Årsrapport30700228Ernst & Young Godkendt RevisionspartnerselskabOsvald Helmuths Vej 4Postboks 250, 2000 Frederiksberg2016-04-262016-12-312017-05-2337643696Ploomo ApSToldbodgade 12, 2. bagh1253Copenhagen K, Denmark2016-04-26CopenhagenErnst & Young Godkendt Revisionspartnerselskab30700228Osvald Helmuths Vej 42000Frederiksberg2017-05-23Thomas HøgenhavenRegnskabsklasse BRevisionspåtegningtruetrue2017-05-232017-05-23Copenhagen, Piotr SzrederThomas HøgenhavenPiotr SzrederChairmanAdrian Jakub PwlikJesper SøgaardMarc Frank PedersenThomas HøgenhavenCopenhagen, Søren ChristiansenState Authorised Public Accountant-78412425922-810046-178210-631836-63183650000500005000018777317821036598319939256537561537550000-631836-5818362500010304921417191197211615375500000-63183650000-63183624566168118825922-178210-1782105000050000005000050000Today, the Board of Directors and the Executive Board have discussed and approved the annual report of Ploomo ApS for the financial year as of the establishment of the Company 26 April - 31 December 2016.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 of the Company at 31 December 2016 and of the results of the Company's operations for the financial year as of the establishment of the Company 26 April - 31 December 2016.Further, in our opinion, the Management's review gives a fair review of the matters discussed in the Management's review.We recommend that the annual report be approved at the annual general meeting.To the shareholders of Ploomo ApSWe have audited the financial statements of Ploomo ApS for the financial year as of the establishment of the Company 26 April - 31 December 2016, which comprise an 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 financial position of the Company at 31 December 2016 and of the results of the Company's operations for the financial year as of the establishment of the company 26 April - 31 December 2016 in accordance with the Danish Financial Statements Act.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 Company in accordance with the International Ethics Standards Board for Accountants' Code of Ethics for Professional Accountants (IESBA Code) and the additional requirements applicable in Denmark, and we have fulfilled our other ethical responsibilities in accordance with these rules and requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. We draw attention to note 2 to the financial statements which reflects that the Company's equity at 31 December 2016 was negative DKK 582 thousand and that the parent company has issued a comfort letter vis-à-vis the Company stating that it will provide the Company with sufficient liquidity to finance the Company's plans and budgets for a period of at least 12 months from the balance sheet date.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 Company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting in preparing the financial statements unless Management either intends to liquidate the Company or to cease operations, or has no realistic alternative but to do so.Our objectives are to obtain reasonable assurance 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 the 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 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 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 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 conclusion is based on the audit evidence obtained up to the date of our auditor's report. However, future events or conditions may cause the Company to cease to continue as a going concern. Evaluate the overall presentation, structure and contents of the financial statements, including the note disclosures, 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.Management is responsible for the Management's review. Our opinion on the financial statements does not cover the 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 the Management's review and, in doing so, consider whether the Management's review is materially inconsistent with the financial statements or our knowledge obtained during the audit, or otherwise appears to be materially misstated. Moreover, it is our responsibility to consider whether the Management's review provides the information required under the Danish Financial Statements Act. Based on our procedures, we conclude that the Management's review is in accordance with the financial statements and has been prepared in accordance with the requirements of the Danish Financial Statement Act. We did not identify any material misstatement of the Management's review.The Company's objective is to own and develop software related to online entertainment and related business.The income statement for 2016 shows a loss of DKK 631,836, and the balance sheet at 31 December 2016 shows a negative equity of DKK 581,836. The parent company, Better Collective A/S, has declared vis-à-vis the Company that it will provide sufficient liquidity to finance the Company's plans and budgets for a period of at least 12 months from the balance sheet date.No events materially affecting the Company's financial position have occurred subsequent to the financial year-end.Improved results of operations are expected for 2017 as a result of an increase in activities.The annual report of Ploomo ApS for the period 26 April to 31 December 2016 has been prepared in accordance with the provisions applying to reporting class B enterprises under the Danish Financial Statements Act.No comparative figures are included as this is the first financial year of the Company.Income from referrals to online gaming operators is recognised when the most significant rewards and risks have been transferred to the buyer and provided that the income can be measured reliably and payment is expected to be received. Revenue for the sale of consultancy services is recognised using the sales method. Revenue is recognised excluding VAT and taxes charged on behalf of third parties. All discounts and rebates granted are recognised in revenue.The items revenue, change in inventories of finished goods and work in progress, work performed for own account and capitalised, other operating income and external expenses have been aggregated into one item in the income statement called gross margin in accordance with section 32 of the Danish Financial Statements Act.Other external expenses include the year's expenses relating to the Company's core activities, including expenses relating to distribution, sale, advertising, administration, premises, bad debts, payments under operating leases, etc.Financial expenses are recognised in the income statements at the amounts that concern the financial year. Net financials include interest expenses as well as allowances and surcharges under the advance-payment-of-tax scheme, etc.The Company is covered by the Danish rules on mandatory joint taxation of the Better Holding 2012 ApS Group's Danish subsidiaries. Subsidiaries are included in the joint taxation arrangement from the date at which they are included in the consolidated financial statements and up to the date when they are no longer consolidated. Better Holding 2012 ApS acts as management company for the joint taxation arrangement and consequently settles all Danish corporate income tax payments with the tax authorities. On payment of joint taxation contributions, the Danish corporate income tax charge is allocated between the jointly taxed entities in proportion to their taxable income. Entities with tax losses receive joint taxation contributions from entities that have been able to use the tax losses to reduce their own taxable income (full allocation method). Jointly taxed companies entitled to a tax refund are, as a minimum, reimbursed by the management company according to the current rates applicable to interest allowances, and jointly taxed companies having paid too little tax pay, as a maximum, a surcharge according to the current rates applicable to interest surcharges to the management company. Tax for the year, which comprises the joint taxation contributions and deferred tax adjustments, is recognised in the income statement as regards the portion that relates to the profit/loss for the year and directly in equity as regards the portion that relates to entries directly in equity.Other intangible assets include acquired intangible rights. Other intangible assets are measured at cost less accumulated amortisation and impairment losses.The carrying amount of intangible assets is assessed for impairment on an annual basis. Impairment tests are conducted on assets or groups of assets when there is evidence of impairment. The carrying amount of impaired assets is reduced to the higher of the net selling price and the value in use (recoverable amount). The recoverable amount is the higher of the net selling price of an asset and its value in use. The value in use is calculated as the present value of the expected net cash flows from the use of the asset or the group of assets and the expected net cash flows from the disposal of the asset or the group of assets after the end of the useful life. Previously recognised impairment losses are reversed when the reason for recognition no longer exists. Impairment losses on goodwill are not reversed.Receivables are measured at amortised cost.Cash comprises cash at bank and in hand and operating cash which is readily convertible into cash and subject to only to an insignificant risk of changes in value.Proposed dividends Dividend proposed for the year is recognised as a liability once adopted at the annual general meeting (declaration date). Dividends expected to be distributed for the financial year are presented as a separate item under "Equity".Dividend proposed for the year is recognised as a liability once adopted at the annual general meeting (declaration date). Dividends expected to be distributed for the financial year are presented as a separate item under "Equity".Current tax payable and receivable is recognised in the balance sheet as tax computed on the expected taxable income for the year, adjusted for tax on the taxable income of prior years and for tax paid on account. Joint taxation contributions payable and receivable are recognised in the balance sheet as income taxes payable and receivable, respectively. Deferred tax is measured according to the liability method on all temporary differences between the carrying amount and the tax base of assets and liabilities. However, deferred tax is not recognised on temporary differences relating to goodwill which is not deductible for tax purposes and on office premises and other items where temporary differences, apart from business combinations, arise at the date of acquisition without affecting either profit/loss for the year or taxable income. Where alternative tax rules can be applied to determine the tax base, deferred tax is measured based on Management's intended use of the asset or settlement of the liability, respectively. Deferred tax is measured according to the tax rules and at the tax rates applicable at the balance sheet date when the deferred tax is expected to crystallise as current tax. Deferred tax assets are recognised 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. Changes in deferred tax due to changes in the tax rate are recognised in the income statement.Financial liabilities are measured at net realisable value.Equity was negative DKK 581,836 at 31 December 2016. The parent company, Better Collective A/S, has declared vis-à-vis the Company that it will provide sufficient liquidity to finance the Company's plans and budgets for a period of at least 12 months from the balance sheet date.The share capital has remained unchanged since the establishment of the Company.Other contingent liabilities The Company is jointly taxed with Better Holding 2012 ApS and other Danish group entities. As a subsidiary, the Company has joint and several, unlimited liability for Danish income taxes. At 31 December 2016, the jointly taxed companies had a net receivable from SKAT. Any subsequent corrections of the taxable income subject to joint taxation may entail adjustments in this respect.Other rent and lease liabilities: DKK 2016 Rent and lease liabilities 13,000 Rent and lease liabilities include a rent obligation totalling DKK 13 thousand in interminable rent agreements with remaining contract terms of 6 months.The Company has not provided any security or other collateral in assets at 31 December 2016.Information about consolidated financial statements Parent Domicile Requisitioning of the parent company's consolidated financial statements Better Collective A/S Copenhagen Better Holding 2012 ApS 376436962016-04-262016-12-31376436962016-12-31376436962016-04-262016-12-311376436962016-04-262016-12-312376436962016-04-262016-12-313376436962016-04-262016-12-314376436962016-04-262016-12-315376436962016-12-311376436962016-04-262016-12-311376436962016-04-262016-12-312376436962016-04-262016-12-311376436962016-04-26e:CompletedDevelopmentProjectsMember376436962016-12-31e:CompletedDevelopmentProjectsMember376436962016-04-262016-12-31e:RetainedEarningsMember376436962016-04-26e:ContributedCapitalMember376436962016-12-31e:ContributedCapitalMember376436962016-04-26e:RetainedEarningsMember376436962016-04-262016-12-31e:RetainedEarningsMember376436962016-12-31e:RetainedEarningsMemberiso4217:DKK