2023
Financial
Statements
Report of
the board of directors
Report of the board of directors 1
Shares and shareholders 8
Board’s proposal for distribution
of profits 10
Investor information 11
Financial Statements 2023
Report of the
board of directors
Shares and
shareholders
Board’s proposal for the
distribution of profits
Investor
information
1Financial Statements 2023
Report of the board of directors 2023
TOIMINTAKERTOMUS
Market situation
The competitive environment has been active,
especially in 4G subscriptions. The usage of mobile
services has continued to evolve favourably. Brisk
demand for 5G services has also continued due to the
wider range of 5G devices and better network coverage.
The current geopolitical situation has also increased the
demand for cybersecurity services. Competition in the
fixed broadband market has continued to be intense,
and the number and usage of traditional fixed network
subscriptions is declining.
The markets for IT services have continued to develop
favourably. Demand for other digital services is also
growing well. The prevailing uncertainty in the general
economy and increased interest rates have caused
some companies to delay investment decisions and
project implementation.
Revenue, earnings and financial position
Revenue increased by 2 per cent on the previous year,
mainly due to growth in mobile, fixed, domestic and
international digital services, as well as equipment sales.
Decreases in usage and subscriptions of traditional
fixed telecom services, and in interconnection and
roaming revenue, affected revenue negatively. In
addition, the divestment of Videra and the end of
our video streaming cooperation negatively affected
domestic and other digital services revenue.
Comparable EBITDA increased by 3 per cent and
comparable EBIT by 3 per cent, mainly due to revenue
growth and efficiency improvement measures.
Net financial income and expenses increased to
EUR –23 million (–13), mainly due to increased interest
Revenue, earnings and financial position
EUR million 2023 2022 2021
Revenue 2,180 2,130 1,998
EBITDA 756 733 697
EBITDA-% 34.7% 34.4% 34.9%
Comparable EBITDA
(1
756 735 706
Comparable EBITDA-% 34.7% 34.5% 35.3%
EBIT 482 470 431
EBIT-% 22.1% 22.1% 21.6%
Comparable EBIT
(1 (2
487 472 439
Comparable EBIT-% 22.4% 22.2% 22.0%
Return on equity, % 29.4% 30.4% 28.8%
1)
2022 excluding EUR 2 million in restructuring costs and 2021 excluding EUR 8 million in restructuring costs.
2)
2023 excluding EUR 6 million impairment.
rates. Income taxes in the income statement were
EUR –84 million (–83). Comparable net profit was
EUR 379 million (374), and earnings per share were
EUR 2.34 (2.33). Comparable earnings per share was
EUR 2.37 (2.34).
Financial position
Comparable cash flow after investments increased by
12 per cent to EUR 361 million. The positive change
in net working capital, higher EBITDA and lower taxes
affected cash flow positively, while higher capital
expenditure and financial expenses had negative
effects.
The financial position and liquidity are strong. Cash
and undrawn committed credit lines totalled EUR 363
million at the end of the reporting period.
Changes in corporate structure
In November, the businesses of Elisa’s subsidiary
Elisa Videra and the German company MVC Mobile
VideoCommunication GmbH (owned by KLP
Vermögensverwaltungs GmbH) combined to form
MVC Videra. KLP has a 62.5% holding and Elisa 37.5%
of MVC Videra. After the transaction, MVC Videra is
consolidated to Elisa Group as an associated company
rather than a subsidiary.
Financial position
EUR million 2023 2022 2021
Net debt 1,304 1,276 1,219
Net debt / EBITDA
(1
1.7 1.7 1.7
Gearing ratio, % 100.8% 101.9% 101.2%
Equity ratio, % 41.6% 40.6% 39.9%
Cash flow
(2
347 300 322
Comparable cash flow
(3
361 321 338
1)
(Interest-bearing debt – financial assets) / (four previous quarters’ comparable EBITDA)
2)
Cash flow after financing activities.
3)
2023 excluding EUR 14 million in share and business investments and sales. 2022 excluding EUR 21 million in share investments and
2021 excluding EUR 16 million in share investments.
Report of the
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shareholders
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distribution of profits
Investor
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2Financial Statements 2023
Consumer Customers business
EUR million 2023 2022 2021
(1
Revenue 1,335 1,301 1,243
EBITDA 521 496 476
EBITDA-% 39.0% 38.1% 38.3%
Comparable EBITDA
2)
521 497 479
Comparable EBITDA-% 39.0% 38.2% 38.6%
EBIT 342 322 302
EBIT-% 25.6% 24.7% 24.3%
Comparable EBIT
(2 (3
344 323 305
Comparable EBIT-% 25.8% 24.9% 24.6%
CAPEX 213 191 169
1)
Allocation rules between segments were specified in 2022, and the comparable figures in 2021 have been updated
2)
2022 excluding EUR 1.6 million and 2021 excluding EUR 3.2 million in restructuring costs.
3)
2023 excluding EUR 3 million impairment.
Revenue increased by 3 per cent. Mobile and fixed services as well as equipment sales affected revenue positively,
while it was negatively affected by interconnection and roaming revenue, as well as the decrease in traditional
fixed telecom services. In addition, ending the video streaming service cooperation negatively affected domestic
digital services revenue. Comparable EBITDA increased by 5 per cent, mainly due to revenue growth and efficiency
improvement measures.
Corporate Customers business
EUR million 2023 2022 2021
(1
Revenue 846 829 755
EBITDA 235 238 221
EBITDA-% 27.8% 28.7% 29.3%
Comparable EBITDA
(2
235 238 227
Comparable EBITDA-% 27.8% 28.7% 30.0%
EBIT 140 148 129
EBIT-% 16.6% 17.9% 17.1%
Comparable EBIT
(2 (3
143 148 134
Comparable EBIT-% 16.9% 17.9% 17.7%
CAPEX 108 99 96
1)
Allocation rules between segments were specified in 2022, and the comparable figures in 2021 have been updated.
2)
2022 excluding EUR 0.4 million and 2021 excluding EUR 5.2 million in restructuring costs.
3)
2023 excluding EUR 3 million impairment.
Revenue increased by 2 per cent. Revenue was positively affected by growth in mobile, fixed and international digital
services, whereas the decrease in equipment sales and traditional fixed services had a negative effect. In addition, the
divestment of Videra negatively affected domestic and other digital services revenue. Comparable EBITDA decreased
by 1 per cent.
Report of the
board of directors
Shares and
shareholders
Board’s proposal for the
distribution of profits
Investor
information
3Financial Statements 2023
Investments
EUR million 2023 2022 2021
Capital expenditure
(1
, of which 321 290 265
Consumer Customers 213 191 169
Corporate Customers 108 99 96
Shares
12 25 28
Total investments 333 314 293
Shares and business acquisitions 25 25 28
Licences 2 9
Leases
23 26 18
Capital expenditure excluding leases, licences,
shares and business acquisitions 284 255 247
Capital expenditure as % of revenue 13 12 12
1)
2023 includes EUR 2 million for the 26 GHz frequency licence investment in Estonia. 2022 includes EUR 7 million for the 3.5 GHz and
EUR 2 million for the 700 MHz frequency licence investments in Estonia.
The main capital expenditures were related to the capacity and coverage increases in 5G networks, fibre and other
networks, as well as IT investments.
Personnel
In 2023, the average number of personnel at Elisa was 5,721 (5,523), and employee expenses totalled EUR 417 million
(395). Personnel by segment at the end of the year:
31 Dec 23 31 Dec 22 31 Dec 21
Consumer Customers 2,976 2,939 2,845
Corporate Customers
2,690 2,684 2,526
Total 5,666 5,623 5,371
Sustainability
Key ESG indicators 4Q23 4Q22 4Q21
Energy efficiency of mobile network in Finland
Change in energy consumption per GB from Q4 2021
level –26.1% –5.7% -
Population coverage of >100 Mbps connections 92.5% 86.2% 72.6%
Proportion of female supervisors 28.7% 29.6% 27.4%
Patent portfolio development
Number of active patents portfolio
(1
396 337 265
Number of new first applications 11 12 19
1)
Number of active patent applications and patents.
All key figures will be published in assured annual sustainability report, during week 11.
Financing arrangements and ratings
EUR million
Maximum
amount
In use on
31 Dec 2023
Committed credit limits 300 0
Credit facility (not committed) 100 0
Commercial paper programme (not committed) 350 35
EMTN programme (not committed)
1,500 1,148
Long term credit ratings Rating Outlook
Credit rating agency
Moody's Investor Services Baa2 Stable
S&P Global Ratings
BBB+ Stable
On 5 September 2023, Elisa paid back a EUR 150 million loan to the European Investment Bank.
On 27 September 2023, Elisa issued a fixed-rate, EUR 300 million Green Eurobond that matures on 29 January 2029
under the EUR 1.5 billion EMTN Programme. The coupon is 4.00 per cent, and the issue price was 99.585.
On 26 September 2023, Elisa announced that it has purchased its bonds due in March 2024 in the amount of
EUR 51.97 million. The purchase price was 98.57 per cent. After the purchase, EUR 248.03 million of the March 2024
bonds remain outstanding.
In September, Elisa agreed with six banks to extend its EUR 130 million Sustainability-linked Revolving Credit Facility
for two years, from September 2026 to September 2028.
Report of the
board of directors
Shares and
shareholders
Board’s proposal for the
distribution of profits
Investor
information
4Financial Statements 2023
Share
Share trading volumes are based on trades made on the Nasdaq Helsinki and alternative marketplaces. Closing prices
are based on the Nasdaq Helsinki.
Trading of shares 2023 2022 2021
Nasdaq Helsinki, millions 64.4 71.2 81.6
Other marketplaces, millions
(1
186.0 208.4 167.3
Total volume, millions 250.4 279.6 248.9
Value, EUR million 12,259.4 14,575.8 12,698.1
% of shares 149.6% 167.1% 148.7%
Shares and market values 2023 2022 2021
Total number of shares 167,335,073 167,335,073 167,335,073
Treasury shares 6,946,654 7,075,378 7,147,772
Outstanding shares 160,388,419 160,259,695 160,187,301
Closing price, EUR 41.87 49.46 54.12
Market capitalisation, EUR million 7,006 8,276 9,056
Treasury shares, % 4.15% 4.23% 4.27%
Number of shares Total Treasury Outstanding
Shares on 31 Dec 2022 167,335,073 7,075,378 160,259,695
Performance Share Plan, 1 Feb 2023
(2
–127,539 127,539
Restricted Share Plan, 5 Sep 2023
(3
–1,185 1,185
Shares on 31 Dec 2023 167,335,073 6,946,654 160,388,419
1)
Other marketplaces: based on Bloomberg.
2)
Stock exchange release, 1 February 2023.
3)
Stock exchange release, 5 September 2023.
On 1 February 2023, Elisa transferred 127,539 treasury shares to people included in the Performance Share Plan for
the period 2020–2022.
In February, Elisa’s Board of Directors decided on the vesting period for the Restricted Share Plan 2019. The vesting
period, with a total allocation of 2,500 shares, ends on 31 December 2023. The purpose of using the plan is to engage
a number of key persons in Elisa businesses.
On 5 September 2023, Elisa transferred 1,185 treasury shares to persons belonging to the Restricted Share Plan 2019
for the commitment period 2020–2022.
In November, Elisa’s Board of Directors decided on the vesting period for the Restricted Share Plan 2023. The vesting
period, with a total allocation of 334 shares, ends on 31 December 2024. The purpose of using the plan is to engage a
number of key persons in Elisa businesses.
Research and development
The majority of service development occurs during the
ordinary course of business and is accounted for as a
normal operating expense. Elisa invested EUR 24 million
(21) in research and development, of which EUR 9
million (8) was capitalised in 2023, corresponding to 1.1
per cent (1.0) of revenue.
Annual General Meeting 2023
On 5 April 2023, Elisa’s Annual General Meeting decided
to pay a dividend of EUR 2.15 per share based on the
adopted financial statements for 31 December 2022.
The dividend was paid on 19 April 2023 to shareholders
registered in the company’s shareholder register
maintained by Euroclear Finland Ltd on 11 April 2023.
The Annual General Meeting adopted the financial
statements for 2022. The members of the Board of
Directors and the CEO were discharged from liability
for 2022. The Annual General Meeting approved the
Remuneration Report of the Company’s governing
bodies for 2022.
The number of the members of the Board of Directors
was confirmed at eight (8). Mr Maher Chebbo, Mr Kim
Ignatius, Ms Katariina Kravi, Ms Pia Kåll, Mr Topi Manner
(until 18 August 2023, see stock exchange release, 18
August 2023), Ms Eva-Lotta Sjöstedt, Mr Anssi Vanjoki
and Mr Antti Vasara were re-elected as members of the
Board of Directors. Mr Anssi Vanjoki was appointed as
the Chair and Ms Katariina Kravi as the Deputy Chair of
the Board of Directors.
The AGM decided that the amount of annual
remuneration for the members of the Board of
Directors be changed. The Chair is paid annual
remuneration of EUR 140,000, the Deputy Chair and the
Chairs of the Committees EUR 86,000, and other Board
members EUR 71,000. Additionally, Board members
receive a fee of EUR 800 per meeting of the Board or of
a committee. However, if a Board member is physically
present at a Board or committee meeting that is held in
a country other than his/her permanent home country,
the meeting fee is EUR 1,600.
KPMG Oy Ab, Authorised Public Accountants
Organisation, was re-elected as the company’s auditor.
Toni Aaltonen, APA, is the responsible auditor.
The AGM decided to amend the first paragraph of
Section 11 of the Articles of Association to allow the
General Meeting to also be held remotely without a
meeting venue if the Board of Directors so decides, and
to change the title of Section 11 to “General Meeting
of Shareholders” so that the title covers not only the
Annual General Meetings, but also any Extraordinary
General Meetings.
Composition of the Committees of
the Elisa’s Board of Directors
The Board of Directors held its organising meeting
and appointed Ms Katariina Kravi (chair), Mr Maher
Chebbo, and Ms Eva-Lotta Sjöstedt to the People and
Compensation Committee. Mr Kim Ignatius (chair), Ms
Pia Kåll, Mr Topi Manner (until 18 August 2023, see
stock exchange release, 18 August 2023) and Mr Antti
Vasara were appointed to the Audit Committee.
Authorisations of the Board of Directors
The Annual General Meeting decided to authorise the
Board of Directors to resolve to repurchase or accept
as pledge the company’s own shares. The repurchase
may be directed. The number of shares under this
authorisation is 5 million shares at maximum. The
authorisation is valid for 18 months from the date of
the resolution of the General Meeting.
The Annual General Meeting decided to authorise
the Board of Directors to pass a resolution concerning
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distribution of profits
Investor
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5Financial Statements 2023
a share issue, the right of assignment of treasury
shares and/or the granting of special rights referred
to in the Companies Act. The authorisation entitles the
Board of Directors to execute the issue as directed.
The number of shares under this authorisation is 15
million shares at maximum. The authorisation is valid
for 18 months from the date of the resolution of the
General Meeting.
Elisa Shareholders’ Nomination Board
The biggest shareholders were determined according to
Elisa’s shareholder register on 31 August 2023, and they
named the members of the Nomination Board. The
composition of the Nomination Board since September
2023 has been as follows:
• Mr Pauli Anttila, Investment Director, nominated by
Solidium Oy
• Mr Jouko Pölönen, President and CEO, nominated by
Ilmarinen Mutual Pension Insurance Company
• Mr Markus Aho, Chief Investment Officer, nominated
by Varma Mutual Pension Insurance Company
• Mr Jukka Vähäpesola, Head of Equities (Ms Hanna
Hiidenpalo, until 15 September 2023), nominated by
Elo Mutual Pension Insurance Company
• Mr Anssi Vanjoki, Chair of the Board of Elisa
The Nomination Board elected from amongst its
members Mr Pauli Anttila as the chair.
Elisa’s Shareholders’ Nomination Board was
established in 2012 by the Annual General Meeting.
Its duty is to prepare proposals for the election
and remuneration of the members of the Board of
Directors of Elisa for the Annual General Meeting.
Significant legal and regulatory issues
In January 2023, Elisa initiated arbitration proceedings
against Azerion related to Azerion’s payment obligation
for the shares in Sulake. Azerion fulfilled the payment
obligation, and the arbitration has ended.
In February, Elisa returned the 3.5 GHz frequency
licence in the province of the Åland Islands.
The Estonian auction for the 26 GHz spectrum ended
on 10 May 2023. Elisa met its target and won 800 MHz
of spectrum. The new spectrum is being used to build
Elisa’s 5G network.
Transposition in Finland of EU Directive 2022/2523
ensuring a global minimum level of taxation for
multinational enterprise groups and large-scale
domestic groups in the European Union was completed
in the fourth quarter of 2023, and the legislation came
into force on 1 January 2024. This change is estimated
to have an impact on taxes in the income statement for
Elisa’s Estonian business from 2024 onwards.
In July 2020, Tucana Telecom NV initiated legal
proceedings against Polystar OSIX AB in the Business
Court of Brussels with a claim of infringement of
exclusivity included in a distribution agreement and also
of wrongful termination of the distribution agreement.
This case has been resolved pursuant to a judgement
issued on 10 June 2022. The claim against Polystar OSIX
AB was dismissed in full by the court, and consequently,
no compensation or damages were awarded to the
claimant. The decision has been appealed.
After a tax audit on foreign dividend withholding tax,
Elisa received a decision in April 2021 according to
which it is required to pay a total of EUR 1.7 million in
allegedly wrongly levied withholding taxes relating to
the years 2015 and 2016. The Board of Adjustment of
the Finnish Tax Authority issued a ruling in November
2022 in favour of Elisa. The ruling has been appealed by
the Tax Recipients’ Legal Services Unit and is therefore
not final and binding.
In November 2021, the Estonian parliament adopted
amendments to the Electronic Communications Act
aimed at supplementing national security requirements.
The amendments entered into force on 1 February
2022. Based on these amendments, on 25 November
2022, Estonia’s Consumer Protection and Technical
Regulatory Authority issued a decision stating that
usage of Huawei hardware and software in 5G mobile
networks in Estonia is permitted only until 31 December
2025, and until 31 December 2029 in earlier generation
(2G–4G) networks and fixed networks. On 1 December
2022, Elisa appealed the decision to the Estonian
Administrative Court, as Elisa is being forced to replace
the Huawei hardware and software currently used in
its networks, but there is no compensation system in
place.
Substantial risks and uncertainties
associated with Elisa’s operations
Risk management is part of Elisa’s internal control
system. It aims to ensure that risks affecting the
company’s business are identified, influenced and
monitored. The company classifies risks into strategic,
operational, hazard and financial risks.
Strategic and operational risks:
The telecommunications industry is intensely
competitive in Elisa’s main market areas, which
may have an impact on Elisa’s business. The
telecommunications industry is subject to heavy
regulation. Elisa and its businesses are monitored
and regulated by several public authorities. This
regulation also affects the price level of some products
and services offered by Elisa and may also require
investments that have long payback times.
Elisa processes different kinds of data, including
personal and traffic data. Therefore, the applicable
data protection legislation, especially the General Data
Protection Regulation, has a significant impact on Elisa
and its businesses.
The rapid developments in telecommunications
technology may have a significant impact on Elisa’s
business.
Changes in governmental relationships, including
in the security environment, may increase the risk
of restrictions being imposed on equipment from
particular network providers that is also used in Elisa’s
network. This could have financial or operational
impacts on Elisa’s business.
Elisa’s main market is Finland, where the number of
mobile phones per inhabitant is among the highest
in the world and growth in subscriptions is therefore
limited. Furthermore, the volume of phone traffic on
the fixed network has been decreasing during recent
years. These factors may limit opportunities for growth.
New international business expansion and possible
future acquisitions abroad may increase risks.
Elisa is liable to pay direct and indirect taxes and
withholding taxes in the countries in which it operates.
Changes in tax authorities’ interpretation of tax
laws may lead to an increase in the tax burden for
corporations.
Uncertainty relating to regional conflicts globally,
especially Russia’s war in Ukraine is continuing. This is
expected to affect the general economic environment,
e.g. inflation and energy prices. Challenges in global
supply chains may also result in uncertainties in
volumes and prices. Disturbances related to running
infrastructure may also occur, for example due to cyber
incidents. Elisa’s business in Russia was not essential,
and Elisa withdrew from the Russian market in 2022.
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6Financial Statements 2023
Hazard risks:
The company’s core operations are covered by
insurance against damage and interruptions caused
by accidents and disasters. Accident risks also include
litigation and claims.
Financial risks:
In order to manage the interest rate risk, the Group’s
loans and investments are diversified into fixed- and
variable-rate instruments. Interest rate swaps can be
used to manage the interest rate risk.
As most of Elisa’s operations and cash flow are
denominated in euros, the exchange rate risk is minor.
Currency derivatives can be used to manage the
currency risk.
The objective of liquidity risk management is to
ensure the Group’s financing in all circumstances. Elisa
has cash reserves, committed credit facilities and a
sustainable cash flow to cover its foreseeable financing
needs.
Liquid assets are invested within confirmed limits
in financially solid banks, domestic companies and
institutions. Credit risk concentrations in accounts
receivable are minor, as the customer base is broad.
Russia’s war in Ukraine and higher inflation have
increased volatility in the financial markets. This might
have an effect on Elisa’s ability to raise funds and may
increase financing costs.
A detailed description of financial risk management
can be found in Note 7.1 to the consolidated financial
statements.
Corporate responsibility and
non-financial reporting
Elisa’s business operations and digitalisation solutions
contribute to sustainable development and to
environmentally friendly actions among its customers
and society. Elisa is committed to the principles of the
UN Global Compact in its business operations, and
we have identified our most important contribution
to the UN Sustainable Development Goals. Elisa has
a strong track record of and a long-term commitment
to environmental work. As a result, Elisa has had
science-based climate targets since 2018. In 2023, Elisa
was among the first companies in Finland to receive
approval from the Science Based Targets initiative
(SBTi) for new, even more ambitious targets for 2030,
as well as a target of zero emissions (including supply
chain emissions) by 2040, which is in line with the SBTi
Net-Zero Standard.
Sustainability has been part of Elisa’s strategy for over
ten years. Our sustainability targets for 2022–2024
emphasise the importance of Elisa’s handprint, focusing
on the availability of fast connections, cyber security,
increasing its carbon handprint, the energy efficiency
of the mobile network, innovations and promoting
equality.
Elisa will publish its 11th assured sustainability report
as part of the Annual Report 2023. The sustainability
report has been prepared primarily with reference to
the Global Reporting Initiative (GRI) Standards, and for
climate, in accordance with the Task Force on Climate-
related Financial Disclosures (TCFD) recommendations.
Elisa also reports non-financial information with
reference to selected indicators of the Sustainability
Accounting Standards Boards (SASB) framework.
The report meets the requirements for non-financial
reporting, including information regarding the EU
Taxonomy Regulation. The report includes medium-
term targets, performance and metrics.
In recognising Elisa’s material corporate responsibility,
the most important financial, social and environmental
effects and risks of the company, as well as other
significant trends affecting the industry, have been
taken into account. The management’s description of
corporate responsibility is available on the company
website elisa.com/sustainability.
Corporate Governance Statement
and Remuneration Report
Elisa’s Corporate Governance Statement and
Remuneration Report for 2023 will be published no
later than 16 February 2024.
Events after the reporting period
On 16 January 2024, Elisa and Moontalk Oy signed an
agreement under which Elisa takes a majority holding
of Moontalk, which is a SaaS software supplier focused
on mobile voice communication management for
enterprises.
On 25 January 2024, the Shareholders’ Nomination
Board announced its proposal to Elisa’s Board for the
notice of the Annual General Meeting of 12 April 2024
that the number of members of the Board of Directors
would be eight (8). The Nomination Board proposes that
Mr Maher Chebbo, Mr Kim Ignatius, Ms Katariina Kravi,
Ms Pia Kåll, Ms Eva-Lotta Sjöstedt, Mr Anssi Vanjoki
and Mr Antti Vasara be re-elected. The Nomination
Board further proposes that Mr Christoph Vitzthum be
elected as a new member of the Board. The Nomination
Board proposes that Mr Anssi Vanjoki be elected as the
Chair of the Board and Ms Katariina Kravi be elected
as the Vice Chair. All the proposed Board Members are
considered to be independent of the company and of
its significant shareholders.
Outlook and guidance for 2024
Development in the general economy includes many
uncertainties. Growth in the Finnish economy is
expected to stall. In particular, uncertainty relating to
Russia’s war in Ukraine and other conflicts, such as in
inflation and energy prices, is continuing. Challenges
in global supply chains may also result in uncertainties
in volumes and prices. Competition in the Finnish
telecommunications market remains keen.
Full-year revenue is estimated to be same level or
slightly higher than in 2023. Mobile data and digital
services are expected to increase revenue. Full-year
comparable EBITDA is anticipated to be same level
or slightly higher than in 2023. Capital expenditure is
expected to be 12–13 per cent of revenue.
Elisa is continuing to develop to improve productivity,
for example by increasing automation and data
analytics in different processes, such as customer
interaction, network operations and delivery.
Additionally, Elisa’s continuous quality improvement
measures will increase customer satisfaction and
efficiency, and reduce costs.
Elisa’s transformation into a provider of exciting,
new and relevant services for its customers is
continuing. Long-term revenue growth and profitability
improvement will derive from growth in the mobile data
market, as well as domestic and international digital
services.
Profit distribution
According to Elisa’s distribution policy, profit
distribution is 80–100 per cent of the previous fiscal
year’s net profit. In addition, any excess capital can
be distributed to shareholders. When making the
distribution proposal or decision, the Board of Directors
will take into consideration the company’s financial
position, future financial needs and financial targets.
Profit distribution includes dividend payment, capital
repayment and purchase of treasury shares.
The Board of Directors proposes to the Annual General
Meeting a dividend of EUR 2.25 per share. The dividend
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7Financial Statements 2023
payment corresponds to 95 per cent of the comparable
net profit for the financial period. The Board of
Directors also proposes that the dividend be paid in two
instalments.
It is proposed that the first instalment of the dividend,
EUR 1.13, be paid to shareholders who are listed in
the company’s shareholder register maintained by
Euroclear Finland Ltd on 16 April 2024. The Board of
Directors proposes that the payment date be 23 April
2024. It is also proposed that the second instalment of
the dividend, EUR 1.12, be paid to shareholders who
are listed in the company’s shareholder register on 23
October 2024, and the Board of Directors proposes that
the payment date be 30 October 2024. The profit for
the period will be added to retained earnings.
The Board of Directors also decided to propose to
the General Meeting that the Board of Directors be
authorised to acquire a maximum of five million
treasury shares, which corresponds to 3 per cent of the
total number of shares.
BOARD OF DIRECTORS
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distribution of profits
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8Financial Statements 2023
1. Share capital and shares
The company’s paid-up share capital registered in the
Trade Register stood at EUR 83,033,008 at the end of
the financial year.
At the end of the financial year, the number of Elisa
Corporation shares was 167,335,073, all within one
share series.
2. Authorisations of the Board of Directors
On 5 April 2023, the Annual General Meeting authorised
the Board of Directors to decide on a new share issue,
transfer of treasury shares owned by the company
and/or granting of special rights referred to in chapter
10, section 1 of the Finnish Companies Act subject to
the following: The authorisation allows the Board of
Directors to issue a maximum of 15,000,000 shares
in one or several issues. The share issue and shares
granted by virtue of special rights are included in the
aforementioned maximum number. The maximum
number is approximately 9 per cent of the entire
stock. The share issue can be free or for consideration
and can also be directed to the Company itself. The
authorisation entitles the Board to make a directed
issue. The authorisation may be used for making
acquisitions or implementing other arrangements
related to the Company’s business, to finance
investments, to improve the Company’s financial
structure, or for other purposes decided by the Board
of Directors. The Board of Directors has the right to
decide on all other matters related to the share issue.
The authorisation is valid for 18 months, and it annuls
the authorisation given by the Annual General Meeting
to the Board of Directors on 6 April 2022.
On 5 April 2023, the Annual General Meeting also
authorised the Board of Directors to decide on the
acquisition of treasury shares subject to the following:
The Board of Directors may decide to acquire or pledge
on non-restricted equity a maximum of 5,000,000
treasury shares. The acquisition may take place as one
or several blocks of shares. The consideration payable
for the shares shall not be more than the ultimate
market price. In purchasing the Company’s own shares
derivative, share lending and other contracts customary
in the capital market may be concluded pursuant to law
and the applicable legal provisions. The authorisation
entitles the Board of Directors to pass a resolution to
purchase the shares by making an exception to the
purchase of shares relative to the current holdings
of the shareholders. The treasury shares may be
used for making acquisitions or implementing other
arrangements related to the Company’s business,
to finance investments, to improve the Company’s
financial structure, to be used as part of the incentive
compensation plan, or for the purpose of otherwise
assigning or cancelling the shares. The Board of
Directors has the right to decide on all other matters
related to the acquisition of the Company’s own shares.
The authorisation is valid for 18 months, and it annuls
the respective authorisation given by the Annual
General Meeting to the Board of Directors on 6 April
2022.
3. Treasury shares, share
issues and cancellations
At the beginning of the financial period, Elisa held
7,075,378 treasury shares.
The Annual General Meeting held on 5 April 2023
authorised the Board of Directors to acquire and
assign treasury shares. The authorisation applies to a
maximum of 5,000,000 treasury shares. On the basis of
the authorisation, Elisa has not acquired any treasury
shares.
A total of 128,724 treasury shares were disposed during
the financial year.
At the end of the financial period, Elisa held 6,946,654
treasury shares.
The treasury shares held by Elisa Corporation do not
have any substantial impact on the distribution of
holdings and votes in the Company. They represent
4.15 per cent of all shares and votes.
4. Management interests
The aggregate number of shares held by Elisa’s Board
of Directors and the CEO on 31 December 2023 was
309,729 shares and votes, which represented 0.19 per
cent of all shares and votes.
Shares and shareholders
EMOYHTIÖN TILINPÄÄTÖS
5. Share performance
The Elisa share closed at EUR 41.87 on 31 December
2023. The highest quotation of the year was EUR 56.52
and the lowest EUR 39.41. The average price was EUR
48.86. Information is based on share trades made on
the Nasdaq Helsinki stock exchange.
At the end of the financial year, the market
capitalisation of Elisa’s total number of shares was
EUR 7,006.3 million.
6. Quotation and trading
The Elisa share is quoted on the Main List of the Nasdaq
Helsinki with the ticker ELISA. The aggregate volume
of trading on the Nasdaq Helsinki between 1 January
and 31 December 2023 was 64,380,415 shares for an
aggregate price of EUR 3,145.9 million. The trading
volume represented 38.5 per cent of the total number
of shares at the end of the financial year.
Report of the
board of directors
Shares and
shareholders
Board’s proposal for the
distribution of profits
Investor
information
9Financial Statements 2023
7. Distribution of holding by shareholder groups at 31 December 2023
Number of
shares
Proportion of all
shares, %
1 Private companies 3,619,139 2.16
2 Financial and insurance institutions 5,111,885 3.05
3 Public corporations 30,263,678 18.09
4 Non-profit organisations 5,108,080 3.05
5 Households 36,682,383 21.92
6 Foreign 174,336 0.10
7 Nominee registered 79,428,918 47.47
Elisa Group, treasury shares 6,946,654 4.15
167,335,073 100.00
8. Distribution of holding by amount at 31 December 2023
Size of holding
Number of
shareholders %
Number of
shares %
1–100 52,854 29,42 2,280,269 1.36
101–1,000 122,386 68,14 27,274,000 16.30
1,001–10,000 4,142 2,31 9,753,560 5.83
10,001–100,000 197 0,11 5,050,677 3.02
100,001–1,000,000 28 0,01 7,333,101 4.38
1,000,001– 7 0,00 29,137,477 17.41
Nominee registered 79,428,918 47.47
179,614 100.00
Elisa Common Clearing account
(1
130,417 0.08
Elisa Corporation, treasury shares 6,946,654 4.15
Issued amount 167,335,073 100.00
1)
Shares in the Common Clearing account include shares that had not been transferred to the share owners’ book-entry accounts at the
time of, or after, entering the shares into the Finnish book-entry system.
9. Largest shareholders at 31 December 2023
Name
Number of
shares %
1 Solidium Oy 16,802,800 10.04
2 Ilmarinen Mutual Pension Insurance Company 4,413,011 2.64
3 Varma Mutual Pension Insurance Company 3,096,976 1.85
4 Elo Mutual Pension Insurance Company 2,550,000 1.52
5 The State Pension Fund 1,150,000 0.69
6 City of Helsinki 1,124,690 0.67
7 Danske Invest Finnish Equity Fund 695,000 0.42
8 Nordea Pro Finland Fund 555,722 0.33
9 Sijoitusrahasto Seligson & Co 450,808 0.27
10 Föreningen Konstsamfundet R.f. 450,000 0.27
11 Stiftelsen För Åbo Akademi Sr 403,223 0.24
12 OP Finland Fund 397,578 0.24
13 OP Finland Index 381,891 0.23
14 Samfundet Folkhälsan i Svenska Finland R F 363,766 0.22
15 Keva 358,379 0.21
16 Juselius Sigrid Stiftelse 330,700 0.20
17 OP-Henkivakuutus Oy 326,315 0.20
18 City of Vantaa 258,738 0.15
19 Evli Finland Select Fund 237,500 0.14
20 S-Bank Fenno Equity Fund 229,316 0.14
34,576,413 20.66
Elisa Corporation, treasury shares 6,946,654 4.15
Nominee registered
1)
79,428,918 47.47
Shareholders not specified above 46,383,088 27.72
167,335,073 100.00
1)
On 27 February 2017, BlackRock, Inc issued a notice in accordance with chapter 9, section 5 of the Finnish Securities Market Act, that
the direct share ownership of Elisa Corporation shares owned by BlackRock, Inc. was 8,533,440 and by its funds 1,232,577 shares,
totaling 9,766,017 shares, which was 5.84 per cent of Elisa Corporation’s entire stock.
Report of the
board of directors
Shares and
shareholders
Board’s proposal for the
distribution of profits
Investor
information
10Financial Statements 2023
Share trading volumes are based on the trades made on Nasdaq Helsinki.
Elisa share is also traded in alternative marketplaces.
11. Trading volume
Shares per month (million)
10. Daily price development
Closing price in EUR
1)
Rebalanced to Elisa share.
38
40
42
44
46
48
50
52
54
56
58
Elisa
OMX Helsinki 25 -index
(1
1)
Rebased on Elisa's share price
Daily price development
Closing price in EUR
Kurssikehitys päivittäin
Päätöskurssi, euroa
1/2023
2/2023
3/2023
4/2023
5/2023
6/2023
7/2023
8/2023
9/2023
10/2023
11/2023
12/2023
0
1
2
3
4
5
6
7
8
Osakevaihto
milj. kpl/kk
6.2
6.0
6.8
4.9
4.7
5.3
5.2
4.1
4.9
5.5
5.1
5.5
1/2023
2/2023
3/2023
4/2023
5/2023
6/2023
7/2023
8/2023
9/2023
10/2023
11/2023
12/2023
According to the balance sheet of 31 December 2023,
the parent company’s equity is EUR 521,175,363.51, of
which distributable funds account for
EUR 410,814,562.35.
The parent company’s profit for the period from 1
January to 31 December 2023 was EUR 284,341,392.56.
Board’s proposal for distribution of profits
The Board of Directors proposes to the General Meeting
of Shareholders that the distributable funds be used as
follows:
• a dividend of EUR 2.25 per share shall be paid for a
total of EUR 360,873,942.75
• no dividend shall be paid on shares in the parent
company’s possession
• EUR 49,940,619.60 shall be retained in shareholders’
equity.
Tietoa
sijoittajille
Report of the
board of directors
Shares and
shareholders
Board’s proposal for the
distribution of profits
Investor
information
11Financial Statements 2023
Outlook and guidance for 2024
Development in the general economy includes many
uncertainties. Growth in the Finnish economy is
expected to stall. In particular, uncertainty relating to
Russia’s war in Ukraine and other conflicts, such as in
inflation and energy prices, is continuing. Challenges
in global supply chains may also result in uncertainties
in volumes and prices. Competition in the Finnish
telecommunications market remains keen.
Full-year revenue is estimated to be same level or
slightly higher than in 2023. Mobile data and digital
services are expected to increase revenue. Full-year
comparable EBITDA is anticipated to be same level
or slightly higher than in 2023. Capital expenditure is
expected to be 12–13 per cent of revenue.
Elisa is continuing to develop to improve productivity,
for example by increasing automation and data
analytics in different processes, such as customer
interaction, network operations and delivery.
Additionally, Elisa’s continuous quality improvement
measures will increase customer satisfaction and
efficiency, and reduce costs.
Elisa’s transformation into a provider of exciting,
new and relevant services for its customers is
continuing. Long-term revenue growth and profitability
improvement will derive from growth in the mobile data
market, as well as domestic and international digital
services.
Investor information
Distribution policy
According to Elisa’s distribution policy, profit
distribution is 80–100 per cent of the previous fiscal
year’s net profit. In addition, any excess capital can be
distributed to shareholders. Profit distribution includes
dividend payment, capital repayment and purchase of
treasury shares.
Annual General Meeting
Elisa’s Annual General Meeting will be held on 12 April
2024. More information on the AGM invitation and at
elisa.com/agm
Payment of dividends
The Board of Directors proposes to the AGM that
the profit for the financial period 2023 be added to
accrued earnings and that a dividend of EUR 2.25 per
share be paid based on the adopted balance sheet
of 31December 2023. The Board of Directors also
proposes that the dividend be paid in two instalments.
It is proposed that the first instalment of the dividend,
EUR 1.13, be paid to shareholders who are listed in
the company’s shareholder register maintained by
Euroclear Finland Ltd on 16 April 2024. The Board of
Directors proposes that the payment date be 23 April
2024. The second instalment of the dividend, EUR
1.12, is be paid to shareholders who are listed in the
company’s shareholder register on 23 October 2024,
and the payment date be 30 October 2024.
Listing of Elisa’s shares
Elisa’s shares are listed on the Nasdaq Helsinki and are
registered in the Finnish book-entry register maintained
by Euroclear Finland Ltd.
Publication dates 2024
• 19 April 2024: Interim Report Q1 2024
• 16 July 2024: Half-Year Financial Report 2024
• 18 October 2024: Interim Report Q3 2024
Financial information
Elisa publishes its financial reports and bulletins in
Finnish and English. The Annual Report, Half-year
report, Interim Reports, information on the AGM, stock
exchange releases and other information for investors,
as well as the Disclosure Policy, are available on the
Elisa website at elisa.com/investors.
Tietoa sijoittajille
Guidance for 2024
Revenue Same level or slightly
higher than in 2023
Comparable EBITDA Same level or slightly
higher than in 2023
CAPEX/sales 12–13%
Medium-term financial targets by the end of 2025
Revenue growth
2022–2025
CAGR > 2%
EBITDA growth
2022–2025
CAGR > 3%
CAPEX/sales ≤ 12%
Net debt/EBITDA 1.5–2×
Equity ratio > 35%
Elisa’s investor relation contacts
Vesa Sahivirta
IR Director
tel. +358 50 520 5555
Kati Norppa
IR Communications
Manager
tel. +358 50 308 9773
elisa.com/investors
Tietoa
sijoittajille
Report of the
board of directors
Shares and
shareholders
Board’s proposal for the
distribution of profits
Investor
information
Financial statements
Consolidated financial statement 14
Notes to the consolidated
financial statements 18
Parent company financial statements 71
Notes to the financial statements of
the parent company 73
Signatures to the board of directors’
report and financial statements 83
Auditor’s report 84
12Financial Statements 2023
Auditor’s reportParent company
financial statements
Consolidated financial
statement
13Financial Statements 2023
CONSOLIDATED FINANCIAL STATEMENTS 14
Consolidated income statement and statement of
comprehensive income 14
Consolidated statement of financial position 15
Consolidated cash flow statement 16
Consolidated statement of changes in equity 17
Notestotheconsolidatedfinancialstatements 18
1.Generalaccountingprinciples 18
1.1 Basic information about the Group 18
1.2 Basis of preparation of financial statements 18
1.3 Applied new and revised standards 19
2. Operational result 21
2.1 Operating segments and geographical areas 21
2.2 Items affecting comparability 22
2.3 Revenue from contracts with customers 23
2.4 Other operating income 25
2.5 Operating expenses 25
2.6 Earnings per share 26
3. Business acquisitions and disposals 27
4. Personnel 31
4.1 Employee expenses 31
4.2 Share-based incentives 33
4.3 Pension obligations 37
5. Tangible and intangible assets 39
5.1 Depreciation, amortisation and impairment 39
5.2 Property, plant and equipment 39
5.3 Right-of-use assets 41
5.4 Intangible assets 42
6. Inventories, trade and
other receivables, trade and other liabilities 45
6.1 Inventories 45
6.2 Trade and other receivables 45
6.3 Trade and other liabilities 46
7.Capitalstructure 48
7.1 Financial risk management 48
7.2 Capital management 51
7.3 Equity 52
7.4 Financial assets and liabilities 53
8.Othernotes 59
8.1 Taxes 59
8.2 Provisions 62
8.3 Related party details 63
8.4 Off-balance sheet leases
and other commitments
66
8.5 Events after the end of the reporting period 67
9.KeyIndicators 68
9.1 Key indicators describing the Group’s
financial development 68
9.2 Alternative performance measures 69
9.3 Per-share indicators 70
PARENT COMPANY FINANCIAL STATEMENTS 71
Income statement 71
Balance sheet 71
Cash flow statement 72
Notestothefinancialstatementsoftheparent
company 73
Accounting principles 73
Notestoincomestatement 74
1. Revenue 74
2. Other operating income 74
3. Materials and services 74
4. Employee expenses 74
5. Depreciation, amortisation and impairment 75
6. Audit fees 75
7. Financial income and expenses 75
8. Appropriations 75
9. Income taxes 75
Notes to balance sheet 76
10. Intangible assets
and property, plant and equipment 76
11. Investments 78
12. Inventories 79
13. Non-current receivables 79
14. Current receivables 79
15. Equity 80
16. Provisions 80
17. Non-current liabilities 80
18. Current liabilities 81
19. Lease commitments and other liabilities 81
SIGNATURES TO THE BOARD OF DIRECTORS’
REPORT AND FINANCIAL STATEMENTS 83
AUDITOR’S REPORT 84
AUDITOR’S REASONABLE ASSURANCE REPORT
ON ESEF FINANCIAL STATEMENTS 88
Contents
Auditor’s reportParent company
financial statements
Consolidated financial
statement
14Financial Statements 2023
| Consolidated income statement | |||
EURmillion | Note | 2023 | 2022 |
| Revenue | 2.1, 2.3 | ||
| Other operating income | 2.4 | ||
| Materials and services | 2.5 | – | – |
| Employee expenses | 4.1 | – | – |
| Other operating expenses | 2.5 | – | – |
| EBITDA | 2.1 | ||
| Depreciation, amortisation and impairment | 2.1, 5.1 | – | – |
| EBIT | 2.1 | ||
| Financial income | 7.4.1 | ||
| Financial expenses | 7.4.1 | – | – |
Share of associated companies’ profit | – | – | |
Profitbeforetax | |||
| Income taxes | 8.1.1 | – | – |
Profitfortheperiod | |||
Attributable to Equity holders of the parent | |||
Non-controlling interests | – | – | |
| Earnings per share (EUR) | |||
| Basic | 2.6 | ||
| Diluted | 2.6 | ||
| Averagenumberofoutstandingshares(1,000shares) | |||
| Basic | 2.6 | ||
| Diluted | 2.6 | ||
KONSERNITILINPÄÄTÖS
Konsernitilinpäätöksen päälaskelmat
Konsernin tuloslaskelma ja laaja tuloslaskelma
| Consolidated statement of | |||
| comprehensive income | |||
EURmillion | Note | 2023 | 2022 |
Profitfortheperiod | |||
| Othercomprehensiveincome,netoftax | |||
| Itemswhichmaybereclassifiedsubsequentlytoprofitorloss | |||
Cash flow hedge | – | – | |
Translation differences | – | – | |
| Itemswhicharenotreclassifiedsubsequentlytoprofitorloss | |||
| Remeasurements of the net defined benefit liability | 4.3 | ||
| Othercomprehensiveincome | – | ||
Totalcomprehensiveincome | |||
Totalcomprehensiveincomeattributableto Equity holders of the parent | |||
Non-controlling interests | – | – |
Auditor’s reportParent company
financial statements
Consolidated financial
statement
15Financial Statements 2023
| Consolidated statement of financial position | |||
EURmillion | Note | 31 Dec. 2023 | 31 Dec. 2022 |
| ASSETS | |||
| Non-current assets | |||
| Property, plant and equipment | 5.2 | ||
| Right-of-use assets | 5.3 | ||
| Goodwill | 5.4.1 | ||
| Intangible assets | 5.4 | ||
| Investments in associated companies | 8.3.2 | ||
| Other financial assets | 7.4.3 | ||
| Trade and other receivables | 6.2.2, 7.4.4 | ||
| Deferred tax assets | 8.1.2 | ||
| Current assets | |||
| Inventories | 6.1 | ||
| Trade and other receivables | 6.2.1 | ||
Tax receivables | |||
Cash and cash equivalents | |||
| TOTAL ASSETS | 2.1 | ||
Konsernin tase
EURmillion | Note | 31 Dec. 2023 | 31 Dec. 2022 |
| EQUITY AND LIABILITIES | |||
| EQUITY | |||
Share capital | |||
Treasury shares | – | – | |
Reserve for invested non-restricted equity | |||
Other reserves | |||
Retained earnings | |||
| Equityattributabletoequityholdersoftheparent | 4.2, 7.3 | ||
Non-controlling interests | |||
TOTAL EQUITY | |||
| LIABILITIES | |||
| Non-current liabilities | |||
| Deferred tax liabilities | 8.1.2 | ||
| Interest-bearing financial liabilities | 7.4.2, 7.4.3 | ||
| Interest-bearing lease liabilities | 7.4.2, 7.4.3 | ||
| Trade payables and other liabilities | 6.3, 7.4.3, 7.4.4 | ||
| Pension obligations | 4.3 | ||
| Provisions | 8.2 | ||
| Current liabilities | |||
| Interest-bearing financial liabilities | 7.4.2, 7.4.3 | ||
| Interest-bearing lease liabilities | 7.4.2, 7.4.3 | ||
| Trade and other payables | 6.3, 7.4.3 | ||
Tax liabilities | |||
| Provisions | 8.2 | ||
TOTAL LIABILITIES | |||
TOTAL EQUITY AND LIABILITIES |
Auditor’s reportParent company
financial statements
Consolidated financial
statement
16Financial Statements 2023
| Consolidated cash flow statement | |||
EURmillion | Note | 2023 | 2022 |
| Cashflowfromoperatingactivities | |||
Profit before tax | |||
| Adjustments | |||
| Depreciation, amortisation and impairment | 5.1 | ||
Financial income (-) and expenses (+) | 7.4.1 | ||
Gains (-) and losses (+) on the disposal of fixed assets | – | – | |
Increase (+) / decrease (-) in provisions on the income statement | – | ||
| Other adjustments | – | – | |
| Change in working capital | |||
Increase (-) / decrease (+) in trade and other receivables | – | – | |
Increase (-) / decrease (+) in inventories | – | ||
| Increase (+) / decrease (-) in trade and other payables | |||
– | |||
Dividends received | |||
Interest received | |||
Interest paid | – | – | |
| Taxes paid | – | - | |
Netcashflowfromoperatingactivities | |||
Konsernin rahavirtalaskelma
EURmillion | Note | 2023 | 2022 |
| Cashflowfrominvestingactivities | |||
| Equity investments | 3 | – | |
Contingent consideration of subsidiaries | – | – | |
Investments in associates | – | ||
Other investments | – | – | |
Capital expenditure | – | – | |
Repayment of loan receivables | |||
Proceeds from disposal of subsidiaries and businesses | - | ||
Proceeds from disposal of other investments | |||
| Proceeds from disposal of tangible and intangible assets | |||
Netcashflowusedininvestingactivities | – | – | |
Cashflowbeforefinancingactivities | |||
| Cashflowfromfinancingactivities | |||
Proceeds from long-term borrowings | |||
Repayment of long-term borrowings | – | – | |
Increase (+) / decrease (-) in short-term borrowings | – | ||
Repayment of lease liabilities | – | – | |
Acquisition of non-controlling interests | – | ||
| Dividends paid | – | – | |
Netcashusedinfinancingactivities | – | – | |
Change in cash and cash equivalents | – | – | |
Translation differences | – | ||
| Cash and cash equivalents at the beginning of the period | |||
| Cashandcashequivalentsattheendoftheperiod |
Auditor’s reportParent company
financial statements
Consolidated financial
statement
17Financial Statements 2023
| Consolidated statement of changes in equity | ||||||||
| Equityattributabletoequityholdersoftheparentcompany | ||||||||
| Reservefor | ||||||||
| invested | Non- | |||||||
| Share | Treasury | non-restricted | Other | Retained | controlling | Total | ||
| EURmillion | capital | shares | equity | reserves | earnings | Total | interests | equity |
Balance at 1 January 2022 | – | |||||||
Profit for the period | – | |||||||
| Other comprehensive income | ||||||||
Translation differences | – | – | – | |||||
Cash flow hedging | – | – | – | |||||
Remeasurements of the net defined benefit liability | ||||||||
Total other comprehensive income | - | – | – | |||||
Total comprehensive income | – | |||||||
Dividend distribution | - | – | – | – | ||||
Share-based compensation | ||||||||
Acquisition of subsidiary with non-controlling interests | ||||||||
Other changes | ||||||||
Balanceat31December2022 | – | |||||||
Profit for the period | – | |||||||
| Other comprehensive income | ||||||||
Translation differences | – | – | – | |||||
Cash flow hedging | – | – | – | |||||
| Remeasurements of the net defined benefit liability | ||||||||
Total other comprehensive income | – | |||||||
Total comprehensive income | – | |||||||
Dividend distribution | – | – | – | – | ||||
Share-based compensation | ||||||||
Acquisition of non-controlling interests | – | – | ||||||
Other changes | – | |||||||
Balanceat31December2023 | – | |||||||
Laskelma konsernin oman pääoman muutoksista
Auditor’s reportParent company
financial statements
Consolidated financial
statement
18Financial Statements 2023
Notes to the consolidated financial statements
Konsernitilinpäätöksen
liitetiedot
1. Yleiset laadintaperiaatteet
1.1 Konsernin perus-
tiedot
1.2 Tilinpäätöksen laatimisperusta
Auditor’s reportParent company
financial statements
Consolidated financial
statement
19Financial Statements 2023
1.3 Uudet ja tulevat standardit
Auditor’s reportParent company
financial statements
Consolidated financial
statement
20Financial Statements 2023
Auditor’s reportParent company
financial statements
Consolidated financial
statement
21Financial Statements 2023
| 2023 | Consumer | Corporate | Group | |
| EUR million | Customers | Customers | Unallocated | Total |
Revenue | 1,334.7 | 845.8 | 2,180.5 | |
EBITDA | 520.8 | 235.1 | 755.9 | |
Depreciation, amortisation and impairment | –179.3 | –94.9 | –274.1 | |
EBIT | 341.6 | 140.3 | 481.8 | |
Financial income | 8.7 | 8.7 | ||
Financial expenses | –32.0 | –32.0 | ||
Share of associated companies' profit | –0.4 | –0.4 | ||
Profit before tax | 458.1 | |||
Investments | 213.0 | 108.4 | 321.4 | |
Assets | 1,900.5 | 1,110.7 | 113.4 | 3,124.6 |
| 2022 | Consumer | Corporate | Group | |
| EUR million | Customers | Customers | Unallocated | Total |
Revenue | 1,300.9 | 828.6 | 2,129.5 | |
EBITDA | 495.7 | 237.6 | 733.3 | |
Depreciation, amortisation and impairment | –174.0 | –89.5 | –263.4 | |
EBIT | 321.7 | 148.1 | 469.8 | |
Financial income | 5.6 | 5.6 | ||
Financial expenses | –18.7 | –18.7 | ||
Share of associated companies' profit | –0.7 | –0.7 | ||
Profit before tax | 456.0 | |||
Investments | 190.6 | 99.1 | 289.7 | |
Assets | 1,891.9 | 1,082.4 | 126.5 | 3,100.8 |
2. Toiminnan tulos
2.1 Toimintasegmentit ja maantieteelliset tiedot
Revenue 2022
EBITDA 2022
Auditor’s reportParent company
financial statements
Consolidated financial
statement
22Financial Statements 2023
| 2023 | Rest of | Other | Group | |
EUR million | Finland | Europe | countries | total |
Revenue | 1,821.6 | 306.2 | 52.7 | 2,180.5 |
Assets | 2,597.3 | 497.3 | 30.0 | 3,124.6 |
| 2022 | Rest of | Other | Group | |
EUR million | Finland | Europe | countries | total |
Revenue | 1,782.2 | 295.7 | 51.7 | 2,129.5 |
Assets | 2,578.7 | 489.3 | 32.8 | 3,100.8 |
2.2 Vertailukelpoisuuteen vaikuttavat erät
EUR million | 2023 | 2022 |
Restructuring costs | –2.0 | |
Items affecting comparability in EBITDA | –2.0 | |
Impairment losses | –5.6 | |
Items affecting comparability in EBIT and profit before tax | –5.6 | –2.0 |
Income taxes on items affecting comparability | 1.1 | 0.4 |
Items affecting comparability in profit for the period | –4.5 | –1.6 |
EUR million | 2023 | 2022 | |
| Comparable EBITDA | |||
| I/S | EBITDA | 755.9 | 733.3 |
Items affecting comparability in EBITDA | 2.0 | ||
755.9 | 735.3 | ||
| Comparable EBIT | |||
| I/S | EBIT | 481.8 | 469.8 |
Items affecting comparability in EBIT | 5.6 | 2.0 | |
487.4 | 471.8 | ||
| Comparable profit before tax | |||
| I/S | Profit before tax | 458.1 | 456.0 |
Items affecting comparability in profit before tax | 5.6 | 2.0 | |
463.7 | 458.0 | ||
| Comparable profit for the period | |||
| I/S | Profit for the period | 374.0 | 372.8 |
Items affecting comparability in profit for the period | 4.5 | 1.6 | |
378.5 | 374.4 | ||
Comparable profit for the period attributable to equity holders of the parent | |||
Comparable profit for the period | 378.5 | 374.4 | |
Non-controlling interests | –1.2 | –1.3 | |
379.7 | 375.7 | ||
| Comparable earnings per share, EUR | |||
Comparable profit for the period attributable to equity holders of the parent | 379.7 | 375.7 | |
Average number of outstanding shares, diluted (1,000 shares) | 160,530 | 160,410 | |
2.37 | 2.34 |
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financial statements
Consolidated financial
statement
23Financial Statements 2023
EUR million | 2023 | 2022 |
| Acquisitions and disposals of shares and business combinations | 13.8 | 20.9 |
Items affecting comparability in cash flow before financing | 13.8 | 20.9 |
| Comparable cash flow after investments | ||
C/F Cash flow before financing | 347.0 | 299.9 |
| Items affecting comparability in cash flow before financing | 13.8 | 20.9 |
360.8 | 320.9 | |
20232022202120202019
Development of revenue, EUR million
0
500
1,000
1,500
2,000
2,500
1,844
1,895
1,998
2,130
2,180
EUR million | 2023 | 2022 |
Rendering of services | 1,781.4 | 1,726.8 |
Sale of equipment | 398.7 | 402.7 |
| Interest revenue | 0.4 | |
| I/S | 2,180.5 | 2,129.5 |
EUR million | 2023 | 2022 |
Mobile telecommunications | 1,290.2 | 1,252.5 |
| Fixed-network broadband and others | 890.2 | 877.0 |
| I/S | 2,180.5 | 2,129.5 |
2.3 Liikevaihto
Auditor’s reportParent company
financial statements
Consolidated financial
statement
24Financial Statements 2023
Auditor’s reportParent company
financial statements
Consolidated financial
statement
25Financial Statements 2023
2.4 Liiketoiminnan muut tuotot
EUR million | 2023 | 2022 |
Gain on disposals of property, plant and equipment | 4.2 | 0.2 |
| Gain on disposal of subsidiaries | 0.5 | |
Government grants | 0.0 | 0.4 |
| Other items | 5.1 | 6.3 |
| I/S | 9.8 | 6.9 |
| EUR million | 2023 | 2022 |
Purchases of materials, supplies and goods | 529.0 | 556.4 |
Change in inventories | 11.2 | –8.8 |
External services | 277.7 | 272.9 |
Foreign exchange gains and losses | 0.0 | 0.2 |
| I/S | 817.9 | 820.8 |
2.5 Liiketoiminnan kulut
| EUR million | 2023 | 2022 |
Auditing | 0.4 | 0.4 |
Tax advisory services | 0.0 | 0.0 |
Other services | 0.1 | 0.0 |
0.5 | 0.4 |
| EUR million | 2023 | 2022 |
Research and development costs recognised as expenses | 15.5 | 13.4 |
Capitalised development costs | 8.9 | 8.0 |
24.4 | 21.4 |
Auditor’s reportParent company
financial statements
Consolidated financial
statement
26Financial Statements 2023
Earnings per share, basic | 2023 | 2022 |
I/S Net profit for the period attributable to equity holders of the parent (EUR million) | 375.2 | 374.1 |
Weighted average number of shares outstanding (1,000 shares) | 160,376 | 160,253 |
Earnings per share, basic (EUR/share) | 2.34 | 2.33 |
| Diluted earnings per share | 2023 | 2022 |
I/S Net profit for the period attributable to equity holders of the parent (EUR million) | 375.2 | 374.1 |
| Weighted average number of shares outstanding (1,000 shares) | 160,376 | 160,253 |
| Impact of share-based incentive plans | 154 | 157 |
| Weighted average number of shares outstanding adjusted by dilutive effect (1,000 shares) | 160,530 | 160,410 |
| Diluted earnings per share (EUR/share) | 2.34 | 2.33 |
2.6 Osakekohtainen tulos
3. Hankitut ja myydyt liiketoiminnot
Auditor’s reportParent company
financial statements
Consolidated financial
statement
27Financial Statements 2023
| Net assets of the sold entity | Carrying |
| EUR million | amount |
Tangible and intangible assets | 1.0 |
Inventories | 2.4 |
Trade and other receivables | 23.6 |
Cash and cash equivalents | 2.2 |
Deferred tax liabilities | –1.1 |
Lease liabilities | –0.3 |
| Trade payables and other liabilities | –6.9 |
| 20.9 |
| EUR million | |
| Cash and cash equivalent of a sold entity | –2.2 |
| –2.2 |
| EUR million | |
Selling price | 11.0 |
Net assets of a sold entity | –20.9 |
| Pre-existing relationships between the Group and the sold entity | 10.4 |
Profit from the sale | 0.5 |
Auditor’s reportParent company
financial statements
Consolidated financial
statement
28Financial Statements 2023
| Consideration transferred | Carrying |
| EUR million | amount |
Cash paid | 13.4 |
| Contingent consideration | 1.1 |
Total acquisition price | 14.4 |
| EUR million | |
Tangible assets | 0.0 |
Intangible assets | 0.5 |
Trade and other receivables | 0.8 |
Cash and cash equivalents | 1.0 |
Deferred tax liabilities | –0.1 |
Trade payables and other liabilities | –0.4 |
| Tax liabilities | –0.3 |
| 1.5 |
| EUR million | |
Acquisition price paid in cash | –13.4 |
| Cash and cash equivalents of the acquired entity | 1.0 |
| –12.3 |
| EUR million | |
Consideration transferred | 14.4 |
| Identifiable net assets of the acquired entity | 1.5 |
Goodwill | 12.9 |
Auditor’s reportParent company
financial statements
Consolidated financial
statement
29Financial Statements 2023
4. Henkilöstö 4.1 Työsuhde-etuuksista aiheu-
tuvat kulut
| Consideration transferred | Carrying |
| EUR million | amount |
Cash paid | 9.6 |
Contingent consideration | 0.4 |
Total acquisition price | 10.0 |
| EUR million | |
Tangible assets | 0.0 |
Intangible assets | 1.5 |
Trade and other receivables | 0.5 |
Tax receivables | 0.5 |
Cash and cash equivalents | 1.4 |
Deferred tax liabilities | –0.3 |
Interest-bearing liabilities | –0.3 |
Trade payables and other liabilities | –2.1 |
| 1.2 |
| EUR million | |
Acquisition price paid in cash | –9.6 |
Cash and cash equivalents of the acquired entities | 1.4 |
| –8.2 |
| EUR million | |
Consideration transferred | 10.0 |
Identifiable net assets of the acquired entities | 1.2 |
Goodwill | 8.7 |
Auditor’s reportParent company
financial statements
Consolidated financial
statement
30Financial Statements 2023
Auditor’s reportParent company
financial statements
Consolidated financial
statement
31Financial Statements 2023
| EUR million | 2023 | 2022 |
Salaries and wages | 331.0 | 314.4 |
Share-based payments | 15.4 | 14.0 |
Pension expenses - defined contribution plans | 45.8 | 44.2 |
Pension expenses - defined benefit plans | 0.5 | 0.3 |
Other employee costs | 24.3 | 21.8 |
| I/S | 417.1 | 394.8 |
2019 | 2020 | 2021 | 2022 | 2023 |
| EUR million | 2023 | 2022 |
Managing Directors | 7.9 | 8.0 |
Members and deputy members of Boards of Directors | 0.8 | 0.8 |
| Benefits recognised on the income statement | ||
| EUR million | 2023 | 2022 |
Remuneration and other short-term employee benefits | 4.8 | 5.1 |
Post-employment benefits | 0.3 | 0.3 |
| Share-based compensation | 5.7 | 5.1 |
10.8 | 10.5 | |
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financial statements
Consolidated financial
statement
32Financial Statements 2023
| Benefits paid | ||
| EUR million | 2023 | 2022 |
Board of Directors | 0.8 | 0.8 |
CEO | 1.0 | 1.1 |
Executive Board | 3.1 | 3.2 |
| Share-based compensation | 5.3 | 2.7 |
10.1 | 7.8 | |
Auditor’s reportParent company
financial statements
Consolidated financial
statement
33Financial Statements 2023
4.2 Osakeperusteiset maksut
| Performance | Perfomance | Perfomance | |
| Amount of share incentives and terms and | period | period | period |
| assumptions in the fair value calculation | 2023–2025 | 2022–2024 | 2021–2023 |
Maximum number of shares granted | 395,800 | 360,500 | 410,700 |
Grant date | 31.12.2022 | 31.12.2021 | 31.12.2020 |
Share price on the grant date, EUR | 49.46 | 54.12 | 49.70 |
Performance period starts | 1.1.2023 | 1.1.2022 | 1.1.2021 |
Performance period ends | 31.12.2025 | 31.12.2024 | 31.12.2023 |
Estimated realisation of earning criteria at the beginning of performance period, % | 41 | 44 | 46 |
Estimated realisation of earning criteria on the closing date, % | 58 | 79 | 76 |
| Number of participants in the plan on the closing date | 192 | 177 | 154 |
Auditor’s reportParent company
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Consolidated financial
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34Financial Statements 2023
| Performance | Performance | Performance | |
| Amount of share incentives and terms and assumptions in | period | period | period |
| the fair value calculation | 2020–2022 | 2019–2021 | 2018–2020 |
Maximum number of rewards granted | 407,600 | 536,000 | 550,000 |
Grant date | 31.12.2019 | 31.12.2018 | 31.12.2017 |
Share price on the grant date, EUR | 49.25 | 36.08 | 32.72 |
Performance period starts | 1.1.2020 | 1.1.2019 | 1.1.2018 |
Performance period ends | 31.12.2022 | 31.12.2021 | 31.12.2020 |
Estimated realisation of earning criteria at the beginning of performance period, % | 61 | 74 | 85 |
Realisation of earning criteria, % | 71 | 31 | 39 |
Number of shares distributed | 127,539 | 72,394 | 95,241 |
Volume weighted average share price at distribution date, EUR | 52.85 | 52.52 | 49.39 |
| Number of shares distributed as a proportion of the possible | |||
maximum number, % | 31 | 14 | 17 |
Number of participants in the plan on the payment date | 164 | 175 | 164 |
Auditor’s reportParent company
financial statements
Consolidated financial
statement
35Financial Statements 2023
| Restriction | Restriction | Restriction | |
| Amount of share incentives and terms and | period | period | period |
| assumptions in the fair value calculation | 2023 | 2022–2023 | 2022–2023 |
Maximum number of rewards granted | 2,500 | 8,000 | 2,500 |
Grant date | 1.1.2023 | 1.8.2022 | 1.8.2022 |
Share price on the grant date, EUR | 49.78 | 54.16 | 54.16 |
Restriction period started | 1.1.2023 | 1.8.2022 | 1.8.2022 |
Restriction period ends | 31.12.2023 | 31.12.2023 | 31.8.2023 |
Estimated realisation of earnings criteria at the beginning of performance period, % | 100 | 100 | 100 |
Estimated realisation of earning criteria on the closing date, % | 100 | 100 | |
Realisation of earning criteria, % | 100 | ||
Number of shares transferred | 1,185 | ||
Average exchange rate on the day of transfer, EUR | 44.98 | ||
Number of shares distributed as a proportion of the maximum amount of share rewards granted, % | 47 | ||
Number of participants in the plan on the payment date | 5 | ||
| Number of participants in the plan on the closing date | 6 | 4 |
| Restriction | |
| Amount of share incentives and terms and | period |
| assumptions in the fair value calculation | 2023–2024 |
Maximum number of rewards granted | 334 |
Grant date | 1.11.2023 |
Share price on the grant date, EUR | 40.78 |
Restriction period started | 1.11.2023 |
Restriction period ends | 31.12.2024 |
Estimated realisation of earnings criteria at the beginning of performance period, % | 100 |
Estimated realisation of earning criteria on the closing date, % | 100 |
| Number of participants in the plan on the closing date | 1 |
Auditor’s reportParent company
financial statements
Consolidated financial
statement
36Financial Statements 2023
Auditor’s reportParent company
financial statements
Consolidated financial
statement
37Financial Statements 2023
EUR million | 2023 | 2022 |
Present value of unfunded obligations | –2.8 | –3.1 |
Present value of funded obligations | –41.2 | –47.5 |
| Fair value of plan assets | 34.7 | 37.7 |
| B/S Net pension liability (-) / receivable (+) in the statement of financial | ||
position | –9.3 | –12.9 |
EUR million | 2023 | 2022 |
| Expense recognised in profit or loss | ||
Service cost | 0.2 | 0.2 |
| Net interest | 0.4 | 0.1 |
0.5 | 0.3 | |
Remeasurements | –1.5 | –0.5 |
| Tax effect of the remeasurements | 0.3 | 0.1 |
| I/S | –1.2 | –0.4 |
4.3 Eläkevelvoitteet
EUR million | 2023 | 2022 |
Net defined benefit obligation at the beginning of the period | 12.9 | 14.4 |
Pension expenses recognised in profit or loss | 0.5 | 0.3 |
Remeasurements | –1.5 | –0.5 |
| Contributions paid by the employer | –2.6 | –1.3 |
Net defined benefit obligation at the end of period | 9.3 | 12.9 |
EUR million | 2023 | 2022 |
Obligation at the beginning of the period | –50.6 | –62.6 |
Current service cost | –0.2 | –0.2 |
Interest expenses | –1.5 | –0.4 |
| Remeasurements | ||
| Actuarial gain (+) or loss (-) arising from changes in economic | ||
assumptions | 2.4 | 8.0 |
Gain (+) or loss (-) arising from experience adjustments | 1.5 | 0.1 |
| Benefits paid | 4.5 | 4.5 |
Obligation at the end of period | –44.0 | –50.6 |
EUR million | 2023 | 2022 |
Fair value of plan assets at the beginning of the period | 37.7 | 48.2 |
Interest income | 1.2 | 0.3 |
Remeasurements, gain (+) or loss (-) | –2.3 | –7.7 |
Benefits paid | –4.5 | –4.5 |
| Contributions paid by the employer | 2.6 | 1.3 |
Fair value of plan assets at the end of period | 34.7 | 37.7 |
The principal actuarial assumptions used | 2023 | 2022 |
Discount rate, % | 3.8 | 3.3 |
Future pension increase, % | 2.7 | 2.8 |
Inflation, % | 2.4 | 2.6 |
Auditor’s reportParent company
financial statements
Consolidated financial
statement
38Financial Statements 2023
5. Aineelliset ja aineettomat hyö-
dykkeet
5.1 Poistot ja arvonalentumiset
Change in actuarial assumptions | 2023 | 2022 |
Discount rate + 0.5% | –0.6 | –0.9 |
Future pension increase +0.5% | 0.7 | 0.9 |
Expected mortality +1 year | 0.6 | 0.7 |
Auditor’s reportParent company
financial statements
Consolidated financial
statement
39Financial Statements 2023
| Telecom | ||||||
| Land and | Buildings | devices, | Other | Tangible | ||
| 2023 | water | and | machinery and | tangible | assets under | |
| EUR million | areas | structures | equipment | assets | construction | Total |
Acquisition cost at 1 Jan. | 11.7 | 334.8 | 4,045.9 | 36.6 | 32.7 | 4,461.7 |
Additions | 0.3 | 14.8 | 190.8 | 0.1 | 30.6 | 236.6 |
Business disposals | –0.5 | –9.5 | –10.0 | |||
Disposals | –0.2 | –1.2 | –374.6 | –0.1 | 0.0 | –376.2 |
Reclassifications | 0.0 | 3.4 | 22.7 | –24.9 | 1.3 | |
| Translation differences | 0.0 | 0.0 | –0.1 | 0.0 | 0.0 | –0.1 |
Acquisition cost at 31 Dec. | 11.7 | 351.3 | 3,875.3 | 36.6 | 38.3 | 4,313.3 |
| Accumulated depreciation | ||||||
and impairment at 1 Jan. | –0.1 | 206.7 | 3,452.6 | 35.9 | 3,695.0 | |
Depreciation and impairment | 0.0 | 12.3 | 176.0 | 0.1 | 188.4 | |
| Accumulated depreciation | ||||||
on disposals and reclassifications | 0.0 | –1.1 | –374.6 | –0.1 | –375.8 | |
| Accumulated depreciation | ||||||
on business disposals | –0.4 | –9.5 | –9.9 | |||
| Translation differences | 0.0 | 0.0 | 0.0 | 0.0 | ||
| Accumulated depreciation | ||||||
and impairment at 31 Dec. | –0.1 | 217.4 | 3,244.5 | 35.9 | 3,497.7 | |
B/S Book value at 1 Jan. | 11.8 | 128.1 | 593.3 | 0.8 | 32.7 | 766.7 |
B/S Book value at 31 Dec. | 11.9 | 133.9 | 630.8 | 0.8 | 38.3 | 815.6 |
5.2 Aineelliset hyödykkeet
EUR million | 2023 | 2022 |
| Tangible assets | ||
| Land and water areas | ||
Right-of-use assets | 1.2 | 1.1 |
| Buildings and constructions | ||
Owned buildings and constructions | 12.3 | 11.9 |
Right-of-use assets | 21.5 | 20.3 |
| Telecom devices, machinery and equipment | ||
Owned telecom devices, machinery and equipment | 176.0 | 168.8 |
Right-of-use assets | 2.9 | 3.0 |
| Other tangible assets | 0.1 | 0.1 |
213.9 | 205.2 | |
| Intangible assets | ||
Customer base | 2.6 | 4.3 |
| Other intangible assets | 57.6 | 53.9 |
60.2 | 58.2 | |
| I/S | 274.1 | 263.4 |
Auditor’s reportParent company
financial statements
Consolidated financial
statement
40Financial Statements 2023
| Telecom | ||||||
| Land and | Buildings | devices, | Other | Tangible assets | ||
| 2022 | water | and | machinery and | tangible | under | |
| EUR million | areas | structures | equipment | assets | construction | Total |
Acquisition cost at 1 Jan. | 12.3 | 316.0 | 3,949.0 | 36.5 | 33.9 | 4,347.7 |
Business acquisitions | 0.0 | 0.1 | 0.0 | 0.1 | ||
Additions | 0.1 | 18.1 | 152.4 | 0.1 | 29.6 | 200.3 |
Business disposals | –1.2 | –1.2 | ||||
Disposals | –80.7 | 0.0 | –80.8 | |||
Reclassifications | –0.6 | 0.6 | 26.2 | 0.0 | –30.8 | –4.6 |
| Translation differences | 0.0 | 0.0 | 0.0 | 0.0 | 0.0 | 0.1 |
Acquisition cost at 31 Dec. | 11.7 | 334.8 | 4,045.9 | 36.6 | 32.7 | 4,461.7 |
| Accumulated depreciation | ||||||
and impairment at 1 Jan. | 0.0 | 195.9 | 3,363.3 | 35.8 | 3,595.0 | |
Depreciation and impairment | –0.1 | 11.9 | 168.8 | 0.1 | 180.7 | |
| Accumulated depreciation | ||||||
on business acquisitions | 0.1 | 0.1 | ||||
| Accumulated depreciation | ||||||
on disposals and reclassifications | –1.2 | –78.9 | 0.0 | –80.1 | ||
| Accumulated depreciation | ||||||
on business disposals | –0.7 | –0.7 | ||||
| Translation differences | 0.0 | 0.0 | 0.0 | 0.0 | ||
| Accumulated depreciation | ||||||
and impairment at 31 Dec. | –0.1 | 206.7 | 3,452.6 | 35.9 | 3,695.0 | |
B/S Book value at 1 Jan. | 12.3 | 120.0 | 585.7 | 0.8 | 33.9 | 752.7 |
B/S Book value at 31 Dec. | 11.8 | 128.1 | 593.3 | 0.8 | 32.7 | 766.7 |
Auditor’s reportParent company
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Consolidated financial
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41Financial Statements 2023
5.3 Käyttöoikeusomaisuus
| Buildings | Telecom devices, | |||
| 2023 | Land and | and | machinery and | |
| EUR million | water areas | structures | equipment | Total |
Acquisition cost at 1 Jan. | 17.2 | 143.6 | 20.9 | 181.7 |
Additions | 1.8 | 17.7 | 3.8 | 23.3 |
Business disposals | –0.9 | –0.1 | –1.0 | |
Disposals | –0.5 | –0.5 | ||
Reclassifications | –0.2 | –24.2 | –9.9 | –34.3 |
Translation differences | 0.0 | 0.0 | 0.0 | |
Acquisition cost at 31 Dec. | 18.7 | 135.7 | 14.7 | 169.1 |
Accumulated depreciation and impairment at 1 Jan. | 4.0 | 72.2 | 15.1 | 91.3 |
Depreciation and impairment | 1.2 | 21.5 | 2.9 | 25.6 |
Accumulated depreciation on disposals and reclassifications | –0.2 | –24.2 | –9.9 | –34.3 |
Accumulated depreciation on business disposals | –0.7 | –0.1 | –0.7 | |
Translation differences | 0.0 | 0.0 | 0.0 | |
Accumulated depreciation and impairment at 31 Dec. | 4.9 | 68.9 | 8.0 | 81.8 |
B/S Book value at 1 Jan. | 13.2 | 71.4 | 5.9 | 90.4 |
B/S Book value at 31 Dec. | 13.8 | 66.8 | 6.7 | 87.3 |
| Land and | Buildings | Telecom devices, | ||
| 2022 | water | and | machinery and | |
| EUR million | areas | structures | equipment | Total |
Acquisition cost at 1 Jan. | 15.5 | 129.1 | 130.3 | 274.9 |
Business acquisitions | 0.0 | 0.0 | ||
Additions | 1.6 | 20.6 | 3.3 | 25.5 |
Disposals | –1.6 | –1.6 | ||
Reclassifications | –4.3 | –112.6 | –117.0 | |
Translation differences | –0.2 | 0.0 | –0.2 | |
Acquisition cost at 31 Dec. | 17.2 | 143.6 | 20.9 | 181.7 |
Accumulated depreciation and impairment at 1 Jan. | 2.9 | 56.3 | 124.7 | 183.9 |
Depreciation and impairment | 1.1 | 20.3 | 3.0 | 24.4 |
Accumulated depreciation on disposals and reclassifications | –4.3 | –112.6 | –117.0 | |
Translation differences | –0.1 | 0.0 | –0.1 | |
Accumulated depreciation and impairment at 31 Dec. | 4.0 | 72.2 | 15.1 | 91.3 |
B/S Book value at 1 Jan. | 12.6 | 72.8 | 5.5 | 91.0 |
B/S Book value at 31 Dec. | 13.2 | 71.4 | 5.9 | 90.4 |
Auditor’s reportParent company
financial statements
Consolidated financial
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42Financial Statements 2023
| 2023 | intangible assets under | ||||
EUR million | Goodwill | Customer base | assets | construction | Total |
Acquisition cost at 1 Jan. | 1,178.4 | 44.3 | 906.4 | 19.0 | 2,148.1 |
Additions | 51.5 | 10.0 | 61.6 | ||
Disposals | –1.4 | –1.4 | |||
Business disposals | –7.9 | –0.1 | –8.0 | ||
Reclassifications | 13.1 | –14.1 | –1.0 | ||
| Translation differences | –0.1 | 0.0 | 0.0 | 0.0 | |
Acquisition cost at 31 Dec. | 1,178.4 | 44.3 | 961.8 | 14.8 | 2,199.3 |
| Accumulated amortisation and impairment | |||||
at 1 Jan. | 21.1 | 38.3 | 720.8 | 780.2 | |
Amortisation and impairment | 2.6 | 57.6 | 60.2 | ||
Accumulated amortisation on disposal and reclassifications | –1.3 | –1.3 | |||
| Accumulated amortisation on business | |||||
disposals | –7.4 | –7.4 | |||
| Translation differences | 0.1 | 0.0 | 0.0 | 0.1 | |
| Accumulated amortisation and impairment | |||||
at 31 Dec. | 21.2 | 40.9 | 769.7 | 831.8 | |
Book value at 1 Jan. | 1,157.3 | 6.0 | 185.5 | 19.0 | 1,367.9 |
Book value at 31 Dec. | 1,157.2 | 3.4 | 192.1 | 14.8 | 1,367.5 |
5.4 Aineettomat hyödykkeet
| Other | Intangible | ||||
| 2022 | intangible assets under | ||||
EUR million | Goodwill | Customer base | assets | construction | Total |
Acquisition cost at 1 Jan. | 1,160.6 | 45.0 | 845.1 | 13.4 | 2,064.1 |
Business acquisitions | 22.5 | 2.1 | 24.6 | ||
Additions | 51.4 | 12.5 | 63.9 | ||
Disposals | –0.2 | –0.2 | |||
Business disposals | 0.0 | 0.0 | |||
Reclassifications | 8.0 | –6.9 | 1.1 | ||
| Translation differences | –4.7 | –0.7 | 0.0 | –5.4 | |
Acquisition cost at 31 Dec. | 1,178.4 | 44.3 | 906.4 | 19.0 | 2,148.1 |
| Accumulated amortisation and impairment | |||||
at 1 Jan. | 21.2 | 34.5 | 670.9 | 726.7 | |
Amortisation and impairment | 4.3 | 53.9 | 58.2 | ||
| Accumulated amortisation on business | |||||
acquisitions | 0.1 | 0.1 | |||
Accumulated amortisation on disposals and reclassifications | –4.0 | –4.0 | |||
| Accumulated amortisation on business | |||||
disposals | 0.0 | 0.0 | |||
| Translation differences | –0.1 | –0.5 | 0.0 | –0.7 | |
| Accumulated amortisation and impairment | |||||
at 31 Dec. | 21.1 | 38.3 | 720.8 | 780.2 | |
Book value at 1 Jan. | 1,139.4 | 10.5 | 174.2 | 13.4 | 1,337.5 |
Book value at 31 Dec. | 1,157.3 | 6.0 | 185.5 | 19.0 | 1,367.9 |
Auditor’s reportParent company
financial statements
Consolidated financial
statement
43Financial Statements 2023
Auditor’s reportParent company
financial statements
Consolidated financial
statement
44Financial Statements 2023
EUR million | 2023 | 2022 |
Consumer Customers | 641.0 | 641.0 |
| Corporate Customers | 516.2 | 516.3 |
B/S | 1,157.2 | 1,157.3 |
| Sensitivity analysis | Consumer | Corporate | Consumer | Corporate |
| Customers | Customers | Customers | Customers | |
| Projection parameters applied | 2023 | 2023 | 2022 | 2022 |
Amount in excess of CGU carrying value, EUR million | 5,478 | 2,847 | 5,446 | 2,452 |
| EBITDA margin on average, % | 39.1 | 28.9 | 38.5 | 30.0 |
Horizon growth, % | 2.0 | 2.0 | 2.0 | 2.0 |
Pre-tax discount rate, % | 6.9 | 6.8 | 6.6 | 6.6 |
6. Vaihto-omaisuus, myyntisaamiset ja muut saamiset sekä os-
tovelat ja muut velat
6.1 Vaihto-omaisuus
6.2 Myyntisaamiset ja muut
saamiset
| Consumer | Corporate | Consumer | Corporate | |
| Change in projection parameters that | Customers | Customers | Customers | Customers |
| makes the fair value equal to book value | 2023 | 2023 | 2022 | 2022 |
EBITDA margin on average, % | –18.1 | –13.8 | –18.8 | –13.3 |
Horizon growth, % | –30.6 | –29.4 | –28.9 | –22.8 |
Pre-tax discount rate, % | 17.1 | 16.4 | 17.3 | 15.3 |
Auditor’s reportParent company
financial statements
Consolidated financial
statement
45Financial Statements 2023
EUR million | 2023 | 2022 |
Materials and supplies | 25.2 | 33.2 |
| Finished goods | 51.9 | 62.4 |
B/S | 77.1 | 95.5 |
EUR million | 2023 | 2022 |
Trade receivables | 441,5 | 421,9 |
Impaired trade receivables | –6,1 | –4,7 |
Contract assets related to revenue | 3,8 | 2,0 |
Contract assets related to costs | 5,8 | 5,7 |
Accrued income | 75,2 | 79,8 |
Finance lease receivables | 17,2 | 16,5 |
Loan receivables | 0,1 | 0,1 |
Receivables from associated companies | 7,0 | 0,1 |
| Other receivables | 11,4 | 15,6 |
B/S | 555,8 | 537,1 |
2023 | 2022 | |||||
| Nominal | Carrying | Nominal | Carrying | |||
| EUR million | value | Impairment | amount | value | Impairment | amount |
Not past due | 394.9 | 0.0 | 394.9 | 374.9 | 0.0 | 374.9 |
| Past due | ||||||
Past due less than 30 days | 28.2 | –0.2 | 28.1 | 32.8 | –0.2 | 32.6 |
Past due 31–60 days | 5.9 | –0.7 | 5.2 | 5.1 | –0.4 | 4.7 |
Past due 61–90 days | 3.0 | –0.7 | 2.4 | 3.0 | –0.5 | 2.5 |
Past due 91–180 days | 3.1 | –1.8 | 1.3 | 2.7 | –1.7 | 1.0 |
| Past due more than 181 days | 6.4 | –2.8 | 3.6 | 3.4 | –1.9 | 1.5 |
441.5 | –6.1 | 435.5 | 421.9 | –4.7 | 417.2 |
Auditor’s reportParent company
financial statements
Consolidated financial
statement
46Financial Statements 2023
EUR million | 2023 | 2022 |
Loan receivables | 0.0 | 0.0 |
Trade receivables | 94.7 | 99.4 |
Receivables from associated companies | 4.2 | |
Finance lease receivables | 5.7 | 12.7 |
Accrued income | 1.3 | 2.4 |
Non-current derivatives | 1.0 | 1.2 |
| Other non-current receivables | 1.1 | 1.1 |
B/S | 107.9 | 116.8 |
EUR million | 2023 | 2022 |
Within one year | 17.4 | 17.0 |
| Later than one year, not later than five years | 5.7 | 13.1 |
23.1 | 30.1 | |
Future finance income | –0.2 | –0.8 |
Present value of finance lease receivables | 22.9 | 29.3 |
EUR million | 2023 | 2022 |
Within one year | 17.2 | 16.5 |
| Later than one year, not later than five years | 5.7 | 12.7 |
22.9 | 29.3 |
EUR million | 2023 | 2022 |
| Non-current | ||
| Trade payables | 1.4 | |
Advances received | 4.8 | 4.3 |
Derivative instruments | 0.0 | |
| Other liabilities | 14.6 | 24.6 |
B/S | 19.4 | 30.3 |
| Current | ||
| Trade payables | 191.2 | 199.0 |
Advances received | 11.0 | 10.3 |
Contract liabilities, from revenue | 34.7 | 30.8 |
Accrued employee-related expenses | 62.0 | 64.9 |
Other accruals | 11.1 | 8.0 |
Liabilities to associated companies | 0.5 | 0.0 |
| Other liabilities | 92.2 | 99.9 |
| B/S | 402.5 | 412.9 |
421.9 | 443.2 |
6.3 Ostovelat ja muut velat
Auditor’s reportParent company
financial statements
Consolidated financial
statement
47Financial Statements 2023
7.1 Rahoitusriskien hallinta
7. Pääomarakenne
Auditor’s reportParent company
financial statements
Consolidated financial
statement
48Financial Statements 2023
| Between | Over | |||
Time of interest rate change | Less than 1 year | 1 and 5 years | 5 years | Total |
| Variable-rate financing instruments | ||||
Commercial paper | 34.5 | 34.5 | ||
Bank loans | 100.0 | 100.0 | ||
| Fixed-rate financing instruments | ||||
Bonds | 248.0 | 600.0 | 300.0 | 1,148.0 |
Bank loans | 3.0 | 3.0 | ||
Lease liabilities | 20.8 | 27.4 | 40.4 | 88.6 |
403.3 | 627.4 | 343.4 | 1,374.2 |
EUR million | 2023 | 2022 |
| Change in interest rate level +/- 1% | –1.35/1.35 | –2.25/2.25 |
| Foreign currency position | 2023 | 2022 | ||
EUR million | Trade receivables | Trade payables | Trade receivables | Trade payables |
USD | 10.1 | 5.8 | 13.0 | 7.6 |
SEK | 4.0 | 0.2 | 4.0 | 0.9 |
CAD | 2.5 | 0.0 | 3.8 | 0.0 |
GBP | 0.4 | 0.7 | 1.0 | 0.3 |
| NOK | 0.3 | 0.0 | 0.4 | 0.0 |
EUR million | 2023 | 2022 |
USD | +/- 0.9 | +/- 1.1 |
SEK | +/- 0.8 | +/- 0.6 |
CAD | +/- 0.5 | +/- 0.7 |
GBP | -/+ 0.0 | +/- 0.2 |
| NOK | +/- 0.1 | +/- 0.1 |
Auditor’s reportParent company
financial statements
Consolidated financial
statement
49Financial Statements 2023
Hedging rate for purchases in the following years, % | 2023 | 2022 |
0–1 years | 93.1 | 86.6 |
1–2 years | 77.4 | 60.1 |
2–3 years | 38.8 | 38.9 |
3–4 years | 42.3 | 37.8 |
4–5 years | 41.1 | 36.7 |
EUR million | 2023 | 2022 |
Cash and cash equivalents | 63.4 | 85.4 |
| Credit limits | 300.0 | 300.0 |
363.4 | 385.4 |
Auditor’s reportParent company
financial statements
Consolidated financial
statement
50Financial Statements 2023
7.2 Pääoman hallinta
Auditor’s reportParent company
financial statements
Consolidated financial
statement
51Financial Statements 2023
EUR million | 2023 | 2022 |
Interest-bearing net debt | 1,304.1 | 1,275.8 |
B/S Total equity | 1,293.7 | 1,251.9 |
Total capital | 2,597.7 | 2,527.7 |
Gearing ratio, % | 100.8 | 101.9 |
Net debt / EBITDA | 1.7 | 1.7 |
Equity ratio, % | 41.6 | 40.6 |
Shareholders’ equity 2023 | 2022 | |
Treasury shares, 000s | 6,947 | 7,075 |
Share issue authorisation, 000s | 14,999 | 15,000 |
Debt capital | 2023 | 2022 |
| Commercial paper programme (non-committed) | 315.5 | 225.0 |
Credit facility (non-committed) | 100.0 | 100.0 |
| Revolving credits (committed) | 300.0 | 300.0 |
| EMTN programme (non-committed) | 352.0 | 600.0 |
Total, EUR million | 1,067.5 | 1,225.0 |
Auditor’s reportParent company
financial statements
Consolidated financial
statement
52Financial Statements 2023
| Number of | |||
| shares, | Share | Treasury | |
| EUR million | 000s | capital | shares |
1 Jan. 2022 | 167,335 | 83.0 | –126.1 |
| Disposal of treasury shares | 1.6 | ||
B/S 31 Dec. 2022 | 167,335 | 83.0 | –124.5 |
| Disposal of treasury shares | 2.8 | ||
B/S 31 Dec. 2023 | 167,335 | 83.0 | –121.7 |
| Accounting | Holding, % | ||
| Number of | countervalue, | of shares | |
| Treasury shares | shares | EUR | and votes |
Treasury shares held by the Group at 1 Jan. 2022 | 7,147,772 | 3,546,782 | 4.27 |
| Disposal of treasury shares | –72,394 | ||
Treasury shares held by the Group at 31 Dec. 2022 | 7,075,378 | 3,510,859 | 4.23 |
| Disposal of treasury shares | –128,724 | ||
Treasury shares held by the Group at 31 Dec. 2023 | 6,946,654 | 3,446,986 | 4.15 |
7.3 Oma pääoma
| Reserve for | |||||
| invested | Fair | ||||
| non-restricted | Contingency | value | Other | ||
| EUR million | equity | reserve | reserve | reserves | Total |
1 Jan. 2022 | 90.9 | 3.4 | –10.6 | 381.0 | 464.7 |
Cash flow hedge | –0.3 | –0.3 | |||
| Remeasurements of the net defined benefit liability | 0.4 | 0.4 | |||
B/S 31 Dec. 2022 | 90.9 | 3.4 | –10.5 | 381.0 | 464.8 |
Cash flow hedge | –0.1 | –0.1 | |||
| Remeasurements of the net defined benefit liability | 1.2 | 1.2 | |||
B/S 31 Dec. 2023 | 90.9 | 3.4 | –9.4 | 381.0 | 465.9 |
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Consolidated financial
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53Financial Statements 2023
EUR million | 2023 | 2022 |
| Financial income | ||
Dividend income from other financial assets | 0.5 | 0.4 |
Interest and financial income from loans and other receivables | 4.7 | 2.2 |
Gain on disposal of financial assets | 0.2 | 0.1 |
Foreign exchange gain | 2.1 | 2.8 |
| Other financial income | 1.2 | 0.0 |
| I/S | 8.7 | 5.6 |
| Financial expenses | ||
Interest expenses on financial liabilities measured at amortised cost | –24.3 | –11.1 |
Interest expenses on lease liabilities | –3.3 | –2.6 |
Other financial expenses on financial liabilities measured at amortised cost | –2.1 | –2.0 |
Other interest expenses | –0.1 | –0.2 |
Impairments | –0.1 | –0.2 |
Loss on disposal of financial assets | –0.3 | –0.2 |
Foreign exchange loss | –1.9 | –2.2 |
| Other financial expenses | 0.0 | –0.3 |
| I/S | –32.0 | –18.7 |
7.4 Rahoitusvarat ja -velat
2023 | 2022 | |||
| Balance sheet | Balance sheet | |||
| EUR million | values | Fair values | values | Fair values |
| Non-current | ||||
Bonds | 893.7 | 870.5 | 891.8 | 819.9 |
Bank loans | 103.0 | 103.0 | 103.2 | 103.2 |
| Lease liabilities | 67.8 | 67.8 | 70.8 | 70.8 |
B/S | 1,064.5 | 1,041.4 | 1,065.9 | 994.0 |
| Current | ||||
Bonds | 247.7 | 246.5 | ||
Bank loans | 0.0 | 0.0 | 150.0 | 150.0 |
Lease liabilities | 20.8 | 20.8 | 20.4 | 20.4 |
| Commercial paper | 34.5 | 34.5 | 125.0 | 125.0 |
| B/S | 303.0 | 301.8 | 295.4 | 295.4 |
1,367.5 | 1,343.2 | 1,361.2 | 1,289.3 |
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Consolidated financial
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54Financial Statements 2023
| 2023 | |||||||
EUR million | 2024 | 2025 | 2026 | 2027 | 2028 | 2029– | Total |
Bonds | 258.3 | 16.1 | 316.1 | 312.8 | 12.0 | 312.0 | 1,227.3 |
Financial costs | 10.3 | 16.1 | 16.1 | 12.8 | 12.0 | 12.0 | 79.3 |
| Repayments | 248.0 | 0.0 | 300.0 | 300.0 | 0.0 | 300.0 | 1,148.0 |
Bank loans | 4.7 | 104.7 | 0.2 | 0.2 | 0.2 | 2.1 | 112.1 |
Financial costs | 4.5 | 4.4 | 0.0 | 0.0 | 0.0 | 0.1 | 9.1 |
| Repayments | 0.3 | 100.3 | 0.2 | 0.2 | 0.2 | 1.9 | 103.0 |
Commercial paper | 34.5 | 34.5 | |||||
Financial costs | 0.6 | 0.6 | |||||
| Repayments | 33.9 | 33.9 | |||||
Lease liabilities | 24.4 | 19.7 | 12.9 | 6.6 | 4.5 | 68.5 | 136.6 |
Financial costs | 3.6 | 7.0 | 5.0 | 2.5 | 1.7 | 28.1 | 47.9 |
| Repayments | 20.8 | 12.7 | 7.8 | 4.1 | 2.8 | 40.4 | 88.6 |
Derivatives | –0.9 | –0.2 | –1.1 | ||||
Electricity derivatives | –0.8 | –0.2 | –1.0 | ||||
| Currency derivatives | –0.1 | –0.1 | |||||
| Contingent considerations | 1.1 | 1.1 | |||||
| Trade payables | 191.2 | 191.2 | |||||
Total | 513.3 | 140.4 | 329.2 | 319.5 | 16.7 | 382.5 | 1,701.7 |
Financial costs | 18.0 | 27.4 | 21.2 | 15.3 | 13.7 | 40.2 | 135.8 |
| Repayments | 495.3 | 113.0 | 308.0 | 304.2 | 3.0 | 342.3 | 1,565.9 |
| 2022 | |||||||
EUR million | 2023 | 2024 | 2025 | 2026 | 2027 | 2028– | Total |
Bonds | 6.8 | 306.8 | 4.1 | 304.1 | 300.8 | 922.5 | |
Financial costs | 6.8 | 6.8 | 4.1 | 4.1 | 0.8 | 22.5 | |
| Repayments | 0.0 | 300.0 | 0.0 | 300.0 | 300.0 | 900.0 | |
Bank loans | 153.9 | 3.3 | 103.3 | 0.2 | 0.2 | 2.3 | 263.2 |
Financial costs | 3.7 | 3.0 | 3.0 | 0.0 | 0.0 | 0.2 | 9.9 |
| Repayments | 150.3 | 0.3 | 100.2 | 0.2 | 0.2 | 2.1 | 253.2 |
Commercial paper | 125.0 | 125.0 | |||||
Financial costs | 0.5 | 0.5 | |||||
| Repayments | 124.5 | 124.5 | |||||
Lease liabilities | 23.4 | 17.8 | 14.2 | 9.8 | 5.3 | 66.0 | 136.5 |
Financial costs | 3.1 | 5.8 | 5.0 | 3.8 | 2.0 | 25.6 | 45.2 |
| Repayments | 20.4 | 11.9 | 9.2 | 6.0 | 3.3 | 40.4 | 91.2 |
Derivatives | –1.1 | –1.1 | |||||
Electricity derivatives | –1.2 | –1.2 | |||||
| Currency derivatives | 0.0 | 0.0 | |||||
| Contingent considerations | 4.3 | 0.5 | 4.9 | ||||
| Trade payables | 199.0 | 199.0 | |||||
Total | 511.3 | 328.3 | 121.6 | 314.1 | 306.3 | 68.3 | 1,649.9 |
Financial costs | 12.8 | 15.6 | 12.2 | 7.9 | 2.7 | 25.8 | 77.0 |
| Repayments | 498.5 | 312.7 | 109.4 | 306.2 | 303.5 | 42.5 | 1,572.9 |
Auditor’s reportParent company
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Consolidated financial
statement
55Financial Statements 2023
| Balance | Nominal | Nominal | Effective | |||
| Fair value | sheet value | value | interest | interest | Maturity | |
| EUR million | EUR million | EUR million | rate, % | rate, % | date | |
| EMTN programme 2001 / EUR 1,000 million | ||||||
I/2017 | 246.5 | 247.7 | 248.0 | 0.875 | 0.974 | 17.3.2024 |
I/2019 | 287.8 | 297.3 | 300.0 | 1.125 | 1.236 | 26.2.2026 |
I/2020 | 272.0 | 298.6 | 300.0 | 0.250 | 0.322 | 15.9.2027 |
| I/2023 | 310.7 | 297.7 | 300.0 | 4.000 | 4.092 | 27.1.2029 |
1,117.1 | 1,141.3 | 1,148.0 | ||||
EUR million | 2023 | 2022 |
Within one year | 20.8 | 20.4 |
Later than one year, but not later than five years | 27.4 | 30.5 |
| Later than five years | 40.4 | 40.4 |
88.6 | 91.2 |
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Consolidated financial
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56Financial Statements 2023
| Carrying amounts of financial assets and liabilities by category | Financial | Financial | ||||
| assets/liabilities | assets/liabilities | Financial | ||||
| measured at | measured at fair value | assets/liabilities | ||||
| 2023 | fair value through | through other | measured at | Book | Fair | |
| EUR million | profit or loss | comprehensive income | amortised cost | values | values | Note |
| Non-current financial assets | ||||||
| Other financial assets | 0.6 | 15.4 | 16.0 | 16.0 | ||
Trade and other receivables | 1.0 | 106.9 | 107.9 | 107.9 | 6.2.2 | |
| Current financial assets | ||||||
Trade and other receivables | 555.8 | 555.8 | 555.8 | 6.2.1 | ||
| Non-current financial liabilities | 0.6 | 1.0 | 678.1 | 679.7 | 679.7 | |
Financial liabilities | 1,064.5 | 1,064.5 | 1,041.4 | 7.4.2 | ||
| Trade and other liabilities | 14.6 | 14.6 | 14.6 | 6.3 | ||
| Current financial liabilities | ||||||
Financial liabilities | 303.0 | 303.0 | 301.8 | 7.4.2 | ||
| Trade and other liabilities | 1.1 | 390.4 | 391.5 | 391.5 | 6.3 | |
1.1 | 1,772.5 | 1,773.6 | 1,749.3 |
| Financial | Financial | |||||
| assets/liabilities | assets/liabilities | Financial | ||||
| measured at | measured at fair value | assets/liabilities | ||||
| 2022 | fair value through | through other | measured at | Book | Fair | |
| EUR million | profit or loss | comprehensive income | amortised cost | values | values | Note |
| Non-current financial assets | ||||||
| Other financial assets | 0.6 | 15.6 | 16.2 | 16.2 | ||
Trade and other receivables | 1.2 | 115.6 | 116.8 | 116.8 | 6.2.2 | |
| Current financial assets | ||||||
Trade and other receivables | 537.1 | 537.1 | 537.1 | 6.2.1 | ||
0.6 | 1.2 | 668.3 | 670.1 | 670.1 | ||
| Non-current financial liabilities | ||||||
Financial liabilities | 1,065.9 | 1,065.9 | 994.0 | 7.4.2 | ||
| Trade and other liabilities | 4.6 | 0.0 | 21.4 | 26.0 | 26.0 | 6.3 |
| Current financial liabilities | ||||||
Financial liabilities | 295.4 | 295.4 | 295.4 | 7.4.2 | ||
| Trade and other liabilities | 0.3 | 402.3 | 402.6 | 402.6 | 6.3 | |
4.9 | 0.0 | 1,785.0 | 1,789.9 | 1,718.0 |
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57Financial Statements 2023
EUR million | 2023 | Level 1 | Level 2 | Level 3 |
| Financial assets and liabilities measured at fair value through | ||||
| other comprehensive income | ||||
Electricity derivatives | 1.0 | 1.0 | ||
Currency derivatives | 0.1 | 0.1 | ||
Financial assets and liabilities measured at fair value through profit or loss | ||||
Listed equity investments | 0.6 | 0.6 | ||
| Contingent considerations in business combinations | –1.1 | –1.1 | ||
0.5 | 0.6 | 1.0 | –1.1 |
EUR million | 2022 | Level 1 | Level 2 | Level 3 |
| Financial assets and liabilities measured at fair value through | ||||
| other comprehensive income | ||||
Electricity derivatives | 1.2 | 1.2 | ||
Currency derivatives | 0.0 | 0.0 | ||
Financial assets and liabilities measured at fair value through profit or loss | ||||
| Listed equity investments | 0.6 | 0.6 | ||
| Contingent considerations in business combinations | –4.9 | –4.9 | ||
–3.1 | 0.6 | 1.1 | –4.9 |
EUR million | 2023 | 2022 |
At the beginning of the period | 4.9 | 3.3 |
Increase in contingent consideration | 0.6 | 1.7 |
Payment of contingent consideration | –4.2 | –0.1 |
Release of unused contingent consideration | –0.1 | |
| Translation differences | 0.0 | 0.0 |
At the end of the period | 1.1 | 4.9 |
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Consolidated financial
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58Financial Statements 2023
2023 | 2022 | |||||
Period of validity | Period of validity | |||||
| Less than | Over | Less than | Over | |||
| EUR million | 1 year | 1–5 years | 5 years | 1 year | 1–5 years | 5 years |
Electricity derivatives | 3.5 | 5.8 | ||||
Currency derivatives | 3.3 | 3.3 | ||||
6.8 | 9.1 |
2023 | 2022 | |||||
| Positive | Negative | Positive | Negative | |||
| EUR million | fair value | fair value | Total | fair value | fair value | Total |
Electricity derivatives | 1.0 | 1.0 | 1.2 | 1.2 | ||
Currency derivatives | 0.1 | 0.1 | 0.0 | 0.0 | ||
1.0 | 1.0 | 1.2 | 0.0 | 1.1 |
Auditor’s reportParent company
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Consolidated financial
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59Financial Statements 2023
EUR million | 2023 | 2022 |
Taxes for the period | –82.7 | –83.0 |
Taxes for previous periods | 0.0 | –0.1 |
Deferred taxes | –1.4 | –0.2 |
| I/S | –84.1 | –83.2 |
2023 | 2022 | |||||
| Before | Tax | After | Before | Tax | After | |
| EUR million | taxes | effect | taxes | taxes | effect | taxes |
Remeasurements of the net defined benefit liability | 1.5 | –0.3 | 1.2 | 0.5 | –0.1 | 0.4 |
Cash flow hedge | –0.1 | 0.0 | –0.1 | –0.4 | 0.1 | –0.3 |
1.5 | –0.3 | 1.2 | 0.0 | 0.0 | 0.0 |
EUR million | 2023 | 2022 | |
| I/S | Profit before tax | 458.1 | 456.0 |
Tax according to the domestic tax rate | –91.6 | –91.2 | |
| Tax effects of the following: | |||
Tax-free income | 0.1 | 0.2 | |
Non-deductible expenses | –1.8 | –0.7 | |
Tax effect related to the foreign subsidiaries | 11.0 | 10.3 | |
Usage of tax losses, for which no deferred tax was recognised | 0.7 | 0.2 | |
Loss for the period, for which no deferred tax asset is recognised | –2.4 | –1.6 | |
Taxes for previous periods | 0.0 | –0.1 | |
Other items | 0.0 | –0.4 | |
| I/S | Taxes on the income statement | –84.1 | –83.2 |
Effective tax rate, % | 18.4 | 18.2 | |
8. Muut liitetiedot
8.1 Verot
Auditor’s reportParent company
financial statements
Consolidated financial
statement
60Financial Statements 2023
| Recognised on | |||||
| consolidated | |||||
| Deferred tax assets | Recognised | statement of | |||
| 1 Jan. | on the income | comprehensive | Translation | 31 Dec. | |
| EUR million | 2023 | statement | income | differences | 2023 |
Lease liabilities | 17.3 | –0.9 | 16.4 | ||
| Right-of-use assets | –15.6 | 1.0 | –14.6 | ||
Lease contracts total | 1.7 | 0.1 | 1.8 | ||
Internal margins | 2.8 | –0.4 | 2.4 | ||
Share-based incentive plans | 3.9 | –0.3 | 3.6 | ||
Pension obligations | 2.8 | –0.4 | –0.3 | 2.1 | |
Provisions | 0.8 | 0.2 | 1.0 | ||
Confirmed losses | 0.3 | –0.3 | 0.0 | ||
| Other temporary differences | 0.8 | –0.2 | 0.0 | 0.0 | 0.6 |
B/S | 13.1 | –1.3 | –0.3 | 0.0 | 11.5 |
| Deferred tax liabilities | Recognised | ||||
| 1 Jan. | on the income | Business | Translation | 31 Dec. | |
| EUR million | 2023 | statement | disposals | differences | 2023 |
| Fair value measurement of tangible | |||||
| and intangible assets in business | |||||
combinations | 3.0 | –1.0 | 0.0 | 2.0 | |
Accumulated depreciation differences | 17.4 | 0.6 | 18.0 | ||
Finance lease agreements | 1.3 | 0.7 | –1.1 | 0.9 | |
Customer contracts | 1.8 | –0.1 | 1.7 | ||
Bonds | 0.7 | –0.2 | 0.5 | ||
| Other temporary differences | 1.6 | 0.0 | 1.6 | ||
B/S | 25.7 | 0.1 | –1.1 | 0.0 | 24.7 |
| Recognised on | |||||
| consolidated | |||||
| Deferred tax assets | Recognised | statement of | |||
| 1 Jan. | on the income | comprehensive | Translation | 31 Dec. | |
| EUR million | 2022 | statement | income | differences | 2022 |
Lease liabilities | 17.3 | –0.1 | 17.3 | ||
| Right-of-use assets | –15.7 | 0.1 | –15.6 | ||
Lease contracts total | 1.6 | 0.1 | 1.7 | ||
Internal margins | 2.8 | 0.0 | 2.8 | ||
Share-based incentive plans | 3.0 | 0.9 | 3.9 | ||
Pension obligations | 3.0 | –0.1 | –0.1 | 2.8 | |
Provisions | 1.2 | –0.4 | 0.8 | ||
| Confirmed losses | 0.7 | –0.4 | 0.3 | ||
| Other temporary differences | 0.9 | –0.2 | 0.1 | 0.0 | 0.8 |
B/S | 13.1 | 0.0 | 0.0 | 0.0 | 13.1 |
| Deferred tax liabilities | Recognised | ||||
| 1 Jan. | on the income | Business | Translation | 31 Dec. | |
| EUR million | 2022 | statement | combinations | differences | 2022 |
| Fair value measurement of tangible | |||||
| and intangible assets in business | |||||
combinations | 3.9 | –1.2 | 0.4 | 0.0 | 3.0 |
Accumulated depreciation differences | 16.4 | 1.0 | 17.4 | ||
Finance lease contracts | 0.6 | 0.7 | 1.3 | ||
Customer contracts | 1.9 | –0.1 | 1.8 | ||
Bonds | 0.8 | –0.1 | 0.7 | ||
| Other temporary differences | 1.6 | –0.1 | 1.6 | ||
B/S | 25.3 | 0.1 | 0.4 | 0.0 | 25.7 |
Auditor’s reportParent company
financial statements
Consolidated financial
statement
61Financial Statements 2023
Auditor’s reportParent company
financial statements
Consolidated financial
statement
62Financial Statements 2023
| Termination | |||
| EUR million | benefits | Other | Total |
1 Jan. 2022 | 4.3 | 1.7 | 5.9 |
Increase in provisions | 2.0 | 2.0 | |
Utilised provisions | –3.8 | –3.8 | |
| Release of unused provisions | –0.5 | –0.5 | |
31 Dec. 2022 | 2.0 | 1.7 | 3.7 |
Increase in provisions | 4.4 | 4.4 | |
Utilised provisions | –3.3 | –3.3 | |
| Release of unused provisions | –0.3 | –0.3 | |
31 Dec. 2023 | 2.8 | 1.7 | 4.5 |
EUR million | 2023 | 2022 | |
B/S | Long-term provisions | 3.4 | 2.9 |
B/S | Short-term provisions | 1.0 | 0.8 |
4.5 | 3.7 | ||
Auditor’s reportParent company
financial statements
Consolidated financial
statement
63Financial Statements 2023
| 2023 | ||||
EUR million | Revenue | Purchases | Receivables | Liabilities |
Associates | 0.7 | 0.9 | 11.6 | 0.5 |
| 2022 | ||||
| EUR million | ||||
Associates | 0.5 | 1.0 | 0.6 | 0.0 |
8.3 Lähipiiritiedot
Auditor’s reportParent company
financial statements
Consolidated financial
statement
64Financial Statements 2023
Auditor’s reportParent company
financial statements
Consolidated financial
statement
65Financial Statements 2023
EUR million | 2023 | 2022 | |
| I/S | Group’s share of associated companies’ profit | –0.4 | –0.7 |
B/S Group’s investments in associated companies | 20.8 | 9.9 | |
EUR million | 2023 | 2022 |
Balance at the beginning of the period | 9.9 | 10.6 |
| Additions | 11.5 | 0.0 |
Reclassifications | –0.2 | 0.0 |
Share of profits for the period | –0.4 | –0.7 |
Dividends received | 0.0 | 0.0 |
| Impairment | –0.1 | |
B/S Balance at the end of the period | 20.8 | 9.9 |
Auditor’s reportParent company
financial statements
Consolidated financial
statement
66Financial Statements 2023
EUR million | 2023 | 2022 |
Lease payments associated with short-term leases | 34.9 | 31.9 |
| Lease payments associated with low-value assets | 14.2 | 4.6 |
49.1 | 36.5 |
EUR million | 2023 | 2022 |
Within one year | 14.4 | 13.2 |
Later than one year, but not later than five years | 5.1 | 4.3 |
| Later than five years | 1.4 | 1.0 |
20.9 | 18.4 |
EUR million | 2023 | 2022 |
Within one year | 3.0 | 3.6 |
| Later than one year, but not later than five years | 0.4 | 0.7 |
3.5 | 4.3 |
8.4 Taseen ulkopuoliset vuokrasopimukset ja muut vastuusitoumukset
| EUR million | 2023 | 2022 |
| On behalf of own commitments | ||
Mortgages | 3.8 | 3.8 |
Guarantees | 0.8 | 0.6 |
| Deposits | 0.5 | 0.6 |
| On behalf of others | ||
| Guarantees | 0.5 | 0.3 |
5.6 | 5.2 | |
| Other contractual obligations | ||
| Venture capital investment obligation | 0.2 | 0.5 |
0.2 | 0.5 |
Auditor’s reportParent company
financial statements
Consolidated financial
statement
67Financial Statements 2023
8.5 Tilinpäätöspäivän jälkeiset tapahtumat
Auditor’s reportParent company
financial statements
Consolidated financial
statement
68Financial Statements 2023
2023 | 2022 | 2021 | 2020 | 2019 | |
| INCOME STATEMENT | |||||
Revenue, EUR million | 2,180 | 2,130 | 1,998 | 1,895 | 1,844 |
Change of revenue, % | 2.4 | 6.6 | 5.5 | 2.8 | 0.7 |
EBITDA, EUR million | 756 | 733 | 697 | 685 | 661 |
EBITDA as % of revenue | 34.7 | 34.4 | 34.9 | 36.2 | 35.8 |
EBIT, EUR million | 482 | 470 | 431 | 409 | 395 |
EBIT as % of revenue | 22.1 | 22.1 | 21.6 | 21.6 | 21.4 |
Profit before tax, EUR million | 458 | 456 | 418 | 398 | 372 |
Profit before tax as % of revenue | 21.0 | 21.4 | 20.9 | 21.0 | 20.2 |
Return on equity (ROE), % | 29.4 | 30.4 | 28.8 | 28.1 | 26.6 |
Return on investment (ROI), % | 18.5 | 18.3 | 16.9 | 16.7 | 17.2 |
Research and development costs, EUR million | 24 | 21 | 16 | 10 | 8 |
Research and development costs as % of revenue | 1.1 | 1.0 | 0.8 | 0.5 | 0.4 |
| BALANCE SHEET | |||||
Gearing ratio, % | 100.8 | 101.9 | 101.2 | 101.9 | 103.0 |
Current ratio | 1.0 | 1.0 | 1.4 | 1.3 | 1.2 |
Equity ratio, % | 41.6 | 40.6 | 39.9 | 39.1 | 41.0 |
Non-interest-bearing liabilities, EUR million | 463 | 488 | 491 | 430 | 428 |
Interest-bearing net debt | 1,304 | 1,276 | 1,219 | 1,207 | 1,184 |
Balance sheet total, EUR million | 3,125 | 3,101 | 3,028 | 3,041 | 2,814 |
| INVESTMENTS | |||||
Investments in shares and business combinations, EUR million | 12 | 25 | 28 | 70 | 83 |
| CAPITAL EXPENDITURE | |||||
Gross investments, EUR million | 321 | 290 | 265 | 266 | 256 |
Gross investments as % of revenue | 14.7 | 13.6 | 13.3 | 14.1 | 13.9 |
| PERSONNEL | |||||
Average number of employees during the period | 5,721 | 5,523 | 5,391 | 5,097 | 4,882 |
Revenue/employee, EUR 1,000 | 381 | 386 | 371 | 372 | 378 |
9. Tunnusluvut
9.1 Konsernin taloudellista kehitystä kuvaavat tunnusluvut
Auditor’s reportParent company
financial statements
Consolidated financial
statement
69Financial Statements 2023
2023 | 2022 | 2021 | 2020 | 2019 | |
| INCOME STATEMENT | |||||
Comparable EBITDA, EUR million | 756 | 735 | 706 | 685 | 668 |
Comparable EBITDA as % of revenue | 34.7 | 34.5 | 35.3 | 36.2 | 36.2 |
Comparable EBIT, EUR million | 487 | 472 | 439 | 415 | 402 |
Comparable EBIT as % of revenue | 22.4 | 22.2 | 22.0 | 21.9 | 21.8 |
Comparable profit before tax, EUR million | 464 | 458 | 427 | 399 | 379 |
Comparable profit before tax as % of revenue | 21.3 | 21.5 | 21.4 | 21.0 | 20.5 |
Comparable return on equity (ROE), % | 29.7 | 30.5 | 29.3 | 28.1 | 27.1 |
Comparable return on investment (ROI), % | 18.7 | 18.4 | 17.2 | 16.7 | 17.5 |
Comparable earnings per share (EPS) | 2.37 | 2.34 | 2.19 | 2.05 | 1.93 |
9.2 Vaihtoehtoiset tunnusluvut
Auditor’s reportParent company
financial statements
Consolidated financial
statement
70Financial Statements 2023
2023 | 2022 | 2021 | 2020 | 2019 | |
Share capital, EUR | 83,033,008 | 83,033,008 | 83,033,008 | 83,033,008 | 83,033,008 |
Number of shares at year-end | 160,388,419 | 160,259,695 | 160,187,301 | 160,082,908 | 159,897,796 |
Average number of shares | 160,376,432 | 160,253,348 | 160,174,453 | 160,065,712 | 159,880,581 |
Number of shares at year-end, diluted | 160,542,095 | 160,416,729 | 160,187,301 | 160,082,908 | 159,897,796 |
Average number of shares, diluted | 160,530,108 | 160,410,382 | 160,174,453 | 160,065,712 | 159,880,581 |
| Market capitalisation, EUR million | 7,006 | 8,276 | 9,056 | 7,508 | 8,241 |
Earnings per share (EPS), EUR | 2.34 | 2.33 | 2.15 | 2.05 | 1.90 |
Dividend per share, EUR | 2.25 | 2.15 | 2.05 | 1.95 | 1.85 |
Payout ratio, % | 96.2 | 92.1 | 95.6 | 95.1 | 97.6 |
Equity per share, EUR | 8.05 | 7.78 | 7.48 | 7.39 | 7.19 |
P/E ratio | 17.9 | 21.2 | 25.2 | 21.9 | 26.0 |
| Effective dividend yield, % | 5.4 | 4.3 | 3.8 | 4.3 | 3.8 |
| Share performance on Nasdaq Helsinki | |||||
Mean price, EUR | 48.86 | 51.99 | 51.00 | 51.08 | 42.26 |
Closing price at year-end, EUR | 41.87 | 49.46 | 54.12 | 44.87 | 49.25 |
Lowest price, EUR | 39.41 | 45.57 | 45.10 | 40.79 | 35.51 |
Highest price, EUR | 56.52 | 56.90 | 56.18 | 58.88 | 49.91 |
| Trading of shares on Nasdaq Helsinki | |||||
Total trading volume, 1,000 shares | 64,380 | 71,229 | 81,557 | 122,497 | 96,662 |
| Percentage of shares traded | 38 | 43 | 49 | 73 | 58 |
9.3 Osakekohtaiset tunnusluvut
Auditor’s reportParent company
financial statements
Consolidated financial
statement
71Financial Statements 2023
EUR million Note 2023 2022
Revenue
1 1,771.6 1,731.1
Other operating income
2 10.3 7.9
Materials and services
3 –666.3 –670.9
Employee expenses
4 –271.9 –253.9
Depreciation, amortisation and impairment
5 –267.9 –261.4
Other operating expenses –174.0 –165.5
Operating profit 401.7 387.3
Financial income and expenses
7 –37.3 –13.5
Profit before tax and appropriations 364.4 373.8
Appropriations
8 0.8 –10.9
Income taxes
9 –80.8 –78.9
Profit for the period 284.3 284.1
Income statement, parent company, FAS
EMOYHTIÖN TILINPÄÄTÖS Emoyhtiön tilinpäätöksen päälaskelmat
Tuloslaskelma
EUR million Note 31 Dec. 2023 31 Dec. 2022
ASSETS
Non-current assets
Intangible assets
10 247.7 276.4
Property, plant and equipment
10 741.0 694.3
Investments
11 851.5 863.7
1,840.2 1,834.4
Current assets
Inventories
12 52.8 64.6
Non-current receivables
13 109.3 123.7
Current receivables
14 465.0 439.1
Cash and bank receivables 37.9 53.0
665.1 680.4
TOTAL ASSETS 2,505.3 2,514.8
EQUITY AND LIABILITIES
Equity
15
Share capital 83.0 83.0
Treasury shares –121.5 –124.4
Reserve for invested non-restricted equity 77.8 77.8
Contingency reserve 3.4 3.4
Retained earnings 194.1 257.5
Profit for the period 284.3 284.1
521.2 581.5
Accumulated appropriations 87.3 83.3
Provisions
16 5.4 5.0
Liabilities
Non-current liabilities
17 1,005.8 1,007.3
Current liabilities
18 885.6 837.7
1,891.4 1,845.0
TOTAL EQUITY AND LIABILITIES 2,505.3 2,514.8
Balance sheet, parent company, FAS
Tase
Auditor’s reportParent company
financial statements
Consolidated financial
statement
72Financial Statements 2023
EUR million
2023 2022
Cash flow from operating activities
Profit before appropriations and taxes 364.4 373.8
Adjustments:
Depreciation and amortisation 267.9 261.4
Other income and expenses with no payment relation 1.1 0.3
Other financial income (-) and expenses (+) 18.0 13.5
Gains (-) and losses (+) on the disposal of fixed assets –3.9
Gains (-) and losses (+) on the disposal of investments 16.6 0.0
Change in provisions in the income statement 0.4 –2.0
Cash flow before changes in working capital 664.5 647.1
Change in working capital
Increase (-) / decrease (+) in current non-interest-bearing trade receivables 0.9 –12.8
Increase (-) / decrease (+) in inventories 10.8 –8.8
Increase (+) / decrease (-) in trade and other payables –4.0 0.9
Cash flow before financial items and taxes 672.2 626.3
Dividends received 5.0 6.1
Interests received 5.3 1.6
Interests paid –28.5 –15.9
Income taxes paid –77.8 –81.7
Net cash flow from operating activities 576.1 536.4
Cash flow statement, parent company, FAS
EUR million
2023 2022
Cash flow from investing activities
Capital expenditure –292.5 –252.1
Proceeds from disposal of property, plant and equipment and intangible
assets 4.0
Investments in shares and other investments –4.7 –4.9
Proceeds from disposal of shares and other investments 0.3 0.0
Loans granted –13.4 –17.5
Repayment of loan receivables 5.2 10.9
Net cash flow used in investing activities –301.2 –263.7
Cash flow after investing activities 275.0 272.7
Cash flow from financing activities
Increase in long-term borrowings (+) 300.0
Decrease in long-term borrowings (-) –202.0 –100.0
Increase (+) / decrease (-) in short-term borrowings –39.5 138.2
Group contributions received (+) / paid (-) –5.3 –2.7
Dividends paid –343.2 –327.9
Net cash flow used in financing activities –290.0 –292.4
Change in cash and cash equivalents –15.0 –19.8
Cash and cash equivalents at the beginning of the period 53.0 72.7
Cash from business transfers and mergers 0.0
Cash and cash equivalents at the end of the period 37.9 53.0
Rahoituslaskelma
Auditor’s reportParent company
financial statements
Consolidated financial
statement
73Financial Statements 2023
ACCOUNTING PRINCIPLES
Elisa Corporation’s financial statements have been
prepared in accordance with the accounting principles
based on Finnish accounting legislation.
Foreign currency items
Transactions denominated in foreign currencies are
recorded at the exchange rates prevailing on the dates
of transactions. At the end of the reporting period,
assets and liabilities denominated in foreign currencies
are valued at the exchange rates quoted by the
European Central Bank on the closing date.
Fixed assets
The carrying value of intangible and tangible assets
is stated at cost less accumulated depreciation,
amortisation and impairment. Internally generated
fixed assets are measured at variable costs.
The difference between depreciation according
to plan and total depreciation is presented under
appropriations of the parent company’s income
statement, and the accumulated depreciation
difference is presented under accumulated
appropriations in shareholders’ equity and liabilities
on the balance sheet. Depreciation according to plan is
recognised on a straight-line basis over the useful life
from the original acquisition cost.
The useful life according to plan for the different asset
groups:
Intangible rights 3–5 years
Goodwill 5–20 years
Other expenditure with long-term effects 5–10 years
Buildings and structures 25–40 years
Machinery and equipment in buildings 10–25 years
Telephone exchanges
(fixed and mobile network) 6–10 years
Cable network 8–15 years
Telecommunication terminals 2–4 years
Other machines and equipment 3–5 years
Inventories
Inventories are stated at the lowest of variable cost,
acquisition price or the likely disposal or repurchase
price. Cost is determined using a weighted average
price.
Marketable securities
Investments in money market funds are recognised
at the repurchase price. Investments in certificates
of deposit and commercial paper are recognised
at the acquisition cost, as the difference between
the repurchase price and cost of acquisition is not
significant.
Revenue recognition principles
Revenue from deliverables is recognised at the time
of ownership transfer, and revenue from services is
recognised when the services have been performed.
Interconnection fees that are invoiced from
the customers and paid as such to other
telecommunication companies are presented as an
adjustment to revenue (Finnish Accounting Standards
Board 1995/1325).
Profit from the sale of business operations and fixed
assets, subsidies received and rental income from
premises is presented under other operating income.
Losses from the sale of fixed assets are presented
under other operating expenses. The profit or loss from
the sale of shares is presented in financial income and
expenses.
Research and development
Research costs are expensed as they incur, with the
exception of development costs, which are capitalised.
The capitalisation criteria are met when the product is
technically and commercially feasible, and it is expected
to generate future economic benefit. Development
costs initially recognised as expenses cannot be
capitalised subsequently.
Notes to the financial statements of the parent company
Emoyhtiön tilinpäätöksen liitetiedot
Laatimisperiaatteet
Public grants associated with development projects
are recognised as other operating income when the
related costs are recognised as expenses. Public grants,
associated with capitalised development costs, are
recorded as a reduction of cost.
Future expenses and losses
Probable future expenses and losses related to the
reporting period or a prior financial period without
corresponding income are recognised on the income
statement. Such items are recognised on the balance
sheet under provisions if a reliable estimate of the
amount or timing of the obligation cannot be made.
Otherwise the obligation is recognised as accrual.
Income taxes
Income taxes for the financial year are recognised
on the income statement. No deferred tax liabilities
or receivables have been recognised in the financial
statements.
Auditor’s reportParent company
financial statements
Consolidated financial
statement
74Financial Statements 2023
1. Revenue
EUR million 2023 2022
Revenue 1,838.4 1,794.3
Interconnection fees and other adjustments –66.8 –63.2
1,771.6 1,731.1
Geographical distribution
Finland 1,747.1 1,704.1
Rest of Europe 23.2 25.2
Other countries 1.4 1.8
1,771.6 1,731.1
2. Other operating income
EUR million 2023 2022
Gain on disposals of fixed assets 3.9
Other income
(1
6.5 7.9
10.3 7.9
1)
Other income includes rental income from real estate, management fee income charged from subsidiaries and other income not
associated with ordinary operating activities.
3. Materials and services
EUR million 2023 2022
Materials, supplies and goods
Purchases during reporting period 346.5 370.1
Change in inventories 11.8 –8.5
358.4 361.6
External services 308.0 309.3
666.3 670.9
1. Liikevaihto
2. Liiketoiminnan muut tuotot 3. Materiaalit ja palvelut
Tuloslaskelman liitetiedot
4. Henkilöstökulut
4. Employee expenses
EUR million 2023 2022
Salaries and wages 226.7 211.8
Pension costs 38.7 36.3
Other social security costs
6.5 5.8
271.9 253.9
Personnel on average 3,361 3,295
CEO remuneration, EUR 2023 2022
Fixed salaries 668,040.00 674,640.00
Performance-based bonus 294,218.10 365,376.72
Fringe benefits 20,903.10 20,077.03
Share-based payments
(1
1,351,749.69 715,958.19
2,334,910.89 1,776,051.94
1)
The maximum award allocated to the CEO under the share-based compensation plans equals the value of 102,430 shares. See note
4.1 of the consolidated financial statements.
In 2020, the Board of Directors agreed with the CEO of Elisa Corporation, Veli-Matti Mattila, that he will continue
as CEO until further notice. In August 2023 Veli-Matti Mattila informed the company´s Board of Directors that he
will retire when the new CEO Topi Manner starts in the position, on 1 March 2024 at the latest. Under the previous
executive agreement, Mattila would have retired at the age of 60. The pension arrangements include a right to a
paid-up policy.
Remuneration of Board members, EUR 2023 2022
Clarisse Berggårdh 2,400.00 95,400.00
Maher Chebbo 93,400.00 87,600.00
Kim Ignatius 98,000.00 97,000.00
Katariina Kravi 97,200.00 78,000.00
Pia Kåll 83,000.00 78,800.00
Topi Manner 78,200.00 79,600.00
Eva-Lotta Sjöstedt 93,400.00 85,200.00
Seija Turunen 2,400.00
Anssi Vanjoki 148,000.00 138,000.00
Antti Vasara
82,200.00 82,000.00
775,800.00 824,000.00
Auditor’s reportParent company
financial statements
Consolidated financial
statement
75Financial Statements 2023
For the year 2023, the following compensations were decided by the Annual General Meeting for the Members of the
Board: remuneration fee for the Chair EUR 140,000, for Deputy Chair and the Chairs of the Committees EUR 86,000,
and other Board members EUR 71,000; and additionally EUR 800 per meeting of the Board and of a committee.
However, if a Board member lives permanently outside Finland and is physically present at a Board or committee
meeting that is held in a country other than his/her permanent home country, the meeting fee is EUR 1,600.
According to the decision of the Board on 5 April 2023, the annual remuneration was paid in Company shares on 25
April 2023. The outstanding remuneration amounts were paid net of tax, 60 per cent.
5. Depreciation, amortisation and impairment
EUR million
2023 2022
Intangible assets 83.7 87.6
Property, plant and equipment
184.3 173.7
267.9 261.4
EUR 5.6 (0.0) million of impairment losses have been recorded for the assets.
Specification of depreciation, amortisation and impairment by balance sheet items is included in note 10.
6. Audit fees
EUR million 2023 2022
Auditing 0.2 0.2
Tax advisory services 0.0 0.0
Other services 0.1 0.0
0.3 0.2
7. Financial income and expenses
EUR million 2023 2022
Interest income and other financial income
Dividends received
From Group companies 4.5 5.5
From associated companies 0.0
From others 0.4 0.4
4.9 5.9
Other interest and financial income
From Group companies 1.0 0.4
Capital gains from investments 0.1 0.0
From others 4.9 1.7
5.9 2.1
10.8 8.0
Interest costs and other financial expenses
To Group companies –8.6 –6.1
Impairment of investments in subsidiaries –0.1 –2.1
To others
1)
–39.4 –13.3
–48.2 –21.5
–37.3 –13.5
1)
Includes a EUR 16,2 million loss on divestment of Elisa Videra Oy.
8. Appropriations
EUR million 2023 2022
Change in appropriations –3.9 –5.5
Group contributions received 10.4 8.1
Group contributions paid –5.7 –13.5
0.8 –10.9
9. Income taxes
EUR million 2023 2022
Income taxes for the reporting period –80.8 –78.9
Taxes for previous periods 0.0
–80.8 –78.9
5. Poistot ja arvonalentumiset
6. Tilintarkastajan palkkiot
7. Rahoitustuotot ja -kulut
8. Tilinpäätössiirrot
9. Tuloverot
Taseen liitetiedot
Auditor’s reportParent company
financial statements
Consolidated financial
statement
76Financial Statements 2023
10. Intangible assets and property, plant and equipment
Intangible assets
2023
EUR million
Development
costs
Intangible
rights Goodwill
Other
intangible
assets
Intangible
assets under
construction Total
Acquisition cost at 1 Jan. 74.0 163.2 886.3 603.3 18.8 1,745.6
Additions 8.3 1.8 35.3 9.9 55.4
Disposals –0.1 –0.1
Reclassifications 4.4 1.1 8.0 –13.9 –0.4
Acquisition cost at 31 Dec. 86.7 166.0 886.3 646.6 14.8 1,800.5
Accumulated amortisation and impairment at 1 Jan. 58.2 95.1 797.5 518.4 1,469.2
Accumulated amortisation on disposals and reclassifications –0.1 –0.1
Amortisation and impairment for the period 9.2 9.1 31.4 34.0 83.7
Accumulated amortisation and impairment at 31 Dec. 67.4 104.1 829.0 552.4 1,552.8
Book value at 31 Dec. 19.4 61.9 57.3 94.2 14.8 247.7
Property, plant and equipment
2023
EUR million
Land and
water areas
Buildings and
constructions
Machinery and
equipment Other assets
Assets under
construction Total
Acquisition cost at 1 Jan. 9.4 243.8 4,114.8 35.1 31.3 4,434.3
Additions 0.2 12.7 188.1 29.4 230.4
Disposals 0.0 –1.0 –372.2 –373.3
Reclassifications 0.0 2.6 28.3 –24.9 6.1
Acquisition cost at 31 Dec. 9.5 258.1 3,958.9 35.1 35.8 4,297.5
Accumulated depreciation and impairment at 1 Jan. 151.2 3,554.3 34.6 3,740.0
Accumulated depreciation on disposals and reclassifications –1.0 –366.8 –367.8
Depreciation and impairment for the period 0.0 8.3 176.0 0.0 184.3
Accumulated depreciation and impairment at 31 Dec. 0.0 158.5 3,363.4 34.6 3,556.5
Book value at 31 Dec. 9.5 99.7 595.5 0.5 35.8 741.0
10. Aineettomat ja aineelliset
hyödykkeet
Auditor’s reportParent company
financial statements
Consolidated financial
statement
77Financial Statements 2023
Intangible assets
2022
EUR million
Development
costs
Intangible
rights Goodwill
Other
intangible
assets
Intangible
assets under
construction Total
Acquisition cost at 1 Jan. 59.6 157.2 886.3 569.7 13.3 1,686.1
Additions 7.4 5.5 27.9 12.3 53.1
Reclassifications 7.0 0.4 5.7 –6.8 6.4
Acquisition cost at 31 Dec. 74.0 163.2 886.3 603.3 18.8 1,745.6
Accumulated amortisation and impairment at 1 Jan. 50.5 86.5 758.6 485.9 1 381,5
Accumulated amortisation on disposals and reclassifications 0.0 0.0 0,0
Amortisation and impairment for the period 7.7 8.6 38.9 32.5 87,6
Accumulated amortisation and impairment at 31 Dec. 58.2 95.1 797.5 518.4 1,469.2
Book value at 31 Dec. 15.9 68.1 88.7 84.9 18.8 276.4
Property, plant and equipment
2022
EUR million
Land and
water areas
Buildings and
constructions
Machinery and
equipment
Other
assets
Assets under
construction Total
Acquisition cost at 1 Jan. 10.0 227.7 3,943.8 35.1 31.8 4,248.4
Additions 0.0 15.6 155.3 21.4 192.3
Reclassifications –0.6 0.5 15.7 –21.9 –6.4
Acquisition cost at 31 Dec. 9.4 243.8 4,114.8 35.1 31.3 4,434.3
Accumulated depreciation and impairment at 1 Jan. 143.2 3,388.6 34.5 3,566.3
Accumulated depreciation on disposals and reclassifications 0.0 0.0 0.0
Depreciation and impairment for the period 8.0 165.7 0.0 173.7
Accumulated depreciation and impairment at 31 Dec. 151.2 3,554.3 34.6 3,740.0
Book value at 31 Dec. 9.4 92.6 560.5 0.6 31.3 694.3
Auditor’s reportParent company
financial statements
Consolidated financial
statement
78Financial Statements 2023
11. Investments
Investments in Receivables from
2023
EUR million Subsidiaries Associates
Other
companies
Group
companies
Other
companies Total
Acquisition cost at 1 Jan. 842.2 6,3 23,3 1,5 873,3
Additions
1)
4.1 11,5 0,3 0,0 16,0
Disposals –0.2 –0,5 –0,6
Acquisition cost at 31 Dec. 846.2 17,8 23,1 1,5 888,6
Impairment at 1 Jan. –5.1 –0.1 –4.3 –9.6
Disposals
1)
–27.4 –0.1 0.0 –27.5
Impairment at 31 Dec. –32.6 –0.2 -4.3 –37.1
Book value at 31 Dec. 813.6 17.6 18.7 1.5 851.5
1)
The businesses of Elisa Corporation’s subsidiary Elisa Videra and the German company MVC Mobile Video Communication GmbH (owned by KLP Vermögensverwaltungs GmbH) was combined into MVC
on 20 December 2023. After combination Elisa has 37.5% holding of MVC Mobile Video Communication GmbH and Elisa became a minority shareholder of the company. The transaction was conducted as a
share swap and acquistion price for the shares was EUR 11.4 million. The loss on divestment has been recorded in financial items.
A list of the Group and associated companies is available under note 8.3 of the consolidated financial statements.
Investments in Receivables from
2022
EUR million Subsidiaries Associates
Other
companies
Group
companies
Other
companies Total
Acquisition cost at 1 Jan. 837.7 6.2 22.9 1.6 0.1 868.5
Additions 4.5 0.0 0.3 4.9
Disposals 0.0 0.0 –0.1 –0.1
Acquisition cost at 31 Dec. 842.2 6.3 23.3 1.5 0.0 873.3
Impairment at 1 Jan. –3.3 –0.1 –4.1 –7.5
Disposals –1.8 –0.2 –2.1
Impairment at 31 Dec. –5.1 –0.1 –4.3 –9.6
Book value at 31 Dec. 837.1 6.2 18.9 1.5 0.0 863.7
11. Sijoitukset
Auditor’s reportParent company
financial statements
Consolidated financial
statement
79Financial Statements 2023
13. Non-current receivables
EUR million
2023 2022
Receivables from Group companies
Loan receivables 17.2 26.2
Receivables from associated companies
Loan receivables 4.2
Receivables from others
Trade receivables 74.5 84.9
Prepayments and accrued income
(1
13.5 12.6
87.9 97.5
109.3 123.7
1)
Breakdown of prepayments and accrued income
Rent advances 8.8 8.7
Transaction costs and losses related to loan issuance 4.6 3.9
13.5 12.6
12. Vaihto-omaisuus
13. Pitkäaikaiset saamiset
12. Inventories
EUR million 2023 2022
Materials and supplies 13.1 21.3
Finished goods
39.7 43.4
52.8 64.6
14. Current receivables
EUR million 2023 2022
Receivables from Group companies
Loan receivables 41.8 32.8
Trade receivables 3.7 3.3
Prepayments and accrued income 1.2 1.4
Other receivables 10.8 8.1
57.6 45.7
Receivables from associated companies
Loan receivables 6.8 0.0
Trade receivables 0.2 0.1
6.9 0.1
Receivables from others
Trade receivables 340.7 326.0
Loan receivables 0.0
Prepayments and accrued income
(1
52.9 55.5
Other receivables 7.0 11.8
400.5 393.3
465.0 439.1
1)
Breakdown of prepayments and accrued income
Interests 0.2 0.2
Rent advances 1.4 1.4
Transaction costs and losses related to loan issuance 2.2 3.0
Income taxes 0.9
Other business expense advances paid
49.0 50.0
52.9 55.5
14. Lyhytaikaiset saamiset
Auditor’s reportParent company
financial statements
Consolidated financial
statement
80Financial Statements 2023
15. Oma pääoma
15. Equity
EUR million 2023 2022
Share capital at 1 Jan.
83.0 83.0
Share capital at 31 Dec. 83.0 83.0
Treasury shares at 1 Jan. –124.4 –125.9
Disposal of treasury shares
2.8 1.6
Treasury shares at 31 Dec. –121.5 –124.4
Reserve for invested non-restricted equity at 1 Jan.
77.8 77.8
Reserve for invested non-restricted equity at 31 Dec. 77.8 77.8
Contingency reserve at 1 Jan.
3.4 3.4
Contingency reserve at 31 Dec. 3.4 3.4
Retained earnings at 1 Jan. 541.6 587.4
Dividend distribution –344.8 –328.5
Withdrawal of dividend liabilities 0.2 0.2
Disposal of treasury shares
–2.8 –1.6
Retained earnings at 31 Dec. 194.1 257.5
Profit for the period
284.3 284.1
Total equity 521.2 581.5
Distributable earnings
Retained earnings 194.1 257.5
Treasury shares –121.5 –124.4
Reserve for invested non-restricted equity 77.8 77.8
Development costs –23.9 –20.5
Profit for the period
284.3 284.1
410.8 474.6
16. Provisions
EUR million 2023 2022
Provision for unemployment pensions 4.3 4.2
Other provisions
(1
1.0 0.8
5.4 5.0
1)
Other provisions consist of salaries, including related statutory employee costs for employees not required to work during their
severance period, and a provision for other operating expenses.
Provisions of EUR 1.3 (3.0) million were used and EUR 2.9 (1.1) million were reversed as unused in 2023.
17. Non-current liabilities
EUR million 2023 2022
Interest-bearing
Liabilities to others
Bonds 900.0 900.0
Loans from financial institutions
100.0 100.0
1,000.0 1,000.0
Non-interest bearing
Liabilities to others
Trade payables 1.4
Accruals and deferred income
(1
5.8 5.9
5.8 7.3
1,005.8 1,007.3
Liabilities maturing after five years
Bonds
300.0
1)
Breakdown of accruals and deferred income
Rent advances 5.8 5.9
16. Pakolliset varaukset
17. Pitkäaikainen vieras pääoma
Auditor’s reportParent company
financial statements
Consolidated financial
statement
81Financial Statements 2023
18. Current liabilities
EUR million
2023 2022
Interest-bearing
Liabilities to Group companies
Cash Pool account 283.8 232.8
283.8 232.8
Liabilities to others
Loans from financial institutions 150.0
Bonds 248.0
Commercial paper 34.5 125.0
282.5 275.0
566.4 507.8
Non-interest bearing
Liabilities to Group companies
Trade payables 7.1 6.8
Other liabilities 5.8 13.7
12.9 20.5
Liabilities to associates
Trade payables 0.4 0.0
0.4 0.0
Liabilities to others
Advances received 4.7 5.2
Trade payables 163.4 173.3
Accrued liabilities
(1
65.5 56.0
Other liabilities 72.3 75.0
305.9 309.4
319.2 329.9
885.6 837.7
1)
Breakdown of accrued liabilities
Salaries, wages and social security costs 48.8 48.2
Interests 8.2 5.5
Direct taxes 2.2
Rent advances 1.0 1.0
Income received in advance 4.8 0.9
Others 0.6 0.4
65.5 56.0
18. Lyhytaikainen vieras pääoma
19. Vuokrasopimukset ja muut vastuusitoumukset
19. Lease commitments and other liabilities
Collateral
EUR million
2023 2022
On behalf of own commitments
Bank deposits 0.3 0.3
Guarantees 0.5 0.2
0.8 0.5
Lease commitments
EUR million
2023 2022
Real estate leases
(1
Within one year 29.8 28.7
Later than one year, but not later than five years 34.7 40.1
Later than five years
63.7 62.6
128.2 131.4
Other lease commitments
(2
Within one year 4.9 3.4
Later than one year, but not later than five years 6.4 3.7
11.3 7.1
Total leases 139.5 138.6
Other commitments
EUR million
2023 2022
Venture capital investment obligation 0.2 0.5
0.2 0.5
1)
Real estate leases comprise rental contracts relating to business, office and telecom premises.
2)
Lease liabilities consist mainly of car and IT equipment leases.
Real estate leases are presented at nominal values.
Rental liabilities are exclusive of value added tax, except for vehicle lease liabilities.
Auditor’s reportParent company
financial statements
Consolidated financial
statement
82Financial Statements 2023
Derivative instruments
EUR million 2023 2022
Currency derivatives
Nominal value 3.3 3.3
Fair value 0.1 0.0
Electricity derivatives
Nominal value 3.5 5.8
Fair value 1.0 1.2
Elisa hedges electricity purchases through physical purchase agreements and derivatives. The electricity price risk is
assessed over a five-year period. Electricity derivatives are subject to hedge accounting.
The hedging rate for purchases during the coming years, %
Sähköostojen suojausaste seuraavien vuosien hankinnoista, %
2023 2022
0–1 years 93.1 86.6
1–2 years 77.4 60.1
2–3 years 38.8 38.9
3–4 years 42.3 37.8
4–5 years 41.1 36.7
Real-estate investments
On 31 December 2023, the VAT refund liability of real-estate investments was EUR 39.7 (36.1) million.
Auditor’s reportParent company
financial statements
Consolidated financial
statement
83Financial Statements 2023
Signatures to the board of directors’
report and financial statements
Helsinki, 25 January 2024
Anssi Vanjoki
Chairman of the Board of
Directors
Maher Chebbo Kim Ignatius
Katariina Kravi Pia Kåll Eva-Lotta Sjöstedt
Antti Vasara Veli-Matti Mattila
President and CEO
TOIMINTAKERTOMUKSEN JA TILINPÄÄTÖKSEN ALLEKIR-
JOITUKSET
Auditor’s reportParent company
financial statements
Consolidated financial
statement
84Financial Statements 2023
To the Annual General Meeting
of Elisa Corporation
Report on the Audit of the Financial Statements
Opinion
We have audited the financial statements of Elisa
Corporation (business identity code 0116510-6) for
the year ended 31 December 2023. The financial
statements comprise the consolidated balance sheet,
income statement, statement of comprehensive
income, statement of changes in equity, statement of
cash flows and notes, including material accounting
policy information, as well as the parent company’s
balance sheet, income statement, statement of cash
flows and notes.
In our opinion
• the consolidated financial statements give a true and
fair view of the group’s financial position, financial
performance and cash flows in accordance with IFRS
Accounting Standards 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 financial
statements in Finland and comply with statutory
requirements.
Our opinion is consistent with the additional report
submitted to the Audit Committee.
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 are independent of the parent company and of
the group companies in accordance 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.
In our best knowlede and understanding, the non-audit
services that we have provided to the parent company
and group companies are in compliance with laws
and regulations applicable in Finland regarding these
services, and we have not provided any prohibited
non-audit services referred to in Article 5(1) of
regulation (EU) 537/2014. The non-audit services that
we have provided have been disclosed in note 2.5 to
the consolidated financial statements.
We believe that the audit evidence we have obtained
is sufficient and appropriate to provide a basis for our
opinion.
Materiality
The scope of our audit was influenced by our
application of materiality. The materiality is determined
based on our professional judgement and is used to
determine the nature, timing and extent of our audit
procedures and to evaluate the effect of identified
misstatements on the financial statements as a
whole. The level of materiality we set is based on
our assessment of the magnitude of misstatements
that, individually or in aggregate, could reasonably be
expected to have influence on the economic decisions
of the users of the financial statements. We have also
taken into account misstatements and/or possible
misstatements that in our opinion are material for
qualitative reasons for the users of the financial
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. The significant
risks of material misstatement referred to in the EU
Regulation No 537/2014 point (c) of Article 10(2) are
included in the description of key audit matters below.
We have also addressed the risk of management
override of internal controls. This includes consideration
of whether there was evidence of management bias
that represented a risk of material misstatement due to
fraud.
Auditor’s Report
OSAKKEET JA OSAKKEENOMISTAJAT
Auditor’s reportParent company
financial statements
Consolidated financial
statement
85Financial Statements 2023
THE KEY AUDIT MATTER
HOW THE MATTER WAS
ADDRESSED IN THE AUDIT
Valuation of goodwill, € 1 157.2 million
(Consolidated accounting principles 1.2 and note 5.4)
• The amount of goodwill in the consolidated
statement of financial position is significant due to
the acquisitions carried out in the previous years.
The amount of goodwill equals approximately to the
consolidated equity.
• Goodwill is tested for impairment annually and the
group prepares impairment tests for the financial
statements or when needed on a discounted cash
flow basis with sensitivity analyses.
• Estimating future cash flows underlying the
impairment tests involves a significant amount of
management judgment, particularly in respect of
growth in net sales, profitability and discount rates.
• Due to management judgments about the estimates
used in the impairment tests, as well as the
significant carrying amount involved, impairment of
goodwill is considered a key audit matter.
• We assessed critically those management judgments
and the assumptions made, which were used to prepare
the cash flow projections for the coming years. In
addition, we compared previous years’ estimates to the
actual amounts to be able to evaluate the reliability of
the estimating methods applied.
• We used KPMG valuation specialists when considering
the appropriateness of the discount rate used and
the technical correctness of the calculations, as well
as comparing the assumptions used to market and
industry-specific information.
• In addition, we assessed the adequacy of the sensitivity
analyses and the appropriate presentation of the notes
related to impairment tests in the consolidated financial
statements.
Revenue recognition, € 2 180.5 million
(Consolidated accounting principles 1.2 and note 2.3)
• Revenues are recognized once the service has been
rendered to the customer or once the significant
risks and rewards related to the ownership of the
goods have been transferred to the buyer.
• The IT system environment related to billing
transactions is complex and the volume of billing
data is large containing wide variety of different
products.
• Due to large volumes of data, revenue recognition
involves the risk of revenue being recognized
in an incorrect period as well as the risk that all
transactions are not recorded as complete.
• Revenue recognition accrual is partially based on
estimates from the management’s past experience.
• We evaluated the sales-related IT control
environment and the key controls in the billing
process over the completeness and accuracy of
revenue.
• The majority of the group’s billing data is processed
in a single IT system. We evaluated the reliability of
the associated IT control environment by assessing,
among others, the processes related to the user
authorization management and back-up and
recoveries, as well as by testing the key application
controls over the billing process.
• We also evaluated the group’s internal control
procedures over the control environment in the
billing process, as well as assessed the group’s
monthly revenue monitoring procedures at
business unit level.
• In addition to control testing, we performed
substantive procedures to sales accruals to
assess the completeness and the accuracy of the
recognized revenues.
Auditor’s reportParent company
financial statements
Consolidated financial
statement
86Financial Statements 2023
Capital expenditures
(Consolidated accounting principles 1.2 and note 5)
• The group invests heavily especially in its own
telecommunication network and IT environments as
well as new technology to remain competitive.
• The group’s capital expenditures (investments)
amount to € 321.4 million in 2023, and therefore
capital expenditures comprise a significant part of
the consolidated statement of financial position.
• We observed the group’s investment budget for the
year 2023 and followed up developments quarterly.
• We evaluated the group’s internal control environment.
We also tested the controls over the approval of
investment projects; over the authorization process
when placing individual orders under an investment
project; over the associated approval process when
approving purchase invoices; and over recording
transactions in the asset register (for property, plant
and equipment and intangible assets).
• Our substantive procedures focused on assessing the
appropriateness of the accounting treatment in respect
of the most significant investment projects. In addition,
we tested whether the assets under construction met
the capitalization requirements and assessed whether
they were disclosed appropriately in the financial
statements.
Responsibilities of the Board of Directors and the
Managing Director for the Financial Statements
The Board of Directors and the Managing Director
are responsible for the preparation of consolidated
financial statements that give a true and fair view
in accordance with IFRS Accounting Standards 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 statutory
requirements. The Board of Directors and the Managing
Director are also responsible for such internal
control as they determine is necessary to enable the
preparation of financial statements that are free from
material misstatement, whether due to fraud or error.
In preparing the financial statements, the Board of
Directors and the Managing Director are responsible
for assessing the parent company’s and the group’s
ability to continue as 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 intention to liquidate
the parent company or the group or cease operations,
or there is no realistic alternative but to do so.
Auditor’s Responsibilities for the
Audit of Financial Statements
Our objectives are to obtain reasonable assurance
on whether the financial statements as a whole are
free from material misstatement, whether due to
fraud or error, and to issue an auditor’s report that
includes our opinion. Reasonable assurance is a high
level of assurance, but is not a guarantee that an audit
conducted in accordance with good auditing practice
will always detect a material misstatement when it
exists. Misstatements can arise from fraud or error and
are considered material if, individually or in aggregate,
they could reasonably be expected to influence the
economic decisions of users taken on the basis of the
financial statements.
As part of an audit in accordance with good auditing
practice, we exercise professional judgment and
maintain professional scepticism 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
purpose 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 Managing Director’s use of the
going concern basis of accounting and based on
the audit evidence 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
Auditor’s reportParent company
financial statements
Consolidated financial
statement
87Financial Statements 2023
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 auditor’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 underlying 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 consolidated 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.
We also provide those charged with governance with
a statement that we have complied with relevant
ethical requirements regarding independence, and
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
Information on our audit engagement
We were first appointed as auditors by the Annual
General Meeting on 31 March 2004, and our
appointment represents a total period of uninterrupted
engagement of 20 years. The current auditor in charge,
Toni Aaltonen, Authorised Public Accountant, KHT, was
elected on 6 April 2017.
Other Information
The Board of Directors and the Managing Director
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 financial statements
or 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 information
in the financial statements and 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
misstatement of this other information, we are required
to report that fact. We have nothing to report in this
regard.
Helsinki, 25 January 2024
KPMG OY AB
Toni Aaltonen
Authorised Public Accountant, KHT
Auditor’s reportParent company
financial statements
Consolidated financial
statement
88Financial Statements 2023
Independent Auditor’s Reasonable Assurance Report on
Elisa Corporation’s ESEF Financial Statements
To the Board of Directors of Elisa Corporation
We have undertaken a reasonable assurance
engagement in respect of whether the consolidated
financial statements for the year ended 31 December,
2023 included in the digital financial statements
743700TU2S3DXWGU7H32-2023-12-31-en.zip of
Elisa Corporation (Business ID 0116510-6) have been
marked up with iXBRL markups in accordance with the
requirements of Article 4 of EU Delegated Regulation
2018/815 (ESEF RTS).
The Responsibility of the Board of
Directors and Managing Director
The Board of Directors and Managing Director are
responsible for preparing the report of the Board
of Directors and financial statements (ESEF financial
statements) that comply with the requirements of ESEF
RTS. This responsibility includes:
• preparation of ESEF financial statements in XHTML
format in accordance with Article 3 of the ESEF RTS
• marking up the primary statements and the notes
to the consolidated financial statements, and the
company identification data included in the ESEF
financial statements with iXBRL tags in accordance
with Article 4 of the ESEF RTS; and
• ensuring consistency between ESEF financial
statements and audited financial statements.
The Board of Directors and the Managing Director are
also responsible for such internal control as they deem
necessary to prepare the ESEF financial statements in
accordance with the requirements of the ESEF RTS.
Auditor’s Independence and Quality Management
We are independent of the company in accordance
with the ethical requirements applicable in Finland,
which apply to the engagement we have performed,
and we have fulfilled our other ethical responsibilities in
accordance with these requirements.
The auditor applies International Standard on Quality
Management ISQM 1, which requires the firm to
design, implement and operate a system of quality
management including policies or procedures regarding
compliance with ethical requirements, professional
standards and applicable legal and regulations
requirements.
Auditor’s Responsibility
In accordance with the Engagement Letter our
responsibility is to express an opinion on whether the
marking up of the consolidated financial statements
included in the ESEF financial statements comply in all
material respects with the Article 4 of the ESEF RTS. We
conducted our reasonable assurance engagement in
accordance with International Standard on Assurance
Engagements 3000.
The engagement involves procedures to obtain
evidence whether;
• the primary statements of the consolidated financial
statements included in the ESEF financial statements
are, in all material respects, marked up with iXBRL
tags in accordance with Article 4 of the ESEF RTS, and;
• whether the notes to the consolidated financial
statements and the company identification data
included in the ESEF financial statements data, have
been marked up, in all material respects, with iXBRL
tags in accordance with Article 4 of the ESEF RTS; and
• whether the ESEF financial statements and the
audited financial statements are consistent with each
other.
The nature, timing and the extent of procedures
selected depend on practitioner’s judgement. This
includes the assessment of the risks of material
departures from the requirements set out in the ESEF
RTS, whether due to fraud or error.
We believe that the evidence we have obtained is
sufficient and appropriate to provide a basis for our
opinion.
Opinion
In our opinion, the primary statements of the
consolidated financial statements, the notes to
the consolidated financial statements and the
company identification data included in the ESEF
financial statements of Elisa Corporation identified
as 743700TU2S3DXWGU7H32-2023-12-31-en.zip for
the year ended 31 December, 2023 are, in all material
respects, marked up in compliance with the ESEF
Regulatory Technical Standard.
Our audit opinion on the audit of the consolidated
financial statements of Elisa Corporation for the year
ended 31 December, 2023 is set out in our Auditor’s
Report dated 25 January, 2024. In this report, we do
not express any audit opinion or other assurance
conclusion on the consolidated financial statements.
Helsinki 12 March, 2024
KPMG OY AB
Toni Aaltonen
Authorised Public Accountant, KHT
Auditor’s reportParent company
financial statements
Consolidated financial
statement