ANNUAL FINANCIAL REPORT
FISCAL YEAR
1st JANUARY TO 31st DECEMBER 2022
According to article 4 of L. 3556/2007
G.E.MI. Number 000949319001 (M.A.E. 2304/06/Β/86/53)
7 LYKOVRISSIS STR., 14452 METAMORFOSI ATTICA
Τel. 210-2826825 Fax. 210-2818574
e-mail : info@iktinos
www.iktinos.gr
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CONTENTS
1. Representations of the members of the Board of Directors (According to article 4 § 2 of L.
3556/2007) .......................................................................................................................................... 4
2. Independent Auditor’s Report........................................................................................................ 5
3. Annual Report of the Board of Directors ..................................................................................... 13
4. Annual Corporate and Consolidated Financial Statements for the period from 1st January
to 31st December 2022 ................................................................................................................... 105
4.1. Total Revenue Statement ........................................................................................................ 105
4.2. Statement of Financial Position .............................................................................................. 106
4.3. Consolidated Statement of Changes in Equity ...................................................................... 107
4.5. Statement of Cash Flows (Indirect Method).............................................................................. 109
5.1. General information ................................................................................................................ 110
5.2. Nature of Operations ............................................................................................................... 110
5.3. Participations in other companies .......................................................................................... 111
5.4. Companies participating in the consolidated financial statements of the Group .............. 115
6. Framework of preparation of financial statements.................................................................. 116
6.1 General framework of preparation .......................................................................................... 116
6.2. Changes in Accounting Principles ........................................................................................... 117
6.3 Significant accounting estimations and judgments of the Management............................. 120
7. Main Accounting Principles ........................................................................................................ 123
8. Risk Management ........................................................................................................................ 140
9. Financial reporting per segment ................................................................................................ 144
10. Notes on the Financial Statements .......................................................................................... 146
10.1. Notes on the Financial Statements ...................................................................................... 146
10.2. Intangible Assets ................................................................................................................... 147
10.3 Real estate investments ......................................................................................................... 148
10.4. Investments in Subsidiaries and Related Companies......................................................... 149
10.5. Deferred taxes ........................................................................................................................ 150
10.6. Other long-term receivables ................................................................................................. 152
10.7. Inventories ............................................................................................................................. 152
10.8. Customers and other trade receivables ............................................................................... 152
10.9. Other receivables ................................................................................................................... 154
10.10. Cash and cash equivalents .................................................................................................. 154
10.11. Equity .................................................................................................................................... 154
10.12. Loan liabilities and Financial Lease Liabilities .................................................................. 155
10.13. Employee benefits liabilities ............................................................................................... 157
10.14. Government Grants ............................................................................................................. 158
10.15. Provisions ............................................................................................................................. 158
10.16. Suppliers and other liabilities ............................................................................................. 158
10.17. Current tax liabilities ........................................................................................................... 159
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10.18. Other short-term liabilities ................................................................................................. 159
10.19. Sales ...................................................................................................................................... 159
10.20. Expenses per category ........................................................................................................ 160
10.21. Other operating income/operation expenses ................................................................... 161
10.22. Financial income/expenses ................................................................................................ 162
10.23. Other financial Results ........................................................................................................ 163
10.24. Investment activity Results ................................................................................................ 163
10.25. Income tax ........................................................................................................................... 163
10.26. Earnings per share ............................................................................................................... 165
10.27. Financial assets and liabilities ............................................................................................ 165
10.28. Fair value of non-financial instruments ............................................................................. 170
10.29. Contingent receivables - liabilities ..................................................................................... 171
10.30. Transactions with related parties....................................................................................... 172
10.31. Dividends .............................................................................................................................. 173
10.32. Number of employees .......................................................................................................... 173
10.33. Website where the financial reports of the group are uploaded..................................... 173
10.34. Events subsequent to the balance sheet date................................................................... 173
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1. Representations of the members of the Board of Directors (According to article 4 §
2 of L. 3556/2007)
The members of the Board of Directors of IKTINOS HELLAS S.A.
1. Chaidas Evangelos, son of Nikolaos, Chairman of the Board of Directors and CEO;
2. Chaida Ioulia, daughter of Evangelos, Vice-President of the Board of Directors;
3. Chaida Anastassia, daughter of Evangelos, Member of the Board of Directors.
In our abovementioned capacity, specifically appointed for this purpose by the Board of Directors of
theSociété Anonyme under the corporate name “IKTINOS HELLAS S.A.” we hereby state and certify that
as far as we know:
a) the attached annual company and consolidated financial statements for the fiscal period 01/01-
31/12/2022, which have been prepared in accordance with the applicable accounting standards, provide
a true picture of the assets and liabilities, equity and results of the company, as well as of the companies
included in the consolidation, taken as a whole; and,
b) the attached Board of Directors’ report provides a true picture of the evolution, performance and of
the financial position of the company, as well as of the companies included in the consolidation, taken
as a whole, including a description of the main risks and uncertainties which they face;
c) the attached annual company and consolidated financial statements are ones approved by the Board
of Directors of “IKTINOS HELLAS S.A.” on 26 April 2022 and have been published by having been
uploaded on the internet, at the www.iktinos.gr website.
Metamorfosi Attica, 26 April 2023
The certifying individuals,
The Chairman of the BoD Deputy Vice-Chairman
& Managing Director Managing Director
Chaidas Evangelos Ioulia Chaida Anastassia Chaida
ID No. ΑΕ 079957 ID No. ΑΝ 685224 ID No. AN 674657
Separate and Consolidated Annual Financial Statements as of 31
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2. Independent Auditor’s Report
To the shareholders of the Company “IKTINOS HELLAS S.A. ”
Report on Separate and Consolidated Financial Statements
Opinion
We have audited the accompanying separate and consolidated financial statements of “IKTINOS HELLAS
S.A.” (“the Company”), which comprise the separate and consolidated statement of financial position as
at December 31, 2022, separate and consolidated income statements and statements of comprehensive
income, changes in equity and cash flows for the year then ended and a summary of significant
accounting policies and other explanatory information.
In our opinion, the accompanying separate and consolidated financial statements present fairly, in all
material respects, the financial position of the company “IKTINOS HELLAS S.A.” and its subsidiaries (the
Group) as at 31 December 2022, their financial performance and cash flows for the year then ended in
accordance with International Financial Reporting Standards that have been adopted by the European
Union.
Basis for opinion
We conducted our audit in accordance with International Standards on Auditing (ISAs) incorporated into
the Greek Legislation. Our responsibilities under those standards are described in the Auditor’s
responsibilities for the “Audit of the separate and consolidated financial statements” section of our
report. We are independent of the Company and its consolidated subsidiaries within the entire course of
our appointment, in accordance with the International Ethics Standards Board for Accountants’ Code of
Ethics for Professional Accountants (IESBA Code) incorporated into the Greek Legislation and ethical
requirements relevant to the audit of separate and consolidated financial statements in Greece and we
have fulfilled our other ethical responsibilities in accordance with these requirements and the IESBA
Code. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a
basis for our opinion.
Key audit matters
Key audit matters are those matters that, in our professional judgment, were of most significance in our
audit of the separate and consolidated financial statements of the audited period. These matters, as well
as the related risk of significant misstatements, were addressed in the context of our audit of the
separate and consolidated financial statements as a whole, and in forming our opinion thereon, and we
do not provide a separate opinion on these matters.
Key audit matter
How our audit addressed the key audit
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matter
Recoverability of Trade Receivables
As at December 31st, 2022, the Group and the
Company trade receivables stand at € 10,73
million and € 12,96 million respectively, while
the relative accumulated impairment, included
in this amount, as reported in Note 11.8 to the
financial statements, amounts to € 0,93 million
and € 0,93 million respectively regarding the
Group and the Company.
At the every reporting period closing date, the
management assesses the recoverability of the
Group's and the Company's trade receivables
so that they could be recorded at their
recoverable amount, recognizing the required
provisions for impairment for expected credit
losses. This procedure involves significant
judgments and estimates.
Given the significant value of trade receivables
and the level of judgment and estimates,
required from the management, we consider
that assessment of recoverability of trade
receivables constitutes a key audit matter.
The disclosures, made by the Company and the
Group pertaining to the accounting policies as
well as the judgements and estimates used
under the assessment of recoverability of trade
receivables, are included in Notes 6.3, 7.7 and
10.8 to the accompanying financial statements.
The key audit procedures we performed in
respect of assessing recoverability of trade
receivables included the following procedures,
among others:
- Understanding the internal controls
designed by the management, related to the
Group's credit control procedures and providing
credits to customers.
- Assessment of assumptions and
methods used by the Management in order to
determine recoverability of trade receivables or
their classification as doubtful receivables.
- Review of the legal consultants
representation letters in respect of doubtful
receivables addressed within the year and
identifying potential issues indicating the
balances of trade receivables that are non-
recoverable in the future.
- Assessment of maturity of trade
receivables balances at the year end,
identifying potential debtors in financial
difficulties.
- Evaluation of recoverability of balances
as at December 31st, 2022, comparing these
amounts with subsequent amounts
received/settled.
- Assessment of sound implementation of
IFRS 9 under the calculation of expected credit
losses over the life of the instruments.
- Assessment of adequacy of the
disclosures recorded in the accompanying
financial statements regarding this matter.
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Inventory valuation
As at December 31st, 2022, the Group and the
Company held inventory amounting to € 23,77
million and € 23,73 million respectively.
Inventories are measured at the lower amount
between acquisition cost and net realizable
value.
Provision for impairment of inventories is made
based on the management's assessment of the
effective conditions and the potential to use
inventory if and when deemed necessary.
Given the significance of the item, the degree
of subjectivity of the assumptions, acting as a
basis for valuation analysis, as well as the use
of the management estimates, we consider
that inventory valuation constitutes a key audit
matter.
Disclosures, made by the Group and the
Company in respect of the assumptions and
estimates used under valuating inventory are
recorded in Notes 7.9 and 10.7 to the
accompanying financial statements.
The key audit procedures we performed in
respect of inventory valuation included the
following procedures, among others:
- Understanding the control procedures
designed by the Management regarding
identifying slow moving/obsolete inventories
and determining their realizable value.
- Attending the procedure of the physical
count in certain storage areas and performing
sample inventory counts.
- Review of inventory sample in order to
verify sound calculation of their acquisition
cost in accordance with the purchase invoices
and correct allocation of production costs.
- Review of sound inventory valuation
through comparing net realizable value of
inventory at the reporting date with the
acquisition cost of inventory.
- Review of the warehouse balance in
order to identify idle and slow moving
inventory.
- Assessment of adequacy of the
disclosures recorded in the accompanying
financial statements regarding this matter.
Other information
Management is responsible for the other information. The other information is included in the Board of
Directors Report, the reference to which is made in the “Report on Other Legal and Regulatory
Requirements” section of our Report and Statements of the Members of the Board of Directors, but does
not include the financial statements and the auditor’s report thereon.
Our opinion on the separate and consolidated financial statements does not cover the other information
and we will not express any form of assurance conclusion thereon.
In connection with our audit of the separate and consolidated financial statements, our responsibility is
to read the other information identified above when it becomes available and, in doing so, consider
whether the other information is materially inconsistent with the separate and consolidated financial
statements or our knowledge obtained in the audit, or otherwise appears to be materially misstated. If,
based on our audit, we conclude that there is a material misstatement therein, we are required to
communicate that matter. No such issue has arisen.
Separate and Consolidated Annual Financial Statements as of 31
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Responsibilities of the management and those charged with governance for the separate
and consolidated financial statements
Management is responsible for the preparation and fair presentation of the separate and consolidated
financial statements in accordance with International Financial Reporting Standards that have been
adopted by the European Union and for such internal control as management determines is necessary to
enable the preparation of separate and consolidated financial statements that are free from material
misstatement, whether due to fraud or error.
In preparing the separate and consolidated financial statements, management is responsible for
assessing the Company’s and the Group’s ability to continue as a going concern, disclosing, as applicable,
matters related to going concern and using the going concern basis of accounting unless the
management’s intention is to proceed with liquidating the Company and the Group or discontinuing its
operations or unless the management has no other realistic option but to proceed with those actions.
The Company’s Audit Committee (Article 44, Law 4449/2017) is responsible for overseeing the
Company’s and the Group’s financial reporting process.
Auditor’s responsibilities for the audit of the separate and consolidated financial statements
Our objectives are to obtain reasonable assurance about whether the separate and consolidated financial
statements as an aggregate, 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 ISAs, incorporated into the Greek
Legislation, will always detect a material misstatement when it exists. Misstatements can arise from fraud
or error and are considered material if, individually or in the aggregate, they could reasonably be
expected to affect the economic decisions of users taken on the basis of these separate and consolidated
financial statements.
As part of an audit in accordance with ISAs, incorporated into the Greek Legislation, we exercise
professional judgment and maintain professional skepticism throughout the audit. We also:
• Identify and assess the risks of material misstatement of the separate and consolidated 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 Company’s and the Group’s internal control.
• Evaluate the appropriateness of accounting policies used and the reasonableness of accounting
estimates and related disclosures made by management.
Separate and Consolidated Annual Financial Statements as of 31
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• Conclude on the appropriateness of management’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 Company’s and the Group’s ability to continue as a
going concern. If we conclude that a material uncertainty exists, we are required to draw attention in
our auditor’s report to the related disclosures in the separate and consolidated 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 Company and the Group to cease to continue as a going concern.
• Evaluate the overall presentation, structure and content of the separate and consolidated financial
statements, including the disclosures, and whether the separate and consolidated financial statements
represent the underlying transactions and events in a manner that achieves fair presentation.
• Obtain sufficient and appropriate audit evidence regarding financial reporting of entities or business
operations within the Group for the purpose of expressing an opinion on the separate and consociated
financial statements. Our responsibility is to design, supervise and perform the audit of the Company
and its subsidiaries. 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 to communicate with them all relationships and other
matters that may reasonably be thought to bear on our independence, and where applicable, related
safeguards.
From the matters communicated with those charged with governance, we determine those matters that
were of most significance in the audit of the separate and consolidated financial statements of the
current period and are therefore the key audit matters.
Report on Other Legal and Regulatory Requirements
1. Board of Directors Report
Taking into consideration that management is responsible for the preparation of the Board of Directors’
Report which also includes the Corporate Governance Statement, according to the provisions of
paragraph 5 of article 2 (part B) of L. 4336/2015, we note the following:
a) The Board of Directors’ Report includes the Corporate Governance Statement that provides the data
and information defined under article 152, Law 4548/2018.
b) In our opinion, the Board of Directors Report has been prepared in compliance with the effective legal
requirements of Article 150 and 153 and Paragraph 1 (cases c’ and d’) of Article 152, Law 4548/2018,
Separate and Consolidated Annual Financial Statements as of 31
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December 2022 Page 10
and its content corresponds to the accompanying separate and consolidated financial statements for the
year ended as at 31.12.2022.
c) Based on the knowledge we acquired during our audit, we have not identified any material
misstatements in the Board of Directors Report in relation to the company “IKTINOS HELLAS S.A.” and
its environment.
2. Complementary Report to the Audit Committee
Our audit opinion on the separate and the consolidated financial statements is consistent with our
Additional Report to the Company’s Audit Committee referred to in article 11 of EU Regulation 537/2014.
3. Provision of Non‐Audit Services
We have not provided to the Company and its subsidiaries any prohibited non-audit services referred to
in article 5 of EU Regulation No 537/2014.
Authorized non‐audit services provided by us to the Company and its subsidiaries during the year ended
as at December 31, 2022 are disclosed in Note 10.20 to the accompanying separate and consolidated
financial statements.
4. Auditor’s Appointment
We were first appointed the Company’s Chartered Accountants following as of 30/06/2009 Decision of
the annual general meeting of shareholders. Our appointment has been renewed by the decision of the
annual general meeting of shareholders for a total uninterrupted period of 14 years.
5. Internal Regulation Code
The Company has in effect Internal Regulation Code in conformance with the provisions of Article 14 of
Law 4706/2020.
6. Assurance Report on European Single Electronic Format
1
We examined the digital records of the Company “IKTINOS HELLAS S.A.” (hereinafter the “Company”
or/and the “Group”), prepared in accordance with the European Single Electronic Format (ESEF) as
defined by the European Commission Delegated Regulation 2019/815, amended by the Regulation (EU)
2020/1989 (hereinafter “ESEF Regulation”), which comprise the separate and consolidated financial
statements of the Company and the Group for the year ended December 31, 2022, in XHTML format as
.
Separate and Consolidated Annual Financial Statements as of 31
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December 2022 Page 11
well as the provided XBRL file (21380044V7NMV5WGP427-2022-12-31-el) with the appropriate mark-up,
on the aforementioned consolidated financial statements including the other explanatory information
(Notes to financial statements).
Regulatory framework
The digital records of the European Single Electronic Format are prepared in accordance with ESEF
Regulation and the European Commission Interpretative Communication 2020/C 379/01 of November 10,
2020, in conformance with Law 3556/2007 and the relevant announcements of the Hellenic Capital
Market Commission and the Athens Stock Exchange (hereinafter “ESEF Regulatory Framework”). In
summary, this Framework includes, among others, the following requirements:
- All annual financial reports shall be prepared in XHTML format.
- For the consolidated financial statements in accordance with IFRS, financial information included in the
Statement of Comprehensive Income, Statement of Financial Position, Statement of Changes in Equity
and Statement of Cash Flows shall be marked-up with XBRL tags and block tag, in accordance with the
effective ESEF Taxonomy. ESEF technical specifications, including the relevant taxonomy, are set out
in the ESEF Regulatory Technical Standards.
The requirements set out in the effective ESEF Regulatory Framework constitute the appropriate criteria
for expressing a conclusion of reasonable assurance.
Responsibilities of Management and Those Charged with Governance
Management is responsible for the preparation and submission of the separate and consolidated financial
statements of the Company for the year ended December 31, 2022, in accordance with the requirements
of the ESEF Regulatory Framework, and for such internal control as management determines is
necessary to enable the preparation of digital records that are free from material misstatement, whether
due to fraud or error.
Auditor’s Responsibilities
Our responsibility is to design and conduct this assurance engagement, in accordance with No. 214/4/11-
02-2022 Decision of the Board of Directors of the Hellenic Accounting and Auditing Standards Oversight
Board (HAASOB) and the “Guidelines on the auditors’ engagement and assurance report on the European
Single Electronic Format (ESEF) for issuers whose securities are admitted to trading on a regulated
market in Greece” as issued by the Institute of Certified Public Accountants of Greece on February 14,
2022 (hereinafter “ESEF Guidelines”), in order to obtain reasonable assurance that the separate and
consolidated financial statements of the Company and the Group prepared by management in accordance
with ESEF, are in compliance, in all material respects, with the effective ESEF Regulatory Framework.
We conducted our work in accordance with the International Ethics Standards Board of Accountants
“Code of Ethics for Professional Accountants” (IESBA Code), as incorporated into the Greek Law, and we
have complied with the ethical requirements of independence, in accordance with Law 4449/2017 and EU
Regulation 537/2014.
We conducted our work in accordance with the International Standard on Assurance Engagements (ISAE)
3000 “Assurance Engagements other than Audits or Reviews of Historical Financial Information” and our
procedures are limited to the requirements of the ESEF Guidelines. Reasonable assurance is a high level
Separate and Consolidated Annual Financial Statements as of 31
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December 2022 Page 12
of assurance, but is not a guarantee that this work will always detect a material misstatement of non-
compliance with the requirements of the ESEF Regulation.
Conclusion
Based on the procedures performed and the evidence obtained, the separate and consolidated financial
statements of the Company for the year ended December 31, 2022, in XHTML format as well as the
provided XBRL file (21380044V7NMV5WGP427-2022-12-31-el) with the appropriate mark-up on the
aforementioned consolidated financial statements, including the other explanatory information, have
been prepared, in all material respects, in accordance with the requirements of the ESEF Regulatory
Framework.
Athens, 28 April 2023
The Certified Public Accountant
Manolis Michalios
Registry Number SOEL 25131
Separate and Consolidated Annual Financial Statements as of 31
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3. Annual Report of the Board of Directors
Management report of the Board of Directors of the company
“IKTINOS TECHNIKI & TOURISTIKI ANONYMI ETAIREIA”
on the consolidated and company Financial Statements of the fiscal year from
1st January to 31st December 2022
The present Annual Report of the Board of Directors which follows (hereinafter referred to as the
“Report”), refers to the fiscal year 2022. The Report was prepared and is aligned with the relevant
provisions of law 4548/2018 as applicable, as well as law 3556/2007 article 4 par. 2(c), 6, 7 & 8 (G.G.
91Α/30.4.2007) and the executive decisions of the Capital Market Commission issued pursuant to it
7/448/11-10-2007 article 2 and the Company’s Articles of Association.
The present report contains briefly the financial information regarding the fiscal year 2022 and describes
significant events that took place (before and after the reporting date of the financial statements) and
their impact on the annual financial statements. There is also a description of the main risks and
uncertainties that the Group and the Company may face over the next year and the significant
transactions that were concluded between the issuer and their related parties are presented.
Α. Evolution of the performance of the Company and of the Group over the fiscal year 1/1-
31/12/2022.
Α.1. Company
• Turnover
During the Fiscal Year 2022 turnover amounted to 30,817,987 euro while the corresponding amount
during the Fiscal Year 2021 amounted to 33,014,672 euro. There was a decrease by 2,196,685 euro and
by 6.65%.
Effects of the macroeconomic environment on the financial figures of the company
2022 was a year of exceptional challenges where the Company's Management was called upon to
manage ever-increasing cost pressures at all levels – materials, energy and transport. We live in an era
of very intense fluctuations and multiple problems that affect every type of business. Electricity and oil
costs increased by 46% and burdened production costs by 1.2 million euros, while factors that have
recently emerged more strongly due to the significant geopolitical developments in Ukraine have
increased the company's operating costs by 10%.
Along with energy increases, large and sharp increases in raw material prices of more than 15% multiply
our production costs further shrinking our profit margins. Also, interest rate increases by the European
Separate and Consolidated Annual Financial Statements as of 31
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December 2022 Page 14
Central Bank were added within 2022 with the aim of indirectly controlling the immense increase in
inflation which is at the highest level in the last decades.
In addition, the lock down of the Chinese market for the third consecutive year, the largest market for
Greek marbles, has negatively affected the company's turnover, as in 2022, the participation of the
company's sales to China in the total sales was limited to only 30% of turnover, compared to 60% in
2021. The increase in sales to new markets was not able to compensate for this loss. The top six
countries to which 66% of the company's production was exported in 2022 are China, Mexico, the UAE,
Qatar, S. Arabia and Egypt. The remaining 34% was exported to 47 countries around the world.
However, we should emphasize that Greek marble exports as a whole had a decline by 15% in 2022
compared to 2021, a fact that worries the Greek marble industry . Also the opposite course of Greece's
total marble exports in 2022 compared to Italy and Turkey is an indication of high worldwide
competition. Greek exports show a decrease, while Italian and Turkish exports have gone up.
Specifically, the decrease of raw marbles in exports to China has a critical effect on the exports of raw
marbles of all three countries. However, Greece records greater losses than Italy and Turkey. Exports of
processed marble from all three countries showed growth that led to a five-year record. However,
Greece's exports are growing at a lower rate compared to Italy and Turkey.
All of the above geopolitical and social turmoil and rearrangements had a negative impact on the
company's financial figures in 2022.
• Gross results (Gross Profit)
During the fiscal year 2022 it amounted to 10,939,418 euro while the corresponding amount during the
fiscal year 2021 was 13,307,756 euro. There was a decrease by 2,368,337 euro and by 17.80%.
• Administration and Disposal Expenses
During the fiscal year 2022 they amounted to 10,429,895 euro while the corresponding amount during
the fiscal year 2021 was 10,110,686 euro. There was a decrease of expenses by 319,209 euro and by
3.16%.
• Research and Development Expenses
During the fiscal year 2022 they amounted to 55,587 euro while the corresponding amount during the
fiscal year 2021 was 20,246 euro. There was an increase of expenses by 35,341 euro and by 174.56%.
• Earnings before interest, taxes, depreciation and amortization (EBITDA)
During the fiscal year 2022 they amounted to 4,269,806 euro while the corresponding amount during the
fiscal year 2021 was 7,271,369 euro, showing a decrease by 3,001,563 euro and by 41.28%.
• Earnings before taxes
Separate and Consolidated Annual Financial Statements as of 31
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December 2022 Page 15
During the fiscal year 2022 they amounted to 137,997 806 euro while the corresponding amount during
the fiscal year 2021 was 3,069,231 euro. There was a decrease by 2,931,234 euro and by 95.50%.
• Earnings after taxes
During the fiscal year 2022 they amounted to 201.728 euro loss, while the corresponding amount during
the fiscal year 2021 was 2,095,516 euro profit. There was a change by 2,297,244 euro and by 109.63%.
• Loan liabilities
During the fiscal year 2022 loan liabilities amounted to 46,333,451 euro while the corresponding amount
during the fiscal year 2021 was 43,456,619 euro. There was an increase in borrowing by 2,876,832 euro
and by 6.62%.
Α.2 GROUP
The companies in which IKTINOS HELLAS S.A. participated on 31/12/2022 and which are included in the
consolidated financial statements of the Group are the following:
1. FEIDIAS HELLAS A.V.E.E.
Its sales during the fiscal year 2022 amounted to 734,233 euro while the corresponding amount during
the fiscal year 2021 was 689,926 euro. There was an increase by 44,307 euro and by 6.42%. The results
(loss) before taxes during the fiscal year 2022 amounted to 174,636 euro while the corresponding
amount during the fiscal year 2021 was 136,989 euro. There was an increase in loss by 37,647 euro.
2. KALLITECHNOKRATIS E.P.E.
This company has been put into liquidation since 26/4/2007.
3. IDIOTIKI EPICHEIRISI ILEKTRISMOU S.A. (IDEI S.A.)
Its sales during the fiscal year 2022 amounted to 2,177,847 euro while the corresponding amount during
the fiscal year 2021 was 1,942,128 euro. There was an increase by 235,719 euro and by 12.14%. During
the fiscal year 2022 the results (profit) before taxes amounted to 143,444 euro while the corresponding
amount during the fiscal year 2021 was 613,012 euro (loss); there was an improvement by 756,456
euro. The previous year loss was mainly due to the impairment of its participation. The total impairment
loss recognized on 31.12.2021 in the subsidiary company IDEI on its investments in companies placed in
liquidation amounted to 420,000 euro.
4. LATIRUS LTD
This company through its subsidiary "IKTINOS TECHNIKI & TOURISTIKI SA" is in the process of
implementing investments. The company Latirus Enterprises Ltd as well as its subsidiary IKTINOS
TECHNIKI & TOURISTIKI SA by 97.764% are incorporated in the financial statements of the Group by
the method of total consolidation.
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 16
The result for the period 1/1/-31/12/2022 amount to 2,595.72 losses before taxes.
5. AIOLIKI MEGA ISOMA SA
It is a company of the group (indirect participation through the subsidiary IDEI) which was established in
the context of the Group's activity in renewable energy sources.
The Extraordinary General Meeting of the company's shareholders dated 29/12/2021 decided to suspend
its operations. The strong reaction from the local communities to the installation of wind farms, the
reduced and non-guaranteed sale price of electric energy as well as the high cost of maintaining the
existing licenses led to the revision of the further activity in the wind energy sector. The company had
virtually ceased its business and there was no prospect of resuming operations and was subsequently
liquidated.
On 31/12/2021 the decision with number 13293/31-12-2021 of the Chamber of the GEMI Service (ΑΔΑ:
ΨΘΜΦ469ΗΕΘ-Ι89) was registered with KAK 2766644 in the General Commercial Register (G.E.M.I.),
with which the resolution of the company under the name “AIOLIKI MEGA ISOMA SOLE SHAREHOLDER
ELECTRICITY PRODUCTION SOCIETE ANONYME” and the distinctive title “AIOLIKI MEGA ISOMA S.A.”
with GEMI No. 124526201000, according to a relevant decision of the Extraordinary General Meeting of
the Shareholder dated 29/12/2021.
On 08/12/2022 the minutes of the General meeting dated 05/12/2022 was registered with ΚΑΚ 3352981
in the General Commercial Register (G.E.M.I.), which approved the final balance sheet after liquidation
as of 05/12/2022 of the Societe Anonyme under the name “(UNDER LIQUIDATION) AIOLIKI MEGA
ISOMA SOLE SHAREHOLDER ELECTRICITY PRODUCTION SOCIETE ANONYME” and the distinctive title
“(UNDER LIQUIDATION) AIOLIKI MEGA ISOMA S.A” and GEMI No 124526201000.
The result of the liquidation in the individual statements of the company "AIOLIKI MEGA ISOMA S.A." is
84,682 euro loss.
Subsequently, the company was deleted from GEMI due to the approval of the liquidation balance sheet.
7. AIOLIKI LYKOFOLIA SA
It is a company of the group (indirect participation through the subsidiary IDEI) which was established in
the context of the Group's activity in renewable energy sources. The company modified the existing
production license from 9 MW to 3 MW in order to get a guaranteed sale price for the generated
electricity.
8. AIOLIKI MAVROLITHARO SA
It is a company of the group (indirect participation through the subsidiary IDEI) which was established in
the context of the Group's activity in renewable energy sources.
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 17
The Extraordinary General Meeting of the company's shareholders dated 12/1/2022 decided to suspend
its operations. The strong reaction from the local communities to the installation of wind farms, the
reduced and non-guaranteed sale price of electric energy as well as the high cost of maintaining the
existing licenses led to the revision of the further activity in the wind energy sector. The company had
virtually ceased its business and there was no prospect of resuming operations and was subsequently
liquidated.
On 18/1/2022 the decision with number 557/18-1-2022 of the Chamber of the GEMI Service (ΑΔΑ:
6640469ΗΕΘ-Υ5Η) was registered with KAK 2778674 in the General Commercial Register (G.E.M.I.),
with which the resolution of the company under the name “AIOLIKI MAVROLITHARO ELECTRICITY
PRODUCTION SOCIETE ANONYME” and the distinctive title “AIOLIKI MAVROLITHARO S.A.” with GEMI
No. 118804701000, according to a relevant decision of the Extraordinary General Meeting of the
Shareholder dated 12/1/2021.
On 09/11/2022 the minutes of the General meeting dated 09/11/2022 was registered with ΚΑΚ 3248116
in the General Commercial Register (G.E.M.I.), which approved the final balance sheet after liquidation
as of 09/11/2022 of the Societe Anonyme under the name “(UNDER LIQUIDATION) AIOLIKI
MAVROLITHARO ELECTRICITY PRODUCTION SOCIETE ANONYME” and the distinctive title “(UNDER
LIQUIDATION) AIOLIKI MAVROLITHARO” and GEMI No 118804701000.
The result of the liquidation in the individual statements of the company "AIOLIKI MAVROLITHARO S.A."
is 49,145 euro loss.
Subsequently, the company was deleted from GEMI due to the approval of the liquidation balance sheet.
9. AIOLIKI SYNORA SA
It is a group company (indirect participation through the subsidiary IDEI) which was established in the
context of the Group's activity in renewable energy sources.
The Extraordinary General Meeting of the company's shareholders dated 12/1/2022 decided to suspend
its operations. The strong reaction from the local communities to the installation of wind farms, the
reduced and non-guaranteed sale price of electric energy as well as the high cost of maintaining the
existing licenses led to the revision of the further activity in the wind energy sector. The company had
virtually ceased its business and there was no prospect of resuming operations and was subsequently
liquidated.
On 2/2/2022 the decision with number 988/2-2-2022 of the Chamber of the GEMI Service (ΑΔΑ:
6ΦΞ469ΗΕΘ-799) was registered with KAK 27867711 in the General Commercial Register (G.E.M.I.),
with which the resolution of the company under the name “AIOLIKI SYNORA SOLE SHAREHOLDER
ELECTRICITY PRODUCTION SOCIETE ANONYME” and the distinctive title “AIOLIKI SYNORA S.A.” with
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 18
GEMI No. 124658401000, according to a relevant decision of the Extraordinary General Meeting of the
Shareholder dated 12/1/2021.
On 29/11/2022 the minutes of the General meeting dated 09/11/2022 was registered with ΚΑΚ 3341566
in the General Commercial Register (G.E.M.I.), which approved the final balance sheet after liquidation
as of 09/11/2022 of the Societe Anonyme under the name “(UNDER LIQUIDATION) AIOLIKI SYNORA
SOLE SHAREHOLDER ELECTRICITY PRODUCTION SOCIETE ANONYME” and the distinctive title “(UNDER
LIQUIDATION) AIOLIKI SYNORA S.A.” and GEMI No 124658401000.
The result of the liquidation in the individual statements of the company "AIOLIKI SYNORA S.A." is
25,250 euro loss.
Subsequently, the company was deleted from GEMI due to the approval of the liquidation balance sheet
10. IKTINOS TECHNIKI & TOURISTIKI
This is a company of the group (indirect participation through a subsidiary company Latirus Ltd) that
operates in the real estate sector and is going to develop a tourist facility at Ormos Faneromenis of the
Municipality of Sitia in an area of approximately 2,689 acres. The result for the period 1/1/-31/12/2022
amounted to 70,356 euro losses before taxes.
EVOLUTION OF THE GROUP OPERATIONS
• Turnover
During the fiscal year 2022 it amounted to 33,018,563 euro while the corresponding amount during the
fiscal year 2021 was 34,967,895 euro. There was a decrease by 1,949,333 euro and by 5.57%.
• Gross results (Gross Profit)
During the fiscal year 2022 it amounted to 10,464,964 euro while the corresponding amount during the
fiscal year 2021 was 12,688,437 euro. There was a decrease by 2,223,473 euro and by 17.52%.
• Administration and Disposal Expenses
During the fiscal year 2022 they amounted to 10,564,000 euro while the corresponding amount during
the fiscal year 2021 was 10,175,731 euro. There was an increase by 388,269 euro and by 3.82%.
• Research and Development Expenses
During the fiscal year 2022 they amounted to 55,587 euro while the corresponding amount during the
fiscal year 2021 was 20,246 euro. There was an increase by 35,341 euro and by 174.56%.
• Earnings before interest, taxes, depreciation and amortization (EBITDA)
During the fiscal year 2022 they amounted to 5,708,845 euro while the corresponding amount during the
fiscal year 2021 was 8,700,657 euro. There was a decrease by 2,989,006 euro and by 34.35%.
• Earnings before taxes
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 19
During the fiscal year 2022 they amounted to 8,227 euro profit while the corresponding amount during
the fiscal year 2021 was 2,594,591. There was a decrease by 2,586,364 euro and by 99.68%.
• Earnings after taxes
During the fiscal year 2022 they amounted to 325,956 euro loss while the corresponding amount during
the fiscal year 2021 was 2,424,042 euro profit. There was a change by 2,749,999 euro.
• Loan liabilities
During the fiscal year 2022 loan liabilities amounted to 46,333,451 euro while the corresponding amount
during the fiscal year 2021 was 44,447,445 euro. There was an increase in borrowing by 1,886,006 euro
and by 4.24%.
Alternative Financial Indicators of Calculating Performance
The Group uses as alternative performance indicators the Earnings before Taxes, Interest and
Amortization (EBITDA), the margin results before interest, taxes, investment results and amortization
and the Net Borrowing. The above indicators are taken into account by the Group’s Management in
making strategic decisions.
Alternative indicators should always be considered in conjunction with the financial results drawn up in
accordance with IFRS and in no way replace them.
EBITDA - Earnings before taxes, interest and depreciation: The indicator is calculated as:
Earnings before taxes (EBT) - Net financial results + Depreciation for the use of tangible & intangible
assets - Recognized income from grants. The larger the indicator, the more effective the operation of the
Group / Company.
Marginal results before interest, taxes, investment results and depreciation: The indicator is
calculated as Profit before Interest and Depreciation Taxes - Investment Results for Sales. It is an
indicator by which the Management evaluates the efficiency of the activities of the Group / Company.
Net Borrowing: The indicator is calculated as the total of Short-term Loans, Long-term Loans and
Long-term loan liabilities payable in the following year less the amount of cash not subject to any use
restriction or commitment.
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 20
Earnings before Taxes, Interest and Amortization (EBITDA)
Group
Company
31/12/2022
31/12/2021
31/12/2022
31/12/2021
Results (loss) after taxes
-325,956
2,424,042
-201,728
2,095,516
Income tax
334,183
170,549
339,725
973,715
Financial Revenue
108,475
-250000,36
108,475
-250000,36
Financial Expenses
1,845,846
1,856,847
1,821,024
1,792,335
Other Financial Results
13,710
-11287.56
13,710
-181095.56
Depreciation
4,546,666
4,949,193
2,459,751
2,870,823
Grants Depreciation
-569,709
-572,852
-26,781
-29,924
Investment results
134,166
-122,185
0
Earnings before Taxes
Interest and Amortization
(EBITDA)
5,708,846
8,700,657
4,269,806
7,271,369
Turnover
33,018,563
34,967,895
30,817,987
33,014,672
Margin results before
interest,
taxes, investment results and
amortization
17.29%
24.88%
13.85%
22.02%
Net Borrowing
Group
Company
31/12/2022
31/12/2021
31/12/2022
31/12/2021
Long term loan liabilities
17,924,240
20,534,409
17,924,240
20,534,409
Long term loan liabilities payable in the
next year
3,860,163
3,894,323
3,860,163
2,903,497
Short term Loan Liabilities
22,616,604
18,288,564
22,616,604
18,288,564
Liabilities from financial leases
1,374,907
914,575
1,374,907
914,575
Short-term liabilities from financial leases
557,538
815,574
557,538
815,574
Cash and Cash Equivalents
-1,626,101
-1,420,374
-1,448,934
-1,383,290
Net Borrowing
44,707,350
43,027,071
44,884,517
42,073,329
Borrowing increase
1,680,280
2,811,188
Group
Company
31/12/2022
31/12/2021
31/12/2022
31/12/2021
Loans
46,333,451
44,447,445
46,333,451
43,456,619
Less: Cash Available
-1,626,101
-1,420,374
-1,448,934
-1,383,290
Net borrowing
44,707,350
43,027,071
44,884,517
42,073,329
Total equity
49,624,783
49,922,203
45,749,163
45,923,863
Leverage ratio
0.901
0.862
0.981
0.916
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 21
Β. SIGNIFICANT EVENTS OF THE FISCAL YEAR 2022 AND OF THE PERIOD UP TO THE
PREPARATION OF THE PRESENT REPORT
1. VAT refund - Special Consumption Tax
The Company received a VAT refund of 2.66 million euro, after a temporary audit by the competent Tax
Office ATHENS FAE, for VAT refund applications based on POL 1073/2004. The Company also received a
refund of Special Consumption Tax amounting to 1.17 mil. euro after an audit by the Customs of
Keratsini.
2. Contract for the exploitation of a marble quarry
On13/10/2022 the Company entered into an agreement for the contractual exploitation of a 50-acre
marble quarry in Mantria, in Drama Prefecture, in the regional unit of Drama, for a 20-year term.
3. Payment of 33,3% of the500,000 Euro refundable advance
In 2020 the parent company received an amount of 500,000 euros in the form of a refundable advance
based on Ministerial Decision (KYA) ΓΔΟΥ 94/2.5.2020. According to ΓΔΟΥ 1054/15.11.2021 a business
may pay 33,3% as long as it maintained the levels of employment and received an extra 15% deduction
on the remaining amount due to its payment in full.
The company recognized a benefit:
• According to ΓΔΟΥ 1048/15.11.2021 an amount of 250,000 euro in the results of fiscal year 2021,
as it met the conditions of not repaying 50%
• According to ΓΔΟΥ 1054/15.11.2021 an amount of 108,250 euro in the results of fiscal year 2022,
as it met the conditions of paying 33,3%.
The company eventually paid the amount of 141,750 euro, receiving an extra deduction of 15% on the
remaining amount due to its payment in full.
4. Decisions at the Ordinary General Meeting of the Company's Shareholders
On 16 June 2022 the Ordinary General Meeting of the Company's Shareholders convened and
decided, among other things:
1. The approval of the annual Financial Statements for the year 01.01 – 31.12.2021, in accordance
with the International Accounting Standards, as well as the relevant reports of the Board of Directors and
the Certified Auditor - Accountant.
2. The approval for the non-distribution of dividend to the shareholders for the year 01.01 –
31.12.2021.
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 22
3. The approval of the overall management of the Company, according to article 108 of Law
4548/2018, as in force, and the exemption of the Company's Certified Auditors from any liability for
compensation for the corporate year 01.01 - 31.12.2021, according to article 117, par . 1, case c of Law
4548/2018, as in force.
4. The election of a regular and an alternate Certified Auditor - Accountant for the audit of the
Financial Statements of the corporate year 01.01 – 31.12.2022.
5. To allow the members of the Board of Directors to participate in Boards of Directors or boards of
directors of other companies with competitive or non-competitive purposes of the Company, according to
article 98 of Law 4548/2018.
6. The approval of the Remuneration Report of article 112 of Law 4548/2018 (for the paid fees for
the corporate year 01.01 – 31.12.2021).
7. The pre-approval of remuneration and compensations of the Board of Directors for the corporate
year 01.01 – 31.12.2022
8. The approval of purchasing own equity.
9. The approval of the Remuneration Policy in accordance with the provisions of articles 109 and
112 of Law 4548/2018.
10. The Chairman of the Audit Committee informed the shareholders about the actions of the
Committee during the corporate year 2021 and the submission of the Committee’s annual report,
according to article 44 par. 1i of Law 4449/2017.
11. Other Announcements.
5. Development of the business plan of the company Iktinos Techniki and Touristiki SA
The company IKTINOS TECHNIKI & TOURISTIKI SA is active in the real estate industry. It owns an area
of about 2,689 acres, of which about 556 acres are on the seaside in the bay of Faneromeni in Sitia,
Crete, and the remaining 2,133 acres are one thousand meters south of the Sopata Mesorachi plateau of
the Municipality of Sitia in Crete.
The Group's Management is in contact with investors for this business plan but without a final agreement
at this time.
6. Approval of cost subsidy by OAED
In the context of monetary claims for a salary cost subsidy, arising from the provisions of article 21 of
law 1767/1988 (A’ 63), as replaced by article 32 of law 1836/1989 (A’ 89), the company filed lawsuits
against the Public Employment Organisation (O.A.E.D.) and the locally competent offices of the
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 23
Organization in Drama, Eleftheroupoli, Chrysoupoli and Thassos before the Three-Member Administrative
Court of First Instance of Kavala.
Pursuant to article 87 of law 4706/2020 (A’ 136), article 26 of law 4722/2020 (A’ 177), Ministerial
Decision (K.Y.A.) number 47284/359/17-11-2020 of the Ministers of Finance and Labor and Social Affairs
(Β΄5080) and the circular of O.A.E.D. with reference number 72751/25-11-2020 (ΑΔΑ: ΨΩΕΙ4691Ω2-
3ΣΕ) offsetting can be carried out for the above outstanding claims of the beneficiaries until 31.12.2015,
if they wish, with existing ones and then with future claims of the tax administration; while withholding
and refund of the withheld amounts are carried out for corresponding claims of the Social Security
Institutions, provided that the beneficiary waives the right and withdraws from court proceedings (if he
has already appealed to court), in which he claims monetary amounts for the years 2010 to 2015.
Based on the above applications, the company received approval decisions for offsetting the amount of
0.2 mil. Euro, while it had already received the amount of 0.8 million euro in 2021.
7. Submission of a request for completion of 50% of the investment program in Industreal
Area
The company submitted a request to complete 50% of the investment program of the Development Law
4399/2016, in the factory at the Drama Industrial Area, worth 4 million (it is expected to offer a tax
exemption of 1.4 million). It had received an approval decision with Prot. No. 5473/ 25-02-2020 of a total
supported cost of 6.8 million euro.
8. Tax certificate with the conclusion "without reservation"
After the completion of the special tax audit for the year 2021 carried out by the company of certified
public accountants GRANT THORNTON, the company received a tax certificate with a conclusion “without
reservation”.
9. Grant of new Bond Loan for 7 mil. euro (completed on 3/3/2023)
The subsidiary company IDEI SA received a 7 mil. euro bond loan from Piraeus Bank for a 7 year term
and interest 3%. It also proceeded with a reduction of Share Capital in the amount of 8,425,000 euro
with a reduction of the nominal value of the share by twenty-five (25) euros, from 60 euros to 35 euro,
with the aim of returning capital of 8,425,000 euro to the parent company IKTINOS HELLAS and a
corresponding amendment of article 5 of the Company's Articles of Association.
10. Repayment of a short-term loan of EUR 1.79 million (completed on 3/3/2023)
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 24
The company proceeded to the payment of an existing bank loan amounting to 1.79 million euro to
Piraeus bank, which had been granted pursuant to the Open Mutual Account Agreement no.
2511537/28.07.2006.
11. Quarries exploitation
The Company continued in 2022 with the implementation of its investment plan, transition to the
underground mining system at its main quarry in Volakas, which will allow it to fully respond to the
increased demand in higher quality marble. The underground mining system at its main quarry in
Volakas, aims to direct the healthy deposit through underground paths without the obligation of surface
exposure and disposal of sterile by-products and will allow it to fully respond to the increased demand in
higher quality marble. This adjustment to underground mining caused a reduction in production, which
affected the year's results. The underground mining brought to the Company a high cost of exploration
and evaluation of the mineral resources, which amounted to approximately 2,340,655 euro, which were
capitalized in accordance with IFRS 6. The company also proceeded with exploration expenses in the
quarries of Nestos, Taousianis and Pyrgoi which amounted to 452,674 euro and were capitalized
according to IFRS 6.
C. PROSPECTS AND ANTICIPATED DEVELOPMENT FOR 2023
• MARBLE SECTOR
In 2023, we predict a strengthening of trade transactions with China, as its economy recovers and
restrictive measures against the pandemic are lifted. A positive sign is also the fact that the international
marble exhibition held in Xiamen (city in China) has been set for early June, after three years of
cancellations due to the coronavirus.
Based on current market conditions and assuming normalization of trade and continued marble
exhibitions globally, the ICAP study published in February 2023 predicts marble exports to increase in the
coming years.
In particular, the demand for marble from foreign countries is estimated to follow an upward trend in the
years 2023-2025 with an average annual growth rate of approximately 12%.
Another important element that will strengthen the competitiveness of our products abroad is the
improvement of mining and processing technologies and the development of innovative methods, with
the aim of better utilizing Greek Marble.
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 25
Management closely monitors the developments of the world market and estimates that it will further
reduce production costs, due to the better performance of the production process both qualitatively and
quantitatively, as a consequence of its investment program of the last three years.
In the second half of 2023, the company will operate four new quarries in Greece, two white marble
quarries in Drama and two new quarries in the Livadia, one beige marble quarry and one gray marble
quarry. Also, in the same period, the extraction of marbles is scheduled to begin from the extension to
the existing Volakas quarry in Drama.
Therefore, the turnover is predicted to be improved compared to 2022, it is estimated that the turnover
in 2023 will be increased by 12% compared to 2022.
At the same time, the company has sufficient cash available and appropriate financial tools - financing
lines from the banking system to be able to cope with current financial obligations. The company is in
constant search to find new deposits, in more than 10 areas in N. Greece and abroad.
• AEOLIAN ENERGY SECTOR
The Group is active in the sector of the aeolian energy through the subsidiary company IDEI SA, which is
managing the operation of an aeolian park of a power of 22 MW, which is located at “Megalovouni’’ of
the Nikiforos Municipality of the Drama Prefecture. The company IDEI SA extended the contract for the
sale of wind energy with the RES & Guarantees of Origin Administrator (DAPEEP) with fixed sale prices
(0.086 / kw) for another 10 years (until 3/2031). For the next period after the expiry of the 10-year
term, it will continue the auction process to determine the sale price.
The Group redesigns its presence in Renewable Energy Sources, maintaining only one 3MW license so as
to obtain a guaranteed sale price for the electricity produced. The strong reaction from the local
communities to the installation of wind farms, the reduced and non-guaranteed sale price of electricity as
well as the high cost of maintaining the existing licenses led to the revision of the further activity in the
aeolian energy sector.
• REAL ESTATE SECTOR
The Group’s activities in the sector of Real Estate through the subsidiary IKTINOS TECHNIKI &
TOURISTIKI S.A. are on course towards their implementation. A result of this will be the future increase
of the value of properties and the proportional improvement of the results of the Group’s investment
activity. The company is looking for an investor to implement the business plan, while it has prepared a
viability study for the investment by the company HORWATH HTL.
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 26
D. NON-FINANCIAL STATEMENT OF THE MANAGEMENT REPORT
This report presents the strategy for achieving ESG sustainability goals of the company IKTINOS SA
(hereinafter "Company"), the policies, the actions and the evaluation of their effectiveness. It meets the
requirements of Law 4548/2018 and especially articles 150 par. 2c and 154, but also the directions of the
ESG Reporting Guide of the Athens Stock Exchange, 2022 edition, and more specifically
➢ Business Model
➢ Objectives and Strategy
➢ Sustainable Development Policy
➢ Environmental issues
➢ Notifications related to article 8 of the Taxonomy Regulation
➢ Social and employment issues
➢ Corporate governance issues
1. Brief description of business model
The report covers the actions of the Company, as described in the following business model.
IKTINOS S.A. is one of the largest Greek companies in the extraction, cutting, processing and
applications of marble in architecture and sculpture. It has been active both in the Greek and global
markets since 1975. During 2022, the company operated 8 quarries in Drama, Thassos and Kavala, it has
three processing factories and three storage areas for its products. The factories are fully vertically
integrated units, which are equipped with the most modern machinery for cutting, processing and
finishing marbles. The total production capacity of all the company's factories in slabs and squares
amounts to more than 1,000,000 m
2
per year.
The Company is purely export-oriented, as its exports amount to more than 95% of its turnover, in more
than 90 countries with the main markets being China, South-East Asia, USA, Arab Gulf countries, Latin
America and Europe. The Company's primary goal is to strengthen its position in the global market,
pioneering technology and quality by applying modern processing technologies, which significantly
contributes to the creation of an excellent high-quality final product.
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 27
The company's experience, reputation, know-how and infrastructure in terms of people, systems and
equipment are a significant asset for all stakeholders and have given it the required credibility worldwide
to continue its upward course.
The Company, in addition to mining and processing, has an important commercial department that
provides its partners, customers and suppliers, with an integrated system of commercial services in the
fields of sales, marketing, and logistics, being an integral link in the supply chain. Among its primary
goals is the successful ongoing development and establishment of its products in the Greek and
international market.
2022 was the year of further assimilation of ESG criteria and continued intensification of efforts towards
Sustainable Development goals and the integration of ESG criteria into the strategy and operating model.
Continued inclusion in the ATHEX ESG index since 2021 encourages us to continue raising the bar in
terms of goals in managing global challenges such as climate change, diversity and inclusion, the energy
crisis of the pandemic and challenges arising from the war in Ukraine. In addition, following closely all
the developments and institutions of Sustainable Development, the Company has begun since 2023 to
implement the necessary adjustments to its operating model towards harmonization with the upcoming
EU CSRD directive, such as double materiality and communication with customers and suppliers on the
necessity of collecting ESG data in the value chain.
At the same time, it continues with undiminished intensity its focus on the development of know-how
and technology, and in cooperation with Universities and research bodies, we are constantly improving
our operational model by eliminating any operational imperfections thus optimizing our productivity at
the level of human resources, mechanical equipment and physical resources while at the same time
reducing our costs and footprint by maintaining an ever-increasing course in the quality/price ratio and
improving the ratio of production volume/required natural resources. At the same time, we continue our
market research both at home and abroad, expanding our partnerships, steadily improving our
pioneering position in the global market.
Being one of the country's leading companies in the field of marble mining and processing and having
completed 49 years of operation in 2022, at IKTINOS HELLAS SA we want to remain a company whose
operating model goes beyond the conventional and includes the contributions of an organization to the
triptych People, Planet, Profit
2. Objectives, Policies and Strategic Analysis
The Company aims through a holistic approach to record and evaluate the environmental and social
dimensions of the actions as well as the development of the best corporate governance methods. It
takes care to assess the way in which they affect the parties involved, to assess their expected
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 28
performance through systematic evaluations, to value their performance through comparable and
documented measurements and to identify priorities that will lead to continuous improvement of
sustainable practices. And ultimately to create value for all stakeholders.
The Company's aim is to implement at least the requirements arising from the actions of the European
Green Deal and the Greek Code of Sustainable Development.
To achieve the above goal, the Company:
➢ Develops strategy within the framework of Sustainable Development;
➢ dynamically identifies the social partners involved;
➢ Adapts its operations with the greatest environmental and/or social impact;
➢ Sets goals;
➢ Selects actions to achieve.
For all the above actions, the Management's decisions are taken with transparency, integrity and respect
to the principles of corporate governance, prioritizing the safety of employees, the protection and
inclusion of the local communities in which it operates, the rehabilitation of the quarries, and the
maximization of the offered product/price relationship for customer/consumer satisfaction. Through
regulatory compliance, we create a culture of transparency for all our stakeholders, minimize the risks
that may affect the company, its human resources, the local communities where we operate and the
wider Greek society.
In this context, the following Policies, Regulations and Codes apply:
• Anti-Corruption and other Conflicts of Interest Policy
• Code of Ethics for employees
• Code of Conduct for suppliers
• Code of Human Rights and Social Principles
• Personal Data Protection Policy
• Complaints Management Policy
• Related Party Transactions Policy
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 29
• Non-Misuse of Privileged Information Policy
• Sustainable Development Policy
• Sponsorship and Donation Policy
• Anti-Discrimination, Violence and Harassment Policy
The Company's Sustainable Business Strategy and Value Creation is summarized in the graph below
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 30
3. Sustainable Development Policy
The Company follows the Guidelines of the ESG Information Reporting Guide 2020 of the Athens Stock
Exchange and the Greek Sustainability Code.
IKTINOS SA approach to sustainable entrepreneurship is based on innovation, the continuous expansion
of new markets and the establishment of more efficient and effective processes, in ways that lead to the
development of new markets while reducing the operational footprint. In this approach, all the
stakeholders of the company play a very important role and therefore special importance is given to the
interaction with all interested parties. In this area, the Company is preparing for the upcoming CSRD
changes by laying the foundations for double materiality and expanding the stakeholders and the scope
of material issues.
The Company's business model is part of defined value chains with defined cooperating social partners.
The Company's Management is committed to continuing the evaluation of the Company regarding the
environmental and social cases of its activities, and more specifically:
➢ Regarding their environmental footprint both directly and indirectly.
➢ The management of resources with environmentally positive choices.
➢ The safety and health of employees during the performance of their duties and beyond that.
➢ The maintenance and improvement of a work environment of equal opportunities, free from
unacceptable forms of work relationships.
➢ Working relationships governed by transparency, integrity, commitment, trust, creativity,
teamwork.
➢ The promotion and improvement of the professional training of employees.
➢ The excellent offered quality of its products to its customers in correct relation to their estimated
value.
➢ Respect for human rights.
➢ The fight against corruption, bribery and fraud.
➢ Its positive involvement in the standard of living of the local communities in which it operates by
contributing to work, social cohesion and the improvement of public infrastructure
Regarding the safety of its employees, which is a key concern, the Company implements a strict health
and safety policy in order to maintain the accident rate at zero levels. The Company is constantly vigilant
regarding the health and safety of its employees, fully implementing the ISO 45001:2015 "Occupational
Health and Safety Management Systems".
For the implementation of the above, the Group's Management has committed to providing all the
required resources and has placed their implementation at a high level of priority. For this reason, the
company has prepared a Corporate Responsibility and Sustainable Development Policy and is about to
issue the third report for the year 2022.
Sustainable Development Management Model
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 32
STAKEHOLDERS - Stakeholder engagement
Based on its principles, values, activities, strategy, market, proximity to local communities, every year
IKTINOS HELLAS SA redefines its stakeholders, which belong either to the internal environment or to the
external environment of the company and include those groups that it affects and/or are affected by it,
in the entire range of its business activities.
The systematic and mutual communication with the interested parties is the basis for the evaluation and
planning of the actions and practices of the company, in the context of the approach to managing
Sustainable Development issues and assessing risks and opportunities.
Regarding the active involvement of interested parties, the Company uses a variety of mechanisms that
facilitate two-way communication; indicatively, information mechanisms such as general assemblies,
meetings with department managers, two-way communication with business and investment bodies,
informative meetings with employees, regular meetings with institutional actors, complaint management,
regular communications with local communities, face to face meetings with local bodies.
The Company's methodology for the stakeholder management process consists of the following stages:
✓ Establishing the process
✓ Identification of stakeholders
✓ Definition of all items for evaluation
✓ Collection of evidence supporting the materiality of the issues
✓ Cooperation with the involved parties and validation of the findings
✓ Actions based on materiality results
✓ Communication of findings and comments
✓ Dynamic review, monitoring and updating of the materiality assessment process.
The organisation of this communication derives from the type of relationship with the stakeholders, in
order to satisfy their expectations and needs, to prioritize the issues that concern them and
subsequently, to have their active participation in the implementation of the Sustainable Development
Strategy of company.
Through a thorough and adaptable process, the Company recognizes the following stakeholders that are
taken into account when evaluating the material issues:
Separate and Consolidated Annual Financial Statements as of 31
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December 2022 Page 33
✓ Shareholders: We seek to protect their investment and ensure a satisfactory return on their funds
with conditions of transparency and substantial information.
✓ Customers: We strive to provide products and services that meet their needs.
✓ Employees: Human resources are valuable. The respect of their rights and the emphasis on their
safety and development is a necessary condition for the achievement of the Company's goals.
✓ Partners: We believe in mutually beneficial relationships with suppliers, partner firms and partners
of the Company.
✓ Local Communities: We aim at the greatest possible added value that we can offer to the local
communities where the Company operates, offering and contributing to the reduction of
unemployment but also offering social work such as donations to schools, cultural institutions,
social groups in need, restoration of old quarries through tree planting, etc.
✓ Research, University groups and industry liasons with whom it collaborates to disseminate best
practices and develop technology and know-how to further reduce the footprint of the marble
industry and further improve costs.
✓ Society: We believe that the socially responsible operation of businesses contributes to the
progress and well-being of society.
For all the above social partners, the Company has developed stable communication channels and
maintains action plans and follow-up measures in order to identify risks in a timely and efficient manner
and highlight opportunities.
The coding used, the definitions and the evaluation/measurement method are based on the ESG
Reporting Guide of the Athens Stock Exchange (version 2022), from which the most important indicators
regarding the Company's activity and materiality assessment were selected.
For the implementation of the strategy as well as the Company's successful response to the key and
material criteria of each objective, the individual areas of action and the assessment of their impact are
presented.
Environment
For the planning, dissemination and implementation of actions that are part of environmental
management, the Company is committed to a policy of promoting environmentally friendly actions and
options as follows:
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 34
➢ To comply with the requirements of the applicable Greek and European environmental
legislation that refer to the Company's activities.
➢ To determine the environmental objectives and monitor their systematic implementation.
➢ To choose actions to prevent environmental pollution, the prevention of any environmental
accidents and the reduced production of waste as much as possible and practices and
methods to save natural resources and in particular energy and water.
➢ To restore any negative environmental impacts due to the operation of its quarries (tree
planting, backfilling). About 5,000 seedlings are planted for the restoration of processed areas
in the quarries it operates.
➢ To use environmentally friendly methods and materials in all its activities, e.g. underground
mining.
➢ To communicate its policies and initiatives to customers, subcontractors, suppliers and all
staff, with the aim of optimizing the alignment of all stakeholders with our environmental
principles.
➢ To continuously educate and raise awareness of executives, employees and partners.
Energy consumption and production
From the observed data it follows that the total energy consumption in 2022 amounts to 4,872.22 MwH.
SCOPE 2
ELECTRICITY
(kWh)
EMITIONS (CO2)
metric tons
4.872.220
2.108 (*)
* It does not include any reduction due to the provider's % from RES
In 2022, the Company took actions to reduce the intensity of electricity, such as upgrading the
technological equipment in its facilities (Intensity of Scope 2 emissions), by 3.2% which is mainly due to
the more direct access to the marble deposits.
The installation of new state-of-the-art mechanical equipment at the new factory of Drama has increased
production capacity and reduced production costs and, thus, energy costs.
As mentioned above, the Company's strategy includes actions and practices to reduce emissions. Within
this context, the Company develops electricity production activities in a wind farm with a total potential
of 24 MW through its subsidiary IDEI SA.
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 35
In addition to electricity, the Company purchases and consumes diesel and petrol in the following
amounts:
SCOPE 1
FACTORY FUELS
DIESEL
PETROL
EMISSIONS
tons CO2
1,461,971
0
3,918
TRANSPORTATION & COMPANY CAR FUELS
DIESEL
PETROL
EMISSIONS
tons CO2
196,490
13,680
526.5 + 32 =558.5
Waste management
The Company implements the appropriate waste management best practices per activity. For all waste,
there are collection and environmentally safe disposal contracts with specialized waste management
companies in accordance with current legislation. Waste falls into the following categories:
Hazardous and Non-hazardous
Hazardous waste concerns oils and resins. The Company collects this waste in special bins and licensed
areas which are delivered under contract to licensed recipients who either destroy it based on a special
procedure or recycle them in other industrial production units.
The non-hazardous waste from the operational activity, including marble chips, mud and wood, is
collected and forwarded to licensed disposal sites, part of which is reused in the restoration of quarries or
transferred to licensed partners with the largest percentage of this waste exceeding 90% in total being
recycled in embankments, road construction, etc.
TYPE OF WASTE
QUANTITY (tn)
HAZARDOUS
29.3
NON-HAZARDOUS
2,333.68
Wastewater from staff is channeled per facility through liquid waste disposal tanks.
In all cases the Company has Contracts with approved waste management companies.
Separate and Consolidated Annual Financial Statements as of 31
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Wastewater Disposal
The Company has installed and operates biological refinement of sewage and wastewater resulting from
its activity in all its quarries and production plants, with the aim of reusing it and thus protecting the
country's water resources.
Water consumption
The Company's facilities are supplied with water from municipal networks and their consumption
amounted to 27,145 m3. The Company has minimized water consumption, which is usually burdened in
the marble industry, having developed water recycling technology for the needs of the operation of all its
facilities and achieves water recycling by 50.3%. During the mining activity in quarry units, water is led
to naturally formed reservoirs, cleaned by natural sedimentation from the mud and finally pumped to
regional reservoirs for reuse, achieving a recycling rate of 50%. Similarly to industrial treatment plants,
the used water is collected through channels in silos, where the mud is also flocculated and clean water
is reused, while the mud is filtered and removed to suitable recipients.
Environmental Care
Since 2018 IKTINOS HELLAS has been applying, with satisfactory results, the underground mining
method, achieving selective attack and extraction of the marble-bearing material and limiting the
environmental footprint. Through innovative methods and with the help of new technologies, it is
possible to extract better quality marble and a greater amount of raw material from the core of the
deposit with the minimum loss of resources. Based on the harmonious combination of surface and
underground exploitation, the new method is more environmentally friendly since it does not alter the
morphology of the mountain and does not need extensive restoration.
In the context of the implementation of circular economy practices, the application of a technologically
innovative method for saving problematic marbles continues, glued with resins and reused without
damage or loss.
With the aim of strengthening the business environmental culture, the company plans actions to raise
awareness of the interested parties on environmental issues such as:
• Informing the administrative staff about environmental management issues,
• Informing and raising awareness of other interested parties on issues of sustainable
development and related actions of the Group.
Areas of Sensitive Biodiversity
With the main goal of protecting Biodiversity, targeted and systematic activities are organized by the
company in collaboration with the competent authorities. The company systematically restores its marble
Separate and Consolidated Annual Financial Statements as of 31
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December 2022 Page 37
quarries after the end of their mining activity, through tree planting, restoration of vegetation by planting
and/or sowing suitable species (herbaceous, shrubby, etc.), as well as operation and maintenance of the
irrigation network. The amounts for the above actions are guaranteed, given that the company files
relevant letters of guarantee.
Specifically, in the Volakas quarry, which has been designated as a protected area, the Company
operates 100% with the underground mining system, eliminating any possibility of burdening the
environment and biodiversity.
As a whole, the Company operates with underground mining at a rate that reaches 70%. In both
underground and surface mining, the Company's mechanical equipment for cutting and processing the
marbles works with water injection. This process prevents the creation and transfer of marble dust,
protecting both the environment and the workers. By inecting water, dust is deposited on the ground
and transported to specially designated areas where the collection process is followed as mentioned
above.
Ensuring quality, infrastructure security and business continuity
IKTINOS HELLAS SA gives great importance to ensuring that its vital infrastructures will continue to
operate in case of serious and extraordinary incidents and if affected in any way, they will continue to
operate in alternative ways, immediately restoring the critical business processes within predetermined
time frames. Similarly, it is ensured that possible adverse situations that may occur, will not affect the
quality of products and services.
Prioritizing the security of the infrastructure and operations, as well as reducing the environmental
footprint, IKTINOS HELLAS SA takes care of the uninterrupted and efficient operation of its
infrastructure, at the same time giving due importance to the health of the human resources and the
protection of the environment. The business continuity system that has been developed provides the
framework that makes the company's operations resistant to malfunctions, ensuring that vital facilities
will continue to operate in the event of serious incidents and in the event of an interruption due to force
majeure, it will be possible restore them within specified time frames so that critical business processes
can continue.
Sustainable Economic Activity (EU Taxonomy)
In relation to the European Taxonomy System (EU Taxonomy), the Company examined its financial
activities with the activities included in Taxonomy Regulation 2020/852/EU, as supplemented by
Regulation 2021/21/EU and the Regulation 2021/ 2139/EU.
Separate and Consolidated Annual Financial Statements as of 31
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December 2022 Page 38
Based on the company's activity, there are no expenses related to the economic activities eligible for
taxonomy for the year 2022.
Society
The effects of its activities are assessed and measures are planned to improve the footprint of specific
actions of the Company, together with the social partners.
The Company is committed:
➢ To implement programs to support society as a whole with special emphasis on local communities
➢ To adopt with careful supervision programs for the health and safety of the human resources, as
well as training and continuous learning programs
➢ To develop and maintain health and safety conditions for employees, which will at least meet the
legislative and regulatory provisions.
➢ To continuously assess and manage risks by job position.
➢ To act preventively, so as to avoid accidents and diseases at work.
➢ To spread the same culture of employee health and safety to partners, suppliers, partner firms
and other partner organizations, ensuring that everyone has understood their roles,
responsibilities & obligations.
➢ To set measurable parameters to monitor the course of the above commitments and business
goals.
➢ To provide continuous training for the active participation of all employees in an effort to
continuously improve health and safety conditions at work.
➢ To systematically assess and evaluate progress and performance, according to the opinion of the
employees and the measurement results of the objectives set for each of the selected
parameters.
To document the initiatives and policies that contribute to this goal, the Company has developed policies
and systems, for which it has obtained corresponding certification. In particular, the Company has the
following certifications and policies:
Corporate Governance Code
The Group has adopted the Greek Corporate Governance Code for listed companies. The Corporate
Governance Code consists of a set of rules that regulate the way in which the Board of Directors
operates in relation to the company's shareholders. According to these rules, the goal is the responsible
organization and operation of the Group with the ultimate goal of maximizing its value and protecting its
shareholders’ interests.
Separate and Consolidated Annual Financial Statements as of 31
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December 2022 Page 39
Code of Ethics
The Code of Ethics outlines the principles and rules of engagement towards employees and stakeholders.
It confirms the Management’s firm commitment to comply with the legislation and regulations, it reflects
the ethics of the Group and it is the guiding framework of the behavior of all employees towards all
stakeholders. The pillars of application of the Code of Ethics are:
• Professional Conduct Principles
• Business Relations
• Protection of Information
ISO 9001:2018 Quality Management System
The ISO 9001:2018 Quality Management System concerns all the procedures and policies applied by the
Group, so as to provide high quality services, using effective ways of performing the obligations it
undertakes towards its customers.
ISO 45001:2018 Health and Safety Management System
The Group aims to adopt practices that ensure the quality of its products and services. In this context,
the competent Department has developed a specific methodology for assessing the risks posed by an
activity or a product to human health as well as to the protection of the natural environment, and all
risks have been analyzed and quantified. This assessment is mainly related to ISO 45001:2018
(Occupational Health & Safety) & ISO 9001:2015 standards.
Anti-Corruption and other Conflicts of Interest Policy
The Anti-Corruption and Conflict of Interest Policy provides the framework for avoiding corruption and
other conflicts of interest in relationships with customers and business partners.
Binding Rules for the Protection of Personal Data
These Rules contain the main conditions for the processing of personal data of both customers/suppliers
and employees of the Company in accordance with the applicable Greek and European legislation and
ensure the high level of protection of personal data.
Non-Misuse of Privileged Information Policy
The Non-Misuse of Privileged Information Policy describes the responsibilities and obligations of
employees regarding information that is considered privileged.
Risk Management & Regulatory Compliance Unit
Separate and Consolidated Annual Financial Statements as of 31
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December 2022 Page 40
It is about ensuring the smooth, safe and efficient operation of the Company, through the identification,
assessment and management of risks linked to the activities, procedures and policies, the Group's
operating systems and legislation.
Sustainable Development Policy
This Policy defines the strategy and general action plan for Sustainable Development of the Group and its
related companies, taking into account both the existing social and economic conditions as well as the
cultural priorities and challenges.
Related Parties Transactions Policy
This Policy describes the way of handling issues related to the Group's transactions with Related Parties,
based on the applicable legislation and Law 4548/2018.
IKTINOS HELLAS S.A. Code of Human Rights & Social Principles
This Code adopts standards of professional operation and behavior, creates business value and is guided
by business ethics, elements that contribute to the foundation of its shareholders’ trust as well as all
interested parties. It complies with internationally recognized regulations, directives, standards,
specifically the United Nations Universal Declaration of Human Rights, the United Nations Global Compact
and the Guidelines of the Organization for Economic Cooperation and Development (OECD).
Sponsorship/Donation Policy
This policy is an important pillar of the Group's strategy for supporting initiatives that focus on social
responsibility. In the context of the policy, a number of social, humanitarian and cultural purposes and
activities are supported through donations and sponsorships.
IKTINOS HELLAS implements responsible human resource management practices and ensures the
creation of a modern and safe working environment with equal opportunities, adherence to a merit-
based evaluation system while also taking care of hygiene and safety in the workplace. It is important to
invest in the development and maintenance of a high level of staff and to carry out relevant training
programs.
In particular, the Company invests in:
➢ Continuous training and development of human resources: The company designs its training and
development strategy every year, steadily investing in the strengthening of human resources at all levels,
so as to strengthen the knowledge of human resources, in the context of market changes and continuous
demands.
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 41
➢ Full utilization of the distinct abilities of each employee
➢ Promoting a unified culture and strengthening the alignment of the system of values and
behaviors of human resources.
In addition, the Company adopts practices and policies of equality and meritocracy:
➢ There is no salary difference between the 2 genders in relation to the job position. Recruitment
and evaluation procedures are based on the qualifications, performance and skills of applicants or
employees without regard to gender, origin, race, religion, age, character or any other characteristic that
may differentiate one person.
➢ The Company pursues equal participation of employees regardless of gender, race, religion and
other characteristics within the framework of the equal opportunities policy.
➢ Remuneration and Benefits: The company has designed a remuneration system, which rewards
employees according to their performance and the value they add to the company, while it is assumed
that there is no difference in remuneration regardless of gender.
➢ Rewarding: Great emphasis is given to the recognition and rewarding of human resources both at
individual and group level, in order to ensure their continuous development and competitive advantage,
through bonus programs, private hospital-pharmaceutical care, etc.
➢ Retention of high potential employees: the selection of the right employees for the right positions
is a permanent pursuit. The human resources department ensures the utilization and retention of the
company's executives, as well as the attraction of experienced and capable executives from the market.
From the recorded data, the percentage of female employees in administrative positions in 2022
amounts to 25%.
In addition, 100% of employees in Greek companies are covered by collective employment agreements.
During fiscal year 2022, there were no violations of employment law by the Company.
Regarding Health and safety, apart from those mentioned above, IKTINOS HELLAS harmonizes
international standards and Greek legislation by applying the international standard ISO 9001, ISO 45001
for the management of all issues related to the health and safety of human resources, in all work aspects
and activities, with a special emphasis on the prevention of risks, investing in the continuous
improvement of the working environment and the minimization of risks. In addition, the Company
conducts:
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 42
✓ Safety Inspections and emergency care: safety inspections carried out at frequent intervals, are
intended to further contribute to the improvement of workplace safety in all industrial facilities.
✓ Risk prevention measures: All activities in the industrial facilities are carried out based on the
assessment of the risk that exists for the working staff. Therefore, where the need to control or
reduce risk is identified, measures are chosen to prevent the emerging risks, so as to reduce risk
to the lowest possible level.
Regarding the actions of the Company in society as a whole, but also in particular in the local
communities in which the Company operates:
✓ It contributes to strengthening social cohesion by supporting local bodies and socially vulnerable
groups;
✓ It assists the local communities in which it operates, which suffer from high unemployment rates,
through the creation of new jobs, cooperates with external local contractors and other
professional groups from the local community, etc.
✓ In 2022, paying attention to the difficult economic conditions of the last years, IKTINOS HELLAS
S.A. responded to a number of requests to strengthen local social structures, in cooperation with
social bodies, competent authorities, associations, the Church and non-profit organizations that
support vulnerable groups of the population. Through donations and sponsorships, it supported a
number of social, cultural, sports and other needs.
Suppliers Assessment
The Company evaluates its key suppliers. They indicatively include:
• Mechanical equipment suppliers
• Transport project service providers
• Service providers
The recorded assessment actions for 2022 concern general quality, safety and compliance characteristics
in the context of the delivered project.
The Company plans to extend the assessment in 2023 to ESG actions implementation parameters in line
with the upcoming EU CSRD directive.
Marketing practices
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 43
The Company is committed to transparent and socially acceptable presentation and advertising of its
products, respecting good advertising and communication practices.
The Company applies the relevant regulatory provisions and rules of ethics regarding the labelling,
advertising, promotion and communication of its products,
Customer satisfaction
The Company, based on its operating procedures and ISO 9001 quality standards, conducts surveys with
structured questionnaires to assess the level of satisfaction of its customers.
Customer complaints management mechanism
As part of the development and implementation of ISO 9001 quality standards, it has developed and
implemented customer complaint management procedures.
These procedures are intended to maintain the level of customer satisfaction and to ensure sufficient
information, so that the Company can take adequate corrective actions.
Corporate governance
In the context of corporate governance, the Company adheres to the principles of corporate governance
as described in the Greek Corporate Governance Code issued by the Hellenic Corporate Governance
Council in June 2021 and the indicator of the Stock Exchange.
Specifically:
Composition of the Board of Directors
Based on the composition of the Company's Board of Directors, which is described in detail in the
Corporate Governance Statement, the Chairman of the Board of Directors and CEO of the Company is an
Executive member of the Board, the percentage of the female members of the Board amounts to 57%,
Non-Executive members constitute 43% of the Board, while Independent Non-Executive members
constitute 28% of the Board of Directors.
Personal Data
The company has fully complied with the General Data Protection Regulation (GDPR), given the
application of the EU Regulation.
Data security policy
The Company recognizes the importance and criticality of information systems security, equally
evaluating the security of archived and active data, which must be protected from total or partial loss,
Separate and Consolidated Annual Financial Statements as of 31
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whether due to accidents, human errors or malicious actions, possible loss or data breach, ensuring
continuous business activity and continuity.
Corporate security policies ensure the confidentiality, integrity and availability of systems and data.
The protection requirements of the systems are determined by the following:
➢ Assurance: Ensuring that the system operates according to specified specifications.
➢ Authentication/Identity verification: Ensuring that interacting users or applications must be
verified/authenticated to ensure their identity.
➢ Accountability/Audit TraiI: Users are responsible for their actions. Monitoring and analysis of logs
to detect possible actions to bypass security mechanisms.
➢ Access control: Systems access control. Access is granted strictly to those who are entitled to or
justified by their role (permanent or ad hoc) in the organization.
➢ Secure Data Transfer: Secure data transfer with confidentiality in transit and ensuring that data is
transmitted intact and accurate/complete.
➢ Reliability of systems/services: Systems, data and services are always available when needed.
Digital Transformation
The company, constantly implementing actions aimed at its digital transformation, systematically invests
in new technologies - innovations, continuously develops their functions and pursues their continuous
improvement.
Specifically:
➢ The company is working with the National Technical University to develop an integrated system
to monitor surface and underground mining. Among other things, the specific system will help to
enhance productivity, protect the company's employees and protect the environment.
➢ The company has already implemented its digital transition to the cloud, both in terms of online
information for specific departments of the company, as well as key tasks of storing its data.
Having already shielded its data through a firewall, it uses appropriate tools, in order for two-way
communication with its remote points, e.g. quarries, etc., to be carried out quickly and safely.
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 45
➢ The Company is constantly modernizing its technological equipment, whether it concerns new
servers or replacing PCs, end users (desktops, laptops, etc.), while it has proceeded to replace its
network with new modern equipment based on the use of optical fibers.
➢ A barcode system was implemented in the production of marbles together with the corresponding
application for registration and photographs which are "uploaded" to the company's cloud, so that
they are immediately accessible to all interested parties (sellers - customers).
The company's corporate reputation is considered one of its major competitive advantages. It is treated
as the result of its business ethics, integrity and reliability to customers and suppliers, product quality,
financial performance, strong presence in the media, acquired awards and the application of the
principles of Corporate Responsibility.
Business ethics policy
The Company has prepared a Code of Business Conduct and Ethics, which includes the values and
principles that the Group advocates, the manner and measures for implementing the rules of the Code.
The general principles described in the Code, taking into account the principles of corporate governance,
are based on the values of integrity, impartiality, entrepreneurship, professionalism, transparency, social
and environmental responsibility and respect for human rights. By complying with the Code, all
employees, among others, have a responsibility to:
➢ avoid conflict of interest situations
➢ avoid preferential use of suppliers for personal reasons
➢ ensure the transparency of transactions with government authorities
➢ preserve business confidentiality
➢ ensure the integrity of financial data and reports.
During the fiscal year 2022 there was no incident related to corruption.
GENERAL CONCLUSIONS
Based on the above documentation of actions and performance indicators measured in objective ways,
the Company comes to the general assessment that:
- The Company's activities as a whole have a moderate environmental impact. Specialized actions will be
designed to improve the environmental performance of certain activities.
- The Company applies policies and procedures with respect to its social partners and commitment to
compliance with rules and legal requirements.
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 46
- It operates within the framework of best practices and corporate governance rules.
The Company operates in the context of continuous improvement and further expansion during fiscal
year 2023 of the actions included in the ESG scope.
Ε. DESCRIPTION OF THE MAIN RISKS AND UNCERTAINTIES FOR THE FISCAL YEAR 2022
The Group and the Company are exposed to financial and other risks. The general risk management
program of the Group aims at minimizing their potential negative impact on the financial performance of
the Group.
The basic risk management policies are formulated by the Group Management. The Finance Department
monitors and handles the risks to which the Group is exposed, determines, assesses and, where
necessary, counterbalances the financial risks, in collaboration with the departments facing those risks.
Furthermore, it does not conduct transactions for profit, which are not related to the commercial,
investment or loan-taking activities of the Group. More specifically as regards those risks, we note the
following:
1. Foreign Exchange Risk
The Group’s operating currency is the Euro. The Group conducts the largest part of its transactions in
Euro, which leads to the immediate foreign exchange risk being limited. Nevertheless it also conducts
commercial transactions at an international level, outside the Euro, and therefore it is exposed to zero
foreign exchange risk, coming mainly from the US Dollar. Those transactions relate to a minimum part of
the activities and therefore the foreign exchange risk is very limited.
2. Credit Risk
Credit risk is the risk of potential delayed payment to the group of the counter-contracting parties’
current and potential obligations. The Group’s exposure to credit risk comes mainly from the cash and
cash equivalents, the trade and other receivables. The Group does not have a significant concentration of
credit risk with some of the parties it has contracted with, mainly due to the large spread of its customer
basis. The Group’s wholesales are made on the basis of its internal operation principles, which ensure
that the sales of goods and services take place to customers with financial credibility. In addition,
customer credits that are deemed unsecured by the Management are insured.
3. Liquidity Risk
Prudent administration of the cash flow risk presupposes sufficiency of cash and the existence of the
necessary finance available resources. The Group manages the cash flow needs on a daily basis, through
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 47
monitoring the short-term and long-term financial obligations, as well as through the daily monitoring of
the payments conducted. At the same time, the Group continuously monitors the maturity both of the
receivables, as well as of the payables, with the objective to maintain a balance between continuity of
funds and flexibility, via its bank credit ability.
The cash flow needs are determined for a 6-months period and redefined on a monthly basis. The cash
flow needs are followed on a weekly basis.
In periods of non-sufficient cash, the company is able to finance its needs in cash through bank
borrowing within approved limits it maintains with them.
The Company's working capital on 31/12/2022 is negative and amounts to 1,261,347 euros. The
Company, in the context of a possible need to strengthen liquidity, proceeded with the following actions:
1. On 3/4/2023 it settled EFKA obligations in the amount of 1,356,785 euro in 24 installments, so
the amount of 791,458 euro concerning obligations for 2024 is transferred to the long-term
liabilities.
2. Also, the Company received return of Share Capital in the amount of 8,425,000 euro from the
subsidiary company IDEH S.A..
On 09/03/2023 the decision dated 03/03/2023 of the Extraordinary General Meeting of the company
IDIOTIKI EPICHEIRISI ILEKTRISMOU S.A. with GEMI No. 051429019000 (former Μ.Α.Ε. 53664/51
/Β/03/01) was registered in GEMI with KAK 3495562, which decided the reduction of the company's
share capital by eight million four hundred and twenty-five thousand (8,425,000) euro, with a reduction
of the nominal value of the share by twenty-five (25) euro and the return of capital of 8,425,000 euro,
twenty-five (25) euro per share to the company's shareholders, with consequent amendment of article 5.
3. On 3/3/2023 it paid the short-term loan of 1,790,000 euro to Piraeus Bank.
Management closely monitors the developments of the world market and estimates that it will further
reduce production costs, due to the better performance of the production process both qualitatively and
quantitatively, as a consequence of its investment program of the last three years.
On top of the above actions, the Company has defined a cost saving program, as the revision of existing
agreements with partners together with the reduction of energy costs that exist in 2023, cover the
adequacy of cash reserves and the necessary available sources of financing.
4. Borrowing – Risk of fluctuating Interest Rates
The Group monitors and manages its borrowing, by proceeding to a combined use of short-term and
long-term borrowing. There exist approved credit limits and satisfactory terms of cooperation and of the
invoicing of the various banking operations, which help in cutting down the Group’s financial cost. The
Group’s policy is to maintain the largest part of its loans in Euro with variable interest rate and a
potential increase of the Euribor would mean an additional financial burden.
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 48
5. Inventories-suppliers Risk
The Group takes all necessary measures (insurance, security) to minimize the risk and the potential
damages due to the loss of inventories as a result of natural disasters, thefts, etc. The Management
constantly reassesses the net liquidation value of the inventories and proceeds to the appropriate
impairments.
In addition, the Company considers that dependency on suppliers is very limited and in any case
insignificant for the Group’s financial scales, as there is no significant dependency on given suppliers,
none of which supplies the Company with products at a percentage over 10% of its total purchases.
6. Customer Dependence
The Group’s customer basis shows great spread and there is no risk of dependency on large customers.
The Group aims at satisfying an ever larger number of customers, on one hand, by increasing the
spectrum of products it offers, and, on the other hand, by pursuing the immediate satisfaction of their
needs. In 2022 the company exported to 53 countries worldwide.
The company, however, is dependent on its sales in China, where volumes are sold and represent about
30% of turnover. Due to the current situation with the pandemic in the Chinese market and the
unpredictable developments, both in the energy market and in the supply chain, the company is trying to
reduce its risk of dependence on this market and has focused its strategy on increasing dispersion, but
also the sales of semi-finished and finished products, transforming the sales mix by increasing these
products by 40% in the first nine months of 2022, compared to the corresponding period last year and at
the same time stabilizing the sales of raw material at last year’s levels
7. Health & Safety Risk
By the nature of the company's operation, there are primary health & safety risks at work (minor
accidents, accidents with loss of working time, occupational diseases and accidents) which can cause
significant or less significant social impact not only to the employees themselves and their families, but
also to third parties such as visitors/customers at the production sites (quarries, factories).
In addition, these issues can have effects related to reduced employee satisfaction and morale, increased
accident / absence costs, and a negative impact on the company's image and reputation.
Health and safety at work is a primary responsibility for the company that starts from the Management
and reaches all stages of production. To address these risks, the Company has taken steps:
• in the strict application of security systems and measurements,
• in continuous training,
• continuous monitoring of risks and actions to mitigate their impact.
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 49
8. Pandemic COVID-19 Risk
During 2022, the company continued to effectively manage the impact of the COVID-19 pandemic,
prioritizing the safety and protection of its people and ensuring the smooth continuation of operations in
all areas of its business.
Vaccination combined with natural immunity from infection of a large part of the population has led to a
reduction in measures against COVID-19. The Committee of Experts of the Ministry of Health
recommended the lifting of all measures against the coronavirus in 2023, with the exception of public
and private health structures and Elderly Care Units. The company will continue to deal effectively with
the occurrence of individual cases, prioritizing the safety and protection of its people.
F. PRESENTATION OF THE SIGNIFICANT TRANSACTIONS BETWEEN THE ISSUER AND ITS
RELATED PARTIES
According to IAS 24, related parties means subsidiary companies, companies with common ownership
or/and Management with the company, companies related to it, as well as to the members of Board of
Directors and to the company’s Managing officers. The company is provided with goods and services
from the related parties, while itself supplies them with goods and services. The company’s sales to the
related parties concern mainly goods. The provision of services to the company concern mainly marble
processing services.
The Board of Directors’ members’ and the Managing officers’ fees concern fees for employed services. In
the table below the remainders of the company’s receivables and payables to related parties are
analyzed, as these are defined by IAS 24.
GROUP
COMPANY
31/12/2022
31/12/2021
31/12/2022
31/12/2021
Sales of goods / services
Subsidiaries
-
-
0
1,500
Other Related Parties
327,825
199,543
317,365
196,117
Total
327,825
199,543
317,365
197,617
Other Income / Expenses
Subsidiaries
-
-
(70,500)
(70,100)
Other Related Parties
3,600
0
3,600
-
Total
3,600
0
(66,900)
(70,100)
Purchases of Goods / Services
Subsidiaries
-
-
711,505
893,370
Other Related Parties
53,417
7,026
53,417
7,026
Total
53,417
7,026
764,922
900,396
31/12/2022
31/12/2021
31/12/2022
31/12/2021
Receivables
Subsidiaries
-
-
2,386,279
2,220,163
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 50
Other Related Parties
725,984
542,598
725,984
542,598
Total
725,984
542,598
3,112,263
2,762,761
Liabilities
Subsidiaries
-
-
1,562,302
718,903
Other Related Parties
8,000
8,712
8,000
8,712
8,000
8,712
1,570,302
727,615
Total
31/12/2022
31/12/2021
Compensation of members of the BoD and other
management officers
942,110
1,023,547
Sales to members of the BoD and other management
officers
0
1,783
Receivables from members of the BoD and other
management officers
10,824
146,320
Payables to members of the BoD and other
management officers
1,868,851
2,345,487
G. Properties and facilities of the Group
The parent company possesses the following properties :
• A property at 7, Lykovrissis str. – Metamorfossi, with a plot surface of 10,775 sq.m., surface of the
• industrial engine-room 3,669.27 sq.m. and surface of the offices building 980 sq.m.
• A property at the location Koukouvagia in Thiva, Eleonas commune, with a plot surface of 13,663.60
sq.m. and surface of the industrial engine-room 724 sq.m.
• Properties at Maroussi, at 56, Aut. Heracleou, a basement of 112 sq.m. and 6 basement parking lots
of 99 sq.m.
• A property at the Industrial Area in Drama, with a plot surface of 45,000 sq.m. on which buildings of
a total surface of 12,700 sq.m. have been built.
• A property-plot at Markopoulo Attica of a surface of 9.223,37 sq.m. on which a two-storey building of
416.68 sq.m. has been built.
The company operates the following leased quarries:
Α/Α
QUARRY-
LOCATION
REGIONAL
UNIT
MUNICIPALITY
REGION
AREA (m
2
)
1
ΚΑVΑΚΙΑ
KAVALA
ΝΕSTOS
AG. KOSMAS
24,725.24
2
ΚΑVΑΚΙΑ
KAVALA
ΝΕSTOS
ΑG. KOSMAS
25,954.50
3
ΤΥΜBΑΝΟ
KAVALA
ΝΕSTOS
KECHROKAMBOS
97,264.00
4
ΤΥΜBΑΝΟ
KAVALA
ΝΕSTOS
KECHROKAMBOS
98,076.00
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 51
5
BIRBILI
KAVALA
PAGGAIO
PLATANOTOPOS
46,305.50
6
BIRBILI
KAVALA
PAGGAIO
PLATANOTOPOS
42,344.00
7
LEPTOKARIES
DRAMA
Κ. ΝΕVROKOPI
VOLAKAS
68,411.00
8
ΖΑVARSA
DRAMA
Κ. ΝΕVROKOPI
VOLAKAS
99,993.07
9
VΙΤRΙΝΙΤSΑ
DRAMA
PROSOTSANI
PYRGOI
96,470.00
10
SΑLΙΑRΑ
THASSOS
THASSOS
PANAGIA
37,747.00
11
3 GRΕΜΟΙ
THASSOS
THASSOS
PANAGIA
41,039.00
12
VARADIA
THASSOS
THASSOS
RACHONI
48,629.00
13
PAPAGOUVA
ARKADIA
TRIPOLI
LIMNI-LEVIDI
99,633.42
Apart from the parent company’s properties, the Group further has in its possession:
• A property in Vrilissia, with a plot surface of 8,000 sq.m and industrial facilities 2,320 sq.m.
(FEIDIAS HELLAS ΑVΕΕ).
• The company Iktinos Techniki and Touristiki SA owns an area of 2,689 acres, of which 556 acres
are located at the Faneromeni bay in Sitia Crete and the remaining 2133 acres are located a thousand
meters south of the Sopata Messorachis plateau of the Municipality of Sitia in Crete.
H. Dividend policy – Distribution of net profit
In relation to dividend distribution for year 2022, the BoD recommendation at the Ordinary General
Meeting of Shareholders is not to distribute a dividend.
I. Explanatory report pursuant to article 4 par.7 & 8 of L.3556/2007
1. Share capital Structure.
The share capital of the company amounts to 11,432,040 euro, fully paid up and divided into
114,320,400 common registered shares of nominal value € 0.10 each. All shares are listed for trading on
the Securities Market of the ASE, in the Medium and Small Capitalization category. The shares of the
company are common registered with voting rights. All rights and obligations defined by the Law and the
Company's Articles of Association arise from each share.
2. Restrictions in the transfer of shares of the company.
The transfer of shares of the company takes place as stated by the law and there are no restrictions in
their transfer from its Articles of Association.
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 52
3. Significant direct or indirect participations as per the meaning of the provisions of
L.3556/2007.
From the notifications that have come to the knowledge of the Company, the significant direct and
indirect participations within the meaning of L. 3556/2007 are the ones below:
On 20/04/2022 Mr. EVANGELOS CHAIDAS owns 50.12% of the company’s share capital with 57,293,868
shares, Mrs. IOULIA CHAIDA owns 6,72 % of the company’s share capital with 7,686,856 shares, Mrs.
ANASTASSIA CHAIDA owns 6.75 % of the company’s share capital with 7,716,832 share and Mrs. LYDIA
CHAIDA owns 6.18% of the company’s share capital with 7,066,332 shares. No other natural or legal
person owns a percentage higher than 5% of the share capital.
4. Owners of any kind of shares providing special control rights.
There are no shares of company providing special rights of control to their owners.
5. Restrictions to the voting right.
No restrictions to the voting right are provided in the Company’s articles of association.
6. Agreements between the shareholders of the company.
The company is not aware of the existence of agreements among its shareholders that would entail
restrictions to the transfer of its shares or to the exercise of voting rights originating from its shares.
7. Rules for the appointment and the replacement of members of the Board of Directors and
for the amendment of the articles of association.
The Board of Directors of the company consists in of seven (7) members, which are elected by the
General Meeting for a six-year term.
The rules provided in the articles of association of the company for the appointment and replacement
of the members of its Board of Directors and for the amendment of provisions of its articles of
association do not deviate from the provisions of L. 4548/2018.
8. Significant agreements that are put in force, are amended or terminated in case of a
change in the control of the company following a Public Offer.
There are no agreements put in force, amended or terminated in case of a change in the audit of the
Company following a public offer.
9. Agreements with Members of the BoD or with the personnel of the Company.
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 53
There are no agreements of the company with Members of the BoD or with its personnel which provide
for the payment of compensation particularly in case of their resignation, or dismissal without cause, or
of termination of their term or of their employment as a result of the public offer.
Metamorfosi 28/04/2022
The Chairman of the Board of Directors
Evangelos Chaidas
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 54
4. Corporate Governance Statement according to Art. 152 and 153 of L. 4548/2018 &
Art. 18 of L. 4706/2020
This Corporate Governance Statement is prepared in accordance with article 152 of law
4548/2018 as in force and article 18 of law 4706/2012 as in force.
Introduction
The term "corporate governance" means the system of relations established between the
Management of the company, shareholders, employees and any other interested party and aims
at the creation, sustainability and development of strong and competitive companies.
As a set of principles, the Corporate Governance Code introduces provisions for self-regulation: it
is not limited to the application of the provisions required by law, but is based on the voluntary
acceptance and application of rules recorded in it as specific practices.
Based on these provisions, the management is exercised, monitored and controlled, the corporate
functions are performed, the relations with the shareholders and the interested parties
(shareholders, suppliers, customers, public administration, etc.) that are interconnected with the
company are formed, the achievement of the objectives is facilitated existing or potential risks
have been identified and are being managed.
Through the codification of the principles of corporate governance, their easy application is
sought and at the same time the strengthening of the credibility of the Greek capital market to
the international and domestic investors, the enhancement of the transparency and the
improvement of the competitiveness of the Greek companies. In addition, a framework of good
corporate governance through the consolidation of trust in the business environment, can bridge,
in an effective and beneficial way, the interests of business, citizens and society.
In Greece, the corporate governance framework has been developed mainly through Law
4706/2020 which, among other things, requires the participation of non-executive and
independent non-executive members in the BoDs of Greek companies whose shares are listed on
a regulated market in Greece, the establishment and operation of an internal control unit and the
adoption of internal operating regulations with a minimum mandatory content in accordance with
the above provisions. In addition, other legislative acts incorporated in the Greek legal framework
the European corporate law directives or applied European regulations, creating new rules of
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 55
corporate governance, such as law 4449/2017, which imposes, among others, the operation of an
audit committee and law 3884/2010 concerning shareholders' rights and additional corporate
disclosure obligations to shareholders in the context of the preparation of their General Meeting
as well as significant disclosure obligations regarding, among other things, the ownership status
and governance of a company.
Finally, the law on public limited companies (L. 4548/2018) contains the basic rules of corporate
governance of public limited companies.
Corporate Governance Code
Notification of voluntary compliance of the Company with the Corporate Governance
Code
The Company has decided to adopt the Greek Corporate Governance Code of the Greek
Corporate Governance Council (ESED) for Listed Companies (hereinafter referred to as the
"Code"). This Code can be found on the ESED website, at the following link:
HTTPS://WWW.ESED.ORG.GR/WEB/GUEST/CODE-LISTED.
In addition to the website of ESED, the Code is also available on the official website of the
Company at the following link:
HELLENIC CORPORATE GOVERNANCE CODE 2021 (IKTINOSIR.GR)
Deviations from the Corporate Governance Code and their justification.
Greek Code of Corporate Governance
Reasons for non-compliance.
1.17. At the beginning of each calendar year,
the Board of Directors adopts a calendar of
meetings and an annual action plan, which is
revised according to the developments and
needs of the company, in order to ensure the
correct, complete and timely fulfillment of its
duties, as well as examining all the issues on
which it makes decisions.
The Board at the beginning of each calendar
year does not adopt a meeting calendar and
annual action plan, which can be revised
according to the needs of the Company, as all
its members are residents of the prefecture of
Attica, it is easy for the Board to convene and
meet when required by the needs of the
Company or the law, without the existence of
a predetermined action plan.
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 56
Greek Code of Corporate Governance
Reasons for non-compliance.
2.2.21.The Chairman is elected by the
independent non-executive members. In the
event that the Chairman is elected by the non-
executive members, one of the independent
non-executive members is appointed, either as
Vice-Chairman or as a Senior Independent
Director.
The Chairman of the Board is an Executive
Member and has been elected by the entire
Board, based on law 4706/2020.
2.2.22. The independent non-executive Vice-
Chairman or the Senior Independent Director,
as the case may be, has the following
responsibilities: to support the Chairman, to
act as a link between the Chairman and the
members of the Board of Directors, to
coordinate the independent non-executive
members and lead the Chairman's evaluation.
The Vice- Chairman of the Board is a Non-
Executive Member, according to law
4706/2020.
2.4.14. The contracts of the executive
members of the Board of Directors provide
that the Board of Directors may demand the
return of all or part of the bonus awarded, due
to breach of contractual terms or inaccurate
financial statements of previous years or
generally based on incorrect financial data,
used for its calculation of this bonus.
No such term has been provided because
there are no contracts with executive
members.
Composition and operation of administrative, management and supervisory bodies of
the Company and their committees.
General Meeting of Shareholders
The General Meeting of the Company's shareholders, according to its Articles of Association, is
the supreme governing body and decides on every corporate case while its lawful decisions bind
all shareholders.
The General Meeting of Shareholders is convened by the Board of Directors. According to the
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 57
Company's Articles of Association, in the General Meeting the shareholders, all those who are
legally entitled to attend it, or some of them, can participate remotely by audiovisual or other
electronic means, if this is decided by the Board of Directors that convenes it. The same may
apply to persons who attend the General Meeting with the permission of its chairman, under his
responsibility, in accordance with article 127 par. 2 of law 4548/2018, provided that the Board of
Directors has given this opportunity and the chairman of the General Assembly approves it. The
Board of Directors determines with the same decision the details for the above in compliance with
the existing provisions, taking sufficient measures to ensure the provisions of article 125 par. 1 of
law 4548/2018.
The General Meeting is convened at least 20 days before it is held with an invitation stating the
exact address, date and time of the meeting, the items on the agenda clearly, the shareholders
who have the right to participate, as well as precise instructions for how shareholders will be able
to attend the meeting and exercise their rights in person or through a representative. The
invitation is published as defined by law and is published in Greek and English on the Company's
website and further mentions (a) the rights of minority shareholders of article 141 par. 2, 3, 6
and 7 of Law 4548/2018, with an indication of the period within which each right may be
exercised, or alternatively, the closing date by which those rights may be exercised; (b) the
procedure for exercising the voting right through a representative and in particular the forms
used for this purpose by the Company, (c) it determines the registration date according to the
law, noting that only the persons who are shareholders on that date have the right to participate
and vote in the General Meeting, (d) it announces the place where the full text of the documents
and draft decisions provided by law is available, and (e) it indicates the Company's website
address, where the information of the par. 3 and 4 of article 123 of Law 4548/2018 is available.
The members of the Board of Directors are also present at the General Meeting, in order to
provide information and briefing on issues of their competence, which are put up for discussion,
and on the questions or clarifications requested by the shareholders. In addition, the Chairman of
the Audit Committee and the Head of the Internal Audit Unit are present. The Chairman of the
General Meeting has sufficient time for questions from the shareholders. The Chairman of the
General Meeting may under his responsibility allow the presence of other persons in the General
Meeting, who do not have a shareholder status or are not representatives of shareholders, insofar
as this is not against the corporate interest.
Decisions are made by voting, in order to ensure the participation of all shareholders in the
results, whether they attend the meeting in person or vote through an authorized representative.
The rights of the shareholders of the Company are defined in the Articles of Association and by
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 58
Law 4548/2018.
Communication with shareholders
The communication with the shareholders is ensured through the operation of the Investment
Relations Department of the Company, which implements the communication policy with the
shareholders of the Company. The Company has included a unified Service for Shareholders and
Corporate Announcements in this department, which is responsible on the one hand for informing
and supporting the shareholders for the exercise of their rights and on the other hand makes the
necessary announcements to the investing public.
The Service for Shareholders and Corporate Announcements has the main duties of providing
direct, accurate and equal information to the Company's shareholders as well as support
regarding the exercise of their rights, based on the current legislation and the Company's Articles
of Association. In addition, regarding corporate announcements, it is responsible for ensuring the
Company's compliance with the applicable institutional framework and the Company's
communication with the competent authorities, namely the Hellenic Capital Market Commission,
the Stock Exchange, and other competent bodies.
Also, the Company maintains an active website where useful information is posted for both
shareholders and investors under the responsibility of the head of the Shareholder Service and
Corporate Announcements.
Board of directors
The Company is represented before third parties, as well as before any Public, Judicial or any
other Authority by its Board of Directors, acting collectively. The Board of Directors is responsible
for deciding on any action concerning the management of the Company, the management of its
assets and the realization of its purpose, within the limits of the law and excluding the issues
decided by the General Meeting of Shareholders.
For any matter falling within the competence of representation and management of the Company
by the Board of Directors, the latter is entitled by decision to delegate the power of
representation or management of the Company to one or more persons, regardless of whether or
not they are members of the Board of Directors, issues for which the law or the Articles of
Association require collective action of the Board of Directors as an administrative body.
The Board of Directors should effectively exercise its leadership role and manage corporate affairs
for the benefit of the Company and all shareholders, ensuring that the Management implements
the corporate strategy under the supervision of the prudent entrepreneur. It should also ensure
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 59
fair and equal treatment of all shareholders, including minority shareholders and foreign
shareholders.
Duties of the Board of Directors
The Board of Directors has the powers, responsibilities and duties provided by the Law, the General
Meeting of Shareholders, the Company’s Articles of Association and the respective corporate
procedures. Within this context, the Board of Directors is the body that exercises the management
of the Company. Its duties include decision-making as well as the responsibility of exercising
complete and effective control over all the Company’s activities.
According to the provisions of L. 4706/2020, the Board of Directors:
• approves the required Eligibility Policy;
• defines and supervises the implementation of the corporate governance system of the
Company, monitors and periodically evaluates its implementation and effectiveness, at least
every three (3) financial years, taking the appropriate actions to address deficiencies;
• ensures the adequate and efficient operation of the Company's Internal Audit System;
• ensures that the functions that constitute the Internal Audit System are independent of the
business sectors they control, and that they have the appropriate financial and human
resources, as well as the powers for their smooth operation, as required by their role;
• takes the necessary measures to ensure compliance with the independence of the
independent non-executive members of the Board of Directors;
• issues and approves the Rules of Procedure and any amendments thereto in accordance with
the provisions of law 4706/2020, the Rules of Procedure and any amendment thereof;
• appoints the head of the Internal Audit Unit as well as its internal operating rules;
• applies the provisions of article 22 of law 4706/2020 regarding share capital increases.
In addition, the responsibilities of the Board of Directors include indicatively:
• the approval of the long-term strategy and the operational goals of the Company, the
planning of the general practice of the company and the creation of a corporate culture;
• the implementation of the general corporate policy and the communication of the decided
business goals to the lower levels;
• monitoring and evaluating the effectiveness and implementation of the operational action
plan;
• the approval of the annual budget and business plan, as well as decision-making on major
capital expenditures, acquisitions and sales;
• selecting and, when necessary, replacing the Company's executive leadership, as well as
overseeing succession planning;
• controlling the performance of the top Management and the harmonization of the
remuneration of senior executives with the long-term interests of the Company and its
shareholders;
• ensuring the reliability of the Company's financial statements and data, financial information
systems and published data and information, as well as ensuring the effectiveness of internal
audit and risk management systems;
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 60
• observing the members of the Board of Directors or the main shareholders (including the
shareholders with direct or indirect authority to shape or influence the composition of the
Board of Directors), in relation to existing and potential conflicts of interest between the
Company on the one hand and its Management on the other, as well as the appropriate
treatment of such conflicts. To this end, the Board of Directors should adopt a transaction
supervision procedure based on transparency and protection of corporate interests;
• ensuring the existence of an effective regulatory compliance process of the Company;
• responsibility for making relevant decisions and monitoring the effectiveness of the
Company's management system, including decision-making processes and the assignment of
powers and duties to other executives;
• forming, disseminating and applying the Company’s main values and principles that govern
its relations with all parties, whose interests are related to those of the Company;
• decision-making concerning all kinds of remuneration paid to the Company's executives, the
internal auditor but also the general remuneration policy of the Company and in fact, under
Law 4548/2018, establishes and brings the remuneration policy of its members and the
general manager or his deputy, if any, for approval by the General Meeting;
• approval of transactions with related parties as provided by Law 4548/2018 and the relevant
policy of the Company;
• responsibility for the preparation of the financial statements, the management report
(including the corporate governance statement).
According to the Company's Articles of Association, the Board of Directors is responsible for
deciding about any action concerning the Company's management, the management of its property
and the general pursuit of the Company's purpose and its representation, except for matters for
which the General Meeting is solely responsible according to an explicit provision of the Law. In
particular, according to the Articles of Association, the Board of Directors:
• Convenes the General Meetings of shareholders, determines their agenda and everything
concerning the announcement of their convening, as stipulated by the Law;
• Represents the Company in Greece and abroad before Public, Municipal and other authorities,
Organizations of any nature, natural or legal persons, in general before all Greek Courts of all
degrees and jurisdiction and before the Supreme Court and the Council of State;
• Regulates the internal and external operation of the Company and identifies each expense;
• Determines the respective use of available funds;
• Buys and sells real estate or movable property and leases or rents them;
• Concludes agreements with Banks for the opening of credits, the issuance of letters of
guarantee or credits through an open account, on whatever terms it wishes to approve,
provided that the success of the corporate purpose is achieved;
• Receives loans on behalf of the Company, provides payment orders and recognizes liabilities,
provides repayments and any exemptions;
• Concludes all kinds of contracts and agreements with third parties, natural or legal, domestic
or foreign persons for the import of products that are necessary to achieve the purpose of
the Company;
• Decides on the participation of the Company in existing or newly established companies and
the creation of new Company branches;
• Appoints lawyers and other proxies for the representation of the Company before the Courts
and other Authorities and Organizations to proceed to any of the above actions and generally
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 61
manages and administers the corporate assets and concludes contracts on behalf of the
Company in relation to the above actions or others;
• Closes the books of the Company at the end of each corporate year, prepares its annual
financial statements and proposes the dividends to be distributed to the shareholders and the
amounts to be retained for the creation of reserve funds. The above list of the rights of the
Board of Directors is merely indicative.
Acts of the Board of Directors bind the Company towards third parties, even if they are outside
the corporate purpose, unless it is proven that the third party knew or ought to have known that
the corporate purpose was exceeded. The mere observance of the publicity formalities regarding
the Company's Articles of Association or its amendments does not constitute evidence.
Term and Number of the Board Of Directors Members
The Board of Directors is elected by the General Meeting for a six-year term, which is extended
until the expiration of the term, within which the next ordinary general meeting must convene
and until the relevant decision is taken, which cannot exceed six years. The members of the
Board of Directors may be re-elected and recalled freely, according to the law.
The competent body for the election of the Board of Directors is the General Meeting of
Shareholders, except in cases of appointment of a member of the Board of Directors or election
of a member of the Board of Directors to replace another member, whose position was vacated
for any reason by the other members of the Board, in any case in accordance with the Articles of
Association. The General Meeting elects the members of the Board of Directors for a defined
term.
The number of the Board of Directors members is determined by the Articles of Association or by
the General Meeting, within the limits provided in the Articles of Association. In any case, the
number may not exceed fifteen (15) members or be less than seven (7) members.
After its election the Board of Directors immediately convenes and is formed in a body, electing
by secret vote and with an absolute majority of its members present or represented, the
Chairman, the Vice-Chairman and the Managing Directors and appoints the executive and non-
executive members, except for the independent members, according to the definitions of law
4706/2020, as in force. The role of the Chairman and/or Vice-Chairman and Managing Director
may coincide in the same person. The Board of Directors may elect up to two managing directors
from among its members, at the same time defining their duties.
The Chairman of the Board of Directors chairs the meetings.
A legal entity may also be a member of the Board of Directors. In this case, the legal entity is
obliged to appoint a natural person to exercise the powers of the legal entity as a member of the
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 62
Board of Directors. Failure of the legal entity to appoint a natural person to exercise the
respective powers within fifteen (15) days from the appointment of the legal entity as a member
of the Board of Directors is considered as resignation of the legal entity from the position of
member.
The Board of Directors consists of executive and non-executive members. According to the
Corporate Governance Code followed by the Company, the Board of Directors is required to
consist of a majority of non-executive members (including independent non-executive members)
in relation to the executive.
The executive members have executive responsibilities regarding the management of the
Company within the context of the tasks assigned to them. The non-executive members do not
have executive responsibilities in the management of the Company within the context of the
tasks assigned to them, apart from the general duties assigned to them by virtue of their capacity
as members of the Board of Directors and have been entrusted with the role of regular
supervision and monitoring of decision-making by the Management.
Independent non-executive members are the non-executive members of the Board of Directors of
the Company, who at their appointment or election and during their term of office meet the
criteria of independence provided in article 9 of law 4706/2020. They are elected by the General
Meeting or appointed by the Board of Directors in accordance with par. 4 of article 9 of law
4706/2020. The number of independent non-executive members must not be less than 1/3 of the
total number of members of the Board of Directors and if a fraction occurs, it is rounded to the
nearest whole number. At the meetings of the Board of Directors whose subject is the
preparation of the financial statements of the Company, or the agenda of which includes issues
which are approved by the decision of the general meeting with increased quorum and majority,
according to law 4548/2018, the Board of Directors is in quorum, when at least two (2)
independent non-executive members are present. In case of unjustified absence of an
independent member in at least two (2) consecutive meetings of the Board of Directors, this
member is considered resigned. This resignation is established by a decision of the Board of
Directors, which replaces the member, in accordance with the procedure of par. 4 of article 9 of
law 4706/2020.
Duties and Remuneration of Non-Executive Members and Independent Non-Executive
Members of the Board of Directors
The non-executive members do not exercise managerial duties, but are responsible for their
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 63
participation in the Board of Directors and its Committees, contributing to the impartiality and
transparency of the decisions taken and the promotion of all corporate issues. They form
independent assessments regarding the Company's strategy, performance, assets, the
nomination of candidates for members of the Board of Directors, and they develop them in the
meetings of the Board of Directors.
Among other things:
(a) They monitor and examine the Company's strategy and its implementation, as well as the
achievement of its goals;
(b) they ensure effective supervision of executive members, including monitoring and controlling
their performance;
(c) they examine and express views on proposals submitted by executive members, on the basis
of existing information.
The independent non-executive members submit, jointly or individually, reports and evaluations
to the ordinary or extraordinary general meeting of the Company, independent from the reports
submitted by the Board of Directors.
The content of the above reports must include, at a minimum, a reference to their obligations, as
described in article 7 of Law 4706/2020: the non-executive members of the Board of Directors,
including the independent non-executive members, have, in particular, the following obligations:
- They monitor and examine the Company's strategy and its implementation, as well as the
achievement of its goals.
- They ensure the effective supervision of the executive members, including the monitoring
and control of their performance.
- They examine and express opinions regarding the proposals submitted by the executive
members, based on existing information.
The Board of Directors confirmed that the independent non-executive members of the Board of
Directors meet the independence criteria of Article 9 of Law 4706/2020, as they have responsibly
declared.
The remuneration of the non-executive Members and the independent non-executive Members of
the Board of Directors are in accordance with the Remuneration Policy of the Company, approved
by a special decision of the Ordinary General Meeting and are proportionate to the time that the
non-executive Board members devote for the meetings of the Board of Directors and their
participation in Committees.
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 64
Duties and Remuneration of Executive Members of the Board of Directors
The executive members of the Board of Directors are responsible for the implementation of the
strategy determined by the Board of Directors and meet at regular intervals with the non-
executive members of the Board of Directors regarding the suitability of the implemented
strategy.
In existing situations of crisis or risk, as well as when circumstances demand to take measures
that are reasonably expected to significantly affect the Company, such as when decisions are to
be made regarding the progress of the business and the risks undertaken are expected to affect
the financial situation of the Company, the executive members inform the Board of Directors in
writing without delay, either jointly or individually, submitting a relevant report with their
assessments and proposals.
The remuneration of the executive members of the Board of Directors is in accordance with the
Remuneration Policy of the Company and is approved by a special decision of the Ordinary
General Meeting.
Operation of the Board Of Directors
Law 4548/2018 on public limited companies sets general rules regarding the organization of the
Board of Directors meetings and the decision-making process.
The Board of Directors should meet with the necessary frequency in order to perform its duties
effectively. The information provided to the Board by the Management should be timely, in order
to be able to perform effectively the tasks arising from its responsibilities.
The Board of Directors should be supported by a competent, specialized and experienced
corporate Secretary, who will be present at its meetings.
The members of the Board of Directors take care about being regularly informed regarding the
business developments and the most important risks, to which the Company is exposed. They are
also informed in time about the changes in the legislation and the market environment.
The Board of Directors meets at the Company's registered office or at any other place in the
country or abroad, where the Company or other affiliated companies maintain branches, facilities
or premises in general, whenever the law, the Articles of Association or the needs of the company
require it. It is also convened at any time by its Chairman.
In any case, the Board of Directors duly meets outside its headquarters in any other place, either
in Greece or abroad as long as all its members are present or represented at this meeting and no
one objects to the meeting and the decision-making.
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 65
It is possible to hold a meeting of the Board of Directors via teleconference. In this case, the
invitation to the members of the board of directors will include the necessary information for their
participation in the meeting.
The Board of Directors is convened by its Chairman or his deputy, by invitation notified to its
members at least two (2) business days before the meeting and at least five (5) business days if
the meeting is to be held outside the Company's headquarters. If the Chairman is absent or
unable, he is replaced by the Vice Chairman. The invitation must also clearly indicate the items on
the agenda, otherwise decision-making is allowed only if all members of the Board of Directors
are present or represented and no one objects to the decision-making.
Two (2) members of the Board of Directors may request to convene a meeting upon request to
its Chairman or his Deputy, who are obliged to convene it in order to meet within seven (7) days
from the submission of the request. If the Board of Directors is not convened by the Chairman or
his deputy within the above deadline, the members who requested it are allowed to convene the
meeting within five (5) days from the expiration of the above seven-day deadline, notifying the
relevant invitation to the other members of the Board of Directors. Their request according to the
above must clearly state the issues to be addressed by the Board of Directors, otherwise it might
be rejected.
An absent member may be represented by another member. Each member can represent only
one absent member.
The Board of Directors is in quorum and meets duly, when more than half plus one members are
present or represented therein, but the number of present members may never be less than
three.
Unless otherwise provided by law or the present document, the decisions of the Board of
Directors are duly taken by an absolute majority of the present and represented members.
The discussions and decisions of the Board of Directors are recorded summarized in a special
book, which can also be kept electronically. Upon request of a member of the Board of Directors,
the Chairman is obliged to record an accurate summary of his opinion in the minutes. The
Chairman has the right to refuse to record an opinion, which refers to issues obviously off the
agenda, or whose content is clearly contrary to good morals or the law. This book also records a
list of members present or represented at the meeting of the Board of Directors.
Copies and extracts of the minutes of the Board of Directors are certified by the Chairman or his
deputy or by the Managing Director of the Board of Directors.
The preparation and signing of minutes by all members of the Board of Directors or their
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 66
representatives is equivalent to a decision of the Board of Directors, even if no previous meeting
has taken place. This provision also applies if all members or their representatives agree to have
their majority decision recorded in minutes, without a meeting. The relevant minutes are signed
by all members.
The signatures of the members or their representatives may be replaced by the exchange of e-
mails or other electronic means, if this is provided in the articles of association. The minutes that
are prepared, according to the present document, are registered in the book of minutes, in
accordance with article 93 of Law 4548/2018.
Evaluation of the Board of Directors Members
The Board of Directors has established an evaluation process of the members in order to ensure
the effective operation of the Board of Directors and the fulfillment of its role as the supreme
governing body of the Company, responsible for forming the strategy and supervising the
management and adequate control. The evaluation procedures and the frequency with which
they are applied aim at the timely identification of points that may need improvement, the
appropriate information and direction of actions, in order to ensure the efficient operation of the
Board of Directors.
The members of the Board of Directors are evaluated annually: (a) on a collective basis, which
takes into account the composition, diversity and effective cooperation of the members of the
Board of Directors for the fulfillment of their duties and (b) on an individual basis regarding the
evaluation the contribution of each member to the successful operation of the Board of Directors,
which takes into account the capacity of the member (executive, non-executive, independent),
participation in committees, assuming special responsibilities / projects, time devoted, behavior
and utilization of his knowledge and experience.
In addition, through the evaluation of the effectiveness of the Committees of the Board of
Directors, i.e. the Audit Committee and the Remuneration & Nominations Committee, their
contribution to the constructive fulfillment of the support of the Board of Directors is considered
and evaluated.
Board of Directors Remuneration
The remuneration of the members of the Board of Directors, as well as any allowances are
determined in accordance with the law governing the operation of the Company, in particular the
provisions of Law 4548/2018, as well as in accordance with the applicable remuneration policy for
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 67
the members of the Board of Directors (the "Remuneration Policy") as approved and/or
amended by the General Meeting of the Company's shareholders.
Its goal is to align the interests of the members of the Board of Directors with the long-term
interests, the business strategy and the sustainability of the Company and define the framework
within which the remuneration of the executive and non-executive members of the Board of
Directors are defined.
For all remuneration and allowances the salary report provided by law 4548/2018, is prepared, in
accordance with the provisions of the law annually, approved by the Board of Directors and
submitted for discussion at the Ordinary General Meeting, which is checked for completeness by
the certified public accountants of the Company. The information of the earnings report is also
examined by the Remuneration & Nominations Committee, which provides its opinion to the
Board of Directors, before submitting the report to the general meeting.
At the Ordinary General Meeting of shareholders that will take place within 2023 for the approval
of the 2022 results, the Remuneration Report of the members of the Board of Directors will be
submitted for the remuneration paid during the year 2022 according to article 112 of Law
4548/2018 and the Company’s Remuneration Policy of the members of the Board of Directors.
The Remuneration Policy and the Earnings Report are made available in accordance with the law
on the Company's website
Remuneration policy
SUMMARY CONTENTS (iktinoir.gr)
Remuneration Report
REMUNERARION REPORT 2021_2021.PDF (iktinosir.gr)
Suitability Policy of the members of the Board of Directors
The Suitability Policy was prepared by the Board of Directors of the Company and was approved
by the Ordinary General Meeting on 30.06.2021. Its scope includes the members of the Board of
Directors. The Suitability Policy aims at ensuring the quality staffing, efficient operation and
fulfillment of the role of the Board of Directors based on the overall strategy and the medium-
long-term business ambitions of the Company in order to promote the corporate interest. The
Board of Directors constantly monitors the suitability of its members and, where deemed
necessary based on the current legislation and the Suitability Policy, re-evaluates their suitability
and possibly launches their replacement.
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 68
The Suitability Policy is posted on the Company's website
SUITABILITY POLICY OF THE BOD.PDF (IKTINOSIR.GR)
Chairman of the Board of Directors (Executive Member)
The Chairman of the Board of Directors coordinates and directs the meetings and the general
operation of the Board of Directors. He chairs the Board of Directors, has the responsibility of
convening the Board of Directors in a meeting, setting the agenda, ensuring the good
organization of the work of the Board of Directors, but also the effective conduct of its meetings.
It is also the responsibility of the Chairman to ensure the timely and correct information of the
members of the Board of Directors, to facilitate the effective participation of non-executive
members of the Board of Directors in its work, to ensure constructive relations between executive
and non-executive members, and effective communication of the Chairman with all Shareholders,
with a view to the fair and equal treatment of the interests of all Shareholders, including his
obligation to ensure that the views of the Shareholders are communicated to the Board of
Directors.
When the Chairman is absent or disabled, he is replaced for the above, non-executive
responsibilities, by a non-executive Vice- Chairman.
Vice Chairman of the Board (Non-Executive Member)
The Non-Executive Vice Chairman of the Board of Directors is responsible for the coordination
and effective communication of the executive and non-executive members of the Board of
Directors, in addition to the statutory responsibilities. The Non-Executive Vice Chairman presides
over the evaluation of the Chairman of the Board of Directors, which is conducted by the
members of the Board of Directors as well as the meetings of the non-executive members of the
Board of Directors for the evaluation of its executive members. Finally, the Non-Executive Vice
Chairman is obliged to be available and to attend the General Meetings of the Company
Shareholders, in order to inform about and discuss the issues of Corporate Governance of the
Company, when and if they arise.
The Vice- Chairman shall not replace the Chairman in his executive duties.
Chief Executive Officer (Executive Member)
The Chief Executive Officer reports to the Board of Directors and has the following
responsibilities:
• to ensure and control the implementation of strategic decisions as defined by the Board of
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 69
Directors and the management of the Company's affairs;
• to draw up the guidelines in the Company's Management and supervise and ensure its smooth,
orderly and efficient operation, depending on the strategic goals, business plans and action plan
as defined by the decisions of the corporate bodies;
• to be responsible for the effective communication of the Board of Directors with the
shareholders;
• to provide sufficient information to the Board of Directors regarding events and developments
concerning the Company;
• to coordinate and supervise the individual departments of the Company;
• to propose the future strategy of the Company and evaluate the business opportunities
presented;
The current Board of Directors of the Company has seven members, as elected by the Ordinary
General Meeting on 30.06.2021 and the Board of Directors decision dated 30.06.2021, and
consists of the following members:
The following table presents the members of the present Board of Directors, their status, as well
as the beginning and termination dates of their current term.
FULL NAME
CAPACITY
BEGINNING
OF TERM
TERMINATION
OF TERM
Evangelos Chaidas
Chairman of the Board &
Chief Executive Officer,
Executive Member of the
Board
30.06.2021
Until the
Ordinary
General Meeting
(OGM) 2026
Anastasia Chaida
Vice Chairman, Non-
Executive Member of the
Board of Directors
30.06.2021
Until the OGM
2026
Ioulia Chaida
Deputy Chief Executive
Officer, Executive Member of
the Board of Directors
30.06.2021
Until the OGM
2026
Peristeris Katsikakis
Chief Financial Officer,
Executive Member of the
Board of Directors
30.06.2021
Until the OGM
2026
Lydia Chaida
Non-Executive Member of
the Board of Directors
30.06.2021
Until the OGM
2026
Vasiliki Meintani
Independent Non-Executive
Board Member
30.06.2021
Until the OGM
2026
Andreas Koutoupis
Independent Non-Executive
Board Member
30.06.2021
Until the OGM
2026
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 70
The CVs of the Members of the Company's Board of Directors are as follows:
Evangelos Chaidas, Chairman of the Board & CEO, Executive Member
Mr. Evangelos Chaidas is the Chairman and Managing Director, executive member of the Board of
Directors of IKTINOS HELLAS SA.
He is the founder of IKTINOS HELLAS SA and has held the position of Chairman and Managing
Director since 1974.
He holds a degree in Architecture - Engineering from the University of Rome and is a member of
the Technical Chamber of Greece (TEE).
He holds a degree in Public Projects and Environmental Studies and has been involved in Real
Estate with both studies and constructions.
He was actively involved in the organization of the marble industry and was President of the
Federation of Greek Marble Bodies (OSME) from 1980 to 1999, when he was named Honorary
President of OSME.
He contributed to the promotion of the exports of the Greek Marble Enterprises and organized
the first group participations through HEPO in SAN ABROZIO of VERONA in 1976 and later.
He has published many articles and opinions on marble.
Ioulia Chaida, Deputy Chief Executive Officer - Executive Member
Ioulia Chaida is an executive member and Deputy Managing Director of the Board of Directors of
IKTINOS HELLAS SA.
During her 35 years of her career at the company, she has held important positions of
responsibility such as that of Director of Finance & Commerce and Director of Commerce.
From 2004 to 2021 she held the position of Vice Chairman of the BoD. She is a graduate of the
Athens University of Economics and Business and holds a Master's Degree in "International
Corporate Financing" from the University of Salford, Manchester.
She is fluent in English, French, Italian and Spanish.
It is worth noting that Ms. Chaida is an active member of ICC Women Hellas, Woomanity and
supports, through various unions and organizations, women's entrepreneurship and the
promotion of innovative ideas that contribute to the development of the Greek economy, while
since February 2020 she has been President of the Marble Association of Macedonia - Thrace.
For her active business activity and contribution she has received awards and distinctions such as
those of "Self-created Entrepreneur, Dynamically Growing Entrepreneur and Innovative
Entrepreneur" of the year 2019.
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 71
Anastasia Chaida - Vice Chairman of the Board - Non-Executive Member
Anastasia Chaida is a graduate of Saint George College, Department of Business Administration
and Public Relations.
In 1993 she started her career at IKTINOS HELLAS, working in many departments of the
company, including the department of exports, accounting, Human Resources, etc., while holding
the position of Corporate Announcements Manager of the company.
She is a graduate of the Fotiadis Drama School and a graduate of the two-year course at Xenia
Kalogeropoulou's "Porta Theater Workshop" for drama in education. She has collaborated since
1994 with various theatrical scenes and has also participated in television appearances. Since
2018 she is an active member of the theatrical workshop of Vrilissia participating in various
performances.
Katsikakis Peristeris, Executive Member - Chief Financial Officer
Peristeris Katsikakis is an executive member of the Board of Directors and Chief Financial Officer
of IKTINOS HELLAS SA Group.
He is a graduate of the University of Piraeus with a degree in Accounting and Finance and holds a
Master's degree in Tax Law from the Athens University of Economics and Business.
In his 28-year career he has been a manager in various companies, and in the last 20 years he
has held the position of Chief Financial Officer in companies listed on the Athens Stock Exchange.
He is a member of the Economic Chamber of Greece and holds a license of Class A’ Accountant.
Lydia Chaida, Non-Executive Member
Lydia Chaida is a non-executive member of the Board of Directors of IKTINOS HELLAS SA and
CEO and manager of the company IKT MARMARON IKE.
She studied architecture "VALLE GIULIA" at the Technical University of Rome "LA SAPIENZA" with
a degree in Industrial design.
During her 28th career at the company, she has held important positions such as retail and
project manager, managing director and manager of IKTINOS MARMARON SA, from 2015 to
2020 (subsidiary of IKTINOS HELLAS SA).
Angeliki Meintani - Independent Non-Executive Board Member
Angeliki Meintani holds a degree in Mining Engineering - Metallurgy from the National Technical
University of Athens. He is a member of the Technical Chamber of Greece, holder of a Design
Degree Category 27 (Environmental Studies) Class A and B.
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 72
She has been trained in specialized topics such as the exploitation of white marble quarry, the
application of computers in the mining industry, modern technologies in the construction of
tunnels and the techniques of cutting and processing marble. She maintains a personal technical
company as a freelancer and business consultant having worked with dozens of companies and
executives of mining companies and mines.
She is a consultant, supervising engineer and safety technician of quarries of aggregates, marbles
and industrial minerals, in companies of the sector in various areas of Greece and has
collaborated with the largest marble, cement and mining industries in the country. She is also
involved with quality control systems of materials (granulometric analyses, control of equivalent
sand, etc).
As a freelancer she has undertaken the preparation and submission of licensing applications for
quarry companies that include feasibility studies, technical studies, quarry exploitation,
environmental impact studies and environmental protection and restoration studies,
environmental infrastructure systems, plant engineering projects, special ecological evaluations
for projects and activities of category B of article 10 of Law 4014/2011 (Government Gazette
209/A) etc.
In total, she has carried out more than 3,000 projects that are subject to the environmental
licensing process as well as technical and feasibility studies.
Dr. Andreas G. Koutoupis - Independent Non-Executive Board Member
Dr. Andreas G. Koutoupis has been an Associate Professor of Financial Accounting and Auditing at
the Department of Accounting and Finance of the University of Thessaly since June 2018 and a
Certified Internal Auditor, founder and President of KnR Governance, Risk, Compliance and
Internal Audit with the main involvement in the Provision of Internal Audit Services and Training
of Business Executives. He worked as Director - Head of Corporate Governance, Compliance,
Business Risk Management and Internal Audit Services (Director) of the company Mazars, Greece
for more than ten years. He also worked as a Senior Manager in the Internal Audit Services
Department of PricewaterhouseCoopers Greece for more than ten years. His experience comes
mainly from the financial sector where he has worked with almost all major banks in Greece and
their subsidiaries in the Balkans in Corporate Governance, Business Risk Management and
Internal Audit Projects, as well as from Cooperative Banks, Payment Institutions, Public Health
Units and Municipalities, having participated in a large number of Internal Audits in the last ten
years. He is a Research Fellow at the University of Piraeus (MSc in Shipping), University of the
Aegean (Department of Shipping and Business Services – MSc in Shipping, Transport and
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 73
Business Services (NAME) and Department of Business Administration – MSC in Business
Administration (MBA), at the International University of Greece (MSc in International Accounting,
Auditing & Financial Management), at the University of Western Attica, at the University of
Western Macedonia, as well as at Panteion University (MSc in Taxation and Auditing and
Entrepreneurship Program). He holds a degree in Public Administration (Panteion University) with
honors, a Master's degree in Internal Audit and Business Administration (Cass Business School,
City University, London-UK) with a Distinction in his Thesis, a Doctorate in Corporate Governance
and Internal Audit (Panteion University) with distinction, as well as Certified Internal Auditor
(Chartered Internal Auditor - CMIIA) and Certified Internal Auditor (CIA, Certified Internal
Controls Auditor - CICA, Certified in Control Self Assessment - CCSA, Certified in Risk
Management Assurance - CRMA, Certified Controls Specialist - CCS). He has also been certified as
an Internal Audit Quality Assessment Validator by the International Institute of Internal Auditors
(The IIA-Inc). He holds a License to Practice the Profession of Accountant - Class A from the
Economic Chamber of Greece.
It follows that the composition of the Board of Directors reflects the knowledge, skills and
experience required to exercise its responsibilities, in accordance with the suitability policy and
the business model and strategy of the Company. It is noted that the conditions of independence
of article 9 of Law 4706/2020 continue to be met by the above non-executive members of the
Board of Directors who have been appointed as independent members from the general meeting
of shareholders of the Company.
Also, the CVs of the main executives can be found on the Company's website at the following
address:
OUR TEAM - IKTINOS HELLAS SA (IKTINOS.GR)
Meetings of the Board of Directors
The Board of Directors meets either at the Company's headquarters, or by teleconference with
some or all of its members, whenever the Law, the Articles of Association or the needs so require
and also, makes decisions without a meeting by drafting and signing the relevant minutes by all
members.
The Board of Directors met 11 times in 2022. The participation rate of the members in the
meetings was 100%.
The following table presents the participation of the members of the Board of Directors in the
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 74
meetings, either in person or by teleconference, which took place within the fiscal year:
FULL NAME
CAPACITY
PARTICIPATION
IN MEETINGS
COMMENTS
Evangelos Chaidas
Chairman of the Board
& Chief Executive
Officer, Executive
Member of the Board
11/11
Anastasia Chaida
Vice Chairman, Non-
Executive Member of
the Board of Directors
11/11
Ioulia Chaida
Deputy Chief Executive
Officer, Executive
Member of the Board
of Directors
11/11
Peristeris Katsikakis
Chief Financial Officer,
Executive Member of
the Board of Directors
11/11
Lydia Chaida
Non-Executive Member
of the Board of
Directors
11/11
Vasiliki Meintani
Independent Non-
Executive Board
Member
11/11
Andreas Koutoupis
Independent Non-
Executive Board
Member
11/11
The members of the Board holding shares of the Company with a reference date on 31.12.2022
and the date of publication, are presented below:
FULL NAME
CAPACITY
NUMBER OF
SHARES
PARTICIPATION
PERCENTAGE
(%)
Evangelos Chaidas
Chairman of the Board &
Chief Executive Officer,
Executive Member of the
Board
57,293,868
50.117%
Anastasia Chaida
Vice Chairman, Non-
Executive Member of the
Board of Directors
7,694,832
6.731%
Ioulia Haida
Deputy Chief Executive
Officer, Executive
Member of the Board
7,673,856
6.713%
Lydia Chaida
Non-Executive Member
of the Board of
Directors
7,051,332
6.168%
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 75
Reference to the external professional commitments of the members of the Board of
Directors (including their professional obligations as non-executive members in other
companies, as well as non-profit organizations)
MEMBER OF BOD
POSITION / CAPACITY
LEGAL ENTITY
Evangelos Chaidas
Chairman & Managing Director
IDEI SA
Chairman & Managing Director
FEIDIAS HELLAS SA
Chairman & Managing Director
IKTINOS TECHNIKI & TOURISTIKI
SA
Chairman & Managing Director
AIOLIKI LYKOFOLIA SA
Chairman & Managing Director
AIOLIKI PROFITIS ILIAS SA
Managing Director
LATIRUS LTD
Ioulia Chaida
Vice Chairman of the Board
IDEI SA
Vice Chairman of the Board
FEIDIAS HELLAS SA
Vice Chairman of the Board
IKTINOS TECHNIKI & TOURISTIKI
SA
Vice Chairman of the Board
AIOLIKI LYKOFOLIA SA
Vice Chairman of the Board
AIOLIKI PROFITIS ILIAS SA
Anastasia Chaida
Board member
IDEI SA
Board member
FEIDIAS HELLAS SA
Board member
IKTINOS TECHNIKI & TOURISTIKI
SA
Board member
AIOLIKI LYKOFOLIA SA
Board member
AIOLIKI PROFITIS ILIAS SA
Lydia Chaida
Managing Director
IKT MARMARON IKE
Board member
IDEI SA
Board member
FEIDIAS HELLAS SA
Board member
IKTINOS TECHNIKI & TOURISTIKI
SA
Board member
AIOLIKI LYKOFOLIA SA
Board member
AIOLIKI PROFITIS ILIAS SA
Peristeris Katsikakis
Board member
IKTINOS TECHNIKI &
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 76
MEMBER OF BOD
POSITION / CAPACITY
LEGAL ENTITY
TOURISTIKI SA
Andreas Koutoupis
Administrator
KPS ANDREAS KOUTOUPIS &
ASSOCIATES IKE
Legal Representative
KnR SA
Administrator
ARTDION HOTEL & VILLAS IKE
Partner
NIKOS VANDOROS SOLE
SHAREHOLDER LTD
Independent Non-Executive
Member
LOULI MILLS SA
Independent Non-Executive
Member
PUBLISHING ORGANIZATION
LIBANI SA
Independent Non-Executive
Member
KORDELOU BROS SA
Independent Non-Executive
Member
EVROPHARMA SA
President of the Audit
Committee
COOPERATIVE BANK OF CENTRAL
MACEDONIA
President of the Audit
Committee
BIOTER SA
President of the Audit
Committee
LANAKAM SA
President of the Audit
Committee
AEGEK CONSTRUCTION SA
Conflicts of interest - other obligations
The members of the Board of Directors who participate in the management of the company in any
way, as well as its directors, are prohibited from acting, without the permission of the general
meeting or the relevant provision of the articles of association, on their own account or on behalf
of third parties, acts that fall under the purposes of the company, as well as to participate as
general partners or as sole shareholders or partners in companies pursuing such purposes.
The members of the Board of Directors and any third person who has been assigned
responsibilities by it have an obligation of loyalty to the company. They must in particular:
• not pursue own interests that are contrary to the interests of the company;
• disclose in a timely manner and adequately to the other members of the board of
directors their own interests, which may arise from the company's transactions, which fall within
their duties, as well as any conflict of interests with those of the company or related companies
within the meaning of article 32 of law 4308/2014, which arises in the performance of their
duties. They must also reveal any conflict between the interests of the company and the interests
of the persons of paragraph 2 of article 99 of law 4548/2018, if they are related to these persons.
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 77
A sufficient disclosure is one that includes a description of both the transaction and the interests
themselves. The companies publish the cases of conflict of interest and any contracts that have
been concluded and fall under article 99 of law 4548/2018 with the annual report of the board of
directors;
• maintain strict confidentiality about corporate affairs and company secrets, which
became known to them due to their capacity as members.
Description of the diversity policy applied to the administrative, management and
supervisory bodies of the Company
The Company provides equal opportunities to all its employees, at all levels of the hierarchy, and
avoids any kind of discrimination. The same diversity and equality policy applies to its
administrative, management and supervisory bodies, in an effort to cultivate an environment of
equality and non-discrimination.
Management and employees are evaluated based on their education and professional
background, knowledge of the Company's object and their leadership skills, experience and
efficiency. Evaluation decisions of any kind are free from any discrimination.
In the Board of Directors and in the Committees of the Company, the maximum possible diversity
is sought, in terms of gender, age and the educational and professional background of the
members. The goal is the existence of pluralism of views, skills, knowledge and experience within
the Company, which correspond to the Corporate objectives. The adoption and implementation of
this policy, results in the creation of a working environment without discrimination and prejudice.
Internal Audit System Evaluation based on Law 4706/2020
The Internal Audit System (IAS) consists of audit mechanisms and audit procedures that cover, on
a continuous basis, all of the entity's activities, with the aim of its efficient and secure operation.
In accordance with the provisions of decision 1/891/30.9.2020 and decision 2/917/17.6.2021 of
the Board of Directors of the Capital Market Commission and as provided by paragraph 4 of article
14 of Law 4706/2020, as well as in accordance with par. 3 of the same article, the obliged
companies as provided by article 1 "Scope of Application" of Law 4706/2020, are invited to assess
the adequacy of the IAS.
The assessment of the adequacy of the IAS is carried out on the basis of the best international
practices with the aim of ensuring the terms set out herein. Regarding the best international
practices, the International Auditing Standards are mentioned indicatively.
The evaluation of the IAS was completed in accordance with the provisions of decision
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 78
2/917/17.6.2021 of the EC until 31/3/2023 with a reference date of 31/12/2022 and a reference
period from the entry into force of Article 14 of Law 4706/2020.
The evaluation of the IAS was carried out by the company KSi Greece Certified Auditors -
Accountants, as it was selected by decision no. 680/7.9.2022 of the Company’s Board of Directors.
KSi Greece Certified Auditors and Accountants (www.ksigreece.gr) as well as the members of the
Project Team are independent of the company IKTINOS HELLAS SA and there is no dependency
relationship according to par.1 of article 9, as specified by par. 2, of Law 4706/2020. The exercise
of the tasks of the project team, in the context of this work, was carried out with objective and
impartial attitude and mentality, observing the Auditors’ Code of Ethics and Conduct.
The evaluation of the Company's IAS included the audit of the following pillars:
1. Control Environment
2. Risk Management
3. Control Activities
4. Information and Communication
5. Monitoring of the IAS
The methodological approach included four (4) stages:
• Investigation and evaluation of existing situation
• Gap analysis
• Communication and review of findings with competent units of the Company
• Preparation of the IAS Assessment Report
The conclusion of the IAS Adequacy and Effectiveness Assessment Report was without reservation,
as no material weaknesses were identified. The relevant Detailed Report was submitted to the
Board of Directors, while its summary was submitted to the Capital Market Commission, in
accordance with the deadlines of Law 4706/2020 and Decision 1/891/30.9.2020 of the Capital
Market Commission.
Board of Directors Committees
Audit Committee
The Audit Committee consists of three (3) members independent in their majority and operates in
accordance with article 44 of law 4449/2017 as amended by article 74 of law 4706/2020, articles
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 79
10, 15 and 16 of law 4706 / 2020 and Regulation (EU) No. 537/2014, the Greek Corporate
Governance Code voluntarily adopted by the Company and the provisions of its Operating
Regulation.
The Audit Committee operates with the aim of supporting the Company's Board of Directors in the
effective fulfillment of its duties related to financial information, the supervision of the internal
audit system and the regular audit of the Company.
The main tasks of the Audit Committee include, among others, monitoring the financial
information process and submitting recommendations or proposals to ensure its integrity,
monitoring the effectiveness of the Company's internal audit, risk management and internal audit
systems, and monitoring the Company's statutory audit of the annual and consolidated financial
statements.
The operating principles and duties of the Committee are described in detail in its regulation which
is available on the Company's website AUDIT_ COMMITTEE OPERATING
REGULATION_11032021.PDF (IKTINOSIR.GR)
The current Audit Committee is an independent committee, consisting of two independent non-
executive members of the Company's Board of Directors and a third, non-member of the Board of
Directors, elected by the General Meeting of the Company's shareholders. The term of office of
the Committee coincides with that of the Board of Directors, i.e. until the Ordinary General
Meeting of 2026.
The members of the Audit Committee are as follows:
Vassilis Petinis
Chairman of the Audit Committee, Non-Member of the Board of
Directors of the Company
Andreas
Koutoupis
Member of the Audit Committee, Independent Non-Executive
Member of the Board of Directors of the Company
Angeliki
Meintani
Member of the Audit Committee, Independent Non-Executive
Member of the Board of Directors of the Company
The Audit Committee meets at regular intervals, at least four (4) times a year, and extraordinarily
when required. All its members participate in the meetings of the Audit Committee. It is at the
discretion of the Audit Committee to invite, whenever appropriate, key executives involved in the
Company's governance, including the Chief Executive Officer, the Chief Financial Officer and the
Head of the Internal Audit Service. During the fiscal year 2021, the Audit Committee met ten
(10) times with all its members present (i.e. 100% participation rate).
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 80
Audit Committee Report of the societe anonyme under the name IKTINOS HELLAS
SA for 1.1.2022 – 31.12.2022
1. Letter from the Chairman of the Audit Committee
Dear Messrs. Shareholders and representatives of the Company's shareholders,
On behalf of the Audit Committee of IKTINOS HELLAS SA (the "Company") and in my capacity
as its Chairman, I submit to you this Report of the Committee for the period 1.1.2022 –
31.12.2022.
The purpose of this Report is to present a concise but comprehensive picture of the work of the
Audit Committee, during the aforementioned period.
2. Introduction
The Company has an Audit Committee which was formed in a body during its meeting on
30.6.2021 in application of art. 44 of Law 4449/2017, as amended by Law 4706/2020.
3. Purpose
The primary purpose of the Audit Committee is to support the Board of Directors in its tasks
related to financial information, internal audit, regulatory compliance and corporate risk
management. In summary, the Audit Committee:
a) informs the Board of Directors about the audited entity, the result of the statutory audit and
explains how the statutory audit contributed to the integrity of the financial information and
what was the role of the Audit Committee in this process,
b) monitors the financial information process and submits recommendations or proposals to
ensure its integrity,
c) monitors the effectiveness of the internal audit, quality assurance and risk management
systems of the organization and, where appropriate, of its internal audit department, regarding
the financial information of the audited entity, without prejudice to the independence of that
entity,
d) monitors the statutory audit of the annual and consolidated financial statements and in
particular its performance, taking into account any findings and conclusions of the competent
authority in accordance with paragraph 6 of Article 26 of Regulation (EU) no. 537/2014,
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 81
e) oversees and monitors the independence of chartered accountants or audit firms in
accordance with Articles 21, 22, 23, 26 and 27, as well as Article 6 of Regulation (EU) No
537/2014 and in particular the adequacy of the provision of non-audit services to the audited
entity in accordance with Article 5 of Regulation (EU) no. 537/2014,
f) is responsible for the selection process of chartered accountants or audit firms and proposes
the chartered accountants or audit firms which will be appointed in accordance with Article 16
of Regulation (EU) No 537/2014, unless par. 8 of article 16 of Regulation (EU) no. 537/2014 is
applicable.
4. Composition
The composition of the Audit Committee, according to the provisions of article 44 of law
4449/2017, as amended by law 4706/2020, is an independent committee of the Board of
Directors, a joint committee, consisting of a third independent person outside the Company
and two independent non-executive members of the Board of Directors, within the meaning of
the provisions of Article 9 of 4706/2020.
More specifically, the Chairman of the Audit Committee is Mr. Vassilios Petinis, an independent
third person (not a member of the Board of Directors) and its members are Mr. Andreas
Koutoupis and Mrs. Angeliki Meintani, Independent Non-Executive Members of the Board of
Directors, based on their election by the decision of the Ordinary General Meeting of the
Company's shareholders dated 30.6.2021 and was formed in a body at the meeting of the
Audit Committee on 30.6.2021.
The members of the Audit Committee meet the independence criteria of law 4706/2020 and
the eligibility criteria set out in article 44 of law 4449/2017 as amended by the provisions of
law 4706/2012 and decision 1302/2017 of the Hellenic Capital Market Commission.
The Audit Committee operates in accordance with its Operating Regulation, which are
published on the Company's website
AUDIT COMMITTEE OPERATING REGULATION 11032021.PDF (IKTINOSIR.GR)
5. Audit Committee Meetings
According to its Rules of Procedure, the Committee meets at least four (4) times a year. The
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 82
total number of meetings during the year is determined by the requirements for the
performance of the Committee's responsibilities. During 2022, the Audit Committee ceonvened
ten (10) times, on 27.1.2022, 2.2.2022, 24.3.2022, 5.4.2022, 19.4.2022, 23.5.2022, 16.7.2022,
3.8.2022, 7.9.2022 and 7.12.2022.
All the members of the Audit Committee were present at the aforementioned meetings and all
decisions were taken unanimously.
Minutes are kept for each meeting, which is signed by all members of the Audit Committee. It
is worth noting that in addition to the aforementioned meetings, the members of the Audit
Committee had frequent communications and meetings with the Company's chartered
accountant, the Head of the Internal Audit Unit, executive members of the Board, members of
the Management including the Chief Financial Officer, the Commercial Department and the IT
Department in the context of performing their duties in accordance with the Audit Committee
Rules of Procedure and the current legislation.
6. Proceedings of the Audit Committee
In accordance with the provisions of article 44 of law 4449/2017 and the announcements
1302/2017 and 1508/2020 of the Hellenic Capital Market Commission, the main issues that
occupied the Audit Committee during the year 2022 are listed below.
Α. Internal Audit System Structure and Procedures
According to article 44 of law 4449/2017, the main responsibility of the Audit Committee is to
monitor the effectiveness of the internal audit, quality assurance and risk management systems
of the company and, where appropriate, of its internal audit department, regarding the
financial information of the audited entity, without prejudice to the independence of that
entity.
Within its responsibilities, the Audit Committee supervised the Internal Audit Unit and
evaluated the Internal Audit System based on the findings of the audits performed by the
Internal Audit Unit as well as the risk management and regulatory compliance functions and
informed the Board of Directors.
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 83
During the 2022 period the Audit Committee carried out the following:
(a) It was informed by the Head of the Internal Audit Unit regarding the annual audit program
of the Unit on 2.2.2022. The Audit Committee verified that the methodology applied by the
Internal Audit Unit for the preparation of the annual audit program is based on the risk
assessment (risk-based), which examines the existence and adequacy of the audit mechanisms
required to cover the respective risks and that it covers all units, operations, processes and
information systems of the Company. It examined the identified risks and the method of their
evaluation and, based on the picture formed by the Audit Committee regarding the audit
environment, the structure, organization and operation of the Company, it considered that the
review and evaluation of the risks is adequate and effective. The overall timetable and dates
for the submission of quarterly reports were discussed and the Annual Audit Program was
approved.
(b) During its work, the Audit Committee reviewed the independence of the Internal Audit Unit,
judging both in relation to the observance of the independence criteria of its Head and by the
way of operation and execution of its daily tasks. It found that the Internal Audit Unit is
formally and substantially functionally independent and does not belong to any other
organizational unit of the Company.
(c) During its evaluation, the Audit Committee reviewed the policies and operations manual of
the Internal Audit Unit, the organizational chart of the Company in order to understand the
reference lines of the Head of Internal Audit, other manuals and policies, the manner of
exercising the duties of the Head of Internal Audit, review of practices, the standards on which
he relied on for the preparation of audits and in general his overall conduct and presence in
the Company and did not identify conditions hindering the independence or impartiality of the
Head of the Internal Audit Unit.
(d) The Audit Committee monitored the implementation of the annual audit plan, through the
quarterly reports of the Head of the Internal Audit Unit. For the exercise of his duties the Head
of the Internal Audit Unit follows the current legislation, the International Standards for the
Professional Practice of Internal Auditing of the Institute of Internal Auditors, the decisions of
the Management and the Audit Committee. During the meetings, the findings of the Internal
Audit Unit were discussed regarding the audits that were carried out for the fourth quarter of
2021 and the first, second and third quarter of 2022. The reports on the fourth quarter of 2022
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 84
were discussed in the beginning of 2023. Among other things, the audits of the Internal Audit
Unit concerned the completeness of internal procedures, audit of subsidiaries, sales,
maintenance procedures, cash available, supplies, compliance with the corporate governance
framework, operation of factories and quarries (inventories, monthly reports, security
measures, the computer system, expenses, maintenance, segregation of responsibilities, staff
training, correctness of data in computer systems, consumables and supplies etc.) and the
operation of the Financial Department. The work of the Unit also included the results of follow-
up audits and the course of implementation of various actions as well as the provision of
advisory support on various issues such as inventory procedures, the adoption of procedures
regarding bulk marble tracking etc.
The Audit Committee periodically informed the Board of Directors regarding the results of the
Internal Audit Unit's audits..
(e) In the context of the annual evaluation report of the Company's Internal Audit System
regarding the period 1.1.2021-31.12.2021 which was prepared in the context of its meeting on
5.4.2022 the Audit Committee:
• Provided an assessment of the Head of the Internal Audit Unit and the operation of the Unit in
terms of independence and impartiality, adequacy of staff and training and in general the value
it gives to ensuring the integrity, adequacy and efficiency of the Internal Audit System. It also
presented conclusions regarding the operation of the Internal Audit, the adequacy of staffing
and the audit program.
• Evaluated the Company's audit environment (BoD composition, organizational structure, BoD
functions, human resources, etc.)
• Reviewed the overall function of risk management as carried out within the Company and
mainly the Risk Management and Regulatory Compliance Officer and presented the actions
taken by the unit that had to do with the creation of a risk assessment register, recording of
risk identification and assessment methodologies, the meetings with the management and
other executives and the diagnostic checks it carried out in order to identify the relevant risks.
• Monitored the effectiveness of the Company's regulatory compliance function through mainly
audits carried out by the Internal Audit Unit as well as the Risk Management and Regulatory
Compliance Unit as well as the role of Management in the monitoring and implementation of
legislation. Deviations in relation to the Corporate Governance Code applied by the Company
were also examined.
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 85
The annual evaluation report of the Internal Audit System as well as the operation of risk
management and regulatory compliance of the Company regarding the period 1.1.2022-
31.12.2022 and the preparation of the relevant report of the Audit Committee is expected to
be completed in April 2023.
We note that as provided for in the provisions of paragraph i of paragraph 3 and paragraph 4
of article 14 of Law 4706/2020 and Decision 1/891/30.09.2020 of the Board of Directors of the
Capital Market Commission, the Audit Committee during 2022 acted regarding the selection of
the auditing company that evaluated the adequacy and effectiveness of the Internal Audit
System and made its recommendation to the Board of Directors, participated in meetings with
prospective evaluators and evaluated their technical competence, experience, methodology,
independence, determined the scope of the audit, participated in preliminary meetings with the
evaluator and in meetings regarding the progress of the works and information on any
preliminary findings. We note that within the first quarter of 2023, the evaluator presented to
the Audit Committee the results of the evaluation and reviewed a draft of his reports (summary
and detailed).
Finally, we mention that the Audit Committee carried out the annual evaluation of the Head of
the Internal Audit Unit in relation to its performance. The evaluation was carried out using a
questionnaire, which was completed by each member of the Committee independently, as well
as a self-evaluation by the Head under evaluation. Then the individual questionnaires were
collected and a combination of the answers was carried out in order to identify the main points
but also any weaknesses that need to be corrected regarding the performance of the Head and
the way of organization, operation and efficiency of the functions of the Unit under
consideration. Issues arising from the evaluation were discussed and areas for improvement
were identified.
Β. Financial Information - External audit
With regard to its responsibilities regarding the supervision of the preparation and audit of the
Financial Statements , during the period from 1.1.2022 to 31.12.2022 the Audit Committee met
three (3) times with the statutory certified auditor as well as with members of the Company's
Management and proceeded as follows:
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 86
(a) In accordance with article 16 par. 2 of regulation 537/2014 and article 44 par. 3 par. f of
law 4449/2017, after considering the offer of the auditing firm "Grant Thornton Chartered
Accountants and Management Consultants Societe Anonyme" and taking into account that the
time limits of article 17 par. 1 of regulation 537/2014 or articles 42 par. 4 and 48 of law
4449/2017 and the directive issued by HAASOB on 7.4.2020 were not exceeded, the Audit
Committee recommended to the Board of Directors of the Company the renewal of the
appointment of the above company for the audit of the annual corporate financial and
consolidated financial statements, the review of the semi-annual financial statements, the tax
audit for the issuance of the tax certificate under Article 65A of the Code of Tax Procedure and
the audit of the 2022 earnings report. In this context, the Audit Committee evaluated on the
substance and from a financial point of view the offer of the auditing company, its cooperation
until then, the independence of the auditing company according to the Code of Professional
Ethics of the International Federation of Accountants [HAASOB (ELTE) Regulatory Act
004/2017, Government Gazette Β' 3916/07.11.2017] as well as in accordance with the relevant
provisions of Directive 2014/56 / EU and Regulation (EU) no. 537/2014 of the European
Parliament and of the Council and Law 4449/2017 and in general the adequacy of the statutory
auditor and the proposed audit team as well as the methodological approach.
(b) It was informed by the Certified Public Accountants of the Company regarding the audit
planning for the year 2021 (beginning of February 2022), the schedules and the audit teams,
the audit approach for both the parent company and the subsidiaries, the audit scope, the
method of determining the essential size, the important audit issues, how to assess the most
significant risks and the proposed audit procedures for the issuance of the annual and semi-
annual financial statements. The Audit Committee considered that the planning of the audit is
satisfactory in relation to the identified risks, the audit team has the knowledge and experience
in relation to the audit issues and the planned safeguards set by the audit firm are considered
satisfactory for ensuring the independence and quality of the audit contribution.
(c) In collaboration with the competent bodies of the Management, it examined the financial
statements of the Company (corporate and consolidated) for the 2021 period, which were
prepared in accordance with the International Financial Reporting Standards (IFRS) to obtain a
reasonable assurance regarding the completeness and consistency of the financial statements,
based on communications and discussions with the Financial Management, review of the
information systems, evaluation of the Internal Audit System as to the preparation of the
Financial Statements and communications with the statutory auditors regarding the course of
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 87
their work and any audit findings. As a result, the Audit Committee prepared and submitted a
report to the Board of Directors assessing the completeness and consistency of the financial
statements, in accordance with the information provided to its members..
(d) During 2022, the Audit Committee met with the certified auditor of the Company and the
Management in the context of the process of completion and publication of the financial
statements of 31.12.2021 respectively. Particular emphasis was placed on the Key Audit
Matters, i.e. the assessment of the recoverability of trade receivables and the valuation of
inventories and the safeguard procedures applied by the auditors as well as in other important
areas such as the classification of loan liabilities, impairment of participations, the capitalization
of research and extraction costs of mineral wealth, the effects of Covid-19, on the effectiveness
of the Company's cooperation with the auditor and in general the evaluation of the Internal
Audit System. In this context, the Audit Committee also received the Supplementary Report to
the Audit Committee, provided in Article 11 of Regulation (EU) no. 537/2014..
(e) Upon completion of the audit of the financial statements for the year 2021, the Audit
Committee submitted to the Board of Directors a report explaining the contribution of the
statutory audit in general to the quality and integrity of the financial information, including the
relevant disclosures, approved by the BoD and made public as well as the role of the Audit
Committee in this process. In this context, the overall contribution of the audit in terms of
obtaining assurance on the financial statements, the quality of deliverables and presentations,
the assessment of independence and quality assurance, the qualifications of the team, the
general approach and communication, etc. were evaluated, as well as the contribution of the
audit to the identification of weaknesses of the Internal Audit System, the detection of findings
that were identified and corrected, the review of impairment checks, the confirmation of
balances, the confirmation of Management crises (e.g. in relation to provisions), information
regarding the new regulatory framework and in general the assurance of the preparation of the
financial statements in accordance with the current regulatory framework and the accounting
standards followed by the Company and the Group. In this regard, the contribution of
independent certified appraisers who valued the real estate of the Company and the Group
was also important.
(f) During 2022, the Audit Committee met with the certified auditor of the Company in the
context of the review process of the financial statements of the six-month period that ended on
30.6.2021. During the meeting, in addition to the presentation of the Company's performance
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 88
in the semester, analyses for key review areas, i.e. the impact of IAS 19, the evolution of other
customers, the course of loan obligations and other issues were examined and the Audit
Committee received the review report. The Audit Committee decided the positive
recommendation to the Board of Directors regarding the approval of the financial statements
for the first half of 2022.
(g) The Audit Committee was informed by the financial management and the Certified Auditors
regarding the results of their audit for the issuance of a tax certificate for the year 2022 as well
as those of the IT audit. During the presentation, the methodology of the audit work that was
followed per audited category and the results of the audit were reported, and the results of
their work were discussed with the members of the Committee and the necessary clarifications
were given to the questions asked.
(h) Regarding the adequacy of the disclosures of the risks presented in the Financial
Statements, the Audit Committee had discussions with the Financial Management and
evaluated the work of the Head of Internal Audit regarding the risk management process and
considered that no disclosure of additional risks is required.
(i) The Audit Committee also examined the non-financial information report of the
management report for the year 2020, having discussed the adequacy and completeness of
the disclosures with the specialized consultant of the Company regarding issues of sustainable
development as mentioned below.
(j) The Audit Committee examined the Corporate Governance Statement for the year 2020
regarding any discrepancies in relation to the Corporate Governance Code followed by the
Company, the responsibilities of its bodies and committees and the characteristics of the
Company's Internal Audit System.
C. Other Assurance Services and Other Non-Audit Services
After reviewing the subject and scope of the proposed non-audit work, the standards
governing their performance, the methodological approach and the proposed fee for the
provision of services as reflected in the respective offers, obtaining assurance for the
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 89
implementation of the regulatory framework and the assessment of potential threats to
independence and safeguards in accordance with Directive 2006/43/EC, as incorporated in Law
4449/2017, from the provision of these services, and after concluding that the object of the
proposed services is not included in the prohibited non-audit services of paragraph 1 of Article
5 of Regulation 537/2014 and the proposed fees do not violate the cap for the provision of fees
for non-audit services in accordance with the HAASOB directive dated 22.10.2018 in relation to
Regulation 537/2014 for the statutory audit of public interest entities and the Law 4449/2017,
the members of the Audit Committee gave its consent for the provision of specific services.
D. Risk Management and Regulatory Compliance
In the context of strengthening the operation of risk management and regulatory compliance,
the company operates an Risk Management and Regulatory Compliance unit which reports to
the Audit Committee.
During the fiscal year 2022, the Audit Committee discussed with its Head, diagnostic reports
related to risk management in the quarries and the factory, the risk register and the
methodology for identifying and assessing risks.
In the context of the operation of the Risk Management and Regulatory Compliance Unit, the
Head submitted to the Audit Committee the annual report of the unit which summarizes the
principles of organization and operation of the unit, the results of the annual risk assessment,
action plans and corrective actions, annual report for its tasks for the year 2022 and the
schedule for the year 2023.
Finally, we mention that the Audit Committee carried out the annual evaluation of the Head of
the Risk Management and Regulatory Compliance Unit. in relation to its performance. Issues
arising from the evaluation were discussed and areas for improvement were identified.
E. Sustainable Development Policy
Corporate Responsibility and Sustainable Development are directly linked to the Company's
business structures and determine the way in which it chooses to proceed towards the
achievement of continuous responsible development. The Company has a Corporate
Responsibility and Sustainable Development Policy and in June 2021, it prepared a sustainable
development report for the year 2021.
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 90
The Company has entered into a partnership with a specialized consultant in order to receive
consulting support in matters of sustainable development and the preparation of a report on
sustainable development. The Audit Committee, in the context of its responsibilities, had a
meeting with this consultant in order to be informed regarding the preparation of a sustainable
development policy as well as the preparation of a corporate responsibility report. During the
meeting, the Company's regulatory obligations, the process of defining an overall ESG strategy
and individual performance targets, the needs for human resources and any technological
equipment required for measuring and monitoring KPIs as well as the process of obtaining
assurance regarding the sustainable development of the Company were discussed.
The business principles of the Company constitute a code of ethics, defining behaviors and
ways of actions as essential parameters for the creation of sustainable value. Key parameters
are the creation of value in the context of business ethics in order to create benefits to all
stakeholders of the organization: shareholders, employees, partners, suppliers, institutions,
society, open and constructive communication and cooperation with all stakeholders aiming for
greater accountability, the provision of innovative and optimal solutions for environmental
protection, the creation of mutual benefit to business partners and cooperation with local
communities for prosperity and local development..
The Company's Corporate Responsibility and Sustainable Development strategy is treated as a
strategic investment and the initiatives taken aim at highlighting responsible business and the
principles of Sustainable Development. Development based on the principles of Sustainable
Development, is the central core of the philosophy and strategy of the Company and its
Management complies with the Greek Code of Sustainability. As presented in detail in the Non-
Financial Information of the Management Report of the Board of Directors, in the context of
the implementation of the sustainable development policy:
• Methods and practices are used that are economically, environmentally and socially
responsible;
• European and international standards for environmental protection are adopted;
• The best available techniques are applied;
• Procedures are implemented for saving natural resources and energy, for reducing gas emissions
and properly managing waste;
• Programs are implemented to support society as a whole with special emphasis on local
communities;
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 91
• Programs for the health and safety of staff are adopted with careful supervision, as well as
training and continuing learning programs;
• A framework is created to strengthen green and innovative entrepreneurship in the industry.
7. Evaluation of the effectiveness of the operation of the Audit Committee
In accordance with the corporate governance code and operating regulations, the Audit
Committee carried out the first annual self-assessment of its effectiveness and efficiency in July
2022. The self-assessment was carried out using a questionnaire, which was completed by
each member of the Committee independently. The individual questionnaires were then
collected and a combination of the answers was carried out in order to identify the main points
and any weaknesses that need to be corrected regarding the way the Committee is organized
and operated. Following a discussion on the results of the evaluation, the Audit Committee
reached certain conclusions and areas for improvement were noted. During its next evaluation,
the Audit Committee will also take into account the conclusions obtained from the assessment
of the adequacy and effectiveness of the Company's Internal Audit System carried out in the
context of paragraph 3(i) and paragraph 4 of article 14 of Law 4706/2020 and will determine a
corrective action plan.
The members of the Audit Committee of IKTINOS HELLAS S.A.
Petinis Vasileios
Koutoupis Andreas
Meintani Angeliki
Metamorfosi, 3 April 2023
Remuneration & Nominations Committee
The Remuneration & Nominations Committee assists the Board of Directors in relation to the
promotion of nominations for the members of the Board of Directors and on the other hand to
the issues of remuneration of the members of the Board of Directors and the executives of the
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 92
Company. The Committee is appointed by the Board of Directors of the Company and consists of
at least three (3) non-executive members of which at least two (2) are independent non-
executive. Independent non-executive members of the Board of Directors always constitute the
majority of the members of the Committee..
The current composition of the Company’s Remuneration & Nominations Committee was
determined by virtue of no. 677/24.05.2022 resolution of the BoD and consists of the following
members:
Andreas Koutoupis
Chairman of the Committee, Independent Non-
Executive Member of the Board of Directors
Lydia Chaida
Member of the Committee, Vice Chairman Non-
Executive Member of the Board of Directors
Angeliki Meintani
Member of the Committee, Non-Executive Member of
the Board of Directors
Its term is defined until April 1, 2026 and is automatically extended until the first regular meeting
after the end of their term.
The Remuneration & Nominations Committee during the year met seven (7) times with all its
members present (i.e. 100% participation).
The Remuneration & Nominations Committee operates in accordance with its Rules of Procedure,
which has been posted on the Company's website.
RULES OF PROCEDURE OF THE REMUNERATION AND NOMINATION COMMITTEE.PDF
(IKTINOSIR.GR)
2022 Annual Report of the Remuneration and Candidates Nomination Committee of
the Company IKTINOS HELLAS SA
The company IKTINOS HELLAS is a Greek societe anonyme and is the parent company of the
group. It was founded on 12/03/1974 by the Architect Engineer Evangelos Nik. Chaida, who
remains the main shareholder today. It operates under the name "IKTINOS TECHNIKI KAI
"Company". The duration of the Company following a decision of the General Meeting of its
shareholders, on 12/01/1999, was extended until 11/03/2049.
Following the provisions of paragraph 2 of article 10 of L.4706/2020, which clarifies that the
responsibilities of the Remuneration and the Nomination Committee may be assigned to a
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 93
committee, the Company appointed the Remuneration and Nomination Committee, hereinafter
the "Committee", with responsibilities as defined in articles 11 and 12 of L.4706/2020 and articles
109 to 112 of L. 4548/2018. This is documented by the decision of the Board of Directors dated
30/06/2021, according to the minutes No. 666 and in compliance with the provisions of Law
4706/2020 "Corporate governance of public limited companies, modern capital market,
incorporation into Greek legislation of the Directive (EU) 2017/828 of the European Parliament
and of the Council, measures to implement Regulation (EU) 2017/1131 and other provisions".
The Committee with its existing composition, was reformed for operational reasons by
appointing Mrs. Lydia Chaida, as evidenced by the relevant minutes Νο 7 of 24/05/2022 pursuant
to No. 677/24-5-2022 resolution of the Board. The Remuneration and Nomination Committee
operates as a single committee of the Board of Directors, consisting of three non-executive
members of the Board of Directors, most of whom are independent and for a term until April 1,
2026 and is automatically extended until the first ordinary meeting after the end of their term of
office.
It is noted that the Company had proceeded
• In the drafting of the Remuneration Policy, based on the existing provisions of articles
110 - 111 of law 4548/2018, which was presented to the Board of Directors of the Company and
by unanimous vote, was proposed for approval by the decision of the Board of Directors at the
Ordinary General Meeting of the Company shareholders, where it was approved, as documented
by its decision of 03.07.2020. This Policy was updated by the resolution of the Ordinary General
Meeting dated 16.06.2022, in order to include the remuneration of executives.
• With the recommendation of the Remuneration and Nomination Committee, as it
operated with its previous composition, in the drafting of the Suitability Policy of the members of
the Board of Directors (the "Suitability Policy"), based on the provisions of article 3 of law
4706/2020 and circular no.60 of the Hellenic Capital Market Commission on "Guidelines for the
Suitability Policy of Article 3 of Law 4706/2020", which was presented to the Board of Directors of
the Company and by unanimous vote, was proposed by the decision No. 665/4.6.2021 of the
Board of Directors for approval at the Ordinary General Meeting of the Company's shareholders,
where it was approved, as documented by the decision no. 92/30.6.2021.
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 94
The Committee, applying the Company's Suitability and Remuneration Policies, is in charge of the
nomination process for the election of members of the Board of Directors and the selection of
senior executives and prepares proposals to the Board of Directors regarding the remuneration of
its members and key senior executives in accordance with applicable regulations.
1. Purpose and Responsibilities of the Remuneration and Nomination Committee
The Remuneration and Nomination Committee aims to support the Board of Directors (hereinafter
referred to as the "BoD") and to oversee the procedures for compliance with the legal and
regulatory framework regarding the Company's Policies as follows:
Remuneration Policy: Drafting proposals to the Board of Directors regarding the remuneration
of the persons that fall within the scope of the remuneration policy, according to article 110 of
law 4548/2018, and regarding the remuneration of the Company's executives, especially the head
of the Internal Audit Unit. The Committee is also responsible for informing and supporting the
Board of Directors with specialized and independent advice on the planning, review, update and
implementation of the Remuneration Policy, which is submitted for approval to the General
Meeting of Shareholders of the Company, in accordance with par. 2 of article 110 of law
4548/2018.
Suitability policy: in accordance with the provisions of article 3 of law 4706/2020 and the
guidelines of the Hellenic Capital Market Commission, it describes the evaluation criteria
regarding the:
• Individual suitability criteria
1) Professional skills, experience, knowledge adequacy
2) Interpersonal skills
3) Reputation, ethics, honesty and integrity
4) Conflict of interests
5) dedication of sufficient time
• Collective suitability criteria
Evaluation process: In order to ensure the sound and prudent management of the Company
by appropriate persons, the members of the Board of Directors are evaluated on an ongoing
basis in terms of their ability to perform their duties adequately and to safeguard the interests of
the Company and stakeholders.
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 95
The responsibilities of the Remuneration and Nomination Committee also include finding,
evaluating and drafting proposals for candidate Managers to fill vacancies in the Company. In this
context, the Committee assesses the adequacy of candidates' skills, experience and knowledge
and whether they meet the requirements of the position.
2. Members of the Committee
The Remuneration and Nomination Committee operates as a single committee of the Board of
Directors, consisting of three non-executive members of the Board of Directors, the majority of
whom are also independent. By virtue of decision no. 677/24.5.2022 of the Company’s Board of
Directors, Mrs. Anastasia Chaida was replaced for operational reasons by Mrs. Lydia Chaida.
Therefore, the current members of the Committee are as follows:
• Andreas Koutoupis, son of Georgios, Chairman of the Committee and an independent non-
executive member of the Board;
• Lydia Chaida daughter of Evangelos, Member of the Committee and non-executive
member of the Board;
• Angeliki Meintani daughter of Alexandros, Member of the Committee and independent non-
executive member of the Board.
3. Committee meetings
During 2022, the members and their participation in the meetings of the Committee were as
follows::
Committee Member
Total
Meetings
Number of
meetings
attended live
and/or by
Teleconference
Percentage (%)
of the meetings
attended
Andreas Koutoupis
(President)
7
7/7
100%
Lydia Chaida (Member)
5
5/5
100%
Angeliki Meintani (Member)
7
7/7
100%
Anastasia Chaida (Member)
2
2/2
100%
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 96
In this context, the Committee met seven (7 ) times in 2022 in full quorum, at its headquarters.
We note that each member of the Committee can duly represent only one other member. In
these cases, the relevant authorization must be provided in writing.
The Committee is in quorum when at least two members are present. The approval of decision-
making requires the majority of its members present and in case of a tie, the vote of the
President of the Commission shall prevail. The Committee may also meet by teleconference, and
the drawing up and signing of minutes by all members of the Committee shall be equivalent to a
meeting and a decision, even if no meeting has taken place. The Committee may also meet on its
own initiative, provided that all its members are present.
In the above meetings all the members were present (i.e. 100% participation) and discussed the
following issues:
Minutes of Meeting dated 4 April 2022
Item 1: Board Evaluation Process
Item 2: Opinion on the Board of Directors remuneration report 2021
Item 3: Proposal to revise the Remuneration Policy
Minutes of Meeting dated 16 May 2022
Item 1: Evaluation of the suitability of Mrs. Lydia Chaida, as a candidate Member of the
Remuneration & Nominations Committee
Minutes of Meeting dated 24 May 2022
Item 1: Reformation of the Remuneration & Nominations Committee into a body
Minutes of Meeting dated 30 May 2022
Item 1: Training plan for Members of the Board of Directors
Minutes of Meeting dated 6 June 2022
Item 1: Remuneration framework for members of the Board of Directors and Executives
Item 2: Opinion on the Board of Directors remuneration report 2021
Item 3: Evaluation of the existing Board of Directors
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 97
Minutes of Meeting dated 7 September 2022
Item 1: Preparation of Board Member Evaluation Process
Minutes of Meeting dated 10 December 2022
Item 1: Discussion on the Progress of the Implementation of the Evaluation Process for Board
Members
All discussions and decisions of the Committee are recorded in minutes, which are signed by the
present members as mentioned above in this report for the year 2022.
4. 2022 Committee Detailed Report
4.1. Proposal for Revision of the Remuneration Policy
The Committee, with its decision of 4/4/2022, recommended to the Board of Directors the
revision of the Remuneration Policy so as to include the remuneration framework of the
managers. Subsequently, the Board of Directors of the Company with a unanimous vote,
proposed the approval of the changes to the Ordinary General Meeting of the Company's
shareholders on 16.06.2022, as this is documented by its 16.06. 2022 decision.
4.2. Earnings Report
The Remuneration and Nominations Committee, in its current composition, in the context of its
duties as described in the minutes of the Committee’s minutes 6/6/2022, carried out the
following:
• Item 1: Framework for the remuneration of members of the Board of Directors and
Executives
• Item 2: Opinion regarding the 2021 Board remuneration report
• Item 3 : Evaluation of the existing Board of Directors
4.3. Evaluation of the Board of Directors
4.3.1 Evaluation Procedure of the Board of Directors
For the assessment of collective suitability, it is taken into account whether the composition of
the Board of Directors reflects apart from the high level of managerial skills, sufficient
management skills to effectively organize its work so as to be able to understand and question
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 98
the administrative practices applied and the decisions made by senior management.
The assessment of the collective suitability takes into account each time the level of adequacy of
the overall composition of the specialized committees of the Board of Directors. Each member of
the Board of Directors is evaluated for the type of knowledge, skills and experience that the
specific person contributes to the collective suitability of the Board of Directors.
In order to promote an appropriate level of differentiation in the Board of Directors and a diverse
group of members, the Company applies diversity criteria when appointing new members of the
Board of Directors. In addition to adequate gender representation, the selection of new members
for the Board of Directors of the Company is not excluded due to discrimination based on gender,
race, color, ethnic or social origin, religion or belief, property, birth, disability, age or sexual
orientation..
The independent non-executive members of the Board of Directors and the Committee Members
meet the independence criteria of Article 9 of Law 4706/2020, as they have responsibly declared.
These criteria are part of the evaluation process of the Board members that took place.
The Committee started this process in the 4
th
quarter of 2022 with the aim of completing it within
the 1
st
quarter of 2023, in order to:
• implement the annual evaluation of Members of the Board of Directors, before the publication of
the 2022 Financial Statements;
• prepare the 202e Training Plan of the Members of the Board of Directors, taking into account
the results of the evaluation that will take place;
• check and revise the Remuneration Policy and the Suitability Policy and in case of changes, to
propose its approval to the Board of Directors and the General Meeting.
The evaluation process of the members of the Board of Directors was discussed at a meeting of the
Committee on 07/09/2022 where it was determined that it will be based on the following evidence:
• Member evaluation and self-evaluation questionnaires
• Member CV
• Statement of Notification and Acceptance of the Conflict of Interests Policy
• Declaration of Conflict of Interest
• Declaration of Independence (independent non-executive members of the Board)
• Solemn Declaration (Article 3 par.4,5 and 6 L. 4706/2020 - That a final court decision has not been
issued within one (1) year, before or after his election respectively, finding him guilty for loss-
making transactions between a company or an unlisted company of law 4548/2018, with related
parties.)
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 99
4.3.2 Implementation of the Evaluation Process of the Board of Directors
Based on the above, the Committee started the process of preparing the Questionnaires and
collecting the necessary documents to complete the evaluation process of the Board members.
The implementation progress was discussed at the Committee meeting on 10/12/2022. The
process was finally completed and discussed at a Committee meeting before the publication of
the 2022 financial statements.
The discussion and related decisions were recorded in the minutes of the Committee on
3/4/2023.
4.3.3 Result of the Evaluation of the Board of Directors
During this evaluation, the Committee examined and verified the fulfillment of the conditions for
the existing members of the Audit Committee, in terms of the suitability criteria adopted by the
Company, in the updated operating regulations as well as in the current Suitability Policy, as well
as the instructions given by the Hellenic Capital Market Commission. Specifically and in
accordance with article 9 par. 3 of law 4706/2020, the Committee reviewed the fulfillment of the
conditions of independence of its independent non-executive members, which was verified and a
relevant finding is included in the 2022 Annual Financial Report.
Sincerely,
Chairman of the Remuneration and Nomination Committee Members
Andreas Koutoupis Lydia Chaida
Angeliki Meintani
Metamorfosi 4/4/2023
Description of main characteristics of the Company's Internal Audit and Risk
Management Systems in relation to the process of preparation of the financial
statements.
Internal Audit System
Internal Audit System is defined as the set of internal control mechanisms and procedures,
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 100
including risk management, regulatory compliance and internal audit, which covers all activities of
the Company and contributes to its safe and efficient operation on a continuous basis.
Under the responsibility of the Board of Directors, the Internal Audit System is evaluated
periodically based on the approved evaluation policy and procedure followed by the Company.
The policy includes the general principles regarding the subject matter and regularity of the
Internal Audit System, the scope of the audit, any significant subsidiaries that will be included in
the evaluation, the assignment and the monitoring of the evaluation results.
Internal Audit Unit
The Internal Audit Unit is an independent organizational unit within the Company, which monitors
and improves the operations and policies of the Company regarding its Internal Audit System. It
is independent from the other business units of the Company and reports administratively to the
Chief Executive Officer and operationally to the Audit Committee, which is also its supervisory
body.
The head of the Internal Audit Unit is appointed by the Board of Directors of the Company,
following a proposal of the Audit Committee, is a full-time and exclusive employee, personally
and functionally independent and impartial in the performance of his duties and has the
appropriate knowledge and relevant professional experience.
A detailed description of the duties and operating principles of the Unit are included in the
operating regulations of the Unit approved by the Board of Directors of the Company.
Responsibilities of the Internal Audit Unit
The Internal Audit Unit has the following responsibilities:
1. In particular, it monitors, controls and evaluates:
• the implementation of the Internal Operating Regulations and the Internal Audit System,
in particular as to the adequacy and correctness of the provided financial and non-financial
information, risk management, regulatory compliance and the Corporate Governance Code
adopted by the Company,
• compliance with the law,
• corporate governance and
• compliance with the commitments contained in newsletters and the Company's business
plans regarding the use of funds raised from the regulated market.
2. It prepares reports for the audited units with the findings, the risks arising from them and
suggestions for improvement, if any. The above reports, after incorporating the relevant views of
the audited units, the agreed actions, if any, or the acceptance of the risk of non-action by them,
the limitations on its scope of control, if any, the final internal audit proposals and the results of
the response of the audited units of the Company to its proposals, are submitted quarterly to the
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 101
Audit Committee.
3. It submits reports to the Audit Committee at least every three months, including its most
important issues and proposals. In exceptional cases and if circumstances arise, special reports are
submitted upon the recommendation of the Audit Committee. In general, the Head of the IAU
holds regular meetings and communication with the Audit Committee to discuss issues within his /
her competence, as well as problems that may arise from the internal audits.
4. It plays a leading role in the implementation of the monitoring of the Company's Internal Audit
System as well as it examines the effectiveness of the existing security controls.
5. The Head of Unit submits to the Audit Committee an annual audit schedule and the
requirements for necessary resources, as well as the consequences of limiting the resources or
the audit work of the unit in general.
The annual audit program is drawn up based on the assessment of the Company's risks, having
previously taken into account the opinion of the Audit Committee as well as issues highlighted by
the Management and the Audit Committee.
During its work, the Internal Audit Unit has access to any organizational unit of the Company and
has access to any information required for the exercise of its duties.
More specifically, during the performance of his duties, the Head of the Unit has the right to
receive knowledge of any book, document, file, bank account of the Company and to have full and
free access to the files, physical facilities and staff of the Company. He generally has the right to
know any information which is necessary for the performance of his duties.
Regulatory Compliance and Risk Management Unit
The Company has established a Risk Management and Regulatory Compliance Unit, which is on
the one hand responsible for reviewing the risk identification and assessment process and risk
monitoring procedures, and on the other hand, establishes and implements appropriate and up-
to-date policies with appropriate and updated policies and procedures so as to achieve timely the
full and continuous compliance of the Company with the current regulatory framework.
It consists of two parts which function as a single unit. The Risk Management and Regulatory
Compliance Unit is administratively subject to the Chief Executive Officer and reports to the Audit
Committee.
The main responsibilities related to risk management are the following:
• Identifying, evaluating and reporting the most significant risks, as well as finding appropriate
methods to minimize them;
• Preparing and updating the register of risks and security controls;
• Making recommendations in relation to the risk profile and risk appetite of the Company;
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 102
• Making recommendations about risk management policies and procedures;
• Making recommendations about the overall risk management strategy;
• Submitting risk assessment reports and other reports.
In the context of its regulatory compliance responsibilities, the Risk Management and Regulatory
Compliance Unit supports the Internal Audit Unit in risk management and regulatory compliance.
It supervises and coordinates the compliance of the Company with the current regulatory
framework, the rules of the Hellenic Capital Market Commission and other supervisory authorities,
as well as the internal rules that have been adopted.
The Risk Management and Regulatory Compliance Unit in the above context, functions essentially
as a second line defense unit of the rules and procedures for the timely and continuous
compliance of the Company with the current regulatory framework and its internal operating
regulations.
The main responsibilities of the Risk Management and Regulatory Compliance Unit in terms of
regulatory compliance are the following:
• it establishes appropriate and up-to-date policies and procedures, in order to achieve full and
continuous compliance of the Company with the current legal and regulatory framework and to
control the level of achievement of this purpose;
• it monitors and controls the Company's compliance with regulatory and legislative requirements
on an ongoing basis;
• it oversees legislative and regulatory risk support procedures;
• it advises on regulatory issues.
Procedure for compliance with the obligations of articles 99 to 101 of Law 4548/2018
The Company has adopted a procedure of compliance with the obligations arising from articles 99
to 101 of Law 4548/2018, in order, among other things, to ensure that its Board of Directors has
sufficient information to make its decisions regarding transactions between related parties.
Procedure for notifying the transactions of persons exercising managerial duties
In the context of the obligation introduced by Regulation (EU) No. 596/2014 on the obligation to
disclose transactions, and the instructions of the Hellenic Capital Market Commission, the
Company has drafted and implements a Notification Procedure for Transactions of persons who
hold managerial duties and persons who have a close relationship with them.
The procedure describes the relevant institutional framework and the obligations of the liable
persons as defined by it in relation to the disclosure of transactions to the Company and the
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 103
Hellenic Capital Market Commission, the non-execution of transactions in closed periods and
finally the obligation to inform the Company about the persons with which they maintain close
relationships and informing these persons in writing about their respective obligations.
Notification of Dependent Relationships
In the context defined by article 9 of Law 4706/2020 regarding the criteria that must be met by a
member of the Board to be considered independent, the Company applies a Procedure for
Notification of Independent Non-Executive Members of the Board, in order to:
• specify the criteria of independence defined by the current legislation, where it is deemed
necessary;
• identify the information collected by each independent non-executive member of the Board;
• identify actions and those responsible for determining compliance with the independence
criteria.
The relevant procedure states the individual criteria, the regularity of its implementation, the
evaluation process and finally the actions in case of non-compliance.
The Board is entirely responsible for overseeing the implementation of this Procedure, with the
assistance of the Nominations and Corporate Governance Committee..
Related Party Transactions
The Company has developed and implements the Related Party Policy and Procedure in order to
establish the rules and procedures to ensure transparency and effective supervision of the
Company's contracts or transactions with related parties, in compliance with the relevant
institutional and regulatory framework.
Conflict of Interests Policy
The Company has established a Conflict of Interest Policy with the aim of providing clear
guidance on how conflicts of interest are defined, what are the obligations of the liable persons in
relation to them and what are the actions to be taken by the Company to deal with such
situations.
Privileged Information Management
The Company adopts and implements a relevant Privileged Information Management Procedure
that includes the appropriate mechanisms and methodologies regarding the effective and lawful
management of Privileged Information.
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 104
Training of the Board Members & Executives
The Company recognizes the primary role of continuous learning and development, in achieving
its strategic goals. The recognition of training needs is based on the general needs of the
Company, but also based on the specific needs of each executive or Member of the Board, which
arise, i.e. from:
• the annual evaluation of employees and the training needs arising from it;
• the change of the regulatory and legislative framework that governs the operation of the
Company;
• the introduction of new technologies or new equipment.
Sustainable Development Policy
The Company has established and adopts a Sustainable Development Policy which reflects the
framework of sustainable development and in particular the responsibility of the Company in
terms of employee safety, respect for the environment, coexistence with the local community and
meeting the needs of customers. The Policy is governed by the values of the Company,
transparency, integrity, respect, appreciation, honest relationship with customers.
The principles that support the Sustainable Development Framework of the Company are:
• Corporate governance
• Market
• Human resources
• Environment
• Local society
The Company publishes relevant actions and activities during the preparation of the Company's
financial statements in the context of non-financial information. The Sustainable Development
Policy and the corresponding framework are monitored by the Corporate Affairs Department with
the appropriate supervision of the Board.
The Company has issued a sustainable development report for the year 2021 and is already
working on the sustainable development report for 2022. The Athens Stock Exchange included
IKTINOS HELLAS in the recent revision of its indicators for corporate social responsibility &
sustainable development, the environment and corporate governance (Athex ESG index).
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 105
4. Annual Corporate and Consolidated Financial Statements for the period from 1st January
to 31st December 2022
4.1. Total Revenue Statement
1/1-
31/12/2022
1/1-
31/12/2021
1/1-
31/12/2022
1/1-
31/12/2021
Sales
10.19
30,817,987
33,014,672
Cost of Sales
10.20
(22,553,598 )
(22,279,458 )
(19,878,569)
(19,706,916)
Gross Profit
10.21
10,939,418
13,307,756
Other operating revenue
10.20
1,423,329
1,522,631
Costs of disposal
10.20
(5,636,626 )
(5,371,834 )
(5,636,626)
(5,371,834)
Administrative expenses
10.20
(4,927,374 )
(4,803,897 )
(4,793,269)
(4,738,852)
Research and development expenses
10.20
(55,587 )
(20,246 )
(55,587)
(20,246)
Other operating expenses
10.21
(82,654 )
(285,938 )
(40,430)
(268,984)
Profit before Tax Financial and investing Results
1,836,836
4,430,471
Financial Revenues
10.22
108,475
250,000
Financial Expenses
10.20
(1,845,846 )
(1,856,847 )
(1,821,024)
(1,792,336)
Other Financial Results
10.23
13,710
181,096
Investment activity results
10.24
(134,166 )
0
0
Net Profit / (Loss) before tax
137,997
3,069,231
Income tax
10.25
(334,183 )
(170,549 )
(339,725)
(973,715)
Net Profit / (Loss) after tax (from continuing &
discontinued operations)
(325,956 )
(201,728)
2,095,516
Other Comprehensive Income:
Amounts that are not reclassified in
the Profit-Loss Statements in
subsequent periods:
Change from deferred tax
72,465
Actuarial Results
34,651
6,185
Income taxes on items of other comprehensive income
(8,048 )
(1,333 )
(7,623)
(1,361)
Total Other Comprehensive Income after tax
27,027
77,289
Total Comprehensive Income after tax
(297,421 )
(174,701)
2,172,805
Total Comprehensive profit-loss
after tax attributable to:
Owners of the Parent Company
(276,568 )
(174,701)
2,172,805
Non-controlling Interests
(20,853 )
(5,873 )
Profit after taxes of period attributed to
Owners of the Parent Company
(304,952 )
(201,728)
2,095,516
Non-controlling Interests
(21,004 )
(6,490 )
Main Earnings per Share attributable to Owners of the
Parent Company
-0.0027
-0.0018
0.0184
Summary of profit-loss of the period:
Profit before tax, Financial, Investment
Results and Depreciation
4,269,806
7,271,369
The accompanying notes form an integral part of these Annual Corporate and Consolidated Financial Statements.
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 106
4.2. Statement of Financial Position
GROUP
COMPANY
Assets
31/12/2022
31/12/2021
31/12/2022
31/12/2021
Non-Current Assets
Tangible fixed assets
10.1
24,266,472
24,408,827
Property Investments
10.3
102,000
102,000
Intangible assets
10.2
10,437,443
8,157,864
Investments in subsidiaries
10.4
29,967,109
29,921,109
Deferred tax assets
10.5
2,993,880
2,925,554
Other long-term receivables
33,165
35,655
67,800,069
65,551,009
Current Assets
Reserve
10.7
23,734,630
23,909,741
Customers and other trade receivables
10.8
12,959,423
9,470,324
Other receivables
10.9
2,624,879
2,964,045
Financial assets measured at fair value through profit
and loss
10.28
63,055
49,345
Cash and cash equivalents
10.10
1,448,934
1,383,290
40,830,922
37,776,745
Total Assets
108,630,991
103,327,754
Own Equity & Liabilities
Own Equity
Share Capital
10.11
11,432,040
11,432,040
Premium Equity
10.11
43,792
43,792
Asset Revaluation differences
10.11
2,901,944
2,901,944
Other Reserves
10.11
9,631,841
9,527,066
Reserve for Own shares
10.11
(181,138 )
(181,138 )
(181,138)
(181,138)
Retained Earnings
10.11
21,920,684
22,200,160
Own Equity attributable to the shareholders of
the Parent Company
45,749,163
45,923,863
Non-controlling Interests
Total Own Equity
45,749,163
45,923,863
Long-Term Liabilities
Long-term debt obligations
10.12
17,924,240
20,534,409
Obligations from financial leases
10.12
1,374,907
914,575
Deferred tax obligations
10.5
746,286
821,354
Employee benefits obligation due to exit from service
10.13
487,133
470,423
Subsidies
10.14
29,212
55,993
Provisions
10.15
227,781
224,036
Total Long-Term Liabilities
20,789,559
23,020,791
Short-Term Liabilities
Suppliers and other obligations
10.16
6,638,639
5,191,533
Current tax liabilities
10.17
833,302
1,032,447
Short-term debt liabilities
10.12
22,616,604
18,288,564
Long-term debt liabilities payable in the next fiscal year
10.12
3,860,163
2,903,497
Short-term liabilities from financial leases
10.12
557,538
815,574
Other short-term liabilities
10.18
7,586,023
6,151,485
Total Short-Term Liabilities
42,092,269
34,383,100
Total Liabilities
62,881,828
57,403,891
Total Own Equity and Liabilities
108,630,991
103,327,754
The accompanying notes form an integral part of these Annual Corporate and Consolidated Financial Statements.
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 107
4.3. Consolidated Statement of Changes in Equity
Adjusted balance 1st January
2021
-181,138
Regular Reserve Formation
-26,508
Usage dividend
-1,138,307
-1,138,307
-1,138,307
Transactions with Owners
-1,164,815
-1,138,307
-1,138,307
Result of Use 1/1 - 31/12/2021
-6,490
Other Total Income for Period 1,1 -
31,12,2021
Aggregate Total Income for the
period 1/1 - 31/12/2021
-5,873
Balance 31/12/2021
-181,138
Adjusted balance 1st January
2022
-181,138
Regular Reserve Formation
-104,776
Usage dividend
Transactions with Owners
-104,776
Result of Use 1/1 - 31/12/2022
-304,952
-304,952
-21,004
-325,956
Other Total Income for Period 1,1 -
31,12,2022
Aggregate Total Income for the
period 1/1 - 31/12/2022
-276,568
-276,568
-20,853
-297,421
Balance 31/12/2022
-181,138
The accompanying notes form an integral part of these Annual Corporate and Consolidated Financial Statements.
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 108
4.4 Corporate Statement of Changes in Equity
Share
Capital
Premium
Capital
Fair value
reserve
Other
reserves
Own Shares
Reserves
Retained
Earnings
Total
Total own equity at the beginning of period
1/1/2021
11,432,040
43,792
2,827,537
9,500,557
(181,138)
21,266,574
44,889,363
Formation of own participation reserve
0
Regular Reserve Formation
26,508
(26,508)
0
Usage dividend
(1,138,305)
(1,138,305)
Transactions with Owners
0
0
0
26,508
0
(1,164,813)
(1,138,305)
Result of Use 1/1 - 31/12/2021
2,095,516
2,095,516
Other Total Income for Period 1,1 - 31,12,2021
74,406,07
2,882
77,288
Aggregate Total Income for Period 1/1 -
31/12/2021
0
0
74,406
0
0
2,098,399
2,172,805
Balance 31/12/2021
11,432,040
43,792
2,901,944
9,527,066
(181,138)
22,200,160
45,923,863
Total own capital at the beginning of the period
1/1/2022
11,432,040
43,792
2,901,944
9,527,066
(181,138)
22,200,160
45,923,863
0
Regular Reserve Formation
104,776
(104,776)
0
Distribution of profits of previous years
0
0
Sale of own shares
0
Transactions with Owners
0
0
0
104,776
0
(104,776)
0
Result of Use 1/1 - 31/12/2022
(201,728)
(201,728)
Other Total Income for Period 1,1 -31,12,2022
0
27,027
27,027
Aggregate Total Income for Period 1/1 -
31/12/2022
0
0
0
0
0
(174,701)
(174,701)
Balance 31/12/2022
11,432,040
43,792
2,901,944
9,631,841
(181,138)
21,920,684
45,749,163
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 109
4.5. Statement of Cash Flows (Indirect Method)
(Amounts in €)
GROUP
COMPANY
2022
2021
2022
2021
Net operating profits/(losses) before taxes
137,997
3,069,231
Plus / minus adjustments for:
Depreciation
2,459,751
2,870,823
Predictions
93,443
75,961
Exchange differences
(5,789 )
(1,310 )
(5,789)
(1,310)
Grant revenue recognized
(569,709 )
(572,852 )
(26,781)
(29,924)
Results (income, expenses, profits and losses) of investment
activity
(10,409 )
(13,710)
(11,288)
Debt interest, related costs and other financial
1,821,024
1,622,527
Income derived from a non-refundable amount of the refundable
advance
(108,475 )
(250,000 )
(108,475)
(250,000)
Reduction / (increase) of stocks
(1,344,694 )
175,111
(1,340,828)
Reduction / (increase) of claims
(2,545,244 )
(1,371,303 )
(3,149,934)
(1,601,303)
(Decrease) / increase in liabilities (except banks)
(2,473,476 )
2,319,099
(2,113,328)
Debt interest and related costs paid
(1,573,793 )
(1,904,469 )
(1,551,096)
(1,835,779)
Taxes paid
(225,336 )
(415,299 )
(205,417)
(395,467)
Total inflows / (outflows) from operating activities (a)
1,945,223
59,315
Investment activities
Acquisition of subsidiaries, relatives, joint ventures and other
investments
(46,000)
(54,000)
Liquidation - Sale of subsidiaries, associates, joint ventures and
other investments
0
0
Purchase of tangible and intangible fixed assets
(3,585,735 )
(1,171,899 )
(3,460,770)
(1,014,620)
Receipts from sales of tangible and intangible assets
15,348
90,436
Buying investment properties
0
0
Total inflows / (outflows) from investment activities (b)
(3,558,832 )
(1,046,290 )
(3,491,421)
(978,184)
Funding activities
Proceeds from share capital increase
0
0
Receipts from investment grants
0
9,094
Receipts from loans issued / taken out
12,088,107
15,457,818
Loan repayments
(11,945,828 )
(15,235,551 )
(9,426,014)
(14,063,588)
Payments of liabilities from financial leases (debts)
(1,050,251 )
(994,581 )
(1,050,251)
(994,581)
Dividends paid
(1,134,612 )
0
(1,134,612)
Total inflows / (outflows) from financing activities (c)
(1,897,832 )
1,611,842
(725,869)
Net increase / (decrease) in cash and cash equivalents for
the period (a) + (b) + (c)
(1,968,363 )
65,644
(1,644,738)
Beginning of period cash and cash equivalents
1,383,290
3,028,028
Cash and cash equivalents at the end of the period
1,448,934
1,383,290
The accompanying notes form an integral part of these Annual Corporate and Consolidated Financial Statements.
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 110
5. Information about the Group
5.1. General information
The company Iktinos Hellas is a Greek société anonyme and constitutes the parent company of the group.
It was established on 12/03/1974 by the Architect-Mechanic Evangelos Nik. Chaidas, who to date remains
the principal shareholder. It operates under the corporate name “IKTINOS TECHNIKI & TOURISTIKI
Co. (E.P.E.)).
The Group’s seat is in Metamorfossi Attica (7, Lykovrisseos str., P.C. 144 52) . The company’s shares were
listed in the Athens Stock Market in 2000.
The Company’s term, following a decision of the General Meeting of its shareholders on 12/01/1999, was
extended until 11/03/2049.
The 2022 annual financial statements of the Group and the Company have been approved at the meeting
of the Board of Directors on 26.04.2023 and are subject to the final approval of the Ordinary General
Meeting of Shareholders.
5.2. Nature of Operations
The objective of the company, as such is defined in article 2 of the company’s articles of association is as
follows:
Objective of the Company is:
➢ The exploitation in general of marble quarries, granites, decorative rocks, inert materials and
related matters and byproducts, as well as the research, opening, shaping or exploitation of those
quarries through a contracting or any other form of relationship, as well as the provision of know-
how services.
➢ The cutting and processing, in any manner, of those products.
➢ The aforementioned products’ export abroad.
➢ The aforementioned products’ trade domestically.
➢ The conduct of any similar of related commercial activity, which is connected to the above objects.
➢ The conclusion of work contracts, for placing all of the aforementioned products in all kinds of
construction works both inlands as well as abroad.
➢ The construction of all types of buildings, in owned or foreign properties, particularly via the known
and common in transactions “flats-for-land” exchange system (“antiparochi”), the purchase and sale
of property, the undertaking of any kind of technical works or studies, in combination or even
separately, both inlands and abroad, on behalf of legal or natural persons of the State, Public
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 111
Organizations as well as public utility Organizations, public law legal entities, etc., as well as the
industry of construction materials industry and technical works materials, in general.
➢ The exercise of any type of Touristic Businesses, particularly those regarding the construction and
operation of hotels of sleep and food, of hostels, lodges, settlements, beaches and, in general of
areas on the seaside, or not, in Greece or abroad, and, in fact, either or owned or leased
properties.
➢ The undertaking of commercial agencies of any kind and subject matter, as well as the
representation of various houses and businesses of the country or foreign, as well as the
distribution, against consideration, of any object related to the objective of the company.
➢ The production and trade of construction materials, their import as well as their export.
➢ Production and exploitation of electric power out of renewable sources of energy (RSE), such as
aeolian energy, solar energy, waves’ energy, tidal energy, biomass, gases emitted out of landfill
sites and waste treatment plants, biogases, geothermal energy, hydraulic energy exploited by
hydropower stations, as well as photovoltaic energy.
➢ The participation, in any manner and under any legal form, in any related, similar or identical,
businesses, which operate individually or under a corporate form, that have been already
established or are about to be established wither by it or by other persons, with the same objective
or objectives related to those mentioned in the present article.
➢ All the aforementioned objectives of the company are acted on both in the interior of Greece as well
as in any other foreign country.
By the extraordinary General Meeting of Shareholders of 20th March 2012, the objective of the
Company was extended as follows:
➢ “Production and trade of agricultural products in Greece and abroad, whether these are produced in
of related, similar or identical businesses, which operate individually or under a corporate form, that
have been already established or are about to be established wither by it or by other persons, with
the same objective or objectives related to those mentioned in the present article.”
The main sector in which IKTINOS HELLAS S.A. is business active today is the sector of marble quarrying,
processing and trade in marbles and granites and other decorative materials.
5.3. Participations in other companies
IKTINOS HELLAS S.A. participates, directly and indirectly, in the following companies:
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 112
FEIDIAS HELLAS A.V.E.E.
The company was established in 1981 as a Limited Liability Company (E.P.E.), while in 1986 it was
transformed into an A.V.E.E. Its seat is at Vrilissia Municipality, Attica, at 12A, Tinou str. Its primary object
of business is marble processing, particularly the section of blocks, mainly for third parties. (piecework), as
well as the export of the aforementioned products abroad, any similar of related work, which is connected
to the above objects. Finally, an object of activity is also the conclusion of work contracts, for placing all of
the aforementioned products in all kinds of construction works.
KALLITECHNOKRATIS E.P.E.
The KALLITECHNOKRATIS PROVISION OF SERVICES E.P.E. company was established in 1999.
KALLITECHNOKRATIS E.P.E is seated at Metamorfossi, Attica and its offices are at 7, Lykovrissis str. The
company’s objective is the development of e sales and marbles network abroad. Its business plan has been
approved by the ministry for Development and it has been included in the subsidies of the Industry
Business Plan (subprogram 4, measure 2, action 9 – CLUSTERS Networks). IKTINOS HELLAS SA
participates in this company by 25% and FEIDIAS HELLAS SA by 5%. The ministry of Development has
rejected the approval of the subsidies and KALLITECHNOKRATIS E.P.E. has appealed to the Council of
State. It has been put under liquidation.
IDIOTIKI EPICHEIRISI ILEKTRISMOU S.A. (IDEI S.A.)
IKTINOS HELLAS S.A., in the context of its direct business activity in the aeolian energy, has acquired at a
100% percentage (against a total cost of Euro 2,449,500) on 21/12/2007, the company under the
corporate name IDIOTIKI EPICHEIRISI ILEKTRISMOU S.A. (ELECTRIC POWER PRIVATE CORPORATION
S.A.), whose objective is the production of electric power by any legal manner or means and, particularly,
of the electric power which comes from renewable sources of energy.
LATIRUS ENTERPRISES LIMITED
On 12/12/2006, IKTINOS HELLAS S.A. acquired (for an amount of 8,283 Euro) the Cypriot company named
LATIRUS ENTERPRISES LIMITED, and which transferred the package of shares of IKTINOS TECHNIKI &
TOURISTIKI S.A it owned. Thereafter, an increase of equity Share Capital took place (the total amount of
the equity Share Capital increase amounted to Euro 9,126,557), in which the Cyprus company DolphinCI
Thirteen Limited participated, a 100% subsidiary of the Dolphin Capital Investors LTD investment company,
which is listed in the London Stock Exchange. Through this and from the direct sale of shares, IKTINOS
HELLAS S.A. retained a participation of a percentage of (20.344%) of the shares. IKTINOS HELLAS
proceeded to purchase 79,656 % of Latirus Ltd for 14,000,000 Euro from DolphinCi Thirteen Ltd on
30/3/2018. After the acquisition, IKTINOS HELLAS owns 100% of Latirus Ltd and is the sole shareholder.
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 113
AIOLIKI MEGA ISOMA S.A.
In the context of its business activity in the aeolian energy, IKTINOS HELLAS S.A. proceeded to establish
by deed of incorporation no 8497/21-1-2010, at a 100% percentage, the “AIOLIKI MEGA ISOMA
ELECTRICITY PRODUCTION SOCIETE ANONYME”, whose purpose is the production of electric power in any
legal manner or means and, particularly, of the electric power which comes from renewable sources of
energy.
The Extraordinary General Meeting of the company's shareholders dated 29/12/2021 decided to suspend
its operations. The strong reaction from the local communities to the installation of wind farms, the
reduced and non-guaranteed sale price of electric energy as well as the high cost of maintaining the
existing licenses led to the revision of the further activity in the wind energy sector. The company had
virtually ceased its business and there was no prospect of resuming operations and was subsequently
liquidated.
On 31/12/2021 the decision with number 13293/31-12-2021 of the Chamber of the GEMI Service (ΑΔΑ:
ΨΘΜΦ469ΗΕΘ-Ι89) was registered with KAK 2766644 in the General Commercial Register (G.E.M.I.), with
which the resolution of the company under the name “AIOLIKI MEGA ISOMA SOLE SHAREHOLDER
ELECTRICITY PRODUCTION SOCIETE ANONYME” and the distinctive title “AIOLIKI MEGA ISOMA S.A.” with
GEMI No. 124526201000, according to a relevant decision of the Extraordinary General Meeting of the
Shareholder dated 29/12/2021.
On 08/12/2022 the minutes of the General meeting dated 05/12/2022 was registered with ΚΑΚ 3352981 in
the General Commercial Register (G.E.M.I.), which approved the final balance sheet after liquidation as of
05/12/2022 of the Societe Anonyme under the name “(UNDER LIQUIDATION) AIOLIKI MEGA ISOMA SOLE
SHAREHOLDER ELECTRICITY PRODUCTION SOCIETE ANONYME” and the distinctive title “(UNDER
LIQUIDATION) AIOLIKI MEGA ISOMA S.A” and GEMI No 124526201000.
The result of the liquidation in the individual statements of the company "AIOLIKI MEGA ISOMA S.A." is
84,682 euro loss.
Subsequently, the company was deleted from GEMI due to the approval of the liquidation balance sheet.
AIOLIKI LYKOFOLIA S.A.
In the context of its business activity in the aeolian energy, IKTINOS HELLAS S.A. proceeded to establish
by deed of incorporation no 8854/24-2-2011, at a 100% percentage, the “AIOLIKI LYKOFOLIA
ELECTRICITY PRODUCTION SOCIETE ANONYME”, whose purpose is the production of electric power in any
legal manner or means and, particularly, of the electric power which comes from renewable sources of
energy. The company modified the existing production license from 9 MW to 3 MW in order to get a
guaranteed sale price for the generated electric energy.
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 114
AIOLIKI MAVROLITHARO
In the context of its business activity in the aeolian energy, IKTINOS HELLAS S.A. proceeded to establish
by deed of incorporation no 8855/24-2-2011, at a 100% percentage, the “AIOLIKI MAVROLITHARO
ELECTRICITY PRODUCTION SOCIETE ANONYME””, whose purpose is the production of electric power in
any legal manner or means and, particularly, of the electric power which comes from renewable sources of
energy.
The Extraordinary General Meeting of the company's shareholders dated 12/1/2022 decided to suspend its
operations. The strong reaction from the local communities to the installation of wind farms, the reduced
and non-guaranteed sale price of electric energy as well as the high cost of maintaining the existing
licenses led to the revision of the further activity in the wind energy sector. The company had virtually
ceased its business and there was no prospect of resuming operations and was subsequently liquidated.
On 18/1/2022 the decision with number 557/18-1-2022 of the Chamber of the GEMI Service (ΑΔΑ:
6640469ΗΕΘ-Υ5Η) was registered with KAK 2778674 in the General Commercial Register (G.E.M.I.), with
which the resolution of the company under the name “AIOLIKI MAVROLITHARO ELECTRICITY
PRODUCTION SOCIETE ANONYME” and the distinctive title “AIOLIKI MAVROLITHARO S.A.” with GEMI No.
118804701000, according to a relevant decision of the Extraordinary General Meeting of the Shareholder
dated 12/1/2021.
On 09/11/2022 the minutes of the General meeting dated 09/11/2022 was registered with ΚΑΚ 3248116 in
the General Commercial Register (G.E.M.I.), which approved the final balance sheet after liquidation as of
09/11/2022 of the Societe Anonyme under the name “(UNDER LIQUIDATION) AIOLIKI MAVROLITHARO
ELECTRICITY PRODUCTION SOCIETE ANONYME” and the distinctive title “(UNDER LIQUIDATION) AIOLIKI
MAVROLITHARO” and GEMI No 118804701000.
The result of the liquidation in the individual statements of the company "AIOLIKI MAVROLITHARO S.A." is
49,145 euro loss.
Subsequently, the company was deleted from GEMI due to the approval of the liquidation balance sheet.
AIOLIKI SYNORA
In the context of its business activity in the aeolian energy, IKTINOS HELLAS S.A. proceeded to establish
by deed of incorporation no 9377/21-3-2013, at a 100% percentage through its subsidiary company IDEI
S.A., the “AIOLIKI SYNORA ELECTRICITY PRODUCTION SOCIETE ANONYME”, whose purpose is the
production of electric power in any legal manner or means and, particularly, of the electric power which
comes from renewable sources of energy.
The Extraordinary General Meeting of the company's shareholders dated 12/1/2022 decided to suspend its
operations. The strong reaction from the local communities to the installation of wind farms, the reduced
and non-guaranteed sale price of electric energy as well as the high cost of maintaining the existing
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 115
licenses led to the revision of the further activity in the wind energy sector. The company had virtually
ceased its business and there was no prospect of resuming operations and was subsequently liquidated.
On 2/2/2022 the decision with number 988/2-2-2022 of the Chamber of the GEMI Service (ΑΔΑ:
6ΦΞ469ΗΕΘ-799) was registered with KAK 27867711 in the General Commercial Register (G.E.M.I.), with
which the resolution of the company under the name “AIOLIKI SYNORA SOLE SHAREHOLDER
ELECTRICITY PRODUCTION SOCIETE ANONYME” and the distinctive title “AIOLIKI SYNORA S.A.” with
GEMI No. 124658401000, according to a relevant decision of the Extraordinary General Meeting of the
Shareholder dated 12/1/2021.
On 29/11/2022 the minutes of the General meeting dated 09/11/2022 was registered with ΚΑΚ 3341566 in
the General Commercial Register (G.E.M.I.), which approved the final balance sheet after liquidation as of
09/11/2022 of the Societe Anonyme under the name “(UNDER LIQUIDATION) AIOLIKI SYNORA SOLE
SHAREHOLDER ELECTRICITY PRODUCTION SOCIETE ANONYME” and the distinctive title “(UNDER
LIQUIDATION) AIOLIKI SYNORA S.A.” and GEMI No 124658401000.
The result of the liquidation in the individual statements of the company "AIOLIKI SYNORA S.A." is 25,250
euro loss.
Subsequently, the company was deleted from GEMI due to the approval of the liquidation balance sheet
IKTINOS TECHNIKI & TOURISTIKI
IKTINOS TECHNIKI & TOURISTIKI is active in the real estate sector and will develop a touristic
establishment in the location Faneromeni Bay of the Municipality of Sitia in an area of approximately 2,689
acres.
5.4. Companies participating in the consolidated financial statements of the Group
The companies participating in the consolidated financial statements are presented in the following table::
CORPORATE NAME
SEAT
PARTICIPATION
PERCENTAGE
METHOD OF
CONSOLIDATION
IKTINOS HELLAS S.A.
7, Lykovrissis, Metamorfossi Attica
Parent
Full Consolidation
FEIDIAS HELLAS S.A.
12Α, Tinou, Vrilissia Attica
90.00%
Full Consolidation
KALLITECHNOKRATIS E.P.E.
7, Lykovrissis, Metamorfossi Attica
30.00%
Full Consolidation
IDEI S.A.
7, Pangaiou, Drama
100.00%
Full Consolidation
AIOLIKI MEGA ISOMA S.A.
7, Lykovrissis, Metamorfossi Attica
100.00%
Full Consolidation
AIOLIKI MAVROLITHARO
S.A.
7, Lykovrissis, Metamorfossi Attica
100.00%
Full Consolidation
AIOLIKI LYKOFOLIA S.A.
7, Lykovrissis, Metamorfossi Attica
100.00%
Full Consolidation
AIOLIKI SYNORA S.A.
7, Lykovrissis, Metamorfossi Attica
100.00%
Full Consolidation
IKTINOS TECHNIKI &
TOURISTIKI S.A.
7, Lykovrissis, Metamorfossi Attica
97.76%
Full Consolidation
LATIRUS ENTERPRISES Ltd
12, Esperidon, Nicosia
100.00%
Full Consolidation
In the special financial statements of the parent company, the subsidiaries are valued at the acquisition
value.
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 116
Kallitechnokratis Ltd. is integrated with the full consolidation method because the parent company has
control.
6. Framework of preparation of financial statements
6.1 General framework of preparation
The consolidated financial statements of IKTINOS HELLAS S.A. have been prepared on the basis of the
principle the going concern and are in accordance with the International Financial Reporting Standards
(IFRS) that have been issued by the International Accounting Standards Board (IASB), as well as with their
Interpretations, which have been issued by the Standards Interpretations Committee (IFRIC) and have
been adopted by the European Union until 31/12/2022. The company and consolidated financial
statements have been prepared on the basis of the historical cost principle, as this is amended by the
readjustment of plots and buildings and of financial receivables and payables at reasonable values through
the result.
The preparation of financial statements in conformity with the International Financial Reporting Standards
(IFRS) requires the use of accounting estimates. It also requires the judgment of the management in
applying the accounting principles of the group. Cases involving a higher degree of judgment or
complexity, or cases where assumptions and estimates are significant to the consolidated financial
statements, are included in note 6.3.
The accounting principles on the basis of which the financial statements were prepared, are consistent to
those used for preparing the annual financial statements of the Group for fiscal year 2021 and have been
consistently applied to all the periods presented, apart from those described in paragraph 6.2.
The Company's working capital on 31/12/2022 is negative and amounts to 1,261,347 euros. The Company,
in the context of a possible need to strengthen liquidity, proceeded with the following actions:
1. On 3/4/2023 it settled EFKA obligations in the amount of 1,356,785 euro in 24 installments, so the
amount of 791,458 euro concerning obligations for 2024 is transferred to the long-term liabilities.
2. Also, the Company received return of Share Capital in the amount of 8,425,000 euro from the
subsidiary company IDEH S.A..
On 09/03/2023 the decision dated 03/03/2023 of the Extraordinary General Meeting of the company
IDIOTIKI EPICHEIRISI ILEKTRISMOU S.A. with GEMI No. 051429019000 (former Μ.Α.Ε. 53664/51
/Β/03/01) was registered in GEMI with KAK 3495562, which decided the reduction of the company's share
capital by eight million four hundred and twenty-five thousand (8,425,000) euro, with a reduction of the
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 117
nominal value of the share by twenty-five (25) euro and the return of capital of 8,425,000 euro, twenty-
five (25) euro per share to the company's shareholders, with consequent amendment of article 5.
3. On 3/3/2023 it paid the short-term loan of 1,790,000 euro to Piraeus Bank.
Management closely monitors the developments of the world market and estimates that it will further
reduce production costs, due to the better performance of the production process both qualitatively and
quantitatively, as a consequence of its investment program of the last three years.
On top of the above actions, the Company has defined a cost saving program, as the revision of existing
agreements with partners together with the reduction of energy costs that exist in 2023, cover the
adequacy of cash reserves and the necessary available sources of financing
6.2. Changes in Accounting Principles
6.2.1 New Standards, Interpretations, Revisions and Amendments to Existing Standards
which have entered into force and have been adopted by the European Union
The following new Standards, Interpretations and amendments to Standards have been issued by the
International Accounting Standards Board (IASB), have been adopted by the European Union and are
mandatory as of 01/01/2022 or subsequently.
• Amendments to IFRS 3 "Business Combinations", IAS 16 "Property, Plant and
Equipment", IAS 37 "Provisions, Contingent Liabilities and Contingent Assets" and
"Annual Improvements 2018 - 2020" (effective for annual periods beginning on or after
on 01/01/2022)
In May 2020, the IASB issued a series of amendments, including limited-purpose amendments to three
Standards, as well as Annual Improvements of the Board. These amendments provide clarification
regarding the wording of the Standards or correct minor consequences, omissions or conflicts between the
requirements of the Standards. More specifically:
- The Amendments to IFRS 3 "Business Combinations" update a reference to IFRS 3 in the
Conceptual Framework of the Financial Reporting without amending the accounting requirements
relating to business combinations.
- The Amendments to IAS 16 "Property, Plant and Equipment" prohibit a company from
deducting from the cost of fixed assets amounts received from the sale of items produced during the
preparation of such fixed assets to be ready for use. Instead, the company recognizes these sales
revenues and related costs in the Income Statement.
- The amendments to IAS 37 "Provisions, Contingent Liabilities and Contingent Assets"
determine the costs that a company should include in assessing whether a contract is loss-making.
- The Annual Improvements of IFRS - 2018-2020 Cycle make minor amendments to IFRS 1
"First-time Adoption of International Financial Reporting Standards", IFRS 9 "Financial Instruments",
IAS 41 "Agriculture" and the Explanatory Examples that accompany IFRS 16 "Leases".
The amendments do not affect the consolidated / company Financial Statement.
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 118
6.2.2 New Standards, Interpretations, Revisions and Amendments to Existing Standards
which have not yet entered into force or have not been adopted by the European Union
The following new Standards, Interpretations and amendments to Standards have been issued by the
International Accounting Standards Board (IASB), but have either not yet entered into force or have not
been adopted by the European Union.
IFRS 17 "Insurance Contracts" (effective for annual periods beginning on or after
01/01/2023)
In May 2017, the IASB issued a new Standard, IFRS 17, which replaces an intermediate Standard, IFRS 4.
The purpose of the IASB was to develop a single principle-based standard for accounting for all types of
insurance contracts, including reinsurance contracts held by an insurance company. A single principle-
based Standard will enhance the comparability of financial reporting between entities, jurisdictions and
capital markets. IFRS 17 sets out the requirements that an entity should apply to financial information
related to the insurance contracts it issues and the reinsurance contracts it holds. In addition, in June
2020, the IASB issued amendments, which, however, do not affect the fundamental principles introduced
when IFRS 17 was first issued. The amendments are designed to reduce costs by simplifying certain
requirements of the Standard, to lead to a more easily explained financial performance, as well as to
facilitate the transition by postponing the date of application of the Standard until 2023, while providing
additional assistance to reduce the effort required during the first application of the Standard. The
Group/Company will consider the impact of all of the above on its Financial Statements, although they are
not expected to have any. The above have been adopted by the European Union with date of entry into
force on 01/01/2023.
• Amendments to IAS 1 "Presentation of Financial Statements" (effective for annual
periods beginning on or after 01/01/2023)
In February 2021, the IASB issued limited-purpose amendments relating to disclosures in accounting
policies. The purpose of the amendments is to improve the disclosures of accounting policies in order to
provide more useful information to investors and other users of the Financial Statements. More specifically,
the amendments require the disclosure of important information relating to accounting policies, rather than
the disclosure of significant accounting policies. The Group/Company will consider the impact of all of the
above on its Financial Statements, although they are not expected to have any. The above have been
adopted by the European Union with date of entry into force on 01/01/2023.
• • Amendments to IAS 8 “Accounting Policies, Changes in Accounting Estimates and
Errors: Definition of Accounting Estimates” (effective for annual periods beginning on
or after 01/01/2023)
In February 2021, the IASB issued limited-purpose amendments that clarify the difference between a
change in accounting estimate and a change in accounting policy. This distinction is important, as the
change in accounting estimate is applied without retroactive effect and only for future transactions and
other future events, in contrast to the change in accounting policy that has retroactive effect and applies to
transactions and other events of the past. The Group/Company will consider the impact of all of the above
on its Financial Statements, although they are not expected to have any. The above have been adopted by
the European Union with date of entry into force on 01/01/2023.
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 119
• Amendments to IAS 12 "Income Taxes: Deferred Tax Related to Assets and Liabilities
Arising from a Single Transaction" (effective for annual periods beginning on or after
01/01/2023)
In May 2021, the IASB issued targeted amendments to IAS 12 to determine how entities should handle
deferred tax on transactions such as leases and decommissioning obligations - transactions that entities
recognize at the same time a receivable and a liability. In certain cases, entities are exempt from
recognizing deferred tax when they recognize receivables or liabilities for the first time. The amendments
clarify that this exemption does not apply and entities are required to recognize deferred tax on those
transactions. The Group/Company will consider the impact of all of the above on its Financial Statements,
although they are not expected to have any. The above have been adopted by the European Union with
date of entry into force on 01/01/2023.
• Amendments to IFRS 17 "Insurance Contracts: First Application of IFRS 17 and IFRS 9 -
Comparative Information" (effective for annual periods beginning on or after
01/01/2023)
In December 2021, the IASB issued a limited-purpose amendment to the transition requirements to IFRS
17 to address a significant issue related to the provisional discrepancy between liabilities under insurance
contracts and financial assets under comparative information in the context of the first application of IFRS
17 "Insurance Contracts" and IFRS 9 "Financial Instruments". The amendment is intended to improve the
usefulness of the financial information that will be presented in the comparative period for the users of the
Financial Statements. The Group/Company will consider the impact of all of the above on its Financial
Statements, although they are not expected to have any. The above have been adopted by the European
Union with date of entry into force on 01/01/2023.
• Amendments to IAS 1 "Classification of Liabilities as Current or Non-current" (effective
for annual periods beginning on or after 01/01/2024)
In January 2020, the IASB issued amendments to IAS 1 that affect the requirements for the presentation
of liabilities. In particular, the amendments clarify one of the criteria for classifying a liability as non-current
(long-term), the requirement for an entity to have the right to defer the settlement of the liability for at
least 12 months after the reporting period. Amendments include: (a) clarifying that an entity's right to
defer settlement should exist at the reporting date; (b) clarifying that the classification of the liability is not
affected by management's intentions or expectations regarding the exercise of the deferral; (c) explaining
how borrowing conditions affect the classification; and (d) clarifying the requirements for the classification
of liabilities of an entity that intends to settle or may settle through the issuance of own equity
instruments. In addition, in July 2020, the IASB issued an amendment to postpone by one year the date of
entry into force of the amendment originally issued in IAS 1, as a result of the spread of the Covid-19
pandemic. However, in October 2022, the IASB issued an additional amendment aimed at improving the
information companies provide about long-term debt commitments. IAS 1 requires a company to classify a
loan as non-current only if the company can avoid settling the loan within 12 months after the reporting
date. However, a company's ability to do so often depends on compliance with its commitments. The
amendments to IAS 1 specify that commitments to be met after the reporting date do not affect the
classification of the loan as short-term or long-term at the reporting date. Instead, the amendments to the
standard require a company to disclose information about these commitments in the notes to the financial
statements. The amendments are effective for annual periods beginning on or after January 1, 2024, with
early adoption permitted. The Group / Company will consider the impact of all of the above on its Financial
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 120
Statements, although they are not expected to have any. The above have not been adopted by the
European Union.
• Amendments to IFRS 16 "Leases: Lease Obligation on a Sale and Leaseback"
(applicable for annual periods beginning on or after 01/01/2024)
In September 2022, the IASB issued limited-purpose amendments to IFRS 16 Leases that add
requirements for how a company accounts for a sale and leaseback after the date of the transaction. A sale
and leaseback is a transaction in which, a company sells an asset and leases the same asset back for a
period of time from the new owner. IFRS 16 includes requirements regarding the accounting treatment of a
sale and leaseback at the date the transaction takes place. However, the Standard did not specify how to
measure the transaction after that date. The issued amendments add to the requirements of IFRS 16
regarding sale and leaseback, thus supporting the consistent application of the accounting standard. These
amendments will not change the accounting treatment for leases other than those arising from a sale and
leaseback transaction. The Group / Company will consider the impact of all of the above on its Financial
Statements, although they are not expected to have any. The above have not been adopted by the
European Union.
6.3 Significant accounting estimations and judgments of the Management
The preparation of the financial statements in accordance with the International Financial Reporting
Standards (IFRS) requires the use of judgements, estimates and assumptions from the Management which
affect the disclosed balances of assets and liabilities as at the balance sheet date of the financial
statements. They affect also the contingencies disclosure of as at the balance sheet date of the financial
statements and the amounts of income and expense relating to the reporting year. The actual results may
differ from those estimated. The estimations and judgements are based on past experience and other
factors, including also the expectation of future events that are believed to be reasonable under the
specific circumstances, while they are constantly reevaluated with the use of all the information available.
The main estimates and assessments of the Management are the following:
▪ Estimates when calculating the use value of CGU
The Group performs a measurement of impairment losses in investments in subsidiary and associate
companies when there is an indication of impairment, in accordance with the provisions of IAS 36. In order
to determine whether there are grounds for impairment, the calculation of the value in use and the fair
value less cost of disposal is required for each Cash Generating Unit (CGU). The recoverable amounts of
CGU are determined for the purposes of measuring impairment, based on the calculation of their value in
use, which requires estimations. For the calculation of value in use, the cash flow projections are
discounted at their present value with the use of a discount rate which reflects the current market
assessments of the time value of money and the risks specific to the CGU. Cash flow projections are used
for the calculation which are based on approved business plans by the Management. These business plans
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 121
and the cash flow projections usually cover a five-year period In particular, for the energy sector,
assumptions that prevail in the energy market are used. The period considered by the management is
more than five years, a period which is encouraged by IAS 36, as especially for renewable energy units
even a longer period will be considered quite satisfactory. Cash flows for periods beyond budgeted
projections, are extended based on the estimated growth rate. The main assumptions used for determining
the recoverable value of the different CGU are mentioned in note 10.4 of the financial statements, where
they are further explained.
Provision for Income Tax
The provision for income tax based on IAS 12 is calculated with the estimation of the taxes which will be
paid to the tax authorities and include the current income tax, for each financial year and a provision for
additional taxes which may arise from tax audits. In order to determine the provision of the Group for
income taxes the above must be thoroughly understood. Although it is not possible to reliably predict the
results of the tax audit, the companies of the Group have used statistical data from prior tax audits of
audited tax years, and have made a provision for the potential tax liabilities which may arise following a tax
audit of the unaudited tax years.
In the event that the final taxable amounts which arise following the tax audits are different to the
amounts initially recognized, these differences will affect the income tax and the provisions for deferred tax
for the financial years for which the determination of tax difference took place.
Provision for expected credit losses from customer receivables
The Group and the Company apply the simplified approach of IFRS 9 for the calculation of expected credit
losses, by which the provision for impairment is measured at an amount equal to the expected credit losses
over the lifecycle of the receivables from customers. The Group and the Company makes provisions for
doubtful debts in respect to specific customers when there is information or indications which indicate that
the payment of the total respective liability or part of it is not probable. The Management of the Group
reassesses the adequacy of the allowance for doubtful debts periodically, taking into account its credit
policy and reports available by the Group’s Legal Department, which arise based on the processing of
historical experience and recent developments in cases handled by it. In addition, it evaluates the
recoverability of trade receivables by reviewing also the maturity of customers’ balances, their credit history
and the settlement of outstanding balances related to receivables subsequent to the reporting period.
Provision for personnel compensation
The amount of the provision for compensation of personnel is calculated using actuarial methods. The
actuarial method requires the assessment of specific parameters such as discount rates, the rate of
increase in the remuneration of personnel, the increase in the consumer price index and the expected
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 122
remaining working life. The assumptions used contain a great amount of uncertainty and the Group’s
Management re-evaluates them on a constant basis. The amount of compensation paid depends on the
years of service, the amount of remuneration and the manner of exiting the service (dismissal or
retirement). The establishment of the right to participate in these programs is carried out through the
distribution of benefits in the last 16 years until the date of the employee’s retirement.
Contingent assets and contingent liabilities
The Group is involved in legal actions and claims in its usual course of operation. The management
believes that any settlements would not adversely affect the financial position of the Group on 31
st
December 2022. However, the determination of the potential liabilities related to legal actions and claims is
a complicated procedure which includes assessments regarding the potential consequences and
interpretations regarding the laws and regulations. Changes in the assessments and interpretations are
likely to lead to an increase or decrease of the potential liabilities of the Group in the future.
Estimation of useful life of depreciable assets
The management of the company reviews at each year end the useful life of depreciable assets. On 31
st
December 2022 the management of the company assesses that the useful lives represent the expected
usefulness of the assets.
Impairment of fixed tangible assets
Fixed tangible assets are reviewed for impairment purposes when events or changes in circumstances
indicate that the carrying amount may not be recoverable. For the calculation of the value in use the
Management assesses the future cash flows from the asset or the cash generating unit of future cash flows
and chooses the appropriate discount rate to calculate the current value of future cash flows.
Measurement of the fair value of investment property
Estimates of investment property are supported by a valuation report carried out by an independent
valuation firm, which determines the value of investment property by following the internationally
recognized valuation methods on a case-by-case basis. The most appropriate indication of fair value is the
current values in an active market for related leases as well as other contracts. If it is not possible to obtain
such information, the value is determined through a range of reasonable estimates of fair values. In most
cases, the Discounted Cash Flow Analysis Technique was considered the most appropriate. Cash flow swap
models are based on reliable estimates of future cash flows arising from assumptions about achievable
ratios relative to the market in question and international competitiveness using discount rates that reflect
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 123
the current market estimate of the uncertainty of the amount and the timing of these cash flows. For the
application of cash flow discounting techniques, assumptions that establish estimates for fair value
determination are used and are related to: expected future income, completeness, vacant periods,
construction costs, maintenance obligations, as well as appropriate discount rates. Further information on
key assumptions is given in note 10.28.
Provisions for environmental restoration
The Group makes provision for its related obligations to restore the natural environment from the
exploitation of quarries and wind farms, resulting from the applicable environmental legislation or from
binding practices of the Group. This provision is discounted to present value and recognized in the cost of
tangible assets. The discount rate to which the future liability is discounted is the pre-tax rate that reflects
current market estimates for the time value of money. Further information in Notes 8.4 and 10.15.
7. Main Accounting Principles
The accounting principles based on which the attached financial statements are prepared and which the
Group systematically applies are the following.
7.1. Segment reporting
Business segment is a group of related assets and activities which provide products and services which are
subject to different risks and returns that are different from those of other business segments.
Geographical segment is a geographical area which provides products and services which are subject to
risks and returns that are different from those of other areas.
The Group is mainly active in the operation of marble quarries (mining and trade of Marbles).
Geographically, the Group is active in Greece, the Eurozone and Other Countries.
7.2. Consolidation
Subsidiaries: Are all the companies which are managed and controlled, directly or indirectly, by another
company (parent), either through the ownership of the majority of the shares of the company in which the
investment was made, or through its dependence on the know-how provided to it by the Group. In other
words, subsidiaries are entities on which parent companies exercise control. Iktinos Hellas acquires and
exercise control though voting rights. The existence of any potential voting rights which are exercisable at
the time the financial statements are drawn up, is taken into account in order to determine whether the
parent company exercises control over the subsidiaries. Subsidiaries are fully consolidated (full
consolidation) with the method of acquisition from the date that control is acquired over them and cease to
be consolidated from the date that such control does not exist.
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 124
The acquisition of a subsidiary by the Group is accounted for by using the purchase method. The cost of
acquisition of a subsidiary is the fair value of the assets transferred, the shares issued and the liabilities
assumed at acquisition date, plus any costs directly linked to the transaction. The assets, liabilities and
potential liabilities which are acquired in a business combination are measured at their fair values at the
acquisition date irrespective of the proportionate share. The cost of acquisition above the fair value of the
Intercompany transactions, outstanding balances and non-realized profits from transactions between
companies of the Group are eliminated. The non-realized losses are also eliminated, unless the transaction
provides indications of impairment of the transferred asset. The accounting principles of the subsidiaries
have been adjusted in order to be in conformity with the ones adopted by the Group.
Impairment of investment in subsidiaries Control (Company Financial Statements):
The participation of the parent company in the consolidated subsidiaries is valued at acquisition cost less
accumulated impairment losses. At every reporting date, the Management assesses the existence or not of
external and internal indicators of impairment of its investments on subsidiary companies. In the event that
there are indications, the Company measures the impairment and determines the recoverable value for
each Cash Generating Unit as the higher of an asset's fair value less costs of disposal and its value in use.
For the purposes of measuring impairment, the investments in subsidiaries are classified in the smallest
group of assets which may generate independent cash flows to other assets or groups of assets of the
Group (Cash Generating Units).
Impairment loss is recognized as the amount by which the carrying amount of a Cash Generating unit
exceeds its recoverable amount, which is the higher of an asset's fair value less costs of disposal and its
value in use. For the determination of the value in use, the Management determines the future cash flows
expected to be derived from each Cash Generating Unit determining an appropriate discount rate in order
to calculate the current cash flow value. The assets used for the impairment test arise directly from the
approved budget of the Management. Discount factors are determined separately for each Cash Generating
Unit and reflect the respective risks which have been determined by the Management for each one of
them.
Related companies: Are those entities over which the Group has significant influence but do not fulfil the
conditions to be classified as subsidiaries or as joint venture. Investments in associates are initially
recognized at cost and then valued using the equity method. At the end of each period, the cost of
acquisition is increased by the Group’s share in the associates’ net assets change and is decreased by the
dividends received from the associates.
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 125
As regards acquisition goodwill, it decreases the participation value by burdening the period’s results, when
its value decreases.
After the acquisition, the Group’s share in the profit or loss of associates is recognized in the income
statement, while the share of changes in reserves is recognized in equity. The accumulated changes affect
the accounting value of the investments in associated companies. When the Group’s share in the losses of
an associate is equal or larger than the carrying amount of the investment, including any other doubtful
debts, the Group does not recognize any further losses, unless it has guaranteed for liabilities or made
payments on behalf of the associate or those that emerge from share ownership.
Unrealized profits from transactions between the Group and its associates are eliminated according to
the Group’s percentage ownership in the associates. Unrealized losses are eliminated, except if the
transaction provides indications of impairment of the transferred asset.
7.3. Conversion of foreign currency
The consolidated financial statements are reported in Euro, which is the operating currency and the
reporting currency of the parent Company and all of its subsidiaries. “Operating“ is the currency of the
primary economic environment in which the Group operates and on the basis of which the items in the
financial statements of the Group’s companies are measured.
Transactions in foreign currencies are converted to the operating currency using the rates in effect at the
date of the transactions.
Profits and losses from foreign exchange differences that result from the settlement of such transactions
during the period and from the conversion of monetary items denominated in foreign currency using the
rate in effect at the balance sheet date are recorded in the results. Foreign exchange differences from non-
monetary items that are valued at their fair value are considered as part of their fair value and are thus
treated similarly to fair value differences.
7.4. Tangible Assets
Fixed assets are reported in the financial statements at acquisition cost or deemed cost, as determined
based on fair values as at the transition dates, less accumulated depreciations and any impairment suffered
by the assets. The acquisition cost includes all the directly attributable expenses for the acquisition of the
assets. After initial recognition the owner-occupied properties are valued at fair value and the excess is
recorded in equity “Adjustment Differences”, while the negative which is not set-off with the respective
inventory is recorded in the income statement of the period.
Subsequent expenditure is added to the carrying value of the tangible fixed assets or is recorded as a
separate fixed asset only if it is probable that future economic benefits will flow to the Group and their cost
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 126
can be accurately and reliably measured. The repair and maintenance cost is recorded in the results when
such is realized.
Depreciation of tangible fixed assets (other than land plots which are not depreciated) is calculated using
the straight line method over their useful life, as follows:
Buildings 12 - 20 years
Mechanical equipment 6 - 10 years
Vehicles 5 - 7 years
Other equipment 3 - 5 years
The residual values and useful economic life of tangible fixed assets are subject to reassessment at each
balance sheet date. When the accounting value of tangible fixed assets exceeds their recoverable amount,
the difference (impairment) is immediately recorded as an expense in the income statement.
Upon sale of the tangible fixed assets, any difference between the proceeds and the accounting value are
recorded as profit or loss in the income statement. Repairs and maintenance are recorded as expenses in
the period they occur.
Restoration Cost of Quarries-Aeolian Parks: The entities which are active in the mining and
renewable sources of energy sector are subject to environmental restoration obligations. In accordance
with IAS 16 “Property, Plant and Equipment”, the cost at which an tangible asset is recognized, includes
amongst other things also the initial evaluation of the cost of dismantling or restoring the specific item in
the site. This obligation arises from the construction of the fixed asset, the formation of the surrounding
environment and the mining activity of the company. The group has recognized a provision for the
restoration of the quarries and wind farm areas (refilling works, planting of areas and other works) which
has the following characteristics:
1. It has been recognized as part of the cost of tangible assets (formations of quarries/wind farms) in
accordance with IAS 16, and
2. It has been recognized as an obligation, in accordance with IAS 37.
The total sum of the amount for the provision of restoration and the carrying value of the tangible assets
(formation of site) is not in excess of the recoverable amount for the specific fixed assets. In the event that
the total amount of the carrying values of the tangible assets and the provision for restoration exceeds the
recoverable value, the excess amount is recognized in the income statement in the period they occur.
This specific provision for restoration is discounted at present values and is recognized at the cost of the
tangible assets. The discount rate with which the future obligation is discounted is the interest rate before
tax which reflects the current market assessments of the time value of money.
The provision for restoration is recognized in the income statement during the useful life of the tangible
assets, through their depreciation. The estimated expenditure for restoration are reassessed at each
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Balance Sheet date, as to their adequacy and are accordingly adjusted by accordingly adjusting the
respective provision.
On 31/12/2022 the restoration provision amounted in total for all the Quarries to € 227,781 and € 40,611
for Aeolian parks, while in 31/12/2021 it was € 224,036 and € 38,677 respectively.
7.5. Investments in Property
Investments in real estate are investments in all those properties held by the owner, either to lease rents
or to increase their value (capital reinforcement) or both.
Investment property is initially measured at acquisition cost, including transaction costs. They are
subsequently recognized at their fair value. Fair value is determined by independent valuers with sufficient
experience of the location and nature of the investment property.
The fair value of an investment property is the price at which the property can be exchanged between
informed and willing parties in a normal commercial transaction. Fair value excludes a price increased or
decreased due to special terms or circumstances, such as unusual financing, sale with a lease, special
consideration or concession made by anyone related to the sale.
Any profit (or loss) arising from an alteration in the fair value of the investment constitutes a result and is
recognized in the comprehensive income for the year in which it arises.
A determinant of fair value is the current price in an active market for similar properties, at the same
location and in the same situation. If there are no current prices for similar properties in an active market
at the same location, then the following can be used:
• Current prices of an active market for different properties, with corresponding adjustments to
reflect differences.
• Recent prices on less active markets with adjustments reflecting the differences in economic
conditions relative to the date of the transaction.
• Discounted cash flows from current lease agreements for similar properties, at the same location
and in the same situation.
7.6. Intangible Assets
Intangible assets include the rights to use and exploit the Quarries and other Tangible Assets, research
and development expenditure, as well as software licenses.
Right to Operate Quarries and Other Tangible Assets:
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Include the Rights to lease Land, as well as the Mineral Resources Exploitation Rights. The Group initially
recognizes them at acquisition cost or at their nominal value. Following initial recognition, the Group adopts
the Accounting principle of reporting the cost model and reporting the intangible assets at their cost less
the accumulated depreciation and every accumulated impairment loss.
Exploration and Evaluation of Mineral Resources Expenses: IFRS 6 does not specify specific
principles for recognizing and measuring the costs which are realized during the stage of exploration and
evaluation of mineral resources. Consequently, it would be acceptable for the specific costs to be
recognized either as assets and to be deleted when it is determined that they will not generate any
economic benefits or to be directly recognized in the income statement when realized if the final result
(exploitation of the quarry) is uncertain.
The group measures the expenditures which arise from exploration and evaluation at cost, recognizing
them as assets, if it judges that they will generate future economic benefits. The group makes a deduction
for the depreciation of expenses for research and development of quarries in accordance with the term of
the license for their exploitation, which ranges from 15 to 25 years. Costs which regard the exploration and
evaluation of mineral resources includes as a rule the following:
(a) the acquisition of the exploration right
(b) the topographical, geological, geochemical and geophysical studies,
(c) the soil-drilling test,
(d) the excavation in explored trenches/pits,
(e) sampling and
(f) the activities related to the assessment of the technical feasibility and financial viability of mining a
mineral resource.
The group ensures that the assets which arise from exploration and evaluation are depreciated at the end
of each period. If it is assessed that the specific costs will not generate future economic benefit then their
total is recognized in the income statement of the period.
Software: Software licenses are valued at cost less depreciation. Depreciation is calculated using the
straight line method over their useful life, which ranges from 1 to 3 years.
7.7. Asset Impairment
Assets with an indefinite useful life are not depreciated and are subject to an impairment review annually
and when some events suggest that the carrying value may not be recoverable. Assets that are
depreciated are subject to an impairment review when there is indication that their carrying value will not
be recoverable. The recoverable value is the greater between the net sales value and the value in use. An
Separate and Consolidated Annual Financial Statements as of 31
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impairment loss is recognized by the company when the accounting value of these assets (or the Cash
Generating Unit) is greater than its recoverable amount.
Net sales value is the amount received from the sale of an asset at an arm’s length transaction in which
participating parties have full knowledge and participate voluntarily, after deducting any additional direct
cost for the sale of the asset, while value in use is the present value of estimated future cash flows that are
expected to flow into the company from the use of the asset and from its disposal at the end of its
estimated useful life.
7.8. Financial Instruments
Financial assets and financial liabilities are recognized in the statement of financial position when and only
when the Group becomes a party to the financial instrument. The Group ceases to recognize a financial
asset when and only when the contractual rights to the cash flows of the financial asset expire or when the
financial asset is transferred and all the risks and rewards associated with this financial asset are
substantially transferred. A financial liability is derecognised from the Statement of Financial Position when,
and only when, it is repaid - that is, when the commitment set out in the contract is fulfilled, canceled or
expired.
i) Financial assets
Initial recognition and subsequent measurement of financial assets
As of 1 January 2018, financial assets are classified at initial recognition as subsequently measured at
amortized cost, at fair value through other comprehensive income or at fair value through profit or loss.
The classification of financial assets at initial recognition is based on the contractual cash flows of the
financial assets and the business model in which the financial asset is held.
With the exception of customer receivables, the Group initially assesses a financial asset at its fair value
plus transaction costs in the case of a financial asset that is not measured at fair value through profit or
loss. Receivables from customers are initially measured at transaction value as defined by IFRS 15.
In order to classify and measure a financial asset at amortized cost or at fair value through other
comprehensive income, cash flows that are "exclusive capital and interest payments" on the outstanding
capital balance must be created. This evaluation is known as the "SPPI" criterion and is done at the level of
an individual financial instrument.
After initial recognition, financial assets are classified into three categories:
- at amortized cost
- at fair value through other comprehensive income
- fair value through profit or loss
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Financial assets classified at amortized cost are subsequently measured using the effective interest rate
method (EIR) and are subject to impairment testing. Profits and losses are recognized in profit or loss
when the asset ceases to be recognized, modified or impaired.
For investments that are traded on an active market, fair value is calculated based on market bid prices.
For investments for which there is no active market, fair value is determined by valuation techniques unless
the range of rational estimates of fair value is significant and the probabilities of the various estimates
cannot reasonably be assessed, so that these investments cannot be valued at fair value.
The purchase or sale of financial assets that require the delivery of assets within a timeframe defined by a
regulation or sale acceptance is recognized at the settlement date (i.e. the date when the asset is
transferred or delivered to the Group or the Company).
Trade receivables
Trade receivables are remainders due from customers for the sale of goods or the provision of services to
them from the normal activity of the Group. Receivables from customers are initially recorded at
transaction value as defined by IFRS 15 and subsequently measured at amortized cost using the effective
interest method.
Impairment of financial assets
The Group and the Company assess at each reporting date whether the value of a financial asset or group
of financial assets has been impaired as follows:
The Group and the Company recognize a provision for impairment against expected credit losses for all
financial assets that are not measured at fair value through profit or loss. Expected credit losses are based
on the difference between all contractual cash flows that are payable under the contract and all cash flows
that the Group or the Company expects to receive discounted at the approximate original effective interest
rate.
For the implementation of this approach, a distinction is made between:
• financial assets whose credit risk has not deteriorated significantly since initial recognition or which have
a low credit risk at the reporting date (Stage 1) and for which the expected credit loss is recognized for the
following 12 months,
• financial assets whose credit risk has deteriorated significantly since initial recognition and which have no
low credit risk (Stage 2). For these financial assets, the expected credit loss is recognized up to their
maturity,
• financial assets for which there is objective evidence of impairment at the reporting date (Stage 3) and
for which the expected credit loss is recognized up to maturity.
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For customer receivables the Group and the Company apply the simplified approach for calculating the
expected credit losses. Therefore, at each reporting date, the Group and the Company measure the
provision for impairment to an amount equal to the expected credit losses over the lifetime without
monitoring the changes in credit risk. In calculating the expected credit losses, the Group uses a
provisioning table by grouping the above financial instruments based on the nature and maturity of the
balances and taking into account available historical data in relation to the debtors, adjusted for future
factors in relation to the debtors and the economic environment.
Derecognition of financial assets
A financial asset (or part of a financial asset or part of a group of similar financial assets) is derecognized
when:
• the rights to inflow of cash resources have expired,
• the Group or the Company retains the right to receive cash flows from that asset but has also undertaken
to pay them to third parties fully without undue delay in the form of a transfer agreement; or
• the Group or the Company has transferred the right to receive cash flows from that asset while either (a)
it has transferred substantially all the risks and rewards thereof or (b) has not transferred substantially all
the risks and rewards , but has passed the control of that item.
When the Group or the Company transfers the rights to receive cash flows from an asset or concludes a
transfer agreement, it assesses the extent to which it retains the risks and rewards of ownership of the
asset. When the Group neither transfers nor retains substantially all the risks and benefits of the
transferred asset and retains control of the asset, then the asset is recognized to the extent that the Group
continues to participate in the asset. In this case, the Group also recognizes a related liability. The
transferred asset and the associated liability are measured on a basis that reflects the rights and
commitments retained by the Group or the Company.
Continued participation in the form of the guarantee of the transferred asset is recognized at the lower
value between the carrying value of the asset and the maximum amount of consideration received which
the Group could be required to repay.
ii) Financial liabilities
The Group's financial liabilities include loans, trade and other liabilities.
Loan liabilities
The Group's loan liabilities are initially recognized at cost, which reflects the fair value of the amounts
receivable minus the relative costs directly attributable to them, where they are significant. After initial
recognition, interest bearing loans are measured at amortized cost using the effective interest method.
Amortized cost is calculated by taking into account issuing costs and the difference between the initial
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amount and the maturity. Gains and losses are recognized in the profit-loss when the liabilities are
derecognized or impaired through the amortization process.
Trade and other liabilities
Balances of suppliers and other payables are initially recognized at their fair value and subsequently
measured at amortized cost using the effective interest method.
Trade and other short-term liabilities are not interest-bearing accounts and are usually settled on the basis
of the agreed credits.
Financial liabilities are classified as short-term liabilities unless the Group has the unconditional right to
transfer the settlement of the financial liability at least 12 months after the financial statements date.
Derecognition of financial liabilities
A financial liability is derecognised when the obligation arising from the liability is cancelled or expires.
When an existing financial liability is replaced by another by the same lender but under substantially
different terms or the terms of an existing liability are significantly changed, such exchange or amendment
is treated as a derecognition of the original liability and recognition of a new liability. The difference in the
respective carrying values is recognized in the income statement.
Financial claims and liabilities Offsetting
Financial assets and liabilities are offset and the net amount is reflected in the statement of financial
position only when the Group or the Company legally holds that right and intends to offset them on a net
basis with one another or to claim the asset and settle the liability simultaneously. The statutory right
should not depend on future events and should be capable of being executed in the normal course of
business and in the event of default, insolvency or bankruptcy of the company or the counterparty.
7.9. Inventories
At the balance sheet date, inventories are valued at the lower of acquisition cost and net realizable value.
Net realizable value is the estimated sales price during the normal course of the company’s business less
any relevant sales expenses. The cost of inventories does not include financial expenses.
The acquisition cost includes the purchase price, import duties and other taxes, as well as transport,
delivery expenses and directly attributable costs. Trade discounts, reductions in prices and other similar
elements are deducted when determining the acquisition cost.
The cost of conversion of inventories includes the costs directly related to the production units, such as
direct labour cost. It also includes a systematic allocation of fixed and variable production expenses, which
are realized during the conversion of the material into finished goods. Fixed production expenses are the
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direct production costs which remain fixed, irrespective of the production volume, such as depreciation and
maintenance of factory buildings and equipment, as well as the cost of directing and managing the factory.
Variable production overheads are the indirect production costs which vary directly or almost directly
depending on the production volume, such as indirect material and indirect labour.
The provision for inventory impairment is formed based on the estimations of the management regarding
the actual situation and the ability to use the inventory if deemed necessary.
7.10. Cash available and cash equivalents
Cash and cash equivalents include cash in the bank and in hand, as well as short-term highly liquid
investments such as money market products and bank deposits. Money market products are financial
assets which are valued at their fair value through the income statement.
7.11. Non-current assets classified as held for sale
The assets available for sale also include other assets (including goodwill) and tangible fixed assets that the
Group intends to sell within one year from the date they are classified as “held for sale”. The assets
classified as “held for sale” are valued at the lowest value between their carrying value immediately prior to
their classification as available for sale, and their fair value less the sale cost. Assets classified as “held for
sale” are not subject to depreciation. The profit or loss that results from the sale and reassessment of
assets “held for sale” is included in in the income statement.
7.12. Share capital
Expenses incurred for the issuance of shares reduce, after deducting the relevant income tax, the proceeds
from the issue. Expenses related to the issuance of shares for the purchase of companies are included in
the acquisition cost of the company acquired.
When acquiring own shares, the consideration paid, including the respective costs, is deducted from equity
(share premium reserve).
7.13. Income tax & deferred tax
The tax for the period comprises current tax and deferred tax, i.e. the tax charges or tax credits that are
associated with economic benefits accruing in the period but have been assessed by the tax authorities in
different periods. Income tax is recognized in the income statement of the period, except for the tax
relating to transactions that have been recorded directly in equity. In such case the related tax is,
accordingly, recorded directly in equity.
Separate and Consolidated Annual Financial Statements as of 31
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Current income taxes include the short-term liabilities or assets from the fiscal authorities that relate to
taxes payable on the taxable income of the period and any additional income taxes from previous periods.
Current taxes are measured according to the tax rates and tax laws prevailing during the financial years to
which they relate, based on the taxable profit for the year. All changes to the short-term taxable assets or
liabilities are recognized as part of the tax expense in the income statement.
Deferred income tax is determined according to the liability method which results from the provisional
differences between the carrying value and the tax base of assets or liabilities. Deferred tax is not recorded
if it results from the initial recognition of an asset or liability in a transaction, except for a business
combination, which when it occurred did not affect neither the accounting nor the tax profit or loss.
Deferred tax assets and liabilities are valued based on the tax rates that are expected to be in effect during
the period in which the asset or liability will be settled, taking into consideration the tax rates (and tax
laws) that have been put into effect or are essentially in effect up until the Balance Sheet date. In the
event where it is impossible to identify the timing of the reversal of the provisional differences, the tax rate
in effect on the day after the balance sheet date is used.
Deferred tax assets are recognized to the extent that it is probable that there will be a future tax profit for
the use of the provisional difference which creates the deferred tax asset.
Deferred income tax is recognized for the provisional differences that result from investments in
subsidiaries and associates, except for the case where the reversal of the provisional differences is
controlled by the Group and it is possible that the provisional differences will not be reversed in the
foreseeable future.
Most changes in the deferred tax assets or liabilities are recognized as part of the tax expense in the
income statement. Only changes in assets or liabilities that affect the provisional differences are recognized
directly in the equity of the Group, such as the revaluation of property value, that results in the relevant
change in deferred tax assets or liabilities being charged against the relevant equity (net) account.
7.14. Employee benefits
Short-term benefits:
Short-term employee benefits (except post-employment benefits), monetary and in kind are recognized as
an expense when they accrue. Any unpaid amount is recorded as a liability, while in the case where the
amount paid exceeds the amount of services rendered, the company recognizes the excess amount as an
asset (prepaid expense) only to the extent that the prepayment will lead to a reduction of future payments
or to reimbursement.
Post-employment benefits:
Separate and Consolidated Annual Financial Statements as of 31
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Post-employment benefits comprise lump-sum payment of retirement benefit, pensions or other benefits
the company provides after the end of employment, as an exchange for the employees’ service to the
company. Thus, such benefits include defined contribution schemes as well as defined benefits schemes.
The accrued cost of defined contribution schemes is recorded as an expense in the period it refers to.
Pension plans adopted by the Group are partially financed through payments to insurance companies or
government social security institutions.
(a) Defined contribution schemes
The defined contributions scheme involves the payment of contributions to Insurance Institutions (e.g.
Social Security Institution), as a result the Group not being legally liable in the event that the National Fund
is unable to pay the pension to the insured. The employer’s obligation is limited to the payment of
employee benefits to the Funds. The payable contribution from the Group to a defined contribution
scheme, is either recognized as a liability after the deduction of the paid contribution, while the an expense
in the income statement.
(b) Defined benefit scheme (Not funded)
According to Laws 2112/20 and 4093/2012, the Company pays its personnel compensation for employment
termination or retirement. The compensation amounts depend on employment years, salary level and
whether the employment was terminated or due to retirement. The establishment of the entitlement to
participate in these schemes is carried out through the distribution of benefits in the last 16 years until the
date of retirement of employees following the scale of Law 4093/2012.
The liability which is recognized in the Statement of Financial Position with respect to this scheme is the
present value of the liability for the defined benefit less the fair value of the scheme’s assets (reserve from
the payments to the insurance company) and the changes that arise from any actuarial profit or loss and
the service cost. The commitment of the defined benefit is calculated annually by an independent actuary
with the use of the projected unit credit method.
A defined contribution scheme, defines based on several parameters such as age, service years, salary,
certain obligations for defined benefits. The provisions relating to the period are included in personnel cost
in the attached company and consolidated income statement and consist of current and past employment
cost, the pertinent financial cost, the actuarial gain or loss, as well as any additional charges. Regarding
unrecognized actuarial gain or loss, amended IAS19R is adopted, that includes a series of amendments
regarding accounting treatment of defined benefits scheme, amongst other things:
- recognition of actuarial profit/loss in other comprehensive income statement and their final
exclusion from the results for the period
Separate and Consolidated Annual Financial Statements as of 31
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- non-recognition of annual return of benefits scheme in the income statement but the recognition of
respective interest rate in the liability account based on discount rate used in measuring obligations for
defined benefits scheme.
- the recognition of the service cost in the income statement for the period the earliest between the
date the schemes are amended or when the respective restructuring is recognized or the final benefit
- other changes include new disclosures, such as quantitative sensitivity analysis.
7.15. Government Grants
The Group recognizes government grants that cumulatively satisfy the following criteria: a) There is
reasonable certainty that the company has complied or will comply to the conditions of the grant and b) it
is probable that the amount of the grant will be received.
Government Grants are recorded at fair value and are systematically recognized as revenues, according to
the principle of matching the grants with the corresponding costs that they are subsidizing. Government
Grants that related to assets are included in long-term liabilities as deferred income and are recognized
systematically and rationally as revenues over the useful life of the fixed asset.
7.16. Provisions
Provisions are recognized when the Group has present legal or constructive obligations as a result of past
events, their settlement through an outflow of resources is probable and the exact amount of the
obligation can be reliably estimated. Provisions are reviewed during the date when each balance sheet is
drawn-up so that they may reflect the present value of the outflow that is expected to be required for the
settlement of the obligation. Contingent liabilities are not recognized in the financial statements but are
disclosed, except if the probability that there will be an outflow of resources that embody economic
benefits is very small. Contingent receivables are not recognized in the financial statements but are
disclosed, provided that the inflow of economic benefits is probable.
7.17. Recognition of income and expenses
Income: The Group applied IFRS 15 for the first time on 01.01.2018.
According to IFRS 15, a five-step model is established to determine revenue from contracts with
customers:
Step 1: Define the contract for the sale of goods or the provision of services
Step 2: Identify the separate obligations arising from the contract with the customer
Step 3: Determine transaction value
Step 4: Allocation of the transaction value to the obligations arising from the contract
Step 5: Recognize revenue as the entity meets its obligations under the contract with the customer
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Revenue is recognized in the amount by which an entity expects to have in exchange for the transfer of the
goods or services to a counterparty. Intra-group revenues within the Group are completely eliminated.
Revenue recognition is made as follows:
➢ Sale of goods: Revenue from the sale of goods is recognized when the control of the good is
transferred to the customer, usually upon delivery to the customer, and there is no obligation that
could affect the acceptance of the good by the customer.
➢ Provision of services: Income from the provision of services is accounted for in the period during
which the services are rendered, based on the stage of completion of the service in relation to the
total services to be rendered.
➢ Income from the sale and lease of Tangible Assets: The positive difference between the fair
value of the consideration and the value of the asset granted is recorded as deferred income and is
depreciated according to the depreciation rate (on the basis of the useful life or lease term) of the
leased asset.
➢ Income from Interest: Income from interests is recognized on a time proportion basis using the
effective interest rate. When there is impairment of assets, their carrying value is reduced to their
recoverable amount which is the present value of the expected future cash flows discounted using
the initial real interest rate. Interest is then recorded using the same interest rate calculated on the
impaired (new book) value.
➢ Income from Dividends: Dividends are accounted for as revenue when the right to receive
payment is established.
Expenses: Expenses are recognized in the income statement on an accrued basis. The payments made for
operating leases are transferred to the results as an expense, during the time the lease is used. Interest
expenses are recognized on an accrued basis.
Cost of Borrowing: The cost of borrowing is directly related to the purchase, construction or production
of eligible assets, it is passed on increasing the cost of these assets. The capitalization of the cost of
borrowing is realized during the period of construction of the fixed asset and ends when the eligible asset
is exploitable or tradable. When the fixed asset is completed in stages, the cost of borrowing, which
corresponds to part of the asset stops being accounted for in the cost of the fixed asset and is transferred
to the results for the period.
7.18. Leases
Until 2018, leases were classified as financial or operating leases in accordance with the requirements of
IAS 17. Financial leases were capitalized at the beginning of the lease at the lowest value resulting from
the fair value of the fixed asset and the present value of the minimum rents, both of which were
Separate and Consolidated Annual Financial Statements as of 31
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determined at the beginning of the lease. Each rent was separated into obligation and interest. Operating
lease payments were recorded by a fixed method in the Total Income Statement throughout the duration
of the lease. As of 01/01/2019, based on IFRS 16, the classification of leases into operating leases and
financial leases is abolished for the lessee and all leases are regarded as assets of "Financial Position
Status" by establishing the "right to use" of assets and a "lease liability".
Recognition and initial calculation of the right to use an asset
At the start date of a lease term, the Group recognizes a right to use an asset and a lease liability by
calculating the right to use the asset at cost.
The cost of the right to use an asset includes:
• the amount of the initial measurement of the lease obligation (see below),
• any payments made before or on the start date of the lease period, reduced by the lease incentives
received,
• the initial direct costs borne by the lessee, and
• an estimate of the expenses that will be borne by the Group during the dismantling and removal of
the leased asset, the restoration of the area in which the leased asset is located or the restoration
of the asset as required by its terms and conditions of the lease. The Group undertakes the
obligation for such expenses either on the start date of the lease term or as a consequence of the
use of the leased asset during a particular period.
Initial calculation of the lease liability
At the start date of the lease term, the Group calculates the lease liability to the present value of the
unpaid rent payments on that date. When the imputed rental rate can be determined appropriately, then
the lease payments will be discounted using this interest rate. Otherwise, the Group's marginal lending rate
is used.
At the start date of the lease term, the payments included in the calculation of the lease liability include the
following payments for the right to use an asset during the lease period, unless they have been paid at the
start date of the lease:
(a) fixed payments minus any receivable lease incentives,
(b) any variable payments of rents that depend on future changes in indices or interest rates, which are
initially measured using the index or interest rate at the start date of the lease term,
(c) the amounts expected to be paid by the Group as residual value guarantees,
(d) the price of exercising the right to purchase if it is essentially certain that the Group will exercise the
right, and
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e) the payment of penalties for termination of the lease, if the lease period reflects the exercise of the
Group's right to terminate the lease.
Subsequent calculation
Subsequent calculation of the right to use an asset
After the start date of the lease term, the Group calculates the right to use an asset using the cost model.
The Group calculates the right to use an asset at cost:
(a) minus any accumulated depreciation and accumulated impairment losses, and
(b) adapted for any subsequent measurement of the lease obligation,
The Group applies the requirements of IAS 16 regarding the amortization of the right to use an asset,
which it examines for any impairment. The right to use an asset is depreciated in the shortest period
between the useful life of the asset or its lease term, by a fixed method.
Subsequent liability calculation
After the start date of the lease period, the Group calculates the lease liability, as follows:
(a) by increasing the book value in order to reflect the financial cost of the lease liability,
(b) reducing the book value in order to reflect the rents paid, and
(c) re-calculating the accounting value in order to reflect any revision or amendment of the lease.
The financial costs of a lease are distributed during the lease term in such a way as to result in a fixed
periodic interest rate on the outstanding balance of the liability.
After the start date of the lease term, the Group recognizes the profits or losses (except when the costs are
included in the book value of another asset for which other relevant Standards apply) and the following
two items:
(a) the financial costs on the lease liability, and
(b) variable lease payments that are not included in the calculation of the lease liability during the period in
which the event that activates those payments takes place.
7.19. Dividend distribution
The distribution of dividends to the shareholders of the parent company is recognized as a liability in the
consolidated financial statements at the date on which the distribution is approved by the General Meeting
of the shareholders.
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7.20. Related Parties
The transactions and intercompany outstanding balances with the Group’s related parties are disclosed in
accordance with IAS 24 “Related Party Disclosures”. These transactions regard transactions between the
management, the main shareholders and the subsidiary companies of a group with the parent company
and the other subsidiaries of the Group.
8. Risk Management
Financial risk factors
The Company and the Group are exposed to financial and other risks. The Group’s general risk
management program aims at containing potential negative influence to the Group’s financial results. The
Finance Department monitors and manages the risks to which the Group is exposed, it determines and
hedges if necessary the financial risks in cooperation with the departments which are facing these risks.
Further, it does not conduct any business transactions which are not related to the commercial, investment
or borrowing activities of the Group.
More specifically, for these risks we note the following:
Foreign Exchange Risk
The Group conducts most of its transaction in Euro, thus limiting direct foreign exchange risk. However,
apart from the Euro, it conducts commercial transaction at a global level and consequently is exposed to
foreign exchange risk coming mainly from the US dollar. These transactions regard only a small portion of
its activities and thus the foreign exchange risk is limited.
Credit Risk
The Group does not have any considerable concentration of credit risk in any of its contracting parties,
since on the one hand exports are covered by bank guarantees and retail sales are mostly made in cash
and on the other hand its customer base is dispersed in wholesale. The Group’s wholesale is performed
based on its internal rules of operation, which ensure that the sale of goods and services is made to
creditworthy clients. For any doubtful customer credits, the company has concluded an insurance contract
covering credits with EULER HERMES.
The tables below analyzes the Company’s and the Group’s credit risk:
GROUP
COMPANY
31/12/2022
31/12/2021
31/12/2022
31/12/2021
Financial Assets
Other long-term receivables
52,864
55,355
33,165
35,655
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 141
Receivables and advance payments
13,823,622
11,372,568
15,584,302
12,434,368
Cash in hand
1,626,101
1,420,374
1,448,934
1,383,290
15,502,587
12,848,298
17,066,401
13,853,313
Liquidity Risk
The liquidity needs are determined for a period of 6 months and are reviewed on a monthly basis. Payment
requirements are monitored on a weekly basis. During periods of insufficient liquidity the company can
finance its liquidity requirements through bank borrowing from approved credit limits it has with banks.
With the purpose of dealing with the adverse economic conditions which prevail, the Group has taken
measures aiming at reducing the time for recovery of claims and the maintenance of satisfactory amounts
of cash and other assets with high liquidity.
The analysis of undiscounted contractual payments of the financial liabilities of the Group and the Company
are as follows:
GROUP
COMPANY
Financial Liabilities
31/12/2022
31/12/2021
31/12/2022
31/12/2021
Long-term loan liabilities
17,924,240
20,534,409
17,924,240
20,534,409
Current tax liabilities
853,605
1,050,262
833,302
1,032,447
Liabilities from finance leases
1,374,907
914,575
1,374,907
914,575
Trade and other short-term liabilities
13,258,577
11,247,611
14,224,662
11,343,018
Short-term loan liabilities
22,616,604
18,288,564
22,616,604
18,288,564
Short-term liabilities of finance leases
557,538
815,574
557,538
815,574
Long-term loan liabilities payable in the
following fiscal year
3,860,163
3,894,323
3,860,163
2,903,497
60,445,633
56,745,318
61,391,415
55,832,084
GROUP
31/12/2022
Short-term
Long-term
Amounts in €
6 to12
months
1 to 5
years
6 to12
months
1 to 5
years
Bank borrowing
13,238,384
13,238,384
16,504,240
1,420,000
Finance leases liabilities
278,769
278,769
1,374,907
Trade and other short-term liabilities
13,042,157
216,420
Current tax liabilities
521,936
331,670
Total
27,081,245
14,065,242
17,879,146
1,420,000
GROUP
31/12/2021
Short-term
Long-term
Amounts in €
within 6
months
6 to12
months
within 6
months
6 to12
months
Bank borrowing
11,091,444
11,091,444
17,764,409
2,770,000
Finance leases liabilities
407,787
407,787
914,575
Trade and other short-term liabilities
11,247,611
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 142
Current tax liabilities
664,279
385,983
Total
23,411,121
11,885,213
18,678,984
2,770,000
COMPANY
31/12/2022
Short-term
Long-term
Amounts in €
within 6
months
6 to12
months
within 6
months
6 to12
months
Bank borrowing
13,238,384
13,238,384
16,504,240
1,420,000
Finance leases liabilities
278,769
278,769
1,374,907
Trade and other short-term liabilities
14,008,241
216,420
Current tax liabilities
501,633
331,670
Total
28,027,026
14,065,242
17,879,146
1,420,000
COMPANY
31/12/2021
Short-term
Long-term
Amounts in €
within 6
months
6 to12
months
within 6
months
6 to12
months
Bank borrowing
10,596,031
10,596,031
17,764,409
2,770,000
Finance leases liabilities
407,787
407,787
914,575
Trade and other short-term liabilities
11,343,018
Current tax liabilities
646,464
385,983
Total
22,993,300
11,389,800
18,678,984
2,770,000
Interest Rate Fluctuation Risk
The Group monitors and manages its borrowing, by using a combination of short-term and long-term
borrowing. There are approved credit limits and satisfactory terms of cooperation and invoicing of various
bank services which assist in limiting the financial cost of the Group.
The table below represents the sensitivity of the income statement for the period, as well as of equity,
based on a reasonable fluctuation in the interest rate in the range of +1% or –1%:
COMPANY
Variable
Variable
1%
-1%
1%
-1%
31/12/2022
31/12/2021
Profit-loss account (before tax)
(448,950)
448,950
(436,619)
436,619
Net Position
(350,181)
350,181
(331,831)
331,831
GROUP
Variable
Variable
1%
-1%
1%
-1%
31/12/2022
31/12/2021
Profit-loss account (before tax)
(453,904)
453,904
(452,387)
452,387
Net Position
(354,045)
354,045
(352,862)
352,862
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 143
Risk related to Inventory-Suppliers
The Group takes all the necessary measures (insurance, storage) to minimize the risk of potential losses
from the loss of inventories due to natural disasters, theft etc. The Management continuously reviews the
net realizable value of inventories and makes the necessary write-downs. In addition, the Company
believes that dependence on suppliers is limited and in any case insignificant to the economic size of the
Group, as there is no significant dependence on specific suppliers, as no one supplies the Company with
products amounting to more than 10% of its total purchases.
Dependence on Customers
The Group’s customer base is dispersed and there is no dependence risk from large customers. The Group
aims in satisfying even a larger number of customers by expanding its range of products and aiming in
directly satisfying their needs.
Capital Management
The primary objective of the Group’s and Company’s capital management is to ensure the maintenance of
an acceptable credit rating and a healthy capital ratio, aiming for the smooth operation of its business
activities and to maximize the value of its shareholders. The Group and the Company manage the capital
restructuring and make adjustments in order to be in harmony with the changes in the economic
environment.
A significant instrument for capital management is the use of a leverage ratio (debt-to-equity ratio), which
is monitored at Group level. The calculation of net borrowing includes interest bearing loans and bonds less
cash and cash equivalents.
GROUP
COMPANY
31/12/2022
31/12/2021
31/12/2022
31/12/2021
Loans
46,333,451
44,447,445
46,333,451
43,456,619
Less: Cash in hand
-1,626,101
-1,420,374
-1,448,934
-1,383,290
Net Borrowing
44,707,350
43,027,071
44,884,517
42,073,329
Total Equity
49,624,783
49,922,203
45,749,163
45,923,863
Leverage ratio
0.901
0.862
0.981
0.916
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 144
9. Financial reporting per segment
A business segment is a group of assets and activities which include goods and services which are subject
to different risks and returns from those of other business segments.
A geographical segment is a geographical area in which products and services are provided and which is
subject to different risks and returns from other areas.
The Group is active in the exploitation of marble quarries (mining and trading of Marble), in the segment of
wind energy, as well as in Real Estate. Geographically the Group is active in Greece, the Euro Area and
Other Countries.
Primary reporting segment-business segments
The profit-loss account of the Group per segment is analyzed as follows:
GROUP
1/1 - 31/12/2022
Marble
Aeolean Energy
REAL
ESTATE
Grand total
Total gross sales/segment
31,624,221
2,177,847
0
33,802,067
Intercompany sales/segment
(783,505)
0
0
(783,505)
Net sales per segment
30,840,716
2,177,847
0
33,018,563
Cost of Sales
(20,034,470)
(2,519,128)
(22,553,598)
Gross profit/loss
10,806,246
(341,282)
0
10,464,964
Operating profit/loss
(9,143,668)
483,040
(72,448)
(8,733,076)
Financial profit/loss
(1,699,217)
(23,941)
(503)
(1,723,661)
Financial investment profit/loss
0
0
0
0
Profit before tax
(36,639)
117,817
(72,951)
8,227
Income tax
(356,833)
37,382
(14,732)
(334,183)
Net profit /loss
(393,472)
155,199
(87,683)
(325,956)
Depreciation
2,576,546
1,970,120
0
4,546,666
Grants Income
26,781
542,928
0
569,709
Operating profit/loss before
Taxes,
Financial, Investment
profit/loss,
and Depreciation (ΕΒΙΤDΑ)
4,212,343
1,568,950
(72,448)
5,708,845
GROUP
1/1 - 31/12/2021
Marble
Aeolean Energy
REAL
ESTATE
Grand total
Total gross sales/segment
33,025,768
1,942,128
0
34,967,895
Intercompany sales/segment
0
0
0
0
Net sales per segment
33,025,768
1,942,128
0
34,967,895
Cost of Sales
(19,679,080)
(2,600,378)
(22,279,458)
Gross profit/loss
13,346,688
(658,251)
0
12,688,437
Operating profit/loss
(8,838,275)
506,343
(32,190)
(8,364,121)
Financial profit/loss
(1,084,817)
(509,456)
(1,286)
(1,595,559)
Financial investment profit/loss
(134,166)
0
0
(134,166)
Profit before tax
3,289,431
(661,364)
(33,475)
2,594,591
Income tax
(451,278)
(61,448)
342,177
(170,549)
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 145
Net profit /loss
2,838,153
-722,812
308,701
2,424,042
Depreciation
2,896,060
557,226
0
4,713,919
Operating profit/loss before
Taxes,
Financial, Investment
profit/loss,
and Depreciation (ΕΒΙΤDΑ)
7,466,486
1,266,361
(32,190)
7,929,510
The breakdown of consolidated assets and liabilities into business sectors is analyzed as follows:
GROUP
1/1 - 31/12/2022
Marble
Aeolean Energy
REAL ESTATE
Grand total
Segment Assets
76,766,145
16,328,522
29,458,834
122,553,501
Consolidated Assets
76,766,145
16,328,522
29,458,834
122,553,501
Segment Liabilities
61,790,210
7,113,063
4,025,446
72,928,719
Consolidated Liabilities
61,790,210
7,113,063
4,025,446
72,928,719
1/1 - 31/12/2021
Marble
Aeolean Energy
REAL ESTATE
Grand total
Segment Assets
69,461,748
19,429,267
30,308,384
119,199,400
Consolidated Assets
69,461,748
19,429,267
30,308,384
119,199,400
Segment Liabilities
56,235,686
8,783,441
4,868,426
69,887,553
Consolidated Liabilities
56,235,686
8,783,441
4,868,426
69,887,553
Secondary reporting segment-geographical segments
The largest number of sales of the Group takes place in China and the company is mainly active in Greece,
Eurozone and Asia.
The sales of the Group per geographical segment are analyzed as follows:
GROUP
COMPANY
SALES
1/1 -
31/12/2022
1/1 -
31/12/2021
1/1 -
31/12/2022
1/1 -
31/12/2021
Eurozone
1,460,125
944,961
1,460,125
944,961
Other European Countries
365,930
625,932
365,930
625,932
Asia
18,179,301
22,343,195
18,179,301
22,343,195
America
4,801,592
4,628,865
4,801,592
4,628,865
Australia
101,753
51,757
101,753
51,757
Africa
1,770,914
380,669
1,770,914
380,669
Export via third parties
3,484,798
2,940,497
3,484,798
2,940,497
Greece
2,854,150
3,052,019
653,574
1,098,722
Total
33,018,563
34,967,895
30,817,987
33,014,598
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 146
10. Notes on the Financial Statements
10.1. Notes on the Financial Statements
The analysis of the tangible assets of the Group and the Company is presented below:
GROUP
Land Plots
&
Buildings
Transport Means
& Mechanical
Equipment
Furniture and
other
Equipment
Assets
under
Construction
Total
Carrying value at January 1 2021
18,329,727
29,153,920
406,536
0
47,890,183
Gross Carrying Value
24,324,513
62,463,593
1,747,577
0
88,538,686
Accumulated depreciation and impairment
(6,626,355)
(36,111,817)
(1,266,970)
0
(44,005,144)
Carrying value at December 31 2021
17,698,158
26,351,776
480,607
0
44,530,541
Gross Carrying Value
24,794,941
64,125,802
1,840,131
0
90,760,874,15
Accumulated depreciation and impairment
(7,215,997)
(39,753,192)
(1,357,379)
0
(48,326,567,28)
Carrying value at December 31 2022
17,578,944
24,372,610
482,752
0
42,434,306
Land Plots
&
Buildings
Transport Means
& Mechanical
Equipment
Furniture and
other
Equipment
Assets
under
Construction
Total
Carrying value at January 1 2021
18,329,727
29,153,920
406,536
0
47,890,183
Additions
21,867
768,668
193,840
0
1,014,375
Real Estate Adjustment
0
(115,712)
(397)
0
(116,109)
Sales - Reductions
0
0
0
0
0
Depreciation
(582,110)
(3,597,634)
(119,770)
0
(4,299,214)
Real estate depreciation adjustment
0
41,208
397
0
41,605
Sales - Depreciation reductions
0
0
0
0
37
Transport
(101,327)
(101,327)
0
0
0
Carrying value at December 31 2021
17,698,158
26,351,776
480,607
0
44,530,541
Additions
470,428
1,714,750
96,461
0
2,281,639
Sales - Reductions
0
(52,541)
(3,907)
0
(56,448)
Depreciation
(589,642)
(3,668,344)
(94,316)
0
(4,352,302)
Sales - Depreciation reductions
0
26,970
3,907
0
30,877
Carrying value at December 31 2022
17,578,944
24,372,610
482,752
0
42,434,306
COMPANY
Land Plots
&
Buildings
Transport Means
& Mechanical
Equipment
Furniture and
other
Equipment
Assets
under
Construction
Total
Carrying value at January 1 2021
13,840,421
11,651,722
373,318
0
25,865,461
Gross Carrying Value
17,591,500
25,945,769
1,603,461
45,140,770
Accumulated depreciation and impairment
(4,151,663)
(15,429,003)
(1,151,237)
(20,731,943)
Carrying value at December 31 2021
13,439,838
10,516,765
452,225
0
24,408,827
Gross Carrying Value
18,045,148
27,523,134
1,692,115
47,260,397
Accumulated depreciation and impairment
-4,510,389
-17,247,501
-1,236,036
(22,993,925)
Carrying value at December 31 2022
13,534,759
10,275,634
456,079
0
24,266,472
Land Plots
&
Buildings
Transport Means
& Mechanical
Equipment
Furniture and
other
Equipment
Assets
under
Construction
Total
Carrying value at January 1 2021
13,840,423
11,651,722
373,318
0
25,865,461
Additions
50,911
621,728
193,457
0
866,096
Sales - Reductions
0
(95,928)
(397)
(96,325)
Depreciation
(350,168)
(1,803,292)
(114,551)
0
(2,268,010)
Sales - Depreciation reductions
0
41,208
397
0
41,605
Transport
(101,327)
101,327
0
0
(0)
Carrying value at December 31 2021
13,439,838
10,516,765
452,225
0
24,408,827
Additions
453,648
1,618,352
92,561
0
2,164,561
Sales - Reductions
(40,986)
(3,907)
0
(44,894)
Depreciation
(358,726)
(1,845,467)
(88,706)
0
(2,292,899)
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 147
Sales - Depreciation reductions
26,970
3,907
0
30,877
Carrying value at December 31 2022
13,534,759
10,275,634
456,079
0
24,266,472
The tangible assets of the above table include the fixed assets with use rights of the company and the
group which are analyzed by category of asset in the following table.
GROUP
LAND &
BUILDINGS
MEANS OF
TRANSPORT
MACHINERY
Balance at the end of the period 31/12/2020
328,633
101,327
4,449,592
Period additions
3,350
14,474
416,775
Period depreciation
-47,288
-59,274
-554,305
Derecognition
-2,734
Balance at the end of the period 31/12/2021
284,696
53,793
4,312,062
Period additions
26,804
70,290
892,760
Period depreciation
-53,989
-39,570
-632,551
Derecognition
Balance at the end of the period 31/12/2022
257,512
84,512
4,572,271
COMPANY
LAND &
BUILDINGS
MEANS OF
TRANSPORT
MACHINERY
Balance at the end of the period 31/12/2020
328,633
101,327
4,449,592
Period additions
3,350
14,474
416,775
Period depreciation
-47,288
-59,274
-554,305
Derecognition
-2,734
Balance at the end of the period 31/12/2021
284,696
53,793
4,312,062
Period additions
26,804
70,290
892,760
Period depreciation
-53,989
-39,570
-632,551
Derecognition
Balance at the end of the period 31/12/2022
257,512
84,512
4,572,271
10.2. Intangible Assets
GROUP
Software
Rights
Other
Total
Carrying value on 1 January 2021
11,531
8,696,421
131,067
8,839,019
Gross carrying value
380,379
10,531,007
469,962
11,407,970
Accumulated depreciation and impairment of value
(369,459)
(2,348,336)
(339,820)
(3,084,237)
Carrying value on 31 December 2021
10,921
8,182,671
130,142
8,323,734
Gross carrying value
385,879
13,458,516
416,331
14,260,726
Accumulated depreciation and impairment of value
(374,221)
(2,943,795)
(367,333)
(3,685,349)
Carrying value on 31 December 2022
11,658
10,514,722
48,998
10,575,378
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 148
Software
Rights
Other
Total
Carrying value on 1 January 2021
11,531
8,696,421
131,067
8,839,019
Additions
8,325
133,299
0
141,624
Disposals –Write-offs
0
(14,020)
(12,602)
(26,622)
Depreciation
(8,935)
(593,840)
(27,512)
(630,287)
Carried forward
0
(39,189)
39,189
0
Carrying value on 31 December 2021
10,921
8,182,671
130,142
8,323,734
Additions
5,500
2,874,300
0
2,879,800
Disposals –Write-offs
0
0
(422)
(422)
Depreciation
(4,763)
(595,459)
(27,512)
(627,734)
Carried forward
0
(53,210)
53,210
0
Carrying value on 31 December 2022
11,658
10,514,722
48,998
10,575,378
COMPANY
Software
Rights
Total
Carrying value on 1 January 2021
11,531
8,607,485
8,619,015
Gross carrying value
377,385
10,238,681
10,616,066
Accumulated depreciation and impairment of value
(366,464)
(2,091,738)
(2,458,203)
Carrying value on 31 December 2021
10,921
8,146,944
8,157,864
Gross carrying value
382,885
13,112,981
13,495,866
Accumulated depreciation and impairment of value
(371,227)
(2,687,197)
(3,058,424)
Carrying value on 31 December 2022
11,658
10,425,785
10,437,443
Software
Rights
Total
Carrying value on 1 January 2021
11,531
8,607,484
8,619,015
Additions
8,325
133,299
141,624
sales-reductions
0
Depreciation
-8,935
-593,840
-602,775
Sales - Depreciation reductions
0
0
0
transfers
0
0
0
Carrying value on 31 December 2021
10,921
8,146,943
8,157,864
Additions
5,500
2,874,300
2,879,800
sales-reductions
0
Depreciation
(4,763)
(595,459)
(600,221)
Sales - Depreciation reductions
0
0
0
transfers
0
0
0
Carrying value on 31 December 2022
0
0
0
11,658
10,425,785
10,437,443
Also, prenotations of mortgage have been registered in the amount of Euro 1,500,000 (first mortgage) to
secure the common bond loan of Euro 7,000,000 signed with ALPHA BANK (formerly EMPORIKI BANK)
which was repaid on 30/3/2021 and the process of removal of the prenotation has been initiated.
10.3 Real estate investments
GROUP
COMPANY
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 149
Real estate investments on 31 December 2020
29,061,664
102,000
Additions
0
0
Additions from a subsidiary acquisition
0
0
Sales
0
0
Valuation
0
0
Real estate investments on 31 December 2021
29,061,664
102,000
Additions
12,296
Additions from a subsidiary acquisition
Sales
Valuation
Real estate investments on 31 December 2022
29,073,959
102,000
The investment properties of the Company amounting to € 102,000, relate to the fair value of two properties,
one of which was purchased in 2015 and the second in 2016, for the purpose of exploiting them. The
investment properties of the Group amounting to € 29,073,959 concern an area of 2,800 acres in Sitia, Crete
for the purpose of selling it and the Group and the Company monitor these properties at fair value (see Note
10.28).
10.4. Investments in Subsidiaries and Related Companies
Investments in subsidiaries are analyzed below:
COMPANY
FEIDIAS
S.A.
(90.00%
Share)
KALLITECHNOKRATIS
LTD. (30.00%
Participation)
IDEI S.A.
(100%
Participation)
ΙΚΤΙΝΟS
MARMARON
S.A. (100%
Participation)
LATIRUS
(97.764%
Participation)
TOTAL
Acquisition Cost
31/12/2021
484,742
11,005
13,051,500
0
16,373,861
29,921,108
Equity Increase
46,000
46,000
Participation impairment
Acquisition Cost
31/12/2022
484,742
11,005
13,051,500
0
16,419,861
29,967,109
The company proceeded with a Share Capital increase of 1,600,000 euro to the 100% subsidiary Latirus
Ltd SA and until 31/12/2022 it had paid a cash contribution of 849,953 euro, while within 2022, 46,000
euro were paid.
During the year, the Company carried out an impairment test of all its holdings. The audit did not show any
impairment of the value of the subsidiaries. Specifically, for the subsidiary IDEI the basic assumptions used
are:
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 150
Average energy price for the year 2022 (euro 86.00 per megawatt-hour).
The discount rate applied (Average Weighted Capital Cost) is 8.90%.
The growth rate of cash flows has been calculated in management-approved business plans, which have
included the necessary revisions to capture the current economic situation, which management believes
reflects past experience and other available information from external sources.
The company performed a sensitivity analysis by increasing the discount rate by 1% (i.e. 9.9%) which did
not result in an amount to impair the participation.
10.5. Deferred taxes
The corporate income tax rate in Greece was set at 22% 22%.
The deferred tax receivables/liabilities of the Group as they arise from the relevant provisional tax
differences are as follows:
GROUP
31/12/2022
31/12/2021
Receivables
Liabilities
Receivables
Liabilities
Non-current assets
Intangible Assets
249,195
50,172
423,499
54,760
Tangible assets
96,766
3,417,065
156,377
3,556,622
Investment properties
3,939,239
3,939,239
Current Assets
Inventories
44,000
44,000
Receivables
209,711
202,188
Financial assets measured at fair
value
11,128
Long-term Liabilities
Provisions
173,530
1,578
219,793
20,860
Other Long-term Liabilities
48,258
Short-term Liabilities
Short-term Provisions
Other Short-term Liabilities
312,193
38,224
7,950
Total
1,133,654
7,457,406
1,053,807
7,571,481
Respectively, the deferred tax receivables/liabilities of the Company as they arise from the relevant
provisional tax differences are as follows:
COMPANY
31/12/2022
31/12/2021
Receivables
Liabilities
Receivables
Liabilities
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 151
Non-current assets
Intangible assets
212,463
385,993
Tangible assets
11,161
686,781
82,147
791,914
Investment properties
10,153
10,153
Investments in related companies
1,998,813
1,998,813
Current Assets
Stock
44,000
44,000
Receivables
209,711
202,188
Financial assets measured at fair
value
11,128
Inventory
Tax deduction for inventory
Long-term Liabilities
Provisions
157,281
204,463
19,287
Other Long-term Liabilities
48,258
Short-term Liabilities
Short-term Provisions
Other Short-term Liabilities
312,193
38,224
7,950
Total
2,993,880
746,286
2,925,554
821,354
The income tax rate which the Group is subject to is 22%.
The deferred tax has been calculated based on the tax rate applicable in each year in which the income or
expense is recognized.
Deferred taxes in the Statement of Comprehensive Income are as follows:
GROUP
COMPANY
1/1-
31/12/2022
1/1-
31/12/2021
1/1-
31/12/2022
1/1-
31/12/2021
Intangible assets expenditure/(income)
169,715
47,502
173,530
35,090
Tangible assets expenditure/income)
-79,946
93,192
-34,147
9,884
Investment property expenditure / (income)
-358,113
-923
Investments in related companies expenditure/(income)
610,357
Inventory expenditure/(income)
4,000
4,000
Receivables expenditure/(income)
-7,523
18,381
-7,523
18,381
Financial assets at fair value through profit or loss
expenditure / (income)
11,128
0
11,128
0
Provisions expenditure / (income)
18,932
31,539
20,271
2,739
Other Long-Term Liabilities expenditure/(income)
-48,258
-48,258
Other Short-Term Liabilities expenditure/(income)
-266,019
723
-266,019
723
Expenditure/(income) of Deferred tax in profit/loss
account
-201,971
-162,776
-151,017
680,250
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 152
10.6. Other long-term receivables
Other long-term receivables of the Group and the Company are analyzed in the table below:
GROUP
COMPANY
31/12/2022
31/12/2021
31/12/2022
31/12/2021
Given guarantees
52,864
55,355
33,165
35,655
10.7. Inventories
The inventories of the Group and the Company are analyzed as follows:
GROUP
COMPANY
31/12/2022
31/12/2021
31/12/2022
31/12/2021
Raw materials
8,342,050
9,100,250
8,342,050
9,100,250
Finished and semi-finished products
12,784,000
12,262,573
12,784,000
12,262,573
Work in progress
0
0
0
0
Merchandise
470,254
828,953
470,254
828,953
Other
2,525,755
2,100,592
2,489,825
2,067,965
Provisions for impairment of
inventories
(351,499)
(350,000)
(351,499)
(350,000)
Total
23,770,561
23,942,368
23,734,630
23,909,741
10.8. Customers and other trade receivables
Customers and other trade receivables of the Group and the Company are analyzed as follows:
GROUP
COMPANY
31/12/2022
31/12/2021
31/12/2022
31/12/2021
Customers
11,112,694
7,880,729
13,346,506
9,544,476
Bills receivable
13,000
13,000
13,000
13,000
Checks receivable
532,750
845,730
532,750
845,730
Less: Impairment provisions
-932,832
-932,832
(932,882)
(932,832)
Net Trade receivables
10,725,562
7,806,627
12,959,423
9,470,324
The fair values of the receivables do not differ substantially from the values recognized in the Financial
Statements.
The movement of the account "provisions for doubtful receivables" is as follows:
GROUP
COMPANY
31/12/2022
31/12/2021
31/12/2022
31/12/2021
Balance on 1 January
-932,882
-912,742
-932,882
-964,561
Addition of current period
Deletion of provisions due to completion
of subsidiary liquidation
-51,819
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 153
Use of provisions
31,679
31,679
Total
-932,882
-932,882
-932,882
-932,882
The provision for impairment based on the new IFRS 9 standard is analyzed as follows:
GROUP
2022
Stage 1
Stage 2
Stage 3
Balance on January 1st
0
-408,470,23
-524,412,00
Addition of current period
0
0,00
(179,861)
Use of provisions
0
179,910,69
0,00
Balance December 31st
0
-228,559,54
-704,272,65
COMPANY
2022
Stage 1
Stage 2
Stage 3
Balance on January 1st
0
-408,470,23
-524,412
Addition of current period
0
0,00
(179,861)
Use of provisions
0
179,910,69
0,00
Balance December 31st
0,00
-228,559,54
-704,272,65
The time frame of trade receivables is as follows::
GROUP
COMPANY
31/12/2022
31/12/2021
31/12/2022
31/12/2021
Not due and not impaired
5,777,932
4,199,825
8,011,793
6,254,626
Due and not impaired:
0- 90 days
1,247,844
1,401,002
1,247,844
1,009,898
91 - 180 days
2,389,080
882,320
2,389,080
882,320
181 - 365 days
1,310,706
1,323,480
1,310,706
1,323,480
> 365 days
0
0
0
0
10,725,562
7,806,627,00
12,959,423
9,470,324,00
Provisions for doubtful receivables are recognized on an individual basis when there is an objective
indication that the group and the company will not collect all the amounts provided under the original
terms of the sales contracts. Signs of non-collection are the delay in the collection of receivables and the
significant financial difficulties of the customers-debtors. The amount of the provision is the difference
between the carrying amount of the receivables and the estimated cash flows to be received. The carrying
amount of receivables is reduced through a reverse account (forecast), recognizing the decrease in results
in the item "Other Expenses". Subsequent recoveries of impaired amounts are recognized as revenue in the
"Other Revenue" line.
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 154
10.9. Other receivables
Other receivables of the Group and the Company are analyzed as follows:
GROUP
COMPANY
31/12/2022
31/12/2021
31/12/2022
31/12/2021
Receivables from the Greek Government
1,848,347
1,637,976
1,809,870
1,399,712
Advance payments
0
120,925
0
0
Other receivables
1,249,714
1,807,041
815,009
1,564,332
Net receivables from debtors
3,098,060
3,565,942
2,624,879
2,964,045
The fair values of receivables do not fundamentally differ from the values recognized in the Financial
Statements.
10.10. Cash and cash equivalents
The Cash in hand of the Group and the Company are analyzed as follows:
GROUP
COMPANY
31/12/2022
31/12/2021
31/12/2022
31/12/2021
Cash in hand
3,442
2,573
1,812
850
Short-term bank deposits
1,622,659
1,417,80
1,447,121
1,382,440
Total
1,626,101
1,420,374
1,448,934
1,383,290
10.11. Equity
Share capital
VALUE
Number of
Shares
Share
Capital
At
premium
Total
Balance on 31 December 2020
28,580,100
11,432,040
43,792
11,475,832
Issuance of new shares
-
-
-
-
Share Capital Increase with share premium capitalization
-
-
-
-
Return capital
-
-
-
-
Balance on 31 December 2021
28,580,100
11,432,040
43,792
11,475,832
Issuance of new shares
-
-
-
-
Share Capital Increase with share premium capitalization
-
-
-
-
Return capital
-
-
-
-
Balance on 31 December 2022
28,580,100
11,432,040
43,792
11,475,832
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 155
The share capital of the company amounts to the amount of euros 11,432,040, fully paid and divided into
114,320,400 common registered shares, with a nominal value of 0.10 euros each. In addition, the
Reserves
GROUP
Statutory
reserve
Other Reserves
Total
Balance on 31 December 2020
2,780,744
6,719,813
9,500,557
Changes during the period
26,508
0
26,508
Balance on 31 December 2021
2,807,253
6,719,813
9,527,066
Changes during the period
104,776
0
104,776
Balance on 31 December 2022
2,912,029
6,719,813
9,631,841
COMPANY
Statutory
reserve
Other Reserves
Total
Balance on 31 December 2020
2,780,744
6,719,813
9,500,557
Changes during the period
26,508
0
26,508
Balance on 31 December 2021
2,807,253
6,719,813
9,527,066
Changes during the period
104,776
0
104,776
Balance on 31 December 2022
2,912,029
6,719,813
9,631,841
10.12. Loan liabilities and Financial Lease Liabilities
The loan liabilities of the Group and of the Company are analyzed as follows:
The maturity dates of all the Group's and Company's loans are as follows:
GROUP
COMPANY
31/12/2022
31/12/2021
31/12/2022
31/12/2021
Long-term loans
Bank loans
17,924,240
20,534,409
17,924,240
20,534,409
Finance lease liabilities
1,374,907
914,575
1,374,907
914,575
Total long-term loans
19,299,147
21,448,984
19,299,147
21,448,984
Long-term liabilities payable in the
following period
3,860,163
3,894,323
3,860,163
2,903,497
Short-term loans
Bank loans
22,616,604
18,288,564
22,616,604
18,288,564
Finance lease liabilities
557,538
815,574
557,538
815,574
Total short-term loans
27,034,305
22,998,461
27,034,305
22,007,635
Total loans
46,333,452
44,447,445
46,333,452
43,456,619
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 156
COMPANY
Up to 1 year
Between 1
and 5 years
Over 5 years
31-Dec-21
Total loans
21,192,062
17,764,409
2,770,000
Total finance leases
815,574
914,575
31-Dec-22
Total loans
26,476,767
16,504,240
1,420,000
Total finance leases
557,538
1,374,907
GROUP
31-Dec-21
Up to 1 year
Between 1
and 5 years
Over 5 years
Total loans
22,182,888
17,764,409
2,770,000
Total finance leases
815,574
914,575
31-Dec-22
Total loans
26,476,767
16,504,240
1,420,000
Total finance leases
557,538
1,374,907
In 2020 the parent company received an amount of 500,000 euros in the form of a refundable advance
based on Ministerial Decision (KYA) ΓΔΟΥ 94/2.5.2020. According to ΓΔΟΥ 1054/15.11.2021 a business
may pay 33,3% as long as it maintained the levels of employment and received an extra 15% deduction on
the remaining amount due to its payment in full.
The company recognized a benefit:
• According to ΓΔΟΥ 1048/15.11.2021 an amount of 250,000 euro in the results of fiscal year 2021,
as it met the conditions of not repaying 50%
• According to ΓΔΟΥ 1054/15.11.2021 an amount of 108,250 euro in the results of fiscal year 2022,
as it met the conditions of paying 33,3%.
The company eventually paid the amount of 141,750 euro, receiving an extra deduction of 15% on the
remaining amount due to its payment in full.
Collateral
A pledge of first class and series has been established on shares issued by Iktinos Techniki and Touristiki
SA, which correspond to 97.764% of the share capital owned by Laritus Ltd, in securing the common bond
loan of € 10,000,000 signed with ALPHA BANK. The balance of the loan as of 31/12/2022 amounts to
7,660,000 euro.
The average borrowing rate of the group and the company at the balance sheet date is 4.16% and 4.15%
respectively.
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 157
10.13. Employee benefits liabilities
The changes in the present value of employees’ compensation due to retirement are as follows:
GROUP
COMPANY
31/12/2022
31/12/2021
31/12/2022
31/12/2021
Opening balance for period on
01/01/2021
501,428
443,987
470,423
420,719
Current employment costs
74,467
61,266
70,429
58,127
Financial cost
2,304
4,547
2,163
4,310
Previous experience costs
0
6,344
0
2,109
Cost (result) of Settlements
23,014
15,725
23,014
15,725
Benefits paid within the current year
-44,246
-24,381
-44,246
-24,381
Actuarial (gains) / losses
-36,584
-6,061
-34,651
-6,185
Liability Balance on 31/12/2022
520,383
501,428
487,133
470,423
The main actuarial assumptions used are the following:
31/12/2022
31/12/2021
Prepayment Rate
3.79%
0.40%
Future increases in salaries
3.50%
2.50%
Inflation
3.00%
2.20%
The use of a discount rate of 0.5% higher would result in the actuarial liability being lower by 3% for the
Company and the Group while the exact opposite, i.e. the use of a discount rate of 0.5% lower would
result in the actuarial liability being higher by 3% for the Company and the Group.
The use of 0.5% higher expected salaries increase would result in the actuarial liability being 3% higher for
the Company and the Group, while the exact opposite, i.e. the use of expected salary increase less by
0.5% would result in the actuarial liability being lower by 3% for the Company and the Group.
Sensitivity analysis
GROUP
COMPANY
Actuarial
Liability
% Change
Actuarial
Liability
% Change
Increase of discount interest rate by 0.5%
532,797
-3%
500,413
-3%
Decrease of discount rate by 0.5%
508,567
3%
474,417
3%
Increase of projected salary increase by 0.5%
508,471
3%
474,322
3%
Decrease of projected salary increase by 0.5%
532,763
-3%
500,386
-3%
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 158
10.14. Government Grants
The grants of the Group and of the Company are analyzed as follows:
GROUP
31/12/2022
31/12/2021
Grants
4,806,613
5,379,465
New Grants
0
0
Less:
Attributable depreciation for
the period
-569,709
-572,852
Total
4,236,904
4,806,613
COMPANY
31/12/2022
31/12/2021
Grants
55,993
85,917
New Grants
0
0
Less:
Attributable depreciation for the period
(26,781)
(29,924)
Total
29,212
55,993
10.15. Provisions
The Group has an obligation to restore the natural landscape in the areas where quarries are created or
electricity generation units are installed. The relevant provisions that have been recognized until
31/12/2022 by the Group and the Company are as follows:
GROUP
COMPANY
Provisions
Provisions
Opening balance on 1 January 2021
280,718
243,883
Additional provisions for the period:
Tax for unaudited periods
Wind farm restoration costs
1,842
Quarries restoration costs
(19,847)
(19,847)
Predictions recognized in the fixed
0
Closing balance on 31 December 2021
262,713
224,036
Additional provisions for the period:
Tax for unaudited periods
Wind farm restoration costs
3,745
3,745
Quarries restoration costs
1,934
Predictions recognized in the fixed
0
Closing balance on 31 December 2022
268,392
227,781
10.16. Suppliers and other liabilities
The analysis of the outstanding balances of suppliers and other related liabilities of the Group and of the
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 159
Company are as follows:
GROUP
COMPANY
31/12/2022
31/12/2021
31/12/2022
31/12/2021
Suppliers
966,423
197,663
849,008
97,891
Checks payable
6,165,709
5,087,333
5,789,631
4,668,636
Prepayments from
Customers
0
425,005
0
425005
Total
7,132,131
5,710,002
6,638,639
5,191,533
10.17. Current tax liabilities
GROUP
COMPANY
31/12/2022
31/12/2021
31/12/2022
31/12/2021
Income tax
331,920
385,983
331,670
385,983
Other taxes
521,686
664,279
501,633
646,464
Total
853,605
1,050,262
833,302
1,032,447
10.18. Other short-term liabilities
Other short-term liabilities of the Group and of the company are analyzed as follows:
GROUP
COMPANY
31/12/2022
31/12/2021
31/12/2022
31/12/2021
Insurance agencies
1,396,097
602,155
1,372,950
581,807
Dividends payable
39,741
39,741
39,741
39,741
Other liabilities
3,804,082
4,469,695
5,299,027
5,142,915
Accrued expenses
886,526
426,019
874,306
387,022
Total
6,126,446
5,537,610
7,586,023
6,151,485
10.19. Sales
The sales of the group and of the company are analyzed as follows:
GROUP
COMPANY
31/12/2022
31/12/2021
31/12/2022
31/12/2021
Merchandise
8,208
48,815
8,208
48,815
Goods
14,160,585
13,805,530
14,160,585
13,805,530
Raw materials
15,721,975
18,417,114
15,721,975
18,417,114
Services
637,112
403,202
614,384
392,106
Wind Energy
2,177,847
1,942,128
0
0
Other
312,836
351,106
312,836
351,106
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 160
TOTAL
33,018,563
34,967,895
30,817,987
33,014,672
10.20. Expenses per category
The expenses per category of the Group and of the Company are analyzed as follows:
GROUP
COMPANY
01/01-
31/12/2022
01/01-
31/12/2021
01/01-
31/12/2022
01/01-
31/12/2021
Employee remuneration
6,716,945
7,962,486
6,312,658
7,599,280
Third parties fees
671,742
727,598
642,379
700,616
Charges for third parties
3,512,288
3,280,782
2,850,782
2,523,245
Taxes-Duties
119,091
125,791
52,698
47,696
General Expenses
400,972
347,542
315,046
268,180
Financial
33,200
67,018
33,200
67,018
Depreciation
4,069,603
4,451,983
2,016,813
2,406,345
Total
15,523,841
16,963,200
12,223,578
13,612,379
Inventory cost
7,161,997
5,433,672
7,787,232
6,211,952
Impairment of inventory
Less self-supply
(132,240)
(117,415)
(132,240)
(117,415)
Sales Cost
22,553,598
22,279,458
19,878,569
19,706,916
Management expenses
GROUP
COMPANY
01/01-
31/12/2022
01/01-
31/12/2021
01/01-
31/12/2022
01/01-
31/12/2021
Employee remuneration
2,427,931
2,258,924
2,427,931
2,258,924
Third parties fees
1,189,680
1,505,174
1,141,410
1,465,521
Charges for third parties
197,466
27,316
187,676
78,153
Taxes-Duties
76,019
51,886
72,195
51,781
General Expenses
554,740
499,161
520,682
463,144
Financial
31,478
1,301
31,478
1,301
Depreciation
343,042
361,246
308,917
328,514
Provisions
93,443
83,336
93,443
75,961
Total
4,913,800
4,788,344
4,783,732
4,723,299
Cost of inventories
13,575
15,553
9,537
15,553
Total
4,927,375
4,803,897
4,793,269
4,738,852
Disposal costs
GROUP
COMPANY
01/01-
31/12/2022
01/01-
31/12/2021
01/01-
31/12/2022
01/01-
31/12/2021
Employee remuneration
1,209,919
1,145,992
1,209,919
1,145,992
Third parties fees
207,226
96,783
207,226
96,783
Charges for third parties
151,925
148,119
151,925
148,119
Taxes-Duties
43,684
41,263
43,684
41,263
General Expenses
3,526,809
3,492,062
3,526,809
3,492,062
Financial
1,356
840
1,356
840
Depreciation
134,020
135,964
134,020
135,964
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 161
Total
5,274,939
5,061,024
5,274,939
5,061,024
Cost of inventories
361,687
310,810
361,687
310,810
Total
5,636,626
5,371,834
5,636,626
5,371,834
Research and Development Expenses
01/01-
31/12/2022
01/01-
31/12/2021
01/01-
31/12/2022
01/01-
31/12/2021
Employee remuneration
0
0
0
0
Third parties fees
32,125
14,550
32,125
14,550
Charges for third parties
36
0
36
0
Taxes-Duties
333
333
General Expenses
23,427
5,363
23,427
5,363
Total
55,587
20,246
55,587
20,246
Inventory cost
0
0
0
0
Total
55,587
20,246
55,587
20,246
For the year ended in 31 December 2022, the expenses of the year analyzed in the item "Third Party Fees"
include fees of the statutory auditor and the audit firm in the amount of euros (2022 : € 6,000) for the
Group and euros (2022 : € 6,000) for the Company, concerning permitted non-audit services (excluding the
services of mandatory and tax audit).
Employee remuneration is analyzed as follows:
GROUP
COMPANY
1/1 -
31/12/2022
1/1 -
31/12/2021
1/1 -
31/12/2022
1/1 -
31/12/2021
Salaries and wages
7,698,913
8,827,641
7,375,718
8,538,314
Employer contributions
2,234,024
2,185,859
2,154,426
2,113,991
Other
519,339
437,239
513,807
427,852
Total
10,452,277
11,450,739
10,043,951
11,080,157
10.21. Other operating income/operation expenses
Other operating income/operation expenses of the Group and of the Company is analyzed as follows:
Income
GROUP
COMPANY
1/1 -
31/12/2022
1/1 -
31/12/2021
1/1 -
31/12/2022
1/1 -
31/12/2021
Income from Subsidies
192,679
765,740
192,679
765,682
Return of Tariffs & Taxes
1,174,754
703,348
1,174,754
703,348
Earnings of Foreign Exchange
Differences
6,578
3,286
6,578
3,286
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 162
Revenue from corresponding
depreciation
572,852
572,852
29,924
29,924
Profits from the sale of fixed assets
15,082
24,596
10,673
5,796
Other
7,221
47,971
8,721
14,595
Total
1,969,165
2,117,794
1,423,329
1,522,631
The revenues include revenues from subsidies amounting to 192,679 Euros from OAED, in the context
monetary claims of the salary cost subsidy, which result from the provisions of article 21 of law 1767/1988
(A’63), as replaced by article 32 of law 1836/1989 (AD 89). For more information refer to section "4.
Annual Report of the Board of Directors ", paragraph Β.6.
In addition, income from the return of Special Consumption Tax amounting to 1,174,754 euros is included
after an audit by the Athens Customs and the Keratsini customs. (see section "4. Annual Report of the
Board of Directors", paragraph B.1.)
Expenses
GROUP
COMPANY
1/1 -
31/12/2022
1/1 -
31/12/2021
1/1 -
31/12/2022
1/1 -
31/12/2021
Foreign exchange losses
6,090
1,976
6,090
1,976
Prior period expenditure
51,858
26,523
10,518
11,063
Other
24,707
257,439
23,822
255,945
Total
82,654
285,938
40,430
268,984
10.22. Financial income/expenses
The financial income/expenses of the Group and of the Company is analyzed as follows:
Financial Income from:
GROUP
COMPANY
31/12/2022
31/12/2021
31/12/2022
31/12/2021
Interest on Treasury Bills
0
0
0
0
Reduction of repayable deposit
108,475
250,000
108,475
250,000
Other Credit Interest
0
0
0
0
Other capital gains
0
0
Total
108,475
250,000
108,475
250,000
108,475
250,000
108,475
250,000
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 163
On 31.12.2022 the company has fulfilled the relevant terms for the possibility of paying 33,3% of the
repayable advance payment of 500,000 Euros received in 2020 from the Greek State and has recognized
the relevant benefit in the results of the year 2022, with a parallel write-off of the corresponding obligation
(108,450 euro). (see section "4. Annual Report of the Board of Directors", paragraph Β.3)
Financial Expenses from:
GROUP
COMPANY
31/12/2022
31/12/2021
31/12/2022
31/12/2021
Bank loans & overdrafts
1,664,880
1,577,160
1,643,031
1,513,559
Bank Guarantees Commissions
7,028
10,908
6,590
10,470
Other Bank Expenditure
167,295
268,779
167,295
268,306
Other Finance Expenditure
6,643
0
4,107
0
Total
1,845,846
1,856,847
1,821,024
1,792,335
10.23. Other financial Results
Other financial results of the Group and the Company are analyzed as follows:
GROUP
COMPANY
31/12/2022
31/12/2021
31/12/2022
31/12/2021
Impairment of participation value
0
0
0
0
Clearing result IKTINOS MARMARON
0
0
0
0
Valuation of Derivative Shares and
Warrants
13,710
11,288
13,710
181,096
Total
13,710
11,288
13,710
181,096
10.24. Investment activity Results
The results from investment activity of the Group and the Company are analyzed as follows:
GROUP
COMPANY
31/12/2022
31/12/2021
31/12/2022
31/12/2021
Liquidation of IDEI
SUBSIDIARIES
0
(26,622)
0
0
Liquidation of MARMARON
SA
0
(107,544)
0
0
Gains / (Losses) from real
estate valuation
0
0
0
0
Total
0
(134,166)
0
0
10.25. Income tax
The income tax of the Group and the Company is analyzed as follows:
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 164
GROUP
COMPANY
1/1 -
31/12/2022
1/1 -
31/12/2021
1/1 -
31/12/2022
1/1 -
31/12/2021
Period tax 22%
429,852
251,757
429,852
251,757
Deferred period tax expense / (income)
(201,971)
322,182
(151,017)
381,672
Tax audit differences
Deferred period tax due to change in tax rate
0
(484,958)
298,576
Other taxes not included in operating costs
106,301
81,568
60,890
41,710
Total
334,183
170,549
339,725
973,715
The applicable tax rate in Greece is 22%.
The agreement between the amount of income tax and the amount resulting from the application of the
applicable income tax rate of the Company in Greece (2022: 22%, 2021: 22%) on the results before taxes,
is as follows:
GROUP
COMPANY
1/1 -
31/12/2022
1/1 -
31/12/2021
1/1 -
31/12/2022
1/1 -
31/12/2021
Profits / (Losses) before income taxes
8,227
2,594,591
137,997
3,069,231
Income taxes calculated at the current tax rate of
22%
1,810
570,810
30,359
675,231
Non-taxable income for period
Νon-taxable income
0
(55,000)
0
(55,000)
Expenses that are not deductible for tax purposes
- Tax effect of expenses that are not deductible for
tax purposes
155,705
101,788
155,705
101,788
'- Tax loss from the liquidation of a subsidiary
(92,400)
(392,926)
0
0
- Tax effect of losses for which no deferred tax
asset was recognised
64,188
426,948
0
0
- Adjustment of deferred taxation from a change in
tax rate
0
(484,958)
0
298,576
- Other taxes not included in operating costs
106,301
81,568
60,890
41,710
- Other
98,579
(77,680)
92,770
(88,590)
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 165
Income taxes shown on the income statement
334,183
170,549
339,725
973,715
10.26. Earnings per share
The Earnings per share of the Group and of the Company are analyzed as follows:
GROUP
COMPANY
31/12/2022
31/12/2021
31/12/2022
31/12/2021
Number of shares
114,320,400
114,320,400
114,320,400
114,320,400
Less: Number of shares of parent
(489,916)
(489,916)
(489,916)
(489,916)
Total shares
113,830,484
113,830,484
113,830,484
113,830,484
Profits corresponding to the parent’s
Shareholders
(304,952)
2,430,533
(201,728)
2,095,516
Weighted average number of shares in
circulation
113,830,484
113,830,484
113,830,484
113,830,484
Main Earnings per share (Euro per share)
(0,0027)
0,0214
(0,0018)
0,0184
10.27. Financial assets and liabilities
The fair values of all the financial products of the Group and the Company which are reflected in the
financial statements, do not differ from the book values. Below is an analysis of the financial assets and
liabilities of the Group and the Company, except for cash and cash equivalents:
GROUP
31/12/2022
Financial assets
Debt instruments
valued at
amortized cost
Equity instruments valued
at fair value through profit
or loss
Total
Other long-term receivables
52,864
0
52,864
Customers
10,725,562
0
10,725,562
Other receivables and advances
3,098,060
0
3,098,060
Other listed financial assets
0
63,055
63,055
Total
13,876,487
63,055
13,939,542
Long term
52,864
0
52,864
Short term
13,823,622
63,055
13,886,678
Total
13,876,487
63,055
13,939,542
GROUP
31/12/2021
Financial assets
Debt instruments
valued at
amortized cost
Equity instruments valued
at fair value through profit
or loss
Total
Other long-term receivables
55,355
0
55,355
Customers
7,806,627
0
7,806,627
Other receivables and advances
3,565,942
0
3,565,942
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 166
Other listed financial assets
0
49,345
49,345
Total
11,427,923
49,345
11,477,269
Long term
55,355
0
55,355
Short term
11,372,568
49,345
11,421,914
Total
11,427,923
49,345
11,477,269
GROUP
31/12/2022
Financial liabilities
Financial liabilities
measured at
amortized cost
Financial liabilities
measured at fair value
through profit or loss
Total
Suppliers
7,132,131
0
7,132,131
Other liabilities
5,459,125
0
5,459,125
Borrowing and finance leases
46,333,451
0
46,333,451
Total
58,924,707
0
58,924,707
Long term
19,299,146
0
19,299,146
Short term
39,625,561
0
39,625,561
Total
58,924,707
0
58,924,707
GROUP
31/12/2021
Financial liabilities
Financial liabilities
measured at
amortized cost
Financial liabilities
measured at fair value
through profit or loss
Total
Suppliers
5,710,002
0
5,710,002
Other liabilities
5,537,610
0
5,537,610
Borrowing and finance leases
44,447,445
0
44,447,445
Total
55,695,056
0
55,695,056
Long term
21,448,984
0
21,448,984
Short term
34,246,073
0
34,246,073
Total
55,695,056
0
55,695,056
COMPANY
31/12/2022
Financial assets
Debt instruments
valued at amortized
cost
Equity instruments valued
at fair value through profit
or loss
Total
Other long-term receivables
33,165
33,165
Customers
12,959,423
0
12,959,423
Other receivables and advances
2,624,879
0
2,624,879
Other listed financial assets
0
63,055
63,055
Total
15,617,467
63,055
15,680,523
Long term
33,165
0
33,165
Short term
15,584,302
63,055
15,647,358
Total
15,617,467
63,055
15,680,523
COMPANY
31/12/2021
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 167
Financial assets
Debt instruments
valued at amortized
cost
Equity instruments valued
at fair value through profit
or loss
Total
Other long-term receivables
35,655
35,655
Customers
9,470,324
0
9,470,324
Other receivables and advances
2,964,045
0
2,964,045
Listed other financial assets
0
49,345
49,345
Total
12,470,024
49,345
12,519,369
Long term
35,655
0
35,655
Short term
12,434,369
49,345
12,483,714
Total
12,470,024
49,345
12,519,369
COMPANY
31/12/2022
Financial liabilities
Financial liabilities
measured at
amortized cost
Financial liabilities
measured at fair value
through profit or loss
Total
Suppliers
6,638,639
0
6,638,639
Other liabilities
6,918,702
0
6,918,702
Borrowing and finance leases
46,333,451
0
46,333,451
Total
59,890,792
0
59,890,792
Long term
19,299,146
0
19,299,146
Short term
40,591,646
0
40,591,646
Total
59,890,792
0
59,890,792
COMPANY
31/12/2021
Financial liabilities
Financial liabilities
measured at
amortized cost
Financial liabilities
measured at fair value
through profit or loss
Total
Suppliers
5,191,533
0
5,191,533
Other liabilities
6,151,485
0
6,151,485
Borrowing and finance leases
43,456,619
0
43,456,619
Total
54,799,637
0
54,799,637
Long term
21,448,984
0
21,448,984
Short term
33,350,653
0
33,350,653
Total
54,799,637
0
54,799,637
Fair value of financial instruments
Fair Value Hierarchy
The Group uses the following hierarchy to determine and disclose the fair value of financial instruments per
valuation technique:
Level 1: negotiable prices in active markets for similar assets or liabilities;
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 168
Level 2: valuation techniques for which all inputs that have a significant effect on the recorded fair value
are observable either directly or indirectly;
Level 3: techniques that use inputs that have a significant effect on the recorded fair value and are not
based on observable market data.
The following tables show the financial assets and liabilities measured at fair value at 31 December 2022.
GROUP / COMPANY
Financial instruments valued at
fair value:
Valuation at Fair Value at the end of the reporting period
using:
Description
31/12/2022
Level 1
Level 2
Financial assets valued at fair value
through the income statement
63,055
63,055
- Shares
Financial assets available for sale
Total
63,055
63,055
0
Capital management policies and procedures
The objectives of the Group and of the Company as regards capital management are the following:
• to ensure the Company’s continuous smooth operation of its business activities;
• to provide satisfactory returns to the shareholders by invoicing services according to their cost and
ensuring capital restructuring, and
• to ensure the maintenance of healthy capital ratios.
The Company monitors the capital management on the basis of the following ratio which is based on
indicators as these are presented in the Statement of Financial Position.
GROUP
COMPANY
31/12/2022
31/12/2021
31/12/2022
31/12/2021
Loans
46,333,451
44,447,445
46,333,451
43,456,619
Minus: Cash Available
-1,626,101
-1,420,374
-1,448,934
-1,383,290
Net Lending
44,707,350
43,027,071
44,884,517
42,073,329
Total equity
49,624,783
49,922,203
45,749,163
45,923,863
Leverage ratio
0.901
0.862
0.982
0.916
Liabilities arising from Financing Activities
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 169
Under IAS 7, non-cash changes for which there is no obligation to disclose Cash Flows are presented
below:
GROUP
Long-term loans
Long-term liabilities
payable for the next
financial year
Short-term loans
Total
January 1 2022
20,534,409
3,894,323
18,288,564
42,717,297
Cash flows :
- Repayments
0
-4,060,168
-7,885,661
-11,945,829
- Proceeds
1,333,333
166,667
12,108,709
13,608,709
Non-Cash movements:
-3,943,503
3,859,341
104,991
20,829
December 31 2022
17,924,240
3,860,163
22,616,604
44,401,007
GROUP
Long-term loans
Long-term liabilities
payable for the next
financial year
Short-term loans
Total
January 1 2021
19,036,669
9,349,043
14,919,567
43,305,279
Cash flows :
- Repayments
-2,940,131
-3,094,924
-9,200,496
-15,235,551
- Proceeds
3,210,000
274,703
11,973,115
15,457,818
Non-Cash movements:
1,227,871
-2,634,499
596,379
-810,250
December 31 2021
20,534,409
3,894,323
18,288,564
42,717,297
COMPANY
Long-term loans
Long-term liabilities
payable for the next
financial year
Short-term loans
Total
January 1 2022
20,534,409
2,903,497
18,288,564
41,726,470
Cash flows :
- Repayments
0
-2,903,497
-6,522,516
-9,426,014
- Proceeds
1,333,333
166,667
10,588,107
12,088,107
Non-Cash movements:
-3,943,503
3,693,497
262,450
12,444
December 31 2022
17,924,240
3,860,163
22,616,604
44,401,007
COMPANY
Long-term loans
Long-term liabilities
payable for the next
financial year
Short-term loans
Total
January 1 2021
17,879,999
8,342,924
14,919,567
41,142,490
Cash flows :
- Repayments
-2,940,131
-3,094,924
-8,028,534
-14,063,588
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 170
- Proceeds
3,210,000
290,000
11,957,818
15,457,818
Non-Cash movements:
2,384,541
-2,634,503
-560,288
-810,250
December 31 2021
20,534,409
2,903,497
18,288,564
41,726,470
10.28. Fair value of non-financial instruments
Investment property is measured at fair value. The fair value of the property was calculated by an
independent appraisal firm with sufficient experience, which determined the value of the property by
following internationally recognized valuation methods.
The following tables show the levels of non-financial assets that are valued at fair values at 31 December
2022 and 31 December 2021 respectively.
Non-financial instruments at fair value at 31/12/2022:
GROUP
COMPANY
Description
Level 1
Level 2
Level 3
Level 1
Level 2
Level 3
Real estate investments
29,073,959
102,000
Total
0
0
29,073,959
0
0
102,000
Non-financial instruments at fair value at 31/12/2021:
GROUP
COMPANY
Description
Level 1
Level 2
Level 3
Level 1
Level 2
Level 3
Real estate investments
29,061,664
102,000
Total
0
0
29,061,664
0
0
102,000
The method of discounted cash flows was applied to calculate the fair value of the plots. The Discounted
Cash Flow (DCF) method takes into account the timing, frequency and amount of future cash flows that
the property is expected to generate using discounted rates that reflect the current market estimate in
relation to the uncertainty for the amount and the timing that these cash flows occur. For the application of
cash flow discounting techniques, assumptions are used, which establish estimates to determine fair value
and are those related to: expected future income, completeness, gaps, construction costs, maintenance
obligations, and appropriate discounted allowances.
Indicatively for the valuation of investment properties the main assumptions which are based on
unobservable data and have been used, are summarized in the table below:
31/12/2022
Assumptions
Value per m
2
€ 5.03/m
2
- € 33.06/m
2
Discount rate
10.80%
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 171
10.29. Contingent receivables - liabilities
There are no court disputes or arbitration disputes subject to judicial or arbitration bodies which
significantly affect the financial position or operation of the Group.
The unaudited tax years of the companies of the Groups are as follows:
CORPORATE NAME
REGISTERED OFFICE
UNAUDITED
TAX YEARS
IKTINOS HELLAS S.A
7 Lykovryssis Str., Metamorfossi, Attica
-
FEIDIAS HELLAS S.A.
12Α Tinou Str., Vrilissia, Attica
-
KALLITECHNOKRATIS LTD.
7 Lykovryssis Str., Metamorfossi, Attica
under liquidation
IKTINOS MARMARON S.A.
7 Pangaiou, Drama
-
IDEI S.A.
7 Lykovryssis Str., Metamorfossi, Attica
under liquidation
AIOLIKI MEGA ISOMA S.A.
7 Lykovryssis Str., Metamorfossi, Attica
under liquidation
AIOLIKI MAVROLITHARO S.A.
7 Lykovryssis Str., Metamorfossi, Attica
2016-2022
AIOLIKI LYKOFOLIA S.A.
7 Lykovryssis Str., Metamorfossi, Attica
under liquidation
AIOLIKI SYNORA S.A.
7 Lykovryssis Str., Metamorfossi, Attica
2016-2022
IKTINOS TECHNIKI & TOURISTIKI S.A.
12 Esperidon, Nicosia
2006-2022
According to the provisions of POL no. 1192/2017, the right of the State for tax attribution until the year
2015 has expired unless there is a case of application of the special provisions for a 10-year, 15-year and
20-year lapse period.
According to POL. 1006/5.1.2016 the companies for which a tax certificate is issued without reservation,
are not exempted from the statutory tax audit by the competent tax authorities. For this reason, the Greek
tax authorities have the right to carry out a tax audit of the fiscal years they will choose, taking into
account the work for the issuance of the tax compliance certificate.
For the years 2011-2013, the Greek Societes Anonymes whose annual financial statements are
compulsorily audited, are obliged to receive an "Annual Certificate" provided in par. 5 of article 82 of Law
2238/1994, which is issued after a tax audit, carried out by the same Statutory Auditor or audit firm that
audits the annual financial statements. From 2014 onwards, the above Greek Societes Anonymes, based on
POL.1124/2015 are exempted from the annual certificate by statutory auditors of the provisions of article
65A of Law 4174/2013, as the gross income of each one does not exceed the amount of one hundred and
fifty thousand euros per year, and they are required to receive an "Annual Certificate" provided by article
65A par. 1 of Law 4174/2013. The result of the above audits leads to the issuance of a tax certificate,
which replaces the audit by the public authority if the relevant conditions are met; however, the public
authority retains the right of subsequent audit without concluding its tax obligations for the relevant fiscal
year. Since the fiscal year 2016 with recent relevant legislation, this audit has become optional. The Group
chose to continue receiving the Annual Certificate for companies that meet the criteria of POL 1124/2015.
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 172
For 2022, the tax audit for the issuance of a "Tax Compliance Report" for the Company and its subsidiaries
IKTINOS MARMARON SA, FEIDIAS HELLAS SA and IDEI SA is already in progress. No significant tax
liabilities are expected to arise other than those recorded and reflected in the financial statements.
The guarantees of the Group and the Company on 31/12/2022 are as follows:
GROUP
COMPANY
Letters of guarantee
419,091
419,091
10.30. Transactions with related parties
The amounts of purchases and sales of the company to and from the related parties as defined by IAS 24,
cumulatively from the beginning of the current period 1/1 – 31/12/2022 and 1/1-31/12/2021 as well as the
balances of receivables and liabilities of the above companies on 31/12/2022 and 31/12/2021 are analyzed
below:
The receivables / liabilities and the remuneration of the administrative and managerial executives of the
Group for the years ended on 31 December 2022 and 2021 are as follows:
GROUP
COMPANY
31/12/2022
31/12/2021
31/12/2022
31/12/2021
Sales of goods / services
Subsidiaries
-
-
0
1,500
Other Related Parties
327,825
199,543
317,365
196,117
Total
327,825
199,543
317,365
197,617
Other Income / Expenses
Subsidiaries
-
-
(70,500)
(70,100)
Other Related Parties
3,600
0
3,600
-
Total
3,600
0
(66,900)
(70,100)
Purchases of Goods / Services
Subsidiaries
-
-
711,505
893,370
Other Related Parties
53,417
7,026
53,417
7,026
Total
53,417
7,026
764,922
900,396
31/12/2022
31/12/2021
31/12/2022
31/12/2021
Receivables
Subsidiaries
-
-
2,386,279
2,220,163
Other Related Parties
725,984
542,598
725,984
542,598
Total
725,984
542,598
3,112,263
2,762,761
Liabilities
Subsidiaries
-
-
1,562,302
718,903
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 173
Other Related Parties
8,000
8,712
8,000
8,712
Total
8,000
8,712
1,570,302
727,615
31/12/2022
31/12/2021
Remuneration to Board members and other directors
942,110
1,023,547
Sales to Board members and other directors
0
1,783
Claims from BoD members and other executives
10,824
146,320
Liabilities of Board members and other directors
1,868,851
2,345,487
10.31. Dividends
Regarding the distribution of dividends for the year 2022, the proposal of the Board of Directors at the
Ordinary General Meeting of Shareholders is the non-distribution of dividends.
10.32. Number of employees
The number of employees engaged by the Group and the Company is analyzed as follows:
GROUP
COMPANY
31/12/2022
31/12/2021
31/12/2022
31/12/2021
On a salary
160
159
154
153
On a daily wage
232
264
223
255
Total
392
423
377
408
10.33. Website where the financial reports of the group are uploaded
The annual financial statement of the parent company IKTINOS HELLAS S.A., as well as of its
subsidiaries are uploaded at the following web addresses:
Name
website
IKTINOS HELLAS S.A.
iktinos.gr
FEIDIAS HELLAS S.A.
fidiashellas.gr
IDIOTIKI EPICHEIRISI ILEKTRISMOU S.A.
idei.gr
AIOLIKI MEGA ISOMA ELECTRICITY PRODUCTION SOCIETE ANONYME
aiolikimegaisoma.gr
AIOLIKI MAVROLITHARO ELECTRICITY PRODUCTION SOCIETE ANONYME
aiolikimavrolitharo.gr
AIOLIKI LYKOFOLIA ELECTRICITY PRODUCTION SOCIETE ANONYME
aiolikilikofolia.gr
AIOLIKI SYNORA ELECTRICITY PRODUCTION SOCIETE ANONYME
aiolikisinora.gr
10.34. Events subsequent to the balance sheet date
Grant of new Bond Loan for 7 mil. euro (completed on 3/3/2023)
Separate and Consolidated Annual Financial Statements as of 31
st
December 2022 Page 174
The subsidiary company IDEI SA received a 7 mil. euro bond loan from Piraeus Bank for a 7 year term and
interest 3%. It also proceeded with a reduction of Share Capital in the amount of 8,425,000 euro with a
reduction of the nominal value of the share by twenty-five (25) euros, from 60 euros to 35 euro, with the
aim of returning capital of 8,425,000 euro to the parent company IKTINOS HELLAS and a corresponding
amendment of article 5 of the Company's Articles of Association.
Repayment of a short-term loan of EUR 1.79 million (completed on 3/3/2023)
The company proceeded to the payment of an existing bank loan amounting to 1.79 million euro to Piraeus
bank, which had been granted pursuant to the Open Mutual Account Agreement no. 2511537/28.07.2006.
Apart from the above mentioned events, there are no other events subsequent to the financial statements,
which concern either the Group or the Company, and must be mentioned according to the International
Financial Reporting Standards.
Metamorfosi Attica, 26 April 2023
The Chairman of the BoD & CEO
The Deputy CEO
The Financial Director
Chaidas Evangelos
Ioulia Chaida
Katsikakis Peristeris
ID Card No. ΑΕ 079957
ID Card No. ΑΝ 685224
ID Card No.Χ 630853