xbrli:pureiso4217:DKK821514192023-01-012023-12-31cmn:ConsolidatedMember821514192023-01-012023-12-311cmn:ConsolidatedMember821514192023-01-012023-12-31fsa:LiquidationAccountMembercmn:ConsolidatedMember821514192023-01-012023-12-311cmn:ConsolidatedMember821514192023-01-012023-12-311821514192023-01-012023-12-312821514192023-01-012023-12-313821514192022-01-012022-12-31cmn:ConsolidatedMember821514192023-01-012023-12-31821514192022-01-012022-12-31821514192023-01-012023-12-31fsa:RetainedEarningsMembercmn:ConsolidatedMember821514192023-01-012023-12-31fsa:ReserveForNetRevaluationAccordingToEquityMethodMember821514192023-01-012023-12-31fsa:RetainedEarningsMember821514192023-12-31cmn:ConsolidatedMember821514192022-12-31cmn:ConsolidatedMember821514192023-12-31821514192022-12-31821514192023-01-01cmn:ConsolidatedMember821514192022-01-01cmn:ConsolidatedMember821514192023-01-01fsa:ContributedCapitalMembercmn:ConsolidatedMember821514192023-01-01fsa:RetainedEarningsMembercmn:ConsolidatedMember821514192023-12-31fsa:ContributedCapitalMembercmn:ConsolidatedMember821514192023-12-31fsa:RetainedEarningsMembercmn:ConsolidatedMember821514192023-01-01fsa:ContributedCapitalMember821514192023-01-01fsa:ReserveForNetRevaluationAccordingToEquityMethodMember821514192023-01-01fsa:ReserveForDevelopmentExpenditureMember821514192023-01-01fsa:RetainedEarningsMember821514192023-01-01821514192023-12-31fsa:ContributedCapitalMember821514192023-12-31fsa:ReserveForNetRevaluationAccordingToEquityMethodMember821514192023-12-31fsa:ReserveForDevelopmentExpenditureMember821514192023-12-31fsa:RetainedEarningsMember821514192023-01-012023-12-31fsa:ContributedCapitalMembercmn:ConsolidatedMember821514192023-01-012023-12-31fsa:ContributedCapitalMember821514192023-01-012023-12-31fsa:ShorttermDeferredIncomeMembercmn:ConsolidatedMember821514192023-01-012023-12-31fsa:ReserveForDevelopmentExpenditureMemberGrundlag for konklusionKonklusion2024-07-112024-07-1133963556Deloitte Statsautoriseret RevisionspartnerselskabRevisionspåtegningRegnskabsklasse C, mellemstor virksomhed2022-12-312022-01-0133963556Weidekampsgade 6Deloitte Statsautoriseret Revisionspartnerselskab2300 København S2023-12-312023-01-01DKT A/S82151419ÅrsrapportKøbenhavn S23006WeidekampsgadeLejreKirke Såby4060<br /><br />6Fanøvej0The Board of Directors and the Executive Board have today considered and approved the annual report of DKT A/S for the financial year 01.01.2023 - 31.12.2023.The annual report is presented in accordance with the Danish Financial Statements Act.In our opinion, the consolidated financial statements and the parent financial statements give a true and fair view of the Group's and the Parent's financial position at 31.12.2023 and of the results of their operations and the consolidated cash flows for the financial year
01.01.2023 - 31.12.2023.We believe that the management commentary contains a fair review of the affairs and conditions referred to therein.We recommend the annual report for adoption at the Annual General Meeting.Kirke SåbyAnthony William Joseph BashamLudwig Michael ModraAnthony William Joseph BashamTim StrubechairmanTo the shareholders of DKT A/SWe have audited the consolidated financial statements and the parent financial statements of DKT A/S for the financial year 01.01.2023 - 31.12.2023, which comprise the income statement, balance sheet, statement of changes in equity and notes, including a
summary of significant accounting policies, for the Group as well as the Parent, and the consolidated cash flow statement. The consolidated financial statements and the parent financial statements
are prepared in accordance with the
Danish Financial Statements Act.
In our opinion, the consolidated financial statements and the parent financial statements give a true and fair view of the Group's and the Parent's financial position at 31.12.2023 and of the results of their operations and the consolidated cash flows for the financial year 01.01.2023 - 31.12.2023 in accordance
with the Danish Financial Statements Act.We conducted our audit in accordance with International Standards on Auditing (ISAs) and additional
requirements
applicable in Denmark. Our responsibilities under those standards and requirements are further
described in the "Auditor’s responsibilities for the audit of the consolidated financial statements and the parent financial statements" section of this auditor’s
report. We are independent of the Group in accordance
with the International Ethics Standards Board for Accountants’ International Code of Ethics for Professional
Accountants (IESBA Code) and the additional ethical requirements applicable in Denmark, and we have fulfilled
our other ethical responsibilities in accordance with these requirements and the IESBA Code. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis
for our opinion.Management is responsible for the preparation of consolidated financial statements and parent financial statements that give a true and fair view in
accordance
with the Danish Financial Statements Act, and for such internal control as Management determines
is necessary to enable the preparation of consolidated financial statements and parent financial statements that are free from material misstatement,
whether due to fraud or error.
In preparing the consolidated financial statements and the parent financial statements, Management is responsible for assessing the Group's and the Entity’s ability to continue
as a going concern, for disclosing, as applicable, matters related to going concern, and for using the going concern basis of accounting in preparing the consolidated financial statements and the parent financial statements unless Management either intends to liquidate
the Entity or to cease operations, or has no realistic alternative but to do so.Our objectives are to obtain reasonable assurance about whether the consolidated financial statements and the parent financial statements as a whole are
free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes
our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted
in accordance with ISAs and the additional requirements applicable in Denmark will always detect a material
misstatement when it exists. Misstatements can arise from fraud or error and are considered material if,
individually or in the aggregate, they could reasonably be expected to influence the economic decisions of
users taken on the basis of these consolidated financial statements and parent financial statements.
As part of an audit conducted in accordance with ISAs and the additional requirements applicable in Denmark,
we exercise professional judgement and maintain professional scepticism throughout the audit. We also:<br />Identify and assess the risks of material misstatement of the consolidated financial statements and the parent financial statements, whether due to
fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a
material misstatement resulting from fraud is higher than for one resulting from error, as fraud may
involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.
<br />Obtain an understanding of internal control relevant to the audit in order to design audit procedures
that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the
effectiveness of the Group's and the Entity’s internal control.
<br />Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates
and related disclosures made by Management.
<br />Conclude on the appropriateness of Management’s use of the going concern basis of accounting in
preparing the consolidated financial statements and the parent financial statements, and, based on the audit evidence obtained, whether a material
uncertainty exists related to events or conditions that may cast significant doubt on the Group's and the Entity’s ability to
continue as a going concern. If we conclude that a material uncertainty exists, we are required to
draw attention in our auditor’s report to the related disclosures in the consolidated financial statements and the parent financial statements or, if such
disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence
obtained up to the date of our auditor’s report. However, future events or conditions may cause the
Group and the Entity to cease to continue as a going concern.
<br />Evaluate the overall presentation, structure and content of the consolidated financial statements and the parent financial statements, including the disclosures
in the notes, and whether the consolidated financial statements and the parent financial statements represent the underlying transactions and
events in a manner that gives a true and fair view.<br />We communicate with those charged with governance regarding, among other matters, the planned scope
and timing of the audit and significant audit findings, including any significant deficiencies in internal control
that we identify during our audit.Management is responsible for the management commentary.
Our opinion on the consolidated financial statements and the parent financial statements does not cover the management commentary, and we do not express
any form of assurance conclusion thereon.
In connection with our audit of the consolidated financial statements and the parent financial statements, our responsibility is to read the management
commentary and, in doing so, consider whether the management commentary is materially inconsistent with
the consolidated financial statements and the parent financial statements or our knowledge obtained in the audit or otherwise appears to be materially
misstated.
Moreover, it is our responsibility to consider whether the management commentary provides the information
required by relevant law and regulations.<br />Based on the work we have performed, we conclude that the management commentary is in accordance with
the consolidated financial statements and the parent financial statements and has been prepared in accordance with the requirements in the relevant law and regulations. We did not identify any material misstatement of the management commentary.CopenhagenHenrik Wolff Mikkelsenmne33747State Authorised Public AccountantFinancial highlights2023
DKK'0002022
DKK'0002021
DKK'0002020
DKK'0002018/19
DKK'000Key figuresGross profit/loss11,48423,88724,62127,26928,355Operating profit/loss(7,118)3,3427,6038,3154,690Net financials(303)(591)(297)(539)(418)Profit/loss for the year(3,403)1,8745,3378,2214,314Balance sheet total79,84194,21577,15380,32974,307Equity58,96662,37260,47555,21846,954Cash flows from operating activities(9,653)10,927(3,805)12,89912,103Cash flows from investing activities(6,905)(2,923)(3,234)(1,749)(3,573)RatiosReturn on equity (%)(5.61)3.059.2316.099.63Equity ratio (%)73.8566.2078.3868.7463.19Financial highlights are defined and calculated in accordance with the current version of "Recommendations &
Ratios" issued by the CFA Society Denmark.Return on equity (%)
:Profit/loss for the year * 100
Average equityEquity ratio (%)
:Equity * 100
Balance sheet totalPrimary activitiesThe DKT Group offers a comprehensive range of products for broadband and telecommunication networks, categorized into three main groups:
1. TFTTB (Fibre To The Home/Fibre To The Building) Networks
2. Coaxial Distribution
a. Focused on DOCSIS 3.1 upgrades and solutions
3. Home Networks
a. Focused on the distribution of broadband services to households, including Wi-Fi/wireless networks
The products are primarily developed by DKT and distributed through its own companies or via partners, mainly across Europe.
With over 40 years of experience, DKT began by specializing in coaxial networks and expanded to include fibre-optic networks around the year 2000, recognizing it as the future of telecommunications. Leveraging this historical expertise, DKT aims to solidify its role as a key partner to operators, installers, and solution providers. Our vision is to enhance the standard of living in Europe by improving broadband performance in networks and homes, with a focus on quality and innovation.
DKT A/S is part of BTV Multimedia GmbH, an international group of companies based in Germany. BTV Multimedia GmbH was acquired by the Netceed Group in May 2023. All companies within the Group share a common mission: the development and consultancy of products and solutions for broadband networks. In this collaborative framework, DKT serves as the international arm of the Group, leveraging collective strengths through its proprietary products. This strategic alignment significantly boosts our capacity to achieve our vision. Recently, DKT established subsidiaries in Great Britain and Sweden, both crucial markets for our growth.Development in activities and financesIn 2023, DKT reported a loss of DKK 3,402,880, compared to a profit of DKK 1,874,108 in the previous year. The balance sheet as of 31st of December 2023 shows equity of DKK 58,966,138.
Significant developments in 2023 included the merger into the Netceed Group and growth in the UK market. The integration into the Netceed Group provides a clear trajectory for future growth, marking a substantial progression from coaxial networks to becoming a global supplier.Profit/loss for the year in relation to expected developmentsThe expected growth as communciated in the Annual Report for 2022 did not materialise, which Management considers unsatisfactory.
Sales of optical network termination (ONT) devices in 2023 were disrupted by industry uncertainty. DKT had prepared stock and compliance with NIS2 and the Cyber Resilience Act, heavily investing in firmware development with sales expected towards the end of 2023. The shift from Homes Passed to Homes Connected has become the standard for network funding, opening the market for DKT's ONTs.
DKT becoming part of Netceed has given several synergies and has required some effort to become part of a larger group. This has not taken focus from the focus but has delayed some developments that did require a second visit to ensure the necessary business case requirement of a larger group and financial sensibility.
OutlookThe merger with Netceed has significantly expanded DKT’s reach and capabilities, positioning it to capitalize on emerging opportunities and drive substantial growth in the coming years. Despite the loss of DKK 3,402,880 due to heavy investment and challenging market conditions in 2023, DKT expects to return to profit, aiming for 2022 profit of DKK 2,000,000.
Continued growth in ONT resources will be paramount for the future to ensure the support and growth potential that is required to expand.
Knowledge resourcesDKT's longstanding market position has enabled growth and the capitalization of new opportunities. With deep insights into network transitions, DKT is accelerating the shift towards fibre-optic solutions, ensuring a smooth transition and a promising future for network enhancements.Events after the balance sheet dateNo events have occurred after the balance sheet date to this date, which would influence the evaluation of this annual report. 1148425723887099684929711725835158985981827213311101349129893162703852227272624574512018394-71181933342240-6709503-32818753086702250587245407240041661119928415691241281526415-74207222751258-69746041050130-4017842877150-3571724-823978-34028801874108-3402880-34028801874108-160178-324270246320045857227463200458572278803311229690880330121991667860990481167034505043036703450504303128943948496031122157847581446194953269476194953269476125371247630125371237204320324517106320324506680305450304939300000300000305450304939119362931586012313520168931807624472401239482492625207728731496198063362457418431689630316896302942104028731496229752992457418426521709308270886354275826273514376061381713940494820685562955872239012589000054000780035400075728235552406348025400025116714424512180814215773145590634159504186203041288017454440522200602122006021139779121179335131163156632099884897021427749385057067379841166942150976724733974518922100000010000001000000100000057966138613724574212934945884855589661386237245710000006137245762372457100000057966138589661386237245710000001091896545686374588485562372457100000069951358841654421293490982724098272455551869362655551816763500127228155002151006800336507189188360591988875343872712656016261747523595576611349710191782716858242781024116666720319510301662908281201108741842031951030166290828120110874184798411669421509767247339745189220-3439-34390-34390-343927038522272726-51452428180034-9559583137950003086702250587-611199-2841569209015-2276828-965309710927190-6905433-24670160-455868-6905433-2922884-165585308004306-165585308004306-3439238035444052220060211 Staff costs2023
DKK2022
DKKWages and salaries14,404,78216,605,847Pension costs1,024,3951,167,699Other social security costs161,525173,860Other staff costs307,896324,72715,898,59818,272,133Average number of full-time employees2022Referring to section 98b (3) of the Danish Financial Statements Act, management remuneration is not disclosed.
1 Staff costs2023
DKK2022
DKKWages and salaries9,807,03511,524,769Pension costs866,9931,006,571Other social security costs138,970158,248Other staff costs288,351299,72811,101,34912,989,316Average number of full-time employees1517By reference to section 98b(3), (ii), of the Danish Financial Statements Act, remuneration to
Management is not disclosed.
202215172 Depreciation, amortisation and impairment losses2023
DKK2022
DKKAmortisation of intangible assets2,507,0702,105,980Depreciation on property, plant and equipment196,782166,7462,703,8522,272,7262 Depreciation, amortisation and impairment losses2023
DKK2022
DKKAmortisation of intangible assets2,271,0951,863,023Depreciation on property, plant and equipment186,356155,3712,457,4512,018,3943 Other financial income2023
DKK2022
DKKFinancial income from group enterprises213,6840Other interest income61,9720Exchange rate adjustments33,0142,250,587308,6702,250,5873 Other financial income2023
DKK2022
DKKFinancial income from group enterprises208,325166,407Other interest income37,0820Exchange rate adjustments02,234,009245,4072,400,4164 Other financial expenses2023
DKK2022
DKKFinancial expenses from group enterprises229,5360Other interest expenses641104,498Exchange rate adjustments381,0222,737,071611,1992,841,5692023
DKK2022
DKKFinancial expenses from group enterprises229,5360Other interest expenses641104,498Exchange rate adjustments381,0222,737,071611,1992,841,569<br />4 Other financial expenses2023
DKK2022
DKKFinancial expenses from group enterprises44,6470Other interest expenses41798,927Exchange rate adjustments79,0641,427,488124,1281,526,415<br />2023
DKK2022
DKKFinancial expenses from group enterprises44,6470Other interest expenses41798,927Exchange rate adjustments79,0641,427,488124,1281,526,4155 Tax on profit/loss for the year2023
DKK2022
DKKCurrent tax111,0561,847,335Change in deferred tax(3,966,553)1,348,994Adjustment concerning previous years(162,345)(521,601)Refund in joint taxation arrangement0(1,797,578)(4,017,842)877,1505 Tax on profit/loss for the year2023
DKK2022
DKKChange in deferred tax(3,571,724)1,292,192Adjustment concerning previous years0(318,592)Refund in joint taxation arrangement0(1,797,578)(3,571,724)(823,978)6 Proposed distribution of profit/loss2023
DKK2022
DKKRetained earnings(3,402,880)1,874,108(3,402,880)1,874,1086 Proposed distribution of profit and loss2023
DKK2022
DKKRetained earnings(3,402,880)1,874,108(3,402,880)1,874,108-34028801874108-340288018741087 Intangible assetsCompleted development projects
DKKAcquired intangible assets
DKKGoodwill
DKKDevelopment projects in progress
DKKCost beginning of year13,143,7451,571,9351,809,619504,303Transfers548,38200(548,382)Additions0157,90406,747,529Disposals(243,495)000Cost end of year13,448,6321,729,8391,809,6196,703,450Amortisation and impairment losses beginning of year(7,286,518)(342,245)(904,808)0Amortisation for the year(1,773,605)(507,263)(226,202)0Reversal regarding disposals243,495000Amortisation and impairment losses end of year(8,816,628)(849,508)(1,131,010)0Carrying amount end of year4,632,004880,331678,6096,703,450Completed development projects
DKKAcquired intangible assets
DKKGoodwill
DKKDevelopment projects in progress
DKKCost beginning of year13,143,7451,571,9351,809,619504,303Transfers548,38200(548,382)Additions0157,90406,747,529Disposals(243,495)000Cost end of year13,448,6321,729,8391,809,6196,703,450Amortisation and impairment losses beginning of year(7,286,518)(342,245)(904,808)0Amortisation for the year(1,773,605)(507,263)(226,202)0Reversal regarding disposals243,495000Amortisation and impairment losses end of year(8,816,628)(849,508)(1,131,010)0Carrying amount end of year4,632,004880,331678,6096,703,450<br />7 Intangible assetsCompleted development projects
DKKAcquired intangible assets
DKKDevelopment projects in progress
DKKCost beginning of year13,143,7451,521,670504,303Transfers548,3820(548,382)Additions0157,9046,747,529Disposals(243,495)00Cost end of year13,448,6321,679,5746,703,450Amortisation and impairment losses beginning of year(7,286,518)(301,754)0Amortisation for the year(1,773,605)(497,490)0Reversal regarding disposals243,49500Amortisation and impairment losses end of year(8,816,628)(799,244)0Carrying amount end of year4,632,004880,3306,703,450<br />Completed development projects
DKKAcquired intangible assets
DKKDevelopment projects in progress
DKKCost beginning of year13,143,7451,521,670504,303Transfers548,3820(548,382)Additions0157,9046,747,529Disposals(243,495)00Cost end of year13,448,6321,679,5746,703,450Amortisation and impairment losses beginning of year(7,286,518)(301,754)0Amortisation for the year(1,773,605)(497,490)0Reversal regarding disposals243,49500Amortisation and impairment losses end of year(8,816,628)(799,244)0Carrying amount end of year4,632,004880,3306,703,4508 Development projectsCompleted development projects and development projects in progress comprise development of webpage, products and other IT equipements for use in the operations of the
company, as well as the development of products and services with which the company expects to generate additional revenues and where a future market and profit for the company can be proven.8 Development projectsCompleted development projects and development projects in progress comprise development of webpage, products and other IT equipements for use in the operations of the
company, as well as the development of products and services with which the company expects to generate additional revenues and where a future market and profit for the company can be proven.9 Property, plant and equipmentPlant and machinery
DKKOther fixtures and fittings, tools and equipment
DKKCost beginning of year767,5281,507,896Disposals0(118,925)Cost end of year767,5281,388,971Depreciation and impairment losses beginning of year(498,052)(1,260,266)Depreciation for the year(74,523)(122,259)Reversal regarding disposals0118,925Depreciation and impairment losses end of year(572,575)(1,263,600)Carrying amount end of year194,953125,3719 Property, plant and equipmentPlant and machinery
DKKOther fixtures and fittings, tools and equipment
DKKCost beginning of year767,5281,473,772Disposals0(118,925)Cost end of year767,5281,354,847Depreciation and impairment losses beginning of year(498,052)(1,236,568)Depreciation for the year(74,523)(111,833)Reversal regarding disposals0118,925Depreciation and impairment losses end of year(572,575)(1,229,476)Carrying amount end of year194,953125,37110 Financial assetsDeposits
DKKCost beginning of year304,939Additions511Cost end of year305,450Carrying amount end of year305,45010 Financial assetsInvestments in group enterprises
DKKDeposits
DKKCost beginning of year4,641,158300,000Cost end of year4,641,158300,000Revaluations beginning of year10,918,9650Exchange rate adjustments(3,439)0Amortisation of goodwill(226,202)0Share of profit/loss for the year(160,178)0Dividend(3,251,924)0Investments with negative equity value depreciated over receivables (282,087)0Revaluations end of year6,995,1350Carrying amount end of year11,636,293300,000Goodwill or negative goodwill recognised during the financial year678,609A specification of investments in subsidiaries is evident from the notes to the consolidated financial statements.11 Trade receivablesOut of the Group's total receivables, trade
receivables totalling DKK 1,536k fall due for
payment after more than one year after the
balance sheet date.12 Deferred tax2023
DKK2022
DKKIntangible assets(2,687,472)(1,670,069)Property, plant and equipment92,88191,515Inventories2,694,059(137,319)Tax losses carried forward2,856,404757,050Deferred tax2,955,872(958,823)
Changes during the year2023
DKK2022
DKKBeginning of year(958,823)71,529Recognised in the income statement3,914,695(1,348,994)Currency variances050Adjustment concerning previous years0318,592End of year2,955,872(958,823)Deferred tax has been recognised in the balance sheet as follows2023
DKK2022
DKK
Deferred tax assets2,955,87223,901
Deferred tax liabilities0(982,724)2,955,872(958,823)Deferred tax assetsOn the basis of expectations for future operations, Management believes that deferred tax asset of a total DKK 2,955,872 can be fully recognized.11 Deferred tax2023
DKK2022
DKKIntangible assets(2,687,472)(1,667,919)Property, plant and equipment71,62265,464Inventories2,446,873(137,319)Tax losses carried forward2,757,977757,050Deferred tax2,589,000(982,724)
Changes during the year2023
DKK2022
DKKBeginning of year(982,724)(9,124)Recognised in the income statement3,571,724(1,292,192)Adjustment concerning previous years0318,592End of year2,589,000(982,724)Deferred tax assetsOn the basis of expectations for future operations, the management believes that deferred tax asset of a total 2.589 t.kr can be fully recognized.13 PrepaymentsPrepayments under assets consists of costs incurred which relates to future accounting periods.12 PrepaymentsPrepayments under assets consists of costs incurred which relates to future accounting periods.14 Contributed capitalNumberPar value
DKKNominal
value
DKK30 shares of DKK 10,000.00 nominal value each3010,000.00300,0007 shares of DKK 100,000.00 nominal value each 7100,000.00700,000371,000,000The parent's share capital has remained DKK 1,000,000 over the past 5 years.15 Other provisions The provision relates to loss-making contract
s.16 Deferred incomeDeferred income under liabilities consists of income incurred which relates to future accounting periods.17 Changes in working capital2023
DKK2022
DKKIncrease/decrease in inventories(689,544)620,431Increase/decrease in receivables5,464,262(6,428,027)Increase/decrease in trade payables etc.(9,919,960)13,867,746Other changes0119,884(5,145,242)8,180,03418 Unrecognised rental and lease commitments2023
DKK2022
DKKTotal liabilities under rental or lease agreements until maturity 1,811,7532,480,28714 Unrecognised rental and lease commitments2023
DKK2022
DKKTotal liabilities under rental or lease agreements until maturity 1,806,3032,475,34819 Contingent liabilitiesThe Parent and the Danish subsidiaries participate in a Danish joint taxation
arrangement in which DKT A/S serves as the administration company.
According to the joint taxation provisions of
the Danish Corporation Tax Act, the Parent and the Danish subsidiaries are therefore liable for
income taxes etc. for the jointly taxed entities, and also for obligations, if any, relating to the withholding of tax on
interest, royalties and dividends for the jointly
taxed entities. The jointly taxed entities' total known net liability
under the joint taxation arrangement is
disclosed in the administration company's financial statements.15 Contingent liabilitiesThe Entity serves as the administration company in a Danish joint
taxation arrangement. According to the joint
taxation provisions of the Danish Corporation Tax Act, the Entity
is therefore liable for income taxes etc. for the
jointly taxed entities, and also for obligations, if any, relating to
the withholding of tax on interest, royalties and
dividends for these entities.20 Non-arm’s length related party transactionsOnly non-arm's length related party transactions are disclosed in the annual report. No
such transactions were conducted during the financial year.21
Group relationsName and registered office of the Parent preparing consolidated financial statements for the largest group:
Eos Finco Sàrl, Rue Albert Borschette 4, 1246 Luxembourg, LuxembourgThe consolidated financial statements of BTV Multimedia GmbH may be ordered at this address:
Eos Finco Sàrl, Rue Albert Borschette 4, 1246 Luxembourg, Luxembourg22 SubsidiariesRegistered inDansk Kabel Teknik, DKT ABSwedenDKT Connect A/SDenmarkDKT Fibrecom Ltd.UK-3863803458004116362931556012301797578699513510918965884165445686370289557-325192432519240-5082894273017-3764728013 Provisions for investments in group enterprisesThe provision relates to negative equity in the subsidiaries.16 Assets charged and collateralAs security for bank commitment, a business charge at the amount of DKK 42,875 thousand has been
issued with security in claims, inventories, intellectual rights and fixtures and fittings, tools and
equipment.This annual report has been prepared in accordance with the provisions of the Danish Financial Statements Act
governing reporting class C enterprises (medium).The accounting policies applied to these consolidated financial statements and parent financial statements are consistent with those applied last year.falseRecognition and measurementAssets are recognised in the balance sheet when it is probable as a result of a prior event that future economic
benefits will flow to the Entity, and the value of the asset can be measured reliably.
Liabilities are recognised in the balance sheet when the Entity has a legal or constructive obligation as a
result of a prior event, and it is probable that future economic benefits will flow out of the Entity, and the
value of the liability can be measured reliably.
On initial recognition, assets and liabilities are measured at cost. Measurement subsequent to initial
recognition is effected as described below for each financial statement item.
Anticipated risks and losses that arise before the time of presentation of the annual report and that confirm
or invalidate affairs and conditions existing at the balance sheet date are considered at recognition and
measurement.
Income is recognised in the income statement when earned, whereas costs are recognised by the amounts
attributable to this financial year. <br />Consolidated financial statementsThe consolidated financial statements comprise the Parent and the group enterprises (subsidiaries) that are controlled by the Parent. Control is achieved by the Parent, either directly or indirectly, holding more than 50% of the voting rights or in any other way possibly or actually exercising controlling influence.
Enterprises in which the Group, directly or indirectly, holds between 20% and 50% of the voting rights and exercises significant, but not controlling, influence are regarded as associates.<br />Basis of consolidationThe consolidated financial statements are prepared on the basis of the financial statements of the Parent and its subsidiaries. The consolidated financial statements are prepared by combining uniform items. On consolidation, intra-group income and expenses, intra-group accounts and dividends as well as profits and losses on transactions between the consolidated enterprises are eliminated. The financial statements used for consolidation have been prepared applying the Group’s accounting policies.
Subsidiaries’ financial statement items are recognised in full in the consolidated financial statements.
Investments in subsidiaries are offset at the pro rata share of such subsidiaries’ net assets at the acquisition date, with net assets having been calculated at fair value.Foreign currency translationOn initial recognition, foreign currency transactions are translated applying the exchange rate at the
transaction
date. Receivables, payables and other monetary items denominated in foreign currencies that
have not been
settled at the balance sheet date are translated using the exchange rate at the balance
sheet date. Exchange
differences that arise between the rate at the transaction date and the rate in effect
at the payment date, or the
rate at the balance sheet date, are recognised in the income statement as
financial income or financial expenses.
When recognising foreign subsidiaries and associates that are independent entities, the income statements
are translated at average exchange rates for the months that do not significantly deviate from the rates at
the
transaction date. Balance sheet items are translated using the exchange rates at the balance sheet date. Goodwill is considered belonging to the independent foreign entity and is translated using the exchange
rate at the
balance sheet date. Exchange differences arising out of the translation of foreign subsidiaries’
equity at the
beginning of the year at the balance sheet date exchange rates and out of the translation of income statements
from average rates to the exchange rates at the balance sheet date are recognised directly in the translation reserve in equity.
Exchange adjustments of outstanding accounts with independent foreign subsidiaries, which are considered
part of the total investment in the subsidiary in question, are recognised directly in the translation reserve in equity.When recognising foreign subsidiaries that are integral entities, monetary assets and liabilities are
translated
using the exchange rates at the balance sheet date. Non-monetary assets and liabilities are
translated at the
exchange rate at the time of acquisition or the time of any subsequent revaluation or writedown.
The items of the
income statement are translated at the average rates of the months; however, items
deriving from non-monetary
assets and liabilities are translated using the historical rates applicable to the
relevant non-monetary items.Gross profit or lossGross profit or loss comprises revenue, changes in inventories of finished goods and work in progress, own
work capitalised, other operating income, costs of raw materials and consumables and external expenses.RevenueThe Company has chosen IAS 18 as interpretation for revenue recognition.
Income from the sale of goods for resale and finished goods, is recognised in revenue when the most
significant rewards and risks have been transferred to the buyer and provided the income can be
measured reliably and payment is expected to be received. The date of the transfer of the most
significant rewards and risks is based on standardised terms of delivery based on Incoterms® 2010.
Revenue is measured at the fair value of the agreed consideration excluding VAT and taxes charged on
behalf of third parties. All discounts and rebates granted are recognised in revenue.Own work capitalisedOwn work capitalised comprises staff costs and other costs incurred in the financial year and recognised in
cost for proprietary intangible assets and property, plant and equipment.Other operating incomeOther operating income comprises income of a secondary nature as viewed in relation to the Entity’s primary
activities, including profit from the sale of intangible assets and property, plant and equipment, and salary refunds .Cost of salesCost of sales comprises goods consumed in the financial year measured at cost, adjusted for normal inventory
writedowns.Costs of raw materials and consumablesCosts of raw materials and consumables comprise the consumption of raw materials and consumables for
the
financial year after adjustment for changes in inventories of these goods from the beginning to the end
of the
year. This item includes shrinkage, if any, and normal writedowns of the relevant inventories.Other external expensesOther external expenses include expenses relating to the Entity’s ordinary activities, including expenses for
premises, stationery and office supplies, marketing costs, etc. This item also includes writedowns of
receivables recognised in current assets.Staff costsStaff costs comprise wages and salaries, and social security contributions, pension contributions, etc
. for entity
staff.Depreciation, amortisation and impairment lossesDepreciation, amortisation and impairment losses relating to plant and equipment and intangible
assets comprise depreciation, amortisation and impairment losses for the financial year, and gains and
losses from the sale of intangible assets and plant and equipment.Income from investments in group enterprisesIncome from investments in group enterprises comprises the pro rata share of the individual enterprises’ profit/loss after full elimination of intra-group profits or losses.
Other financial incomeOther financial income comprises dividends etc. received on other investments, interest income, including
interest income on receivables from group enterprises, net capital or exchange gains on securities, payables
and transactions in foreign currencies, amortisation of financial assets, and tax relief under the Danish
Tax Prepayment Scheme etc.Other financial expensesOther financial expenses comprise interest expenses, including interest expenses on payables to group
enterprises, net capital or exchange losses on securities, payables and transactions in foreign currencies,
amortisation of financial liabilities, and tax surcharge under the Danish Tax Prepayment Scheme etc.Tax on profit/loss for the yearTax for the year, which consists of current tax for the year and changes in deferred tax, is recognised in the
income statement by the portion attributable to the profit for the year and recognised directly in equity by
the
portion attributable to entries directly in equity.The Parent is jointly taxed with all of its Danish group enterprises. The current Danish income tax is allocated
among
the jointly taxed entities proportionally to their taxable income (full allocation with a refund
concerning tax losses).GoodwillGoodwill is the positive difference between cost and fair value of assets and liabilities arising from
acquisitions. Goodwill is amortised straight-line over its estimated useful life, which is fixed based on the experience gained by
Management for each business area. Useful lives are reassessed annually. The amortisation periods
used are 10 years.
Goodwill is written down to the lower of recoverable amount and carrying amount.<br />Intellectual property rights etc.Intellectual property rights etc. comprise development projects completed and in progress with related
intellectual property rights, acquired intellectual property rights and prepayments for intangible assets.Development projects on clearly defined and identifiable products and processes, for which the technical rate
of utilisation, adequate resources and a potential future market or development opportunity in the enterprise
can be established, and where the intention is to manufacture, market or apply the product or process in
question, are recognised as intangible assets. Other development costs are recognised as costs in the income
statement as incurred. When recognising development projects as intangible assets, an amount equalling
the costs incurred less deferred tax is taken to equity in the reserve for development costs that is reduced
as the development projects are amortised and written down.
The cost of development projects comprises costs such as salaries and amortisation that are directly and
indirectly attributable to the development projects.
Indirect production costs in the form of indirectly attributable staff costs and amortisation of intangible
assets and depreciation on property, plant and equipment used in the development process are recognised
in
cost based on time spent on each project.
Completed development projects are amortised on a straight-line basis using their estimated useful lives
which are determined based on a specific assessment of each development project. If the useful life cannot
be estimated reliably, it is fixed at 10 years. For development projects protected by intellectual property
rights,
the maximum period of amortisation is the remaining duration of the relevant rights. The amortisation
periods
used are 3-5 years. Intellectual property rights acquired are measured at cost less accumulated amortisation. Patents are
amortised
on a straight-line basis over their remaining duration, and licences are amortised on a straight-line basis over the term of the agreement.
Intellectual property rights etc. are written down to the lower of recoverable amount and carrying amount.Property, plant and equipmentPlant and machinery, and other fixtures and fittings, tools and equipment are
measured at
cost less accumulated depreciation and impairment losses.
Cost comprises the acquisition price, costs directly attributable to the acquisition and preparation costs of
the
asset until the time when it is ready to be put into operation.
The basis of depreciation is cost less estimated residual value after the end of useful life. Straight-line
depreciation is made on the basis of the following estimated useful lives of the assets:Useful life
Plant and machinery5Other fixtures and fittings, tools and equipment3Estimated useful lives and residual values are reassessed annually.
Items of property, plant and equipment are written down to the lower of recoverable amount and carrying
amount.Investments in group enterprisesInvestments in group enterprises are recognised and measured in the parent financial statements according to the equity
method.
This means that investments are measured at the pro rata share of the enterprises’ equity value plus
unamortised goodwill and plus or minus unrealised intra-group profits or loss. Reference is made to the above
section on
business combinations for more details about the accounting policies applied to acquisitions of
investments in
group enterprises.
Group enterprises with negative equity value are measured at DKK 0. Any receivables from these enterprises
are written down to net realisable value based on a specific assessment. If the Parent has a legal
or constructive
obligation to cover the liabilities of the relevant enterprise, and it is probable that such
obligation will involve a
loss, a provision is recognised that is measured at present value of the costs
necessary to settle the obligations at
the balance sheet date.
Upon distribution of profit or loss, net revaluation of investments in group enterprises is transferred to
the reserve for net revaluation according to the equity method in equity.
Goodwill is the difference between cost of investments and fair value of the pro rata share of assets and liabilities arising
from
acquisitions. Goodwill is amortised straight-line over its estimated useful life, which is fixed based on the
experience gained by Management for each business area. Useful lives are reassessed annually. The amortisation periods
used are 8 years.
Investments in group enterprises are written down to the lower of recoverable amount and carrying amount.
InventoriesInventories are measured at the lower of cost using the FIFO method and net realisable value.
Cost consists of purchase price plus delivery costs.
Indirect production costs comprise indirect materials and labour costs, costs of maintenance of, depreciation
on machinery, factory buildings and equipment used in the manufacturing process, and costs of factory administration and management. Finance costs are not included in cost.
The net realisable value of inventories is calculated as the estimated selling price less completion costs and
costs incurred to execute sale.ReceivablesReceivables are measured at amortised cost, usually equalling nominal value, less writedowns for bad and
doubtful debts.Deferred taxDeferred tax is recognised on all temporary differences between the carrying amount and the tax-based
value of
assets and liabilities, for which the tax-based value is calculated based on the planned use of each
asset.
However, no deferred tax is recognised for amortisation of goodwill disallowed for tax purposes and
temporary
differences arising at the date of acquisition that do not result from a business combination and
that do not have
any effect on profit or loss or on taxable income.
Deferred tax assets, including the tax base of tax loss carryforwards, are recognised in the balance sheet at
their estimated realisable value, either as a set-off against deferred tax liabilities or as net tax assets.Tax payable or receivableCurrent tax payable or receivable is recognised in the balance sheet, stated as tax computed on this year's
taxable income, adjusted for prepaid tax.<br />Joint taxation contributions payable or receivable Current joint taxation contributions payable or receivable are recognised in the
balance sheet, stated as tax computed on this year's taxable income, adjusted for
prepaid tax. For tax losses, joint taxation contributions receivable are only recognised if such losses are
expected to be used under the joint taxation arrangement.PrepaymentsPrepayments comprise incurred costs relating to subsequent financial years. Prepayments are measured at
cost.CashCash comprises bank deposits.Other provisionsOther provisions comprise anticipated costs of non-recourse guarantee commitments, returns, loss on
contract work in progress, decided and published restructuring, etc.
Other provisions are recognised and measured as the best estimate of the expenses required to settle the
liabilities at the balance sheet date. Provisions that are estimated to mature more than one year after the
balance sheet date are measured at their discounted value.
Other financial liabilitiesOther financial liabilities are measured at amortised cost, which usually corresponds to nominal value.Deferred incomeDeferred income comprises income received for recognition in subsequent financial years. Deferred income
is measured at cost.Cash flow statementThe cash flow statement shows cash flows from operating, investing and financing activities, and cash
and cash equivalents at the beginning and the end of the financial year.
Cash flows from operating activities are presented using the indirect method and calculated as the operating
profit/loss adjusted for non-cash operating items, working capital changes, and financial income, financial expenses and income tax paid.
Cash flows from investing activities comprise payments in connection with acquisition and divestment of
enterprises, activities and fixed asset investments, and purchase, development, improvement and sale,
etc. of intangible assets and property, plant and equipment.
Cash flows from financing activities comprise changes in the size or composition of the contributed capital
and related costs, and the raising of loans, repayments of interest-bearing debt, including lease liabilities, purchase of treasury shares and payment of dividend.
Cash and cash equivalents comprise cash.The cash flow statement shows cash flows from operating, investing and financing activities, and cash
and cash equivalents at the beginning and the end of the financial year.
Cash flows from operating activities are presented using the indirect method and calculated as the operating
profit/loss adjusted for non-cash operating items, working capital changes, and financial income, financial expenses and income tax paid.
Cash flows from investing activities comprise payments in connection with acquisition and divestment of
enterprises, activities and fixed asset investments, and purchase, development, improvement and sale,
etc. of intangible assets and property, plant and equipment.
Cash flows from financing activities comprise changes in the size or composition of the contributed capital
and related costs, and the raising of loans, repayments of interest-bearing debt, including lease liabilities, purchase of treasury shares and payment of dividend.
Cash and cash equivalents comprise cash.2024-07-11Anthony William Joseph Basham