222100I5M4DM5G5NES09 2022-01-01 2022-12-31 222100I5M4DM5G5NES09 2021-01-01 2021-12-31 222100I5M4DM5G5NES09 2022-12-31 222100I5M4DM5G5NES09 2021-12-31 222100I5M4DM5G5NES09 2020-12-31 222100I5M4DM5G5NES09 2022-01-01 2022-12-31 ifrs-full:ReserveOfExchangeDifferencesOnTranslationMember 222100I5M4DM5G5NES09 2022-01-01 2022-12-31 scfns:ConsolidatedReservesMember 222100I5M4DM5G5NES09 2022-01-01 2022-12-31 ifrs-full:EquityAttributableToOwnersOfParentMember 222100I5M4DM5G5NES09 2022-01-01 2022-12-31 ifrs-full:NoncontrollingInterestsMember 222100I5M4DM5G5NES09 2020-12-31 ifrs-full:IssuedCapitalMember 222100I5M4DM5G5NES09 2020-12-31 ifrs-full:StatutoryReserveMember 222100I5M4DM5G5NES09 2020-12-31 ifrs-full:ReserveOfExchangeDifferencesOnTranslationMember 222100I5M4DM5G5NES09 2020-12-31 scfns:ConsolidatedReservesMember 222100I5M4DM5G5NES09 2020-12-31 ifrs-full:EquityAttributableToOwnersOfParentMember 222100I5M4DM5G5NES09 2020-12-31 ifrs-full:NoncontrollingInterestsMember 222100I5M4DM5G5NES09 2021-01-01 2021-12-31 scfns:ConsolidatedReservesMember 222100I5M4DM5G5NES09 2021-01-01 2021-12-31 ifrs-full:EquityAttributableToOwnersOfParentMember 222100I5M4DM5G5NES09 2021-01-01 2021-12-31 ifrs-full:NoncontrollingInterestsMember 222100I5M4DM5G5NES09 2021-01-01 2021-12-31 ifrs-full:ReserveOfExchangeDifferencesOnTranslationMember 222100I5M4DM5G5NES09 2021-12-31 ifrs-full:IssuedCapitalMember 222100I5M4DM5G5NES09 2021-12-31 ifrs-full:StatutoryReserveMember 222100I5M4DM5G5NES09 2021-12-31 ifrs-full:ReserveOfExchangeDifferencesOnTranslationMember 222100I5M4DM5G5NES09 2021-12-31 scfns:ConsolidatedReservesMember 222100I5M4DM5G5NES09 2021-12-31 ifrs-full:EquityAttributableToOwnersOfParentMember 222100I5M4DM5G5NES09 2021-12-31 ifrs-full:NoncontrollingInterestsMember 222100I5M4DM5G5NES09 2022-12-31 ifrs-full:IssuedCapitalMember 222100I5M4DM5G5NES09 2022-12-31 ifrs-full:StatutoryReserveMember 222100I5M4DM5G5NES09 2022-12-31 ifrs-full:ReserveOfExchangeDifferencesOnTranslationMember 222100I5M4DM5G5NES09 2022-12-31 scfns:ConsolidatedReservesMember 222100I5M4DM5G5NES09 2022-12-31 ifrs-full:EquityAttributableToOwnersOfParentMember 222100I5M4DM5G5NES09 2022-12-31 ifrs-full:NoncontrollingInterestsMember xbrli:shares iso4217:EUR iso4217:EUR xbrli:shares
Graphics
2022
ANNUAL REPORT
Socfinasia S.A.

Graphics
2
|
ANNUAL REPORT 2022
|
Socfinasia
TABLE OF CONTENTS
Group profile 4
1. Overview of the Group 4
2. History 4
3. Group structure 5
4.  Information on Socfinasia's holdings  6
International market for rubber and palm oil 17
1. Rubber 17
2.  Palm oil  20
Environment and social responsibility 23
Key figures 24
1. Activity indicators  24
2.   Key figures from the consolidated income statement and consolidated statement of cash flows  25
3.  Key figures in the consolidated statement of financial position  25
Stock market data 26
1.  Introduction  27
2.  Corporate governance chart  27
3.  Board of Directors  27
4. Committees of the Board of Directors  31
4.1  Audit Committee  31
4.2  Appointment and Remuneration Committee  31
5. Remuneration 31
6. Shareholding status  32
7.  Financial calendar  32
8.  External audit  32
9.  Corporate, social and environmental responsibility   33
10. Other information 33
Statement of compliance 34
Consolidated management report 35
Auditor’s report on the consolidated financial statements 39
1.  Consolidated statement of financial position  44
2.  Consolidated income statement   46
3.  Consolidated statement of comprehensive income  47
4.  Consolidated statement of cash flows   48
5.  Consolidated statement of changes in equity  49
6.  Notes to the consolidated financial statements  50
Note 1. Overview and accounting policies    50
Note 2. Subsidiaries and associates  61
Note 3. Leases  63
Note 4. Intangible assets  65
Note 5. Property, plant and equipment   66
Note 6. Biological assets  67
Note 7.  Depreciation and impairment  68
Note 8. Impairment of assets  68
Note 9.  Non-wholly owned subsidiaries in which non-controlling interests are significant  70
Note 10. Investments in associates 71
Note 11. Financial assets at fair value through other comprehensive income  75
Note 12. Long term advance payments  75
Note 13. Deferred taxes  76
Note 14. Current tax assets and liabilities  77
Note 15. Income tax expense 77
Note 16. Inventories  79
Note 17. Trade receivables (current assets)  80

Graphics
Socfinasia
|
ANNUAL REPORT 2022
|
3
TABLE OF CONTENTS
Note 18. Other receivables (current assets)  80
Note 19. Cash and cash equivalents  80
Note 20. Share capital   81
Note 21. Reserve 81
Note 22. Pension obligations   82
Note 23. Financial debts  84
Note 24. Trade and other payables  87
Note 25. Financial instruments  88
Note 26. Staff costs and average number of staff  90
Note 27. Other financial income  90
Note 28. Financial expenses  91
Note 29. Net earnings per share  91
Note 30. Dividends and directors’ fees  91
Note 31. Information on related party  92
Note 32. Off balance sheet commitments  94
Note 33. Segment information  94
Note 34. Risk management  99
Note 35. Profit before interest, taxes, depreciation and amortisation  102
Note 36. Contingent liabilities  102
Note 37. Political and economic environment  104
Note 38. Events after the closing date  104
Note 39. Auditor’s fees  104
Company's management report 105
Report on the audit of the financial statements 111
Company financial statements 115
1.  Balance sheet at 31
st
 December 2022  115
2.  Profit and loss account for the year ended 31
st
 December 2022  117
3.  Notes to the financial statements for the year 2022  119

Graphics
4
|
ANNUAL REPORT 2022
|
Socfinasia
Portrait du Groupe
Group profile
1. Overview of the Group
Socfinasia S.A. is a Luxembourg holding company and 
its registered address is 4 Avenue Guillaume,  L 1650 
Luxembourg.  It  was  incorporated  on  20
th
November
1972  and  is  listed  on  the  Stock  Exchange  of 
Luxembourg.
The  principal  activity  of  Socfinasia  is  to  manage  a 
portfolio of shares focused on the operation of more 
than 52,000 hectares of tropical palm oil and rubber 
plantations  in  South-East  Asia.  Socfinasia  employs 
9,595 people and has achieved a consolidated turnover 
of EUR 202 million in 2022.
2. History
• 20/11/1972  Incorporation of Socfinasia as a Luxembourg holding company through contribution of shares in PT 
Socfindo.
• 30/06/1973  Since its incorporation, Socfinasia has invested, amongst others, in Fininter (Belgium) and Socfinal 
(Luxembourg).
• 23/01/1974  The shares of Socfinasia have been listed on the Stock Exchange of Luxembourg.
• 30/06/1975  The portfolio includes new investments: Socfin (Belgium), Plantations Nord Sumatra (Belgium) and 
Selangor Plantations Cy (Malaysia).
• 30/06/1977  Socfinasia invests in Sennah Rubber Cy, New African Plantations Cy, la Banque d’Investissements 
Privés and Socficom. It disposes of its stakes in Socfin (Belgium) and Socfinal.
• 04/12/1979  PT Socfindo increases its share capital through capitalisation of reserves. Free allotment of 1,166 
shares in PT Atmindo.
• 31/12/1980  Acquisition of shares in Selangor Holding, a Luxembourg company listed on the Stock Exchange of 
Luxembourg.
• 24/04/1989  PT Socfindo increases its share capital through the capitalisation of the revaluation reserve of its 
fixed tangible assets.
• 31/03/1996  Acquisition  of  shares  in  Intercultures,  a  Luxembourg  company  listed  on  the  Stock  Exchange  of 
Luxembourg.
• 31/03/1997  Initially, Socfinasia increases its stake in its Indonesian subsidiaries: PT Socfindo and PT Atmindo. 
Thereafter, Socfinasia incorporates Plantations Nord Sumatra Limited, to which it transferred its 
Indonesian subsidiaries.
• 31/03/1999  Increase in the subscribed capital of Intercultures.
• 05/02/2000  Takeover  bid/public  exchange  offer  by  Selangor  Holding  for  Sennah  Rubber  Cy  which  will  be 
liquidated in August 2000.
• 01/04/2000  Increase in subscribed capital to EUR 25,062,500 and the accounting par to 1,002,500 shares.
• 26/06/2000  Takeover bid by Socfinasia on the shares of Selangor Holding which will be liquidated in May 2001.
• 17/10/2000  Change in financial year-end to 31
st
 December.
• 31/12/2001  PNS Ltd has acquired 30% of PT Socfindo from the Indonesian state. 
• 31/12/2006  Restructuring of the subsidiaries within the Socfinal Group, including the distribution of shares of 
Intercultures by Socfinasia  (spin-off) and repositioning of the  operational companies within the 
Group.
• 31/12/2007  Incorporation of Socfin-KCD (Cambodia).
• 17/03/2010  Disposal of Socfinaf Cy (Kenya).
• 10/01/2011  Extraordinary General Meeting which ratified abandon of the holding 29 status.
• 01/07/2011  Share split by 20.
• 13/08/2013  Socfinasia  has  acquired,  through  its  subsidiary  PNS  Ltd,  90%  of  Coviphama  Co,  a  company 
incorporated under the Cambodian Law, benefitting from a new grant of 5,300 hectares.
• 30/07/2015  Acquisition of shares in Socfin-KCD to increase the percentage holding to 100%.

Graphics
Group profile
Socfinasia
|
ANNUAL REPORT 2022
|
5
3. Group structure
Holding companiesHolding companies
SOCFIN
Luxembourg
SOCFIN
Luxembourg
SOCFINDE
Luxembourg
SOCFINDE
Luxembourg
58%
SOCFINASIA
Luxembourg
SOCFINASIA
Luxembourg
PNS LTD
Luxembourg
PNS LTD
Luxembourg
100%100%
100%
100%
100%90%
80%
48%
35%
15%
50%
50%
50%
50%
50%
35%
19%
10%
50%
50%
30%
10%

Graphics
Group profile
6
|
ANNUAL REPORT 2022
|
Socfinasia
4. Information on Socfinasia's holdings
Portfolio Number of shares Direct %
Cambodia
Socfin-KCD Co
2,000 100.00%
Luxembourg
PNS Ltd 27,780,000
100.00%
Socfinde 199,790 79.92%
Management Associates  1,500 15.00%
Terrasia 4,781 47.81%
Induservices  3,500 35.00%
Belgium
Centrages 7,500 50.00%
Immobilière de la Pépinière 3,333 50.00%
Socfinco  8,750 50.00%
Switzerland
Sogescol FR 2,650 50.00%
Socfinco FR 650 50.00%
Sodimex FR  675 50.00%
Induservices FR 700 50.00%
The following pages contain a summary of the activity 
and  comments  on  the  financial  information  for  the 
past  two  financial  years  in  which  Socfinasia  holds  a 
direct or indirect participation.
Unless  indicated  otherwise,  equity  includes  capital, 
reserves  and  the  results  brought  forward  before 
allocation of current year results.
Corporate data refers to consolidated data.
The  balance  sheet  figures  are  presented  in  the 
functional currency of the respective entities.

Graphics
Group profile
Socfinasia
|
ANNUAL REPORT 2022
|
7
PT SOCFIN INDONESIA “SOCFINDO”
PT Socfindo is an Indonesian company which manages oil palm and rubber plantations in North Sumatra, Indonesia.
Key data
Area (hectares) Planted area
At 31
st
December 2022 Mature Immature Total
Rubber
5,676 927 6,603
Palm
35,050 4,229 39,279
40,726 5,156 45,882
Concessions: 47,536 ha
Permanent staff at 31
st
 December 2022: 8,782
Production and turnover
At 31
st
December 2022 2021
Production (tons)
Rubber
6,896 8,550
Palm oil
179,516 180,584
Seeds (thousands)
13,189 9,366
Turnover (EUR 000) 193,796 160,251
Result (EUR 000) 71,954 64,841
Average selling price (EUR / kg)
Rubber 2.05 1.49
Palm oil 0.95 0.78
Seeds (EUR / 1,000) 564 567
Average rate EUR / IDR
15,648 16,938
Closing rate EUR / IDR
16,713 16,161
Key figures (IDR millions)
At 31
st
December 2022 2021
Non-current assets 1,526,371 1,473,092
Current assets 609,115 783,085
Shareholder’s Equity (*) 994,045 1,045,550
Debt, provisions and third parties (*) 1,141,440 1,210,627
Profit / (loss) for the period 1,125,920 1,098,297
Dividend per share (USD) (**) 1,200
Interim dividend per share (USD) 400 800
PNS Ltd’s stake (%) 89.98 89.98
(*) After interim dividend, before profit allocation.
(**) Not known to-date.

Graphics
Group profile
8
|
ANNUAL REPORT 2022
|
Socfinasia
PT SOCFIN INDONESIA “SOCFINDO”
STATEMENT OF FINANCIAL POSITION
At 31
st
 December 2022 and 2021
(Expressed in IDR 000, unless otherwise stated)
Closing rate: EUR 1 = IDR 16,713 16,161
Average rate: EUR 1 = IDR 15,648 16,938
ASSETS 31/12/2022 31/12/2021
CURRENT ASSETS
Cash and cash equivalents 185,733,528 332,219,716
Receivables
   Trade receivables 
    Amount from related parties 20,381,992 17,186,198
    Amount due from customers 21,720,236 11,945,572
  Other receivables 4,986,085 15,938,930
Inventories 207,972,126 225,683,668
Advance payment on order 8,192,643 8,096,179
Biological assets 160,128,112 172,015,227
TOTAL CURRENT ASSETS 609,114,722 783,085,490
NON-CURRENT ASSETS
Fixed assets 1,521,296,612 1,464,467,746
Rights-of-use of assets 2,941,698 4,412,547
Deferred tax assets 2,121,243 4,200,294
Other 11,100 11,100
TOTAL NON-CURRENT ASSETS 1,526,370,652 1,473,091,687
TOTAL ASSETS 2,135,485,374 2,256,177,176

Graphics
Group profile
Socfinasia
|
ANNUAL REPORT 2022
|
9
LIABILITIES AND EQUITY 31/12/2022 31/12/2021
LIABILITIES
CURRENT LIABILITIES
Amount payable to suppliers 32,906,833 25,976,433
Other payables
  Amount due to third parties 12,019,642 12,954,770
  Amount due to related parties 1,082,630 3,467,106
Accruals 324,622,563 303,800,224
Advances and payments on work in progress 27,449,274 30,555,928
Employee benefit obligations 3,433,799 5,006,977
Current tax liabilities 166,607,114 232,322,738
TOTAL CURRENT LIABILITIES
568,121,855 614,084,175
NON-CURRENT LIABILITIES
Employee benefit obligations 573,318,210 596,542,873
TOTAL LIABILITIES
1,141,440,065 1,210,627,048
Equity
Share capital 
Type A 2,385 2,385
Type B 265 265
Type C 7,947,350 7,947,350
  Type D 34,300,000 34,300,000
Total share capital
42,250,000 42,250,000
Share premium 3,670,500 3,670,500
Retained earnings
  Allocated to the general reserve -177,794,840 -50,385,700
  Retained earnings  not allocated 1,125,919,650 1,050,015,328
TOTAL EQUITY
994,045,310 1,045,550,128
TOTAL LIABILITIES AND EQUITY 2,135,485,374 2,256,177,176

Graphics
Group profile
10
|
ANNUAL REPORT 2022
|
Socfinasia
STATEMENT OF OPERATIONS AND OTHER COMPREHENSIVE INCOME
At 31
st
 December 2022 and 2021
(Expressed in IDR 000, unless otherwise stated)
2022 2021
Revenue 3,011,660,868 2,694,322,407
Cost of sales -1,050,595,306 -897,162,856
GROSS PROFIT 1,961,065,562 1,797,159,551
Selling expenses  -48,099,014 -47,001,057
General and administrative overheads (*) -494,204,078 -476,184,530
Other income 86,128,668 33,839,381
Other expenses -47,880,050 -23,462,872
Gain / (loss) arising from change in fair value of biological assets -40,755,194 63,903,276
OPERATING PROFIT 1,416,255,894 1,348,253,749
Finance Income 7,407,886 8,987,330
PROFIT BEFORE TAX 1,423,663,780 1,357,241,079
Income tax expense -316,637,933 -296,641,780
Profit / (loss) for the period 1,107,025,847 1,060,599,299
Comprehensive income
Revaluation of post-employment benefits 18,893,803 -10,583,972
TOTAL COMPREHENSIVE INCOME 1,125,919,650 1,050,015,327
(*) These amounts include emoluments paid  to the  directors of  PT Socfindo who are members of  the Board  of Directors  of 
Socfinasia (2022 = IDR 135,314,429,990 and 2021 = IDR 61,066,588,216).

Graphics
Group profile
Socfinasia
|
ANNUAL REPORT 2022
|
11
SOCFIN-KCD Co Ltd
Share capital: KHR 160,000,000,000.
Socfin-KCD is a Cambodian company involved in the production of rubber.
Key data
Area (hectares) Planted area
At 31
st
December 2022 Mature Immature Total
Rubber
3,529 163 3,692
Concessions: 6,659 ha (including subsidiaries)
Permanent staff at 31
st
 December 2022: 677
Production and turnover
At 31
st
December 2022 2021
Production (tons)
Rubber
6,018 6,107
Turnover (EUR 000)
8,164 7,935
Result (EUR 000)
-1,402 915
Average selling price (EUR/kg)
Rubber
1.36 1.30
Average rate EUR / USD
1.05 1.18
Closing rate EUR / USD
1.07 1.13
Key figures (USD 000)
At 31
st
December 2022 2021
Fixed assets
49,833 53,468
Current assets
3,475 4,940
Equity (*)
31,950 33,418
Borrowing, provisions and third-parties (*)
21,358 24,991
Profit / (loss) for the period
-1,469 1,081
Socfinasia's holding (%)
100.00 100.00
(*) Before profit allocation.

Graphics
Group profile
12
|
ANNUAL REPORT 2022
|
Socfinasia
COVIPHAMA Co Ltd
Share capital: KHR 8,640,000,000.
Coviphama is a Cambodian company involved in the production of rubber.
Key data
Area (hectares) Planted area
At 31
st
December 2022 Mature Immature Total
Rubber
1,361 1,867 3,228
Concessions: 5,345 hectares
Permanent staff at 31
st
 December 2022: 136
2022 2021
Average rate EUR / USD
1.05 1.18
Closing rate EUR / USD 1.07 1.13
Key figures (USD 000)
At 31
st
December 2022 2021
Fixed assets 22,710 23,002
Current assets 572 1,052
Equity -1,603 -447
Borrowing, provisions and third-parties 24,884 24,500
Profit / (loss) for the period -1,156 79
Socfinasia's  holding (%) 100.00 100.00

Graphics
Group profile
Socfinasia
|
ANNUAL REPORT 2022
|
13
PLANTATION NORD-SUMATRA “PNS” Ltd S.A.
Share capital: USD 260,084,774. 
PNS Ltd's is a holding company whose principal assets are its controlling interest of 89.98% in PT Socfindo, a 100% 
investment in Coviphama Co as well as a receivable from the latter.
2022 2021
Average rate EUR/USD
1.05 1.18
Closing rate EUR/USD
1.07 1.13
Key figures (USD 000)
At 31
st
December 2022 2021
Fixed assets
306,521 391,271
Current assets
37,660 19,786
Equity (*)
313,879 310,358
Borrowing, provisions and third-parties (*)
30,302 100,700
Profit / (loss) for the period
64,637 49,591
Distribution
61,116 47,226
Socfinasia's holding (%)
100.00 100.00
(*) Before profit allocation.

Graphics
Group profile
14
|
ANNUAL REPORT 2022
|
Socfinasia
SOCFINDE S.A.
Share capital: EUR 1,250,000.
Socfinde is a Luxembourg holding company.
Profit  for  the  year  ended  31
st
  December  2022  is  EUR  139,836.  The  Board  of  Directors  will  not  propose  any 
dividend distribution at the Annual General Meeting.
Key figures (EUR 000)
At 31
st
December 2022 2021
Fixed assets
9,962 9,932
Current assets
47,412 28,728
Equity
6,023 5,883
Borrowing, provisions and third-parties
51,350 32,776
Profit / (loss) for the period
140 10
Socfinasia’s holding (%)
79.92 79.92
Graphics
Group profile
Socfinasia
|
ANNUAL REPORT 2022
|
15
SOGESCOL FR S.A.
Share capital: CHF 5,300,000.
Sogescol FR is a Swiss company which trades in rubber and palm oil.
Profit for the year ended 31
st
 December 2022 amounted to USD 8,864,552. The Board of Directors will propose a 
dividend distribution of USD 8,000,000 at the Annual General Meeting.
2022 2021
Average rate EUR / USD
1.05 1.18
Closing rate EUR / USD
1.07 1.13
Key figures (USD 000)
At 31
st
December 2022 2021
Fixed assets
773 1,034
Current assets
50,991 51,544
Equity (*)
17,955 14,940
Borrowing, provisions and third-parties (*)
33,809 37,637
Profit / (loss) for the period
8,865 6,057
Distribution
8,000 6,000
Dividend per share (USD)
1,509 1,132
Socfinasia's holding (%)
50.00 50.00
(*) Before profit allocation.
Graphics
Group profile
16
|
ANNUAL REPORT 2022
|
Socfinasia
SOCFINCO FR
Capital: CHF 1,300,000.
Socfinco FR is a Swiss company which provides services, studies and management of agro-industrial plantations. 
Socfinco FR covers the agro-industrial sector of palm oil and rubber. 
The profit of the year ended 31
st
 December 2022 is EUR 8,833,675. The Board of Directors will propose a dividend 
distribution of EUR 8,000,000 at the Annual General Meeting.
Key Figures (EUR 000)
At 31
st
December 2022 2021
Fixed assets
4,309 5,974
Current assets
22,133 19,609
Equity (*)
16,432 15,598
Borrowing, provisions and third parties (*)
10,010 9,985
Sales and services
30,293 25,179
Profit / (loss) for the period
8,834 6,288
Distribution
8,000 8,000
Dividend per share (EUR)
6,154 6,154
Socfinasia’s holding (%)
50.00 50.00
(*) Before profit allocation.
Graphics
Socfinasia
|
ANNUAL REPORT 2022
|
17
International market for rubber and palm oil
1. Rubber
SGX - NATURAL RUBBER - 5 years +
SGX - NATURAL RUBBER - 1 year +
$ct/Kg
50
100
150
200
250
300
50
100
150
200
250
300
RSS3
TSR20
$ct/Kg
100
120
140
160
180
200
220
240
260
100
120
140
160
180
200
220
240
260
RSS3
TSR20
Jan 2022
Feb 2022
Mar 2022
Apr 2022
May 2022
Jun 2022
Jul 2022
Aug 2022
Sep 2022
Oct 2022
Nov 2022
Dec 2022
Jan 2023
Feb 2023
Graphics
International market for rubber and palm oil
18
|
ANNUAL REPORT 2022
|
Socfinasia
The international market in 2022
The average natural rubber price (TSR20 1
st
position on
SGX) for the year 2022 is USD 1,548/T FOB Singapore 
compared to USD 1,677/T in 2021, i.e. a decrease of 
USD 129/T (-7.7%). 
On the other hand, converted into Euro, the average 
for the year 2022 is EUR 1,469/T against EUR 1,417/T 
for the year 2021, i.e. an increase of 3.7% thanks to a 
strengthening of the dollar against the euro.
After  their  strong  increase  in  2021  linked  to  the 
global economic recovery, natural rubber prices have 
remained  sustained  with  monthly  averages  above 
USD 1,700/T over the first 4 months of 2022.  
Russia's  invasion  of  Ukraine  at  the  end  of  February 
had a positive impact on natural rubber prices, which 
moved  slightly  above  USD  1,800/T  in  the  wake  of 
soaring crude oil and other commodity prices. 
Market  sentiment  turned  bearish  as  from  April 
onwards  because  of  the  Chinese  government's  "zero 
Covid" policy measures. These measures have severely 
affected the economy and mobility, reducing demand 
from the world's largest consumer of natural rubber.
At the same time, European sanctions against Russia, 
a  major  producer  of  synthetic  rubber  and  tyre 
components, have led to production slowdowns in tyre 
factories, resulting in a de facto drop in demand for 
natural rubber.
In  the  summer  of  2022,  the  energy  crisis  in  Europe 
due  to  the  effects  of  sanctions  against  Russia  has 
had  a  negative  impact  on  rubber  demand  for  tyre 
manufacturers.  The  level  of  inflation  in  Europe  and 
the US is also a concern for consumers who prefer to 
postpone their decision to buy new cars.
At  the  end  of  2022  the  tyre  manufacturers,  facing 
a  slowdown  in  production  in  their  factories  and 
therefore  an  increase  in  stocks,  requested  their 
suppliers  to  reduce  the  long-term  contracts  or  to 
postpone shipments to the following months.
This  slowdown  in  demand  from  the  tyre  industry 
has  strongly  affected  natural  rubber  prices,  which 
bottomed out at USD 1,151/T in October 2022.
The lifting of restrictions following the end of China's 
"zero Covid" policy in December 2022 allowed natural 
rubber prices to recover to around USD 1,400/T at the 
end of the year.
The  situation  in  global  logistics,  which  was  severely 
disrupted  in  2021  until  the  first  half  of  2022  by  the 
lack of  space  on  ships,  significantly  improved  in  the 
last quarter of the year.
In  the  latest  figures  published  by  the  International 
Rubber  Study  Group  (IRSG)  in  February  2023,  the 
world natural rubber production in 2022 is estimated 
at 14.57 million tons, up 5.8% in 2021, while the world 
consumption  is  forecasted  at  14.31  million  tons,  up 
1.7% in 2021, resulting in a surplus of 264,000 tons at 
the end of 2022.
The TSR20 1
st
 FOB Singapore position on SGX settled 
on 30
th
 December 2022 at USD 1,302/T.
Outlook 2023
Natural rubber  prices  are expected  to  remain  under 
pressure  amidst  conflict  on  the  Ukrainian  front, 
high  global  inflation  and  uncertain  developments  on 
Chinese growth. 
Indeed,  inflationary  pressure  from  prolonged  supply 
chain disruptions and high-energy costs will continue 
to threaten the global economic growth. 
At the end of 2022 and this is expected to continue 
during the  first half of 2023, the slowdown in global 
economic activity has had a strong impact on demand 
from  tyre  manufacturers.  Faced  with  a  drop  in 
production in their factories, they have accumulated 
significant  stocks,  forcing  them  to  reduce  their 
long-term  contracts  and  postpone  shipments  to  the 
following months.
The  evolution  of  China's  economic  growth  in  2023 
will be decisive for natural rubber prices,  which are 
expected to  fluctuate  according  to  the indicators  of 
the  industrial  health  of  the  world's  largest  natural 
rubber consumer.
Graphics
International market for rubber and palm oil
Socfinasia
|
ANNUAL REPORT 2022
|
19
The  major  uncertainty  related  to  the  evolution  of 
the  Russian-Ukrainian  crisis  is  expected  to  continue 
to influence the evolution of rubber prices; the latter 
being  impacted  by  the  rise  in  crude  oil  and  energy 
prices.
Because  of  a  slowdown  in  global  economic  growth 
and the arrival on the market of new large capacity 
vessels, freight rates have fallen sharply, particularly 
from  South-East  Asian  countries,  making  Asian 
rubbers more attractive than in 2021 and 2022, to the 
detriment of African rubber. Freight rates out of Africa 
are also expected to fall, but with a time lag.
For  2023,  the  IRSG  estimates  world  production  at 
14.74  million  tons  (up  1.1%)  and  world  demand  at 
14.61  million  tons  (up  2.1%),  resulting  in  a  rubber 
surplus  of  129,000  tons,  which  would  be  half  the 
surplus in 2022.
Rubber  consumption  would  therefore  be  lower  than 
production,  supported  by  an  expansion  of  volumes 
in several countries such as Côte d'Ivoire, Cambodia, 
Laos and Burma. By 2022, Côte d'Ivoire would be the 
world's  third  largest  producer  with  1.3  million  tons, 
behind Thailand and Indonesia and ahead of Vietnam.
The TSR20 1
st
 position FOB Singapore on SGX settled 
on 28
th
 February 2023 at USD 1,362/T.
Graphics
International market for rubber and palm oil
20
|
ANNUAL REPORT 2022
|
Socfinasia
2. Palm oil
CIF ROTTERDAM - PALM OILS - 5 years +
CIF ROTTERDAM - PALM OILS - 1 year +
$/Mton
200
400
600
800
1,000
1,200
1,400
1,600
1,800
2,000
2,200
2,400
2,600
2,800
200
400
600
800
1,000
1,200
1,400
1,600
1,800
2,000
2,200
2,400
2,600
2,800
CPO
CPKO
$/Mton
Jan 2022
Feb 2022
Mar 2022
Apr 2022
May 2022
Jun 2022
Jul 2022
Aug 2022
Sep 2022
Oct 2022
Nov 2022
Dec 2022
Jan 2023
Feb 2023
600
800
1,000
1,200
1,400
1,600
1,800
2,000
2,200
2,400
2,600
2,800
600
800
1,000
1,200
1,400
1,600
1,800
2,000
2,200
2,400
2,600
2,800
CPO
CPKO
Graphics
International market for rubber and palm oil
Socfinasia
|
ANNUAL REPORT 2022
|
21
World palm oil production in million tons
(source: Oil World)
2023 (*) 2022 2021 2020 2019 2018 2017 2015 2005 1995
Indonesia
47.9 46.5 44.7 42.8 44.2 41.6 36.8 33.4 14.1 4.2
Malaysia
18.7 18.3 18.1 19.1 19.9 19.5 19.9 20.0 15.0 7.8
Other
14.2 13.8 13.1 12.2 12.4 11.9 11.2 9.1 4.8 3.2
TOTAL
80.8 78.6 75.9 74.1 76.5 73.0 67.9 62.5 33.9 15.2
(*) Estimated (December 2022).
Production of main oils in million tons
(source: Oil World)
Oct 2022 to Sep 2023 (*) 2022 2021 2020 2019 2018 2017 2015 2005 1995
Palm 80.3 78.6 75.9 74.1 76.5 73.0 67.9 62.5 33.9 15.2
Soya 61.2 59.8 60.1 58.6 56.8 56.8 53.9 48.8 33.6 20.2
Rape 28.7 26.6 26.9 25.3 24.9 25.6 25.4 26.3 16.2 10.8
Sunflower 20.9 20.1 18.9 21.3 20.7 19.0 19.0 15.1 9.7 8.7
Palm kernel 8.4 8.2 8.0 7.8 8.1 7.7 7.2 6.8 4.0 2.0
Cotton 4.5 4.4 4.4 4.6 4.6 4.7 4.2 4.7 5.0 3.9
Peanut 4.7 4.7 4.4 4.2 3.7 4.0 4.2 3.7 4.5 4.3
Coconut 2.9 3.1 2.8 2.6 2.9 2.9 2.4 2.9 3.2 3.3
TOTAL
211.6 205.5 201.4 198.5 198.2 193.7 184.2 170.8 110.1 68.4
(*) Estimated (December 2022).
The international market 2022
The  average  price  for  CIF  Rotterdam crude  palm  oil 
in 2022 is  USD  1,352/T  compared  to  USD 1,195/T in 
2021.
The year 2021 was marked by an almost uninterrupted 
rise  in  palm  oil  prices  due  to  a  much  lower  than 
expected supply. This contraction in supply, combined 
with a massive return in demand following the end of 
the  containment  measures,  led  to  a  very  significant 
rise in palm oil prices in 2021. 
This price increase continued into 2022. Indeed, the 
uncertainties regarding the global supply of vegetable 
oils were further accentuated during the first quarter. 
Firstly,  in  Malaysia,  where  the  effects  of  the  plan 
to  accelerate  the  return  of  foreign  workers  to  the 
plantations were slow to be  felt. Then in Indonesia, 
which,  worried  about  its  domestic  market,  decided 
to restrict its palm oil exports at the end of January 
while global demand continued to rise. 
At the end of February, the Russian-Ukrainian conflict 
put  the  vegetable  oil  market  on  edge.  Ukraine 
alone  traditionally  supplied  over  50%  of  the  world's 
sunflower oil production. Buyers were forced to turn 
to  alternative  vegetable  oils  (soya,  palm,  rapeseed, 
etc.) whose prices soared. At the beginning of March, 
the  CIF  Rotterdam  CPO  broke  through  the  historic 
USD 2,000/T threshold, i.e. an increase of almost 50% 
since the beginning of the year.
In  April  2022,  tensions  rose  again  with  Indonesia's 
decision  to  suspend  palm  oil  exports  in  an  already 
tight market.
The rationing of the overall supply of vegetable oils in 
a context where demand remained strong contributed 
to  maintaining  high  price  levels  throughout  most  of 
the first half. The surge in oil prices, with a barrel of 
oil breaking the USD 120 mark on  several  occasions, 
also  helped  to  support  palm  oil  prices  during  this 
period. 
Graphics
International market for rubber and palm oil
22
|
ANNUAL REPORT 2022
|
Socfinasia
The price surge ended in May with the easing of export 
restrictions in Indonesia. The level of palm oil stocks 
in the country  was then close to 9 million tons. The 
world's  largest  producer  therefore  had  no  choice 
but  to  supply  the  international  market  by  massively 
opening  the  floodgates  for  exports,  thus  creating 
strong downward pressure on prices.
The loosening  of  the  grip  on sunflower  seed  exports 
from  the  Black  Sea  has  also  helped  to  alleviate 
concerns about the overall supply of vegetable oils. 
Prices thus fell back below the USD 1,000/T mark in 
September.
During  the  last  quarter  of  2022,  despite  abundant 
supply and high stock levels, palm oil prices held up 
well thanks to continued strong demand, particularly 
in  Asia.  At  the  end  of  December  2022,  the  CIF 
Rotterdam CPO was trading at around USD 1,030/T.
Outlook 2023
After  an  unprecedented  decline  at  the  height  of 
the  Covid  pandemic  in  2020,  palm  oil  production 
increased in 2021 and 2022. The increase is expected 
to  continue  in  2023  with  production  expected  to 
exceeding 80 million tons.
However,  several  uncertainties  weigh  on  palm  oil 
production.  Malaysia,  the  world's  second  largest 
producer,  is  facing  a  structural  labour  problem  that 
could  negatively  affect  its  production  figures.  In 
addition, soaring fertiliser prices could lead growers 
to restrict their use, which would limit the expected 
increase in yields.
Indonesia,  for  its  part,  is  increasing  the  number  of 
announcements aimed at limiting the volumes of palm 
oil  exported  in  order  to  satisfy  its  domestic  market 
first. Palm oil consumption for the Indonesian biodiesel 
industry  is  also  expected  to  increase  as  the  country 
plans  to  move  from  the  B30  mandate  to  the  B35 
mandate (i.e. 35% palm oil in biodiesel composition).
The  area  harvested  for  soybeans  for  the  2023 
marketing year is expected to increase, and production 
forecasts for other oilseeds (rapeseed, sunflower, etc.) 
are also favourable, suggesting an abundant supply of 
vegetable oils on the markets in 2023.
Against  the  backdrop  of  the  global  economic 
slowdown,  demand  could  show  signs  of  weakening 
even  though  the  main  importing  countries,  led  by 
India and China, are not expected to see a significant 
drop in consumption. In addition, demand should also 
be supported by the biofuel industry, thus preventing 
prices from falling too sharply. 
The  evolution  of  oil  prices,  the  purchasing  policies 
of  importing  countries,  the  implementation  of  tax 
incentives  or  customs  barriers,  will  also  play  a 
determining role in the evolution of palm oil prices.
On 28
th
 February 2023, the CIF Rotterdam CPO quotes 
at around USD 1,005/T.
Graphics
Socfinasia
|
ANNUAL REPORT 2022
|
23
Environment and social responsibility
The  responsible  management  policy  is  based  on 
the  Group's  three  pillars  of  commitment,  alongside 
its  specific  commitment  to  transparency:  rural 
development,  workers  and  local  communities,  and 
environment. These commitments form the basis of
key initiatives aimed at improving long-term economic 
performance,  social  well-being,  health,  safety  and 
natural resource management.
An  implementation  plan  for  this  policy  has  been 
defined and implemented throughout 2022.
The  efforts  and  actions  undertaken  by  the  Socfin 
Group in this area are detailed in a regularly updated 
dashboard  as  well  as  in  a  separate  annual  report 
("Sustainable Development Report").
The  responsible  management  policy,  the  dashboard 
and  the  annual  sustainable  development  report  are 
available on the Group's website.
Graphics
24
|
ANNUAL REPORT 2022
|
Socfinasia
Key figures
1. Activity indicators
Area (hectares) Rubber Palm
At 31
st
December 2022
Immatures (by year of planting)
2022 167 1,724
2021 120 1,286
2020 189 1,219
2019 155 0
2018 215 0
2017 80 0
2016 0 0
2015 726 0
2014 940 0
2013 183 0
2012 9 0
2011 139 0
2010 33 0
Total immatures
2,957 4,229
Young (from 6 to 11 years)
3,230 (from 3 to 7 years) 7,265
Prime (from 12 to 22 years)
7,039 (from 8 to 18 years) 12,167
Old (above 22 years)
296 (above 18 years) 15,618
Total in production
10,565 35,050
TOTAL
13,523 39,279
Area (hectares) 2022 2021 2020 2019 2018
Palm
39,279 39,089 38,727 38,447 39,476
Rubber
13,523 13,886 14,414 14,829 15,655
TOTAL
52,802 52,975 53,141 53,276 55,131
Production 2022 2021 2020 2019 2018
Palm Oil (tons)
Own production
179,516 180,584 182,577 189,462 194,705
Rubber (tons)
Own production
12,914 15,430 15,110 15,123 15,142
Seeds (thousands)
Own production
13,189 11,668 8,042 6,308 14,875
Graphics
Key figures
Socfinasia
|
ANNUAL REPORT 2022
|
25
Turnover (EUR million) 2022 2021 2020 2019 2018
Palm
171 141 105 99 98
Rubber
22 21 18 19 17
Other agricultural products
7 5 4 4 10
Other
1 1 0 0 0
TOTAL
202 168 127 122 125
Staffi 2022 2021 2020 2019 2018
Average workforce
9,595 10,168 10,363 10,567 10,885
2. Key figures from the consolidated income statement and consolidated
statement of cash flows
(EUR million) 2022 2021 2020 2019 2018
Turnover
202 168 127 122 125
Operating income
56 73 34 21 36
Profit / (loss) for the period attributable to the Group
48 57 16 14 23
Net cash flows from operating activities
91 69 36 25 8
Free cash flows (*)
80 60 25 12 -12
(*) Free Cash Flows = Cash flows from operating activities + cash flows from investing activities.
3. Key figures in the consolidated statement of financial position
(EUR million) 2022 2021 2020 2019 2018
Bearer biological assets
90 115 107 117 110
Other non-current assets
183 256 154 87 85
Current assets
145 115 75 143 148
Total equity
280 296 247 255 253
Non-current liabilities
40 121 37 45 38
Current liabilities
99 70 52 47 51
Graphics
26
|
ANNUAL REPORT 2022
|
Socfinasia
Stock market data
(EUR) 2022 2021 2020 2019 2018
Number of shares
19,594,260 19,594,260 19,594,260 19,594,260 19,594,260
Equity attributable to the owners of the 
Company
273,585,223 289,258,777 241,466,670 247,709,358 246,510,612
Undiluted net profit per share
2.45 2.93 0.84 0.73 1.44
Dividend per share
3.50 1.40 0.80 0.80 0.90
Share price
   Minimum
14.20 13.10 11.10 11.70 12.60
   Maximum
18.80 17.80 17.80 16.40 20.40
   Closing
16.50 14.30 14.50 16.30 12.60
Market capitalisation (*)
323,305,290 280,197,918 284,116,770 319,386,438 246,887,676
Dividend paid / net profit attributable to the 
owners of the Company
143.03% 47.78% 95.36% 109.27% 62.50%
Dividends / market capitalisation
21.21% 9.79% 5.52% 4.91% 7.14%
Market price / undiluted net profit per share
6.74 4.88 17.28 22.26 8.75
(*) Market capitalisation is the product of the number of shares multiplied by the closing market price.
Financial highlights of the year
Liquidation of Sodimex.
Sale of 5% of Management Associates to Socfin.
Graphics
Socfinasia
|
ANNUAL REPORT 2022
|
27
1. Introduction
Socfinasia  pays  close  attention  to  the  evolution  of 
the  ten  principles  of  corporate  governance  of  the 
Luxembourg  Stock  Exchange.  It  commits  to  provide 
the  necessary  explanations  for  a  comprehensive 
understanding on how the Company functions.
Corporate  governance  is  a  set  of  principles  and 
rules whose main objective is to contribute  to  long-
term value creation. It allows  the  Board to promote 
the  interests  of  the  Company  and  its  shareholders 
while  putting  in  place  effective  control  systems, 
management of risks and conflicts of interests.
2. Corporate governance chart
The  Board  of  Directors  adopted  the  corporate 
governance chart on 21
st
November 2018. It has been
updated  on  29
th
  March  2023  and  is  available  on  the 
Group's website.
3. Board of Directors
Composition of the Board of Directors
Name Nationality
Year of
Birth Position
First
nomination Term of Oce
Mr. Hubert Fabri Belgian 1952 Chairman
 (a)
AGO 1980 AGO 2027
Mr. Vincent Bolloré French 1952 Director
 (a)
AGE 1990 AGO 2024
Mr. Cyrille Bolloré French 1985 Director
 (a)
AGO 2019 AGO 2025
Administration and Finance Corporation 
“AFICO” represented by Régis Helsmoortel
Belgian 1961 Director
 (b)
AGO 1997 AGO 2028
Mr. François Fabri Belgian 1984 Director
 (b)
AGO 2014 AGO 2026
Mr. Philippe Fabri Belgian 1988
Director 
(b)
AGO 2018 AGO 2024
Mrs. Valérie Hortefeux French 1967 Director
 (c) 
AGO 2019 AGO 2025
(a)
 Non-Executive non-independent Director
(b) 
Executive non-independent Director
(c) 
Independent Director
The mandate of Mr. Vincent Bolloré, outgoing director, 
is eligible for re-election. The Board will propose to 
the  next  General  Meeting  the  renewal  of  this  term 
of office for a period of six years expiring during the 
General Meeting of 2029.
Corporate governance statement
Graphics
Corporate governance statement
28
|
ANNUAL REPORT 2022
|
Socfinasia
Other mandates held by the directors in listed companies
Hubert Fabri
Chairman
Positions and oces held in Luxembourg companies
• Chairman and director of the Board of Directors of Société Financière des Caoutchoucs “Socfin”, Socfinaf 
and Socfinasia.
Positions and oces held in foreign companies
• Chairman and Director of the Board of Directors of Palmeraies de Mopoli;
• Vice-Chairman of Société des Caoutchoucs du Grand Bereby “SOGB”;
• Vice-Chairman and member of the Supervisory Board of Compagnie du Cambodge;
• Director  of  Compagnie  de  l’Odet,  Financière  Moncey,  Okomu  Oil  Palm  Company,  S.A.F.A.  Cameroon 
“Safacam”, Société Industrielle et Financière de l’Artois and La Forestière Equatoriale;
• Permanent  representative  of  Administration  and  Finance  Corporation  “AFICO”  at  the  Board  of  Société 
Camerounaise de Palmeraies “Socapalm”.
Vincent Bolloré
Director
Positions and oces held in Luxembourg companies
• Director of Société Financière des Caoutchoucs “Socfin”, Socfinaf and Socfinasia.
Positions and oces held in foreign companies
• Chairman and chief Executive officer of Compagnie de l’Odet;
• Vice-Chairman of Société des Caoutchoucs du Grand Bereby “SOGB”;
• Director of Compagnie de l’Odet;
• Permanent  representative  of  Bolloré  Participations  SE  on  the  Boards  of  Directors  of  S.A.F.A.  Cameroon 
“Safacam”,  Société  des  Caoutchoucs  du  Grand  Bereby  “SOGB”  and  Société  Camerounaise  de  Palmeraies 
“Socapalm”.
Cyrille Bolloré
Director
Positions and oces held in Luxembourg companies
• Director of Société Financière des Caoutchoucs "Socfin" and Socfinasia;
•  Permanent representative of Bolloré Participations SE on the Board of Directors of Socfinaf.
Positions and oces held in foreign companies
• Chairman and Chief Executive Officer of the Board of Directors of Bolloré SE;
• Member of the Supervisory Board of Compagnie du Cambodge;
• Vice-Chairman of Compagnie de l’Odet;
• Director of Bolloré SE, Compagnie de l’Odet and Société Industrielle et Financière de l’Artois;
• Permanent representative of Compagnie du Cambodge on the Board of Financière Moncey;
• Member of the Supervisory Board of Vivendi SE;
• Non-Executive Director and member of the Compensation Committee of UMG N.V.
Graphics
Corporate governance statement
Socfinasia
|
ANNUAL REPORT 2022
|
29
Administration and Finance Corporation “AFICO”
Director
Positions and oces held in Luxembourg companies
•  Director of Socfinasia.
Positions and oces held in foreign companies
• Director of Société des Caoutchoucs du Grand Bereby “SOGB”, Société Industrielle et Financière de l’Artois 
and Société Camerounaise de Palmeraies “Socapalm”. 
François Fabri
Director
Positions and oces held in Luxembourg companies
• Director of Société Financière des Caoutchoucs “Socfin”, Socfinaf and Socfinasia;
• Executive Director of Socfinaf.
Positions and oces held in foreign companies
• Permanent Representative of Administration and Finance Corporation “AFICO” on the Board of Société des 
Caoutchoucs du Grand Bereby “SOGB” and Société Industrielle et Financière de l’Artois;
• Managing Director of Palmeraies de Mopoli;
• Director of S.A.F.A. Cameroon “Safacam” and Société Camerounaise de Palmeraies “Socapalm”.
Philippe Fabri
Director
Positions and oces held in Luxembourg companies
• Director of Société Financière des Caoutchoucs “Socfin”, Socfinaf and Socfinasia;
• Executive Director of Société Financière des Caoutchoucs “Socfin”.
Positions and oces held in foreign companies
• Member of the Supervisory Board of Palmeraies de Mopoli;
• Permanent  representative  of  Société  Anonyme  Forestière  et  Agricole  “SAFA”  on  the  board  of  S.A.F.A. 
Cameroon “Safacam”.
Valérie Hortefeux
Director
Positions and oces held in Luxembourg companies
• Director of Socfinasia.
Positions and oces held in foreign companies
• Director of Mediobanca and Compagnie de l’Odet.
Graphics
Corporate governance statement
30
|
ANNUAL REPORT 2022
|
Socfinasia
Appointments of Directors
The  Board  of  Directors  proposes  the  appointment 
of  the  Directors  at  the  Annual  General  Meeting  of 
shareholders.
In the event of a vacancy due to death or following the 
resignation  of  one  or  more  Directors,  the  remaining 
Directors  will  proceed  to  temporary  co-optations. 
These co-optations will be subject to the approval of 
the Annual General Meeting of shareholders at its next 
meeting. The  Director  appointed  to  replace  another 
Director will complete the term of his predecessor.
Role and powers of the Board of Directors
The  Board  of  Directors  is  the  body  responsible  for 
the management of the Company and the control of 
day-to-day management. It acts in the interest of the 
Company.
The Board of Directors ensures that all financial and 
human  resources  are  available  and  ensures  that  all 
the  necessary  structures  are  in  place  to  achieve  its 
objectives and ensure long-term value creation.
The  Articles  of  Association  empower  the  Board  of 
Directors to perform all actions necessary to achieve 
the corporate purpose.
Activity report of the Board of Directors
Number of meetings
At least two for the year-end and mid-year evaluations. 
During the 2022 financial year, the Board of Directors 
met 5 times.
Topics generally discussed
Periodic accounting situations;
Portfolio movements;
Inventory and valuation of the portfolio;
Evolution of significant holdings;
Management report;
Investment projects;
Corporate, social and environmental responsibility.
Average attendance rate of Directors
- 2022: 95%
- 2021: 98%
- 2020: 100%
- 2019: 91%
- 2018: 96%
Graphics
Corporate governance statement
Socfinasia
|
ANNUAL REPORT 2022
|
31
4. Committees of the Board of Directors
4.1 Audit Committee
The  Committee  is  composed  of  three  members,  of 
which 2 are independents and one of them is assigned 
as President of the Audit Committee. 
The Members of the Audit  Committee  are  appointed 
for one year and are eligible for re-election. This Audit 
Committee is effective as of 1
st
 January 2023 and has 
been in charge of the supervision of the preparation of 
the financial information for the year 2022.
The  Board  of  Directors  has  proposed  that  it  will  be 
constituted as follows:
• Mrs. Valérie Hortefeux (Independent 
Member) - Chairperson
• Mr. Frédéric Lemaire (Independent Member)
• Mr. Philippe Fabri (Director)
The appointment of the non-executive members will 
be confirmed at the General Meeting of Shareholders 
on 30
th
 May 2023.
The Audit Committee will assist the Board of Directors 
in  its  supervisory  function  and  is  responsible  of  the 
monitoring  of  the  financial  reporting,  the  audit 
process, the analysis and control of financial risks.
The Audit Committee shall meet three times a year.
4.2 Appointment and Remuneration Committee
The remuneration of the operational management of 
Socfinasia  is  set  by  the  principal  shareholders.  The 
Board of Directors does not consider it necessary to set 
up a Remuneration Committee. Similarly, for practical 
reasons and due to the size of the Company, the Board 
of  Directors  has  chosen  not  to  set  up  a  Nomination 
Committee.
5. Remuneration
The  remuneration  allocated  to  the  members  of 
the  Board  of  Directors  of  Socfinasia  for  financial 
year  2022  amounts  to  EUR  15,278,115  compared  to 
EUR 5,849,500 in 2021.
The Directors of Socfinasia did not receive any other 
payment in shares (stock options).
Graphics
Corporate governance statement
32
|
ANNUAL REPORT 2022
|
Socfinasia
6. Shareholding status
Shareholder
Number of shares held =
Number of voting rights
Percentage
holding
Date of
notification
Socfin
L-1650 Luxembourg
11,324,179 57.79 01/02/2017
Bolloré Participations
F-29500 Ergué Gaberic
200 0.001 22/10/2018
Bolloré
F-29500 Ergué Gaberic
3,358,100 17.138 22/10/2018
Compagnie du Cambodge
F-92800 Puteaux
1,002,500 5.116 22/10/2018
Total Bolloré interests (direct and indirect)
4,360,800 22.255
7. Financial calendar
30
th
 May 2023    Annual General Meeting at 11.00 am
8
th
 June 2023    Payment of the balance of dividend for 2022 (coupon number 84)
End of September 2023    Half year stand alone and consolidated results at 30
th
 June 2023
Mid-November 2023    Interim Management statement for 3
rd
 quarter of 2023
End of March 2024    Annual stand alone results at 31
st
 December 2023
Mid-April 2024    Consolidated annual results at 31
st
 December 2023
Mid-May 2024    Interim Management statement for the 1
st
 quarter of 2024
28
th
 May 2024    Annual General Meeting at 11.00 am
The Company's  results  are  published  on  the  Luxembourg  Stock  Exchange  website  www.bourse.lu and  on  the 
Company's website www.socfin.com.
8. External audit
Independent statutory auditor (Réviseur d’entreprises 
agréé)
Ernst & Young "EY"
35E Avenue John F. Kennedy
L-1855 Luxembourg.
In 2022, the audit fees amounted to EUR 394,614 VAT 
included.
The audit fees include all fees paid to the independent 
statutory auditor of the Group, as well as those paid 
to member firms within their network for the year. No 
consulting work or other non-audit services have been 
performed by those companies in 2022.
Graphics
Corporate governance statement
Socfinasia
|
ANNUAL REPORT 2022
|
33
9. Corporate, social and environmental responsibility
The  responsible  management  policy  is  based  on 
the  Group's  three  pillars  of  commitment,  alongside 
its  specific  commitment  to  transparency:  rural 
development,  workers  and  local  communities,  and 
environment. These commitments form the basis of
key initiatives aimed at improving long-term economic 
performance,  social  well-being,  health,  safety  and 
natural resource management.
An  implementation  plan  for  this  policy  has  been 
defined and implemented throughout 2022.
The  efforts  and  actions  undertaken  by  the  Socfin 
Group in this area are detailed in a regularly updated 
dashboard  as  well  as  in  a  separate  annual  report 
("Sustainable Development Report").
The  responsible  management  policy,  the  dashboard 
and  the  annual  sustainable  development  report  are 
available on the Group's website.
10. Other information
Pursuant to the Regulation 2016/347 of the European 
Commission of 10
th
  March  2016  specifying  the 
modalities for updating insider lists, a list of insiders 
has  been  drawn  up  and  is  kept  continuously  up  to 
date. The persons concerned have been informed of 
their inclusion on this list.
Graphics
34
|
ANNUAL REPORT 2022
|
Socfinasia
Statement of compliance
Mr. Philippe Fabri, Director and Mr. Daniel Haas, Chief 
Financial Officer, indicate that, to their knowledge:
(a) the  consolidated  financial  statements  prepared 
for  the  year  ended  at  31
st
  December  2022,  in 
accordance  with  the  International  Financial 
Reporting  Standards as adopted  by  the  European 
Union, give a true and fair view of the assets and 
liabilities, the financial position and the profit or 
loss of Socfinasia and of all the entities included in 
consolidation, and
(b) the  management  report  fairly  presents  the 
evolution and results of the Company, the financial 
position of the Group and all the entities included 
in the consolidation and a description of the main 
risks and uncertainties they face.

Graphics
Socfinasia
|
ANNUAL REPORT 2022
|
35
Portrait du Groupe
Consolidated management report
Directors’ report on the consolidated financial statements
presented by the Board of Directors to the
Annual General Meeting of the Shareholders of 30
th
May 2023
Ladies and Gentlemen,
1. Consolidated financial statements
The consolidated financial statements at 31
st
 December 
2022  include  the  financial  statements  of  Socfinasia,  all 
subsidiaries and direct and indirect associate companies, 
the details of which are given in Note 2 of the Notes to 
the consolidated financial statements.
As  stated  in  Note  1  of  the  Notes  to  the  consolidated 
financial  statements,  the  consolidated  financial 
statements  have  been  prepared  in  accordance  with 
International  Financial  Reporting  Standards  or  IFRS  as 
adopted by the European Union. Socfinasia (the  Group) 
adopted IFRS standards for the first time in 2005 and all 
the standards applicable to the Group at 31
st
 December 
2022 have been implemented.
Consolidated results
For  the  2022  financial  year,  the  result  attributable  to 
the  Group  amounted  to  EUR  47.9  million  compared  to 
EUR  57.4  million  in  2021.  This  results  in  earnings  per 
share attributable to the Group of EUR 2.45 compared to 
EUR 2.93 in 2021.
Consolidated  revenue  amounted  to  EUR  202.0  million 
in  2022  compared  to  EUR  168.2  million  in  2021  (an 
increase of  EUR  33.8  million). This  increase  in  revenue 
was mainly due  to rise in the price  (EUR +15.6 million) 
and  the  variation  of  the  Indonesian  Rupiah versus  Euro 
(EUR +15.6 million).
Likewise, operating profit decreased to EUR 55.7 million 
compared  to  EUR  73.2  million  in  2021.  The  fixed 
assets  were  subject  to  a  non-recurring  impairment  of 
EUR 27.3 million in 2022.
Other  financial  income  increased  to  EUR  26.8  million 
compared  to  EUR  8.1  million  in  2021  and  consisted 
mainly  of  exchange  gains  for  EUR  17.5  million  and  of 
EUR  7.7  million  of  interest  on  long-term  advances  to 
Socfin.
Financial  expenses  amounted  to  EUR  8.8  million 
compared to EUR 2.1 million in 2021 and consisted mainly 
of  foreign  exchange  losses  for  EUR  3.6  million  and  of 
interest expenses for EUR 3.5 million.
The  tax  expense  increased.  Income  taxes  amounted  to 
EUR 28.3 million compared to EUR 21.7 million in 2021.
Profit  for  the  year  from  associates  attributable  to  the 
Group  increased  to  EUR  10.8  million  compared  to 
EUR 7.1 million in 2021.
Consolidated statement of financial position
The assets of Socfinasia consist of:
- non-current  assets  of  EUR  273.1  million  compared 
to  EUR  371.7  million  in  2021,  a  decrease  of 
EUR 98.6 million mainly due to decrease of long-term 
advances  towards  Socfin  for  EUR  75.5  million  and  of 
biological assets for EUR 25.1 million;
- current  assets  for  EUR  145.4  million  compared  to 
EUR 115.1 million in 2021. This increase is mainly due 
to  the  increase  of  the  cash  and  cash  equivalents  for 
EUR 21.2 million.
Shareholders’ equity attributable to the Group amounted 
to  EUR  273.6  million  compared  to  EUR  289.3  million 
in  2021.  The  decrease  in  shareholders'  equity  of 
EUR  -15.7  million  is  mainly  due  to  the  profit  for  the 
period  (EUR  +47.9  million),  the  allocation  of  the  net 
results (EUR -58.8 million, final dividend 2021 and interim 
dividend  2022  included),  and  the  change  in  translation 
reserve (EUR -6.5 million).
On  the  basis  of  the  consolidated  shareholders'  equity, 
the  net  value  per  share  attributable  to  the  Group 
(before distribution of the balance of the dividend) was 
EUR  13.96  compared  to  EUR  14.76  a  year  earlier.  At 
31
st
 December 2022, the share price stood at EUR 16.50.
Current  and  non-current  liabilities  decreased  to 
EUR  138.6  million  compared  to  EUR  190.9  million  a 
year  earlier.  The  financial  liabilities  decreased  from 
EUR 87.4 million to EUR 28.3 million.

Graphics
Consolidated management report
36
|
ANNUAL REPORT 2022
|
Socfinasia
Consolidated cash flow
At 31
st
  December  2022,  cash  and  cash  equivalents 
amounted  to  EUR  94.6  million,  an  increase  of 
EUR  21.2  million  for  the  period  compared  to  an 
increase of EUR 53.6 million in the previous financial 
year.
Net  cash  flows  from  operating  activities  amount  to 
EUR  91.3  million  in  2022  (EUR  69.2  million  in  2021) 
and  cash  flow  from  operating  activities  amount  to 
EUR 107.9 million compared to EUR 92.3 million in the 
previous financial year.
Cash flows from investing activities show a net inflow, 
amounting  to  EUR  60.9  million  (compared  to  net 
outflow of EUR 6.0 million in 2021), due to the partial 
reimbursement of the long-term advance from Socfin. 
Cash  flows  from  financing  activities  amounted  to 
EUR 132.0 million (EUR 11.6 million in 2021) of which 
EUR  66.3  million  of  dividends  (EUR  23.1  million  in 
2021) and EUR 65.6 million repayment of borrowings.
2. Financial instruments
Financial risk management policies are described in the 
notes  to  the  consolidated  financial  statements  of  the 
Company (see notes 23 and 34).
3. Outlook 2023
The  results  for  the  next  financial  year  will  depend, 
to  a  large  extent,  on  factors  which  are  external  to 
the  management  of  the  Group,  namely  the  political 
and  economic  conditions  in  the  countries  where 
the  subsidiaries  are  established,  the  changes  in  the 
price  of  rubber  and  palm  oil,  and  the  evolution  of 
the Indonesian  Rupiah and  the  US dollar  against  the 
Euro.  The  Group,  for  its  part,  pursues  its  policy  of 
keeping cost prices as low as possible and improving 
its production capacity.
4. Political and economic environment
The Company holds interests in subsidiaries operating 
in South-East Asia.
Given the  economic  and political  instability  in some 
of these countries, these investments present a risk in
terms of exposure to political and economic changes.
Russia – Ukrain conflict
In  February  2022,  a  number  of  countries  (including 
the US, UK and EU) imposed sanctions against certain 
entities  and  individuals  in  Russia  as  a  result  of  the 
official recognition of the Donetsk People Republic and 
Lugansk  People  Republic  by  the  Russian  Federation. 
Announcements of potential additional sanctions have 
been made following military operations initiated by 
Russia against the Ukraine on 24
th
February 2022.
Due to these geopolitical tensions, there has been a 
significant increase in volatility on the securities and 
currency  markets  in  2022,  as  well  as  a  significant 
depreciation  of  the  ruble  against  the  US  dollar  and 
the euro.
Although  neither  the  company’s  performance  and 
going concern nor operations, have been significantly 
impacted  by  the  above  during  2022,  the  Board  of 
Directors continues to monitor the evolving situation 
and its impact on the financial position and results of 
the company.

Graphics
Consolidated management report
Socfinasia
|
ANNUAL REPORT 2022
|
37
5. Events after the closing date
Early final reimbursement of loan
As of 24
th
  February  2023  and  following  an  early 
prepayment of Socfin's debt to PNS Ltd, PNS Ltd itself 
repaid early the outstanding balance of its bank loan, 
amounting to USD 30,000,000.
Following this final repayment, PNS Ltd  bank  loan  is 
fully reimbursed, the share pledge and the securities 
have been waived.
6. Corporate governance
The  Board  of  Directors  implements  the  corporate 
governance  rules  applicable  in  the  Grand  Duchy  of 
Luxembourg  in  the  Group's  financial  structure  and 
reports.
Further information on how the rules are implemented 
is available in the corporate governance statement in 
the annual report and  in  the management report on 
the Company's stand alone financial statements.
7. General internal control system adapted to the group’s specific activities
Segregation of functions
The  segregation  of  operational,  commercial  and 
financial  functions  implemented  at  each  level  of 
the  Group  reinforces  the  independence  of  internal 
control.
These  different  functions  ensure  the  completeness 
and reliability of the information which is within their 
areas of responsibility. They provide regular updates 
of the completeness of information to local managers 
and  to  the  Group’s  headquarters  (agricultural  and 
industrial  production,  trade,  human  resources, 
finance, etc).
Autonomy and accountability of subsidiaries
The  operational  entities  have  a  large  degree  of 
autonomy  in  their  management  due  to  geographical 
distances.  They  are,  in  particular,  responsible  for 
the  implementation  of  an  internal  control  system 
adapted  to  the  nature  and  extent  of  their  activity, 
the  optimisation  of  their  operations  and  financial 
performances,  the  protection  of  their  assets  and 
management of their risks.
This  autonomy  makes  it  possible  for  the  entities  to 
be  more  accountable  and  to  ensure  the  adequacy 
between  their  practices  and  the  legal  framework  of 
their host country.
Centralised control
The  Human  Resources  Management  policy  of  the 
top management  of  the  entities  within  the  Group  is 
centralised at the Group's headquarters. It contributes 
to the smooth running of an effective internal control 
system through the independence of recruitment, the 
harmonisation  of  the  segregated  functions,  annual 
evaluations and training programs.
The  operational,  commercial  and  financial  functions 
centrally define a set of standard reports which ensure 
the  homogeneity  of  the  presentation  of  information 
originating from the subsidiaries.
Treasury reporting process
The  treasury  department  organises,  supervises  and 
controls the reporting of daily information and weekly 
indicators  of  the  subsidiaries  and,  in  particular,  the 
cash flow position, the evolution of net debt and the 
expenses related to the investments.
Financial reporting process
The  financial  department  organises,  supervises 
and  controls  the  reporting  of  monthly  accounting, 
budgetary  and  financial  information  and  distributes 
condensed reports for use by the Group's operational 
management.

Graphics
Consolidated management report
38
|
ANNUAL REPORT 2022
|
Socfinasia
Twice per year, it includes this information in the long-
term  development  plan  of  the  subsidiaries.  It  also 
ensures the implementation of the financial decisions 
taken by the Board of Directors of the subsidiaries.
Preparation of consolidated accounts
The  consolidated  financial  statements  are  prepared 
on a half-yearly basis. They are audited  annually  by 
the  external  auditors  as  part  of  a  financial  audit  of 
subsidiaries, which covers both the statutory accounts 
of the entities in the scope of consolidation and the 
consolidated financial statements.
Once  approved  by  the  Board  of  Directors,  they  are 
published.
The  consolidation  department  of  the  Group 
guarantees  homogeneity  and  treatment  monitoring 
for all  companies  within  the  scope  of  consolidation. 
It  strictly  adheres  to  the  accounting  standards  in 
force  relating  to  consolidation  operations.  It  uses 
a  standard  consolidation  tool  to  ensure  the  secure 
processing of information feedback from subsidiaries, 
the  transparency  and  relevance  of  automatic 
consolidation  processes  and  the  consistency  of 
presentation  of  accounting  aggregates  in  the  annual 
report. Lastly, due to the complexity of the accounting 
standards in force and the many specificities related 
to  their  implementation,  the  consolidation  service 
centralises the adjustments specific to the  valuation 
rules  applicable  to  the  consolidated  financial 
statements.
8. Environment and social responsibility
The  responsible  management  policy  is  based  on 
the  Group's  three  pillars  of  commitment,  alongside 
its  specific  commitment  to  transparency:  rural 
development,  workers  and  local  communities,  and 
environment. These commitments form the basis
of  key  initiatives  aimed  at  improving  long-term 
economic  performance,  social  well-being,  health, 
safety and natural resource management.
An  implementation  plan  for  this  policy  has  been 
defined and implemented throughout 2022.
The  efforts  and  actions  undertaken  by  the  Socfin 
Group in this area are detailed in a regularly updated 
dashboard  as  well  as  in  a  separate  annual  report 
("Sustainable Development Report").
The  responsible  management  policy,  the  dashboard 
and  the  annual  sustainable  development  report  are 
available on the Group's website.
The Board of Directors

Graphics
Socfinasia
|
ANNUAL REPORT 2022
|
39
Portrait du Groupe
Auditor’s report on the consolidated financial statements
To the Shareholders
SOCFINASIA S.A.
  4, Avenue Guillaume
  L-1650 Luxembourg
REPORT ON THE AUDIT OF THE CONSOLIDATED FINANCIAL STATEMENTS
Opinion
We  have  audited  the  consolidated  financial 
statements  of  Socfinasia  S.A.  and  its  subsidiaries 
(the  “Group”),  which  comprise  the  consolidated 
statement of financial position as at 31
st
 December 
2022,  and  the  consolidated  statement  of 
comprehensive income, the consolidated statement 
of changes in equity and the consolidated statement 
of cash flows for the year then ended, and the notes 
to the consolidated financial statements, including 
a summary of significant accounting policies. 
In  our  opinion,  the  accompanying  consolidated 
financial statements give a true and fair view of the 
consolidated  financial  position  of  the  Group  as  at 
31
st
 December 2022, and of its consolidated financial 
performance  and  consolidated  cash  flows  for  the 
year  then  ended  in  accordance  with  International 
Financial  Reporting  Standards  (“IFRS”)  as  adopted 
by the European Union.
Basis for opinion
We  conducted  our  audit  in  accordance  with  EU 
Regulation N° 537/2014, the Law of 23
rd
 July 2016 
on the audit profession (the “Law of 23
rd
 July 2016”) 
and with International Standards on Auditing (“ISAs”) 
as  adopted  for  Luxembourg  by  the  “Commission 
de  Surveillance  du  Secteur  Financier”  (“CSSF”). 
Our  responsibilities  under  the  EU  Regulation  Nº 
537/2014,  the  Law  of  23
rd
  July  2016  and  ISAs  are 
further  described  in  the  “Responsibilities  of  the 
“réviseur  d’entreprises  agréé”  for  the  audit  of 
the  consolidated  financial  statements”  section 
of  our  report.  We  are  also  independent  of  the 
Group  in  accordance  with  the  International  Ethics 
Standards Board for Accountants’ Code of Ethics for 
Professional Accountants (“IESBA Code”) as adopted 
for  Luxembourg  by  the  CSSF  together  with  the 
ethical requirements that are relevant to our audit 
of the consolidated financial statements, and have 
fulfilled  our  other  ethical  responsibilities  under 
those  ethical  requirements.  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 consolidated financial statements of 
the current period. These matters were addressed 
in  the  context  of  the  audit  of  the  consolidated 
financial statements as a whole, and in forming our 
opinion thereon, and we do not provide a separate 
opinion on these matters.
Valuation of biological assets
Risk identified
As at 31
st
 December 2022, the value of the Group's 
biological assets amounted to EUR 90.4 million out 
of total assets of EUR 418.6 million.
The  Group  owns  biological  assets  in  Asia.  These 
biological assets, which  consist  mainly  of  oil palm 
and  rubber  plantations,  are  valued  in  accordance 
with the principles defined in IAS 16 "Property, Plant 
and Equipment". These assets are recognised at cost 
less accumulated depreciation and any impairment 
losses.
The note 8 "Impairment of assets" of the consolidated 
financial  statements  describes  the  methodology 
used by Group management to assess whether there 
is any  indicator  of  impairment  or  any  indicator  of 
impairment  reversal  at  the  balance  sheet  date. 
When an indicator is identified, Group management 
determines the recoverable amount of the biological 

Graphics
Auditor’s report on the consolidated financial statements
40
|
ANNUAL REPORT 2022
|
Socfinasia
Auditor’s report on the consolidated financial statements
assets and thus determines the impairment loss or 
the reversal of impairment to be recognised, if any.
The indicators used by Group Management are:
•  a  decrease  or  an  increase  of  the  listed  price  of 
natural rubber (TSR20 1st position on SGX) and the 
listed price of crude palm oil (CIF Rotterdam) at 
the balance sheet date higher than 15% compared 
to a five-year average of the prices observed on 
those markets
•  a  decrease  or  an  increase  of  the  six-month 
average of the prices observed of those markets 
higher than 15% compared to a five-year average 
of the prices observed on those markets
•  a  decrease  or  an  increase  of  the  twelve-month 
average of the prices observed of those markets 
of more than 15% compared to a five-year average 
of the prices observed on those markets
For palm oil, which is mainly sold on local markets, 
Group Management also analyses local sales prices, 
considering that a decrease or an increase in these 
prices  at  the  balance  sheet  date  higher  than  15% 
compared to a five-year average value of the local 
prices constitutes an indicator of impairment or an 
indicator of impairment reversal respectively.
In  addition  to  these  external  factors,  the  Group 
analyses  the  following  internal  performance 
indicators:
-  Specificities  of  the  local  market  (evolution  of 
supply and demand, ...);
- Physical indications of impairment;
-  Significant  changes  in  the  plantations  that  could 
have a material impact on future cash flows.
The recoverable amount is determined as the higher 
of  the  value  in  use  and  the  fair  value  less  costs 
of  disposal.  The  value  in  use  is  defined  in  terms 
of  discounted  future  net  cash  flows  and  involves 
significant  judgements  and  estimations  by  Group 
Management,  including  financial  forecasts  and  the 
utilization of appropriate discount rates.
We considered the valuation of biological assets to 
be a key audit issue because of :
- their significance  in relation to the  Group's total 
assets
- the assessment of whether there is any indicator 
of  impairment  or  any  indicator  of  impairment 
reversal; and
-  the  determination  of  their  recoverable  amount 
which  involves  significant  judgements  and 
estimates.
Audit response
In order to assess the reasonableness of an indicator 
of  impairment  or  an  indicator  of  impairment 
reversal  and,  where  appropriate,  to  determine 
the  recoverable  amount  of  biological  assets,  we 
performed the following audit procedures :
•  Assess  the  compliance  of  Group's  management’s 
methodology  with  the  provisions  of  IAS  36 
"Impairment of Assets";
•  Analyze  the  methodology  used  with  a  particular 
focus on the indicators of impairment  or  on  the 
indicators of impairment reversal;
•  Analyze  the  completeness  of  indicators  of 
impairment or indicators of impairment reversal:
-  Evaluating  the  assessment  performed  by 
Group management to  identify the existence 
of  indicators  of  impairment  or  indicators 
of  impairment  reversal  by  comparing  the 
underlying data of the analysis with the source 
of the data used;
-  Comparing the evolution of yields per hectare; 
and
-  Overseeing the audit work of the components 
auditors  of  material  subsidiaries  to  identify 
any indicators of impairment or any indicators 
of  impairment  reversal,  including  that  site 
visits  of  the  plantations  have  been  carried 
out;
•  In  case  of  identification  of  an  indicator  of 
impairment  or  an  indicator  of  impairment 
reversal, we:
-  Assess the appropriateness of the methodology 
applied  by  Group  Management  to  determine 
the recoverable value of the biological assets 
and  the  accuracy  of  any  impairment  loss  or 
any impairment reversal recorded;
-  Analyze  the  reasonableness  of  the  cash  flow 
forecasts  used  by  Group  Management  to 
determine  the  value  in  use  of  the  biological 
assets;
-  Assess the reasonableness of the assumptions 
and inputs used by Group management; and

Graphics
Auditor’s report on the consolidated financial statements
Socfinasia
|
ANNUAL REPORT 2022
|
41
-  Reconcile  the  key  inputs  used  in  the  model 
with information  audited  by  the  components 
auditors of material subsidiaries.
•  Assess whether the disclosures required by IAS 36 
"Impairment  of  Assets"  for  biological  assets  are 
properly disclosed in the notes of the consolidated 
financial statements.
Other information
The Board of Directors is responsible for the other 
information. The other information comprises
the  information  included  in  the  consolidated 
management report and the corporate governance 
statement  but  does  not  include  the  consolidated 
financial  statements  and  our  report  of  “réviseur 
d’entreprises agréé” thereon.
Our opinion on the consolidated financial statements 
does not cover the other information and we do not 
express any form of assurance conclusion thereon.
In  connection  with  our  audit  of  the  consolidated 
financial  statements,  our  responsibility  is  to  read 
the  other  information  and,  in  doing  so,  consider 
whether  the  other  information  is  materially 
inconsistent  with  the  consolidated  financial 
statements or our knowledge obtained in the audit 
or otherwise appears to be materially misstated. If, 
based on the work we have performed, we conclude 
that there is a material misstatement of this other 
information, we are required to report this fact. We 
have nothing to report in this regard.
Responsibilities of the Board of Directors and
of those charged with governance for the
consolidated financial statements
The  Board  of  Directors  is  responsible  for 
the  preparation  and  fair  presentation  of  the 
consolidated  financial  statements  in  accordance 
with  IFRS  as  adopted  by  the  European  Union,  and 
for such internal control as the  Board of Directors 
determines is necessary to  enable  the  preparation 
of  consolidated  financial  statements  that  are  free 
from material misstatement, whether due to fraud 
or error.
The  Board  of  Directors  is  also  responsible  for 
presenting  the  consolidated  financial  statements 
in compliance with the requirements set out in the 
Delegated Regulation 2019/815 on European Single 
Electronic Format, as amended (“ESEF Regulation”).
In preparing the consolidated financial statements, 
the  Board  of  Directors  is  responsible  for  assessing 
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  Board  of  Directors 
either  intends  to  liquidate  the  Group  or  to  cease 
operations, or has no realistic alternative but to do 
so.
Those charged with governance are responsible for 
overseeing the Group’s financial reporting process.
Responsibilities of the “réviseur d’entreprises
agréé” for the audit of the consolidated financial
statements
The objectives of our audit are to obtain reasonable 
assurance about whether the consolidated financial 
statements  as  a  whole  are  free  from  material 
misstatement, whether due to fraud or error, and to 
issue a report of the “réviseur d’entreprises agréé” 
that includes our opinion. Reasonable assurance is a 
high level of assurance, but is not a guarantee that 
an audit conducted in accordance with EU Regulation 
N°  537/2014,  the  Law  of  23
rd
  July  2016  and  with 
the  ISAs  as  adopted  for  Luxembourg  by  the  CSSF 
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 
influence the economic decisions of users taken on 
the basis of these consolidated financial statements.
As part of an audit in accordance with EU Regulation 
N° 537/2014, the Law of 23
rd
 July 2016 and with ISAs 
as adopted for Luxembourg by the CSSF, we exercise 
professional  judgment  and  maintain  professional 
skepticism throughout the audit. We also: 
•  Identify  and  assess  the  risks  of  material 
misstatement  of  the  consolidated  financial 
statements,  whether  due  to  fraud  or  error, 
design  and  perform  audit  procedures  responsive 
to those risks, and obtain audit evidence that is 

Graphics
Auditor’s report on the consolidated financial statements
42
|
ANNUAL REPORT 2022
|
Socfinasia
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 
Group’s internal control. 
•  Evaluate  the  appropriateness  of  accounting 
policies used and the reasonableness of accounting 
estimates  and  related  disclosures  made  by  the 
Board of Directors. 
•  Conclude  on  the  appropriateness  of  Board  of 
Directors’  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  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 report of the  “réviseur 
d’entreprises  agréé”  to  the  related  disclosures 
in  the  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  report 
of  the  “réviseur  d’entreprises  agréé”.  However, 
future events or conditions may cause the Group 
to cease to continue as a going concern. 
•  Evaluate the overall presentation, structure and 
content of the consolidated financial statements, 
including  the  disclosures,  and  whether  the 
consolidated  financial  statements  represent  the 
underlying  transactions  and  events  in  a  manner 
that achieves fair presentation.
•  Assess  whether  the  consolidated  financial 
statements  have  been  prepared,  in  all  material 
respects,  in  compliance  with  the  requirements 
laid down in the ESEF Regulation.
•  Obtain  sufficient  appropriate  audit  evidence 
regarding the financial information of the entities 
and  business  activities  within  the  Group  to 
express an opinion on the  consolidated  financial 
statements. We are responsible for the direction, 
supervision and performance of the Group audit. 
We  remain  solely  responsible  for  our  audit 
opinion.
We  communicate  with  those  charged  with 
governance  regarding,  among  other  matters,  the 
planned scope and timing of the audit and significant 
audit findings, including any significant deficiencies 
in internal control that we identify during our audit. 
We also provide those charged with governance with 
a  statement  that  we  have  complied  with  relevant 
ethical requirements regarding independence,  and 
communicate  to  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 
consolidated  financial  statements  of  the  current 
period and are therefore the key audit matters. We 
describe these matters in our report unless law or 
regulation  precludes  public  disclosure  about  the 
matter.
Report on other legal and regulatory requirements
We have been appointed as “réviseur d’entreprises 
agréé” by the General Meeting of the Shareholders on 
26
th
 May 2020 and the duration of our uninterrupted 
engagement,  including  previous  renewals  and 
reappointments, is 3 years.
The consolidated management report  is consistent 
with the consolidated financial statements and has 
been prepared in accordance with applicable legal 
requirements. 
The accompanying corporate governance statement 
on pages 27 to 33 is the responsibility of the Board 
of  Directors.  The  information  required  by  article 
68ter  paragraph  (1)  letters  c)  and  d)  of  the  law 
of 19
th
  December  2002  on  the  commercial  and 
companies  register  and  on  the  accounting  records 
and annual accounts of undertakings, as amended, 
is  consistent  with  the  consolidated  financial 

Graphics
Auditor’s report on the consolidated financial statements
Socfinasia
|
ANNUAL REPORT 2022
|
43
statements and has been prepared in accordance
withapplicablelegalrequirements.
Wehavecheckedthecomplianceoftheconsolidated
financialstatementsoftheGroupasat31
st
December
2022withrelevantstatutoryrequirementssetout
in the ESEF Regulation that are applicable to the
financialstatements.FortheGroup,itrelatesto:
• Financial statements prepared in valid xHTML
format;
• The XBRL markup of the consolidated financial
statements using the core taxonomy and the
common rules on markups specified in the ESEF
Regulation.
Inouropinion,theconsolidatedfinancialstatements
of the Group as at 31
st
December 2022, identified
as Socfinasia 2022 Annual report.zip, have been
prepared, in all material respects, in compliance
with the requirements laid down in the ESEF
Regulation.
Weconfirmthattheauditopinionisconsistentwith
the additional report to the audit committee or
equivalent.
We confirm that the prohibited non-audit services
referredtoinEURegulationNo537/2014werenot
providedandthatweremainedindependentofthe
Groupinconductingtheaudit.


Ernst&Young
Société anonyme
Cabinetderévisionagréé
AnthonyCannella
Luxembourg

Graphics
44
|
ANNUAL REPORT 2022
|
Socfinasia
Portrait du Groupe
Consolidated financial statements
1. Consolidated statement of financial position
31/12/2022 31/12/2021
ASSETS Note EUR EUR
Non-Current Assets
Right-of-use assets
3
1,866,143 910,065
Intangible assets
4
237,776 828,613
Property, plant and equipment
5
40,992,845 41,308,451
Biological assets
6
90,355,051 115,405,596
Investments in associates
10
25,588,659 21,934,906
Financial assets at fair value through other comprehensive
income
11
773,528 501,082
Long-term advances
12
100,503,325 175,971,270
Deferred tax assets
13
5,817,338 7,870,916
Other non-current assets
31
7,000,000 7,000,000
273,134,665 371,730,899
Current Assets
Inventories
16
15,945,854 16,115,866
Current biological assets
6
1,684,003 1,135,194
Trade receivables
17
3,141,096 2,304,055
Other receivables
18
28,426,558 20,904,231
Current tax assets
14
1,574,532 1,228,967
Cash and cash equivalents
19
94,648,047 73,404,709
145,420,090 115,093,022
TOTAL ASSETS 418,554,755 486,823,921
The accompanying notes are an integral part of these consolidated financial statements.

Graphics
Consolidated financial statements
Socfinasia
|
ANNUAL REPORT 2022
|
45
1. Consolidated statement of financial position
31/12/2022 31/12/2021
ASSETS Note EUR EUR
Non-Current Assets
Right-of-use assets
3
1,866,143 910,065
Intangible assets
4
237,776 828,613
Property, plant and equipment
5
40,992,845 41,308,451
Biological assets
6
90,355,051 115,405,596
Investments in associates
10
25,588,659 21,934,906
Financial assets at fair value through other comprehensive
income
11
773,528 501,082
Long-term advances
12
100,503,325 175,971,270
Deferred tax assets
13
5,817,338 7,870,916
Other non-current assets
31
7,000,000 7,000,000
273,134,665 371,730,899
Current Assets
Inventories
16
15,945,854 16,115,866
Current biological assets
6
1,684,003 1,135,194
Trade receivables
17
3,141,096 2,304,055
Other receivables
18
28,426,558 20,904,231
Current tax assets
14
1,574,532 1,228,967
Cash and cash equivalents
19
94,648,047 73,404,709
145,420,090 115,093,022
TOTAL ASSETS 418,554,755 486,823,921
The accompanying notes are an integral part of these consolidated financial statements.
31/12/2022 31/12/2021
EQUITY AND LIABILITIES Note EUR EUR
Equity attributable to the owners of the Parent
Share capital
20 24,492,825 24,492,825
Legal reserve
21 2,449,283 2,449,283
Consolidated reserves
321,299,102 321,053,764
Translation reserves
-122,604,832 -116,151,273
Profit / (loss) for the period
47,948,844 57,414,177
273,585,222 289,258,776
Non-controlling interests
9 6,404,183 6,662,431
Total Equity
279,989,405 295,921,207
Non-Current Liabilities
Deferred tax liabilities
13 4,856,278 5,579,195
Employee Benefits Obligations
22 34,304,488 36,912,326
Long-term debt, net of current portion
23 9,375,586 78,136,408
Long-term lease liabilities
3 397,717 401,008
48,934,069 121,028,937
Current Liabilities
Short-term debt and current portion of long-term debt
23 18,522,296 8,853,829
Short-term lease liabilities
3 28,105 26,341
Trade payables
24 4,333,217 4,003,740
Current tax liabilities
14 11,928,558 16,005,952
Other payables
24 54,819,105 40,983,915
89,631,281 69,873,777
TOTAL EQUITY AND LIABILITIES 418,554,755 486,823,921
The accompanying notes are an integral part of these consolidated financial statements.

Graphics
Consolidated financial statements
46
|
ANNUAL REPORT 2022
|
Socfinasia
2. Consolidated income statement
2022 2021
Note EUR EUR
Revenue
33 201,959,951 168,186,805
Work performed by entity and capitalised
587,915 1,105,836
Change in inventories of finished products and work in progress
-772,075 3,452,902
Other operational income
3,767,343 1,305,827
Raw materials and consumables used
33 -18,662,703 -11,421,404
Other expenses
33 -15,267,663 -13,038,627
Staff costs
26 -73,154,782 -60,755,553
Depreciation and impairment expense
7 -37,867,992 -10,948,422
Other operating expenses
31
-4,845,092 -4,648,823
Operating profit / (loss)
55,744,902 73,238,541
Other financial income
27 26,794,435 8,059,609
Gain on disposals
382,822 696,738
Loss on disposals
-301,923 -2,236,973
Financial expenses
28 -8,794,505 -2,062,103
Profit / (loss) before taxes
73,825,731 77,695,812
Income tax expense
15 -28,346,768 -21,664,691
Deferred tax (expense) / income
15 -1,042,777 357,786
Share of the Group in the result from associates
10 10,844,143 7,147,777
Profit / (loss) for the period
55,280,329 63,536,684
Profit / (loss) attributable to non-controlling interests
7,331,485 6,122,507
Profit / (loss) attributable to the owners of the Parent
47,948,844 57,414,177
Basic earnings per share undiluted
29 2.45 2.93
Number of Socfinasia's shares
19,594,260 19,594,260
Basic earnings per share
2.45 2.93
Diluted earnings per share
2.45 2.93
The accompanying notes are an integral part of these consolidated financial statements.

Graphics
Consolidated financial statements
Socfinasia
|
ANNUAL REPORT 2022
|
47
3. Consolidated statement of comprehensive income
2022 2021
Note EUR EUR
Profit / (loss) for the period
55,280,329 63,536,684
Other comprehensive income
Actuarial gains / (losses)
22 1,548,009 -801,102
Deferred tax on actuarial losses and gains
-285,761 -25,588
Fair value changes of securities measured at fair value through other
comprehensive income, before taxes
11 -27,554 -36,378
Deferred tax on fair value changes of securities measured at fair value
through other comprehensive income
6,872 9,073
Subtotal of items that cannot be reclassified to profit or loss
1,241,566 -853,995
Gains / (losses) on exchange differences on translation of subsidiaries
-6,643,883 8,936,823
Share of other comprehensive income related to associates
10 443,738 317,468
Subtotal of items eligible for reclassification to profit or loss
-6,200,145 9,254,291
Total other comprehensive income
-4,958,579 8,400,296
Comprehensive income
50,321,750 71,936,980
Comprehensive income attributable to non-controlling interests
7,263,233 6,411,487
Comprehensive income attributable to the owners of the Parent
43,058,517 65,525,493
The accompanying notes are an integral part of these consolidated financial statements.

Graphics
Consolidated financial statements
48
|
ANNUAL REPORT 2022
|
Socfinasia
4. Consolidated statement of cash flows
2022 2021
Note EUR EUR
Operating activities
Profit / (loss) attributable to the owners of the Parent
47,948,844 57,414,177
Profit / (loss) attributable to non-controlling shareholders
7,331,485 6,122,507
Income from associates
10 -10,844,143 -7,147,177
Dividends received from associates
10 7,126,982 3,383,509
Fair value of agricultural production
-2,378,830 1,380,915
Other adjustments having no impact on cash position
-9,102,961 -1,526,193
Depreciation, impairment, provisions and allowances
38,118,718 9,839,642
Net loss on disposals of assets
344,053 1,540,235
Income tax expense and deferred tax
15 29,389,545 21,306,905
Cash flows from operating activities
107,933,693 92,313,920
Interest expense / (income)
27, 28 -5,700,645 -3,521,702
Income tax paid
15 -28,346,768 -21,664,691
Change in inventory
1,391,037 -6,112,598
Change in trade and other receivables
4,985,088 1,105,895
Change in trade and other payables
9,619,162 3,694,583
Change in accruals and prepayments
1,444,533 3,352,891
Change in working capital requirement
17,439,820 2,040,771
Net cash flows from operating activities
91,326,100 69,168,298
Investing activities
Acquisitions / disposals of intangible assets
-635,933 -647,322
Acquisitions of property, plant and equipment and biological assets
5, 6 -13,786,271 -10,468,242
Disposals of property, plant and equipment
2,534,443 977,739
Acquisitions / disposals of financial assets and loans with shareholder
31 67,069,288 621,710
Interest received
5,700,645 3,521,702
Net cash flows from investing activities
60,882,172 -5,994,413
Financing activities
Dividends paid to the owners of the Parent
30 -58,782,780 -17,634,834
Dividends paid to non-controlling shareholders
9 -7,521,462 -5,497,754
Proceeds from borrowings
23 0 12,082,392
Repayment of borrowings
23 -65,642,097 -483,046
Repayment of lease liabilities
-28,470 -25,145
Net cash flows from financing activities
-131,974,809 -11,558,387
Effect of exchange rate fluctuations
1,009,875 1,957,095
Net cash flows
21,243,338 53,572,593
Cash and cash equivalents at 1
st
January
19 73,404,709 19,832,116
Cash and cash equivalents at 31
st
December
19 94,648,047 73,404,709
Net increase / (decrease) in cash and cash equivalents
21,243,338 53,572,593
The accompanying notes are an integral part of these consolidated financial statements.

Graphics
Consolidated financial statements
Socfinasia
|
ANNUAL REPORT 2022
|
49
5. Consolidated statement of changes in equity
EUR Share capital Legal reserve
Translation
reserves
Consolidated
reserves
Equity
attributable
to the
owners of
the Parent
Non-
controlling
interests
TOTAL
EQUITY
Balance at 1
st
January 2021
24,492,825 2,449,283 -125,183,537 339,708,101 241,466,672 5,748,691 247,215,363
Profit / (loss) for the period
57,414,177 57,414,177 6,122,507 63,536,684
Actuarial (losses) / gains
-744,021 -744,021 -82,669 -826,690
Change in fair value of securities at fair
value through other comprehensive income
-21,821 -21,821 -5,484 -27,305
Foreign currency translation adjustments
8,559,690 0 8,559,690 377,133 8,936,823
Transfer between reserves
472,574 -472,574 0 0
Share in other comprehensive income
from associates
317,468 317,468 0 317,468
Other comprehensive income
9,032,264 56,493,229 65,525,493 6,411,487 71,936,980
Dividends (Note 30)
-9,797,130 -9,797,130 -5,497,754 -15,294,884
Interim dividends (Note 30)
-7,837,704 -7,837,704 0 -7,837,704
Other movements
-98,555 -98,555 7 -98,548
Transactions with shareholders
-17,733,389 -17,733,389 -5,497,747 -23,231,136
Balance at 31
st
December 2021
24,492,825 2,449,283 -116,151,273 378,467,941 289,258,776 6,662,431 295,921,207
Balance at 1
st
January 2022
24,492,825 2,449,283 -116,151,273 378,467,941 289,258,776 6,662,431 295,921,207
Profit/(loss) for the period
47,948,844 47,948,844 7,331,485 55,280,329
Actuarial losses and gains 1,136,023
1,136,023
126,225
1,262,248
Change in fair value of securities at fair
value through other comprehensive income
-16,529 -16,529 -4,153 -20,682
Foreign currency translation adjustments
-6,453,559 -6,453,559 -190,324 -6,643,883
Share in other comprehensive income
from associates
443,738 443,738 0 443,738
Other comprehensive income
-6,453,559 49,512,076 43,058,517 7,263,233 50,321,750
Dividends (Note 30)
-19,594,260 -19,594,260 -5,521,954 -25,116,214
Interim dividends (Note 30)
-39,188,520 -39,188,520 -1,999,508 -41,188,028
Other movements
50,709 50,709 -19 50,690
Transactions with shareholders
-58,732,071 -58,732,071 -7,521,481 -66,253,552
Balance at 31
st
December 2022
24,492,825 2,449,283 -122,604,832 369,247,946 273,585,222 6,404,183 279,989,405
The accompanying notes are an integral part of these consolidated financial statements.

Graphics
Consolidated financial statements
6. Notes to the consolidated financial statements
50
|
ANNUAL REPORT 2022
|
Socfinasia



Note 1. Overview and accounting policies

1.1. Overview
Socfinasia S.A. (the “Company") was incorporated on 
20
th
  November  1972.  Its  corporate  purpose  qualifies 
it  as  a  soparfi  since  the  Annual  General  Meeting  of 
10
th
 January 2011. The registered office is established 
at 4, avenue Guillaume, L-1650 in Luxembourg.
The main activity of the Company and its subsidiaries 
(the  "Group")  is  the  management  of  a  portfolio  of 
interests  mainly  focused  on  the  exploitation  of 
tropical  oil  palm  and  rubber  plantations  mainly  in 
South-East of Asia.
Socfinasia  is  controlled  by  Société  Financière  des 
Caoutchoucs,  abbreviated  as  “Socfin”  which  is  the 
largest entity that consolidates. The registered office 
of the latter company is also located in Luxembourg. 
The  Company  is  registered  in  the  commercial 
register  under  the  number  B10534  and  is  listed  on 
the  Luxembourg  Stock  Exchange  under  ISIN  code: 
LU0092047413.

1.2. Statement of compliance
The  consolidated  financial  statements  have  been 
prepared on a going concern basis and in accordance 
with  International  Financial  Reporting  Standards 
(IFRS)  as  adopted  by  the  European  Union  and  the 
consolidated  financial  statements  are  presented  in 
euros  and  rounded  to  the  nearest  whole  number, 
the euro being the functional currency of the parent 
company  Socfinasia  and  of  the  Group's  presentation 
currency.
On 29
th
 March 2023, the Board of Directors approved 
the consolidated financial statements.
In  conformity  with  the  current  legislation  existing 
in  the  Grand  Duchy  of  Luxembourg,  the  financial 
statements  will  be  approved  by  the  shareholders 
during  the  Annual  General  Meeting.  The  official 
version of the accounts is the ESEF version available 
with the Officially Appointed Mechanism (OAM) tool.
New standards and amendments issued but not yet
effiective on 1
st
January 2022:
The  Group  does  not  expect  the  adoption  of  the 
standards  and  amendments  described  below 
to  have  a  material  impact  on  its  consolidated 
financial  statements,  nor  anticipate  early  adoption 
of  new  accounting  standards,  amendments  and 
interpretations.
- On 18
th
 May 2017, the IASB issued IFRS 17 "Insurance 
Contracts",  which  establishes  principles  for  the 
recognition,  measurement  and  presentation  of 
insurance  contracts.  Under  IFRS  17,  insurance 
performance  should  be  measured  at  its  current 
execution  value  and  provide  a  more  consistent 
measurement  and  presentation  method  for  all 
types of insurance contracts. IFRS 17 replaces IFRS 
4 "Insurance contracts" and its interpretations. It is 
effective as of 1
st
 January 2023 and early adoption 
is permitted if IFRS 15 "Revenue from Contracts with 
Customers" and IFRS 9 "Financial Instruments" have 
been applied. On 9
th
 December 2021, the IASB issued 
amendments to IFRS 17, aimed at helping entities to 
avoid  temporary  accounting  mismatches  between 
financial assets and insurance contract liabilities.
- On 7
th
  May  2021,  the  IASB  published  amendments 
to  IAS  12  "Deferred  Tax  related  to  Assets  and 
Liabilities  arising  from  a  Single  Transaction".  The 
amendments narrowed the scope of the recognition 
exemption  in  paragraphs  15  and  24  of  IAS  12 
(recognition exemption) so that it no longer applies 
to  transactions  that,  on  initial  recognition,  give 
rise  to  equal  taxable  and  deductible  temporary 
differences.  They  are  effective  for  financial  years 
beginning  on  or  after  1
st
  January  2023  and  are  to 
be  applied  retrospectively,  with  early  adoption 
permitted.
- On 12
th
 February 2021, the IASB issued amendments 
to  IAS  1,  IFRS  Practice  Statement  2  "Making 
Judgments  about  Materiality"  and  IAS  8.  The 
amendments  are  intended  to  assist  preparers  in 
determining the accounting policies to be presented 
in their financial statements, to further enhance the 
importance in determining the accounting policies, 
and to distinguish changes in accounting estimates 



Graphics
Consolidated financial statements
Socfinasia
|
ANNUAL REPORT 2022
|
51



from  changes  in  accounting  policies.  They  are 
effective  for  financial  years  beginning  on  or  after 
1
st
 January 2023 and are to be applied prospectively, 
with early adoption permitted.
New IFRS standards, amendments and inter-
pretations not yet endorsed by the European Union:
- On 23
rd
  January  2020,  the  IASB  published 
amendments  to  IAS  1  "Presentation  of  Financial 
Statements"  on  the  classification  of  liabilities  as 
current and non-current in order to establish a more 
general approach to the  classification of liabilities 
under IAS 1, based on an analysis of contracts existing 
at the balance sheet date. The amendments include 
clarification  of  the  requirements  for  classifying 
liabilities that a company could settle by converting 
them  into  equity.  On  15
th
  July  2020,  the  IASB 
deferred  the  effective  date  of  the  amendments. 
On 31
st
 October 2022, the IASB issued "Non-current 
Liabilities with Covenants" to clarify how conditions 
with  which  an  entity  must  comply  within  twelve 
months  after  the  reporting  period  affect  the 
classification  of  a  liability.  The  amendments  are 
effective for reporting periods beginning on or after 
1
st
  January  2024.  The  Group  does  not  expect  the 
adoption of these amendments to have  a material 
impact on its consolidated financial statements.
- On 22
nd
  September  2022,  the  IASB  issued 
amendments  to  IFRS  16  "Lease  Liability  in  a 
Sale  and  Leaseback",  that  clarify  how  a  seller-
lessee  subsequently  measures  sale  and  leaseback 
transactions  that  satisfy  the  requirements  in  IFRS 
15 to be accounted for a sale. The amendment does 
not change the accounting for leases unrelated to 
sale  and  leaseback  transactions.  The  amendment 
applies retrospectively to annual reporting periods 
beginning  on  or  after  1
st
  January  2024,  with  early 
adoption permitted. The Group does not expect the 
adoption of these amendments to have  a material 
impact on its consolidated financial statements.
1.3. Presentation of the consolidated financial
statements
The consolidated financial  statements are  presented 
in euros (EUR or €).
They are prepared on the basis of historical cost with 
the exception of the following assets:
-  Biological assets (current) (IAS 2, IAS 41), derivative 
instruments  and  securities  measured  at  fair  value 
through other comprehensive income are recognised 
at fair value;
-  Property, plant and equipment acquired as part of a 
business combination (IFRS 3) are measured initially 
at their fair value at the date of acquisition.
The accounting principles and rules  are  applied  in  a 
consistent and permanent way within the Group. The 
consolidated  financial  statements  are  prepared  for 
the  accounting  year  ending  31
st
  December  2022  and 
are presented before the Annual General Meeting of 
shareholders  approving  the  allocation  of  the  parent 
company's income.
At 1
st
 January 2022, the Group adopted the following 
amendments  without  any  material  impact  on  the 
Group's consolidated financial statements:
o Amendment  to  IFRS  3  Business  Combinations  - 
reference  to  the  Conceptual  Framework:  the 
amendments  updated  the  reference  to  the 
Conceptual  Framework  for  Financial  Reporting, 
added  a  reference  to  IAS  37  or  IFRIC  21  when  a 
company  identifies  the  liabilities  assumed  in  a 
business combination, and stated that  an  acquirer 
should not recognise contingent assets acquired in a 
business combination.
o Amendment IAS 16 Property, Plant and Equipment:
the amendments prohibit a company from deducting 
from  the  cost  of  property,  plant  and  equipment 
amounts received from selling items produced while 
the company is preparing the asset for its intended 
use. Instead, a company should recognise such sales 
proceeds and related cost in profit or loss.
o Amendments  to  IAS  37  Provisions,  Contingent 
Liabilities and Contingent Assets: Onerous Contracts 
— Cost of Fulfilling a Contract: these amendments 
specify  which  costs  a  company  includes  when 
assessing whether a contract will be loss-making.
o Annual Improvements to IFRS Standards 2018–2020.
These amendments concern IFRS 1, IFRS 9, IFRS 16 
and IAS 41:
-  IFRS  1  (1
st
  time  adopter):  allows  a  subsidiary 
to  measure  translation  differences  using  the 
amounts  reported  by  its  parent,  based  on  the 
parent’s date of transition to IFRS



Graphics
Consolidated financial statements
52
|
ANNUAL REPORT 2022
|
Socfinasia



-  IFRS 16: removal from the illustrative examples of 
the illustration of the reimbursement of leasehold 
improvements by the lessor
-  IFRS  9:  the  amendment  clarifies  which  fees  an 
entity includes when it applies the "10 per cent" 
test  in  paragraph  B3.3.6  of  IFRS  9  in  assessing 
whether to derecognise a financial liability
-  IAS 41: the amendment removes the requirement 
in IAS 41.22 for entities to exclude taxation cash 
flows when measuring the fair value of a biological 
asset using a present value technique.


1.4. Consolidation principles
The  consolidated  financial  statements  include  the 
financial statements of the parent company Socfinasia 
as well as  those  of  the  companies controlled by  the 
parent  ("subsidiaries")  and  those  of  the  companies 
in  which  Socfinasia  exercises  significant  influence 
("associates"), all of which constitute the "Group".
All companies included in the scope of consolidation 
at 31
st
  December  2022  close  their  accounts  on 
31
st
 December.
a) Subsidiaries
In  accordance  with  IFRS  10,  an  investor  has  control 
when three conditions are fulfilled:
1) it holds power over the entity;
2)  it  is  entitled  to  or  is  exposed  to  variable  returns 
from its involvement;
3)  it has the ability to use its power over the entity to 
affect returns.
Currently, the Group holds the majority of the voting 
rights in the entities.
Income  and  expenses  from  subsidiaries  acquired  or 
sold during the year are included in the consolidated 
income  statement,  respectively,  from  the  date  of 
acquisition to the date of disposal.
Profit  or  loss  and  each  component  of  other 
comprehensive  income  are  attributed  to  the  equity 
holders  of  the  parent  of  the  Group  and  to  the  non-
controlling interests,  even  if  this results  in  the  non-
controlling interests having a deficit balance.
Where  appropriate,  restatements  are  made  to  the 
financial  statements  of  the  subsidiaries  to  align 
the  accounting  principles  used  with  those  of  other 
companies in the scope of consolidation.
All  intra-group  balances  and  transactions  are 
eliminated upon consolidation.
If  the  Group  loses  control  over  a  subsidiary,  it 
derecognises the related  assets  (including  goodwill), 
liabilities,  non-controlling  interest  and  other 
components of equity, while any residual gain or loss 
is recognised in profit or loss. Any investment retained 
is recognised at fair value.


b) Investments in associates and joint-ventures
An associate is a company over which the Group
exercises significant influence through its participation 
in  the  financial  and  operational  decisions  of  this 
company, but over which it has no control. Significant 
influence  is  presumed  when  the  Group  holds,  directly 
or  indirectly  through  its  subsidiaries,  between  20% 
and 50% of the voting rights. A joint-venture is a joint 
arrangement  whereby  the  parties  that  have  joint 
control of the arrangement have rights to the net assets 
of the arrangement.  Joint  control  is  the contractually 
agreed  sharing  of  control  of  an  arrangement  (i.e. 
decisions  require  unanimous  consent  of  the  parties 
sharing control).
Associates  and  joint-ventures  are  accounted  for  using 
the  equity  method.  Under  this  method,  the  Group's 
interest  in  the  associate  and  joint-venture  is  initially 
recognised at cost in the statement of financial position 
and  subsequently  adjusted  to  recognise  the  Group's 
share  of  movements  in  profit  and  loss  and  other 
comprehensive income.
The  statement  of  profit  or  loss  reflects  the  Group’s 
share of the results of operations of the associate or 
joint-venture.  Any  change  in  other  comprehensive 
income  of  those  investees  is  presented  as  part  of 
the Group’s other comprehensive income. Unrealised 
gains and losses resulting from transactions between 
the  Group  and  the  associate  or  joint-venture  are 
eliminated  to  the  extent  of  the  interest  in  the 
associate or joint-venture.
Investments  in  associates  and  joint-ventures  are 
included in the consolidated financial statements using 
the equity method from the date on which significant 
influence  begins  until  the  date  when  this  influence 
ceases. The carrying  amount  of  positive  goodwill  that 
results  from  the  acquisition  of  associates  and  joint-
ventures  is  included  in  the  carrying  amount  of  the 
investment and is not tested for impairment separately. 
An  impairment  test  is  performed  if  an  objective 
indication  of  impairment  is  identified.  Impairment  is 








Graphics
Consolidated financial statements
Socfinasia
|
ANNUAL REPORT 2022
|
53











recognised, if necessary, in the income statement under 
the  heading  “Share  of  the  Group  in  the  result  from 
associates”.
The  list  of  subsidiaries  and  associated  companies 
(including  joint-ventures)  of  the  Group  is  presented 
in note 2.



1.5. Changes in accounting policies, errors and
changes in estimates
A change in accounting policy is applied only if it meets 
the  requirements  of  a  standard  or  interpretation 
or  permits  more  reliable  and  relevant  information. 
Changes  in  accounting  policies  are  accounted  for 
retrospectively,  except  in  the  case  of  transitional 
provisions specific to the standard or interpretation. 
A  material  error,  when  discovered,  is  also  adjusted 
retrospectively.
Uncertainties inherent in the activity require the use 
of  estimates  when  preparing  financial  statements. 
The estimates are based on judgements intended to 
give  a  reasonable  assessment  of  the  latest  reliable 
information available. An estimate is revised to reflect 
changes in circumstances, new information available 
and the effects of experience.



1.6. Business combinations
IFRS  3  “Business  Combinations”  provides  the 
accounting basis for recognising business combinations 
and changes in interests in subsidiaries after obtaining 
control.
For  each  business  combination,  the  Group  elects 
whether  to  measure  the  non-controlling  interests  in 
the  acquiree  at  fair  value  or  at  the  proportionate 
share of the acquiree’s identifiable net assets.
Changes  in  interest  in  a  subsidiary  that  do  not 
result  in  loss  of  control  are  accounted  for  as  equity 
transactions.
1.7. Goodwill
Goodwill is  the  difference on  the  date  of  acquisition 
between  the  fair  value  of  the  consideration  given 
in  exchange  for  taking  control,  the  value  of  non-
controlling interests, the fair value of previous equity 
investments  and  the  fair  value  of  identifiable  assets 
and liabilities and contingent liabilities of the acquiree.
When disposing of a subsidiary, the residual amount of 
goodwill attributable  to the subsidiary is included in 
the calculation of the result of disposal.


1.8. Gain on a bargain purchase
Gain on  a bargain purchase represents the excess of 
the  Group's  interest  in  the  fair  value  of  identifiable 
assets and liabilities and the contingent liabilities of 
a subsidiary or associate on the cost of acquisition on 
the acquisition date.
To the extent that gain on a bargain purchase remains 
after  considering  and  reassessing  the  fair  value  of 
identifiable  assets  and  liabilities  and  contingent 
liabilities of a subsidiary or associate, it is recognised 
directly as an income in the income statement.
1.9. Foreign currency conversion
In  the  financial  statements  of  Socfinasia  and  of 
each  subsidiary, transactions  in  foreign  currency  are 
recorded,  upon  initial  recognition,  in  the  functional 
currency of  the  company  concerned by  applying  the 
exchange  rate  in  force  on  the  transaction  date.  At 
closing, monetary assets and liabilities denominated in 
foreign currencies are converted on the last day of the 
year. Gains and losses arising from the realisation or 
translation of monetary items denominated in foreign 
currencies are recorded in the income statement for 
the year.
On  consolidation,  the  assets  and  liabilities  of 
companies  whose  accounts  are  held  in  a  currency 
other than the euro are translated  into euros at the 
exchange rate prevailing on the closing date. Income 
and expenses are converted into euros at the average 
exchange rate for the year. Any exchange differences 
are  classified  as  equity  under  "Translation  reserves". 
In  the  event  of  a  disposal,  the  translation  reserves 
relating to the company concerned are recognised in 
the income statement for the year in which the sale 
occurred.
Goodwill  and  fair  value  adjustments  arising  on  the 
acquisition  of  a  foreign  entity  are  treated  as  assets 
and liabilities of the foreign entity and translated at 
the closing rate.



Graphics
Consolidated financial statements
54
|
ANNUAL REPORT 2022
|
Socfinasia





The following exchange rates have been used for the conversion of the consolidated financial statements:
Closing rate Average Rate
1 euro equals to: 31/12/2022 31/12/2021 2022 2021
Euro 1.000 1.000 1.000 1.000
Indonesian rupiah 16,713 16,161 15,648 16,938
American dollar 1.0666 1.1326 1.0479 1.1809


1.10. Intangible assets
Intangible assets  are  stated at  their  acquisition cost 
less  accumulated  depreciation  and  any  impairment 
losses.
Amortisation  is  applied  on  a  straight-line  basis 
based on  an  estimate  of  the  useful  life  of the  asset 
in  question.  Intangible  assets  are  not  subject  to 
revaluation. When the recoverable value of an asset 
is lower than its book value, the latter is reduced to 
reflect this loss in value.
The estimated useful lives are as follows:
Patents 3 to 5 years
Other intangible assets 3 to 5 years
Software 3 to 5 years
Concessions Length of the concessions
Amortisation starts from the date of bringing the asset 
into use.
Gains  or  losses  arising  on  derecognition  of  assets 
(difference  between  the  disposal  proceeds  and  the 
carrying  amount  of  the  asset)  are  included  in  the 
income statement when assets are derecognised.



1.11. Property, plant and equipment
Tangible fixed assets are recorded at their acquisition 
cost  less  accumulated  amortisation  and  any 
impairment losses.
Property, plant and equipment in progress is carried at 
cost less any identified impairment.
Depreciation is applied on a straight-line basis based 
on an estimate of the useful life for each significant 
component  of  the  asset  in  question.  When  the 
recoverable value of  an  asset  is lower  than  its  book 
value, the latter is reduced to reflect this loss in value.
The estimated useful lives are as follows:
Buildings 20 to 50 years
Technical installations 3 to 20 years
Furniture, vehicles and others 3 to 20 years
Depreciation starts from the date that the assets are 
brought into use.
Land is not subject to depreciation.
Gains  or  losses  arising  on  derecognition  of  assets 
(difference  between  the  disposal  proceeds  and  the 
carrying  amount  of  the  asset)  are  included  in  the 
income statement when assets are derecognised.



1.12. Bearer biological assets
The  Group  has  biological  assets  in  South-East  Asia. 
These biological assets, mainly consisting of palm oil 
and  rubber  plantations,  are  valued  according  to  the 
principles defined in IAS 16 "Tangible fixed assets".
Biological assets at the time of harvest, in particular 
for palm bunches, palm oil and rubber, are evaluated 
according  to  the  principles  defined  by  IAS  41 
"Agriculture".
Bearer biological assets
Producer biological assets are recorded at acquisition 
cost,  less  accumulated  amortisation  and  any 
impairment losses.
Depreciation is applied according to the straight-line 
method based on an estimate of the useful life. When 
the  recoverable  amount  of  an  asset  is  less  than  its 
carrying  amount,  the  carrying  amount  is  reduced  to 
reflect that impairment.




Graphics
Consolidated financial statements
Socfinasia
|
ANNUAL REPORT 2022
|
55




The estimated useful lives are as follows: 
Bearer plants – Palm 20 to 25 years
Bearer plants - Rubber 20 to 25 years
Depreciation  starting  date  is  the  date  of  transfer  of 
biological assets in production (asset being  mature). 
This transfer takes place in the third year after palm 
oil tree planting and in the seventh year after rubber 
tree planting. For each entity, the operating period can 
be adapted according to the particular circumstances.
Agricultural production
Agricultural production at harvest is valued at fair value 
less estimated costs necessary to complete the sale.
There are no observable data for agricultural production 
(palm harvest, latex). The World Bank publishes price 
forecasts  for  dry  rubber  (finished  product).  These 
forecasts are based on the RSS3 grade (smoked sheet) 
that  is  not  produced  by  the  Group.  Lastly,  and  even 
more  so,  there  are  no  observable  prospective  data 
relating  to  the  Group's  agricultural  production.  The 
price of a standard product in a global market is not 
sufficiently representative  of  the economic  reality  in 
which the various entities of the Group intervene. This
price cannot be used as a reference for valuation.
As a result, each entity determines the fair value of 
agricultural production based on actual market prices 
obtained over the past year.
The  Group  considers  produce  that  grows  on  mature 
plantations  (oil  in  the  palm  fruits  and  produce  of 
rubber)  as  biological  assets,  in  accordance  with  IAS 
41 principles. This produce is measured at fair value 
until the point of harvest. Any resultant gains or losses 
arising  from  changes  in  fair  value  are  recognised  in 
the income statement.

1.13. Leases
The Group assesses at contract inception whether
a  contract  is,  or  contains,  a  lease.  That  is,  if  the 
contract  conveys  the  right  to  control  the  use  of  an 
identified asset for a period of time in exchange for 
consideration.
The  Group  applies  a  single  recognition  and 
measurement approach for all leases, except for short-
term  leases  and  leases  of  low-value  assets  (mainly 
IT  equipment),  for  which  payments  associated  are 
recognised  as  an  expense  in  the  income  statement. 
The  Group  recognises  lease  liabilities  to  make  lease 
payments  and  right-of-use  assets  representing  the 
right to use the underlying assets.
The  Group  leases  offices  and  agricultural  land  for 
terms ranging from 1 to 99 years, as well as vehicles 
and equipment for terms ranging from 1 month to 5 
years.
The Group's lease contracts are standard contracts that 
do  not  include  additional  non-leasing  components, 
except for some vehicle lease contracts that include 
a  maintenance  service.  The  Group  has  used  the 
practical  expedient  that  allows  not  separating  the 
lease  component  from  the  non-lease  component  for 
these contracts.
Assets  and  liabilities  related  to  lease  contracts  are 
initially  measured  at  the  present  value  of  the  fixed 
payments including in-substance fixed payments less 
any lease incentives receivable. Lease payments to be 
made under reasonably certain extension options are 
also included in the measurement of the liability. To 
this purpose, management takes into account all facts 
and  circumstances  that  may  create  an  incentive  to 
exercise a renewal option or not to exercise an early 
termination option. The lease liability is remeasured 
if  there  is  a  change  in  the  lease  term,  in  the  lease 
payment or in the assessment of an option to purchase
the underlying asset.
As the implicit interest rate is not known for all the 
Group's contracts, the incremental borrowing rate was 
used to discount the lease payments. The incremental 
borrowing rate is the rate that the lessee would have 
to pay to borrow, for a similar term and with a similar 
guarantee, the funds necessary to acquire an asset of 
similar value to the asset under the right-of-use in a 
similar economic environment.
In  determining  the  incremental  borrowing  rate,  the 
Group:
-  where  possible,  uses  the  most  recent  financing 
received by the lessee as a starting point, adjusted 
to reflect the change in financing conditions since 
the financing was received;
-  uses  a  build-up  approach  starting  with  a  risk-free 
rate adjusted for credit risk for leases for entities 
with no recent external financing;
-  makes  lease  specific  adjustments  (such  as  term, 
country, currency and collateral).



Graphics
Consolidated financial statements
56
|
ANNUAL REPORT 2022
|
Socfinasia






The discount rates used by the Group range between 
1.75% and 19.9%.
Lease payments are allocated between the repayment 
of  the  principal  amount  of  the  lease  liabilities  and 
interest  expense.  Interest  expense  is  recognised  in 
the  income  statement  for  the  period  over  the  term 
of  the  lease.  Right-of-use  assets  are  depreciated  on 
a straight-line basis over the shorter of the useful life 
and the lease term.
The  Group  applies  IAS  36  to  determine  whether  a 
right-of-use  asset  is  impaired  and  recognises  any 
impairment loss as described in Note 8.
1.14. Impairment of assets
Goodwill is not amortised but is tested for impairment 
at  least  once  a  year  and  whenever  there  is  an 
indication of impairment.
In addition, at each reporting date, the Group reviews 
the  carrying  amounts  of  its  intangible  and  tangible 
assets, including its organic producing assets, in order 
to assess whether there is any indication that its assets 
may  have  lost  value.  If  there  is  such  an  indication, 
the recoverable amount of the asset is estimated to 
determine,  if  applicable,  the  amount  of  the  loss  or 
impairment. The recoverable amount is the higher of 
the fair value less costs to sell the asset and the value 
in use.
The fair value of property, plant and equipment and 
intangible  assets  is  the  present  value  of  estimated 
future cash flows expected from the use of an asset 
or  cash-generating  unit.  When  it  is  not  possible  to 
estimate the recoverable amount of an isolated asset, 
the Group determines the recoverable amount of the 
cash-generating unit to which the asset belongs.
If  the  recoverable  amount  of  an  asset  (or  a  cash-
generating  unit)  is  estimated  to  be  less  than  its 
carrying  amount,  the  carrying  amount  of  the  asset 
(cash-generating  unit)  is  reduced  to  its  recoverable 
amount.  Impairment  losses  are  immediately 
recognised as expenses in the income statement.
When an impairment loss recognised in a prior period 
no  longer  exists  or  needs  to  be  written  down,  the 
carrying amount of the asset (cash-generating unit) is 
increased to the extent of the revised estimate of its 
recoverable amount. However, this increased carrying 
amount may not exceed the carrying amount that would 
have been determined if no impairment loss had been 
recognised for the asset (cash-generating unit) in prior 
years. The reversal of an impairment loss is recognised 
immediately in income in the income statement.
An  impairment  loss  recorded  on  goodwill  cannot  be 
subsequently reversed.
1.15. Inventories
Inventories are recorded at the lower of cost and net 
realisable  value.  Cost  includes  direct  material  costs 
and,  if  applicable,  direct  labour  costs  and  directly 
attributable overhead costs.
Where specific identification is not possible, the cost is 
determined on the basis of the weighted average cost 
method. Net realisable value is the estimated selling 
price in the ordinary course of business less estimated 
costs of completion and the estimated costs necessary 
to complete the sale (primarily selling expenses).
Impairment or loss on inventory to net realisable value 
is recognised as an expense in the period in which the 
impairment or loss occurred.
As  explained  in  Note  1.12.  Bearer  biological  assets, 
agricultural production is measured at fair value less 
estimated costs necessary to make the sale.
1.16. Trade receivables
Trade receivables are valued at their nominal value and 
do not bear interest. The Group applies a simplified 
approach and records a provision for expected losses 
over  the  life  of  the  receivables.  This  provision  for 
losses is an amount that the Group considers a reliable 
estimate of the inability of its customers to make the 
required payments (refer to Note 34).
1.17. Cash and cash equivalents
This item includes cash, demand deposits, short-term 
deposits of less than 3 months, as well as investments 
easily  convertible  into  a  known  amount  of  cash, 
having a maturity of three months or less, and which 
are subject to a negligible risk of change in value.



Graphics
Consolidated financial statements
Socfinasia
|
ANNUAL REPORT 2022
|
57







1.18. Financial instruments
Financial  assets  and  liabilities  are  recognised  in  the 
consolidated statement of financial position when the 
Group becomes a party to the contractual provisions 
of the instrument.


Financial instruments derivatives
Financial instruments derivatives are measured at fair 
value at each reporting date.
The accounting treatment depends on the qualification 
of the instrument concerned:
- Hedging instruments:
The  Group  refers  to  certain  hedging  instruments, 
including foreign exchange risk and interest rate risk 
derivatives,  as  cash  flow  hedges.  Foreign  currency 
hedges  related  to  firm  commitments  are  accounted 
for as cash flow hedges.
At the inception of the hedging relationship, the entity 
prepares  documentation  describing  the  relationship 
between  the  hedging  instrument  and  the  hedged 
item  as  well  as  its  risk  management  objectives  and 
strategy for performing various hedging transactions. 
In addition, when the hedge is created and regularly 
thereafter, the Group indicates whether the hedging 
instrument  is  highly  effective  in  offsetting  changes 
in  the  fair  value  or  cash  flows  of  the  hedged  item 
attributable to the hedged risk.
The effective portion of changes in the fair value of 
derivatives  that  are  designated  as  cash  flow  hedges 
and  qualify  for  such  designation  is  recognised  in 
other comprehensive income and accumulated in the 
hedging reserve, cash flow. The gain or loss related to 
the  ineffective  portion  is  recognised  immediately  in 
profit or loss, in other gains and losses.
Amounts previously recognised in other comprehensive 
income  and  accumulated  in  equity  are  reclassified 
to  net  income  in  the  periods  in  which  the  hedged 
item  affects  net  income,  to  the  same  account  as 
the  recognised  hedged  item.  However,  if  a  hedged 
forecast  transaction  results  in  the  recognition  of  a 
non-financial asset or liability, the gains and losses that 
were  previously  recognised  in  other  comprehensive 
income  and  accumulated  in  equity  are  taken  out  of 
equity to be recognised in the initial measurement of 
the cost of the non-financial asset or liability.
For the periods 2021 and 2022, no hedging instruments 
were used by the Group.
- Other instruments:
Changes  in  the  fair  value  of  derivative  financial 
instruments that do not qualify for hedge accounting 
are  recognised  in  the  income  statement  when  they 
occur.
To  hedge  its  exposure  to  certain  foreign  exchange 
risks,  the  Group  uses  forward  exchange  contracts: 
for  the  periods  2021  and  2022,  forward  exchange 
contracts were used by the Group.


Loans
Loans bearing interest are recorded for the amounts 
given, net of direct costs of issue. Financial income is 
added to the carrying amount of the instrument to the 
extent that it  is not received in the  period in which 
it  occurs.  Interest  is  calculated  using  the  effective 
interest rate method.
The  Group's  business  model  for  financial  assets 
management refers to the way it manages its financial 
assets in order  to  generate  cash  flows. The business 
model determines whether cash flows will result from 
the collection of contractual cash flows, the disposal 
of financial assets or both. Financial assets classified 
and measured at amortised cost are held in a business 
model  with  the  objective  of  holding  financial  assets 
to collect contractual cash flows. Long-term advances 
and  other  receivables  are  held  for  the  sole  purpose 
of collecting principal and interest. They comply with 
the "Solely Payments of Principal and Interest" (SPPI) 
model.  They  are  accounted  for  using  the  amortised 
cost method.
The Group applies the low credit risk simplification: at 
every reporting date, the Group evaluates whether the 
debt instrument is considered to have low credit risk 
using all reasonable and supportable information that 
is  available  without  undue  cost  or  effort.  In  making 
that  evaluation,  the  Group  reassesses  the  internal 
credit  rating  of  the  debt  instrument.  In  addition, 
the Group considers that there has been a significant 
increase in credit risk when contractual payments are 
more than 30 days past due.
Interest-bearing  borrowings  and  overdrafts  are 
recorded  for  amounts  received,  net  of  direct  issue 
costs,  at  amortised  cost.  Financial  expenses  are 
recognised in income statement and are added to the 
carrying amount of the instrument to the extent that 
they are unpaid in the year in which they occur.






Graphics
Consolidated financial statements
58
|
ANNUAL REPORT 2022
|
Socfinasia







The carrying amount is a reasonable approximation of 
fair value in the case of financial instruments such as 
borrowings and debts with short-term maturity.
The fair value measurement of borrowings and debts 
with  financial  institutions,  other  than  in  the  short-
term, depends both on the specifics of the loans and 
on  current  market  conditions.  The  fair  value  was 
calculated  by  discounting  the  expected  future  cash 
flows at the re-estimated interest rates prevailing at 
the  balance  sheet  date  over  the  remaining  term  of 
repayment of the loans (refer to Note 25).
The  Group  relied  on  the  evolution  of  the  interest 
rate  of  the  European  Central  Bank  adjusted  for  the 
specific risk inherent in each financial instrument, as 
a reasonable benchmark for estimating the fair value 
of such borrowings (see Note 25).
Financial assets designated at fair value through
OCI (equity instruments)
Upon  initial  recognition,  the  Group  can  elect  to 
classify  irrevocably  its  equity  investments  as  equity 
instruments  designated  at  fair  value  through  OCI 
when they meet the definition of equity under IAS 32 
Financial Instruments: Presentation and are not held 
for  trading.  The  classification  is  determined  on  an 
instrument-by-instrument basis.
Gains  and  losses  on  these  financial  assets  are  never 
recycled to profit or loss. Dividends are recognised as 
other income in the statement of profit or loss when 
the  right  of  payment  has  been  established,  except 
when  the  Group  benefits  from  such  proceeds  as  a 
recovery of part of the cost of the financial asset, in 
which  case,  such  gains  are  recorded  in  OCI.  Equity 
instruments designated at fair value through OCI are 
not subject to impairment assessment.
The  Group  elected  to  classify  irrevocably  its  non-
listed equity investments under this category.
Other financial assets and liabilities
Other  financial  assets  (trade  receivables,  other 
receivables, ...) and liabilities (trade payables, other 
payables, ...) are recorded at their acquisition  cost. 
The fair value of other financial assets and liabilities is 
estimated to be close to the carrying amount.
The receivables are valued at their nominal value (at 
cost) less any write-downs covering amounts considered 
as  non-recoverable  if  the  Group  deems  it  necessary. 
Impairment  of  assets  is  recognised  in  the  income 
statement under "Other operating income/expenses". 
The  Group  has  established  a  provision  matrix,  based 
on its historical credit loss experience (average default 
over  several  years),  adjusted  for  prospective  factors 
specific to the debtors and the economic environment. 
The carrying amount of the asset is reduced through the 
use of a provision account and the amount of the loss 
is  recognised  in  the  consolidated  income  statement. 
The  Board  of  Directors  of  each  subsidiary  evaluates 
the  receivables  individually.  Value  adjustments  are 
determined  taking  into  account  the  local  economic 
reality  of  each  country.  They  are  reviewed  at  the 
reception of new events and at least annually.




1.19. Provisions
Provisions are recognised when the Group has a present 
obligation  (legal  or  constructive)  resulting  from  a 
past event which will probably  lead  to  an outflow of 
economic benefits that can be reasonably estimated. 
Restructuring  provisions  are  recognised  when 
the  Group  has  a  formal  and  detailed  plan  for  the 
restructuring  that  has  been  notified  to  the  affected 
parties.
1.20. Pension obligations
Defined contribution plans
These  plans  refer  to  post-employment  benefit  plans 
These  plans  designate  the  post-employment  benefit 
plans under which the Group pays defined contributions 
to external insurance companies for certain categories 
of  employees.  Payments  made  under  these  pension 
plans are recognised in the income statement in the 
year in which they are due.
As these  plans  do not  generate  future commitments 
for the Group, they do not give rise to provisions.
Defined benefit plans
These  plans  refer  to  post-employment  benefit  plans 
that provide additional income to certain categories 
of  employees  for  services  rendered  during  the  year 
and prior years.



Graphics
Consolidated financial statements
Socfinasia
|
ANNUAL REPORT 2022
|
59




This  guarantee  of  additional  resources  is  a  future 
expenditure  for  the  Group  for  which  a  commitment 
is calculated by independent actuaries at the end of 
each financial year.
The  actuarial  assumptions  used  to  determine  the 
liabilities vary according  to  the  economic  conditions 
prevailing in the country in which the plan is located.
The  discount  rates  applicable  to  discount  post-
employment benefit obligations should be determined 
by  reference  to  the  market  yields  on  high  quality 
corporate bonds that are appropriate to the estimated 
timing of benefit payments at the balance sheet date.
The Group decided to calculate discount rates using an 
economic  approach  for  high-quality  corporate  bonds 
corresponding to the terms of the employee benefits 
in  the  countries  concerned.  In  the  countries  where 
there  is  no  active  market  for  such  obligation,  the 
Group refers to the market yields (at the end of the 
reporting period) of government bonds. The currency 
and duration of these corporate or government bonds 
must  correspond  to  the  currency  and  estimated 
duration of the post-employment benefit obligations.
The cost of corresponding commitments is determined 
using  the  projected  unit  credit  method,  with  a 
discounted value calculation at the balance sheet date 
in accordance with the principles of IAS 19 "Employee 
Benefits".
All changes in the amount of defined benefit pension 
obligations are recognised as they occur.
Remeasurements  of  defined  benefit  pension 
obligations, including actuarial gains and losses, should 
be  recognised  immediately  in  "Other  comprehensive 
income".
The costs of services rendered during the period, past 
service costs (plan amendment) and net interest are 
recognised as an expense immediately.
The amount recognised in the statement of financial 
position is the present value of the pension obligations 
of  the  defined  benefit  plans  adjusted  for  actuarial 
gains and losses and less the fair value of plan assets.
1.21. Revenue recognition
The  Group's  revenues  derive  from  the  performance 
obligation  of  transferring  control  of  products  under 
arrangements.  According  to  these  arrangements, 
the  transfer  of  control  and  the  fulfilment  of  the 
performance obligation occur at the same time.
The  point  of  control  of  the  asset  by  the  customer 
depends  on  when  the  goods  are  made  available  to 
the carrier or when the buyer takes possession of the
goods,  depending  on  the  delivery  conditions.  With 
regards  to  the  Group's  activities,  the  recognition 
criteria are generally met:
(a) for export sales, where the time of the transfer of 
deed based on the incoterms;
(b)  for  local  sales,  depending  on  the  delivery 
conditions, either when the goods leave the premises 
or when the customer takes possession of the goods.
This  is  the  moment  when  the  Group  has  fulfilled  its 
performance obligations.
Revenues  are  valued  at  the  transaction  price  of  the 
consideration  received  or  receivable,  which  the 
company expects to be entitled to.
The  selling  price  is  determined  at  the  market  price 
and  in  a  few  cases  the  selling  price  is  contractually 
determined on a provisional basis, based on a reliable 
estimate of the selling price. In the latter case, price 
adjustments  can  then  take  place  depending  on  the 
movements between the reference price and the final 
price, as recognised.
The Group considers being the principal in its revenue 
arrangements,  because  it  controls  the  goods  sold 
before transferring them to the customers.
At 31
st
  December  2022,  revenue  from  the 
major  customer  within  the  Group  accounted 
for  approximately  EUR  96.2  million 
(2021: EUR 81.9 million) of total Group revenue.

1.22. Taxes
Current tax is the amount of tax payable or recoverable 
on the profit or loss of a financial year.
Temporary  differences  between  the  book  values  of 
assets  and  liabilities  and  their  tax  bases  give  rise  to 
the recognition of a deferred  tax  using the tax rates 
whose application is provided for when reversing the 
temporary differences, as adopted on the closing date.
Deferred  taxes  are  recognised  for  all  temporary 
differences  unless  the  deferred  tax  is  generated  by 




Graphics
Consolidated financial statements
60
|
ANNUAL REPORT 2022
|
Socfinasia





goodwill  or  by  the  initial  recognition  of  an  asset  or 
a  liability  that  is  not  acquired  through  a  business 
combination and does not affect the accounting profit 
or the taxable profit on the transaction date.
A  deferred  tax  liability  is  recognised  for  all  taxable 
temporary  differences  related  to  investments  in 
subsidiaries and associates, unless the date on which 
the  temporary  difference  will  be  reversed  can  be 
controlled and it is likely that it will not reverse in the 
foreseeable future.
A  deferred  tax  asset  is  recognised  to  carry  forward 
unused tax losses and tax credits to the extent that it 
is probable that future taxable profits will be available 
on which these unused tax losses and tax credits can 
be charged.
Deferred  tax  is  recognised  in  the  income  statement 
unless  it  relates  to  items  that  have  been  directly 
recognised, either in equity or in other comprehensive 
income.

1.23. Segment information
IFRS  8  "Operating  Segments"  requires  operating 
segments  to  be  identified  based  on  the  internal 
reporting  analysed  by  the  entity's  chief  operating 
decision-maker  to  assess  performance  and  make 
resource decisions for the segments.
The identification of these operational sectors follows 
from  the  information  analysed  by  the  management 
which  is  based  on  the  geographic  distribution  of 
political  and  economic  risks  and  on  the  analysis  of 
individual social accounts at historical cost.
1.24. Use of estimates
For  the  preparation  of  consolidated  financial 
statements  in  accordance  with  IFRS,  Group 
Management has  had  to make  assumptions  based on 
its  best  estimates  that  affect  the  carrying  amount 
of  assets  and  liabilities,  information  on  assets  and 
liabilities,  contingent  liabilities  and  the  carrying 
amount  of  income  and  expenses  recorded  during 
the  period.  Depending  on  the  evolution  of  these 
assumptions  or  different  economic  conditions,  the 
amounts  that  will  appear  in  the  Group's  future 
consolidated  financial  statements  may  differ  from 
current estimates. Significant accounting policies, for 
which the Group has made estimates, mainly concern 
the  application  of  IAS  19  (Note  22),  IAS  41  /  IAS  2 
(Notes 6 and 16), IAS 16 (Note 5), IAS 36 (Notes 6 and 
8), IFRS 9 (Notes 25 and 34) and IFRS 16 (Note 3).
In the absence of observable data within the scope of 
IFRS 13, the Group makes use of a model developed to 
assess the fair value of agricultural production based 
on  local  production  costs  and  conditions  and  local 
sales (Refer to Note 1.12).
This  method  is  inherently  more  volatile  than 
assessment at historical cost.
1.25. Climate effect
The  Group  considered  the  potential  impact  of  the 
climate  change,  which  may  affect  positively  and 
negatively  the  Group's  biological  assets  thus  the 
financial performance of the Group, the distribution of 
rainfall and sunshine being the most important factors.
The Group considered climatic events such as severe 
wind or fires in the valuation of the biological assets, 
however  and  given  the  actual  level  of  knowledge, 
distinguishing  impacts  of  natural  climate  variations 
apart  from  climate  impacts  related  to  anthropic 
activity remain difficult.
The  effects  of  the  climate  change  on  the  Group's 
financial  statements  at  2022  year-end  remain 
uncertain. The Management Board considered various 
documentation in its assessment of the impact, such 
as the last Intergovernmental Panel on Climate Change 
(IPCC) reports, that do not link the climate change to 
a negative impact on oil palm plantations.
The  Management  Board  will  continue  to  consider 
the  potential  impacts  of  the  climate  change  in  its 
judgements,  and  will  integrate  any  new  potential 
impact if this could lead to a material change in the 
Group's financial statements.
1.26. Russia – Ukrain conflict
In  February  2022,  a  number  of  countries  (including 
the US, UK and EU) imposed sanctions against certain 
entities  and  individuals  in  Russia  as  a  result  of  the 
official recognition of the Donetsk People Republic and 



Graphics
Consolidated financial statements
Socfinasia
|
ANNUAL REPORT 2022
|
61


Lugansk  People  Republic  by  the  Russian  Federation. 
Announcements of potential additional sanctions have 
been made following military operations initiated by 
Russia against the Ukraine on 24
th
February 2022.
Due to these geopolitical tensions, there has been a 
significant increase in volatility on the securities and 
currency  markets  in  2022,  as  well  as  a  significant 
depreciation  of  the  ruble  against  the  US  dollar  and 
the euro.
Although  neither  the  company’s  performance  and 
going concern nor operations, have been significantly 
impacted  by  the  above  during  2022,  the  Board  of 
Directors continues to monitor the evolving situation 
and its impact on the financial position and results of 
the company.



Note 2. Subsidiaries and associates
% Group
Interest
% Group
Control
Consolidation
Method (*)
% Group
Interest
% Group
Control
Consolidation
Method (*)
2022 2022 2022 2021 2021 2021
ASIA
Rubber and palm
PT SOCFIN INDONESIA “SOCFINDO”
90.00 90.00 FI 90.00 90.00 FI
Rubber
SETHIKULA CO LTD
100.00 100.00 FI 100.00 100.00 FI
SOCFIN-KCD CO LTD
100.00 100.00 FI 100.00 100.00 FI
VARANASI CO LTD
100.00 100.00 FI 100.00 100.00 FI
COVIPHAMA CO LTD
100.00 100.00 FI 100.00 100.00 FI
EUROPE
Other activities
CENTRAGES S.A.
50.00 50.00 EM 50.00 50.00 EM
IMMOBILIERE DE LA PEPINIERE S.A.
50.00 50.00 EM 50.00 50.00 EM
INDUSERVICES S.A.
35.00 35.00 EM 35.00 35.00 EM
INDUSERVICES FR S.A.
50.00 50.00 EM 50.00 50.00 EM
MANAGEMENT ASSOCIATES S.A.
15.00 15.00 NC 20.00 20.00 EM
PLANTATION NORD-SUMATRA LTD 
“PNS Ltd” S.A.
100.00 100.00 FI 100.00 100.00 FI
SOCFINCO S.A.
50.00 50.00 EM 50.00 50.00 EM
SOCFINCO FR S.A.
50.00 50.00 EM 50.00 50.00 EM
SOCFINDE S.A.
79.92 79.92 FI 79.92 79.92 FI
SODIMEX S.A.
- - NC 50.00 50.00 EM
SODIMEX FR S.A.
50.00 50.00 EM 50.00 50.00 EM
SOGESCOL FR S.A.
50.00 50.00 EM 50.00 50.00 EM
TERRASIA S.A.
47.81 47.81 EM 47.81 47.81 EM
(*) Consolidation method: FI: Full Integration, EM: Equity Method, NC: Not Consolidated




Graphics
Consolidated financial statements
62
|
ANNUAL REPORT 2022
|
Socfinasia



List of subsidiaries and associated companies
* CENTRAGES  S.A.  is  a  company  under  Belgian  law 
providing  administrative  and  accounting  services 
and  which  own  three  floors  of  office  space  in 
Brussels.
* COVIPHAMA CO LTD is a company under Cambodian 
law active in the production of rubber.
*  IMMOBILIERE DE LA PEPINIERE "PEPINIERE" S.A. is a 
company under Belgian law which owns three floors 
of office space in Brussels.
*  INDUSERVICES S.A. is a company under Luxembourg 
law whose purpose is to provide all administrative 
services  to  all  companies  and  organisations, 
including  all  services  relating  to  documentation, 
bookkeeping  and  register  services,  as  well  as  all 
representation,  study,  consultation  activities  and 
assistance.
*  INDUSERVICES  FR  S.A.  is  a  company  under  Swiss 
law whose purpose is to provide all administrative 
services  to  all  companies  and  organisations, 
including  all  services  relating  to  documentation, 
bookkeeping  and  register  services,  as  well  as 
all  representation,  study,  consultation  activities 
and  assistance.  In  addition,  it  provides  all  Group 
companies with access to the common IT platform.
*  MANAGEMENT  ASSOCIATES  S.A.  has  been  removed 
from the consolidation scope in 2022.
*  PLANTATION  NORD-SUMATRA  LTD  "PNS"  S.A.  is  a 
holding  company  under  Luxembourg  law  which 
holds stakes in PT Socfindo and Coviphama Co.
*  PT  SOCFIN  INDONESIA  "SOCFINDO"  is  a  company 
under  Indonesian  law  active  in  the  production  of 
palm oil and rubber.
*  SETHIKULA CO LTD is a company under Cambodian 
law holding concessions of agricultural land.
*  SOCFIN CONSULTANT SERVICES "SOCFINCO" S.A. is a 
company established in Belgium providing technical 
assistance, agronomic and financial services.
*  SOCFIN-KCD CO LTD is a company under Cambodian 
law active in the production of rubber products.
*  SOCFINCO  FR  S.A.  is  a  Swiss  company  providing 
services, studies and management of agro-industrial 
plantations.
*  SOCFINDE S.A. is a finance holding company under 
Luxembourg law.
*  SODIMEX  S.A.  has  been  removed  from  the 
consolidation  scope  in  2022,  as  it  was  liquidated 
during the period.
*  SODIMEX FR S.A.  is  a  Swiss  company  active  in  the 
purchase and sale of equipment for plantations.
*
* SOGESCOL FR S.A. is a Swiss company active in the
tropical products trade.
*  TERRASIA S.A is a company  under Luxembourg law 
owning office space.
*  VARANASI  Co  LTD  is  a  company  under  Cambodian 
law holding concession of agricultural land.




Graphics
Consolidated financial statements
Socfinasia
|
ANNUAL REPORT 2022
|
63

Note 3. Leases
The amounts recognised in the balance sheet, related to leases under IFRS 16 are as follows:
Right-of-use assets
EUR Buildings
Land and
concession of
agricultural area TOTAL
Gross value at 1
st
January 2021
277,158 1,174,217 1,451,375
Foreign exchange differences
23,125 86,441 109,566
Gross value at 31
st
December 2021
300,283 1,260,658 1,560,941
Accumulated depreciation at 1
st
January 2021
-96,279 -396,946 -493,225
Depreciation
-25,224 -90,185 -115,409
Foreign exchange differences
-9,108 -33,133 -42,241
Accumulated depreciation at 31
st
December 2021
-130,611 -520,264 -650,875
Net book value at 31
st
December 2021
169,672 740,394 910,066
Gross value at 1
st
January 2022 300,283 1,260,658 1,560,941
Transfer 0 1,171,888 1,171,888
Foreign exchange differences 18,581 -90,767 -72,186
Gross value at 31
st
December 2022 318,864 2,341,779 2,660,643
Accumulated depreciation at 1
st
January 2022 -130,611 -520,264 -650,875
Depreciation -28,424 -112,901 -141,325
Additions 0 -14,218 -14,218
Foreign exchange differences -7,584 19,502 11,918
Accumulated depreciation at 31
st
December 2022 -166,619 -627,881 -794,500
Net book value at 31
st
December 2022 152,245 1,713,898 1,866,143
Lease liabilities
31/12/2022 31/12/2021
EUR EUR
Long-term lease liabilities
397,717 401,008
Short-term lease liabilities
28,105 26,341
TOTAL
425,822 427,349


Graphics
Consolidated financial statements
64
|
ANNUAL REPORT 2022
|
Socfinasia


Long-term lease liabilities are payable as follows:
2021
EUR 2023 2024 2025 2026
2027 and
above
TOTAL
Lease liabilities
26,467 26,594 26,721 26,850 294,376 401,008
2022
EUR 2024 2025 2026 2027
2028 and
above
TOTAL
Lease liabilities
28,239 28,374 28,511 28,649 283,944 397,717
The amounts recognised in the income statement in relation with the lease contracts are detailed as follows:
2022 2021
EUR EUR
Depreciation of right-of-use assets
141,325 115,409
Expenses related to short term leases and leases of low-value assets
8,553 30,560
Interest expense (included in the financial expenses)
42,471 37,808
TOTAL
192,349 183,777
Agricultural land and concessions
The Group does not own all of the land on which its biological assets are planted. In general, these lands are 
subject to very long-term concessions from the local public authority. These concessions are renewable.
Company
Date of initial
lease or renewal
extension
Duration of the
initial lease
Area conceded
SETHIKULA CO LTD 2010 99 years 4,273 ha
VARANASI CO LTD 2009 70 years 2,386 ha
COVIPHAMA CO LTD 2008 70 years 5,345 ha
PT SOCFINDO 1995/2015/2019 25 to 35 years 47,536 ha



Graphics
Consolidated financial statements
Socfinasia
|
ANNUAL REPORT 2022
|
65


Note 4. Intangible assets
EUR
Concessions and
patents Softwares TOTAL
Cost at 1
st
January 2021
40,866 1,490,231 1,531,097
Additions
545,053 113,512 658,565
Disposals
-421 -24,514 -24,935
Foreign exchange differences
29,598 110,062 139,660
Cost at 31
st
December 2021
615,096 1,689,291 2,304,387
Accumulated depreciation at 1
st
January 2021
-40,866 -1,281,969 -1,322,835
Depreciation
-13,944 -55,593 -69,537
Depreciation reversals
397 13,295 13,692
Foreign exchange differences
-4,061 -93,033 -97,094
Accumulated depreciation at 31
st
December 2021
-58,474 -1,417,300 -1,475,774
Net book value at 31
st
December 2021
556,622 271,991 828,613
Cost at 1
st
January 2022
615,096 1,689,291 2,304,387
Additions
582,356 53,577 635,933
Disposals
-446 -591 -1,037
Transfer
-1,171,888 0 -1,171,888
Foreign exchange differences
21,897 -59,530 -37,633
Cost at 31
st
December 2022
47,015 1,682,747 1,729,762
Accumulated depreciation at 1
st
January 2022
-58,474 -1,417,300 -1,475,774
Depreciation
0 -80,101 -80,101
Depreciation reversals
446 591 1,037
Transfer
14,218 0 14,218
Foreign exchange differences
-3,205 51,841 48,636
Accumulated depreciation at 31
st
December 2022
-47,015 -1,444,969 -1,491,984
Net book value at 31
st
December 2022
0 237,778 237,778



Graphics
Consolidated financial statements
66
|
ANNUAL REPORT 2022
|
Socfinasia

Note 5. Property, plant and equipment
EUR
Land and
nurseries Buildings
Technical
installations
Furniture,
vehicles and
others
Work in
progress
Advances
and pre-
payments TOTAL
Cost at
1
st
January 2021
4,218,619 65,610,295 60,386,607 1,637,151 62,423 370,843 132,285,938
Additions (*)
1,116,667 754,850 1,807,369 1,109,080 221,178 -314,840 4,694,304
Disposals
0 -207,419 -623,604 -687,077 0 0 -1,518,100
Transfer
-1,045,343 210,233 64,200 0 -255,722 -60,031 -1,086,663
Foreign exchange 
differences
341,787 4,859,745 4,400,557 147,943 3,469 8,277 9,761,778
Cost at
31
st
December 2021
4,631,730 71,227,704 66,035,129 2,207,097 31,348 4,249 144,137,257
Accumulated
depreciation at
1
st
January 2021
-19,593 -43,907,304 -46,470,607 -1,730,837 0 0 -92,128,341
Depreciation
0 -1,957,512 -2,139,255 -1,157,181 0 0 -5,253,948
Depreciation reversals
0 81,020 591,549 680,485 0 0 1,353,054
Foreign exchange 
differences
-1,635 -3,249,198 -3,395,099 -153,640 0 0 -6,799,572
Accumulated
depreciation at
31
st
December 2021
-21,228 -49,032,994 -51,413,412 -2,361,173 0 0 -102,828,807
Net book value at
31
st
December 2021
4,610,502 22,194,710 14,621,717 -154,076 31,348 4,249 41,308,450
Cost at
1
st
January 2022
4,631,730 71,227,704 66,035,129 2,207,097 31,348 4,249 144,137,257
Additions (*)
897,761 867,390 2,411,185 1,936,327 118,524 72,671 6,303,858
Disposals
-814,455 -41,902 -387,475 -766,566 0 0 -2,010,398
Transfer
-458,382 39,874 -12,788,979 12,788,688 -39,874 -1,550 -460,223
Foreign exchange 
differences
191,134 -999,343 -1,025,891 -870,621 561 -984 -2,705,144
Cost at
31
st
December 2022
4,447,788 71,093,723 54,243,969 15,294,925 110,559 74,386 145,265,350
Accumulated
depreciation at
1
st
January 2022
-21,228 -49,032,994 -51,413,412 -2,361,173 0 0 -102,828,807
Depreciation
0 -1,972,066 -2,220,215 -1,305,477 0 0 -5,497,758
Depreciation reversals
22,946 39,989 381,523 731,185 0 0 1,175,643
Transfer
0 0 9,176,617 -9,174,777 0 0 1,840
Foreign exchange 
differences
-1,718 1,270,341 980,800 627,153 0 0 2,876,576
Accumulated
depreciation at
31
st
December 2022
0 -49,694,730 -43,094,687 -11,483,089 0 0 -104,272,506
Net book value at
31
st
December 2022
4,447,788 21,398,993 11,149,282 3,811,836 110,559 74,386 40,992,844
(*) Additions for the period include capitalised costs.
The accounting policies applicable to property, plant and equipment are detailed in notes 1 and 8.


Graphics
Consolidated financial statements
Socfinasia
|
ANNUAL REPORT 2022
|
67

Note 6. Biological assets
Palm Rubber TOTAL
EUR Mature Immature Mature Immature
Cost at 1
st
January 2021
55,889,111 13,914,280 56,796,540 23,881,440 150,481,371
Additions (*)
0 4,245,559 0 1,528,379 5,773,938
Disposals
-630,350 -10,740 -1,344,475 -781,103 -2,766,668
Transfer
6,695,221 -5,653,783 5,195,825 -5,150,601 1,086,662
Foreign exchange differences
4,258,855 919,460 4,665,299 1,758,297 11,601,911
Cost at 31
st
December 2021
66,212,837 13,414,776 65,313,189 21,236,412 166,177,214
Accumulated depreciation at 1
st
January 2021
-24,816,102 0 -11,948,675 0 -36,764,777
Depreciation
-2,973,072 0 -2,477,994 0 -5,451,066
Depreciation reversals
489,107 0 750,394 0 1,239,501
Foreign exchange differences
-1,880,985 0 -977,024 0 -2,858,009
Accumulated depreciation at 31
st
December 2021
-29,181,052 0 -14,653,299 0 -43,834,351
Accumulated impairment at 1
st
January 2021
0 0 -216,282 -6,130,481 -6,346,763
Impairment
0 0 -201,978 0 -201,978
Impairment reversal
0 0 0 143,516 143,516
Transfer
0 0 -4,058,669 4,058,669 0
Foreign exchange differences
0 0 -234,155 -297,887 -532,042
Accumulated impairment at 31
st
December 2021
0 0 -4,711,084 -2,226,183 -6,937,267
Net book value at 31
st
December 2021
37,031,785 13,414,776 45,948,806 19,010,229 115,405,596
Cost at 1
st
January 2022
66,212,837 13,414,776 65,313,189 21,236,412 166,177,214
Additions (*)
0 6,199,700 0 1,282,713 7,482,413
Disposals
-952,198 0 -905,821 -1,635,892 -3,493,911
Transfer (***)
7,424,736 -6,997,999 -4,213,088 -1,846,110 -5,632,461
Foreign exchange differences
-2,597,597 -391,853 2,244,270 1,012,781 267,601
Cost at 31
st
December 2022
70,087,778 12,224,624 62,438,550 20,049,904 164,800,856
Accumulated depreciation at 1
st
January 2022
-29,181,051 0 -14,653,300 0 -43,834,351
Depreciation
-3,500,858 0 -2,778,468 0 -6,279,326
Depreciation reversals
794,304 0 592,730 0 1,387,034
Transfer (***)
0 0 65,294 0 65,294
Foreign exchange differences
1,135,500 0 -57,472 0 1,078,028
Accumulated depreciation at 31
st
December 2022
-30,752,105 0 -16,831,216 0 -47,583,321
Accumulated impairment at 1
st
January 2022
0 0 -4,711,086 -2,226,181 -6,937,267
Impairment (**)
0 0 -27,341,960 -182,149 -27,524,109
Impairment reversal
0 0 386,164 1,268,463 1,654,627
Transfer (***)
0 0 4,705,732 1,319,816 6,025,548
Foreign exchange differences
0 0 98,668 -179,948 -81,280
Accumulated impairment at 31
st
December 2022
0 0 -26,862,482 1 -26,862,481
Net book value at 31
st
December 2022
39,335,673 12,224,624 18,744,852 20,049,905 90,355,054
(*)  Additions for the period include capitalised costs.
(**)   Impairment test on biological assets is disclosed in Note 8.
(***)   During previous periods, a positive revaluation for EUR 5.8 million and an impairment for EUR 6.0 million had been booked on biological assets on 
the Cambodian segment. Those adjustments having no significant net impact, they were removed in the current year.
Accounting policy regarding  current biological assets is disclosed in note 1.12.


Graphics
Consolidated financial statements
68
|
ANNUAL REPORT 2022
|
Socfinasia



Note 7. Depreciation and impairment
2022 2021
EUR EUR
Depreciation
Of right-of-use assets (Note 3) 141,325 115,409
Of intangible assets (Note 4) 80,101 69,537
Of property, plant and equipment excluding biological assets (Note 5) 5,497,758 5,253,948
Of biological assets (Note 6) 6,279,327 5,451,066
Impairment
Of biological assets (Note 6) 27,524,109 201,978
Impairment reversal
Of biological assets (Note 6) -1,654,627 -143,516
TOTAL 37,867,993 10,948,422
Note 8. Impairment of assets
Intangible and tangible assets and right-of-use
assets
At each reporting date, the Group reviews the carrying 
amount of its intangible and tangible assets and right-
of-use assets in order to assess whether there is any 
indication  of  impairment.  If  such  indication  exists, 
the recoverable amount of the asset is estimated, to 
determine the amount of the impairment loss.
At 31
st
 December 2022, no impairment was recognised 
on above mentioned assets.
Bearer biological assets
At  each  reporting  date,  the  Group  assesses  if  there 
is  any  indication  that  its  biological  assets  may  be 
impaired.
For this purpose, the Group assesses several indicators:
The significant and sustained decreasing trend in the 
prices  of  natural  rubber  (TSR20  1
st
  position  on  SGX) 
and  crude  palm  oil  (CIF  Rotterdam)  was  considered 
an observable sign that the biological assets may have 
been impaired. A decrease in these prices at reporting 
date  greater  than  15%  compared  to  an  average  of 
5-year  value  has  been  set  by  the  Group  to  be  an 
impairment indicator.
At 31
st
  December  2022,  the  closing  prices  did  not 
exceed 15% of the average price over the past 5 years 
for the Rubber and Palm segments.
The Group considers, as well, average prices over the 
six months before reporting date and average prices 
over  the  last  twelve  months  instead  of  only  closing 
prices to avoid seasonal fluctuations in  the prices of 
supply materials.
The Group reviews also the prices of palm oil observed 
on  local  market  and  considers  a  decrease  in  these 
prices at the closing date of more than 15% compared 
to an average of values over 5 years as an impairment 
indicator.
Based on the above criteria, the review of global and 
local  prices  led  to  the  conclusion  that  there  are  no 
external indicators of impairment.
In  addition  to  these  external  indicators,  the  Group 
considers the following indicators:
-  Internal performance indicators;
-  Criteria relating to the local market;
-  Physical indicators of impairment;
-  Significant changes in plantations that could have a 
material impact on their future cash flows.
The  review  of  impairment  indicators  led  the  Group 
to  conclude  that  a  sign  of  impairment  exists  for 
Coviphama and Socfin KCD.


Graphics
Consolidated financial statements
Socfinasia
|
ANNUAL REPORT 2022
|
69

If  an  indication  of  impairment  is  identified,  the 
recoverable amount of the producing biological assets 
is determined.
Impairment tests must be performed on the smallest 
identifiable group of assets which generates cash flows 
independently of other assets or groups of assets and 
for which the Group prepares financial information for 
the Board of Directors.
The  identification  of  Cash  Generating  Units  (CGUs) 
depends, in particular, on:
-  how the Group manages the activities of the entity;
-  the way in which decisions are made with regards to 
the pursuit or the disposal of its activities and;
-  the existence of an active market for all or part of 
the production.
The Group considers the political and country specific 
risk  factors  while  reviewing  business  evolution. 
Therefore,  companies  are  grouped  within  the  CGU 
country.
The recoverable amount of bearer biological assets is 
determined from the calculation of value in use using 
the  most  recent  information  approved  by  the  local 
management.  The  Group  uses  the  discounted  value 
of  expected  net  cash  flows  which  are  discounted 
at  a  pre-tax  rate.  At  reporting  date,  the  financial 
projection  incorporates  the  full  exploitation  of  the 
younger bearer biological assets. The operational life 
ranges between 25 and 30 years for both crops. This 
period  can  be  adapted  according  to  the  particular 
circumstances for each entity.
The  value-in-use  calculation  has  been  very  sensitive 
to:
-  changes in the margins achieved by the entity and
-  changes related to discount rates.
Changes in realised margins
Initially,  the  Group  determines  separately  the 
expected  production  of  each  category  of  biological 
assets  within  the  entity  over  their  remaining  life. 
This  expected  production  is  estimated  on  the  basis 
of  the  surface  areas  planted  at  reporting  date  as 
well  as  the  actual  crops  yield  recorded  during  the 
financial year which depends on  the  maturity  of the 
bearer biological asset. Production is then valued on 
average basis of five-year of the margins achieved by 
the  entity  in  relation  to  agricultural  activities.  The 
value-in-use  of  the  biological  asset  is  then  obtained 
by discounting these cash flows. Average margins are 
considered constant over the duration of the financial 
projection. An indexing factor is not considered.
Based  on  the  existence  of  an  impairment  indication 
and  following  subsequent  impairment  tests,  using 
a  discount  rate  of  17.3%  for  Cambodia  in  2022, 
impairment  losses  of  EUR  18.9  million  for  Socfin 
KCD  and  EUR  8.4  million  for  Coviphama  have  been 
accounted  for  in  2022  (Note  6),  the  recoverable 
amounts for these biological assets being respectively 
14.1 million and 10.5 million.
At 31
st
  December  2022,  accumulated  impairment 
losses  amounted  to  EUR  18.6  million  for  Socfin  KCD 
and EUR 8.3 million for Coviphama (Note 6).


Graphics
Consolidated financial statements
70
|
ANNUAL REPORT 2022
|
Socfinasia
Note 9. Non-wholly owned subsidiaries in which non-controlling interests
are significant
Interests of non-controlling interests in the activities of the Group
Subsidiary Main location
Percentage of equity shares
of non-controlling interest
Percentage of voting rights of
non-controlling interests
2022 2021 2022 2021
Production of palm oil and rubber
SOCFINDO Indonesia 10% 10% 10% 10%
Subsidiary
Net income attributed to
non-controlling interests in
the subsidiary during the
financial period
Accumulated non-controlling
interests in the subsidiary
2022 2021 2022 2021
EUR EUR EUR EUR
SOCFINDO 7,307,921 6,001,300 5,570,075 5,847,731
Subsidiaries that hold non-controlling interests that are not significant individually  834,108 814,700
Non-controlling interests 6,404,183 6,662,431
Summary financial information concerning subsidiaries whose interests of non-controlling interests are
significant for the Group excluding intragroup eliminations
Subsidiary Current assets
Non-current
assets
Current
liabilities
Non-Current
Liabilities
EUR EUR EUR EUR
SOCFINDO
2021 48,455,059 91,150,642 37,997,748 36,912,343
2022 36,446,379 91,330,388 33,993,571 34,304,495
Subsidiary
Revenue from
ordinary
activities
Net income for
the year
Comprehensive
income for the
year
Dividends paid to
non-controlling
interests
EUR EUR EUR EUR
SOCFINDO
2021 160,251,333 64,841,457 64,841,457 5,499,223
2022 193,795,921 71,954,260 71,954,260 7,524,578


Graphics
Consolidated financial statements
Socfinasia
|
ANNUAL REPORT 2022
|
71
Subsidiary Net cash inflows (outflows)
Net cash inflows
(outflows)
Operating
activities
Investing
activities
Financing
activities
EUR EUR EUR EUR
SOCFINDO
2021 71,121,523 -9,573,215 -54,992,234 6,556,074
2022 78,446,226 -12,561,950 -75,245,783 -9,361,507
The nature and evolution of the risks associated with the interests held by the Group in the subsidiaries remained 
stable over the financial period compared to the previous year.
Note 10. Investments in associates
2022 2021
EUR EUR
Value at 1
st
January
21,934,906 20,600,069
Income from associates
10,844,143 7,147,776
Dividends
-7,126,982 -3,383,509
Share in other comprehensive income from associates
443,737 317,467
Scope exits (Note 2)
-442,029 -2,274,586
Other movements
-65,117 -472,311
Value at 31
st
December
25,588,658 21,934,906
Value of investment
in associates
Income from
associates
Value of investment
in associates
Income from
associates
31/12/2022 2022 31/12/2021 2021
EUR EUR EUR EUR
Centrages
3,365,183 132,473 3,432,710 241,051
Immobilière de la Pépinère
1,866,129 1,962 1,864,426 -46,822
Induservices
114,673 30,840 83,833 1,188
Induservices FR
0 -108,679 0 164,940
Management Associates
0 154,201 245,799 531,279
Socfin Green Energy
0 0 0 -641,650
Socfin Research
0 0 0 1,140,424
Socfinco
318,537 -256,646 775,183 20,607
Socfinco FR
8,639,420 5,223,770 7,364,276 3,386,981
Sodimex
0 -49,895 153,374 1,557
Sodimex FR
2,183,194 451,950 1,890,380 227,628
Sogescol FR
8,807,490 5,249,578 5,845,483 2,106,457
Terrasia
294,033 14,590 279,441 14,136
TOTAL
25,588,659 10,844,144 21,934,906 7,147,776


Graphics
Consolidated financial statements
72
|
ANNUAL REPORT 2022
|
Socfinasia
Total assets Revenue Total assets Revenue
31/12/2022 2022 31/12/2021 2021
EUR EUR EUR EUR
Centrages
4,106,686 3,880,683 4,052,720 4,128,202
Immobilière de la Pépinère
4,019,267 591,134 3,983,909 510,366
Induservices
815,459 2,700,576 1,853,192 3,128,650
Induservices FR
6,629,460 2,937,282 6,611,187 2,779,036
Management Associates
18,854,237 3,922,498 12,567,871 3,438,858
Socfinco
1,589,976 169 2,456,705 20,569
Socfinco FR
26,442,122 30,292,559 25,583,207 25,179,023
Sodimex
0 0 306,953 0
Sodimex FR
10,279,841 21,313,415 8,634,788 14,238,890
Sogescol FR
48,532,250 411,044,829 46,421,846 371,317,721
Terrasia
624,891 0 593,179 0
TOTAL
121,894,189 476,683,145 113,065,557 424,741,315
Main data of significant associates accounted for using the equity method
Associate company Main location Main activity
Dividend
received
Dividend
received
2022 2021
EUR EUR
Socfinco Belgium Rendering of services
200,000 125,000
Socfinco FR Switzerland Rendering of services
4,000,000 1,000,000
Sodimex FR Switzerland Purchase and sale of equipment
250,000 250,000
Sogescol FR Switzerland Trade of tropical products
2,816,020 1,885,091
TOTAL
7,266,020 3,260,091


Graphics
Consolidated financial statements
Socfinasia
|
ANNUAL REPORT 2022
|
73
Summary financial information of interests held in associates - Statement of financial position
Associate company
Current
assets
Non-current
assets
Current
liabilities
Non-current
liabilities
2021 EUR EUR EUR EUR
Management Associates 1,424,905 11,142,966 2,868,219 7,000,000
Socfinco FR 19,608,845 5,974,362 4,970,769 5,014,035
Sodimex FR 8,585,658 49,131 4,585,941 0
Sogescol FR 45,509,154 912,692 33,230,531 0
TOTAL
75,128,562 18,079,151 45,655,460 12,014,035
2022 EUR EUR EUR EUR
Management Associates 1,537,121 17,317,115 9,398,157 7,000,000
Socfinco FR 22,132,936 4,309,187 6,658,770 3,351,275
Sodimex FR 10,245,556 34,286 5,825,789 0
Sogescol FR 47,807,127 725,123 31,698,353 0
TOTAL
81,722,740 22,385,711 53,581,069 10,351,275
Summary financial information of interests held in associates - Income statement
Associate company Profit from operations
Net income
for the period
Comprehensive income
for the period
2021 EUR EUR EUR
Management Associates 262,563 262,563 262,563
Socfinco FR 6,288,105 6,288,105 6,288,105
Sodimex FR 413,732 413,732 413,732
Sogescol FR 5,129,175 5,129,175 5,129,175
TOTAL
12,093,575 12,093,575 12,093,575
2022 EUR EUR EUR
Management Associates -243,573 -243,573 -243,573
Socfinco FR 8,833,675 8,833,675 8,885,013
Sodimex FR 905,204 905,204 996,068
Sogescol FR 8,459,383 8,459,383 8,652,202
TOTAL
17,954,689 17,954,689 18,289,711


Graphics
Consolidated financial statements
74
|
ANNUAL REPORT 2022
|
Socfinasia
Reconciliation of the financial information summarised above to the carrying amount of the investments
in the consolidated financial statements
Associate company
Net assets
of the associate
% stake held by
the Group
Other IFRS
adjustments
Value of stake
held by the Group
2021 EUR EUR EUR
Management Associates 2,699,652 20% -294,131 245,799
Socfinco FR 15,598,403 50% -434,926 7,364,276
Sodimex FR 4,048,848 50% -134,044 1,890,380
Sogescol FR 13,191,315 50% -750,175 5,845,483
TOTAL
35,538,218 -1,613,275 15,345,938
2022 EUR EUR EUR
Management Associates 2,456,079 15% -368,412 0
Socfinco FR 16,432,078 50% 423,381 8,639,420
Sodimex FR 4,454,053 50% -43,833 2,183,194
Sogescol FR 16,833,897 50% 390,542 8,807,490
TOTAL
40,176,107 401,678 19,630,104
There is no goodwill attributed to the above associates.
Aggregated information relating to associates that are not significant individually
2022 2021
EUR EUR
Share of profit from continued operations attributable to the Group
-235,355 895,431
Share of other comprehensive income attributable to the Group
-235,355 895,431
Total book value of investments in associates held by the Group
5,958,555 6,588,968
Profit after tax from discontinued operations for 2022 
and  2021  are  nil  for  all  associate  companies  of  the 
Group.
The  nature,  extent  and  financial  impact  of  the 
interests  held  in  associates  by  the  Group,  including 
the  nature  of  relationships  with  other  investors, 
remained  stable  over  the  financial  period  compared 
to the previous year.


Graphics
Consolidated financial statements
Socfinasia
|
ANNUAL REPORT 2022
|
75
Note 11. Financial assets at fair value through other comprehensive income
2022 2021
EUR EUR
Fair value at 1
st
January
501,082 584,990
Change in fair value (*)
-27,554 -36,378
Disposals
0 -47,530
Transfer
300,000 0
Fair value at 31
st
December
773,528 501,082
(*) The variation in the fair value of the financial assets is accounted under the Other Comprehensive Income.
EUR Cost (historical) Fair value
2022 2021 2022 2021
Financial assets at fair value through other 
comprehensive income
771,587 471,587 773,528 501,082
Note 12. Long term advance payments
At 31
st
  December  2022,  the  long-term  advance 
payments  consist  mainly  of  a  receivable  from 
Socfin  for  a  nominal  amount  of  EUR  100,412,500 
(2021: 2 receivables for respectively EUR 100,592,500 
and EUR 75,293,177). 
This receivable bears interest at rate of 4% per annum 
(2021: rates of 4% per annum and 3-month USD Libor 
rate +6.7%), and is repayable within 4 years.


Graphics
Consolidated financial statements
76
|
ANNUAL REPORT 2022
|
Socfinasia
Note 13. Deferred taxes
* Components of deferred tax assets and liabilities
2022 2021
EUR EUR
IAS 2 / IAS 41: Agricultural production
-1,430,218 -1,255,209
IAS 16: Property, plant and equipment
-4,455,862 -4,249,920
IAS 19: Pension obligations
7,546,987 8,093,894
IAS 12: Losses carried forward
4,148,849 5,210,941
IFRS 16: Leases
10,525 9,555
IAS 12: Withholding Tax
-4,856,278 -5,579,195
IFRS 9: Financial assets measured at fair value through other 
comprehensive income
-2,943 -9,815
Others
0 71,470
Balance at 31
st
December
961,060 2,291,721
Of which Deferred Tax Assets
5,817,338 7,870,915
Of which Deferred Tax Liabilities
-4,856,278 -5,579,195
The above deferred taxes are presented per category 
of  deferred  taxes  resulting  from  consolidation 
adjustments.  They  are  calculated  company  per 
company and the net  position between deferred tax 
liabilities and deferred tax assets is presented.
* Contingent tax assets and liabilities
Some of the subsidiaries have accumulated tax losses 
that are limited or not over time or capital allowances 
limited or not over time.
PNS  Ltd,  Socfin  KCD  and  Coviphama  have  unused 
tax  losses  for  respectively  EUR  15.1  million, 
EUR 8.7 million and EUR 2.2 million.
Due to the instability which may exist in these countries 
with regards to the evolution of tax legislation or its 
application, no deferred tax assets have been booked 
related to these tax losses.


Graphics
Consolidated financial statements
Socfinasia
|
ANNUAL REPORT 2022
|
77
Note 14. Current tax assets and liabilities
* Components of current tax assets
2022 2021
EUR EUR
Current tax assets at 1
st
January 1,228,967 980,690
Tax income 11,108 31,318
Taxes paid or recovered 323,667 562,949
Tax adjustments 3,004 -376,776
Foreign exchange differences 7,785 30,786
Current tax assets at 31
st
December 1,574,531 1,228,967
* Components of current tax liabilities
2022 2021
EUR EUR
Current tax liabilities at 1
st
January 16,005,952 10,048,388
Tax expense 32,284,407 30,644,770
Other taxes 68,832 8,096
Taxes paid or recovered -35,985,895 -25,361,738
Tax adjustments -3,049 63
Foreign exchange differences -441,690 666,373
Current tax liabilities at 31
st
December 11,928,557 16,005,952
Note 15. Income tax expense
* Components of the tax expense
2022 2021
EUR EUR
Current income tax expense (*)
28,346,768 21,664,692
Deferred tax expense / (income)
1,042,777 -357,787
Tax expense at 31
st
December
29,389,545 21,306,905
(*) Withholding tax on dividends is presented within income tax expense.


Graphics
Consolidated financial statements
78
|
ANNUAL REPORT 2022
|
Socfinasia
* Components of the deferred tax expense / (income)
2022 2021
EUR EUR
IAS 12: Income Tax (*)
339,175 -448,261
IAS 19: Pension obligations
13,070 -466,416
IAS 2 / IAS 41: Fair value of agricultural produce
230,832 -118,326
IAS 16: Tangible assets
382,839 744,451
IFRS 16: Leases
-386 -686
Others
77,247 -68,548
Deferred tax expense / (income) at 31
st
December
1,042,777 -357,786
(*) Of which impact of losses carried forward activated for EUR 1.1 million, and withholding tax for EUR -0.7 million
* Reconciliation of income tax expense
2022 2021
EUR EUR
Profit before tax from continuing operations
73,825,731 77,695,812
Nominal tax rate of the parent company
24.94% 24.94%
Nominal tax rate of subsidiaries
from 20% to 24.94% from 20% to 24.94%
Income tax at nominal tax rates of subsidiaries
17,052,299 17,079,179
Unfunded taxes
-20,640 37,693
Definitively taxed income / (expense)
-1,568,319 -32,224
Use of capital allowances
745,288 269,892
Specific tax regimes in foreign countries
7,061,849 9,621,193
Non-taxable income
-1,937,160 -1,314,690
Non-deductible expenses
7,914,796 1,125,255
Use of unrecognised accumulated tax losses
-263,288 -6,178,320
Unrecognised losses carried forward
379,823 578,034
Impact of change in tax rate
25,110 122,896
Other adjustments
-213 -2,003
Tax expense at 31
st
December
29,389,545 21,306,905


Graphics
Consolidated financial statements
Socfinasia
|
ANNUAL REPORT 2022
|
79
Note 16. Inventories
* Carrying value of inventories by category
31/12/2022 31/12/2021
EUR EUR
Raw materials 768,403 1,044,685
Consumables 3,537,708 3,024,646
Spare parts 2,066,773 1,767,983
Production in progress 2,693,651 1,218,562
Finished products 7,608,564 9,650,351
Gross amount (before impairment) at 31
st
December
16,675,099 16,706,227
Inventory write-downs -729,244 -590,361
Net amount at 31
st
December 15,945,855 16,115,866
* Reconciliation of inventories
2022 2021
EUR EUR
Situation at 1
st
January 16,706,227 12,023,088
Change in inventory -1,413,348 6,144,248
Fair value of agricultural products 1,754,937 -2,464,157
Foreign exchange differences -372,717 1,003,048
Gross amount (before impairment) at 31
st
December 16,675,099 16,706,227
Inventory write-downs -729,244 -590,361
Net amount at 31
st
December 15,945,855 16,115,866
* Quantity of inventory by category
31/12/2021 Raw Materials Production-in-progress Finished goods
Crude Palm Oil / Palm Kernel Oil (tons) 0 0 5,576
Rubber (tons) 1,076 0 3,935
Others (units) 0 4,737,950 24,926
31/12/2022 Raw Materials Production-in-progress Finished goods
Crude Palm Oil / Palm Kernel Oil (tons) 0 0 5,868
Rubber (tons) 710 0 2,459
Others (units) 0 10,043,350 0


Graphics
Consolidated financial statements
80
|
ANNUAL REPORT 2022
|
Socfinasia


Note 17. Trade receivables (current assets)
31/12/2022 31/12/2021
EUR EUR
Trade receivables
2,645,367 1,802,589
Advances and prepayments
495,729 501,466
TOTAL
3,141,096 2,304,055
Note 18. Other receivables (current assets)
31/12/2022 31/12/2021
EUR EUR
Social security
8,860 8,708
Other receivables (*)
28,371,836 20,864,847
Accrued charges
45,859 30,677
TOTAL
28,426,555 20,904,232
(*) The "Other receivables" consist mainly of cash pooling receivables at Socfinde for EUR 13.4 million (EUR 18.5 million in 2021) 
and receivables from Socfin at PNS Ltd for EUR 14.1 million (see also Note 38).
The accounting policy and risk management applicable to receivables are detailed in notes 1 and 34.
Note 19. Cash and cash equivalents
* Reconciliation with the amounts in the statement of financial position
2022 2021
EUR EUR
Current account
94,648,047 73,404,709
TOTAL
94,648,047 73,404,709
* Reconciliation with the cash flow statement
2022 2021
EUR EUR
Current account
94,648,047 73,404,709
TOTAL
94,648,047 73,404,709


Graphics
Consolidated financial statements
Socfinasia
|
ANNUAL REPORT 2022
|
81




Note 20. Share capital
Issued  and  fully  paid  capital  amounted  to 
EUR 24.5 million at 31
st
 December 2022 (no change 
compared to 2021). 
At 31
st
  December  2022,  the  share  capital  is 
represented by  19,594,260  shares  without  nominal 
value.
Ordinary shares
2022 2021
Number of Shares at 31
st
December 19,594,260 19,594,260
Number of fully paid shares issued without designation of par value 19,594,260 19,594,260
Note 21. Reserve
Legal reserve
In accordance with Luxembourg commercial law, the 
company is required to allocate a minimum of 5% of 
its net profit for each financial year to a legal reserve. 
This  requirement  ceases  to  be  necessary  once  the 
balance on the legal reserve reaches 10% of the issued 
share  capital.  The  legal  reserve  is  not  available  for 
distribution to the shareholders.



Graphics
Consolidated financial statements
82
|
ANNUAL REPORT 2022
|
Socfinasia

Note 22. Pension obligations
* Defined benefit pension plan and post-employment sickness
The  Group  provides  a  defined  benefit  pension  plan 
to  its  employees  in  its  Indonesian  subsidiary.  The 
latter pay benefits which are payable in the event of 
retirement or voluntary resignation. The benefits paid 
are calculated as a percentage of salary and are based 
on the number of years of service.
The  plan  is  based  on  the  employment  contract  for 
the employees and  on the collective agreements for 
the labourers. The benefits payable to the employees 
are  not  financed  by  any  specific  asset  against  the 
provisions.
2022 2021
EUR EUR
Assets and liabilities recognised in the statement of financial
position
Present value of obligations
34,304,488 36,912,326
Net amount recognised in the statement of financial position for
defined benefit plans
34,304,488 36,912,326
Components of net charge
Current service costs
2,028,323 2,080,954
Financial costs
1,894,992 1,889,375
Past service costs
0 -555,090
Defined benefit plan costs
3,923,315 3,415,239
Movements in liabilities / net assets recognised in the statement of
financial position
At 1
st
January
36,912,326 35,114,910
Costs as per income statement
3,923,315 3,415,239
Contributions
-3,859,526 -4,879,625
Actuarial gains and losses of the year recognised in other comprehensive 
income
-1,548,010 801,101
Foreign exchange differences
-1,123,617 2,460,701
At 31
st
December
34,304,488 36,912,326
Provisions are based on actuarial valuation reports prepared in January 2023.


Graphics
Consolidated financial statements
Socfinasia
|
ANNUAL REPORT 2022
|
83

* Actuarial gains and losses recognised in other comprehensive income
2022 2021
EUR EUR
Adjustments of liabilities related to experience
533,879 -2,759,574
Changes in financial assumptions related to recognised liabilities
1,014,131 1,958,473
Actuarial gains and losses recognised during the period in other
comprehensive income
1,548,010 -801,101
* Actuarial valuation assumptions
31/12/2022 31/12/2021
ASIA
Average discount rate
from 5.52% to 7.44% from  3.40% to 7.60%
Expected long-term returns of plan assets
N/A N/A
Future salary increases
6.50% 6.50%
Average remaining active life of employees (in years)
13.10 12.96
* Sensitivity analysis of the present value of defined benefit obligations
31/12/2022 31/12/2021
EUR EUR
Actuarial value of the obligation
- Pension plan
32,563,604 35,065,614
- Other Long-term benefits
1,740,884 1,846,712
Total at 31
st
December
34,304,488 36,912,326
Actuarial rate (on pension plan)
Increase of 0.5%
33,188,601 35,702,753
Decrease of 0.5%
35,486,229 38,247,974
Expected future salary increases (on pension plan)
Increase of 0.5%
35,408,582 38,104,204
Decrease of 0.5%
33,252,768 35,777,001
The sensitivity analyses are based on the same actuarial method used to measure the obligations of the defined 
benefit plans.
* Impact of the defined benefit pension plan on future cash flows
2023 2022
Estimated contributions for the next financial year (in euros)
2,924,588 4,227,108
31/12/2022 31/12/2021
Weighted average duration of defined benefit plan obligations (in years)
12.85 12.75


Graphics
Consolidated financial statements
84
|
ANNUAL REPORT 2022
|
Socfinasia

Note 23. Financial debts
31/12/2021
EUR < 1 year > 1 year TOTAL
Loans held by financial institutions (*) 8,842,663 78,136,408 86,979,071
Other loans 11,166 0 11,166
Lease liabilities 26,341 401,008 427,349
TOTAL 8,880,170 78,537,416 87,417,586
31/12/2022
EUR < 1 year > 1 year TOTAL
Loans held by financial institutions (*) 18,522,074 9,375,586 27,897,660
Other loans 222 0 222
Lease liabilities 28,105 397,717 425,822
TOTAL 18,550,401 9,773,303 28,323,704
(*) In November 2021, a loan of USD 100 million has been granted to PNS Ltd at a floating rate of 3-month LIBOR + 5%. In 2022, an 
amount of USD 70 million has been early reimbursed by PNS Ltd. The remaining balance (USD 30 million) has been fully repaid 
by PNS Ltd in February 2023 (see also note 38).
The company is in compliance with covenants related to the amounts owed to credit instutions.
* Analysis of long-term debt by interest rate
31/12/2021
EUR Fixed Rate Rate Floating rate Rate TOTAL
Loans held by financial institutions
Luxembourg 0 0 78,136,408 3-month LIBOR + 5% 78,136,408
0 78,136,408 78,136,408
31/12/2022
EUR Fixed Rate Rate Floating rate Rate TOTAL
Loans held by financial institutions
Luxembourg 0 0 9,375,586 3-month SOFR + 5% 9,375,586
0 9,375,586 9,375,586


Graphics
Consolidated financial statements
Socfinasia
|
ANNUAL REPORT 2022
|
85

* Long-term debts analysis by currency
31/12/2021 USD TOTAL EUR
Loans held by financial institutions 78,136,408 78,136,408
Lease liabilities 401,007 401,007
TOTAL 78,537,415 78,537,415
31/12/2022 USD TOTAL EUR
Loans held by financial institutions 9,375,586 9,375,586
Lease liabilities 397,716 397,716
TOTAL 9,773,302 9,773,302
* Long-term debt analysis by maturity
31/12/2021
EUR 2023 2024 2025 2026
2027 and
above
TOTAL
Loans held by financial 
institutions
16,952,946 61,183,462 0 0 0 78,136,408
Lease liabilities 26,467 26,594 26,721 26,850 294,376 401,008
TOTAL 16,979,413 61,210,056 26,721 26,850 294,376 78,537,416
31/12/2022
EUR 2024 2025 2026 2027
2028 and
above
TOTAL
Loans held by financial 
institutions
9,375,586 0 0 0 0 9,375,586
Lease liabilities 28,239 28,374 28,511 28,649 283,944 397,717
TOTAL 9,403,825 28,374 28,511 28,649 283,944 9,773,303


Graphics
Consolidated financial statements
86
|
ANNUAL REPORT 2022
|
Socfinasia

* Net cash surplus / (Net debt)
31/12/2022 31/12/2021
EUR EUR
Cash and cash equivalents  94,648,047 73,404,709
Long-term debt net of current portion -9,375,586 -78,136,408
Short-term debt and current portion of long-term debt -18,522,296 -8,853,829
Lease liabilities -425,822 -427,349
Net cash surplus / (Net debt)
66,324,343 -14,012,877
Cash and cash equivalents
94,648,047 73,404,709
Loan bearing interest at a variable rate -27,897,882 -86,990,237
Lease liabilities -425,822 -427,349
Net cash surplus / (Net debt) 66,324,343 -14,012,877
* Reconciliation of net cash surplus / (net debt)
Cash and cash
equivalents
Long-term debt,
net of current
portion
Short-term debt
and current
portion of long-
term debt
Debt related to
leases TOTAL
At 1
st
January 2021 19,832,117 0 0 -418,637 19,413,480
Cash flows 51,615,483  -12,001,941 402,595 25,143 40,041,280
Foreign exchange 
differences
1,957,109 -3,195,394 -361,616  -33,860  -1,633,761
Transfers 0 -62,939,073  -8,894,808 0 -71,833,881
At 31
st
December 2021 73,404,709 -78,136,408 -8,853,829 -427,354 -14,012,882
Cash flows 20,233,462  66,817,381  -1,175,284 28,468  85,904,027
Foreign exchange 
differences
1,009,876  -6,148,630  -384,269  -26,936  -5,549,959
Transfers 0 8,092,070 -8,108,913 0 -16,843
At 31
st
December 2022 94,648,047 -9,375,586 -18,522,296 -425,822 66,324,343


Graphics
Consolidated financial statements
Socfinasia
|
ANNUAL REPORT 2022
|
87

Note 24. Trade and other payables
31/12/2022 31/12/2021
EUR EUR
Trade payables
4,333,218 4,003,741
Staff cost liabilities
431,513 841,332
Other payables (*)
34,838,679 21,344,312
Accruals
19,548,913 18,798,271
TOTAL
59,152,323 44,987,656
(*) Other payables consist mainly of debts of EUR 24.2 million (EUR 10.4 million in 2021) relating to the cash pooling at Socfinde.


Graphics
Consolidated financial statements
88
|
ANNUAL REPORT 2022
|
Socfinasia

Note 25. Financial instruments
31/12/2021
Loans and
borrowings
Financial assets
at fair value
through other
comprehensive
income
Other
financial
assets and
liabilities TOTAL
Loans and
borrowings
(*)
Other
financial
assets and
liabilities
(*)
EUR at cost at fair value at cost
at fair
value
at fair
value
Assets
Financial assets at fair value through 
other comprehensive income
0 501,082 0 501,082 0 0
Long-term advances
175,885,677 0 85,592 175,971,269 175,885,677 85,592
Other non-current assets
7,000,000 0 0 7,000,000 7,000,000 0
Trade receivables
0 0 2,304,055 2,304,055 0 2,304,055
Other receivables
0 0 20,904,231 20,904,231 0 20,904,231
Cash and cash equivalents
0 0 73,404,709 73,404,709 0 73,404,709
Total Assets
182,885,677 501,082 96,698,587 280,085,346 182,885,677 96,698,587
Liabilities
Long-term debts (**)
78,136,408 0 0 78,136,408 78,136,408 0
Short-term debts (**)
0 0 8,853,829 8,853,829 0 8,853,829
Trade payables (current)
0 0 4,003,741 4,003,741 0 4,003,741
Other payables (current)
0 0 40,983,912 40,983,912 0 40,983,912
Total Liabilities
78,136,407 0 53,841,482 131,977,889 78,136,407 53,841,482
(*) For information purposes.
(**) See Note 23.
31/12/2021 Fair Value
EUR Level 1 Level 2 Level 3 TOTAL
Financial assets at fair value through other 
comprehensive income
0 0 501,082 501,082


Graphics
Consolidated financial statements
Socfinasia
|
ANNUAL REPORT 2022
|
89

31/12/2022
Loans and
borrowings
Financial assets
at fair value
through other
comprehensive
income
Other
financial
assets and
liabilities TOTAL
Loans and
borrowings
(*)
Other
financial
assets and
liabilities
(*)
EUR at cost at fair value at cost
at fair
value
at fair
value
Assets
Financial assets at fair value through 
other comprehensive income
0 773,528 0 773,528 0 0
Long-term advances
100,412,500 0 90,824 100,503,324 100,412,500 90,824
Other non-current assets
7,000,000 0 0 7,000,000 7,000,000 0
Trade receivables
0 0 3,141,096 3,141,096 0 3,141,096
Other receivables
0 0 28,426,554 28,426,554 0 28,426,554
Cash and cash equivalents
0 0 94,648,047 94,648,047 0 94,648,047
Total Assets
107,412,500 773,528 126,306,521 234,492,549 107,412,500 126,306,521
Liabilities
Long-term debts (**)
9,375,586 0 0 9,375,586 9,375,586 0
Short-term debts (**)
0 0 18,522,296 18,522,296 0 18,522,296
Trade payables (current)
0 0 4,333,218 4,333,218 0 4,333,218
Other payables (current)
0 0 54,819,105 54,819,105 0 54,819,105
Total Liabilities
9,375,586 0 77,674,619 87,050,205 9,375,586 77,674,619
(*) For information purposes.
(**) See Note 23.
31/12/2022 Fair Value
EUR Level 1 Level 2 Level 3 TOTAL
Financial assets at fair value through other 
comprehensive income
0 0 773,528 773,528
The Group did not identify significant differences between the carrying amount of the loans and their fair value. 


Graphics
Consolidated financial statements
90
|
ANNUAL REPORT 2022
|
Socfinasia


Note 26. Staff costs and average number of staff
2022 2021
Average number of employees
Directors
195 197
Employees
2,253 2,396
Workers (including temporary workers)
7,147 7,575
TOTAL
9,595 10,168
2022 2021
Staff costs EUR EUR
Remuneration
67,364,459 56,030,593
Social security and pension expenses
5,790,322 4,724,960
TOTAL
73,154,781 60,755,553



Note 27. Other financial income
2022 2021
EUR EUR
On non-current assets / liabilities
Interest on other investments (*)
7,720,339 1,063,405
On current assets / liabilities
Interest from receivables and cash and cash equivalents
1,555,214 2,940,712
Exchange gains
17,463,418 3,233,227
Others
55,464 822,265
TOTAL
26,794,435 8,059,609
(*) Interests mainly relating to the long-term advances towards Socfin (see Note 31).





Graphics
Consolidated financial statements
Socfinasia
|
ANNUAL REPORT 2022
|
91






Note 28. Financial expenses
2022 2021
EUR EUR
On non-current assets / liabilities
Impairment on non-current assets
30,000 20,000
Interest expense on lease liabilities
42,471 37,808
On current assets / liabilities
Interest and finance expense
3,532,438 444,607
Impairment on current assets
-4,258 342,741
Realised exchange losses
3,614,032 980,270
Others
1,579,822 236,677
TOTAL
8,794,505 2,062,103



Note 29. Net earnings per share
Undiluted net earnings per share (basic) is the profit 
for  the  year  attributable  to  ordinary  shareholders 
divided  by  the  average  number  of  ordinary  shares 
outstanding during the year. As there are no potential 
dilutive ordinary shares, the diluted net earnings per 
share  is  identical  to  the  undiluted  net  earnings  per 
share.
2022 2021
Net profit / (loss) for the period (in euros)
47,948,844 57,414,177
Average number of shares
19,594,260 19,594,260
Net earnings per share undiluted (in euros)
2.45 2.93
Note 30. Dividends and directors’ fees
The Board will propose at the Annual General Meeting 
of 30
th
 May 2023 the  payment  of  a  total  dividend  of 
EUR 3.50 per share, out of which an interim dividend 
of  EUR  2.00  per  share  was  paid  in  November  2022. 
If the  proposed  dividend  is  approved  by  the  general 
meeting  of  shareholders,  a  balance  of  EUR  1.50  per 
share  for  a  total  amount  of  EUR  29.4  million  would 
therefore remain payable.
2022 2021
Dividends and interim dividends distributed during the period
58,782,780 17,634,834
Number of shares
19,594,260 19,594,260
Dividend per share distributed during the period
3.00 0.90
In addition, in accordance with the statutory provisions, 1/9
th
 of the distributed dividends is allocated to the 
Board of Directors.


Graphics
Consolidated financial statements
92
|
ANNUAL REPORT 2022
|
Socfinasia


Note 31. Information on related party
* Directors’ remuneration
2022 2021
EUR EUR
Short-term benefits
15,278,115 5,849,500
* Other related party transactions
31/12/2021
EUR Parent Associates
Other related
parties TOTAL
Non-current assets
Long-term advances
175,293,177 592,500 0 175,885,677
Other non-current assets
0 7,000,000 0 7,000,000
175,293,177 7,592,500 0 182,885,677
Current assets
Trade receivables
0 1,023,084 0 1,023,084
Other receivables (Note 18)
11,479,691 5,539,924 2,249,186 19,268,800
11,479,691 6,563,008 2,249,186 20,291,884
Current liabilities
Financial debts
0 11,044 0 11,044
Trade payables
0 97,731 0 97,731
Other payables (Note 24)
0 9,631,904 1,587,759 11,219,663
0 9,740,679 1,587,759 11,328,438
Income statement
Services and goods delivered
0 14,752,300 94,373 14,846,673
Services and goods received
0 5,616,532 0 5,616,532
Financial income
679,322 25,004 2,819,718 3,524,044


Graphics
Consolidated financial statements
Socfinasia
|
ANNUAL REPORT 2022
|
93

31/12/2022
EUR Parent Associates
Other related
parties TOTAL
Non-current assets
Long-term advances
100,000,000 132,500 280,000 100,412,500
Other non-current assets
0 0 7,000,000 7,000,000
100,000,000 132,500 7,280,000 107,412,500
Current assets
Trade receivables
0 1,308,312 37,405 1,345,717
Other receivables (Note 18)
14,498,034 6,016,300 7,520,601 28,034,935
14,498,034 7,324,612 7,558,006 29,380,652
Current liabilities
Trade payables
0 102,981 0 102,981
Other payables (Note 24)
1,914,036 7,780,667 15,313,990 25,008,693
1,914,036 7,883,648 15,313,990 25,111,674
Income statement
Services and goods delivered
0 13,371,056 167,896 13,538,952
Services and goods received
0 5,596,574 447,562 6,044,136
Financial income
7,682,513 4,004,774 311,305 11,998,592
Financial expenses
2,220 30,020 71,073 103,313
Related party transactions are made at arm’s length.
At 31
st
  December  2022,  Socfinasia  has  an  amount 
receivable  of  EUR  100  million  from  Socfin.  This 
receivable bears interest at 4%. The amount of interest 
recognised for the year 2022 is EUR 4.0 million.
At 31
st
  December  2022,  PNS  Ltd  has  an  amount 
receivable  of  EUR  14.1  million  from  Socfin.  This 
receivable  bears  interest  at  3-month  LIBOR  +  6.7%. 
The amount of interest recognised for the year 2022 
is EUR 3.7 million.
No other significant transactions have been noted with 
the  parent  company  Socfin,  with  the  exception  of 
the payment of dividends by Socfinasia amounting to 
EUR 10.2 million in 2021 and EUR 34.2 million in 2022. 
In addition, Socfinde has a payable of EUR 1.9 million 
with the parent company at 31
st
 December 2022.
At 31
st
  December  2022,  Socfinde  has  an  amount 
receivable  of  EUR  0.3  million  from  Socfinaf 
(2021: EUR 2.2 million).
At 31
st
  December  2022,  Socfinde  has  a 
USD denominated loan equivalent to EUR 12.2 million 
(2021:  EUR  1.6  million)  towards  Socfinaf.  This  loan 
bears annual interest rate of SOFR (Secured Overnight 
Financing  Rate)  -  0,50%  x  85%  with  a  minimum  rate 
of 0%. The amount of interest recognised for 2022 is 
EUR 0.1 million.


Graphics
Consolidated financial statements
94
|
ANNUAL REPORT 2022
|
Socfinasia



Note 32. Off balance sheet commitments
In 2021, PNS Ltd  obtained  a  loan of USD 100 million 
which  stipulates  that  as  long  as  the  loan  remains 
outstanding, PNS Ltd may not provide any guarantee or 
provision of any other security or arrangement to other 
creditors  without  granting  them  on  the  same  terms 
to the bank. PNS Ltd also opened a  reserve  account 
with  enough  funds  to  service  principal  and  interest 
due in the first 12 months (this amount is reflected in 
Note 23). In addition, 100% of PNS Ltd shares, owned 
by Socfinasia,  have  been pledged  to  the  bank  under 
this loan. The contract also stipulates that a change of 
control in PNS Ltd's or in the Company’s shareholding 
would  result  in  the  early  repayment  of  the  loan. At 
31
st
 December 2022, the balance of the loan amounts 
to USD 30 million (2021: USD 100 million). As the loan 
has been fully reimbursed in February 2023, the share 
pledge and the securities have been waived (see also 
Note 38).

Note 33. Segment information
In accordance with IFRS 8, the analysis of information 
by  management  is  based  on  the  geographical 
distribution of political and economic risks. As a result, 
the sectors are Indonesia, Cambodia and Europe.
The products of the operating sector from Indonesia 
come  from  sales  of  palm  oil  and  rubber,  those  from 
Cambodia  come  exclusively  from  sale  of  rubber, 
those  from  Europe  come  from  the  rendering  of 
administrative  services,  assistance  in  managing  the 
areas under plantation and the marketing of products 
outside the Group. The segment profit of the Group is 
the profit from operations.
The stated  figures  originate from  internal  reporting. 
They  do  not  include  any  consolidation  or  IFRS 
adjustments  or  adjustments  and  are  therefore  not 
directly  comparable  to  amounts  reported  in  the 
consolidated  statement  of  financial  position  and 
income statement.
* Segmental breakdown of profit / (loss) at 31
st
December 2021
EUR
Revenue from
ordinary business
with external
customers
Revenue from
ordinary business
between segments
Sector profit / (loss)
(*)
Europe
0 0 -2,924,837
Cambodia
7,935,361 0 988,373
Indonesia
160,251,445 0 82,976,211
TOTAL
168,186,805 0 81,039,747
Fair value of agricultural production
-1,439,376
Other IFRS adjustments
2,928,458
Consolidation adjustments (intra-group and others)
-9,290,288
Financial income
8,756,347
Financial expenses
-4,299,076
Group share of income from associates
7,147,777
Income tax expense
-21,306,905
Net Profit / (loss) for the period
63,536,684
(*) Profit / (loss) for the period include operating expenses.


Graphics
Consolidated financial statements
Socfinasia
|
ANNUAL REPORT 2022
|
95

* Segmental breakdown of profit/(loss) at 31
st
December 2022
EUR
Revenue from
ordinary business
with external
customers
Revenue from
ordinary business
between segments
Sector profit / (loss)
(*)
Europe
0 0 -2,502,234
Cambodia
8,164,138 0 -2,490,942
Indonesia
193,795,812 0 91,818,347
TOTAL
201,959,951 0 86,825,171
Fair value of agricultural production
-23,308,503
Other IFRS adjustments
899,993
Consolidation adjustments (intra-group and others)
-8,671,760
Financial income
27,177,257
Financial expenses
-9,096,428
Group share of income from associates
10,844,143
Income tax expense
-29,389,545
Net Profit / (loss) for the period
55,280,329
(*) Profit / (loss) for the period include other expenses for EUR 15.3 million, corresponding mainly to external services invoiced 
to  plantations  and  related  directly  to  the  operational  activity  (road  maintenance,  …),  and  other  operating  expenses  for 
EUR 4.8 million not related directly to the operational activity (other taxes, property taxes, …).


Graphics
Consolidated financial statements
96
|
ANNUAL REPORT 2022
|
Socfinasia

* Total segmental assets
31/12/2022 31/12/2021
EUR EUR
Europe
82,675,979 50,366,111
Cambodia
67,618,326 68,843,348
Indonesia
117,769,545 127,714,998
Total at 31
st
December
268,063,850 246,924,457
IFRS 3 / IAS 16: Bearer plants
-25,178,480 -395,689
IAS 2 / IAS 41: Agricultural production
1,752,466 114,882
Other IFRS adjustments
-1,494,716 -530,493
Consolidation adjustments (intra-group and others)
3,861,555 4,389,329
Total consolidated segmental assets
247,004,675 250,502,486
Consolidated assets not included in segmental assets
Right-of-use assets
1,866,143 910,065
Investments in associates
25,588,659 21,934,906
Financial assets at fair value through other comprehensive income
773,528 501,082
Long-term advances
100,503,325 175,971,270
Deferred tax
5,817,339 7,870,915
Other non-current assets
7,000,000 7,000,000
Consolidated non-current assets
141,548,994 214,188,239
Other debtors
28,426,554 20,904,231
Current tax assets
1,574,532 1,228,967
Consolidated current assets
30,001,086 22,133,197
Total of consolidated assets in the segmental assets
171,550,080 236,321,436
Total assets
418,554,755 486,823,921
Segmental assets and liabilities are presented to meet 
the  requirements  of  IFRS  8.  They  are  derived  from 
internal  reporting  and  do  not  take  into  account  any 
consolidation or IFRS adjustments.
Segmental assets include only fixed assets, producing 
biological assets, trade receivables, inventories, cash 
and cash equivalents. 


Graphics
Consolidated financial statements
Socfinasia
|
ANNUAL REPORT 2022
|
97

* Total segmental liabilities
31/12/2022 31/12/2021
EUR EUR
Europe
48,589,840 29,914,750
Cambodia
1,318,995 1,154,105
Indonesia
24,094,356 23,690,766
Total at 31
st
December
74,003,191 54,759,620
Other IFRS adjustments
-1,973 0
Consolidation adjustments (intra-group and others)
-14,848,896 -9,771,966
Total consolidated segmental liabilities
59,152,322 44,987,654
Consolidated liabilities not included in segmental liabilities
Total equity
279,989,406 295,921,208
Non-current liabilities
48,934,069 121,028,937
Current financial debts
18,522,296 8,853,829
Current lease liabilities
28,105 26,341
Current tax liabilities
11,928,558 16,005,952
Provisions
0 0
Total consolidated liabilities not included in segmental liabilities
359,402,433 441,836,268
Total equity and liabilities
418,554,755 486,823,921
Segmental liabilities include only trade and other payables.
* Costs incurred for acquisition of segmental assets during 2021
EUR Intangible assets Tangible assets Biological assets TOTAL
Cambodia
0 436,270 859,167 1,295,437
Indonesia
658,565 4,258,034 4,914,771 9,831,369
TOTAL
658,565 4,694,304 5,773,938 11,126,806
* Costs incurred for acquisition of segmental assets during 2022
EUR Intangible assets Tangible assets Biological assets TOTAL
Cambodia
0 417,668 469,391 887,059
Indonesia
635,933 5,886,190 7,013,022 13,535,145
TOTAL
635,933 6,303,858 7,482,413 14,422,204


Graphics
Consolidated financial statements
98
|
ANNUAL REPORT 2022
|
Socfinasia

* Information by category of revenue
2022 2021
EUR EUR
Palm 
170,873,347 140,988,797
Rubber
22,322,007 20,706,986
Other agricultural activities 
7,435,188 5,307,630
Others
1,329,409 1,183,392
TOTAL
201,959,951 168,186,805
* Information by geographical region
EUR
2021
Geographical
location
Origin Europe Africa Asia America Oceania TOTAL
Asia 14,752,311 235,968 152,940,190 255,594 2,742 168,186,805
EUR
2022
Geographical
location
Origin Europe Africa Asia America Oceania TOTAL
Asia 13,092,428 785,781 187,277,153 804,588 0 201,959,951
* Information by business segment by revenue category
EUR
2021
Category
Business Segment Palm Rubber
Other agricultural
products TOTAL
Indonesia
140,988,797 12,771,626 6,491,022 160,251,445
Cambodia
0 7,935,360 0 7,935,360
TOTAL
140,988,797 20,706,986 6,491,022 168,186,805
EUR
2022
Category
Business Segment
Palm Rubber
Other agricultural
products TOTAL
Indonesia
170,873,347 14,157,869 8,764,597 193,795,813
Cambodia
0 8,164,138 0 8,164,138
TOTAL
170,873,347 22,322,007 8,764,597 201,959,951


Graphics
Consolidated financial statements
Socfinasia
|
ANNUAL REPORT 2022
|
99




Note 34. Risk management
Capital management
The Group manages its capital and adjusts accordingly 
in  response  to  changes  in  economic  conditions  and 
investment  opportunities.  To  maintain  or  adjust  the 
capital  structure,  the  Group  may  issue  new  shares, 
repay  part  of  the  capital  or  adjust  the  payment  of 
dividends to shareholders. 
The Group also manages its capital by close monitoring 
of the ratio of debt over equity.

Financial risk
The financial risk for the companies within the Group 
comes  mainly  from  changes  in  the  selling  price  of 
agricultural commodities, foreign exchange and  to  a 
lesser extent, interest rate movements.
Potential risks
None of the countries in which the Group operates
has  a  hyperinflationary  economy  or  suffers  from  an 
immediate threat of price devaluation. Nevertheless, 
in a minority of countries in which the Group operates,
the  political  system  and  economic  stability  remain 
fragile  and  could  lead  to  currency  devaluation  or 
hyperinflation.
Risk management and opportunities
The  Group  regularly  reviews  its  sources  of  financing 
as well as currency movements and its decisions are 
based on a variety of risks and opportunities which are 
themselves based on several factors including interest 
rates, currency and counterparties.
Market risk
* Price risk in commodities market
Potential risk
The  Group  markets  its  finished  products  at  prices 
which  may  be  influenced  by  commodity  prices  in 
international  markets.  It  therefore  faces  the  risk  of 
volatility in the prices of these commodities.
Risk management and opportunities
The main policy of the Group's companies has always 
been  to  control  its  production  costs  in  order  to 
generate margins for the viability of structures in the 
event of a significant drop in the selling prices of raw 
materials  and  conversely  to  generate  profit  margins 
during the market downturns.
In  parallel  with  this  main  policy,  secondary  policies 
have also been implemented to improve or consolidate 
profit margins:
-  production  of  agricultural  products  of  superior 
quality and branded, in particular for rubber and;
-  use  of  the  Group's  expertise  in  the  commercial 
sector.
The  Group  reduces  its  exposure  to  price  risk  by 
investing  into  different  geographical  markets  and 
products.
* Foreign currency risk
Potential risk
The Group carries out transactions in local currencies, 
mainly  being  US  dollar  and  Indonesian  rupiah.  In 
addition,  financial  instruments  hedging  against 
exchange  rate  fluctuations  may  not  be  available  for 
certain currencies. This creates exposure to exchange 
rate  fluctuations  which  may  have  an  impact  on  the 
financial result denominated in euro.
Risk management and opportunities
Apart from the current currency hedging instruments 
for  operational  transactions  (which  is  relatively 
limited),  the  main  policy  of  the  Group  to  finance 
its  development  projects  in  local  currencies  in  the 
region  given  the  significant  investments  made  in 
the  plantations  and  wherever  possible,  to  reduce 
borrowings.
* Interest rate risk
Potential risk
This  risk  includes  a  change  in  cash  flows  relating  to 
short-term borrowings (often on a variable rate) and 
the relatively high level of base interest rates on cash 
and  cash  equivalents  and  developing  markets  when 
borrowing in local currency.
Risk management and opportunities
The  first  risk  is  managed  by  an  active  policy  of 
monitoring the evolution of local financial markets and 
sometimes short-term debt consolidation in the long-




Graphics
Consolidated financial statements
100
|
ANNUAL REPORT 2022
|
Socfinasia





term,  if  necessary. The  second  risk  is  considered  by 
a systematic policy of putting local and international 
banks  in  competition  with  international  lenders 
who  can  offer  real  investment  and  development 
opportunities at attractive rates.
Credit risk
Potential risk
Credit risk arises from the potential inability of clients 
to meet their contractual obligations.
Risk management and opportunities
To manage this risk, the Group ensures the payment of 
local sales in cash or the guarantee of the receivables 
by obtaining approved bills of exchange. The  export 
sales of the plantations are centralised in the Group's 
sales structure, which applies either a cash payment 
policy or a commercial credit policy whose limits are 
defined by its Board of Directors.
Details on impairment of financial assets and liabilities, 
including measurement of expected credit losses, are 
disclosed in Note 1.18.
Liquidity risk
Potential risk
Liquidity  risk  is  defined  as  the  risk  that  the  Group 
cannot meet its obligations on time or at a reasonable 
price. This risk is mainly impacting plantations which 
are both the main source of cash and financing needs.
Risk management and opportunities
Given  the  specific  economic  and  technological 
environment of each plantation, the  Group  manages 
this  risk  in  a  decentralised  manner.  However,  both 
the  cash  available  and  the  implementation  of  the 
financing are supervised by the Group management.
The  Group  chooses,  whenever  possible,  to  maintain 
financial  liabilities  and  cash  position  (as  mentioned 
respectively in Notes 23 and 19) with low credit risk 
institutions.
Emerging market risks
Potential risk
Current  or  future  political  instability  in  certain 
countries in which the Group operates may affect the 
ability to do  business,  generate  revenue and  impact 
the Group's profitability.
The political system  in  some  of the  Group's  markets 
remains  relatively  fragile  and  remains  potentially 
threatened by cross-border conflicts or wars between 
rival groups.
Risk management and opportunities
The  Group's  activities  contribute  to  improve  the 
quality  of  life  in  the  countries  in  which  the  Group 
operates while improving the stability of its markets 
may lead to an appreciation of the value of the Group's 
companies located locally.
Diversifying  the  geographic  mix  of  countries, 
economies  and  currencies  in  which  the  Group 
generates  its  revenues  and  cash  flows  reduces  its 
exposure to emerging market risk.
The Group is aware  of  the  environmental  and social 
responsibility it has towards the local population and 
is implementing initiatives to this end.
Risk of expropriation
Potential risk
Certain countries in which the Group operates have
political regimes that  may  call  into  question foreign 
commercial  interests  by  limiting  their  activities  and 
may  attempt  to  impose  control  over  the  Group's 
assets.
Risk management and opportunities
The  diversification  of  the  geographical  distribution 
of  the  countries  in  which  the  Group  generates  its 
revenues  and  its  cash  flows  reduces  its  exposure  to 
this risk.


Graphics
Consolidated financial statements
Socfinasia
|
ANNUAL REPORT 2022
|
101

Credibility risk
Potential risk
The Group is exposed to the risk of loss of confidence 
of  the  financial  markets  in  relation  to  its  ability  to 
maintain a sound financial health considering:
- its environmental impact,
- its social responsibility and
-  the  economic  and  geopolitical  risks  that  certain 
Group entities may face.
Risk management and opportunities
The Group has published its responsible management 
policy  in  2017,  updated  in  2022.  This  complements 
the  Group's  sustainable  development  commitments, 
formalised in 2012.
The Group's initiatives to monitor this risk are detailed 
in the information provided in the annual sustainable 
development  report  available  on  request  at  Group 
headquarters.
Risk sensitivity
* Exchange rate risk
The  Group  is  exposed  to  changes  in  value  arising 
from  fluctuations  in  exchange  rates  generated  by 
its  operating  activities.  However,  as  local  turnover 
were made in the local currency and export sales are 
made in US dollar, the Group's exposure is limited to 
fluctuations in dollar against the euro. The impact on 
the  result  of  a  10%  increase  or  decrease  (EUR/USD) 
in foreign currency financial instruments amounts to 
EUR 6.4 million.
In  the  case  where  the  currency  of  sale  is  not  the 
functional currency of the Company, and it is linked 
to a strong currency, the conversion is ensured at the 
time of the conclusion of the contract. The local sales 
concluded in the local currency in 2022 amounted to 
EUR 175.5 million.
Socfinasia  companies  have  a  cash  position  of 
USD 68.4 million at 2022 year-end.
* Interest rate risk
The breakdown of fixed  rate loans and variable rate 
loans is described in Note 23. Following the variable 
rate  loan  arrangement  entered  into  by  PNS  Ltd  in 
November 2021, the Group is exposed to interest rate 
risk.  To  control  this  risk,  the  management  closely 
monitors  the  interests  rate  evolution.  In  February 
2023, PNS Ltd repaid the last instalment of the loan, 
reducing the Group exposure to interest rate risk (see 
note 38).
* Credit risk
At 31
st
  December  2022,  the  trade  receivables  from 
global  customers  amounted  to  EUR  1.2  million  and 
to  EUR  1.3  million  for  local  customers.  Accounts 
receivable  from  global  customers  are  mainly 
receivables related to the sale of rubber. Palm oil is 
sold locally to local players (wide range of customers). 
The marketing of  rubber is entrusted to Sogescol FR 
(equity accounted company). It trades  either  on the 
physical markets or directly with end customers.
The outstanding trade receivables are not significant.
31/12/2022 31/12/2021
EUR EUR
Trade receivables
3,141,096 2,304,055
Other receivables
28,426,554 20,904,232
Long-term advances
100,503,325 175,971,270
Total net receivables
132,070,975 199,179,557
Amount not yet due
132,070,975 199,179,557
Total net receivables
132,070,975 199,179,557


Graphics
Consolidated financial statements
102
|
ANNUAL REPORT 2022
|
Socfinasia


Note 35. Profit before interest, taxes, depreciation and amortisation
EBITDA
2022 2021
EUR EUR
Profit after tax (Group’s share)
47,948,844 57,414,177
Profit share of non-controlling interests
7,331,484 6,122,505
Income from associates
-10,844,143 -7,147,776
Dividends received from associates
7,126,982 3,383,509
Fair value of biological assets
-2,378,830 1,380,915
Depreciation, amortisation and provisions
38,054,928 11,304,028
Gains and losses on disposals of assets
344,053 1,540,235
Tax charge
29,389,546 21,306,905
Other financial income
-26,794,436 -8,059,609
Other financial income included in depreciation write-backs
0 233,171
Financial expenses
8,794,506 2,062,103
Financial expenses included in amortisation and provisions
-25,742 -362,741
Impact of lease restatement on EBITDA
-183,797 -153,217
TOTAL
98,763,395 89,024,205

Note 36. Contingent liabilities
1 Litigation against the Belgian Federal Public Service 
Finance (Corporate Tax)
The company SOCFICOM ("Socficom"), a public limited 
company  incorporated  under  Liechtenstein  law 
and  a  subsidiary  of  the  Group,  was  the  subject  of 
criminal  proceedings  initiated  by  the  Belgian  Public 
Prosecutor's Office.
The  main  accusation  against  Socficom  was  that  the 
Belgian  Public  Prosecutor's  Office  considered  that 
Socficom was a "Belgian resident company", subject to 
Belgian corporate income tax.
Socficom was acquitted, following a ruling by the 11
th
Chamber  of  the  Brussels  Court  of Appeal,  sitting  in 
correctional  matters,  dated  23
rd
October 2018. The
Court ruled  that  "it  is clear  from  all  these elements 
that the real seat of the defendant Socficom is indeed 
established  in  Liechtenstein  and  that  nothing  allows 
it to be located in  Brussels". The Public Prosecutor's 
Office did not appeal against this judgement and this 
decision is therefore final.
However, the Federal Public Service Finance, relying 
itself  exclusively  on  the  investigation  file  submitted 
by  the  Belgian  Public  Prosecutor's  Office  in  criminal 
matters, maintains that Socficom meets the conditions 
for it to be liable to corporate income tax in Belgium 
(the  Federal  Public  Service  Finance  considers  that 
Socficom  is  effectively  managed  from  Belgium  and 
that all its activities were carried out there). 
Socficom  was  therefore  automatically  assessed  with 
corporate income tax, on 4
th
 January 2012, for the tax 
years 2004 to 2009 for an amount of EUR 77,343,783
excluding late payment interest at an annual rate of 
7% reduced to 4% as from 1
st
 January 2018.
On 5
th
 April  2013,  Socficom  filed  a  tax  claim  against 
these  6  ex  officio  tax  assessments.  These  6  claims 
were declared admissible, but were rejected.
Socficom  filed  an  action  before  the  "Tribunal  de 
première instance francophone" of Brussels. 
The  "Tribunal  de  première  instance  francophone"  of 
Brussels, by judgement dated 26
th
 April 2019, declared 



Graphics
Consolidated financial statements
Socfinasia
|
ANNUAL REPORT 2022
|
103


the claim admissible and partially founded insofar as 
it ordered the partial relief of the disputed taxes.
Socficom considers that this decision, although partly 
favourable  to  the  argument  it  defended  before  the 
Court, is not satisfactory, given the acquittal decision 
referred to above.
The tax authorities want to tax  Socficom exclusively 
on the basis of the elements of the criminal file, as the 
tax file does not contain any "new claims" in relation to 
the criminal proceedings. The facts judged in the tax 
proceedings have already been decided by the Court 
of  Appeal  (correctional  chamber)  which  acquitted 
Socficom and the other defendants.
The Court could therefore not agree with the tax office 
on the  basis  of documents,  observations  or  findings, 
without taking  into  considerations  the judgement  of 
the Court of Appeal of 23
rd
 October 2018. The Brussels 
Tax Court has "re-heard" the criminal case ignoring the 
acquittal of the 11
th
 Chamber of the Brussels Court of 
Appeal.
Socficom has therefore decided to appeal against the 
tax judgement in order to request that the Court grants 
the request initially formulated by the company, i.e. 
to order the complete cancellation of the relief of the 
disputed taxes.
Tax  judgements  that  are  appealed  against  are  not 
enforceable until the Court has ruled on them. 
The amounts  initially  claimed by  the  tax  authorities 
from  Socficom  amounted  to  EUR  77,343,783, 
excluding interest (see above), from which it must be 
deducted the relief granted by the Court amounting 
to EUR 50,000,000.
The  company's  counsel  and  Group  management  are 
of  the  opinion  that  the  Court  of Appeal  should  fully 
cancel  these  taxes,  based  on  the  acquittal  decision 
of the Court of Appeal, Correctional Chamber, dated 
23
rd
 October 2018 which confirms: "that the real seat 
of  the  defendant  Socficom  is  indeed  established  in 
Liechtenstein and that there is no reason to locate it in 
Brussels". Based on these elements, the management 
is of the opinion that no provision should be recorded 
as the probability of an outflow of financial resources 
by the Group is low. The findings of the Court of Appeal 
are not expected before 2024.
2. Litigation against the Belgian Federal Public Service 
Finance (VAT)
As  described  above,  the  Federal  Public  Service 
Finance maintains that Socficom is a Belgian resident 
company.  The  tax  authorities  are  claiming  VAT  of 
EUR 3,054,160.15 for the years 2006, 2007, 2008 and 
2009, adding to this tax fines and interest at a rate of 
0.8% per month as from 20
th
 January 2010. 
The amounts claimed amount to EUR 10,310,844.61, 
split as follows:
-  EUR 3,054,160 for VAT 
-  EUR 1,148,364 in interest 
-  EUR 6,108,320 in fines 
-  plus interest for late payment to be calculated on 
the VAT due from 21
st
 December 2013.
Socficom contested this tax before the Brussels Court 
of First Instance.
The  Court  declared  the  claim  admissible  and 
partially  founded  insofar  as  it  cancelled  the  fines 
of  EUR  6,108,320  and  the  interest  charged  on  this 
amount.
Socficom  considers  that  this  decision,  although 
partially  favorable  to  the  case  it  defended  before 
the Court, is not satisfactory since it was granted the 
acquittal  following  the  judgement  rendered  by  the 
11
th
  Chamber  of  the  Brussels  Court  of Appeal  dated 
23
rd
October 2018.
In order to claim the disputed VAT from Socficom, the 
tax  authorities  based  themselves  exclusively  on  the 
criminal  file.  However,  the  Brussels  Court  could  not 
ignore  the  acquittal  decision  and  condemn  Socficom 
without taking into account the final and res judicata 
judgement of the Brussels Court of Appeal.
In  the  absence  of  new  elements  brought  by  the  tax 
authorities  and  having  an  impact  on  the  outcome 
of  the  trial,  the  decision  of  the  Court  of Appeal  of 
23
rd
  October  2018  could  not  be  challenged  and  is 
binding on the Court.
Socficom therefore decided to appeal the tax ruling in 
order to request that the Court to grant the request 
initially  made  by  the  company,  i.e.  to  order  a  tax 
relief for the disputed taxes.



Graphics
Consolidated financial statements
104
|
ANNUAL REPORT 2022
|
Socfinasia





The Company's counsel and the Group's management 
are of the opinion that the Court of Appeal should fully 
cancel  these  taxes,  based  on  the  acquittal  decision 
of the Court of Appeal, Correctional Chamber, dated 
23
rd
 October 2018, which confirms: "that the real seat 
of  the  defendant  Socficom  is  indeed  established  in 
Liechtenstein and that there is no reason to locate it 
in Brussels". Based on these elements, management is 
of the opinion that no provision should be recorded as 
the probability of an outflow of financial resources by 
the Group is low. The findings of the Court of Appeal 
are not expected before 2024.

Note 37. Political and economic environment
The Company holds interests in subsidiaries operating 
in South-East Asia.
Given the economic and political instability in some of 
these countries, these investments represent a risk in
terms of exposure to political and economic changes.
Note 38. Events after the closing date
Early final reimbursement of loan
As of 24
th
  February  2023  and  following  an  early 
prepayment of Socfin's debt to PNS Ltd, PNS Ltd itself 
repaid early the outstanding balance of its bank loan, 
amounting to USD 30,000,000.
Following this final repayment, PNS Ltd  bank  loan  is 
fully reimbursed, the share pledge and the securities 
have been waived.
Note 39. Auditor’s fees
2022 2021
EUR EUR
Audit (VAT included)
394,614 343,389
The audit fees include all fees paid to the independent 
statutory auditor of the Group namely EY as well as 
those paid to member firms within EY network for the 
relevant years. No consulting work or other non-audit 
services have been performed by this firm in 2022 or 
in 2021.


Graphics
Socfinasia
|
ANNUAL REPORT 2022
|
105
Portrait du Groupe
Company's management report
Presented by the Board of Directors
at the Annual General Meeting of 30
th
May 2023
Ladies and gentlemen,
We are pleased to present our annual report and to submit for your approval the annual accounts of our Company 
at 31
st
 December 2022.
Activities
Socfinasia S.A. holds financial interests in portfolio companies which operate directly or indirectly in South-East 
Asia in the rubber and palm oil sectors.
The result of the year
The profit and loss account for the year, compared to that of the previous year, is as follows:
(EUR million) 2022 2021
INCOME
Value adjustments in respect of financial assets
0.3 1.2
Income from participating interests 
Derived from affiliated undertakings
69.0 44.9
Other interest receivable and similar income
5.5 3.2
Total income
74.8 49.3
EXPENSES
Other external expenses
2.0 2.2
Interest payable and similar expenses
1.4 1.5
Income tax
0.7 0.6
Total expenses
4.1 4.3
PROFIT FOR THE FINANCIAL YEAR
70.7 45.0
At 31
st
  December  2022,  the  income  from  financial  fixed  assets  amounted  to  EUR  69  million  compared  to 
EUR 44.9 million in 2021. The increase is mainly due to increased revenues from Indonesia as well as interest on 
the advance granted to Socfin.
The profit of the year, after structural charges and costs, stood at EUR 70.7 million compared to EUR 45 million 
at 31
st
 December 2021.

Graphics
Company's management report
106
|
ANNUAL REPORT 2022
|
Socfinasia
Balance sheet
At 31
st
 December 2022, Socfinasia's total assets amounted to EUR 457.7 million compared to EUR 451.9 million 
in 2021.
Socfinasia's assets mainly consist of financial fixed assets of EUR 405.7 million, receivables and cash at Bank of 
EUR 52 million.
Shareholders’ equity, before allocation of the remaining dividend, amounts to EUR 452.1 million.
Portfolio
Movements
During the year, the liquidation of Sodimex was completed. In addition, Socfinasia sold 5% of its investment in 
Management Associates to Socfin.
Valuation
During the 2022 financial year, Socfinasia recognised a write-down reversal on Sodimex for EUR 0.3 million.
Unrealised  capital  gains  on  the  portfolio  of  participating  interests  are  estimated  at  EUR  101.9  million  at 
31
st
 December 2022 compared with EUR 88.3 million at the end of the previous year.
Investments
The main investments have evolved as follows during the period:
PT Socfindo (Indonesia)
90% subsidiary of PNS Ltd which itself is 100% owned by Socfinasia.
Area (ha) as at 31/12/2022 Planted area
Mature Immature Total
Rubber
5,676 927 6,603
Palm
35,050 4,229 39,279
Total
40,726 5,156 45,882
Key figures Realised 2022 Realised 2021 Difference (%)
Production (tons)
Rubber
6,896 8,547 -19.3
Palm oil
179,516 180,584 -0.6
Turnover (EUR 000)
Rubber
14,140 12,763 +10.8
Palm tree
170,656 140,898 +21.1
Seeds
7,426 5,304 +40.0
Total
192,222 158,965 +20.9
Result (EUR 000)
71,863 61,951 +16.0

Graphics
Company's management report
Socfinasia
|
ANNUAL REPORT 2022
|
107
Socfin-KCD Co Ltd (Cambodia) – 100% owned subsidiary 
of Socfinasia and
Coviphama Co Ltd (Cambodia) - 100% owned subsidiary 
of PNS Ltd, which itself is 100% owned by Socfinasia.
The  production  of  rubber  processed  by  Socfin  KCD 
during the year 2022 is down by 2% due to difficulties 
in  recruiting  and  maintaining  the  workforce  for 
tapping operations. However, turnover is up 3% due to 
3% higher selling price. The net result is nevertheless 
down due to a less favourable unit margin and a non-
recurring depreciation on unusable surfaces.
At Coviphama, raw rubber production is down for the 
same  reasons  as  mentioned  above.  Turnover  is  also 
48% lower compared to 2021 due to lower volume and 
lower selling price. The result shows a loss.
Allocation of profit
The  profit  for  the  year  of  EUR  70,684,907  increased  by  retained  earnings  of  EUR  234,841,827,  give  a  total 
earnings of EUR 305,526,734 which it is proposed to allocate as follows:
Earnings allocation EUR
Retained earnings
229,326,834
From the balance: 
10% to the Board of Directors
7,619,990
90% to 19,594,260 shares
68,579,910
  representing EUR 3.50 per share
  of which EUR 2.00 already paid at the end of 2022
305,526,734
As a reminder, the dividend relating to previous year was EUR 1.40.
After this allocation of earnings, the reserves  will be as follows:
Reserves EUR
Legal reserve
2,449,282
Statutory reserve
125,993,370
Other reserves
30,070,910
Other available reserves
7,153,910
Retained earnings
229,326,834
394,994,306
If this distribution is approved, Coupon No. 84 of EUR 1.50 will be declared on 6
th
 June 2023 and payable as from 
8
th
 June 2023.

Graphics
Company's management report
108
|
ANNUAL REPORT 2022
|
Socfinasia
Own shares
During the year 2022, the Company did not buy back any of its shares.
Research and development
During the year 2022, Socfinasia did not incur any expenses relating to research and development.
Financial instruments
Socfinasia's  treasury  holds  USD  40  million  in  its  position  at  31
st
  December  2022. The  purpose  of  holding  this 
currency is to cover dollar related investments and expenses.
Financial risk management policies are described in the notes to the Company's consolidated financial statements.
Branch
The Company has a permanent establishment in Fribourg (CH).
Mentions required by Art. 11 (1) points a) to k) of the law of 19
th
May 2006
concerning Public Takeover Bids
a) b) and f) The issued share capital of the Company 
is  set  at  EUR  24,492,825  represented  by
19,594,260 shares without par value, fully paid 
up. Each  share  entitles  the  holder  to  one  vote 
without limitation or restriction.
c)  On 1
st
  February  2017,  Socfin  declared  that  it 
holds 57.79% direct stake in Socfinasia.
On 22
nd
  October  2018,  Bolloré  Participations 
declared that it holds a direct and indirect stake 
of  22.255%  in  Socfinasia,  of  which  17.138%  via 
Bolloré and 5.116% via Compagnie du Cambodge.
h)  Art.  13.  of  the  statutes:  “The  Company  is 
administered  by  a  Board  composed  of  at  least 
three  members,  whether  natural  or  legal 
persons.
  The Directors are appointed for a period of six 
years  by  the  General  Meeting  of  Shareholders. 
They are eligible for re-election.
  The Directors are renewed by lottery, so that at 
least one Director will be leaving each year “.
Art.  22.  of  the  statutes:  “In the event of
vacancy of one or more director’s seat, it may
be provisionally replaced by complying with the
formalities provided for by law.”
Art.  31.  of  the  statutes:  “The present Articles
of association can be modified by decision of
the General Meeting specially convened for this
purpose, in the forms and conditions prescribed
by articles 450-1 and 450-8 of the law of
10
th
August 1915 on the commercial companies,
as amended.”
i)  The  powers  of  the  members  of  the  Board  of 
Directors  are  defined  in  Art.  17  and  seq.  of 
the  statutes  of  the  Company.  They  provide  in 
particular that: “The Board of Directors is vested
with the broadest powers for the administration
of the Company. All matters not expressly

Graphics
Company's management report
Socfinasia
|
ANNUAL REPORT 2022
|
109
reserved to the General Meeting by the statutes
or the law fall within the competence of the
Board.”
In  addition,  the  Articles  provide  in  Art.  6:  “In
the event of a capital increase, the Board of
Directors shall determine the conditions of issue
of the shares.
The new shares to be paid up in cash shall
be offiered in preference to the current
shareholders, in accordance with the law.
In the event of the issue of shares by
contribution in cash or in the event of the issue
of instruments which fall within the scope
of application of article 420-27 of the law
on companies and which are paid for in cash,
including and in a non-exhaustive manner,
convertible bonds allowing their holder to
subscribe to shares or to be allocated shares,
shareholders have preferential subscription
rights in proportion to their participation with
regard to all these issues in accordance with the
provisions of company law.
The General Meeting called to deliberate, under
the conditions required for the amendment of
the Articles of Association, on the increase in the
share capital or on the authorisation to increase
the capital in accordance with Article 420-23
of the law of commercial companies, may limit
or cancel the preferential subscription right or
authorise the Board to do so in the manner and
under the conditions provided for by law.”
The  other  points  of  Art.  11  (1)  are  not  applicable,
namely:
• holding of shares giving special control rights;
• the existence of a staff shareholding system;
• shareholder  agreements  that  may  result  in 
restrictions on the transfer of securities or voting 
rights;
• the  agreements  to  which  the  Company  is  party, 
and which take effect are modified or terminated 
in the event of a change of control of the Company 
following a takeover bid;
• the  indemnities  provided  in  the  event  of  the 
resignation or dismissal of members of the Board 
of Directors or staff following a takeover bid.
Corporate responsibility policy
The  responsible  management  policy  is  based  on 
the  Group's  three  pillars  of  commitment,  alongside 
its  specific  commitment  to  transparency:  rural 
development,  workers  and  local  communities,  and 
environment. These commitments form the basis of
key initiatives aimed at improving long-term economic 
performance,  social  well-being,  health,  safety  and 
natural resource management.
An  implementation  plan  for  this  policy  has  been 
defined and implemented throughout 2022.
The  efforts  and  actions  undertaken  by  the  Socfin 
Group in this area are detailed in a regularly updated 
dashboard  as  well  as  in  a  separate  annual  report 
(“Sustainable Development Report”).
The  responsible  management  policy,  the  dashboard 
and  the  annual  sustainable  development  report  are 
available on the Group's website.
Estimated value of the share (company accounts)
The  estimated  value  of  Socfinasia  at  31
st
  December 
2022  before  allocation  of  the  result  and  after  the 
interim  dividend  payment  for  the  financial  year 
amounts  to  EUR  554.1  million,  that  is  EUR  28.28 
per share  compared  to  EUR  27.31  at  the  end  of the 
previous  financial  year.  This  valuation  incorporates 
the unrealised capital gains of the portfolio.
As a reminder, the share price at 31
st
 December 2022 
was EUR 14.80 compared to EUR 14.30 a year earlier.

Graphics
Company's management report
110
|
ANNUAL REPORT 2022
|
Socfinasia
Significant events after the end of the year
At 31
st
 December 2022 and 2021, the Company had no significant off-balance sheet commitments.
Main risks and uncertainties
It  must  be  emphasised  that  the  Group's  investments 
in  South-East  Asia  may  be  subject  to  political  and 
economic  risks.  On-site  executives  and  managers 
follow the day-to-day evolution of the situation.
In addition, the Company may be exposed to foreign 
exchange risks on long-term advances to subsidiaries. 
The assessment of this risk is described in the notes to 
the Company's statutory financial statements.
Perspectives
The result for the 2023 financial year will depend to a large extent on the dividend distributions of the subsidiaries.
Statutory appointments
Mr.  Vincent  Bolloré,  outgoing  director,  is  eligible 
for  re-election.  The  Board  will  propose  to  the  next 
General Meeting the renewal of this term of office for 
a period of six years. 
The Board of Directors

Graphics
Socfinasia
|
ANNUAL REPORT 2022
|
111
Report on the audit of the financial statements
To the Shareholders
SOCFINASIA S.A.
  4, Avenue Guillaume
  L-1650 Luxembourg
REPORT ON THE AUDIT OF THE FINANCIAL STATEMENTS
Opinion
We have audited the financial statements of Socfinasia 
S.A.  (the  “Company”),  which  comprise  the  balance 
sheet as at 31
st
  December  2022,  and  the  profit  and 
loss account for the year then ended, and the notes 
to  the  financial  statements,  including  a  summary  of 
significant accounting policies. 
In our opinion, the accompanying financial statements 
give a true and fair view of the financial position of the 
Company as at 31
st
 December 2022, and of the results 
of its operations for the year then ended in accordance 
with  Luxembourg  legal  and  regulatory  requirements 
relating  to  the  preparation  and  presentation  of  the 
financial statements.
Basis for opinion
We  conducted  our  audit  in  accordance  with  EU 
Regulation  N°  537/2014,  the  Law  of  23
rd
  July  2016 
on the audit profession (the “Law of 23
rd
 July 2016”) 
and with International Standards on Auditing (“ISAs”) 
as  adopted  for  Luxembourg  by  the  “Commission  de 
Surveillance  du  Secteur  Financier”  (“CSSF”).  Our 
responsibilities under the EU Regulation Nº 537/2014, 
the Law of 23
rd
 July 2016 and ISAs are further described 
in the “Responsibilities of the “réviseur d’entreprises 
agréé”  for  the  audit  of  the  financial  statements” 
section  of  our  report.  We  are  also  independent  of 
the  Company  in  accordance  with  the  International 
Ethics  Standards  Board  for  Accountants’  Code  of 
Ethics for Professional Accountants (“IESBA Code”) as 
adopted  for  Luxembourg  by  the  CSSF  together  with 
the  ethical  requirements  that  are  relevant  to  our 
audit  of  the  financial  statements,  and  have  fulfilled 
our other ethical responsibilities under those ethical 
requirements. 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  financial  statements  of  the  current 
period. These matters were addressed in the context 
of the  audit  of  the  financial  statements  as  a  whole, 
and  in  forming  our  opinion  thereon,  and  we  do  not 
provide a separate opinion on these matters.
Valuation of shares in aliated undertakings
Risk identified
As at 31
st
  December  2022,  the  shares  in  affiliated 
undertakings  amounts  to  290  million  euros  and 
represents  63%  of  the  total  assets  of  the  balance 
sheet. Shares in affiliated undertakings are valued at 
historical acquisition cost, respectively their nominal 
value, which includes incidental expenses. In the case 
of  durable  depreciation  in  value  according  to  the 
opinion of the Board of Directors, value adjustments 
are made in respect of financial fixed assets, so that 
they are valued at  the  lower figure to be attributed 
to  them  at  the  balance  sheet  date.  These  value 
adjustments  are  not  continued  if  the  reasons  for 
which the value adjustments were made have ceased 
to apply. In the event of an impairment that, in the 
opinion  of  the  Board  of  Directors,  is  of  a  lasting 
nature,  these  financial  assets  are  subject  to  value 
adjustments  in  order  to  give  them  the  lower  value 
that  should  be  attributed  to  them  on  the  balance 
sheet date, as determined by the Board of Directors.
The assessment of the durable  depreciation in value 
of these shares in affiliated undertakings requires the 
exercise  of  the  Board  of  Directors'  judgement  in  its 
choice  of  the  elements  to  be  considered  according 
to  the  shares  in  affiliated  undertakings,  whether 
market elements (shares price when applicable) and/
or  historical  elements  (adjusted  net  equity)  and/or 
forecast  elements  (discounted  future  cash  flows  to 
shareholders).  

Graphics
Report on the audit of the financial statements
112
|
ANNUAL REPORT 2022
|
Socfinasia
Due to the size of the balance and judgement included, 
we considered this area to be a key audit matter.
Our answer
Our  audit  procedures  over  the  impairment  of  the 
shares  in  affiliated  undertakings  and  of  the  loans  to 
affiliated undertakings included amongst other :
•  Assessing  the  accounting  policies  determined  by 
the Board of  Directors, as described in the note  2 
of  the  financial  statements,  to  determine  the 
value adjustments to be recorded on shares in the 
affiliated undertakings; 
•  Ensuring  that  the  accounting  policies  used  by  the 
Board of Directors were properly applied:
-  when  the  Board  of  Directors  relied  on  market 
data,  we  reconciled  the  share  prices  as  at 
31
st
  December  2022  used  for  the  valuation  of 
shares  in  affiliated  undertakings  to  the  official 
stock markets quotations;
-  when the Board of Directors relied on historical 
data,  we  reconciled  the  adjusted  net  equity 
used in the valuation of the shares in affiliated 
undertakings  as  at  31
st
  December  2022  to  the 
financial  information  of  the  related  affiliated 
undertakings and  assessed  the appropriateness 
of  evidence  supporting  the  adjustments  made 
to the net equity, if any.
•  Assessing  the  appropriateness  of  the  disclosures 
made in the Note 3 of the financial statements.
Other information
The  Board  of  Directors  is  responsible  for  the  other 
information. The other information comprises the
information  included  in  the  annual  report  including 
the management report and the corporate governance 
statement  but  does  not  include  the  financial 
statements and our report of “réviseur d’entreprises 
agréé” thereon.
Our opinion on the financial statements does not cover 
the other information and we do not express any form 
of assurance conclusion thereon.
In connection with our audit of the financial statements, 
our responsibility is to read the other information and, 
in doing so, consider whether the other information is 
materially inconsistent with the financial statements 
or our knowledge obtained in the audit or otherwise 
appears to be materially misstated. If, based on the 
work we have performed, we conclude that there is a 
material misstatement of  this other information, we 
are required to report this fact. We have nothing to 
report in this regard.
Responsibilities of the Board of Directors and those
in charge of governance for the financial statements
The  Board  of  Directors  is  responsible  for  the 
preparation  and  fair  presentation  of  the  financial 
statements in accordance with Luxembourg legal and 
regulatory  requirements  relating  to  the  preparation 
and  presentation  of  the  financial  statements,  and 
for  such  internal  control  as  the  Board  of  Directors 
determines  is  necessary  to  enable  the  preparation 
of  financial  statements  that  are  free  from  material 
misstatement, whether due to fraud or error.
The  Board  of  Directors  is  also  responsible  for 
presenting the financial statements in compliance with 
the requirements set out in the Delegated Regulation 
2019/815  on  European  Single  Electronic  Format,  as 
amended (“ESEF Regulation”).
In  preparing  the  financial  statements,  the  Board  of 
Directors  is  responsible  for  assessing  the  Company’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 Board 
of Directors either intends to liquidate the Company  
or to cease operations, or has no realistic alternative 
but to do so. 
Responsibilities of the “réviseur d’entreprises
agréé” for the audit of the financial statements
The objectives of our audit are to obtain reasonable 
assurance  about  whether  the  financial  statements 
as  a  whole  are  free  from  material  misstatement, 
whether due to fraud or error,  and to issue a report 
of  the  “réviseur  d’entreprises  agréé”  that  includes 
our  opinion.  Reasonable  assurance  is  a  high  level 
of  assurance,  but  is  not  a  guarantee  that  an  audit 
conducted  in  accordance  with  EU  Regulation 
N°  537/2014,  the  Law  of  23
rd
  July  2016  and  with 
the  ISAs  as  adopted  for  Luxembourg  by  the  CSSF 
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 

Graphics
Report on the audit of the financial statements
Socfinasia
|
ANNUAL REPORT 2022
|
113
influence the economic decisions of users taken on the 
basis of these financial statements.
As part of an audit in accordance with EU Regulation 
N° 537/2014, the Law of 23
rd
 July 2016 and with ISAs 
as adopted for Luxembourg by the CSSF, we exercise 
professional  judgment  and  maintain  professional 
skepticism throughout the audit. We also: 
•  Identify  and  assess  the  risks  of  material 
misstatement of the financial statements, whether 
due  to  fraud  or  error,  design  and  perform  audit 
procedures  responsive  to  those  risks,  and  obtain 
audit  evidence  that  is  sufficient  and  appropriate 
to provide a basis for our opinion. The  risk  of  not 
detecting  a  material  misstatement  resulting  from 
fraud  is  higher  than  for  one  resulting  from  error, 
as fraud may involve collusion, forgery, intentional 
omissions,  misrepresentations,  or  the  override  of 
internal control. 
•  Obtain an understanding of internal control relevant 
to  the  audit  in  order  to  design  audit  procedures 
that are appropriate in the circumstances, but not
for  the  purpose  of  expressing  an  opinion  on  the 
effectiveness of the Company’s internal control. 
•  Evaluate  the  appropriateness  of  accounting 
policies used and the reasonableness of accounting 
estimates  and  related  disclosures  made  by  the 
Board of Directors. 
•  Conclude  on  the  appropriateness  of  Board  of 
Directors’  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  ability  to 
continue  as  a  going  concern.  If  we  conclude  that 
a  material  uncertainty  exists,  we  are  required 
to  draw  attention  in  our  report  of  the  “réviseur 
d’entreprises  agréé”  to  the  related  disclosures  in 
the financial statements or, if such disclosures are 
inadequate, to modify our opinion. Our conclusions 
are based on the audit evidence obtained up to the 
date  of  our  report  of  the  “réviseur  d’entreprises 
agréé”.  However,  future  events  or  conditions  may 
cause the Company to cease to continue as a going 
concern.
•  Evaluate  the  overall  presentation,  structure  and 
content  of  the  financial  statements,  including  the 
disclosures,  and  whether  the  financial  statements 
represent the underlying transactions and events in 
a manner that achieves fair presentation.
•  Assess whether the financial statements have been 
prepared,  in  all  material  respects,  in  compliance 
with  the  requirements  laid  down  in  the  ESEF 
Regulation.
We communicate with those charged with governance 
regarding,  among  other  matters,  the  planned  scope 
and timing of the audit and significant audit findings, 
including  any  significant  deficiencies  in  internal 
control that we identify during our audit. 
We also provide those charged with governance with 
a  statement  that  we  have  complied  with  relevant 
ethical  requirements  regarding  independence,  and 
communicate  to  them  all  relationships  and  other 
matters  that  may  reasonably  be  thought  to  bear  on 
our  independence,  and  where  applicable,  related 
safeguards.
From the matters communicated with those charged 
with  governance,  we  determine  those  matters  that 
were of most significance in the audit of the financial 
statements  of  the  current  period  and  are  therefore 
the key audit matters. We describe these matters in 
our  report  unless  law  or  regulation  precludes  public 
disclosure about the matter.
Report on other legal and regulatory requirements
We  have  been  appointed  as  “réviseur  d’entreprises 
agréé” by the General Meeting of the Shareholders on 
26
th
 May 2020  and the duration of our  uninterrupted 
engagement,  including  previous  renewals  and 
reappointments, is 3 years.
The management report is consistent with the financial 
statements and has been prepared in accordance with 
applicable legal requirements. 
The  accompanying  corporate  governance  statement 
on  pages  27  to  33  is  the  responsibility  of  the  Board 
of  Directors.  The  information  required  by  article 
68ter  paragraph  (1)  letters  c)  and  d)  of  the  law  of 
19
th
 December 2002 on the commercial and companies 
register  and  on  the  accounting  records  and  annual 
accounts  of  undertakings,  as  amended,  is  consistent 

Graphics
Report on the audit of the financial statements
114
|
ANNUAL REPORT 2022
|
Socfinasia
withthefinancialstatementsandhasbeenprepared
inaccordancewithapplicablelegalrequirements.
We have checked the compliance of the financial
statements of the Company as at 31
st
December2022
with relevant statutory requirements set out in the
ESEF Regulation that are applicable to the financial
statements.FortheCompany,itrelatesto:
• Financial statements prepared in valid xHTML
format
In our opinion, the financial statements of the
Company as at 31
st
December 2022, have been
prepared,inallmaterialrespects,incompliancewith
therequirementslaiddownintheESEFRegulation.
We confirmthat the auditopinion isconsistentwith
the additional report to the audit committee or
equivalent.
We confirm that the prohibited non-audit services
referred to in EU Regulation No 537/2014 were not
provided and that we remained independent of the
Companyinconductingtheaudit.
Ernst&Young
Société anonyme
Cabinetderévisionagréé
Anthony CANNELLA
Luxembourg

Graphics
Socfinasia
|
ANNUAL REPORT 2022
|
115
Portrait du Groupe
Company financial statements
1. Balance sheet at 31
st
December 2022
2022 2021
ASSETS
Note EUR EUR
FIXED ASSETS
Financial assets
3
Shares in affiliated undertakings
289,622,628.31 289,824,828.31
Loans to affiliated undertakings
116,045,211.05 120,642,097.14
405,667,839.36 410,466,925.45
CURRENT ASSETS
Debtors
Amounts owed by affiliated undertakings
Becoming due and payable within one year
4 12,794,759.27 13,792,713.29
Other debtors
Becoming due and payable within one year
1,553,016.15 1,036,267.85
Shares in affiliated undertakings 
0.00 20.00
14,347,775.42 14,829,001.14
Cash at bank and in hand
37,681,058.52 26,595,021.45
52,028,833.94 41,424,022.59
TOTAL ASSETS
457,696,673.30 451,890,948.04
The accompanying notes form an integral part of the financial statements.

Graphics
Company financial statements
116
|
ANNUAL REPORT 2022
|
Socfinasia
2022 2021
CAPITAL, RESERVES AND LIABILITIES Note EUR EUR
CAPITAL AND RESERVES 5
Issued capital
24,492,825.00 24,492,825.00
Reserves
Legal reserve
2,449,282.50 2,449,282.50
Reserves provided for by the articles of association
125,993,370.46 125,993,370.46
Other reserves, including the fair value reserve
Other available reserves
37,224,819.43 37,224,819.43
165,667,472.39 165,667,472.39
Profit brought forward
234,841,827.35 220,321,607.44
Profit for the financial year
70,684,906.52 45,000,179.91
Interim dividends
-43,542,800.00 -8,708,560.00
452,144,231.26 446,773,524.74
CREDITORS
Amounts owed to credit institutions
Becoming due and payable within one year
9.04 22.00
Trade creditors
Becoming due and payable within one year
226,872.44 100,786.30
Amounts owed to affiliated undertakings
Becoming due and payable within one year
1,872.00 342,496.74
Other creditors
Tax authorities
1,852,680.00 1,199,020.00
Other creditors
Becoming due and payable within one year
6 3,471,008.56 3,475,098.26
5,552,442.04 5,117,423.30
TOTAL CAPITAL, RESERVES AND LIABILITIES
457,696,673.30 451,890,948.04
The accompanying notes form an integral part of the financial statements.

Graphics
Company financial statements
Socfinasia
|
ANNUAL REPORT 2022
|
117
2. Profit and loss account for the year ended 31
st
December 2022
2022 2021
Note EUR EUR
Other operating income
175,99 0,00
Raw materials and consumables and other external expenses
Other external expenses 
-1,922,242.44 -1,910,960.28
Other operating expenses
-107,709.95 -284,849.19
Income from participating interests
Derived from affiliated undertakings
7 65,053,599.02 44,327,679.58
Income from other investments and loans
forming part of the fixed assets
Derived from affiliated undertakings
8 3,972,222.23 583,333.33
Other interest receivable and other similar income
Derived from affiliated undertakings
5,183,952.87 3,139,177.65
Other interests and financial income
264,535.28 87,550.47
Value adjustments in respect of financial assets and of
investments held as current assets
347,589.84 1,210,073.30
Interest payable and similar expenses
Derived from affiliated undertakings
-492,636.07 -1,504,833.39
Other interest and similar charges
-883,552.26 -889.78
Tax on profit
-80,175.06 1,898.22
Profit after taxation
71,335,759.45 45,648,179.91
Other taxes not shown above
-650,852.93 -648,000.00
Profit for the financial year
70,684,906.52 45,000,179.91

Graphics
Company financial statements
118
|
ANNUAL REPORT 2022
|
Socfinasia
Proposed distribution of profits
2022 2021
EUR EUR
Retained earnings
229,326,833.87 234,841,827.35
From the balance: 
10% to the Board of Directors
7,619,990.00 3,047,996.00
90% to 19,594,260 shares
68,579,910.00 27,431,964.00
305,526,733.87 265,321,787.35
Dividend per share
3.50 1.40
The accompanying notes form an integral part of the financial statements.

Graphics
Company financial statements
Socfinasia
|
ANNUAL REPORT 2022
|
119
3. Notes to the financial statements for the year 2022
Note 1. Overview
SOCFINASIA,  (the  “Company’’)  was  incorporated  on 
20
th
 November 1972 as a public limited company and 
adopted the status of "Soparfi" on 10
th
 January 2011.
The  duration  of  the  company  is  unlimited,  and  its 
registered  office  is  established  in  Luxembourg.  The 
company  is  registered  in  the  Register  of  Commerce 
and  Companies  under  number  B10534,  and  is  listed 
on the Luxembourg Stock Exchange under ISIN number 
LU0092047413.
The  object  of  the  company  is  (i)  the  acquisition, 
holding and disposal, in any form whatsoever and by 
any  means,  directly  or  indirectly,  of  participations, 
rights and interests, as well as bonds of Luxembourg or 
foreign companies, (ii) the acquisition by contribution, 
purchase,  subscription  or  otherwise,  as  well  as  the 
disposal  by  sale,  transfer,  exchange  or  otherwise, 
of  shares,  interests,  bonds,  debts,  notes  and  other 
securities  or  financial  instruments  of  any  kind  (in 
particular  bonds  or  shares  issued  by  Luxembourg  or 
foreign  collective  investment  funds  or  any  other 
similar body), loans or any other credit line, as well 
as  contracts  relating  thereto  and  (iii)  the  holding, 
administration,  development  and  management  of 
a  portfolio  of  assets  (composed  in  particular  of  the 
assets described in points (i) and (ii) above).
The  company  may  also  acquire  and  develop  any 
patents and other rights relating to or supplementing 
those patents.
The company may borrow in any form whatsoever. It
may enter into any kind of loan agreement and may 
issue  debt  securities,  bonds,  certificates,  shares, 
profit shares, warrants and all kinds of debt and equity 
securities, including by virtue of one or several issue 
programmes. The company may lend funds, including 
those  resulting  from  borrowings  and/or  securities 
issues,  to  its  subsidiaries,  affiliates  and  any  other 
company.
Although the company is included in the consolidated 
financial  statements  of  Société  Financière  des 
Caoutchoucs,  abbreviated  as  "Socfin",  which  is  the 
largest entity  in which the company is consolidated, 
the  Company  also  prepares  consolidated  financial 
statements  which  are  published  in  accordance  with 
the  law  and  which  are  available  at  the  company's 
registered  office  (4,  avenue  Guillaume,  L-1650 
Luxembourg) or on the Internet site: www.socfin.com.
The financial year begins on 1
st
 January and ends on 
31
st
 December.
Note 2. Accounting principles, rules and methods
General principles
The  annual  financial  statements  are  prepared  in 
accordance  with  Luxembourg  legal  and  regulatory 
requirements  in  force  in  Luxembourg  under  the 
historical cost convention.
The  accounting  policies  and  valuation  principles 
are,  apart  from  the  rules  imposed  by  the  law  of 
19
th
 December 2002, determined and implemented by 
the Board of Directors.
The  preparation  of  the  annual  financial  statements 
involves  the  use  of  a  number  of  critical  accounting 
estimates.  It  also  requires  the  Board  of  Directors 
to  exercise  its  judgement  in  the  application  of 
accounting principles. Any change in assumptions may 
have a significant impact on the financial statements 
for the period in which the assumptions are changed. 
The  Board  of  Directors  believes  that  the  underlying 
assumptions  are  appropriate  and  that  the  financial 
statements give a true and fair view of the financial 
position and results of the Company.
Currency conversion
The Company keeps its accounts in euros (EUR); the 
annual accounts are expressed in the same currency.
Transactions  in  a  currency  other  than  the  balance 
sheet currency are converted into the balance sheet 

Graphics
Company financial statements
120
|
ANNUAL REPORT 2022
|
Socfinasia
currency  at  the  exchange  rate  prevailing  on  the  date  of  the 
transaction.
At the balance sheet date:
-  the  acquisition  price  of  the  financial  assets,  expressed  in  a 
currency other than the currency of the balance sheet, remain 
converted at the historical exchange rate, with the exception of 
the current portion of receivables, which is valued individually 
at  the  lower  of  their  historical  exchange  rate  value  or  their 
value determined on the basis of the exchange rate prevailing 
at the balance sheet date;
-  bank accounts expressed in a currency other than the currency 
of the balance sheet are valued on the basis of the exchange 
rate  prevailing  on  the  balance  sheet  date.  Foreign  exchange 
gains and losses are recognised in the current period;
-  all  other  assets,  expressed  in  a  currency  other  than  the 
currency of the balance sheet, are valued individually at the 
lower  of  their  value  at  the  historical  exchange  rate  or  their 
value determined on the basis of the exchange rate prevailing 
at the balance sheet date;
-  all  liability  items,  expressed  in  a  currency  other  than  the 
currency of the balance sheet, are valued individually at the 
highest of their value at the historical exchange rate or their 
value determined on the basis of the exchange rate prevailing 
on the balance sheet date.
Realised foreign exchange gains and losses and unrealised losses 
are recognised in the profit and loss account. Unrealised foreign 
exchange gains are not recognised.
If there is an economic link between two transactions, unrealised 
exchange  differences  are  recognised  at  the  corresponding 
unrealised exchange loss.
Valuation of financial assets
Shares in affiliated undertakings are valued at  acquisition  cost, 
which  includes  incidental  expenses.  Receivables  from  affiliated 
companies  are  valued  at  their  nominal  value,  which  includes 
incidental expenses.
In the event of an impairment that, in the opinion of the Board 
of Directors, is of a lasting nature, these financial fixed assets are 
subject to value adjustments in order to give them the lower value 
that should be attributed to them on the balance sheet date, as 
determined by the Board of Directors. In order to determine the 
value adjustments that are permanent at the balance sheet date, 
the Board of Directors carries out the following analyses for each 
investment on an individual basis:
1/  For  investments  listed  on  public  markets,  the  Board  of 
Directors  compares  the  net  book  value  of  the  investment  with 
its shares in the market based on the stock market price at the 
closing date. When the market value is greater than or equal to 
the net book value, the Board of Directors considers that no value 
adjustment needs to be recorded at the closing date. However, 
when  the  market  value  is  lower  than  the  net  book  value,  the 
Board of Directors tests the net book value against the share in 
the revalued net assets of the investment.
2/ If the net book value exceeds the market value or the equity 
value for unlisted investments, the Board of Directors compares 
the net book value with the share held in the revalued net assets 
as well as in the consolidated net assets (i.e. equity attributable 
to  owners  of  the  parent  company)  if  the  subsidiary  prepares 
consolidated accounts.
If one of these  values  is  greater  than or equal to the net book 
value of the investment, no value adjustment is recognised.
3/ When both values are  lower  than  the net book value of the 
investment:
-  for  support  companies  (other  than  plantations  or  industrial 
companies),  the  Board  of  Directors  records  the  value 
adjustment resulting from the smaller difference between the 
net  book  value  of  the  investment  and  the  share  held  in  the 
revalued net assets or in the consolidated net assets;
-  for  investments  in  plantations  or  industrial  companies,  the 
Board  of  Directors  makes  a  value  adjustment  to  bring  the 
carrying value at the enterprise value calculated on the basis of 
the discounted future cash flows available to the shareholders, 
which take into account the foreseeable development of the 
business of the investments under test.
However,  the  Board  of  Directors  may  take  other  factors  into 
consideration and, in particular, in view of the very long period 
of  immaturity  of  young  plantation,  it  considers  that  the  value 
adjustment is not permanent for a plantation where more than 
half of the planted area is not being used.
Loans to affiliated companies are subject to a value adjustment 
in the event that the net book value test by discounting future 
cash flows to shareholders does not support the full repayment 
of the receivable.
These  value  adjustments  are  not  maintained  when  the  reasons 
for which they were established have ceased to exist.

Graphics
Company financial statements
Socfinasia
|
ANNUAL REPORT 2022
|
121
Receivables
Receivables are recorded at their nominal value. They are subject 
to value adjustments when their recovery is compromised. These 
value adjustments are not continued if the reason for which the 
value adjustments were made have ceased to apply.
Securities
Securities are  valued  at  the  lower  of  cost, including  incidental 
costs or market value. A value adjustment is recorded when the 
market price is lower than the purchase price. Value adjustments 
are  not  maintained  if  the  reasons  for  their  negotiations  have 
ceased to exist.
Liabilities
Debts  are  recorded  at  their  reimbursement  value.  When  the 
amount to be repaid on the debts exceeds the amount received, 
the difference is recorded to the profit and loss account.
Russia – Ukraine conflict
In February 2022, a number of countries (including the US, UK and 
EU) imposed sanctions against certain entities and individuals in 
Russia as a result of the official recognition of the Donetsk People 
Republic and Lugansk People Republic by the Russian Federation. 
Announcements  of  potential  additional  sanctions  have  been 
made following military operations initiated by Russia against the 
Ukraine on 24
th
February 2022.
Due to the geopolitical tensions since February 2022, there has 
been  a  significant  increase  in  volatility  on  the  securities  and 
currency  markets,  as  well  as  a  significant  depreciation  of  the 
ruble against the US dollar and the euro.
Although neither the company’s performance and going concern 
nor  operations,  have  been  significantly  impacted  by  the  above 
during  2022,  the  Board  of  Directors  continues  to  monitor  the 
evolving  situation  and  its  impact  on  the  financial  position  and 
results of the company.
Note 3. Financial fixed assets
Shares in
affiliated undertakings
Loans to
affiliated undertakings Total
2022 2021 2022 2021 2022 2021
EUR EUR EUR EUR EUR EUR
Acquisition cost/nominal value
at the beginning of the year
291,418,270.12 294,576,661.97 120,642,097.14 22,765,600.07 412,060,367.26 317,342,262.04
Increases
0.00 11.55 0.00 100,000,000.00 0.00 100,000,011.55
Decreases
-549,789.84 -3,158,403.40
-4,596,886.09
-2,123,502.93
-5,146,675.93
-5,281,906.33
Acquisition cost/nominal value
at the end of the year
290,868,480.28 291,418,270.12 116,045,211.05 120,642,097.14 406,913,691.33 412,060,367.26
Value adjustments
at the beginning of the year
-1,593,441.81 -2,803,515.11 0.00 0.00 -1,593,441.81 -2,803,515.11
Impairment
0.00 0.00 0.00 0.00 0.00 0.00
Reversal
347,589.84 1,210,073.30 0.00 0.00 347,589.84 1,210,073.30
Value adjustments
at the end of the year
-1,245,851.97 -1,593,441.81 0.00 0.00 -1,245,851.97 -1,593,441.81
Net book value
at the end of the year
289,622,628.31 289,824,828.31 116,045,211.05 120,642,097.14 405,667,839.36 410,466,925.45

Graphics
Company financial statements
122
|
ANNUAL REPORT 2022
|
Socfinasia
Note 3. Financial fixed assets (continued)
Information on companies in which the Company holds at least 20% of the capital
Name Country % held
NET BOOK
VALUE EUR Year end
Currencies
of the
annual
accounts
Net equity at
31/12/2022 in
foreign currency
(including net
income) (*)
Net result at
31/12/2022
in foreign
currencies (*)
Induservices Luxembourg 35.00 35,000 31.12.2022 EUR 327,636 88,113
Plantation Nord-Sumatra Ltd Luxembourg 100.00 244,783,208 31.12.2022 USD 313,879,264 64,637,223
Socfinde Luxembourg 79.92 1,072,391 31.12.2022 EUR 6,023,090 139,836
Terrasia Luxembourg 47.81 118,518 31.12.2022 EUR 615,003 30,516
Induservices FR Switzerland 50.00 642,202 31.12.2022 EUR 1,095,421 102,087
Socfinco FR Switzerland 50.00 486,891 31.12.2022 EUR 16,432,078 8,833,675
Sogescol FR Switzerland 50.00 1,985,019 31.12.2022 USD 17,955,034 8,864,552
Sodimex FR Switzerland 50.00 621,424 31.12.2022 EUR 4,454,052 906,872
Centrages  Belgium 50.00 4,074,315 31.12.2022 EUR 3,378,041 223,191
Immobilière de la Pépinière Belgium 50.00 3,015,798 31.12.2022 EUR 3,656,008 10,856
Socfinco  Belgium 50.00 750,365 31.12.2022 EUR 1,537,073 -6,383
Socfin-KCD Co Cambodia 100.00 31,685,450 31.12.2022 USD 31,949,637 -1,468,650
289,570,582
(*)  Based on unaudited financial statements at 31
st
 December 2022.
Information on movements during the year
During the year, the company has sold:
- 500 shares of Management Associates.
Valuation of shares in affiliated undertakings
At 31
st
 December 2022, the Board of Directors is of the opinion that there is no permanent value decrease for the shares in affiliated 
undertakings.

Graphics
Company financial statements
Socfinasia
|
ANNUAL REPORT 2022
|
123
Note 3. Financial fixed assets (continued)
Valuation of loans to affiliated undertakings
At 31
st
 December 2022, loans to affiliated undertakings are as follows:
Related parties Currency Balance Balance
Unrealised exchange
gains / (losses) *
in currency in EUR EUR
Induservices
EUR 132,500 132,500 0
Socfin
EUR 100,000,000 100,000,000 0
Socfin-KCD Co
USD 18,403,890 15,632,711 1,622,014
Management Associates
EUR 280,000 280,000 0
TOTAL
120,045,211 1,622,014
* In accordance with Luxembourg legal and regulatory provisions and generally accepted accounting practices, loans to
aliated undertakings are translated at the historical exchange rate and the unrealised foreign exchange gain or loss is not
recognised in the profit and loss account, with the exception of the current portion of receivables, which is valued individually
at the lower of their historical exchange rate value or their value determined on the basis of the exchange rate prevailing at
the balance sheet date.
At 31
st
 December 2022, the Board of Directors is of the opinion that these receivables do not show any permanent 
impairment losses and consequently no impairment has been recorded.
Note 4. Amounts owed by aliated undertakings
At 31
st
 December 2022, this item consists mainly of:
-  receivables  from  the  subsidiary  Socfinde  corres ponding  to  the  cash  pooling  balance  of  EUR 3,482,992
(2021: EUR 4,349,049) and to a cash advance of EUR 7,043,085 (2021: EUR 8,350,000).
At 31
st
 December 2022, the Board of Directors is of the opinion that the amounts are fully recoverable and as 
such, no impairment has been accounted for.

Graphics
Company financial statements
124
|
ANNUAL REPORT 2022
|
Socfinasia
Note 5. Equity
Issued
capital
EUR
Legal
reserves
EUR
Other
reserves
EUR
Retained
earnings
EUR
Profit for
the year
EUR
Interim
dividend paid
EUR
Balance at 1
st
January 2021
24,492,825.00 2,449,282.50 163,218,189.89 205,600,141.29 31,992,823.02 -6,531,420.00
Allocation of the result for the 2020 financial 
year following decision of the General Meeting 
held on 25
th
 May 2021
•  Retained earnings
14,721,466.15 -14,721,466.15
•  Dividends
-9,143,988.00
•  Directors’ fees
-1,741,712.00
•  2020 interim dividend
-6,531,420.00 6,531,420,00
Interim dividend as per decision of the Board of 
Directors held on 26
th
October 2021
-8,708,560,00
Results for the financial year
45,000,179.91
Balance at 31
st
December 2021
24,492,825.00 2,449,282.50 163,218,189.89 220,321,607.44 45,000,179.91 -8,708,560.00
Allocation of the result for the 2021 financial 
year following decision of the General Meeting 
held on 31
st
 May 2022
•  Retained earnings
14,520,219.91 -14,520,219.91
•  Dividends
-19,594,260.00
•  Directors’ fees
-2,177,140.00
•  2021 interim dividend
-8,708,560.00 8,708,560,00
Interim dividend as per decision of the Board of 
Directors held on 27
th
October 2021
-43,542,800,00
Results for the financial year
70,684,906.52
Balance at 31
st
December 2022
24,492,825.00 2,449,282.50 163,218,189.89 234,841,827.35 70,684,906.52 -43,542,800.00
Issued capital
At 31
st
 December 2022 and 2021, the issued and fully paid share capital is EUR 24,492,825 represented by 19,594,260 shares without 
nominal value.
Legal reserve
The annual profit is subject to a levy of 5% to be allocated to a legal reserve. This allocation ceases to be compulsory as soon as the 
reserve reaches 10% of the share capital. The legal reserve cannot be distributed.
Statutory reserves
The  statutory  reserve  includes  an  unavailable  reserve  of  EUR  125,993,370  (2021:  EUR  125,993,370),  relating  to  the  profit  earned 
at the time of the formation of Plantation Nord-Sumatra Ltd. in 1997. Pursuant Article 33 of the Company's coordinated Articles of 
Association, this reserve is not available for distribution to shareholders.

Graphics
Company financial statements
Socfinasia
|
ANNUAL REPORT 2022
|
125
Note 6. Other payables
At 31
st
 December 2022, this item includes interest payable for EUR 3,471,008 (2021: EUR 3,475,098).
Note 7. Income from participating interests
2022 2021
EUR EUR
Dividends received (*)
65,034,849 43,657,036
Capital gain on disposal of financial fixed assets
18,750 670,643
65,053,599 44,327,679
(*) This amount corresponds to the dividend received from the affiliated undertakings (Note 3).
Note 8. Income from other investments and loans forming part of the
fixed assets
2022 2021
EUR EUR
Interest on related companies’ receivables
3,972,222 583,333
Note 9. Taxation
The Company is subject to all taxes to which Luxembourg commercial companies are subject.
Note 10. Remuneration of the Board of Directors
During 2022, the members of the Board of Directors received EUR 12,500 (2021: EUR 12,188) as attendance fees 
and EUR 6,616,420 (2021: EUR 2,209,426) as directors' fees.
During 2022, no advances or loans were granted to the Board members.

Graphics
Company financial statements
126
|
ANNUAL REPORT 2022
|
Socfinasia
Note 11. Political and economic environment
The Company directly and indirectly holds interests in companies operating in Indonesia and Cambodia.
Given the political instability that exists in these countries and their economic fragility, the investments held by 
the Company present a risk in terms of exposure to political and economic fluctuations.
Note 12. Off-balance sheet commitments
At 31
st
 December 2022 and 2021, the Company had no significant off-balance sheet commitments.