at the Annual General Meeting
Date: 23 / 4 - 2025
_______________________________
(Chairman of the meeting)
Aalborg Portland Holding A/S
P.O. Box 165, Rørdalsvej 44, 9220 Aalborg Øst
CVR No 14 24 44 41
Annual Report 2024
The present Annual Report is presented and approved
1 January 2024 - 31 December 2024
Contents
1
Management’s review
Profile ................................................................... 2
Financial highlights .............................................. 4
Management’s review .......................................... 5
Financial review ................................................... 12
Risks and uncertainties ......................................... 14
Financial statements (Group)
Income statement ................................................ 20
Statement of comprehensive income ................... 21
Cash flow statement ............................................ 22
Balance sheet ...................................................... 23
Statement of shareholders’ equity ........................ 25
Notes ................................................................... 26
Financial statements (Parent company)
Income statement ................................................ 61
Statement of comprehensive income ................... 61
Cash flow statement ............................................ 62
Balance sheet ...................................................... 63
Statement of shareholders’ equity ........................ 65
Notes ................................................................... 66
Signatures
Statement by the Board of Directors
and the Executive Board ...................................... 75
Independent auditor’s report ................................ 76
The Group
Management ........................................................ 78
Companies in the Group ....................................... 79
Addresses ............................................................. 80
Profile
2
Aalborg Portland Holding Group
Aalborg Portland Holding A/S has its head office in Aalborg, Denmark and is the parent company of the Aalborg Portland
Holding Group, which is part of the Cementir Group.
Aalborg Portland Holding A/S and the Group are consolidated in the group financial statements of Cementir Holding N.V.,
the Netherlands, and Caltagirone S.p.A., Italy (the ultimate parent company).
Cementir Holding N.V. has its registered head office in Amsterdam and a secondary office in Rome. It is listed on the Ital-
ian Stock Exchange in Milan (code CEM) and is part of the listed Caltagirone Group.
www.cementirholding.com
Products
Nordic & Baltic
A leading cement producer in the Nordic region
Aalborg Portland produces grey and white cement at its plant in Aalborg. The products are sold in Denmark and neighbour-
ing countries.
1,518,000 481,000
tonnes of grey cement tonnes of white cement
Leading supplier of ready-mixed concrete in the Nordic region
Unicon is a market leader within ready-mixed concrete in the Nordic region. Production takes place at 65 plants in Denmark,
Norway and Sweden. Quarrying and sale of aggregates (mainly granite and gravel) from eight sites in Denmark and Swe-
den.
1,629,000 2,443,000
m
3
of ready-mixed concrete tonnes of aggregates
Belgium & France
One of the largest producers of cement, ready-mixed concrete and aggregates in Belgium
CCB is a leader in the manufacture of cement that meets specific implementation criteria: conventional construction and ma-
sonry work, work of high aesthetic quality, structures in harsh environments and oil well drilling.
CCB has eight ready-mixed concrete plants in Belgium and four in France. Quarrying and sale of aggregates (mainly gravel
and stone) from three sites in Belgium.
1,685,000 760,000 5,115,000
tonnes of grey cement m
3
of ready-mixed concrete tonnes of aggregates
Profile
3
North America
USA
A leading producer of white cement in the USA
Production at two plants in the USA and import of white cement for distribution across North America.
588,000
tonnes of white cement
Türkiye
Extensive activities in Türkiye
Cimentas is among the largest cement groups in Türkiye with production at four sites in the country. Cimentas also has 23
ready-mixed concrete plants and quarrying and sale of aggregates from 22 sites. Recydia, part of the Cimentas Group, pro-
cesses and recycles waste in Türkiye.
4,806,000 2,174,000 2,507,000
tonnes of grey cement m
3
of ready-mixed concrete tonnes of aggregates
Egypt
A leading producer of white cement in Egypt
Production plant in Egypt and sale of white cement to a number of markets worldwide.
559,000
tonnes of white cement
Asia Pacific
China and Malaysia
A leading producer of white cement in Asia Pacific
Production at plants in China and Malaysia and sale of white cement to number of markets worldwide.
987,000
tonnes of white cement
Financial highlights
4
Financial ratios
EBITDA ratio Earnings before depreciation/amortisation, interest and tax (EBITDA) divided by revenue
EBIT ratio Earnings before interest and tax (EBIT) divided by revenue
ROCE NOPAT divided by average capital employed
NOPAT Net operating profit after tax
Earnings before interest and tax (EBIT) x (1 – effective tax rate)
Capital employed Intangible assets + tangible assets + working capital
Equity ratio Shareholders' equity divided by total assets
Return on equity Profit for the year divided by average shareholders’ equity
Net interest-bearing
debt (NIBD) Interest-bearing liabilities less interest-bearing assets
Working capital Inventories, trade receivables and trade payables.
EURm
2020 2021 2022 2023 2024
CONSOLIDATED INCOME STATEMENT
Revenue 1.225,2 1.360,2 1.723,3 1.695,1 1.687,2
Earnings before depreciation/amortisation, impairment
losses, provisions, interest and tax (EBITDA) 278,3 329,1 347,3 422,5 431,7
EBITDA ratio 22,7% 24,2% 20,2% 24,9% 25,6%
Earnings before interest and tax (EBIT) 174,5 219,2 217,8 290,5 287,2
EBIT ratio 14,2% 16,1% 12,6% 17,1% 17,0%
Earnings before tax (EBT) 162,1 208,5 253,3 305,3 312,6
Profit for the year 124,9 150,9 196,3 231,1 238,0
CASH FLOWS
Cash flows from operating activities (CFFO) 250,9 249,6 294,4 319,9 375,7
Cash flows from investing activities (CFFI) * -77,3 -82,1 -100,9 -99,6 -143,0
Free cash flow (FCF) 173,6 167,5 193,5 220,3 232,7
* Hereof investments in intangible assest and property, -57,1 -81,5 -105,1 -114,0 -128,1
plant and equipment (excl. assets acquired at acquisition
of enterprises)
BALANCE SHEET
Total assets 1.841,2 1.895,0 2.302,3 2.357,2 2.606,1
Consolidated shareholders' equity 1.040,3 1.127,9 1.392,3 1.480,1 1.662,1
Net interest-bearing debt (NIBD) 0,8 -123,0 -228,1 -307,6 -350,0
Working capital (WC) 76,2 64,6 54,8 77,3 49,4
FINANCIAL RATIOS
Including non-controlling interests' share
Return on equity 12% 14% 16% 16% 15%
Equity ratio 56% 60% 60% 63% 64%
Return on capital employed (ROCE) 10% 13% 13% 16% 15%
NIBD/EBITDA factor 0,0 -0,4 -0,7 -0,7 -0,8
Number of employees at 31 December 2.951 3.042 3.046 3.005 3.038
Number of employees in Denmark 702 770 783 759 794
The financial ratios have been calculated in accordance with the definitions below:
Management’s review
5
The Aalborg Portland Holding Group delivered a satisfactory result for 2024 on par with 2023 and demonstrated remarkable
resilience despite the complex geopolitical and macroeconomic backdrop. The Group benefitted from a diversified geo-
graphical and product mix, and the general weakness in volumes, except for Türkiye, was offset by improved operational
efficiency.
The Group is committed to achieving net zero emissions by 2050 and has defined several sustainability objectives aligned
with the United Nations Sustainable Development Goals. A key element of the decarbonisation plan is the implementation
of carbon capture and storage (CCS) technology in Aalborg, Denmark, through the ACCSION project, the first for Cementir
and one of the largest full onshore carbon capture and storage value chains in Europe. Once fully operational, this project
will reduce CO₂ emissions by 1.5 million tonnes each year. The Group is also assessing a second CCS project in Belgium.
Over the 2025-2027 period, the Group plans to invest approximately EUR 53m in sustainability projects, including upgrad-
ing facilities to FUTURECEM® production, switching to natural gas in the Danish plant, carbon capture and storage (CCS)
projects in Denmark and Belgium, and other initiatives to reduce the climate impact in transportation, procurement and
logistics and to optimise water resource usage in the production process. The ACCSION project (CCS in Denmark) has not
been included in the planned EUR 53m. It is worth mentioning that the project has received a grant of EUR 220m by the EU
Innovation Fund, also not included in the plan.
The Aalborg Portland Holding Group delivered highly satisfactory earnings in 2024 that were significantly above the full-year guid-
ance. The Group had guided for consolidated revenue of approximately EUR 1.8bn and for EBITDA of approximately EUR 385m.
Actual revenue amounted to EUR 1.7bn and EBITDA was EUR 432m, mainly due to strong performance in Türkiye and Egypt.
The Group’s earnings before depreciation and amortisation (EBITDA) were EUR 432m, 2% higher than in 2023 when EBITDA was
EUR 422m. The Group’s EBITDA ratio was 25.6%, up from 24.9% in 2023. Earnings were positively affected by one-off income of
EUR 7m in Türkiye (Total Group one-off income in 2023: EUR 15m). Adjusted for this, EBITDA was EUR 425m, 4.7% higher than
normalised EBITDA in 2023.
In the Nordic & Baltic region, the Group experienced a continued decline in activity due to the global macroeconomic situa-
tion having a significant impact on activity level in the construction sector. All business areas were impacted, including the
sale of cement, ready-mixed concrete and aggregates. Revenue was EUR 623m compared to EUR 645m in the previous
year, corresponding to a decline of 3%. Regional earnings before depreciation and amortisation (EBITDA) were EUR 174m,
4% lower compared to 2023 when EBITDA was EUR 181m. The decrease in 2024 was negatively impacted by a EUR 7m
gain from the sale of land in 2023. Adjusted for this one-off in 2023, EBITDA was on par with 2023. Net earnings for cement
were positively impacted by the optimisation of the cost of energy, fuels and raw materials. In the business segment for
ready-mixed concrete, performance in Denmark was positively impacted by the acquisition of the Skovby plant from NB
Beton in April 2024. The Norwegian market was still severely impacted by the downturn in the construction sector, while the
activity in Sweden saw some improvement, mainly as a result of some larger construction projects. In aggregates in the
three Nordic countries, the net result declined by 9% year on year, mainly as a result of the macroeconomic situation which
has led to a decline in the construction sector.
In the Belgian cement group Compagnie des Ciments Belges (CCB) volumes sold in 2024 declined compared to 2023
within cement (-10%) and RMC (-5%) however increased within aggregates (+5%). The company contributed with a reve-
nue of EUR 335m in 2024, compared to EUR 360m the previous year, a decrease of 7%. EBITDA was EUR 94m, a de-
crease of 4% from EUR 98 in 2023. The negative development during 2024 was a result of negative evolution of the eco-
nomic situation in the construction area in all the markets where the company operates, Belgium, France and the Nether-
lands.
In Türkiye, the Cimentas Group reported strong developments in all business areas, particularly due to the increased de-
mand for cement as a result of the continued impact by the two major earthquakes that hit Türkiye in 2023. Türkiye remains
a high inflation economy, which had a significant impact on the financial performance for the year. However, cost increases
on major input factors were off-set by the positive impact of price management. Revenue was EUR 393m compared to EUR
329m the previous year, an increase of 19%. EBITDA was EUR 86m compared to EUR 63m the previous year. The in-
crease was mainly related to the positive market developments, however EUR 7m related to one-off income.
In the USA, the Group maintained its position as market leader in white cement through its ownership interest in Lehigh
White Cement Company (LWCC). Volumes sold in 2024 increased by 2% compared to 2023. Revenue in 2024 was EUR
183m compared to EUR 183m the previous year, while EBITDA was EUR 25m compared to EUR 26m in 2023. The decline
in EBITDA is mainly related to negative cost impact higher than the price increases possible to allocate to the market due to
the competitive market situation.
In Egypt, revenue declined by 8% in 2024 to EUR 46m, while EBITDA was EUR 17m compared to EUR 13m in 2023. Price
management and positive exchange rate impact more than offset the negative impact from the decline in revenue.
Management’s review
6
Asia Pacific delivered revenue from white cement of EUR 105m compared to EUR 121m the previous year. EBITDA was
EUR 21m against EUR 27m in 2023. The negative impact was related to China and the negative development in construc-
tion sector caused by a negative trend in the Chinese economy.
The Group’s earnings before interest and tax (EBIT) were EUR 287m, down by 1% from EUR 291m in 2023.
Net financial income amounted to EUR 24m in 2024 compared to an income of EUR 14m the previous year. The change was mainly
due to exchange rate adjustments.
Profit before tax was EUR 313m compared to EUR 305m in 2023, an increase of 2%.
Group investments amounted to approximately EUR 173m (2023: EUR 152m), of which approximately EUR 44m (2023: EUR 48m)
was due to the application of IFRS 16.
Solid balance sheet and strong cash flows from operations
A healthy economy and strong financial base provide opportunities for long-term value-adding and sustainable investments.
In 2024, a constant focus on high operating efficiency and management of working capital led to positive cash flows from operations
(CFFO) of EUR 348m compared to EUR 321 the previous year.
The cash flows funded the year’s investments of EUR 143m (2023: EUR 100m) in predominantly operating efficiency improvements,
including not least a number of energy-efficiency and environmental projects. The Group had a free cash flow of EUR 233m (2023:
EUR 220m).
At 31 December 2024, the Group had net interest-bearing assets of EUR 350m compared to net interest-bearing assets of EUR
308m the previous year, an increase of EUR 42m from 2023.
Shareholders’ equity was EUR 1,662m at 31 December 2024. The equity ratio was thus 64%, an increase of 1% from the previous
year. The return on equity was 15% in 2024, same level as the previous year. The return on capital employed (ROCE) was 15%,
same level as the previous year.
2025-2027 Industrial Plan update
The Board of Directors examined and approved the Group’s 2025-2027 Industrial Plan update and the 2025 budget. In continuity
with the previous Industrial Plan and with the Group’s sustainable growth strategy, the new Industrial Plan is based on five strategic
priorities:
Sustainability
The Group is committed to achieving net zero emissions by 2050 and has defined several sustainability objectives aligned with the
United Nations Sustainable Development Goals. This commitment is integrated into the Group’s strategic objectives and reflected in
the management incentive system.
The 2030 Roadmap has been updated, confirming more ambitious carbon emission reduction targets. Grey cement Scope 1 emis-
sions are expected to decrease to 417 kg of CO2 per tonne from the previous 460 kg, a level below the limits required by the EU
Taxonomy. For white cement, a niche product for specific applications, the plan is to reduce CO2 emissions to 653 kg per tonne by
2030, from the previous 738 kg.
The key levers to achieve these new targets include reducing cement clinker content; developing low-carbon cements such as FU-
TURECEM® and D-Carb®, as well as blended cements based on supplementary cementitious materials (fly ash, pozzolan, and
slag); increasing the use of less polluting fuels such as natural gas and alternative fuels; optimizing thermal efficiency and enhancing
materials recycling and reuse.
A key element of the decarbonisation plan is the implementation of carbon capture and storage (CCS) technology in Aalborg, Den-
mark, through the ACCSION project, the first for Cementir and one of the largest full onshore carbon capture and storage value
chains in Europe. Once fully operational, this project will reduce CO2 emissions by 1.5 million tonnes per year. The Group is also
assessing a second CCS project in Belgium.
To reduce the climate impact of transport and logistics, the Group is implementing initiatives such as e-procurement, the use of elec-
tric concrete mixers and high-energy-efficiency ships.
Over the 2025-2027 period, the Group plans to invest approximately EUR 53m in sustainability projects, including upgrading FU-
TURECEM® production facilities, switching to natural gas in the Danish plant, implementing carbon capture and storage (CCS)
Management’s review
7
projects in Denmark and Belgium, and other initiatives to reduce the climate impact of transportation, procurement and logistics and
to optimise water resource usage in the production process. The ACCSION project (CCS in Denmark) has not been included in the
planned EUR 53m. It is worth noting that the project has received a grant of EUR 220m by the EU Innovation Fund, also not included
in the Plan.
In the field of renewable energy, the Group is signing long-term power purchase agreements (PPAs) with renewable energy produc-
ers, while also evaluating the development of wind and/or solar power plants at its own facilities.
Valuing people
The Group is committed to further strengthening its strong safety culture with the goal to achieve zero accidents through regular
training and awareness programmes. It also aims to promote diversity and inclusion, enhance human capital development, and fos-
ter skills development through adequate evaluation and remuneration policies designed to improve both individual and organisational
performance.
Innovation
The Group will continue to increase the production of low-impact products and processes, as well as sustainable, high value-added
cements such as FUTURECEM®, which reduces the clinker content in cement and lowers CO2 emissions by approximately 30%,
and D-Carb®. The Group promotes low-carbon cements and concretes with Environmental Product Declarations (EPDs) verified by
accredited certification bodies. Additionally, it aims to increase the share of sustainable products, including recycled concrete and
aggregates, fostering a circular economy model.
By adopting digital technologies, including artificial intelligence solutions in production, sales, and supply chain management, the
Group aims to further enhance operational efficiency, improve customer experience, and drive digitalisation.
Improve competitive strength
The Group continues to implement a series of actions to further enhance profitability and operational efficiency, including process
digitisation, preventive and predictive maintenance, advanced production control systems, intelligent logistics, warehouse manage-
ment and integrated digital sales planning.
By streamlining its operations, reducing costs and enhancing efficiency, Cementir aims to improve its financial metrics, position itself
for sustainable growth and enhance its ability to compete effectively.
Growth and positioning
Cementir continues to combine organic growth, strategic acquisitions, and targeted investments in key markets. The Group aims at
strengthening vertical integration and its competitive position in the Nordic & Baltic regions, Belgium and Türkiye, consolidating
global leadership in white cement through targeted actions in strategic markets and seizing potential external growth opportunities in
its core business.
The Aalborg Portland Holding Group is part of Cementir Holding N.V., which publishes an annual Sustainability Report. The report is
available at https://www.cementirholding.com/en/sustainability/sustainability-report-and-documents
Management’s review
8
Nordic & Baltic
Aalborg Portland is Europe’s largest cement plant with seven kiln lines, its own unique port facility, raw material resources (chalk) in
close proximity, and a product distribution network consisting of 11 terminals in Denmark and Sweden. The region also commands
65 ready-mixed concrete facilities in the Nordic countries and eight raw material quarries (aggregates) in Denmark and Sweden. The
Nordic & Baltic region accounts for 37% of the Group’s total revenue.
The financial year 2024 was strongly affected by the continued unstable macroeconomic environment, resulting in continued uncer-
tainty in the construction sector, however also with some encouraging development during the year with a lowering of interest rates
(in Denmark and Sweden, but unchanged in Norway) and a stabilisation of industrial inflation.
Despite these challenging market conditions, the region managed to deliver strong financial results.
Revenue decreased by 3% due to a significant decline in volumes sold. Despite the reduction in activity levels within all business
areas compared to 2023, earnings were on par with 2023 due to price management combined with optimisation of energy, fuel and
raw material costs.
The sale of white cement in the subsidiaries in France, Belgium and Poland was also challenged by declining activity due to the
macroeconomic situation. France and Belgium saw a negative development while Poland developed positively. All units managed to
retain their market positions for sales of Aalborg-manufactured white cement and overall improved the profitability through price
management and optimisation of logistics costs.
In the ready-mixed concrete segment, the financial year 2024 was marked by a continued unstable macroeconomic environment,
impacting construction activity, including the ready-mix-concrete sector. Despite these challenges, the end of 2024 brought encour-
aging developments with declining interest rates and some major national construction projects that collectively increased the use of
concrete in Denmark and Sweden. While these indicators are promising, the construction sector continues to face challenges, nota-
bly pressure on raw material prices and inflation affecting wages. Additionally, high construction activity in isolated geographic areas
has led to local labour shortages, which we expect to continue as large infrastructure projects progress, while other areas are experi-
encing a market decline.
As part of the effort to reduce our CO₂ emissions, we are committed to lowering the carbon footprint of our fleet. In 2024, we took the
next step towards emissions-free delivery of concrete and expanded our fleet of hybrid and fully electric trucks, maintaining one of
Europe's largest active fleets of electric vehicles. Furthermore, as a market leader in Denmark, Unicon is committed to reducing the
CO₂ footprint of concrete, setting the standard for the industry. In 2024, we introduced UNI-Plus based on FUTURECEM, signifi-
cantly cutting CO₂ emissions with a reduction of up to 50% compared to conventional concrete in the same class.
Belgium & France
Compagnie des Ciments Belges SA (CCB) is located in south-west Belgium. CCB’s cement factory in Gaurain is the largest in the
region and its quarry has approved reserves for more than 80 years’ production. The company has a significant market share in Bel-
gium and substantial exports to both France and the Netherlands. CCB is not only active in cement but has a considerable aggre-
gates business with three major quarries and 12 ready-mix concrete plants in Belgium and northern France.
In 2024, the company suffered from an unfavourable evolution of the macroeconomic situation in the construction area in all the
three countries covered by CCB’s activity. Globally, the markets declined by more than 10%. Despite the challenging market condi-
tions which resulted in a decline in volumes sold and a stabilisation of the sales prices, the company reported a strong financial per-
formance, with an EBITDA margin of 28% in line with last year and a stronger net financial position compared to 2023.
CCB retained its strong market position backed by the quality of its products and services and by continuing the deployment of its
roadmap, having an ambition to reduce substantially the CO2 footprint of its products by 2030. On the industrial and sustainability
point of view, CCB finalised successfully the upgrade of its main kiln (kiln 4). Once the commissioning is finalised, the kiln will reach
a consumption of 80% alternative fuels, including a substantial quantity of biomass. In the coming months, CCB will initiate the erec-
tion of eight wind turbines that will produce, once operational, more than 30% of the electricity CCB is using.
CCB has also focus on health and safety which is prioritised through the implementation of safety protocols.
For 2025, we expect a slight recovery of the markets and to be fully operational with the new kiln configuration.
Türkiye
Cimentas is among the largest cement groups in western Türkiye with production at two plants strategically located in Izmir and
Edirne, and a further two cement plants in Kars and Elazig in eastern Türkiye. Cimentas has an annual combined cement production
capacity of 5.4m tonnes. The revenue generated in this region accounts for 23% of the Group's total revenue.
Managem
ent’s review
9
In 2024, the sale of grey cement and clinker amounted to 4.8m tonnes, a 9% year-on-year increase. 2024 has continued to be signif-
icantly impacted by the two major earthquakes in 2023, which resulted in higher sales volumes compared to the previous years.
Türkiye has experienced high inflation during 2024, and the financial performance of Cimentas was also affected by high infla-
tion. Despite such an inflationary macroeconomic environment and high costs associated with raw materials, energy, and logistics,
Cimentas managed to increase its EBITDA by 19% year on year.
In addition to cement factories, Cimentas has 23 concrete plants (operating under Cimbeton, which is also part of the Cimentas
Group), and sales of ready-mixed concrete amounted to 2.2m m
3
in 2024, which is 19% higher compared to 1.8m m
3
of ready-mixed
concrete in 2023. Cimentas also commenced operations with aggregates, increasing sales by 0.6m tonnes to 2.5m tonnes in 2024
and strengthened its vertically integrated position comprising cement, ready-mixed concrete and aggregates.
Furthermore, the company has waste management and renewable energy operations in Türkiye. These operations should be seen
in the context of the steadily growing use of alternative fuels in the production of cement and hence its sustainability initiatives.
Cimentas continuously works on its sustainability targets and plans to invest in solar power plants, RDF plants, and waste heat re-
covery systems at its cement factories. These investments will reduce its carbon footprint and improve its competitiveness.
Market stagnation and uncertainties continued to impact in the last quarter of 2024, and despite the stringent financial policies, the
targeted inflation has not been achieved. Monetary tightening and high interest rates have caused a noticeable slowdown in the con-
struction industry in the first half of 2024. The most recent report of the Turkish Cement Association in October indicates that domes-
tic cement sales have increased by 11,3% over the previous year. The largest impact is coming from the construction processes in
the earthquake-affected regions. However, a volume reduction is anticipated in the major cities of the Marmara Region and the Ae-
gean. Expectations and confidence indices have increased moderately during the last quarter. If the rising expectations of the last
quarter continue in the same direction, particularly with interest rate cuts, the sector is expected to gain momentum in 2025.
Global leader in white cement
The Aalborg Portland Holding Group is a leading global supplier of white cement with a market share of approx. 15%. With produc-
tion facilities in Denmark, the USA, Malaysia, China and Egypt, the Group has a total production capacity of approx. 3.3m tonnes per
annum.
Sales of white cement (excluding intercompany supplies) account for 24% of the Group’s total sales of cement. Sales of white ce-
ment declined by 7% from 2023, mainly due to the slowdown in Asia Pacific (-13%) partly offset by increases in the Nordic & Baltic
region (+3%), North America (+4%) and Egypt (+3%).
In North America, the Group produces white cement in Pennsylvania and Texas, imports cement products from its other units and
distributes products throughout North America. The Group is the market leader in white cement with annual sales of 0.6m tonnes.
Due to market competition, the negative cost impact could not be fully offset by higher sales prices, and as a result, EBITDA de-
clined by 6% compared to 2023.
The Group’s factory in Egypt is the world's largest white cement production plant. Volumes sold during 2024 were 1% higher than in
2023, while EBITDA increased by 35%, mainly due to price management and the exchange rate impact which more than absorbed
inflationary price increases in raw materials, fuels, etc.
In 2024, Asia Pacific, which has Asia's largest white cement production plant, reported a 14% decrease in sales, which had a nega-
tive impact on earnings with a decline in EBITDA of 21%.
The Group’s trading company in Spartan Hive was negatively impacted by the global macroeconomic situation which resulted in a
decline in volumes traded for companies within the Group as well as external customers, which resulted in a decline in EBITDA of
34% compared to 2023.
Management’s review
10
Management’s review
11
Expectations for 2025
The macroeconomic scenario remains characterised by high uncertainty, with weak global growth but differing trends across regions. The
increase in household real incomes, supported by the gradual decline in inflation and more accommodative financial conditions, is ex-
pected to sustain economic activity in the coming months. However, divergent national dynamics - such as labour market conditions,
demand fluctuations, exchange rate variations, and sensitivity to shocks - could impact global growth.
In China, the ongoing real estate market crisis continues to weigh on domestic demand. International trade prospects could be negatively
affected not only by escalating geopolitical tensions but also by a tightening of U.S. trade policy. Oil prices have risen, while natural gas
prices remain volatile and subject to upward pressure due to factors linked to both demand and supply.
For 2025 the Group expects to generate consolidated revenue of approximately EUR 1.85bn, based on volumes recovery, price in-
crease driven by inflation and impact of the Danish CO2 emission tax impact; an EBITDA of around EUR 434m, and a net cash position
of around EUR 460m by year-end, assuming a constant scope of consolidation.
Planned investments amount to approximately EUR 98m (EUR 124m in 2024), of which around EUR 14m in sustainability projects.
Research and development expenses are expected to be stable compared to 2024, as is the average number of employees. The
Group does not envisage the need for new external financing, given the cash generation and the net cash position expected by year
end.
These forward-looking indications do not include: i) the impacts of the application of IAS 29; ii) any non-recurring items; iii) the impact
of a deterioration of the geopolitical situation or other extraordinary events.
The above solely reflects the views of the company's management and does not constitute a guarantee, promise, operational sugges-
tion or even investment advice. Therefore, it should not be taken as a forecast on future market trends and of any financial instruments
concerned.
Financial review
12
Profit and loss
The Group’s volume sales of cement amounted to 10.7m tonnes in 2024, which is on par with the volume sold in 2023. Sales in-
cluded 2.6m tonnes of white cement, a reduction of 7%, which spans moderate growth in the Nordic & Baltic region, Egypt and North
America and declining sales in Asia Pacific. Sales of grey cement amounted to 8.1m tonnes, the same level as in the previous year.
Sales increased in Türkiye while Belgium & France both saw declining sales.
Sales volumes of ready-mixed concrete amounted to 4.6m m
3
in 2024, 7% above the previous year. Sales increased in Türkiye
(19%) while declining sales were reported in Belgium & France (5%).
Sales of aggregates (mainly granite and gravel) amounted to 10.1m tonnes compared to 9.4m tonnes in the previous year, an in-
crease of 7%. Sales increased in Türkiye (34%) and Belgium & France (5%) while they declined in the Nordic & Baltic region (9%).
The Group's revenue in 2024 amounted to EUR 1,687m compared to EUR 1,695m in the previous year, a decrease of 0.5%. The
development included an increase in Türkiye (20%), stable performance in North America and declining revenues in the Nordic &
Baltic region (3%), Belgium & France (7%), Egypt (8%) and Asia Pacific (14%).
Earnings before interest, depreciation and amortisation (EBITDA) increased by EUR 9.1m or 2% to EUR 431.7m (EUR 422.5m). The
following regions achieved higher earnings than in 2023: Türkiye EUR +22.4m (incl. non-recurring income, see below), and Egypt
EUR +4.3m. Earnings were down from the previous year in the following regions: Belgium & France -3.6m, North America -1.5m,
Asia Pacific EUR -5.6m. EBITDA was positively affected by non-recurring income of EUR 15m in Türkiye. Adjusted for this, the
Group’s EBITDA amounted to EUR 425m, an 5% increase over 2023 when the normalised EBITDA was EUR 406.2m.
The operating ratio (EBITDA ratio) increased by 0.7 percentage points from 24.9% in 2023 to 25.6% in 2024. Adjusted for the non-
recurring income mentioned above, the EBITDA ratio was up by 1.2 percentage points to 25.2%.
Earnings before interest and tax (EBIT) decreased by EUR 3.3m to EUR 287.2m (2023: EUR 290.5m).
Net financial income amounted to EUR 24.3m in 2024 compared to EUR 14.0m in the previous year.
Earnings before tax were EUR 312.6m compared to EUR 305.3m in 2023. Tax on profit for the year amounted to EUR 74.6m com-
pared to EUR 74.2m in the previous year.
Net profit for the year was EUR 238.0m compared to EUR 231.1m in 2023.
Cash flows
The Group constantly focuses on optimising both cash flows and working capital.
Cash flow from operations (CFFO) amounted to EUR 347.9m for 2024, compared to EUR 319.9m in 2023.
The Group’s capital expenditure on property, plant and equipment amounted to EUR 128.1m, which is predominantly related to im-
provements in operating efficiency and various energy-efficiency and environmental projects.
The free cash flow after investing activities (FCF) amounted to EUR 232.7m in 2024, compared to EUR 220.3m in the previous year.
The dividend paid to Cementir Holding amounted to EUR 90.1m (2023: EUR 90.3m).
Financial position and liquidity
The Group had net interest-bearing assets of EUR 350.0m at year-end 2024 compared to net-interest bearing assets of EUR
307.6m the previous year.
Long-term financing comprised mortgage loans of EUR 106.4m (2023: EUR 120.7m).
The Group’s liquidity reserve consists of Cementir Holding's unrestricted cash and undrawn credit facilities. In addition, the Aalborg
Portland Holding Group has a separate uncommitted credit facility.
Financial review
13
Balance sheet
Non-current assets amounted to EUR 1,546.1m at 31 December 2024 (2023: EUR 1,383.1m).
Current assets amounted to EUR 1,060.0m, 9% more than at 31 December 2023 (EUR 974.1m). The increase was due to cash
funds rising by EUR 6.5m and inventories and receivables increasing by EUR 79.4m.
The Group’s working capital (trade receivables and inventories less trade payables) amounted to EUR 49.4m at the end of 2024
compared to EUR 77.3m at the end of 2023, a decrease of EUR 27.9m or 36%.
Shareholders’ equity
Total shareholders’ equity amounted to EUR 1,662.1m at 31 December 2024, compared to EUR 1,480.1m at 31 December 2023.
Shareholders’ equity was positively affected by exchange rate adjustments of approx. EUR 89.1m in foreign entities. These adjust-
ments primarily related to the Turkish Lira (TRY) and the Egyptian Pound (EGP).
The equity ratio was 64% at 31 December 2024 (63% at the end of 2023). Return on equity was 15% in 2024, 1% down from 16% in
the previous year.
Return on capital employed
In 2024, as in previous years, intensive efforts were made to increase capital efficiency across the Group.
Return on capital employed (ROCE), which expresses the Group’s ability to generate a satisfactory profit, was positively affected by
both increased earnings and the reduction in capital employed. ROCE was 15% in 2024 compared to 16% in 2023.
Risks and uncertainties
14
Internal Control and Risk Management System
Aalborg Portland Holding Group is integrated with the Cementir Group's Internal Control and Risk Management System which is
defined as the set of tools, organisational structure, procedures and company rules to guarantee, through an adequate process of
identification, measurement, management and monitoring of the main risks, correct and consistent business management with objec-
tives set in terms of:
compliance with laws and regulations;
safeguarding of corporate assets;
operating activity effectiveness and efficiency;
reporting accuracy and completeness.
The Internal Control and Risk Management System adopts a "top-down" and "risk-based" approach that starts from the definition of
the Cementir Group's Business Plan. It ensures that the main risks are identified, assessed and monitored taking into account each
business unit, to create a fully integrated risk management process. Risks are assessed with quantitative and qualitative tools consid-
ering both the probability of occurrence and the impacts that would be generated in a given time horizon if the risk were to occur. It
also ensures that all necessary measures are taken to control risks that could threaten the Group's assets, its ability to generate profits
or achieve its objectives.
Roles and responsibilities in risk management have been defined starting from the Company's Board of Directors, which defines
strategy, policy and risk appetite, supported by the Audit Committee and the Sustainability Committee. In addition, management teams
from the group companies are involved, with responsibility for risk management within their area of expertise.
Below is a summary of the people and bodies involved and their responsibilities:
The Board of Directors plays the central role, defining the Group's risk appetite, the nature and level of risk. In addition, it
carries out an assessment of the risks related to climate change ensuring the constant compatibility of management and
strategic objectives.
The Cementir Group’s Audit Committee and the Sustainability Committee (corporate bodies relevant in the risk definition
process) support the Board of Directors, subject to a favourable opinion, in the definition and management of risks;
CEO & Chairman: implements the general guidelines of the Board of Directors, ensuring the identification, management and
monitoring of the main risks;
Risk owners, or the first level of control, are primarily responsible for internal control and risk management activities;
Finally, Risk Management and Internal Audit are the main responsible for the internal control and risk management system (sec-
ond and third level of control). They are responsible for verifying that the Internal Control and Risk Management System is function-
ing and adequate with respect to the size and operations of the Group, verifying, in particular, that the Management has identified
the main risks, that they have been evaluated in a consistent manner and that the appropriate mitigation actions have been defined
and implemented.
Risks and uncertainties
15
The Cementir Group's Internal Control and Risk Management System is integrated into the Group's organisational, administrative, ac-
counting and governance structure and has been prepared on the basis of the principles laid down by the Enterprise Risk Management -
Integrated Framework, an international standard developed by the Committee of Sponsoring Organizations of the Treadway Commission
(COSO Report), also ensuring greater detail in the identification of the risks of the companies and Group and integration with the results
of the Audit activities. The methodology followed involves an iterative process consisting of the following steps:
Risk identification: the process starts with the definition of the Industrial Plan and focuses on the main risks that could com-
promise the achievement of the Group's objectives;
Risk assessment: for each identified risk, management gives an inherent risk assessment (in the absence of controls/mitigation
actions), in terms of probability and impact during the horizon of the Industrial Plan, using a 5-level assessment system (scoring):
- Impact: scale from 1 (Negligible) to 5 (Extreme);
- Probability: scale from 1 (Rare) to 5 (More than Likely)
With regard to impact, three parameters are considered: economic (quantitative), operational (qualitative), reputational (qualita-
tive). Management at Region and Group level assesses the potential impacts and likelihood of major risks that could have a
material adverse effect on the company's current or future operations. For sustainability and climate-related risks, the time horizon
was extended to a long-term view for the analysis of various threats that could jeopardise the implementation of the Group's
climate transition plan;
Identification and assessment of the adequacy of the existing principals: for each identified risk, all the controls/actions currently in
place for risk mitigation are identified with the management;
Residual Risk Assessment: taking into account the individual controls for each risk and the relative adequacy, the residual
risk is calculated by applying a uniform calculation methodology to all Group companies;
Identification of further actions: in the event that the residual risk is higher than the predefined level of risk appetite, further
actions are agreed with management to mitigate the risk and contain it within acceptable levels. The initiatives are taken
promptly and within budget limits, to effectively contribute to risk mitigation;
Risk mitigation: Mitigation strategies are defined with specific action plans for key risks;
Reporting: reports are prepared at the company and Group level, showing the main risks and initiatives taken by management
to reduce the risks to acceptable levels;
Monitoring: the following are reviewed periodically: existing risk assessments, assessment parameters, and new risks can be
identified if necessary.
Risks and uncertainties
16
The model, as described, subject to further and future updates, aims to provide support for the decision-making and operational processes
of the company management, so as to reduce the possibility that specific events could compromise the Group's ordinary operations or
the achievement of its strategic objectives.
To this end, the risk appetite level adopted in relation to strategic risks is consistent with the vision of creating value, while always
respecting the environment and promoting integration with local communities. In relation to operational risks, the risk appetite level is
defined on the basis of the effectiveness and efficiency targets set by the management.
Provisions for compliance and financial reporting are different. The Group does not accept an assumption of non-compliance risk for
laws and regulations (including those relating to safety), and of possible alterations to the integrity of financial reporting.
The Cementir Group's Internal Control and Risk Management System is integrated with the Group's Sustainability Strategy. Starting
from 2021 the Cementir Group has launched a project to implement the recommendations of the TCFD (Task Force on Climate-
Related Financial Disclosure) committing to be transparent on risks and opportunities related to climate change. The identification,
assessment and effective management of risks and opportunities related to climate change are fully integrated into the Group's risk
management process. To promote and improve its climate change disclosure, in 2022, the Group engaged Standard & Poor's (S&P)
to assess physical and transitional climate risks and develop scenario analyses to support the implementation of the TCFD guidelines.
The analysis carried out by S&P showed that the Cementir Group scored 100% on the overall assessment of the eleven recommen-
dations of the TCFD, which represents a complete and transparent level of disclosure achieved. Furthermore, the Group is integrating
the guidelines published by the European Union “EU Taxonomy Regulation”, which together with the TCFD constitute the reference
frameworks. For more details, see the paragraph "Main risks to which the group is exposed".
In relation to accounting and financial reporting, the existing Internal Control System ensures its accuracy and completeness through
constantly updated administrative and accounting procedures.
Furthermore, as part of the compliance activities with the COSO structure, during the year, the Internal Audit function carries out audit
activities on the aforementioned procedures to ascertain that the provided key controls are being correctly applied by the involved
company structures. The assessment of the internal control system on financial reporting provided for by Cementir Group procedures
was carried out based on this activity.
On the basis of the activity carried out by the Internal Audit department and the related results, the Audit Committee assessed the
Internal Control and Risk Management System as adequate, effective and appropriate for dealing with business, operational, environ-
mental, financial and compliance risks.
As of October 2023, the Group has launched the strategic initiative for the digitalisation of Risk Management, aimed at improving
the resilience of the organisation by leveraging advanced technological solutions, simplifying data-driven risk assessments and
implementing real-time monitoring capabilities, promoting a proactive and agile approach to risk mitigation across all business
functions. The digitisation process was completed during 2024, and the Group Risk Management was updated using the new
platform.
Risk Categories
The Group is subject to various risks and uncertainties. The risk library is the basis for the company's risk assessment process. The
most important risks and their categorisation (strategic, operational, compliance, financial and sustainability) have been listed to facil-
itate the identification of the main risk categories that may have an impact on the Group.
The following table provides a non-exhaustive example of key business risks.
Risks and uncertainties
17
Risks and uncertainties
18
Internal Control System for Fraud Risk Management
This risk relates to intentional acts perpetrated by deception by one or more members of management, those responsible for govern-
ance activities, employees or third parties, in order to obtain unlawful advantages. Fraud, whether false financial reporting or misap-
propriation of company assets, implies the existence of incentives or pressure to commit it and the perception of an opportunity to do
so.
The intrinsic nature of the Group's business introduces potential vulnerabilities to fraud and corruption, which can be summarised as
follows: (i) fraudulent activities in financial transactions, such as misappropriation of funds or fraudulent invoicing; (ii) the risks of
collusion or conflicts of interest extend to relationships with suppliers, customers and employees, amplifying the potential for fraudulent
activities; (iii) non-compliance with anti-corruption laws and regulations; (iv) the theft or mismanagement of stock leading to financial
loss. The potential impact of fraud risks, if realised, can result in financial loss, reputational damage, and regulatory consequences.
Mitigation Actions
To mitigate the risk of fraud, the Group has implemented a combination of preventive, investigative and corrective measures to mini-
mise exposure to fraudulent activities, below is an illustration of the main ones.
Internal Audit conducts a thorough analysis of potential fraud risks during the risk assessment phase, when formulating the audit plan.
Priority is given to areas considered at risk, with a focus on the assessment of identified fraud risks, including the probability of occur-
rence and possible impacts. All operational and compliance audits (in particular L. 262) include a preliminary assessment of the ability
of the internal control system to prevent potential fraud. Following the results of the audit, all actions and control measures agreed with
the Management have the primary objective of securing the process from exposure to fraud and thus making it more effective. In the
assessments, all reports emerging from whistleblowing channels and cases of fraud detected in the last 12 months are also taken into
account.
In 2023, the Group adopted a whistleblowing system that can be used on a platform managed by a third party, to encourage employees
and all stakeholders to report suspicious activity without fear of retaliation. Full information on this system, including details on the
channels to be used, can be found on the Group's official website: https://www.cementirholding.com/en/governance/ethics-and-com-
pliance. The mitigation of the risk of fraud is also guaranteed by the activities conducted by the Ethics Committee (a committee ap-
pointed by the Board of Directors), which on a quarterly basis, analyses the results of the investigative activities carried out by the
Internal Audit and verifies the implementation of disciplinary, organisational and operational actions for each individual case of violation.
The Ethics Committee reports on its work to the Audit Committee and the Board of Directors. Another important mitigation measure is
the adoption and use of a data mining tool called Celonis. This tool proves to be crucial for spotting unusual patterns or trends in
financial transactions. The Group, in fact, implements segregation of duties as an operational practice, making it difficult for an individ-
ual to carry out and conceal fraudulent activities.
The measures implemented aim to significantly reduce vulnerability to fraud and corruption within operations.
Income statement
Statement of comprehensive income
Cash flow statement
Consolidated balance sheet
Consolidated statement of shareholders' equity
Notes:
1 Revenue
2 Cost of sales
3 Research and development costs
4 Staff costs
5 Fees to the auditors appointed by the Annual General Meeting
6 Other operating income and other operating costs
7 Financial income and expenses
8 Income tax
9 Intangible assets
10 Acquisiton of enterprises
11 Property, plant and equipment
12 Investment properties
13 Other non-current assets
14 Investments in associates
15 Investments in joint ventures
16 Deferred tax assets and deferred tax liabilities
17 Inventories
18 Trade receivables, other receivables and prepayments
19 Provisions for pensions and similar commitments
20 Provisions
21 Credit institutions and other borrowings
22 Change in liabilities from financing
23 Deferred income
24 Other payables
25 Charges and securities
26 Contingent liabilities, contractual obligations and contingent assets
27 Related party transactions
28 Financial risks and financial instruments
29 Türkiye - hyperinflated economy: Impacts of the application of IAS 29
30 Post-balance sheet events
31 Critical accounting policies as well as account estimated and judgements
32 Accounting policies
19
Consolidated income statement
EUR '000
2024 2023
Notes
1 Revenue 1.687.190 1.695.044
2+3+4 Cost of sales -1.065.639 -1.051.199
Gross profit 621.551 643.845
4+17 Sales and distribution costs -258.798 -271.950
4+5 Administrative expenses -105.740 -103.764
Profit or loss from ordinary operating activities 257.013 268.131
6 Other operating income 33.218 29.866
6 Other operating costs -3.069 -7.482
Earnings before interest and tax (EBIT) 287.162 290.515
14 Share of profit after tax, associates 270 0
15 Share of profit after tax, joint ventures 884 772
7 Financial income 92.206 70.783
7 Financial expenses -67.919 -56.780
Earnings before tax (EBT) 312.603 305.290
8 Tax on profit for the year -74.563 -74.169
Profit for the year 238.040 231.121
Attributable to:
Non-controlling interests 21.016 12.791
Shareholders in Aalborg Portland Holding A/S 217.024 218.330
20
Consolidated statement of comprehensive income
EUR '000
2024 2023
Notes
Profit for the year 238.040 231.121
Other comprehensive income
Items that cannot be reclassified to the income statement:
18+19 Actuarial gains/losses on defined benefit pension schemes -2.635 1.301
-2.635 1.301
Items that can be reclassified to the income statement:
Exchange rate adjustments on translation of foreign entities 83.186 -40.930
Changes in fair value of financial instruments -3.711 -812
CCS hedge recycled to P&L -5.941 0
8 Tax 606 -352
Other comprehensive income after tax 71.505 -40.793
Total comprehensive income 309.545 190.328
Attributable to:
Non-controlling interests 23.519 -6.659
Shareholders in Aalborg Portland Holding A/S 286.026 196.987
21
Consolidated Cash flow statement
EUR '000
2024 2023
Notes
Profit for the period 238.040 231.121
Effect of hyperinflation 22.216 21.009
Reversal of amortisation and depreciation 128.820 118.947
Reversal of revaluation / impairment losses 84 -9.556
Share of net profits of equity-accounted investees -1.154 -772
Net financial income / expense -30.419 -17.942
Gains/losses on disposals -68 -13.974
Income taxes 62.933 77.625
Change in employee benefits 390 -1.655
Change in provisions (current and non-current) 1.433 -1.191
Operating cash flows before changes in working capital 422.275 403.612
Increase / decrease inventories -235 -25.018
Increase / decrease trade receivables -23.324 2.855
Increase / decrease trade payables 42.649 -10.438
Change in non-current/current other assets/liabilities -8.789 14.353
Change in current and deferred taxes 4.056 -3.169
Operating cash flows 436.632 382.195
Dividends received 588 114
Interests received 21.256 14.125
Interests paid -13.489 -11.986
Other financial income collected/financial expenses paid -4.168 -3.251
Income taxes paid -65.114 -61.280
Cash flow from operating activities 375.705 319.917
Investments in intangible assets -12.668 -10.680
Investments in property, plant and equipment and investment property -115.409 -103.365
10 Acquisitions in businesses -18.011 -5.908
Investments in equity investments -30.107 0
Proceeds from sale of intangible assets 0 571
Proceeds from sale of property, plant and equipment 2.838 17.935
Proceeds from sale of equity investments and other non-current securities 22 1.803
Other variances investment assets 156 0
Cash from investing activities -173.179 -99.644
21 Proceeds from loans and borrowings 7.817 14.544
21 Repayment of borrowings -17.043 -21.049
21 Payment of leases -27.358 -27.544
Change in current financial assets -57.081 -4.434
Dividend distributed -103.788 -93.334
Transactions with non-controlling interests 414 -2.159
13 Other variances of equity 0 0
Cash flow from financing activities -197.039 -133.976
Net change in cash and cash equivalent 5.487 86.297
Cash and cash equivalent exchange rate effect 959 -17.106
Cash and cash equivalent opening balance 371.024 301.833
Cash and cash equivalent closing 377.470 371.024
22
Consolidated balance sheet
EUR '000
ASSETS 2024 2023
Notes
Goodwill 231.337 187.634
Other intangible assets 189.987 183.952
Intangible assets in development 1.951 1.565
9 Intangible assets 423.275 373.151
Land and buildings 381.221 363.441
Plant and machinery 388.543 366.463
Property, plant and equipment under construction 128.648 95.150
Right-of-use assets 87.421 80.385
11 Property, plant and equipment 985.833 905.439
12 Investment properties 103.696 70.316
13+14 Investments in associates 3.094 0
13+15 Investments in joint ventures 7.042 6.529
13 Other non-current assets 885 1.020
13+16 Deferred tax assets 22.273 26.679
Other non-current assets 33.294 34.228
Total non-current assets 1.546.098 1.383.134
17 Inventories 228.139 230.762
18 Trade receivables 180.158 163.121
Receivables from Group enterprises 2 3
Receivables from related enterprises 219.213 141.567
Derivative financial instruments (positive fair value) 0 4.766
Income tax receivable 11.113 3.724
19 Other receivables 38.593 52.779
20 Prepayments 5.325 6.367
Receivables 454.404 372.327
Cash and cash equivalents 377.470 371.024
Total current assets 1.060.013 974.113
TOTAL ASSETS 2.606.111 2.357.247
23
Consolidated balance sheet
EUR '000
EQUITY AND LIABILITIE
S
2024 2023
Notes
Shareholder's equity
Share capital 40.333 40.333
Foreign currency translation reserve -246.064 -326.687
Hedge reserve -699 8.989
Retained earnings 1.703.488 1.590.856
Aalborg Portland Holding A/S' share of shareholders' equity 1.497.058 1.313.491
Non-controlling interests' share of shareholders' equity 165.086 166.595
Total shareholders' equity 1.662.144 1.480.086
Liabilities
19 Pensions and similar liabilities 23.357 20.203
16 Deferred tax liabilities 172.957 158.691
20 Provisions 24.952 25.115
21+22+25 Credit institutions, etc. 145.481 160.831
21+22 Amounts owed to Group enterprises 444 0
23 Deferred income
Non-current liabilities 367.192 364.851
21+22+23 Credit institutions, etc. 49.007 40.649
Trade payables 359.950 318.171
Amounts owed to Group enterprises 47.598 36.937
Derivative financial instruments (negative fair value) 14.541 10.208
Income tax payable 14.965 18.176
20 Provisions 4.776 3.809
Joint taxation contribution payables 13.825 11.335
24 Other payables 72.105 72.157
23 Deferred income 8 868
Current liabilities 576.775 512.310
Total liabilities 943.967 877.161
TOTAL EQUITY AND LIABILITIES 2.606.111 2.357.247
24
25
Consolidated statement of shareholders' equity
EUR '000
Share capital
Foreign
currency
translation
reserve
Hedge
reserve
Retained
earnings
Aalborg
Portland
Holding A/S'
total share
Non-
controlling
interests'
total share
Total equity
Shareholders' equity at 1 January 2024
-326.687
Shareholders' equity at 1 January 2024
-326.687
Comprehensive income in 2024
Profit for the year
Other comprehensive income
Exchange rate adjustments in translation of
foreign entities and hyperinflation
Changes in fair value of financial
instruments
-3.711
-3.711
-3.711
Actuarial gains/losses on defined benefit
pension schemes
-2.501
-2.501
-134
-2.635
Recycled to P&L
-5.941
-5.941
-5.941
Tax on other comprehensive income
-36
Total comprehensive income
-9.688
Transactions with owners
Dividend distributed
-90.097
-90.097
-13.638
-103.735
Transactions with non-controlling interests
-12.362
-12.362
-11.390
-23.752
Total comprehensive income
-102.459
-102.459
-25.028
-127.487
Shareholders' equity at 31 December
2024
-246.064
-699
Foreign
currency
translation
Hedge
Retained
Aalborg
Portland
Holding A/S'
Non-
controlling
interests'
Share capital
reserve
reserve
earnings
total share
total share
Total equity
Shareholders' equity at 1 January 2023
-305.196
Effect of hyperinflation on opening
Shareholders' equity at 1 January 2022
Comprehensive income in 2023
-305.196
Profit for the year
Other comprehensive income
Exchange rate adjustments in translation of
foreign entities and hyperinflation
-21.491
-21.491
-19.439
-40.930
Changes in fair value of financial
-804
-804
-8
-812
Actuarial gains/losses on defined benefit
-15
Tax on other comprehensive income
-27
-337
-364
-352
Total comprehensive income
-21.491
-831
-6.659
Dividend distributed
-90.349
-90.349
-3.624
-93.973
Transactions with non-controlling interests
-12.085
-8.564
Total comprehensive income
-86.828
-86.828
-15.709
-102.537
Shareholders' equity at 31 December
-326.687
The share capital in 2024 and 2023 consists of:
1 share at DKK 150m
1 share at DKK 60m
2 shares at DKK 30m each
1 share at DKK 15m
5 shares at DKK 3m each
Dividends distributed to shareholders in 2024 were EUR 90.1m (2023: EUR 90.3m).
All shares are fully issued and paid up. One share of DKK 1,000 holds one vote.
Notes
EUR '000
1 Revenue 2024 2023
Split by product
Sale of grey cement 605.728 625.321
Sale of white cement 413.466 432.697
Sale of ready-mixed concrete 520.478 487.765
Other sales* 147.518 149.261
1.687.190 1.695.044
Split by geography
Europe Other 988.917 1.112.228
China/Malaysia 63.322 78.357
USA 191.491 191.817
Türkiye/Egypt 381.089 242.386
Other 62.371 70.256
1.687.190 1.695.044
2 Cost of sales
3 Research and development costs
Research and development costs paid 2.174 2.211
2.174 2.211
4 Staff costs
Wages and salaries and other remuneration 166.530 157.097
Pension costs, defined benefit scheme 2.429 4.717
Pension costs, defined contribution scheme 12.510 11.325
Social security costs 20.643 17.809
202.112 190.948
Number of employees at 31 December 3.038 3.005
Average number of full-time employees 3.029 3.057
Salaries and remunerations 5.818 5.678
Pension contributions 622 645
6.440 6.323
Hereof Board of Directors and Management 478 639
5 Fees to the auditors appointed by the Annual General Meeting
Total fees to PwC are specified as follows:
Statutory audit 728 1.026
Tax and VAT advisory services 10
Other services 59
734 1.035
Fees to other auditors 589 266
* Other sales include concrete pipes, gravel, heat, waste processing, etc.
All revenue derives from contracts.
Hereof 118 employees at 31 December 2024 and 121 average full-time employees are included in the pro rata consolidated
company.
Cost of sales amounts to EUR 1,065.7 m (2023: EUR 1,051.2m). Hereof direct staff costs amount to EUR 119.9 m (2023:
EUR 108.5m) and use of raw materials amounts to EUR 315.3m (2023: EUR 261.9m).
Remuneration of the Board of Directors represents EUR 75k in 2024 (2023: EUR 75k).
Remuneration of the Board of Directors, the Management and other
senior executives
26
Notes
EUR '000
6 Other operating income and other operating costs 2024 2023
Other operating income
Rent income 1.689 873
Profit on sale of property, plant and equipment 791 12.140
Value adjustment, investment property 15.513 7.670
Sale of scrap, spare parts and consumables 320 25
Other income 14.905 9.158
33.218 29.866
Other operating costs
Loss on sale of property, plant and equipment 252 805
Other costs 2.817 6.677
3.069 7.482
7 Financial income and expenses
Financial income
Interest, cash funds, etc. 17.595 11.455
Interest, Group enterprises 4.939 3.303
Financial income on derivatives 2.575 1.745
Other financial income 360 0
CO2 Financial income 59 27
Exchange rate adjustments 66.678 54.253
92.206 70.783
Interest on financial assets measured at amortised cost 22.534 14.758
Financial expenses
Interest, credit institutions, etc. 11.116 10.446
Interest, Group enterprises 2.931 1.841
Losses on derivatives 1.656 2.210
Ineffective part of hedge 800 -1.469
Exchange rate adjustments 15.049 12.412
Other financial expenses 36.367 31.340
67.919 56.780
Interest on financial liabilities measured at amortised cost 14.047 12.287
8 Income tax
Income tax
Current tax on the profit for the year/joint taxation contribution 64.064 79.129
Deferred tax adjustment 11.601 -4.141
Other adjustments, including previous years -1.102 -819
74.563 74.169
Taxes paid 65.114 61.280
Other income include sale of energy projects and other income.
According to legislation, the Parent Company is the administrative company of the compulsory Danish joint taxation.
27
Notes
EUR '000
8 Income tax (continued) 2024 2023
Reconciliation of tax rate
Tax according to Danish tax rate 22.0% 68.773 67.145
Difference in the tax rates applied by non-Danish subsidiaries relative to 22.0% 4.628 6.198
Non-taxable income and non-deductible expenses -1.692 4.627
Non-taxable profit shares in joint ventures -251 -167
Recognised tax assets (not previously recognised) 4.147 0
Expired tax loss regarding this and previous years 0 -438
Other, including adjustments previous years -1.042 -6.277
Change of tax rates 0 3.081
74.563 74.169
Applicable tax rate for the year 24% 24%
Income tax recognised directly as other comprehensive income -606 352
Total income tax 73.957 74.521
Payments to authorities
EURk Quarry * Taxes ** Royalty Total
Aalborg Portland A/S, Denmark 990 24.191 0 25.181
Unicon A/S, Denmark 44 3.252 0 3.296
Unicon AS, Norway 1001
Kudsk & Dahl A/S, Denmark 194 119 0 313
AB Sydsten, Sweden 0 940 0 940
Cimentas AS, Türkiye 1.054 6.779 2.043 9.876
Compagnie des Ciments Belges S.A., Belgium 1.251 20.395 1.158 22.804
Compagnie des Ciments France S.A., France 0 1.740 0 1.740
Aalborg Portland Malaysia Sdn. Bhd., Malaysia 0 999 227 1.226
Sinai White Cement Company Co. S.A.E, Egypt 0 3.105 192 3.297
Aalborg Portland (Anqing) Co. Ltd., China 50 3.023 0 3.073
3.584 64.543 3.620 71.747
The table above does not cover the full tax payment of the Aalborg Portland Holding Group, as this is purely provided in
accordance with Section 99(c) of the Danish Financial Statements Act covering the cement production companies which are
in scope in the specific reporting.
Taxes include payments during 2024, however, it included over/under payments from previous years.
* Includes payments in relation to use of minerals in the production and other related fees.
All above payments are to central government in each country.
** Taxes include direct and indirect taxes on the Company's income, manufacturing or profit apart from direct and
indirect taxes on consumption.
In accordance with Danish regulations governing payments to authorities in large companies, cf. Section 99(c) of the Danish
Financial Statements Act, the Aalborg Portland Holding Group has made the following payments to authorities in 2024:
28
Notes
EUR '000
9 Intangible assets
Goodwill
Other
intangible
assets
Intangible
assets in
development Total
Cost at 1 January 2024 187.866 323.550 1.565 512.981
Exchange rate adjustments 5.434 6.792 0 12.226
9.532 2.142 0 11.674
Additions 0 12.780 931 13.711
Disposals -798 0 0 -798
Effect of hyperinflation, IAS29 29.336 4.846 0 34.182
Other adjustments/reclassifications 0 -1.429 -545 -1.974
Cost at 31 December 2024 231.370 348.681 1.951 582.002
Amortisation and impairment at 1 January 2024 232 139.598 0 139.830
Exchange rate adjustments -199 1.933 0 1.734
Amortisation for the year 0 14.884 0 14.884
Effect of huperinflation, IAS29 0 2.279 0 2.279
Amortisation and impairment at 31 December 2024 33 158.694 0 158.727
Carrying amount at 31 December 2024 231.337 189.987 1.951 423.275
Goodwill
Other
intangible
assets
Intangible
assets in
development Total
Cost at 1 January 2023 190.439 328.357 1.004 519.800
Exchange rate adjustments -28.679 -9.161 0 -37.840
Additions 0 7.174 4.917 12.091
Disposals 0 -1.283 0 -1.283
Effect of hyperinflation, IAS29 26.106 3.559 0 29.665
Other adjustments/reclassifications 0 -5.096 -4.356 -9.452
Cost at 31 December 2023 187.866 323.550 1.565 512.981
Amortisation and impairment at 1 January 2023 379 126.597 0 126.976
Exchange rate adjustments -147 -3.613 0 -3.760
Reversed amortisation on disposals 0 -689 0 -689
Amortisation for the year 0 15.436 0 15.436
Effect of huperinflation, IAS29 0 1.867 0 1.867
Amortisation and impairment at 31 December 2023 232 139.598 0 139.830
Carrying amount at 31 December 2023 187.634 183.952 1.565 373.151
2024 2023
Amortisation during the year is included in the following items:
Cost of sales 792 1.436
Sales and distribution costs 1.945 1.954
Administrative expenses 12.147 12.046
14.884 15.436
Intangible assets
Additions from acquisitions
Goodwill is not amortised.
Intangible assets in development are mainly related to process optimisation projects. No impairment indications are
identified.
Other intangible assets include software licenses, quarry rights, CO
2
quotas, development projects incl. process optimisation
and licenses for removal of waste, trademarks and customer lists. All items under other intangible assets have definite
useful lives.
Internally generated intangible assets, mainly regarding SAP implementation, amount to EUR 0.0m (2023: EUR 0.1m).
29
Notes
EUR '000
9 Intangible assets (continued)
2024
Discount
rates after
tax
Terminal
growth rates
A
verage
increase of
revenue
2025 to
terminal
period
A
verage
EBITDA ratio
2025 to
terminal
period
Nordic & Baltic 5-7% 1% 5-11% 6-14%
China and Malaysia 7-9% 3% 4-6% 17-28%
USA 8% 2% 5% 15%
Egypt 21% 5% 17% 33%
Türkiye 21% 5% 29% 17%
2023
Discount
rates after
tax
Terminal
growth rates
A
verage
increase of
revenue
2024 to
terminal
period
A
verage
EBITDA ratio
2024 to
terminal
period
Nordic & Baltic 7-8% 1% 2-6% 6-13%
China and Malaysia 7-9% 3% 3-4% 17-29%
USA 9% 2% 5% 15%
Egypt 25% 3% 10% 25%
Türkiye and UK 21% 5% 29% 17%
As a result of the impairment test conducted in 2024 by considering the current conditions and generally accepted appraisal
techniques on 31 December 2024 no impairment has been identified.
The Aalborg Portland Holding Group performed impairment test on the carrying amount of goodwill at 31 December 2024
based on value in use as in previous years.
Budgets and business plans for the period 2025-2027 are based on specific future business measures, assessing risks in
the key parameters and incorporating these in expected future free cash flows. Projections after 2025 are based on general
expectations. The value for the period after 2027 takes into account the general growth expectations for the cement and
ready-mix industry.
Growth rates are not expected to exceed the average long-term growth rate for the Group's individual geographical
segments.
The key assumptions from the impairment tests of goodwill are as follows:
Expected future free cash flow is based on budgets and business plans for the period 2025-2027 and projections for
subsequent years. Key parameters include production capacity (based on current capacity), trend in revenue, EBIT margin
and growth expectations for the years after 2027. The production capacity exceeds the growth expectations to production
volumes.
Goodwill
The discount rates applied in calculating the recoverable amounts are after tax, and reflect the interest rate plus specific
risks in the individual geographic segments. The discount rate of Egypt and Türkiye is 20-21% due to the high risk-free
interest caused by the political situation in the countries.
At 31 December 2024, Nordic & Baltic, Türkiye, Egypt, USA and Malaysia/China account for EUR 45.3m (2023: EUR
36.9m), EUR 152.5m (2023: EUR 118.8m), EUR 0.7m (2023: EUR 1.1m), EUR 29.6m (2023: EUR 27.8m) and EUR 3.3m
(2023: EUR 3.0m) respectively, of the consolidated goodwill.
Impairment tests are performed in the 4th quarter each year, based on the budgets and business plans approved by the
Board of Directors. The impairment test for cash-generating units compares the recoverable amount, equivalent to the
present value of expected future free cash flow, with the carrying amount of the individual cash-generating units.
30
Notes
EUR '000
9 Intangible assets (continued)
10 Acquisiton of enterprises
Acqusition of assets (NB Beton)
Carrying
amount at
the date of
acquisition
Purchase
price
allocation at
date of
ac
q
uisition
Fair Value
at the date
of
acquisition
Intangible assets with a finite useful life 0 2.232 2.232
Property, plant and equipment 4.553 0 4.553
Inventories 79 0 79
Other current assets/(liabilities) -382 0 -382
Income taxes tax liabilities 0 -491 -491
Identifiable net assets acquired (A) 4.250 1.741 5.991
Acquisition fee (B) 15.281
Goodwill (B) - (A) 9.290
Consideration paid as at 31 December 2024 -15.281
Cash on the date of acquisition 0
Net cash flow as at 31 December 2024 deriving from the acquisition -15.281
In 2024, Unicon Denmark A/S entered into a contract for the acquisition of a business unit, relating to RMC's production
plant in Denmark called Skovby NB. The contract was completed on 12 April 2024. The consideration paid for the acquisitio
n
amounted to EUR 15.3 million (DKK 114 million). The consideration was paid through cash.
For the period between the date of acquisition and 31 December 2024, in light of the fact that the company is a small
business, no significant impact on the group's results has been recognised.
As required by IFRS 3, the assets acquired and liabilities assumed were measured for the determination of fair value, the
value of which was included in the value of the equity investment. Since the “Purchase Price Allocation” exercise, carried out
with the support of an external consultant, no assets and/or liabilities subject to fair value adjustment have been identified
and therefore the spread between the price paid and net assets acquired (equal to EUR 1.7 million) has been fully allocated
to Goodwill; this value was therefore accounted for as an increase in the investment value.
Acquisition of 49% of NB Beton ApS
In 2024 Unicon A/S signed the contract for the acquisition of a minority stake, equal to 49%, in NB Beton, a company that
owns a concrete plant in Denmark. The above-mentioned contract was finalised on 12 April 2024. The consideration paid for
the acquisition amounted to EUR 2.7 million (DKK 20 million). The consideration was paid through cash.
For the period between the date of acquisition and 31 December 2024, in light of the fact that the company is a small
business, no significant impact on the group's results has been recognised.
During the year, with the support of an external consultant, the Company completed the “Purchase Price Allocation”
process. The assets acquired and liabilities assumed were measured for their recognition at fair value, determined as shown
in the table below.
The above tests did not identity any impairment at 31 December 2024.
Taking into considaration the above reported key assumptions management performed sensitivity analyses assuming the
following:
◦Nordic & Baltic +/- 0,4%
◦North America +/- 0,4%
◦Türkiye +/- 2%
The net cash flow deriving from the acquisition is shown in the table below:
For the period between the date of acquisition and 31 December 2024, in light of the fact that the company is substantially
dormant at present, no significant impact on the group's results has been recognised.
The assets acquired and liabilities assumed were measured for their recognition at fair value and, in addition to the value of
the latter, a higher value of customer relations of approximately EUR 2.2 million was recognised, determined as shown in th
e
table below:
The input assumptions stated in the table above were applied to estimates and forecasts determined by on the basis of past
experience and expected developments in the markets in which the Group operates. The Group constantly monitors
circumstances and events that could lead to impairment losses based on developments in the current economic climate.
◦Egypt +/- 0,4%
◦Asia Pacific +/1 0,4%
● A reduction of both annual increase and EBITDA ratio by 10% at the same conditions, would not result in the
recognition of any impairment loss for all the aforesaid CGUs.
● A hypothetical variation in the discount rate (WACC). Specifically, a possible reasonable variation in WACC, at
the same conditions, would not result in the recognition of any impairment loss for all the CGUs listed above. The applie
d
changes of the assumption, based on the peculiarities of the CGU and the macroeconomic environment where they
operate, are as follows:
● A reduction of the growth rate for a percentage equal to -1%, at the same conditions, would not result in the
recognition of any impairment loss for all the aforesaid CGUs.
31
Acquisition of Casa Bayan Sdn Bhd
Carrying
amount at
the date of
acquisition
Purchase
price
allocation at
date of
ac
q
uisition
Fair Value
at the date
of
acquisition
Intangible assets with a finite useful life 15 7.499 7.514
Property, plant and equipment 165 -143 22
Other current assets 40 0 40
Non-current provisions -23 0 -23
Deferred tax liabilities 0 -1.765 -1.765
Identifiable net assets acquired (A) 197 5.591 5.788
Acquisition fee (B) 6.028
Goodwill (B) - (A) -240
Consideration paid as at 31 December 2023 -6.028
Cash on the date of acquisition 0
Net cash flow as at 31 December 2023 deriving from the acquisition -6.028
Sale of subsidiary NWM Holding Limited to Opes MRF 2013 Limited
On 8 November 2023, Recydia AS announced that it had reached an agreement to sell its entire shareholding in NWM
Holding Limited to Opes MRF 2013 Limited, one of the UK's leading waste companies. The consideration for the sale was
EUR 1.5 million. The transaction entailed the deconsolidation by the Cementir Group of NWH Holding Limited and its
subsidiaries Neales Waste Management Limited and Quercia Limited, with the related deconsolidation impact on the income
statement, including the reversal to the income statement of the translation reserve recognised for the translation of these
companies' reporting packages into Euro. The impacts of the deconsolidation are deemed not to be significant for the
financial statements as a whole, as the related operations are non-core for the group.
On 13 October 2023, Aalborg Portland Holding A/S entered into a contract to acquire the entire share capital of Casa Bayan
Sdn Bhd (“Casa Bayan”), a company that owns a quarry in Malaysia. The above-mentioned contract was finalised on 13
October 2023. The consideration paid for the acquisition amounted to EUR 5.9 million (MYR 30 million). The consideration
was paid through cash.
During 2024, with the support of an external consultant, the Company completed the “Purchase Price Allocation” process.
The assets acquired and liabilities assumed were measured for their recognition at fair value and, in addition to the value of
the latter, a higher value of the Quarry of approximately EUR 5.7 million was recognised, determined as shown in the table
below:
The net cash flow deriving from the acquisition is shown in the table below:
32
Notes
EUR '000
11 Property, plant and equipment
Land and
buildings
Plant and
machinery
Property,
plant and
equipment
under
construction
Right-of-use
assets
Total
Cost at 1 January 2024 664.752 1.498.242 95.176 175.199 2.433.369
Exchange rate adjustments -13.897 -49.091 -2.384 828 -64.544
1.206 1.313 0 0 2.519
Additions 4.044 21.402 93.005 43.980 162.431
Disposals -1.154 -15.645 -3 -14.484 -31.286
Effect of hyperinflation, IAS29 58.629 179.710 793 2.457 241.589
Other adjustments/reclassifications 7.226 51.651 -57.914 87 1.050
Cost at 31 December 2024 720.806 1.687.582 128.673 208.067 2.745.128
301.311 1.131.779 26 94.814 1.527.930
Exchange rate adjustments -7.738 -44.897 -1 676 -51.960
Reversed depreciation on disposals -1.153 -15.536 0 -13.049 -29.738
Depreciation for the year 13.697 76.067 0 36.593 126.357
Effect of hyperinflation, IAS29 33.308 152.921 0 1.752 187.981
Other adjustments/reclassifications 160 -1.295 0 -140 -1.275
339.585 1.299.039 25 120.646 1.759.295
Carrying amount at 31 December 2024 381.221 388.543 128.648 87.421 985.833
2024 2023
Depreciation, land and buildings 3.189 3.199
Depreciation, plant and machinery 34.980 29.339
Interest on lease liabilities 4.809 2.535
Short-term leases 3.221 3.872
Lease of low value assets 232 119
Total amounts recognised in the income statement regarding leases 46.431 39.064
Depreciation and impairment at 1 January
2024
Depreciation and impairment at 31
December 2024
Additions from acquisitions
Variable lease payments may depend on an index, a rate or other elements. Variable lease payments that depend on an
index or a rate are included in the initial measurement of the lease liability using the index/rate at the lease commencement
date. Variable lease payments not based on an index or a rate are recognised as in expense in the income statement as
incurred.
33
Notes
EUR '000
11 Property, plant and equipment (continued)
Land and
buildings
Plant and
machinery
Property,
plant and
equipment
under
construction
Right-of-use
assets
Total
Cost at 1 January 2023 675.741 1.489.484 56.324 150.854 2.372.403
Exchange rate adjustments -70.052 -191.462 -1.486 -5.326 -268.326
Additions 9.820 22.777 69.024 42.281 143.902
Disposals -4.853 -7.291 -172 -14.155 -26.471
Effect of hyperinflation, IAS29 56.994 172.258 84 779 230.115
Reclassifications -2.898 12.476 -28.598 766 -18.254
Cost at 31 December 2023 664.752 1.498.242 95.176 175.199 2.433.369
305.053 1.092.867 41 79.909 1.477.870
Exchange rate adjustments -37.905 -166.187 -15 -2.798 -206.905
Reversed depreciation on disposals -4.802 -6.349 0 -12.666 -23.817
Depreciation for the year 13.693 70.305 0 29.717 113.715
Effect of hyperinflation, IAS29 31.724 149.454 0 655 181.833
Other adjustments/reclassifications -6.452 -8.311 0 -3 -14.766
301.311 1.131.779 26 94.814 1.527.930
Carrying amount at 31 December 2023 363.441 366.463 95.150 80.385 905.439
2024 2023
Depreciation during the year is included in the following items:
Cost of sales 94.844 84.419
Sales and distribution costs 24.492 23.873
Administrative expenses 7.021 5.423
126.357 113.715
At 31 December 2024, and 2023, there is no indication of impairment on tangible assets.
No changes are made in significant accounting estimates regarding property, plant and equipment.
Depreciation and impairment at 1 January
2023
Depreciation and impairment at 31
December 2023
The Group is not exposed to any significant future cash outflows that are not reflected in the measurement of lease
liabilities. Residual value guarantees that are expected to be paid are included in the initial measurement of the lease liability
Reference is made to note 21.
34
Notes
EUR '000
12 Investment properties 2024 2023
Fair value at 1 January 70.316 68.957
Exchange rate adjustments -7.812 -26.796
Disposals -2.052 -3.118
Unrealised fair value adjustment (other operating income) 15.513 7.670
Effect of hyperinflation, IAS29 27.731 23.603
Fair value at 31 December 103.696 70.316
13 Other non-current assets
Cost at 1 January 2024 0 216 1.020 26.679 27.915
Exchange rate adjustments 0 0 -210 279 69
Additions 909 0 30 3.930 4.869
Decrease 0 0 0 -412 -412
Fair value adjustment 0 0 0 -300 -300
Effect of hyperinflation, IAS29 0 0 45 -8.421 -8.376
Change offset in provision for deferred tax 0 0 0 518 518
Cost at 31 December 2024 909 216 885 22.273 24.283
Adjustments at 1 January 2024 0 6.313 0 0 6.313
Exchange rate adjustments 143 -143 0 0 0
Profit shares 270 884 0 0 1.154
Dividends for the year 0 -228 0 0 -228
Goodwill equity investments 1.772 0 0 0 1.772
Adjustments at 31 December 2024 2.185 6.826 0 0 9.011
Carrying amount at 31 December 2024 3.094 7.042 885 22.273 33.294
Cost at 1 January 2023 0 216 3.251 21.252 24.719
Exchange rate adjustments 0 0 -1.025 -1.492 -2.517
Additions 0 0 16 2.667 2.683
Disposals 0 0 -1.267 -118 -1.385
Decrease 0 0 0 -2.028 -2.028
Fair value adjustment 0 0 0 179 179
Effect of hyperinflation, IAS29 0 0 45 6.230 6.275
Change offset in provision for deferred tax 0 0 0 -11 -11
Cost at 31 December 2023 0 216 1.020 26.679 27.915
Adjustments at 1 January 2023 0 5.343 0 0 5.343
Exchange rate adjustments 0 312 0 0 312
Profit shares 0 772 0 0 772
Dividends for the year 0 -114 0 0 -114
Adjustments at 31 December 2023 0 6.313 0 0 6.313
Carrying amount at 31 December 2023 0 6.529 1.020 26.679 34.228
The fair value measurement for investment property has been categorised as a Level 2 fair value based on valuation
techniques including unobservable inputs.
The fair value of investment property is measured by a market value approach in which representative samples are selected
in the neighbourhoods of the specified property, which provide recent sales transactions.
Then the average price of the samples is compared with the relevant investment property. Finally, a measuring of the fair
value of the investment property is performed, based on location and other factors.
Other non-current assets mainly relate to VAT receivable and deposits.
Other non-current assets mainly relate to VAT receivable and deposits.
Deferred tax
assets Total
Other
non-current
assets
Investments
in associates
Investments
in associates
Investments
in joint
ventures
Other
non-current
assets
Deferred tax
assets Total
Investments
in joint
ventures
Investment properties mainly comprise a number of commercial lands in Türkiye that is not in the Group's use and owned for
capital appreciation. No rental income is generated from lands.
The fair value of investment properties was determined by external, independent property valuers, having appropriate
recognised professional qualifications and recent experience in the location and category of the property being valued.
35
Notes
EUR '000
13 Other non-current assets (continued)
Investments in subsidiaries with significant non-controlling interests
2024 2023 2024 2023
Revenue 50.221 54.208 47.550 46.037
Profit for the period
- attributable to owners of the parent 1.727 2.882 1.081 340
- attributable to non-controlling interests 740 1.235 1.444 394
2.467 4.117 2.525 734
Other comprehensive income (expense) 4.602 -4.026 -954 254
Total comprehensive income (expense) 7.069 91 1.571 988
Assets
Non-current assets 25.585 25.179 21.861 22.230
Current assets 51.059 45.212 26.486 24.705
76.644 70.391 48.347 46.935
Liabilities
Non-current liabilities 2.042 2.754 13.558 12.712
Current liabilities 13.528 11.187 13.689 10.890
15.570 13.941 27.247 23.602
Net assets
- attributable to owners of the parents 42.752 39.520 9.991 11.048
- attributable to non-controlling interests 18.322 16.930 11.109 12.285
61.074 56.450 21.100 23.333
Cash flow from operation 8.156 5.686 8.941 5.102
Dividends paid to non-controlling interests 730 808 1.481 2.728
2024 2023 2024 2023
Revenue 46.264 50.255 160.927 159.621
Profit for the period
- attributable to owners of the parent 30.341 15.565 9.011 6.627
- attributable to non-controlling interests 0 6.323 0 3.850
30.341 21.888 9.011 10.477
Other comprehensive income (expense) -24.806 -21.974 8.360 -4.585
Total comprehensive income (expense) 5.535 -86 17.371 5.892
Assets
Non-current assets 17.003 18.440 172.307 171.078
Current assets 80.908 100.071 143.013 133.588
97.911 118.511 315.320 304.666
Liabilities
Non-current liabilities 10.063 10.374 26.684 27.697
Current liabilities 10.108 17.650 26.371 30.170
20.171 28.024 53.055 57.867
Net assets
- attributable to owners of the parents 75.027 64.245 165.856 156.076
- attributable to non-controlling interests 2.713 26.242 96.409 90.723
77.740 90.487 262.265 246.799
Cash flow from operation 12.464 18.228 20.980 25.035
Dividends paid to non-controlling interests 3.399 0 7.234 0
Lehigh White Cement
Company
Aalborg Portland Malaysia
Group Sydsten Group
Sinai White Portland Cement
Co S.A.E.
36
Notes
EUR '000
14 Investments in associates 2024 2023
Summary of financial information from associates:
Revenue 7.364 0
Profit for the year 550 0
Total assets 3.349 0
Total liabilities 944 0
Share of profit for the year after tax 270 0
15 Investments in joint ventures 2024 2023
Summary of financial information from joint ventures:
Revenue 48.418 40.856
Profit for the year 1.798 1.536
Total assets 29.415 28.508
Total liabilities 12.879 13.752
Share of profit for the year after tax 884 772
Significant joint ventures
16 Deferred tax assets and deferred tax liabilities 2024 2023
Change in deferred tax in the year
Deferred tax at 1 January 131.654 136.540
Exchange rate adjustments -5.825 -12.552
Changes of tax rate, via income statement 0 -2
Adjustments, previous years via income statement 2.096 1.952
Additions from acquisition of interests 476 451
Movements via income statement -2.770 -20.994
The year's movements in comprehensive income -808 362
Effect of hyperinflation, IAS29 23.652 25.999
Other adjustments 2.209 256
Deferred tax liabilities at 31 December, net 150.684 132.012
Deferred tax is presented in the balance sheet as follows:
Deferred tax liabilities 172.957 158.691
Deferred tax assets 22.273 26.679
Deferred tax liabilities at 31 December, net 150.684 132.012
2024 2023 2024 2023
Intangible assets 0 14.868 28.611 26.836
Property, plant and equipment -963 26.186 79.198 79.850
Investment properties 0 0 13.175 13.175
Other non-current assets 13.014 -1.806 22.832 5.145
Current assets 259 532 12.905 10.877
Provisions 335 1.936 -726 -357
Non-current and current liabilities 625 450 -442 -104
Reinvestment allowance 0 200 0 0
Tax loss carry-forwards 5.995 4.924 4.815 4.285
Effect of hyperinflation 3.008 -20.611 12.589 18.984
Deferred tax at 31 December 22.273 26.679 172.957 158.691
For a list of joint ventures, reference is made to page 79.
The joint ventures have no major contingent liabilities and the Group's maximum liabilities to the joint ventures do not exceed
the equity value of the joint venture.
The group no longer owns any significant joint ventures.
Deferred tax assets Deferred tax liabilities
Tax loss carry-forwards mainly relate to Cimentas Group, CCB Group and US Group. As a result of expected future
earnings there is a reasonable probability that the losses will be realised in a foreseeable future.
The associates have no major contingent liabilities and the Group's maximum liabilities to the associates do not exceed the
equity value of the associates.
For a list of associates, reference is made to page 79.
37
Notes
EUR '000
17 Inventories 2024 2023
Raw materials and consumables 114.125 120.900
Work in progress 57.697 57.541
Finished goods 55.700 51.728
Prepayments of goods 617 593
Inventories at 31 December 228.139 230.762
18 Trade receivables, other receivables and prepayments
2024 2023
Development in provisions for impairment on trade receivables:
Provision for impairment losses at 1 January 3.442 3.996
Exchange rate adjustments -86 -522
Provision for impairment in the year 92 162
Realised in the year -576 -194
Provision for impairment at 31 December 2.872 3.442
The carrying amount essentially corresponds to fair value.
Other receivables include energy taxes and VAT, etc.
Prepayments comprise prepaid rent and insurance, etc.
All trade receivables are due within one year.
As was the case last year, there are no significant inventories of cement and aggregates carried at net realisable value.
Collateral has been received regarding trade receivables, in total EUR 62.4m (2023: EUR 35.1m).
Impairment and write-offs included in PL amount to EUR 0.0m (2023: EUR 0.0m)
Write-down of inventories of spare parts amounts to EUR 4.1m (2023: EUR 5.5m). Reversal of write-downs recognised in
the income statement is EUR 1.4m (2023: EUR 0.0m).
38
Notes
EUR '000
19 Provisions for pensions and similar commitments
2024 2023
Present value of defined benefit schemes 59.055 54.640
Market value of the assets comprised by the schemes 36.301 35.081
Long-term incentive plan obligations 603 644
Net liability recognised in the balance sheet 23.357 20.203
Present value of defined benefit schemes at 1 January 54.640 56.625
Adjustment to prior years 0 -13
Exchange rate adjustment 750 -1.885
Actuarial gains/losses recognised in other comprehensive income 2.574 -1.147
Costs 1.953 3.256
Net interest 2.081 1.770
Payments -2.943 -3.966
Present value of defined benefit schemes at 31 December 59.055 54.640
Market value of the assets comprised by the schemes at 1 January 35.081 32.938
Exchange rate adjustment -196 -272
Payments 298 1.252
Net interest 1.293 1.053
Actuarial gains/losses recognised in other comprehensive income -175 110
Market value of the assets comprised by the schemes at 31 December 36.301 35.081
Stated as liabilities (provision for pension) 22.754 19.559
Amounts taken to the income statement
Pension costs are included in:
Cost of sales 7.655 6.929
Sales and distribution costs 3.139 2.768
Administrative expenses 4.143 6.346
14.937 16.043
0-4% 0-4%
2-4% 1-2%
In 2024, the Group expects payment of EUR 6.9m to the defined benefit schemes.
The most significant actuarial assumptions at the balance sheet date are as follows:
All pension schemes incumbent on the Danish Group enterprises are contribution plans. The pension liabilities of certain
foreign subsidiaries are also funded through insurance plans. Foreign subsidiaries, primarily in Türkiye, Sweden, Norway,
Malaysia, Belgium and France, whose pension liabilities are not - or only partially - funded through insurance plans state the
unfunded liabilities on an actuarial basis at the present value at the balance sheet date. These pension liabilities are partly
covered by assets in pension funds. The Group’s defined benefit plans were EUR 23.4m underfunded at 31 December 2024
(2023: EUR 20.2m) for which a provision has been made as pension liabilities.
All assets comprised by the schemes are managed by pension providers in collective pool schemes.
The assets of the pension scheme are attributable to Belgium and Norway. In Norway the assets are mainly invested in
listed securities.
The actuarial change of the year is mainly due to changes in experience adjustments and other financial assumptions.
The main part of the provision for pension and similar commitments fall due after 5 years.
The actuarial result for the year at EUR 2.6m (2023: EUR -1.3m) is recognised in the statement of comprehensive income.
Discounting rate applied
Expected return on tied-up assets
Compared to the consolidated financial statements a probable change of the actuarial assumptions is not deemed to cause
significant effect on the liabilities, and therefore a sensitivity analysis has not been prepared.
39
Notes
EUR '000
20 Provisions 2024 2023
Provisions at 1 January 28.924 36.436
Exchange rate adjustment -628 -2.048
Additions in the year 3.941 1.057
Additions from acquisitions 023
Actuarial gains/losses recognised in other comprehensive income -114 -44
Used in the year -2.209 -6.208
Reversal -186 -292
Provisions at 31 December 29.728 28.924
Recognised in the balance sheet as follows:
Stated as non-current liabilities 24.952 25.115
Stated as current liabilities 4.776 3.809
29.728 28.924
Maturities for other provisions are expected to be:
Falling due within one year 4.776 3.809
Falling due between one and five years 3.115 4.519
Falling due after more than five years 21.837 20.596
29.728 28.924
21 Credit institutions and other borrowings
2024 2023
Mortgage loan 2033 Variable 106.417 120.678
Bank borrowings and credits 2022 Variable 0 0
Lease liability 2024-2099 Variable 82.140 81.238
Financial payable Group enterprises 2022 Fixed 0 33.846
188.557 235.762
31 December 2024:
Mortgage loan 91.301 15.116 106.417 39.992
Lease liability 53.587 28.553 82.140 5.867
144.888 43.669 188.557 45.859
Specification of contractual cash flows incl. interest:
Mortgage loan 100.981 18.853 119.834 41.071
Lease liability 55.943 32.846 88.789 5.867
156.924 51.699 208.623 46.938
The Group's debt to credit institutions and lease obligations have been recognised and fall due as follows:
Provisions mainly include re-establishment of chalk, gravel and clay pits at EUR 19.2m (2023: EUR 18.4m), demolition
liabilities for buildings and terminal on rented land at EUR 2.1 m (2023: EUR 2.7m), warranties and claims at EUR 0.9m
(2023: EUR 0.8m) as well as other provisions at EUR 7.5m (2023: EUR 7.0m).
Additions in the year include liabilities regarding warranties and claims, re-establishment of chalk, gravel and clay pits,
demolition liabilities, litigations and other provisions.
Use in the year mainly relates to re-establishment, warranties and claims and reorganistion liabilities.
Carrying
amount
Carrying
amount
Fixed/
variable
Costs for re-establishment of chalk, gravel and clay pits are mainly paid when finishing an excavation or when moving out
from leases. No considerable payments are expected in 2024.
Provisions for liabilities due after more than five years mainly include liabilities regarding re-establishment of chalk, gravel
and clay pits and demolition liabilities for buildings and terminals with no decision made regarding closure.
Current
borrowings
(0-1 year)
Total
Maturity
> 5 years
Year of
maturity
Non-current
borrowings
(>1 year)
Fair value of mortgage loan amounts to EUR 120.7m (2022: EUR 134.9m). Other fair values do not significantly deviate from
the carrying amount.
40
Notes
EUR '000 6.383
6.649
21 Credit institutions and other borrowings (continued)
31 December 2023:
Mortgage loan 106.584 14.094 120.678 53.721
Bank borrowings and credits 0
Lease liability 54.685 26.553 81.238 8.151
Financial payable Group enterprises 0 33.846 33.846 0
161.269 74.493 235.762 61.872
Specification of contractual cash flows incl. interest:
Mortgage loan 130.894 19.694 150.588 56.088
Bank borrowings and credits 0
Lease liability 58.613 29.008 87.621 8.184
Financial payable Group enterprises 0 34.344 34.344 0
189.507 83.046 272.553 64.272
22 Change in liabilities from financing
Liabilities from financing at 1 January 2024 106.147 50.834 81.238 10.208 248.427
Proceeds from loans and borrowings 0 7.817 0 7.817
Repayment of borrowings -15.124 -1.919 0 0 -17.043
Payment of leases 0 0 -27.358 0 -27.358
Total changes from financing cash flows -15.124 5.898 -27.358 0 -36.584
Exchange rate effect -72 2.140 266 -5 2.329
Fair value adjustments 0 0 0 6.160 6.160
Non-cash movements 444 0 37.713 -1.822 36.335
91.395 58.872 91.859 14.541 256.667
Liabilities from financing at 1 January 2023 118.493 50.836 71.001 13.959 254.289
Proceeds from loans and borrowings 0 14.544 0 14.544
Repayment of borrowings -12.089 -8.960 0 0 -21.049
Payment of leases 0 0 -27.544 0 -27.544
Total changes from financing cash flows -12.089 5.584 -27.544 0 -34.049
Exchange rate effect -257 -5.586 -2.098 -29 -7.970
Fair value adjustments 0 0 0 -3.182 -3.182
Non-cash movements 0 0 39.879 -540 39.339
106.147 50.834 81.238 10.208 248.427
Please see note 11 for further information regarding leases
23 Deferred income
Expected recognition of deferred income: 2024 2023
Within one year 8 868
Between one and five years 111
9 879
According to the leases there are no contingent rentals.
The carrying amount of leases is presented in note 11.
Liabilities from financing at 31 December
2024
Liabilities from financing at 31 December
2023
Lease liability
Derivative
financial
instruments Total
Payment of interest is estimated and based on the present market conditions.
The maturity analysis is based on all undiscounted cash flows including estimated payment of interest.
Maturity of derivatives is disclosed in note 28.
Non-current
borrowings
(>1 year)
Current
borrowings
(0-1 year) Total
Maturity
> 5 years
Current credit
institutions Lease liability
Derivative
financial
instruments Total
Deferred income relates to income from business agreement, etc., which is expected to be recognised as follows:
Current credit
instiutions
Non-current
credit
institutions
Non-current
credit
institutions
41
Notes
EUR '000
24 Other payables
25 Charges and securities
Property, plant and equipment 105.277 106.066 101.132 120.678
105.277 106.066 101.132 120.678
26 Contingent liabilities, contractual obligations and contingent assets
Contingent liabilities
Contractual obligations
2024 2023
Guarantees
Performance guarantees 6.780 8.691
Other guarantees, etc. 17.539 11.258
24.319 19.949
Carrying
amount of
mortgaged
assets
Debt
regarding
mortgaged
assets
Carrying
amount of
mortgaged
assets
Debt
regarding
mortgaged
assets
Other current payables include holiday pay liabilities, taxes and public indirect taxes, interest payable and dividends payable
to non-controlling interests.
2024 2023
At 31 December 2024, the Group has contractual obligations, including aquisition of raw materials etc. of EUR 14.3m. In
2023 the Group had contractual obligations of EUR 9.1m.
Regarding contractual obligations related to acquisition of non-current assets reference is made to note 11.
Other guarantees relate to guarantees given to suppliers of goods and services, mainly in Türkiye.
The Group is involved in a few disputes, lawsuits, etc. of various scopes, including a few tax disputes in some countries. No
significant liabilities are considered to be incumbent on the Group in that respect, and the outcome of the disputes is not
expected to have significant impact on the Group's financial position beyond what has been recognised in the balance sheet.
42
Notes
EUR '000
27 Related party transactions
2024 2023
Transactions with Cementir Holding N.V.:
- Revenue 303 214
- Intra-group management and administration agreements and royalties 8.649 8.838
- Financial items, net -2.433 -1.605
- Financial receivables 58 224
- Financial payables 37.536 33.846
- Trade payables 358 136
- Tax payables 13.825 11.335
Transactions with joint ventures:
Transactions with other related parties (companies in the parent Group)
- Financial receivables 212.202 141.313
- Financial payables 10.102 2.891
- Financial items, net 4.442 3.067
Remuneration of the Board of Directors and the Management is presented in note 4.
No losses on loans to or receivables from related parties were recognised, nor provisions made for such in 2024 or 2023.
Related parties with significant influence in the Aalborg Portland Holding Group:
- Cementir España S.L., Calle General Yagüe, Num. 13, 28020 Madrid, Spain
Related parties with significant influence in the Aalborg Portland Holding Group comprise the enterprises' Board of Directors
and Management together with family related to these persons. Furthermore, related parties comprise enterprises in which
the above-mentioned persons have significant interests.
Furthermore, related parties include joint ventures, cf. page 79.
- Cementir Holding N.V., Zuidplein 36, 1077 XV Amsterdam, The Netherlands
- Caltagirone S.p.A., Via Barberini, 28, 00187 Rome, Italy
43
Notes
44
28 Financial risks and financial instruments
Risk management policy
As a result of its international operations, investments and financing, the Group is exposed to a number of financial risks, in-
cluding market risks, liquidity and credit risks.
Market risks
Liquidity risks
Credit risks
Risks that the fair value of or fu-
ture cash flows from a financial
instrument will fluctuate due to
rechanges in market prices.
Risks that the Group will en-
counter difficulties in meeting
obligations associated with fi-
nancial liabilities.
Risks that a counterparty of a fi-
nancial instrument is unable to
fulfil its obligations and thereby
inflict a loss to the Group.
The Group's Finance & Treasury is in charge of the overall risk management in accordance with the principles adopted by the
Board of Directors.
The Group policy is not to engage in any active speculation in financial risks. The Group's financial management is thereby
solely directed towards the management and reduction of financial risks arising directly from the Group's commercial opera-
tions, investments and financing.
Market risks
Currency risks
Interest rate risks
Raw material price risks
Arise due to purchase and sale
transactions as well as financial
assets and liabilities in curren-
cies other than the functional
currency of the individual Group
business.
Refer to the influence of chang-
es in market interest rates on fu-
ture cash flow relating to the
Group’s interest-bearing assets
and liabilities and the fair value
of these.
Refer to the influence of chang-
es in raw material prices, which
are not related to currency risks
or interest rate risks.
Currency risks
Hedging is assessed and taken out in close co-operation with the parent company.
For the hedging of currency risks, the Group analyses realised and expected cash flows broken down by currencies. The
Group does not hedge the currency risk between EUR/DKK due to the Danish fixed-exchange-rate policy aimed at the EUR.
Risks relating to purchases and sales
The ready-mixed concrete activities of the Group are less exposed to changes in exchange rates, as the main part of both in-
come and costs are settled in local currency. The Overseas cement activities of the Group enjoy a high degree of exports, and
the settlement thereof is made in various sales currencies, and therefore, these units are affected by changes in exchange
rates. The Turkish cement operations are mainly based on transactions in local currency. Revenue from the Group's Nordic &
Baltic activities and the purchases by this segment are denominated in several currencies. Accordingly, these activities are al-
so exposed to changes in exchange rates.
The Group's currency risks are primarily hedged by the settlement of income and costs in the same currency and by use of de-
rivative financial instruments. Investments in Group enterprises are not hedged.
The Group's most predominant currency exposure regarding the results arises from sales and purchases in CNY, USD, SEK,
PLN and NOK. A 10% drop in these exchange rates compared to EUR/DKK would, viewed separately, reduce the result by
EUR 2.2m (CNY amounts to EUR -2.7m, USD amounts to EUR 0.2m, SEK amounts to EUR 0.4m, PLN amounts to EUR 2.0m
and NOK amounts to EUR 2.1m) (2023: EUR 2.8m (CNY amounted to EUR 0.1m, USD amounted to EUR -2.5m, SEK
amounted to EUR 0.1m, PLN amounted to EUR 2.3m and NOK amounts to EUR 2.8m)). The sensitivity surrounding Group
equity is not materially different from the impact on the operating results for the year.
The Group entered into a swap agreement (hedge accounting) with a termination date in 2030, where both currency risk and
interest risk have been hedged.
Notes
45
The fair value liability is included in a separate line item in the balance sheet "Derivative financial instruments”.
The ineffective part is recognised as financial income.
2024:
2023:
Risks relating to net financing
The Group's most important currency risks arising from receivables and payables in foreign currencies at 31 December 2024
relate to the following currencies: EUR, USD, GBP, TRY, NOK and SEK. If these currencies (apart from EUR) had been 10%
down at 31 December, Group equity would be affected by a negativ exchange rate adjustment of EUR 1.0m (2023: positive
EUR 0.8m). An increase of currencies would have had a similar negative effect on equity.
Translation risks relating to net investments in subsidiaries
The Group income statement and equity are affected by changes in the exchange rates as the closing results of the foreign
Group enterprises are translated into Danish kroner at the consolidation.
Hedging of currency risk is not performed for net assets (equity) in foreign subsidiaries. Gains and losses relating to net assets
in foreign subsidiaries are accounted directly in equity.
With regard to investments in foreign enterprises, Group equity at 31 December 2024 would have been reduced by EUR
85,0m (2023: EUR 58.1m), if the NOK, SEK, USD, CNY, MYR, EGP, PLN, ISK and TRY exchange rates had been 10% down
on the actual exchange rates. Other currency risks arising from investments in foreign entities are immaterial.
Assumptions of sensitivity analysis
The sensitivities are stated on the assumption of unchanged sales and price levels and interest levels, and on the assumption
of recognised assets and liabilities at 31 December 2024.
Forward contracts regarding future transactions
Apart from the above the Group does not comply with the conditions for taking out hedge accounting of future cash flows from
the sale of goods. In terms of the hedging of future investments, the Group assesses in each case whether these comply with
the conditions for hedge accounting.
No Group forward contracts at 31 December 2024 or at 31 December 2023.
Interest rate risk
Owing to the Group's investment and financing activities the Group has exposure to interest rate changes in both Denmark and
abroad. The primary interest-rate exposure is related to fluctuations in CIBOR, LIBOR and EURIBOR.
The Group has floating and fixed loans. The Group's loans at 31 December 2024 came in at EUR 139.1m, 76% thereof fi-
nanced by floating rate loans. At 31 December 2023 loans were EUR 149.9m (accounting for 81% floating rate loans).
With regard to the Group's floating rate loans and cash equivalents, an annual 1% increase in the interest level in proportion to
the actual interest rates would, other things being equal, have had an adverse hypothetical negative impact on the profit before
tax of EUR 1.1m (2023: EUR 1.2m) and on equity of EUR 0.8m (2023: EUR 0.9m). A declining interest level would have had a
corresponding positive impact on result and equity.
The Group's cash is placed on demand or time deposits with a maturity of up to 3 months.
The sensitivities stated are based on average financial assets and liabilities for the year.
Notes
46
Raw material price risks
The Group uses a number of raw materials in the manufacture of the Group's products, which expose the Group to a price risk,
i.a. especially different fuels and electricity. The Group enters into fixed price contracts for some raw materials.
Liquidity risks
According to the Group borrowing policy, the Group will ensure the highest possible flexibility by maintaining a capital structure
with a strong equity financing. At Group level, there are on-going assessments and management of liquidity risk by maintaining
adequate cash reserves/loan facilities based on follow-up on and forecast of cash flow compared with the maturity/repayment
profiles related to the Group's financial instruments.
The Aalborg Portland Holding Group is included in the Cementir Group's overall management of financial risks.
The Group's liquidity reserve consists of non-tied-up cash and undrawn credit facilities signed by Cementir Holding. In addition
to this, the Aalborg Portland Holding Group has a separate uncommitted credit facility. The Management is of the opinion that
the Group has sufficient liquidity at its disposal to carry through planned investments and operating activities and to take the
proper action in case of unforeseen liquidity shortfalls.
Neither in 2024 nor in 2023 the Group has defaulted or breached any loan agreements (covenants).
Regarding maturities of the Group debt, reference is made to note 21.
Based on the Group's expectations for the future operation and the Group's present cash funds, no other significant liquidity
risks have been identified.
Credit risks
The Group's credit risks arise primarily from receivables related to customers, other receivables and cash.
As a consequence of the Group’s credit risk policy, credit rating of all major customers and other trading partners is performed
before contract formation and hereafter continuously. An efficient credit control is important to the Group in the present market.
Management of the credit risks is based on internal credit limits, which are based on the customer's and the counterparties'
creditworthiness, based on both internal and external credit ratings as well as the Group’s experience with the counterparty. If
no satisfactory guarantee is obtained when credit rating the customer/counterparty, payment in advance or separate guarantee
for the sale, e.g. a bank guarantee, will be required.
Due to the market situation, the Nordic companies of the Group have in recent years increased the resources used on follow-
up on customers, which contributes to early warnings of possible risks. As part of the Group’s risk management, the credit ex-
posure of customers and counterparties is monitored daily, weekly or monthly based on individual assessments. Historically
the Group has had relatively small losses due to customers’ or counterparties’ inability to pay.
The credit risk limit of financial assets corresponds to the values recognised on the balance sheet.
No individual customer or co-operator poses any material risk to the Group.
The credit rating of trade receivables is analysed on the basis of the business areas off the Group:
Notes
47
Receivables from Aalborg Portland activities are attributable to Danish customers and export customers characterised as me-
dium-sized and major customers. The Group is familiar with the Danish customers, who have not been granted long credit
lines. Experience shows that export customers pose a low credit risk.
Regarding the Unicon activities the Group's customers primarily consist of contractors, builders and others, customers posing
a higher credit risk.
Overseas activities are attributable to minor local customers and medium-sized to major customers on a global scale. Credits
are granted in accordance with usual, local trading terms. Credit rating is applied to some types of customers, but experience
shows that customers in Overseas pose a low credit risk.
In Türkiye, there are both dealers and end-users (contractors and other customers) within both the ready-mixed concrete, ce-
ment and waste business. All customers are generally required to provide security for deliveries unless the management has
assessed that there are no significant risks associated with selling to that customer. The waste business sales are only to large
customers. Received collaterals amount to EUR 62.4m at 31 December 2024 (2023: EUR 35.1m).
Trade receivables at 31 December 2024 include receivables of EUR 1.8m (2023: EUR 3.8m), which, based on an individual
assessment, have been written down to EUR 0.0m (2023: EUR 0.0m). The write-downs were generally motivated by the cus-
tomers' bankruptcy or anticipated bankruptcy. When calculating individual write-downs the collaterals received have been
taken into account.
Provision for impairment on trade receivables and loss percentages are specified as follows:
Provision for impairment and loss percentages are specified as follows:
Notes
48
Provision for impairment is higher than expected loss as there has been made a separate assessment of the trade receivables
due above 90 days.
The receivables written down are included at their net amounts in the above-mentioned tables.
Management of capital structure
Group capital management is assessed and adjusted in close co-operation with the parent company. The Aalborg Portland
Holding Group is included in the Cementir Group's overall capital management.
It is the Group's policy that the capital structure and financial gearing of the Group shall at all times reflect the Group's activities
and risk profile, afford sufficient financial latitude to ensure the Group's creditworthiness, and provide flexibility and room for in-
vestments or acquisitions based on the Group strategy.
The distribution of dividends takes place considering the appropriate level of equity and sufficient availability of loan capital to
facilitate the Group's ongoing expansion.
The Group financial gearing between net interest-bearing debt and EBITDA is -0.8 at 31 December 2024 (31 December 2023:
-0.7).
Fair value measurement
Financial instruments measured at fair value are measured on a recurring basis and categorised into the following levels of the
fair value hierarchy:
• Level 1: Observable market prices for identical instruments
• Level 2: Valuation techniques primarily based on observable prices or traded prices for comparable instruments
• Level 3: Valuation techniques primarily based on unobservable prices
Securities and investments measured at fair value through profit/loss are either measured at quoted prices in an active market
for the same type of instrument (level 1) or at fair value based on available data (level 3).
Hedging instruments are not traded on an active market based on quoted prices. Measured instead of using a valuation tech-
nique, where all significant inputs are based on observable market data; such as exchange rates, interest rates, credit risk and
volatilities (level 2).
There have been no transfers between the levels in 2024 or 2023.
Specification of financial assets and obligations
Notes
49
Methods and assumptions on determination of fair values
In general, fair value corresponds to the carrying value, except for mortgage loans.
Financial instruments related to sale and procurement of goods, etc. with a short credit period are measured at fair value cor-
responding to the carrying value.
Derivative financial instruments are computed on generally accepted valuation methods based on relevant exchange rates.
The methods used are unchanged compared to 2023.
29 Türkiye - hyperinflated economy: Impacts of the application of IAS 29
As of April 2022, the Turkish economy is considered hyperinflationary according to the criteria set out in “IAS 29-Financial Re-
porting in Hyperinflationary Economies”. For the purpose of preparing these Consolidated Financial Statements and in accord-
ance with IAS 29, certain non-monetary items in the balance sheets of the investee companies in Türkiye and the income
statement items have been remeasured by applying the general consumer price index to historical data, in order to reflect the
changes in the purchasing power of the Turkish Lira at the balance sheet date of these companies.
Bearing in mind that the Cementir Group acquired control of the Turkish companies in September 2001, and that they applied
hyperinflation until 31 December 2004, the re-measurement of the non-monetary balance sheet data of these companies' fi-
nancial statements was carried out by applying inflation indices from that date.
The cumulative levels of the general consumer price indices are as follows:
From 1 January 2005 to 31 December 2023: 1,533%
From 1 January 2024 to 31 December 2024: 44%
The accounting effects of this adjustment, in addition to already being reflected in the opening balance sheet as of 1 January
2024, incorporate the changes for the period. In particular, the effect related to the re-measurement of non-monetary assets
and liabilities, equity items, and income statement items recognised in 2024 was recognised in a separate income statement
item under financial income and expenses. The related tax effect of non-monetary assets and liabilities was recognised in in-
come taxes line for the period.
To take into account the impact of hyperinflation also on the local currency exchange rate, profit and loss account balances ex-
pressed in hyperinflationary currencies have been converted into euro, the Cementir Group's presentation currency, applying
the exchange rate at the end of the period instead of the average exchange rate for the period, in line with IAS 21's require-
ment to report these amounts at current values.
In 2024, the application of IAS 29 resulted in the recognition of a net financial charge (pre-tax) of EUR 5.9 million.
The impact of hyperinflation in 2024, which includes the valuation of non-industrial real estate in Türkiye in the amount of ap-
proximately EUR 15.5 million (EUR 7.7 million in 2023), is reported below:
Notes
50
EUR ‘000
IAS 29
effect
IAS 21
effect
Total
Effect
Revenue
48,604
-10,556
38,048
Cost of sales
-50,321
6,126
-44,195
Gross profit
-1,717
-4,430
-6,147
Sales and distribution costs
-5,601
697
-4,905
Administration expenses
-2,137
266
-1,871
Other operating income
14,291
1,398
15,689
Other operating costs
-9,951
1,967
-7,984
Earnings before interest and tax (EBIT)
-5,116
-102
-5,219
Financial expenses
-4,704
-165
-4,870
Earnings before tax (EBT)
-9,821
-268
-10,088
Tax on profit for the year
-15,015
3,385
-11,630
Profit for the year
-24,836
3,118
-21,718
30 Post-balance sheet events
There have been no post-balance sheet events material to this Annual Report which have not been recognised or mentioned.
31 Estimation on uncertainties and judgements
Estimation on uncertainties
The accounting polices require that when calculating the carrying value of certain assets and liabilities estimates are made of
how future events influence the value of recognised assets and liabilities at the balance sheet date. Estimates that have a ma-
terial influence on the amounts recognised in the annual report.
The estimates applied are based on assumptions deemed reasonable by the Management, but given the nature of things, are
uncertain. Thus, the Group is exposed to risks and uncertainties that may result in variances between actual and estimated re-
sults.
The development in the world economy and in the financial markets in 2023 and 2024 has resulted in considerable changes
compared to previous years in respect of some uncertainty in a number of key assumptions within i.a. credit risk, interest level,
sales volumes, volatility, etc.
The Management deems that the accounting policies do not include critical aspects.
The following items of the Aalborg Portland Holding Group are subject to major accounting estimates and judgements:
Goodwill
The annual impairment test of goodwill involves an estimate over how the part of the Group to which the goodwill is allocated
(cash-generating units) may generate sufficient, positive, future net cash flows in order to support the value of goodwill and
other net assets in the cash-generating unit. The Group's thorough budgeting and estimating support the assessments and
minimise the risk. The degree of uncertainty is reflected in the chosen discount rate and is mainly related to Türkiye and USA.
The impairment test has been further described in note 9.
Non-current assets
Non-current assets are measured at cost less accumulated depreciation and impairment. Depreciation is provided on a
straight-line basis over the expected useful lives of the assets considering the residual value of the assets. The anticipated
useful life and residual value are determined on the basis of past experience and the anticipated future use of the asset in
Notes
51
question. The anticipated future use and scrap values may prove impossible to realise, prompting a need for write-down or a
loss on the disposal of the assets. The depreciation periods are stated in the section "Accounting policies" in note 32, and non-
current assets are stated in notes 9 and 11.
Investment properties
The fair value measurement of investment property is based on estimates. Reference is made to note 12 for a further descrip-
tion hereof.
Accounting judgements
Accounting judgements are made when applying accounting policies. Accounting judgements are the judgements made, that
can have a significant impact on the amounts recognised in the financial statements.
AB Sydsten
Based on the absolute size of ownership and the distribution of shareholdings, including votes and relationships, the Group
management considers the Group's ownership and rights to be sufficient to exercise control on the basis that the Group holds
50% of the shares and have casting vote.
Provisions and contingent liabilities
Assessment of provisions and contingent liabilities are largely based on estimates and judgements. Description of provisions
and contingent liabilities is given in notes 20 and 26.
32 Accounting policies
The Annual Report 2024 of the Aalborg Portland Holding Group is prepared in accordance with International Financial Report-
ing Standards as adopted by the EU and additional Danish disclosure requirements, according to large class C.
The Aalborg Portland Holding Group's official statutory annual report is presented in EUR.
The accounting policies set out below have been used consistently in respect of the financial year. For standards implemented
prospectively, comparative information is not restated.
On 11 March 2025, the Board of Directors and the Management approved the annual report for 2024 for the Aalborg Portland
Holding Group. The annual report is submitted to the shareholders of Aalborg Portland Holding A/S for approval at the Annual
General Meeting on 23 April 2025.
Consolidated financial statements
The consolidated financial statements comprise the parent company, Aalborg Portland Holding A/S, and subsidiaries, in which
Aalborg Portland Holding A/S exercises a controlling influence.
The Group exercises a controlling influence in an enterprise, if the Group is exposed to or has the right to variable returns from
its involvement with the enterprise and has the ability to affect those returns through its power over the enterprise.
Enterprises, in which the Group directly or indirectly holds more than 20% and less than 50% of the voting rights and another
entity has controlling influence, are considered as associates. However, this is based on an assessment of the ability of exer-
cising influence.
When assessing whether the Group exercises a controlling or significant influence, it is to be considered whether potential vot-
ing rights exercisable at the balance sheet date are real and have substance as well as de facto control.
If the enterprises meet the criteria for joint control, they are considered as investments in joint arrangements. Joint arrange-
ments are activities or enterprises, in which the Group exercises joint control through cooperation agreements with one or more
parties. Joint control implies that decisions about the relevant activities require unanimous consent of the parties with joint con-
trol.
Joint arrangements are classified as joint ventures or joint operations. Joints operations are activities where participants are
entitled to a proportionate share of the individual assets and liabilities in the arrangement, while joint ventures are activities
where participants alone have the right to a proportionate share of net assets in the arrangement.
Notes
52
In joint operations, assets, liabilities, income and expenses as well as cash flows are included pro rata line by line in the con-
solidated financial statements in accordance with the rights and obligations.
Business combinations
Enterprises acquired are recognised in the consolidated financial statements from the date of acquisition which is the date at
which Aalborg Portland Holding actually gains control of the enterprise acquired. The comparative figures are not restated for
acquisitions.
For business combinations any remaining positive balance (goodwill) is recognised as goodwill under intangible assets be-
tween on the one side the consideration, the value of the non-controlling interests of the enterprise acquired and the fair value
of possible previously acquired equity investments and on the other side the fair value of the identifiable assets, liabilities and
contingent liabilities acquired. Goodwill is not amortised, but impairment tested annually as a minimum. The first impairment
test is performed before the end of the acquisition year. Upon acquisition, goodwill is allocated to the cash-generating units
which subsequently form the basis for the impairment test. Goodwill and fair value adjustments in connection with the acquisi-
tion of a foreign entity with a different functional currency from the presentation currency of the Aalborg Portland Holding
Group's financial statements are treated as assets and liabilities belonging to the foreign entity and translated into the foreign
entity's functional currency at the exchange rate ruling at the transaction date.
If any bargain purchase gain is recognised, the assets and liabilities undertake a review to ensure they are complete, and the
measurement appropriately reflects consideration of all available information. Bargain purchase gain is recognised as other
operating income in income statement.
The consideration transferred by a business consists of the fair value of the agreed consideration in the form of assets trans-
ferred, liabilities assumed, and equity instruments issued. Costs attributable to business combinations are recognised directly
in profit or loss as administrative expenses when incurred.
The book value method is applied to transfers between Group companies (common controlled transactions), according to
which assets and liabilities are transferred at their carrying amount at the date where control is obtained. The difference be-
tween the carrying value of net assets acquired and consideration is recognised directly in equity.
When enterprises are sold, the difference between the selling price and the net assets plus cumulative translation differences
and unamortised goodwill is recognised in the income statement as a separate item in finance income and finance costs.
Non-controlling interests
On initial recognition, non-controlling interests are measured at fair value or at the proportionate share of the fair value of the
acquired business's identifiable assets, liabilities, and contingent liabilities. In the first scenario, goodwill in relation to the non-
controlling interests' ownership share in the acquired enterprise is thus recognised, while, in the latter scenario, goodwill in rela-
tion to non-controlling interests is not recognised. Measurement of non-controlling interests is chosen transaction by transac-
tion and stated in the notes in connection with the description of acquired enterprises.
The effect of transactions with non-controlling interests is taken directly to shareholders’ equity. Therefore, no gains or losses
are stated in the income statement, and there is no change of the carrying amount of net assets (including goodwill).
Foreign currency translation
For each of the reporting enterprises in the Group, a functional currency is determined. Transactions denominated in other cur-
rencies than the functional currency are considered transactions denominated in foreign currencies.
Transactions in foreign currencies are on initial recognition translated at the functional currency at the exchange rate of the
date of transaction.
Financial assets and liabilities in foreign currencies are translated at the exchange rates at the balance sheet date. Any foreign
exchange variances between the rates at the transaction date and the payment date or the balance sheet date, respectively,
are stated in the income statement as financial items.
Non-financial assets and liabilities in foreign currencies are stated at the rate of exchange at the date of transaction.
On recognition in the consolidated financial statements of foreign enterprises and associates as well as foreign joint ventures
with a functional currency different from the Group’s presentation currency, the income statements are translated at the aver-
age exchange rates and the balance sheet items are translated at the exchange rates at the balance sheet date. The calcula-
tion differences arising from the translation of the income statements of companies abroad at average exchange rates and of
their balance sheet items at the rate of exchange on the balance sheet date are taken directly to other comprehensive income.
Notes
53
On full or partial disposal of wholly owned foreign operations resulting in a loss of control or on repayment of balances which
constitute part of the net investment in the foreign operation, the share of the cumulative amount of the exchange differences
that is recognised in other comprehensive income relating hereto is reclassified from other comprehensive income to profit for
the year together with gain or loss on disposal.
On the disposal of partially owned foreign subsidiaries resulting in a loss of control, the share of the translation reserve in other
comprehensive income attributable to non-controlling interests is not transferred to profit or loss.
An average exchange rate is used if it does not significantly deviate from the exchange rate ruling at the transaction date.
The assets and liabilities of a foreign company acquired are translated at the exchange rate at the date of transaction (acquisi-
tion date).
Derivative financial instruments
Derivatives are initially recognised in the balance sheet at fair value and subsequently measured at fair value. Fair value of de-
rivatives is included in other receivables or other liabilities, respectively. Fair value changes of derivatives used for cash flow
hedging are recognised in other comprehensive income. Any ineffective portions of the cash flow hedges are recognised as a
financial item. Upon settlement of the cash flow hedges, the fair value is transferred from other comprehensive income into the
line item of the hedged item.
Any changes in the fair value of derivatives not used for hedge accounting are recognised in the income statement as financial
items.
Certain contracts contain conditions that correspond to derivatives. In case the embedded derivatives deviate significantly from
the overall contract, they are recognised and measured as separate instruments at fair value. That is unless the contract con-
cerned as a whole is recognised and measured at fair value.
Income statement
Revenue
Revenue is recognised in the income statement according to IFRS 15 when delivered and the control has been transferred to
the buyer prior to the year end, the income can be measured reliably, and payment has been received or is expected to be re-
ceived.
Revenue is measured at fair value of the consideration agreed excl. VAT charged on account of third party. All kinds of dis-
counts are recognised in revenue.
Trade receivables recognised as services delivered are invoiced to the customer and are not adjusted for any financing com-
ponents as credit terms are short – typically between 20 to 45 days – and the financing component therefore insignificant.
No special obligations in relation to warranties or return obligations compared to the industry.
Cost of sales
Cost of sales comprises costs incurred to generate revenue for the year and development costs which do not meet the criteria
for capitalisation. This includes raw materials, consumables, CO
2
quotas, direct labour costs and indirect production costs such
as maintenance and operation of production plant as well as production plant depreciation, administration, and plant manage-
ment.
Sales and distribution costs
Sales and distribution costs comprise direct distribution and marketing costs, salaries for the sales and marketing functions as
well as other indirect costs, including depreciation and amortisation.
Administrative expenses
Administrative expenses comprise the costs of administrative staff and management and other indirect expenses, as well as
depreciation and amortisation.
Other operating income and costs
Other operating income and costs comprise items of a secondary nature in relation to the activities of the Group, including cer-
tain grants, rentals, fees, fair value adjustments of investment property, bargain purchase gain, etc.
Notes
54
Gains and losses from the disposal of property, plant and equipment which cannot be considered part of the disposal of a
complete activity are included in other operating income and costs.
Profit/loss from investments in joint ventures
The proportionate share of the profit/loss after tax in joint ventures is recognised in the consolidated income statement after
elimination of the proportionate share of intra-group profits/losses.
Financial items
Interest income and expenses comprise interest, exchange rate gains and losses regarding transactions denominated in for-
eign currencies and write-down on securities, amortisation of financial assets and liabilities as well as surcharges and refunds
under the on-account tax scheme, etc. realised and unrealised gains and losses on derivative financial instruments that are not
qualified as hedge accounting are also included.
Tax
Tax for the year comprises current tax and changes in deferred tax.
Current tax comprises tax payable calculated on the basis of the expected taxable income for the year, using the applicable tax
rates for the financial year and any adjustment of tax for previous years.
Tax related to other comprehensive income is recognised in other comprehensive income.
Deferred tax is recognised and measured according to the balance sheet liability method on all temporary differences between
the carrying amounts for financial reporting purposes and the amounts used for taxation purposes, except differences relating
to goodwill not deductible for tax purposes.
Measurement of deferred tax is based on the tax rules and tax rates applicable in the respective countries at the balance sheet
date, which is expected to be valid, when the deferred tax will be reversed as current tax. The effect of changes in the tax rates
is stated in the income statement unless it relates to items previously entered directly in Shareholders’ equity.
Deferred tax assets, including the value of tax loss carry-forwards, are recognised under financial assets at the expected value
of their utilisation; either as a set-off against tax on future income or as a set-off against deferred tax liabilities in the same legal
tax entity and jurisdiction.
Uncertain tax positions are measured at the amount estimated to be required to settle such potential future obligations. We
measure these uncertain tax positions on a yearly basis through dialog with key stakeholders in the main Group entities. The
measurement addresses the accounting for income taxes when tax treatments involve uncertainty that affects the application
of IAS 12 and IFRIC 23. We will determine whether to consider each uncertain tax treatment separately or together with one or
more other uncertain tax treatments. The approach that better predicts the resolution of the uncertainty will be followed. Uncer-
tain tax positions are measured at the most likely outcome method.
Aalborg Portland Holding A/S is covered by the Danish rules on compulsory joint taxation of the Group's Danish companies.
Enterprises are included in the joint taxation from the date of consolidation into the consolidated financial statements and up to
the date when they exit the consolidation.
Aalborg Portland Holding A/S is the administrative company for the joint taxation and consequently settles all income tax pay-
ments with the tax authorities.
The current Danish income tax is allocated by payment of joint taxation contributions between the jointly taxed companies in
proportion to their taxable income. Companies with tax losses receive joint tax contributions from companies who have used
this loss to reduce their own taxable income.
Balance sheet
Intangible assets
Goodwill
On initial recognition, goodwill is recognised in the balance sheet at cost as described under “Business combinations”. Subse-
quently goodwill is measured at cost less accumulated impairment. Goodwill is not amortised.
The carrying amount of goodwill is allocated to the Group’s cash-generating units at the acquisition date. Determination of
cash-generating units follows the management structure and internal financial control.
Notes
55
Development projects
Development projects that are clearly defined and identifiable, where the technical feasibility, sufficient resources and a poten-
tial future market or development opportunities in the Company is demonstrated, and where the Company intends to complete,
market or use the individual project, are recognised as intangible assets provided that the cost can be measured reliably and
that there is sufficient assurance that future earnings or the net selling price can cover production costs, selling and administra-
tive expenses and development costs. Other development costs are recognised in the income statement as incurred.
Development projects are measured at cost less accumulated amortisation and impairment. Cost comprises wages and sala-
ries, amortisation, and other costs attributable to the Group's development activities.
Following the completion of the development work, development costs are amortised on a straight-line basis over the estimat-
ed useful life from the date when the asset is available for use. The amortisation period is up to 5 years.
Other intangible assets
Other intangible assets, including intangible assets acquired in business combinations, are measured at cost less accumulated
amortisation and impairment losses.
Amortisation is made on a straight-line basis over the lower of the useful life and the contract period.
The expected useful lives are:
• Software applications, up to 10 years.
• Customer lists up to 25 years.
• Patents, licences and other intangible assets, up to 20 years.
• Leasehold improvements, up to 5 years.
CO
2
quotas
On initial recognition, granted and acquired CO
2
quotas are measured at cost.
The basis for amortisation of CO
2
quotas is stated as cost less scrap value. The scrap value depends on whether the company
expects to utilise the quotas or sell them. Amortisation is based on a portfolio view on a straight-line basis.
If the actual emission exceeds the granted and acquired CO
2
quotas, a liability corresponding to the fair value of the CO
2
quo-
tas, which the company has to settle, is recognised.
On disposal of CO
2
quotas, the difference between carrying amount and the selling price of excess CO
2
quotas is recognised
in the income statement at the date of disposal.
Property, plant and equipment
Property, plant and equipment are measured at cost less accumulated depreciation and impairment.
The cost of self-constructed assets comprises direct and indirect costs of materials, components, sub-suppliers, and wages
and salaries as well as borrowing costs from specific or general lending directly relating to the construction of the individual as-
set.
Deemed costs for dismantling and disposal of the asset and re-establishment are added to cost if the deemed costs are recog-
nised as a provision. The cost of total assets is split into separate components, which are depreciated separately if the useful
lives of the individual components differ.
Subsequent costs, e.g. in connection with replacement of components of property, plant and equipment, are recognised in the
carrying amount of the asset if it is probable that the costs will result in future economic benefits for the Group. The carrying
amount of the replaced components are derecognised in the balance sheet and recognised as an expense in the income
statement. All costs incurred for ordinary repairs and maintenance are recognised in the income statement as incurred.
Depreciation is charged on a straight-line basis during the estimated useful life of the asset concerned until it reaches the esti-
mated scrap value.
Estimated useful lives are as follows:
• Buildings and improvements of land, 5-50 years
• Main machinery, 25 years
• Other plant and machinery, 3-20 years
Notes
56
Newly acquired assets and assets of own construction are depreciated from the time they come into use. Land is not depreci-
ated unless it is used for raw material extraction after individual assessment.
The basis of depreciation is calculated based on the scrap value less impairment losses. The scrap value is determined at the
acquisition date and reassessed annually. If the scrap value exceeds the carrying amount, depreciation is discontinued.
When changing the depreciation period or the scrap value, the effect on the depreciation is recognised prospectively as a
change in accounting estimates.
Depreciation is recognised in the income statement as production costs, sales and distribution costs and administrative ex-
penses to the extent that depreciation is not included in the cost of self-constructed assets.
Lease assets and lease liabilities
Aalborg Portland Holding Group mainly leases land, building, railcars, silos, trucks, vehicles and ships. When entering into a
contract, it is assessed whether the contract is a lease or contains a lease component. A lease is defined as a contract or part
of a contract that conveys the right to control the use of an identified asset for a period of time in exchange for consideration.
When assessing whether a contract contains a lease component, it must be considered whether, during the period of use, the
lessee has the right to essentially all economic benefits from the use of the identified asset and the right to direct the use of the
identified asset.
A right-of-use asset and a lease liability is recognised at the commencement date.
Aalborg Portland Holding Group leases silos, trucks, vehicles and ships including a service component in the payments to the
lessor. This service is separated from the lease payment when measuring the lease liability. If it is not possible to separate
lease components and non-lease components, it is considered a single lease component.
Lease liabilities recognised as "Credit institutions and interest-bearing liabilities" are initially measured at the present value of
the lease payments that are not paid at commencement date. The lease payments are discounted using the interest rate im-
plicit in the lease if that rate can be readily determined. If that rate cannot be readily determined, we have used the incremental
borrowing rate.
The lease payments consist of fixed and variable lease payments that depend on an index or a rate, guaranteed residual val-
ues, purchase options and extension options, if the Group finds it reasonably certain to exercise the option and termination
penalties, if the lease term reflects our exercising an option to terminate the lease. The lease liability is subsequently adjusted
as follows, if:
• The value of the index or rate on which the lease payments are based is changed.
• The exercise of options is changed in order to extend or terminate the lease due to significant events or a significant
change in circumstances within the Company's control.
• The lease term is changed if the option is exercised in order to extend or terminate the lease.
• Estimated residual value guarantee is changed.
• The contract is renegotiated or modified.
Any subsequent adjustment of the future lease liability is recognised as an adjustment to the right-of-use asset. If the carrying
amount of the right-of-use asset is EUR 0, a negative adjustment to the right-of-use asset is, however, recognised in the in-
come statement.
The right-of-use asset is initially measured at cost comprising amount of initial measurement of the lease liability plus any initial
direct costs and any estimated costs of dismantling and removal of the asset at the end of the lease term which the Company
is under an obligation to incur and any prepaid lease payments and less any lease incentives received.
The right-of-use asset is depreciated over the shorter of the lease term and the useful life of the right-of-use asset.
Short-term leases with a maximum lease term of 12 months and leases for low value assets are not recognised in the balance
sheet.
Investment properties
Properties are classified as investment properties when they are held for the purpose of obtaining rental income and/or capital
Notes
57
gains. On initial recognition, investment properties are measured at cost, comprising purchase price and costs directly attribut-
able to the acquisition. Subsequently, investment properties are measured at fair value. Changes in the fair value are recog-
nised in profit or loss as value adjustment of investment properties under other operating income/costs in the financial year in
which the change arises.
Realised gains and losses on the disposal of investment properties are determined as the difference between the carrying
amount and the sales price and are also recognised under other operating income/costs.
If investment properties are reclassified to own property, fair value at this date is considered new cost price.
Investments in joint ventures
Investments in jointly managed enterprises (joint ventures) are measured according to the equity method, and the investments
are recognised in the balance sheet as the proportionate share of the equity value of the entities stated in accordance with the
Group's accounting policies, adding or deducting the proportionate share of unrealised intra-group profits and losses, and add-
ing carrying amount of goodwill.
Joint ventures with negative equity value are measured at zero. If the Group has a legal or constructive obligation to cover a
deficit in the joint ventures, the remaining amount is recognised under liabilities.
Other non-current assets
Other non-current assets mainly relate to deposits and loans which are measured at amortised cost. Amortisation for the year
is stated in the income statement.
Impairment of non-current assets
Goodwill is subject to annual impairment tests, initially before the end of the acquisition year.
The carrying amount of goodwill is tested together with the other non-current assets of the cash-generating unit or group of
cash-generating units to which goodwill is allocated. The assets of the cash-generating units are written down to the recovera-
ble amount in profit or loss if the carrying amount is higher. The recoverable amount of a cash-generating unit is generally de-
termined as the present value of the expected future net cash flows from the entity or activity (cash-generating unit) to which
goodwill is allocated. However, impairment losses on goodwill are recognised as other operating costs in the income state-
ment.
The carrying amount of other non-current assets, except for goodwill, investment properties and financial assets measured at
fair value, is tested annually for indications of impairment. When there is an indication that assets may be impaired, the recov-
erable amount of the asset is determined. The recoverable amount is the higher of an asset's fair value less expected costs to
sell and its value in use. Value in use is the present value of the future cash flows expected to be derived from an asset or the
cash-generating unit to which the asset belongs.
An impairment loss is recognised if the carrying amount of an asset or a cash-generating unit, respectively, exceeds the re-
coverable amount of the asset or the cash-generating unit.
Amortisation and depreciation of intangible assets and property, plant and equipment are recognised in the same item as the
related amortisation and depreciation. However, impairment losses on goodwill are recognised in a separate line item in the in-
come statement.
Inventories
Raw materials and consumables are measured at cost. Cost is computed according to the weighted average cost method.
The cost of goods for resale and raw materials and consumables comprises purchase price plus delivery costs.
The cost of work in progress and finished goods comprise direct production costs with addition of indirect production costs. In-
direct production costs include operating costs, maintenance and depreciation of production plant and plant management.
If the net realisable value is lower than cost, write-down is made to this lower value.
Receivables
Receivables are measured at amortised cost.
Carrying amounts of trade receivables includes receivables subject to factoring arrangement. Trade receivables are recog-
nised net factored trade receivables.
Notes
58
Write-downs are made to counter losses on the basis of expected losses using the simplified expected credit loss model.
Receivables are monitored on an ongoing basis in accordance with the company's risk policy. Impairment losses are calculat-
ed on the basis of the expected loss ratio broken down by geographic markets. Loss rates are determined on the basis of his-
torical data for losses adjusted for estimates of the effect of expected changes in relevant parameters, such as general eco-
nomic development, interest rate level, unemployment, etc. in the relevant markets. The total loss is recognised in the income
statement on the basis of the expected losses during the entire period of the receivable.
Equity
Dividends are recognised as debt at the time of approval at the annual general meeting (time of declaration). Dividends which
are proposed for distribution are therefore stated separately in the shareholders’ equity.
Reserves relating to foreign exchange adjustments in the consolidated financial statements comprise currency translation dif-
ferences arising from the translation of the financial statements of foreign entities from their functional currencies to the presen-
tation currency of the Aalborg Portland Holding Group (EUR) and foreign exchange adjustments of assets and liabilities con-
sidered to be part of the Group's net investment in foreign operations.
On full or partial realisation of net investments, exchange differences are recognised in the income statement.
Pensions, defined contribution schemes
In contribution pension schemes the employer is obliged to pay a specific contribution (e.g. a fixed sum or a fixed percentage
of the pay). In a contribution scheme the risk in respect of future developments in interest rate, inflation, mortality and invalidity
is not borne by the Group.
Payments by the Group into defined contribution schemes are stated in the income statement for the period to which they ap-
ply and any outstanding payments are stated in the balance sheet as Other payables.
Pensions, defined benefit schemes
In benefit pension schemes the employer is obliged to pay a specific benefit (e.g. a retirement pension as a fixed sum or a
fixed percentage of final pay). In a benefit scheme the Group bears the risk with regard to future development in interest rate,
inflation, mortality and invalidity.
An annual actuarial valuation is carried out to determine the present value of the future benefits which the employees have ob-
tained under defined benefit schemes. The present value is calculated on the basis of assumptions for future developments in
wage/salary level, interest rates, inflation, pension age and mortality. The present value is calculated only for benefits to which
the employees have already earned the right during their employment with the Group. The actuarial present value less the fair
value of any plan assets is recognised in the balance sheet under retirement benefit obligations.
The pension costs of the year are recognised in income statement based on actuarial estimates at the beginning of the year.
Differences between the calculated growth in pension assets and liabilities and the realised values stated at the end of the year
are classified as actuarial gains or losses and are recognised in other comprehensive income.
If a pension plan constitutes a net asset, the asset is only recognised if it represents future refunds from the plan or will lead to
reduced future payments to the plan.
Long-term employee benefits are recognised based on an actuarial calculation. All actuarial gains and losses are recognised in
the income statement immediately. Other long-term employee benefits include i.a. anniversary bonuses.
Provisions
Provisions are recognised when, as a result of past events, the Group has a legal or a constructive obligation and it is probable
that there may be an outflow of resources embodying economic benefits to settle the obligation.
When the Group has a legal obligation to dismantle or remove an asset or restore the site on which the asset is located, a pro-
vision is recognised corresponding to the present value of expected future costs. The present value of costs is recognised in
the income statement for the tangible assets concerned and is amortised together with these assets over the useful lives or ac-
cording to the production method.
Provisions are measured as the best estimate of the expenses required to settle the obligation at the balance sheet date.
Financial liabilities
Amounts owed to credit institutions are recognised when raising the loan at fair value less transaction costs. Subsequent
measurement is made at amortised cost so that the difference between the proceeds and the nominal value is recognised in
the income statement during the term of the loan.
Notes
59
The capitalised remaining lease liability of finance leases is also recognised in financial liabilities, measured at amortised cost.
Other financial liabilities are measured at amortised cost.
Deferred income
Deferred income is measured at cost.
Cash flow statement
The cash flow statement is presented according to the indirect method and shows the composition of the cash flow divided into
operating, investing and financing activities, respectively, and the cash funds at the beginning and end of the year.
In the statement of working capital/loans a distinction is made between interest-bearing and non-interest-bearing items plus
cash funds.
Cash funds consist of cash in hand and bank deposits.
Loans represent total interest-bearing debt items less interest-bearing receivables.
All other non-interest-bearing receivables and debt items are regarded as working capital.
Cash flows from operating activities are stated as Profit for the year (EAT) adjusted for non-cash operating items, changes in
working capital, financial items and paid tax.
Cash flows from investing activities comprise payments made in connection with the acquisition and disposal of enterprises
and activities and the acquisition and disposal of non-current assets.
Cash flows from financing activities comprise payments to and contributions from owners as well as the raising and repayment
of loans.
Segment reporting
The Aalborg Portland Holding Group is not a listed company and therefore no segment reporting is made according to IFRS 8.
Forthcoming requirements
IASB has issued several new or amended accounting standards, which are not effective for the financial year 2024. Generally,
we expect to implement all new or amended accounting standards and interpretations when they become mandatory and have
been endorsed by the EU.
Income statement
Statement of comprehensive income
Cash flow statement
Balance sheet
Statement of shareholders' equity
Notes:
1 Revenue
2 Staff costs
3 Fees to the auditors appointed by the Annual General Meeting
4 Financial income and expenses
5 Income tax
6 Intangible assets
7 Property, plant and equipment
8 Other non-current assets
9 Deferred tax assets and deferred tax liabilities
10 Other receivables and prepayments
11 Credit institutions and other borrowings
12 Other payables
13 Contingent liabilities, contractual obligations and contingent assets
14 Related party transactions
15 Financial risks and financial instruments
16 Post-balance sheet events
17 Estimation on uncertainties and judgements
18 Accounting policies
60
Income statement
EUR '000
2024 2023
Notes
1 Revenue 133.201 109.427
2+3 Cost of Sales -90 -79
Gross profit 133.111 109.348
2+3 Administrative expenses -16.420 -23.322
Earnings before interest and tax (EBIT) 116.691 86.026
4 Financial income 19.740 9.527
4 Financial expenses -12.586 -9.524
Earnings before tax (EBT) 123.845 86.029
5 Tax on profit/loss for the year -1.139 -737
Profit/loss for the year 122.706 85.292
To be distributed as follows:
Retained earnings 122.706 85.292
Statement of comprehensive income
EUR '000
2024 2023
Notes
Profit/loss for the year 122.706 85.292
Other comprehensive incom
e
Items that can be reclassified to the income statement:
Exchange rate adjustments on translation of foreign entities -429 -1.740
Changes in fair value of financial instruments -1.637 -1.967
CCS hedge recycled to P&L -5.941 0
Other comprehensive income after tax -8.007 -3.707
Total comprehensive incom
e
114.699 81.585
61
Cash flow statement
EUR '000
2024 2023
Notes
Profit or loss for the period 122.706 85.292
Reversal of amortisation and depreciation 70 178
Net financial income / expense -125.168 -79.780
Gains/losses on disposals 153 -6.800
Income taxes 1.139 737
Operating cash flows before changes in working capital -1.100 -373
Increase / decrease trade receivables 5.526 -2.626
Increase / decrease trade payables 67 152
Change in non-current/current other assets/liabilities 484 -384
Change in current and deferred taxes 16 1.814
Operating cash flows 4.993 -1.417
Dividends received 118.014 79.777
Interests received 11.603 7.963
Interests paid -10.925 -7.992
Other income collected/expenses paid 1.150 -456
Income taxes paid -1.192 -7.652
Cash flow from operating activities 123.643 70.223
Investments in equity investments and other non-current securities -30.107 -33.167
Proceeds from sale of property, plant and equipment -153 6.800
Change in current financial assets -93.438 344
Cash from investing activities -123.698 -26.023
Change in non-current financial liabilities 5.101 -11.929
Change in current financial assets/liabilities 8.761 87.919
Increase/paying-off shareholders' equity -26 -89
Dividend distributed -90.097 -90.210
Other variances of equity 253 493
Cash flow from financing activities -76.008 -13.816
Net change in cash and cash equivalent -76.063 30.384
Cash and cash equivalent exchange rate effect -82 -184
Cash and cash equivalent opening balance 110.282 80.082
Cash and cash equivalent closing 34.137 110.282
62
Balance sheet
EUR '000
ASSETS 2024 2023
Notes
Other intangible assets 63 71
6 Intangible assets 63 71
Land and buildings 08
Right-of-use assets 54 224
7 Property, plant and equipment 54 232
8 Other non-current assets 700.901 671.366
Other non-current assets 700.901 671.366
Total non-current assets 701.018 671.669
Amounts owed by Group enterprises 202.694 127.288
Amounts owed by related parties 29.860 8.982
Derivative financial instruments (positive fair value) 0 3.513
Joint taxation contribution receivable 25.020 29.094
10 Other receivables 0 777
10 Prepayments 093
Receivables 257.574 169.747
Cash and cash equivalents 34.137 110.282
Total current assets 291.711 280.029
TOTAL ASSET
S
992.729 951.698
63
Balance sheet
EUR '000
EQUITY AND LIABILITIE
S
2024 2023
Notes Shareholder's equit
y
Share capital 40.333 40.333
Hedge reserve 145 7.729
Retained earnings 583.653 551.467
Total shareholders' equity 624.131 599.529
Liabilities
8 Deferred tax liabilities 13 31
11 Credit institutions, etc. 32 102
Non-current liabilities 45 133
11 Credit institutions, etc. 23 123
Trade payables 259 129
Amounts owed to Group enterprises 355.126 337.956
Derivative financial instruments (negative fair value) 12.243 8.616
Income tax payable 0 4.093
12 Other payables 902 1.088
Deferred income 031
Current liabilities 368.553 352.036
Total liabilities 368.598 352.169
TOTAL EQUITY AND LIABILITIE
S
992.729 951.698
64
Statement of shareholders' equity
EUR '000
Share capital
Hedge
reserve
Retained
earnings Total equity
40.333 7.729 551.467 599.529
0 -6 -423 -429
0 -1.637 0 -1.637
Recycled to P&L 0 -5.941 0 -5.941
0 0 -90.097 -90.097
0 0 122.706 122.706
40.333 145 583.653 624.131
Share capital
Hedge
reserve
Retained
earnings Total equity
40.333 9.717 558.103 608.153
0 -21 -1.719 -1.740
0 -1.967 0 -1.967
0 0 -90.209 -90.209
0 0 85.292 85.292
40.333 7.729 551.467 599.529
Effect of translation to presentation currency
Profit for the year (total comprehensive income)
Shareholders' equity at 1 January 2024
Shareholders' equity at 31 December 2024
Shareholders' equity at 1 January 2023
Payment of dividend
Changes in fair value of financial instruments
Effect of translation to presentation currency
Profit for the year (total comprehensive income)
Shareholders' equity at 31 December 2023
5 shares at DKK 3m each
Dividends distributed to shareholders in 2024 were EUR 90.1m (2023: EUR 90.2m).
All shares are fully issued and paid up. One share of DKK 1,000 holds one vote.
Changes in fair value of financial instruments
Payment of dividend
The share capital in 2024 and 2023 consists of:
1 share at DKK 150m
1 share at DKK 60m
2 shares at DKK 30m each
1 share at DKK 15m
65
Notes
EUR '000
1 Revenue 2024 2023
Dividend received 118.014 79.777
15.187 29.650
133.201 109.427
2 Staff costs
Wages and salaries and other remuneration 3.465 4.179
Pension costs, defined contribution scheme 318 316
Social security costs 17 18
3.800 4.513
Number of employees at 31 December 26 27
Average number of full-time employees 26 27
Salaries and remunerations 449 614
Pension contributions 30 25
479 639
Hereof Board of Directors and Management 293 524
3 Fees to the auditors appointed by the Annual General Meeting
Total fees to Auditors are specified as follows:
Statutory audit 71 31
Other services 03
71 34
Hereof fees to PwC 71 34
Fees to other auditors 77 88
4 Financial income and expenses
Financial income
Interest, cash funds, etc. 1.096 1.135
Interest, Group enterprises 10.507 6.828
Financial income on derivatives 1.436 1.495
Exchange rate adjustments 759 69
Other financial income 5.942 0
19.740 9.527
Interest on financial assets measured at amortised cost 11.603 7.963
Financial expenses
Interest, credit institutions, etc. 70 39
Interest, Group enterprises 10.856 7.953
Losses on derivatives 854 655
Exchange rate adjustments 671 825
Other financial expenses 135 52
12.586 9.524
Interest on financial obligations measured at amortised cost 10.926 7.992
Remuneration of the Board of Directors represents EUR 75k in 2024 (2023: EUR 75k).
Remuneration of the Board of Directors, the Management and other
senior executives
Pension schemes in Aalborg Portland Holding A/S are defined contribution schemes, which do not entail any obligations
beyond payment of contributions.
Consultancy services provided to subsidiaries
Other financial expenses of EUR 0.1m (2023: EUR 0.05) include the impairment of the investment in Cimentas Group
deriving from the difference between the expected future cash flow and the carrying amount of the investment, reference is
made to note 7.
Pension schemes
66
Notes
EUR '000
5 Income tax 2024 2023
Income tax
Current tax on the profit for the year/joint taxation contribution 1.132 1.019
Deferred tax adjustment -18 -1
Other adjustments, including previous years 25 -281
1.139 737
Taxes paid -1.192 -7.652
Reconciliation of tax rate
Tax according to Danish tax rate 22.0% 27.246 18.926
Dividends received from subsidiaries and profits from sales -26.287 -17.969
Other, including adjustments previous years 180 -220
1.139 737
Applicable tax rate for the yea
r
1% 1%
Total income ta
x
1.139 737
6 Intangible assets
Other
intangible
assets Total
Cost at 1 January 2024 244 244
Cost at 31 December 2024 244 244
Amortisation and impairment at 1 January 2024 173 173
Amortisation for the year 88
Amortisation and impairment at 31 December 202
4
181 181
Carrying amount at 31 December 2024 63 63
Other
intangible
assets Total
Cost at 1 January 2023 245 245
Exchange rate adjustments -1 -1
Cost at 31 December 2023 244 244
Amortisation and impairment at 1 January 2023 165 165
Amortisation for the year 88
Amortisation and impairment at 31 December 202
3
173 173
Carrying amount at 31 December 2023 71 71
2024 2023
Amortisation during the year is included in the following items:
Administrative expenses 88
88
According to legislation, the Parent Company is the administrative company of the compulsory Danish joint taxation.
Other intangible assets include patents.
67
Notes
EUR '000
7 Property, plant and equipmen
t
Land and
buildings
Right-of-use
assets
Total
Cost at 1 January 2024 80 579 659
Additions 011
Disposals 0 -467 -467
Cost at 31 December 2024 80 113 193
Depreciation and impairment at 1 January 2024 72 355 427
Reversed depreciation on disposals 0 -350 -350
Depreciation for the year 8 54 62
Depreciation and impairment at 31 December 2024 80 59 139
Carrying amount at 31 December 2024 0 54 54
Land and
buildings
Right-of-use
assets
Total
Cost at 1 January 2023 80 629 709
Exchange rate adjustments 0 -1 -1
Additions 06969
Disposals 0 -118 -118
Cost at 31 December 2023 80 579 659
Depreciation and impairment at 1 January 2023 33 338 371
Exchange rate adjustments 0 -1 -1
Reversed depreciation on disposals 0 -114 -114
Depreciation for the year 39 132 171
Depreciation and impairment at 31 December 2023 72 355 427
Carrying amount at 31 December 2023 8 224 232
2024 2023
Depreciation during the year is included in the following items:
Administrative expenses 62 171
62 171
Variable lease payments may depend on an index, a rate or other elements. Variable lease payments that depend on an
index or a rate are included in the initial measurement of the lease liability using the index/rate at the lease commencement
The Company is not exposed to any significant future cash outflows that are not reflected in the measurement of lease
liabilities. Residual value guarantees that are expected to be paid are included in the initial measurement of the lease liability.
Reference is made to note 11.
68
Notes
EUR '000
8 Other non-current assets
Cost at 1 January 2024 849.012 849.012
Exchange rate adjustments -682 -682
Additions 30.107 30.107
Cost at 31 December 2024 878.437 878.437
Impairment at 1 January 2024 -177.646 -177.646
Exchange rate adjustments 110 110
Impairment at 31 December 2024 -177.536 -177.536
Carrying amount at 31 December 2024 700.901 700.901
Cost at 1 January 2023 818.173 818.173
Exchange rate adjustments -2.327 -2.327
Additions 14.435 14.435
Cost at 31 December 2023 849.012 849.012
Adjustments at 1 January 2023 -178.015 -178.015
Exchange rate adjustments 369 369
Adjustments at 31 December 2023 -177.646 -177.646
Carrying amount at 31 December 2023 671.366 671.366
9 Deferred tax assets and deferred tax liabilities 2024 2023
Change in deferred tax in the yea
r
Deferred tax at 1 January -31 -33
Adjustments, previous years via income statement 0 1
Movements via income statement 18 1
Deferred tax assets at 31 December, net -13 -31
Deferred tax is presented in the balance sheet as follows:
Deferred tax liabilities 13 31
Deferred tax assets at 31 December, net -13 -31
2024 2023 2024 2023
Intangible assets 0 0 13 13
Property, plant and equipment 0 0 0 -2
Current assets 0 0 0 20
Deferred tax at 31 December 0 0 13 31
Investments
in
subsidiaries Total
Investments
in
subsidiaries Total
Deferred tax assets Deferred tax liabilities
69
Notes
EUR '000
10 Other receivables and prepayments
11 Credit institutions and other borrowings
Bank borrowings and credits in the Parent Company at 31 December:
2024 2023
Lease liability 2028 Variable 55 225
55 225
31 December 2024:
Lease liability 32 23 55 0
32 23 55 0
Specification of contractual cash flows incl. interest:
Lease liability 32 23 55 0
32 23 55 0
31 December 2023:
Lease liability 102 123 225 0
102 123 225 0
Specification of contractual cash flows incl. interest:
Bank borrowings and credits 0000
Lease liability 102 123 225 0
102 123 225 0
12 Other payables
Other receivables include VAT and other receivables.
Prepayments comprise insurance.
Year of
maturity
Fixed/
variable
Carrying
amount
Carrying
amount
Fair values do not significantly deviate from the carrying amount.
The maturity analysis is based on all undiscounted cash flows including estimated payment of interest.
Payment of interest is estimated and based on the present market conditions.
The Parent Company's debt to credit institutions has been recognised and falls due as follows:
Non-current
borrowings
(>1 year)
Current
borrowings
(0-1 year)
Total
Maturity
>5 years
Fair values correspond to the nominal outstanding debt.
Maturity
>5 yearsTotal
Current
borrowings
(0-1 year)
Non-current
borrowings
(>1 year)
Other current payables include holiday pay liabilities, taxes and public indirect taxes.
Other financial liabilities are due within 1 year.
70
Notes
EUR '000
13 Contingent liabilities, contractual obligations and contingent assets
Contingent liabilities
14 Related party transactions
Transactions with Cementir Holding N.V.: 2024 2023
- Intra-group management and administration agreements and royalties 0 0
- Financial items, net 00
- Payables 00
- Non-current financing 00
Transactions with other related parties:
- Intercompany management, administration agreements and shared service 4.084 4.970
- Financial items, net -349 -1.125
- Trade and financial receivables 232.554 136.270
- Trade and financial payables 355.124 337.956
No losses on loans to or receivables from related parties were recognised, nor provisions made for such in 2024 or 2023.
- Cementir España S.L., Calle General Yagüe, Num. 13, 28020 Madrid, Spain
- Cementir Holding N.V., Zuidplein, 36, 1077 XV Amsterdam, Netherlands
- Caltagirone S.p.A., Via Barberini, 28, 00187 Rome, Italy
Remuneration of the Board of Directors and the Management is presented in note 2.
Related parties with significant influence in Aalborg Portland Holding A/S:
The Parent Company is taxed jointly with other Danish companies in the Aalborg Portland Holding Group. As an
administrative company, the Parent Company is jointly and unlimited liable with the other companies in the joint taxation of
Danish taxes at source and income taxes within the joint taxation group. Payable income taxes in the joint taxation group
amounted to EUR 4.2 m at 31 December 2024 (2023: EUR 30.5m). Any subsequent corrections of the taxable income
subject to joint taxation could cause a higher liability of the Parent Company.
Related parties within Aalborg Portland Holding A/S comprise the enterprises' Board of Directors and Management together
with family related to these persons.
Furthermore, related parties comprise enterprises in which the above-mentioned persons have significant interests.
Additionally, related parties include subsidiaries, joint ventures and joint operation cf. page 74, where the Parent Company
has significant influence or exercises control or joint control.
The Parent Company is involved in a few disputes, lawsuits, etc., of various scopes, including a few tax disputes in some
countries. No significant liabilities are considered to be incumbent on the Parent Company in that respect, and the outcome of
the disputes is not expected to have significant impact on the Parent Company's financial position beyond what has been
recognised in the balance sheet.
In 2024, contractual liabilities are EUR 0.0m (2023: EUR 0.0m).
71
Notes
72
15 Financial risks and financial instruments
The Parent Company's most predominant currency exposure regarding the operating results arises from USD and NOK. A
10% drop in these exchange rates compared to EUR/DKK would, viewed separately, decrease EBITDA by EUR 0.5m. NOK
amounts to EUR 0.3m and USD amounts to EUR 0.2m (2023: EUR 0.3m. NOK amounted to EUR 0.2m and USD amounted to
EUR 0.1m).
Currency risks
Forward contracts regarding future transactions
The Group does not comply with the conditions for taking out hedge accounting of future cash flows from the sale of goods. In
terms of the hedging of future investments, the Group assesses in each case whether these comply with the conditions for
hedge accounting.
There have been no currency forward contracts at 31 December 2024 or at 31 December 2023.
The Parent Company entered into a swap agreement (hedge accounting) with a termination date in 2030.
The fair value liability is included in a separate line item in the balance sheet "Derivative financial instruments”.
The ineffective part is recognised as financial income.
2024:
2023:
Interest rate risk
The Parent Company is included in the cash pool for the Group.
Liquidity risks
Aalborg Portland Holding A/S has access to funding through the Cementir Holding facility which includes certain covenants.
The Parent Company acts as account holder of the Group's cash pool scheme and as bank in proportion to other intra-group
loans. The purpose of the cash pool scheme is to optimise cash management and the use of liquidity in the participating com-
panies.
Credit risks
Receivables from the Parent Company’s activities are attributable to Danish and foreign Group companies. The Parent Com-
pany is familiar with customers, who have not been granted long credit lines.
The Parent Company's trade receivables at 31 December 2024 and 31 December 2023 include no write-downs. Historically
there have not been any write-downs.
Regarding management of capital structure, reference is made to note 27 in the consolidated financial statements.
Fair value measurement
Financial instruments measured at fair value are measured on a recurring basis and categorised into the following levels of the
fair value hierarchy:
Level 1: Observable market prices for identical instruments
Level 2: Valuation techniques primarily based on observable prices or traded prices for comparable instruments
Notes
73
Level 3: Valuation techniques primarily based on unobservable prices
Securities and investments measured at fair value through profit/loss are either measured at quoted prices in an active market
for the same type of instrument (level 1) or at fair value based on available data (level 3).
Hedging instruments are not traded on an active market based on quoted prices. Measured instead of using a valuation tech-
nique, where all significant inputs are based on observable market data; such as exchange rates, interest rates, credit risk and
volatilities (level 2).
There have been no transfers between the levels in 2024 or 2023.
Methods and assumptions on determination of fair values
In general, fair value corresponds to the carrying value, except for mortgage loans.
Financial instruments related to sale and procurement of goods, etc. with a short credit period are measured at fair value corre-
sponding to the carrying value.
Derivative financial instruments are computed on generally accepted valuation methods based on relevant exchange rates.
The methods used are unchanged compared to 2021.
16 Post-balance sheet events
There have been no post-balance sheet events material to this Annual Report which have not been recognised or mentioned.
17 Estimation on uncertainties and judgements
Investments in subsidiaries are tested for impairment based on performed impairment tests of goodwill as described in note 9
in the consolidated financial statements. Uncertainty is mainly related to Türkiye.
18 Accounting policies
Parent Company
The Parent Company’s financial statements are prepared in accordance with International Financial Reporting Standards as
adopted by the EU and additional Danish disclosure requirements for annual reports, according to large class C.
Compared to the accounting policies applied in the consolidated financial statements (see note 31 to the consolidated financial
statements), the Parent Company’s accounting policies only deviate in the following items:
Revenues
Dividends received from investments in subsidiaries and joint ventures are recognised as revenue in the Parent Company’s
income statement in the financial year in which the dividends are declared. To the extent that the distributed dividend exceeds
Notes
74
the total comprehensive income of enterprises for the period when the decision to pay interim dividend is made, impairment
test is carried out.
Investments in subsidiaries
Investments in subsidiaries are measured at cost. In case of indication of impairment, impairment test is carried out as de-
scribed in the accounting policies of the Group. If the carrying value exceeds the recoverable amount, write-down is made to
this lower value.
On disposal of investments in subsidiaries, the difference between the sales price and the carrying amount (cost of the shares
based on a weighted average) is recognised in the income statement at the date of disposal.
Signatures
75
Statement by the Board of Directors and the Executive Board
Executive Board
Board of Directors
Signatures
76
Independent auditor’s report
Signatures
77
CVR No 33 77 12 31
Management
78
Board of Directors
Bjarne Moltke Hansen, Chairman
Alessandro Caltagirone, Vice Chairman
Azzurra Caltagirone
Francesco Caltagirone Jr
Francesco Gaetano Caltagirone
Marco Maria Bianconi
Claudio Criscuoli
Executive Board
Francesco Caltagirone Jr, CEO
Henrik Jeppesen, Executive Officer, CFO
Nordic & Baltic
Søren Holm Christensen, CEO
Aalborg Portland A/S
Søren Holm Christensen, CEO
Henrik Jeppesen, CFO
Unicon A/S
Søren Holm Christensen, CEO
Henrik Jeppesen, CFO
Belgium/France
Eddy Fostier, General Manager
North America
Alessandro Civera, Managing Director
Türkiye
Cenker Mirzaoğlu, CEO
Egypt
Alberto Barbieri, Managing Director
Asia Pacific
Aalborg Portland Malaysia Sdn. Bhd.
Fabrizio Piero Carraro, Managing Director
Aalborg Portland (Anqing) Co. Ltd.
Yan Xing Wu, Managing Director
Owners
Aalborg Portland Holding A/S is 75% owned by
Cementir España S.L., Spain and 25% owned by
Globo Cem S.L., Spain.
Aalborg Portland Holding A/S is included in the
Group financial statements for Cementir Holding
N.V., the Netherlands, and Caltagirone S.p.A.,
Italy.
Direct
holding
**
Minorities
Aalborg Portland Holding A/S
Denmark
DKK 300.000 -
Spartan Hive S.p.A. Ital
y
EUR 300.000 100,0%
Aalborg Portland Digital S.R.L. Ital
y
EUR 500.000 100,0%
Aalborg Portland
Aalborg Portland A/S
Denmark
DKK 100.000 100,0%
Aalborg Portland Íslandi ehf.
Iceland
ISK 303.000 100,0%
Aalborg Portland Polska Sp. z o.o.
Poland
PLN 100 100,0%
Aalborg Portland France S.A.S. France EUR 10 100,0%
Aalborg Portland Belgium S.A. Belgium EUR 500 100,0%
Unicon
Unicon A/S
Denmark DKK
150.000
100,0%
Unicon AS Norwa
y
NOK 13.289
100,0%
AB Sydsten Sweden SEK 15.000
50,0% 50,0%
ÅGAB Syd AB * Sweden SEK 500
40,0%
Skåne Grus AB Sweden SEK 1.000
60,0% 40,0%
Ecol-Unicon Sp. z o.o. * Poland PLN 1.000
49,0%
Kudsk & Dahl A/S Denmark DKK 10.000
100,0%
NB Beton A/S Denmark DKK 400
49,0%
Belgium
Compagnie des Ciments Belges S.A. (CCB) Belgium EUR 179.344
100,0%
Société des Carrières du Tournaisis S.A. (S.C.T.) *** Belgium EUR 12.297
65,0%
Recybel S.A. Belgium EUR 99
25,5%
Mixers at your Service NV Belgium EUR 976
18,0%
France EUR 34.363
100,0%
North America
Aalborg Portland U.S. Inc. USA USD 1 100,0%
Aalborg Cement Company Inc. USA USD 1 100,0%
Gaetano Cacciatore, LLC USA USD N/A 100,0%
White Cement Company LLC USA USD N/A 100,0%
Lehigh White Cement Company, LLC USA USD N/A 63,3%
36,7%
Vianini Pipe, Inc. USA USD 4.483
100,0%
Türkiye
Aalborg Portland España S.L.U. Spain EUR 3 100,0%
Cimentas AS Türkiye TRY 87.112 96,7%
3,3%
Cimbeton AS Türkiye TRY 1.770 50,3%
49,7%
Destek AS Türkiye TRY 50 100,0%
Kars Cimento AS Türkiye TRY 513.162 41,6%
58,4%
Recydia AS Türkiye TRY 759.544 23,7%
Sureko AS Türkiye TRY 43.444 100,0%
Ege Kirmatas AS Türkiye TRY 4.200
100,0%
Recydia AS Türkiye TRY 759.544
76,3%
Egypt
Sinai White Portland Cement Co. S.A.E.
Egypt EGP 350.000 96,5% 3,5%
Asia Pacific
Aalborg Portland Malaysia Sdn. Bhd.
Malaysia MYR 95.400 70,0% 30,0%
Aalborg Resources Sdn. Bhd.
Malaysia MYR
2.544
100,0%
Aalborg Portland (Australia) Pty. Ltd.
Australia AUD
1
100,0%
Aalborg Portland (Anqing) Co. Ltd.
China
CNY 265.200 100,0%
Casa Bayan Sdn. Bhd. Malaysia MYR 250.000
100,0%
* Joint ventures. Others are Group enterprises.
** Ownershare is stated as direct holding of the superjacent enterprise.
*** Pro rata consolidated.
Compagnie des Ciments Belges France S.A. (CCBF)
Companies in the Group
The Company
P.O. Box 165, 9100 Aalborg
Tel. +45 98 16 77 77
E-mail: cement@aalborgportland.com
Internet: www.aalborgportlandholding.com
CVR No 14 24 44 41
Annual General Meeting
23 April 2025 at
Rørdalsvej 44, 9220 Aalborg Øst
Nominal share
capital (in 000)
79
Addresses
80
Aalborg Portland Holding Group
Aalborg Portland Holding A/S
P.O. Box 165, 9100 Aalborg
Rørdalsvej 44, 9220 Aalborg Øst
Denmark
Tel. +45 98 16 77 77
Bjarne Moltke Hansen,
Chairman of the Board of Directors
Executive Board:
Francesco Caltagirone Jr, CEO
Henrik Jeppesen, Executive Officer,
CFO
Spartan Hive S.p.A.
200, Corso di Francia
00191 Rome
Italy
Tel. +39 06 324931
Pasquale Vetrano, CEO
Aalborg Portland Digital SRL
200, Corso di Francia
00191 Rome
Italy
Tel. +39 06 324931
Paolo Zugaro, CEO
Aalborg Portland
Aalborg Portland A/S
P.O. Box 165, 9100 Aalborg
Rørdalsvej 44, 9220 Aalborg Øst
Denmark
Tel. +45 98 16 77 77
Peter Birkegaard, Managing Director
Bjarne Moltke Hansen,
Chairman of the Board of Directors
Executive Board:
Søren Holm Christensen,
CEO
Henrik Jeppesen, CFO
Aalborg Portland Polska Sp. z o.o.
Ul. Targowa 24
03-733 Warsaw
Poland
Tel.
+48 22 460 88 70+1
Tomasz Stasiak, Managing Director
Aalborg Portland Íslandi ehf.
Bæjarlind 4
201 Kópavogi
Iceland
Tel. +354 545 4800
Magnús Eyjólfsson, Managing Director
Aalborg Portland France S.A.S.
Avenue Bachelar Port de Commerce
17300 Rochefort
Postal address:
BP 10255
17305 Rochefort Cedex
France
Tel. +33 671 388 249
Jean-Fabien Criquioche,
Managing Director
Aalborg Portland Belgium S.A.
Evergemsesteenweg 195
9032 Ghent
Belgium
Tel. +32 472 86 47 29
Maurizio Romeo, Director
Jean-Fabien Criquioche,
Managing Director
Unicon
Unicon A/S (Denmark)
Ulvehavevej 61
7100 Vejle
Denmark
Tel. +45 70 10 05 90
Casper Mathiasen, Managing Director
Bjarne Moltke Hansen,
Chairman of the Board of Directors
Executive Board:
Søren Holm Christensen,
CEO
Henrik Jeppesen, CFO
Unicon AS (Norway)
Tevlingveien 23
1081 Oslo
Postal address:
P.O. Box 553 Sentrum
0105 Oslo
Norway
Eric Staurset, Managing Director
AB Sydsten
Stenyxegatan 7
213 76 Malmö
Sweden
Tel. +46 40 31 1900
Per Smidfelt, Managing Director
Kudsk & Dahl A/S
Vojensvej 7
6500 Vojens
Denmark
Tel. +45 70707292
Casper Mathiasen, Managing Director
Belgium/France
Compagnie des Ciments Belges S.A.
(CCB)
Grand’Route, 260
7530 Gaurain-Ramecroix
Belgium
Tel. +32 69 25 25 11
Eddy Fostier, Chairman
Société des Carrières du Tournaisis
S.A.
Grand’Route, 19
7530 Gaurain-Ramecroix
Belgium
Tel. +32 69 25 14 73
Eddy Fostier, Director
Compagnie des Ciments Belges
France S.A.
23 rue Paul Dubrule
59810 Lesquin
France
Tel. +33 3 20 05 78 57
Eddy Fostier, General Manager
North America
Lehigh White Cement Company, LLC
1601 Forum Place
Suite 1110
West Palm Beach, FL 33401
USA
Tel. +1 561 812 7450
Alessandro Civera, CEO
Addresses
81
Gaetano Cacciatore, LLC
1601 Forum Place
Suite 1110
West Palm Beach, FL 33401
USA
Tel. +1 561 812 7450
Alessandro Civera, Manager
Vianini Pipe, Inc.
81 County Line Road
Branchburg NJ 08876
USA
Tel. +1 908 493 5680
Michael Grapsy, CEO
Türkiye
Cimentas İzmir Çimento
Fabrikası Türk A.Ş.
Isiklar Mahallesi
Eski Kemalpaşa Cad. No:4B
35070 Bornova Izmir
Türkiye Tel. +90 232 472 10 50
Cenker Mirzaoğlu, CEO
Recydia Atık Yönetimi Yenilenebilir
Enerji Üretimi Nakliye ve Lojistik Hiz-
metleri Sanayi ve Ticaret Anonim Şir-
keti
Isiklar Mahallesi
Eski Kemalpaşa Cad. No:4B
35070 Bornova Izmir
Türkiye Tel. +90 232 472 10 50
Cenker Mirzaoğlu, CEO
Egypt
Sinai White Portland Cement Co.
S.A.E.
604 (A), El-Safa Street
New Maadi
Cairo
Egypt
Tel. +202 2754 2761-3
Alberto Barbieri, Managing Director
Asia Pacific
Aalborg Portland Malaysia Sdn. Bhd.
Lot 75244, Pinji Estate, Lahat
P.O. Box 428
30750 Ipoh
Perak
Malaysia
Tel. +60 5 382 0388
Fabrizio Piero Carraro, Managing Director
Aalborg Portland (Anqing) Co. Ltd.
Guanbing, Yangqiao Town of Anqing
246000 Anqing, Anhui
PR China
Tel. + 86 556 536 7733
Yan Xing Wu, Managing Director