Annual Report 2023
CVR: 39703416
1
Annual Report 2023
Table of Contents
Management’s Review
Introduction
4 Ennogie Solar Group
5 Chairman's Report
6 Key Events of 2023
Corporate Governance and Shareholder Information
9 Board of Directors
10 Executive Management
12 Risk Management
13 Shareholder Information
Corporate Social Responsibility
15 Corporate Social Responsibility
Financial Performance
17 Market Conditions
18 Financial Overview
21 Financial Outlook
22 Key financial indicators
Financial Statements
23 Consolidated Financial Statements
45 Parent Company Financial Statements
54 Management's Statement
55 Independent Auditor’s report
2
Annual Report 2023
Introduction
3
Annual Report 2023
Ennogie Solar Group
traditional roof and serving as the outer climate shell of the building. The solar roof transforms a previously
unproductive roof into a productive asset that generates sustainable, self-produced electricity. Providing access
to a significant degree of self-sufficiency and some level of energy security, the solar roof has a short payback
period on the additional investment and provides customers with stability and predictability in their energy
costs.
Ennogie is an agile company with a scalable business model. The production of Ennogie's solar roofs does not
require complex facilities and large investments and can therefore be quickly increased in line with demand. The
business entails clear economies of scale in procurement,production, as well as sales and administration.
Ennogie's solar roofs generate renewable energy right where it is needed, reducing dependence on non-
renewable sources and lowering energy costs. This decentralized approach means that energy is generated
closer to where it is used, reducing transmission losses and creating a cleaner and more efficient energy system.
Solar panels are a well-established technology, with technological and economic maturity, where the cells
constitute a robust and proven energy source and a cost-effective alternative to traditional energy production.
Solar technology continues to evolve, resulting in increased energy intensity over time, lower costs per produced
kWh, and thus a more profitable solar roof.
Global climate change poses one of the greatest societal challenges of our time, requiring a rethink and
restructuring of the entire global energy supply towards sustainable production methods. The task is enormous
and will require a lot of time and resources. Ennogie's solar roof represents a robust, accessible, and
aesthetically pleasing contribution to this. The green transition means that Ennogie is looking into a market with
significant,structural, and long-term growth.
However, Ennogie is not alone in producing building-integrated solar roofs, as there are several competitors, and
we welcome that. The market potential for roof replacements and installations is very large, and there is room
for many types of solar roofs in the market. In addition to continuously improving our product and market,
competitors help create the necessary awareness of the many benefits of solar roofs and thereby expand the
share of solar roofs in the green transition.
4
Employees
44
170
New orders
61%
Revenue growth
25.5m
New liquidity
98.7m
Revenue
47.330 m
2
Total installation
2023 highlights
Pioneering growth and navigating challenges
Ennogie Solar Group has achieved an extraordinary feat, catapulting its revenue from DKK 15 million to an impressive DKK
100 million in just three years. This meteoric rise is a testament to the company's strategic acumen and adaptability in the
dynamic solar roof industry. The foundation of this success lies in Ennogie's foresight, recognizing the growth potential at
the intersection of the renewable energy sector and the construction industry.
A remarkable year
Revenue grew by 61% in 2023 from DKK 61 million in 2022 to DKK 99 million in 2023. The growth was based on a DKK 60
million order backlog at the start of 2023 built on significant increases in energy prices starting in 2021 and acceleration
following the outbreak of war in Ukraine in February 2022.
At the heart of this growth lies Ennogie's visionary operational change process. Ennogie’s leadership, committed to
innovation and efficiency, implemented a series of transformative measures that propelled Ennogie into a leading position
within the solarroof industry. From streamlining internal processes to optimizing supply chain logistics, every aspect of the
company underwent meticulous refinement to facilitate rapid and sustainable growth. This fine-tuning of operations,
resulted in a 77% increase in gross profit to DKK 27 million.
EBITDA improved DKK 5 million compared to 2022 with a result of DKK -3 million. This is in line with the expectations
published in the interim financial report for Q2 2023. Similarly, revenue is also in line with the expectations published in
the interim financial report for Q2 2023 and the initial expectations published in the interim financial report for Q3 2022.
Temporarily challenged market
Ennogie faces a temporary downturn in the market attributed to external factors. The recent upswing in interest rates and
soaring inflation on building materials has resulting in shrinking construction markets and has introduced a degree of
uncertainty into the market. Similarly has demand been affected by the normalization of energy prices. Adding to the
complexity, Ennogie's home market of Denmark is grappling with the ramifications of recent regulations imposed by
lawmakers. These changes have disrupted the stability of the solar industry in Denmark, contributing to a current
downturn in order uptake in Denmark.
Despite these challenges, Ennogie remains steadfast in its commitment to navigating through the storm, leveraging its
operational agility to overcome obstacles and emerge stronger on the other side.
Focus on igniting growth
In addition to using operational agility as response to the temporary market challenges, Ennogie has taken a number of
actions in order to ignite growth.
Recognizing the need for strategic realignment, Ennogie is actively transforming its quotation pipeline. Shifting focus from
a predominantly B2C approach, Ennogie is intensifying efforts in the B2B sector, targeting real estate developers and
housing associations. This strategic shift not only aims to counter the present challenges but positions Ennogie for
sustained success in a rapidly evolving market.
Looking forward, Ennogie capitalizes on the low point in the construction industry to explore new markets. Recognizing
the global demand for sustainable solutions, Ennogie evaluates opportunities for expansion in countries where solar roof
adoption is in its early stages but prioritized on the political agenda. Leveraging expertise and experience, Ennogie
establishes a presence in these untapped markets, creating new revenue streams and prosperity. As part of its growth
strategy, Ennogie is now venturing into new international markets, including France and Poland, along with expanding its
footprint in Austria and Switzerland. This expansion is seen as a logical extension of the company's thriving activities in
Germany, providing diversification and resilience against market fluctuations.
In tandem with geographical expansion, Ennogie invests in ongoing research and development efforts, ensuring its
products remain at the forefront of innovation, among others the project with Danfoss and DTI supported by ELFORSK is a
testament to that.
Moreover, in September 2023 Ennogie launched its new integrated solar system for installation in the roof named Sun
Spot. This elegant solar system is designed to integrate perfectly into the roof and create a modern and sophisticated look.
Sun Spot allows customers to choose from a limited number of standard configurations that perfectly match the home's
style and energy needs. This not only improves energy efficiency, but also reduces costs, benefiting both customers and
Ennogie.
In March 2024 Ennogie'ssolar roof received, as the first product, the newly introduced "Innovative Material Guarantee" of
the ZVDH, which is the main association of the German roofers' associations. ZVDH has introduced this new material
guarantee to give German roofers the security to use new innovative products in their work, especially in solar energy. For
Ennogie, this means access to the large market for roofers in Germany, where both the full roof solution and Sun Spot are
brought into play.
In continuation of the "Innovative Material Guarantee", Ennogie has entered into an agreement with Dachdecker-Einkauf
covering initially three German regions totaling 6,500 roofing companies. The entire Dachdecker-Einkaufhas collected
purchases for 13,500 roofing companies. The agreement gives a much greater exposure, especially in the private sector.
Finally, Ennogie's commitment to sustainability is evident through its Environmental Product Declaration (EPD), now
registered in both Germany and Denmark. This clearly states that Ennogie's solar roof products and energy solutions are
the perfect choice for environmentally and financially conscious homeowners and businesses. This aligns with the
company's vision of offering customers not just a roof but a sustainable future.
Ennogie's ability to navigate a declining 2023 and 2024 construction market, and explore
New opportunities underscores the transformative power of innovation, strategic thinking,
And a steadfast commitment to creating a positive impact on the planet and stakeholders.
Henrik Golman Lunde, Chairman of the Board
Annual Report 2023
Chairman's Report
5
Annual Report 2023
Important Events in 2023
6
March
July
April
Ennogie is awarded the
Architecture + Construction Innovation Award
Ennogie and Norlys signs a cooperation agreement regarding future
collaboration on offers to Danish housing associations
Maj
June
Ennogie included as one of the "55 energy solutions” ready for market by
the European Enterprise Network
Annual Report 2023
Important Events in 2023
7
September
Leif Arnbjerg announced as new Group-CFO
November
Ennogie uptains IEC certification for solar panels
October
Ennogie wins pilot project in sustainable buildings in
Berlin
September
Ennogie wins project with Housing Association GBG Mannheim
November
Ennogie customer Haus Hoinka wins
Architects' Darling Award 2023 SILBER
Ennogie and consortium awarded grant along to increase sector
coupling
December
Annual Report 2023
Corporate Governance
and Shareholder
Information
8
Annual Report 2023
Board of Directors
9
Henrik
Golman Lunde
Peter Ott
Silke Weiss
Klaus Lorentzen
Male. Born 1966. Danish
Male. Born 1961. Danish
Female
. Born 1980. German
Male. Born 1964. Danish
CEO KUBO Robotics ApS
Professional board member
CSO DACH+BLX & Global Systems at Knauf Insulation
GmbH
SVP Products at VELUX A/S
COB at Ennogie Solar Group in 2023. Board member at
Ennogie Solar Group A/S since 2022. Board member at
Ennogie ApS since 2014 and COB since 2018. Board
member at Porteføljeselskab A/S since 2022.
Board member at Ennogie Solar Group A/S since 2019 and COB from 2019-
2022. Board member at Ennogie
ApS since 2022. COB of
Porteføljeselskab
A/S since 2019.
Board member at Ennogie Solar Group A/S since 2022
Board member at Ennogie Solar Group A/S since 2022.
Board member at Ennogie ApS since 2018. Board
member at Porteføljeselskab A/S since 2022.
Owns 316,605 shares in Ennogie Solar Group.
Owns
21,479 aktier in Ennogie Solar Group A/S.
Owns 150 shares in Ennogie Solar Group A/S
Owns 184,629 shares in Ennogie Solar Group A/S.
Independent board member
Independent board member
Independent board member
Independent board member
Skills
Skills
Skills
Skills
Growth leadership, international business
development, and experience from the solar industry.
Value creation, business development, and leadership
International sales and marketing management,
intercultural team leadership, and strategy
development within energy efficiency.
Global supply chains, product development, and
international experience from the construction industry.
Other management positions
Other management positions
Other management positions
Other management positions
COB: Strategic Investments A/S, AG
-informatik A/S
Board
member: Strategic Vækstaktier A/S, Stategic
Europæiske Aktier A/S,
Strategic Danske Aktier Select A/S, Strategic HY Obligationer A/S,
Fondsmæglerselskabet Strategic
Wealth Management A/S, Strategic
Administration
ApS, Nexcom A/S
Treasurer and board member at the European
Industrial Insulation Foundation (EiiF)
Annual Report 2023
Executive Management
10
Lars Brøndum Petersen
Leif Arnbjerg
Martin Woldby Papsø
Male. Born 1982. Danish
Male. Born 1969. Danish
Male. Born 1979. Danish
CEO since 2022, CEO in Ennogie ApS since 2019
CFO since 2023
COO since 2022
Indirectly holding 4,137,497 shares in Ennogie Solar Group through a
company he controls
Own no shares in Ennogie Solar Group A/S.
Own no shares in Ennogie Solar Group A/S.
Background
Background
Background
2009
- 2019 Co-founder/CSO in Ennogie ApS
2022
-2023: CFO Planet Huse A/S
2017
-2022 General Manager Kina - Jupiter Bach A/S
2009
- 2022 Co-founder/CEO in Retap ApS
2013
-2022: Brand CFO Jack & Jones / Selected - Bestseller
2014
-2017 Buying Director - Bach Composite Industry A/S
2016
- 2019 CEO Fundingbox Nordic ApS
2011
-2013: CFO Green Team Group A/S / CEO Mailand A/S
2004
-2013 Different jobs within Supply Chain - Vestas A/S
Education
Education
Education
Business Development Engineer, Aarhus University
Certified
Public Accountant
Executive MBA, IMD
Graduate
Diploma in Business Administration
Business Development Engineer, Aarhus University
Ennogie's Board of Directors and management adhere to the latest recommendations for good corporate governance
developed by the Committee on Corporate Governance. Generally, Ennogie follows the committee's
recommendations, but due to the Group's limited size, its activities, and organization, the board has chosen wholly or
partially to deviate from the committee's recommendations in the following areas:
• It is recommended that the company has a fixed contingency procedure in the event of takeover attempts.
• It is recommended that the company has a policy for social responsibility and tax policy.
• It is recommended to appoint a vice-chairman for the board.
• It is recommended to publish the terms of reference for the management committees on the website.
• It is recommended that members of the board are not remunerated in the form of stock and subscription options.
• It is recommended that the company establishes a whistleblowerscheme.
Reference is made to the management's comprehensive reporting on the recommendations, which can be found.
Ennogie's Board of Directors is responsible for the overall management of the company, including establishing the
company's goals and strategies, risk management, compliance guidelines, communication policies, and dialogue with
shareholders,as well as all matters related to mergers, acquisitions, and similar transactions.
The overall guidelines for the board's work are established in a code of conduct, which includes procedures for
organizing, summoning, and conducting board meetings. The division of responsibilities between the Board of
Directors and the daily management, as well as the board's framework for the daily management's work and
requirements for ongoing reporting, are outlined in a separate directive for the executive management.
According to the articles of association, the company's board must consist of 3 to 7 members.
After the annual general meeting in 2023 Henrik Lunde was chosen as the chairman by the board. The chairman leads
the board's work, convenes and organizes board meetings. The board conducts an annual evaluation of its work,
composition, and the individual members' contributions to ensure the best leadership, effective decision-making
processes, and the optimal foundation for the group's further development. In September 2023, the Board of
Directors was reduced from five to four members – 1 female and 3 male.
The Board of Directors also evaluates the executive management's work and results, as well as the collaboration
between the board and the management, on an annual basis.
In November 2022, the board chose to establish a separate audit committee consisting of three members of the
board. Four meetings of the new audit committee were held in 2023. Klaus Lorentzen was elected to the audit
committee at the board meeting in November 2023. No meetings have been held since Klaus was elected. Other
management committees in the company, such as the nominating committee and remuneration committee, are
composed of the entire board. Topics and decisions within these committees are addressed at the company's board
meetings.
The attendance at all board and committee meetings in 2023 was 92%.
Information according to Danish Financial Statemens Act section 99b(1) is shown on page 22, under the headline CSR.
Risks related to the financial reporting process
The key risks related to the financial reporting process are identified and managed by the group's audit committee,
where committee members, in collaboration with the company's CFO, discuss risks and internal controls. As the
company's activities evolve, there is an ongoing reassessment of the risks of errors in the financial statements and
the risk of fraud, along with discussionson how these risks are addressed and minimized.
Due to the size of the company, the implemented internal controls are mainly of a manual nature; however, there is
an ongoing rollout of more automated controls through the group’s implementation of a new ERP systems.
Annual Report 2023
Business Management
11
Attendance at board and committee meetings in 2023
Board
Audit commitee
Henrik Lunde COB • • • • • • Member • • • •
Peter Ott Member • • • • • • Chair • • • •
Klaus Lorentzen Member • • • • • • Member
Silke Weiss Member • • • •
Attendance rate
Meetings
Meetings
100%
92%
The Board of Directors of Ennogie continuously assesses the group's risk management process to ensure that the risk
profile, risk processes, and risk awareness are at an appropriate level. Effective risk management helps ensure that
the risks undertaken by the company are consistentlyevaluated and addressed.
Risk management process
Risk management at Ennogie occurs at both strategic and operational levels. The Board of Directors has the overall
responsibility for the group’s risk management and sets the framework for it. The executive management is
responsible for implementing the systems and policies in relation to risk management and internal controls, with
input from the Board of Directors.
The group's main risks and preventive measures to address the risk are highlighted in the following. For financial
risks, reference is made to note 21 in the consolidated financial statements, where these are described in more
detail.
Market conditions
The demand for Ennogie's products is exposed to three primary external market conditions: electricity prices, interest
rates, and access to as well as the cost of labor. All three factors have correlated effects on the group's ability to
execute on operations and growth.
To create a more robust development in demand, Ennogie is working to increase the share of B2B sales, as customers
within this segment are more inclined to make long-term investments and are less affected by developments in the
previously mentioned market conditions.
Access to raw materials
Ennogie purchases several of its raw materials on the international market, which is exposed by the changes in
geopolitical conditions and challenges in the supply chains. Lack of access to consumables for an extended period can
impact the company's ability to fulfill its commitments to customers.
The management continually monitors the market to identify potential suppliers of consumables, thereby minimizing
the risk of being without the necessaryraw materials.
Key employees
Employees are one of the group’s most important resource, and due to Ennogie's size, there is a significant
dependence on key individuals in the company.
Ennogie focuses on providing employees with a good and healthy workplace, emphasizing social and professional
well-being. As part of the ongoing development and retention of key and critical skills, the allocation of stock options
is included in the compensation package for employees who meet the criteria for allocation. Stock options typically
vest over a period of 3 years, motivating employees to stay with the company.
IT and system usage
Ennogie's daily business significantly relies on the group’s IT systems. Disruptions in the IT system, due to internal or
external events, including cyber-attacks, can have significant impact for the group’s operations and business control.
The group’s focus is to adapt the IT security area to the threat landscape, including keeping the system landscape
updated and enhancing employees' skills and awareness of IT security. Another focus area is to reduce the number of
systems used by standardizingand harmonizing across the group's companies.
Insurance covers all significantand insurable risks to the extent deemed appropriate.
Compliance
Regulation from authorities in areas such as sustainability, environment, personal data, competition, taxation, and
listed companies is increasing.
If the group is not compliant with relevant legislation - internally within the group or by some of the group's suppliers
and partners - the group risks different sanctions and/or a negative impact on the company's reputation.
The group uses external advisors to be updated on the various applicable legislation related to the group.
Additionally, there is ongoing work to improve and strengthen collaboration agreements with the group's key
partners, including efforts to ensure transparencyin working conditions and compliance with human rights.
Cost of components
Ennogie has identified several factors that can effect the cost of components.
Commodity prices, Technological changes and regulatory/political changes are all areas where the development in
pricing have an important impact. To address these risks, Ennogie has implemented a range of strategies, including:
Supplier diversification. Ennogie aims for dual sourcing to reduce our risk of exposure to price fluctuations from a
single supplier.
Market monitoring. Ennogie continuously monitor the market for commodities and technological changes to adapt
our sourcingstrategy accordingly.
Contract management. Ennogie have signed contractswith key suppliers to mitigate risks.
Annual Report 2023
Risk Management
12
Share price performance
Ennogie Solar Group A/S opened the year with a share price of DKK 29,80 and closed the year with a share price of
DKK 16,40, representing a decrease of 45%. By the end of 2023, the market value of the company was DKK 514
million.
Composition of Shareholders As of 31 December, 2023, Ennogie Solar Group A/S had 2,903 registered shareholders,
compared to 2,829 as of 31 December, 2022. The majority of the registered shareholders are Danish investors,
constituting92% of the total number of registered shareholders.
Major shareholders with more than 5% ownership as of 31 December, 2023 are:
Investor relations
Ennogie aims to have relevant, accurate, and timely communication of financial information as well as other
significant information about the group. The group emphasizes that all market-influencing information is disclosed in
a systematic and comprehensive manner in accordance with the group’s policy and applicable regulations.
The purpose of the company's Investor Relations (IR) activities is to ensure that current and potential investors, as
well as other relevant stakeholders, have equal access to comprehensive, objective, and reliable information about
all significant and market-influencing matters. Additionally, the aim is to contribute to ensuring that market prices for
the company's shares reflect the fundamental value of the shares.
Ennogie aims for reliability, transparency, and accessibility and will continually work to enhance the level of
information and communication with investors.
The company seeks to make its general meetings an active forum for dialogue and discussion with the company's
owners regarding the company's affairs and its ongoing development.
IR-activity
- Financial reports, including quarterly interim reports.
- Announcement of significantnew orders in accordancewith the company's principles for order disclosure.
- An informative investor relations website serving as a comprehensive resource for all significant investor-related
information from the company.
- Ongoing participation in investor meetings and presentations.
- Accessibility for investor inquiries, with contact informationavailable on the website.
- Support for liquidity, spread, and trading in the company's shares through the company's market maker
arrangement with ABG Sundal Collier Denmark.
Annual Report 2023
Shareholder information
13
Share information
Stock Nasdaq Copenhagen
ISIN code DK0010305077
Ticker symbol ESG
No. of shares 31.359.652
Nom. value per share DKK 1 per share
Share Capital 31.359.652
Votes 1 vote per share
Major shareholders
Strategic Capital ApS >10%
Trailblaze A/S >10%
Nordic Sports Management ApS >10%
Strategic Investment A/S >5%
Kristian Harley Lindholm >5%
Financial calendar 2024
Annual report 2023 2nd April 2024
Annual General Meeting 26 April 2024
Q1 2024 interim report 23 May 2024
Q2 2024 interim report 30 August 2024
Q3 2024 interim report 26 November 2024
Annual Report 2023
Corporate Social
Responsibility
14
Annual Report 2023
15
Annual Report 2023
Financial
Performance
16
The global climate agenda, focusing on green energy and sustainability, is a significant driving force behind the
interest in the Ennogie’s products and solutions. This interest is further supported by the coming implementation
of the EU Solar Standard.
EU reached a huge milestone to accelerate solar deployment by agreeing to a deal on the EU Solar
Standard. Across all EU countries, it will require solar installations on all new public and commercial buildings by
2026, on all new residential buildings by 2029, on non-residential buildings that undergo a relevant renovation by
2027, and on all existing public buildings in a stepwise approach by 2030.
On top of boosting solar deployment across all building segments, the measure will strengthenthe efficient
integration of PV installations into construction processes. For example, roof constructions will soon always be
combined with solar installations, reducing costs and increase the outcome of the limited existing workforce as
efficiently as possible. This is smart and a significant step into a future where having rooftop solar is self-evident.
Ennogie's solar roof is a sustainable energy supply that involves the customer's electricity consumption primarily
based on green and self-produced electricity. With increasing energy prices, there is a very strong profitability in
Ennogie's solar roof for the end consumers, which, besides savings, provides security in terms of economic
stability and predictability, as well as through self-sufficiency and supply security.
Like others, Ennogie also experienced fluctuations in 2023. The price of solar panels, transportation, and other
costs fluctuated significantly starting in the second half of 2022 and decreasing in the second half of 2023.
Therefore, Ennogie has continuously adjusted sales prices and worked on implementing adjustment mechanisms
in offers and contracts to adapt to market conditions.
The construction sector is generally challenged by rising costs and interest rates, which dampens new
construction and renovation works. However, an increasing focus on sustainable solutions, increased awareness
of the possibilities and benefits of Ennogie's solar roofs ensure continued high activity in quotation and a
moderate decline in order intake from 2022 to 2023 in Germany, from DKK 68 million to DKK 60 million, and a
more significant decline in Denmark from DKK 32 million to DKK 12 million.
This is caused by the increased interest rates and lower electricity prices, which have a substantial impact on the
business case for the end customer. Further, a renewed Danish energy supply law, where electricity sharing
between buildings on the same plot has been prohibited, has had significant negative impact on the order intake
in Denmark.
Annual Report 2023
Market Conditions
17
While Ennogie's business in the startup phase primarily consisted of sales to individual residential houses (B2C), Ennogie has
actively worked to expand sales of larger installations (B2B). The focus here remains primarily on residential units in the form of
housing cooperatives, multi-family housing, cluster houses, and the developers building in the segments. Ennogie is on-track with
the focus shift as the quotation value in B2B increased by 44% from 2022. The quotation B2C/B2B ratio in value across the group
went from 50/50 to 35/65 from 2022 to 2023. With an overall increase in quotation value of 12.5 %.
The total order intake for the year amounted to DKK 72 million compared to DKK 100 million in 2022, representing a decline of 28%
- the difference equals Kokoni One and the two Plushusene projects, along with a general drop in the DK B2C market of DKK 10
million. At the end of 2023, the order backlog amounted to DKK 27 million. The roof top solar market is seasonal, with increasing
market activity at the end of Q1, when the number of sunshine hours increases and construction starts taking off, thereby
increasing the potential and interest in solar energy production.
Germany
Ennogie has invested in expanding its presence in Germany through participation in trade fairs and hiring more salespeople.
Germany is an attractive market not only because of the country's size but also because of a strong focus on green energy and
sustainability, as well as because regulatory and climatic conditions ensure good conditions for expanding green energy and energy
renovation. As of 1 January, 2023, Germany has introduced a zero VAT rate on the purchase of solar panel systems with a capacity
of up to 30 kW.
Ennogie has a strong focus on leveraging the market potential in Germany and expects the German market to remain the
company's largest single market in the coming years. In Germany, Ennogie has an independent sales and delivery organization,
while the products are sourced through the Danish setup.
In Germany, B2C represents the most significant part of the business, but there is ongoing investments in increasing the B2B share
of sales with a significant increase in quotation value, increasing by 132% from 2022, as a result. The German quotation B2C/B2B
ratio in value has gone from 81/19 to 61/39, with an overall increase in quotation value of 14%.
Denmark
In 2023, there was a significant drop in order intake within B2C compared to 2022. In addition, Ennogie also experienced a lower
order intake within B2B with several major projects having decisions pushed into 2024. Still, large residential projects with a green
and sustainable profile are an area that holds great opportunities for Ennogie.
The interest for Ennogie’s products is still increasing, primarily driven by offers to housing associations and property developers,
which is in line with expectations from the increased efforts towards these segments. The quotation value in B2B increased by 24%
from 2022.
The Danish B2C/B2B ratio quotation value went from 16/84 to 7/93 from 2022 to 2023, With an overall increase in quotation value
of 12%.
Annual Report 2023
Market Conditions
18
Revenue
The group's revenue in 2023 amounted to DKK 98.8 million compared to DKK 61.1 million in 2022 and DKK 15.7
million in 2021, representing an increase of 61% on top of a growth of 288% in 2022. The revenue was realized in
accordance with the company's latest published expectations of revenue between DKK 95 million and 105 million.
The revenue growth is a result of increasing order intake in 2022 and driven by Ennogie's success in expanding
production and assembly capacity, in 2023. Revenue can vary from quarter to quarter based on the timing of large
individual orders.
In the last half of 2023 Ennogie faced challenging market conditions. Heavily increased interest rates combined with a
soaring inflation on building materials resulted in a degree of uncertainty in the market.
In 2023, 74% of the group's revenue was generated from the German market, compared to 60% in 2022. The
continuing growth in Germany reflects the company's strategy and ongoing investments in the German market.
Gross Profit
Gross profit amounted to DKK 27.2 million in 2023 (2022: DKK 15.4 million), resulting in a gross margin of 27.6%
(2022: 25.2%). The margin in 2023 was negatively impacted by additional costs incurred due to rapid growth and
contracts signed with an expected lower cost prices of raw material. In second half of 2023 however, the margin
increases as new contracts have been delivered with updated calculations. In Q4 2023 Ennogie realized the best
gross profit at DKK 8.7 million (29.4%).
EBITDA
EBITDA was DKK -2.7 million compared to DKK -7.9 million in 2022. EBITDA for 2023 was influenced by ongoing
investments in workforce and capacity, particularly in Germany. Extra mounting capacity creates demands for
investments in transportation and equipment. EBITDA was realized within the latest published expectations of
EBITDA between a negative of DKK 4 million and 2 million. The EDITDA in Q4 2023 amounts to DKK 1.7 million.
Revenue broken down by quarter (DKKm)
Revenue broken down by marked
100% = DKK 98.7m 100% = DKK 61.1m
Annual Report 2023
Financial Overview
19
2,9
4,3
2,4
6,2
11,0
10,8
13,3
26,0
22,0
22,5
24,6
29,6
Q1-21 Q2-21 Q3-21 Q4-21 Q1-22 Q2-22 Q3-22 Q4-22 Q1-23 Q2-23 Q3-23 Q4-23
40%
Denmark
60%
Germany
26%
Denmark
74%
Germany
2023
2022
Working capital
Working capital amounted to DKK 16.3 million at the end of 2023 compared to DKK 7.0 million end of 2022. This
development can largely be attributed to a heightened activity level, which is reflected in an inventory balance that
was DKK 3.7 million higher at the end of 2023 compared to end 2022, contract assets that are 7.6 million higher in
2023 compared to 2022. The increased capital allocation to inventories and contract assets combined with a drop in
account receivables, prepayments and other liabilities, raises the working capital by 9.5 million.
Cash flow
The group's net cash flow in 2023 were DKK 1.9 million, compared to DKK 1.1 million in 2022. Due to the significant
growth of the group, substantial funds have been tied up in working capital in 2023, with inventories and contract
assets particularly increasing by the end of 2023. This is partially offset by an increase in trade payables. Net working
capital increased by DKK 9.3 million in 2023, resulting, along with the negative profit before financial items, in cash
flows from operating activities of DKK -12.0 million (2022: DKK -17.1 million).
Cash flow from investing activities amounted to negative of DKK 7.7 million in 2023 (2022: a negative of DKK 4.7
million), primarily consisting of investments in development projects and fixed assets.
Cash flow from financing activities in 2023 amounted to DKK 23.5 million (2022: DKK 24.3 million), of which DKK 25.2
million came from 2 capital increases whereof one in connection with the exercise of warrants in Ennogie ApS,
subsequently converted into shares in Ennogie Solar Group A/S.
Investment in development projects
Ennogie continued its investment in development projects related to the development of a battery and a smartmeter
solution in 2023. An amount of DKK 3.6 million was invested in 2023 (2022: DKK 2.5 million). For further information
on development projects, please refer to note 11 to the consolidated financial statements.
Equity
The group's equity as of 31 December, 2023, amounted to DKK 29.0 million (2022: DKK 12.0 million). In 2023, capital
of DKK 25.2 million was added in connection with a capital increase and a capital increase in connection of the
exercise of warrants in Ennogie ApS and subsequent conversion into shares in Ennogie Solar Group A/S.
Interest-bearing debt
The group's interest-bearing debt at the end of 31 December, 2023, amounts to DKK 19.0 million (2022: DKK 23.5
million). The development in interest-bearing debt is the result of a normal debt repayment throughout the year.
Working capital at 31 December 2023
Working capital at 31. December 2022
Annual Report 2023
Financial Overview
20
15.643
6.978
4.045
6.765
1.923
Inventories Contract assets Account
receivables
Other receivables
-3.934
Trade payables
-9.910
Prepayments
from customers
-7.553
Other liabilities Working capital
19.306
16.284
11.628
4.520
2.837
Inventories Contract assets Account
receivables
Other receivables
-12.498
Trade payables
-5.580
Prepayments
from customers
-3.929
Other liabilities Working capital
Due to a general decline in the 2024 constructions activities in both Germany and Denmark caused by a rapid rise in
interest rates and inflation of building component costs, Ennogie’s 2024 revenue is expected to decrease from 2023
to DKK 70-90 million. With restrained spending compared to 2023, expectations for the 2024 EBITDA are DKK -5 to 0
million.
Assumptions for 2024 financial outlook
The financial outlook for 2024 is based on a number of assumptions. Management considers the most significant
assumptions to be related to the following:
Order intake is an important parameter for revenue over the next 6-24 months
Ennogie is working to secure a number of large B2B orders that are maturing. Individual orders and their timing,
especially within the B2B segment, can have a significant impact on order intake and consequently revenue.
Changes in market conditions, especially developments in interest rates, electricity prices, and the price of and access
to craftsmen, may also affect Ennogie's 2024 order intake.
Revenue to decrease slightly
Ennogie expects a slightly negative development in the group's revenue in 2024 compared to 2023:
• The new initiative with Dach Decker Einkauf is expected to have a positive impact on the order intake and
deliveries in 2024 as the nature of Dach Decker Einkauf is a much faster quotation to order to delivery process
than housing associations and developers in general.
• In addition, a growing focus on housing associations and developers and a consequently healthy project
pipeline is expected to have significant impact on the 2024 order intake and deliveries.
• The new markets, Poland and France, are not expected to have any significant impact on 2024.
• Revenue from the residential sector will decrease compared to 2023.
The revenue forecast is based on an end 2023 order backlog of DKK 27 million, 2024 year-to-date order intake and a
healthy quotation pipeline.
Ability to scale organization and production
The outlook is based on the group's ability to scale the organization up and down according to the activity level.
Functions involved in processes related to order deliveries are crucial to deliver the expected revenue with the
expected gross margin.
Production capacity was increased in the fourth quarter of 2023, and the outlook is based on Ennogie having the
ability to adjust capacity to a lower level in the first half of 2024.
Annual Report 2023
Financial Outlook
21
Annual Report 2023
Key Financial Indicators
22
Please refer to note 29 to the consolidated financial statements for the definition of KPI’s.
2023 2022
2023 2022 2021 2020 2019
Profit n' Loss, DKK '000
Revenue 98.775 61.116 15.739 16.554 8.631
Gross profit 27.230 15.394 2.569 5.016 3.180
Earnings bef. interest, tax, depreciation and amortisation (EBITDA) (2.740) (7.893) (46.615) (2.527) (3.212)
Earnings before interest and tax (EBIT) (6.164) (10.175) (48.789) (4.795) (4.953)
Financial items net (1.810) (1.543) (448) (389) (494)
Profit / Loss (7.973) (11.705) (49.236) (5.168) (5.437)
Balance, DKK '000
Total assets 73.190 57.258 39.796 20.027 23.481
Equity 29.064 11.925 15.001 3.989 9.157
Working capital 16.284 6.978 (2.969) (3.615) (1.957)
Investment in tangible assets 3.367 829 382 1.830 63
KPI's
Gross margin, % 27,6% 25,2% 16,3% 30,3% 36,8%
EBITDA, % -2,8% -12,9% -296,2% -15,3% -37,2%
Earnings per share, DKK (0,28) (0,43) (2,20) (0,25) (0,29)
Earnings per share, diluted DKK (0,25) (0,38) (1,83) (0,21) (0,28)
Circulating number of shares at the end of the period, 1,000 units 31.360 27.784 26.250 20.625 20.625
2023 2022 2021 2020 2019
CSR
Average full-time employees Number 44 32 21 15 11
Cultural diversity for all employees Number of nationalities 9 9 6 - -
Gender diversity for all employees Percentage of women 23% 24% 16% - -
Gender diversity for group management Percentage of women 0% 33% 0% 0% 0%
Work-related accidents with at least one day of
absence
Number 0 3 0 - -
Annual Report 2023
Consolidated
Financial Statements
23
Annual Report 2023
Consolidated financial statements
24
Primary Statements
Statement of comprehensive income 25
Balance sheet 26
Equity statement 27
Cash flow statement 28
Notes
1. Key accounting accounting estimates and judgements
2. Segment information
3. Revenue / Revenue over time
4. Fees to independent auditor
5. Staff cost
6. Share-based compensation
7. Financial income
8. Financial expenses
9. Taxes
10. Earnings per share
11. Intangible assets
12. Tangible assets
13. Inventories
14. Accounts receivables
15. Treasury shares
16. Provisions
17. Expected contractual cash flows for lease liabilities
18. Expected contractual cash flows for interest-bearing debt
19. Change in debt
20. Accruals
21. Financial risks and financial instruments
22. Contractual obligations and contingent liabilities
23. Pledges and collateral
24. Related parties
25. Company overview
26. Subsequent events
27. Accounting policies
28. IFRS standards
29. Definition of key financial indicators and KPI’s
30. Completion of the inspection performed by the Danish
business authorities
Annual Report 2023
Statement of comprehensive income
25
DKK '000 Note 2023 2022
Revenue 2,3 98.775 61.116
Cost of goods sold (71.545 ) (45.722 )
Gross profit 27.230 15.394
Work performed by the entity and capitalized 2.442 1.500
Other external expenses 4 (13.559 ) (9.197 )
Staff cost 5,6 (20.203 ) (17.623 )
Other operating income 1.350 2.032
Earnings before interest, tax, depreciation and amortization (EBITDA) (2.740 ) (7.893 )
Depreciation, amortization and impairment losses (3.423 ) (2.282 )
Profit/loss before financial items and tax (EBIT) (6.164 ) (10.175 )
Financial income 7 44 0
Financial expenses 8 (1.854 ) (1.543 )
Profit/loss before tax (7.973 ) (11.719 )
Corporation tax for the year 9 0 14
Profit/loss for the year (7.973 ) (11.705 )
Other comprehensive income
Currency adjustment foreign entities (14 ) (2 )
Comprehensive income for the year (7.987 ) (11.708 )
Earnings per share, DKK 10 (0,28 ) (0,43 )
Earnings per share, diluted, DKK 10 (0,25 ) (0,38 )
Annual Report 2023
Balance sheet
26
DKK '000 Note 2023 2022
Intangible assets 11 15.603 13.538
Tangible assets 12 2.626 1.120
Deposits 201 201
Other financial assets 2.629 2.057
Non-current assets 21.060 16.916
Inventories 13 19.306 15.643
Accounts receivable 14 4.520 6.765
Contract assets 3 11.628 4.045
Other receivables 2.165 968
Prepayments 671 955
Receivables 18.985 12.733
Cash & cash equivalents 13.840 11.966
Current assets 52.131 40.342
Total assets 73.190 57.258
DKK '000 Note 2023 2022
Share capital 31.360 27.784
Tresury shares 15 (561 ) (561 )
Currency adjustments (14 ) (2 )
Retained earnings (1.721 ) (15.296 )
Equity 29.064 11.925
Provisions 16 603 440
Lease liabilities 17 1.015 7
Interest-bearing debt 18 14.652 18.524
Prepayments 20 1.895 2.522
Non-current liabilities 18.165 21.494
Current part of non-current interest-bearing debt 18 4.396 3.925
Bank debts 307 479
Lease liabilities 17 1.147 559
Prepayments from customers 3 5.580 9.910
Trade payables 12.498 3.934
Other liabilities 1.392 4.404
Deferred income 20 642 627
Current liabilities 25.961 23.839
Total liabilities 44.126 45.332
Total equity and liabilities 73.190 57.258
Annual Report 2023
Equity Statement
27
DKK '000 Share capital
Treasury
shares
Currency
adjustments
Retained
earnings
Total
Equity at 1 January 2023 27.784 (561 ) (2 ) (15.296 ) 11.925
Result for the year 0 0 0 (7.987 ) (7.987 )
Other comprehensive income 0 0 (14 ) 34 20
Capital increase 3.575 0 0 21.598 25.173
Share-based payments 0 0 0 (67 ) (67 )
Equity at 30 December 2023 31.360 (561 ) (16 ) (1.719 ) 29.064
Share capital
Treasury
shares
Currency
adjustments
Retained
earnings
Total
Equity at 1 January 2022 26.250 (561 ) 0 (10.688 ) 15.001
Result for the year 0 0 0 (11.705 ) (11.705 )
Other comprehensive income 0 0 (2 ) 0 (2 )
Capital increase 1.534 0 0 6.549 8.084
Share-based payments 0 0 0 548 548
Equity at 31 December 2022 27.784 (561 ) (2 ) (15.296 ) 11.925
Annual Report 2023
Cash flow statement
28
DKK '000 2023 2022
Profit / loss for the year (7.987 ) (11.719 )
Depreciation, amortization and impairment 3.423 2.282
Share-based payments (138 ) 548
Changes in provisions 163 188
Operating cash flows before changes in working capital (4.539 ) (8.700 )
- Change in inventories (3.663 ) (5.734 )
- Change in receivables (5.339 ) (7.576 )
- Change in other receivables (913 ) (833 )
- Change in trade payables, etc. 8.564 (568 )
- Change in prepayments from customers (4.331 ) 6.142
- Change in prepayments (627 ) (627 )
- Change in other liabilities (3.012 ) (750 )
Cash flows from operating activities (13.861 ) (18.647 )
Income taxes paid 0 31
Cash flow from operations (13.861 ) (18.615 )
Acquisition of property, plant and equipment (358 ) (214 )
Investment in intangible assets (3.611 ) (2.516 )
Investment in financial assets (572 ) (1.218 )
Cash flows from investments (4.541 ) (3.948 )
Free cash flows (18.402 ) (22.563 )
Proceeds from capital increase 25.490 8.183
Transaction costs charged to equity (215 ) (100 )
Proceeds from borrowings 0 18.000
Repayment of borrowings (3.574 ) (1.847 )
Repayment of leasing liabilities (1.415 ) (612 )
Cash flows from financing activities 20.287 23.624
Net cash flows for the period 1.885 1.060
Cash and cash equivalents at the beginning of the period 11.966 10.908
Exchange rate adjustments on cash (12 ) (2 )
Net cash flows for the period 1.885 1.060
Cash and cash equivalents at the end of the period 13.840 11.966
Annual Report 2023
Notes to the consolidated financial statements
29
Annual Report 2023
30
Notes to the consolidated financial statements
Annual Report 2023
31
Notes to the consolidated financial statements
6. Share-based compensation (continued)
Annual Report 2023
32
1,5
Notes to the consolidated financial statements
Annual Report 2023
33
Notes to the consolidated financial statements
Annual Report 2023
34
15.603
13.538
Notes to the consolidated financial statements
Annual Report 2023
35
Notes to the consolidated financial statements
2.626
562 1.120
Annual Report 2023
36
Notes to the consolidated financial statements
Annual Report 2023
37
Notes to the consolidated financial statements
Annual Report 2023
38
Notes to the consolidated financial statements
Annual Report 2023
39
Notes to the consolidated financial statements
Annual Report 2023
40
Notes to the consolidated financial statements
Annual Report 2023
27. Material accounting Policies (Continued)
41
Notes to the consolidated financial statements
Annual Report 2023
27. Material accounting Policies (Continued)
42
Notes to the consolidated financial statements
Annual Report 2023
27. Material accounting Policies (Continued)
43
Notes to the consolidated financial statements
Annual Report 2023
44
Notes to the consolidated financial statements
Annual Report 2023
Parent Company
Financial Statements
45
Annual Report 2023
Parent company
financial statements
46
Primary Statements
Income Statement 47
Balance Sheet 48
Equity Statement 49
Cash Flow 50
Notes
1. Significant accounting estimates
2. Fees to independent auditor
3. Staff costs
4. Financial income
5. Financial expenses
6. Taxes
7. Subsidiaries
8. Treasury shares
9. Warrants
10. Contingent liabilities and intercompany financial
guarantee contracts
11. Related parties
12. Subsequent events
13. Accounting policies
Annual Report 2023
Income Statement
47
DKK '000 Note 2023 2022
Revenue 346 0
Other external expenses 2 (1.273) (1.190)
Staff cost 3 (698) (871)
Earnings before interest, tax, depreciations and amortization (1.625) (2.061)
Earnings before interes and tax (EBIT) (1.625) (2.061)
Income from investment in subsidiaries (36) (110)
Financial income 4 655 281
Financial expenses 5 (258) (23)
Loss before tax (1.264) (1.913)
Tax for the year 6 0 15
Loss for the year (1.264) (1.898)
Distribution of profit/loss for the year:
Retained earnings (1.264) (1.898)
(1.264) (1.898)
Annual Report 2023
Balance Sheet
48
DKK '000 Note 2023 2022
Investment in subsidiaries 7 309.302 296.120
Receivable from group enterprises 19.857 5.294
Non-current assets 329.160 301.414
Prepayments 58 0
Receivables 58 0
Cash & cash equivalents 902 3.439
Current assets 902 3.439
Total assets 330.120 304.853
Share capital 31.360 27.784
Tresury shares 8 (561) (561)
Retained earnings 296.259 276.063
Equity 327.058 303.287
Debt to group enterprises 988 1.011
Non-current liabilities 988 1.011
Warranty provision 10 927 0
Accounts payable 560 0
Other payables 587 555
Current liabilities 2.074 555
Total liabilities 3.062 1.566
Total equity and liabilities 330.120 304.853
Annual Report 2023
Equity Statement
49
DKK '000
Share capital
Treasury
shares
Retained
earnings
Total
Equity at 1 January 27.784 (561) 276.063 303.287
Loss for the year 0 0 (1.264) (1.264)
Capital increase 3.575 0 21.598 25.173
Share-based payment 0 0 (138) (138)
Equity at 31 December 31.360 (561) 296.259 327.058
Share capital
Treasury
shares
Retained
earnings
Total
Equity at 1 January 26.250 (561) 256.340 282.029
Loss for the year 0 0 (1.898) (1.898)
Capital increase 1.534 0 21.074 22.608
Share-based payment 0 0 548 548
Equity at 31 December 27.784 (561) 276.063 303.287
2023
2022
Annual Report 2023
Cash Flow Statement
50
DKK '000 2023 2022
Operating result (EBIT) (1.625) (2.061)
Share-based payments (150) 450
Operating cash flows before changes in working capital (1.775) (1.611)
- Changes in prepayments (58) 0
- Changes in account payables 560 0
- Changes in other liabilities 33 0
Operating cash flows (1.241) (1.611)
Interests paid/received 398 258
Income taxes paid 0 15
Cash flows from operations (843) (1.338)
Investment in group enterprises (12.280) 0
Intercompany transactions (14.564) 0
Cash flows from investments (26.844) 0
Free cash flows (27.687) (1.338)
Proceeds from capital increase 25.387 0
Transaction costs charged to equity (215) (100)
Transactions on debts to group enterprises (23) 0
Cash flows from financing activities 25.150 (100)
Net cash flows for the period (2.537) (1.438)
Cash and cash equivalents at the beginning of the period 3.439 9.058
Net cash flows for the period (2.537) (1.438)
Cash and cash equivalents at the end of the period 902 3.439
Annual Report 2023
Notes to the parent company financial statements
51
1. Key accounting estimates and judgements
In the preparation of the company’s consolidated financial statements management is required to make judgements, estimates and
assumptions that effect the reported amounts of revenue, expenses, assets and liabilities, the accompanying disclosures, and the
disclosures of contingent liabilities. Uncertainty about these assumptions and estimates could result in outcomes that require a
material adjustment to the carrying amount of assets or liabilities affected in future periods.
The made estimates and the underlying assumptions are continuously reassessed. Changes to made accounting estimates are
recognized in the accounting period in which the change occurs, and in future accounting periods if the change affects both the
current and future accounting periods.
The accounting estimates and assessments that management considers significant for the preparation and understanding of the
consolidated financial statements are described in more detail in the following section.
Please refer to note 13 for further description.
Share-based compensation:
Estimated fair value for share-based payment transactions requires determination of the most appropriate valuation model, which
depend on the terms and conditions of the grant. This estimate also requires determination of the most appropriate inputs to the
valuation model including the expected life of the share option or appreciation right, volatility and dividend yield and making
assumptions about them. The assumptions and models used for estimating fair value for share-based payment transactions are
disclosed in note 6.
Investments
Investments in subsidiaries are measured at cost in the parent company's annual financial statements. If there are indications of
impairment, impairment tests are performed. If the cost exceeds the recoverable amount of the investments, they are impaired to
this amount. We have assessed the value of the investments as of 31 December 2023, including considering any indication of
impairment. The indication of impairment is based on the stock market value of the shares in the subsidiary. As of the end of 2023
they represent a significantly higher value than the acquisition cost, hence no impairment has been recorded during the year.
Tax asset:
The Group has significant unrecognized tax assets, primarily relating to tax loss carryforwards and losses in the Group's Danish
companies.
The deferred tax assets are not recognized as of 31 December 2023, due to uncertainty about future utilization.
2. Fees to independent auditor
DKK '000 2023 2022
Statotury Audit 214 236
Other assurance engagements 16 (306)
Other services 0 6
Total fee to KPMG 230 (64)
3. Staff costs
4. Financial income
5. Financial expenses
6. Tax for the year
7. Subsidiaries
Subsidiaries: Domicile:
Porteføljeselskab A/S Denmark 100%
Ennogie ApS Denmark 100%
See note 25 in the consolidated financial statements for a complete list of the group's subsidiaries.
Annual Report 2023
52
DKK '000 2023 2022
Adjustments regarding previous years 0 15
Tax for the year 0 15
DKK '000 2023 2022
Other financial expenses 258 23
Total financial cost 258 23
DKK '000 2023 2022
Interest income from Group enterprises 655 281
Total financial income 655 281
Notes to the parent company financial statements
DKK '000 2023 2022
Salary 826 421
Share-based compensation (150) 450
Other staff cost 22 0
Total staff cost 698 871
Average number of employees 1 0
Remuneration for group management and board
Salary 486 120
Executive management 486 120
Board remuneration 294 100
Share-based compensation (150) 450
Board remuneration 144 550
Total 630 670
DKK '000
Investment in
subsidiaries
Cost at 1 January
445.001
Additions
13.182
Cost at 31 December
458.183
Write down at 1 January (148.881)
Write down this year
0
Write down at 31 december (148.881)
Carrying amount at 31 December
309.302
DKK '000
Investment in
subsidiaries
Cost at 1 January 422.194
Additions 22.807
Cost at 31 December 445.001
Write down at 1 January (148.771)
Write down this year (110)
Write down at 31 december (148.881)
Carrying amount at 31 December 296.120
2023
2022
Annual Report 2023
53
8. Treasury shares
The holding of treasury shares includes the cost price of treasury shares in Ennogie Solar Group A/S. As of 31 December 2023, the
company's holding of treasury shares consists of 10,453shares (31 December 2022: 10,453 shares).
The market value of the company's holding of treasury shares amounted to DKK 171 thousand as of December 31, 2023 (December
31, 2022: DKK 311 thousand). The shares stem from the period before Ennogie became part of the group, and management is
considering whether the shares should be exchanged for liquidity or used for share-based compensation.
9. Warrants
The company established a warrant program for the group's Board of Directors, key management personnel, and employees in
September 2022. Please refer to group note 7 for information regarding the value of the total program and its breakdown. For
warrants granted to individuals employed in one of the company's subsidiaries, the value of the share-based compensation is
recorded as an increase in the capital shares with a corresponding entry in other reserves in equity.
In addition to the established program from 2022, the subsidiary Ennogie ApS established a warrant program in 2019, for former
shareholders, including the management and Board of Directors, where a total of 60,000 warrants were granted. The granted
warrants could be exercised in whole or in part until December 31, 2023. In 2023, 39,663 of the granted warrants were exercised,
which were immediately exchanged for shares in Ennogie Solar Group A/S at a conversion ratio of 1:75.
For information regarding share-based compensation and an overview of outstanding warrants, please refer to group note 6.
10. Contingent liabilities and intercompany financial guarantee contracts
Ennogie Solar Group A/S has provided joint and several guarantees for loans taken out by its subsidiary Ennogie ApS. As of 31
December 2023, the loan amount is DKK 19,048 thousand. The current value end 2023 of the guarantee amounts to DKK 927,270.
Additionally, the company has provided joint and several guarantees for the subsidiary Porteføljeselskab A/S' obligations to its
primary banking relationship. As of December 31, 2023, Porteføljeselskab A/S has no bank debt. The current value set off as
provision for this guarentee amounts to DKK 0.
Ennogie Solar Group A/S is the administration company in a Danish tax consolidation with its Danish subsidiaries. The consolidated
companies are jointly and severally liable for taxes on the consolidated income of the group and for certain potential withholding
taxes such as dividend tax and royalty tax. The consolidated companies' net obligation to SKAT (Danish Tax Authority) amounts to
DKK 0 as of 31 December 2023. Any subsequent adjustments to the taxable consolidated income or withholding taxes on dividends,
etc., may result in the company's liability amounting to a larger sum.
11. Related parties
Ennogie Solar Group A/S has no related parties with significant influence.
Related parties include the parent company's Board of Directors and management, as they constitute the primary management.
Also included are the close family members of these individuals and companies where this group of people has control.
Related parties also include the company's subsidiaries and their subsidiaries. Please refer to note 27 in the consolidated financial
statements for a list of associated companies.
Transactions with related parties can be specified as follows.
12. Subsequent events
No significant events have occurred after the balance sheet date that are of significance for the consolidated financial statements.
13. Accounting policies
The annual financial statements of the parent company are prepared in accordance with International Financial Reporting
Standards (IFRS) as adopted by the EU and additional requirements of the Danish Financial Statements Act.
The financial statements are presented in DKK '000.
The accounting policies applied are unchanged from 2022, and the description in the note has been clarified.
The parent company applies essentially the same accounting policies for recognition and measurement as the group. Reference is
made to the consolidated financial statements for a description thereof.
Investments in subsidiaries are measured at cost in the parent company's annual financial statements. If there are indications of
impairment, impairment tests are performed. If the cost exceeds the recoverable amount of the investments, they are impaired to
this amount. Dividends from subsidiaries are recognized in the year in which the dividends are declared.
DKK '000 2023 2022 2023 2022
Salary and remuneration 613 670 0 0
Interest, net (-/cost) 0 0 655 281
Receivables/debts to group enterprises, net (-/debts) 0 0 18.870 4.283
Securities and guarantees 0 0 23.377 22.450
Board of directors & Executive
management
Group enterprises
Notes to the parent company financial statements
Annual Report 2023
Executive Management
Board of Directors
54
Annual Report 2023
Independent auditor's report
Report on the audit of the consolidated financial statements and parent
company financial statements
55
Annual Report 2023
Independent auditor's report
Key audit matters (continued)
56
Annual Report 2023
Independent auditor's report
to elements in the taxonomy, for financial information required to be tagged using judgement where necessary;
CVR-nr. 2 5 57 81 98
57