XCSE:DSV ESEF Annual Report
DSV A/S (XCSE:DSV)
ESEF Annual Report
2022-11-17
For: 2022-09-30
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 80 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
Q3 2022
Company Announcement No. 991
25 October 2022
Selected key figures and ratios for the period 1 January – 30 September 2022
Q3 2022
Q3 2021
YTD 2022
YTD 2021
Key figures (DKKm)
Revenue
60,560
49,557
184,434
121,004
Gross profit
13,538
9,823
40,493
25,941
Operating profit (EBIT) before special items
6,506
4,472
20,455
11,110
Special items, costs
456
154
1,117
154
Profit for the period
4,426
3,161
13,882
8,017
Adjusted earnings for the period
4,819
3,331
14,899
8,301
Adjusted free cash flow
16,763
3,718
Ratios
Conversion ratio
48.1%
45.5%
50.5%
42.8%
Diluted adjusted earnings per share of DKK 1 for the last 12 months
78.8
43.9
Jens Bjørn Andersen, Group CEO: “We are very pleased to report a strong set of results for Q3 2022 and for the first nine months of the
year. All three divisions continued the good performance with growth in earnings and market share gains across most of our business
areas. The global economic uncertainty has increased, but we have great trust in our flexible business model which enables us to quickly
adapt to changes.”
Outlook for 2022
By separate company announcement on 25 October DSV upgrades the full-year outlook for 2022. The upgrade is based on the strong
performance in the first nine months of 2022 and our expectations for Q4:
• EBIT before special items is expected to be in the range of DKK 24,500-25,500 million (previously DKK 23,000-25,000 million).
Share buyback
By separate company announcement on 25 October 2022, DSV will launch a new share buyback programme of up to DKK 3 billion. The
share buyback programme will be concluded no later than on 14 November 2022. The share buyback programme will be executed in
accordance with Regulation No. 596/2014 of the European Parliament and Council of 16 April 2014 (“MAR”) (save for the rules on share
buyback programmes set out in MAR article 5). The execution of the share buyback programme will take place outside the scope of the
Commission Delegated Regulation (EU) 2016/1052 (“the Safe Harbour Regulation”).
Following the conclusion of the share buyback programme outside the Safe Harbour Regulation, a second share buyback programme of up
to DKK 4 billion will be launched on 15 November 2022 in compliance with MAR and the Safe Harbour Regulation. The safe harbour share
buyback programme will be concluded no later than 1 February 2023. A separate company announcement will be issued prior to launch of
the safe harbour share buyback programme.
An extraordinary general meeting of DSV A/S will be convened shortly to take place on 22 November 2022 with a view to proposing a
reduction of the share capital (treasury shares) and a renewal of the authorisation to acquire treasury shares.
Contacts
Investor Relations: Flemming Ole Nielsen, tel. +45 43 20 33 92, flemming.o.nielsen@dsv.com
Media: Christian Krogslund, tel. +45 43 20 41 28, christian.krogslund@dsv.com
Yours sincerely,
Page 2 of 21 INTERIM FINANCIAL REPORT – COMPANY ANNOUNCEMENT NO. 991 – 25 October 2022
Financial highlights
Q3 2022
Q3 2021
YTD 2022
YTD 2021
Results (DKKm)
Revenue
60,560
49,557
184,434
121,004
Gross profit
13,538
9,823
40,493
25,941
Operating profit before amortisation and depreciation (EBITDA) before special
items
7,774
5,516
24,151
14,077
Operating profit (EBIT) before special items
6,506
4,472
20,455
11,110
Special items, costs
456
154
1,117
154
Net financial expenses
106
165
951
439
Profit for the period
4,426
3,161
13,882
8,017
Adjusted earnings for the period
4,819
3,331
14,899
8,301
Cash flows (DKKm)
Operating activities
19,493
6,271
Investing activities
(495)
788
Free cash flow
18,998
7,059
Adjusted free cash flow
16,763
3,718
Share buyback
(13,157)
(12,715)
Dividends distributed
(1,320)
(920)
Cash flow for the period
3,974
3,739
Financial position (DKKm)
DSV A/S shareholders’ share of equity
80,003
74,225
Balance sheet total
174,137
156,365
Net working capital
8,636
8,815
Net interest-bearing debt
27,277
28,316
Invested capital
106,713
100,316
Gross investment in property, plant and equipment
795
745
Financial ratios (%)*
Gross margin
22.4
19.8
22.0
21.4
Operating margin
10.7
9.0
11.1
9.2
Conversion ratio
48.1
45.5
50.5
42.8
Effective tax rate
25.5
23.9
24.5
23.8
ROIC before tax
24.7
16.6
Return on equity (ROE)
22.1
15.0
Solvency ratio
45.9
47.5
Gearing ratio
0.9
1.6
Share ratios*
Earnings per share of DKK 1 for the last 12 months
73.6
40.8
Diluted adjusted earnings per share of DKK 1 for the last 12 months
78.8
43.9
Number of shares issued (’000)
234,000
240,000
Number of treasury shares (’000)
10,521
2,351
Average number of shares issued (’000) for the last 12 months
231,310
225,348
Average diluted number of shares (’000) for the last 12 months
233,985
230,194
Share price end of period (DKK)
896.0
1,540.5
Non-financials
Number of full-time employees at 30 September
* 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. 991 – 25 October 2022
Management’s commentary
The Group delivered strong results in the first nine months of 2022 achieving 49.5% growth in gross profit
and 74.6% growth in EBIT before special items. Adjusted free cash flow more than quadrupled compared
to the same period last year. The growth was driven by all divisions and further boosted by the integration
of the GIL activities.
In Q3 2022, although the global logistics markets were increasingly impacted by the slowdown in the
global economy, the Group achieved strong financial results for the quarter across all business areas.
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. Consequently, Q3 2022 is the first quarter in which
the business combination is partly included in the comparable
figures.
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 GIL integration has triggered costs of DKK 1.1 billion in
2022. These costs have been charged to the income statement
under special items.
The integration of GIL was completed in Q3 2022.
Ukraine and Russia
As previously announced, all DSV activities in Russia and
Belarus have been divested or closed down. This had no
material impact on the financial results of the Group.
Our Ukrainian operations have resumed their activities to the
extent possible.
Results for the period
Revenue
For the first nine months of 2022, revenue amounted to DKK
184,434 million, compared to DKK 121,004 million last year. In
constant currencies and including the impact from GIL, growth
for the nine-month period was 45.9%.
Revenue and growth by division compared to same period last
year are specified below:
(DKKm)
Q3 2022
Growth*
YTD
2022
Growth*
Air & Sea
45,339
14.9%
138,508
53.1%
Road
10,406
16.9%
31,429
22.1%
Solutions
5,841
18.1%
18,185
42.2%
Group and
eliminations
(1,026)
(3,688)
Total
60,560
15.5%
184,434
45.9%
* 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. The reduced growth rate in Q3 2022 was impacted by the
fact that GIL was partly included in the comparable figures for
Q3 2021 and that freight rates declined in Q3 2022. Increasing
global economic uncertainty has dampened consumer demand
during 2022, and this development accelerated in Q3 2022. This
has led to lower demand for freight services and falling spot
rates in Q3. Port congestion has gradually eased, but we
continue to see supply chain disruptions, mainly in Europe and
the US East Coast.
Road and Solutions achieved strong growth in revenue in the
first nine months of 2022, driven by both higher rates and
market share gains. GIL contributed to the growth in both
divisions – especially in Solutions, with GIL’s strong footprint in
the Middle East and APAC regions. The economic slowdown is
also impacting Road and Solutions, mainly for business-to-
consumer and retail/e-commerce related activities.
Revenue by division, YTD 2022
Gross profit
For the first nine months of 2022, gross profit amounted to DKK
40,493 million, compared to DKK 25,941 million last year. In
constant currencies and including M&A, growth in gross profit
was 49.5%.
Page 4 of 21 INTERIM FINANCIAL REPORT – COMPANY ANNOUNCEMENT NO. 991 – 25 October 2022
Gross profit and growth by division compared to same period
last year are specified below:
(DKKm)
Q3 2022
Growth*
YTD 2022
Growth*
Air & Sea
9,135
35.2%
27,347
59.1%
Road
1,989
12.9%
6,001
15.3%
Solutions
2,325
29.5%
6,971
51.4%
Group and
eliminations
89
174
Total
13,538
30.7%
40,493
49.5%
* 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 impacted by the extraordinary market conditions
on the global freight markets. We expect a gradual decline in
yields as congestion eases, and we saw the first signs of this
development in Q3 2022.
In Road and Solutions, the growth in gross profit was mainly
driven by higher 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, YTD 2022
The gross margin was 22.0% for the first nine months of 2022,
compared to 21.4% for the same period last year.
EBIT before special items
EBIT before special items amounted to DKK 20,455 million for
the first nine months of 2022, compared to DKK 11,110 million
last year. In constant currencies, the increase in EBIT before
special items was 74.6%.
EBIT and growth by division compared to same period last year
are specified below:
(DKKm)
Q3 2022
Growth*
YTD 2022
Growth*
Air & Sea
5,455
44.2%
16,842
80.5%
Road
525
12.2%
1,589
17.5%
Solutions
613
22.4%
2,155
104.3%
Group and
eliminations
(87)
(131)
Total
6,506
36.9%
20,455
74.6%
* 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.
Furthermore, the addition of GIL and achievement of integration
synergies contributed to the growth.
The conversion ratio for the Group reached 50.5% for the first
nine months of 2022, compared to 42.8% for the same period
last year. All divisions improved their conversion ratios, even
though cost inflation is putting pressure on the cost base. In an
extraordinary 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.
EBIT by division, YTD 2022
Page 5 of 21 INTERIM FINANCIAL REPORT – COMPANY ANNOUNCEMENT NO. 991 – 25 October 2022
Growth 2021 - 2022
(DKKm)
Q3 2021
Currency
translation
Growth
Growth %*
Q3 2022
Revenue
49,557
2,881
8,122
15.5%
60,560
Gross profit
9,823
538
3,177
30.7%
13,538
EBIT before special items
4,472
279
1,755
36.9%
6,506
Gross margin (%)
19.8
22.4
Operating margin (%)
9.0
10.7
Conversion ratio (%)
45.5
48.1
(DKKm)
YTD 2021
Currency
translation
Growth
Growth %*
YTD 2022
Revenue
121,004
5,366
58,064
45.9%
184,434
Gross profit
25,941
1,148
13,404
49.5%
40,493
EBIT before special items
11,110
603
8,742
74.6%
20,455
Gross margin (%)
21.4
22.0
Operating margin (%)
9.2
11.1
Conversion ratio (%)
42.8
50.5
Special items
Costs related to the now finalised GIL integration amounted to
DKK 1,117 million for the first nine months of 2022 (2021: DKK
154 million).
Financial items
Financial items totalled a net expense of DKK 951 million for the
first nine months of 2022, compared to a net expense of DKK
439 million for the same period last year. The increase was
partly due to 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
126 million (First nine months of 2021: income of DKK 148
million). The adjustments were primarily related to intercompany
loans in USD between DSV entities and had no cash impact for
the Group. The integration of GIL has led to a temporary
increase in intra-group currency exposure.
(DKKm)
YTD 2022
YTD 2021
Interest on lease liabilities
518
352
Other interest cost, net
290
224
Interest on pensions
17
11
Foreign exchange adjustments
126
(148)
Financial expenses
951
439
Tax on profit for the period
The effective tax rate came to 24.5% for the first nine months of
2022, compared to 23.8% for the same period last year. The tax
rate was impacted by the inclusion of GIL, which has increased
the Group’s presence in countries with higher tax rates.
Profit for the period
Profit for the first nine months of 2022 was DKK 13,882 million,
compared to DKK 8,017 million for the same period of 2021.
Diluted adjusted earnings per share
Driven by the increase in profit, the rolling 12-month figure
increased by 79.5% compared to last year and came to DKK
78.8 per share (2021: DKK 43.9 per share).
Cash flow
CASH FLOW STATEMENT – Summary
(DKKm)
YTD 2022
YTD 2021
Cash flow from operating activities
19,493
6,271
Cash flow from investing activities
(495)
788
Free cash flow
18,998
7,059
Cash flow from financing activities
(15,024)
(3,320)
Cash flow for the period
3,974
3,739
Free cash flow
18,998
7,059
Special items
523
551
Net acquisition of subsidiaries and
activities
-
(1,631)
Repayment of lease liabilities
(2,758)
(2,261)
Adjusted free cash flow
16,763
3,718
Adjusted free cash flow increased by 351% compared to last
year, primarily driven by the significant growth in cash flow from
operating activities. This was due to higher EBITDA for the
period and a stable development in net working capital. The
growth in EBITDA was partly offset by tax payments for the
period.
Cash flow from investing activities came to a cash outflow of
DKK 495 million for the first nine months of 2022 and was in line
with our expectations. The cash inflow for the same period last
year was due to the inclusion of the positive cash position of
GIL.
Page 6 of 21 INTERIM FINANCIAL REPORT – COMPANY ANNOUNCEMENT NO. 991 – 25 October 2022
Cash flow from financing activities came to a cash outflow of
DKK 15,024 for the first nine months of 2022 (2021: DKK 3,320).
The change was primarily due to higher proceeds from
borrowings last year. During the first nine months of 2021, we
issued three new corporate bonds versus only one corporate
bond in 2022.
Net working capital
On 30 September 2022, the Group’s net working capital was
DKK 8,636 million, which was on level with 30 September last
year.
Relative to full-year revenue, funds tied up in NWC were 3.5%
on 30 September 2022 (30 September 2021: 3.6%).
NWC for the Air & Sea division continues to be impacted by the
high average freight rates. We have not seen an increase in
overdue receivables, and we continue to monitor receivables
closely.
Capital structure and finances
DSV A/S shareholders’ share of equity
DSV shareholders’ share of equity was DKK 80,003 million on
30 September 2022 (DKK 74,103 million on 31 December
2021). The increase was driven by profit for the period and
currency translation adjustments, partly offset by allocations to
shareholders.
On 30 September 2022, the Company’s portfolio of treasury
shares was 10,521,502 shares. On 24 October 2022, the
portfolio of treasury shares was 11,963,533 shares.
The solvency ratio excluding non-controlling interests was
45.9% on 30 September 2022 (30 September 2021: 47.5%).
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)
13,800
7,992
Currency translation, foreign enterprises
6,151
1,181
Capital increase
-
24,495
Allocated to shareholders
(14,477)
(13,635)
Sale of treasury shares
461
735
Transfer of treasury shares as business
combination consideration
-
5,076
Other equity movements
(35)
996
Equity end of period
80,003
74,225
Net interest-bearing debt
Net interest-bearing debt amounted to DKK 27,277 million on 30
September 2022, compared to DKK 28,316 million on 30
September 2021. The development was primarily driven by the
strong free cash flow, which was partly offset by allocations to
shareholders.
The financial gearing ratio (NIBD/EBITDA) was 0.9x on 30
September 2022, compared to 1.6x last year. We maintain the
financial gearing ratio target of below 2.0x NIBD/EBITDA. Two
new share buyback programmes of DKK 3,000 million and DKK
4,000 million will be initiated on the 25 October 2022 and 15
November 2022, respectively.
The weighted average duration of the Company’s long-term
bonds and drawn credit facilities was 8.5 years on 30
September 2022.
Invested capital and ROIC
The invested capital including goodwill and customer
relationships amounted to DKK 106,713 million on 30
September 2022, compared to DKK 100,316 million on 30
September 2021. The increase was mainly due to higher
currency exchange rates.
Driven by the strong growth in earnings, return on invested
capital (including goodwill and customer relationships) was
24.7% for the rolling 12-month period ended 30 September
2022, compared to 16.6% for the same period last year.
Excluding goodwill and customer relationships, return on
invested capital was 98.7% for the rolling 12-month period
ended 30 September 2022, compared to 62.7% for the same
period last year.
Outlook
Based on DSV’s strong performance in the first nine months of
2022 and our expectations for Q4, we upgrade the full-year
outlook for 2022 as follows:
• EBIT before special items is expected to be in the
range of DKK 24,500-25,500 million (previously DKK
23,000-25,000 million).
• The effective tax rate is expected to approximate 24%
(previously 23%).
We expect that the global logistics markets will continue to be
negatively impacted by the slowdown in the global economy.
Furthermore, we expect a gradual decline in our gross profit
yields for air and sea as congestion continues to ease and
freight rates decline.
We assume that the currency exchange rates, especially the
USD/DKK rate, 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.
Reference is made to separate company announcement no. 990
from 25 October. 2022.
Page 7 of 21 INTERIM FINANCIAL REPORT – COMPANY ANNOUNCEMENT NO. 991 – 25 October 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 59.1% increase in gross profit and 80.5% increase in EBIT before special items
for the first nine months of 2022. The increase in earnings was driven by the inclusion of GIL, strong gross
profit yields in challenging freight markets and a strong focus on operational excellence.
INCOME STATEMENT
(DKKm)
Q3 2022
Q3 2021
YTD 2022
YTD 2021
Divisional revenue
45,339
36,861
138,508
85,733
Direct costs
36,204
30,547
111,161
69,489
Gross profit
9,135
6,314
27,347
16,244
Other external expenses
1,097
814
3,201
2,230
Staff costs
2,276
1,698
6,391
4,578
EBITDA before special items
5,762
3,802
17,755
9,436
Amortisation and depreciation
307
281
913
679
EBIT before special items
5,455
3,521
16,842
8,757
KEY FIGURES AND RATIOS
Q3 2022
Q3 2021
YTD 2022
YTD 2021
Gross margin (%)
20.1
17.1
19.7
18.9
Operating margin (%)
12.0
9.6
12.2
10.2
Conversion ratio (%)
59.7
55.8
61.6
53.9
Number of full-time employees
23,225
25,742
Total invested capital (DKKm)
75,057
71,381
Net working capital (DKKm)
9,493
9,069
ROIC before tax (%)
28.5
18.3
Market development
Freight volume growth
DSV
Q3 2022
Market
Q3 2022
DSV
YTD
2022
Market
YTD
2022
Air freight – Tonnes
(3%)
(11-13%)
11%
(6-8%)
Sea freight – TEUs
7%
(4-6%)
14%
(3-5%)
DSV’s growth includes impact from M&A. Market growth rates are based
on DSV estimates.
GIL was included in the comparable figures with effect from
August 2021. Consequently, the impact from M&A was less
significant in Q3 2022, compared to H1 2022.
The global demand for both air and sea freight services
weakened during 2022. This development accelerated in Q3
2022, due to the general macro-economic slowdown and a
gradual normalisation after COVID-19 lockdowns, where
consumption is shifting away from material goods and towards
services.
DSV’s air freight volumes were down 3% in Q3 2022. Adjusted
for the addition of GIL, we estimate that DSV volumes declined
approximately 10% (YTD minus 5%). We estimate that DSV’s
performance was better than the general air market.
While demand for air freight has been declining, the available
capacity has increased as belly-space capacity on passenger
planes has gradually returned on some routes. As a result, air
freight rates have declined, but the continued high fuel costs
mean that rates have remained at relatively high levels.
DSV’s sea freight volumes were up 7% in Q3 2022. Adjusted for
the addition of GIL, DSV’s volume development was down by
approximately 4% (YTD minus 5%). We estimate that this was in
line with the general market growth.
Page 8 of 21 INTERIM FINANCIAL REPORT – COMPANY ANNOUNCEMENT NO. 991 – 25 October 2022
Port congestion level remains an issue on US East Coast and in
Northern Europe, but, globally, congestion has eased in the
recent quarters. This has increased the available capacity,
which in combination with weaker demand, especially on the
Asia-Europe and Trans-Pacific routes, has caused ocean spot
rates to decline.
DSV’s volume performance in the first nine months of 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 138,508 million for the
first nine months of 2022, compared to DKK 85,733 million for
the same period last year. Growth for the period was 53.1%.
For Q3 2022, revenue amounted to DKK 45,339 million,
compared to DKK 36,861 million for the same period last year.
Growth for the quarter was 14.9%.
The growth in revenue was – especially in H1 2022 – driven by
the addition of GIL and higher freight rates for both air and sea
compared to the same period last year. Compared to 2021, the
division’s activity within low-margin project business was lower
in the first nine months of 2022.
The growth was driven by all regions and was highest in
Americas.
Gross profit
For the first nine months of 2022, gross profit amounted to DKK
27,347 million, compared to DKK 16,244 million for the same
period last year. Growth for the period was 59.1%.
For Q3 2022, gross profit amounted to DKK 9,135 million,
compared to DKK 6,314 for the same period last year. Growth
for the quarter was 35.2%.
The increase was driven by the addition of GIL and continued
high yields per unit for both air and sea freight compared to the
same period last year.
The challenging market conditions with tight capacity,
congestion and disruption affecting 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 the
complex market and offer transport solutions for our customers
despite imbalances in the market. With weaker demand and as
congestion continues to ease and freight rates decline, we
expect a gradual decline in our yields. In Q3 2022, we saw the
first signs of this development, although this was partially offset
by strong currency rates.
The division’s gross margin was 19.7% for the first nine months
of 2022, compared to 18.9% last year. The improvement was
partly due to reduced activity within low-margin project business
in 2022.
EBIT before special items
EBIT before special items came to DKK 16,842 million for the
first nine months of 2022, compared to DKK 8,757 million for the
same period last year. Growth for the period was 80.5%.
For Q3 2022, EBIT before special items amounted to DKK 5,455
million, compared to DKK 3,521 million for the same period last
year. Growth for the quarter was 44.2%.
The significant increase in EBIT before special items was driven
by the inclusion of GIL and general growth in gross profit. The
growth was further supported by the continued focus on
productivity, achievement of synergies and cost management
(operational excellence). The conversion ratio was 61.6% for the
first nine months of 2022, compared to 53.9% for the same
period last year.
Also on EBIT level, all regions contributed to the strong growth
in earnings, with Americas as the star performer boasting 118%
growth (in constant currencies) for the nine-month period.
Net working capital
The Air & Sea division’s net working capital came to DKK 9,493
million on 30 September 2022, compared to DKK 9,069 million
on 30 September 2021. Funds tied up in NWC continue to be
impacted by high average freight rates. Additionally, NWC was
impacted by the high exchange rate level compared to same
time last year.
Page 9 of 21 INTERIM FINANCIAL REPORT – COMPANY ANNOUNCEMENT NO. 991 – 25 October 2022
Growth Air & Sea 2021 - 2022
(DKKm)
Q3 2021
Currency
translation
Growth
Growth %*
Q3 2022
Divisional revenue
36,861
2,585
5,893
14.9%
45,339
Gross profit
6,314
442
2,379
35.2%
9,135
EBIT before special items
3,521
262
1,672
44.2%
5,455
(DKKm)
YTD 2021
Currency
translation
Growth
Growth %*
YTD 2022
Divisional revenue
85,733
4,758
48,017
53.1%
138,508
Gross profit
16,244
949
10,154
59.1%
27,347
EBIT before special items
8,757
572
7,513
80.5%
16,842
* Growth including M&A and in constant currencies
AIR AND SEA FREIGHT PERFORMANCE
Sea freight
Air freight
(DKKm)
Q3 2022
Q3 2021
YTD 2022
YTD 2021
Q3 2022
Q3 2021
YTD 2022
YTD 2021
Divisional revenue
22,840
18,462
66,770
40,162
22,499
18,399
71,738
45,571
Direct costs
18,498
15,477
53,963
32,906
17,706
15,070
57,198
36,583
Gross profit
4,342
2,985
12,807
7,256
4,793
3,329
14,540
8,988
Gross margin (%)
19.0
16.2
19.2
18.1
21.3
18.1
20.3
19.7
Volume (TEUs/Tonnes)
680,683
633,690
2,038,957
1,788,094
375,990
386,702
1,189,495
1,072,219
Gross profit per unit (DKK)
6,379
4,711
6,281
4,058
12,748
8,609
12,224
8,383
Page 10 of 21 INTERIM FINANCIAL REPORT – COMPANY ANNOUNCEMENT NO. 991 – 25 October 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 nine months of 2022, the Road division achieved 15.3% growth in gross profit and a 17.5%
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 impacted by tight capacity and high cost
inflation.
INCOME STATEMENT
(DKKm)
Q3 2022
Q3 2021
YTD 2022
YTD 2021
Divisional revenue
10,406
8,783
31,429
25,502
Direct costs
8,417
7,038
25,428
20,332
Gross profit
1,989
1,745
6,001
5,170
Other external expenses
342
282
1,056
812
Staff costs
895
761
2,670
2,282
EBITDA before special items
752
702
2,275
2,076
Amortisation and depreciation
227
237
686
732
EBIT before special items
525
465
1,589
1,344
KEY FIGURES AND RATIOS
Q3 2022
Q3 2021
YTD 2022
YTD 2021
Gross margin (%)
19.1
19.9
19.1
20.3
Operating margin (%)
5.0
5.3
5.1
5.3
Conversion ratio (%)
26.4
26.6
26.5
26.0
Number of full-time employees
16,496
16,942
Total invested capital (DKKm)
11,586
11,327
Net working capital (DKKm)
(256)
(284)
ROIC before tax (%)
18.3
17.2
Market development
We estimate that the market grew by 2-4% in the first nine
months of 2022 compared to the same period last year. Market
growth decelerated in both Q2 and Q3 2022, and especially
within retail and business-to-consumer deliveries (including e-
commerce) volumes were down compared to the same period
last year.
The EU Mobility Package and the war in Ukraine have led to
capacity constraints and increasing road freight rates across
Europe. Higher fuel costs and general cost inflation have also
contributed to increasing freight rates.
Based on the strong market position and an effective
procurement setup, DSV Road has been able to secure
necessary capacity and has performed well across most
markets during 2022.
Divisional revenue
The division’s revenue amounted to DKK 31,429 million for the
first nine months of 2022, compared to DKK 25,502 million for
the same period last year. Growth for the period was 22.1%.
For Q3 2022, revenue amounted to DKK 10,406 million,
compared to DKK 8,783 million for the same period last year.
Growth for the quarter was 16.9%.
The growth in revenue was driven by higher freight rates, diesel
surcharge and higher activity levels for international and
business-to-business shipments.
The division generates more than 85% of its revenue in Europe
and saw good performance across most countries in the region.
The operation in North America, although still relatively small,
achieved the highest organic growth rate in 2022, and the
addition of GIL’s road activities also contributed to the growth.
Page 11 of 21 INTERIM FINANCIAL REPORT – COMPANY ANNOUNCEMENT NO. 991 – 25 October 2022
Gross profit
For the first nine months of 2022, gross profit totalled DKK 6,001
million, compared to DKK 5,170 million for the same period last
year. Growth for the period was 15.3%.
For Q3 2022, gross profit amounted to DKK 1,989 million,
compared to DKK 1,745 million for the same period last year.
Growth for the quarter was 12.9%.
In a market with high pressure on capacity and costs, the growth
in gross profit was driven by higher activity levels and the
addition of GIL.
The division’s gross margin was 19.1% for the first nine months
of 2022, compared to 20.3% for the same period in 2021. The
market situation 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 1,589 million for the first
nine months of 2022, compared to DKK 1,344 million for the
same period last year. This corresponds to a growth of 17.5%.
For Q3 2022, EBIT before special items amounted to DKK 525
million, compared to DKK 465 million for the same period last
year. Growth for the quarter was 12.2%.
The increase in EBIT before special items was driven by the
growth in gross profit and improved productivity. In an
environment with high inflationary pressure on the cost base, the
division has maintained its focus on productivity and cost
management. The conversion ratio came to 26.5% for the first
nine months of 2022, compared to 26.0% for the same period
last year.
The increase in earnings was driven by strong performance
across all regions.
Net working capital
The Road division’s net working capital was a negative DKK 256
million on 30 September 2022 and on level with same time last
year.
Growth 2021 - 2022
(DKKm)
Q3 2021
Currency
translation
Growth
Growth %*
Q3 2022
Divisional revenue
8,783
118
1,505
16.9%
10,406
Gross profit
1,745
16
228
12.9%
1,989
EBIT before special items
465
3
57
12.2%
525
(DKKm)
YTD 2021
Currency
translation
Growth
Growth %*
YTD 2022
Divisional revenue
25,502
232
5,695
22.1%
31,429
Gross profit
5,170
33
798
15.3%
6,001
EBIT before special items
1,344
8
237
17.5%
1,589
* Growth including M&A and in constant currencies
Page 12 of 21 INTERIM FINANCIAL REPORT – COMPANY ANNOUNCEMENT NO. 991 – 25 October 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 nine months of 2022, the Solutions division achieved a 51.4% increase in gross profit, which
was converted into an impressive 104.3% increase in EBIT before special items. The performance was
positively impacted by the addition of GIL’s activities in the Middle East.
INCOME STATEMENT
(DKKm)
Q3 2022
Q3 2021
YTD 2022
YTD 2021
Divisional revenue
5,841
4,739
18,185
12,345
Direct costs
3,516
3,022
11,214
7,903
Gross profit
2,325
1,717
6,971
4,442
Other external expenses
448
348
1,276
926
Staff costs
600
418
1,677
1,172
EBITDA before special items
1,277
951
4,018
2,344
Amortisation and depreciation
664
465
1,863
1,317
EBIT before special items
613
486
2,155
1,027
KEY FIGURES AND RATIOS
Q3 2022
Q3 2021
YTD 2022
YTD 2021
Gross margin (%)
39.8
36.2
38.3
36.0
Operating margin (%)
10.5
10.3
11.9
8.3
Conversion ratio (%)
26.4
28.3
30.9
23.1
Number of full-time employees
32,588
32,007
Total invested capital (DKKm)
23,551
19,247
Net working capital (DKKm)
1,546
1,437
ROIC before tax (%)
13.6
9.7
Market development
It is our estimate that the contract logistics market grew around
5% in the first nine months of 2022 compared to the same
period last year. As a result of the global economic slowdown,
growth decelerated during the year and, so far, this has mainly
impacted companies within the retail and e-commerce sector.
High utilisation of warehouses, general cost inflation and
increasing interest rates during 2022 have led to increasing
prices for warehouse capacity across most geographies.
We estimate that DSV Solutions has gained market share in all
major markets in 2022.
Divisional revenue
The division’s revenue was DKK 18,185 million for the first nine
months of 2022, compared to DKK 12,345 million for the same
period of 2021. Growth for the period was 42.2%.
For Q3 2022, revenue amounted to DKK 5,841 million,
compared to DKK 4,739 million for the same period last year.
Growth for the quarter was 18.1%.
The lower growth rate in Q3 2022 was due to lower market
growth and the fact that GIL was included in the comparative
figures from August 2021.
GIL’s contract logistics operations in the Middle East and South-
East Asia were a strong contributor to the growth during 2022.
DSV Solutions is systematically developing new multi-client
warehouse campuses 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 the division’s organic growth.
Page 13 of 21 INTERIM FINANCIAL REPORT – COMPANY ANNOUNCEMENT NO. 991 – 25 October 2022
Gross profit
For the first nine months of 2022, gross profit was DKK 6,971
million, compared to DKK 4,442 million for the same period of
2021 – an increase of 51.4% for the period, driven by the strong
revenue growth.
For Q3 2022, gross profit amounted to DKK 2,325 million,
compared to DKK 1,717 million for the same period last year.
Growth for the quarter was 29.5%.
The division’s gross margin was 38.3% for the first nine months
of 2022, compared to 36.0% for the same period last year. The
division continues to operate with record-high warehouse
utilisation.
EBIT before special items
EBIT before special items was DKK 2,155 million for the first
nine months of 2022, compared to DKK 1,027 million for the
same period of 2021, corresponding to an increase of 104.3%.
For Q3 2022, EBIT before special items amounted to DKK 613
million, compared to DKK 486 million for the same period last
year. Growth for the quarter was 22.4%.
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 30.9% for the first nine months of
2022, compared to 23.1% for the same period last year, and the
division maintains its focus on productivity and cost optimisation.
The conversion ratio for Q3 2022 was impacted by general cost
inflation and certain one-off costs.
The ongoing consolidation into larger and more efficient, multi-
customer warehouses has a positive impact on both gross
margin and conversion ratio. The consolidation also includes IT
infrastructure, and more than 70% of all sites now operate on
the division’s global Warehouse Management System.
Net working capital
The division’s net working capital came to DKK 1,546 million on
30 September 2022, compared to DKK 1,437 million on 30
September 2021. The development was mainly due to higher
currency rates.
Growth 2021 - 2022
(DKKm)
Q3 2021
Currency
translation
Growth
Growth %*
Q3 2022
Divisional revenue
4,739
208
894
18.1%
5,841
Gross profit
1,717
79
529
29.5%
2,325
EBIT before special items
486
15
112
22.4%
613
(DKKm)
YTD 2021
Currency
translation
Growth
Growth %*
YTD 2022
Divisional revenue
12,345
445
5,395
42.2%
18,185
Gross profit
4,442
163
2,366
51.4%
6,971
EBIT before special items
1,027
28
1,100
104.3%
2,155
* Growth including M&A and in constant currencies
Page 14 of 21 INTERIM FINANCIAL REPORT – COMPANY ANNOUNCEMENT NO. 991 – 25 October 2022
Interim financial statements
Income statement
(DKKm)
Q3
2022
Q3
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
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. 991 – 25 October 2022
Statement of comprehensive income
(DKKm)
Q3 2022
Q3 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
(20 )
(1 )
(24 )
(14 )
Fair value adjustments relating to hedging instruments transferred to
financial expenses
Tax on items reclassified to income statement
(1 )
Items that will not be reclassified to income statement:
Actuarial gains/(losses)
(221 )
(16 )
Tax relating to items that will not be reclassified
(102 )
(41 )
Other comprehensive income, net of tax
Total comprehensive income
Total comprehensive income attributable to:
Shareholders of DSV A/S
Non-controlling interests
Total
Page 16 of 21 INTERIM FINANCIAL REPORT – COMPANY ANNOUNCEMENT NO. 991 – 25 October 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
(331 )
Change in working capital, etc.
(5,416 )
Special items
(523 )
(551 )
Interest received
Interest paid on lease liabilities
(518 )
(352 )
Interest paid, other
(518 )
(397 )
Income tax paid
(3,154 )
(1,404 )
Cash flow from operating activities
Purchase of intangible assets
(220 )
(219 )
Purchase of property, plant and equipment
(795 )
(745 )
Disposal of intangible assets, property, plant and equipment
Acquisition of subsidiaries and activities
Change in other financial assets
(60 )
(52 )
Cash flow from investing activities
(495 )
Free cash flow
Proceeds from borrowings
Repayment of borrowings
(2,466 )
(444 )
Repayment of lease liabilities
(2,758 )
(2,261 )
Other financial liabilities incurred
(129 )
Transactions with shareholders:
Dividends distributed
(1,320 )
(920 )
Purchase of treasury shares
(13,157 )
(12,715 )
Sale of treasury shares
Other transactions with shareholders
(16 )
Cash flow from financing activities
(15,024 )
(3,320 )
Cash flow for the period
Cash and cash equivalents 1 January
Cash flow for the period
Currency translation
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
18,998
7,059
Net acquisition of subsidiaries and activities (reversed)
-
(1,631)
Special items (reversed)
523
551
Repayment of lease liabilities
(2,758)
(2,261)
Adjusted free cash flow
16,763
3,718
Page 17 of 21 INTERIM FINANCIAL REPORT – COMPANY ANNOUNCEMENT NO. 991 – 25 October 2022
Balance sheet – Assets
(DKKm)
30.09.2022
31.12.2021
30.09.2021
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)
30.09.2022
31.12.2021
30.09.2021
Share capital
Reserves and retained earnings
DSV A/S shareholders’ share of equity
Non-controlling interests
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. 991 – 25 October 2022
Statement of changes in equity at 30 September 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
(537 )
(537 )
(537 )
Dividends distributed
(1,320 )
(1,320 )
(56 )
(1,376 )
Purchase of treasury shares
(12 )
(13,145 )
(13,157 )
(13,157 )
Sale of treasury shares
Capital reduction
(6 )
Dividends on treasury shares
-
Other adjustments
Total transactions with shareholders
(6 )
(4 )
(14,350 )
(14,360 )
(51 )
(14,411 )
Equity at 30 September 2022
Statement of changes in equity at 30 September 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
(6 )
Total comprehensive income for the period
Transactions with shareholders:
Share-based payments
Tax on share-based payments
Dividends distributed
(920 )
(920 )
(1 )
(921 )
Purchase of treasury shares
(10 )
(12,705 )
(12,715 )
(12,715 )
Sale of treasury shares
Capital increase
-
Capital reduction
(6 )
Transfer of treasury shares as business
combination consideration
-
Addition/disposal of non-controlling interests
Dividends on treasury shares
Other adjustments
(45 )
(33 )
Total transactions with shareholders
Equity at 30 September 2021
(1,651 )
Page 19 of 21 INTERIM FINANCIAL REPORT – COMPANY ANNOUNCEMENT NO. 991 – 25 October 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 Q3 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
137,154
85,031
29,367
23,860
17,837
11,935
76
178
184,434
121,004
Intercompany revenue
1,354
702
2,062
1,642
348
410
(3,764)
(2,754)
-
-
Divisional revenue
138,508
85,733
31,429
25,502
18,185
12,345
(3,688)
(2,576)
184,434
121,004
Direct costs
111,161
69,489
25,428
20,332
11,214
7,903
(3,862)
(2,661)
143,941
95,063
Gross profit
27,347
16,244
6,001
5,170
6,971
4,442
174
85
40,493
25,941
Other external expenses
3,201
2,230
1,056
812
1,276
926
(1,475)
(1,271)
4,058
2,697
Staff costs
6,391
4,578
2,670
2,282
1,677
1,172
1,546
1,135
12,284
9,167
Operating profit before amortisation,
depreciation (EBITDA) before special items
17,755
9,436
2,275
2,076
4,018
2,344
103
221
24,151
14,077
Amortisation and depreciation
913
679
686
732
1,863
1,317
234
239
3,696
2,967
Operating profit (EBIT) before special items
16,842
8,757
1,589
1,344
2,155
1,027
(131)
(18)
20,455
11,110
Condensed balance sheet
Total assets
104,886
78,307
24,767
21,913
30,242
23,385
14,242
32,760
174,137
156,365
Total liabilities
78,190
70,793
18,485
17,120
23,999
17,879
(26,766)
(23,820)
93,908
81,972
Page 20 of 21 INTERIM FINANCIAL REPORT – COMPANY ANNOUNCEMENT NO. 991 – 25 October 2022
5 Revenue
Sale of services and geographical segmentation specify as follows:
EMEA
Americas
APAC
Total
(DKKm)
Q3 2022
Q3 2021
Q3 2022
Q3 2021
Q3 2022
Q3 2021
Q3 2022
Q3 2021
Air services
7,509
6,492
7,018
5,341
7,972
6,566
22,499
18,399
Sea services
11,139
9,876
8,017
5,583
3,684
3,003
22,840
18,462
Road services
9,345
8,017
1,061
766
-
-
10,406
8,783
Solutions services
3,801
3,435
1,155
815
885
489
5,841
4,739
Total
31,794
27,820
17,251
12,505
12,541
10,058
61,586
50,383
Non-allocated items and eliminations
(1,026)
(826)
Total revenue
60,560
49,557
EMEA
Americas
APAC
Total
(DKKm)
YTD 2022
YTD 2021
YTD 2022
YTD 2021
YTD 2022
YTD 2021
YTD 2022
YTD 2021
Air services
22,845
16,600
22,481
13,112
26,412
15,859
71,738
45,571
Sea services
33,011
21,421
22,489
11,919
11,270
6,822
66,770
40,162
Road services
28,311
23,464
3,118
2,038
-
-
31,429
25,502
Solutions services
12,409
8,947
3,156
2,226
2,620
1,172
18,185
12,345
Total
96,576
70,432
51,244
29,295
40,302
23,853
188,122
123,580
Non-allocated items and eliminations
(3,688)
(2,576)
Total revenue
184,434
121,004
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.
For the first nine months of 2022, special items totalled DKK
1,117 million, comprising restructuring and reorganisation costs
related to the acquisition of GIL.
YTD 2022
YTD 2021
(DKKm)
Reported
income
statement
Special items
Adjusted
income
statement
Reported
income
statement
Special items
Adjusted
income
statement
Revenue
184,434
-
184,434
121,004
-
121,004
Direct costs
143,941
81
144,022
95,063
1
95,064
Gross profit
40,493
(81)
40,412
25,941
(1)
25,940
Other external expenses
4,058
298
4,356
2,697
128
2,825
Staff costs
12,284
573
12,857
9,167
24
9,191
Operating profit before amortisation and depreciation
24,151
(952)
23,199
14,077
(153)
13,924
Amortisation and depreciation
3,696
170
3,866
2,967
1
2,968
Operating profit
20,455
(1,122)
19,333
11,110
(154)
10,956
Special items, expenses
1,117
(1,117)
-
154
(154)
-
Financial income
226
-
226
311
-
311
Financial expenses
1,177
(5)
1,172
750
-
750
Profit before tax
18,387
-
18,387
10,517
-
10,517
Page 21 of 21 INTERIM FINANCIAL REPORT – COMPANY ANNOUNCEMENT NO. 991 – 25 October 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
nine-month period ended 30 September 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 September 2022 and of the results of the Group’s activities and the cash flow for the nine-month period ended 30
September 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: