Global Scanning A/S
Svanevang 2,
3450 Allerød
Bu
siness Registration No. 34 61 31 41
Annual Report 2023
Adopted at the Annual General Meeting of shareholders
on 9 July 2024
________________________
Chairman
Global Scanning A/S
1
Company information
The Company
Denmark
Phone +45 48 14 11 22
Fax +45 48 14 01 22
Country of incorporation
Denmark
Board of Directors
Hans Ingemar Rikard Westerberg (Chairman)
Per Chrom Jacobsen
Peter Norman
Mats Johan Helge Johansson
Executive Board
Per Chrom Jacobsen
Shareholders holding 5% or more of the share capital or the voting rights
Percentage
Riddargatan SPV S AB
75,00%
Graham James Ohn Tinn
6,25%
Ultimate parent
Skandinaviska Kreditfonden AB, Sweden
Auditors
Bankers
Nordea Bank Danmark A/S
Global Scanning A/S
2
Statement by the Board of Directors and the Executive Board
Executive Board
Board of Directors
Global Scanning A/S
3
Independent auditor's report
Global Scanning A/S
4
Global Scanning A/S
5
CVR No. 33 96 35 56
Identification No (MNE) mne33712
Global Scanning A/S
6
Management Review
Key financial figures and ratios - Group
DKKm
2023
2022
2021
2020
2019
Statement of profit/loss
Revenue
27,447
35,052
34,689
26,190
33,768
Operating result
2,680
1,439
1,875
(2,908)
(6,316)
Net financials
(725)
(55)
(4,801)
(7,579)
(1,590)
Net result for the year
(11,119)
773
(4,791)
(11,617)
(6,163)
Cash Flows
Cash flows from operating activities
4,020
4,159
(248)
1,134
(2,257)
Cash flow from investmenting activities
(881)
(2,701)
1,428
(814)
(2,198)
Hereoff investments in tangible assets
(340)
(917)
(55)
(167)
(239)
Net cash flow for the year
(408)
709
205
(388)
(555)
Cash and cash equivalents at year-end
2,044
2,452
1,743
1,538
1,926
Balance sheet
Total equity
27,485
38,951
38,368
10,570
21,655
Total assets
33,697
50,174
51,857
48,635
56,926
Exchange rate per balance sheet date DKK/USD
6.77
6.96
6.56
6.06
6.65
Average number of full-time employees
123
129
164
Global Scanning A/S
7
Management Review
Group overview
The group´s objective is to maintain its position as the market leader in innovative and reliable 2D digital imaging
solutions.
Global Scanning A/S is the holding company for Global Scanning Denmark A/S and Global Scanning UK Ltd.
The Group develops, manufactures and markets large-format scanning solutions (2D) for the computer-aided
design (CAD), geographic information systems (GIS), reprographic products, copy services and document ar-
chiving segments under the brand names of Contex and Colortrac respectively. The scanners digitally capture
documents, drawings and other 2D input in order to view, edit, archive, convert or print output data. These 2D
products are sold across the world through a value-add distribution network and via OEM agreements with major
multinational enterprises within the Large Format Printing industry.
Result for the year
The Group´s revenue decreased to USD 27,447 thousand down from USD 35,052 thousand in 2022, which is
below expectations. The decrease in revenue is mainly due to stock reduction at trade partners. The group oper-
ating profit is USD 2,680 thousand up from USD 1,439 thousand in 2022. The loss for the year before tax is
USD 11,045 thousand against a loss of USD 1,384 thousand in 2022 and the net result for the year, is a loss of
USD 11,119 thousand from a loss USD 773 thousand in 2022. The main reason for the development in the result
is write down of goodwill of USD 13,000 thousand.
Research development
Research and development expenses in 2023 amounted to USD 1,903 thousand (2022: USD 3,066 thousand).
The Group has, during the year, developed new product platforms for both scanners and software. Of the costs
incurred USD 1,239 thousand was capitalized (2022: 1,607). In 2023, R&D has focused on developing and
introducing new scanning platforms and software within 2D, covering the high segment productivity market.
During 2023, Apeiron, the contact free scanning of detailed originals and fine art items was emplemented.
Outlook
Scanning has a strong global market position, including opportunities for further profitable growth. A continued
focus on R&D investments will enhance the competitive advantages. The management expects the operating
result for 2024 to be on the same level as 2023.
Subsequent events
No events have occurred after the balance sheet date to this date, which would influence the evaluation of
this annual report.
Global Scanning A/S
8
Consolidated Financial Statements
Financial statements 1 January – 31 December
Statement of comprehensive income
Group
Parent
2023
2022
2023
2022
Note
USD’000
USD’000
USD’000
USD’000
Revenue
0
0
Production costs
4
(18,116 )
(27,252 )
0
0
Gross profit
0
0
Distribution costs
4
(2,812 )
(3,145 )
0
0
Administrative costs
4
(3,838 )
(3,607 )
(717)
(551)
Other operating income/expenses
5
(1 )
0
0
Operating result
(717)
(551)
Impairment of investment in subsidiaries
9
(13,000)
0
Impairment of Intangible assets
12
(13,000 )
0
0
Financial income
6
0
0
Financial expenses
7
(812 )
(670 )
(551)
(526)
Result before tax
(11,045 )
(14,268)
(1,077)
Income tax
8
(74 )
(240 )
0
0
Net result for the year
(11,119 )
(14,268)
(1,077)
Statement of other comprehensive Income
Group
Parent
2023
2022
2023
2022
USD’000
USD’000
USD’000
USD’000
Net profit for the year
(11,119 )
(14,268)
(1,077)
Other comprehensive income
Other comprehensive income to be reclassified to
profit and loss in subsequent periods
Exchange differences on translation of foreign operations
(347 )
(50 )
0
0
Total comprehensive income for the year, net of tax
(11,466 )
(14,268)
(1,077)
Global Scanning A/S
9
Consolidated Financial Statements
Financial statements 1 January – 31 December
Balance sheet at 31 December
Group
Parent
2023
2022
2023
2022
Note
USD’000
USD’000
USD’000
USD’000
Assets
Non-current assets
Goodwill
9
0
0
Development projects
9
0
0
License rights and patents
9
0
0
Land and buildings
10
0
0
Other plant, operating equipment etc.
10
0
0
Right of use assets
11
0
0
Investments in subsidiaries
12
30,204
43,204
Deferred tax assets
15
0
0
Other long term assets
0
0
Total non-current assets
30,204
43,204
Current assets
Raw materials and consumables
14
0
0
Finished goods
14
0
0
Trade receivables
15
0
0
Prepayments
0
0
Cash and cash equivalents
0
0
Total current assets
0
0
Total assets
30,204
43,204
Global Scanning A/S
10
Consolidated Financial Statements
Financial statements 1 January – 31 December
Balance sheet at 31 December
Group
Parent
2023
2022
2023
2022
Note
USD’000
USD’000
USD’000
USD’000
Equity and liabilities
Shareholders’ equity
Share capital
171
171
Share premium
0
72,334
Retained earnings
(39,285 )
18,357
(41,870)
Reserve for foreign currency translation
0
0
Proposed dividend
2,953
2,953
Share based payment reserve
0
2,161
Total shareholders’ equity
21,481
35,749
Non-current liabilities
Deferred tax liabilities
15
0
0
Lease liabilities
11
0
0
Other non-current liabilities
41
41
Total non-current liabilities
41
41
Current liabilities
Bank debt
16
0
0
Lease liabilities
11
0
0
Trade payables
0
0
Income taxes payable
18
0
0
Debt to group enterprises
8,640
7,314
Other liabilities
43
101
Total current liabilities
8,683
7,414
Total liabilities
8,724
7,455
Total equity and liabilities
30,204
43,204
Liabilities from financing activities
17
Contingent assets and liabilities and other financial obli-
gations
19
Foreign currency in the balance sheet
20
Financial assets and liabilities
21
Share capital
22
Financial risk – management objectives
23
Related party transactions
24
Global Scanning A/S
11
Consolidated Financial Statements
Financial statements 1 January – 31 December
Statement of changes in equity
USD’000
Group
Reserve for
Share based
Share
Share
Retained
foreign currency
Proposed
payment
capital
premium
earnings
traslation
dividend
reserve
Total
Shareholders´equity at 01/01 2023
(39,285 )
Proposed dividend
Transfer
(2,161 )
Transfer
(72,334 )
Total transactions with shareholders
(72,334 )
(2,161 )
Net profit for the year
(11,119 )
(11,119 )
Exchange differences on transaction of foreign op-
erations
(347 )
(347 )
Total comprehensive income
(11,119 )
(347 )
(11,466 )
Shareholders´equity at 31/12 2023
Shareholders´equity at 01/01 2022
(37,105 )
Proposed dividend
(2,953 )
Paid dividend
(510 )
(510 )
Share-based payments
Total transactions with shareholders
(2,953 )
(140 )
Net profit for the year
Exchange differences on translation of foreign op-
erations
(50 )
(50 )
Total comprehensive income
(50 )
Shareholders´equity at 31/12 2022
(39,285 )
Global Scanning A/S
12
Consolidated Financial Statements
Financial statements 1 January – 31 December
Statement of changes in equity
USD’000
Parent
Reserve for
Share based
Share
Share
Retained
foreign currency
Proposed
payment
capital
premium
earnings
traslation
dividend
reserve
Total
Shareholders´equity at 01/01 2023
171
72,334
(41,870)
0
2,953
2,161
35,749
Proposed Dividend
0
0
0
0
0
0
0
Transfer
0
0
2,161
0
0
(2,161)
0
Transfer
0
(72,334)
72,334
0
0
0
0
Total transactions with shareholders
0
(72,334)
74,495
0
0
(2,161)
0
Net profit for the year
0
0
(14,268)
0
0
0
(14,268)
Total comprehensive income
0
0
(14,268)
0
0
0
(14,268)
Shareholders´equity at 31/12 2023
171
0
18,357
0
2,953
0
21,481
Balance 1/1 2022
171
72,334
(37,840)
0
510
1,791
36,966
Proposed Dividend
0
0
(2,953)
0
2,953
0
0
Paid dividend
0
0
0
0
(510)
0
(510)
Share-based payments
0
0
0
0
0
370
370
Total transactions with shareholders
0
0
(2,953)
0
2,443
370
(140)
Net profit for the year
0
0
(1,077)
0
0
0
(1,077)
Total comprehensive income
0
0
(1,077)
0
0
0
(1,077)
Shareholders´equity at 31/12 2022
171
72,334
(41,870)
0
2,953
2,161
35,749
Global Scanning A/S
13
Consolidated Financial Statements
Financial statements 1 January – 31 December
Cash flow statement
Group
Parent
2023
2022
2023
2022
USD’000
USD’000
USD’000
USD’000
Operating result
(717)
(551)
Amortisation/Depreciation and impairment
0
0
Operating profit before depreciation, amortization
and
impairments (EBITDA)
(717)
(551)
Changes in inventory and receivables
0
0
Change in trade payables
(1,166 )
(1,377 )
0
0
Change in other current liabilities
(149 )
(326 )
(58)
58
Interest received
0
1
Interest paid
(745 )
(68 )
(551)
(526)
Income taxes received/(paid)
(67 )
0
278
Cash flow from operating activities
(1,326)
(741)
Additions of intangible assets
(1,243 )
(1,630 )
0
0
Additions of tangible assets
(340 )
(917 )
0
0
Disposals of property, plant and equipment
(154 )
0
0
Cash flow from investing activities
(881 )
(2,701 )
0
0
Proceeds from borrowings
0
0
Payment of bank debt
(550 )
(497 )
Payment of payables to group enterprises
(2,671 )
0
0
Dividend paid
(510 )
0
(510)
Repayment of lease liabilities, principal part
(258 )
(336 )
0
0
Change in debt from group enterprises
1,326
1,251
Payment of non-current liabilities
(68 )
(78 )
0
0
Cash flow from financing activities
(3,547 )
(749 )
1,326
741
Net cash flow for the year
(408 )
0
0
Cash and cash equivalents at 1/1
0
0
Net cash flow for the year
(408 )
0
0
Cash and cash equivalents at 31/12
0
0
Global Scanning A/S
14
Notes
1. Accounting policies
2. Significant accounting estimates and judgements
3. Financing
4. Revenue
5. Expenses
6. Other operating income/expenses
7. Finance income
8. Finance expenses
9. Income taxes
10. Intangible assets
11. Property, plant and equipment
12. Leasing
13. Investments in subsidiaries
14. Inventories
15. Trade receivables
16. Deferred tax
17. Liabilities from financing activities
18. Contingent liabilities and securities for loans
19. Foreign currency
20. Financial assets and liabilities
21. Share capital and reserves
22. Financial risk - management objectives and policies
23. Related party transactions
24. Subsequent events
Global Scanning A/S
15
Notes
1. Accounting policies
The Annual Report has been prepared in accordance with International Financial Reporting Standards (“IFRS
Accounting Standards”) as adopted by the EU and additional disclosure requirements in the Danish Financial
Statement Act for annual reports of medium sized reporting class C enterprises.
On 24 June 2024, the Board of Directors and the Executive Board have discussed and approved the annual report
of Global Scanning A/S for 2023. The annual report will be presented to the shareholders of Global Scanning
A/S for approval at the annual general meeting on 9 July 2024.
The financial statements of the Group are presented in US dollars, which is the parent company’s functional and
presentation currency. The amounts have been rounded to the nearest thousand.
In general, rounding may cause variances in sums and percentages in the Annual Report.
In the consolidated financial statements and in the parent financial statements, the Group and parent company
has adjusted the classification of certain costs and financial items in previous years. The comparables has been
adjusted accordingly. The adjustments have not affected the result or equity.
New and amended IFRS Accounting Standards
The IASB has issued a number of amended standards and interpretations with effective date post 31 December
2023, some of which have not yet been endorsed by the EU. The new and amended Standards and Interpretations
are not mandatory for the financial reporting for 2023. The Group expects to adopt the standards and interpreta-
tions when they become mandatory. None of the standards and interpretations are expected to have a significant
impact on recognition and measurement.
Intra-group business combination
The book value method is applied to intra-group business combinations such as mergers etc., in which the parent
company are involved, provided that the combination is considered completed at the time of acquisition without
any restatement of comparative figures. Differences between the agreed consideration and the carrying amount
of the acquiree are recognised directly in equity.
Global Scanning A/S
16
Notes
1. Accounting policies (continued)
Principles of consolidation
The consolidated financial statements comprise the parent, Global Scanning A/S and entities controlled by the
parent. Control is presumed to exist when the parent owns, directly or indirectly, more than half of the voting
power of an entity.
The consolidated entities’ financial statements are prepared in accordance with the accounting policies applied
by the parent. The consolidated financial statements are prepared on the basis of the financial statements of the
consolidated entities by adding together like items. Intra-group income, expenses, gains, losses, investments,
dividends and balances are eliminated.
Currency translation
Transactions in foreign currency are translated into USD at the exchange rate at the date of the transaction.
Foreign subsidiaries
The accounts of foreign subsidiaries are translated according to the following principles:
Balance sheet items are translated at closing rates. The income statement is translated at the rates at the date of
the transaction. Any exchange differences resulting from the translation of the opening equity at the closing rate
and the exchange adjustment of the items in the income statement from the rate at the date of the transaction to
the closing rate are taken directly through equity.
Revenue
Revenue from contracts with customers is recognized when control of the goods or services are transferred to
the customer at an amount that reflects the consideration to which the Company expects to be entitled in ex-
change for those goods or services. The Company has generally concluded that it is the principal in its revenue
arrangements. Revenue is measured at the fair value of the consideration received, excluding discounts, rebates,
and other sales taxes or duty. The following specific recognition criteria must also be met before revenue is
recognized:
Revenue from the sale of goods is recognized at the point in time when control of the asset is transferred to the
customer, generally on delivery of the goods.
Global Scanning A/S
17
Notes
1. Accounting policies (continued)
Production costs
Production costs comprise the direct production costs and production overheads relation to revenue and direct
costs and costs of labor for product development, which have not been capitalized according to IAS 38.
Distribution costs
Distribution costs comprise the expenses relation to distribution and sale of products, salaries to the sales staff,
advertising and exhibition expenses etc.
Administrative expenses
Administrative expenses comprise expenses for the administrative staff and management including office ex-
penses, salaries etc.
Parent company dividend
Dividend from subsidiaries is recognized fully in the profit and loss statement at the time of distribution.
Net financials
Financial income and expenses are recognized in the income statement at the amounts that relate to the reporting
period. Net financials include interest income and expenses, realized and unrealized capital and exchange gains
and losses in foreign currency transactions and surcharges and allowances under the advance-payment -of-tax
scheme, etc.
Other operating income
Other operating income comprises income of secondary nature in relation to the activities of the Company,
including rental income, sale of scrap and gain on sale of fixed assets.
Amortization/depreciation and write-downs
Depreciation and write-downs include depreciation and write-downs of intangible assets and property, plant and
equipment. Property, plant and equipment include land and building, plant and machinery, other fixture and
fittings, tools and equipment and leasehold improvement. Land is recorded at cost and is not depreciated.
Global Scanning A/S
18
Notes
1. Accounting policies (continued)
Intangible assets and property, plant and equipment are amortized/depreciated on a straight-line basis on the
basis of the cost, measured by reference to the following assessment of the useful life of the assets:
Goodwill Indefinite
Development projects 3 years
Customer relationships 3-10 years
License rights and patents 5-20 years
Buildings 30 years
Leasehold improvements 3 years
Plant and machinery 4-8 years
Other plant, operating equipment etc. 2-6 years
Tax
Tax for the year includes current tax on the year´s expected taxable income and the year´s deferred tax adjust-
ments less the share of the tax for the year that concerns changes in equity. Current and deferred taxes related to
items recognized directly in the equity are taken directly on the equity. The parent company and all Danish group
enterprises are jointly taxed. The Danish corporation tax charge is allocated between profit-making and loss-
making Danish enterprises in proportion to their taxable income (full allocation).
Shared based payment
The Company’s employees and management receive consideration in the form of share-based payments. The
share-based consideration is an equity-settled program under which employees and management deliver services
in return for share options. The share options are measured at fair value at the time of granting. The fair value of
share options is determined using the Black-Scholes option-pricing model.
Costs relating to equity-settled share-based payments are recognised in the income statement under administra-
tive expenses and in equity over the vesting period. The total expense recognised for equity-settled share-based
payments at the reporting date reflects the share of the vesting period that has lapsed and management’s best
estimate of the number of equity instruments that will ultimately vest.
If the terms for equity-settled programs change, the minimum expense is the expense that would have been
recognised had the terms not been changed, provided that the employee’s or management’s right had vested. In
addition, an expense is recognised corresponding to the increase in the fair value of the share-based payment at
the time at which the terms are changed.
Global Scanning A/S
19
Notes
1. Accounting policies (continued)
Intangible assets
Intangible assets comprise goodwill with indefinite useful life and of development projects, customer relations
and license rights and patents with finite useful life.
Goodwill:
Goodwill is measured at cost less accumulated write-downs.
Goodwill is tested for impairment annually or when there are indications of decreases in value. The impairment
test is made for the activity or business area to which the goodwill relates. Goodwill is written down to the higher
of the value in use and the net selling price for the activity or the business area to which the goodwill relates
(recoverable amount) if it is lower than the carrying amount.
Development projects:
Development projects that are clearly defined and identifiable and in respect of which the technological feasi-
bility, sufficient resources and a potential future market or development potential in the enterprise can be demon-
strated, and where the intention is to produce, market or use the product or the process, are recognized as intan-
gible assets provided that it is sufficiently certain that the future earnings are adequate to cover the production,
sales and administrative expenses and the aggregate development projects. Other development projects are ex-
pensed in the income statement as incurred. Development projects are measured at direct costs.
An impairment test is made for acquired intangible assets if there are indications of decreases in value. The
impairment test is made for each individual asset or group of assets, respectively. The assets are written down to
the higher of the value in use and the net selling price of the asset or group of assets (recoverable amount) if it
is lower than the carrying amount. Impairment test is made at yearend for intangible assets that are not ready for
use.
Customer relations, license rights and patents:
Customer relations, license rights and patents are measured at cost less accumulated amortization and write-
downs.
An impairment test is made for acquired intangible assets if there are indications of decreases in value. The
impairment test is made for each individual asset or group of assets, respectively. The assets are written down to
the higher of the value in use and the net selling price of the asset or group of assets (recoverable amount) if it
is lower than the carrying amount. Impairment test is made at yearend for intangible assets that are not ready for
use.
Global Scanning A/S
20
Notes
1. Accounting policies (continued)
Property, plant and equipment
Property, plant and equipment comprise land and buildings, production equipment, machinery and other fixtures,
fittings, tools and equipment and leasehold improvements. Property, plant and equipment are measured at cost
less accumulated depreciation and write-downs.
An impairment test is made for property, plant and equipment if there are indications of decreases in value. The
impairment test is made for each individual asset or group of assets, respectively. The assets are written down to
the higher of the value in use and the net selling price of the asset or group of assets (recoverable amount) if it
is lower than the carrying amount.
Leases
A right-of-use asset and a lease obligation are recognized in the balance sheet when the specifically identifia-
ble asset is made available under the lease agreement during the lease term, and when the Group gains the right
to virtually all the economic benefits from the use of the identified asset and the right to control the use of the
identified asset.
Lease liabilities are initially measured at the present value of future lease payments discounted at an alternative
loan rate. The following lease payments are recognized as part of the lease obligation:
• Fixed payments;
• Variable payments that change as a change in an index or interest rate, based on that index or interest rate;
• Payments owed under a residual value guarantee:
• The exercise price for call options that management expects to utilize in a high probability;
• Payments covered by an extension option that the Company is likely to utilize;
• Penalties related to a termination option, unless the Company is very likely not to exercise the option
In assessing the expected lease term for property leases, the Group estimates for strategic reasons that the ex-
pected rental period is between 3-5 years. The Group has chosen not to recognize payments related to service
components as part of the lease obligation and further not to include leases with a maturity of fewer than 12
months or with a low value.
Global Scanning A/S
21
Notes
1. Accounting policies (continued)
On initial recognition, the lease asset is measured at cost, which corresponds to the value of the lease liability
adjusted for prepaid lease payments plus direct related costs and estimated costs for demolition, refurbishment
or similar and less any rebates or other types of incentive payments received from the lessor. Subsequently, the
asset is measured at cost less accumulated amortization and impairment losses. The lease asset is depreciated
over the shortest of the lease term and the useful life of the lease asset. Depreciation is recognized on a straight-
line basis in the income statement.
The right-of-use asset is adjusted for changes in the lease liability as a result of changes in the terms of the lease
or changes in the cash flows of the contract in line with changes in an index or interest rate.
Leasing assets are amortized on a straight-line basis over the expected lease period, which is:
Properties 3-5 years
Other plant, operating equipment etc. 2-4 years
The Group presents the right-of-use asset and the lease liability separately in the balance sheet. The Group has
chosen not to recognize payments related to service-components of lease agreements as part of the lease obliga-
tion in the balance sheet.
When discounting the lease payments at present value, the Group has used its alternative loan rate, which is the
cost of raising external financing for a corresponding asset with a financing period corresponding to the term of
the lease in the currency in which the lease payments are settled. The Group has documented the alternative loan
rate. for each portfolio of leases that have similar characteristics. In assessing the Group's alternative interest
rates, the Group has calculated its alternative interest rates based on an interest rate from a mortgage bond. The
portion for which a mortgage cannot be used is estimated based on a reference rate plus a credit margin, derived
from the Group's existing credit facilities.
Investments
The value of investments in subsidiaries is stated in the parent company´s financial statement according to the
cost method. The value of share options to the employees in the subsidiaries is recognised as an increase in the
investment in the subsidiaries as the employees’ services rendered in exchange for the share options are re-
ceived in subsidiaries. Investments are tested for impairment if there is any indication of decreases in value.
Global Scanning A/S
22
Notes
1. Accounting policies (continued)
Inventories
Inventories are measured at the lower cost (FIFO basis) and net realizable value. Raw materials and consuma-
bles are measured at cost. Work in progress and finished goods are measured at manufacturing cost, which in-
cludes the cost of materials and direct payroll costs plus production overheads.
Receivables
Trade receivables are measured at the lower of amortized cost, which essentially corresponds to the nominal
account receivable, and net realizable value. Write-downs on trade receivables are based on the simplified ex-
pected credit loss model. Credit loss allowances on individual receivables are provided for when objective in-
dications of credit losses occurs such as customer bankruptcy and uncertainty about the customers´ ability
and/or willingness to pay etc. In addition to this, allowances for expected credit losses are made on the remain-
ing trade receivables based on a simplified approach.
Prepayments
Prepayments recognized under assets comprise prepaid expenses.
Shareholders´ equity
Dividends proposed for the reporting period are presented as a separate item under Shareholders´ equity. Pur-
chase and sales amounts for treasury shares are recognized directly on equity. The value of share options
granted is recognised in equity under share-based payment reserve over the vesting period as the employees
deliver the relevant services. The reserve reflects the total value of share options granted based on the share of
the vesting period that has lapsed and the group’s best estimate of the number of equity instruments that will
ultimately vest. The reserve is part of the distributable reserves.
Income taxes
Current tax charges are recognized in the balance sheet as the estimated tax charge in respect of the expected
taxable income for the year, adjusted for tax on prior years´ taxable income and tax paid in advance. Provisions
for deferred tax are calculated of all temporary differences between carrying amounts and tax values, with the
exception of temporary differences occurring at the time of acquisition of assets and liabilities neither affecting
the results of operations for the taxable income.
Global Scanning A/S
23
Notes
1. Accounting policies (continued)
Deferred tax assets are recognized at the value at which they are expected to be utilized, either through elimina-
tion against tax on future earnings or a set-off against deferred tax liabilities.
Liabilities
Financial liabilities are recognized at the inception of the loan at the proceeds received net of transaction costs
incurred. On refinancing of existing loans, refinanced loans are recognised at fair value, and borrowing costs
incurred are recognised in the income statement. In subsequent periods, the loans are measured at amortised cost.
Interest-bearing debt is subsequently measured at amortized cost, using the effective interest rate method at the
time of the inception. Other non-financial liabilities are measured at net realizable value.
Cash flow
The cash flow statement shows the enterprise´s net cash flows, the year´s changes in cash and cash equivalents
and the enterprise´s cash and cash equivalents at the beginning and at the end of the year. Cash flow from oper-
ation activities are presented using the indirect method and are made up as the net profit or loss for the year,
adjusted for non-cash operating items, changes in working capital, paid financial and extraordinary expenses and
paid income taxes. Cash flow from investing activities comprises payments related to additions and disposals of
fixed assets, securities related to investing activities. Cash flow from financing activities comprises dividends
paid to shareholders, capital increases and reductions and the raising of loans and repayments of interest-bearing
debt, and payments regarding lease agreements including interests and instalments. Cash and cash equivalents
comprise cash and near money securities in respect of which the rest of changes in value are insignificant.
2. Significant accounting estimates and judgements
In the process of applying the Company´s accounting policies, management has made the following judgments
and estimates, w
hich have a significant effect on the ams recognized in the financial statements:
Impairment of goodwill
The Group determines whether goodwill is impaired at least once a year. This requires an estimation of the
value in use of the cash-generating units to which the goodwill is allocated. Estimating the value in use re-
quires that the Group makes an estimate of the expected future cash flows from the cash-generating unit and
chooses a suitable discount rate in order to calculate the net present value of such cash flows. The carrying
Global Scanning A/S
24
Notes
2. Significant accounting estimates and judgements (continued)
The Group determines whether goodwill is impaired at least once a year. This requires an estimation of the
value in use of the cash-generating units to which the goodwill is allocated. Estimating the value in use re-
quires that the Group makes an estimate of the expected future cash flows from the cash-generating unit and
chooses a suitable discount rate in order to calculate the net present value of such cash flows. The carrying
amount of goodwill at 31 December 2023 was USD 28,602 thousand (USD 28,602 thousand at 31 December
2022). More details are given in note 10.
Development Projects
Development costs are capitalized based on ongoing assessments when they meet the criteria as described in
note 1. Capitalized Development Costs are annually reviewed for impairment indicators. If there is evidence of
impairment, an impairment test is carried out for the project concerned. The impairment test is prepared on the
basis of factors such as the future use of the project, the present value of expected future income, interest and
risk.
Recognition of deferred taxes
Deferred tax assets in the parent company are recognized for tax losses carried forward to the extent that the
losses expected to be utilized in the foreseeable future jointly with profitable group companies. The carrying
amount of the parent company's deferred tax assets were at 31 December 2023 USD 0 thousand (USD 0 thousand
at 31 December 2022).
Recognition of share-based payment expense
The share-based consideration is an equity-settled program under which employees and management deliver
services in return for share options. The share options are measured at fair value at the time of granting. The
fair value of share options is determined using the Black-Scholes option-pricing model. The Black-Scholes op-
tion pricing model is prepared on the basis of Share price, volatility, risk-free interest rate, exercise price, ex-
pected life of grant, number of options.
3. Financing
Based on the budget for 2024 including the assumption for expected renewal of credit facility agreement and
loans and waivers the management has assessed that the necessary financing and cash are available for the
company’s ability to continue as a going concern.
Global Scanning A/S
25
Notes
4. Revenue
The Group management team categorises the Group’s activities into three geographical markets – USA, EMEA
and rest of the world. Revenue is split into these markets as follows:
Group
2023
2022
Geographical markets
USD’000
USD’000
USA
9,732
13,316
EMEA
7,649
12,831
Rest of the world
10,066
8,905
Total revenue
27,447
35,052
5. Expenses
5.1 Amortisation/depreciation
Group
Parent
2023
2022
2023
2022
Analysis of amortisation/depreciation for the
year:
USD’000
USD’000
USD’000
USD’000
Land and buildings
147
127
0
0
Other plant, operating equipment etc.
179
352
0
0
Right of use assets
21
315
0
0
Development projects
885
1,324
0
0
Customer relations
0
67
0
0
License rights and patents
172
160
0
0
1,403
2,346
0
0
Global Scanning A/S
26
Notes
5.2 Staff costs
Group
Parent
2023
2022
2023
2022
Analysis of total payroll costs, etc.:
USD’000
USD’000
USD’000
USD’000
Wages and salaries
6,144
7,476
0
31
Share-based payment
0
371
0
0
Bonuses
334
(190)
0
0
Pensions, defined contribution plans
928
872
0
0
Other social security costs
371
62
0
0
7,776
8,591
0
31
The average number of staff during the year was 107 employees. (2022: 123 employees).
Key management personnel compensation
The compensation paid or payables to key management personnel for employee services is shown below:
Group
Parent
2023
2022
2023
2022
Analysis of total payroll costs, etc.:
USD’000
USD’000
USD’000
USD’000
Fee to the Board of Directors
14
63
0
31
Remuneration and salaries to the Executive Man-
agement
174 163 0 0
Defined contribution plans to the Executive
Management
21 16 0 0
Remuneration and salaries to other key
management personnel
916 761 0 0
Defined contribution plans to other key
management personnel
61 42 0 0
1,104
987
0
31
Global Scanning A/S
27
Notes
5.3 Research and development
Group
Parent
2023
2022
2023
2022
USD’000
USD’000
USD’000
USD’000
Research and development expenses in
total
1,903
3,066
0
0
Hereof capitalised as addition on de-
velopment projects
(1,239) (1,607) 0 0
Net development expense presented
in Production costs
664 1,459 0 0
5.4 Share-based payments
Employees and members of the management in both the parent company Global Scanning A/S and subsidiaries
are eligible for share option schemes. They are granted a certain number of share options in the parent company
Global Scanning A/S in return for the services they provide to the Group. Share options under these schemes are
granted at fixed exercise prices. The right to share options can only be vested as long as the holder is an employee
of the Group. All granted share options are equity-based. The share-based payment expense is measured at fair
value at the grant date using the Black-Scholes model. The expense is recognised in the income statement with
the counter item in the other reserves under the equity, and it is recognised over (a) the period during share option
holder has met the vesting conditions, or (b) the period in which an exercising event is likely to occur if this
period is shorter.
Based on the same decision made by General Assembly in October 2021 to issue 537,242 share options, the
Board of Directors issued 537,242 share options in October 2021, which vest in either of two models:
- Model 1: Tranche 1 of 268,621 share options of nominal value of DKK 1 at an exercise price of USD 2,55 and
tranche 2 of 268,621 share options of nominal value of DKK 1 at an exercise price of USD 5,11. The share
options vest with 1/8 in each of the quarter beginning for 1 January 2021 to 31 December 2022. The share
options’ lifetime is 5 years.
- Model 2: 537,242 share options of nominal value of DKK 1 at an exercise price of USD 0,10. The share options
vest when the B-share of Global Scanning A/S is fully redeemed. The share options’ lifetime is 5 years. Model
1 is considered for recognition of the share option program and related disclosure.
Global Scanning A/S
28
Notes
5.4 Share-based payments (continued)
Executive Management
Other key man-
agement personnel
Total
Number Avg. ex.
price
Number
Avg.
ex.
price
Number
Avg. ex.
price
At January 2023
268,622
3.83
107,448
3.83
376,070
3.83
At 31 December
2023
268,622
3.83
107,448
3.83
376,070
3.83
Exercisable at 31
December 2023
134,311
3.83
53,724
3.83
188,035
3.83
Executive Management
Other key man-
agement personnel
Total
Number
Avg. ex.
price
Number
Avg.
ex.
price
Number
Avg. ex.
price
At January 2022
268,622
3.83
107,448
3.83
376,070
3.83
At 31 December
2022
268,622
3.83
107,448
3.83
376,070
3.83
Exercisable at 31
December 2022
134,311
3.83
53,724
3.83
188,035
3.83
In 2023, 0 options were exercised and 0 lapsed (2022: In 2023, 0 options were exercised and 0 lapsed). The
following shows the exercise price of the outstanding share options and warrants:
2023
2022
Exercise price USD
2.55
94,018
94,018
Exercise price USD
5.11
94,018
94,018
188,035
188,035
For 2023, the Company has recognised a share-based payment expense of USD 0 in the income statement (2022:
USD 260 thousand). USD 0 thousand was recognised in relation to Executive Management (2022: USD 186
thousand) and USD 0 thousand in relation to other key management personnel (2022: USD 74 thousand).
Global Scanning A/S
29
Notes
6. Other operating income/expenses
Group
Parent
2023
2022
2023
2022
USD’000
USD’000
USD’000
USD’000
Other
(1)
20
0
0
(1)
20
0
0
7. Financial income
Group
Parent
2023
2022
2023
2022
USD’000
USD’000
USD’000
USD’000
Foreign currency exchange gain
0
602
0
0
Interest income
87
13
0
0
Other
0
1
0
0
87
615
0
0
8. Financial expenses
Group
Parent
2023
2022
2023
2022
USD’000
USD’000
USD’000
USD’000
Foreign currency exchange loss
67
46
0
46
Interest expenses
741
542
551
309
Interest expense from group enterprises
0
0
0
171
Interest on leasing liabilities
4
45
0
0
Other
0
37
0
0
812
670
551
526
Global Scanning A/S
30
Notes
9. Income taxes
Group
Parent
2023
2022
2023
2022
Tax in the Statement of income
USD’000
USD’000
USD’000
USD’000
Tax for the year
(100)
348
0
0
Income tax, carry back refund
0
(62)
0
0
Change in deferred tax
26
(46)
0
0
(74)
240
0
0
Group
Parent
2023
2022
2023
2022
Reconciliation of tax rate
USD’000
USD’000
USD’000
USD’000
Profit before tax at danish tax rate 22% (2022:
22%)
2,430
223
3,139
(237)
Tax effect of adjustments prior years
0
20
0
0
Tax effect of permanent differences
(3,074)
(570)
(2,822)
0
Accounting estimate for not recognised deferred
tax assets
0
798
0
237
Other
314
0
0
0
Foreign currency exchange differences
430
(356)
0
0
Tax effect of not recognised deferred tax
asset
(173)
(317)
0
(74)
115
0
0
Effective tax rate
(3%)
11,3%
0,0%
0,0%
Global Scanning A/S
31
Notes
10. Intangible assets
Group
Goodwill
Development
Customer
License rights
Total
USD'000
projects
relations
and patents
Cost at 1 January 2023
28,602
36,699
2,400
3,027
70,728
Disposal at cost
0
(702)
0
0
(702)
Additions
0
1,239
0
4
1,243
Cost at 31/12 2023
28,602
37,236
2,400
3,031
71,269
Amortisation at 1/1 2023
0
33,270
2,400
1,645
37,315
Impairment
13,000
0
0
0
13,000
Amortisation
0
885
0
172
1,057
Amortisation at 31/12 2023
13,000
34,155
2,400
1,817
51,372
Carrying amount at 31/12
2023
15,602
3,082
0
1,215
19,899
Global Scanning A/S
32
Notes
10. Intangible assets (continued)
Group
Goodwill
Development
Customer
License rights
Total
USD'000
projects
relations
and patents
Cost at 1 January 2022
28,602
35,250
2,400
3,019
69,271
Foreign currency
0
0
0
(16)
(16)
Disposal at cost
0
(157)
0
0
(157)
Additions
0
1,607
0
23
1,630
Cost at 31/12 2022
28,602
36,699
2,400
3,027
70,728
Amortisation at 1/1 2022
0
31,888
2,333
1,501
35,721
Foreign currency
0
57
0
(16)
42
Amortisation
0
1,324
67
160
1,552
Amortisation at 31/12 2022
0
33,270
2,400
1,645
37,315
Carrying amount at 31/12
2022
28,602
3,430
0
1,381
33,413
At 31 December 2023 the balance of USD 3,082 thousand regarding development projects contains one signifi-
cant projects with a value of USD 1,397 thousand. This projects aim to introduce user-friendly 3D scanner for
small and mid-size objects.
Global Scanning A/S
33
Notes
10. Intangible assets (continued)
Goodwill relates to the 2D activity in Global Scanning Denmark A/S and Global Scanning UK Ltd., that man-
agement since year 2017 have assessed to be one cash-generating unit, in total USD 15,602 thousand (2022:
USD 28,602 thousand).
The Group considers the relationship between its market capitalisation and its accounting value, among other
factors, when reviewing for indicators of impairment. As at 31 December 2023 the market capitalisation of the
Group´s 2D activity was below the accounting value of the goodwill that relates to the 2D cash generation unit,
and accordingly the impairment test has resulted in impairment for 2023 of USD 13,000 thousand (2022: no
impairment).
The recoverable amount has been determined based on a value in use calculation using cash flow projections
from financial budgets for 2024, and cash flow projections for a three-year period. Cash flows beyond the pro-
jection-period are extrapolated using a 2,0% growth rate (2022: 2,0%). The board of directors have approved the
assumptions used for the impairment test.
The projected cash flows have been updated to reflect the current demand for products and services. The pre-tax
discount rate applied to cash flow projections is 15,1 % (2022: 14,6%). The risk free rate is based on a US
government bond. The assumptions made when calculating the pre-tax discount rate for 2023 is adapted to the
current conditions.
Key assumptions used in value in use calculations
Overall the future development is expected to be flat. Volumes are expected to increase and pricing generally
expected to decrease. In addition, the 2D business is expected to be a steady future business.
Discount rates - Discount rates represent the current market assessment of the risks specific to the CGU. The
discount rate calculation is based on the specific circumstances of the Group and its operationg segment and is
derived from its weighted average cost of capital (WACC). The WACC takes into account both debt and equity.
Segment-specific risk is incorporated by applying individual beta factors. The beta factors are evaluated annually
based on publicly available market data. Adjustments to the discount rate are made to factor in the specific
amount and timing of the future tax flows in order to reflect a pre-tax discount rate.
Terminal value is based on an infinitive period, which is the management´s best estimate for the expected length
of the cash flow projection period. The assessment of growth rate and infinitive period has not been changed
since last year as there has been no significant change in the underlying market and business.
Other key assumptions - Unchanged f/x correlation between USD/SEK/DKK has been built into the model com-
bined with the assumption of stable market conditions on the 2D scanning market.
Global Scanning A/S
34
Notes
11. Property, plant and equipment
Group
Other plant
Land and
operating
USD’000
buildings
equipment etc.
Total
Cost at 1/1 2023
2,885
3,644
6,529
Additions
208
132
340
Cost at 31/12 2023
3,093
3,776
6,869
Depreciation and writedowns at 1/1 2023
1,241
3,414
4,656
Depreciation
147
179
326
Depreciation and writedowns at 31/12
2023
1,388
3,593
4,982
Carrying amount at 31/12 2023
1,705
183
1,887
Cost at 1/1 2022
2,309
4,527
6,836
Foreign currency
0
(144)
(144)
Disposal at cost
0
(1,081)
(1,081)
Additions
576
342
917
Cost at 31/12 2022
2,885
3,644
6,529
Depreciation and writedowns at 1/1 2022
1,114
4,272
5,386
Foreign currency
0
(132)
(132)
Disposals
0
(1,077)
(1,077)
Depreciation
127
352
479
Depreciation and writedowns at 31/12
2022
1,241
3,414
4,656
Carrying amount at 31/12 2022
1,644
229
1,873
Global Scanning A/S
35
Notes
12. Leasing
Group
Other plant
Land and
operating
USD’000
buildings
equipment etc.
Total
Cost at 1/1 2023
1,583
20
1,603
Cost at 31/12 2023
1,583
20
1,603
Depreciation and writedowns at 1/1 2023
1,296
20
1,316
Disposals
178
0
178
Depreciation
21
0
21
Depreciation and writedowns at 31/12
2023
1,495
20
1,515
Carrying amount at 31/12 2023
88
0
88
Cost at 1/1 2022
1,604
20
1,624
Disposal at cost
(129)
0
(129)
Additions
107
0
107
Cost at 31/12 2022
1,583
20
1,603
Depreciation and writedowns at 1/1 2022
966
18
984
Foreign currency
17
0
17
Depreciation
313
2
315
Depreciation and writedowns at 31/12
2022
1,296
20
1,316
Carrying amount at 31/12 2022
287
0
287
The following amounts have been recognised in the income statement:
2023
2022
USD’000
USD’000
Depreciation
21
315
Finance costs
4
16
Total amounts recognised in the income statement
25
331
A maturity analysis of lease payments has been included in note 22.
A total cash outflows in 2023 for leases amount to USD 258 thousand (2022: USD 336 thousand).
See Note 1 for a description of the extent of the company's leases, exposure to potential cash flows and the
process of determining the discount rate. The company does not have any short term- or low-value leases recog-
nised in the income statement. The capitalized right-of-use assets does not have any effect on investing activities
in the cash flow statement.
Global Scanning A/S
36
Notes
13. Investments in subsidiaries
The fiscal year´s investments in and value adjustments of investment in subsidiaries, which are financial assets,
are specified as follows:
Parent
2023
2022
USD’000
USD’000
Cost at 1/1
76,327
75,957
Additions, group contribution
0
0
Value of share-based payment to employees in
subsidiaries
0
370
Cost at 31/12
76,327
76,327
Impairment at 1/1
(33,123)
(33,123)
Impairment during the year
(13,000)
0
Impairment at 31/12
(46,123)
(33,123)
Carrying amount at 31/12
30,204
43,204
USD’000
Domicile
Currency
Nominal
capital
Interest
(%)
Equity
Net
profit/loss
Global Scanning Denmark
A/S
Denmark
USD
6,907
52%
2,764
1,824
Global Scanning Americas
(MD) Inc.
USA
USD
0
100%
224
(11)
Global Scanning UK Ltd.
Great
Britain
USD
21
100%
3,141
2,292
Global Scanning Suzhou Co.
Ltd.
Chna
USD
203
100%
10,105
2,009
A description of the impairment has been included in note 9.
Global Scanning A/S
37
Notes
14. Inventories
Group
Parent
2023
2022
2023
2022
Movements in the provision for impairment of in-
ventory were as follows:
USD’000
USD’000
USD’000
USD’000
Cost at 1/1
(818)
(1,669)
0
0
Impairment inventory
0
(137)
0
0
Reversed impairment inventory
351
988
0
0
Inventory writedown at 31/12
(467)
(818)
0
0
The impairment expense is included in production costs.
Cost of goods sold in 2023 amounted to USD 13,994 thousand (2022: USD 21.270 thousand).
The book value of inventory provisioned for measured at net realisable cost at 31 December 2023 to USD 6,107
thousand (2022: USD 6,496 thousand).
15. Trade receivables
Trade receivables are non-interest bearing and generally on 30-60 days terms and therefore are all the Group’s
trade receivables classified as current.
Credit risk
The estimated impairment losses consider the expected impact both from increased prices and default customers.
Each entity within the group has it’s own approach to debtors and collection of these. Provision for loss on
debtors is based on subjective evaluations of local management to reflec the related excpected credit losses.
The Group has a credit policy towards debtors, and limits its credit risk through running credit checks on all
major customers before the establishment of material customer relations and monitors overdue creditors.
The Groups trade receivable amounts to DKK 3,877 thousand as of 31 December 2023 (2022: USD 5,743 hou-
sand). Of these approximately 9% (2022: 1%) is more than 60 days overdue. Credit losses are generally small.
The Group also has a larger number of reputable large companies as well as public customers for which the
credit risk is low.
The Group applies the simplified method for calculating expected credit losses. This method involves expected
losses over the duration of a receivable being used as the basis for trade receivables. Expected credit loss levels
are based on customers’ payment history. Historical losses are then adjusted to take account of current and for-
ward-looking information that could affect customers’ ability to pay a receivable. Based on the limited amount
of overdue trade receivables, the credit policies and the history of immaterial losses across the Group, the ex-
pected credit loss allowance is not assessed as material.
Global Scanning A/S
38
Notes
16. Deferred tax
Group
Parent
2023
2022
2023
2022
Analysis of deferred tax, Group:
USD’000
USD’000
USD’000
USD’000
Property, plant and equipement
(204)
(237)
0
6
Right of use assets
19
0
0
0
Leased commitments
(19)
Intangible assets
724
741
0
0
Inventories
(9)
(299)
0
(49)
Prepaid expenses
(14)
18
0
0
Other
7
(103)
0
61
Contingent liabilities
(134)
0
(134)
0
Currency loss
(28)
0
0
0
Tax loss carried forward
(334)
(392)
134
0
8
(272)
0
18
Group
Parent
2023
2022
2023
2022
Reconciliation of deferred tax liability:
USD’000
USD’000
USD’000
USD’000
Balance at 1/1, net
18
(254)
0
(279)
Additions on merger
0
0
0
0
Recognised in the income statement
26
(7)
0
0
Utilised through tax credit
10
279
279
279
Recognised in the statement of comprehen-
sive income
0
0
0
0
Balance at 31/12, net
54
18
279
0
The group has tax losses of USD 16,304 thousand (2022: USD 15,828 thousand) that are available indefinitely
for offsetting against future taxable profit. In 2022 the deferred tax assets have not been fully recognized in
respect of these losses due to uncertainty in timing to offset future taxable profit. If the group was able to recog-
nise all unrecognised deferred tax assets the value 31 December 2023 would be USD 3,587 thousand (2022:
USD 3,443 thousand).
The parent company has tax losses of USD 13,359 (2022: USD 11,911) thousand that are available indefinitely
for offsetting against future taxable profit. In 2022 the deferred tax assets have not been fully recognised in
respect of these losses due to uncertainty in timing to offset future taxable profit. If the group was able to recog-
nise all unrecognised deferred tax assets the value 31 December 2023 would be USD 2,939 thousand (2022:
USD 2,755 thousand).
Global Scanning A/S
39
Notes
17. Liabilities from financing activities
Group
Cost at
Cash flow
Other
Cost at
USD’000
1/1 2023
31/12 2023
Lease liabilities
345
(258)
0
87
Other non-current liabilities
388
(68)
0
320
Bank debt
2,195
(550)
0
1,645
Total liabilities from financing
activitie
2,929 (876) 0 2,053
Cost at
Cash flow
Other
Cost at
1/1 2022
31/12 2022
Lease liabilities
681
(336)
0
345
Other non-current liabilities
466
(249)
171
388
Bank debt
2,763
(497)
(71)
2,195
Total liabilities from financing
activitie
3,910 (1.082) 100 2,928
18. Contingent liabilities and securities for loans
Pledged assets for loans at Nordea Bank
The owner´s mortgage deed in the properties nominally USD 8,571 thousand (2022: USD 8,620 thousand) is
pledged to banks in Global Scanning Denmark A/S and in Global Scanning A/S.
The subsidiary Global Scanning Denmark A/S has entered into a credit agreement with Nordea Bank Danmark
A/S with a variable credit line of up to USD 886 thousand (2022: USD 862 thousand), DKK 6 million. Global
Scanning Denmark A/S has given Nordea Bank Danmark A/S a security in inventories and trade receivables for
USD 1,477 thousand (2022: USD 1,437 thousand), DKK 10 million. 'The value of inventories and trade receiv-
ables as per 31 December 2023 is USD 4,021 thousand (2022: USD 2,525 thousand). Furthermore the associated
company Global Scanning UK Limited has given Nordea Bank Danmark A/S a security in all assets for the
above mentioned arrangement between the company and Nordea Bank Danmark A/S. The value of assets in
Global Scanning UK Limited as per 31 December 2023 is USD 10.552 thousand (2022: USD 11.390 thousand).
Global Scanning A/S
40
Notes
18. Contingent liabilities and securities for loans (continued)
Pledged assets for loans
Parent
2023
2022
USD’000
USD’000
Investments in subsidiaries (share-
pledge)
30,204
43,204
Receivable from group enterprises
0
0
30,204
43,204
Contingent liabilities
In 2012/13, the parent company joined the joint taxation arrangement with the Danish subsidiary Global Scan-
ning Denmark A/S which is management company and other Danish group entities, thus becoming jointly and
severally liable with these entities for payment on income taxes and withholding tax in the group of jointly taxed
entities. The company is also jointly taxed with another Danish company, Blue Finco ApS and its Danish sub-
sidiaries from August 2021, thus also from that time and going forward becoming jointly and severally liable
with these entities for payment on income taxes and withholding tax in the group of jointly taxed entities.
19. Foreign currency
Foreign currency risks
As a result of the operation in Denmark, the Group is exposed to a risk in cash flow from foreign currencies and
in the balance sheet and can be affected by movements in the foreign exchange rates. The foreign currency
exposes in the balance sheet have been specified below:
Assets
Liabilities
Net
USD’000
2023
2022
2023
2022
2023
2022
DKK Danish kroner
920
401
757
1,027
163
(626)
SEK Swedish kroner
0
0
0
2,671
0
(2,671)
RMB Renminbi
4,865
4,364
4,828
5,006
38
(642)
EUR Euros
1,091
407
117
123
974
284
GBP Pound
0
286
0
447
0
(162)
JPY Japanese Yen
1,624
350
26
180
1,598
170
8,500
5,807
5,728
9,455
2,773
(3,647)
Global Scanning A/S
41
Notes
19. Foreign currency (continued)
Impact on the results of operations and changes in shareholders' equity resulting from a change of the Group's
primary foreign currencies are shown below.
Million USD
Exchange
rate
Pre-tax
profit
Equity
Pre-tax
profit
Equity
adjustment
2023
2023
2022
2022
DKK Danish kroner
+/- 10%
0,0
0,0
-0,1
0,0
SEK Swedish kroner
+/- 10%
0,0
0,0
-0,3
-0,2
EUR Euros
+/- 10%
0.1
0.1
0,0
0,0
JPY Japanese Yen
+/-10%
0.2
0.1
0,0
0,0
Global Scanning A/S
42
Notes
20. Financial assets and liabilities
Group
Parent
2023
2022
2023
2022
USD’000
USD’000
USD’000
USD’000
Financial assets measured at amortized
cost
Trade receivables
3,877
5,743
Cash
2,044
2,452
Total loans and receivables measured at
amortized cost
5,921
8,195
0
0
Group
Parent
2023
2022
2023
2022
USD’000
USD’000
USD’000
USD’000
Financial liabilities measured at amor-
tized cost
Bank debt
1,645
2,195
0
0
Lease liabilities, current and non-current
87
345
0
0
Trade payables
2,744
3,910
0
0
Payables to group enterprises
0
2,671
8,640
7,314
Total financial liabilities measured at
amortized cost
4,476
9,121
8,640
7,314
Since the Group’s financial instruments measured at amortized cost are either short-term and/or exposed to float-
ing interest rates, Management has assessed that their carrying amount approximates the fair value.
Global Scanning A/S
43
Notes
21. Share capital and reserves
Share capital with nominal value USD 171.378 is distributed in 978,588 shares in shares in Class A and 1 share
in Class B with a domination of USD 0.18. All shares are fully paid.
Class A
Class B
Class B
Class C
shares
Shares - new
Shares - old
shares
Total
Opening balance of 1
January 2023
978,588 0 0 0 978,588
Closing balance as of
31 December 2023
978,588 0 0 0 978,588
Class A
Class B
Class B
Class C
shares
Shares - new
Shares - old
shares
Total
Opening balance of 1
January 2022
978,588 0 0 0 978,588
Closing balance as of
31 December 2022
978,588 0 0 0 978,588
As per December 31 2023 the proposed dividend right amounts to USD 0 (2022: USD 2.953 thousand), which
is USD 0 per share (2022: USD 3.02 per share).
In 2023 the parent company paid dividend of USD 0 (2022: USD 510 thousand), which is USD 0 per share
(2022: USD 1.92 per share).
Capital management
The Group manages its capital to ensure that it will be able to continue as “going-concern” while maximizing
the return to shareholders through the optimization of the debt and equity balances. The capital structure of the
Group consists of net debt and equity. Management reviews the capital structure continually to consider if the
current capital structure is in accordance with the Group's and shareholders’ interests.
Global Scanning A/S
44
Notes
22. Financial risk - management objectives and policies
The Group's principal financial instruments comprise bank loans, bond debt, overdraft and cash. The main pur-
pose of these financial instruments is to raise finance for the Group's operations. The Group has various other
financial assets and liabilities such as trade receivables and trade payables, which arise directly from its opera-
tions.
Foreign currency risk is described in note 19.
The Group´s financial aims are to ensure adequate funds to cover the Group´s operations and to comply with the
demands from the owners and agreed-upon terms of the loans.
Credit risk
The Group trades only with recognised, creditworthy third parties. It is the Group's policy that all customers who
wish to trade on credit terms are subject to credit verification procedures and insured through a credit insurance
company. In addition, receivable balances are monitored on an ongoing basis with the result that the Group's
exposure to bad debts is not significant. Credit risk arising from the other financial assets of the Group, which
primarily comprise cash and trade receivables, the Group´s exposure arises from default of the counterparty,
with a maximum exposure equal to the carrying amount of these instruments.
The credit risks of the Group are considered to be low.
Interest rate risk
The Group's exposure to the risk of changes in market interest rates relates primarily to the Group's bank loans
with variable interest rates. At December 31 2023 the Group has a bank debt of USD 1.645 thousand (2022:
USD 2.195thousand) which normally is use of bank overdrafts at a interest rate of 7,25%. At December 31 2023
the Group debt on loans is USD 0 thousand (2022: USD 2,671 thousand) at an interest rate range of 10 - 24 %
(2022: 10-24%).
Liquidity risk
The Group monitors its risk of a shortage of funds using a recurring liquidity planning tool. The Group´s objec-
tive is to maintain a balance between continuity of funding and flexibility through the use of bank overdrafts,
bank loans, capital increases etc. The Group´s policy is to maintain a balanced relation between its short-term
and long-term debt.
The Group’s bank debt consists of a USD 0,9m (DKK 6m) overdraft facility in Denmark and USD 1,4m (RMB
10m) of short-term bank loans in China. The facility in Denmark is up for renewal in August 2024 and it is the
assessment of management that the overdraft facilities will be renewed, as management has no indications of
Global Scanning A/S
45
Notes
22. Financial risk - management objectives and policies (continued)
otherwise and the proces and timing for renewal is similar to previous years. The short-term bank loans in China
comprise of two loans of USD 1,4m (RMB 10.0m). The loans was repaid August 2023 and new loans of USD
0,6m (RMB 4.0m) and USD 0,8m (RMB 6.0m) was obtained in August 2023. It is the assessment of management
that the loans will be renewed again in August 2024, as management has no indications of otherwise and the
proces and timing for renewal is similar to previous years.
Management has assessed that the cash available and unused credit facilities are sufficient to cover the Group’s
obligations and planned investments as they fall due for a period of at least 12 months from 31 December 2023.
The table below summarises the maturity profile of the Group´s financial liabilities based on contractual undis-
counted payments:
2023:
Less than 1 year
1-2 years
Over 2 years
Total
Bank debt
1,645
0
0
1,645
Lease liabilities
22
22
44
88
Trade payables
2,744
0
0
2,744
Total
4,411
22
44
4,477
2022:
Less than 1 year
1-2 years
Over 2 years
Total
Intra-grop loans
2,671
0
0
2,671
Bank debt
2,195
0
0
2,195
Lease liabilities
288
56
0
344
Trade and other payables
5,393
155
311
5,859
Total
10,547
211
311
11,069
The table below summarises the maturity profile of the Parent´s financial liabilities based on contractual undis-
counted payments:
2023:
Less than 1 year
1-2 years
Over 2 years
Total
Trade and other payables
43
0
0
43
Total
43
0
0
43
2022:
Less than 1 year
1-2 years
Over 2 years
Total
Intra-grop loans
2,671
0
0
2,671
Trade and other payables
101
0
0
101
Total
2,772
0
0
2,772
Global Scanning A/S
46
Notes
23. Related party transactions
Group
Related parties with material interest include the Board of Directors and Executive Board of the Company and
key employees and their related family members. Futhermore related parties include companies in which the
aforementioned persons have a material interest. Refer to note 5.2.
Parent
The company is controlled by Skandinaviska Kreditfonden AB, Sweden, which owns 75% of the share capital.
Transactions with related parties:
Group
Parent
2023
2022
2023
2022
USD’000
USD’000
USD’000
USD’000
Financial income and expenses
Interest expense from Global Scanning
Denmark A/S
0
0
171
171
Executive Management
Remuneration and salaries to the Execu-
tive Management
174
163
0
0
Defined contribution plans to the Execu-
tive Management
21
16
0
0
Board of Directors
Board fee
14
63
0
31
Intercompany balances 31/12
Debt to the ultimate parent
0
2,671
0
0
Debt to subsidiaries
0
0
8,640
7,314
24. Subsequent events
No events have occurred after the balance sheet date to this date, which would influence the evalua-tion of
this annual report.