27702279 2025-01-01 2025-12-31 c:RevaluationReserveMember 27702279 2025-01-01 2025-12-31 27702279 2025-01-01 2025-12-31 1 27702279 2025-01-01 2025-12-31 1 27702279 2025-01-01 2025-12-31 2 27702279 2025-01-01 2025-12-31 3 27702279 2025-01-01 2025-12-31 4 27702279 2025-01-01 2025-12-31 5 27702279 2025-01-01 2025-12-31 6 27702279 2025-01-01 2025-12-31 1 27702279 2023-01-01 2023-12-31 27702279 2022-01-01 2022-12-31 27702279 2021-01-01 2021-12-31 27702279 2023-12-31 27702279 2022-12-31 27702279 2021-12-31 27702279 2024-01-01 2024-12-31 27702279 2025-12-31 27702279 2024-12-31 27702279 2025-01-01 c:ContributedCapitalMember 27702279 2025-01-01 c:RevaluationReserveMember 27702279 2025-01-01 c:RetainedEarningsMember 27702279 2025-01-01 c:ProposedDividendRecognisedInEquityMember 27702279 2025-01-01 2025-12-31 c:ProposedExtraordinaryDividendRecognisedInEquityMember 27702279 2025-01-01 2025-12-31 c:RetainedEarningsMember 27702279 2025-01-01 2025-12-31 c:ProposedDividendRecognisedInEquityMember 27702279 2025-12-31 c:ContributedCapitalMember 27702279 2025-12-31 c:RevaluationReserveMember 27702279 2025-12-31 c:RetainedEarningsMember 27702279 2025-12-31 c:ProposedDividendRecognisedInEquityMember 27702279 2025-01-01 c:AcquiredIntangibleAssetsMember 27702279 2025-12-31 c:AcquiredIntangibleAssetsMember 27702279 2025-01-01 2025-12-31 c:AcquiredIntangibleAssetsMember 27702279 2025-01-01 c:LandAndBuildingsMember 27702279 2025-01-01 c:PlantAndMachineryMember 27702279 2025-01-01 2025-12-31 c:LandAndBuildingsMember 27702279 2025-01-01 2025-12-31 c:PlantAndMachineryMember 27702279 2025-12-31 c:LandAndBuildingsMember 27702279 2025-12-31 c:PlantAndMachineryMember 27702279 2025-01-01 2025-12-31 c:PlantAndMachineryMember 27702279 2025-01-01 c:FixturesFittingsToolsAndEquipmentMember 27702279 2025-01-01 c:PropertyPlantAndEquipmentInProgressAndPrepaymentsForPropertyPlantAndEquipmentMember 27702279 2025-01-01 2025-12-31 c:FixturesFittingsToolsAndEquipmentMember 27702279 2025-01-01 2025-12-31 c:PropertyPlantAndEquipmentInProgressAndPrepaymentsForPropertyPlantAndEquipmentMember 27702279 2025-12-31 c:FixturesFittingsToolsAndEquipmentMember 27702279 2025-12-31 c:PropertyPlantAndEquipmentInProgressAndPrepaymentsForPropertyPlantAndEquipmentMember iso4217:DKK xbrli:pure 0 BDO Statsautoriseret Revisionspartnerselskab Dokken 8 DK-6700 Esbjerg 45719375 Årsrapport 2026-04-16 Jesper Palm Westermann BISCA A/S Ahornvej 1 4780 Stege Den uafhængige revisors erklæring 27702279 2004-04-21 Vordingborg 2025-01-01 2025-12-31 2024-01-01 2024-12-31 BDO Statsautoriseret Revisionspartnerselskab Dokken 8 6700 Esbjerg Today the Board of Directors and Executive Board have discussed and approved the Annual Report of BISCA A/S for the fi­nan­ci­al year 1 January  - 31 December 2025. 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 December 2025 and of the results of the Company's operations for the fi­nan­ci­al year 1 January  - 31 December 2025. 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. Stege 2026-04-16 Kristian Walsøe Claus Juel Jensen Chairman Gitte Heimann Larsen Heidi Figgé Kristian la Cour Søren Fournaise Eriksen Thomas Marstrand Vice-chairman To the Shareholder of BISCA A/S Konklusion We ha­ve au­di­ted the Fi­nan­ci­al Sta­te­ments of BISCA A/S for the fi­nan­ci­al year 1 January - 31 December 2025, 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 December 2025 and of the results of the Com­pa­ny's operations for the fi­nan­ci­al year 1 January - 31 December 2025 in accordance with the Da­nish Fi­nan­ci­al State­ments Act.   Basis for OpinionGrundlag 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.   Grundlag for konklusion 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.   Plan and perform the audit of the Fi­nan­ci­al Sta­te­ments to obtain sufficient appropriate audit evidence regarding the consolidated financial information of the entities or business units as a basis for forming an opinion on the Fi­nan­ci­al Sta­te­ments. We are responsible for the direction, supervision and review of the audit work performed. We remain solely responsible for our audit opinion.   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.   Esbjerg 2026-04-16 BDO Statsautoriseret Revisionspartnerselskab 45719375 Jørn Jepsen Den uafhængige revisors erklæring State Authorised Public Accountant mne24824 438765000 389505000 361978000 -3058000 -20696000 -16085000 -5370000 13309000 30556000 4880000 3587000 15650000 393348000 415985000 394081000 291687000 286807000 283220000 -22978000 -17624000 -23180000 -10732000 -10944000 2.0 0.8 -0.7 -5.3 -4.4 47.9 44.3 74.2 68.9 71.9 3.1 82.5 1.7 1.3 5.7 The ratios stated in the list of key figures and ratios have been calculated as follows:   Operating margin: Operating profit/loss x 100           Net revenue Equity ratio:  Equity, at year-end x 100 Total assets, at year-end Return on equity: Profit/loss after tax x 100        Average equity Principal activities Bisca A/S is one of the market leaders in the Nordic countries as a manufacturer and provider of biscuits, cakes, and cookies. Bisca A/S’ products are sold both in the Nordic market and in several export markets. Bisca A/S’ operations and organisation are based in Denmark. Export to markets outside Denmark is carried out through distributors or sold directly to retail chains.   Development in activities and financial and economic position The income statement for 2025 shows a profit of TDKK 3,499 compared to a profit of TDKK 167,665 last year. Last year Bisca sold its ownership in associated companies, which led to a capital gain of TDKK 167.069. The balance sheet on 31 December 2025 shows an equity of TDKK 112,706. The operating profit for the year has increased by TDKK 4.807 compared to 2024. Gaining of market shares on the domestic market has lead to a 4,4% turnover growth in Denmark and a wider distribution of core assortment products has contributed to a 7,5% turnover growth in the other Nordic countries. Export to countries outside the Nordic region has declined 25,5%. This is in particular driven by a significant drop in sales to the American market, which has been influenced by imposed tariffs and general uncertainties about the trading regime. Due to the drop in the American market, total turnover has declined 2,7% compared to 2024. The company’s input-cost continued in 2025 to be relatively high. Cacao and butter as examples have been trading at very high levels during the year. Almost all of our products are produced in Denmark, and the Danish collective labour agreements also impose relatively high input costs compared to companies producing in other countries. Investments in 2024 and 2025 in our production facilities together with continued focus on realising operational efficiency gains have led to improvement in the company’s operating profit margin.  Management is satisfied with the improved operating profit, taking the current market conditions, including the conditions on the American market, into consideration.   Profit/loss for the year compared to the expected development The operating profit for 2025 ended up very close to the expected and planned level at the beginning of the year.   Significant events after the end of the financial year No significant events have taken place after the balance sheet date, which material affect the assessment of the financial position of the company.    Financial risk Currency risks primarily relate to transactions in NOK, SEK & USD. The company uses currency contracts to hedge income in USD. A currency contract is only entered when an order has been placed, which typically happens several months before delivery and payment is received. No transactions in currencies, interest rates or other financial instruments are made for speculative purposes. The company does not have any open currency contracts at the end of 2025. Significant risks particularly relate to uncertainties regarding the development in energy, raw material, and packaging prices. These risks are in part mitigated by entering into price agreements with suppliers for up to 12 months.   Research and development activities Bisca is the market leader in Denmark, a position that the Company spends both time and resources maintaining and developing. The company constantly works on optimizing and improving recipes, so our products always meet the demands of consumer and customers in respect of taste, design, composition, and quality.   Future expectations Management expects further improvements in the company’s operating profit similar to 2025 and in the range of TDKK 0 - 6,000. Focus on increased sales in the near markets together with further realisation of operational efficiency gains shall drive the expected improvement. Total turnover is expected to increase in the range of 1% - 5%. However, the current geo-political environment is still a source for high uncertainty regarding the company’s input and export costs, which may impact the company’s financial performance.   Corporate social responsibility (CSR) report In accordance with the Danish Financial Statements Act, section 99a (5), the statutory statement on the corporate social responsibility statement can be found on the Company’s website: https://bisca.dk/ansvar/   Employee matters Maintenance and improvement of the employees´ skills and qualifications and the ability to attract and retain employees are elements of Bisca´s strategy. We choose to work with guidelines that are based on the employee´s personal and professional qualifications regardless of religion, ethnic origin, gender, or other conditions. Efforts are made to promote employees´ competencies at all organisational levels and to create a work environment with mutual respect. Employee surveys are carried out on a continuous basis and outcome from the surveys are incorporated in Bisca´s organisational development plan.   Impact on the external environment Biscuit and cake production cannot be carried out without a certain environmental impact. The most important areas that affect the environment are:    • Energy use in production.    • Production of organic products and use of organic raw materials.    • Environmental and climate impact from packaging materials (use of FSC certified cardboard). It is Bisca´s objective to reduce the environmental and climate impact of our production to the extent possible. Some of the key activities are:    • Ongoing follow-up on energy use and implementation of energy saving measures.    • Use of packaging solutions that reduce the environmental impact as much as possible.    • To reduce the use of palm oil, which in al circumstances must be RSPO certified.    • Waste reduction in production. In addition, Bisca’s operations do not adversely affect the environment, neither by soil contamination nor by the release of polluting waste.   Report of data ethics The management of Bisca is responsible for the data ethics policy and its implementation. All Bisca employees are instructed to respect the privacy of all individuals and the confidentiality of personal data and to handle personal data honestly, ethically, with integrity and in compliance with applicable laws, rules, and regulations. Bisca shares information with customers and suppliers. Bisca has a policy to enter into data exchange agreements before exchanging data based on international data exchange standards. Bisca uses cookies on its website. More information on the cookie policy and collection of data on our website can be found at https://bisca.dk/ansvar/. All personal and business-related data are not shared with any external parties unless a prior explicit agreement giving permission to share data has been obtained.   417005000 428581000 317444000 327308000 99561000 101273000 60739000 63669000 30458000 34047000 8364000 3557000 0 167069000 33000 2166000 3888000 5616000 4509000 167176000 1010000 -489000 3499000 167665000 4096000 4779000 4096000 4779000 61673000 55537000 69138000 60957000 9000 224000 2620000 10154000 133440000 126872000 137536000 131651000 26598000 20269000 16123000 17499000 42721000 37768000 47551000 58997000 1561000 8366000 1606000 2855000 1425000 3641000 52143000 73859000 2886000 15494000 97750000 127121000 235286000 258772000 46160000 46160000 5927000 6223000 60619000 62324000 112706000 114707000 11785000 10775000 11785000 10775000 4558000 5964000 14185000 15734000 33908000 41977000 1304000 1245000 45015000 47953000 191000 3324000 0 819000 96610000 117556000 110795000 133290000 235286000 258772000 DKK '000Sha­re ca­pi­talReserve for revaluationRetained earningsProposed dividendTotal Equity at 1 January 202546,1606,22362,3240114,707 -5,500 Proposed profit allocation, see note 9 -2,0015,5003,499 Transactions with ownersExtraordinary dividend paid -5,500-5,500 Other legal bindingsRevaluations in the year -296296 0 Equity at 31 December 202546,1605,92760,6190112,706 46160000 6223000 62324000 0 -5500000 -2001000 -5500000 -296000 296000 46160000 5927000 60619000 0 1 | Derivative financial instruments Currency hedging In prior year, Bisca A/S has entered into foreign exchange contracts with a negative fair value of DKK 87 thousand. As of 31 December 2025, Bisca has no outstanding foreign exchange contracts.  During 2025, Bisca had foreign exchange contracts in place to hedge the exchange rate risk of sales and purchases in USD. The total nominal amount of contracts existing during the year amounted to USD 2,790 thousand (DKK 19,486 thousand). The contracts had maturities of 8–12 months and expired during 2025. 20252024 DKK '000DKK '000 2 | Net revenue Segment details (geography) Goods for the Danish market291,914279,731 Goods for other Nordic markets46,13142,907 Goods for the rest of the world78,960105,943 417,005428,581 Segment details (activities) Cakes and cake-related products417,005428,581 417,005428,581 20252024 DKK '000DKK '000 3 | Staff costs Ave­ra­ge num­ber of full ti­me em­ploy­ees224231 Wages and salaries 113,176113,134 Pensions 11,17611,028 Social security costs 2,5733,125 126,925127,287 Remuneration of Management and Board of Directors 3,060 3,060 Management remuneration is not disclosed in the comparative figures in accordance with Section 98b of the Danish Financial Statements Act prior year. 224 231 113176000 113134000 11176000 11028000 2573000 3125000 126925000 127287000 3060000 4 | Fee to statutory auditor Audit fees er not disclosed with reference to § 96 section 3 of the Danish Financial Statement Act.  5 | Special items 20252024 DKK '000DKK '000 Profit from sale of associates0167,069 0167,069 20252024 DKK '000DKK '000 6 | Other financial income Interest revenue from group enterprises 01,437 Other interest income 33729 332,166 0 1437000 33000 729000 33000 2166000 20252024 DKK '000DKK '000 7 | Other financial expenses Interest expenses to group enterprises 43239 Other interest expenses 3,8455,377 3,8885,616 43000 239000 3845000 5377000 3888000 5616000 0 -2038000 1010000 1549000 20252024 DKK '000DKK '000 9 | Proposed distribution of profit Extraordinary dividend 5,500344,644 Retained earnings -2,001-176,979 3,499167,665 5500000 344644000 -2001000 -176979000 3499000 167665000 10 | Intangible assets DKK '000Acquired concessions, patents, licences, trademarks and similar rights Cost at 1 January 2025 4,913Cost at 31 December 2025 4,913  Amortisation at 1 January 2025 134Amortisation for the year 683Amortisation at 31 December 2025 817 Carrying amount at 31 December 20254,096 DKK '000Acquired concessions, patents, licences, trademarks and similar rights Cost at 1 January 2025 4,913Cost at 31 December 2025 4,913  Amortisation at 1 January 2025 134Amortisation for the year 683Amortisation at 31 December 2025 817 Carrying amount at 31 December 20254,096 4913000 4913000 134000 683000 817000 4096000 11 | Property, plant and equipment DKK '000Land and buildingsProduction plant and machinery Cost at 1 January 2025 109,431345,421 Transferred 9,1511,801 Additions 019,560 Cost at 31 December 2025 118,582366,782   Revaluation at 1 January 2025 15,1980 Revaluation at 31 December 2025 15,1980 Depreciation and impairment losses at 1 January 2025 69,092284,464 Depreciation for the year 3,01513,180 Depreciation and impairment losses at 31 December 2025 72,107297,644 Carrying amount at 31 December 202561,67369,138 Value of recognised assets, excluding revaluation under § 41 (1) 54,075 Finance lease assets 6,631 DKK '000Other plant, fixtures and equipmentTangible fixed assets in progress and prepayments for tangible fixed assets Cost at 1 January 2025 20,10210,154 Transferred 0-10,952 Additions 03,418 Cost at 31 December 2025 20,1022,620   Depreciation and impairment losses at 1 January 2025 19,8780 Depreciation for the year 215 Depreciation and impairment losses at 31 December 2025 20,0930 Carrying amount at 31 December 202592,620 109431000 345421000 9151000 1801000 0 19560000 118582000 366782000 15198000 0 15198000 0 69092000 284464000 3015000 13180000 72107000 297644000 61673000 69138000 54075000 6631000 20102000 10154000 0 -10952000 0 3418000 20102000 2620000 19878000 0 215000 20093000 0 9000 2620000 12 | Prepayments Prepayments include prepaid expenses. 20252024 DKK '000DKK '000 13 | Sha­re ca­pi­talAllocation of Share capital: Shares (number in actual figures), 46,160,252 units in the denomination of 1 DKK 46,16046,160 46,16046,160 14 | Provision for deferred tax 20252024 DKK '000DKK '000 Deferred tax is related to Property, plant and equipment 12,77011,535 Intangible assets 141137 Inventories 761689 Liabilities -1,289-1,586 Tax loss -5980 11,78510,775 Deferred tax, beginning of year 10,7759,226 Deferred tax of the year, income statement 1,0101,549 Provision for deferred tax 31 December 202511,78510,775 8308 17 | Related parties 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. 18 | Consolidated Financial Statements Name and registered office of the Parent preparing consolidated financial statements for the largest group:  Bisca Investment A/S, Jægersborg Alle 4, 5, 2920 Charlottenlund. Name and registered office of the Parent preparing consolidated financial statements for the smallest group:  Bisca Investment A/S, Jægersborg Alle 4, 5, 2920 Charlottenlund.   The Annual Report of BISCA A/S for 2025 has been presented in accor­dance with the pro­vi­sions of the Da­nish lar­ge-si­ze Fi­nan­ci­al State­ments Act for en­ter­pri­ses in re­por­ting class C .  Regnskabsklasse C, stor virksomhed1trueThe Annual Report is prepared consistently with the accounting principles applied last year.   Regnskabsklasse C, stor virksomhed true Net revenue The Company has chosen IAS 11/IAS 18 as interpretation for revenue recognition.   Income from the sale of goods for resale and finished goods is recognized in revenue when delivery and transfer of risk to the buyer have taken place, the income may be reliably measured and is expected to be received. All discounts granted are recognized in revenue.   Production costs Production costs comprise costs incurred in generating the revenue for the year. Such costs include direct and indirect costs of raw materials, consumables and production staff, rent and leases, as well as depreciation on production plant. Production costs also comprise research and development costs that do not qualify for capitalisation and amortisation of capitalised development costs.   Distribution costs Distribution costs comprise costs related to the distribution of goods sold in the year and to sales campaigns, etc. carried out in the year, including costs related to sales staff, advertising, exhibitions and amortisation/depreciation. Sales and marketing costs are recognised in the income statement when the Company obtains control of the sales or marketing product.   Administrative expenses Administrative expenses include expenses incurred in the year for company management and administration, including expenses relating to administrative staff, Management, office premises and expenses as well as amortisation/depreciation of assets used for administrative purposes.   Income from investments in associates The Income Statement of the Parent Company recognises the proportional share of the results of as­so­cia­tes determined according to the Parent Company’s accounting policies and after full elimination of intercompany profits/losses.   Profits from sale are recognized, if the economic rights related to the sold as­so­cia­tes are transferred. However, not before the profit is realised or regarded as realisable. Moreover, realised losses besides impairments are recognised when they are demonstrated.   Financial income and expenses Financial income and expenses include interest income and expenses, financial expenses of finance leases, realised and unrealised gains and losses arising from securities, debt and transactions in foreign currencies, as well as charges and allowances under the tax-on-account scheme, etc. Financial income and expenses are recognised by the amounts that relate to the financial year. Interest income and expenses are calculated on amortised cost prices.   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 share that may be attributed to the profit for the year, and is recognised directly in equity by the share that may be attributed to entries directly to equity.   Intangible fixed assets Intagible assests are measured at the lower of cost less accumulated amortisation and the recoverable amount. Patents are amortised over the remaining patent period and licences are amortised over the period of the agreement, however, no more than 8 years.   Profit or loss from sale of intangible fixed assets is calculated at the difference between the sales price and the carrying amount at the time of the sale. Profit and loss are recognised in the Income Statement under other operating income or other operating expenses.    Property, plant and equipment Land and buildings are measured at cost including revaluation less accumulated depreciation and impairment losses. Production plant and machinery, other plant, fixtures and equipment are measured at cost less accumulated depreciation and impairment losses. Land is not depreciated.   The depreciation base is cost less estimated residual value after end of useful life.   The cost includes the acquisition price and costs incurred directly in connection with the acquisition until the time when the asset is ready to be used.    Straight-line depreciation is provided on the basis of an assessment of the expected useful lives of the assets and their residual value:   Useful lifeBuildings 15-50 yearsProduction plant and machinery  8-20 yearsOther plant, fixtures and equipment 3-7 years Profit or loss on sale of property, plant and equipment is stated as the difference between the sales price less selling costs and the carrying amount at the date of sale. Profit or loss is recognised in the Income Statement as other operating income or other operating expenses.   Lease contracts Lease contracts relating to tangible fixed assets for which the Company bears all material risks and benefits attached to the ownership (finance lease, see IAS 17) are recognised as assets in the Balance Sheet. The assets are at the initial recognition measured at the lower of cost stated at fair value and the and present value of the future lease payments. The internal interest rate of the lease contract, or alternatively the Company’s loan interest, is used as discounting factor when calculating the present value. Finance lease assets are hereafter treated as the Group’s and the Company’s other similar tangible fixed assets. The capitalised residual lease liability is recog­nised in the Balance Sheet as a liability and the interest portion of the lease payment is recog­nised in the Income Statement over the contract period.   All other lease contracts are considered to be operating leases. Payments related to operating leases and other rental agreements are recognised in the Income Statement over the contract period. The Company's total liability relating to operating leases and rental agreements is disclosed as contingencies etc.   Financial non-current assets Investments in as­so­cia­tes are measured in the Parent Company Balance Sheet under the equity method, which is regarded as a method of measuring/consolidation.   Investments in as­so­cia­tes are measured in the Balance Sheet at the proportional share of the enterprises’ carrying Equity value, calculated in accordance with the Parent Company’s accounting policies with deduction or addition of unrealised intercompany profits or losses, and with addition of remaining additional values and goodwill calculated according to the acquisition method.    Land and buildings, plants and machines, as well as other fixtures, fittings, tools and equipment are measured at cost with deduction of accumulated depreciations. Land is not depreciated. Investment properties are measured at fair value corresponding to the open market value of the property, where changes to the fair value are recognised in the Income Statement. Inventories are measured at cost according to the FIFO principle with deductions of any depreciations at a lower net realisation value. Receivables and payables are measured at amortised cost.   The difference between the acquisition cost and carrying amounts is recognised directly in equity.   Net revaluation of investments in as­so­cia­tes is transferred under equity to reserve for net revaluation under the equity value method to the extent that the carrying amount exceeds the acquisition value.   Investments in as­so­cia­tes with negative equity value are measured at DKK 0. Any receivables with these companies are written off, to the extent that the receivable is uncollectible from a specifically assessed indication of impairment. To the extent that the Parent Company has a legal or actual obligation to cover a negative balance which exceeds the receivable, the remainder is recognised under provisions for liabilities.   Impairment of fixed assets The carrying amount of in­tan­gib­le fi­xed and pro­per­ty, plant and equip­ment, are assessed annually 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 recoverable amount is lower than the carrying amount, the asset is written down to the recoverable amount.   The recoverable amount is calculated at the higher of the capital value and the sales value less expected costs of a sale. The capital value is determined as the Company's share in the current value of the net cash flows which the subsidiary is expected to generate through its activities and from sale of assets after the end of their useful lives. A discount rate is used which reflects the risk-free market rate and the owners' minimum return on interest requirements for similar assets. The growth rate in the terminal period is determined in accordance with the standards within the industry.   Inventories Inventories are measured at cost in accordance with the FIFO method. Where the net realisable value is lower than cost, inventories are written down to this lower value. The net realisable value of inventories is calculated as the sales amount less costs of completion and expenses required to effect the sale and is determined taking into account marketability, obsolescence and development in the expected selling price.   The cost of finished goods and work in progress includes the cost of raw materials, consumables, direct labour and indirect production overheads.   Indirect production overheads include the indirect cost of material and labour as well as maintenance and depreciation of production machinery, buildings and equipment and expenses relating to plant administration and management. Borrowing costs are not recognised in the sales price.   Receivables Receivables are measured at amortised cost which usually corresponds to nominal value. The value is written down to meet expected losses.   Write-off is performed to provide for losses when an objective indication has been assessed to have incurred that a receivable or a portfolio of receivables are impaired. If there is an objective indication that an individual receivable is impaired, the write-off is performed at individual level.   Receivables for which there are no objective indication of impairment at individual level are assessed at portfolio level for objective indication of impairment. The portfolios are primarily based on the debtors’ registered office and credit rating in accordance with the Company’s policy for credit risk management. The objective indicators, which are applied for portfolios, are determined based on the historical loss experiences.   Accruals, assets Accruals recognised as assets include costs incur­red relating to the subsequent financial year.   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 tax-on-account 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 carryforwards, are measured at the amount at which the asset is expected to be used within a reasonable number of years, either by setoff against tax on future earnings or by setoff 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 will 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 transaction 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 loan period.   The amortised cost of current liabilities corresponds usually to the nominal value.   Foreign currency translation Transactions in foreign currencies are translated at the rate of exchange on the transaction date. Exchange differences arising between the rate on the transaction date and the rate on the payment date are recognised in the Income Statement as a financial income or expense. Receivables, payables 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 date when the receivables or payables come into existence recognised in the Income Statement as financial income or expenses. Fixed assets acquired in foreign currencies are translated at the rate of exchange on the transaction date.   Cash Flow Statement   With reference to Section 86(4) of the Danish Financial Statements Act, the Company has not prepared a cash flow statement. A cash flow statement has been prepared for the Group.   With reference to Section 86(4) of the Danish Financial Statements Act, the Company has not prepared a cash flow statement. A cash flow statement has been prepared for the Group.