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Unicon A/S is included in the Group financial statements for Aalborg Portland Holding A/S, Denmark and Caltagirone S.p.A., Italy. Cementir Holding N.V. has its registered head office in Amsterdam and its secondary office in Rome, is listed on the Italian Stock Exchange in Milan (code CEM) and is part of the listed Caltagirone Group. Attributable to:Non-controlling interests 24,981 26,937Shareholders in Unicon A/S 143,746 128,436Financial risks and instrumentsCurrency risksHedging is assessed and taken out in close co-operation with the Italian parent company. For the hedging of currency risks, the Group analyses realised and expected cash flows broken down by currencies. The Group does not hedge the currency risk between EUR/DKK due to the Danish fixed-exchange-rate policy aimed at the EUR.Risks relating to purchases and salesRevenue from the Group's activities and the purchases are denominated in several currencies. Accordingly, these activities are exposed to changes in exchange rates. The Group's currency risks are primarily hedged by the settlement of income and costs in the same currency and by use of derivative financial instruments.Financial risks and instrumentsThe Company has no financial instruments at 31 December 2022. Main activity Unicon develops, produces and distributes ready-mixed concrete in Denmark, Norway and Sweden. Unicon is one of the Nordic region's leading suppliers of ready-mixed concrete. Denmark In Denmark, Unicon is the market leader with 32 plants producing and supplying ready-mixed concrete to the whole country. Ready-mixed concrete is sold to both residential and business customers. In 2022, the company has delivered a strong performance, both financially and strategically. Financially Unicon is looking at solid results driven by strong sales in a declining market, continuous efforts to control costs in a market with high inflation. Strategically, Unicon has managed to differentiate itself from the market by taking on the role as market leader through a strong focus on the sustainability agenda within ready-mixed concrete. 2022 was a year affected by high volatility and a decreasing market. Throughout 2022, the industry encountered lower demand, mainly driven by record-high inflation. Unicon witnessed a decrease in volume, however an increase in market share compared to 2021. Going into 2023, Unicon has a scalable and robust position. Kudsk & Dahl has delivered a lower result than anticipated due to a temporary close down of the aggregate pit in Nr. Hostrup related to a complaint. Kudsk & Dahl is compliant with all regulations but is not allowed to produce while the complaint is being handled. We expect that this case will be solved in 2023. Regardless of the complaint Kudsk & Dahl is still able to supply Unicon 100% with all needed materials in quality as well as volume for all six plants in the southern part of Jutland. Norway Unicon AS produces ready-mixed concrete at 25 plants and 2 mobile units from Mandal in the South to Steinkjer in the North. Market and sales development Unicon experienced a challenging market development in 2022 in terms of limited raw material availability in the first part of the year, combined with a strong cost increase on input factors. Despite this, our sales of ready-mix concrete (RMC) increased slightly compared to 2021, although with large regional differences. Unicon has continued the supplies to major infrastructure projects, Regjeringskvartalet (the Norwegian Government Building Complex), and the new Oslo Airport City at Gardermoen and the new Hospital in Drammen. Before the summer, we completed deliveries to the infrastructure project Nordøyvegen. During 2022, Unicon continued its focus on safety, sustainability, customer service and improved competitiveness. Safety is our priority; we believe that all accidents can be avoided and hence our target is zero lost time accidents. We have continued our efforts in keeping our employees and contractors safe from accidents and injuries by building a stronger safety culture to reach our target of zero lost time injuries. Our customer focus continues relentlessly as we seek to satisfy our customers with quality ready-mix concrete, delivered on time and supported by leading technical service and consulting. During the year, the company undertook a major reorganisation in order to improve the customer service as well as the competitiveness. Sweden AB Sydsten produces and sells ready-mixed concrete and aggregates (granite, quartzite and gravel) to the southern part of Sweden. The company has 9 plants, 4 granite quarries, 1 quartzite quarry, 1 gravel pit, trading business in precast concrete and a recycling business. In 2022, Sydsten has faced a changed market landscape due to two main reasons. Firstly, the large projects that have supported high volumes during the last years have now been completed. Secondly, cost increase on input factors, weaker household economies and higher interest rates have created uncertainty and a weakening demand which the construction industry has not experienced for a very long time. Sydsten has started to adapt to the new situation in the market. Focus areas during the year have been on adapting production capacity, cost optimization and price management. We have successfully managed to defend our market position and keep revenues and earnings on a good level while volumes have dropped. During the year, Sydsten has noticed an increasing demand from project developers and customers for products with lower carbon emission impact. Sydsten´s efforts to fulfil customer demands and win contracts have continued with electrification of production, use of biofuels and carbon reduced RMC. Sydsten has focused its social impact on supporting FC Rosengård, a Malmö football club with a successful woman´s team and a substantial social engagement in the local community targeting socially vulnerable areas in Malmö, helping kids engage in higher education and keeping them out of a growing criminal gang culture. This is one of the biggest societal challenges in Sweden today, also with a negative impact on the society in which the company operates. Sustainability & Health and Safety Unicon A/S – Unicon Denmark, Unicon Norway, Sydsten and Kudsk & Dahl – has overall increasingly had focus on sustainability on five areas:  CO2 reduced concrete: Shift to new CO2 reduced cement types in concrete products with focus on TMimplementing Futurecem.  Green transport: Introduction of ready-mix trucks with electrical hybrid engines into the market.  Sustainable production: Electrifying production in quarries and energy efficiency at concrete plants.  Waste management: Reusing own concrete waste and concrete waste from demolition. Cleaning wastewater from production.  Health and safety: A number of measures in order to create a stronger safety culture and reducing the number of accidents. The sustainability efforts for Unicon A/S will continue the coming years with more initiatives to insure more sustainable products, a more sustainable production, greener transport and a more safe and healthy work environment. Group exposures Business risks The company is sensitive to the conditions usually affecting sale of ready-mixed concrete. This exposure can be split into four main areas:  Private new construction  Multi-storey houses and multi-family houses  Non-residental construction  Public-sector construction and infrastructure The Unicon Group’s focus of business is on the Scandinavian countries. Efforts are made to achieve a proper mix of variable and fixed costs to be able to counter temporary changes in demand. Currency exposure The Group’s products are usually not sold to other countries, for which reason its currency exposure is limited mainly to balance sheet items which for individual subsidiaries are in local currency. Interest rate exposure It is Group policy to have a proper mix of short-term and medium-term interest exposure. Long-term interest agreements are concluded seldom. Cash flow risk It is Group policy always to be able to pay its debts, and periodic cash management and reporting therefore takes place on a systematic basis to ensure this. Credit risks The Group’s credit risk primarily relates to trade receivables from sale to customers. The Group’s receivables are assessed on a current and individual basis and provisions are made currently if there is any doubt about a customer’s ability to pay. Basically, sale to customers with an estimated low ability to pay is made against prepayment or a bank guarantee. The maximum credit risk on trade receivables corresponds to the value at which they are included in the balance sheet. No individual customer poses any material risk to the Group. Environment and energy Environmental respect and energy consumption are focal issues for the entire Nordic ready-mixed concrete business area. A number of environmental projects are therefore currently under way, including one relating to the recycling of large volumes of water used in company processes. Concrete is an environment-friendly building material pre-dominantly produced from natural resources. Environmental impacts from Unicon’s concrete production are continuously being reduced, and Unicon has established an internal Environmental Management System based on ISO 14001 that has been implemented in the Group’s production plants. The system ensures ongoing improvements to environmental conditions at company plants. Payments to authorities In accordance with Danish regulations governing payments to authorities in large companies, cf. Section 99(c) of the Danish Financial Statements Act, reference is made to parent company Aalborg Portland Holding A/S annual report 2022. Events after the balance sheet date No events have occurred after the balance sheet date to this date which would influence the evaluation of this annual report. In Aalborg Portland Holding A/S’ consolidated financial statements for 2022, the Unicon group contributes with DKK 213m before tax and minority interests. Aalborg Portland Holding A/S’ consolidated financial statements are presented according to IFRS. The variances to the Group accounts of Unicon A/S for 2022, which is presented according to the Danish Financial Statements’ Act, are: Earnings before tax (EBT) in the Unicon consolidated financial statements DKK 212m Amortisation of goodwill, not deductible, cf. IFRS DKK 4m Contribution (EBT) to the Aalborg Portland Holding Group DKK 216m The total variance between Unicon A/S’s financial statements for 2022 and the contribution to Aalborg Portland Holding A/S’ consolidated financial statements for 2022 amounts to DKK 4m before tax. Expectations to 2023 Sales in 2023 are expected to increase compared to 2022, mainly due to price increases to compensate cost increases on input factors. In Denmark, sales are expected to be at the level of 2022. In Norway, sales are expected to increase compared to 2022, whereas sales in Sweden are expected to be below 2022. Efforts will still be focused on maintaining a strong market position and - based on the business units' close customer relations - constantly keep focus on customer needs and product development. Revenue is expected to be in the range of DKK 3,100 – 3,200m and overall, earnings (EBIT) for 2023 are expected to be in line with 2022. Financial ratios EBITDA ratio Earnings before depreciation/amortisation, impairment losses, provisions, interest and tax (EBITDA) Revenue EBIT ratio Earnings before interest and tax (EBIT) Revenue ROCE NOPAT Average invested capital NOPAT Net Operating Profit After Tax Earnings before interest and tax (EBIT) x (1 – effective tax rate) Capital employed Intangible assets + tangible assets + working capital NIBD/EBITDA factor Net interest-bearing debt (NIBD) EBITDA Return on equity Profit Average shareholders' equity Equity ratio Shareholders’ equity Total assets Net interest-bearing debt (NIBD) Interest-bearing liabilities less interest-bearing assets Working capital Inventories, trade receivables and trade payables 2509000000 2469000000 2389000000 Earnings before depreciation/amortisation, impair- ment, provisions, interest and tax (EBITDA) Earnings before depreciation/amortisation, impair- ment, provisions, interest and tax (EBITDA) Earnings before depreciation/amortisation, impair- ment, provisions, interest and tax (EBITDA) Earnings before depreciation/amortisation, impair- ment, provisions, interest and tax (EBITDA) Earnings before depreciation/amortisation, impair- ment, provisions, interest and tax (EBITDA) 262000000 295000000 307000000 369000000 368000000 EBITDA ratio EBITDA ratio EBITDA ratio EBITDA ratio EBITDA ratio 0.10 0.12 0.13 0.14 0.13 Earnings before interest and tax (EBIT) Earnings before interest and tax (EBIT) Earnings before interest and tax (EBIT) Earnings before interest and tax (EBIT) Earnings before interest and tax (EBIT) 172000000 146000000 162000000 219000000 214000000 EBITratio EBITratio EBITratio EBITratio EBIT ratio 0.07 0.06 0.07 0.08 0.07 Earnings before tax (EBT)NIBD/EBITDAfactor Earnings before tax (EBT)NIBD/EBITDAfactor Earnings before tax (EBT)NIBD/EBITDAfactor Earnings before tax (EBT)NIBD/EBITDAfactor Earnings before tax (EBT)NIBD/EBITDA factor 181000000 139000000 154000000 219000000 213000000 146000000 108000000 123000000 159000000 229000000 307000000 -40000000 -58000000 -61000000 Free cash flow (FCF) Free cash flow (FCF) Free cash flow (FCF) Free cash flow (FCF) Free cash flow (FCF) 118000000 171000000 246000000 219000000 207000000 -76000000 -69000000 -64000000 -129000000 -82000000 1312000000 1523000000 1512000000 585000000 588000000 Net interest-bearing debt (NIBD) Net interest-bearing debt (NIBD) Net interest-bearing debt (NIBD) Net interest-bearing debt (NIBD) Net interest-bearing debt (NIBD) -130000000 74000000 -16000000 -68000000 -109000000 Working capital (WC) Working capital (WC) Working capital (WC) Working capital (WC) Working capital (WC) -21000000 1000000 -17000000 -71000000 -77000000 0.26 0.18 0.21 0.25 0.26 0.45 0.39 0.39 0.40 0.42 0.22 0.15 0.15 0.19 0.22 -0.01 0.00 -0.00 -0.00 -0.00 Number of employees at 31 December Number of employees at 31 December Number of employees at 31 December Number of employees at 31 December Number of employees at 31 December 664000000 659000000 644000000 678000000 688000000 The financial ratios have been computed in accordance with the Guidelines issued by the Danish Finance Society in 2015. Cf. definitions in accounting policies. IFRS 16 have been implemented in 2019 without restatement of comparable figures. In 2022, the Unicon Group realised revenue of DKK 2,936m within ready-mixed concrete and aggregates, an increase of 12% compared to 2021. Operating profit (EBITDA) was DKK 368m against DKK 369m in 2021. The profit before tax for 2022 was DKK 213m against DKK 219m in 2021, a decrease of 3%. The return on capital employed (ROCE) was 22%, against 19% in 2021. The shareholder’s equity at 31 December 2022 was DKK 690m, corresponding to an equity ratio of 42%. The Unicon Group achieved a positive cash flow from operating activities at DKK 269m. After net investments of DKK 63m, the Group has a free cash flow of DKK 171m. Sustainability and social responsibility Unicon is part of the annual report of the Aalborg Portland Holding Group, which is part of the annual report of the Cementir Group, in which social responsibility has been described. Unicon’s Statutory Report on Corporate Social Responsibility, cf. Section 99(a) of the Danish Financial Statements Act, can be found in “Sustainability Report 2022” from Cementir Holding, the owner of Aalborg Portland Holding. The report is available at www.cementirholding.it. In accordance with Danish regulations governing the gender composition of management in large companies, cf. Section 139(a) of the Danish Companies Act and Section 99(b) of the Financial Statements Act, the Group’s policy on gender equality is being extended to recruitment and promotion, the decisive consideration being to find the best qualified people for all company positions. Focus is placed on increasing the number of female managers to provide for a balanced gender composition. Increasing the female representatives in the management level remains a priority for Unicon A/S and during 2022 Unicon has continued working to attract female candidates and strengthen our recruitment strategies to ensure that Unicon has female candidates, applying for management positions. For 2022, the management level of Unicon A/S consists of 14 males and 3 females. The Board of the Group’s parent company has three male AGM-elected members, and therefore the goal is not met. No change of board members has been relevant during 2022. The aim of Unicon A/S is to have at least one female AGM-elected member before the end of 2024. In accordance with the Danish rules for large companies, cf. section 99(d) of the Danish Financial Statements Act, Aalborg Portland Holding (CVR No 14244441) has issued its Policy on Data Ethics. The policy addresses the data ethics principles applied by Aalborg Portland Holding and describes the approach to data processing covering all data types. This includes e.g. use of new technologies and responsible use of data, including personal data protection (GDPR). Data Ethics is an integrated part of the compliance programme of Aalborg Portland Holding and Group Management is overall responsible for the compliance of Data Ethic Policies. Implementation of the Data Ethics Policy at an operational level is anchored with Group IT. In 2022, Aalborg Portland Holding continued the work with data ethics issues in accordance with the policy. The policy is reviewed on a yearly basis and no changes have been made during 2022. The policy is available at https://aalborgportlandholding.com/en/data-ethics. The Board of Directors and the Executive Board have today discussed and approved the annual report of Unicon A/S for the financial year 1 January – 31 December 2022. The annual report has been prepared in accordance with the Danish Financial Statements Act. In our opinion the consolidated financial statements and the parent company financial statements give a true and fair view of the Group's and the Parent Company's assets, liabilities and financial position at 31 December 2022 and of the results of the Group's and the Parent Company's operations and consolidated cash flows for the financial year 1 January – 31 December 2022. Further, in our opinion, the Management’s review gives a fair review of the development in the Group’s and the Parent Company’s activities and financial matters, of the results for the year and of the Group’s and the Parent Company’s financial position. We recommend the annual report for adoption at the Annual General Meeting. Copenhagen To the Shareholders of Unicon A/S In our opinion, the Consolidated Financial Statements and the Parent Company Financial Statements give a true and fair view of the financial position of the Group and the Parent Company at 31 December 2022, and of the results of the Group’s and the Parent Company’s operations as well as the consolidated cash flows for the financial year 1 January - 31 December 2022 in accordance with the Danish Financial Statements Act. We have audited the Consolidated Financial Statements and the Parent Company Financial Statements of Unicon A/S for the financial year 1 January - 31 December 2022, which comprise income statement, balance sheet, statement of changes in equity and notes, including a summary of significant accounting policies, for both the Group and the Parent Company, as well as consolidated statement of cash flows (“financial statements”). We 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 Group in accordance with the International Ethics Standards Board for Accountants’ International Code of Ethics for Professional Accountants (IESBA Code) and the additional ethical requirements applicable in Denmark, and we have fulfilled our other ethical responsibilities in accordance with these requirements and the IESBA Code. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. Management is responsible for Management’s Review. Our opinion on the financial statements does not cover Management’s Review, and we do not express any form of assurance conclusion thereon. In connection with our audit of the financial statements, our responsibility is to read Management’s Review and, in doing so, consider whether Management’s Review is materially inconsistent with the financial statements or our knowledge obtained during the audit, or otherwise appears to be materially misstated. Moreover, it is our responsibility to consider whether Management’s Review provides the information required under the Danish Financials Statements Act. Based on the work we have performed, in our view, Management’s Review is in accordance with the Consolidated Financial Statements and the Parent Company Financial Statements and has been prepared in accordance with the requirements of the Danish Financial Statement Act. We did not identify any material misstatement in Management’s Review. Management is responsible for the preparation of Consolidated Financial Statements and Parent Company Financial Statements that give a true and fair view in accordance with the Danish Financial Statements Act, and for such internal control as Management determines is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, Management is responsible for assessing the Group’s and the Parent 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 Group or the Parent Company or to cease operations, or has no realistic alternative but to do so. 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 level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs and the additional requirements applicable in Denmark will always detect a material misstatement when it exists. Misstatements can 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 users taken on the basis of these financial statements. As part of an audit conducted in accordance with ISAs and the additional requirements applicable in Denmark, we exercise professional judgment and maintain professional skepticism throughout the audit. We also:  Identify and assess the risks of material misstatement of the 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.  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 Group’s and the Parent Company’s internal control.  Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by Management.  Conclude on the appropriateness of Management’s use of the going concern basis of accounting in preparing the financial statements and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Group’s and the Parent 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. However, future events or conditions may cause the Group and the Parent Company to cease to continue as a going concern.  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.  Obtain sufficient appropriate audit evidence regarding the financial information of the entities or business activities within the Group to express an opinion on the Consolidated Financial Statements. We are responsible for the direction, supervision and performance of the group audit. We remain solely responsible for our audit opinion. 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. Aarhus 33771231 Henrik Trangeled Kristensen Thyge Belter State Authorised Public Accountant State Authorised Public Accountant mne23333 mne30222 2935935000 2623859000 1909018000 1653592000 1026917000 970267000 682538000 631376000 152522000 133287000 22647000 14088000 56000 921000 214448000 218771000 6676000 4636000 4267000 6274000 12819000 10377000 212572000 219304000 43845000 63931000 168727000 155373000 149731000 147339000 Reversal of revaluation / impairment losses Reversal of revaluation / impairment losses 350000 1563000 Share of net profits of equity-accounted investees Share of net profits of equity-accounted investees -6676000 -4637000 Net financial income / expense Net financial income / expense 8551000 4103000 Gains/losses on disposals Gains/losses on disposals -17304000 -5939000 Income taxes Income taxes 43847000 63931000 Change in employee benefits Change in employee benefits -5275000 -1266000 Change in provisions (current and non-current) Change in provisions (current and non-current) -1830000 -3012000 Operating cash flows before changes in working capital Operating cash flows before changes in working capital 340121000 357455000 6502000 -8354000 -31079000 -4539000 29018000 65869000 Change in non-current/current other assets/liabilities Change in non-current/current other assets/liabilities -4023000 -31015000 Change in current and deferred taxes Change in current and deferred taxes -3963000 1130000 1435000 566000 -6867000 -5859000 -62064000 -37241000 269219000 339637000 0 650000 81605000 129041000 19054000 8519000 -62551000 -121109000 2125000 -1002000 63352000 111020000 Other cash movement of financial receivables Other cash movement of financial receivables -15855000 0 107270000 103537000 Other variances of equity Other variances of equity 18001000 -5593000 -170601000 -219148000 36067000 -620000 -11359000 -2498000 137133000 140251000 161841000 137133000 20743000 24759000 5282000 11770000 26025000 36529000 183878000 180261000 395116000 367534000 4310000 4337000 17460000 68317000 210287000 210475000 811051000 830924000 40282000 35837000 40282000 35837000 877358000 903290000 67542000 65562000 19249000 27732000 86791000 93294000 270189000 240168000 229691000 164711000 4058000 3814000 3397000 9220000 9603000 11138000 516938000 429051000 161841000 137133000 765570000 659478000 1642928000 1562768000 150000000 150000000 39222000 34774000 308416000 257812000 85000000 85000000 582638000 527586000 107231000 102807000 689869000 630393000 18498000 16247000 49681000 75663000 34320000 36150000 102499000 128060000 154848000 154183000 154848000 154183000 58532000 59720000 370188000 392131000 132974000 31705000 29744000 49065000 5921000 6458000 98353000 111053000 695712000 650132000 850560000 804315000 1642928000 1562768000 150000000 223150000 30991000 85000000 489141000 103772000 592913000 -4557000 -853000 0 -5410000 -9365000 -14775000 232000 0 0 232000 0 232000 267000 0 0 267000 659000 926000 -80000 0 0 -80000 0 -80000 128436000 0 0 128436000 26937000 -4636000 4636000 0 0 0 0 85000000 0 -85000000 0 0 0 0 0 85000000 85000000 19196000 104196000 150000000 257812000 34774000 85000000 527586000 102807000 -10721000 -2228000 0 -12949000 -7726000 -20675000 433000 0 0 433000 0 433000 8822000 0 0 8822000 8425000 17247000 0 0 0 0 0 0 143746000 0 0 143746000 24981000 -6676000 6676000 0 0 0 0 85000000 0 -85000000 0 0 0 0 0 85000000 85000000 21256000 106256000 150000000 308416000 39222000 85000000 582638000 107231000 The consolidated share capital consists of shares of nominal DKK 1,000 or multiples of these.Shareholders' equity / Parent CompanyReserve fornet revaluation Proposedaccording to dividends forDKK '000 Share the equity Retained the financialcapital method earnings yearTotalShareholders' equity 1 January 2021 150,000 20,969 233,172 85,000 489,141Exchange rate adjustments 0 -211 1,298 0 1,087Equity movements in subsidiaries 0 -398 -5,680 0 -6,078Reserve according to equity method 0 8,670 -8,670 0 0Profit for the year 0 0 128,436 0 128,436Movement for the year at the equity 0 8,061 115,384 0 123,445Dividend paid 0 0 0 -85,000 -85,000Proposed dividends for the financial year 0 0 -85,000 85,000 0Shareholders' equity at 31 December 2021 150,000 29,030 263,556 85,000 527,586Exchange rate adjustments 0 4,785 -17,734 0 -12,949Equity movements in subsidiaries 0 -11,745 21,000 0 9,255Reserve according to equity method 0 43,984 -43,984 0 0Profit for the year 0 0 143,746 0 143,746Movement for the year at the equity 0 37,024 103,028 0 140,052Dividend paid 0 0 0 -85,000 -85,000Proposed dividends for the financial year 00-85,000 85,000 0Shareholders' equity at 31 December 2022 150,000 66,054 281,584 85,000 582,638The consolidated share capital consists of shares of nominal DKK 1,000 or multiples of these. Revenue2022 2021Ready-mixed Ready-mixed concreteAggregates TotalconcreteAggregates TotalDKK '000 DKK '000 DKK '000 DKK '000 DKK '000 DKK '000Denmark 1,330,090 21,232 1,351,322 1,181,912 27,573 1,209,485Norway1,049,805 0 1,049,805 884,277 0 884,277Sweden 370,903 163,905 534,808 341,772 188,325 530,0972,750,798 185,137 2,935,935 2,407,961 215,898 2,623,859 2022 2021Staff costs DKK '000 DKK '000Wages and salaries 348,269 330,078Pension contributions 37,966 38,426Social security contributions 27,364 27,205413,599 395,709The amounts comprise: cost of sales, sales and distribution costs as well as administrative expenses and other costs.Staff costsWages and salaries 209,968 196,009Pension contributions 19,535 18,381Social security contributions 3,715 4,486 233,218 218,876 700 686 Other operating income and other operating costsOther operating incomeRental income 2,031 1,709Profit from sale of fixed assets 17,360 6,470Other income 3,256 5,90922,647 14,088Other operating costsLoss on sale of assets 56 531Other costs 0 39056 921Financial income and expensesFinancial income Interest and other financial income 839 564Interest income from group enterprises 595 2Realised exchange rate gains 2,740 5,475Unrealised exchange rate gains 93 233 4,267 6,274Financial expenses Interest and other financial expenses 4,115 4,215Interest expenses to group enterprises 3,329 2,397Realised exchange losses2,715 3,417Unrealised exchange losses2,660 348 12,819 10,377Financial income and expenses 2022 2021 DKK '000 DKK '000Financial income: Interest and other financial income 313 152Interest income, Group enterprises 311 0Realised exchange rate gains 31Unrealised exchange rate gains 92 0 719 153Financial expenses: Interest and other financial expenses 1,228 1,356Interest expenses, Group enterprises 1,907 1,367Realised exchange rate losses1 102Unrealised exchange rate losses594 88 3,730 2,913 Investments in joint ventures Investments Investmentsin injoint ventures joint venturesCost at 1 January 1,063 1,064Exchange rate and other adjustments -3 -1Cost at 31 December 1,060 1,063Adjustments at 1 January 34,774 30,991Exchange rate adjustments -1,538 -455Profit shares 6,676 4,636Dividend for the year -690 -318Other adjustments 0 -80Adjustments at 31 December39,222 34,774Carrying amount at 31 December40,282 35,837Unicon's share Unicon's shareShareholders' Ownership of profit of shareholders'equity interest after tax equityDKK '000 % DKK '000 DKK '000- Ecol-Unicon Sp. z o.o., Poland 52,432 49 3,405 25,691- ÅGAB Syd AB, Sweden 36,476 40 3,271 14,5916,676 40,282The proportion of voting rights does not differ from the ownership interest held.Investments in subsidiaries Investments Investmentsin insubsidiaries subsidiariesCost at 1 January 227,206 220,355Exchange rate and other adjustments -17,734 6,851Cost at 31 December 209,472 227,206Adjustments at 1 January 6,661 -8,658Exchange rate adjustments 5,206 -5,586Profit after tax 40,579 48,336Equity movements in subsidiaries 9,255 -5,998Dividend received -20,310 -21,433Adjustments at 31 December41,391 6,661Carrying amount at 31 December250,863 233,867Investments in subsidiariesUnicon's share Unicon's share Unicon's shareShareholders' Ownership of profit of profit of shareholders'equity interest before tax after tax equityDKK '000 % DKK '000 DKK '000 DKK '000- Unicon AS, Norway124,869 100 19,207 14,953 136,004- AB Sydsten, Sweden 89,417 50 28,299 22,722 95,374- Kudsk & Dahl A/S, Denmark19,581 100 1,161 2,904 19,48548,667 40,579 250,863Investments in joint ventures Investments Investmentsin injoint ventures joint venturesCost at 1 January 1,028 1,028Cost at 31 December 1,028 1,028Value adjustments at 1 January 22,369 20,969Exchange rate adjustments -421 -211Profit shares 3,405 2,009Dividend for the year -690 -318Other adjustments 0 -80Adjustments at 31 December24,663 22,369Carrying amount at 31 December25,691 23,397Unicon's share Unicon's share Unicon's shareShareholders' Ownership of profit of profit of shareholders'equity interest before tax after tax equityDKK '000 % DKK '000 DKK '000 DKK '000- Ecol-Unicon Sp. z o.o., Poland 52,432 49 4,736 3,405 25,6914,736 3,405 25,691The voting rights does not differ from the ownership interest held. Remuneration to the board of directors amounted to DKK 0.1m in 2022 and DKK 0.1 in 2021. In 2022 and 2021, remuneration to the management is paid via management fee to Aalborg Portland Holding A/S. Remuneration to the management is DKK 2.0m in 2022 and DKK 1.9m in 2021.Remuneration to the board of directors amounted to DKK 0.9m in 2022 and DKK 0.1m in 2021. In 2022 and 2021, remuneration to the management is paid via management fee to Aalborg Portland Holding A/S. Remuneration to the management is DKK 1.9m in 2022 and DKK 1.9m in 2021. Tax on profit for the yearCurrent tax on the profit for the year 44,093 48,955Adjustment deferred tax 1,895 -1,987Other adjustments, including previous years -2,143 16,96343,845 63,931Tax on profit for the yearCurrent tax on the profit for the year 29,463 29,290Adjustment of deferred tax 1,972 -381Adjustment previous years -1,809 16,08029,626 44,989 Intangible assets Goodwill GoodwillCost at 1 January 340,550 330,038Exchange rate adjustments -11,557 10,512Cost at 31 December 328,993 340,550Amortisation at 1 January 315,791 299,598Exchange rate adjustments -11,557 10,463Amortisation for the year 4,016 5,730Amortisation at 31 December 308,250 315,791Carrying amount at 31 December 20,743 24,759Performed impairment tests have supported carrying values.Other Otherintangible intangibleassets assetsCost at 1 January 107,068 106,361Exchange rate and other adjustments -67 57Additions 0 650Disposals -7,802 0Cost at 31 December 99,199 107,068Depreciation at 1 January 95,298 88,469Exchange rate and other adjustments -30 10Disposals -7,802 0Depreciation for the year 6,451 6,819Depreciation at 31 December 93,917 95,298Carrying amount at 31 December 5,282 11,770Intangible assets Goodwill GoodwillCost at 1 January 175,391 172,617Exchange rate and other adjustments -3,048 2,774Cost at 31 December 172,343 175,391Amortisation at 1 January 150,629 142,785Exchange rate -3,048 2,742Amortisation for the year 4,016 5,102Amortisation at 31 December 151,597 150,629Carrying amount at 31 December20,746 24,762Performed impairment tests have supported carrying values.Other Otherintangible intangibleassets assetsCost at 1 January 104,957 104,957Cost at 31 December 104,957 104,957Depreciation at 1 January 95,015 88,495Depreciation for the year 6,104 6,520Depreciation at 31 December 101,119 95,015Carrying amount at 31 December3,838 9,942 Property, plant and equipment Land and Land andbuildings buildingsCost at 1 January 565,550 549,685Exchange rate and other adjustments -11,772 3,008Additions 7,616 6,774Disposals -14,556 -2,496Transfer 12,137 8,579Cost at 31 December 558,975 565,550Depreciation and impairment losses at 1 January 385,289 368,970Exchange rate and other adjustments -7,037 1,357Reversed depreciation on disposals -13,939 -2,496Depreciation for the year 10,784 11,931Transfer 0 5,527Depreciation and impairment losses at 31 December 375,097 385,289Carrying amount at 31 December183,878 180,261Plant and Plant andmachinery machineryCost at 1 January 1,220,585 1,182,707Exchange rate and other adjustments -49,002 11,442Additions 57,403 55,794Disposals -85,346 -54,076Transfer 53,491 24,718Cost at 31 December 1,197,131 1,220,585Depreciation and impairment losses at 1 January 853,051 832,260Exchange rate and other adjustments -33,680 9,713Reversed depreciation on disposals -84,214 -51,494Depreciation for the year 66,858 61,676Transfer 0 896Depreciation and impairment losses at 31 December 802,015 853,051Carrying amount at 31 December395,116 367,534Property, plant and equipment, continuedOther fixtures, Other fixtures,tools and tools andequipment equipmentCost at 1 January 97,309 97,726Exchange rate and other adjustments -139 200Additions 350 703Disposals -62,066 -1,320Transfer 417 0Cost at 31 December 35,871 97,309Depreciation at 1 January 92,972 93,433Exchange rate and other adjustments -117 175Reversed depreciation on disposals -62,066 -1,320Depreciation for the year 772 684Depreciation at 31 December 31,561 92,972Carrying amount at 31 December4,310 4,337Tangible Tangibleassets assetsin course of in course ofconstruction constructionCost at 1 January 68,317 27,986Exchange rate and other adjustments -1,050 1,434Additions 16,238 65,771Transfer -66,045 -26,874Cost at 31 December 17,460 68,317Carrying amount at 31 December17,460 68,317Right-of-use Right-of-useassets assetsCost at 1 January 365,972 322,018Exchange rate and other adjustments -9,041 1,461Additions 64,828 60,692Disposals -14,087 -17,907Transfer -58 -292Cost at 31 December 407,614 365,972Depreciation and impairment losses at 1 January 155,497 106,388Exchange rate and other adjustments -5,456 289Reversed depreciation on disposals -13,710 -11,589Depreciation for the year 60,865 60,499Transfer 131 -90Depreciation and impairment losses at 31 December 197,327 155,497Carrying amount at 31 December210,287 210,4752022 2021DKK '000 DKK '000Depreciation, Land and buildings 10,586 9,669Depreciation, plant and machinery 50,265 50,830Interest on lease liabilities 2,296 2,710Short-term leases 13,180 13,940Lease of low value assets141 233Total amounts recognised in the income statement 76,468 77,382Property, plant and equipment Land and Land andbuildings buildingsCost at 1 January 370,210 368,207Additions 1,860 3,073Disposals -11,031 -1,070Transfer 9,016 0Cost at 31 December 370,055 370,210Depreciation and impairment losses at 1 January 271,468 267,457Reversed depreciation on disposals -10,620 -1,070Depreciation for the year 5,350 5,081Depreciation and impairment losses at 31 December 266,198 271,468Carrying amount at 31 December103,857 98,742Property, plant and equipment, continued Plant and Plant andmachinery machineryCost at 1 January 390,990 403,428Additions 25,903 20,409Disposals -40,784 -33,461Transfer 21,536 614Cost at 31 December 397,645 390,990Depreciation and impairment losses at 1 January 260,522 270,224Reversed depreciation on disposals -40,377 -32,352Depreciation for the year 24,305 22,648Transfer 02Depreciation and impairment losses at 31 December 244,450 260,522Carrying amount at 31 December153,195 130,468Other fixtures, Other fixtures,tools and tools andequipment equipmentCost at 1 January 92,902 93,519Additions 350 703Disposals -60,007 -1,320Transfer 417 0Cost at 31 December 33,662 92,902Depreciation at 1 January 89,074 89,786Reversed depreciation on disposals -60,007 -1,320Depreciation for the year 694 608Depreciation at 31 December 29,761 89,074Carrying amount at 31 December3,901 3,828Tangible Tangibleassets assetsin course of in course ofconstruction constructionCost at 1 January 30,966 1,148Additions 1,801 30,430Transfer -30,966 -612Cost at 31 December 1,801 30,966Carrying amount at 31 December1,801 30,966Right-of-use Right-of-useassets assetsCost at 1 January 220,088 181,612Additions 37,476 42,147Disposals -7,749 -3,493Transfer -1 -178Cost at 31 December 249,814 220,088Depreciation and impairment losses at 1 January 78,204 50,875Reversed depreciation on disposals -7,438 -2,908Depreciation for the year 32,968 30,352Transfer 0 -115Depreciation and impairment losses at 31 December 103,734 78,204Carrying amount at 31 December146,080 141,884Property, plant and equipment, continued 2022 2021DKK '000 DKK '000Depreciation, Land and buildings 2,035 1,903Depreciation, plant and machinery 30,933 28,449Interest on lease liabilities 1,076 998Short-term leases 3,175 1,844Total amounts recognised in the income statement 37,219 33,194 InventoriesNo material impairment has been made during the year and no material inventories are measured at a net realisable value under the actual cost price.InventoriesNo material impairment has been made during the year and no material inventories are measured at a net realisable value under the actual cost price. PrepaymentsPrepayments comprise prepaid expenses concerning rent and insurance premiums etc. ReceivablesReceivables with maturity after one year amount to DKK 0.0m (2020: DKK 0.0m).ReceivablesReceivables with maturity after one year amount to DKK 0.0m (2021: DKK 0.0m). Deferred tax liabilitiesDeferred tax assets Deferred tax liabilities2022 2021 2022 2021DKK '000 DKK '000 DKK '000 DKK '000Deferred tax liabilitiesIntangible assets 0 0 -46,197 -44,866Property, plant and equipment 0 0 41,439 42,186Current assets 0 0 171 -205Provisions 0 0 23,346 19,444Non-current and current liabilities 0 0 -261 -312Deferred tax liabilities at 31 December 0 0 18,498 16,247DeferredtaxliabilitiesDKK '000The year's changes in deferred tax assets/liabilitiesDeferred tax assets/liabilities at 1 January 2022 16,247Movements through the income statement 1,895Fair value adjustments 122Defined benefit plan 3,460Exchange rate movements -3,226Net deferred tax assets/liabilities at 31 December 2022 18,498The Group's basis for deferred tax reflects the differences between the carrying amount and the tax value of the group's assets and liabilities.The Group's aggregate net deferred tax stated above is broken down by assets and liabilities. Where a legal entity or jurisdiction has both tax assets and liabilities, these have been set off.The Group's valued tax assets are essentially not subject to time limits.The Mutual Agreed Procedures (“MAP”) covering 2008-2012 between the Danish and the Italian tax authorities regarding a transfer pricing case on royalty payments involving the Aalborg Portland Holding Group was settled in 2021. The Tax Authorities in Denmark and Italy reached a split decision, where the Italian tax authorities gave an adjustment of 64%, which means that royalties were reduced to approx. 1/3 of the original amount. With regards to the transfer case for the following years 2013-2021 a mutual agreement has been made with the Danish and the Italian tax authorities to apply a sales-based calculation of 0.25% of the net sales only, which is at the level accepted between the Danish and Italian Tax Authorities for FYs 2008-2012. For Unicon A/S, being part of the joint taxation, this has resulted in a tax adjustment of DKK 17.7m included in the Financial Statement 2021.Deferred tax liabilities 2022 2021DKK '000 DKK '000Deferred tax liabilitiesIntangible assets -3,473 -2,260Property, plant and equipment 13,836 10,673Current assets 95 73Provisions -375 -375Deferred tax liabilities at 31 December 10,083 8,111DeferredtaxliabilitiesDKK '000The year's changes in deferred tax liabilitiesDeferred tax liabilities at 1 January 2022 8,111Movements through the income statement 1,972Deferred tax liabilities at 31 December 2022 10,083The Parent Company's basis for deferred tax reflects the differences between the carrying amount and the tax value of the Parent Company's assets and liabilities.The Parent Company's valued tax assets are essentially not subject to time limits.The Mutual Agreed Procedures (“MAP”) covering 2008-2012 between the Danish and the Italian tax authorities regarding a transfer pricing case on royalty payments involving the Aalborg Portland Holding Group was settled in 2021. The Tax Authorities in Denmark and Italy reached a split decision, where the Italian tax authorities gave an adjustment of 64%, which means that royalties were reduced to approx. 1/3 of the original amount. With regards to the transfer case for the following years 2013-2021 a mutual agreement has been made with the Danish and the Italian tax authorities to apply a sales-based calculation of 0.25% of the net sales only, which is at the level accepted between the Danish and Italian Tax Authorities for FYs 2008-2012. For Unicon A/S, beting part of the joint taxation, this has resulted in a tax adjustment of DKK 16.7m included in the Financial Statement 2021. Pensions and similar commitmentsThe pension commitments incumbent on the Danish enterprises are funded through insurance schemes. The pension commitments of certain foreign enterprises are also funded through insurance schemes. Foreign enterprises whose pension commitments are not - or only partly - funded through insurance schemes (benefit-based) state the uncovered pension commitments at the actuarial present value at the balance sheet date. These pension schemes are backed by pension funds. Moreover, the Unicon Group has made provisions of DKK 50m (2021: DKK 76m) considering the assets related to the schemes.2022 2021DKK '000 DKK '000Present value of benefit-based schemes 81,273 107,739Market value of the assets comprised by the schemes -31,592 -32,07649,681 75,663Present value of benefit-based schemes at 1 January 107,739 100,994Adjustment to prior years 0 7,198Exchange rate adjustment -6,580 92Actuarial gains/losses -20,790 -2,282Costs 2,490 3,814Interest on commitment 1,607 1,146Payments -3,193 -3,223Present value of benefit-based schemes at 31 December 81,273 107,739Market value of the assets comprised by the schemes at 1 January 32,076 30,180Exchange rate adjustment -1,647 1,444Actuarial gains/losses -83 -1,125Payments 813 1,116Interest on assets 433 461Market value of the assets comprised by the schemes at 31 December 31,592 32,076Stated as liability (Pension provisions) 49,681 75,663Taken to the income statementCosts (incl. actuarial adjustments) 2,490 3,814Interest, net 1,174 685Total amount taken to the income statement 3,664 4,499All assets comprised by the schemes are managed and controlled by pension providers in collective pool schemes.The assumptions on which the actuarial computations are based at the balance sheet date are as follows, on average:Average discounting rate applied 3-4% 1-2%Future pay increase rate 2-3% 2-3%Expected pension increase rate 3-4% 1-2% Other provisions2022 2021DKK '000 DKK '000Other provisions at 1 January 36,150 39,162Exchange rate adjustments and other adjustments -2,009 342Additions for the year 3,285 1,166Disposals for the year-3,106 -4,520Other provisions at 31 December 34,320 36,150The provisions are mainly attributable to re-establishment costs in connection with the Group's gravel and stone activities and demolition liabilities for buildings etc. Additions for the year are mainly attributable to reassessment hereof.Other provisions 2022 2021DKK '000 DKK '000Other provisions at 1 January 2,057 5,180Additions 350 100Disposals in the year-15 -3,223Other provisions at 31 December 2,392 2,057The provisions are mainly related to guarantee work and demolition liabilities for buildings etc. Non-current liabilities2022 2021DKK '000 DKK '000Non-current liabilities falling due later than within 5 years after the end of the financial year:Leases 32,458 31,18132,458 31,181Non-current liabilitiesNon-current liabilities falling due later than 5 years after the end of the financial year:Credit institutions 00Mortgage debt 00Leases 26,635 24,18726,635 24,187 Other payablesOther payables include due holiday pay, taxes, public duties and interest payable.Other payablesOther payables include due holiday pay, taxes, public duties and interest payable. Charges 2022 2021Carrying amount Carrying amountof assetsAssets of assetsAssetscharged charged charged chargedDKK '000 DKK '000 DKK '000 DKK '000Plant and machinery 13,737 0 16,447 0 13,737 0 16,447 0 2022 2021Contingent liabilities DKK '000 DKK '000Guarantees 10,454 6,214Lease expenses recognised in the income statement are in accordance with IFRS16, reference is made to note 9.Unicon A/S and Kudsk & Dahl A/S are taxed jointly with other Danish companies in the Aalborg Portland Holding Group. As 100% owned subsidiaries, the companies are jointly and unlimited liable with the other companies in the joint taxation of Danish corporate taxes within the joint taxation group. Payable corporate taxes in the joint taxation group amounted to DKK 6.9m at 31 December 2022. Any subsequent corrections of the taxable income subject to joint taxation could cause a higher liability of the companies.Contingent liabilities 2022 2021 DKK '000 DKK '000Guarantees 531 531Lease expenses recognised in the income statement are in accordance with IFRS16, reference is made to note 9.Unicon A/S is taxed jointly with other Danish companies in the Aalborg Portland Holding Group. As a 100% owned subsidiary, the company is jointly and unlimited liable with the other companies in the joint taxation of Danish corporate taxes within the joint taxation group. Payable corporate taxes in the joint taxation group amounted to DKK 6.9m at 31 December 2022. Any subsequent corrections of the taxable income subject to joint taxation could cause a higher liability of the company. Fee to auditors appointed at the Annual General Meeting2022 2021DKK '000 DKK '000Total fee to auditors appointed at the Annual General Meeting to be specified as follows:Statutory audit 962 1,163Other assurance engagements -8 0Tax and VAT advisory services 013Other services 4 146958 1,322Fee to the auditors appointed at the Annual General MeetingTotal fee to auditors appointed at the Annual General Meeting to be specified as follows:Statutory audit 539 645Other assurance engagements -8 0Other services 44535 649 Related party transactionsRelated parties with significant influence:Aalborg Portland Holding A/S, Rørdalsvej 44, 9220 Aalborg Øst, owns 100% of the shares in Unicon A/S.Cementir España S.L., Calle General Yagüe, Num. 13, 28020 Madrid, SpainCementir Holding N.V., Zuidplein 36, 1077 XV Amsterdam, NetherlandsCaltagirone S.p.A., Via Barberini, 28, 00187 Rome, ItalyRelated parties within Unicon Group comprise the enterprises' Board of Directors and Management together with family related to these persons.Furthermore, related parties comprise enterprises in which the above-mentioned persons have significant interests.Transactions with Aalborg Portland Holding A/S:- Intra-group management and administration agreements and royalties 7,743 5,909- Financial items, net -367 -322- Financial receivables 30,887 22,149- Financial payable9,340 2,634- Trade payables 1,945 198Transactions with other related parties:- Intra-Group management and administration agreements 1,967 4,179- Cost of sales 55,934 48,277- Trade payables 6,242 1,431Related party transactionsRelated parties with significant influence:Aalborg Portland Holding A/S, Rørdalsvej 44, 9220 Aalborg Øst, owns 100% of the shares in Unicon A/S.Cementir España S.L., Calle General Yagüe, Num. 13, 28020 Madrid, SpainCementir Holding N.V., Zuidplein 36, 1077 XV Amsterdam, NetherlandsCaltagirone S.p.A., Via Barberini, 28, 00187 Rome, ItalyRelated parties within Unicon A/S comprise the enterprises' Board of Directors and Management together with family related to these persons.Furthermore, related parties comprise enterprises in which the above-mentioned persons have significant interests.Transactions with Aalborg Portland Holding A/S:- Intra-group management and administration agreements and royalties 4,582 3,316- Financial items, net -214 -184- Financial receivables 18,446 19,778- Financial payable173 85- Trade payables 1,310 0Transactions with other related parties:- Intra-Group management and administration agreements 1,408 2,624- Cost of sales 51,237 41,438- Other operating income 343 377- Trade receivables 49 28- Trade payables 4,633 974 Post-balance sheet eventsThere have been no post-balance sheet events material to this Annual Report which have not been recognised or mentioned.Post-balance sheet eventsThere have been no post-balance sheet events material to this Annual Report which have not been recognised or mentioned. General The Annual Report 2022 of Unicon A/S is prepared in accordance with the Danish Financial Statements Act for large companies in reporting class C, with the adoption of some IFRS standards. The annual report 2022 is presented in thousand Danish kroner. Recognition and measurement in general The financial statements have been prepared under the historical cost convention. Income is recognised in the income statement as it is earned, including recognised value adjustments of financial assets and liabilities measured at fair value or amortised cost. Furthermore, costs incurred to achieve year earnings are recognised in the income statement, including depreciation, impairment losses and provisions as well as reversals due to changes in accounting estimates of amounts previously recognised in the income statement. Assets are recognised in the balance sheet when it is probable that future economic benefits will accrue to the company and the value of the asset can be reliably measured. Liabilities are recognised in the balance sheet when it is probable that future economic benefits will flow from the company and the liability value can be reliably measured. On initial recognition assets and liabilities are measured at cost. Subsequent measurement of assets and liabilities are made as described below for each individual item. Certain financial assets and liabilities are measured at amortised cost, which includes a constant effective interest rate over the term. Amortised cost is calculated as original cost less depreciation and allowance / deduction of accumulated depreciation of the difference between cost and the nominal amount. Hereby exchange rate gains and losses are allocated according to the life of the asset or liability. Recognition and measurement take into account predictable losses and risks, which appear before the annual report is presented, and which confirm or deny the conditions that existed at the balance sheet date. DKK is used as functional currency. All other currencies are considered foreign currency. Consolidated financial statements The consolidated financial statements comprise the Parent Company, Unicon A/S, and all enterprises in which the Parent Company exercises a controlling influence of their financial and operating policies. Control is obtained when the company directly or indirectly holds more than 50% of the voting rights in the enterprise or which it, in some other way, controls. Enterprises, in which the Parent Company exercises significant influence, but not a controlling influence, are considered as joint ventures. Significant influence is generally achieved by direct or indirect ownership or control of more than 20% and less than 50% of the voting rights. Joint arrangements are activities or enterprises, in which the Group through cooperation agreements with one or more parties have joint control, where major decisions require unanimity. Joint arrangements are classified as joint ventures or joint operations. Joint operations are where participants have direct rights of assets and direct liability for obligations, whereas, joint ventures are activities where participants alone have rights over the net assets. The consolidated financial statements are based on the financial statements of the Parent Company and the individual enterprises which are prepared in accordance with the Unicon Group accounting policies. All items of a uniform nature are combined. Intra-group income, costs and intra-group financial statements, shareholdings and dividends are eliminated. Furthermore, unrealised gains and losses on transactions between the consolidated companies are eliminated. Unrealised gains on transactions with joint ventures are eliminated in relation to the Group's ownership in the enterprise. Non-controlling interests Subsidiaries’ items are recognised in the consolidated financial statement by 100%. Non-controlling interests’ share of equity is stated separately. Business combinations Enterprises acquired or formed during the year are recognised in the consolidated financial statements from the date of acquisition or formation. Enterprises disposed of are recognised in the consolidated income statement until the date of disposal. Comparative figures are not restated for acquisitions and disposals. On acquisition of subsidiaries, the difference between cost and net asset value of the enterprise acquired is determined at the date of acquisition after the individual assets and liabilities having been adjusted to fair value (the purchase method). This includes allowing for any restructuring provisions determined in relation to the enterprise acquired. Any remaining positive differences are recognised in intangible assets in the balance sheet as goodwill, which is amortised in the income statement on a straight-line basis over its estimated useful life, but not exceeding 20 years. Any remaining negative differences are recognised in deferred income in the balance sheet as negative goodwill. Amounts attributable to expected losses or expenses are recognised as income in the income statement as the affairs and conditions to which the amounts relate materialise. Any negative goodwill not related to expected losses or expenses is recognised at an amount equal to the fair value of non-monetary assets in the income statement over the average useful life of the non-monetary assets. Positive and negative differences from enterprises acquired may, due to changes to the recognition and measurement of net assets, be adjusted until the end of the financial year following the year of acquisition. These adjustments are also reflected in the value of goodwill or negative goodwill, including in depreciation already made. The booked value method is applied to transfers between Group companies (common controlled transactions), according to which assets and liabilities are transferred at their carrying amount plus Group goodwill and negative goodwill, which is restated in equity. When enterprises are sold, the difference between the selling price and the net assets plus cumulative translation differences and unamortised goodwill is recognised in the income statement as a separate item. Foreign currency translation Transactions in foreign currencies are translated at the exchange rate of the date of transaction. Any foreign exchange variances between the rates at the transaction date and the payment date are stated in the income statement as financial items. Monetary assets and liabilities in foreign currencies are translated at the exchange rates at the balance sheet date. Any foreign exchange variances between the rates at the transaction date and the payment date or the balance sheet date, respectively, are stated in the income statement as financial items. Non-monetary assets and liabilities in foreign currencies are stated at the rate of exchange at the date of transaction. Income statements of foreign subsidiaries and joint ventures that are separate legal entities are translated at transaction date rates or approximated average exchange rates. Balance sheet items are translated at the exchange rates at the balance sheet date. Exchange adjustments arising on the translation of the opening equity and exchange adjustments arising from the translation of the income statements at the exchange rates at the balance sheet date are recognised directly in equity. Income statements of enterprises that are integrated entities are translated at transaction date rates or approximated average exchange rates; however, items derived from non-monetary balance sheet items are translated at the transaction date rates of the underlying assets or liabilities. Monetary balance sheet items are translated at the exchange rates at the balance sheet date, whereas non-monetary items are translated at transaction date rates. Exchange adjustments arising on the translation are recognised in financial income and expenses in the income statement. On full or partial disposal of a foreign operation or on repayment of balances which constitute part of the net investment in the foreign operation, the share of the cumulative amount of the exchange differences recognised directly in equity relating to that foreign operation is recognised in the income statement when the gain or loss on disposal is recognised. An average exchange rate is used if it does not significantly deviate from the exchange rate ruling at the transaction date. The assets and liabilities of a foreign company acquired are translated at the exchange rate at the date of transaction (acquisition date). Income statement The annual report is classified by function. Revenue Revenue is recognised in the income statement on delivery and passing of the risk to the buyer and when the income can be measured reliably and is expected to be received. Revenue is measured at fair value of the consideration agreed excl. VAT charged on account of third party. All kinds of discounts are recognised in Revenue. Trade receivables recognised as services delivered are invoiced to the customer and are not adjusted for any financing components as credit terms are short – typically between 20 to 45 days – and the financing component therefore insignificant. Cost of sales Cost of sales comprises of raw materials, consumables, direct labour costs and indirect production costs such as maintenance, depreciation and operation of production plant as well as administration and plant management. Sales and distribution costs Sales and distribution costs comprise direct distribution and marketing costs, salaries for the sales and marketing functions, depreciation as well as other indirect costs. Administrative expenses Administrative costs comprise the costs of the year for management and administration of the company, including costs for administrative staff and management, offices, office expenses and depreciation. Other operating income and costs Other operating income and costs comprise items of a secondary nature in relation to the activities of the Group, including certain grants, rentals, fees, etc. Other operating income and costs also comprise profit on disposal of individual assets, land and buildings which are not related to a total disposal of an activity. Profit/loss from investments in subsidiaries The proportionate share of the profit/loss after tax of subsidiaries is recognised in the income statement and the financial statements of the Parent Company and after elimination of the proportionate share of intra-group unrealised profits/losses, and deduction of impairment and depreciation of group goodwill. Profit/loss from investments in joint ventures The proportionate share of the profit/loss after tax of joint ventures is recognised in the consolidated income statement and after elimination of the proportionate share of intra-group unrealised profits/losses, and deduction of impairment and depreciation of group goodwill. Profit/loss on disposal of joint ventures are presented in the income statement. Costs related to the disposal are recognised in the statement of profit/loss. Financial items Interest income and expenses comprise interest, exchange rate gains and losses on securities, debt and transactions in foreign currency and depreciation of financial assets and liabilities as well as surcharges and refunds under the on-account tax scheme, etc. Realised and unrealised gains and losses on derivative financial instruments that are not qualified as hedge accounting are also included. Tax Tax for the year comprises current tax and changes in deferred tax. Current tax comprises tax payable calculated on the basis of the expected taxable income for the year, using the applicable tax rates for the financial year and any adjustment of tax for previous years. Tax related to changes in shareholders’ equity is restated on equity. Deferred tax is recognised and measured according to the balance sheet liability method on all temporary differences between the carrying amounts for financial reporting purposes and the amounts used for taxation purposes, except differences relating to goodwill not deductible for tax purposes. Deferred tax is calculated based on the applicable tax rates for the individual financial years. The effect of changes in the tax rates is stated in the income statement unless it relates to items previously entered directly in Shareholders’ equity. Deferred tax assets, including the value of tax loss carry-forwards, are recognised under other fixed assets 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. Tax assets are presented under other fixed assets as a separate item. Unicon A/S is jointly taxed with the parent company Aalborg Portland Holding A/S and all Danish enterprises. The current Danish corporation tax is allocated between the jointly taxed Danish companies in proportion to their taxable income. Balance sheet Intangible assets Goodwill On initial recognition, goodwill is recognised in the balance sheet at cost as described under “Business combinations”. Subsequently goodwill is measured at cost less accumulated impairment and depreciation. Goodwill is amortised over its estimated useful life, which is determined on the basis of management experience in the individual business areas. • Goodwill. The amortisation period is up to 20 years. Development projects, patents and other intangible assets Development projects that are clearly defined and identifiable, where the technical feasibility, sufficient resources and a potential future market or development opportunities in the Company is demonstrated, and where the Company intends to complete, market and use the individual project, are recognised as intangible assets provided that the cost can be measured reliably and that there is sufficient assurance that future earnings or the net selling price can cover production costs, selling and administrative expenses and development costs. Other development costs are recognised in the income statement as incurred. Intangible assets are measured at cost less accumulated amortisation and impairment. Cost comprises wages and salaries, depreciation and other costs attributable to the Group's development activities. Specifically developed software applications with a high degree of company-specific adjustments are considered to have an economic life of up to 15 years. Following the completion of the development work, development costs are amortised on a straight-line basis over the estimated useful life from the date when the asset is available for use. The depreciation period is: • Development costs, up to 5 years. • Software applications, up to 15 years. • Licences and other rights, up to 20 years. Property, plant and equipment Property, plant and equipment are measured at cost less accumulated depreciation and impairment. The cost of self-constructed assets comprises direct and indirect costs of materials, components, sub-suppliers, and wages and salaries Deemed costs for dismantling and disposal of the asset and re-establishment are added to cost if the deemed costs are recognised as a provision. The cost of total assets is split into separate components, which are depreciated separately if the useful lives of the individual components differ. Financing costs on loans to finance manufacture of property, plant and equipment are included in the cost price if related to the manufacturing period. All other financing costs are recognised in the income statement. Subsequent costs, e.g. in connection with replacement of components of property, plant and equipment, are recognised in the carrying amount of the asset if it is probable that the costs will result in future economic benefits for the Group. The carrying amount of the replaced components are derecognised in the balance sheet and recognised as an expense in the income statement. All costs incurred for ordinary repairs and maintenance are recognised in the income statement as incurred. Depreciation is charged on a straight-line basis during the estimated useful life of the asset concerned until it reaches the estimated scrap value. Estimated useful lives are as follows: • Buildings, 20 - 40 years • Plant and machinery, 5 - 25 years • Other fixtures, tools and equipment, 3 - 10 years • Leasehold improvements, up to 5 years. Newly acquired assets and assets of own construction are depreciated from the time they are available for use. Land is not depreciated, unless it is used for raw material extraction after individual assessment. The basis of depreciation is calculated on the basis of the scrap value less impairment losses. The scrap value is determined at the acquisition date and reassessed annually. If the scrap value exceeds the carrying amount, depreciation is discontinued. When changing the depreciation period or the scrap value, the effect on the depreciation is recognised prospectively as a change in accounting estimates. Lease assets and lease liabilities Unicon Group mainly leases land, trucks, vehicles and office buildings. When entering into a contract, it is assessed whether the contract is a lease or contains a lease component. A lease is defined as a contract or part of a contract that conveys the right to control the use of an identified asset for a period of time in exchange for consideration. When assessing whether a contract contains a lease component, it must be considered whether, during the period of use, the lessee has the right to essentially all economic benefits from the use of the identified asset and the right to direct the use of the identified asset. A right-of-use asset and a lease liability is recognised at the commencement date. Unicon Group leases cars including a service component in the payments to the lessor. This service is separated from the lease payment when measuring the lease liability. If it is not possible to separate lease components and non-lease components, it is considered a single lease component. Lease liabilities recognised as "Credit institutions and interest-bearing liabilities" are initially measured at the present value of the lease payments that are not paid at that date. The lease payments are discounted using the interest rate implicit in the lease, if that rate can be readily determined. If that rate cannot be readily determined, we have used the incremental borrowing rate. The lease payments consist of fixed and variable lease payments that depend on an index or a rate, guaranteed residual values, purchase options and extension options, if it is reasonably certain to exercise the option and termination penalties, if the lease term reflects our exercising an option to terminate the lease. The lease liability is subsequently adjusted as follows, if: The value of the index or rate on which the lease payments are based is changed. • The exercise of options is changed in order to extend or terminate the lease due to significant events or a significant change in circumstances within the Company's control. • The lease term is changed if the option is exercised in order to extend or terminate the lease. • Estimated residual value guarantee is changed. • The contract is renegotiated or modified. Any subsequent adjustment of the future lease liability is recognised as an adjustment to the right-of-use asset. If the carrying amount of the right-of-use asset is DKK 0, a negative adjustment to the right-of-use asset is, however, recognised in the income statement. The right-of-use asset is initially measured at cost comprising amount of initial measurement of the lease liability plus any initial direct costs and any estimated costs of dismantling and removal of the asset at the end of the lease term which the Company is under an obligation to incur and any prepaid lease payments and less any lease incentives received. The right-of-use asset is depreciated over the shorter of the lease term and the useful life of the right-of-use asset. Short-term leases with a maximum lease term of 12 months and leases for low-value assets are not recognised in the balance sheet. Impairment of assets Goodwill and intangible assets with an indefinite useful life are subject to an annual impairment test. The first test is carried out before the end of the acquisition year. The carrying amount of goodwill is impairment tested at least once a year together with the other non-current assets in the cash-generating unit to which the goodwill is allocated, and an impairment to the recoverable amount is made in the income statement if the carrying amount is higher. The recoverable amount is calculated as the higher of selling price less expected disposal costs and the value in use. The value in use is computed as the present value of the expected future cash flows from the entity of activity (cash-generating unit) to which the goodwill is allocated. The carrying amount of non-current assets, except for goodwill, intangible assets with an indefinite useful life, deferred tax assets and financial assets, is reviewed each year to determine whether there is any indication of impairment. If any such indication exists, the recoverable amount is estimated. The recoverable amount is the higher value of the asset's selling price less expected disposal costs and its value in use. An impairment loss is recognised if the carrying amount of an asset or a cash-generating unit exceeds the recoverable amount of the asset or the cash-generating unit. Impairment of Intangible assets and Property, plant and equipment is charged to the same items as the related depreciation. Investments in joint ventures Investments in joint ventures are measured according to the equity method. Investments in joint ventures are recognised in the balance sheet as the proportionate share of the equity value of the entities stated in accordance with the Group's accounting policies, adding or deducting the proportionate share of unrealised intra-group profits and losses. The total net revaluation of investments in joint ventures is transferred upon distribution of profit to "Reserve for net revaluation under the equity method" under equity. The reserve is reduced by dividend distributed to the Parent Company and adjusted for other equity movements in joint ventures. Joint ventures with a negative net asset value are recognised at DKK 0. Any legal or constructive obligation of the Parent Company to cover the negative balance of the enterprise is recognised in provisions. Inventories Raw materials and consumables are measured at cost. Cost is computed according to the weighted average cost method. The cost of goods for resale and raw materials and consumables comprises purchase price plus delivery costs. The cost of work in progress and finished goods comprise direct production costs with addition of indirect production costs. Indirect production costs include operating costs, maintenance and depreciation of production plant and plant management. If the net realisable value is lower than cost, write-down is made to this lower value. Receivables Receivables are measured at the lower of amortised cost and net realisable value, which corresponds to nominal value less net of impairment losses after individual assessment. Prepaid expenses Prepaid expenses are measured at amortised cost. Equity Dividends Dividends are recognised as debt at the time of approval at the annual general meeting (time of declaration). Dividends which are proposed for distribution are therefore stated separately in the shareholders’ equity. Interim dividends are recognised as debt at the time of decision. Net revaluation reserve according to the equity method Net revaluation reserve according to the equity method comprises net revaluation of equity investments in associates in proportion to cost. Dividends that are expected to be received before the balance sheet date are not tied to the reserve. Reserves may be eliminated in connection with loss, realisation of equity investments or changes in accounting estimates. Reserves cannot be recognised at a negative amount. Pensions, defined contribution schemes In contribution pension schemes the employer is obliged to pay a specific contribution (e.g. a fixed sum or a fixed percentage of the pay). In a contribution scheme the risk in respect of future developments in interest rate, inflation, mortality and invalidity is not borne by the Group. Payments by the Group into defined contribution schemes are stated in the income statement for the period to which they apply and any outstanding payments are stated in the balance sheet as Other payables. Pensions, defined benefit schemes In benefit pension schemes the employer is obliged to pay a specific benefit (e.g. a retirement pension as a fixed sum or a fixed percentage of final pay). In a benefit scheme the Group bears the risk with regard to future development in interest rate, inflation, mortality and invalidity. An annual actuarial valuation is carried out to determine the present value of the future benefits to be paid under defined benefit schemes. The present value is calculated on the basis of assumptions for future developments in wage/salary level, interest rates, inflation and mortality. The present value is calculated only for benefits to which the employees have already earned the right during their employment with the Group. The actuarial present value less the fair value of any plan assets is recognised in the balance sheet under retirement benefit obligations. Differences between the expected growth in pension assets and liabilities and the realised values are classified as actuarial gains or losses. Such gains and losses are recognised in the balance sheet with an offsetting entry on equity. If a pension plan constitutes a net asset, the asset is only recognised if it represents future refunds from the plan or will lead to reduced future payments to the plan. Similarly, other long-term employee benefits are recognised based on an actuarial calculation. However, actuarial gains and losses are recognised in the income statement immediately. Other long-term employee benefits include jubilee benefits. Provisions Provisions are recognised when, as a result of past events, the Group has a legal or a constructive obligation and it is probable that there may be an outflow of resources embodying economic benefits to settle the obligation. When measuring provisions, deemed costs are discounted. When the Group has a legal obligation to dismantle or remove an asset or restore the site on which the asset is located, a provision is recognised corresponding to the present value of expected future costs. Provisions relating to obligations relate to guarantee work, severance costs, re-establishment of gravel pits, demolition liabilities for buildings and silos on rented land, etc. Provisions are measured as the best estimate of the expenses required to settle the obligation at the balance sheet date. On measurement of provisions, the costs required to settle the liability are discounted if the effect is material to the measurement of the liability. A pre-tax discount factor is used that reflects the current market interest rate level plus risks specific to the liability. Changes in present values during the year are recognised as financial expenses. To the extent that at the end of the year further minor supplies etc. for completion of an order are outstanding, accounting provisions are made. Outstanding supplies, for which price and volumes have been agreed upon, are recognised as liabilities. The rest of the reserved amount is allocated to provisions. The provision covers the expected cost of its own completion, subsequent warranty supplies and unsettled claims from customers or sub-suppliers. Financial liabilities Amounts owed to credit institutions are recognised when raising the loan at the proceeds received less transaction costs. Subsequent measurement is made at amortised cost so that the difference between the proceeds and the nominal value is recognised in the income statement during the term of the loan. Other payables consist of holiday pay obligations, supplementary holiday pay, taxes and levies and interest payable. Other payables are recognised at amortised cost prices, usually corresponding to the nominal value. Cash flow statement The cash flow statement for the Group is presented according to the indirect method and shows the composition of the cash flow divided into operating, investing and financing activities, respectively, and the cash funds at the beginning and end of the year. The cash flow statement is based on earnings before depreciation, impairment, provisions, interest and tax (EBITDA). In the statement of working capital/loans a distinction is made between interest-bearing and non-interest-bearing items plus cash funds. • Cash funds consist of cash in hand and bank deposits. • Loans represent total interest-bearing debt items less interest-bearing receivables. • All other non-interest-bearing receivables and debt items are regarded as working capital. Cash flows from operating activities are stated as the year’s profit adjusted for non-cash operating items, changes in working capital, financial items and paid tax. Cash flows from investing activities comprise payments made in connection with the acquisition and disposal of property, plant and equipment. To the extent that enterprises or joint ventures buy-back treasury shares, this is regarded as disposal of securities and is thus included as a reduction of cash flows from investing activities, and not as the dividends as cash flows from operating activities. Cash flows from financing activities comprise payments to and contributions from owners as well as the raising and repayment of loans. Parent Company The Parent Company’s financial statements are prepared in accordance with the Danish Financial Statements Act for large companies in reporting class C, with the adoption of some IFRS standards. Compared to the accounting policies applied in the consolidated financial statement (see Note 23 to the consolidated financial statements) the Parent Company’s accounting policies only deviate in the following items: Investments in subsidiaries Investments in subsidiaries are measured according to the equity method. Investments in subsidiaries are recognised in the balance sheet as the proportionate share of the equity value of the entities stated in accordance with the Group's accounting policies, adding or deducting the proportionate share of unrealised intra-group profits and losses. The total net revaluation of investments in subsidiaries is transferred upon distribution of profit to "Reserve for net revaluation under the equity method" under equity. The reserve is reduced by dividend distributed to the Parent Company and adjusted for other equity movements in subsidiaries. Subsidiaries with a negative net asset value are recognised at DKK 0. Any legal or constructive obligation of the Parent Company to cover the negative balance of the enterprise is recognised in provisions. true 1330090000 1181926000 839485000 722777000 490605000 459149000 293999000 282522000 74762000 59199000 121844000 117428000 10555000 9131000 0 719000 40579000 48336000 3405000 2009000 719000 153000 3730000 2913000 173372000 173425000 29626000 44989000 143746000 128436000 21722000 35375000 37024000 8061000 85000000 85000000 20746000 24762000 3838000 9942000 24584000 34704000 103857000 98742000 153195000 130468000 3901000 3828000 1801000 30966000 146080000 141884000 408834000 405888000 250863000 233867000 25691000 23397000 276554000 257264000 709972000 697856000 24875000 23780000 24875000 23780000 116439000 73697000 137539000 147290000 557000 1116000 1354000 111000 255889000 222214000 16827000 46000 297591000 246040000 1007563000 943896000 150000000 150000000 66054000 29030000 281584000 263556000 85000000 85000000 582638000 527586000 10083000 8111000 2392000 2057000 12475000 10168000 113416000 111697000 113416000 111697000 34312000 31445000 144183000 155441000 46408000 7871000 29463000 46054000 44668000 53634000 299034000 294445000 412450000 406142000 1007563000 943896000 403 387 Other operating income and other operating costsOther operating incomeRental income 788 786Profit from sale of fixed assets 9,763 5,214Other income 4 3,13110,555 9,131Other operating costsLoss from sale of fixed assets 0 329Other costs 0 3900 719 Annual report Auditor's report on audited financial statements ParsePort XBRL Converter 2022-01-01 2022-12-31 2021-01-01 2021-12-31 2023-04-20 David Kjølby Krøger Reporting class C, large enterprise 2023-03-09 Elected by the employees Elected by the employees 25578198 KPMG P/S Dampfærgevej 28 2100 København Ø Opinion Basis for Opinion 2023-03-09 33771231 PricewaterhouseCoopers Statsautoriseret Revisionspartnerselskab 0 63000 Other variances investment assets Other variances investment assets