assessment of fixed assets, valuation of the pension obligation and deferred taxes. We specifically paid attention to the inherent risk of bias of management in estimates. Our audit procedures did not lead to specific indications of fraud or suspicions of fraud with respect to management override of controls. Where relevant to our audit, we evaluated the design and implementation of the internal control system and assessed the effectiveness of relevant controls in the processes related to revenue reporting. We performed data analyses to identify potential notable revenue entries in the fiscal year and performed specific substantive audit procedures on these entries, including determining whether these entries are based on deliveries that actually took place in the financial year. We tested, on a sample basis, the delivered performance and transaction prices of the revenue transactions based on sales agreements, delivery documents, sales invoices and cash receipts. Finally, we performed specific audit procedures at the end of the year related to cut-off procedures to identify potential shifts in revenue from products delivered in the next financial year to the revenue reported in the current financial year. In addition, we performed audit procedures to determine whether credit invoices were registered in the next financial year that indicate incorrectly registered revenue in the current financial year. Our audit procedures did not lead to specific indications of fraud or suspicions of fraud with respect to the occurrence or cut-off of the revenue reporting.
Risk of bribery and corruption
As part of our process of identifying fraud risks, we evaluated fraud risk factors with respect to financial reporting fraud, misappropriation of assets and bribery and corruption. We evaluated whether these factors indicate that a risk of material misstatement due to fraud is present. We identified the risk of bribery and corruption, given the territories the group is operating in, taking into account the corruption perception index of the countries of operation.	Given the territories the group operates in, we considered the risk of bribery and corruption, taking into account the corruption perception index of the countries of operation and updated our understanding of the internal controls that the group has in place to address and manage this risk when doing business in higher risk countries. We concluded that the internal control procedures related to this risk have not been structured and implemented in an effective manner. We reported our findings to management in writing. We considered the possibility of fraudulent or corrupt payments made across various countries of operation determined by a risk-based process. We also reviewed payments made and received through cash transactions and investigated situation within higher risk countries. Our audit procedures did not lead to specific indications of material fraud or suspicions of fraud with respect to paying bribes.

We incorporated an element of unpredictability in our audit. During the audit, we remained alert to indications of fraud. We also considered the outcome of our other audit procedures and evaluated whether any findings were indicative of fraud or non-compliance of laws and regulations.

Whenever we identify any indications of fraud, we re-evaluate our fraud risk assessment and its impact on our audit procedures.

Audit approach going concern

The board of directors prepared the financial statements on the assumption that the entity is a going concern and that it will continue all its operations for at least twelve months from the date of preparation of the financial statements. Our procedures to evaluate the board of directors' going-concern assessment included, amongst others:

•	considering whether the board of directors identified events or conditions that may cast significant doubt on the entity's ability to continue as a going concern (hereafter: going-concern risks);
•	considering whether the board of directors' going-concern assessment includes all relevant information of which we are aware as a result of our audit and inquiring with the board of directors regarding the board of directors' most important assumptions underlying its going-concern assessment. Amongst others, the board of directors' took into consideration price increases in energy, transport and packing materials;
•	evaluating the board of directors' current budget including cash flows for at least twelve months from the date of preparation of the financial statements taken into account current developments in the industry such as quota and allowable catch volumes and all relevant information of which we are aware as a result of our audit;
•	analysing whether the current and the required financing has been secured to enable the continuation of the entirety of the entity's operations, including compliance with relevant covenants;
•	performing inquiries of the board of directors as to its knowledge of going-concern risks beyond the period of the board of directors' assessment.

Our procedures did not result in outcomes contrary to the board of directors' assumptions and judgments used in the application of the going-concern assumption.

Report on the other information included in the financial report 2022

The financial report 2022 contains other information. This includes all information in the financial report 2022 in addition to the financial statements and our auditor's report thereon.

Based on the procedures performed as set out below, we conclude that the other information:

•	is consistent with the financial statements and does not contain material misstatements; and
•	contains all the information regarding the directors' report and the other information that is required by Part 9 of Book 2 of the Dutch Civil Code.

We have read the other information. Based on our knowledge and the understanding obtained in our audit of the financial statements or otherwise, we have considered whether the other information contains material misstatements.

By performing our procedures, we comply with the requirements of Part 9 of Book 2 of the Dutch Civil Code and the Dutch Standard 720. The scope of such procedures was substantially less than the scope of those procedures performed in our audit of the financial statements.

The board of directors is responsible for the preparation of the other information, including the directors' report and the other information in accordance with Part 9 of Book 2 of the Dutch Civil Code.

Responsibilities for the financial statements and the audit

Responsibilities of the board of directors and the supervisory board for the financial statements

The board of directors is responsible for:

•	the preparation and fair presentation of the financial statements in accordance with Part 9 of Book 2 of the Dutch Civil Code; and for
•	such internal control as the board of directors determines is necessary to enable the preparation of the financial statements that are free from material misstatement, whether due to fraud or error.

As part of the preparation of the financial statements, the board of directors is responsible for assessing the Company's ability to continue as a going-concern. Based on the financial reporting framework mentioned, the board of directors should prepare the financial statements using the goingconcern basis of accounting unless the board of directors either intends to liquidate the Company or to cease operations or has no realistic alternative but to do so. The board of directors should disclose in the financial statements any event and circumstances that may cast significant doubt on the Company's ability to continue as a going concern.

The supervisory board is responsible for overseeing the Company's financial reporting process.

Our responsibilities for the audit of the financial statements

Our responsibility is to plan and perform an audit engagement in a manner that allows us to obtain sufficient and appropriate audit evidence to provide a basis for our opinion. Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error and to issue an auditor's report that includes our opinion. Reasonable assurance is a high but not absolute level of assurance, which makes it possible that we may not detect all material misstatements. Misstatements may arise due to fraud or error. They are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of the financial statements.

Materiality affects the nature, timing and extent of our audit procedures and the evaluation of the effect of identified misstatements on our opinion.

A more detailed description of our responsibilities is set out in the appendix to our report.

Utrecht, 2 June 2023

PricewaterhouseCoopers Accountants N.V.

Original has been signed by W.F. J. Vermeulen, RA

Appendix to our auditor's report on the financial statements 2022 of PP Groep Katwijk B.V.

In addition to what is included in our auditor's report, we have further set out in this appendix our responsibilities for the audit of the financial statements and explained what an audit involves.

The auditor's responsibilities for the audit of the financial statements

We have exercised professional judgement and have maintained professional scepticism throughout the audit in accordance with Dutch Standards on Auditing, ethical requirements and independence requirements. Our audit consisted, among other things of the following:

•	Identifying and assessing the risks of material misstatement of the financial statements, whether due to fraud or error, designing and performing audit procedures responsive to those risks, and obtaining audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the intentional override of internal control.
•	Obtaining an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Company's internal control.
•	Evaluating the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the board of directors.
•	Concluding on the appropriateness of the board of directors' use of the going-concern basis of accounting, and based on the audit evidence obtained, concluding whether a material uncertainty exists related to events and/or conditions that may cast significant doubt on the Company's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor's report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor's report and are made in the context of our opinion on the financial statements as a whole. However, future events or conditions may cause the Company to cease to continue as a going concern.
•	Evaluating the overall presentation, structure and content of the financial statements, including the disclosures, and evaluating whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation.

Considering our ultimate responsibility for the opinion on the consolidated financial statements, we are responsible for the direction, supervision and performance of the group audit. In this context, we have determined the nature and extent of the audit procedures for components of the Group to ensure that we performed enough work to be able to give an opinion on the financial statements as a whole. Determining factors are the geographic structure of the Group, the significance and/or risk profile of group entities or activities, the accounting processes and controls, and the industry in which the Group operates. On this basis, we selected group entities for which an audit or review of financial information or specific balances was considered necessary.

We communicate with the board of directors regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.