36718463 2024-01-01 2024-12-31 cmn:ConsolidatedMember 36718463 2024-01-01 2024-12-31 cmn:ConsolidatedMember 1 36718463 2024-01-01 2024-12-31 cmn:ConsolidatedMember 4 36718463 2024-01-01 2024-12-31 cmn:ConsolidatedMember 5 36718463 2024-01-01 2024-12-31 cmn:ConsolidatedMember 2 36718463 2024-01-01 2024-12-31 cmn:ConsolidatedMember 3 36718463 2024-01-01 2024-12-31 cmn:ConsolidatedMember 2 36718463 2024-01-01 2024-12-31 cmn:ConsolidatedMember 3 36718463 2024-01-01 2024-12-31 cmn:ConsolidatedMember 1 36718463 2024-01-01 2024-12-31 cmn:ConsolidatedMember 1 36718463 2024-01-01 2024-12-31 cmn:ConsolidatedMember 2 36718463 2023-01-01 2023-12-31 cmn:ConsolidatedMember 36718463 2024-01-01 2024-12-31 36718463 2023-01-01 2023-12-31 36718463 2024-12-31 cmn:ConsolidatedMember 36718463 2023-12-31 cmn:ConsolidatedMember 36718463 2024-12-31 36718463 2023-12-31 36718463 2023-12-31 cmn:ConsolidatedMember fsa:ContributedCapitalMember 36718463 2023-12-31 cmn:ConsolidatedMember fsa:ReserveForCurrentValueOfHedgingMember 36718463 2023-12-31 cmn:ConsolidatedMember fsa:ReserveForCurrentValueAdjustmentsOfCurrencyGainsMember 36718463 2023-12-31 cmn:ConsolidatedMember fsa:RetainedEarningsMember 36718463 2023-12-31 cmn:ConsolidatedMember fsa:EquityAttributableToParentMember 36718463 2023-12-31 cmn:ConsolidatedMember fsa:MinorityInterestsMember 36718463 2024-01-01 2024-12-31 cmn:ConsolidatedMember fsa:ContributedCapitalMember 36718463 2024-01-01 2024-12-31 cmn:ConsolidatedMember fsa:ReserveForCurrentValueOfHedgingMember 36718463 2024-01-01 2024-12-31 cmn:ConsolidatedMember fsa:ReserveForCurrentValueAdjustmentsOfCurrencyGainsMember 36718463 2024-01-01 2024-12-31 cmn:ConsolidatedMember fsa:RetainedEarningsMember 36718463 2024-01-01 2024-12-31 cmn:ConsolidatedMember fsa:EquityAttributableToParentMember 36718463 2024-01-01 2024-12-31 cmn:ConsolidatedMember fsa:MinorityInterestsMember 36718463 2024-12-31 cmn:ConsolidatedMember fsa:ContributedCapitalMember 36718463 2024-12-31 cmn:ConsolidatedMember fsa:ReserveForCurrentValueOfHedgingMember 36718463 2024-12-31 cmn:ConsolidatedMember fsa:ReserveForCurrentValueAdjustmentsOfCurrencyGainsMember 36718463 2024-12-31 cmn:ConsolidatedMember fsa:RetainedEarningsMember 36718463 2024-12-31 cmn:ConsolidatedMember fsa:EquityAttributableToParentMember 36718463 2024-12-31 cmn:ConsolidatedMember fsa:MinorityInterestsMember 36718463 2023-12-31 fsa:ContributedCapitalMember 36718463 2023-12-31 fsa:ReserveForNetRevaluationAccordingToEquityMethodMember 36718463 2023-12-31 fsa:RetainedEarningsMember 36718463 2024-01-01 2024-12-31 fsa:ContributedCapitalMember 36718463 2024-01-01 2024-12-31 fsa:ReserveForNetRevaluationAccordingToEquityMethodMember 36718463 2024-01-01 2024-12-31 fsa:RetainedEarningsMember 36718463 2024-12-31 fsa:ContributedCapitalMember 36718463 2024-12-31 fsa:ReserveForNetRevaluationAccordingToEquityMethodMember 36718463 2024-12-31 fsa:RetainedEarningsMember 36718463 2022-12-31 cmn:ConsolidatedMember xbrli:pure iso4217:DKK Mads Bach Christensen Management’s Statement on the Annual ReportThe Executive and Board of directors have today considered and adopted the Annual Report of MAKEEN Energy A/S for the financial year 1 January 2024 – 31 December 2024.The Annual Report is prepared in accordance with the Danish Financial Statements Act. In our opinion, the Financial Statements and the Consolidated Financial Statements give a true and fair view of the financial position at 31 December 2024 of the Company and the Group and of the results of the Company and Group operations and consolidated cash flows for 2024.In our opinion, Management’s Review includes a true and fair account of the matters addressed in the Review.We recommend that the Annual Report be adopted at the Annual General Meeting. CEO Elected by the employees Elected by the employees Abdulaziz Sulaiman M Alhedithy Adel Abdullah I Alhamzah Mads Bach Christensen Bent Lindrup Nielsen Poul Jørgensen Abdulkareem Hamad Al-Ayuni Chairman Steen Lykkegaard Winkler Christian Fredberg Randers SV To the Shareholder of MAKEEN Energy A/S OpinionIn our opinion, the Consolidated Financial Statements and the Parent Company Financial Statements give a true and fair view of the financial position of the Group and the Parent Company at 31 December 2024, and of the results of the Group’s and the Parent Company’s operations as well as the consolidated cash flows for the financial year 1 January - 31 December 2024 in accordance with the Danish Financial Statements Act.We have audited the Consolidated Financial Statements and the Parent Company Financial Statements of MAKEEN Energy A/S for the financial year 1 January - 31 December 2024, which comprise income statement, balance sheet, statement of changes in equity and notes, including a summary of significant accounting policies, for both the Group and the Parent Company, as well as consolidated statement of cash flows ("the Financial Statements"). Basis for OpinionWe 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 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. Statement on Management’s ReviewManagement is responsible for Management’s Review.Our opinion on the Financial Statements does not cover Management’s Review, and we do not express any form of assurance conclusion thereon.In connection with our audit of the Financial Statements, our responsibility is to read Management’s Review and, in doing so, consider whether Management’s Review is materially inconsistent with the Financial Statements or our knowledge obtained during the audit, or otherwise appears to be materially misstated.Moreover, it is our responsibility to consider whether Management’s Review provides the information required under the Danish Financial Statements Act.Based on the work we have performed, in our view, Management’s Review is in accordance with the Consolidated Financial Statements and the Parent Company Financial Statements and has been prepared in accordance with the requirements of the Danish Financial Statement Act. We did not identify any material misstatement in Management’s Review. Auditor’s responsibilities for the audit of the Financial StatementsOur 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 judgement and maintain professional scepticism 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 Group’s and the Parent 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 Group’s and theParent 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 arebased 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 Parent 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 amanner that gives a true and fair view.• Plan and perform the group audit to obtain sufficient appropriate audit evidence regarding the financial information of the entities or business units within the group as a basis for forming anopinion on the Consolidated Financial Statements and the Parent Company Financial Statements. We are responsible for the direction, supervision and review of the audit work performed for purposes of the group audit. 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. Management’s responsibilities for the Financial StatementsManagement is responsible for the preparation of Consolidated Financial Statements and Parent Company 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 Group’s and the Parent 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 Group or the Parent Company or to cease operations, or has no realistic alternative but to do so. Aarhus C PricewaterhouseCoopersStatsautoriseret Revisionspartnerselskab 33771231 Claus Lindholm Jacobsen mne23328 mne30222 State Authorised Public Accountant State Authorised Public Accountant Thyge Belter 36718463 Randers DK 8000 Aarhus C Jens Chr. Skous Vej 1 MAKEEN Energy A/S Alsvej 21 DK 8940 Randers SV 10 Group OverviewMAKEEN Energy A/SDenmark100%100%House of MAKEEN Energy A/SMAKEEN Gas Equipment ApSDenmarkDenmark100%MAKEEN Energy for Maintenance100%MAKEEN ProSupply NASaudi ArabiaUSA100%MAKEEN EnviroTech a/s100%MAKEEN Gas Equipment USA Inc.DenmarkUSA100%MAKEEN Gas Solutions A/SMAKEEN Gas Equipment UK Ltd.100%DenmarkUKMAKEEN Energy Portugal S.A.60% 100%MAKEEN Gas Equipment Portugal SAPortugalPortugalMAKEEN Energy Do Brasil Servicos 100% MAKEEN Gas Equipment Denmark A/S 100%BrazilDenmarkMAKEEN Energy India (Pvt.) Ltd.100% 100%MAKEEN Gas Equipment Belgium SAIndiaBelgiumME MAKEEN Energy Site Service SRL60% 100%Flüssiggas-Anlagen GmbHRomaniaGermanyMAKEEN Energy BD Ltd.80% 100%Fas Poland Sp.z o.o.BangladeshPolandMAKEEN Energy Lanka (Pvt.) Ltd.100% 100%MAKEEN Energy France S.A.S.Sri LankaFrance34%MAKEEN Energy USA Inc.100%66%MAKEEN Energy Technology CenterUSAFranceMakeen Energy Italy Srl100% 100%MAKEEN Energy MorocItalyMoroccoSiraga East Africa Tanzania Ltd.82% 20%WeDeal S.A.S.TanzaniaFranceSiraga Do Brazil LTDA100%100%KC Asia Pacific Sdn. Bhd.BrazilMalaysia100%Sedecam S.A.20%MAKEEN Energy Malaysia sdn. Bhd.CamerounMalaysiaDK EL Holding ApS15%PT MAKEEN Energy Indonseia100%DenmarkIndonesiaFestus S.A.Nordliq A/S33%33%UruguayDenmarkFinancial HighlightsGroup2024 2023 2022 2021 2020DKK mio. DKK mio. DKK mio. DKK mio. DKK mio.Key figuresProfit/lossRevenue1.878,8 1.882,1 1.752,7 1.447,2 1.262,4Gross profit/loss195,4 295,6 251,6 233,0 286,5EBITDA-74,7 96,6 74,0 26,6 92,3EBITA-139,6 55,8 -36,4 5,4 78,5Profit/loss before financialincome and expenses-164,9 28,5 -63,9 -21,2 49,1Net financials-32,1 -50,8 -13,8 -10,7 -26,6Net profit/loss for the year after minority interests-215,0 -24,0 -76,5 -37,9 4,9Balance sheetBalance sheet total1.311,7 1.323,1 1.381,6 1.266,9 1.152,6Investment in property, plantand equipment15,0 52,7 118,6 40,8 21,4Equity allocated to shareholders of the parent company313,8 264,2 127,4 186,4 202,6Average number of employees in Denmark207 183 150 121 107Average number of employeesoutside Denmark1.811 1.653 1.487 1.286 1.260RatiosGross margin10,4% 15,7% 14,4% 16,1% 22,7%EBITDA margin-4,0% 5,1% 4,2% 1,8% 7,3%EBITA margin-7,4% 3,0% -2,1% 0,4% 6,2%Profit margin-8,8% 1,5% -3,6% -1,5% 3,9%Return on assets-12,6% 2,2% -4,6% -1,7% 4,3%Solvency ratio23,9% 20,0% 9,2% 14,7% 17,6%Return on equity-74,4% -12,3% -48,7% -19,5% 2,4%The ratios have been prepared in accordance with the definitions stated in the section accounting policies.Development during the YearThe result for the year is a loss of DKK 211.8 million versus a loss of DKK 21.5 million in 2023.The result is lower than expected at the beginning of the year and negatively affected by DKK 110 million related to higher cost for developing, designing and construction of the first plast to oil conversion system in Envirotech division. Furthermore the result is also affected negativly by DKK 35.7 million related to impariment of plant and machinery.'The Envitotech activities – primarily related to plast to oil conversion systems has required significant amount of resources and higher investments than originally planned. In addition to the above, the result is also negatively affected by around DKK 50 million, which can be attributed to R&D costs and lower utilization of resources as a result of the delays in the project.The future expectations and market demand for this new technology are very high and the market interest shown so far is very positive. The first system is under construction and is expected to be operational in 2025/26. The group results is also effected with higher cost and more ressources for designing and manufactoring a new Biogas liquefaction plant in the Cryogenic business division. The plant is expected to be operationel i 2025/26.Special RisksMacro-economic and Political ConditionsThe Group sells products and services world-wide. The geographical distribution ensures a considerable diversification of risks, but also implies that the Group’s sales often are influenced positively or negatively by macro-economical or political conditions on specific markets.Credit and Liquidity RisksThe Group’s activities on a large number of markets involve a certain exposure to deferred payments and non-payments from customers. Such risks are met by strict management of payment conditions and use of normal payment instruments.Foreign Exchange RisksAs the major part of the Group’s revenue is generated abroad, results and equity are affected by the development in exchange rates in respect of a number of currencies. However, the risk is limited by a material part of revenue being settled in Euro. It is Group policy to hedge against commercial foreign exchange exposure through forward exchange contracts. The Group does not enter into foreign exchange positions for speculative purposes.Looking aheadWith the framework in place, our next steps involve identifying data points, data collection, analysis and setting targets and key performance indicators (KPIs) based on the findings of the DMA. A crucial step is our climate accounting, which begins with mapping our carbon footprint across the value chain and identifying any bridgeable gaps. Before the reporting year, we aim to calculate our carbon footprint, where these figures will serve as the baseline for our reporting, once data collection and KPI development are finalised.CO₂e (carbon dioxide equivalent) helps us measure the total climate impact of our activities by converting all greenhouse gases into a single unit. Since different energy sources have different warming effects, CO₂e makes it easier to compare and track emissions. To calculate our CO₂e footprint, we look at the entire value chain - transport, energy use, and material sourcing. Going forward, this shall enable us measuring operational activities on a price vs. emissions basis to ensure conscious decision-making. The emission factors we use depend on country-specific conditions, such as energy sources and industrial efficiency. By understanding and measuring CO₂e, we can make informed choices to reduce our overall environmental impact.Engaging our stakeholdersHowever, success will not be measured by data alone. Meaningful ESG progress requires the engagement with our key stakeholders – employees, customers, suppliers, financial institutions, and local communities – and defining initiative in correlation with our IROs. As we define our direction, we will strengthen our partnerships to build a more responsible and resilient value chain.Therefore, one of our criteria for success is engagement of our key stakeholders. As we set our own direction, we will continue to nurture strong partnerships, ensuring a stable and responsible value chain now and in the future. We are committed to being an active and responsible partner in the communities where we operate. Through local initiatives, we support environmental efforts and social development and ensuring that our presence has a positive impact.Our ESG journey has begun, and while there is still much to do, we are taking the necessary steps to build a future that aligns with our values and our vision for tomorrow.Subsidiaries and Local OfficesA material element in the Group strategy and growth plans is to establish and develop or acquire local sales and service enterprises.The Group's existing subsidiaries continue to develop positively: the sale and service subsidiaries are developing very positively, particularly in after-sales, service and facility management.In 2024 the Group has acquired German based Flüssiggas Anlagen GmbH and the Polish based FAS Poland sp z.o.o., thus becomes the latest branch of MAKEEN Energy’s trading division, MAKEEN Gas Equipment, which supplies gas components and other commodities as well as service and consultancy for the gas industry worldwide.Expectations for the Year AheadThe Group's primary line of business is within LPG and Environmental Technologies, which are important energy resources in most countries of the world. For the financial year 2025, the Group expects to realize an operating profit between DKK 110 - 130 million.The ultimate owner of MAKEEN - Al-Ayuni Investment and Contracting Company - is commited to support with needed loans to finance MAKEENs operating activities. Dialogue with existing bank relations to secure credit lines to support the future growth and expanding plans are ongoing.DevelopmentThis financial year, the Group has incurred expenses for development totalling DKK 45.2 million. DKK 40.3 million out of this amount have been charged as production costs as the Group assesses that these costs do not meet the criteria for recognition in the balance sheet. The remaining amount of DKK 4.9 million have been capitalised as development projects.Development projects for the LPG division mainly consists of components, systems and software within the area of LPG filling plants. In the Cryogenic division the development project is regarding development of a Biogas liquefaction plant. In the Envitotech division the Group has developed a plastic-to-oil conversion system, under the brand name PlastCon. The first PlastCon system is sold in March 2021 and is expected to be in operations in 2025.The new development in the group is expected to lead to a competitive advantage and thus directly influence the activity and future financial performance of the Group.Intellectual Capital ResourcesThe Group gives priority to continuing training of employees in MAKEEN Energy and the subsidiaries abroad. Training in sales management, project management, project training and general leadership has been carried through during the year. Similar training will continue in the coming year.OwnershipThe Company’s share capital of DKK 85,000k at 31 December 2024 is wholly owned by MAKEEN International, S.a.r.l, 6 Rue Eugéne Ruppert, L-2453, Luxembourg. Main activitiesMAKEEN Energy A/S is through the ownership of MAKEEN Gas Solutions A/S and MAKEEN Gas Equipment ApS the world’s leading global supplier of systems, products, services and components for filling and maintenance of LPG cylinders. Moreover, other requirements within the LPG- and Cryogenic business and technical gasses are covered where there is a related business or strategic gain. Design & integration of applications in environmental technology is also a part of the portfolio through the ownership of MAKEEN Envirotech A/S. Statutory statement on CSR according to section 99a of the Danish Financial ActMAKEEN Energy´s business modelMAKEEN Energy is a global, market-leading corporation that delivers equipment, solutions and customer support to the energy industry. We employ approx. 2,000 people across 6 continents and operate in over 140 countries. With our global reach, local presence and decades of experience, we can deliver responsible solutions that make a difference for people and planet.MAKEEN Energy has three business units. Our first business unit MAKEEN Gas Solutions is dedicated to developing cutting-edge solutions for LPG cylinder filling plants, ensuring safe and efficient operations in the LPG industry. We leverage our expertise to provide innovative technologies that meet the evolving needs of this sector.The Second busines unit Makeen Gas Equiptment is a trading unit specializing in providing products for the gas industry. Leveraging our extensive network and industry knowledge, we offer a wide range of high-quality products to meet the diverse demands of the gas market.Additionally, our third business MAKEEN EnviroTech, focuses on sustainability and environmental solutions. Within this unit, we develop and implement forward-thinking technologies like our Plastcon solution, addressing pressing environmental challenges and contributing to a more sustainable future. MAKEEN Energy works as a matrix organization that integrates location-based line management with functional groups that span across all locations. Employees report to a local line manager for administrative and operational guidance, while also answering to functional managers who oversee specific areas like Sales, Project Management, Engineering, Supply Chain, Customer Support, QHSE, Finance, HR and IT etc. across all locations. This structure supports resource sharing and specialized expertise across various projects and regions, enhancing flexibility and collaborative efforts.Across our entities, subsidiaries, and worksites worldwide, we share a common set of policies, the MAKEEN Energy policies, which define how we operate and uphold our commitments. Our policies are more than just guidelines. They reflect our strategy, reinforce our purpose, and ensure that we act responsibly in everything we do. They set the foundation for our approach to quality, safety, environmental responsibility, ethical business practices, and customer collaboration, all of which are key to delivering the best possible solutions.S30 ESG StrategyDemonstrate responsible business practices by reducing the impact on climate change, addressing environmental impact, enhancing energy efficiency, minimizing CO2 emissions, decreasing resource consumption, promoting a circular economy, and upholding social responsibility as a competitive advantage. This includes ensuring good working conditions for both our employees and throughout the value chain, prioritizing the well-being of workers, and fostering a safe and inclusive work environment.1) Reduce CO2 emission by x % by 2030,2) High employee engagement, achieve a satisfaction & motivation score >77,3) X % of revenue spend on environmentally friendly technology and CSR/ESG initiatives.The ESG strategy at MAKEEN Energy is managed by a dedicated ESG committee, led by CEO Mads Bach Christensen. The committee’s role is to establish and execute sustainability commitments throughout the company’s various business units and ensure their widespread adoption. It includes permanent members such as the heads of QHSE, People and Culture, Corporate Communications, Procurement, and other business lines. CEOs from Gas Solution, Gas Equipment, and EnviroTech are also frequently invited to participate in the committee meetings.In 2025, ESG ambassadors from different locations will be appointed to bolster the execution of the ESG S30 strategy and initiatives. These ambassadors will play a crucial role in the practical application of the ESG strategy across the company’s international operations. Their specific key responsibilities will include:• Ensuring the global strategy is communicated effectively to their respective locations,• Assisting with the integration of the ESG strategy as part of the S30 Strategy,• Advocating for ESG initiatives at the local level,• Reporting on local initiatives and their outcomes to the headquarters.At MAKEEN Energy, we are determined to play an active role in the transformation of the energy market, and this is why we develop responsible energy solutions that make a difference to people and planet. We do this by enabling our partners to embrace the energy market of tomorrow, by bridging gaps between present and future energy supply, and by empowering our people to innovate.Integrated CSR/ESG policyAt MAKEEN Energy, we are committed to excellence and leadership in environmental stewardship, social responsibility, and ethical governance. Our Integrated CSR/ESG Policy is designed to align our operations with the UN Global Compact, specific Sustainable Development Goals, and to comply with internationally recognised standards such as ISO 45001, IECEx, ATEX and UK CA. This policy supports our commitment to sustainable development and corporate social responsibility throughout our business activities.Environmental Excellence:1. Affordable and Clean Energy (SDG 7)Play a significant role in advancing the UN goal of ensuring universal access to affordable, reliable, and modern energy (e.g. safe and efficient cooking systems). 2. Industry, Innovation, and Infrastructure (SDG 9)Investing in research and development to create new technologies and solutions that promote sustainability and drive economic growth we contribute to the achievement of the UN goal and create long-term value for both society and the environment.3. Responsible Consumption and Production (SDG 12)Implementing sustainable sourcing practices and energy-efficient manufacturing processes to minimize environmental footprints.4. Climate Action (SDG 13) Integrating energy-saving measures and establishing targets to reduce carbon emissions across all operations. Social Integrity:1. Health and SafetyUphold the highest standards of occupational health and safety in compliance with ISO 45001, IECEx, ATEX, and UK CA, ensuring a safe and healthy working environment for all employees and contractors.2. Human Rights and Labor PracticesAdhere to the principles of the UN Global Compact concerning human rights and labor, ensuring that our operations are free from discrimination and uphold international human rights standards.3. Community and Stakeholder EngagementEngage stakeholders through transparent and ethical practices, ensuring their involvement and development, particularly focusing on building sustainable cities and communities.Governance and Accountability:1. Ethical GovernanceMaintain governance practices that ensure accountability and transparency, aligning with the anti-corruption principles of the UN Global Compact.2. Risk ManagementIncorporate ESG factors into our risk management processes, ensuring that our strategies are robust and adaptable to environmental and social changes.3. Reporting and ComplianceRegularly report on our ESG performance, ensuring compliance with IECEx, ATEX and UK CA for safety in explosive atmospheres, maintaining transparency with all our stakeholders.Implementation and Monitoring:We integrate these commitments into our corporate strategy and operational procedures. Each function within our organization will have defined roles and responsibilities for ESG implementation, supported by training and resources. Our ESG initiatives will be monitored and reviewed annually by a committee to ensure compliance with international standards and continuous improvement.MAKEEN Leadership principlesEvery year, we conduct a global leadership training, where the main focus is developing our leaders to be their very best. Together, the leadership principles were developed as guidelines for leaders to act within their departments to inspire and encourage.Protection of whistleblowersMAKEEN Energy’s Speak Up is an independent whistleblower arrangement managed by Deloitte on behalf of MAKEEN Energy for all MAKEEN Energy subsidiaries.MAKEEN Energy takes whistleblowing very seriously and will review all reports made in order to initiate investigations where possible and necessary. All reports are completely confidential.• Laws, regulations and legal compliance,• Anti-corruption (incl. bribery and facilitation payments),• Fair competition,• Confidential information,• Conflicts of interests,• Human rights,• Other serious incidents and suspicions.MAKEEN Energy received in 2024 few cases regarding misconduct and unetical behavior, and anti-corruption and conflict of interest. Corruption and briberyAs a member of the UN Global Compact, we have committed ourselves to work against corruption in all its forms, including extortion and bribery. MAKEEN Energy does not in any way accept the use of corruptive means and will not accept that any of our employees or third parties such as agents, consultants or partners engage in corruptive activities. At MAKEEN Energy, we consider any kind of corruption to be morally wrong and unacceptable. We realise that corruption can occur in a number of different ways, and we do not accept any kind of corruption. The risks of bribery and facilitation payments are prevalent for an organisation like ours. MAKEEN Energy will neither receive nor pay/give bribes and will not accept that any of our employees receive or pay/give bribes. Moreover, we will not accept that any third parties such as agents, consultants or partners receive or pay/give bribes. Due to the industry we operate in, we believe that it is relevant to stress that we, naturally, do not accept kickbacks either. A kickback is defined as a pre-agreed bribe, and we will never accept receiving or paying/giving kickbacks.MAKEEN Energy will neither make nor receive facilitation payments and will not accept that any of our employees make/receive facilitation payments. Moreover, we will not accept that any third parties such as agents, consultants or partners make/receive facilitation payments.Risks related to corruption.We acknowledge that our activities come with potential challenges, we have identified the following risks in relation to anti-corruption within MAKEEN Energy:• Monetary penalties resulting from legal violations,• Negative impact on our reputation among suppliers, customers, employees, and other stakeholders,• Non-compliance with our corporate purpose of developing responsible energy solutions for the betterment of people and the planet,• Failure to adhere to the prescribed practices outlined in our anti-corruption training.Global anti-corruption training courseAs part of our comprehensive approach, we have implemented a new anti-corruption training course on our updated learning platform, which is now included in our mandatory onboarding package on a global scale. By integrating this training into our onboarding process, we ensure that every new employee is equipped with the knowledge and understanding of our company's commitment to ethical conduct and the prevention of corruption. This initiative demonstrates our dedication to cultivating a strong culture of integrity and compliance throughout the organization.In MAKEEN Academy we have a mandatory e-learningprogram to all employees regarding Anti-corruption. In 2024 we decided it will repeats every 3 year going forward, and in 2025 we re-visit and improve the content even further.In 2024 we have focused on obtaining a high percentage of employees completing our Anti-corruption training session, which is mandatory for all new employeesFurthermore, we have decided that all employees must retake the training session every 3. year.SocialHuman RightsAs a member of the UN Global Compact, we have committed ourselves to support and respect the protection of internationally proclaimed human rights, make sure that we are not complicit in human rights abuses. Support the freedom of association and the effective recognition of the right to collective bargaining, the elimination of all forms of forced and compulsory labour, the effective abolition of child labour, and the elimination of discrimination in respect of employment and occupation.Risks related to human rights and labor risks are inherent in our business activities, and we acknowledge these challenges. The following risks have been identified:• Potential monetary penalties due to legal violations,• Work-related accidents and near-misses involving our employees,• Difficulties in attracting and retaining skilled labor,• Negative impact on our reputation among suppliers, customers, employees, and other stakeholders,• Non-compliance with Makeen Energy´s Code of Conduct.Action to address the risks related to human rightsTo address these risks and fulfil our commitment to human rights, we have established KPIs that focus on strengthening our efforts in this area. At MAKEEN Energy, we firmly believe in upholding the principles of human rights for all individuals involved in our activities. We recognize that our responsibilities extend beyond business operations and encompass the well-being and dignity of every person affected by our actions. By actively addressing human rights concerns, we aim to safeguard the rights of individuals, maintain our reputation as a responsible corporate citizen, and fulfil our corporate purpose of developing sustainable energy solutions that benefit people and the planet.MAKEEN Energy´s Policy/Code of conduct – Human rightsContinuous focus on our code of conduct and the implementation of the below policies that is a part of the code of conduct. • MAKEEN Energy respects and protects the internationally proclaimed human rights, and we require all our employees and third parties acting on our behalf to do the same. We are committed to complying with the UN International Bill of Human Rights and the International Labor Organization (ILO) Declaration on Fundamental Principles and Rights at Work. As a member of the UN Global Compact, we respect and protect human rights as a part of a sustainable business model. • At MAKEEN Energy, we consider any kind of human rights violation to be morally wrong and unacceptable – whether it happens knowingly or unknowingly. Besides protecting human rights within our own organisation, we also strive to ensure that our suppliers and sub-suppliers are compliant with the abovementioned international regulations and standards. • If we know of any human rights violations among suppliers or sub-suppliers, we will act right away. The action will depend on the violation, but generally we believe that both they and we would benefit from constructive guidance to ensure compliance with the international regulations and standards in the future.Implementing our code of conduct in our supply chainMAKEEN Energy has actively been working on ensuring ethical practices and human rights compliance within your supply chain. This is done by implementing a risk assessment process identifying the suppliers and third parties that are in risk of not complying the MAKEEN Energy Code of Conduct based on parameters such as geography and industry. In 2024 a new general purchase conditions for MAKEEN have been implemented and is now being used for all new supplier contracts. In these conditions the supplier is obligated to adhere to MAKEENs Code of ConductAll current suppliers will be contacted on an ongoing basis and presented with the new terms.The plan for 2025 is to take a risk-based approach to which suppliers to contact first and get the new conditions implemented there.Furthermore work continues to create an internal training module on human rights in extension of our existing training module on code of conduct.Implementing our code of conduct internallyIn 2024 we also launched a internal audit team, which will visit the enitites in the Group, ensuring compliance with our policys and our Code of Conduct. Two visits were carried out in 2024, and where there were minor conditions that did not meet the requirements, measures were taken to address this.In 2025 the plan is to conduct a minimum of two more audits in the Group.WorkforceWorking conditionsWe know how important it is that our employees feel good. Therefore, we focus on creating an informal and open environment where everyone - managers as well as employees - is responsible for improving wellbeing.Freedom with responsibility For us it is important to create an environment that is characterised by freedom with responsibility. We want our employees to be engaged in and take responsibility for their work, and that is why a part of our strategy is to create “empowered employees”. We set the framework, direction and goals for their work, and then we let our employees take charge and find the best solution. We believe that this creates ownership, motivation and results. The concept of freedom with responsibility makes demands of both management and employees. We have to give them the best possibilities for them to do their tasks well. This is where a management style characterised by feedback and coaching is completely essential. In return, they have to be responsible, professional and capable of managing their time and tasks. They also have to be able to ask for help and to say no when tasks begin to pile up too high.Stress We are committed to creating a mentally healthy working environment focusing on job satisfaction and well-being. It is therefore also MAKEEN Energy's clear objective to prevent stress and take it seriously, should it occur.Communication Our way of talking to each other is informal, and we highly appreciate our daily dose of humour and goodnatured teasing. We expect that all employees contribute to creating a healthy working environment with a positive attitude towards cooperation and mutual respect. As the value, “Put the fish on the table”, describes, we focus on communicating openly and honestly with each other - also about the things that may be difficult to talk about. We address each other directly and deliver our message in a useful way. That prevents rumours and gossip and gets rid of uncertainties. When we openly and safely can come to each other with ideas, critique, and discussion, it will develop both us and the organisation. We are all - management as well as employees - responsible for maintaining a high level of communication. That entails that we share information openly and engage actively in dialogues. It is management’s task to provide information about our situation, goals, and strategies. At the same time, every employee is responsible for seeking out the information that is necessary in order to understand goals and strategies and to carry out the daily work. Staff ClubsPuts together social activities for a MAKEEN location - independently or in cooperation with local management. These could be parties, lectures, field trips, and cheap trips to the cinema etc. Some activities are group events (with or without families), while others can be held privately.Employee benefits We think it is important to take care of our employees, which is why we offer a number of different employee benefits depending on location. Some benefits are linked to terms of employment, and others not like massage, gym facilities and different discounts/shopping benefits, you can use privately etc.CommittesMAKEEN Energy has various of committees depending on location. Cooperation committee, a forum for dialogue between management and employees, work environment committee, a forum focusing on good and safe working environment etc.Working hours Freedom with responsibility very much characterises our culture - and as you can read in this chapter, also our working hours. We are in favour of creating good conditions for a good work/life balance, and we think that flexibility is an important piece of that puzzle. It gives both you and us the best conditions for completing our projects. It is also possible to work from home some days, if it does not interfere with your tasks and your cooperation with colleagues. We view flexibility as a benefit that should work both ways. As a project-based company, the volume of tasks naturally fluctuates with the number and size of ongoing projects. Therefore, during certain periods, we may need you to put in extra effort and a few additional hours at work. The department manager is responsible for organizing the work in collaboration with employees, considering the department's tasks and conditions as well as the company’s overall needs. Flexible working hours go hand in hand with a healthy and safe work environment. Social dialogueEnhance the company culture: Foster a sense of community by communicating the company's vision, values, and strategic goals. Keep lines of communication with employees open using frequent discussions, gatherings, and collaborative platforms. Engage employees in the company's activities by promoting their involvement in strategic planning, company projects, and internal efforts. Appreciate employee input: Establish surveys, focus groups, and advisory panels to gather their feedback and recommendations. Clearly disclose any collective agreements, commitments, and decisions made unilaterally by the employer.Health & SafetyAll MAKEENER’s have a proactive approach to health and safety, focusing on prediction and prevention.Total Recordable Incident Rate (TRIR) < 1,Lost Time Injury Frequency Rate (LTIFR) < 1.Health and Safety policyAt MAKEEN Energy, our commitment to health and safety is paramount and is deeply integrated into our corporate social responsibility and environmental, social, and governance (ESG) strategies. We believe that maintaining a safe and healthy workplace is essential not only for our employees but also for the success and integrity of our business. 1. Workplace SafetyWe commit to providing a safe work environment for all employees, contractors, and visitors by adhering to applicable health and safety laws, regulations, and best practices. We will proactively manage risks associated with our operations to prevent workplace injuries and illnesses.2. Health and Well-beingWe strive to promote and enhance the physical and mental well-being of our workforce and encourage a balanced lifestyle.3.Continuous ImprovementWe will continuously improve our health and safety performance by setting, reviewing, and striving to meet our health and safety objectives. This includes regular training and drills, investigating all incidents, and incorporating feedback from all levels of the organization.4. Employee Participation:We recognize that our employees are our most valuable asset and key stakeholders in our health and safety program. Empower the employees by engaging them in safety initiatives and decision-making processes, enhancing their ability to manage and improve their work environment proactively. 5. Sustainability and Responsibility:In line with our CSR and ESG objectives, we commit to sustainable practices that minimize our environmental impact and enhance our social contributions. This includes considering health and safety impacts in all business decisions and project planning.6. Community and Stakeholder EngagementWe work with community stakeholders, regulatory bodies, and industry groups to improve health and safety standards within our industry and community. Our goal is to lead by example in creating safer and healthier work environments.This policy is a living document that will be regularly reviewed and updated to adapt to new challenges and ensure compliance with current laws and standards. It reflects our commitment to operational excellence, ethical conduct, and social responsibility.Explosive atmosphere (Ex) policyAt MAKEEN Energy, we are committed to ensuring the highest standards of safety and compliance in all operations that involve potentially explosive atmospheres. This policy is designed to align with the stringent requirements of the IECEx, ATEX and UK CA standards, governing the selection, installation, maintenance, and operation of our equipment and systems.1. Compliance with StandardsWe commit to full compliance with both IECEx, ATEX and UK CA directives to ensure that all equipment and protective systems intended for use in explosive atmospheres meet necessary requirements for safety and health.2. Risk ManagementWe will conduct thorough risk assessments to identify and evaluate explosion risks associated with explosive atmospheres. This will guide the design, operation, and maintenance of our equipment and systems.3. Training and CompetencyWe will provide specialized training for all employees working in or responsible for areas with explosive atmospheres, ensuring they understand the risks and the necessary precautions to take.4. Equipment Selection and MaintenanceWe will strictly use equipment and protective systems that are appropriately certified under IECEx, ATEX and UK CA. Regular maintenance and inspections will be conducted to ensure ongoing compliance and safety.5. Incident Management and Emergency PreparednessWe will develop and implement emergency procedures and response plans to effectively manage incidents in explosive atmospheres. This includes regular emergency drills and clear communication of emergency protocols.6. Audit and ReviewRegular audits will be conducted to ensure that the Ex-policy is effectively implemented and remains compliant with evolving IECEx, ATEX and UK CA directives. These audits will also help in identifying areas for improvement in our Ex-safety practices.7. Innovation and Continuous ImprovementWe commit to staying abreast of technological and regulatory developments in explosion safety to continually enhance our Ex-policy and practices. Innovation in safety technology will be a priority to improve safety standards.This policy serves as a cornerstone of our commitment to safety in explosive atmospheres and is integral to our operational integrity and duty of care to our employees, contractors, and the communities in which we operate.More transparncy and stronger communities End of 2024 we introduced the new global QHSE reporting tool to capture even more performance data from all locations.Also local safety guidelines are currently being harmonize across locations to global safety guideline. Emphaszing our value “share knowledge and make others good”.Enhancing Safety Through Comprehensive Training and IntegrationAt MAKEEN Energy, our unwavering commitment to safety drives us to implement innovative solutions that protect our employees, customers, and stakeholders. Recognizing the critical importance of addressing static electricity in LPG operations, we developed and launched a specialized training program on its mitigation through our internal academy. This initiative equipped our team with essential knowledge and practical tools, enabling the seamless integration of static electricity considerations into our safety assessments at customer sites and within residential operations and maintenance (O&M) service contracts. Consequently, this expertise has become a fundamental aspect of our organizational culture, empowering employees to confidently engage in safety discussions and advocate for best practices. This comprehensive approach has not only strengthened our safety culture but also reinforced our dedication to corporate social responsibility, ensuring safer operations and contributing positively to the communities we serve.First Aid and Defibrillators First aid kits and automated external defibrillators (AEDs) are strategically placed throughout the premises to ensure that emergency medical supplies are available within a short time in all larger areas.Equal treatment and opportunities for allTraining and skills for everybodyIf we are to develop and strengthen MAKEEN Energy, we have to do it together. Each and every one of our employees contributes to the continued success of the company.Career in MAKEEN Energy Our organization is flexible - and that is completely intentional. We have fast chains of command and an informal tone. That makes it easy for us to open new doors and welcome new approaches. Thereby, we get the possibility of adjusting to the constantly changing demands and challenges on the global energy market. At the same time, we create a dynamic organization, where the path from your good idea to putting it into action is short.The agile organizational structure can make it difficult to outline a clear career path. However, we have always had a large degree of mobility between both divisions and functions - and in the past years also across international borders - so there are many chances to get new challenges within the organization. Development of competencies and education in MAKEEN Energy, we are ambitious, and our strategy makes demands of all of us. We have to go on hitherto unknown paths, obtain new knowledge, and build our personal and professional competencies. Development is therefore a central focus point for our strategy. We expect that all employees participate actively to ensure that we together set the right course for achieving our goals. We are also convinced that the development of competencies helps to boost the creativity and motivation of our employees. New knowledge makes it easier for all of us to think in new ways and navigate across the boundaries between divisions, professions, and countries.That is why it is important for us to be constantly developing. That may be in the shape of further education, courses, internal training, peer training, job rotation within the organization and/or a change of a job description. Managers and employees together are responsible for planning the individual development processes. This will most often be done at the yearly personal development talks (PDT).Personal Development Talk (PDT)Job and competence development in MAKEEN Energy is strategic. This means that we plan for the development of those skills, competencies, and job profiles that can actively support the goals and ambitions of our strategy. We strive to balance organizational needs and personal ambitions. The PDT allows the parties to align the individual employee’s ambitions and wishes for professional and personal development with the overall goals of the department and the business strategy for the coming year. The purpose of the annual PDT is to review the year that has passed and to set objectives for the coming year. The talks are designed for managers and employees to discuss career goals, competence development, motivation, performance, and behavior. The PDTs shall not be seen as an isolated activity. They supplement our structured and ongoing 1:1s. They are naturally linked to the vision and goals of our strategy, the sensible topics of the satisfaction survey that are more easily discussed at the individual PDTs, the training opportunities in MAKEEN Academy, and our leadership training and principles. MAKEEN AcademyThis global e-learning platform will give all employees in the group equal access to opportunities for learning and growth and make it easy for employees to tap into training modules, whenever they have the time and whatever platform they are working on. All training modules are made by colleagues, and specialists in the specific topic, and the Academy is, therefore, a true manifestation of our value “share your knowledge - make others good”.Diversity and equal treatment We believe that differences create both development and creativity. Therefore, we are focused on creating a diverse workplace in terms of gender, disability, nationality, ethnicity, religion, and age. It is no secret that, in our industry, you typically see significantly more men walk in the door in the morning. We are very aware of that and we are actively working to create equal opportunities for both men and women. When we work with, for example, recruitment, talent development, and promotions, we are therefore very focused on assessing everyone on the basis of professional parameters rather than habitual and stereotypical ideas.Recruitment When we have to hire new employees, we put a lot of work into finding the right candidate, who fits in both professionally and socially. It is important for us that our new colleagues can see themselves in our values, want to contribute actively to our great work environment and thrive in our dynamic culture. Job postings will as far as possible be visible for everyone in the organisation, and we always consider if possible candidates can be found within the organisation. Onboarding of new employees In order to make new employees feel like a part of the company and the community, everyone goes through an onboarding program. This will most often consist of a standard program combined with a unique training course, tailored specifically for the person in question. The standard program typically lasts 2-6 weeks, and as a new employee you will visit the different divisions and hear about their tasks, processes, and tools. The purpose of the onboarding course is, as mentioned, to welcome new hires to both the new professional and social everyday. It provides a good look into our strategies, goals, organisation, culture, opinions, and values - and thereby also provides the best conditions for contributing to achieving and developing our goals. Dismissal The decision to dismiss an employee can only be made by the immediate supervisor of the employee in agreement with the supervisor’s superior. Dismissal due to failure to fulfil requirements, lacking qualifications, cooperation problems, or the like, can only happen after prior conversations and discussions of other possible solutions. It is in such situations crucial that there is openness between the parties, so that misunderstandings are avoided.Affected communitiesWe know that our activities affect the areas where we do business, and we acknowledge our responsibility towards both people and planet. That is why we are fully committed to working for positive and sustainable change both within and outside our organisation.MAKEEN Energy operates across the world in many different political, cultural and environmental settings. That requires a lot of adaptability and flexibility from us. However, some things do not change, no matter where we operate - our commitments to ourselves, our customers and the planet. Below you will find more information on how we are committing ourselves and where - hopefully all this information serves to show that our key reason to go to work every day is to provide responsible energy solutions to people and planet.Consumer and end-usersFor MAKEEN Energy, compliance with both national and international laws and regulations is necessary for two reasons. Firstly, the legislations are common ground rules that everyone, companies as well as individuals, must follow to ensure a fair society. Secondly, it is at the centre of MAKEEN Energy’s purpose – responsible energy solutions for people and planet. As an organisation, we are dedicated to responsibility, and legal compliance is an inevitable part of this business approach. Since MAKEEN Energy is a global organisation, we will comply with all relevant national and international laws and regulations. Naturally, this also applies to all agreements and partnerships.Besides complying with national and international laws and regulations, MAKEEN Energy also committed to support the UN Global Compact in January 2018. This initiative outlines 10 principles within human rights, labour, environment and anti-corruption, and as a signatory, we must comply with its standards and report on our progress every year.Access to information – www.makeenenergy.comCurrent and new customers, suppliers, employees and other relevant stakeholders have access to a lot of valuable information of our homepage www.makeenenergy.com.Surfing on the internet emits more CO2 than one might think, which is why we have committed to keeping our website CO2 neutral. That is why we have signed up for the initiative "CO2 neutral website". Through our yearly donation, we support a range of projects that reduce carbon emissions around the globe, such as rainforest conservation and building renewable energy sources. Personal safety of consumers and/or end-usersContinuously improving safety at filling plants is our priority. The electronically controlled body leak detector is a rotating platform designed for stationary installation on floor, with connection to a chain conveyor system via automatic inlet and outlet units, and to be equipped with leak testing units to perform full body leak tests on cylinders. Our Body Leak Detector offer a dry, and clean testing process. It employs advanced infrared technology to detect leaks with high accuracy, eliminating the need for water immersion. This method ensures reliable detection of even minor leaks.Responsible marketing practicesAt MAKEEN Energy, we believe that how we communicate is just as important as what we offer. That is why we are committed to responsible marketing practices that reflect our values and respect our audience.We do not exaggerate or overpromise. Instead, we focus on facts, transparency, and clear language – helping our customers and partners make informed decisions. Whether we are talking about environmental benefits, product performance or technical features, we aim to present things as they are, not as we wish they were.We also avoid buzzwords and vague claims. When we talk about being responsible or creating circular solutions, we make sure to explain what that means in practice. We always strive to keep our messages relevant to the people we are speaking to – whether they are engineers, decision-makers or end users.Ultimately, our marketing is not about selling an image. It is about building trust and that only happens when communication is honest, respectful, and rooted in real value.EnvironmentEnvironmental policyAt MAKEEN Energy, our commitment to environmental excellence is integral to our broader Corporate Social Responsibility (CSR) and Environmental, Social, and Governance (ESG) strategies. We recognise the critical role we play in protecting the environment and are committed to sustainable practices that benefit not only our planet but also our community and stakeholders.1. Sustainability and resource managementWe commit to using resources sustainably, minimising waste, reduce energy and using environmentally friendly materials and technologies. Embodying our value of taking ownership and our commitment to envi-ronmental leadership. 2. Legal and ethical complianceWe will adhere to all relevant environmental, social, and governance laws and regulations, and engage in practices that exceed the minimum requirements to showcase our leadership in corporate responsibility.3. Continuous environmental and social improvementWe set, review and achieve CSR and ESG objectives that enhance our environmental performance and contribute positively to our social and economic environments. 4. Employee and community engagementWe will actively engage our employees and the wider community in our environmental efforts, ensuring they have the knowledge and resources to contribute effectively. We commit to maintaining open lines of communication to foster collaboration and transparency. 5. Stakeholder collaborationWe will collaborate with customers, suppliers, and other stakeholders to improve environmental performance throughout our supply chain and business operations. The policy supports our commitment to maintaining an ethical, transparent and responsible business. It will be reviewed annually to ensure it aligns with our strategic objectives and reflects the latest in environmental best practices.As a member of the UN Global Compact, we have committed ourselves to support a precautionary approach to environmental challenges, undertake initiatives to promote greater environmental responsibility and encourage the development and diffusion of environmentally friendly technologies.In 2024 several work groups across MAKEEN locations have identified potential global and local initiatives. Selection and prioritization for the next years is currently being finalized.Some of the potential projects are, impact and cost of transport of products from downstream to upstream, design with sustainability in mind, sustainable sourcing practices, internal awareness campaigns for employees, MAKEEN locations transisioning to renewable energy where possible and many more interesting potential initiatives etc. However, our environmental efforts are not without challenges, and within the environmental domain, we have identified the following risks:• Not being ready to comply with the EU directive 2022/2464 - Corporate Sustainability Reporting Directive (CSRD), • Insufficient business development to support our environmental objectives,• Potential monetary penalties resulting from legal violations,• Negative impact on our reputation among suppliers, customers, employees and other stakeholders,• Non-compliance with our corporate purpose of developing responsible energy solutions for the betterment of people and the planet.Climate changeEnergyTo reduce transport under Energy we encourage our suppliers for direct deliverlies, our employees for carpooling to and back from work, share lifts between locations, and more meetings via MS Teams.In 2024 we would like to highlight these initiaves:- In Portugal we gradually replace all our car fleet to Plug in hybrids/EV's.- To accommodate the increasing use of electric cars we have invested in more chargers in Denmark.- In France we do make buy analysis up against global and local suppliers to reduce transport too.- For Energy Consumptions, we have switch on only the heating system in front of operators to avoid huge consumptions and we give best equipment to protect from cold weather we hope to have less 20% of consumption. A positive side effect of a shorter workweek is less energy consumption too.- In France an analysis is in progress to put solar panels on the roof, but it is more to find a solution to make a retrofit of our roof. Solar panels will not be our property, but it will allow us to make the retrofit of the roof for a lower cost.Resource use and circular economyEnvirotechWe are developing technologies that will have a real impact on the future.The EnviroTech division is the newest business unit in MAKEEN Energy. EnviroTech was founded with the purpose of innovating and developing circular technologies and energy solutions.Today, the division consists of more than 70 full-time employees, all working towards this purpose. Our most extensive project is Plastcon, a turnkey chemical recycling plant for recycling plastic waste to oil. We have joined the Maelstrom project, where plastic waste is fetched from rivers and coasts to be recycled using our Plastcon technology. Plastcon is based on pyrolysis, which has also been the foundation for the innovation project, Decomblades, a partnership with stakeholders from the wind industry, recycling, and research institutions. DecomBlades proved a fully circular life cycle for decommissioned wind turbine blades, using the recycled material for new wind turbine blades.DecomBladesThe hard work of the DecomBlades team have been recognised and nominated for an award. The DecomBlades project has been nomiated for Energy Cluster Denmark's "Innovation Project of 2024"-award, as a recognition of the major breakthrough of recycling glassfibres from retired wind turbine blades into material for new wind turbine blades. Waste SortingWaste sorting is now part of our daily work.ChemicalsChemicals can have harmful consequences for the environment if poorly managed (soil and water pollution, toxic emissions into the air, etc.). Chemicals can have dangerous effects on human health, particularly in terms of toxicity, irritation, allergies, cancer risks and even endocrine disruptors. It is crucial to prevent any risk of exposure for employees and to ensure the safety of consumers of products containing chemical substances.To this end, we have safety data sheets for each chemical product used. We also manage chemical products in accordance with safety standards (labeling, storage, etc.). In France we use green or eco-designed chemicals, which have less impact on the environment and health. For example, the signage redesigned in the workshop was made with environmentally friendly paint. Implementation of a traceability system for the chemicals used, from their entry into the company to their disposal. This ensures compliance with standards and controls risks. Clear communication regarding the origin and components of the chemicals our employees use.QualityS30 Quality StrategyOperation and execution capabilities improved & a continuous improvement culture well established.1) Increase efficiency / productivity by x%,2) Reduce Cost poor Quality by x%,3) Enhance customer satisfaction and loyalty by x%.Quality policyAt MAKEEN Energy, we are committed to excellence and leadership in delivering high-quality products and services to our customers. Our quality policy is centered on achieving customer satisfaction and loyalty by consistently providing solutions that meet both customer and regulatory requirements.1. Customer Focus: We listen to our customers, understand their needs and exceed their expectations in a timely and cost-effective manner.2. Continuous Improvement: We are committed to continuous improvement of our products, processes and systems. We will foster a culture of innovation and learning to ensure effective problem-solving and process optimization.3. Compliance: We will comply with all applicable laws, regulations and ISO 9001, ensuring that our practices are transparent and accountable.4. Employee Engagement: We recognize that our employees are the cornerstone of our quality and success. We foster a culture where knowledge sharing is paramount, making others good through training and support and ensuring that no one is left behind.5. Performance Measurement: We will use quantifiable metrics to measure our performance and align our objectives with the needs of our customers and the goals of our organization.6. Leadership: Our leaders at all levels will actively promote and uphold our quality principles, ensuring they are embedded in every aspect of our organization.This policy serves as the foundation of our MAKEEN Management System, and all employees are expected to understand, promote, and assist in the implementation of its principles.Business Process Management policyAt MAKEEN Energy, our Business Process Management (BPM) policy is designed to streamline our operations and ensure efficient cross-functional collaboration within our matrix organizational structure. Our BPM policy aims to support our strategic objectives by enhancing organizational agility, improving process transparency and driving consistent execution across all levels of the organization.1. Clear Roles and Responsibilities: We will clearly define and communicate the roles, responsibilities and authority of each team and individual, regardless of their position in the matrix structure. This clarity will support effective decision-making and accountability.2. Process Ownership: Each major process will have a designated owner who is responsible for managing and optimizing the process across different functions and reporting lines. Process owners will ensure that processes are aligned with organizational goals and are executed consistently.3. Cross-Functional Collaboration: We will foster a culture of collaboration and open communication across different functions. Regular cross-functional meetings and shared platforms will be utilized to ensure alignment and facilitate seamless process integration.4. Standardization and Documentation: Critical business processes will be standardized and documented to ensure consistency and quality. Documentation will include detailed process maps and guidelines that are accessible to all relevant stakeholders.5. Continuous Improvement: We commit to a continual review and improvement of business processes. This will involve collecting feedback from all levels of the organization, analyzing process performance data and implementing improvements to enhance efficiency and effectiveness.6. Training and Development: We will provide ongoing training and support to our employees to ensure they understand our BPM framework and are equipped to contribute effectively. This includes training on process management tools, best practices and change management.7. Technology Utilization: We will leverage appropriate technology solutions to automate processes, reduce redundancy and enhance data-driven decision-making. This includes the use of BPM software that supports workflow management and process optimization.This policy will be reviewed annually or as needed to adapt to changing business needs and technological advancements. It reflects our commitment to operational excellence and our strategic use of the matrix structure to foster agility and responsiveness.Setting a new directionWith roots tracing back to the 1950s, we know that staying relevant means continuously evolving. We have always embraced change, being at the forefront of innovation and developing new technologies. Therefore, it is fundamental for us to adhere to the demands of the present and the future. We have taken our first steps towards strengthening our ESG (Environmental, Social, and Governance) efforts. Guided by two of our core values “Be proactive and take ownership” and “Put the fish on the table”, we are committing ourselves to greater transparency and accountability. We acknowledge that there is work to be done and that process has now begun.Therefore, we have established a structured framework that will guide our approach forwards, whilst continuously improving and refining our efforts. The framework is set by our internal steering committee and will be divided into four streams: Environmental, Social, Governance (ESG) and Alignment & Reporting. Each stream is led by a small team responsible for streamlining processes, monitoring initiatives and reporting on their respective areas. A Double Materiality Assessment (DMA) is being conducted and reviewed in collaboration with an external auditor to ensure that our ESG efforts align with industry standards and regulatory requirements. This assessment will identify key Impacts, Risks and Opportunities (IROs) across our value chain and geographical footprint - laying the groundwork for meaningful action. Statutory statement on data ethics according to section 99d of the Danish Financial ActThe Group acknowledges not to have a formal policy specifically addressing data ethics. Instead, data ethics considerations are primarily covered by the existing GDPR policy. In 2024 we implemented a new Data policy.Data policyAt MAKEEN Energy, we process various data about our employees, customers and other stakeholders as a necessary part of our daily activities. This type of information is extremely valuable to us, and we could not run our business without it. However, we also know that it is sensitive, and we pay great attention to safeguarding all the personal data we have.MAKEEN Energy locations and employees around the world therefore strive to comply with the principles relating to processing data as described in GDPR’s article 5 while also taking account of the national laws in the countries where we operate.To keep our operations running and to meet legal obligations, we need to store certain types of personal data for various purposes and periods of time. It can, for some purposes, also be necessary to let trusted external processors, such as service providers or clouds services, handle the data. However, we are always responsible for treating the personal data we collect in compliance with this policy, whether the data is handled in-house or by external parties.In MAKEEN Academy all employees must attend a mandatory E-learing traning regarding GDPR. Basis of PreparationThe Annual Report of MAKEEN Energy A/S for 2024 has been prepared in accordance with the provisions of the Danish Financial Statements Act applying to large enterprises of reporting class C and current Danish Accounting Standards.The financial statements are presented in TDKK. Recognition and measurementThe financial statements have been prepared under the historical cost method.Revenues are recognised in the income statement as earned. Furthermore, value adjustments of financial assets and liabilities measured at fair value or amortised costs are recognised. Moreover, all expenses incurred to achieve the earnings for the year are recognised in the income statement, including depreciation, amortisation, impairment losses and provisions as well as reversals due to changed accounting estimates of amounts that have previously been recognised in the income statement.Assets are recognised in the balance sheet when it is probable that future economic benefits attributable to the asset will flow to the Company, and the value of the asset can be measured reliably.Liabilities are recognised in the balance sheet when it is probable that future economic benefits will flow out of the Company, and the value of the liability can be measured reliably.Assets and liabilities are initially measured at cost. Subsequently, assets and liabilities are measured as described for each item below.Certain financial assets and liabilities are measured at amortised cost, which involves the recognition of a constant effective interest rate over the maturity period. Amortised cost is calculated as original cost less any repayments and with addition/deduction of the cumulative amortisation of any difference between cost and the nominal amount. In this way, capital losses and gains are allocated over the maturity period.Recognition and measurement take into account predictable losses and risks occurring before the presentation of the Annual Report which confirm or invalidate affairs and conditions existing at the balance sheet date.Danish kroner is used as the measurement currency. All other currencies are regarded as foreign currencies.Basis of consolidationThe Consolidated Financial Statements comprise the Parent Company, MAKEEN Energy A/S, and enterprises in which the Parent Company directly or indirectly holds more than 50% of the votes or in which the Parent Company, through share ownership or otherwise, exercises control.On consolidation, items of a uniform nature are combined. Elimination is made of intercompany income and expenses, shareholdings, dividends and accounts as well as of realised and unrealised profits and losses on transactions between the consolidated enterprises.The Parent Company’s investments in the consolidated subsidiaries are set off against the Parent Company’s share of the net asset value of subsidiaries stated at the time of consolidation.Business acqusitionsOn acquisition of subsidiaries, the difference between cost of acquisition and net asset value of the enterprise acquired is determined at the date of acquisition after the individual assets and liabilities having been adjusted to fair value (the purchase method). In this connection any restructuring provisions decided concerning the acquired enterprise are deducted. Any remaining positive differences are recognised in “Investments in subsidiaries” and are amortised on a straight-line basis over the estimated useful life, but not exceeding 20 years.Acquisitions of subsidiaries are accounted for using the purchase method under which the identifiable assets and liabilities of the entity acquired are measured at fair value at the time of acquisition.The time of acquisition is the time when the Group obtains control og the entity acquired.The cost of the entity acquired is the fair value of the consideration agreed, including consideration contingent on future events. Transaction costs directly attributable to the acquistion of subsidiaries are recognised in the income statement as incurred.Positive differences between the cost of the entity acquired and identifiable assets and liabilities are recognised as goodwill in intangible assets in the balance sheet and are amortised in the income statement on a straight-line basis over their estimated useful lives. Where the differences are negative, they are recognised immediately in the income statement.Where the purchase price allocation is not final, positive and negative differences from acquired subsidiaries due to change to the recognition and measurement of identifiable net assets may be adjusted for up to 12 months after the time of acquisition. These adjustments are also reflected in the value of goodwill or negative goodwill, including in amortisation already made.Business acqusitions carried through on or before 1 July 2018Business acqusitions carried through before 1 July 2018 follow the above accounting policies for business combinations with a few exemptions. The most material exemptions are:- Where the purchase price allocation in not final, positive and negative differences due to changes to the recognition and measurement of the acquired net assets may be adjusted until the end of the financial year following the year of acquistion. These adjustments are also reflected in the value of goodwill or negative goodwill, including in amortisation already made.- Transaction costs directly attributable to the acquistion of subsidiaries are included as part of cost.Minority interestsOn statement of Group results and Group equity, the shares of results and equity of subsidiaries attributable to minority interests are recognised as separate items in the income statement and the balance sheet. Minority interests are recognised on the basis of a re-measurement of acquired assets and liabilities to fair value at the time of acquisition of subsidiaries. At subsequent changes in minority interests the changed share of results is recognised from the time of the change.LeasesAll of the Group’s leases are classified as either operating or finance leases. Payments concerning operating leases are recognised in the income statement on a straight-line basis over the leasing period. The payments concerning finance leases are divided between financial expenses and repayments on the leasing debt to obtain a constant interest rate for the remaining leasing debt.Translation policiesTransactions in foreign currencies are translated at the exchange rates at the dates of transaction. Gains and losses arising due to differences between the transaction date rates and the rates at the dates of payment are recognised in financial income and expenses in the income statement.Receivables, payables and other monetary items in foreign currencies that have not been settled at the balance sheet date are translated at the exchange rates at the balance sheet date. Any differences between the exchange rates at the balance sheet date and the transaction date rates are recognised in financial income and expenses in the income statement; however, see the section on hedge accounting.Income statements of foreign subsidiaries are translated at transaction date rates or approximated average exchange rates. Balance sheet items are translated at the exchange rates at the balance sheet date. Exchange adjustments arising on the translation of the opening equity and exchange adjustments arising from the translation of the income statements at the exchange rates at the balance sheet date are recognised directly in equity.Derivative financial instrumentsDerivative financial instruments are initially recognised in the balance sheet at cost and are subsequently remeasured at their fair values. Positive and negative fair values of derivative financial instruments are classified as “Other receivables” and “Other payables”, respectively.Changes in the fair values of derivative financial instruments are recognised in the income statement unless the derivative financial instrument is designated and qualify as hedge accounting, see below.Hedge accountingChanges in the fair values of financial instruments that are designated and qualify as fair value hedges of a recognised asset or a recognised liability are recognised in the income statement as are any changes in the fair value of the hedged asset or the hedged liability related to the hedged risk.Changes in the fair values of derivative financial instruments that are designated and qualify as hedges of expected future transactions are recognised in retained earnings under equity as regards the effective portion of the hedge. The ineffective portion is recognised in the income statement. If the hedged transaction results in an asset or a liability, the amount deferred in equity is transferred from equity and recognised in the cost of the asset or the liability, respectively. If the hedged transaction results in an income or an expense, the amount deferred in equity is transferred from equity to the income statement in the period in which the hedged transaction is recognised. The amount is recognised in the same item as the hedged transaction.Changes in the fair values of financial instruments that are designated and qualify as hedges of net investments in independent foreign subsidiaries or associates are recognised directly in equity as regards the effective portion of the hedge, whereas the ineffective portion is recognised in the income statement.Income StatementRevenueRevenue from the sale of goods for resale and finished goods is recognised in the income statement when the sale is considered effected based on the following criteria: • delivery has been made before year end; • a binding sales agreement has been made; • the sales price has been determined; and payment has been received or may with reasonable certainty be expected to be received.Contract work in progress is recognised at the rate of completion of the projects, which means that revenue equals the selling price of the work completed for the year (percentage-of-completion method). This method is applied when total revenues and expenses in respect of the project and the stage of completion at the balance sheet date can be measured reliably, and it is probable that the economic benefits, including payments, will flow to the Company. Contract work in progress includes agreements of delivery of projects with a high level of individual customization. Cost of salesCost of sales comprises costs incurred to achieve revenue for the year. Cost comprises purchases for projects, raw materials, consumables, direct labour costs and indirect production costs such as maintenance and depreciation, etc, as well as operation, administration and management of factories.Cost of sales also includes development costs that do not qualify for capitalisation.Distribution expensesDistribution expenses comprise costs in the form of salaries to sales and distribution staff, advertising, marketing and exhibition expenses as well as operation of motor vehicles, depreciation, etc.Administrative expensesAdministrative expenses comprise expenses for Management, administrative staff, office expenses, depreciation, etc.Other operating income and expensesOther operating income and other operating expenses comprise items of a secondary nature to the core activities of the enterprises, including gains and losses on the sale of intangible assets and property, plant and equipment.Income from investments in subsidiariesThe item "Income from investments in subsidiaries" in the income statement includes the proportionate share of the profit for the year after tax.Income from investments in associatesThe item "Income from investments in associates" in the income statement includes the proportionate share of the profit for the year after tax.Financial income and expensesFinancial income and expenses comprise interest, realised and unrealised exchange adjustments, price adjustment of securities as well as extra payments and repayment under the on-account taxation scheme.Tax on profit/loss for the yearTax for the year consists of current tax for the year and deferred tax for the year. The tax attributable to the profit for the year is recognised in the income statement, whereas the tax attributable to equity transactions is recognised directly in equity.The Company assesses for Danish tax purposes jointly with the Danish consolidated company. Foreign subsidiaries are not part of the joint taxation.The effect of the joint taxation is divided among the involved companies according to the taxable profit or loss of each company. The companies that are part of the joint taxation are entered into the tax prepayment scheme.Balance SheetIntangible assetsGoodwillGoodwill is amortised on a straight-line basis over the estimated useful life determined on the basis of Management’s experience with the individual business areas. The maximum amortisation period is 20 years, the longest period applying to enterprises acquired for strategic purposes with a strong market position and a long earnings profile.Development projectsCosts of development projects comprise salaries, amortisation and other expenses directly or indirectly attributable to the Company’s development activities.Development projects that are clearly defined and identifiable and in respect of which technical feasibility, sufficient resources and a potential future market or development opportunity in the enterprise can be demonstrated, and where it is the intention to manufacture, market or use the project, are recognised as intangible assets. This applies if sufficient certainty exists that the value in use of future earnings can cover cost of sales, distribution and administrative expenses involved as well as the development costs.Development projects that do not meet the criteria for recognition in the balance sheet are recognised as expenses in the income statement as incurred.Capitalised development costs are measured at cost less accumulated amortisation and impairment losses or at a lower recoverable amount. An amount equal to the recognised development projects are reserved in "Reserve according to development costs" under equity. The reserve comprises development costs recognised on 1 January 2016 or later. The reserve is reduced by amortisation and impairment losses on development projects.As of the date of completion, capitalised development costs are amortised on a straight-line basis over the period of the expected economic benefit from the development work, but not exceeding 5 years.Property, plant and equipmentProperty, plant and equipment are measured at cost less accumulated depreciation and less any accumulated impairment losses.Cost comprises the cost of acquisition and expenses directly related to the acquisition up until the time when the asset is ready for use. In the case of assets of own construction, cost comprises direct and indirect expenses for labour, materials, components and sub-suppliers.Interest expenses on loans raised directly for financing the construction of property, plant and equipment are recognised in cost over the period of construction. All indirectly attributable borrowing expenses are recognised in the income statement.Depreciation based on cost reduced by any residual value is calculated on a straight-line basis over the expected useful lives of the assets, which are:Land and buildings20-40 yearsPlant and machinery 2-10 yearsOther fixtures and fittings, tools and equipment2-10 yearsLeasehold improvements 5-12 yearsAssets costing less than DKK 20,000 are expensed in the year of acquisition.Impairment of fixed assetsThe carrying amounts of property, plant and equipment are reviewed on an annual basis to determine whether there is any indication of impairment other than that expressed by amortisation and depreciation. If so, an impairment test is carried out to determine whether the recoverable amount is lower than the carrying amount, and the asset is written down to its lower recoverable amount.The recoverable amount of the asset is calculated as the higher of net selling price and value in use. Where a recoverable amount cannot be determined for the individual asset, the assets are assessed in the smallest group of assets for which a reliable recoverable amount can be determined based on a total assessment.Assets for which a separate value in use cannot be determined as the asset does not on an individual basis generate future cash flows are reviewed for impairment together with the Group of assets to which they are attributable.Investments in subsidiariesInvestments in subsidiaries are recognised and measured under the equity method.The items “Investments in subsidiaries” in the balance sheet include the proportionate ownership share of the net asset value of the enterprises calculated on the basis of the fair values of identifiable net assets at the time of acquisition with deduction or addition of unrealised intercompany profits or losses and with addition of any remaining value of positive differences (goodwill).The total net revaluation of investments in subsidiaries is transferred upon distribution of profit to "Reserve for net revaluation under the equity method" under equity. The reserve is reduced by dividend distributed to the Parent Company and adjusted for other equity movements in subsidiaries.DepositsDeposits compromise prepaid deposits concerning rental agreements.InventoriesInventories are measured at the lower of cost under the weighted average method and net realisable value. The net realisable value of inventories is calculated at the amount expected to be generated by sale in the process of normal operations with deduction of selling expenses and costs of completion. The net realisable value is determined with consideration for the marketability, obsolescence and development in expected sales sum.The cost of goods for resale, raw materials and consumables equals landed cost.The cost of finished goods, semi-finished goods and work in progress comprises the cost of raw materials, consumables and direct labour with addition of indirect production costs. Indirect production costs comprise the cost of indirect materials and labour as well as maintenance and depreciation of the machinery, factory buildings and equipment used in the manufacturing process as well as costs of factory administration and management.ReceivablesReceivables are measured in the balance sheet at the lower of amortised cost and net realisable value, which corresponds to nominal value less provisions for bad debts. Provisions for bad debts are determined on the basis of an individual assessment of each receivable, and in respect of trade receivables, a general provision is also made based on the Company’s experience from previous years.Contract work in progressContract work in progress is measured at the selling price of the work performed calculated on the basis of the stage of completion. The stage of completion is measured by the proportion that the contract expenses incurred to date bear to the estimated total contract expenses. Contract work in progress includes agreements of delivery of projects with a high level of individual customization. Where it is probable that total contract expenses will exceed total revenues from a contract, the expected loss is recognised as an expense in the income statement.Where the selling price cannot be measured reliably, the selling price is measured at the lower of expenses incurred and net realisable value.Prepayments and payments received on account are set off against the selling price. The individual contracts are classified as receivables when the net selling price is positive and as liabilities when the net selling price is negative.Expenses relating to sales work and the winning of contracts are recognised in the income statement as incurred.PrepaymentsPrepayments comprise prepaid expenses concerning rent, insurance premiums, subscriptions and interest.EquityDividendDividend distribution proposed by Management for the year is disclosed as a separate equity item.ProvisionsProvisions are recognised when - in consequence of an event occurred before or on the balance sheet date - the Company has a legal or constructive obligation and it is probable that economic benefits must be given up to settle the obligation.Provisions are made for warranty obligations in respect of repair work within the warranty period of 1 year. Provisions are measured and recognised based on experience with guarantee work.Deferred tax assets and liabilitiesDeferred tax is recognised in respect of all temporary differences between the carrying amount and the tax base of assets and liabilities. However, deferred tax is not recognised in respect of temporary differences concerning goodwill not deductible for tax purposes and other items - apart from business acquisitions - where temporary differences have arisen at the time of acquisition without affecting the profit for the year or the taxable income.Deferred tax is measured on the basis of the tax rules and tax rates that will be effective under the legislation at the balance sheet date when the deferred tax is expected to crystallise as current tax. In cases where the computation of the tax base may be made according to alternative tax rules, deferred tax is measured on the basis of the intended use of the asset and settlement of the liability, respectively.Deferred tax assets, including the tax base of tax loss carry-forwards, are measured at the value at which the asset is expected to be realised, either by elimination in tax on future earnings or by set-off against deferred tax liabilities.Deferred tax assets and liabilities are offset within the same legal tax jurisdiction.Current tax receivables and liabilitiesCurrent tax receivables and liabilities are recognised in the balance sheet at the amount calculated on the basis of the expected taxable income for the year adjusted for tax on taxable incomes for prior years. Tax receivables and liabilities are offset if there is a legally enforceable right of set-off and an intention to settle on a net basis or simultaneously.Financial debtsFixed-interest loans, such as loans from credit institutions, are recognised initially at the proceeds received net of transaction expenses incurred. Subsequently, the loans are measured at amortised cost; the difference between the proceeds and the nominal value is recognised as an interest expense in the income statement over the loan period.Other debts are measured at amortised cost, substantially corresponding to nominal value.Deferred incomeDeferred income comprises amount received for goods or services which have not yet been delivered.Cash Flow StatementThe cash flow statement shows the Group’s cash flow for the year broken down by operating, investing and financing activities, changes for the year in cash and cash equivalents as well as the Group’s cash and cash equivalents at the beginning and end of the year.No cash flow statement has been prepared for the Parent Company as the Parent Company cash flows are included in the Consolidated Cash Flow Statement.Cash flows from operating activitiesCash flows from operating activities are calculated as the net profit/loss for the year adjusted for changes in working capital and non-cash operating items such as depreciation, amortisation and impairment losses, and provisions. Working capital comprises current assets less short-term debt excluding items included in cash and cash equivalents.Cash flows from investing activitiesCash flows from investing activities comprise cash flows from acquisitions and disposals of intangible assets, property, plant and equipment as well as fixed asset investments.Cash flows from financing activitiesCash flows from financing activities comprise cash flows from the raising and repayment of long-term debt, movement in credit institutions as well as payments to and from shareholders.Cash and cash equivalentsCash and cash equivalents comprise "Cash at bank and in hand".The cash flow statement cannot be immediately derived from the published financial records.Explanation of financial ratiosGross marginEBITDA marginEBITA marginProfit marginReturn on assetsSolvency ratioReturn on equity true 1878823000 1882071000 74416000 72094000 1683425000 1586510000 79091000 69134000 195398000 295561000 -4675000 2960000 208305000 187133000 0 0 132558000 119900000 0 0 -145465000 -11472000 -4675000 2960000 5856000 67316000 0 0 2094000 0 0 0 27347000 27350000 0 0 -164862000 28494000 -4675000 2960000 0 0 -214648000 -14548000 -3678000 -267000 0 0 22714000 13199000 40575000 31734000 51135000 63696000 35217000 41425000 -196961000 -22270000 -213965000 -21279000 14799000 -697000 1053000 2710000 -211760000 -21573000 -215018000 -23989000 226156000 246553000 0 0 35439000 35653000 0 0 12565000 14123000 0 0 12590000 9807000 0 0 6811000 16430000 0 0 293561000 322566000 0 0 79115000 90551000 0 0 18266000 57685000 0 0 20737000 14584000 6243000 2374000 6880000 8778000 0 119000 124998000 171598000 6243000 2493000 0 0 639579000 617800000 16105000 16988000 0 0 143000 422000 0 0 1771000 2022000 3300000 3096000 0 0 122034000 136495000 18019000 19432000 764913000 757391000 436578000 513596000 771156000 759884000 324155000 294924000 0 0 237991000 223002000 0 0 34174000 46225000 0 0 0 0 60737000 33652000 60000 749000 415894000 348323000 34527000 51137000 855000 1197000 6266000 3171000 0 0 75451000 81003000 3475000 5524000 24765000 21728000 9902000 5710000 413234000 427015000 490863000 394406000 137701000 87527000 480000 290000 875090000 809466000 491343000 394696000 1311668000 1323062000 1262499000 1154580000 85000000 80000000 85000000 80000000 6280000 7941000 0 0 4739000 -5827000 0 0 0 0 0 0 217813000 182052000 228832000 184166000 313832000 264166000 313832000 264166000 7255000 6462000 0 0 321087000 270628000 313832000 264166000 0 0 475118000 247596000 10860000 10068000 0 0 15048000 27662000 0 0 79050000 66258000 0 0 104958000 103988000 475118000 247596000 91053000 103318000 0 0 0 114301000 0 202994000 22203000 1515000 0 0 113256000 219134000 0 202994000 109254000 11849000 65953000 0 143750000 211403000 108586000 177483000 132897000 117062000 0 0 208672000 254822000 8314000 9475000 1627000 1857000 139851000 65497000 14003000 9204000 0 0 1513000 16042000 709000 4714000 127836000 107073000 18541000 17410000 772367000 729312000 473549000 439824000 885623000 948446000 473549000 642818000 1311668000 1323062000 1262499000 1154580000 80000000 7941000 -5827000 182052000 264166000 6462000 270628000 5000000 0 0 109440000 114440000 0 114440000 0 0 10566000 10566000 2000 10568000 0 -2130000 0 0 -2130000 0 -2130000 0 -469000 0 0 -469000 0 -469000 0 0 0 141339000 141339000 -2467000 138872000 0 0 0 -215018000 -215018000 3258000 -211760000 85000000 6280000 4739000 217813000 313832000 7255000 321087000 80000000 0 184166000 264166000 5000000 0 109440000 114440000 0 -10566000 0 -10566000 0 -1661000 0 -1661000 0 0 141339000 141339000 0 -8905000 -206113000 -215018000 85000000 0 228832000 313832000 -211760000 -21573000 142252000 49113000 -17127000 -16926000 -86635000 10614000 22714000 13199000 51135000 63696000 -115056000 -39883000 31954000 -13203000 -147010000 -26680000 3718000 0 5618000 65827000 14972000 52662000 2861000 1719000 398000 167088000 14114000 9009000 596000 4972000 -12061000 60861000 99698000 0 75356000 302066000 -67653000 102728000 138116000 0 114440000 149130000 209245000 -50208000 50174000 -16027000 87527000 103554000 137701000 87527000 -137701000 -87527000 137701000 87527000 1Going concernThe Annual report is prepared under the condition of going concern. The ultimate parent company Al-Ayuni Investment & Contracting Co. who owns 100% of the share capital has issued a letter of Financial Support, which expires once the Annual report 2025 is approved by the general meeting and published. The letter of Financial Support support the needed cash to ensure the going concern of the company. 3Fee to auditors appointed at the general meetingPricewaterhouseCoopersAudit fee1.377 1.364 201 187Other assurance engagements 67 45 0 0Tax assistance115 311 115 142Non-audit services174 534 174 162Other audit companiesAudit fee and non-audit services 2.041 1.246 386 1393.774 3.500 876 630 4 StaffWages and salaries523.272 414.550 40.891 36.840Pensions22.256 19.242 2.928 2.531Other social security expenses37.274 33.722 227 357582.802 467.514 44.046 39.728 GroupParent Company- Ledelsesberetning2024 2023 2024 2023DKK '000 DKK '000 DKK '000 DKK '0002RevenueGeographical segmentsEurope428.724 364.206 60.300 60.906Outside Europe1.450.099 1.517.865 14.116 11.1881.878.823 1.882.071 74.416 72.094Activity segmentsProject sales419.910 530.968 0 0Aftersales1.458.913 1.351.103 0 0Other0 0 74.416 72.0941.878.823 1.882.071 74.416 72.094 Remuneration to the Executive board and Board of directors amounts to:Executive board11.024 6.289 9.466 4.813Board of directors60 60 60 6011.084 6.349 9.526 4.8734Staff (continued)The booked salaries for the Executive boards for 2024 contains DKK 0k concerning bonus from previous years (2023: DKK 0k). A significant part of the remuneration to the Executive boards in 2024 is due to provision for severance pay. 2018 1836 48 44 5 Other operating incomeOther operating income in the MAKEEN Group mainly consist of rent from external tenants, received sales commision and other types of income not related to the Groups primary activities. 6 Income from investments in subsidiaries after taxShare of earnings of subsidiaries after tax 0 0 -197.832 1.767Amortisation of goodwill 0 0 -16.816 -16.3150 0 -214.648 -14.54813 Fixed assets investmentsInvestments Other Groupin associatesinvestmentsDepositsDKK '000 DKK '000 DKK '000Cost at 1 January 2024 22.146 0 2.022Exchange adjustments 2 0 61Additions for the year 2.793 0 5Disposals for the year 0 0 -317Cost at 31 December 2024 24.941 0 1.771½Value adjustment at 1 January 2024 -5.158 422 0Exchange adjustments 0 0 0Net profit/loss for the year -3.678 0 0Other adjustments 0 -279 0Value adjustments at 31 December 2024 -8.836 143 0Carrying amount at 31 December 202416.105 143 1.771Investments Loans to in group Parent CompanysubsidiariesDepositsenterprisesDKK '000 DKK '000 DKK '000Cost at 1 January 2024 429.766 3.096 170.147Exchange adjustments 0 0 3.788Additions for the year 0 204 41.079Disposals for the year 0 0 -32.243Cost at 31 December 2024 429.766 3.300 182.771Value adjustment at 1 January 2024-59.562 0 0Exchange adjustments10.566 0 0Net profit/loss for the year -214.648 0 0Fair value adjustment of hedging instruments, net-1.661 0 0Value adjustment at 31 December 2024-265.305 0 0Equity investments with negative net asset value transferred to provision475.118 0 0Carrying amount at 31 December 2024639.579 3.300 182.771Fixed assets639.579 3.300 122.034Current assets0 0 60.737639.579 3.300 182.771Of this amount, goodwill amounts to 265.598Subsidiaries are recognised and measured as separate entities.Investments in subsidiaries are specified as follows:ShareVotes andName Place of registered officecapitalownershipMAKEEN Gas Solutions A/SDenmarkkDKK 15,000100%MAKEEN EnviroTech A/S Denmark kDKK 500 100%House of MAKEEN Energy A/SDenmark kDKK 400 100%MAKEEN Gas Equipment ApS Denmark kDKK 1,000 100%MAKEEN Energy for MaintenanceSaudi ArabiakSAR 0 100% 7Financial incomeInterest received from group enterprises0 0 34.507 25.041Exchange adjustments16.797 9.346 4.538 6.612Other financial income5.917 3.853 1.530 8122.714 13.199 40.575 31.734 8Financial expensesInterest expenses to group enterprises 3.223 17.149 11.869 22.683Bank charges 27.985 30.164 13.689 13.763Exchange adjustments14.291 14.563 8.974 4.979Other financial expenses 5.636 1.820 685 051.135 63.696 35.217 41.425 9Tax on profit/loss for the yearCurrent tax for the year21.392 29.976 -996 2.162Deferred tax for the year-7.062 -31.034 2.049 54814.330 -1.058 1.053 2.710which breaks down as follows:Tax on profit/loss for the year14.799 -697 1.053 2.710Tax on changes in equity-469 -361 0 014.330 -1.058 1.053 2.710 0 0 -8905000 5488000 3258000 2416000 0 0 -215018000 -23989000 -206113000 -29477000 -211760000 -21573000 -215018000 -23989000 11 Intangible assetsDevelop-Develop-mentCustomer Order mentprojects inGroup Goodwill BrandrelationsbacklogprojectsprogressDKK '000 DKK '000 DKK '000 DKK '000 DKK '000 DKK '000Cost at 1 January 2024 432.214 43.881 22.596 3.789 61.002 20.662Exchange adjustments 3.116 2.597 1.337 224 0 0Additions for the year 0 0 0 0 928 4.690Transferred 0 0 0 0 14.279 -14.279Disposals for the year -2.136 0 0 0 -11.795 -30Cost at 31 December 2024433.194 46.478 23.933 4.013 64.414 11.043Amortisation at 1 January 2024185.661 8.228 8.473 3.789 51.195 4.232Exchange adjustments 715 570 587 224 0 0Amortisation for the year 22.798 2.241 2.308 0 5.516 0Impairment for the year 0 0 0 0 6.540 0Reversal of impairment and amortisation of sold assets-2.136 0 0 0 -11.427 00Amortisation at 31 December 2024207.038 11.039 11.368 4.013 51.824 4.232Carrying amount at 31 December 2024226.156 35.439 12.565 0 12.590 6.811Amortised over 10-20 years 20 years 10 years 9-18 months 3-5 yearsAmortisation and impairment of intangible assets are recognised in the following items:Cost of sales12.056Amortisation, goodwill 27.34739.403GoodwillInvestment in subsidiaries are considered to be of strategic importance for the Group. In consideration of the Groups plans for development and increasing the activities in the acquired subsidiaries the useful life of goodwill is set up to 20 years.Development projectsCompleted development projects comprise development and testing of components and systems within the area of gas filling plants. Completed development projects are amortized over 3-5 years.The management has not identified any indication of impairment in relation to the carrying amount.Development project in progressDevelopment projects mainly consists of development of new components, systems and software within the area of LPG filling plants, CRYO plants and PlastCon plants. The costs mainly consists of external costs.The new components and systems leads to competitive advantage and thus directly influence the activity and future financial performance of the Group. 12 Property, plant and equipmentOtherfixtures andfittings,LeaseholdLand and Plant andtools andimprove-GroupbuildingsmachineryequipmentmentsDKK '000 DKK '000 DKK '000 DKK '000Cost at 1 January 2024 109.086 176.150 75.090 13.947Additions from acquired companies 0 2.627 9.317 0Exchange adjustments 3.639 1.882 1.898 308Additions for the year 1.087 1.542 12.278 63Disposals for the year -12.799 -3.292 -1.298 -526Cost at 31 December 2024 101.013 178.909 97.285 13.792Impairment losses and depreciation at 1 January 202418.535 118.465 60.506 5.169Additions from acquired companies 0 2.593 8.152 0Exchange adjustments 591 964 1.415 90Depreciation for the year 3.906 5.047 6.956 1.653Impairment for the year0 35.760 0 0Reversal of impairment and depreciation of sold assets-1.134 -2.186 -481 0Impairment losses and depreciation at 31 December 202421.898 160.643 76.548 6.912Carrying amount at 31 December 202479.115 18.266 20.737 6.880Depreciated over 20-40 years 2-10 years 2-10 years 5-12 yearsDepreciation and impairment of property, plant and equipment are recognised in the following items:2024DKK '000Cost of sales45.612Distribution expenses 1.266Administrative expenses6.44453.322Plant and machineryThe impairment of DKK 35.760k relates to a contract asset investment within the Envirotech division.Otherfixtures andfittings,Leasehold tools andimprove-Parent CompanyequipmentmentsDKK '000 DKK '000Cost at 1 January 2024 10.609 147Additions for the year 4.903 0Cost at 31 December 2024 15.512 147Impairment losses and depreciation at 1 January 2024 8.235 28Depreciation for the year 1.034 119Impairment for the year 0 0Impairment losses and depreciation at 31 December 2024 9.269 147Carrying amount at 31 December 20246.243 0Depreciated over 2-10 years 2-10 yearsDepreciation and impairment of other fixtures and leasehold improvement are recognised in the following items:2024DKK '000Cost of sales 1.1531.153 15 Contract work in progressSelling price of production 884.954 939.911 0 0Payments received on account-983.677 -1.010.748 0 0Contract work in progress, net-98.723 -70.837 0 0Recognised in the balance sheet as follows:Contract work in progress recognised in assets34.174 46.225 0 0Prepayments received recognised in debt-132.897 -117.062 0 0½ ½-98.723 -70.837 0 0 GroupParent Company2024 2023 2024 2023DKK '000 DKK '000 DKK '000 DKK '00014 InventoriesRaw materials and consumables306.215 287.553 0 0Work in progress17.940 7.371 0 0324.155 294.924 0 0 17 PrepaymentsPrepayments24.765 21.728 9.902 5.71024.765 21.728 9.902 5.710 GroupParent Company2024 2023 2024 2023DKK '000 DKK '000 DKK '000 DKK '00016Provision for deferred taxFixed assets 14.186 18.110 0 0Current assets 7.424 12.419 0 0Debt -3.612 -1.443 0 0Tax loss carry-forward -2.950 -1.424 0 015.048 27.662 0 0Provision for deferred tax at 1. January 27.662 27.826 0 0Amounts recognised in the income statement for the year-13.083 -525 0 0Amounts recognised in equity for the year 469 361 0 0Provision for deferred tax at 31. December15.048 27.662 0 0Deferred tax assetFixed assets23.691 14.827 319 66Current assets43.337 51.414 -1.399 -356Debt 869 2.183 1.021 1.155Tax loss carry-forward 7.554 12.579 3.534 4.65975.451 81.003 3.475 5.524Deferred tax asset at 1. January 81.003 50.133 5.524 6.072Amounts recognised in the income statement for the year-5.552 30.870 -2.049 -548Amounts recognised in equity for the year 0 0 0 0Deferred tax asset at 31. DecemberDeferred tax asset at 31. December75.451 81.003 3.475 5.524Based on the budgets for the next three years, management has considered it likely that prior years tax losses and unused tax credits can be utilized within 3-5 years.Unused tax losses for which no deferred tax assets has been recognised amounts to DKK 70,081k (2023: DKK 22,758k). 18 EquityThe share capital consists of 850.000 shares of a nominal amount of DKK 100. No shares carry any special rights.Share capital for the past five years is specified as follows:2024 2023 2022 2021 2020DKK '000 DKK '000 DKK '000 DKK '000 DKK '000Share capital 85.000 80.000 75.000 75.000 75.000GroupParent Company2024 2023 2024 2023DKK '000 DKK '000 DKK '000 DKK '00019 Warranty obligationsWithin 1 year 10.860 10.068 0 010.860 10.068 0 0 20Other provisionsOther provisions are related to retirement obligations and provision for loss-making sales projects. 21 Long-term debtPayments due within 1 year are recognised in short-term debt. Other debt is recognised in long-term debt.The debt falls due for payment as specified below:GroupParent Company2024 2023 2024 2023DKK '000 DKK '000 DKK '000 DKK '000Credit institutionsAfter 5 years31.866 41.260 0 0Between 1 and 5 years59.187 62.058 0 0Long-term part91.053 103.318 0 0Within 1 year100.661 11.849 65.953 0191.714 115.167 65.953 0Payables to group enterprisesAfter 5 years0 0 0 0Between 1 and 5 years0 114.301 0 202.994Long-term part0 114.301 0 202.994Within 1 year32.815 0 131.595 165.24532.815 114.301 131.595 368.239Other payablesAfter 5 years59 0 0 0Between 1 and 5 years22.144 1.515 0 0Long-term part22.203 1.515 0 0Within 1 year8.593 0 0 0Kortfristet del30.796 1.515 0 0Loan, net DKK 66,345k, is recognised as a short-term loan, as covenants has not been met. Positive dialogue with lender is ongoing and a covenants waiver is expected to be issued during 2025. GroupParent Company2024 2023 2024 2023DKK '000 DKK '000 DKK '000 DKK '00022Contingent assets, liabilities and other financial obligationsLeasing and rental contractsThe future minimum lease payments under operating leases are as follows:No later than 1 year15.921 10.462 6.409 6.309Later than 1 year and no later than 5 years 34.484 17.973 24.785 24.706Later than 5 years4.142 3.540 30.551 36.6610 054.547 31.975 61.745 67.676Other contingent liabilitiesContracts have been signed for supply of IT-services worth23.818 0 23.818 00 023.818 0 23.818 00 0GroupThe Group's banks have at 31 December 2024 issued bank guarantees totalling DKK 129,113k towards the Group's customers and banks and other guarantees of total DKK 1,585k.The Group is a party in a pending claim for damages related to product liability, and also a party in a mutual claim for contract breach. The outcome of these claims are expected not to constitute financial obligations on part of the Group beyond what is allocated in the Annual Report.The Group is party to a certain contractual dispute. Based on current information and discussion, management does not expect this matter to result in liabilities beyond the amounts already recognised in the consolidated financial statements.The Group has issued a guarantee for MAKEEN Gas Solutions Lanka (Private) Ltd.'s engagement with Sampath Bank for total EUR 750k and for MAKEEN Envirotech engagement with customers for total EUR 16,000k.The Group has issued a guarantee with security in plant and machinery with carrying amount of total USD 247k.The Group has issued a guarantee with security in inventory and trade receivables with carrying amount of total INR 855,586k.The Group has provided security towards banks with the shares of MAKEEN Gas Equipment ApS, Makeen ProSupply North America and Gas Equipment Company Inc' for Makeen ProSupply North America's engagement with the bank. The consolidated equity value of the companies' shares is DKK 140,191k.Parent CompanyThe Company's banks have at 31 December 2024 issued bank guarantees totalling DKK 433k towards the Company's customers and banks.The Company has issued a mortgage bond with security in land and buildings in House of MAKEEN Energy with carrying amount of total DKK 59,423k.The Company has issued a guarantee for MAKEEN Envirotech engagement with customers for total EUR 16,000k.The Company has issued a surety guarantee for MAKEEN EnviroTech A/S, House of MAKEEN Energy A/S, MAKEEN Gas Equipment Denmark A/S, MAKEEN Gas Equipment ApS, MAKEEN Prosupply North America and MAKEEN Gas Solutions A/S' engagement with banks for a total of DKK 266,055k. The Company has issued a surety guarantee for Nordliq A/S' engagement with banks for a total of DKK 26,557k. The Danish companies in the Group are subject to mandatory Danish national joint taxation. The jointly taxed companies share the liability for the Danish income tax etc. The Company has provided security towards banks with the shares of MAKEEN Gas Equipment ApS, Makeen ProSupply North America and Gas Equipment Company Inc' for Makeen ProSupply North America's engagement with the bank. The consolidated equity value of the companies' shares is DKK 140,191k.The parent company has issued a limited parent guarantee to MAKEEN EnviroTech A/S and House of MAKEEN Energy A/S, which expire at the next annual general meeting. 23 Related parties and Group Annual ReportTransactionsThe Company has chosen only to disclose transactions which have not been made on arm's length basis in accordance with section 98(c)(6) of the Danish Financial Statements Act.The Company has received subsidies from Al Ayuni Contracting & Investment Company for DKK 141,339k. Besides the received subsidies from Al Ayuni Contracting & Investment Company all transactions with related parties are on arm's length basis. Group Annual ReportThe Company is included in the Group Annual Report for the Ultimate parent company Al Ayuni Investment & Contracting Company.The Group Annual Report can be obtained from the following address:Al Ayuni Investment & Contracting Company3769 ath thumamah rd, ar rabiUnit no. 2Riyadh 13316 – 8580Saudi Arabia 24Derivative financial instrumentsIt is group policy to hedge material expected currency cash flows in currencies not closesely correlated to EUR.Fair value of derivatives recognised in the balance sheets as of 31 December:Group Parent Company2024 2023 2024 2023DKK '000 DKK '000 DKK '000 DKK '000Forward exchange contracts, DKK/USD-520 -2.025 -520 -2.025Interest rate swaps 8.052 10.182 0 07.532 8.157 -520 -2.025Cash flow hedges8.052 10.182 0 0Fair value hedges-520 -2.025 -520 -2.0257.532 8.157 -520 -2.025Assets143 422 0 0Liabilities-520 -2.025 -520 -2.025-377 -1.603 -520 -2.025Gains and losses recognised in the hedging reserve in the equity on interest rate swaps as of 31 December 2024 will be recognised in profit and loss in the period or periods during which the hedged interests and forecast sales take place (1-14 years). The Group's banks have determined the fair value.Group2024 2023DKK '000 DKK '00026Cash flow statement - adjustmentsFinancial income -22.714 -13.199Financial expenses51.135 63.696Income from investments in associates before tax3.678 195Depreciation and impairment of property, plant and machinery53.322 28.809Amortisation and impairment of intangible assets37.517 39.282Profit on sold assets0 -67.196Tax on profit/loss for the year 14.799 -697Adjustments deferred tax -7.086 -31.034Equity adjustments -1.444 13.683Change in minority interests' share of equity793 1.365Change in other provisions12.252 14.209142.252 49.11327Cash Flow Statement - change in working capitalChange in inventories 35.365 -38.554Change in trade receivables 2.552 7.265Change in contract work in progress12.051 -6.527Change in other receivables 19.533 -1.182Change in prepayments (assets)-2.680 34.904Change in prepayments from customers -2.722 7.509Change in trade payables etc. -55.610 -20.086Change in receivables from group enterprises, net459 746Change in other payables -30.874 7.387Change in deferred income4.799 -8.388-17.127 -16.926Omfanget og arten af finansielle instrumenter fremgår af Koncernen har indgået valutaterminskontrakter til kurssikring af fremtidigt Selskabets umiddelbare moderselskab, der udarbejder koncernregnskab, 25Subsequent eventsNo events materially affecting the assessment of the financial position of the Company by 31 December 2024 have occurred after the balance sheet date. Annual report Auditor's report on audited financial statements ParsePort XBRL Converter 2024-01-01 2024-12-31 2023-01-01 2023-12-31 2025-06-30 Reporting class C, large enterprise 2025-06-30 36718463 Makeen Energy A/S Alsvej 21 8940 Randers SV Opinion Basis for Opinion 2025-06-30 33771231 PricewaterhouseCoopers Statsautoriseret Revisionspartnerselskab Jens Chr. Skous Vej 1 8000 Aarhus C DK