37424331 2022-01-01 2022-12-31 37424331 2022-01-01 2022-12-31 1 37424331 2021-01-01 2021-12-31 37424331 2022-12-31 37424331 2021-12-31 37424331 2022-01-01 2022-12-31 1 37424331 2022-01-01 2022-12-31 1 37424331 2022-01-01 2022-12-31 2 37424331 2022-01-01 2022-12-31 3 iso4217:DKK xbrli:pure Nina Nørregaard Management’s Statement on the Annual Report The Board of Directors and the Executive Board have today considered and adopted the Annual Report of IBM Global Financing Danmark ApS for the financial year 1 January – 31 December 2022. The Annual Report was 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 at 31 December 2022 of the Company and of the results of the Company operations for 2022. In our opinion, Management’s Review includes a true and fair account of the affairs described. We recommend that the Annual Report be adopted at the Annual General Meeting. Brøndby Søren Gert Christiansen Søren Gert Christiansen Chairman Frank Bøje Andersen Peter Stenhøj Jørgensen Independent Auditor’s Report To the Shareholders of IBM Global Financing Danmark ApS Opinion In our opinion, the Financial Statements give a true and fair view of the financial position of the Company at 31 December 2022, and of the results of the Company’s operations for the financial year 1 January - 31 December 2022 in accordance with the Danish Financial Statements Act. We have audited the Financial Statements of IBM Global Financing Danmark ApS for the financial year 1 January - 31 December 2022, which comprise income statement, balance sheet 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 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’ International Code of Ethics for Professional Accountants (IESBA Code) and the additional ethical requirements applicable in Denmark, and we have fulfilled our other ethical responsibilities in accordance with these requirements and the IESBA Code. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. 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 Review and, in doing so, consider whether Management’s Review is materially inconsistent with the financial statements or our knowledge obtained during the audit, or otherwise appears to be materially misstated. Moreover, it is our responsibility to consider whether Management’s Review provides the information required under the Danish Financial Statements Act. Based on the work we have performed, in our view, Management’s Review 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 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 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. 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 includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs and the additional requirements applicable in Denmark will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. As part of an audit conducted in accordance with ISAs and the additional requirements applicable in Denmark, we exercise professional judgment and maintain professional skepticism throughout the audit. We also: • Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. • Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the 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 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 Company to cease to continue as a going concern. • Evaluate the overall presentation, structure and contents of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that gives a true and fair view. 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 Brian Christiansen State Authorised Public Accountant IBM Global Financing Danmark ApS Prøvensvej 1 DK-2605 Brøndby +45 45 24 00 00 www.ibm.com/financing/dk-da/ Brøndby PricewaterhouseCoopers Statsautoriseret Revisionspartnerselskab Strandvejen 44 DK-2900 Hellerup Management’s Review The Annual Report of IBM Global Financing Danmark ApS for 2022 has been prepared in accordance with the provisions of the Danish Financial Statements Act applying to enterprises of reporting class B. Key activities The Company’s principal activities comprise leasing including both operating and financial leases of IT equipment – and relevant financial services offered to businesses by way of loans and factoring. Development in the period and expectations for the year ahead The profit for period after tax amounts to DKK 7.031 k. An exit of financing IBM Consulting Services, as part of IBM Global Financing overall strategy, resulted in a shift in focus to support IBM Danmark, its clients and its Business Partners when acquiring IBM hardware and software. A rebalancing of the sales force was performed during second half of 2022, reducing the number of sellers hereby, to accommodate the expected financing volumes going forward. Normalizing for the refocusing and revised strategy, the performance in 2022 was on 2021 level and in line with expectations. 30585000 35440000 6527000 8100000 334000 596000 13876000 13730000 732000 10580000 13014000 373000 219000 1719000 1887000 9234000 11346000 2203000 2497000 7031000 8849000 0 75000000 7031000 -66151000 215000 385000 215000 385000 163795000 151567000 163795000 151567000 12755000 53097000 12755000 53097000 176765000 205049000 15000 36000 72378000 140709000 76000 70000 444786000 564971000 23573000 3825000 468374000 568832000 645139000 773881000 60000 60000 128260000 121228000 128320000 196288000 47577000 38378000 47577000 38378000 75630000 193844000 75630000 193844000 40718000 50573000 346275000 259032000 6619000 35590000 0 176000 393612000 345371000 469242000 539215000 645139000 773881000 2022 2021DKK ‘000 DKK ‘0001 Staff expenses Payroll 4.646 5.959 Pensions 1.860 2.116 Other social security expenses 21 256.527 8.100 9 11 2 Financial income Interest income, group related companies 4 14 Other financial income 308 139 Foreign exchange gains 61 66373 219 3 Financial expense Interest expense, group related companies -1.449 -1.739 Other financial expense -127 -58 Foreign exchange loss -143 -90-1.719 -1.887 4 Tax on profit for the period Current tax for the period -5.598 -10.813 Deferred tax for the period 3.569 8.316 Adjustment of tax, previous periods -174 0-2.203 -2.497 which breaks down as follows: Tax on profit for the period -2.203 -2.497-2.203 -2.497 2022 2021DKK ‘000 DKK ‘0005 Lease Receivables Within 1 year 279.356 346.910 Between 1 and 5 years 163.795 151.567443.151 498.477 6 Provision for deferred tax Provisions for deferred tax at 1 January 38.378 57.028 Adjustment prior periods 12.768 -10.334 Deferred tax recognised in the income statement -3.569 -8.316 Provision for deferred tax at 31 December 47.577 38.378 7 Debt Payments due within 1 year are recognised in short-term debt. Other debt is recognised in long-term debt. The debt falls due for payment as specified below: Payables to group related companies Long-term part 75.630 193.844 Short-term part 346.275 259.032421.905 452.876 2022 2021DKK ‘000 DKK ‘0008 Contingent assets, liabilities and other financial obligations Contingent liabilities, including lease and guarantee obligations as well as other contingent liabilities 1.343 2.832 The Group’s Danish enterprises are jointly and severally liable for tax on the jointly taxed income etc of the Group. The total accrued corporation tax is disclosed in the annual report of IBM Danmark ApS, which is the management company under the joint taxation. Moreover, the group enterprises are jointly and severally liable for Danish withholding taxes by way of dividend tax, royalty tax and tax on unearned income. Any subsequent adjustments of corporation taxes and withholding taxes may increase the Company’s liability. 9 Related parties and ownership Controlling interest IBM Global Financing Investments II B.V. holds 100% of the shares of IBM Global Financing Danmark ApS. 10 Consolidated financial statements The company is a part of the consolidated statement of: Name: International Business Machines Corporation Place of registered office: New Orchard Road, Armonk, New York 10504, United States of America 11 Significant subsequent events No events have occurred after the balance sheet date which materially affect the assessment of the Company's financial position. Notes, Accounting Policies Basis of Preparation The Annual Report of IBM Global Financing Danmark ApS for 2022 has been prepared in accordance with the provisions of the Danish Financial Statements Act applying to enterprises of reporting class B. The Financial Statements for 2022 are presented in DKK thousands. Presentation currency The Company uses Danish kroner as the measurement currency. All other currencies are regarded as foreign currencies. Business combinations Intragroup business combinations are accounted for by the uniting-of-interests method without any restatement of comparative figures (the book value method). Whereby assets and liabilities acquired are measured at carrying amounts and recognized at the date at the acquisition. The difference between the consideration agreed and the carrying amounts of the acquired assets and liabilities of the acquired enterprise is recognised in equity. Translation policies Transactions in foreign currencies are translated at the exchange rates at the dates of transaction. Gains and losses 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 transaction date rates are recognised in financial income and expenses in the income statement. Leases Leases under which all material risks and rewards have been transferred to the lessee are classified as finance leases and are recognised in assets held under lease receivables. Finance leases are measured at the present value of future minimum lease payments. All other leases are considered operating leases. Income statement Gross profit/loss With reference to section 32 of Danish Financial Statements Act, revenue has not been disclosed in the Annual Report. Revenue Revenue comprises interest income from loans and finance leases as well as lease payments from operating leases. The Company recognises interest on loans and finance leases in the income statement when revenue can be measured reliably, and it is probable that future economic benefits will flow to the Company. Interest income is recognised based on the effective interest method. When computing the lease payments on finance leases, the interest rate implicit in the lease is applied as the discount rate and the related interest is recognised as income in the income statement. Income from leases moreover comprises lease payments from operating leases. Lease payments from operating leases are recognised on a straight-line basis over the term of the leases. Other external expenses Other external expenses comprise expenses for premises, travel as well as office expenses, etc. Staff expenses Staff expenses comprise wages and salaries, including holiday pay and pensions as well as other social security expenses, etc. to the Company's employees. Depreciation, amortisation and impairment losses Depreciation, amortisation, and impairment losses comprises depreciation, amortisation and impairment of property, plant and equipment. Financial income and expenses Financial income and expenses comprise interest as well as realised and unrealised exchange adjustments and are recognised in the income statement at the amounts relating to the financial year. Tax on profit for the year Tax for the year consists of current tax for the period and deferred tax for the period. The tax attributable to the profit for the period is recognised in the income statement, whereas the tax attributable to equity transactions is recognised directly in equity. The tax recognised in the income statement is classified as tax on ordinary activities and other taxes, respectively. The Company is jointly taxed with Danish group enterprises. The current corporation tax is allocated to the jointly taxed enterprises in proportion to their taxable incomes. Balance sheet Property, plant and equipment Property, plant and equipment are measured at cost with the addition of revaluations and less accumulated depreciation and 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 with the addition of revaluations and reduced by any residual value is calculated on a straight-line basis over the expected useful lives of the assets, which are: IT equipment 3-5 Years The depreciation period and residual value of the Company’s property, plant and equipment is subjected to an annual reassessment. Impairment of fixed assets The carrying amounts of property, plant and equipment are reviewed on an annual basis to determine whether there is any indication of impairment other than that expressed by depreciation. If so, an impairment test is carried out to determine whether the recoverable amount is lower than the carrying amount and the asset is written down to its lower recoverable amount. The recoverable amount of the asset is calculated as the higher of net selling price and value in use. Where a recoverable amount cannot be determined for the individual asset, the assets are assessed in the smallest group of assets for which a reliable recoverable amount can be determined based on a total assessment. Receivables Receivables comprise loans and lease receivables. Leases under which all material risks and rewards have been transferred to the lessee are classified as finance leases and are recognised in receivables. Receivables from finance leases are measured at the present value of future lease payments. When computing the net present value, the interest rate implicit in the lease is applied as the discount rate. Assets acquired under finance leases are not subject to any depreciation or impairment and are presented as receivables. The interest included in the lease payment is currently recognised as income in the income statement. All other receivables are measured at the lower of amortised cost and net realisable value, which correspond to nominal value less provision for bad debts. Prepayments Prepayments comprise prepaid expenses concerning rent, insurance premiums, subscriptions and interest. 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. Financial debts Debt such as loans from group related companies, are recognised initially at the proceeds received net of transaction expenses incurred. Subsequently the loans are measured at the amortised cost; the difference between the proceeds and the nominal value is recognised as an interest expense in the income statement over the loan period. Deferred tax assets and liabilities Deferred tax is recognised in respect of all temporary differences between the carrying amount and the tax base of assets and liabilities. Deferred tax on temporary differences concerning non-taxable amortisable goodwill as well as other items is not recognised where, unless arising from acquisitions, they have arisen at the date of acquisition without affecting the profit for the period or the taxable income. Deferred tax is measured on the basis of 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. In cases where the computation of the tax base may be made according to alternative tax rules, deferred tax is measured on the basis of the intended use of the asset and settlement of the liability, respectively. Deferred tax assets, including the tax base of tax loss carry-forwards, are measured at the value at which the asset is expected to be realised, either by elimination in tax on future earnings or by set-off against deferred tax liabilities. Deferred tax assets and liabilities are offset within the same legal tax entity. Current tax receivables and liabilities Current tax liabilities and receivables are recognised in the balance sheet as tax calculated on the taxable income for the period, adjusted for tax on the taxable income of previous periods and for taxes paid on account. Extra payments and repayment under the on-account taxation scheme are recognised in financial income and expenses in the income statement. Deferred income Deferred income comprises payments received in respect of income in subsequent years. true Annual report Auditor's report on audited financial statements ParsePort XBRL Converter 2022-01-01 2022-12-31 2021-01-01 2021-12-31 2023-05-24 Reporting class B 37424331 2023-05-24 37424331 IBM Global Financing Danmark ApS Prøvensvej 1 Brøndby 2605 Opinion Basis for Opinion 2023-05-24 mne23371 33771231 372332 424192