ANNUAL REPORT
2023
21 March 2024
DK - 1263 Copenhagen K
CVR 25 67 92 88
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · MANAGEMENT REVIEW
0
THE A.P. MOLLER GROUP
The A.P. Moller Group is a diversified group of industry companies. While independently run with dedicated boards
and executive teams, we encourage and facilitate collaboration, networking, and sharing of best practices across our
portfolio companies. A.P. Moller Holding is the parent company of the Group, investing in and building businesses with
a positive impact on society – ‘nyttig virksomhed’.
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ANNUAL REPORT 2023
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CONTENTS
A.P. Møller Holding A/S (hereafter referred to as A.P. Moller Holding) is the parent company
of the A.P. Moller Group (the Group). The Annual Report of A.P. Moller Holding includes
management review, consolidated financial statements, and parent company financial
statements. The term A.P. Moller Holding group (the group) is used in the Annual Report
for controlled and consolidated companies.
The 2022 comparative figures are stated in brackets, except in ‘Letter from the CEO’.
A.P. Møller Holding A/S
Esplanaden 50 • DK-1263 Copenhagen K • Registration number: 25 67 92 88 • apmoller.com
MANAGEMENT REVIEW 2
Letter from the CEO ................................................................................................... 3
Five-year summary ..................................................................................................... 6
Financial performance ............................................................................................... 7
Building a portfolio of platforms for the future ................................................. 12
Risk management .................................................................................................... 16
Corporate social responsibility ............................................................................. 18
Sustainability highlights ......................................................................................... 20
Board of Directors ................................................................................................... 22
Executive Board ....................................................................................................... 23
FINANCIAL STATEMENTS 24
Consolidated financial statements ....................................................................... 25
Basis of preparation ................................................................................................ 31
Operating profit ....................................................................................................... 34
Invested capital ........................................................................................................ 38
Capital and financing .............................................................................................. 56
Other disclosures .................................................................................................... 73
Parent company financial statements ................................................................. 94
REPORTS 103
Management’s statement.................................................................................... 104
Independent auditor’s report .............................................................................. 105
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · MANAGEMENT REVIEW
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ROBERT M. UGGLA
CEO
The A. P. Moller Group experienced yet another eventful year in
2023, with a sharp drop in container freight rates, wars in
Ukraine and the Middle East, drought curtailing Panama Canal
transits, coupled with elevated interest rates and inflation in
some of the Group’s most important markets. At the end of the
year, Houthi attacks on the global merchant fleet in the Bab al-
Mandab Strait, in the vicinity of the Red Sea, forced seaborne
trade to circumvent the Suez Canal and sail south of the Cape of
Good Hope, adding more than 13,000 km to a round trip voyage
from Shanghai to Rotterdam.
The Group concluded 2023 with revenue of DKK 389bn (USD
56bn), EBITDA of DKK 72bn (USD 10bn), a net result of DKK
35bn (USD 5bn), and consolidated assets of DKK 740bn (USD
110bn).
During the year, the parent company of the Group, A. P. Moller
Holding, pursued investments and add-on acquisitions across
its segments ‘public markets’, ‘principal holdings’, ‘growth eq-
uity’, and ‘scale-ups’. The principal and growth equity portfolio
investments remain centred around the investment themes
‘global trade’, ‘the energy transition’, ‘circularity, water & waste
recovery’, and ‘demographic & societal change’.
At the end of 2023, A. P. Moller Holding was debt free, with a
full year cash inflow of DKK 43bn (USD 6bn). The net asset
value increased 8% to DKK 214bn (USD 32bn), mainly driven by
a strong rebound of Danske Bank and Noble and with the public
markets portfolio DKK 46bn (USD 7bn) recording a 16% return
for the year.
GEOPOLITICS AT THE CENTRE OF FUTURE TRADE
Several of our Group’s activities are closely linked to the devel-
opment of global supply chains and trade.
For the last few years, global trade has been growing at a slower
rate than the world economy – a stark contrast to what has been
the prevalent trend since the end of the Cold War. Some of the
traditional east-west trade routes are slowly losing their historic
prominence. Instead, trade blocs and intra-regional trade play
an increasingly important role, influencing how cargo is sourced
and moved.
Shifting trade patterns are most apparent in the US, which has
increased its share of imports from Southeast Asia and Mexico,
while reducing its share of imports from China. Other trading re-
lationships are likely to be reshaped over the coming years as
the cumulative effect of geopolitics and industrial policies has
begun to impact supply chain decisions. Surveys of European
and US businesses indicate an interest in relocating operations,
and foreign direct investment flows into China have slowed
sharply.
The Southeast Asia nations are among the biggest winners from
the structural changes of trade. Cumulative ASEAN trade is
forecasted to grow USD 1.2 trillion in the next ten years as the
region emerges as a destination for companies seeking to de-
crease their dependence on China-based manufacturing. India is
also expected to benefit from this trend, as it is expanding trade
with the US and European counterparts, while at the same time
seeing trade growth with other parts of the world, including
Russia.
LETTER FROM THE CEO
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In addition, after a few decades of relative peace and stability in
international waters, maritime traffic is now subject to violent
attacks. The Black Sea transit has been adversely affected since
Russia invaded Ukraine and recent disruptions in the Red Sea
are challenging long-held assumptions about safe passage for
shipping and international trade.
In 2023, containerised trade normalised after two years of pan-
demic lockdowns with extensive fiscal stimulus programmes
driving an unprecedented boom in consumer demand. The mar-
ket correction began in the end of 2022 as supply chain bottle-
necks gradually eased. In addition, the oversupply of new con-
tainer ships started to weigh heavily on freight rate sentiment.
After the strong container shipping environment in recent years,
this is a powerful reminder of the cyclical nature of shipping and
how asset utilisation is partly a function of the industry’s new-
building activities. With this in mind, and while container vol-
umes are expected to grow in the coming years, some of A.P.
Moller - Maersk’s competitors’ massive orderbooks are likely to
weigh heavily on freight rates for several years.
Geopolitics, and the shifting geometry of trade, present chal-
lenges for many of our customers and emphasise the oppor-
tunity for our Group to serve customers by providing more relia-
ble and extensive supply chain offerings. Some customers are
already relocating their supply chains to reduce risk and add re-
silience to their operations, requiring enhanced logistics related
infrastructure and scaled solutions. Looking beyond its liner and
logistics activities, A.P. Moller – Maersk’s port division APM
Terminals is also enhancing supply chain efficiencies, including
the USD 1bn expansion in Rotterdam, advancements in auto-
mation at Pier 400 in Los Angeles, and plans for new terminal
developments such as the announced joint venture in Hai
Phong, Vietnam.
Maersk Tankers, another affiliate of A. P. Moller Holding, experi-
enced strong markets due to disrupted supply chains (impacted
by the Russian oil sanctions, the low water levels in the Panama
Canal, as well as the attacks by Houthi rebels pushing more
ships to sail south of the Cape of Good Hope) increasing the
tonne mile requirements for tanker ships. At the same time, and
contrary to container shipping, the strong freight markets were
benefiting from limited newbuilding activity of tanker ships. As a
result, Maersk Tankers and its related activities demonstrated
strong results for 2023 with a positive outlook for 2024, as de-
mand continues to outpace the supply of available ships.
Also A.P. Moller Capital experienced an active year with a new
fund and close to USD 2bn in assets under management. A.P.
Moller Capital has, over the last years, made 14 investments in
critical logistics and energy related infrastructure in emerging
markets, employing approximately 18,000 employees through
these activities.
A SHIPPING PORTFOLIO EMBRACING THE ENERGY
TRANSITION
In 2023, our colleagues in A.P. Moller - Maersk marked a note-
worthy achievement in their efforts to reduce emissions in the
transport industry by introducing the world's first green fuel-
enabled container ship: Laura Maersk. Her name is a historic
recognition of our Group’s first steam ship delivered in 1886
during the second industrial revolution. Laura Maersk is a first
step in turning trade greener. By 2030, A.P. Moller - Maersk will
need a million tons of green fuels to deliver on its pledges for
low carbon operations, while current global production of green
methanol is currently under 100,000 tons. On a positive note,
A.P. Moller - Maersk’s initiative to embrace methanol as a fuel
has triggered a strong interest in producing green methanol. In
November, the industry’s first fuel contract for the annual pro-
duction of 500,000 tons of green methanol from 2026 onwards
was signed between A.P. Moller - Maersk and Goldwind.
Also Maersk Tankers has embraced new market opportunities.
In 2023, Maersk Tankers re-entered the gas segment, offering
voyage management services to owners with Very Large Gas
Carrier fleets, with close to 30 ships under management by the
end of the year. It also announced the order of up to ten Very
Large Ammonia Carriers. The latter ships will enable seaborne
transport of clean ammonia, making Maersk Tankers a reliable
transportation partner of the green hydrogen economy. Finally,
in January 2024, Maersk Tankers announced the acquisition of
Penfield Marine, adding another 80 vessels to the commercial
management platform as well as the deep industrial expertise of
the Penfield Marine team.
Among our Group’s scale-ups, ZeroNorth has experienced sig-
nificant growth since its founding three years ago. The venture
has rapidly expanded its customer portfolio and digital prod-
ucts, with the objective to reduce emissions in ocean based
trade. Its platform is currently used by more than 4,800 vessels
and 210 customers. In October, ZeroNorth acquired AlphaOri, a
leader in sensor-based vessel performance solutions. The com-
bination, with closing in February 2024, enables ZeroNorth to
offer a more comprehensive platform suite of voyage optimisa-
tion, vessel performance, and bunkering solutions to ship opera-
tors with a team of 500+ software and data engineers.
In May 2023, A.P. Moller Holding acquired Maersk Supply Ser-
vice from the listed company A.P. Moller - Maersk. We believe
Maersk Supply Service benefits from a more focused ownership
structure with a dedicated Board of Directors. Following the
acquisition, Maersk Supply Service announced a new strategic
direction, with two focus areas: Offshore service vessels target-
ing traditional offshore related installations and a new division
providing offshore wind services. Maersk Supply Service has
one wind installation vessel, which has already been secured for
a contract in the US, shortly after projected delivery in 2025. Its
proprietary vessel design and technology will significantly in-
crease efficiencies in the installation of offshore turbines and
support a faster implementation of renewable energy.
The shipping industry’s energy transition ultimately depends on
stronger regulatory frameworks. At UN's annual COP meeting in
November 2023, A.P. Moller - Maersk and other leading players
in the industry called for lawmakers to introduce measures to
accelerate the decarbonisation of global maritime transport, in-
cluding a joint declaration of a carbon tax scheme to close the
price gap between fossil and green fuels.
A.P. MØLLER HOLDING A/S
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A GROWING INDUSTRIAL PORTFOLIO
After A.P. Moller Holding was established, our Group has expe-
rienced a growing portfolio of industrial activities, propelled by
our principal investment team’s diligent efforts to build new
platforms with promising long-term tail wind. Several of these
portfolio companies experienced strong underlying growth and
the easing of supply chain bottlenecks during 2023:
1. KK Wind Solutions. During the year, KK Wind Solutions
closed its acquisition of Vestas’ converter and controls
business as part of a long-term supply partnership with
Vestas. When A.P. Moller Holding acquired KK Wind Solu-
tions in 2019, it was a midsized company in a fragmented
and financially challenged industry. During our ownership,
KK Wind Solutions has nearly quadrupled in size and kept
expanding its solutions to support the large Original Equip-
ment Manufacturers of the wind industry. The platform will
gain further customer relevance with the integration of Nis-
sens Cooling Solutions in 2024.
2. Faerch. In 2023, Faerch has continued to expand its market-
leading offering of circular food packaging. The company
has grown substantially in the last few years with Faerch
posting strong results in 2023, after completing the integra-
tion of the Paccor acquisition. In addition, Faerch continued
to invest in recycling capacity to grow its access to and
sourcing of recyclable PET, to enable circular tray-to-tray
packaging lines of products. The company acquired a
smaller company in the US as part of its longer-term growth
strategy.
3. Unilabs. During 2023, Unilabs recorded continued underly-
ing growth, excluding the temporary impact from Covid-19
testing during the pandemic. However, inflationary pressure
in 2022 and 2023 had a negative impact on margins, with
management pursuing a restructuring to improve opera-
tional performance. The company continues to see long-
term growth, driven by higher propensity of testing due to
an ageing demographic in Europe and the increased re-
quirements of a more value-based healthcare system to en-
able more cost effective medical solutions.
NORDIC BANKING REACHES HISTORIC HIGHS
In 2023, the Nordic banking industry benefited from strong local
markets and the interest rate environment. After several chal-
lenging years, Danske Bank has turned a corner, delivering a ro-
bust net income and improved profitability in 2023. The strong
balance sheet allows the bank to be a reliable partner to its cus-
tomers, while it also enables the bank to increase shareholder
distributions through dividends and share buybacks.
THANKS TO OUR COLLEAGUES ACROSS THE GLOBE
Geopolitics introduces considerable uncertainty to our Group’s
outlook. Military conflicts around the world have reached the
highest level in decades. In addition, more than 60 countries, in-
cluding half of the world’s population, will choose new govern-
ments this year against a backdrop of deepening polarisation,
rising numbers of displaced people, digital election interference,
rising government debt levels, and populism.
Specifically for our Group, 2023 ended with multiple distressing
attacks on cargo ships in the vicinity of the Red Sea, including
Maersk vessels. We are alarmed by the escalation of this tragic
conflict, which will also hold far-reaching implications for global
supply chains in the coming year. In these difficult times, the
safety of our seafarers is always at the forefront of our minds.
In closing, let me express my sincere gratitude to our many col-
leagues across the Group for their relentless efforts and unwa-
vering dedication to provide our customers with reliable and
sustainable products and services.
After A.P. Moller Holding was
established, our Group has
experienced a growing portfolio of
industrial activities, propelled by our
principal investment team’s diligent
efforts to build new platforms with
promising long-term tail wind.
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · MANAGEMENT REVIEW
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FIVE-YEAR SUMMARY
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · MANAGEMENT REVIEW
HIGHLIGHTS
2023 has been a volatile year impacted by the war in
Ukraine, rising interest rates globally, armed conflict be-
tween Israel and Hamas, and increased tensions around the
Red Sea
After its most profitable year ever, A.P. Moller – Maersk ex-
perienced a challenging market environment with container
freight rates falling as much as 80% from their 2022 peak
The world’s first green methanol-enabled container vessel,
named Laura Maersk, was launched, marking an important
step towards the future decarbonisation of the shipping in-
dustry
An order for up to ten Very Large Ammonia Carriers
(VLACs) has been placed with the first four due to be deliv-
ered from late 2026. The vessels will be operated by Maersk
Tankers
Danske Bank delivered a solid financial performance and
sustained execution of its commercial agenda
Maersk Supply Service was acquired by A.P. Moller Holding
to drive a transition to, over time, become a leading offshore
marine company servicing the offshore wind industry
We established a growth equity team and invested in seven
growth companies to date
Financial markets have been fluctuating and our financial
portfolio performance ended at a return of 16%
Amounts in DKKm
2023
2022
2021
2020
2019
INCOME STATEMENT
Revenue
388,950
611,207
408,025
276,958
275,032
Result before depreciation, amortisation and impairment losses, etc. (EBITDA)
71,762
265,551
154,266
57,378
42,193
Share of profit in associated companies
7,119
1,171
4,695
2,016
3,944
Result before financial items (EBIT)
33,771
216,859
128,547
19,115
15,187
Financial items, net
5,065
- 6,682
- 4,660
- 6,674
- 5,281
Result for the year
35,425
203,808
118,975
9,987
6,577
A.P. Møller Holding A/S' share of the result
18,713
82,579
51,527
4,737
4,772
Average number of employees
128,733
125,399
93,076
88,191
88,006
BALANCE SHEET
Total assets as of 31 December
740,213
790,315
579,049
421,819
462,222
Total equity as of 31 December
503,890
541,394
374,790
249,202
262,940
CASH FLOW STATEMENT
Cash flow from operating activities
80,640
249,113
141,824
55,885
44,586
Purchase of property, plant and equipment
15,588
- 27,517
- 23,260
- 9,957
- 16,037
FINANCIAL RATIOS
Proposed dividend to the A.P. Moller Foundation
1,000
2,500
2,000
600
400
Return on equity
6.8%
44.5%
38.1%
3.9%
2.5%
Equity ratio
68.1%
68.5%
64.7%
59.1%
56.9%
A.P. MØLLER HOLDING A/S
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7
A.P. Moller Holding is the parent company of the A.P. Moller
Group, investing in ‘nyttig virksomhed’ – building and develop-
ing businesses that have a positive impact on society. Our focus
is to build and buy platforms within our four thematic invest-
ment areas: Global trade; The energy transition; Circularity, wa-
ter & waste recovery; and Demographic & societal change.
A.P. Moller Holding group delivered a consolidated revenue of
DKK 389bn, a net result of DKK 35bn ending the year with a to-
tal equity of DKK 504bn. Operating profit and earnings de-
creased compared to 2022, reflecting mainly normalisation from
the disruptions of the supply chains during 2020-2022 due to
Covid-19. Parts of the portfolio experienced growth, partly due
to acquisitions completed in 2022 and the first quarter of 2023.
A.P. Moller Holding recorded a cash inflow from our portfolio
companies of DKK 43bn.
Total assets and consolidated equity decreased, mainly due to a
lower USD exchange rate (3% decrease compared to 2022).
Net asset values increased by 8%, mainly driven by the increase
in Danske Bank’s and Noble’s share prices as well as positive
total shareholder return from our shareholding in A.P. Moller –
Maersk and a return of 16% in our financial portfolio which ben-
efitted from the positive development in the global financial
markets.
Our valuation of the privately owned portfolio companies re-
mained unchanged throughout the year, however with changes
on portfolio company level.
OPERATING ACTIVITIES
Revenue for 2023 declined by 36% to DKK 389bn (DKK 611bn).
Our businesses within The energy transition and Circularity have
seen a positive development in revenue, but the significant de-
cline in container shipping volumes and rates has resulted in a
rapid and steep correction for the Global trade theme.
FINANCIAL PERFORMANCE
A.P. Moller Holding delivered a consolidated result of DKK 35bn
and a return on equity of 8%. We benefited from cash inflow of
DKK 43bn and experienced an increase in net asset value of
DKK 15bn to DKK 214bn as a result of strong performance in
the financial markets.
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · MANAGEMENT REVIEW
REVENUE (DKKm)
TOTAL ASSETS (DKKm)
TOTAL EQUITY (DKKm)
275,032
276,958
408,025
611,208
388,950
2019 2020 2021 2022 2023
462,222
421,819
579,049
790,315
740,213
2019 2020 2021 2022 2023
262,940
249,202
374,790
541,394
503,890
2019 2020 2021 2022 2023
7
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · MANAGEMENT REVIEW
8
OPERATING COSTS
Operating costs decreased with 8% during 2023, mainly due to
Maersk Drilling no longer being part of the financial consolida-
tion after the company’s merger with Noble in October 2022.
Operating costs continued to be negatively impacted by ele-
vated inflation levels as well as various costs due to several stra-
tegic acquisitions and transformation projects across the organ-
isation.
A.P. Moller Holding’s administrative costs have increased as we
continue to add resources and capabilities within the organisa-
tion. At the end of 2023, the organisation counted 55 employ-
ees, up from 50 the year before.
EBITDA
Our operating profit decreased from DKK 266bn in 2022 to DKK
72bn, negatively impacted by lower earnings in A.P. Moller –
Maersk. Unilabs, Faerch, and KK Wind Solutions all contributed
positively with earnings improvements, partly as a result of syn-
ergies from acquisitions and lower commodity and energy
prices compared to last year.
EBIT
EBIT amounted to DKK 34bn compared to DKK 217bn in 2022,
negatively impacted by the normalisation of container freight
rates and positively by improved profitability of our associated
companies, Danske Bank and Noble.
FINANCIAL ITEMS
Net financial income increased with DKK 12bn to DKK 5bn,
mainly reflecting net fair value gains from the financial portfolio,
as volatility in exchange rates and high interest expenses are
still impacting the financial items negatively.
TAX
Corporate income taxes comprise taxes calculated in accord-
ance with various countries’ tax regimes. Land-based activities,
which are subject to normal corporate income tax, include termi-
nals, logistics, services and shipping agencies, sale of industrial
products, diagnostics services, and financial profit from other
equity investments. The taxation of shipping income is based on
tonnage tax regimes and applies to the vast majority of the
group’s activities in 2023 (and 2022). Given the liability to ton-
nage tax is not impacted by financial profits, and is payable even
in loss making years, the effective tax rate metric can fluctuate
significantly.
Tax for the year amounted to DKK 3bn compared to DKK 6bn in
2022.
A.P. Moller Holding group will become subject to the minimum
tax for all jurisdictions via implementation of Global Minimum
Taxation (OECD Pillar II), effective in Denmark as of 1 January
2024. Taking the transitional Safe Harbour regulations into con-
sideration, our analysis shows that no material top-up tax
should apply in 2024.
RESULT FOR THE YEAR
Result for the year decreased from a record high of DKK 204bn
in 2022 to DKK 35bn, mainly reflecting the normalised market
situation within the global container shipping business.
A.P. Moller Holding’s share of the result was DKK 19bn com-
pared to DKK 83bn in 2022. The share of result was positively
impacted by the group’s share of the result in associated com-
panies, mainly Danske Bank and Noble, as well as fair market
value adjustments in our financial portfolio.
Overall, the result was negatively impacted by a decrease in the
DKK/USD average exchange rate of 3% compared to last
year’s average rate, as a number of entities within global trade
report in USD.
The result for the year is in line with the expectations set in the
Annual Report 2022.
FINANCIAL DEVELOPMENT IN PORTFOLIO COMPANIES
In 2023, the logistics markets experienced a normalisation from
the disruptions of the industry in 2020-2022 due to Covid-19, ac-
celerating already existing issues in the global supply chains
and with a significant impact on world trade. A.P. Moller –
Maersk delivered a revenue of DKK 352bn corresponding to a
decrease of 39% driven by the continued transition from peak
levels of the Covid-19 years to an environment pressured by in-
creased overcapacity within container shipping.
A.P. Moller - Maersk approved a dividend of DKK 515 (DKK
4,300) per share based on a pay-out ratio of 30% in line with its
dividend policy. The fifth phase of the share buy-back pro-
gramme initiated in November 2023 was terminated in February
2024.
A.P. Moller – Maersk has concluded that a spin-off of Svitzer as
a standalone listed entity is the best option for the company and
the long-term value creation for A.P. Moller – Maersk’s share-
holders. Svitzer is anticipated to have its first day of trading 30
April 2024 subject to approval at A.P. Moller – Maersk's extraor-
dinary general meeting in April. Upon the demerger, A.P. Moller
Holding group will receive pro-rata of the shares in Svitzer
Group and expects to maintain de facto control of the company.
Danske Bank reported a net profit of DKK 21.3bn compared to a
net loss of DKKK 5.2bn in 2022 (a profit of DKK 10.8bn when
adjusted for the impact of the final resolutions of the Estonia
matter and goodwill impairment charges). While net interest in-
come decreased slightly due to one-off interest payments, the
net profit was supported by fee income recovery, higher trading
and insurance income, as well as reversals of impairments. The
return on shareholders’ equity was 13% (6.5% adjusted for the
Estonia matter and goodwill impairment).
At the end of 2023, Danske Bank’s CET1 ratio ended at 19%,
leaving a buffer of around 450 bps to the regulatory require-
ment. The total capital target was kept above 16%.
A dividend of DKK 7.5 per share was proposed for the second
half of 2023, in addition to DKK 7.0 per share in the first half of
2023, which is equivalent to a dividend pay out of 59% of net
profit for 2023. In addition, Danske Bank has decided to initiate
a share buy-back programme of DKK 5.5bn starting in February
2024. A.P. Moller Holding participates in the share buy-back
programme pro-rata.
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ANNUAL REPORT 2023 · MANAGEMENT REVIEW
9
Revenue in Unilabs grew 21% compared to 2022, partly due to
inorganic growth. The overall performance is challenged by
price pressure for medical diagnostic services in several coun-
tries resulting in declining profitability. The business transfor-
mation to support organic growth and improved profitability in
the coming years is ongoing.
With the acquisition of Paccor and MCP USA in 2022, Faerch
has become a leading global supplier of circular food packaging.
Revenue grew by 45% to DKK 9.6bn driven by the acquisitions.
Difficult market conditions highly impacted by geopolitical un-
certainties and inflation are impacting consumer sentiment and
behaviour, leading to changes in the output mix.
During 2023, KK Wind Solutions integrated the acquired con-
verter & controls business, including three factories. In addition,
Vestas and KK Wind Solutions have agreed to jointly develop
converters with both companies’ engineering teams fully dedi-
cated to the partnership. Market conditions stabilised during
the year, and KK Wind Solutions increased the order book by
95% and revenue for the year by 113% to DKK 5.5bn.
The high inflationary pressure on operating costs has also been
challenging Nissens Cooling Solutions throughout 2023. The
revenue has been stagnant resulting in a negative result for the
year. As from January 2024, the activities in KK Wind Solutions
and Nissens Cooling Solutions will be integrated. After the mer-
ger, KK Wind Solutions’ combined business consists of a reve-
nue of approx. DKK 7bn and around 3,000 employees. The ex-
tended footprint allows KK Wind Solutions to be able to better
serve customers, supporting the global transition towards re-
newable energy.
Revenue in Maersk Supply Service grew 8% compared to 2022
and the company delivered a net profit of DKK 291m (DKK 26m)
positively impacted by the sale of vessels in 2023. In August
2023, the company announced that it will focus on two core
business areas: Offshore Wind and Offshore Support Vessels
(OSV) as well as strengthening the regional presence.
Maersk Product Tankers delivered a revenue of DKK 4.4bn
(DKK 5.0bn) and a net profit of DKK 1.8bn (DKK 1.8bn) posi-
tively impacted by the TCE earnings, where rates for all seg-
ments continued at high points. The market conditions are af-
fected by the sanctions related to the war in Ukraine and wider
arbitrage on the back of changes in demand and trade flows.
Maersk Tankers reported a revenue of DKK 3.1bn (DKK 4.0bn)
and a net profit of DKK 0.2bn (DKK 0.3bn) mainly driven by the
positive market conditions with high freight rates. On 8 January
2024, Maersk Tankers acquired Penfield Marine to create a
large-scale crude and product tanker company offering pool
partners and cargo customers a wider range of services. The
combined company will manage around 240 vessels. Maersk
Tankers further announced the order of up to ten Very Large
Ammonia Carriers (VLACs) adding VLAC as a new segment.
In our growth equity portfolio, we closed three (one) invest-
ments during the year. We continue to see strategic logic from
investing in late-stage growth companies and expect attractive,
risk adjusted financial returns.
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · MANAGEMENT REVIEW
10
EQUITY
As of 31 December 2023, total equity amounted to DKK 504bn
(DKK 541bn) reflecting a decline of 7%. The decrease was
mainly the result of paid dividends to our shareholder and non-
controlling interests as well as exchange rate adjustments due
to the decline in the USD exchange rate of 3% compared to 31
December 2022, partly set off against the distribution of net re-
sult for the year. The return on equity amounted to 7% (45%)
and the equity ratio to 68% (69%). A.P. Moller Holding’s share
of the equity increased to DKK 281bn (DKK 272bn), impacted
by the result for the year partly set off by the decline in the USD
exchange rate.
DIVIDEND
Based on the financial result for 2023, the Board of Directors
proposes a dividend of DKK 1.0bn to A.P. Møller og Hustru
Chastine Mc-Kinney Møllers Fond til almene Formaal (A.P.
Moller Foundation). In 2023, a dividend of DKK 2.5bn was paid.
INVESTMENT ACTIVITY
During 2023, A.P. Moller Holding completed the acquisition of
Maersk Supply Service and our portfolio companies have
signed and completed a number of acquisitions, including the
add-on to KK Wind Solutions’ converter & controls business.
Cash flow used for investing activities was mainly impacted by
our investments in portfolio companies as well as activity in our
financial investment portfolio. The total capital inflow from divi-
dends, share buy-back programmes, and our financial portfolio
was DKK 43bn (DKK 29bn), positively impacted by dividends
from Danske Bank and dividends and share buy-back pro-
grammes from A.P. Moller - Maersk.
Amounts in DKKm
2023
2022
2021
2020
2019
KEY FIGURES: A.P. Moller Holding's investment activities
Cash flow from operating activities
- 55
- 567
- 221
- 263
- 172
Cash flow for investing activities inflow
43,288
28,501
8,774
4,361
5,099
Cash flow for investing activities outflow
- 36,970
- 26,243
- 11,967
- 577
- 4,959
Cash flow from financing activities
- 2,543
- 2,096
- 23
- 403
- 477
Net asset value (market value)
214,320
199,199
223,891
141,708
116,605
Average number of employees
55
48
39
36
28
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · MANAGEMENT REVIEW
INVESTMENT COMMITMENTS (DKKm)
CASH INFLOW (DKKm)
DISTRIBUTION OF CASH INFLOW
2,500
14,286
37,832
8,429
4,819
2019 2020 2021 2022 2023
5,099
4,361
8,774
28,501
43,288
2019 2020 2021 2022 2023
92%
3%
4%
1%
Cash inflow
DKK 43.3bn
A.P. Moller - Maersk
Danske Bank
Maersk Tankers & Maersk Product Tankers
Other
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · MANAGEMENT REVIEW
11
NET ASSET VALUE
At the end of 2023, the net asset value increased to DKK 214bn,
up 8% from the end of 2022.
The value of the Danske Bank shares increased by 31% during
2023, driven by improved financial performance following a diffi-
cult period during 2018-2022.
The value of our shareholding in Noble has increased by 25%
during the year, mainly driven by the re-introduction of divi-
dends as the first offshore driller since 2015. In addition, the
outlook in the sector is positive given the generally supportive
energy price environment.
A.P. Moller – Maersk’s share price decreased 22% from the end
of 2022 following the normalisation of the freight rates and the
extraordinarily large dividend payment in March 2023. Total
shareholder return for 2023 was 6%.
The net asset value is a volatile measure, not least over a shorter
period, given our significant exposure to a few main portfolio
companies. The net asset value calculation is based on different
valuation methods. A.P. Moller - Maersk, Danske Bank, and No-
ble are assessed using their share prices at Nasdaq Copenha-
gen and the New York Stock Exchange. The privately held com-
panies are assessed based on recognised valuation methods,
and the financial investment portfolio on market capitalisation,
primarily quoted prices.
The market value of A.P. Moller - Maersk, Danske Bank, and
Noble corresponds to 57% (73%) of the total net asset value as
of 31 December 2023. Over time, we expect that A.P. Moller –
Maersk’s, Danske Bank’s, and Noble’s relative share of our port-
folio will decrease further.
FINANCIAL OUTLOOK
A.P. Moller Holding and its portfolio companies are exposed to
the global economic activity levels as well as the development in
the global financial markets. Based on our expectations and fi-
nancial guidance for our portfolio companies, we expect
EBITDA for 2024 to be in the range of DKK 0-20bn based on
current exchange rates.
The above statement is, by nature, subject to a number of un-
certainties, including, but not limited to, the geopolitical uncer-
tainties and the potential economic recession in Europe that will
challenge global supply chains and global economic growth.
This could cause actual results and performance to differ materi-
ally from our expectations. In addition, financial performance de-
pends on several factors subject to uncertainties related to the
given uncertain macroeconomic conditions as well as future de-
velopment of freight rates and volumes, demographic and soci-
etal changes, demand for sustainable solutions, commodity
prices, including, but not limited to, oil and energy prices, infla-
tion, and interest rates.
Xxx xxx x
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · MANAGEMENT REVIEW
NET ASSET VALUE (DKKm)
DISTRIBUTION OF NET ASSET VALUE
116,605
141,708
223,891
199,199
214,320
2019 2020 2021 2022 2023
37%
15%
4%
17%
22%
0.1%
4%
Net asset value
DKK 214.3bn
A.P. Moller - Maersk Danske Bank
Noble Privately owned companies
Financial portfolio Growth equity
Other net assets
11
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · MANAGEMENT REVIEW
12
Our strategy implies that we devote our time and resources to
identifying and executing investments across sectors and coun-
tries, and within four themes that we believe will be relevant for
multiple business cycles:
Global trade
Global trade is key to prosperity as it enables income and
growth for people and societies. Our businesses enable global
trade in different ways, for example by facilitating more efficient
logistics across the globe and by building critical infrastructure.
Financial services and the proliferation of efficient capital alloca-
tion are also drivers as well as beneficiaries of increased global
trade.
The energy transition
Our societies depend on a steady and reliable supply of energy.
The recent adverse geopolitical developments have highlighted
this. At the same time, we need to shift energy generation to re-
newable sources and away from the fossil sources that pro-
pelled the industrial revolution and drove wealth creation and
consumption for many decades. We focus on contributing to the
much-needed transition from hydrocarbon-based energy and its
derivatives to sustainable and green sources.
Circularity, water & waste recovery
Global consumption of resources and products is not in balance
with our planet’s ability to regenerate the resources consumed
nor to absorb the substantial generation of waste. Sustainable
replacements are being adopted and the use and utilisation of
resources must be optimised. We are committed to the devel-
opment of circular rather than linear production and consump-
tion models.
Demographic & societal change
Across both mature and emerging economies, population de-
mographics are changing, which is creating challenging condi-
tions for societal welfare models. These slow-moving but largely
inevitable demographic and societal factors are transforming
our societies. Absent continuous improvements in efficiency and
new business models, the welfare imbalance in our societies will
create unsustainable levels of inequality. We invest in digital and
automated ways of working to address the welfare challenges
arising from demographic change.
INVESTMENT MANDATES
We leverage our knowledge, expertise, and experience across
four different mandates:
Principal investments
Large control-oriented investments in companies backed by
solid long-term trends. Our principal investments are generally
companies that can be platforms where we believe we can con-
tinue to deploy additional capital over time for organic and inor-
ganic expansion.
Growth equity initiatives
Patient minority investments in late-stage growth businesses. In
addition to generating attractive financial returns, the objective
is to leverage and continue to enhance domain knowledge
within our core areas of expertise.
Scale-ups
Rooted in our entrepreneurial legacy and spirit, we selectively
initiate incubation projects and actual building of new busi-
nesses. Such greenfield projects are based on ideas generated
internally in our Group where some, after an extensive vetting
process, are pushed forward and initially funded by us. Over
time, we typically bring on other investors.
Public investments
We apply active concentrated global strategies across various
asset classes seeking to generate financial results above or in-
line with external market benchmarks.
ENGAGED AND ACTIVE LONG-TERM OWNERS
In the spirit of our founder, A.P. Møller, we are engaged and ac-
tive long-term owners with a point of view on key matters. Stew-
ardship and a continued focus on the quality of interactions be-
tween management, Board of Directors, and owner(s) are
therefore critical to our success. During 2022, we drafted a set
of principles and guidelines defining our ownership model, and
how we exercise it. These principles are rooted in our legacy and
we will continue to optimise our stewardship and ownership
model in the years to come.
BUILDING A PORTFOLIO OF
PLATFORMS FOR THE FUTURE
Our investment strategy is to build scalable platforms in areas
where we can leverage momentum to drive long-term value and
impact. We focus on long-term mega trends, and, as owners, we
utilise and leverage the strengths and capabilities accumulated
across our Group throughout more than 120 years. Above all,
we strive to fulfil our Group’s long-standing purpose of ‘nyttig
virksomhed’ (having a positive impact on society).
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · MANAGEMENT REVIEW
13
A.P. MOLLER - MAERSK is an inte-
grated transport and logistics company
working to connect and simplify its cus-
tomers’ supply chains. The company is a
global leader in shipping activities.
CEO: Vincent Clerc
CFO: Patrick Jany
Representatives
• Robert M. Uggla (Chair)
Key figures
• Market cap: DKK 192.2bn
• Ownership: 41.5% / 51.5% voting
share
REVENUE
(USDm)
UNILABS is a leading diagnostics ser-
vices provider in Europe, focusing on la-
boratory testing, pathology, and radiol-
ogy. The company services both public
and private healthcare providers across
multiple countries.
CEO: Marc Engel
CFO: Britt Hendriksen
Representatives
• Jan T. Nielsen (Vice Chair)
REVENUE
(EURm)
DANSKE BANK is Denmark’s largest
bank. Its core business includes private,
business, institutional customer seg-
ments, and other financial services to
the Nordic markets.
CEO: Carsten R. Egeriis
CFO: Stephan Engels
Representatives
• Martin N. Larsen (Vice Chair)
• Lars-Erik Brenøe
Key figures
• Market cap: DKK 155.5bn
• Ownership: 21.3%
TOTAL INCOME
(DKKm)
FAERCH is a leading supplier of circular
packaging solutions to the global food
industry, serving leading food manufac-
turers and retailers around the world.
CEO: Lars G. Hansen
CFO: Tom Sand-Kristensen
Representatives
• Henrik Poulsen (Chair)
• Jan T. Nielsen (Vice Chair)
REVENUE
(EURm)
NOBLE is a leading offshore drilling
company for the oil and gas industry.
The company owns and operates one of
the youngest and most advanced fleets
in the offshore drilling industry.
CEO: Robert W. Eifler
CFO: Richard B. Barker
Representatives
• Claus V. Hemmingsen (Vice Chair)
Key figures
• Market cap: USD 6.8bn
• Ownership: 19.8%
REVENUE
(USDm, includes only Noble up to the merger in
2022)
38,890
39,740
61,787
81,529
51,065
2019 2020 2021 2022 2023
1,179
1,458
2,033
1,769
1,556
2019 2020 2021 2022 2023
42,534
40,928
42,584
41,203
52,445
2019 2020 2021 2022 2023
405
370
559
893
1,292
2019 2020 2021 2022 2023
1,305
964
848
1,414
2,589
2019 2020 2021 2022 2023
A.P. Moller - Maersk
Unilabs
Danske Bank
Faerch
Noble
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · MANAGEMENT REVIEW
14
MAERSK PRODUCT TANKERS is an
asset company, owning tankers trans-
porting energy products worldwide for
large energy companies and trading
houses.
CEO: Tina Revsbech
CFO: Morten M. Christensen
Representatives
• Martin N. Larsen (Chair)
• Birgitte Schou
• Erik Bergöö
REVENUE
(USDm)
KK WIND SOLUTIONS is a leading
global supplier of power electronic sys-
tem solutions for the wind turbine indus-
try, offering a wide range of products
and services to wind turbines and parks.
CEO: Mauricio Quintana
CFO: Bjørn R. Mogensen
Representatives
• Simon K. Ibsen (Vice Chair)
REVENUE
(DKKm)
MAERSK SUPPLY SERVICE is a pro-
vider of global offshore marine services
and integrated solutions for the energy
sector, including oil and gas companies,
offshore renewable companies and sub-
sea contractors.
CEO: Christian M. Ingerslev
CFO: Michael Koefoed
Representatives
• Martin N. Larsen (Chair)
• Maria Pejter
REVENUE
(USDm)
MAERSK TANKERS is a service
company providing commercial
management solutions for shipowners
in the tanker industry. The company
operates one of the largest tanker
fleets in the world.
CEO: Tina Revsbech
CFO: Morten M. Christensen
Representatives
• Robert M. Uggla (Chair)
• Maria Pejter
• Martin N. Larsen
REVENUE
(USDm)
A.P. MOLLER CAPITAL is an infrastruc-
ture fund manager focusing on high
growth markets, combining attractive
risk adjusted returns with a positive
societal impact.
CEO: Kim Fejfer
CFO: Joe Nielsen
Representatives
• Robert M. Uggla (Chair)
728
664
433
708
640
2019 2020 2021 2022 2023
2,233
2,580
2,550
2,581
5,486
2019 2020 2021 2022 2023
306
253
301
390
423
2019 2020 2021 2022 2023
416
527
466
569
450
2019 2020 2021 2022 2023
Maersk Product
Tankers
KK Wind Solutions
Maersk Supply Service
Maersk Tankers
A.P. Moller Capital
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · MANAGEMENT REVIEW
15
INNARGI is a geothermal heating com-
pany, aiming to heat millions of urban
homes while leaving zero impact on our
planet.
CEO: Samir Abboud
CFO: Michael Harboe-Jørgensen
Representatives
• Claus V. Hemmingsen (Chair)
ZERONORTH is a technology company
providing a range of software solutions
that enable the shipping industry to re-
duce its impact on the climate while
maintaining commercial performance.
CEO: Søren C. Meyer
CFO: Karl Thorngren
Representatives
• Maria Pejter
C2X is a green methanol production
company aiming to develop and operate
green methanol production facilities to
supply both the chemical and shipping
sectors.
CEO: Brian Davis
CFO: Alastair Maxwell
Representatives
• Jan T. Nielsen (Chair)
• Martin N. Larsen
Innargi
ZeroNorth
C2X
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · MANAGEMENT REVIEW
16
Risk management reporting is an integrated part of our busi-
ness processes, allowing A.P. Moller Holding to respond appro-
priately to the changing environments our businesses are oper-
ating in. The Board of Directors receives portfolio performance
reports including risk management measures on a regular basis
throughout the year.
Being an investor focusing on capital risk, we continuously
develop our risk framework, and we have embedded controls
and operational risk mitigation processes in our critical daily
operations. We have a constant focus on good governance, and
we have implemented procedures to continuously assess and
ensure that we follow market standards and developments. Fur-
ther, in line with the purpose of the A.P. Moller Foundation, and
to ensure the long-term viability and longevity of A.P. Moller -
Maersk, our portfolio companies are structured as visualised on
page 84.
OUR PORTFOLIO COMPANIES
Having a long-term ownership horizon, our ambition for each
investment is defined in a clear ownership strategy, considering
sector specific market parameters and developments, as well as
current and emerging risks.
Risks related to our portfolio companies include business and
financial risks associated with operations and performance. The
management of such risks is effectively anchored with the Board
of Directors in each of the portfolio companies. Each entity has
defined and implemented their own risk management frame-
work, managing specific, defined risks. As owners, we monitor
business performance in the portfolio companies closely as part
of our ownership aspiration. We report on business and risk re-
lated issues to our Board of Directors as appropriate.
Our investment team is focusing on large and long-term invest-
ments and brings valuable global investment expertise. As we
evaluate investment opportunities, the investments will undergo
committees and investment gates where thorough risk analysis,
due diligence, and mitigation are natural parts of the investment
evaluation process. Our risk management framework allows us
to critically evaluate such risks and where risks/rewards are not
deemed attractive and in line with our values, as well as our
financial and strategic beliefs, investments will be abandoned.
As our investments are expected to have a long-term owner-
ship horizon, we focus on the inherent risks related to such
investments. At all times, it is part of our strategic beliefs to
invest in and build businesses that have a positive impact on
society. Hence, we strive to ensure that all our partners
acknowledge our values and share our commitment to conduct
business in an ethical, legal, and socially responsible manner.
FINANCIAL INVESTMENTS
A.P. Moller Holding has a financial portfolio primarily with expo-
sure to global equity markets managed by our own financial
investment team. The overall objective of the portfolio is i) to
create economic value in line with our values, ii) to ensure a part
of our financial portfolio remains highly liquid, acting as a buffer
for the company to be flexible and able to react as needed in
relation to our portfolio companies or to significant changes in
our cash flows, and iii) to deliver performance in line with a fixed
benchmark.
The Board of Directors approves the investment policy and
defines the acceptable risk limits including a variety of risk man-
agement factors such as single line limits, currency exposures,
and asset class weights. These, in combination with internal in-
vestment principles, guide the financial investments on a daily
basis. We manage the market, credit, liquidity, and currency
risks related to our financial portfolio by limiting maximum
exposure to individual asset classes and underlying assets. The
guidelines are reviewed regularly to ensure they reflect the mar-
ket situation and our financial situation at any given time.
RISK MANAGEMENT
Our risk management setup is closely related to our investment
strategy and allows us to safeguard the longevity of our
portfolio companies by understanding the inherent risks
associated with each of our portfolio companies and by
supporting the companies in managing these risks in
a changing environment.
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · MANAGEMENT REVIEW
18
content/uploads/2024/03/APMH-CSR-Report-2023.pdf.
“... the ultimate aim is not so much a
high dividend distribution, as the
build-up of useful activities.”
A.P. MØLLER, 1953
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · MANAGEMENT REVIEW
19
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · MANAGEMENT REVIEW
20
SUSTAINABILITY HIGHLIGHTS
The companies in the A.P. Moller Group define and execute their
own sustainability initiatives. In 2023, numerous activities were
launched of which a few are highlighted here. For more details,
please refer to the respective sustainability reports.
Faerch tripled its recycling capacity, now
managing 60,000 tonnes of post-consumer
PET trays, effectively closing the loop for
PET trays in the Benelux region.
ZeroNorth's platform helped prevent 839,424 tonnes of
CO2 from being emitted from customer vessels, an
increase of almost 80% compared to 2022.
Danske Bank published a Climate Action Plan, setting
emission reduction targets for high-impact sectors and
laying out their approach for engaging with customers
on their transition plans.
Danske Bank set nature- and biodiversity-related
targets for engaging with their business customers
and investee companies in high-impact sectors.
Maersk Tankers set out to offer seaborne transportation
of clean ammonia and confirmed the order of up to ten
Very Large Ammonia Carriers through an affiliated
company, the first four of which are due to be delivered
from late 2026 onwards.
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · MANAGEMENT REVIEW
21
Maersk Supply Service supported the EFGL
floating offshore wind installation project, one of
the floating wind pilot projects in France, with
vessels and project management.
Innargi started the drilling work for the EU’s largest
geothermal district heating plant in Aarhus, Denmark,
expected to reduce the city's CO2 emissions by
approximately 165,000 tonnes every year.
A.P. Moller - Maersk’s greenhouse gas emissions
targets have been validated by the Science Based
Targets initiative to be in line with the 1.5-degree
pathway from the Paris Agreement.
Maersk Tankers' green tech business Njord worked
with more than 50 shipowners and on more than 150
vessels, identifying emission reductions between
7-16% per ship through technology.
A.P. Moller - Maersk deployed the world's
first green methanol-enabled container
vessel, marking an important step towards
greening global supply chains.
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · MANAGEMENT REVIEW
22
BOARD OF DIRECTORS
Ane M.M. Uggla
Chair
Chair of the Board of Directors
• A.P. Møller og Hustru Chastine Mc-Kinney
Møllers Fond til almene Formaal
• Den A.P. Møllerske Støttefond
Other management duties
Estemco III ApS (CEO)
Timer ApS (CEO)
Claus V. Hemmingsen
Chair of the Board of Directors
• DFDS A/S
• Innargi Holding A/S (and chair of one affiliated
undertaking)
• HusCompagniet A/S
Member of the Board of Directors
• A.P. Møller og Hustru Chastine Mc-Kinney
Møllers Fond til almene Formaal
• Den A.P. Møllerske Støttefond
• Noble Corporation PLC
• Det Forenede Dampskibsselskabs
Jubilæumsfond
• Fonden Mærsk Mc-Kinney Møller
Center for Zero Carbon Shipping
• Global Maritime Forum Fonden
• Work Wear Group A/S (and member of two
affiliated undertakings)
• Rambøll Gruppen A/S
Other management duties
CVH Consulting ApS (CEO)
Committee for Corporate Governance, Denmark
(member)
Jan Leschly
Member of the Board of Directors
• Universal Tennis Ranking LLC
• The Leschly Tennis Foundation
• Nightingale Veterinary Partners
Other management duties
Adjunct Professor at Copenhagen
Business School
Lars-Erik Brenøe
Chair of the Board of Directors
• Ejerforeningen 21-5 DK P/S
Member of the Board of Directors
• Danske Bank A/S
• A.P. Møller og Hustru Chastine
Mc-Kinney Møllers Fond til almene Formaal
• A.P. Møller og Hustru Chastine
Mc-Kinney Møllers Familiefond
• Monjasa Holding A/S
• Odense Havn A/S
• Operaparkfonden
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · MANAGEMENT REVIEW
23
EXECUTIVE BOARD
Robert M. Uggla
Chief Executive Officer
Other management duties, etc.
• A.P. Møller - Mærsk A/S (Chair)
• A.P. Møller Capital P/S (Chair)
• Maersk Tankers A/S (Chair)
• Foundation Board of IMD Business School
(Board member)
• Agata ApS (CEO)
• Estemco XII ApS (CEO)
• International Business Leaders’ Advisory
Council, IBLAC (Member)
Robert M. Uggla is appointed to the Board of
Directors in a number of entities fully owned by
A.P. Møller Holding A/S.
Jan T. Nielsen
Chief Investment Officer
Other management duties, etc.
• C2X A/S (Chair)
• Faerch Group Holding A/S (Vice Chair)
• Unilabs Group Holding ApS (Vice Chair)
• LEGO A/S (Board member)
• Thorsgaard Holding ApS (CEO)
Jan T. Nielsen is appointed to the Board of
Directors in a number of entities fully owned by
A.P. Møller Holding A/S.
Martin N. Larsen
Chief Financial Officer
Other management duties, etc.
• Maersk Product Tankers A/S (Chair)
• Navigare Capital Partners A/S (Chair)
• Maersk Supply Service Holding ApS (Chair)
• Danske Bank A/S (Vice Chair)
• Assuranceforeningen SKULD (Gjensidig)
(Vice Chair)
• Maersk Tankers A/S (Board member)
• C2X A/S (Board member)
• MVKH ApS (CEO)
Martin N. Larsen is appointed to the
Executive Board and Board of Directors in a
number of entities fully owned by A.P. Møller
Holding A/S.
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
25
Consolidated
financial
statements
Consolidated income statement for 1 January to 31 December ........................................................... 26
Consolidated statement of comprehensive income ................................................................................. 26
Consolidated balance sheet as of 31 December ....................................................................................... 27
Consolidated cash flow statement for 1 January to 31 December ....................................................... 28
Consolidated statement of changes in equity ........................................................................................... 29
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
26
Note
Amounts in DKKm
2023
2022
2.1
Revenue
2.2, 5.2
Operating costs
- 319,424
- 346,934
Other income
Other costs
- 160
- 1,407
Result before depreciation, amortisation and impairment losses, etc.
2.3
Depreciation, amortisation and impairment losses, net
- 49,983
- 48,993
2.4
Gain on sale of non-current assets, etc., net
3.4
Share of profit in joint ventures
- 1,366
3.4
Share of profit in associated companies
Result before financial items
4.1
Financial income
4.1
Financial expenses
- 13,624
- 16,488
Result before tax
5.1
Tax
- 3,411
- 6,369
Result for the year
Result for the year attributable to:
4.6
Non-controlling interests
Owner of A.P. Møller Holding A/S
Note
Amounts in DKKm
2023
2022
Result for the year
Translation to functional currency
Translation impact arising during the year
- 4,349
Reclassified to income statement, gain on sale of non-current assets,
etc., net
4.3
Cash flow hedges
Value adjustment of hedges for the year
- 156
Reclassified to income statement
- 95
5.1
Tax on other comprehensive income
- 101
3.4
Share of other comprehensive income of joint ventures and associated
companies, net of tax
- 575
Total items that have been or may be reclassified subsequently
to the income statement
- 3,460
4.3
Other equity investments (FVOCI), fair value adjustments for the year
4.5
Actuarial gains/losses on defined benefit plans, etc.
- 58
Translation from functional currency to presentation currency
- 13,442
5.1
Tax on other comprehensive income
3.4
Share of other comprehensive income of joint ventures and associated
companies, net of tax
- 195
- 168
Total items that will not be reclassified to the income statement
- 13,526
Other comprehensive income, net of tax
- 13,173
Total comprehensive income for the year
Total comprehensive income for the year attributable to:
4.6
Non-controlling interests
Owner of A.P. Møller Holding A/S
CONSOLIDATED INCOME STATEMENT FOR
1 JANUARY TO 31 DECEMBER
CONSOLIDATED STATEMENT OF
COMPREHENSIVE INCOME
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
27
Note
Amounts in DKKm
2023
2022
3.1
Intangible assets
3.2
Property, plant and equipment
3.3
Right-of-use assets
3.4
Investments in joint ventures
3.4
Investments in associated companies
Other equity investments
4.3
Derivatives
4.5
Pensions, net assets
Loans receivable
Other receivables
Financial non-current assets
5.1
Deferred tax
Total non-current assets
5.3
Inventories
4.3
Trade receivables
Tax receivables
4.3
Derivatives
3.5
Loans receivable
Other receivables
Prepayments
Receivables, etc.
Securities
Cash and bank balances
3.7
Assets held for sale
Total current assets
Total assets
Note
Amounts in DKKm
2023
2022
4.7
Share capital
Reserves
- 1,980
- 3,993
Retained earnings
Proposed dividend
Equity attributable to A.P. Møller Holding A/S
4.6
Non-controlling interests
Total equity
4.2
Borrowings, non-current
4.2
Lease liabilities, non-current
4.5
Pensions and similar obligations
5.4
Provisions
4.3
Derivatives
5.1
Deferred tax
Tax payables
Other payables
Other non-current liabilities
Total non-current liabilities
4.2
Borrowings, current
4.2
Lease liabilities, current
5.4
Provisions
Trade payables
Tax payables
4.3
Derivatives
Other payables
Deferred income
Other current liabilities
3.7
Liabilities associated with assets held for sale
Total current liabilities
Total liabilities
Total equity and liabilities
CONSOLIDATED BALANCE SHEET
AS OF 31 DECEMBER
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
28
Note
Amounts in DKKm
2023
2022
Result before financial items
2.3
Depreciation, amortisation and impairment losses, net
2.4
Gain on sale of non-current assets, etc., net
- 3,851
- 496
3.4
Share of profit in joint ventures
- 1,022
3.4
Share of profit in associated companies
- 7,119
- 1,171
5.7
Change in working capital
- 14,066
Change in provisions and pension obligations, etc.
Financial income received
5.7
Other non-cash items
Cash flow from operating activities before tax
Taxes paid
- 5,096
- 6,967
Cash flow from operating activities
5.7
Purchase of intangible assets and property, plant and equipment
- 27,587
- 31,962
Sale of intangible assets and property, plant and equipment
3.6
Acquisition of subsidiaries and activities
- 3,511
- 57,980
3.6
Sale of subsidiaries and activities
Disposal, merger, etc.
- 1,848
Dividends received
5.7
Other financial investments
- 88,788
Purchase/sale of securities, trading portfolio
- 25,838
- 4,543
Cash flow used for investing activities
- 10,368
- 178,285
4.2
Repayment of borrowings
- 8,926
- 74,023
4.2
Repayment of leases
- 23,213
- 22,660
4.2
Proceeds from borrowings
Purchase of own shares
- 12,697
- 11,321
Financial expenses paid
- 3,750
- 4,140
Financial expenses paid on lease liabilities
- 3,986
- 3,772
Dividends distributed
- 2,500
- 2,000
Dividends distributed to non-controlling interests
- 45,116
- 29,239
Sale of treasury shares
Capital increases made by non-controlling interests
Sale of non-controlling interests
Other equity transactions
- 179
- 763
Cash flow from financing activities
- 86,289
- 81,864
Net cash flow for the year
- 16,017
- 11,036
Note
Amounts in DKKm
2023
2022
Cash and cash equivalents as of 1 January
Currency translation effect on cash and cash equivalents
- 3,370
Net cash flow for the year
- 16,017
- 11,036
Total cash and cash equivalents as of 31 December
Of which classified as assets held for sale
- 7
Cash and cash equivalents as of 31 December
Cash and bank balances
Overdrafts
- 268
- 414
Cash and cash equivalents as of 31 December
Cash and bank balances include DKK 7.0bn (DKK 10.0bn) relating to cash and bank balances in
countries with exchange rate control or other restrictions. These funds are not readily available
for general use by the parent company or other subsidiaries.
CONSOLIDATED CASH FLOW STATEMENT
FOR 1 JANUARY TO 31 DECEMBER
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
29
Amounts in DKKm
Share
capital
Transla-
tion
reserve
Reserve
for other
equity
invest-
ments
Reserve
for
hedges
Retained
earnings
Proposed
dividend
Total
Non-
control-
ling
interests
Total
equity
Equity as of 1 January 2022
- 2,423
- 533
Other comprehensive income, net of tax
- 2,239
Result for the year
Total comprehensive income for the year
- 2,239
Dividends to shareholders
- 2,000
- 2,000
- 29,239
- 31,239
Value of share-based payment
Sale of own shares
Purchase of own shares
- 24
- 24
- 11,491
- 11,515
Acquisition of non-controlling interests
Sale to non-controlling interests
- 27
- 27
- 9,335
- 9,362
Capital increases and decreases
Transfer of loss on disposal of equity investments at FVOCI to retained earnings
- 38
Transfer of cash flow hedge reserve to non-current assets
Change in non-controlling interests
- 159
Liability (put option)
- 962
- 962
- 12
- 974
Other equity movements
- 229
- 229
- 81
Total transactions with shareholders
- 38
- 846
- 2,000
- 2,795
- 48,347
- 51,142
Equity as of 31 December 2022
- 4,662
Other comprehensive income, net of tax
- 89
- 243
- 7,677
- 5,655
- 7,518
- 13,173
Result for the year
Total comprehensive income for the year
- 89
- 243
Dividends to shareholders
- 2,500
- 2,500
- 45,116
- 47,616
Value of share-based payment
Sale of own shares
Purchase of own shares
- 147
- 147
- 12,356
- 12,503
Acquisition of non-controlling interests
- 32
- 32
- 43
- 75
Sale to non-controlling interests
- 556
- 556
Capital increases and decreases
Transfer of loss on disposal of equity investments at FVOCI to retained earnings
- 5
Transfer of cash flow hedge reserve to non-current assets
- 14
- 14
- 19
- 33
Change in non-controlling interests
- 46
- 46
- 661
- 707
Liability (put option)
- 186
- 186
- 181
Other equity movements
- 18
- 18
Total transactions with shareholders
- 14
- 811
- 2,500
- 3,320
- 56,436
- 59,756
Equity as of 31 December 2023
- 2,308
- 206
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
30
Notes to
consolidated
financial
statements
BASIS OF PREPARATION 31
Note 1.1: General accounting policies....................................................................................................... 31
Note 1.2: Material accounting estimates and judgments .................................................................... 33
OPERATING PROFIT 34
Note 2.1: Revenue .......................................................................................................................................... 34
Note 2.2: Operating costs ............................................................................................................................ 36
Note 2.3: Depreciation, amortisation, and impairment losses, net .................................................... 37
Note 2.4: Gain on sale of non-current assets, etc., net ......................................................................... 37
INVESTED CAPITAL 38
Note 3.1: Intangible assets .......................................................................................................................... 38
Note 3.2: Property, plant and equipment................................................................................................. 44
Note 3.3: Right-of-use assets ..................................................................................................................... 47
Note 3.4: Investments in joint ventures and associates ....................................................................... 48
Note 3.5: Loans receivable ........................................................................................................................... 50
Note 3.6: Acquisition/sale of subsidiaries and activities ..................................................................... 51
Note 3.7: Assets held for sale...................................................................................................................... 55
CAPITAL AND FINANCING 56
Note 4.1: Financial income and expenses ................................................................................................ 56
Note 4.2: Borrowings and net debt reconciliation ................................................................................. 57
Note 4.3: Financial instruments and risks ................................................................................................ 59
Note 4.4: Financial instruments by category ........................................................................................... 66
Note 4.5: Pensions and similar obligations ............................................................................................. 69
Note 4.6: Non-controlling interests ........................................................................................................... 72
Note 4.7: Share capital .................................................................................................................................. 72
OTHER DISCLOSURES 73
Note 5.1: Tax and deferred tax ................................................................................................................... 73
Note 5.2: Share-based payment ................................................................................................................. 76
Note 5.3: Inventories ..................................................................................................................................... 79
Note 5.4: Provisions ...................................................................................................................................... 79
Note 5.5: Commitments ................................................................................................................................ 80
Note 5.6: Contingent assets and liabilities............................................................................................... 81
Note 5.7: Cash flow specifications ............................................................................................................. 81
Note 5.8: Related parties.............................................................................................................................. 82
Note 5.9: Events after the balance sheet date ........................................................................................ 83
Note 5.10: Company overview .................................................................................................................... 84
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
31
BASIS OF PREPARATION
Note 1.1: General accounting policies
This note sets out general accounting policies for A.P. Møller Holding A/S that relate to the
financial statements as a whole. Where an accounting policy is applicable to a specific note to
the financial statements, the policy is described within that note.
BASIS OF PREPARATION
The consolidated financial statements for 2023 for A.P. Møller Holding A/S have been prepared
on a going concern basis and in accordance with the IFRS Accounting Standards as adopted by
the EU (IFRS) and additional Danish disclosure requirements for large enterprises in class C.
The consolidated financial statements are also in accordance with IFRS as issued by the Internal
Accounting Standards Board (IASB).
The consolidated financial statements are presented in DKK million (DKKm) and all values are
rounded to the nearest thousand except when otherwise stated.
The accounting policies are consistent with those applied in the consolidated financial state-
ments for 2022, except for the changes to accounting standards that were effective from 1 Janu-
ary 2023 and endorsed by the EU. In addition, a few adjustments have been made to compara-
tive figures in notes. The changes have not had material impact on the financial statements.
CONSOLIDATION
The consolidated financial statements comprise the parent company A.P. Møller Holding A/S,
its subsidiaries, and proportionate shares in joint arrangements classified as joint operations.
Subsidiaries are entities controlled by A.P. Moller Holding. Control is based on the power to
direct the relevant activities of an entity and the exposure, or right, to variable returns arising
from it. In that connection, relevant activities are those that significantly affect the investee’s
returns. Control is usually achieved by directly or indirectly owning or in other ways controlling
more than 50% of the voting rights, or by other rights, such as agreements on management
control.
Joint arrangements are entities in which A.P. Moller Holding, according to contractual agree-
ments with one or more parties, has joint control. The arrangements are classified as joint ven-
tures, if the contracting parties’ rights are limited to net assets in separate legal entities, and as
joint operations, if the parties have direct and unlimited rights to the assets and obligations for
the liabilities of the arrangement.
Entities in which A.P. Moller Holding exercises a significant but non-controlling influence are
considered associated companies. A significant influence is usually achieved by directly or indi-
rectly owning or controlling 20-50% of the voting rights. Agreements and other circumstances
are considered when assessing the degree of influence.
Consolidation is performed by summarising the financial statements of the parent company and
its subsidiaries, including the proportionate share of joint operations, which have been prepared
in accordance with A.P. Moller Holding’s accounting policies. Intra-group income and expenses,
shareholdings, dividends, intra-group balances, and gains on intra-group transactions are elimi-
nated. Unrealised gains on transactions with associated companies and joint arrangements are
eliminated in proportion to A.P. Moller Holding’s ownership share. Unrealised losses are elimi-
nated in the same way, unless they indicate impairment.
When the group ceases to consolidate or applies equity accounting for an investment because
of a loss of control, joint control, or significant influence, any retained interest in the entity is re-
measured to its fair value, with the change in carrying amount recognised in profit or loss. This
fair value becomes the initial carrying amount for the purposes of subsequently accounting for
the retained interest as an associate, joint venture, or other equity investment. In addition, any
amounts previously recognised in other comprehensive income in respect of that entity are ac-
counted for as if the group had directly disposed of the related assets or liabilities. Therefore,
amounts previously recognised in other comprehensive income are reclassified to profit or loss.
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
32
Note 1.1: General accounting policies – continued
Non-controlling interests’ share of the result for the year and of equity in subsidiaries is included
as part of A.P. Moller Holding’s result and equity, respectively, but shown as separate items.
FOREIGN CURRENCY TRANSLATION
The functional currency of the parent company is USD. DKK has been selected as the presenta-
tion currency as the ultimate owner of the group, A.P. Moller Foundation, is located in Denmark.
In the translation to the presentation currency of the parent company, subsidiaries, associated
companies, or joint arrangements with functional currencies other than DKK, the total compre-
hensive income is translated into DKK at average exchange rates, and the balance sheet is trans-
lated at the exchange rates as per the balance sheet date. Exchange rate differences arising
from such translations are recognised directly in other comprehensive income and in a separate
reserve of equity (translation to the functional currency).
The functional currency varies from business area to business area. For A.P. Møller Holding A/S
and its subsidiaries’ principal shipping and drilling activities, the functional currency is typically
USD. This means, among other things, that the carrying amounts of property, plant and equip-
ment and intangible assets and, hence, depreciation and amortisation are maintained in USD
from the date of acquisition. For other activities, including container terminal activities and land-
based logistics activities, the functional currency is generally the local currency of the country in
which such activities are performed, unless circumstances suggest that a different currency is
appropriate.
Transactions in currencies other than the functional currency are translated at the exchange rate
prevailing on the date of the transaction. Monetary items in foreign currencies not settled by the
balance sheet date are translated at the exchange rate as per the balance sheet date. Foreign
exchange gains and losses are included in the income statement as financial income or financial
expenses.
STATEMENT OF COMPREHENSIVE INCOME
Other comprehensive income consists of gains and losses not recognised in the income state-
ment, including exchange rate adjustments arising from the translation from functional currency
to presentation currency, fair value adjustments of other equity investments (at FVOCI), cash
flow hedges, forward points and currency basis spread as well as actuarial gains/losses on de-
fined benefit plans, etc. The group’s share of other comprehensive income in associated compa-
nies and joint ventures is also included.
On disposal or discontinuation of an entity, the group’s share of the accumulated exchange rate
adjustment relating to the relevant entity compared to the functional currency is reclassified to
the income statement. Accumulated value adjustments of equity instruments classified as equity
instruments at fair value through other comprehensive income will remain in equity upon dis-
posal.
Other comprehensive income includes current and deferred income tax to the extent the items
recognised in other comprehensive income are taxable or deductible.
CLIMATE-RELATED IMPACT
When preparing the consolidated financial statements, management considers climate-related
impact, where this could potentially impact reported amounts materially. The areas in which A.P.
Moller Holding group has assessed climate-related risks at the end of 2023 are included in the
individual notes outlined below:
• Note 3.2 – Property, plant and equipment
NEW FINANCIAL REPORTING REQUIREMENTS IN 2023 OR LATER
A.P. Moller Holding has not yet adopted new or amended accounting standards and require-
ments that have not yet become effective. The changes to IFRS Accounting Standards are not
expected to have any significant impact on recognition and measurement.
AMENDMENTS TO IAS 12 INCOME TAXES
In May 2023, the IASB issued amendments to IAS 12 Income Taxes, which provide temporary
relief from the requirement to recognise and disclose deferred taxes arising from enacted or
substantively enacted tax laws that implement the Pillar Two Model Rules published by the
OECD, including tax laws that implement qualified domestic minimum top-up taxes. The amend-
ments have been adopted by the EU and the group has applied this relief.
With regards to deferred tax related to assets and liabilities arising from a single transaction, the
amendments narrow the scope of the initial recognition exception so that it no longer applies to
transactions that give rise to equal taxable and deductible temporary differences such as leases
and decommissioning liabilities. The amendments have no material impact on the group’s con-
solidated financial statements.
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
33
Note 1.1: General accounting policies – continued
DEFINITIONS OF FINANCIAL RATIOS
Return on equity is calculated as result for the year in proportion to the average total equity for
the year.
Equity ratio is calculated as total equity end of year in proportion to total assets end of year.
Note 1.2: Material accounting estimates and judgments
The preparation of the consolidated financial statements requires management to make esti-
mates and judgments on an ongoing basis and form assumptions that affect the reported
amounts. Management forms its estimates and judgments based on historical experience, inde-
pendent advice, external data points as well as in-house specialists, and on other factors be-
lieved to be reasonable under the circumstances.
In its assumption setting, management deals with various aspects of uncertainty. One aspect of
uncertainty is the assessment of control over investments classified as associates, joint ventures,
and subsidiaries, where the assessment forms the basis for classification. Another aspect is
measurement uncertainty, where management makes assumptions that derive the value of rec-
ognised assets and liabilities. These assumptions concern the timing and amount of future cash
flows as well as the risks inherent in these.
In certain areas, the outcome of business plans, including ongoing negotiations with external
parties to execute those plans or the outcome of negotiations to settle claims that are raised
against the group, is highly uncertain. Therefore, assumptions may change, or the outcome may
differ in the coming years, which could require a material upward or downward adjustment to the
carrying amounts of assets and liabilities.
The areas and their related impact in which the group is particularly exposed to material uncer-
tainty over the carrying amounts as at the end of 2023 are included in the individual notes as out-
lined below:
Note
Key accounting estimates and judgments
Estimate/
Judgment
Impact
Note 2.2
Vessel sharing agreements (cost-sharing arrangements)
Estimate
L
Note 3.1
Cash-generating unit determination
Judgment
M
Note 3.1
Impairment testing key assumptions
Estimate
H
Note 3.2
Useful life and residual value
Estimate
L
Note 3.6
Measurement of acquired assets, liabilities, and contingent liabilities
Judgment
H
Note 5.1
Recognition and measurement of deferred tax assets and uncertain tax
positions
Estimate
M
Note 5.4
Provisions for legal dispute assumptions
Estimate
M
Note 5.7
Operations in countries with limited access to repatriating surplus cash as-
sumptions
Judgment
L
Level of potential impact to the consolidated financial statements:
• L = Low
• M = Medium
• H = High
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
34
OPERATING PROFIT
Note 2.1: Revenue
TYPES OF REVENUE
Amounts in DKKm
2023
2022
Global trade
361,045
585,389
The energy transition
6,678
3,799
Circularity, water & waste recovery
9,630
6,642
Demographic & societal change
11,597
9,546
Other
0
5,831
Total
388,950
611,207
Of which:
Recognised over time
319,532
567,759
Recognised at a point in time
69,418
43,448
Types of revenue have been organised according to our four investment themes:
• Global trade includes shipping activities, sale of bunker oil, integrated transportation, fulfil-
ment and management solutions, including landside and air transportation, warehousing
and supply chain management offerings, gateway terminal activities as well as towage and
related marine activities, production of reefer containers, offshore supply services and trad-
ing, etc.
• The energy transition includes sale of goods and services for renewable solutions
• Circularity, water & waste recovery includes mainly sales of food packaging solutions and re-
cycled plastic
• Demographic & societal change includes mainly diagnostic services within laboratory, imag-
ing, and pathology specialities
CONTRACTS WITH CUSTOMERS
Set out below is the reconciliation of the revenue from contracts with customers to the amounts
disclosed as total revenue.
Amounts in DKKm
2023
2022
Revenue from contracts with customers
381,011
599,339
Revenue from other sources
Vessel sharing and slot charter income
6,465
8,698
Lease income
419
2,173
Others
1,055
997
Total
388,950
611,207
CONTRACT BALANCES
Amounts in DKKm
2023
2022
Trade receivables from contracts with customers
35,596
49,927
Accrued income - contract assets
2,217
2,514
Deferred income - contract liabilities
700
482
Accrued income included in trade receivables in the balance sheet constitutes contract assets
comprising unbilled amounts representing the group’s right to consideration for the services
transferred to date. Any amount previously recognised as accrued income is reclassified to trade
receivables at the time it is invoiced to the customer.
Deferred income is recognised in the income statement within 12 months.
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
35
Note 2.1: Revenue – continued
Under the payment terms generally applicable to the group’s revenue generating activities,
prepayments are only received to a limited extent. Typically, payment is due upon or after
completion of the services.
Part of the deferred income presented in the balance sheet constitutes contract liabilities, which
represent advance payments and billings in excess of the recognised revenue.
There were no significant changes in accrued and deferred income during the reporting period.
Provisions for bad debt disclosed in note 4.3 relate to receivables arising from contracts with
customers.
PERFORMANCE OBLIGATIONS
Performance obligations are services that are to be completed under existing customer con-
tracts.
Amounts in DKKm
2023
2022
Within one year
5,813
2,030
Between one and five years
2,678
83
After five years
0
0
Total
8,491
2,113
MATERIAL ACCOUNTING POLICIES
Revenue is recognised when the performance obligation has been satisfied, which hap-
pens upon the transfer of control to the customer at an amount that reflects the considera-
tion to which the group expects to be entitled in exchange for the goods and services.
Revenue from shipping activities is recognised over time as the performance obligation is
satisfied, including a share of revenue from incomplete voyages at the balance sheet date.
Invoiced revenue related to an estimated proportion of remaining voyage time and activi-
ties at the destination port is deferred. Percentage of completion is calculated as the num-
ber of days of a voyage, as a percentage of the total number of days a voyage is estimated
to last. Detention and demurrage fees are recognised over time until the customers’ late
return or pick-up of containers.
Revenue from terminal operations and towing activities is recognised upon completion of
the service. In container terminals operated under certain restrictive terms of pricing and
service, etc., the value of tangible assets constructed on behalf of the concession grantor
is recognised as revenue during the construction.
Revenue from most freight forwarding activities is recognised over time.
Revenue from the sale of goods is recognised upon the transfer of control to the buyer.
Contract work in progress and services are included in revenue based on the stage of
completion so that revenue corresponds to the selling price of the work performed and
services completed in the financial year (the percentage-of-completion method).
No significant element of financing is deemed present as sales are made with credit terms
which are consistent with market practice. Revenue from sales is recognised based on the
price specified in the contract, net of the estimated volume discounts. Accumulated experi-
ence is used to estimate and provide for the discounts, using the expected value method,
and revenue is only recognised to the extent that it is highly probable that a significant
reversal will not occur.
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
36
Note 2.2: Operating costs
Amounts in DKKm
2023
2022
Cost of goods sold
27,083
21,254
Bunker costs
42,582
58,253
Terminal costs
43,977
49,241
Intermodal costs
28,217
32,073
Port costs
16,138
16,037
Rent and lease costs
10,189
12,005
Staff costs
60,718
59,295
Other costs
90,520
98,776
Total operating costs
319,424
346,934
Remuneration of employees
Wages and salaries¹
52,251
52,029
Severance payments
1,639
796
Pension costs, defined benefit plans
503
292
Pension costs, defined contribution plans
2,328
2,195
Other social security costs
5,131
4,445
Total remuneration
61,852
59,757
Of which:
Recognised in the cost of assets
- 114
- 158
Included in other costs
- 1,020
- 304
Expensed as staff costs
60,718
59,295
Average number of employees
1
Including DKK 193m (DKK 206m) related to share based payment programmes
Customary agreements have been entered into with employees regarding compensation in con-
nection with redundancies, with consideration for local legislation and collective agreements.
Please refer to note 5.2 for further information about share-based payment programmes.
FEES AND REMUNERATION TO THE EXECUTIVE BOARD AND BOARD OF DIRECTORS
The Executive Board of A.P. Moller Holding is considered key management personnel. The
group has a cash-settled incentive plan to members of the Executive Board and grants have
been awarded on a yearly basis. The incentive plan provides an annual bonus and long-term in-
centive programmes, which are determined by the development in the value creation of the un-
derlying investments. The main parts of the long-term incentive programmes are capped.
Amounts in DKKm
2023
2022
Executive Board
Fixed base salary
18
17
Short-term cash incentive
14
11
Long-term incentive, grant value
9
9
Annual board fees from subsidiaries
4
5
Remuneration to the Executive Board before fair value adjustments
45
42
Fair value adjustments of long-term incentive, including of previous years' grants
41
19
Total remuneration to the Executive Board, including fair value adjustments
86
61
Board of Directors
Annual fees, including board fees from subsidiaries
3
6
Total fee to the Board of Directors
3
6
Fees and remuneration to the Board of Directors and Executive Board
89
67
FEES TO STATUTORY AUDITORS
PricewaterhouseCoopers including network firms
Amounts in DKKm
2023
2022
Statutory audit
150
137
Other assurance services
17
1
Tax and VAT advisory services
13
12
Other services
19
38
Total fees to statutory auditors
199
188
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
37
Note 2.2: Operating costs – continued
MATERIAL ACCOUNTING ESTIMATES
Vessel-sharing agreements (cost-sharing arrangements)
Vessel sharing agreements in shipping require that some vessels are committed to spe-
cific service routes. The committed vessel’s capacity is then shared with one or more con-
tainer shipping providers in proportion to each party’s contribution to the joint service. In
practice, it is not always possible to provide tonnage precisely as agreed in the sharing
agreements, therefore financial settlement often takes place on a basis of relative capacity
over/under utilised on a monthly or other mutually agreed cycle. These capacity agree-
ments are settled as close to actual costs incurred as possible based on market rates
applicable at that time.
MATERIAL ACCOUNTING POLICIES
Operating costs comprise costs incurred in generating revenue for the year, including
costs for crew, labour, raw materials and consumables, repair and maintenance, and sales
and administration.
Note 2.3: Depreciation, amortisation, and impairment losses, net
Amounts in DKKm
2023
2022
Depreciation
42,907
42,729
Amortisation
4,384
3,917
Impairment losses, net
2,692
2,347
Depreciation, amortisation, and impairment losses, net
49,983
48,993
For more information, reference is made to note 3.1, 3.2 and 3.3.
Note 2.4: Gain on sale of non-current assets, etc., net
Amounts in DKKm
2023
2022
Gains
4,160
1,946
Losses
- 309
- 1,450
Gain on sale of non-current assets, etc., net
3,851
496
Gains include the sale of containers and vessels, DKK 2.7bn (DKK 1.4bn) and gain on other
property, plant and equipment, DKK 0.5bn (DKK 0.1bn), as well as disposal of subsidiaries,
DKK 1.0bn (DKK 0.4bn).
Losses are primarily related to the sale of containers, DKK 0.2bn (DKK 0.2bn). In 2022, losses
also consisted of the wind-down of operations in Russia and disposal of subsidiaries due to the
merger between Maersk Drilling and Noble Corporation, in total DKK 1.0bn.
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
38
INVESTED CAPITAL
Note 3.1: Intangible assets
Amounts in DKKm
Goodwill
Terminal
and ser-
vice con-
cession
rights¹
Customer
relations
and brand
names
Other
intangible
assets²
Total
Cost
As of 1 January 2023
75,759
20,796
43,157
10,971
150,683
Addition
0
142
81
1,508
1,731
Acquired in business combinations³
401
0
723
316
1,440
Disposal
- 44
0
- 2,773
- 1,375
- 4,192
Transfers
- 119
0
119
0
0
Transfers, tangible assets
- 14
0
0
12
- 2
Transfers, liabilities
66
0
0
27
93
Transfers, assets held for sale
0
0
- 21
0
- 21
Exchange rate adjustment
- 732
- 498
- 351
- 196
- 1,777
As of 31 December 2023
75,317
20,440
40,935
11,263
147,955
Amortisation and impairment losses
As of 1 January 2023
2,431
5,740
5,065
3,867
17,103
Amortisation
0
710
2,545
1,129
4,384
Impairment losses
127
0
2,057
168
2,352
Disposal
0
0
- 2,773
- 345
- 3,118
Transfers, tangible assets
0
0
0
7
7
Transfers, assets held for sale
0
0
- 21
0
- 21
Exchange rate adjustment
- 89
- 133
- 48
- 64
- 334
As of 31 December 2023
2,469
6,317
6,825
4,762
20,373
Carrying amount:
As of 31 December 2023
72,848
14,123
34,110
6,501
127,582
1
Of which DKK 0.1m is under development. Service concession rights with a carrying amount of DKK 0.5bn
have restricted title
2
Of which DKK 1.1bn is related to software
3
Acquired in business combinations, please refer to note 3.6
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
39
Note 3.1: Intangible assets – continued
Amounts in DKKm
Goodwill
Terminal
and ser-
vice con-
cession
rights¹
Customer
relations
and brand
names
Other
intangible
assets²
Total
Cost
As of 1 January 2022
21,235
20,537
17,547
9,194
68,513
Addition
0
177
1
2,610
2,788
Acquired in business combinations³
54,488
0
25,237
1,899
81,624
Disposal
0
0
0
- 2,499
- 2,499
Disposal due to dilution and merger
0
0
0
- 694
- 694
Transfers, tangible assets
0
- 28
- 51
55
- 24
Transfers, assets held for sale
0
- 736
0
7
- 729
Exchange rate adjustment
36
846
423
399
1,704
As of 31 December 2022
75,759
20,796
43,157
10,971
150,683
Amortisation and impairment losses
As of 1 January 2022
2,406
5,206
2,603
4,475
14,690
Amortisation
0
778
2,195
944
3,917
Impairment losses
0
106
162
226
494
Disposal
0
0
0
- 1,570
- 1,570
Disposal due to dilution and merger
0
0
0
- 498
- 498
Transfers, tangible assets
0
- 21
0
- 2
- 23
Transfers, assets held for sale
0
- 559
0
10
- 549
Exchange rate adjustment
25
230
105
282
642
As of 31 December 2022
2,431
5,740
5,065
3,867
17,103
Carrying amount:
As of 31 December 2022
73,328
15,056
38,092
7,104
133,580
1
Service concession rights with a carrying amount of DKK 0.5bn have restricted title
2
Of which DKK 4.0bn is related to ongoing development of software and DKK 3.0bn to other ongoing
development projects
3
Acquired in business combinations, please refer to note 3.6
The carrying amount of goodwill has been allocated to the following operating cash-generating
units based on the management structure.
Cash-generating unit
Amounts in DKKm
2023
2022
Ocean
2,131
2,202
Logistics & Services
31,018
31,924
Terminals (multiple terminals)
1,625
1,728
Towage & Maritime Services (including port towage)
390
404
Demographic & societal change
25,420
25,022
Tray (food packaging)
9,186
9,145
Recycling PET
717
716
Energy transition (renewable solutions)
1,834
1,530
Other
527
657
Total
72,848
73,328
IMPAIRMENT – ASSESSMENT INPUT
The recoverable amount of each cash-generating unit is determined on the basis of the higher of
its value in use or fair value less costs to sell. The estimated value in use is calculated using cer-
tain key assumptions for the expected future cash flows and applied discount factors.
Current market values for vessels, etc., are estimated using acknowledged brokers.
The cash flow projections are based on financial budgets and business plans. In nature, these
projections are subject to judgments and estimates that are uncertain, though based on experi-
ence and external sources, where available.
The discount rates applied reflect the time value of money as well as the specific risks related to
the underlying cash flows, i.e. project and/or country specific risk premiums. Further, any uncer-
tainties reflecting past performance and possible variations in the amount or timing of the pro-
jected cash flows, are generally reflected in the discount rates.
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
40
Note 3.1: Intangible assets – continued
IMPAIRMENT – KEY ASSUMPTIONS APPLIED
The outcome of impairment tests is subject to estimates of the future development of freight
rates and volumes, demographic and societal changes, demand for sustainable solutions, com-
modity prices, including, but not limited to, oil and utility prices, inflation, and the discount rates
applied. Management determines the key assumptions for each impairment test by considering
past experience, as well as market analysis and future expectations based on supply and de-
mand trends.
The value in use calculation is highly sensitive to the terminal growth rate, which is determined
based on the future expected economic growth rate, and replacement CAPEX during the termi-
nal period, which is determined based on management’s plans and expectations for the future.
The future development in freight rates is a significant factor impacting Ocean and the product
tanker market in particular, and is influenced by regional and global economic environments,
trade patterns, and by industry specific trends in respect of capacity supply and demand. Con-
tainer freight rates have deteriorated throughout 2023 as a result of the pronounced market nor-
malisation and are expected to face continued pressure for the next 1-2 years.
The future development in the oil price is also an uncertain and significant factor impacting
accounting estimates, either directly or indirectly. Shipping is directly impacted by the bunker
oil price, where the competitive landscape determines the extent to which the development is
reflected in the freight rates charged to the customer. Bunker consumption is expected to con-
tinue to decline compared to 2023, driven by fleet outsourcing and efficiency improvements.
Logistics & Services is impacted by rates and volumes across the Logistics & Services product
lines, particularly in the air and haulage business. The future growth and productivity of the ‘Ful-
filled by Maersk’ product range is also considered a key assumption, as volumes are sensitive
to the development of the global economy. Management considers both the future economic
outlook in key regions, namely North America and Europe, as well as expected synergies from
completed acquisitions when determining the growth and productivity.
Terminals located in oil-producing countries, e.g. Nigeria and Brazil, are indirectly impacted by
the development in oil prices and the consequences for the respective countries’ economies,
which not only affect volumes handled in the terminals, but also foreign exchange rates. Contin-
ued economic deterioration and a lack of cash repatriation opportunities in certain oil-producing
countries could also put pressure on the carrying amounts of individual terminals. The other key
sensitivities impacting Terminals include container moves, revenue and cost per move, and local
port rates, all of which are impacted by the local economic outlook and competition, as well as
concession right extensions and the discount rate applied.
The future development in demand for sustainable solutions within food packaging, recycling of
plastic, as well as the demand for wind energy onshore and offshore is uncertain and signifi-
cantly impacting mainly Tray (food packaging), Recycling PET and The energy transition (renew-
able solutions). The Paris Agreement adopted in 2015, together with increased focus on sustain-
able value chains and sustainability reporting will also determine the extent of the demand.
The future development in demand for services within medical diagnostic services is dependant
on demographic changes and composition, including what the public authorities in individual
countries decide to allocate to the healthcare budget. Demographic changes include an increas-
ing and ageing population, increasing prevalence of chronic diseases, and higher welfare.
Inflation is also expected to continue to have a high impact on 2024, affecting both the discount
rates and terminal growth rates.
IMPAIRMENT - RESULTS OF IMPAIRMENT ASSESSMENTS
Impairment losses recognised are specified as follows:
Impairment losses
Amounts in DKKm
2023
2022
Goodwill
Other
127
0
Terminal and service concession rights
Terminals & Towage
0
106
Other intangible assets
Ocean¹
2,204
198
Logistics & Services¹
14
149
Towage & Maritime Services
7
14
Energy transition (renewable solutions)
0
13
Other
0
14
Total
2,352
494
1
In 2023, A.P. Møller - Mærsk A/S announced that it would move towards a singular and unified brand by inte-
grating the A.P. Moller - Maersk brands. Existing brands were retired, resulting in the recognition of impair-
ment losses of the full carrying amount of each respective retired brand on the balance sheet. Total impair-
ment losses related to the retirement of brands in 2023 recognised in the income statement is DKK 2,061m, of
which DKK 2,047m is within Ocean and DKK 14m is within Logistics & Services
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
41
Note 3.1: Intangible assets – continued
In Ocean, the cash flow projection is based on forecasts as per Q3 2023, covering five-year busi-
ness plans for 2024-2028. Management has applied an assumption of growth in volumes based
on a calculated terminal value with growth equal to the expected economic growth of 2.7%
(2.5%) p.a. In the annual impairment test carried out in November 2023, a pre-tax discount rate
of 9.8% (9.2%) p.a. was applied. The impairment test showed headroom between the value in
use and the carrying amount. The major part of the carrying amount is comprised of vessels.
Management is of the opinion that the assumptions applied are sustainable.
Using the discount rate as of 31 December 2023 and keeping all other assumptions constant,
Ocean showed headroom of DKK 26.3bn between the value in use and the carrying amount. The
following changes in assumptions reflect the related impact on the value in use and thus, the
headroom for Ocean. The sensitivities are prepared with all other assumptions kept constant.
Key assumption
Assumption
Change
Effect on
value in use
Growth in terminal period
2.7%
+/- 0.5 ppts
DKK 19.6bn
Discount rate p.a. before tax as of 31 December 2023
9.2%
+/- 0.5 ppts
DKK 22.9bn
In Logistics & Services, the annual impairment test is based on the estimated value in use from
the five-year business plans for 2024-2028, where the volume and margin growth assumptions,
which are regionally specific, reflect the current market expectations for the relevant period. The
applied terminal growth is 2.7% (2.0%). A discount rate of 9.0% (8.4%) p.a. before tax or 8.8%
(8.2%) p.a. after tax was applied. The impairment test showed headroom from the value in use
to the carrying amount.
In Terminals, management assesses indicators of impairment including decreasing volumes and
based on these indicators, estimates the recoverable amounts of the individual terminals where
impairment indicators exist. Management also tests for impairment of the cash-generating units
to which goodwill or indefinite life intangible assets are allocated to. The cash flow projections
for each terminal cover the concession period and extension options deemed likely to be exer-
cised. The growth rates assumed reflect current market expectations for the relevant period, and
the discount rates applied are between 7.4% and 12.1% (7.2% and 13.0%) p.a. after tax. The
impairment tests considered fair value less cost of disposal compared to the carrying amount
and resulted in impairment losses of DKK 0.9bn across multiple terminals in 2023, of which
DKK 0.6bn related to a cash-generating unit in the Mediterranean region, caused by lower-than-
expected volumes, primarily related to equipment. Impairment losses of an immaterial amount
across two terminals were recognised in 2022 as well as DKK 2.5bn on Terminals’ minority stake
in Global Ports Investments, which was sold in 2022. For more information on fair value determi-
nation, refer to note 4.4.
In Demographic & societal change, the estimated future cash flows are based on the budget for
2024 (2023) and business plans and projections for 2025-2036 (2024-2035). The extended fore-
cast period reflects the nature of the business, where the business is benefitting from long-term
demographic trends driving predictable volume growth, and is a business underpinned by a
well-diversified portfolio of long-term government contracts, long-term partnerships with insur-
ance companies, contracts with hospitals, as well as a broad-based exposure to referring physi-
cians combined with an extensive footprint of collection centres and clinics. The business plans
and projections are based on a market by market approach, assessing the organic business po-
tential for each of the key markets, and estimating the volume growth, sales prices, and contribu-
tion margins for each segment. Further, the capital expenditure and working capital required to
maintain and organically grow the business are considered. The average revenue growth rate in
the forecast period 2027-2036 (2026-2035) is 5.0% (4.5%) and while uncertainties connected to
especially the inflation can impact the growth rates, management considers the average growth
rates realistic based on historical growth rates, expected test volumes, as well as the business
plans and market analysis at hand. The long-term growth rate in the terminal period has been
estimated to 2.5% (2.5%) and is supported by industry specific market analyses performed by
external advisors. Discount rate p.a. pre-tax of 9.0% (7.8%) has been applied. Using the dis-
count rate as of 31 December 2023 and keeping all other assumptions constant, the test showed
headroom of DKK 5.4bn between the value in use and the carrying amount. The following
changes in assumptions reflect the related impact on the value in use and thus, the headroom
for the cash-generating unit. The sensitivities are prepared with all other assumptions kept con-
stant.
Key assumption
Assumption
Change
Effect on
value in use
Annual growth in forecast period (2027-2036)
5.0%
+/- 1.0 ppts
DKK 2.9bn
Growth in terminal period
2.5%
+/- 1.0 ppts
DKK 4.1bn
Discount rate p.a. before tax
9.0%
+/- 1.0 ppts
DKK 7.4bn
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
42
Note 3.1: Intangible assets – continued
In Tray and Recycling PET, the estimated future net cash flows are based on the budgets for
2024 (2023) and business plans and projections for 2025-2028 (2024-2027). The business plans
and projections are based on a market by market approach, assessing the organic business po-
tential for each of the key markets and segments, and estimating the volume growth, sales
prices, and contribution margins for each segment. The capital expenditure and working capital
required to maintain and organically grow the business is also considered. The average revenue
growth rates in the forecast period 2024-2028 (2023-2027) are generally kept unchanged com-
pared to prior years, i.e. 8.5% for Tray and 18.5% for Recycling, respectively. Management ex-
pects to gain market share due to the company’s strong product portfolio, comprehensive recy-
cling offerings, and positive tailwind from material conversion into PET, also driven by regulatory
developments, e.g. mandatory recycled content. The long-term growth rate in the terminal pe-
riod has been set to equal for an expected long-term rate of inflation of 2.0% (2.0%) for the
Euroregion. Discount rates p.a. pre-tax of 9.1% (8.6%) for Tray and 9.0% (8.6%) for Recycling
PET have been applied. The impairment test showed headroom from the value in use to the car-
rying amount. The sensitivity test performed shows that there is headroom for a reasonable pos-
sible change in the key assumptions, individually.
In Energy transition (renewable solutions), the estimated future cash flows are based on the
budget for 2024 (2023) and business plans and projections for 2025-2027 (2024-2026). The
business plans and projections are based on a market by market approach, assessing the or-
ganic business potential for each of the key markets, and estimating the volume growth, sales
prices, and contribution margins for each segment. Further, the capital expenditure and working
capital required to maintain and organically grow the business are considered. The average reve-
nue growth rate in the forecast period 2024-2027 (2023-2026) is 18.8% (21.2%) and while uncer-
tainties connected to especially the inflation can impact the short-term growth rates, manage-
ment considers the average growth rates realistic based on the business and market plans at
hand. The long-term growth rate in the terminal period has been set to equal for an expected
long-term rate of inflation of 2.0% (2.0%). A discount rate of 11.4% (12.3%) p.a. pre-tax has
been applied. The impairment test showed headroom from the value in use to the carrying
amount. The sensitivity test performed shows that there is headroom for a reasonable possible
change in the key assumptions, individually.
Impairment losses 2022
Impairment tests for Terminals and service concession rights and Other tangible assets in
Terminals & Towage are considered fair value less costs of disposal compared to the carrying
amount and resulted in impairment losses of DKK 0.5bn. The impairment losses included impair-
ment losses in two terminals in 2022.
OTHER INTANGIBLE ASSETS WITH INDEFINITE USEFUL LIFE
Terminal and service concession rights include DKK 229m (DKK 237m) related to terminal rights
with indefinite useful life. These terminal rights are included in the impairment test for Terminals.
Brand names with indefinite useful life of DKK 2.8bn (DKK 2.8bn) are included in the cash-gener-
ating unit Tray (food packaging). Thus, the asset is carried at cost without amortisation as it is
estimated that the brand will generate net cash inflows for an indefinite period.
MATERIAL ACCOUNTING ESTIMATES
Impairment tests
The outcome of impairment tests is subject to estimates in financial budgets, forecasts
and business plans, as well as of the future development of freight rates and volumes, de-
mographic and societal changes, demand for sustainable solutions, commodity prices, in-
cluding but not limited to oil and utility prices, inflation, and the discount rates applied.
Please refer to notes 3.1 and 3.2 for information about impairment analysis, key assump-
tions and impairment test results.
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
43
Note 3.1: Intangible assets – continued
MATERIAL ACCOUNTING JUDGMENTS
Determination of cash-generating units
Judgment is applied in the definition of cash-generating units of which goodwill is allo-
cated for impairment testing and in the selection of methodologies and assumptions ap-
plied in impairment tests.
The determination of cash-generating units differs for various business areas.
Ocean operates its fleet of container vessels and hub terminals in an integrated network.
Consequently, the Ocean activities are tested for impairment as a single cash-generating
unit.
Logistics & Services, including intermodal activities is considered one cash-generating
unit as a result of the continued integration within the business. Management views the
Logistics & Services products as an integrated network, with the activities tested for im-
pairment as a single cash-generating unit.
In Terminals, each terminal is considered an individual cash-generating unit for impairment
tests, except when the capacity is managed as a portfolio.
Towage & Maritime Services includes towage activities made up of two separate cash-
generating units as well as several individual businesses, including Maersk Container In-
dustry, which are each considered as one cash-generating unit.
Supply vessels and product tanker vessels with similar functionality and operating envi-
ronment are considered as one cash-generating unit.
Demographic & societal change, Tray (food packaging), Recycling PET, and The energy
transition (renewable solutions) are each considered as one cash-generating unit.
MATERIAL ACCOUNTING POLICIES
Intangible assets are measured at cost less accumulated amortisation and impairment
losses. Amortisation is calculated on a straight-line basis over the estimated useful lives of
the assets. The fair value of any future contingent payments is included in the cost at ac-
quisition. Subsequent adjustments are recognised in the income statement.
Goodwill, terminal rights and certain brand names have an indefinite useful life while all
other intangible asset classes have definite lives.
For container terminals operated under certain restrictive price and service conditions,
etc., concessional rights to collect usage charges are included under intangible assets. The
cost includes the present value of minimum payments under concession agreements and
the cost of property, plant and equipment constructed on behalf of a grantor of a conces-
sion. The rights are amortised from the commencement of operations over the concession
period. The concession period ranges from 10 to 34 years, with an average of 17 years.
Intangible assets regarding acquired customer relationships, brand names, and technol-
ogy are amortised over a useful life of 10-24 years, up to 20 years, and 5-10 years, respec-
tively. IT software is amortised over a useful life of 3-10 years. Completed development
projects are amortised on a straight-line basis over 3-5 years. Projects in progress are not
amortised, but are tested for impairment annually.
Estimated useful lives and residual values are reassessed on a regular basis.
Impairment losses are recognised when the carrying amount of an asset or a cash-gener-
ating unit exceeds the higher of the estimated value in use and fair value less costs of dis-
posal. Goodwill is attributed to cash-generating units on acquisition and impaired before
other assets.
Intangible assets and property, plant and equipment are tested for impairment, if there is
an indication of impairment. However, annual impairment tests are carried out for goodwill
and other intangible assets with indefinite useful lives as well as intangible assets that are
not yet in use. Impairment losses are included in depreciation, amortisation, and impair-
ment losses, net, in the income statement.
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
44
Note 3.2: Property, plant and equipment
Amounts in DKKm
Ships,
contain-
ers, etc.
Produc-
tion facili-
ties and
equip-
ment, etc.
Construc-
tion work
in pro-
gress and
payment
on
account
Total
Cost
As of 1 January 2023
350,128
64,606
16,578
431,312
Addition
5,212
1,826
20,479
27,517
Acquired in business combinations¹
0
582
3
585
Disposal
- 16,558
- 1,836
- 98
- 18,492
Transfers
3,091
6,271
- 9,362
0
Transfers, intangible assets
0
27
- 25
2
Transfers between assets and liabilities
38
106
- 163
- 19
Transfers, assets held for sale
- 332
- 218
- 1
- 551
Reclassification from/to right-of-use assets
241
8
- 21
228
Exchange rate adjustment
- 10,597
- 1,462
- 835
- 12,894
As of 31 December 2023
331,223
69,910
26,555
427,688
Depreciation and impairment losses
As of 1 January 2023
193,975
29,067
36
223,078
Depreciation
15,120
4,589
0
19,709
Impairment losses
44
941
0
985
Reversal of impairment losses
- 148
- 503
0
- 651
Disposal
- 13,780
- 1,777
- 31
- 15,588
Transfers, intangible assets
0
- 7
0
- 7
Transfers between assets and liabilities
0
0
- 1
- 1
Transfers, assets held for sale
- 287
- 100
0
- 387
Reclassification from/to right-of-use assets
62
9
- 2
69
Exchange rate adjustment
- 6,027
- 756
1
- 6,782
As of 31 December 2023
188,959
31,463
3
220,425
Carrying amount:
As of 31 December 2023
142,264
38,447
26,552
207,263
1
Acquired in business combinations, please refer to note 3.6
Amounts in DKKm
Ships,
contain-
ers, etc.
Produc-
tion facili-
ties and
equip-
ment, etc.
Rigs
Construc-
tion work
in pro-
gress and
payment
on
account
Total
Cost
As of 1 January 2022
325,160
56,374
59,868
8,963
450,365
Addition
11,138
1,897
0
14,671
27,706
Acquired in business combinations¹
8
5,149
0
322
5,479
Disposal
- 10,298
- 1,212
0
0
- 11,510
Disposal due to dilution and merger
0
- 1,401
- 63,253
- 566
- 65,220
Transfers, intangible assets
3,700
2,546
432
- 6,654
24
Transfers between assets and liabilities
474
14
0
- 474
14
Transfers, assets held for sale
- 230
- 382
- 1,798
106
- 2,304
Reclassification from/to right-of-use assets
594
- 57
0
- 21
516
Exchange rate adjustment
19,582
1,678
4,751
231
26,242
As of 31 December 2022
350,128
64,606
0
16,578
431,312
Depreciation and impairment losses
As of 1 January 2022
176,011
25,181
42,891
13
244,096
Depreciation
15,194
4,038
998
0
20,230
Impairment losses
120
827
835
71
1,853
Reversal of impairment losses
- 148
0
0
0
- 148
Disposal
- 7,802
- 1,028
0
- 7
- 8,837
Disposal due to dilution and merger
0
- 382
- 46,601
0
- 46,983
Transfers, intangible assets
0
22
0
1
23
Transfers between assets and liabilities
13
17
0
- 13
17
Transfers, assets held for sale
- 145
- 446
- 1,522
- 7
- 2,120
Reclassification from/to right-of-use assets
248
- 50
0
0
198
Exchange rate adjustment
10,484
888
3,399
- 22
14,749
As of 31 December 2022
193,975
29,067
0
36
223,078
Carrying amount:
As of 31 December 2022
156,153
35,539
0
16,542
208,234
1
Acquired in business combinations, please refer to note 3.6
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
45
Note 3.2: Property, plant and equipment – continued
IMPAIRMENT – KEY ASSUMPTIONS APPLIED
Please refer to note 1.2 and 3.1.
RESULTS OF IMPAIRMENT ASSESSMENTS
Impairment losses recognised are specified as follows:
Cash-generating unit
Amounts in DKKm
Impair-
ment
losses
Reversal
of
impair-
ment
losses
2023
Ocean
101
Terminals
929
503
Logistics & Services
41
Tray (food packaging)
15
Tanker vessels
47
Total
985
651
2022
Ocean
99
Terminals
410
Logistics & Services
326
Towage & Maritime Services
149
Jack-up rigs
134
Floaters
701
Recycling PET
34
Tanker vessels
148
Total
1,853
148
The recoverable amount of each cash-generating unit is determined based on the higher of its
value in use or fair value less costs of disposal. The estimated value in use is calculated using
certain key assumptions for the expected future cash flows and applied discount factors. Current
market values for vessels, etc., are estimated using acknowledged brokers.
Projected cash flow models are used when fair value is not obtainable or when fair value is
deemed lower than value in use. The cash flow projections are based on financial budgets and
business plans approved by management.
Impairment losses 2023
Impairment losses are mainly related to terminals. Reference is made to note 3.1.
Impairment reversal 2023
Reversal of impairment of tanker vessels is related to sale of assets.
Impairment losses 2022
Impairment of jack-up rigs and floaters are related to sale of assets.
Impairment reversal 2022
Reversal of impairment of tanker vessels is related to sale of assets.
OPERATING LEASES AS LESSOR
Property, plant and equipment includes assets (mainly ships) which are leased out as part of the
group’s activities. The amounts below comprise the calculated future minimum lease payments
for the assets and exclude the estimated service elements, which are presented in note 2.1.
Jointly the two elements amount to the group’s revenue backlog.
Operating lease receivables
Amounts in DKKm
2023
2022
Within one year
770
527
Between one and five years
1,413
1,483
After five years
156
0
Total
2,339
2,010
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
46
Note 3.2: Property, plant and equipment – continued
PLEDGES
Property, plant and equipment with a carrying amount of DKK 10.8bn (DKK 9.2bn) has been
pledged as security for loans of DKK 7.5bn (DKK 6.2bn).
MATERIAL ACCOUNTING ESTIMATES
Useful lives and residual values
Useful lives are estimated based on experience. When there is an indication of a change in
an asset’s useful life, management revises the estimates for individual assets or groups of
assets with similar characteristics due to factors such as quality of maintenance and repair,
technical development, or environmental requirements. Management has also considered
the impact of decarbonisation and climate related risks on useful lives of existing assets.
Such risks include new climate related legislation restricting the use of certain assets, new
technology demanded by climate related legislation, and the increase in restoration costs
for terminal sites due to new and/or more comprehensive policies.
In addition, the useful lives of container vessels and related assets that operate on bunker
fuel have been considered in conjunction with A.P. Moller – Maersk’s net zero by 2040
target.
Residual values of vessels are difficult to estimate given their long useful lives, the uncer-
tainty of future economic conditions, the market for conventional fuel vessels, and the
uncertainty of future steel prices, which are considered the main determinants of the resid-
ual value. Additionally, the acceleration of the development of vessels with a lower carbon
footprint may generate downward pressure on the market for second-hand conventional
fuel vessels. Generally, the residual values of vessels are initially estimated at 10% of the
purchase price excluding dry-docking costs.
The long-term view is prioritised in order to disregard, to the extent possible, temporary
market fluctuations which may be significant.
MATERIAL ACCOUNTING POLICIES
Property, plant and equipment are valued at cost less accumulated depreciation and im-
pairment losses. Depreciation is charged to the income statement on a straight-line basis
over the useful lives at an estimated residual value. The useful lives of assets are typically
as follows:
Vessels, etc.
20-25 years
Containers, etc.
15 years
Buildings
10-75 years
Terminal infrastructure
10-30 years or
concession period, if shorter
Warehouses and related infrastructure
5-25 years or lease term, if shorter
Aircrafts and related components
3-30 years
Plant and machinery, cranes, and other terminal equipment
3-25 years
Rigs and drilling equipment
5-25 years (residual value 0-30%)
Other operating equipment, fixtures, etc.
3-10 years
Estimated useful lives and residual values are reassessed on a regular basis.
Cost comprises the acquisition price as well as costs directly associated with the asset un-
til such time as the asset is ready for its intended use.
The cost of an asset is divided into separate components, which are depreciated sepa-
rately if the useful lives of the individual components differ. Dry-docking costs are recog-
nised in the carrying amount of ships when incurred and depreciated over the period until
the next dry-docking.
The cost of assets constructed by the group includes directly attributable expenses and
indirect costs related to materials, components, and payroll that directly concern the con-
struction of assets. For assets with a long construction period, borrowing costs during the
construction period from specific as well as general borrowings are attributed to the cost
of the asset. In addition, the cost includes the net present value of estimated costs of
removal and restoration.
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
47
Note 3.3: Right-of-use assets
Amounts in DKKm
Ships,
contain-
ers, etc.
Conces-
sion
agree-
ments
Real es-
tate and
other
leases
Total
Right-of-use assets
As of 1 January 2022
40,473
16,722
8,484
65,679
Additions
21,975
1,111
7,255
30,341
Acquired in business combinations¹
0
0
5,937
5,937
Disposal
- 2,224
0
- 1,002
- 3,226
Disposal due to dilution and merger
0
0
- 149
- 149
Depreciation
- 18,102
- 1,302
- 3,095
- 22,499
Impairment losses
0
0
- 11
- 11
Transfers to owned assets, etc.
- 318
0
0
- 318
Exchange rate adjustment
2,502
267
78
2,847
As of 31 December 2022
44,306
16,798
17,497
78,601
Additions
6,979
476
8,346
15,801
Acquired in business combinations¹
0
0
261
261
Disposal
- 1,097
- 6
- 507
- 1,610
Depreciation
- 17,329
- 1,319
- 4,550
- 23,198
Impairment losses
0
0
- 6
- 6
Transfers
- 11
0
11
0
Transfers to owned assets, etc.
- 172
0
13
- 159
Transfers between assets/liabilities
0
0
- 4
- 4
Transfers, assets held for sale
0
- 1
- 13
- 14
Exchange rate adjustment
- 1,167
- 322
- 398
- 1,887
As of 31 December 2023
31,509
15,626
20,650
67,785
1
Acquired in business combinations, please refer to note 3.6
As part of the group’s activities, customary leasing agreements are entered into, especially re-
garding the chartering of vessels, leasing of containers and other equipment, and real estate. In
some cases, leasing agreements comprise purchase options exercisable by the group and op-
tions for extending the lease term. The group also enters into concession agreements that pro-
vide the right to use some existing infrastructure or land as required to carry out the terminal
business.
To optimise lease costs during the contract period, the group sometimes provides residual value
guarantees in relation to equipment leases. At the end of 2023, the expected residual values
were reviewed to establish if these reflected the actual residual values achieved on comparable
assets and expectations about future prices. As of 31 December 2023, DKK 2.3bn (DKK 1.6bn) is
expected to be payable and is included in the measurement of lease liabilities.
Leases to which the group is committed, but for which the lease term has not yet commenced,
have an undiscounted value of DKK 17.9bn (DKK 11.1bn). They comprise approx. 43 (31) con-
tracts commencing in 2024 to 2026 (2023 to 2024).
Certain terminal concession agreements contain variable payment terms that are linked to future
performance, i.e. number of containers handled. Such payments are recognised in the income
statement in the period in which the condition that triggers those payments occurs.
Lease liabilities are disclosed in note 4.2, 4.3, 4.4, and 5.5.
Amount recognised in the income statement
Amounts in DKKm
2023
2022
Depreciation cost and impairment losses on right-of-use assets
23,204
22,510
Interest expenses (included in financial expenses)
3,986
3,772
Expenses relating to service elements of leases
5,993
6,908
Expenses relating to short-term leases
1,946
2,590
Expenses relating to variable lease payments
192
176
Expenses relating to lease of low-value assets
2,058
2,331
Total recognised in operating costs
10,189
12,005
Income from sublease of right-of-use assets
- 52
- 13
Total recognised in the income statement
10,137
11,992
Total cash outflow for leases
Amounts in DKKm
2023
2022
Other lease expenses
9,405
10,907
Interest expenses
3,986
3,772
Repayment of leases
23,213
22,660
Total cash outflow for leases
36,604
37,339
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
48
Note 3.3: Right-of-use assets - continued
MATERIAL ACCOUNTING POLICIES
Right-of-use assets are mainly leased vessels, containers, concession agreements, and
real estate property. Lease contracts for vessels and containers are typically made for
fixed periods of about five years but may have extension options as described together
with lease liabilities. Concession agreements and real estate contracts are negotiated on
an individual basis and contain a wide range of terms and conditions.
Leases are recognised as a right-of-use asset with a corresponding liability at the date at
which the leased asset is available for use by the group. The right-of-use asset is depreci-
ated over the shorter of the asset’s useful life and the lease term on a straight-line basis.
The interest element of lease payments related to leases capitalised under IFRS 16 is
recognised in the income statement under financial expenses.
Payments associated with short-term leases and leases of low-value assets are recognised
on a straight-line basis as an expense in the income statement under operating costs.
Note 3.4: Investments in joint ventures and associates
Summarised financial information for joint ventures and associates that are material for the
group as of 31 December 2023 are presented below.
DANSKE BANK A/S, ASSOCIATED COMPANY
Amounts in DKKm
2023
2022
Total income
55,852
45,809
Operating expenses, depreciations, impairments, etc.
- 28,908
- 46,677
Loan impairment charges
- 262
- 1,502
Result before tax
26,682
- 2,370
Tax
- 5,420
- 2,784
Result for the year
21,262
- 5,154
Comprehensive income
- 14
- 3,693
Comprehensive income, total
21,248
- 8,847
Non-current assets
2,501,529
2,550,383
Current assets
1,269,452
1,212,616
Non-current liabilities
- 2,670,726
- 2,789,278
Current liabilities
- 924,516
- 813,403
Total assets, net
175,739
160,318
Cash and bank balances
259,156
175,052
Since 1928, A.P. Moller Group has been shareholder in Danske Bank - a Nordic universal bank
offering a diversified platform across the Nordic markets.
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
49
Note 3.4: Investments in joint ventures and associates – continued
Reconciliation of A.P. Møller Holding A/S’ share of carrying amount in Danske Bank A/S:
Amounts in DKKm
2023
2022
Net assets 1 January
160,318
171,207
Result for the year
21,262
- 5,154
Other comprehensive income
- 14
- 3,693
Dividends paid
- 6,011
- 1,705
Other equity transactions
184
- 337
Net assets 31 December
175,739
160,318
A.P. Møller Holding A/S' ownership
21.3%
21.3%
A.P. Møller Holding A/S' share of
Result for the year
4,520
- 1,096
Comprehensive income
- 3
- 785
Dividends received during the year
1,283
367
Ownership interest
37,356
34,078
Goodwill
957
957
Carrying amount
38,313
35,035
OTHER JOINT VENTURES AND ASSOCIATED COMPANIES
In addition to the interests in material associated companies disclosed above, the group also
has interests in a number of individually immaterial joint ventures and associates.
Other investments in joint ventures
Amounts in DKKm
2023
2022
A.P. Møller Holding A/S' share of:
Profit for the year
1,022
- 1,366
Comprehensive income
0
- 7
Carrying amount
5,649
5,379
Other investments in associated companies
Amounts in DKKm
2023
2022
A.P. Møller Holding A/S' share of:
Profit for the year
2,599
2,267
Comprehensive income
0
49
Carrying amount
12,653
14,583
MATERIAL ACCOUNTING ESTIMATES
Investments in associated companies
As of 31 December 2023, the carrying amount of the shares in Danske Bank amounted to
DKK 38.3bn (DKK 35.0bn), including group goodwill of DKK 1.0bn, and the market value
amounted to DKK 33.1bn (DKK 25.2bn). An impairment test has been prepared and sup-
ports that there is no impairment (no impairment) as of 31 December 2023.
On 13 December 2022, Danske Bank announced that it had reached final coordinated
resolutions with the US Department of Justice (DOJ), the US Securities and Exchange
Commission (SEC), and the Danish Special Crime Unit (SCU) following the investigations
into failings and misconduct related to the non-resident portfolio at Danske Bank’s former
Estonia branch. The aggregate amounts payable to the US and Danish authorities were
paid in January 2023. The coordinated resolutions marked the end of the criminal and
regulatory investigations into Danske Bank by the authorities in Denmark and the US.
As part of Danske Bank’s agreement with the DOJ, Danske Bank is placed on corporate
probation for three years from 13 December 2022 until 13 December 2025, and Danske
Bank committed to comply with certain Post-Resolution Obligations agreed with the DOJ.
The completion of the Financial Crime Plan constitutes a significant part of these Post-
Resolution Obligations. The assurance and further testing work Danske Bank will be un-
dertaking in 2024 in relation to its financial crime programme is one of these obligations
and will be a focus area for Danske Bank.
Danske Bank remains subject to a criminal investigation by authorities in France and has
posted bail in the amount of DKK 80m. Danske Bank continues to cooperate with the au-
thorities.
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
50
Note 3.4: Investments in joint ventures and associates – continued
Danske Bank is subject to ongoing litigation in relation to the Estonia matter. The civil
claims filed against Danske Bank by institutional investors can be summarised to six case
complexes with a current total claim amount of approx. 12.8bn. This includes, inter alia, an
action against Danske Bank (and other defendants) in the US and a number of court cases
initiated against Danske Bank in Denmark. These civil claims were not included in the coor-
dinated resolutions with the DOJ, SEC, and SCU. Danske Bank will continue to defend
itself vigorously against these claims. The timing of completion of any such civil claims
(pending or threatening) and their outcome are uncertain and could be material.
MATERIAL ACCOUNTING POLICIES
Share of result in associated companies and joint ventures is recognised net of tax and
corrected for the share of unrealised intra-group gains and losses. The item also com-
prises any impairment losses for such investments and their reversal.
Investments in associated companies and joint ventures are recognised at the group’s
share of the equity value inclusive of goodwill less any impairment losses. Goodwill is an
integral part of the value of associated companies and joint ventures and is therefore sub-
ject to an impairment test together with the investment as a whole. Impairment losses are
reversed to the extent the original value is considered recoverable.
Note 3.5: Loans receivable
Loans receivable amount to DKK 86.8bn (DKK 124.2bn) and consist primarily of term deposits
with a maturity of more than three months, amounting to DKK 86.3bn (DKK 122.7bn). For
details on the assessment of the expected losses on term deposits, please refer to note 4.3.
MATERIAL ACCOUNTING POLICIES
Loans receivable are initially recognised at fair value, plus any direct transaction costs and
subsequently measured at amortised cost using the effective interest method. For loans
receivable, write-downs are made for anticipated losses based on specific individual or
group assessments.
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
51
Note 3.6: Acquisition/sale of subsidiaries and activities
ACQUISITIONS DURING 2023
Cash flow used for acquisitions in 2023
Amounts in DKKm
Total¹
Fair value at time of acquisition
Intangible assets
1,039
Property, plant and equipment
585
Right-of-use assets
261
Financial assets
3
Current assets
1,382
Provisions
- 49
Liabilities
- 307
Net assets acquired
2,914
Non-controlling interests
- 138
A.P. Møller Holding A/S' share
2,776
Goodwill
401
Purchase price
3,177
Change in payable purchase price, etc.
131
Contingent consideration assumed
- 52
Contingent consideration paid
493
Cash and bank balances assumed
- 238
Cash flow used for acquisition of subsidiaries and activities
3,511
1
Total includes minor changes in the provisional amounts of 2022 business combinations
Transaction related costs recognised in the income statement amounted to DKK 43m.
KK Wind Solutions (The energy transition)
The group has acquired an add-on to its converter & controls business. The acquisition makes
KK Wind Solutions the world’s leading converter manufacturer to the wind industry. The transac-
tion brings numerous benefits to the customers as the group gains additional momentum in ma-
turing the industry’s supply chain and leveraging economies of scale across the group’s opera-
tions to achieve greater efficiencies. By expanding the manufacturing footprint to China, the
group can better serve our customers globally. As part of the transaction, KK Wind Solutions
gains exclusivity in supplying converters and controls to Vestas and will further advance the
partnership by co-developing all future Vestas converters.
The purchase price allocation resulted in goodwill of DKK 304m. Acquired goodwill is not allowa-
ble for tax purposes.
The acquisition contributed revenue of DKK 2.3bn and net profit of DKK 0.1bn. Had the acquisi-
tion occurred on 1 January 2023, the impact on the group’s revenue would have been DKK 2.8bn
and net profit of DKK 0.1bn, including amortisation of intangibles recognised in the acquisition.
Martin Bencher Group (Logistics & Services)
On 2 January 2023, the group acquired 100% of the shares in Martin Bencher Group, a Den-
mark-based project logistics company with premium competencies within non-containerised
project logistics. The acquisition of Martin Bencher Group will complement the existing project
logistics services already available at A.P. Moller - Maersk, with a specialised service offering the
combination of solution design, special cargo transportation, and project management services.
It will build on existing infrastructures and know-how across the Project Logistics vertical in
Sales & Marketing, Ocean, and Logistics & Services Special Project Logistics (SPL).
The purchase price allocation resulted in goodwill of DKK 76m. Acquired goodwill is not allowa-
ble for tax purposes.
Martin Bencher Group contributed revenue of DKK 1.1bn and an insignificant net profit to the
group equivalent to its entire revenue and net profit in 2023.
Grindrod Intermodal Group (Logistics & Services)
On 2 January 2023, the group completed the acquisition of Grindrod Logistics. The group part-
nered with Grindrod Intermodal Group to merge the logistics activities of Grindrod Intermodal
business and the ocean activities of the Ocean Africa Container Lines (OACL) with the current
A.P. Moller - Maersk Logistics & Services products in South Africa. The Grindrod Intermodal
Group is a well-known and trusted partner in South Africa with a range of logistics and services
offerings. The group has a controlling interest of 51%.
The purchase price allocation resulted in goodwill of DKK 103m. Acquired goodwill is not allowa-
ble for tax purposes. The non-controlling interest in Grindrod is measured at the non-controlling
interest’s proportionate share of the acquired net identifiable assets.
Grindrod contributed revenue of DKK 0.3bn and an insignificant net profit to the group equiva-
lent to its entire revenue and net profit in 2023.
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
52
Note 3.6: Acquisition/sale of subsidiaries and activities - continued
ACQUISITIONS DURING 2022
Cash flow used for acquisitions in 2022
Amounts in DKKm
Unilabs
Paccor
Logistics
&
Services¹
Other
Total
Fair value at time of acquisition
Intangible assets
12,771
2,270
11,889
206
27,136
Property, plant and equipment
1,300
2,449
1,458
272
5,479
Right-of-use assets
1,501
239
3,962
235
5,937
Financial assets
110
14
848
520
1,492
Deferred tax assets
135
20
35
0
190
Current assets
4,667
2,099
7,821
672
15,259
Provisions
- 998
- 80
- 155
- 3
- 1,236
Deferred tax liability
- 2,521
- 626
- 2,979
- 17
- 6,143
Other liabilities
- 19,413
- 7,787
- 13,408
- 1,021
- 41,629
Net assets acquired
- 2,448
- 1,402
9,471
864
6,485
Non-controlling interests
- 276
- 43
0
- 108
- 427
A.P. Møller Holding A/S' share
- 2,724
- 1,445
9,471
756
6,058
Goodwill
23,118
3,224
25,908
2,238
54,488
Purchase price
20,394
1,779
35,379
2,994
60,546
Change in payable purchase price, etc.
982
0
- 113
0
869
Contingent consideration assumed
0
0
- 425
- 39
- 464
Contingent consideration paid
0
0
134
30
164
Cash and bank balances assumed
- 1,114
- 408
- 1,239
- 374
- 3,135
Cash flow used for acquisition of subsidiaries
and activities
20,262
1,371
33,736
2,611
57,980
¹ Acquisitions in Logistics & Services are specified below
Transaction related costs recognised in the income statement amounted to DKK 0.7bn.
Unilabs (Demographic & societal change)
On 15 March 2022, the group acquired all the shares in Unilabs Holding AB. Unilabs is a leading
European provider of medical diagnostic services. By acquiring Unilabs, the group contributes to
critical societal challenges as diagnostics is a crucial part of the important transition from vol-
ume-based to value-based care, to reduce the amount of medical resources applied and to pro-
vide better patient outcomes. The agreement was signed in December 2021.
The total purchase price was DKK 20.4bn. Of the purchase price allocation, DKK 23.1bn was re-
lated to goodwill while DKK 12.8bn was related to intangible assets, mainly customer relation-
ships and brand. Liabilities were mainly related to borrowings and lease liabilities. Goodwill was
mainly attributable to expected future synergies from leveraging the acquired knowhow and
technologies. Acquired goodwill was not allowable for tax purposes.
During 2022, Unilabs acquired Rimed, a leading Swiss diagnostic radiology company, as well as
a number of other acquisitions, which are disclosed under other.
From the acquisition date to 31 December 2022, Unilabs contributed with a revenue of DKK
9.5bn and net loss of DKK 1.4bn. Had the acquisition occurred on 1 January 2022, the impact on
the group’s revenue would have been DKK 13.9bn and net loss of DKK 0.9bn, including amorti-
sation of intangibles recognised in the acquisition.
Faerch (Circularity, water & waste recovery)
On 31 August 2022, Faerch acquired all the shares in Paccor Holdings GmbH, a leading Euro-
pean manufacturer of rigid packaging for the food industry with a significant position in the dairy
segment. The agreement was signed in December 2021.
The total purchase price was DKK 1.8bn. Of the purchase price allocation, DKK 3.2bn was re-
lated to goodwill while DKK 2.3bn was related to intangible assets, mainly customer relation-
ships. Liabilities were mainly related to borrowings and lease liabilities. Goodwill was mainly at-
tributable to expected future synergies from leveraging the acquired knowhow and
technologies. Acquired goodwill was not allowable for tax purposes.
In December 2022, Faerch acquired MCP Performance Plastic. The acquisition expanded
Faerch’s geographical footprint beyond Europe and establishes a presence in the important US
market. The acquisition is disclosed under Other. The agreement was signed in July 2021.
From the acquisition dates to 31 December 2022, the acquisitions contributed with a revenue of
DKK 1.7bn and net loss of DKK 0.3bn. Had the acquisitions occurred on 1 January 2022, the im-
pact on the group’s revenue would have been DKK 5.6bn and net loss of DKK 0.6bn, including
amortisation of intangibles recognised in the acquisition.
KK Wind Solutions (The energy transition)
In June 2022, KK Wind Solutions acquired ConverterTec Deutschland GmbH’s R&D department
and IP portfolio to further strengthen their offerings within power conversion. The acquisition is
disclosed under Other.
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
53
Note 3.6: Acquisition/sale of subsidiaries and activities - continued
A.P. Moller - Maersk
A.P. Moller - Maersk has acquired a number of businesses within Logistics & Services.
Acquisitions in Logistics & Services are included in the previous table and can be specified as
follows:
Cash flow used for acquisitions in 2022
Amounts in DKKm
LF
Logistics
Pilot
Senator
Total
Fair value at time of acquisition
Intangible assets
5,711
4,600
1,578
11,889
Property, plant and equipment
1,246
78
134
1,458
Right-of-use assets
2,526
1,231
205
3,962
Financial assets
778
28
42
848
Deferred tax assets
35
0
0
35
Current assets
3,086
1,918
2,817
7,821
Provisions
- 127
- 28
0
- 155
Deferred tax liability
- 1,444
- 1,132
- 403
- 2,979
Other liabilities
- 4,167
- 7,409
- 1,832
- 13,408
Net assets acquired
7,644
- 714
2,541
9,471
Non-controlling interests
0
0
0
0
A.P. Møller Holding A/S' share
7,644
- 714
2,541
9,471
Goodwill
16,213
8,103
1,592
25,908
Purchase price
23,857
7,389
4,133
35,379
Change in payable purchase price, etc.
- 170
57
0
- 113
Contingent consideration assumed
- 425
0
0
- 425
Contingent consideration paid
0
134
0
134
Cash and bank balances assumed
- 892
- 64
- 283
- 1,239
Cash flow used for acquisition of subsidiaries and
activities
22,370
7,516
3,850
33,736
At the end of August 2022, A.P. Moller - Maersk completed the acquisition of all shares in LF Lo-
gistics Holdings Limited, a leading omnichannel fulfilment contract logistics company in Asia Pa-
cific. The acquisition will further strengthen A.P. Moller - Maersk’s capabilities as an integrated
container logistics company, offering global end-to-end supply chain solutions to its customers.
The agreement was signed in December 2021.
The total purchase price was DKK 23.9bn, including the fair value of contingent consideration of
DKK 0.4bn, which was contingent upon LF Logistics’ future financial performance for the years
2023-2024 and had a maximum payment value of DKK 1.1bn. Of the purchase price allocation,
DKK 16.2bn was related to goodwill while DKK 5.7bn was related to intangible assets, mainly
customer relationships. Liabilities were mainly related to trade payables and lease liabilities.
Goodwill is mainly attributable to expected future commercial and operational synergies, driven
by cross-selling and improved productivity. Acquired goodwill is not allowable for tax purposes.
From the acquisition date to 31 December 2022, the acquisition contributed with a revenue of
DKK 2.5bn and an insignificant net profit. Had the acquisition occurred on 1 January 2022, the
impact on the group’s revenue would have been DKK 7.1bn and net profit of DKK 0.3bn, includ-
ing amortisation of intangibles recognised in the acquisition.
The accounting for the business combination was considered provisional as of 31 December
2022, as valuation of intangible assets was not yet finalised.
In May 2022, A.P. Moller - Maersk completed the acquisition of all shares in Pilot Freight Ser-
vices, a US-based first, middle, and last mile cross-border solutions provider. Pilot will add spe-
cific new services within the fast-growing big and bulky e-commerce segment, thus increasing
cross-selling opportunities.
The total purchase price was DKK 7.4bn and settlement of debt of DKK 4.2bn was presented as
cash flow from financing in the cash flow statement. Of the purchase price allocation, DKK 8.1bn
was related to goodwill while DKK 4.6bn was related to intangible assets, mainly customer rela-
tionships. Liabilities were mainly related to trade payables, lease liabilities, and debt settled as
part of the transaction. Goodwill is mainly attributable to expected future commercial and opera-
tional synergies, driven by cross-selling, network optimisations, and improved productivity.
Goodwill of DKK 0.7bn related to the acquisition is expected to be deductible for tax purposes.
From the acquisition date to 31 December 2022, the acquisition contributed with a revenue of
DKK 7.0bn and an insignificant net profit. Had the acquisition occurred on 1 January 2022, the
impact on the group’s revenue would have been DKK 10.6bn and an insignificant net profit.
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
54
Note 3.6: Acquisition/sale of subsidiaries and activities - continued
In June 2022, A.P. Moller - Maersk completed the acquisition of all shares in Senator Interna-
tional, a well-renowned German air-based freight carrier company. Senator International will
contribute with offerings within air freight out of Europe into the US and Asia, and thereby add
strong capabilities and geographical reach to the integrator vision. The agreement was signed in
November 2021.
The total purchase price was DKK 4.1bn. Of the purchase price allocation, DKK 1.6bn was re-
lated to goodwill while DKK 1.6bn was related to intangible assets, mainly customer relation-
ships. Liabilities were mainly related to accrued expenses and deferred tax. Goodwill is mainly
attributable to expected future commercial and operational synergies, driven by cross-selling,
network optimisations, and improved productivity. Acquired goodwill is not allowable for tax
purposes.
From the acquisition date to 31 December 2022, the acquisition contributed with a revenue of
DKK 5.6bn and net profit of DKK 0.3bn. Had the acquisition occurred on 1 January 2022, the im-
pact on the group’s revenue would have been DKK 11.3bn and net profit of DKK 0.7bn, including
amortisation of intangibles recognised in the acquisition.
SALES DURING 2023
An agreement was reached to divest U.S. Marine Management LLC and resulted in a net gain of
DKK 0.6bn and DKK 0.5bn after tax. The net gain before tax is classified as gain on sale of non-
current assets in the income statement.
The group completed the sale of the 26.4% shareholding in Höegh Autoliners. The net transac-
tion price amounted to DKK 2.5bn and resulted in a gain of DKK 0.4bn.
SALES DURING 2022
Terminals completed the sale of the 30.75% minority stake in Global Ports Investments in Rus-
sia for DKK 1.0bn. The transaction includes an ability for Terminals to re-enter the partnership in
the future.
In February 2022, Innargi concluded fundraising of DKK 0.6bn. Consequently, our ownership
was diluted and Innargi has been recognised as an associated company. A gain of DKK 0.4bn
has been recognised in the income statement.
In October 2022, the merger between Maersk Drilling and Noble Corporation was completed,
leading to A.P. Moller Group no longer holding a controlling position in the combined company,
Noble Corporation plc (Noble). The merger was a non-cash transaction and the fair value of the
received shares in the combined company amounted to DKK 6.2bn. Our shareholding in Noble is
recognised as an associated company. A net loss of DKK 0.7bn has been recognised in the
income statement.
There were no other material sales in 2022.
MATERIAL ACCOUNTING JUDGMENTS
Business combinations
Upon acquisition of new entities, the acquired assets, liabilities, and contingent liabilities
are measured at fair value. In fair value assessments, significant judgments have been
made and estimates have been applied using various valuation techniques.
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
55
Note 3.6: Acquisition/sale of subsidiaries and activities - continued
MATERIAL ACCOUNTING POLICIES
Upon acquisition of new entities, the acquired assets, liabilities, and contingent liabilities
are measured at fair value at the date when control was achieved using the acquisition
method. Identifiable intangible assets are recognised if they arise from a contractual right
or can otherwise be separately identified. The difference between the fair value of the ac-
quisition cost and the fair value of the acquired identifiable net assets is recognised as
goodwill. Contingent consideration is measured at fair value and any subsequent changes
to contingent consideration are recognised as financial income or financial expense in the
income statement. If contingent consideration is settled by issuing a predetermined num-
ber of shares, the contingent consideration is classified as equity and is subsequently not
remeasured at fair value. Transaction costs are recognised as operating costs as they are
incurred.
When the group ceases to have control of a subsidiary, the value of any retained invest-
ment is remeasured at fair value, and the value adjustment is recognised in the income
statement as gain (or loss) on the sale of non-current assets. The difference between sales
proceeds and the carrying amount of the subsidiary is recognised in the income state-
ment, including fair value of the contingent consideration at the time of sale. Contingent
consideration is remeasured at fair value with changes recognised in the income state-
ment.
The effect of the purchase and sale of non-controlling interests without changes in control
is included directly in equity.
Note 3.7: Assets held for sale
Amounts in DKKm
2023
2022
Balance sheet items comprise
Property, plant and equipment
368
91
Deferred tax assets
0
7
Other assets
3
355
Non-current assets
371
453
Current assets
0
28
Assets held for sale
371
481
Provisions
0
7
Other liabilities
0
56
Liabilities associated with assets held for sale
0
63
Assets held for sale relate to one terminal (two terminals) and one vessel (none).
MATERIAL ACCOUNTING POLICIES
Assets held for sale are recognised when the carrying amount of an individual non-current
asset, or disposal group of assets, will be recovered principally through a sales transaction
rather than through continued use. Assets are classified as held for sale, when activities
to carry out a sale have been initiated, when the activities are available for immediate sale
in their present condition, and when the activities are expected to be disposed of within
12 months. Liabilities directly associated with assets held for sale are presented separately
from other liabilities.
Assets held for sale are measured at the lower of carrying amount immediately before
classification as held for sale and fair value less costs of disposal. Impairment tests are
performed immediately before classification as held for sale. Non-current assets are not
depreciated or amortised while classified as held for sale. The measurement of deferred
tax and financial assets and liabilities is unchanged.
When an asset or a disposal group have been classified as held for sale or distribution, but
the requirements are no longer met, the assets and related liabilities cease to be classified
as held for sale. The cessation of the classification as held for sale will be reflected in the
period in which the change of circumstances has occurred. Comparative figures are not re-
stated, and any adjustments to the carrying value of assets and liabilities previously classi-
fied as held for sale are recognised in the period in which the circumstances have changed.
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
56
CAPITAL AND FINANCING
Note 4.1: Financial income and expenses
Amounts in DKKm
2023
2022
Interest expenses on liabilities¹
- 4,587
- 3,435
Of which borrowing costs capitalised on assets²
950
348
Interest expenses on lease liabilities
- 3,986
- 3,772
Interest income on loans and receivables
8,624
3,196
Fair value adjustment transferred from equity hedge reserve (gain)
37
9
Fair value adjustment transferred from equity hedge reserve (loss)
- 142
- 269
Net interest expenses
896
- 3,923
Exchange rate gains on bank balances, borrowings, and working capital
3,880
5,141
Exchange rate losses on bank balances, borrowings, and working capital
- 4,372
- 5,149
Net foreign exchange gains/losses
- 492
- 8
Fair value gains from derivatives
1,430
385
Fair value losses from derivatives
- 404
- 2,258
Fair value gains from securities
4,429
928
Fair value losses from securities
- 899
- 1,875
Net fair value gains/losses
4,556
- 2,820
Dividends received from securities
288
147
Impairment losses on financial non-current receivables
- 42
- 92
Reversal of write-downs of loans and other non-current receivables
- 141
14
Financial expenses, net
5,065
- 6,682
Of which:
Financial income
18,689
9,806
Financial expenses
- 13,624
- 16,488
1
Of which DKK 69m (DKK 0m) relates to expenses on the prepayment of issued bonds
2
Various capitalisation rates between 7.2% - 7.4% (4.6% - 5.0%) have been used to determine the amount of
borrowing costs eligible for capitalisation
Please refer to note 4.3 for an analysis of gains and losses from derivatives.
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
57
Note 4.2: Borrowings and net debt reconciliation
Non-cash changes
Net debt
as of 31
December
Cash
flows¹
Additions,
net²
Disposals
Foreign
exchange
move-
ments
Other³
Net debt
as of 31
December
Amounts in DKKm
2022
2023
Borrowings:
Bank and other
credit institutions
38,206
2,595
260
- 277
- 267
- 3
40,514
Issued bonds⁴
20,735
2,123
0
0
- 360
386
22,884
Total borrowings
58,941
4,718
260
- 277
- 627
383
63,398
Classified as non-
current
54,062
60,010
Classified as current
4,879
3,388
Leases:
Lease liabilities
83,377
- 23,213
17,286
- 1,722
- 1,796
- 623
73,309
Total leases
83,377
- 23,213
17,286
- 1,722
- 1,796
- 623
73,309
Classified as non-
current
61,485
54,616
Classified as current
21,892
18,693
Total borrowings
and leases
142,318
- 18,495
17,546
- 1,999
- 2,423
- 240
136,707
Derivatives hedge
of borrowings, net
3,708
- 313
0
- 28
- 457
- 550
2,360
1
Total cash outflow from borrowings of DKK 2.6bn is decreased by cash flow from hedges of DKK 241m
2
Including business combinations
3
Other includes fair value changes and amortisation of fees
4
Of total issued bonds as of 31 December 2023, DKK 8.8bn are green bonds primarily used to finance the con-
struction of green methanol vessels
Non-cash changes
Net debt
as of 31
December
Cash
flows¹
Additions,
net²
Disposals
Foreign
exchange
move-
ments
Other³
Net debt
as of 31
December
Amounts in DKKm
2021
2022
Borrowings:
Bank and other
credit institutions
28,721
- 10,879
24,281
- 5,251
1,460
- 126
38,206
Issued bonds⁴
21,908
0
0
0
157
- 1,330
20,735
Total borrowings
50,629
- 10,879
24,281
- 5,251
1,617
- 1,456
58,941
Classified as non-
current
45,981
54,062
Classified as current
4,648
4,879
Leases:
Lease liabilities
70,366
- 22,660
36,398
- 3,504
3,083
- 306
83,377
Total leases
70,366
- 22,660
36,398
- 3,504
3,083
- 306
83,377
Classified as non-
current
54,029
61,485
Classified as current
16,337
21,892
Total borrowings
and leases
120,995
- 33,539
60,679
- 8,755
4,700
- 1,762
142,318
Derivatives hedge
of borrowings, net
1,383
99
0
- 17
1,382
861
3,708
1
Total cash outflow from borrowings of DKK 10.9bn includes decrease in cash overdraft of DKK 2.0bn
2
Including business combinations
3
Other includes fair value changes and amortisation of fees
4
Of total issued bonds as of 31 December 2022, DKK 3.8bn are green bonds used to finance acquisitions of
green methanol vessels
The maturity analysis of lease liabilities is disclosed in note 4.3.
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
58
Note 4.2: Borrowings and net debt reconciliation - continued
MATERIAL ACCOUNTING POLICIES
Financial liabilities
Financial liabilities are initially recognised at fair value less transaction costs. Subse-
quently, the financial liabilities are measured at amortised cost using the effective interest
method, whereby transaction costs and any premium or discount, are recognised as finan-
cial expenses, over the term of the liabilities. Fixed interest loans, subject to fair value
hedge accounting, are measured at amortised cost, with an adjustment for the fair value of
the hedged interest component.
Lease liabilities
Lease liabilities are measured at the present value of the lease payments over the lease
term, at the interest rate implicit in the lease, or at the group’s incremental borrowing rate
(IBR). The applied IBR reflects the group’s credit risk, leased amount, and contract dura-
tion, as well as the nature and quality of the asset’s security and economic environment in
which the leased assets operate. To determine the IBR, where possible, A.P. Moller Hold-
ing uses recent third-party financing received by the individual lessee as a starting point,
with adjustments to reflect changes in financing conditions since that financing was re-
ceived. Where such financing is not available, A.P. Moller Holding uses a build-up ap-
proach that starts with a risk-free interest rate adjusted by credit risk and specific risks
faced by the lessee such as asset type, geographical risks, etc.
Subsequently, the lease liability is measured at amortised cost with each lease payment
allocated between the repayment of the liability and financing cost. The financing cost is
charged to the income statement over the lease period using the IBR that was used to dis-
count the lease payments.
The following lease payments are included in the net present value:
• Fixed payments (including in-substance fixed payments), less any lease incentives
receivable
• Variable lease payments which are based on an index or a rate
• Amounts expected to be payable by the lessee under residual value guarantees
• The exercise price of a purchase option if the lessee is reasonably certain to exercise
that option, and payments of penalties for terminating the lease if the lease term re-
flects the lessee exercising that option
Extension and termination options in lease contracts are included in contracts where it is
reasonable that A.P. Moller Holding will exercise those options. These terms are used to
maximise operational flexibility in terms of managing contracts. In determining the lease
term, management considers all facts and circumstances that create an economic incentive
to exercise an extension option, or not exercise a termination option. Extension options
(or periods after termination options) are only included in the lease term if the lease is rea-
sonably certain to be extended or not terminated. Most of the extension and termination
options held, are exercisable only by A.P. Moller Holding and not by the respective lessor.
The assessment is reviewed if a significant event or a significant change in circumstances
occurs, which affects this assessment, and is within the control of the lessee. Where A.P.
Moller Holding will probably exercise specific purchase options, those options are in-
cluded in the measurement of the lease liability with the corresponding right-of-use asset
depreciated over the asset’s useful life rather than lease term.
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
59
Note 4.3: Financial instruments and risks
Hedges comprise primarily currency and interest rate derivatives as well as oil price hedges,
which are further described in the following sections.
The gains/losses of the derivatives are recognised as follows:
Amounts in DKKm
2023
2022
Hedging foreign exchange risk on revenue
- 58
- 92
Hedging foreign exchange risk on operating costs
258
- 796
Hedging interest rate risk
- 105
- 260
Hedging foreign exchange risk on the cost of non-current assets
28
- 212
Total effective hedging
123
- 1,360
Ineffectiveness recognised in financial expenses
11
81
Total reclassified from equity reserve for hedges
134
- 1,279
Derivatives accounted for as held for trading
Currency derivatives recognised directly in financial income/expenses
1,059
- 1,953
Interest rate derivatives recognised directly in financial income/expenses
301
- 1,387
Oil prices and freight rate derivatives recognised directly in other income/costs
- 129
- 1,060
Net gains/losses recognised directly in the income statement
1,231
- 4,400
Total
1,365
- 5,679
The group’s activities expose it to a variety of financial risks:
• Market risk
• Credit risk
• Liquidity risk
The group’s risk management programmes focus on the unpredictability of financial markets
and seek to minimise the potential adverse effects on the group’s financial performance. The
group uses derivative financial instruments to hedge certain risk exposures.
Risk management is most effectively managed by each portfolio company. Consequently, the
management of risks related to our portfolio companies is anchored with the Board of Directors
in each of our portfolio companies. A.P. Moller Holding monitors business performance in the
portfolio companies closely as part of our ownership aspiration.
MARKET RISK
Market risk covers changes in market prices, such as foreign exchange rates, interest rates, and
share prices, that will affect the group’s profit or the value of its holdings of financial instru-
ments. The sensitivity analyses in the currency risk and interest rate risk sections below relate to
the position of financial instruments as of 31 December 2023.
The sensitivity analyses for currency risk and interest rate risk have been prepared on the basis
that the amount of net debt, the ratio of fixed to floating interest rates of the debt, and the pro-
portion of financial instruments in foreign currencies remain unchanged from hedge designa-
tions in place at 31 December 2023. Furthermore, it is assumed that the exchange rate and inter-
est rate sensitivities have a symmetrical impact, i.e. an increase in rates results in the same
absolute movement as a decrease in rates.
The sensitivity analyses show the effect on profit and equity of a reasonable possible change in
exchange rates and interest rates.
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
60
Note 4.3: Financial instruments and risks – continued
CURRENCY RISK
The group’s currency risk relates mainly to the fact that while income from global trade is de-
nominated mainly in USD, the related expenses are incurred in both USD and a wide range of
other currencies such as CNY, DKK, EUR, HKD, and SGD. Income and expenses from the
group’s other activities are primarily denominated in local currencies, thus reducing the group’s
exposure to these currencies. As the net income is primarily in DKK, EUR, and USD, these are
also the primary financing currencies.
The main purpose of hedging the currency risk in each portfolio company is to hedge the DKK,
EUR, or USD value of the portfolio company’s net cash flow and reduce fluctuations in the net
profit of the portfolio company. The group uses various financial derivatives, including forwards,
option contracts, and cross-currency swaps, to hedge these risks. The key aspects of the cur-
rency hedging policy are:
• Net cash flows in significant currencies other than DKK, EUR, and USD are generally hedged
using a layered model with a 12-month horizon
• Significant capital commitments or divestments in currencies other than DKK, EUR, and USD
are hedged
• Majority of debt in currencies other than DKK, EUR, and USD is hedged depending on the
asset-liability match and the currency of the generated cash flow
Currency derivatives hedge future revenue, operating costs, and investments/divestments, and
are recognised on an ongoing basis in the income statement and the cost of property, plant and
equipment, respectively. There is not any proxy hedging for the currency risk hedging, and
therefore the economic relationship between the hedged exposure and the hedge is high. Effec-
tiveness is assessed using the critical terms match approach according to IFRS 9.
Hedges of future revenue and operating costs mature within a year (mature within a year). There
are no hedges of investments at the end of 2023 (mature within a year).
For hedges related to operating cash flows and investments, a loss of DKK 51m in 2023 (gain of
DKK 670m) is recognised in other comprehensive income, and the cash flow hedge reserve
amounts to a gain of DKK 296m as of 31 December 2023 (gain of DKK 396m). For hedges where
the cost of hedging is applied, the forward points are recognised in other comprehensive income
and transferred with the effective hedge when the hedged transaction occurs. The cost of hedg-
ing reserve amounts to DKK 0m (DKK 0m). There was no ineffectiveness in 2023 (no ineffective-
ness).
Derivatives recognised at fair value in the balance sheet:
Amounts in DKKm
2023
2022
Non-current receivables
102
216
Current receivables
990
1,451
Non-current liabilities
- 2,433
- 3,470
Current liabilities
- 513
- 573
Liabilities, net
- 1,854
- 2,376
Hedge of operating cash flow and investment in foreign currencies:
Amounts in DKKm
Fair value,
asset
Fair value,
liability
Nominal
amount of
derivative
Average hedge rate
Main currencies hedged
2023
CNY
34
7
1,679
USD/CNY 7.04
DKK
24
7
2,074
USD/DKK 6.76
EUR
95
13
6,906
EUR/USD 1.10
Other currencies
235
59
9,483
N/A
Total
388
86
2022
DKK
98
21
2,221
USD/DKK 7.08
EUR
168
35
5,254
EUR/USD 1.05
Other currencies
261
104
9,306
N/A
Total
527
160
Besides the designated cash flow hedges in the table above, the group uses derivatives to
hedge currency exposures that do not qualify for hedge accounting. These derivatives are classi-
fied as fair value through profit or loss. The average FX hedge rates for swaps in cash flow
hedge were EUR/USD 1.18 (1.18) and GBP/USD 1.52 (1.52). The average FX hedge rates for
swaps in combined fair value hedge were EUR/USD 1.24 (1.24), GBP/USD 1.52 (1.52),
USD/NOK 8.25 (8.25), and USD/JPY 119.39 (119.39).
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
61
Note 4.3: Financial instruments and risks – continued
Amounts in DKKm
2023
2022
Currency derivatives
290
390
Price hedge derivatives
0
213
Total
290
603
The sensitivity within global trade activities to an increase in the USD exchange rate of 10%
against all other significant currencies to which global trade activities are exposed is estimated
to have the following impact:
Currency sensitivity for financial instruments
Profit before tax
Equity before tax
Amounts in DKKm
2023
2022
2023
2022
CNY
217
245
55
191
DKK
62
- 1,874
- 132
- 2,095
EUR
417
190
- 215
- 293
SEK
75
0
75
0
USD
18
7
26
7
Other currencies
- 479
- 995
- 1,182
- 1,643
Total
310
- 2,427
- 1,373
- 3,833
The sensitivities are based only on the impact of financial instruments that are outstanding at the
balance sheet date and are thus not an expression of the group’s total currency risk.
OIL PRICE RISK
The majority of the group’s trading of commodity products is related to inventory stocks of
crude oil and bunker oil, as the products are bought in large quantities and stored for processing
and resale. The oil price risk arising from the oil price exposures is mitigated by entering into
commodity derivative agreements. The overall exposure limit is set in the risk policy, defining a
maximum net open position. On 31 December 2023, the group has entered into oil derivative po-
sitions shown in the table below.
The group’s sensitivity to an increase in the oil price of 5% is estimated, all else being equal, to
affect profit and equity before tax negatively by DKK 162m (negatively by DKK 146m), and nega-
tively by DKK 162m (negatively by DKK 146m), respectively. The sensitivities are based on the
impact of financial instruments that are outstanding at the balance sheet date.
Commodity hedges
Maturity
Amounts in DKKm
Fair value
0-1 year
1-5 years
5 years
2023
Commodity swaps
67
67
0
0
Commodity futures
54
54
0
0
Total
121
121
0
0
2022
Commodity swaps
175
140
35
0
Commodity futures
35
35
0
0
Total
210
175
35
0
INTEREST RATE RISK
The group has most of its debt denominated in DKK, EUR, and USD, but part of the debt (e.g.
issued bonds) is in other currencies such as GBP, JPY, and NOK. The group strives to maintain a
combination of fixed and floating interest rates on its net debt, reflecting expectations and risks.
Interest rate risk is managed within a range set for the percentage of gross debt carrying fixed
interest, net of hedging. The level as of 31 December 2023 is 41% (44%) excluding IFRS 16
leases.
A general increase in interest rates by one percentage point is estimated, all other things being
equal, to affect profit before tax and equity, excluding tax effect, positively by approx. DKK 1.0bn
(positively by approx. DKK 1.5bn) and positively by approx. DKK 0.8bn (positively by approx.
DKK 1.4bn), respectively.
This analysis assumes that all other variables, in particular foreign currency rates, remain con-
stant.
The hedging of interest rate risks is done by cross-currency swaps and interest rate swaps. The
hedging is a mix of fair value hedging, combined fair value hedging, and cash flow hedging.
Combined fair value hedging is applied when cross-currency swaps are entered into to hedge
the risk of debt denominated in currencies other than DKK, EUR, and USD. Each hedge relation-
ship is split into a fair value hedge, where value changes from the exchange rate exposure of the
credit margin are recognised in other comprehensive income.
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
62
Note 4.3: Financial instruments and risks – continued
Ineffectiveness from cash flow hedges due to buy-back of issued bonds is recognised in the in-
come statement with a cost of DKK 7m (DKK 0m).
The hedges are expected to be highly effective due to the nature of the economic relationship
between the exposure and the hedge. The source of ineffectiveness is the credit risk of the hedg-
ing instruments. For hedges where the cost of hedging is applied, the change in basis spread is
recognised in other comprehensive income and is a time effect during the lifetime of the swap
and at maturity, amounting to 0. If the hedged transaction is prepaid, the change in basis spread
will be recognised in profit or loss as ineffectiveness. The cost of hedging reserve amounts to a
gain of DKK 47m (gain of DKK 105m).
Borrowings by interest rate levels inclusive of
interest rate swaps
Next interest rate fixing
Amounts in DKKm
Carrying
amount
0-1 year
1-5 years
5- years
2023
0-3%
8,101
2,537
1,325
4,239
3-6%
78,234
19,739
32,744
25,751
6%-
50,372
24,093
22,401
3,878
Total
136,707
46,369
56,470
33,868
Of which:
Fixed interest rate
91,312
Floating interest rate
45,395
2022
0-3%
14,952
4,526
4,893
5,533
3-6%
106,564
30,957
52,318
23,289
6%-
20,802
14,228
3,169
3,405
Total
142,318
49,711
60,380
32,227
Of which:
Fixed interest rate
109,054
Floating interest rate
33,264
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
63
Note 4.3: Financial instruments and risks – continued
Interest rate hedging of borrowings
Maturity
Amounts in DKKm
Fair value,
asset
Fair value,
liability
Nominal
amount of
derivative
0-1 year
1-5 years
5- years
Gain/loss
on
hedged
items
Gain/loss
on hedg-
ing instru-
ment
Average
hedge
rate
2023
Combined fair value hedge, hedge of borrowings
EUR
0
607
3,392
0
2,799
593
103
- 221
7.3%
GBP
0
162
600
0
600
0
14
- 41
7.9%
JPY
0
115
593
0
593
0
0
- 14
7.9%
NOK
0
456
1,457
0
1,457
0
83
- 124
7.2%
Fair value hedge, hedge of borrowings
USD
74
297
5,732
0
1,349
4,383
221
- 227
7.7%
Cash flow hedge, hedge of borrowings
EUR
58
833
6,590
36
2,824
3,730
- 203
- 524
3.2%
GBP
0
223
1,092
0
1,092
0
0
- 7
4.6%
USD
17
23
432
0
202
230
- 171
52
2.6%
Total
149
2,716
19,888
36
10,916
8,936
47
- 1,106
2022
Combined fair value hedge, hedge of borrowings
EUR
0
885
3,386
0
2,794
592
248
- 382
6.2%
GBP
0
202
585
0
585
0
28
- 50
6.8%
JPY
0
84
662
0
662
0
0
- 21
6.1%
NOK
0
446
1,554
0
1,554
0
120
- 156
6.8%
Fair value hedge, hedge of borrowings
USD
0
509
6,270
0
3,484
2,786
531
- 517
6.7%
Cash flow hedge, hedge of borrowings
EUR
180
1,042
6,752
69
2,962
3,721
- 29
- 258
3.2%
GBP
0
536
1,930
0
1,930
0
0
- 35
4.6%
NOK
0
35
181
181
0
0
0
0
3.3%
SEK
0
77
425
0
425
0
0
0
1.7%
USD
77
- 3
3,568
1,224
2,059
285
97
199
2.7%
Total
257
3,813
25,313
1,474
16,455
7,384
995
- 1,220
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
64
Note 4.3: Financial instruments and risks – continued
CREDIT RISK
Trade receivables
The group has exposure to financial and commercial counterparties, but has no particular con-
centration of customers or suppliers. To minimise the credit risk, financial vetting is undertaken
for all major customers and financial institutions, adequate security is required for commercial
counterparties, and credit limits are set for financial institutions and key commercial counterpar-
ties.
The group applies the simplified approach to providing the expected credit losses prescribed by
IFRS 9, which permits the use of the lifetime expected loss provision for all trade receivables. To
measure the expected credit losses, trade receivables have been grouped based on shared
credit risk characteristics and the days past due. In accordance with IFRS 9, non-due trade re-
ceivables have also been considered for impairment.
Approx. 90% (34%) of the provision for bad debt is related to trade receivables overdue by
more than one year.
Maturity analysis of trade receivables
Amounts in DKKm
2023
2022
Receivables not due
28,880
39,352
Less than 90 days overdue
8,758
12,872
91-365 days overdue
1,962
2,255
More than 1 year overdue
1,227
984
Receivables, gross
40,827
55,463
Provision for bad debt
- 1,957
- 2,251
Carrying amount as of 31 December
38,870
53,212
The loss allowance provision for trade receivables reconciles to the opening loss allowance as
follows:
Change in provision for bad debt
Amounts in DKKm
2023
2022
Provision as of 1 January
2,251
1,376
Provision made
1,927
2,431
Amount used
- 654
- 754
Amount reversed
- 1,543
- 1,190
Acquired in business combinations
30
406
Disposal on sale of businesses
- 5
0
Transfers, assets held for sale
0
- 92
Exchange rate adjustment
- 49
74
Provision as of 31 December
1,957
2,251
Other financial assets at amortised cost
Other financial assets at amortised cost comprise loans receivable, finance lease receivables,
and other receivables. These financial assets are considered to have a low credit risk, and thus,
the impairment provision calculated based on 12 months’ expected losses is considered imma-
terial. The financial assets are considered to be low risk when they have a low risk of default, and
the issuer has a strong capacity to meet its contractual cash flow obligations in the near term.
LIQUIDITY RISK
The capital allocation in A.P. Moller Holding is an annual process and approved by the Board of
Directors. The objective of the process is to assess the overall investment capacity and invest-
ment pipeline, as well as key risks over the coming period. In addition, the liquidity profile and
capital structure are managed by each portfolio company in accordance with financial policies
approved by the Board of Directors in each entity. Capital is managed to meet the objective of a
solid capital structure over the business cycle and to maintain an appropriate liquidity profile.
The equity share of total equity and liabilities was 68.1% as of 31 December 2023 (68.5%).
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
65
Note 4.3: Financial instruments and risks – continued
Amounts in DKKm
2023
2022
Borrowings and lease liabilities
136,707
142,318
Net interest-bearing debt (net cash position)
- 4,474
- 59,206
Cash and bank balances
55,048
74,581
Restricted cash
- 7,020
- 10,009
Term deposits not included in cash and cash balances
85,599
122,727
Securities
41,691
12,458
Undrawn revolving credit facilities > 12 months
47,018
52,055
Liquidity reserve¹
222,336
251,812
1
Liquidity reserve is defined as undrawn committed revolving facilities with more than one year to expiry, secu-
rities, term deposits, listed securities, cash and bank balances, excluding balances in countries with exchange
control or other restrictions
Deposits and bank balances are primarily held in relationship banks with a credit rating of at
least A-. No individual counterparty exposure is above 10%. Some group entities have ISDA
agreements for trading of derivatives, under which the group entities have a right to a net settle-
ment in the event of certain credit events. This results in the credit risk being limited to the net
position per counterparty.
For information about cash and bank balances in countries with exchange control or other re-
strictions, see text to the consolidated cash flow statement.
Based on the liquidity reserve, loans for the financing of specific assets, the maturity of out-
standing loans, revenue back-log, and the current investment profile, the group’s financial re-
sources are deemed satisfactory.
The average term to maturity of loan facilities in the group is around four years (around five
years as of 31 December 2022).
Maturities of liabilities and
commitments
Cash flows including interest
Amounts in DKKm
Carrying
amount
0-1 year
1-5 years
5- years
Total
2023
Bank and other credit institutions
40,514
11,418
38,303
3,328
53,049
Lease liabilities
73,309
22,024
41,002
29,371
92,397
Issued bonds
22,884
774
12,863
14,194
27,831
Trade payables
48,840
48,840
0
0
48,840
Other payables
16,177
14,074
1,608
103
15,785
Non-derivative financial liabilities
201,724
97,130
93,776
46,996
237,902
Derivatives
2,946
492
1,899
555
2,946
Total recognised in balance sheet
204,670
97,622
95,675
47,551
240,848
Operating lease commitments
1,179
13
10
1,202
Capital commitments
17,118
25,461
4,609
47,188
Total
115,919
121,149
52,170
289,238
2022
Bank and other credit institutions
38,206
10,894
30,344
6,845
48,083
Lease liabilities
83,377
25,088
46,437
30,069
101,594
Issued bonds
20,735
787
14,917
7,873
23,577
Trade payables
51,544
51,544
0
0
51,544
Other payables
18,885
16,491
2,393
162
19,046
Non-derivative financial liabilities
212,747
104,804
94,091
44,949
243,844
Derivatives
4,043
552
2,501
990
4,043
Total recognised in balance sheet
216,790
105,356
96,592
45,939
247,887
Operating lease commitments
1,019
0
0
1,019
Capital commitments
9,734
21,820
4,910
36,464
Total
116,109
118,412
50,849
285,370
It is of great importance for the group to maintain a financial reserve to cover the group’s obliga-
tions and investment opportunities and to provide the capital necessary to offset changes in the
group’s liquidity due to changes in the cash flow from operating activities.
The flexibility of the financial reserve is subject to ongoing prioritisation and optimisation,
among other things, by focusing on the release of capital and following up on the development
in working capital, revenue back-log, and capital commitments.
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
66
Note 4.3: Financial instruments and risks – continued
MATERIAL ACCOUNTING POLICIES
Derivative financial instruments are recognised on the trading date and measured at fair
value using generally acknowledged valuation techniques based on relevant observable
swap curves and exchange rates.
The effective portion of changes in the value of derivative financial instruments designated
to hedge highly probable future transactions is recognised in other comprehensive income
until the hedged transactions are realised. At that time, the accumulated gains/losses are
transferred to the items under which the hedged transactions are recognised.
The effective portion of changes in the value of derivative financial instruments used to
hedge the value of recognised financial assets and liabilities is recognised in the income
statement, together with changes in the fair value of the hedged assets or liabilities that
can be attributed to the hedging relationship. Currency basis spreads and forward points
are considered a cost of hedge and recognised in other comprehensive income and de-
ferred in equity until realisation.
The ineffective portion of hedge transactions and changes in the fair value of derivative fi-
nancial instruments, which do not qualify for hedge accounting, are recognised in the in-
come statement as financial income or expenses for interest and currency-based instru-
ments, and as other income/costs for oil price hedges and forward freight agreements.
Note 4.4: Financial instruments by category
Financial assets
Carrying
amount
Fair
value³
Carrying
amount
Fair
value³
Amounts in DKKm
2023
2023
2022
2022
Carried at amortised cost
Loans receivable
87,750
87,487
124,680
122,757
Lease receivables
392
331
121
91
Other interest-bearing receivables and deposits
795
628
2,017
739
Trade receivables
38,870
53,212
Other receivables (non-interest-bearing)
19,636
12,425
Securities
0
6,562
Cash and bank balances
55,048
74,581
Financial assets at amortised cost
202,491
273,598
Derivatives
1,092
1,667
Carried at fair value through profit/loss
Other receivables (non-interest bearing)¹
0
51
Securities
43,972
7,681
Financial assets at fair value through profit/loss
43,972
7,732
Carried at fair value through other
comprehensive income
Other equity investments (FVOCI)²
2,682
2,627
Financial assets at fair value through OCI
2,682
2,627
Total financial assets
250,237
285,624
¹ Relates to contingent consideration receivables
2
Designated at initial recognition in accordance with IFRS 9
3
Where no fair value is stated, the amount equals carrying amount
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
67
Note 4.4: Financial instruments by category – continued
Financial liabilities
Carrying
amount
Fair
value¹
Carrying
amount
Fair
value¹
Amounts in DKKm
2023
2023
2022
2022
Carried at amortised cost
Bank and other credit institutions
40,514
40,692
38,206
38,213
Lease liabilities
73,309
83,377
Issued bonds
22,884
22,521
20,735
19,891
Trade payables
48,840
51,544
Other payables
14,153
16,256
Financial liabilities at amortised cost
199,700
210,118
Derivatives
2,946
4,043
Carried at fair value
Other payables
2,024
2,629
Financial liabilities at fair value
2,024
2,629
Total financial liabilities
204,670
216,790
1
Where no fair value is stated, the amount equals carrying amount
FINANCIAL INSTRUMENTS MEASURED AT FAIR VALUE
Financial instruments measured at fair value can be divided into three levels:
• Level 1 — Quoted prices (unadjusted) in active markets for identical assets or liabilities
• Level 2 — Inputs other than quoted prices included within level 1 that are observable for the
asset or liability, either directly (i.e. as prices) or indirectly (i.e. derived from prices)
• Level 3 — Inputs for the asset or liability that are not based on observable market data
Fair value of listed securities is within level 1 of the fair value hierarchy. Non-listed shares and
other securities are within level 3 of the fair value hierarchy.
Fair value of derivatives is mainly within level 2 of the fair value hierarchy and is calculated based
on observable market data as of the end of the reporting period. A minor amount of crude oil
price derivatives is within level 1 of the fair value hierarchy.
Fair value of level 3 assets and liabilities is primarily based on the present value of expected fu-
ture cash flows, including estimates received from private equity fund managers. A reasonable
possible change in the discount rate is not estimated to affect the group’s profit or equity signifi-
cantly. For non-listed shares, the price of recent investments into the company is applied as the
investments are mainly made in early-stage situations.
Financial assets and liabilities measured at fair value 2023
Amounts in DKKm
Level 1
Level 2
Level 3
Financial assets
Derivatives
133
959
0
Securities
41,831
64
4,759
Financial assets at fair value as of 31 December 2023
41,964
1,023
4,759
Financial liabilities
Derivatives
11
2,935
0
Other payables
0
0
2,024
Financial liabilities at fair value as of 31 December 2023
11
2,935
2,024
Financial assets and liabilities measured at fair value 2022
Amounts in DKKm
Level 1
Level 2
Level 3
Financial assets
Derivatives
237
1,430
0
Securities
6,259
0
4,049
Loans receivable
0
0
51
Financial assets at fair value as of 31 December 2022
6,496
1,430
4,100
Financial liabilities
Derivatives
0
4,043
0
Other payables
0
0
2,629
Financial liabilities at fair value as of 31 December 2022
0
4,043
2,629
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
68
Note 4.4: Financial instruments by category – continued
Movement during the year in level 3
Amounts in DKKm
Other
equity
invest-
ments
(FVOCI)
Other
equity
invest-
ments
(FVPL)
Other re-
ceivables
Total
financial
assets
Carrying amount as of 1 January 2022
1,727
821
25
2,573
Addition
255
557
21
833
Disposal
- 198
0
0
- 198
Gains/losses recognised in the income statement
0
256
0
256
Gains/losses recognised in other comprehensive income
502
0
0
502
Exchange rate adjustment, etc.
98
31
5
134
Carrying amount as of 31 December 2022
2,384
1,665
51
4,100
Addition
172
1,463
0
1,635
Disposal
- 34
- 921
- 50
- 1,005
Gains/losses recognised in the income statement
0
46
0
46
Gains/losses recognised in other comprehensive income
103
0
0
103
Exchange rate adjustment, etc.
- 82
- 37
- 1
- 120
Carrying amount as of 31 December 2023
2,543
2,216
0
4,759
Movement during the year in level 3
Amounts in DKKm
Other
payables
Total
financial
liabilities
Carrying amount as of 1 January 2022
1,199
1,199
Addition
1,799
1,799
Disposal
- 446
- 446
Gains/losses recognised in the income statement
- 14
- 14
Exchange rate adjustment, etc.
91
91
Carrying amount as of 31 December 2022
2,629
2,629
Addition
716
716
Disposal
- 631
- 631
Gains/losses recognised in the income statement
- 455
- 455
Gains/losses recognised in other comprehensive income
- 191
- 191
Exchange rate adjustment, etc.
- 44
- 44
Carrying amount as of 31 December 2023
2,024
2,024
FINANCIAL INSTRUMENTS CARRIED AT AMORTISED COST
Fair value of short-term financial assets and other financial liabilities carried at amortised cost is
not materially different from the carrying amount. In general, fair value is determined primarily
based on the present value of expected future cash flows. However, where a market price was
available, this was deemed to be the fair value.
Fair value of listed issued bonds is within level 1 of the fair value hierarchy. Fair value of the re-
maining borrowing items is within level 2 of the fair value hierarchy, and is calculated based on
discounted future cash flows.
OTHER EQUITY INVESTMENTS (FVOCI)
The group has investments in equity shares of both listed and non-listed companies. The group
holds non-controlling interests in these companies. These investments were irrevocably desig-
nated at fair value through OCI as the group considers these investments to be strategic in na-
ture.
MATERIAL ACCOUNTING POLICIES
Other financial investments
Equity instruments, etc., including shares, bonds, and similar securities, are recognised on
the trading date at fair value, and subsequently measured at the quoted market price for
listed securities and at estimated fair value for non-listed securities. Fair value adjustments
from equity investments are classified in the following measurement categories:
• Through other comprehensive income, or
• Through the income statement
Fair value adjustments from equity investments at fair value through other comprehensive
income (FVOCI) remain in equity upon disposal.
Dividends are recognised in the income statement.
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
69
Note 4.5: Pensions and similar obligations
As an employer, the group participates in pension plans according to normal practice in the
countries in which we operate. Generally, the pension plans within the group are defined contri-
bution plans, where contributions are recognised in the income statement on an accrual basis. A
number of entities have defined benefit plans, in which retirement benefits are based on length
of service and salary level. To a limited extent, these defined benefit plans also include payments
of medical expenses, etc.
In 2024, the group expects to pay contributions totalling DKK 178m (DKK 221m) to funded de-
fined benefit plans.
UK
Other
Total
UK
Other
Total
Amounts in DKKm
2023
2023
2023
2022
2022
2022
Specification of
net liability
Present value of funded plans
10,379
3,185
13,564
9,726
4,161
13,887
Fair value of plan assets
- 11,141
- 2,494
- 13,635
- 11,029
- 3,537
- 14,566
Net liability of funded plans
- 762
691
- 71
- 1,303
624
- 679
Present value of unfunded plans
0
687
687
0
732
732
Impact of minimum
funding requirement/
asset ceiling
135
0
135
460
0
460
Net liability as of 31 December
- 627
1,378
751
- 843
1,356
513
Of which:
Pensions, net assets
817
933
Pensions and similar obligations
- 1,568
- 1,446
The majority of the group’s defined benefit liabilities are in Switzerland 13% (10%) and the UK
73% (68%). All of the plans in Switzerland and the UK are funded. Although all of the UK plans
are now closed to new entrants, active members in the two largest plans continue to accrue new
benefits. The smaller UK plans are all closed to new accruals, although a salary link remains in
some of the plans.
Overall, the plans have an average duration of approx. 11 years (12 years), and approx. 53%
(57%) of the obligation is in respect of pensioner members.
As well as being subject to the risks of falling interest rates, which would increase the obligation,
poor asset returns, and pensioners living longer than anticipated, the group is also subject to
the risk of higher-than-expected inflation. This is because many pension benefits, particularly in
the UK plans, increase in line with inflation although some minimum and maximum limits apply.
UK
Total
UK
Total
Significant financial assumptions
2023
2023
2022
2022
Discount rate
4.5%
4.1%
4.8%
4.2%
Inflation rate
3.3%
3.1%
3.5%
3.2%
The rates of life expectancy reflect the most recent mortality investigations, and in line with mar-
ket practice, an allowance is made for future improvements in life expectancy. The group as-
sumes that future improvements will be in line with the latest projections of 1.25% for all UK
plans.
As of 31 December
Life expectancy
2023
2043
2022
2042
65 year old male in the UK
21.7
23.3
22.0
23.5
65 year old female in the UK
24.1
25.8
24.3
25.8
The sensitivity of the liabilities and pension cost to the key assumptions are as follows:
In the UK
In-
crease
De-
crease
Factors (Amounts in DKK)
Change in liability
2023
2023
Discount rate
Increase/decrease by 25 basis points
- 283
297
Inflation rate
Increase/decrease by 25 basis points
128
- 162
Life expectancy
Increase/decrease by one year
418
- 411
The liabilities are calculated using assumptions that are the group’s best estimate of future ex-
pectations bearing in mind the requirements of IAS 19.
The group’s plans are funded in accordance with applicable local legislation. In the UK, each plan
has a trustee board that is required to act in the best interest of plan members. Every three
years, a formal valuation of the plan’s liabilities is carried out using a prudent basis, and if the
plan is in deficit, the trustees agree with the group or the sponsoring employer on a plan for re-
covering that deficit.
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
70
Note 4.5: Pensions and similar obligations – continued
Around 80% of the UK liabilities are now covered by insurance policies. Therefore, movements in
the liabilities due to changes in assumptions would equally impact the assets’ value related to
the buy-in policies, resulting in a reduced movement in the overall balance sheet position.
The expected contribution to the UK plans for 2024 is DKK 81m (DKK 0m in 2023). In most of
the UK plans, any surplus remaining after the last member dies may be returned to the group.
However, the Merchant Navy Ratings Pension Fund (MNRPF) and the Merchant Navy Officers
Pension Fund (MNOPF) contributions paid by the group are not refundable under any circum-
stance and the balance sheet liability reflects an adjustment for any agreed deficit recovery con-
tributions in excess of the deficit determined using the group’s assumptions. In 2023, an adjust-
ment of DKK 74m (DKK 21m) was applied in this respect.
Other than the insurance contracts and a small proportion of other holdings, the plan assets
held by the group are quoted investments.
Specification of plan assets 2023
Amounts in DKKm
UK
Other
Total
Shares
142
684
826
Government bonds
1,517
429
1,946
Corporate bonds
459
247
706
Real estate
67
405
472
Other assets
8,956
729
9,685
Fair value as of 31 December 2023
11,141
2,494
13,635
Specification of plan assets 2022
Amounts in DKKm
UK
Other
Total
Shares
362
589
951
Government bonds
906
586
1,492
Corporate bonds
369
1,407
1,776
Real estate
56
333
389
Other assets
9,336
622
9,958
Fair value as of 31 December 2022
11,029
3,537
14,566
Change in net liability
Amounts in DKKm
Present
value
of obliga-
tions
Fair value
of plan
assets
Adjust-
ments
Net
liability
Of which:
UK
Net liability as of 1 January 2023
14,618
14,565
459
513
- 844
Current service cost, administration
cost, etc.
460
- 41
0
501
283
Calculated interest expense/income
606
625
21
2
- 34
Recognised in the income statement in 2023
1,066
584
21
503
249
Actuarial gains/losses from changes in
financial and demographic assumptions, etc.
407
0
0
407
324
Return on plan assets, exclusive calculated in-
terest income
0
- 9
0
9
21
Adjustment for unrecognised assets due to
asset ceiling
0
0
- 358
- 358
- 358
Recognised in other comprehensive income
in 2023
407
- 9
- 358
58
- 13
Contributions from the group and employees
36
190
0
- 154
0
Benefit payments
- 989
- 948
0
- 42
0
Settlements
- 1,284
- 1,187
0
- 97
0
Effect of business combinations and disposals
67
47
0
20
0
Exchange rate adjustment
324
394
20
- 50
- 19
Net liability as of 31 December 2023
14,245
13,636
142
751
- 627
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
71
Note 4.5: Pensions and similar obligations – continued
Change in net liability
Amounts in DKKm
Present
value
of obliga-
tions
Fair value
of plan
assets
Adjust-
ments
Net
liability
Of which:
UK
Net liability as of 1 January 2022
18,642
18,740
537
440
- 906
Current service cost, administration
cost, etc.
206
- 78
0
284
57
Calculated interest expense/income
379
378
7
8
- 14
Recognised in the income statement in 2022
585
300
7
292
43
Actuarial gains/losses from changes in
financial and demographic assumptions, etc.
- 4,741
- 4,515
0
- 226
28
Return on plan assets, exclusive calculated in-
terest income
0
- 83
0
83
0
Adjustment for unrecognised assets due to
asset ceiling
0
0
- 57
- 57
- 57
Recognised in other comprehensive income
in 2022
- 4,741
- 4,598
- 57
- 200
- 29
Contributions from the group and employees
18
39
0
- 21
0
Benefit payments
- 949
- 852
0
- 97
0
Settlements
0
35
0
- 35
0
Effect of business combinations and disposals
1,493
1,403
0
90
0
Exchange rate adjustment
- 430
- 502
- 28
44
48
Net liability as of 31 December 2022
14,618
14,565
459
513
- 844
MULTI-EMPLOYER PLANS
Under collective agreements, certain entities in the group participate together with other em-
ployers in defined benefit pension plans as well as welfare/medical plans (multi-employer
plans). In general, the contributions to the schemes are based on man hours worked or cargo
tonnage handled, or a combination hereof.
For the defined benefit pension plans, the group has joint and several liabilities to fund total ob-
ligations, while the welfare/medical plans are by nature contribution plans funded on a ‘pay-as-
you-go basis’. The group’s contributions to the pension and welfare/medical plans in 2023 are
estimated at DKK 0.6bn (DKK 0.9bn) and DKK 1.8bn (DKK 2.6bn), respectively. The contribu-
tions to be paid in 2024 are estimated at DKK 0.6bn (DKK 0.9bn) for the pension plans and DKK
1.7bn (DKK 2.6bn) for the welfare/medical plans.
No reliable basis exists for allocation of the schemes’ obligations and plan assets to individual
employer participants. For the pension plans where the group has an interest and there is a defi-
cit, the net obligations for all employers amount to DKK 1.5bn (DKK 0.1bn). This net obligation is
based on the most recent available financial data from the plan’s trustees, calculated in accord-
ance with the rules for such actuarial calculations in US GAAP. The deficit in some of the
schemes may necessitate increased contributions in the future. Welfare/medical plans are ‘pay-
as-you-go’, and form a part of the group’s collective bargaining agreements in the US. They
cover a limited part of employees’ medical costs as incurred.
MATERIAL ACCOUNTING POLICIES
Pension obligations are the net liabilities of defined benefit obligations and the dedicated
assets adjusted for the effect of minimum funding and asset ceiling requirements. Plans
with a funding surplus are presented as net assets on the balance sheet. The defined ben-
efit obligations are measured at the present value of expected future payments to be
made, in respect of services provided by employees, up to the balance sheet date. Plan as-
sets are measured at fair value. The pension cost charged to the income statement con-
sists of calculated amounts for vested benefits and interest in addition to settlement gains
or losses, etc. Interest on plan assets is calculated with the same rates as used for dis-
counting the obligations. Actuarial gains/losses are recognised in other comprehensive
income.
Pension plans where the group, as part of collective bargaining agreements, participates
together with other enterprises – so called multi-employer plans – are treated as other
pension plans in the financial statements. Defined benefit multi-employer plans, where
sufficient information to apply defined benefit accounting is not available, are treated as
defined contribution plans.
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
72
Note 4.6: Non-controlling interests
The group’s subsidiaries with significant non-controlling interests include:
Amounts in DKKm
Registered
office
Non-con-
trolling
interests
Percent-
age of
votes
A.P. Møller - Mærsk A/S
Copenhagen
58.5
48.5
Summarised financial information (before intercompany eliminations) for A.P. Møller – Mærsk
A/S:
A.P. Møller - Mærsk
A/S
Amounts in DKKm
2023
2022
Statement of comprehensive income
Revenue
351,950
576,973
Result for the year
26,926
207,714
Total comprehensive income
27,399
205,612
Result for the year attributable to non-controlling interests
15,950
121,461
Balance sheet
Non-current assets
344,467
373,560
Current assets, including assets classified as held for sale
209,197
279,127
Non-current liabilities
98,598
106,786
Current liabilities, including liabilities classified as held for sale
85,549
92,810
Equity
371,518
453,091
Carrying amount of non-controlling interests of equity
219,663
267,178
Cash flow statement
Cash flow from operating activities
73,941
245,632
Cash flow from investing activities
28,099
- 152,996
Cash flow from financing activities
- 123,301
- 101,681
Net cash flow for the year
- 21,261
- 9,045
Dividends paid to the non-controlling interests
44,352
28,802
Note 4.7: Share capital
The share capital comprises 2,000 shares of DKK 1m. All shares are fully issued and paid up. No
shares hold special rights.
Development in the number of shares and par value:
Shares
DKKm
As of 31 December 2022
2,000
2,000
As of 31 December 2023
2,000
2,000
Dividend has been distributed at DKK 1.25m per share in 2023 (DKK 1m).
MATERIAL ACCOUNTING POLICIES
Equity includes total comprehensive income for the year comprising the result for the year
and other comprehensive income. Proceeds on the purchase and sale of own shares and
dividends from such shares are recognised in equity.
The translation reserve comprises the group’s share of accumulated exchange rate differ-
ences arising from translation from functional currency into presentation currency. Differ-
ences arising from translation to the presentation currency are recognised in other com-
prehensive income and will not be reclassified to the income statement.
The reserve for other equity investments is comprised of accumulated changes in the fair
value of equity investments (at FVOCI), net of tax.
Reserve for hedges includes the accumulated fair value change of derivatives qualifying
for cash flow hedge accounting, less amounts already reclassified to the income statement
or transferred as basis adjustments, net of tax, as well as forward points and currency ba-
sis spread.
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
73
OTHER DISCLOSURES
Note 5.1: Tax and deferred tax
Amounts in DKKm
2023
2022
Tax recognised in the income statement
Current tax on result for the year
4,626
4,939
Adjustment for current tax of prior periods
- 663
256
Utilisation of previously unrecognised deferred tax assets
- 1,405
- 191
Withholding tax
706
718
Total current tax
3,264
5,722
Origination and reversal of temporary differences
- 535
- 1,115
Adjustment for deferred tax of prior periods
- 457
332
Recognition of previous unrecognised deferred tax assets
81
- 10
Reassessment of recoverability of deferred tax assets, net
118
10
Total deferred tax
- 793
- 783
Total income tax
2,471
4,939
Tonnage and freight tax
940
1,430
Total tax expenses
3,411
6,369
Tax reconciliation
Result before tax
38,836
210,177
Profit subject to Danish and foreign tonnage taxation, etc.
- 19,846
- 207,455
Share of profit in joint ventures
- 1,022
1,366
Share of profit in associated companies
- 7,119
- 1,171
Result before tax, adjusted
10,849
2,917
Tax using the Danish corporation tax rate (22%)
2,387
642
Tax rate deviations in foreign jurisdictions
503
278
Non-taxable income
65
- 1,190
Non-deductible expenses
633
2,661
Adjustment to previous years' taxes
- 920
588
Change in recoverability of deferred tax assets
- 1,405
- 191
Deferred tax assets not recognised
396
480
Other differences, net
812
1,671
Total income tax
2,471
4,939
Effective tax rate
8.8%
3.0%
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
74
Note 5.1: Tax and deferred tax – continued
Amounts in DKKm
2023
2022
Tax recognised in other comprehensive income and equity
57
120
Of which:
Current tax
- 33
149
Deferred tax
90
- 29
The group generates profit across multiple business sectors and countries. Corporate income
taxes comprise taxes calculated in accordance with various countries’ tax regimes.
The land-based activities, which are subject to normal corporate income tax, include terminals,
logistics, services and shipping agencies, sale of industrial products, diagnostics services, and
financial profit from other equity investments.
The taxation of shipping income, generated by vessels providing services on the high seas,
calling at multiple ports across the globe, is outlined in the OECD Model Tax Convention, Article
8 (Shipping Article). Under the Shipping Article, activities are taxable in the jurisdiction where
the ship owning and operating entity is resident. Within our group, this is predominantly in Den-
mark and Singapore.
To encourage ship registration in Europe and ensure global competitiveness of the European
Maritime Industry, the EU has approved a specific shipping regime. This is normally referred to
as tonnage tax which calculates corporate income tax, based on the net tonnage of the fleet.
Consequently, under the tonnage tax regime, no credit is given for losses and, despite massive
capital investments in containers and vessels, no tax deductions are granted for depreciation or
operating expenses.
Tonnage tax regimes apply to the main part of the group’s activities within global trade and re-
sult in a stable annual tax liability. Given the liability to tonnage tax is not impacted by financial
profits, and is payable even in loss making years, the effective tax rate (ETR) metric can fluctuate
significantly. The group operates 750+ vessels delivering cargo to every corner of the globe, in-
cluding dry cargo commodities, refrigerated cargo, and dangerous cargo, as well as transport of
oil products.
Going forward, the group’s other business areas, including the sale of industrial products, diag-
nostics services, and logistics services subject to normal corporate income taxes are expected to
make up a larger part of the group’s taxable income.
Recognised deferred tax assets and liabilities are attributable to the following:
Assets
Liabilities
Net liabilities
Amounts in DKKm
2023
2022
2023
2022
2023
2022
Intangible assets
291
305
8,108
7,669
7,817
7,364
Property, plant and equipment
689
347
2,266
2,623
1,577
2,276
Provisions, etc.
1,886
1,901
738
1,470
- 1,148
- 431
Tax loss carryforward
946
1,067
7
0
- 939
- 1,067
Other
1,289
1,049
998
799
- 291
- 250
Total
5,101
4,669
12,117
12,561
7,016
7,892
Offsets
- 1,790
- 1,603
- 1,790
- 1,603
0
0
Total
3,311
3,066
10,327
10,958
7,016
7,892
Change in deferred tax, net during the year
Amounts in DKKm
2023
2022
As of 1 January
7,892
2,753
Intangible assets
- 260
153
Property, plant and equipment
- 174
227
Provisions, etc.
- 78
- 884
Tax loss carryforward
- 148
61
Other
- 133
- 340
Recognised in the income statement
- 793
- 783
Other, including business combinations
- 264
5,843
Exchange rate adjustments
181
79
As of 31 December
7,016
7,892
Unrecognised deferred tax assets
Amounts in DKKm
2023
2022
Deductible temporary differences
780
871
Tax loss carryforward
7,147
6,424
Unused tax credit
80
76
Total
8,007
7,371
The unrecognised deferred tax assets have no significant time limitations. There are no substan-
tial unrecognised tax liabilities on investments in subsidiaries, associated companies, or joint
ventures.
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
75
Note 5.1: Tax and deferred tax – continued
GLOBAL MINIMUM TAXATION (OECD PILLAR TWO)
In an effort to end tax avoidance and to address concerns about the erosion of the global corpo-
rate tax base, a global framework for corporate taxation has been formed by the OECD/G20 In-
clusive Framework and is supported by over 135 jurisdictions. One of the key elements is to in-
troduce a global minimum tax rate of 15%, based on group accounting income per jurisdiction.
The minimum tax rules are designed as a hierarchy of the right to claim income tax. If the income
is not subject to a minimum effective tax rate of 15% in the country where it is earned, then the
remaining tax payment (top-up tax) can be picked up by another jurisdiction where the group is
active. For the group, Denmark will add top-up tax if not applied locally as the ultimate parent
entity of the A.P. Moller Group, A.P. Møller Holding A/S, is located in Denmark.
The Danish implementation of Council Directive (EU) 2022/2523 of 14 December 2022 is effec-
tive from 1 January 2024. This means that A.P. Moller Holding group’s income is subject to the
minimum tax rules for all jurisdictions via Danish implementation for the financial year 2024 and
onwards. It is expected that many jurisdictions will implement similar legislation.
Because the Danish implementation covers the group’s global activities, it is not expected that
other national implementations will have a significant additional impact to the global tax pay-
ments of the group. It may, however, have an impact on the location where potential top-up
taxes will be paid.
Three elements are key to understanding how the rules will impact the group. First, the group
does not set up artificial structures in low-tax jurisdictions for tax purposes or earn significant
profits in such jurisdictions, which means that our business structure itself is not impacted signif-
icantly by the rules, but some additional tax may become payable where services are provided in
low-tax jurisdictions. Second, tax incentives given to capital projects, such as critical infrastruc-
ture, will be considered less effective going forward as it will impact the effective tax rate and
thereby the basis for potential top-up tax. Third, although the rules exclude ’international ship-
ping income’, the definition is more restrictive than the global definitions usually applied under a
tax treaty following the OECD Model Tax Convention or under Danish tonnage tax.
Further, inland transportation is not a part of the international shipping income under the global
minimum tax rules. This is relevant for the part of our land transport linked directly to ocean
transportation which is recognised as shipping income for tax treatment in the OECD Model Tax
Convention. The group is awaiting further guidance on the application of the shipping income
provision from the OECD Secretariat. Contrary to the purpose of the rules, top-up tax could be
triggered by the shipping classification in years where shipping net income is negative. Due to
the design of tonnage taxation, the group’s effective tax rate fluctuates significantly depending
on the yearly results and will also be calculated on a consolidated basis with other activities in
the given country in accordance with the global minimum tax rules.
Taking the transitional Safe Harbour regulations into consideration, our analysis shows that no
material top-up tax should apply to A.P. Moller Holding group in 2024.
MATERIAL ACCOUNTING ESTIMATES
Deferred tax assets
Estimates have been applied with respect to the group’s ability to utilise deferred tax as-
sets. Management considers the likelihood of utilisation based on the latest business
plans and recent financial performances of the individual entities. Net deferred tax assets
recognised in entities having recognised an accounting loss in either the current or pre-
ceding period amount to DKK 1.1bn (DKK 1.1bn). These assets mainly relate to unused
tax losses or deductible temporary differences generated during construction of terminals,
where taxable profits have been generated either in the current period or are expected
within a foreseeable future.
Uncertain tax positions
The group is engaged in a number of disputes with tax authorities of varying scope. Ap-
propriate provisions and recognition of uncertain tax positions have been made where the
probability of the tax position being upheld in individual cases is considered less than
50%. Claims, for which the probability of the group’s tax position being upheld is as-
sessed by management to be at least 50%, are not provided for. Such risks are instead
evaluated on a portfolio basis by geographical area and country risk. Provisions and un-
certain tax liabilities are recognised when the aggregated probability of the tax position
being upheld is considered less than 50%.
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
76
Note 5.1: Tax and deferred tax – continued
MATERIAL ACCOUNTING POLICIES
Tax
Tax comprises an estimate of current and deferred income tax as well as adjustments to
previous years’ taxes. Income tax is tax on taxable profits, and consists of corporation tax,
withholding tax of dividends, etc. In addition, tax comprises tonnage tax. Tonnage tax is
classified as tax when creditable in, or paid in lieu of, income tax.
Tax is recognised in the income statement to the extent it arises from items recognised in
the income statement, including tax on gains on intra-group transactions that have been
eliminated in the consolidation.
Current tax liabilities and receivables are recognised in the balance sheet at the amounts
calculated on the taxable income for the year, adjusted for tax on taxable income for prior
years and for taxes paid on account.
For amendments to IAS 12, Income taxes, please refer to note 1.1.
Deferred tax
Deferred tax is calculated on temporary differences between the carrying amounts and tax
bases of assets and liabilities. Deferred tax is not recognised for differences on the initial
recognition of assets or liabilities where, at the time of the transaction, neither accounting
nor taxable profit/loss is affected, unless the differences arise in a business combination.
In addition, no deferred tax is recognised for undistributed earnings in subsidiaries, when
A.P. Moller Holding controls the timing of dividends. No taxable dividends are currently
expected. A deferred tax asset is recognised to the extent that it is probable that it can be
utilised within a foreseeable future.
Note 5.2: Share-based payment
Programmes disclosed below are solely awarded to certain key employees and members of
the Executive Board in portfolio companies. There are no share-based payment programmes in-
troduced for neither key management personnel nor employees in A.P. Møller Holding A/S.
A.P. MØLLER - MÆRSK A/S (A.P. MOLLER – MAERSK)
Performance shares plan
Fair value
per share
Total fair
value¹
Outstanding performance shares
No.
DKK
DKKm
Outstanding as of 1 January 2023
0
0
Granted
6,068
10,299
62
Outstanding as of 31 December 2023
6,068
1
The fair value per performance share is equal to the volume weighted average share price on the date of grant,
i.e. 1 April 2023, adjusted for expected dividends during the vesting period. Total fair value is at the time of
grant
From 2023, performance shares are granted to certain key employees and members of the Exec-
utive Board at A.P. Moller – Maersk. Transfer of B shares is contingent upon the fulfilment of cer-
tain performance criteria, which may include, but are not limited to return on invested capital, rel-
ative share performance, revenue growth, and ESG elements. Vesting is also contingent upon
the employee still being employed and not under notice of termination when three years have
passed from the date of granting.
Employees are not entitled to any dividends during the vesting period. Special conditions apply
regarding illness, death, and resignation as well as changes in the company’s capital structure,
etc. A part of A.P. Moller – Maersk’s treasury B shares will be used to meet the obligations in
connection with the performance shares plan.
The recognised remuneration expense related to the performance shares plan was DKK 14m
(N/A in 2022). The average remaining contractual life of the performance shares as per 31 De-
cember 2023 was 2.3 years (N/A in 2022).
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
77
Note 5.2: Share-based payment – continued
Restricted shares plan
Fair value
per share
Total fair
value¹
Outstanding restricted shares
No.
DKK
DKKm
Outstanding as of 1 January 2022
21,886
Granted
6,720
17,139
120
Exercised and vested²
- 4,458
Forfeited
- 338
Outstanding as of 31 December 2022
23,810
Granted
14,600
10,299
159
Exercised and vested²
- 7,087
Forfeited
- 1,183
Cancelled
- 12
Outstanding as of 31 December 2023
30,128
1
The fair value per restricted share is equal to the volume weighted average share price on the date of grant,
i.e. 1 April 2023 (1 April 2022), adjusted for expected dividends during the vesting period. Total fair value is at
the time of grant.
2
The weighted average share price at the settlement date was DKK 12,732 (DKK 20,372)
Restricted shares are awarded to certain key employees and members of the Executive Board at
A.P. Moller - Maersk. Each restricted share granted is a right to receive an existing B share of
nominal DKK 1,000 in A.P. Møller - Mærsk A/S.
Transfer of B shares is contingent upon the employee still being employed and not being under
notice of termination, and takes place when three years have passed from the date of grant. For
members of the Executive Board of A.P. Moller- Maersk the vesting period is five years. The par-
ticipants are not entitled to any dividends during the vesting period. Special conditions apply re-
garding illness, death, and resignation as well as changes in A.P. Moller - Maersk’s capital struc-
ture, etc. A part of A.P. Moller - Maersk’s treasury B shares will be used to meet the obligations
in connection with the restricted shares plan.
The recognised remuneration expense related to the restricted shares plan was DKK 110m (DKK
106m).
The average remaining contractual life for the restricted shares as per 31 December 2023 was
1.6 years (1.6 years).
Share option plans
Average
exercise
price
Total fair
value¹
Outstanding share options
No.
DKK
DKKm
Outstanding as of 1 January 2022
102,761
9,873
Granted
20,158
25,096
64
Exercised
- 27,352
- 7,998
Forfeited
- 2,531
- 19,818
Outstanding as of 31 December 2022
93,036
13,452
Exercisable as of 31 December 2022
7,071
8,637
Granted
23,323
13,257
69
Exercised
- 19,136
- 8,633
Forfeited
- 3,436
- 15,327
Outstanding as of 31 December 2023
93,787
14,318
Exercisable as of 31 December 2023
27,184
8,309
1
The weighted average share price at the dates of exercise of share options exercised in 2023 was DKK 12,674
(DKK 19,833)
A.P. Moller - Maersk also has a share option plan for members of the Executive Board and other
key employees at A.P. Moller - Maersk. Each share option granted is a call option to buy an existing
B share of nominal DKK 1,000 in A.P. Møller - Mærsk A/S.
The share options are granted at an exercise price corresponding to 110% of the average market
price on the first five trading days following the release of A.P. Møller - Mærsk A/S’ most recent
Annual Report. Exercise of the share options is contingent upon the option holder still being em-
ployed at the time of vesting, which takes place when three years have passed from the date of
grant. The share options can be exercised when at least three years and no more than six years
(seven years for share options granted to employees who are not members of the Executive Board
at A.P. Moller - Maersk) have passed from the date of grant. Special conditions apply regarding
illness, death, and resignation as well as changes in A.P. Moller - Maersk’s capital structure, etc.
The share options can only be settled in shares. A part of A.P. Moller - Maersk’s holding of
treasury B shares will be used to meet the obligations in respect of the share option plan.
The remuneration expense related to the share option plan was DKK 69m (DKK 78m).
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
78
Note 5.2: Share-based payment – continued
The average remaining contractual life for the outstanding stock options as per 31 December
2023 was 4.4 years (4.6 years), and the range of exercise prices for the outstanding stock op-
tions as per 31 December 2023 was DKK 7,605 to DKK 25,096 (DKK 7,605 to DKK 25,096).
The following principal assumptions are used in the valuation:
Share options
granted to members
of A.P. Moller -
Maersk's
Executive Board¹
Share options
granted to employees
not members of A.P.
Moller - Maersk's Ex-
ecutive Board
Outstanding share options
2023
2022
2023
2022
Share price, volume weighted average at the date of
grant, 1 April, DKK
20,372
12,732
20,372
Share price, five days volume weighted average after
publication of Annual Report, DKK²
22,814
11,992
22,814
Exercise price, DKK
25,096
13,191
25,096
Expected volatility (based on historic volatility)
33%
35%
33%
Expected term (years)
5.00
5.75
5.75
Expected dividend yield
5.0%
5.0%
5.0%
Risk-free interest rate
0.31%
2.65%
0.35%
Fair value per option at grant date, DKK
N/A
2,859
3,067
3,082
1
No share options granted in 2023
2
In 2023, the exercise price was determined based on the five-day volume-weighted average share price after
the Annual General Meeting
The fair value of the options granted is based on the Black-Scholes option pricing model using
the assumptions in the table above.
THE DRILLING COMPANY OF 1972 A/S (MAERSK DRILLING)
Restricted share units (RSUs)
At the time of the merger (3 October 2022) between The Drilling Company of 1972 A/S and No-
ble Corporation plc, outstanding restricted shares were converted to Noble shares and Maersk
Drilling was no longer a subsidiary of A.P. Moller Holding.
Total fair
value
Outstanding restricted shares
No.
DKKm
Outstanding as of 1 January 2022
293,027
Granted
106,045
28
Vested
- 100,946
Forfeited/cancelled
- 2,046
Disposal, loss of control
- 296,080
Outstanding as of 31 December 2022
0
In 2022, the fair value of restricted shares granted to four key management personnel and to 30
other employees at Maersk Drilling was DKK 28m at the time of the grant. Total expenses recog-
nised in the income statement for granted restricted shares were at a cost of DKK 22m. The av-
erage fair value per restricted share at the time of grant was DKK 262, which is equal to the aver-
age closing price on the day of the grant.
OTHER SHARE-BASED PAYMENT PROGRAMMES
The group has introduced a number of cash-settled share-based payment programmes in its
non-listed portfolio companies. The programmes are for key employees as well as members of
the Executive Board and Board of Directors in the respective portfolio companies.
Certain programmes include a co-investment programme, however, due to service conditions,
they are defined as cash settled share-based payment programmes. The programmes are based
on fair market value. Due to a put option issued for the benefit of the co-investors, the group has
an obligation to buy back the shares. The liability is recognised in the balance sheet.
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
79
Note 5.2: Share-based payment – continued
MATERIAL ACCOUNTING POLICIES
Equity settled performance shares, restricted shares, and share options granted to execu-
tive employees as part of the group’s long-term incentive programmes are recognised as
staff costs over the vesting period at estimated fair value at the grant date and result in a
corresponding adjustment in equity.
Cash settled performance awards allocated to employees as part of the group’s long-term
incentive programmes are recognised as staff costs over the vesting period and result in a
corresponding adjustment in other payables.
At the end of each reporting period, the group revises its estimates of the number of
awards that are expected to vest based on the non-market vesting conditions and service
conditions. Any impact of the revision is recognised in the income statement with a corre-
sponding adjustment to equity or other payables.
Note 5.3: Inventories
Amounts in DKKm
2023
2022
Raw materials and consumables
2,035
1,688
Work in progress
468
565
Finished goods and goods for resale
927
965
Bunker oil, etc.
9,908
9,537
Other consumables
1,270
1,352
Inventories as of 31 December
14,608
14,107
MATERIAL ACCOUNTING POLICIES
Inventories mainly consist of bunker, spare parts not qualifying as property, plant and
equipment, other consumables, and purchased goods. Inventories are measured at cost
including delivery costs and indirect production costs or net realisable value, whichever is
lower. Cost is determined using the first-in, first-out method (FIFO method) or the
weighted average cost formula. The same cost formula is used for inventory of a similar
nature.
Note 5.4: Provisions
Amounts in DKKm
Restruc-
turing
Legal dis-
putes, etc.
Other
Total
As of 1 January 2023
556
8,689
3,137
12,382
Provision made
1,180
3,376
2,103
6,659
Amount used
- 467
- 1,740
- 1,029
- 3,236
Amount reversed
- 296
- 1,669
- 604
- 2,569
Addition from business combinations
0
0
49
49
Disposal, loss of control
0
- 1
- 31
- 32
Transfers between assets/liabilities
- 7
- 43
- 215
- 265
Transfers, assets held for sale
0
0
0
0
Exchange rate adjustment
- 6
- 290
- 211
- 507
As of 31 December 2023
960
8,322
3,199
12,481
Of which:
Classified as non-current
98
5,001
1,628
6,727
Classified as current
862
3,321
1,571
5,754
Non-current provisions
expected to be realised after more than five years
7
241
187
435
Restructuring includes provisions for decided and publicly announced restructurings and in-
cludes mainly staff redundancy costs. Legal disputes, etc. include, among other things, indirect
tax and duty disputes. Other includes provisions for warranties and onerous contracts.
Reversals of provisions primarily relate to legal disputes and contractual disagreements.
MATERIAL ACCOUNTING ESTIMATES
Provisions for legal disputes, etc.
Management’s estimate of the provisions for legal disputes, including disputes on taxes
and duties, is based on the knowledge available on the substance of the cases and a legal
assessment of these. The resolution of legal disputes, through either negotiations or liti-
gation, can take several years to be reached and the outcomes are subject to considerable
uncertainty.
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
80
Note 5.4: Provisions - continued
MATERIAL ACCOUNTING POLICIES
Provisions are recognised when the group has a present legal or constructive obligation
from past events. The item includes, among others, legal disputes, provisions for onerous
contracts, and unfavourable contracts acquired as part of a business combination. Provi-
sions are recognised based on best estimates and are discounted where the time element
is significant and where the time of settlement is reasonably determinable.
Reversals of provisions primarily relate to the settlement of contractual disagreements,
which are recognised in the income statement under operating costs and tax.
Note 5.5: Commitments
SHORT-TERM AND LOW-VALUE LEASES
As part of the group’s activities, customary agreements are entered into regarding charter and
operating leases of vessels, containers, and port facilities. Furthermore, the group has entered
into low-value lease agreements for operating leases of property, etc.
The future lease payments for short-term and low-value lease agreements are:
Amounts in DKKm
2023
2022
Within one year
1,179
1,019
Between one and two years
7
0
Between two and three years
2
0
Between three and four years
2
0
Between four and five years
2
0
After five years
10
0
Total
1,202
1,019
CAPITAL COMMITMENTS
The group has the following capital commitments:
Amounts in DKKm
2023
2022
Capital commitments relating to acquisition of non-current assets
40,089
29,985
Commitments towards concession grantors
7,099
6,479
Total capital commitments
47,188
36,464
The increase in capital commitments is primarily related to vessel newbuilding contracts entered
into during 2022.
The capital commitments will be financed by cash flow from operating activities as well as exist-
ing and new loan facilities.
No.
Newbuilding programme as of 31 December 2023
2024
2025
2026
Total
Vessels
18
17
1
36
Aircrafts
2
0
0
2
Total
20
17
1
38
DKKm
Capital commitments relating to the newbuilding
programme as of 31 December 2023
2024
2025
2026
Total
Vessels
7,136
15,105
911
23,152
Aircrafts
641
0
0
641
Total
7,777
15,105
911
23,793
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
81
Note 5.6: Contingent assets and liabilities
CONTINGENT ASSETS
The group has received bank guarantees related to construction work in progress, DKK 0.7bn
(DKK 0.6bn). The guarantees will come into effect if the suppliers fail to deliver under the individ-
ual contracts.
CONTINGENT LIABILITIES
Contingent liabilities consist of legal cases, tax issues, custom bonds, volume commitments, and
other disputes.
Legal
The group is involved in a number of legal cases and other disputes. Some of these involve sig-
nificant amounts and are subject to considerable uncertainty. The group continuously assesses
the risks associated with the cases, investigations, and disputes, and their likely outcome. It is
the opinion of management that, apart from items recognised in the financial statements, the
outcome of these cases, investigations, and disputes are either not probable or cannot be relia-
bly estimated in terms of amount or timing. The group does not expect these to have a material
impact on the consolidated financial statements.
Tax
The group is subject to a tax audit in Germany concerning allocation of taxation rights to ship-
ping income between Denmark and Germany as well as to a tax investigation in India concerning
a deemed supply of services between Indian Goods and Services Tax (GST) registrations of A.P.
Moller – Maersk in India. The group is also involved in various other tax disputes, including indi-
rect tax disputes. The likely outcome and the risk related to these disputes are considered re-
mote, and therefore a material impact on the consolidated financial statements is not expected.
Other
Custom bonds of DKK 5.6bn (DKK 3.3bn) have been provided to various port authorities in
India.
The group has entered into a number of agreements with terminals and port authorities, etc.
comprising volume commitments, including an extra payment, in case minimum volumes are not
met.
Except for customary agreements within the group’s activities, no material agreements have
been entered into that will take effect, change, or expire upon change of control of the company.
Note 5.7: Cash flow specifications
Amounts in DKKm
2023
2022
Change in working capital
Inventories
- 96
- 895
Trade receivables
13,077
- 6,769
Other receivables and prepayments
- 6,547
- 10,593
Trade payables and other payables
- 2,376
4,658
Exchange rate adjustment of working capital
- 59
- 467
Total
3,999
- 14,066
Purchase of intangible assets and property, plant and equipment
Addition¹
- 44,145
- 60,894
Of which right-of-use assets, etc.
15,207
29,986
Of which borrowing costs capitalised on assets
950
348
Addition, assets held for sale
0
207
Change in trade payables regarding purchase of assets
376
- 1,899
Change in abandonment
25
290
Total
- 27,587
- 31,962
Financial investments
Addition, joint ventures
- 114
- 7
Disposal, joint ventures
- 4
835
Addition, associated companies
- 30
- 387
Disposal, associated companies
2,526
715
Addition, receivables
- 149,465
- 192,488
Payments regarding receivables
183,121
103,197
Addition, other equity investments
- 504
- 871
Disposal, other equity investments
186
218
Total
35,716
- 88,788
1
Additions to intangible assets amount to DKK 1.7bn (DKK 2.7bn)
Other non-cash items relate primarily to the adjustment of provisions.
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
82
Note 5.7: Cash flow specifications - continued
MATERIAL ACCOUNTING JUDGMENTS
Operations in countries with limited access to repatriating surplus cash
The group operates worldwide and, in this respect, has operations in countries where the
ability to repatriate surplus cash is complicated and time consuming. In these countries,
management makes judgments as to whether these cash positions can be recognised as
cash or cash equivalents.
MATERIAL ACCOUNTING POLICIES
Cash flow from operating activities includes all cash transactions other than cash flows
arising from investing and financing activities such as investments and divestments, re-
ceived dividends, principal payments of loans, instalments on lease liabilities, paid and re-
ceived financial items, and equity transactions. Capitalisation of borrowing costs is consid-
ered non-cash items, and the actual payments of these borrowing costs are included in
cash flow from financing.
Cash and cash equivalents comprise cash and bank balances net of bank overdrafts where
overdraft facilities form an integral part of the group’s cash management.
Note 5.8: Related parties
Associated
companies
Joint ventures
Management¹
Amounts in DKKm
2023
2022
2023
2022
2023
2022
Income statement
Revenue
449
368
478
1,316
0
0
Operating costs²
3,930
3,892
3,901
4,197
88
99
Remuneration to Executive Board
and Board of Directors
0
0
0
0
89
67
Financial income
485
19
0
0
0
0
Financial expenses
359
135
0
0
0
0
Other income
4
3
14
14
0
0
Assets
Other receivables, non-current
0
0
202
188
0
0
Other receivables, current
51
63
61
111
0
0
Trade receivables
39
244
67
77
0
0
Cash and bank balances
12,321
9,845
0
0
0
0
Liabilities
Guarantees etc.
1,131
288
0
0
0
0
Issued bank guarantees
260
166
0
0
0
0
Credit institutions including loan
commitments
7,060
7,544
452
307
0
0
Trade payables
533
432
600
571
7
14
Other payables
0
0
0
21
0
0
Equity
Capital increase
0
216
117
7
0
10
Sale to non-controlling interests
0
0
0
0
442
11
Purchase from non-controlling in-
terests
0
0
0
0
2
0
Dividends
1,904
1,699
655
955
63
14
1
The Board of Directors and the Executive Board in A.P. Møller Holding A/S and their close relatives (including
undertakings under their significant influence). Other receivables and trade payables include customary busi-
ness-related accounts regarding shipping activities
2
Operating costs regarding management include commission and commercial receivables to Maersk Broker
K/S from chartering as well as purchase and sale of ships
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
83
Note 5.8: Related parties - continued
A.P. Møller og Hustru Chastine Mc-Kinney Møllers Fond til almene Formaal, Denmark is the
parent company and the ultimate owner.
A.P. Møller Holding A/S’ related parties comprise its owner The A.P. Møller og Hustru Chastine
Mc-Kinney Møllers Fond til almene Formaal as well as the Board of Directors and Executive
Boards of A.P. Møller Holding A/S and the A.P. Møller og Hustru Chastine Mc-Kinney Møllers
Fond til almene Formaal. Related parties also comprise subsidiaries, associated companies, and
joint ventures. All agreements have been negotiated on market-based terms.
Dividends distributed to A.P. Møller og Hustru Chastine Mc-Kinney Møllers Fond til almene
Formaal amounted to DKK 2.5bn (DKK 2.0bn).
Note 5.9: Events after the balance sheet date
No events of importance to the Annual Report have occurred during the period from the
balance sheet date until the presentation of the financial statements.
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
85
Note 5.10: Company overview – continued
A.P. Moller Holding group of companies comprises more than 1,100 companies.
COMPANIES OWNED BY A.P. MØLLER HOLDING A/S ARE LISTED BELOW
Subsidiary
Country of
incorporation
Ownership share
A.P. Møller - Mærsk A/S¹
Denmark
41.5%
APMH Invest A/S
Denmark
100.0%
1
Voting rights 51.45%
COMPANIES OF A.P. MØLLER - MÆRSK A/S ARE LISTED BELOW
Subsidiary
Country of
incorporation
Ownership share
A.P. Moller Singapore Pte. Ltd.
Singapore
100.0%
Aliança Navegação e Logística Ltda.
Brazil
100.0%
APM Terminals - Aarhus A/S
Denmark
100.0%
APM Terminals Algeciras S.A.
Spain
100.0%
APM Terminals Apapa Ltd.
Nigeria
94.0%
APM Terminals B.V.
Netherlands
100.0%
APM Terminals Barcelona S.L.U.
Spain
100.0%
APM Terminals Callao S.A.
Peru
64.0%
APM Terminals China Co. Ltd.
Hong Kong
100.0%
APM Terminals Elizabeth, LLC
USA
100.0%
APM Terminals Espagna Holding SL
Spain
100.0%
APM Terminals Gothenburg AB
Sweden
100.0%
APM Terminals Lazaro Cardenas S.A. de C.V.
Mexico
100.0%
APM Terminals Maasvlakte II B.V.
Netherlands
100.0%
APM Terminals Management S.L.
Spain
100.0%
APM Terminals Management B.V.
Netherlands
100.0%
APM Terminals MedPort Tangier S.A.
Morocco
80.0%
APM Terminals Mobile, LLC
USA
100.0%
APM Terminals Moin S.A.
Costa Rica
100.0%
APM Terminals North America Inc.
USA
100.0%
APM Terminals Pacific LLC
USA
90.0%
APM Terminals Valencia S.A.
Spain
75.0%
Aqaba Container Terminal Company Ltd.
Jordan
50.0%
Damco China Ltd.
China
100.0%
Damco Denmark A/S
Denmark
100.0%
Subsidiary
Country of
incorporation
Ownership share
Damco Distribution Canada Inc.
Canada
100.0%
Damco Germany GmbH
Germany
100.0%
Damco India Pvt. Ltd.
India
100.0%
Damco Logistics Mexico S.A. de C.V.
Mexico
100.0%
Damco Netherlands B.V.
Netherlands
100.0%
Damco Poland Sp. z o.o.
Poland
100.0%
Damco Spain S.L.
Spain
100.0%
Frey P/S
Denmark
100.0%
Gateway Terminals India Pvt. Ltd.
India
74.0%
Grindrod Logistics (PTY) LTD
South Africa
51.0%
Gujarat Pipavav Port Ltd.
India
44.0%
Hamburg Süd A/S & Co KG
Germany
100.0%
Hambürg Südamerikanische Dampfschifffahrts-Gesell-
schaft A/S & Co KG
Germany
100.0%
Maersk A/S
Denmark
100.0%
Maersk Agency U.S.A. Inc.
USA
100.0%
Maersk Air Cargo A/S
Denmark
100.0%
Maersk Aviation Holding A/S
Denmark
100.0%
Maersk Container Industry A/S
Denmark
100.0%
Maersk Container Industry Qingdao Ltd.
China
100.0%
Maersk Contract Logistics Co., Ltd.
China
100.0%
Maersk Contract Logistics Limited
Hong Kong
100.0%
Maersk Contract Logistics Co., Ltd.
China
100.0%
Maersk Contract Logistics Holdings Limited
Bermuda
100.0%
Maersk Contract Logistics Management Limited
Hong Kong
100.0%
Maersk Denizcilik A.S.
Turkey
100.0%
Maersk Deutschland A/S & Co. KG
Germany
100.0%
Maersk Eastern Europe ApS
Denmark
100.0%
Maersk Global Service Centres Pvt. Ltd.
India
100.0%
Maersk Holding B.V.
Netherlands
100.0%
Maersk Insurance A/S
Denmark
100.0%
Maersk Line Agency Holding A/S
Denmark
100.0%
Maersk Line, Limited
USA
100.0%
Maersk Line Crewing Hamburg ApS & Co KG
Germany
100.0%
Maersk Logistics & Services Australia Pty Ltd
Australia
100.0%
Maersk Logistics & Services Chile S.p.a.
Chile
100.0%
Maersk Logistics & Services International A/S
Denmark
100.0%
Maersk Logistics & Services Japan K.K.
Japan
100.0%
Maersk Logistics & Services Peru S.A.
Peru
100.0%
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
86
Note 5.10: Company overview – continued
Subsidiary
Country of
incorporation
Ownership share
Maersk Logistics & Services USA Inc
USA
100.0%
Maersk Logistics & Services Vietnam Company Limited
Vietnam
100.0%
Maersk Logistics and Services UK LTD
UK
100.0%
Maersk Logistics Warehousing China Company Ltd.
Hong Kong
100.0%
Maersk Oil Trading and Investments A/S
Denmark
100.0%
Maersk Oil Trading Inc.
USA
100.0%
Maersk Oil Trading Panama S.A.
Panama
100.0%
Maersk Oil Trading Singapore Pte. Ltd.
Singapore
100.0%
Maersk Oil Trading Spain, S.L.
Spain
100.0%
Maersk Shipping Hong Kong Ltd.
Hong Kong
100.0%
Maersk Warehousing & Distribution Services USA LLC
USA
100.0%
New Times International Transport Service Co. Ltd.
China
100.0%
Pilot Air Freight, LLC
USA
100.0%
Sealand Maersk Asia Pte. Ltd.
Singapore
100.0%
Senator International Freight Forwarding LLC Florida
USA
100.0%
Senator International Spedition GmbH
Germany
100.0%
St. Petri Shipping ApS & Co KG
Germany
100.0%
Suez Canal Container Terminal SAE
Egypt
55.0%
Svitzer A/S
Denmark
100.0%
Svitzer Australia Pty Ltd
Australia
100.0%
Svitzer Europe Holding B.V.
Netherlands
100.0%
Svitzer Marine Ltd.
UK
100.0%
Terminal 4 S.A.
Argentina
100.0%
Visible Supply Chain Management LLC
USA
100.0%
Associate
Country of
incorporation
Ownership share
Abidjan Terminal SA
Ivory Coast
49.0%
Brigantine Services Ltd.
Hong Kong
30.0%
Conakry Terminal S.A.
Guinea
25.0%
Congo Terminal SA
Congo
15.0%
Guangzhou South China Oceangate Container Terminal Co.
Ltd.
China
20.0%
Itapoa Terminais Portuarios S.A.
Brazil
30.0%
Kanoo Terminal Services Ltd.
Saudi Arabia
50.0%
Meridian Port Services Ltd.
Ghana
35.0%
Pelabuhan Tanjung Pelepas Sdn. Bhd.
Malaysia
30.0%
Qingdao Qianwan United Container Terminal Co. Ltd.
China
10.0%
Salalah Port Services Company SAOG
Oman
30.1%
South Asia Gateway Pvt. Ltd.
Sri Lanka
33.0%
Tianjin Port Alliance International Container Terminal Co.
Ltd.
China
20.0%
Joint venture
Country of
incorporation
Ownership share
Blue Dragon Logistics Co. Ltd.
China
50.0%
Brasil Terminal Portuario S.A.
Brazil
50.0%
Cai Mep International Terminal Co. Ltd.
Vietnam
49.0%
Caucedo Marine Service S.A. (DR Branch)
Dominican Republic
50.0%
Cote D'Ivoire Terminal SA
Ivory Coast
49.0%
LCB Container Terminal 1 Ltd.
Thailand
35.0%
LCMT Company Ltd.
Thailand
32.0%
Nakilat Svitzerwijsmuller Company W.L.L.
Qatar
30.0%
North Sea Terminal Bremerhaven GmbH and Co KG
Germany
50.0%
Qingdao New Qianwan Container Terminal Co. Ltd.
China
19.0%
Qingdao Qianwan Container Terminal Co. Ltd.
China
20.0%
Shanghai East Container Terminal Co. Ltd.
China
49.0%
Smart International Logistics Company Ltd.
China
49.0%
South Florida Container Terminal LLC
USA
49.0%
Svitzer Caribbean Dominicana, S.A.S
Dominican Republic
50.0%
Xiamen Songyu Container Terminal Co. Ltd.
China
25.0%
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
87
Note 5.10: Company overview – continued
COMPANIES OF APMH INVEST A/S ARE LISTED BELOW
Subsidiary
Country of
incorporation
Ownership share
A.P. Møller Maritime ApS¹
Denmark
100.0%
Maersk Tankers A/S
Denmark
80.0%
Maersk Product Tankers A/S
Denmark
70.0%
ZeroNorth A/S
Denmark
52.2%
A.P. Møller Capital P/S ²
Denmark
49.0%
AIF I Sponsor Invest K/S
Denmark
100.0%
APMH GE P/S³
Denmark
99.1%
APMH Invest IX ApS³
Denmark
96.7%
APMH Invest X P/S
Denmark
100.0%
APMH Invest XIII ApS
Denmark
100.0%
APMH Invest XVI ApS³
Denmark
99.1%
APMH Invest XVIII ApS
Denmark
100.0%
APMH Invest XXI ApS
Denmark
100.0%
APMH Invest XXII ApS³
Denmark
99.9%
APMH Invest XXIV ApS³
Denmark
79.6%
APMH Invest XXV ApS
Denmark
99.9%
APMH Invest XXIX ApS
Denmark
100.0%
1
The company is the holding company for Maersk Tankers, Maersk Product Tankers, ZeroNorth and APMH
Invest XXIV
2
68 % of the voting rights
3
100 % of the voting rights
Associate
Country of
incorporation
Ownership share
Danske Bank A/S
Denmark
21.3%
Innargi Holding A/S¹
Denmark
56.4%
Noble Corporation Plc
UK
19.8%
1
Voting rights less than 50%
COMPANIES OF MAERSK TANKERS A/S ARE LISTED BELOW
Subsidiary
Country of
incorporation
Ownership share
B. Tankers AB
Sweden
100.0%
Handytankers General Partner A/S
Denmark
100.0%
Handytankers K/S
Denmark
100.0%
Maersk Tankers Afra General Partner A/S
Denmark
100.0%
Maersk Tankers Afra K/S
Denmark
100.0%
Maersk Tankers India Pvt. Ltd
India
100.0%
Maersk Tankers Intermediate General Partner A/S
Denmark
100.0%
Maersk Tankers Intermediate K/S
Denmark
100.0%
Maersk Tankers LR1 General Partner A/S
Denmark
100.0%
Maersk Tankers LR1 K/S
Denmark
100.0%
Maersk Tankers LR2 General Partner A/S
Denmark
100.0%
Maersk Tankers LR2 K/S
Denmark
100.0%
Maersk Tankers MR General Partner A/S
Denmark
100.0%
Maersk Tankers MR K/S
Denmark
100.0%
Maersk Tankers US Personnel LLC.
USA
100.0%
Njord Solution Aps
Denmark
100.0%
COMPANIES OF MAERSK PRODUCT TANKERS A/S ARE LISTED BELOW
Subsidiary
Country of
incorporation
Ownership share
Maersk Tankers Singapore Pte. Ltd.
Singapore
100.0%
Ammonia Carriers A/S
Denmark
100.0%
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
88
Note 5.10: Company overview – continued
COMPANIES OF ZERONORTH A/S ARE LISTED BELOW
Subsidiary
Country of
incorporation
Ownership share
BTS PTe Ltd.
Singapore
100.0%
ClearLynx LLC ¹
USA
100.0%
Prosmar Bunkering AS
Norway
100.0%
ZeroNorth Bulgaria EOOD
Bulgaria
100.0%
ZeroNorth Greece SINGLE MEMBER S.A
Greece
100.0%
ZeroNorth India Private Limited
India
100.0%
ZeroNorth Singapore PTE Limited
Singapore
100.0%
ZeroNorth US Inc.
USA
100.0%
1
The company is owned by ZeroNorth US Inc.
COMPANIES OF APMH INVEST IX APS ARE LISTED BELOW
Subsidiary
Country of
incorporation
Ownership share
KK Wind Solutions Holding A/S¹
Denmark
98.3%
KKWSH ApS
Denmark
100.0%
KK-Group A/S
Denmark
100.0%
KK Wind Solutions A/S
Denmark
100.0%
KK Wind Solutions GmbH
Germany
100.0%
KK Wind Solutions India Private Limited
India
100.0%
KK Wind Solutions Polska Sp.Z.o.o
Poland
100.0%
KK Wind Solutions Service Holding US Inc.
USA
100.0%
KK Wind Solutions Service US Inc.
USA
100.0%
KK Wind Solutions Taiwan co. Ltd.
Taiwan
100.0%
KK Wind Solutions Tianjin Co. Ltd
China
100.0%
PCH Engineering A/S
Denmark
100.0%
1
The company is the holding company for KK Wind Solutions group entities
COMPANIES OF APMH INVEST XIII APS ARE LISTED BELOW
Subsidiary
Country of
incorporation
Ownership share
Faerch Group Holding A/S¹
Denmark
97.0%
Atlas Rigid North America Inc.
USA
100.0%
Cirrec Germany GmbH
Germany
100.0%
Cirrec Netherlands B.V.
Netherlands
100.0%
DSF Exstrusion B.V.
Netherlands
100.0%
Faerch A/S
Denmark
100.0%
Faerch Annecy SAS
France
100.0%
Faerch Barcelona S.L.U.
Spain
100.0%
Faerch Bunol S.L.U.
Spain
100.0%
Faerch Durham Ltd.
UK
100.0%
Faerch Finland Oy
Finland
100.0%
Faerch France SAS
France
100.0%
Faerch Italy Holding S.r.l.
Italy
100.0%
Faerch Italy S.r.l.
Italy
100.0%
Faerch Liberec s.r.o.
Czech Republic
100.0%
Faerch London Ltd.
UK
100.0%
Faerch Lorient SAS
France
100.0%
Faerch Murowana Goslina Sp. z o.o.
Poland
100.0%
Faerch Netherlands Holding B.V.
Netherlands
100.0%
Faerch Norway AS
Norway
100.0%
Faerch Poole Ltd.
UK
100.0%
Faerch UK Ltd.
UK
100.0%
FP1988 UK Ltd.
UK
100.0%
FPH2017 Ltd.
UK
100.0%
Inmobiliaria Frank Lloyd S.L.
Spain
100.0%
MCP USA, Inc
USA
100.0%
Paccor Belgium NV
Belgium
100.0%
Paccor (Bydgoszcz) Poland Sp. z o.o.
Poland
100.0%
Paccor Deutschland GmbH
Germany
100.0%
Paccor France SAS
France
100.0%
Paccor Holdings GmbH
Germany
100.0%
Paccor Hungary Kft
Hungary
100.0%
Paccor Iberia S.A.
Spain
100.0%
1
The company is the holding company for Faerch group entities
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
89
Note 5.10: Company overview – continued
Subsidiary
Country of
incorporation
Ownership share
Paccor International Holding S.à.r.l.
Luxembourg
100.0%
Paccor Lietuva UAB
Lithuania
100.0%
Paccor Netherlands B.V.
Netherlands
100.0%
Paccor NA, Inc.
USA
100.0%
Paccor Packaging GmbH
Germany
100.0%
Paccor Packaging NA, Inc.
USA
100.0%
Paccor Polska Sp. z o.o.
Poland
100.0%
Paccor (Ravensburg) Deutschland GmbH
Germany
100.0%
Paccor Romania S.R.L.
Romania
100.0%
Paccor (Saint Grégoire) France SAS
France
100.0%
Paccor Turkey Ambalaj Sanayi A.S.
Turkey
100.0%
Paccor (Uedem) Deutschland GmbH
Germany
100.0%
Paccor Ukraine LLC
Ukraine
100.0%
PT. Innoware (Indonesia)
Indonesia
50.0%
COMPANIES OF APMH INVEST XVIII APS ARE LISTED BELOW
Subsidiary
Country of
incorporation
Ownership share
Iv3 Aqua Holding A/S¹
Denmark
99.5%
Iv3 Aqua Corporation
USA
99.9%
1
The company is the holding company for Iv3 Aqua Corporation
Associate of Iv3 Aqua Holding A/S
Country of
incorporation
Ownership share
Subic Water and Sewerage Company, Inc.
Philippines
30.0%
COMPANIES OF APMH INVEST XXI APS ARE LISTED BELOW
Subsidiary
Country of
incorporation
Ownership share
NCS International Holding ApS¹
Denmark
100.0%
NCS International A/S
Denmark
100.0%
Nissens Cooling Solutions A/S
Denmark
100.0%
Nissens Cooling Solution Czech S.r.o.
Czech Republic
100.0%
Nissens Cooling Solutions Inc.
USA
100.0%
Nissens Cooling System (Tianjin) Co. Ltd.
China
100.0%
Nissens Slovakia, s.r.o., Svit
Slovakia
100.0%
1
The company is the holding company for NCS International group entities
COMPANIES OF APMH INVEST XXII APS ARE LISTED BELOW
Subsidiary
Country of
incorporation
Ownership share
Unilabs Group Holding ApS¹
Denmark
100.0%
ACM-Bio Unilabs SELAS
France
100.0%
Adus Radiologie AG
Switzerland
100.0%
Adus Radiologie Holding AG
Switzerland
100.0%
AeskuLab k.s.
Czech Republic
100.0%
AeskuLab Patologie k.s.
Czech Republic
100.0%
AHIUM - Imageologia Médica S.A.
Portugal
100.0%
Amadeu Campos Costa, Sociedade Unipessoal Lda
Portugal
100.0%
Armando Lacerda & Rui Costa Lda
Portugal
100.0%
Atalmedial BV
Netherlands
100.0%
Atalmedial Holding BV
Netherlands
100.0%
Atalmedial MMB Laboratorium BV
Netherlands
100.0%
Augusto Ferreira de Oliveira Lda, Porto
Portugal
100.0%
Australian Telemedicine Clinic Pty Ltd
Australia
100.0%
Auverpath SARL
France
100.0%
BAIC - Serviços Partilhados de Gestao
Portugal
100.0%
BASE – Serviços Médicos de Imagiologia, SGPS S.A.
Portugal
100.0%
Belfiore Inversiones SL
Spain
100.0%
Biolab-Unilabs SELAS
France
100.0%
Biolib Unilabs SELAS
France
99.7%
1
The company is the holding company for Unilabs group entities
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
90
Note 5.10: Company overview – continued
Subsidiary
Country of
incorporation
Ownership share
Bio-line Unilabs SELAS
France
100.0%
Biologie Nord Unilabs SELAS
France
99.5%
Biomediqual Unilabs SELAS
France
99.8%
BMAC - Clínica Laboratorial de Lisboa S.A.
Portugal
100.0%
BOC Holding AG
Switzerland
100.0%
Botania Scan OY
Finland
100.0%
Botnia Lääkintälaite Oy
Finland
100.0%
BV Laboratorium-Centrum voor Bedrijven LCB
Netherlands
100.0%
C.C.I. – Centro de Cardiologia de Intervenção Lda
Portugal
51.0%
C.I.M.C. - Centro de Imagiologia Médica Computorizada
S.A.
Portugal
100.0%
C.M.N. - Centro de Medicina Nuclear S.A.
Portugal
100.0%
C.T.B. - Centro de Tomografia de Braga Lda
Portugal
100.0%
Cardio SA
Portugal
65.0%
CARDIOTESTE – Clínica Cardiológica SA
Portugal
100.0%
Cardioteste Avenida - Centro Cardiovascular Lda
Portugal
100.0%
Cardioteste Boavista - Centro Cardiovascular S.A.
Portugal
100.0%
CDA – Centro Integrado de Diagnóstico do Algarve Lda
Portugal
51.0%
Cedibio-Unilabs SELAS
France
99.6%
Cedivet Centro Diagnostico Veterinario Lda
Portugal
80.0%
Cemedical Centro Médico Diagnosticos e Recuperaçao
Portugal
100.0%
CENTAC - Centro de Tomografia Computorizada de Aveiro
Lda
Portugal
100.0%
Centro Clínico, Radiológico e Diagnóstico da Póvoa de Var-
zim Lda
Portugal
100.0%
Centro de Diagnóstico Cardio-torácico S.A.
Portugal
100.0%
Centro de Diagnostico Ecografico Sintra-Cac
Portugal
100.0%
Centro de Diagnostico Radiologico e Ecografico de
Portugal
100.0%
Centro de Diagnostico Scanner S.A.
Spain
100.0%
Centro de Diagnósticos Almería S.A.
Spain
99.3%
Centro de Investigación y Desarrollo de Alta Tecno
Spain
100.0%
Centro de Radiologia da Maia, Serviços Médicos SA
Portugal
100.0%
Centro de Resonancia Antequera S.A.
Spain
91.2%
CentroLab s.r.o.
Czech Republic
100.0%
Centros Medicos de Diagnostico Integral S.L.
Spain
100.0%
CGC Centro de Genetica Clinica e Patologia SA
Portugal
100.0%
CGC Genetics Inc.
USA
82.0%
CGC Genetics Laboratorio de Genetica Clinica y Forense SA
Spain
100.0%
Subsidiary
Country of
incorporation
Ownership share
CIMB Centro de Imagem Medica de Barcelos Lda
Portugal
100.0%
Cito Citologia Clinica Lda
Portugal
100.0%
Clidiral - Clinica de diagnostico e radiologia LDA
Portugal
100.0%
Clidiral II - Clinica de diagnostico e radiologia
Portugal
100.0%
Clínica Arunda S.A.
Spain
70.9%
Clínica de Amarante CA S.A.
Portugal
100.0%
Clínica Radiológica Ceuta S.A.
Spain
99.9%
Clínica Radiológica Marbella S.A.
Spain
99.9%
CLINUPE - Clínica do Norte de Rastreio Lda
Portugal
100.0%
Contraste – Radiodiagnóstico e Imagiologia Lda
Portugal
100.0%
Cortèz Ferreira, Centro de Diagnostico pela Imagem
Portugal
100.0%
Diagnostic Solutions Management AG
Switzerland
100.0%
Diagnosticos Hospitalarios Reunidos S.L
Spain
51.0%
Diamédica - Sociedade Médica Lda
Portugal
70.0%
DMIL Diagnostico Medico por Imagem Lda
Portugal
100.0%
Dr. Campos Costa - Consultório de Tomografia Computor-
izada SA
Portugal
100.0%
Dynabio Unilabs SELAS
France
100.0%
Edgar Mesquita Lda
Portugal
100.0%
Eulach Radiologie AG
Switzerland
51.0%
Eurico Rodrigues S.A.
Portugal
100.0%
Eylau Unilabs SELAS
France
99.8%
Fernando Sancho, Unipessoal Lda
Portugal
100.0%
Forte Bio Unilabs SELAS
France
100.0%
Gaia Imagiologia Medica
Portugal
100.0%
G.M.I. - Gabinete Médico de Imagem Lda
Portugal
95.4%
G.R.P.V. - Gabinete de Radiologia da Póvoa de Varzim S.A.
Portugal
100.0%
Gabinete de Cardiologia Professor Ovídeo Costa S.A.
Portugal
100.0%
Gabinete de Radiologia Espinho S.A.
Portugal
100.0%
GIE Unilabs France
France
99.9%
IHCP SELAS
France
99.9%
Imagiologia de Matosinhos S.A.
Portugal
100.0%
Imagiologia Médica - Dr. Nelson de Oliveira Unipessoal Lda
Portugal
100.0%
IMA-RAD -Serviços Médicos S.A.
Portugal
100.0%
Immobilière Boucicaut - BLCL SARL
France
64.1%
Imunobact s.r.o.
Czech Republic
100.0%
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
91
Note 5.10: Company overview – continued
Subsidiary
Country of
incorporation
Ownership share
Imunolab - Centro de Diagnóstico Imunológico S.A.
Portugal
100.0%
Instituto Médico de Radiologia Clinica S.A.
Portugal
100.0%
InterLabo Unilabs SELAS
France
100.0%
IRC Istituto Radiologico Colleciata S.A.
Switzerland
100.0%
Joao Guimares Lda
Portugal
100.0%
José Granado S.A.
Portugal
100.0%
Kokkolan Röntgen Oy
Finland
100.0%
Krug de Noronha Lda
Portugal
100.0%
Kühnrad AG
Switzerland
100.0%
Labgarb -Análises Clínicas Lda
Portugal
51.0%
Laboratoire Parc Monceau
France
50.0%
Laboratoire Unilabs France SAS
France
100.0%
Laboratorio Anatomia Patologica Dr Albino Oliveira Lda
Portugal
100.0%
Laboratorio de Analises Clinicas do Tamega Lda
Portugal
100.0%
Laboratório de Patologia Clínica do Pioledo S.A.
Portugal
100.0%
Laboratorio de Patologia Clinica Hilario de Lima S.A.
Portugal
100.0%
Laboratório Dra. Marília Queiroz Lda
Portugal
100.0%
Laboratorio Unilabs Murcia SL
Spain
100.0%
LAP - Laboratorio de Anatomia Patalogica Lda
Portugal
100.0%
Manuel Guimarães Lda
Portugal
100.0%
Maia Imagiologia Medica
Portugal
100.0%
Medecina Laboratorial Dr. Carlos Torres S.A.
Portugal
100.0%
Medecina Laboratorial Dr. Luis Aguiar Soares S.A.
Portugal
100.0%
Mediloulé - Servicos Medicos de radiologia Lda
Portugal
100.0%
Mediscan OY
Finland
100.0%
Noemia Igreja Lda
Portugal
100.0%
Oestran AG
Switzerland
100.0%
Ovídio A. Pereira Costa S.A.
Portugal
100.0%
Pathologie Nord-Unilabs SELAS
France
99.9%
Pedro Van Zeller Lda
Portugal
100.0%
Policlinica Central de Vila da Feira Lda
Portugal
90.0%
Praxea
France
100.0%
Proxilis S.A.
Switzerland
100.0%
Rad4Sports AG
Switzerland
67.0%
Radiología Campo de Gibraltar S.L.
Spain
100.0%
Subsidiary
Country of
incorporation
Ownership share
Radiologie im Silberturm AG
Switzerland
100.0%
Radiologiezentrum Zug AG
Switzerland
100.0%
REM – Gabinete de Imagiologia S.A.
Portugal
100.0%
Resonancia Abierta Alameda S.L.
Spain
55.0%
Resonancia Abierta Alcazaba S.L.
Spain
73.0%
Resonancia Abierta Alcazar de San Juan S.L.
Spain
51.0%
Resonancia Abierta Avilés S.L.
Spain
52.0%
Resonancia Abierta Centro Diagnostico Talavera S.L.
Spain
26.0%
Resonancia Abierta Ciudad Real S.L.
Spain
18.0%
Resonancia Abierta Clínica Salud 2001 S.L.
Spain
99.6%
Resonancia Abierta de Burgos S.L.
Spain
71.0%
Resonancia Abierta de Cádiz S.L.
Spain
80.0%
Resonancia Abierta de Cordoba S.L.
Spain
100.0%
Resonancia Abierta de el Puerto de Santa María S.L.
Spain
62.0%
Resonancia Abierta de Gran Canaria S.L.
Spain
55.0%
Resonancia Abierta del Bierzo S.L.
Spain
100.0%
Resonancia Abierta del Corredor de Henares S.L.
Spain
84.0%
Resonancia Abierta Granada S.L.
Spain
69.0%
Resonancia Abierta La Cuesta S.L.
Spain
60.0%
Resonancia Abierta La Vaguada S.L.
Spain
100.0%
Resonancia Abierta Lucentina SL
Spain
47.0%
Resonancia Abierta Miranda de Ebro S.L.
Spain
50.0%
Resonancia Abierta Policlinico Quirurgico S.L.
Spain
74.9%
Resonancia Abierta Recaredo S.L.
Spain
95.0%
Resonancia Abierta San Fernando S.L.
Spain
58.0%
Resonancia Abierta Sanlucar De Barrameda S.L.
Spain
65.7%
Resonancia Abierta Tucan S.L.
Spain
55.0%
Resonancia Magnetica Abierta de Puertollano S.L.
Spain
45.4%
Resonancia Magnetica Calatayud S.L.
Spain
50.0%
Resonancias Abiertas Toledo S.L.
Spain
50.0%
RIMED AG
Switzerland
80.1%
Rimed Management GMBH
Switzerland
100.0%
RIMED Radiologie Luzern AG
Switzerland
100.0%
Röntgeninstitut Bellevue Zürich AG
Switzerland
100.0%
Röntgeninstitut Lindberg AG
Switzerland
85.0%
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
92
Note 5.10: Company overview – continued
Subsidiary
Country of
incorporation
Ownership share
Röntgeninstitut Marktgasse AG
Switzerland
100.0%
Röntgeninstitut Oerlikon AG
Switzerland
100.0%
Röntgeninstitut Schwyz AG
Switzerland
100.0%
Röntgeninstitut Zürich-Altstetten AG
Switzerland
100.0%
S.M.I.C. - Serviço Médico de Imagem Computorizada S.A.
Portugal
100.0%
Sao Làzaro - Laboratorio De Anàlises Clinicas
Portugal
48.8%
Serviços Médicos de Imagem S.A.
Portugal
100.0%
SHO Groep B.V.
Netherlands
100.0%
Sipath SELAS
France
99.4%
Siscardio- Serviços Medicos Especializados Lda
Portugal
100.0%
SMIC Dragão Lda
Portugal
100.0%
Société de Laboratoire de Biologie Médicale Bio Dômes
Unilabs SELAS
France
100.0%
Sonnmatt Invest GmbH
Switzerland
100.0%
Sousa Barros S.A.
Portugal
100.0%
Success Answer_Serviços Medicos, Unipessoal Lda
Portugal
100.0%
Swisslab Holdco S.A.U
Spain
100.0%
T. Pereira, R. Costa e J. Ferreira Lda
Portugal
100.0%
Telemedicine Clinic Skandinavien AB
Sweden
100.0%
Torrevieja Diagnosticos S.L.
Spain
51.0%
Transmisión de Imagen Diagnóstica S.L.
Spain
100.0%
UL SWE I AB
Sweden
100.0%
Unilabs A/S
Denmark
100.0%
Unilabs AB
Sweden
100.0%
Unilabs Animal Health S.L.
Spain
100.0%
Unilabs BIOCT SELAS
France
100.0%
Unilabs Biogen SELAS
France
100.0%
Unilabs Desarollos SA
Spain
100.0%
Unilabs Diagnostics AB
Sweden
100.0%
Unilabs Diagnostic LLC
UK
60.0%
Unilabs Eerstelijnsdiagnostiek BV
Netherlands
100.0%
Unilabs Filial af European Telemedicine Clinic SLU
Spain
100.0%
Unilabs Holding Czech Republic s.r.o
Czech Republic
100.0%
Unilabs Holding Ltd.
UK
100.0%
Unilabs Laboratoriemedisin AS
Norway
100.0%
Unilabs Middle East L.L.C.
UK
60.0%
Subsidiary
Country of
incorporation
Ownership share
Unilabs Ltd
UK
100.0%
Unilabs Nederland BV
Netherlands
100.0%
Unilabs Norway AS
Norway
100.0%
Unilabs Pathologie SA
Switzerland
100.0%
Unilabs Pathology Diagnostics Services SAC
Peru
80.0%
Unilabs Pathologie Paris
France
100.0%
Unilabs Pathology S.L.
Spain
100.0%
Unilabs Slovensko s.r.o.
Slovakia
100.0%
Unilabs St. Gallen AG
Switzerland
49.0%
Unilabs Sverige AB
Sweden
100.0%
Unilabs Telemedicine Clinic, New Zealand Limited
New Zealand
100.0%
Unilabs, Laboratoire d'analyses médicales SA
Switzerland
100.0%
United Laboratories Barcelona SL
Spain
100.0%
United Laboratories España SA
Spain
100.0%
United Laboratories Madrid SA
Spain
100.0%
United Laboratories Peru SAC
Peru
100.0%
UR Salud UTE
Spain
51.0%
Valenciana de Diagnostico por la Imagen S.L.
Spain
56.0%
Vita-Test spol.s.r.o.
Slovakia
54.0%
WOC Holding AG
Switzerland
100.0%
York Bioanalytical (Holdings) Ltd
UK
100.0%
York Bioanalytical Solutions Ltd
UK
100.0%
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · CONSOLIDATED FINANCIAL STATEMENTS
93
Note 5.10: Company overview – continued
COMPANIES OF APMH INVEST XXIV APS ARE LISTED BELOW
Subsidiary of APMH Invest XXIV ApS
Country of
incorporation
Ownership share
Maersk Supply Service Holding ApS¹
Denmark
98.7%
Maersk Supply Service A/S
Denmark
100.0%
Maersk Supply Service (Angola) Lda
Angola
49.0%
Maersk Supply Service Apoio Maritimo Ltda.
Brazil
100.0%
Maersk Supply América Latina Serviços Marítimos Ltda.
Brazil
100.0%
Maersk Crewing Australia Pty Ltd
Australia
100.0%
Maersk Supply Service Brazil Holdings A/S
Denmark
100.0%
Maersk Supply Service Canada Ltd.
Canada
100.0%
Maersk Supply Service International A/S
Denmark
100.0%
Maersk Supply Service Mexico Holdings
Mexico
100.0%
Maersk Supply Service Norway
Norway
100.0%
Maersk Supply Service Philippines A/S
Denmark
100.0%
Maersk Supply Service Subsea UK Limited
Mexico
100.0%
Maersk Supply Service UK Ltd.
UK
100.0%
Maersk Supply Service West Africa A/S
Denmark
100.0%
Phoenix II A/S
Denmark
100.0%
1
The company is the holding company for Maersk Supply Service group entities
COMPANIES OF APMH INVEST XXIX APS ARE LISTED BELOW
Subsidiary of APMH Invest XXIX ApS
Country of
incorporation
Ownership share
C2X A/S¹
Denmark
80.0%
C2X LLC
USA
100.0%
Phoenix X Spain Holco S.L
Spain
100.0%
Phoenix X Spain S.L
Spain
100.0%
C2X Ltd.
UK
100.0%
1
The company is the holding company for C2X group entities
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · PARENT COMPANY FINANCIAL STATEMENTS
94
2
Parent
company
financial
statements
Income statement ............................................................................................................................................. 95
Balance sheet as of 31 December ................................................................................................................. 96
Statement of changes in equity ..................................................................................................................... 97
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · PARENT COMPANY FINANCIAL STATEMENTS
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · PARENT COMPANY FINANCIAL STATEMENTS
95
Note
Amounts in DKKm
2023
2022
1
Share of profit in subsidiaries
14,921.3
78,795.4
2
Staff costs
- 209.1
- 183.4
Other external expenses
- 60.0
- 58.7
3
Depreciation
- 3.9
- 3.9
Other income
171.0
144.5
Result before financial items
14,819.3
78,693.9
4
Financial income
13.1
4.6
5
Financial expenses
- 0.2
- 3.3
Result before tax
14,832.2
78,695.2
6
Tax on result for the year
206.0
38.6
7
Result for the year
15,038.2
78,733.8
INCOME STATEMENT
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · PARENT COMPANY FINANCIAL STATEMENTS
96
Note
Amounts in DKKm
2023
2022
Non-current assets
3
Property
220.3
224.2
Equipment
7.6
7.5
1
Investments in subsidiaries
271,131.8
264,791.7
Total non-current assets
271,359.7
265,023.4
Current assets
Receivables from affiliates
0.2
1.0
8
Deferred tax
59.2
54.8
Tax receivables
320.9
103.9
Other receivables
77.3
212.9
Total receivables
457.6
372.6
Cash and bank balances
235.2
18.0
Total current assets
692.8
390.6
Total assets
272,052.5
265,414.0
Note
Amounts in DKKm
2023
2022
Equity
9
Share capital
2,000.0
2,000.0
Reserve for net revaluation under the equity method
99,074.1
124,045.3
Retained earnings, etc.
169,694.3
136,611.0
Proposed dividend
1,000.0
2,500.0
Total equity
271,768.4
265,156.3
Non-current liabilities
Other payables
203.6
136.0
Total non-current liabilities
203.6
136.0
Current liabilities
Payables to affiliates
1.9
2.5
Trade payables
19.4
13.4
Other payables
59.2
105.8
Total current liabilities
80.5
121.7
Total liabilities
284.1
257.7
Total equity and liabilities
272,052.5
265,414.0
10
Related parties
11
Commitments
12
Contingent liabilities
13
Events after the balance sheet date
14
Accounting policies
BALANCE SHEET AS OF 31 DECEMBER
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · PARENT COMPANY FINANCIAL STATEMENTS
97
Amounts in DKKm
Share
capital
Reserve
for net
revalua-
tion under
the equity
method
Retained
earnings,
etc.
Proposed
dividend
Total
Equity as of 1 January 2022
2,000.0
64,575.5
115,797.3
2,000.0
184,372.8
Dividend paid for the year
0.0
0.0
0,0
- 2,000.0
- 2,000.0
Result for the year
0.0
78,795.4
- 2,561.6
2,500.0
78,733.8
Dividend from subsidiaries
0.0
- 19,356.0
19,356.0
0.0
0.0
Other adjustments¹
0.0
30.4
4,019.3
0.0
4,049.7
Equity as of 31 December 2022
2,000.0
124,045.3
136,611.0
2,500.0
265,156.3
Dividend paid for the year
0.0
0.0
0.0
- 2,500.0
- 2,500.0
Result for the year
0.0
14,921.3
- 883.1
1,000.0
15,038.2
Dividend from subsidiaries
0.0
- 31,041.3
31,041.3
0.0
0.0
Other adjustments¹
0.0
- 8,851.2
2,925.1
0.0
- 5,926.1
Equity as of 31 December 2023
2,000.0
99,074.1
169,694.3
1,000.0
271,768.4
1
Other adjustments primarily comprise exchange rate adjustments and disposals due to share buy-back pro-
grammes in subsidiaries
STATEMENT OF CHANGES IN EQUITY
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · PARENT COMPANY FINANCIAL STATEMENTS
98
Notes to
parent
company
financial
statements
Note 1: Investments in subsidiaries ............................................................................................................. 99
Note 2: Staff costs ............................................................................................................................................ 99
Note 3: Property .............................................................................................................................................. 100
Note 4: Financial income ............................................................................................................................... 100
Note 5: Financial expenses ........................................................................................................................... 100
Note 6: Tax on result for the year ................................................................................................................ 100
Note 7: Distribution of result for the year ................................................................................................. 100
Note 8: Deferred tax ....................................................................................................................................... 100
Note 9: Share capital ...................................................................................................................................... 101
Note 10: Related parties ............................................................................................................................... 101
Note 11: Commitments .................................................................................................................................. 101
Note 12: Contingent liabilities ...................................................................................................................... 101
Note 13: Events after the balance sheet date .......................................................................................... 101
Note 14: Accounting policies........................................................................................................................ 102
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · PARENT COMPANY FINANCIAL STATEMENTS
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · PARENT COMPANY FINANCIAL STATEMENTS
99
Note 1: Investments in subsidiaries
Amounts in DKKm
2023
2022
Cost as of 1 January
140,746.4
119,375.8
Additions
37,110.0
25,155.0
Disposals¹
- 5,798.7
- 3,784.4
Cost as of 31 December
172,057.7
140,746.4
Adjustment to carrying amount as of 1 January
124,045.3
64,575.5
Share of result for the year
14,921.3
78,795.4
Dividend
- 31,041.3
- 19,356.0
Disposals¹
- 2,924.1
- 4,941.3
Other adjustments incl. exchange rate adjustments
- 5,927.1
4,971.7
Adjustment to carrying amount as of 31 December
99,074.1
124,045.3
Carrying amount as of 31 December
271,131.8
264,791.7
1
Disposals include share buy-back programmes in subsidiaries
COMPANY OVERVIEW AS OF 31 DECEMBER 2023
Subsidiary
Country of
incorporation
Owner-
ship
share¹
Voting
share
A.P. Møller - Mærsk A/S
Denmark
41.51%
51.45%
APMH Invest A/S
Denmark
100.00%
100.00%
1
Percentage of total number of issued shares. The ownership share has been adjusted for
A.P. Moller - Maersk’s holding of own shares as of 31 December 2023 due to the ongoing share buy-back pro-
gramme. Without the adjustment, the ownership share amounts to 37.9%. Cancellation of A.P. Moller -
Maersk’s own shares will be completed at a general meeting
Please refer to the company overview for A.P. Moller Holding group of companies as stated in
note 5.10, which is an integrated part of this note.
Note 2: Staff costs
A.P. Moller Holding has a cash-settled incentive plan to members of the Executive Board and
grants have been awarded on a yearly basis. The incentive plan provides an annual bonus and
long-term incentive programmes, which are determined by the development in the value creation
of the underlying investments. The main part of the long-term incentive programmes is capped.
Amounts in DKKm
2023
2022
Wages and salaries
205.5
180.5
Pensions
3.2
2.6
Other social security costs
0.4
0.3
Total
209.1
183.4
Average number of employees
55
48
Executive Board
Fixed base salary
17.6
16.9
Short-term cash incentive
13.8
11.5
Long-term incentive, grant value
9.1
8.9
Remuneration to the Executive Board before fair value adjustments
40.5
37.3
Fair value adjustments of long-term incentive, including previous years' grants
41.3
18.5
Total remuneration to the Executive Board, including fair value adjustments
81.8
55.8
Remuneration to the Board of Directors
2.7
3.7
Fees and remuneration to the Board of Directors and Executive Board
84.5
59.5
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · PARENT COMPANY FINANCIAL STATEMENTS
100
Note 3: Property
Amounts in DKKm
2023
2022
Cost as of 1 January
236.5
236.5
Cost as of 31 December
236.5
236.5
Depreciation as of 1 January
- 12.3
- 8.4
Depreciation for the year
- 3.9
- 3.9
Depreciation as of 31 December
- 16.2
- 12.3
Carrying amount as of 31 December
220.3
224.2
Note 4: Financial income
Amounts in DKKm
2023
2022
Interest income
12.9
1.7
Interest income, affiliates
0.0
2.0
Exchange rate gains
0.2
0.9
Total
13.1
4.6
Note 5: Financial expenses
Amounts in DKKm
2023
2022
Interest expenses
0.1
2.8
Exchange rate losses
0.1
0.5
Total
0.2
3.3
Note 6: Tax on result for the year
Amounts in DKKm
2023
2022
Tax on result for the year
- 196.0
- 3.9
Adjustment of tax concerning previous years
- 5.6
- 23.6
Adjustment of deferred tax
192.9
- 11.1
Adjustment of deferred tax concerning previous years
- 197.3
0.0
Total
- 206.0
- 38.6
Note 7: Distribution of result for the year
Amounts in DKKm
2023
2022
Proposed dividend
1,000.0
2,500.0
Reserve for net revaluation under the equity method
14,921.3
78,795.4
Retained earnings
- 883.1
- 2,561.6
Result for the year
15,038.2
78,733.8
Note 8: Deferred tax
Amounts in DKKm
2023
2022
Deferred tax asset as of 1 January
54.8
43.7
Adjustment of deferred tax for the year
- 192.9
11.1
Adjustment of deferred tax concerning previous years
197.3
0.0
Deferred tax asset as of 31 December
59.2
54.8
Deferred tax is calculated based on the difference between the carrying amount and the tax
base of assets and liabilities. Management expects the deferred tax asset to be utilised by the
company itself or by the group of jointly taxed companies within a few years.
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · PARENT COMPANY FINANCIAL STATEMENTS
101
Note 9: Share capital
The share capital consists of 2,000 shares with a nominal value of DKK 1m. Share capital as of 31
December 2023 amounts to DKK 2bn.
Note 10: Related parties
A.P. Møller og Hustru Chastine Mc-Kinney Møllers Fond til almene Formaal (A.P. Moller Foun-
dation) holds 100% of the company’s capital.
Related parties exercising controlling interest in the company:
• A.P. Moller Foundation, Esplanaden 50, Copenhagen, Denmark
The company has not entered into any transactions with related parties that were not on an
arm’s length basis.
Note 11: Commitments
As part of the company’s activities, lease agreements are entered into regarding the lease of of-
fice equipment and cars. The total amount of lease commitments regarding short-term and low
value asset leases as of 31 December 2023 amounts to DKK 2.3m (DKK 2.2m). During 2023, the
company had lease costs regarding short-term leases and low-value leases amounting to DKK
1.2m (DKK 0.9m).
Note 12: Contingent liabilities
The company is included in national joint taxation with other Danish companies in the A.P.
Moller Holding group. The company is jointly and severally liable for the payment of taxes and
withholding tax.
Note 13: Events after the balance sheet date
No events of importance to the Annual Report have occurred during the period from the
balance sheet date until the presentation of the financial statements.
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · PARENT COMPANY FINANCIAL STATEMENTS
102
Note 14: Accounting policies
The financial statements for 2023 for A.P. Møller Holding A/S have been prepared on a going
concern basis and in accordance with the provisions of the Danish Financial Statements Act ap-
plying to large enterprises of reporting class C.
With reference to section 86(4) of the Danish Financial Statements Act, no cash flow statement
has been prepared for the company.
With reference to section 96(3) of the Danish Financial Statements Act, the company has not
presented fees to statutory auditors.
Compared to the accounting policies described for A.P. Møller Holding A/S as stated in note 1.1
to the consolidated financial statements, the company’s accounting policies differ mainly in the
following areas:
• Shares in subsidiaries are measured under the equity method. The share of result after tax in
the subsidiaries is recognised as a separate line item in the income statement. Goodwill and
other intangible assets with indefinite useful lives are recognised as part of the investment
and amortised over a maximum of 25 years
• Shares in associates that are retained shareholdings in a former subsidiary, will initially be
recognised with the same carrying amounts as previously, and hence, the carrying amounts
will be presented as transfers
• Dividends from subsidiaries are recognised as a receivable at the time of declaration
• Other equity investments are measured at fair value and the fair value adjustment is recog-
nised through the income statement. Therefore, other equity investments classified at fair
value through other comprehensive income in the consolidated financial statements, are rec-
ognised in the income statement in the financial statements for A.P. Møller Holding A/S
The financial statements have been prepared under the same accounting policies as last year.
The financial statements are presented in DKK million.
INCOME STATEMENT
Share of result in subsidiaries
Share of result in subsidiaries is recognised net of tax and corrected for the share of unrealised
intra-group gains and losses. The line item also includes amortisation and impairment of good-
will recognised as part of the equity investment.
Other external expenses
Other external expenses comprise expenses for administration, office supplies, etc.
Other income
Other income comprises service fees.
BALANCE SHEET
Investments in subsidiaries
Investments in subsidiaries are accounted for under the equity method and the equity method is
used as a consolidation method. The investments are initially recognised at cost and adjusted
thereafter to recognise the company’s share of the post-acquisition profits or losses of the in-
vestee, and the company’s share of movements in equity of the investee. Accounting policies of
equity accounted investees have been changed where necessary to ensure consistency with the
policies adopted by the company. Dividends received or receivable from subsidiaries are recog-
nised as a reduction in the carrying amount of the investment.
When the company’s share of losses in an equity accounted investment equals or exceeds its
interest in the entity, including any other unsecured long-term receivables, the company does
not recognise further losses, unless it has incurred obligations or made payments on behalf of
the other entity.
Unrealised gains on transactions between the company and its subsidiaries are eliminated in full.
Business combinations under common control are accounted for at carrying values using prede-
cessor accounting, i.e. pooling of interests when the entity acquired has been under control of
another member of the same group company before the acquisition. A difference between the
carrying value and the consideration paid are recognised directly in equity.
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · REPORTS
104
We recommend that the Annual Report be adopted at the Annual General Meeting.
Executive Board
Board of Directors
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · REPORTS
105
INDEPENDENT
AUDITOR’S REPORT
A.P. MØLLER HOLDING A/S
ANNUAL REPORT 2023 · REPORTS
106
CVR No 33 77 12 31
