Slide 1: Annual Report 2023
Annual Report 2023 NNIT A/S, Oestmarken 3A, DK-2860 Soeborg • CVR no. 21 09 31 06
Slide 2: Table of Contents
NNIT Annual Report 2023 2 Table of Contents Management Review Financial Statements The Bigger Picture Our Business Governance Financial Statements The NNIT Group at a Glance 4 Strategy11 Corporate Governance 24 Consolidated Financial Statements Words from the Chairman and CEO 5 Region Europe 15 Risk
Slide 3: The Bigger Picture
NNIT Annual Report 2023 3 The Bigger Picture The NNIT Group at a Glance Words from the Chairman and CEO Highlights Key Figures Outlook 2024
Slide 4: The NNIT Group at a Glance
The Bigger Picture Our Business Governance Financial Statements NNIT Annual Report 2023 4 The NNIT Group at a Glance OUR BUSINESS FOCUS NNIT is a leading provider of IT solutions to life sciences internationally, and to the public and private sectors in Denmark. We focus on high complexity industrie
Slide 5: A Highly Focused IT Consulting Company
The Bigger Picture Our Business Governance Financial Statements NNIT Annual Report 2023 5 WORDS FROM THE CHAIRMAN AND CEO 2023 was a transformative year for NNIT as we relaunched our company as a pure-play IT consulting business highly specialized in global life sciences and the public sector in Den
Slide 6: Words from the Chairman and CEO (continued)
The Bigger Picture Our Business Governance Financial Statements NNIT Annual Report 2023 6 Onboarding our People to a New Beginning ducing our financial aspirations of realizing organic revenue growth of around 10% with Following the launch of our new strategy, a a compound annual organic growth rate
Slide 7: Highlights
The Bigger Picture Our Business Governance Financial Statements NNIT Annual Report 2023 7 Highlights Revenue 465 1,728 732 NNIT reached several milestones in 2023 and emerged as a highly specialized IT consultancy with a clearly defined strategy and great prospects in attractive core markets. DKK mi
Slide 8: Key Figures
The Bigger Picture Our Business Governance Financial Statements NNIT Annual Report 2023 8 Key Figures Financial key figures for 2021-2023 exclude discontinued operations, while 2019-2020 include discontinued operations. DKK million 2023 2022 2021 2020 2019 2023 2022 2021 2020 2019 Financial performa
Slide 9: Outlook 2024
The Bigger Picture Our Business Governance Financial Statements NNIT Annual Report 2023 9 Outlook 2024 Forward-looking Statements This Annual Report contains forward-looking statements. Words such as ‘believe’, ‘expect’, ‘may’, ‘will’, ‘plan’, ‘strategy’, ‘prospect’, ‘foresee’, ‘estimate’, ‘project’
Slide 10: Our Business
NNIT Annual Report 2023 10 Our Business Strategy Region Europe Region US Region Asia Region Denmark Sustainability and People
Slide 11: Strategy
The Bigger Picture Our Business Governance Financial Statements NNIT Annual Report 2023 11 Strategy NNIT has relaunched the Group strategy Business Model with a view to become a more focused consultancy and solutions company with an asset-light business model. Deploying strategic assets to address b
Slide 12: Industry Focus
The Bigger Picture Our Business Governance Financial Statements NNIT Annual Report 2023 12 Industry Focus Life Sciences Global Public & Private in Denmark NNIT tuned in on two core industries – life Solution portfolio Solution portfolio sciences globally and the public sector in Denmark. In these ar
Slide 13: Global Focus - Regional Execution
The Bigger Picture Our Business Governance Financial Statements NNIT Annual Report 2023 13 Global Focus - Regional Execution NNIT is organized in four regions with individual profit & loss In each region, NNIT builds repeatable solu- Czech Republic) and offshore (the Philip- responsibility. Three of
Slide 14: Regions Denmark, US, Europe and Asia
The Bigger Picture Our Business Governance Financial Statements NNIT Annual Report 2023 14 Region Denmark Focused on building industry mastery in the public sector as well as maintaining and expanding presence with corpo- rate customers through an offering of core solutions within Custom Application
Slide 15: Region Europe
The Bigger Picture Our Business Governance Financial Statements NNIT Annual Report 2023 15 LIFE SCIENCES SOLUTIONS Region Europe delivered stable sales existing customers. The business unit also Europe performance in 2023 despite lower activity strengthened its position within Manufac- due to challe
Slide 16: Region US
The Bigger Picture Our Business Governance Financial Statements NNIT Annual Report 2023 16 LIFE SCIENCES SOLUTIONS US Customer Satisfaction Score 4.4 (out of 5) NNIT’s US operations delivered strong and profitable growth in 2023 driven by a high activity level among existing and new customers combin
Slide 17: Region Asia
The Bigger Picture Our Business Governance Financial Statements NNIT Annual Report 2023 17 LIFE SCIENCES SOLUTIONS Asia Customer Satisfaction Score 4.8 (out of 5) The Group’s Asian business was impacted by low activity in the Chinese market in 2023 with positive developments with existing large cust
Slide 18: Region Denmark
The Bigger Picture Our Business Governance Financial Statements NNIT Annual Report 2023 18 PUBLIC & PRIVATE IN DENMARK Denmark Customer Satisfaction Score 4.3(out of 5) Region Denmark delivered strong growth across the public and enterprise customer segments in 2023 and continued to invest in capabi
Slide 19: Sustainability and People
The Bigger Picture Our Business Governance Financial Statements NNIT Annual Report 2023 19 Sustainability and People Sustainability in NNIT NNIT’s overall aspiration is to make a mark in business and society; Driving Engagement Double Materiality Assessment bringing digital transformation to life. I
Slide 20: Environment, social and governance data
The Bigger Picture Our Business Governance Financial Statements NNIT Annual Report 2023 20 Unit 2023 2022 2021 Target Environment data1 Global electricity consumption kWh 10,764,548 19,657,000 19,264,000 TBD Renewable electricity share % 95 97 96 TBD Scope 1 emissions tCO2e 106 119 89 TBD Scope 2 em
Slide 21: NNIT is a People Business
The Bigger Picture Our Business Governance Financial Statements NNIT Annual Report 2023 21 NNIT is a People Business Working in NNIT means being part of an international team of talented colleagues who all work towards a common goal: Making a mark on business and society by bringing digital transfor
Slide 22: Diversity in the Board and Management
The Bigger Picture Our Business Governance Financial Statements NNIT Annual Report 2023 22 NNIT’s diversity policy for management employees,, and we continue to strive Gender Split (male/female) levels is to employ the best candidates and, for broad representation among our as such, the decisive fac
Slide 23: Governance
NNIT Annual Report 2023 23 Governance Corporate Governance Risk Management Board of Directors Group Management Shareholder Information
Slide 24: Corporate Governance
The Bigger Picture Our Business Governance Financial Statements NNIT Annual Report 2023 24 Corporate Governance The Board of Directors of NNIT has a continued focus on Governance Structure As of 31 December 2023, NNIT’s Board good governance practices and complies with all suggested Annual General M
Slide 25: The Chairman and Board committees
The Bigger Picture Our Business Governance Financial Statements NNIT Annual Report 2023 25 responsibilities as shareholder-elected The Chairman For a detailed view of the Chairman’s tasks 2023, the Audit Committee conducted board members. At the Annual General Meeting, the please refer to the Chairm
Slide 26: Annual evaluation and data ethics policy
The Bigger Picture Our Business Governance Financial Statements NNIT Annual Report 2023 26 ation report. In 2023, the Remuneration tors and the Executive Management, Board is available from the company’s website at: Committee conducted two meetings. All composition and dynamics, preparation nnit.com
Slide 27: Corporate governance recommendations
The Bigger Picture Our Business Governance Financial Statements NNIT Annual Report 2023 27 In NNIT, the type of data we process is Today, NNIT Adheres to All but the As part of its risk management, the part of our data ethical considerations, as Following Recommendation: company has also set up a wh
Slide 28: Risk Management
The Bigger Picture Our Business Governance Financial Statements NNIT Annual Report 2023 28 Risk Management NNIT’s risk monitoring and control activities are designed and implemented to obtain the desired overview and assurance. The control activities are based on a risk assessment performed by Group
Slide 29: Key Risks: Talent Management and Impact
The Bigger Picture Our Business Governance Financial Statements NNIT Annual Report 2023 29 1. Talent Management The Key Risks are Assessed for Likelihood and Impact NNIT’s ability to maintain and win new busi- ness depends on NNIT’s ability to attract, 1 Talent Management retain and develop qualifie
Slide 30: Key risks continued
The Bigger Picture Our Business Governance Financial Statements NNIT Annual Report 2023 30 2. New Strategy and improve utilization and lower overhead corporate level information security risks and operational procedures. The IT sepa- Customer Engagement cost, supported by more standardized and appro
Slide 31: Board of Directors
The Bigger Picture Our Business Governance Financial Statements NNIT Annual Report 2023 31 Board of Directors Carsten Dilling Eivind Kolding Anne Broeng Chairman Deputy Chairman Board Member Committee Member of the Remuneration Committee Chairman of the Remuneration Committee Chairman of the Audit C
Slide 32: Board of Directors
The Bigger Picture Our Business Governance Financial Statements NNIT Annual Report 2023 32 Board of Directors Caroline Serfass Christian Kanstrup Nigel Govett Board Member Board Member Board Member Committee N/A Member of the Audit Committee Member of the Audit Committee Member of the Remuneration C
Slide 33: Board of Directors
The Bigger Picture Our Business Governance Financial Statements NNIT Annual Report 2023 33 Board of Directors Dorte Broch Pedersen Frederik Sparre Willumsen Kim Høyer Employee-elected Representative Employee-elected Representative Employee-elected Representative Committee N/A N/A N/A Personal and Bo
Slide 34: Group Management
The Bigger Picture Our Business Governance Financial Statements NNIT Annual Report 2023 34 Group Management Pär Fors Carsten Ringius Signe Nelsson Lars B. Petersen President and CEO, Member of the Executive Vice President and CFO, Senior Vice President, Senior Vice President, Head of Executive Manag
Slide 35: Group Management
The Bigger Picture Our Business Governance Financial Statements NNIT Annual Report 2023 35 Group Management Jason Xing Ricco Larsen Kasper Søndergaard Andersen Greg Cathcart Senior Vice President, Senior Vice President, Senior Vice President, Senior Vice President, Head of Region Asia Head of Region
Slide 36: Shareholder Information
The Bigger Picture Our Business Governance Financial Statements NNIT Annual Report 2023 36 Shareholder Information NNIT shares were priced at DKK 84.1 per In 2023, the average daily turnover in the had 16,600 registered shareholders on Share information share on December 31, 2023, for a market NNIT
Slide 37: Shareholder overview
The Bigger Picture Our Business Governance Financial Statements NNIT Annual Report 2023 37 Shareholder overview Treasury Shares year 2023, equal to a dividend payout ratio NNIT’s share register is managed by VP % As part of its internal incentive programs of 0% of the 2023 net results. Securities A/
Slide 38: Financial Statements
NNIT Annual Report 2023 38 Financial Statements Consolidated Financial Statements Parent Company Financial Statements Statements
Slide 39: Consolidated Financial Statements
The Bigger Picture Our Business Governance Financial Statements – Consolidated Financial Statements NNIT Annual Report 2023 39 Consolidated Financial Statements Income Statement Statement of Comprehensive Income Statement of Cash Flows Balance Sheet Statement of Changes in Equity Notes
Slide 40: Revenue and Earnings
The Bigger Picture Our Business Governance Financial Statements – Consolidated Financial Statements NNIT Annual Report 2023 40 Revenue and Earnings Revenue Earnings part of contingent consideration agreements Result for discontinued operations NNIT grew revenue by 15.2% to DKK 1,728 Gross profit for
Slide 41: Income Statement and Statement of Comprehensive Income
The Bigger Picture Our Business Governance Financial Statements – Consolidated Financial Statements NNIT Annual Report 2023 41 Income Statement Statement of Comprehensive Income for the year ended December 31 for the year ended December 31 DKK million Note 2023 2022 DKK million Note 2023 2022 Revenu
Slide 42: Cash Flows
The Bigger Picture Our Business Governance Financial Statements – Consolidated Financial Statements NNIT Annual Report 2023 42 Cash Flows Cash flow from operating activities Cash flow from investing activities Free cash flow Cash flow from financing activities In 2023, the cash flow from operating T
Slide 43: Statement of Cash Flows
The Bigger Picture Our Business Governance Financial Statements – Consolidated Financial Statements NNIT Annual Report 2023 43 Statement of Cash Flows for the year ended December 31 DKK million Note 2023 2022 DKK million Note 2023 2022 Net profit/(loss) for the year 30 (202) Deposit (paid)/received
Slide 44: Balance sheet and equity
The Bigger Picture Our Business Governance Financial Statements – Consolidated Financial Statements NNIT Annual Report 2023 44 Balance sheet and equity Assets Return on invested capital Financing amount of DKK 33 million (2022: DKK 193 Total assets have declined to DKK 1,977 NNIT improved the return
Slide 45: Balance Sheet
The Bigger Picture Our Business Governance Financial Statements – Consolidated Financial Statements NNIT Annual Report 2023 45 Balance Sheet as of December 31 ASSETS EQUITY AND LIABILITIES DKK million Note 2023 2022 DKK million Note 2023 2022 Intangible assets 3.1 704 706 Share capital 4.2 250 250 T
Slide 46: Statement of Changes in Equity
The Bigger Picture Our Business Governance Financial Statements – Consolidated Financial Statements NNIT Annual Report 2023 46 Statement of Changes in Equity as of December 31 Other reserves Share Treasury Retained Exchange rate Total other Proposed DKK million Note capital shares earnings adjustmen
Slide 47: Statement of Changes in Equity
The Bigger Picture Our Business Governance Financial Statements – Consolidated Financial Statements NNIT Annual Report 2023 47 Statement of Changes in Equity as of December 31 Other reserves Share Treasury Retained Exchange rate Cash flow Total other Proposed DKK million Note capital shares earnings
Slide 48: Notes to the Consolidated Financial Statements
The Bigger Picture Our Business Governance Financial Statements – Consolidated Financial Statements NNIT Annual Report 2023 48 Notes to the Consolidated Financial Statements 1. Basis of preparation 3. Operating assets and liabilities 5. Other disclosures 1.1 Summary of significant accounting policie
Slide 49: 1. Basis of preparation
The Bigger Picture Our Business Governance Financial Statements – Consolidated Financial Statements NNIT Annual Report 2023 49 1. Basis of preparation 1.1 Summary of significant accounting policies The consolidated financial statements are prepared 2022 2022 Recognition of revenue For fixed priced p
Slide 50: Key accounting estimates and changes in policies
The Bigger Picture Our Business Governance Financial Statements – Consolidated Financial Statements NNIT Annual Report 2023 50 1.2 Summary of key accounting estimates 1.3 Changes in accounting policies, estimates and disclosures The preparation of financial statements under IFRS Impairment test NNIT
Slide 51: 1.4 General accounting policies
The Bigger Picture Our Business Governance Financial Statements – Consolidated Financial Statements NNIT Annual Report 2023 51 1.4 General accounting policies Principles of consolidation Acquisition of subsidiaries Translation of foreign currency are recognized in ‘exchange rate adjustments’ in The
Slide 52: 1.4 General accounting policies – continued
The Bigger Picture Our Business Governance Financial Statements – Consolidated Financial Statements NNIT Annual Report 2023 52 1.4 General accounting policies – continued Financial items Any changes to deferred tax caused by changes in • Basic transfer of services and responsibilities Revenue regard
Slide 53: 1.4 General accounting policies – continued
The Bigger Picture Our Business Governance Financial Statements – Consolidated Financial Statements NNIT Annual Report 2023 53 1.4 General accounting policies – continued reflecting the riskfree interest rate with the addition the relationship with other intangible assets or Asset residual values an
Slide 54: 1.4 General accounting policies – continued
The Bigger Picture Our Business Governance Financial Statements – Consolidated Financial Statements NNIT Annual Report 2023 54 1.4 General accounting policies – continued Transition cost result in a re-assessment of the percentage of Private Equity LLP. The associated assets and liabil- Employee ben
Slide 55: 1.4 General accounting policies – continued
The Bigger Picture Our Business Governance Financial Statements – Consolidated Financial Statements NNIT Annual Report 2023 55 1.4 General accounting policies – continued Long-term incentive and retention programs Trade payables Cash and cash equivalents NNIT has two different share-based incentive
Slide 56: 1.5 Financial definitions
The Bigger Picture Our Business Governance Financial Statements – Consolidated Financial Statements NNIT Annual Report 2023 56 1.5 Financial definitions Operating profit margin = Operating profit x 100 Non-IFRS financial measures impairment of assets, gains from subleases and In the Annual Report, N
Slide 57: 2. Results for the year
The Bigger Picture Our Business Governance Financial Statements – Consolidated Financial Statements NNIT Annual Report 2023 57 2. Results for the year 2.1 Segment information Region Region Region Region Following the implementation of the new organization on May 2, 2023, NNIT consists of four region
Slide 58: 2.2 Employee costs
The Bigger Picture Our Business Governance Financial Statements – Consolidated Financial Statements NNIT Annual Report 2023 58 2.2 Employee costs DKK million 2023 2022 Group Management's remuneration and share-based payment 2023 Employee costs comprise: Other Wages and salaries 1,383 1,882 members S
Slide 59: 2.2 Employee costs – continued, 2.3 Development costs
The Bigger Picture Our Business Governance Financial Statements – Consolidated Financial Statements NNIT Annual Report 2023 59 2.2 Employee costs – continued 2.3 Development costs Short-term incentive program (STIP) DKK million 2023 2022 Group Management and certain other employees participate in a
Slide 60: 2.4 Amortization, depreciation and impairment; 2.5 Special items
The Bigger Picture Our Business Governance Financial Statements – Consolidated Financial Statements NNIT Annual Report 2023 60 2.4 Amortization, depreciation and impairment losses 2.5 Special items DKK million 2023 2022 DKK million 2023 2022 Amortization - 29 Special items relates to: Depreciation 3
Slide 61: 2.6 Income taxes
The Bigger Picture Our Business Governance Financial Statements – Consolidated Financial Statements NNIT Annual Report 2023 61 2.6 Income taxes DKK million 2023 2022 DKK million 2023 2022 Current tax 67 (40) Tax (payable)/receivable Deferred tax (31) 12 Tax (payable)/receivable at the beginning of t
Slide 62: 2.6 Income taxes – continued
The Bigger Picture Our Business Governance Financial Statements – Consolidated Financial Statements NNIT Annual Report 2023 62 2.6 Income taxes – continued Net taxes received in 2023 for continuing and discontinued operations amounted to DKK 36 million and were paid/(received) as follows: DKK millio
Slide 63: 3.1 Intangible assets
The Bigger Picture Our Business Governance Financial Statements – Consolidated Financial Statements NNIT Annual Report 2023 63 3. Operating assets and liabilities 3.1 Intangible assets Other IT IT development intangible development projects under DKK million Goodwill assets projects construction 202
Slide 64: 3.1 Intangible assets – continued
The Bigger Picture Our Business Governance Financial Statements – Consolidated Financial Statements NNIT Annual Report 2023 64 3.1 Intangible assets – continued Other IT IT development intangible development projects under DKK million Goodwill assets projects construction 2022 2022 Costs at the begi
Slide 65: 3.2 Impairment test
The Bigger Picture Our Business Governance Financial Statements – Consolidated Financial Statements NNIT Annual Report 2023 65 3.2 Impairment test Re-allocation of goodwill CGU1 In 2023, the Group re-allocated goodwill to align with the new organisational structure announced in May 2023 Annual Termi
Slide 66: 3.3 Tangible assets
The Bigger Picture Our Business Governance Financial Statements – Consolidated Financial Statements NNIT Annual Report 2023 66 3.3 Tangible assets Payments on account and Land and Other Leasehold assets under DKK million buildings equipment improvements construction 2023 2023 Cost at the beginning o
Slide 67: 3.3 Tangible assets – continued
The Bigger Picture Our Business Governance Financial Statements – Consolidated Financial Statements NNIT Annual Report 2023 67 3.3 Tangible assets – continued Payments on account and Land and Other Leasehold assets under DKK million buildings equipment improvements construction 2022 2022 Cost at the
Slide 68: 3.4 Contract balances
The Bigger Picture Our Business Governance Financial Statements – Consolidated Financial Statements NNIT Annual Report 2023 68 3.4 Contract balances Revenue Contract assets and liabilities, continuing operations recognized Revenue from recognized DKK million 2023 2022 Opening opening regarding Closi
Slide 69: 3.4 Contract balances – continued; 3.5 Deposits
The Bigger Picture Our Business Governance Financial Statements – Consolidated Financial Statements NNIT Annual Report 2023 69 3.4 Contract balances – continued 3.5 Deposits Transferred DKK million 2023 2022 Amortized to assets cost from Amortized classified Cost at the beginning of the year 27 34 O
Slide 70: 3.6 Trade receivables; 3.7 Employee benefit obligations
The Bigger Picture Our Business Governance Financial Statements – Consolidated Financial Statements NNIT Annual Report 2023 70 3.6 Trade receivables – continued 3.7 Employee benefit obligations Defined benefit pension obligations DKK million Pension liability Plan asset Net liability DKK million 202
Slide 71: 3.7 Employee benefit obligations; 3.8 Provisions
The Bigger Picture Our Business Governance Financial Statements – Consolidated Financial Statements NNIT Annual Report 2023 71 3.7 Employee benefit obligations – continued 3.8 Provisions DKK million 2023 2022 DKK million 2023 2022 Assumptions used for valuation1 Provision for refurbishment obligatio
Slide 72: 3.9 Discontinued operations
The Bigger Picture Our Business Governance Financial Statements – Consolidated Financial Statements NNIT Annual Report 2023 72 3.9 Discontinued operations June 22, 2022 it was announced that NNIT was divesting the infrastructure operations and in December 2022 it Assets held for sale qualified for r
Slide 73: 3.9 Divestment of infrastructure business
The Bigger Picture Our Business Governance Financial Statements – Consolidated Financial Statements NNIT Annual Report 2023 73 3.9 Discontinued operations – continued Divestment of infrastructure business DKK million 2023 DKK million 2023 Consideration received/receivable: Employee benefit obligatio
Slide 74: 4. Capital structure and financing items
The Bigger Picture Our Business Governance Financial Statements – Consolidated Financial Statements NNIT Annual Report 2023 74 4. Capital structure and financing items 4.1 Financial income and expenses 4.2 Share capital, distribution to shareholder and earnings per share DKK million 2023 2022 DKK mi
Slide 75: 4.2 Share capital; 4.3 Leases
The Bigger Picture Our Business Governance Financial Statements – Consolidated Financial Statements NNIT Annual Report 2023 75 4.2 Share capital, distribution to shareholder and earnings per share – continued 4.3 Leases Number Lease assets Nominal Market value As % of of shares Rental of IT- Company
Slide 76: 4.3 Leases – continued
The Bigger Picture Our Business Governance Financial Statements – Consolidated Financial Statements NNIT Annual Report 2023 76 4.3 Leases – continued Lease assets Lease liabilities Rental of IT- Company Lease liabilities expiring within the following periods from the balance sheet date: DKK million
Slide 77: 4.3 Leases – Subleases
The Bigger Picture Our Business Governance Financial Statements – Consolidated Financial Statements NNIT Annual Report 2023 77 4.3 Leases – continued Subleases NNIT has entered into arrangements to sublease part of the Group's property lease agreement. In accordance with IFRS 16, the right-of-use as
Slide 78: 4.4 Financial assets and liabilities
The Bigger Picture Our Business Governance Financial Statements – Consolidated Financial Statements NNIT Annual Report 2023 78 4.4 Financial assets and liabilities, continuing operations Depending on the purpose of each asset and liability, NNIT classifies these into the following categories: • Cash
Slide 79: 4.4 Financial assets and liabilities – continued
The Bigger Picture Our Business Governance Financial Statements – Consolidated Financial Statements NNIT Annual Report 2023 79 4.4 Financial assets and liabilities – continued Financial Credit Lease liabilities DKK million Facilities liability Total Financial liabilities measured at measured at undi
Slide 80: 4.4 Financial assets and liabilities – continued
The Bigger Picture Our Business Governance Financial Statements – Consolidated Financial Statements NNIT Annual Report 2023 80 4.4 Financial assets and liabilities – continued Fair value measurement hierarchy DKK million 2023 2022 Financial assets and liabilities at fair value through comprehensive
Slide 81: 4.4 Financial assets and liabilities – continued
The Bigger Picture Our Business Governance Financial Statements – Consolidated Financial Statements NNIT Annual Report 2023 81 4.4 Financial assets and liabilities – continued Trade Trade Net balance Transaction 10% Cash management Million Receivables Payables position exposure1 sensitivity2 NNIT is
Slide 82: 5. Other disclosures
The Bigger Picture Our Business Governance Financial Statements – Consolidated Financial Statements NNIT Annual Report 2023 82 5. Other disclosures 5.1 Long-term incentives Long-term share-based incentive program Outstanding restricted stock units (in NNIT shares): Group Management and the Vice Pres
Slide 83: 5.2 Fee to statutory auditors; 5.4 Cash flow specifications
The Bigger Picture Our Business Governance Financial Statements – Consolidated Financial Statements NNIT Annual Report 2023 83 5.2 Fee to statutory auditors 5.4 Statement of cash flows – specifications DKK million 2023 2022 DKK million 2023 2022 Statutory audit 2.6 7.2 Changes in working capital Aud
Slide 84: 5.5 Acquisition of subsidiaries; 5.6 Contingent liabilities
The Bigger Picture Our Business Governance Financial Statements – Consolidated Financial Statements NNIT Annual Report 2023 84 5.5 Acquisition of subsidiaries 5.6 Contingent liabilities, other contractual obligations and legal proceedings The fair value of net assets acquired and goodwill at the dat
Slide 85: 5.7 Related party transactions and ownership
The Bigger Picture Our Business Governance Financial Statements – Consolidated Financial Statements NNIT Annual Report 2023 85 5.7 Related party transactions and ownership – continued 5.7 Related party transactions and ownership – continued DKK million 2023 2022 Companies in the NNIT Group: Year of
Slide 86: Parent Company Financial Statements
Parent Company Financial Statements Income Statement Balance Sheet Statement of Changes in Equity Notes
Slide 87: Income Statement
The Bigger Picture Our Business Governance Financial Statements – Parent Company Financial Statements NNIT Annual Report 2023 87 Income Statement for the year ended December 31 DKK million Note 2023 2022 Revenue 690 476 Production cost 2.1 648 639 Gross profit 42 (163) Distribution cost 2.1 34 30 Ad
Slide 88: Balance Sheet
The Bigger Picture Our Business Governance Financial Statements – Parent Company Financial Statements NNIT Annual Report 2023 88 Balance Sheet as of December 31 ASSETS EQUITY AND LIABILITIES DKK million Note 2023 2022 DKK million Note 2023 2022 Intangible assets 3.1 12 10 Share capital 250 250 Tangi
Slide 89: Statement of Changes in Equity
The Bigger Picture Our Business Governance Financial Statements – Parent Company Financial Statements NNIT Annual Report 2023 89 Statement of Changes in Equity as of December 31 Reserve IT Share Treasury Retained development Proposed DKK million capital share earnings projects dividends Total 2023 B
Slide 90: Statement of Changes in Equity
The Bigger Picture Our Business Governance Financial Statements – Parent Company Financial Statements NNIT Annual Report 2023 90 Statement of Changes in Equity as of December 31 Reserve IT Share Treasury Retained development Reserve cash Proposed DKK million capital share earnings projects flow hedg
Slide 91: Notes to the Parent Company Financial Statements
The Bigger Picture Our Business Governance Financial Statements – Parent Company Financial Statements NNIT Annual Report 2023 91 Notes to the Parent Company Financial Statements 1. Basis of preparation 4. Capital structure and financing items 1.1 Accounting policies 92 4.1 Financial income and expen
Slide 92: 1. Basis of preparation
The Bigger Picture Our Business Governance Financial Statements – Parent Company Financial Statements NNIT Annual Report 2023 92 1. Basis of preparation 1.1 Accounting policies The parent company financial statements are figures for 2022 have been adjusted using the same Investments in subsidaries p
Slide 93: 2. Results for the year
The Bigger Picture Our Business Governance Financial Statements – Parent Company Financial Statements NNIT Annual Report 2023 93 2. Results for the year 2.1 Employee costs 2.2 Special items DKK million 2023 2022 DKK million 2023 2022 Wages and salaries 582 917 Special items relates to: Pensions 55 8
Slide 94: 3. Operating assets and liabilities
The Bigger Picture Our Business Governance Financial Statements – Parent Company Financial Statements NNIT Annual Report 2023 94 3. Operating assets and liabilities 3.1 Intangible assets IT development IT development projects under DKK million projects construction 2023 2022 Costs at the beginning o
Slide 95: 3.2 Tangible assets
The Bigger Picture Our Business Governance Financial Statements – Parent Company Financial Statements NNIT Annual Report 2023 95 3.2 Tangible assets Payments on account and Land Other Leasehold assets under DKK million and buildings equipment improvements construction 2023 2022 Costs at the beginnin
Slide 96: 3.3 Financial assets; 3.4 Trade receivables
The Bigger Picture Our Business Governance Financial Statements – Parent Company Financial Statements NNIT Annual Report 2023 96 3.3 Financial assets 3.4 Trade receivables Investments Other in DKK million 2023 2022 DKK million receivables Deposits subsidiaries 2023 2022 Total trade receivables (gros
Slide 97: 3.6 Provisions; 3.7 Discontinued operations
The Bigger Picture Our Business Governance Financial Statements – Parent Company Financial Statements NNIT Annual Report 2023 97 3.6 Provisions 3.7 Discontinued operations DKK million 2023 2022 June 22, 2022 it was announced that NNIT was divesting the infrastructure operations (Hybrid Cloud Solutio
Slide 98: 3.7 Discontinued operations – continued
The Bigger Picture Our Business Governance Financial Statements – Parent Company Financial Statements NNIT Annual Report 2023 98 3.7 Discontinued operations – continued Assets and liabilities related to discontinued operations Divestment of infrastructure business DKK million 2023 2022 DKK million 2
Slide 99: 4. Capital structure and financing items
The Bigger Picture Our Business Governance Financial Statements – Parent Company Financial Statements NNIT Annual Report 2023 99 4. Capital structure and financing items 4.1 Financial income and expenses 4.2 Proposed allocation of Net profit for the year DKK million 2023 2022 DKK million 2023 2022 F
Slide 100: 4.3 Leases
The Bigger Picture Our Business Governance Financial Statements – Parent Company Financial Statements NNIT Annual Report 2023 100 4.3 Leases Lease assets Lease liabilities Rental of IT- Company Lease liabilities expiring within the following periods from the balance sheet date: DKK million premises
Slide 101: 5. Other disclosures
The Bigger Picture Our Business Governance Financial Statements – Parent Company Financial Statements NNIT Annual Report 2023 101 5. Other disclosures 5.1 Fee to statutory auditors 5.2 Contingent liabilities, other contractual obligations and legal proceeding DKK million 2023 2022 – continued DKK mi
Slide 102: Statements
The Bigger Picture Our Business Governance Financial Statements – Consolidated Financial Statements NNIT Annual Report 2023 102 Statements Management's Statement Independent Auditor's Reports
Slide 103: Management's Statement
The Bigger Picture Our Business Governance Financial Statements – Consolidated Financial Statements NNIT Annual Report 2023 103 Management's Statement Soeborg, February 19, 2024 The Board of Directors and the Executive and of the results of the Group and Parent Management (the “Management”) have Com
Slide 104: Independent Auditor's Reports
The Bigger Picture Our Business Governance Financial Statements – Consolidated Financial Statements NNIT Annual Report 2023 104 Independent Auditor's Reports To the Shareholders of NNIT A/S Report on the audit of the Financial Statements Our opinion What we have audited those standards and requireme
Slide 105: Key audit matter: Revenue recognition
The Bigger Picture Our Business Governance Financial Statements – Consolidated Financial Statements NNIT Annual Report 2023 105 Key audit matter How our audit addressed the key audit matter Revenue recognition Revenue is recognised when control is passed to the customer and if the revenue criteria f
Slide 106: Statement on Management's Review
The Bigger Picture Our Business Governance Financial Statements – Consolidated Financial Statements NNIT Annual Report 2023 106 Statement on Management’s Review accordance with the Consolidated Financial In preparing the Financial Statements, material if, individually or in the aggregate, Management
Slide 107: Auditor's responsibilities
The Bigger Picture Our Business Governance Financial Statements – Consolidated Financial Statements NNIT Annual Report 2023 107 • Obtain an understanding of internal or, if such disclosures are inadequate, to We communicate with those charged law or regulation precludes public disclo- control releva
Slide 108: Report on compliance with the ESEF Regulation
The Bigger Picture Our Business Governance Financial Statements – Consolidated Financial Statements NNIT Annual Report 2023 108 • The preparing of the annual report in issue a report that includes our opinion. suitable element in the ESEF taxonomy In our opinion, the annual report of NNIT XHTML form
Slide 109: Bringing Digital Transformation to Life
Bringing Digital Design and production: Noted Transformation to Life NNIT A/S Oestmarken 3A DK-2860 Soeborg Denmark Tlf.: +45 7024 4242 www.nnit.com NNITcontact@nnit.com CVR no. 21 09 31 06