BDO Statsautoriseret revisionsaktieselskabHavneholmen 29DK-1561 København V20222670Årsrapport2023-03-30Anders MeierDAKO DENMARK ApSProduktionsvej 422600 GlostrupRevisionspåtegning332113171967-06-15Glostrup2021-11-012022-10-312020-11-012021-10-31BDO Statsautoriseret revisionsaktieselskabHavneholmen291561Copenhagen VNordea Bank Danmark A/SHovedvejen1162600GlostrupGlostrup2023-03-30Anders MeierLene Klejs StuhrChairmanMajken NielsenIeva Blekte TackieKonklusionGrundlag for konklusionCopenhagen2023-03-30BDO Statsautoriseret revisionsaktieselskab20222670Ole C. K. NielsenRevisionspåtegningState Authorised Public Accountantmne232992239195000184196200015102860001545580007500830005607420001075036000719311000036206000147017000-999030003108200011388200005528411000533040003033600000889019200022660470001465457000680082900012724180000165000279525000-857183000836916000Invested capitalInvested capitalInvested capitalInvested capitalInvested capital00-16606000-9416000-12059000444422420.12126.249.3153.6099.289.648.376.556.20141212100010001375242000-1000368790000-479000157000152220001740004816190001600050375500020150001224800002237000203100051376600018670007016000164000506750000997300099740006395600007392900099740007392900099740001871000208300000630001871000208930005123000586070008092300089474000312000031200007717800077015000802980008013500033600056000003360005600000289000787000029520002890003739000625000933900080923000894740003120000770140001640003120000771780004465530006252000200002780000270002000022100020140001224800010000201500012248000021160000121000022370004470007109000142000000-9300001837090000164000-13303400001640005067500009973000639560009973000639560009973000639560000Regnskabsklasse C, mellemstor virksomhedtrueToday the Board of Directors and Executive Board have discussed and approved the Annual Report of DAKO DENMARK ApS for the financial year 1 November 2021 - 31 October 2022. The Annual Report is presented in accordance with the Danish Financial Statements Act. In our opinion the Financial Statements give a true and fair view of the Company's assets, liabilities and financial position at 31 October 2022 and of the results of the Company's operations for the financial year 1 November 2021 - 31 October 2022. The Management Commentary includes in our opinion a fair presentation of the matters dealt with in the Commentary. We recommend the Annual Report be approved at the Annual General Meeting. To the Shareholder of DAKO DENMARK ApS We have audited the Financial Statements of DAKO DENMARK ApS for the financial year 1 November 2021 - 31 October 2022, which comprise income statement, Balance Sheet, statement of changes in equity, notes and 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 assets, liabilities and financial position of the Company at 31 October 2022 and of the results of the Company's operations for the financial year 1 November 2021 - 31 October 2022 in accordance with the Danish Financial Statements Act. Basis for Opinion Grundlag for konklusion 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 (including International Independence Standards) (IESBA Code), together with the ethical requirements that are relevant to our audit of the financial statements in Denmark, and we have fulfilled our other ethical responsibilities in accordance with these requirements and the IESBA Code. We believe that the evidence we have obtained is sufficient and appropriate to provide a basis for our conclusion. 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. 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. Statement on Management Commentary Management is responsible for Management Commentary. Our opinion on the Financial Statements does not cover Management Commentary, and we do not express any form of assurance conclusion thereon. In connection with our audit of the Financial Statements, our responsibility is to read Management Commentary and, in doing so, consider whether Management Commentary 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 Commentary provides the information required under the Danish Financial Statements Act. Based on the work we have performed, we conclude that Management Commentary is in accordance with the Financial Statements and has been prepared in accordance with the requirements of the Danish Financial Statements Act. We did not identify any material misstatement of Management Commentary. The ratios stated in the list of key figures and ratios have been calculated as follows: Quick ratio: Current assets x 100 Current liabilities Equity ratio: Equity ex. minorities, at year end x 100 Total equity and liabilities, at year end Principal activities Dako Denmark Aps hereinafter referred to as “Dako” became part of Agilent Technologies Inc. hereinafter referred as “Agilent” in June 2012. As part of an internal restructuring, Dako does not perform active business operations as of the end of fiscal 2021. Performance in 2022 In 2022, Dako had no active operations and consequently no revenue compared to revenue of DKK 1,412 Million in 2021. The results are in line with management expectations. Developments during the year The Net profit during in FY2022 was TDKK 164 compared to DKK 506 Million in FY2021. Future Expectations The Agilent group is executing a re-organization of its operations and Dako is also participating in this re-organizing exercise. Significant events after the end of the financial year Management is not aware of any other significant event after the end of the financial year. Stakeholders As an Agilent Technologies company, Dako continues to be committed to sharing knowledge and engaging in dialog with all relevant stakeholders. Dako strives to ensure an open, timely and trustworthy communication that supports the company’s strategic agenda and builds on Agilent’s core values. Risk Management Dako now operates on a relatively reduced risk level since the key business risks are now absorbed by other group companies. It has processes to appropriately manage the relevant remaining risks. Environmental responsibility Dako finds it very important to comply with or exceed applicable environmental regulations of the countries and local communities in which Dako operates. Acting in a responsible manner is essential, and Dako acknowledges that environmental sustainability goes together with an efficient use of resources, which is why Dako strives to reduce the use of energy, water and raw materials and the production emission and waste. Dako systematically considers environmental aspects when remodeling any of its sites, particularly with respect to initiatives that can reduce energy consumption. Corporate social responsibility (CSR) report As part of Agilent Technologies, Dako is committed to conducting business in an ethical, socially responsible and environmentally sustainable manner. This commitment is consistent with Agilent’s corporate objectives and is essential for the company’s continued business success. Agilent Technologies group is committed to conducting business in an ethical, socially responsible and environmentally sustainable manner. Our Citizenship Objective is to be an economic, intellectual and social asset to each nation and community in which we operate. Agilent's Community Relations and Giving Programs and the Agilent Foundation are tangible examples of our commitment to exemplary Corporate Citizenship. Target figures and policy for the underrepresented gender The Board has a total strength of three members of which all three are female, hence a female participation of 100 %. It is Dako’s position that a diverse organization is value-adding and contributes to the achievement of Dako’s business goals. It is therefore Dako’s policy to encourage a balanced gender distribution at all management levels by: • Securing that filling of all management positions, whether facilitated by HR or external consultants, is done by assessment of the collective skill set of each candidate independent of gender. • Requiring that external search consultants engaged for recruitment for management positions propose a reasonable number of candidates of each gender. • Having succession planning practices in place requiring managers to identify a gender-diverse range of potential successors for critical management positions. • Requiring managers to discuss with qualified subordinates of the under-represented gender as part of their recurrent performance review how and if advancement to a (higher) management position could be relevant and what potentially would be required. • Regularly obtaining qualitative data regarding the background for the gender distribution at various management levels both from a potential candidate perspective and from an employer perspective.Policy for data ethics The company and the overall Agilent group continues to build upon its comprehensive principles-based data protection and privacy program, emphasizing the provision of appropriate privacy notices, acting with transparency and in accordance with our notices and embedding data protection and privacy-by-design into both our products and business operations. We do so while adapting our approaches to cater to remote workforces, online collaboration and increased digital interactions with our customers. We continue to develop and deliver new data protection and privacy content, communications, and training to engage Agilent’s global employee base and support our commitments to protect the data entrusted to us. To further embed privacy into our business, we operate a global Data Subject Access Request (DSAR) intake and response process to ensure we provide timely responses to all individual data privacy rights requests. In addition, Agilent has a comprehensive Data Protection Impact Assessment (DPIA) process to systematically assess and evaluate risk for new and changed uses of personal data. Agilent’s Data Protection and Privacy program governance strategy includes a Data Privacy Board with Senior Management across the entire business, complemented by dedicated Privacy Champions in each function, responsible for acting as the voice of privacy in their functional area. We have leveraged and expanded our Program’s processes and governance strategy to address newly emerging privacy regulations across the globe.Share capital Retained profit Total Equity at 1 November 2021 3.120 77.014 80.134 Proposed profit allocation, Note 8 164 164 Equity at 31 October 2022 3.120 77.178 80.298 Net revenue 1 Geographical segments Americas 0 22.510 Indsæt linje APAC 0 1.070.423 Indsæt linje EMEA 0 319.188 Indsæt linje 0 1.412.121 Business segments Pathology 0 1.109.372 Indsæt linje Reagent Partnership 0 302.749 Indsæt linje 0 1.412.121 The business segments in the company are controlled by revenue per product group and by three regions: EMEA (Europe, Middle East and Africa, Africa), Americas (North and South America) and APAC (Asian Pacific). Staff costs 2 Average number of employees 4 4 Remuneration of Management and Board of Directors 6.553 6.252 6.553 6.252 In accordance to section 98 B (3) of the Danish Financial Statements Act, renumeration to the Executive Board has not been disclosed. Fee to statutory auditors 3 Total fee: BDO 40 526 40 526 Fee specification: Statutory audit 20 278 Tax consultancy 0 27 Other services 20 221 40 526 Special items 4 Fair value gains at distribution of subsidiaries 0 443.739 Gain on realization of investments 0 38.152 Other realisation gains/losses 0 -278 0 481.613 Financial income 5 Group enterprises 2.014 12.248 272.110 Other financial income 1 0 2.015 12.248 Financial expenses 6 Group enterprises 0 2.116 273.107 Other financial expenses 0 121 0 2.237 Proposed distribution of profit 8 Extraordinary dividend 0 1.837.090 515.350 Retained earnings 164 -1.330.340 164 506.750 Financial non-current assets 9 Investments in subsidiaries Receivables from group enterprises Cost at 1 November 2021 9.973 63.956 Cost at 31 October 2022 9.973 63.956 Carrying amount at 31 October 2022 9.973 63.956 Investments in subsidiaries (DKK '000) Name and domicil Equity Profit/loss for the year Ownership Agilent DGG Norge AS, Norge 12.934 592 100 % All foreign subsidiaries are recognised and measured as seperate entities. Equity and result of investments in subsidiaries are based in locally presented annual reports for 2022 and is translated to DKK at year-end. Prepayments and accrued income 10 The item constitues prepaid cost pertaining to the following fiscal year. 2022 2021 DKK '000 DKK '000 Share capital Allocation of share capital: 11 A-aktier, 3.120 stk. a nom. 1.000 DKK 3.120 3.120 3.120 3.120 Contingent liabilities Joint liabilities The company is jointly and severally liable together with the parent company and the other group companies in the jointly taxed group for tax on the group’s jointly taxed income and for certain possible withholding taxes such as dividend tax and royalty tax, and for the joint registration of VAT. Tax payable of the group’s jointly taxed income is stated in the annual report of Agilent Technologies Denmark ApS, which serves as management company for the joint taxation. Charges and securities 14 None. Related parties 15 The Company's related parties include: Controlling interest Agilent Technologies Inc., Parent company. Ownership The following shareholders are recorded in the Company's register of shareholders as holding at least 5 % of the votes or at least 5 % of the share capital: Agilent Technologies Inc., 5301 Stevens Creek Boulevard, Santa Clara, CA 95051. Transactions with related parties The Company did not carry out any material transactions that were not concluded on market conditions. According to section 98c, subsection 7 of the Danish Financial Statements Act information is given only on transactions that were not performed on common market conditions. Consolidated Financial Statements 16 The company is included in the Group Annual Report of Agilent Technologies Inc. The Group Annual Report may be obtained at the following address: 5301 Stevens Creek Boulevard, Santa Clara, CA 95051. The Annual Report of DAKO DENMARK ApS for 2021/22 has been presented in accordance with the provisions of the Danish Financial Statements Act for enterprises in reporting class C, medium-size enterprises. Regnskabsklasse C, mellemstor virksomhed1 true The Annual Report is prepared consistently with the accounting principles applied last year. Net revenue Net revenue from sale of merchandise and finished goods is recognised in the Income Statement if supply and risk transfer to purchaser has taken place before the end of the year and if the income can be measured reliably and is expected to be received. Net revenue is recognised exclusive of VAT, duties and less discounts related to the sale. Costs of sales Cost of sales comprises costs, including wages and salaries and write-off, incurred to achieve the net revenue for the year. Commercial enterprises recognise cost of sales, and the manufacturing enterprises recognise production costs equal to the revenue for the year, including direct and indirect costs of raw materials and consumables, wages and salaries, rent and leasing and depreciation of production plant. Research and development expenses Research and developments expenses include research costs attributable to the Company's research and development function, including wages and salaries and maintenance of patens, amortisation and other indirect costs. Research costs are recognised in the income statement as the costs incur. Development projects in clearly defined and identifiable products and processes for which the technical rate og utilisation. adequate resources and a potential future market or development opportunity in the enterprise can be established, and where the intention is to manufacture, market or apply the product or process in question, are recognised as intangiable assets if there is a correlation between the costs incurred and future earnings. If not, development costs are recognised as costs in the income statement as incurred. In case og uncertainty in connection with the development of the new products, an assessment is made as to whether the capitalisation has not been fulfilled. Public grants for research and development cost, which are recognised directly in the income statement, are recognised under Cost of sales and development expenses in such a way that they correspond to the costs for which they compensate. Grants awarded for acquisition of assets and development assests, which are recognised in the balance sheet, are set off against for which the grants are provided. Amortisation of capitalised development and research costs and the development costs that do not fulfil the criteria for capitalisation are also recognised in production costs. Impairment losses are recognised in connection with expected losses on project contracts. Distribution costs The costs incurred for distribution of goods sold during the year and for sales campaigns carried out during the year are recognised in distribution costs. The costs of the sales personnel, advertising and exhibition costs and amortisation are also recognised in distribution costs. Administrative expenses Administrative expenses recognise costs incurred during the year regarding management and administration of the group, inclusive of costs relating to the administrative staff, executives, office premises, office expenses etc and related amortisation. Other operating income Other operating income includes items of a secondary nature in relation to the Group’s and the Company’s activities. In addition, profit from sale of intangible and tangible fixed assets as well as business interruption and conflict compensations are included. Compensations are recognised when the income is deemed to be realisable. Income from investments Dividend from subsidiary is recognised in the financial year when the dividend is declared. Financial income and expenses Financial income and expenses are recognised in the income statement by the amounts that relate to the financial year. Tax The tax for the year, which consists of the current tax for the year and changes in deferred tax, is recognised in the income statement by the portion that may be attributed to the profit for the year, and is recognised directly in the equity by the portion that may be attributed to entries directly to the equity. The company is jointly taxed with wholly owned Danish group enterprises. The tax effect of the joint taxation is allocated to enterprises in proportion to their taxable incomes. Financial non-current assets Equity investments in subsidiaries are measured at cost. If the cost exceeds the net realisable value, this is written down to the lower value. When acquiring companies within the group, the merger method is used, where the merger is considered to have taken place at the time of acquisition and with the application of book values to the acquired assets and liabilities.Impairment of fixed assets The carrying amount of fixed assets, which are not measured at fair value, are valued on an annual basis for indications of impairment other than that reflected by amortisation and depreciation. In the event of impairment indications, an impairment test is made for each asset or group of assets, respectively. If the net realisable value is lower than the carrying amount, the assets are written down to the lower value. The recoverable amount is calculated at the higher of net selling price and capital value. The capital value is determined as the fair value of the expected net cash flows from the use of the asset or group of assets and the expected net cash flows from sale of the asset or group of assets after the end of its useful life.Receivables Receivables are measured at amortised cost which usually corresponds to nominal value. The value is reduced by impairment losses to meet expected losses. Tax payable and deferred tax Current tax liabilities and receivable current tax are recognised in the balance sheet as the calculated tax on the taxable income for the year, adjusted for tax on the taxable income for previous years and taxes paid on account. The Company is subject to joint taxation with Danish group companies. The current corporation tax is distributed among the joint taxable companies in proportion to their taxable income and with full allocation and refund related to tax losses. The joint taxable companies are included in the on account tax scheme. Joint taxation contributions receivable and payable are recognised in the Balance Sheet under current assets and liabilities, respectively. Deferred tax is measured on the temporary differences between the carrying amount and the tax value of assets and liabilities. Deferred tax assets, including the tax value of tax loss carry-forwards, are measured at the expected realisable value of the asset, either by set-off against tax on future earnings or by set-off against deferred tax liabilities within the same legal tax entity. Deferred tax is measured on the basis of the tax rules and tax rates that under the legislation in force on the balance sheet date would be applicable when the deferred tax is expected to crystallise as current tax. Any changes in the deferred tax resulting from changes in tax rates, are recognised in the income statement, except from items recognised directly in equity. Liabilities Financial liabilities are recognised at the time of borrowing by the amount of proceeds received less borrowing costs. In subsequent periods, the financial liabilities are measured at amortised cost equal to the capitalised value when using the effective interest, the difference between the proceeds and the nominal value being recognised in the income statement over the term of loan. Amortised cost of current liabilities usually corresponds to nominal value. Derivative financial instruments Derivative financial instruments are initially recognised in the Balance Sheet at cost and subsequently measured at fair value. Positive and negative fair values of derivative financial instruments are recognised under receivables and payables, respectively. Change in fair value of derivative financial instruments classified as and complying with the criteria for hedging of the fair value of a recognised asset or a recognised liability is recognised in the Income Statement together with possible changes in the fair value of the hedged asset or the hedged liability. Change in fair value of derivative financial instruments classified as and complying with the criteria for hedging of future cash flows is recognised under receivables or payables and under equity. If the future transaction results in recognition of assets or liabilities, all amounts recognised under equity are transferred from equity and recognised under the initial cost of the asset or liability, respectively. If the future transaction results in income or expenses amounts recognised under equity are transferred to the Income Statement for the period where the Income Statement was affected by the hedged amount. As regards possible derivative financial instruments, which do not comply with the criteria for classification as hedging instruments, any changes in fair value are recognised on a current basis in the Income Statement. Foreign currency translation Transactions in foreign currencies are translated using “Average monthly rate” for the month in which the transaction is recorded. This average rate is derived from and closely represents the actual exchange rates in force during that month. Exchange differences arising between the “Average monthly rate” and the rate on the payment date are recognized in the Income Statement as financial income or expense. Receivable, payable and other monetary items in foreign currencies that are not settled on the balance sheet date are translated at the exchange rate on the balance sheet date. The difference between the exchange rate on the balance sheet date and the exchange rate at the time of occurrence of the receivable or payable is recognised in the income statement as financial income or expenses. Fixed Assets acquired in foreign currencies are translated using “Average monthly rate” as described above for the month in which the transaction is recorded. CASH FLOW STATEMENT In accordance with section 86(4) of the Danish Financial Statements Act no cash flow statement has been prepared. The cash flow statement for Dako Denmark A/S incorporated in the cash flow statement of the consolidated Financial Statements of Agilent Technologies Inc., at 5301 Stevens Creek Boulevard, Santa Clara, CA 95051. In accordance with section 86(4) of the Danish Financial Statements Act no cash flow statement has been prepared. The cash flow statement for Dako Denmark A/S incorporated in the cash flow statement of the consolidated Financial Statements of Agilent Technologies Inc., at 5301 Stevens Creek Boulevard, Santa Clara, CA 95051. 332113172018-10-31332113172022-10-31332113172021-10-31332113172021-11-012022-10-31332113172021-11-01g:ContributedCapitalMember332113172022-10-31g:ContributedCapitalMember332113172021-11-012022-10-31g:RetainedEarningsMember332113172021-11-01g:RetainedEarningsMember332113172022-10-31g:RetainedEarningsMember332113172021-11-012022-10-311332113172020-11-012021-10-311332113172021-11-01g:ReceivablesFromGroupEnterprisesMember332113172022-10-31g:ReceivablesFromGroupEnterprisesMember332113172021-11-01g:InvestmentsInGroupEnterprisesMember332113172022-10-31g:InvestmentsInGroupEnterprisesMember332113172021-11-012022-10-311332113172021-11-012022-10-312332113172021-11-012022-10-313332113172021-11-012022-10-31Hovedtal Investeret kapital332113172020-11-012021-10-31Hovedtal Investeret kapital332113172020-11-012021-10-31332113172020-10-31332113172019-11-012020-10-31Hovedtal Investeret kapital332113172019-11-012020-10-31332113172019-10-31332113172018-11-012019-10-31Hovedtal Investeret kapital332113172018-11-012019-10-31332113172017-11-012018-10-31Hovedtal Investeret kapital332113172017-11-012018-10-31332113172021-11-012022-10-311332113172021-11-012022-10-31Nogletal Likviditetsgrad332113172020-11-012021-10-31Nogletal Likviditetsgrad332113172019-11-012020-10-31Nogletal Likviditetsgrad332113172018-11-012019-10-31Nogletal Likviditetsgrad332113172017-11-012018-10-31Nogletal Likviditetsgradxbrli:pureiso4217:DKK