xbrli:pureiso4217:DKK291957142020-01-012020-12-31291957142020-01-012020-12-311291957142020-01-012020-12-312291957142020-01-012020-12-313291957142020-01-012020-12-311291957142020-01-012020-12-311291957142019-01-012019-12-31291957142020-01-012020-12-31fsa:ProposedExtraordinaryDividendRecognisedInEquityMember291957142019-01-012019-12-31fsa:ProposedExtraordinaryDividendRecognisedInEquityMember291957142020-01-012020-12-31fsa:RetainedEarningsMember291957142019-01-012019-12-31fsa:RetainedEarningsMember291957142020-01-012020-12-31fsa:ContributedCapitalMember291957142020-01-012020-12-31fsa:RetainedEarningsMember291957142020-12-31291957142019-12-31291957142020-01-01fsa:ContributedCapitalMember291957142020-12-31fsa:ContributedCapitalMember291957142020-01-01fsa:RetainedEarningsMember291957142020-12-31fsa:RetainedEarningsMember291957142020-01-01Annual reportAuditor's report on audited financial statementsfalseReporting class BtruefalsefalseEmitec Denmark A/SHaraldsvej60, A, 1.8960Randers SØDK+45 87 12 58 00 +45 87 12 58 19www.emitec.com291957142005-12-02Randers2020-01-012020-12-312019-01-012019-12-312021-06-16Bent KemplarHeiko Frank EberMartin KohnFinn FrederiksenChairmanFinn FrederiksenKPMG Statsautoriseret RevisionspartnerselskabØstre Havnegade189000AalborgDK25578198KPMG Statsautoriseret RevisionspartnerselskabØstre Havnegade 189000 Aalborg25578198The Board of Directors and the Executive Board have today discussed and approved the annual report of Emitec Denmark A/S for the financial year 1 January – 31 December 2020.<br/>The annual report has been prepared in accordance with the Danish Financial Statements Act.<br/>In our opinion, the financial statements give a true and fair view of the Company's assets, liabilities and financial position at 31 December 2020 and of the results of the Company's operations for the financial year 1 January – 31 December 2020.<br/>Further, in our opinion, the Management's review gives a fair review of the matters discussed in the Management's review. <br/>We recommend that the annual report be approved at the annual general meeting.Randers2021-06-16To the shareholders of Emitec Denmark A/SOpinionWe have audited the financial statements of Emitec Denmark A/S for the financial year <br/>1 January – 31 December 2020, comprising income statement, balance sheet and notes, including accounting policies. The financial statements are prepared in accordance with the Danish Financial Statements Act.<br/>In our opinion, the financial statements give a true and fair view of the Company's assets, liabilities and financial position at 31 December 2020 and of the results of the Company's operations for the financial year 1 January – 31 December 2020 in accordance with the Danish Financial Statements Act.Basis for OpinionWe conducted our audit in accordance with International Standards on Auditing (ISAs) and the additional requirements applicable in Denmark. Our responsibilities under those standards and requirements are further described in the "Auditor's responsibilities for the audit of the financial statements" section of our report. We are independent of the Company in accordance with the International Ethics Standards Board for Accountants' Code of Ethics for Professional Accountants (IESBA Code) and the additional requirements applicable in Denmark, and we have fulfilled our other ethical responsibilities in accordance with these rules and requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.Without modifying our audit opinion, we refer to the fact that the company’s operating activities are being phased out, and the Company is expected to be liquidated in 2021. Consequently, the annual report is not prepared in accordance with the going concern basis of accounting. Management is responsible for the preparation of financial statements that give a true and fair view in accordance with the Danish Financial Statements Act and for such internal control that Management determines is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.<br/>In preparing the financial statements, Management is responsible for assessing the Company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting in preparing the financial statements unless Management either intends to liquidate the Company or to cease operations, or has no realistic alternative but to do so.Our objectives are to obtain reasonable assurance as to 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 level of assurance but is not a guarantee that an audit conducted in accordance with ISAs and the additional requirements in Denmark will always detect a material misstatement when it exists. Misstatements may arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of financial statement users made on the basis of these financial statements.<br/>As part of an audit conducted in accordance with ISAs and the additional requirements applicable in Denmark, we exercise professional judgement and maintain professional scepticism throughout the audit. We also<br/>• identify and assess the risks of material misstatement of the company financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain 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 override of internal control<br/>• obtain 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<br/>• evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by Management<br/>• evaluate the overall presentation, structure and contents of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that gives a true and fair view.<br/>We communicate with those charged with governance 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.Management is responsible for the Management's review.<br/>Our opinion on the financial statements does not cover the Management's review, and we do not express any form of assurance conclusion thereon.<br/>In connection with our audit of the financial statements, our responsibility is to read the Management's review and, in doing so, consider whether the Management's review is materially inconsistent with the financial statements or our knowledge obtained during the audit, or otherwise appears to be materially misstated.<br/>Moreover, it is our responsibility to consider whether the Management's review provides the information required under the Danish Financial Statements Act.<br/>Based on the work we have performed, we conclude that the Management's review is in accordance with the financial statements and has been prepared in accordance with the requirements of the Danish Financial Statement Act. We did not identify any material misstatement of the Management's review.Aalborg2021-06-16Steffen S. HansenState Authorised Public Accountantmne32737Operating review<br/>Principal activities<br/>Emitec Denmark A/S is engaged in the production, marketing and sale of pumping systems for air cleaning in diesel engines. <br/>The Company's operating activities are being phased out, and the Company is expected to be liquidated in 2021. <br/>Development in activities and financial position<br/>Profit for the year before tax came in at DKK -4,561,683 against DKK 630,952 in 2019.<br/>Events after balance sheet date <br/>No extraordinary events have occurred after the balance sheet date.The annual report of Emitec Denmark A/S for 2020 has been presented in accordance with the provisions applying to reporting class B entities under the Danish Financial Statements Act, with opt-in from higher reporting class C-medium.<br/>The accounting policies used in the preparation of the financial statements are consistent with those of last year, apart from the fact that the financial statements are not prepared on the assumption of a going concern status as a result of the decision to liquidate the Company. <br/>Foreign currency translation<br/>On initial recognition, transactions denominated in foreign currencies are translated at the exchange rates at the transaction date. Foreign exchange differences arising between the exchange rates at the transaction date and the date of payment are recognised in the income statement as financial income or financial expenses.<br/>Receivables, payables and other monetary items denominated in foreign currencies are translated at the exchange rates at the balance sheet date. The difference between the exchange rates at the balance sheet date and the date at which the receivable or payable arose or was recognised in the income statement is recognised in the income statement as financial income or financial expenses.Gross profit<br/>In accordance with section 32 of the Danish Financial Statements Act, revenue and other external costs are aggregated in the financial statement caption "Gross profit".<br/>Revenue<br/>Revenue from the sale of services is recognised in the income statement provided that delivery and transfer of risk to the buyer have taken place and that the income can be reliably measured and is expected to be received. <br/>Revenue is measured at the fair value of the agreed consideration, excluding VAT and taxes charged on behalf of third parties. All discounts granted are deducted from revenue.<br/>Other external costs<br/>Other external expenses comprise expenses incurred during the year for expenses for Management, administration, development, and distribution including office premises and office expenses and depreciation. <br/>Financial income and expenses <br/>Financial income and expenses are recognised in the income statement at the amounts relating to the financial year. Financial income and expenses comprise interest income and interest expense, realised and unrealised gains in foreign currencies.<br/>Tax on profit/loss for the year <br/>The Company is covered by the Danish rules on compulsory joint taxation of the Continental Group's Danish companies. Subsidiaries form part of the joint taxation from the date on which they are included in the consolidated financial statements and to the date on which they exit the consolidation.<br/>Current Danish corporation tax is allocated by the settlement of joint taxation contribution between the jointly taxed companies in proportion to their taxable income. In this relation, companies with tax loss carryforwards receive joint taxation contributions from companies that have used these losses to reduce their own taxable profits.<br/>Tax for the year comprises joint taxation contributions for the year and changes in deferred tax for the year due to changes in the tax rate. The tax expense relating to the profit/loss for the year is recognised in the income statement, and the tax expense relating to amounts directly recognised in equity is recognised directly in equity.Property, plant and equipment<br/>Fixtures and fittings, tools and equipment and leasehold improvements are measured at cost less accumulated depreciation and impairment losses. <br/>Cost comprises the purchase price and any costs directly attributable to the acquisition until the date on which the asset is available for use. <br/>The estimated useful lives are as follows: <br/>Fixtures and fittings, tools and equipment 3-5 years<br/>Leasehold improvements 3-5 years<br/> <br/>The useful life and residual value are reassessed annually. Changes are treated as accounting estimates, and the effect on depreciation is recognised prospectively.<br/>Gains and losses on the disposal of property, plant and equipment are determined as the difference between the selling price less selling costs and the carrying amount at the date of disposal. Gains and losses are recognised in the income statement as other operating income or other operating costs respectively.<br/>Deposits <br/>Deposits are measured at the lower of amortised cost and net realisable value, which corresponds to nominal value.<br/>Receivables <br/>Receivables are measured at amortised cost. Write-down is made for bad debt losses based on an individual assessment of receivables.<br/>The basis of depreciation is cost less any projected residual value after the end of the useful life. <br/>Corporation tax and deferred tax<br/>In accordance with the joint taxation rules, the liability within the joint taxation entity for the payment of corporation taxes to the tax authorities is settled concurrently with the payment of joint taxation contribution to the administrative company. <br/>Payable and receivable joint taxation contributions are recognised in the balance sheet as balances with group entities.<br/>Deferred tax is measured using the balance sheet liability method on all temporary differences between the carrying amount and the tax value of assets and liabilities. However, deferred tax is not recognised on temporary differences relating to goodwill, which is not deductible for tax purposes, and on office premises and other items where temporary differences, apart from business combinations, arise at the date of acquisition without effect on either profit/loss for the year or taxable income. Where alternative tax rules can be applied to determine the tax value, deferred tax is measured based on the planned use of the asset or settlement of the liability respectively.<br/>Deferred tax assets, including the tax value of tax loss carryforwards, are recognised under receivables at the expected value of their utilisation either as a set-off against tax on future income or as a set-off against deferred tax liabilities in the same legal tax entity and jurisdiction. <br/>Adjustment is made to deferred tax resulting from the elimination of unrealised intra-group profits and losses. <br/>Deferred tax is measured in accordance with the tax rules and at the tax rates applicable in the respective countries at the balance sheet date when the deferred tax is expected to crystallise as current tax.<br/>Liabilities other than provisions<br/>Financial liabilities are recognised at the date of borrowing at the net proceeds received less transaction costs paid. In subsequent periods, the financial liabilities are measured at amortised cost, corresponding to the capitalised value using the effective interest rate. Accordingly, the difference between the proceeds and the nominal value is recognised in the income statement over the term of the loan.<br/>Other liabilities are measured at net realisable value. -1958715461832425512601130898-43842228517200160-4384382851754123245-345780-4561683630952017500000-4561683-168690480-456168300000000000012509730250000077000006923244746382020577447463750645436145075708501210619675708501210619619034161903416520178597634687105201116668841903416190341697634685201785116668840000179685216871920793322039388585422465649439312465649439312757085012106196000The Company's Management expects that the Company will enter into voluntary liquidation in 2021. Accordingly, the Company is expected to discontinue its operations in 2021.Wages and salaries 222,069 211,326<br/>Pensions 15,466 37,263<br/>Other social security costs 1,852 8,544<br/>Other staff costs 3,165 2,980<br/> <br/> 242,552 260,11311Interest income from group entities 0 0<br/>Other interest income 0 0<br/> <br/> 0 0<br/>Current tax for the year 0<br/>Adjustment of deferred tax 0 0<br/>Adjustment current and deferred tax in respect of previous years 4,123,245 -345,780<br/> <br/> 4,123,245 -345,780The share capital consists of 1,903,416 shares of DKK 1. <br/>The share capital is specified as follows:<br/>Share capital on foundation at 2 December 2005 500,000<br/>Capital increase at 15 December 2006 895,000<br/>Capital increase at 31 December 2007 505,416<br/>Capital increase at 20 May 2008 1,000<br/>Capital increase at 28 November 2008 1,000<br/>Capital increase at 11 December 2009 1,000<br/> <br/> 1,903,416Deferred tax at 1 January 7,700,000 9,036,912<br/>Deferred tax, used intercompany -1,076,755 -1,682,692<br/>Deferred tax for the year -4,123,245 345,780<br/> <br/> 2,500,000 7,700,000<br/> <br/>Deferred tax assets regarding tax loss is recognized based on expected earnings in Danish joint taxation. As a result of the expected liquidation, the deferred tax asset is equivalent to the expected loss that is expected to be used for 2020 and 2021. The remaining deferred tax asset is write-down, as this will be lost with the liquidation. Emitec Denmark A/S' related parties comprise the following:<br/>Vitesco Technologies Lohmar Verwaltungs GmbH, Hauptstrasse 128, 53797 Lohmar, Germany.<br/>Vitesco Technologies Lohmar Verwaltungs GmbH, holds the majority of the share capital in the Company<br/>Furthermore, related parties comprise affiliated companies, the Company's Board of Directors, the Executive Board and executive employees.<br/>Emitec Denmark A/S is part of the consolidated financial statements of Continental Emitec Verwaltungs GmbH, which is the smallest group in which the Company is included as a subsidiary.<br/>The consolidated financial statements of Continental Emitec Verwaltungs GmbH can be obtained by contacting the Company or at the following website: www.emitec.com.Contractual obligations<br/>At the balance sheet date, yearly rental obligations represented DK 12 thousand for the period of interminability. <br/>Contingencies, etc.<br/>The Company is covered by the Danish rules on compulsory joint taxation of the Continental Group's Danish companies. As a wholly-owned subsidiary in the Continental Group, the Company has joint and several unlimited liability for Danish corporation taxes and withholding taxes on dividends, interest and royalties within the joint taxation entity. Any subsequent corrections of joint taxation income or withholding taxes may entail an increase in the Company’s liability.