21265543 2022-01-01 2022-12-31 21265543 2022-01-01 2022-12-31 2 21265543 2022-01-01 2022-12-31 1 21265543 2022-01-01 2022-12-31 2 21265543 2022-01-01 2022-12-31 3 21265543 2022-12-31 21265543 2022-01-01 2022-12-31 101 21265543 2022-01-01 2022-12-31 102 21265543 2022-01-01 2022-12-31 103 21265543 2022-01-01 2022-12-31 104 21265543 2021-01-01 2021-12-31 21265543 2021-01-01 2021-12-31 1 21265543 2021-01-01 2021-12-31 2 21265543 2021-01-01 2021-12-31 3 21265543 2021-12-31 21265543 2021-01-01 2021-12-31 101 21265543 2021-01-01 2021-12-31 102 21265543 2021-01-01 2021-12-31 103 21265543 2021-01-01 2021-12-31 104 21265543 2020-01-01 2020-12-31 21265543 2020-01-01 2020-12-31 1 21265543 2020-01-01 2020-12-31 2 21265543 2020-01-01 2020-12-31 3 21265543 2020-12-31 21265543 2020-01-01 2020-12-31 101 21265543 2020-01-01 2020-12-31 102 21265543 2020-01-01 2020-12-31 103 21265543 2020-01-01 2020-12-31 104 21265543 2019-01-01 2019-12-31 21265543 2019-01-01 2019-12-31 1 21265543 2019-01-01 2019-12-31 2 21265543 2019-01-01 2019-12-31 3 21265543 2019-12-31 21265543 2019-01-01 2019-12-31 101 21265543 2019-01-01 2019-12-31 102 21265543 2019-01-01 2019-12-31 103 21265543 2019-01-01 2019-12-31 104 21265543 2018-01-01 2018-12-31 21265543 2018-01-01 2018-12-31 1 21265543 2018-01-01 2018-12-31 2 21265543 2018-01-01 2018-12-31 3 21265543 2018-12-31 21265543 2018-01-01 2018-12-31 101 21265543 2018-01-01 2018-12-31 102 21265543 2018-01-01 2018-12-31 103 21265543 2018-01-01 2018-12-31 104 21265543 2020-12-31 fsa:ContributedCapitalMember 21265543 2021-01-01 2021-12-31 fsa:ContributedCapitalMember 21265543 2021-12-31 fsa:ContributedCapitalMember 21265543 2020-12-31 fsa:ReserveForNetRevaluationAccordingToEquityMethodMember 21265543 2021-01-01 2021-12-31 fsa:ReserveForNetRevaluationAccordingToEquityMethodMember 21265543 2021-12-31 fsa:ReserveForNetRevaluationAccordingToEquityMethodMember 21265543 2020-12-31 fsa:ReserveForDevelopmentExpenditureMember 21265543 2021-01-01 2021-12-31 fsa:ReserveForDevelopmentExpenditureMember 21265543 2021-12-31 fsa:ReserveForDevelopmentExpenditureMember 21265543 2020-12-31 fsa:RetainedEarningsMember 21265543 2021-01-01 2021-12-31 fsa:RetainedEarningsMember 21265543 2021-12-31 fsa:RetainedEarningsMember 21265543 2022-01-01 2022-12-31 fsa:ContributedCapitalMember 21265543 2022-12-31 fsa:ContributedCapitalMember 21265543 2022-01-01 2022-12-31 fsa:ReserveForNetRevaluationAccordingToEquityMethodMember 21265543 2022-12-31 fsa:ReserveForNetRevaluationAccordingToEquityMethodMember 21265543 2022-01-01 2022-12-31 fsa:ReserveForDevelopmentExpenditureMember 21265543 2022-12-31 fsa:ReserveForDevelopmentExpenditureMember 21265543 2022-01-01 2022-12-31 fsa:RetainedEarningsMember 21265543 2022-12-31 fsa:RetainedEarningsMember 21265543 2022-01-01 2022-12-31 8 21265543 2022-01-01 2022-12-31 7 21265543 2022-01-01 2022-12-31 6 21265543 2022-01-01 2022-12-31 5 21265543 2022-01-01 2022-12-31 4 21265543 2022-01-01 2022-12-31 3 21265543 2022-01-01 2022-12-31 2 21265543 2022-01-01 2022-12-31 1 21265543 2022-01-01 2022-12-31 1 21265543 2022-01-01 2022-12-31 1 iso4217:DKK xbrli:pure Jeppe Hoppe Christensen The Executive Board and Board of Directors have today considered and adopted the Annual Report of WSP Danmark A/S for the financial year 1 January - 31 December 2022. The Annual Report is prepared in accordance with the Danish Financial Statements Act. In our opinion the Financial Statements give a true and fair view of the financial position on 31 Decem-ber 2022 of the Company and of the results of the operations for 2022. In our opinion, Management's Review includes a true and fair account of the matters addressed in the Review. We recommend that the Annual Report be adopted at the Annual General Meeting. Taastrup, Per Christensen CEO Anna-Lena Kristina Öberg Högsta Chairman Jeppe Hoppe Christensen Marie Angelika DorfJaklinder Per Christensen Per Møller-Jensen Lars Brammer Nejrup Anette Andersen Staff Representative Staff Representative Kristina Møberg Jensen Staff Representative To the Shareholder of WSP Danmark A/S Opinion In our opinion, the Financial Statements give a true and fair view of the financial position of the Com-pany at 31 December 2022, and of the results of the Company’s operations for the financial year 1 Janu-ary - 31 December 2022 in accordance with the Danish Financial Statements Act. We have audited the Financial Statements of WSP Danmark 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 (“financial statements”). Basis for Opinion We conducted our audit in accordance with International Standards on Auditing (ISAs) and the addi-tional requirements applicable in Denmark. Our responsibilities under those standards and requirements are further described in the Auditor’s Responsibilities for the Audit of the Financial Statements section of our report. We are independent of the Company in accordance with the International Ethics Standards Board for Accountants’ International Code of Ethics for Professional Accountants (IESBA Code) and the additional ethical requirements applicable in Denmark, and we have fulfilled our other ethical responsi-bilities 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. Statement on Management’s Review 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 Re-view and, in doing so, consider whether Management’s Review is materially inconsistent with the finan-cial statements or our knowledge obtained during the audit, or otherwise appears to be materially mis-stated. Moreover, it is our responsibility to consider whether Management’s Review provides the information required under the Danish Financial Statements Act. Based on the work we have performed, in our view, Management’s Review is in accordance with the Fi-nancial Statements and has been prepared in accordance with the requirements of the Danish Financial Statements Act. We did not identify any material misstatement in Management’s Review. Management’s responsibilities for the Financial Statements 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 de-termines is necessary to enable the preparation of financial statements that are free from material mis-statement, whether due to fraud or error. In preparing the financial statements, Management is responsible for assessing the Company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting in preparing the financial statements unless Management either in-tends to liquidate the Company or to cease operations, or has no realistic alternative but to do so. Auditor’s responsibilities for the audit of the Financial Statements 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 in-cludes 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 con-sidered 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, misrepre-sentations, or the override of internal control. • Obtain an understanding of internal control relevant to the audit in order to design audit pro-cedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Company’s internal control. • Evaluate the appropriateness of accounting policies used and the reasonableness of account-ing estimates and related disclosures made by Management. • Conclude on the appropriateness of Management’s use of the going concern basis of account-ing 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 Company’s ability to continue as a going concern. If we conclude that a material un-certainty exists, we are required to draw attention in our auditor’s report to the related dis-closures 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 audi-tor’s report. However, future events or conditions may cause the Company to cease to con-tinue as a going concern. • Evaluate the overall presentation, structure and contents of the financial statements, including the disclo-sures, and whether the financial statements represent the underlying transactions and events in a manner that gives a true and fair view. 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. Hellerup, 33771231 Tue Stensgård Sørensen State Authorised Public Accountant mne32200 Thomas Lauritsen State Authorised Public Accountant mne34342 WSP Danmark A/S Linnés Alle 2 DK 2630 Taastrup 21265543 Høje Taastrup PricewaterhouseCoopers Statsautoriseret Revisionspartnerselskab Strandvejen 44 DK 2900 Hellerup 534486000 520618000 483651000 404069000 409831000 342055000 331907000 303703000 285842000 319766000 In-house production In-house production In-house production In-house production In-house production 426221000 399754000 367979000 341277000 355245000 921000 19004000 1161000 -14435000 1625000 -1453000 -3816000 737000 1422000 -898000 -532000 15188000 1898000 -13013000 727000 Net profit/loss for the year Net profit/loss for the year Net profit/loss for the year Net profit/loss for the year Net profit/loss for the year -659000 10322000 827000 -11395000 576000 Balance sheet total Balance sheet total Balance sheet total Balance sheet total Balance sheet total 268888000 229920000 231463000 178213000 182119000 58792000 59451000 33629000 32802000 44197000 -3713000 -5428000 -6932000 -2008000 -1673000 475 433 427 423 456 0.64 0.64 0.63 0.71 0.78 Profit margin Profit margin Profit margin Profit margin Profit margin 0.00 0.04 0.00 -0.04 0.00 Return on assets Return on assets Return on assets Return on assets Return on assets 0.00 0.08 0.01 -0.08 0.01 0.22 0.26 0.14 0.18 0.24 -0.01 0.22 0.03 -0.30 0.01 Quick ratio Quick ratio Quick ratio Quick ratio Quick ratio 1.84 1.38 1.09 1.20 1.10 EBITDA margin EBITDA margin EBITDA margin EBITDA margin EBITDA margin 0.02 0.06 0.02 -0.06 0.03 Key activities WSP Danmark A/S is a Danish technical advisory services company with approximately 500 employees who provide technical advice and assistance in the fields of environmental services, climate adaptation, construction, public utilities, transport, and infrastructure. Our purpose is to secure the future of our cities and environment. We do this by designing for the future and having an innovative approach to future trends. The common denominator is sustainable solutions that create value for our customers, our partners, and our community. WSP is one of the world's leading consulting engineering companies with around 67,000 employees glob-ally. This means that we in Denmark have access to a very strong network of experts around the world. Development in Activities and Financial Conditions Net Result of the Year WSP Danmark A/S delivers a net revenue of 534.5 mDKK and an EBITDA of 12.8 mDKK corresponding to an EBITDA margin of 2.4%. Compared to the 2021 annual accounts WSP Danmark A/S shows growth in top line corresponding to 6.6% on in house production, but a 55.9% decline in EBITDA result, which is considered not satisfactory and below last year’s expectations and budget. The primary factors contributing to the variation in EBITDA are the significantly elevated costs linked to the implementation of a new ERP system, which necessitated the temporary hiring of external consult-ants. Another contributory factor has been a higher-than-expected rate of employee sick leave and the scheduling of a full integration day involving all employees. Activities during the Year 2022 has been a year marked by high inflation, increasing interest rates and high commodity prices. De-spite this, our three business units have experienced high levels of activity and delivered good results. Throughout the year, we have steadily increased our order backlog and won several strategically im-portant projects. Earth and Environment Division In 2022, the Earth and Environment division has achieved commendable results. The division has suc-cessfully attracted new talented colleagues to an already strong team, resulting in favorable financial out-comes both in terms of revenue and profit. The significant emphasis on the green transition within society, coupled with our prominent position as one of Denmark's leading environmental assessment consultants, has led to substantial growth in the number of projects, agreements, and new customers in the field of environmental consultancy for renew-able energy and nature conservation. Furthermore, a restructuring of the Earth & Environment division has ensured comprehensive coverage of all environmental aspects, including climate adaptation and urban development. The influx of orders has been consistently increasing and is expected to continue this upward trend in 2023. Additionally, we anticipate further development of cooperation with WSP in other countries. Transport and Infrastructure Division The results within the Transport and Infrastructure division for 2022 demonstrate a significant increase in productivity across all service areas when it comes to project deliveries. We have successfully secured several important projects, including a framework agreement with Banedanmark, which will contribute to enhancing the reliability of future environmentally friendly transportation. Additionally, we have been awarded contracts for the development of a new charging infrastructure, aimed at facilitating the transition from fossil fuels to electric cars. In 2022, we embarked on the establishment of a new bridge department, which has shown promising progress. The department is actively engaged in local and international projects, particularly in the UK and Australia. Throughout the year, our order intake has experienced consistent growth, encompassing projects for the pharma industry as well. As a result, our business unit is commencing the new year with a substantial volume of orders and a strong sense of optimism, and we anticipate further growth in 2023. Property and Buildings Division The Property and Buildings Division has continued its positive trajectory. We have maintained a strong collaboration in the design and engineering field with WSP's "Complimen-tary Resource Center" in Romania. The addition of a competent team of engineering colleagues from this center has played a crucial role in bolstering our business. Two new specialized departments, "Management in Construction" and "Fire, Security, and Sustainabil-ity," have been established and are experiencing robust growth. They perfectly complement our market-leading position in operations consulting, building automation, CTS, and Commissioning. Throughout the year, we secured several significant projects, including the Grundtvigs Hus, which is the first DGNB Platinum renovation project in Denmark. Additionally, we have fostered excellent collabora-tion with WSP Global on projects such as the Viking Ship Museum in Roskilde, Ny Ellebjerg Station, and the New Music Theatre in Bergen. Notably, we are also involved in the construction of DSV, Denmark's largest building and home to the world's largest building-mounted solar cell panel. Human Rights and Labour Rights Our Global Human Rights Statement sets out WSP’s commitment to respecting, supporting, and safe-guarding human rights. We promote fair and equal treatment for all our people, regardless of race, eth-nic origin, religion, age, sex, sexual orientation, gender identity, physical or mental disability or political belief. The focal point for us in particular when we talk about human rights and labor rights, is the under-repre-sented gender, in our case women, as well as the safety, health and well-being of employees. WSP makes every effort to ensure that our people, clients, and assets are protected against threats and risks, including unplanned and undesired events such as natural or manmade disasters, accidents, crime, civil unrest that has the potential to cause harm to an employee or groups of employees. Impacts of unplanned and unexpected events may compromise the company’s ability to continue opera-tions in a safe and secure manner. In 2022 a Crisis Management Plan was implemented for areas where there is a need to protect our people, clients, brand, reputation, assets, and the general interests of our stakeholders and the wider community. The objectives of this plan are to: 1. Identify potential/foreseeable threats and treat them before they are realized, 2. Contain and manage the immediate impact of unplanned and unexpected events should they eventuate and 3. Recover to a safe state key business operations and deliverables. All business partners must comply with applicable modern slavery and human trafficking laws and regu-lations and are expected to adopt practices that safeguard human rights in all their dealings as described in our Business Partner Code of Conduct. In 2022, no breaches of human rights were identified. We plan to continue the work and focus on human rights in 2023 among others through annual training of employees. across the company in the proportion of women, while women representation at managerial level 3 has also increased since 2021. Our ambitions for 2023 will be to implement a much more structured approach to continue our focus on increasing the proportion of women both in general and also in management roles. We have now imple-mented structured recruitment and search processes, and we will in 2023 intensify focus on reducing unconscious bias in these processes. In order to mitigate for a less diverse top management (level 1+2) we will in 2023 look into other ways of achieving diversity in our way of leading the business. We want to contribute to more girls taking a science education and thereby support the gender equality agenda. In order to “encourage” more female students to take an interest in engineering, we participated in Girls Day In Science, which is a nationwide campaign to make girls more interested in pursuing a sci-ence and technology education. In our strategy 2022-2024, one of our goals is to achieve a 5% increase per year of women in our man-agement positions. Employee Engagement Employee engagement is an important strategic priority in WSP, and in 2022 we measured our engage-ment twice through our global tool for measuring employee engagement (Peakon Engagement Survey). We thus continue to listen to our employees and have a systematic approach to collecting employee feed-back from all of WSP. As a global tool, Peakon gives us the opportunity to compare our results with those of the other coun-tries, and it also gives our top corporate management a better understanding of what works well, what needs to be improved, and what cultural similarities and differences there are around the world. Peakon Engagement Survey results from September 2022 showed an overall commitment score for WSP Dan-mark of 7.6, which exceeds the Nordic WSP benchmarks. In-service Training and Personal Development Being a knowledge-based company, WSP Danmark wants to concentrate on continuous in-service train-ing of our employees, so that they can maintain a high level of competences. Skills development and onboarding take place through internally developed course programs in WSP Academy, such as peer training on projects or external courses, long-term training courses and completion of business PhD pro-jects. Average costs of in-service training 2018 2019 2020 2021 per employee Industry average* 4.487 4.700 3.200 4.800 WSP Danmark 6.498 6.269 3.711 5.387 *Source: FRI’s Industry Survey (FRI’s Industry Survey 2022 will be published later this year, which is why we are comparing with industry figures for 2021) Our costs related to in-service training have increased compared to the previous year, and we still exceed the industry average. For the coming years, our ambition is to remain on the industry average. Our career model, which consists of different career tracks and levels, forms a foundation for conversa-tions about and planning of employees' careers and competence development. Discussions about career paths and skills development take place at engagement and performance appraisal dialogues between employee and manager at least once a year. Health and Safety WSP puts the safety of all employees first. We treat occupational health and safety as a priority by ac-tively monitoring, preventing, reducing or removing safety risks. In 2022, we continued our work on WSP’s Integrated Safety Management System (ISMS) for the regis-tration of incidents, near miss incidents and safety observations. We use the ISMS in our Health and Safety Management to: • Protect anyone who accesses a work site or takes part in a business activity. • Implement standard work instructions and provide appropriate personal protective equipment. • Provide training, procedures and similar guidance in a language that employees understand. In 2023, we will continue our efforts to reduce and eliminate the risks associated with our activities, and to focus on field work and promote a positive Health and Safety Culture by focusing on Safety focused Leadership Engagement. As a company, we have few work-related injuries. In 2022, three incidents were registered which re-quired treatment in addition to first aid – one of them was of a serious nature, with more than 1 day away from work, and was due to a fall on a boat ramp. Parameter 2020 2021 2022 Incidents LTI (lost time incidents) 3 7 3 Near miss reports 2 7 14 The plan is to measure the entire organization's attention on work environment issues. This will be done by increasing the reporting of near misses and security observations that could have resulted in an inci-dent. As a result, we expect to be able to take care of safety issues to a greater extent before things go wrong. Sickness Absenteeism In 2021, WSP Danmark had an average sickness absenteeism of 7.4 days which is a little below the in-dustry average of 8.4 days (FRI’s Industry Survey 2021). If we exclude the long-term sick, we are slightly above the industry level of 5.1 sick days with our 6.4 days. In 2022 we have had close focus on sick leave with the aim of reducing it. Our attention is focused on long-term illness, stress related illness and recurrent short-term illness. Our efforts for long-term illness, including stress, include conversations and individually tailored plans to ensure a lasting return to work. Efforts to reduce sick leave will continue in 2023. Responsibility for the Environment and Climate In our sustainability strategy we have set a goal to become climate neutral in our own footprint in 2025 and halve the CO2 footprint in our projects by the year 2030. Our action plan covers five areas: • Our consultancy services: plan for how to reduce our climate footprint in relation to our projects • Our transport: reduction of transport between sites and in general • Our offices: energy efficiency, sustainable canteens and green energy procurement • Our purchasing: drawing up a plan for green procurement • Our conduct: training of all staff in our code of conduct We are basically an office workplace, so our direct environmental impact occurs through the transport and consumption of electricity, heat, water and paper. We have worked to set a baseline for the CO2 emissions from our projects in 2022. The 2022 baseline will give us a basis for following developments and seeing if we are approaching our goal of cutting 50% of CO2 emissions from our projects by 2030. In 2022, we released our Global Biodiversity Statement, which is a set of guiding principles aimed at en-abling WSP to engage with our clients to protect, restore, and enhance ecosystems. Protecting biodiver-sity is a natural extension of our commitment to mitigate climate change, two interrelated issues that need to be tackled simultaneously. We will do this by embedding and applying the mitigation hierarchy in the advice and designs we bring our clients, by using the following sequential method: Avoid, Mini-mize, Restore, Offset. In order to reduce our transport emissions, we use digital communication channels for direct dialogue and meetings across the country and between our international subsidiaries. We sort paper and card-board waste and have a sharp focus on the consumption of water, heat and electricity. The below data comes direct from our suppliers such as Ørsted, HT Fjernvarme, Norlys, Energy Fyn and landlords. Consumption 2020 2021 2022 Purchased electricity (kWh) 1.777.099 437.445 1.318.642 District heating (kWh) N/A 841.391 551.807 District cooling (kWh) N/A 46.700 56.700 Total non-hazardous waste (metric tons) 73,82 97,21 84,25 Vehicle travel distance (km) 1.322.686 1.367.688 1.231.094 In 2023 we will launch a transport policy with guidelines for company travel by car, train and plane. The policy has been delayed as we have been awaiting a global commuter survey. We will also work towards switching to green electricity by 2025. Corruption and Bribery As our success and reputation depends upon the trust of clients and other stakeholders, our commitment to maintaining zero tolerance to all forms of corruption extends beyond regulatory compliance. For in-stance, WSP strives to keep the topic front of mind for employees, notably through an extensive ethics and compliance e-learning onboarding and refresher training, live training sessions, regular communica-tions, as well as tailored compliance tools. In our Code of Conduct and underlying Anti-Corruption Policy, we have described our responsibility to fight corruption and bribery. We do not engage in any form of direct or indirect corruption/bribery in accordance with the World Bank’s definition and guidelines for combating corruption and economic crime. We make the same demands on our partners when implementing joint projects. All employees undergo mandatory training in our Code of Conduct every year. Our completion rate in 2022 is at 100%. There have been no cases of corruption or bribery in 2022 in WSP Danmark. The focus in 2023 will be: • Empower leaders to better understand and communicate ethics-related issues • Maintain a high level of awareness with respect to our Business Conduct Hotline • Planning the annual reminder to employees regarding business courtesy exchanges Ownership Since 31 August 2019, WSP Danmark has been part of the Canadian company WSP, which is one of the world’s leading consulting engineering companies. Expected Development We have prepared a targeted strategic growth plan for all our business areas, which by 2023 is to ensure annual growth and increased earnings on the bottom line. Access to a huge range of services and skills worldwide by being part of WSP provides good opportunities for developing and growing the business. Based on this, we are optimistic about our goal for 2023 of pro-gress on both the top and bottom lines. We expect a top line growth around 3-5% and a result before tax of 0-5 mDKK. Events after the Balance Sheet Date As of 15 May 2023, the business unit ‘Center for Bygningsbevaring’ (The Centre for the Conservation of Heritage Buildings) is no longer part of WSP Danmark. The unit was divested to five employees. The di-vestment of the business unit was decided in recognition of the fact that WSP will not be able to fully integrate the company without destroying the core and identity of the Center. Besides this no circumstances have occurred after the balance sheet dates that have had a material effect on the assessment of the annual report. CSR: Statement on Corporate Social Responsibility Our purpose as a company is to future-proof our cities and environment through consulting in the fields of environment, climate adaptation, construction, utilities, transport, and infrastructure. This may be the case, for example, when we work with sustainable solutions in construction, nature restoration and pro-tection of society against the negative consequences of climate change. Tomorrow's society will, in many ways, be different from the world we experience today. Future Ready® is WSP’s approach to preparing clients for the changes that will come. Through our Future Ready® pro-gram, our experts evaluate emerging trends related to climate, society, technology, and resources. We drive innovation and plan for the future by integrating these future trends into our designs and advice. Our work on social responsibility is based on the principles of the UN Global Compact and the four main areas: Human Rights, Workers' Rights, Environment and Anti-Corruption. In our work and in the solu-tions we deliver to our customers, we also contribute to the achievement of the UN's 17 global goals for sustainable development. Our material risks in environmental, social, personnel and justice areas, including human rights, as well as risks related to anti-corruption and bribery are the following: Environmental risks: • To a limited extent during fieldwork, exposure to hazardous chemicals harmful to the environ-ment. • Emission of greenhouse gases. Social and personnel risks: • Risk of accidents at work or work-related health problems. • Lack of occupational safety and protection for employees. Risks to human rights: • Discrimination based on gender or ethnicity in the hiring process. • Potential violations of the right to privacy or freedom of expression. Risks of anti-corruption and bribery: • Potential involvement in bribery activities or corrupt practices. During 2022, all employees have been trained in Ethics & Compliance, including Code of Conduct, Anti-Corruption Policy, and Policy regarding Gifts, Entertainment and Hospitality. The mandatory training in the Code of Conduct is followed up by annual refresher courses. Diversity We wish to contribute to a society with a workplace that is characterized by diversity in our working and employment relationships. Our culture is inclusive, with respect for all the differences that our employ-ees bring with them into WSP. • Competences are always a crucial parameter in recruitment and promotions • Employees and job seekers have the same opportunities to pursue careers in the company, re-gardless of gender • Our company supports initiatives that induce more young people to choose the natural sciences educations, including special events to get more girls to choose the natural sciences. Our company is in the technical/scientific industry, where there is no equal gender distribution, which is also reflected in our organization. Proportion of women in WSP Danmark 2019 2020 2021 2022 Board of directors 50% 57% 75% 57% Top management levels 1 and 2 13% 14% 14% 0% (chief executives) Level 3 (senior managers) 26% 32% 28% 35% Employees in total 37% 33% 34% 36% The proportion of women on the board has steadily increased in recent years, continuing in 2022 to be well represented by 57% (four women and 3 men). As there is an equal gender distribution on the board the KPI has been set for min 50% representation in 2023. At levels 1 and 2, the proportion of women has decreased in 2022. We are seeing a small overall increase Data Ethics WSP’s Information Security Policy Statement depends upon its information systems for its continued and successful operation. We hold data that is commercially and personally confidential. Our reputation with our clients and our employees depends on the care and diligence we exercise in keeping their infor-mation and WSP’s information safe and secure. This covers all types of information (including but not limited to information printed or written on pa-per, stored electronically, transmitted by post or using electronic means, shown on video, or spoken in conversation) and the means by which it is stored and shared. Information Security objectives are achieved by the implementation of a set of controls, including policies, practices, procedures, organiza-tional structures and software functions. These information security controls are not limited to Infor-mation Technology but also include business operations, Legal, Procurement, Human Resources (HR), Estates and Health & Safety. Securing WSP’s information is the responsibility of our entire business. WSP is committed to ensuring our Information Security is effective, as well as to continuous improve-ment to protect our information assets. The objectives are to: • Protect our clients, employees, and corporate information. • Protect people, by ensuring our corporate resources are not used to harm our employees, harm other people or damage the resources of other organizations or people. • Protect WSP by maintaining our brand and corporate identity. We carefully protect the privacy of our employees, customers and other business partners. In our “Em-ployee Privacy Notice”, “Global Privacy Policy” and “Global Information Classification and Handling Pol-icy”, we have described our guidelines for how we collect, store, use, share, transmit, delete and in other ways process personal data. WSP collects and processes data such as: • Employment data: personal information about current, potential and former employees. • Customer data: information on customers and potential customers. • Information regarding business partners: contact information of consultants, contractors, sup-pliers, agents and other business partners. • Contact information: personal data related to a person's name, position, company affiliation, postal address, phone numbers, SMS contact information, e-mail address and contact prefer-ences. Every year, all employees undergo mandatory digital training in data protection and information secu-rity. During the training, our employees are made aware of their duty to immediately notify our “Privacy Office” of any complaints, concerns or questions they may receive that are related to WSP's privacy prac-tices or the personal data we process. Also, the introduction to GDPR is an integrated part of our onboarding program for new employees. 478000 3075000 192909000 191786000 328514000 302339000 11843000 9914000 777000 650000 921000 19004000 -11000 -3521000 98000 512000 1540000 807000 127000 4866000 -659000 10322000 9707000 3454000 11141000 15700000 1449000 1521000 22297000 20675000 1057000 2034000 6778000 7606000 1345000 1620000 9180000 11260000 8217000 8079000 8217000 8079000 39694000 40014000 119249000 111648000 57367000 34254000 4447000 9462000 6220 6224000 5917000 6133000 193200000 167721000 35994000 22185000 229194000 189906000 268888000 229920000 22500000 22500000 5790000 5801000 30502000 31150000 21567000 20972000 10000000 11400000 31567000 32372000 54082000 0 54082000 0 22493000 12845000 48891000 49310000 14830000 25403000 0 338000 0 467000 37389000 49030000 844000 704000 124447000 138097000 178529000 138097000 268888000 229920000 22500000 9322000 449000 1358000 0 0 0 15500000 15500000 0 0 449000 0 449000 0 -3521000 0 14292000 22500000 5801000 0 31150000 0 0 0 0 0 0 0 0 0 0 0 -11000 0 -648000 22500000 5790000 0 30502000 Revenue 2022 2021 Geographical segments TDKK TDKK Revenue, Denmark 522.596 490.250 Revenue, exports 11.890 30.368 534.486 520.618 Business segments Advisory services 515.080 500.317 Software and services 19.406 20.301 534.486 520.618 2 Staff expenses 2022 2021 TDKK TDKK Wages and salaries 313.152 288.822 Pensions 1.959 1.809 Other social security expenses 3.779 4.474 Other staff expenses 9.624 7.234 328.514 302.339 For 2022, remuneration to the Executive Board has not been disclosed in accordance with section 98B (3) of the Danish Financial Statements Act. In 2021, the Executive Board consisted of more than one person and the total remuneration amounted TDKK 5.590. 3 Depreciation, amortisation and impairment of intangible assets and property, plant and equipment 2022 2021 TDKK TDKK Amortisation of intangible assets 7.136 6.094 Depreciation of property, plant and equipment 4.942 3.838 Gain and loss on disposal -235 -18 11.843 9.914 4 Income from investments in subsidiaries 2022 2021 TDKK TDKK Share of profits of subsidiaries 193 0 Share of losses of subsidiaries -204 -3.521 -11 -3.521 10 Investments in subsidiaries 2022 2021 TDKK TDKK Cost at 1 January 2.278 1.650 Additions for the year 0 628 Cost at 31 December 2.278 2.278 Value adjustments at 1 January 5.801 9.322 Remission of debt 149 0 Net profit/loss for the year -11 -3.521 Value adjustments at 31 December 5.939 5.801 Carrying amount at 31 December 8.217 8.079 Investments in subsidiaries are specified as follows: Name Place of registered office Votes and ownership WSP Arctic A/S (under frivillig likvidation) Nuuk, Greenland 100% Golder Associates A/S (under frivillig likvidation) Høje Taastrup, Denmark 100% 5 Financial income 2022 2021 TDKK TDKK Interest received from group enterprises 1 435 Other financial income 19 0 Exchange gains 78 77 98 512 6 Financial expenses 2022 2021 TDKK TDKKInterest paid to group enterprises 418 119 Other financial expenses 516 688 Exchange loss 606 0 1.540 807 7 Tax on profit/loss for the year 2022 2021 TDKK TDKKCurrent tax for the year 0 805 Deferred tax for the year 327 4.598 Adjustment of tax concerning previous years -468 0 Adjustment of deferred tax concerning previous years 268 -537127 4.866 8 Intangible assets Completed development IT Pre- projects software Goodwill payment TDKK TDKK TDKK TDKK Cost at 1 January 5.454 10.868 74.087 1.521 Transfer 0 1.521 0 -1.521 Additions for the year 0 6.807 500 1.449 Disposals for the year 0 0 0 0 Cost at 31 December 5.454 19.196 74.587 1.449 Amortisation and impairment losses Impairment losses and amortisation at 1 January 5.454 7.414 58.387 0 Amortisation for the year 0 2.075 5.059 0 Impairment and amortisation of sold assets for the year 0 0 0 0 Impairment losses and amortisation at 31 December 5.454 9.489 63.446 0 Carrying amount at 31 December 0 9.707 11.141 1.449 11 Contract work in progress 2022 2021 TDKK TDKK Selling price of work in progress 911.123 612.652 Payments received on account -902.647 -627.708 8.476 -15.056 Recognised in the balance sheet as follows: Contract work in progress recognised in assets 57.367 34.254 Prepayments received recognised in debt -48.891 -49.310 8.476 -15.056 9 Property, plant and equipment Other fixtures and fittings, Leasehold Plant and tools and improve- machinery equipment ments TDKK TDKK TDKKCost at 1 January 4.579 15.452 3.691 Additions for the year 65 3.478 170 Disposals for the year 0 -1.760 0 Cost at 31 December 4.644 17.170 3.861 Amortisation and impairment losses Impairment losses and depreciation at 1 January 2.545 7.846 2.071 Depreciation for the year 1.042 3.455 445 Reversal of impairment and of sold assets 0 -909 0 Impairment losses and depreciation at 31 December 3.587 10.392 2.516 Carrying amount at 31 December 1.057 6.778 1.345 12 Prepayments Prepayments consist of prepaid expenses concerning rent and insurance premiums. 13 Equity The share capital consists of 22.500 shares of a nominal value of TDKK 1. No shares carry any special rights. -11000 -3521000 0 -449000 -648000 14292000 15 Provision for deferred tax 2022 2021 TDKK TDKK Provision for deferred tax at 1 January 20.972 16.911 Amounts recognised in the income statement for the year 595 4.061 Provision for deferred tax at 31 December 21.567 20.972 Intangible assets 1,901 -110 Property, plant and equipment -4.409 -3.718 Other receivables -803 -639 Contract work in progress 55.289 48.850 Tax loss carry-forward -30.411 -23.411 21.567 20.972 16 Other provisions Other provisions consist of provisions for expected future costs on closed projects, including any guarantee costs. Other provisions 10.000 11.400 10.000 11.400 17 Deferred income Deferred income comprises various pre-invoiced income. 18 Contingent assets, liabilities and other financial obligations Contingent liabilities The Company has assumed lease and leasing obligations with a term of between 2 months and 4.5 years. The total rental and leasing obligation as of 31 December 2022 amount to TDKK 67.811 (2021: TDKK 75.832). No guarantees have been provided in connection with ongoing and completed projects in 2022. In addition, the company is obliged in accordance with the general Conditions for Counseling (ABR18). WSP Danmark A/S and its subsidiaries are jointly taxed. The Danish companies are jointly and individually liable for the joint taxation. Any subsequent adjustments of corporation taxes and withholding taxes may increase the Company’s liability. WSP Danmark A/S act as administration company for the joint taxation group. 19 Related parties Basis Controlling interest WSP Sverige AB, Stockholm, Sverige Controlling shareholder WSP Global Inc., Montreal, Quebec, Canada Ultimate owner Board of Directors and Executive Board Has warrants and thus has a material influence on WSP Danmark A/S. Transactions The Company has chosen only to disclose transactions which have not been made on an arm’s length basis in accordance with section 98(c)(7) of the Danish Financial Statements Act. Consolidated Financial Statements The Company is included in the Group Annual Report of: Name Place of registered office WSP Global Inc. Montreal, Quebec, Canada 20 Fee to auditors appointed at the general meeting 2022 2021 TDKK TDKK PricewaterhouseCoopers Audit fee 290 242 Other assurance engagements 40 48 Tax advisory services 50 35 Non-audit services 146 204 526 529 21 Subsequent events As of 15 May 2023, the business unit ‘Center for Bygningsbevaring’ (The Centre for the Conservation of Heritage Buildings) is no longer part of WSP Danmark. The unit was divested to five employees. The divestment of the business unit was decided in recognition of the fact that WSP will not be able to fully integrate the company without destroying the core and identity of the Center. Besides this no circumstances have occurred after the balance sheet dates that have had a material effect on the assessment of the annual report. 22 Accounting Policies The financial statements are presented in accordance with the Danish Financial Statements Act (class C). The company has decided not to prepare consolidated financial statements with the 100% owned sub-sidiaries WSP Arctic A/S and Golder Associates A/S with reference to section 112 of the Danish Finan-cial Statement Act, as the company is part of the consolidated financial statements of the company’s ultimate parent, WSP Global Inc., Canada. Considering all the policies applied, management regards the following as the most significant account-ing policies for the recognition and measurement of reported amounts. The financial statements are presented in Danish kroner (DKK). Recognition and measurement Revenue is recognised in the income statement as earned. Furthermore, value adjustments of financial assets and liabilities measured at fair value or amortised cost are recognised. All expenses incurred to achieve the earnings for the year are recognised in the income statement, including depreciations, amor-tisations, impairment losses and provisions as well as reversals due to changed accounting estimates of amounts that have previously been recognised in the income statement. Assets are recognised in the balance sheet when it is probable that future economic benefits attributable to the asset will flow to the Company, and the value of the asset can be measured reliably. Liabilities are recognised in the balance sheet when it is probable that future economic benefits will flow out of the Company, and the value of the liability can be measured reliably. Assets and liabilities are initially measured at cost. Subsequently, assets and liabilities are measured as described for each item below. Business combinations Business acquisitions carried through on or after 1 July 2018 Acquisitions of subsidiaries are accounted for using the purchase method under which the identifiable assets and liabilities of the entity acquired are measured at fair value at the time of acquisition. Acquired contingent liabilities are recognised at fair value to the extent that the value can be measured reliably. The time of acquisition is the time when the Company obtains control of the entity acquired. The cost of the entity acquired is the fair value of the consideration agreed, including consideration con- tingent on future events. Transaction costs directly attributable to the acquisition of subsidiaries are rec-ognised in the income statement as incurred. Positive differences between the cost of the entity acquired and identifiable assets and liabilities are recog- nised as goodwill in intangible assets in the balance sheet and are amortised in the income statement on a straight-line basis over their estimated useful lives. Where cost includes contingent consideration, this is measured at fair value at the time of acquisition. Contingent consideration is subsequently measured at fair value. Any value adjustments are recognised in the income statement. In respect of step acquisitions, any previously held investments in the entity acquired are remeasured at fair value at the time of acquisition. The difference between the carrying amount of the investment pre- viously held and the fair value is recognised in the income statement. Leases Leases in terms of which the Company substantially assumes all risks and rewards of ownership (finance leases) are recognised in the balance sheet at the lower of the fair value of the leased asset and the net present value of the lease payments computed by applying the interest rate implicit in the lease or an al-ternative borrowing rate as the discount rate. Assets acquired under finance leases are depreciated and written down for impairment under the same policy as determined for other fixed assets. The lease obligation is capitalised and recognised in the balance sheet under debt, and the interest element on the lease payments is charged over the lease term to the income statement. All other leases are considered operating leases. Payments made under operating leases are recognised in the income statement on a straight-line basis over the lease term. Translation of foreign currency Transactions in foreign currencies are translated into the functional currency at the exchange rate at the transaction date. Exchange differences arising due to differences between the transaction date rates and the rates at the dates of payment are recognised in financial income and expenses in the income statement. Receivables, payables and other monetary items in foreign currencies that have not been settled at the balance sheet date are translated at the exchange rates at the balance sheet date. Any differences between the exchange rates at the balance sheet date and the rates at the time when the receivable or the debt arose are recognised in financial income and expenses in the income statement. Fixed assets acquired in foreign currencies are measured at the transaction date rates. Income Statement Revenue Revenue from the sale of goods is recognised when the risks and rewards relating to the goods sold have been transferred to the purchaser, the revenue can be measured reliably, and it is probable that the eco-nomic benefits relating to the sale will flow to the Company. Contract work in progress (construction contracts) is recognised at the rate of completion, which means that revenue equals the selling price of the work completed for the year (percentage-of-completion method). This method is applied when total revenues and expenses in respect of the contract and the stage of completion at the balance sheet date can be measured reliably, and it is probable that the eco-nomic benefits, including payments, will flow to the Company. The stage of completion is determined based on the ratio between the expenses incurred and the total expected expenses of the contract. Services are recognised at the rate of completion of the service to which the contract relates by using the percentage-of-completion method, which means that revenue equals the selling price of the service com-pleted for the year. This method is applied when total revenues and expenses in respect of the service and the stage of completion at the balance sheet date can be measured reliably, and it is probable that the economic benefits, including payments, will flow to the Company. The stage of completion is determined based on the ratio between the expenses incurred and the total expected expenses of the service. Revenue is measured at the consideration received and is recognised exclusive of VAT and net of discounts relating to sales. Other external expenses Other external expenses comprise indirect production costs and expenses for premises, sales, dis-tribution as well as office expenses, etc. Staff expenses Staff expenses comprise wages and salaries as well as payroll expenses. Amortisations, depreciations and impairment losses Amortisations, depreciations and impairment losses comprise amortisation, depreciation and impair-ment of intangible assets and property, plant and equipment. Other operating income and expenses Other operating income and other operating expenses comprise items of a secondary nature to the main activities of the Company, including gains and losses on the sale of intangible assets and property, plant and equipment. Income from investments in subsidiaries The item “Income from investments in subsidiaries” in the income statement includes the proportionate share of the profit for the year. Financial income and expenses Financial income and expenses are recognised in the income statement at the amounts relating to the financial year. Tax on profit/loss for the year Tax for the year consists of current tax for the year and changes in deferred tax for the year. The tax at-tributable to the profit for the year is recognised in the income statement. The Company is jointly taxed with wholly owned Danish and subsidiaries. The tax effect of the joint taxation is allocated to enterprises in proportion to their taxable incomes. Balance Sheet Intangible assets Development projects and Software and licenses Costs of development projects comprise salaries, amortisation and other expenses directly or indirectly attributable to the Company’s development activities. Development projects that are clearly defined and identifiable and in respect of which technical feasibility, sufficient resources and a potential future market or development opportunity in the Company can be demonstrated, and where it is the intention to manufacture, market or use the project, are recog-nised as intangible assets. This applies if sufficient certainty exists that the value in use of future earnings can cover cost of sales, distribution and administrative expenses involved as well as the development costs. Development projects that do not meet the criteria for recognition in the balance sheet are recognised as expenses in the income statement as incurred. Capitalised development costs are measured at cost less accumulated amortisation and impairment losses or at a lower recoverable amount. As of the date of completion, capitalised development costs are amortised on a straight-line basis over the period of the expected economic benefit from the development work. The amortisation period is 3-5 years. Software and licences are measured at cost less accumulated amortisation and less any accumulated im- pairment losses or at a lower value in use. Software and licences are amortised over the period of the agreement, which is 3-8 years. Goodwill Goodwill is amortised on a straight-line basis over the estimated useful life of 5-20 years. determined based on Management’s experience with the individual business areas. Property, plant and equipment Property, plant and equipment are measured at cost less accumulated depreciation and less any accumu-lated impairment losses. Cost comprises the cost of acquisition and expenses directly related to the acquisition up until the time when the asset is ready for use. Depreciation based on cost reduced by any residual value is calculated on a straight-line basis over the expected useful lives of the assets, which are: Plant and machinery 3-6 years Other fixtures and fittings, tools and equipment 6-8 years Leasehold improvements 6-15 years The fixed assets’ residual values are determined at nil. Depreciation period and residual value are reassessed annually. Impairment of fixed assets The carrying amounts of intangible assets and property, plant and equipment are reviewed on an annual basis to determine whether there is any indication of impairment other than that expressed by amortisa-tion and depreciation. Upon indication of impairment, the asset is written down to its lower recoverable amount. Investments in subsidiaries Investments in subsidiaries are recognised and measured under the equity method. The item “Investments in subsidiaries” in the balance sheet include the proportionate ownership share of the net asset value of the enterprises calculated based on the fair values of identifiable net assets at the time of acquisition with addition of the remaining value of any increases in value and goodwill calculated at the time of acquisition of the enterprises. 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. Receivables Receivables are measured in the balance sheet at the lower of amortised cost and net realisable value, which corresponds to nominal value less provisions for bad debts. Contract work in progress Contract work in progress regarding service is measured at selling price of the work performed calculated based on the stage of completion. The stage of completion is measured by the proportion that the contract expenses incurred to date bear to the estimated total contract expenses. Where it is probable that total contract expenses will exceed total revenues from a contract, the expected loss is recognised as an expense in the income statement. Where the selling price cannot be measured reliably, the selling price is measured at the lower of ex-penses incurred and net realisable value. Payments received on account are set off against the selling price. The individual contracts are classified as receivables when the net selling price is positive and as liabilities when the net selling price is negative. Expenses relating to sales work and the winning of contracts are recognized in the income statement as incurred. Prepayments Prepayments comprise prepaid expenses concerning rent, insurance premiums, subscriptions and inter-est. Equity Dividend Dividend distribution proposed by Management for the year is disclosed as a separate equity item. Provisions Provisions are recognised when - in consequence of an event occurred before or on the balance sheet date - the Company has a legal or constructive obligation, and it is probable that economic benefits must be given up to settle the obligation. Other provisions include warranty obligations in respect of repair work within the warranty period. Provi-sions are measured and recognised based on experience with guarantee work. Deferred tax assets and liabilities Deferred income tax is measured using the balance sheet liability method in respect of temporary differ-ences arising between the tax bases of assets and liabilities and their carrying amounts for financial report-ing purposes on the basis of the intended use of the asset and settlement of the liability, respectively. Deferred tax assets are measured at the value at which the asset is expected to be realised, either by elimi-nation in tax on future earnings or by set-off against deferred tax liabilities within the same legal tax en-tity. Deferred tax is measured based on the tax rules and tax rates that will be effective under the legislation at the balance sheet date when the deferred tax is expected to crystallise as current tax. Current tax receivables and liabilities Current tax liabilities and receivables are recognised in the balance sheet as the expected taxable income for the year adjusted for tax on taxable incomes for prior years and tax paid on account. Extra payments and repayment under the on-account taxation scheme are recognised in the income statement in financial income and expenses. Financial debts Debts are measured at amortised cost, substantially corresponding to nominal value. Deferred income Deferred income comprises payments received in respect of income in subsequent years. true Cash flow statement With reference to section 86(4) of the Danish Financial Statements Act and to the cash flow statement in-cluded in the consolidated financial statements of WSP Global Inc., the Company has not prepared a cash flow statement. Financial Highlights Explanation of financial ratios Gross margin Gross profit x 100 Revenue Profit margin Profit before financials x 100 Revenue Return on assets Profit before financials x 100 Total assets Solvency ratio Equity at year end x 100 Total assets at year end Return on equity Net profit for the year x 100 Average equity Quick ratio Current assets x 100 Short-term debt EBITDA margin EBITDA x 100 Revenue Annual report Auditor's report on audited financial statements ParsePort XBRL Converter 2022-01-01 2022-12-31 2021-01-01 2021-12-31 2023-06-27 Regnskabsklasse C, stor virksomhed 2023-06-27 21265543 WSP Danmark A/S Linnés Alle 2 2630 Taastrup Opinion Basis for Opinion 2023-06-27 33771231 PricewaterhouseCoopers Statsautoriseret Revisionspartnerselskab Strandvejen 44 2900 Hellerup DK