xbrli:pureiso4217:DKK382921882021-01-012021-12-31382921882021-01-012021-12-311382921882021-01-012021-12-311382921882021-01-012021-12-312382921882021-01-012021-12-311382921882021-01-012021-12-312382921882021-01-012021-12-313382921882021-01-012021-12-314382921882021-01-012021-12-315382921882021-01-012021-12-312382921882021-01-012021-12-31382921882020-01-012020-12-31382921882021-01-012021-12-31fsa:RetainedEarningsMember382921882021-01-012021-12-31fsa:RetainedEarningsMember382921882020-01-012020-12-31fsa:RetainedEarningsMember382921882021-12-31382921882020-12-31382921882021-01-01fsa:ContributedCapitalMember382921882021-01-01fsa:ReserveForDevelopmentExpenditureMember382921882021-01-01fsa:RetainedEarningsMember382921882021-01-01382921882021-12-31fsa:ContributedCapitalMember382921882021-12-31fsa:ReserveForDevelopmentExpenditureMember382921882021-12-31fsa:RetainedEarningsMember382921882021-01-012021-12-31fsa:ContributedCapitalMember382921882021-01-012021-12-31fsa:ReserveForDevelopmentExpenditureMember382921882021-01-012021-12-31fsa:OtherShorttermPayablesMemberGrundlag for konklusionKonklusion2022-03-22Regnskabsklasse C, mellemstor virksomhed2020-01-012020-12-3133963556København S23006WeidekampsgadeDeloitte Statsautoriseret RevisionspartnerselskabKøbenhavnKøbenhavn V1601Revisionspåtegning2021-12-312021-01-016<br /><br />10Vester SøgadeMobilepay A/S38292188339635562300 København SWeidekampsgade 6Deloitte Statsautoriseret RevisionspartnerselskabÅrsrapportThe Board of Directors and the Executive Board have today considered and approved the annual report of Mobilepay A/S for the financial year 01.01.2021 - 31.12.2021.The annual report is presented in accordance with the Danish Financial Statements Act.In our opinion, the financial statements give a true and fair view of the Entity’s financial position at 31.12.2021 and of the results of its operations for the financial year 01.01.2021 - 31.12.2021.Further, in our opinion, the Management's report includes a fair review of developments in the Company's operations and financial position.We recommend that the annual report be approved at the Annual General Meeting.Copenhagen2022-03-22Claus BunkenborgAnette Bøje Hendriksenadm. dir.direktørMark Majgaard Wraa-HansenKim Erik BorauBrian Skopek HansenJan Steen OlsenLine Munkholm HaukroghformandnæstformandTo the shareholders of Mobilepay A/SWe have audited the financial statements of Mobilepay A/S for the financial year 01.01.2021 -
31.12.2021, which comprise the income statement, balance sheet, statement of changes in equity and
notes, including a
summary of significant accounting policies. The financial statements are prepared in
accordance with the
Danish Financial Statements Act.
In our opinion, the financial statements give a true and fair view of the Entity’s financial position at 31.12.2021 and of the results of its operations for the financial year 01.01.2021 - 31.12.2021 in accordance
with the Danish Financial Statements Act.
We conducted our audit in accordance with International Standards on Auditing (ISAs) and 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 this auditor’s
report. We are independent of the Entity in accordance with the International Ethics Standards Board of
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 requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis
for our opinion.
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 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 Entity’s ability to continue
as a going concern, for disclosing, as applicable, matters related to going concern, and for using the going
concern basis of accounting in preparing the financial statements unless Management either intends to liquidate
the Entity 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 judgement and maintain professional scepticism throughout the audit. We also:<br />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.
<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 Entity’s internal control.
<br />Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates
and related disclosures made by Management.
<br />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 Entity’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
Entity to cease to continue as a going concern.
<br />Evaluate the overall presentation, structure and content of the financial statements, including the disclosures
in the notes, 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 commentary.
Our opinion on the financial statements does not cover the management commentary, 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 the management
commentary and, in doing so, consider whether the management commentary is materially inconsistent with
the financial statements or our knowledge obtained in the audit or otherwise appears to be materially
misstated.
Moreover, it is our responsibility to consider whether the management commentary provides the information
required under the Danish Financial Statements Act.<br />Based on the work we have performed, we conclude that the management commentary is in accordance with
the financial statements and has been prepared in accordance with the requirements of the Danish Financial
Statements Act. We did not identify any material misstatement of the management commentary.
CopenhagenJens RingbækJakob Lindbergmne27735mne40824State Authorised Public AccountantState Authorised Public AccountantFinancial highlights2021
DKK'0002020
DKK'0002019
DKK'0002018
DKK'0002017
DKK'000Key figuresGross profit/loss183,864(55,912)9,244(24,469)(63,805)Operating profit/loss(137,898)(98,315)(23,373)(35,648)(68,884)Investments in property, plant and equipment9,1900000Net financials(1,516)(648)(1,090)(201)1,800Profit/loss for the year(208,206)(77,079)(19,262)(27,963)(52,325)Balance sheet total1,097,244618,257348,968346,662680,837Investments in property,
plant and equipment10,6580000Equity264,160148,871165,95080,212108,175RatiosReturn on equity (%)(100.80)(49.00)(15.60)(29.70)(48.80)Equity ratio (%)24.124.1047.6023.1015.90The significant development from 2020 to 2021 was due to the merger with the previous MobilePay A/S in 2021. The financial year 2017 covers the period 23 December 2016 – 31 December 2017, which was the Company’s first financial reporting period. For terms and definitions for financial ratios, see Note 1, Ac-counting policies.Return on equity (%)
:Profit/loss for the year * 100
Average equityEquity ratio (%):Equity * 100
Total assetsPrimary activitiesThe Company develops and offers mobile payment solutions in Denmark and Finland.
On June 30th 2021, but with accounting impact from January 1st 2021, MobilePay Denmark A/S merged with MobilePay A/S, with MobilePay Denmark A/S the continuing company. Subsequently, MobilePay Denmark A/S changed its name to MobilePay A/S.
31 December 2021, MobilePay A/S merged with MobilePay Finland Oy, with MobilePay A/S the continuing company.
In June 2021 MobilePay announced it plans of merging with Norwegian mobile payment solution Vipps, owned by 65 Norwegian banks and Finnish mobile payment solution Pivo, owned by OP Financial Group. The merger is still pending approval from the EU commission, which is expected to be obtained during 2022.
Development in activities and financesIn 2021, the Company carried a loss of DKK 208,206 thousand, which met expectations. Due to the merger between MobilePay Denmark A/S and MobilePay A/S during 2021, the result of the year is not directly comparable to last years, however the result is a small improvement on 2020 for the MobilePay Group and is mainly driven by increased top-line from customer income, where net customer income increased with 23% and a relatively flat cost base. The rise in staff costs is mainly related to the transfer of activities from Danske Bank A/S.
In June 2021, the Company’s owner Danske Bank A/S capitalised the Company according to plan.
Profit/loss for the year in relation to expected developmentsSoftware is recognised under Intangible assets, when the software is either being, or intended to be, used and carries a value from e.g. a market for selling products based on the software. At least, on a yearly ba-sis, impairments are evaluated.
OutlookThe Company further develops solutions and the application offered by MobilePay. On this basis, the Company expects to still make significant investments, why a loss is expected also for 2022, even though top line is expected to grow.
Further, MobilePay A/S expects to merge with Norwegian Vipps and Finnish Pivo during 2022 (approval pending)
Events after the balance sheet dateNo events have occurred in the period from the balance sheet date until today, which may change an evaluation of the annual report. 183864000-55912000199546000424030001222160000-137898000-98315000-9967800001516000648000-239092000-98963000-30886000-21884000-208206000-77079000-208206000-208206000-7707900013577300008925200002250250000919000009190000000385000038500002346000000356200000164555000103560003109700027831000217690002193000330000233300003989130002177510004637320004005060008626450006182570001097245000618257000105200001052000017662300007701700013835100026416000014887100010520000013835100014887100010520000176623000770170004957600004957600004369620002666440001594100053510002090000018147000144000030956200017924400078350900046938600078350900046938600010972450006182570000150000000150000000261471000-87976000173495000-84848000848480000
The share capital consists of 10,520 shares of DKK 1,000 each.
The shares are not divided into share classes.
Movements in the share capital in the past five financial years:
Establishment of the Company at 23 December 2016 500
Capital increase in 2017 10000
Capital increase in 2019 10
Capital increase in 2020 10
Capital increase in 2021 *
Share capital af 31 December 2021 10520
*On 28 June 2021, the capital of the former MobilePay A/S was increased and afterwards the former Mo-bilePay A/S was dissolved after a merger with MobilePay A/S (former MobilePay Denmark A/S) effective as at 1 January 2021.1 Staff costs2021
DKK'0002020
DKK'000Wages and salaries163,80933,575Pension costs14,7563,356Other social security costs20,9815,472199,54642,403Average number of full-time employees27465Special incentive programmes
The CEO, CDO and CCO of MobilePay A/S participate in a short-term incentive programme with a bonus of
maximum of 50% of fixed salary.
The bonus calculation is based on individual agreements, including three levels of Key Performance Indicators
(KPIs), comprising both financial and non-financial targets.
For 2021, the weighting of the three KPI levels was: Danske Bank Group KPIs (weight 10%), MobilePay KPIs (weight 50%) and individual KPIs (weight 40%).
The increase of staff costs is related to the merger with the previously MobilePay A/S effective from the 1st of
January 2021.
In 2021, two member of the Executive Board resigned and were remunerated by MobilePay A/S, until the members left the Company during 2021.
By reference to section 98b (3) of the Danish Financial Statements Act, management remuneration is not disclosed for 2020 as this would disclose individual remuneration.
There is no remuneration to the Board of Directors.
.
27465
The CEO, CDO and CCO of MobilePay A/S participate in a short-term incentive programme with a bonus of
maximum of 50% of fixed salary.
The bonus calculation is based on individual agreements, including three levels of Key Performance Indicators
(KPIs), comprising both financial and non-financial targets.
For 2021, the weighting of the three KPI levels was: Danske Bank Group KPIs (weight 10%), MobilePay KPIs (weight 50%) and individual KPIs (weight 40%).
2 Other financial expenses2021
DKK'0002020
DKK'000Financial expenses from group enterprises1,554618Other financial expenses(38)301,516648<br />2021
DKK'0002020
DKK'000Financial expenses from group enterprises1,554618Other financial expenses(38)301,5166483 Tax on profit/loss for the year2021
DKK'0002020
DKK'000Current tax(27,309)(21,769)Change in deferred tax(3,194)0Adjustment concerning previous years(383)(115)(30,886)(21,884)4 Proposed distribution of profit and loss2021
DKK'0002020
DKK'000Retained earnings (208,206)(77,079) (208,206)(77,079)5 Intangible assetsCompleted development projects
DKK'000Development projects in progress
DKK'000Addition through business combinations etc513,198122,750Transfers122,750(122,751)Additions089,253Disposals(11,574)0Cost end of year624,37489,252Addition through business combinations etc(378,244)0Impairment losses for the year(234)0Amortisation for the year(121,697)0Reversal regarding disposals11,5740Amortisation and impairment losses end of year(488,601)0Carrying amount end of year135,77389,2526 Development projectsSoftware is recognised under Intangible assets, when the software is either being, or intended to be, used and
carries a value from e.g. a market for selling products based on the software.
Completed software is amortised on a straight-line basis over its expected useful life. The amortisation period is
usually three years, but may in certain situations be longer if prolonging the period is considered to better reflect
the Company’s use of the developed software.7 Property, plant and equipmentLand and buildings
DKK'000Addition through business combinations etc2,243Additions8,415Cost end of year10,658Addition through business combinations etc(1,217)Depreciation for the year(251)Depreciation and impairment losses end of year(1,468)Carrying amount end of year9,1908 Financial assetsInvestments in group enterprises
DKK'000Addition through business combinations etc277,860Disposals on divestments etc (330,299)Additions52,439Cost end of year0Addition through business combinations etc(202,121)Disposals on divestments etc 301,795Exchange rate adjustments4Share of profit/loss for the year(99,693)Other adjustments15Impairment losses end of year0Carrying amount end of year0<br />Investments in group enterprises
DKK'000Addition through business combinations etc277,860Disposals on divestments etc (330,299)Additions52,439Cost end of year0Addition through business combinations etc(202,121)Disposals on divestments etc 301,795Exchange rate adjustments4Share of profit/loss for the year(99,693)Other adjustments15Impairment losses end of year0Carrying amount end of year09 Deferred tax
Changes during the year2021
DKK'000Addition from merger310Adjustment of deffered tax of the year75End of year385<br />10 Deferred tax
Changes during the year2021
DKK'000Addition from merger56,803Adjustment of deferred tax for the year(7,227)End of year49,576 11 Prepayments 12 Other payables2021
DKK'0002020
DKK'000Wages and salaries, personal income taxes, social security costs, etc payable26,5327,879Other costs payable283,030171,365309,562179,24413 Contingent liabilitiesThe Company is jointly and severally liable with jointly registered group entities for the total VAT liability.
At the end of 2021, the Company had provided DKK 175 941 thousand (2020: DKK 102,999 thousand) worth of cash as collateral for e-money payables and well as DKK 71 592 thousand (2020: DKK 50 785 thousand) worth of cash as collateral for Merchant funds payables.
The Company has a contractual liability for the lease of the MobilePay Lithuania branch premises and the MobilePay A/S Copenhagen headquarter premises. The lease contract for the Lithuanian premises runs until October 2022 with an obligation of EUR 190 thousand and the contract for the Copenhagen premises runs until March 2024 with an obligation of DKK 12 762 thousand.
The company has committed to IT services or licenses of DKK 2 364 thousand in 2022 and DKK 476 thousand in 2023.14 Related parties with controlling interestThe Company is wholly owned subsidiary of Danske Bank A/S, Copenhagen.
The Company’s financial statements are part of the consolidated financial statements for Danske Bank A/S (CVR number 61126228), Copenhagen.
The consolidated financial statements can be obtained at www.danskebank.dk.
Related party transactions:
By reference to section 98c (7) of the Danish Financial Statements Act, we will disclose if transactions has not been settled on an arm’s length basis. In 2021, all transactions with related parties were settled on an arm’s length basis.
This annual report has been prepared in accordance with the provisions of the Danish Financial Statements Act governing reporting class C enterprises (medium).The Company’s financial statements are part of the consolidated financial statements for Danske Bank A/S, Copenhagen.
By reference to section 86(4) of the Danish Financial Statements Act, no cash flow statement has therefore been prepared.
The accounting policies remained unchanged from last year.
Comparative figures for 2020 have not been adjusted after the mergers in 2021 as the mergers have been accounted for after the book value method as described below under Intra-group business combinations
falseAccounting estimates and judgementsManagement’s estimates and judgments in respect of future events that will affect the carrying amounts of assets and liabilities underlie the preparation of the financial statements. Management’s estimates and judgements are based on assumptions which Management considers reasonable, but which are inherently uncertain and unpredictable. As the assumptions may be incomplete or imprecise, and since unexpected events or circumstances may arise, making such estimates and judgements is difficult and will be associat-ed with uncertainty. Estimates and judgements that are deemed most critical to the financial statements are capitalisation and amortisation of software.Recognition and measurementIncome is recognised in the income statement as earned, whereas expenses are recognised by the amounts attributable to the financial year.
Assets are recognised in the balance sheet when it is probable that, as the result of a past event, future economic benefits will flow to the Company and the value of the asset can be measured reliably.
Liabilities are recognised in the balance sheet when the Company has a legal or constructive obligation as a result of a past event, and it is probable that future economic benefits will flow from the Company, and the value of the liability can be measured reliably.
On initial recognition, assets and liabilities are measured at cost. On subsequent recognition, assets and lia-bilities are measured as described below in respect of each individual item.
Recognition and measurement take into account predictable risks and losses occurring before the presentation of the annual report which confirm or invalidate affairs and conditions existing at the balance sheet date.
Transactions in foreign currency are translated using average exchange rates. Receivables, payables and other monetary assets and liabilities in foreign currency are translated at the exchange rates at the balance sheet date. Gains and losses on exchange rate differences are recognised in the income statement.
Assets and liabilities of branches outside Denmark are translated into Danish kroner at the exchange rates at the balance sheet date. Income and expenses are translated using average exchange rates. Gains and losses arising at the translation of foreign branches are recognised in retained earnings.
Principles for related party transactionsThe Company is part of the Danske Bank Group, which consists of a number of separate legal entities. Re-lated party transactions are settled on market terms. Expenses incurred centrally are billed to the individu-al group entities as calculated unit prices based on consumption and activity in accordance with the rules on transfer pricing or at market prices if such prices exist.Intra- group business combinationsThe book value method is applied to intra-group business combinations. The acquisition or disposal is as-sumed to have taken place at the time when control is transferred. However, company-law transactions such as mergers, demergers, exchange of shares and asset contributions which are made with retroactive effect take effect for financial reporting purposes on the first day of the financial year. This method does not require restatement of prior-year comparative figures. Gross profit or lossRevenue consists of distribution and software development fees from partner banks, licence and administration fees from subsidiaries, and income from MobilePay’s private users and business merchant’s use of MobilePay. Revenue is recognised net of VAT, taxes, duties and discounts related to the sale and is measured at the fair value of the consideration agreed.RevenueRevenue consists of distribution and software development fees from partner banks, licence and admin-istration fees from subsidiaries, and income from MobilePay’s private users and business merchant’suse of MobilePay. Revenue is recognised net of VAT, taxes, duties and discounts related to the sale and is meas-ured at the fair value of the consideration agreed.External expensesExternal expenses comprise expenses relating to the operation and administration of the Company’s activ-ities.
Other external expenses also comprise expenses relating to development projects that do not qualify for capitalisation.
Staff costsStaff costs comprise payroll costs, social security costs, pensions etc. relating to the Company’s employees.Amortisation, depreciation and impairment Amortisation, depreciation and impairment comprise the year’s amortisation, depreciation and impairment charges in respect of intangible and tangible assets.Income from group undertakingsIncome from investments in group undertakings comprises the pro rata share of the individual undertakings’ profit or loss after tax, and after elimination of intra-group profit or loss.Financial income and expensesFinancial income and expenses comprise interest income and expenses as well as surcharges and allow-ances under the Danish Tax Prepayment Scheme.TaxTax for the year, which consists of current tax and changes in deferred tax for the year, is recognised in the income statement as regards the portion attributable to the profit/loss for the year and directly in equity as regards the portion attributable to entries directly in equity. Intangible assets
Software is recognised under Intangible assets, when the software is either being, or intended to be, used and carries a value from e.g. a market for selling products based on the software.
Completed software is amortised on a straight-line basis over its expected useful life. The amortisation pe-riod is usually three years, but may in certain situations be longer if prolonging the period is considered to better reflect the Company’s use of the developed software.
An impairment test is performed for software if there is evidence of impairment.
Tangible assets Tangible assets include other fixtures and fittings, tools and equipment. Other fixtures and fittings, tools and equipment cover vehicles, furniture and leasehold improvements. Tangible assets are measured at cost and depreciated over the estimated useful life.
The estimated useful life is 3-10 years.
Depreciation charges are recognised under amortisation, depreciation and impairment.
Tangible assets are tested for impairment if indications of impairment exist. An impaired asset is written down to its recoverable amount, which is the higher of its fair value less costs to sell and its value in use.
Investments in group enterprisesInvestments in group undertakings are recognised and measured according to the equity method. Accord-ing to the equity method investments are measured at the pro rata share of the undertakings’ equity val-ue plus or minus unamortised goodwill and plus or minus unrealised intra-group profits or losses.
Group undertakings with negative equity value are measured at DKK 0. Any receivables from group under-takings with negative equity value are written down by the Parent’s share of the equity value if deemed irrecoverable. If the negative equity value exceeds the amount receivable, the remaining amount is recognised as provisions if the Parent has a legal or constructive obligation to cover the liabilities.
According to the equity method net revaluation of investments in group undertakings are transferred to Reserve for net revaluation.
Investments in group undertakings are written down to the lower of the recoverable amount and the carrying amount.
Reserve for development costsAn amount equalling recognised development costs is taken to equity under Reserve for development costs. The reserve is reduced as the development projects are amortised and written down by transferring a corresponding amount to free reserves. The reserve cannot be used for paying dividends or loss coverage.
ReceivablesReceivables are measured at amortised cost, which usually corresponds to the nominal value less provi-sions for bad debts.PrepaymentsPrepayments comprise expenses incurred relating to subsequent financial years. Prepayments are measured at cost.CashCash comprises bank deposits.DividendDividend expected to be distributed for the financial year is presented as a separate line item under “Equity”. Dividend proposed for the year is recognised as a liability at the date when it is adopted at the annual general meeting (declaration date).LiabilitiesLiabilities are measured at amortised cost, which usually corresponds to the nominal value.Corporation tax and deferred taxCurrent tax payables and receivables are recognised in the balance sheet as tax computed on the taxable income
for the year, adjusted for tax on prior-year taxable income and tax paid on account.
Deferred tax is measured using the balance sheet liability method on all temporary differences between the
carrying amount and the tax base of assets and liabilities, calculated based on the planned use of the asset or
settlement of the liability, respectively.
Deferred tax assets, including the tax base of tax loss carry-forwards, are recognised in the balance sheet at the value at which the asset is expected to be realised, either through a set-off against deferred tax liabilities or as net tax assets. Deferred tax is recognised under “Deferred tax assets” or “Provisions for deferred tax”,
respectively.
The Company is jointly taxed with its parent, Danske Bank A/S. The current Danish corporation tax is allocated
among the jointly taxed entities in proportion to their taxable income (full allocation subject to reimbursement in respect of tax (losses).
2022-03-22Julie Top-Madsen