ANNUAL
REPORT
2021
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 2ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Content
03 05 06
07 08 10
41 111 131
CEO's review Key figures
Alma Media in brief Alma Media as an
investment
Report by the Board of
Directors*
Corporate Governance Statement Remuneration ReportFinancial statements*
* Audited
140
Sustainability Report
Business impacts of the COVID-19
pandemic
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 3ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
The year 2021 was a significant milestone in the
evolution of an increasingly competitive Alma
Media.
CEO’s review: Strong growth both
organically and through acquisitions
A
lma Media had a suc-
cessful year in 2021
by every measure. We
achieved strong growth
on a broad front.
Our revenue grew by nearly 20 per cent
and exceeded MEUR 275. At the same
time, our profitability was excellent: our
adjusted operating profit grew by near-
ly 35 per cent, reaching MEUR 61. Our
strong performance in an operating
environment that was characterised by
unpredictability and volatility due to the
COVID-19 pandemic is proof of our agility
and adaptability as well as the effective-
ness of our strategy.
The year 2021 was a significant milestone
in the evolution of an increasingly com-
petitive and digital Alma Media. In spring
2021, we completed our largest-ever ac-
quisition by acquiring Nettix, the leading
marketplace for motor vehicles. Following
this acquisition, we have strong business
cornerstones in areas that represent the
most significant investments in consum-
ers’ lives – housing and mobility – along
with Finland’s leading digital advertising
network. In addition, the Group ac-
quired full ownership of the Alma Career
recruitment business and the product
portfolio was expanded in digital housing
transactions as well as advertising and
recruitment business technologies. We
revised our segment structure and dis-
continued our use of the segment name
Alma Markets. The changes stem from
our aim of making more efficient use of
the synergies between digital media and
services as well as the growth opportuni-
ties provided by digital commerce in the
marketplaces business.
Our divestments continued with the sale
of the construction and housing ERP
system Talosofta.
Business development in 2021 was again
affected by the COVID-19 pandemic.
Its impacts varied between businesses
during the year under review, and the
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 4ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
situation was turbulent through the year
due to new virus variants and chang-
es in the number of infections. Overall,
the economic uncertainty caused by
the pandemic nevertheless decreased
substantially compared to the first year
of the pandemic in 2020. This was due
to the improving vaccination coverage
and the recovery of confidence among
companies and individuals. We transi-
tioned flexibly from the largely remote
work-based model we used in 2020 to a
multi-local model where the COVID-19
situation allowed it.
Alma Media’s revenue grew substantially
due to the release of pent-up demand in
the recruitment and advertising markets
as well as the strong development of
digital business. Alma Media’s market-
places grew by 34.2%, media by 7.5% and
services by 17.3%.
Digital content revenue grew by 24.8%
in Talent Media. Talent Services grew by
18.9%. HR investments in product de-
velopment and sales were increased in
the latter part of the year with the aim of
ensuring long-term competitiveness.
In Alma Consumer, revenue grew by
35.2% and digital business accounted for
81.0% of revenue. Revenue from the me-
dia business increased by 17.9% and the
growth of digital advertising was particu-
larly strong at 25.7%.
Programmatic advertising buying per-
formed well, as did advertising in the
housing and mobility categories. Iltalehti
became Finland’s largest news media in
the autumn. Its online and print versions
had a total of 2,880,000 weekly readers
according to the Finnish National Read-
ership Survey (NRS). The Iltalehti Plus
service, which gives readers access to all
Iltalehti content, saw rapid growth in sub-
scriptions in the latter part of the year. Ac-
quired businesses, namely Nettix Oy and
a 60% stake in Netello Systems Oy, which
specialises in digital marketing solu-
tions, were integrated into the segment.
The shared journey has got off to a good
start and the optimisation of processes is
continuing.
While the significant acquisitions car-
ried out during the period under review
increased our debt ratio, our good profit
performance and strong cash flow sub-
stantially improved our financial solidity
in the latter part of the year. We renewed
our long-term MEUR 200 financing ar-
rangement and also set new long-term
financial targets.
During the review period, we raised the
bar for Alma Media to a considerable
degree to maintain our position as an in-
dustry leader in sustainability. We defined
new sustainability criteria for Alma Media
along with related targets and actions,
which will be put into action throughout
the Group starting from the beginning of
2022.
Going forward, sustainability targets will
be incorporated into our employees’
incentive schemes.
Our recently completed surveys indi-
cate that employee satisfaction is at a
record-high level. The team is in good
shape to take on the challenges present-
ed by 2022.
I want to take this opportunity to express
my gratitude to our employees for their
strong contribution to the company and
I also want to thank our stakeholders for
their trust and excellent cooperation in
2021!
Kai Telanne
President and CEO
Alma Career’s revenue grew by 31% and
the segment’s adjusted operating profit
was 36.6% of revenue. The turbulent
COVID-19 situation meant that shutdown
measures by the authorities continued
in Eastern Central Europe in the latter
part of the year, but the impacts on Alma
Career’s client companies were less
dramatic than in 2020. This was reflected
in a high level of customer invoicing. Due
to the delay between invoicing and the
recognition of revenue, the record-high
customer invoicing will continue to
boost the revenue performance of the
recruitment business in the first half
of 2022. Our recruitment portals listed
850,000 vacancies in 150,000 companies
in 11 countries during the year. The total
number of visitors to our portals was 80
million and the number of job alerts was
20 million.
In the Alma Talent segment, revenue in-
creased by 4.8%. We reached a new mile-
stone in digital business when its share
of of the segment’s revenue exceeded
55%, with the rate of growth being 23.8%.
The development of digital services was
strong and advertising recovered sig-
nificantly compared to the previous year.
The popularity of digital housing trans-
actions grew rapidly. In November 2021,
for example, a third of all transactions for
shares in housing companies facilitated
by real estate agents were carried out
digitally.
Employee satisfaction
is at a record-high
level. The team is in
good shape to take
on the challenges
presented by 2022.
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 5ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
The impacts of the COVID-19 pandemic lessened in 2021
The demand for up-to-date and reliable
information remained high. Media audienc-
es were large and media content included
news on coping with the crisis.
Alma Media’s special working group mon-
itored the development of the pandemic.
Internal communication, updated safety
guidelines, occupational health-related
guidelines and support for supervisory
work were actively provided. Employee
well-being was monitored and attention
was paid to psychological coping and the
ergonomics of remote work.
The restrictions on movement introduced
to prevent the spread of the COVID-19
pandemic and the remote work model for
employees also led to a low level of com-
pany car use, flying and business travel.
Office utilisation rates remained low, which
kept the company’s electricity consump-
tion lower than normal. The reduced trans-
port, delivery and mobility, combined with
the low utilisation rate of business prem-
ises, reduced the emissions generated by
the company’s own operations and the
subcontracting chain, which are discussed
in more detail in our sustainability report.
Restrictions on business activities had a
negative impact on the economic oper-
ating conditions of companies but, at the
same time, these effects were compensat-
ed by various financial support packages
offered by public institutions.
Business impacts of the
COVID-19 pandemic
While the COVID-19 situation changed
as the year went on, its overall impact on
Alma Media’s business was substantially
lower than in the previous year. Vaccina-
tion coverage in our operating countries
increased in the second half of the year, but
the pandemic then accelerated again in the
late autumn.
Consumers have spent some of the sav-
ings they have accumulated during the
COVID-19 pandemic on consumer dura-
bles. The demand for construction and
renovation products has been particularly
strong, which has been reflected in our
housing-related marketplaces, for example.
Customer activity in new recruitment and
replacement recruitment increased sub-
stantially compared to the previous year.
The gradual recovery seen in the first half
of the year eventually turned to substantial
growth, and the COVID-19 pandemic had a
lessened impact on the operations of Alma
Career’s client companies in the second
half of the year in spite of shutdowns
imposed by the authorities. The delay be-
tween invoicing and the recognition of rev-
enue had a negative effect on the revenue
performance of the recruitment business
in the first quarter of 2021, but the growth
of demand in the recruitment business
was reflected in strong growth in customer
invoicing in the latter part of the year.
Advertising revenue increased in spite of
uncertainty, especially in housing and mo-
bility. The information needs related to the
COVID-19 pandemic kept up the demand
for up-to-date and reliable information,
and Alma Talent’s digital content sales
remained strong.
The event business was contracted due to
COVID-19 restrictions and training activ-
ities were moved to digital channels. The
COVID-19 pandemic has boosted remote
learning and led to increased demand in
the online training business.
Advertising saw a strong re-
covery from the previous
year’s COVID-19 slump, al
-
though uncertainty remained.
Consumers spent some of the
savings they have accumulated
during the pandemic on consum
-
er durables, such as housing and
renovation.
Corporate customers were
active in recruitment.
COVID-19 precautions were
continued to safeguard custom
-
er health and well-being.
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 6ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
2.4
-1.8
-8.0
19.6
-10
-5
0
5
10
15
20
25
2018 2019 2020 2021
Reported
Target-level 5%
%
Revenue growth
275
MEUR
Revenue
542
tCO2e
Scope 1 and Scope
2 emissions
1,550
excluding telemarketers
Number of employees
31 December 2021
61
MEUR
22%
0.53
EUR
35%
Adjusted operating
profit
Adjusted operating
profit %
Earnings per share
Equity ratio
Key figures
77%
Share of digital business of
revenue
0.0
0.3
-0.2
2.3
-0.5
0.0
0.5
1.0
1.5
2.0
2.5
3.0
2018 2019 2020 2021
Reported
Target-level <2.5
Net Debt / EBITDA ratio*
18.7
19.8
19.7
22.2
0
5
10
15
20
25
2018 2019 2020 2021
Reported
Target-level 20%
%
Adjusted operating profit margin
* Return on investment for 2020 includes the gain recognised on the sale of the regional media business.
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 7ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Alma Media in brief
Alma Media
operates in
11 European
countries.
Alma Media is a highly innovative media company focusing on
digital services and journalistic content. The company builds
sustainable growth from media to services, providing content
and services that benefit users in their everyday lives, work
and leisure time. Our products are leading media and service
brands in their respective fields. Our best-known brands include
Kauppalehti, Talouselämä, Iltalehti, Nettiauto, Etuovi.com and
Monster.
Alma Media has employees in 11 European countries. In Finland,
our business operations include financial and professional
media, national consumer media, digital consumer and business
services, training and the publishing of professional literature.
Alma Media’s international business in Eastern Central Europe,
Sweden and the Baltic countries consists of recruitment
services, an online marketplace for commercial properties and
direct marketing services.
Sustainability is part of day-to-day work at Alma Media. The most
significant sustainability impacts of Alma Media’s business are
related to the media content published by the company and
digital services as enablers of responsible choices by consumers
and professionals. A high standard of data security and data
privacy and the responsible processing of data are important
cornerstones of our business. The themes of our sustainability
efforts include creating a better future for young people, good
working life and climate change mitigation.
Alma Media’s share is listed on Nasdaq Helsinki.
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 8ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Why invest in Alma
Media?
Juha Nuutinen, Chief Financial
Officer, Alma Media
1.
Successful digital transformation
Our strategic focus has been on creating
profitable digital growth and we have a
strong track record of creating profitable
growth. We have made excellent prog-
ress in our transformation from a printed
newspaper publishing business to a
digital media, marketplaces and service
company. Digital business now accounts
for nearly 80% of our revenue. Our digital
business models are cost-efficient and
scalable and they have enabled expan-
sion into additional services in various
verticals, such as recruitment services,
housing and the automotive segment.
The use of digital business models and
data has enabled us to strengthen syn-
ergies between media, the marketplaces
business and digital services.
2. 3.
Leading market position and brands
Our products are the leading media and
service brands in their respective target
groups and they have a strong market
position. In the recruitment business,
we are the market leader in several
countries in Eastern Central Europe.
In Finland, our financial media, such as
Kauppalehti and Talouselämä, and our
national news media brand Iltalehti,
have a combined reach of approximately
80% of all Finns. Our services include
the leading housing and automotive
marketplaces Etuovi.com, Nettiauto and
Autotalli.com. In addition, we offer pro-
fessionals and businesses a comprehen-
sive range of content related to compa-
ny information, real estate information,
law, financial management, competence,
leadership and marketing. For adver-
tisers, we offer Finland’s largest digital
advertising network.
Solid financial position
Our cost-efficient business model does
not tie up a lot of capital. Our agile busi-
ness model and profitable growth pro-
vides us with a strong financial position
in spite of an increase in debt due to ac-
quisitions. Our return on equity was 24%
in 2021 and our liquidity is good. Alma
Media’s good dividend payout capacity
is based on the Group’s ability to gener-
ate strong and stable cash flow. Our goal,
on average, is to distribute more than
half of our profit for each financial year
as dividends.
0
2
4
6
8
10
12
14
Share price development
EUR
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 9ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
for the financial year 2021. The dividend
will be paid to shareholders who are
registered in Alma Media Corporation’s
shareholder register maintained by Eu-
roclear Finland Ltd on the record date, 31
March 2022.
Important dates related to the
Annual General Meeting and
dividend payment in 2022
17 Mar Record date for the Annual
General Meeting
29 Mar Annual General Meeting
30 Mar Proposed ex-dividend date
31 Mar Proposed record date of
dividend payment
7 Apr Proposed dividend pay-
ment date
Financial reporting calendar in
2022
16 Feb Financial Statements Bulle-
tin 2021
22 Apr Interim Report January–
March 2022
20 Jul Half-Year Report January–
June 2022
20 Oct Interim Report January–
September 2022
Information for shareholders
ALMA MEDIA AS AN INVESTMENT
Annual General Meeting
Alma Media’s Annual General Meeting
will be held on 29 March 2022 at 12:00
noon.
Attendance
Due to the COVID-19 pandemic, it is not
possible to attend the meeting on site.
The company’s shareholders and their
representatives may attend the meeting
and exercise their shareholder rights only
by voting in advance and by submitting
counter-proposals and questions in ad-
vance.
It is possible for shareholders and their
representatives to follow the Annual
General Meeting on the company web-
site at www.almamedia.fi/en/investors/
governance/general-meeting/2022. Those
who follow the Annual General Meeting
in this manner will not be considered to
be in attendance at the AGM, and they will
therefore not have the opportunity to ask
questions or vote during the AGM.
The Board of Directors’ dividend
proposal
Alma Media’s Board of Directors propos-
es to the Annual General Meeting that a
dividend of EUR 0.35 per share be paid
KEY INFORMATION ABOUT ALMA MEDIA’S SHARE
MARKET Nasdaq Helsinki
Ltd
SECTOR Media
TRADING CODE ALMA
ISIN CODE FI0009013114
2021
MARKET CAPI
TALISATION
MEUR 891.4
HIGH EUR 12.70
LOW EUR 8.42
CLOSING EUR 10.82
Alma Media applies a 30-day silent period
before the publication of the financial
statements bulletin, half-year reports and
interim reports.
Up-to-date information on Alma Media
and the financial calendar is available on-
line at www.almamedia.fi/en/investors.
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 10ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Report by the Board of Directors Drivers of change in the operating environment
SOCIETY AND THE ECONOMY
• The broad-based economic re-
covery in our operating countries
influences advertising spending,
employment and the demand for
recruitment services
• Higher inflation increases cost pres-
sures
• Consumers expect higher standards
of sustainability from companies
• The green transition accelerates the
pricing of climate risks
• In Finland, structural challenges in
the economy dampen the long-term
economic growth prospects
MARKETING AND ADVERTISING
• The automation of advertising and
marketing takes over the industry
• The significance of new forms of
digital advertising, such as content
marketing, increases
• The role of commerce platforms
grows, which influences sales and
marketing ecosystems in various
verticals
• The significance of cookie-based
marketing decreases and the role
of contextual targeting grows
TECHNOLOGY AND DATA
• The significance of technology
and automation increases across
all businesses and processes
• Data ownership and data-driven
development are key drivers of
business success
• The ownership of first-party data
becomes increasingly important
REGULATION
• The regulatory environment be-
comes stricter and more complex,
particularly with regard to data
privacy, the processing of personal
data and ePrivacy
• Consumer protection improves,
which also leads to increased
transparency obligations for com-
panies
• The development of regulations at
the EU level requires continuous
monitoring, reporting and actions
from companies
RECRUITMENT
• The competition for professionals
accelerates and becomes more
global – there is a worldwide
shortage of technology specialists
• Remote work, freelancing and
temporary work increase
• There is a shift from an employ-
er-driven market to an jobseek-
er-driven market
• Labour mobility grows in the EU
• Digitalisation accelerates retrain-
ing and competence development
HOUSING
• Rental housing becomes increas-
ingly common
• The housing ecosystem becomes
digital and the use of electronic
transactions increases quickly
• In construction and housing, re-
ducing the carbon footprint and
sustainable development contin-
ues to increase in significance
CARS AND MOBILITY
• Digitalisation changes mobility
and the automotive trade
• Alternative fuel vehicles grow in
significance in the automotive
trade
• The sharing economy grows in
this area
MEDIA
• Paid content grows in popularity
• There is a growing need for reli-
able, fact-based information
• Competition in the advertising
market intensifies
• News media production becomes
more data-driven and automa-
tion-driven
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 11ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Description of the operating
environment
Market situation in the main markets
According to Kantar TNS, the total ad-
vertising volume in Finland increased
by 13% in 2021 (-16.6%) and amounted to
MEUR 1,276. The total volume exceeded
the level of 2019.
Online media advertising, excluding
search engines, increased by 21% (4.2%)
to MEUR 189.3. Advertising in print
newspapers increased by three per cent
in Finland (-26.3%). Advertising in print
magazines decreased by exactly three
per cent (-18.7%) in January–December
2021. In terms of volume, the market for
afternoon papers in Finland declined by
9.5% (-17.1%) in 2021.
In addition to Finland, Alma Media’s
main markets are the Czech Republic
and Slovakia in Eastern Central Europe.
The European Commission published its
latest GDP forecasts in November 2021.
According to the forecast, Finnish GDP
growth (3.4% in 2021) will slow down to
2.8% in 2022. In December, the Ministry
of Finance estimated that the unemploy-
ment rate in Finland in 2021 was 7.6%,
but predicted that this figure will fall to
6.7% in 2022. The number of vacancies
is higher than ever in Finland but, at the
same time, long-term unemployment
remains high.
The European Commission estimates
that the Czech GDP grew by 3.0% in 2021
and predicted growth of 4.4% in 2022.
The Czech National Bank estimates that
the unemployment rate (ILO) was 3.1% in
2021, with a decrease to 2.9% predicted
for 2022. The European Commission es-
timates that Slovakia’s GDP grew by 3.8%
in 2021 and will grow by 5.3% in 2022. The
National Bank of Slovakia estimates that
the unemployment rate was 6.8% in 2021,
with a decrease to 6.6% predicted for
2022.
According to forecasts, the period of
rapid growth will level off in 2022, but
the overall economic picture in our
operating countries appears fairly stable
in spite of the increased uncertainty
caused by increasing labour shortages,
inflation and production costs, the grad-
ual normalisation of stimulating mone-
tary policy on the part of central banks,
geopolitical tensions, the COVID-19
pandemic and new variants of the virus.
REVENUE
MEUR
2021
Q1–Q4
2020
Q1–Q4
Change
%
Alma Career 82.2 62.7 31.0
Alma Talent 99.7 95.1 4.8
Alma Consumer 94.5 69.9 35.2
Segments total 276.4 227.7 21.4
Non-allocated operations -0.9 2.5 -137.6
Total 275.4 230.2 19.6
116.4
101.9
57.1
Marketplaces
Media
Services
Revenue split 2021
MEUR
Finland, 69% (18.6%)
Croatia, 3% (51.9%)
Sweden, 2% (-41.3%)
Slovakia, 5% (34.3%)
Baltics, 5% (32.9%)
Czech Rep., 17% (23.6%)
Other, 1% (6.6%)
Revenue split geographically 2021
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 12ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
ADJUSTED ITEMS
MEUR
2021 2020
Alma Career
Restructuring -0.1
Gains (losses) on the sale of assets 0.9
Alma Talent
Impairment losses -0.3
Restructuring -0.7
Gains (losses) on the sale of assets 0.0 -2.2
Alma Consumer
Items recognised through profit or loss
arising from business acquisitions -0.4 0.1
Non-allocated
Transaction costs of divested and
acquired businesses -4.1
Gains (losses) on the sale of assets 0.2
Adjusted items in operating profit -4.3 -2.3
Adjusted items in profit before tax -4.3 -2.3
Group revenue and result in 2021
Revenue grew by 19.6% to MEUR 275.4
(230.2). Acquired and divested business-
es had an effect of MEUR 16.7 on revenue.
Organic growth, excluding acquisitions
and divestments, was 12.6%.
The growth of revenue from the market-
places business was attributable to the
strong recovery of recruitment demand,
the growth of the housing market and
the Nettix acquisition. Media revenue
was increased by the continued favour-
able development of digital content
revenue as well as the strong recovery of
advertising. The growth of service rev-
enue was supported by acquired busi-
nesses and the positive development of
digital services during the review period.
Adjusted operating profit was MEUR
61.1 (45.4), or 22.2% (19.7%) of revenue.
Operating profit was MEUR 56.8 (43.1), or
20.6% (18.7%) of revenue. The operating
profit includes net adjusted items in the
amount of MEUR -4.3, consisting of gains
and losses on the sale of assets, as well
as transaction costs related to acquisi-
tions. The adjusted items in the com-
parison period were related to the loss
recognised on the sale of Alma Talent’s
Swedish media business, impairment
losses, restructuring costs and items
recognised through profit or loss arising
from acquisitions achieved in stages.
ADJUSTED OPERATING PROFIT/LOSS
MEUR
2021
Q1–Q4
2020
Q1–Q4
Change
%
Alma Career 30.0 20.6 45.9
Alma Talent 20.6 16.2 26.5
Alma Consumer 23.9 15.0 59.4
Segments total 74.5 51.9 43.7
Non-allocated operations -13.4 -6.5 107.1
Total 61.1 45.4 34.7
Total expenses increased by MEUR 29.6
due to acquisitions and investments in
human resources and marketing. De-
preciation and impairment included in
the total expenses for the year amount-
ed to MEUR 16.7 (15.8). Profit came to
MEUR 44.3 (33.3).
Revenue increased
by
19.6%
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 13ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Balance sheet and financial
position
At the end of December 2021, the consol-
idated balance sheet stood at MEUR 518.4
(333.9). The Group’s equity ratio at the
end of December was 34.7% (63.1%), and
equity per share was EUR 1.99 (2.23). Cash
flow from operating activities amounted
to MEUR 75.6 (56.0) in 2021. Cash flow from
operating activities improved year-on-year
thanks to the improved operating profit
and lower working capital. The most signif-
icant investments in 2021 were the redemp-
tion of the minority interests in Alma Career
Oy and Etua Oy, as well as the acquisition of
shares in Nettix Oy, Netello Systems Oy and
Quantiq s.r.o. Cash flow before financing
was MEUR -162.3 (27.6) in 2021.
In December 2021, Alma Media concluded
an interest rate hedging agreement with
a nominal value of MEUR 50. The interest
rate hedging agreement is a four-year fixed
interest rate swap that will commence in
two years’ time.
At the end of December 2021, the Group’s
interest-bearing debt amounted to MEUR
233.7 (38.9), consisting of a long-term loan
and lease liabilities. Interest-bearing net
debt totalled MEUR 181.8 (-9.1).
In December 2021, Alma Media signed a
new MEUR 200 Term Loan financing facility.
This replaced the temporary Bridge Facility
agreement that was in place for financing
acquisitions. The new agreement has a
maturity of 36 months. The new financing
arrangement also includes a MEUR 30
revolving credit facility (RCF). The facility
can be used for the Group’s general financ-
ing purposes. The revolving credit facility
has a maturity of four years. The financing
arrangement includes the usual covenants
concerning the equity ratio and the ratio
of net debt to EBITDA. The Group met the
covenants on 31 December 2021.
Alma Media has a commercial paper pro-
gramme of MEUR 100 in Finland. The com-
mercial paper programme was unused on
31 December 2021.Alma Media had MEUR
0.2 in financial assets created in conjunc-
tion with business combinations measured
at fair value and recognised through profit
or loss, and MEUR 16.8 in financial liabili-
ties measured at fair value and recognised
through profit or loss.
Capital expenditure
Alma Media Group’s capital expenditure in
2021 totalled MEUR 247.1 (91.4). The capital
expenditure consisted of the acquisitions
of Nettix Oy and Netello Systems Oy as
well as normal operating and maintenance
investments.
Research and development costs
The Group’s research and development
costs in 2021 totalled MEUR 4.6 (MEUR 4.6).
MEUR 3.6 (MEUR 3.2) was recognised in
the income statement, and development
costs of MEUR 1.0 (MEUR 1.4) were capital-
ised on the balance sheet in 2021. There
11.7 %
-4.5 %
109.2 %
23.7
- 9.1
181.8
-100.0 %
-50.0 %
0.0 %
50.0 %
100.0 %
150.0 %
200.0 %
250.0 %
Q4/19 Q1/20 Q2/20 Q3/20 Q4/20 Q1/21 Q2/21 Q3/21 Q4/21
MEUR
Gearing Interest-bearing net debt
Interest-bearing net debt and gearing, including discontinued operations
17.3
15.3
24.5
71.8
56.0
75.6
0
20
40
60
80
100
Q4/19 Q1/20 Q2/20 Q3/20 Q4/20 Q1/21 Q2/21 Q3/21 Q4/21
MEUR
Net cash flow from operating activities
Net cash flow from operating activities, rolling 12 months
Net cash flow from operating activities, MEUR,
including continuing and discontinued operations
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 14ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
were capitalised research and develop-
ment costs totalling MEUR 2.2 (MEUR 2.0)
on the balance sheet on 31 December
2021.
Business segments in 2021
Alma Media’s new segment structure
entered into effect on 1 March 2021. Alma
Media also changed its revenue reporting
by distributing revenue between mar-
ketplaces, media and service revenue.
As part of the transition to a new seg-
ment structure, the Alma Mediapartners
services that were previously reported as
part of the Alma Markets business seg-
ment are now reported under the Alma
Consumer business segment. In con-
nection with the change, the name Alma
Markets was changed to Alma Career.
Alma Media’s reportable segments con-
sist of Alma Career, which focuses on the
recruitment business and recruitment-re-
lated services in Eastern Central Europe
and Finland; Alma Talent, which provides
financial media and services aimed at
professionals and businesses; and Alma
Consumer, which focuses on the con-
sumer media and marketplaces business.
Centralised services produced by the
Group’s parent company, as well as cen-
tralised support services for advertising
and digital sales for the entire Group, are
reported outside segment reporting. The
Group’s reportable segments correspond
to the Group’s operating segments.
Alma Career
The Alma Career segment’s revenue
increased by 31.0% to MEUR 82.2 (62.7) in
2021. Acquired businesses had an effect
of MEUR 0.2 on revenue. Revenue and
operating profit declined in the first quar-
ter, but a turnaround seen in the second
quarter was followed by strong growth for
the remainder of the year as the demand
for recruitment services improved.
In 2021, total expenses increased by 22.7%
to MEUR 52.4 due to higher employee and
marketing expenses.
The adjusted operating profit was MEUR
30.0 (20.6). The adjusted operating profit
was 36.6% (32.8%) of revenue. The seg-
ment’s operating profit was MEUR 30.0
(21.4). No adjusted items were reported in
2021. The adjusted items in the compar-
ison period were related to the restruc-
turing of operations, a gain on the sale
of an associated company, and an item
recognised in profit or loss arising from
an acquisition achieved in stages.
Alma Talent
The Alma Talent segment’s revenue
increased by 4.8% to MEUR 99.7 (95.1) in
2021. Digital business accounted for 55.4%
(46.9%) of the segment’s revenue. The
rate of organic digital growth was 18.0%.
Talent Media’s content revenue grew by
2.9%, which was attributable to a 24.8%
increase in digital content revenue that
exceeded the 10.8% decline in print me-
dia revenue. Advertising revenue grew by
8.5% particularly due to the strong 26.0%
growth of digital advertising. The share of
digital business in media exceeded 50%,
while the operating profit margin exceed-
ed 20%.
The revenue of Talent Services increased
by 18.9% and its adjusted operating profit
improved by 20.9%. The factors under-
pinning the good performance included
acquisitions and organic growth in all
businesses except book sales. Digital
business represented 83.2% (77.1%) of
Alma Talent’s services. Revenue from
continuous invoicing increased by 29.1%
and organic revenue growth was 9.0%.
Continuous invoicing represented 70.6%
of revenue.
Revenue from direct marketing grew
by 2.8% year-on-year, and profit perfor-
mance was good.
The segment’s adjusted total expenses
amounted to MEUR 79.6 (78.9). The Alma
Talent segment’s adjusted operating
profit was MEUR 20.6 (16.2), and operating
profit was MEUR 20.5 (13.1). The adjusted
item in 2021 was related to a loss on the
sale of an asset. The adjusted items in
the comparison period were related to
operational restructuring, impairment,
losses on the sale of assets, and an item
recognised in profit or loss arising from
an acquisition achieved in stages.
Alma Consumer
The Alma Consumer segment’s reve-
nue grew by 35.2% to MEUR 94.5 (69.9).
Acquired businesses contributed MEUR
17.8 to the increase in revenue. Digital
business accounted for 81.0% (75.3%) of
the segment’s revenue.
Organic revenue growth in the housing
business area was 14.4%. Growth was
achieved in all business areas, with clas-
sified advertising, advertising on Etuovi.
com and Vuokraovi.com and housing
systems performing particularly well.
The recruitment
business and
advertising
performed
particularly well
FINANCIAL
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THE YEAR
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CORPORATE
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REPORT 15ANNUAL REPORT 2021
SUSTAINABILITY
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The growth in revenue from the auto-
motive, mobility and comparison service
business areas was mainly attributable to
the acquisition of Nettix Oy.
Revenue from the media business
increased by 17.1%. Digital advertising
saw particularly strong growth of 25.7%
and totalled MEUR 29.5. The retail and
automotive sectors boosted the growth
of advertising.
Iltalehti became Finland’s largest news
media in the autumn. It has a larger
readership than any other newspaper
in Finland: its online and print versions
had a total of 2,880,000 weekly readers
according to the Finnish National Read-
ership Survey (NRS). The Iltalehti Plus
service was launched in the summer.
In the paid pilot, readers gain access to
all of Iltalehti’s content. The subscriber
base of the service increased rapidly in
the latter part of the year.
The segment’s total expenses increased
by 29.3% to MEUR 71.0 (54.9). The seg-
ment’s adjusted operating profit was
MEUR 23.9 (15.0), or 25.3% (21.5%) of
revenue. The segment’s operating profit
was MEUR 23.5 (15.1). The adjusted items
in 2021 were related to losses on the sale
of a business. The adjusted items in the
comparison period were related to items
recognised through profit or loss arising
from acquisitions achieved in stages
and a loss recognised on the sale of a
business.
Alma Media’s strategy
The foundation of Alma Media’s strategy
is built on the following choices: 1) the
digital transformation of the core busi-
ness, 2) growth through digital business,
and 3) internationalisation.
Alma Media creates sustainable growth
by taking advantage of the opportunities
presented by the digital transformation.
The objective is to increase sharehold-
er value through revenue growth and
improved profitability. Alma Media is
developing and expanding its current
business operations and seeking growth
opportunities in new businesses and
markets. The company will remain on the
path of internationalisation. In addition
to organic growth, the improvement of
profitability will be accelerated by acqui-
sitions.
Alma Media’s strategy during the year
under review included responding to the
changes in media consumption and the
growing demand for digital service by
providing content and services that are
of value to users in their daily life, work
and free time. The strategic priorities in-
cluded growing the marketplaces busi-
ness in Finland and internationally, ex-
panding the Group’s professional media
and services aimed at professionals as
well as developing national multi-chan-
nel consumer media and services.
Alma Media’s strategy
implementation during the review
period
The Group continued the internation-
alisation of the recruitment business,
focusing on Eastern Europe and the
Balkans. The COVID-19 pandemic has
accelerated the ongoing digitalisation
process and increased the demand
for related services and solutions. The
change presents new digital business
opportunities in areas such as the sub-
scription business, housing and property
transactions, online professional training
and online buying.
One key element of the Group’s strategy
is the continued expansion from content
generation and advertising in media and
marketplaces towards new digital prod-
ucts and services that address customer
needs and cover the entire value chain,
ranging from sales systems to transac-
tions. At the same time, the company will
establish partnerships to participate in
broad and seamless digital service eco-
systems in the recruitment, housing and
automotive verticals, for example.
One example of a new kind of partnership
is the expanding cooperation launched
during the period under review between
the equity analysis provider Inderes and
Alma, which covers the provision of Inde-
res’ analyses to Kauppalehti’s digital sub-
scribers, the distribution of investor event
webcasts and investor events. The aim is to
satisfy equity investors’ growing demand
for information and improve awareness
of Finnish listed companies. In the third
quarter, Alma and Inderes organised
Equity Investor Week, a series of virtual
events focused on equity investing that
garnered over 35,000 views during the
week-long event. The new digital concept
provided the audience with a comprehen-
sive overview of 39 listed companies as
investments, presented by key individuals
from the companies in question.
77%
of Alma Media’s
revenue is derived
from digital
business
FINANCIAL
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REPORT BY THE
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THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 16ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
As a media company, Alma Media plays
a central role in building an increasingly
sustainable society. The Group’s media
and services play important roles in miti-
gating climate change and changing the
way society operates with regard to sup-
porting diversity and social engagement
in working life, for example. The Group’s
digital services enable consumers to
make lower-emission and more ener-
gy-efficient choices when buying a home
or a car, for instance. Alma Media aims to
combine sustainability, strategic competi-
tive advantage and creating new business
based on corporate responsibility.
Alma Media has undergone a signifi-
cant transformation over the course of a
few years as the Group has divested its
regional media and printing business and
invested in the digital marketplaces busi-
ness. For this reason, Alma Media’s Board
of Directors decided during the review
period to set new long-term financial
targets for the Group concerning busi-
ness growth, profitability and financial
solidity. The targets are based on our view
of changes in the operating environment,
the competitive landscape and the prog-
ress of the transformation strategy.
New long-term financial targets were
adopted in the third quarter. They are as
follows:
• Growth: annual revenue growth of
more than 5%
• Profitability: adjusted operating prof-
it margin of more than 20%
• Financial solidity: net debt/EBITDA
less than 2.5
The competitive situation in Alma Media’s
operating environment is expected to
intensify further during the strategy peri-
od 2021–2023. The international platform
giants have strengthened their position
in several sectors, such as advertising
and the marketplaces business. Local
competition is also expected to increase
in Alma Media’s operating countries. The
impact of smaller niche operators that fo-
cus on narrow fields and disrupt existing
business models is already apparent in
several markets.
Alma Media has identified four strategic
focus areas with respect to the devel-
opment of its existing businesses: 1)
audience acquisition, engagement and
monetisation, 2) the development of
marketing solutions, 3) cooperation to
achieve economies of scale, and 4) the
commercialisation of data.
In addition to organic growth, Alma Media
actively seeks new business opportuni-
ties through acquisitions. The Group is
growing and diversifying its product port-
folio by expanding from media to market-
places business and digital services.
The demand for digital media and digital
services is expected to continue to grow.
The digitalisation of services and the
ecosystems they create is expected to
accelerate, and sales and purchases will
continue to move to digital marketplaces.
Electronic commerce is also expected to
accelerate in the automotive and housing
segments. Data, analytics, machine learn-
ing and automation will become increas-
ingly important, which calls for increasing
investments in technology.
As regards the economy and society,
we are already looking forward to the
post-pandemic period. We expect labour
markets to perform well during the strat-
egy period and we also expect intensify-
ing competition for labour – and acceler-
ating wage inflation – in at least some of
our operating countries.
The acquisition of Nettix Oy and
other acquisitions and divestments
by the Group
In March 2021, Alma Media signed an
agreement to acquire Nettix Oy’s entire
share capital from Otava Group. The
enterprise value of the acquired busi-
ness was MEUR 170. Nettix Oy’s busi-
ness consists of Finland’s leading motor
vehicle marketplaces, such as Nettiauto,
Nettikone and Nettimoto. In addition,
Nettix consists of Konepörssi, the leading
professional media for the machine and
transport business, and the news service
Ampparit. The acquisition of Nettix is a
continuation of Alma Media’s strategy
that concentrates on digital media and
INTERNATIONALISATION
• Expanding to new geographical regions to accelerate
growth and reduce dependence on Finland’s economic
development.
• Expanding business operations in the current geographical
regions
TRANSFORMATION OF
THE CORE BUSINESS
• Further expansion of operations from media to marketplaces
and digital services
• Accelerating the digital transformation of print media
• Strengthening cooperation and synergies within the Group
and the business segments
• Divestment or discontinuation of unprofitable businesses
DIGITAL GROWTH
• Developing marketplaces towards digital commerce
platforms
• Expanding in the value chain to new business areas that
complement the existing businesses
• Increasing the share of revenue represented by continuous
invoicing and expanding to transaction-based revenue.
• Developing world-class digital capabilities
FINANCIAL
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REPORT BY THE
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THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 17ANNUAL REPORT 2021
SUSTAINABILITY
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services. Nettix complements Alma Me-
dia’s marketplaces business in Finland,
especially in automotive and mobility-re-
lated services, presenting opportunities
for cross-selling and additional sales and
the sharing of best practices between the
services. It also opens up new business
opportunities in rental and leasing activ-
ities, for example. A total of 39 Nettix Oy
employees (converted to full-time em-
ployees) were transferred to Alma Media
effective from 1 April 2021. Alma Consum-
er’s product portfolio consists of digital
comparison services aimed at consumers
that have synergies with media and other
services.
In April 2021, Alma Media acquired the
remaining share capital to become the
full owner of Etua Oy, a company offering
competitive tendering services for loans
and insurance. Alma Media Corporation
previously held a 60% stake in Etua Oy.
Established in 2008, Etua.fi is the lon-
gest-operating loan comparison service
in Finland. The company is a housing loan
agent registered by the Financial Super-
visory Authority. The Etua.fi service allows
users to compare consumer credits and
housing loans. The company works in
co-operation with over 25 financial sector
companies and forwards the loan appli-
cations submitted through the online
service to its partners. To date, Etua.fi has
served hundreds of thousands of Finns in
their daily financial affairs.
To strengthen Alma Media’s centralised
advertising sales capabilities in Alma
Media Solutions’ SME digital advertising
market, Alma Media acquired 60 per cent
of the share capital of Netello Systems Oy
during the review period. Established in
1999, Netello Systems Oy provides SMEs
with highly effective search engine opti-
misation (SEO) and solutions and related
services, such as conversion rate optimi-
sation (CRO), search engine marketing
(SEM) and web design.
In October, Alma Media Corporation sold
its shareholding in KPK Yhtiöt Oyj (for-
merly Keski-Pohjanmaan Kirjapaino Oyj)
to Ilkka-Yhtymä. The transaction con-
cerned the 24,379 series A shares held by
Alma Media Corporation, corresponding
to 5.6 per cent of KPK Yhtiöt Oyj’s share
capital and 0.5 per cent of votes.
Alma Media’s business segment
strategies and their implementation
during the year
Alma Career
• Leading recruitment services in East-
ern Central Europe, for example Jobs.
cz, Prace.cz, Profesia.sk, MojPosao.
net and MojPosao.ba and, in Finland,
Monster.fi.
• The Seduo online training service and
the mobile service Prace za rohem.
• Operates in Finland and nine other
European countries.
The recruitment-related services Jobs.
cz, Prace.cz, CVonline.ee, CVonline.lv,
CVonline.lt, Profesia.sk, MojPosao.net,
MojPosao.ba and Monster.fi are report-
ed under the Alma Career segment. In
addition to enhancing job advertising,
the segment’s objective is to expand the
business into new services to support
the needs of job-seekers and employers,
such as job advertising-related technolo-
gy, digital staffing services and training.
Alma Career’s strategy in the recruitment
business includes expanding the cus-
tomer base and business from traditional
recruitment advertising to new com-
plementary services in response to the
recruitment needs of customers.
In businesses related to job advertising,
the focus is on making the services more
attractive and enhancing their compet-
itiveness by sharing know-how, tech-
nology and best practices between the
Alma Career countries. Potential areas
of growth in the recruitment business
include: 1) disruptive technologies and
services related to recruitment advertis-
ing, 2) digital HR services and 3) profes-
sional training.
Alma Career Oy was transferred entirely
to Alma Media’s ownership during the
review period. Alma Media acquired Mon-
ster Worldwide Scandinavia AB’s 16.66
per cent minority shareholding in Alma
Career. The purchase price for the shares
was MEUR 58.5, which was based on the
debt-free enterprise value of the entire
share capital of the Alma Career Group.
Simplifying the ownership structure
clarifies and supports the development
of Alma Career’s recruitment business in
accordance with Alma Media’s strategy.
Alma Career Oy has operated as the par-
ent company of the Alma Career Group,
which includes recruitment companies in
ten European countries.
Alma Career Oy’s subsidiary LMC s.r.o ac-
quired the Czech start-up Quantiq s.r.o in
January 2021. The company’s SaaS-based
recruitment service Techloop.io is target-
ed at IT professionals and businesses.
The algorithm-based recruitment service
Techloop analyses job applications,
quickly and efficiently coordinating the
most viable applicants registered in the
service with known IT vacancies. Estab-
lished in 2016, Quantiq’s revenue in 2020
was approximately MEUR 0.3.
Alma Media’s digital recruitment service
Monster.fi was redesigned during the
review period. The new service is the
first in Finland to offer a next-generation
service platform that takes into account
the applicant's abilities comprehensive-
ly; not only education, skills and experi-
ence, but also the applicant's individual
characteristics and social strengths,
such as people skills. The service plat-
FINANCIAL
STATEMENTS
REPORT BY THE
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THE YEAR
2021
CORPORATE
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REMUNERATION
REPORT 18ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
form’s algorithm-driven classification
enhances and accelerates recruitment
processes by providing increasingly
targeted search results.
Alma Talent
• Subscription-based digital content
media. In addition to the leading
financial media brand Kauppalehti,
Alma Talent’s financial and profes-
sional media include Talouselämä,
Tekniikka & Talous, Tivi, Mediuutiset
and Arvopaperi.
• Digital data, content and market-
place services. Alma Talent Services
offers professionals and businesses
a comprehensive range of informa-
tion and data related to company
information, real estate information,
law, financial management, compe-
tence development and leadership.
The services also include business
premises marketplaces in Finland
and Sweden as well as Digitaalinen
Asuntokauppa DIAS Oy, which is a
platform for digital housing transac-
tions.
• Suoramarkkinointi Mega provides
telemarketing services to customers
in various industries.
• Operates in Finland, Sweden and the
Baltics
Alma Talent’s business is divided into
two areas: financial and professional
media in Finland and various services for
companies and professionals. The aim
is to build an even stronger and more
integrated service offering to comple-
ment the profitable media business. The
segment seeks new growth opportuni-
ties in scalable and subscription-based
digital services targeted at professionals
and companies.
Examples of Alma Talent’s existing scal-
able services include:
• Analyser, which provides official com-
pany information, verified information on
companies’ decision-makers, adjusted
financial statements information and long
time series, Alma Talent’s news content
and signal data.
• The law-related services Suomen Laki.
com and Online Bookshelf, which include
current and continuously updated legis-
lation complete with interpretations and
comments.
• The digital housing transaction platform
DIAS, which connects buyers, sellers,
real estate agents and banks in a single
system. The platform is already used by
over 3,000 real estate agents and nearly
the entire Finnish mortgage market. Alma
Talent owns 80.5% of Digitaalinen asunto-
kauppa DIAS Oy.
During the period under review, Alma Me-
dia acquired a 25% stake in Suomen Tun-
nistetieto Oy, a company established in
2014. Its DOKS service helps companies
save costs and increase the efficiency of
routine activities related to establishing a
customer relationship. DOKS provides an
efficient and secure digital tool for identi-
fying customers, carrying out KYC proce-
dures and fulfilling obligations related to
the prevention of money laundering. The
service promotes the implementation of
good corporate governance practices,
the management of governance risks and
adherence to ethical business principles.
As a media company, Alma Media plays
a central role in building an increasing-
ly sustainable society, and Alma Media
aims to combine sustainability, strategic
competitive advantage and the creation
of new business based on corporate
responsibility.
As one example of the new additions to
the product offering related to sustain-
ability, Kauppalehti became the first
Finnish financial media channel to pro-
vide its subscribers with Sustainalytics’
service for rating the sustainability risks
of listed companies during the review
period. Part of the investment research
and investment management service
provider Morningstar, Sustainalytics is
a global analysis company that specia-
lises in ESG research, ratings and data.
Kauppalehti’s service covers ESG risk as-
sessments for the 25 largest companies
listed on the Helsinki Stock Exchange in
terms of trading volume. ESG risk ratings
help investors assess the potential im-
pact of financially material ESG (Envi-
ronmental, Social and Governance) risks
on a company’s value and the risk/return
profile of an investment.
Alma Consumer
• Iltalehti, a large Finnish nation-
al multichannel news media and
diverse lifestyle media that reaches
approximately 3 million Finns each
week nationally.
• Several digital consumer services,
such as Etua.fi, Telkku.com, Kotikok-
ki.net and Rantapallo.fi.
• Several mobility-related marketplac-
es for consumers, such as Nettiauto,
Nettimoto, Nettikone and Autotalli.
com.
• Profitably growing competitive
tender services: Urakkamaailma.fi.,
Muuttomaailma.fi, Autojerry.fi and
Katsastushinnat.fi.
• Operates in Finland
The business of the Alma Consumer
segment includes the multi-chan-
nel news and lifestyle media Iltalehti,
Finland’s leading housing marketplace
Etuovi and housing rental marketplace
Vuokraovi, the automotive marketplace
Nettiauto as well as the housing and
car trade systems that serve companies
representing these fields. The segment
also includes competitive tender and
comparison services, such as Autojerry,
Muuttomaailma, Urakkamaailma and
Etua.
FINANCIAL
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REPORT BY THE
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THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 19ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
The segment’s competitiveness is based
on the comprehensive reach of me-
dia and services as a digital network,
the user data pool, and the developing
industry verticals in the areas of media,
housing, cars and comparison services.
The focus of the strategy is on a strong
high-reach digital news media with a
growing and committed audience and
in whose readership the proportion of
registered users is growing.
Alma Consumer’s goals also include
strengthening digital services that involve
media synergies and make the daily life
or free time of consumers easier. This will
be achieved both organically and through
acquisitions. The business segment’s
strategy also includes promoting the
signed-on use of services on a quick
schedule and increasing paid editorial
content. Data collected with the consent
of registered users also provides versatile
targeting solutions for advertising.
In line with its strategy, Alma Consumer
continues to focus on digital media, dig-
ital advertising and digital services. New
growth areas in digital advertising include
developing the offering and content mar-
keting solutions.
As Alma Consumer focuses on housing
and automotive digital services, compar-
ison services and media, Alma Media’s
subsidiary Alma Mediapartners Oy and
Lemonsoft Oy agreed during the review
period on a business transaction in which
the construction and housing ERP system
Talosofta was transferred to Lemonsoft
Oy on 1 July 2021. Talosofta is a web-
based ERP system for small and medi-
um-sized operators in the construction,
renovation and technical building service
industries.
Alma Media Solutions
The Alma Media Solutions unit serves ad-
vertisers in the development, marketing
and sales of media sales products at the
Alma Media level. Its task is to apply itself
to customers’ marketing communications
challenges and also offer comprehen-
sive solutions outside the boundaries of
traditional media advertising. The unit’s
focus areas include content marketing
and data-driven solutions.
The strategic choices of Alma Media
Solutions include strengthening its posi-
tion in the SME advertising market, diver-
sifying service production in advertising
and improving the customer experience.
Alma’s media currently reach millions of
Finns every week. Online users consti-
tute a network that advertisers can use
to target their messaging at the relevant
target groups. For example, the use of
data and marketing automation makes
it possible to recommend relevant and
interesting content and subscription
products to subscribers and steer users
from one Alma network service to anoth-
er on a personalised basis. The strategic
initiatives are also aimed at improving the
customer experience and strengthening
user commitment to the Group’s media.
Success in the digital transformation of
media requires user identification and
the diverse use of user data. As the use of
data improves the personalisation of con-
tent, user registration is advantageous for
both consumers and the business. Alma
Media complies fully with data privacy
legislation with regard to signing on. Alma
ID, a common sign-on system for the
readers of Alma Media’s digital content
and the users of services, enables smooth
and secure switching from one service to
another in Alma’s digital network under
the single sign-on principle. The single
sign-on solution will be expanded to cov-
er all of Alma Media’s services in Finland.
The solution allows consumers to man-
age the collection and use of data related
to the use of services.
Statement of non-financial
information
This section describes Alma Media’s
sustainability-related activities in accor-
dance with Chapter 3a of the Finnish Ac-
counting Act (non-financial information).
The Group’s reporting of non-financial
information includes not only environ-
mental, social and ethical perspectives
but also the themes of sustainable media,
responsible journalism and responsible
marketing as well as data security and
data privacy, which are important aspects
of Alma Media’s digital business.
The reporting of non-financial informa-
tion complies, where applicable, with the
supplement concerning the reporting of
climate-related information. In sustain-
ability reporting, Alma Media observes
the principle of materiality. The Group
updated its materiality analysis in autumn
2021 based on an extensive stakeholder
survey, individual interviews, industry
analyses and expert workshops. More in-
formation on the development of sustain-
ability is provided in Alma Media’s Sus-
tainability Report 2021, which is drawn up
in accordance with the Global Reporting
Initiative (GRI) guidelines and adheres
to the Sustainable Accounting Standards
Board (SASB) reporting guidelines where
applicable.
Description of the business model
The company supports the development
of democratic society by producing
pluralistic, objective and high-quality
content as well as by providing useful,
secure and reliable digital services for
consumers and businesses. Alma Media’s
business operations consist of digital
marketplaces, media and services. The
Group’s reporting segments are Alma
Career, Alma Consumer and Alma Talent.
Alma Media Group also uses shared
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SUSTAINABILITY
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functions to pursue synergies between
businesses to increase the creation of
customer value.
Digital marketplaces and services consti-
tute a key area of Alma Media’s business.
They include services related to recruit-
ment, housing, cars and mobility, for
example. The customers of Alma Media’s
digital services include both companies
and consumers. The digital services
business model is based on customer
fees charged for classified advertising,
fees for increased visibility in classified
advertising, targeted media advertising,
service sales and subscription fees and
licence fees for the use of information
systems. The digital housing transaction
platform DIAS serves buyers and sellers
in the housing market and it was devel-
oped in collaboration with banks and real
estate agents. The Group’s other services
include information services, training
services, event services, digital marketing
services and the direct marketing busi-
ness.
The media business includes, for example,
the professional and financial media and
books published by Alma Talent as well as
the national consumer media published
by Alma Consumer. The media business
is based on the reach of the content and
the customer and reader relationship
between the audience and the media. The
strength of this relationship can vary from
occasional visitors or buyers of single
copies to the use of online services as
registered users of online services, paying
consumers of digital content and long-
term subscribers of print publications.
Alma Media’s media and services are the
best-known brands in their segments in
Finland and the Group’s operating coun-
tries in Eastern Central Europe. The pop-
ularity of these services among users is
based on a high level of usability, unique
content and the importance of the social
or communal dimension. Responding to
the needs of local customers is key to
success. In both the service business and
the media business, readers and online
visitors constitute target groups that are
characteristic to each brand. These target
groups are the basis for advertising sales.
These target group contacts are sold to
advertisers on a brand-specific basis and
as audience segments in the digital Alma
network.
Value creation
Alma Media’s purpose is to accelerate
the sustainable growth of individuals,
companies and society. The corner-
stones of our strategy are business
transformation, digital growth and
internationalisation. Alma Media's Value
creation model is based on marketplac-
es, media and services.
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SUSTAINABILITY
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1
Value creation model
• The effort and skills of 1500
employees in 11 countries
• Expertise in technology, digital
marketing and data
• 275 MEUR revenues in media,
digital marketplaces and in
services for consumers and
professionals
• Enabling sustainable choices
• 13.3% recurring revenues
• 84.8 MEUR in compensation
• Developing skills, talent and
careers
• Promoting diversity, equality and
inclusion
• Total Operating result 56.8 MEUR
• Dividends 29.0 MEUR
• 1.6 MEUR net interest paid to
financial credit institutions
• 75 MEUR taxes*
• Defending democracy, freedom
of speech and choice.
• Promoting market economy, and
digitalisation.
• Co-op with NGO’s
• Accelerating transition to low
carbon digital economy
• Low emission operations
• Invested capital 400 MEUR
• Investment 393 MEUR in 2016-
2021
• Alma Brand and over 100
content and service brands
• Advanced technology
• Customer and user data
• Carefully selected and well
managed network of business
partners
• Electricity and water
consumption at our offices and
data centers
• Paper consumption (for print
and publishing)
Human
Talent
Customers
Employees
Investors
Society
Environment
Financial
Capital
Technology &
intellectual
Property
Business
Partners
Natural
resources
RESOURCES IMPACT 2021
BUSINESS MODEL AND
SUCCESS DRIVERS
SUSTAINABLE DEVELOPMENT GOALS
Enriching and fostering
strong brands
Innovation-Driven
Sustainability
Customer
Retention
Talent
Management
Operatinal
excellence
Good
Governance
Smart Capital
Allocation
Digital
Innovation
MARKETPLACES
MEDIA
SERVICES
*Corporate tax, social security contributions and other taxes paid MEUR
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SUSTAINABILITY
REPORT
Description of the management of
non-financial information
Alma Media has a systematic sustainabil-
ity management method that includes
the necessary policies, processes,
management and organisation as well
as competence and communication.
The Group develops the sustainabil-
ity of its operations with a long-term
approach based on its Code of Con-
duct, guidelines and commitments, the
objectives outlined in its sustainability
programme and its SBTi climate targets
(science-based targets). Alma Me-
dia observes the principles of the UN
Global Compact initiative, the Universal
Declaration of Human Rights, the ILO
Declaration on Fundamental Principles
and Rights at Work and other essential
international human rights conventions
and recommendations. Alma Media de-
velops the sustainability of its operations
at various levels of the organisation as
part of day-to-day business.
The Group Executive Team assesses
the sustainability programme regular-
ly and the Board of Directors monitors
sustainability performance based on the
information reported by the manage-
ment. Unit-level management teams and
key individuals also play a key role by
making sustainability-related decisions
in the context of developing operations
and services. The Group Executive Team
discussed sustainability-related projects
extensively at its two strategy meetings
and common sustainability-related top-
ics at two other meetings. The members
of the Group Executive Team separately
discussed reporting and target setting
related to their areas of responsibility
in four other meetings. In 2021, Alma
Media’s Board of Directors discussed the
updating of the company’s sustainability
programme and the setting of new cli-
mate targets, and approved these in No-
vember. Alma Media’s corporate commu-
nications unit coordinates the progress
of the sustainability programme.
The cornerstones of Alma Media’s
sustainability programme are profitable
growth and a high standard of business
ethics, a future-fit workforce, environ-
mental responsibility, responsible media
and responsible marketplaces, and
digital services. Targets have been set
for each element of sustainability and
their achievement is monitored annually.
During the year under review, the special
themes of Alma Media’s sustainability
efforts also included a better future for
young people, promoting good working
life and developing the working life com-
petencies of young people. Based on a
materiality assessment, Alma Media’s
sustainability programme covers six of
the UN Sustainable Development Goals
that are linked to Alma Media’s opportu-
nities to have an impact through its busi-
ness operations: quality education, gen-
der equality, decent work and economic
growth, innovation and procurement,
sustainable cities and communities,
responsible consumption, climate action,
peace and justice, and partnerships for
the goals.
A high standard of business ethics
Alma Media bears social, economic
and environmental responsibility for its
operations and does not condone the
use of unethical or environmentally or
socially unsustainable operating meth-
ods by its suppliers and partners. The
Group has a zero tolerance policy for
corruption, bribery, human rights viola-
tions and inhumane working conditions.
Subcontractors are trained and informed
of Alma Media’s Code of Conduct and
sustainability programme in an appen-
dix to supplier agreements. During the
year under review, Alma Media’s updated
Code of Conduct was put into action by
means of an employee training course. By
the end of the year, over 90% of the em-
ployees in Alma Media’s various operating
countries had completed the course and
thereby committed to the Group’s ethical
business principles. A corresponding
Subcontractor Code of Conduct, in the
form of a course, will be created for sub-
contractors and put into action in 2022.
The target is for 50% of the Group’s most
significant subcontractors to complete
the course on the Subcontractor Code of
Conduct by the end of 2022. Alma Media’s
Alma Media’s
sustainability
programme covers
nine of the UN
Sustainable
Development Goals
employees and stakeholders have access
to an anonymous whistleblowing channel
for reporting any observed misconduct.
Alma Media’s whistleblowing team re-
ceives the notifications and reports them
to the Audit Committee of the Board of
Directors. During the year under review,
the Group was informed of one suspected
Code of Conduct violation through the
Whistleblow channel. The subsequent
investigation found that the suspicion was
unfounded, but certain internal processes
of the company in question were clarified
in response to the incident.
There were no incidents of corruption or
anti-competitive behaviour at Alma Media
in 2021. There are also no investigations
by the authorities in progress at present.
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SUSTAINABILITY
REPORT
the digital transformation of the Group’s
business reduces the greenhouse gas
emissions of its own operations and its
subcontracting chain, while the transition
to a low-carbon society creates business
opportunities and improves resource
efficiency.
Digital sources now represent 77% of
Alma Media’s business, or approximate-
ly MEUR 211. For over a decade now, the
Group has implemented a strategy based
on the controlled digital transformation of
its business. The regional media business,
which relies on print products, was divest-
ed during the period 2015–2021. At the
same time, the company has systemati-
cally invested in new digital services, most
recently by acquiring the Nettix services
during the year under review.
During the past five years, Alma Media
has halved the greenhouse gas emissions
arising from its own operations. The pro-
duction and distribution of digital content
and services is not only more environ-
mentally friendly but also more cost-ef-
ficient compared to print products. The
Group’s annual capital expenditure under
the digital business model amounts to
MEUR 3–4. The production of digital
content and services involves substan-
tially lower consumption of materials and
electricity compared to the print business.
The cloud services and telecommunica-
tion services used for data management
in Alma Media’s Finnish operations are
produced primarily from renewable ener-
gy or the emissions are compensated. The
increasingly digital business model allows
Alma Media to be more resource-efficient,
enable more environmentally friendly
choices for consumers and contribute to
promoting the circular economy through
its services and content.
In 2021, Alma Media set new sci-
ence-based climate targets for reducing
emissions in its own operations and in its
subcontracting chain by 2030, using 2019
as the baseline. The Group has already
achieved its previous SBTi targets set in
2016, according to which the Group aimed
to reduce its greenhouse gas emissions
arising from the consumption of electric-
ity, district heating and district cooling
(Scope 2) and the emissions arising from
fuel consumption (Scope 1) by 21% by
2025. Indirect greenhouse gas emissions
arising from procurement (Scope 3) need
to be reduced by 10% by 2023. During the
year under review, the company’s report-
ed Scope 1 and Scope 2 emissions de-
creased by 52% compared to 2016, while
the emissions of the subcontracting chain
(Scope 3) had decreased by 13.7% by the
end of 2021, compared to 2016.
As in 2020, the lower emissions in the year
under review were significantly influ-
enced by the global COVID-19 pandemic,
the restrictions on movement related to
preventing the spread of the virus and the
national remote work recommendations.
The main reason for the reduction in
emissions from properties is Alma Media’s
switch to zero-emission electricity and
district cooling at its properties in Finland.
The purchasing of hydropower-certified
zero-emission electricity continued in
2021. Emissions from the media business
decreased as the circulations of print
publications continued to decline and
readers switched from print to digital me-
dia. Emissions were also decreased by the
pandemic-related lower use of services
resulting from the reduced utilisation rate
of transport services, distribution, aviation
emissions and business premises.
To improve the reliability and continuity of
emission calculations, Alma Media adopt-
ed the International Energy Agency IEA’s
country-specific emission factors during
the year under review for instances where
an energy producer-specific emission
factor is unavailable, and emission figures
were retrospectively recalculated accord-
ing to this decision.
The table below shows Alma Media’s
environmental indicators, energy con-
sumption and the development of green-
house gas emissions during the period
2016–2021.
Alma Media’s new climate targets cov-
er the greenhouse gas emissions of
Alma Media set
new science-based
climate targets
During the year under review, Alma Media
was not the subject of any reprimands
from the authorities or rulings pertaining
to non-compliance with laws and regu-
lations governing social and economic
responsibility. As a result, there were no
financial losses arising from legal action.
The Group’s executive management,
assisted by the legal department, is
responsible for the ethicality of Alma
Media’s business operations. The Chief
Procurement Officer is in charge of the
development of Alma Media’s responsible
procurement policy.
Environmental responsibility
Based on its materiality assessment of
sustainability, Alma Media has determined
that the Group’s strategic decision to
invest in digital business has mitigated
its short-term and medium-term risks re-
lated to climate change. The progress of
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the Group’s own operations (Scope 1
and Scope 2) and the greenhouse gas
emissions of the subcontracting chain
(Scope 3). The targets are in line with the
Science Based Target initiative, which
means that the Group is committed to the
initiative that aims to limit climate warm-
ing globally to at most 1.5°C. Alma Media is
committed to reducing its absolute Scope
1 and Scope 2 greenhouse gas emissions
by 46 per cent by 2030. The baseline for
emission reductions is the pre-pandem-
ic year 2019. Emission reduction efforts
are particularly targeted at reducing
emissions from company cars, electric-
ity, district heating and district cooling.
Alma Media is also committed to reducing
greenhouse gas emissions in its subcon-
tracting chain (Scope 3) by 14 per cent by
2030, focusing on the reduction of emis-
sions from the printing of publications
and the purchasing of logistics services.
The validation of the SBTi target updated
in autumn 2021 is pending approval by
the Science Based Targets organisation.
The carbon footprint of Alma Media’s own
operations (Scope 1 and Scope 2) is small,
with only four per cent of the Group’s
greenhouse gas emissions being gener-
ated by its own operations. The remaining
96 per cent are generated in the subcon-
tracting chain.
Alma Media and the environment Unit 2016 2017 2018 2019 2020 2021
Energy consumption
Petrol GJ 4393 5,152 5,188 5,005 2,535 2,399
Diesel GJ 1290 1,429 1,397 1,235 1,757 1,531
Electricity GJ 9261 9,413 9,078 8,079 6,648 6,039
District heating and district cooling GJ 4,770 5,056 5,461 4,848 3,916 5,576
Emissions
Direct emissions (Scope 1)
tCO
2
e
Fuels 384 450 450 426 287 260
Indirect emissions (Scope 2)
tCO
2
e
District heating, district cooling and electricity, mar-
ket-based
746 713 613 447 351 282
District heating, district cooling and electricity, loca-
tion-based
702 657 720 566 454 468
Share of renewable energy, Scope 1 and Scope 2 0% 0% 12% 27% 33% 47%
Share of renewable energy, Scope 2 0% 0% 18% 40% 46% 62%
Scope 3:
tCO
2
e
17,449 19,312 18,016 17,365 15,139 15,062
The responsibility for the development
of Alma Media’s environmental policy lies
with the Group’s senior management, but
the key individuals in day-to-day envi-
ronmental efforts include Alma Media’s
Chief Procurement Officer and Facility
Manager, the Chief Information Officer
and the management of the business
units. The most important of the commit-
ments and policies that guide the Group’s
environmental efforts are Alma Media’s
SBTi target, sustainability programme and
procurement policy.
Based on the materiality analysis, Alma
Media’s media and services have signif-
icant opportunities related to mitigating
climate change and making society oper-
ate in more environmentally friendly ways.
The Group’s media distribute information
on the impacts of climate change, stimu-
late discussion and provide examples of
climate-friendly solutions. Digital services
help consumers make sustainable choic-
es, such as choosing energy-efficient
homes or low-emission vehicles.
Reporting in accordance with the
EU Taxonomy Regulation
The purpose of the classification system
known as the EU Taxonomy is to identify
economic activities that are relevant to
climate change and to establish sci-
ence-based criteria for these activities to
assess the sustainability and eco-friendli-
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SUSTAINABILITY
REPORT
ness of the operations of companies. For
an economic activity to be considered
environmentally sustainable, it must:
a) contribute substantially to significant
environmental objectives
b) do no significant harm to any other
environmental objective
c) comply, at the Group level, with the
minimum requirements stipulated by the
UNGP, OECD and ILO
The Taxonomy Regulation (Article 8)
applies to undertakings, such as Alma
Media, that are subject to an obliga-
tion to report non-financial information
pursuant to the Directive concerning the
reporting of non-financial information.
The taxonomy regulations consist of
Regulation (EU) 2020/852 of the Euro-
pean Parliament and of the Council, the
related delegated act and its Annex I
(climate change mitigation) and Annex II
(climate change adaptation).
Alma Media started a project in 2021 to
assess the impacts of the EU Taxonomy
on the company’s business activities and
reporting. The goals of the project are:
a) to identify and assess the Group’s sig-
nificant own taxonomy-eligible activities
b) calculate and communicate key
performance indicators (KPIs) in accor-
dance with the taxonomy.
The significant taxonomy-eligible activ-
ities have been identified and assessed
by using NACE codes and comparing
the Group’s activities with the economic
activities described in the delegated act
and its annexes.
The KPIs required by the taxonomy for
2021 are taxonomy-eligible and non-el-
igible revenue, capital expenditure and
operating expenditure. The revenue KPI
shows the degree to which the Group’s
activities are taxonomy-eligible. The cap-
ital expenditure and operating expendi-
ture KPIs illustrate how the Group aims to
improve its infrastructure, processes and
production lines to become a low-carbon
operator or reduce climate emissions.
For revenue, the taxonomy-eligible activ-
ities we have identified include business-
es related to training, video and digital
media in accordance with the taxonomy
regulations 8.3 (radio and television activ-
ities), 11 (training) and 13.3 (film, video and
television programme production, record
and music publishing). While we have
identified multiple activities as being
taxonomy-eligible, we have ensured that
each service or product produced by the
Group is counted only once in the KPI
reflecting taxonomy-eligible revenue.
At this stage, only those economic ac-
tivities that have the greatest need and
potential to significantly contribute to
climate change mitigation and adap-
tation are considered to be within the
scope of the EU Taxonomy Regulation. As
most of Alma Media’s business activities
are not yet defined in the EU Taxonomy,
they are classified in the table above as
non-eligible. This includes the digital
marketplaces business, digital compari-
son services, print-based media business,
data business, telemarketing, book sales
and media sales consulting.
As regards capital expenditure, our
definition of taxonomy-eligible capital
expenditure covers capital expenditure
that is closely linked to taxonomy-eligible
assets based on revenue and that satisfy
more detailed definitions pertaining to
the reduction of emissions. We did not
identify a significant amount of taxono-
my-eligible capital expenditure for 2021.
As regards operating expenditure, our
definition of taxonomy-eligible operating
Total, MEUR Taxonomy-eligible share, % Non-eligible share, %
Revenue * 275.4 23.7% 76.3%
Capital expenditure * 5.5 1.8% 98.2%
Operating expenditure 5.1 5.1% 97.5%
expenditure covers operating expendi-
ture that aims to reduce environmental
emissions and is allocated to business
premises, cars or training. Examples of
operating expenditure that we defined as
taxonomy-eligible include investments
in electric vehicle charging infrastruc-
ture and the electrification of the motor
vehicle fleet, employee training invest-
ments related to climate action and the
additional costs of renewable energy
purchased by the Group. It should be
noted that the definition of operating
expenditure under the taxonomy is highly
specific and it only includes a very small
proportion of the Group’s operating
expenditure. Operating expenditure, total
(MEUR 5.1, denominator) is defined in ac-
cordance with the taxonomy regulations.
It includes Alma Media Group’s research
and development expenditure, expendi-
ture on business premises’ energy and
renovations and the leasing expenses for
the motor vehicle fleet.
In our reporting for 2021, we have as-
sessed the taxonomy-eligibility of the
Group’s economic activities, but we have
not yet assessed their taxonomy align-
ment. We will continue the project in the
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SUSTAINABILITY
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KPI Target 2021 Target 2022
Responsible
journalism:
journalism
marketing
Condemnatory decisions issued by the Council for
Mass Media
<20% share of
condemnatory decisions
issued by the Council for
Mass Media
0% / 0 decisions <5 condemnatory
decisions issued by the
Council for Mass Media
regarding Alma Media’s
media
Adherence to the the International Chamber
of Commerce’s guidelines on good marketing
practices.
0 advertisements
in violation of good
marketing practices in
the Group’s media and
services
0 0 advertisements
in violation of good
marketing practices in
the Group’s media and
services
Ethics in
business:
employees and
subcontracting
Adherence to Alma Media’s updated Code of
Conduct among the Group’s employees and in the
subcontracting chain
Rate of completion of
Code of Conduct training
among the Group’s
employees.
90% of the
employees
100% of the employees
Subcontractors commit
to Alma Media’s Code of
Conduct
Drafting a new
Subcontractor
Code of Conduct
50% of the Group’s
most significant
subcontractors have
completed the course
on the Subcontractor
Code of Conduct
Data security and
data privacy
Alma Media’s services offer a high standard of data
security for users, and customer data is processed
in a diligent and legally compliant manner
No serious data security
violations in the Group’s
services
0 0 serious data security
violations
Good employer Alma Media’s QWL (Quality Worklife) employee
survey
>82% 85.4% 83% QWL index
The employees’ willingness to recommend their
employer
8/10 are willing to
recommend Alma Media
as an employer
8.1/10 9/10 are willing to
recommend Alma Media
Environmental
responsibility:
Own operations
(Scope 1 & 2)
Subcontracting
chain (Scope 3)
CO
2
emissions arising from the consumption of
electricity, district heating and district cooling and
the fuel consumption of company cars.
21% (2016–2025) 52% (2016–2021) 4.3% per year
Indirect CO
2
emissions caused by the
subcontracting chain
10% (2016 -2023) -13.1% (2016–2021) -1.23% per year
Summary of Alma Media’s key sustainability targets
new year, we will monitor the regulatory
developments and we will assess and
report on the taxonomy alignment of the
Group’s economic activities in 2022.
*) the figure “revenue and capital expen-
diture, total” is reported in accordance
with Alma Media Group’s consolidated
financial statements for 2021. The calcula-
tion principles and a more detailed break-
down of revenue and capital expenditure
is provided in sections 1.1, 1.2, 2.1 and 2.2 of
the financial statements.
Responsible media
The development of responsible journal-
ism and marketing as well as the use of
consumer data at Alma Media are guided
by legislation as well as the guidelines
issued by various regulatory bodies. The
key guidelines pertaining to journalism
include the Guidelines for Journalists
as well as the statements and decisions
made by the Council for Mass Media —
the self-regulatory body of the Finnish
media industry — in response to com-
plaints from the public. The responsibility
for the journalistic content of Alma Me-
dia’s media lies with the Editor-in-Chief of
each media, assisted by editorial super-
visors.
The shared responsibility target for the
Group’s media is the number of con-
demnary decisions by the Council for
Mass Media. According to the target
set for 2021, the Group’s media brands’
combined share of the condemnatory
decisions issued by the Council should
be under 20 per cent of the total con-
demnatory decisions issued during the
year. During the year, none of Alma Me-
dia’s media were issued a condemnatory
decision by the Council for Mass Media.
The Council for Mass Media issued 60
decisions based on complaints, with 24
of these decisions being condemnatory.
The target set for 2022 is a maximum of
five condemnatory decisions issued by
the Council for Mass Media concerning
Alma Media’s media brands. Going for-
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 27ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
ward, the Group’s media will also have an
annual development target. The financial
and professional media seek to verify the
impact of media in improving awareness
among citizens and companies regard-
ing solutions that promote sustainable
development. In 2022, articles that
present solutions for sustainable de-
velopment will be tagged with a shared
keyword. Going forward, the Group’s me-
dia will monitor the number of sustain-
ability-related articles published and the
development of reach. Iltalehti will carry
out training for its journalists regarding
climate-related news. The media will also
continue to develop journalistic compe-
tence through shared training activities.
The Group does not publish advertising
that is in violation of good advertising
practices and has set a target for re-
sponsible marketing, according to which
its online and mobile services should
not feature any advertisements that
violate the guidelines of good marketing
practices published by the International
Chamber of Commerce. During the year
under review, Alma Media did not receive
any complaints in its operating countries
from the authorities that supervise ethics
in advertising or the marketing industry’s
own self-regulatory bodies.
In developing the responsibility of its
advertising, Alma Media observes the
International Chamber of Commerce
Code of Advertising and Marketing
Communication Practice, the Interna-
tional Advertising Bureau (IAB) guide-
lines concerning digital advertising and
Europe-wide publisher self-regulation
principles concerning targeted online
advertising (OBA self-regulation). The
truthfulness of marketing and prevent-
ing the misleading of consumers is a
basic condition for campaigns published
in the Group’s media and services.
The digitalisation of advertising has seen
the focus of the development of respon-
sible advertising shift increasingly to
ensuring the security of the advertising
environment as well as the responsible
collection and use of consumer data.
Alma Media’s media sales and marketing
organisation is in charge of the develop-
ment of responsible marketing together
with each brand’s marketing organisa-
tion.
Responsible marketplaces and
services
Alma Media’s objective is that there are
no serious data privacy or data security
breaches in the online services owned
by the company that would create an
obligation to inform the authorities.
Alma Media was not made aware of any
serious data privacy or data security
breaches in 2021. Alma Media develops
its digital services in accordance with
its data security policy and data privacy
description and in compliance with the
current legislation governing data priva-
cy and data security as well as national
and international guidelines, with the
recommendations and guidelines issued
by the European Data Protection Board
being the most important among these.
The management of the business units,
together with the ICT organisation and
the legal department, are responsible for
the technical development of the online
services owned by the Group and for en-
suring that they comply with data priva-
cy and data security recommendations
and regulations as well as continuously
updating employee competence per-
taining to data privacy and data security.
Future-fit workforce
The aim of Alma Media’s HR strategy is to
support the digital transformation of the
company by enhancing the employees’
expertise, commitment and well-being
as well as by ensuring the availability of
suitable employees. The Group is com-
mitted to treating its employees fairly
and building a diverse and equal work
community. The achievement of these
objectives is supported by targets related
to, among other things, the commitment
of new employees, enhancing job satis-
faction and the equal and ethical treat-
ment of employees. The development of
employee competence and well-being
at Alma Media is supported by the Group
HR function.
The company’s aim is to have a per-
sonal plan prepared for each employee
to support the development of their
competence. Goal-driven competence
development is followed up in one-to-
one discussions between supervisors
and employees. Alma Media arranges
training programmes that support the
development of employee competence
and invests in the collaborative learning
of employees and knowledge sharing,
for example, by organising mentoring
programmes, competence workshops
and theme events. The company takes
a long-term approach to the develop-
ment of managerial work and builds an
international network of supervisors to
support the sharing of best practices
related to leadership and management.
The targets set for employee commit-
ment and competence development
were achieved in 2021. Alma Media mea-
sures its performance by various means,
including annual employee surveys
that provide a comprehensive picture
of employee perceptions regarding the
effectiveness of the work community
and Alma Media as an employer. The
most extensive of these surveys is the
annual Quality of Work Life (QWL) survey
conducted in all of Alma Media’s units.
The target set for the survey is a QWL
index of at least 82 per cent. This target
was exceeded in the year under review,
with the score being 85.4 per cent.
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 28ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
in the Group’s operating countries was 7.6
per cent on average.
Building an inspiring, inclusive, equal and
diverse work community is a shared goal
for all Alma Media employees. Devel-
opment in this area is supported by the
Group HR function.Alma Media’s Finnish
business units update their non-discrim-
ination, diversity and equality plans in
two-year intervals under the guidance of
the HR function. The plans cover topics
such as differences in pay, the justification
for fixed-term employment relationships
and the job-specific gender distribution in
each unit.
Alma Media’s number of employees, type
of employment relationship, age distri-
bution and voluntary departure turnover
in the year under review are shown in the
table below.
Alma Media recruits new employees purely
based on their competence and aptitude.
All Alma Media employees are entitled to
receive fair and rewarding compensation,
have opportunities to develop their skills
and abilities, receive feedback, remain
informed about the company and work
in a safe, pleasant, renewal-oriented and
developing environment where everyone’s
privacy and private life are respected. In
accordance with the company’s Code of
Conduct, everyone at Alma Media must
respect basic human rights.
Number of
employees
Women as su-
pervisors, %
Men as super-
visors, %
Finland 975 48 52
Czech Republic 353 24 76
Baltic countries:
Estonia, Latvia,
Lithuania
74 47 53
Slovakia 106 44 56
Croatia 90 33 67
Bosnia 38 50 50
Sweden 15 0 100
Other 34
Total 1,690
Under
30 years
30–50
years
Over 50
years
Fixed term Permanent Full-time Part-time Total
Baltic countries 31% 64% 5% 1% 99% 96% 4% 100%
Bosnia and Her-
zegovina
18% 82% 0% 32% 68% 100% 0% 100%
Croatia 19% 78% 3% 0% 100% 89% 11% 100%
Other operating
countries
27% 73% 0% 18% 82% 100% 0% 100%
Sweden 20% 73% 7% 7% 93% 87% 13% 100%
Slovakia 23% 75% 2% 2% 98% 96% 4% 100%
Finland 17% 64% 19% 7% 93% 90% 10% 100%
Czech Republic 14% 83% 2% 11% 89% 89% 11% 100%
The state of the work community is also
measured annually by finding out how
willing the employees are to recommend
Alma Media as an employer. The target
is a score of at least 8 on a scale of 1–10.
Alma Media achieved a score of 8.1 (eNPS
32). In addition to using surveys, Alma
Media evaluates its performance as an
employer by monitoring the long-term
retention of new employees. The target
is for 90 per cent of new employees to
stay with the Group for at least two years
after being hired. Alma Media achieved
the target set for the retention of new
employees in 2021. Of the employees who
joined the company two years ago as
new employees, more than 90 per cent
remained with the company during the
year under review. The voluntary depar-
ture turnover of Alma Media’s employees
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 29ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Alma Media has a zero tolerance policy
regarding the discrimination and inap-
propriate treatment of employees. The
company reports annually on whether any
such incidents have occurred.A total of
five (5) suspected incidents of bullying or
sexual harassment were reported in 2021.
All of the incidents reported to the com-
pany were thoroughly investigated. The
necessary measures were taken and all
five cases were closed by the end of the
year. Alma Media was not subject to any
reprimands or penalties by the authori-
ties due to discrimination during the year
under review.
Alma Media’s employees have primarily
worked using a multi-local work model
during the COVID-19 pandemic. Super-
visors have received training related to
managing multi-local work. In spite of the
exceptional circumstances and the exten-
sive transition to remote work, there were
no interruptions in Alma Media’s services
during the year and service quality was
successfully maintained.
Risks and risk management
At Alma Media Group, the task of risk
management is to detect, evaluate and
monitor business opportunities, threats
and risks, to ensure the achievement of
objectives and business continuity. The
risk management process identifies and
controls the risks, develops appropriate
risk management methods, and regularly
reports on risk issues to the risk manage-
ment organisation and the Board of Direc-
tors. Risk management is part of Alma Me-
dia’s internal control function and thereby
part of good corporate governance.
Alma Media uses a harmonised risk
assessment and reporting model. With re-
gard to risks, the company also monitors
the development of national, EU-level and
international regulations and agreements.
Risks are assigned priorities in the risk
matrix by estimating the euro-denom-
inated impacts and probabilities of the
realisation of each risk. In estimating the
impacts of the realisation of risks, reputa-
tion impacts and environmental impacts
are taken into account in addition to the
estimated direct euro-denominated im-
pacts. Each segment, function and unit is
responsible for the management of risks
related to their operations.
The company’s most significant strate-
gic risks are related to cyber risks, data
security and data privacy violations, rapid
changes in the existing business models
of marketplaces and changes in media
consumption among consumers. Data
security risks are managed in various
ways; for example, by improving proactive
automation to detect server attacks in a
timely manner and by regularly training
the employees on data security and data
privacy.
An increasingly important source of com-
petitive advantage, but also a strategic
risk, in Alma Media’s business is the abil-
ity to use customer data to improve the
users’ service experience and develop
the product and service offering for ad-
vertisers. Alma Media manages customer
data and behavioural data, taking regula-
tory requirements into consideration, by
centralising customer data repositories
and deploying analysis and activation
technology. Potential restrictions con-
cerning the use of third-party cookies
could create uncertainty factors, at least
temporarily, related to digital advertising
sales.
The regulation of the media sector and
the related market practices is becoming
stricter.
The changes in the operating environ-
ment and the rapid technological devel-
opment require continuous investments
in employee competence and devel-
opment. Ensuring adequate and highly
competent technology-related human re-
sources for the years to come is a signifi-
cant strategic risk.
A further risk to Alma Media’s business is
the potential decline in digital audiences,
as well as a potential permanent decrease
in digital advertising sales and listing
advertising.
The continuation of the widespread
pandemic may have a significant impact
on the demand for services on the one
hand and, on the other hand, it can cause
substantial production disruptions in
business processes due to significant risks
related to employee health. In addition
to the COVID-19 pandemic, geopolitical
risks in Alma Media’s operating countries
may have a significant impact on service
demand.
The most significant operational risks are
disturbances of information technology
and communications as well as interrup-
tions in daily news production.
The non-financial risk management pro-
cess also covers responsibility risks whose
significance is assessed both in finan-
cial terms and in terms of the potential
damage caused to the Group’s reputation
if the risk were to materialise. The Group
communicates its responsibility risks and
challenges related to the development of
corporate responsibility transparently in
its stakeholder communications.
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 30ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Risks related to the erosion of the
responsibility of media and services
Even in Finland, trust in the media has
weakened, although it is still high by
international comparison. Alma Media’s
business is based on trust. Readers, ad-
vertisers and the users of digital services
must be able to trust that the Group
publishes truthful, objective and plural-
istic content while also providing a se-
cure advertising environment and digital
services that are safe to use. To maintain
the trust of its readers and customers,
Alma Media systematically develops its
employees’ competencies and techno-
logical skills, and the Group has also set
annual and long-term targets concern-
ing responsible journalism and mar-
keting as well as digital responsibility,
which are incorporated into the incentive
schemes for employees. The day-to-day
work of editorial offices, media sales and
the ICT organisation are also guided by
the decisions of the regulatory bodies
concerning responsible journalism and
marketing, data privacy and data secu-
rity as well as feedback from customers
and readers received through various
channels and the results of reader and
customer satisfaction surveys.
Environmental risks
Based on its materiality assessment of
sustainability, Alma Media has deter-
mined that the strategic decision to invest
in digital business reduces risks related
to climate change and the environment.
In the short term, warmer winters will
complicate the harvesting of wood by the
paper suppliers that operate as Alma’s
subcontractors, which may lead to higher
paper prices. Increasingly strict national
and EU-level climate regulations may
also have cost impacts in Alma Media’s
subcontracting chain. Changes involving
paper and delivery costs have an effect
on the costs of print publications, for ex-
ample. Print media accounts for approx-
imately 66% (MEUR 32) of Alma Media’s
content sales. In the longer term, increas-
ing extreme weather phenomena caused
by climate change are predicted to
increase the risk of technical disruptions
to digital services in Alma Media’s op-
erating countries. Alma Media manages
its environmental risks by systematically
developing its operations in accordance
with the Group’s science-based SBTi
climate targets and by also engaging the
commitment of its key suppliers to the
Group’s climate targets. The environ-
mental risks associated with purchasing
are reduced by Alma Media operating
in 11 European countries. The procure-
ment of each country unit is focused on
the domestic market or nearby regions,
which enables comprehensive oversight
of suppliers. The risk of disruptions in the
availability of digital services is mitigat-
ed by improving operational reliability.
Operational reliability has been improved
by transitioning to cloud services and by
purchasing other necessary server ca-
pacity from state-of-the-art data centres.
Social and HR-related risks
The development of Alma Media’s busi-
ness is highly dependent on the system-
atic development of employee compe-
tence and the Group’s ability to attract
and retain highly competent and motivat-
ed employees. Many of the professional
groups that are significant to the Group’s
capacity for renewal and competitiveness
are characterised by intense competition
in the job market. For this reason, Alma
Media considers the failure to adequately
develop competencies and engage the
commitment of employees to be its most
significant HR-related risk.
The Group manages its HR-related risks
by taking a long-term approach to the
development of its employer image, re-
cruitment, supervisory work and manage-
ment. In accordance with its HR strategy,
the Group also invests in career guidance
and provides employees with diverse
opportunities for on-the-job learning and
the continuous development of compe-
tence. Alma Media assesses its risk man-
agement performance by monitoring its
progress towards its responsibility targets
related to the Group’s ability to engage
and retain new employees, the employee
experience and strengthening the com-
pany’s employer image. Progress towards
these targets is reported on annually.
Risks related to unethical business
practices and human rights
violations
Alma Media has a vast and diverse sub-
contracting network that ranges from
sole proprietorships engaged in content
production to large international corpo-
rations. Alma Media has business opera-
tions in 11 countries. Ethics violations by
the Group’s subcontractors or employees
could potentially have financial or legal
repercussions for Alma Media and they
could damage the Group’s reputation. To
ensure that consistent ethical principles
are observed in the Group’s business
operations, Alma Media requires all of
its employees and its most significant
subcontractors to commit to the Group’s
ethical business principles and takes a
goal-driven approach to the development
of its organisational culture and operating
methods and strives to minimise risks
through target setting, reporting and
communication, among other things.
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 31ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Risk Risk definition Risk mitigating actions
STRATEGIC RISKS
Changes in media consump-
tion and the business models
of marketplaces
Industry transformation following trends in media con-
sumption and technological development. The capacity
of product and service development to assess changes in
consumer behaviour or invest in the appropriate techno-
logical service solutions.
Business development driven by customer needs.
Measures to promote digital business competitiveness.
Ensuring that content is interesting. Developing the user
interfaces of media as well as purchasing paths and pay-
ment systems, for example. Sufficient investments and
resources in research and development.
Change in the competitive
landscape, intensifying com-
petition from international
platform giants and aggre-
gators
Expansion of international platforms, industry conver-
gence, reduced price competitiveness. Technological
solutions and implementations by platform providers that
restrict the operations of other companies.
Service business development, active development of
the existing business, diversification of revenue sources,
geographic diversification of business.
Digital media audiences and
digital advertising
A significant drop in subscribers and readers, a per-
manent decline in digital advertising sales and pricing
pressures on services.
Maintaining and developing an interactive media-reader
relationship, customer satisfaction surveys, Alma Media’s
internal cooperation in content production, content sales,
advertising sales, support functions and product devel-
opment. Delivery partnerships and publisher cooperation.
Customer data, restrictions
on the use of third-party
cookies
The ability to utilise the growing amount of customer
data in delivering better and more targeted service solu-
tions. The capacity of product and service development
to anticipate changes in customer needs. Violations of
the GDPR or other regulations governing data privacy.
Third-party cookies cannot be used for data collection
and, subsequently, for targeting advertising and content
sales.
Business development driven by customer needs. Mea-
sures to promote digital business competitiveness and
data management. Sufficient investments and resources
in data management and systems as well as the develop-
ment of data privacy procedures and employee com-
petence. Increasing the number of registered users of
services and increasing the use of Alma ID.
The global pandemic and its
continuation
A widespread pandemic may have a significant impact on
the demand for services and products on the one hand
and, on the other hand, it can cause substantial produc-
tion disruptions in business processes due to significant
risks related to employee health.
Monitoring the operating environment and reacting to
changing circumstances with sufficient speed. The organ-
isation’s ability to adapt to the prevailing circumstances.
Occupational safety measures concerning employees.
GDPR and ePrivacy Interpretations by the authorities regarding the prac-
tical application of the GDPR, the upcoming ePrivacy
Regulation and potential legislative changes concerning
taxation.
Internal training, monitoring legislation and the regula-
tory interpretations of the authorities, building processes
for legally required changes in the organisation.
Cyber risks The risk of being targeted by data security attacks and
data theft.
Contingency plans and risk management actions, ensur-
ing sufficient competencies, insurance.
Competence; the retention,
recruitment and develop-
ment of highly competent
employees.
Technological development and the demands of new
technology increase the risk of obtaining and maintain-
ing sufficient competencies and achieving employee
commitment.
HR strategy, creating commitment in key individuals,
additional resource allocation and trainee programmes,
employee well-being.
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 32ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Risk Risk definition Risk mitigating actions
OPERATIVE RISKS
Disturbances of
information technology and
communications
Reliability of information networks. Contingency plans, decentralised server solutions, cloud
computing, ensuring sufficient competencies.
FINANCIAL RISKS
Interest and foreign ex-
change risks
A change in an interest rate or currency exchange rate
causes a significant impact on the company’s profit or
balance sheet position.
Treasury policy and the hedging principles defined
therein.
Refinancing risk The company is unable to renew maturing financing
agreements.
Treasury policy, financing plan and agreements, suffi-
ciently long maturity of loans, sufficient equity ratio.
Liquidity risk The company is unable to cover its maturing obligations
in the short term.
Treasury policy, financing limit agreements of sufficient
size.
RISKS RELATED TO THE REPORTING OF NONFINANCIAL INFORMATION
Risks related to journalism The erosion of the appreciation and reliability of media
content. Monitoring and managing editorial content is
challenging in the digital environment.
Developing editorial teams’ practices and employee com-
petence. Reader satisfaction surveys, customer contacts
and feedback. Participation in journalism industry events
and organisations.
Risks related to marketing Diminishing reliability as an advertising environment.
Publishing advertising that is contrary to good market-
ing practices or disrupts the reading experience. Ethical
risks related to digital marketing, such as programmatic
buying, including partner risks, providing a safe brand
environment as a publisher. Technological risks.
Customer satisfaction surveys, customer contacts and
feedback. Developing marketing practices and employee
competence. Technology acquisition.
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 33ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Changes in Group structure in
2021
Changes in Group structure are de-
scribed in the strategy section of the
Report by the Board of Directors as well
as in the notes to the consolidated finan-
cial statements, in Note 4.2 Subsidiaries,
Note 4.3 Business combinations and 4.4
Associated companies.
Annual General Meeting 2021
Alma Media Corporation’s Annual Gener-
al Meeting (AGM) held on 24 March 2021,
with special arrangements, confirmed
the financial statements for 2020 and
released the members of the Board of Di-
rectors and the President and CEO from
liability. The AGM decided that a dividend
of EUR 0.30 per share shall be paid for
the financial year 2020.
Peter Immonen, Esa Lager, Alexander
Lindholm, Petri Niemisvirta, Jorma Ollila
and Catharina Stackelberg-Hammarén
were elected as Board members. In its
constitutive meeting after the AGM, the
Board of Directors elected Jorma Ollila as
its Chairman and Petri Niemisvirta as its
Vice Chairman.
The Board of Directors also appointed the
members to its permanent committees.
Esa Lager, Alexander Lindholm and Petri
Niemisvirta were elected as members of
the Audit Committee, with Esa Lager as
Chairman. Timo Aukia, Peter Immonen
and Timo Sallinen were elected as mem-
bers of the Nomination and Compensa-
tion Committee, with Henrik Ehrnrooth
as Chairman. Jorma Ollila served as an
expert member in the Nomination Com-
mittee.
The Board of Directors has assessed
that, with the exception of Peter Immo-
nen, Esa Lager, Alexander Lindholm and
Jorma Ollila, the members of the Board
are independent of the company and its
significant shareholders. Peter Immonen
is a member of the Board of Mariatorp
Oy, Esa Lager is a member of the Board
of Ilkka-Yhtymä Oyj, Alexander Lindholm
is the CEO of Otava Group and in 2019
Jorma Ollila had been a member of the
Board of Otava Ltd. for ten consecutive
years (a relationship with a significant
shareholder pursuant to subsection j) of
Recommendation 10 of the Corporate
Governance Code).
Mikko Korttila, General Counsel of Alma
Media Corporation, serves as the secre-
tary to the Board of Directors in accor-
dance with the Board’s Charter.
The AGM appointed PricewaterhouseC-
oopers Oy as the company’s auditors, with
Niina Vilske, APA, as the principal auditor.
Remuneration of Board members
In accordance with the proposal of the
Shareholders’ Nomination Committee,
the Annual General Meeting decided that
the remuneration be kept unchanged,
and that the following annual remunera-
tion be paid to the members of the Board
of Directors for the term of office ending
at the close of the Annual General Meet-
ing 2022: to the Chairman of the Board of
Directors, EUR 62,500 per year; to the Vice
Chairman, EUR 40,000 per year, and to
members EUR 32,500 per year.
In addition, the Chair of the Board of Di-
rectors and the Chair of the Audit Com-
mittee will be paid a fee of EUR 1,500, the
Chair of the Nomination and Compen-
sation Committee a fee of EUR 1,000, the
Deputy Chairs of the committees a fee of
EUR 700 and members a fee of EUR 500
for those Board and Committee meetings
that they attend. The travel expenses of
Board members will be compensated in
accordance with the company’s travel
policy.
The attendance fees for each meeting
are:
• doubled for (i) members living out-
side Finland in Europe or (ii) meet-
ings held outside Finland in Europe;
and
• tripled for (i) members resident
outside Europe or (ii) meetings held
outside Europe.
The members of the Board shall, as
decided by the Annual General Meet-
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 34ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
ing, acquire a number of Alma Media
Corporation shares corresponding to
approximately 40 per cent of the full
amount of the annual remuneration for
Board members, taking into account tax
deduction at source, at the trading price
on the regulated market arranged by the
Helsinki Stock Exchange. Members of the
Board are required to arrange the acquisi-
tion of the shares within two weeks of the
release of the first quarter 2021 interim
report or, if this is not possible due to
insider trading regulations, as soon as
possible thereafter. If it is not possible to
acquire the shares by the end of 2021 for
a reason such as pending insider trans-
actions, the annual remuneration shall be
paid in cash. Shares acquired in this way
cannot be transferred until the recipient’s
membership on the Board has ended.
The company is liable to pay any asset
transfer taxes which may arise from the
acquisition of shares.
Authorisation to the Board of
Directors to repurchase own shares
The AGM authorised the Board of Di-
rectors to decide on the repurchase of
a maximum of 824,000 shares in one
or more lots. The maximum authorised
quantity represents approximately one
(1) per cent of the company’s entire share
capital. The shares shall be acquired
using the company’s non-restricted
shareholders’ equity through trading on
a regulated market arranged by Nasdaq
Helsinki Ltd and in accordance with its
rules and instructions, for which reason
the acquisition is directed, in other words,
the shares will be purchased otherwise
than in proportion to the shareholders’
current holdings. The price paid for the
shares shall be based on the price of the
company share on the regulated market
so that the minimum price of purchased
shares is the lowest market price of the
share quoted on the regulated market
during the term of validity of the authori-
sation and the maximum price, corre-
spondingly, the highest market price
quoted on the regulated market during
the term of validity of the authorisation.
Shares can be purchased for the purpose
of improving the company’s capital struc-
ture, financing or carrying out corporate
acquisitions or other arrangements,
implementing incentive schemes for the
management or key employees or to be
otherwise transferred or cancelled. The
authorisation is valid until the following
AGM, but not later than 30 June 2022.
Authorisation to the Board of
Directors to decide on the transfer of
own shares
The AGM authorised the Board of Direc-
tors to decide on a share issue by trans-
ferring shares in possession of the com-
pany. A maximum of 824,000 shares may
be issued on the basis of this authorisa-
tion. The maximum authorised quantity
represents approximately one (1) per cent
The Board can use the authorisation for
developing the capital structure of the
company, widening the ownership base,
financing or executing acquisitions or
other arrangements, or for other pur-
poses decided on by the Board. The
authorisation cannot, however, be used
to implement incentive schemes for the
management or key employees of the
company.
The authorisation is valid until the fol-
lowing AGM, but not later than 30 June
2022. This authorisation overrides the
corresponding share issue authorisation
granted by the AGM of 29 April 2020, but
not the share issue authorisation pro-
posed above.
Donations
The AGM authorised the Board to decide
on donations amounting to no more than
a total of EUR 50,000 to universities in
2021–2022, with the more detailed condi-
tions of the donations to be decided by
the Board of Directors.
Dividends
In accordance with the proposal of the
Board of Directors, the AGM resolved that
a dividend of EUR 0.30 per share be paid
for the financial year 2020. The dividend
was to be paid to shareholders who were
registered in Alma Media Corporation’s
shareholder register maintained by Eu-
of the company's entire share capital. The
authorisation entitles the Board to decide
on a directed share issue, which entails
deviating from the pre-emption rights of
shareholders. The Board can use the au-
thorisation in one or more lots. The Board
of Directors can use the authorisation to
implement incentive programmes for the
management or key employees of the
company.
The authorisation is valid until the follow-
ing AGM, but not later than 30 June 2022.
This authorisation overrides the share
issue authorisation granted at the Annual
General Meeting of 29 April 2020.
Authorisation to the Board of
Directors to decide on a share issue
The AGM authorised the Board of Direc-
tors to decide on a share issue. A maxi-
mum of 16,500,000 shares may be issued
on the basis of this authorisation. The
maximum number of shares that may be
issued under the authorisation corre-
sponds to approximately 20 per cent
of the company’s entire share capital.
The share issue can be implemented
by issuing new shares or by transferring
treasury shares. The authorisation entitles
the Board to decide on a directed share
issue, which entails deviating from the
pre-emption rights of shareholders. The
Board can use the authorisation in one or
more lots.
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 35ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
20 PRINCIPAL SHAREHOLDERS ON 31 DECEMBER 2021 PCS % OF SHARES AND VOTES
1. Otava Oy 23,922,845 29.04
2. Mariatorp Oy 15,675,473 19.03
3. Ilkka-Yhtymä Oyj 8,993,473 10.92
4. Varma Mutual Pension Insurance Company 5,327,994 6.47
5. Ilmarinen Mutual Pension Insurance Company 2,781,695 3.38
6. Elo Mutual Pension Insurance Company 1,901,595 2.31
7. Nordea Nordic Small Cap 1,859,045 2.26
8. Veljesten Viestintä Oy 851,500 1.03
9. Sr Evli Suomi Select 843,000 1.02
10. C. V. Åkerlundin Mediasäätiö Sr 782,871 0.95
11. Keskisuomalainen Oyj 782,497 0.95
12. Häkkinen Matti Juhani 721,390 0.88
13. Sinkkonen Raija Irmeli 333,431 0.40
14. Danilostock Oy 330,000 0.40
15. Koskinen Riitta Inkeri 281,498 0.34
16. Elite Alfred Berg Suomi Fokus Sr 269,961 0.33
17. Tallberg Marianne 237,250 0.29
18. Telanne Kai Markus 224,044 0.27
19. Tampereen Tuberkuloosisäätiö Sr 210,000 0.25
20. Sr Taaleritehdas Mikro Markka 200,000 0.24
Total 66,529,562 80.76
Nominee-registered 4,891,280 5.94
Other* 10,962,340 13.30
Total 82,383,182 100
*) Alma Media Corporation owns a total of 170,410 of its own shares, representing 0.15 per cent of the total number of the company’s shares and related votes.
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 36ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
roclear Finland Ltd on the record date, 26
March 2021. The dividend was paid on 6
April 2021.
The Alma Media share
In 2021, altogether 3,699,024 Alma Media
shares were traded on the NASDAQ Hel-
sinki stock exchange, representing 4.5%
of the total number of shares. The closing
price of the Alma Media share at the end
of the last trading day of the review peri-
od, 30 December 2021, was EUR 10.82. The
lowest quotation during the review period
was EUR 8.42 and the highest EUR 12.70.
Alma Media Corporation’s market capital-
isation at the end of the review period was
MEUR 891.4.
At the end of the financial year, on 31
December 2021, Alma Media Corporation
held a total of 170,410 of its own shares. In
2021, the company purchased 107,029 of
its own shares for a total cost of MEUR 1.1.
In 2021, the company transferred 57,630
of its own shares without consideration
as part of the long-term share-based
incentive scheme for the company’s
employees.
Management ownership
The members of the Board of Directors,
the President and CEO of the parent
company and the other members of the
Group Executive Team together held
1,417,816 shares in the company on 31
December 2021, representing 0.6% of the
total number of shares and votes.
Share-based incentive schemes
(LTI 2015 and LTI 2019)
The share-based incentive schemes are
described in Note 1.4.2 to the consolidat-
ed financial statements.
Flagging notices
Alma Media Corporation did not receive
any flagging notices in 2021.
Corporate Governance
Statement for 2021
In 2021, Alma Media Corporation applied
the Finnish Corporate Governance Code
2020 for listed companies in its unaltered
form. A Corporate Governance Statement
required by the Corporate Governance
Code is presented as a separate report
in connection with the Annual Report. In
addition, it is publicly available on Alma
Media’s website: www.almamedia.fi/en/
investors/governance/corporate-gover-
nance.
Remuneration policy and
remuneration report
In accordance with the EU Shareholder
Rights Directive, Alma Media has pub-
lished its Remuneration Policy, which
documents the principles of the remu-
neration of the Group’s governing bodies
and the key terms applicable to service
contracts on 14 February 2020. The remu-
neration policy of the governing bodies
was presented to Alma Media’s Annual
General Meeting on 29 April 2020 and it
was approved without a vote.
The 2021 remuneration report for the
Group’s governing bodies, produced
in compliance with the EU Shareholder
Rights Directive (SHRD) and the Finnish
Corporate Governance Code for list-
ed companies, will be discussed at the
Annual General Meeting to be held on 29
March 2022.
Operating environment in 2022
The national economies of Finland and
Alma Media’s other operating countries
are expected to see continued substan-
tial growth, but the period of rapid growth
is expected to level off in 2022. The global
COVID-19 pandemic and the variants
of the virus affect the overall economic
situation and continue to create uncer-
tainty regarding economic development
in 2022. Nevertheless, according to fore-
casts, the overall economic picture in our
operating countries appears fairly stable
in spite of increasing labour shortages, in-
flation and production costs, the gradual
normalisation of stimulating monetary
policy on the part of central banks, and
geopolitical tensions.
Outlook for 2022
In 2022, Alma Media expects its full-year
revenue and adjusted operating profit to
increase from the 2021 level. The full-year
revenue for 2021 was MEUR 275.4 and the
adjusted operating profit was MEUR 61.1.
Dividend proposal to the Annual
General Meeting
On 31 December 2021, the Group’s parent
company had distributable funds total-
ling EUR 144,833,995 (137,958,899). Alma
Media’s Board of Directors proposes
to the Annual General Meeting that a
dividend of EUR 0.35 per share (2020: EUR
0.30 per share) be paid for the financial
year 2021. The dividend will be paid to
shareholders who are registered in Alma
Media Corporation’s shareholder regis-
ter maintained by Euroclear Finland Ltd
on the record date, 31 March 2022. The
Board of Directors proposes that the
dividend be paid on 7 April 2022. Based
on the number of outstanding shares on
the closing date 31 December 2021, the
dividend payment totals EUR 28,774,470
(24,678,651).
No essential changes have taken place
after the end of the financial year with re-
spect to the company’s financial standing.
The proposed distribution of profit does
not, in the view of the Board of Directors,
compromise the company’s liquidity.
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 37ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
INCOME STATEMENT
CONTINUING OPERATIONS
IFRS
2021
Change
%
IFRS
2020
Change
%
IFRS
2019
Change
%
IFRS
2018
Change
%
IFRS
2017
Revenue MEUR 275.4 19.6 230.2 -8.0 250.2 -1.8 254.7 -30.7 367.3
Digital revenue MEUR 212.1 33.9 158.9 -4.7 166.7 3.2 161.5 3.1 156.6
% of revenue % 77.0 69.0 66.6 63.4 42.6
Operating profit (loss) MEUR 56.8 31.7 43.1 -13.0 49.5 4.4 47.5 1.9 46.6
% of revenue % 20.6 18.7 19.8 18.6 12.7
Adjusted operating profit MEUR 61.1 34.7 45.4 -8.2 49.4 3.8 47.6 -6.8 51.1
% of revenue % 22.2 19.7 19.8 18.7 13.9
Adjusted items* MEUR -4.3 90.2 -2.3 -2196.5 0.1 -178.9 0.1 -97.0 4.5
Profit before tax MEUR 56.3 33.4 42.2 -13.8 49.0 1.8 48.1 4.8 45.9
Adjusted profit before tax MEUR 60.6 36.3 44.5 -9.0 48.9 1.3 48.3 -4.3 50.4
Profit for the period MEUR 44.3 33.1 33.3 -17.8 40.5 5.8 38.2 4.1 36.7
Share of profit of associated compa-
nies
MEUR 1.0 755.2 0.1 -78.4 0.5 272.0 -0.3 147.5 0.7
Net financial expenses MEUR 1.4 47.0 1.0 -8.7 1.1 -208.8 -1.0 -177.0 1.3
Net financial expenses, % of revenue % 0.5 0.4 0.4 -0.4 0.3
Profit for the period, discontinued
operations
MEUR 65.8 702.7 8.2 9.7
Profit for the period MEUR 44.3 -55.2 99.1 103.6 48.7 47.9
Key figures describing financial performance
The key figures are calculated according to IFRS recognition and measurement principles.
* The adjusted items are specified in more detail on page 12 of the Report by the Board of Directors.
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 38ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
BALANCE SHEET* IFRS
2021
Change
%
IFRS
2020
Change
%
IFRS
2019
Change
%
IFRS
2018
Change
%
IFRS
2017
Balance sheet total MEUR 518.4 55.2 333,,9 -16.7 400.9 16.0 345.6 3.5 333.8
Interest-bearing net debt MEUR 181.8 -9.1 23.7 2.0 40.2
Interest-bearing liabilities MEUR 233.7 500.9 38.9 -57.1 90.8 76.2 51.5 -16.0 61.3
Non-interest-bearing liabilities MEUR 118.2 30.6 90.5 -15.9 107.6 0.3 107.2 -6.1 114.2
OTHER INFORMATION, CON-
TINUING OPERATIONS
IFRS
2021
Change
%
IFRS
2020
Change
%
IFRS
2019
Change
%
IFRS
2018
Change
%
IFRS
2017
Average no. of employees, excl. tele-
marketers
1,549 3.4 1,497 -2.1 1,530 1.2 1,512 5.2 1,437
Telemarketers on average 337 0.6 335 10.2 304 -7.2 328 7.2 306
Capital expenditure MEUR 247.1 170.4 91.4 620.0 12.7 -41.7 21.8 -1.8 22.2
Capital expenditure, % of revenue % 89.7 39.7 5.1 8.6 6.0
Research and development costs MEUR 4.6 4.6 8.1 4.3 -1.0 4.3 -13.7 5.0
Research and development costs, %
of revenue
% 1.7 2.0 1.7 1.7 1.4
KEY FIGURES IFRS
2021
Change
%
IFRS
2020
Change
%
IFRS
2019
Change
%
IFRS
2018
Change
%
IFRS
2017
Return on equity (ROE) % 23.9 -51.0 48.7 94.7 25.0 -10.0 27.8 12.0 24.8
Return on investment (ROI) % 14.3 -61.9 37.4 96.5 19.0 -11.6 21.6 23.6 17.5
Equity ratio % 34.7 63.1 54.1 57.5 50.9
Gearing % 109.2 -4.5 11.7 1.5 25.4
* The figures include both continuing and discontinued operations, unless otherwise mentioned
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 39ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
PER SHARE DATA IFRS
2021
IFRS
2020
Change
%
IFRS
2019
Change
%
IFRS
2018
Change
%
IFRS
2017
Earnings per share, basic EUR 0.53 1.13 0.51 0.51 0.39
Earnings per share, diluted EUR 0.52 1.11 0.50 0.50 0.39
Earnings per share, continuing oper-
ations, basic
EUR 0.53 0.33 0.41 0.39
Earnings per share, discontinued
operations, basic
EUR 0.80 0.10 0.12
Cash flow from operating activities
per share
EUR 0.92 0.68 0.87 0.68 0.63
Shareholders’ equity per share EUR 1.99 2.23 2.09 1.94 1.66
Dividend per share EUR 0.35* 0.30 0.40 0.35 0.24
Payout ratio % 66.0 26.5 78.0 69.2 61.5
Effective dividend yield % 3.2 3.4 5.0 6.3 3.3
P/E Ratio 20.4 7.9 15.5 10.9 18.4
Highest share price EUR 12.70 9.30 8.10 8.14 7.50
Lowest share price EUR 8.42 5.82 5.48 5.10 4.88
Share price on 31 December EUR 10.82 8.92 7.96 5.54 7.20
Market capitalisation MEUR 891.4 734.9 655.8 456.4 592.3
Turnover of shares, total kpcs 3,699 4,481 3,464 19,644 5,795
Relative turnover of shares, total % 4.5 5.4 4.2 23.9 7.0
Average no. of shares (1,000 shares),
basic
kpcs 82,213 82,262 82,283 82,147 82,223
Average no. of shares (1,000 shares),
diluted
kpcs 83,991 83,692 83,673 83,219 83,147
No. of shares on 31 December kpcs 82,383 82,383 82,383 82,383 82,383
*) Proposal of the Board of Directors to the Annual General Meeting
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 40ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Calculation of key figures
Return on shareholders’ equity, %
(ROE) Profit for the period
x 100
Shareholders’ equity + non-controlling interest (aver-
age during the year)
Return on investment, % (ROI) Profit for the period + interest and other financial
expenses
x 100
Balance sheet total - non-interest-bearing debt (av-
erage during the year)
Equity ratio, % Shareholders’ equity + non-controlling interest
x 100
Balance sheet total - advances received
Operating profit Profit before tax and financial items
EBITDA Operating profit excluding depreciation, amortisation
and impairment losses
Digital business, % of revenue Digital business revenue
x 100
Revenue
Basic earnings per share, EUR Share of net profit belonging to parent company
owners
Average number of shares adjusted for share issues
Diluted adjusted earnings per
share, EUR
Share of net profit belonging to parent company
owners
Diluted average number of shares adjusted for share
issues
Gearing, % Interest-bearing debt - cash and bank receivables
x 100
Shareholders’ equity + non-controlling interest
Net financial expenses, % Financial income and expenses
x 100
Revenue
Dividend per share, EUR Dividend per share approved by the Annual General Meeting
With respect to the most recent year, the Board’s proposal to
the AGM
Payout ratio, % Dividend/share
x 100
Share of EPS belonging to parent company owners
Effective dividend yield, % Dividend/share adjusted for share issues
x 100Final quotation at close of period adjusted for share
issues
Price/earnings (P/E) ratio Final quotation at close of period adjusted for share
issues
Share of EPS belonging to parent company owners
Shareholders’ equity per share,
EUR Equity attributable to owners of the parent
Basic number of shares at the end of period adjusted
for share issues
Market capitalisation of share
stock, EUR Number of shares x closing price at end of period
Alternative Performance Mea-
sures
Alma Media Corporation additionally uses and presents Alternative Performance Measures to
illustrate the operative development of its business and improve comparability between reporting
periods. The Alternative Performance Measures are reported in addition to IFRS key figures.
The Alternative Performance Measures used by Alma Media Corporation are the following:
Operating profit excluding adjust-
ed items (MEUR and % of revenue)
Profit before tax and financial items excluding adjust-
ed items
EBITDA excluding adjusted items Operating profit excluding depreciation, amortisation, impair-
ment losses and adjusted items
Items adjusting operating profit are income or expenses arising from non-recurring or rare events.
Gains or losses from the sale or discontinuation of business operations or assets, gains or losses
from restructuring business operations as well as impairment losses of goodwill and other assets
are recognised by the Group as adjustments. Adjustments are recognised in the income statement
within the corresponding income or expense group.
Interest-bearing net debt (MEUR) Interest-bearing debt – cash and cash equivalents
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 41ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Consolidated comprehensive income statement
MEUR Note 1.1.–31.12.2021 1.1.–31.12.2020
Continuing operations
Revenue 1.1, 1.2 275. 4 230. 2
Other operating income 1.2 1.4 3.3
Change in inventories of finished products 0.1 -0 .1
Materials and services 1.3 35.6 32.6
Expenses arising from employee benefits 1.3, 1.4 109. 2 93.3
Depreciation, amortisation and impairment 2.1, 2.2 16 .7 15.8
Other operating expenses 1.3 58 .6 4 8.7
Operating profit 1.1 56.8 43 .1
Finance income 3.1 0.9 0.3
Finance expenses 3.1 2.3 1.3
Share of profit of associated companies 4.4 1.0 0.1
Profit before tax 56.3 42 . 2
Income tax 5.1, 5.2 -1 2 .1 -9.0
Profit from continuing operations 44.3 33 .3
Profit form discontinued operations 65.8
Profit for the period 44.3 99 .1
Other comprehensive income
Items arising due to the redefinition of net defined benefit
liability (or asset item)
-0. 2 0. 2
Translation differences 0.3 0.6
Other comprehensive income for the year, net of tax 0.1 0.7
Total comprehensive income for the year, net of tax 44.3 99.8
MEUR Note 1.1.–31.12.2021 1.1.–31.12.2020
Profit for the period attributable to
Owners of the parent company 43.6 93.3
Non-controlling interest 0.7 5 .7
Total comprehensive income for the period attributable to:
Owners of the parent company 43 .7 94 .1
Non-controlling interest 0.7 5 .7
Distribution of total comprehensive income
Continuing operations 44.3 34.0
Discontinued operations 65.8
Earnings per share calculated from the profit for the period
attributable to the parent company shareholders, continuing
operations (€)
Earnings per share (basic) 0.53 0.3 3
Earnings per share (diluted) 0.52 0.33
Earnings per share calculated from the profit for the period
attributable to the parent company shareholders (€)
Earnings per share (basic) 3.9 0. 53 1.1 3
Earnings per share (diluted) 3.9 0.52 1.1 1
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 42ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Consolidated balance sheet
MEUR Note 31.12.2021 31.12.2020
ASSETS
Non-current assets
Goodwill 2.1 294.5 15 0.7
Other intangible assets 2.1 90.6 5 5 .1
Tangible assets 2.2 2 .3 2.4
Right-of-use assets 2.2 32.9 38.2
Shares in associated companies 2.2 7. 7 6.6
Pension receivables, defined benefit plans 0.0
Other non-current financial assets 3.6 3.9
Deferred tax assets 5.2 0.7 0.3
Current assets
Inventories 3.7 0.7 0.6
Tax receivables 1.8 1 .0
Trade and other receivables 31.5 2 7.1
Other current financial assets 3.2 0. 2 0.0
Cash and cash equivalents 3.2 51. 9 48.0
Assets, total 518.4 333.9
EQUITY AND LIABILITIES
Share capital 45.3 45.3
Share premium reserve 7. 7 7. 7
Translation differences 0.3 0.0
Invested non-restricted equity fund 19 .1 1 9.1
Retained earnings 91.2 111.4
Equity attributable to owners of the parent 3.9 163 .6 183.6
Non-controlling interest 2.9 2 1 .0
Total equity 166.5 204.6
Non-current liabilities
Deferred tax liabilities 5.2 18.9 11.5
Pension liabilities 3.6 0.8 0.7
Lease liabilities 3.3 26.8 31 .9
Non-current financial liabilities 3.3 2 16.3 13.6
MEUR Note 31.12.2021 31.12.2020
Current liabilities
Advances received 39. 2 9. 9
Income tax liability 5.3 3 .4
Lease liabilities 3.3 7. 0 7.0
Current financial liabilities 3.3 0.8 2.8
Trade and other payables 3.7 36.8 48.5
Liabilities, total 351.9 129. 4
Equity and liabilities, total 518. 4 333.9
432
257
86
77
0
100
200
300
400
500
600
2021 2020
Short term assets
Non-current assets
MEUR
Balance sheet, Assets
518
334
166
205
234
39
118
91
0
100
200
300
400
500
600
2021 2020
Non-interest-bearing liabilities
Interest-bearing liabilities
Equity
MEUR
Balance sheet,
Equity & liabilities
518
334
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 43ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Consolidated cash flow statement
MEUR Note 1.1.–31.12.2021 1.1.–31.12.2020
Cash flow from operating activities
Profit for the period 44.3 9 9 .1
Adjustments 3 7.1 -39.6
Change in working capital 7. 3 5.8
Dividend received 0.4 0.2
Interest received 0.1 0 .1
Interest paid -2 . 2 -1 . 5
Taxes paid -11 . 3 -8. 1
Net cash flow from operating activities 75.6 56.0
Investing activities
Acquisitions of tangible assets -1 . 5 -0.9
Acquisitions of intangible assets -2.3 -2. 2
Proceeds from sale of tangible and intangible assets 0.4 0.0
Other investments -0. 5 -0.6
Proceeds from sale of available-for-sale financial assets 1.0 0.0
Payments of loan receivables 0.3
Business acquisitions less cash and cash equivalents at the time
of acquisition
-23 6 .7 -7 2 . 5
Proceeds from sale of businesses less cash and cash equivalents
at the time of sale
Acquisition of associated companies 4.4 -0.4 -4 .0
Proceeds from sale of associated companies 4.4 0.0 0.4
Investing activities -2 3 7. 9 -2 8 .4
MEUR Note 1.1.–31.12.2021 1.1.–31.12.2020
Cash flow before financing activities -16 2 .3 2 7. 6
Financing activities
Long term loans taken 420.0
Repayment of long term loans -2 2 0.0
Short term loans taken 5.0
Repayment of short term loans -5 .0
Payments of lease liabilities -7. 5 -7. 4
Acquisition of own shares -1 .1 -1 . 5
Dividends paid 3.9 -24 .9 -3 7. 6
Financing activities 166.4 -46. 4
Change in cash and cash equivalent funds increase (+) decrease (-) 4 .1 -1 8 . 8
Cash and cash equivalents at beginning of period 3.2 48 .0 67. 1
Effect of change in foreign exchange rates 0.2 -0. 2
Cash and cash equivalents at end of period 3.2 51.9 4 8.0
75.6
-237.9
166.4
56.0
-28.4
-46.4
-300
-250
-200
-150
-100
-50
0
50
100
150
200
Cash flow from operating activities Cash flow from investments Cash flow from financing
2020 2021
MEUR
Cash flow from investing activities
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 44ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Further details for the statement of cash flow
MEUR Note 1.1.–31.12.2021 1.1.–31.12.2020
Operating activities
Adjustments:
Depreciation, amortisation and impairment 2 16.7 15.8
Share of profit of associated companies 4.4 -1.0 -0.1
Capital gains (losses) on the sale of fixed assets and other
investments
0.0 -63.5
Financial income and expenses 3.1 1.4 1.4
Income tax 5.1 12.1 10.9
Change in provisions 1.3 -0.0 -1.6
Other adjustments 7.9 -2.5
Adjustments, total 37.1 -39.6
Change in working capital:
Change in trade receivables -2.9 -1.5
Change in inventories -0.1 -0.3
Change in trade payables 10.3 7.5
Change in working capital, total 7.3 5.8
Investing activities
Investments financed through finance leases -2.1
Gross capital expenditure, payment-based* -2.2 -3.7
Sold and purchased business operations, non-payment-based -237.2 -17.7
Investments, total -241.5 -21.4
* Excluding investments of acquired business.
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 45ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Attributable to equity holders of the parent
MEUR Note Share capital
Share premium
reserve
Foreign
currency
translation
reserve
Invested
non-
restricted
equity fund
Retained
earnings
Equity
attributable
to the owners
of parent
Minority
interest Total equity
Total equity 1.1.2020 45.3 7. 7 -0. 5 19 .1 100. 5 17 2 .1 30. 4 202 .5
Profit for the period 93.3 93.3 5.7 9 9 .1
Other comprehensive income 0. 2 0. 2 0. 2
Translation differences 0.6 0.6 -0. 4 0. 2
Transactions with equity holders
Dividends paid by parent -32.9 -32.9 -32.9
Dividends paid by subsidiaries -4.6 -4 .6
Acquisition of own shares -1 . 5 -1 . 5 -1 . 5
Share-based payment transactions -0. 3 -0. 3 -0. 3
Change in ownership in subsidiaries -47. 9 -4 7. 9 -1 0. 2 -5 8 .1
Total equity 31.12.2020 3.9 45.3 7. 7 0.0 19.1 111.4 18 3.6 21 .0 204 .6
Total equity 1.1.2021 45.3 7. 7 0.0 19.1 111.4 18 3.6 21 .0 204 .6
Profit for the period 43.6 43.6 0 .7 44.3
Other comprehensive income -0. 2 -0. 2 -0. 2
Translation differences 0.3 0.3 0.6 0.8
Transactions with equity holders
Dividends paid by parent -24.7 -24 .7 -24.7
Dividends paid by subsidiaries 0.0 0.0
Acquisition of own shares -1 .1 -1 .1 -1 .1
Disposal of own shares 0.1 0.1 0.1
Share-based payment transactions 3.6 3.6 3.6
Change in ownership in subsidiaries -41 .6 -41. 6 -19.3 -6 0.9
Total equity 31.12.2021 0.0 45.3 7. 7 0. 3 19.1 91.2 16 3.6 2 .9 166.5
Consolidated statement of changes in equity
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 46ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Accounting principles used in the consolidated financial statements
Basic information on the Group
Talouselämä, Iltalehti, Etuovi.com, Nettiauto and Monster. Alma Media generates sus-
tainable growth from media to services, providing content and services that benefit
users in their everyday lives, work and leisure time. Alma Media operates in 13 Euro-
pean countries. The Group’s parent company Alma Media Corporation is a Finnish
A copy of the consolidated financial statements is available online at www.almamedia.
fi or from the parent company head office.
The Board of Directors approved the financial statements for disclosure on 15 Febru-
ary 2022. According to the Finnish Limited Liability Companies Act, shareholders have
the opportunity to approve or reject the financial statements at the General Meeting
of Shareholders held after publication. It is also possible to amend the financial state-
ments at the General Meeting of Shareholders.
The figures in the financial statements are independently rounded.
Accounting principles
The consolidated financial statements have been prepared in accordance with the
International Financial Reporting Standards, IFRS. The IAS and IFRS standards and
SIC and IFRIC interpretations in effect on 31 December 2021 have been applied. In-
ternational Financial Reporting Standards refer to the standards and their interpreta-
tions approved for application in the EU in accordance with the procedure stipulated
in EU regulation (EU) no 1606/2002 and embodied in Finnish accounting legislation
and the statutes enacted under it. The notes to the consolidated financial statements
also comply with Finnish accounting and company legislation.
The Group adopted IFRS accounting principles during 2005 and in this connection
applied IFRS 1 (First-time adoption), the transition date being 1 January 2004.
The consolidated financial statements are based on the purchase method of ac-
counting unless otherwise specified in the accounting principles below. Figures in
the tables in the financial statements are presented in millions of euros.
The Group’s parent company, Alma Media Corporation (corporate ID code
FI19447574, called Almanova Corporation until 7 November 2005) was established
on 27 January 2005. The company acquired the shares of the previous Alma Media
Corporation (corporate ID code FI14495809) during 2005. The acquisition has been
treated in the consolidated accounts as a reverse acquisition based on IFRS 3. This
means that the acquiring company was the old Alma Media Corporation and the
company being acquired was the Group’s current legal parent company, Almanova
Corporation. The net fair value of the assets, liabilities and contingent liabilities on
the acquisition date did not differ from their carrying values in the company’s ac-
counts. The acquisition cost was equivalent to the net fair value of the assets, liabili-
ties and contingent liabilities and, therefore, no goodwill was created by the acquisi-
tion. The accounting principles adopted for the reverse acquisition apply only to the
consolidated financial statements.
Changes in accounting principles
The changes in IFRS standards that entered into effect in the financial year 2021
mainly consisted of amendments to existing standards, and they had no material
effect on Alma Media’s consolidated financial statements.
Alma Media’s new segment structure entered into effect on 1 March 2021. Alma Media
also changed its revenue reporting by distributing revenue between marketplaces,
media and service revenue.
Starting from the beginning of 2021, the Group has recognised advances received
allocated to the recruitment business in the Czech Republic in advances received on
the balance sheet instead of in trade and other payables, which was previously the
case. The effect of the change amounted to MEUR 20.1 on 31 December 2021.
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 47ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Translation of items denominated in foreign currencies
Figures in the consolidated financial statements are shown in euro, the euro being
the functional and presentation currency of the parent company. Foreign currency
items are entered in EUR at the rates prevailing at the transaction date. Monetary for-
eign currency items are translated into EUR using the rates prevailing at the balance
sheet date. Non-monetary foreign currency items are measured at their fair value
and translated into EUR using the rates prevailing at the balance sheet date. In other
respects non-monetary items are measured at the rates prevailing at the transac-
tion date. Exchange rate differences arising from sales and purchases are treated as
additions or subtractions respectively in the statement of comprehensive income.
Exchange rate differences related to loans and loan receivables are taken to other
finance income and expenses in the profit or loss for the period.
The income statements of foreign Group subsidiaries are translated into EUR using
the weighted average rates during the period, and their balance sheets at the rates
prevailing on the balance sheet date. Goodwill arising from the acquisition of for-
eign companies is treated as assets and liabilities of the foreign units in question
and translated into EUR at the rates prevailing on the balance sheet date. Translation
differences arising from the consolidation of foreign subsidiaries and associated
companies are entered under shareholders’ equity. Exchange differences arising on
a monetary item that forms part of the reporting entity’s net investment in the for-
eign operation shall be recognised in the balance sheet and reclassified from equity
to profit or loss on disposal of the net investment.
Operating profit and EBITDA
IAS 1 Presentation of Financial Statements does not include a definition of operating
profit or gross margin. Gross margin is the net amount formed when other operating
profit is added to net sales, and material and service procurement costs adjusted for
the change in inventories of finished and unfinished products, the costs arising from
employee benefits and other operating expenses are subtracted from the total. Op-
erating profit is the net amount formed when other operating profit is added to net
sales, and the following items are then subtracted from the total: material and service
procurement costs adjusted for the change in inventories of finished and unfinished
products; the costs arising from employee benefits; depreciation, amortisation and
impairment costs; and other operating expenses. All other items in the profit or loss
not mentioned above are shown under operating profit. Exchange rate differences
and changes in the fair value of derivative contracts are included in operating profit if
they arise on items related to the company’s normal business operations. Otherwise
they are recognised in financial items.
Adjusted items
Adjusted items are income or expense arising from non-recurring or rare events.
Gains or losses from the sale or discontinuation of business operations or assets,
transaction costs arising from business acquisitions, gains or losses from restructur-
ing business operations as well as impairment losses of goodwill and other assets
are recognised by the Group as adjusted items. Adjusted items are recognised in the
profit and loss statement within the corresponding income or expense group. Adjust-
ed items are described in the Report by the Board of Directors.
Accounting principles requiring management’s judgement and key
sources of estimation uncertainty
The preparation of the consolidated financial statements in conformity with IFRS
requires management to make estimates and assumptions which may differ from
actual results in the future. Management is also required to use its discretion as to the
application of the accounting principles used to prepare the statements.
The management of the Group makes judgement-based decisions pertaining to the
selection and application of the accounting principles used in the financial state-
ments. This particularly applies in cases where the existing IFRS regulations allow for
alternative methods of recognition, measurement and presentation.
Alma Media has identified subscription products and customer loyalty products in
accordance with the provisions of IFRS 15. As the item prices of these products are
not material, they are not treated as separate performance obligations based on the
management’s assessment of materiality. The revenue derived from such products is
recognised as part of the main products.
According to IFRS 15 Revenue from Contracts with Customers, an entity shall recognise
revenue when it satisfies a performance obligation by transferring a promised good
or service to a customer. Alma Media’s exception to the revenue recognition practices
required by IFRS 15 is the recognition of revenue from credit packages associated with
the recruitment business. In credit package transactions, the customer buys cred-
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 48ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
its against which Alma Media provides advertising sales services during the validity
of the credits, subject to an agreed-upon price list. According to the management’s
assessment, recognising revenue evenly over the contract period instead of a revenue
recognition model based on actual use leads to essentially the same outcome as rec-
ognising revenue based on the use of the credits.
In accordance with IFRS 5, the consolidated income statement presents the result
of discontinued operations separately from the result of continuing operations. The
proportion of the Group’s expenses that is estimated to no longer burden the result
of the continuing operations has been allocated to the discontinued operations.
Conversely, the proportion of the expenses that is estimated to continue to burden
the result of the Group’s continuing operations has been allocated to the continuing
operations.
The estimates made in conjunction with preparing the financial statements are based
on the management’s best assessments on the reporting period end date. The esti-
mates are based on prior experience, as well as future assumptions that are consid-
ered to be the most likely on the balance sheet date with regard to issues such as the
expected development of the Group’s economic operating environment in terms of
sales and cost levels. The Group monitors the realisation of estimates and assump-
tions, as well as changes in the underlying factors, on a regular basis in cooperation
with the business units, using both internal and external sources of information. Any
changes to these estimates and assumptions are entered in the accounts for the pe-
riod in which the estimate or assumption is adjusted and for all periods thereafter.
Future assumptions and key sources of uncertainty related to estimates made on the
balance sheet date that involve a significant risk of changes to the book values of the
Group’s assets and liabilities during the following financial year are presented below.
The management has considered these components of the financial statements to
be the most relevant in this regard, as they involve the most complicated account-
ing policies from the Group’s perspective and their application requires the most
extensive application of significant estimates and assumptions—for example, in the
valuation of assets. In addition, the effects of potential changes to the assumptions
and estimates used in these components of the financial statements are estimated to
be the largest.
The determination of the fair value of intangible assets in conjunction with business
combinations is based on the management’s estimate of the cash flows related to the
assets in question. The determination of the fair value of liabilities related to contin-
gent considerations arising from business combinations are based on the manage-
ment’s estimate. The key variable in the change in fair value of contingent consider-
ations is the estimate of future operating profit.
Impairment tests: The Group tests goodwill and intangible assets with an indefinite
useful life for impairment annually and reviews any indications of impairment in the
manner described above. The amounts recoverable from cash-generating units are
recognised based on calculations of their fair value. The preparation of these cal-
culations requires the use of estimates. The estimates and assumptions used to test
major goodwill items for impairment, and the sensitivity of changes in these factors
with respect to goodwill testing is described in more detail in the note which speci-
fies goodwill.
Useful lives: Estimating useful lives used to calculate depreciation and amortisation
also requires management to estimate the useful lives of these assets. The useful
lives applied for each type of asset are listed in the notes under 2.2 Property, Plant
and Equipment and 2.1 Intangible Assets.
Other estimates: Other management estimates relate mainly to other assets, such
as the current nature of receivables and capitalised R&D costs, to tax risks, to deter-
mining pension obligations and to the utilisation of tax assets against future taxable
income.
For leases that are valid indefinitely but have a short period of notice, the financial
statements also include an assumption of the period of time the premises in question
will be used in business operations. This estimate affects the balance sheet amount
of lease liability for the leases for the premises in question.
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 49ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Notes to the consolidated financial statements
1. Segments and operating profit
1.1 Information by segment
Alma Media’s new segment structure entered into effect on 1 March 2021. As part of the
transition to a new segment structure, the Alma Mediapartners services that were pre-
viously reported as part of the Alma Markets business segment are now reported under
the Alma Consumer business segment. In connection with the change, the name Alma
Markets was changed to Alma Career.
Alma Media has three business segments: Alma Career, which focuses on the recruit-
ment business and recruitment-related services in Eastern Central Europe and Finland;
Alma Talent, which provides financial media and services aimed at professionals and
businesses; and Alma Consumer, which focuses on the consumer media and mar-
ketplaces business. Centralised services produced by the Group’s parent company,
as well as centralised support services for advertising and digital sales for the entire
Group, are reported outside segment reporting.
The Group’s reportable segments correspond to the Group’s operating segments.
Segment information is based on internal management reporting, which has been pre-
pared in accordance with IFRS.
Recruitment-related services, such as Jobs.cz, Prace.cz, CVOnline, Profesia.sk, Moj-
Posao.net, MojPosao.ba, Monster.fi, the Seduo online training service and Prace za ro-
hem, are reported under the Alma Career segment. In addition to enhancing job adver-
tising, Alma Career’s objective is to expand the business into new services to support
the needs of job-seekers and employers, such as job advertising-related technology,
digital staffing services and training. Alma Career operates in 10 countries in Europe.
Alma Talent’s core business consists of digital subscription-based content media, as
well as digital data, content and marketplace services. In addition to the leading finan-
cial media brand Kauppalehti, Alma Talent’s financial and professional media include
Talouselämä, Tekniikka & Talous and Arvopaperi. Alma Talent Services offers profes-
sionals a comprehensive range of services related to company information, real estate
information, law, financial management, competence development, leadership and
marketing.
The Alma Consumer segment consists of a broad offering of 37 consumer and B2B
brands. The business of the Alma Consumer segment includes the
multi-channel news and lifestyle media Iltalehti, Finland’s leading housing market-
place Etuovi.com and housing rental marketplace Vuokraovi.com,
the automotive marketplaces Nettiauto, Autotalli.com and Nettimoto, as well as the
housing and car trade systems that serve companies representing these fields.
In addition, the segment includes comparison services, such as Autojerry, Urakkamaail-
ma and Etua. Netello, which specialises in digital advertising solutions, is also reported
under the Alma Consumer segment.
Alma Consumer’s competitiveness is based on the reach of media and services as a
digital network, the user data pool, and the developing industry verticals in the areas of
media, housing, cars and comparison services.
The segments’ assets and liabilities are items used by the respective segments in their
business operations
The Group’s business is mainly divided between two geographical areas: Finland and
the rest of Europe. Alma Career operates in Finland and 10 other European countries,
principally the Czech Republic and Slovakia. The Alma Talent segment’s business op-
erations are located in Finland, the Baltic countries and Sweden. The Alma Consumer
segment operates in Finland.
The revenue and assets for different geographical regions are based on where the ser-
vices are located. The following tables show the geographical breakdown of the Group’s
revenue and assets in 2021 and 2020:
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 50ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Revenue
MEUR 2021
Share of total,
% 2020
Share of total,
%
Segments, Finland, continuing opera-
tions 188.1 68.3 158.4 61.6
Segments, Finland, discontinued op-
erations 0.0 0.0 27.1 10.5
Segments, other countries 87.3 31.7 71.8 27.9
Total 275.4 100.0 257.3 100.0
Operating profit
MEUR 2021
Share of total,
% 2020
Share of total,
%
Segments, Finland, continuing oper-
ations 41.1 72.5 26.3 23.6
Segments, Finland, discontinued
operations 0.0 0.0 68.1 61.3
Segments, other countries 32.9 58.0 23.3 20.9
Segments total 74.1 130.5 117.7 105.8
Non-allocated -17.3 -30.5 -6.5 -5.8
Total 56.8 100.0 111.2 100.0
Assets
MEUR 2021
Share of total,
% 2020
Share of total,
%
Finland, continuing operations 375.2 72.4 216.2 64.7
Other countries 144.0 27.8 118.1 35.4
Eliminations -0.9 -0.2 -0.4 -0.1
Total 518.4 100.0 333.9 100.0
87.3
71.8
188.1
158.4
0
50
100
150
200
250
300
2021 2020
Revenue
Finland
International
MEUR
32.9
23.3
41.1
26.3
-17.3
-6.5
-20
0
20
40
60
80
2021 2020
Operating profit
Not allocated
International
Finland
MEUR
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 51ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Profit for the period
MEUR
Alma
Career
Alma
Talent
Alma
Consumer
Reportable
segments
total
Non-allo-
cated items
and elimina-
tions Group
Financial year 2021
EBITDA excluding adjusted
items 32.8 24.3 28.6 85.7 -7.9 77.8
Depreciation and impairment -2.8 -3.7 -4.6 -11.1 -5.6 -16.7
Operating profit excluding
adjusted items 30.0 20.6 23.9 74.5 -13.4 61.1
Adjusted items 0.0 0.0 -0.4 -0.4 -3.9 -4.3
Operating profit (loss) 30.0 20.5 23.5 74.1 -17.3 56.8
Share of result of associated
companies 1.0 0.0 0.0 1.0 0.0 1.0
Net financial expenses 0.3 -0.7 -0.2 -0.6 -0.9 -1.4
Profit before tax and appro-
priations 31.4 19.8 23.3 74.5 -18.2 56.3
Income tax 0.0 -12.1 -12.1
Profit for the period, includ-
ing discontinued operations 31.4 19.8 23.3 74.5 -30.2 44.3
Profit for the period, discon-
tinued operations 0.0
Profit for the period, continu-
ing operations 44.3
230.2
275.4
2020 Alma
Career
Alma
Talent
Alma
Consumer
Shared
Services
2021
Change in revenue, 2020-2021
MEUR
19.4
4.6
24.6
-3.5
Revenue
MEUR
Alma
Career
Alma
Talent
Alma
Consumer
Segments,
total
Non-allocat-
ed items and
eliminations Group
Financial year 2021
Revenue
External revenue 83.1 94.2 67.8 245.0 30.4 275.4
Inter-segment revenue -0.9 5.5 26.8 31.3 -31.3
Segments total 82.2 99.7 94.5 276.4 -0.9 275.4
Financial year 2020
Revenue
External revenue 63.3 89.5 48.9 201.6 28.6 230.2
Inter-segment revenue -0.6 5.6 21.1 26.1 -26.1 0.0
Segments total 62.7 95.1 69.9 227.7 2.5 230.2
MEUR 2021 2020
Reportable segments total, including discontinued operations 275.4 254.8
Non-allocated operations -0.9 2.5
Group total, including discontinued operations 274.5 257.3
Discontinued operations 27.1
Continuing operations total 275.4 230.2
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 52ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Assets and liabilities
MEUR
Alma
Career
Alma
Talent
Alma Con-
sumer
Segments,
total
Non-allo-
cated items
and elimi-
nations Group
Financial year 2021
Assets 79.7 113.1 224.1 416.9 93.8 510.7
Investments in associated com-
panies and joint ventures 7.2 0.4 0.0 7.6 0.1 7.7
Assets, total 86.9 113.5 224.1 424.5 93.9 518.4
Liabilities, total 39.5 38.4 14.2 92.1 259.8 351.9
Capital expenditure 3.2 1.0 180.9 185.2 61.9 247.1
Financial year 2020
Assets 73.4 116.6 42.6 232.7 94.6 327.3
Investments in associated com-
panies and joint ventures 6.6 0.0 6.6 6.6
Assets, total 80.0 116.6 42.6 239.3 94.6 333.9
Liabilities, total 25.3 38.8 9.0 73.1 56.3 129.4
Capital expenditure 8.5 25.4 3.5 37.4 54.1 91.4
Assets not allocated to segments are financial assets and tax receivables.
Liabilities not allocated to segments are financial and tax liabilities.
45.4
61.1
2020 Alma
Career
Alma
Talent
Alma
Consumer
Shared
Services
2021
Change in adjusted operat ing profit , 2020-2021
MEUR
9.4
4.3
8.9
-6.9
Profit for the period
MEUR
Alma
Career
Alma
Talent
Alma
Consumer
Report-
able
segments
total
Discon-
tinued
opera-
tions
Non-allo-
cated items
and elimi-
nations Group
Financial year 2020
EBITDA excluding adjust-
ed items 23.9 20.4 17.0 61.4 1.5 -0.5 62.3
Depreciation and impair-
ment -3.3 -4.2 -2.0 -9.5 0.0 -6.0 -15.5
Operating profit exclud-
ing adjusted items 20.6 16.2 15.0 51.9 1.5 -6.5 46.8
Adjusted items 0.8 -3.2 0.1 -2.3 66.7 0.0 64.4
Operating profit (loss) 21.4 13.1 15.1 49.6 68.1 -6.5 111.2
Share of result of associ-
ated companies 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Net financial expenses 0.1 0.0 0.1 0.2 -0.5 -1.1 -1.4
Profit before tax and
appropriations 21.5 13.1 15.1 49.9 67.7 -7.6 109.9
Income tax -1.9 -9.0 -10.9
Profit for the period,
including discontinued
operations 21.5 13.1 15.1 49.9 65.8 -16.6 99.1
Profit for the period, dis-
continued operations 65.8
Profit for the period, con-
tinuing operations 33.3
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 53ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
IFRS 15 includes a five-stage framework for the recognition of revenue from contracts with
customers. According to IFRS 15, an entity shall recognise revenue at an amount that reflects the
consideration to which the entity expects to be entitled in exchange for those goods or services.
Revenue can be recognised over time or at a point in time, with the central criterion being the trans-
fer of control.
Alma Media changed its revenue reporting on 1 March 2021, with revenue now being distributed be-
tween marketplaces, media and service revenue. These constitute the Alma Media Group’s significant
revenue streams.
The revenue of marketplaces mainly consists of digital advertising revenue. Revenue from classified
digital advertising sales is recognised over time during the term of the advertisement. Revenue from
the sales of advertisements with a long contract period (1–12 months) is recognised over the contract
period.Advertising revenue in marketplaces and media consists of selling advertising space in the
Group’s media and services, both online and in print. The performance obligations in marketplaces
and media advertising are advertising online and in print publications, such as display advertising,
content marketing and partner sales. Digital revenue from marketplaces and media is recognised over
time, primarily based on the timing of the advertisement’s publication, while revenue from print adver-
tising sales is recognised at a point in time, based on publication dates.
Media content revenue includes fees for content sold by the Group’s media. Revenue from media
content sales is earned from content sold for both print and digital publications. Under media content
revenue, digital services and print products are separate performance obligations, with print reve-
nue recognised at a point in time, on the publication dates, and digital revenue recognised over time,
during the term of the agreement, relative to calendar days.
Service sales include the Alma Talent segment’s book, event and training business and the sale of
information services. The Group also has online services aimed at consumers. Service revenue is rec-
ognised over time during the period in which the service is delivered.
Alma Media also engages in business operations where Alma Media acts as an agent for services
provided by external partners. In these cases, Alma Media does not have primary responsibility for the
fulfilment of the contract. The net amount of consideration is recognised as revenue when the sales
transaction occurs. Agency sales represent a small proportion of total revenue.
Transaction prices are list prices or contractual customer-specific prices, less other items that reduce
the amount of expected consideration, such as discounts granted. Alma Media’s contracts typically do
not include variable amounts of consideration where the related uncertainty would only be resolved
after the performance obligation has been fulfilled. Due to the nature of Alma Media’s products and
services, returning them is not possible as a rule. Accordingly, no refund liabilities arise from their sale.
When the period between the transfer of the product or service to the customer and the customer
paying for it is one year or less, Alma Media applies the practical expedient by which it does not need
to recognise a significant financing component nor adjust the transaction price for the effects of the
time value of money.
As a rule, the subscriptions associated with content revenue are paid at the start of the subscription
period. Marketplace revenue, media advertising revenue and service revenue are paid at the start of
the contract period as a rule. Payments received from customers are treated as prepayments on the
balance sheet, from where the prepayments are recognised as revenue as the performance obligations
are transferred to customers; for example, based on the publication dates of the print products included
in subscriptions.
Alma Media has incremental costs of obtaining contracts, such as commissions on the sale of publi-
cations. Alma Media applies the practical expedient and does not recognise an asset from the costs
incurred to obtain a contract. The costs would be recognised as expenses in one year or less.
1.2 Operating income
1.2.1 Revenue
2021
MEUR
Alma
Career
Alma
Talent
Alma Con-
sumer
Segments,
total
Non-allo-
cated items
and elimi-
nations Group
Marketplaces 74.1 6.2 37.3 117.6 -1.2 116.4
Media 53.2 47.9 101.1 0.8 101.9
Content media 33.5 14.7 48.2 0.0 48.2
- of which digital 46.7% 3.4% 33.5%
Advertising media 19.6 33.3 52.9 0.8 53.7
- of which digital 57.4% 88.6% 77.8%
Service revenue 8.1 40.3 9.3 57.7 -0.6 57.1
- of which digital 96.8% 54.7% 98.0% 65.7%
Total 82.2 99.7 94.5 276.4 -0.9 275.4
* Service revenue includes rental income that is not treated in accordance with IFRS 15. The amount of rental income is
immaterial with respect to the consolidated financial statements.
2020
MEUR
Alma
Career
Alma
Talent
Alma Con-
sumer
Segments,
total
Discon-
tinued op-
erations
Non-allo-
cated items
and elimi-
nations Group
Marketplaces 58.1 5.5 22.7 86.2 0.4 86.7
Media 54.4 40.7 95.1 23.8 -0.2 118.7
Content media 35.2 15.2 50.4 15.9 0.0 66.2
- of which digital 36.3% 0.2% 16.2% 23.2%
Advertising media 19.3 25.4 44.7 7.9 -0.2 52.4
- of which digital 50.4% 92.2% 13.0% 65.2%
Service revenue 4.6 35.2 6.5 46.3 3.3 2.4 51.9
- of which digital 96.3% 47.2% 98.6% 1.3% 50.2%
Total 62.6 95.1 69.9 227.7 27.1 2.5 257.3
* Service revenue includes rental income that is not treated in accordance with IFRS 15. The amount of rental income is
immaterial with respect to the consolidated financial statements.
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 54ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
1.2.2 Other operating income
2021 2020
Gains on sale of non-current assets, continuing operations 0.2 0.9
Proceeds on sale related to incremental acquisition 1.6
Other operating income, continuing operations 1.2 0.8
Other operating income, discontinued operations * 65.9
Total 1.4 69.2
MEUR
* Other other operating income in 2020 includes the profit recognised on the sale of the regional newspaper business
and printing business.
1.3 Operating expenses
1.3.1 Materials and services
MEUR 2021 2020
Purchases during period 3.5
Change in inventories -0.4
Use of materials and supplies 3.2
External services 35.6 41.6
Total 35.6 44.7
Materials and services, discontinued operations 12.1
Materials and services, continuing operations 35.6 32.6
1.3.2 Research and development expenses
The Group’s research and development expenses in 2021 totalled MEUR 4.6 (MEUR
4.6). MEUR 3.6 (MEUR 3.2) was recognised in the income statement and development
expenses of MEUR 1.0 (MEUR 1.4) were capitalised on the balance sheet in 2021. There
were capitalised research and developments expenses totalling MEUR 2.2 (MEUR 2.0)
on the balance sheet on 31 December 2021.
1.3.3 Employee benefits expense
Employee benefits cover short-term employee benefits, other long-term benefits, benefits paid
in connection with dismissal and post-employment benefits.
Short-term employee benefits include salaries and benefits in kind, annual holidays and bonuses.
Other long-term benefits include, for example, a celebration, holiday or remuneration based on a
long period of service. Benefits paid in connection with dismissal are benefits that are paid due to the
termination of an employee’s contract and not for service in the company.
Post-employment benefits comprise pension and benefits to be paid after termination of the
employee’s contract, such as life insurance and healthcare. These benefits are classified as either
defined contribution or defined benefit plans. The Group has both forms of benefit plans. The ac-
counting principles related to pensions are presented in more detail in Note 3.6 Pension obligations.
Past service costs are recognised as expenses through profit or loss at the earlier of the following:
when the plan is rearranged or downsized, or a when the entity recognises the related rearrange-
ment expenses or benefits related to the termination of employment.
MEUR 2021 2020
Wages, salaries and fees. continuing operations 84.8 75.1
Wages, salaries and fees, discontinued operations 8.3
Pension costs – defined contribution plans, continuing operations 11.9 9.1
Pension costs – defined contribution plans, discontinued operations 0.7
Share-based payment transaction expense 4.3 0.9
Other employee expenses, continuing operations 8.3 8.2
Other employee expenses, discontinued operations 0.2
Total 109.2 102.5
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 55ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
60 %
40 %
Finland
International
Personnel
Average number of employees, calculated as full-time employees (excl.
telemarketers) 2021 2020
Alma Career 594 588
Alma Talent 444 456
Alma Consumer 339 297
Discontinued operations 175
Shared operations 172 156
Total 1,549 1,672
Telemarketers on average 337 335
1.3.4 Other operating expenses
Specification of other operating expenses by category:
MEUR 2021 2020
Information technology and telecommunication 27.2 24.1
Business premises 2.2 2.2
Sales and marketing 11.9 13.8
Administration and experts 8.1 5.9
Other employee costs 4.8 3.8
Other expenses 4.4 2.3
Total 58.6 52.2
Other operating expenses, continuing operations 48.7
Other operating expenses, discontinued operations 3.5
1.3.5 Audit expenses
2021 2020
Companies belonging to the PricewaterhouseCoopers chain
Audit 232.3 252.7
Reporting and opinions 4.0 1.0
Tax consultation 11.7
Other 127.1 109.4
Total 363.4 374.7
Non-audit services performed by PricewaterhouseCoopers Oy, EUR 1,000For Alma
Media Group companies in the financial period 2021 totalled EUR 127,000 (a total of
EUR 121,000 in the financial period 2020).
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 56ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
1.4 Salaries, bonuses and share-based payments paid to management
The reward scheme of the President and CEO of Alma Media Corporation and other
senior management consists of a fixed monetary salary (monthly salary), fringe ben-
efits (company car and mobile telephone benefit, and housing benefit for the Pres-
ident & CEO), an incentive bonus related to the achievement of financial and opera-
tional targets (short-term reward scheme) and a share-based incentive scheme for
key employees of the Group (long-term reward scheme) as well as a pension benefit
for management.
1.4.1 Salaries and bonuses paid to management
Parent company President and CEO (Kai Telanne)
EUR 1,000 2021 2020
Salaries and other short-term employee benefits 908.4 1,170.1
Post-employment benefits 415.2 447.1
Incentive schemes implemented and paid in the form of shares 944.5 249.7
Total 2,268.1 1,866.9
The figures in the table are presented on an accrual basis. In 2021, the salary and
benefits paid to the President and CEO of the Group totalled EUR 1,410,619 (2020: EUR
2,217,229).
Pension benefits of the President and CEO:
In addition to statutory employment pension security, the President and CEO has a
defined contribution group pension benefit. The supplementary pension contribution of
the President and CEO’s fixed annual salary is 37% of the annual salary, which is calcu-
lated by adding a computational share of 50% of the maximum incentive to the fixed
annual salary. The retirement age is 60 years, at which time the payment of insurance
premiums terminates. The pension is determined on the basis of the insurance savings
accrued by the time of retirement. Retirement can be postponed up to 70 years of age.
In this case, the pension is determined on the basis of insurance savings adjusted ac-
cording to the value development of the investment objects.
Notice period of the President and CEO:
The notice period of the President and CEO is six months. An additional contractual
compensation equal to 12 months’ salary is paid if the employer terminates his contract
without the President and CEO being in breach of contract. This compensation corre-
sponding to the 12-month salary is not paid if the President and CEO resigns on his own
initiative. Alma Media’s Board of Directors decides on the appointment and, as necessary,
dismissal of the President and CEO.
Other members of the Group Executive Team
2021 2020
Salaries and other short-term employee benefits 2,850.0 2,432.8
Post-employment benefits 840.6 759.9
Incentive schemes implemented and paid in the form of shares 1,782.1 450.9
Total 5,472.8 3,643.6
The figures in the table are presented on an accrual basis. Other Group management,
EUR 1,000in 2021, the salary and benefits paid to the members of the Group Executive
Team totalled EUR 3,954,450 (2020: EUR 4,077,914).
Board of Directors of Alma Media Corporation and benefits paid to its members
EUR 1,000 2021 2020
Jorma Ollila, Chairman 78.5 88.0
Petri Niemisvirta, Deputy Chairman 50.2 55.1
Catharina Von Stackelberg-Hammarén, member 39.0 43.0
Peter Immonen, member 40.0 44.5
Esa Lager, member 45.5 49.0
Alexander Lindholm, member 40.0 43.0
Päivi Rekonen, member 4.0 55.5
Total 297.2 378.1
The figures in the table are presented on an accrual basis.
According to the resolution of the General Meeting, the benefits to the Board mem-
bers are paid as shares of Alma Media Corporation.
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 57ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Salaries and benefits to the Board of Directors,
the President and CEO, and other members of the Group Executive Team, total
EUR 1,000 2021 2020
Salaries and other short-term employee benefits 4,055.6 3,981.0
Post-employment benefits 1,255.9 1,207.0
Incentive schemes implemented and paid in the form of shares 2,726.6 700.6
Total 8,038.1 5,888.6
1.4.2 Share-based payments
Share-based incentive scheme (LTI 2015)
In 2015, the Board of Directors of Alma Media Corporation approved the establish-
ment of a long-term share-based incentive scheme for the key management of Alma
Media (hereinafter referred to as “LTI 2015”). The objective of LTI 2015 is to align the
interests of the participants with those of Alma Media’s shareholders by creating
a long-term equity interest for the participants and, thus, to increase the company
value in the long term as well as to drive performance culture, retain participants and
offer them competitive compensation for excellent performance in the company.
LTI 2015 consists of annually commencing individual plans, each subject to sepa-
rate Board approval. Each of the individual plans consists of three main elements: an
investment in Alma Media shares as a precondition for participation in the scheme,
matching shares based on the said share investment and the possibility of earning
performance-based matching shares.
Matching Share Plan
In the matching share plan, the participant receives a fixed amount of matching shares
against an investment in Alma Media shares. In the matching share plan that com-
menced in 2015 (LTI 2015 I), the participant receives two matching shares for each
invested share free of charge after a two-year vesting period, provided that the other
conditions stipulated by the terms of the plan for the receipt of the share-based incen-
tive are still satisfied at the time.
Performance Matching Plan
The performance matching plan comprises a five-year performance period in total.
The potential share rewards will be delivered in tranches after three and five years if
the performance targets set by the Board of Directors are attained.
The performance measures used in the performance matching plan that commenced
in 2015 are based on the company’s profitable growth and share value. If the perfor-
mance targets set by the Board of Directors are attained in full, the participant will
receive in total four matching shares for each invested share free of charge, provided
that the other conditions stipulated for the receipt of the share-based incentive by
the terms of the plan are still satisfied at the time.
Share-based incentive schemes LTI 2015 II (2016), LTI 2015 III (2017) and LTI 2015 IV
(2018)
The Board of Directors of Alma Media Corporation has decided on the following
share-based incentive schemes for the next three years based on the LTI 2015
scheme: LTI 2015 II (2016), LTI 2015 III (2017) and LTI 2015 IV (2018). The main terms of
the incentive schemes correspond to those of the share-based incentive scheme that
was launched in 2015.
The Board of Directors has estimated that no new shares will be issued in connection
with LTI 2015. Therefore, the plan will have no dilutive effect on the number of the
company’s registered shares.
The allocation and maximum reward potential of the share-based incentive scheme
for the President and CEO and the Group Executive Team: The information covers the
LTI I, LTI II, LTI III and LTI IV programmes:
New share-based long-term incentive schemes that started in 2019: LTI 2019
In December 2018, the Board of Directors of Alma Media Corporation decided on
changes to the share-based, long-term incentive scheme of the company’s top man-
agement. At the same time, the Board of Directors decided to establish a new share-
based long-term incentive scheme for the other key employees of Alma Media Corpo-
ration. The new incentive scheme, LTI 2019, entered into effect from the beginning of
2019.
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 58ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
The Annual General Meeting of Alma Media Corporation held on 29 April 2020 autho-
rised the Board of Directors to decide on the repurchase of a maximum of 824,000
shares in one or more lots, and further authorised the Board of Directors to decide
on a share issue by transferring shares in possession of the company to implement
incentive programmes.
In February 2020, the Board of Directors of Alma Media Corporation decided on the
commencement of a new period under the long-term share-based incentive scheme
for senior management (LTI 2019 I). The Board of Directors further decided on the
commencement of a new period under the performance-based share-based incen-
tive scheme aimed at middle management and selected key employees. The incen-
tive schemes were established and originally announced in December 2018.
In April 2021, the Board of Directors of Alma Media Corporation decided on the com-
mencement of a new period under the long-term share-based incentive scheme for
senior management (MSP 2021). The Board of Directors further decided on the com-
mencement of a new period under the performance-based share-based incentive
scheme aimed at middle management and selected key employees (PSP 2021). The
incentive schemes were established and originally announced in December 2018.
Recognition of share-based incentives
Share-based incentives are recognised in their entirety as equity-settled share-based
payment transactions after deducting taxes from the amount payable in shares. The
incentives are based on the market price of Alma Media’s share on the grant date and
recognised as an employee benefit expense over the vesting period with correspond-
ing entries in equity.
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 59ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Principal terms and conditions of the performance share plan:
Instrument
Matching share
plan LTI 2020
Performance
matching plan LTI
2020
AGM date/
Date of issuing 18 Dec 2018 18 Dec 2018
Maximum number of shares 390,000 226,000
Dividend adjustment No No
Initial allocation date 8 May 2020 8 May 2020
Performance period begins 1 Jan 2020 1 Jan 2020
Performance period ends 31 Dec 2022 31 Dec 2022
Vesting date 28 Feb 2023 28 Feb 2023
Maximum contractual life, years 2.8 2.8
Remaining contractual life, years 1.2 2.2
Maximum number of people entitled to participate 9 49
Payment method Cash & share Cash & share
Instrument
Performance
matching share
plan LTI 2015 IV
Matching share plan
LTI 2 019
Performance share
plan LTI 2019
AGM date/
Date of issuing 12 Feb 2015 18 Dec 2018 18 Dec 2018
Maximum number of shares 203,000 310,000 375,000
Dividend adjustment No No No
Initial allocation date 7 May 2018 28 Mar 2019 28 Mar 2019
Performance period begins 1 Jan 2018 1 Jan 2019 1 Jan 2019
Performance period ends 31 Mar 2021 31 Dec 2021 31 Dec 2021
Vesting date 31 Mar 2021 28 Feb 2022 28 Feb 2022
Maximum contractual life, years 3.8 2.9 2.9
Remaining contractual life, years 0.2 0.2 0.2
Maximum number of people entitled to
participate 31 35 9
Payment method Cash & share Cash & share Cash & share
Instrument
Matching share
plan LTI 2021
Performance share
plan LTI 2021
AGM date/
Date of issuing 18 Dec 2018 18 Dec 2018
Maximum number of shares 450,000 226,000
Dividend adjustment No No
Initial allocation date 7 Apr 2021 7 Apr 2021
Performance period begins 1 Jan 2021 1 Jan 2021
Performance period ends 31 Dec 2023 31 Dec 2023
Vesting date 29 Feb 2024 29 Feb 2024
Maximum contractual life, years 3 3
Remaining contractual life, years 2 2
Maximum number of people entitled to participate 9 64
Payment method Cash & share Cash & share
Instrument
Performance match-
ing
share plan TSR LTI
2015 II
Performance
matching share plan
LTI 2015 III
Performance
matching share plan
TSR LTI 2015 IV
AGM date/
Date of issuing 12 Feb 2015 12 Feb 2015 12 Feb 2015
Maximum number of shares 166,000 182,510 203,000
Dividend adjustment No No No
Initial allocation date 17 Mar 2016 30 Jun 2017 7 May 2018
Performance period begins 1 Jan 2016 1 Jan 2017 1 Jan 2018
Performance period ends 31 Mar 2021 31 Mar 2022 31 Mar 2023
Vesting date 31 Mar 2021 31 Mar 2022 31 Mar 2023
Maximum contractual life, years 5.0 4.8 4.8
Remaining contractual life, years 0.2 1.2
Maximum number of people entitled
to participate 21 31
Payment method Cash & share Cash & share Cash & share
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 60ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Changes during share plan period
1 January 2021
Matching share
plan LTI 2021
Perfor-
mance
share plan
LTI 2 02 1
Matching
share plan LTI
2020
Performance
share plan
LTI 2020
Matching
share plan LTI
2019
Outstanding at
the beginning
of the report-
ing period, pcs 344,316 219,000 375,000
Changes during the period
Granted during
the period 391,500 216,000
Lost during the
period 10,000 16,000
Earned during
the period
31 December 2021
Outstanding at
the end of the
period, pcs 391,500 206,000 344,316 203,000 375,000
Changes during share plan period
1 January 2021
Performance
share plan
LTI 2 019
Performance
matching
share plan
TSR LTI 2015
II
Perfor-
mance
matching
share plan
TSR LTI 2015
III
Performance
matching
share plan
LTI 2015 IV
Performance
matching
share plan
TSR LTI 2015
IV Total
Outstanding at the
beginning
of the reporting
period, pcs 228,000 126,000 139,810 148,988 148,988 1,730,102
Changes during the period
Granted during the
period 607,500
Lost during the
period 14,000 3,695 2,000 2,000 47,695
Earned during the
period 122,305 122,305
31 December 2021
Outstanding at the
end of the period,
pcs 214,000 139,810 146,988 146,988 2,167,602
Effect of the share-based incentive programme on the financial year’s result and
financial position
MEUR 2021 2020
Costs for the financial year, share-based payments 4.2 0.9
Liability arising from share-based payments, 31 December 2021
Estimate of the total payable future cash component of all current
LTI incentive schemes after the financial period 8.0 3.4
Measurement inputs for the incentives granted during the reporting period
Share price at time of granting, EUR 9.26
Share price at end of period, EUR 10.82
Dividend yield assumption, EUR 0.88
Fair value on 31 December 2021, MEUR 3.3
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 61ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Goodwill created through mergers and acquisitions is recorded at the amount by which the sum
of the purchase price, the share of the non-controlling interest in the acquired entity and the pur-
chaser’s previously held share in the entity exceed the fair value of the net assets acquired. Goodwill
is applied to cash-generating units and tested on the transition date and thereafter annually for
impairment. Goodwill is measured at the original acquisition cost less impairment losses.
Research costs are entered as an expense in the period in which they arise. Development costs
arising from the development of new or significantly improved products are capitalised as intangible
assets when the costs of the development stage can be reliably determined, the product is tech-
nically feasible and economically viable, the product is expected to produce an economic benefit
and the Group has the intention and the required resources to complete the development effort.
Capitalised development costs include the costs of material, labour and testing as well as capital-
ised borrowing costs, if any, that directly arise from the process of making the product complete for
its intended purpose. Development costs that have previously been recognised as expenses will not
be capitalised at a later date.
Patents, customer agreements, copyright and software licences with a finite useful life are shown
in the balance sheet and expensed on a straight-line basis in the profit or loss during their useful
lives. No depreciation is entered on intangible assets with an indefinite useful life; instead, these are
tested annually for impairment. In Alma Media, intangible assets with an indefinite useful life are
trademarks measured at fair value at the time of acquisition.
The useful lives of intangible assets are 3–10 years
MEUR
Intangible
rights
Other
intangible
assets
Advances,
intangible Goodwill Total
Financial year 2021
Acquisition cost 1 Jan 122.7 1.1 1.1 152.3 277.2
Increases 0.1 1.6 1.9 0.0 3.6
Acquisitions of business
operations 41.0 0.0 0.0 142.6 183.6
Decreases -6.6 -0.9 0.0 0.0 -7.5
Exchange differences 1.8 0.0 0.0 1.3 3.2
Transfers between items 0.9 0.0 -0.9 0.0 0.0
Acquisition cost 31 Dec 159.9 1.8 2.2 296.2 460.1
Accumulated depreciation,
amortisation and impairment
1 Jan 69.3 0.6 0.0 1.7 71.5
Accumulated depreciation in
decreases and transfers -5.4 -0.9 0.0 0.0 -6.3
Depreciation for the financial
year 7.3 1.3 0.0 0.0 8.6
Exchange differences 1.2 0.0 0.0 0.0 1.2
Accumulated depreciation,
amortisation and impair-
ments 31 Dec 72.4 1.0 0.0 1.7 75.1
Book value 1 Jan 53.6 0.4 1.1 150.7 205.8
Book value 31 Dec 87.7 0.7 2.2 294.5 385.1
2 Tangible and intangible assets and leasing arrangements
2.1 Intangible assets and goodwill
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 62ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
MEUR
Intangible
rights
Other
intangible
assets
Advances,
intangible Goodwill Total
Financial year 2020
Acquisition cost 1 Jan 120.2 1.8 0.8 148.7 271.5
Increases 0.6 0.0 1.2 1.8
Acquisitions of business
operations 10.8 0.4 0.0 26.5 37.7
Decreases -8.6 -1.1 0.0 -22.1 -31.8
Exchange differences -1.2 0.0 0.0 -0.8 -2.0
Transfers between items 1.0 0.0 -1.0 0.0 0.0
Acquisition cost 31 Dec 122.7 1.1 1.1 152.3 277.2
Accumulated depreciation,
amortisation and impairment
1 Jan 66.2 1.6 0.0 6.7 74.5
Accumulated depreciation in
decreases and transfers -3.7 -1.1 0.0 -5.0 -9.8
Depreciation for the financial
year 7.2 0.1 0.0 0.0 7.3
Impairment 0.3 0.0 0.0 0.0 0.3
Exchange differences -0.7 0.0 0.0 0.0 -0.8
Accumulated depreciation,
amortisation and impair-
ments 31 Dec 69.3 0.6 0.0 1.7 71.5
Book value 1 Jan 54.0 0.2 0.8 142.0 197.0
Book value 31 Dec 53.6 0.4 1.1 150.7 205.8
Allocation of intangibles with indefinite lives to cash-generating units
The book value of intangible assets includes intangible rights totalling MEUR 59.4 which
are not depreciated; instead, these rights are tested annually for impairment. In Alma
Media, intangible assets with an indefinite useful life are trademarks measured at fair
value at the time of acquisition. These non-depreciated intangible rights are allocated to
the cash-generating units as follows:
MEUR 2021 2020
Alma Career
Recruitment 15.9 15.0
Alma Career total 15.9 15.0
Alma Talent
Alma Talent Finland 16.5 16.5
Alma Talent Sweden 0.3 0.3
Alma Talent total 16.7 16.8
Alma Consumer 26.8 5.3
Assets with indefinite lives, total 59.4 37.0
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 63ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Allocation of goodwill to business operations
MEUR 2021 2020
A significant amount of goodwill has been
allocated to the following cash-generating units
Alma Career
Recruitment 47.9 44.9
Alma Career total 47.9 44.9
Alma Talent
Alma Talent Media Finland 70.8 70.8
Alma Talent Media Sweden 5.9 5.9
Alma Talent total 76.7 76.7
Alma Consumer 169.8 28.9
Non-allocated goodwill 0.1 0.1
Total goodwill 294.5 150.7
Goodwill, intangible rights with indefinite useful lives and other long-term assets are
tested at the level of cash generating units. In testing for impairment, the recover-
able amount is the value in use.
Following the model used before, estimated cash flows determined in the test are
based on the Group’s strategic forecasts for the following three years confirmed by
the Board of Directors and business units’ management. The years following this
period are estimated by the management, taking the business cycle into account.
The calculations of value in use are based on a period of 5 years. The cash flow of the
terminal year is normalised as an average of the forecast period. In addition to gen-
eral economic factors, the main assumptions and variables used when determining
cash flows are the forecast growth of media sales in different market segments, the
unit-specific average cost of capital (discount rate) and the estimated development
of revenue from marketplaces. The growth rate assumptions vary in different market
segments and in different product categories. When evaluating growth, past events in
the Group and the impact of business cycles are taken into account.
The Group’s business, advertising sales in particular, is very dependent on business
cycles. A significant portion of the Group’s revenue is generated from advertising
sales. Advertising sales correlate with changes in GDP, and changes in advertising
sales are largely intensified at cyclical turns. Investments in advertising have been
low in Finland in relation to the level of GDP in 2012–2021, even in international com-
parison. Alma Media estimates that advertising investments will grow in the domes-
tic market. The growth assumptions for revenue and costs used in the value in use
calculations are presented in the table below.
According to its strategy, the Group has invested in the development of digital prod-
ucts and services. Digital services account for nearly 80% of the Group’s revenue. In
digital services, the realised changes are larger and the future growth assumptions
higher than in average advertising investments.
The discount rate used in impairment testing has been determined using geo-
graphical (country) and business-specific weighted average cost of capital (WACC)
separately for the media business and the digital business. The discount rate is
determined net of taxes. The WACC consists of the required return on equity and the
required return on debt after corporate taxes (net of taxes as adjusted for final pre-
sentation purposes). Following capital market theory, the generally accepted method
of estimating the cost of equity is the Capital Asset Pricing Model (CAPM). Following
On each balance sheet date, the Group assesses the carrying amounts of its assets to determine
whether there is any indication of impairment. If any such indication exists, the recoverable amount
of the asset is estimated. In addition, the recoverable amounts are assessed annually of goodwill,
capitalised development costs for projects in progress and intangible assets with an indefinite
useful life. These are assessed regardless of whether or not indications of impairment exist. The re-
coverable amounts of intangible and tangible assets are determined as the higher of the fair value of
the asset less cost to sell, or the value in use. The value in use refers to the estimated future net cash
flows obtainable from the asset or cash-generating unit, discounted to their current value. Impair-
ment losses are recognised when the carrying amount of the asset or cash-generating unit exceeds
the recoverable amount. Impairment losses are recognised in the profit or loss. An impairment loss
may be reversed if circumstances regarding the intangible or tangible assets in question change.
Impairment losses recognised on goodwill are never reversed.
Impairment testing of goodwill and intangibles with indefinite lives
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 64ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
The new businesses acquired in the Alma Career and Alma Consumer segments are
included in the tested businesses.
Discount rates used in impairment testing
Financial year 2021
Revenue
growth as-
sumption, %
Expense
growth as-
sumption, %
WACC
before
taxes, % Business
Alma Career
Recruitment business
Finland, the
Czech Repub-
lic, the Baltic
countries,
Slovakia 7.9 8.3 9.7 Digital
Alma Talent
Alma Talent Finland Finland 2.2 2.5 8.3
Media, digital,
services
Alma Talent Sweden Sweden 7.1 10.4 8.4 Digital, services
Alma Consumer Finland 5.8 5.1 8.3 Media, digital
Financial year 2020
Revenue
growth as-
sumption, %
Expense
growth as-
sumption, %
WACC
before
taxes, % Business
Alma Career
Recruitment business
Finland, the
Czech Repub-
lic, the Baltic
countries,
Slovakia 4.1 2.3 11.4 Digital
Alma Talent
Alma Talent Finland Finland 1.7 1.7 9.3
Media, digital,
services
Alma Talent Sweden Sweden 2.3 4.3 9.3
Media, digital,
services
Alma Consumer Finland 2.2 2.3 8.3 Media, digital
the CAPM, the rate of return on equity can be constructed from the risk free interest
rate and a risk premium. Elements of WACC/CAPM have been determined for impair-
ment testing by an independent third party analyst. Even if the discount rate assump-
tion were to be updated to reflect the increase in market interest rates seen in late
2021 and early 2022, the discount rate used in impairment testing, which was based on
the market situation in November 2021, would not change to a significant extent.
The calculations take into account the risk-adjusted WACC, in which the beta for the
asset item is based on the median of the peer group and the capital structure (D/EV)
is based on Alma Media’s gearing ratio on the valuation date. The calculations also
apply the small enterprise risk premium, approximately 2.3%, which is based on Alma
Media’s market capitalisation on the valuation date as well as the statistical analysis
of small enterprise risk premiums conducted by Duff & Phelps.
Changes from 2020:
Alma Media revised its segment structure on 1 March 2021. As part of the transition
to a new segment structure, the Alma Mediapartners services that were previously
reported as part of the Alma Markets business segment are now reported under the
Alma Consumer business segment. In connection with the changes to the segments,
the name Alma Markets was changed to Alma Career. No changes were made to the
Alma Talent segment’s tested units.
On 1 April 2021, Alma Media acquired the entire share capital of Nettix Oy. Nettix
complements the Alma Consumer segment’s marketplaces business in Finland,
especially in automotive and mobility-related services, presenting opportunities
for cross-selling and additional sales and the sharing of best practices between the
services. It also opens up new business opportunities in rental and leasing activities,
for example. In 2021, the acquired business generated MEUR 21.8 in revenue with an
EBITDA of MEUR 10.7 and operating profit of MEUR 6.8. The enterprise value of the
acquired business was MEUR 171. The Group recognised MEUR 139 in goodwill, MEUR
17 in customer agreements and MEUR 21 in brands.
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 65ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Impairment losses and their allocation
During the past financial year, the Group recognised MEUR 0.2 in impairment losses,
which were allocated to other investments. In the management’s view, there are no
indications of impairment with regard to the units of Alma Media Group.
The Group did not recognise any impairment losses in the previous financial year.
Sensitivity analyses of impairment testing
Goodwill allocated to new business areas, as well as goodwill arising from recent
acquisitions, is more sensitive to impairment testing and, therefore, more likely to be
subject to impairment loss when the above main assumptions change.
In connection with the sensitivity analysis, the impact of an increase in the discount
rate (at most 3%), a decrease in marketplaces sales (at most 6%) and a decrease in
media sales (at most 6%) on estimated cash flows has been estimated. The sensitivity
analysis of marketplaces sales and media sales is based on the management view of
the future development on the balance sheet date.
The aggregate book values of the Alma Career segment amounted to approximately
21% of the current value of the estimated recoverable amount at the time of testing.
The impact of the terminal on the value in use was 62% in the calculations. Based on
the analysis carried out by the management, the estimated net present value (NPV)
of future cash flows has increased by a total of MEUR 90 compared to 2020. This
increase is particularly attributable to the strong recovery of demand in the recruit-
ment business after a substantial decline caused by the COVID-19 pandemic in the
previous financial year. The WACC discount rate also decreased from the previous
year. The profit performance of the recruitment business is expected to continue
to improve in the years to come. The book value of the assets of the Alma Career
segment on the reporting date was MEUR 69. Based on the sensitivity analysis per-
formed, the Alma Career business does not involve a significant risk of future impair-
ment.
The aggregate book values of the Alma Talent segment amounted to approximately
48% of the current value of the estimated recoverable amount at the time of testing.
The impact of the terminal on the value in use was 67% in the calculations. Based on
the analysis carried out by the management, the net present value (NPV) of future
cash flows has risen by a total of MEUR 23 compared to 2020. This increase is based
on the improved profitability of the business as well as acquisitions. The increase is
also attributable to the lower discount rate in both Finland and Sweden. Profit perfor-
mance is expected to continue to improve in the years to come. Based on the sensi-
tivity analysis performed, the Alma Talent business does not include a significant risk
of future impairment.
The aggregate book values of the Alma Consumer segment were approximately 68%
of the current value of the estimated recoverable amount at the time of testing. The
impact of the terminal on the value in use was approximately 67% in the calculations.
Based on the analysis carried out by the management, the estimated net present val-
ue (NPV) of future cash flows has increased by a total of MEUR 158 compared to 2020.
Profitability improved significantly in 2021, especially in the media and marketplaces
businesses. The increase is also attributable to acquisitions and the lower discount
rate. Profit performance is expected to continue to improve in the years to come. On
the basis of the sensitivity analysis, the Alma Consumer segment’s business is sub-
ject to an impairment risk of MEUR 3 if WACC increases permanently by 3%.
The balance sheet value of associated companies is assessed in relation to the cash
flow obtained from the companies (dividend income), in comparison to their net
asset value, or through other assessment of the company’s profit performance with
respect to future cash flow estimates. Based on the analysis performed, the shares in
associated companies do not include a risk of impairment.
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 66ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
2.2 Property, plant and equipment
Property, plant and equipment are measured at cost less depreciation, amortisation and impair-
ment losses. The acquisition cost includes the costs arising directly from the acquisition of a tangible
asset. In the event that a tangible asset comprises several components with different useful lives,
each component will be recognised as a separate asset.
Straight line depreciation is entered on the assets over their estimated useful lives. Depreciation is
not entered on land. The estimated useful lives are:
Buildings 30–40 years
Structures 5 years
Machinery and equipment 3–15 years
The residual value and useful life of an asset are reviewed, at a minimum, at the end of each financial peri-
od and adjusted, where necessary, to reflect the changes in their expected useful lives.
When an item of property, plant and equipment is replaced, the costs related to this new item are
capitalised. The same procedure is applied in the case of major inspection or service operations.
Other costs arising later are capitalised only when they give the company added economic benefit
from the asset. All other expenses, such as normal service and repair procedures, are entered as an
expense in the profit or loss as they arise.
Gains and losses arising from the decommissioning and sale of tangible assets are recognised
through profit and loss under other operating income and expenses. The gains or losses on sale are
defined as the difference between the selling price and the remaining acquisition cost.
MEUR Buildings and struc-
tures
Machinery and equip-
ment
Other tangible
assets
Advance pay-
ments and pur-
chases in progress
Total
Financial year 2021
Acquisition cost 1 Jan 57.3 2.5 1.3 0.0 61.3
Increases 1.1 0.3 0.1 0.4 1.9
Decreases -0.4 -0.3 0.0 0.0 -0.7
Exchange differences 0.0 0.1 0.0 0.0 0.1
Transfers between items 0.0 0.3 0.0 -0.4 -0.1
Acquisition cost 31 Dec 58.0 2.8 1.4 0.1 62.4
Accumulated depreciation, amortisation and impairment
1 Jan
20.2 0.3 0.1 20.7
Accumulated depreciation in decreases -1.4 -0.3 0.0 -1.7
Depreciation for the financial year 6.2 1.8 0.1 8.1
Exchange differences 0.0 0.1 0.0 0.1
Accumulated depreciation, amortisation and impairments 31 Dec 25.0 1.8 0.2 27.1
Book value 1 Jan 37.1 2.1 1.2 0.0 40.6
Book value 31 Dec 33.0 1.0 1.1 0.1 35.2
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 67ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
MEUR
Land and water
areas Buildings and structures Machinery and equipment Other tangible assets
Advance payments and pur-
chases in progress Total
Financial year 2020
Acquisition cost 1 Jan 0.1 79.7 52.5 1.6 0.0 133.9
Increases 0.9 0.1 0.2 0.2 1.4
Decreases -0.1 -23.3 -50.3 -0.5 0.0 -74.3
Exchange differences 0.0 0.0 0.0 0.0 0.0
Transfers between items 0.0 0.1
Acquisition cost 31 Dec 0.0 57.3 2.5 1.3 0.0 61.3
Accumulated depreciation, amortisation and impair-
ment 1 Jan 21.6 21.3 0.4 43.3
Accumulated depreciation in decreases -8.4 -22.1 -0.3 0.0 -30.8
Depreciation for the financial year 6.9 1.1 0.1 0.0 8.1
Exchange differences 0.0 0.0 0.0 0.0 0.0
Accumulated depreciation, amortisation and impair-
ments 31 Dec 20.2 0.3 0.1 0.0 20.7
Book value 1 Jan 0.1 58.0 31.2 1.3 0.0 90.6
Book value 31 Dec 37.1 2.1 1.2 0.0 40.6
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 68ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
3. Capital structure and financial expenses
3.1 Financial income and expenses
Financial income presented by category of financial instrument
MEUR 2021 2020
Interest income on held to maturity investments, continuing operations 0.1 0.1
Interest income on held to maturity investments, discontinued opera-
tions 0.0
Fair value gain on items recognised at fair value through profit or loss
Change in the fair value of contingent consideration liabilities 0.2
Changes in value of non-current investments 0.1
Change in the fair value of interest rate and foreign currency deriva-
tives 0.4 0.1
Dividend income from assets measured at fair value through other com-
prehensive income 0.2 0.2
Total 0.9 0.4
Financial expenses by category of financial instrument
MEUR 2021 2020
Interest expenses from interest-bearing debts measured at amortised
cost, continuing operations 1.1 0.3
Interest expenses from leases recognised on the balance sheet and
measured at amortised cost, continuing operations 0.5 0.6
Interest expenses from leases recognised on the balance sheet and
measured at amortised cost, discontinued operations 0.5
Foreign exchange gains and losses (loans and receivables), continuing
operations 0.1 0.3
Other financial expenses 0.6 0.1
Total 2.3 1.8
Property, plant and equipment include assets purchased through finance leases as
follows:
MEUR Buildings
Machinery and
equipment Total
Financial year 2021
Acquisition cost 1 Jan 56.1 1.4 57.5
Increases 0.9 1.2 2.1
Decreases
Acquisition cost 31 Dec 57.0 2.6 59.6
Accumulated depreciation 1 Jan 19.1 0.2 19.3
Accumulated depreciation in decreases
Depreciation for the financial year 6.2 1.2 7.4
Accumulated depreciation 31 Dec 25.3 1.4 26.7
Book value 31 Dec 31.7 1.2 32.9
Financial year 2020
Acquisition cost 1 Jan 76.5 47.4 124.0
Increases 0.9 0.1 1.0
Decreases -21.3 -46.1 -67.4
Acquisition cost 31 Dec 56.1 1.4 57.5
Accumulated depreciation 1 Jan 18.6 19.6 38.2
Accumulated depreciation in decreases -7.0 -19.9 -26.9
Depreciation for the financial year 7.5 0.6 8.1
Accumulated depreciation 31 Dec 19.1 0.2 19.3
Book value 31 Dec 37.1 1.2 38.2
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 69ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
3.2.1 Other financial assets
MEUR
Balance
sheet values
2021
Balance sheet
values 2020
Non-current financial assets
Available-for-sale financial assets
Unquoted share investments, assets classified as held for sale 3.6 3.9
Financial assets, total 3.6 3.9
Current financial assets
Investments held to maturity
Interest rate derivatives 0.2
Total 0.2
Financial assets, total 3.8 3.9
Unquoted share investments are presented in the following table:
MEUR 2021 2020
At beginning of period 3.9 3.4
Other increases 0.6 0.7
Decreases 0.9 0.2
At end of period, continuing operations 3.6 3.9
3.2.2 Cash and cash equivalents
MEUR 2021 2020
Cash and bank accounts 51.9 48.0
Total 51.9 48.0
The Group’s financial assets are measured and classified according to IFRS 9 as follows: measured
at amortised cost, measured at fair value through comprehensive income, and measured at fair value
through profit or loss. The classification is made on initial acquisition and it is based on the objective of
the business model and the contractual cash flow characteristics of the financial assets.
Financial assets measured at fair value through profit or loss are contingent considerations from the
sales of the business operations and derivatives. Contingent considerations arise in sales of business
operations. The company employs derivative instruments to hedge against changes in electricity
prices and interest rate derivatives to hedge against changes in interest rates of financial liabilities.
Contingent considerations and derivatives are measured at fair value as they arise and remeasured
on the balance sheet date. Changes in fair value of the contingent considerations are recognised in
the profit or loss. Changes in the fair value of electricity derivatives are recognised through profit
or loss in other operating expenses and changes in the fair value of interest rate derivatives are rec-
ognised through profit or loss in financial items.
The measurement of contingent considerations and liabilities is based on the discounted values of
estimated future cash flows. The measurement is conducted on each reporting date based on the
terms of consideration agreements. The management estimates whether the terms are met on each
reporting date.
Financial assets measured at amortised cost include trade receivables and other receivables.
Previously, under IAS 39, these items were included under loans and other receivables. Impairment
on trade receivables is recognised based on expected credit losses using the simplified approach
described in Note 3.7.2. Trade receivables and contract assets are written off when the Group has
no reasonable expectations of recovering the contractual cash flows. Indications that recovering
the contractual cash flows cannot be reasonable expected to occur include a debtor experiencing
considerable financial difficulties, the probability of bankruptcy, the failure to make payments or a
payment being delayed by more than 180 days. Impairment losses recognised on trade receivables
and contract assets are presented under other operating expenses in the income statement.
The Group classifies unlisted shares as financial assets measured at fair value through comprehen-
sive income. Gains or losses arising from fair value changes are recognised in other comprehensive
income, and they are not classified as measured through profit or loss when the shares are sold. Div-
idends received from shares are recognised in financial income when the right to the dividend is es-
tablished. Previously, under IAS 39, shares were classified as investments held for sale, measured at
fair value and changes in fair value were recognised through other comprehensive income. Accrued
changes in fair value were transferred from shareholders’ equity to profit or loss as adjustments aris-
ing from reclassification when the asset was sold or when its value had decreased.
Cash and cash equivalents consist of cash, demand and time deposits, and other short-term highly
liquid investments. The Group has assessed that there are no material expected credit losses associ-
ated with cash and cash equivalents.
The transaction date is generally used when recognising financial assets. Financial assets are
derecognised from the balance sheet when the Group has lost the contractual right to the cash flows
or when the Group has transferred a substantial portion of the risks and income to an external party.
3.2 Financial assets
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 70ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
3.3 Financial liabilities
The determination of the fair value of liabilities related to contingent considerations arising from
business combinations are based on the management’s estimate. The key variables in the change in
fair value of contingent considerations are estimates of future operating profit. Contingent liabilities
arising from acquisitions are classified as financial liabilities through profit or loss. They are recognised
at fair value in the balance sheet and the change in fair value is recognised in the financial items
through profit or loss.
Other financial liabilities are initially recognised in the balance sheet at fair value. Later other financial
liabilities are measured at amortised cost. Financial liabilities are included in current and long-term
liabilities and can be interest-bearing or non-interest bearing.
Costs arising from interest-bearing liabilities are expensed in the period in which they arise. The Group
has not capitalised its borrowing costs because the Group does not incur borrowing costs on the pur-
chase, building or manufacturing of an asset in the manner specified in IAS 23.
The Group leases various offices, warehouses, equipment and vehicles. Rental contracts are typically
made for fixed periods of 6 months to 15 years, but may have extension options as described below.
Contracts may include both lease and non-lease components. The Group allocates the consideration
in the contract to the lease and non-lease components based on their relative stand-alone prices.
However, for leases of real estate for which the Group is a lessee, it has elected not to separate lease
and non-lease components and instead accounts for these as a single lease component.
Lease terms are negotiated on an individual basis and contain a wide range of different terms and
conditions. The lease agreements do not impose any covenants other than the security interests in
the leased assets that are held by the lessor. Leased assets may not be used as security for borrowing
purposes.
Leases applying to tangible assets in which the Group holds a significant share of the risks and rewards
incidental to their ownership are recognised as a right-of-use assets and a corresponding liability when
the leased asset is available for use by the Group.
Assets and liabilities arising from a lease are initially measured on a present value basis. Lease liabilities
include the net present value of the following lease payments:
• fixed payments
• variable lease payment that are based on an index or a rate, initially measured using the index or rate
as at the commencement date
The lease payments are discounted using the interest rate implicit in the lease or the lessee’s incre-
mental borrowing rate.
The incremental borrowing rate is the rate that the lessee would have to pay to borrow the funds nec-
essary to obtain an asset of similar value to the right-of-use asset in a similar economic environment
with similar terms, security and conditions. Alma Media has defined its incremental borrowing rate as
1.5% based on recently acquired external financing.
The Group is exposed to potential future increases in variable lease payments based on an index or
rate, which are not included in the lease liability until they take effect. When adjustments to lease pay-
ments based on an index or rate take effect, the lease liability is reassessed and adjusted against the
right-of-use asset.
Lease payments are allocated between principal and finance cost. The finance cost is charged to profit
or loss over the lease period so as to produce a constant periodic rate of interest on the remaining
balance of the liability for each period.
Right-of-use assets are measured at cost comprising the amount of the initial measurement of the
lease liability. Right-of-use assets are generally depreciated over the shorter of the asset’s useful life
and the lease term on a straight-line basis.
Payments associated with short-term leases of equipment and vehicles and all leases of low-value
assets are recognised on a straight-line basis as an expense in profit or loss. Short-term leases are
leases with a lease term of 12 months or less. Low-value assets comprise IT equipment and small items
of office furniture.
Extension and termination options are included in a number of property and equipment leases across
the Group. These are used to maximise operational flexibility in terms of managing the assets used in
the Group’s operations.
Most extension options in offices and vehicles leases have not been included in the lease liability, be-
cause the Group could replace the assets without significant cost or business disruption. Alma Media
has leases for which the lease term has been defined as valid until further notice. For these leases, the
extension option has been defined as three years.
The lease term is reassessed if an option is actually exercised (or not exercised) or the Group becomes
obliged to exercise (or not exercise) it. The assessment of reasonable certainty is only revised if a sig-
nificant event or a significant change in circumstances occurs, which affects this assessment, and that
is within the control of the lessee.
The concepts of agreements processed as off-balance sheet liabilities and the concepts used in IFRS
16 are somewhat different from each other, which is why the number of agreements recognised on the
balance sheet may differ from the number of off-balance sheet liabilities.
The lease contracts recognised on the balance sheet are mainly for business premises and cars.Leases
for ICT equipment, on the other hand, are treated as off-balance sheet obligations, unlike previously.
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 71ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Reconciliation of net debt
MEUR
Cash
and cash
equiva-
lents
Lease
liabilities
within
one year
Lease
liabilities
after
one year
Loans
within
one year
Loans
after
one year Total
Net debt 1 Jan 2021 48.0 7.0 31.9 0.0 -9.1
Cash flows 4.1 -7.5 200 188.3
Acquisitions – lease lia-
bilities and incentives
Increase in IFRS 16
lease liability 2.0 2.0
Exchange rate adjust-
ments
Other non-cash
changes 7.5 -7.5
Net debt 31 Dec 2021 51.9 7.0 26.8 200.0 181.8
Net debt 1 Jan 2020 48.4 7.4 36.9 -4.1
Cash flows -0.4 -7.4 -7.0
Acquisitions – lease lia-
bilities and incentives
Increase in IFRS 16
lease liability 2.0 2.0
Exchange rate adjust-
ments
Other non-cash
changes 7.0 -7.0
Net debt 31 Dec 2020 48.0 7.0 31.9 -9.1
The Group has categorised items recognised at fair value through profit or loss
according to the following hierarchy of fair values:
MEUR 2021 2020
Level 2
Foreign currency derivative -0.3 0.0
Interest rate derivatives 0.2
Level 3
Contingent consideration liabilities arising from the acquisition of business
operations 16.8 16.3
Shares measured at fair value through comprehensive income 3.6 3.9
The table describes the Group’s non-current and current financial liabilities.
MEUR 2021 2020
FINANCIAL LIABILITIES
Non-current financial liabilities
Financial liabilities measured at amortised cost
Non-current lease liabilities 26.8 31.9
Non-current loans from credit institutions 200.0
Liabilities recognised at fair value through profit or loss
Contingent consideration liabilities arising from the acquisition of busi-
ness operations 16.3 13.6
Other liabilities 0.0 0.0
Total 243.1 45.5
Current financial liabilities
Based on amortised cost
Lease liabilities 7.0 7.0
Other interest-bearing liabilities 0.0
Liabilities recognised at fair value through profit or loss 0.8 2.8
Foreign currency derivatives 0.3 0.0
Contingent consideration liabilities arising from the acquisition of busi-
ness operations 0.5 2.7
Total 7.8 9.8
Financial liabilities total 250.8 55.3
The Group’s financial liabilities are denominated in euro and carry a variable interest
rate. At the end of 2021, the Group’s interest-bearing liabilities consisted of a Term
Loan and lease liabilities. The hedging of the interest rate risk is described in more
detail in Note 3.8 Financial risks.
The average interest rate of the Group’s financial liabilities in 2021 was 1.2% (2.1% in
2020).
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 72ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Level 1 includes the quoted (unadjusted) prices of identical liabilities in active mar-
kets.
Level 2 instruments’ fair values are, to a significant degree, based on inputs other than
the quoted prices included in Level 1, but nevertheless on data that can be either di-
rectly or indirectly verified for the asset or liability in question.
Level 3 includes inputs concerning liabilities that are not based on observable mar-
ket data (unobservable inputs).
No transfers between the fair value hierarchy levels have taken place during the end-
ed financial period and the previous financial period.
The contingent consideration liabilities arose from acquisitions of business oper-
ations and are based on the acquired businesses’ result in 2020–2025. Depending
on individual agreements, the actual total amount of the contingent consideration
liabilities may range from MEUR 0 to MEUR 26. Based on the best available informa-
tion, MEUR 16.8 in liabilities has been recognised in the financial statements dated
31 December 2021 (MEUR 16.3 on 31 December 2020). The consideration agreements
include one consideration liability with an unlimited maximum amount based on the
EBITDA of the acquired business in the financial year 2022, multiplied by a factor
specified in the purchase agreement.
The book values of financial liabilities correspond to their fair values. The table below
separately describes the fair values of derivative contracts and the value of the un-
derlying instruments.
Derivative contracts
MEUR 2021 2020
Commodity derivatives (electricity forwards)
Fair value 0.0
Value of underlying instruments 0.1
Foreign currency derivatives
Fair value -0.3 0.0
Value of underlying instruments 11.9 6.0
Interest rate derivatives
Fair value 0.2
Value of underlying instruments 50.0
The fair values of forward exchange contracts are determined using the market prices for con-
tracts of similar duration on the balance sheet date. The fair values of interest rate swaps have been
determined using a method based on the present value of future cash flows, supported by market
interest rates and other market information on the balance sheet date. The fair values correspond to
the prices the Group would pay or receive in an orderly transaction for the derivative contract in the
prevailing market conditions on the balance sheet date.
The maturity distribution of financial liabilities is described in more detail in Note 3.8. Financial risks
Maturities of lease liabilities
MEUR 2021 2020
Lease liabilities – total minimum lease payments
2021 7.5
2022 7.4 6.9
2023 6.6 6.1
2024 6.0 5.6
2025 5.4 5.3
2026 5.4
Later 4.5 9.8
Total 35.2 41.1
Lease liabilities – present value of minimum lease payments
2021 7.3
2022 7.2 6.7
2023 6.3 5.8
2024 5.7 5.1
2025 5.1 4.9
2026 5.0
Later 4.3 9.1
Total 33.7 38.9
Financial expenses accruing in the future 1.5 2.2
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 73ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
3.4 Other leases
Short-term leases with a term of less than 12 months and leases of low value, such as leases for
ICT equipment, are treated as off-balance sheet liabilities.
When the Group is the lessor, lease income is entered in the profit or loss on a straight-line basis over
the lease term.
The Group as lessee
Minimum rental payments receivable based on other non-cancellable leases:
MEUR 2021 2020
Within one year 0.4 0.3
Within 1–5 years 0.5 0.4
After 5 years 0.0
Total 0.9 0.7
The Group as lessor
Minimum rental payments receivable based on other non-cancellable leases
MEUR 2021 2020
Within one year 0.8 0.8
Within 1–5 years 0.1 0.9
Total 0.9 1.7
3.5 Commitments and contingencies
MEUR 2021 2020
Collateral provided on behalf of associated companies
Other commitments 0.1
Total 0.1
3.6 Pension obligations
The Group has both defined contribution pension plans and defined benefit pension
plans.
The defined benefit pension plans comprise the Group’s old supplementary pension
plans for personnel, which have already been discontinued and closed. The benefits
associated with them include both supplementary pension benefits and death ben-
efits. The Group’s defined benefit pension plans include both funded and unfunded
pension plans. The unfunded pension plans are direct supplementary pension obli-
gations, primarily for old employees who have already retired. The new supplemen-
tary pension benefits granted by the Group are defined contribution based pension
plans.
Obligations arising from defined benefit plans are calculated for each arrangement
separately using the Projected Unit Credit Method. Pension costs are recognised
as expenses over the beneficiaries’ period of employment in the Group based on
calculations made by authorised actuaries. The discount rate used in calculating the
present value of the pension obligation is based on market yields on high quality cor-
porate bonds issued by the company and, if this data is not available, on yields of gov-
ernment bonds. The maturity of corporate and government bonds and corresponds
to a reasonable extent with the maturity of the pension obligation. The pension plan
assets measured at fair value on the balance sheet date are deducted from the pres-
ent value of the pension obligation to be recognised in the balance sheet. The net
liabilities (or assets) associated with the defined benefit pension plan are recorded on
the balance sheet.
Service costs for the period (pension costs) and the net interest on the net liabilities
associated with the defined benefit plan are recognised through profit or loss and
presented under employee benefit expenses. Items (such as actuarial gains and loss-
es and return on funded defined benefit plan assets) arising from the redefinition of
the net liabilities (or assets) associated with the defined benefit plan are recognised
in other comprehensive income in the period in which they arise.
Present value of obligations and fair value of assets
MEUR 2021 2020
Present value of unfunded obligations 0.7 0.7
Present value of funded obligations 0.4 0.4
Fair value of assets -0.3 -0.3
Pension liability 0.8 0.7
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 74ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
The defined benefit pension obligation on the balance sheet is determined as
follows:
MEUR 31.12.2021 31.12.2020
Present value of obligations at start of period 1.1 5.5
Divestments -3.7
Service cost during period 0.0 0.0
Interest cost 0.0
Actuarial gains and losses 0.2 -0.5
Payments of defined benefit obligations -0.1 -0.3
Present value of funded obligations at end of period 1.1 1.1
Fair value of plan assets at start of period 0.3 4.3
Divestments -3.5
Interest income 0.0
Actuarial gains and losses 0.0 -0.3
Restructuring of contracts 0.0
Incentive payments paid 0.1
Payments of defined benefit obligations 0.0 -0.2
Fair value of plan assets at end of period 0.3 0.3
Defined benefit pension liabilities 0.8 0.7
Net pension liability
Pension liability 0.8 0.7
Pension asset 0.0
Net pension liability 0.8 0.7
The plan assets are invested primarily in fixed income or share-based instruments,
and they have an aggregate expected annual return of 3.0%. A more detailed spec-
ification of the plan assets is not available. The plan assets are considered to be in-
cluded in the payment made to the insurance company. The assets are the insurance
company’s responsibility and part of the insurance company’s investment assets.
Accordingly, no specification of the assets can be presented.
The defined benefit pension expense in the income statement is determined as
follows
MEUR 2021 2020
Service cost during period 0.0 0.0
Interest cost 0.0
Interest income 0.0
Actuarial gains and losses and adjustments 0.2 -0.2
Total 0.2 -0.2
Changes in liabilities shown on balance sheet
MEUR 2021 2020
At beginning of period 0.7 1.2
Divestments 0.0 -0.2
Incentive payments paid -0.1
Payments of defined benefit obligations -0.1
Pension expense in income statement 0.0 0.0
Comprehensive income for the period 0.2 -0.2
Defined benefit pension liabilities on the balance sheet 0.8 0.7
A similar investment is expected to be made in the plan in 2022 as in 2021.
Sensitivity analysis of the pension plan
MEUR
Present value of pen-
sion obligation
Change in present
value of pension obli-
gation, %
Change of +0.5%-p in the discount rate 1.1 -14.9
Change of +0.5%-p in the salary increase assumption 1.2 187.1
Change of +0.5%-p in the pension increase rate 1.2 7.5
The sensitivity analysis uses the same methods as the calculation of the pension ob-
ligation. Sensitivity is calculated for changes in the discount rate, the salary increase
assumption, pension increases and the insurance company’s bonus index. Sensitivity
has been calculated by changing one parameter at a time.
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 75ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Actuarial assumptions used
% 2021 2020
Discount rate 0.3 0.5
Future salary increase assumption 2.9 2.3
Inflation assumption 1.7 1.1
Future increase in pension benefit 2.0 1.4
The duration of the pension plan is 7–9 years. The duration was calculated based on a
discount rate of 0.3% (0.5%).
Defined benefit plans expose the Group to several different risks, the most significant
of which are the following:
Asset volatility
The calculation of the liabilities arising from the plans uses a discount rate based on
the yield of bonds issued by the company. If the yield on the assets used for the plan
is lower than this level, there will be a deficit.
Inflation risk
Some of the benefit obligations under the plans are tied to inflation, and higher
inflation will lead to higher liabilities (although a ceiling for inflation adjustments has
been set in most cases to protect the plan from unusually high inflation).
Life expectancy
As the majority of the obligations under the plans are related to providing lifelong
benefits to the members, the expected increase in life expectancy will result in high-
er obligations under the plans.
3.7 Working capital
3.7.1 Inventories
Inventories are materials and supplies, work in progress and finished goods.
Fixed overhead costs are capitalised to inventories in manufacturing. Inventories are measured at the
lower of their acquisition cost or net realisable value. The net realisable value is the sales price expected
to be received on them in the normal course of business less the estimated costs necessary to bring the
product to completion and the costs of selling. The acquisition cost is defined by the FIFO (first-in-first-
out) method. Within Alma Media, inventories mainly consist of the products sold by the book business.
MEUR 2021 2020
Finished products 0.7 0.6
Total 0.7 0.6
3.7.2 Trade and other receivables
In recognising expected credit losses, the Group applies the simplified approach defined in IFRS
9, according to which a loss allowance based on lifetime expected credit losses is recognised for all
trade receivables and contract assets. For the purposes of determining expected credit losses, trade
receivables have been grouped on the basis of shared credit risk characteristics and delinquency in
payment.
31.12.2021
MEUR Current
5–30 days
past due
31–120 days
past due
121–180
days
past due
More than
180 days
past due Total
Expected loss rate 0.14% 0.92% 3.43% 32.99% 100%
Gross carrying
amount – trade re-
ceivables 23.1 2.1 0.7 0.1 0.5 26.6
Loss allowance 0.0 0.0 0.0 0.0 0.5 0.6
31.12.2020
MEUR Current
5–30 days
past due
31–120 days
past due
121–180
days
past due
More than
180 days
past due Total
Expected loss rate 0.14% 0.92% 3.43% 32.99% 100%
Gross carrying
amount – trade re-
ceivables 20.5 0.6 0.8 0.1 0.7 22.7
Loss allowance 0.0 0.0 0.0 0.0 0.7 0.8
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 76ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
MEUR 2021 2020
Trade receivables 26.6 21.7
Receivables from associated companies 0.0
Total 26.6 21.7
Receivables from others
Prepaid expenses and accrued income 4.3 4.7
Other receivables 0.6 0.6
Total 4.9 5.4
Receivables, total 31.5 27.1
The book values of trade receivables, other current and non-current receivables and
other current investments are estimated to correspond to fair values. The impact of
discounting is not significant.
3.7.3 Trade payables and other liabilities
The book values of trade payables and other liabilities are estimated to correspond with
their fair values. The impact of discounting is not significant taking the maturity of the
liabilities into account.
The main items in accrued expenses and prepaid income are allocated wages, sala-
ries and other employee expenses.
MEUR 2021 2020
Trade payables 4.2 5.0
Owed to associated companies
Trade payables 0.0 0.0
Accrued expenses and prepaid income 26.0 37.9
Other liabilities 6.6 5.5
Total 36.8 48.5
3.8 Financial risks
Financial risk management is part of the Group’s risk management policy. The risk
management strategy and plan, the control limits imposed and the course of action are
reviewed annually. The Group has a risk management organisation tasked with identify-
ing the risks threatening the company’s business, assess and update them, develop the
necessary risk management methods and regularly report on the risks.
Alma Media categorises its financial risks as follows:
Interest rate risk
The interest rate risk describes how changes in interest rates and maturities related to
various interest-bearing business transactions and balance sheet items could affect the
Group’s financial position and net result. The impact of the interest rate risk on net result
can be reduced using interest rate swaps, interest forwards and futures and interest or
foreign exchange options.
The Group’s interest-bearing debt totalled MEUR 233.7 (38.9) on 31 December 2021. The
interest-bearing debt consists of a Term Loan of MEUR 200 with a maturity of three years
and IFRS 16 lease liabilities. The Group’s net debt amounted to MEUR 181.8 (-9.1) on 31
December 2021.
The computational interest rate used in calculating lease liabilities is fixed and the
amount of the liability is primarily based on the contractual obligations pertaining to
leases for business premises. If the computational interest rate used in calculating lease
liabilities were to be increased by one percentage point, the effect on the Group’s finan-
cial expenses would be MEUR 0.3.
The variable interest rate on the Term Loan is linked to the three-month Euribor rate. If
the Euribor rate used as the reference rate for the Term Loan were to increase by one
percentage point in 2022 or 2023, the annual effect on the Group’s financial expenses
would be MEUR 2.0.
On the balance sheet date, 31 December 2021, the Group had an interest rate hedge that
was taken out in December 2021 and has a nominal value of MEUR 50. The interest rate
hedging agreement is a four-year fixed interest rate agreement that will commence
in two years’ time. On the balance sheet date, the fair value of the interest rate hedge
was EUR 0.2 thousand. The change in the fair value is recognised through profit or loss
during the financial year.
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 77ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
7.2
6.6
206.0
5.4 5.4
4.5
0
50
100
150
200
250
2022 2023 2024 2025 2026 2027
Maturity structure of outstanding debt
Repayments of existing funding
MEUR
Foreign exchange risks
Transaction risk
The transaction risk describes the impact of changes in foreign exchange rates on
sales, purchases and balance sheet items denominated in foreign currencies Alma
Media’s most significant currencies in addition to the euro are the Czech koruna, the
Swedish krona and the US dollar. The impact of changes in exchange rates on net
result in the most important currencies of the Group can be reduced by the following
measures:
• Cash flows in the same currency are netted through a common foreign currency
account whenever the cost/benefit ratio is significant
• Known, continuous and significant foreign currency cash flow is hedged. The Czech
koruna is hedged at a target level of approximately 50% of the cash flow accrued
during the next two years.
Translation risk
A foreign exchange risk that arises from the translation of foreign investments into the
functional currency of the parent company, the euro. The risk associated with trans-
lating long-term net investments in foreign currencies is assessed on a regular basis.
Should there be a clear and permanent risk of a currency devaluating, Group manage-
ment may decide to hedge the company’s foreign currency exposure. There was no
hedged open currency exposure related to translation risk on the balance sheet date.
The Group’s open foreign currency derivatives on the balance sheet date are described
in Note 3.3.
Capital management risks
Liquidity management
In December 2021, Alma Media signed a new MEUR 200 Term Loan financing facility.
This replaced the temporary Bridge Facility agreement that was in place for financing
acquisitions. The new agreement has a maturity of 36 months. The financing arrange-
ment includes the usual covenants concerning the equity ratio and the ratio of net
debt to EBITDA. The Group met the covenants on 31 December 2021.
The new financing arrangement also includes a MEUR 30 revolving credit facility (RCF).
The facility will be used for the Group’s general financing purposes. The revolving
credit facility has a maturity of four years and it was entirely unused on 31 December
2021.
Liquidity is assessed daily and liquidity forecasts are made at weekly, monthly and
12-month rolling intervals.
On the balance sheet date, the company had a commercial paper programme of
MEUR 100 in Finland. Within the programme, the company may issue commercial pa-
pers to a total value of MEUR 0–100. No commercial papers were in circulation on the
balance sheet date 31 December 2021.
Long-term capital funding
To secure its long-term financing needs, Alma Media uses capital market instruments,
leasing or other financial arrangements.
The table describes the maturity distribution of the Group’s interest-bearing debts:
MEUR
Balance
sheet
value
0–6
months 1 year 1–2 years 2–5 years
Over 5
years
Loans from financial institutions 200 200
Lease liabilities 33.7 3.6 3.6 6.3 15.8 4.3
Foreign currency derivative 0.3 0.2 0.2
Total 234.0 3.8 3.8 6.3 215.8 4.3
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 78ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Credit risk
The Group’s credit policy is described and documented in the Group credit manage-
ment policy. The Group does not have significant risks of past due receivables because
it has a large customer base and no individual customer will comprise a significant
amount. During the financial year, credit losses of MEUR 0.4 were recognised through
profit or loss. These credit losses were caused by an unexpected change in customers’
economic environment. The maturity structure of trade receivables is presented in
Note 3.7.2 Trade and other receivables.
Capital management
The aim of the Group’s capital management is to support business operations through
an optimal capital structure and to secure normal business preconditions. The capital
structure is influenced through dividend distribution, for example. The development of
the Group’s capital structure is continuously monitored with gearing and equity ratio
key figures. The company’s financing agreements contain covenants concerning the
company’s equity ratio and the ratio of net debt to EBITDA. The following describes
the values of these key figures in 2021 and 2020 as well as an itemisation of net debt
and changes therein during the financial periods in question.
Reconciliation of net debt
MEUR 2021 2020
Interest-bearing long-term liabilities 226.8 31.9
Short-term interest-bearing liabilities 7.0 7.0
Cash and cash equivalents 51.9 48.0
Net debt 181.8 -9.1
Total equity 166.5 204.6
Gearing, % 109.2% -4.5%
Equity ratio, % 34.7% 63.1%
3.9 Information on shareholders’ equity and its management
The Group classifies the instruments it has issued in either equity or liabilities (finan-
cial liabilities) based on their nature. An equity instrument is any contract that evi-
dences a residual interest in the assets of an entity after deducting all of its liabilities.
Expenses related to the issuance or acquisition of equity instruments are presented as a
deduction from equity. If the Group acquires equity instruments of its own, their acquisi-
tion cost is deducted from equity.
The following describes information on Alma Media Corporation’s shares and changes in
2021.
Total number of
shares
Share capital,
MEUR
Share premium
fund, MEUR
Invested
non-restricted
equity fund,
MEUR
1.1.2021 82,383,182 45.3 7.7 19.1
31.12.2021 82,383,182 45.3 7.7 19.1
The company has one share series and all shares confer the same voting rights, one
vote per share. The shares have no nominal value.
Book-entry securities system
The company’s shares are registered in the book-entry system. Only such shareholders
have the right to receive distributable funds from the company, and to subscribe to shares
in conjunction with an increase in the share capital, 1) who are listed as shareholders in the
shareholders’ register on the record date; or 2) whose right to receive payment is record-
ed in the book-entry account of a shareholder listed in the shareholders’ register on the
record date, and this right is entered in the shareholders’ register; or 3) whose shares, in
the case of registered shares, are registered in their book-entry account on the record
date, and as required by section 28 of the Act on the Book-Entry System, the respective
manager of the shares is listed on the record date in the shareholders’ register as the
manager of said shares. Shareholders whose ownership is registered in the waiting list on
the record date have the right to receive distributable funds from the company, and the
right to subscribe to shares in conjunction with an increase in the share capital, provided
they are able to furnish evidence of ownership on the record date.
Own shares
Alma Media Corporation owns a total of 170,410 of its own shares, representing 0.2 per
cent of the total number of the company’s shares and related votes. The total registered
number of Alma Media’s shares is 82,383,182, which entitle to 82,383,182 votes.
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 79ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
4. Consolidation
4.1 General principles of consolidation
All subsidiaries are consolidated in the consolidated financial statements. Subsidiaries are com-
panies in which the Group has a controlling interest. The criteria for control are fulfilled when the
Group is exposed, or has rights, to variable returns from its involvement with an entity and has the
ability to affect those returns through its power over the entity. The accounting principles applied
in the subsidiaries have been brought into line with the IFRS principles applied in the consolidated
financial statements. Mutual holdings are eliminated using the purchase method. Purchase consid-
eration and the individualised assets and liabilities of the acquired entity are recognised at their fair
value on the acquisition date. The costs related to the acquisition, with the exception of costs arising
from the issue of equity or debt securities, are recorded as expenses. Additional purchase cost, if
applicable, is recognised at fair value on the acquisition date and classified as a liability through
profit or loss. Additional purchase cost classified as a liability is measured through profit or loss at
fair value on the last day of each reporting period.
Translation differences
The translation differences fund comprises the exchange rate differences arising from
the translation into EUR of the financial statements of the independent foreign units.
Share premium reserve
In cases in which stock options have been decided during the time the previous Finn-
ish Limited Liability Companies Act (29.9.1978/734) was in force, payments received
for share subscriptions based on stock options have been recognised in share capital
and the share premium reserve in accordance with the terms of the respective option
programmes, less transaction costs.
Distributable funds
The distributable funds of the Group’s parent company totalled EUR 145,038,964 on 31
December 2021.
Dividend policy
Alma Media updated its long-term financial targets on 3 December 2018. According to
the targets, the company aims to pay on average more than 50% of the profit for the
period in dividends or capital repayments over the long term.
Redemption of shares
A shareholder whose proportional holding of all company shares, or whose proportional
entitlement to votes conferred by the company shares, either individually or jointly with
other shareholders, is or exceeds 33.3% or 50% is obligated on demand by other share-
holders to redeem such shareholders’ shares.
3.9.1 Earnings per share
Basic earnings per share are calculated by dividing the profit for the period attrib-
utable to the ordinary equity holders of the parent by the weighted average number
of shares outstanding during the year. Diluted earnings per share are calculated by
dividing the profit for the period attributable to the equity holders of the parent by
the weighted average number of diluted shares during the period.
MEUR 2021 2020
Profit attributable to ordinary shareholders of parent 43.6 93.3
Number of shares (1,000 pcs)
Weighted average number of shares for basic earnings per share 82,213 82,262
Incentive schemes 1,778 1,430
Diluted weighted average number of outstanding shares 83,991 83,693
Earnings per share (basic) 0.53 1.13
Earnings per share (diluted) 0.52 1.11
EPS, basic, continuing operations 0.53 0.33
EPS, basic, discontinued operations 0.80
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 80ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
4.2 Subsidiaries
The Group’s parent and subsidiary relationships are as follows:
Holding, % Share of votes, %
Company Finland 2021 2020 2021 2020
Parent company Alma Media
Corporation Finland
Alma Career Oy Finland 100.0 83.3 100.0 83.3
Alma Career, spletno oglase-
vanje d.o.o Slovenia 100.0 83.3 100.0 83.3
Alma Media Suomi Oy Finland 100.0 100.0 100.0 100.0
Alma Mediapartners Oy Finland 100.0 100.0 100.0 100.0
Alma Talent Oy Finland 100.0 100.0 100.0 100.0
CV-Online Estonia OÜ Estonia 100.0 83.3 100.0 83.3
Digitaalinen asuntokauppa
DIAS Oy Finland 80.5 80.5 80.5 80.5
Etua Oy Finland 100.0 60.0 100.0 60.0
Karenstock Oy Finland 100.0 100.0 100.0 100.0
Kolektiv d.o.o
Bosnia and
Herzegovina 100.0 83.3 100.0 83.3
Kotikokki.net Oy Finland 65.0 65.0 65.0 65.0
LMC s.r.o Czech Republic 100.0 83.3 100.0 83.3
Talentem s.r.o. Czech Republic 100.0 83.3 100.0 83.3
Müügimeistrite A/S Estonia 80.0 80.0 80.0 80.0
Objektvision AB Sweden 100.0 100.0 100.0 100.0
Profesia s.r.o Slovakia 100.0 83.3 100.0 83.3
Profesia s.r.o Czech Republic 100.0 83.3 100.0 83.3
Rantapallo Oy Finland 79.0 79.0 79.0 79.0
SIA CV-Online Latvia Latvia 100.0 83.3 100.0 83.3
Suoramarkkinointi Mega Oy Finland 100.0 100.0 100.0 100.0
TAU On-line d.o.o Croatia 100.0 83.3 100.0 83.3
Telemarket SI A Latvia 72.0 81.0 72.0 81.0
UAB CV-Online LT Lithuania 100.0 83.3 100.0 83.3
Nettix Oy Finland 100.0 100.0
Netello Systems Oy Finland 60.0 60.0
Quantiq s.r.o Czech Republic 100.0 100.0
Itemisation of significant non-controlling interests in the Group:
Subsidiary Finland
Holding, %
2021
Holding, %
2020
Alma Career Oy sub-group Finland 16.66
Digitaalinen asuntokauppa DIAS Oy Finland 19.5 19.5
During the financial year 2021, Alma Media Corporation acquired the entire share cap-
ital of Nettix Oy, 60% of the share capital of Netello Systems and increased its share-
holding to 100% in Alma Career Oy (previously 83.34%) and Etua Oy (previously 60%).
The redemption of the minority interests of 16.66% in Alma Career Oy and 40% in
Etua Oy affected the Group’s balance sheet position by the redemption prices of the
minority interests being deducted directly from the Group’s equity. The redemption
of the minority interest in Alma Career Oy reduced the Group’s equity by MEUR 40
and the redemption of the minority interest in Etua Oy increased the Group’s equity
by MEUR 0.7.
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 81ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Acquisitions in 2021
The Group carried out the following acquisitions in 2021:
Business Acquisition date
Acquired
share
Group
share
Alma Career segment
Quantiq s.r.o Online service 7 Jan 2021 100% 100%
Alma Consumer segment
Netello Systems Oy Online service 31 Mar 2021 60% 60%
Nettix Oy Online service 1 Apr 2021 100% 100%
Subsidiaries acquired are consolidated from the time when the Group gains the right of control,
and divested subsidiaries until the Group ceases to exercise the right of control. All intra-Group
transactions, receivables, liabilities and profits are eliminated in the consolidated financial state-
ments. The distribution of the profit for the year between the parent company owners and non-con-
trolling interest shareholders is shown in the statement of comprehensive income. The eventual
non-controlling interest in the acquired companies is measured at fair value or to the amount
corresponding to the share of the non-controlling interest based on the proportionate share of the
specified net assets. The measurement method is defined for each acquisition separately.
The comprehensive income is attributed to parent company shareholders and non-controlling
shareholders, even if this were to lead to a negative portion being attributed to non-controlling
shareholders. The amount of shareholders’ equity attributable to non-controlling shareholders is
shown as a separate item in the balance sheet under shareholders’ equity. Changes in the parent
company’s holding in a subsidiary that do not lead to a loss of control are treated as equity transac-
tions.
In conjunction with acquisitions achieved in stages, the previous holding is measured at fair value
through profit or loss. When the Group loses control in a subsidiary, the remaining investment is
measured at fair value through profit or loss on the date control in the subsidiary is lost, and the
difference is recognised through profit or loss.
Acquisitions that took place before 1 January 2010 are recognised according to the provisions valid
at the time.
4.3 Business combinations
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 82ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Alma Career
Consideration
MEUR Fair value
Consideration, settled in cash 1.0
Contingent consideration 0.9
Total consideration 1.9
The assets and liabilities recorded as a result of the acquisition were as follows:
MEUR
Fair values entered in inte-
gration
Property, plant and equipment 0.8
Trade receivables and other receivables 0.0
Cash and cash equivalents 0.0
Total assets acquired 0.8
Deferred tax liabilities 0.1
Trade payables and other payables 0.2
Total liabilities acquired 0.3
Acquired identifiable net assets at fair value, total 0.5
Group’s share of net assets 0.5
Goodwill 1.5
Annual amortisation of intangible assets related to acquisitions 0.0
Alma Consumer
Consideration
MEUR Nettix Oy Other Total
Consideration, settled in cash 171.2 2.9 174.1
Total consideration 171.2 2.9 174.1
The assets and liabilities recorded as a result of the acquisition were as follows:
Nettix Oy Other Total
Property, plant and equipment 0.0 0.0 0.1
Intangible assets 38.7 3.1 41.7
Trade receivables and other
receivables 1.9 0.3 2.2
Cash and cash equivalents 3.2 0.2 3.4
Total assets acquired 43.8 3.6 47.4
Deferred tax liabilities 7.6 0.6 8.1
Trade payables and other pay-
ables 4.7 0.6 5.3
Total liabilities acquired 12.3 1.1 13.4
Acquired identifiable net assets
at fair value, total 31.6 2.4 34.0
Group’s share of net assets 31.6 1.5 33.0
Minority interest 1.0 1.0
Goodwill 139.7 1.4 141.1
Fair values entered in integration
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 83ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Alma Media completed the acquisition of Nettix Oy from Otava Group in spring 2021.
The transaction was announced on 5 March 2021 and closed on 1 April 2021.
Nettix Oy is reported as part of the Alma Consumer business segment starting from
the second quarter of 2021.
Nettix Oy’s business consists of Finland’s leading motor vehicle marketplaces, such
as Nettiauto, Nettikone and Nettimoto, and they reach an audience of 2.5 million Finns
every week.
In 2020, marketplaces generated over 81% of Nettix Oy’s revenue. The compound
annual growth rate (CAGR) of the marketplaces was approximately 7% in 2016–2020.
In addition, Nettix Oy consists of Konepörssi, the leading professional media for
machine and transport business, and the news service Ampparit. As a result of the ac-
quisition, a total of 39 Nettix Oy employees (converted to full-time employees) were
transferred to Alma Media.
The acquisition of Nettix Oy is a continuation of Alma Media’s strategy, which con-
centrates on digital media and services. Nettix complements Alma Media’s market-
places business, offering opportunities for cross-selling and additional sales and the
sharing of best practices between the services. Through this acquisition, Alma Media
continues its strategic expansion into new digital products and services that address
customer needs and cover the entire value chain, ranging from sales systems to
transactions.
Digitalisation of mobility services and the automotive ecosystem is expected to ac-
celerate even further in the next few years, and sales and purchases will continue to
move to digital marketplaces.
In 2020, Nettix Oy’s revenue totalled MEUR 22.5, its EBITDA was MEUR 11.2 and its op-
erating profit amounted to MEUR 10.0. The purchase price for the acquired business
was MEUR 171.2. There are no additional purchase price components included in the
transaction. Alma Media financed the acquisition entirely with debt. The transaction
costs related to the acquisition have amounted to MEUR 4.6, of which MEUR 0.5 was
recognised in expenses in 2020 and MEUR 4.1 in other other operating expenses in
the first half of 2021. The expense is treated as an operating profit adjustment item
in 2021. The Nettix Oy acquisition increases Alma Media’s goodwill by MEUR 140. The
goodwill consists of the future growth expectations of the business, as well as syner-
gies. Alma Media estimates that the transaction will generate annual synergy gains of
approximately MEUR 1.5 by 2022, mostly associated with media sales, support func-
tions, premises, IT systems and IT development. In addition, other intangible assets
increased by MEUR 38 in connection with the transaction, consisting of customer
agreements amounting to MEUR 16.8 and brands amounting to MEUR 21. The assets
recognised at fair value in connection with the acquisition increase depreciation by
MEUR 3.4 annually. Nettix Oy’s effect on Alma Media Group’s revenue in 2021 was
MEUR 16.5, on EBITDA MEUR 8.2, and on operating profit less PPA amortisation MEUR
5.3. Had Nettix Oy been consolidated into Alma Media Group from the beginning of
2021, its effect on the Group’s revenue would have been MEUR 21.8, on EBITDA 10.7,
and on operating profit less PPA amortisation MEUR 6.8.
Acquisitions in 2020
The Group carried out the following acquisitions in 2020:
Business Acquisition date
Acquired
share
Group
share
Alma Markets segment
Kolektiv Ltd Online service 9 Jan 2020 70% 83%
Muuttomaailma Oy Online service 25 Feb 2020 75% 100%
Alma Talent segment
Digitaalinen asuntokauppa DIAS Oy Online service 30 Dec 2020 80.5% 80.5%
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 84ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Alma Markets
Consideration
MEUR Fair value
Consideration, settled in cash 3.7
Contingent consideration 0.7
Fair value of acquisition achieved in stages 1.7
Total consideration 6.1
The assets and liabilities recorded as a result of the acquisition were as follows:
MEUR Fair value
Property, plant and equipment 0.1
Intangible assets 1.5
Trade receivables and other receivables 0.3
Cash and cash equivalents 0.6
Total assets acquired 2.6
Deferred tax liabilities 0.2
Trade payables and other payables 0.4
Total liabilities acquired 0.6
Acquired identifiable net assets at fair value, total 1.9
Group’s share of net assets 1.5
Minority interest 0.4
Goodwill 4.6
Alma Talent
Consideration
MEUR Fair value
Consideration, settled in cash 15.0
Contingent consideration 8.0
Fair value of acquisition achieved in stages 1.1
Total consideration 24.1
The assets and liabilities recorded as a result of the acquisition were as follows:
MEUR Fair value
Property, plant and equipment
Intangible assets 8.9
Trade receivables and other receivables 0.2
Cash and cash equivalents 1.1
Total assets acquired 10.3
Deferred tax liabilities 1.7
Trade payables and other payables 1.0
Total liabilities acquired 2.7
Acquired identifiable net assets at fair value, total 7.6
Group’s share of net assets 6.1
Minority interest 1.5
Goodwill 18.0
The fair values entered on intangible assets in consolidation relate primarily to
acquired customer agreements, the brand and information systems developed in-
house. Factors contributory to goodwill were the synergies related to these business-
es expected to be realised.
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 85ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
4.4 Investments in associated companies and joint ventures
Associated companies are those in which the Group has a significant controlling interest. A sig-
nificant controlling interest arises when the Group holds 20% or more of the company’s voting rights
or over which the Group otherwise is able to exercise significant control. A joint arrangement is an
arrangement of which two or more parties have joint control. Joint control is the contractually agreed
sharing of control of an arrangement, which exists only when decisions about the relevant activities
require the unanimous consent of the parties sharing control. A joint arrangement is either a joint
operation or a joint venture. A joint venture is a joint arrangement whereby the Group has rights to the
net assets of the arrangement, whereas in a joint operation, the Group has rights to the assets, and
obligations for the liabilities, relating to the arrangement. Associated companies and joint ventures
are consolidated using the equity method. Investments in associated companies include any good-
will arising from their acquisition. If the Group’s share of the associated company’s losses exceeds
the book value of the investment, this investment is entered at zero value in the balance sheet and
any losses in excess of this value are not recognised unless the Group has obligations with respect to
the associated companies. The Group’s share of the results of its associated companies is shown as
a separate item after operating profit. The Group’s share of its associated companies’ other changes
in comprehensive income is recognised in the consolidated comprehensive income statement under
other comprehensive income.
MEUR 2021 2020
Investments in associated companies and joint ventures
At beginning of period 6.6 3.2
Increases 0.5 4.0
Decreases 0.0 -0.7
Share of results 1.0 0.4
Capital repayments received
Dividends received -0.3
Impairment -0.3
At end of period 7.7 6.6
Further information on associated companies:
Goodwill arising from associated companies on the balance sheet on 31 December
2021 totalled MEUR 3.7 (MEUR 3.2).
Summary of financial information on associated companies and joint ventures (100%).
MEUR
Alma
Career
Alma
Talent
Other
associated companies
2021
Current assets 23.7 0.5
Non-current assets 8.3 0.0
Current liabilities 13.6 0.1
Non-current liabilities 3.0 0.1
Revenue 81.4 0.3
Profit/loss for the period 4.9 -0.1
Other comprehensive income 0 0
Reconciliation between associated
companies’ and joint ventures’ finan-
cial information and the balance sheet
value recognised by the Group:
Associated company’s net assets 12.5 -0.1 0.1
Group’s share of net assets 3.6 0.1 0.1
Goodwill 3.2 0.4
Other adjustments 1.0 0
Associated companies’ balance sheet
value on the consolidated balance
sheet 7.2 0.4 0.1
Receivables from associated compa-
nies
Owed to associated companies
Dividends and capital repayments
received from associated company
during the period 0.3
MEUR 2021 2020
Paid cash less acquired cash:
Cash consideration 236.5 18.7
Asset transfer tax and transaction costs 4.5 0.4
Contingent considerations paid during the financial year 2.0
Less acquired amounts
Cash 3.4 1.7
Net cash flow – capital expenditure 236.7 19.4
Consideration paid for acquisitions – cash flow
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 86ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
MEUR
Alma
Career
Alma
Talent
Other
associated companies
The year 2020
Current assets 4.1 0.0
Non-current assets 4.8 0.0
Current liabilities 0.9
Non-current liabilities 0.8
Revenue 6.0 0.1
Profit/loss for the period 1.8 0.0
Other comprehensive income
Reconciliation between associated companies’ and
joint ventures’ financial information and the balance
sheet value recognised by the Group:
Associated company’s net assets 7.1 0.0 0.1
Group’s share of net assets 1.8 0.0 0.1
Goodwill 3.2
Other adjustments 1.1
Associated companies’ balance sheet value on the
consolidated balance sheet 6.5 0.0 0.1
Receivables from associated companies
Owed to associated companies
Dividends and capital repayments received from
associated company during the period
Associated companies Segment Holding (%) Share of votes (%)
2021
Bolt Group Oy Alma Career 21.1 21.1
Infostud 3 d.o.o. Alma Career 25.0 25.0
Kytöpirtti Oy Non-allocated 43.2 43.2
Media Metrics Finland Oy Alma Career 25.0 25.0
Suomen Tunnistetieto Oy Alma Talent 25.0 25.0
Vrabotuvanje Online Alma Career 30.0 30.0
During the financial year, the Group sold its 40% holding in the associated company
Conseco Press and acquired 25% of Suomen Tunnistetieto Oy.
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 87ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
4.5 Related party transactions
Alma Media Group’s related parties are its associated companies (see Note 4.4), the
companies that they own and affiliated companies.
Related parties also include the company’s management (the Board of Directors, the
Presidents and the Group Executive Team). The employee benefits of management
and other related party transactions between management and the company are
detailed in Note 1.4.
Sales of goods and services with related party members are based on the Group’s
prices in force at the time of transaction.
Related party transactions – associated companies
MEUR 2021 2020
Sales of goods and services 0.1 0.0
Purchases of goods and services 0.1 0.3
Trade, loan and other receivables 0.0 0.0
Trade payables -0.1 0.0
Related party transactions – principal shareholders
MEUR 2021 2020
Sales of goods and services 0.1 0.1
Purchases of goods and services 0.2 0.1
Trade, loan and other receivables 0.0 0.0
Trade payables 0.0 0.0
Acquired businesses* 171.2
Divested business operations** 1.0
Related party transactions – corporations where management exercises influence
MEUR 2021 2020
Sales of goods and services 0.2 0.1
Purchases of goods and services 0.2 0.1
Trade, loan and other receivables 0.0 0.0
Trade payables 0.0
* The selling party of Nettix Oy is Otava Markkinapaikat Oy, a subsidiary of Otava Oy, which is Alma
Media’s largest shareholder. Otava Oy is Alma Media’s largest shareholder, and the transaction has
been classified as a transaction with a related party.
** Alma Media Corporation sold its shareholding in KPK Yhtiöt Oyj (formerly Keski-Pohjanmaan
Kirjapaino Oyj) to Ilkka-Yhtymä. The transaction concerned the 24,379 series A shares held by
Alma Media Corporation, corresponding to 5.6 per cent of KPK Yhtiöt Oyj’s share capital and 0.5
per cent of votes.
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 88ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
5 Other notes
5.1 Income tax
The tax expense in the profit or loss comprises the tax based on the company’s
taxable income for the period together with deferred taxes. The tax based on taxable
income for the period is the taxable income calculated on the applicable tax rate in
each country of operation. The tax is adjusted for any tax related to previous periods.
MEUR 2021 2020
Current income tax charge, continuing operations 13.5 8.7
Current income tax charge, discontinued operations 2.7
Adjustments in respect of current income tax of previous years,
continuing operations 0.0 0.3
Adjustments in respect of current income tax of previous years,
discontinued operations 0.0
Deferred taxes, continuing operations -1.5 0.0
Deferred taxes, discontinued operations -0.8
Total 12.1 10.9
Reconciliation of tax expenses in the income statement and tax calculated on the
parent company’s tax rate (20.0%):
MEUR 2021 2020
Profit before tax, continuing operations 56.3 42.2
Profit before tax, discontinued operations 67.7
Share of result of associated companies -1.0 -0.1
Total 55.3 109.8
Tax calculated on the parent company’s tax rate of 20.0% 11.1 22.0
Impact of varying tax rates of foreign subsidiaries -0.2 -0.1
Tax-free income -0.1 -12.6
Non-tax-deductible expenses 1.3 1.4
Items from previous periods
Use of previously non-entered deferred tax assets
Unrecognised deferred tax asset from the confirmed tax losses 0.0 0.1
Recognition of previously unrecognised deferred tax assets on the bal-
ance sheet
Other items 0.1 -0.1
Tax recognised in the income statement 12.1 10.9
Tax recognised in the income statement, continuing operations 12.1 9.0
Tax recognised in the income statement, discontinued operations 1.9
Tax impacts of entries due to IAS 19 accounting principles are included in other com-
prehensive income.
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 89ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Changes in deferred taxes during 2021:
MEUR 31.12.2020
Recognised
in income
statement
Recognised
in equity
Acquired/sold
subsidiaries 31.12.2021
Deferred tax assets
Provisions 0.1 -0.1 0.0 0.0 0.0
Pension benefits 0.0 0.0 0.0 0.0 0.0
Deferred depreciation 0.0 0.0 0.0 0.0 0.0
Other items -0.1 0.5 0.0 0.0 0.4
Total 0.0 0.4 0.0 0.0 0.5
Taxes, net 0.2 0.3
Deferred tax assets on
balance sheet 0.3 0.7
5.2 Deferred tax assets and liabilities
Deferred tax assets and liabilities are recognised on all temporary differences between their
book and actual tax values. Deferred taxes are calculated using the tax rates enacted by the balance
sheet date. However, the deferred tax liability is not recognised on the initial recognition of goodwill
or if it arises from initial recognition of an asset or liability in a transaction other than a business com-
bination that, at the time of the transaction, affects neither accounting nor taxable profit or loss.
Deferred tax assets are recognised to the extent that it is probable that taxable profit will be avail-
able against which the deductible temporary differences can be utilised. A deferred tax liability is
recognised on non-distributed retained earnings of subsidiaries when it is likely that the tax will be
paid in the foreseeable future. Deferred tax assets and liabilities are netted by the company when
they relate to income tax levied by the same tax authority and when the tax authority permits the
company to pay or receive a single net tax payment. Deferred taxes are recognised to the extent that
it is probable that taxable profit will be available against which the deductible temporary differences
can be utilised. For this purpose, the conditions for the recognition of deferred taxes are assessed on
the final day of each reporting period.
MEUR 31.12.2020
Recognised
in income
statement
Recognised
in equity
Acquired/sold
subsidiaries 31.12.2021
Deferred tax liabilities
Accumulated depreciation
differences 0.2 0.0 0.0 0.0 0.2
Business combinations 10.7 -1.1 0.0 8.2 17.8
Retained earnings of sub-
sidiary companies 0.4 0.1 0.0 0.0 0.5
Other items -0.1 0.1 0.0 0.0 0.0
Total 11.3 -0.9 0.0 8.2 18.6
Taxes, net 0.2 0.3
Deferred tax liabilities on
balance sheet 11.5 18.9
No deferred tax asset has been calculated on the confirmed losses of Group compa-
nies of MEUR 0.3 in international operations. The utilisation tax assets requires that
the normal operations of such companies would generate taxable income. The losses
expire in 2023, at the latest.
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 90ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Changes in deferred taxes during 2020:
MEUR 31.12.2019
Recognised in
income state-
ment
Recognised in
equity
Acquired/sold
subsidiaries 31.12.2020
Deferred tax assets
Provisions 0.3 0.0 -0.3 0.1
Pension benefits 0.2 0.0 0.0 -0.2 0.0
Deferred depreciation 0.2 0.0 -0.1 0.0
Other items 0.9 -1.0 0.0 0.1 -0.1
Total 1.6 -1.0 0.0 -0.6 0.0
Taxes, net -0.1 0.2
Deferred tax assets on bal-
ance sheet 0.4 0.3
Deferred tax liabilities
Accumulated depreciation
differences 0.3 -0.1 0.2
Business combinations 11.2 -1.0 -0.8 1.3 10.7
Retained earnings of subsid-
iary companies 0.3 0.1 0.4
Other items 0.1 -0.1 -0.1 -0.1
Total 11.9 -1.0 -0.8 1.2 11.3
Taxes, net -0.1 0.2
Deferred tax liabilities on
balance sheet 11.1 11.5
5.3 Discontinued operations
Non-current assets (or disposal groups) are classified as held for sale in accordance with IFRS 5
if their carrying amount will be recovered principally through a sale transaction rather than through
continuing use and a sale is considered highly probable. If their carrying amount will be recovered
principally through a sale transaction rather than through continuing use, they are measured at the
lower of their carrying amount and fair value less costs to sell.
Assets that are classified as held for sale are not depreciated or amortised. Non-current assets
classified as held for sale and the assets of a disposal group classified as held for sale are presented
separately from the other assets in the balance sheet. The liabilities of a disposal group classified as
held for sale are also presented separately from other liabilities in the balance sheet. A discontinued
operation is a component of the Group that has been disposed of or is classified as held for sale and
that meets the IFRS 5 criteria for classification as a discontinued operation. The comparison figures
in the income statement are adjusted with respect to the operations classified as discontinued
during the most recent financial statements period presented. The results of discontinued opera-
tions are also presented separately in the comparison figures.
On 11 February 2020, Alma Media announced it will sell its regional news media
business and printing operations to Sanoma Media Finland. The divested businesses
were previously reported primarily under the Alma Consumer segment. The transac-
tion was subject to customary closing conditions, including approval by the Finnish
Competition and Consumer Authority. The Finnish Consumer and Competition Au-
thority issued its approval for the transaction on 19 March 2020. The transaction was
completed in April 2020.
Alma Media has applied the provisions of IFRS 5 Non-current Assets Held for Sale
and Discontinued Operations in the classification, presentation and recognition of
the divestment of the regional news media business and printing operations. Alma
Media classified the businesses as assets held for sale and reported them as discon-
tinued operations in the 2020 financial statements.
The consolidated income statement presents the discontinued operations separately
from continuing operations.
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 91ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Income statement for discontinued operations
MEUR 1.1.–30.4.2020
Revenue 27.1
Other operating income 8.0
Expenses -26.5
Depreciation and impairment 0.0
Net financial expenses -0.5
Profit before tax 8.1
Income tax -1.9
Profit of the discontinued operations, after taxes 6.2
Gain on the sale of the subsidiary, after taxes 59.6
Profit from discontinued operations 65.8
Detailed information on the sale of a subsidiary
Consideration received or to be received 79.1
Transaction costs -1.6
Book value of net assets sold -17.9
Gain on sale 59.6
Cash flows of discontinued operations
MEUR 2020
Net cash flow from operating activities 6.3
Cash flow from investing activities 52.2
Cash flow from financing activities -9.5
Transactions between continuing operations and discontinued operations have been
eliminated in accordance with IFRS 10. The intragroup sales of printing and other
services by the discontinued operations to the continuing operations amounted to
MEUR 1.7 for the period 1 January–30 April 2020. These items have been eliminated
from the revenue of the discontinued operations and the corresponding expenses
have been eliminated from the expenses of the discontinued operations.
The amount of MEUR 0.7 has been deducted from the expenses of the discontinued
operations for the period 1 January–30 April 2020 and these expenses have been
transferred to the profit for continuing operations. These expenses consist of the
fixed expenses of support services that are expected to continue to be borne by the
continuing operations following the divestment.
In addition, the expenses allocated to discontinued operations for the period 1 Jan-
uary–30 April 2020 include an estimated incentive bonus totalling MEUR 0.6 for the
successful transfer of the divested business to the buyer after a transitional service
period.
5.4 Events after the balance sheet date
The period during which matters affecting the financial statements are taken into account is the
period from the closing of the accounts to the release of the statements. The release date is the day
on which the Financial Statements Bulletin will be published. Events occurring during the period re-
ferred to above are examined to determine whether they do or do not render it necessary to correct
the information in the financial statements.
Information in the financial statements is corrected in the case of events that provide addition-
al insight into the situation prevailing on the balance sheet date. Events of this nature include, for
example, information received after the closing of the accounts indicating that the value of an asset
had already been reduced on the balance sheet date.
In December, Alma Media’s subsidiary Alma Media Finland Ltd agreed to sell E-kon-
takti to the City Digital group. The business was transferred to the new owner on 1
January 2022. The transaction does not have a significant impact on Alma Media’s
result. E-kontakti’s revenue amounted to MEUR 0.9 in 2021.
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 92ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Parent company income statement (FAS)
EUR Note 1.1.–31.12.2021 1.1.–31.12.2020
Revenue 6.1 22,680,291 26,468,657
Other operating income 6.2 196,300 111,167
Materials and services 6.3 15,911 21,395
Expenses arising from employee benefits 6.4 11,072,872 10,482,016
Depreciation and impairment 6.5 730,749 1,054,318
Other operating expenses 6.6, 6.7, 6.8 21,547,856 20,768,706
Operating profit (loss) -10,490,797 -5,746,612
Financial income and expenses 6.9 24,749,320 17,827,954
Profit before appropriations and taxes 14,258,522 12,081,342
Appropriations 6.10 19,627,811 11,735,592
Income tax 6.11 -1,818,067 -1,020,457
Profit for the period 32,068,266 22,796,477
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 93ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Parent company balance sheet (FAS)
EUR Note 31.12.2021 31.12.2020
ASSETS
Non-current assets
Intangible assets 6.12 611,405 1,280,099
Property, plant and equipment 6.13 1,009,638 1,294,746
Investments
Holdings in Group companies 6.14 529,877,545 304,850,728
Other investments 1,930,410 1,959,947
Non-current assets, total 533,428,999 309,385,520
Current assets
Current receivables 6.15 27,001,960 22,951,372
Cash and cash equivalents 22,352,457 28,306,219
Current assets, total 49,354,417 51,257,590
Assets, total 582,783,416 360,643,111
EUR Note 31.12.2021 31.12.2020
EQUITY AND LIABILITIES
Equity
Share capital 45,292,112 45,292,112
Share premium reserve 119,295,759 119,295,759
Other reserves 5,357,269 5,357,269
Invested non-restricted equity fund 110,756,338 110,756,338
Retained earnings (loss) 2,214,360 4,708,762
Profit for the period (loss) 32,068,266 22,796,477
Total equity 6.16 314,984,104 308,206,717
Accumulated appropriations 6.17 158,241 186,052
Liabilities
Non-current liabilities 6.18 200,610,241 577,168
Current liabilities 6.19 67,030,830 51,673,174
Liabilities, total 267,641,071 52,250,342
Shareholders’ equity and liabilities, total 582,783,416 360,643,111
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 94ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Parent company cash flow statement (FAS)
EUR 1.1.–31.12.2021 1.1.–31.12.2020
Cash flow from operating activities
Profit for the period 32,068,266 22,796,477
Depreciation and impairment 730,749 1,354,318
Gains on sale of non-current assets -148,868 9,988
Net financial expenses (income statement) -29,919,549 -18,127,954
Income tax 1,818,067 1,020,457
Change in provisions -4,808
Other adjustments -13,725,849 -12,330,847
Change in working capital:
Change in trade receivables and other receivables 836,194 -631,211
Change in trade payables and other payables -1,117,097 -1,628,026
Dividend received 31,533,254 21,635,740
Interest received 60,399 29,092
Interest expenses paid and other finance expenses -1,674,104 -582,724
Taxes paid -2,475,865 -726,950
Cash flow from operating activities 17,985,597 12,813,553
Capital expenditure
Acquisitions of business operations -238,722,246 -53,000,000
Divestments of business operations 52,791,600
Acquisitions of tangible assets -35,539 -151,300
Acquisitions of intangible assets -225,285
Other investments -230,000 -7,093
Proceeds from sale of available-for-sale financial assets 950,000 50,000
Proceeds from sale of tangible and intangible assets 407,458
Acquisition and sale of associated companies -450,000 2,372,945
Net cash flows from/(used in) investing activities -238,080,327 1,830,868
Cash flow before financing activities -220,094,730 14,644,420
EUR 1.1.–31.12.2021 1.1.–31.12.2020
Financing activities
Non-current loans taken 419,440,972
Repayment of non-current loans -220,000,000
Current loans taken 11,000,000
Repayment of current loans -11,000,000
Acquisition of own shares -1,135,557 -1,464,407
Change in interest-bearing receivables 29,091,493 -24,551,991
Group contributions received and paid 11,440,000 23,270,000
Dividends paid -24,695,940 -32,940,868
Net cash flows from/(used in) financing activities 214,140,968 -35,687,267
Change in cash and cash equivalent funds (increase +/decrease -) -5,953,762 -21,042,847
Cash and cash equivalents at beginning of period 28,306,219 49,349,066
Cash and cash equivalents at end of period 22,352,457 28,306,219
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 95ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Accounting principles used in the parent company’s financial statements
General information
Alma Media Corporation is a Finnish public limited company incorporated under
Finnish law. Its registered office is in Helsinki at the address Alvar Aallon katu 3 C, P.O.
Box 140, FI-00101 Helsinki, Finland.
Parent company financial statements
The financial statements of the parent company are prepared in accordance with
Finnish Accounting Standards (FAS).
The parent company was established on 27 January 2005. On 7 November 2005, the
old Alma Media Corporation was merged with Almanova Corporation, which adopted
the name Alma Media Corporation after the merger. The merger difference arising in
conjunction with the merger has been capitalised to the Group’s shares.
Non-current assets
Tangible and intangible assets are capitalised at direct acquisition cost less planned
depreciation and write-downs. Planned depreciation is calculated from the original
acquisition cost based on the estimated economic life of the asset. The land areas
are not depreciated. The economic lifetimes of the assets are as follows:
Buildings 30–40 years
Machinery and equipment 3–10 years
Other intangible assets 5–10 years
Intangible rights 5–10 years
Research and development costs
Research costs are recognised as an expense in the financial period during which
they are incurred. Development costs are capitalised when it is expected that the in-
tangible asset will generate future economic added value and the costs arising from
this can be reliably determined.
Taxes
Taxes in the income statement are the taxes corresponding to the results of the
Group companies during the financial year as well as adjustments to taxes in previ-
ous years. No deferred tax assets are recognised in the parent company’s accounts.
Foreign currency items
Foreign currency items are entered at the rates prevailing on the transaction date.
Receivables and payables on the balance sheet are valued at the average rate on the
balance sheet date. Exchange rate differences arising from sales and purchases are
treated as additions or subtractions, respectively, in the income statement. Realised
and unrealised exchange rate differences related to loans and loan receivables are
recognised in other financial income and expenses in the income statement. The
parent company does not have any significant foreign currency loans.
Pension commitments
Statutory and voluntary employee pension benefits for the parent company's per-
sonnel are arranged mainly through pension insurance companies.
Other employee benefits
The parent company has a long-term share-based incentive scheme for key man-
agement in effect. In accordance with Finnish Accounting Standards (FAS), the op-
tion benefit and the share reward are not measured at fair value, nor is the calculated
employee benefit expensed in the income statement
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 96ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Notes to the parent company’s financial statements
6.1 Revenue by market area
MEUR 2021 2020
Finland 22.7 26.5
Total 22.7 26.5
6.2 Other operating income
MEUR 2021 2020
Gains on the sale of assets 0.2
Other income 0.0 0.1
Total 0.2 0.1
6.3 Materials and services
MEUR 2021 2020
Materials and services 0.0 0.0
Total 0.0 0.0
6.4 Employee expenses
MEUR 2021 2020
Wages, salaries and fees 8.7 8.6
Pension expenses 1.6 1.2
Other payroll-related expenses 0.8 0.7
Total 11.1 10.5
Average number of employees 99 100
Salaries and bonuses paid to management
President and CEO 0.9 1.2
Other members of the Group Executive Team 2.9 2.4
Members of the Board of Directors 0.3 0.4
Total 4.1 4.0
The benefits to which the President and CEO of the parent company is entitled are
described in more detail in Note 1.4.1 to the consolidated financial statements.
6.5 Depreciation and write-downs
MEUR 2021 2020
Depreciation on tangible and intangible assets 0.7 1.1
Total 0.7 1.1
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 97ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
6.6 Other operating expenses
MEUR 2021 2020
Information technology and telecommunication 10.7 10.5
Business premises 6.3 6.3
Other expenses 4.5 4.0
Total 21.5 20.8
6.7 Auditors’ fees
EUR 1,000 2021 2020
Audit 232.3 252.7
Reporting and opinions 4.0 1.0
Tax consultation 11.7
Other 127.1 109.4
Total 363.4 374.7
Parent company audit expenses include audit fees for the whole group.
6.8 Research and development costs
The Group’s research and development costs in 2021 totalled EUR 140,000 (EUR 140,000
in 2018). No development costs were capitalised on the balance sheet in 2021 or in 2020.
6.9 Financial income and expenses
MEUR 2021 2020
Dividend income
From Group companies 31.2 21.6
From associated companies 0.3
From others 0.0 0.0
Total 31.5 21.6
Income from other non-current investments
From others 0.2 0.0
Other interest and financial income
From Group companies 0.1 0.9
Fair value gain on financial assets at fair value through profit or loss 0.2
From others 0.0 0.0
Total 0.3 0.9
Impairment of non-current investments
Impairment of shares in Group companies -5.6
Impairment of non-current investments -0.3
Total -5.6 -0.3
Interest expenses and other financial expenses
To Group companies -3.8
To others -1.7 -0.3
Total -1.7 -4.1
Foreign exchange rate gains/losses
Foreign exchange rate gains and losses 0.0 -0.3
Financial income and expenses, total 24.7 17.8
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 98ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
6.10 Appropriations
MEUR 2021 2020
Difference between planned depreciation and depreciation made
for tax purposes 0.0 0.3
Group contribution 19.6 11.4
Total 19.6 11.7
6.11 Income tax
MEUR 2021 2020
Income tax from regular business operations -1.8 -1.0
Total -1.8 -1.0
6.12 Intangible assets
MEUR Intangible rights
Financial year 2021
Acquisition cost 1 Jan 6.3
Decreases -3.0
Transfers between items
Acquisition cost 31 Dec 3.4
Accumulated depreciation, amortisation and impairment 1 Jan 5.0
Accumulated depreciation in decreases -3.0
Depreciation for the financial year 0.7
Accumulated depreciation 31 Dec 2.7
Book value 31 Dec 2021 0.6
MEUR Intangible rights
Financial year 2020
Acquisition cost 1 Jan 6.1
Increases 0.2
Transfers between items
Acquisition cost 31 Dec 6.3
Accumulated depreciation, amortisation and impairment 1 Jan 4.0
Depreciation for the financial year 1.0
Accumulated depreciation 31 Dec 5.0
Book value 31 Dec 2020 1.3
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 99ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
6.13 Tangible assets
MEUR Buildings
Machinery and
equipment
Other tangible
assets Total
Financial year 2021
Acquisition cost 1 Jan 0.5 0.1 1.2 1.8
Increases 0.0 0.0
Decreases -0.5 0.0 -0.5
Acquisition cost 31 Dec 0.0 0.2 1.1 1.3
Accumulated depreciation 1 Jan 0.3 0.1 0.1 0.5
Accumulated depreciation in decreases -0.3 -0.3
Depreciation for the financial year 0.0 0.0 0.1 0.1
Accumulated depreciation 31 Dec 0.0 0.1 0.2 0.3
Book value 31 Dec 2021 0.0 0.0 0.9 1.0
Balance sheet value of machinery and equipment 31 Dec 2021 0.0
Financial year 2020
Acquisition cost 1 Jan 0.5 0.1 1.0 1.7
Increases 0.2 0.2
Decreases 0.0 0.0
Acquisition cost 31 Dec 0.5 0.1 1.2 1.8
Accumulated depreciation 1 Jan
Accumulated depreciation in decreases 0.3 0.1 0.1 0.5
Depreciation for the financial year 0.0 0.0 0.1 0.1
Accumulated depreciation 31 Dec 0.3 0.1 0.1 0.5
Book value 31 Dec 2020 0.2 0.0 1.1 1.3
Balance sheet value of machinery and equipment 31 Dec 2020 0.3
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 100ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
6.14 Investments
MEUR Shares in Group companies Shares in associated companies Shares, other Total
Financial year 2021
Acquisition cost 1 Jan 432.4 1.2 0.8 434.4
Increases 235.8 0.5 0.2 236.5
Decreases -5.0 -0.7 -5.7
Transfers between items
Acquisition cost 31 Dec 663.2 1.6 0.3 665.2
Accumulated depreciation, amortisation and
impairment 1 Jan 127.6 127.6
Accumulated depreciation in decreases and
transfers
Impairment 5.6 5.6
Accumulated depreciation, amortisation and
impairments 31 Dec 133.2 133.2
Book value 31 Dec 2021 530.0 1.6 0.3 531.8
Financial year 2020
Acquisition cost 1 Jan 569.4 3.4 0.9 573.7
Increases 64.8 0.0 0.0 64.8
Decreases -201.8 -2.3 -0.1 -204.1
Transfers between items
Acquisition cost 31 Dec 432.4 1.2 0.8 434.4
Accumulated depreciation, amortisation and
impairment 1 Jan 239.2 0.5 0.0 239.7
Accumulated depreciation in decreases and
transfers -111.7 -0.8 0.0 -112.5
Impairment 0.3 0.3
Accumulated depreciation, amortisation and
impairments 31 Dec 127.6 0.0 0.0 127.6
Book value 31 Dec 2020 304.9 1.2 0.8 306.8
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 101ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Parent company holdings in Group companies and associated companies
Company
Registered
office Holding %
Share of
votes, % Group holding %
Subsidiaries
Alma Career Oy Helsinki, Finland 100.00 100.00 100.00
Alma Media Suomi Oy Helsinki, Finland 100.00 100.00 100.00
Alma Mediapartners Oy Helsinki, Finland 100.00 100.00 100.00
Alma Talent Oy Helsinki, Finland 100.00 100.00 100.00
Etua Oy Helsinki, Finland 100.00 100.00 100.00
Karenstock Oy Helsinki, Finland 100.00 100.00 100.00
Kotikokki.net Oy Helsinki, Finland 65.00 65.00 65.00
Netello Systems Oy Helsinki, Finland 60.00 60.00 60.00
Nettix Oy Helsinki, Finland 100.00 100.00 100.00
Objektvision AB
Stockholm,
Sweden 100.00 100.00 100.00
Rantapallo Oy Helsinki, Finland 79.00 79.00 79.00
Associated companies
Infostud 3 d.o.o. Serbia 25.00 25.00 25.00
Kytöpirtti Oy
Seinäjoki, Fin-
land 43.20 43.20 43.20
Suomen Tunnistetieto Oy Turku, Finland 25.00 25.00 25.00
During the financial year 2021, Alma Media Corporation acquired the entire share cap-
ital of Nettix Oy and increased its shareholding to 100% in Alma Career Oy (previously
83.34%) and Etua Oy (previously 60%).
6.15 Receivables
MEUR 2021 2020
Current receivables
Receivables from Group companies
Loan receivables* 22.8 19.1
Prepaid expenses and accrued income 0.7 0.6
Total 23.4 19.7
Receivables from others
Trade receivables 0.0 0.6
Other receivables 0.3 0.0
Prepaid expenses and accrued income** 3.2 2.6
Total 3.6 3.2
Current receivables, total 27.0 23.0
* Cash and cash equivalents in Group bank accounts are included in loan receivables.
** Major balances in prepaid expenses and accrued income consist of ICT purchase invoice accruals and the accrual of
taxes for the financial year.
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 102ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
6.16 Shareholders’ equity
MEUR 2021 2020
Restricted shareholders' equity
Share capital 1 Jan 45.3 45.3
Share capital 31 Dec 45.3 45.3
Share premium reserve 1 Jan 119.3 119.3
Share premium reserve 31 Dec 119.3 119.3
Other reserves 1 Jan 5.4 5.4
Other reserves 31 Dec 5.4 5.4
Restricted shareholders' equity total 169.9 169.9
Non-restricted shareholders’ equity
Invested non-restricted equity fund 1 Jan 110.8 110.8
Invested non-restricted equity fund 31 Dec 110.8 110.8
Retained earnings 1 Jan 27.5 38.1
Cancellation of unpaid dividends 0.1
Dividend payment -24.7 -32.9
Acquisition of own shares -1.1 -1.5
Disposal of own shares 0.5 1.1
Retained earnings 31 Dec 2.2 4.7
Profit for the period 32.1 22.8
Non-restricted shareholders’ equity total 145.0 138.3
Total equity 315.0 308.2
MEUR 2021 2020
Calculation of the parent company's distributable funds on 31
December
Invested non-restricted equity fund 110.8 110.8
Capitalised research and development costs -0.2 -0.3
Profit from the previous year 2.2 4.7
Profit for the period 32.1 22.8
Total 144.8 138.0
6.17 Appropriations
MEUR 2021 2020
Difference between planned depreciation and depreciation made
for tax purposes 0.2 0.2
6.18 Non-current liabilities
MEUR 2021 2020
Loans from credit institutions 200.0
Other non-current liabilities 0.6 0.6
Total 200.6 0.6
Debt due after five years
Other non-current liabilities 0.1
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 103ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
6.19 Current liabilities
MEUR 2021 2020
Trade payables 0.6 1.4
Total 0.6 1.4
Liabilities to Group companies
Trade payables 0.0 0.0
Other liabilities 62.5 43.0
Accrued expenses and prepaid income 0.1
Total 62.5 43.0
To others
Other current liabilities 0.6 2.8
Accrued expenses and prepaid income 3.3 4.5
Total 3.9 7.2
Current liabilities total 67.0 51.7
Most of accrued expenses and prepaid income consist of allocated employee ex-
penses.
6.20 Commitments and contingencies
MEUR 2021 2020
Collateral for Group company’s commitments
Guarantees 2.5 2.5
Other own commitments
Rental commitments – within one year 5.8 5.4
Rental commitments – after one year 25.1 28.9
Rental commitments total 30.9 34.3
Total
Guarantees 2.5 2.5
Other commitments 30.9 34.3
Commitments total 33.4 36.8
Alma Media has a MEUR 30 committed financing limit at its disposal, which was
entirely unused on 31 December 2021. The company also has a commercial paper
programme of MEUR 100 in Finland. The commercial paper programme was unused
on 31 December 2021.
6.21 Derivative contracts
MEUR 2021 2020
Commodity derivatives (electricity derivative)
Fair value* 0.0
Nominal value 0.1
Interest rate derivative
Fair value* 0.2
Nominal value 50.0
* The fair value represents the return that would have arisen if the derivative had been cleared on the balance sheet
date.
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 104ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
The distributable funds of the
Group’s parent company totalled EUR
144,833,995 on 31 December 2021.
There were 82,383,182 shares carrying
dividend rights.
The Board of Directors proposes to the
Annual General Meeting that a dividend
of EUR 0.35 per share (2020: EUR 0.30
per share) be paid for the financial year
2021. Based on the number of outstand-
ing shares on the closing date 31 Decem-
ber 2021, the dividend payment totals
EUR 28,774,470 (24,678,651).
Jorma Ollila
Chairman of the Board
Petri Niemisvirta
Deputy Chairman of the Board
Catharina Stackelberg-Hammarén
Board member
Kai Telanne
President and CEO
Esa Lager
Board member
Peter Immonen
Board member
Alexander Lindholm
Board member
AUDITOR’S NOTE
A report on the audit carried out has
been submitted today.
Helsinki, 15 February 2022
PricewaterhouseCoopers Oy
Authorised Public Accountants
Niina Vilske
Authorised Public Accountant
No essential changes have taken place
after the end of the financial year with
respect to the company’s financial
standing. The proposed distribution of
profit does not, in the view of the Board
of Directors, compromise the company’s
liquidity.
Signatures to the report by the Board of Directors and the financial statements
Helsinki, 15 February 2022
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 105ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Auditor’s Report
To the Annual General Meeting of Alma Media Corporation
Report on the Audit of the Financial Statements
Opinion
In our opinion,
• the consolidated financial statements give a true and fair view of the Group’s finan-
cial position and financial performance and cash flows in accordance with Interna-
tional Financial Reporting Standards (IFRS) as adopted by the EU
• the financial statements give a true and fair view of the parent company’s financial
performance and financial position in accordance with the laws and regulations
governing the preparation of the financial statements in Finland and comply with
the statutory requirements.
Our opinion is consistent with the additional report to the Audit Committee.
What we have audited
We have audited the financial statements of Alma Media Oyj (Business ID 1944757-4)
for the year ended 31 December 2021. The financial statements comprise:
• • the consolidated balance sheet, statement of comprehensive income, statement
of changes in equity, statement of cash flows and notes, including a summary of
significant accounting policies
• the parent company’s balance sheet, income statement, statement of cash flows
and notes.
Basis for Opinion
We conducted our audit in accordance with good auditing practice in Finland. Our
responsibilities under good auditing practice are further described in the Auditor’s
Responsibilities for the Audit of the Financial Statements section of our report.
We believe that the audit evidence we have obtained is sufficient and appropriate
to provide a basis for our opinion.
Independence
We are independent of the parent company and of the group companies in accor-
dance with the ethical requirements that are applicable in Finland and are relevant to
our audit, and we have fulfilled our other ethical responsibilities in accordance with
these requirements.
To the best of our knowledge and belief, the non-audit services that we have provid-
ed to the parent company and to the group companies are in accordance with the ap-
plicable law and regulations in Finland and we have not provided non-audit services
that are prohibited under Article 5(1) of Regulation (EU) No 537/2014. The non-audit
services that we have provided are disclosed in note 1.3.5 to the Financial Statements.
Our Audit Approach
Overview
Materiality • We have applied an overall group materiality of MEUR 2.7
Group scoping • We have audited the parent company and its subsidiaries
in Finland, the Czech Republic and Slovakia
Key audit matters • Changes in Group structure and their accounting treat-
ment
• Valuation of goodwill and intangibles with indefinite lives
• Valuation of holdings in group companies i(parent com-
pany)
As part of designing our audit, we determined materiality and assessed the risks of
material misstatement in the financial statements. In particular, we considered where
the management made subjective judgements; for example, in respect of significant
accounting estimates that involved making assumptions and considering future
events that are inherently uncertain.
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 106ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Materiality
The scope of our audit was influenced by our application of materiality. An audit is
designed to obtain reasonable assurance whether the financial statements are free
from material misstatement. Misstatements may arise due to fraud or error. They are
considered material if individually or in aggregate, they could reasonably be expect-
ed to influence the economic decisions of users taken on the basis of the financial
statements.
Based on our professional judgement, we determined certain quantitative thresholds
for materiality, including the overall group materiality for the consolidated financial
statements as set out in the table below. These, together with qualitative consid-
erations, helped us to determine the scope of our audit and the nature, timing and
extent of our audit procedures and to evaluate the effect of misstatements on the
financial statements as a whole.
Overall group materiality
MEUR 2.7
How we determined it
We used 5% of profit before tax to determine overall group materiality
Rationale for the materiality benchmark applied
We chose profit before tax as the benchmark because, in our view, it is the bench-
mark against which the performance of the Group is most commonly measured
by users, and is a generally accepted benchmark. We chose 5%, which is within the
range of acceptable quantitative materiality thresholds in auditing standards.
How we tailored our group audit scope
We tailored the scope of our audit, taking into account the structure of the group, the
accounting processes and controls, and the industry in which the group operates.
We have performed audit procedures in the most significant subsidiaries in Finland,
the Czech Republic and Slovakia. We have considered that the remaining subsidiar-
ies don’t present a reasonable risk of material misstatement for consolidated finan-
cial statements.
Key Audit Matters
Key audit matters are those matters that, in our professional judgment, were of most
significance in our audit of the financial statements of the current period. These
matters were addressed in the context of our audit of the financial statements as a
whole, and in forming our opinion thereon, and we do not provide a separate opinion
on these matters.
As in all of our audits, we also addressed the risk of management override of internal
controls, including among other matters consideration of whether there was evi-
dence of bias that represented a risk of material misstatement due to fraud.
Key audit matter in the audit of the group
Changes in Group structure and their accounting treatment
Refer to accounting principles of the consolidated financial statements and notes 3.3,
4.2 and 4.3 in the consolidated financial statements.
Several changes have taken place in the Group structure in the financial year ended
due to business combinations, the most significant being the acquisition of Nettix Oy.
In addition, changes have taken place in the non-controlling interests due to acquisi-
tion of shares.
In business combinations, the assets and liabilities of the acquiree are measured at fair
value at the date of the acquisition which requires management to make estimates.
The business combinations may include contingent considerations and obligation to
redeem the shares of non-controlling interest. These require management estimation
for the future profit development of the acquired company as well as the timing of the
redemption.
Changes in Group structure and their accounting treatments is a key audit matter due
to the high degree of management judgement involved in the accounting of the trans-
actions.
How our audit addressed the key audit matter
Our audit procedures relating to changes in Group structure included:
• For business combinations we considered the purchase agreements, evaluated the
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 107ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
valuation and allocation principles of the assets and liabilities of the acquiree and
their underlying assumptions used.
• We tested the technical accuracy of the purchase price allocations and the accuracy
of the accounting entries in the consolidated financial statements for the business
combinations..
• We evaluated the values and the proper accounting treatment of the contingent
considerations and the redemption liabilities relating to the non-controlling interest.
• We assessed the adequacy and the appropriateness of the disclosures in the finan-
cial statements.
Valuation of goodwill and intangibles with indefinite lives
Refer to accounting principles of the consolidated financial statements and note 2.1.
Intangible assets and goodwill.
On 31 December 2021, the Group’s goodwill balance amounted to MEUR 294.5 and
intangible rights with indefinite lives MEUR 59.4. Goodwill and intangible rights with
indefinite lives are allocated to the cash-generating units.
The Company tests goodwill for potential impairment whenever there is an indica-
tion that the carrying value may be impaired and at least once a year. The impairment
testing is carried out by comparing the recoverable amount against the carrying value
of goodwill
The recoverable amounts are determined using the value in use model. Value in use
calculations are subject to significant management judgement with respect to cash
flows forecasts and discount rates.
Valuation of goodwill and intangible rights with indefinite lives is a key audit matter
due to the significance of the balance sheet amount and the high degree of manage-
ment judgement involved.
Our audit procedures included, for example, the following procedures:
• We assessed the methodology applied in the value in use calculation by comparing
it to the requirements of IAS 36, Impairment of Assets, and testing the mathematical
accuracy of calculations.
• We evaluated the process by which the future cash flow forecasts were determined
for the value in use model and compared the forecasts to the budgets and strategic
plans approved by the Board of Directors.
• We assessed the reasonableness of cash flow forecasts by comparing the accuracy
of prior period revenue growth and operating profit forecasts to actual outcomes.
• We considered whether the sensitivity analysis performed by the management
around key assumptions was appropriate.
• The discount rates applied within the model were assessed by PwC valuation spe-
cialists.
• We assessed the adequacy and the appropriateness of the disclosures in the finan-
cial statements.
Key audit matter in the audit of the parent company
Valuation of holdings in group companies
Refer to note 6.14 of the parent company’s financial statements
On 31 December 2021 holdings in group companies in the parent company’s balance
sheet amounted to EUR 530,0 million. The parent company has accounted for a EUR
5,6 million impairment of holdings in group companies during the financial year.
The holdings in group companies are tested annually for impairment by comparing
the recoverable amount against the book value of individual holding. The recoverable
amounts are determined using the value-in-use model.
Valuation of holdings in group companies is a key audit matter due to the significance
of the balance sheet amount and the high degree of management judgement in-
volved.
How our audit addressed the key audit matter
Our audit procedures included, for example, the following procedures:
• We evaluated the process by which the future cash flow forecasts were determined
for the value in use model and compared the forecasts to the budgets and strategic
plans approved by the Board of Directors.
• We assessed the reasonableness of cash flow forecasts by comparing the accuracy
of prior period revenue growth and operating profit forecasts to actual outcomes.
• We assessed the reasonableness of cash flow forecasts, for example, by comparing
the accuracy of prior period revenue growth and operating profit forecasts to actual
outcomes.
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 108ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
• The discount rates applied within the model were assessed by PwC valuation spe-
cialists.
There are no significant risks of material misstatement referred to in Article 10(2c)
of Regulation (EU) No 537/2014 with respect to the consolidated financial state-
ments or the parent company financial statements.
Responsibilities of the Board of Directors and the Chief Executive Officer for
the Financial Statements
The Board of Directors and the Chief Executive Officer are responsible for the
preparation of consolidated financial statements that give a true and fair view in
accordance with International Financial Reporting Standards (IFRS) as adopted by
the EU, and of financial statements that give a true and fair view in accordance with
the laws and regulations governing the preparation of financial statements in Finland
and comply with the statutory requirements. The Board of Directors and the Chief
Executive Officer are also responsible for such internal control as they determine is
necessary to enable the preparation of financial statements that are free from materi-
al misstatement, whether due to fraud or error.
In preparing the financial statements, the Board of Directors and the Chief Executive
Officer are responsible for assessing the parent company’s and the Group’s ability
to continue as a going concern, disclosing, as applicable, matters relating to going
concern and using the going concern basis of accounting. The financial statements
are prepared using the going concern basis of accounting unless there is an inten-
tion to liquidate the parent company or the group or to cease operations, or there is
no realistic alternative but to do so.
Auditor’s Responsibilities for the Audit of the Financial Statements
Our objectives are to obtain reasonable assurance about whether the financial state-
ments as a whole are free from material misstatement, whether due to fraud or error,
and to issue an auditor’s report that includes our opinion. Reasonable assurance is a
high level of assurance, but is not a guarantee that an audit conducted in accordance
with good auditing practice will always detect a material misstatement when it exists.
Misstatements can arise from fraud or error and are considered material if, individual-
ly or in the aggregate, they could reasonably be expected to influence the economic
decisions of users taken on the basis of these financial statements.
As part of an audit in accordance with good auditing practice, we exercise professional
judgment and maintain professional skepticism throughout the audit. We also:
• Identify and assess the risks of material misstatement of the financial statements,
whether due to fraud or error, design and perform audit procedures responsive to
those risks, and obtain audit evidence that is sufficient and appropriate to provide
a basis for our opinion. The risk of not detecting a material misstatement resulting
from fraud is higher than for one resulting from error, as fraud may involve collusion,
forgery, intentional omissions, misrepresentations, or the override of internal control.
• Obtain an understanding of internal control relevant to the audit in order to design
audit procedures that are appropriate in the circumstances, but not for the pur-
pose of expressing an opinion on the effectiveness of the parent company’s or the
Group’s internal control.
• Evaluate the appropriateness of accounting policies used and the reasonableness of
accounting estimates and related disclosures made by management.
• Conclude on the appropriateness of the Board of Directors’ and the Chief Executive
Officer’s use of the going concern basis of accounting and based on the audit evi-
dence obtained, whether a material uncertainty exists related to events or conditions
that may cast significant doubt on the parent company’s or the Group’s ability to
continue as a going concern. If we conclude that a material uncertainty exists, we
are required to draw attention in our auditor’s report to the related disclosures in the
financial statements or, if such disclosures are inadequate, to modify our opinion.
Our conclusions are based on the audit evidence obtained up to the date of our au-
ditor’s report. However, future events or conditions may cause the parent company
or the Group to cease to continue as a going concern.
• Evaluate the overall presentation, structure and content of the financial statements,
including the disclosures, and whether the financial statements represent the un-
derlying transactions and events so that the financial statements give a true and fair
view.
• Obtain sufficient appropriate audit evidence regarding the financial information of
the entities or business activities within the Group to express an opinion on the con-
solidated financial statements. We are responsible for the direction, supervision and
performance of the group audit. We remain solely responsible for our audit opinion.
We communicate with those charged with governance regarding, among other matters,
the planned scope and timing of the audit and significant audit findings, including any
significant deficiencies in internal control that we identify during our audit.
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 109ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
We also provide those charged with governance with a statement that we have complied
with relevant ethical requirements regarding independence, and to communicate with
them all relationships and other matters that may reasonably be thought to bear on our
independence, and where applicable, related safeguards.
From the matters communicated with those charged with governance, we determine
those matters that were of most significance in the audit of the financial statements of
the current period and are therefore the key audit matters. We describe these matters
in our auditor’s report unless law or regulation precludes public disclosure about the
matter or when, in extremely rare circumstances, we determine that a matter should not
be communicated in our report because the adverse consequences of doing so would
reasonably be expected to outweigh the public interest benefits of such communication.
Other Reporting Requirements
Appointment
We were first appointed as auditors by the Annual General Meeting on 20 March 2014.
Our appointment represents a total period of uninterrupted engagement of 8 years.
Other Information
The Board of Directors and the Chief Executive Officer are responsible for the other
information. The other information comprises the report of the Board of Directors
and the information included in the Annual Report, but does not include the finan-
cial statements and our auditor’s report thereon. We have obtained the report of the
Board of Directors prior to the date of this auditor’s report and the Annual Report is
expected to be made available to us after that date.
Our opinion on the financial statements does not cover the other information.
In connection with our audit of the financial statements, our responsibility is to read
the other information identified above and, in doing so, consider whether the other
information is materially inconsistent with the financial statements or our knowledge
obtained in the audit, or otherwise appears to be materially misstated. With respect
to the report of the Board of Directors, our responsibility also includes considering
whether the report of the Board of Directors has been prepared in accordance with
the applicable laws and regulations.
In our opinion,
• the information in the report of the Board of Directors is consistent with the infor-
mation in the financial statements
• the report of the Board of Directors has been prepared in accordance with the
applicable laws and regulations.
If, based on the work we have performed on the other information that we obtained
prior to the date of this auditor’s report, we conclude that there is a material mis-
statement of this other information, we are required to report that fact. We have
nothing to report in this regard.
Helsinki, 15 February 2022
PricewaterhouseCoopers Oy
Authorised Public Accountants
Niina Vilske
Authorised Public Accountant (KHT)
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 110ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Independent Auditor’s Reasonable Assurance Report on Alma Media Oyj’s
ESEF Financial Statements (Translation of the Finnish Original)
To the Management of Alma Media Oyj
We have been engaged by the Management of Alma Media Oyj (business identity
code 1944757-4) (hereinafter also “the Company”) to perform a reasonable assur-
ance engagement on the Company’s consolidated IFRS financial statements for the
financial year 1.1.2021-31.12.2021 in European Single Electronic Format (“ESEF financial
statements”), version: almamedia-2021-12-31-fi.zip.
Management’s Responsibility for the ESEF Financial Statements
The Management of Alma Media Oyj is responsible for preparing the ESEF financial
statements so that they comply with the requirements as specified in the Commis-
sion Delegated Regulation (EU) 2019/815 of 17 December 2018 (“ESEF requirements”).
This responsibility includes the design, implementation and maintenance of internal
control relevant to the preparation of ESEF financial statements that are free from
material noncompliance with the ESEF requirements, whether due to fraud or error.
Our Independence and Quality Control
We have complied with the independence and other ethical requirements of the
International Code of Ethics for Professional Accountants (including International
Independence Standards) issued by the International Ethics Standards Board for
Accountants (IESBA Code), which is founded on fundamental principles of integrity,
objectivity, professional competence and due care, confidentiality and professional
behavior.
Our firm applies International Standard on Quality Control 1 and accordingly main-
tains a comprehensive system of quality control including documented policies and
procedures regarding compliance with ethical requirements, professional standards
and applicable legal and regulatory requirements.
Our Responsibility
Our responsibility is to express an opinion on the ESEF financial statements based on
the procedures we have performed and the evidence we have obtained.
We conducted our reasonable assurance engagement in accordance with the In-
ternational Standard on Assurance Engagements (ISAE) 3000 (Revised) Assurance
Engagements Other than Audits or Reviews of Historical Financial Information. That
standard requires that we plan and perform this engagement to obtain reasonable
assurance about whether the ESEF financial statements are free from material non-
compliance with the ESEF requirements.
A reasonable assurance engagement in accordance with ISAE 3000 (Revised)
involves performing procedures to obtain evidence about the ESEF financial state-
ments compliance with the ESEF requirements. The procedures selected depend on
the auditor’s judgment, including the assessment of the risks of material noncom-
pliance of the ESEF financial statements with the ESEF requirements, whether due
to fraud or error. In making those risk assessments, we considered internal control
relevant to the Company’s preparation of the ESEF financial statements.
We believe that the evidence we have obtained is sufficient and appropriate to pro-
vide a basis for our opinion.
Opinion
In our opinion, Alma Media Oyj’s ESEF financial statements for the financial year end-
ed 31.12.2021 comply, in all material respects, with the ESEF requirements.
Our reasonable assurance report has been prepared in accordance with the terms of
our engagement. We do not accept, or assume responsibility to anyone else, ex-
cept for Alma Media Oyj for our work, for this report, or for the opinion that we have
formed.
Helsinki
PricewaterhouseCoopers Oy
Authorised Public Accountants
Niina Vilske
Authorised Public Accountant (KHT)
REMUNERATION REPORT
2021
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 132ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Content
133
136
139
Comparison data
Verification of
the Remuneration Report
From the
Chairman
134
137
Key remuneration
principles
Remuneration of
the Board of Directors
135
138
Deviation from the Remuneration
Policy and clawback of remuneration
Remuneration of
the President and CEO
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 133ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
From the Chairman
Dear shareholders
This remuneration report for the Group’s
governing bodies has been produced
in compliance with the EU Shareholder
Rights Directive (SHRD) and the Finnish
Corporate Governance Code 2020 for
listed companies.
Alma Media continued its renewal in
2021. In the spring, the Group closed
its largest-ever acquisition by acquir-
ing Nettix, the leading marketplace for
motor vehicles. In addition, the Group
acquired full ownership of Alma Me-
diapartners and Alma Career, and the
product portfolio was expanded in digi-
tal housing transactions as well as adver-
tising and recruitment business technol-
ogies, and the revised segment structure
entered into effect. The Group’s strate-
gic focus continued to shift even more
clearly to the development of digital and
international business.
Business development in 2021 was again
affected by the COVID-19 pandemic
and the measures taken by the public
authorities in the Group’s operating
countries to prevent its spread. As a
whole, however, the economic uncer-
tainty caused by the pandemic de-
creased compared to the first year of
the pandemic in 2020 and the Group’s
revenue showed a substantial recovery.
Alma Media’s business and profitability
grew broadly, driven particularly by the
recruitment business, advertising sales
and marketplaces, but also by the media
business.
Alma Media’s incentive schemes empha-
sise the reconciliation of the interests
of the executives and the interests of
Alma Media’s shareholders, engaging the
commitment of the executives through
long-term share ownership and thereby
increasing the company’s shareholder
value in the long term.
The Annual General Meeting 2021 kept
the fees of the Board of Directors un-
changed.
During the past few years, the key crite-
ria for the short-term incentive bonuses
of the President and CEO have been the
development of the Group’s profitability,
i.e. adjusted operating profit, and digital
business growth targets. Alma Media’s
long-term incentive scheme, in turn, is
based on the total shareholder return of
the company’s share and the growth of
digital business. The rewards are paid in
Alma Media shares.
Variable remuneration components, i.e.
short-term and long-term incentives,
represent a significant proportion of the
remuneration of Alma Media’s President
and CEO. This ensures a strong align-
ment between the implementation of the
Group’s strategy and the President and
CEO’s remuneration, as the targets set
for the short-term and long-term incen-
tive systems are directly linked to Alma
Media’s business development.
The total remuneration paid to Alma
Media’s President and CEO in 2021,
including pension contributions (sup-
plementary pension + statutory pension),
amounted to EUR 1,410,619, with variable
remuneration components representing
31 per cent of the total.
Peter Immonen
Chairman of the Nomination and
Compensation Committee
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 134ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Key remuneration principles
I
n accordance with its strategy,
Alma Media builds sustainable
growth by taking advantage of
the opportunities presented
by the digital transformation.
The objective is to increase
shareholder value through revenue
growth and improved profitability. Alma
Media is developing and expanding its
current business operations and seeking
growth opportunities in new businesses
and markets. The company’s Remunera-
tion Policy and remuneration systems are
aimed at promoting the Group’s long-
term financial success, competitiveness
and the development of shareholder
value.
The remuneration of the members of
the Board of Directors at Alma Media
must be competitive to ensure that the
Board of Directors consists of members
with sufficient expertise to carry out the
duties of the Board of Directors, which
include, among other things, deciding on
the company’s strategy and monitoring
its implementation.
The remuneration schemes concerning
the company’s President and CEO are
based on the principle of achieving the
Group’s strategic objectives defined
and confirmed by the Board of Direc-
tors as well as the principle of improv-
ing the company’s result. The incentive
schemes emphasise the reconciliation
of the interests of the executives and the
interests of Alma Media’s shareholders,
engaging the commitment of the execu-
tives through long-term share ownership
and thereby increasing the company’s
shareholder value in the long term.
The remuneration principles include
the promotion of a performance-based
operating culture, offering competitive
compensation for development that
promotes the implementation of strat-
egy and the achievement of targets.
Alma Media’s remuneration principles
and processes are transparent, clear and
consistent.
Alma Media’s Annual General Meeting
confirmed the Remuneration Policy of
Alma Media’s Governing Bodies, pre-
pared in accordance with the Corpo-
rate Governance Code 2020 for Finnish
listed companies and the EU amend-
ment directive concerning shareholder
rights (SHRD II), in the spring 2020. The
Remuneration Policy is available in full
on Alma Media’s website at https://www.
almamedia.fi/en/investors/governance/
remuneration.
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 135ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Deviation from Alma Media’s Remuneration Policy
and clawback of remuneration in 2021
T
emporary deviations from
Alma Media’s Remunera-
tion Policy may be made
if such a deviation is
necessary to ensure the
long-term interests of
Alma Media. The assessment may take
into account, among other things, the
company’s long-term financial success,
competitiveness, ensuring the undis-
rupted continuation of business and the
development of shareholder value.
Deviations from the Remuneration Policy
concerning the President and CEO shall
be prepared by the Board’s Nomination
and Compensation Committee and
decided on by the Board of Directors. If
there are grounds for temporary devia-
tion, the deviation may concern any com-
ponent or aspect of remuneration.
There were no deviations from the Re-
muneration Policy in 2021. There were
also no circumstances that would have
given cause for the Group to exercise
its right to claw back or cancel paid or
unpaid incentives.
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 136ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Comparison figures on the remuneration of the management and employees and
Alma Media’s financial performance 2017–2021
A
lma Media’s businesses
achieved excellent de-
velopment and profit-
ability improved as the
economy recovered in
Finland and the Group’s
other operating countries in 2021. Rev-
enue grew broadly across the Group’s
businesses, with digital advertising and
recruitment seeing very strong demand
in particular.
The annual fees of the Board of Directors
were increased in 2019 after they had
gone unchanged since 2016.
The remuneration schemes concerning
the company’s President and CEO are in
line with the updated long-term targets
and they are based on the principle of
achieving the Group’s strategic objec-
tives, digital business growth and improv-
ing the Group’s result.
These criteria are also reflected in the
short-term and long-term remuneration
of the President and CEO. The remuner-
ation of the President and CEO is closely
aligned with the principle of perfor-
mance-based remuneration.
The development of the remuneration of
the Board of Directors and the President
and CEO compared to the average remu-
neration of the Group’s employees and
EUR 2017 2018 2019 2020 2021
Average fees paid to a member of the Board of Directors 40,329 54,733 56,571 54,014 49,533
Basic salary + benefits paid to the President and CEO (excluding pen-
sion benefits)
495,519 473,735 511,777 523,853 552,988
Year-on-year change, % 0.0% -4.4% 8.0% 2.4% 5.6%
Total remuneration paid to the President and CEO 449,162 654,621 600,004 1,246,306 442,390
Year-on-year change, % 130.3% 46.7% -8.3% 107.7% -64.5%
Average employee salary* 51,339 50,633 50,242 49,523 53,257
Adjusted operating profit (MEUR) 41.7 49.9 49.3 45.4 61.1
Digital business growth, % 17.3 8.7 3.7 -4.7 33.9
Share price (end of the year) 7.19 5.54 7.96 8.92 10.82
Dividend 0.24 0.35 0.40 0.30 0.35
Other employee expenses and dividing this figure by the average number of employees for the year excluding telemarketers.
the Group’s financial performance for the
past five financial years:
The comparison figures illustrate the sal-
aries and fees paid during each financial
year. The bonuses based on short-term
and long-term incentive schemes are
always paid in the year following the
performance period. For example, the
figures for 2020 are based on the short-
term incentive scheme’s performance
period 2019 and the long-term incentive
scheme’s performance period 2015–2020.
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 137ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Remuneration of the Board of Directors in 2021
Fees paid to the members of the Board of Directors for their work on the Board and its committees in 2021 (EUR)
T
he members of the Board
of Directors of Alma Media
Corporation are not in an
employment relationship
with the company. The com-
pensation received by the
members of the Board of Directors from the
company is limited to compensation related
to membership of the Board of Directors and
its committees and their work on the Board
of directors. The members of the Board of
Directors are not included in Alma Media’s
share-based incentive schemes or the com-
pany’s other incentive schemes.
The members of the Board shall, as decided
by the Annual General Meeting, acquire a
number of Alma Media Corporation shares
corresponding to approximately 40 per cent
of the full amount of the annual remunera-
tion for Board members, taking into account
tax deduction at source, at the trading price
on the regulated market arranged by the
Helsinki Stock Exchange. The acquired
shares cannot be transferred until the recipi-
ent’s membership on the Board has ended.
If it is not possible to acquire the shares by
the end of each year for a reason such as
pending insider transactions, the annual
remuneration shall be paid in cash.
The meeting fees of the members of the
Board of Directors are paid in cash.
The Annual General Meeting 2021 kept the
fees of the Board of Directors unchanged
and, in accordance with the proposal of
the Shareholders’ Nomination Committee,
resolved on the annual fees of the Board of
Directors as follows:
Year Name Position Board meetings
Audit
Committee
Nomination and
Compensation
Committee
Fees
total
Annual
fee
Annual fee paid
in shares, no.
of shares*
Meeting
fees
2021 Jorma Ollila Chairman 62,500 2,342 15,000 1,000 78,500
2021 Petri Niemisvirta Deputy Chairman 40,000 1,499 7,700 2,500 50,200
2021 Peter Immonen Member 32,500 1,217 5,500 2,000 40,000
2021 Esa Lager Member 32,500 1,217 5,500 7,500 45,500
2021 Alexander Lindholm Member 32,500 1,217 5,000 2,500 40,000
2021 Päivi Rekonen Member until 24
March 2021
- - 3,000 1,000 4,000
2021 Catharina
Stackelberg-Hammarén
Member 32,500 1,217 5,500 1,000 39,000
* The number of shares corresponds to approximately 40% of the full amount of the annual fee after taxation
• To the Chair of the Board of Directors,
EUR 62,500 per year; to the Vice Chair,
EUR 40,000 per year, and to the other
members EUR 32,500 per year.
• In addition, the Chair of the Board of
Directors and the Chair of the Audit
Committee will be paid a fee of EUR
1,500, the Chair of the Nomination
and Compensation Committee a fee
of EUR 1,000, the Deputy Chairs of
the committees a fee of EUR 700 and
members a fee of EUR 500 for those
Board and Committee meetings that
they attend.
• The travel expenses of Board members
will be compensated in accordance
with the company’s travel policy.
The above-mentioned attendance fees
for each meeting are
- doubled for (i) members living outside
Finland in Europe or (ii) meetings held
outside Finland in Europe; and
- tripled for (i) members resident outside
Europe or (ii) meetings held outside
Europe.
In the financial year 2021, the fees paid to
the Board members totalled EUR 297,200.
All fees paid to the Board members during
the financial year 2021 were in accordance
with Alma Media’s Remuneration Policy.
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 138ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Remuneration of the President and CEO in 2021
The total remuneration of Alma Media’s
President and CEO in 2021, including
pension benefits (supplementary pen-
sion + statutory pension), amounted to
EUR 1,410,619. Short-term and long-term
incentive bonuses paid in 2021 represent-
ed 31.4 per cent of the total remuneration
of the President and CEO, while the fixed
annual salary including pension benefits
(statutory pension and supplementary
pension) represented 68.6 per cent. The
remuneration of the President and CEO in
2021 was in accordance with Alma Media’s
Remuneration Policy.
According to the Remuneration Policy, the
fixed remuneration includes basic salary,
benefits and supplementary pension
contributions. The variable remuneration
consists of a short-term incentive (STI)
bonus scheme related to the achievement
of short-term financial and operation-
al targets and long-term remuneration
schemes (LTI).
The supplementary pension contribution
of the President and CEO’s fixed annual
salary is 37% of the annual salary, which
is calculated by adding a computational
share of 50% of the maximum incentive to
the overall salary. The President and CEO
has the right to retire at the age of 60. No
other financial benefits were paid to the
President and CEO in 2021.
Variable remuneration
components:
Short-term remuneration
The main elements of the short-term
incentive bonus scheme of Alma Media’s
President and CEO were based on two
criteria: Meeting Alma Media Group's
financial targets concerning adjusted
operating profit (weight 60%), digital
business growth (weight 20%) and the
achievement of strategic objectives
(weight 20%) for each calendar year.
The maximum remuneration payable to
the President and CEO under the short-
term incentive scheme is 66 per cent of
the annual basic remuneration. In addi-
Variable remuneration components Pension benefits
Fixed annual salary
(including taxable fringe
benefits)
Short-term incentive
bonuses paid for the
year 2020
Share-based
incentive bonuses
paid
Supplementary and
statutory pension con-
tributions Total
President and CEO 552,988 117,384 325 006* 415,241 1,410,619
tion to the earning opportunity based on
the incentive scheme, the President and
CEO may be eligible for one-off proj-
ect bonuses based on, for example, key
development projects, projects relating
to significant changes in Group structure
or M&A transactions or other one-off
projects or arrangements as determined
by the Board of Directors on a case-by-
case basis.
The rate of achievement of the targets of
the President and CEO’s short-term in-
centive scheme was 35 per cent in 2020
and the bonus of EUR 117,384 was paid in
March 2021. The rate of achievement of
the targets was 100 per cent in 2021 and
the bonus of EUR 345,424 will be paid in
March 2022.
* The share-based incentive bonus (LTI) was paid on 11 March 2021. The number of earned shares under the incentive scheme was 34,000 and the average share price
on the payment date was 9.559.
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 139ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Variable remuneration
components:
Long-term remuneration
The President and CEO’s long-term
incentive structure consists of share-
based incentive schemes (LTI 2015 and
LTI 2019). Dividing the maximum incen-
tive reward over the measurement peri-
od on average, the maximum incentive
reward based on the LTI schemes is
2015 III
TSR
2015 IV
TSR
2015 IV
(Matching
plan)
2019
MSP
2020
MSP
2021
MSP TOTAL
Maximum 36,000 36,000 36,000 135,000 120,000 126,000 489,000
shares
Performance indi-
cators
Total share-
holder return
(TSR)
Total share-
holder return
(TSR)
Digital growth Digital growth
(50%), total
shareholder re-
turn (TSR) (50%)
Digital growth
(33%), EPS
(33%), total
shareholder
return (TSR)
(33%)
Digital growth
(33%), EPS
(33%), total
shareholder
return (TSR)
(33%)
Performance
period
2017–2021 2018–2022 2018–2019, 2021 2019–2021 2020–2022 2021–2023
Year of payment 2022 2023 2022 2022 2023 2024
limited to 95 per cent of the President
and CEO’s fixed annual salary. The mea-
surement period is five years for the LTI
2015 scheme and three years for the LTI
2019 scheme.
On 11 March 2021, the President and CEO
was paid share-based incentive bonuses
under three different incentive schemes
(LTI 2015 I, LTI 2015 III, LTI 2015 IV). The
gross number of shares received by the
President and CEO based on the incen-
tive schemes was 34,000 shares, corre-
sponding to EUR 325,006 (average rate
9.559 on the payment date).
In accordance with the Board of Direc-
tors’ recommendation concerning share
ownership, the President and CEO is
expected to retain ownership of at least
half of the net shares received through
the company’s share-based incentive
schemes until the total value of the Alma
Media shares held corresponds to at
least one year’s fixed gross annual salary.
The long-term incentive bonus is subject
to a transfer restriction and the President
and CEO can only transfer the shares
pursuant to the terms and conditions of
the incentive scheme.
Verification of
the Remuneration Report
The auditing firm PricewaterhouseCoo-
pers Oy, which served as Alma Media’s
auditor for the financial year 2021, has
verified that the legally required disclo-
sures are included in this Remuneration
Report.
CORPORATE GOVERNANCE STATEMENT
2021
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 112ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Content
113
121
128
Shareholders’ Nomination
Committee
Internal control and risk
management systems in
financial reporting
Corporate Governance Statement
of Alma Media Corporation
114
122
130
Alma Media Group
President & CEO and Group Executive
Team of Alma Media Corporation
Auditing
115
126
Board of Directors of Alma
Media Corporation
Insider Management
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Corporate Governance Statement
I
n 2021, Alma Media Corpo-
ration applied the Finnish
Corporate Governance Code
2020 for listed companies,
which entered into force on 1
January 2020, in its unaltered
form. A Corporate Governance State-
ment, required by the Corporate Gover-
nance Code, is presented as a separate
report in connection with the Financial
Statements. In addition, it is publicly
available on Alma Media’s website: www.
almamedia.fi/en/investors/governance/
corporate-governance
The Audit Committee of Alma Media
Corporation’s Board of Directors has
reviewed the Corporate Governance
Statement. The statement will not be
updated during the financial period, but
up-to-date information on its sections
is available on Alma Media’s website:
https://www.almamedia.fi/en/investors/
governance/corporate-governance
The Finnish Corporate Governance Code
is downloadable from the website of
the Securities Market Association: www.
cgfinland.fi
FINANCIAL
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THE YEAR
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CORPORATE
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Alma Media Group
R
esponsibility for Alma Me-
dia Group’s management
and operations belongs to
the constitutional bodies
required by the Limited
Liability Companies Act:
the General Meeting of Shareholders,
which elects the members of the Board
of Directors; and the President and CEO,
who is appointed by the Board of Direc-
tors.
Alma Media Corporation’s supreme deci-
sion-making body is the General Meet-
ing of Shareholders, where shareholders
exercise their decision-making power.
The Board of Directors is responsible
for the company’s governance and its
appropriate organisation. In its capacity
as the Group’s parent company, Alma
Media Corporation is responsible for the
Group’s management, legal affairs, cor-
porate restructuring, strategic planning,
financial administration, human resourc-
es and facilities management, financing,
ICT, internal and external communica-
tions as well as the Alma brand.
Alma Media Group has three reporting
segments.
The Alma Career segment consists of
the recruitment business and comple-
mentary services that respond to the
needs of jobseekers and employers in 11
European countries.
The Alma Consumer segment includes
the national afternoon paper Iltalehti,
automotive and housing marketplac-
es and comparison services, as well as
housing and automotive sales systems
that serve companies in those industries.
The Nettix business and Netello, which is
a provider of digital marketing solutions,
are also part of the Alma Consumer
segment.
The Alma Talent segment publishes
subscription-based financial and profes-
sional media and provides digital data,
content and marketplace services for
professionals and companies in various
industries to support competence devel-
opment and business growth.
In addition, Alma Media’s shared sales
function (Alma Media Solutions) is a
sales and development organisation that
serves the business segments’ advertis-
er customers.
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Board of Directors of Alma Media Corporation
T
he Shareholders’ Nomination
Committee of Alma Media
Corporation prepares a pro-
posal for the General Meeting
regarding the composition
and remuneration of the
Board of Directors. The Board of Directors
shall comprise no fewer than three (3) and
no more than nine (9) members elected by
the Annual General Meeting. The term of
office of a member of the Board shall be one
(1) year, ending at the close of the Annual
General Meeting following their election.
The President and CEO of the company may
not act as the Chair of the Board. There is no
specific order of appointment of members
of the Board. The Annual General Meeting
decides on the remuneration and travel
allowances of the members of the Board of
Directors.
The Board Diversity Policy sets out the prin-
ciples concerning the diversity of the Board
of Directors. The principles are available in
their entirety on the Alma Media website at
http://www.almamedia.fi/en/investors/gover-
nance/board-of-directors.
Pursuant to the Board Diversity Policy, the
Board of Directors and its members, as a
group, shall have sufficient complementary
expertise and experience on matters related
particularly to the company’s line of business
and operations, the management of a listed
company, financial statements and financial
reporting, internal control and risk manage-
ment, strategy, acquisitions and corporate
governance.
The members of the Board of Directors shall
represent diverse expertise and qualifi-
cations and the diversity of the members’
age and gender distribution, academic and
professional backgrounds and experience
of international business shall support the
company’s business and its development.
Members of the Board of Directors shall
possess the necessary qualifications and
the opportunity to dedicate sufficient time
to their duties as members of the Board. The
number of members and composition of the
Board of Directors shall enable the effective
fulfilment of the Board’s responsibilities.
Both genders shall be represented on the
Board of Directors.
Composition of the Board
and shareholdings of members
The Annual General Meeting 2021 elected the
following members to the Board of Directors:
Jorma Ollila, Peter
Immonen, Esa Lager, Alexander Lindholm,
Petri Niemisvirta, Catharina Stackel-
berg-Hammarén. The Chair of the Board of
Directors was Jorma Ollila and the Deputy
Chair was Petri Niemisvirta.
•
•
Chair of the Board of Directors
Member of the Board since 2019, member of the Nomination
and Compensation Committee
Essential work experience
• Nokia Corporation: Chair of the Board, CEO, Chair of the
Group Executive Board 1999–2006
• Nokia Corporation: President and CEO and Chair of the
Group Executive Board 1992–1999
• Nokia Mobile Phones: President 1990–1992
• Nokia Corporation: CFO 1986–1989
Principal positions of trust
• TBG AG: member of the Board 2016–
• Perella Weinberg Partners Inc: member of the Board 2014–
• Miltton Group Oy: Chair of the Board 2015–
• The Finnish Innovation Fund Sitra: member of the Board
2020–
• Algorithmiq Inc.: Chair of the Board 2021–
• Tetra Laval Group: member of the Board 2013–2021
• Xinova LLC: Chair of the Board 2016–2021
Independent of the company, but not independent of its sig-
nificant shareholder
Shareholding on 31 December 2021
20,448 Alma Media Corporation shares
Jorma Ollila
Born: 1950
M.Sc. (Soc.), M.Sc. (Econ.),
M.Sc. (Eng.)
Finnish citizen
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Mandatum Life Insurance Company Limited and Mandatum
Holding: Managing Director, member of the Group Executive
Committee of Sampo plc
Deputy Chair 2019–, Chair 2018, Deputy Chair 2011–2018, member
of the Board 2011–, member of the Audit Committee
Essential work experience
• Evli Life Ltd: Managing Director 2000–2001
• Sampo Life Insurance Company Limited: Product Manager
(unit-linked insurance) 1999–2000
• Kaleva Mutual Insurance Company/Sampo Life Insurance
Company Limited: Life Insurance Sales Manager 1995–1999
Principal positions of trust
• Topdanmark A/S: member of the Board 2017–
• Kaleva Mutual Insurance Company: Member of the Board
2013–, Chair of the Board 2014–
• Varma Mutual Pension Insurance Company: Member of the
Board 2014–
• Finance Finland (FFI): member of the Board 2019–, member
of the Life Insurance Executive Committee 2021–, Chair 2019–
2021, member 2017–2018, Chair 2015–2016, member 2011–2014,
Chair 2007–2010
• Confederation of Finnish Industries EK, Finance and Tax
Commission: member 2017–, Chair 2015–2016
• Enento Group: Chair of the Nomination Committee 2019–
• Mandatum Asset Management: Deputy Chair of the Board
2021–
• World Wide Fund for Nature, Finland, member of the Council
2018–2021
Independent of the company and its significant shareholders
Shareholding on 31 December 2021
25,436 Alma Media Corporation shares
WIP Asset Management Oy: Chair of the Board 2005–
Member of the Board 2018–, Chair of the Nomination and Com-
pensation Committee
Essential work experience
• WIP Asset Management Oy: Chair of the Board 1995–2001
and 2005–, Managing Director 2002–2005
Principal positions of trust
• Mariatorp Oy: member of the Board 2015–
• Wipunen varainhallinta Oy: member of the Board 2005–
• Dasos Capital Oy: member of the Board 2010–
• Finsilva Oyj: member of the Board 2015–
• Stiftelsen Svenska Handelshögskolan, member of the Board
2019–
• Cargotec Corporation: member of the Board 2005–2021
Independent of the company, but not independent of its sig-
nificant shareholder
Shareholding on 31 December 2021
4,305 Alma Media Corporation shares
Member of the Board since 2014, Chair of the Audit Committee
Essential work experience
• Outokumpu Group: Deputy CEO 2011–2013
• Outokumpu Group: Chief Financial Officer (CFO) 2005–2013
• Outokumpu Group: Director, Financing and Administration
2001–2004, Director, Financing 1995–2000, Vice President
1991–1994
• Kansallis-Osake-Pankki: various expert and managerial
positions (Head Office foreign operations and the London
branch) 1984–1990
Principal positions of trust
• Stockmann Oyj: member of the Board 2017–
• SATO Oyj: member of the Board 2016–, Chair of the Board
2015–2016, Deputy Chair of the Board 2014–2015
• Ilkka-Yhtymä Oyj: member of the Board 2011–, Deputy Chair
of the Board 2014–
• GRK Infra Oy: member of the Board 2020–
• Terrafame Oy: member of the Board 2015–2021
Independent of the company, but not independent of its sig-
nificant shareholder
Shareholding on 31 December 2021
18,130 Alma Media Corporation shares
Petri Niemisvirta
Born: 1970
LL.M.
Finnish citizen
Peter Immonen
Born: 1959
M.Sc. (Econ.)
Finnish citizen
Esa Lager
Born: 1959
LL.M., M.Sc. (Econ.)
Finnish citizen
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•
Alexander Lindholm
Born: 1969
BBA
Finnish citizen
Päivi Rekonen
Born: 1969
M.Sc. (Econ.), M.Sc. (Soc.Sci.)
Finnish citizen
(Member of the Board until 24
March 2021)
Catharina
Stackelberg-Hammarén
Born: 1970
M.Sc. (Econ.)
Finnish citizen
Independent strategy advisor 2018–
Member of the Board 2018–2021, member of the Audit Commit-
tee until 24 March 2021
Essential work experience
• UBS: Managing Director, Group Technology 2014–2018
• Adecco Group: Senior Vice President, Global Head of Digital
Strategy 2011–2012
• Credit Suisse: Head of IT 2007–2009
• Cisco Systems: various leadership roles 1998–2007
• Nokia Corporation: various leadership roles 1990–1998
Principal positions of trust
• F-Secure Corporation: member of the Board 2017–
• Efecte Plc: member of the Board 2018–
• Konecranes Corporation: member of the Board 2018–
• UNOPS: member of Strategy Advisory Board 2018–
• SEBA Bank: Chair of the Board 2020–
Independent of the company and its significant shareholders
Shareholding on 24 March 2021
3,088 Alma Media Corporation shares
Founder and Executive Chair, Marketing Clinic Oy
Member of the Board 2009–, member of the Nomination and
Compensation Committee
Essential work experience
• Marketing Clinic Oy: Executive Chair 2019–
• Marketing Clinic Oy: CEO 2004–2019
• Coca-Cola Finland: Managing Director 2003–2004 and
2000–2002
• Coca-Cola AB: Managing Director 2002–2003
• Coca-Cola Nordic & Baltic Division: Marketing Director
(Copenhagen) 2000
• Coca-Cola Finland: Consumer Marketing Manager
1996–2000
• Sentra plc: Marketing Manager 1994–1996
Principal positions of trust
• Marimekko Oyj: member of the Board 2014–
• Marketing Clinic Oy: member of the Board 2004–
• Scan Securities AB: member of the Board 1996–
• Royal Unibrew A/S: member of the Board 2019–
• Kojamo plc: member of the Board 2021–
• Purmo Group Oy: member of the Board 2021–
Independent of the company and its significant shareholders
Shareholding on 31 December 2021
25,996 Alma Media Corporation shares
Otava Group, CEO 2010–
Member of the Board 2018–, member of the Audit Committee
Essential work experience
• Yhtyneet Kuvalehdet /Otavamedia CEO 2008–2012
• Yhtyneet Kuvalehdet: Publishing Director 2005–2007
• Yhtyneet Kuvalehdet: Sales Director 2001–2004
Principal positions of trust
• Otava Ltd: member of the Board 2008–
• Yhtyneet Kuvalehdet Oy/Otavamedia Ltd, member of the
Board/Chair 2008–
• Otava Publishing Company Ltd: Chair of the Board 2010–
• Suomalainen Kirjakauppa Ltd: Chair of the Board 2011–
• Kirjavälitys Oy: Chair of the Board 2013–
• Nettix Oy, Chair of the Board 2016–2021
Independent of the company, but not independent of its sig-
nificant shareholder
Shareholding on 31 December 2021
4,305 Alma Media Corporation shares
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It is the duty of the members of the
Board of Directors to provide the Board of
Directors with sufficient information for
the assessment of their competence and
independence. The Board of Directors
has assessed that, with the exception of
Jorma Ollila, Peter Immonen, Esa Lager
and Alexander Lindholm, the members of
the Board are independent of the com-
pany and its significant shareholders.
The members mentioned hereinabove
are assessed to be independent of the
company but not independent of its
significant shareholders. Peter Immonen
is a member of the Board of Mariatorp Oy,
Esa Lager is a member of the Board of
Ilkka-Yhtymä Oyj, Alexander Lindholm is
the CEO of Otava Group and Jorma Ollila
has been a member of the Board of Otava
Ltd. for ten consecutive years in 2019 (a
relationship with a significant shareholder
pursuant to Recommendation 10, item j of
the Corporate Governance Code).
Tasks and responsibilities of the
Board of Directors
The Board of Directors is responsible
for the company’s governance and the
due organisation of its operations. The
tasks and responsibilities of the Board of
Directors are determined by the Finn-
ish Limited Liability Companies Act and
the Articles of Association. The detailed
working of the Board of Directors is set
out in the Board's Charter. Principal
tasks of the Board of Directors include
confirming the Group’s strategy and
objectives as well as deciding on signif-
icant investments and acquisitions. The
Board of Directors monitors the Group’s
performance through monthly reports
and other information provided by the
Group's management. The company
ensures that all members of the Board of
Directors receive adequate information
on Alma Media’s operations, operating
environment and financial position. New
members of the Board of Directors are
familiarised with Alma Media’s opera-
tions.
The duties of the Board of Directors
include:
• confirming the Group’s strategy and
objectives, monitoring their imple-
mentation, and, if required, initiating
corrective action;
• considering and approving the
interim reports and the financial
statements;
• approving strategically significant
corporate and real estate acqui-
sitions and disposals as well as
investments according to separate
investment instructions;
• deciding on Alma Media Corpora-
tion’s capital financing programmes
and operations according to a sepa-
rate treasury policy;
• approving Alma Media Corporation’s
dividend policy and submitting a
dividend proposal to the General
Meeting of Shareholders;
• annually reviewing the main risks
associated with the company’s oper-
ations and the management of these
risks; if necessary, giving the Presi-
dent and CEO instructions on how
to deal with them, and, if required,
initiating corrective action;
• approving the principles for the ad-
vance approval of non-audit services
provided by the auditor;
• appointing and, if required, dismiss-
ing the President and CEO;
• deciding on the Nomination and
Compensation Committee’s propos-
al for the terms of employment of
the President and CEO and the other
members of the Group Executive
Team;
• confirming the company’s organisa-
tion based on the CEO’s proposal;
• confirming the terms of employment
of the CEO’s direct subordinates
based on the CEO’s proposal;
• based on the President and CEO’s
proposal, confirm the appointment
and dismissal of the Editors-in-Chief
of newspapers and magazines with
significant revenue and circulation;
• holding a meeting with the compa-
ny’s auditors at least once a year;
• deciding on matters that are ex-
ceptional and have wide-ranging
consequences;
• making decisions on such activities
within the inner circle that are not
part of the company’s regular activ-
ities or which diverge from normal
commercial conditions;
• considering other matters that the
Chair of the Board and President and
CEO have agreed to be included in
the agenda for the Board’s meet-
ing. Other Board members are also
entitled to put a matter before the
Board by notifying the Chair of such
a matter;
• representing the company and
entitling individuals to represent
the company, as well as deciding on
procurations;
• approving the principles concern-
ing the donation of sums to good
causes.
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The Board’s Charter is available in full
on the Alma Media website: http://www.
almamedia.fi/en/investors/governance/
board-of-directors
The Board convenes approximately 12
times a year according to a previously
confirmed timetable and, in addition,
whenever necessary. Most meetings
are connected with the publication of
the company’s financial statements and
interim reports. Part of the meetings are
focused on strategy, and at these meet-
ings the Board discusses the Group’s
future scenarios and confirms the strat-
egy for each strategy period. In 2021, the
Board met 11 times. The attendance of
each member is shown in the table.
Assessment of the Board’s per-
formance
In 2021, the Board of Directors evaluated
its performance and working methods
through self-assessment.
Permanent committees
The Board of Directors has established
two permanent committees: the Audit
Committee and the Nomination and
Compensation Committee. At its consti-
tutive meeting after the Annual General
Meeting, the Board of Directors elects
the members of these committees from
among the Board members. The Board of
Directors confirms a written Charter for
the committees. The committees report
to the Board of Directors.
Audit Committee
The members of the Audit Committee
shall have the expertise and experience
required for the duties of the Committee,
and at least one member shall have spe-
cial expertise in accounting or auditing.
As a whole, the Audit Committee must
possess sufficient expertise and experi-
ence in the tasks of the Audit Commit-
tee as well as the company’s operating
environment. At its constitutive meeting
after the Annual General Meeting, the
Board of Directors elects a minimum of
three members to the Audit Committee
from among the Board members, who
then elect a Chair for the Committee.
The Audit Committee meets at least four
times a year.
As of 24 March 2021, the members of the
Audit Committee were Esa Lager, Alexan-
der Lindholm, and Petri Niemisvirta. Esa
Lager was the Chair of the Audit Commit-
tee. The Audit Committee’s meetings are
attended by the company’s Auditor, the
Group’s Chief Financial Officer and Gen-
eral Counsel. Matters to the Committee
are presented by the CFO.
The Board of Directors has appointed
the Audit Committee to monitor the
company’s internal control systems. The
work of the Audit Committee includes
tasks such as evaluating compliance with
legislation and regulations; evaluating
and monitoring the financial reporting
process and financial statements report-
ing, including compliance with financial
statements standards; monitoring the
auditing process; approving, in accor-
dance with the principles confirmed by
the company’s Board of Directors, or
giving advance authorisation to the Chair
of the Audit Committee to approve, all
permitted non-audit services provided
Name Role Attendance at Board
meetings
Jorma Ollila Chair 10/10
Petri Niemisvirta Deputy Chair 11/11
Peter Immonen Member 11/11
Esa Lager Member 11/11
Alexander Lindholm Member 10/10
Päivi Rekonen Member until 24
March 2021
3/3
Catharina Stackelberg-Hammarén Member 11/11
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by the auditor, including their scope and
the estimated fees payable for them; and
monitoring significant financial, financing
and tax risks; and monitoring the compa-
ny’s fiscal position. The Audit Committee
is required to process the company's
central approval and operational instruc-
tions for investments and funding, for
example. In addition, the Audit Commit-
tee monitors processes and risks related
to IT security and processes any messag-
es received through the Group’s ethical
reporting – the whistleblowing channel.
The Audit Committee also monitors
and evaluates the independence of the
auditor and, in particular, the auditor’s
provision of non-audit services.
The Charter of the Audit Committee is
available in full on the Alma Media web-
site: http://www.almamedia.fi/en/inves-
tors/governance/board-of-directors
The Audit Committee convened five
times in 2021. The attendance of each
member is shown in the table below.
Name Role Attendance at Audit
Committee meetings
Esa Lager Chair 5/5
Alexander Lindholm Member 5/5
Petri Niemisvirta Member 5/5
Päivi Rekonen Member until 24
March 2021
3/3
Nomination and Compensation
Committee
At its constitutive meeting after the
Annual General Meeting, the Board of
Directors elects the members to the
Nomination and Compensation Commit-
tee from among the Board members. The
Nomination and Compensation Commit-
tee comprises at least three members,
who elect a Chair for the Committee. On
24 March 2021, Jorma Ollila and Cathari-
na Stackelberg-Hammarén were elect-
ed as members of the Nomination and
Compensation Committee, with Peter
Immonen elected as Chair.
The principal task of the Nomination and
Compensation Committee is to pre-
pare matters for the Board concerning
appointments, compensation, incentive
systems, the self-evaluation of the Board
and the development of good gover-
nance. In the Nomination and Compen-
sation Committee, the matters concern-
ing compensation are presented by the
President and CEO.
The Charter of the Nomination and
Compensation Committee is available
in full on the Alma Media website: www.
almamedia.fi/en/investors/governance/
board-of-directors
The Nomination and Compensation
Committee convened twice in 2021 to
consider matters according to its Char-
ter. The attendance of each member is
shown in the table below.
Name Role Attendance at Nomina-
tion and Compensation
Committee meetings
Peter Immonen Chair 2/2
Jorma Ollila Member 2/2
Catharina Stackelberg-Hammarén Member 2/2
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The Shareholders’ Nomination Committee
T
he Nomination Commit-
tee’s duties include pre-
paring proposals related to
the election and remunera-
tion of the members of the
Board of Directors to the
Annual General Meeting.
The Shareholders’ Nomination Commit-
tee consists of four members appointed
by Alma Media’s four largest sharehold-
ers, and the members elect a Chair from
among their number.
More information on the members of the
Shareholders’ Nomination Committee of
Alma Media Corporation in 2021 is pre-
sented in the table.
The Shareholders’ Nomination Com-
mittee convened twice during its term
of office in 2021–2022: in November 2021
and January 2022. All members of the
Nomination Committee attended both
meetings. On 25 January 2022, the Share-
holders’ Nomination Committee issued a
proposal to the Annual General Meeting
to be held on 29 March 2022.
Name Role
Henrik Ehrnrooth
Born: 1954, B.Sc. (Forest Econ.), M.Sc. (Econ.)
Chair of the Board of Directors, Otava Oy
Member of the Board, ÅF Pöyry AB
Shareholding on 31 December 2021: 0 Alma Media Corporation shares
Chair
Timo Aukia
Born: 1973, M.Sc. (Econ.)
Managing Director, Timo Aukia Oy & Jaakko Aukia Oy
Shareholding on 31 December 2021: 5,246 Alma Media Corporation
shares
Member
Peter Immonen
Born: 1959, M.Sc. (Econ.)
Chair of the Board of Directors, WIP Asset Management, member of
the Board of Directors of Mariatorp Oy
Shareholding on 31 December 2021: 4,305 Alma Media Corporation
shares
Member
Timo Sallinen
Born: 1970, M.Sc. (Econ.)
Head of Listed Securities, Varma Mutual Pension Insurance Company
Shareholding on 31 December 2021: 0 Alma Media Corporation shares
Member
Jorma Ollila
Born: 1950, Master of Science degree in Political Science (University
of Helsinki), M.Sc. Economics (London School of Economics), M.Sc. in
Engineering (Helsinki University of Technology)
Chair of the Board of Directors, member of the Board since 2019,
member of the Nomination and Compensation Committee
Shareholding on 31 December 2021: 20,448 Alma Media Corporation
shares
Expert member
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President & CEO and Group Executive
Team of Alma Media Corporation
T
he President and CEO
of Alma Media Corpora-
tion is Kai Telanne, M.Sc.
(Econ.), born 1964.
The President and CEO
is responsible for the day-to-day man-
agement of the company in accordance
with the guidelines and instructions of
the Board of Directors. The President and
CEO is responsible for the company’s
accounts conforming to legislation and
its assets being reliably managed. The
President and CEO must supply all the
information necessary for the appropri-
ate working of the Board of Directors to
the Board or any of its members.
The President and CEO may undertake
matters that are exceptional or have
wide-ranging consequences with regard
to the scope and nature of the compa-
ny’s business only through authorisation
by the Board of Directors or in circum-
stances in which it is not possible to wait
for the Board’s decision without caus-
ing essential damage to the company’s
operation. In the latter case, the Board
must be notified of the action taken as
soon as possible.
The President and CEO, Mr Kai Telanne, is
supported by a Group Executive Team, in
2021 comprising Kari Kivelä (Senior Vice
President, Alma Consumer), Vesa-Pekka
Kirsi (Senior Vice President, Alma Career),
Juha-Petri Loimovuori (Managing Direc-
tor, Alma Talent), Tiina Järvilehto (Senior
Vice President, Alma Media Solutions),
Santtu Elsinen (CDO), Virpi Juvonen (Se-
nior Vice President, Human Resources),
Mikko Korttila (General Counsel), Elina
Kukkonen (Senior Vice President, Com-
munications and Brand) and Juha Nuutin-
en (CFO). The members of the executive
team take turns acting as secretary to the
Group Executive Team.
The Group Executive Team prepares the
monthly reports, investments, Group
guidelines and policies, the strategy
and other long-term plans, action plans
covering the following 12 months and the
financial statements for confirmation by
the Board of Directors. The Group Exec-
utive Team convened 20 times in 2021.
President and CEO, Chair of the Group Executive
Team
In the current position 2005–
Member of the Group Executive Team 2005–
Essential work experience
• Kustannus Oy Aamulehti: Managing Director 2001–2005
• Kustannus Oy Aamulehti: Deputy Managing Director
2000–2001
• Kustannus Oy Aamulehti: Marketing Director 1999–2000
• Suomen Paikallissanomat Oy: Marketing Director 1996–1999
• Kustannus Oy Aamulehti: Marketing Manager 1993–1996
• Kustannus Oy Aamulehti: Sales Manager 1991–1993
• Kustannus Oy Aamulehti: Research Manager 1990–1991
• Nokian Paperi Oy: Product Manager 1989–1990
Principal positions of trust
• Teleste Corporation: Member of the Board 2008–
• Tampere Chamber of Commerce & Industry: Member of the
Board 2018–
Shareholding on 31 December 2021
224,044 Alma Media Corporation shares
Kai Telanne
Born: 1964
M.Sc. (Econ.)
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REPORT
Santtu Elsinen
Born: 1972
B.Sc.-level studies in Eco-
nomics
Virpi Juvonen
Born: 1963
M.Sc. (Soc.)
Tiina Järvilehto
Born: 1970
M.Sc. (Econ.)
Senior Vice President, Human Resources
In the current position 2013–
Member of the Group Executive Team 2012–
Essential work experience
• Alma Media Corporation: Acting Senior Vice President, Hu-
man Resources, December 2012–April 2013
• Alma Media Corporation: Director, Human Resources, Mar-
ketplaces unit, 2011–2012
• Kustannusosakeyhtiö Iltalehti: Human Resources Manager
2007–2011
• Elisa Corporation: Human Resources Manager 2004–2007
• Oy Radiolinja Ab: Human Resources Manager 2002–2004
Principal positions of trust
• Finla Työterveys Oy: Member of the Board 2017–
Shareholding on 31 December 2021
29,918 Alma Media Corporation shares
Senior Vice President, Alma Media Solutions
In the current position 2015–
Member of the Group Executive Team 2017–
Essential work experience
• Alma Media Corporation: Senior Vice President, Alma Media
Solutions 2015–
• Kauppalehti Ltd: Director, Sales and Marketing 2013–2015
• Iltalehti Oy: Director, Sales and Marketing 2008–2013
• Iltalehti Oy: Director, Customer Relations 2006–2008
• Iltalehti Oy: Sales Manager 2004–2006
Principal positions of trust
Finnish Periodical Publishers’ Association: Member of the
Board 2018–
Shareholding on 31 December 2021
30,378 Alma Media Corporation shares
Chief Digital Officer (CDO)
In the current position 2016–
Member of the Group Executive Team 2016–
Essential work experience
• Talentum Oyj: Business Development Director, member of
extended Group Management Team 2012–2016
• Trainers’ House Oyj: Vice President, Business Development,
member of the Management Team 2011–2012
• Satama Interactive Oyj: Director, Business Development,
2005–2010
• Quartal Oy: Chair of the Board of Directors 2000–, CEO
2011–, Business Development Director 1998–2005, Creative
Director 1997–1998
• Kauppamainos Bozell Oy: Director, Digital media, 1997
• Specialist positions at advertisement agencies and the
media, 1994–1996
Principal positions of trust
• Media Industry Research Foundation of Finland: Member of
the Board 2016–
• Digia Oyj: Member of the Board 2018–
• Finnmedia, Chair of the Technology team 2019–
• Finnish Authentication Cooperative: Chair of the Board
2021–
Shareholding on 31 December 2021
18,230 Alma Media Corporation shares and 10,100 shares via
Winterfell Capital Oy
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SUSTAINABILITY
REPORT
• – –
Vesa-Pekka Kirsi
Born: 1969
BA
Kari Kivelä
Born: 1959
M.Sc. (Soc.), MBA
Mikko Korttila
Born: 1962
Master of Laws, Master of
Laws trained on the bench,
eMBA
Senior Vice President, Alma Consumer
In the current position 2018–
Member of the Group Executive Team 2005–
Essential work experience
• Startel Oy: Managing Director 2002–2004
• Saunalahti Group Corporation: Deputy Managing Director
2000–2002
• Uutislehti 100 Oy, City-lehti: Managing Director 1997–2000
• City-lehti: Editor-in-Chief 1986–1997
Principal positions of trust
-
Shareholding on 31 December 2021
53,577 Alma Media Corporation shares
General Counsel, Legal Affairs, M&A and
Corporate Development
Secretary to the Board of Directors of Alma Media Corporation
In the current position 2007–
Member of the Group Executive Team 2008–
Essential work experience
• Raisio plc: Executive Vice President and General Counsel,
member of the Executive Committee 2003–2007
• Raisio plc: Executive Vice President, HR and Legal; General
Counsel, member of the Executive Committee 2001–2003
• Raisio plc: Legal Counsel, Chemicals and Benecol divisions
1997–2001
• Attorney-at-Law 1990–1997
Principal positions of trust
• Advisory Board of Finnish Listed Companies: Chair, member
2008–
• International Chamber of Commerce, Finnish Committee:
Member of certain working groups 2006–
• Securities Market Association, Member of the Takeover
Board 2019–
• Finnish Media Federation (Finnmedia): Member of the Media
Policy Group 2007–2021
Shareholding on 31 December 2021
34,900 Alma Media Corporation shares
Senior Vice President, Alma Career
In the current position 2021–
Member of the Group Executive Team 2019–
Essential work experience
• Fonecta Ltd.: Business Unit Director, B2B business unit, and
member of the executive management team 2016–2019,
Fonecta Markets, Vice President and member of the execu-
tive management team 2011–2016
• Openbit Oy/Tanla Solutions Ltd.: Vice President, Sales
2008–2011
• Nokia Corporation: Head of Nokia Games Publishing
2004–2007, Senior Manager Games Application Forum
Nokia 2002–2004
• Riot Entertainment Ltd: Head of Product Development and
Publishing Director 2000–2002
• Hewlett-Packard Oy: Program Manager 1998–2000
• Dava Ltd: Product Marketing Manager 1996–1998
Principal positions of trust
• Treamer Oy: member of the Board 2020–
• Bolt Group Oy: member of the Board 2021–
Shareholding on 31 December 2021
0 Alma Media Corporation shares
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SUSTAINABILITY
REPORT
Elina Kukkonen
Born: 1970
Doctor of Business
Administration DBA (KTT)
Juha-Petri Loimovuori
Born: 1964
M.Sc. (Econ.)
Juha Nuutinen
Born: 1972
M.Sc. (Econ.)
Managing Director, Alma Talent Oy
In the current position 2016–
Member of the Group Executive Team 2006–
Essential work experience
• Alma Media Corporation: Director, Kauppalehti Group,
2006–2015
• Alma Media: Director, Media Sales 2004–2006
• Kustannus Oy Aamulehti: Director, Media Sales 2002–2006
Principal positions of trust
• Finnmedia: member of the Board, Chair of the committee for
labour market issues 2017–
Shareholding on 31 December 2021
54,771 Alma Media Corporation shares
Chief Financial Officer
In the current position 2012–
Member of the Group Executive Team 2012–
Essential work experience
• University Properties of Finland Ltd: CFO, member of the
Executive Team 2009–2012
• Alma Media Corporation: Group Financial Manager
2005–2009
• IF P&C Insurance Company: Financial Manager 2003–2005
• KPMG Oy: Auditor, APA (as of December 2000) 1996–2003
Principal positions of trust
-
Shareholding on 31 December 2021
41,405 Alma Media Corporation shares
Senior Vice President, Communications and
Brand
In the current position 2017–
Member of the Group Executive Team 2017–
Essential work experience
• Alma Media Corporation: Marketing Director, Alma Media
Solutions, 2015–
• Kauppalehti Oy: Marketing Manager, 2006–2015
• Gant/Profashion Oy: Product Manager, 2006
• C More Entertainment / Canal+, Sweden: Marketing Manager
2006
• Kustannus Oy Aamulehti: Marketing Manager, 2003–2006
• Kustannus Oy Aamulehti: Specialist positions, 1999–2003
Principal positions of trust
• Media Industry Research Foundation of Finland: Member of
the committee for labour market issues 2019–
Shareholding on 31 December 2021
9,403 Alma Media Corporation shares
FINANCIAL
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2021
CORPORATE
GOVERNANCE STATEMENT
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Insider Management
A
lma Media Corpora-
tion’s Board of Directors
approved Alma Media
Group’s current Guide-
lines for Insiders on 14
December 2020. The
Guidelines for Insiders are based on the
Market Abuse Regulation, Level 2 Com-
mission Regulations and the rules and
guidelines issued by the European Secu-
rities and Markets Authority (ESMA), and
they supplement the valid provisions of
NASDAQ Helsinki Ltd’s Guidelines for In-
siders, Chapter 51 of the Finnish Criminal
Code, the Finnish Securities Markets Act
and the regulations and guidelines is-
sued by the Finnish Financial Superviso-
ry Authority regarding the management
and handling of insider information.
Insiders are divided into two categories
at Alma Media Corporation: managers
subject to the notification obligation and
project insiders.
At Alma Media Corporation, the following
shall be considered managers subject
to the notification obligation: the Chair
of the Board and the Deputy Chair, the
members of the Board and any deputy
members, the CEO and any deputies to
the CEO, and the members of the Group
Executive Team. Managers subject to
the notification obligation shall not trade
in the company’s financial instruments
before the publication of the company’s
interim reports and financial statement
release within a time frame beginning
30 days before the publication of the
interim reports and the financial state-
ment release and ending on the day
following the publication date (“closed
window”). Project insiders shall not trade
in Alma Media Corporation’s financial
instruments until the project in question
has ended.
Alma Media Corporation has further
decided that the persons involved in
the preparation and drafting of Alma
Media Corporation’s interim reports and
financial statement releases Permanent
insiders must not trade with financial
instruments issued by the Company
before the publication of the company’s
interim reports and financial statement
releases within a time frame beginning
30 days before the publication of the in-
terim reports and the financial statement
release and ending on the day following
the publication date (“extended closed
window”). The extended closed window
also applies to persons who, in the
course of performing their duties,
obtain information on Alma Media
Group’s sales figures or the sales
figures of a business unit that has ma-
terial significance to the result of the
Alma Media Group as a whole.
Alma Media Corporation uses an
ethical reporting channel, Alma-Whis-
tleblow, which is intended for employ-
ees and third parties to report sus-
pected incidents of criminal activity
and misconduct that cannot, for some
reason, be communicated directly to
Alma Media’s responsible persons or
if the person submitting the report
wishes to remain anonymous. The
whistleblowing channel can also be
used to report suspected violations of
securities market regulations.
Alma Media Corporation shall dis-
close transactions by managers and
their closely associated persons
involving the company’s financial
instruments by issuing a stock ex-
change release in accordance with
the Market Abuse Regulation.
FINANCIAL
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CORPORATE
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Information concerning the sharehold-
ings of the company’s management is
updated every day on the Alma Media
website: www.almamedia.fi/en/investors/
share-and-shareholders/insider-share-
holdings
The Company’s General Counsel is re-
sponsible for the insider management of
the Alma Media Group.
Related party transactions
The Group’s parent company, subsidiar-
ies, associated companies and joint ven-
tures included in Alma Media’s related
parties. Pursuant to IAS 24, the Group’s
related parties consist of its Board of
Directors, the CEO and the Deputy CEO
of the parent company and the manag-
ing directors of the major subsidiaries as
well as the other executives of the Group
and the Group’s key shareholders who
exercise control or significant influence
over the decision-making processes re-
lating to the finances and business of the
parent company or significant subsidiary.
The close family members of the afore-
mentioned persons are also considered
to be related parties of the Group. The
related parties also include Alma Media
shareholders who own more than 20 per
cent of the Group’s shares or the total
number of votes carried by the Group’s
shares.
The Group maintains a record of its re-
lated parties in order to identify transac-
tions with related parties. Transactions
with related parties are monitored using
the Group’s reporting system. Related
party transactions that are not part of the
ordinary course of the Group’s business
or are not carried out on an arm’s length
basis are subject to a decision by the
Board of Directors. Related party trans-
actions and the nature of their terms is
assessed on a case-by-case basis and in
relation to the Group’s ordinary course
of business and the arm’s length prin-
ciple as well as the industry’s generally
observed and accepted market practic-
es.
To organise the identification, reporting
and monitoring of related party transac-
tions, the Board of Directors has as-
signed the Audit Committee to monitor
transactions by the Group’s manage-
ment and their related parties and any
potential conflicts of interest involved
therein. The Audit Committee moni-
tors and evaluates the degree to which
contracts and other legal transactions
between the Group and its related par-
ties comply with the legal requirements
for being part of the ordinary course of
business and being conducted on an
arm’s length basis. The CEO reports all
related party transactions to the Audit
Committee annually. The Group has
issued guidelines for the members of the
Group Executive Team on the identifi-
cation of related party transactions and
they are obligated to notify the Group
in advance of any contracts and legal
transactions they plan to carry out with
Group companies.
The Group reports any transactions with
related parties annually in its Report by
the Board of Directors and the notes to
the financial statements in accordance
with the Limited Liability Companies Act
and the legislative provisions governing
the preparation of financial statements.
The Group publishes related party trans-
actions in the manner stipulated by the
Securities Market Act, the rules of the
stock exchange and the Market Abuse
Regulation.
Alma Media completed the acquisition
of Nettix Oy from Otava Group in spring
2021. The transaction was announced on
5 March 2021 and closed on 1 April 2021.
The purchase price for the acquired
business was MEUR 171.2. There are no
additional purchase price components
included in the transaction. Otava Oy is
Alma Media’s largest shareholder.
Alma Media Corporation sold its share-
holding in KPK Yhtiöt Oyj (formerly
Keski-Pohjanmaan Kirjapaino Oyj) to Ilk-
ka-Yhtymä. The transaction concerned
the 24,379 series A shares held by Alma
Media Corporation, corresponding to 5.6
per cent of KPK Yhtiöt Oyj’s
share capital and 0.5 per cent of votes.
During the financial year, Alma Media
did not have other material related
party transactions that deviated from
the Group’s normal business operations
or were not made on market or market
equivalent terms.
FINANCIAL
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THE YEAR
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CORPORATE
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SUSTAINABILITY
REPORT
Internal control and risk management systems in financial reporting
Internal control
Internal control is an essential part of
the company’s governance and man-
agement systems, covering all of the
Group’s functions and organisational
levels. The purposes of internal control
include providing sufficient certainty
that the company will be able to exe-
cute its strategy. Internal control is not
a separate process; instead, it is part
of the company’s operations, covering
all Group-wide operational principles,
guidelines and systems.
Financial reporting
The Board of Directors and the President
and CEO carry the overall responsibility
for organising the internal control and
risk management systems for finan-
cial reporting. The President and CEO,
members of the Group Executive Team
and the heads of the business units
are responsible for ensuring that the
accounting and administration of the
areas within their spheres of responsibil-
ity comply with legislation, the Group’s
operating principles and the guidelines
and instructions issued by Alma Media
Corporation's Board of Directors. In Alma
Media Group, the control over business
unit administration and accounting is
centralised in the Group’s financial ad-
ministration. The financial administration
monitors and gives guidance regarding
internal control measures and prac-
tices, based on the Group’s operating
principles and guidelines. The financial
administration, working under the Group
CFO, is the centralised source of finan-
cial statement data required by external
accounting, as well as the analyses and
result reports to Group and business
unit management teams for monitoring
the profitability of business operations.
The Group’s internal control practices
ensure the correctness of financial re-
porting within the Group. Risks related to
financial reporting are managed with the
help of the Group’s accounting manual,
finance and investment policy, acquisi-
tion guidelines and internal control.
Alma Media Group follows the Inter-
national Financial Reporting Standards
(IFRS) approved for use within the
European Union. Guidelines for financial
reporting and accounting principles are
collected in an accounting manual that
is updated as standards change, as well
as the financial department guidelines
that are applied in all Group companies.
Group accounting is responsible for
the monitoring and observance of the
financial reporting standards as well as
maintaining financial reporting princi-
ples and communicating them to the
business units.
Risk management
Risk management is part of Alma Media
Corporation’s financial reporting process
and one of the company’s significant
measures of internal control. At Alma
Media Group, the task of risk manage-
ment is to continuously evaluate and
monitor all business opportunities and
threats and to manage risks to ensure
the achievement of objectives and busi-
ness continuity.
The Board of Directors carries the pri-
mary responsibility for Alma Media’s risk
management. The Board of Directors
considers the most significant identified
risks and is in charge of defining the
Group’s risk appetite and risk tolerance.
The Audit Committee prepares for the
Board of Directors the risk management
principles of the Group and monitors the
efficiency of the risk management sys-
Alma Media’s internal control and risk management organisation
ALMA CAREER ALMA CONSUMER ALMA TALENT
ALMA MEDIA’S BOARD OF DIREC
TORS
ALMA MEDIA’S AUDIT COMMIT
TEE
PRESIDENT AND CEO
GROUP EXECUTIVE TEAM
CHIEF FINANCIAL OFFICER
FINANCIAL
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REPORT 129ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
tems. The Audit Committee also discuss-
es the management reports on signifi-
cant risks and the company’s exposure
to them and it considers the plans to
minimise risks.
The CEO, the Group Executive Team
and other managers in the Group at all
organisational levels are responsible for
daily risk management. In each business
unit, a member of the unit’s executive
group, usually the person in charge of
the finances, is responsible for risk man-
agement and reporting on risk manage-
ment operations.
The risk management process identifies
the risks, develops appropriate risk man-
agement methods and regularly reports
on risk issues to the risk management
organisation and the Board of Directors.
Risk management is part of Alma Media
Corporation’s internal control and, thus,
is part of good corporate governance.
Alma Media sets limits and procedures
for quantitative as well as qualitative
risks in writing in its risk management
system. Alma Media classifies its busi-
ness risks as strategic, operational and
financing risks.
Alma Media’s most significant strategic
risks are related to significant changes in
media consumption among consumers,
rapid changes in the existing business
models of marketplaces, cyber risks and
violations of information security and
data protection.
An increasingly important source of
competitive advantage, but also a strate-
gic risk, in Alma Media’s business is the
ability to use customer data to improve the
product and service offering for advertis-
ers and to enrich end-user services. Alma
Media manages customer data and be-
havioural data, taking regulatory require-
ments into consideration, by centralising
customer data repositories and deploying
analysis and activation technology. Po-
tential restrictions concerning the use of
third-party cookies could create uncer-
tainty factors, at least temporarily, related
to digital advertising sales.
The regulation of the media sector and
the related market practices is becoming
stricter.
The changes in the operating environment
and the rapid technological develop-
ment require continuous investments in
employee competence and development.
One significant strategic risk is the avail-
ability of highly competent IT specialists
for demanding product development
projects.
A further risk to Alma Media’s business is
the potential decline in digital audiences,
as well as a potential permanent decrease
in digital advertising sales and listing
advertising.
The continuation of the widespread
pandemic may have a significant impact
on the demand for services on the one
hand and, on the other hand, it can cause
substantial production disruptions in
business processes due to significant
risks related to employee
health.
The most significant operational risks are
disturbances of information technology
and communications as well as interrup-
tions in daily news production.
The strategic, operational and financial
risks related to Alma Media’s business
and the actions taken to mitigate them
are described in more detail in the Report
by the Board of Directors. Financial risks
are also described in more detail in the
notes to the consolidated financial state-
ments.
Internal audit
In Alma Media Group, internal au-
dit functions have been incorporated
into the responsibilities of Alma Media
Corporation’s financial administration.
Reviewing the functionality of internal
controls is also taken into account in the
external auditors’ audit plans. Internal
audits test the effectiveness of process-
es and the controls included in them.
Internal auditing is carried out by means
of monitoring reports as well as separate
reviews.
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
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REMUNERATION
REPORT 130ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Auditing
T
he General Meeting of
Shareholders annually
elects an auditor and dep-
uty auditor for the Group.
An auditing firm can
also be appointed as the
auditor. If an auditing firm that is entered
in the register of auditors of the Finnish
Patent and Registration Office (PRH) and
whose key audit partner is an Authorised
Public Accountant is appointed the audi-
tor, no deputy is required.
The term of office of the auditors expires
at the close of the next Annual Gen-
eral Meeting following their election.
The auditor’s task is to ensure that the
financial statements are prepared in
accordance with current regulations and
that they provide correct and sufficient
information on the company’s result, fi-
nancial position and other aspects of the
business for the stakeholders. As part of
their annual auditing assignment, the au-
ditors of Alma Media Corporation audit
the accounting and governance of the
business units. The requirements set by
the internal audit are taken into account
in the audit plans.
The auditors submit their report to Alma
Media Corporation’s shareholders at the
Annual General Meeting. Furthermore,
the auditors submit an annual summa-
ry of their auditing plan and a written
report on the entire Group to the Board
of Directors and Audit Committee in
conjunction with the publication of each
interim report and the annual financial
statements. In addition, the auditors
provide a separate report on any ob-
servations concerning the audit of the
financial year to the Group’s financial
management and the Audit Committee.
Alma Media Corporation’s Annual Gen-
eral Meeting 2021 elected Authorised
Public Accountants Pricewaterhouse-
Coopers Oy as the company’s auditors,
with Niina Vilske, Authorised Public
Accountant, as the principal auditor. As
a rule, PricewaterhouseCoopers is the
auditor of the subsidiaries of Alma Media
Group.
Alma Media Group’s auditing fees for
2021 amounted to EUR 232,000. In addi-
tion, the auditing firm PwC charged the
Group a total of EUR 127,000 in fees for
other services in the 2021 financial year,
including, among other things, advisory
services related to reporting on corpo-
rate responsibility. PwC has served as
the Group’s auditor since 2014.
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 140ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
SUSTAINABILITY REPORT
2021
FINANCIAL
STATEMENTS
REPORT BY THE
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THE YEAR
2021
CORPORATE
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REPORT 141ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Contents
INTRODUCTION
From the President and CEO ..............................................142
Sustainability year 2021 ...................................................143
Sustainability programme 2022 .......................................... 144
Materiality analysis ........................................................145
Stakeholder interaction .................................................. 146
SUSTAINABLE ALMA MEDIA
Management of corporate sustainability and risk management .......... 149
Business ethics ........................................................... 150
Climate change ...........................................................152
Supply chain sustainability ................................................156
Data security and data privacy ............................................158
Diversity, equality and inclusion .......................................... 160
Future-fit workforce ......................................................163
RESPONSIBLE BRANDS
Responsible media ........................................................166
Responsible services ......................................................169
Calculation and data collection principles for CR reporting ...............173
GRI and Global Compact indices ..........................................174
FINANCIAL
STATEMENTS
REPORT BY THE
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THE YEAR
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CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 142ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
We inspire sustainable choices
Our sustainability work is a reflection of its
time and now an even more integrated part
of our operations. The importance of our
mission of boosting the sustainable growth
of individuals, companies and society was
emphasised even further in the second year of
the global COVID-19 pandemic. We listened to
our employees carefully and ensured that our
working environment is safe and healthy.
We have been implementing our strategy
based on the digital transformation for two
decades already. While only six per cent of our
revenue was from digital operations in 2005,
by last year, this percentage had increased
to as much as 77 per cent. Our journey has
improved our profitability while also changing
our climate profile to a significantly more low-
carbon one.
We updated our science based climate targets
to even more ambitious ones. We committed
to reducing the greenhouse gas emissions
arising from our own operations (Scope 1
and 2) by 46 per cent and those arising from
its subcontracting chain (Scope 3) by 14 per
cent by 2030. In order to minimise our carbon
footprint, we focus on further strengthening
the environmentally sustainable impacts
of our operations as well as on reducing
emissions in our subcontracting chain.
Besides setting ambitious climate targets
for ourselves, we challenge all our service
providers to do so as well.
Our most significant impact on society comes
from our journalistic media. They increase
societal awareness and understanding and
provide practical examples of sustainable
solutions for companies and individuals. Our
media reach millions of Finns every week and
almost one million professionals in their work.
As the leading provider of services related to
housing, automotive and recruitment services,
we have a responsibility to lead by incorporating
sustainable development into our digital
services and helping our customers make
increasingly sustainable choices in their lives.
In 2021, we specified the key focus areas
of Alma Media’s sustainability programme
for the coming years. At the same time, we
conducted an extensive materiality analysis
in order to identify the key expectations
our stakeholders have with regard to our
operations. In the expectations of our
stakeholders, efficient climate work to reduce
emissions, high business ethics, data security
in the use of our services, employee well-
being and competence development as
well as responsible media were highlighted.
We specified measurable objectives for our
sustainability work. These objectives are now a
part of our employee incentive system as well.
Our values, sustainability objectives and
operating principles are reflected in our
work in 2022 as well, guiding our daily work.
We hope that our cooperation partners also
get excited and commit into cooperation in
order to promote sustainable development
ambitiously, comprehensively and efficiently.
Welcome to read our sustainability report for
2021!
Kai Telanne
President and CEO
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 143ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Sustainability year 2021
JOURNALISM SUPPORTING SUSTAINABLE DEVELOPMENT
WE TAKE CARE OF OUR EMPLOYEES WE COMMITTED TO THE 1.5˚C TARGET WE UPDATED OUR SUSTAINABILITY PROGRAMME
NEW SUSTAINABLE CHOICES WE INVESTED ON DATA PRIVACY AND DATA SECURITY
Iltalehti and our financial and professional media increased
public awareness of environmental matters by publishing
news and examples of practical solutions towards
sustainable development.
Kauppalehti was the first media in Finland to offer
Sustainalytics’ ESG Risk Ratings to its subscribers.
We ensured that our employees had a healthy and safe
working environment and listened closely to their wishes.
We added flexibility by introducing the multi-locational
working model.
We developed the competence and leadership of Alma’s
employees through numerous training and coaching
programmes.
The Nettix acquisition brought more choice for consumers
and introduced the circular economy services into our
offering.
DIAS sped up the digitalisation of real estate transactions,
and Suomen Tunnistetieto, Doks, joined the Alma family to
ensure that our customer companies fulfil the requirements
of the money laundering regulations in transactions.
Netello supplemented our digital marketing services.
We updated Alma Media’s SBTi target. Alma Media commits
to reducing the greenhouse gas emissions arising from
its own operations (Scope 1 & 2) by 46% and from its
subcontracting chain by 14% by 2030.
Our target is in line with the global limit value for global
warming, 1.5 degrees Celsius.
We continued the further development of data security
in our services in 2021 and were meticulous about privacy
protection.
We were not subject to any serious data breaches or
violations of privacy protection.
We regularly trained our employees on the processing of
data, data privacy and data security.
We specified the key focus areas of Alma Media’s
sustainability programme for the coming years. We
conducted an extensive materiality analysis amongst our
stakeholders to support our strategy work.
We developed our socially and environmentally aware
operations, competence and new ESG-based products and
services.
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 144ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
PROFITABLE GROWTH AND
HIGH BUSINESS ETHICS
SUSTAINABLE ALMA MEDIA AND SUSTAINABLE BRANDS
FUTUREFIT
WORKFORCE
ENVIRONMENTAL
RESPONSIBILITY
RESPONSIBLE MEDIA,
JOURNALISM AND MARKETING
RESPONSIBLE SERVICES
AND MARKETPLACES
The profitability of operations is
a prerequisite for our sustainable
growth. We expect high integrity
and ethics of ourselves and our
cooperation partners and do not
accept violations of human rights,
discrimination, harassment or
corruption.
We promote the diversity of
our work community and the
realisation of experiences of
equality and participation.
We provide development
opportunities for our skilled
employees.
We minimise the greenhouse gas
emissions of our own operations
and our subcontracting chain.
We set an example of the
transition to low-carbon digital
business in the media sector.
We take responsibility for our
contents, correct any errors and
defend the freedom of speech.
Reliable, pluralistic and
independent journalism is a
precondition for functional
democracy in our society.
We develop new products
and services and use data
responsibly. Our automobile,
housing, education and recruiting
brands allow sustainable choices
in business operations and
private consumption.
Alma Media’s sustainability programme
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 145ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Materiality analysis
Innovation, cooperation
and partnerships
Customer satisfaction
Future-fit
workforce
Data security and data
privacy
Responsible
media
Business ethics
Diversity,
equality and inclusion
Supply chain sustainability
Climate change
Sustainable cities
and communities
Ethical and green
service design
Alma Media updated its materiality
analysis in autumn 2021 to identify the
expectations its key stakeholders have
towards sustainability work. The analysis
was based on an extensive stakeholder
survey, sector analyses, interviews of
individuals and workshops for employee
groups.
Over 1,000 readers of our media and users
of our services as well as over 500 Group
employees responded to the survey in
October–November 2021. In addition,
we organised several internal discussion
forums and nine workshops with internal
and external specialists in order to
determine the objectives of Alma Media’s
corporate sustainability programme. The
materiality analysis led to the definition of
11 sustainability priorities for Alma Media.
These 11 focus areas were inspected at
two levels: sustainable Alma Media and
sustainable brands.
All the stakeholders found that Alma
Media’s transformation to digital media
was a positive thing and recognised the
Group’s earlier sustainability work. The
importance of data security and data
privacy for Alma Media, the responsible
processing of customer data and
sustainability in the development of
new business were highlighted in the
stakeholder responses.
From the perspective of social
sustainability, the Group’s key focus
areas include the well-being of
employees, competence development,
career opportunities and the equal
treatment of employees.
From the environmental perspective,
our stakeholders felt that the positive
environmental impact of products and
services as well as the environmental
efficiency of Alma Media’s own
operations were the most important
subjects.
STAKEHOLDER SURVEY
AND INDIVIDUAL INTERVIEWS
Users and readers
Employees in Finland
and abroad
Customers,
investors
Readers of our media,
users of our services (1,123)
Employees in Finland and
in 10 European countries (524)
Individual interviews (8)
Workshops (9)
Responsible
Alma Media
Responsible
brands
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 146ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Stakeholder Form of interaction Matters most relevant for the group of stakeholders
Employees • Online survey to all employees
• Workshops and discussion forums with different employee groups
• Employee well-being, appreciation and equal treatment
• Competence development and support for career opportunities
• Profitable and stable business
• Sustainability in the development of new products and services
• Reliable and fair management communications
• Code of Conduct and anticipation of risks
Readers, users, consumers • An online survey for the readers and users of the biggest media and websites • Reliability of information, journalistic integrity and accuracy of contents
• Promoting societal discussion and freedom of speech
• Preventing misleading and false advertising
• Observing the laws and regulations in the collection and processing of personal data
• Taking care of the data security and data privacy of services
• Responsible processing and utilisation of customer data
Customers, advertisers • Operational analyses of the most relevant customer industries for our revenue
and individual interviews with representatives of the companies
• Good environmental risk management
• Emphasising social sustainability and good governance in Alma’s international business
• Ensuring competent workforce in the digital transformation
• Ensuring the ethics of advertising and the brand safety of our own advertising platforms
Investors, shareholders,
analysts
• Analyst interviews • Market environment and competitive landscape, objectives, reporting, strategy and financial
position
• Adequate and balanced sharing of financial and non-financial information about the Group
• Responding to increasingly tight sustainability requirements
• Alma Media’s sustainability story as a part of the equity story
• Building sustainable business growth
Suppliers, subcontractors • Interviews with the managers of key purchasing sectors (printing, delivery and
ICT)
• Fair and equal treatment, equitable, open and transparent supplier requirements
• Alma Media’s procurement policy and Code of Conduct for suppliers
• Cooperation to minimise greenhouse gas emissions in the partner network
Media • Desktop analysis and interviews of the Editors-in-Chief of the biggest media • Responsible journalism and marketing, high quality of data
• Data privacy and data security according to thelaws and regulations
• Openness, transparency and proactivity in the offering of information
• Accuracy of contents
• Quick response and replying to enquiries
Society and the authorities • Sector and desktop analysis • Observing the laws and regulations in the collection and processing of personal data
• Taking care of the data security and data privacy of services
• Responsible processing and utilisation of customer data
Stakeholder interaction
Alma Media updated its materiality analysis in 2021 based on an extensive stakeholder survey, individual interviews and
sector analysis as well as workshops.
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 147ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
The UN Global Compact initiatives relevant for Alma Media
The UN Global Compact initiatives cover the global challenges shared by us all. Alma Media is committed to supporting sustainable growth
in society, for companies and for individuals, and based on our materiality analysis, we have included nine UN Global Compact targets in our
updated sustainability programme that are linked to our possibilities of influence.
We focus on the competence development
of our employees and support personal
career development by providing many
kinds of training and coaching. Our
book and training offering enable our
professionals to learn more about, for
instance, data privacy, risk management, communications, the
law or the environment and construction.
Our media increase awareness and
understanding of the importance of equal
working life in society. We offer equal
opportunities for development for all, and we
cherish gender equality, the development
of diversity and our participation in our work
community.
Our financial and professional media focus
on the promotion of sustainable financial
growth in companies and in society. Alma
Media has approximately 1,500 employees,
and it is an employer and a taxpayer in 11
European countries. In cooperation with
different operators in society, our recruiting services build a
bridge between young people and the working life, develop
the abilities of young people for the future working life and
promote the employment of people with reduced work ability.
Our media report on sustainable
development innovations, the financial
results obtained with them and the latest
research. They also publish examples
of solutions related to sustainability in
companies. We support the generation of
innovations in the Alma Media organisation by developing an
agile, open and interactive corporate culture and a team spirit.
The carbon footprint of our own operations
was already small, and we have cut it in half
within the past five years. We set an example
in the industry of the transition to low-
carbon society. We continue to minimise our
own environmental impacts and encourage
our subcontracting chain to commit to our climate targets.
Reliable, pluralistic and independent
journalism is a precondition for functional
democracy in society. Our media cherish
peace and fairness, use investigative
journalism to examine the ethically
sustainable operations of those in power and
do not hesitate to expose any injustices.
Our media and services are widely
connected to companies operating in the
housing, HR and automobile industries,
for example. Numerous sustainable
development projects bring us together
with our customers in 11 European countries.
We are careful when choosing cooperation partners for Alma
Media and require that our subcontractors commit to socially
and ethically sustainable business operations.
We provide opportunities for sustainable
choices in our housing marketplaces,
services for industry professionals and
digital real estate transactions that allow
promoting sustainable development in
the sector in cooperation with industry
operators. We bring together the service providers in the value
chain and the consumers in an ecosystem where value is
created through synergies.
Our media publish news about the
environmental impacts of different
industries and increase awareness of
sustainable choices in consumption
decisions. We seek to maximise the positive
environmental impacts of our operations
and inspire consumers into making sustainable choices.
The environmental search criteria of our digital housing and
automobile services enable choosing energy-efficient housing
or a low-emission vehicle.
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 148ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
SUSTAINABLE
ALMA MEDIA
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 149ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Alma Media’s sustainability efforts are guided
by the Group’s core values as well as the UN
Sustainable Development Goals (SDG) that are
the most relevant to Alma Media’s business:
Quality education (UN Sustainable Develop-
ment Goal 4) and Gender equality (Goal 5),
Decent work and economic growth (Goal 8),
Industry, innovation and infrastructure (Goal
9), Sustainable cities and communities (Goal
11, related to the Group’s significant business
in the Finnish housing market), Responsible
consumption and production (Goal 12, related
to the ability of consumer media and ser-
vices to affect the choices made by consum-
ers), Climate action (Goal 13), Peace, justice
and strong institutions (Goal 16, related to the
media’s operations as an institution in society)
and Partnerships for the goals (Goal 17, related
to Alma Media’s ability to make an impact on
environmental matters and the sustainable
development of the society in cooperation
with its extensive partner network).
Alma Media develops its responsibility in
compliance with the legislation governing
business activities and the media industry. The
development of corporate responsibility is
guided by the company’s policies, guidelines
and commitments as well as guidelines
defined by external parties that are significant
to the Group’s operations.
• Code of Conduct
• The corporate sustainability programme
and its targets
• Disclosure policy
Management of corporate sustainability
• Insider guidelines
• Procedures for related party transactions
• Data security policy
• Data privacy guidelines and principles
• Tax policy
• Investment and financing policy
• Procurement policy
• Equality and non-discrimination principles
and equality and diversity plans
• Career development principles
• Remuneration principles and remuneration
policy
• Contractual terms and terms of sale
concerning the advertising customers of
Alma Media’s media sales
• The Board of Directors’ diversity policy
• The Group’s climate targets based on the
Science Based Targets initiative
Guidelines created by external parties:
• The Council for Mass Media Guidelines for
Journalists and basic agreement
• The marketing rules of the International
Chamber of Commerce
• Principles concerning good marketing
practices
• Europe-wide self-regulation of targeted
online advertising (OBA self regulation)
• Guidelines by the IAB digital marketing net-
work, including the IAB Europe Transparen-
cy & Consent Framework v2.0 (TCF)
• The UN Global Compact initiative and the
UN Sustainable Development Goals
MANAGEMENT OF RESPONSIBILITY
AT ALMA MEDIA
Alma Media’s Board of Directors discusses
corporate sustainability matters, for example,
when assessing the risks related to the busi-
ness and when approving the Group’s state-
ment of non-financial information. The Group
Executive Team manages the development of
responsibility and is in charge of the Group’s
responsibility strategy and the implementa-
tion of the objectives in the business units and
in the Group operations. Business unit man-
agement and key employees in the Group’s
procurement function, HR management, legal
department and ICT are responsible for the
practical implementation of the responsibil-
ity programme. The progress of the sustain-
ability programme in the Group Executive
Team is coordinated by the SVP and the team
of communications and brand. Business func-
tions are supported in the setting of objectives
and achieving sustainability targets, as well as
communications.
MANAGEMENT OF RISKS RELATED TO
SUSTAINABILITY
Alma Media’s risk management is described
more comprehensively in the Report by
the Board of Directors that also covers
responsibility risks, whose significance is
assessed both in financial terms and in terms
of the potential damage caused to the Group’s
reputation if the risk were to materialise. The
Group communicates its sustainability risks
and challenges related to the development
of corporate sustainability transparently in its
stakeholder communications.
STAKEHOLDER INTERACTION
Interaction with various stakeholders,
employees, customers, investors and
cooperation partners is a natural and
important part of Alma Media’s business.
Alma Media also manages its stakeholder
relationships by being involved in cooperative
bodies and associations. The Group’s
most significant memberships include the
Confederation of Finnish Industries EK, the
Central Chamber of Commerce, the Finnish
Media Federation (Finnmedia), the digital
marketing and advertising growth-promoting
organisation IAB Finland, the FIBS corporate
responsibility network, the City of Helsinki
Climate Partners network and the Responsible
Media Forum. The goal is to engage in equal
dialogue with other parties and to anticipate
changes related to the industry and corporate
sustainability.
In addition to these, many members of Alma
Media’s Group Executive Team and managers
and experts hold board memberships in
the Media Industry Research Foundation
of Finland, Finnish Media Federation, the
Finnish Periodical Publishers’ Association
and Media Metrics Finland. Alma Media is
also a member of INMA (International News
Media Association) and ICMA (International
Classified Marketplace Association). Alma
Media’s most important social partner
during the year under review was the Finnish
Children and Youth Foundation, with which the
Group has a key partnership agreement. As a
media company, it is important for Alma Media
to maintain its independence and impartiality
with respect to various stakeholder interests.
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 150ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Business ethics
Alma Media does not condone the use of
unethical business practices by its employees
or suppliers.
The Group condemns corruption and
bribery. These and other key ethical
operating principles are documented in
Alma Media’s Code of Conduct. The Code
of Conduct forms the basis of the Group’s
responsible approach to business. Digital
learning materials pertaining to the Code
of Conduct are included in the induction
training of employees. Subcontractors are
trained and informed of Alma Media’s Code
of Conduct and responsibility programme in
an appendix to supplier agreements. Alma
Media does not receive or grant political or
other contributions that could compromise
its independence. Alma Media’s media brands
grant discounts on advertising to non-profits
and non-governmental organisations as
well as parties and candidates in election
advertising, but the terms of the discounts
are the same for everyone. Alma Media’s
employees and stakeholders have access to
an anonymous whistleblowing channel for
reporting any observations of misconduct.
Table 1: Business ethics
Definition Progress Definition
Alma Media does not condone the use of unethical business practices
by its employees or suppliers, condemns corruption and bribery as
well as requires commitment to the Group’s Code of Conduct.
We implemented Alma Media’s updated Code of Conduct training
course for our employees in 11 languages in 11 European countries.
Alma Media does not condone the use of unethical business practices
by its employees or suppliers, condemns corruption and bribery and
requires commitment to the Group’s Code of Conduct.
Strategic intent: Strategic intent:
Alma Media’s employees and subcontractors have taken the Group’s
Code of Conduct training and committed to observing it in everything
they do.
There are no violations of the Group’s Code of Conduct amongst the
company’s employees or its subcontracting chain.
Objectives for 2021 Objectives for 2022
Alma employees in all the countries of operation take the updated
Code of Conduct training.
By the end of 2021, 90% of Alma employees have taken the Group’s
updated Code of Conduct training.
All Alma employees in all 11 countries complete the updated Code of
Conduct training.
The subcontracting chain is committed to observing Alma Media’s
Code of Conduct.
Alma Media required its key subcontractors to provide documentation
about the sustainable production of their products and services. Alma
Media decided to implement the new Code of Conduct training for
subcontractors in 2022.
50% of Alma Media’s key subcontractors have committed themselves
to taking the Code of Conduct training.
The Whistleblow channel is made available to third parties as well as to
Alma Media employees.
The Whistleblow channel was opened to parties outside the Group as
well in 11 languages.
The Whistleblow channel informs the company of any potential mis-
conduct in the Group.
There are no incidents of corruption, bribery or human rights viola-
tions in the Group or in its subcontracting chain.
There were no incidents of corruption or anti-competitive behaviour
at Alma Media in 2021. There are also no investigations related to Alma
Media by the authorities in progress at present.
Risk management will be improved further by reviewing the risk profile
in Alma Media’s operating areas and, if necessary, communications
and training will be enhanced.
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 151ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Alma Media’s whistleblowing team receives
the notifications and reports them to the
Audit Committee of the Board of Directors.
Violations of the Code of Conduct result in
the necessary measures and, if necessary,
the termination of employment. The Group’s
executive management is responsible for
the regulatory compliance, ethicality and
transparency of business operations.
ALMA MEDIA’S TAX FOOTPRINT IN 2021
Alma Media reports its tax footprint annually
to ensure the transparency of its operations.
The Group’s tax policy is to pay taxes in the
country where the result is generated. The
Group complies with the current legislation,
tax instructions and international transfer
pricing guidelines in its operations.
The corporate income tax rates in Alma
Media’s operating countries vary from 15 per
cent in Latvia and Lithuania to 21 per cent
in Slovakia. Alma Media did not receive any
subsidies from public or private sources in the
review year.
The value creation model on page 22 of the
Report by the Board of Directors describes
the added value created by Alma Media to its
stakeholders.
ACHIEVEMENT OF SUSTAINABILITY
TARGETS IN 2021
Alma Media has a zero tolerance policy for
unethical business conduct. The Group
reports annually on whether any such
incidents have occurred. In the review year,
the Group was made aware of one (1) case
of potential violation of the company’s
Code of Conduct through the Whistleblow
channel. This suspicion was cleared after an
investigation, but the internal processes of the
company in question were clarified further.
Alma Media’s business is built on the foundation
of consumer and advertiser trust in the Group’s
content and services, and the company’s credi-
bility as an independent, reliable and responsi-
ble operator must not be compromised.
There were no incidents of corruption or anti-
competitive behaviour at Alma Media in 2021.
There are also no investigations by the
authorities in progress at present. During the
year under review, Alma Media was not the
subject of any reprimands from the authorities
or rulings pertaining to non-compliance
with laws and regulations governing social
and economic responsibility. As a result,
there were no financial losses arising from
legal action. Alma Media’s services are
the leading services in their segments in
many of the Group’s countries of operation
and they are also perceived as attractive
employers. They support economic activity
in their communities by paying taxes and
purchasing products and services from their
subcontractors.
OTHER DEVELOPMENT PROJECTS
DURING THE YEAR
During the year under review, 90% of Alma
Media’s employees in Finland and abroad
completed the renewed Code of Conduct
training. The Code of Conduct addresses legal
compliance, the disclosure of information,
conflicts of interest, gifts, anti-bribery and
operating practices pertaining to employees,
human rights and the environment. The Code
of Conduct also addresses stricter regulations
concerning topics such as data privacy,
anti-money laundering legislation and the
prevention of tax evasion. At the same time,
the significance of workplace diversity and
inclusivity is underscored. Risk management,
monitoring and reporting processes were
developed by introducing an external
Whistleblower channel for reporting potential
misconduct.
FOCUS AREAS FOR THE DEVELOPMENT
OF SUSTAINABILITY IN 2022
In 2022, the Group’s subcontractors will
be committed to a course in the Code of
Conduct covering Alma Media’s supplier
relationships. The goal is to get at least 50% of
the Group’s most significant subcontractors
to take the new Code of Conduct training.
Furthermore, risk management will be
improved by reviewing the risk profile in Alma
Media’s operating areas, and if necessary,
communications and training will be
enhanced.
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 152ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Based on its materiality assessment of
sustainability, Alma Media has determined
that the Group’s strategic decision to invest
in digital business has mitigated its short-
term and medium-term risks related to
climate change. The progress of the digital
transformation of the Group’s business
reduces the greenhouse gas emissions of its
own operations and its subcontracting chain,
while the transition to a low-carbon society
creates business opportunities and improves
resource efficiency.
Digital sources now represent approximately
77 per cent of Alma Media’s business, or
approximately MEUR 212. For over a decade
now, the Group has implemented a strategy
based on the controlled digital transformation
of its business. The regional media business,
which relies on print products, was divested
during the period 2015–2021. At the same
time, the Group has systematically invested
in new digital services, most recently by
acquiring the Nettix services in 2021. During
the past five years, Alma Media has halved
the greenhouse gas emissions arising from
its own operations. The production and
distribution of digital content and services
is not only more environmentally friendly
but also more cost-efficient compared to
print products. The Group’s annual capital
expenditure under the digital business
model amounts to MEUR 3–4. The transition
from print to digital was a significant factor
affecting the Group’s improved profitability in
Climate change
2016–2021. The production of digital content
and services involves substantially lower
consumption of materials and electricity
compared to the print business. The cloud
services and telecommunication services
used for data management in Alma Media’s
Finnish operations are produced primarily
from renewable energy or the emissions
are compensated. The increasingly digital
business model allows Alma Media to be
more resource-efficient, enables more
environmentally friendly choices for
consumers and contributes to promoting the
circular economy through its services and
content.
MANAGEMENT OF ENVIRONMENTAL
RESPONSIBILITY
Alma Media updated its climate objectives in
November 2021. They cover the greenhouse
gas emissions of Alma Media’s own operations
(Scope 1 and 2) as well as those of its
subcontracting chain (Scope 3). The targets
are in line with the Science Based Target
initiative, which means that the Group is
committed to the initiative that aims to limit
climate warming globally to at most 1.5°C.
Alma Media is committed to reducing its
absolute Scope 1 and Scope 2 greenhouse gas
emissions by 46 per cent by 2030 compared
to 2019, the last year preceding the pandemic.
Emission reduction efforts are particularly
targeted at reducing emissions from company
cars, electricity, district heating and district
cooling. Alma Media is also committed to
1.5 DEGREES SBTi TARGET
Greenhouse gas emissions arising from the
Group’s own operations
• Scope 1: direct emissions from the
Group’s own sources and sources
controlled by it
• Scope 2: indirect emissions of purchased
energy
46% reduction, 4.3% per year
(from 2019 to 2030)
Greenhouse gas emissions arising from the
subcontracting chain
• Scope 3: other indirect emissions arising
from the production and delivery of the
end product
14% reduction, 1.2% per year
(from 2019 to 2030)
Renewable energy
Renewable fuels, electric cars and reducing
the consumption of fuel
Renewing the product selection
Carbon neutral logistics
Low-carbon services
Creating supplier commitment to the
emission targets
reducing greenhouse gas emissions in its
subcontracting chain (Scope 3) by 14 per
cent, focusing on the reduction of emissions
from the printing of publications and the
purchasing of logistics services, for example.
The carbon footprint of Alma Media’s own
operations is small, and only four per cent
of the greenhouse gases arising from the
Group arise in the Group’s own operations
(Scope 1 and 2), while 96 per cent arise in the
subcontracting chain.
In 2016, Alma Media was the third media
company in the world to establish science-
based climate targets. The validation of
the SBTi target updated in autumn 2021 is
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 153ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
pending approval by the Science Based
Targets organisation. Alma Media’s Board
of Directors and Group Executive Team
monitor the company’s progress towards the
environmental sustainability targets specified
in the sustainability programme. Business
unit management and function-specific key
persons, such as the specialists responsible
for procurement and spatial design, operate
under the executive directors. Alma Media’s
business units were not subject to any
penalties or reprimands for non-compliance
with environmental laws and regulations in
their operating countries during the year
under review.
ACHIEVEMENT OF SUSTAINABILITY
TARGETS IN 2021
According to Alma Media’s SBTi targets set in
2016, the Group aims to reduce its greenhouse
gas emissions arising from the consumption
of electricity, district heating and district
cooling (Scope 2) and the emissions arising
from fuel consumption (Scope 1) by 21% by
2025. Indirect greenhouse gas emissions
arising from procurement (Scope 3) need to
be reduced by 10% by 2023. Progress with
respect to the latter target is reported on page
16 (supply chain sustainability).
To improve the reliability and continuity of
emission calculations, Alma Media adopted
the International Energy Agency IEA’s
country-specific emission factors in 2021 for
instances where an energy producer-specific
emission factor is unavailable, and emission
figures were retrospectively recalculated
according to this decision. The figures for
2016–2021 have also been adjusted to only
reflect the Group’s continuing operations. The
reporting of environmental figures covers all
of Alma Media.
The Group achieved its emissions target
concerning its own operations (Scope 1 and
2), i.e. real estate and cars, already in 2019.
Emission reductions continued in the year
under review, and the Scope 1 and Scope 2
emission reported by the Group reduced by
52% from 2016.
As in 2020, the lower emissions in 2021 were
significantly influenced by the global COVID-
19 pandemic that continued during the year,
the restrictions on movement related to
preventing the spread of the virus and the
national remote work recommendations. The
Table 2: Alma Media and the environment Unit 2016 2017 2018 2019 2020 2021
Amount of energy
Petrol GJ 4,393 5,152 5,188 5,005 2,535 2,399
Diesel GJ 1,290 1,429 1,397 1,235 1,757 1,531
Electricity GJ 9,261 9,413 9,078 8,079 6,648 6,039
District heating and district cooling GJ 4,770 5,056 5,461 4,848 3,916 5,576
Emissions
Direct emissions (Scope 1) tC0-eq
Fuels 384 450 450 426 287 260
Indirect emissions (Scope 2) tCO-eq
District heating, district cooling and electricity,
market-based method
746 713 613 447 351 282
District heating, district cooling and electricity,
location-specific method
702 657 720 566 454 468
Share of renewable energy, Scope 1 and Scope 2 0% 0% 12% 27% 33% 47%
Share of renewable energy, Scope 2 0% 0% 18% 40% 46% 62%
Scope 3 tCO-eq 17,449 19,312 18,016 17,365 15,139 15,062
main reason for the reduction in emissions
from properties is Alma Media’s switch to
zero-emission electricity and district cooling
at its properties in Finland. The purchasing
of zero-emission hydropower electricity
continued in 2021.
Table 2 describes the amounts and
development of own energy, direct
greenhouse gas emissions (Scope 1) and
indirect greenhouse gas emissions (Scope
2) in the Group’s own operations. The energy
consumption of properties controlled by the
Group totalled 3,226 MWh of electricity, district
heating and district cooling. Renewable
energy accounted for 62% of this. The fuel
consumption of cars owned and used by the
company decreased by 14.4 per cent from
the previous year. The decrease in the energy
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consumption of company cars was mainly
attributable to the restrictions on mobility
introduced in response to the COVID-19
pandemic and Alma Media’s employees
increasingly switching to remote work.
Alma Media calculates the consumption of
electricity, district heating and district cooling
mainly at the company’s Finnish properties
based on the invoices issued by the energy
companies. The same practice is used in the
other operating countries where consumption
data is available. If the data is not available and
if energy is included in the monthly rent for the
property, electricity consumption is calculated
based on the floor area. The fuel consumption
data for Alma Media’s company cars and
cars that fall under an unlimited car benefit
has been primarily collected from service
providers. Emission calculations are based on
the actual consumption of fuel. The fuel litres
purchased are multiplied by fuel type-specific
emission coefficients by the country of use.
Scope 1 emissions consist primarily of carbon
dioxide emissions (CO2). When possible, Alma
Media utilises the energy supplier-specific
emission figures in the calculation of Scope 2
emissions using the market-based method. If
such figures are not available, the Group uses
the country-specific IEA emission coefficients
that are also used as the basis of location-
specific emission calculations.
In 2021, the Group’s greenhouse gas emission
intensity was 0.3 tCO2-eq per employee.
Alma Media calculates its greenhouse gas
emission intensity based on its Scope 1 and
Scope 2 emissions. Scope 2 emissions are
calculated using the market-based method.
Emissions intensity is reported relative to
the number of employees. The greenhouse
gas emissions arising from the consumption
of electricity, district heating and district
cooling (Scope 2 emissions) at the company’s
properties in Finland decreased by 19.6
per cent from the comparison year, to 282
tCO2-eq, calculated using the market-based
method. Comprehensive remote work of
employees and the reduced utilisation rate of
properties reduced the Group’s greenhouse
gas emissions, on average, by 39% in 2020
and 2021 compared to the average of the
two preceding years (2018 and 2019). Energy
consumption is measured using country, type
and supplier-specific emission coefficients.
MANAGEMENT OF RISKS RELATED TO
CLIMATE CHANGE
The restrictions on movement and the labour
shortages caused by the pandemic in the
short term increase challenges related to
the printing and distribution of newspapers
and magazines in the subcontracting chain.
Warmer winters will also complicate the
harvesting of wood by the paper suppliers that
operate as Alma’s subcontractors, which may
lead to higher paper prices. Increasingly strict
national and EU-level climate regulations
may also have cost impacts in Alma Media’s
subcontracting chain. Changes involving
paper and delivery costs have an effect on
the costs of print publications, for example.
In the longer term, increasing extreme
weather phenomena caused by climate
change are predicted to increase the risk of
technical disruptions to digital services in
Alma Media’s various operating countries.
Alma Media manages its environmental
risks by systematically developing its
operations in accordance with the Group’s
SBTi climate targets and by engaging in
active environmental dialogue with its key
suppliers. The environmental risks associated
with purchasing are reduced by Alma Media
Table 3: Climate change
Definition 2021 Progress made in 2021 Definition 2022
According to the SBTi target of 2ºC limit set in 2016, the greenhouse
gas emissions arising from own operations (Scope 1 and 2) must de-
cline by 25% by 2025.
Alma Media has achieved the SBTi targets set for its own operations. In
2021, we set new SBTi climate targets for 2030.
According to the SBTi target of a 1.5ºC limit set for 2030, the green-
house gas emissions arising from own operations (Scope 1 and 2) must
decline by 46% since 2019.
Strategic intent: Strategic intent:
Minimising the greenhouse gas emissions arising from the Group’s
own operations. An industry leader in the transition to low-carbon
business operations and climate change mitigation.
Minimising the greenhouse gas emissions arising from the Group’s
own operations. An industry leader in the transition to low-carbon
business operations and climate change mitigation.
Objectives for 2021: Objectives for 2022:
Reduction of direct (Scope 1 and 2) emissions by 25% by 2025 (proper-
ties, energy, company cars, fuel).
In 2021, the Group’s direct (Scope 1 and 2) greenhouse gas emissions
reduced by 52% compared to 2016.
Reduction of direct (Scope 1 and 2) emissions by 4.3% from 2021 (prop-
erties, energy, company cars, fuel).
Reduction of indirect (Scope 3) greenhouse gas emissions arising from
the subcontracting chain by 10% from 2016 to 2023.
Indirect (Scope 3) greenhouse gas emissions reduced by 13.7% from
2016 to 2021.
Reduction of indirect (Scope 3) greenhouse gas emissions by 1.2%
from 2021.
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operating in 11 European countries. The
procurement of each country unit is focused
on the domestic market or nearby regions,
which enables comprehensive oversight
of suppliers. The risk of disruptions in the
availability of digital services is mitigated by
improving operational reliability.
Reliability has been improved by moving
all of the services that are important to
Alma Media’s business to cloud services.
Other server capacity needed by the Group
is purchased from modern data centres
maintained by subcontractors.
Alma Media follows the international
recommendations of TCFD (Task Force
on Climate-related Financial Disclosure)
on the reporting of the Group’s risks and
opportunities related to the climate. Alma
Media’s climate risk table in accordance with
TCFD is shown on page 33.
FOCUS AREAS FOR THE DEVELOPMENT
OF SUSTAINABILITY IN 2022
Alma Media has updated its SBTi targets and
committed to reducing the emissions arising
from its own operations by 46% and those
arising from its subcontracting chain by 14%
by 2030.
Achieving the SBTi target corresponds to an
annual emissions reduction of 4.3% in the
Group’s own operations and a reduction of
1.2% in its subcontracting chain. The Group
seeks to have its targets validated by the SBTi
organisation in 2022.
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FOCUS AREAS FOR THE DEVELOPMENT
OF SUPPLY CHAIN SUSTAINABILITY
IN 2022
Alma Media updated its science-based cli-
mate targets in 2021. Achieving the Group’s
SBTi target requires a reduction of green-
house gas emissions arising from the subcon-
tracting chain by 14% by 2030 compared to
2019. According to this target, the emissions
arising from the subcontracting chain must
decline by 1.23% annually. The emission reduc-
tion target mainly applies to the Group’s print-
ing and logistics procurements and the pro-
curement of ICT services.
Supply chain sustainability
In addition to the dialogue with its key
subcontractors regarding the reduction
of greenhouse gas emissions, the Group
engages in regular dialogue regarding
the importance of ethically sustainable
business. Alma Media’s relationships with
subcontractors are guided by the Group’s
Code of Conduct, which unequivocally
prohibits corruption, bribery, human rights
violations and other inappropriate treatment
of employees. Alma Media reserves the right
to monitor the sustainability of its suppliers
by conducting audits at their premises or
by requiring documentation regarding the
sustainability of the services or products they
produce. When the Group signs a significant
new subcontracting agreement, a visit is made
to the production facility before the final
choice of supplier. Alma Media was not made
aware of any violations of the Group’s Code of
Conduct among its subcontractors in 2021.
To develop sustainability in its subcontracting
chain, Alma Media has set a target for 2022
to get at least 50% of its key subcontractors
to commit to completing the Company’s
Code of Conduct training. The Group’s most
significant subcontractors are certain ICT,
printing and delivery suppliers. Continuous
procurement from these suppliers correspond
to 43 per cent of the Group’s procurements
in Finland. Correspondingly, the share of
procurements related to content generation
of all the procurements made in Finland was
18 per cent in 2021. Alma Media units in all
of the countries of operation make most of
their purchases domestically or from nearby
regions where businesses are subject to
supervision and regulation. Country-level
management is in charge of supply chain
sustainability in Alma Media’s foreign units. In
Finland, the Chief Procurement Officer and
the Director in charge of ICT procurement
are in charge of developing the sustainability
of the procurement policy and Group-level
purchasing.
ACHIEVEMENT OF SUSTAINABILITY
TARGETS IN 2021
According to the science based target
concerning Alma Media’s indirect greenhouse
gas emissions arising mainly from purchasing
(Scope 3 emissions) set in 2016, the company
must reduce its emissions by 10 per cent by
2023. Alma Media’s indirect Scope 3 emissions
continued on a downward trend during the
year as the circulations of print publications
continued to decline and consumers switched
from print to digital media. In addition, the
mobility restrictions introduced due to the
COVID-19 pandemic reduced air travel by
Alma Media employees in 2021 by more than
77 per cent compared to 2019. Emissions
were decreased by the lower use of services
resulting from the reduced utilisation rate
of transport services, distribution, aviation
emissions and business premises. Due
to reduced purchases alone, the Group’s
indirect Scope 3 emissions declined by 9
per cent (1,195 tCO2e) compared to 2016. The
Table 4: Other indirect emissions (Scope3) tCO2-eq 2016 2017 2018 2019 2020 2021
Purchased products and services 13,203 15,083 13,971 13,417 11,591 12,008
Product transport and service (upstream) 3,801 3,781 3,540 3,476 3,257 2,778
Business travel 159 189 182 165 23 37
Commuter traffic 4 4 3 3 3 3
Use of products sold 158 143 224 211 192 169
Disposal of products sold 123 113 96 93 74 67
Total Scope 3 emissions 17,449 19,312 18,016 17,365 15,139 15,062
SBTi 2030 Scope 3: -14 %
comparison year 2019
tCO"ekv
17365
2019 2020 2021 2030
SBTI
1,5C
15139
15062
14934
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calculation of emissions associated with the
final recycling of publications covers all of
Alma Media’s newspapers, magazines and
books. Alma Media reports the figures for
ongoing business.
Alma Media continued to engage in active
dialogue with subcontractors to reduce
emissions and started development projects
with several significant subcontractors in
ICT services, delivery services and printing
operations to support Alma Media’s new
SBTi climate targets. Alma Media’s supply
chain in Finland consists of approximately
2,000 subcontractors. The largest group
comprises small enterprises that primarily
provide content production services to Alma
Media’s editorial offices. The Group’s 23 key
subcontractors accounted for 62 per cent
of the total purchases, and 11 operators of
these accounted for 52 per cent of the total
purchases. These mostly consist of providers
of delivery, printing and ICT services. Alma
Media’s procurement function in Finland
operates with a two-tier approach. In addition
to centralised procurement at the Group level,
there are also local purchases. Alma Media’s
editorial offices, for example, purchase their
content production services independently
because the production and procurement of
relevant content requires a high degree of
familiarity with the target audience. During the
reporting year, Alma Media’s purchases from
service providers and suppliers totalled MEUR
90.
Alma Media’s indirect greenhouse gas
emissions declined during the year under
review to 15,062 tCO2-eq (2020: 15,139
tCO2-eq). Compared to 2016, the Group’s
Scope 3 emissions have declined by 13.7 per
cent in total. Alma Media’s most significant
Scope 3 emission intensities are related to
the procurement of transport and delivery
services as well as the printing of publications.
Alma Media reports on its other indirect
greenhouse gas emissions in accordance with
the international GHG Protocol. An itemisation
of the company’s Scope 3 emissions is
provided in Table 4. Alma Media adopted
the International Energy Agency IEA’s
country-specific emission factors in 2021 for
those instances where an energy producer-
specific emission factor has been unavailable.
The emission figures for 2016–2020 were
retrospectively recalculated according to
the IEA factors. The adoption of the IEA
calculation guidelines improves the reliability
of environmental figures published by Alma
Media’s and enables a continuous comparison.
The monitoring of Alma Media’s SBTi targets
also requires following the IEA standards.
Scope 3 emissions consist primarily of carbon
dioxide emissions (CO2).
Table 5: Supply chain sustainability
Definition 2021 Progress made in 2021 Definition 2022
Alma Media does not allow unethical business practices in companies
included in its subcontracting chain, and the Group also requires that
its subcontractors set targets to mitigate climate change.
Alma Media monitored the sustainability of its suppliers by conducting
audits on their premises or by requiring documentation regarding the
sustainability of the services or products they produce. The energy
consumption arising from business premises and business travel by air
decreased due to the COVID-19 pandemic. As a result of the reduction
in purchases, the Group’s Scope 3 emissions declined.
Alma Media does not allow unethical business practices in companies
included in its subcontracting chain, and the Group also requires that
its subcontractors set targets to mitigate climate change.
Strategic intent: Strategic intent:
Alma Media’s subcontracting chain promotes the realisation of the
Group’s climate target and the ethical conduct of business.
Alma Media’s subcontracting chain has, in its part, committed to
promoting the achieving of the SBTi target and socially and ethically
sustainable business.
Objectives for 2021: Objectives for 2022:
Alma Media’s subcontracting chain engages in socially and ethically
sustainable business.
Alma Media was not made aware of any breaches of the ethical con-
duct of business, such as a violation of human rights or incidents of
bribery or discrimination in its subcontracting chain companies in
2021.
50% of Alma Media’s key subcontractors have committed themselves
to the Group’s Code of Conduct.
According to the SBTi target set in 2016, the greenhouse gas emissions
arising from the subcontracting chain must decline by 10% by 2023.
The greenhouse gas emissions arising from the subcontracting chain
reduced by 13.7% from 2016 to 2021. The Group set new targets in
accordance with the 1.5 degrees Celsius limit in order to reduce the
emissions arising from its subcontracting chain.
Reduction of greenhouse gas emissions by 1.2% from 2021.
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Almost 80 per cent of Alma Media’s revenue
now comes from digital sources. The
Group takes a long-term approach to the
development of its online services and
aims to offer secure and diverse services to
consumers and advertisers. It is essential
for the success of the Group’s business that
the users of its digital services feel confident
that their customer data is stored, managed
and used responsibly. It is equally important
that our customers feel that the services are
competitive, effective and pleasant to use.
To ensure the high quality of its digital
services, Alma Media focuses on digital
business development in its investments.
The development of digital business is also
supported by actively monitoring changes
in regulations pertaining to data privacy
and data security as part of the Group’s
risk management and by strengthening the
employees’ digital competencies as well as
their knowledge of data protection and data
security. The management of the business
units, together with the ICT organisation
and the legal department, are responsible
for the technical development of the online
services owned by the Group and for ensuring
that they comply with data privacy and data
security recommendations and regulations
as well as maintaining the appropriate level
of employee competence pertaining to data
protection and data security.
Since Alma Media’s business environment in
Data security and data privacy
Europe is constantly changing, Alma Media
regularly reviews the risks affecting data
security, and its opportunities to respond to
the risks in the changing environment are
improved as necessary to reduce the risks.
To mitigate the risks observed (with respect
to external as well as internal threats), the
integration of foreign units to the Group
network was started in 2021. Once completed,
this will bring all the units under the same
data security policy, data security controls and
user and access management.
The Group’s privacy policy describes the
Group’s responsibilities, requirements and
practices related to the collection, use and
storage of data based on the applicable
legislation. The data of online service users
is only used in Alma Media based on the
user’s consent and primarily to deliver the
service ordered by the user, to improve the
user experience and to respond to user
expectations. As a second priority, user data
is utilised to target advertising or content
relevant to the user based on their areas of
interest and behaviour, for example.
In digital advertising, Alma Media observes
the IAB’s self-regulation principles and uses
a consent management solution that is in line
with the Transparency & Consent Framework
programme. To increase transparency, a
Consent Management Platform (CMP)
tool is used in Alma Media’s consumer and
business services. The Group observes its
legal obligation to privacy protection in order
to safeguard the privacy of the users. The
practices related to ensuring privacy and the
purposes for which information is used are
described in the Group’s privacy policy at
https://www.almamedia.fi/en/tietosuoja/data-
privacy/
ACHIEVEMENT OF SUSTAINABILITY
TARGETS IN 2021
Alma Media assesses its performance as a
responsible digital operator primarily from
the perspective of the users of the Group’s
services. Accordingly, the Group has selected
the security of its service as the focus area of
its responsibility efforts. The Group has set
two annual targets in this area.
The first target is that there should be no
serious data security or data privacy breaches
in the company’s online services. During the
year, the Group gave the data protection
authority four (4) notices of data security
breaches concerning approximately 1,000
people in total. The Group received five (5)
requests for clarification. The incidents did not
result in condemnatory decisions or a sanction
imposed by a decision of the authority. During
the year, no legal action was taken against
the Group related to the privacy of users. The
COVID-19 pandemic, which has continued for
the second year already, also influenced the
use of media content and digital services, as
visitor volumes reached record highs. In spite
of the increased user volumes, there were no
service disruptions in Alma Media’s services,
and a high level of data security and data
privacy was maintained in 2021 as well.
Alma Media’s other target related to the
security of online services currently covers
Alma Media’s Finnish business operations.
The target is that Alma Media should organise
at least four training events on data privacy
and two general training events on data
security for its employees each year. The
training was organised as planned in 2021. In
addition, there were two data privacy courses
for software developers that also included a
supplementary online training.
OTHER DEVELOPMENT PROJECTS
DURING THE YEAR
Alma Media continued to actively participate
in the cybersecurity-related cooperative
bodies of ISAC (Information Sharing and
Analysis Centre) groups. In 2021, Alma Media
developed its business comprehensively.
Ensuring data security, both in terms of
divested services and the new services
integrated to Alma Media, was a major part of
the Group’s data security operations.
The data security of the cloud environments
used for Alma Media’s commercial services
was improved in 2021 by enhancing existing
data security capabilities and introducing
new ones as well as by improving the data
security monitoring of Alma’s internal network
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and workstations. Data security and data
privacy training for employees form a part of
the proactive risk management operations
involving the Group’s employees. Alma Media
undertakes proactive risk management with
regard to data security. This can be seen in
the form of several data security inspections
of the commercial services and the new
data security controls implemented in the
service development process with regard
to vulnerability and software dependency
management.
At the end of the year under review, Alma
ID was in use in 27 services and there were
more than 900,000 registered users in total.
The single sign-on solution will be expanded
to cover all of Alma Media’s services in
Finland. Data collected with the consent of
a registered user is more durable in terms
of time and higher in quality than data
based on cookie-based targeting. It also
enables a better customer experience for
users and more valuable and precise target
audiences for advertisers. High-standard and
information secure technology is used in
Alma ID’s single sign-on. User data is stored
in data security audited environments and the
company observes the obligations stipulated
by the applicable data privacy legislation in
processing the data.
FOCUS AREAS FOR THE DEVELOPMENT
OF SUSTAINABILITY IN 2022
With regard to the current focus areas — data
security and data privacy — resources in
2022 will be particularly allocated to the
continued development of managing
registered information requests and the
Group’s monitoring capabilities pertaining to
data security. The new digital training platform
will be used to continuously strengthen the
data privacy and data security competencies
of the Group’s employees.
Table 6: Data security and data privacy
Definition 2021 Progress Definition 2022
Data security and data privacy are cornerstones of Alma Media’s
sustainability. We process data carefully, always observing privacy and
meeting the expectations of our users. We develop our capability to
anticipate and respond in time to ensure data security.
The data security of the cloud environments used for the commer-
cial services was improved by enhancing the existing data security
capabilities and introducing new ones as well as by improving the data
security monitoring of the Group’s internal network and workstations.
Data security and data privacy are cornerstones of Alma Media’s
sustainability. We process data carefully, always observing privacy and
meeting the expectations of our users. We develop our capability to
anticipate and respond in time to ensure data security.
Strategic intent: Strategic intent
We ensure the safe use of the leading services in the market and avoid
serious data security breaches.
We ensure the safe use of the leading services in the market and avoid
serious data security breaches.
Objective for 2021 Progress made in 2021 Objective for 2022
There are no serious data security breaches in our services. There were no serious data security breaches in our services in 2021. There are no serious data security breaches in our services.
We organise at least four data privacy trainings and two data security
trainings for our employees.
We organised at least four data privacy trainings and two data security
trainings for our employees In addition, we organised two data pri-
vacy trainings for software developers, supplemented with an online
course.
Continuous training of employees to develop data privacy and data
security in the changing operating environment.
Improving registered use, customer experience and the reliability of
services.
The number of registered Alma IDs increased from 500,000 to
900,000 in 2021.
Automation of the availability of own user data for registered users.
Proactive development of data security and data privacy to prepare for
data security attacks.
We primarily focused on ensuring the data security of the Group’s new
business.
Improving automation to prepare for data security attacks in the
Group’s own development and training of subcontractors.
There is no downtime in our services. There was no downtime in our services. There is no downtime in our services.
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DEVELOPING AN EQUAL AND DIVERSE
WORK COMMUNITY
The foundation for Alma Media’s development
of an equal and diverse work community
is provided by regular employee surveys,
among other things. The survey results, salary
analyses and other employee data are used
as the starting point when Alma Media’s
Finnish business units update their non-
discrimination, diversity and equality plans in
two-year intervals under the guidance of the
HR function. The plans cover topics such as
differences in pay, the justification for fixed-
term employment relationships and the job-
specific gender distribution in each unit.
Diversity, equality and inclusion
Alma Media recruits new employees purely
based on their competence and aptitude.
All Alma Media employees are entitled to
receive fair and rewarding compensation,
have opportunities to develop their skills and
abilities, receive feedback, remain informed
about the company and work in a safe,
pleasant, renewal-oriented and developing
environment where everyone’s privacy and
private life are respected. In accordance with
the Group’s Code of Conduct, everyone at
Alma Media must respect basic human rights.
Alma Media does not condone discrimination
based on age, gender, race, skin colour,
nationality or ethnic origin, religious beliefs,
convictions, family relationships, sexual
orientation or disabilities.
Alma Media has a zero tolerance policy
concerning sexual harassment and other
forms of harassment, threats, offensive
conduct, physical and psychological
violence as well as workplace bullying. Every
Alma Media employee has an obligation to
report any observations of discrimination.
Such incidents can be reported internally
through employee representatives, Group
HR or the anonymous Whistleblow channel.
Alma Media’s whistleblowing team receives
the notifications, reports them to the Audit
Committee of the Board of Director and takes
action as necessary. Building an inspiring,
inclusive, equal and diverse work community
is a shared goal for all Alma Media employees.
Development in this area is supported by the
Group HR function.
ACHIEVEMENT OF SUSTAINABILITY
TARGETS IN 2021
Alma Media has a zero tolerance policy
regarding the discrimination and
inappropriate treatment of employees. The
Group reports annually on whether any such
incidents have occurred. A total of five (5)
suspected incidents of bullying or sexual
harassment were reported in 2021. All of the
incidents reported to the company were
thoroughly investigated. The necessary
Table 7: Diversity, equality and inclusion
Definition 2021 Progress made in 2021 Definition 2022
We do not condone harassment or discrimination related to age,
gender, race, skin colour, nationality or ethnic origin, religious beliefs,
convictions, family relationships, sexual orientation or disabilities.
Alma Media’s Code of Conduct strictly prohibits all discrimination and
harassment at the workplace. The new Code of Conduct was launched
for the employees in course format in 2021. 90% of our employees took
the course.
Alma Media employees feel that the Group promotes equality, diversi-
ty and experiences of participation. All types of harassment, discrim-
ination or bullying is prevented efficiently, and any shortcomings are
corrected swiftly.
Strategic intent: Strategic intent:
Alma Media employees find that our HR policy promotes equality and
prevents harassment, bullying and discrimination.
A positively developing experience of the realisation of equality, diver-
sity and inclusion in the work community.
Objectives for 2021: Objectives for 2022:
Zero tolerance against harassment and discrimination: There are no
incidents of improper treatment amongst Alma Media employees.
A total of five (5) suspected incidents of improper behaviour were
reported in 2021. The incidents were investigated and closed by the
end of the year.
Zero tolerance against harassment and discrimination: There are no
incidents of improper treatment amongst Alma Media employees.
Increasing awareness of and the significance of diversity and inclusion
in the work community.
625 employees participated in workshop training aimed at increasing
awareness of the significance of diversity in the work community as a
resource.
Promoting diversity and inclusion in the work community. We will
conduct a survey about the experiences of the realisation of diversity
and inclusion in the work community. An action and training plan to
enhance diversity and inclusion will be prepared based on the survey
results.
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STATEMENTS
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CORPORATE
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SUSTAINABILITY
REPORT
measures were taken and all five cases were
closed by the end of the year. Alma Media was
not subject to any reprimands or penalties by
the authorities due to discrimination during
the year under review.
Alma Media’s Board of Directors had six
members in 2021. One of them was a woman
(16.7%). Three of the Board members were
approximately 50 years of age, two were 60
years of age and one was 70 years of age.
Alma Media’s Group Executive Team consisted
of 10 members during the year under review,
three (30%) of whom were women. 20 per cent
the members of the Group Executive Team
were aged 50 or younger, and 80 per cent
were over 50. Women accounted for 40 per
cent of supervisors in the Group as a whole
and 48 per cent of supervisors in Finland.
A more detailed distribution of employees is
provided in Table 8.
In all of Alma Media’s country units, at
least nine out of ten employees were in a
permanent employment relationship in the
year under review. In Bosnia-Herzegovina,
seven out of ten employees were in a
permanent employment relationship.
Most of Alma Media’s employees worked
full time. A special feature of Alma Media’s
Finnish operations was — as in previous
years — the use of freelancers by the Group’s
media brands. Each year, the Group’s media
brands employ dozens of photographers
and journalists by way of freelance contracts
in addition to their in-house resources. The
media brands order stories, videos and photos
from the freelancers based on their needs. In
the year under review, the largest age group
in all of Alma Media’s country units was 30–50.
In Finland, the proportions of employees aged
under 30 and over 50 were almost equal. In
the other operating countries, the second-
largest age group was employees under 30
years of age. More detailed region-specific
information on employment contract types,
the age distribution and the duration of
employment is provided in Table 9.
OTHER DEVELOPMENT PROJECTS
DURING THE YEAR
The objective of Alma Media’s HR strategy is
to support the development of the Group’s
business and the execution of strategy.
During the past few years, the Group has
particularly focused on enhancing the digital
competencies of its employees and creating
an employer image and employee experience
of Alma Media as a responsible employer with
a strong capacity for renewal. We increased
the use of digital learning environments
during the year.
We made extensive use of digital learning
environments, such as Howspace and
Seduo, which made it possible to develop
competence in a multi-location work
environment. Digital capabilities were
developed in the digital marketing training
package, among others. Theme-specific
training related to self-management and the
development of managerial work in a multi-
local work environment were also key areas of
HR development in 2021.
With regard to the development of an equal
and diverse work community, the Group
placed attention during the year under review
on the transparency of recruitment, and in
Alma’s Baltic operating countries, for example,
CV Online is seeking to promote equality and
diversity concretely in its customer companies
by not allowing employers to use age and
gender data as employee search criteria in its
CV database.
We continued to coach our employees in
workshops aimed at increasing employee
appreciation towards diversity and viewing
Table 9: Employee age distri-
bution and contract type
under 30
years
30–50
years
over 50
years
Fixed
term
Permanent full-
time
part-
time
All
total
Baltic countries 31% 64% 5% 1% 99% 96% 4% 100%
Bosnia and Herzegovina 18% 82% 0% 32% 68% 100% 0% 100%
Croatia 19% 78% 3% 0% 100% 89% 11% 100%
Other operating countries 27% 73% 0% 18% 82% 100% 0% 100%
Sweden 20% 73% 7% 7% 93% 87% 13% 100%
Slovakia 23% 75% 2% 2% 98% 96% 4% 100%
Finland 17% 64% 19% 7% 93% 90% 10% 100%
Czech Republic 14% 83% 2% 11% 89% 89% 11% 100%
Table 8: Alma Media’s employees Employees
Women
as managers, %
Men as
managers, %
Finland 975 48 52
Czech Republic 353 24 76
Baltic countries: Estonia, Latvia, Lithuania 74 47 53
Slovakia 106 44 56
Croatia 90 33 67
Bosnia 38 50 50
Sweden 15 0 100
Other 34 – –
Total 1,690
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diversity as a resource. By the end of 2021, 625
Alma employees had participated in these
workshops. While observing the restrictions
caused by the COVID-19 pandemic, we
implemented principles concerning multi-
local work in 2021. The principles make it
easier for employees to perform their work
in different life stages while increasing the
productivity and well-being of work as well as
flexibility with regard to the reconciliation of
individual life circumstances and work.
As part of the new Code of Conduct package,
the Group’s principles and operating models
to prevent harassment and bullying were
implemented in all of Alma’s operating
countries.
FOCUS AREAS FOR THE DEVELOPMENT
OF SUSTAINABILITY IN 2022
Alma Media is committed to building a
pluralistic and pro-diversity organisational
culture by providing all employees with equal
rights and opportunities and by treating
everyone equally. In 2022, the Group will
conduct an employee survey concerning the
realisation of equality, diversity and inclusion
in the Group. The survey will be used to
identify any areas for development, and the
necessary development plans will be prepared
based on the observations.
The significance of diversity will be
emphasised in communications to supervisors
and in supervisor and work community
development training in 2022. We are
also planning an online course for all the
employees covering the themes of diversity
and inclusion.
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DEVELOPING EMPLOYEE COMPE
TENCE AND WELLBEING
In a constantly changing operating environ-
ment, competence development plays a key
role in ensuring future competitiveness. Alma
Media’s HR strategy supports the Group’s
business through the goal-driven develop-
ment of employee competence, amongst
other things.
Alma Media’s goal-driven competence devel-
opment is based on competence targets,
which are defined at the team level at a min-
imum. The Group’s aim is to have a personal
plan prepared for each employee to support
the development of their competence. Goal-
driven competence development is followed
up on in one-to-one discussions between
the supervisors and employees. Alma Media
arranges training programmes that sup-
port the development of employee compe-
tence and invests in the collaborative learn-
ing of employees and knowledge sharing by
organising mentoring programmes, compe-
tence workshops and theme events, amongst
other things. The company takes a long-term
approach to the development of manage-
rial work and builds an international network
of supervisors to support the sharing of best
practices related to leadership and manage-
ment.
The development of employee competence
and well-being at Alma Media is supported
by the Group HR function. Its tasks include
the steering, prioritisation and specification of
functions and processes related to pay, ben-
Future-fit workforce
efits, employee reporting and competence
development. Alma Media’s employees have
primarily worked using a multi-local work
model during the COVID-19 pandemic. Super-
visors have received training related to man-
aging remote and multi-local work. In spite of
the exceptional circumstances and the exten-
sive transition to remote work, there were no
interruptions in Alma Media’s services during
the year and service quality was successfully
maintained.
As the COVID-19 pandemic continued, the
special working group of representatives
of all the operations which started its work
in Finland in 2020 continued its work. The
working group is responsible for monitor-
ing the COVID-19 status and instructions of
the authorities regularly and for preparing
the guidelines and instructions for employ-
ees based on them. Employee well-being was
supported in various ways during the excep-
tional circumstances created by the pan-
demic. Webinars on mental well-being and
coping during COVID-19 and on the ergonom-
ics of remote work were organised in cooper-
ation with the occupational health care pro-
vider. An “Alma employee’s well-being pack-
age” also supports the employees, consisting
of tips for well-being in daily life: ergonom-
ics, recovery, sleep, psychological well-being,
human interaction, occupational health care
and the Auntie service. Auntie is a low-thresh-
old psychological well-being service offered
to Alma Media employees. It is aimed at
reducing stress, improving employees’ abil-
ity to cope, increasing efficiency and providing
concrete tools for managing one’s daily life. A
series of well-being lectures by Auntie were
also available to all employees. Virtual exer-
cise breaks were organised regularly to help
employees maintain a healthy and productive
rhythm during remote work.
ACHIEVEMENT OF SUSTAINABILITY
TARGETS IN 2021
Alma Media measures its performance in
engaging the commitment of employees and
competence development by means of annual
employee surveys, which provide a compre-
hensive picture of employee perceptions
regarding the effectiveness of the work com-
munity and Alma Media as an employer. The
most extensive of these surveys is the annual
Quality of Work Life (QWL) survey conducted
in all of Alma Media’s units. The target set for
the survey is a QWL index of at least 82 per
cent. This target was exceeded in the year
under review, with the score being 85.4 per
cent. The state of the work community is also
measured annually by finding out how willing
the employees are to recommend Alma Media
as an employer. The target is a score of at least
8 on a scale of 1–10. Alma Media achieved a
score of 8.1 (eNPS 32). In addition to using sur-
veys, Alma Media evaluates its performance
as an employer by monitoring the long-term
retention of new employees. The target is for
90 per cent of new employees to stay with
the Group for at least two years after being
hired. Alma Media achieved the target set for
the retention of new employees in 2021. Of the
employees who joined the company two years
ago as new employees, more than 90 per
cent remained with the Group during the year
under review. The voluntary departure turn-
over of Alma Media’s employees in the Group’s
operating countries was 7.6 per cent on aver-
age.
OTHER DEVELOPMENT PROJECTS
DURING THE YEAR
In spite of the continued exceptional circum-
stances caused by the COVID-19 pandemic,
the development of employee competence
and related training activities continued as
planned in 2021. Training was largely imple-
mented using virtual tools due to the pan-
demic. In the development of employee com-
petence and well-being, the focus in 2021 was
on managerial work, continuous learning and
the sharing of expertise. A supervisor men-
toring programme across national and busi-
ness unit boundaries was introduced. A joint
Growth Day event for all of Alma Media’s
countries of operation was organised in the
autumn for employees to share their knowl-
edge and expertise with each other in vari-
ous ways. Alma Talent continued the exten-
sive managerial training programme called
“Management Growth Path” started in 2020
to support supervisors’ capabilities in a digi-
tal and multi-local work environment. In 2021,
a similar managerial training programme was
launched in Alma Media Solutions. Alma Media
Solutions’ Alma Academy also continued its
work in 2021 with the themes of growth, excite-
ment and creativity as well as interaction and
efficient communication.
Alma employees in Finland utilised the Alma
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Talent Seduo online learning environment.
The digital training service, which has been
localised for the Finnish market by Alma Tal-
ent, gives employees the opportunity to com-
plete training modules on various themes,
such as the digital transformation, manage-
ment, communication and data as well as
sales and marketing. Support material on
dealing with online bullying was prepared for
the employees to help them with situations
involving online bullying or hate speech and
to improve their capacity to resolve such sit-
uations.
In 2021, we organised two trainee programmes
for recent graduates in technology and mar-
keting. These programmes allowed us to
increase competences important for Alma’s
business and gave employment to 23 young
people starting their careers.
FOCUS AREAS FOR THE DEVELOP
MENT OF SUSTAINABILITY IN 2022
In 2022, Alma Media aims to further improve
its employees’ opportunities for the continu-
ous goal-driven development of their compe-
tence. The company will increase the use of
online learning materials and launch a com-
petence development support system to give
employees even more equal opportunities
to improve their competence regardless of
where they are based. Solutions such as Alma
Talent’s Seduo online learning environment
are used in competence development.
The development of managerial skills and
leadership is supported by managerial train-
ing. Managers and all employees are trained
with the aim of achieving success in a digi-
tal and multi-local work environment. Train-
ing activities will continue to be implemented
under the Growth Day, Digital Sales Acad-
emy and Alma Academy concepts as well
as by promoting a culture of sharing exper-
tise and the growth of the Alma Mentor com-
munity. We will improve the digital literacy of
Alma employees as well as their understand-
ing of the utilisation of data in the Data Chal-
lenge online training.
So far, we have been able to implement the
operating model for multi-location work intro-
duced in Alma Media in 2021 to a lesser degree
than planned due to the COVID-19 restric-
tions. Managers and teams will be supported
further in the deployment of the model in
2022. The Auntie service will continue to be
available to employees to support well-being
at work and lectures on well-being will also
continue.
Table 10: Future-fit workforce
Definition 2021 Progress made in 2021 Definition 2022
Employee well-being, commitment and competence development as
well as competence development within the organisation are of key
importance to ensure the success of our business.
Alma Media’s number of employees increased by 13.8% in 2021. We
arranged training programmes that support the development of em-
ployee competence and invested in the collaborative learning of em-
ployees and knowledge sharing by organising mentoring programmes,
competence workshops and theme events, amongst other things.
Employee well-being, commitment and competence development as
well as competence development within the organisation are of key
importance to ensure the success of our business.
Strategic intent: Strategic intent:
The most competent, committed and well-being employees in the
industry.
The most competent, committed and well-being employees in the
industry.
Objectives for 2021: Objectives for 2022:
Equality in learning and personal development. Open virtual training.
Personal competence goals and development plans for everyone.
Equality in learning and personal development.
Continuous professional development, sharing of competence and
self-development.
Training, competence workshops, mentoring programmes and theme
events supporting the development of managerial work, continuous
learning and sharing of competence.
Continuous professional development, sharing of competence and
self-development.
High quality of working life, QWL >82. High quality of working life, QWL = 85. High quality of working life, QWL >83.
Supporting the mental and physical energy levels of employees. Webinars on mental well-being and coping as well as on the ergonom-
ics of remote work in cooperation with the occupational health care
provider. Operating model of multi-location work to increase flexibility
in work in different life situations.
Well-being training in cooperation with the occupational health care
provider. The development and implementation of the operating mod-
el of multi-location work continues in 2022.
New employee retention 90%. Retention rate of over 90% regarding employees who have worked for
us for over 2 years. The average employee turnover in the Group was
7.6%.
Employee turnover of new employees under 10%.
Likelihood of recommending the Group as an employer 8 (1–10). Likelihood of recommending 8.1 (1–10). Likelihood of recommending the Group as an employer 8 (1–10).
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RESPONSIBLE
BRANDS
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Responsible media
MANAGING RESPONSIBLE
JOURNALISM
The editorial teams of our media are
committed to truthful, open and pluralistic
journalism. Preserving trust in the media is a
prerequisite for our business.
Our media comply with the Guidelines for
Journalists drafted by the Council for Mass
Media, which is the Finnish media sector’s
self-regulatory organisation. The guidelines
concerning journalism are in many ways
stricter than the legislation governing
freedom of speech, freedom of expression
and the media in general. The topics covered
in the Guidelines for Journalists include
the principles of obtaining information, the
journalist’s professional position and the
rights of interviewees. The Guidelines also
stipulate how media outlets need to rectify
their errors and separate journalism from
advertising.
In addition to publishing guidelines
concerning ethics in journalism, the Council
for Mass Media handles dozens of complaints
each year regarding content published in by
Finnish media outlets. Alma Media’s editorial
teams interpret the Council’s decisions
as precedents that guide operations. In
responsible journalism, Alma Media journalists
and editorial offices act transparently and
responsibly under all circumstances in
their role as a source of information. High-
quality journalism engages the readers’ long-
term commitment to Alma Media’s media
and, consequently, the readers characterise
them as high in quality and reliable in reader
surveys. The responsibility for the journalistic
content of Alma Media’s media lies with the
Editor-in-Chief of each media, assisted by
editorial supervisors. Editors-in-Chief and
other supervisors of the editorial teams are
responsible for creating a strong journalistic
culture by providing active guidance and
feedback as well as by developing the
editorial teams’ internal guidelines and style
books. The aim is to ensure that all employees
of Alma Media’s editorial offices understand
their professional responsibility. In developing
responsible journalism, the supervisors of
the editorial teams also monitor the results
of reader surveys and brand surveys as
well as customer feedback and the public
discussion regarding the media to ensure the
purposefulness, service ability and pluralism
of content. Monitoring of the readership
of individual news articles indicates the
importance of the subjects to our readers and
of their significance for society. Readers who
are dissatisfied with content can, for example,
send feedback to the editorial team or submit
a request for correction.
ACHIEVEMENT OF SUSTAINABILITY
TARGETS IN 2021
The most relevant sustainability target
for media is the number of condemnatory
decisions by the Council for Mass Media.
Our goal is that the Group’s media brands’
combined share of the condemnatory
decisions issued by the Council should be
under 20 per cent of the total condemnatory
decisions issued in any given year. The large
readership of Alma Media’s media outlets in
Finland was taken into consideration in setting
the target.
During the year, none of Alma Media’s media
were issued a condemnatory decision by
the Council for Mass Media, meaning that
the annual target measuring responsible
journalism was exceeded by a clear margin.
In 2021, the Council for Mass Media issued
60 decisions based on complaints, with 24 of
these decisions being condemnatory. Alma
Media has specified key indicators measuring
the development of responsible media. Our
goal is that no more than five condemnatory
decisions are issued to Alma Media’s media by
the Council for Mass Media annually. Alma’s
media also have an annual development goal
in the future. The financial and professional
media seek to verify the effectiveness of
the media in terms of improving citizen and
company awareness of solutions promoting
sustainable development. In 2022, editors
will be trained and any stories presenting
solutions for sustainable development for
individuals or companies will be tagged
with a shared keyword. The number of such
stories published and the development of
reach will be reported in the future. Iltalehti
will also arrange a specific training aimed at
strengthening the journalistic competence
related to sustainable development for its
reporters in 2022.
OTHER DEVELOPMENT PROJECTS
DURING THE YEAR
The COVID-19 pandemic that started in spring
2020 continued to increase the demand for
up-to-date and reliable information in 2021.
Iltalehti grew into the biggest digital news
media in Finland, passing Hs.fi and Is.fi in
terms of readership based on the national
FIAM measurement. The readership of
content related to sustainability increased,
and people were interested in the extensive
societal topics and fact-based surveys of the
media, which helped Iltalehti to grow into the
biggest in Finland. Iltalehti started its own
investigative journalism programme aimed
at developing the journalistic ability of the
media to ensure the lawfulness of decision-
making in society and of the actions of the
authorities and decision-makers. Financial
and professional media published multiple
articles addressing topics such as the EU’s
climate targets, emission reductions, the shift
of financing towards responsible investment
and climate innovation.
The Group’s media did not receive any
assistance from governments or non-
governmental sources or political funding in
the year under review. There were no legal
proceedings associated with libel or slander
and, therefore, also no financial liabilities
related to them. In order to ensure the IP
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protection of its media and services, the Alma
Media Group efficiently protects is trademarks
through the appropriate registrations,
monitors the market for any violations of its
trademarks and defends its trademarks in
case of violations. Alma Media also actively
ensures the protection and defending of
copyright and databases.
The journalistic principles of media include
the principle of protecting vulnerable groups
of the public. Information that might be
shocking to children or young people, for
example, is only published when strong
journalistic grounds exist, and the appropriate
labels are used to warn of such content in
advance. Furthermore, it is prohibited to target
content and advertising to young people
under the age of 18 in Alma Media’s media.
MANAGEMENT OF RESPONSIBLE
MARKETING
The truthfulness of marketing and preventing
the misleading of consumers is a basic
condition for campaigns published in the
Group’s media and services. The digitalisation
of advertising has seen the focus of the
development of responsible advertising
shift increasingly to ensuring the security of
the advertising environment as well as the
responsible collection and use of consumer
data.
The automation and internationalisation of
advertising and the increasingly complex
digital advertising ecosystem require Alma
Media to make significant investments in
maintaining a high-quality and safe media
environment. The Group systematically
strengthens its technical capabilities and
employee competencies to ensure that no
advertising fraud or advertisements that are
contrary to good marketing practices are
published in its online and mobile services,
and that user data is not collected or used
inappropriately in connection with advertising.
Alma Media complies with the legislation
governing marketing as well as the marketing
communications industry’s self-regulation
in monitoring the advertising activities of its
customers and when engaging in marketing
communications for its media brands and
services. The Group is actively involved in the
development of digital marketing competence
throughout the marketing communications
industry in Finland.
The possibilities of consumers to impact the
collection and utilisation of data create a
framework for the utilisation of data by the
media. It is possible to display or measure
programmatically bought advertising targeted
on a data-driven basis, personalise content
and create advertising profiles only for users
who have consented to it. User consent to
the targeting of advertising is forwarded
to Alma Media’s approved partners in the
advertising buying supply chain. Through the
TCF (Transparency & Consent Framework),
Alma Media approves its partners and the
purposes of data use as part of Alma Media’s
data privacy practices and maintains a list of
approved partners on its website.
Alma Media’s media sales and marketing
organisation is in charge of the development
of responsible marketing together with each
brand’s marketing organisation. In software
procurement related to digital marketing,
assistance is provided by Alma Media’s
Chief Digital Officer and the rest of the
ICT organisation. The Group’s specialist on
data privacy ensures the compliance of the
management and utilisation of user data and
the user consent management tool.
ACHIEVEMENT OF SUSTAINABILITY
TARGETS IN 2021
The Group does not publish advertising
that is in violation of good advertising
practices and has set a target for responsible
marketing, according to which its online
and mobile services should not feature any
advertisements that violate the guidelines
of good marketing practices published by
the International Chamber of Commerce.
During the year under review, Alma Media did
not receive any complaints in its operating
countries from the authorities that supervise
ethics in advertising or the marketing
industry’s own self-regulatory bodies.
FOCUS AREAS FOR THE DEVELOPMENT
OF SUSTAINABILITY IN 2022
As a media company that operates at the
national scale, Alma Media is actively involved
in the development of the Finnish marketing
communications industry’s expertise and
responsibility agenda. Alma Media also
takes the special challenges associated
with digital marketing into consideration
in the development of its own technical
and other capabilities. Alma Media ensures
compliance with the obligations placed
on digital advertising by the General Data
Protection Regulation (GDPR) and IAB
Europe by allocating sufficient resources to
the related activities, by ensuring it has the
appropriate information management and
data processing processes in place and by
training its employees. In 2022, resources
will be particularly allocated to promoting
responsible media and marketing and brand
safety, ensuring a high-quality and brand-
safe media environment for advertisers and
providing high-quality targeting data for
advertisers. The Group also seeks to develop
new advertising and content marketing
solutions based on sustainability to emphasise
the significance of the sustainability work
of companies.The GDPR and the browser-
based measures taken by platform operators
to restrict targeting based on cookies require
media companies to more carefully assess
alternatives based on user identification and
contextual targeting, among other things.
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Table 11: Responsible media.
Definition 2021 Progress made in 2021 Definition 2022
Readers’ trust is a precondition for journalistic media. We are
committed to truthful, open and pluralistic journalism and responsible
marketing.
Readers’ trust is a precondition for journalistic media. We are
committed to truthful, open and pluralistic journalism and responsible
marketing.
Strategic intent: Strategic intent:
A defender of the freedom of speech, democracy and pluralist com-
munications.
A defender of the freedom of speech, democracy and pluralist com-
munications.
Objectives for 2021: Objectives for 2022:
Under 20% of all the condemnatory decisions issued by the Council
for Mass Media apply to Alma Media’s media.
The Council for Mass Media did not issue a single condemnatory
decision to Alma Media’s media in 2021. All in all, the Council for Mass
Media processed 60 reprimands during the year, 24 of which were
condemnatory to media.
No more than five (5) condemnatory decisions are issued to Alma
Media’s media by the Council for Mass Media annually.
Specifying the indicators for responsible journalism. In 2021, Alma Media’s media specified the following indicators for
sustainable journalism: 1) Financial and professional media will
monitor the number of articles providing solutions for sustainable
development. 2) Sustainable journalism training is organised for
reporters.
Implementation of keywords based on sustainable development and a
responsible journalism training for reporters.
Alma Media’s media and services do not publish any advertisements
that violate the guidelines of good marketing practices published by
the International Chamber of Commerce.
Alma Media did not receive any complaints in its operating countries
from the authorities that supervise ethics in advertising or the market-
ing industry’s own self-regulatory bodies.
Alma Media’s media and services do not publish any advertisements
that violate the guidelines of good marketing practices published by
the International Chamber of Commerce.
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Responsible services
The expectations of our key stakeholders
– our employees, customers, readers and
users as well as investors – regarding the
sustainability of our operations reflect our
opportunities to make a difference in the
mitigation of climate change, sustainable
business operations as well as the promotion
of competence development and equality
between individuals. The results of the
materiality analysis describe how the scope of
Alma Media’s operations enable the promotion
of sustainable development in many ways
in companies, in the lives of people and in
society.
The aspects identified by the stakeholders as
being linked to our digital business and strong
brands are especially interesting. Digital
services enable impacting climate change
and promoting sustainable choices in housing
or vehicle traffic. Our training services allow
us to develop professional competences in
companies and promote sustainable business
operations.
CUSTOMER SATISFACTION
Our business is based on responding to the
needs of our customers and the users of our
services. Our product and services must be of
high quality and safe to use. Alma’s business
operations have transitioned more and more
towards paying for the media and service
content, which emphasises the significance of
customer satisfaction even further. Customer
satisfaction creates value into the business
and moves the focus from the reaching
of customers and individual transactions
to creating stakeholder commitment and
long-term value creation. High customer
satisfaction speeds up business growth,
reduces the costs of customer acquisition,
improves trust in the customer relationship
and decreases the risk of customer loss.
A satisfied customer is committed to using
our service or product, the usage volume
increases and the likelihood of recommending
the service increases. In digital business,
customer satisfaction is strongly based on the
correlation between customer expectations
and experiences regarding the contents of
our services, the technical user experience
of our websites, such as findability and
availability, ease of navigation and ease of the
purchase process as well as the operation of
customer support. Trust on the functionality
of the service and the data security of use are
significant psychological factors affecting
customer satisfaction.
The use of the Alma ID expanded in 2021 to
include almost all of Alma Media’s media and
digital services in Finland. By the end of the
year, the number of registered Alma ID users
was as high as 900,000. The functionalities
of the self-service account will be developed
further in 2022. With this account, users can
see for which purposes the data collected
with their consent is used, and they can also
view their own user profiles based on this data.
In the future, it will be possible to modify the
user profile through the self-service account.
By developing the Alma ID, we increase
understanding about customer expectations
and develop our services based on the users.
CUSTOMER SATISFACTION METRICS
Alma Media’s services and media are
developed continuously. Customer
satisfaction is measured by means of
customer surveys and the Net Promotor Score
metric, in which the users are asked about
the likelihood of recommending the service
to other users on a scale of 0–10. The results
are divided into
recommenders
(score 9–10),
passive users
(score 7–8) who are satisfied
but not committed to the service to such a
degree that they would recommend it and
critics
(0–6) who have been dissatisfied with
the service received. The number of critics is
deducted from the number of recommenders,
and the result is divided by the total number
of respondents. This gives a score of -100 to
100. -100 means that all the customers are
dissatisfied and 100 that all the customers
are recommenders. In 2021, the annual NPS
average in Alma Media’s services varied from
19.7 (Vuokraovi.com) to 40.8 (Etuovi.com).
Autotalli.com, for example, had an NPS score
between these values (average 24.2). Only
some of Alma Media’s services regularly
measure customer satisfaction. Monitoring
of customer satisfaction will be developed
in 2022 through the harmonisation of the
measurement methods used in services and
the measurement frequencies.
ETHICAL SERVICE DESIGN
In Alma Media, ethical service design refers
to the planning and development of ethically
sustainable business with the purpose of,
among other things, ensuring the good
availability of our digital services to all
population groups. In Alma Media, ethical
service design also means utilising machine
learning, data and analytics ethically. We
do not create target groups consisting of
children or young people aged under 18
and, therefore, do not target any content or
advertising to such a group. The algorithms
used for targeting content do not restrict the
accessibility of content to any user group.
Alma Media has also started a survey on
the compliance of our services with the EU
accessibility directive. While the directive is
not directly binding to Alma Media’s services,
we have already started assessing the
impact of the directive’s contents on service
development and will continue this work in
2022.
GREEN SERVICE DESIGN
Alma Media’s automobile and housing services
attract 300,000–1,000,000 users per month.
Our services enable sustainable choices for
the users by offering environmental selection
criteria. In our Etuovi.com service, the user
can restrict the available choices based on
the source of heat used in the apartment.
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For example, the service offers almost 3,000
apartments with geothermal heating as the
source of heat. In a similar manner, users of
our automobile services Nettiauto.com and
Autotalli.com can choose a vehicle based on
the type of energy used, consumption and
emission category. These factors also have
a direct impact on the amount of vehicle tax
and the costs of operation. At the beginning of
2022, Nettiauto already offers approximately
2,500 options using electricity or gas as the
source of energy, and Autotalli.com service
includes almost 2,000 electric or gas vehicles.
The criteria used in these services will be
developed further, and the possibilities to
make sustainable choices in the acquisition
of a home or a vehicle will be highlighted in
communications.
Alma Media’s Nettivuokraus and Nettimarkkina
services operate in the circular economy
market and give the users the opportunity to
restrict consumption, save the environment
and favour private renting instead of buying
new consumer goods, such as equipment,
machines, cars and tools.
SUSTAINABLE CITIES AND
COMMUNITIES
The sustainability area “sustainable cities
and communities” identified in Alma Media’s
materiality analysis brings the Group
new opportunities to affect sustainable
development. Clarifying the significance of
this in business and the planning of actions
will start in 2022. We find that the principle
of materiality is met clearly since Etuovi.com
and Vuokraovi.com, our marketplaces for the
sales, buying and renting of homes, the new
digital property transaction service DIAS,
the bidding service Urakkamaailma focusing
on renovations and repairs as well as the
moving service Muuttomaailma already create
an impressive package of services related
to housing in Finland. We have significant
opportunities to impact the sustainable
development of the housing market through
cooperation between the various services
and by engaging company partners. For us,
sustainable living in cities means reducing
the climate impacts of housing, for example.
Increased digital services, digital services
supporting everyday living and the efficient
utilisation of location services reduce
unnecessary driving and movement. Different
kinds of residential community services may
also increase a feeling of togetherness among
the residents of a specific area and improve
social connections and the pleasantness of
the community. As the services of the circular
economy evolve, goods and services find
new owners efficiently in local communities
and thereby reduce the carbon footprint of
housing as well as unnecessary consumption
and storage.
COOPERATION AND PARTNERSHIPS
Thanks to its extensive cooperation with
companies, Alma Media is highly networked
in its business areas. Alma Media also has
significant social partnerships in Finland and
abroad. The Group is an active member in
the industry organisation Finnmedia, Finland
Chamber of Commerce and IAB Finland.
Collaboration with the Finnish Children and
Youth Foundation started in 2016 already
with the aim of ensuring a better future for
young people. The cooperation has included
media literacy projects, cooperation with
young climate influencers and improving
the mental well-being of young people and
preparing them for the working life. In the
next contract period, the cooperation will
focus on introducing the working life to young
people, the national TET project (Getting to
know working life) aimed at building a bridge
between employers and young people going
to lower or upper secondary school.
SUSTAINABLE DEVELOPMENT
PROJECTS IN 2021
In Finland, the most significant sustainable
development partnerships in recent years
have been related to the development of a
better working life. Our working life reporters
at Kauppalehti, Fakta and Talouselämä, our
book and training business focusing on
the development of professionals and our
significant position as a recruitment service
provider in Finland and internationally
create a strong basis for this. The Onni
työssä (Happiness at work) project launched
several years ago aims at changing the way
Finnish employees experience the working
life and well-being at work as well as in
the identification of opportunities created
by the transformation of work enhanced
by digitalisation. We have created content
articles and video interviews in cooperation
with companies such as Elisa, K Group and
Aalto University to increase transparency to
companies and good company practices that
have improved the well-being, enthusiasm and
commitment of employees.
The project has also produced concrete
tools to strengthen employee well-being, job
satisfaction and motivation in an eight-part
virtual online training open for all Finns free of
charge. The interactive sections of the course
focus on the identification of one’s strengths,
energy levels at work, learning working life
skills for the future and thereby improving
one’s motivation. The job search service
Monster also implemented an online course
package on how to find work to facilitate
employment. Together with Monster’s
course on how to find work, the Onni työssä
course reached a total of 18,000 users. With
an average of 4.6 (on a scale of 1–5), the
participants of the Onni työssä gave excellent
feedback. The Onni työssä course aimed at
professionals was followed up in cooperation
with Monster and the Finnish Children and
Youth Foundation when we implemented
a course package for young people both
in Finnish and in Swedish in autumn 2021.
The online course aimed at young people
specifically focuses on supporting the
strengths of young people in finding work,
taking care of one’s own energy levels and
strengthening future working life abilities.
Young people needing special support are
also observed. The video course materials
were distributed widely to thousands of school
contact persons for use as a supplement of
teaching materials related to getting to know
the working life.
In addition to the Onni työssä project led by
Alma Media’s Corporate Communications
function, Alma Media’s recruitment services
have several projects aimed at improving
people’s working life competencies in Eastern
Central Europe.
In Bosnia and Herzegovina, for example,
Alma Media’s Kolektiv conducted a youth
employment project funded by the Swiss
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government. In 2021, eight academies
were conducted in partnership companies,
providing training positions for 280
unemployed young people. In addition,
Kolektiv executed a project in cooperation
with World Bank, offering employment and
advice services free of charge to the long-
term unemployed and people who had lost
their job due to the COVID-19 pandemic. In
the year under review, advice services were
offered to 1,950 unemployed people and
employment services to 1,250 in this project.
The project helped 600 unemployed people
find a job. By the end of the year, 300 of these
people had been employed for at least three
months.
Furthermore, Kolektiv conducted the Most
attractive employer survey in cooperation with
Sarajevo Open Center and awarded the best
employers.
In 2021, “The Most Inclusive Employer” was
also awarded in the survey. This award was
awarded in cooperation with the Sarajevo
Open Center institution promoting human
rights and the position of women and
sexual minorities. The award was given to
the company that was the most successful
one to provide equal opportunities for
all its employees. All in all, 10,700 people
participated in the survey, nominating 500
companies in total.
In Slovakia, Profesia was awarded the
national price for its work for the promotion
of employment of people with reduced
work ability as the first private sector
company in 2021. The award was given for
the comprehensive guidebooks prepared
for people with reduced work ability about
matters related to the working life. Another
guidebook was prepared for employers with
practical instructions and advice on the
employment of people with reduced work
ability. The European Career Guidance Award
is issued by The European Euroguidance
Network. The jury found Profesia’s project
more efficient than the government’s
employment services.
Profesia has a long-term sustainability goal
to increase the competence of teaching
staff in human resource management and
recruitment. The Help with Heart project
related to this goal has been running since
2019 already. Profesia maintains the digital
Edujobs.sk service through which schools
can recruit employees free of charge and the
managers of schools can participate in the
Academy of Directors training programme to
improve their managerial skills. In 2020–2021,
21 academic managers graduated from the
programme.
In the Czech Republic, Alma Media’s leading
recruitment company LMC is already in the
third year of its cooperation with the Czechitas
association, whose mission is to increase
diversity in the IT industry and encourage
girls and women to pursue careers in the
industry. The coding courses given by the
association in previous years were ended last
year due to the COVID-19 pandemic, but LMC
helped the association to focus its projects
and courses to the correct target groups by
giving the association access to its labour
market data. In 2021, LMC also continued
its programme under which it offers its
recruitment services to NGOs and non-profits
in exchange for a nominal fee of one euro.
Almost 700 NGOs and non-profits participated
in the programme. In the year under review,
the actual value of the services amounted to
approximately MEUR 7.3, and almost 7,000
jobs were opened in the programme. LMC
has also offered NGOs and non-profits access
to its other services – such as the Seduo.
cz online training service and the Arnold
survey tool – for a nominal fee. In addition
to supporting NGOs and non-profits, LMC
helped the residents of the Moravia province
who suffered tornado damage in summer 2021.
LMC’s employees raised almost 5,000 euros of
their own funds for people living in Moravian
villages.
MojPosao, Alma Media’s leading recruitment
service provider in Croatia, promotes the
development of the working life by its
annual employee satisfaction survey aimed
at companies. Companies volunteer to
participate in the survey that was launched in
2007, and the employees of the participating
companies evaluate their employer. The
winners of the survey are awarded Best
employee awards each year.
MojPosao also awards The Best HR Practice
Award for the best HR practices to highlight
companies and organisations as well as teams
and individuals who excel in HR management
and thereby improve the quality of the
working life of their employees and the results
of work. The award has been given since
2010 under the name of the MojPosao site. In
the year under review, MojPosao organised
a campaign on the International Women’s
Day to increase awareness of the unequal
treatment of women in the labour market
with regard to inequal pay and discrimination.
In the year under review, the Women’s Day
campaign was executed in the form of job
advertisement where the job title was given
in the feminine form. The campaign was
supported by the Ombudsperson for Gender
Equality in Croatia.
FOCUS AREAS FOR THE DEVELOPMENT
IN 2022
In 2021, Alma Media aims to further increase
the impact of its cooperation with companies
and its social projects to promote sustainable
development. The resources will be focused
on the Group’s sustainability strategy and on
the key themes in terms of the opportunities
for impact resulting from the Group’s business
identified based on the recent materiality
analysis. The materiality areas related strongly
to the Group’s service operations and brands
as well as the related development goals
will be specified in more detail in 2022, and a
progress plan and indicators describing the
progress will be set for each area.
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ENVIRONMENT
• Minimising CO2 emissions
SOCIAL RESPONSIBILITY
• Responsible media, journalism and marketing
• Commitment of employees and ensuring a high quality of working life
OBJECTIVE FOR 2030
Reduction of greenhouse gas emissions from own operations by 46% and those arising from
the subcontracting chain by 14%
OBJECTIVE FOR 2022
Annual reduction of greenhouse gas emissions from own operations by 4.3% and those arising
from the subcontracting chain by 1.2%
OBJECTIVE FOR 2022
Condemnatory decisions issued to media by the Council for Mass Media < 5
OBJECTIVE FOR 2022
The Group does not publish any advertisements that violate the guidelines of good marketing
practices published by the International Chamber of Commerce
OBJECTIVE FOR 2022
8/10 of Alma Media’s employees would recommend their employer
OBJECTIVE FOR 2022
Quality of Working Life index (QWL) over 83%
Objectives of Alma Media’s sustainability programme for 2022
GOOD GOVERNANCE
• Preventing corruption, bribery and human rights violations in the business operations.
• Ensuring the data security of using the leading services in the market and preventing
serious data security breaches
OBJECTIVE FOR 2022
100% of Alma Media employees have taken the Code of Conduct course
OBJECTIVE FOR 2022
50% of key subcontractors have committed themselves to observing the Group’s Code of
Conduct
CONTINUOUS OBJECTIVE
There were no serious data security breaches in the Group’s services.
FINANCIAL OBJECTIVE
• Profitable business growth
OBJECTIVE
Long-term targets published by the Group (see almamedia.fi)
Alma Media updated its sustainability programme based on a comprehensive materiality analysis in 2021. Objectives were set for the
sustainability, and key indicators were specified.
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Table 10: Information in accordance with TCFD
Strategy The impacts of climate-related risks and opportunities on the organisation’s
businesses, strategy, and financial planning
Financial risks are assessed as a part of the annual Group-level risk assessment process. The
thresholds apply to all the risks in the Group’s business segment and operations. The financial or
strategic impacts of the risks are classified as:
• substantial if the probabilities of the realisation of the risk within 6 months is high and if the net loss is
over 10 million euros (high risk)
• significant if the net loss is 5–10 million euros (medium risk)
• minor if the net loss is 1–5 million euros (small risk).
Strategy Climate-related risks and opportunities on the short, medium and long term In the short term, warmer winters will complicate the harvesting of wood by the paper suppliers that
operate as Alma’s subcontractors, which may lead to higher paper prices. Increasingly strict national
and EU-level climate regulations may also have cost impacts in Alma Media’s subcontracting chain.
Changes involving paper and delivery costs have an effect on the costs of print publications, for
example. In the longer term, increasing extreme weather phenomena caused by climate change
are predicted to increase the risk of technical disruptions to digital services in Alma Media’s various
operating countries. The Group manages its environmental risks by systematically developing its
operations in accordance with the Group’s science-based climate targets (SBTs) and by engaging in
active environmental dialogue with its key suppliers.
Risk management Links of the climate risk identification, assessment and management to other
risk management within the organisation
Financial risks are assessed as a part of the annual Group-level risk assessment process. With regard
to climate risks, the Group has identified the risks of, for example, extreme weather conditions,
increased regulation, emission trade pricing and the pricing mechanism as well as changes in
customer behaviour related to climate change. The Group has also identified the impacts of these risks
on the operational costs, including the price of insurance.
Risk management The processes used by to identify and assess climate-related risks Climate-related risks are identified and assessed as a part of the annual Group-level risk assessment
process. This covers the Group’s marketing and operating environment, operational and business
aspects as well as the current and future framework of regulation and reputational risks.
Metrics and targets Scope 1, Scope 2 and Scope 3 emissions and the risks related to them Content in Alma Media’s Annual Review by the Board of Directors: Statement of non-financial
information/Environmental responsibility p. 6, 23–24, and p. 142–143, 152–157 of the Sustainability report
Metrics and targets The targets and results used to manage relevant climate-related risks and
opportunities
Content in Alma Media’s Annual Review by the Board of Directors: Statement of non-financial
information/Environmental responsibility p. 28–29, and p. 154 of the Sustainability report
Alma Media continuously develops its financial reporting related to the climate. One of the new aspects of this report is the description of financial risks and opportunities related to the climate
according to the TCFD recommendations (Task Force on Climate-related Financial Disclosures). In accordance with the TCFD recommendations, they are described in four subject areas:
governance, strategy, risk management and metrics and targets.
CALCULATION AND DATA COLLECTION PRINCIPLES FOR CR REPORTING
Alma Media uses the GRI Standards of the Global Reporting Initiative and the instructions of the Sustainable Accounting Standard Board, where applicable, in its sustainability reporting. As a gen-
eral rule, the reporting covers all of Alma Media Group. Responsible media is still also reported under the GRI-G4 guidelines. The aspect boundaries and GRI and SASB aspects used in Alma
Media’s sustainability reporting are presented in the tables on pages 174–179. The 2021 report has not been subject to independent assurance.
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GRI Indicator Location More information
Organisation
102-1 Name of the organisation Alma Media
102-2 Activities, brands, products and services Report by the Board of Directors p. 7, 17–19, 21
102-3 Location of headquarters
www.almamedia.fi/yhteystiedot
102-4 Location of operations Finland, Czech Republic, Slovakia, Estonia, Latvia, Lithuania,
Croatia, Bosnia and Herzegovina, Sweden, Poland, Slovenia
102-5 Ownership and legal form Report by the Board of Directors p. 35
102-6 Markets served Financial statements p. 96
102-7 Scale of the organisation Report by the Board of Directors p. 28,
Sustainability report p. 161
102-8 Information on employees and other workers p. 161
102-9 Supply chain p. 156–157
102-10 Significant changes to the organisation and its supply chain Financial statements p. 46,
Report by the Board of Directors p. 14, 16
102-11 Precautionary Principle or approach p. 13–15, 16–17
102-12 Externally-developed initiatives to which the organisation subscribes,
or which it endorses
p. 147, 149
102-13 Memberships of associations and advocacy organisations p. 147, 149
Strategy
102-14 CEO’s review p. 142, Report by the Board of Directors p. 3–4
102-15 Key impacts, risks, and opportunities Report by the Board of Directors p. 21–30
Ethics and integrity
102-16 Values, principles, standards, and norms of behavior Report by the Board of Directors p. 19
102-17 Mechanisms for advice and concerns about ethics p. 150, 160
Governance
102-18 Governance structure p. 149, Corporate Governance Statement p. 115
102-19 Delegating authority p. 149, Corporate Governance Statement p. 119–120
102-20 Executive-level responsibility p. 149
102-21 Consulting stakeholders p. 145–146, 149
102-22 Composition of the Board of Directors Corporate Governance Statement 115–119
102-23 Chair of the Board of Directors Corporate Governance Statement 115–119
102-24 Nominating and selecting the Board of Directors Corporate Governance Statement 115–120
GRI index
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GRI Indicator Location More information
102-25 Process in place for the Board to ensure conflicts of interest are avoided p. 157, Financial statements p. 87, Corporate Governance
Statement p. 127, Sustainability report p. 151
102-26 Role of the Board of Directors in setting purpose, values and strategy Corporate Governance Statement 115–120
102-27 Collective knowledge of the Board of Directors Corporate Governance Statement 115–120
102-28 Evaluating the Board of Directors’ performance Corporate Governance Statement 115–120
102-29 The Board of Directors’ role in identifying and managing impacts and risks p. 149, Corporate Governance Statement p. 113–114
102-30 Effectiveness of risk management processes Corporate Governance Statement p. 128–129
102-31 Frequency of the Board of Directors’ reviews of risks Report by the Board of Directors p. 28–29
102-32 The Board of Directors’ role in sustainability reporting p. 149
102-33 Communicating critical concerns Report by the Board of Directors p. 22
102-34 Nature and total number of critical concerns Report by the Board of Directors p. 22
102-35 Remuneration of the Board and senior executives Remuneration report p. 134–139
102-36 Process for determining remuneration Remuneration report p. 134–139
102-40 List of stakeholder groups engaged by the organisation p. 146
102-41 Percentage of total employees covered by collective bargaining agreements Alma Media complies with the labour legislation in
all its operating countries. Information about the
number of employees covered by collective bargaining
agreements is available for the business operations
in Finland and Sweden. In Finland, 62% of employees
were covered by collective agreements at the end of
2020. In 2020, Alma Media sold its regional news media
business and printing operations, and the number
of organised employees is reported while taking
this divestment into consideration. All Alma Media’s
employees in Sweden were covered by collective
agreements in 2020. The divestment of the media
business in Sweden has been taken into account in the
reported number.
Stakeholder interaction
102-42 Basis for identification and selection of stakeholders with whom to engage p. 145
102-43 Approach to stakeholder engagement p. 146
102-44 Key topics and concerns raised through stakeholder engagement p. 146
Reporting practice
102-45 Entities included in the consolidated financial statements p. 141
102-46 Defining the report content p. 145, 173
102-47 Material topics and their calculation boundaries p. 145, 173
102-48 Restatements of information p. 173
102-49 Significant changes in the scope and topic boundaries p. 173
102-50 Reporting period 1 January–31 December 2020
102-51 Date of most recent report 2 April 2020
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GRI Indicator Location More information
102-52 Reporting cycle Annual
102-53 Contact point for questions regarding the report comms@almamedia.fi
102-54 Claims of reporting in accordance with the GRI Standards p. 173
102-55 GRI content index p. 174
102-56 External assurance p. 173
Management approach
103-1 Material topics and their Boundaries p. 142
103-2 The management approach and its components p. 149
103-3 Evaluation of the management approach p. 149
Economic standards
Economic performance
201-1 Direct economic value generated and distributed Report by the Board of Directors p. 21
201-4 Financial assistance received from government p. 166
Anti-corruption
205-1 Operations assessed for risks related to corruption Code of Conduct training, p. 11–12
205-2 Communication and training about anti-corruption policies and procedures Code of Conduct training, p. 11–12
205-3 Confirmed incidents of corruption and the actions taken p. 151
Anti-competitive behaviour
206-1 Legal actions for anti-competitive behavior, anti-trust and
monopoly practices
p. 151
Environmental standards
Energy
302-1 Energy consumption within the organisation p. 153
302-2 Energy consumption outside of the organisation p. 153
Emissions
305-1 Direct (Scope 1) GHG emissions p. 153
305-2 Energy indirect (Scope 2) GHG emissions p. 153
305-3 Other indirect (Scope 3) GHG emissions p. 153, 156
305-4 GHG emissions intensity p. 153
305-5 Reduction of GHG emissions p. 153, 156
307-1 Non-compliance with the environmental laws and regulations p. 153
308-1 New suppliers were screened using environmental criteria p. 156
308-2 Negative environmental impacts in the supply chain and actions taken p. 156–157
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GRI Indicator Location More information
Social standards
Employee turnover
401-1 New employee hires and employee turnover p. 163–164
Training and education
404-1 Average hours of training per year per employee 404-1
404-2 Programs for upgrading employee skills and transition assistance programs p. 163–164
404-3 Percentage of employees receiving regular performance and career
development reviews
p. 163
Diversity and equal opportunity
405-1 Diversity of governance bodies and employees p. 160–161
405-2 Ratio of basic salary and remuneration of women to men
Non-discrimination
406-1 Incidents of discrimination and corrective actions taken p. 160
414-1 New suppliers that were screened using social criteria p. 160
414-2 Negative social impacts in the supply chain and actions taken p. 156–157
Public policy
415-1 Political contributions p. 166
Marketing and labelling
417-3 Incidents of non-compliance with regulations and/or voluntary
codes concerning marketing communications
p. 167–168
Customer privacy
418-1 Total number of substantiated complaints received concerning breaches of
customer privacy and losses of customer data
p. 158
Compliance
419-1 Non-compliance with the laws and regulations in the social and economic area p. 151
Content in accordance with GRI G4
Standards applicable to the media sector
G4-M1 Significant funding and other support received from non-governmental sources p. 166
G4-M2 Methodology for assessing and monitoring adherence to content creation values p. 166
G4-M3 Actions taken to improve adherence to content creation values p. 166
G4-M4 Content accessibility, protection of vulnerable audiences and informed deci-
sion-making
p. 166
G4-M7 Actions taken to empower audiences through media literacy skills development p. 170
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 178ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
Principle Location
Human rights
Principle 1: Businesses should support and respect the protection of internationally proclaimed human rights. Code of Conduct, Sustainability Report p. 150–151, 160–161
Principle 2: Businesses should make sure that they are not complicit in human rights abuses. Code of Conduct, Sustainability Report p. 150–151, 160–161
Careers
Principle 3: Businesses should uphold the freedom of association and the effective recognition of the right to collective
bargaining.
Code of Conduct, Sustainability Report p. 175
Principle 4: Businesses should support the elimination of all forms of forced and compulsory labour. Code of Conduct, Sustainability Report p. 150–151, 160–161
Principle 5: Businesses should support the effective abolition of child labour. Code of Conduct, Sustainability Report p. 150–151, 160–161
Principle 6: Businesses should support the elimination of discrimination in respect of employment and occupation. Code of Conduct, Sustainability Report p. 150–151, 160–161
Environment
Principle 7: Businesses should support a precautionary approach to environmental challenges. Sustainability Report p. 152–154, 156–157
Principle 8: Businesses should undertake initiatives to promote greater environmental responsibility. Sustainability Report p. 152–154, 156–157
Principle 9: Businesses should encourage the development and diffusion of environmentally friendly technologies. Code of Conduct, Sustainability Report p. 152
Anti-corruption
Principle 10: Businesses should work against corruption in all its forms, including extortion and bribery. Code of Conduct, Sustainability Report p. 150, 160
Global Compact content index
FINANCIAL
STATEMENTS
REPORT BY THE
BOARD OF DIRECTORS
THE YEAR
2021
CORPORATE
GOVERNANCE STATEMENT
REMUNERATION
REPORT 179ANNUAL REPORT 2021
SUSTAINABILITY
REPORT
SASB compliance Location More information
TC-IM-520a.1 Total amount of monetary losses as a result of legal proceedings associated with anticompetitive behavior regulations p. 151
SV-ME-270a.3 Description of approach for ensuring journalistic integrity of news programming related to: (1) truthfulness, accuracy, objectivity, fairness, and
accountability, (2) independence of content and/or transparency of potential bias, and (3) protection of privacy and limitation of harm
p. 166
SV-ME-520a.1 Description of approach to ensuring intellectual property (IP) protection p. 157
SV-ME-270a.1 Total amount of monetary losses as a result of legal proceedings associated with libel or slander p. 151
SV-ED-230A.1
CG-EC-230A.1
TC-IM-230A.2
Description of approach to identifying and addressing data security risks, including use of third-party cybersecurity standards p. 157
SV-ED-230A.2 Description of policies and practices relating to collection, usage and retention of student information p. 157
SV-ED-230A.3
CG-EC-230A.1
TC-IM-230A.1
(1) Number of data security breaches, (2) percentage involving personally identifiable information (PII), (3) number of users affected p. 157
CG-EC-220A.1
TC-IM-220A.1
Number of users whose information is used for secondary purposes p. 157
CG-EC-220A.2
TC-IM-220A.1
Description of policies and practices relating to behavioral advertising and user privacy p. 157
TC-IM-220A.3 Total amount of monetary losses as a result of legal proceedings associated with user privacy p. 151
SV-ME-260A.2 Description of policies and procedures to ensuring pluralism in news media content p. 166
SV-ME-260a.1
TC-IM-330A.3
Percentage of gender and racial/ethnic group representation for (1) management, (2) technical staff and (3) all other employees p. 160
p. 160–161
TC-IM-330A.1 Percentage of employees that are foreign nationals p. 161
TC-IM-330A.2 Employee engagement as a percentage, 5 p. 164
TC-IM-130A.3 Discussion of the integration of environmental considerations into strategic planning for data center need p. 152
Sustainability reporting in accordance with the SASB
(Sustainable Accounting Standard Board)
Reporting Framework
NASDAQ ESG Location
G6.1 Does your company follow an Ethics and/or Anti-Corruption policy? p. 150
G6.2 If yes, what percentage of your workforce has formally certified its compliance with the policy? p. 150
Alma Media Corporation
Alvar Aallon katu 3 C, FI-00100 Helsinki, Postal address: P.O. Box 140, FI-00101 Helsinki
Tel. +358 (0)10 665 000, firstname.lastname@almamedia.fi, almamedia@almamedia.fi