Columbus A/S

Aiming towards

new heights

Annual Report 202

Columbus A/S |

CVR no. 13 22 83 45 AI generated image

Financial Statements Governance Our business The big perspective

Annual Report 2023

Financial Statements Governance Our business The big perspective

Management Review

The big perspective

Who we are 4

Equity story 5

Highlights 2023 6

Chairman & CEO letter 7

Key figures and ratios 9

2023 financial performance 10

Acquisitions in new growth areas 16

Outlook for 2024 17

Our business

Our strategy 19

Market trends 25

Our core business services 26

Business model 28

People in Columbus 29

Customer cases 32

Governance governance

Corporate governance 37

Sustainability 43

Risk management 47

Risk issues and actions 49

Group overview 50

Board of Directors 51

Executive Board 54

Shareholder information 55

Financial statements

Statement of comprehensive income 58

Balance sheet 59

Statement of changes in equity - Group 60

Statement of changes in equity – Parent company 61

Cash flow 62

Notes 63

Statement by management on the Annual Report 115

Independent Auditor’s Reports 116

Contents

Sustainability

From strategy to action

Read about our

progress in

sustainability

Surpassing our

organic growth

expectations

Read the letter from the

Chairman of the Board and

the CEO

& President

New Heights

Continuing our strong

growth path

Read about our

strategy

New Heights

Annual Report 2023

The big

perspective

Who we are

Equity sto

ry 5

Financial highlights 2023

Chairman & CEO letter

Key figures and ratios

2023 financial performance: Continued solid organic growth

Acquisitions in new growth areas

Outlook for 202

4 17

Financial Statements Governance Our business The big perspective

Columbus helps

ambitious

companies

transform, maximize,

and futureproof their

business digitally

Who we are

Global digital consultancy dedicated to solving complex industry challenges

for customers in the manufacturing, retail & distribution, food &

beverage,

and life science industries.

Annual Report 2023

Financial Statements Governance Our business The big perspective

Based on the leading position in the Nor-

dics and UK within Cloud ERP and digital

commerce in our key industries; food &

beverage, retail & distribution, manufactur-

ing and life science Columbus will con-

tinue to create value to its shareholders.

Loyal customers, leveraging industry ex-

pertise, core business services in strong

ecosystem and an agile delivery setup il-

lustrates Columbus’ strength profile. Co-

lumbus’ highly skilled employees are the

engine in retaining high customer satisfac-

tion. Columbus has more than 1,100 cus-

tomers and a customer centric approach in

all aspects of the business.

With a defined growth strategy focused on

digital advisory and a growing market within

data for sustainability, AI and cyber security

Columbus is positioned to deliver on the

New Heights goals.

Shareholder value will be created organi-

cally by growing the business, improving

profitability and non-organically by identify-

ing relevant acquisition opportunities.

Annual Report 2023

Equity story – creating shareholder value

The Columbus share gives shareholders an exposure to growth markets

within

digital

transformation, ESG and technology trends such as AI and cybersecurity.

With a defined growth strategy focused on delivering digital advisory and solving

complex industry challenges for larger customers,

Columbus is positioned to

deliver on the growth ambitions of New Heights

Financial Statements Governance Our business The big perspective

ervices revenue split 2023

53%

20%

13%

2% 1%

Dynamics

Digital Commerce

Data & Analytics

Customer Experience & Engagement

Security

Strategy & Change

Other Local Business

Efficiency

Annual Report 2023

Financial highlights 2023

Revenue (DKK)

540m

corresponding to a

n increase of 11%.

Recurring revenue

(DKK) *

205

corresponding to an increase of

EBITDA (DKK)*

118

corresponding to an increase of 28%.

Profit

before tax (DKK)*

corresponding to an increase of 23%.

* For definition of Alternative Performance Measures, see page 114

67%

63%

2023 2022

Financial Statements Governance Our business The big perspective

Letter from the

Chairman of the Board and the CEO & President

Surpassing our

organic

growth

expectations

2024 marks the beginning of a new strategy

period

In 2023 w

e successfully concluded our three-

year strategy, Focus23

with the overall goal of

reaching 10%

profitable organic growth annu-

ally

by 2023. We surpassed these expecta-

tions delivering

growth of 11%, and 15% ad-

justed for currency and acquisition

During the past three years, Columbus

has

streamlined the

organization

and expanded the

service offering to support enterprise

compa-

nies

in their digital transformation as a lifetime

partner.

Now it is time to enhance our profita-

bility

while continuing to grow our topline.

We aim to continuously grow the top line by

10% annually, and at the same time we will

improve profitability to an EBITDA margin of

15% by the end of 2026.

Future growth will be driven by four strategic

initiatives covering both organic and acquisi-

tive opportunities, and we are already well

underway with the acquisition of ICY Security

(Q2 2023) and Endless Gain (Q1 2024) and

by our growing position in the life science in-

dustry. The strategic initiatives are explained

in detail in the section about New Heights on

page 22.

Organic growth has been our strategic benchmark for the past three

years

, and in 2023 we achieved growth of 11% surpassing our Focus23

long

-term target of 10%. In line with expectations, we also increased

profitability to an EBITDA margin of 7.6%

and launched a new three-

year

growth strategy, New Heights. We are satisfied with the results in

2023 and we expect the positive development to continue in 2024.

Annual Report 2023

Financial Statements Governance Our business The big perspective

Adding Endless Gain

With the acquisition of Endless Gain Ltd,

Columbus will be able to provide a com-

plete offering within digital commerce.

Endless Gain is a leading conversion rate

optimization consultancy focused on en-

hancing the digital customer experience in

all of Columbus' key markets. Endless

Gain adds 25 highly skilled consultants lo-

cated in the UK and India to Columbus’

global Digital Commerce team consisting

of more than 250 consultants.

Entering Life Science

In 2023, we took another strategic step by

entering a new growth industry – life sci-

ence. We already serve customers in the

industry which has great synergies with

our existing customers in the food manu-

facturing industry. Both require efficient

and effective supply chain management to

ensure the quality and tracking of their

products. In the future we will be targeting

our sales activities and developing new

services for the life science industry.

Accelerating our sustainability efforts

2023 was also the year where our focus

on sustainability materialized and we

made significant progress in terms of our

own ESG compliance with a Double Mate-

riality Assessment, actions to reduce our

CO2 emissions, and Diversity, Equity & In-

clusion initiatives.

We also took an important step towards

our commercial focus with new offerings

addressing our customers’ challenges with

taking control of their ESG data and trans-

forming them into ESG metrics. As a digi-

tal consultancy, we are experts in data and

ERP systems and can help companies au-

tomate ESG data to not only comply with

the CSRD requirements, but also to follow

progress in real time being able to act on it

and ultimately accelerate their sustainable

performance.

AI-advisory will grow in the future

AI will transform the way we work at all

levels and in all sectors. While we are still

in the early phase of fully understanding

the impact of AI, there is no doubt that the

potential within AI is massive – both for

our customers and Columbus.

In 2023, we initiated a global AI Innovation

Program with the purpose of exploring

new growth potential and increasing busi-

ness efficiency for our customers.

Gaining market share in a reluctant

market

Throughout 2023, we have acted in a

nervous market affected by the

geopolitical turmoil. In some cases, we

have experienced longer decision pro-

cesses or projects being postponed or im-

plemented in phases. But despite the un-

derlying nervousness, we gained market

share and attracted new customers wel-

coming strong brands such as Nuuday,

Bavarian Nordic and 21st Bio from Den-

mark, Compass Group AB and Fristad

Workwear in Sweden, Jernia from Norway

and Origin Enterprise and Games work-

shop in the UK.

Our focus on larger customers and larger

engagements has turned out foresighted

for us. We have to a greater extent been

able to support our customers with multi-

ple services within our Business Lines, en-

hancing long-lasting customer relation-

ships.

Strong development in Q4 2023

In Q4 2023, revenue was DKK 414m, up

by 13% compared to the same period last

year and 16% adjusted for currency and

acquisitions. EBITDA was DKK 40m and

the EBITDA margin was 10%. The results

were generated by a positive development

in all business segments and especially

strong development in UK and Denmark.

In the UK we saw strong growth of 61% in

constant currency largely driven by a few

extraordinarily large projects. Denmark

also delivered a strong quarter growing

20% with a high activity level across all

Business Lines. Our largest Market Unit,

Sweden, grew by 16% in constant cur-

rency showing great momentum in a mar-

ket affected by a challenged economy. In

Norway, however, we saw a more mixed

picture during the year after a long period

of strong growth declining by 6% in con-

stant currency.

For 2023, Columbus delivered a total reve-

nue of DKK 1,540m (2022: DKK 1,389m)

and our EBITDA result was DKK 118m

(2022: DKK 92m), corresponding to an

EBITDA margin of 7.6% (2022: 6.6%).

Welcoming 2024

The first months of 2024 have been in line

with our positive expectations and for the

year we expect an organic revenue growth

of 8-10%, and an EBITDA margin of

9-10%.

We want to thank our employees for your

commitment and contribution to the results

and our business partners and sharehold-

ers for your support and trust in Columbus.

Annual Report 2023

Financial Statements Governance Our business The big perspective

The strong underlying development in Q4 2023 is expected to continue

in 2024. However, we closely monitor the external conditions as the

geopolitical uncertainty quickly could affect the market development.

Ib Kunøe

Chairman of the Board

After three years of streamlining the company, Columbus is

now ready to unfold the earnings potential and reach new

heights. We have the organization in place to roll out the initi-

atives of the EBITDA15 program to improve profitability.

Søren

Krogh Knudsen

CEO & President

Annual Report 2023

Financial Statements Governance Our business The big perspective

Key figures and ratios

DKK ´000

2023 2022 2021 2020 2019

Income related figures

Sale of services

1,475,056 1,317,042 1,210,291 1,183,857 1,417,652

Sale of products

64,899 72,392 68,893 79,360 103,082

Net revenue

1,539,955 1,389,434 1,279,184 1,263,217 1,520,734

Recurring

revenue % of total revenue 13.3% 13.8% 13.8% 14.9% 14.9%

EBITDA

117,534 91,830 89,307 100,885 157,263

EBIT

60,088 35,135 40,444 50,925 12,632

Net financial items

-20,750 -3,047 -3,410 -16,853 -10,733

Profit before tax

39,338 32,088 37,034 34,072 1,898

Profit after tax, continuing operations

23,762 29,903 43,547 23,663 -18,876

Profit after tax, discontinued

operations

3,127 -41,216 715,001 24,899 39,866

Profit after tax

26,889 -11,313 758,548 48,562 20,990

Balance sheet

Non

-current assets 852,442 796,222 833,808 987,440 1,127,381

Current assets

445,409 387,725 434,789 438,944 527,136

Assets classified as held for sale

0 0 0 214,481 0

Total assets

1,297,851 1,183,947 1,268,597 1,640,865 1,654,517

Group shareholder equity

716,829 706,405 740,980 712,421 665,354

Minority interests

0 0 0 3,184 3,126

Total liabilities

581,022 477,542 527,617 831,369 986,037

Total liabilities relating to assets

classified as held for sale

0 0 0 93,891 0

Total

equity and liabilities 1,297,851 1,183,947 1,268,597 1,640,865 1,654,517

201

9-2020 income statement is not restated and includes discontinued operations.

All 201

9-2021 balance sheet items include continuing and discontinued operations.

DKK ´000

2023 2022 2021 2020 2019

Investments in tangible assets

7,888 8,239 7,434 3,832 5,957

Cash flow

Cash flow from operating activities

76,954 27,431 -19,674 190,863 189,146

Cash flow from investing activities

-47,080 -37,987 754,434 -127,830 -106,370

Cash flow from financing activities

-15,894 -13,932 -844,922 -43,972 -45,853

Total net change in cash and cash

equivalents

13,980 -24,488 -110,162 19,061 36,923

Cash flow from continuing operations

13,980 -25,227 -84,738 -52,656 -13,141

Cash flow from discontinued

operations

0 739 -25,424 71,717 50,064

Total net

change in cash and cash

equivalents

13,980 -24,488 -110,162 19,061 36,923

Key ratios

EBITDA

-margin 7.6% 6.6% 7.0% 8.0% 10.3%

EBIT

-margin 3.9% 2.5% 3.2% 4.0% 0.8%

Equity ratio

55.2% 59.7% 58.4% 43.4% 40.2%

Return on equity

3.8% -1.6% 104.5% 7.0% 3.3%

Return on invested capital (ROIC)

9.6% 7.0% 7.6% 7.8% 12.4%

Number of shares

129,276 129,276 129,276 124,622 124,622

Average number of shares

129,276 129,276 128,192 124,622 123,012

Book value of equity per share

(BVPS) (DKK)

5.54 5.46 5.73 5.72 5.34

Earnings per share (EPS) from

continuing operations (DKK)

0.18 0.23 0.33 0.19 -0.16

Cash flow per share (DKK)

0.60 0.21 -0.15 1.53 1.54

Share price, end of period (DKK)

7.10 6.29 9.54 11.24 9.65

Average full

time employee for the

period

1,568 1,536 1,455 1,665 1,834

The key figures and financial

ratios above have been calculated in accordance with Danish Finance Society

“Recommendations & Financial Ratios”.

Annual Report 2023

Financial Statements Governance Our business The big perspective

Columbus’ revenue amounted to DKK

1,540m in 2023, corresponding to an in-

crease of 10.8%. EBITDA increased by

28.0% to DKK 118m.

Most Business Lines and Market Units

contributed to the revenue growth, espe-

cially our strategic Business Lines Data &

Analytics and Customer Experience & En-

gagement showed continued rapid growth.

Service revenue for 2023 ended at DKK

1,475m, corresponding to an increase of

12.0%. Product revenue decreased by

10.4% and follows Columbus expectations

of the continued shifting towards cloud-

based solutions.

Due to the significant currency headwind

in 2023, revenue ended in the low end of

the announced guidance of DKK 1,550 –

1,600. Columbus is primarily exposed to

currency fluctuations, especially in SEK

and NOK, which decreased significantly

compared to 2022. Consequently, total

revenue was negatively affected by DKK

86m. When adjusting for acquisitions and

currency, organic growth was 14.8%,

which is above the announced guidance of

8-12%.

In order to mitigate the currency effect, we

have increased our focus on contract prof-

itability on cross border deliveries. Espe-

cially Sweden and Norway were negatively

impacted by the development in curren-

cies.

EBITDA amounted to DKK 118m, equal to

7.6% EBITDA margin. This is in the low

end of the announced guidance of DKK

119-139m and EBITDA margin of 7.4 –

9%. EBITDA is slightly affected by the

negative currency, as the majority of the

income and cost are held in the same cur-

rency.

Development in Business Lines

Dynamics

Dynamics offers the full range of Microsoft

Dynamics 365 ERP services, spanning

services for supply chain, production,

finance, project control and HR. Our role is

to guide advise and support our customers

throughout their cloud transformation jour-

ney, enabling them to optimize their value

chain and drive business growth.

As the largest Business Line within Colum-

bus, Dynamics operates in all Market Units

Columbus. Columbus holds the distinction

of being the largest Microsoft Dynamics

ERP partner in Northern Europe and has

been part of the Microsoft Inner Circle for

over two decades.

In 2023, The Business Line increased ser-

vice revenue by 12.2%, with service reve-

nue amounting to DKK 779m for the year.

Since the merge of the D365 and Care

Business Lines in 2022, the Business Line

has seen a significant improvement in effi-

ciency due to better internal resource allo-

cation and improved collaboration.

Additionally, the utilization of resources in

India contributed to robust revenue growth

and an improved contribution margin.

The growth is primarily driven by the UK

and Denmark, both of which experienced

substantial acceleration in 2023.

2023 financial performance:

Continued solid organic growth

Service revenue split on Business Lines

DKK ´000

2023 2022 ∆%

Dynamics

778,901 693,988 12.2%

301,472 303,231 -0.6%

Digital Commerce

195,418 192,262 1.6%

Data & Analytics

77,233 59,653 29.5%

Customer Experience & Engagement

67,248 45,179 48.8%

Security

29,538 0 -

Strategy & Change

8,389 6,513 28.8%

Other Local Business

16,857 16,216 4.0%

Total sale of services

1,475,056 1,317,042 12.0%

Total sale of products

64,899 72,392 -10.4%

Total net revenue

1,539,955 1,389,434 10.8%

Annual Report 2023

Financial Statements Governance Our business The big perspective

Measured in constant currency, Dynamics

grew by 16.2%.

Columbus holds the distinction of being

the world’s largest independent partner for

Infor Cloud Solutions and M3, presented

as the M3 Business Line. As an Infor

Global Alliance partner, we support more

than 350 customers, assisting them with

new implementations, upgrade projects

and worldwide support services. The M3

Business Line collaborates with a number

of best-in-class partners, offering comple-

mentary software solutions to empower

our customers in their own digital transfor-

mations.

The M3 Business Line’s largest market is

in the Nordics. Additionally, we have

strong foothold in all other markets Colum-

bus operates.

In 2023, service revenue amounted to

DKK 301m, corresponding to a decrease

of 0.6%. This decline is primarily related to

a decline in SEK, since M3’s largest mar-

ket is in Sweden. However, when meas-

ured in constant currency, M3 grew by

4.7%. Throughout 2023, M3 continued its

focus on Cloud implementations and Care

services, both for new and existing solu-

tions.

Furthermore, the management intensified

efforts to optimize resource allocation

across Market Units, ensuring the right mix

of resources on projects. The strategic fo-

cus will continue in 2024.

Digital Commerce

Digital Commerce plays an important role

in helping leading retailers, wholesalers

and manufacturers improve their competi-

tive edge by modernizing and futureproof-

ing their customer facing digital channels

and commerce platforms.

Digital Commerce helps optimize the cus-

tomer journey and grow customers’ digital

business focusing on user experience

(UX), growth services and strategic advi-

sory. Digital Commerce holds a robust po-

sition particularly in the Swedish and Nor-

wegian markets.

In 2023, service revenue amounted to

DKK 195m compared to DKK 192m, corre-

sponding to a growth of 1.6%. The Busi-

ness Line has performed strongly in Swe-

den, UK, and Denmark while the Norwe-

gian market experienced a slowdown. Un-

favourable currency fluctuations negatively

impacted the growth by 8.1%. However,

when measured in constant currency, the

growth was 9.7%.

The Business Line expanded its

knowledge base further in 2023, both

through a successful graduate program

and by attracting new highly skilled senior

consultants. On 3 January 2024, Colum-

bus confirmed the acquisition of the UK-

based e-commerce consultancy Endless

Gain Ltd., adding 25 highly skilled consult-

ants located in the UK and India.

Data & Analytics

Data & Analytics is supporting our custom-

ers within Business Intelligence, Artificial

Intelligence and Machine Learning solu-

tions. We provide consultancy in develop-

ment of BI strategies, data management &

governance, BI platforms and user adop-

tions. Further, we have deepened our

experience within demand forecasting,

customer segmentation, supply chain opti-

mization and designing and building AI

and ML solutions.

Dynamics

Advice and implement

ERP

solutions and provide life-

time support in an ever-

green cloud environment.

Empowered by global re-

sources, local presence

and

strong

industry knowledge

12.2%

Service revenue growth

639

Average FTE

Enable digital

transformation of customers

globally with proven exper-

tise in implementing,

supporting and executing

M3 projects, supported by

strong industry focus

-0.6%

Service revenue growth

265

Average FTE

Digital

Commerce

Improve the competitive

edge of leading retailers,

wholesalers, manufactur-

ers, and brands by modern-

izing and futureproofing

their customer facing digital

channels and commerce

platforms

1.6%

Service revenue growth

216

Average FTE

Data & Analytics

Help ambitious companies

define and execute an AI

enablement strategy for

data-driven decision-

making

to secure competitiveness

with a focus on data, busi-

ness and people

29.5%

Service revenue growth

Average FTE

Annual Report 2023

Financial Statements Governance Our business The big perspective

Data & Analytics operates in the Nordic

countries, the UK as well as in the US. We

have a strong market position in Denmark.

The Business Line is realizing a large por-

tion of revenue by offering cross Business-

Line solutions to existing customers.

In 2023, service revenue amounted to

DKK 77m, corresponding to a growth of

29.5% compared to last year. The growth

is mainly driven by organizations embark-

ing on their cloud journey and customers

investing in a Common Data Platform.

The Business Line is starting to see in-

creased sales arising from existing cus-

tomers, particularly former ERP customers

and returning long-term customers. Deal

sizes are increasing, with projects becom-

ing larger in scope, especially in Norway

and Sweden.

Customer Experience & Engagement

(CXE) is creating value to our customers

through development of their own end-

customer experience with specific atten-

tion to customer and prospect manage-

ment as well as service engagements. Our

services span across implementation of

new business solutions, delivery manage-

ment and process optimization to ensure

high value creation for our customers.

CXE’s core markets are the UK, Norway

and Sweden and in 2023 CXE expanded

into the Danish market. CXE actively par-

ticipates in cross Business Line projects,

with a high degree of projects based on

Microsoft Dynamics solutions.

In 2023, the service revenue amounted to

DKK 67m, corresponding to a growth of

48.8%. The growth is mainly driven by the

Swedish and UK markets as well as from

the expansion into the Danish market. The

large presence in Sweden and Norway

has impacted the Business Line negatively

due to weakened currencies. However,

when measured in constant currencies,

the growth was 57.7%.

Security

The Security Business Line was estab-

lished with the acquisition of ICY Security

in April 2023. ICY Security stands out a

one of the largest consultancies and im-

plementation companies in the Nordics

specializing in Identity & Access Manage-

ment (IAM) with many years of experience

within cyber security.

With the acquisition of ICY Security, Co-

lumbus has expanded its business to meet

customers’ increasing demand for secure

access to business-critical data. The focus

on Identity & Access Management is a

natural step for many of Columbus’ cus-

tomers that are looking to raise the organi-

sation's cyber security level.

The Security Business Line has during

2023 been well integrated into Columbus,

and has started to explore Columbus’ ex-

isting customer base to cross sell. At the

end of 2023, Security initiated a planned

expansion into the Norwegian market,

which will materialize during Q1 2024.

In 2023, the service revenue amounted to

DKK 30m. As 2023 is the first year Secu-

rity is part of Columbus, no comparative

figures exist. The service revenue is lower

than expected for 2023, however, man-

agement maintains their positive growth

expectations for Security.

Customer

Experience &

Engagement

Help our customers create

new value through the posi-

tive engagement and devel-

opment of their customer

experience, specifically fo-

cused on customer man-

agement and service en-

gagements within the full

omnichannel journey

48.8%

Service revenue growth

Average FTE

Security

Help our customers build

IAM competencies to re-

duce cybersecurity risk and

cost while becoming more

efficient and agile in execut-

ing business initiatives

Service revenue growth

Average FTE

Strategy & Change

Support our customers in

defining and executing a

profitable transformation

strategy to achieve tangible

business outcomes

28.8%

Service revenue growth

Average FTE

Annual Report 2023

Financial Statements Governance Our business The big perspective

Strategy & Change

Strategy and Change was founded as a

Business Line in 2022, and has now

grown to 14 people across Sweden, Nor-

way and the UK. In 2023, Service revenue

amounted to DKK 8m.

During 2023, Strategy & Change has

grown to be play a key part in large pro-

jects across Columbus’ Business Lines by

providing digital advisory and transfor-

mation strategy rather than doing

standalone projects. This has led to the

decision to merge the Strategy & Change

Business Line into other Business Lines

from January 2024.

Development in Market Units

Revenue growth has been positive in most

markets in 2023 with currency affecting

some markets significantly.

The Swedish Market Unit, which is our

largest market, delivered 6.1% growth in

service revenue compared to 2022. The

service revenue for 2023 amounted to

DKK 557m. The revenue arising from the

Swedish market is negatively impacted by

the weakening of SEK, which impacts the

revenue by DKK 48m, corresponding to an

organic growth in Sweden of 14.4%.

All Columbus Business Lines are present

in the Swedish market, except for Security.

The growth is spread across all Business

Lines.

The Danish Market Unit has grown by

31.2% compared to last year, with service

revenue amounting to DKK 332m.

All Columbus Business Lines are repre-

sented in the Danish Market, with Dynam-

ics being the largest Business Line. Part of

the strong growth in the market comes

from the acquisition of ICY Security with a

service revenue of DKK 30m in 2023. Or-

ganic growth for the Danish market was

17.1%.

Our Norwegian Market Unit has faced a

combination of challenged market condi-

tions as well as headwind from a weak-

ened NOK resulting in a decline in service

revenue of 10.6%. Isolated, currency af-

fect service revenue by DKK 31m. In

2023, service revenue amounted to DKK

234m, corresponding to an organic growth

of 0.4%.

Most Business Lines are present in the

Norwegian Market Unit. The largest con-

tributor is the Dynamics Business Line.

The development in the year comprised of

growth from M3, Data & Analytics and

Customer Experience & Engagement. The

development in Dynamics was flat, and

Digital Commerce declined. DC was signif-

icantly affected by the slowdown in the Re-

tail sector.

The UK Market Unit has delivered 43.4%

growth in 2023, with service revenue

amounting to DKK 229m. The revenue is

affected negatively by currency of DKK

4m. The largest Business Line in the mar-

ket is Dynamics, which showed strong

growth in 2023. Further, both Digital Com-

merce, Data & Analytics as well as

Customer Experience and Engagement all

showed double digit growth figures.

The US Market Unit accounted for DKK

83m in service revenue, corresponding to

a growth of 2.9%. The revenue is nega-

tively affected by DKK 2m in currency, cor-

responding to an organic growth of 4.4%.

The US Market Unit is mainly comprised of

the Business Lines Dynamics, M3 and

Data & Analytics.

Currency Impact

Columbus has been impacted extraordi-

narily by currency in 2023, due to the

weakening of SEK and NOK. Sweden is

Columbus’ largest market, and the SEK

has decreased by 7.7% on average in

2023 compared to 2022. Norway is the

third largest market in Columbus and the

NOK decreased by 11.6% on average in

2023 compared to 2022.

The exposure to currency fluctuations is

mainly a risk on translation to the groups’

functional currency, DKK, since most in-

come and expenses are held in the same

currency. Cross border delivery has in-

creased in order to utilize resources most

efficiently across geographies. This is a

key value driver both for efficiency pur-

poses, and for Columbus to deliver the

right competencies for our customers, no

matter where in the world they are located.

Service revenue split in Market Units

DKK ´000

2023 2022 ∆%

Sweden

557,072 525,024 6.1%

Denmark

331,809 252,862 31.2%

Norway

234,391 262,271 -10.6%

229,317 159,916 43.4%

82,608 80,284 2.9%

Other

35,531 32,337 9.9%

GDC

4,328 4,348 -0.5%

Total sale of services

1,475,056 1,317,042 12.0%

Total sale of products

64,899 72,392 -10.4%

Total net revenue

1,539,955 1,389,434 10.8%

Annual Report 2023

Financial Statements Governance Our business The big perspective

Growth in recurring revenue

Recurring revenue grew by 6% to DKK

205m. The recurring revenue has been a

stable part of the total revenue over the

past years, with recurring revenue consti-

tuting 13-15%. In 2023 recurring revenue

increased slightly less than the rest of the

business, resulting in a slightly lower part

of total revenue of 13%. Management is

focused on keeping the recurring revenue

a stable and growing part of the total reve-

nue.

Efficiency

Efficiency is a key performance indicator

for Columbus and remains a strong focus

for the management to continue improv-

ing.

The efficiency in 2023 was ranging be-

tween 65% and 70%, with an average for

the year of 67% compared to 63% in 2022.

This is considered to be a significant im-

provement and an important factor in in-

creasing the earnings.

The KPI is affected by national vacation

periods during the year, which is the main

factor for the KPI to fluctuate during the

year. Another factor impacting the KPI is

the Young Professionals Programme with

the purpose to grow new talent. New start-

ers generally have a lower efficiency dur-

ing the initial period of employment, and

gradually increasing over time.

EBITDA development

EBITDA amounted to DKK 118m in 2023,

compared to DKK 92m in 2022, corre-

sponding to an increase of 28.0%.

The EBITDA margin grew by 1 percentage

point, ending at 7.6%.

EBITDA is mainly impacted by our ability

to deliver profitable projects and keeping a

healthy efficiency. Gross profit margin de-

creased slightly from 90.3% to 89.0%. The

development is mainly related to an in-

creased use of subcontractors.

Staff expenses increased by 6.4%

amounting to DKK 1,103m in 2023. The in-

crease is in line with the increase in reve-

nue.

Other external costs increased by 7.1%,

which is mainly related to slightly in-

creased IT expenses.

EBITDA is also affected by other operating

income which is positively affected with

DKK 3m mainly related to adjustment of

earn-out provisions.

Profit before tax

Profit before tax amounted to DKK 39m

compared to DKK 32m in 2022, corre-

sponding to an increase of 22.6%.

The increase is mainly affected by in-

creased operational efficiency, but nega-

tively affected by increased financial ex-

penses. Financial expenses increased to

DKK 24m compared to DKK 6m in 2022,

primarily from loss on currency as well as

increased interest expenses from loans

and fair value adjustment of contingent

consideration.

Discontinued operations

In 2023 discontinued operations com-

prised mainly of received considerations

from previous divestments, which had

been fully written off. Discontinued opera-

tions further comprise expenses related to

aftermath from previous divestments.

For further information, please see note 27

and 28.

Cash

Cash flow from operating activities was

positive with DKK 77m, mainly related to

the significantly improved positive cash

flows from the operating profit. Changes in

net working capital affect the cash flow

negatively, and is mainly related to in-

creased trade receivables, which is linked

to the growth in the business. Cash flow

from investing activities was negative with

DKK 47m mainly related to investment in

M&A activities, internal IT applications as

well as purchase of tangible assets.

Cash flow from financing was negative

with DKK 16m mainly related to proceeds

from borrowings, repayment of overdraft

facilities, payment of dividend and repay-

ment of lease liabilities.

Equity

Columbus’ equity has increased by DKK

10m since 31 December 2022, to DKK

717m, primarily due to the positive net re-

sult as well as payment of dividend. The

net result comprised a profit of DKK 24m

from the continuing business and a profit

of DKK 3m from the discontinued busi-

ness. With a total equity of DKK 717m,

Columbus has a solvency of 55% (2022:

60%).

Recurring revenue

Efficiency

163

153

205

192

2023 2022

Cloud

Columbus Care contracts

Subscriptions

67%

70%

65% 65%

62%

64%

61%

63%

Q1 Q2 Q3 Q4

2023 2022

Annual Report 2023

Financial Statements Governance Our business The big perspective

Events after the reporting period

There has been no events after the bal-

ance sheet date to be accounted for.

On 1 January 2024 Columbus confirmed

the acquisition of Endless Gain Ltd.

Please refer to note 21 for more infor-

mation about the business combination.

In January 2024, the Swedish city court

ruled judgement and awarded damages

and costs to Columbus in the range of

SEK 43-45m. This was related to a court

case against the Swedish M3 consultancy

company M3CS AB and its founders, in a

dispute about disloyal behaviour, breach

of IP and other unlawful acts.

On 21 February 2024, M3CS AB fulfilled

the judgement by payment of SEK 44.8m.

The judgement against M3CS settled the

majority of a separate legal case that Co-

lumbus had against the former minority

shareholders in iStone in 2022. The com-

bined gain to be accounted for in Q1 2024

will be around DKK 20m after deducting

the receivable from the former minority

shareholders and related cost.

Annual Report 2023

Financial Statements Governance Our business The big perspective

ICY Security – adding Cybersecurity to

the service portfolio

In April 2023, Columbus acquired the Dan-

ish company ICY Security.

ICY Security is among the largest consul-

tancies and implementation companies in

the Nordics within Identity & Access Man-

agement (IAM), Privileged access Man-

agement (PAM), and CIAM (Customer

Identity & Access Management). ICY Se-

curity employs 50 highly skilled consult-

ants with a customer base of more than 70

customers.

The acquisition extends Columbus’ offer-

ings following the increased need for cyber

security services to secure access to busi-

ness-critical data. The focus on Identity &

Access Management is a natural step for

many of Columbus’ customers that are

looking to raise the organisation's cyber

security level.

Integration update

The operational integration has pro-

gressed as planned. ICY Security is now a

fully integrated Business Line in Colum-

bus, named Security.

From a business perspective, we have ex-

perienced that achieving the expected

business synergies is taking longer time

than initially expected. This is mainly due

to Columbus’ customer maturity and

readiness in terms of requesting ICY Se-

curity’s offerings.

As part of the integration plan, ICY Secu-

rity will be expanding its activities to the

Nordic markets during 2024. However, the

expansion is being executed faster than

the initial plan. Today, we are present in

Norwegian market with three employees

growing the operation and Sweden is in

the process of staffing up.

Next step

In 2024 all Danish activities will be gath-

ered at the Columbus headquarter which

we expect will make the corporation flour-

ish even further.

Looking ahead, we recognize that the full

realization of acquisition synergies unfolds

over an extended period of time, and we

remain committed to leveraging the syner-

gies to enhance the business.

Endless Gain – enhancing the digital

customer experience

In November 2023, Columbus submitted a

conditional offer to acquire the UK-based

e-commerce consultancy Endless Gain.

On 2 January 2024, the acquisition was

confirmed.

Endless Gain is a leading conversion rate

optimization consultancy focused on en-

hancing the digital customer experience

for the UK retail industry. Endless gain

employs 25 highly skilled consultants, lo-

cated in UK and India. With a specialized

emphasis on the UK's retail sector, End-

less Gain has partnered with prestigious

brands such as Dreams, Jigsaw, Shark

Ninja and Moss Bros.

The acquisition of Endless Gain extends

Columbus’ offerings within digital com-

merce to offer conversion rate optimization

(CRO) and experimentation which is key in

effectively enhancing online customer ex-

perience.

Integration update

The overarching integration strategy is to

integrate the company swiftly with minimal

business disruption prioritizing sales ena-

blement and customer collaboration. The

integration is progressing as planned

within all areas such as operations, it-sys-

tems and information sharing. In addition,

collaboration and knowledge sharing was

supported by a joint kick-off in the begin-

ning of 2024.

The full integration is expected to be com-

pleted within the first quarter of 2024.

Next step

Columbus and Endless Gain are working

on capitalizing on the synergies and to lev-

erage the advantages presented by the

acquisition. Endless Gain’s next steps are

to focus on cross-sales with Digital Com-

merce, as well as other Columbus’ busi-

ness lines. Moreover, their aspiration is to

penetrate Scandinavian markets and or-

ganically grow the operation with Colum-

bus’ assistance.

Acquisitions in new growth areas

Annual Report 2023

Financial Statements Governance Our business The big perspective

During the strategy period Focus23 Co-

lumbus was deeply focused on building

the foundation for future growth. Based on

the implemented organizational changes,

a new backbone operational system

across the Group and the newly launched

three-year strategy, New Heights, Colum-

bus is ready to continue the growth jour-

ney and to increase focus on profitability

improvement. In 2024 we expect organic

growth of 8-10% and earnings improve-

ments through enhanced efficiency and fo-

cus on contract profitability.

In 2024 Columbus will further develop the

fast-growing Core Business Services: Data

& Analytics, Digital Commerce, Customer

Experience and Security which together

with our strong digital transformational

Business Lines Dynamics and M3 offer a

unique IT services delivery package to our

customers.

Besides the already strong foothold in the

industries, food, retail & distribution and

manufacturing, we have also life science

as a key focus industry.

Our commitment and continuous efforts to

improve earning is now part of Columbus’

new Strategy, New Heights. As part of the

new strategy, we established a dedicated

program named EBITDA15, where in-

creased focus on below listed areas will

support our mid-term aim to reach an

EBITDA of 15%:

• Continuous focus on efficiency

• Increasing use of Columbus’ service

centers

• Commercial excellence

• Leveraging of Columbus’ strong busi-

ness model

The outlook is subject to the general un-

certainties in our markets, such as the cur-

rent macro-economic conditions, higher

than normal exchange rate volatility and a

continuous geopolitical situation that may

impact the general business environment.

Although we continue to see a strong de-

mand for our digital advisory and services,

we do anticipate that some reluctance in

IT investments and the need to

divide projects up into “smaller bites” will

continue throughout 2024. If the general

uncertainties worsen during 2024, it may

impact the Group’s growth and margin

negatively.

Based on the financial performance in

2023 and the current order book and pipe-

line forecast, our full year guidance for

2024 is as follows:

Outlook for 2024

In line with Columbus’s newly launched strategy New H

eights we expect to

continue the growth journey in 2024 as well as

deliver steady earnings

improvements.

Outlook 2024

Realized 2023

Outlook 2023

Organic revenue growth

8-10%

14.8%

8-12%

EBITDA margin

9-10%

7.6%

7.4-9.0%

Annual Report 2023

Financial Statements Governance Our business The big perspective

A strong foundation for growth

New Heights strategy

Market trends

Our core business services

Business model

– creating customer value 28

People in Columbus

Annual Report 2023

Our

business

Financial Statements Governance Our business The big perspective

Annual Report 2023

Financial Statements Governance Our business The big perspective

Strong execution of Focus23

The strategic direction set with Focus23

was based on a need to consolidate and

focus our business while gearing up to ac-

celerate in the market.

We have achieved strong organic growth

for the past 2,5 years and are currently

outperforming our market, gaining market

share from competitors. Q3 2023 marked

the fulfilment of our commitment to the

10% organic growth target for the year,

which was further improved in Q4 deliver-

ing 16% organic growth adjusted for acqui-

sitions and divestments in constant

currencies. We close 2023 with an organic

growth of 15%.

Our customer base is transitioning toward

larger customers and larger engagements

as we have successfully continued the fo-

cus on key industries. We are increasingly

able to support customers with multiple

services from our portfolio as we take on

the role of digital partner and build lasting

relationships. 85% of our customer base

continue to do business with us year after

year. This adds stability to our business.

We have divested non-focus areas such

as our software business To-Increase and

have stepped out of the markets such as

Russia and the Baltics to focus on our

larger markets.

We have further specialized in our key in-

dustries and built strong relationships with

customers who act as flagship references

proving our ability to safely guide them

through change and implement new tech-

nology delivering value.

In addition, we have strengthened our

business model with a new operating

model with global delivery capacity and lo-

cal market presence, while increasing

transparency in our business with a new

global business platform. Thus, increasing

operational insight, cooperation, and ability

to differentiate in the market. This has also

created the foundation for more effective

operations. Despite seeing a positive trend

in our EBITDA margin ending 2023 at

7.6% up from 6.6% in 2022, we have not

improved our profitability fast enough.

A strong foundation for growth

With the Focus23 strategy, w

e have successfully turned our company to strong

growth

surpassing our organic growth targets of 10% - delivering 15% organic

growth

in 2023.

Annual Report 2023

Financial Statements Governance Our business The big perspective

16,1%

15,0%

15,8%

12,3%

14,5%

8,6%

3,7%

6,9%

11,0%

9,4%

4,8%

-7,6%

-6,1%

-12,2%

-6,3%

6,1%

Q4 2023Q3 2023Q2 2023Q1 2023Q4 2022Q3 2022Q2 2022Q1 2022Q4 2021Q3 2021Q2 2021Q1 2021Q4 2020Q3 2020Q2 2020Q1 2020

Organic Revenue Growth, YoY

Note: Organic growth adjusted for acquisitions and divestments and in constant currencies

Annual Report 2023

Financial Statements Governance Our business The big perspective

Market turbulence and slowdown in 2023

has led to increased competition. In addi-

tion, our focus on delivering top line

growth while executing internal transfor-

mation, has affected our ability to deliver

on the bottom line. Going into the next

strategic period, improving EBITDA will be

a key focus for us. We start seeing the

positive effects of the new business plat-

form and our focus on effective operations.

We have already improved our efficiency

to 67% in 2023 up from 63% in 2022 and

there is more to come working with multi-

ple levers in the EBITDA15 program.

Building on strongholds

We will leverage the strongholds built dur-

ing the last strategic period and improve

our customer focus, intimacy, and advi-

sory. This means that we continue the de-

velopment of our industry-specific deliver-

ies and advice to priority segments. We

strengthen our cross-selling and help cus-

tomers navigate the complex digital land-

scape claiming the position as a strong

business advisor with deep technical ex-

pertise and delivery responsibility.

We have a solid financial position with po-

tential to add acquisitive growth to

strengthen our market position. The recent

acquisitions of ICY Security and Endless

Gain mark the beginning of this journey,

adding strong capabilities and new growth

areas to our business.

Going forward, we will further leverage our

streamlined global operation. This will help

us reach our profitability targets while de-

livering even more value to customers by

enabling our strong global delivery capac-

ity and access to top talent in a market

that is increasingly characterized by in-

tense talent competition.

In summary, Focus23 has brought us to a

very strong market position and left us

more streamlined and capable of going

into New Heights.

Annual Report 2023

Financial Statements Governance Our business The big perspective

21 Annual Report 2023

Financial Statements Governance Our business The big perspective

Annual Report 2023

Financial Statements Governance Our business The big perspective

During the past three years, Columbus

has streamlined the organization and

strengthened the market position. With

New Heights, we will continue to build on

our strongholds while enhancing profitabil-

ity.

Ambition and environment

We are outgrowing our market and have

delivered an organic growth of 15% in

2023 compared to a growth of 7%

in our

primary market. A strong performance

given the turbulence of the market during

the same period.

We have a market share of around 2%

Sweden, Norway and Denmark, which

leaves ample room for us to grow.

Looking to the future, our market is ex-

pected to continue to grow, although at a

lower rate compared to the last two years.

We are confident that we can continue our

performance and maintain the strong

growth path with an average 10% CAGR

over the coming three-year period.

Source: Radar Research. Market definition: IT ser-

vices consulting in Manufacturing, Retail & Distribu-

tion, Food & Beverage and Life Science of private

With New Heights, we take the next step

and increase our profitability steadily to-

ward 2026, reaching an 15% EBITDA mar-

gin. We have built a strong foundation dur-

ing the past strategic period which we will

leverage, thus further improving our com-

merciality and effectiveness.

Market position and segmentation

Our market position lies in the sweet spot

where strong business advisory and deep

technical expertise meet delivery responsi-

bility.

We are continuously moving up in the

market toward more advisory and busi-

ness-oriented services. But we do not

leave any of our existing market space be-

hind. We add on to cover more.

This essentially means that we have skin

in the game when we advise because we

also manage the infrastructure and imple-

ment the technology.

companies with ann. Turnover DKK +500m in Scan-

dinavia and UK

New Heights strategy

Continuing our strong growth

path with 10% CAGR and a significant improvement

profitability reaching a 15% EBITDA margin by 2026.

Annual Report 2023

Financial Statements Governance Our business The big perspective

We are market leader among our medium-

sized target customers within our primary

markets in Scandinavia, and continue to

grow from our strong position in this

space.

In addition, we will focus on growing the

upper segment of large and multinational

companies to capitalize more on cross-

sales from our expanded service portfolio.

We experience that we bring more value

to customers by spanning wider across

specialist disciplines, thus bringing our en-

tire portfolio of services into play.

At the same time, we deliver concrete

technology and help our customers to

keep green lights on systems – this gives

us an edge.

By focusing on customers working with the

production, moving, and selling of physical

goods we keep our advice and solutions

relevant and contextual, helping custom-

ers solve some of the most complex indus-

try challenges.

New strategic initiatives

New Heights consists of four central stra-

tegic initiatives which will drive future

growth:

Expand and invest in our service port-

folio

We will strengthen our market position by

harvesting the benefits of new acquisitions

into high-growth services, such as secu-

rity, and add on scale to existing offerings.

We are already expanding our security of-

ferings and capabilities to more markets,

and our latest acquisition Endless Gain, is

strengthening our Digital Commerce offer-

ings.

Expand our playing field

We are expanding our playing field and

entering a new growing industry, life sci-

ence with great synergy to our existing

business. More specifically, we target pri-

vate companies operating in the research,

development, manufacturing, and distribu-

tion of pharmaceuticals, MedTech, and bi-

omedical technologies. These companies

also produce physical goods and have

similar challenges to our existing customer

base such as regulatory requirements in

production processes and effective supply

chain management. We are already work-

ing in the industry and have first-hand ex-

perience driving digital transformation with

our existing customers. In the future, we

will target our sales activities and develop

new services for the life science industry.

Seize market opportunity as lifetime

partner

Expanding our “Evolve services” will fur-

ther strengthen our position as a lifetime

partner and elevate our managed service

offering. This service goes beyond keep-

ing systems up and running and expands

into helping customers mature their capa-

bilities and innovate ‘evolve’ in the modern

cloud environment. Our unique position is

differentiated against local competitors

who do not possess the capabilities and

lack the scale. Expanding this area en-

sures that a larger part of our income

stream is stable and resilient in possible

fluctuating market conditions.

Annual Report 2023

Financial Statements Governance Our business The big perspective

Initiate EBITDA15 program

We have launched our EBITDA15 pro-

gram to increase profitability through con-

crete organizational focus areas. Our mar-

gin will be expanded through productivity

increases, commercial excellence, and

leveraging of our business model.

Strategic pillars

The ambition and strategic initiatives in

New Heights are going to be reached by

continuously working with three distinct

growth pillars standing on our solid foun-

dation.

People First

Our customers demand the best people to

solve their challenges and as a digital con-

sultancy it is crucial that we can attract

and retain the best talents. Therefore, we

focus on creating a working environment,

where we think people first, and stand out

as a caring and attractive employer in the

highly competitive labor market we face to-

day.

Industry Expertise

We pride ourselves on our industry exper-

tise, and when we bring this to life for cus-

tomers, we win. Truly understanding the

industry, and combining the knowledge

with deep technical expertise, is a differen-

tiator and key to our success and growth.

As we continue to structurally enforce in-

dustry perspectives, we deliver more value

to customers.

Rapid adaptation

The technical landscape is changing con-

stantly. We often hear our customers raise

deep concerns about how to keep up with

trends and changes in the increasingly

complex environment of modern-day busi-

ness. The new wave of Artificial Intelli-

gence provides many opportunities in ar-

eas that were previously untouched and

the emergence of low-code is democratiz-

ing systems development making it acces-

sible to a whole new part of the workforce.

Rapid adaptation addresses these con-

cerns and opportunities as we partner up

with customers to help them navigate

trends and understand where to place

their resources to get the most from their

technology assets.

We follow through and help them adapt

and implement to harvest the maximum

value of the opportunities in the market-

place.

Scalable business model

We scale our business on the foundation

of the lean and powerful business model

we have created – we protect, refine, and

optimize it to support our expansion. We

strengthen our methodology, global work-

force, and ability to work across our ser-

vice portfolio, adding flexibility and oppor-

tunities for employees.

Annual Report 2023

Financial Statements Governance Our business The big perspective

Primary market continues to grow

Our primary market, defined as the Con-

sulting market within IT Services, is pro-

jected to a growth rate of around 3%

an-

nually, due to a general slowdown in the

economic activity.

We maintain a neutral perspective on mar-

ket conditions and have fitted our strategy

to this market view and stay responsive to

market shifts and risks.

Outgrowing primary market

In 2023, we have outgrown our market

and have delivered 14.8% organic growth

in constant currencies compared to 7%

growth in our primary market. We consider

this a strong accomplishment given the

turbulence of the market in the same pe-

riod.

We have a market share of around 2% in

Scandinavia, which leaves ample room for

us to continue the growth journey.

Market shifts supporting demand

The global marketplace is undergoing pro-

found transformation marked by a series

of shifts that are reshaping the way busi-

nesses operate. This creates continued

demand for our services.

The evolving market dynamics are defined

by a convergence of factors, from supply

chain resilience and automation pressures

to the imperative of seamless digital chan-

nels, sustainability and compliance. All un-

derlined by the crucial need for resilience

and security.

Navigating these themes effectively using

technology is key for businesses aspiring

to thrive in the modern marketplace.

We help our customers to relocate when

their supply chains are disrupted or when

the need for increased traceability, agility

and control is vital for effective production.

When there is a need for a seamless

online experience, robust e-commerce

platforms and agile digital strategies. Or

when facing unforeseen challenges and

cyber threats investing in resilient, reliable

infrastructure and cybersecurity measures

to safeguard operations, customer data,

and reputation.

Being able to support our customers in

facing these complex industry challenges

is the reason why they continue to do busi-

ness with us and why we have a reliable

strong business model.

Market trends

In 2023, Columbus has outgrown

its primary market and continues to see a large

potential

for differentiated industry specialists like Columbus.

1) Source: Radar Research. Market definition: IT services consulting in Manufacturing, Retail & Distribution, Food & Beverage and Life Science of private companies with ann. Turnover DKK +500 m in Scandinavia and UK

141

145

149

154

216

222

228

235

2023 2024 2025 2026

Primary market

: IT services consulting spend

(bnDKK)

Manufacturing Retail & Distribution Food & Beverage Life Science

Annual Report 2023

Financial Statements Governance Our business The big perspective

Columbus has been a leader in the ERP

landscape for many years, consistently in-

novating and staying relevant in our key

industries and markets. Recently, we have

strengthened our presence in the digital

transformation space by offering compre-

hensive, end-to-end digital solutions that

unveil new opportunities for our customers

throughout their digital transformation jour-

ney. This makes us capable of fostering

long-term relationships as a digital trans-

formation partner continuously solving

complex industry problems and together

evolving our customer’s business.

Our portfolio includes a variety of core

business services with a focus on creating

high value for customers in the life sci-

ence, food & beverage, retail & distribu-

tion, and manufacturing sectors. These

services are part of robust ecosystems,

ensuring our customers have access to

the best technology for their specific busi-

ness needs and challenges.

Our core business services are built in

strong ecosystems that ensure our cus-

tomers the best technology based on best

practices suited for their specific business

needs and challenges.

Our Core Business Services

Cloud ERP

We help customers digitize their business

processes through implementation, risk

mitigation, and support of cutting-edge so-

lutions, using a business-driven process

approach. Our expertise in cloud ERP en-

sures a seamless transition, optimizing

digital experiences for maximum benefit.

Data & Analytics

Organizations at any stage of develop-

ment can leverage our customized strate-

gies for value delivery and cost-cutting.

We empower customers to delineate and

execute a data-centric journey, utilizing in-

sights to inform strategic decisions and

foster continual improvement. Our empha-

sis on data, business, and people ensures

a holistic approach to sustained success,

making operations more effective and effi-

cient.

Digital Commerce

Companies of all maturity levels benefit

from our tailored growth and value delivery

strategies. We ensure successful project

implementation, streamline operations for

omnichannel excellence, and optimize dig-

ital commerce experiences. Our expertise

in Conversion Rate Optimization (CRO)

enhances online presence, increasing the

likelihood of turning website visitors into

valuable customers, maximizing the im-

pact of digital initiatives.

Cybersecurity

We offer expert cybersecurity guidance

and implementation, aligning business pri-

orities with a customized strategy to drive

efficiency and minimize security risks. Our

services include managing security opera-

tions and overseeing the evolution of your

cybersecurity efforts, allowing you to focus

on your core business.

AI Innovation

As Artificial Intelligence (AI) continues to

evolve and redefine various industries and

processes, Columbus offers AI consulting,

from idea generation to feasibility anal-

yses. We support customers with Microsoft

Co-pilots and low code/no code solutions,

making AI accessible to all. We also help

with data strategy, quality assurance, mi-

gration services, and analytical platforms

that enhance Business Intelligence solu-

tions.

Sustainability

Digitalization and data are essential for all

companies to improve sustainable perfor-

mance and become ESG compliant. The

challenge for many companies is to get

the right data from their ERP system and

transform it into ESG metrics to help moni-

tor and report progress. For many compa-

nies, this is a manual and tiresome pro-

cess. Columbus’ framework “ESG Data

Accelerator” automates ESG data to follow

the progress in real-time, thus being able

to act on it, while pulling the right data for

ESG reporting. In addition, Columbus

helps companies in our key industries to

optimize sustainable performance with in-

dustry sustainability services, such as Re-

source Efficient Food Manufacturing, and

Digital Advisory.

Our core business services

Leveraging our comprehensive portfolio of Core Business

Services, we are

equipped to guide our customers throughout their complete digital transformation

journey

Annual Report 2023

Financial Statements Governance Our business The big perspective

Customer Experience & Engagement

In today’s business landscape, delivering

an exceptional Customer Experience is

crucial. We aim to empower customers

through positive customer engagement

and a comprehensive CRM strategy for

enhanced satisfaction, loyalty, and value

creation

Compliance & Business Continuity

Organizations face compliance chal-

lenges, but Columbus transforms them

into opportunities for sustained success.

With a focus on governance, risk mitiga-

tion, and security, we offer resilient, indus-

try-agnostic services for effective and

smooth operations. Our approach ensures

compliance while implementing robust

control measures, contributing to a seam-

less and resilient operational environment.

Application Management & Evolve

We address IT challenges, safeguarding,

and evolving systems for future needs. We

focus on continuous evolution, productiv-

ity, security, and cost control, and provide

expertise in enabling digital strategy, En-

terprise Architecture, financial insights,

and technology debt management.

Digital Advisory

Organizations can benefit from Columbus'

Digital Advisory service, guiding strategic

vision with a comprehensive suite of

thoughtful solutions. We assist customers

in creating value through engagement and

development of their strategy and busi-

ness change agenda. Our expertise in

business transformation ensures that po-

tential is unlocked, offering a clear

roadmap to maximize overall value with a

focus on value-driven, people-centric, and

holistic business transformation.

Awards & Recognition in 2023

We received the International Infor Chan-

nel Innovation Award 2023 for our commit-

ment to innovation and customer experi-

ence. Additionally, we earned the Inner

Circle membership for Microsoft Business

Application Partners globally for the 20

year in a row and were named Microsoft

Business Application Partner of the Year

in Norway.

Roger Labrell, Alliance Director Nordic, Infor

Tina

Algkvist, Senior Vice President, M3, Columbus

Malte Ekedahl General Manager & SVP Nordic, Infor

Annual Report 2023

Financial Statements Governance Our business The big perspective

Columbus is leveraging on 35 years of

industry expertise delivering advisory and

business critical solutions for larger enter-

prises. And our global delivery setup has

been essential for creating value for the

growing loyal customer base with a need

for digital transformation.

Our business model is based on customer

intimacy, which makes it possible to act as

trusted advisor ensuring that our loyal cus-

tomer base gets exactly what they need to

digitize their business.

Columbus’ core strength is also expressed

in the execution power - the ability to

deliver high quality anchored in an agile

delivery setup and good industry practice.

The business model supports the creation

of customer value and makes it possible to

implement and deliver on the set goals in

the three-year growth strategy, New

Heights.

Business model – creating customer value

Columbus’ purpose is digital transformation for a better tomorrow, and our solid

business model ensures

that we can deliver on our purpose.

Annual Report 2023

Financial Statements Governance Our business The big perspective

In 2023, Columbus rolled out the 'New

Heights' strategy, which has a clear focus

on our people as a People First company.

We are aiming to be an attractive and car-

ing employer. This is something we be-

lieve that we can evolve through our em-

ployer branding projects, working with our

company culture and by offering exciting

development opportunities to help our em-

ployees explore their potential.

At the heart of our business is our commit-

ment to “People First”. This means that we

prioritize our people which is the founda-

tion for servicing our customers and the

overall business.

Throughout the year, we have been ac-

tively working on leadership on projects to

bring “People First” to life and strengthen

our standing as an employer of choice.

Our Heartbeat scored 50 eNPS in 2023

(2022: 47), along with a commendable re-

sponse rate 80%, highlight our dedication

in this area.

Columbus culture

The Leadership Principles framework was

implemented during 2022 and has now be-

come an integrated part of our culture -

supported by our company values.

Together, these principles guide us in fos-

tering a value-driven culture.

Throughout the year, our commitment to

live our values and leadership principles

has continued. New employees at Colum-

bus took part in workshops, getting ac-

quainted with our company culture during

their onboarding. The Culture Ambassador

Community, consisting of employees from

various parts of the organization, have ac-

tively been working to promote diversity,

equity and inclusion, our values and lead-

ership principles in our daily work.

We have been proactively integrating our

values and leadership principles into rele-

vant internal processes e.g. our new Ca-

reer Pathways. Regular evaluations, con-

ducted mainly through our annual em-

ployee survey, have given us valuable in-

sight into how our employees perceive and

connect with the values and the principles.

As we continue to work with our culture,

our goal is to increase employee engage-

ment and align it with our commitment to

“People First”.

Career Development

Career Pathways is Columbus’ new career

framework that was launched in 2023. The

framework aims to improve personal de-

velopment and growth, provide clear ca-

reer path options, increase fulfilment and

engagement, retain talent and attract new

hires. This initiative is a key strategic mile-

stone in our People First pillar of the “New

Heights” strategy.

The framework currently consists of three

career pathways for consultants: Engage-

ment Path, Business Path and Technical

Path, where each is divided into seniority

levels to clarify competence requirements

and expectations. Regardless of the ca-

reer pathway one belongs to as a consult-

ant, the Common Foundation is the basis

for all. The Common Foundation consists

of shared expectations we have of our

consultants which consists of four areas:

Lead Yourself and Others, Build Business,

Industry Expertise, and Build Culture.

Career Pathways will be used for full-year

and mid-year performance conversations

and create greater transparency to support

progression and promotion within a path-

way or across pathways. The framework

will undergo further development in 2024.

Diversity, Equity & Inclusion

At Columbus we strive to build a diverse

workforce that embraces all our differ-

ences. Putting together diverse teams will

help us to increase creativity, employee

engagement and lead to better team per-

formance. We are committed to fostering

an inclusive workplace where everyone

has equal opportunities for development

and success.

Throughout the year, we introduced a new

Diversity & Inclusion (D&I) course in Co-

lumbus Academy, aiming to gain a better

understanding of the significance and im-

pact of D&I. Additionally, we developed a

new Diversity, Equity & Inclusion (DE&I)

policy - providing guidance and outlining

strategies to promote DE&I in our com-

pany. Through this policy, we seek to set

the tone for our organization and integrate

DE&I into our business.

As part of our DE&I efforts, we conducted

a new global exit process and survey. The

goal was to create a standardized process

and system for follow-up and enabling

analysis at a global company level. DE&I

has also been prioritized in our global re-

cruitment process. Analyzing and adapting

our global recruitment process through a

People in Columbus

Columbus’ new

strategy, New Heights, has a clear focus on our people. Our

commitment to “People First” is a key growth pillar.

Annual Report 2023

Financial Statements Governance Our business The big perspective

DE&I perspective has resulted in the im-

plementation of new practices and positive

advancements. One such example is the

implementation of Candidate-NPS, aimed

at evaluating how candidates perceive the

recruitment process, with a particular focus

on inclusion.

During 2023 Columbus started a new

global women’s network as a way to

strengthen our employees and become an

attractive destination for new female tal-

ents. This initiative aims to create opportu-

nities for networking, sharing of knowledge

and to inspire and highlight female role

models. The first event took place in No-

vember 2023 and proved successful. Go-

ing forward, Columbus plans to conduct

two seminars per year, incorporating

group discussions on specific themes.

Throughout the year, we have also been

working on developing a mentorship pro-

gram aimed to help employees accelerate

their careers, develop new skills and

achieve their career aspirations within the

organization. The first pilot will be initiated

in the beginning of 2024.

New HR system

In 2023, Columbus achieved a major mile-

stone with the launch of Bamboo, our new

HR system. The system solution includes

onboarding, offboarding and a tool for per-

formance appraisals, including career

pathing. Aligned with our strategic goals of

achieving operational efficiency and en-

hancing the employees’ impact, Bamboo

will provide streamlined processes and su-

perior and consistent employee experi-

ence. The system was launched at the

end of 2023 and has started to be used by

employees in the organization.

Academy

2023 has been a remarkable journey for

Academy, shaping our training portal into

a hub of innovation and learning. Here are

some key achievements that prove our

commitment to employee development:

• Throughout the year, Academy suc-

cessfully has onboarded 25+ global in-

ternal coaches and 2 trainers.

• We have developed our learning plat-

form with additional functionalities to

streamline processes and reduce man-

ual work. Increased utilization of AI has

expanded system capabilities.

• The release of 14 new courses and a

comprehensive accelerator training pro-

gram, represents a big step forward in

our training offerings.

Information regarding Academy and its of-

ferings has been widely communicated

throughout the organization and a new

page has been created on our global intra-

net, Polaris.

To increase training effectiveness, partici-

pants are now encouraged to share their

feedback through a new survey, providing

us with an NPS score for specific courses.

Annual Report 2023

Financial Statements Governance Our business The big perspective

Annual Report 2023

Creating

Customer value

Financial Statements Governance Our business The big perspective

Annual Report 2023

Financial Statements Governance Our business The big perspective

In partnership with Columbus, Jernia

migrated from on-premises ERP to Infor

CloudSuite IA Distribution, a standardized

solution for the retail industry. This was a

vital element of Jernia's organization-wide

digitalization strategy, adapting to the

future industry requirements. The project

focused on maximizing utilization of stand-

ard functionality, resulting in less than 5%

requiring customizations.

Despite the complexity of ERP systems

and the challenges associated with cloud

migrations, the project was executed ac-

cording to plan.

“Throughout the delivery process, we effi-

ciently tackled challenges, particularly dur-

ing the go-live phase. It's quite remarkable

since not many ERP projects are success-

fully delivered on time, within budget, and

with minimal downtime”, says Stian Nybro,

Business Systems & Project Manager at

Jernia.

The strategic move to Infor CloudSuite IA

Distribution enables Jernia to improve its

ERP platform continuously and introduce

more efficient services. Emphasizing the

importance of a modern and reliable ERP

platform, Jernia highlights its role in sup-

porting business growth, revitalization, and

maintaining a competitive edge to deliver

customer service. Another key aspect was

to continue developing the successful om-

nichannel approach.

The retailer established process owners

responsible for finance, logistics, and

sales, ensuring alignment with business

objectives. Budget allocations allowed

these key individuals to dedicate substan-

tial time to the project, mitigating the risk

associated with heavy workloads and ab-

sence.

The collaborative work culture between

Columbus and Jernia was characterized

by daily meetings, transparent communi-

cation, and a strong team mentality which

played a crucial role in the project’s suc-

cess.

Post-implementation, Jernia initiated a

project to utilize the full benefits of their

cloud migration to ensure ongoing devel-

opment and exploration of the new appli-

cations. Looking ahead, Jernia plans to

continue the collaboration and expressing

confidence in Columbus's support to help

identify and implement improvements.

Customer Case

Jernia’s cloud migration: a

solid foundation for

continuous development

Jernia

, a leading Norwegian distribution company of home supplies,

successfully migrated from on

-premises ERP to Infor CloudSuite. The

modern ERP platform has established a solid foundation for improving

operations continuously while introducing new and efficient services.

Thorough preparation and a strong collaboration with Columbus

ensured that the transition was on time, within budget, and with

minimal downtime.

FACTS AND SUMMARY

Jernia has migrated to the cloud to meet the changing industry de-

mands, efficiently introduce new services, and improve operational

efficiency.

In partnership with Columbus, Jernia transitioned from its on-

premises

ERP system to Infor CloudSuite IA Distribution.

Post go-live, Jernia continues the collaboration with Columbus to uti-

lize further capabilities of the platform.

Annual Report 2023

Financial Statements Governance Our business The big perspective

Five years ago, the acquisition of

Nuuday's parent company, TDC Group,

prompted a division into two entities. TDC

NET assumed responsibility for infrastruc-

ture management, while Nuuday shifted its

focus towards telephony, television, broad-

band and network. The legal separation

was concluded in early 2022.

Post the split from TDC Group, Nuuday

pursued technological autonomy, aiming

to oversee its digital infrastructure and ser-

vices independently. IAM, previously man-

aged by TDC NET and its subcontractors,

became essential as Nuuday prepared to

develop a new digital portfolio.

Columbus Security started assessing

Nuuday's needs and opportunities, align-

ing them with current and future ambitions.

Subsequently, the consultancy guided

Nuuday through the IAM market, evaluat-

ing vendors and analysing their compatibil-

ity with Nuuday's requirements and objec-

tives.

Columbus Security supported in scoping

the project and initiating the procurement

process. Following a thorough assessment

and analysis of use cases, the security ex-

perts led the procurement process to iden-

tify the ideal IAM tool for Nuuday, ulti-

mately selecting a suitable platform.

During procurement and final negotiations,

Columbus Security helped Nuuday pre-

pare to take responsibility for the new

Identity and Governance System (IGA). In

addition, the consultancy developed a tar-

get operating model and user processes

for internal and external users and advised

Nuuday on their chosen CIAM platform for

customer data management.

Initially facing resource constraints,

Nuuday relied on Columbus Security to

build the platform. Subsequently, Nuuday

recruited additional consultants and

equipped them to sustain the development

and implementation.

“Columbus Security has been excellent in

helping scope the task and find the prod-

ucts we needed in the market. They have

also filled the recruitment gaps until I could

bring in full-time employees to manage the

tasks”, says Kenny Damgaard Outzen, Di-

rector, Head of Digital Workplace & IAM at

Nuuday.

Implemented in August 2022, the MVP

version of the platform meets Nuuday's

customer platform requirements and pro-

vides several benefits. IAM independence

enhances security, streamlines workflows,

simplifies access, and improves user ex-

perience. Looking ahead, Nuuday has es-

tablished one of the critical components in

the foundation to position the company for

continued growth and innovation.

Customer Case

The role of IAM in Nuuday’s

digital transformation

The leading Danish telecom company Nuuday is undergoing a

mas-

sive

digital transformation to deliver innovative digital services and

great customer experience

s. Identity and Access Management is one

of the enabler projects for Nuuday’s transformation. The conglomerate,

consisting of brands such as YouSee,

TDC Erhverv and Hiper, chose

Columbus Security as a partner to scope the IAM project, evaluate the

IAM tool market, and implement the selected IAM solution.

FACTS AND SUMMARY

Nuuday's digital transformation is enabled by IAM.

Columbus Security played a key role in scoping,

evaluating, and implementing IAM.

Nuuday has achieved technological autonomy after

the split from TDC Group.

Annual Report 2023

Financial Statements Governance Our business The big perspective

After a thorough selection process to find

a partner that aligned with the company’s

core values, Columbus emerged as the

standout candidate. Once Columbus came

on board, Watson-Marlow outlined its digi-

talization plan.

However, as discussions progressed and

goals were further explored—such as cen-

tralizing global operations, enhancing cus-

tomer connections, and achieving internal

targets—Watson-Marlow changed its ap-

proach.

It became evident that prioritising cus-

tomer engagement was more important

than updating the ERP system. This shift

allowed WMFTS to realize the benefits of

moving to the cloud sooner than planned,

highlight how combining technology and

strategy can lead to real success.

Another highlight was implementing the

new customer relationship management

(CRM) platform. Together, Columbus and

Watson-Marlow conducted a 12-workshop

series with 60 key Watson-Marlow world-

wide stakeholders designed to identify

value and the organizational changes re-

quired to deliver it.

The goal was to increase user buy-in early

in the technology transition process.

Therefore, user adoption of the new CRM

system across their 650-person user base

became the highest priority KPI. Columbus

helped WMFTS recognize that without

user adoption none of the other benefits

were achievable.

The move drove real organizational value

in improved operational efficiency, a more

customer-focused culture, better data in-

sights and a more systematized approach

across the team.

As a result, WMFTS are now able to:

• Report accurately on leads generated

• Determine how many of those leads

qualified into opportunities

• Understand which opportunities turned

into sales orders

"Within the total customer solution, CRM

delivery enables us to maintain our price

point while ensuring a competitive ad-

vantage that provides the entire business

with a clearer, more comprehensive pic-

ture. This helps us to make informed deci-

sions based on facts," says Andrew Jones,

Head of Sales Excellence & Governance

at WMFTS.

Andrew continues, “Columbus was the

best fit for Watson-Marlow. We didn’t want

a third party, we wanted a true partner and

we also knew we had this big culture

change to go through”, he says. “Their

change management process and team

really stood out. We’ve absolutely overa-

chieved and that’s because of Columbus.”

Toby Mankertz, Business Transformation

Advisor at Columbus echoed some of An-

drew’s comments and applauded their ap-

proach, saying, “Watson-Marlow has really

engaged with delivering for the users, and

they’re doing it with their user base, not to

their user base. They very quickly picked

up that ball and ran with it. That’s to be

commended.”

Customer Case

Watson Marlow innovate

their sales and marketing

with Microsoft D365

Customer Engagement

atson-Marlow Fluid Technology Solutions (WMFTS) is a premium

pump manufacturer and supplier.

WMFTS realized it needed help on

its digital transformation journey to become a total customer solutions

provider

FACTS AND SUMMARY

To achieve their goal of becoming a total customer

solutions provider, WMFTS sought digital transformation.

WMFTS partnered with Columbus to implement a

Microsoft Dynamics CRM platform.

Following a successful implementation, Columbus and

WMFTS continue their collaboration on additional projects.

Annual Report 2023

Financial Statements Governance Our business The big perspective

Swedish-based Stommen Group consists

of Brafab, Furninova, Mti Furninova, Affari

of Sweden, Ambiente, Conform, and State

of Elevenate. In partnership with Colum-

bus, the group is transforming its business

digitally.

The collaboration with Columbus began

within Digital Commerce to implement Lit-

ium. After gaining trust in the Columbus

team, Stommen Group proceeded with

Data Analytics to implement Power BI,

along with Microsoft Dynamics 365 Fi-

nance & Supply Chain Management as

their ERP system.

Most recently, Stommen Group migrated

Brafab from on-premises to Microsoft Dy-

namics 365 Finance & Supply Chain Man-

agement. The shift was driven by the need

to meet increasing customer demands,

minimize manual processes, enable scala-

bility, and mitigate business risks, includ-

ing over-reliance on employees and sup-

pliers. They sought to adopt new technol-

ogy and prioritize value-adding tasks.

Consultants providing a clear methodol-

ogy, a dedicated project team, and allo-

cated working hours have been fundamen-

tal to the success. As a result, the cloud

platform establishes a foundation for con-

tinuous group-wide development.

“Lacking internal expertise, we choose Co-

lumbus for its proven methodology to

guide us from A to Z, challenging us and

providing recommendations. This collabo-

ration has transformed us from a process-

immature organization to one that is pro-

cess-oriented. We couldn't have done it

without a holistic and long-term partner”,

says Jimmy Petersson, CIO at Stommen

Group.

The biggest challenge throughout the ERP

project was the shift from IT to business

and transitioning from customized solu-

tions to standard solutions. To succeed,

Stommen Group focused on gaining ac-

ceptance within the organization and prior-

itizing change management and internal

communication.

Through standardized processes and sys-

tems, the conglomerate aims to make

group co-investments, reduce silos, de-

crease maintenance and support, and

centralize finance operations across the

organization. Additionally, the group is

striving to be more data-driven, enabling

quicker and better decisions. Utilizing

modern technology and an omnichannel

approach, Stommen Group aims to attract

prospective employees and customers.

Looking ahead, the next phase involves

implementing Microsoft Dynamics 365

Finance & Supply Chain Management at

Affari of Sweden. Stommen Group plans

to develop the cloud platform long-term in

partnership with Columbus.

Customer Case

Stommen Group transforms

its business digitally with a

long

-term and holistic

partnership

Stommen Group is undertaking a comprehensive digital transformation

through a long

-term and holistic partnership with Columbus. Migrating

from on

-premises to Microsoft Dynamics 365 Finance & Supply Chain

Management, and implementing Power BI, and Litium is essential to

realizing the ambition.

FACTS AND SUMMARY

Stommen Group is digitally transforming its

business to optimize operations.

Key technologies include Microsoft Dynamics

365 Finance & Supply Chain Management,

Power BI, and Lithium.

The ongoing collaboration with Columbus aims

to transform the entire group digitally.

Annual Report 2023

Financial Statements Governance Our business The big perspective

Annual Report

Corporate governance

From strategy to action:

Our progress in 2023 43

ESG key figures

Risk management

Group overview

Board of Directors

Executive Board

Shareholder information

Governance

Financial Statements Governance Our business The big perspective

Annual Report 2023

Financial Statements Governance Our business The big perspective

Columbus is committed to follow the Dan-

ish Recommendations on Corporate Gov-

ernance of 2 December 2020, issued by

the Danish Committee on Corporate Gov-

ernance. Accordingly, the Board of Direc-

tors continuously considers the updated

recommendations in order to determine

which are relevant for Columbus, consider-

ing the size, ownership structure, nature of

the Company and the Company’s busi-

ness model.

Each year, in connection with the Annual

Report, Columbus A/S publishes the statu-

tory report on Corporate Governance, cf.

Section 107b of the Danish Financial

Statements Act.

Columbus complies with 35 recommenda-

tions and does not comply with six of the

recommendations. Deviations are all ex-

plained in the Statutory Report on Corpo-

rate Governance for 2023 according to the

“comply or explain principle”.

Shareholders

The shareholders have the final authority

over the company and exercise their right

to make decisions at the Company’s

General Meetings.

Management

Columbus has a unified management

structure consisting of a Board of Directors

and an Executive Board. The two bodies

are separate, and no one serves as mem-

bers of both.

The Board of Directors is responsible for

the overall management of the Company

on behalf of the shareholders and super-

vises the Company and the work of the

Executive Board. The Executive Board is

responsible for the day-to-day manage-

ment. Together with the Executive Board,

the Board of Directors determines goals

and strategies, and approves budgets and

action plans.

Board of Directors

The Board of Directors in Columbus A/S

consists of five members: Ib Kunøe, Sven

Madsen, Peter Skov Hansen, Karina Kirk

Ringsted and Per Ove Kogut. The Board

members are elected for one year at a

time with the option for re-election.

Three out of the five members elected by

the General Meeting are independent

members, and none of the Board mem-

bers participates in the day-to-day opera-

tion of the Company.

The Board of Directors holds at least ten

meetings a year according to a meeting

schedule planned one year in advance at

the Board meeting in December. Extraor-

dinary Board meetings are held according

to need. In 2023, 12 Board meetings were

held. All Board members attended all

meetings.

The Executive Board participates in Board

meetings in order to ensure a direct dia-

logue and that the Board of Directors is

well informed about the operation of the

Company.

In 2023, the Board of Directors focused on

the following areas:

• Macro-economic situation

• Acquisitions

• Financial reporting

• Capital and share structure

• Strategy

• Risk management and internal con-

trols

• Budgets

For more details about the members of the

Board of Directors and the members of the

Audit Committee, see “Board of Directors

and Executive Board” on page 51.

Corporate governance

Annual Report 2023

Financial Statements Governance Our business The big perspective

Executive Board

The Board of Directors appoints the

Executive Board and determines the terms

of employment. The Executive Board is

responsible for the day-to-day operation

and management of Columbus, including

strategy, budgets and targets for the

Company. The Executive Board currently

consists of two members, CEO & Presi-

dent Søren Krogh Knudsen and Group

CFO Brian Iversen.

Audit Committee

The purpose of the Audit Committee is to

supervise accounting, audit processes and

independence, risk and controlling issues.

The Audit Committee consists of Peter

Skov Hansen (Chair) and Sven Madsen.

The tasks of the Audit Committee have

been determined in a Terms of Reference,

which have been approved by the Board

of Directors. The Terms of Reference are

available on the Company’s website. The

Committee determines the meeting fre-

quency. In 2023, six meetings were held.

Both Audit Committee members attended

all meetings.

In 2023, the Audit Committee focused on

the following areas:

• Financial reporting and audit planning

• Monitoring risk management and in-

ternal control systems

• Monitoring the auditors’ independ-

ence and audit process

• Reporting to the Board of Directors

Evaluation of performance

The Chairman of the board is responsible

for conducting an annual evaluation of the

competencies of the Board of Directors,

the cooperation between the Board of

Directors and the Executive Board, and

the performance and results of the Board

of Directors and the Executive Board, in-

cluding the areas operation, finance, strat-

egy, organization and management.

The individual Board and Executive Board

members anonymously complete an

online survey. The results of the evalua-

tion are presented and discussed at the

subsequent Board meeting.

Based on the evaluation, which was con-

ducted in 2023, it was concluded that the

work of the Board of Directors and Execu-

tive Board is efficient, and that the compo-

sition and qualifications of the Board of

Directors is appropriate in terms of profes-

sional experience and relevant special

competences to perform the tasks of the

Board of Directors in the best possible

manner.

Remuneration

Columbus’ remuneration policy determines

the frame for fixed and variable remunera-

tion for the Board of Directors and the

Executive Board.

The overall objective with Columbus’ re-

muneration policy is to ensure:

• That Columbus will constantly be able

to attract, motivate and retain quali-

fied members of the Board of Direc-

tors and the Executive Board.

• Aligned interests for the company’s

shareholders, Board of Directors and

the Executive Board.

• Promoting of the long-term interests

and sustainability of Columbus and

fulfilment of its business strategy

short-term and long-term.

The Remuneration Policy, which is availa-

ble on the Company’s website, was

adopted at the Annual General Meeting in

April 2022.

Board of Directors

Members of the Board of Directors in

Columbus A/S receive a fixed annual

basic remuneration. The Chairman of the

board receives triple basic remuneration.

The Chair of the Audit Committee receives

and additional remuneration of 50% of the

basic remuneration, and other members of

the Audit Committee receives an addi-

tional remuneration of 25% of the

basic remuneration. In addition, potential

travel expenses related to board meetings

are reimbursed. The Board of Directors

may allot share-based instruments, if the

Board of Directors considers it expedient

in order to encourage common goals for

Columbus’s management and sharehold-

ers.

The Board of Directors evaluates its remu-

neration at least once a year. When deter-

mining the remuneration, the Board takes

into consideration benchmarks from other

companies, responsibilities and qualifica-

tions.

The overview below shows the total remu-

neration for the Board of Directors in 2023.

Executive Board

The Board of Directors determines the re-

muneration of the Executive Board. The

size and components of the remuneration

to the Executive Board are evaluated on

yearly basis.

The Executive Board receives a fixed re-

muneration. In addition to the fixed remu-

neration, other benefits such as pension

contribution, company car, insurances and

DKK’000 Fixed fee

Audit

Committee fee

Total

Board of Directors

Ib Kunøe (Chair

man) 450 0 450

Sven Madsen (Deputy Chai

rman) 150 38 188

Peter Skov Hansen (member)

150 75 225

Karina Kirk Ringsted (member)

150 0 150

Per

Ove Kogut (member) 150 0 150

Annual Report 2023

Financial Statements Governance Our business The big perspective

other normal benefits related to local con-

ditions may be agreed to cover the Execu-

tive Board member’s daily performance.

Furthermore, an allowance or reimburse-

ment of additional costs related to station-

ing is offered. The fixed fee is determined

based on market standard hereunder

scope of responsibility and qualifications.

In addition to the fixed remuneration, vari-

able incentive programs may be allotted.

Incentive programs may comprise any

form of variable remuneration, including

share-based instruments such as share

options, warrants and phantom shares as

well as non-share-based bonus schemes -

both ongoing, single-based and event-

based.

The overview below shows the total remu-

neration of the Executive Board in 2023.

Pursuant to Section 139b of the Danish

Companies Act, Columbus has prepared a

Remuneration Report for 2023 which is

available at the Company’s website. The

Remuneration Report provides an over-

view and detailed description of the total

remuneration received by each member of

the Board of Directors and of the Execu-

tive Board for the 2023 financial year with

comparative figures for past financial

years where relevant.

Diversity and inclusion

In accordance with section 139c of the

Danish Companies Act and the recom-

mendations on Corporate Governance, the

Board of Directors has adopted a Diver-

sity, Equity & Inclusion (DE&I) Policy. The

Diversity, Equity & Inclusion Policy is avail-

able on the Company’s website.

In Columbus, we believe that diversity,

equity and inclusion are essential to drive

innovation and creativity and enables bet-

ter decision-making. We are committed to

building a diverse workplace that is wel-

coming, respectful and inclusive for all em-

ployees. Our vision is to grow a diverse

and talented culture.

DE&I goals

To promote DE&I, Columbus will:

• Increase diversity: We strive to build a

diverse workforce that embraces all our

differences. Putting together diverse

teams means increased creativity,

more perspectives, etc. that help us de-

velop ourselves and our business. A

more diverse workforce can also help

us to better understand and collaborate

with each other internally and with our

customers and suppliers.

• Promote equality: We recognize that

Equality is key to creating a fair work-

place and ensure that everyone has

equal opportunities to develop and suc-

ceed.

• Encourage inclusion: Inclusion is the

foundation of a strong and vibrant work-

place. Columbus strives to create an

environment where every employee

can be authentic, bring their whole

selves to work and where diverse ideas

are welcomed.

• Prevent discrimination and harass-

ment: Columbus does not tolerate any

kind of discrimination, violence, harass-

ment or bullying of employees and pro-

vides a mechanism for reporting and

addressing such incidents.

To reach our DE&I goals, we are working

with several commitments which are also

reflected by our company values – Build,

Trust, Collaborate, Stay Curious and De-

liver Customer Success.

Reporting on diversity

Pursuant to Section 99b of the Danish Fi-

nancial Statements Act, Columbus is re-

quired to report on gender diversity on

management levels in the Danish com-

pany Columbus A/S.

When calculating the gender distribution,

only the two legal genders (male/female)

are considered, as stated in the applicable

legislation.

The management levels in Columbus A/S

comprises the Board of Directors and

“other management levels”. Columbus de-

fines “other management levels” as a first

management level, which comprises the

Executive Board and C-level management

who are organizationally at the same man-

agement level as the Executive Board,

and a second management level, which in-

cludes people managers who report di-

rectly to the first management level.

Remuneration of the Executive Board 202

Fixed remuneration Variable remuneration

DKK ´000

Fixed base

salary Pension Other benefits Total

Short-

term

bonus

Granted Share-based

instruments Total

Total fixed & variable

remuneration

Søren Krogh Knudsen, CEO

4.500 68 253

4.821

667 0

667 5.488

In percent

82% 1% 5% 88% 12% 0% 12% 100%

Brian Iversen, CFO

2.249 34 146

2.429

288 590

878 3.307

In percent

68%

73%

18%

27%

100%

Total without special allowance

6.749

102

399

7.250

955

590

1.545

8.795

In percent

77% 1% 5% 82% 11% 7% 18% 100%

Annual Report 2023

Financial Statements Governance Our business The big perspective

The Board of Directors consists of five

members, one female member and four

male members, resulting in a proportion of

women of 20%. No changes were made to

the Board of Directors in 2023.

All Board members have been chosen

based on their individual relevant special

competencies to perform the tasks of the

Board of Directors and the way their ex-

pertise complements each other. Gender

is taken into consideration, but candidates

are chosen based on competences neces-

sary for the specific role.

In 2020 the Board of Directors set a target

to increase the proportion of women in the

Board to 33% in 2025. The Board main-

tains this target.

Other management levels consists of 15

members. At the end of 2023, the gender

distribution was 33% women and 67%

men, which is the same level as last year.

Columbus will continue to focus on in-

creasing the proportion of women at other

management levels and will work towards

a target of minimum 40% female manag-

ers in the Danish company Columbus A/S

towards 2027.

Initiatives in 2023 with the aim to increase

the proportion of women at other manage-

ment levels:

• Implemented a candidate NPS survey,

which supports us in getting feedback

on our recruitment process from a DE&I

perspective.

• Introduced a new D&I course.

• Included questions related to DE&I in

our global employee survey in order to

monitor our work climate.

• Launched a network for women in Co-

lumbus.

• Launched a new career framework to

make it visible to employees how they

can advance or develop in the organi-

zation.

• When hiring for a position externally,

whenever possible, at least one female

candidate must be identified.

Initiatives implemented in 2023 and initia-

tives planned for 2024 to increase the pro-

portion of women are described in further

detail in the Sustainability Report and the

DE&I policy.

Global targets

Columbus’ Sustainability Strategy includes

a diversity program and a target of reach-

ing a gender distribution of 40% women

and 60% men in 2027 globally in Colum-

bus.

At the end of 2023, the proportion of

women globally in Columbus was 30%,

slightly declining from 31% at the end of

2022, primarily due to the acquisition of

ICY Security, with a gender distribution of

83% men and 17% women. Excluding

ICY, we would have been at the same

level as last year.

The proportion of women across all man-

agement levels globally in Columbus was

28%, which is the same level as at the end

of 2022.

Further development of initiatives to reach

the target will continue during 2024. We

expect that our initiatives will start showing

results during 2024.

Reporting in accordance with Section

107d of the Danish Financial State-

ments Act

Columbus A/S has no diversity and inclu-

sion policy covering the Company’s Group

Management (Board of Directors and Ex-

ecutive Board), cf. Section 107d of the

Danish Financial Statements Act.

So far Columbus has not found it relevant

with specific diversity targets, besides gen-

der distribution, for the Group Manage-

ment, since the Company, due to its global

structure, already has a high diversity in

terms of nationality, age and educational

background in its Business Unit manage-

ment. The composition of the Board of Di-

rectors is considered appropriate in terms

of professional experience and relevant

special competencies to perform the tasks

of the Board of Directors.

Data Ethics

The Board of Directors has adopted a

Data Ethics Policy and continues to com-

ply with statutory regulations regarding

data and privacy protection. The purpose

of the Data Ethics Policy is to establish

high standards for data processing princi-

ples, that Columbus wishes to adhere to,

and to emphasize our commitment to a re-

sponsible and sustainable use of data, and

also to account for a high degree of trans-

parency in our general data collection/use.

The policy is reviewed annually.

Columbus will periodically review and re-

vise its Data Ethics principles to reflect

evolving technologies, the regulatory land-

scape, stakeholder expectations, and its

understanding of the risks and benefits to

individuals and society of data use.

The digital ecosystem imposes a new and

more significant risk for organizations and

society. In this data-driven, digital world,

as much as the creation and collection of

data exposes us to a degree of risk, when

an analysis is prepared on collected data,

and consumers act upon that insight, that

action compounds into a new and addi-

tional risk for the organization.

Columbus as an organization has laid

down principles and guidelines which sup-

port ethical decision-making when using

data across the value chain.

Board of Directors

Columbus A/S

2023

Total number of members

Women (%)

Men (%)

Target proportion of female members (%)

Target year

2025

Other management level,

Columbus A/S

2023

Total number of members

Women (%)

Men (%)

Target proportion of female members (%)

Target year

2027

Annual Report 2023

Financial Statements Governance Our business The big perspective

At Columbus, controlled and sustainable

utilization of data is a vital component in

data management lifecycle. While Colum-

bus is concentrating its resources on build-

ing an ecosystem that is well-connected

and can evolve sustainable technologies

to define customer needs, Data privacy

and security are integral to the future of

these services.

In the reporting year, Columbus initiated a

process to proactively refresh its risk as-

sessment of data processing systems, to

ensure that we continue to uphold our or-

ganisational data privacy and processing

standards. In addition, the relevant privacy

notices and banners underwent an annual

revision to reflect current practices and en-

sure compliance.

Columbus will ensure by means of ongo-

ing and new immersive awareness pro-

grams, that the organisation is fully aware

of, and committed to respecting data eth-

ics within Columbus. We consequently set

high standards for ourselves in terms of

our data collection sources, what we do

with the data, and how we use them.

Amongst other obligations we will refrain

from any comprehensive data collection

that might tantamount lead to an act of

mass surveillance. Data in Columbus pos-

session is processed and stored in a se-

cure manner, reducing any risk of data

breach.

With this 2023 report on Data Ethics, Co-

lumbus complies with section 99d of the

Danish Financial Statements Act.

Internal controls and risk management

related to financial reporting

The intention of Columbus A/S’ internal

control system is to eliminate or mitigate

significant risks identified in the financial

reporting, and that material errors and in-

consistencies in the financial reporting pro-

cess are identified and corrected.

Overall control environment

The Board of Directors has the overall re-

sponsibility for Columbus A/S’ internal con-

trols and has approved Group policies re-

lated to internal controls, standards and

procedures for financial reporting.

The Board of Directors has appointed the

Audit Committee to assist the Board of Di-

rectors with supervising the financial re-

porting process and monitoring the effec-

tiveness of the internal controls and risk

management system.

The responsibility for maintaining efficient

internal controls and a risk management

system in connection with the financial re-

porting lies with the Executive Board which

in cooperation with the Board of Directors

annually evaluate the control system of the

Group. Responsibilities, authorities and

procedures relating to essential areas are

defined in a Group policy which is ap-

proved by the Board of Directors.

Risk assessment

The Board of Directors and the Executive

Board annually assess the risks that Co-

lumbus A/S is exposed to, including risks

related to the financial reporting process.

On an ongoing basis, the Audit Committee

monitors the effectiveness of the internal

controls for financial reporting and reviews

and discusses material and relevant

changes to accounting principles, includ-

ing implementation of these.

Control activities and monitoring

All companies in the Columbus Group

report financial and operational data to the

head office on a monthly basis. The re-

porting includes comments to the financial

and business development. Based on this

reporting the Group’s financial statements

are consolidated and reported to the

Group management.

As part of this process, monthly business

reviews and controlling meetings are held,

and control visits to all operational compa-

nies in the Group are performed on an on-

going basis in order to ensure that material

errors in the financial reporting are dis-

couraged, discovered and corrected.

The need for an internal audit is consid-

ered annually by the Audit Committee.

However, due to the size of the Company

and the established control activities the

Audit Committee so far considers it unnec-

essary to establish an independent inter-

nal audit function.

Information and communication

Columbus has implemented a formalized

reporting process for monthly, quarterly

and annual reporting as well as for budget-

ing and forecasting.

Columbus’ reporting manual and other re-

porting instructions are updated on an on-

going basis. All updates are communi-

cated to the global finance organization.

All employees have access to reporting

manuals and instructions.

Whistleblower function

As part of the risk management, Columbus

has established a whistle-blower function

for expedient and confidential notification

of possible or suspected wrongdoing. At

the end 2023, no cases had been reported

through the whistle-blower scheme.

Further information

The statutory report on Corporate Governance

for 20

23, cf. section 107b of the Danish Finan-

cial Statement Act is available at:

www.colum-

busglobal.com/Investors/Corporate Governance

Statements

Remuneration Policy, including g

uidelines for in-

centive programs

, cf. section 139 and 139a of

the Danish Companies Act is

available at:

www.columbusglobal.com/Investors/Remunera-

tion

The Remuneration Report for 202

3, cf. section

139b of the Danish Companies Act is available

at:

www.columbusglobal.com/Investors/Remu-

neration

The Diversity

, Equity & Inclusion Policy, cf. sec-

tion

139c of the Danish Companies Act and the

Recommendations on Corporate Governance is

available at:

www.columbusglobal.com/Inves-

tors/Diversity,Equity&Inclusion

The Data Ethics Policy

is available at: www.co-

lumbusglobal.com/Investors/Polices&Articleso-

fassociation

Annual Report 2023

Financial Statements Governance Our business The big perspective

Setting the

direction for a

better tomorrow

Annual Report 2023

Financial Statements Governance Our business The big perspective

Annual Report 2023

Financial Statements Governance Our business The big perspective

In 2022, we launched a sustainability strat-

egy aimed at contributing to the sustaina-

bility agenda by acting responsibly as a

global business in relation to ESG while

helping our customers accelerate their

sustainable performance.

The EU Corporate Sustainability Reporting

Directive (CSRD) requires companies to

disclose information regarding their envi-

ronment, social and governance (ESG)

performance. For Columbus, CSRD will

become effective from the financial year

2024 where the sustainability report will be

an integrated part of the annual report.

We have initiated a Double Materiality As-

sessment to identify material topics for Co-

lumbus which will guide us throughout

2024. Thus, becoming compliant with the

CSRD requirements prior to reporting on

the financial year 2024.

Sustainability strategy

Columbus’ sustainability strategy is built

on two streams; an external stream

focused on enabling sustainable impact for

our customers and an internal stream fo-

cused on our own ESG ambitions; Building

sustainable operations (E), Growing a di-

verse and talented culture (S), Ensuring

responsible business conduct (G).

Customers – Enabling sustainable

impact

Our ambition is to help our customers ac-

celerate sustainable performance and de-

velopment by providing digital solutions

that promote sustainability, growth, and

profitability in their business. In 2023, we

took an important step in addressing the

challenge for many companies to become

compliant with the upcoming CSRD re-

quirements. The challenge for many com-

panies is to get the right data from their

ERP system and transform it into ESG

metrics to help monitor and report pro-

gress. For many companies, this is a man-

ual and tiresome process.

Columbus has developed the framework

ESG Data Accelerator which helps our

customers take control of their ESG data.

The ESG Data Accelerator automates

ESG data, enabling companies to follow

their sustainability progress in real-time.

Thus, being able to act on the data, whilst

pulling the right data for ESG reporting.

Another focus is to help customers in our

key industries of retail & distribution, food

& beverage, manufacturing, and life sci-

ence to accelerate their sustainable perfor-

mance.

As these industries all produce physical

products, they typically have a high level

of greenhouse gas emissions that result

from the production, processing, and

transportation of products. Having a clear

picture of the product journey from raw

materials to the point of sale and ensuring

that suppliers comply with environmental

and social standards is just one example

of the increasing requirements from the

EU legislation. Columbus can help elevate

our customers’ supply chain performance

with new technologies such as AI and

transform demand forecasting and inven-

tory management.

For the food manufacturing industry, Co-

lumbus has launched our Resource-effi-

cient Food Manufacturing service where

we help customers drive efficiency across

their food production. We follow a step-by-

step program to get the full picture of how

to improve resource efficiency and sus-

tainable manufacturing of the food prod-

uct.

From strategy to action:

Our progress in 2023

2023 marked the year where Columbus put its sustainability ambitions into action

We defined

our ESG roadmap, and we took services to market to help customers

accelerate their sustainable performance and ESG compliance.

Annual Report 2023

Financial Statements Governance Our business The big perspective

Building sustainable operations

We are committed to reducing our environ-

mental footprint by optimizing our daily op-

erations. As a 100% consultancy company

Columbus does not produce any physical

products or develop any software solu-

tions. Most of Columbus’ CO2 emissions

stem from business travel, data centers

and the impact of running our offices.

In 2023, we have focused on transitioning

the energy mix in our offices over to more

renewable energy. Today, 70% of our en-

ergy comes from renewable sources. In

addition, we are in the process of imple-

menting a company car policy, transition-

ing all company cars from internal com-

bustion to electric by 2028. We are also

working on optimizing our ways of travel-

ling with a new travel policy and guide-

lines. In 2024, we will restate our baseline

to comply with the CSRD requirements.

Growing a diverse and talented culture

As a people first company, our ambition is

to ensure an inclusive and diverse working

environment which is engaging with mean-

ingful work, where people can explore and

grow.

In 2023, we launched a new career frame-

work to improve personal development

and growth. We also implemented a new

HR system to support career development

that enhances the employee’s impact and

ensures streamlined processes across our

global company.

Regarding diversity, equity and inclusion

(DE&I), some of our key initiatives have re-

volved around adapting our existing pro-

cesses and policies to increase the per-

spective on DE&I. In 2023, we have

strengthened both our onboarding and off-

boarding processes with a Candidate NPS

and global exit surveys with a particular fo-

cus on inclusion. We have also incorpo-

rated questions about inclusion and diver-

sity in our annual employee satisfaction

survey to help us improve.

Columbus has set a goal of increasing the

proportion of women in Columbus, thus

aiming for 40% women by 2027. Today,

the proportion of women in Columbus is

30%. In 2023, we initiated a range of activ-

ities to cater for increased diversity.

We launched a new Diversity & Inclusion

course in our Columbus Academy to help

gain a better understanding of the signifi-

cance and impact of D&I. We also applied

a new DE&I policy and launched a new

network for women in Columbus, named

Women Inspirational Network (WIN) to in-

spire with role models and strengthen

women’s network.

The new DE&I policy also includes a sec-

tion covering Human Rights stating that

Columbus does not tolerate any kind of

discrimination, violence, harassment or

bullying of employees and provides a

mechanism for reporting and addressing

such incidents.

In 2024, we will conduct a human rights

impact assessment as part of the sustain-

ability Due Diligence in compliance with

the UNGP standard.

Ensuring responsible business conduct

Columbus operates in 10 countries, each

with distinctive laws, regulations, and cul-

tures. Therefore, its key for Columbus to

ensure that we act with the same level of

integrity across our markets and in compli-

ance with the applicable legislation.

Our Code of Conduct is our ethical guide-

line for business conduct to ensure that

we, on a global level, are dedicated to pro-

moting ethical business practices.

In 2023, we adopted an Anti-Bribery and

Anti-corruption Policy. The policy will be

renewed annually and updated with new

initiatives and actions, if relevant.

As a listed Danish company, we access

and report on economic activities in ac-

cordance with the EU Taxonomy. At the

end of the year, we initiated a Double Ma-

teriality Assessment to comply with the

CSRD requirements, which will become ef-

fective for Columbus for the financial year

2024. This will help us prioritize our efforts

and focus on the areas where we can

make the most significant impact.

Our sustainability focus is anchored at the

highest level in Columbus with the Execu-

tive Management and the Board of Direc-

tors who approve the direction and targets.

Our Audit Committee monitors the proce-

dures and performance of our sustainabil-

ity activities.

It is essential for us that our sustainability

initiatives become an integrated part of our

organization, not being run as a side-line

project with no link to our business. There-

fore, we have defined a governance model

going forward, with organizational owner-

ship of ESG initiatives and commercial

sustainability activities.

Further information

The

Sustainability Report 2023 is available at:

www.columbusglobal.com/Investors/CSR

The

Anti-Bribery & Anti-Corruption Policy is

available at:

www.columbusglobal.com/Inves-

tors/Polices&Articlesofassociation

Annual Report 2023

Financial Statements Governance Our business The big perspective

ESG key figures

Annual Report 2023

Financial Statements Governance Our business The big perspective

Corporate Social Responsibility

In Columbus, we are committed to contribute to

the UN Sustainable Development Goals. We

focus on seven of the 17

SDGs. In 2023, we

have taken important steps within all SDG

targets.

Columbus support

the UN Global Compact

Columbus has been part of the UN Global Compact since 2012,

which shows our commitment to being socially and environmentally

responsible.

Columbus supports and enacts seven general principles of corpo-

rate social responsibility.

These principles are based on internationally recognized conven-

tions on human rights, labour standards, environment, and anti

-cor-

ruption.

Information

Columbus’ statutory statement on Corporate Social Responsibility

(Sustainability Report) pursuant to section 99a

of the Danish Finan-

cial Statements Act for the financial year 2023 is available on the

company’s website at

www.columbusglobal.com/Investors/CSR

We commit to

growing a di-

verse, inclu-

sive, and tal-

ented culture. We continue

to increase the proportion of

women in Columbus.

We ensure

high-quality

work and safe

working con-

ditions for our people, and

we ensure equal opportuni-

ties for career progression

and talent development for

all employees.

We help our

customers

accelerate

their sustaina-

ble performance with digital

advisory and innovative

solutions within the indus-

tries Food & Beverage,

Manufacturing, Retail

& Distribution and Life Sci-

ence.

We ensure

equal rights,

conditions

and opportu-

nities for all candidates and

employees, irrespective of

age, gender, disability, race,

ethnicity, origin, religion, or

other status.

We improve

daily opera-

tions to create

significant

sustainable outcome by

striving to recycle waste and

optimize energy and water

consumption.

We advise our

customers and develop inno-

vative digital solutions that

help our customers enable

sustainable production

patterns.

We aim to re-

duce our en-

vironmental

footprint glob-

ally by improving our daily

operation such as flight

travel, increase green trans-

portation, recycle our waste

and optimize our consump-

tion and energy mix.

We ensure

responsible

business

conduct by

acting transparently and as a

morally accountable

company and comply with

EU, UN and OECD

regulations, such as UDHR

and CSRD.

Gender

equality

Decent work and

economic growth

Industry,

innovation and

infrastructure

Reduce

inequalities

Responsible

consumption

and production

Climate action

Peace, justice

and strong

institutions

Annual Report 2023

Financial Statements Governance Our business The big perspective

As Columbus has grown and developed

over time, focus on risk management has

increased and become an integrated part

of the Group’s business activities. By con-

stantly monitoring and mitigating risks, Co-

lumbus aims to reduce risks to an ac-

ceptable level to reduce potential negative

impact on operational performance and fi-

nancial results.

Columbus risk management is organized

according to the “Three lines of defence”

model, which organizes roles and respon-

sibilities for risk decisions and controls to

ensure efficient risk management and gov-

ernance.

The Executive Board is responsible for the

ongoing risk management and continu-

ously considers and reviews key risks.

Risk management is reported to and dis-

cussed with the Audit Committee at com-

mittee meetings during the year.

The Board of Directors has the final re-

sponsibility for the Group’s risk manage-

ment.

Once a year, a formalized updated risk as-

sessment, including measures to mitigate

risks, is reported to the Board of Directors

for approval.

Risk definition

Columbus’ is exposed to several commer-

cial, compliance, and financial risks that

potentially could reduce the ability to real-

ize the Company’s strategic and opera-

tional objectives. Risks are evaluated in

terms of:

Probability that the risk will materialize

Impact without any mitigation

Gross Risk

Mitigation activities

Net Risk

Risk management

As a global company operating in a continuously changing environment,

Columbus is exposed to

several commercial, compliance and financial risks.

Consequently, it is essential for the Company to ensure that risks are constantly

identified,

monitored and controlled in order to reduce potential negative impact

operational performance and financial results.

Annual Report 2023

Financial Statements Governance Our business The big perspective

Risk handling

Columbus constantly strives to bring risks

to a level that is acceptable. Columbus

seeks to transfer the risk to a third party

and/or to mitigate the risk seeking to mini-

mize the exposure. Ultimately some risks

will remain that Columbus accepts. By

constantly monitoring and mitigating these

risks, Columbus aims to reduce them to an

acceptable level.

Risk grouping

Columbus groups the risks in Commercial,

Compliance and Financial risks.

Columbus’ potential to realize the Com-

pany’s strategic and operational objectives

is exposed to several commercial risks,

such as the ability to adapt to market

changes, project and contract risks, em-

ployee dependency and partnership with

software providers.

As a stock listed company with operations

in serval countries around the world, Co-

lumbus is exposed to various regulations

from governments and states. Risk such

as data storage, environmental regula-

tions, workplace health and safety and

corruption are constantly changing and is

constantly monitored within our risk frame-

work.

Due to Columbus’ international activities,

investments and financing, the Group’s

earnings and equity are impacted by

changes in currency rates, interest rates,

liquidity and credit risk. The overall objec-

tive of the financial risk management is to

reduce the sensitivity of earnings to fluctu-

ations in economic trends.

The Parent Company controls the financial

risks in the Group centrally and coordi-

nates the Group’s liquidity management,

including provision of capital and place-

ment of excess liquidity pursuant to the

“Finance policy and financial risk manage-

ment guidelines” determined by the Board

of Directors and the Executive Board.

These guidelines are updated and ap-

proved by the Board of Directors annually,

based on a low risk profile so that currency

and interest risks only emerge in commer-

cial conditions.

Internal controls and risk management re-

lated to financial reporting are described

on page 40 under “Corporate Governance”

and are included in the Company’s Statu-

tory Corporate Governance statement, cf.

section 107b of the Danish Financial

Statements Act which is available on

Columbus’ website.

The top risk issues are mapped in terms of

probability and impact in the graph to the

right and further described on the next

page.

Risk map

Annual Report 2023

Financial Statements Governance Our business The big perspective

IT, GDPR and cybercrime

Project and contract

risks

Employee dependency

Competitive pressure and

market changes

Partnership with software

providers

Risk

Key Information Security risks are

malicious attacks and

security/data incidents leading to

breach of Confidentiality, Integrity

and Availability of Business

Information. Equally significant risk

is violation of privacy laws such as

GDPR (General Data Prot

ection

Regulation) in EU and UK.

It is crucial to Columbus’ services

projects to be able to execute high

quality at the agreed time and

price. Risks are attached to the

Sale, Analysis

& Design,

Development, Implementation and

Deployment

phases.

Columbus is a knowledge

intensive company and in order to

continuously offer optimal

solutions, develop innovative

products, and ensure satisfactory

financial results, it is necessary to

attract, retain and develop the

right employees.

Rapid changes and competitive

pressures from both existing and

new competitors in the IT market

provide a risk of

diminishing

Columbus’ competitive edge.

Increased market volatility and a

fragile economy situation increase

the general risk picture.

Columbus’ business is to a wide

extent based on implementation

and servicing of customer

solutions based on third party

software and cloud products.

Partnerships with our software and

cloud providers is of crucial

importance to the implementation

of Columb

us’ business strategy.

Impact

Business disruptions, data

loss,

contract breach, regulatory

implications, and penalties.

Incorrect pricing and unclear

scoping pose a risk of cost

overruns

, delivery risks and

customer dissatisfaction

Probability is considered

low/medium and impact medium.

Lack of talent will limit the future

growth

and loss of key employees

could have negative impact on the

existing business

. Both probability

and potential impact is considered

medium.

Failing to spot and follow market

trends and development could

have a negative impact on the

growth opportunities and existing

business.

Both probability and

potential impact is considered

medium.

Loss of partnership agreements

or deteriorating relationships

could have a significant negative

impact on the overall business.

Probability is considered low and

impact medium/high.

Mitigation

Columbus has a full

-time

dedicated IT Security and

Governance program that designs,

steers implementation, monitors

compliance, and tests

effectiveness of Information

Security and Data

Protection

measures across the

organization.

In that process,

dedicated people, processes, and

technological solutions are

deployed. Columbus leverages

ISO 27001 standard as a baseline

for its information security controls

program and continuously

assesses

new risks to the

business that may need attention.

lumbus continuously optimizes

the project scoping process

with

standard templates, contracts and

include learnings from previous

projects.

Through project reviews,

implemented standard contracts

and ongoing analyses before,

during, and after initiation,

Columbus aims

to identify issues

and problems before they

escalate

. This mitigation has

lowered

during the past years.

Columbus has the goal of being

an attractive workplace and

achiev

ing this through incentive

programs, attractive working

conditions, employee and

manager development, and

placing great importance on the

company culture.

All employee’s

heartbeat (based on NPS

approach) are measured on a

monthly basis to ensure good

culture, personal progress

and

employee development

to be able

to monitor and act

Columbus is continuous

improving and developing new

market and industry relevant

services and solutions

Market and

competitor analysis is a standard

part of our

management and C-

level meetings

. A key area of our

strategy is to

constantly develop

our skilled employees to ensure

high quality in delivery of projects

and services.

Columbus has

a long-lasting

strategic partnerships with

Microsoft and Infor,

and is

considered one

of their main

implementation partners

Columbus is

continuously in

close dialog with our major

partners on an ongoing basis

Risk issues and actions

Annual Report 2023

Financial Statements Governance Our business The big perspective

Group overview

Company

Country

Ownership by

Columbus A/S,

Columbus A/S’

share of voting

right, %

Average no. of

employees

2023

Columbus A/S

Denmark

308

Subsidiaries

Western Europe

Columbus Norway AS

Norway

100

181

Columbus

Sweden AB

Sweden

100 100 438

Columbus Global (UK) Ltd.

England

100 100 191

Columbus Deutschland GmbH

Germany

100 100 24

ICY Security ApS

Denmark

100 100 38

Company

Country

Ownership by

Columbus A/S,

Columbus A/S’

share of voting

right, %

Average no. of

employees

2023

Eastern Europe

Columbus Global s.r.o

Czech

100 100 37

Columbus

Poland Sp.z.o.o.

Pol

and 100 100 48

North America

Columbus US Inc.

USA

100 100 47

Asia

Columbus Global Services

India Pvt. Ltd.

India

100 100 243

Rest of world

Columbus

Chile SpA

Chile

100 100 13

Note: The overview only contains the Group’s operative companies.

Annual Report 2023

Financial Statements Governance Our business The big perspective

Board of Directors

Ib Kunøe

Sven Madsen

Born

1943

1964

Title and position

Chairman of the board

Member of the Board since 2004, re

-elected in 2023, term expires 2024

Deputy

Chairman of the board

Member of the Board since 2007, re

-elected in 2023, term expires 2024

CFO in

Consolidated Holdings A/S

Member of the Audit Committee

Education

Holds an HD Graduate Diploma in Organization and Management as well as a back-

ground as a professional officer (major).

Holds a Graduate Diploma in Financial and Management Accounting and an MSc in

Business Economics and Auditing

Considered independent

Chairman of the board

Consolidated Holdings A/S, X

-Yachts A/S, X-Yachts Marina A/S, CALUM Ballerup

K/S, CALUM Åbyh

øj K/S, CALUM Værløse K/S, CALUM Bagsværdlund K/S,

CALUM Rødovre K/S,

Komplementarselskabet Åbyhøj ApS, Komplemen-

tarselskabet Værløse ApS

, Komplementarselskabet Bagsværdlund ApS,

Komplementarselskabet Rødovre ApS

and Komplementarselskabet Ballerup ApS

Atea ASA

, CHV III ApS, Dansk Emballage A/S

Member of the Board

Atrium Partner A/S

Consolidated Holdings A/S, core:workers AB, core:workers Holding A/S, X

-Yachts

A/S,

X-Yachts Marina A/S, Ejendomsaktieselskabet af 1920 A/S, CHV V A/S, DAN-

Palletiser Finans A/S and MonTa Biosciences ApS.

Special competencies

Company management, including management of IT companies, development of

and dealing with companies.

General management, M&A, business development, economic and financial issues.

No. of shares 31

Dec 2023

0,000

948

,529

Changes in fiscal year, shares

Annual Report 2023

Financial Statements Governance Our business The big perspective

Peter Skov Hansen

Karina Kirk Ringsted

Born

1951

1971

Title and position

Member of the Board since 2012, re

-elected in 2023, term expires 2024

Chair of the Audit Committee

Member of

the Board since 2018, re-elected in 2023, term expires 2024

Owner of KIRK & CO

, Executive and board advisory

Education

Completed State Authorized Public Accountant education in 1980, registered as

nonpracticing.

Holds a Master of Science in

International Business Administration (1996) from

CBS

, NYU Stern School of Business, MBA selected classes (1994), Executive,

Board Leadership and Governance (2017)

Considered independent

Yes

Chairman of the board

–

Member of the Board

-Yachts A/S

Ringsted Olie A/S

and BRO Kommunikation A/S

Special competencies

Business development and financial, accounting and tax related issues.

General management, management of consulting companies, market and customer

leadership, business development and business transformation.

No. of shares 31

Dec 2023

280,000

,000

Changes in fiscal year, shares

Annual Report 2023

Financial Statements Governance Our business The big perspective

Per Ove Kogut

Born

1964

Title and position

Member of the Board since

2022, term expires 2024

Education

aster, Public Administration & IT science from the University of Copenhagen

Considered independent

Yes

Chairman of the board

Digital Hub Denmark, Epista life science A/S

Member of the Board

Loyal Solutions A/S

and Automize A/S

Special competencies

General management, management of consulting companies, market and customer

leadership and business development.

No. of shares 31

Dec 2023

Changes in fiscal year, shares

Annual Report 2023

Financial Statements Governance Our business The big perspective

Søren Krogh Knudsen

Brian Iversen

Born

196

Title and position

CEO & President

Joined in Ju

ne 2021

CFO

Joined in

October 2022

Education

olds an executive MBA in Business Administration, economics and an Academy

Profession Degree in Financial

Management.

olds an MBA from Henley University in the UK and a Graduate Diploma in Finance

& Accounting.

Chairman of the board

Special competencies

General management,

technology-

driven transformation programs, turnarounds and

growth

strategies

Leading, optimizing and developing global finance operations, implementing strategic

programs, M&A's and improving business performance.

No. of shares 31

Dec 2023

494,658

Changes in fiscal year, shares

Total no. of

warrants 1 Jan 2023

999,999

No. of warrants exercised in 20

No. of warrants granted in 20

450,000

Total no. of warrants 31 Dec 20

999,999

450,000

Executive Board

Annual Report 2023

Financial Statements Governance Our business The big perspective

Share capital

At the end of 2023 the share capital in

Columbus A/S comprised of 129,276,264

shares at DKK 1.25 corresponding to nom-

inal share capital of DKK 161,595,330

(2022: 129,276,264 shares at DKK 1.25

corresponding to nominal share capital of

DKK 161,595,330).

Each share provides one vote. The shares

are marketable securities and no re-

strictions have been set for the shares’ ne-

gotiability. The shares must be named and

noted in the Company’s share register.

Source: Nasdaq Copenhagen A/S

Share development

At the end of 2023, the price of the

Columbus A/S share was DKK 7.10, while

at the end of 2022 it was DKK 6.29 – an

increase of 12.90% (2022: -33.96%)

In 2023, a total of 14m shares were traded

corresponding to 10.9% of the total num-

ber of shares at the end of 2023 (2022:

12.4%). The average trade per business

day in 2023 was DKK 0.34m (2022: DKK

0.5m)

The Company’s market value amounted to

DKK 917.9m at the end of 2023 against

DKK 813.1m at the end of 2022.

Shareholders

At the end of 2023 Columbus A/S had

6,931 registered shareholders, who to-

gether owned 96.74% of the total share

capital.

The following shareholders have informed

Columbus A/S of possession of 5% or

above of the share capital:

No. of shares %

Consolidated

Holdings A/S

75,946,715 58.75

Ib Kunøe

450,000

0.35

76,396,715 59.10*

Shareholder information

Share price development in 202

Shareholders

(13 March 2024)

Financial calendar 202

Annual Report 2023

13 March 2024

Annual General Meeting

25 April 2024

Interim Report Q1 2024

8 May 2024

Interim Report Q2 2024

22 August 2024

Interim Report Q3 2024

6 November 2024

Share data

Share capital

DKK 161,595,330

No. of shares

129,276,264

Stock exchange

Nasdaq Copenhagen A/S

ISIN code

DK0010268366

Abbreviated name

COLUM

Index

Small Cap

Share price at year-end

DKK 7.10

58,75%

1,72%

39,53%

Consolidated Holdings

Board of Directors and Executive Board

Other

* Due to shareholder voting agreements, Consolidated

Holdings A/S holds 62.20% of the voting rights.

Annual Report 2023

Financial Statements Governance Our business The big perspective

Members of Columbus A/S’ Board of

Directors and Executive Board owned in

total 60.47% of the share capital at the

end of 2023.

Dividend

The Company’s dividend policy is to dis-

tribute a dividend of minimum 10% of the

nominal share capital each year, corre-

sponding to DKK 0.125 per share. Be-

sides, the Board of Directors may decide

to propose to the General Meeting that this

dividend be supplemented with an extraor-

dinary dividend for a specific fiscal year.

However, it is decisive for Columbus to

reduce debts and improve financial re-

sources in order to be able to seize any

positive development opportunities for

continued strengthening of the long-term

value creation for the Company. The

Board of Directors may therefore decide to

deviate from the dividend policy and pro-

pose at the General Meeting that divi-

dends are not distributed for a specific

fiscal year.

The Board of Director proposes that the

Annual General Meeting adopts ordinary

dividends to shareholders of 10% of the

nominal value in line with the dividend

policy.

Investor Relations

Columbus seeks to provide a high and

consistent level of information to our

shareholders and other interested parties.

A company goal is to have an open and

active dialogue with shareholders, share

analysts, the press and the public in order

to ensure the necessary insight and

thereby the best possibility to evaluate the

Company. This will be obtained in accord-

ance with rules and legislation for compa-

nies listed on Nasdaq Copenhagen and in

accordance with Columbus’ Investor Rela-

tions policy. Communication with inter-

ested parties takes place via the ongoing

publication of notifications, investor

presentations and individual meetings.

The website www.columbusglobal.com is

the primary source of information for inter-

ested parties. It is updated continuously

with new information about Columbus’ re-

sults, activities and strategy.

At the Company’s website, it is possible to

subscribe to Columbus’ e-mail service and

thereby receive company announcements,

financial statements and investor news via

e-mail: www.columbusglobal.com/Ives-

tors/Subscribefornews

Columbus hosts a conference call after

publication of financial statements. The

call and presentations can be followed

live and on demand via the Company’s

website.

Announcements to Nasdaq Copenhagen

in 2023 can be found at the Company’s In-

vestor site: www.columbusglobal.com/In-

vestors/Announcements.

Contact

The

Group CFO handles the daily contact with

investors and analysts:

Group

CFO,

Brian Iversen

Email:

Brian.Iversen@columbusglobal.com

Columbus

Lautrupvang 6

2750

Ballerup

Tel:

+45 7020 5000

General Meeting

The Company’s Annual General Meeting

will be held on:

5 April 2024 at 10.00 a.m.

on the Company’s address at:

Lautrupvang 6, 2750 Ballerup.

Annual Report 2023

Financial Statements Governance Our business The big perspective

Annual Report 2023

Statement of comprehensive income

Balance sheet

Statement of changes in equity

- Group 60

Statement of changes in equity

– Parent company 61

Cash flow

Notes

Statement by management on the Annual Report

115

Independent Auditor’s Reports

116

Financial

statements

Financial Statements Governance Our business The big perspective

Annual Report 2023

Financial Statements Governance Our business The big perspective

Group Parent Company

DKK ´000

Note 2023 2022 2023 2022

Net revenue

3 1,539,955 1,389,434 393,148 346,153

External project costs

-168,716 -135,350 -48,989 -68,916

Gross profit

1,371,239 1,254,084 344,159 277,237

Staff expenses and

remuneration

4 -1,102,820 -1,036,275 -283,319 -251,164

Other external costs

-154,359 -144,090 -70,110 -60,929

Other operating income

6 3,474 18,111 57,433 55,267

EBITDA

117,534 91,830 48,163 20,411

Depreciation, amortization

and impairment

5 -57,446 -56,695 -21,155 -19,369

Operating profit (EBIT)

60,088 35,135 27,008 1,042

Financial income

7 2,818 2,909 26,727 67,439

Financial expenses

7 -23,568 -5,956 -14,655 -5,090

Profit before tax from

continuing operations

39,338 32,088 39,080 63,391

Corporate tax

8 -15,576 -2,185 -6,465 -3,064

Profit after tax from

continuing operations

23,762 29,903 32,615 60,327

Profit (loss) after tax from

discontinued operations

3,127 -41,216 1,172 -35,209

Profit (loss) after tax for the period

26,889 -11,313 33,787 25,118

Group Parent Company

DKK ´000

Note 2023 2022 2023 2022

Items that may be reclassified

subsequently to profit and loss:

Foreign exchange adjustments of

subsidiaries

-910 -8,201 0 0

Other comprehensive income

-910 -8,201 0 0

Total comprehensive

income for the period

25,979 -19,514 33,787 25,118

Profit (loss) after tax

allocated to:

Shareholders in Columbus A/S

26,889 -11,313

Minority interests

0 0

26,889 -11,313

Total comprehensive income

allocated to:

Shareholders in Columbus A/S

25,979 -19,514

Minority interests

0 0

25,979 -19,514

Earnings per

share of DKK 1.25 (EPS)

0.21 -0.09

Earnings per share of DKK 1.25, diluted

(EPS

-D)

0.21 -0.09

Statement of comprehensive income

Annual Report 2023

Financial Statements Governance Our business The big perspective

Group Parent Company

DKK ´000

Note 2023 2022 2023 2022

ASSETS

Goodwill

10 654,243 603,299 131,656 131,656

Customer base

10 14,392 17,430 0 0

Internal applications

10 44,869 51,029 44,869 51,029

Development projects finalized

10 638 1,650 188 685

Property, plant and equipment

11 13,890 12,349 1,713 1,869

Right

-of-use assets 12 82,328 65,316 17,353 11,880

Investments in subsidiaries

13 0 0 782,431 730,438

Deferred tax assets

8 22,740 28,640 0 1,883

Other receivables

19,342 16,509 10,071 12,143

Total non

-current assets

852,442 796,222 988,281 941,583

Trade receivables

14 293,906 254,800 63,182 47,723

Contract assets

15 9,065 5,822 1,375 229

Receivables from subsidiaries

0 0 82,611 69,202

Corporate tax receivables

2,049

2,254

Other receivables

13,709 12,930 9,740 8,759

Receivables from divestment of activities

28 57,322 59,264 0 0

Prepayments

31,089 19,868 13,745 8,801

Receivables

407,140 354,938 170,653 134,714

Cash

38,269 32,787 602 0

Total current assets

445,409 387,725 171,255 134,714

TOTAL ASSETS

1,297,851 1,183,947 1,159,536 1,076,297

Group Parent Company

DKK ´000

Note 2023 2022 2023 2022

EQUITY AND LIABILITIES

Share capital

16 161,595 161,595 161,595 161,595

Reserves on foreign currency translation

-68,553 -67,643 0 0

Reserve to development costs

0 0 35,145 40,337

Retained profit

623,787 612,453 628,597 605,173

Equity

716,829 706,405 825,337 807,105

Deferred tax

8 5,771 2,852 4,168 0

Other provisions

829 866 829 866

Contingent consideration

17 16,961 0 16,961 0

Debt to credit institutions

116,000 76,000 116,000 76,000

Lease liability right

-of-use assets 18 60,687 40,796 12,468 6,372

Non

-current liabilities 200,248 120,514 150,426 83,238

Debt to credit institutions

36,297 52,335 36,314 75,094

Debt to subsidiaries

0 0 58,651 40,746

Contract liabilities

15 8,241 9,960 2,752 2,210

Trade payables

60,666 64,926 20,249 23,319

Corporate tax payables

8 1,848 1,426 0 0

Other payables

19 217,938 164,557 54,414 33,202

Accruals and deferred income

31,755 36,898 5,833 5,182

Lease liability right

-of-use assets 18 24,029 26,926 5,560 6,201

Current

liabilities 380,774 357,028 183,773 185,954

Total liabilities

581,022 477,542 334,199 269,192

TOTAL EQUITY AND LIABILITIES

1,297,851 1,183,947 1,159,536 1,076,297

Balance sheet

Annual Report 2023

Financial Statements Governance Our business The big perspective

DKK ´000

capital

Reserves

on foreign

currency

translation

Retained

profits Equity

2023

Balance at 1 Jan 2023

161,595 -67,643 612,453 706,405

Profit

after tax 0 0 26,889 26,889

Currency adjustments of investments

in subsidiaries

0 -910 0 -910

Total comprehensive income

0 -910 26,889 25,979

-based payment 0 0 605 605

Payment of dividend

0 0 -16,160 -16,160

Balance at 31 Dec

2023 161,595 -68,553 623,787 716,829

At the Annual General Meeting held on 24 April 2023, Columbus adopted a dividend of DKK

0.125 per share.

Shareholders in Columbus A/S

DKK ´000

capital

Reserves

on foreign

currency

translation

Retained

profits Equity

2022

Balance at 1 Jan 2022

161,595 -59,442 638,827 740,980

Profit after tax

0 0 -11,313 -11,313

Currency adjustments of investments

in subsidiaries

0 -8,201 0 -8,201

Total comprehensive income

0 -8,201 -11,313 -19,514

-based payment 0 0 1,099 1,099

Payment of dividend

0 0 -16,160 -16,160

Balance at 31 Dec 2022

161,595 -67,643 612,453 706,405

Accounting policies

Dividend

Proposed dividends are recognized as a liability at the time of approval by the General Meeting (time of

declaration).

Translation reserve

The translation reserve comprises foreign exchange differences arising from translation of the financial re-

port for entities with a different functional currency than Danish kroner.

Statement of changes in equity - Group

Annual Report 2023

Financial Statements Governance Our business The big perspective

DKK ´000

capital

Reserve to

develop-

ment costs

Retained

profits Equity

2023

Balance at 1 Jan 2023

161,595 40,337 605,173 807,105

Profit after tax

0 0 33,787 33,787

Total comprehensive income

0 0 33,787 33,787

-based payment cf. note 4 0 0 605 605

Payment of dividend

0 0 -16,160 -16,160

Development costs

0 -5,192 5,192 0

Balance at 31 Dec 2023

161,595 35,145 628,597 825,337

At the Annual General Meeting held on 24 April 2023, Columbus adopted a dividend of DKK

0.125 per share.

DKK ´000

capital

Reserve to

develop-

ment costs

Retained

profits Equity

2022

Balance at 1 Jan 2022

161,595 37,266 598,187 797,048

Profit after tax

0 0 25,118 25,118

Total comprehensive income

0 0 25,118 25,118

-based payment cf. note 4 0 0 1,099 1,099

Payment of dividend

0 0 -16,160 -16,160

Development costs

0 3,071 -3,071 0

Balance at 31 Dec 2022

161,595 40,337 605,173 807,105

Statement of changes in equity – Parent company

Annual Report 2023

Financial Statements Governance Our business The big perspective

Group Parent Company

DKK ´000

Note 2023 2022 2023 2022

Operating profit (EBIT)

60,088 35,135 27,008 1,042

Non

-recurring income and expenses

from acquisitions

-3,104 0 -3,104 0

Depreciation, amortization and

impairment

5 57,446 56,695 21,155 19,369

Cost of incentive scheme

605 1,099 605 1,099

Changes in net working capital

25 -21,025 -61,086 1,947 -83,604

Cash flow from primary activities

94,010 31,843 47,611 -62,094

Interest received, etc.

2,423 648 6,761 3,202

Interest paid, etc.

-11,776 -5,956 -12,616 -5,109

Corporate tax paid

-7,703

-169

-415

-1,062

Cash flow from operating activities

discontinued operations

27 0 1,065 0 0

Cash

flow from operating activities

76,954 27,431 41,341 -65,063

Acquisition of tangible assets

-7,888 -8,239 -951 -1,010

Acquisition of intangible assets

-7,095

-15,823

-7,095

-15,823

Disposal of tangible assets

7 258 0 50

Payments for

Financial assets 1,864 0 1,864 0

Acquisition of activities

-35,895 -5,415 -34,045 -5,415

Disposal of activities

28 1,927 -8,768 1,172 1,603

Dividends received from subsidiaries

0 0 16,204 55,073

Cash flow from investing activities

-47,080 -37,987 -22,851 34,478

*Comparative figures for parent company 2022 have been adjusted due to misstatement in change in net

working capital and overdraft facilities. Change in net working capital has been adjusted from

DKK -23,074k to DKK -83,604k. Overdraft facilities have been adjusted from DKK -19,194k to DKK

41,336k. The adjustment has not impacted to total net change in cash and cash equivalents. The correction

has further impacted Note 25 – Change in net working capital and Note 26 – Cash flow from financing activ-

ities.

Group Parent Company

DKK ´000

Note 2023 2022 2023 2022

Proceeds from borrowings

40,000 0 40,000 0

Overdraft facilities

-12,533 33,324 -38,780 41,336

Repayment of lease liabilities

-27,201 -30,770 -6,316 -6,246

Dividends paid

-16,160 -16,160 -16,160 -16,160

Cash flow from financing activities

discontinued operations

27 0 -326 0 0

Cash flow from financing activities

-15,894 -13,932 -21,256 18,930

Total net change in cash and cash

equivalents

13,980 -24,488 -2,766 -11,655

Cash funds at the beginning

of the period

32,787 62,943 0 2,491

Exchange rate adjustments

-8,498 -5,668 3,368 9,164

Cash funds at the end of the

period

38,269 32,787 602 0

Accounting policies

The cash flow statement is presented using the indirect method based on operating profit.

The cash flow statement shows cash flows for the year, the change in cash, as well as the balance of cash

at the beginning and end of the year.

Cash flow from operating activities

Cash flow from operating activities is calculated as profit before tax adjusted for noncash operating items,

changes in working capital, interests received and paid, and corporation tax paid.

Cash flow from investment activities

Cash flow from investment activities comprises payments relating to purchase and divestment of busi-

nesses and activities, purchase and divestment of intangible and other long-term assets as well as pur-

chase and divestment of securities not recognized as cash and dividends received.

Cash flow from acquired companies is included from the date of acquisition, while cash flow from divest-

ments is recognized until the time of sale.

Cash flow from financing activities

Cash flow from financing activities comprises changes in size or composition of share capital and related

costs, proceeds from capital increase/warrants exercised as well as raising and repayment of loans, repay-

ment of interest-bearing debt, repayment of lease liabilities, purchase and divestment of treasury shares

and payment of dividend to shareholders. Inception of leases are treated as non-cash transactions. Cash

flow realigned to financial leases are recognized as payments of interest and repayment of debt.

Cash flow

Annual Report 2023

Notes

Financial Statements Governance Our business The big perspective

Note 1 – Significant accounting principles 64

Note 2 – Material accounting estimates and judgements 66

Note 3 – Segment data 67

Note 4 – Staff expenses and remuneration 72

Note 5 – Depreciation, amortization and impairment 74

Note 6 – Other operating income 74

Note 7 – Financial income and expenses 75

Note 8 – Corporate tax 76

Note 9 – Earnings per share 78

Note 10 – Intangible assets 79

Note 11 – Tangible assets 84

Note 12 – Right-of-use-assets 86

Note 13 – Investments in subsidiaries 89

Note 14 – Trade receivables 90

Note 15 – Contract assets and contract liabilities 91

Note 16 – Share capital 92

Note 17 – Provisions and contingent consideration 93

Note 18 – Lease liability, Right-of-use-assets 95

Note 19 – Other payables 96

Note 20 – Contingent liabilities and commitments for expenditures 96

Note 21 – Business combinations 97

Note 22 – Related parties 100

Note 23 – Fee to the Group's auditor elected by the annual general meeting 101

Note 24 – Financial risks and financial instruments 102

Note 25 – Changes in working capital 107

Note 26 – Cash flow from financing activities 108

Note 27 – Discontinued operations and gain/loss on sale of shares in subsidiaries 110

Note 28 – Disposal of activities 112

Note 29 – Board of Directors and Executive Board 113

Note 30 – Shareholder information 113

Note 31 – Events after the reporting period 113

Note 32 – Approval of publication of the Annual Report 113

Key figures, ratios and Alternative Performance Measures 114

Notes

Note

Page

Note

Page

Annual Report 2023

Notes

Financial Statements Governance Our business The big perspective

The financial statements for 2023 for Columbus, which include financial statements for the Parent Company

Columbus A/S and consolidated financial statements for the Columbus Group have been prepared in ac-

cordance with the IFRS accounting standards as adopted by the EU and Danish disclosure requirements

for annual reports prepared after reporting class D (listed), cf. IFRS Executive

Order issued pursuant to the Financial Statements Act. Columbus is a public limited company seated

in Denmark.

The consolidated and Parent Company’s financial statements are presented in Danish Kroner (DKK), which

is the presentation currency for the Group's activities and the functional currency of the Parent Company.

The consolidated and Parent Company’s financial statements have been prepared based on historical cost.

The main elements of the accounting policies and changes compared to last year due to new and amended

standards are described below. The accounting principles are also disclosed in each of the individual notes

to the financial statements.

In preparing the consolidated and Parent Company’s financial statements, the management makes various

accounting assessments that form the basis of presentation, recognition and measurement of the Parent

Company and the Group’s assets and liabilities. The most significant estimates and judgements are pre-

sented in note 2.

Consolidated financial statements

The consolidated financial statements include Columbus A/S and the companies in which the Group holds

more than 50% of the voting rights, or otherwise has the power to govern the financial and operating poli-

cies for achieving returns or other benefits from its activities.

Principles of consolidation

The consolidated financial statements are prepared based on financial reporting for Columbus A/S and enti-

ties controlled by Columbus A/S. Control exists when Columbus has effective power over the entity and has

the right to variable returns from the entity. The results of subsidiaries acquired or disposed of during the

year are included in the consolidated income statement from the effective date of acquisition and up to the

effective date of disposal. The consolidated financial statements are prepared by combining financial state-

ments uniform items. The financial reporting that is used for the consolidation is prepared in accordance

with the Group's accounting policies.

On consolidation, intercompany income and expenses, intercompany accounts and dividends, and gains

and losses on transactions between the consolidated companies are eliminated.

In the consolidated financial statements items of subsidiaries are included 100%.

Foreign currency translation

On initial recognition, foreign currency transactions are translated applying the exchange rate at the trans-

action 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 one in effect at the

payment date or the rate at the balance sheet date are recognized in the income statement as financial in-

come or financial expenses. Property, plant and equipment, intangible assets, and other non-monetary as-

sets that have been purchased in foreign currencies are translated using historical rates.

When subsidiaries, which prepare their financial statements in a functional currency different from DKK are

consolidated into the consolidated financial statements, the items of the income statement are translated at

the average exchange rates. Exchange differences arising out of the translation of foreign subsidiaries’ bal-

ance sheet items at the beginning of the year using the balance sheet date exchange rates as well as out of

the translation of income statements from average rates to the exchange rates at the balance sheet date

are recognized in other comprehensive income.

Gains and losses on divestments or dissolvement of subsidiaries or associates

Gains or losses on divestments or dissolvements of subsidiaries and associates are stated as the differ-

ence between the sales price or settlement price and the fair value of any remaining equity and the book

value of net assets on the time of sale or winding up, including goodwill, less any minority interests. Gains

or losses are recognized in the statement of comprehensive income as well as accumulated foreign cur-

rency translation adjustments previously recognized in other comprehensive income.

Business units that have been divested of in the financial year or are expected to be divested within the fol-

lowing 12 months, are in the profit and loss classified as discontinued operations, and in the balance sheet

classified as assets and liabilities held for sale. For further description of the accounting principles, please

refer to note 27.

Impairment of tangible and intangible assets as well as investments in subsidiaries

The carrying values of tangible and intangible assets of indefinite useful lives as well as investments in sub-

sidiaries are reviewed at each balance sheet date to determine any indications of impairment. If this is the

case, the asset's recoverable value is determined to identify any need for impairment and the extent

thereof.

If the asset does not generate cash flow independent of other assets, the recoverable amount of the small-

est cash-generating unit to which the asset belongs is determined. The recoverable amount of an asset is

the higher of net selling price and value in use. For cash-generating units, the impairment is firstly distrib-

uted on goodwill, and then any remaining impairment is distributed to other assets in the unit.

Note 1

– Significant accounting principles

Annual Report 2023

Notes

Financial Statements Governance Our business The big perspective

Impairment losses are recognized in the statement of comprehensive income. On any subsequent reversal

of impairment losses resulting from changes in the assumptions used to determine the recoverable amount,

the asset and the cash-generating unit’s carrying amount is increased to the adjusted recoverable amount,

however not exceeding the carrying value of the asset or cash-generating excluding impairment. Impair-

ment of goodwill is not reversed.

The effect of amended accounting standards

All amended standards, which entered into force with effect from fiscal periods beginning at 1 January

2023, and interpretations that are relevant to the Columbus Group are used in preparing the financial state-

ments. Columbus Group has assessed that the amended standards and interpretations have not had any

material impact on Columbus Annual Report 2023.

New standards and interpretations effective from 2023

All new and revised standards, which entered into force with effect from fiscal periods beginning at 1 Janu-

ary 2023, and interpretations that are relevant to the Columbus Group are used in preparing the financial

statements. Columbus Group has assessed that the new or amended standards and interpretations have

not had any material impact on Columbus Annual Report 2023.

IASB has also issued new and amended standards and interpretations which have not yet been effective

and therefore also not yet been implemented in the consolidated financial statements for 2023. Columbus

expects to implement these new standards and amendments when they take effect and become manda-

tory. None of the new standards and amendments issued are expected to have any significant impact on

the consolidated financial statement when implemented.

External project costs

External projects costs include the expenses excluding wages and salaries that are directly incurred to

achieve revenue for the year and include the cost of subcontractors, etc. External project costs are recog-

nized as the project progresses.

Other external costs

Other external costs include expenses of premises, sale and distribution, office expenses, etc.

Prepayments

Prepayments recognized under assets include expenses paid concerning subsequent financial years and

are measured at cost.

Deferred income

Deferred income recognized under liabilities comprises payments received concerning income in subse-

quent years measured at cost.

Annual Report 2023

Notes

Financial Statements Governance Our business The big perspective

By applying the Group’s accounting principles as described in each of the individual notes to the consoli-

dated financial statements, it is necessary that the management performs judgements, estimates and as-

sumptions about the carrying amounts of assets and liabilities that are not readily apparent from other

sources.

The performed estimates and judgements are based on historical experience and other factors that man-

agement considers reasonable under the circumstances, but which are inherently uncertain and unpredicta-

ble. The assumptions may be incomplete or inaccurate, and unexpected events or circumstances may oc-

cur. The Company is also subject to risks and uncertainties that may cause actual results to differ from

these estimates. Specific risks for the Columbus Group are described in "Risk Management", cf. page 47.

The estimates and underlying assumptions are reviewed regularly. Changes to accounting estimates are

recognized in the accounting period in which the change occurs and in future periods if the change affects

both the period in which the change occurs and subsequent accounting periods.

Areas

Note

Estimates

Revenue recognition and contract assets and liabilities

3, 15

Deferred tax asset

Impairment of goodwill and internal applications

Contingent considerations

Receivables from divestment of activities

For further description of the applied judgements and estimates, please refer to the specific notes listed

above.

The following judgements and estimates are considered as the most material for the Group.

Estimate of revenue recognition of contracts

The stage of completion, forming the basis for the current recognition of revenue at the Group, uses the

production method of contracts. The stage of completion is determined on the basis of the relationship be-

tween the entity's resources in relation to recent total estimate of resource consumption. The degree of

completion is assessed regularly by the responsible employees and the projects are closely monitored by

management, and further adjustments are made to the stage of completion, etc., if deemed necessary.

When performing this evaluation, all factors concerning the relevant contract are taken into consideration

and assessed appropriately. The group has a limited number of fixed price projects, which generally re-

duces the risk related to this.

Estimate of utilization of deferred tax assets

Deferred tax assets are recognized for all unused tax losses and difference values to the extent it is

deemed likely that within the foreseeable future taxable profits will be realized in which the losses and the

difference values can be utilized. Determining the size of the amount that can be recognized for deferred

tax assets is based on management’s estimate of the likely time and amount of future taxable profits. At 31

December 2023, the carrying value of recognized tax was DKK 16,969k, which is estimated to be realized

in the foreseeable future (5 years or less), see note 8.

Estimate of recoverable amount of goodwill and internal applications

The determination of impairment of recognized goodwill requires determination of the value of the cash-

generating units to which the goodwill is allocated. Determination of the value requires an estimate of ex-

pected future cash flows of each cash-generating unit and an appropriate discount rate. On 31 December

2023, the carrying value of goodwill is DKK 654,243k. For a detailed description of methods and assump-

tions for impairment of goodwill, see note 10.

The determination of impairment of recognized internal applications requires determination of the future

economic benefits derived from these assets, which are determined as the optimization of internal work-

flows. At 31 December 2023, the carrying value of internal applications is DKK 44,869k. For a more de-

tailed description of methods and assumptions related to recognition of internal applications, see note 10.

Contingent consideration

The contingent consideration on the balance sheet pertains to an earn-out agreement associated with the

acquisition of ICY Security in April 2023. This earn-out agreement is divided into three distinct target peri-

ods, with measurements based on revenue achieved and contribution from the business line. The actual

earn-out amount, which depends on future performance, involves a significant estimate related to the busi-

ness’s performance. To estimate the most likely performance and consequent earn-out achievement, man-

agement takes into account the current budgets for the upcoming year, as well as long-term expectations

and plans. As of 31 December 2023, the fair value of the contingent consideration on the balance sheet

stands at DKK 16,961k. For additional information on the earn-out agreement, please refer to note 21.

Receivables from divestment of activities

Please refer to note 28 for more information.

Note 2

– Material accounting estimates and judgements

Annual Report 2023

Notes

Financial Statements Governance Our business The big perspective

In order to support decisions about allocation of resources and assessment of performance of the seg-

ments, the Group’s internal management reporting of the Parent Company is based on the following group-

ing of operating segments:

Strategic Business Lines

Market Units

Global Delivery Centers (GDC)

Dynamics

Digital Commerce

Data & Analytics

Customer Experience & Engagement

Security

Strategy & Change

Other Local Business

Sweden

Denmark

Norway

Other

Poland

Czech Republic

India

Management monitors the business, primarily based on the Business Lines and secondarily on the geo-

graphical segments. Information about the Group’s Business Lines is stated below.

Along with the Focus23 strategy, the Group has transformed its operations into a global operating model,

with the strategic Business Lines becoming the primary driver for decision-making. Previously, Columbus

used geography to divide each segment. Markets are now a secondary driver and only used for assessing

market strategies and maintaining customer relations.

The Business Lines relate to the type of services and products that are delivered, and comprise of Dynam-

ics, M3, Digital Commerce, Data & Analytics, Customer Experience & Engagement, Security and Strategy

& Change. The remaining revenue which does not fall into any of the above-mentioned Business Lines, is

classified as Other Local Business.

Market Units comprise of significant geographical markets that the Group operates in. Management uses

the Market Units to assess market conditions and performance on revenue only.

The operating segments are measured from revenue to contribution, as this represents the significant part

of the operation of the segments. The balance sheet is measured for legal entities only.

Cost related to functions necessary to support the business is classified as Enabling Functions and com-

prise of all cost not directly related to a specific Business Line, including costs related to facility, marketing,

finance, people, legal and management. Enabling Functions mostly operate as global teams, servicing

across Business Line and geography.

Business Lines

revenue split 2023

53%

20%

13%

Dynamics

Digital Commerce

Data & Analytics

Customer Experience & Engagement

Security

Strategy & Change

Other Local Business

Note 3

– Segment data

Annual Report 2023

Notes

Financial Statements Governance Our business The big perspective

Development in Business Lines

All comments relating to the growth of the Business Lines have been described in the

management commentary under the financial review.

Reconciliation between EBITDA and Profit before tax is shown in the comprehensive in-

come statement.

Introducing our new strategic Business Line Security

In response to the growing demand for robust security solutions in the market, we have

expanded our offerings to address the evolving needs of our customers.

In a constant changing world, we have observed a significant surge in demand for secu-

rity related products and services across various industries. The rise in cybersecurity

threats, data breaches, and the need for advanced physical security measures have

prompted businesses to seek reliable partners in fortifying their defences.

By introducing our Security Business Line we are aiming to help both new and existing

clients with their PAM and IAM security. By leveraging cutting edge technologies, a dedi-

cated team of experts, and a commitment to excellence, we have already garnered posi-

tive feedback from early adopters. Customers have lauded our comprehensive approach

to security, which encompasses from state-of-the-art software solutions.

Note 3

– Segment data continued

DKK ´000 Services Products Total revenue Direct costs Contribution CM % 2023Dynamics 778,901 44,151 823,052 -598,198 224,854 27.3% M3 301,472 6,362 307,834 -247,591 60,243 19.6% Digital Commerce 195,418 1,820 197,238 -163,584 33,654 17.1% Data & Analytics 77,233 658 77,891 -64,991 12,900 16.6% Customer Experience & Engagement 67,248 700 67,948 -59,006 8,942 13.2% Security 29,538 1,757 31,295 -36,083 -4,788 -15.3% Strategy & Change 8,389 0 8,389 -17,446 -9,057 -108.0% Other Local Business 16,857 9,451 26,308 -16,245 10,063 38.3% Total 1,475,056 64,899 1,539,955 -1,203,144 336,811 21.9% Enabling Functions-219,277 EBITDA 117,534

DKK ´000 Services Products Total revenue Direct costs Contribution CM % 2022Dynamics 693,988 49,149 743,137 -546,600 196,537 26.4% M3 303,231 10,455 313,686 -251,546 62,140 19.8% Digital Commerce 192,262 1,751 194,013 -158,349 35,664 18.4% Data & Analytics 59,653 690 60,343 -53,391 6,952 11.5% Customer Experience & Engagement 45,179 876 46,055 -44,367 1,688 3.7% Strategy & Change 6,513 0 6,513 -11,905 -5,392 -82.8% Other Local Business 16,216 9,471 25,687 -17,032 8,655 33.7% Total 1,317,042 72,392 1,389,434 -1,083,190 306,244 22.0% Enabling Functions-214,414 EBITDA91,830

Annual Report 2023

Notes

Financial Statements Governance Our business The big perspective

Note 3

– Segment data continued

DKK ´000 Sweden Denmark Norway UK US Other GDC Eliminations Total 2023Sale of services 557,072 331,809 234,391 229,317 82,608 35,531 4,328 0 1,475,056 Sale of products 24,212 19,400 6,910 10,071 4,306 0 0 0 64,899 Total revenue from own markets 581,284 351,209 241,301 239,388 86,914 35,531 4,328 0 1,539,955 Total revenue from group companies 45,266 73,665 13,280 12,379 6,157 6,621 108,220 -265,588 0 Total revenue 626,550 424,874 254,581 251,767 93,071 42,152 112,548 -265,588 1,539,955 Average number of FTE 438 346 181 191 47 37 328 0 1,568 Non-current assets 357,064 263,652 57,574 45,128 22,980 64,838 18,466 0 829,702 2022Sale of services 525,024 252,862 262,271 159,916 80,284 32,337 4,348 0 1,317,042 Sale of products 25,168 20,412 9,019 12,880 4,913 0 0 0 72,392 Total revenue from own markets 550,192 273,274 271,290 172,796 85,197 32,337 4,348 0 1,389,434 Total revenue from group companies 52,462 72,879 11,599 15,996 2,073 3,032 103,587 -261,628 0 Total revenue 602,654 346,153 282,889 188,792 87,270 35,369 107,935 -261,628 1,389,434 Average number of FTE 426 294 173 188 60 34 361 0 1,536 Non-current assets 349,453 209,261 62,788 46,281 24,638 60,741 14,420 0 767,582

Annual Report 2023

Notes

Financial Statements Governance Our business The big perspective

Accounting policies

Due to the changes in our reporting to the Executive Board, two new performance measures have

been introduced in 2023.

Direct costs

Direct costs comprise all costs directly related to a given Business Line. This includes subcontractor costs,

staff costs for consultants, sales personnel as well as management for the given Business Line, other exter-

nal costs and other operating income and expenses.

Contribution and contribution margin (CM)

The contribution is comprising revenue for the given Business Line deducted all direct costs for the given

Business Line. Contribution margin is calculated as contribution divided by total revenue.

Revenue

Revenue is recognized upon transfer of control of promised products or services to customers in an amount

that reflects the consideration Columbus expects to receive in exchange for the products or services. Reve-

nue is recognized net of VAT, taxes etc. collected on behalf of third parties and discounts.

Columbus has chosen to apply the practical expedient to not adjust the total consideration over the contract

term for the effect of incremental costs of obtaining a contract. The incremental costs to obtain a contract

are recognized as an expense when incurred if the amortization period of the asset that Columbus other-

wise would have recognized is one year or less.

Columbus has chosen to apply the practical expedient to not adjust the total consideration over the contract

term for the effect of a financing component if the period between the transfer of services to the customer

and the customer’s payment for these services is expected to be one year or less.

Columbus primarily enters contracts which span over a longer period. Revenue is recognized on an ongo-

ing basis since the product delivered is generally not usable for Columbus in other circumstances. Addition-

ally, the asset is under control of the customer, and Columbus has the right to payment for work performed

according to the contract.

Columbus typically enters into contracts that include a combination of software licenses and consulting ser-

vices. These contracts are classified as multiple element contracts. Multiple element contracts are generally

capable of being distinct and accounted for as separate performance obligations. Multiple element con-

tracts are contracts where price and other significant issues in the contract are negotiated independently. In

this group of contracts, each element is recognized individually, so that the sale of software and consulting

services is recognized separately at their standalone selling prices.

The majority of Columbus’ customer base has payment terms between 14 and 60 days from the invoice

date. Columbus’ accounting policies for each revenue line are disclosed below.

Each revenue line is subject to the 5-step model which includes:

1. Identification of contract

2. Separation of performance obligations

3. Determining the transaction price

4. Allocation of price to performance obligations

5. Recognition of revenue

Note 3

– Segment data continued

Average FTE 2023 2022 Business LineDynamics 639 635 M3 265 270 Digital Commerce 216 209 Data & Analytics 87 76 Customer Experience & Engagement 70 62 Security 36 0 Strategy & Change 14 11 Other Local Business 29 39 Business Line average number of FTE 1,356 1,302 Enabling Functions 212 234 Average number of FTE 1,568 1,536

Annual Report 2023

Notes

Financial Statements Governance Our business The big perspective

External licenses

External licenses are licenses to third party software where Columbus does not own the software and Co-

lumbus is a reseller of the software. External licenses are classified as on-premises software where the

customer is provided with a right to use the software as it exists when made available to the customer. Rev-

enue from distinct on-premise licenses is recognized upfront at the point in time when the software is made

available to the customer and the right to use the software has commenced. Columbus recognizes the rev-

enue from external licenses on a net basis with gross invoiced sales, less costs of the resold products re-

ported as revenue.

External subscriptions

External subscriptions are subscriptions to third party software where Columbus does not own the software

and Columbus is a reseller of the software subscriptions. The subscriptions to external software entitle the

customer to receive new versions of the software that the third-party software provider releases. External

subscriptions are recognized at the point in time when the subscription is accepted by the customer as the

performance obligation to Columbus is completed. Columbus recognizes the revenue from external sub-

scriptions on a net basis with gross invoiced sales, less costs of the resold products reported as revenue.

External cloud

External cloud is third party software where Columbus does not own the software and Columbus is a re-

seller of the usage to the software. External cloud is classified as software-as-a-service (SaaS), which al-

lows customers to use hosted software without taking possession of the software. External cloud is recog-

nized upfront at the point in time when the software is made available to the customer and the right to use

the software has commenced as Columbus has fulfilled all its obligations. Columbus recognizes the reve-

nue from external cloud on a net basis with gross invoiced sales, less costs of the resold products reported

as revenue.

Services/other

Professional services and other fees on time and material contracts are recognized over time as production

of each project is carried out. Revenue from fixed price projects is recognized based on the value corre-

sponding to the stage of completion method. Revenue is recognized when total income and expenses of

the projects and completion at the balance sheet date can be measured reliably as Columbus satisfies its

performance obligations and it is probable that the economic benefits including payments will flow to the

Group. Columbus considers this input method to be an appropriate measure of the progress towards com-

plete satisfaction of these performance obligations under IFRS 15.

The timing of revenue recognition often differs from contract payment schedules, resulting in revenue

that has been earned but not billed. These amounts are included in “Contract assets”. Amounts billed in

accordance with customer contracts, but not yet earned, are recorded and presented as part of “Contract

liabilities”.

Annual Report 2023

Notes

Financial Statements Governance Our business The big perspective

Group Parent Company DKK ´000 2023 2022 2023 2022 Staff expensesSalary and wages 944,367 865,700 277,783 241,183 Other social security costs 130,749 137,720 2,261 2,956 Other staff expenses 27,099 31,756 2,670 5,926 Share-based payment 605 1,099 605 1,099 Total staff expenses 1,102,820 1,036,275 283,319 251,164 Average number of FTEs 1,568 1,536 308 294

The key management in the Group are remunerated as follows:

Total Other Executive Board of Executive senior DKK ´000Board Directors Management employees 2023Salary and wages 8,795 1,163 9,958 17,382 Share-based payment 605 0 605 0 Severance pay 0 0 0 0 9,400 1,163 10,563 17,382 2022Salary and wages 6,932 1,163 8,095 15,474* Share-based payment 813 0 813 37 Severance pay 1,628 0 1,628 0 9,373 1,163 10,536 15,511

*In the 2022 annual report, the salary amount for other senior employees was incorrectly reported as DKK 12.8m, the correct amount

was DKK 15.5m which is corrected in the 2023 report.

Other senior employees are defined as those employees involved in management of the parent company,

as well as the Managing Directors of the parent company's subsidiaries. The remuneration to other senior

employees is DKK 1.8m higher than 2022, due to one new employee, two employees who started in the

middle of 2022 and now receive a full year salary as well as general increase in salaries.

The Executive Board and a number of senior employees in the Parent Company as well as the Group are

subject to special bonuses depending on individually defined performance targets. The arrangements are

unchanged compared to last year.

Incentive schemes

Columbus only grant warrant programs to key management as part of remuneration and retention of the

employee.

In June 2021 Columbus established a warrant program for senior executives. The program, which can only

be exercised by purchasing the shares in question, grants the right to subscribe a number of shares in the

parent company at a price agreed in advance. The vesting period corresponds to the fiscal year with the

final grant at 31 December 2024. At the grant date the fair value of the warrants was DKK 3,188,559. The

exercise periods are scheduled to the first 14 days after publication of the Company’s Annual Report. War-

rants not exercised within the last exercise period will be lost. The warrant program is contingent on em-

ployment in the Company.

In April 2023 Columbus established a warrant program for senior executives. The program, which can only

be exercised by purchasing the shares in question, grants the right to subscribe a number of shares in the

parent company at a price agreed in advance. The vesting period corresponds to the fiscal year with the

final grant at 31 December 2026. At the grant date the fair value of the warrants was DKK 589,500. The ex-

ercise periods are scheduled to the first 14 days after publication of the Company’s Annual Report. War-

rants not exercised within the last exercise period will be lost. The warrant program is contingent on em-

ployment in the Company.

Changes in the capital in Columbus, distribution of dividend or change of control do not result in any adjust-

ment of the number of warrants or the exercise price.

Note

4 – Staff expenses and remuneration

Annual Report 2023

Notes

Financial Statements Governance Our business The big perspective

The development in outstanding warrants can be specified as follows:

Avg. exercise rate Number of warrants per warrant 2023 2022 2023 2022 Outstanding 1 January 2,817,499 3,215,799 9.75 9.73 Granted during the period 450,000 0 6.45 0.00 Lost due to termination of employment 0 -398,300 0.00 9.61 Expired during the period -1,517,500 0 8.99 0.00 Outstanding end of period 1,749,999 2,817,499 9.56 9.75

Number of warrants which can be exercised at balance sheet date966,666 1,338,333 Weighted average contractual life (years) 1.81 1.76 Weighted average exercise rate 10.63 9.58

The incentive scheme is based on Black & Scholes' calculations for the estimated market value at the time

of allocation. The assessment is based on the following assumptions:

Share price Number of Risk Expiry at grant Exercise warrants Estimated free (number Warrants date (DKK price (DKK end of volatility interest of December 2023per share) per share) period (%)* (%) years) Granted June 2021 10.63 10.63 1,299,999 32.8% -0.50% 0.30 Granted April 20236.45 6.45 450,000 25.3% 2.60% 2.30

* The expected volatility is calculated based on the historic adjusted volatility during the past year until the grant of the war-

rant programs.

Group Parent Company DKK ´000 2023 2022 2023 2022 Expensed share-based payment related to equity instruments 605 1,099 605 1,099

Accounting policies

Wages and salaries, social security contributions, leave and sick leave, bonuses and non-monetary bene-

fits are recognised in the financial year in which services are rendered by employees of Columbus.

Termination benefits are recognised at the time an agreement between Columbus and the

employee is made and no future service is rendered by the employee in exchange for the benefits.

Share option schemes

Equity-settled share options are measured at fair value at grant date and recognized in the income state-

ment under share-based payment over the period in which the final right of the options vest. The balancing

item is recognized directly in equity.

On initial recognition of share options, the number of options expected to vest at expiry is estimated. Sub-

sequently revised for changes in the estimated number of vested options, so that the total recognition is

based on the actual number of vested options.

The fair value of the options granted is estimated using the Black-Scholes model with the parameters

stated in the Note.

Note

4 – Staff expenses and remuneration (continued)

Annual Report 2023

Notes

Financial Statements Governance Our business The big perspective

Note 5 – Depreciation, amortization and impairment

Group Parent Company

DKK ´000

2023 2022 2023 2022

Depreciation

35,324 35,814 7,404 7,245

Amortization

22,122 20,881 13,751 12,124

Total depreciation, amortization

and impairment

57,446 56,695 21,155 19,369

Note 6 – Other operating income

Group

Parent Company

DKK ´000

2023 2022 2023 2022

Central cost allocation Columbus Group

0 0 57,433 55,267

Other services

3,474 18,111 0 0

Total other operating income

3,474 18,111 57,433 55,267

Other operating income from other services is primarily related to adjustment of unearned earn out.

Accounting policies

Other operating income and expenses include income and expenses of a secondary nature to the Group’s

primary activities, including adjustments of contingent liabilities related to acquisitions, gains and losses on

disposal of intangible and tangible assets. Gains and losses on disposal of intangible and tangible assets

are calculated as the selling price less selling costs and the carrying amount at the time of sale.

Annual Report 2023

Notes

Financial Statements Governance Our business The big perspective

Group Parent Company DKK ´000 2023 2022 2023 2022 Financial incomeInterest income from subsidiaries 0 0 4,935 2,741 Interest income on bank deposits, etc. 2,358 18 1,821 18 Other financial income 460 630 397 443 Interest income on financial assets measured at amortised cost 2,818 648 7,153 3,202 Dividends from subsidiaries0 0 16,204 55,073 Foreign exchange gains (net) 0 2,261 3,370 9,164 Total financial income 2,818 2,909 26,727 67,439 Financial expensesInterests expense to subsidiaries 0 0 3,383 2,179 Interest expense on bank loans 8,539 2,763 8,535 1,455 Interest expense leases, Right-of-use-assets 3,205 1,966 685 378 Other financial expense 2,071 1,227 2,052 1,078 Interest expense from financial liabilities that are measured at amortised cost 13,815 5,956 14,655 5,090 Foreign exchange loss (net) 9,753 0 0 0 Total financial expenses 23,568 5,956 14,655 5,090

Accounting policies

Transactions in currencies other than the Group's functional currency are translated initially at the transac-

tion date. Receivables and payables and other monetary items denominated in foreign currencies that have

not been settled at the balance sheet date are translated at the closing rate. Gains and losses arising from

the difference between the exchange and the transaction date are recognized in the statement of compre-

hensive income as financial items. Tangible and intangible assets, inventories and other non-monetary as-

sets acquired in foreign currency and measured at historical cost are translated at the transaction date.

Non-monetary items revalued at fair value are translated using the exchange rate at the date of revaluation.

Simple forward contracts are measured at fair value and recognized in other receivables or other payables.

Gain and losses arising from the forward contracts are recognized in the statement of comprehensive in-

come as financial items.

Translation of foreign subsidiaries

On recognition in the consolidated financial statements of foreign subsidiaries with a functional currency

other than Danish kroner (DKK), income statements are translated at average exchange rates for the

months unless these deviate significantly from the actual exchange rates at the transaction dates. In the

latter case, the actual exchange rates are used. Balance sheet items are translated at the closing exchange

rates. Goodwill is considered to belong to the acquired entity and is translated at the closing rate.

Foreign exchange differences arising from the translation of foreign company balance sheet items at the

beginning of the closing exchange rates, and on translation of foreign entities' income statements from av-

erage rates to closing rates are recognized in other comprehensive income. Similarly, exchange differences

arising as a result of changes made directly in the foreign enterprise's equity, are also recognized in other

comprehensive income. Adjustment of receivables or debt to subsidiaries which are considered part of the

Parent Company's overall investment in the subsidiary in question are recognized in other comprehensive

income in the consolidated financial statements, whereas they are recognized in the statement of compre-

hensive income of the Parent Company.

Financial items

Financial items include interest income and expenses, the interest portion of lease payments, gains and

losses on foreign currency transactions and surcharges and allowances under the account tax scheme.

Note

7 – Financial income and expenses

Annual Report 2023

Notes

Financial Statements Governance Our business The big perspective

Group Parent Company DKK ´000 2023 2022 2023 2022 Tax on result for the yearCurrent tax 7,097 432 0 0 Change in deferred tax 285 8,625 5,195 1,973 Withholding tax 586 3,081 414 1,857 Adjustment to previous years 7,608 -9,953 856 -766 Total tax on result for the year 15,576 2,185 6,465 3,064 Tax on result for the year explained as follows Calculated 22% on pre-tax earnings on continuing operations 8,654 7,059 8,598 13,946 Tax effect of:Adjustment to tax concerning previous years 7,608 -9,953 856 -766 Adjustment to tax rates in foreign subsidiaries relative to 22%-262 268 0 0 Non-capitalized tax value of losses 539 4,864 0 0 Withholding tax -586 3,081 -414 1,857 Not taxable income -262 -120 -3,827 -12,219 Not taxable expenses 289 530 136 246 Capitalized tax value, current year 856 0 0 0 Other adjustments -1,260 -3,544 1,117 0 Total tax on result for the year 15,576 2,185 6,465 3,064 Effective tax rate (%) 39.60 6.81 16.54 4.83

The effective tax rate in 2023 is high mainly due to an adjustment from previous years.

Group Parent Company DKK ´000 2023 2022 2023 2022 Corporate tax receivable (net)Balance at 1 January 828 10,870 0 5,673 Currency adjustment 23 -733 0 0 Adjustment to previous years 0 -8,333 0 -4,877 Current tax for the year -7,097 -432 0 0 Tax paid on account for the year 5,144 0 0 0 Corporate tax paid during the year 1,349 -270 0 -796 Disposals due to divestment of activities 0 -274 0 0 Additions from business combinations -46 0 0 0 Balance at 31 December 201 828 0 0 Corporate tax receivable 2,049 2,254 0 0 Corporate tax payable -1,848 -1,426 0 0 Balance at 31 December 201 828 0 0

Note

8 – Corporate tax

Annual Report 2023

Notes

Financial Statements Governance Our business The big perspective

Group Parent Company DKK ´000 2023 2022 2023 2022 Deferred tax assets/liabilities (net)Balance at 1 January 25,788 17,374 1,883 -1,788 Deferred tax assets / liabilities 1 January 25,788 17,374 1,883 -1,788 Currency adjustments -886 -1,747 0 0 Adjustment to previous years -7,608 18,286 -856 5,644 Additions from business combinations -40 0 0 0 This year's change in deferred tax -285 -8,625 -5,195 -1,973 Disposals due to divestment of activities 0 500 0 0 Balance at 31 December 16,969 25,788 -4,168 1,883 Deferred tax assets / liabilities relate toIntangible assets -14,710 -4,324 -7,002 -3,105 Tangible assets 2,680 2,990 1,871 2,377 Current assets 2,128 5,833 -2,478 1,226 Loss carry forward 26,871 21,289 3,441 1,385 Balance at 31 December 16,969 25,788 -4,168 1,883

Based on the management’s assessment of future income, short-term tax assets are expected to be DKK

16m and the remaining tax assets are expected to be utilized within a 3-5-year period.

The capitalized loss carry forward primarily relates to the subsidiaries in Sweden and Norway. The Swedish

deferred tax asset primarily originates from before the acquisition of iStone in 2018, and is now being re-

covered by the ordinary operations. The Norwegian subsidiary has incurred the losses over the past two

years, primarily due to a slowdown in the market and significant negative impact from the NOK. The group

has concluded that the Norwegian deferred tax asset will be recoverable using the estimated future taxable

income based on the approved business plans and budgets for the subsidiary.

The Group’s non-capitalized tax assets amount to DKK 32m (2022: DKK 34m).

Accounting policies

Income tax for the year, comprising current tax and movements in deferred tax, is recognized in the state-

ment of comprehensive income by the portion attributable to the profit and directly in equity or in other com-

prehensive income to the extent that it relates to items recognized directly in equity and in other compre-

hensive income. Exchange adjustments of deferred tax is recognized as part of the adjustment of deferred

tax.

Current tax liabilities and receivables are recognized in the balance sheet as estimated tax on the taxable

income, adjusted for prepaid tax.

When calculating the current tax, the applicable tax rates and rules on the balance sheet date is used.

Deferred tax is recognized using the balance sheet liability method on all temporary differences between

accounting and tax values of assets and liabilities. Deferred income tax is provided on temporary differ-

ences arising on investments in subsidiaries and associates, unless the parent is able to control when the

deferred tax is realized, and it is probable that the deferred tax will not crystalize as current tax in the fore-

seeable future. Deferred tax is calculated based on the expected recovery of each asset and settlement of

each liability.

Deferred tax is measured based on the tax rules and rates in the respective countries, based on enacted or

substantively enacted laws at the balance sheet dates that are expected to apply when the deferred tax is

expected to crystallize as current tax. Changes in deferred tax due to changes in tax rates or rules are rec-

ognized in the statement of comprehensive income unless the deferred tax is attributable to transactions

previously recognized directly in equity or in other comprehensive income. In the latter case, the change is

also recognized in equity, respectively, in other comprehensive income.

Deferred tax assets, including the tax value of tax loss carry forwards, are recognized at the value at which

they are expected to be realized, either as net assets to offset against future taxable income or against de-

ferred tax liabilities in the same legal tax entity and jurisdiction. It is assessed at each reporting date

whether it is likely that in the future there will be sufficient taxable profits against which the deferred tax as-

set can be utilized.

The Parent Company and its Danish subsidiaries are part of a mandatory Danish joint taxation with all Dan-

ish companies controlled by Consolidated Holdings A/S. The calculated Danish tax on the joint taxable in-

come is distributed among the jointly taxed companies in proportion to their taxable income (full allocation

with credit for tax losses).

Note

8 – Corporate tax (continued)

Annual Report 2023

Notes

Financial Statements Governance Our business The big perspective

The calculation of earnings per share is based on the following:

DKK ´000 2023 2022 Result for the year from continuing operations 23,762 29,903 Result used for calculating earnings per share from continuing operations, diluted 23,762 29,903 Result for the year from discontinued operations 3,127 -41,216 Result used for calculating earnings per share, diluted 26,889 -11,313 Average number of shares listed on NASDAQ Copenhagen (pcs.) 129,276,264 129,276,264 Number of shares used to calculate earnings per share (pcs.) 129,276,264 129,276,264 Average dilutive effect on outstanding subscription rights (pcs.) 9,807 0 Number of shares used to calculate earnings per share, diluted (pcs.) 129,286,071 129,276,264 Earnings per share from continuing operations of DKK 1.25 (EPS) 0.18 0.23 Earnings per share from continuing operations of DKK 1.25, diluted (EPS-D) 0.18 0.23 Earnings per share from discontinued operations of DKK 1.25 (EPS) 0.02 -0.32 Earnings per share from discontinued operations of DKK 1.25, diluted (EPS-D) 0.02 -0.32 Earnings per share of DKK 1.25 (EPS) 0.21 -0.09 Earnings per share of DKK 1.25, diluted (EPS-D) 0.21 -0.09

Note

9 – Earnings per share

Annual Report 2023

Notes

Financial Statements Governance Our business The big perspective

Develop-ment Customer Internal projects DKK ´000 Goodwill base applicationsfinalized Total Group 2023Balance at 1 January 2023757,109 64,080 73,237 23,613 918,039 Currency translation -3,277 -31 0 -210 -3,518 Additions 0 0 7,094 0 7,094 Additions relating to acquisitions 51,563 5,300 0 0 56,863 Disposal for the year 0 -23,452 0 -810 -24,262 Balance at 31 December 2023 805,395 45,897 80,331 22,593 954,216 Amortization at 1 January 2023 153,810 46,650 22,208 21,963 244,631 Currency translation -2,658 450 0 -209 -2,417 Amortization 0 7,857 13,254 1,011 22,122 Reversal of amortization 0 -23,452 0 -810 -24,262 Amortization at 31 December 2023 151,152 31,505 35,462 21,955 240,074 Carrying amount at 31 December 2023 654,243 14,392 44,869 638 714,142

Except for goodwill, economic life of all intangible assets is expected to be finite.

The addition on goodwill and customer base relates to the acquisition of ICY Security cf. note 21.

The addition on internal applications relates to update of a number of the groups internal IT systems.

Develop- ment Customer Internal projects DKK ´000 Goodwill base applications finalized Total Group 2022Balance at 1 January 2022793,967 67,370 57,414 24,743 943,494 Currency translation -5,914 -3,290 0 195 -9,009 Additions 0 0 15,823 0 15,823 Disposal for the year -30,944 0 0 -1,325 -32,269 Balance at 31 December 2022 757,109 64,080 73,237 23,613 918,039 Amortization at 1 January 2022149,516 40,196 10,902 21,673 222,287 Currency translation 4,294 -1,751 0 245 2,788 Amortization 0 8,205 11,306 1,370 20,881 Reversal of amortization 0 0 0 -1,325 -1,325 Amortization at 31 December 2022 153,810 46,650 22,208 21,963 244,631 Carrying amount at 31 December 2022 603,299 17,430 51,029 1,650 673,408

Note 1

0 – Intangible assets

Annual Report 2023

Notes

Financial Statements Governance Our business The big perspective

Goodwill

The carrying amount of goodwill is distributed on cash-generating units as shown below:

Group Parent Company DKK ´000 2023 2022 2023 2022 Business LineDynamics 309,391 309,250 116,040 115,955 M3 157,173 157,601 4,600 4,600 Digital Commerce 107,296 106,083 692 692 Data & Analytics 16,140 16,340 10,025 10,025 Customer Experience & Engagement 6,921 6,946 83 83 Strategy & Change 0 1,221 0 85 Security 51,562 0 0 0 Other Local Business 5,760 5,858 216 216 Total goodwill 654,243 603,299 131,656 131,656

In 2023 Columbus has redefined its operating segments and concurrently changed the definition of cash-

generating units to Business Lines. As a consequence of the redefined operating segments, the goodwill

has been allocated to the Business Lines based on Revenue and EBTIDA. The above shown figures there-

fore have been adjusted with comparative figures.

The management performs an impairment test of the carrying amount of goodwill, development projects

and other non-current assets at least annually and more frequently if there are indicators of impairment.

The annual impairment test is performed per 31 December 2023 (31 December 2022).

The recoverable amount of goodwill related to the individual cash generating units is calculated based on

the Discounted Cash Flows method (DCF).

Future cash flows

The recoverable amount of the individual cash-generating units to which the goodwill belongs is calculated

based on the calculations of value in use. The most significant uncertainties are connected to the determi-

nation of discount rates, growth rates and expected changes in costs in the budget and terminal periods.

Budget for the individual cash generating units is based on a bottom-up process. The key assumptions for

the budget are expected development in efficiency (number of chargeable hours compared to total hours) in

the consultancy business and expected revenue and gross profits from sale of software and general devel-

opment in cost. The budget process takes place in October through November and takes into consideration

the historical performance and current condition and performance of the cash generating unit in terms of

pipeline, order book and current capacity in terms of consultants.

The 3-year projection period is based on assumptions for the main revenue stream in Columbus i.e., Con-

sultancy. For the two largest Business Lines who operates within ERP applications, comprising Dynamics

an M3, growth rates are generally slightly more modest (8-10%), based on the mature business models.

For our strategic Business Lines, comprising of Digital Commerce, Data & Analytics, Customer Experience

& Engagement and Security, slightly higher growth rates are applied (8-20%), based on the historic higher

growth rate and higher expectations for the future.

In generating a terminal value, a conservative growth in revenue and cost of 2% is applied to all CGUs.

With regards to staff cost a growth of 2% is expected in the 3-year interim period and 2% in generating the

terminal value for all CGUs.

Columbus is operating in a market where the development has low sensitivity to market development in

general and to the development in general IT spending by companies. The management believes that likely

changes in the key assumptions will not cause the carrying amount of goodwill to exceed the recoverable

amounts. Group management has performed a sensitivity analysis of goodwill impairment tests to show the

headroom between carrying amount and the recoverable amounts. The sensitivity analysis focuses on

changes in free cash flow in terminal period with 5% and changes in discount rate with 1 percentage point.

The analysis did not identify any indication of impairment.

Note 1

0 – Intangible assets (continued)

Annual Report 2023

Notes

Financial Statements Governance Our business The big perspective

Discount rate.

The determined discount factors reflect the market assessment of the time value of money in the countries

where the cash generating units operate expressed as a risk-free rate and the specific risks associated with

each cash-generating unit. The discount rate is determined on an "after tax" basis on the assessed

Weighted Average Costs of Capital (WACC).

The discount rate used to calculate the present value of expected future cash flow is 11.4% pre-tax (2022:

10.3%). The discount rate has been determined based on the Capital Asset Pricing Model and comprise

a risk-free interest rate, the market risk premium and a beta factor, covering systematic market risk and a

company premium. The values for the risk-free interest rate, the market risk premium and the beta factor

are determined using external sources. The Group applies the same discount rates for all cash generating

units, as the risk of the individual cash generating units are reflected in their estimated cash flow.

Most important assumptions for the impairment test

With the applied method for the annual impairment test, the growth rate applied in the terminal value and

the WACC becomes the most important assumptions for the net present value of the future cash flows.

Overall, the impairment based on the above assumptions demonstrates that the present value of the future

cash flows from the cash generating units exceeds the carrying amount of goodwill. The management has

applied conservative growth rates for the projection period and for the period following the projection period

developed for the purpose of the impairment test.

Note 1

0 – Intangible assets (continued)

Annual Report 2023

Notes

Financial Statements Governance Our business The big perspective

DKK ´000

Goodwill

Customer

base

Internal

applications

Develop-

ment

projects

finalized Total

Parent 2023

Balance at 1 January 2023

132,640 8,250 73,238 13,667 227,795

Additions

0 0 7,095 0 7,095

Balance at 31 December 2023

132,640 8,250 80,333 13,667 234,890

Amortization at 1 January

2023 984 8,250 22,209 12,982 44,425

Amortization

0 0 13,255 497 13,752

Amortization at 31 December 2023

984 8,250 35,464 13,479 58,177

Carrying amount at

31 December 2023

131,656 0 44,869 188 176,713

Internal applications include development projects for internal use with a net carrying amount of

DKK 44,869k.

The addition on internal applications relates to update of a number of the groups internal IT systems.

Test of impairment of goodwill for the parent company is carried out in a similar approach to the Group.

Please refer to disclosure of the Group impairment test for further description.

DKK ´000

Goodwill

Customer

base

Internal

applications

Develop-

ment

projects

finalized

Total

Parent 2022

Balance at 1 January 2022

132,640 8,250 57,415 13,667 211,972

Additions

0 0 15,823 0 15,823

Balance at 31 December 2022

132,640 8,250 73,238 13,667 227,795

Amortization at 1 January 2022

984 8,012 10,903 12,402 32,301

Amortization

0 238 11,306 580 12,124

Amortization at 31 December 2022

984 8,250 22,209 12,982 44,425

Carrying amount at

31 December 2022

131,656 0 51,029 685 183,370

Internal applications include development projects for internal use with a net carrying amount of

DKK 51,029k.

Note 1

0 – Intangible assets (continued)

Annual Report 2023

Notes

Financial Statements Governance Our business The big perspective

Accounting policies

Goodwill

Goodwill is recognized and measured at initial recognition as the difference between the cost and the net

assets of the acquired company. The net assets of the acquired company are based on the fair value of as-

sets and liabilities at the acquisition date. On recognition of goodwill, the goodwill is allocated to each of the

Group’s activities that generate separate cash flows (cash generating units). The determination of cash-

generating units follows the management structure and internal financial management and reporting of the

Group.

Goodwill is not amortized but is tested annually for impairment.

Customer base

Customer bases are primarily capitalized to the fair value of the customer base in acquired companies, rec-

ognized during the purchase price allocation. Customer base is amortized on a straight-line basis over 7

years.

Internal applications

Internal applications comprise internally developed projects, that are carried out to optimize internal work-

flows. These are measured at cost less accumulated amortization and impairment losses. The cost in-

cludes wages, salaries, services and other costs directly attributable to the Group’s development and which

are necessary to complete the project, from the time when the internal application first qualifies for recogni-

tion as an asset.

Internal applications are amortized on a straight-line basis over the expected life. The amortization period is

usually 5 years.

Internal applications are reviewed annually to determine whether there are indications of impairment. If

such an indication exists, the asset’s recoverable amount is calculated. If the recoverable amount is lower

than the carrying value, the internal applications are impaired to this value.

Development projects

Development projects are projects that are clearly defined and identifiable, where the technical feasibility,

adequate resources and a potential future market or application in the Group can be demonstrated and

where the intention is to produce, promote or use the project. Development projects are recognized as in-

tangible assets if the cost can be measured reliably and there is sufficient assurance that future earnings or

the net selling price will cover production, sales, administration and development costs. Other development

costs are recognized in the statement of comprehensive income as incurred.

Development costs are measured at cost less accumulated depreciation and impairment losses.

After completion of the development project, development costs are depreciated on straight-line basis over

the estimated useful life. The depreciation period is usually 3-5 years.

Note 1

0 – Intangible assets (continued)

Annual Report 2023

Notes

Financial Statements Governance Our business The big perspective

Leasehold Fixtures Land and improve-and DKK ´000buildings ments equipment Total Group 2023Balance at 1 January 2023 91 2,708 15,647 18,446 Foreign currency translation 0 14 64 78 Additions 0 127 7,751 7,878 Additions related to acquisitions 0 0 11 11 Disposals -91 0 -1,004 -1,095 Balance at 31 December 2023 0 2,849 22,469 25,318 Depreciation at 1 January 2023 91 1,194 4,812 6,097 Foreign currency translation 0 16 -69 -53 Depreciation 0 418 6,054 6,472 Additions related to acquisitions 0 0 0 0 Reversed depreciation on disposals -91 0 -997 -1,088 Depreciation at 31 December 2023 0 1,628 9,800 11,428 Carrying amount at 31 December 2023 0 1,221 12,669 13,890

Leasehold Fixtures Land and improve-and DKK ´000buildings ments equipment Total Group 2022Balance at 1 January 2022 96 2,515 38,740 41,351 Foreign currency translation -5 -178 -1,038 -1,221 Additions 0 379 7,963 8,342 Disposals 0 -8 -29,422 -29,430 Disposals relating to divestments 0 0 -596 -596 Balance at 31 December 2022 91 2,708 15,647 18,446 Depreciation at 1 January 2022 96 814 29,575 30,485 Foreign currency translation -5 -37 -530 -572 Depreciation 0 422 5,320 5,742 Reversed depreciation on disposals 0 -5 -29,166 -29,171 Reversed depreciation on disposals relating to di-vestments0 0 -387 -387 Depreciation at 31 December 2022 91 1,194 4,812 6,097 Carrying amount at 31 December 2022 0 1,514 10,835 12,349

Note 1

1 – Tangible assets

Annual Report 2023

Notes

Financial Statements Governance Our business The big perspective

DKK ´000

Leasehold

improve-

ments

Fixtures

and

equipment Total

Parent 2023

Balance at 1 January 2023

491 3,972 4,463

Additions

0 951 951

Balance at 31 December 2023

491 4,923 5,414

Depreciation at 1

January 2023 491 2,103 2,594

Depreciation

0 1,107 1,107

Depreciation at 31 December 2023

491 3,210 3,701

Carrying amount at 31 December 2023

0 1,713 1,713

DKK ´000

Leasehold

improve-

ments

Fixtures

and

equipment Total

Parent 2022

Balance at 1 January 2022

491 27,430 27,921

Additions

0 1,010 1,010

Disposals

0 -24,468 -24,468

Balance at 31 December 2022

491 3,972 4,463

Depreciation at 1 January 2022

491 25,372 25,863

Depreciation

0 1,200 1,200

Reversed depreciation on disposals

0 -24,469 -24,469

Depreciation at 31 December 2022

491 2,103 2,594

Carrying amount at 31 December 2022

0 1,869 1,869

Accounting policies

Property plant and equipment

These are measured at cost less accumulated depreciation and impairment losses. Cost comprises the

purchase price and any costs directly attributable to the acquisition until the date the asset is ready for use.

Fixtures and equipment are depreciated over 3 to 5 years, equal to the asset’s estimated useful life. Lease-

hold improvements are amortized over the lease period not exceeding 5 years.

The basis for depreciation is determined taking into account the residual value less impairment losses. The

value is written down to the recoverable amount if this is lower than the carrying value. The residual value is

determined at the acquisition date and reassessed annually. Depreciation is discontinued if the residual

value exceeds the carrying amount.

In amendment of the depreciation period or the residual value, the effect is recognized prospectively as a

change in accounting estimates.

Note 1

1 – Tangible assets (continued)

Annual Report 2023

Notes

Financial Statements Governance Our business The big perspective

Other DKK ´000equipment Cars Offices Total Group 2023Balance at 1 January 2023 3,336 16,125 153,264 172,725 Foreign currency translation -2 80 -300 -222 Re-assessment of existing assets 1,159 228 34,307 35,694 Additions 479 5,798 5,768 12,045 Additions related to acquisitions 0 331 1,663 1,994 Disposals -813 -5,961 -20,771 -27,545 Balance at 31 December 2023 4,159 16,601 173,931 194,691 Depreciation at 1 January 2023 1,462 6,413 99,534 107,409 Foreign currency translation -9 -7 -344 -360 Depreciation 768 3,635 24,450 28,853 Reversed depreciation on disposals -594 -3,445 -19,500 -23,539 Depreciation at 31 December 2023 1,627 6,596 104,140 112,363 Carrying amount at 31 December 2023 2,532 10,005 69,791 82,328

Total cash flow for the Group relating to right-of-use-assets is equal to the actual payments on the leases

amounting to DKK 27m. For more information about lease the lease liability for right-of-use assets, please

refer to note 18.

There has been an increase of 26% in right-of-use-assets compared to 2022, which mainly relates to reas-

sessment of lease terms.

Other DKK ´000equipment Cars Offices Total Group 2022Balance at 1 January 2022 2,529 16,380 159,296 178,205 Foreign currency translation -181 -890 -4,959 -6,030 Re-assessment of existing assets 995 -13 19,623 20,605 Additions 494 5,009 17,379 22,882 Disposals -501 -4,361 -29,708 -34,570 Disposals related to divestments 0 0 -8,367 -8,367 Balance at 31 December 2022 3,336 16,125 153,264 172,725 Depreciations at 1 January 2022 1,204 5,030 110,549 116,783 Reclassification of previous years 0 -26 0 -26 Foreign currency translation -98 -263 -3,149 -3,510 Depreciation 717 3,854 25,527 30,098 Reversed depreciation on disposals -361 -2,182 -28,260 -30,803 Reversed depreciation on disposals relating to di-vestments0 0 -5,133 -5,133 Depreciation at 31 December 2022 1,462 6,413 99,534 107,409 Carrying amount at 31 December 2022 1,874 9,712 53,730 65,316

Total cash flow for the Group relating to right-of-use-assets is equal to the actual payments on the leases

amounting to DKK 31m.

Note 1

2 – Right-of-use-assets

Annual Report 2023

Notes

Financial Statements Governance Our business The big perspective

DKK ´000

Other

equipment

Cars Offices Total

Parent 2023

Balance at 1 January 2023

274 3,764 41,298 45,336

-assessment of existing assets 268 314 9,688 10,270

Additions

416 1,075 33 1,524

Disposals

0 -1,052 0 -1,052

Balance at 31 December 2023

958 4,101 51,019 56,078

Depreciation at 1 January 2023

126 2,283 31,047 33,456

Depreciation

146 1,198 4,954 6,298

Reversed depreciation on disposals

0 -1,029 0 -1,029

Depreciation at 31 December 2023

272 2,452 36,001 38,725

Carrying amount at 31 December 2023

686 1,649 15,018 17,353

Total cash flow for the parent company relating to right-of-use-assets is equal to the actual payments on the

leases amounting to DKK 6.3m.

DKK ´000

Other

equipment Cars Offices Total

Parent 2022

Balance at 1

January 2022 185 3,749 42,421 46,355

-assessment of existing assets 5 225 2,096 2,326

Additions

84 1,250 107 1,441

Disposals

0 -1,460 -3,326 -4,786

Balance at 31 December 2022

274 3,764 41,298 45,336

Depreciations at 1 January 2022

93 1,713 29,541 31,347

Depreciation

33 1,181 4,832 6,046

Reversed depreciation on disposals

0 -611 -3,326 -3,937

Depreciation at 31 December 2022

126 2,283 31,047 33,456

Carrying amount at 31 December 2022

148 1,481 10,251 11,880

Total cash flow for the parent company relating to right-of-use-assets is equal to the actual payments on the

leases amounting to DKK 6.2m.

Note 1

2 – Right-of-use-assets (continued)

Annual Report 2023

Notes

Financial Statements Governance Our business The big perspective

Accounting policies

Right-of-use-assets are classified separately from other assets in the financial statement. The right-of-use-

assets are depreciated on a straight-line basis over the lease term. The right-of-use-asset can be adjusted

due to modifications to the lease contract or reassessment of lease term.

Columbus’ portfolio of leases include three main groups: Offices, cars and other fixtures.

Lease liabilities are initially measured at the net present value of the fixed lease payments for the use of a

lease asset. If, at inception of the lease, we are reasonably certain about exercising an option to extend a

lease, we will include the lease payments in the option period when calculating the lease liability. We meas-

ure the lease asset to the value of the lease liability at initial recognition with the addition of lease payments

at or before the commencement date of the lease, less any lease incentives received, any initial direct

costs, and an estimate of costs to be incurred upon returning the underlying asset to the lessor.

Lease liabilities are measured using the incremental borrowing rate, rather than the interest rate implicit in

the leases since these cannot easily be determined in the contracts.

The incremental borrowing rate comprises of three parts:

 Reference rate

 Financing spread adjustment

 Lease specific adjustment

The interest rate used for measuring new lease liabilities is 8.43% (2022: in the range between 2.84% and

5.84%).

Contracts may contain both lease and non-lease components. We allocate the consideration in a contract

to the lease and non-lease components based on their relative stand-alone prices. We account for non-

lease components in accordance with the accounting policy applicable for such items. Non-lease compo-

nents comprise of services and operating costs etc. Variable lease expenses are recognized in other exter-

nal expenses in the period when the condition triggering those payments occurs.

Interests of lease liabilities are recognized in financial expenses. Each lease payment is separated into re-

payment of the lease liability and payment of interests of the lease liability.

Debt repayments are classified as cash flows from financing activities, and payment of interests are classi-

fied as cash flows from operating activities.

Short-term leases and leases of low-value assets are not recognized as right-of-use-assets.

Note 1

2 – Right-of-use-assets (continued)

Annual Report 2023

Notes

Financial Statements Governance Our business The big perspective

Parent Company

DKK ´000

2023 2022

Balance at 1 January

981,346 981,346

Additions

53,920 0

Disposals related to liquidation

-4,752

Balance at 31 December

1,030,514 981,346

Write down at 1 January

-250,908 -214,097

Write down

0 -36,811

Reversal of write down on

disposal 2,825 0

Amortization and write down at 31 December

-248,083 -250,908

Carrying amount 31 December

782,431 730,438

Addition in 2023 relates to the acquisition of ICY Security in April 2023, cf. note 21. The disposal relates to

liquidation of a dormant Swiss subsidiary.

For an overview of investments in subsidiaries, please refer to the Group overview on page 50

Accounting policies

Investments in subsidiaries in the Parent Company’s financial statement

Investments in subsidiaries are measured in the Parent Company’s financial statements at historical cost. If

the historical cost exceeds the recoverable amount, the costs are impaired to the lower value.

When dividend distributed exceeds the accumulated earnings after the acquisition date this is considered

as an indication of impairment.

If the Parent Company has a legal or constructive obligation to cover a subsidiary’s deficit, a provision is

recognized to the extent that it exceeds amounts owed by the subsidiary.

Gains and losses on disposal of subsidiaries are calculated as the difference between the sale or liquida-

tion amount and the carrying amount at the time of sale less costs to sell. Gains or losses are recognized in

the statement of comprehensive income under "Other operating income" and "Other operating expenses".

Dividends from subsidiaries

Dividends from investments are recognized in the Parent Company’s profit in the accounting period, where

the right for the dividend is earned.

Note 1

3 – Investments in subsidiaries

Annual Report 2023

Notes

Financial Statements Governance Our business The big perspective

Group Parent Company DKK ´000 2023 2022 2023 2022 Receivables (gross) at 1 Jan 261,422 281,133 53,297 59,728 Change in receivables during the period 34,385 -19,711 10,577 -6,431 Receivables (gross) end of period 295,807 261,422 63,874 53,297 Provisions for bad debt at 1 Jan 6,622 11,550 5,574 1,277 Change in provisions for bad debt during the period-4,767 -7,074 -4,955 4,273 Loss realized during the period 46 2,146 73 24 Provisions for bad debt end of period 1,901 6,622 692 5,574 Carrying amount end of period 293,906 254,800 63,182 47,723

Provisions for bad debt are made based on the lifetime expected credit losses in line with the Group’s ac-

counting policies.

Group Parent Company DKK ´000 2023 2022 2023 2022 Age of receivables (gross):Not due 193,805 174,400 50,163 35,410 0-30 days 88,157 72,614 11,518 15,625 30-60 days 8,333 9,009 1,253 1,141 61-90 days 1,068 3,358 416 339 91-180 days 1,705 1,724 0 457 181-270 days 1,978 114 344 189 270-360 days 197 3 0 35 Above 360 days 564 200 180 101 Total 295,807 261,422 63,874 53,297

Group Parent Company DKK ´000 2023 2022 2023 2022 Age of impairment:Not due 18 5,091 4 5,106 0-30 days 220 363 29 78 30-60 days 125 226 19 29 61-90 days 53 252 116 25 91-180 days 426 431 0 114 181-270 days 298 57 344 95 271-360 days 197 2 0 26 Over 360 days 564 200 180 101 Total 1,901 6,622 692 5,574

Group Parent Company DKK ´000 2023 2022 2023 2022 Provision matrix:Not due0.0% 2.9% 0.0% 14.4% 0-30 days 0.3% 0.5% 0.3% 0.5% 30-60 days 1.5% 2.5% 1.5% 2.5% 61-90 days 5.0% 7.5% 28.0% 7.4% 91-180 days 25.0% 25.0% 100.0% 25.0% 181-270 days 15.1% 50.0% 100.0% 50.0% 271-360 days 100.0% 75.0% 0.0% 75.0% Over 360 days 100.0% 100.0% 100.0% 100.0%

The parent entity has applied management provisions, to mitigate the risk of credit loss due to a dispute

with a single customer, resulting in the provision percentage for the “not due” category being higher than

usual.

Note 1

4 – Trade receivables

Annual Report 2023

Notes

Financial Statements Governance Our business The big perspective

Note 14 – Trade receivables (continued)

Accounting policies

Receivables consist of receivables from sales of products and services and other receivables.

Receivables are measured at initial recognition at fair value and subsequently at amortized cost, which usu-

ally corresponds to nominal value less provisions for bad debts.

When assessing impairment for the Group’s receivables the expected credit losses model (ECL) is applied

in accordance with IFRS 9. The ECL model involves a three-stage approach under which financial assets

move through the stages as their credit quality changes. The stages determine how impairment losses are

measured. For trade receivables the Group uses the simplified approach in calculating ECL’s. Therefore,

the Group does not track changes in credit risk, but instead recognizes a loss allowance based on lifetime

ECLs at each reporting date. The Group has established a provision matrix that is based on its historical

credit loss experience, adjusted for forward-looking factors specific to the debtors and the economic envi-

ronment. Provision rates are determined based on grouping of trade receivables sharing the same credit

risk characteristics and days past due.

Loans to subsidiaries in the Parent Company’s financial statement

Impairment losses on loans to subsidiaries will be recognized based on a 12-month ECL model.

Note 15 – Contract assets and contract liabilities

Group Parent Company

DKK ´000

2023 2022 2023 2022

Balance at 1 Jan

-4,138 -5,815 -1,981 -5,973

Changes contract assets during the period

25,631 136 2,279 1,726

Changes on account billing and prepayments

during the period

-20,669 1,541 -1,675 2,266

Balance at end of period

824 -4,138 -1,377 -1,981

Work in progress

39,297 13,666 9,542 7,263

On account billing and prepayments

-38,473 -17,804 -10,919 -9,244

Balance at end of period

824 -4,138 -1,377 -1,981

The net value is included in the balance as follows:

Contract assets

9,065 5,822 1,375 229

Contract liabilities

-8,241 -9,960 -2,752 -2,210

Balance at end of period

824 -4,138 -1,377 -1,981

The Group’s contract assets are subject to significant judgements in relation to the classification of the con-

tract and in terms of how the contract is handled and recognized in the financial statements. When deter-

mining the appropriate recognition of the contract, the Group accounting policies are applied.

Of the prepayments as of 31 December 2022 (DKK 8,778k) DKK 7,038k has been recognized as revenue

in the reporting period corresponding to 80%.

The Group’s total value of contracts represents DKK 37,529k as of 31 December 2023 (DKK 15,137k as of

December 2022). DKK 5,252k of the total contract value is recognized as revenue as of 31 December 2022

(DKK 5,461k as of 31 December 2022). The remaining DKK 32,276k is expected to be recognized as reve-

nue within 12-18 months from the balance date (DKK 9,676k as of 31 December 2022). The higher contract

values in 2023 compared to 2022 are affected by higher activity and acquisition of ICY Security ApS in the

financial year.

Annual Report 2023

Notes

Financial Statements Governance Our business The big perspective

Note 15 – Contract assets and contract liabilities (continued)

Accounting policies

Contract assets and contract liabilities are measured at the sales value of the work performed less progress

billings and expected losses. Market value is measured based on completion at the balance sheet date and

the total expected income from the contract. The stage of completion is determined as the ratio between

the resources spent and the total estimated resource for the project. For some projects where the con-

sumption of resources cannot be used as a base, the measurement is instead based on the ratio between

completed sub activities and the total project.

When it is probable that total costs will exceed total revenue on a contract work in progress, the expected

loss on the contract is taken immediately as an expense and a provision.

When the outcome of a contract cannot be estimated reliably, the selling price is only recognized at cost, to

the extent that it is probable, they will be recovered.

Contract assets and contract liabilities are recognized in the balance sheet under current assets or liabili-

ties, depending on whether net value of a contract is a receivable or liability.

Costs of sales work and securing contracts are recognized in statement of comprehensive income as in-

curred.

When assessing impairment for the Group’s contract work in progress the simplified approach under the

ECL model is used in line with impairment for the Group’s trade receivables.

Note 16 – Share capital

The share capital consists of 129,276,264 shares of DKK 1.25, corresponding to DKK 161,595k (nom.).

The shares are not divided into classes, and no shares have any special rights. The share capital is fully

paid up.

There has been no capital increase in 2023.

Parent Company

2023 2022

Number of shares at the beginning of the year

129,276,264 129,276,264

Capital increase

0 0

Number of shares at 31 December

129,276,264 129,276,264

Annual Report 2023

Notes

Financial Statements Governance Our business The big perspective

Group

Parent Company

DKK ´000

2023 2022 2023 2022

Contingent

consideration 16,961 0 16,961 0

Other provisions

829 866 829 866

17,790 866 17,790 866

DKK ´000

Contingent

consideration

Other

provisions Total

Group 2023

Balance (non

-current) at 1 January 2023 0 866 866

Balance

(current) at 1 January 2023 0 0 0

Additions during the period

18,025 0 18,025

Fair value adjustment

2,040 0 2,040

Unachieved earn

-out during the period -3,104 0 -3,104

Changes in other provisions

0 -37 -37

Carrying amount at 31 December 2023

16,961 829 17,790

Carrying amount non

-current at 31 December 2023 16,961 829 17,790

Carrying amount current at 31 December 2023

0 0 0

Contingent consideration

The addition of earn-out is related to the acquisition of ICY Security ApS. The earn-out target amount com-

prises DKK 85m and is measured as the most likely scenario and discounted until time of payment. The

earn-out agreement covers a three-year period whereof first period for 2023 has been adjusted to match

the actual achievement.

Other provisions

Other provisions are primarily related to claims and refurbishment obligations of leased assets.

DKK ´000

Contingent

consideration

Other

provisions Total

Group 2022

Balance

(non-current) at 1 January 2022 0 1,056 1,056

Balance (current) at 1 January 2022

6,539 6,722 13,261

Unachieved earn

-out reversed during the period -6,539 0 -6,539

Settlement of claim

0 -6,722 -6,722

Changes in other provisions

0 -190 -190

Carrying amount at 31 December 2022

0 866 866

Carrying amount non

-current at 31 December 2022 0 866 866

Carrying amount current at 31 December 2022

0 0 0

Note 1

7 – Provisions and contingent consideration

Annual Report 2023

Notes

Financial Statements Governance Our business The big perspective

DKK ´000

Contingent

consideration

Other

provisions Total

Parent 2023

Balance (non

-current) at 1 January 2023 0 866 866

Balance (current) at 1 January 2023

0 0 0

Additions during the period

18,025 0 18,025

Fair value

adjustment 2,040 0 2,040

Unachieved earn out during the period

-3,104 0 -3,104

Changes in other provisions

0 -37 -37

Carrying amount at 31 December 2023

16,961 829 17,790

Carrying amount non

-current at 31 December 2023 16,961 829 17,790

Carrying amount current at 31 December 2023

0 0 0

Contingent consideration

The addition of earn-out is related to the acquisition of ICY Security ApS. The earn-out target amount com-

prise DKK 85m and is measured as the most likely scenario and discounted until time of payment. The

earn-out agreement covers a three-year period whereof first period for 2023 has been adjusted to match

the actual achievement.

Other provisions

Other provisions are primarily related to repairment obligations on leased assets.

DKK ´000

Contingent

consideration

Other

provisions Total

Parent 2022

Balance (non

-current) at 1 January 2022 0 1,056 1,056

Balance (current) at 1 January 2022

6,539 6,722 13,261

Unachieved earn

-out reversed during the period -6,539 0 -6,539

Settlement of claim

0 -6,722 -6,722

Changes in other provisions

0 -190 -190

Carrying amount at 31 December 2022

0 866 866

Carrying amount non

-current at 31 December 2022 0 866 866

Carrying amount current at 31 December 2022

0 0 0

Accounting policies

Provisions

Provisions for liabilities are recognized as a result of events occurring before or at the balance sheet date,

that has a legal or constructive obligation and it is probable that settlement of the obligation will result in an

outflow of economic resources.

Provisions are measured at management's best estimate of the amount required to settle the obligation.

Provisions with an expected maturity of more than one year from the balance sheet date are measured at

present value.

Note 1

7 – Provisions and contingent consideration (continued)

Annual Report 2023

Notes

Financial Statements Governance Our business The big perspective

Other DKK ´000equipment Cars Offices Total Group 2023Less than 1 year 540 3,080 20,409 24,029 Between 1 and 5 years 2,035 6,995 51,657 60,687 More than 5 years 0 0 0 0 2,575 10,075 72,066 84,716

The Group does not face a significant liquidity risk with regard to its lease liabilities. Lease liabilities are

monitored closely by the management. For more information about right-of use assets, please refer to

note 12. For analysis of maturity, please refer to note 24.

Other DKK ´000equipment Cars Offices Total Group 2022Less than 1 year 707 2,851 23,367 26,925 Between 1 and 5 years 1,187 7,044 32,566 40,797 More than 5 years 0 0 0 0 1,894 9,895 55,933 67,722

DKK ´000

Other

equipment Cars Offices Total

Parent 2023

Less than 1 year

142 1,051 4,368 5,561

Between 1 and 5 years

558 636 11,273 12,467

More than 5 years

0 0 0 0

700 1,687 15,641 18,028

DKK ´000

Other

equipment Cars Offices Total

Parent 2022

Less than 1 year

49 901 5,252 6,202

Between 1 and 5 years

101 598 5,672 6,371

More than 5 years

0 0 0 0

150 1,499 10,924 12,573

Note 1

8 – Lease liability, Right-of-use-assets

Annual Report 2023

Notes

Financial Statements Governance Our business The big perspective

Note 19 – Other payables

Group Parent Company DKK ´000 2023 2022 2023 2022 Payroll cost, payroll tax, retirement benefit obligations etc. 101,021 58,791 27,879 9,972 Holiday pay etc. 50,046 47,690 8,352 10,584 VAT payable 32,482 25,224 11,604 3,515 Other liabilities 34,389 32,852 6,579 9,131 217,938 164,557 54,414 33,202

The carrying amount of other payables matches the fair value of the liabilities.

The holiday pay obligation represents the Group’s obligation to pay salary during employees' holiday in the

following financial year.

Accounting policies

Current liabilities

Current liabilities include bank loans, trade payables and other liabilities to public authorities, etc. Current

liabilities are initially measured at fair value, less any transaction costs. In subsequent periods, current lia-

bilities are measured at amortized cost using the "effective interest method" so that the difference between

the proceeds and the nominal value is recognized in the income statement under financial expenses over

the loan period.

Other liabilities are measured at amortized cost.

Pensions

Contributions to defined contribution plans are recognized in the statement of comprehensive income in the

period to which they relate, and any contributions payable are recognized in the balance sheet under other

payables.

Note 20 – Contingent liabilities and commitments for expenditures

Parent Company

Contingent liabilities

The Danish jointly taxed companies are jointly and severally liable for tax on joint taxation income.

The Company is included in Danish jointly taxation with Consolidated Holdings A/S as controlling company.

Thus, the Company is, in accordance with the Danish Corporation Tax Act, from financial year 2013 liable

for income tax etc. for the jointly taxed companies and from 1 July 2012 also for potential liabilities, includ-

ing withholding tax on interest, royalties and profits for these companies.

Commitments for expenditures

The Company has guaranteed payment of banking arrangements in Nordea for subsidiaries. As of 31 De-

cember 2023 the maximum liability is DKK 14.131k (2022: DKK 14.348k).

Guarantees

The Company have provided guarantees for its subsidiaries regarding rent expenses. As of 31 December

2023 the guarantees amount to DKK 3.754K (2022: DKK 890K).

Annual Report 2023

Notes

Financial Statements Governance Our business The big perspective

Acquisition of companies in 2023

The Group has on 11 April 2023 acquired ICY Security ApS. The acquisition was a share purchase.

Acquired Total considera-Primary Date of control Acquired voting tion Nameactivitygained ownership rights DKK ’000 Implementation of Identity and Access ICY Security management solu-ApStions. 1 April 2023 100% 100% 53,920 Total 53,920

With the acquisition of ICY Security, Columbus expanded its business to meet customers’ increasing de-

mand for secure access to business-critical data.

After recognition of identifiable assets, liabilities and contingent liabilities at fair value, goodwill in relation to

the acquisition is assessed to DKK 51.6m. Compared to the previously presented opening balance latest in

the Q3 report, the contingent consideration in the opening balance has been remeasured, to align with the

fair value of the contingent consideration.

Contingent consideration

The contingent consideration is based on a 3-year earn-out period with an increasing potential payout each

year based on specified revenue and Business Line contribution targets for each earn-out period. The mini-

mum payout for the entire contingent consideration is DKK 0, while the maximum is DKK 119m. The earn-

out period covers the financial years 2023 - 2025.

The most probable undiscounted contingent consideration for the three year period is assessed to DKK

23m. The fair value of the contingent consideration is DKK 18m. The estimates are based a Weighted Aver-

age Cost of Capital (WACC) of 8% as the basis for the calculation.

ICY Security DKK ´000ApS Total 2023 Tangible fixed assets 1,670 1,670 Other intangible assets 5,300 5,300 Total non-current assets 6,970 6,970 Trade receivables 9,370 9,370 Work in progress 505 505 Prepayments 507 507 Other receivables 439 439 Cash 3,517 3,517 Total current assets 14,338 14,338 Trade payables -2,119 -2,119 Debt to credit institutions -68 -68 Corporation tax and deferred tax -1,518 -1,518 Deferred income -1,037 -1,037 Accruals -11,398 -11,398 Other debt -2,810 -2,810 Total current debt -18,950 -18,950 Net assets acquired 2,358 2,358 Goodwill 51,562 51,562 Total consideration 53,920 53,920 Net working capital not paid7,554 7,554 Acquired cash funds -3,449 -3,449 Contingent consideration -18,025 -18,025 Cash consideration on acquisition date 40,000 40,000

Note 21

– Business combinations

Annual Report 2023

Notes

Financial Statements Governance Our business The big perspective

Other information

The fair value of acquired trade receivables is DKK 9m. No material amounts are recognized as provision

for loss.

The goodwill is primarily attributable to the specific competences within the IT Security space at ICY Secu-

rity ApS. The goodwill is fully allocated to our new business line Security and is not deductible for tax pur-

poses.

All transaction cost are included in the Other external cost in the income statement.

Revenue and profit contribution

ICY Security ApS contributed revenue of DKK 31m and net profit of DKK -10m to the group for the period

from 1 April to 31 December 2023.

If the acquisition had occurred on 1 January 2023, consolidated pro-forma revenue and profit for the

year ended 31 December 2023 would have been DKK 1,555m and DKK 27m respectively.

These amounts have been calculated using the subsidiary’s results and adjusting them for:

• differences in the accounting policies between the group and the subsidiary, and

• the additional depreciation and amortization that would have been charged assuming the fair value adjust-

ments to intangible assets had applied from 1 April 2023, together with the consequential tax effects.

Acquisition of companies in 2022

There have been no acquisitions during 2022.

Acquisition of companies in 2024

The Group has per 1 January 2024 acquired Endless Gain Ltd. The acquisition was a share purchase.

Name

Primary

activity

Date of control

gained

Acquired

ownership

Acquired

voting

rights

Total consideration

DKK ’000

Endless Gain

Limited

-commerce

business

1 January 2024 100% 100% 16,471

Total

16,471

After recognition of identifiable assets, liabilities and contingent liabilities at fair value, goodwill in relation to

the acquisition was assessed to GBP 929k (As of 31 December 2023 DKK 7,967k).

The opening balance presented is a preliminary balance since post-closing work is still ongoing.

Contingent consideration

The contingent consideration is based on a 3-year earn-out period with an increasing potential payout each

year based on specified revenue and Business Line contribution targets for each earn-out period. The mini-

mum payout for the entire contingent consideration is GBP 0, while the maximum is GBP 1,950k (As of 31

December 2023 DKK 16,726k). The earn-out period covers the financial years 2024 - 2026.

The most probable undiscounted contingent consideration for the three year period is assessed to GBP

658k (As of 31 December 2023 DKK 5,644k). The fair value of the contingent consideration is GBP 507k

(As of 31 December 2023 DKK 4,349k). The estimates are based a Weighted Average Cost of Capital

(WACC) of 10% as the basis for the calculation.

Note 21

– Business combinations (continued)

Annual Report 2023

Notes

Financial Statements Governance Our business The big perspective

Other information

The fair value of acquired trade receivables is GBP 218k (As of 31 December 2023 DKK 1,866k). No mate-

rial amounts are recognized as provision for loss.

The goodwill is primarily attributable to the specific competences within the advanced analytical and behav-

ioral psychology insights their platform generates in Endless Gain. The goodwill is fully allocated to the

business line Digital Commerce and is not deductible for tax purposes.

All transaction cost are included in the Other external cost in the income statement.

Revenue and profit contribution

Endless Gain Limited were acquired on first of January, hence all revenue and profit contribution will be in-

cluded in the financial year 2024.

Endless Gain DKK ´000Limited Total 2024 Other intangible assets 7,033 7,033 Total non-current assets 7,033 7,033 Trade receivables 1,866 1,866 Prepayments 103 103 Other receivables 148 148 Cash 3,139 3,139 Total current assets 5,256 5,256 Trade payables -237 -237 Debt to credit institutions -123 -123 Corporation tax and deferred tax -2,262 -2,262 Accruals -174 -174 Other debt -989 -989 Total current debt -3,785 -3,785 Net assets acquired 8,504 8,504 Goodwill 7,967 7,967 Total consideration 16,471 16,471 Net working capital not paid 2,733 2,733 Acquired cash funds -3,016 -3,016 Contingent consideration -4,350 -4,350 Cash consideration on acquisition date 11,838 11,838

Note 21

– Business combinations (continued)

100

Annual Report 2023

Notes

Financial Statements Governance Our business The big perspective

Consolidated Holdings A/S has a controlling interest in the Columbus Group, including Columbus A/S.

Other related parties with significant influence in the Columbus Group are the Company’s Board of Direc-

tors, Executive Board and certain executives and their related parties. Furthermore, related parties are

companies in which the above persons have significant influence.

Related parties with controlling interest

Consolidated Holdings A/S (Fredheimvej 9, 2950 Vedbæk)

Consolidated Holdings A/S owns 58.75% of the shares in Columbus A/S. Consolidated Holdings A/S has a

controlling interest in Columbus A/S, as Consolidated Holdings A/S, through its shareholding and its share-

holder voting agreements, controls the majority (62.20%) of the votes at the annual general meeting. Trans-

actions with the company are made on an arm's length basis. Ib Kunøe is the majority shareholder in Con-

solidated Holdings A/S.

Dividend to Consolidated Holdings A/S is paid on equal principals as with other shareholders. Furthermore,

Consolidated Holdings A/S is in a joint taxation with the Danish entities in the Columbus Group, with Con-

solidated Holdings A/S as management company. In 2023 Columbus received a tax receivable from Con-

solidated Holdings A/S for DKK 0 (2022: DKK 773k).

Related parties with significant influence

ATEA (Lautrupvang 6, 2750 Ballerup)

Consolidated Holdings A/S has significant influence in ATEA, and certain dual roles in the management are

filled by the same persons in ATEA and the Columbus Group. Transactions with the company are made on

an arm's length basis.

X-Yachts A/S (Fjordagervej 21, 6100 Haderslev)

Consolidated Holdings A/S has a significant influence in X-Yachts A/S and certain roles in the management

are filled by the same persons in X-Yachts and Columbus Group. Transactions with X-Yachts A/S were

made on arm’s length.

Parent DKK ´000 2023 2022 Net salesAtea 793 2,354 X-Yachts A/S 2,248 945 Total 3,041 3,299 Net purchaseAtea -16,208 -16,496 Total -16,208 -16,496

Sale to Atea and X-Yachts is primarily consultancy and sale of licenses from 3

parties.

Purchase from Atea and subsidiaries is primarily office rent, purchase of IT equipment and consultancy ser-

vices. The lease contract for office rent constitute right-of-use asset of DKK 10,883k and lease liability of

DKK 11,411k.

Parent DKK ´000 2023 2022 Trade receivablesX-Yachts A/S 385 99 Total 385 99 Trade payablesAtea -3,073 -3,129 Total -3,073 -3,129

Executive Board and Board of Directors

Remuneration of the Executive Board, the Board of Directors and executives appears from note 4.

Note 2

2 – Related parties

101

Annual Report 2023

Notes

Financial Statements Governance Our business The big perspective

Note 22 – Related parties (continued)

Subsidiaries

Related parties in Columbus also comprise the subsidiaries in which the Company has controlling interest,

cf. the Group overview.

Trading with subsidiaries was as follows:

Parent Company

DKK ´000

2023 2022

Purchase from subsidiaries

-35,464 -48,520

Sold to subsidiaries

127,185 110,610

Purchases from subsidiaries are primarily consultancy and development hours from Columbus' Global

Delivery Center, and internally developed software for customer sales.

Sold to subsidiaries is primarily service and tools fees, consultancy and development hours, as well as cost

split for the shared service center in Columbus’ Danish and Norwegian companies.

Transactions with subsidiaries are eliminated in the consolidated financial statements in accordance with

applied accounting policies.

Outstanding accounts with subsidiaries

Columbus' outstanding accounts with subsidiaries are shown directly in the balance sheet. Outstanding

accounts are interest-bearing. The interest payment of outstanding accounts is shown in note 7. Payment

terms for regular outstanding accounts are invoiced month + 30 days.

Note 23 – Fee to the Group's auditor elected by the annual general meeting

Group Parent Company

DKK ´000

2023 2022 2023 2022

Auditor elected by the annual general meeting

Statutory audit

2,976 2,174 481 593

Other assurance services

34 71 34 71

Other non

-audit services 88 358 88 358

Total audit fee

3,098 2,603 603 1,022

A few Group enterprises are not audited by the Parent’s appointed auditors (PwC) or the auditors foreign

affiliates.

Other services provided by the auditors elected by the annual general meeting comprise of fee for advisory

related to ESG reporting and review of the remuneration report.

102

Annual Report 2023

Notes

Financial Statements Governance Our business The big perspective

The below maturity analysis is based on undiscounted cash flow, and the method of accounting is equiva-

lent to Columbus' cash flow exposure going forward. The maturity analysis shows a balanced current ratio.

Between Less than 1 and 5 More than DKK ´0001 year years 5 years Total Group 2023Financial assetsTrade receivables 293,906 0 0 293,906 Contract assets 9,065 0 0 9,065 Corporate tax receivables 2,049 0 0 2,049 Other receivables 13,709 6,521 12,820 33,050 Receivables from divestment of activities 57,322 0 0 57,322 Prepayments 31,089 0 0 31,089 Cash and bank balances 38,269 0 0 38,269 Total financial assets 445,409 6,521 12,820 464,750 Financial liabilitiesDebt to credit institutions 41,656 129,398 0 171,054 Contingent consideration 0 16,961 0 16,961 Trade payables 60,666 0 0 60,666 Other payables 217,938 0 0 217,938 Lease liability right-of-use assets 29,640 68,315 0 97,955 Total financial liabilities 349,900 214,674 0 564,574 Ratio 1.27 0.82

The total financial liabilities are expected to be financed by the positive cash flows from primary activities,

as well as unused lines of credit. Further, part of the short term financial liabilities is not expected to fall due

for payment.

The below table discloses the expected interest payments for credit institutions and for lease liability and

provisions the discounted interest on the debt to represent net present value.

Between Less than 1 and 5 More than DKK ´0001 year years 5 years Total Debt to credit institutions -5,359 -13,398 0 -18,757 Lease liability right-of-use assets -5,611 -7,628 0 -13,239

Liquidity risk management

The Group manages liquidity risk by maintaining adequate reserves, banking facilities and reserve borrow-

ing facilities, by continuously monitoring forecast and actual cash flows, and by matching the maturity pro-

files of financial assets and liabilities. For all the primary financial instruments, the carrying amounts are

equivalent to the fair value.

Note 2

4 – Financial risks and financial instruments

103

Annual Report 2023

Notes

Financial Statements Governance Our business The big perspective

Between Less than 1 and 5 More than DKK ´0001 year years 5 years Total Group 2022Financial assetsTrade receivables 254,800 0 0 254,800 Contract assets 5,822 0 0 5,822 Corporate tax receivables 2,254 0 0 2,254 Other receivables 12,930 9,110 7,399 29,439 Receivables from divestment of activities 59,264 0 0 59,264 Prepayments 19,868 0 0 19,868 Cash and bank balances 32,787 0 0 32,787 Total financial assets 387,725 9,110 7,399 404,234 Financial liabilitiesDebt to credit institutions 55,702 84,265 0 139,967 Trade payables 64,926 0 0 64,926 Other payables 164,557 0 0 164,557 Lease liability right-of-use assets 28,639 41,969 0 70,608 Total financial liabilities 313,824 126,234 0 440,058 Ratio 1.24 0.92

The below table discloses the expected interest payments for credit institutions and for provisions the dis-

counted interest on the debt to represent net present value.

Between Less than 1 and 5 More than DKK ´0001 year years 5 years Total Debt to credit institutions -3,367 -8,265 0 -11,632 Lease liability right-of-use assets -1,715 -1,171 0 -2,886

Note 2

4 – Financial risks and financial instruments (continued)

104

Annual Report 2023

Notes

Financial Statements Governance Our business The big perspective

DKK ´000

Less than

1 year

Between

1 and 5

years

More than

5 years

Total

Parent 2023

Financial assets

Trade receivables

63,182

Receivables from subsidiaries

82,611 0 0 82,611

Contract assets

1,375 0 0 1,375

Other receivables

9,737 6,521 3,553 19,811

Prepayments

13,745 0 0 13,745

Cash and bank balances

602 0 0 602

Total financial assets

171,252 6,521 3,553 181,326

Financial liabilities

Debt to credit institutions

41,673 129,398 0 171,071

Contingent consideration

0 16,961 0 16,961

Debt to

subsidiaries 58,651 0 0 58,651

Trade payables

20,249 0 0 20,249

Other payables

54,414 0 0 54,414

Lease liability right

-of-use assets 6,842 14,235 0 21,077

Total financial liabilities

181,829 160,594 0 342,423

Ratio

0.94

0.53

The total financial liabilities are expected to be financed by the positive cash flows from primary activities,

as well as unused lines of credit. Further, part of the short term financial liabilities are not expected to fall

due for payment.

The below table discloses the expected interest payments for credit institutions and for lease liability and

provisions the discounted interest on the debt to represent net present value.

DKK ´000

Less than

1 year

Between

1 and 5

years

More than

5 years

Total

Debt to credit institutions

-5,359 -13,398 0 -18,757

Lease liability right

-of-use assets -1,281 -1,768 0 -3,049

Note 2

4 – Financial risks and financial instruments (continued)

105

Annual Report 2023

Notes

Financial Statements Governance Our business The big perspective

DKK ´000

Less than

1 year

Between

1 and 5

years

More than

5 years

Total

Parent 2022

Financial assets

Trade receivables

47,723

Receivables from subsidiaries

69,202 0 0 69,202

Contract assets

229 0 0 229

Other receivables

8,759 9,110 3,033 20,902

Prepayments

8,801 0 0 8,801

Cash and bank balances

0 0 0 0

Total financial assets

134,714 9,110 3,033 146,857

Financial liabilities

Debt to credit institutions

78,461 84,265 0 162,726

Debt to subsidiaries

40,746 0 0 40,746

Trade payables

23,319 0 0 23,319

Other payables

33,202 0 0 33,202

Lease liability right

-of-use assets 6,459 6,473 0 12,932

Total financial liabilities

182,187 90,738 0 272,925

Ratio

0.74

0.54

The below table discloses the expected interest payments for credit institutions and for provisions the dis-

counted interest on the debt to represent net present value.

DKK ´000

Less than

1 year

Between

1 and 5

years

More than

5 years

Total

Debt to credit institutions

-3,367

-8,265

-11,632

Lease liability right

-of-use assets -257 -102 0 -359

Note 2

4 – Financial risks and financial instruments (continued)

106

Annual Report 2023

Notes

Financial Statements Governance Our business The big perspective

Financing facilities

Group DKK ´000 2023 2022 Cash and bank balances 38,269 32,787 Unused credits 57,619 89,978 95,888 122,765

The Group's cash reserves consist of cash and unused credits.

Foreign exchange rate risk, interest rate risk and use of financial instruments

As a consequence of the operation, investments and financing, the Group is exposed to changes in foreign

exchange rates and interest rates. The Parent Company controls the financial risks in the Group centrally

and coordinates the cash management, including cash generation and excess liquidity. The Group follows

a finance policy approved by the Board of Directors, and operates with a low risk profile, in order to ensure

that foreign exchange rate risks and interest risks only occur in commercial situations.

Fluctuations in exchange rates have an effect on the Group's equity, results and revenue. As approx. 76%

of the revenue comes from NOK, SEK, GBP, USD, CLP, CZK, PLN and INR the Group has performed a

sensitive analysis on the relevant foreign exchange rates. The exchange rate risk for EUR is considered to

be minimal. The sensitivity effect is symmetrical in both decrease and increase situations.

Profit after tax exchange rates sensitivity

Group DKK ´000 2023 2022 Effect of 10% decrease in USD 391 459 Effect of 10% decrease in GBP -1,385 278 Effect of 10% decrease in SEK -917 -1,294 Effect of 10% decrease in NOK 1,199 -314 Effect of 10% decrease in CLP -101 -268 Effect of 10% decrease in CZK -118 -118 Effect of 10% decrease in PLN -259 -218 Effect of 10% decrease in INR -551 -602

Revenue exchange rates sensitivity

Group

DKK ´000

2023 2022

Effect of 10% decrease in USD

-9,307 -8,727

Effect of 10% decrease in GBP

-25,177 -18,879

Effect of 10% decrease in SEK

-62,655 -60,265

Effect of

10% decrease in NOK -25,458 -28,289

Effect of 10% decrease in CLP

-1,053 -1,094

Effect of 10% decrease in CZK

-104 -46

Effect of 10% decrease in PLN

0 0

Effect of 10% decrease in INR

-329 -329

Note 2

4 – Financial risks and financial instruments (continued)

107

Annual Report 2023

Notes

Financial Statements Governance Our business The big perspective

Note 24 – Financial risks and financial instruments (continued)

Interest rates

Fluctuations in interest rates have an effect on the Group's financial instruments. By the end of 2023 an in-

crease in interest rates of half a percentage point would increase the Group's interest by DKK 659k (2022:

DKK 659k). The financial liabilities included in the sensitivity analysis include long-term and short-term debt

to credit institutions.

Credit risks

The Group's credit risks primarily derive from trade receivables. Trade receivables are distributed between

many customers and geographical areas. The Group has established a provision matrix that is based on its

historical credit loss experience, adjusted for forward-looking factors specific to the debtors and the eco-

nomic environment.

The maximum credit risk on the balance sheet date equals the carrying amount.

Optimization of capital structure

The Group management continuously determines whether the capital structure is in accordance with the

interests of the Company and shareholders. The overall goal is to ensure a capital structure which supports

long-term financial growth, and at the same time maximizes the return to the Group's stakeholders through

optimization of the debt and equity balance. The Group's capital structure consists of debt, comprising fi-

nancial liabilities such as bank loans, lease liabilities, corporation tax payable, cash and equity, including

share capital, reserves for foreign exchange adjustments and profit/loss carried forward.

Breach of loan agreements

The Group has neither in the financial year 2023 nor in 2022 failed to perform or defaulted on any loan

agreements.

Parent Company

The Parent Company is not exposed in the same level as the Group to changes in foreign exchange rates

due to limited operations in other currencies than DKK.

Interest rate risk is considered to be equal to the Group’s level of risk since the Parent Company controls

the financial risks in the Group centrally and coordinates the cash management.

The Parent's credit risks are primarily deriving from trade receivables and intercompany receivables. Trade

receivables are assessed for impairment based on the ECL model, cf. note 14. The maximum credit risk on

the balance date equals the carrying amount.

Foreign exchange rate risk are primarily related to transactions in SEK, NOK, USD and GBP.

Note 25 – Changes in working capital

Group Parent Company DKK ´000 2023 2022 2023 2022 Change in receivables and contract assets -46,352 2,511 -35,241 -35,137 Change in trade payable and liabilities -6,379 -11,484 -3,070 1,747 Change in other liabilities 31,706 -52,113 40,258 -50,214 Cash flow from changes in working capital -21,025 -61,086 1,947 -83,604

*Comparative figures for parent company 2022 have been adjusted due to misstatement in change in re-

ceivables and contract assets, and change in other liabilities. Change in receivables and contract assets

has been adjusted from DKK -79,358k to DKK -35,137k. Change in other liabilities has been adjusted from

DKK 54,537k to DKK -50,214k. The correction has further impacted statement of cash flow and Note 26 –

Cash flow from financing activities.

108

Annual Report 2023

Notes

Financial Statements Governance Our business The big perspective

The table below specifies changes in liabilities arising from financing activities, including both cash and

non-cash changes.

Liabilities arising from financing activities are those for which cash flows were, or future cash flow will be,

classified in the cash flow statement as cash flow from financing activities.

Lease liability right-of-use Long term Overdraft DKK ´000assets borrowings facilities Total Group 2023Balance at 1 January 67,722 76,000 52,335 196,057 Cash flow from operations -27,201 0 -12,533 -39,734 Additions related to acquisitions 0 40,000 -3,449 36,551 Cash changes -27,201 40,000 -15,982 -3,183 New leases 12,045 0 0 12,045 Changes to existing leases 34,893 0 0 34,893 Reclassification 0 0 -56 -56 Foreign exchange movements -2,743 0 0 -2,743 Non-cash changes 44,195 0 -56 44,139 Balance at 31 December 84,716 116,000 36,297 237,013

Lease liability right-of-use Long term Overdraft DKK ´000assets borrowings facilities Total Group 2022Balance at 1 January 64,813 75,970 19,044 159,827 Cash flows from operations -30,770 0 33,324 2,554 Cash changes -30,770 0 33,324 2,554 New leases 22,882 0 0 22,882 Changes to existing leases 18,801 0 0 18,801 Reclassification 3 30 -33 0 Foreign exchange movements -8,007 0 0 -8,007 Non-cash changes 33,679 30 -33 33,676 Balance at 31 December 67,722 76,000 52,335 196,057

Note 2

6 – Cash flow from financing activities

109

Annual Report 2023

Notes

Financial Statements Governance Our business The big perspective

DKK ´000

Lease liability

right-of-use

assets

Long term

borrowings

Overdraft

facilities

Total

Parent 2023

Balance at 1 January

12,573 76,000 75,094 163,667

Cash flows from operations

-6,316 0 -38,780 -45,096

Additions related to acquisitions

0 40,000 0 40,000

Cash changes

-6,316 40,000 -38,780 -5,096

New leases

1,524 0 0 1,524

Changes to existing leases

10,932 0 0 10,932

Reclassification

-685 0 0 -685

Non

-cash changes 11,771 0 0 11,771

Balance at 31 December

18,028 116,000 36,314 170,342

DKK ´000

Lease liability

right-of-use

assets

Long term

borrowings

Overdraft

facilities

Total

Parent 2022

Balance at 1 January

15,900 75,970 33,758 125,628

Cash flows from operations

-6,246 0 41,336 35,090

Cash

changes -6,246 0 41,336 35,090

New leases

3,296 0 0 3,296

Reclassification

0 30 0 30

Foreign exchange movements

-377 0 0 -377

Non

-cash changes 2,919 30 0 2,949

Balance at 31 December

12,573 76,000 75,094 163,667

*Comparative figures for 2022 have been adjusted due to misstatement in the cash flow from operations

related to overdraft facilities. Cash flow has been adjusted from DKK -19,194k to DKK 41,336k. The correc-

tion has further impacted statement of cash flow and Note 25 – Changes in working capital.

Note 2

6 – Cash flow from financing activities (continued)

110

Annual Report 2023

Notes

Financial Statements Governance Our business The big perspective

Group Parent Company DKK ´000 2023 2022 2023 2022 Net revenue 0 9,192 0 0 External project costs 0 -464 0 0 Gross profit 0 8,728 0 0 Staff expenses and remuneration 0 -7,768 0 0 Other external costs 0 -700 0 0 Other operating income 0 0 0 0 EBITDA 0 260 0 0 Depreciation, amortization and impairment 0 -321 0 -36,812 Operating profit (EBIT) 0 -61 0 -36,812 Financial income 0 8,826 0 0 Financial expenses 0 -3,772 0 0 Profit (loss) before tax from discontinued operations 0 4,993 0 -36,812 Corporate tax 0 -243 0 0 Profit (loss) after tax from discontinued operations 0 4,750 0 -36,812 Total gain (loss) on divestment of discontinued operations 3,127 -45,966 1,172 1,603 Profit (loss) from discontinued operations 3,127 -41,216 1,172 -35,209 Earnings per share from discontinued operations of DKK 1.25 (EPS) 0.02 -0.32 Earnings per share from discontinued operations of DKK 1.25, diluted (EPS-D) 0.02 -0.32

Discontinued operations in 2023 - Group

No new disposals have occurred in 2023. Income from discontinued operations relates to received consid-

eration from previous divestments, that had been written off.

On 16 March 2022 Columbus divested its Russian business, due to the Russian invasion of Ukraine. The

business was sold to the local management, and the business is therefore reported as discontinued opera-

tions in the profit and loss for 2022.

Gain/loss on sale of shares – Parent

The gain/loss on sale of shares in subsidiaries and impairment losses related to subsidiaries, which are

classified as discontinued operations in the consolidated financial statements, are classified as discontin-

ued operations in the parent company.

Note 2

7 – Discontinued operations and gain/loss on sale of shares in subsidiaries

111

Annual Report 2023

Notes

Financial Statements Governance Our business The big perspective

Gain (loss) on divestment of discontinued operations

Group Parent Company DKK ´000 2023 2022 2023 2022 Gain (loss) on disposal of subsidiaries 3,050 -9,534 1,200 0 Recirculation of historical currency adjustments 1,200 -34,938 0 0 Transaction costs related to disposal -1,123 -1,494 -28 1,603 Total gain (loss) on divestment of discontinued operations 3,127 -45,966 1,172 1,603

Cash flow

Group Parent Company DKK ´000 2023 2022 2023 2022 Cash flow from operating activities 0 1,065 0 0 Cash flow from investing activities 0 0 0 0 Cash flow from financing activities 0 -326 0 0 Cash flow from discontinued operations 0 739 0 0

Accounting policies

Discontinued operations comprise all revenue and expenses and gain and losses for operations either be-

ing held for sale or which have already been disposed of. Discontinued operations are reported separately

from the continued operations in the financial statements. Comparative figures are restated to segregate

the continuing and discontinuing assets, liabilities, income, expenses, and cash flows.

Note 2

7 – Discontinued operations (continued)

112

Annual Report 2023

Notes

Financial Statements Governance Our business The big perspective

Group Parent DKK ´000 2023 2022 2023 2022 Goodwill 0 8,822 0 0 Property, plant and equipment 0 204 0 0 Right-of-use assets 0 2,102 0 0 Trade receivables 0 1,762 0 0 Contract assets 0 3,731 0 0 Other receivables 0 176 0 0 Prepayments 0 1,790 0 0 Cash 0 9,274 0 0 Total assets 0 27,861 0 0

No new disposals of activities has occurred in 2023.

On 16 March 2022, the Group disposed of its 100% equity interest in its Russian subsidiaries.

The gain on disposal is included in the profit for the year from discontinued operations, note 27.

At the date of disposal, the carrying amounts of disposed subsidiaries net assets were as follows.

Receivables from divestments of activities

On 1st November 2021, our SMB business in our US entity was sold as part of the Focus23 strategy. The

business activity is consequently classified as discontinued operations in 2021. The transaction was settled

partly in cash at the transaction date (USD 8m), and partly as deferred consideration which was due in Q2

2022 (USD 8.5m) corresponding to DKK 57.322k. The buyer has still not paid the outstanding amount since

they have asserted claims related to the acquired activity. The requirement is not specified or documented

further, why a legal collecting process has been initiated to collect our receivable.

Group Parent DKK ´000 2023 2022 2023 2022 Deferred tax 0 358 0 0 Lease liability right-of-use assets 0 2,254 0 0 Contract liabilities 0 2,355 0 0 Trade payables 0 1,758 0 0 Corporate tax payables 0 5 0 0 Other payables 0 9,597 0 0 Total liabilities 0 16,327 0 0 Net assets disposed of 0 11,534 0 0 Cash and cash equivalents 3,050 2,000 1,200 0 Total consideration 3,050 2,000 1,200 0 Loss on disposal of activities 3,050 -9,534 1,200 0 Net Cash inflow arising on disposal:Consideration received in cash and cash equivalents 3,050 2,000 1,200 0 Less: cash and cash equivalents dis-posed of0 -9,274 0 0 Transaction costs related to disposal -1,123 -1,494 -28 1,603 Net cash inflow arising on disposal 1,927 -8,768 1,172 1,603

Note 2

8 – Disposal of activities

113

Annual Report 2023

Notes

Financial Statements Governance Our business The big perspective

Note 29 – Board of Directors and Executive Board

See section "The Board of Directors and Executive Board” in the Management's Review, page 51.

Note 30 – Shareholder information

See section "Shareholder information" in the Management's Review, page 55.

Note 31 – Events after the reporting period

There has been no events after the balance sheet date to be accounted for other than the following.

On 1 January 2024 Columbus confirmed the acquisition of Endless Gain Ltd. Please refer to note 21 for

more information about the business combination.

In January 2024, the Swedish city court ruled judgement and awarded damages and costs to Columbus in

the range of SEK 43-45m. This was related to a court case against the Swedish M3 consultancy company

M3CS AB and its founders, in a dispute about disloyal behaviour, breach of IP and other unlawful acts.

On 21 February 2024, M3CS AB fulfilled the judgement by payment of SEK 44.8m. The judgement against

M3CS settled the majority of a separate legal case that Columbus had against the former minority share-

holders in iStone in 2022. The combined gain to be accounted for in Q1 2024 will be around DKK 20m after

deducting the settled receivable from the former minority shareholder and related cost incurred.

Note 32 – Approval of publication of the Annual Report

On the Board meeting on 13 March 2024 the Board of Directors approved publication of the Annual Report

2023. The Annual Report 2023 will be submitted for approval by the shareholders of Columbus A/S on the

Annual General Meeting on 25 April 2024.

114

Annual Report 2023

Notes

Financial Statements Governance Our business The big perspective

Key figures and ratios

Earnings per share (EPS) and diluted earnings per share (EPS-D) are calculated in accordance with

IAS 33.

Other ratios are calculated in accordance with the Danish Finance Society “Recommendations & Financial

Ratios”. The financial ratios stated are calculated as follows:

EBITDA

-margin

Earnings before interest, tax, depreciations and

amortizations (EBITDA)

Net revenue

Operating margin

Operating profit (EBIT)

Net revenue

Return o

n equity

Result after tax and excl. minority interests

Average equity excl. minority interests

Return on invested capital

(ROIC)

EBITA

Average invested capital including goodwill

Equity ratio

Equity excl. minority interests

Total equity and liabilities

Earnings per share (EPS)

Result after tax and excl. minority interests

x f

Average number of shares

Book value per share (BVPS)

Equity excl. minority interests end of year x 100

x f

Number of shares end of year

Cash flow per share

Cash flow from operations

x f

Average number of diluted shares

Adjustment factor (f)

Theoretical rate

Listed price of stock the day before the subscription

and/or stock right cease

curring Revenue % of total revenue

Recurring revenue

Net revenue

Alternative Performance Measures

Organic Growth and Revenue

Organic Growth and Revenue represents the business excluding the impact of acquisitions, divestments

and changes in currency.

The purpose of defining Organic Growth is to show a “like-for-like” comparison with the previous year.

Constant currency growth

Growth is measured in constant currency by converting actual figures in local currency to DKK with the his-

torical exchange rate for the given currency. When measuring for a period, the average historical exchange

rate is used. Growth is measured based on the actual historical figure compared to the calculated constant

currency figure.

Recurring Revenue

Recurring Revenue includes Columbus Software maintenance, Columbus Cloud revenue, 3rd party mainte-

nance revenue, 3rd party cloud revenue, Columbus Care agreements.

Recurring revenue does not necessarily mean a binding contractual agreement. However recurring revenue

is defined as revenue with a high degree of certainty for renewal >95%.

The purpose of defining Recurring Revenue is to express a level of predictability in the revenue. The higher

degree of Recurring Revenue in pct. of total revenue – the more predictable is the Columbus revenue going

forward.

Efficiency

Efficiency is calculated as all invoiced customer hours divided by available customer hours. Available cus-

tomer hours are calculated as normal work schedule hours for all productive employees, less hours for holi-

day and parental leave.

Key figures, ratios and Alternative Performance Measures

115

Annual Report 2023

Financial Statements Governance Our business The big perspective

The Board of Directors and the Executive

Board have today considered and ap-

proved the annual report of Columbus A/S

for the financial year 01.01.2023 -

31.12.2023.

The annual report is prepared in accord-

ance with International Financial Reporting

Standards as adopted by the EU and Dan-

ish disclosure requirements for listed com-

panies. In addition, in our opinion the An-

nual Report for Columbus A/S for 1 Janu-

ary - 31 December 2023 with the file name

COLUMBUS-2023-12-31-en.zip in all ma-

terial aspects is prepared in accordance

with ESEF Regulation.

In our opinion, the consolidated financial

statements and the parent financial state-

ments 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 cash flows for the financial

year 2023.

In our opinion, the management

commentary contains a fair review of

the development of the Group's and

the Parent’s business and financial

matters, the results for the year and

of the Parent’s financial position and

the financial position as a whole of

the entities included in the consoli-

dated financial statements, together

with a description of the principal

risks and uncertainties that the

Group and the Parent face.

We recommend the annual report for

adoption at the Annual General

Meeting.

Statement by management

on the Annual Report

Ballerup, 13 March 2024

Executive Board

Søren Krogh Knudsen

CEO & President

Brian Iversen

Group CFO

Board of Directors

Ib Kunøe

Chair

Sven Madsen

Deputy Chair

Peter Skov Hansen

Karina Kirk

Ringsted

Per Ove Kogut

116

Annual Report 2023

Financial Statements Governance Our business The big perspective

Our opinion

In our opinion, the Consolidated Financial

Statements and the Parent Company Fi-

nancial Statements give a true and fair

view of the Group’s and the Parent Com-

pany’s financial position at 31 December

2023 and of the results of the Group’s and

the Parent Company’s operations and

cash flows for the financial year 1 January

to 31 December 2023 in accordance with

IFRS Accounting Standards as adopted by

the EU and further requirements in the

Danish Financial Statements Act.

Our opinion is consistent with our Auditor’s

Long-form Report to the Audit Committee

and the Board of Directors.

What we have audited

The Consolidated Financial Statements

and Parent Company Financial State-

ments of Columbus A/S for the financial

year 1 January to 31 December 2023

comprise income statement and statement

of comprehensive income, balance sheet,

statement of changes in equity, cash flow

statement and notes, including material

accounting policy information for the

Group as well as for the Parent Company.

Collectively referred to as the “Financial

Statements”.

Basis for opinion

We conducted our audit in accordance

with International Standards on Auditing

(ISAs) and the additional requirements ap-

plicable in Denmark. Our responsibilities

under those standards and requirements

are further described in the Auditor’s re-

sponsibilities for the audit of the Financial

Statements section of our report.

We believe that the audit evidence we

have obtained is sufficient and appropriate

to provide a basis for our opinion.

Independence

We are independent of the Group in ac-

cordance with the International Ethics

Standards Board for Accountants’ Interna-

tional Code of Ethics for Professional Ac-

countants (IESBA Code) and the addi-

tional ethical requirements applicable in

Denmark. We have also fulfilled our other

ethical responsibilities in accordance with

these requirements and the IESBA Code.

To the best of our knowledge and belief,

prohibited non-audit services referred to in

Article 5(1) of Regulation (EU) No

537/2014 were not provided.

Appointment

We were first appointed auditors of Colum-

bus A/S on 29 April 2022 for the financial

year 2022. We have been reappointed an-

nually by shareholder resolution for a total

period of uninterrupted engagement of 2

years including the financial year 2023.

Key audit matters

Key audit matters are those matters that,

in our professional judgement, were of

most significance in our audit of the Finan-

cial Statements for 2023. These matters

were addressed in the context of our audit

of the Financial Statements as a whole,

and in forming our opinion thereon, and

we do not provide a separate opinion on

these matters.

Independent Auditor’s Reports

To the shareholders of

Columbus A/S

117

Annual Report 2023

Financial Statements Governance Our business The big perspective

Key audit matter

How our audit addressed the key audit

matter

Valuation

of goodwill

The carrying amount of goodwill is significant

to the Consolidated Financial Statements.

Management monitors the carrying value of

goodwill based on defined CGU’s and per-

forms impairment tests annually.

Management’s assessment of the recovera-

bility of the carrying amount of goodwill is

based on value

-in-

use calculations, including

determination of the significant assumptions

and data applied.

The significant assumptions in estimating the

future cash flows in the value

-in-use calcula-

tions are revenue growth, EBIT margin, fu-

ture investments and the discount rate.

The impairments performed did not lead to

impairments

in the Consolidated Financial

Statements.

We focused on this area as the amounts in-

volved are significant and because Manage-

ment is required to exercise considerable es-

timates and judgements in estimating the

value

-in-use.

Reference is made to note 10 in the

Consoli-

dated Financial Statements.

We discussed with Management the methodol-

ogy when performing the annual impairment

assessment on the carrying amount of good-

will.

In addressing the risk, we considered the ap-

propriateness of Management defined CGUs.

We examined the methodology used by Man-

agement to assess the carrying amount of

goodwill assigned to CGUs.

We assessed the reasonableness of significant

assumptions used in the impairment tests. Fur-

ther we challenged Management’s estimate of

future cash flows and challenged whether

these were appropriate in light of the signifi-

cant assumptions being revenue gro

wth, EBIT

margin, future investments and the discount

rate.

We used our internal valuation experts to inde-

pendently calculate the discount rate and the

mathematical accuracy of the value

-in-use

models prepared by Management. In calculat-

ing the discount rate, the key inputs used were

independently sourced from marke

t data. We

compared the discount rate used by Manage-

ment to our calculated rate.

Finally, we assessed the disclosure of these

matters in the Consolidated Financial State-

ments.

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Financial Statements Governance Our business The big perspective

Statement on Management’s Review

Management is responsible for Manage-

ment’s Review.

Our opinion on the Financial Statements

does not cover Management’s Review,

and we do not express any form of assur-

ance conclusion thereon.

In connection with our audit of the Finan-

cial Statements, our responsibility is to

read Management’s Review and, in doing

so, consider whether Management’s Re-

view is materially inconsistent with the Fi-

nancial Statements or our knowledge ob-

tained in the audit, or otherwise appears to

be materially misstated.

Moreover, we considered whether Man-

agement’s Review includes the disclo-

sures required by the Danish Financial

Statements Act and Article 8 of Regulation

(EU) 2020/852 (EU Taxonomy Regula-

tion).

Based on the work we have performed, in

our view, Management’s Review is in ac-

cordance with the Consolidated Financial

Statements and the Parent Company Fi-

nancial Statements and has been pre-

pared in accordance with the requirements

of the Danish Financial Statements Act

and the disclosure requirements of Article

8 of Regulation (EU) 2020/852 (EU Taxon-

omy Regulation). We did not identify any

material misstatement in Management’s

Review.

Management’s responsibilities for the

Financial Statements

Management is responsible for the prepa-

ration of consolidated financial statements

and parent company financial statements

that give a true and fair view in accord-

ance with IFRS Accounting Standards as

adopted by the EU and further require-

ments in the Danish Financial Statements

Act, and for such internal control as Man-

agement determines is necessary to ena-

ble 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, dis-

closing, as applicable, matters related to

going concern and using the going con-

cern basis of accounting unless Manage-

ment either intends to liquidate the Group

or the Parent Company or to cease opera-

tions, or has no realistic alternative but to

do so.

Auditor’s responsibilities for the audit

of the Financial Statements

Our objectives are to obtain reasonable

assurance about whether the Financial

Statements as a whole are free from mate-

rial misstatement, whether due to fraud or

error, and to issue an auditor’s report that

includes our opinion. Reasonable assur-

ance 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 ma-

terial if, individually or in the aggregate,

they could reasonably be expected to in-

fluence the economic decisions of users

taken on the basis of these Financial

Statements.

As part of an audit in accordance with

ISAs and the additional requirements ap-

plicable in Denmark, we exercise profes-

sional judgement and maintain profes-

sional scepticism throughout the audit. We

also:

• Identify and assess the risks of material

misstatement of the Financial State-

ments, whether due to fraud or error,

design and perform audit procedures

responsive to those risks, and obtain

audit evidence that is sufficient and ap-

propriate to provide a basis for our

opinion. The risk of not detecting a ma-

terial misstatement resulting from fraud

is higher than for one resulting from er-

ror, as fraud may involve collusion, for-

gery, intentional omissions, misrepre-

sentations, or the override of internal

control.

• Obtain an understanding of internal

control relevant to the audit in order to

design audit procedures that are appro-

priate 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 ac-

counting policies used and the reason-

ableness of accounting estimates and

related disclosures made by Manage-

ment.

• Conclude on the appropriateness of

Management’s use of the going con-

cern basis of accounting and based on

the audit evidence obtained, whether a

material uncertainty exists related to

events or conditions that may cast sig-

nificant doubt on the Group’s and the

Parent Company’s ability to continue as

a going concern. If we conclude that a

material uncertainty exists, we are re-

quired to draw attention in our auditor’s

report to the related disclosures in the

Financial Statements or, if such disclo-

sures 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 or the Parent Company to

cease to continue as a going concern.

• Evaluate the overall presentation, struc-

ture and content of the Financial State-

ments, including the disclosures, and

whether the Financial Statements rep-

resent the underlying transactions and

events in a manner that gives a true

and fair view.

• Obtain sufficient appropriate audit evi-

dence regarding the financial infor-

mation of the entities or business activi-

ties within the Group to express an

opinion on the Consolidated Financial

Statements. We are responsible for the

direction, supervision and performance

of the group audit. We remain solely re-

sponsible for our audit opinion.

We communicate with those charged with

governance regarding, among other mat-

ters, the planned scope and timing of the

audit and significant audit findings,

119

Annual Report 2023

Financial Statements Governance Our business The big perspective

including any significant deficiencies in in-

ternal control that we identify during our

audit.

We also provide those charged with gov-

ernance with a statement that we have

complied with relevant ethical require-

ments regarding independence, and to

communicate with them all relationships

and other matters that may reasonably be

thought to bear on our independence and,

where applicable, actions taken to elimi-

nate threats or safeguards applied.

From the matters communicated with

those charged with governance, we deter-

mine those matters that were of most sig-

nificance in the audit of the Financial

Statements of the current period and are

therefore the key audit matters. We de-

scribe these matters in our auditor’s report

unless law or regulation precludes public

disclosure about the matter.

Report on compliance with the ESEF

Regulation

As part of our audit of the Financial State-

ments we performed procedures to ex-

press an opinion on whether the annual

report of Columbus A/S for the financial

year 1 January to 31 December 2023 with

the filename COLUMBUS-2023-12-31-

en.zip is prepared, in all material respects,

in compliance with the Commission Dele-

gated Regulation (EU) 2019/815 on the

European Single Electronic Format (ESEF

Regulation) which includes requirements

related to the preparation of the annual re-

port in XHTML format and iXBRL tagging

of the Consolidated Financial Statements

including notes.

Management is responsible for preparing

an annual report that complies with the

ESEF Regulation. This responsibility in-

cludes:

• The preparing of the annual report in

XHTML format;

• The selection and application of appro-

priate iXBRL tags, including extensions

to the ESEF taxonomy and the anchor-

ing thereof to elements in the taxon-

omy, for all financial information re-

quired to be tagged using judgement

where necessary;

• Ensuring consistency between iXBRL

tagged data and the Consolidated Fi-

nancial Statements presented in hu-

man-readable format; and

• For such internal control as Manage-

ment determines necessary to enable

the preparation of an annual report that

is compliant with the ESEF Regulation.

Our responsibility is to obtain reasonable

assurance on whether the annual report is

prepared, in all material respects, in com-

pliance with the ESEF Regulation based

on the evidence we have obtained, and to

issue a report that includes our opinion.

The nature, timing and extent of proce-

dures selected depend on the auditor’s

judgement, including the assessment of

the risks of material departures from the

requirements set out in the ESEF Regula-

tion, whether due to fraud or error. The

procedures include:

• Testing whether the annual report is

prepared in XHTML format;

• Obtaining an understanding of the com-

pany’s iXBRL tagging process and of

internal control over the tagging pro-

cess;

• Evaluating the completeness of the

iXBRL tagging of the Consolidated Fi-

nancial Statements including notes;

• Evaluating the appropriateness of the

company’s use of iXBRL elements se-

lected from the ESEF taxonomy and

the creation of extension elements

where no suitable element in the ESEF

taxonomy has been identified;

• Evaluating the use of anchoring of ex-

tension elements to elements in the

ESEF taxonomy; and

• Reconciling the iXBRL tagged data with

the audited Consolidated Financial

Statements.

In our opinion, the annual report of Colum-

bus A/S for the financial year 1 January to

31 December 2023 with the file name CO-

LUMBUS-2023-12-31-en.zip is prepared,

in all material respects, in compliance with

the ESEF Regulation.

Hellerup, 13 March 2024

PricewaterhouseCoopers

Statsautoriseret Revisionspartnerselskab

CVR No 33 77 12 31

Jacob F Christiansen

State Authorised Public Accountant

mne18628

Kristian Højgaard Carlsen

State Authorised Public Accountant

mne44112

120

Annual Report 2023

Financial Statements Governance Our business The big perspective

For more information about Columbus visit www.columbusglobal.com