XCSE:DSV ESEF Annual Report
DSV A/S (XCSE:DSV)
ESEF Annual Report
2022-07-27
For: 2022-06-30
View Original
Added on
September 23, 2026
DSV Group
Our reach is global , yet our presence is local and close to our customers. More than 75,000 employees in more than 90 countries work passionately to deliver great
customer experiences and high-quality services. Read more at www.dsv.com
Page 1 of 21
INTERIM FINANCIAL REPORT
H1 2022
Company Announcement No. 972
26 July 2022
Selected key figures and ratios for the period 1 January – 30 June 2022
Q2 2022
Q2 2021
YTD 2022
YTD 2021
Key figures (DKKm)
Revenue
62,749
37,831
123,874
71,447
Gross profit
14,078
8,333
26,955
16,118
Operating profit (EBIT) before special items
7,453
3,571
13,949
6,638
Special items, costs
257
-
661
-
Profit for the period
5,070
2,527
9,456
4,856
Adjusted earnings for the period
5,333
2,580
10,080
4,970
Adjusted free cash flow
10,688
2,817
Ratios
Conversion ratio
52.9%
42.9%
51.7%
41.2%
Diluted adjusted earnings per share of DKK 1 for the last 12 months
71.8
37.1
Jens Bjørn Andersen, Group CEO: “In Q2 2022, we continued to deliver strong results across all business areas. For the first six months of
the year, EBIT before special items doubled and free cash flow more than tripled compared to the same period last year. We have now
completed most of the GIL integration, and we can look back on a swift and successful integration, thanks to a solid effort across our
organisation.
The uncertainty in the global economy has intensified and the demand for freight services has softened in recent months. Still, large parts
of global supply chains are challenged by congestion, and our focus remains on assisting and finding the right solutions for our customers.”
Outlook for 2022
Based on DSV’s strong performance in H1 2022 and our expectations for the remainder of the year, we upgrade the full-year outlook for
2022 as follows:
• EBIT before special items is expected to be in the range of DKK 23,000-25,000 million (previously DKK 21,000-23,000 million).
The outlook is based on the assumption of a global GDP growth in the level of 2-3% for 2022. We expect that the demand for air and sea
freight transport will remain soft for the rest of the year. Uncertainty concerning the macro environment and the global logistics market
remains high and changes to the outlook may occur.
Share buyback
A separate company announcement about the launch of a new share buyback programme of up to DKK 7 billion will be issued 26 July
2022. The programme will be concluded no later than 24 October 2022.
Contacts
Investor Relations: Flemming Ole Nielsen, tel. +45 43 20 33 92, flemming.o.nielsen@dsv.com
Media: Maiken Riise Andersen, tel. +45 43 20 30 74, maiken.r.andersen@dsv.com
Yours sincerely,
Page 2 of 21 INTERIM FINANCIAL REPORT – COMPANY ANNOUNCEMENT NO. 972 – 26 July 2022
Financial highlights
Q2 2022
Q2 2021
YTD 2022
YTD 2021
Results (DKKm)
Revenue
62,749
37,831
123,874
71,447
Gross profit
14,078
8,333
26,955
16,118
Operating profit before amortisation and depreciation (EBITDA) before special
items
8,701
4,545
16,377
8,561
Operating profit (EBIT) before special items
7,453
3,571
13,949
6,638
Special items, costs
257
-
661
-
Net financial expenses
516
253
845
274
Profit for the period
5,070
2,527
9,456
4,856
Adjusted earnings for the period
5,333
2,580
10,080
4,970
Cash flows (DKKm)
Operating activities
12,335
4,491
Investing activities
(341)
(711)
Free cash flow
11,994
3,780
Adjusted free cash flow
10,688
2,817
Share buyback
(8,316)
(8,603)
Dividends distributed
(1,320)
(920)
Cash flow for the period
2,163
(1,912)
Financial position (DKKm)
DSV A/S shareholders’ share of equity
78,473
45,029
Balance sheet total
171,490
102,147
Net working capital
8,846
5,144
Net interest-bearing debt
27,868
23,934
Invested capital
105,596
67,690
Gross investment in property, plant and equipment
347
407
Financial ratios (%)*
Gross margin
22.4
22.0
21.8
22.6
Operating margin
11.9
9.4
11.3
9.3
Conversion ratio
52.9
42.9
51.7
41.2
Effective tax rate
24.1
23.8
24.0
23.7
ROIC before tax
27.2
17.8
Return on equity (ROE)
25.5
16.0
Solvency ratio
45.8
44.1
Gearing ratio
1.0
1.5
Share ratios*
Earnings per share of DKK 1 for the last 12 months
67.9
32.8
Diluted adjusted earnings per share of DKK 1 for the last 12 months
71.8
37.1
Number of shares issued (’000)
234,000
224,000
Number of treasury shares (’000)
6,327
3,451
Average number of shares issued (’000) for the last 12 months
232,048
225,035
Average diluted number of shares (’000) for the last 12 months
236,147
229,596
Share price end of period (DKK)
991.2
1,462.5
Non-Financials
Number of full-time employees at 30 June
* For a definition of key figures and ratios, please refer to page 85 of the DSV Annual Report 2021.
Page 3 of 21 INTERIM FINANCIAL REPORT – COMPANY ANNOUNCEMENT NO. 972 – 26 July 2022
Management’s commentary
The Group delivered strong results in H1 2022 achieving 61% growth in gross profit and doubling EBIT
before special items compared to H1 2021. Adjusted free cash flow developed even stronger and more
than tripled compared to H1 2021.
The global logistics markets are still characterised by congestion and high rates, and the growth was
driven by strong performance and high productivity across all divisions. The growth was further boosted
by the successful integration of GIL’s activities.
Integration of Agility’s Global Integrated
Logistics business
Agility’s Global Integrated Logistics business (GIL) has been
included in the consolidated financial statements of DSV since
August 2021 when the acquisition was closed. Consequently,
the business combination was not included in the comparable
figures for H1 2021.
The integration is now close to complete, and we expect to
finalise the last tasks in Q3 2022. GIL is expected to contribute
at least DKK 3,000 million to the combined EBIT before special
items on an annual basis. Around 85% of the EBIT contribution
is expected to impact the income statement in 2022, and we
expect full-year impact in 2023.
The EBIT impact includes synergies from the consolidation of
operations, logistics facilities, back-office functions and IT
infrastructure.
Integration costs of up to DKK 1,000 million are expected in
2022. These costs will be charged to the income statement
under special items.
Ukraine and Russia
As part of our global network, DSV has had operations in
Ukraine, Russia and Belarus for several years. The combined
revenue in the three countries represented less than 1% of the
Group’s revenue in 2021, and the Group has no material
investments in the countries.
After the immediate shutdown in February due to the war, our
Ukrainian operations have now resumed their activities to the
extent possible.
As described in the Q1 2022 report, DSV has decided to exit
Russia and Belarus, and all activities in the two countries have
now been divested or closed down.
Results for the period
Revenue
For the first six months of 2022, revenue amounted to DKK
123,874 million, compared to DKK 71,447 million last year. In
constant currencies and including the impact from GIL, growth
for the six-month period was 67.6%.
Revenue and growth by division compared to same period last
year is specified below:
(DKKm)
Q2 2022
Growth*
YTD
2022
Growth*
Air & Sea
47,282
72.5%
93,169
82.5%
Road
10,835
23.9%
21,023
24.9%
Solutions
6,182
49.3%
12,344
57.4%
Group and
eliminations
(1,550)
(2,662)
Total
62,749
58.9%
123,874
67.6%
* Growth including M&A and in constant currencies
The revenue growth in Air & Sea was driven by higher freight
rates compared to the same period last year and the inclusion of
GIL. Impacted by the uncertainty in global economy, consumer
demand has gradually softened during the first six months of
2022, and we estimate that market growth for both air and sea
freight was negative in H1 2022. Still, global supply chains
continued to be impacted by congestion in North America and in
Europe, and the COVID-19 lockdowns in China during Q2 2022
have caused further disruptions.
Road and Solutions also achieved strong growth in revenue in
H1 2022, driven by higher rates, fuel prices and market share
gains in both divisions. GIL also contributed to the growth in
both divisions – especially in Solutions with GIL’s strong
footprint in the Middle East and APAC regions. Signs of
softening demand have also been visible for Road and
Solutions, mainly for business-to-consumer and e-commerce
related activities. After an extraordinary high activity level during
2021, consumption is now shifting away from material goods
and towards services.
Revenue by division, H1 2022
Page 4 of 21 INTERIM FINANCIAL REPORT – COMPANY ANNOUNCEMENT NO. 972 – 26 July 2022
Gross profit
For the first six months of 2022, gross profit amounted to DKK
26,955 million, compared to DKK 16,118 million last year. In
constant currencies and including M&A, growth in gross profit
was 61.1%.
Gross profit and growth by division compared to same period
last year is specified below:
(DKKm)
Q2 2022
Growth*
YTD
2022
Growth*
Air & Sea
9,575
75.3%
18,212
74.5%
Road
2,074
16.6%
4,012
16.6%
Solutions
2,324
62.9%
4,646
65.3%
Group and
eliminations
105
85
Total
14,078
61.5%
26,955
61.1%
* Growth including M&A and in constant currencies
The growth in Air & Sea was driven by the addition of GIL and
higher gross profit yields for both air and sea freight. Yields
continue to be positively impacted by the extraordinary market
conditions characterised by disruption, tight capacity and high
freight rates.
In Road and Solutions, the increase in gross profit was mainly
driven by growth in activity and the addition of GIL compared to
2021.
All regions achieved growth in gross profit, strongest in APAC
and Americas. Furthermore, the Middle East was significantly
strengthened by the addition of GIL’s network in this region.
Gross profit by division, H1 2022
The gross margin was 21.8% for H1 2022, compared to 22.6%
for the same period last year. The decline – which was mainly in
Q1 2022 – was related to both Air & Sea and Road, where
higher freight rates and oil prices caused an increase in the cost
for transport services and thus a higher pass-through revenue.
EBIT before special items
EBIT before special items amounted to DKK 13,949 million for
the first six months of 2022, compared to DKK 6,638 million last
year. In constant currencies, the increase in EBIT before special
items was 100.3%.
EBIT and growth by division compared to same period last year
is specified below:
(DKKm)
Q2 2022
Growth*
YTD
2022
Growth*
Air & Sea
6,163
102.7%
11,387
105.3%
Road
566
18.2%
1,064
20.4%
Solutions
753
163.3%
1,542
178.8%
Group and
eliminations
(29)
(44)
Total
7,453
97.2%
13,949
100.3%
* Growth including M&A and in constant currencies
The increase in EBIT was driven by the strong growth in gross
profit in all divisions and across all geographical regions
combined with the addition of GIL.
The conversion ratio for the Group reached a record level of
51.7% for H1 2022, compared to 41.2% for the same period last
year. All divisions improved their conversion ratios even though
cost inflation is putting pressure on the cost base. In a
challenging market and while managing the integration of GIL,
our teams have successfully continued to optimise workflows,
drive up productivity and leverage on our network and systems.
The Solutions division achieved the highest EBIT growth for the
period, and besides the inclusion of the GIL operations, the
division continues to benefit from consolidation of warehouses
and IT infrastructure and high utilisation of capacity.
EBIT by division, H1 2022
11,387
81%
1,064
8%
1,542
11%
Air & Sea
Road
Solutions
Ex. Group and
elimination
Page 5 of 21 INTERIM FINANCIAL REPORT – COMPANY ANNOUNCEMENT NO. 972 – 26 July 2022
Growth 2021 - 2022
Change
(DKKm)
Q2 2021
Currency
translation
Growth
Growth %*
Q2 2022
Revenue
37,831
1,660
23,258
58.9%
62,749
Gross profit
8,333
382
5,363
61.5%
14,078
EBIT before special items
3,571
208
3,674
97.2%
7,453
Gross margin (%)
22.0
22.4
Operating margin (%)
9.4
11.9
Conversion ratio (%)
42.9
52.9
Change
(DKKm)
YTD 2021
Currency
translation
Growth
Growth %*
YTD 2022
Revenue
71,447
2,485
49,942
67.6%
123,874
Gross profit
16,118
611
10,226
61.1%
26,955
EBIT before special items
6,638
326
6,985
100.3%
13,949
Gross margin (%)
22.6
21.8
Operating margin (%)
9.3
11.3
Conversion ratio (%)
41.2
51.7
* Growth including M&A and in constant currencies
Special items
Integration costs related to GIL amounted to DKK 661 million for
H1 2022 (H1 2021: DKK 0 million).
Financial items
Financial items totalled a net expense of DKK 845 million for H1
2022, compared to a net expense of DKK 274 million for the
same period last year. The increase was driven by the inclusion
of GIL and higher net interest-bearing debt compared to the
same period last year.
Foreign exchange adjustments amounted to an expense of DKK
293 million (H1 2021: income of DKK 82 million) and were
primarily related to intercompany loans between DSV entities in
different countries and had no cash impact. The legal integration
and restructuring of GIL have led to a temporary increase in
intra-group currency exposure.
(DKKm)
YTD 2022
YTD 2021
Interest on lease liabilities
337
227
Other interest cost, net
205
122
Interest on pensions
10
7
Foreign exchange adjustments
293
(82)
Financial expenses
845
274
Tax on profit for the period
The effective tax rate came to 24.0% for H1 2022, compared to
23.7% for the same period last year. The increase in effective
tax rate for the Group is impacted by the inclusion of GIL, which
increases the Group’s presence in countries with higher tax
rates. Additionally, the effective tax rate is impacted by higher
withholding taxes on dividends.
Profit for the period
Profit for the first six months of 2022 was DKK 9,456 million,
compared to DKK 4,856 million for the same period of 2021.
Diluted adjusted earnings per share
The rolling 12-month figure increased by 94% compared to last
year and came to DKK 71.8 per share (2021: DKK 37.1 per
share).
Cash flow
CASH FLOW STATEMENT – Summary
(DKKm)
YTD 2022
YTD 2021
Cash flow from operating activities
12,335
4,491
Cash flow from investing activities
(341)
(711)
Free cash flow
11,994
3,780
Cash flow from financing activities
(9,831)
(5,692)
Cash flow for the period
2,163
(1,912)
Free cash flow
11,994
3,780
Special items
508
325
Net acquisition of subsidiaries and
activities
-
193
Repayment of lease liabilities
(1,814)
(1,481)
Adjusted free cash flow
10,688
2,817
Adjusted free cash flow has increased by 279% compared to
last year, primarily driven by the significant growth in cash flow
from operating activities. The increase in cash flow from
operating activities was mainly driven by the significant growth in
Page 6 of 21 INTERIM FINANCIAL REPORT – COMPANY ANNOUNCEMENT NO. 972 – 26 July 2022
EBITDA. This was partly offset by higher tax payments for the
period.
Cash flow from financing activities are primarily related to share
buyback programmes, payment of dividends, and repayment
and proceeds from borrowings and lease liabilities.
Net working capital
On 30 June 2022, the Group’s net working capital was DKK
8,846 million, compared to DKK 5,144 million on 30 June 2021.
Relative to full-year revenue, funds tied up in NWC were 3.6%
on 30 June 2022 (30 June 2021: 3.9%).
The main increase in NWC is seen in the Air & Sea division and
follows the operational performance, as this division is impacted
by the significant growth in revenue from the inclusion of GIL
and generally higher freight rates compared to same period last
year. There has been no increase in the level of overdue
receivables.
Capital structure and finances
DSV A/S shareholders’ share of equity
DSV shareholders’ share of equity was DKK 78,473 million on
30 June 2022 (DKK 74,103 million on 31 December 2021).
On 30 June 2022, the Company’s portfolio of treasury shares
was 6,326,856 shares. On 25 July 2022, the portfolio of treasury
shares was 7.221.033 shares.
The solvency ratio excluding non-controlling interests was
45.8% on 30 June 2022 (30 June 2021: 44.1%).
DEVELOPMENT IN EQUITY – Summary
(DKKm)
YTD 2022
YTD 2021
Equity at 1 January
74,103
47,385
Profit for the period (attributable to DSV
shareholders)
9,410
4,854
Currency translation, foreign enterprises
4,115
864
Allocated to shareholders
(9,636)
(9,523)
Sale of treasury shares
314
649
Other equity movements
167
800
Equity end of period
78,473
45,029
Net interest-bearing debt
Net interest-bearing debt amounted to DKK 27,868 million on 30
June 2022, compared to DKK 23,934 million on 30 June 2021.
The development in net interest-bearing debt is primarily due to
inclusion of GIL, capital allocation to shareholders and increase
in net working capital and offset by strong operational results.
The financial gearing ratio (NIBD/EBITDA) was 1.0x on 30 June
2022, compared to 1.5x last year. We maintain the financial
gearing ratio target of below 2.0x NIBD/EBITDA, and a new
share buyback programme of DKK 7,000 million is initiated on
26 July 2022. Reference is made to company announcement
number 973.
The weighted average duration of the Company’s long-term
bonds and drawn credit facilities was 8.8 years on 30 June
2022.
Invested capital and ROIC
The invested capital including goodwill and customer
relationships amounted to DKK 105,596 million on 30 June
2022, compared to DKK 67,690 million on 30 June 2021. The
increase was mainly due to the GIL acquisition.
Driven by the strong growth in earnings, return on invested
capital including goodwill and customer relationships was 27.2%
for the rolling 12-month period ended 30 June 2022, compared
to 17.8% for the same period last year. Excluding goodwill and
customer relationships, return on invested capital was 103.3%
for the rolling 12-month period ended 30 June 2022, compared
to 66.9% for the same period last year.
Outlook
Based on DSV’s strong performance in H1 2022 and our
expectations for the remainder of the year, we upgrade the full-
year outlook for 2022 as follows:
• EBIT before special items is expected to be in the
range of DKK 23,000-25,000 million (previously DKK
21,000-23,000 million).
• The effective tax rate is expected to approximate 23%
(unchanged).
The outlook is based on the assumption of a global GDP growth
in the level of 2-3% for 2022. We expect that the demand for air
and sea freight transport will remain soft for the rest of the year,
due to lower consumer demand. Furthermore, we expect that a
gradual easing of supply chain constraints during H2 2022 will
lead to a decline in gross profit yields for air and sea.
We expect EBIT impact from GIL of at least DKK 2,550 million
and integration costs of up to DKK 1,000 million in 2022.
We assume that the currency exchange rates, especially the US
dollar against DKK, will remain at the current level.
Uncertainty concerning the macro environment and the global
logistics market remains high and changes to the outlook may
occur.
Page 7 of 21 INTERIM FINANCIAL REPORT – COMPANY ANNOUNCEMENT NO. 972 – 26 July 2022
DSV Air & Sea
The Air & Sea division operates a global network specialising in transportation of cargo by air and sea.
The division offers both conventional freight forwarding services and tailored project cargo solutions.
The division achieved a 74.5% increase in gross profit and 105.3% increase in EBIT before special items
for the first six months of 2022. The increase in earnings was driven by the inclusion of GIL, strong gross
profit yields in challenging freight markets and a continued focus on operational excellence.
INCOME STATEMENT
(DKKm)
Q2 2022
Q2 2021
YTD 2022
YTD 2021
Divisional revenue
47,282
25,948
93,169
48,872
Direct costs
37,707
20,806
74,957
38,942
Gross profit
9,575
5,142
18,212
9,930
Other external expenses
1,028
663
2,104
1,416
Staff costs
2,082
1,435
4,115
2,880
EBITDA before special items
6,465
3,044
11,993
5,634
Amortisation and depreciation
302
201
606
398
EBIT before special items
6,163
2,843
11,387
5,236
KEY FIGURES AND RATIOS
Q2 2022
Q2 2021
YTD 2022
YTD 2021
Gross margin (%)
20.3
19.8
19.5
20.3
Operating margin (%)
13.0
11.0
12.2
10.7
Conversion ratio (%)
64.4
55.3
62.5
52.7
Number of full-time employees
23,292
18,067
Total invested capital (DKKm)
74,497
46,431
Net working capital (DKKm)
10,067
5,582
ROIC before tax (%)
31.3
19.7
Market development
Freight volume growth
DSV
Q2 2022
Market
Q2 2022
DSV
YTD
2022
Market
YTD
2022
Air freight – Tonnes
15%
(7-10%)
19%
(3-6%)
Sea freight – TEUs
20%
(2-5%)
18%
(3-6%)
DSV’s growth includes impact from M&A. Market growth rates are based
on DSV estimates.
During H1 2022, the global demand softened, impacted by
macro-uncertainty, lower consumer confidence and a gradual
normalisation of consumer behaviour after COVID-19.
Still, disruptions in the global freight markets continue to impact
available capacity, rates and schedule reliability. During Q2
2022, the COVID-19 lockdowns in China have created further
supply chain challenges.
DSV achieved 19% volume growth in air freight in H1 2022.
Adjusted for the addition of GIL, we estimate that DSV volumes
declined approximately 1%, which was better than the general
air market.
The sea freight market remains impacted by port congestion and
inefficiencies across the supply chains. The situation has
improved in the US but worsened in Europe, and a total of 10-
12% of global capacity remains tied up in congestion.
DSV achieved 18% volume growth in sea freight in H1 2022.
Adjusted for the addition of GIL, DSV’s volume development
was down by approximately 6%. This was in line with estimated
market growth.
Page 8 of 21 INTERIM FINANCIAL REPORT – COMPANY ANNOUNCEMENT NO. 972 – 26 July 2022
DSV’s volume performance in H1 2022 was impacted by the
integration of GIL and discontinued low-margin business as part
of the integration.
Divisional revenue
The division’s revenue amounted to DKK 93,169 million for the
first six months of 2022, compared to DKK 48,872 million for the
same period last year. Growth for the period was 82.5%.
For Q2 2022, revenue amounted to DKK 47,282 million,
compared to DKK 25,948 million for the same period last year.
Growth for the quarter was 72.5%.
Besides the addition of GIL, the growth in revenue was driven by
significantly higher freight rates for both air and sea compared to
the same period last year. The higher freight rates have more
than offset the organic decline in transported volumes.
The revenue growth was driven by all regions and was highest
in APAC and Americas.
Gross profit
For the first six months of 2022, gross profit amounted to DKK
18,212 million, compared to DKK 9,930 million for the same
period last year. Growth for the period was 74.5%.
For Q2 2022, gross profit amounted to DKK 9,575 million,
compared to DKK 5,142 for the same period last year. Growth
for the quarter was 75.3%.
The increase in the first six months of 2022 was driven by the
addition of GIL and significantly higher yields per unit for both air
and sea freight compared to the same period last year.
The market conditions with tight capacity, congestion and
disruption on the global logistics markets have had a positive
impact on gross profit per TEU (sea freight) and per tonne (air
freight). Our skilled forwarders, scale benefits and strong carrier
relationships enable us to navigate in this complex market and
offer transport solutions for our customers despite imbalances in
the market. At the same time, the disruption impacts our
productivity, as our freight forwarders spend longer time per
shipment to deliver the optimal solutions for our customers.
The division’s gross margin was 19.5% for the first six months of
2022, compared to 20.3% last year. Higher freight rates for both
air and sea freight have caused significant increases in the
division’s direct cost for freight services. The cost inflation leads
to a higher pass-through revenue and thus a lower gross
margin. This development was most significant during Q1 2022.
EBIT before special items
EBIT before special items came to DKK 11,387 million for the
first six months of 2022, compared to DKK 5,236 million for the
same period last year. Growth for the period was 105.3%.
For Q2 2022, EBIT before special items amounted to DKK 6,163
million, compared to DKK 2,843 million for the same period last
year. Growth for the quarter was 102.7%.
The significant increase in EBIT before special items was driven
by the inclusion of GIL and general growth in gross profit and
was further supported by the continued focus on productivity,
optimisation and cost management (operational excellence).
The conversion ratio was 62.5% for H1 2022, compared to
52.7% for the same period last year.
All regions contributed to the strong growth in earnings in the
period.
The number of full-time employees increased by 28.9%
compared to last year. The increase was mainly related to the
acquisition of GIL.
Net working capital
The Air & Sea division’s net working capital came to DKK
10,067 million on 30 June 2022, compared to DKK 5,582 million
on 30 June 2021. The higher level is caused by the increase in
operational performance and the significant increase in revenue
driven by higher freight rates and the inclusion of GIL.
Growth Air & Sea 2021 - 2022
Change
(DKKm)
Q2 2021
Currency
translation
Growth
Growth %*
Q2 2022
Divisional revenue
25,948
1,455
19,879
72.5%
47,282
Gross profit
5,142
320
4,113
75.3%
9,575
EBIT before special items
2,843
198
3,122
102.7%
6,163
Change
(DKKm)
YTD 2021
Currency
translation
Growth
Growth %*
YTD 2022
Divisional revenue
48,872
2,173
42,124
82.5%
93,169
Gross profit
9,930
507
7,775
74.5%
18,212
EBIT before special items
5,236
311
5,840
105.3%
11,387
* Growth including M&A and in constant currencies
Page 9 of 21 INTERIM FINANCIAL REPORT – COMPANY ANNOUNCEMENT NO. 972 – 26 July 2022
AIR AND SEA SPLIT
Sea freight
Air freight
(DKKm)
Q2 2022
Q2 2021
YTD 2022
YTD 2021
Q2 2022
Q2 2021
YTD 2022
YTD 2021
Divisional revenue
22,250
11,751
43,930
21,700
25,032
14,197
49,239
27,172
Direct costs
17,727
9,506
35,465
17,429
19,980
11,300
39,492
21,513
Gross profit
4,523
2,245
8,465
4,271
5,052
2,897
9,747
5,659
Gross margin (%)
20.3
19.1
19.3
19.7
20.2
20.4
19.8
20.8
Volume (TEUs/Tonnes)
690,621
573,385
1,358,274
1,154,404
402,594
349,210
813,505
685,517
Gross profit per unit (DKK)
6,549
3,915
6,232
3,700
12,549
8,296
11,981
8,255
Page 10 of 21 INTERIM FINANCIAL REPORT – COMPANY ANNOUNCEMENT NO. 972 – 26 July 2022
DSV Road
The Road division is among the market leaders in Europe and furthermore has operations in North
America, South Africa and in the Middle East. The division operates more than 23,000 trucks and offers
full load, part load and groupage services through a network of more than 250 terminals.
For the first six months of 2022, the Road division achieved 16.6% growth in gross profit and a 20.4%
increase in EBIT before special items. The increase in earnings was driven by market share gains, the
addition of GIL and strong operational performance in a market with high cost inflation.
INCOME STATEMENT
(DKKm)
Q2 2022
Q2 2021
YTD 2022
YTD 2021
Divisional revenue
10,835
8,663
21,023
16,719
Direct costs
8,761
6,895
17,011
13,294
Gross profit
2,074
1,768
4,012
3,425
Other external expenses
373
272
714
530
Staff costs
904
779
1,775
1,521
EBITDA before special items
797
717
1,523
1,374
Amortisation and depreciation
231
241
459
495
EBIT before special items
566
476
1,064
879
KEY FIGURES AND RATIOS
Q2 2022
Q2 2021
YTD 2022
YTD 2021
Gross margin (%)
19.1
20.4
19.1
20.5
Operating margin (%)
5.2
5.5
5.1
5.3
Conversion ratio (%)
27.3
26.9
26.5
25.7
Number of full-time employees
16,484
15,503
Total invested capital (DKKm)
10,923
9,407
Net working capital (DKKm)
(1,032)
(813)
ROIC before tax (%)
20.1
18.7
Market development
We estimate that the market grew by low single digits in the first
six months of 2022 compared to the same period last year. The
growth was lowest during Q2 2022, and within business-to-
consumer deliveries (including e-commerce) volumes were
down compared to the same period last year.
European haulage capacity is currently impacted by several
factors. The EU Mobility Package came into effect at the
beginning of the year, and several Ukrainian truck drivers have
returned to their home country. This has led to tighter capacity
and increasing road freight rates across most regions. Higher
fuel costs also contributed to increasing freight rates (diesel
surcharge) during H1 2022.
Based on the strong market position and an effective
procurement setup, DSV Road continues to be able to secure
necessary capacity, and we estimate that the Road division has
taken market share across most markets during H1 2022.
Divisional revenue
The division’s revenue amounted to DKK 21,023 million for the
first six months of 2022, compared to DKK 16,719 million for the
same period last year. Growth for the period was 24.9%.
For Q2 2022, revenue amounted to DKK 10,835 million,
compared to DKK 8,663 million for the same period last year.
Growth for the quarter was 23.9%.
The growth in revenue during H1 2022 was driven by higher
freight rates, diesel surcharge and higher activity levels, mainly
for international and business-to-business shipments.
All regions contributed to the growth in the quarter, with North
America achieving the highest organic growth.
The addition of GIL’s road activities in the Middle East and in a
few European countries also contributed to the growth.
Page 11 of 21 INTERIM FINANCIAL REPORT – COMPANY ANNOUNCEMENT NO. 972 – 26 July 2022
Gross profit
For the first six months of 2022, gross profit totalled DKK 4,012
million, compared to DKK 3,425 million for the same period last
year.
For Q2 2022, gross profit amounted to DKK 2,074 million,
compared to DKK 1,768 million for the same period last year.
Growth for H1 2022 as well as Q2 2022 was 16.6%. The growth
was driven by higher activity levels and the addition of GIL.
The division’s gross margin was 19.1% for H1 2022, compared
to 20.5% for H1 2021. Capacity shortages, higher diesel prices
and general cost inflation – partly due to the EU Mobility
Package – has led to higher direct freight cost for the division.
The pass-through element of the cost inflation has a negative
impact on the gross margin.
EBIT before special items
EBIT before special items was DKK 1,064 million for the first six
months of 2022, compared to DKK 879 million for the same
period last year. This corresponds to an increase for the period
of 20.4%.
For Q2 2022, EBIT before special items amounted to DKK 566
million, compared to DKK 476 million for the same period last
year. Growth for the quarter was 18.2%.
The increase in EBIT before special items for H1 2022 was
driven by the increase in gross profit and an improved
conversion ratio, which came to 26.5% for H1 2022 compared to
25.7% for the same period last year.
The increase in earnings was driven by strong performance
across all regions – with the highest growth rate in North
America. In an environment with high pressure on the cost base,
the division has maintained its focus on productivity and cost
management.
The number of full-time employees increased by 6.3%
compared to June 2021. The increase was mainly due to
generally higher activity and the acquisition of GIL.
Net working capital
The Road division’s net working capital was a negative DKK
1,032 million on 30 June 2022, compared to a negative DKK
813 million on 30 June 2021.
Growth 2021 - 2022
Change
(DKKm)
Q2 2021
Currency
translation
Growth
Growth %*
Q2 2022
Divisional revenue
8,663
80
2,092
23.9%
10,835
Gross profit
1,768
10
296
16.6%
2,074
EBIT before special items
476
3
87
18.2%
566
Change
(DKKm)
YTD 2021
Currency
translation
Growth
Growth %*
YTD 2022
Divisional revenue
16,719
113
4,191
24.9%
21,023
Gross profit
3,425
17
570
16.6%
4,012
EBIT before special items
879
5
180
20.4%
1,064
* Growth including M&A and in constant currencies
Page 12 of 21 INTERIM FINANCIAL REPORT – COMPANY ANNOUNCEMENT NO. 972 – 26 July 2022
DSV Solutions
The Solutions division offers warehousing and logistics services globally and controls more than 500
logistics facilities. The service portfolio includes freight management, customs clearance, order
management and e-commerce solutions.
For the first six months of 2022, the Solutions division achieved a 65.3% increase in gross profit, which
was converted into a 178.8% increase in EBIT before special items.
INCOME STATEMENT
(DKKm)
Q2 2022
Q2 2021
YTD 2022
YTD 2021
Divisional revenue
6,182
3,997
12,344
7,606
Direct costs
3,858
2,620
7,698
4,881
Gross profit
2,324
1,377
4,646
2,725
Other external expenses
405
297
828
578
Staff costs
552
377
1,077
754
EBITDA before special items
1,367
703
2,741
1,393
Amortisation and depreciation
614
425
1,199
852
EBIT before special items
753
278
1,542
541
KEY FIGURES AND RATIOS
Q2 2022
Q2 2021
YTD 2022
YTD 2021
Gross margin (%)
37.6
34.5
37.6
35.8
Operating margin (%)
12.2
7.0
12.5
7.1
Conversion ratio (%)
32.4
20.2
33.2
19.9
Number of full-time employees
31,730
22,814
Total invested capital (DKKm)
22,585
11,969
Net working capital (DKKm)
1,448
1,145
ROIC before tax (%)
16.1
11.1
Market development
It is our estimate that the contract logistics market grew by mid-
to-high single digits in the first six months of 2022 compared to
the same period last year. The continued growth in demand for
warehousing space, general cost inflation and higher interest
rates lead to increasing prices for warehouse capacity across
most geographies.
We estimate that DSV Solutions has taken market share in all
major markets in H1 2022.
Divisional revenue
The division’s revenue was DKK 12,344 million for the first six
months of 2022, compared to DKK 7,606 million for the same
period of 2021. Growth for the period was 57.4%.
For Q2 2022, revenue amounted to DKK 6,182 million,
compared to DKK 3,997 million for the same period last year.
Growth for the quarter was 49.3%.
Activity levels remain high across most regions and across
several industries. GIL’s contract logistics operations in the
Middle East and South-East Asia were a strong contributor to
the growth.
Global demand for modern warehouse capacity is high, and the
division systematically develops new warehouse capacity in key
strategic locations. The new warehouses are partly replacing
existing facilities, but are also adding new high-efficiency and
highly automated capacity and are therefore a key driver for
organic growth.
Gross profit
For the first six months of 2022, gross profit was DKK 4,646
million, compared to DKK 2,725 million for the same period of
2021 – an increase of 65.3% for the period, driven by the strong
revenue growth.
Page 13 of 21 INTERIM FINANCIAL REPORT – COMPANY ANNOUNCEMENT NO. 972 – 26 July 2022
For Q2 2022, gross profit amounted to DKK 2,324 million,
compared to DKK 1,377 million for the same period last year.
Growth for the quarter was 62.9%.
The division’s gross margin was 37.6% for H1 2022, compared
to 35.8% for the same period last year. Cost inflation is high in
most regions, but, so far, it has been possible to pass on the
higher costs or to compensate by increasing productivity and
capacity utilisation. The division operates with record-high
warehouse utilisation.
EBIT before special items
EBIT before special items was DKK 1,542 million for the first six
months of 2022, compared to DKK 541 million for the same
period of 2021, corresponding to an increase of 178.8%.
For Q2 2022, EBIT before special items amounted to DKK 753
million, compared to DKK 278 million for the same period last
year. Growth for the quarter was 163.3%.
The increase in EBIT before special items was driven by the
addition of GIL, especially in the Middle East, and strong organic
growth in all regions.
The conversion ratio was 33.2% for H1 2022, compared to
19.9% for the same period last year, and the division maintains
its focus on increased productivity and cost optimisation.
The ongoing consolidation of warehouse capacity into larger,
more flexible, multi-customer warehouses has a clear positive
impact on both gross margin and conversion ratio. The new
warehouses can be equipped and automated to match the
needs of different customers, and with several customers in the
same location significant scale benefits can be achieved: better
utilisation of equipment, automated processes and better staff
planning.
The consolidation also includes IT infrastructure. More than
70% of all sites operate on the division’s global Warehouse
Management System, and this enables standardisation of
services and workflows while reducing the cost per transaction
(order line).
The number of full-time employees increased by 39.1%
compared to June 2021. The increase was mainly driven by the
acquisitions of GIL and a general increase in activity levels.
Net working capital
The division’s net working capital came to DKK 1,448 million on
30 June 2022, compared to DKK 1,145 million on 30 June 2021.
The development was mainly due to higher activity and the
inclusion of GIL.
Growth 2021 - 2022
Change
(DKKm)
Q2 2021
Currency
translation
Growth
Growth %*
Q2 2022
Divisional revenue
3,997
144
2,041
49.3%
6,182
Gross profit
1,377
50
897
62.9%
2,324
EBIT before special items
278
8
467
163.3%
753
Change
(DKKm)
YTD 2021
Currency
translation
Growth
Growth %*
YTD 2022
Divisional revenue
7,606
237
4,501
57.4%
12,344
Gross profit
2,725
85
1,836
65.3%
4,646
EBIT before special items
541
12
989
178.8%
1,542
* Growth including M&A and in constant currencies
Page 14 of 21 INTERIM FINANCIAL REPORT – COMPANY ANNOUNCEMENT NO. 972 – 26 July 2022
Interim financial statements
Income statement
(DKKm)
Q2 2022
Q2 2021
YTD
2022
YTD
2021
Revenue
Direct costs
Gross profit
Other external expenses
Staff costs
Operating profit before amortisation and depreciation (EBITDA) before special items
Amortisation and depreciation
Operating profit (EBIT) before special items
Special items, costs
Financial income
(16 )
Financial expenses
Profit before tax
Tax on profit for the period
Profit for the period
Profit for the period attributable to:
Shareholders of DSV A/S
Non-controlling interests
Earnings per share:
Earnings per share of DKK 1 for the period
Diluted earnings per share of DKK 1 for the period
Page 15 of 21 INTERIM FINANCIAL REPORT – COMPANY ANNOUNCEMENT NO. 972 – 26 July 2022
Statement of comprehensive income
(DKKm)
Q2 2022
Q2 2021
YTD 2022
YTD 2021
Profit for the period
Items that may be reclassified to the income statement when certain
conditions are met:
Net exchange differences recognised in OCI
Fair value adjustments relating to hedging instruments
(12 )
(4 )
(13 )
Fair value adjustments relating to hedging instruments transferred to
financial expenses
(2 )
(1 )
Tax on items reclassified to income statement
(3 )
(3 )
(5 )
(1 )
Items that will not be reclassified to income statement:
Actuarial gains/(losses)
Tax relating to items that will not be reclassified
(76 )
(3 )
(143 )
(41 )
Other comprehensive income, net of tax
Total comprehensive income
Total comprehensive income attributable to:
Shareholders of DSV A/S
Non-controlling interests
(1 )
Total
Page 16 of 21 INTERIM FINANCIAL REPORT – COMPANY ANNOUNCEMENT NO. 972 – 26 July 2022
Cash flow statement
(DKKm)
YTD 2022
YTD 2021
Operating profit before amortisation and depreciation (EBITDA) before special items
Adjustments:
Share-based payments
Change in provisions
(21 )
(33 )
Change in working capital, etc.
(957 )
(2,509 )
Special items
(508 )
(325 )
Interest received
Interest paid on lease liabilities
(337 )
(227 )
Interest paid, other
(356 )
(240 )
Income tax paid
(2,100 )
(922 )
Cash flow from operating activities
Purchase of intangible assets
(166 )
(165 )
Purchase of property, plant and equipment
(347 )
(407 )
Disposal of intangible assets, property, plant and equipment
Acquisition of subsidiaries and activities
(193 )
Change in other financial assets
(135 )
(46 )
Cash flow from investing activities
(341 )
(711 )
Free cash flow
Proceeds from borrowings
Repayment of borrowings
(3,074 )
(229 )
Repayment of lease liabilities
(1,814 )
(1,481 )
Other financial liabilities incurred
(181 )
Transactions with shareholders:
Dividends distributed
(1,320 )
(920 )
Purchase of treasury shares
(8,316 )
(8,603 )
Sale of treasury shares
Other transactions with shareholders
Cash flow from financing activities
(9,831 )
(5,692 )
Cash flow for the period
(1,912 )
Cash and cash equivalents 1 January
Cash flow for the period
(1,912 )
Currency translation
(114 )
Cash and cash equivalents end of period
The cash flow statement cannot be directly derived from the balance sheet and income statement.
Statement of adjusted free cash flow
YTD 2022
YTD 2021
Free cash flow
11,994
3,780
Net acquisition of subsidiaries and activities (reversed)
-
193
Special items (reversed)
508
325
Repayment of lease liabilities
(1,814)
(1,481)
Adjusted free cash flow
10,688
2,817
Page 17 of 21 INTERIM FINANCIAL REPORT – COMPANY ANNOUNCEMENT NO. 972 – 26 July 2022
Balance sheet – Assets
(DKKm)
30.06.2022
31.12.2021
30.06.2021
Intangible assets
Right-of-use (ROU) assets
Property, plant and equipment
Other receivables
Deferred tax assets
Total non-current assets
Trade receivables
Contract assets
Inventories
Other receivables
Cash and cash equivalents
Assets held for sale
Total current assets
Total assets
Balance sheet – Equity and liabilities
(DKKm)
30.06.2022
31.12.2021
30.06.2021
Share capital
Reserves and retained earnings
DSV A/S shareholders’ share of equity
Non-controlling interests
(94 )
Total equity
Lease liabilities
Borrowings
Pensions and similar obligations
Provisions
Deferred tax liabilities
Total non-current liabilities
Lease liabilities
Borrowings
Trade payables
Accrued cost of services
Provisions
Other payables
Tax payables
Total current liabilities
Total liabilities
Total equity and liabilities
Page 18 of 21 INTERIM FINANCIAL REPORT – COMPANY ANNOUNCEMENT NO. 972 – 26 July 2022
Statement of changes in equity at 30 June 2022
Attributable to shareholders of DSV A/S
(DKKm)
Share
capital
Reserves
Retained
earnings
Total
Non-
controlling
interests
Total equity
Equity at 1 January 2022
(356 )
Profit for the period
Other comprehensive income, net of tax
Total comprehensive income for the period
Transactions with shareholders:
Share-based payments
Tax on share-based payments
(466 )
(466 )
(466 )
Dividends distributed
(1,320 )
(1,320 )
(46 )
(1,366 )
Purchase of treasury shares
(8 )
(8,308 )
(8,316 )
(8,316 )
Sale of treasury shares
Capital reduction
(6 )
Dividends on treasury shares
Other adjustments
(5 )
(1 )
Total transactions with shareholders
(6 )
(9,641 )
(9,647 )
(51 )
(9,698 )
Equity at 30 June 2022
Statement of changes in equity at 30 June 2021
Attributable to shareholders of DSV A/S
(DKKm)
Share
capital
Reserves
Retained
earnings
Total
Non-
controlling
interests
Total equity
Equity at 1 January 2021
(2,836 )
(88 )
Profit for the period
Other comprehensive income, net of tax
(3 )
Total comprehensive income for the period
(1 )
Transactions with shareholders:
Share-based payments
Tax on share-based payments
Dividends distributed
(920 )
(920 )
(1 )
(921 )
Purchase of treasury shares
(8,603 )
(8,603 )
(8,603 )
Sale of treasury shares
Capital reduction
(6 )
Dividends on treasury shares
(1 )
Other adjustments
(3 )
Total transactions with shareholders
(6 )
(8,194 )
(8,194 )
(5 )
(8,199 )
Equity at 30 June 2021
(1,964 )
(94 )
Page 19 of 21 INTERIM FINANCIAL REPORT – COMPANY ANNOUNCEMENT NO. 972 – 26 July 2022
Notes
1 Accounting policies
This Interim Financial Report has been prepared in accordance
with IAS 34 “Interim Financial Reporting” as adopted by the
European Union and Danish disclosure requirements for listed
companies.
Accounting policies applied in preparing the Interim Financial
Report are consistent with those applied in preparing the DSV
Annual Report 2021. The DSV Annual Report 2021 provides a
full description of the Group’s accounting policies.
Changes in accounting policies
The DSV Group has implemented the latest amendments to the
International Financial Reporting Standards (IFRS) effective as
of 1 January 2022 as adopted by the European Union.
None of the amendments implemented have had any material
impact on the Group’s financial statements, nor are they
expected to have so in the foreseeable future.
2 Management judgements and estimates
In preparing the Interim Financial Statements, Management
makes various accounting estimates and judgements that affect
the reported amounts and disclosures in the statements and in
the notes to the financial statements. These are based on
professional experience, historical data and other factors
available to Management.
By nature, a degree of uncertainty is involved when carrying
out these judgements and estimates, hence actual results
may deviate from the assessments made at the reporting
date. Judgements and estimates are continuously evaluated,
and the effects of any changes are recognised in the
relevant period.
Primary financial statement items in which more significant
accounting estimates are applied are listed in Chapter 1 of the
Notes to the 2021 DSV Annual Report to which is referred.
3 New accounting regulations
The IASB has issued a number of new standards and
amendments not yet in effect or endorsed by the EU and
therefore not relevant for the preparation of the Q2 2022 Interim
Financial Report.
None of those are currently expected to carry any significant
impact on the financial statements of the DSV Group when
implemented.
4 Segment information
Air & Sea
Road
Solutions
Non-allocated items
and eliminations
Total
(DKKm)
YTD 2022
YTD 2021
YTD 2022
YTD 2021
YTD 2022
YTD 2021
YTD 2022
YTD 2021
YTD 2022
YTD 2021
Condensed income statement
Revenue
92,368
48,347
19,654
15,666
11,909
7,370
(57)
64
123,874
71,447
Intercompany revenue
801
525
1,369
1,053
435
236
(2,605)
(1,814)
-
-
Divisional revenue
93,169
48,872
21,023
16,719
12,344
7,606
(2,662)
(1,750)
123,874
71,447
Direct costs
74,957
38,942
17,011
13,294
7,698
4,881
(2,747)
(1,788)
96,919
55,329
Gross profit
18,212
9,930
4,012
3,425
4,646
2,725
85
38
26,955
16,118
Other external expenses
2,104
1,416
714
530
828
578
(1,019)
(857)
2,627
1,667
Staff costs
4,115
2,880
1,775
1,521
1,077
754
984
735
7,951
5,890
Operating profit before amortisation,
depreciation (EBITDA) before special items
11,993
5,634
1,523
1,374
2,741
1,393
120
160
16,377
8,561
Amortisation and depreciation
606
398
459
495
1,199
852
164
178
2,428
1,923
Operating profit (EBIT) before special items
11,387
5,236
1,064
879
1,542
541
(44)
(18)
13,949
6,638
Condensed balance sheet
Total assets
103,791
56,962
25,024
23,075
29,572
15,030
13,103
7,080
171,490
102,147
Total liabilities
80,050
55,595
19,094
18,789
22,824
12,545
(29,130)
(29,717)
92,838
57,212
Page 20 of 21 INTERIM FINANCIAL REPORT – COMPANY ANNOUNCEMENT NO. 972 – 26 July 2022
5 Revenue
Sale of services and geographical segmentation specify as follows:
EMEA
Americas
APAC
Total
(DKKm)
Q2 2022
Q2 2021
Q2 2022
Q2 2021
Q2 2022
Q2 2021
Q2 2022
Q2 2021
Air services
7,942
5,220
7,708
4,114
9,382
4,863
25,032
14,197
Sea services
10,727
6,265
7,685
3,475
3,837
2,011
22,249
11,751
Road services
9,785
7,989
1,050
674
-
-
10,835
8,663
Solutions services
4,286
2,920
1,061
723
835
354
6,182
3,997
Total
32,740
22,394
17,504
8,986
14,054
7,228
64,298
38,608
Non-allocated items and eliminations
(1,549)
(777)
Total revenue
62,749
37,831
EMEA
Americas
APAC
Total
(DKKm)
YTD 2022
YTD 2021
YTD 2022
YTD 2021
YTD 2022
YTD 2021
YTD 2022
YTD 2021
Air services
15,336
10,108
15,463
7,771
18,440
9,293
49,239
27,172
Sea services
21,872
11,545
14,472
6,336
7,586
3,819
43,930
21,700
Road services
18,966
15,447
2,057
1,272
-
-
21,023
16,719
Solutions services
8,608
5,512
2,001
1,411
1,735
683
12,344
7,606
Total
64,782
42,612
33,993
16,790
27,761
13,795
126,536
73,197
Non-allocated items and eliminations
(2,662)
(1,750)
Total revenue
123,874
71,447
6 Special items
Special items are used in connection with the presentation of
profit or loss for the year to distinguish consolidated operating
profit from exceptional items, which by nature are not related to
the Group’s ordinary operations or investment in future activities.
Special items totalled DKK 661 million for H1 2022 comprising
restructuring and reorganisation costs related to the acquisition
of GIL.
The costs are part of the total integration costs of up to
DKK 1,000 million expected to be recognised in 2022.
YTD 2022
YTD 2021
(DKKm)
Reported
income
statement
Special items
Adjusted
income
statement
Reported
income
statement
Special items
Adjusted
income
statement
Revenue
123,874
-
123,874
71,447
-
71,447
Direct costs
96,919
75
96,994
55,329
-
55,329
Gross profit
26,955
(75)
26,880
16,118
-
16,118
Other external expenses
2,627
125
2,752
1,667
-
1,667
Staff costs
7,951
358
8,309
5,890
-
5,890
Operating profit before amortisation and depreciation
16,377
(558)
15,819
8,561
-
8,561
Amortisation and depreciation
2,428
107
2,535
1,923
-
1,923
Operating profit
13,949
(665)
13,284
6,638
-
6,638
Special items, expenses
661
(661)
-
-
-
-
Financial income
143
-
143
192
-
192
Financial expenses
988
(4)
984
466
-
466
Profit before tax
12,443
-
12,443
6,364
-
6,364
Page 21 of 21 INTERIM FINANCIAL REPORT – COMPANY ANNOUNCEMENT NO. 972 – 26 July 2022
Statement by the Board of
Directors and the Executive
Board
The Board of Directors and the Executive Board have today considered and adopted the Interim Financial Report of DSV A/S for the
six-month period ended 30 June 2022.
The Interim Financial Report, which has not been audited or reviewed by the Company auditor, has been prepared in accordance
with IAS 34 “Interim Financial Reporting” as adopted by the European Union and additional requirements in accordance with the
Danish Financial Statements Act.
In our opinion, the Interim Financial Statements give a true and fair view of the Group’s assets, equity, liabilities and financial
position on 30 June 2022 and of the results of the Group’s activities and the cash flow for the six-month period ended 30 June 2022.
We also find that the Management’s commentary provides a fair statement of developments in the activities and financial situation of
the Group, financial results for the period, the general financial position of the Group and a description of the major risks and
elements of uncertainty faced by the Group. Over and above the disclosures in the Interim Financial Report, no changes in the
Group’s most significant risks and uncertainties have occurred relative to the disclosures in the Annual Report for 2021.
Executive Board:
Board of Directors: