xbrli:pureiso4217:DKK734384112022-07-012023-06-30cmn:ConsolidatedMember734384112022-07-012023-06-301cmn:ConsolidatedMember734384112022-07-012023-06-301cmn:ConsolidatedMember734384112022-07-012023-06-302cmn:ConsolidatedMember734384112022-07-012023-06-301734384112022-07-012023-06-302734384112022-07-012023-06-303734384112022-07-012023-06-304734384112022-07-012023-06-302cmn:ConsolidatedMember734384112021-07-012022-06-30cmn:ConsolidatedMember734384112022-07-012023-06-30734384112021-07-012022-06-30734384112022-07-012023-06-30fsa:RetainedEarningsMembercmn:ConsolidatedMember734384112022-07-012023-06-30fsa:ProposedDividendRecognisedInEquityMembercmn:ConsolidatedMember734384112022-07-012023-06-30fsa:RetainedEarningsMember734384112022-07-012023-06-30fsa:ProposedDividendRecognisedInEquityMember734384112023-06-30cmn:ConsolidatedMember734384112022-06-30cmn:ConsolidatedMember734384112023-06-30734384112022-06-30734384112022-07-01cmn:ConsolidatedMember734384112021-07-01cmn:ConsolidatedMember734384112022-07-01fsa:ContributedCapitalMembercmn:ConsolidatedMember734384112022-07-01fsa:RetainedEarningsMembercmn:ConsolidatedMember734384112022-07-01fsa:ProposedDividendRecognisedInEquityMembercmn:ConsolidatedMember734384112023-06-30fsa:ContributedCapitalMembercmn:ConsolidatedMember734384112023-06-30fsa:RetainedEarningsMembercmn:ConsolidatedMember734384112023-06-30fsa:ProposedDividendRecognisedInEquityMembercmn:ConsolidatedMember734384112022-07-01fsa:ContributedCapitalMember734384112022-07-01fsa:ReserveForDevelopmentExpenditureMember734384112022-07-01fsa:RetainedEarningsMember734384112022-07-01fsa:ProposedDividendRecognisedInEquityMember734384112022-07-01734384112023-06-30fsa:ContributedCapitalMember734384112023-06-30fsa:ReserveForDevelopmentExpenditureMember734384112023-06-30fsa:RetainedEarningsMember734384112023-06-30fsa:ProposedDividendRecognisedInEquityMember734384112022-07-012023-06-30fsa:ContributedCapitalMembercmn:ConsolidatedMember734384112022-07-012023-06-30fsa:ContributedCapitalMember734384112022-07-012023-06-30fsa:ManagementMembercmn:ConsolidatedMember734384112021-07-012022-06-30fsa:ManagementMembercmn:ConsolidatedMember734384112022-07-012023-06-30fsa:BoardOfDirectorsMembercmn:ConsolidatedMember734384112021-07-012022-06-30fsa:BoardOfDirectorsMembercmn:ConsolidatedMember734384112022-07-012023-06-30fsa:ManagementMember734384112021-07-012022-06-30fsa:ManagementMember734384112022-07-012023-06-30fsa:BoardOfDirectorsMember734384112021-07-012022-06-30fsa:BoardOfDirectorsMember734384112022-07-012023-06-30fsa:OtherShorttermPayablesMembercmn:ConsolidatedMember734384112022-07-012023-06-30fsa:ShorttermDeferredIncomeMembercmn:ConsolidatedMember734384112022-07-012023-06-30fsa:OtherShorttermPayablesMember734384112022-07-012023-06-30fsa:ShorttermDeferredIncomeMember734384112022-07-012023-06-30fsa:ReserveForDevelopmentExpenditureMemberGrundlag for konklusionKonklusion2023-10-312023-10-3133963556Deloitte Statsautoriseret RevisionspartnerselskabRevisionspåtegningRegnskabsklasse C, stor virksomhed2022-06-302021-07-0133963556Weidekampsgade 6Deloitte Statsautoriseret Revisionspartnerselskab2300 København S2023-06-302022-07-01PR electronics A/S73438411ÅrsrapportAarhus C80002City Tower, VærkmestergadeSyddjursRønde8410<br /><br />10LerbakkenThe Board of Directors and the Executive Board have today considered and approved the annual report of PR electronics A/S for the financial year 01.07.2022 - 30.06.2023.The annual report is presented in accordance with the Danish Financial Statements Act.In our opinion, the consolidated financial statements and the parent financial statements give a true and fair view of the Group's and the Parent's financial position at 30.06.2023 and of the results of their operations and the consolidated cash flows for the financial year
01.07.2022 - 30.06.2023.We believe that the management commentary contains a fair review of the affairs and conditions referred to therein.We recommend the annual report for adoption at the Annual General Meeting.RøndeStig Alnøe LindemannSimon BisboJohnny PedersenAndreas FærkSimon BisboGeorge Benjamin MitchelTo the shareholders of PR electronics A/SWe have audited the consolidated financial statements and the parent financial statements of PR electronics A/S for the financial year 01.07.2022 - 30.06.2023, which comprise the income statement, balance sheet, statement of changes in equity and notes, including a
summary of significant accounting policies, for the Group as well as the Parent, and the consolidated cash flow statement. The consolidated financial statements and the parent financial statements
are prepared in accordance with the
Danish Financial Statements Act.
In our opinion, the consolidated financial statements and the parent financial statements give a true and fair view of the Group's and the Parent's financial position at 30.06.2023 and of the results of their operations and the consolidated cash flows for the financial year 01.07.2022 - 30.06.2023 in accordance
with the Danish Financial Statements Act.We conducted our audit in accordance with International Standards on Auditing (ISAs) and additional
requirements
applicable in Denmark. Our responsibilities under those standards and requirements are further
described in the "Auditor’s responsibilities for the audit of the consolidated financial statements and the parent financial statements" section of this auditor’s
report. We are independent of the Group 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.Management is responsible for the preparation of consolidated financial statements and parent 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 consolidated financial statements and parent financial statements that are free from material misstatement,
whether due to fraud or error.
In preparing the consolidated financial statements and the parent financial statements, Management is responsible for assessing the Group's and the Entity’s ability to continue
as a going concern, for disclosing, as applicable, matters related to going concern, and for using the going concern basis of accounting in preparing the consolidated financial statements and the parent financial statements unless Management either intends to liquidate
the Entity or to cease operations, or has no realistic alternative but to do so.Our objectives are to obtain reasonable assurance about whether the consolidated financial statements and the parent 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 consolidated financial statements and parent financial statements.
As part of an audit conducted in accordance with ISAs and the additional requirements applicable in Denmark,
we exercise professional judgement and maintain professional scepticism throughout the audit. We also:<br />Identify and assess the risks of material misstatement of the consolidated financial statements and the parent financial statements, whether due to
fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a
material misstatement resulting from fraud is higher than for one resulting from error, as fraud may
involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.
<br />Obtain an understanding of internal control relevant to the audit in order to design audit procedures
that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the
effectiveness of the Group's and the Entity’s internal control.
<br />Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates
and related disclosures made by Management.
<br />Conclude on the appropriateness of Management’s use of the going concern basis of accounting in
preparing the consolidated financial statements and the parent 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 Group's and the Entity’s ability to
continue as a going concern. If we conclude that a material uncertainty exists, we are required to
draw attention in our auditor’s report to the related disclosures in the consolidated financial statements and the parent 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
Group and the Entity to cease to continue as a going concern.
<br />Evaluate the overall presentation, structure and content of the consolidated financial statements and the parent financial statements, including the disclosures
in the notes, and whether the consolidated financial statements and the parent financial statements represent the underlying transactions and
events in a manner that gives a true and fair view.<br />We communicate with those charged with governance regarding, among other matters, the planned scope
and timing of the audit and significant audit findings, including any significant deficiencies in internal control
that we identify during our audit.Management is responsible for the management commentary.
Our opinion on the consolidated financial statements and the parent financial statements does not cover the management commentary, and we do not express
any form of assurance conclusion thereon.
In connection with our audit of the consolidated financial statements and the parent financial statements, our responsibility is to read the management
commentary and, in doing so, consider whether the management commentary is materially inconsistent with
the consolidated financial statements and the parent financial statements or our knowledge obtained in the audit or otherwise appears to be materially
misstated.
Moreover, it is our responsibility to consider whether the management commentary provides the information
required under the Danish Financial Statements Act.<br />Based on the work we have performed, we conclude that the management commentary is in accordance with
the consolidated financial statements and the parent financial statements and has been prepared in accordance with the requirements of the Danish Financial
Statements Act. We did not identify any material misstatement of the management commentary.AarhusMorten Gade SteinmetzJonas Thøstesen Svenssonmne34145mne47824State Authorised Public AccountantState Authorised Public AccountantFinancial highlights2022/23
DKK'0002021/22
DKK'0002020/21
DKK'0002019/20
DKK'0002018/19
DKK'000Key figuresRevenue497,310368,056337,579327,914322,140Gross profit/loss290,352200,002209,013191,718181,251Operating profit/loss122,24352,75863,90551,49747,663Net financials(1,834)(2,335)79(1,050)(1,562)Profit/loss for the year94,75741,06351,80241,07735,990Balance sheet total398,449343,612302,889296,686308,498Investments in property, plant and equipment17,03610,0106,0375,91814,200Equity280,545186,737196,857184,753173,726Cash flows from operating activities98,0451,35670,39069,94758,602Investments in intangible assets4,7733,5635,5647,56012,966Average number of
employees207194200201203RatiosReturn on equity (%)40.5621.4127.1522.9219.38Equity ratio (%)70.4154.3564.9962.2756.31Financial highlights are defined and calculated in accordance with the current version of "Recommendations &
Ratios" issued by the CFA Society Denmark.Return on equity (%)
:Profit/loss for the year * 100
Average equityEquity ratio (%)
:Equity * 100
Balance sheet totalPrimary activitiesThe Group develops, produces, and sells electronic components. Development and production take place in PR electronics A/S, whereas the Group’s products are sold through its foreign sales subsidiaries and independent distributors as well as from PR electronics A/S directly. Development in activities and financesRevenue for the year amounts to DKK 497,310k against DKK 368,056k last year, which corresponds to a growth of 35.1%.
Other external expenses and staff costs increased combined by 14.0% reflecting mainly a higher number of employees and higher sales and marketing activities, partly offset by higher capitalization of wages in R&D and increased efficacy in production and back-office functions.
The profit for the year increased from DKK 41,063k in 2021/2022 to DKK 94,757k in 2022/2023. The increase in profit for the year mainly reflects an increase in gross profit due to higher revenue and improved access to raw materials, partly offset by higher operational expenses.Profit/loss for the year in relation to expected developmentsThe profit for the year is regarded as satisfactory. The Group constantly takes steps and adjusts to ensure that its strategy plan for growth in revenue and profitability is met.OutlookFounded in a continuously wider high-quality product range, increased activities to create market awareness and a larger sales force, the Group expects to continue its growth path. Increased profitability is expected through continued optimization of the Group’s internal value chains, including purchasing and production optimizations, and an ease of the shortage situation.
The Group expects revenue to grow by 0-15% in 2023/2024 with an unchanged margin on profit before tax.Research and development activitiesResearch and development activities are carried out in PR electronics A/S. The activities primarily comprise development of modules for electronic signal conditioning and related products.
Approx. 4.4% of revenue for the year is spent on research and development activities of which DKK 4.8m has been recognized under intangible assets.
For the next financial year, the Group expects that resources used for research and development activities will increase to approximately 10% of revenue.
Other financial matters
The Group is strongly focused on financial management, including continuous assessment and hedging of the Group’s trading risks and financial risks, etc.
Business risks
The markets, in which the Group operates, are mainly product-driven. Therefore, the Group’s efforts in the research and development area contribute to securing the Group’s long-term market position. Consequently, it is important to retain and further enhance the Group’s innovative potential and to be able to attract the best-qualified candidates.
Product risks mainly relate to delays in launch of new products. The Group has focus on all parts of the product development and launch processes to minimize this risk. The Group’s supply chain is constantly monitored, and policies ensure availability of minimum inventory levels to avoid adverse consequences of short and medium-term interruptions of the supply chain. Finally, significant resources are spent to protect inventions through patents and the Group continuously develop and maintain its competences in this area.
Financial risks
As a result of its operations, investments and financing, the Group is exposed to changes in exchange rates and interest levels. The Group manages the financial risks centrally and has a central coordination of the Group’s cash management, including capital procurement and investment of excess liquidity.
Foreign exchange risks
Foreign exchange risks are primarily hedged by means of matching of payments received and made in the same currency and by means of forward exchange contracts.
Credit risks
Credit risks related to financial assets correspond to the values recognized in the balance sheet. The Group does not have any material risks relating to a single customer or cooperative partner. According to the Group’s policy for assuming credit risks, all major customers and other cooperative partners are credit rated on an ongoing basis.
According to the Group’s policy, capital procurement as well as investment of surplus liquidity shall be managed centrally by PR electronics A/S.
Interest risks
It is the Group’s policy to hedge interest rate risks on Group loans if it is assessed that such interest payments can be ensured at a satisfactory level compared to the related costs. At present, the Group has limited debt compared to its activity level.
Liquidity risks
The Group has policies stipulating availability of minimum cash resources, which the Group must have at its disposal at any time.
Management and employees
The average number of employees (converted into full-time employees) was 207 in 2022/2023 (194 in 2021/2022).
Knowledge resources
The Group’s strategic objective of continued growth in revenue and profit requires maintenance of a high level of innovation through a flexible and knowledge-based organization. This is a sustained process, which is facilitated through the implementation of educational plans, encouragement to cooperation and by inspiring employees to take responsibility.
Maintenance of the Group’s leading technology edge requires core competencies amongst others within effective project management, hardware design of analogue and digital electronics, design of solid and high-efficient embedded software as well as development of advanced signal conditioning algorithms. Furthermore, outstanding product quality and productivity of new products requires core competencies within development of high-precision calibration equipment and end test equipment with high production efficiency.
To maintain a leading edge in the development of new innovative technologies and products, the Group cooperates with a number of external consultants as well as design and development companies. Statutory report on corporate social responsibilityThe Group has focus on corporate social responsibility in relation to its activities and the following section describes policies, activities and results in relation hereto. Our business model is described in the section “Primary activities” above.
Environmental performance
The risk of negative impact on the external environment is low for the Group as only small quantities of dangerous substances is used in the production process. The Group is certified according to the DS/EN ISO 14001:2015 standard and has continuous focus on minimizing our environmental footprint. Specifically, the standard is used in setting procedures for daily work routines, and therefore new and existing employees are constantly made aware of and trained to live up to the specified standard.
Management concludes that the Group’s activities have contributed to minimizing its impact on environment as well as the climate in general in the fiscal year 2022/2023, and the Group will continue to improve its environmental footprint in 2023/2024.
Health and safety at work
The Group takes responsibility for the working environment and focus on the health of its employees. Therefore, the Group is focusing on any potential risks related to work-related accidents and the employee’s general wellbeing. The working environment complies with the highest national standards, and the Group focuses on being a healthy workplace for the well-being of its employees.
Health and safety at work is closely monitored amongst others through health and safety related questions in the yearly employee satisfactory survey as well as real time recording of work-related accidents and near-accidents.
Management concludes that the Group’s activities have contributed to maintaining a work environment compliant with the highest national standards in the fiscal year 2022/2023, and the Group will strive to maintain the highest national standards also in 2023/2024.
Society & Human rights
The Group consents with the 10 UN Global Compact Principles in its day-to-day business operations and has particular focus on maintaining compliance with human rights and labor rights and hereby mitigating any risk of employees feeling discriminated or not treated equally. The Group has a zero tolerance in relation to discrimination of employees and any breaches concerning human and labor rights. To ensure focus amongst employees, the policy is part of the employee handbook, which has been distributed to all employees.
During fiscal year 2022/2023, the management is not aware of any breaches of human rights in the Group. The Group will in the next financial year continue with a high level of activities to secure a satisfying result of the employee surveys and ensure protection of human rights.
Anti-corruption & Bribery
The Group does not operate in businesses and markets where corruption and bribery are considered a major risk but as part of the Group’s overall approach to CSR, a code of conduct and anti-corruption policies are in place.
The Group has a zero tolerance in relation to corruption and bribery and has strong values and a shared vision of professional business acumen. Additionally, internal controls and implemented authority matrix aim at ensuring and enhancing adherence.
Furthermore, the Group’s Code of Conduct policy is an integrated part of the employee handbook and employees are made aware through their introductory training which also includes a Code of Conduct test and the employee’s signature on the Code of Conduct to certify adherence. Similar Code of Conduct programs are in place in relation to suppliers.
During the fiscal year 2022/2023, the management is not aware of any breaches regarding corruption and bribery in the Group. This is also the target for next financial year, which is expected to be achieved through a continuation of training programs and awareness campaigns.
Statutory report on the underrepresented genderThe Group has always and will also in the future strive to recruit the most competent and best suited human capital for any position irrespective of gender. Currently, the generally elected members of the board consist of four male members. The Group has set a target of 1 female member of the generally elected members of the board by 2025. The target was not achieved in the financial year, as there has not been an election for the board.
In the fiscal year 2022/2023, 20% of the members of the Group’s enhanced executive management team belongs to the underrepresented gender, which is slightly below target of 40%. The policy for reaching equal gender representation in management is that the Group will strive to recruit the most competent and best suited human capital for any position irrespective of gender. In practise this means that when recruiting for management positions we strive to have candidates of both genders. Statutory report on data ethics policyThe Group has updated all relevant policies, including employee and data privacy policies, to ensure compliance with the GDPR regulations introduced in 2018. The Group has appointed a GDPR responsible individual per main GDPR area as well as a Group GDPR responsible person embedded with the task to maintain our group-wide GDPR documentations and compliance and to perform internal reviews. We have provided training to our employees – based on a risk-based approach – to ensure awareness and compliance with GDPR in their day-to-day work and on what actions are required in case a breach of sensitive data is detected.
During 2022/23, initial steps were taken to develop a Data Ethics Policy in accordance with the Danish Financial Statements Act § 99d ("Redegørelse for politik for dataetik, jf. årsregnskabslovens § 99 d"). This work has not yet been completed and consequently no Data Ethics Policy where in effect in 2022/23. However, throughout the year the Group generated, handled and used data in accordance with prior practices and policies, including policies on data privacy and GDPR, and as a responsible company. A Data Ethics Policy is expected to be adopted in 2023/24 and will be applicable to the entire Group.
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DKK'0002021/22
DKK'000Denmark41,32527,625Other EU-countries256,524193,864Other countries199,461146,567Total revenue by geographical market497,310368,056All revenue relates to sale of electronical components. There are no separate business segment in terms of risk and return.2 Revenue2022/23
DKK'0002021/22
DKK'000Denmark41,32627,625Other EU-countries184,700138,644Other countries154,212115,090Total revenue by geographical market380,238281,359All revenue relates to sale of electronics components. There are no separate business segments in terms of risk and return.3 Other operating income2022/23
DKK'0002021/22
DKK'000Property rent203565Salary reimbursement7287189311,2834 Fees to the auditor appointed by the Annual General Meeting2022/23
DKK'0002021/22
DKK'000Statutory audit services150150Other services1551253052753 Fees to the auditor appointed by the Annual General Meeting2022/23
DKK'0002021/22
DKK'000Statutory audit services150150Other services1551253052755 Staff costs2022/23
DKK'0002021/22
DKK'000Wages and salaries118,880102,857Pension costs7,3976,571Other social security costs10,85210,070Other staff costs6,4565,203143,585124,701Average number of full-time employees207194Remuneration of management
2022/23
DKK'000Remuneration
of management
2021/22
DKK'000Executive Board6,9336,678Board of Directors50506,9836,7284 Staff costs2022/23
DKK'0002021/22
DKK'000Wages and salaries81,98570,196Pension costs5,6884,799Other social security costs1,4811,617Other staff costs5,5434,35194,69780,963Average number of full-time employees139124Remuneration
of
Manage- ment
2022/23
DKK'000Remuneration
of Manage- ment
2021/22
DKK'000Executive Board6,9336,678Board of Directors50506,9836,728207194139124Remuneration of management
2022/23
DKK'000Remuneration
of management
2021/22
DKK'000Executive Board6,9336,678Board of Directors50506,9836,728Remuneration
of
Manage- ment
2022/23
DKK'000Remuneration
of Manage- ment
2021/22
DKK'000Executive Board6,9336,678Board of Directors50506,9836,7286933000667800050000500006933000667800050000500006 Depreciation, amortisation and impairment losses2022/23
DKK'0002021/22
DKK'000Amortisation of intangible assets14,12213,914Depreciation on property, plant and equipment10,3268,591Profit/loss from sale of intangible assets and property, plant and equipment763824,52422,5435 Depreciation, amortisation and impairment losses2022/23
DKK'0002021/22
DKK'000Amortisation of intangible assets14,12213,914Depreciation on property, plant and equipment9,9088,107Profit/loss from sale of intangible assets and property, plant and equipment763824,10622,0597 Other financial income2022/23
DKK'0002021/22
DKK'000Other interest income942494246 Other financial income2022/23
DKK'0002021/22
DKK'000Financial income from group enterprises332206Other interest income9734292098 Other financial expenses2022/23
DKK'0002021/22
DKK'000Other interest expenses638Other financial expenses1,9222,3211,9282,3592022/23
DKK'0002021/22
DKK'000Other interest expenses638Other financial expenses1,9222,3211,9282,359<br />7 Other financial expenses2022/23
DKK'0002021/22
DKK'000Other interest expenses47Other financial expenses1,8582,0611,8622,068<br />2022/23
DKK'0002021/22
DKK'000Other interest expenses47Other financial expenses1,8582,0611,8622,0689 Tax on profit/loss for the year2022/23
DKK'0002021/22
DKK'000Current tax27,56911,067Change in deferred tax(1,917)(1,707)25,6529,3608 Tax on profit/loss for the year2022/23
DKK'0002021/22
DKK'000Current tax26,65110,503Change in deferred tax(1,917)(1,707)24,7348,79610 Proposed distribution of profit/loss2022/23
DKK'0002021/22
DKK'000Ordinary dividend for the financial year59,7000Retained earnings35,05741,06394,75741,0639 Proposed distribution of profit and loss2022/23
DKK'0002021/22
DKK'000Ordinary dividend for the financial year59,7000Retained earnings35,05741,06394,75741,0633505700041063000350570004106300011 Intangible assetsCompleted development projects
DKK'000Acquired patents
DKK'000Development projects in progress
DKK'000Cost beginning of year167,3732,7596,989Transfers1,6360(1,636)Additions004,773Disposals0(152)0Cost end of year169,0092,60710,126Amortisation and impairment losses beginning of year(137,558)(1,276)0Amortisation for the year(13,812)(310)0Amortisation and impairment losses end of year(151,370)(1,586)0Carrying amount end of year17,6391,02110,126Completed development projects
DKK'000Acquired patents
DKK'000Development projects in progress
DKK'000Cost beginning of year167,3732,7596,989Transfers1,6360(1,636)Additions004,773Disposals0(152)0Cost end of year169,0092,60710,126Amortisation and impairment losses beginning of year(137,558)(1,276)0Amortisation for the year(13,812)(310)0Amortisation and impairment losses end of year(151,370)(1,586)0Carrying amount end of year17,6391,02110,126<br />10 Intangible assetsCompleted development projects
DKK'000Acquired patents
DKK'000Development projects in progress
DKK'000Cost beginning of year167,3732,7596,989Transfers1,6360(1,636)Additions004,773Disposals0(152)0Cost end of year169,0092,60710,126Amortisation and impairment losses beginning of year(137,558)(1,276)0Amortisation for the year(13,812)(310)0Amortisation and impairment losses end of year(151,370)(1,586)0Carrying amount end of year17,6391,02110,126<br />Completed development projects
DKK'000Acquired patents
DKK'000Development projects in progress
DKK'000Cost beginning of year167,3732,7596,989Transfers1,6360(1,636)Additions004,773Disposals0(152)0Cost end of year169,0092,60710,126Amortisation and impairment losses beginning of year(137,558)(1,276)0Amortisation for the year(13,812)(310)0Amortisation and impairment losses end of year(151,370)(1,586)0Carrying amount end of year17,6391,02110,12612 Development projectsThe Company’s development projects relate to development of new products to be used in industrial applications and control systems within the process industry, among others. Development of new products is made on the basis of an identified market need, a commercial long-term need for new technology or an identified need for production optimisation. All projects are assessed on the basis of a business case before they are initiated. Development projects are recognised in the balance sheet when it is assessed that the products derived from the project will yield a future financial benefit. The projects and their values are assessed on a continuous basis, and no indication of impairment of the carrying amount is found to exist.
11 Development projectsThe Company’s development projects relate to development of new products to be used in industrial applications and control systems within the process industry, among others. Development of new products is
made on the basis of an identified market need, a commercial long-term need for new technology or an
identified need for production optimisation. All projects are assessed on the basis of a business case before
they are initiated. Development projects are recognised in the balance sheet when it is assessed that the
products derived from the project will yield a future financial benefit. The projects and their values are assessed on a continuous basis, and no indication of impairment of the carrying amount is found to exist.
13 Property, plant and equipmentLand and buildings
DKK'000Plant and machinery
DKK'000Other fixtures and fittings, tools and equipment
DKK'000Cost beginning of year98,81978,98522,177Additions20815,7781,050Disposals0(880)(930)Cost end of year99,02793,88322,297Depreciation and impairment losses beginning of year(29,286)(59,413)(19,358)Depreciation for the year(1,714)(7,382)(1,230)Reversal regarding disposals0880951Depreciation and impairment losses end of year(31,000)(65,915)(19,637)Carrying amount end of year68,02727,9682,66012 Property, plant and equipmentLand and buildings
DKK'000Plant and machinery
DKK'000Other fixtures and fittings, tools and equipment
DKK'000Cost beginning of year95,79678,98517,386Additions20815,778724Disposals0(880)(964)Cost end of year96,00493,88317,146Depreciation and impairment losses beginning of year(27,342)(59,413)(15,381)Depreciation for the year(1,696)(7,382)(830)Reversal regarding disposals0880951Depreciation and impairment losses end of year(29,038)(65,915)(15,260)Carrying amount end of year66,96627,9681,88614 Financial assetsDeposits
DKK'000Cost beginning of year584Disposals(4)Cost end of year580Carrying amount end of year58013 Financial assetsInvestments in group enterprises
DKK'000Cost beginning of year57,141Cost end of year57,141Impairment losses beginning of year(24,062)Exchange rate adjustments(949)Share of profit/loss for the year4,492Dividend(270)Investments with negative equity value depreciated over receivables (114)Impairment losses end of year(20,903)Carrying amount end of year36,238Fixed asset investment other than investment in group enterprises consist primarily of deposits on leases (other receivables)15 PrepaymentsPrepayments cover substantially prepaid insurance, licenses, lease payments, etc.14 PrepaymentsPrepayments cover substantially prepaid insurance, licenses, lease payments etc.16 Deferred tax
Changes during the year2022/23
DKK'0002021/22
DKK'000Beginning of year16,41318,120Recognised in the income statement(1,917)(1,707)End of year14,49616,41316 Deferred tax<br />15 Deferred tax
Changes during the year2022/23
DKK'0002021/22
DKK'000Beginning of year16,41318,120Recognised in the income statement(1,917)(1,707)End of year14,49616,413<br />15 Deferred tax17 Non-current liabilities other than provisionsDue within 12
months
2022/23
DKK'000Due within 12
months
2021/22
DKK'000Due after
more than 12
months
2022/23
DKK'000Outstanding
after 5 years
2022/23
DKK'000Mortgage debt1,7451,7449,0502,6121,7451,7449,0502,61216 Non-current liabilities other than provisionsDue within 12
months
2022/23
DKK'000Due within 12
months
2021/22
DKK'000Due after
more than 12
months
2022/23
DKK'000Outstanding
after 5 years
2022/23
DKK'000Mortgage debt1,7451,7449,0492,6121,7451,7449,0492,61218 Other payables2022/23
DKK'0002021/22
DKK'000VAT and duties11,2068,479Wages and salaries, personal income taxes, social security costs, etc. payable13,26014,046Other costs payable4,3303,70128,79626,22619 Deferred incomeDeferred income cover prepaid rental.17 Other payables2022/23
DKK'0002021/22
DKK'000VAT and duties6,0604,191Wages and salaries, personal income taxes, social security costs, etc. payable8,2278,479Other costs payable1,6272,03815,91414,70818 Deferred incomeDeferred income cover prepaid rental.20 Changes in working capital2022/23
DKK'0002021/22
DKK'000Increase/decrease in inventories(17,898)(63,053)Increase/decrease in receivables(19,956)3,654Increase/decrease in trade payables etc.7512,981Other changes1,938(10,748)(35,841)(57,166)21 Unrecognised rental and lease commitmentsThe Group has entered into a number of operating leases. The leases have an average remaining term of
30 months and a total residual lease payment of DKK 8.775k (2021/22:DKK 8.819k).19 Unrecognised rental and lease commitmentsThe company have entered into a number of operating leases. The leases have an average remaining term of 18 months and a total residual lease payment of DKK 2,736k (2021/22: DKK 1.478k). 22 SubsidiariesRegistered inCorporate
formOwnership
%PR electronics SarlFranceSarl100PR electronics ABSwedenAB100PR electronics SrlItalySrl100PR electronics GmbHGermanyGmbH100PR electronics S.L.SpainS.L.100PR electronics Inc.USAInc.100PR electronics LtdChinaLtd.100PR electronics UKScotlandLtd.100PR electronics Lyon SciFranceSci10011626900010350600044920003637000362380003307900048522000353920002165700028707000-70500007050000020 Contingent liabilitiesThe Entity serves as the administration company in a Danish joint
taxation arrangement. According to the joint
taxation provisions of the Danish Corporation Tax Act, the Entity
is therefore liable for income taxes etc. for the
jointly taxed entities, and also for obligations, if any, relating to
the withholding of tax on interest, royalties and
dividends for these entities.
21 Related parties with controlling interestRasmussen Holding AG, Chamerstrasse 172, 6301 Zug, Switzerland (principal shareholder)
PR Invest, Rønde ApS, Lerbakken 10, 8410 RøndeThis annual report has been presented in accordance with the provisions of the Danish Financial Statements Act
governing reporting class C enterprises (large).The accounting policies applied to these consolidated financial statements and parent financial statements are consistent with those applied last year, but with a few reclassifications
in the presentation of the annual report in the comparative figures.falseRecognition and measurementAssets are recognised in the balance sheet when it is probable as a result of a prior event that future economic
benefits will flow to the Entity, and the value of the asset can be measured reliably.
Liabilities are recognised in the balance sheet when the Entity has a legal or constructive obligation as a
result of a prior event, and it is probable that future economic benefits will flow out of the Entity, and the
value of the liability can be measured reliably.
On initial recognition, assets and liabilities are measured at cost. Measurement subsequent to initial
recognition is effected as described below for each financial statement item.
Anticipated risks and losses that arise before the time of presentation of the annual report and that confirm
or invalidate affairs and conditions existing at the balance sheet date are considered at recognition and
measurement.
Income is recognised in the income statement when earned, whereas costs are recognised by the amounts
attributable to this financial year. <br />Consolidated financial statementsThe consolidated financial statements comprise the Parent and the group enterprises (subsidiaries) that are controlled by the Parent. Control is achieved by the Parent, either directly or indirectly, holding more than 50% of the voting rights or in any other way possibly or actually exercising controlling influence. Enterprises in which the Group, directly or indirectly, holds between 20% and 50% of the voting rights and exercises significant, but not controlling influence, are regarded as associates.<br />Basis of consolidationThe consolidated financial statements are prepared on the basis of the financial statements of the Parent and its subsidiaries. The consolidated financial statements are prepared by combining uniform items. On consolidation, intra-group income and expenses, intra-group accounts and dividends as well as profits and losses on transactions between the consolidated enterprises are eliminated. The financial statements used for consolidation have been prepared applying the Group’s accounting policies.
Subsidiaries’ financial statement items are recognised in full in the consolidated financial statements. Minority interests’ pro rata shares of the profit/loss and the net assets are disclosed as separate items in Management's proposal for the distribution of net profit/loss and equity, respectively.
Investments in subsidiaries are offset at the pro rata share of such subsidiaries’ net assets at the takeover date, with net assets having been calculated at fair value.Foreign currency translationOn initial recognition, foreign currency transactions are translated applying the exchange rate at the
transaction
date. Receivables, payables and other monetary items denominated in foreign currencies that
have not been
settled at the balance sheet date are translated using the exchange rate at the balance
sheet date. Exchange
differences that arise between the rate at the transaction date and the rate in effect
at the payment date, or the
rate at the balance sheet date, are recognised in the income statement as
financial income or financial expenses.
Property, plant and equipment, intangible assets, inventories and
other non-monetary assets that have been
purchased in foreign currencies are translated using historical
rates.
When recognising foreign subsidiaries and associates that are independent entities, the income statements
are translated at average exchange rates for the months that do not significantly deviate from the rates at
the
transaction date. Balance sheet items are translated using the exchange rates at the balance sheet date. Goodwill is considered belonging to the independent foreign entity and is translated using the exchange
rate at the
balance sheet date. Exchange differences arising out of the translation of foreign subsidiaries’
equity at the
beginning of the year at the balance sheet date exchange rates and out of the translation of income statements
from average rates to the exchange rates at the balance sheet date are recognised directly in translation reserve in equity.
Exchange adjustments of outstanding accounts with independent foreign subsidiaries, which are considered
part of the total investment in the subsidiary in question, are recognised directly in translation reserve in equity.When recognising foreign subsidiaries that are integral entities, monetary assets and liabilities are
translated
using the exchange rates at the balance sheet date. Non-monetary assets and liabilities are
translated at the
exchange rate at the time of acquisition or the time of any subsequent revaluation or writedown.
The items of the
income statement are translated at the average rates of the months; however, items
deriving from non-monetary
assets and liabilities are translated using the historical rates applicable to the
relevant non-monetary items.Derivative financial instrumentsOn initial recognition in the balance sheet, derivative financial instruments are measured at cost and
subsequently at fair value, which has been calculated as the discounted value of expected future net cash flows by using an approximate risk-free interest rate adjusted for any factors that a potential market participant would attribute value to when acquiring the instrument. Derivative financial instruments are recognised under other receivables or other payables.
Changes in the fair value of derivative financial instruments classified as and complying with the
requirements
for hedging the fair value of a recognised asset or a recognised liability are recorded in the
income statement
together with changes in the value of the hedged asset or the hedged liability.
Changes in the fair value of derivative financial instruments classified as and complying with the
requirements
for hedging future transactions are recognised directly in reserve for fair value adjustments of hedging instruments in equity. When the hedged transactions
are realised, the accumulated changes are recognised as part of cost of the relevant financial statement
items.
For derivative financial instruments that do not comply with the requirements for being treated as hedging
instruments, changes in fair value are recognised currently in the income statement as financial income or
financial expenses.RevenueRevenue from the sale of manufactured goods and goods for resale is recognised in the income statement
when delivery is made and risk has passed to the buyer. Revenue is recognised net of VAT, duties and
sales
discounts and is measured at fair value of the consideration fixed.Own work capitalisedOwn work capitalised comprises staff costs and other costs incurred in the financial year and recognised in
cost for proprietary intangible assets.Other operating incomeOther operating income comprises income of a secondary nature as viewed in relation to the Entity’s primary
activities.Cost of salesCost of sales comprises goods consumed in the financial year measured at cost, adjusted for ordinary
inventory
writedowns.Costs of raw materials and consumablesCosts of raw materials and consumables comprise the consumption of raw materials and consumables for
the
financial year after adjustment for changes in inventories of these goods from the beginning to the end
of the
year. This item includes shrinkage, if any, and ordinary writedowns of the relevant inventories.Other external expensesOther external expenses include expenses of distribution, sales, advertising, administration, premises, bad debts, etc.
Other external expenses also include development costs settled (including license) for the use of the right to market products.Staff costsStaff costs comprise wages and salaries, and social security contributions, pension contributions, etc
. for entity
staff.Depreciation, amortisation and impairment lossesDepreciation, amortisation and impairment losses relating to property, plant and equipment and intangible
assets comprise depreciation, amortisation and impairment losses for the financial year, and gains and
losses from the sale of intangible assets and property, plant and equipment.Income from investments in group enterprisesIncome from investments in group enterprises comprises the pro rata share of the individual enterprises’ profit/loss after full elimination of intra-group profits or losses.
Other financial incomeOther financial income comprises dividends etc. received on other investments, interest income, including
interest income on receivables from group enterprises, net capital or exchange gains on securities, payables
and transactions in foreign currencies, amortisation of financial assets, and tax relief under the Danish
Tax Prepayment Scheme etc.Other financial expensesOther financial expenses comprise interest expenses, including interest expenses on payables to group
enterprises, net capital or exchange losses on securities, payables and transactions in foreign currencies,
amortisation of financial liabilities, and tax surcharge under the Danish Tax Prepayment Scheme etc.Tax on profit/loss for the yearTax for the year, which consists of current tax for the year and changes in deferred tax, is recognised in the
income statement by the portion attributable to the profit for the year and recognised directly in equity by
the
portion attributable to entries directly in equity.
The current tax payable or receivable is recognised in the balance sheet, stated as tax calculated on this year's taxable income, adjusted for prepaid taxes.
Deferred tax is recognised and measured according to the balance-sheet liability method on all temporary differences between the carrying amount and tax-based value of assets and liabilities, for which the tax-based value of assets is calculated based on the planned use of each asset.
Deferred tax assets, including the tax base of tax loss carryforwards, are recognised in the balance sheet at their estimated realisable value, either as a set-off against deferred tax liabilities or as net tax assets.
The current Danish income tax is allocated among the jointly taxed companies proportionally to their taxable income (full allocation with refund concerning tax losses).The Parent is jointly taxed with all of its Danish group enterprises and other Danish consolidated companies. The current Danish income tax is allocated among the jointly taxed companies proportionally to their taxable income (full allocation with a refund concerning tax losses).Intellectual property rights etc.Intellectual property rights etc. comprise development projects completed and in progress with related
intellectual property rights, acquired intellectual property rights and prepayments for intangible assets.Development projects on clearly defined and identifiable products and processes, for which the technical rate
of 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 intangible assets. Other development costs are recognised as costs in the income
statement as incurred. When recognising development projects as intangible assets, an amount equalling
the costs incurred less deferred tax is taken to equity under reserve for development costs that is reduced
as the development projects are amortised and written down.
The cost of development projects comprises costs such as salaries and amortisation that are directly and
indirectly attributable to the development projects.
Completed development projects are amortised on a straight-line basis using their estimated useful lives
which are determined based on a specific assessment of each development project. If the useful life cannot
be estimated reliably, it is fixed at 10 years. For development projects protected by intellectual property
rights,
the maximum period of amortisation is the remaining duration of the relevant rights. The amortisation
periods
used are 5 years. Intellectual property rights acquired are measured at cost less accumulated amortisation. Patents are
amortised
on a straight-line basis over their remaining duration, and licences are amortised on a straight-line basis over the term of the agreement.
Intellectual property rights etc. are written down to the lower of recoverable amount and carrying amount.Property, plant and equipmentLand and buildings, plant and machinery, and other fixtures and fittings, tools and equipment are
measured at
cost less accumulated depreciation and impairment losses. Land is not depreciated.
Cost comprises the acquisition price, costs directly attributable to the acquisition and preparation costs of
the
asset until the time when it is ready to be put into operation. For assets held under
finance
leases, cost is the lower of the asset’s fair value and present value of future lease payments.
The basis of depreciation is cost less estimated residual value after the end of useful life. Straight-line
depreciation is made on the basis of the following estimated useful lives of the assets:Useful lifeBuildings50 yearsPlant and machinery5-10 yearsOther fixtures and fittings, tools and equipment3-5 years
Estimated useful lives and residual values are reassessed annually.
Items of property, plant and equipment are written down to the lower of recoverable amount and carrying
amount.Investments in group enterprisesInvestments in group enterprises are recognised and measured in the parent financial statements according to the equity
method.
This means that investments are measured at the pro rata share of the enterprises’ equity value plus or minus unrealised intra-group profits or losses.
Group enterprises with negative equity value are measured at DKK 0. Any receivables from these enterprises
are written down to net realisable value based on a specific assessment. If the Parent has a legal
or constructive
obligation to cover the liabilities of the relevant enterprise, and it is probable that such
obligation will involve a
loss, a provision is recognised that is measured at present value of the costs
necessary to settle the obligations at
the balance sheet date.
Upon distribution of profit or loss, net revaluation of investments in group enterprises is transferred to
reserve
for net revaluation according to the equity method in equity.
Investments in group enterprises are written down to the lower of recoverable amount and carrying amount.
InventoriesInventories are measured at the lower of cost using the FIFO method and net realisable value.
Cost consists of purchase price plus delivery costs.
Indirect production costs comprise indirect materials and labour costs, costs of maintenance of, depreciation
on and impairment losses relating to machinery, factory buildings and equipment used in the manufacturing
process, and costs of factory administration and management. Finance costs are not included in cost.
The net realisable value of inventories is calculated as the estimated selling price less completion costs and
costs incurred to execute sale.ReceivablesReceivables are measured at amortised cost, usually equalling nominal value, less writedowns for bad and
doubtful debts.PrepaymentsPrepayments comprise incurred costs relating to subsequent financial years. Prepayments are measured at
cost.Other investments (current assets)Other current asset investments comprise listed securities measured at fair value (market price) at the
balance sheet date.CashCash comprises cash in hand and bank deposits.DividendDividend is recognised as a liability at the time of adoption at the general meeting. Proposed dividend for
the financial year is disclosed as a separate item in equity. Deferred taxDeferred tax is recognised on all temporary differences between the carrying amount and the tax-based
value of
assets and liabilities, for which the tax-based value is calculated based on the planned use of each asset.
Deferred tax assets, including the tax base of tax loss carryforwards, are recognised in the balance sheet at
their estimated realisable value, either as a set-off against deferred tax liabilities or as net tax assets.
Deferred tax relating to retaxation of previously deducted losses in foreign subsidiaries is recognised on the
basis of an actual assessment of the purpose of each subsidiary.Mortgage debtAt the time of borrowing, mortgage debt to mortgage credit institutions is measured at cost which corresponds
to the proceeds received less transaction costs incurred. Mortgage debt is subsequently measured at
amortised
cost. This means that the difference between the proceeds at the time of borrowing and the nominal
repayable
amount of the loan is recognised in the income statement as a financial expense over the term
of the loan
applying the effective interest method.<br />Other financial liabilitiesOther financial liabilities are measured at amortised cost, which usually corresponds to nominal value.Prepayments received from customersPrepayments received from customers comprise amounts received from customers prior to delivery of the
goods agreed or completion of the service agreed.Tax payable or receivable Current tax payable or receivable is recognised in the balance sheet, stated as tax computed on this year's
taxable income, adjusted for prepaid tax.Deferred incomeDeferred income comprises income received for recognition in subsequent financial years. Deferred income
is measured at cost.Cash flow statementThe cash flow statement shows cash flows from operating, investing and financing activities, and cash
and cash equivalents at the beginning and the end of the financial year.
Cash flows from operating activities are presented using the indirect method and calculated as the operating
profit/loss adjusted for non-cash operating items, working capital changes, and financial income, financial expenses and income tax paid.
Cash flows from investing activities comprise payments in connection with acquisition and divestment of
enterprises, activities and fixed asset investments, and purchase, development, improvement and sale,
etc. of intangible assets and property, plant and equipment.
Cash flows from financing activities comprise changes in the size or composition of the contributed capital
and related costs as well as the raising of loans, instalments on interest-bearing debt and payment of dividends.
Cash and cash equivalents comprise cash less short-term bank debt.
The cash flow statement shows cash flows from operating, investing and financing activities, and cash
and cash equivalents at the beginning and the end of the financial year.
Cash flows from operating activities are presented using the indirect method and calculated as the operating
profit/loss adjusted for non-cash operating items, working capital changes, and financial income, financial expenses and income tax paid.
Cash flows from investing activities comprise payments in connection with acquisition and divestment of
enterprises, activities and fixed asset investments, and purchase, development, improvement and sale,
etc. of intangible assets and property, plant and equipment.
Cash flows from financing activities comprise changes in the size or composition of the contributed capital
and related costs as well as the raising of loans, instalments on interest-bearing debt and payment of dividends.
Cash and cash equivalents comprise cash less short-term bank debt.
2023-10-31George Benjamin Mitchel