FINANCIAL INFORMATION
2024
Including the
Consolidated financial statements
and
Report of the Réviseur d’Entreprises
for the financial year ended as at 31 December 2024
CPI FIM SA * Société Anonyme * 40 rue de la Vallée, L2661 Luxembourg
R. C. S. Luxembourg – B 44.996
MANAGEMENT REPORT | 2
SUMMARY
Part I. Management report
Part II. Declaration letter
Part III. Consolidated financial statements of the Group
Part IV. Auditors’ Report
Part V. Statutory financial statements
CPI FIM SA | Société Anonyme | 40 Rue de la Vallée, L-2661 Luxembourg RCS Luxembourg B 44996
MANAGEMENT REPORT | 3
Management Report as at 31 December 2024
MESSAGE FROM THE MANAGEMENT ............................................................................................................... 6
YEAR 2024 AND POST-CLOSING KEY EVENTS .................................................................................................... 7
Annual general meeting of shareholders ..................................................................................................... 7
Acquisitions in Poland .................................................................................................................................. 7
Equity investment ........................................................................................................................................ 7
Development in Prague................................................................................................................................ 7
Intergroup financing .................................................................................................................................... 7
MARKET ENVIRONMENT .................................................................................................................................. 8
OPERATIONS OF THE GROUP IN 2024 ............................................................................................................. 10
Financing of the CPIPG Group .................................................................................................................... 10
PROPERTY PORTFOLIO ................................................................................................................................... 11
Total Property Portfolio ............................................................................................................................. 11
Property Valuation ..................................................................................................................................... 12
Office…. ..................................................................................................................................................... 16
Land bank .................................................................................................................................................. 18
Retail…. ...................................................................................................................................................... 20
Residential ................................................................................................................................................. 22
Hotels… ...................................................................................................................................................... 24
Development ............................................................................................................................................. 25
FINANCING ..................................................................................................................................................... 26
Cash and cash equivalents ......................................................................................................................... 26
Financial liabilities ..................................................................................................................................... 26
RESULTS AND NET ASSETS .............................................................................................................................. 27
Income statement ...................................................................................................................................... 27
Balance sheet ............................................................................................................................................. 28
CORPORATE GOVERNANCE ............................................................................................................................ 30
Principles ................................................................................................................................................... 30
Board of Directors ...................................................................................................................................... 31
Committees of the Board of Directors ........................................................................................................ 33
Description of internal controls relative to financial information processing. ............................................ 34
Remuneration and benefits ....................................................................................................................... 34
Corporate Governance rules and regulations ............................................................................................. 34
Additional information .............................................................................................................................. 37
SHAREHOLDING ............................................................................................................................................. 40
MANAGEMENT REPORT | 4
Share capital and voting rights ................................................................................................................... 40
Shareholder holding structure ................................................................................................................... 40
Authorized capital not issued ..................................................................................................................... 40
POTENTIAL RISKS AND OTHER REPORTING REQUIREMENTS .......................................................................... 41
Subsequent closing events ......................................................................................................................... 41
Other reporting requirements.................................................................................................................... 41
Financial risks exposure ............................................................................................................................. 41
Certain subsidiaries may be in breach of loan covenants ........................................................................... 41
The Group’s financing arrangements could give rise to additional risk....................................................... 41
Market risk ................................................................................................................................................ 42
Credit risk .................................................................................................................................................. 42
Liquidity risk .............................................................................................................................................. 43
Capital management .................................................................................................................................. 43
Risks associated with real estate and financial markets ............................................................................. 43
CORPORATE RESPONSIBILITY ......................................................................................................................... 45
Environmental, social and ethical matters ................................................................................................. 45
Environmental matters .............................................................................................................................. 45
Social matters ............................................................................................................................................ 45
Ethical matters ........................................................................................................................................... 45
EU TAXONOMY .............................................................................................................................................. 46
GLOSSARY & DEFINITIONS ............................................................................................................................. 53
MANAGEMENT REPORT | 5
CPI FIM SA, société anonyme (the “Company”) and its subsidiaries (together the “Group” or “CPI FIM”), is an
owner of income-generating real estate and land bank primarily in Poland and in the Czech Republic. The
Company is a subsidiary of CPI Property Group (also “CPIPG” and together with its subsidiaries as the “CPIPG
Group”), which holds 97.31% of the Company shares. The Company is also involved in providing equity loans to
other entities within the CPIPG Group.
The Company is a joint stock company incorporated for an unlimited term and registered in Luxembourg. The address of its
registered office is 40, rue de la Vallée, L-2661 Luxembourg, Grand Duchy of Luxembourg. The trade registry number of the
Company is B 44 996.
The Company’s shares registered under ISIN code LU0122624777 are listed on the regulated markets of the Luxembourg
Stock Exchange and the Warsaw Stock Exchange.
MANAGEMENT REPORT | 6
MESSAGE FROM THE MANAGEMENT
During 2024, the European economy continued to navigate a complex environment shaped by the global trade
dynamics, energy prices, and the lasting impact of inflation. In Central and Eastern Europe, an economic recovery
in 2024 progressed at a more moderate pace than initially expected, but still above the EU27 average. For 2024,
GDP expanded YoY in Poland by 2.9% and the Czech Republic by 1.1%. CPI FIM delivered a resilient performance
during this period. This was driven by the Group’s strong position in office properties and landbank, the stability
of our tenants, and prudent cost management.
Total assets decreased by €653.5 million (9%) to €6,537.6 million as at 31 December 2024. The EPRA Net
Reinstatement Value per share as at 31 December 2024 was €1.23 compared to €1.23 as at 31 December 2023.
At the end of 2024, the EPRA Net Disposal Value amounted to €1.10 per share compared to €1.11 at the end of
2023.
The Group achieved an operating profit of €18.2 million in 2024 compared to €7.1 million in 2023. Total net profit
was €65.6 million in 2024 compared to €46.4 million in 2023.
Resulting from the Company’s integration into the CPIPG Group in 2016, one of its roles is to serve as an
intergroup financing vehicle to the entities within the CPIPG Group. As at 31 December 2024, the outstanding
balance of the loans provided to the CPIPG Group amounted to €3,710.2 million.
In June 2024, the Group acquired eight office properties in Warsaw and two retail assets in Elblag and Lublin,
Poland, from Czech Property Investments, a.s. (CPIPG´s subsidiary). Subsequently, these properties together with
three other Warsaw offices already owned by CPI FIM, created a new SPV, in which the Group sold a 49%
common equity stake for €250 million to funds managed by Sona Asset Management (UK) LLP.
During 2024, the Group utilized almost 31,000 sqm of land plots in the Czech Republic for development projects.
The Zbrojovka Brno urban complex accounts for more than half of this area. The Zbrojovka project is the largest
urban development project in the Czech Republic and is divided into specific office and residential projects to be
developed in the future. In July 2024, the Tesla showroom in the Zbrojovka area was completed and the Group
immediately leased it out. In the second half of 2024, the Group started the “Žižkovské zahrady” residential
development project in Prague, which will offer more than 200 premium apartments. All projects are
transforming urban space with a focus on quality, innovation and sustainability.
The Group will continue to focus on efficient operational performance and the well-being of our tenants and
employees.
David Greenbaum,
Managing Director
MANAGEMENT REPORT | 7
YEAR 2024 AND POST-CLOSING KEY EVENTS
Annual general meeting of shareholders
The annual general meeting of shareholders of the Company was held on 30 May 2024 in Luxembourg (the
“AMG”), with approximately 97.50% of the voting rights present or represented.
The AGM approved the statutory annual accounts and consolidated annual accounts for the financial year ending
31 December 2023, as well as the allocation of financial results for the financial year ending 31 December 2023.
The AGM further granted a discharge to the members of the Company's Board of Directors as well as to the
approved auditor of the Company for the performance of their duties during the financial year ending 31
December 2023.
The AGM also resolved to re-appoint the following persons as members of the Company's Board of Directors
until the annual general meeting to be held in 2025: Anita Dubost, David Greenbaum, Edward Hughes, and Scot
Wardlaw. Scot Wardlaw decided to leave the Company and on 28 June 2024 the Board of Director resolved to
co-opt Alfred Brandner to the vacant seat.
The AGM re-elected David Greenbaum and Pavel Měchura to serve as Managing Directors (administrateurs
délégués) of the Company.
The AGM also re-appointed Ernst & Young S.A., Luxembourg as the approved auditor of the Company until the
annual general meeting to be held in 2025.
Acquisitions in Poland
In June 2024, the Group acquired eight office properties in Warsaw and two shopping centres in Elblag and Lublin,
Poland, from Czech Property Investments, a.s. (CPIPG´s subsidiary). As a result of the transaction, the office
portfolio in Poland increased by 149 thousand sqm and the retail portfolio by almost 50 thousand sqm.
Equity investment
Subsequently, the acquired properties, together with the other three office buildings in Warsaw already owned
by CPI FIM, created a new SPV, in which the Group sold a 49% common equity stake for €250 million to funds
managed by Sona Asset Management (UK) LLP, a leading institutional alternative asset manager.
Development in Prague
Construction on the “Žižkovské zahrady” residential project began in July 2024. The project is situated north of
Hartigova Street in the Žižkov district, Prague 3. This premium residential project will offer 210 apartments in the
heart of a popular neighborhood almost in the city centre of Prague.
The second phase of Kolben Park was launched in January 2025. The twelve-storey building will offer 155
apartments ranging from 1+kk to spacious 5+kk. The common areas of the building will include a carriage and
bicycle room. The residential neighbourhood is situated near the Vysočanská station on the Prague B metro line.
Intergroup financing
Resulting from the Company’s integration into the CPIPG Group in 2016, one of its roles is to function as an
intergroup financing vehicle to the entities within the CPIPG Group. In 2024, the Group continued to provide
equity loans to other entities within the CPIPG Group. At the end of 2024, loans provided decreased mainly due
to the settlement of intercompany financing. As at 31 December 2024, the outstanding balance of the provided
loans to the CPIPG Group amounted to €3,710.2 million (31 Dec 2023: €5,038.3 million).
MANAGEMENT REPORT | 8
MARKET ENVIRONMENT
Global macro-economic conditions
Czech Republic
1
Over the past decade, the Czech Republic has experienced stable economic growth. Between 2014 and 2024,
GDP growth was well above the EU27 average, and this trend is expected to continue in 2025. In 2024, GDP
increased by 1.1% year-on-year.
Unemployment remained at very low levels, declining by 0.2% during 2024 to 2.6%, one of the lowest rates in
the EU.
After a period of elevated inflation, price growth moderated in 2024, reaching an annual rate of 2.8% as of
January 2025. In response, the Czech National Bank lowered interest rates.
The Czech koruna slightly depreciated against the euro since the end of 2023 but remained around its long-term
average of approximately EUR/CZK 25. The country continues to benefit from a low public debt-to-GDP ratio.
Poland
2
Poland has maintained strong economic momentum over the past decade, ranking among the fastest-growing
economies in the EU27. Between 2014 and 2024, its GDP consistently expanded at a rate above the EU average,
with a year-on-year growth of 2.9% in 2024. The labor market remained resilient, with the unemployment rate
stable at 3.0%. Following a period of higher inflation, price growth eased in 2024, reaching an annual rate of 5.3%
as of January 2025. In response, the central bank adjusted its policy rates.
Selected market focus
Warsaw office market
3
At year end, Warsaw’s modern office stock was 6.29 million m². Modest new supply delivered in 2024, only
104,000 m² across seven projects. The net supply was even lower, at 63,500 m², as spaces were withdrawn for
alternative use.
Only 245,000 m² of office space is under construction, approximately a third of previous years, with the majority
expected in 2025. Leasing activity was stable at over 740,100 m². Companies, particularly larger tenants, are also
taking a more conservative approach to leasing, renegotiating existing leases (51%) rather than moving. Tenants
looking to increase space represented 10% of leasing volume, closer to pre-pandemic levels.
The Warsaw market vacancy rate remained broadly stable at 10.6%. Vacancy in central locations was lower
(8.5%).
Prime office property rents are stable with city centre rents €27.00/m²/month. Average rents increased slightly
by approximately 1% to €20.81/m²/month.
Office investments in Poland significantly increased to €1.3 billion, compared to last year’s total office investment
volume of €429 million.
1
Sources: Trading Economics, Eurostat
2
Sources: Trading Economics, Eurostat
3
Source: PINK, CBRE
MANAGEMENT REPORT | 9
Polish retail market
4
Poland, the largest retail market in Central and Eastern Europe, continues to see steady growth. Shopping centre
density in the country stands at approximately 273 m² per 1,000 inhabitants, which remains lower than in
Western markets. Despite limited new retail supply in most of the region, Poland saw an increase of
approximately 530,000 m² in 2024.
Retail demand remained strong, with sales growing by around 3% in 2024, supported by real wage growth,
stabilizing inflation, and rising consumer spending.
Rental growth was observed across all retail segments in Poland, driven by indexation and strong demand. Prime
retail park rents increased by up to 22%, while prime shopping centre rents rose by up to 23% year-on-year.
4
Source: Cushman & Wakefield, CBRE
MANAGEMENT REPORT | 10
OPERATIONS OF THE GROUP IN 2024
The Group is engaged in financing of entities within the CPIPG Group and also holds and operates a significant
property portfolio.
Financing of the CPIPG Group
The Group acts as an internal financing entity within the CPIPG Group and shall finance the real estate companies
(SPVs) by intra-group loans. In order to fund the intra-group loans, CPIPG raises external financing and provides
these funds to CPI FIM. Subsequently, CPI FIM provides the funds in a form of loans to the respective SPVs.
In 2024, the Group continued to provide the equity loans to other entities within the CPIPG Group.
The Group generated interest income of €235.0 million in 2024, which represents a decrease by €32.8 million,
compared to 2023.
As at 31 December 2024, the Group provided loans to related parties in the amount of €3,710.2 million, which
represents an decrease by €1,328.1 million compared to 31 December 2023. As at 31 December 2024, the loans
provided in the amount of €234.5 million and €3,475.7 million were classified as current and non-current,
respectively.
MANAGEMENT REPORT | 11
PROPERTY PORTFOLIO
Total Property Portfolio
The Group concentrates on long-term investments and real-estate leases, primarily in the Central European
region. The Group owns rental income-generating properties mainly in the office and retail segment but is also
focused on an extensive portfolio of land plots in the Czech Republic. Additionally, the Group has some
development projects.
The property portfolio of the Group is reported on the balance sheet under the following positions:
• Investment property
• Property, plant and equipment
• Inventories
• Assets held for sale
“Investment property” consists of rental properties, investment property under development and land bank.
Investment property under development represents projects currently in progress, which will be reclassified
by the Group as rental properties after completion. Land bank represents properties held for development
and/or capital appreciation.
Czech Republic
Property portfolio value: €1,003 million
Land bank area: 18,234,000 sqm
Gross leasable area: 5,000 sqm
Potential GSA/GLA: 39,000 sqm
Poland
Property portfolio value: €1,090 million
Land bank area: 14,000 sqm
Gross leasable area: 357,000 sqm
Potential GSA/GLA: 12,000 sqm
Italy
Property portfolio value: €50 million
No. of residential units: 5
No. of hotel rooms: 97
France
Property portfolio value: €26 million
No. of residential units 2
MANAGEMENT REPORT | 12
“Property, plant and equipment” comprises hotel properties or advances paid for construction works on the
projects.
“Inventories” comprise properties that are under development or have been finished and are intended for
a future sale in the ordinary course of business.
“Assets held for sale” consist of properties presented in accordance with IFRS 5 “Non-current Assets Held for
Sale and Discontinued Operations” which are to be sold due to the intention of the management.
The property portfolio report covers all properties held by the Group, independent of the balance sheet
classification. These properties are reported as income-generating properties (generating rental income or
income from operations), development projects (investment property projects under development and
inventories) or landbank.
The following chart reconciles the property assets of the Group as reported on the balance sheet
as at 31 December 2024 with the presentation in our portfolio report:
Balance sheet classification of the Group property portfolio
Classification
in the Group
portfolio
report
Non-current assets
Investment Property €2,127
million
Standing property; €1,145 million
Income
generating
rental
properties;
€1,145
million
Under development; €46 million
Land Bank; €936 million
Income
generating
operational
properties; €-
- million
Property Plant and
equipment; €2 million
PPE; €-- million
Development;
€82 million
Other PPE; €2 million
Current assets
Asset held for sale; €6
million
Asset held for sale; €6 million
Land Bank;
€942 million
Inventories; €37 million
Under development; €36 million
Outside the
Property
portfolio; €3
million
Other inventories; €1 million
Property Valuation
The consolidated financial statements of the Group as at 31 December 2024 were prepared in compliance with
International Financial Reporting Standards (IFRS) as adopted by the European Union, which include the
application of the fair value method. Since the Investment properties owned by the Group must be stated at fair
value, the annual valuation of these properties by independent experts is recommended.
The property portfolio valuation as at 31 December 2024 is based on reports issued by:
MANAGEMENT REPORT | 13
- iO partner (further “iO”). iO is a JLL Preferred Partner with over 30 years of experience in the CEE markets.
Backed by JLL, iO serves corporate clients and investors in the areas of Leasing solutions, real estate
investment and advisory services.
- Colliers is a leading diversified professional services and investment management company. Colliers
operates in 70 countries and draws on the expertise of over 23,000 professionals working collaboratively to
provide expert real estate and investment advice to clients.
- Savills provides in-depth knowledge and expert advice across all property sectors, so they can help with
everything from asset management to valuation. Savills operates in 70 countries around the world (across
the Americas, Europe, Asia Pacific, Africa and the Middle East) and draws on the expertise of over 40,000
professionals.
- CBRE is a commercial real estate services and investment firm. It is the largest company of its kind in the
world. It is based in Dallas, Texas and operates in over 500 offices worldwide and serves clients in more than
100 countries, employing more than 140,000 global professionals.
- RSM in CZ&SK (also “RSM”). RSM is part of the sixth largest network of professional firms RSM International.
RSM International operates in 120 countries, has over 900 offices and more than 65,000 professionals. RMS
provides clients with services in the field of mergers & acquisitions, valuations, tax, trustee services,
accounting and payroll.
*CBRE, RMS CZ&SK, internal
MANAGEMENT REPORT | 14
The following table shows the carrying value of the Group’s property portfolio as at 31 December 2024
and 31 December 2023:
PROPERTY
PORTFOLIO as
at
No of
properties
No.
of
units
GLA
Office
Residential
Develop.
Hotel
Retail
Land
bank
PP
value
PP
value
31 December
2024
No. of
hotel
rooms
thousand
sqm
€
million
€ million
€ million
€
million
€
million
€
million
€
million
%
Poland
14
--
--
357
954
--
33
--
103
0.4
1,090
50%
Czech Republic
6
--
--
5
5
--
49
--
7
942
1,003
46%
Italy
1
5
97
--
--
25
--
25
--
--
50
3%
France
--
2
--
--
--
26
--
--
--
--
26
1%
The GROUP
21
7
97
362
959
51
82
25
110
942
2,169
100%
PROPERTY
PORTFOLIO as
at
No of
properties
No.
of
units
GLA
Office
Residential
Develop.
Hotel
Retail
Land
bank
PP
value
PP
value
31 December
2023
No. of
hotel
rooms
thousand
sqm
€
million
€ million
€ million
€
million
€
million
€
million
€
million
%
Czech Republic
3
--
--
3
5
--
61
--
2
952
1,020
62%
Poland
4
--
--
158
542
--
--
--
--
0.4
542
33%
Italy
1
5
97
--
--
25
--
25
--
--
50
3%
France
--
2
--
--
--
26
--
--
--
--
26
2%
The GROUP
8
7
97
161
547
51
61
25
2
952
1,638
100%
The Group’s property value totals €2,169 million as at 31 December 2024 (31 Dec 2023: €1,638 million), of which
88% is represented equally by landbank and office. The majority of the Group’s property portfolio is located in
Poland with 50% and the Czech Republic with 46%, followed by Italy with 3% and France with 1%.
MANAGEMENT REPORT | 15
The total net change of €531 million in the portfolio value in 2024 was mainly attributable to the following:
• Acquisitions of €568 million, primarily relating to the office and retail properties in Poland;
• Disposals of €60 million, mainly comprising the sale of apartments in Prague (the “Kolben Park” project),
and the sale of two development projects to other entities within the CPIPG Group;
• Additions of €50 million, mainly spent on the residential development projects in Prague and Brno, and
within the Warsaw office portfolio;
• Negative change in fair value of €27 million, driven primarily by the negative revaluation of the Polish
office and retail portfolio, partially offset by the positive revaluation of Czech land plots.
MANAGEMENT REPORT | 16
Office
Key Figures – December 2024
95.7
%
12
Occupancy
Number of properties
959 million
€
309,000
sqm
Property value
Gross leasable area
The office portfolio represents an important segment of investment activities of the Group. As at 31 December
2024, the Group owns buildings in Poland and in the Czech Republic.
In June 2024, the Group acquired eight office properties in Warsaw from Czech Property Investments, a.s.
(CPIPG´s subsidiary), one of them was subsequently reclassified to the Development segment as at 31 December
2024.
OFFICE
31 December 2024
N
o
of
properties
PP value
PP value
GLA
Occupancy
Rent per sqm
Outstanding financing
€ million
%
thds. sqm
%
€
€ million
Poland
11
954
99.5%
307
95.7%
16.8
286
Czech Republic
1
5
0.5%
2
92.8%
11.1
--
The GROUP
12
959
100%
309
95.7%
16.8
286
OFFICE
31 December 2023
N
o
of
properties
PP value
PP value
GLA
Occupancy
Rent per sqm
Outstanding financing
€ million
%
thds. sqm
%
€
€ million
Poland
4
542
99%
158
96.7%
18.5
286
Czech Republic
1
5
1%
2
100%
8.3
--
The GROUP
5
547
100%
160
96.7%
18.3
286
• Eurocentrum Office, Warsaw
Eurocentrum Office has the highest LEED certification level,
i.e.PLATINUM and offers over 85,000 sqm of lettable space.
Eurocentrum Office is a modern office building with many
environmentally friendly solutions, for example: rainwater is used
for flushing toilets and watering greenery in the atrium - savings in
drinking water consumption; savings in electricity consumption for
general building systems; reducing the heat island effect by using
a highly light-reflecting roof membrane, etc.
Furthermore, Eurocentrum has 1,500 sqm atrium with natural vegetation, a wide range of shops and restaurants,
excellent access to daylight as a result of large glazing areas, fresh air exchange process well above average,
office space is not overheated in the summer and amenities dedicated to persons using alternative means of
transportation: parking spaces for bicycles (over 200 parking places), changing rooms and showers and 22
charging stations for electric cars. In 2016, a sky apiary was created on the roof of the Eurocentrum office
building.
MANAGEMENT REPORT | 17
• Warsaw Financial Center, Warsaw
Warsaw Financial Center, one of Warsaw’s most prestigious
skyscrapers (LEED Gold), was completed in 1998 and offers almost
50,000 sqm of grade A office space across 32 floors. It was designed by
the American architects Kohn Pedersen Fox Associates in cooperation
with A. Epstein & Sons International. Warsaw Financial Center has a
very good location. WFC is only 0.6 km from Warsaw Central Railway
Station, 8.3 km from Warsaw Chopin International Airport and 39.3 km
from Warsaw Modlin Airport.
Warsaw Financial Center is a 32-story high skyscraper with sixteen elevators, open space offices with colorful
walls, huge Marylin Monroe prints, and comfortable sofas for creative brainstorming, and classic timeless
interiors in understated hues that support the uniqueness of the building. The first six floors of the building
provide 350 parking spaces for cars and bicycles at all times of the day.
Currently, WFC ranks among the most prestigious high-rise buildings in Poland. Top Polish and international
corporations have been attracted by its outstanding quality (PayPal, EPC Network, BEC Financial Technologies,
Bloomberg and Kompania Piwowarska).
• Equator IV Offices, Warsaw
Equator IV Offices was constructed in 2018 and has a modern A-class
specification (BREEAM Very Good). It has 16 above-ground and 4
underground levels with 226 car parking spaces. The property consists of
a freestanding office building with over 21,000 sqm of lettable space on
a plot of land with a total area of 2,900 sqm.
Property is located in Warsaw within the Ochota district, in a distance of
ca. 3 km to the Palace of Culture and Science, considered as a central
point of Warsaw. The office building is situated at the main east-west
arterial road in Warsaw – Al. Jerozolimskie within a third largest office district in Warsaw– “Jerozolimskie
corridor”. The area is a recognized office location providing direct access and reasonable distance to the city
centre as well as convenient access to the Warsaw ring road.
• Equator I Offices, Warsaw
The property is located in Warsaw, in Ochota district, not far from Wola
and Śródmieście districts which are constituting central office zone. The
property is situated along Jerozolimskie Ave., the city’s arterial road
leading from the city centre in western direction. The subject location,
called “Jerozolimskie Corridor”, is one of the most recognized non-central
office destinations in Warsaw, with over 760,000 sqm of office space.
Property was completed in 2008 and offers almost 20,000 sqm.
MANAGEMENT REPORT | 18
Land bank
Key Figures – December 2024
942 million
€
18,248,000
sqm
Property value
Total area
Land bank is comprised of an extensive portfolio of land plots primarily in the Czech Republic. Plots are often in
attractive locations, either separate or adjacent to existing commercial buildings or in the city centre and their
value continues to increase with the growth of surrounding infrastructure. Out of the total plots area,
approximately 16.2% are with zoning.
LAND BANK
31 December 2024
Total area
Area with
zoning
Area without
zoning
PP value
PP value
Outstanding
financing
thds. sqm
thds. Sqm
thds. Sqm
€ million
%
€ million
Czech Republic
18,234
2,949
15,285
942
99.9%
--
Poland
14
14
--
0.4
0.1%
--
THE GROUP
18,248
2,963
15,285
942
100%
--
LAND BANK
31 December 2023
Total area
Area with
zoning
Area without
zoning
PP value
PP value
Outstanding
financing
thds. sqm
thds. Sqm
thds. Sqm
€ million
%
€ million
Czech Republic
18,252
2,294
15,958
952
99.9%
29
Poland
14
14
--
0.4
0.1%
--
THE GROUP
18,266
2,308
15,958
952
100%
29
The landbank portfolio includes:
• Former brownfield:
(1) Praga in Prague amounting to circa 64,200 sqm, which are zoned, are prepared for residential
development;
(2) Nová Zbrojovka in Brno with over 220,800 sqm that will be used for mixed development
(Commercial & Residential).
• Bubny located close to the city centre. Bubny remains the last brownfield plot in the centre of Prague
and the Group intends to develop mixed-use area consisting of residential and commercial units, offices
and shops as well as educational, medical, and cultural facilities. In addition, a modern train terminal at
Vltavská metro station and large green spaces will be incorporated. The main goal for the mid-term
period is to continue the process of changing the Bubny masterplan. The plot of Bubny amounting to
over 200,000 sqm of land in Prague 7 is at the core of the commercial development pipeline in Central
Europe.
On 26 June 2018, the Group disposed of an 80% stake of Bubny Development, s.r.o. In accordance
with IFRS 10, through its remaining 20% stake the Group retained control over this subsidiary which is
why it is consolidated by the Company.
• Land plot Holešovice (at the metro line C, station Nádraží Holešovice) of 10,000 sqm is strategically
located nearby the Group’s existing landbank in Bubny. The land plot was leased back to the seller and
will continue to operate as a bus terminal.
MANAGEMENT REPORT | 19
During 2024, the Group extended its land plots area in the Czech Republic by 13,000 sqm. On the other hand,
the Group’s land plots in Prague 3 - Žižkov (more than 15,000 sqm) and in Brno – Nová Zbrojovka complex (more
than 16,000 sqm) have been used for development construction.
MANAGEMENT REPORT | 20
Retail
Key Figures – December 2024
110 million
€
4
Property value
Number of properties
53,000
sqm
Gross leasable area
In June 2024, the Group acquired two shopping centres in Elblag and Lublin, Poland, from Czech Property
Investments, a.s. (CPIPG´s subsidiary). In July 2024, the Group completed the development of the Tesla
showroom in Brno. In total, these buildings offer approximately 52 thousand sqm of retail area.
RETAIL 31
December 2024
N
o
of
properties
PP value
PP value
GLA
Occupancy
Rent per
sqm
Outstanding financing
€ million
%
thds. sqm
%
€
€ million
Poland
2
103
94%
50
99.1%
15.7
--
Czech Republic
2
7
6%
3
100%
9.7
3
The GROUP
4
110
100%
53
99.2%
15.4
3
RETAIL 31
December 2023
N
o
of
properties
PP value
PP value
GLA
Occupancy
Rent per
sqm
Outstanding financing
€ million
%
thds. sqm
%
€
€ million
Czech Republic
1
2
100%
0.5
100%
19.7
--
The GROUP
1
2
100%
0.5
100%
19.7
--
• Shopping center Ogrody
Ogrody is the largest multifunctional shopping centre in the
entire region surrounding the city of Elbląg. It has been
operating in its current form since 2015. Its catchment area
covers the city of Elbląg and the area of the former Elbląskie
province, while at the same time catering to customers from
the Kaliningrad Oblast. The carefully selected tenant mix (in
excess of 110 retail and service outlets) has been tailored to
the budgets and demands of all customers. A modernized
food court with an additional 200 seats for customers was opened at the end of 2019. A convenient location,
easy access, and a three-storey car park are factors which increase the centre’s footfall.
MANAGEMENT REPORT | 21
• Galerie Orkana, Lublin
Galeria Orkana is located to the south-west of the centre of
Lublin, at the junction of Orkana and Zwycięska streets, close
to Kraśnicka Street, which provides access to the S19 express
road. The property is easily accessible by public transport,
with bus and trolleybus stops in the vicinity. There are
approximately 38 shops spread over two floors.
• Tesla showroom, Brno
The property is located on the northern access road to
Zbrojovka Brno and offers an internal showroom, office space
and service facilities. The facade is made of sandwich panels
with insulation, the property has a flat roof and double-
glazed opening windows. It has also an external car park with
100 parking spaces.
MANAGEMENT REPORT | 22
Residential
Key Figures – December 2024
51 million
€
7
Property value
Number of units
The Group currently owns 7 residential units. Two of them are located in the district of Saint-Anne and Mont
Boron in France. A building with five residential units is located on Piazza della Pigna in Rome, Italy.
RESIDENTIAL
31 December 2024
PP value
PP value
Occupancy*
No. of units
No. of rented
units
Outstanding
financing
€ million
%
%
€ million
France
26
51%
0%
2
--
21
Italy
25
49%
0%
5
--
--
The GROUP
51
100%
0%
7
--
21
* Occupancy based on rented units
RESIDENTIAL
31 December 2023
PP value
PP value
Occupancy*
No. of units
No. of rented
units
Outstanding
financing
€ million
%
%
€ million
France
26
51%
0%
2
--
21
Italy
25
49%
0%
5
--
--
The GROUP
51
100%
0%
7
--
21
* Occupancy based on rented units
• Villa Lou Paradou
Neo provençal style villa dating from the 1970’s is exposed to the
SouthWest side and it is used as residential accommodation. It consists of a
walkup basement, a ground floor with an adjoining service house (studio)
below the main house and a swimming pool. There is also a horse stable at
the entrance of the property.
• Villa Mas Du Figuer
The property consists of a private villa used as residential accommodation,
arranged over a basement, a ground floor and first upper floor. There is
also a guest house (comprised of 4 bedrooms and a guard house), a gym
and a garage. The outside facilites include two swimming pools and a
tennis court.
MANAGEMENT REPORT | 23
• Residential property Piazza della Pigna
The sixteenth-century building has five above-ground floors, a warehouse
and car parking on the underground level, and a winter garden on the
ground floor. The rooms are arranged around a staircase that connects the
five floors, all decorated with high quality finishes and exquisite marble and
wood inlays.
MANAGEMENT REPORT | 24
Hotels
Key Figures – December 2024
25 million
€
1
Property value
Number of properties
97
Number of rooms
In 2021, the Group acquired the Acaya resort in Puglia, Italy.
HOTELS
31 December 2024
No. of properties
No. of rooms
PP value
PP value
Outstanding financing
€ million
%
€ million
Italy
1
97
25
100%
--
The GROUP
1
97
25
100%
--
HOTELS
31 December 2023
No. of properties
No. of rooms
PP value
PP value
Outstanding financing
€ million
%
€ million
Italy
1
97
25
100%
--
The GROUP
1
97
25
100%
--
• Hotel Acaya
The Acaya resort is surrounded by the natural oasis of Le Cesine,
with its extraordinary biodiversity, and is located less than five
kilometres from the Adriatic Sea. It offers 97 rooms and suites,
an 18-hole golf course, a football pitch, an extraordinary 1,200
sqm spa, indoor and outdoor pools.
MANAGEMENT REPORT | 25
Development
Key Figures – December 2024
52,000
sqm
82 million
€
Potential gross saleable/ leasable
area
Development
During the second half of 2022, the Group started the development project Kolbenova in Prague 9 - Vysočany.
The project is divided into four phases. Phase 1 was successfully completed in the third quarter of 2024. In total,
the project will comprise seven residential buildings with approximately 1,000 modern apartments, ranging from
small studio apartments to large 3-bedroom apartments. Most apartments will have a balcony, terrace or green
terrace, a reserved parking space and basement storage.
DEVELOPMENT
31 December 2024
N
o
of properties
Potential
GSA/GLA
Development
Development
Outstanding
financing
thds. sqm
€ million
%
€ million
Czech Republic
3
39
49
60%
--
Poland
1
12
33
40%
--
THE GROUP
4
51
82
100%
--
DEVELOPMENT
31 December 2023
N
o
of properties
Potential
GSA/GLA
Development
Development
Outstanding
financing
thds. sqm
€ million
%
€ million
Czech Republic
1
28
61
100%
--
THE GROUP
1
28
61
100%
--
The “Žižkovské zahrady” development project was started in July 2024, located on the edge of the Vítkov park,
and it will offer more than 200 premium apartments with a unique view of Prague. Each apartment will have a
landscaped terrace, balcony or loggia. Facilities will include a reception area, buggy storage and a bicycle room
with washing facilities for bicycles and pets. The project incorporates many ecological features such as charging
points for electric vehicles, underground parking, outdoor blinds, recuperation systems and water storage for
irrigation, all of which complement the high standards of Energy Class B. The completion is scheduled for the
second quarter of 2027.
The Nová Zbrojovka project is transforming a former industrial area in Brno into a modern urban district. The
project combines living, working, culture and nature. The 22.5 ha complex will provide over 2,500 apartments,
230,000 sqm of offices and 35,000 sqm of commercial space. The project has achieved BREEAM Communities
certification thanks to its blue-green infrastructure and solar photovoltaics. The neighbourhood will include
schools, kindergartens, a cultural centre, a multi-functional square, a waterfront park, transport links including
cycle paths and public transport. The project is divided into several phases. Two office projects were sold to other
entities within the CPIPG Group in 2024.
During 2024, Prosta 69, the Warsaw office building has been reclassified to the Development segment, due to a
planned redevelopment of the building.
MANAGEMENT REPORT | 26
FINANCING
Cash and cash equivalents
As at 31 December 2024, cash and cash equivalents consist of cash at bank of €163.4 million
(2023: €83.6 million) and cash on hand of €2 thousand (2023: €2 thousand).
Financial liabilities
Financial debts amount to €4,172.5 million, including mainly loans from CPIPG.
Compared to 31 December 2023, financial debts decreased by €984.5 million in 2024, mainly due to decrease of
CPIPG loans. The balance of the loans received from the Group’s parent company CPIPG decreased from €4,146.8
million as at 31 December 2023 to €3,186.7 million as at 31 December 2024. The loans bear interest rate between
0.65% - 6.12% p.a.
MANAGEMENT REPORT | 27
RESULTS AND NET ASSETS
Income statement
Income statement for the year ended 31 December 2024 is as follows:
12 month period ended
31 December 2024
31 December 2023
Gross rental income
56,385
35,948
Service charge and other income
33,530
14,307
Cost of service and other charges
(30,782)
(13,463)
Property operating expenses
(12,158)
(3,951)
Net service and rental income
46,975
32,841
Development sales
57,750
-
Cost of goods sold
(56,405)
-
Net development income
1,345
-
Hotel revenue
-
841
Hotel operating expenses
-
(744)
Net service and rental income
-
97
Revenue from other business operations
-
4,142
Related operating expenses
-
(4,246)
Net income from other business operations
-
(104)
Total revenues
147,665
55,238
Total direct business operating expenses
(99,345)
(22,404)
Net business income
48,320
32,834
Net valuation gain/(loss) on investment property
(12,871)
(18,487)
Net gain on the disposal of investment property and subsidiaries
29
1,261
Amortization, depreciation and impairments
(11,851)
(1,067)
Administrative expenses
(6,918)
(7,638)
Other operating income
2,424
330
Other operating expenses
(946)
(165)
Operating result
18,187
7,068
Interest income
234,991
267,760
Interest expense
(156,059)
(148,952)
Other net financial result
(23,559)
(29,709)
Net finance income
55,373
89,099
Share of profit of equity-accounted investees (net of tax)
9
215
Profit before income tax
73,569
96,382
Income tax expense
(7,967)
(49,949)
Net profit from continuing operations
65,602
46,433
Service charge and other income
Service charge and other income increased to €33.5 million in 2024 (2023: €14.3 million), due to an increase in
income charged by Poland offices of EUR 19.2 million.
Net valuation gain
The net valuation loss amounts to €12.9 million (vs. valuation loss of €18.5 million in 2023) and comprises of
valuation gain of €37.3 million and valuation loss of €50.1 million. The valuation gain was mainly attributable to
the Czech property portfolio (€35.8 million). Valuation loss was mainly realized on the Polish property portfolio
(€37.9 million).
Administrative expenses
Administrative expenses decreased to €6.9 million in 2024 compared to €7.6 million in 2023. In 2024,
administrative expenses decreased due to a decrease of management services provided to CPI FIM by related
parties.
Net finance income
Total net finance income decreased from €89.1 million in 2023 to €55.4 million in 2024. The interest income
decreased from €267.8 million in 2023 to €235.0 million in 2024. The decrease in interest income reflects the
decrease of interest rates in loans provided by the Company to entities within the CPIPG Group and other related
parties. The interest expense increased from €149.0 million in 2023 to €156.1 million in 2024. The increase in
MANAGEMENT REPORT | 28
interest expense reflects the increase in loans received by the Company from entities within the CPIPG Group
and other related parties.
The other net financial result increased from a loss of €29.7 million in 2023 to a loss of €23.6 million
in 2024. The net foreign exchange loss was driven by retranslation of loans provided to related parties in foreign
currencies.
Balance sheet
Balance sheet as at 31 December 2024 corresponds to consolidated financial statements.
31 December 2024
31 December 2023
NON-CURRENT ASSETS
Intangible assets
1,122
918
Investment property
2,127,375
1,589,610
Property, plant and equipment
2,352
2,494
Equity accounted investees
16,805
16,939
Other investments
51,681
54,571
Loans provided
3,475,699
4,319,000
Trade and other receivables
117
72
Deferred tax asset
90,067
92,933
Total non-current assets
5,765,218
6,076,537
CURRENT ASSETS
Inventories
36,690
50,344
Current tax receivables
2,228
1,466
Derivative instruments
-
1,810
Trade receivables
32,691
7,942
Loans provided
234,484
719,276
Cash and cash equivalents
163,443
83,602
Other receivables
280,725
238,917
Other non-financial assets
16,570
11,231
Assets held for sale
5,572
-
Total current assets
772,403
1,114,588
TOTAL ASSETS
6,537,621
7,191,125
EQUITY
Equity attributable to owners of the Company
1,441,646
1,457,147
Non-controlling interests
321,538
467
Total equity
1,763,184
1,457,614
NON-CURRENT LIABILITIES
Financial debts
4,003,698
4,965,233
Deferred tax liability
173,370
164,808
Other financial liabilities
22,189
14,033
Total non-current liabilities
4,199,257
5,144,074
CURRENT LIABILITIES
Financial debts
168,787
191,718
Trade payables
27,443
22,514
Income tax liabilities
4,642
437
Other financial liabilities
371,226
373,553
Other non-financial liabilities
3,082
1,215
Total current liabilities
575,180
589,437
TOTAL EQUITY AND LIABILITIES
6,537,621
7,191,125
Total assets and total liabilities
Total assets decreased by €653.5 million (9%) to €6,537.6 million as at 31 December 2024. The main reason is
the decrease of loans provided to entities within the CPIPG Group.
Non-current and current liabilities total €4,774.4 million as at 31 December 2024 which represents a decrease of
€959.1 million (16.7%) compared to 31 December 2023. The main driver was a decrease of loans received from
CPIPG.
MANAGEMENT REPORT | 29
EPRA NRV (former EPRA NAV) and EPRA NDV (former EPRA NNNAV)
In October 2019, the European Public Real Estate Association (EPRA) published new Best Practice
Recommendations (BPR). EPRA Net Asset Value (NAV) and EPRA Triple Net Asset Value (NNNAV) are replaced by
three new Net Asset Valuation metrics: EPRA Net Reinstatement Value (NRV), EPRA Net Tangible Assets and
EPRA Net Disposal Value (NDV). The Company provides below the calculation of EPRA NRV as an equivalent of
former EPRA NAV and the calculation of EPRA NDV as an equivalent of former EPRA NNNAV.
As at 31 December 2024, equity attributable to owners of the Company decreased by €15.5 million, due to a
decrease of translation reserve of €6.6 million, a decrease of other reserves of €3.9 million and a loss on the sale
of non-controlling interest of €83.3 million. This decrease was partially offset by the profit for the period of €78.3
million.
The EPRA Net Reinstatement Value per share as at 31 December 2024 is €1.23 compared to €1.23 as at 31
December 2023.
31 December
2024
31 December
2023
Equity attributable to owners of the Company
1,441,645
1,457,147
Deferred taxes on revaluations
176,258
162,212
EPRA Net reinstatement value
1,617,903
1,619,360
Existing shares (in thousands)
1,314,508
1,314,508
Net reinstatement value in € per share
1.23
1.23
EPRA Net reinstatement value
1,617,903
1,619,360
Deferred taxes on revaluations
(176,258)
(162,212)
EPRA Net disposal value
1,441,645
1,457,147
Fully diluted shares
1,314,508
1,314,508
Net disposal value in € per share
1.10
1.11
The EPRA Net Disposal Value amounts to €1.10 per share as at 31 December 2024 compared to €1.11 at the end
of 2023.
MANAGEMENT REPORT | 30
CORPORATE GOVERNANCE
Principles
Good corporate governance improves transparency and the quality of reporting, enables effective management
control, safeguards shareholder interests and serves as an important tool to build corporate culture. The
Company is dedicated to acting in the best interests of its shareholders and stakeholders. Toward these ends, it
is recognized that sound corporate governance is critical. The Company is committed to continually and
progressively implementing industry best practices with respect to corporate governance and has been adjusting
and improving its internal practices in order to meet evolving standards. The Company aims to communicate
regularly to its shareholders and stakeholders regarding corporate governance and to provide regular updates
on its website.
Since the Company was founded in 1991, its accounts have been audited regularly each year. KPMG served as
auditor of the Company since 2013. In 2019, the Company tendered for a new auditor. The Company´s Audit
Committee recommended an appointment of Ernst & Young S.A., Luxembourg as the Group’s new auditor for
the financial year commencing on 1 January 2019, which was approved by the shareholders’ general meeting.
The AGM resolved unanimously to appoint Ernst & Young S.A., Luxembourg, as the approved auditor (réviseur
d’entreprises agréé) of the Company until the annual general meeting of shareholders of the Company to be held
in 2025.
In addition, the Company’s portfolio of assets is regularly evaluated by independent experts.
In 2007, the Company’s Board of Directors adopted the Director’s Corporate Governance Guide and continues
to communicate throughout the Group based on the values articulated by this guide. As a company incorporated
in Luxembourg, the Company’s primary regulator is the Commission de Surveillance du Secteur Financier (the
“CSSF”). The Company’s procedures are designed to comply with applicable regulations, in particular those
dealing with market abuse. The Company also has a risk assessment procedure designed to identify and limit
risk. In addition, the Company aims to implement corporate governance best practices inspired by the
recommendations applicable in Luxembourg and Poland.
On 23 May 2012, the Board of Directors elected the Ten Principles and their Recommendations of the
Luxembourg Stock Exchange as a reference for its Corporate Governance Rules
(https://www.bourse.lu/corporate-governance).
The Company’s parent company CPIPG has implemented industry best practices with respect to corporate
governance policies and external reporting. In 2019, the CPIPG Group approved the “Code of Business Ethics and
Conduct of CPI Property Group” and also newly updated policies governing procurement, supplier and tenants’
conduct, anti-bribery and corruption, anti-money laundering, sanctions and export controls, whistleblowing,
human capital and employment and ESG. In 2022, the Group adopted a new group policy governing anti-trust
compliance.
In 2023, the CPIPG Group began a comprehensive periodical review of its policies to ensure a continuous update
and improvement in the area of regulatory and corporate compliance. The CPIPG Group is also revising its whistle
blowing directives at local levels in alignment with the delayed transpositions of the EU Whistleblower Directive
into local laws, ensuring robust mechanisms for reporting and addressing concerns of the CPIPG Group’s
stakeholders. Additionally, the CPIPG Group updated its Code of Conduct for Suppliers to reinforce the CPIPG
Group’s commitment to ascertain responsible business practices throughout its supply chain. Furthermore, the
CPIPG Group initiated a programme to implement the new EU NIS2 Directive requirements. These efforts
underscore the CPIPG Group’s dedication to fostering a culture of integrity, accountability, and compliance
across all facets of its operations. In addition, the CPIPG Group’s policies have been reviewed and updated in
2024 by global law firm White & Case as part of independent review of allegations raised by a short seller.
MANAGEMENT REPORT | 31
Board of Directors
The Company is administered and supervised by a Board of Directors made up of at least three members.
Appointment of Directors
The Directors are appointed by the general meeting of shareholders for a period of office not exceeding six years.
They are eligible for re-election and may be removed at any time by decision of the general meeting of
shareholders by simple majority vote. In the event of a vacancy in the office of a Director, the remaining Directors
may provisionally fill such vacancy, in which case the general meeting of shareholders will hold a final election at
the time of its next meeting.
Current Board of Directors
As at 31 December 2024 the Board of Directors consisted of: 2 members representing the management of CPIPG
Group, Mr. David Greenbaum and Mrs. Anita Dubost, and 2 independent members, Mr. Edward Hughes and Mr.
Alfred Bradner.
Anita Dubost, 1979 , Tax Manager, executive member.
Anita Dubost was appointed to the Board of Directors in May 2019. Before joining CPIPG, she worked at Tristan
Capital Partners as Senior Tax Manager within the Luxembourg Operations team. In her role she was in charge
of overseeing the tax structuring of the Tristan-managed funds. She was also a member of the Investment
Committee. Anita began her career at Atoz (member of the international Tax and network) where she was Senior
Associate advising multi-national clients. Anita holds a Master’s Degree in Law and in Business Administration
specialized in finance and tax.
David Greenbaum, 1977, Chief Executive Officer of CPI Property Group, executive member.
David Greenbaum was appointed to the Board of Directors in May 2019. Before joining CPIPG, he worked for
nearly 16 years at Deutsche Bank, where he was most recently co-head of debt capital markets for the CEEMEA
region. David began his career at Alliance Capital Management in 1999. In 2000 he joined Credit Suisse First
Boston before moving to Deutsche Bank in 2002. David graduated magna cum laude from Cornell University with
a degree in English language and literature.
Edward Hughes, 1966, independent, non-executive member.
Edward Hughes has been a member of the Board of Directors since March 2014. He has been engaged in real
estate investment, consultancy and brokerage activities in Central Europe for more than 20 years. Edward is an
experienced real estate and finance professional having engaged in many significant asset acquisition, and
development projects in the region. Edward is a Chartered Accountant, after starting his career with Arthur
Andersen (London – 1988), in September 1991 he transferred to the Prague office. Since this time, he has been
almost exclusively focused on Central Europe including during his employment as an Associate Director of GE
Capital Europe. Edward is a graduate of Trinity College, Dublin where he majored in Business and Economics with
Honours (1988).
Scot Wardlaw, 1967, independent, non-executive member (until 24 June 2024).
Scot Wardlaw was appointed to the Board of Directors in May 2020. Scot has over two decades experience in
project and process management in the fields of IT, software and product development in an international
environment. He currently serves as Managing Director for various real estate investment platforms based in
Luxembourg and is part of Central Business Development at SIMRES Real Estate where he manages the group’s
strategic development. Scot graduated magna cum laude from Savannah College of Art & Design with a degree
in Computer Art and Art History.
Alfred Brandner, 1969, independent, non-executive member (since 28 June 2024)
MANAGEMENT REPORT | 32
Alfred Brandner was co-opted to the Board of Directors in June 2024. After finishing his studies in business
administration in Vienna, Alfred started his career in international tax advisory. Since then, he has been working
in finance for more than 25 years and held management positions in fund management companies and
international banks in Austria, Germany, Luxembourg, and Switzerland. Alfred is a resident of Luxembourg.
The current members of the Board of Directors are appointed until the annual general meeting of 2025
concerning the approval of the annual accounts of the Company for the financial year ending 31 December 2024.
The independent directors are not involved in management, are not employees or advisors with a regular salary
and do not provide professional services such as external audit services or legal advice. Furthermore, they are
not related persons or close relatives of any management member or majority shareholder of the Company.
The Board of Directors meetings are held as often as deemed necessary or appropriate. All members, and in
particular the independent and non-executive members, are guided by the interests of the Company and its
business, such interests including but not limited to the interests of the Company’s shareholders and employees.
Powers of the Board of Directors
The Board of Directors represents the shareholders and acts in the best interests of the Company. Each member,
whatever his/her designation, represents the Company’s shareholders.
The Board of Directors is empowered to carry out all and any acts deemed necessary or useful in view of the
realization of the corporate purpose; all matters that are not reserved for the general meeting by law or by the
present Articles of Association shall be within its competence. In its relationship with third parties, the Company
shall even be bound by acts exceeding the Company’s corporate purpose, unless it can prove that the third party
knew such act exceeded the Company’s corporate purpose or could not ignore this taking account of
circumstances.
Deliberations
The Board of Directors may only deliberate if a majority of its members are present or represented by proxy,
which may be given in writing, by telegram, telex or fax. In cases of emergency, the Directors may vote in writing,
by telegram, telex, fax, electronic signature or by any other secured means.
The decisions of the Board of Directors must be made by majority vote; in case of a tie, the Chairman of the
meeting shall have the deciding vote.
Resolutions signed unanimously by the members of the Board of Directors are as valid and enforceable as those
taken at the time of a duly convened and held meeting of the Board.
The Board will regularly evaluate its performance and its relationship with the management. During 2024, the
Board held 10 meetings, with all members being present or represented.
Delegations of powers to Managing Directors
The Board of Directors may delegate all or part of its powers regarding the daily management as well as the
representation of the Company with regard to such daily management to one or more persons (administrateur
délégué), who need not be Directors (a "Managing Director"). The realization and the pursuit of all transactions
and operations basically approved by the Board of Directors are likewise included in the daily management of
the Company. Within this scope, acts of daily management may include particularly all management and
provisional operations, including the realization and the pursuit of acquisitions of real estate and securities, the
establishment of financings, the taking of participating interests and the placing at disposal of loans, warranties
and guarantees to group companies, without such list being limited.
MANAGEMENT REPORT | 33
As at 31 December 2024, David Greenbaum and Pavel Měchura are elected as Managing Directors
(administrateurs délégués) of the Company.
Signatory powers within the Board of Directors
The Company may be legally bound either by the joint signatures of any two Directors or by the single signature
of a Managing Director.
Special commitments in relation to the election of the members of the Board of Directors
The Company is not aware of commitments that are in effect as of the date of this report by any parties relating
to the election of members of the Board of Directors.
Management of the Company
The management is entrusted with the day-to-day running of the Company and among other things to:
• be responsible for preparing complete, timely, reliable and accurate financial reports in accordance with
the accounting standards and policies of the Company;
• submit an objective and comprehensible assessment of the company’s financial situation to the Board
of Directors;
• regularly submit proposals to the Board of Directors concerning strategy definition;
• participate in the preparation of decisions to be taken by the Board of Directors;
• supply the Board of Directors with all information necessary for the discharge of its obligations in a
timely fashion;
• set up internal controls (systems for the identification, assessment, management and monitoring of
financial and other risks ), without prejudice to the Board’s monitoring role in this matter; and
• regularly account to the Board for the discharge of its responsibilities.
The members of the management meet on a regular basis to review the operating performance of the business
lines and the containment of operating expenses.
As at 31 December 2024, the Company’s management consisted of the following members:
David Greenbaum, Managing Director,
Pavel Měchura, Managing Director,
Erik Morgenstern, Chief Financial Officer,
Anita Dubost, Tax Manager.
Committees of the Board of Directors
As at 31 December 2024 the Board of Directors has the following committees:
• Audit Committee; and
• Remuneration, Appointment and Related Party Transaction Committee.
The implementation of decisions taken by these committees enhances the Company’s transparency and
corporate governance.
Independent and non-executive directors are always in the majority of the members of these committees.
MANAGEMENT REPORT | 34
Audit Committee
The Audit Committee is now comprised of Mr. Edward Hughes, Mr. Alfred Brandner, and Mrs. Anita Dubost. Mr.
Edward Hughes is the president of the Audit Committee.
The Audit Committee reviews the Company’s accounting policies and the communication of financial
information. In particular, the Audit Committee follows the auditing process, reviews and enhances the
Company’s reporting procedures by business lines, reviews risk factors and risk control procedures, analyzes the
Company’s group structure, assesses the work of external auditors, examines consolidated accounts, verifies the
valuations of real estate assets, and audits reports. The Audit Committee has therefore invited persons whose
collaboration is deemed to be advantageous to assist it in its work and to attend its meetings.
During 2024, the Audit Committee held 4 meetings (with 100% attendance).
Remuneration, Appointment and Related Party Transaction Committee
Following the changes in the Board of Directors composition in 2020 the Remuneration, Appointment and
Related Party Transaction Committee (the “Remuneration Committee”) is now comprised of Mr. Edward Hughes,
Mr. Alfred Brandner, and Mr. David Greenbaum. Mr. Edward Hughes is the president of the Remuneration
Committee.
The Remuneration Committee presents proposals to the Board of Directors about remuneration and incentive
programs to be offered to the management and the Directors of the Company. The Remuneration Committee
also deals with related party transactions.
The role of the Remuneration Committee is, among other things, to submit proposals to the Board regarding the
remuneration of executive managers, to define objective performance criteria respecting the policy fixed by the
Company regarding the variable part of the remuneration of top management (including bonus and share
allocations, share options or any other right to acquire shares) and that the remuneration of non-executive
Directors remains proportional to their responsibilities and the time devoted to their functions.
During 2024, the role of the Remuneration Committee has been assumed directly by the Board of Directors.
Description of internal controls relative to financial information processing.
The Company has organized the management of internal control by defining control environment, identifying
the main risks to which it is exposed together with the level of control of these risks, and strengthening the
reliability of the financial reporting and communication process.
Control Environment
For the annual closure, the Company’s management completes an individual questionnaire so that any
transactions they have carried out with the Company as “Related parties” can be identified.
The Audit Committee has a specific duty in terms of internal control; the role and activities of the Audit
Committee are described in this Management Report.
Remuneration and benefits
Board of Directors
See note 1 of the Consolidated financial statements as at 31 December 2024.
Corporate Governance rules and regulations
In reference to the information required by paragraphs (a) to (k) of Article 11(1) of the Law of 19 May 2006
transposing Directive 2004/25/EC of the European Parliament and of the Council of 21 April 2004 on takeover
bids, the Board of Directors states the following elements:
MANAGEMENT REPORT | 35
(a) The structure of the capital, including securities which are not admitted to trading on a regulated market in a
Member State, where appropriate with an indication of the different classes of shares and, for each class of
shares, the rights and obligations attaching to it and the percentage of total share capital that it represents:
The share capital of the Company is represented by only one class of shares carrying the same rights.
Out of 1,314,507,629 Company shares outstanding, the 314,507,629 Company shares (registered under ISIN
LU0122624777, representing app. 23.9% of the total share capital) have been admitted to trading on the
regulated markets of the Luxembourg Stock Exchange and the Warsaw Stock Exchange.
(b) Any restrictions on the transfer of securities, such as limitations on the holding of securities or the need to
obtain the approval of the company or other holders of securities, without prejudice to Article 46 of Directive
2001/34/EC:
There is no restriction on the transfer of securities of the Company as at 31 December 2024.
(c) Significant direct and indirect shareholdings (including indirect shareholdings through pyramid structures and
cross-shareholdings) within the meaning of Article 85 of Directive 2001/34/EC:
To the best of the Company’s knowledge, the following table sets out information regarding the ownership of
the Company’s shares as at 31 December 2024. The information collected is based on the notifications received
by the Company from any shareholder crossing the thresholds of 5%, 10%, 15%, 20%, 33 1/3%, 50% and 66 2/3%
of the aggregate voting rights in the Company.
Shareholder
Number of shares
% of capital / voting rights
CPI PROPERTY GROUP (directly)
1,279,198,976
97.31%
Others
35,308,653
2.69%
Total
1,314,507,629
100.0%
(d) The holders of any securities with special control rights and a description of those rights:
None of the Company’s shareholders has voting rights different from any other holders of the Company’s shares.
On 8 June 2016 CPI Property Group’s fully owned subsidiary Nukasso Holdings Limited directly and indirectly
acquired approximately 97.31% of shares in the Company. As a consequence, Nukasso Holdings Limited from the
CPI Property Group became obliged to launch a mandatory takeover bid to purchase any and all of the ordinary
shares of the Company (the “Mandatory Takeover Offer”). On 22 August 2016, the Czech Office for the Protection
of Competition granted the merger clearance for the acquisition of the Company by CPI Property Group, whereas
its decision became final and binding on 23 August 2016.
On 8 December 2017 the CSSF published press releases in which it stated, inter alia, that it has decided not to
approve the offer document in the Mandatory Takeover Offer as a consequence of the existence of an
undisclosed concern action with respect to the Company. On 15 March 2018 the CSSF published a press release
informing that the decisions detailed in the above-mentioned CSSF press releases of 8 December 2017 have been
challenged before the Luxembourg administrative courts. On 21 November 2023 the first instance court rejected
administrative lawsuits against the decisions of the CSSF. The shareholders appealed against this decision.
On 27 June 2024, the appeals formed against the judgments of 21 November 2023 have been dismissed by the
Administrative Court (Cour administrative). As a consequence, decisions adopted by the CSSF on 8 December
2017 are final and may no longer be challenged before the Luxembourg administrative courts. The Company
understands that shareholders have the right to bring claims to the European Court of Human Rights in
Strasbourg.
As of the date of this report, the Company has not received any formal decision in relation to the Mandatory
MANAGEMENT REPORT | 36
Takeover Offer.
(e) The system of control of any employee share scheme where the control rights are not exercised directly by
the employees:
This is not applicable. The Company has no employee share scheme.
(f) Any restrictions on voting rights, such as limitation on the voting rights of holders of a given percentage or
number of votes, deadlines for exercising voting rights, or systems whereby, with the Company's cooperation,
the financial rights attaching to securities are separated from the holding of securities:
There is no restriction on voting rights.
(g) Any agreements between shareholders which are known to the company and may result in restrictions on
the transfer of securities and/or voting rights within the meaning of Directive 2001/34/EC:
To the knowledge of the Company, no shareholder agreements have been entered by and between shareholders
that are in effect as of the date of this report. 97.31% of shares in the Company are held directly by CPI PROPERTY
GROUP.
(h) the rules governing the appointment and replacement of board members and the amendment of the articles
of association:
See section Appointment of Directors of this report.
(i) the powers of board members, and in particular the power to issue or buy back shares:
The Company has no authorized but unissued and unsubscribed share capital in addition to the issued and
subscribed corporate capital of €13,145,076.29.
On 30 May 2022, the AGM of shareholders of the Company approved the terms and conditions of the share buy-
back programme of the Company. The Company itself, or through a company in which the Company holds
directly the majority of the voting rights, or through a person acting in their own name but for the account of the
Company may repurchase, in one or several steps, a maximum of 35,308,653 shares of the Company, for a
purchase price in the range between €0.01 per share to €5 per share.
The shares may be repurchased on the Luxembourg Stock Exchange or the Warsaw Stock Exchange or directly
from existing and/or future shareholders by consensual or private sale. The duration of the share buy-back
programme is 5 years from the AGM of shareholders of the Company which was held on 30 May 2022.
(j) any significant agreements to which the company is a party and which take effect, alter or terminate upon a
change of control of the company following a takeover bid, and the effects thereof, except where their nature is
such that their disclosure would be seriously prejudicial to the company; this exception shall not apply where the
company is specifically obliged to disclose such information on the basis of other legal requirements:
Under the Securities Note and Summary dated 22 March 2007, with respect to the issue of the 2014 Warrants,
the occurrence of a Change of Control (as described in Condition 4.1.8.1.2.1 of the Securities Note and Summary
dated 22 March 2007) could result in a potential liability for the Company due to “Change of Control
Compensation Amount”.
On 10 June 2016 the Company received a major shareholder notification stating that NUKASSO (CYP) and CPI
PROPERTY GROUP, which are ultimately held by Mr. Radovan Vitek, hold directly and indirectly 1,279,198,976 of
the Company’s shares corresponding to 97.31% of voting rights as at 8 June 2016. Accordingly, the Company
issued a Change of Control Notice notifying the holders of the 2014 Warrants that the Change of Control, as
defined in the Securities Note and the Summary for the 2014 Warrants, occurred on 8 June 2016.
MANAGEMENT REPORT | 37
In accordance with the judgement of the Paris Commercial Court (the “Court”) pronounced on 26 October 2015
concerning the termination of the Company’s Safeguard Plan, liabilities that were admitted to the Safeguard, but
are conditional or uncalled (such as uncalled bank guarantees, conditional claims of the holders of 2014 Warrants
registered under ISIN code XS0290764728, provided that they were admitted to the Safeguard plan), will be paid
according to their contractual terms. Pre-Safeguard liabilities that were not admitted to the Company’s
Safeguard will be unenforceable. As such, only claims of holders of the 2014 Warrants, whose potential claims
were admitted to the Company’s Safeguard Plan, could be considered in respect of the present Change of
Control. Claims of holders of the 2014 Warrants that were not admitted to the Company’s Safeguard will be
unenforceable against the Company.
On 9 March 2023 the Luxembourg Court issued a judgment, rejecting the claims of the holders of the 2014
Warrants. The Luxembourg Court confirmed that any claim in relation to the change of control provision had to
be made, in accordance with the provisions of the French Commercial Code, within 2 months as from the date
of publication of the judgement opening the Safeguard Procedure in the French Official Gazette. Since the
claimants did not comply with this obligation, their claim for payment under the change of control provision is
not well-founded and has to be rejected. The claimants did not appeal, and the case is closed now.
Certain financing documentation entered into between the Group and financing banks could contain standard
change of control clauses.
To the knowledge of the Company, no other agreements have been entered into by the Company.
(k) any agreements between the company and its board members or employees providing for compensation if
they resign or are made redundant without valid reason or if their employment ceases because of a takeover
bid:
As at 31 December 2024, there are no potential termination indemnity payments in place payable to the
members of the Company's management in the event of termination of their contracts in excess of the
compensation as required by the respective labour codes.
Additional information
Legal form and share capital
CPI FIM is a public limited company (“société anonyme”) incorporated and existing under Luxembourg law. Its
corporate capital, subscribed and fully paid-up capital of €13,145,076.29 is represented by 1,314,507,629 shares
without nominal value. The accounting par value price is €0.01 per share.
Date of incorporation and termination
The Company was incorporated by deed drawn on 9 September 1993 by Maître Frank Baden, for an
indeterminate period of time.
Jurisdiction and applicable laws
The Company exists under the Luxembourg Act of 10 August 1915 on commercial companies, as amended.
Object of business
As described in article 4 of the updated Articles of Association of the Company, its corporate purpose is the direct
acquisition of real estate, the holding of ownership interests and the making of loans to companies that form
part of its group. Its activity may consist in carrying out investments in real estate, such as the purchase, sale,
construction, valorization, management and rental of buildings, as well as in the promotion of real estate,
whether on its own or through its branches.
It has as a further corporate purpose the holding of ownership interests, in any form whatsoever, in any
commercial, industrial, financial or other Luxembourg or foreign companies, whether they are part of the group
MANAGEMENT REPORT | 38
or not, the acquisition of all and any securities and rights by way of ownership, contribution, subscription,
underwriting or purchase options, or negotiation, and in any other way, and in particular the acquisition of
patents and licenses, their management and development, the granting to undertakings in which it holds a direct
or indirect stake of all kinds of assistance, loans, advances or guarantees and finally all and any activities directly
or indirectly relating to its corporate purpose. It may thus play a financial role or carry out a management activity
in enterprises or companies it holds or owns.
The Company may likewise carry out all and any commercial, property, real estate and financial operations likely
to relate directly or indirectly to the activities defined above and susceptible to promoting their fulfillment.
Trade register
RCS Luxembourg B 44 996.
Financial year
The Company’s financial year begins on the first day of January and ends on the thirty-first day of December.
Distribution of profits and payment of dividends
Each year, at least five per cent of the net corporate profits are set aside and allocated to a reserve. Such
deduction ceases being mandatory when such reserve reaches ten per cent of the corporate capital, but will
resume whenever such reserve falls below ten per cent. The general meeting of shareholders determines the
allocation and distribution of the net corporate profits.
Payment of dividends:
The Board of Directors is entitled to pay advances on dividends when the legal conditions listed below are
fulfilled:
• an accounting statement must be established which indicates that the available funds for the
distribution are sufficient;
• the amount to be distributed may not exceed the amount of revenues since the end of the last
accounting year for which the accounts have been approved, increased by the reported profits and by
the deduction made on the available reserves for this purpose and decreased by the reported losses
and by the sums allocated to reserves in accordance with any legal and statutory provision;
• the Board of Directors’ decision to distribute interim dividends can only be taken within two months
after the date of the accounting statement described above;
• the distribution may not be determined less than six months after the closing date of the previous
accounting year and before the approval of the annual accounts related to this accounting year;
• whenever a first interim dividend has been distributed, the decision to distribute a second one may only
be taken at least three months after the decision to distribute the first one; and
• the statutory and independent auditor(s) in its (their) report to the Board of Directors confirm(s)
• the conditions listed above are fulfilled.
Under general Luxembourg law, the conditions for making advances on dividends are less stringent than the
conditions listed above, however, the more restrictive provisions of the Company’s Articles of Association will
prevail as the recent changes under Luxembourg law have not yet been reflected in the Articles of Association of
the Company.
When an advance distribution exceeds the amount of dividend subsequently approved by the general meeting
of shareholders, such advance payment is considered an advance on future dividends.
Exceeding a threshold
Any shareholder who crosses a threshold limit of 5%, 10%, 15%, 33 1/3%, 50% or 66 2/3% of the total of the
voting rights must inform the Company, which is then obliged to inform the relevant controlling authorities. Any
MANAGEMENT REPORT | 39
shareholder not complying with this obligation will lose his voting rights at the next general meeting of
shareholders, and until proper majority shareholding notification is made.
Documents on display
Copies of the following documents may be inspected at the registered office of the Company (tel: +352 26 47 67
1), 40 rue de la Vallée, L-2661 Luxembourg, on any weekday (excluding public holidays) during normal business
hours:
1. Articles of Association of the Company;
2. Audited consolidated financial statements of the Company as of and for the years ended 31 December 2023,
2022, and 2021, prepared in accordance with IFRS adopted by the European Union;
The registration document(s) and most of the information mentioned are available on the Company’s website:
www.cpifimsa.com
The registration document(s) is available on the website of Luxembourg Stock Exchange: www.bourse.lu.
External Auditors
Ernst & Young S.A., Luxembourg was elected as the Group’s new approved auditor (réviseur d’entreprises agréé)
for the financial year commencing on 1 January 2019. The AGM resolved to approve Ernst & Young S.A.,
Luxembourg as auditors for the financial year ending 31 December 2024.
Reporting
The consolidated management report and the stand-alone management report are presented under the form of
a sole report.
MANAGEMENT REPORT | 40
SHAREHOLDING
Share capital and voting rights
The subscribed and fully paid-up capital of the Company of €13,145,076.29 is represented by 1,314,507,629
shares without nominal value. The accounting par value is €0.01 per share.
The Company has no authorized but unissued and unsubscribed share capital in addition to the issued and
subscribed corporate capital of €13,145,076.29.
All the shares issued by the Company are fully paid up and have the same value. The shares will be either in the
form of registered shares or in the form of bearer shares, as decided by the shareholder, except to the extent
otherwise provided by law.
The shareholder can freely sell or transfer the shares. The shares are indivisible and the Company only recognizes
one holder per share. If there are several owners per share, the Company is entitled to suspend the exercise of
all rights attached to such shares until the appointment of a single person as owner of the shares. The same
applies in the case of usufruct and bare ownership or security granted on the shares.
Joint owners of shares must be represented within the Company by one of them considered as sole owner or by
a proxy, who in case of conflict may be legally designated by a court at the request of one of the owners.
Shareholder holding structure
To the best of the Company’s knowledge, the following table sets out information regarding the ownership of
the Company’s shares as at 31 December 2024. The information collected is based on the notifications received
by the Company from any shareholder crossing the thresholds of 5%, 10%, 15%, 20%, 33 1/3%, 50% and 66 2/3%
of the aggregate voting rights in the Company.
Shareholder
Number of shares
% of capital / voting rights
CPI PROPERTY GROUP (directly)
1,279,198,976
97.31%
Others
35,308,653
2.69%
Total
1,314,507,629
100.0%
Authorized capital not issued
The Company has no authorized but unissued and unsubscribed share capital in addition to the issued and
subscribed corporate capital of €13,145,076.29.
MANAGEMENT REPORT | 41
POTENTIAL RISKS AND OTHER REPORTING REQUIREMENTS
The Group’s activities expose it to a variety of financial risks: market risk (including foreign exchange risk, price
risk, cash flow interest rate risk and other risks), credit risk and liquidity risk. This note presents information about
the Group’s exposure to each of the above risks, the Group’s objectives, policies and processes for measuring
and managing risk, and the Group’s management of capital.
The primary objectives of the financial risk management function are to establish risk limits, and then ensure
that exposure to risks stays within these limits.
Supervision of the Group’s risk is accomplished through discussions held by executive management in
appropriate frameworks together with reporting and discussions with the Board of Directors.
Subsequent closing events
Please refer to note 11 of the Consolidated financial statements as at 31 December 2024.
Other reporting requirements
• The Company does not have any activities in research and development.
• The Company does not have any branches.
Financial risks exposure
For a thorough description of the principal risks and uncertainties, please refer to note 7 of the Consolidated
financial statements as at 31 December 2024.
The primary objectives of the financial risk management function are to establish risk limits, and then ensure
that exposure to risks stays within these limits.
Supervision of the Group’s risk is accomplished through discussions held by executive management in
appropriate frameworks together with reporting and discussions with the Board of Directors.
Certain subsidiaries may be in breach of loan covenants
As of the date of this report, none of the Company’s subsidiaries are in breach of financial ratios specified in their
respective loan agreements and administrative covenants.
The Group’s financing arrangements could give rise to additional risk
When the Group acquires a property using external financing, the Group usually provides a mortgage over
the acquired property and pledges the shares of the specific subsidiary acquiring the property. There can be no
assurance that the registration of mortgages and pledges has been concluded in accordance with applicable local
law, and a successful challenge against such mortgages or pledges may entitle the lender to demand early
repayment of its loan to the Group. The Group’s financing agreements contain financial covenants that could,
among other things, require the Group to maintain certain financial ratios. In addition, some of the financing
agreements require the prior written consent of the lender to any merger, consolidation or corporate changes
of the borrower and the other obligors. Should the Group breach any representations, warranties or covenants
contained in any such loan or other financing agreement, or otherwise be unable to service interest payments
or principal repayments, the Group may be required immediately to repay such borrowings in whole or in part,
together with any related costs. If the Group does not have sufficient cash resources or other credit facilities
available to make such repayments, it may be forced to sell some or all of the properties comprising the Group’s
investment portfolio, or refinance those borrowings with the risk that borrowings may not be able to be
refinanced or that the terms of such refinancing may be less favorable than the existing terms of borrowing.
MANAGEMENT REPORT | 42
Market risk
Foreign currency risk
Currency risk is applicable generally to those business activities and development projects where different
currencies are used for repayment of liabilities under the relevant financing to that of the revenues generated
by the relevant property or project. Foreign currency risk is the risk that the fair value or future cash flows
of a financial instrument will fluctuate because of changes in foreign exchange rates. The Group is exposed
to currency risk mainly on sales, purchases and borrowings that are denominated in a currency other than
the respective functional currencies of Group entities, primarily the CZK, but also others (see note 7.3 Market
risk of the Consolidated financial statements as at 31 December 2024). The functional currency of most Group
companies is the Czech koruna and a significant portion of revenues and costs are realised primarily in the Czech
koruna.
For more detail, please refer to note 7.3 Foreign currency risk of the Consolidated financial statements as at 31
December 2024.
Price risk
To manage its price risk arising from investments in equity securities and such embedded derivatives, the Group
diversifies its portfolio or only enters these operations if they are linked to operational investments.
For more detail, please refer to note 7.3 Price risk of the Consolidated financial statements as at 31 December
2024.
Interest rate risk
The Group uses fixed rate debt financing to finance the purchase, development, construction and maintenance
of its properties. When floating rate financing is used, the Group’s costs increase if prevailing interest rate levels
rise. While the Group generally seeks to control its exposure to interest rate risks by entering into interest rate
swaps, not all financing arrangements are covered by such swaps and a significant increase in interest expenses
would have an unfavorable effect on the Group’s financial results and may have a material adverse effect
on the Group’s business, financial condition, results of operations and prospects. Rising interest rates could also
affect the Group’s ability to make new investments and could reduce the value of the properties. Conversely,
hedged interests do not allow the Company to benefit from falling interest rates.
For more detail, please refer to note 7.3 Interest rate risk of the Consolidated financial statements as at 31
December 2024.
Other risks
The Group is also exposed to property price and property rentals risk but it does not pursue any speculative
policy. Even though the Group’s activities are focused on one geographical area (Central Europe) such activities
are spread over several business lines (residences, offices) and different countries.
Credit risk
The Group has no significant concentrations of commercial credit risk. Rental contracts are made with customers
with an appropriate credit history. Credit risk is managed by local management and by Group management.
For more detail, please refer to note 7.1 Credit risk of the Consolidated financial statements as at 31 December
2024.
MANAGEMENT REPORT | 43
Liquidity risk
For more detail, please refer to note 7.2 Liquidity risk of the Consolidated financial statements as at 31 December
2024.
Capital management
For more detail, please refer to note 7.4 Capital management of the Consolidated financial statements as at 31
December 2024.
Risks associated with real estate and financial markets
Changes in the general economic and cyclical parameters may negatively influence the Group’s business activity.
The Group’s core business activity is mainly based on the letting and sale of real estate property. The revenues
from rents and revenues from sales of real estate property investments are key figures for the Group’s value
and profitability. Rents and sales prices depend on economic and cyclical parameters, which the Group cannot
control.
The Group’s property valuations may not reflect the real value of its portfolio, and the valuation of its assets may
fluctuate from one period to the next.
The Group’s investment property portfolio is valued at least once a year by an independent appraiser. The
Group’s property assets were valued as at 31 December 2024. The change in the appraised value of investment
properties, in each period, determined on the basis of expert valuations and adjusted to account for any
acquisitions and sales of buildings and capital expenditures, is recorded in the Group’s income statements. For
each Euro of change in the fair value of the investment properties, the net income of the Group changes by one
Euro. Changes in the fair value of the buildings could also affect gains from sales recorded on the income
statement (which are determined by reference to the value of the buildings) and the rental yield from the
buildings (which is equal to the ratio of rental revenues to the fair value of the buildings). Furthermore, adverse
changes in the fair value of the buildings could affect the Group’s cost of debt financing, its compliance with
financial covenants and its borrowing capacity.
The values determined by independent appraisers are based on numerous assumptions that may not prove
correct, and also depend on trends in the relevant property markets. An example is the assumption that the
Company is a “going concern”, i.e., that it is not a “distressed seller” whose valuation of the property assets may
not reflect potential selling prices. In addition, the figures may vary substantially between valuations. A decline
in valuation may have a significant adverse impact on the Group’s financial condition and results, particularly
because changes in property values are reflected in the Group’s consolidated net profit. Conversely, valuations
may be lagging soaring market conditions, inadequately reflecting the fair property values at a later time.
The Group is also exposed to valuation risk regarding the receivables from its asset sales. Management values
these receivables by assessing the credit risk attached to the counterparties for the receivables. Any change in
the credit worthiness of a counterparty or in the Group’s ability to collect on the receivable could have a
significant adverse impact on the Group’s financial position and results.
Changing residential trends or tax policies may adversely affect sales of developments.
The Group is involved in residential, commercial and retail development projects. Changing residential trends
are likely to emerge within the markets in Central and Eastern Europe as they mature and, in some regions,
relaxed planning policies may give rise to over-development, thereby affecting the sales potential of the Group’s
residential developments. Changing real estate taxes or VAT taxes may also have a notable impact on sales (such
as for example a hike in sales before implementation of a tax increase followed by structurally lower sales). These
factors will be considered within the investment strategy implemented by the Group but may not always
MANAGEMENT REPORT | 44
be anticipated and may have a material adverse effect on the Group’s business, financial condition, results
of operations and prospects.
MANAGEMENT REPORT | 45
CORPORATE RESPONSIBILITY
Corporate responsibility and sustainable development is at the core of the strategy of the Company. The Group’s
top management actively foster best practices as an opportunity to improve the cost efficiency of internal
processes and the value creation of our main activity - development of properties, provision of equity loans and
management services to other entities within the CPIPG Group.
5
Environmental, social and ethical matters
The Group is committed to high standards in environmental, social and ethical matters. Our staff receive training
on our policies in these areas, and are informed when changes are made to the policy. Our environmental policy
is to comply with all applicable local regulations, while pursuing energy-efficient solutions and green / LEED
certification wherever possible. Ethical practice is a core component of our corporate philosophy; we have
achieved top-quality standards in reporting and communications, and have invested in the best professionals.
From a social perspective, we care deeply about all our stakeholders. Our corporate culture is centered around
respect and professionalism, and we believe in giving back to our community.
Environmental matters
The Group follows a pragmatic approach to environmental aspects of its business. Environmental criteria are one
of the main aspects of the Group’s development and construction projects.
Before each potential asset investment, the Group examines the environmental risks. Project timing, progress
and budgets are carefully monitored, mostly with the support of external project monitoring advisors. Health,
safety and environmental risks are monitored before and during construction.
Health and safety, as well as the technical and security installations are periodically inspected for checking of
their status and the conformity with applicable legislation and local regulation.
As a priority item for apartment building renovations, the Group replaces older heating systems with natural gas
systems, and seeks to improve the overall level of thermal insulation in its buildings.
Social matters
The Group follows the Environmental, Social and Governance (ESG) framework of its parent company CPIPG.
The Group aims to promote personal development of its employees. The Group provides a work environment
that is motivating, competitive and reflects the needs of the employees. The Group promotes diversity and equal
opportunity in the workplace.
Employees of the Group conduct annual reviews with their managers, covering also the relationships of the
employees with their work and working place, as well as the Group in general.
Ethical matters
The Group has policies addressing conduct, including conflicts of interest, confidentiality, abuse of company
property and business gifts.
5
For the ESG related statements, also applicable to the Company, please refer to the management report of CPI PROPERTY GROUP.
MANAGEMENT REPORT | 46
EU TAXONOMY
Taxonomy eligibility
Since 2022, CPI FIM is reporting according to Art. 8 of the Taxonomy Regulation of the European Union and thus
closely monitoring the regulatory environment.
The following regulations and notices in the latest version have been reviewed for applicability:
• Commission Delegated Regulation (EU) 2021/2139;
• Commission Delegated Regulation (EU) 2022/1214;
• Commission Delegated Regulation (EU) 2023/2485;
• Commission Delegated Regulation (EU) 2023/2486;
• Commission Delegated Regulation (EU) 2021/2178;
• Commission Notice on the interpretation and implementation of certain legal provisions of the EU
Taxonomy Regulation and links to the Sustainable Finance Disclosure Regulation (2023/C 211/01) (FAQ);
• Commission Notice on the interpretation and implementation of certain legal provisions of the
Disclosures Delegated Act under Article 8 of the EU Taxonomy Regulation on the reporting of taxonomy-
eligible and taxonomy-aligned economic activities and assets (third Commission Notice), and
• Draft Commission Notice on the interpretation and implementation of certain legal provisions of the EU
Taxonomy Environmental Delegated Act, the EU Taxonomy Climate Delegated Act and the EU Taxonomy
Disclosures Delegated Act (29 November 2024).
The analysis led to the following applicable eligible economic activities in the 2024 financial year:
• Climate Change Mitigation (CCM)/Climate Change Adaptation (CCA) 7.7 acquisition and ownership of
buildings
The CPI FIM’s core activities are clearly linked to ‘buying real estate and exercising ownership of that real estate’
as this activity is described in the taxonomy legislation. Since the description of economic activity CCM 7.7 and
the definition of the technical screening criteria are based on the exercise of ownership of real estate, neither
revenues, CapEx nor OpEx, in connection with undeveloped land are subsumed under this economic activity.
Additions to other intangible assets and other tangible assets are also classified as non-taxonomy eligible.
Taxonomy alignment
Economic Activity 7.7 Acquisition and ownership of buildings
Substantial contribution to climate change mitigation (SC)
When reviewing buildings for a substantial contribution to the environmental objective ‘climate change
mitigation’, a distinction was made, in accordance with the technical screening criteria, as to whether or not the
application for a building permit for the respective building was submitted before 31 December 2020.
1. For buildings where an application for a building permit was submitted before 31 December 2020, the
first step was to examine whether the energy performance certificate (EPC) of the building shows an
energy class. To meet the requirements, the energy performance certificate of the building must show
MANAGEMENT REPORT | 47
at least energy class A. This assessment method was applied to all countries relevant to the CPI FIM,
with the exception of Poland, and the Czech Republic.
o For the Czech Republic and Poland the alternative technical screening criterium was used - a
building was assessed as aligned if it ranks among the top 15% of the national or regional
building stock in terms of primary energy demand. The assessment for Poland was based on
the national threshold of 109.4 kWh/m² published by the Ministry of Development and
Technology. In the Czech Republic the thresholds determined in a study of CEVRE Consultants
commissioned by Česká spořitelna, in 2024 and recommended by the Czech Green Building
Council were applied. This study classifies office buildings of the energy efficiency classes A, B
and C (up to primary energy demand of 260 kWh/m²), buildings for accommodation and
catering of the energy efficiency classes A, B and C (up to primary energy demand of 375
kWh/m²) as well as retail buildings of the energy classes A, B and C (up to primary energy
demand of 545 kWh/m²) as the top 15% of the national building stock.
Non-residential assets with more than 5,000 m² of usable space were examined for the existence of heating
systems, systems for combined space heating and ventilation, air-conditioning systems or systems for combined
air conditioning and ventilation with more than 290 kW of power. Where this criterium applies, checks were
subsequently carried out to determine whether these assets are efficiently operated and have a continuous
monitoring system. Technical documentation of the building management systems, property-/facility-
management contracts with respective obligations of the provider and for the first time, certificates according
to ISO 50001 were used as evidence. The certificates, which were obtained during 2024 lead to a significant
increase in the share of taxonomy-aligned revenue, capital and operational expenditures.
2. For buildings for which the building permit application was submitted after 31 December 2020, it must
be verified whether the primary energy demand of the respective building is at least 10% below the
national threshold for nearly zero-energy buildings. In addition, it must be determined whether the
usable space of the building exceeds 5,000 m². If this is the case, airtightness of the building envelope
and thermal integration upon completion, as well the global warming potential (GWP) viewed over the
entire life cycle must be demonstrated for each phase of the life cycle in addition to the criteria of
efficient operation. Since there are currently no life cycle assessments for these properties, taxonomy
alignment cannot yet be shown for these assets.
Do-no-significant-harm (DNSH)
In accordance with the requirements of the economic activity CCM 7.7 Acquisition and ownership of buildings,
CPI FIM conducts a climate risk and vulnerability assessment at the site level in order to prevent significant harm
to the environmental objective ‘climate change adaptation’. In doing so, a model with different time horizons
between 2040 and 2100 has been used so far assuming the RCP-scenarios 2.6, 4.5, 6.0 and 8.5.
The share of revenue, capital and operational expenditures from assets which fulfil the substantial contribution
and do-no-significant-harm criteria, as described above, are disclosed as taxonomy-aligned under the activity
CCM 7.7.
Revenue:
The proportion of taxonomy-aligned economic activities in total revenues was calculated as the part of net
revenues derived from products and services associated with taxonomy-aligned economic activities (numerator),
divided by net revenues (denominator), each for the financial year from 1 January 2024 to 31 December 2024.
This approach remains unchanged since the year of the first reporting according to Art. 8 of the Taxonomy
Regulation.
MANAGEMENT REPORT | 48
In accordance with the Delegated Act on Art. 8 of the EU Taxonomy, the revenue KPI is based on the consolidated
revenues and relates primarily to rental income and operating costs charged to tenants.
CapEx:
The key performance indicator capital expenditure (CapEx) is defined as the proportion of taxonomy-aligned
capital expenditures (numerator) divided by the total CapEx (denominator). The total CapEx for 2024 include
acquisition costs that were not accounted for in the 2023 reporting. The revised figures for 2023 are provided in
the relevant table. Otherwise, the approach remains unchanged since the year of the first reporting according to
Art. 8 of the Taxonomy Regulation.
The denominator comprises additions to investment property, property under construction, owner-operated
property and other tangible assets and intangible assets for the 2024 and 2023 financial years before
depreciation, amortisation and revaluations. The numerator includes CapEx related to assets or processes that
are associated with taxonomy-aligned proportions of economic activities. Here, CPI FIM considers CapEx that are
material to maintaining and performing the economic activity. The principle of allocation here is the generation
of external revenues through the economic activities. Consequently, all CapEx in taxonomy-aligned properties
are considered in the numerator of the performance indicator.
In 2024 the numerator of the KPI for aligned CapEx do not include any CapEx related to CapEx plan (as defined
in Commission Delegated Regulation (EU) 2021/2178, paragraph 1.1.2.2.).
OpEx:
The key performance indicator operating expenditure (OpEx) is defined as the proportion of taxonomy-aligned
operating expenditures (numerator) divided by total OpEx (denominator). The total operating expenditures for
2024 exclude personal expenses that were accounted for in the 2023 reporting. The revised figures for 2023 are
provided in the relevant table. Otherwise, the approach remains unchanged since the year of the first reporting
according to Art 8 of the Taxonomy Regulation. The classification of the OpEx can be derived analogously from
the categories of CapEx.
Total operating expenditures consist of non-capitalised costs that relate to building renovation measures,
maintenance and repair, as well as any other direct expenditures in connection with the day-to-day servicing of
investment property, property under construction and owner-operated property.
Additional Reporting from gas/nuclear energy
Row
Nuclear energy related activities
1
The undertaking carries out, funds or has exposures to research, development, demonstration
and deployment of innovative electricity generation facilities that produce energy from
nuclear processes with minimal waste from the fuel cycle.
NO
2
The undertaking carries out, funds or has exposures to construction and safe operation of new
nuclear installations to produce electricity or process heat, including for the purposes of
district heating or industrial processes, such as hydrogen production, as well as their safety
upgrades, using best available technologies.
NO
3
The undertaking carries out, funds or has exposures to safe operation of existing nuclear
installations that produce electricity or process heat, including for the purposes of district
heating or industrial processes such as hydrogen production from nuclear energy, as well as
their safety upgrades.
NO
MANAGEMENT REPORT | 49
Fossil gas related activities
4
The undertaking carries out, funds or has exposures to construction or operation of electricity
generation facilities that produce electricity using fossil gaseous fuels.
NO
5
The undertaking carries out, funds or has exposures to construction, refurbishment and
operation of combined heat/cool and power generation facilities using fossil gaseous fuels.
NO
6
The undertaking carries out, funds or has exposures to construction, refurbishment and
operation of heat generation facilities that produce heat/cool using fossil gaseous fuels.
NO
Turnover
Financial year 2024
Substantial contribution criteria
DNSH criteria
Economic activities
Code(s)
Turnover
Proportion of Turnover
year 2024
Climate Change Mitigation
(CCM)
Climate Change
Adaptation (CCA)
Water
Pollution
Circular economy
Biodiversity
Climate Change Mitigation
(CCM)
Climate Change
Adaptation (CCA)
Water
Pollution
Circular economy
Biodiversity
Minimum Safeguards
Proportion
of
Taxonomy-
aligned
(A.1.) or
eligible
(A.2.)
turnover,
year 2023
Category enabling activity
Category transitional
activity
€m
%
Y; N;
N/EL
Y; N;
N/EL
Y; N;
N/EL
Y; N;
N/EL
Y; N;
N/EL
Y; N;
N/EL
Y/N
Y/N
Y/N
Y/N
Y/N
Y/N
Y/N
%
E
T
A. TAXONOMY-ELIGIBLE ACTIVITIES
A.1. Environmentally sustainable activities (Taxonomy-aligned)
Acquisition and ownership of buildings
CCM/CCA7.7
0.000
0.0%
Y
N
N/EL
N/EL
N/EL
N/EL
Y
Y
Y
Y
Y
Y
Y
0.4%
Turnover of environmentally sustainable activities (Taxonomy-
aligned) (A.1)
0.000
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
Y
Y
Y
Y
Y
Y
Y
0.4%
Of which Enabling
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
Y
Y
Y
Y
Y
Y
Y
E
Of which Transitional
0.0%
0.0%
0.0%
Y
T
A.2. Taxonomy-Eligible but not environmentally sustainable activities (not Taxonomy-aligned)
Y; N;
N/EL
Y; N;
N/EL
Y; N;
N/EL
Y; N;
N/EL
Y; N;
N/EL
Y; N;
N/EL
Acquisition and ownership of buildings
CCM/CCA7.7
145.945
98.8%
EL
EL
N/EL
N/EL
N/EL
N/EL
98.0%
Turnover of Taxonomy-eligible but not environmentally
sustainable activities (not Taxonomy-aligned activities) (A.2)
145.945
98.8%
98.1%
0.0%
0.0%
0.0%
0.0%
0.0%
98.0%
Turnover of Taxonomy
eligible activities (A.1 + A.2)
145.945
98.8%
98.1%
0.0%
0.0%
0.0%
0.0%
0.0%
98.4%
B. TAXONOMY-NON-ELIGIBLE ACTIVITIES
Turnover of Taxonomy-non-eligible activities (B)
1.720
1.2%
Total
147.665
100%
Proportion of turnover/Total turnover
Taxonomy-aligned per objective
Taxonomy-eligible per objective
CCM
0.0%
98.8%
CCA
0%
0%
WTR
0%
0%
CE
0%
0%
PPC
0%
0%
BIO
0%
0%
MANAGEMENT REPORT | 51
CapEx
Financial year 2024
Substantial contribution criteria
DNSH criteria
Economic activities
Code(s)
CapEx
Proportion of CapEx year
2024
Climate Change Mitigation
(CCM)
Climate Change
Adaptation (CCA)
Water
Pollution
Circular economy
Biodiversity
Climate Change Mitigation
(CCM)
Climate Change
Adaptation (CCA)
Water
Pollution
Circular economy
Biodiversity
Minimum Safeguards
Proportion
of
Taxonomy-
aligned
(A.1.) or
eligible
(A.2.)
CapEx,
year 2023
Category enabling activity
Category transitional
activity
€m
%
Y; N;
N/EL
Y; N;
N/EL
Y; N;
N/EL
Y; N;
N/EL
Y; N;
N/EL
Y; N;
N/EL
Y/N
Y/N
Y/N
Y/N
Y/N
Y/N
Y/N
%
E
T
A. TAXONOMY-ELIGIBLE ACTIVITIES
A.1. Environmentally sustainable activities (Taxonomy-aligned)
Acquisition and ownership of buildings
CCM/CCA7.7
0.000
0.0%
Y
N
N/EL
N/EL
N/EL
N/EL
Y
Y
Y
Y
Y
Y
Y
1.0%
CapEx of environmentally sustainable activities
(Taxonomy-aligned) (A.1)
0.000
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
Y
Y
Y
Y
Y
Y
Y
1.0%
Of which Enabling
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
Y
Y
Y
Y
Y
Y
Y
E
Of which Transitional
0.0%
0.0%
0.0%
Y
T
A.2. Taxonomy-Eligible but not environmentally sustainable activities (not Taxonomy-aligned)
Y; N;
N/EL
Y; N;
N/EL
Y; N;
N/EL
Y; N;
N/EL
Y; N;
N/EL
Y; N;
N/EL
Acquisition and ownership of buildings
CCM7.7/CCA7.7
569.205
98.0%
EL
EL
N/EL
N/EL
N/EL
N/EL
90.6%
CapEx of Taxonomy-eligible but not environmentally
sustainable activities (not Taxonomy-aligned activities)
(A.2)
569.205
98.0%
98.0%
0.0%
0.0%
0.0%
0.0%
0.0%
90.6%
CapEx of Taxonomy
eligible activities (A.1 + A.2)
569.205
98.0%
98.0%
0.0%
0.0%
0.0%
0.0%
0.0%
91.6%
B. TAXONOMY-NON-ELIGIBLE ACTIVITIES
CapEx of Taxonomy-non-eligible activities (B)
11.878
2.0%
Total
581.083
100%
Proportion of CapEx/Total CapEx
Taxonomy-aligned per objective
Taxonomy-eligible per objective
CCM
0.0%
98.0%
CCA
0%
0%
WTR
0%
0%
CE
0%
0%
PPC
0%
0%
BIO
0%
0%
MANAGEMENT REPORT | 52
OpEx
Financial year 2024
Substantial contribution criteria
DNSH criteria
Economic activities
Code(s)
OpEx
Proportion of OpEx year
2024
Climate Change Mitigation
(CCM)
Climate Change
Adaptation (CCA)
Water
Pollution
Circular economy
Biodiversity
Climate Change Mitigation
(CCM)
Climate Change
Adaptation (CCA)
Water
Pollution
Circular economy
Biodiversity
Minimum Safeguards
Proportion
of
Taxonomy-
aligned
(A.1.) or
eligible
(A.2.)
OpEx,
year 2023
Category enabling activity
Category transitional
activity
€m
%
Y; N;
N/EL
Y; N;
N/EL
Y; N;
N/EL
Y; N;
N/EL
Y; N;
N/EL
Y; N;
N/EL
Y/N
Y/N
Y/N
Y/N
Y/N
Y/N
Y/N
%
E
T
A. TAXONOMY-ELIGIBLE ACTIVITIES
A.1. Environmentally sustainable activities (Taxonomy-aligned)
Acquisition and ownership of buildings
CCM/CCA7.7
0.000
0.0%
Y
N
N/EL
N/EL
N/EL
N/EL
Y
Y
Y
Y
Y
Y
Y
7.4%
OpEx of environmentally sustainable activities (Taxonomy-aligned) (A.1)
0.000
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
Y
Y
Y
Y
Y
Y
Y
7.4%
Of which Enabling
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
Y
Y
Y
Y
Y
Y
Y
E
Of which Transitional
0.0%
0.0%
0.0%
Y
T
A.2. Taxonomy-Eligible but not environmentally sustainable activities (not Taxonomy-aligned)
Y; N;
N/EL
Y; N;
N/EL
Y; N;
N/EL
Y; N;
N/EL
Y; N;
N/EL
Y; N;
N/EL
Acquisition and ownership of buildings
CCM/CCA7.7
10.424
85.7%
EL
EL
N/EL
N/EL
N/EL
N/EL
80.6%
OpEx of Taxonomy-eligible but not environmentally sustainable activities (not Taxonomy-
aligned activities) (A.2)
10.424
85.7%
85.7%
0.0%
0.0%
0.0%
0.0%
0.0%
80.6%
OpEx of Taxonomy
eligible activities (A.1 + A.2)
10.424
85.7%
85.7%
0.0%
0.0%
0.0%
0.0%
0.0%
88.0%
B. TAXONOMY-NON-ELIGIBLE ACTIVITIES
OpEx of Taxonomy-non-eligible activities (B)
1.733
14.3%
Total
12.157
100%
Proportion of OpEx/Total OpEx
Taxonomy-aligned per objective
Taxonomy-eligible per objective
CCM
0.0%
85.7%
CCA
0%
0%
WTR
0%
0%
CE
0%
0%
PPC
0%
0%
BIO
0%
0%
GLOSSARY & DEFINITIONS
Alternative Performance Measures
The Company presents alternative performance measures (APMs). The APMs used in our report are commonly
referred to and analysed amongst professionals participating in the Real Estate Sector to reflect the underlying
business performance and to enhance comparability both between different companies in the sector and
between different financial periods. APMs should not be considered as a substitute for measures of performance
in accordance with the IFRS. The presentation of APMs in the Real Estate Sector is considered advantageous by
various participants, including banks, analysts, bondholders and other users of financial information:
• APMs provide additional helpful and useful information in a concise and practical manner.
• APMs are commonly used by senior management and Board of Directors for their decisions and setting
of mid and long-term strategy of the Group and assist in discussion with outside parties.
• APMs in some cases might better reflect key trends in the Group’s performance which are specific to
that sector, i.e. APMs are a way for the management to highlight the key value drivers within the
business that may not be obvious in the consolidated financial statements.
For new definitions of measures or reasons for their change, see below.
EPRA NRV
EPRA NRV assumes that entities never sell assets and aims to represent the value required to rebuild the entity.
The objective of the EPRA Net Reinstatement Value measure is to highlight the value of net assets on a long-term
basis. Assets and liabilities that are not expected to crystallise in normal circumstances such as the fair value
movements on financial derivatives and deferred taxes on property valuation surpluses are therefore excluded.
Since the aim of the metric is to also reflect what would be needed to recreate the company through the
investment markets based on its current capital and financing structure, related costs such as real estate transfer
taxes should be included.
The performance indicator has been prepared in accordance with best practices as defined by EPRA (European
Public Real Estate Association) in its Best Practices Recommendations guide, available on EPRA’s website
(www.epra.com).
EPRA NRV per share
EPRA NRV divided by the diluted number of shares at the period end.
EPRA NDV
EPRA NDV represents the shareholders’ value under a disposal scenario, where deferred tax, financial
instruments and certain other adjustments are calculated to the full extent of their liability, net of any resulting
tax. The objective of the EPRA NDV measure is to report net asset value including fair value adjustments in
respect of all material balance sheet items which are not reported at their fair value as part of the EPRA NRV.
The performance indicator has been prepared in accordance with best practices as defined by EPRA (European
Public Real Estate Association) in its Best Practices Recommendations guide, available on EPRA’s website
(www.epra.com).
MANAGEMENT REPORT | 54
EPRA NDV per share
EPRA NDV divided by the diluted number of shares at the period end.
Equity ratio
Equity ratio is a measure that provides a general assessment of financial risk undertaken and is calculated as total
equity as reported divided by total assets as reported.
Project Loan-to-Value
With respect to a structure of financing, the Group no longer provides the calculation of this measure, since it
might be confusing for the reader.
EPRA NAV and EPRA NAV per share
The Group no longer provides the calculation of these measures, since they were replaced by the calculation of
EPRA NRV and EPRA NRV per share.
EPRA NNNAV and EPRA NNNAV per share
The Group no longer provides the calculation of these measures, since they were replaced by the calculation of
EPRA NDV and EPRA NDV per share.
Other definitions
EPRA
European Public Real Estate Association.
Development for rental
Development for Rental represents carrying value of developed assets – ie. under development or finished assets
– being held by the Group with the intention to rent the assets in the foreseeable future.
Development for sale
Development for Sale represents carrying value of developed assets – ie. under development or finished assets
– being held by the Group with the intention to sell the assets in the foreseeable future.
Gross Asset Value (GAV) or Fair value of Property portfolio or Property portfolio value
The sum of fair value of all real estate assets held by the Group on the basis of the consolidation scope and real
estate financial investments (being shares in real estate funds, loans to third parties active in real estate or shares
in non-consolidated real estate companies).
Gross Leasable Area (GLA)
GLA is the amount of floor space available to be rented. GLA is the area for which tenants pay rent, and thus the
area that produces income for the property owner.
Gross Saleable Area (GSA)
GSA is the amount of floor space held by the Group with the intention to be sold. GSA is the area of property to
be sold with a capital gain.
MANAGEMENT REPORT | 55
Market value
The estimated amount determined by the Group’s external valuer in accordance with the RICS Valuation
Standards, for which a property should exchange on the date of valuation between a willing buyer and a willing
seller in an arm’s-length transaction after proper marketing.
Occupancy rate
The ratio of leased premises to leasable premises.
Potential gross leasable area
Potential Gross Leasable Area is the total amount of floor space and land area being developed which the Group
is planning to rent after the development is complete.
Potential gross saleable area
Potential Gross Saleable Area is the total amount of floor space and land area being developed which the Group
is planning to sell after the development is complete.
CPI FIM
Société anonyme
40, rue de la Vallée, L-2661 Luxembourg
RCS Luxembourg B 44.996
tél : 00 352 26 47 67 1 fax : 00 352 26 47 67 67
www.cpifimsa.com
CPI FIM S.A.
40 rue de la Vallée
L-2661 Luxembourg
R.C.S. Luxembourg B 44996
(the “Company”)
DECLARATION LETTER
FINANCIAL REPORTS
AS AT 31 DECEMBER 2024
1.1. Person responsible for the Annual Financial Report
- Mr. David Greenbaum, acting as Managing Director of the Company, with professional address at 40 rue de
la Vallee, L-2661 Luxembourg, Grand-Duchy of Luxembourg, email: D.Greenbaum@cpipg.com.
1.2. Declaration by the person responsible for the Annual Financial Report
The undersigned hereby declares that, to the best of his knowledge:
- the consolidated financial statements of the Company as at 31 December 2024, prepared in accordance
with the International Financial Reporting Standards (“IFRS”) as adopted by the European Union, give a
true and fair view of the assets, liabilities, financial position and results of the Company and its subsidiaries
included in the consolidation taken as a whole; and
- that the Management Report as at 31 December 2024 provides a fair view of the development and
performance of the business and the position of the Company and its subsidiaries included in the
consolidation taken as a whole, together with a description of the principal risks and uncertainties they
face.
Approved by the Board of Directors and signed on its behalf by Mr. David Greenbaum.
Luxembourg, on 31 March 2025
Mr. David Greenbaum
Managing Director
CPI FIM SA | 2024 CONSOLIDATED FINANCIAL STATEMENTS
CPI FIM SA
CONSOLIDATED FINANCIAL STATEMENTS
AS AT 31 DECEMBER 2024 AND FOR THE YEAR THEN ENDED
CPI FIM SA | 2024 CONSOLIDATED FINANCIAL STATEMENTS
Consolidated statement of comprehensive income
The accompanying notes form an integral part of these consolidated financial statements.
Year-ended
Note 31 December 2024
31 December 2023
Gross rental income 5.1
56,385
35,948
Service charges and other income 5.2
33,530
14,307
Cost of service and other charges 5.2
(30,782)
(13,463)
Property operating expenses 5.3
(12,158)
(3,951)
Net service and rental income 46,975
32,841
Development sales 5.4 57,750
–
Cost of goods sold 5.4 (56,405)
–
Net development income 1,345
–
Hotel revenue
–
841
Hotel operating expenses
–
(744)
Net hotel income
–
97
Revenue from other business operations –
4,142
Related operating expenses –
(4,246)
Net income from other business operations –
(104)
Total revenues 147,665
55,238
Total direct business operating expenses
(99,345)
(22,404)
Net business income
48,320
32,834
Net valuation gain/(loss) 5.5
(12,871)
(18,487)
Net gain on the disposal of investment property and subsidiaries 5.6
29
1,261
Amortisation, depreciation and impairments 5.7
(11,851)
(1,067)
Administrative expenses 5.8
(6,918)
(7,638)
Other operating income 2,424
330
Other operating expenses (946)
(165)
Operating result
18,187
7,068
Interest income 5.10
234,991
267,760
Interest expense 5.10
(156,059)
(148,952)
Other net financial result 5.9
(23,559)
(29,709)
Net finance income
55,373
89,099
Share of profit of equity-accounted investees (net of tax) 6.3
9
215
Profit before income tax
73,569
96,382
Income tax expense 5.11 (7,967)
(49,949)
Net profit from continuing operations
65,602
46,433
Items that may or are reclassified subsequently to profit or loss
Translation difference (6,611)
17,533
Items that will not be reclassified subsequently to profit or loss
Fair value changes of financial assets (5,557)
(7,084)
Cashflow hedges 745
(7,827)
Income tax on other comprehensive income items 887
1,249
Other comprehensive income for the period, net of tax (10,536)
3,871
Total comprehensive income for the year
55,066
50,304
Profit attributable to:
Owners of the Company 78,331
46,433
Non-controlling interests (12,729)
–
Profit for the year 65,602
46,433
Total comprehensive income attributable to:
Owners of the Company 67,795
50,304
Non-controlling interests (12,729)
–
Total comprehensive income for the year 55,066
50,304
Earnings per share
Basic earnings in EUR per share 6.10 0.06
0.04
Diluted earnings in EUR per share 6.10 0.06
0.04
CPI FIM SA | 2024 CONSOLIDATED FINANCIAL STATEMENTS
Consolidated statement of financial position
The accompanying notes form an integral part of these consolidated financial statements.
Note 31 December 2024 31 December 202
3
Non-current assets
Intangible assets 1,122
918
Investment property 6.1 2,127,375
1,589,610
Property, plant and equipment 6.2 2,352
2,494
Equity accounted investees 6.3 16,805
16,939
Other investments 6.4 51,681
54,571
Loans provided 6.5 3,475,699
4,319,000
Other receivables 117
72
Deferred tax asset 5.11 90,067
92,933
5,765,218
6,076,537
Current assets
Inventories 6.6 36,690
50,344
Income tax receivables 2,228
1,466
Derivative instruments –
1,810
Trade receivables 6.7 32,691
7,942
Loans provided 6.5 234,484
719,276
Cash and cash equivalents 6.8 163,443
83,602
Other receivables 6.9 280,725
238,917
Other non-financial assets 16,570
11,231
Assets held for sale 5,572
-
772,403
1,114,588
Total assets
6,537,621
7,191,125
Equity
Equity attributable to owners of the Company 6.10 1,441,646
1,457,147
Share capital 13,145
13,145
Share premium 784,670
784,670
Other reserves 133,909
144,445
Retained earnings 509,922
514,887
Non-controlling interests 6.10 321,538
467
1,763,184
1,457,614
Non-current liabilities
Financial debts 6.11 4,003,698
4,965,233
Deferred tax liability 5.11 173,370
164,808
Other financial liabilities 6.12 22,189
14,033
4,199,257
5,144,074
Current liabilities
Financial debts 6.11 168,787
191,718
Trade payables 6.13 27,443
22,514
Income tax liabilities 4,642
437
Other financial liabilities 6.14 371,226
373,553
Other non-financial liabilities 6.15 3,082
1,215
575,180
589,437
Total equity and liabilities
6,537,621
7,191,125
CPI FIM SA | 2024 CONSOLIDATED FINANCIAL STATEMENTS
Consolidated statement of changes in equity
The accompanying notes form an integral part of these consolidated financial statements.
Note
Share
capital
Share
premium
Translation
reserve
Other
reserves
Retained
earnings
Equity attributable
to owners of the Company
Non-controlling
interests
Total equity
As at 1 January 2024 6.10
13,145
784,670
49,417
95,028
514,887
1,457,147
467
1,457,614
Profit for the year
–
–
–
–
78,331
78,331
(12,729)
65,602
Other comprehensive income
–
–
(6,611)
(3,925)
–
(10,536)
–
(10,536)
Total comprehensive income for
the period
–
–
(6,611)
(3,925)
78,331
67,795
(12,729)
55,066
Acquisition of subsidiaries 6.10
–
–
–
–
–
–
153,284
153,284
Sale of non-controlling interest
–
–
–
–
(83,296)
(83,296)
180,516
97,220
Balance as at 31 December 2024 13,145
784,670
42,806
91,103
509,922
1,441,646
321,538
1,763,184
Note
Share
capital
Share
premium
Translation
reserve
Other
reserves
Retained
earnings
Equity attributable
to owners of the Company
Non-controlling
interests
Total equity
As at 1 January 2023 6.10
13,145
784,670
31,884
108,690
469,830
1,408,219
310,726
1,718,945
Profit for the year –
–
–
–
46,433
46,433
–
46,433
Other comprehensive income –
–
17,533
(13,662)
–
3,871
–
3,871
Total comprehensive income for
the period
–
–
17,533
(13,662)
46,433
50,304
–
50,304
Acquisition of NCI 6.10
–
–
–
–
(1,376)
(1,376)
(310,259)
(311,635)
Balance as at 31 December 2023 13,145
784,670
49,417
95,028
514,887
1,457,147
467
1,457,614
CPI FIM SA | 2024 CONSOLIDATED FINANCIAL STATEMENTS
Consolidated statement of cash flows
The accompanying notes form an integral part of these consolidated financial statements.
Year-ended
Note 31 December 2024 31 December 202
3
Profit before income tax
73,569
96,382
Adjusted by:
Net valuation gain 5.5, 6.1 12,871
18,487
Net gain on the disposal of investment property 5.6 (29)
(60)
Depreciation and amortisation 5.7 801
1
Impairment/(reversal of impairment) 5.7 11,050
1,066
Gain on the disposal of subsidiaries and investees 5.6 –
(1,201)
Net interest income (12,644)
(118,808)
Share of profit of equity accounted investees 6.3 (9)
(215)
Unrealised exchange rate differences and other non-cash transactions 6,371
33,659
Profit before changes in working capital and provisions 91,980
29,311
Increase in inventories (15,517)
(20,468)
Increase in trade and other receivables (24,263)
(57,702)
Increase/(decrease) in trade and other payables (1,083)
11,453
Income tax paid (3,569)
(2,754)
Net cash from operating activities
47,548
(40,160)
Acquisition of joint-ventures, net of cash acquired -
(7,000)
Purchase and expenditures on property, plant and equipment and intangible assets (647)
(330)
Purchase and expenditures on investment property 6.1 (35,460)
(43,317)
Proceeds from sale of investment property 5.5 6,586
346
Proceeds from sale of inventories 57,599
–
Proceeds from disposals of subsidiaries, net of cash disposed 5.5 –
17,511
Loans provided 6.5 (250,513)
(755,982)
Loans repaid 6.5 1,572,785
533,243
Interest received 229,158
166,503
Net cash used in investing activities
1,579,508
(89,026)
Drawdowns of loans and borrowings 6.11 80,448
504,175
Repayments of loans and borrowings 6.11 (1,510,900)
(291,606)
Interest paid 6.11 (116,763)
(112,728)
Gain from financial derivates –
8,865
Net cash from financing activities
(1,547,215)
108,706
Net increase/(decrease) in cash
79,841
(20,480)
Cash and cash equivalents at the beginning of the year 6.8 83,602
104,082
Cash and cash equivalents at the end of the year
163,443
83,602
CPI FIM SA | 2024 CONSOLIDATED FINANCIAL STATEMENTS
Notes to the consolidated financial statements
1 General information
CPI FIM SA, société anonyme (the “Company”) and its subsidiaries (together the “Group” or “CPI FIM”), is an owner of income-
generating real estate primarily in Poland and in the Czech Republic as well as of landbank and development projects intended for
future rent. The Company is a subsidiary of CPI Property Group (also “CPIPG” and together with its subsidiaries as the “CPIPG
Group”), which holds 97.31% of the Company shares. The Company is also involved in providing of loans and management services to
other entities within the CPIPG Group.
The Company is a joint stock company incorporated for an unlimited term and registered in Luxembourg. The address of its registered
office is 40, rue de la Vallée, L-2661 Luxembourg, Grand Duchy of Luxembourg. The trade registry number of the Company is B 44
996.
The Company’s shares registered under ISIN code LU0122624777 are listed on the regulated markets of the Luxembourg Stock
Exchange and the Warsaw Stock Exchange.
Description of the ownership structure
As at 31 December 2024, CPIPG directly owns 97.31% of the Company shares. CPIPG is a Luxembourg joint stock company (
société
anonyme
), whose shares registered under ISIN code LU0251710041 are listed on the regulated market of the Frankfurt Stock
Exchange in the General Standard segment.
As at 31 December 2024, Radovan Vitek (Vitek Trusts) is the primary shareholder of CPIPG holding indirectly 88.52% of its shares.
For the list of shareholders as at 31 December 2024 refer to note 6.10.
Board of Directors
As at 31 December 2024, the Board of Directors consists of the following directors:
Mr. David Greenbaum
Mr. Edward Hughes
Mrs. Anita Dubost
Mr. Alfred Brandner
CPI FIM SA | 2024 CONSOLIDATED FINANCIAL STATEMENTS
2 Basis of preparation and significant accounting policies
2.1 Basis of preparation of consolidated financial statements
(a) Basis of preparation
The consolidated financial statements have been prepared in accordance with International Financial Reporting Standards (IFRS) as
adopted by the European Union.
All the figures are presented in thousands of Euros, except if explicitly indicated otherwise.
The consolidated financial statements have been prepared on a going concern basis.
The consolidated financial statements were authorised for issue by the Board of Directors on 31 March 2025.
(b) New and amended standards and interpretations
For the preparation of these consolidated financial statements, the following amended standards and interpretations are mandatory for
the first time for the financial year beginning 1 January 2024. The amendments and interpretations apply for the first time in 2024, but
do not have an impact on the consolidated financial statements of the Group. The Group has not early adopted any standards,
interpretations or amendments that have been issued but are not yet effective.
Amendments to IFRS 16 - Lease Liability in a Sale and Leaseback
The amendments in IFRS 16 specify the requirements that a seller-lessee uses in measuring the lease liability arising in a sale and
leaseback transaction, to ensure the seller-lessee does not recognise any amount of the gain or loss that relates to the right of use it
retains. The amendments had no impact on the Group’s financial statements.
Supplier Finance Arrangements - Amendments to IAS 7 and IFRS 7
The amendments to IAS 7 Statement of Cash Flows and IFRS 7 Financial Instruments: Disclosures clarify the characteristics of
supplier finance arrangements and require additional disclosure of such arrangements. The disclosure requirements in the
amendments are intended to assist users of financial statements in understanding the effects of supplier finance arrangements on an
entity’s liabilities, cash flows and exposure to liquidity risk. The amendments had no impact on the Group’s financial statements. The
amendments are effective for annual reporting periods beginning on or after 1 January 2024 and must be applied retrospectively. The
Group is currently assessing the impact the amendments will have on current practice and whether existing loan agreements may
require renegotiation.
Amendments to IAS 1 - Classification of Liabilities as Current or Non-current
The amendments to IAS 1 specify the requirements for classifying liabilities as current or non-current. The amendments clarify:
- What is meant by a right to defer settlement
- That a right to defer must exist at the end of the reporting period
- That classification is unaffected by the likelihood that an entity will exercise its deferral right
- That only if an embedded derivative in a convertible liability is itself an equity instrument would the terms of a liability not
impact its classification In addition, an entity is required to disclose when a liability arising from a loan agreement is classified
as non-current and the entity’s right to defer settlement is contingent on compliance with future covenants within twelve
months.
The amendments have no impact on the Group.
The amendments that are not yet effective and have not yet been endorsed by the European Union
IFRS 9 Financial Instruments and IFRS 7 Financial Instruments: Disclosures - Classification and Measurement of Financial Instruments
(Amendments)
In May 2024, the IASB issued amendments to the Classification and Measurement of Financial Instruments which amended IFRS 9
Financial Instruments and IFRS 7 Financial Instruments: Disclosures and they become effective for annual reporting periods beginning
on or after January 1, 2026, with earlier application permitted.
IFRS 9 Financial Instruments and IFRS 7 Financial Instruments: Disclosures - Contracts Referencing Nature-dependent Electricity
(Amendments)
In December 2024, the IASB issued targeted amendments for a better reflection of Contracts Referencing Nature-dependent
Electricity, which amended IFRS 9 Financial Instruments and IFRS 7 Financial Instruments: Disclosures and they become effective for
annual reporting periods beginning on or after January 1, 2026, with earlier application permitted.
The amendments have no impact on the Group.
IFRS 18 Presentation and Disclosure in Financial Statements
IFRS 18 introduces new requirements on presentation within the statement of profit or loss. It requires an entity to classify all income
and expenses within its statement of profit or loss into one of the five categories: operating; investing; financing; income taxes; and
discontinued operations. These categories are complemented by the requirements to present subtotals and totals for ‘operating profit
or loss’, ‘profit or loss before financing and income taxes’ and ‘profit or loss’. It also requires disclosure of management-defined
performance measures and includes new requirements for aggregation and disaggregation of financial information based on the
identified ‘roles’ of the primary financial statements and the notes. In addition, there are consequential amendments to other accounting
standards. IFRS 18 is effective for reporting periods beginning on or after January 1, 2027, with earlier application permitted.
Retrospective application is required in both annual and interim financial statements. The standard has not yet been endorsed by the
EU. The Group analyses impact of the IFRS 18 on its consolidated financial statements.
CPI FIM SA | 2024 CONSOLIDATED FINANCIAL STATEMENTS
(c) Basis of measurement
The consolidated financial statements have been prepared on a historical cost basis except for the following material items in the
consolidated statement of financial position, which are measured as indicated below at each reporting date:
Inventories at lower of cost or net realisable value;
Investment property is measured at fair value;
Derivative instruments are measured at fair value;
Non-derivative financial instruments at fair value through profit or loss are measured at fair value;
(d) Functional and presentation currency
These consolidated financial statements are presented in Euro (EUR), which is the Company’s functional currency. All financial
information presented in EUR has been rounded to the nearest thousand, except when otherwise indicated. The functional currencies
of other entities within the Group are listed in note 2.2(b).
(e) Use of estimates and judgements
The preparation of the consolidated financial statements in conformity with IFRS as adopted by the European Union requires
management to make judgements, estimates and assumptions that affect the application of accounting policies and the reported
amounts of assets and liabilities, income and expenses. The estimates and assumptions are based on historical experience, internal
calculations and various other factors that the management believes to be reasonable under the circumstances. The actual result might
differ from the estimates.
Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the
period in which the estimates are revised and in any future periods affected.
Information about critical judgements in applying accounting policies that have the most significant effect on the amounts recognised in
the financial statements is included in the following notes:
Note 2.2(c) – Classification of investment property
Note 2.2(l) – Service charges: Gross versus net revenue recognition.
Information about assumptions and estimation uncertainties that have a significant risk of a material adjustment within the next financial
year are included in the following notes:
Note 2.2(i) – Impairment test;
Note 2.3 – Determination of fair value;
Note 5.12 – Income tax expenses;
Note 7 – Financial risk management.
2.2 Significant accounting policies
Except for the changes described above in note 2.1(b). New standards, the accounting policies used in preparing the consolidated
financial statements are set out below. These accounting policies have been consistently applied in all material respects to all periods
presented.
(a) Basis of consolidation
(i) Business combinations
The Group uses the direct method of consolidation, under which the financial statements are translated directly into the presentation
currency of the Group, EUR. Subsidiaries are fully consolidated from the date of the acquisition, being the date on which the Group
obtains control, and continue to be consolidated until the date when such control ceases. All intra-group balances, transactions,
unrealised gains and losses resulting from intra-group transactions and dividends are eliminated in full on consolidation.
Goodwill is initially measured at cost, being the excess of the aggregate of the consideration transferred and the amount recognised for
noncontrolling interests, and any previous interest held, over the net identifiable assets acquired and liabilities assumed. When the
excess is negative, a bargain purchase gain is recognised immediately in profit or loss. The consideration transferred does not include
amounts related to the settlement of pre-existing relationships. Such amounts generally are recognised in profit or loss. Transaction
costs, other than those associated with the issue of debt or equity securities, that the Group incurs in connection with a business
combination are expensed as incurred.
Any contingent consideration payable is measured at fair value at the acquisition date. If the contingent consideration is classified as
equity, then it is not re-measured and settlement is accounted for within the equity. Otherwise, subsequent changes in the fair value of
the contingent consideration are recognised in profit or loss.
The interest of non-controlling shareholders at the date of the business combination is generally recorded at the non-controlling
interest’s proportionate share of the acquiree’s identifiable net assets, which are generally at fair value, unless Group management has
any other indicators about the non-controlling interest fair value.
Changes in the Group’s interest in a subsidiary that do not result in a loss of control are accounted for as equity transactions.
(ii) Business combinations involving entities under common control
Business combinations arising from transfers of interests in entities that are under the control of the shareholder that controls the Group
are not in scope of IFRS 3. The assets and liabilities acquired are recognised at the carrying amounts recognised previously in the
financial statements of the acquire or at deemed costs if the local standards are different from IFRS adopted by the EU. Components of
CPI FIM SA | 2024 CONSOLIDATED FINANCIAL STATEMENTS
equity of the acquired entities are added to the corresponding equity components of the Group and any gain or loss arising is
recognised in equity.
(iii) Loss of control
On the loss of control, the Group derecognises the assets and liabilities of the subsidiary, any non-controlling interests and the other
components of equity related to the subsidiary. Any surplus or deficit arising on the loss of control is recognised in profit or loss. If the
Group retains any interest in the previous subsidiary, then such interest is measured at fair value at the date that control is lost.
Subsequently it is accounted for as equity accounted investee or as a debt investment at fair value through OCI depending on the level
of influence retained.
(iv) Equity accounted investees
Associates are those entities in which the Group has significant influence, but not control or joint control, over the financial and
operating policies. The considerations made in determining significant influence or joint control are similar to those necessary to
determine control over subsidiaries. The Group’s investment in joint venture are accounted for using the equity method.
The financial statements of the equity accounted investees are prepared for the same reporting period as the Group. The accounting
policies are aligned with those of the Group. Therefore, no adjustments are made when measuring and recognising the Group’s share
of the profit or loss of the investees after the date of acquisition.
The Group’s investment in joint venture are accounted for using the equity method. The aggregate of the Group’s share of profit or loss
of a joint venture is shown on the face of the statement of profit or loss outside operating profit and represents profit or loss after tax
and non[1]controlling interests in joint venture. Under the equity method, the investment in a joint venture is initially recognised at cost.
The carrying amount of the investment is adjusted to recognise changes in the Group’s share of net assets of joint venture since the
acquisition date. Goodwill relating to joint venture is included in the carrying amount of the investment and is not tested for impairment
separately. The cost of the investment includes transaction costs. The statement of profit or loss reflects the Group’s share of the
results of operations of joint venture. Any change in OCI of those investees is presented as part of the Group’s OCI. In addition, when
there has been a change recognised directly in the equity of joint venture, the Group recognises its share of any changes, when
applicable, in the statement of changes in equity. Unrealised gains and losses resulting from transactions between the Group and the
joint venture are eliminated to the extent of the interest in joint venture.
After application of the equity method, the Group determines whether it is necessary to recognise an impairment loss on its investment
in joint venture. At each reporting date, the Group determines whether there is objective evidence that the investment in joint venture is
impaired. If there is such evidence, the Group calculates the amount of impairment as the difference between the recoverable amount
of joint venture and its carrying value, and then recognises the loss within ‘Share of profit of an associate and a joint venture’ in the
statement of profit or loss.
Upon loss of significant influence over joint control over the joint venture, the Group measures and recognises any retained investment
at its fair value. Any difference between the carrying amount of the joint venture upon loss of significant influence or joint control and
the fair value of the retained investment and proceeds from disposal is recognised in profit or loss.
(v) Property asset acquisition
Transaction that does not represent a business combination, because the acquired entity does not constitute a business in accordance
with the IFRS 3, are accounted for as an asset acquisition.
(b) Foreign currency
(i) Functional currencies
Functional currencies of the companies in the Group are the currencies of the primary economic environment in which the entities
operate, and the majority of its transactions are carried out in this currency.
The Group’s consolidated financial statements are presented in EUR. The table below presents functional currencies of all Group’s
subsidiaries having non-EUR functional currency. Each Group’s subsidiary determines its own functional currency, and items included
in the financial statements of each entity are measured using that functional currency. For the purposes of inclusion in the consolidated
financial statements, the statement of financial position of entities with non-EUR functional currencies are translated to EUR at the
exchange rates prevailing at the balance sheet date and the income statements are translated at the average exchange rate for each
month of the relevant year. The resulting net translation difference is recorded in OCI. When a foreign operation is disposed of, the
cumulative amount in the translation reserve related to that foreign operation is reclassified to profit or loss as a part of gain or loss on
the disposal.
Group entities in different countries that have non-EUR functional currency:
Country Functional currencyCzech Republic CZKPoland PLN
(ii) Foreign currency transactions
Transactions in foreign currencies are translated to the respective functional currencies of the Group’s entities at exchange rates valid
at the dates of the transactions. Monetary assets and liabilities denominated in foreign currencies at the reporting date are retranslated
to the functional currency at the exchange rate at that date. The foreign currency gain or loss on monetary items is the difference
between the amortised cost in the functional currency at the beginning of the period, adjusted for effective interest and payments
during the period, and the amortised cost in foreign currency translated at the exchange rate at the end of the period.
Non-monetary assets and liabilities denominated in foreign currencies that are measured at fair value are retranslated to the functional
currency at the exchange rate at the date that the fair value was determined. Non-monetary items in a foreign currency that are
measured based on historical cost are translated using the exchange rate at the date of the transaction.
Foreign currency differences arising on retranslation are recognised in profit or loss, except for the differences arising on the
retranslation of qualifying cash flow hedges to the extent the hedge is effective, which are recognised in OCI.
CPI FIM SA | 2024 CONSOLIDATED FINANCIAL STATEMENTS
The Group translates the foreign currency operations and transactions using the foreign exchange rates declared by relevant central
banks.
(c) Investment property and investment property under development
Investment property is property held either to earn rental income or for capital appreciation or for both. Investment property is
measured at cost on initial recognition and subsequently at fair value with any change therein recognised in profit or loss. Cost of
investment property includes expenditure that is directly attributable to the acquisition of the investment property. The cost of self-
constructed investment property includes the cost of material and direct labour, any other costs directly attributable to bringing the
investment property to a working condition for their intended use and capitalised borrowing costs.
External independent valuation companies, having appropriate recognised professional qualifications and recent experience in the
location and category of property being valued, valued the portfolio of investment property at the year end of 2024 and 2023
respectively.
Any gain or loss on disposal of an investment property (calculated as the difference between the net proceeds from disposal and the
carrying amount of the item) is recognised in profit or loss.
Property that is being constructed or developed for future use is measured at fair value until construction or development is completed.
Any gain or loss arising on the measurement is recognised in profit or loss.
The Group capitalises external borrowing costs on qualifying investment properties under development.
(d) Leased assets
The Group recognises right-of-use assets at the commencement date of the lease. Right-of-use assets are measured at cost, less any
accumulated depreciation and impairment losses, and adjusted for any remeasurement of lease liabilities. The cost of right-of-use
assets includes the amount of lease liabilities recognised, initial direct costs incurred, and lease payments made at or before the
commencement date less any lease incentives received. Unless the Group is reasonably certain to obtain ownership of the leased
asset at the end of the lease term, the recognised right-of-use assets are depreciated on a straight-line basis over the shorter of its
estimated useful life and the lease term. Right-of-use assets are subject to impairment.
Short-term leases and leases of low-value assets: The Group applies the short-term lease recognition exemption to its short-term
leases. Short term leases have a lease term of 12 months or less from the commencement date and do not contain a purchase option.
It also applies the lease of low-value assets recognition exemption to leases of office equipment that are considered of low value.
Lease payments on short-term leases and leases of low-value assets are recognised as expense on a straight-line basis over the lease
term.
The Group determines the lease term as the non-cancellable term of the lease, together with any periods covered by an option to
extend
the lease if it is reasonably certain to be exercised, or any periods covered by an option to terminate the lease, if it is reasonably certain
not to be exercised.
(e) Property, plant and equipment
(i) Recognition and measurement
Items of property, plant and equipment are measured at cost less accumulated depreciation (see below) and impairment losses (see
accounting policy 2.2 (i).
Other items of property, plant and equipment are measured at the lower of cost less accumulated depreciation and impairment losses.
Cost includes expenditure that is directly attributable to the acquisition of the asset. The cost of self-constructed assets includes the
cost of materials, direct labour and any other costs directly attributable to bringing the assets to a working condition for their intended
use, capitalised borrowing costs and an appropriate proportion of production overheads.
Where components of property, plant and equipment have different useful lives, they are accounted for as separate items (major
components) of property, plant and equipment.
Any gain or loss on disposal of an item of property, plant and equipment (calculated as the difference between the net proceeds from
disposal and the carrying amount of the item) is recognised in profit or loss.
(ii) Reclassification to investment property
When the use of a property changes from owner-occupied to investment property, the property is reclassified to investment property
and remeasured to fair value. Any gain arising on remeasurement is recognised in profit or loss to the extent that it reverses the
previous impairment loss on the specific property, with any remaining gain recognised in OCI and presented in the revaluation reserve
in equity. Any loss is recognised immediately in profit or loss.
(iii) Subsequent costs
Subsequent expenditure is capitalised only when it is probable that the future economic benefits associated with the expenditure will
flow to the Group.
Ongoing repairs and maintenance is expensed as incurred.
(iv) Depreciation
Items of property, plant and equipment are depreciated on a straight-line basis in profit or loss over the estimated useful lives of each
component. Leased assets are depreciated over the shorter of the lease term and their useful lives unless it is reasonably certain that
the Group will obtain ownership by the end of the lease term. Land is not depreciated.
Items of property, plant and equipment are depreciated from the date that they are ready for use.
The estimated useful lives for the current and comparative period are as follows:
CPI FIM SA | 2024 CONSOLIDATED FINANCIAL STATEMENTS
Assets 20242023Property 50 – 80 years50 – 80 yearsEquipment 5 – 10 years5 – 10 yearsFittings 3 – 20 years3 – 20 years
Depreciation methods, useful lives and residual values are reviewed at each reporting date and adjusted if appropriate.
(f) Intangible assets
(i) Other intangible assets
Other intangible assets that are acquired by the Group and have finite useful lives, are measured at cost less accumulated amortisation
(see (iii) below) and accumulated impairment losses (see accounting policy 2.2 (i)).
(ii) Subsequent expenditure
Subsequent expenditure on intangible assets is capitalised only when it increases the future economic benefits embodied in the
specific asset to which it relates. All other expenditure is recognised in profit or loss as incurred.
(iii) Amortisation
Except for goodwill and intangible assets with indefinite useful life, intangible assets are amortised on a straightline basis in profit or
loss over their estimated useful lives, from the date that they are available for use.
Amortisation methods, useful lives and residual values are reviewed at each reporting date and adjusted if appropriate.
(g) Inventories
Inventories represent trading property and are measured at the lower of cost and net realisable value.
Cost includes expenditure that is directly attributable to the acquisition of the trading property. The cost of self-constructed trading
property includes the cost of material and direct labour, any other costs directly attributable to bringing the trading property to a
condition for their intended use and capitalised borrowing costs. Deemed costs of trading property reclassified from existing investment
property is the fair value of such property.
Net realisable value is the estimated selling price in the ordinary course of business less the estimated costs of completion and selling
expenses.
(h) Financial instruments
Initial recognition and measurement
Financial assets are classified, at initial recognition: as subsequently measured at amortised cost, fair value through other
comprehensive income (OCI), and fair value through profit or loss.
The Group measures financial assets at
amortised cost
if both of the following conditions are met:
The financial asset is held within a business model with the objective to hold financial assets in order to collect contractual cash
flows; and
The contractual terms of the financial asset give rise on specified dates to cash flows that are solely payments of principal and
interest on the principal amount outstanding.
A debt investment is classified and measured at fair value through OCI if it meets both of the following conditions:
The financial asset is held within a business model with the objective of both holding to collect contractual cash flows and selling;
and
The contractual terms of the financial asset give rise on specified dates to cash flows that are solely payments of principal and
interest on the principal amount outstanding.
All financial assets not classified as measured at amortised cost or fair value through OCI as described above are measured at fair
value through profit or loss. On initial recognition, the Group may irrevocably designate a financial asset, that otherwise meets the
requirements to be classified and measured at amortised cost or at fair value through OCI, to be classified and measured at fair value
through profit or loss if it eliminates or reduces an accounting mismatch that would otherwise arise.
Subsequent measurement
For purposes of subsequent measurement, financial assets are classified in four categories:
Financial assets at amortised cost (debt instruments)
This category is the most relevant to the Group. The Group’s financial assets at amortised cost include trade receivables, and loans
provided.
Financial assets at amortised cost are subsequently measured using the effective interest (EIR) method and are subject to impairment.
Gains and losses are recognised in profit or loss when the asset is derecognised, modified or impaired.
Financial assets at fair value through OCI (debt instruments)
For debt instruments at fair value through OCI, interest income, foreign exchange revaluation and impairment losses or reversals are
recognised in the statement of profit or loss and computed in the same manner as for financial assets measured at amortised cost. The
remaining fair value changes are recognised in OCI. Upon derecognition, the cumulative fair value change recognised in OCI is
recycled to profit or loss.
Financial assets designated at fair value through OCI (equity instruments)
CPI FIM SA | 2024 CONSOLIDATED FINANCIAL STATEMENTS
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.
Investment in an equity instrument that does not have a quoted market price in an active market and for which other methods of
reasonably estimating fair value are inappropriate are carried at cost.
Financial assets at fair value through profit or loss
Financial assets are classified as held for trading if they are acquired for the purpose of selling or repurchasing in the near term.
Derivatives, including separated embedded derivatives, are also classified as held for trading unless they are designated as effective
hedging instruments. Financial assets with cash flows that are not solely payments of principal and interest are classified and
measured at fair value through profit or loss, irrespective of the business model.
Financial assets at fair value through profit or loss are carried in the statement of financial position at fair value with net changes in fair
value recognised in the statement of profit or loss.
Derecognition
A financial asset is primarily derecognised when the rights to receive cash flows from the asset have expired.
A financial liability is derecognised when the obligation under the liability is discharged or cancelled or expires. When an existing
financial liability is replaced by another from the same lender on substantially different terms, or the terms of an existing liability are
substantially modified, such an exchange or modification is treated as the derecognition of the original liability and the recognition of a
new liability. The difference in the respective carrying amounts is recognised in the statement of profit or loss.
(i) Non-derivative financial assets
The Group initially recognises loans and receivables on the date that they are originated. All other financial assets are recognised
initially on the trade date, which is the date that the Group becomes a party to the contractual provisions of the instrument. The Group
derecognises a financial asset when the contractual rights to the cash flows from the asset expire, or it transfers the rights to receive
the contractual cash flows in a transaction in which substantially all the risks and rewards of ownership of the financial asset are
transferred. Any interest in such transferred financial assets that is created or retained by the Group is recognised as a separate asset
or liability.
Financial assets and liabilities are offset, and the net amount presented in the consolidated statement of financial position when, and
only when, the Group has a legal right to offset the amounts and intends either to settle on a net basis or to realise the asset and settle
the liability simultaneously.
Loans provided
Loans are financial assets with fixed or determinable payments that are not quoted in an active market. Such assets are recognised
initially at fair value plus any directly attributable transaction costs. Subsequent to initial recognition, provided loans are measured at
amortised cost using the effective interest method, less any impairment losses (see accounting policy 2.2(i)).
Finance charges, including premiums receivable on settlement or redemption and direct issue costs, are recognised in profit or loss on
an accrual basis using the effective interest method and are added to the carrying amount of the instrument to the extent that they are
not settled in the period in which they arise.
The recoverable amount of the Group’s provided loans is calculated as the present value of estimated future cash flows, discounted at
the original effective interest rate (i.e., the effective interest rate calculated at initial recognition of these financial assets).
The Group classifies any part of long-term loans, that is due within one year from the reporting date, as current.
Trade and other receivables
Trade and other receivables are financial assets with fixed or determinable payments that are not quoted in an active market. Such
assets are recognised initially at fair value plus any directly attributable transaction costs. Subsequent to initial recognition, receivables
are measured at amortised cost using the effective interest method, less any impairment losses (see accounting policy 2.2(i)).
Cash and cash equivalents
Cash and cash equivalents comprise cash balances and call deposits with maturities of three months or less from the acquisition date
that are subject to an insignificant risk of changes in their fair value and are used by the Group in the management of its short-term
cash commitments. Bank accounts and call deposits that are repayable on demand and form an integral part of the Group’s cash
management are included as a component of cash and cash equivalents for the purpose of the cash-flow statement.
The Company treats cash deposited as a security in accordance with bank loan covenants as cash and cash equivalents for cash flow
purposes.
The cash flow statement of the Group is prepared based on the indirect method from the consolidated statement of financial position
and consolidated statement of profit and loss.
In 2020, the Company agreed a cash-pool contracts with related subsidiaries of CPI Property Group. The Company classifies the
provided and received cash pool balances including interests as other current receivables and other financial current liabilities,
respectively.
(ii) Non-derivative financial liabilities
Non-derivative financial liabilities comprise loans and borrowings, bonds issued, bank overdrafts, and trade and other payables.
The Group initially recognises debt securities issued and subordinated liabilities on the date that they are originated. All other financial
liabilities (including financial liabilities designated as at fair value through profit or loss) are recognised initially on the trade date, which
CPI FIM SA | 2024 CONSOLIDATED FINANCIAL STATEMENTS
is the date that the Group becomes a party to the contractual provisions of the instrument. The Group derecognises a financial liability
when its contractual obligations are discharged, cancelled or expire.
The Group classifies non-derivative financial liabilities as the other financial liabilities category. Such financial liabilities are recognised
initially at fair value less any directly attributable transaction costs. Subsequent to initial recognition, these financial liabilities are
measured at amortised cost using the effective interest method.
The effective interest method is a method of calculating the amortised cost of a financial liability and of allocating interest expense over
the relevant period. The effective interest rate is the rate that exactly discounts estimated future cash payments through the contractual
cash flows of the financial liability.
Financial debts and bonds are recognised initially at fair value less any directly attributable transaction costs. Subsequent to initial
recognition, financial debts and bonds are measured at amortised cost using the effective interest method.
Finance charges, including premiums payable on settlement or redemption and direct issue costs, are recognised in profit or loss on an
accrual basis using the effective interest method and are added to the carrying amount of the instrument to the extent that they are not
settled in the period in which it arises.
The Group classifies any part of long-term loans or bonds that is due within one year from the date of the consolidated statement of
financial position as current liabilities.
Bond transaction costs
Bonds payable are initially recognised at the amount of the proceeds from issued bonds less any attributable transaction costs.
Bond transaction costs include fees and commissions paid to agents, advisers, brokers and dealers, levies by regulatory agencies and
securities exchanges.
Lease liabilities
At the commencement date of the lease, the Group recognises lease liabilities measured at the present value of lease payments to be
made over the lease term. The lease payments also include the exercise price of a purchase option reasonably certain to be exercised
by the Group and payments of penalties for terminating a lease, if the lease term reflects the Group exercising the option to terminate.
In calculating the present value of lease payments, the Group uses the incremental borrowing rate at the lease commencement date if
the interest rate implicit in the lease is not readily determinable. After the commencement date, the amount of lease liabilities is
increased to reflect the accretion of interest and reduced for the lease payments made. In addition, the carrying amount of lease
liabilities is remeasured if there is a modification, a change in the lease term, a change in the in-substance fixed lease payments or a
change in the assessment to purchase the underlying asset.
(iii) Share capital
Ordinary shares
Incremental costs directly attributable to the issue of new shares and shares options, other than upon a business combination, are
recognised as a deduction from equity, net of any tax effects.
(i) Impairment
(i) Impairment of non-derivative financial assets
The Group recognises an allowance for expected credit losses (ECLs) for all debt instruments not held at fair value through profit or
loss. ECLs are based on the difference between the contractual cash flows due in accordance with the contract and all the discounted
cash flows that the Group expects to receive, discounted at an approximation of the original effective interest rate.
ECLs are recognised in two stages. For credit exposures for which there has not been a significant increase in credit risk since initial
recognition, ECLs are provided for credit losses that result from default events that are possible within the next 12-months (a 12-month
ECL). For those credit exposures for which there has been a significant increase in credit risk since initial recognition, a loss allowance
is required for credit losses expected over the remaining life of the exposure, irrespective of the timing of the default (a lifetime ECL).
For trade receivables, the Group applies a simplified approach in calculating ECLs. Therefore, the Group does not track changes in
credit risk, but instead recognises a loss allowance based on lifetime ECLs at each reporting date. The Group has established a
provision matrix that is based on its historical credit loss experience.
The Group considers a non-derivative financial asset in default when contractual payments are 90 days past due. However, in certain
cases, the Group may also consider a financial asset to be in default when internal or external information indicates that the Group is
unlikely to receive the outstanding amounts in full. A non-derivative financial asset is written off when there is no reasonable
expectation of recovering the contractual cash flows.
Determination of ECLs for loans provided to related parties is based on Group’s risk assessment and estimated rating of the borrower.
(ii) Impairment of non-financial assets
The carrying amounts of the Group’s non-financial assets, other than investment property (see accounting policy 2.2(c)), property plant
and equipment (only partially, see accounting policy 2.2(e)), inventories (see accounting policy 2.2(g)), and deferred tax assets (see
accounting policy 2.2(p)), are reviewed at each reporting date to determine whether there is any indication of impairment. If any such
indication exists, then the asset’s recoverable amount is estimated. An asset’s recoverable amount is the higher of an asset’s or CGU’s
fair value less costs of disposal and its value in use. For the purpose of impairment testing, assets are grouped together into cash
generating units (CGU’s) – the smallest group of assets that generates cash inflows from continuing use that are largely independent of
the cash inflows of other assets or CGUs. When the carrying amount of an asset or CGU exceeds its recoverable amount, the asset is
considered impaired and is written down to its recoverable amount.
In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that
reflects current market assessments of the time value of money and the risks specific to the asset. The Group bases its impairment
calculation on detailed budgets and forecast calculations, which are prepared separately for each of the Group’s CGUs to which the
individual assets are allocated. An assessment is made at each reporting date as to whether there is any indication that previously
CPI FIM SA | 2024 CONSOLIDATED FINANCIAL STATEMENTS
recognised impairment losses may no longer exist or may have decreased. An impairment loss is reversed if there has been a change
in the estimates used to determine the recoverable amount. An impairment loss is reversed only to the extent that the asset’s carrying
amount does not exceed the carrying amount that would have been determined, net of depreciation or amortisation, if no impairment
loss had been recognised.
Impairment losses are recognised in profit or loss. Impairment losses recognised in respect of CGUs are allocated first to reduce the
carrying amount of any goodwill allocated to CGU (group of CGUs), and then to reduce the carrying amounts of the other assets in the
CGU (group of CGUs) on a pro-rata basis.
(j) Provisions
Provisions are recognised when the Group has a present obligation (legal or constructive) as a result of a past event, it is probable that
an outflow of economic benefits will be required to settle the obligation and a reliable estimate can be made of the amount of the
obligation.
If the effect is material, provisions are determined by discounting the expected future cash flows at a pre-tax rate that reflects current
market assessments of the time value of money and, where appropriate, the risks specific to the liability. The unwinding of the discount
is recognised as a finance cost.
(k) Assets held for sale and disposal groups
Non-current assets held for sale and disposal groups comprising assets and liabilities are classified as held-for-sale when it is highly
probable that they will be recovered primarily through sale rather than through continuing use. The following criteria must be met for an
asset or disposal group to be classified as held for sale: the Group is committed to selling the asset or disposal group, the asset is
available for immediate sale, an active plan of sale has commenced, the sale is expected to be completed within 12 months and the
asset is being actively marketed for sale at a sales price reasonable in relation to its fair value.
Such assets, or disposal groups, are measured at the lower of carrying amount and fair value less costs to sell.
(l) Revenue
(i) Rental revenue
Rental income arising from operating leases on investment property is accounted for on a straight-line basis over the lease terms. Initial
direct costs incurred in negotiating and arranging an operating lease are recognised as an expense over the lease term on the same
basis as the lease income.
Tenant lease incentives are recognised as a reduction of rental revenue on a straight-line basis over the term of the lease.
The term of the lease is the non-cancellable period of the lease. Any further term for which the tenant has the option to continue the
lease is not considered by the Group.
(ii) Services rendered
Revenue from services rendered is recognised in profit or loss in proportion to the stage of completion of the transaction at the
reporting date. The stage of completion is assessed by reference to surveys of work performed.
(iii) Service charges and other income
Income arising from expenses recharged to tenants is recognised in the period in which the compensation becomes receivable.
Service and management charges and other such receipts are included in net rental income gross of the related costs. The Group
determined that it does control the services before they are transferred to tenants and therefore that the Group acts rather as a
principal in these arrangements.
(iv) Sale of investment property and trading property, investment in subsidiaries and equity-accounted investees
Revenue from the sale of investment and trading property, investments in subsidiaries and equity-accounted investees are recognised
in profit or loss by the Group at the point of time when the control over the property is transferred to a customer, usually on the date on
which the application is submitted to the Land Registry for transfer of legal ownership title. The property must be completed, and the
apartments are ready for sale, including the necessary regulatory permissions.
The timing of the transfer of risks and rewards varies depending on the individual terms of the sale arrangement.
(m) Expenses
Operating expenses are expensed as incurred. Expenditures that relate to multiple accounting periods are deferred and recognised
over those accounting periods irrespective of the timing of the consideration given or liability incurred.
(n) Interest income, interest expense and other net financial result
Interest income comprises interest income on funds invested, such as bank interest, interest on provided loans, interest on bonds
purchased and interest on non-current receivables.
Interest expense comprises interest expense on loans and borrowings, on leases, on bonds issued and interest charges related to
leases.
Interest income and expense is recognised as it accrues in profit or loss, using the effective interest method.
Other net financial result comprises dividend income, gains on disposal of debt investments at fair value through OCI, gains on
derivative instruments that are recognised in profit or loss and reclassifications of amounts (losses) previously recognised in OCI, bank
charges, losses on disposal of debt investments at fair value through OCI, losses on derivative instruments that are recognised in profit
CPI FIM SA | 2024 CONSOLIDATED FINANCIAL STATEMENTS
or loss and reclassifications of amounts (gains) previously recognised in OCI and foreign currency gains and losses that are reported
on a net basis as either finance income or finance costs depending on whether foreign currency movements result in a net gain or net
loss position.
Borrowing costs that are not directly attributable to the acquisition or construction of a qualifying asset are recognised in profit or loss
using the effective interest method.
Dividend income is recognised in profit or loss on the date that the Group’s right to receive payment is established.
(o) Current income tax
Current income tax assets and liabilities recognised are the amount expected to be recovered from or paid to the taxation authorities.
The tax rates and tax laws used to compute the amount are those that are enacted or substantively enacted at the reporting date in the
country where the Group operates and generates taxable income.
The estimated current income tax expense is calculated using the accounting profit for the period and an estimate of non-deductible
expenses of each entity of the Group and the corresponding income tax rate applicable to the given country and accounting period.
Current and deferred income tax is recognised in profit or loss except to the extent that it relates to a business combination, or items
recognised directly in equity or in OCI.
(p) Deferred tax
Deferred tax is recognised in respect of temporary differences between the carrying amounts of assets and liabilities for financial
reporting purposes and the amounts used for taxation purposes. Deferred tax is not recognised for:
temporary differences on the initial recognition of assets or liabilities in a transaction that is not a business combination and that
affects neither accounting nor taxable profit or loss (asset acquisition);
temporary differences related to investments in subsidiaries and jointly controlled entities to the extent that the Group is able to
control the timing of the reversal of the temporary differences and it is probable that they will not reverse in the foreseeable future;
and
taxable temporary differences arising on the initial recognition of goodwill.
Deferred tax is measured at the tax rates that are expected to be applied to temporary differences when they reverse, using tax rates
enacted or substantially enacted at the reporting date.
Deferred tax assets and liabilities are offset if there is a legally enforceable right to offset current tax liabilities and assets, and they
relate to taxes levied by the same tax authority on the same taxable entity, or on different tax entities, but they intend to settle current
tax liabilities and assets on a net basis or their tax assets and liabilities will be realised simultaneously.
A deferred tax asset is recognised only to the extent that it is probable that future taxable profits will be available against which the
asset can be utilised. Deferred tax assets are reviewed at each reporting date and are reduced to the extent that it is no longer
probable that the related tax benefit will be realised.
(q) Earnings per share
The Group presents basic and diluted earnings per share (EPS) data for its ordinary shares. Basic EPS is calculated by dividing the
profit or loss attributable to ordinary shareholders of the Company by the weighted average number of ordinary shares outstanding
during the period.
Diluted EPS is determined by adjusting the profit or loss attributable to ordinary shareholders and the weighted average number of
ordinary shares outstanding for the effects of all dilutive potential ordinary shares.
(r) Entity wide disclosures
The Group has applied the criteria of IFRS 8, ‘Operating Segments’ to determine the number and type of operating segments. From
second half of 2018, the Group reports as a single operating segment entity. Previously, the Group reported the three operating
segments: Income generating rental properties, Land bank and Development. The entity-wide disclosures are determined based on the
nature of the business and how the business is managed by the Board of Directors, the Group’s chief operating decision maker and
reflect the internal reporting structure.
Reasons supporting the change of operating segments in 2018 are:
The chief operating decision maker no longer focuses on the differentiation based on the asset types but reviews and manages
the business as a whole.
Income generating rental properties, land bank and development, previously reported as individual operating segments, became
less significant business considering the Group’s financing function.
As required by IFRS 8, the Group provides information on the business activities in which, the Group engages including split of revenue
and investment property per asset portfolio.
(s) Key management personnel
The Group discloses the total remuneration of key management personnel as required by IAS 24 – Related party disclosures. The
Group includes within key management personnel all individuals (and their family members, if applicable) who have authority and
responsibility for planning, directing and controlling the activities of the Group. Key management personnel include all members of the
Management Board and the senior executives of the Group.
2.3 Determination of fair value
CPI FIM SA | 2024 CONSOLIDATED FINANCIAL STATEMENTS
Investment properties are stated at fair value as at 31 December 2024 and 2023 based on external valuations performed by
professionally qualified valuers. The Group’s property portfolio in the Czech Republic is valued by Jones Lang LaSalle, CBRE and
RSM, in Poland by Knight Frank. The residential portfolio in France is valued by Savills and two Italian properties are valued by
Colliers. One asset in Poland was valued internally.
Independent valuations are reviewed by the Group’s management and represent a basis for the management’s estimate of the
investment properties’ fair value. Those estimates considered the results of current and prior external valuations, information from
comparable selling and purchase transactions, the deferred tax impact and current market conditions.
Valuations reflect, where appropriate, the type of tenants in occupation or responsible for meeting the lease commitments and the
market’s general perception of their creditworthiness; the allocation of maintenance and insurance responsibilities between lessor and
lessee; and the remaining economic life of the property.
The following valuation methods of investment property were used:
The real estate market in Central and Eastern Europe is considered small and transactions with real estate portfolios of the size similar
to that of the Group’s portfolio are rare. Global volatility of the financial system is reflected also in local residential and commercial real
estate markets. Therefore, in arriving at the estimates of market values of investment property as at 31 December 2024 and 31
December 2023, the reliance placed on comparable historical transactions was limited. Due to the need to use the market knowledge
and professional judgements of the valuers to a greater extent, there was higher degree of uncertainty than which would exist in a
more developed and active market.
(i) Office, Industry and Logistics
Office, logistics and industry properties have been valued using predominantly income capitalisation and discounted cash flow
valuation techniques. Income capitalisation method is based on the capitalisation of the net annual income the property generates or is
potentially able to generate. On lease expiry, future income flows have been capitalised into perpetuity at the estimated rental value,
taking into account expiry voids and rent-free periods. The net income is the total rental income reduced by the costs the landlord
cannot cover from the tenants. The capitalisation yield (equivalent yield) is determined by the market transactions achieved at the sale
of the property or similar properties in the market between the willing buyer and the willing seller in the arm’s length transaction. A yield
reflects the risks inherent in the net cash flows applicable to the net annual rentals to arrive at the property valuation. The sales
comparison valuation technique has been used for smaller special retail assets in the Czech Republic.
(ii) Land and vacant buildings
Land and vacant buildings have been valued using the direct comparison method to arrive at the value of the property in its existing
state. Comparison was performed with other similarly located and zoned plots of land/buildings that are currently on the market. This
valuation method is most useful when several similar properties have recently been sold or are currently for sale in the subject property
market. Using this approach a value indication by comparing the subject property to prices of similar properties is produced.
The sale prices of the properties that are judged to be most comparable tend to indicate a range in which the value indication for the
subject property will fall. The valuer estimated the degree of similarity or difference between the subject property and the comparable
sales by considering various elements of comparison. Percentage adjustments were then applied to the sale prices of the comparable
information because the prices of these properties are known, while the value of the subject property is not.
(iii) Investment property under development/developments
The valuer used the Residual Value Approach for the valuation of the investment property under development. In order to assess the
market value of the sites, the valuer undertook a development appraisal to assess the potential value (Gross Development Value) of
the fully completed and leased development as currently proposed, and deducted hard costs, soft costs, financing costs and a
developer’s expected required profit (which reflects the required level of return to a developer and the risk of undertaking the project).
In assessing the Gross Development Value, the valuator adopted a market approach by estimating the market rental values for the
accommodation being developed, and the appropriate capitalisation rate which a potential investor would require, to arrive at the
Market Value of the completed and leased building.
For sensitivity analysis on changes in assumptions of Investment property valuation refer to note 7.5.
3 The Group structure
CPI FIM SA is the Group’s ultimate parent company. As at 31 December 2024, the Group comprises its parent company and 54
subsidiaries (44 subsidiaries as at 31 December 2023) controlled by the parent company and two joint ventures. For a list of
subsidiaries, refer to Appendix I.
3.1 Changes in the Group structure
In 2024, the Group acquired the following subsidiaries:
Entity Change
Group’s share
at
acquisition
Group’s share as at
31 Dec 2024
Date
CPI Project Invest and Finance, a.s. Common control acquisition 77%
51%
24 June 2024
GADWALL, sp. z o.o. Common control acquisition 77%
51%
24 June 2024
CENTRAL TOWER 81 sp. z o.o. Common control acquisition 77%
51%
24 June 2024
Prosta 69 sp. z o.o. Common control acquisition 77%
51%
24 June 2024
City Gardens sp. z o.o. Common control acquisition 77%
51%
24 June 2024
Atrium Complex sp.z o.o. Common control acquisition 77%
51%
24 June 2024
GCA Property Development sp. Z o.o. Common control acquisition 77%
51%
24 June 2024
Equator II Development sp. z o.o. Common control acquisition 77%
51%
24 June 2024
CPI FIM SA | 2024 CONSOLIDATED FINANCIAL STATEMENTS
Entity Change
Group’s share
at
acquisition
Group’s share as at
31 Dec 2024
Date
Oxford Tower sp. z o.o. Common control acquisition 77%
51%
24 June 2024
Equator Real sp. z o.o. Common control acquisition 77%
51%
24 June 2024
On 24 June 2024, through capital contribution of its subsidiaries Equator IV Offices sp. z o.o., Eurocentrum Offices sp. z o.o. and WFC
Investments sp. z o.o., the Group gained control over CPI Project Invest and Finance (hereinafter together with its subsidiaries as „CPI
PIF“), formerly subsidiary of the Group´s related party Czech Property Investments a.s. As a result of the transaction, CPI PIF holds the
following 12 subsidiaries: GADWALL, sp. z o.o., CENTRAL TOWER 81 sp. z o.o., Prosta 69 sp. z o.o., City Gardens sp. z o.o., Atrium
Complex sp. z o.o., GCA Property Development sp. z o.o., Equator II Development sp. z o.o., Oxford Tower sp. z o.o., Equator Real
sp. z o.o., Equator IV Offices sp. z o.o., Eurocentrum Offices sp. z o.o., WFC Investments sp. z o.o.
The transaction was treated as a common control acquisition. The Group designated the acquisition date at 30 June 2024. There were
no material events or changes to assets and liabilities of CPI PIF between 24 June 2024 and 31 December 2024.
The fair value of net assets of subsidiaries contributed by the Group was EUR 528.1 million (representing 77% share in CPI PIF as of
the date of transation).
The fair value of the identifiable assets and liabilities of CPI PIF as at the date of transaction was as follows:
Entity 30 June 2024
Investment property 1,088,566
Loans provided – non-current 531,078
Current income tax receivables 3,761
Trade receivables 7,519
Loans provided – current 96,909
Cash and cash equivalents 9,999
Other financial current assets 13,820
Other non-financial current assets 11,979
Total assets 1,763,631
Financial debts – non-current (1,023,158)
Derivative instruments (3,606)
Deferred tax liability (27,054)
Other non-current liabilities (9,361)
Financial debts – current (307)
Trade payables (8,782)
Other financial current liabilities (6,731)
Other non-financial current liabilities (3,282)
Total liabilities (1,082,281)
Total 681,350
The fair value of the identifiable assets and liabilities newly consolidated as a result of the transaction (representing 23% of total net
assets of CPI PIF) was as follows:
Entity 30 June 2024
Investment property 565,596
Current income tax receivables 2,184
Trade receivables 5,218
Cash and cash equivalents 262
Other financial current assets 820
Other non-financial current assets 9,612
Total assets 583,692
Financial debts – non-current (394,366)
Deferred tax liability (18,129)
Other non-current liabilities (4,545)
Trade payables (5,287)
Other financial current liabilities (6,102)
Other non-financial current liabilities (1,979)
Total liabilities (430,408)
Total 153,284
As a result of the transaction, the Group recognised non-controlling interest of EUR 153.3 million.
Further, on 27 June 2024, the Group sold 26% share of CPI Project Invest and Finance (hereinafter together with its subsidiaries as
„CPI PIF“) to European asset manager SONA ASSET MANAGEMENT (UK) LLP for EUR 96.7 million (refer to note 6.10 for more
details).
In 2023, the Group acquired or founded the following subsidiaries:
CPI FIM SA | 2024 CONSOLIDATED FINANCIAL STATEMENTS
Entity Change Group’s share Date
CPI FIM WHITE, a.s. Acquisition 100.00% 21 March 2023
CPI FIM GOLD, a.s. Acquisition 100.00% 21 March 2023
BD Malostranská, a.s. Demerger 100.00% 1 July 2023
In 2023, the Group disposed or liquidated the following subsidiaries:
Entity Change Group’s share Date
CD Property, s.r.o. Disposal 100.00% 21 April 2023
In 2023, the Group sold its subsidiary CD Property to SIMMO for EUR 11.7 million.
4 Entity-wide disclosures
The management of the Group reviews financial information that is principally the same as that based on the accounting policies
described in note 2.2. For all asset types, discrete financial information is provided to the Board of Directors, which is the chief
operating decision maker, on an individual entity basis.
The Group is engaged primarily in financing of CPI Property Group; the Group’s other business activities consist of:
rendering of advisory and other services to CPI Property Group;
investing in landbank and development portfolio in the Czech Republic;
managing of office and retail portfolio in Poland;
operating of hotel resort in Italy;
managing of residential portfolio in France.
4.1 Financing
Interest income by countries
2024 2023 AmountIn % AmountIn %Poland 877–626–Luxembourg 227,94797%264,43099%Czech Republic 3,5782%260–Italy 2,5891%2,4441%Total 234,991100%267,760100%Loans provided by country of the creditor 31 December 2024 31 December 2023 AmountIn % AmountIn %Luxembourg 3,475,60294%4,319,00086%Poland 97–––Non-current loans provided 3,475,699 94% 4,319,00086%Luxembourg 135,9864%719,27614%Poland 98,4982%––Current loans provided 234,484 6% 719,27614%Total 3,710,183100%5,038,276100%
4.2 Other business activities
Revenues by countries
2024 2023 AmountIn % AmountIn %Czech Republic 63,07843%2,5745%– Development 62,95743% 1,8794%– Office – – 5751%– Retail 121 – 120–Luxembourg – Rendering of services 4,5733%5,37810%Poland 78,52953%46,42084%– Office 70,97548% 46,42084%– Retail 7,554 5% ––France – Residential 141 – ––Italy – Hospitality 1,344 1% 8661%Total 147,665100%55,238100%
CPI FIM SA | 2024 CONSOLIDATED FINANCIAL STATEMENTS
Investment property by countries
31 December 2024 31 December 2023 AmountIn % AmountIn %Czech Republic 961,18546%970,89761%– Development and land bank 936,68245%951,97160%– Office 4,700–4,700–– Development 13,0241%12,1341%– Retail 6,779–2,092–Poland 1,090,09051%543,16334%– Office 986,77546%542,78034%– Retail 102,9265%––– Landbank 389–383–Other – residential 50,6001%50,6003%Other – hospitality 25,5002%24,9502%Total 2,127,375100%1,589,610100%
5 Consolidated statement of comprehensive income
5.1 Gross rental income
20242023Gross rental income 56,38535,948
In 2024, the increase in gross rental income was driven primarily due to the acquisition of Polish subsidiaries (EUR 19.0 million).
5.2 Net service charge and other income
20242023Service revenue 5231,176Service charge income 33,00713,131Service charges and other income 33,53014,307Cost of service charges (30,782)(13,463)Cost of service and other charges (30,782)(13,463)Total net service charge income 2,748844
In 2024, the service charges increased mainly due to an increase in net service charges generated mainly by newly acquired Polish
offices.
5.3 Property operating expenses
20242023Building maintenance (5,522)(2,604)Real estate tax (1,048)(540)Letting fee, other fees paid to real estate agents (2,944)(332)Facility management and other property related services (2,644)(475)Total (12,158)(3,951)
The operating expenses arising from investment property that generate rental income in 2024 amounted to EUR 11.5 million (EUR 3.6
million in 2023). The operating expenses arising from investment property that did not generate rental income in 2024 amounted to
EUR 0.7 million (EUR 0.4 million in 2023).
5.4 Net development income
Development sales in 2024 represented sales of flats of development projects in the Czech Republic.
5.5 Net valuation gain/(loss)
20242023Valuation gain 37,25744,834Valuation loss (50,128)(63,321)Total (12,871)(18,487)
In 2024 and 2023, the valuation gain primarily relates to the Group’s portfolio located in the Czech Republic (EUR 35.8 million and EUR
43.8 million, respectively) and Polish office portfolio (EUR 1.5 million and EUR 1.0 million, respectively). Valuation loss incurred in 2024
primarily relates to Polish office portfolio (EUR 37.9 million) and Czech Land Bank (EUR 12.2 million).
For the assumptions, the independent valuers used in the property valuations as at 31 December 2024 and 2023, refer to note 7.5.
CPI FIM SA | 2024 CONSOLIDATED FINANCIAL STATEMENTS
5.6 Net gain on the disposal of investment property and subsidiaries
The following table summarises the effects of investment property disposals:
2024
2023
Proceeds from the disposal of investment property 667
346
Carrying value of investment property disposed of and related cost (638)
(286)
Net gain on the disposal of investment property 29
60
Proceeds from the disposal of subsidiaries -
17,511
Carrying value of subsidiaries disposed of -
(16,310)
Net gain on the disposal of subsidiaries -
1,201
Total 29
1,261
In 2023, the Group disposed its subsidiary CD Property with carrying value of EUR 16.3 million to SIMMO.
The following table summarises disposal effects of subsidiaries sold:
2023
Investment property 24,545
Intangible fixed assets 13
Deferred tax assets 213
Trade receivables 560
Other non-financial current assets 261
Cash and cash equivalents 190
Total disposed assets 25,782
Financial debts non-current (9,217)
Financial debts current (215)
Trade payables (308)
Other financial current liabilities (223)
Other non-financial current liabilities (9)
Total disposed liabilities (9,972)
Carrying value of subsidiaries disposed of 15,810
5.7 Amortisation, depreciation and impairments
20242023Depreciation and amortisation (801) (389)Impairment of assets (11,050)(678)Total (11,851)(1,067)
Increase of impairment of assets in 2024 reflects higher general risk of default (under IFRS9) related to Group’s receivables.
5.8 Administrative expenses
20242023Advisory and tax services (4,313)(5,383)Audit services (294)(154)Personnel expenses (911)(751)Legal services (254)(356)Other administrative expenses (1,146)(994)Total (6,918)(7,638)
In 2024 and 2023, the advisory expenses also include the management services received from related parties in the amount of EUR
0.6 million and EUR 0.1 million, respectively.
In 2024 and 2023, the audit, tax and advisory expenses also include the cost of services provided by the Group’s auditor of EUR 0.3
million and 0.2 million in 2023, respectively.
Personnel administrative expenses
20242023Wages and salaries (745)(628)Social and health security contributions (153)(116)Other social expenses (13)(7)Total (911)(751)
As at 31 December 2024 and 2023, the Group had 10 and 7 employees, respectively.
CPI FIM SA | 2024 CONSOLIDATED FINANCIAL STATEMENTS
5.9 Other net financial result
20242023Net foreign exchange loss on investment property (5,600)(37,771)Other net foreign exchange gain (11,853)(7,100)Other net financial result (3,221)16,094Bank charges (2,885)(932)Total (23,559)(29,709)
In 2024 and 2023 the other net financial result mainly represents a loss on foreign exchange on investment property related to Polish
portfolio of EUR 16.2 million, partly eliminated by EUR 4.6 million of the foreign exchange gain on investment property related to Czech
Republic land banks.
The other net foreign exchange losses in 2024 and 2023 were driven by the retranslation of loans provided to related parties in foreign
currencies.
5.10 Interest income and expense
Interest income on loans and receivables relates primarily to loans provided to related parties (see note 6.5 and 10).
Interest expense relates primarily to loans received from related parties, (see note 6.11 and 10).
5.11 Income tax expense
Tax recognised in profit or loss
20242023Current income tax expense (7,223)(718)Adjustment for prior year 11928Income tax expense (7,103) (690)Temporary differences 2,831(22,605)Utilisation of tax losses carried forward 832(26,654)Deferred income tax expense (863)(49,259)Total (7,967)(49,949)
In 2024 and 2023, based on the assessment of its recoverability, the Group partially released deferred tax asset of EUR 0.8 million and
EUR 26.7 million, respectively.
Reconciliation of effective tax rate
20242023Profit for the period 65,60246,433Total income tax recognised in profit or loss 7,96749,949Profit before tax 73,56996,382Current income tax rate 24.94%24.94%Income tax expense using the domestic corporate income tax rate (18,348)(24,038)Change in income tax rates -(18,377)Effect of tax rates in foreign jurisdictions 9503,500Non-deductible expense (9,323)(12,460)Tax exempt income 4,2851,426Change in unrecognised deferred tax asset from tax losses carried forward 14,469–Income tax expense (7,967)(49,949)
Pillar Two
On 23 May 2023, the International Accounting Standards Board issued International Tax Reform – Pillar Two Model Rules –
Amendments to IAS 12 which clarify that IAS 12 applies to income taxes arising from tax law enacted or substantively enacted to
implement the Pillar Two model rules published by the OECD, including tax law that implements Qualified Domestic Minimum Top-up
Taxes. The Group has adopted these amendments. Using a transitional safe harbor rules, the Group evaluated impact of the OECD's
global tax reform under Pillar II, which enforces a minimum global corporate tax rate of 15% and concluded no material impact on its
tax position as at 31 December 2024.
The main tax rules imposed on the Group companies
Luxembourg: The tax rate is 24.94% considering the combined corporate income tax rate, solidarity surtax of 7% on the corporate
income tax rate and municipal business tax rate of 6.75%. Tax losses incurred until 2017 may be carried forward indefinitely, while
losses incurred as from 2017 should be limited to 17 years. From 2025, the overall tax rate will decrease from 24.94% to 23.87%.
Czech Republic: The corporate income tax rate is 21%. Tax losses can be carried forward for 5 years. Losses may not be carried
forward on a substantial (approximately 25%) change in the ownership of a company unless certain conditions are met.
Poland: The corporate income tax rate is 19%. Tax losses 2017-2018 may be carried forward for 5 years but the loss utilisation in each
year is capped at 50% of the tax loss. The losses incurred during 2019-2022 can be utilised: a) in the next five consecutive tax years,
provided that the amount of the utilisation in any of these years may not exceed 50% of the amount of this loss, or b) in one of the next
CPI FIM SA | 2024 CONSOLIDATED FINANCIAL STATEMENTS
five subsequent tax years by an amount not exceeding PLN 5,000,000, the undetermined amount is subject to settlement in the
remaining years of this five-year period, provided that the amount of reduction in any of these years may not exceed 50% of the
amount of this loss.
Italy: The corporate income tax (“IRES”) rate is 24% plus the regional tax on productive activities (“IRAP”) of 4.82% is applicable in
Rome where the business of the Group is located. For IRES purposes, tax losses may be carried forward indefinitely. However, tax
losses may be offset only up to 80% of taxable income in each year. Tax losses incurred during the first 3 years of new activity may be
used to fully offset corporate taxable income. Utilisation of the tax losses carried forward is limited upon business reorganisations and a
change of control. For IRAP purposes, tax losses may not be carried forward.
Recognised deferred tax assets and liabilities
Asset Liability Net 31 Dec 202431 Dec 202331 Dec 202431 Dec 202331 Dec 202431 Dec 2023Investment property –32(176,258)(158,947)(176,258)(158,915)Tax losses carried-forward 85,28288,627––85,28288,627Other 7,6734,017–(5,604)7,673(1,587)Gross deferred tax asset/(liability) 92,95592,676(176,258)(164,551)(83,303)(71,875)Deferred tax offset by subsidiaries (2,888)2572,888(257)––Net deferred tax asset/(liability) 90,06792,933(173,370)(164,808)(83,303)(71,875)
As at 31 December 2024 and 2023, the Group recognised the deferred tax asset from tax losses carried forward in total amount of
EUR 85.3 million and EUR 88.6 million, respectively. As these tax losses relate primarily to the Luxembourg entities and were
generated before 2017, they can be carried forward indefinitely. Recognition of the deferred tax asset is based on the future taxable
profits that are expected to be generated in next 10 years. The expected profits reflect a strategy of CPIPG in which, the Group renders
the financial services to CPIPG’s subsidiaries.
Expiry of unrecognised tax losses carried forward
Less than 1 year1 to 3 years3 to 5 yearsMore than 5 yearsTotalAs at 31 December 2024 3,55914,63121,0465,09144,327As at 31 December 2023 2,2209,7818,6353,67824,314
An increase in expiry of unrecognized tax losses carried forward relates to newly acquired Polish offices.
Movement in deferred tax
20242023As at 1 January (71,875) (28,769)Recognised in profit or loss (863)(49,259)Recognised in other comprehensive income 8871,249Common control acquisition (18,129)-Disposal of subsidiaries -1,190Translation effect and other 6,6773,714As at 31 December (83,303)(71,875)
CPI FIM SA | 2024 CONSOLIDATED FINANCIAL STATEMENTS
6 Consolidated statement of financial position
6.1 Investment property
OfficeLandbankDevelopmentRetailHospitalityResidentialTotalAs at 1 January 2023 616,780 930,438 12,565 2,27725,95052,100 1,640,110Development costs and other additions 15,39627,0823–7875843,317Transfers within investment property –(29,474)––––(29,474)Disposals (24,547)(296)––––(24,843)Valuation gain/loss (57,625)42,689(128)(87)(1,078)(2,258)(18,487)Net foreign exchange loss (44,062)6,283––––(37,779)Translation differences 41,538(24,368)(306)(98)––16,766As at 31 December 2023 547,480 952,354 12,134 2,09224,95050,600 1,589,610Common control acquisition 453,518––112,078––565,596Development costs and other additions 19,219 11,878215 3,685 40360 35,460 Transfers to inventories –(28,428)––––(28,428)Transfers to assets held for sale –(5,374)––––(5,374)Transfers between segments –(5,339)–5,339–––Disposals (48)(6,539)––––(6,587)Valuation gain/loss (32,478)31,096900(12,476)147(60)(12,871)Net foreign exchange gain/loss (7,443)4,875–(1,718)––(4,286)Translation differences 11,227(17,452)(225)705––(5,745)As at 31 December 2024 991,475937,07113,024109,70525,50050,6002,127,375
Common control acquisition
In 2024, the Group acquired and retails 7 Poland offices of EUR 453.5 million and 2 Poland shopping malls of EUR 112.1 million
through a common control acquisition (refer to note 3).
Development costs and other additions
In 2024, the development costs primarily related to newly acquired Polish offices of EUR 19.2 million and landbanks of EUR 11.9
million.
In 2023, the development costs primarily related to landbank in Brno and Poland offices of EUR 14.7 million and EUR 10.7 million,
respectively.
Transfers to inventories
In 2024 and 2023, the Group transferred landbank in Prague of EUR 28.4 million and EUR 29.5 million from investment property to
inventories due to change in its use.
Disposals
In 2023, the Group disposed one office property of EUR 24.6 million.
Net valuation gain/loss
In 2024, the valuation loss related primarily to the Polish portfolio (EUR 35.3 million) and Czech Land Bank (EUR 4.9 million), the loss
was partly offset by valuation gains recognised by the Group’s Czech landbank portfolio (EUR 37.0 million, primarily related to
development projects Bubny Development of EUR 10.5 million, STRM Beta of EUR 5.3 million and Polygon BC of EUR 4.5 million) and
Polish office portfolio (EUR 1.7 million).
In 2023, the valuation loss related primarily to the Polish portfolio (EUR 57.6 million), the loss was partly offset by valuation gains
recognised by the Group’s Czech landbank portfolio (EUR 43.9 million, primarily related to development projects Bubny Development
of EUR 14.9 million, Nová Zbrojovka of EUR 8.6 million and CPI Podhorský Park of EUR 5.2 million).
Translation differences
Translation differences related to investment property arise in connection with translation of amounts of subsidiaries with different
functional currency than EUR.
Reconciliation between the values obtained from the external valuers and the reported values
31 December 202431 December 2023Market value as estimated by the external valuer (refer to note 7.5) 2,086,3971,574,675Add: leased assets and other 40,97814,935As at 31 December 2,127,3751,589,610
CPI FIM SA | 2024 CONSOLIDATED FINANCIAL STATEMENTS
6.2 Property, plant and equipment
20242023Other TotalOtherTotalCostAs at 1 January3,1713,1713,0333,033Development costs and other additions324324145145Disposals(4)(4)Translation differences(6)(6)(7)(7)As at 31 December3,4853,4853,1713,171Accumulated depreciation and impairment lossesAs at 1 January(677)(677)(281)(281)Depreciation (456)(456)(396)(396)As at 31 December(1,133)(1,133)(677)(677)Carrying amountsAs at 1 January2,4942,4942,7522,752At 31 December2,3522,3522,4942,494
6.3 Equity accounted investees
As at 31 December 2024, the equity accounted investment in the amount of EUR 16.8 million (EUR 16.9 million as at 31 December
2023) represents investment in Uniborc S.A. Uniborc S.A. is a joint venture constituted in 2013 with Rodamco with aim to develop a
shopping centre in the Bubny area in Prague, the Czech Republic. The Group’s shareholding is 35%.
20242023As at 1 January 16,9399,724Share of profit 9215Capital increase/decrease (143)7,000As at 31 December 16,80516,939
Condensed statement of comprehensive income of Uniborc S.A.
20242023Net valuation gain on investment property (55)3,846Administrative expenses 191170Operating result 1364,016Interest expenses (1,000)(2,499)Profit before taxes (864)1,517Income taxes 520(913)Profit/loss for the period (344)604
Condensed statement of financial position of Uniborc S.A.
31 December 202431 December 2023Investment property 91,06087,738Cash and cash equivalents 471294Total assets 91,53188,032Non-current financial liabilities (26,268)(24,710)Deferred tax liabilities (16,986)(14,701)Current financial liabilities (176)(167)Other current liabilities (87)(57)Total liabilities (43,517)(39,635)Net assets 48,01448,397
6.4 Other investments
As at 31 December 2024 and 2023, the Group holds 67,000,000 shares in CPIPG, which represents 0.75% of the CPIPG’s
shareholding and is valued at EUR 51.2 million (EUR 54.6 million as at 31 December 2023).
The valuation of CPIPG shares held by the Group as at 31 December 2024 and 2023 is based on an alternative valuation model
because of not an active market. The management determined the use of EPRA NAV per share (net asset value per share determined
based on the methodology of European Public Real Estate Association) of CPIPG as the most representative valuation model primarily
due to:
EPRA NAV is a globally recognised measure of fair value;
EPRA NAV takes into consideration the fair value of the net assets of a company, applying known aspects of the company’s
business model.
For the valuation of the CPIPG shares held as at 31 December 2024 and 2023, EPRA NAV per CPIPG share as at 31 December 2024
and 2023 was used. CPIPG’s EPRA NAV per share EUR 0.74 as at 31 December 2024 (EUR 0.81 as at 31 December 2023) differs
from the price at the stock-exchange EUR 0.79 as at 31 December 2024 (EUR 0.93 as at 31 December 2023).
The change in the value of CPIPG shares is recognised in other comprehensive income by the Group.
CPI FIM SA | 2024 CONSOLIDATED FINANCIAL STATEMENTS
The detailed calculation of CPIPG’s EPRA NAV per share is presented in the CPIPG’s annual report. The Group adjusted the number
of shares used in the calculation for the amount of shares owned by the Group as at 31 December 2024 and 2023. As at 31 December
2024, the EPRA NAV per share of EUR 0.76 (EUR 0.83 as at 31 December 2023) disclosed by CPIPG therefore differs from value
used by the Group to value the CPIPG‘s shares owned.
6.5 Loans provided
31 December 202431 December 2023Loans provided – related parties and joint ventures 3,504,1764,333,679Impairment to non-current loans provided to related parties (28,477)(14,679)Total non-current loans provided 3,475,699 4,319,000Loans provided – related parties and joint ventures 234,484719,276Total current loans provided 234,484719,276
Loans provided decreased in 2024 mainly due to decrease of loans provided to related parties. These loans bear interest rate between
0.48% – 13.83% p.a. (determined based on the Group’s risk assessment) and mature from 2024 to 2031. See note 10 for more
information.
Loans provided to joint venture include loan principal and the interest granted to Uniborc S.A. (see note 6.3) in the amount of EUR 7.6
million and EUR 8.7 million as at 31 December 2024 and 2023. The joint venture is primarily financed through a loan by both partners
in the same proportion as their respective shareholdings. The loan is repayable in 2028.
6.6 Inventories
31 December 202431 December 2023Inventories 36,69050,344
Compared to 31 December 2023, inventories decreased due to sales of flats in the Czech Republic in the period.
6.7 Trade receivables
31 December 202431 December 2023Trade receivables due from related parties 22,4703,984Trade receivables due from third parties 16,0315,538Impairment – trade receivables due from other parties (5,810)(1,580)Total 32,6917,942
Trade receivables increased primarily due to acquisition of certain Polish subsidiaries in June 2024.
6.8 Cash and cash equivalents
31 December 202431 December 2023Bank balances 163,44183,600Cash on hand 22Total 163,44383,602
6.9 Other current receivables
31 December 202431 December 2023Cash pool receivables due from related parties 58,34050,930Other receivables due from related parties 191,984153,444Other receivables due from third parties 30,40134,561Impairment – other receivables due from other parties -(18)Total 280,725238,917
The Company has agreed a cash-pool contracts with related subsidiaries of CPI Property Group (refer to note 2.2). As at 31 December
2024, other current receivables related to cash pool amounted to EUR 58.3 million (EUR 50.9 million as at 31 December 2023).
6.10 Equity
As of 31 December 2024 and 2023, the share capital of the Company amounts to EUR 13,145 thousand and is represented by
1,314,507,629 ordinary fully paid shares with a nominal value of EUR 0.01 each.
The following table sets out information regarding the ownership of the Company’s shares as at 31 December 2024 and 2023,
respectively:
Shareholder Number of sharesShare heldCPI PROPERTY GROUP S.A. 1,279,198,97697.31%Others 35,308,6532.69%As at 31 December 2024 and 2023 1,314,507,629100.00%
CPI FIM SA | 2024 CONSOLIDATED FINANCIAL STATEMENTS
Non-controlling interests (NCI)
20242023Opening balance467310,726Acquisition of non-controlling interests(12,729)-Loss for the period-(310,259)Common control acquisition153,284-Sale of non-controlling interest in CPI PIF180,516-As at 31 December321,538467
CPI Project Invest and Finance
The registered office of CPI Project Invest and Finance, a.s. is Purkyňova 2121/3, Prague, the Czech Republic.
Movement of CPI PIF-related non-controlling interest:
Condensed financial information of CPI PIF as at 31 December 2024:
On 24 June 2024, as a result of common control acquisition through which the Group acquired CPI PIF, the Group recognised non-
controlling interest of EUR 153.3 million (for more details refer to note 3).
On 27 June 2024, the Group sold 26% share of CPI Project Invest and Finance (hereinafter together with its subsidiaries as „CPI PIF“)
to European asset manager SONA ASSET MANAGEMENT (UK) LLP (“Sona Asset Management”) for EUR 96.7 million.
The difference between the carrying value of EUR 180.5 million and the sales price of EUR 96.7 million amounting to EUR 83.3 million
represents Group’s loss from sale of NCI and was recognised against retained earnings as of the date of sale.
The Group holds a call option to repurchase the shares of CPI PIF back from Sona Asset Management at a price which depends on
the date of exercise of the call option. If the shares were not fully repurchased after five years by the Group, Sona Asset Management
has a (conditional) right to trigger a sale of CPI PIF’s assets on the market. As at 31 December 2024, the fair value of the Group’s call
option was considered insignificant.
As part of the investment, Sona Asset Management does not have present access to any returns. The Group cannot be required to any
payments as distributions depend on operational performance and approval of CPI PIF’s board.
In 2023, the Group acquired a non-controlling 80% interest in its Czech subsidiaries Bubny Development, STRM Alfa, MQM Czech,
Polygon BC (all with registered office at Vladislavova 1390/17, Prague 1, 110 00) and Vysočany Office (registered office at Pohořelec
112/24, Prague 1, 118 00) from the related company GSG Europa for EUR 311.6 million of which EUR 1.3 million (representing a
difference between carrying value of related non-controlling interest and the purchase price) was recognised against retained earnings.
Mandatory takeover bid over Company shares
On 8 June 2016 the Company’s fully owned subsidiary Nukasso Holdings Limited directly and indirectly acquired approximately
97.31% of shares in CPI FIM. As a consequence, Nukasso Holdings Limited became obliged to launch a mandatory takeover bid to
purchase any and all of the ordinary shares of CPI FIM (the “Mandatory Takeover Offer”). On 22 August 2016, the Czech Office for the
Protection of Competition granted the merger clearance for the acquisition of CPI FIM by the Group, whereas its decision became final
and binding on 23 August 2016.
On 8 December 2017 the CSSF published press releases in which it stated, inter alia, that it has decided not to approve the offer
document in the Mandatory Takeover Offer as a consequence of the existence of an undisclosed concert action with respect to CPI
FIM. On 15 March 2018 the CSSF published a press release informing that the decisions detailed in the above-mentioned CSSF press
releases of 8 December 2017 have been challenged before the Luxembourg administrative courts. On 21 November 2023 the first
instance court rejected administrative lawsuits against the decisions of the CSSF. The shareholders appealed against this decision. On
27 June 2024, the appeals formed against the judgments of 21 November 2023 have been dismissed by the Administrative Court
(Cour administrative). As a consequence, decisions adopted by the CSSF on 8 December 2017 are final and may no longer be
challenged before the Luxembourg administrative courts.
As of the date of this report, the Company has not received any formal decision in relation to the Mandatory Takeover Offer.
2024Group’s interest 49.0%Common control acquisition153,284Sale of non-controlling interest in CPI PIF180,516Non-controlling interest – profit for the period (12,729)Total non-controlling interest 321,071
2024Non-current assets 1,247,421.9Current assets 164,515.9Total assets 1,411,937.8Equity attributable to owners 677,752.5Non-current liabilities 711,677.5Current liabilities 22,507.8Total equity and liabilities 1,411,937.8Profit for the period (27,976)Net increase/(decrease) in cash and cash equivalents 43,264.7
CPI FIM SA | 2024 CONSOLIDATED FINANCIAL STATEMENTS
Earnings per share
31 December 202431 December 2023Weighted average outstanding shares for the purpose of calculating the basic EPS 1,314,507,6291,314,507,629Weighted average outstanding shares for the purpose of calculating the diluted EPS 1,314,507,6291,314,507,629Net profit attributable to owners of the parent 78,33146,433Net profit attributable to owners of the parent after assumed conversions/exercises 78,33146,433Total Basic earnings in EUR per share 0.060.04Diluted earnings in EUR per share 0.060.04
Basic earnings per share (EPS) are calculated by dividing the profit attributable to the Group by the weighted average number of
ordinary shares in issue during the period, excluding ordinary shares purchased by the Group and held as treasury shares.
Diluted earnings per share is calculated by adjusting the weighted average number of ordinary shares outstanding to assume
conversion of all dilutive potential ordinary shares. The warrants issued by the Company were not taken into account in the diluted EPS
calculation.
6.11 Financial debts
31 December 202431 December 2023Loans from related parties 3,651,4644,633,435Bank loans 308,787327,027Lease liabilities 43,4474,771Total non-current financial debts 4,003,6984,965,233Loans from related parties 168,548183,368Bank loans –8,098Lease liabilities 239252Total current financial debts 168,787191,718
As at 31 December 2024 and 2023, the balance of the loans received from the Group’s parent company CPIPG and its subsidiaries
was EUR 3,532.8 million and EUR 4,018.2 million, respectively. The loans from CPIPG bear interest rates between 0.65% – 6.13% p.a
(0.65% – 6.12% in 2023).
Maturity of financial debts
As at 31 December 2024 Less than one year1 to 5 yearsMore than 5 yearsTotalLoans from related parties 168,5481,971,9191,680,3453,820,812Bank loans -285,57723,210308,787Lease liabilities 2394,37839,06943,686Total 168,7872,261,8741,742,6244,173,285
As at 31 December 2023 Less than one year1 to 5 yearsMore than 5 yearsTotalLoans from related parties 183,3681,970,5682,662,8674,816,803Bank loans 8,098306,49420,533335,125Lease liabilities 2524,771–5,023Total 191,7182,281,8332,683,4005,156,951
For details on the loans received from related parties, refer to note 10.
Reconciliation of movements of liabilities to cash flows arising from financing activities
Loans and borrowingsLease liabilitiesTotalAs at 1 January 2024 5,151,9285,0235,156,951Interest paid (116,763) – (116,763)Drawings of loans and borrowings 80,448 – 80,448Repayments of loans and borrowings (1,510,900) – (1,510,900)Total changes from financing cash flows (1,547,215)– (1,547,215)Changes from obtaining or losing control of subsidiaries or other 355,70338,663394,366businessesThe effect of changes in foreign exchange rates 12,643–12,643Interest expense 155,740–155,740As at 31 December 2024 4 128 79943,6864,172,485
CPI FIM SA | 2024 CONSOLIDATED FINANCIAL STATEMENTS
Loans and borrowingsLease liabilitiesTotalAs at 1 January 2023 4,895,2074,6684,899,875Interest paid (112,728) –(112,728)Drawings of loans and borrowings 504,175 –504,175Repayments of loans and borrowings (291,605) –(291,605)Lease liabilities – ––Total changes from financing cash flows 99,842–99,842The effect of changes in foreign exchange rates 7.9283558.283Interest expense 148,951–148.951As at 31 December 2023 5,151,9285,0235,156,951
6.12 Other financial non-current liabilities
31 December 202431 December 2023Tenant deposits 9,8394,010Advances received from third parties 2,855-Payables from retentions 1,2361,515Other payables due to third parties -20Interest rate swaps used for hedging 8,2598,488Total 22,18914,033
6.13 Trade payables
31 December 202431 December 2023Trade payables due to related parties 9,96311,565Trade payables due to third parties 17,48010,949Total 27,44322,514
6.14 Other financial current liabilities
31 December 202431 December 2023Cash pool payables due to related parties 37,13447,447Other payables due to related parties 317,813311,693Other financial current liabilities due to third parties 16,27914,413Total 371,226373,553
The Company has agreed a cash-pool contracts with selected subsidiaries of CPI Property Group.
As at 31 December 2024 and 2023 other payables represent acquisition price of 80% of NCI, mainly Bubny of EUR 155.0 million and
STRM Alfa of EUR 55.2 million acquired in 2022.
As at 31 December 2024, the other financial current liabilities related to cash pool amounted to EUR 37.1 million (EUR 47.4 million as
at 31 December 2023).
6.15 Other non-financial current liabilities
31 December 202431 December 2023Value added tax payables 1,683114Provisions 1,3381,062Other 6139Total 3,0821,215
6.16 Leases where the Group acts as a lessor
The commercial property leases typically have lease terms of between 5 and 10 years and include clauses to enable periodic upward
revision of the rental charge according to market conditions. Some contracts contain options to terminate before the end of the lease
term. The following table shows the future rental income from lease agreements where the terms are non-cancellable.
31 December 202431 December 2023Less than one year 73,22936,073Between one and five years 173,62359,093More than five years 31,6727,642Total 278,524102,808
As at 31 December 2024, the leases where the Group acts as a lessor increased due to acquisitions of Polish offices and retails.
CPI FIM SA | 2024 CONSOLIDATED FINANCIAL STATEMENTS
7 Financial risk management
Exposure to various risks arises in the normal course of the Group’s business. Financial risk comprises:
credit risk (refer to note 7.1);
liquidity risk (refer to note 7.2);
market risk including currency risk, interest rate risk and price risk (refer to note 7.3).
This note presents information about the Group’s exposure to each of the above risks, the Group’s objectives, policies and processes
for measuring and managing risk, and the Group’s management of capital.
The primary objectives of the financial risk management function are to establish risk limits, and then ensure that exposure to risks
stays within these limits. Supervision of the Group’s risk is accomplished through discussions held by executive management in
appropriate frameworks together with reporting and discussions with the Board of Directors.
7.1 Credit risk
Credit risk is the risk that counterparty will not meet its obligations under a financial instrument or customer contract, leading to a
financial loss. The Group is exposed to credit risk mainly from its rental activities (primarily for trade receivables) and from its financing
activities, including provided loans, purchased bonds, deposits with banks and financial institutions and other financial instruments.
The Group evaluates the concentration of risk with respect to loans provided as low, as the debtors are primarily entities controlled by
the ultimate shareholder of the Company.
Aging structure of financial assets as at 31 December 2024 and 2023
Total past due but not 31 December 2024 Carrying valueImpairedimpairedOther investments 51,681––Loans provided 3,710,183–28,477– to related parties 3,702,539–26,873– to third parties -––– to joint venture 7,644–1,604Trade and other receivables 313,5334,6675,804Cash and cash equivalents 163,443––Total 4,238,8404,66734,281
Total past due but not 31 December 2023 Carrying valueImpairedimpairedOther investments 54,571––Loans provided 5,052,955–14,679– to related parties 5,051,374–14,679– to third parties (7,126)––– to joint venture 8,707––Trade and other receivables 248,53069,7171,598Cash and cash equivalents 83,602––Total 5,439,65869,71716,277
As at 31 December 2024, the Group recognised an impairment of EUR 24.1 million (EUR 14.7 million as at 31 December 2023) against
loans provided to related parties.
Breakdown of overdue financial assets which are not impaired:
Past due Past due Past due Past due Past due more 31 December 2024 Total1-30 days31-90 days91-180 days181-360 daysthan 360 days Trade and other receivables 6031563,3623781684,667Total 6031563,3623781684,667Past due Past due Past due Past due Past due more 31 December 2023 Total1-30 days31-90 days91-180 days181-360 daysthan 360 days Trade and other receivables 68,627–480–61069,717Total 68,627–480–61069,717
As at 31 December 2024, receivables overdue 91 - 180 days primarily related to the intended acquisition of certain office in Poland and
were therefore not assessed as doubtful.
CPI FIM SA | 2024 CONSOLIDATED FINANCIAL STATEMENTS
Cash and cash equivalents
Cash and cash equivalents, neither past due nor impaired (Moody’s ratings of respective counterparties):
31 December 202431 December 2023A1 64,88867,800A2 11,6899,267A3 77,37926Aa3 –125Baa1 8,1796,192Baa2 1,2238Not rated 85184Total 163,44383,602
7.2 Liquidity risk
The main objective of liquidity risk management is to reduce the risk that the Group does not have available resources to meet its
financial obligations, working capital and committed capital expenditure requirements.
The Group maintains liquidity management to ensure that funds are available to meet all cash flow needs. Concentration of risk is
limited thanks to diversified maturity of the Group’s liabilities and diversified portfolio of the Group’s financing.
The Group manages liquidity risk by constantly monitoring forecasts and actual cash flows and by various long-term financing. The
Group’s liquidity position is monitored on a weekly basis by division managers and is reviewed quarterly by the Board of Directors. A
summary table with maturity of liabilities is used by key management personnel to manage liquidity risks.
Liquidity risk analysis
The following table summarises the maturity profile of the Group’s financial liabilities based on contractual undiscounted payments
including accrued interest. The table reflects the earliest settlement of the Group’s liabilities based on contractual maturity and includes
non-derivative as well as derivative financial liabilities.
31 December 2024 Carrying value< 3 month3-12 months1-2 years2-5 years> 5 yearTotalFinancial debts 4,172,485195,54983,192501,9491,885,7412,190,0614,856,492– loans from related parties3,820,012194,19780,161495,7751,863,2381,807,4774 440 848– bank loans 308,7871,113 3,031 4,042 14,789 309,852332,827– lease liabilities 43,686239 – 2,132 7,714 72,73282,817Other non-current liabilities 22,189––15,5794,6631,94722,189Other current liabilities* 398,669373,4541,74423,471––398,669Total 4,593,343569,00384,936540,9991,890,4042,192,0085,277,35031 December 2023 Carrying value< 3 month3-12 months1-2 years2-5 years> 5 yearTotalFinancial debts 5,156,951193,17854,89564,0122,162,5363,086,6965,561,317– loans from related parties4,816,803191,82251,61659,4162,148,8162,746,1165,197,786– bank loans 335,1251,104 3,2794,35613,069336,700358,508– lease liabilities 5,023252 –2406513,8805,023Other non-current liabilities 14,034––2,6366,4784,91914,033Other current liabilities* 396,067370,23625,831–––396,067Total 5,567,052563,41480,72666,6292,169,0153,091,6155,971,417
* Other current liabilities include current trade payables and other financial current liabilities.
The Group maintains strong cash reserves and maintains flexibility with regard to potential uses of liquidity such as capital
expenditures and development spending, shareholder distributions etc.
As of the date of these financial statements, the Group does not face a significant liquidity risk.
7.3 Market risk
Market risk is the risk that changes in market prices, such as foreign exchange rates, interest rates and prices will affect the Group’s
income or the value of its holdings of financial instruments or could cause future cash flows related to financial instruments to fluctuate.
The objective of market risk management is to manage and control market risk exposures within acceptable parameters while
optimising the return.
The Group’s market risk mainly arises from open positions in a) foreign currencies and b) loans provided and financial debts, to the
extent that these are exposed to general and specific market movements.
Market risk exposures are measured using sensitivity analysis.
Sensitivities to market risks included below are based on a change in one factor while holding all other factors constant.
Foreign currency risk
Foreign currency risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in
foreign exchange rates (see note 2.2(b)).
The Group is exposed to currency risk mainly on sales, purchases and borrowings that are denominated in a currency other than the
respective functional currencies of Group entities, primarily the CZK, but also others (see note 2.2(b)).
CPI FIM SA | 2024 CONSOLIDATED FINANCIAL STATEMENTS
Sensitivity analysis – exposure to currency risk
The table below shows the material balances held in foreign currencies that are deemed subject to currency risk and presents
sensitivities of profit or loss to reasonably possible changes in foreign currency rates with all other variables held constant.
A 10% change in the foreign currency rate of foreign currencies would have the below effect on profit/(loss) or equity of the Group
providing all other variables remaining constant:
Original Change in TEUR (functional Change in TEUR (functional 31 December 2024 In TEURcurrencycurrency depreciated by 10%)currency appreciated by 10%)Cash and cash equivalents163,443TEUR93,746––TCZK42,3834,238(4,238)TUSD808(8)THUF3,498350(350)TCHF444(4)TPLN23,2012,320(2,320)TGBP19119(19)TRON30030(30)Loans provided3,710,183TEUR2,894,868––TCZK429,95342,995(42,995)THUF93,5629,356(9,356)TRON12,7881,279(1,279)TGBP229,32522,932(22,932)TUSD2,608261(261)TAED47,0794,708(4,708)Financial debts(4,172,485)TEUR(4,070,147)––TCZK(58,653)(5,865)5,865TPLN(43,685)(4,369)4,369Net exposure to currency riskTCZK413,68341,368(41,368)TGBP229,51622,951(22,951)TPLN(20,484)(2,049)2,049TRON13,0881,309(1,309)TUSD2,688269(269)THUF97,0609,706(9,706)TCHF444(4)TAED47,0794,708(4,708)
Original Change in TEUR (functional Change in TEUR (functional 31 December 2023 In TEURcurrencycurrency depreciated by 10%)currency appreciated by 10%)Cash and cash equivalents83,602TEUR41,954––TCZK22,2322,223(2,223)TUSD94194(94)THUF4,825483(483)TCHF1––TPLN13,5981,360(1,360)TGBP515(5)Loans provided5,038,276TEUR3,745,997––TCZK873,93487,393(87,393)THUF181,29518,129(18,129)TRON13,9001,390(1,390)TGBP222,31922,232(22,232)TUSD83183(83)Financial debts(5,156,951)TEUR(5,102,280)––TCZK(49,648)(4,965)4,965TPLN(5,023)(502)502Net exposure to currency riskTCZK846,51884,652(84,652)TGBP222,37022,237(22,237)TPLN8,575857(857)TRON13,9001,390(1,390)TUSD1,772177(177)THUF186,12018,612(18,612)TCHF1––
CPI FIM SA | 2024 CONSOLIDATED FINANCIAL STATEMENTS
Interest rate risk
At the reporting date the interest rate profile of the Group’s interest-bearing financial instruments are described under notes 6.5 for
financial assets and under notes 6.11 financial liabilities respectively. Interest rate risk is the risk that the fair value or future cash flows
of a financial instrument will fluctuate because of changes in market interest rates.
The Group’s interest rate risk is monitored by the Group’s management on a monthly basis. The interest rate risk policy is approved
quarterly by the Board of Directors. Management analyses the Group’s interest rate exposure on a dynamic basis. Various scenarios
are simulated, taking into consideration refinancing, renewal of existing positions and alternative financing sources.
Loans provided by the Group require instalments to be paid by the borrower according to a payment schedule, based on a fixed
interest rate. The interest rates charged by the Group are usually based on Group‘s borrowing interest rates.
As the loans provided (including those to related parties) are based on fixed rates, and no financial debt is measured at fair value
through profit and loss the Group’s exposure to the risk of changes in market interest rates relates primarily to the Group’s long-term
debt obligations with floating interest rates. These obligations primarily include bank loans.
Interest rate risk connected with financial debts is limited as 87% of the loans is provided with fix interest rate as at 31 December 2024.
Trade receivables and payables are interest-free and have settlement dates within one year.
Price risk
The Group is exposed to price risks related to investments in shares of CPIPG, which are classified as other investments.
Other components of equity would increase or decrease by EUR 2.5 million as at 31 December 2024 (EUR 2.8 million as at 31
December 2023) as a result of 5% increase or decrease of EPRA NAV per share of CPIPG.
Other risks
The Group is exposed to price risk other than in respect of financial instruments, such as property price risk including property rental
risk. For sensitivity analysis on changes in assumptions of investment property valuation refer to note 7.5.
7.4 Capital management
The Group’s objectives when managing capital are to safeguard the Group’s ability to continue as a going concern in order to provide
returns for shareholders and benefits for other stakeholders; and to maintain an optimal capital structure to reduce the cost of capital.
In order to maintain or adjust the capital structure, the Group may adjust the amount of dividends paid to shareholders, return capital to
shareholders, issue new shares or sell assets to reduce debt.
There is no real seasonality impact on its financial position but rather a volatility of financial markets might positively or negatively
influence Group’s consolidated financial position.
No changes were made in the objectives, policies or processes during the year ended 31 December 2024.
The Group monitors capital on the basis of the gearing ratio.
Gearing ratio
This ratio is calculated as total debt divided by total equity. Debt is defined as all non-current and current liabilities. Equity includes all
capital and reserves as shown in the consolidated statement of financial position.
31 December 202431 December 2023Debt 4,774,437 5,733,511Equity 1,763,184 1,457,614Gearing ratio in % 270.8%393.4%
7.5 Fair value measurement
Fair value of financial instruments
Fair value measurements of financial instruments reported at fair value are classified by level of the following measurement hierarchy:
Level 1: Quoted prices (unadjusted) in active markets for identical assets or liabilities.
Level 2: Inputs other than quoted prices that are observable for the asset or liability, either directly (that is, as prices) or indirectly
(that is, derived from prices);
Level 3: Inputs for the asset or liability that are not based on observable market data (that is, unobservable inputs).
There were no changes in the Group’s valuation processes, valuation techniques, and types of inputs used in the fair value
measurements during the period.
There were no transfers between Level 1 and Level 2 fair value measurements during the period, and no transfers into or out of Level 3
fair value measurements during the period 2024.
The following tables show the carrying amounts at fair value of financial assets and liabilities, including their level in the fair value
hierarchy. It does not include fair value information for financial assets and financial liabilities not measured at fair value if the carrying
amount is a reasonable approximation of fair value.
CPI FIM SA | 2024 CONSOLIDATED FINANCIAL STATEMENTS
Accounting classification and fair values
The following tables show the carrying amounts and fair value of financial assets and liabilities, including their level in the fair value
hierarchy. It does not include fair value information for financial assets and financial liabilities not measured at fair value if the carrying
amount is a reasonable approximation of fair value.
31 December 2024 31 December 2023 Financial assets measured at fair value Carrying amountFair valueCarrying amountFair valueCPI Property Group shares* 49,90549,90554,56254,562Other investments 1,7761,77699Financial assets not measured at fair value Loans provided** 3,702,5394,048,0885,029,5695,832,001Loans provided to joint venture 7,6447,6448,7078,707Financial liabilities not measured at fair value Financial debt – other 3,863,7514,113,9204,821,8264,737,634Financial debt – bank loans (floating rate) 288,201288,201314,592314,592Financial debt – bank loans (fixed rate) 20,53320,54120,53319,008
* For the valuation as at 31 December 2024, the shares are valued using EPRA NAV per share of CPIPG as at 31 December 2024 (refer to note 6.4).
** The fair values of the financial assets and financial liabilities included in the level 3 category have been determined in accordance with generally accepted pricing models based on the discounted cash
flow analysis, with the most significant inputs being the discount rate that reflects the credit risk of counterparties, with the exception of loans provided to/received from entities controlled by the majority
shareholder of the Company, which bear limited credit risk from the Group’s perspective.
The Group classifies all its financial assets and liabilities as Level 3 in the fair value hierarchy.
Fair value measurement of investment property
The Group’s investment properties were valued at 31 December 2024 and 2023 in accordance with the Group’s accounting policies.
The Group utilises independent professionally qualified valuers, who hold a recognised relevant professional qualification and have
recent experience in the locations and segments of the investment properties valued. For all these properties, their current use equates
to the highest and best use.
The Group’s finance department includes a team that reviews the valuations performed by the independent valuers for financial
reporting purposes.
Main observable and unobservable inputs
The table below presents the valuation method, the key observable and unobservable inputs for each class of property owned by the
Group, used by the valuers as at the end of 31 December 2024 and 2023 respectively. The fair value hierarchy of the valuations is
Level 3. Fair value amounts are stated in EUR millions.
Investment property
Fair value Fair value Valuation Significant Range (weighted avg) Range (weighted avg) 2024 2023 technique unobservable inputs20242023RetailCzech Republic - 5 0 DCF ERV per sqm €155–retail warehouse NRI per sqm €76– Discount rate 6.5%– Exit yield 6.5%– Vacancy rate 0%–Czech Republic - 2 2 DCF ERV per sqm €205€204other retail properties NRI per sqm €191€194 Discount rate 5.9%6.0% Exit yield 5.9%6.0% Vacancy rate 0%0%Poland* 103 0 Investment method ERV per sqm €188–€204 (€190)– NRI per sqm €127–€160 (€155)– Equivalent yield 8.2%–8.2% (8.2%)– Vacancy rate 0%–7.7% (6.6%)–Office Czech Republic 5 5 DCF ERV per sqm €150€148 NRI per sqm €126€188 Discount rate 7.0%7.4% Equivalent yield 0%7.0% Vacancy rate 19.2%0%Poland* 920 542 Investment method ERV per sqm €206–€323 (€252)€203–€313 (€260) NRI per sqm €84–€248 (€174)€170–€325 (€262) Equivalent yield 6.2%–8.5% (7.4%)5.8%–8.6% (6.7%) Vacancy rate 0%–15.6% (5.6%)0%–17.7% (3.0%)*acquisition of Polish offices
CPI FIM SA | 2024 CONSOLIDATED FINANCIAL STATEMENTS
Fair value Fair value Valuation Significant Range (weighted avg) Range (weighted avg) 2024 2023 technique unobservable inputs20242023Hotels rented Complementary 26 25 DCF Rate per key €262,887€257,216 Exit yield 6.8%6.8% Discount rate 10.8%10.8%Residential €20,041–€27,919 €19,524–€28,041 Complementary 26 26 Comparable Fair value per sqm (€26,252)(€26,236)Italy 25 25 Comparable Fair value per sqm €13,938€13,938Landbank Czech Republic 230 199 Comparable Fair value per sqm €2–€2,615 (€14)€2–€2,350 (€13)Prague 294 311 Comparable Fair value per sqm €8–€3,195 (€290)€8–€3,988 (€302)Gross development Czech Republic 9 9 Residual €3,037€3,042value Development margin 25.0%25.0%Landbank and Development Landbank Bubny 270 260 Comparable Fair value per sqm (€1,343)(€1,294)Landbank Zbrojovka 133 158 Comparable Fair value per sqm (€623)(€688)Development appraisal Development Vysočany13 12 Fair value per sqm (€2,161)(€2,013)–comparableDevelopment appraisal Development Prosta 6926 0 Fair value per sqm (€2,126)€0–comparableTotal 2,087 1,574
The tables above are net of properties classified as assets held for sale, recent acquisitions and selected leased properties.
Appraisal for Bubny as at 31 December 2024
Bubny is a landbank with a size of over 202 thousand square meters and is located near Prague’s city centre. The majority of the site is
currently not used. As of 31 December 2022, a valuation of the landbank was conducted by external valuation expert Jones Lang La
Salle (“JLL”) using the comparable method. As of 30 June 2023, JLL transferred its existing businesses to iO Partners and created a
Preferred Partnership in the Czech Republic, Hungary, Romania and Slovakia. IO Partners have performed the valuation of the
landbank as of 31 December 2024 and 2023, also using the comparable method.
This method was based on 6 recently executed land site transactions in Prague, included in below table:
Comparative method 2024 123456Zoning plan Mixed useMixed useMixed useMixed useIndustrial -> ResidentialMixed useSize (sqm) – approx. 14,00067,00010,0009,00053,00020,000Transacted price per sqm (EUR) 1,2009002,9002,1008002,000Comparative method 2023 123456Zoning plan Mixed useMixed useMixed useMixed useIndustrial -> ResidentialMixed useSize (sqm) – approx. 44,00067,00010,0009,00053,00020,000Transacted price per sqm (EUR) 5009002,9002,2008002,100
The fair value was determined by estimating the fair value per one square meter based on comparative land site transaction prices,
adjusted for differences between comparative land sites and Bubny site.
The adjustments provided for the following characteristics:
Average Adjustment Range used by iO Description multiple usedVicinity to the city centre, attractiveness of the area, Micro-location Multiple 0.90 – 1.401.17 public amenities. AccessMultiple 0.95 –1.051.02Vehicular and pedestrian access to the propertyPublic transportationMultiple 0.90 –1.151.03Metro, tram and bus stops in the vicinitySizeMultiple 0.80 –0.900.84Size of land plotsOld structures being present on the site, with potential Existence of structures Multiple 1 – 1.051.02 historical protection.Improvement of the market since the transaction, Market improvement Multiple 1 – 1.251.09 adjustment used for optimising dates of transactions to the date of valuationRisk of floods based on flood map issued by the Flooding area Multiple 1.001.00 Association of Insurance CompaniesLiquidity of apartments Multiple 0.95 –1.101.02Demand for flats in the locationIndividual characteristics of the land, Status of development (construction feasibility, land Multiple 0.70 – 1.300.85 planning & permitsusability, construction ban, zoning / building permits etc.)
CPI FIM SA | 2024 CONSOLIDATED FINANCIAL STATEMENTS
Adjustment factor due to too high price Multiple 0.75 – 1.00
0.96
Adjustment in case the realised price was above market
level
Sensitivity analysis of Bubny site
As the Bubny site was valued using the comparable method, the sensitivity analysis was prepared for two key adjustments: individual
characteristics of the land & permits and size. For individual characteristics iO used the largest range of multiples, indicating a high
level of judgement included in the adjustment estimate. Size adjustment is selected for sensitivity analysis because of the significance
of differences in size between Bubny and comparative land sites.
Multiple size
Multiple individual characteristics m EUR0.95 1.00 1.05 0.95239 255 271 1.00255 271 288 1.05271 288 305
Triggering and expected events for further development of the Bubny land bank
In December 2020, there was a new land study Holesovice-Bubny-Zatory approved. The study represents a basis for a change in the
zoning plan which is expected to focus on the future growth of real estate in Prague through development inside the city rather than by
growth outside the city’s existing borders. The study divides the Bubny area in several sectors with different use and potential for future
development. The land bank owned by the Group was split to several blocks planned for residential and for commercial development,
the northern part which is close to the railway line is planned for a public park. Total potential gross floor area attributable to the
Group’s land bank in the study is approx. 530,000 sqm.
Once the change in the zoning plan becomes legally binding, the construction ban is expected to be removed. These plans contribute
to increasing public pressure on the authorities to allow development in Prague, particularly in the brownfield development areas.
Appraisal for Zbrojovka as at 31 December 2024
Zbrojovka is a brownfield/land bank with a size over 230 thousand square meters and is located in Brno, the Czech Republic. The
majority of the site is currently not used (except for newly developed office buildings ZET office and D1). As of 31 December 2024,
2023, a valuation of the land bank was prepared by iO/JLL using the comparable method. The subject of this valuation does not
include land that is part of ongoing developments (buildings D4, D2&D3, A and C). This method was lastly based on 6 recently
executed land site transactions in Brno, included in below table:
Comparative method 2024 1234 5 6Zoning plan Industrial -> ResidentialMixed useMixed useIndustrial -> ResidentialResidentialMixed useSize (sqm) – approx. 17,0009,0004,0008,0006,00046,000Transacted price per sqm (EUR) 600400400700500400Comparative method 2023 123456Industrial -> Zoning plan Mixed useMixed useIndustrial -> ResidentialResidentialMixed useResidentialSize (sqm) – approx. 17,00023,0004,0008,0006,00046,000Transacted price per sqm (EUR) 600500400700500400
The fair value was determined by estimating the fair value per one square meter based on comparative land site transaction prices,
adjusted for differences between comparative land sites and Zbrojovka site.
The adjustments provided for the following characteristics:
Average Adjustment Range used by iO Description multiple usedVicinity to the city centre, attractiveness of the area, Micro-location Multiple 0.90 – 1.301.10 public amenities. Access Multiple 0.95 – 1.051.00 Vehicular and pedestrian access to the property Public transportation Multiple 0.90 – 1.201.03 Tram, trolleybus and bus stops in the vicinity Size Multiple 0.70 – 0.850.78 Size of land plots Old structures being present on the site, with potential Existence of structures Multiple 0.95 – 1.101.02 historical protection.Improvement of the market since the transaction, Market improvement Multiple 1.05 – 1.201.09 adjustment used for optimising dates of transactions to the date of valuationRisk of floods based on flood map issued by the Flooding area Multiple 0.95 – 1.050.98 Association of Insurance CompaniesLiquidity of apartments Multiple 0.95 – 1.101.02 Demand for flats in the location Individual characteristics of the land, Status of development (construction feasibility, zoning / Multiple 0.70 – 1.251.10 planning & permitsbuilding permits etc.)Planning (land usability) Multiple 1.10 – 1.351.23 Usage of the land allowed by valid Master Plan
CPI FIM SA | 2024 CONSOLIDATED FINANCIAL STATEMENTS
Sensitivity analysis of Zbrojovka
As the Zbrojovka site was valued by the comparable method, the sensitivity analysis was prepared for two key adjustments: Individual
characteristics of the land & permits and size. For permits iO used the largest range of multiples, indicating high level of judgement
included in the adjustment estimate. Size adjustment is selected for sensitivity analysis because of the significance of differences in
size between Zbrojovka and comparative land sites.
Multiple size
Multiple permits m EUR0.95 1.00 1.05 0.95123 128 133 1.00128 133 139 1.05133 139 144
Triggering and expected events for further development of Zbrojovka landbank
Zbrojovka (former armoury factory) is classified as development for over the last 4 years. In December 2020, there were final changes
to master plan approved. The master plan defines all the main urbanistic, technical and infrastructure links of the area. Development
expects residential, office and public amenities with expected gross floor area of over 500,000 sqm. The budgeted timeline for the
development of the whole area is between 10 and 15 years. As of the valuation date, vast of the former structures were removed. The
development of the area is divided into 8 phases in separate areas. The first phase started in 2022 in the southern part of the
landbank.
Other landbanks
The other land banks which were valued by the comparable method have a total fair value of EUR 524.0 million and EUR 510.0 million
as at 31 December 2024 and 2023 and a size of 18 million sqm. As these land banks differ significantly in various parameters (such as
current zoning, location & micro-location, existence of structures, access etc.) no further disaggregation was performed.
Smaller part of landbanks was valued by residual method with total fair value of EUR 9.0 million as at 31 December 2024 (EUR 9.0
million as at 31 December 2023) and a size of 15 thousands sqm as at 31 December 2024 (15 thousands sqm as at 31 December
2023).
The sensitivity analysis for assets where the fair value was determined by comparative method was not prepared, as the potential
change in inputs (such as change of multiples etc.) would result in equal or direct change in outputs.
Sensitivity analysis on changes in assumptions of property valuations
The Group has performed a sensitivity analysis on changes in assumptions of property valuation.
The significant unobservable inputs used in fair value measurement categorised within level 3 of the fair value hierarchy of the Group
portfolio are:
equivalent yield or discount rate;
estimated rental value (ERV) for rental asset;
development margin/profit for development.
Change of the valuation rates would result in the following fair values – analysis of the portfolio of assets valued by discounted cash
flow, income capitalisation method and development appraisal:
As at 31 December 2024
ERV
Czech Republic –Retail –DCFCzech Republic –Office –DCFDiscount rateDiscount ratem EUR(0.25%)–0.25%m EUR(0.25%)–0.25%(5.00%)6.606.406.10(5.00%)4.504.404.20ERV –7.006.706.40–4.804.604.405.00%7.307.006.805.00%5.004.804.70Czech RepublicLandbank as a development m EURDeveloper’s Profit (5.00%)10.23Developer’s Profit (2.50%)9.59Developer’s Profit –8.97Developer’s Profit 2.50%8.37Developer’s Profit 5.00%7.80
ERV
ERV
Poland –Office –Income capitalisationComplementary –Hotels –DCFPoland –Retail –Income capitalisationYieldDiscount rateYieldm EUR(0.25%)–0.25%m EUR(0.25%)–0.25%m EUR(0.25%)–0.25%(5.00%)904.4878.5854.4(5.00%)26.1625.5024.89(5.00%)98.094.891.7ERV –945.1919.5895.3–26.1625.5024.89–106.5 103.2100.2 5.00%985.9960.3936.35.00%26.1625.5024.895.00%115.3 112.1109.0
CPI FIM SA | 2024 CONSOLIDATED FINANCIAL STATEMENTS
As at 31 December 2023
ERV
ERV
Czech Republic –Retail –DCFCzech Republic –Office –DCFDiscount rateDiscount ratem EUR(0.25%)–0.25%m EUR(0.25%)–0.25%(5.00%)1.771.691.62(5.00%)4.604.504.30ERV –1.861.781.70–4.904.704.505.00%1.951.871.795.00%5.104.904.80Czech RepublicLandbank as a development m EURDeveloper’s Profit (5.00%)10.38Developer’s Profit (2.50%)9.74Developer’s Profit –9.14Developer’s Profit 2.50%8.55Developer’s Profit 5.00%7.99Poland –Office –Income capitalisationComplementary –Hotels –DCFYieldDiscount ratem EUR(0.25%)–0.25%m EUR(0.25%)–0.25%(5.00%)538.1516.4496.5(5.00%)25.6024.9524.35ERV –564.5541.7520.7–25.6024.9524.355.00%590.8566.9544.95.00%25.6024.9524.35
8 Litigations
Kingstown dispute in Luxembourg
On 20 January 2015, the Company was served with a summons containing petition of the three companies namely Kingstown Partners
Master Ltd. of the Cayman Islands, Kingstown Partners II, LP of Delaware and Ktown LP of Delaware (together referred to as
„Kingstown“), claiming to be the shareholders of CPI FIM SA, filed with the Tribunal d´Arrondissement de et a Luxembourg (the
“Luxembourg Court”). The petition seeks condemnation of CPIPG, CPI FIM and certain members of CPI FIM SA’s board of directors as
jointly and severally liable to pay damages in the amount of EUR 14.5 million and compensation for moral damage in the amount of
EUR 5 million. According to Kingstown’s allegation the claimed damage has arisen as a consequence of inter alia alleged violation of
CPI FIM’s minority shareholders rights.
The Management of the Company has been taking all available legal actions to oppose these allegations in order to protect the
corporate interest as well as the interest of its shareholders. Accordingly, the parties sued by Kingstown raised the exceptio judicatum
solvi plea, which consists in requiring the entity who initiated the proceedings and who does not reside in the European Union or in a
State which is not a Member State of the Council of Europe to pay a legal deposit to cover the legal costs and compensation
procedure. On 19 February 2016 the Luxembourg Court rendered a judgement, whereby each claimant has to place a legal deposit in
the total amount of EUR 90 thousand with the “Caisse de Consignation” in Luxembourg in order to continue the proceedings.
Kingstown paid the deposit in January 2017, and the litigation is pending. In October 2018, Kingstown's legal advisers filed additional
submission to increase the amount of alleged damages claimed to EUR 157.0 million, without prejudice to interest. The Company
continues to believe the claim is without merit.
On 21 June 2019 the Company received a first instance judgment, which declared that a claim originally filed by Kingstown in 2015
was null and void against CPIPG. The Court dismissed the claim against CPIPG because the claim was not clearly pleaded (“libellé
obscur”). Specifically, Kingstown did not substantiate or explain the basis of their claim against CPIPG and failed to demonstrate how
CPIPG committed any fault.
In December 2020, the Luxembourg Court declared that the inadmissibility of the claim against CPIPG and certain other defendants
has not resulted in the inadmissibility of the litigation against the Company and the remaining defendants. Some defendants have
decided to appeal against this judgment of which declared the claim admissible against CPI FIM. On 28 March 2023 the court of
appeal has rejected the appeal and therefore the case will be heard on the merits before the first instance Luxembourg Court during
2025.
Disputes related to warrants issued by the Company
CPI FIM was sued by holders of the warrants holders of 2014 Warrants registered under ISIN code XS0290764728 (the “2014
Warrants“). The first group of the holders of the Warrants sued CPI FIM for approximately EUR 1.2 million in relation to the Change of
Control Notice published by CPI FIM, notifying the holders of the 2014 Warrants that the Change of Control, as defined in the
Securities Note and the Summary for the 2014 Warrants, occurred on 8 June 2016. The second holder of the 2014 Warrants sued CPI
FIM for approximately EUR 1 million in relation to the alleged change of control which allegedly occurred in 2013. These litigations are
pending. CPI FIM is defending itself against these lawsuits.
It is reminded that in accordance with the judgement of the Paris Commercial Court pronounced on 26 October 2015 concerning the
termination of the CPI FIM’s Safeguard Plan, liabilities that were admitted to the Safeguard, but are conditional or uncalled (such as
uncalled bank guarantees, conditional claims of the holders of 2014 Warrants registered under ISIN code XS0290764728, provided
that they were admitted to the Safeguard plan), will be paid according to their contractual terms. Pre-Safeguard liabilities that were not
admitted to the CPI FIM’s Safeguard will be unenforceable. As such, only claims of holders of the 2014 Warrants, whose potential
claims were admitted to the CPI FIM’s Safeguard Plan, could be considered in respect of the present Change of Control. Claims of
holders of the 2014 Warrants that were not admitted to the CPI FIM’s Safeguard will be unenforceable against CPI FIM. To the best of
Company’s knowledge, none of the holders of the 2014 Warrants who sued CPI FIM filed their claims 2014 Warrants related claims in
the CPI FIM’s Safeguard Plan.
On 9 March 2023 the Luxembourg Court issued a judgment, rejecting the claims of the holders of the 2014 Warrants. The Luxembourg
Court confirmed that any claim in relation to the change of control provision had to be made, in accordance with the provisions of the
CPI FIM SA | 2024 CONSOLIDATED FINANCIAL STATEMENTS
Paris Commercial Code, within 2 months as from the date of publication of the judgement opening the Safeguard Procedure in the
French Official Gazette. Since the claimants did not comply with this obligation, their claim for payment under the change of control
provision is not well-founded and has to be rejected. The claimants did not appeal and the case is closed now.
9 Capital and other commitments
The Group has capital commitments of EUR 72.4 million and EUR 16.7 million in respect of capital expenditures contracted as at
31 December 2024 and 2023, respectively.
10 Related party transactions
Transactions with key management personnel
Total compensation given as short-term employee benefits to the top managers was EUR 438 thousand and EUR 405 thousand in
2024 and 2023, respectively.
The Board and Committee’s attendance compensation was EUR 62 thousand and EUR 36 thousand in 2024 and 2023.
Breakdown of balances and transactions with related of the Group
Majority shareholder of the Group
31 December 202431 December 2023Trade receivables –2,778
Management
31 December 202431 December 2023Other current payables –12Advances received –131Transactions Other operating expenses –(36)Entities over which the majority shareholder has control 31 December 202431 December 2023Trade receivables 2522Transactions Rental income 1620Other operating income 3030Interest income (refer below for the detail) 3,045158Entities controlled by members of the Board of Directors 31 December 202431 December 2023Trade payables 111Transactions Interest income (refer below for the detail) 538
CPI Property Group
31 December 202431 December 2023Loans provided non-current (refer below for the detail) 3,494,1974,325,062Loans provided current (refer below for the detail) 234,400719,187Trade receivables 22,4451,184Other current receivables 250,324204,374Loans received non-current (refer below for the detail) 3,651,4644,633,435Loans received current (refer below for the detail) 168,548183,368Trade payables 9,96311,564Other current liabilities 354,947359,140Transactions Service revenue 5,3851,022Advisory services (3,822)(4,115)Interest income (refer below for the detail) 225,635261,040Interest expense (refer below for the detail) (147,451)(139,241)
Joint venture
31 December 202431 December 2023Loans provided non-current (refer below for the detail) 7,5608,617Loans provided current (refer below for the detail) 8489Transactions Interest income (refer below for the detail) 5421,062
CPI FIM SA | 2024 CONSOLIDATED FINANCIAL STATEMENTS
Non-current loans provided to related parties
CPI Property Group 31 December 202431 December 20231 Bishops Avenue Limited 125,747129,973Andrássy Hotel Zrt. 3,5823,845Balvinder, a.s. 3,0423,038Baudry Beta, a.s. –10,326BAYTON Alfa, a.s. 12,74216,090Best Properties South, a.s. –67,354BPT Development, a.s. 1212Brno Property Invest I., s.r.o. 3–Brno Property Invest II., s.r.o. 2–Březiněves, a.s. 1,0391,083CAMPONA Shopping Center Kft. 23,56251,016Carpenter Invest, a.s. 3,2332,574Chuchle Arena Praha, s.r.o. (merged with V Team Prague, s.r.o.) 7,705136Conradian, a.s. 5,9695,163CPI – Horoměřice, a.s. 6458CPI – Orlová, a.s. 1,1441,045CPI – Real Estate, a.s. –2,573CPI – Zbraslav, a.s. 99192CPI Beet, a.s. 402322CPI Black, s.r.o. 1,934–CPI Blatiny, s.r.o. (formerly CPI Tercie, s.r.o.) 3,3853,211CPI BYTY, a.s. 58,69872,088CPI Development Services, s.r.o. (formerly Brno Development Services, s.r.o.) 2,72813,243CPI Energo, a.s. 114866CPI Facility Slovakia, a.s. 2,0763,077CPI Green, a.s. 6,8402,554CPI Hotels, a.s. –18,024CPI Hotels Properties, a.s. –15,818CPI IMMO, S.a.r.l. 3,739–CPI Kappa, s.r.o. 1,0381,056CPI Management, s.r.o. 2,0631,148CPI Národní, s.r.o. –82,734CPI Park Jablonné v Podještědí, s.r.o. 540271CPI PROPERTY GROUP S.A. 2,400,3652,455,017CPI Reality, a.s. 35,78537,414CPI Retail One Kft. 2,7424,261CPI Retail Portfolio Holding Kft. 1,86514,273CPI Sekunda, s.r.o. 9391,509CPI Septima, s.r.o. 16–CPI Services, a.s. 15,183–CPI Shopping Teplice, a.s. –42,969CPI Silver, a.s. 2,201–CPI Smart Power, a.s. 471405CPI Solar ONE, a.s. 162–CPI Solar Slovakia ONE, s.r.o. 9–CPI Žabotova, a.s. 3,8114,188CPIPG Management S.à r.l. 157,266165,948Czech Property Investments, a.s. 113,271439,462Eclair Blue, s.r.o. 2,549815EMH South, s.r.o. 4,5375,321Karpouzisi S.à r.l. (formerly ENDURANCE HOSPITALITY FINANCE S.à r.l.) 8,0438,043Europeum Kft. –21,087Farhan, a.s. –53,266FL Property Development, a.s. 188195FVE Dělouš, s.r.o. 5,384–FVE Radkyně, s.r.o. 3,977–FVE roofs & grounds, s.r.o. 6,8274,105HD Investment s.r.o. 12Hightech Park Kft. 3,2123,756Hraničář, a.s. 13,70113,557IS Nyír Ingatlanhasznosítóés Vagyonkezelo Kft. –2,832IS Zala Ingatlanhasznosítóés Vagyonkezelo Kft. –7,446Janáčkovo nábřeží 15, s.r.o. 7,3497,615
CPI FIM SA | 2024 CONSOLIDATED FINANCIAL STATEMENTS
CPI Property Group 31 December 202431 December 2023Kerina, a.s. ––KOENIG Shopping, s.r.o. 40,82744,701Kunratická farma, s.r.o. 9131,901LD Praha, a.s. 3,8594,363Lockhart, a.s. –22,066Marcano, a.s. 14,86024,493Marissa Tau, a.s. –15,851Marissa Théta, a.s. 154–Marissa West, a.s. 33,85942,535MARRETIM s.r.o. 325414MUXUM, a.s. –7,161Na Poříčí, a.s. –28,735New Age Kft. 1,4491,360Notosoaria, s.r.o. –23,702Nymburk Property Development, a.s. 1,124435Olomouc Building, a.s. –19,996Orchard Hotel a.s. 5,0655,821Outlet Arena Moravia, s.r.o. 41–OZ Trmice, a.s. 3,7481,530Ozrics Kft. 4,0982,976Platnéřská 10 s.r.o. 9986Pólus Shopping Center Zrt. 54,28860,990Projekt Nisa, s.r.o. 70,89872,698Prostějov Investments, a.s. 3,0822,608Real Estate Energy Kft. –26Residence Belgická, s.r.o. 1,568–Residence Izabella, Zrt. 3,2073,502Rezidence Jančova, s.r.o. 1,3201,486Rezidence Malkovského, s.r.o. –4,632RISING FALCON HOLDING LIMITED 44,630–Savile Row 1 Limited 87,21177,965SCP Reflets 8,5078,823Seattle, s.r.o. 8,4388,008Sentreta, a.s. 1,275–Spojené farmy a.s. 4,0482,645Statek Kravaře, a.s. 794723Statenice Property Development, a.s. 1,5022,937Tachov Investments, s.r.o. 3745Telč Property Development, a.s. 6–Uchaux Limited 16,36714,381Vigano, a.s. 12,36313,091Vulpixo, s.r.o. 4–Závodiště Chuchle, a.s. (merged with Turf Praha a.s.) 2,875–Total loans provided non-current – related parties 3,494,1974,325,062Joint venture Uniborc S.A. 7,5608,617Total 3,501,7574,333,679
Current loans provided to related parties
CPI Property Group 31 December 202431 December 2023Andrássy Hotel Zrt. 6872Balvinder, a.s. 3535Baudry Beta, a.s. –373BAYTON Alfa, a.s. 188253Best Properties South, a.s. –1,189Březiněves, a.s. 2022CAMPONA Shopping Center Kft. 2,4551,172Carpenter Invest, a.s. 5040Chuchle Arena Praha, s.r.o. (merged with V Team Prague, s.r.o.) 301–Conradian, a.s. 9583CPI – Horoměřice, a.s. 11CPI – Orlová, a.s. 3128CPI – Real Estate, a.s. –31CPI – Zbraslav, a.s. 38CPI Beet, a.s. 65
CPI FIM SA | 2024 CONSOLIDATED FINANCIAL STATEMENTS
CPI Property Group 31 December 202431 December 2023CPI Black, s.r.o. 94–CPI Blatiny, s.r.o. (formerly CPI Tercie, s.r.o.) 9287CPI BYTY, a.s. 585772CPI Development Services, s.r.o. (formerly Brno Development Services, s.r.o.) 16186CPI Energo, a.s. 240CPI Facility Slovakia, a.s. 28153CPI Green, a.s. 27846CPI Hotels, a.s. –258CPI Hotels Properties, a.s. –323CPI IMMO, S.a.r.l. 983,782CPI Kappa, s.r.o. 1717CPI Management, s.r.o. 21,19432CPI Národní, s.r.o. –1,806CPI Park Jablonné v Podještědí, s.r.o. 918CPI PROPERTY GROUP S.A. 172,883668,489CPI Reality, a.s. 6071,485CPI Retail One Kft. 14164CPI RETAIL PORTFOLIO HOLDING Kft. 11450CPI Sekunda, s.r.o. 1729CPI Services, a.s. 318–CPI Silver, a.s. 95–CPI Shopping Teplice, a.s. –754CPI Smart Power, a.s. 288CPI Solar ONE, a.s. 7–CPI Žabotova, a.s. 7785CPIPG Management S.à r.l. 10,2568,653Czech Property Investments, a.s. 11,7636,727Eclair Blue, s.r.o. 5817EMH South, s.r.o. 7993Europeum Kft. –417Farhan, a.s. –956FL Property Development, a.s. 33FVE Dělouš, s.r.o. 315–FVE Radkyně, s.r.o. 122–FVE roofs & grounds, s.r.o. 50163Hightech Park Kft. 5763Hospitality Invest S.a r.l. 225191Hraničář, a.s. 191188IS Nyír Kft. –59IS Zala Kft. –165Janáčkovo nábřeží 15, s.r.o. 9295Kerina, a.s. –6,205KOENIG Shopping s.r.o. 733807Kunratická farma, s.r.o. 236128LD Praha, a.s. 3641Lockhart, a.s. –308Marcano, a.s. 3,198158Marissa Tau, a.s. –260Marissa Théta, a.s. 2261Marissa West, a.s. 602749MARRETIM s.r.o. 56MUXUM, a.s. –84Na Poříčí, a.s. –511New Age Kft. 2631Notosoaria, s.r.o. –851Nymburk Property Development, a.s. 2032Olomouc Building, a.s. –371Orchard Hotel a.s. 92105Outlet Arena Moravia, s.r.o. 1–OZ Trmice, a.s. 8765Ozrics, Kft. 11851Platnéřská 10 s.r.o. 21Pólus Shopping Center Zrt. 1,1871,331Projekt Nisa, s.r.o. 1,3051,267Prostějov Investments, a.s. 61104
CPI FIM SA | 2024 CONSOLIDATED FINANCIAL STATEMENTS
CPI Property Group 31 December 202431 December 2023Real Estate Energy Kft. –1Residence Belgická, s.r.o. 221,519Residence Izabella, Zrt. 6976Rezidence Jančova, s.r.o. 3742Rezidence Malkovského, s.r.o. –138RISING FALCON HOLDING LIMITED 2,449–SCP Reflets 5756Seattle, s.r.o. 12265Sentreta, a.s. 34–Spojené elektrárny, s.r.o. –15Spojené farmy a.s. 9047Statek Kravaře, a.s. 4017Statenice Property Development, a.s. 2251Tachov Investments, s.r.o. 11Tyršova 6, a.s. –3,340Vigano, a.s. 193205Závodiště Chuchle, a.s. (merged with Turf Praha a.s.) 41–Total loans provided current – related parties 234,400719,187Joint venture Uniborc S.A. 8489Total 234,484719,276
Other current receivables (Cash pool)
CPI Property Group 31 December 202431 December 2023Andrassy Hotel Zrt. 11774Balvinder, a.s. 72Baudry Beta, a.s. –211BAYTON Alfa, a.s. 292605Best Properties South, a.s. –168BRNO INN, a.s. 82Březiněves, a.s. 2324CPI – Bor, a.s. 572109CPI – Real Estate, a.s. –6CPI – Zbraslav, a.s. 1314CPI Beet, a.s. 2315CPI BYTY, a.s. 10561CPI Development Services, s.r.o. (formerly Brno Development Services, s.r.o.) 346223CPI Energo Slovakia, s.r.o. 66–CPI Energo, a.s. 432812CPI Facility Management Kft. 183256CPI Hotels Properties, a.s. –39CPI Hungary Kft. 1772,376CPI Kappa, s.r.o. 2617CPI Management, s.r.o. –132CPI Národní, s.r.o. –515CPI Poland Property Management sp. z o.o. 7721,219CPI Poland Sp. z o.o. 6,6066,668CPI PROPERTY GROUP S.A. 19,7864,085CPI Property, s.r.o. 6313CPI Services, a.s. 15,04917,163CPI Shopping Teplice, a.s. –622CPI Smart Power, a.s. 215–CPIPG Management S.à r.l. 609570CT Development sp. z o.o. 581–Czech Property Investments, a.s. 41813Diana Development sp. z o.o. 609428EMH South, s.r.o. 3026Hightech Park Kft. 48–Hospitality invest S.à r.l. –1HOTEL U PARKU, s.r.o. 32Hraničář, a.s. 5121Equator II Development sp. z o.o. –807Equator Real sp. z o.o. –477Europeum Kft. –157Farhan, a.s. –1,078
CPI FIM SA | 2024 CONSOLIDATED FINANCIAL STATEMENTS
CPI Property Group 31 December 202431 December 2023GCA Property Development sp. z o.o. –2,574IS Nyír Kft. –86IS Zala Kft. –99Janáčkovo nábřeží 15, s.r.o. 435Kerina, a.s. –8KOENIG Shopping, s.r.o. 5465LD Praha, a.s. 32Le Regina Warsaw Sp. z o.o. 41Lockhart, a.s. –6Marissa West, a.s. 570295MARRETIM s.r.o. 12Moniuszki Office sp. z o.o. 1,108785MUXUM, a.s. –2New Age Kft. 3217Nymburk Property Development, a.s. 8811Olomouc Building, a.s. –150Orchard Hotel a.s. 42Oxford Tower sp. z o.o. –4,174OZ Trmice, a.s. 1539Ozrics Kft. –35Platnéřská 10 s.r.o. 54Projekt Nisa, s.r.o. 7,1221,479Prosta 69 Sp. z o.o. –244Real Estate Energy Kft. 1,9591,617Residence Belgická, s.r.o. 32Residence Izabella Zrt. 11466Tepelné hospodářství Litvínov s.r.o. 24117Tyršova 6, a.s. –2Total 58,34050,930
Non-current financial debts received from related parties
CPI Property Group 31 December 202431 December 2023BRNO INN, a.s. 582288Brno Property Development, a.s. 81717,492CPI – Bor, a.s. 11,46826,860CPI Facility Management Kft. 413529CPI Finance CEE, a.s. –72CPI Group Services, a.s. 7776CPI PROPERTY GROUP S.A. 3,094,0594,018,197CPI Septima, s.r.o. 19,853–Czech Property Investments, a.s. 140–Europeum Kft. 11,265–Gebauer Höfe Liegenschaften GmbH 25,54124,118GSG ARMO Verwaltungsgesellschaft mbH 37,80239,500GSG Asset GmbH & Co. Verwaltungs KG 7714,134GSG Berlin GmbH (formerly Gewerbesiedlungs-Gessellschaft mbH) 80,61976,128GSG Berlin Invest GmbH 36,78234,733GSG Gewerbehöfe Berlin 1. GmbH & Co. KG 5,36222,468GSG Gewerbehöfe Berlin 2. GmbH & Co. KG 15,74923,310GSG Gewerbehöfe Berlin 3. GmbH & Co. KG 75,06776,726GSG Gewerbehöfe Berlin 4. GmbH & Co. KG 20,93131,831GSG Gewerbehöfe Berlin 5. GmbH & Co. KG 64,22660,648Jetřichovice Property, a.s. –219PROJECT FIRST a.s. –3,287Real Estate Energy Kft. 3,9185,741Rizeros, a.s. 7173ST Project Limited 144,936166,284Tepelné hospodářství Litvínov s.r.o. 1,015721Total 3,651,4644,633,435
CPI FIM SA | 2024 CONSOLIDATED FINANCIAL STATEMENTS
Current financial debts received from related parties
CPI Property Group 31 December 202431 December 2023BRNO INN, a.s. 114Brno Property Development, a.s. 24,819131Byty Lehovec, s.r.o. 1,1971,217CPI – Bor, a.s. 187193CPI – Zbraslav, a.s. –1CPI Facility Management Kft. 57CPI Finance CEE, a.s. 721CPI Group Services, a.s. 11CPI Hungary Investments Kft. 7,1435,598CPI Hungary Kft. 1,011–CPI PROPERTY GROUP S.A. 99,752128,649CPI Septima, s.r.o. 124–Czech Property Investments, a.s. 19625,777Europeum Kft. 24–Gebauer Höfe Liegenschaften GmbH 1,5111,423GSG ARMO Verwaltungsgesellschaft mbH 2,347562GSG Asset GmbH & Co. Verwaltungs KG 222244GSG Berlin GmbH (formerly Gewerbesiedlungs-Gessellschaft mbH) 4,7694,491GSG Berlin Invest GmbH 2,4302,049GSG Gewerbehöfe Berlin 1. GmbH & Co. KG 1,2201,326GSG Gewerbehöfe Berlin 2. GmbH & Co. KG 1,3691,375GSG Gewerbehöfe Berlin 3. GmbH & Co. KG 4,7434,526GSG Gewerbehöfe Berlin 4. GmbH & Co. KG 1,8641,878GSG Gewerbehöfe Berlin 5. GmbH & Co. KG 3,7993,578HOTEL U PARKU, s.r.o. 470247Jetřichovice Property, a.s. 382PROJECT FIRST, a.s. 2,97028Real Estate Energy Kft. 5647Rezidence Malkovského, s.r.o. 6,170–Rizeros, a.s. 5–Tepelné hospodářství Litvínov s.r.o. 2313Total 168,548183,368
Other current liabilities (Cash pool)
CPI Property Group 31 December 202431 December 2023Andrassy Hotel Zrt. 237265Atrium Complex sp. z o.o. –801Balvinder, a.s. –4Baudry Beta, a.s. –478BAYTON Alfa, a.s. 251–Best Properties South, a.s. –835BRNO INN, a.s. 210238CAMPONA Shopping Center Kft. –1,026Central Tower 81 sp. z o.o. –458City Gardens Sp. z o.o. –2,234CPI – Bor, a.s. 816730CPI – Real Estate, a.s. –166CPI – Zbraslav, a.s. 13147CPI BYTY, a.s. 5833,664CPI Development Services, s.r.o. (formerly Brno Development Services, s.r.o.) 2,3981CPI Energo, a.s. 2,8412,867CPI Facility Slovakia, a.s. 441272CPI Hotels Properties, a.s. –1CPI Hungary Investments Kft. 1,8191,595CPI Hungary Kft. 322–CPI Management, s.r.o. 2,004507CPI Národní, s.r.o. –1,646CPI Poland Property Management sp. z o.o. 1,8561,461CPI Poland Sp. z o.o. 5,6347,186CPI Property Group S.A. –1,693CPI Property, s.r.o. 2,429–CPI Reality, a.s. 4371,365CPI Retail One Kft. –1,104CPI Services, a.s. 2,8273,492
CPI FIM SA | 2024 CONSOLIDATED FINANCIAL STATEMENTS
CPI Property Group 31 December 202431 December 2023CPI Shopping Teplice, a.s. –904CPI Žabotova, a.s. 76108CT Development sp. z o.o. 3,594218Czech Property Investments, a.s. –2,075EMH South, s.r.o. 217209Europeum Kft. –1,153Farhan, a.s. –1,108Gadwall, Sp. z o.o. –309Hightech Park Kft. 5321HOTEL U PARKU, s.r.o. 5893Hraničář, a.s. –106IS Nyír Kft. –122IS Zala Kft. –351Janáčkovo nábřeží 15, s.r.o. 80–KOENIG Shopping, s.r.o. 1,016444LD Praha, a.s. 93157Le Regina Warsaw Sp. z o.o. 237184Lockhart, a.s. –180Marissa Tau, a.s. –453Marissa Théta, a.s. –35Marissa West, a.s. –8MARRETIM s.r.o. 2019Moniuszki Office sp. z o.o. –189MUXUM, a.s. –168Na Poříčí, a.s. –368New Age Kft. 881Nymburk Property Development, a.s. 1,545402Orchard Hotel a.s. 12785OZ Trmice, a.s. 327355Pólus Shopping Center Zrt. –1,511Projekt Nisa, s.r.o. 1,8111,256Prosta 69 Sp. z o.o. –29Real Estate Energy Kft. 2,622122Residence Belgická, s.r.o. 1633Residence Izabella Zrt. 4569Tepelné hospodářství Litvínov s.r.o. 11Tyršova 6, a.s. –85Total 37,13447,447
Interest income from related parties
CPI Property Group 2024 20231 Bishops Avenue Limited 4,0454,802Andrássy Hotel Zrt. 281296Andrássy Real Kft. –146Atrium Complex sp. z o.o. –1Balvinder, a.s. 139143Baudry Beta, a.s. 232784BAYTON Alfa, a.s. 943950Best Properties South, a.s. 8005,030BPT Development, a.s. 1–BRNO INN, a.s. –1Březiněves, a.s. 86114CAMPONA Shopping Center Kft. 3,8764,665Carpenter Invest, a.s. 192162CD Property s.r.o. –239Ceratopsia, a.s. –437Conradian, a.s. 367332CPI – Bor, a.s. 5481,131CPI – Horoměřice, a.s. 44CPI – Orlová, a.s. 118124CPI – Real Estate, a.s. 19134CPI – Zbraslav, a.s. 1610CPI Beet, a.s. 2220CPI Black, s.r.o. 125–CPI Blatiny, s.r.o. 355344
CPI FIM SA | 2024 CONSOLIDATED FINANCIAL STATEMENTS
CPI Property Group 2024 2023CPI BYTY, a.s. 2,9393,937CPI Development Services, s.r.o. 387572CPI East, s.r.o. –2,984CPI Energo, a.s. 998170CPI Energo Slovakia, s.r.o. 1–CPI Facility Management Kft. 724CPI Facility Slovakia, a.s. 68131CPI Green, a.s. 47069CPI Hotels, a.s. 1591,126CPI Hotels Properties, a.s. 1971,322CPI Hungary Investments Kft. 1045CPI Hungary Kft. 147167CPI IMMO, S.a.r.l. 5656CPI Kappa, s.r.o. 7369CPI Management, s.r.o. 1,25951CPI Národní, s.r.o. 2,1947,783CPI Office Business Center, s.r.o. –5,946CPI Office Prague, s.r.o. –123CPI Park Jablonné v Podještědí, s.r.o. 3318CPI Poland Property Management sp. z o.o. 6280CPI Poland sp. z o.o. 403377CPI PROPERTY GROUP S.A. 134,892120,309CPI Property, s.r.o. 18CPI Reality, a.s. 2,4483,291CPI Retail One Kft. 256 249CPI Retail Portfolio Holding Kft. 205 452CPI Retail Portfolio I, a.s. –796CPI Retail Portfolio VIII s.r.o. –467CPI Sekunda, s.r.o. 100112CPI Services, a.s. 1,651886CPI Shopping MB, a.s. –1,931CPI Shopping Teplice, a.s. 9293,246CPI Silver, a.s. 101–CPI Solar ONE, a.s. 7–CPI Théta, a.s. – 255CPI Žabotova, a.s. 319 339CPIPG Management S.à r.l. 4,442 5,054CT Development sp. z o.o. 40 15Czech Property Investments, a.s. 22,370 22,019David Leo Greenbaum –3Diana Development sp. z o.o. 309Eclair Blue, s.r.o. 12573EMH South, s.r.o. 334460Equator II Development sp. z o.o. –20Equator Real sp. z o.o. –19Europeum Kft. 1,447 1,738Farhan, a.s. 1,186 3,986FL Property Development, a.s. 11 12Futurum HK Shopping, s.r.o. –5,467FVE Dělouš, s.r.o. 358 –FVE Radkyně, s.r.o. 122 –FVE roofs & grounds, s.r.o. 439 64GCA Property Development sp. z o.o. –49Hightech Park Kft. 235 250Hospitality Invest S.á r.l. 9 5HOTEL U PARKU, s.r.o. – 1Hraničář, a.s. 747 772Chuchle Arena Praha, s.r.o. 300 1IS Nyír Ingatlanhasznosítóés Vagyonkezelo Kft. 107 242IS Zala Ingatlanhasznosítóés Vagyonkezelo Kft. 281 682Janáčkovo nábřeží 15, s.r.o. 370 387Karnosota, a.s. –365Kerina, a.s. 46295KOENIG Shopping, s.r.o. 3,080 3,326Kunratická farma, s.r.o. 111 130
CPI FIM SA | 2024 CONSOLIDATED FINANCIAL STATEMENTS
CPI Property Group 2024 2023LD Praha, a.s. 150 172Le Regina Warsaw Sp. z o.o. 3 –Lockhart, a.s. 2071,271Lucemburská 46, a.s. –50Marissa Omikrón, a.s. –902Marissa Tau, a.s. 312 1,073Marissa Théta, a.s. 7 12Marissa West, a.s. 2,786 2,983MARRETIM s.r.o. 2228MB Property Development, a.s. (merged with Nymburk Property Development, a.s.) ––Moniuszki Office sp. z o.o. 65MUXUM, a.s. 56 341Na Poříčí, a.s. 620 2,123New Age Kft. 108 126Notosoaria, s.r.o. –1,898Nymburk Property Development, a.s. 3082Olomouc Building, a.s. 2541,533Orchard Hotel a.s. 389430Outlet Arena Moravia, s.r.o. 2–Oxford Tower sp. z o.o. –152OZ Trmice, a.s. 281 637Ozrics, Kft. 224 202Platnéřská 10 s.r.o. 65Pólus Shopping Center Zrt. 4,9665,331Projekt Nisa, s.r.o. 5,5095,392Projekt Zlatý Anděl, s.r.o. –4,008Prosta 69 Sp. z o.o. –4Prostějov Investments, a.s. 218179Real Estate Energy Kft. 206 735Residence Belgická, s.r.o. 76 74Residence Izabella, Zrt. 293 318Rezidence Jančova, s.r.o. 161 151Rezidence Malkovského, s.r.o. 42 394RISING FALCON HOLDING LIMITED 2,449–Savile Row 1 Limited 4,170 3,932SCP Reflets 225 220Seattle, s.r.o. 472 68Sentreta, a.s. 130–Spojené elektrárny, s.r.o. –22Spojené farmy a.s. 259 88Statek Kravaře, a.s. 77 52Statenice Property Development, a.s. 166 197Tachov Investments, s.r.o. 54Tepelné hospodářství Litvínov, s.r.o. 54Třinec Property Development, a.s. –327Tyršova 6, a.s. 1694U svatého Michala, a.s. –179Uchaux Limited 1,1451,020V Team Prague, s.r.o. –1Vigano, a.s. 794793ZET.office, a.s. –732Závodiště Chuchle, a.s. (merged with Turf Praha, a.s.) 40–Total interest income – related parties 225,635261,040Joint venture Uniborc S.A. 5421,062Entitles over which the majority shareholder has control Marcano, a.s. 3,045158Entities controlled by members of the Board of Directors CPI Smart Power, a.s. 538Total 229,275262,268
Interest expense from related parties
CPI Property Group 2024 2023Andrassy Hotel Zrt. 36Atrium Complex sp. z o.o. –31
CPI FIM SA | 2024 CONSOLIDATED FINANCIAL STATEMENTS
CPI Property Group 2024 2023Balvinder, a.s. 12Baudry Beta, a.s. 29BAYTON Alfa, a.s. 51Best Properties South, a.s. 748BPT Development, a.s. –1BRNO INN, a.s. 5365Brno Property Development, a.s. 562 550Březiněves, a.s. 1 9Byty Lehovec, s.r.o. 24 23CAMPONA Shopping Center Kft. 2371Central Tower 81 sp. z o.o. –26City Gardens Sp. z o.o. –75CPI – Bor, a.s. 1,192394CPI – Real Estate, a.s. 210CPI – Zbraslav, a.s. 312CPI Beet, a.s. 11CPI BYTY, a.s. 551768CPI Development Services, s.r.o. 297154CPI East, s.r.o. –64CPI Energo, a.s. 1,284172CPI Facility Management Kft. 2616CPI Facility Slovakia, a.s. 128CPI Finance CEE, a.s. 33CPI Green, a.s. –2CPI Group Services, a.s. 51CPI Hotels Properties, a.s. 110CPI Hungary Investments Kft. 395311CPI Hungary Kft. 4513CPI Management, s.r.o. 3636CPI Národní, s.r.o. 1577CPI Office Business Center, s.r.o. –49CPI Office Prague, s.r.o. –1CPI Poland Property Management sp. z o.o. 12886CPI Poland Sp. z o.o. 499432CPI PROPERTY GROUP S.A. 106,945113,217CPI Property, s.r.o. 5–CPI Reality, a.s. 4280CPI Retail One Kft. 39CPI Retail Portfolio I, a.s. –21CPI Retail Portfolio VIII, a.s. –11CPI Septima, s.r.o. 124–CPI Services, a.s. 5243CPI Shopping MB, a.s. –19CPI Shopping Teplice, a.s. 425CPI Žabotova, a.s. 74CPIPG Management S.à r.l. 26CT Development sp. z o.o. 159 5Czech Property Investments, a.s. 9,671 377Diana Development sp. z o.o. –1EMH South, s.r.o. 2226Equator II Development sp. z o.o. –15Equator Real sp. z o.o. –11Europeum Kft. 4333Farhan, a.s. 327Futurum HK Shopping, s.r.o. –52Gadwall, Sp. z o.o. –12GCA Property Development sp. z o.o. –19Gebauer Höfe Liegenschaften GmbH 1,5111,423GSG ARMO Verwaltungsgesellschaft mbH 2,347 562GSG Asset GmbH & Co. Verwaltungs KG 222 244GSG Berlin GmbH (formerly Gewerbesiedlungs-Gessellschaft mbH) 4,769 4,491GSG Berlin Invest GmbH 2,430 2,049GSG Gewerbehöfe Berlin 1. GmbH & Co. KG 1,220 1,326GSG Gewerbehöfe Berlin 2. GmbH & Co. KG 1,369 1,375GSG Gewerbehöfe Berlin 3. GmbH & Co. KG 4,743 4,527
CPI FIM SA | 2024 CONSOLIDATED FINANCIAL STATEMENTS
CPI Property Group 2024 2023GSG Gewerbehöfe Berlin 4. GmbH & Co. KG 1,864 1,878GSG Gewerbehöfe Berlin 5. GmbH & Co. KG 3,799 3,578Hightech Park Kft. 13HOTEL U PARKU, s.r.o. 15 11Hraničář, a.s. 6 12IS Nyír Kft. 1 4IS Zala Kft. 3 11Janáčkovo nábřeží 15, s.r.o. 6 1Jetřichovice Property, a.s. 47Kerina, a.s. 114KOENIG Shopping, s.r.o. 5276LD Praha, a.s. 69Le Regina Warsaw Sp. z o.o. 58Lockhart, a.s. 221Lucemburská 46, a.s. –3Marissa Omikrón, a.s. –11Marissa Tau, a.s. 421Marissa Théta, a.s. 12Marissa West, a.s. 142MARRETIM s.r.o. 11Moniuszki Office sp. z o.o. 9 13MUXUM, a.s. 1 4Na Poříčí, a.s. 4 30New Age Kft. –1Nymburk Property Development, a.s. 52 27Olomouc Building, a.s. –17Orchard Hotel a.s. 128Oxford Tower sp. z o.o. –22OZ Trmice, a.s. 1245Pólus Shopping Center Zrt. 3471PROJECT FIRST a.s. 89137Projekt Nisa, s.r.o. 1627Projekt Zlatý Anděl, s.r.o. –24Prosta 69 Sp. z o.o. –7Real Estate Energy Kft. 255421Residence Belgická, s.r.o. –2Residence Izabella Zrt. 44Rezidence Malkovského, s.r.o. 274–Rizeros, a.s. 4–Tachov Investments, s.r.o. –1Tepelné hospodářství Litvínov s.r.o. 4335Třinec Property Development, a.s. –6Tyršova 6, a.s. 17U svatého Michala, a.s. –1ZET.office, a.s. (formerly CPI Orange, a.s.) –3Total 147,451140,173
Resale of CPI Project Invest and Finance
On 24 June 2024, through capital contribution of its subsidiaries Equator IV Offices sp. z o.o., Eurocentrum Offices sp.z o.o. and WFC
Investments sp. z o.o., the Group gained control over CPI Project Invest and Finance (hereinafter together with its subsidiaries as „CPI
PIF“), formerly subsidiary of the Group´s related party Czech Property Investments a.s.
11 Events after the reporting period
There were no material events after the reporting period.
CPI FIM SA | 2024 CONSOLIDATED FINANCIAL STATEMENTS
Appendix I – List of Group entities
Entities fully consolidated
Company Country 31 December 202431 December 2023Atrium Complex sp. z o.o. Poland 51.00%–BD Malostranská, a.s. Czech Republic 100.00%100.00%Brno Property Invest XV., a.s. Czech Republic 100.00%100.00%Bubny Development, s.r.o. Czech Republic 100.00%100.00%BYTY PODKOVA, a.s. Czech Republic 100.00%100.00%Camuzzi, a.s. Czech Republic 100.00%100.00%Castor Investments sp. z o.o. Poland 51.00%100.00%Castor Investments sp. z o.o. S.K.A. Poland 51.00%100.00%CENTRAL TOWER 81 sp. z o.o. Poland 51.00%–City Gardens sp. z o.o. Poland 51.00%–CPI – Krásné Březno, a.s. Czech Republic 100.00%100.00%CPI – Land Development, a.s. Czech Republic 100.00%100.00%CPI ACAYA S.r.l. Italy 100.00%100.00%CPI FIM GOLD, a.s. Czech Republic 100.00%100.00%CPI FIM WHITE, a.s. Czech Republic 100.00%100.00%CPI Italy 130 SPV S.r.l. Italy 100.00%100.00%CPI Park Chabařovice, s.r.o. Czech Republic 100.00%100.00%CPI Park Plzeň, s.r.o. Czech Republic 100.00%100.00%CPI Park Žďárek, a.s. Czech Republic 100.00%100.00%CPI Pigna S.r.l. Italy 100.00%100.00%CPI Podhorský Park, s.r.o. Czech Republic 100.00%100.00%CPI Project Invest and Finance, a.s. Czech Republic 51.00%–CPI REV Italy II S.r.l. Italy 100.00%100.00%CPI South, s.r.o. Czech Republic 90.00%90.00%Darilia, a.s. Czech Republic 100.00%20.00%Development Doupovská, s.r.o. Czech Republic 75.00%75.00%Diana Property sp. z o.o. Poland 100.00%100.00%Equator II Development sp. z o.o. Poland 51.00%–Equator IV Offices sp. z o.o. Poland 51.00%100.00%Equator Real sp. z o.o. Poland 51.00%–Estate Grand, s.r.o. Czech Republic 100.00%100.00%Eurocentrum Offices sp. z o.o. Poland 51.00%100.00%GADWALL sp. z o.o. Poland 51.00%–GCA Property Development sp. z o.o. Poland 51.00%–Industrial Park Stříbro, s.r.o. Czech Republic 100.00%100.00%JIHOVÝCHODNÍ MĚSTO, a.s. Czech Republic 100.00%100.00%Land Properties, a.s. Czech Republic 100.00%100.00%LES MAS DU FIGUER France 100.00%100.00%Marki Real Estate Sp. z o.o. Poland 100.00%100.00%MQM Czech, a.s. Czech Republic 100.00%100.00%NOVÁ ZBROJOVKA, s.r.o. Czech Republic 100.00%100.00%Nupaky a.s. Czech Republic 100.00%100.00%Oxford Tower sp. z o.o. Poland 51.00%–Pietroni, s.r.o. Czech Republic 100.00%100.00%Polygon BC, a.s. Czech Republic 100.00%100.00%Prosta 69 sp. z o.o. Poland 51.00%–Rezidence Kunratice, s.r.o. Czech Republic 100.00%100.00%Rezidence Pragovka, s.r.o. Czech Republic 100.00%100.00%Strakonice Property Development, a.s. Czech Republic 100.00%100.00%STRM Alfa, a.s. Czech Republic 100.00%100.00%STRM Beta, a.s. Czech Republic 100.00%100.00%STRM Gama, a.s. Czech Republic 100.00%100.00%Vysočany Office, a.s. Czech Republic 100.00%100.00%WFC Investments sp. z o.o. Poland 51.00%100.00%
Equity method investments
Company Country 31 December 2024 31 December 2023Beta Development, s.r.o. Czech Republic 35.00%35.00%Uniborc S.A. Luxembourg 35.00%35.00%
Ernst
&
Younq
Société
anonyme
35E, Avenue
John
F.
Kennedy B.P.
780
L-1855
Luxembourg L-2017
Luxembourg
Tél
:
+352 42 124
1
R.C.S.
Luxembourg
B47771
www.ey.com/en_lu TVA
LU
16063074
Autorisations
d'établissement
:
00117514/13,
00117514/14,
00117514/15,
00117514/17,
00117514/18,
00117514/19
EY
Shape
the future
with confidence
Independent
auditor’s
report
To
the Shareholders
of
CPI
FIM SA
40,
rue
de la
Vallée
L-2661
Luxembourg
Report
on
the
audit
of
the
Consolidated
financial statements
Opinion
We
hâve
audited the
Consolidated
financial
statements
of
CPI
FIM SA
(the
“Company”)
and
its
subsidiaries
(together, the
“Group”), which
comprise
the
Consolidated
statement
of
financial
position
as at
31
December
2024, 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 material
accounting
policy
information.
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
December
2024
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
Régulation N°
537/2014, the
Law
of
23 July
2016 on the
audit
profession ("Law
of
23
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 Régulation
N°
537/2014,
the
Law of
23 July
2016 and
ISAs
as
adopted
for
Luxembourg
by the
CSSF
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
Code
of
Ethics for
Professional
Accountants,
including
International
Independence
Standards,
issued
by
the
International
Ethics Standards
Board for
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 hâve fulfilled our
other
ethical
responsibilities
under
those
ethical
requirements.
We
believe that
the
audit
evidence
we
hâve 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
signifîcance
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.
A
member firm of Ernst &
Young
Global
Limited
EY
Shape
the future
with confidence
a) Impairment
of
loans
provided
Description
Loans provided
represent
57%
of
the total
Group’s
Consolidated
assets.
The
majority
of
the loans
provided
hâve
been granted
to
related
parties
as
detailed
in Note
6.5 in the
Consolidated
financial
statements.
The
process
for
estimating
impairment
provision
on loans
provided
is
a
significant
and
complex area.
Management performs
an impairment
assessment
of
loans
provided
and recognizes an
allowance for
expected
crédit
losses
in accordance
with
IFRS 9.
Due
to
the
complexity, significance
of
judgements
applied
and the
Group’s
exposure to
loans
provided
forming
a
major
portion
of
the Group’s
assets, the
audit
of
impairment
of
loans
provided
is
a
key
area
of
focus.
Auditors
response
Our
audit
procedures
over
the
impairment
on loans
provided
included, but
were
not
limited
to,
the following:
Obtained
an understanding
of
the
key
contractual
terms
of
the
loans
provided.
Evaluated
the
application
of
requirements
of
IFRS
9 and
appropriateness
of
the accounting
policies
applied
by
the
management
of
the
Group.
Understood
managements
model used
to
détermine
impairment
in relation
to loans
provided.
Reviewed
the
data
and
information
used
in
the
impairment assessment
model
and
ensured
the
correctness and
reasonableness
of
the inputs
used
in the
assessment.
Tested
the
arithmetical
accuracy of
the
model
applied.
Reviewed
and
ensured
the completeness
of
the
Consolidated
financial
statements
disclosures
in
the
context
of
the
impairment
of
loans
provided.
b) Valuation
of
investment property
Description
The
Group
owns a
portfolio
of
investment
properties
comprising
office,
land,
properties
under
development,
retail
and residential
type
of
properties
located
in
Europe.
Investment
property
represents
32%
of
the
total
Group’s
assets
as at
31 December
2024.
Investment
properties
are
valued
at fair
value
in accordance
with
the
Group
accounting policies.
Valuation of
investment
property is
a
significant
judgemental area and
is
underpinned
by
a
number
of
factual
inputs
and
assumptions.
The
valuation
is
inherently subjective
due
to,
among
other factors,
the
individual
nature
of
each
property, the location
and the
expected cash
flows
generated
by future
rentals.
The
management
engaged independent
external
valuers
(hereafter
the
“valuers”) to
externally value
99% of
the
Group’s
investment
properties.
In determining
a
property’s
valuation, the
valuers
take into
account
property spécifie
characteristics
and
information
such
as
the
correct
tenancy
agreements
and
rental
income.
They apply
assumptions
for
yields
and
estimated
market
rent, which
are
influenced
by
prevailing market
yields
and
comparable
market
transactions,
to
corne
up
with
their
assessment
of
the
fair
value.
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Due
to
the
above-mentioned
matters,
we
consider
valuation
of
investirent
property as
a
key audit
matter.
Auditors
response
Our
audit
procedures
over
the
valuation
of
investment
property included,
but
were
not
limited
to,
the
following:
We
evaluated
the
compétence,
capabilities
and objectivity
of
the
valuers
and
read
the
terms
of
engagement
of
the
valuers
to
détermine
whether
there
were
any matters that might
hâve affected
their
objectivity
or
limited
the
scope
of
their
work.
For
a
sample of
the
valuations
across
ail
asset
classes
of
investment
properties, geographical
locations
and
external
valuers,
we
traced the
inputs
used
in the
valuation
process
including rents
and
occupancy
rates
to tenancy schedules.
For
a
sample
of
properties, we
performed
site
visits
to ensure existence
and physical
condition of
properties.
We
also
involved
our
own real
estate
specialist to
assist
us
in
evaluating
the reasonableness
of
the
assumptions
used
in
valuation
models
including
yields
and estimated
market
rent, for
the
sample
of
investment
properties.
We
evaluated
any
caveats or
limitations, if
any,
included
in
the
valuers’
reports.
We assessed
the
adequacy of
the
disclosures
in 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
inconsistant
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 hâve performed,
we
conclude
that
there
is
a
material
misstatement
of
this other
information, we
are
required to
report
this fact.
We
hâve
nothing
to
report
in
this
regard.
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member firm of Ernst &
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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
préparation
and
fair
présentation
of
the
Consolidated
financial
statements
in
accordance with
IFRS as
adopted
by
the European
Union, and
for
such
internai
control
as
the
Board
of
Directors
détermines
is necessary to
enable
the
préparation
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
and
marking up
the
Consolidated
financial
statements
in
compliance with
the
requirements
set out
in the
Delegated
Régulation
2019/815
on European
Single
Electronic
Format, as
amended
(“ESEF
Régulation").
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 Régulation
N°
537/2014,
the
Law
of
23 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
économie
decisions
of
users
taken
on the
basis
of
these
Consolidated
financial
statements.
As
part
of
an
audit
in
accordance with
EU
Régulation
N°
537/2014,
the
Law
of
23
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 suffirent
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
internai
control.
• Obtain
an understanding
of
internai
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
internai
control.
•
Evaluate the
appropriateness
of
accounting policies
used
and
the
reasonableness
of
accounting
estimâtes
and
related
disclosures
made
by the
Board
of
Directors.
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•
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
inadéquate, 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
présentation, 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
présentation.
• Assess
whether
the
Consolidated
financial
statements
hâve
been
prepared,
in ail material
respects, in
compliance
with the
requirements
laid
down
in
the
ESEF
Régulation.
•
Obtain
suffirent
appropriate
audit
evidence
regarding
the
financial
information of
the
entities
and
business
activités
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
internai
control
thatwe
identify during
our
audit.
We also
provide
those
charged
with governance
with
a
statement
that we
hâve
complied
with relevant
ethical
requirements
regarding
independence, and
communicate to
them
ail
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
détermine 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
régulation precludes
public disclosure
about
the matter.
Report
on other
legal
and regulatory
requirements
We
hâve
been
appointed
as
"réviseur
d’entreprises
agréé”
by the
General
Meeting
of
the Shareholders
on
3 October
2019 and
the
duration
of
our
uninterrupted
engagement,
including
previous
renewals
and
reappointments,
is
6
years.
The
Consolidated
management
report
is
consistent
with the
Consolidated
financial
statements
and
has been
prepared
in
accordance
with applicable
legal
requirements.
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member firm of Ernst &
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The
corporate
governance statement, included
in
the
Consolidated
management
report,
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 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
statements
and
has
been
prepared
in accordance
with
applicable
legal requirements.
We
hâve
checked
the
compliance
of
the
Consolidated
financial
statements
of
the
Group
as
at
31 December
2024
with
relevant statutory
requirements
set
out
in
the
ESEF
Régulation 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
Régulation.
In our
opinion,
the
Consolidated
financial
statements
of
the
Group
as
at
31
December
2024
identified
as
CPI_FIM_S.A._20250331.zip, hâve
been
prepared,
in ail
material
respects,
in
compliance
with the
requirements laid
down
in
the
ESEF
Régulation.
We
confirm
that
the
audit
opinion is
consistent
with the additional
report
to the
audit
committee
or
équivalent.
We
confirm
that
the
prohibited
non-audit services
referred
to
in EU
Régulation
No 537/2014
were
not
provided and
that
we
remained
independent of
the Group
in conducting
the
audit.
Ernst
& Young
Société
anopynrte
Cabinet
de
réviéjpn
agréé
esus
Orozco
Luxembourg, 31
March
2025
A
member firm of Ernst &
Young
Global
Limited
CPI FIM SA
Société Anonyme
R.C.S. Luxembourg B 44.996
ANNUAL ACCOUNTS AND REPORT
OF THE REVISEUR D’ENTREPRISES AGREE
31 DECEMBER 2024
40, rue de la Vallée
L-2661 Luxembourg
Share capital: EUR 13,145,076
R.C.S. Luxembourg B 44.996
TABLE OF CONTENTS
REPORT OF THE REVISEUR D’ENTREPRISES AGREE
ANNUAL ACCOUNTS
Notes to the annual accounts
Ernst
&
Younq
Société
anonyme
EY
Shape
the
future
with confidence
B.P.
780
L-2017
Luxembourg
R.C.S.
Luxembourg
B47771
TVA
LU
16063074
35E, Avenue
John
F.
Kennedy
L-1855
Luxembourg
Tél
:
+352 42 124
1
www.ey.com/en_lu
Autorisations
d'établissement
:
00117514/13,
00117514/14,
00117514/15,
00117514/17,00117514/18,
00117514/19
Independent
auditor’s
report
To
the
Shareholders
of
CPI
FIM
SA
40,
rue
de la Vallée
L-2661
Luxembourg
Report
on
the
audit
of
the financial
statements
Opinion
We
hâve
audited
the financial statements
of
CPI FIM
SA
(the
“Company”),
which
comprise
the
balance
sheet
as
at
31 December
2024, 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
December
2024, and
of
the
results
of
its operations
for
the
year
then
ended
in
accordance
with Luxembourg
legal
and
regulatory requirements
relating to
the préparation and
présentation
of
the financial
statements.
Basis
for
opinion
We
conducted
our
audit
in accordance
with EU
Régulation N°
537/2014, the Law
of
23 July
2016 on
the
audit
profession
(“Law of
23 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
Régulation
N°
537/2014,
the
Law
of
23 July 2016
and
ISAs as
adopted
for
Luxembourg
by the
CSSF
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
Code
of
Ethics
for
Professional
Accountants,
including
International
Independence Standards,
issued
by
the
International
Ethics
Standards Board
for
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 hâve
fulfilled our
other
ethical
responsibilities
under
those
ethical
requirements.
We believe
that
the audit
evidence
we hâve
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.
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a) Valuation
of
financial
assets
(shares
in
affiliated
undertakings and
loans to
affiliated
undertakings)
Description
Financial
assets represent
91
% of
the
total
assets
of
the
Company as
at 31
December
2024.
The assessment
of
the valuation
of
financial
assets
requires
significant
judgement
applied
by
the
management
in assessing
the
recovery value
of
the
financial
assets
and
the
permanent
nature
of
a
potential
impairment.
This
matter
was
considered
to
be
a
key
matter
in our
audit,
since
the aforementioned
estimâtes
are
complex
and
require
significant
judgements
by
management of
the
Company.
Au
d
Hors
response
Our
audit
procedures
over
the
valuation
of
financial
assets
included,
but
were
not
limited
to,
the following:
Ensured
existence,
initial
cost
of
investment
and
ownership
of
the
investments
through
inspection
of
acquisition
agreements and
commercial
registers
of
the
underlying investees.
Understood
the
process
of
financial
assets
valuation
and
managements
impairment
assessment
and
evaluated
the
appropriateness
of
the
application
of
the
Luxembourg
legal
and regulatory
requirements
relating
to
the préparation and
présentation
of
the financial
statements.
Tested
the
arithmetical
accuracy of
the
managements
impairment test
based
on
comparison
with
the
net
equity of
the underlying investees
and
assessed
the
conclusions
reached
by the
management
in respect
of
recognized
impairment
and/or
reversai
of
historical
impairment.
Tested
the
accuracy and
completeness
of
the
provided
loan database,
on
a représentative
sample
basis,
by
tracing
the loan
terms to
the
underlying loan
agreements,
the
repayments
of
principal
and
interest
to
the bank
statements
and
the
outstanding
loan
and
accrued
interest
balances
to
the
counterparties.
Performed
recalculation of
the
interest on
loans
to affiliated
undertaking based
on
known
data.
Reviewed and
ensured
the completeness
of
the financial
statements’ disclosures.
Other
information
The
Board
of
Directors
is
responsible
for the
other
information.
The other
information
comprises
the
information
included
in the
annual
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
inconsistant
with the
financial
statements
or
our
knowledge
obtained
in
the
audit
or
otherwise
appears
to
be
materially
misstated.
If, based
on
the
work
we
hâve
performed,
we
conclude
that
there
is
a
material
misstatement
of
this
other
information,
we
are
required
to report
this fact.
We
hâve
nothing
to report
in
this
regard.
A
member firm of Ernst &
Young
Global
Limited
EY
Shape
the future
with confidence
Responsibilîties
of
the Board
of
Directors
and
of
those charged with governance
for
the financial
statements
The
Board
of
Directors
is
responsible
for
the
préparation
and fair
présentation of
the financial
statements
in
accordance
with
Luxembourg
legal
and
regulatory
requirements
relating
to the
préparation and
présentation
of
the financial
statements, and for
such
internai
control
as
the Board
of
Directors
détermines
is necessary to
enable
the
préparation 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
Régulation
2019/815 on
European Single
Electronic
Format, as
amended
(“ESEF
Régulation”).
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.
Those
charged
with governance
are
responsible
for
overseeing
the
Company’s financial
reporting process.
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 Régulation N° 537/2014,
the
Law
of
23
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
économie
decisions
of
users
taken
on
the
basis
of
these financial
statements.
As
part of
an audit in
accordance
with EU Régulation N° 537/2014,
the
Law of
23 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
suffirent
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
internai
control.
•
Obtain
an understanding
of
internai 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
internai
control.
•
Evaluate
the appropriateness
of
accounting
policies
used
and
the
reasonableness
of
accounting
estimâtes
and
related
disclosures made
by the Board of
Directors.
A
member firm of Ernst &
Young
Global
Limited
EY
Shape
the future
with confidence
• 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
inadéquate, 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
présentation,
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
présentation.
•
Assess
whether
the
financial
statements
hâve
been
prepared,
in ail
material
respects,
in
compliance
with the
requirements
laid
down
in
the
ESEF
Régulation.
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
internai
control
that
we
identify during
our
audit.
We
also
provide those
charged
with governance
with
a
statement
that we
hâve
complied
with
relevant
ethical
requirements
regarding
independence,
and
communicate
to
them
ail
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
détermine
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
régulation
precludes
public disclosure
about
the
matter.
Report on
other
legal
and regulatory
requirements
We
hâve
been
appointed
as
“réviseur
d’entreprises
agréé”
by the
General
Meeting
of
the Shareholders
on
3
October
2019 and the
duration
of
our
uninterrupted
engagement,
including
previous
renewals
and
reappointments,
is
6
years.
The
management
report
is
consistent
with the
financial
statements
and
has
been prepared
in
accordance
with
applicable
legal
requirements.
The
corporate
governance
statement,
included
in
the
management
report,
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
December
2002 on
the commercial
and
companies
register
and
on
the accounting
records
and
annual
accounts
of
undertakings,
as amended,
is
consistent
with
the
financial
statements
and has
been prepared
in
accordance
with applicable
legal
requirements.
A
mernber firm of Ernst &
Young
Global
Limited
Shape
the future
with confidence
We
hâve
checked
the
compliance
of
the
financial
statements
of
the
Company as at
31
December
2024
with
relevant
statutory requirements
set
out
in
the
ESEF
Régulation
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
December
2024,
identified
as
CPIFIM_31_12_2024_AFR, hâve
been
prepared,
in ail
material
respects,
in
compliance
with
the
requirements
laid
down
in
the
ESEF
Régulation.
We
confirm
that
the
audit
opinion
is
consistent
with
the
additional
report
to the
audit
committee
or
équivalent.
We
confirm
that
the
prohibited
non-audit
services
referred
to
in EU
Régulation
No 537/2014
were
not
provided
and
that
we
remained
independent of
the
Company
in
conducting
the
audit.
Ernst
&
Young
□
C igréé
tesus
Orozco
tesus
Orozco
Luxembourg, 31
March
2025
A
member firm of Ernst &
Young
Global
Limited
Page 1/5
The notes in the annex form an integral part of the annual accounts
FSGVERP20250207T07491601_002
Annual Accounts Helpdesk :
Tel. : (+352) 247 88 494
Email : centralebilans@statec.etat.lu
RCSL Nr. : Matricule :B44996 1993 2209 554
eCDF entry date :
BALANCE SHEET
Financial year from to
(in )
01/01
01
/2024 31/12/2024
02
EUR
03
CPI FIM SA
40, rue de la Vallée
L-2661 Luxembourg
ASSETS
Reference(s) Current year Previous year
A. Subscribed capital unpaid
1101 101 102
I. Subscribed capital not called
1103 103 104
II. Subscribed capital called but
unpaid
1105 105 106
B. Formation expenses
1107 107 108
C. Fixed assets
1109
4.926.262.191,00
109
5.436.408.133,00
110
I. Intangible assets
1111 111 112
1. Costs of development
1113 113 114
2. Concessions, patents, licences,
trade marks and similar rights
and assets, if they were
1115 115 116
a) acquired for valuable
consideration and need not be
shown under C.I.3
1117 117 118
b) created by the undertaking
itself
1119 119 120
3. Goodwill, to the extent that it
was acquired for valuable
consideration
1121 121 122
4. Payments on account and
intangible assets under
development
1123 123 124
II. Tangible assets
1125 125 126
1. Land and buildings
1127 127 128
2. Plant and machinery
1129 129 130
Page 2/5
The notes in the annex form an integral part of the annual accounts
FSGVERP20250207T07491601_002
RCSL Nr. : Matricule :B44996 1993 2209 554
Reference(s) Current year Previous year
3. Other fixtures and fittings, tools
and equipment
1131 131 132
4. Payments on account and
tangible assets in the course
of construction
1133 133 134
III. Financial assets
Note 3
1135
4.926.262.191,00
135
5.436.408.133,00
136
1. Shares in affiliated undertakings
Note 3.1
1137
857.691.246,00
137
919.369.414,00
138
2. Loans to affiliated undertakings
Note 3.2
1139
3.943.468.280,00
139
4.365.823.522,00
140
3. Participating interests
Note 3.3
1141
0,00
141
0,00
142
4. Loans to undertakings with
which the undertaking is linked
by virtue of participating
interests
Note 3.4
1143
6.144.331,00
143
7.013.165,00
144
5. Investments held as fixed
assets
Note 3.5
1145
118.812.589,00
145
120.902.521,00
146
6. Other loans
Note 3.6
1147
145.745,00
147
23.299.511,00
148
D. Current assets
Note 4
1151
480.893.095,00
151
930.963.294,00
152
I. Stocks
1153 153 154
1. Raw materials and consumables
1155 155 156
2. Work in progress
1157 157 158
3. Finished goods and goods
for resale
1159 159 160
4. Payments on account
1161 161 162
II. Debtors
1163
379.609.776,00
163
868.890.170,00
164
1. Trade debtors
1165
255.831,00
165
3.023.400,00
166
a) becoming due and payable
within one year
Note 4.1
1167
255.831,00
167
3.023.400,00
168
b) becoming due and payable
after more than one year
1169 169 170
2. Amounts owed by affiliated
undertakings
1171
378.879.845,00
171
864.598.946,00
172
a) becoming due and payable
within one year
Note 4.2
1173
209.848.680,00
173
833.798.266,00
174
b) becoming due and payable
after more than one year
Note 4.3
1175
169.031.165,00
175
30.800.680,00
176
3. Amounts owed by undertakings
with which the undertaking is
linked by virtue of participating
interests
1177
83.978,00
177
89.475,00
178
a) becoming due and payable
within one year
Note 4.4
1179
83.978,00
179
89.475,00
180
b) becoming due and payable
after more than one year
1181 181 182
4. Other debtors
1183
390.122,00
183
1.178.349,00
184
a) becoming due and payable
within one year
Note 4.5
1185
390.122,00
185
1.178.349,00
186
b) becoming due and payable
after more than one year
1187 187 188
Page 3/5
The notes in the annex form an integral part of the annual accounts
FSGVERP20250207T07491601_002
RCSL Nr. : Matricule :B44996 1993 2209 554
Reference(s) Current year Previous year
III. Investments
1189 189 190
1. Shares in affiliated undertakings
1191 191 192
2. Own shares
1209 209 210
3. Other investments
1195 195 196
IV. Cash at bank and in hand
1197
101.283.319,00
197
62.073.124,00
198
E. Prepayments
1199
731.818,00
199
61.964,00
200
TOTAL (ASSETS)
5.407.887.104,00
201
6.367.433.391,00
202
Page 4/5
The notes in the annex form an integral part of the annual accounts
FSGVERP20250207T07491601_002
RCSL Nr. : Matricule :B44996 1993 2209 554
CAPITAL, RESERVES AND LIABILITIES
Reference(s) Current year Previous year
A. Capital and reserves
Note 5
1301
980.580.106,00
301
953.449.163,00
302
I. Subscribed capital
1303
13.145.076,00
303
13.145.076,00
304
II. Share premium account
1305
784.669.809,00
305
784.669.809,00
306
III. Revaluation reserve
1307 307 308
IV. Reserves
1309
448.131.945,00
309
448.131.945,00
310
1. Legal reserve
1311
448.131.945,00
311
448.131.945,00
312
2. Reserve for own shares
1313 313 314
3. Reserves provided for by the
articles of association
1315 315 316
4. Other reserves, including the
fair value reserve
1429 429 430
a) other available reserves
1431 431 432
b) other non available reserves
1433 433 434
V. Profit or loss brought forward
1319
-292.497.667,00
319
-465.140.493,00
320
VI. Profit or loss for the financial year
1321
27.130.943,00
321
172.642.826,00
322
VII. Interim dividends
1323 323 324
VIII. Capital investment subsidies
1325 325 326
B. Provisions
1331 331 332
1. Provisions for pensions and
similar obligations
1333 333 334
2. Provisions for taxation
1335 335 336
3. Other provisions
1337 337 338
C. Creditors
1435
4.427.306.998,00
435
5.413.984.228,00
436
1. Debenture loans
1437 437 438
a) Convertible loans
1439 439 440
i) becoming due and payable
within one year
1441 441 442
ii) becoming due and payable
after more than one year
1443 443 444
b) Non convertible loans
1445 445 446
i) becoming due and payable
within one year
1447 447 448
ii) becoming due and payable
after more than one year
1449 449 450
2. Amounts owed to credit
institutions
1355
7.623,00
355
17.798,00
356
a) becoming due and payable
within one year
Note 6
1357
7.623,00
357
17.798,00
358
b) becoming due and payable
after more than one year
1359 359 360
Page 5/5
The notes in the annex form an integral part of the annual accounts
FSGVERP20250207T07491601_002
RCSL Nr. : Matricule :B44996 1993 2209 554
Reference(s) Current year Previous year
3. Payments received on account
of orders in so far as they are
not shown separately as
deductions from stocks
1361 361 362
a) becoming due and payable
within one year
1363 363 364
b) becoming due and payable
after more than one year
1365 365 366
4. Trade creditors
1367
659.324,00
367
606.444,00
368
a) becoming due and payable
within one year
1369
659.324,00
369
606.444,00
370
b) becoming due and payable
after more than one year
1371 371 372
5. Bills of exchange payable
1373 373 374
a) becoming due and payable
within one year
1375 375 376
b) becoming due and payable
after more than one year
1377 377 378
6. Amounts owed to affiliated
undertakings
Note 7
1379
4.424.819.837,00
379
5.413.313.455,00
380
a) becoming due and payable
within one year
Note 7.1
1381
578.891.834,00
381
551.834.455,00
382
b) becoming due and payable
after more than one year
Note 7.2
1383
3.845.928.003,00
383
4.861.479.000,00
384
7. Amounts owed to undertakings
with which the undertaking is
linked by virtue of participating
interests
1385 385 386
a) becoming due and payable
within one year
1387 387 388
b) becoming due and payable
after more than one year
1389 389 390
8. Other creditors
Note 8
1451
1.820.214,00
451
46.531,00
452
a) Tax authorities
1393 393 394
b) Social security authorities
1395
32.002,00
395
32.867,00
396
c) Other creditors
1397
1.788.212,00
397
13.664,00
398
i) becoming due and
payable within one year
Note 8.1
1399
1.788.212,00
399
13.664,00
400
ii) becoming due and
payable after more than
one year
1401 401 402
D. Deferred income
1403 403 404
TOTAL (CAPITAL, RESERVES AND LIABILITIES)
5.407.887.104,00
405
6.367.433.391,00
406
Page 1/2
The notes in the annex form an integral part of the annual accounts
FSGVERP20250207T07491601_003
Annual Accounts Helpdesk :
Tel. : (+352) 247 88 494
Email : centralebilans@statec.etat.lu
RCSL Nr. : Matricule :B44996 1993 2209 554
eCDF entry date :
PROFIT AND LOSS ACCOUNT
Financial year from to
(in )
01/01
01
/2024 31/12/2024
02
EUR
03
CPI FIM SA
40, rue de la Vallée
L-2661 Luxembourg
Reference(s) Current year Previous year
1. Net turnover
1701 701 702
2. Variation in stocks of finished
goods and in work in progress
1703 703 704
3. Work performed by the undertaking
for its own purposes and capitalised
1705 705 706
4. Other operating income
Note 9
1713
5.006.648,00
713
6.025.192,00
714
5. Raw materials and consumables and
other external expenses
Note 10
1671
-1.570.854,00
671
-1.266.436,00
672
a) Raw materials and consumables
1601
-5.682,00
601
-9.166,00
602
b) Other external expenses
1603
-1.565.172,00
603
-1.257.270,00
604
6. Staff costs
Note 11
1605
-763.602,00
605
-755.290,00
606
a) Wages and salaries
1607
-638.046,00
607
-628.260,00
608
b) Social security costs
1609
-116.982,00
609
-119.799,00
610
i) relating to pensions
1653 653 654
ii) other social security costs
1655
-116.982,00
655
-119.799,00
656
c) Other staff costs
1613
-8.574,00
613
-7.231,00
614
7. Value adjustments
Note 12
1657
200.155,00
657
-3.628.191,00
658
a) in respect of formation expenses
and of tangible and intangible
fixed assets
1659 659 660
b) in respect of current assets
1661
200.155,00
661
-3.628.191,00
662
8. Other operating expenses
Note 13
1621
-5.390.704,00
621
-4.823.137,00
622
Page 2/2
The notes in the annex form an integral part of the annual accounts
FSGVERP20250207T07491601_003
RCSL Nr. : Matricule :B44996 1993 2209 554
Reference(s) Current year Previous year
9. Income from participating interests
1715
40.107,00
715
5.481.242,00
716
a) derived from affiliated undertakings
Note 14
1717
40.107,00
717
5.481.242,00
718
b) other income from participating
interests
1719 719 720
10. Income from other investments and
loans forming part of the fixed assets
Note 15
1721
247.060.477,00
721
255.840.050,00
722
a) derived from affiliated undertakings
Note 15.1
1723
246.144.738,00
723
254.411.506,00
724
b) other income not included under a)
Note 15.2
1725
915.739,00
725
1.428.544,00
726
11. Other interest receivable and similar
income
Note 16
1727
31.730.694,00
727
61.951.171,00
728
a) derived from affiliated undertakings
Note 16.1
1729
28.843.506,00
729
57.906.145,00
730
b) other interest and similar income
Note 16.2
1731
2.887.188,00
731
4.045.026,00
732
12. Share of profit or loss of
undertakings accounted for under
the equity method
1663 663 664
13. Value adjustments in respect of
financial assets and of investments
held as current assets
Note 17
1665
-83.958.934,00
665
3.776.756,00
666
14. Interest payable and similar expenses
Note 18
1627
-165.177.937,00
627
-149.970.089,00
628
a) concerning affiliated undertakings
Note 18.1
1629
-163.919.852,00
629
-148.231.208,00
630
b) other interest and similar expenses
Note 18.2
1631
-1.258.085,00
631
-1.738.881,00
632
15. Tax on profit or loss
1635 635 636
16. Profit or loss after taxation
1667
27.176.050,00
667
172.631.268,00
668
17. Other taxes not shown under items
1 to 16
Note 19
1637
-45.107,00
637
11.558,00
638
18. Profit or loss for the financial year
1669
27.130.943,00
669
172.642.826,00
670
CPI FIM SA Société Anonyme R.C.S. Luxembourg B 44.996
NOTE 1 - GENERAL INFORMATION
CPI FIM SA, Société Anonyme (“the Company” and “CPI FIM”), RCS number B 44.996, was incorporated under the Luxembourg
Company Law on 9 September 1993 as a limited liability company (Société Anonyme) for an unlimited period of time.
The Company has for object the taking of participating interests, in whatsoever form in either Luxembourg or foreign
countries, especially in real estate companies in the Czech Republic, Poland and other countries of Eastern Europe and the
management, control and development of such participating interests. The Company, through its subsidiaries (together “the
Group”), is principally involved in providing financing and management services, and the development of properties for its
own portfolio or intended to be sold in the ordinary course of business.
The registered office of the Company is established at 40, rue de la Vallée, L-2661 Luxembourg.
As at 31 December 2024 the Company’s shares were listed on the regulated markets of the Warsaw Stock Exchange and of
the Luxembourg Stock Exchange.
The financial year is from 1 January 2024 to 31 December 2024.
As at 31 December 2024, the Company is directly controlled by CPI Property Group S.A. by 97.31 % (2023: 97.31 %), a
Luxembourg entity of which Radovan Vítek (Vitek Trusts) is the ultimate beneficial owner with 89.99 % of voting rights (2023:
89.99 %). Other shares of CPI FIM SA grant 2.69% voting rights.
Total 1,314,507,629 shares grant 100.00% voting rights.
Board of Directors
As at 31 December 2024, the Board of Directors consists of the following directors:
Mr. David Greenbaum
Mr. Edward Hughes
Mrs. Anita Dubost
Mr. Alfred Brandner
The consolidated financial statements and separate annual accounts of the Company can be obtained at its registered office,
40, rue de la Vallée, L-2661 Luxembourg and at the following website: www.cpifimsa.com.
CPI FIM SA Société Anonyme R.C.S. Luxembourg B 44.996
NOTE 2 - ACCOUNTING PRINCIPLES, RULES AND METHODS
Basis of preparation and going concern
The annual accounts have been prepared in accordance with Luxembourg legal and regulatory requirements. Accounting
policies and valuation rules are, besides the ones laid down by the law of 10 August 1915, as subsequently amended (“the
Commercial Company Law”), determined and applied by the Board of Directors.
The Company maintains its accounting records in Euro (EUR). The financial statements are presented in EUR. All figures in
tables are presented rounded to the nearest thousand, except when otherwise indicated.
The financial statements were authorized for issue by the Board of Directors on 31 March 2025.
Significant accounting policies
Financial assets
Financial assets include shares in affiliated undertakings, loans to affiliated undertakings, participating interests, loans to
undertakings with which the undertaking is linked by virtue of participating interests and investments held as fixed assets.
Financial assets are valued individually at the lower of their acquisition price less permanent impairment or recoverable value.
Amounts owed by affiliated undertakings, amounts owed by undertakings with which the Company is linked by virtue of
participating interest and other loans shown under “Financial assets” are recorded at their nominal value. A value adjustment
is recorded when the recovery value is partially or fully compromised on permanent basis.
The value adjustments are not continued if the reasons for which the value adjustments were made have ceased to apply.
Provided and received cash pool transactions
The Company classifies the provided and received cash pool transactions on behalf agreed cash-pool contracts, including
interests, as other current receivables and other current liabilities, respectively.
Debtors
Trade debtors, amounts owed by affiliated undertakings, amounts owed by undertakings with which the undertaking is linked
by virtue of participating interest and other debtors are valued at their nominal value. They are subject to value adjustments
where their recovery value is partially of fully compromised. These value adjustments are not continued if the reasons for
which the value adjustments were made have ceased to apply.
Provisions
Provisions are intended to cover losses or debts the nature of which is clearly defined and which at the balance sheet date
are either likely or certain to be incurred but uncertain as to their amount or as to the date on which they will arise.
Provisions may also be created in order to cover charges which have their origin in the financial year under review or in a
previous financial year, the nature of which is clearly defined and which at the date of the balance sheet are either likely to
be incurred or certain to be incurred but uncertain as to their amount or as to the date on which they will arise
Creditors
Creditors include amounts owed to affiliated undertakings and trade and other creditors. Creditors are valued at their
nominal value.
Conversion of foreign currencies
During the financial year, the acquisitions and sales of financial assets as well as income and charges in currencies other than
EUR are converted into EUR at the exchange rate prevailing at the transaction dates.
At the balance sheet date, the acquisition price of the financial assets – shares in affiliated, participating interests and other
investments expressed in currency other than the EUR remains converted at the historical exchange rate. All other assets and
liabilities expressed in a currency other than EUR are valued at the closing rate or historical rate under the prudence concept.
The unrealised and realised losses, as well as the realised gains are recorded in the profit and loss account.
Cross-currency swaps – hedge
Cross-currency swap interest is recorded at its nominal value. The interest is reported in balance sheet as other debtors,
respectively other creditors. The interest is reported separately in profit and loss account. The Company records the fixed
amounts on off-balance accounts. The same approach is used for fair value of a cross-currency swap.
Derivative instrument - investments
The Company records the fixed amounts on off-balance accounts. The fair value of a derivative instrument is reported as
other receivable, respectively payable, and in profit and loss account as similar income to interest, respectively expense.
Net turnover
Net turnover includes income from invoicing of operating costs.
CPI FIM SA Société Anonyme R.C.S. Luxembourg B 44.996
Value adjustments
Value adjustments are deducted directly from the related asset.
Other operating income
Other operating income includes income from invoicing of operating costs and providing management services.
NOTE 3 - FINANCIAL ASSETS
2024
Shares in affiliated undertakings
Loans to affiliated undertakings
Gross book value
Balance at 1 January 2024
1,000,381
4,413,234
Additions for the year
443,682
550,277
Disposals for the year
(418,248)
(977,201)
Balance at 31 December 2024
1,025,815
3,986,310
Accumulated value adjustments
Balance at 1 January 2024
(81,012)
(47,410)
Allocations for the year
(96,383)
(9,418)
Reversals for the year
9,271
13,986
Balance at 31 December 2024
(168,124)
(42,842)
Net book value as at 1 January 2024
919,369
4,365,824
Net book value as at 31 December 2024
857,691
3,943,468
3.1 - Shares in affiliated undertakings
On 24 June 2024, the Company gained control over CPI Project Invest and Finance, a.s. through capital contribution of its
subsidiaries Equator IV Offices sp. z o.o., Eurocentrum Offices sp. z o.o. and WFC Investments sp. z o.o., formerly subsidiary
of Czech Property Investments a.s., entity within CPIPG Group.
The Company concluded on 23 December 2024 Share purchase agreement with third party for sale of shares in BD
Malostranská, a.s. The Company received advance for shares (see Note 8.1). The sale was finished in January 2025 (see Note
24).
In the context of the impairment analysis, the Company compares acquisition cost with Net Equity of undertaking and applies
value adjustment, when the Net equity is lower than acquisition cost. The Company uses the Net Equity method for the
valuation of non-tradable shares. Results of value adjustments are reported in Note 17.
Undertakings in which the Company holds participation in their share capital are detailed in the following table on the next
page.
CPI FIM SA Société Anonyme R.C.S. Luxembourg B 44.996
Name of the undertaking
Country
Ccy
% held
Cost
Cost change
Cost
Accumulated
impairment
Reversal of
impairment /
(impairment)
Accumulated
impairment
Carrying
value
Carrying
value
Net equity
(**)
Result of
2024
31.12.24
31.12.23
in 2024
31.12.24
31.12.23
in 2024
31.12.24
31.12.23
31.12.24
BD Malostranská, a.s.
Czech
Republic
CZK
100.00%
5,474
--
5,474
(677)
677
--
4,797
5,474
5,516
(80)
Brno Property Invest XV.,
a.s.
Czech
Republic
CZK
100.00%
1,062
--
1,062
--
(1,062)
(1,062)
1,062
--
(799)
(3,267)
Bubny Development, s.r.o.
Czech
Republic
CZK
100.00%
170,854
2,437
173,291
--
--
--
170,854
173,291
217,976
9,884
BYTY PODKOVA, a.s.
Czech
Republic
CZK
100.00%
67
--
67
--
--
--
67
67
1,647
87
Camuzzi, a.s.
Czech
Republic
CZK
100.00%
3,646
--
3,646
(1,230)
(2,416)
(3,646)
2,416
--
(1,085)
(3,466)
CPI - Krásné Březno, a.s.
Czech
Republic
CZK
100.00%
3,049
--
3,049
(372)
(324)
(696)
2,677
2,353
2,353
(276)
CPI - Land Development,
a.s.
Czech
Republic
CZK
100.00%
36,641
--
36,641
--
--
--
36,641
36,641
37,055
(17)
CPI FIM GOLD, a.s.
Czech
Republic
CZK
100.00%
85
--
85
(5)
1
(4)
80
81
81
3
CPI FIM WHITE, a.s.
Czech
Republic
CZK
100.00%
85
--
85
(5)
1
(4)
80
81
81
3
CPI Park Chabařovice,
s.r.o.
Czech
Republic
CZK
100.00%
3,485
--
3,485
--
--
--
3,485
3,485
5,911
1,000
CPI Park Plzeň, s.r.o.
Czech
Republic
CZK
100.00%
6,019
--
6,019
--
--
--
6,019
6,019
18,562
10
CPI Pigna S.r.l.
Italy
EUR
100.00%
3,621
--
3,621
--
(437)
(437)
3,621
3,184
3,184
(798)
CPI Podhorský park, s.r.o.
Czech
Republic
CZK
100.00%
11,277
--
11,277
--
--
--
11,277
11,277
26,835
(395)
CPI Project Invest and
Finance, a.s.
Czech
Republic
CZK
51.00%
--
436,736
436,736
--
(91,331)
(91,331)
--
345,405
--
--
CPI REV Italy II S.r.l.
Italy
EUR
100.00%
5,637
--
5,637
(5,119)
(518)
(5,637)
518
--
(789)
(1,307)
CPI South, s.r.o.
Czech
Republic
CZK
90.00%
1,603
--
1,603
--
--
--
1,603
1,603
2,182
(91)
Development Doupovská,
s.r.o.
Czech
Republic
CZK
75.00%
3,046
--
3,046
(2,796)
23
(2,773)
250
273
364
36
Diana Property Sp. z o.o.
Poland
PLN
100.00%
777
--
777
--
--
--
777
777
1,867
(186)
Equator IV Offices sp. z
o.o.(*)
Poland
PLN
0.00%
30,419
(30,419)
--
--
--
--
30,419
--
30,902
106
Estate Grand, s.r.o.
Czech
Republic
CZK
100.00%
8
--
8
--
--
--
8
8
6,593
93
Eurocentrum Offices sp. z
o.o.(*)
Poland
PLN
0.00%
132,752
(132,752)
--
(6,196)
6,196
--
126,556
--
130,520
2,946
CPI FIM SA Société Anonyme R.C.S. Luxembourg B 44.996
Name of the undertaking
Country
Ccy
% held
Cost
Cost change
Cost
Accumulated
impairment
Reversal of
impairment /
(impairment)
Accumulated
impairment
Carrying
value
Carrying
value
Net equity
(**)
Result of
2024
31.12.24
31.12.23
in 2024
31.12.24
31.12.23
in 2024
31.12.24
31.12.23
31.12.24
FAMIACO ENTERPRISES
COMPANY LIMITED
Cyprus
EUR
100.00%
1
--
1
(1)
--
(1)
--
--
--
--
Industrial Park Stříbro,
s.r.o.
Czech
Republic
CZK
100.00%
8
--
8
--
--
--
8
8
41
--
JIHOVÝCHODNÍ MĚSTO,
a.s.
Czech
Republic
CZK
100.00%
41,287
--
41,287
(30,881)
(186)
(31,067)
10,406
10,220
10,220
4
Land Properties, a.s.
Czech
Republic
CZK
100.00%
26,558
2,150
28,708
(9,492)
2,100
(7,392)
17,066
21,316
21,316
2,465
Marki Real Estate sp. z o.o.
Poland
PLN
100.00%
22,282
--
22,282
(18,524)
272
(18,252)
3,758
4,030
4,030
213
MQM Czech, a.s.
Czech
Republic
CZK
100.00%
28,383
233
28,615
--
--
--
28,383
28,615
30,816
1,663
NOVÁ ZBROJOVKA, s.r.o.
Czech
Republic
CZK
100.00%
22,465
--
22,465
--
--
--
22,465
22,465
107,420
3,367
Nupaky a.s.
Czech
Republic
CZK
100.00%
7,338
--
7,338
(2,658)
(101)
(2,759)
4,680
4,579
4,579
(16)
ORCO Blumentálska a.s.
Slovakia
EUR
100.00%
2,980
--
2,980
(2,980)
--
(2,980)
--
--
--
--
Orco Bucharest
Cyprus
EUR
100.00%
3
--
3
(3)
--
(3)
--
--
--
--
Pietroni, s.r.o.(***)
Czech
Republic
CZK
100.00%
--
--
--
--
--
--
--
--
15,994
(967)
Polygon BC, a.s.
Czech
Republic
CZK
100.00%
77,324
(1,348)
75,976
--
--
--
77,324
75,976
83,658
4,163
Rezidence Kunratice,
s.r.o.
Czech
Republic
CZK
100.00%
13
--
13
--
--
--
13
13
3,543
181
Rezidence Pragovka, s.r.o.
Czech
Republic
CZK
100.00%
17,079
--
17,079
--
--
--
17,079
17,079
86,060
3,423
Strakonice Property
Development, a.s.
Czech
Republic
CZK
100.00%
221
71
292
(72)
(7)
(79)
149
213
213
(5)
STRM Alfa, a.s.
Czech
Republic
CZK
100.00%
60,260
910
61,170
--
--
--
60,260
61,170
74,468
2,393
STRM Beta, a.s.
Czech
Republic
CZK
100.00%
5,224
1,144
6,368
--
--
--
5,224
6,368
14,155
4,331
STRM Gama, a.s.
Czech
Republic
CZK
100.00%
8,016
--
8,016
--
--
--
8,016
8,016
23,410
2,856
Vysočany Office, a.s.
Czech
Republic
CZK
100.00%
7,770
(164)
7,606
--
--
--
7,770
7,606
10,225
682
WFC Investments sp. z
o.o.(*)
Poland
PLN
0.00%
253,565
(253,565)
--
--
--
--
253,565
--
247,690
(11,008)
Difference due to rounding to thousand EUR and linking Total to
other tables
(3)
1
-1
(1)
--
(1)
(4)
(2)
Total
1,000,381
25,434
1,025,815
(81,012)
(87,112)
(168,124)
919,369
857,691
(*) In-kind contribution to CPI Project and Finance,a. s.
(**) Net equity calculation is based on unaudited Financial Statements in accordance with IFRS as adopted by EU
(***) Acquisition cost is less than 500 EUR
CPI FIM SA Société Anonyme R.C.S. Luxembourg B 44.996
3.2 - Loans to affiliated undertakings
2024
2023
Amount due
3,986,310
4,413,234
Value adjustments
(42,842)
(47,410)
Net value
3,943,468
4,365,824
The Company provides loans to affiliated undertakings with the interest rate range of 0.48%-13.83% p.a. (2023: 0.48%-15.14%
p.a.) and maturity dates until December 2030. The Company provided non-interest bearing loan to Karpouzisi S.à r.l . (formerly
ENDURANCE HOSPITALITY FINANCE S.à r.l.), for which the maturity date is not specified, in the amount of EUR 8,043 thousand
(2023: EUR 8,043 thousand).
Results of value adjustments are reported in Note 17 and Note 22.
3.3 - Participating interests
Name of
the
undertaking
% held
Cost
Cost
change
Cost
Accumulated
impairment
Reversal of
impairment /
(impairment)
Accumulated
impairment
Carrying
value
Carrying
value
31.12.24
31.12.23
in 2024
31.12.24
31.12.23
in 2024
31.12.24
31.12.23
31.12.24
Uniborc S.A.
35.00%
7,725
--
7,725
(7,725)
--
(7,725)
--
--
Total
7,725
--
7,725
(7,725)
--
(7,725)
--
--
The Net Equity of the undertaking is negative in the amount of EUR 3,020 thousand (2023: EUR -1,604 thousand), therefore
the Company applied value adjustment. Results of value adjustments are reported in Note 17 and Note 22.
3.4 - Loans to undertakings with which the undertaking is linked by virtue of participating interests
2024
2023
Amount due
9,164
8,617
Value adjustments
(3,020)
(1,604)
Net value
6,144
7,013
As at 31 December 2024, the Company provided loans to Uniborc S.A. with an interest rate of 3M EURIBOR + 2.28 % p.a.
(2023: 3M EURIBOR + 2.28% p.a.) and maturity date in May 2028. Results of value adjustments are reported in Note 17 and
Note 22.
3.5 - Investments held as fixed assets
Name
State
Ccy
%
held
Cost
Cost
change
Cost
Accumulated
impairment
Reversal of
impairment
(impairment)
Accum.
Impairment
Carrying
value
Carrying
value
as at
31.12.24
31.12.23
in 2024
31.12.24
31.12.23
in 2024
31.12.24
31.12.23
31.12.24
Other
undertakings*
MCO
EUR
0.10%
9
--
9
(4)
--
(4)
5
5
IT000545313
ITA
EUR
--
120,898
(2,090)
118,808
--
--
--
120,898
118,808
Total
120,903
118,813
*The Company uses the Net Equity method for the valuation of non-tradable shares.
IT000545313 Asset-Backed Variable Return Notes of CPI Italy 130 SPV S.r.l.
The Company subscribed notes of Partly Paid Asset Backed Variable Return Notes issued by investments vehicle CPI Italy 130
SPV S.r.l. in total nominal value EUR 300 million in September 2021 with initial investment of EUR 120,234 thousand. In 2024
the Company paid no additional investment (2023: nil) and received partly repayment in the amount of EUR 2,090 thousand
(2023: EUR 32,765 thousand). The notes are repayable on 30 September 2031. Initial maturity date could be extended until
30 September 2036.
3.6 - Other loans
As at 31 December 2024, the Company recognises deposit in the amount of EUR 146 thousand (2023: EUR 146 thousand).
CPI FIM SA Société Anonyme R.C.S. Luxembourg B 44.996
NOTE 4 - CURRENT ASSETS
4.1 - Trade debtors becoming due and payable within one year
2024
2023
Amount due
256
3,260
Value adjustments
--
(236)
Net value
256
3,024
4.2 - Amounts owed by affiliated undertakings becoming due and payable within one year
The amounts owed by affiliated undertakings becoming due and payable within one year contain principals, accrued interest,
other receivables and trade receivables on amounts owed by affiliated undertakings.
As the cash-pool leader, the Company recognised the provided cash pool principal and interest balance within “Other” items.
As at 31 December 2024, the cash-pool provided principal is EUR 60,297 thousand (2023: EUR 53,245 thousand) with the
interest of EUR 416 thousand (2023: EUR 327 thousand).
2024
2023
Principal
Interest
Other
Total
Principal
Interest
Other
Total
Amount due
20,850
120,874
74,036
215,760
577,710
132,317
129,645
839,673
Value adjustments
(3,909)
(2,002)
(1)
(5,912)
(928)
(4,947)
--
(5,875)
Net value
16,941
118,872
74,035
209,848
576,782
127,370
129,645
833,798
Provided loans bear interest within range from 1.47% p.a. to 7.97% p.a. (2023: 1.4%-5.42% p.a.).
4.3 - Amounts owed by affiliated undertakings becoming due and payable after more than one year
The amounts owed by affiliated undertakings becoming due and payable after more than one year contain accrued interest
that is payable together with principal. The Company concluded several interest-bearing assignments contracts within CPIPG
Group, reported as “Other”.
2024
2023
Principal
Interest
Other
Total
Principal
Interest
Other
Total
Amount due
--
51,120
117,911
169,031
--
30,801
--
30,801
Value adjustments
--
--
--
--
--
--
--
--
Net value
--
51,120
117,911
169,031
--
30,801
--
30,801
4.4 - Amounts owed by undertakings with which the undertaking is linked becoming due and payable within one year
The amounts owed by undertakings with which the undertaking is linked becoming due and payable within one year have
been considered as follows:
2024
2023
Principal
Interest
Other
Total
Principal
Interest
Other
Total
Amount due
--
84
--
84
--
89
--
89
Value adjustments
--
--
--
--
--
--
--
--
Net value
--
84
--
84
--
89
--
89
4.5 - Other debtors becoming due and payable within one year
The amounts owed by other debtors becoming due and payable within one year have been considered as follows:
2024
2023
Principal
Interest
Other
Tax
authorities
Total
Principal
Interest
Other
Tax
authorities
Total
Amount due
--
--
839
370
1,209
--
852
828
317
1,997
Value adjustments
--
--
(819)
--
(819)
--
--
(819)
--
(819)
Net value
--
--
20
370
390
--
852
9
317
1,178
CPI FIM SA Société Anonyme R.C.S. Luxembourg B 44.996
NOTE 5 - CAPITAL AND RESERVES
Subscribed capital and share premium account
As at 31 December 2024 and 2023, the subscribed capital of the Company of EUR 13,145,076.29 is represented by
1,314,507,629 ordinary shares. The shares of the Company have a par value of EUR 0.01 per share and are fully paid. Each
share is entitled to a prorate portion of the profits and share capital of the Company, as well as to a voting right and
representation at the time of a general meeting, all in accordance with statutory and legal provisions.
Legal reserve
In accordance with the Commercial Company Law, the Company must appropriate to the legal reserve a minimum of 5% of
the annual net profit until such reserve equals 10% of the subscribed capital. Distribution in form of dividends of the legal
reserve is prohibited.
Movements in capital and reserves
Subscribed
capital
Share
premium
account
Legal reserve
Profit / loss
brought
forward
Profit / loss
for the
financial year
TOTAL
As at 31 December 2023
13,145
784,670
448,132
(465,141)
172,643
953,449
AGM on 31 May 2024 –
allocation of 2023 result
--
--
--
172,643
(172,643)
--
Profit for the financial year
--
--
--
--
27,131
27,131
As at 31 December 2024
13,145
784,670
448,132
(292,498)
27,131
980,580
NOTE 6 - AMOUNTS OWED TO CREDIT INSTITUTIONS
The Company concluded credit facility agreements in the total credit frame of EUR 11,183 thousand
(2023: EUR 16,053 thousand) to grant funds for financing cash requirements of the CPIPG Group, with banks within Société
Générale Group and OTP Banky Nyrt. As at 31 December 2024, unpaid arrangement and commitment fees are in the total
amount of EUR 8 thousand (2023: EUR 18 thousand).
NOTE 7 - AMOUNTS OWED TO AFFILIATED UNDERTAKINGS
7.1 - Amounts owed to affiliated undertakings, becoming due and payable within one year
The Company, as a cash-pool leader, recognised cash-pool open balance as at 31 December 2024 as the other amounts owed
to affiliated undertakings. The Company increased stakes in several Czech undertakings from German undertaking in the
amount of EUR 313,121 thousand (2023: EUR 311,645 thousand), reported as “Other”. The following amounts owed to
affiliated undertakings are considered:
2024
2023
Principal
123,276
88,300
Interest
103,785
103,825
Other
351,831
359,709
Cash-pool principal
37,163
47,690
Cash-pool interest
287
235
Trade
1,871
139
Other
312,510
311,645
Total
578,892
551,834
CPI FIM SA Société Anonyme R.C.S. Luxembourg B 44.996
7.2 - Amounts owed to affiliated undertakings, becoming due and payable after more than one year
2024
2023
Principal
3,845,928
4,861,479
Other
--
--
Total
3,845,928
4,861,479
The Company received loans with interest rate range of 0.00% - 9.00% p.a. (2023: 0.00% - 7.86%p.a.) and maturity dates up
to 27 January 2031.
NOTE 8 - OTHER CREDITORS
8.1 - Other creditors becoming due and payable within one year
The Company received advance for sale of shares of BD Malostranská, a.s. (see Note 3.1), recognised as “Other”.
2024
2023
Interest
--
--
Other
1,788
14
Total
1,788
14
NOTE 9 - OTHER OPERATING INCOME
Other operating income includes mainly administrative service fees provided across the Group. The Company also received
reimbursement of flights rendered within CPIPG Group through the flight service agreement entered in 2024 (see Note 23).
2024
2023
Administrative services
947
1,222
Flight services
3,988
4,734
Others
72
69
Total
5,007
6,025
NOTE 10 - OTHER EXTERNAL EXPENSES
2024
2023
Rental, maintenance and repairs
253
247
Financial services
134
470
Bank fees
50
36
Professional fees - management fee
663
26
Professional fees:
409
418
legal fee
31
122
audit fee
347
94
advisory fee
21
68
other fee
10
134
Insurance fee
1
2
Advertising, publications, public relations
16
16
Travelling costs
15
19
Other various fees
24
23
Total
1,565
1,257
CPI FIM SA Société Anonyme R.C.S. Luxembourg B 44.996
NOTE 11 - STAFF COSTS
The Company had 10 employees in 2024 (2023: 7).
2024
2023
Wages and salaries
647
635
Social security costs
117
120
Total
764
755
NOTE 12 - VALUE ADJUSTMENTS IN RESPECT OF CURRENT ASSETS
2024
2023
Affiliated undertakings
(35)
(3,628)
Other
235
--
Total
200
(3,628)
NOTE 13 - OTHER OPERATING EXPENSES
2024
2023
Flight services
5,074
4,739
Directors fee
62
61
Other
255
23
Total
5,391
4,823
NOTE 14 - INCOME FROM PARTICIPATING INTERESTS DERIVED FROM AFFILIATED UNDERTAKINGS
Income from participating interests derived from affiliated undertakings is as follows:
2024
2023
Dividend
40
542
Gain from disposal of undertakings/disposed undertakings
--
4,939
Total
40
5,481
NOTE 15 - INCOME FROM OTHER INVESTMENTS AND LOANS FORMING PART OF THE FIXED ASSETS
15.1 - Derived from affiliated undertakings
The loans forming part of the fixed assets generated interest income of EUR 237,709 thousand in the year 2024
(2023: EUR 252,831 thousand) and gain from disposal of loans in the amount of EUR 8,435 thousand (2023: EUR 1,581
thousand).
15.2 - Other income not from affiliated undertakings
The loans forming part of the fixed assets provided to interest participating and other parties generated interest income of
EUR 595 thousand (2023: EUR 1,063 thousand).
The Company received variable income from notes of Partly Paid Asset Backed Variable Return Notes issued by investments
vehicle CPI Italy 130 SPV S.r.l. (see Note 3.5) in the amount of EUR 321 thousand (2023: 365 thousand).
CPI FIM SA Société Anonyme R.C.S. Luxembourg B 44.996
NOTE 16 - OTHER INTEREST RECEIVABLE AND SIMILAR INCOME
16.1 - Derived from affiliated undertakings
2024
2023
Interest
22,662
5,200
Foreign currency exchange gains
5,289
49,888
Fair value of FX forward contract
41
2,732
Gains from the disposal of receivables from current assets
448
--
Other
404
86
Total
28,844
57,906
16.2 - Other interest and similar income
2024
2023
Interest
1,465
2,589
Foreign currency exchange gains
1,364
1,340
Other
58
116
Total
2,887
4,045
NOTE 17 - VALUE ADJUSTMENTS IN RESPECT OF FINANCIAL ASSETS AND OF INVESTMENTS HELD AS CURRENT ASSETS
Value adjustments of financial assets are as follows:
2024
2023
Shares
(87,112)
(18,347)
Loans
3,153
22,124
Affiliated undertakings
4,568
19,987
Other
(1,415)
3,137
Total
(83,959)
3,777
The positive value is decrease of value adjustments, the negative value is increase of value adjustments.
NOTE 18 - INTEREST PAYABLE AND SIMILAR EXPENSES
18.1 - Concerning affiliated undertakings
2024
2023
Interest
150,970
146,957
Foreign currency exchange losses
12,901
476
Loss on disposal of shares in affiliated
--
701
Loss on disposal amounts owed by affiliated due to liquidation
--
97
Other
49
--
Total
163,920
148,231
18.2 - Other interest and similar expenses
2024
2023
Interest
3
133
Foreign currency exchange losses
1,140
1,166
Loss on SPOT transactions
43
340
Other
72
100
Total
1,258
1,739
CPI FIM SA Société Anonyme R.C.S. Luxembourg B 44.996
NOTE 19 - TAX ON PROFIT OR LOSS
The Company is subject to Luxembourg income tax and Net wealth tax. Income tax was nil in 2024 and 2023.
2024
2023
Net wealth tax
25
(12)
Other tax
20
Total
45
(12)
NOTE 20 - OFF BALANCE SHEET COMMITMENTS
In relation to the strategy of developing its financing activity, the Company signed several credit facility agreements.
The Company has provided credit facility to following entities:
Type of entity
Drawdown Limit
2024
Drawdown Limit
2023
Affiliated undertakings
5,170,440,000
CZK
3,351,440,000
CZK
417,730,608
EUR
74,000,000
EUR
Affiliated undertakings – entities in CPI Group
28,337,135,272
CZK
39,623,660,348
CZK
4,004,031,540
EUR
5,719,798,540
EUR
201,891,694
GBP
206,950,000
GBP
62,325,240,000
HUF
87,418,469,600
HUF
150,000,000
RON
150,000,000
RON
2,900,000
USD
2,900,000
USD
280,000,000
AED
--
AED
Others (participating interests, related)
319,444,658
EUR
314,416,824
EUR
--
CZK
601,508,056
CZK
The Company has been provided credit facility agreements from following entities:
Type of entity
Drawdown Limit
2024
Drawdown Limit
2023
Affiliated undertakings
269,000,000
CZK
89,000,000
CZK
302,500,000
EUR
297,500,000
EUR
--
PLN
--
PLN
Affiliated undertakings – entities in CPI Group
4,670,800,000
CZK
4,125,800,000
CZK
4,994,883,485
EUR
5,411,883,485
EUR
NOTE 21 - REMUNERATION OF THE MEMBERS OF THE BOARD OF DIRECTORS
The Board attendance compensation for the year 2024 amounts to EUR 62,000 (2023: EUR 61,000). The Annual General
Meeting held on 28 May 2014 resolved to approve, with the effect as of 1 January 2014, the payment of attendance fees to
all independent, non-executive Directors of the Company in the amount of EUR 3,000 per calendar month as a base fee and
empowered the Board of Directors to decide at its sole discretion about the payment of additional fees up to EUR 3,000 per
calendar month to independent, non-executive Directors of the Company.
NOTE 22 - RELATED PARTY TRANSACTIONS
The Company considers entities reported as affiliated undertakings:
- entity, that are owned by the Company (directly or indirectly),
- related party owned directly or indirectly by CPI Property Group S.A.
The Company considers related party reported as other:
- Mr. Radovan Vítek and related party owned by Mr. Radovan Vítek, the ultimate beneficial owner of the Company.
CPI FIM SA Société Anonyme R.C.S. Luxembourg B 44.996
Entity owned by the Company (directly or indirectly) in 2024
Transactions with these partners are part of Notes 3.1, 3.2, 3.3, 3.4, 4.2, 4.3, 4.4, 7.1, 7.2, 12, 14, 15.1, 15.2, 16.1, 17 and 18.1.
BD Malostranská, a.s.
Brno Property Invest XV., a.s.
Bubny Development, s.r.o.
BYTY PODKOVA, a.s.
Camuzzi, a.s.
CD Property s.r.o.
CPI - Krásné Březno, a.s.
CPI - Land Development, a.s.
CPI FIM GOLD, a.s.
CPI FIM WHITE, a.s.
CPI Park Chabařovice, s.r.o.
CPI Park Plzeň, s.r.o.
CPI Park Žďárek, a.s.
CPI Pigna S.r.l.
CPI Podhorský Park, s.r.o.
CPI Project Invest and Finance, a.s.
CPI REV Italy II S.r.l.
CPI South, s.r.o.
Darilia, a.s.
Development Doupovská, s.r.o.
Diana Property Sp. z o.o.
Equator IV Offices sp. z o.o.
Estate Grand, s.r.o.
Eurocentrum Offices sp. z o.o.
FAMIACO ENTERPRISES COMPANY
LIMITED
Industrial Park Stříbro, s.r.o.
JIHOVÝCHODNÍ MĚSTO, a.s.
Land Properties, a.s.
Les Mas du Figuier
Marki Real Estate sp. z o.o.
MQM Czech, a.s.
NOVÁ ZBROJOVKA, s.r.o.
Nupaky a.s.
Pietroni, s.r.o.
Polygon BC, a.s.
Rezidence Kunratice, s.r.o.
Rezidence Pragovka, s.r.o.
SCP Reflets
Strakonice Property Development,
a.s.
STRM Alfa, a.s.
STRM Beta , a.s.
STRM Gama, a.s.
Uniborc S.A.
Vysočany Office, a.s.
WFC Investments sp. z o.o.
Related party owned directly or indirectly by CPI Property Group S.A., with them the Company recognised transactions in
2024 and 2023
Transactions with these partners are part of Notes 3.2, 4.2, 4.3, 7.1, 7.2, 9, 10, 12, 13, 15.1, 15.2, 16.1, 17 and 18.1.
1 Bishops Avenue Limited
Agrome s.r.o.
Andrassy Hotel Zrt.
Andrássy Real Kft.
Angusland s.r.o.
Balvinder, a.s.
Baudry Beta, a.s.
BAYTON Alfa, a.s.
BAYTON Gama, a.s.
Best Properties South, a.s.
Biochov s.r.o.
Biopotraviny s.r.o.
BPT Development, a.s.
Březiněves, a.s.
BRNO INN, a.s.
Brno Property Development, a.s.
Brno Property Invest I., s.r.o.
Brno Property Invest II., s.r.o.
Byty Lehovec, s.r.o.
CAMPONA Shopping Center Kft.
Carpenter Invest, a.s.
CEE PROPERTY-INVEST Immobilien
GmbH
Ceratopsia, a.s.
Českolipská farma s.r.o.
Českolipská zemědělská a.s.
Chuchle Arena Praha, s.r.o.
(merged with V Team Prague,
s.r.o.)
Conradian, a.s.
CPI - Bor, a.s.
CPI - Horoměřice, a.s.
CPI - Orlová, a.s.
CPI - Real Estate, a.s.
CPI - Zbraslav, a.s.
CPI Beet, a.s.
CPI Black, s.r.o.
CPI Blatiny, s.r.o.
CPI BYTY, a.s.
CPI Development Services, s.r.o.
(formerly Brno Development
Services, s.r.o.)
CPI East,s.r.o.
CPI Energo Slovakia, s.r.o.
CPI Energo, a.s.
CPI Facility Management Kft.
CPI Facility Slovakia, a.s.
CPI Finance CEE, a.s.
CPI Flats, a.s.
CPI Green, a.s.
CPI Group Services, a.s.
CPI Hotels Poland sp. z o.o.
CPI Hotels Properties, a.s.
CPI Hotels Slovakia, s. r. o.
CPI Hotels, a.s.
CPI Hungary Investments Kft.
CPI Hungary Kft.
CPI IMMO
CPI Kappa, s.r.o.
CPI Management, s.r.o.
CPI Národní, s.r.o.
CPI Office Business Center, s.r.o.
CPI Office Prague, s.r.o.
CPI Park Jablonné v Podještědí,
s.r.o.
CPI Poland Property Management
sp. z o.o.
CPI Poland Sp. z o.o.
CPI Property Group S.A.
CPI Property, s.r.o.
CPI Reality, a.s.
CPI Retail One Kft.
CPI RETAIL PORTFOLIO HOLDING
Kft.
CPI Retail Portfolio I, a.s.
CPI Retail Portfolio VIII s.r.o.
CPI Sekunda, s.r.o.
CPI Septima, s.r.o.
CPI Services, a.s.
CPI Shopping MB, a.s.
CPI Shopping Teplice, a.s.
CPI Silver, a.s.
CPI Smart Power, a.s.
CPI Solar ONE, a.s.
CPI Solar Slovakia ONE, s.r.o.
CPI Théta, a.s.
CPI Žabotova, a.s.
CPIPG Management S.à r.l.
CPIPG Retails Holding S.à r.l.
CT Development sp. z o.o.
CZ Hotel Properties JV, s.r.o.
(formerly CPI Kvinta, s.r.o.)
Czech Property Investments, a.s.
Děčínská zemědělská a.s.
Diana Development sp. z o.o.
Eclair s.r.o. (formerly Eclair
Aviation s.r.o.)
EMH South, s.r.o.
Europeum Kft.
Farhan, a.s.
Farma Ploučnice a.s.
Farma Svitavka s.r.o.
Farmy Frýdlant a.s.
FL Property Development, a.s.
Futurum HK Shopping, s.r.o.
FVE Dělouš, s.r.o.
FVE Radkyně, s.r.o.
FVE roofs & grounds, s.r.o.
Gebauer Höfe Liegenschaften
GmbH
GSG ARMO
Verwaltungsgesellschaft mbH
GSG Asset GmbH & Co.
Verwaltungs KG
GSG Berlin GmbH (formerly
Gewerbesiedlungs-Gessellschaft
mbH)
CPI FIM SA Société Anonyme R.C.S. Luxembourg B 44.996
GSG Berlin Invest GmbH
GSG Europa Beteiligungs GmbH
GSG Gewerbehöfe Berlin 1. GmbH
& Co. KG
GSG Gewerbehöfe Berlin 2. GmbH
& Co. KG
GSG Gewerbehöfe Berlin 3. GmbH
& Co. KG
GSG Gewerbehöfe Berlin 4. GmbH
& Co. KG
GSG Gewerbehöfe Berlin 5. GmbH
& Co. KG
HD Investment s.r.o.
Hightech Park Kft.
Hospitality invest S.à r.l.
HOTEL U PARKU, s.r.o.
Hraničář, a.s.
IS Nyír Kft.
IS Zala Kft.
JAGRA spol. s r.o.
Janáčkovo nábřeží 15, s.r.o.
Jetřichovice Property, a.s.
Karnosota, a.s.
Karpouzisi S.à r.l. (formerly
ENDURANCE HOSPITALITY
FINANCE S.à r.l.)
Kerina, a.s.
KOENIG Shopping, s.r.o.
Kunratická farma, s.r.o.
LD Praha, a.s.
Le Regina Warsaw Sp. z o.o.
Lockhart, a.s.
Lucemburská 46, a.s.
Marcano, a.s.
Marissa Omikrón, a.s.
Marissa Tau, a.s.
Marissa Théta, a.s.
Marissa West, a.s.
MARRETIM s.r.o.
Mercuda, a.s.
MMR RUSSIA S.à r.l.
Moniuszki Office sp. z o.o.
MUXUM, a.s.
Na Poříčí, a.s.
New Age Kft.
Nymburk Property Development,
a.s.
Olomouc Building, a.s.
Orchard Hotel a.s.
Outlet Arena Moravia, s.r.o.
OZ Trmice, a.s.
Ozrics Kft.
PCC - Hotelerrichtungs- und
Betriebsgesellschaft m.b.H. & Co.
KG
Peponisi S.à r.l. (formerly
ENDURANCE HOSPITALITY ASSET
S.à r.l.)
Platnéřská 10 s.r.o.
Pólus Shopping Center Zrt.
PROJECT FIRST a.s.
Projekt Nisa, s.r.o.
Projekt Zlatý Anděl, s.r.o.
Prostějov Investments, a.s.
PV - Cvikov s.r.o.
Real Estate Energy Kft.
Residence Belgická, s.r.o.
Residence Izabella Zrt.
Rezidence Jančova, s.r.o.
Rezidence Malkovského, s.r.o.
RISING FALCON HOLDING LIMITED
Rizeros, a.s.
Savile Row 1 Limited
SC Czech AHG, s.r.o.
SCP Reflets
Seattle, s.r.o.
Sentreta, a.s.
Spojené farmy a.s.
ST Project Limited
Statek Kravaře, a.s.
Statenice Property Development,
a.s.
Tachov Investments, s.r.o.
Telč Property Development, a.s.
Tepelné hospodářství Litvínov
s.r.o.
Třinec Property Development, a.s.
Turf Praha a.s. (merged with
Závodiště Chuchle, a.s.)
Tyršova 6, a.s.
U svatého Michala, a.s.
Uchaux Limited
Uniborc S.A.
V Team Prague, s.r.o.
Verneřický Angus a.s.
Vigano, a.s.
Vulpixo, s.r.o.
WXZ1 a.s. v likvidaci
Závodiště Chuchle, a.s. (merged
with Turf Praha a.s.)
Zelená farma s.r.o.
Zelená louka s.r.o.
ZEMSPOL s.r.o.
ZET.office, a.s.
Related party owned by Mr. Radovan Vítek reported as other
Transactions with these partners are part of Notes 4.1 and 9.
Aspermont S. à r.l.
Boville S. à r.l.
CPIPG Holding S.à r.l.
Efimacor S.à r.l.
Larnoya Invest S.à r.l.
Logan Estates S.à r.l. – Ed Hughes
Ravento S.à r.l.
Senales Invest S.à r.l.
Rizalit, a.s.
Vítek Radovan
Other related party reported as Other linked by management of the Company – investments vehicle
Transactions with these partners are part of Notes 3.5 and 15.2.
CPI Italy 130 SPV S.r.l.
CPI FIM SA Société Anonyme R.C.S. Luxembourg B 44.996
NOTE 23 - LITIGATIONS
Kingstown dispute in Luxembourg
On 20 January 2015, the Company was served with a summons containing petition of the three companies namely Kingstown
Partners Master Ltd. of the Cayman Islands, Kingstown Partners II, LP of Delaware and Ktown LP of Delaware (together
referred to as „Kingstown“), claiming to be the shareholders of CPI FIM SA, filed with the Tribunal d´Arrondissement de et a
Luxembourg (the “Luxembourg Court”). The petition seeks condemnation of CPIPG, CPI FIM and certain members of CPI FIM
SA’s board of directors as jointly and severally liable to pay damages in the amount of EUR 14.5 million and compensation for
moral damage in the amount of EUR 5 million. According to Kingstown’s allegation the claimed damage has arisen as a
consequence of inter alia alleged violation of CPI FIM’s minority shareholders rights.
The Management of the Company has been taking all available legal actions to oppose these allegations in order to protect
the corporate interest as well as the interest of its shareholders. Accordingly, the parties sued by Kingstown raised the
exceptio judicatum solvi plea, which consists in requiring the entity who initiated the proceedings and who does not reside
in the European Union or in a State which is not a Member State of the Council of Europe to pay a legal deposit to cover the
legal costs and compensation procedure. On 19 February 2016 the Luxembourg Court rendered a judgement, whereby each
claimant has to place a legal deposit in the total amount of EUR 90 thousand with the “Caisse de Consignation” in Luxembourg
in order to continue the proceedings. Kingstown paid the deposit in January 2017, and the litigation is pending. In October
2018, Kingstown's legal advisers filed additional submission to increase the amount of alleged damages claimed to EUR 157.0
million, without prejudice to interest. The Company continues to believe the claim is without merit.
On 21 June 2019 the Company received a first instance judgment, which declared that a claim originally filed by Kingstown in
2015 was null and void against CPIPG. The Court dismissed the claim against CPIPG because the claim was not clearly pleaded
(“libellé obscur”). Specifically, Kingstown did not substantiate or explain the basis of their claim against CPIPG and failed to
demonstrate how CPIPG committed any fault.
In December 2020, the Luxembourg Court declared that the inadmissibility of the claim against CPIPG and certain other
defendants has not resulted in the inadmissibility of the litigation against the Company and the remaining defendants. Some
defendants have decided to appeal against this judgment of which declared the claim admissible against CPI FIM. On 28 March
2023 the court of appeal has rejected the appeal and therefore the case will be heard on the merits before the first instance
Luxembourg Court during 2025.
Disputes related to warrants issued by the Company
CPI FIM was sued by holders of the warrants holders of 2014 Warrants registered under ISIN code XS0290764728 (the “2014
Warrants“). The first group of the holders of the Warrants sued CPI FIM for approximately EUR 1.2 million in relation to the
Change of Control Notice published by CPI FIM, notifying the holders of the 2014 Warrants that the Change of Control, as
defined in the Securities Note and the Summary for the 2014 Warrants, occurred on 8 June 2016. The second holder of the
2014 Warrants sued CPI FIM for approximately EUR 1 million in relation to the alleged change of control which allegedly
occurred in 2013. These litigations are pending. CPI FIM is defending itself against these lawsuits.
It is reminded that in accordance with the judgement of the Paris Commercial Court pronounced on 26 October 2015
concerning the termination of the CPI FIM’s Safeguard Plan, liabilities that were admitted to the Safeguard, but are conditional
or uncalled (such as uncalled bank guarantees, conditional claims of the holders of 2014 Warrants registered under ISIN code
XS0290764728, provided that they were admitted to the Safeguard plan), will be paid according to their contractual terms.
Pre-Safeguard liabilities that were not admitted to the CPI FIM’s Safeguard will be unenforceable. As such, only claims of
holders of the 2014 Warrants, whose potential claims were admitted to the CPI FIM’s Safeguard Plan, could be considered in
respect of the present Change of Control. Claims of holders of the 2014 Warrants that were not admitted to the CPI FIM’s
Safeguard will be unenforceable against CPI FIM. To the best of Company’s knowledge, none of the holders of the 2014
Warrants who sued CPI FIM filed their claims 2014 Warrants related claims in the CPI FIM’s Safeguard Plan.
On 9 March 2023 the Luxembourg Court issued a judgment, rejecting the claims of the holders of the 2014 Warrants. The
Luxembourg Court confirmed that any claim in relation to the change of control provision had to be made, in accordance with
the provisions of the Paris Commercial Code, within 2 months as from the date of publication of the judgement opening the
Safeguard Procedure in the French Official Gazette. Since the claimants did not comply with this obligation, their claim for
payment under the change of control provision is not well-founded and has to be rejected. The claimants did not appeal and
the case is closed now.
NOTE 24 - POST BALANCE SHEET EVENTS
The Company finished in January 2025 sale of shares of BD Malostranská, a.s. to third party.
There have been other material post balance sheet events that would require disclosure or adjustment to these annual
accounts.
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