Accounting policies | ||
The Consolidated Financial Statements of the Orion Group have been prepared in accordance with International Financial Reporting Standards (IFRS) applying the IAS and IFRS standards as well as IFRIC interpretations effective at 31 December 2025. | ||
International Financial Reporting Standards refer to the standards and their interpretations approved for application in the EU in accordance with the procedure stipulated in the EU\u2019s regulation (EC) No. 1606/2002 and embodied in the Finnish Accounting Act and provisions issued under it. The notes to the consolidated financial statements have also been prepared in accordance with the requirements in Finnish accounting legislation and Community law that complement the IFRS regulations. | ||
The information in the consolidated financial statements is based on historical costs, except for financial assets separately recognised at fair value through profit or loss or recognised through other comprehensive income. Monetary figures in the financial statements are expressed in millions of euros unless otherwise stated. All figures in the financial statement have been rounded, which is why the total sums of individual figures may differ from the total sums shown. | ||
Consolidation principles | ||
The consolidated financial statements cover the parent company Orion Corporation and all companies directly or indirectly owned by it and controlled by the Group, as well as associates, joint ventures and joint operations. | ||
Subsidiaries | ||
Subsidiaries are those companies, which are controlled by Orion Corporation. A company is controlled by the Group if the Group is exposed, or has rights, to variable returns from its involvement with the entity and has the ability to affect those returns through its power over the entity. Internal shareholdings have been eliminated using the acquisition method of accounting. In the consolidated financial statements, acquired subsidiaries are fully consolidated from the date the Group acquires control, and divested subsidiaries are deconsolidated from the date control ceases. All intra-Group transactions, receivables and liabilities, distribution of profit and unrealised internal gains are eliminated in the preparation of the consolidated financial statements. The consolidated profit for the financial year is divided into portions attributable to owners of the parent company and non-controlling interests. The portion of the equity attributable to the non-controlling interests is included in Group equity and specified in the statement of changes in equity. | ||
Associates, joint ventures and joint operations | ||
Associates are all companies over which the Group has significant influence but not control. Significant influence generally means a shareholding of 20% to 50% of the voting rights. | ||
Joint ventures are joint arrangements in which the parent companies or subsidiaries have joint control of an entity that is not part of the Group and in which a parent company or subsidiary has rights to the net assets of the arrangement. Associates and joint ventures are incorporated into the consolidated financial statements using the equity method of accounting. Joint operations are joint arrangements that have been implemented without a separate investment instrument or in which the legal form of the arrangement is such that the parties have direct rights to certain assets or obligations for certain liabilities. Joint operations are incorporated into the consolidated financial statements in accordance with the proportional interest in the joint operation. If the Group\u2019s share of the losses of an associate or joint venture exceeds the carrying amount, it is not consolidated unless the Group has made a commitment to fulfil the liabilities of the associate or joint venture. | ||
Foreign currency translation | ||
Functional and presentation currency | ||
Items included in the financial statements of each of the Group\u2019s companies are measured using the currency of the primary economic environment in which the company operates (the functional currency). The consolidated financial statements are presented in euros, which is the functional currency of the parent company of the Group and the Group\u2019s presentation currency for the consolidated financial statements. | ||
Transactions and balances | ||
Foreign currency transactions are translated into the functional currency using the exchange rates prevailing at the dates of the transactions. Monetary items in foreign currencies at the end of the reporting period in the statement of financial position are booked using the exchange rates at the end of the reporting period. Foreign exchange gains and losses from translation of the items are recognised in the consolidated income statement. Foreign exchange gains and losses related to business operations are included in the corresponding items above the operating profit line. Net foreign exchange gains and losses resulting from hedges made for hedging purposes, but when no hedge accounting is applied, are recognised in other operating income or expenses. Foreign exchange gains and losses related to financial liabilities and receivables in foreign currencies and foreign exchange derivatives related to them are included in finance income and expenses. Non-monetary items in foreign currencies in the statement of financial position which are not measured at fair value are measured using the exchange rate at the date of the transaction. | ||
Group companies | ||
For all Group companies with a functional currency different from the Group\u2019s presentation currency, the income statements are translated into euros using average exchange rates for the reporting period, and the statements of financial position are translated into euros using the exchange rates at the end of the reporting period. Any translation differences arising from this and cumulative translation adjustments arising from elimination of the acquisition costs of these companies are recognised in equity and changes are disclosed in the items under other comprehensive income. There are no Group companies operating in a country with hyperinflation. The cumulative translation adjustments related to divestment of Group companies, which are recognised in equity, are recognised as gains or losses in the statement of comprehensive income. Goodwill and fair value adjustments arising on the acquisition of a foreign entity are treated as assets and liabilities of the foreign entity and translated at the exchange rate prevailing at the end of the reporting period. | ||
Critical accounting estimates and assumptions, and main related uncertainties | |||
Compiling the consolidated financial statements in accordance with the IFRS and accounting standards requires that the Company\u2019s management make certain estimates and exercise judgement in the assumptions concerning the future that have an impact on the items included in the financial statements. Estimates and judgement are based on management\u2019s best knowledge of current events and factors, and are reviewed regularly and updated if circumstances so require. The assumption are based on historical experience and other relevant assumptions that reflect management\u2019s best estimate. In addition, management judgement is applied in the application of accounting policies, especially in the areas where IFRS standards permit alternative accounting, valuation or presentation methods. Actual results and timing\u00a0 may differ from these estimates. The accounting policies relating to areas that call for more than ordinary judgement from the management and to associated uncertainty factors are presented in the following notes: \u2022 2.1 Revenue from contracts with customers \u2022 3.1 Property, plant and equipment and intangible assets \u2022 3.2 Leased assets \u2022 4.1 Employee benefits \u2022 4.2 Pension assets and pension liabilities \u2022 5.2 Deferred tax assets and liabilities Respectively, Group\u2019s principal assumptions concerning the future and the main uncertainties relating to estimates at the end of the reporting period that constitute a significant risk of causing a material change in the carrying values of assets and liabilities within the next financial year are described in the note describing the financial statement item in question. | |||
Accounting policies | ||
Revenue recognition principles | ||
The Group\u2019s net sales comprise three different revenue flows, which are product sales, revenue from sales rights to products and revenue from clinical phase research and development work undertaken with collaboration partners. Revenue is recognised mainly point in time. Agreements usually do not include a financing component, because a significant portion of the considerations is variable and their reception will be confirmed in the future. Revenue recognition principles related to different revenue flows are described below. | ||
Product sales | ||
Consolidated net sales include revenue from sales of goods adjusted for indirect taxes and currency translation differences on sales in foreign currencies. A delivery to a customer of one batch of product constitutes one distinct performance obligation for which the revenue will be recognised in accordance with the delivery terms when the control is transferred from the Group to the customer. The selling price may include variable consideration, such as various discounts or incentives, among other things. The consideration is recognised as net sales that the Group expects to be entitled to taking into account the effects of discounts and incentives. The Group has consignment stock arrangements in place with distributors and logistics partners operating in various countries. In these cases, the Group owns the products held in the distributor\u2019s and logistics partners\u2019 consignment stock until they are delivered to the customer, at which point the Group recognises their sale in net sales. In Finland, the arrangement between Orion and Oriola explains a significant part of the Group\u2019s total consignment stock arrangements. | ||
Sale of goods total, in net sales, includes product sales and in addition royalty income, which the Group recognises as revenue based on agreements signed with cooperation partners. The Group has sold the sales rights of certain products to cooperation partners and is entitled to royalties determined by the sales of these products achieved by the partners. The Group recognises the royalties as revenue once the partner has later sold the products to its own customers and the right to royalties has been established. | ||
Revenue from sales rights to products | ||
Orion recognise revenue from the transfers of product rights. Product rights may be sold for a single territory, several territories or on a worldwide basis. These contracts may include several distinct performance obligations, such as royalty income, upfront fees, research & development, commercialisation, and sales\u2011based milestones fees. These considerations typically give rise to distinct performance obligations. A portion of the consideration qualifies as variable due to the conditional nature of milestone payments and realised sales amounts. Orion also frequently sells product rights while continuing to manufacture the product for the customer. Such contracts commonly include milestone payments, income from product sales as well as royalty income. They typically constitute separate performance obligations. The Group may receive milestone payments related to commercialisation under the agreement. They are considered as distinct performance obligations if they are satisfied by a certain volume of sales achieved by the customer. The accrued sales revenue entails value for the customer, so a performance obligation subject to sales volume is considered satisfied when the target for sales has been achieved. Performance obligations related to commercialisation are treated as performance obligations satisfied at a single point in time, because estimating future sales volume entails uncertainty factors. | ||
Revenue from clinical phase research and development undertaken with collaboration partners | ||
Fixed milestone payments on signing an agreement are considered as distinct performance obligations that are satisfied on signing of the agreement. Clinical phase trials may be conducted through many service providers, and the collaboration partner can then utilise in its own business operations the research results conveyed on signing. Research and development work performed during the agreement period is considered a separate performance obligation and milestone payments for this phase are processed as variable considerations because they are conditional on reaching specific phases or research results. Even though Orion satisfies the performance obligations over time, revenue is only recognised on confirmation of the final research results because a reliable evaluation of research results in advance would entail uncertainty factors. The agreements may also include a decision on arranging manufacture of finished product if it can be commercialised. For each agreement, considerations related to commercialisation are evaluated on the basis of whether the milestone payments and sales of finished products together constitute a performance obligation or whether the milestone payments can be identified as performance obligations distinct from sales of the finished product. Likewise, on the basis of each agreement, it is evaluated whether the performance obligation related to milestone payments will be satisfied at a single point in time or over a period of time. Royalty income is recognised as revenue when the partner has sold products subject to royalties. | ||
Net sales break-down | ||
The Group itemises net sales as follows: \u2022 Innovative Medicines (innovative medicines developed or marketed by Orion, and which have patent or other product protection) \u2022 Branded Products (Orion\u2019s in-house developed legacy products and other products with brand value that provides a competitive advantage) \u2022 Generics and Consumer Health (generic prescription medicines and Consumer Health products) \u2022 Animal Health (proprietary and generic products for companion animals and livestock) \u2022 Fermion (active pharmaceutical ingredients for Orion and other pharmaceutical companies). In addition to these, net sales reporting contains one further item, Translation differences and Other operations, which mostly comprises translation differences on Orion\u2019s net sales. | ||
Critical accounting assumptions, and main related uncertainties concerning revenue from contracts with customers | |||
The Group has contracts with customers that may include transfer of sales rights to products, product manufacturing, clinical phase research and development work and terms related to commercialisation. The Group exercises judgement especially regarding the specification of distinct performance obligations, whether the performance obligations are recognised over time or at a single point in time and regarding the recognition time of variable considerations. The Group takes into account the limitation to revenue recognition and recognises revenue only to the extent that it is very likely that a significant reversal to accrued recognised revenue will not be needed. | |||
Segment reporting | |||
The Group has one reportable operating segment, which is reported in a manner consistent with the internal reporting provided to the chief operating decision maker. The chief operating decision maker, who is responsible for resources and assessing the performance, is the President and CEO of Orion Corporation, who makes the Group\u2019s strategic decisions. The Group consists of one business area, Pharmaceuticals business, which comprises four business divisions. Due to the nature of the business model and corporate governance, the entire Group is reported as a single operating segment. | |||
Accounting policies | ||
Property, plant and equipment are depreciated over their useful life using the straight-line method. Land and water are not depreciated. Depreciation begins when the asset is available for use and it ceases at the moment when the asset is classified as held for sale, or is included in the disposal group. The residual value and useful life of property, plant and equipment are reviewed when necessary, but at least at every year end for the financial statements, and adjusted to correspond to probable changes in the expectations of economic benefits. The Group\u2019s most commonly applied estimated useful lives are presented in notes 3.1 Property, plant and equipment and intangible assets and 3.2 Leased assets. | ||
Accounting policies | ||
Group\u2019s function-based consolidated income statement comprises selling and marketing expenses related to the distribution of products, field sales, marketing, advertising and other promotional activities, including the related wages and salaries. Research and development expenses comprise wages and salaries on research and development personnel, materials, procurement of external services and other costs related to research and development function. Research and development expenses also include expenses for research and development projects that are classified as joint operations. The portion of the expenses that corresponds to the Group\u2019s contractual share of a project is recognised as an expense. Further information on recognition of research and development expenses in Group\u2019s consolidated financial statements are given in note 3.1 Property, plant and equipment and intangible assets. | ||
Accounting policies | ||
Other operating income and expenses comprise income and expenses that do not directly relate to the operating activities. Other operating income includes items such as gains on sales of property, plant and equipment, intangible assets and other investments and rental income. Respectively, other operating expenses includes, for example, losses on sales of property, plant and equipment, intangible assets and other investments, and modification and termination expenses of lease agreements. Other operating income and expenses also include foreign exchange gains and losses. | ||
Accounting policies | ||
Finance income and expenses comprise foreign exchange gains and losses related to financial liabilities and receivables in foreign currencies and foreign exchange derivatives related to them, interest income and expenses and other financial income and expenses. Borrowing costs are recognised in the consolidated statement of income as an expense in the period in which they are incurred. Borrowing costs that are directly attributable to the acquisition, construction or production of an asset that requires a substantial period of time to be made ready are capitalised as a part of the cost of that asset. Orion Group did not recognise any borrowing costs to tangible assets in 2025 or 2024. | ||
Accounting policies | ||
Earnings per share are calculated by dividing the profit for the period attributable to owners by the weighted average number of shares outstanding during the period. The weighted average number of shares has been adjusted for the number of treasury shares held by the Group during the period. Dividend per share is calculated by dividing the dividend distributed during the period by the number of shares outstanding at the end of reporting period. | ||
Accounting policies | ||
Property, plant and equipment comprise mainly factories, offices and research centres, and machines and equipment for manufacturing, research and development. Property, plant and equipment are measured at their historical cost, less accumulated depreciation and impairment, and are depreciated over their useful life using the straight-line method. The residual value and useful life of property, plant and equipment are reviewed when necessary, but at least at every year end for the financial statements, and adjusted to correspond to probable changes in the expectations of economic benefits. | ||
The estimated useful lives are as follows: \u2022 Buildings and constructions 10\u201350 years \u2022 Machinery and equipment 5\u201315 years \u2022 Other tangible assets 3\u201310 years. Land and water are not depreciated. Repair and maintenance costs are recognised as expenses for the reporting period. Improvement investments are capitalised if they are expected to generate future economic benefits. Gains and losses on disposals of property, plant and equipment are recognised in the consolidated income statement. | ||
Accounting policies | ||
Research and development costs | ||
Research costs are expensed as incurred to consolidated income statement. Intangible assets generated from development activities are recognised in the statement of financial position only if the expenditure of the development phase can be reliably determined, the product is technically feasible and commercially viable, the product is expected to generate future economic benefits and the Group has the intention and resources to complete the development work. The Group\u2019s view is that until an authority has granted marketing authorisation, it could not be demonstrated that an intangible asset would generate future economic benefits. The Group has therefore not capitalised its internal development costs. The same principle for recognition has been applied for externally purchased services. Software, buildings, machinery and equipment used in research and development activities are depreciated and recognised under research and development costs over their useful life. | ||
Goodwill | ||
Goodwill represents the excess of the cost of an acquisition over the fair value of the Group\u2019s share of the net assets of the acquired company at the date of acquisition. Goodwill is measured at cost less accumulated impairment losses. For the purpose of impairment testing, goodwill is allocated to cash-generating units or groups of cash-generating units that are expected to benefit from the business combination. Goodwill is not amortised but it is tested for impairment at least annually and if the events or changes in circumstances indicate that the carrying amount may not be recoverable. In the impairment testing, the carrying amount of goodwill is compared to recoverable amount, that is determined on the basis of the value-in-use calculation. In impairment testing, the goodwill is allocated to two cash generating units that form the Pharmaceuticals business. The Group does not have any other cash generating units. If the carrying amount of goodwill exceeds its recoverable amount, an impairment loss equal to the difference is recognised to income statement. In the impairment testing, the recoverable amount is determined on the basis of the value-in-use calculation. Impairment losses on goodwill are not reversed. Group goodwill comprise goodwill arising from Inovet Animal Health acquisition in 2022 and goodwill originated from the acquisition of Farmos-Group Ltd. in 1990. | ||
Intangible rights and other intangible assets | ||
Intangible rights and other intangible assets are measured at their historical cost, less accumulated amortisation and impairment. They are amortised over their useful life, usually five to ten years, using the straight-line method. As a rule, acquired marketing rights are amortised over the remaining term of the contract. Externally acquired intangible rights, such as product and marketing rights, are recognised in the statement of financial position. For a product under development, the cost bases are assessed. The costs of payments for research and development work undertaken that has not yet generated an intangible right recognisable in the statement of financial position are recognised as research and development costs. However, if an intangible right is considered to have been transferred to the Group, the costs are recognised in the statement of financial position. Amortisations of marketing authorisations, and product and marketing rights included in the intangible rights are disclosed under selling and marketing expenses, and recording of an amortisation expense will commence when an authority has issued authorisation for marketing of the product and selling of it commences. The accounting for cloud computing arrangements depends on whether the cloud-based software classifies as a software intangible asset or a service contract. Those arrangements where the Group does not have control over the underlying software are accounted for as service contracts providing the Company with the right to access the cloud provider\u2019s application software over the contract period. The ongoing fees to obtain access to the application software, together with related configuration or customisation costs incurred, are recognised in the consolidated income statement when the services are received. Prepayments paid to the cloud vendor for customising services which are not distinct are recognised as expense over the contract period. | ||
Government grants | |||
Government grants related to research activities are recognised as decreases in the research expenses incurred in the corresponding reporting period. If an authority decides to convert an R&D loan into a grant, that is recognised in the consolidated income statement under other operating income. Government grants related to the acquisition of property, plant and equipment or intangible assets are recognised as decreases in their acquisition costs. Such grants are recognised as income in the form of reduced depreciation during the useful life of the asset. | |||
Impairment of property, plant, equipment and intangible assets | |||
At the end of each reporting period, the Group assesses whether there are indications that an asset may be impaired. If there are any such indications, the respective recoverable amount is assessed. As regards goodwill, the assessment is undertaken annually even if no such indications had become apparent. The recoverable amount is the higher of the asset\u2019s fair value less selling costs or value in use. The value in use is obtained by discounting the present value of the future cash flows from that asset. The discount rate is the weighted average cost of capital (WACC) calculated before tax. An impairment loss is recognised in the consolidated income statement if the carrying amount of an asset exceeds its recoverable amount. An impairment loss other than on goodwill is reversed if there is a change in the circumstances and the asset\u2019s recoverable amount exceeds its carrying amount. An impairment loss is not reversed to more than what the carrying amount of the asset would have been had there been no impairment loss. Impairment of goodwill is recognised in the consolidated income statement under other operating expenses, which include expenses not allocable to specific operations. Intangible assets not yet available for use, comprising mainly marketing authorisations and product rights, are tested for impairment individually for each asset carrying material value in the statement of financial position. Impairment charges are recognised as an expense under the appropriate activity, and for marketing authorisations and product and marketing rights under selling and marketing expenses, and on research and development projects to research and development expenses. | |||
Critical accounting estimates and assumptions, and main related uncertainties concerning impairment of property, plant and equipment and intangible assets | |||
The Management\u2019s view is that until an authority has granted marketing authorisation, it could not be demonstrated that an intangible asset would generate future economic benefits. The Group has therefore not capitalised its internal development costs. The same principle for recognition has been applied for externally purchased services. Actual cash flows can differ from estimated discounted future cash flows because changes in the long-term economic life of the Company\u2019s assets, the forecast selling prices of products, production costs and the discount rate applied in the calculations can lead to the recognition of impairment losses. Assessing the probability of expected future economic benefits and useful lives of property, plant and equipment require management judgement. The estimated useful lives and residual values are reviewed regularly and at least at the end of each reporting period, depreciation periods are adjusted accordingly if there is evidence that useful lives of property, plant and equipment have changed. Also, assessing any indication of impairment requires management judgement. | |||
Accounting policies | ||
The Group as lessee | ||
At the commencement of a lease, the Group recognises a lease liability and a corresponding right-of-use asset. The lease liability is measured at the present value of the lease payments payable over the lease term that have not yet been paid. The leases are discounted at the rate implicit in the lease or the Group\u2019s incremental borrowing rate. The Group discounts the leases using the Group\u2019s incremental borrowing rate. The incremental borrowing rate is based on market rates plus a country risk associated premium. The right-of-use asset is initially measured at acquisition cost, which includes the original amount of the lease liability plus any initial direct costs incurred by the Group, estimated restoration costs and any lease payments made at or prior to commencement, less lease incentives obtained. Leases paid by the Group consist of fixed payments, variable leases and purchase option exercise prices, if it is reasonably certain that the option will be exercised as well as of payments associated with termination sanctions if it has been taken into account in the lease term that the Group will exercise its lease termination option. When a variable lease depends on an index or a rate, these are taken into consideration when determining lease liability. Variable lease payments are initially measured using the index or rate as at the commencement date. The right-of-use asset is measured at acquisition cost less accumulated depreciation and accumulated impairment, adjusted by any cost of remeasurement of the lease liability. Depreciation is recognised in equal instalments over the useful life of the asset or a shorter lease-term. The residual value and useful life of the right-of-use asset is reviewed when necessary, but at least at every year end for the financial statements, and an impairment is recognised if expected economic benefits change. | ||
The Group values the lease liability in subsequent periods using the effective interest method. The lease is subsequently remeasured, for example, when there is a change in future lease payments due to a change in the index or rate used to determine those payments. Changes in the assessment of a purchase option of an underlying asset or an extension or termination option may also lead to a remeasurement of the lease liability. The carrying amount of the right-of-use asset is adjusted by the lease liability amount following a remeasurement, or if the right-of-use asset has a carrying amount of zero, it is recognised in income statement. The lease contracts of the Group mainly include leased premises, cars, production machinery and equipment. The duration of leased premises\u2019 contracts is 4\u201310 years and the duration of both vehicles and machinery and equipment contracts is 3\u20135 years. Payments associated with short-term leases or low-value assets are recognised as a constant expense over the lease term. The lease is determined as short-term lease if the lease period is 12 months or less and as a low-value asset if the value of the asset is less than EUR 3,000. | |||
The Group as lessor | |||
The Group has business facilities that it has leased out to third parties. The Group treats these leases as operating leases, since it does not grant the lessees any gains or risks essentially associated with the leased facility that arise from the ownership of an asset. The Group also has other low-value leases in which it operates as the lessor. Rental revenue from operating leases is recognised in equal instalments in the consolidated statement of income. | |||
Critical accounting estimates and assumptions, and main related uncertainties concerning recognising right-of-use assets | |||
The Group will assess at the time of inception whether a contract is, or contains, a lease and for open-ended contracts judgement is used for determining lease period. The rental period of a lease agreement is defined as the period during which the agreement cannot be cancelled. The lease term is extended by the period covered by an extension option or termination option, if the Group is reasonably certain to exercise the extension option or not to exercise the termination option. | |||
Accounting policies | ||
Inventories are presented in the statement of financial position using the standard price for self-manufactured products, and for purchased products using the moving average price method of variable costs incurred from procurement and manufacturing, or if lower, the probable selling price or replacement cost. Inventories are valued at the cost of the materials consumed plus the cost of conversion, which comprises costs directly proportional to the amount produced and a systematically allocated share of fixed and variable production overheads. The net realisable value is the estimated selling price obtained in the ordinary course of business, from which the estimated expenses necessary to complete the product and the expenses arising from the sale have been deducted. | ||
Accounting policies | |||
A provision is recognised when the Group has a present legal or constructive obligation as a result of a past event, and it is probable that an outflow of resources will be required to settle the obligation and a reliable estimate of the amount of the obligation can be made. Provisions are reviewed at the end of each reporting period and adjusted to reflect the current best estimate or reversed if they are no longer needed. A provision for restructuring costs is recognised only when general recognition criteria for provision are met and when the Group has compiled a detailed restructuring plan, to which it is committed and launched its implementation or informed the parties concerned on criteria on restructuring plan. Pension provisions include provisions for costs of additional days relating to unemployment pension. Other provisions include clawback and litigation provisions and employee related provisions other than restructuring provisions. | |||
Critical accounting estimates and assumptions, and main related uncertainties concerning provisions | |||
The amount recognised as a provision is the best estimate of the expenditure required to settle the obligation at the reporting day, taking into account related risks and uncertainties, management judgment supplemented by experience with similar transactions and future events when there is sufficient evidence that they will occur and affect the amount of payment. Provisions for restructuring costs are recognised when the requirements for recognition are satisfied. For reasons beyond the control of management the final costs may differ from the initial amount for which the provision has been established. | |||
Accounting policies | |||
The benefits under the share-based incentive plan for key employees approved by the Board of Directors are recognised as an expense in the income statement during the vesting period of the benefit. The equity-settled portion is measured at fair value at the time of granting the benefit, and an increase corresponding to the expense entry in the statement of comprehensive income is recognised in equity. The cash-settled portion is recognised as a liability, which is measured at fair value at the end of the reporting period. The 2025\u20132027 plan is accounted for in full as an equity\u2011settled arrangement whereas in other plans cash- settled and equity-settled portions have been accounted separately. The fair value of equity- settled portions has been determined at the grant date minus the estimated dividends that will not be received during the vesting period. The fair value is based on the Group's estimate of the number of shares to which the right is expected to be vested at the end of the vesting period. The estimate is reviewed at the end of each reporting period and the effect of revisions is recognised as personnel expenses in the income statement for the current reporting period. | |||
Critical accounting estimates and assumptions concerning share-based incentive plans | |||
Non-market vesting conditions, such as individual goals and result targets, affect the estimate of the final number of shares and amount of associated cash payments. The estimate of the final number of shares and associated cash payments is updated at the end of each reporting period. Changes in estimates are recognised in the statement of comprehensive income. | |||
Accounting policies | |||
The Group has pension plans in accordance with each country\u2019s local regulations and practices. The Group has both defined contribution and defined benefit plans. In the defined contribution plans, the Group pays fixed contributions to separate entities. The Group has no legal or constructive obligations to pay further contributions if the recipient of the contributions is unable to pay the employee benefits. All the plans that do not fulfil these criteria are defined benefit plans. The payments to the defined contribution plans are recognised as expenses in the statement of comprehensive income in accordance with the contributions payable for the period. The Orion Group has defined benefit pension plans in Finland, France and Norway. In Finland Orion Pension Fund A provides pension plans for white-collar staff working in Finland.\u00a0 It is a closed supplementary insurance, which is entirely defined benefit based.\u00a0 Assets of the Orion Pension Fund are invested in accordance with Finnish legislation. The management and Board of Directors of the Pension Fund are responsible for management of the assets of the Fund. The Group also has defined benefit pension plans in France and in Norway. In Norway the plan it closed supplementary insurance, which a party outside of the Group provides asset management. In addition, some individual persons in the Group has defined benefit pension plans taken out with life assurance companies. The obligations under the defined benefit pension plans have been calculated separately for each plan. | |||
The pension expenses related to the defined benefit pension plans have been calculated using the projected unit credit method. The pension expenses are recognised as expenses by distributing them over the whole estimated period of service of the personnel. The net defined benefit liability recognised in the statement of financial position is the present value of the defined benefit obligation at the end date of the reporting period less the fair value of plan assets. The present value of the defined benefit obligation is the present value of the estimated future pensions payable, and the discount rate applied is the interest rate of low-risk bonds issued by companies with a maturity that corresponds to that of the defined benefit obligation as closely as possible. The interest rate is derived from bonds issued in the same currency as the benefits payable. | |||
Items arising from remeasurement of defined benefit plan assets are recognised directly into components of other comprehensive income during the period when they arise. The most substantial items due to remeasurement in the Group are due to actuarial gains and losses and return on the plan assets (excluding net interest items). The Group applies an accounting procedure in which net interest arising from plan assets is recognised functionally above operating profit as part of defined benefit plan pension expense. | |||
Critical accounting estimates and assumptions, and main related uncertainties concerning pension assets and pension liabilities | |||
The Group has various pension plans to provide for the retirement of its employees or to provide for when the employment ends. Various statistical and other actuarial assumptions are applied in calculating the expenses and liabilities of employee benefits, such as the discount rate, estimated changes in the future level of wages and salaries, and employee turnover. The statistical assumptions made can differ considerably from the actual trend because of, among other things, a changed general economic situation and the length of the period of service. The gains and losses due to changes in actuarial assumptions are recorded into components of other comprehensive income during the period in which they arise. The changes affect the other comprehensive income for the period. | |||
Accounting policies | |||
The income tax expense in the consolidated income statement includes taxes based on the profit of the Group companies for the financial year, tax adjustments for previous financial years and deferred tax. For items recognised directly in equity, the corresponding tax effect is also recognised in equity. Current tax is calculated on the basis of the tax rate in force in each country. Interest expenses on income taxes are reported as part of interest expenses. | |||
Accounting policies | |||
Deferred tax is computed on temporary differences between the carrying amount and the taxable value. Deferred taxes have been calculated using the statutory tax rates or the tax rates enacted or substantively enacted as at reporting date. Deferred tax assets are only recognised to the extent that it is probable that future taxable profit will be available against which the temporary differences can be utilised. Deferred taxes are not recognised on items that do not affect accounting or tax profit. Deferred tax assets and liabilities are offset when there is a legally enforceable right to offset current tax assets against current tax liabilities and when the deferred income tax assets and liabilities relate to income taxes levied by the same taxation authority on either the same taxable entity or different taxable entities where there is an intention to settle the balances on a net basis. | |||
Critical accounting estimates and assumptions, and main related uncertainties concerning deferred taxes | |||
In the preparation of the financial statements, Group estimates, in particular, the basis for recognising deferred tax assets. For this purpose, an estimate is made of how probable it is that the subsidiaries will generate sufficient taxable income against which unused tax losses or unused tax assets can be utilised. The factors applied in making the forecasts can differ from the actual figures, and this can lead to expense entries for tax assets in the income statement. | |||
Accounting policies | |||
Classification | |||
The Group\u2019s financial assets and liabilities are recognised and measured at amortised cost or at fair value through profit or loss. The classification of assets depends on the business models defined by the Company and on the cash flows of the financial assets based on contract. The classification may change following a change in business model. Classification by balance sheet item is presented in the table concerning financial assets and liabilities. | |||
1. Measured at amortised cost | |||
Financial assets are classified at amortised cost, when the target of the business model is to hold financial assets for the purpose of collecting cash flows based on contract and the cash flows are based exclusively on the payment of equity and interests. Of the Group\u2019s financial assets trade receivables, other receivables and cash and cash equivalents are classified at amortised cost. Financial liabilities except for derivatives are classified at amortised cost. | |||
2. Recognised at fair value through profit or loss | |||
Financial assets are measured at fair value through profit or loss when they are not held for collecting cash flows based on contract nor for both collecting cash flows and for sale or when they were classified at this class in the initial classification. The Group\u2019s financial assets recognised at fair value through profit or loss comprise derivatives, which are not hedged, deferred purchase price and earn-out, shares and holdings and money market investments. Of financial liabilities, derivatives, which are not hedged, are measured at fair value and are recognised in income statement. A financial asset or liability with maturity over 12 months from the reporting date is included in the non-current assets or liabilities in the statement of financial position. If a financial asset is intended to be held for less than 12 months or its maturity is less than 12 months from the reporting date, it is included in the current assets in the statement of financial position. Interest-bearing current liabilities include the credit limits of bank accounts to the extent that they are used, commercial papers issued by the Company and any repayments of capital of non-current interest-bearing liabilities due in the next 12 months. | |||
Recognition and measurement | |||
Purchases and sales of financial assets are recognised in the accounting through settlement date accounting except for derivatives, which are recognised on the acquisition date. Financial assets measured at amortised cost are also initially recognised at fair value, but transaction costs are taken into account in the value. After initial measurement, the value of these financial assets is measured at amortised cost using the effective interest method less any impairment. Impairment losses are recognised in the consolidated income statement. Financial assets at fair value through profit or loss are initially recognised at fair value, and transaction costs are recognised as expenses in the consolidated income statement. Unrealised and realised gains and losses due to changes in the fair value are recognised through profit or loss. Fair value is based on the quoted market price on the end date of the reporting period. Financial liabilities are initially recognised in accounting at fair value and transaction costs related to them are recognised as expenses in the consolidated income statement. Subsequently, financial liabilities except derivative liabilities at fair value through profit or loss are measured at amortised cost using the effective interest method. A financial asset is derecognised in the statement of financial position when the Group no longer has the contractual rights to receive the cash flows or when it has substantially transferred the risks and income from the asset to outside the Group. Liabilities are derecognised in the statement of financial position once the debt has extinguished. | |||
Impairment | |||
At the end of each balance sheet date, it is assessed whether there are any indications of impairment of financial instruments. Impairments are estimated in two different ways, either based on the amount of expected credit losses in the next 12 months or based on the amount of expected credit losses over the entire lifetime of the financial asset. As a rule, the used time period is the next 12 months unless there are specific grounds for a significantly increased credit risk of a financial asset. Criteria applied by the Group in stating that there is significantly increased credit risk: \u2022 issuer\u2019s or debtor\u2019s considerable financial problems \u2022 breach of contract terms \u2022 high probability of bankruptcy or other financial restructuring of debtor. For trade receivables impairment, the Group applies IFRS 9 simplified approach based on the amount and due date distribution of overdue receivables. Trade receivables do not include a significant financing component, and thus expected credit losses are recognised over the entire lifetime of the financial asset. Historical credit loss data is used as the ground information in the provision matrix, and it is adjusted with management\u2019s future outlook estimate. Expected credit loss is recognised in income statement, with the counter-item reducing the item in financial assets. Recognition takes place at the next reporting date. The final credit loss and write off from accounts receivable is done when there is a certainty that the funds will not be received due to customer bankruptcy, the official information on customer\u2019s economic position, unsuccessful collection measures or other information the group has received. | |||
Cash and cash equivalents | |||
Cash and cash equivalents comprise cash in hand, bank deposits and assets in bank accounts, and liquid debt instruments. Liquid debt instruments are short-term certificates of deposit and commercial paper with maturities initially of no more than three months issued by banks and companies. The specification of cash and cash equivalents is presented in the note 6.5 Cash and cash equivalents. | |||
Derivative contracts | |||
Derivative contracts are classified as measured at fair value through profit or loss and are initially recognised at fair value on the date the derivative contract is entered into and are subsequently remeasured at their fair value using the closing market prices on the end date of the reporting period. Derivatives are presented under other receivables and liabilities in the balance sheet. The Group does not apply hedge accounting to foreign exchange derivatives that hedge items in foreign currencies in the statement of financial position or hedge highly probable forecast cash flows, even though they have been acquired for hedging purposes in accordance with the Group\u2019s treasury policy. The specification of derivate contracts is presented in the note 6.7 Derivative contracts. Both unrealised and realised gains and losses due to changes in the fair value of derivatives recorded through profit or loss are recognised in the reporting period in which they are incurred through profit or loss under either other income and expenses or finance income and expenses, depending on whether operational revenue or finance items have been hedged. | |||
Accounting policies | |||
Ordinary shares are presented as share capital. Transaction costs directly due to issuance of new shares or options are presented in equity including tax effects as a decrease in payments received. Other reserves include reserve funds, expendable fund and reserve for invested unrestricted equity. Reserve funds are required by local laws and part of restricted equity. The expendable fund and reserve for invested unrestricted equity are included in distributable funds under the Finnish Limited Liability Companies Act. | |||
Accounting policies | |||
A contingent liability is a potential liability based on previous events. It depends on the realisation of an uncertain future event beyond the Group\u2019s control. Contingent liabilities also include obligations that will most likely not lead to a payment or its size cannot be reliably determined. | |||
Accounting policies | ||
Revenue recognition principles | ||
The Group\u2019s net sales comprise three different revenue flows, which are product sales, revenue from sales rights to products and revenue from clinical phase research and development work undertaken with collaboration partners. Revenue is recognised mainly point in time. Agreements usually do not include a financing component, because a significant portion of the considerations is variable and their reception will be confirmed in the future. Revenue recognition principles related to different revenue flows are described below. | ||
Product sales | ||
Consolidated net sales include revenue from sales of goods adjusted for indirect taxes and currency translation differences on sales in foreign currencies. A delivery to a customer of one batch of product constitutes one distinct performance obligation for which the revenue will be recognised in accordance with the delivery terms when the control is transferred from the Group to the customer. The selling price may include variable consideration, such as various discounts or incentives, among other things. The consideration is recognised as net sales that the Group expects to be entitled to taking into account the effects of discounts and incentives. The Group has consignment stock arrangements in place with distributors and logistics partners operating in various countries. In these cases, the Group owns the products held in the distributor\u2019s and logistics partners\u2019 consignment stock until they are delivered to the customer, at which point the Group recognises their sale in net sales. In Finland, the arrangement between Orion and Oriola explains a significant part of the Group\u2019s total consignment stock arrangements. | ||
Sale of goods total, in net sales, includes product sales and in addition royalty income, which the Group recognises as revenue based on agreements signed with cooperation partners. The Group has sold the sales rights of certain products to cooperation partners and is entitled to royalties determined by the sales of these products achieved by the partners. The Group recognises the royalties as revenue once the partner has later sold the products to its own customers and the right to royalties has been established. | ||
Revenue from sales rights to products | ||
Orion recognise revenue from the transfers of product rights. Product rights may be sold for a single territory, several territories or on a worldwide basis. These contracts may include several distinct performance obligations, such as royalty income, upfront fees, research & development, commercialisation, and sales\u2011based milestones fees. These considerations typically give rise to distinct performance obligations. A portion of the consideration qualifies as variable due to the conditional nature of milestone payments and realised sales amounts. Orion also frequently sells product rights while continuing to manufacture the product for the customer. Such contracts commonly include milestone payments, income from product sales as well as royalty income. They typically constitute separate performance obligations. The Group may receive milestone payments related to commercialisation under the agreement. They are considered as distinct performance obligations if they are satisfied by a certain volume of sales achieved by the customer. The accrued sales revenue entails value for the customer, so a performance obligation subject to sales volume is considered satisfied when the target for sales has been achieved. Performance obligations related to commercialisation are treated as performance obligations satisfied at a single point in time, because estimating future sales volume entails uncertainty factors. | ||
Revenue from clinical phase research and development undertaken with collaboration partners | ||
Fixed milestone payments on signing an agreement are considered as distinct performance obligations that are satisfied on signing of the agreement. Clinical phase trials may be conducted through many service providers, and the collaboration partner can then utilise in its own business operations the research results conveyed on signing. Research and development work performed during the agreement period is considered a separate performance obligation and milestone payments for this phase are processed as variable considerations because they are conditional on reaching specific phases or research results. Even though Orion satisfies the performance obligations over time, revenue is only recognised on confirmation of the final research results because a reliable evaluation of research results in advance would entail uncertainty factors. The agreements may also include a decision on arranging manufacture of finished product if it can be commercialised. For each agreement, considerations related to commercialisation are evaluated on the basis of whether the milestone payments and sales of finished products together constitute a performance obligation or whether the milestone payments can be identified as performance obligations distinct from sales of the finished product. Likewise, on the basis of each agreement, it is evaluated whether the performance obligation related to milestone payments will be satisfied at a single point in time or over a period of time. Royalty income is recognised as revenue when the partner has sold products subject to royalties. | ||
Net sales break-down | ||
The Group itemises net sales as follows: \u2022 Innovative Medicines (innovative medicines developed or marketed by Orion, and which have patent or other product protection) \u2022 Branded Products (Orion\u2019s in-house developed legacy products and other products with brand value that provides a competitive advantage) \u2022 Generics and Consumer Health (generic prescription medicines and Consumer Health products) \u2022 Animal Health (proprietary and generic products for companion animals and livestock) \u2022 Fermion (active pharmaceutical ingredients for Orion and other pharmaceutical companies). In addition to these, net sales reporting contains one further item, Translation differences and Other operations, which mostly comprises translation differences on Orion\u2019s net sales. | ||
Critical accounting assumptions, and main related uncertainties concerning revenue from contracts with customers | |||
The Group has contracts with customers that may include transfer of sales rights to products, product manufacturing, clinical phase research and development work and terms related to commercialisation. The Group exercises judgement especially regarding the specification of distinct performance obligations, whether the performance obligations are recognised over time or at a single point in time and regarding the recognition time of variable considerations. The Group takes into account the limitation to revenue recognition and recognises revenue only to the extent that it is very likely that a significant reversal to accrued recognised revenue will not be needed. | |||
Segment reporting | |||
The Group has one reportable operating segment, which is reported in a manner consistent with the internal reporting provided to the chief operating decision maker. The chief operating decision maker, who is responsible for resources and assessing the performance, is the President and CEO of Orion Corporation, who makes the Group\u2019s strategic decisions. The Group consists of one business area, Pharmaceuticals business, which comprises four business divisions. Due to the nature of the business model and corporate governance, the entire Group is reported as a single operating segment. | |||
EUR million | 2025 | 2024 |
Sale of goods | 1,269.5 | 1,137.6 |
Royalty income | 436.6 | 271.0 |
Total sale of goods | 1,706.1 | 1,408.6 |
Milestone payments | 183.4 | 133.8 |
Total | 1,889.5 | 1,542.4 |
EUR million | 2025 | 2024 |
Innovative Medicines | 812.7 | 525.2 |
Branded Products | 314.6 | 287.5 |
Generics and Consumer Health | 552.8 | 528.4 |
Animal Health | 140.9 | 128.2 |
Fermion | 68.7 | 72.3 |
Translation differences and Other operations | -0.3 | 0.8 |
Total | 1,889.5 | 1,542.4 |
EUR million | 2025 | 2024 |
Nubeqa\u00ae (prostate cancer) | 609.8 | 368.3 |
Easyhaler\u00ae product portfolio (asthma, COPD) | 177.4 | 165.7 |
Entacapone products (Parkinson\u2019s disease) | 90.5 | 84.1 |
Divina\u00ae series (menopausal symptoms) | 31.6 | 24.2 |
Dexdomitor\u00ae, Domitor\u00ae, Domosedan\u00ae and Antisedan\u00ae (animal sedatives) | 31.3 | 31.9 |
Burana\u00ae (inflammatory pain) | 24.0 | 24.6 |
Trexan\u00ae (rheumatoid arthritis, cancer) | 17.9 | 15.0 |
Simdax\u00ae (acute decompensated heart failure) | 16.6 | 19.2 |
Quetiapine products (antipsychotic) | 14.2 | 12.6 |
Fareston\u00ae (breast cancer) | 13.9 | 16.0 |
Total | 1,027.1 | 761.7 |
2025 | 2024 | ||||
EUR million | Asset | Liability | Asset | Liability | |
1 January | 102.0 | 21.3 | 49.7 | 82.6 | |
Revenue recognised during the financial period that was included in liabilities based on contract at the start of the period | -1.9 | -1.9 | |||
Actual billing during the financial year | -102.0 | -49.7 | -60.0 | ||
Increase of assets and liabilities on contract due to new business operations | 341.5 | 1.4 | 102.0 | 0.7 | |
31 December | 341.5 | 20.7 | 102.0 | 21.3 |
EUR million | 2025 | 2024 |
Finland | 365.6 | 347.5 |
Scandinavia | 189.6 | 163.1 |
Other Europe | 530.2 | 431.2 |
North America | 481.1 | 368.7 |
Rest of the World | 323.0 | 232.0 |
Total | 1,889.5 | 1,542.4 |
EUR million | 2025 | 2024 |
Finland | 1,590.2 | 1,222.4 |
Scandinavia | 48.3 | 40.7 |
Other Europe | 340.2 | 329.7 |
North America | 1.0 | 0.6 |
Rest of the World | 30.1 | 35.6 |
Total | 2,009.8 | 1,629.1 |
EUR million | 2025 | 2024 |
Finland | 93.1 | 74.8 |
Scandinavia | 0.7 | 1.2 |
Other Europe | 16.5 | 9.9 |
North America | 0.3 | 0.1 |
Rest of the World | 2.4 | 0.2 |
Total | 112.9 | 86.1 |
Accounting policies | ||
Property, plant and equipment are depreciated over their useful life using the straight-line method. Land and water are not depreciated. Depreciation begins when the asset is available for use and it ceases at the moment when the asset is classified as held for sale, or is included in the disposal group. The residual value and useful life of property, plant and equipment are reviewed when necessary, but at least at every year end for the financial statements, and adjusted to correspond to probable changes in the expectations of economic benefits. The Group\u2019s most commonly applied estimated useful lives are presented in notes 3.1 Property, plant and equipment and intangible assets and 3.2 Leased assets. | ||
EUR million | 2025 | 2024 |
Amortisation of intangible assets and depreciation of property, plant and equipment | ||
Cost of goods sold | 33.0 | 31.5 |
Selling and marketing | 6.4 | 6.0 |
Research and development | 6.0 | 5.1 |
Administration | 10.9 | 8.7 |
Total | 56.3 | 51.4 |
Impairment of intangible assets and property, plant and equipment | ||
Cost of goods sold | ||
Selling and marketing | 0.3 | 23.9 |
Research and development | 17.5 | |
Administration | 0.1 | |
Total | 0.4 | 41.4 |
Total depreciation, amortisation and impairment | 56.7 | 92.8 |
EUR million | 2025 | 2024 |
Buildings and constructions | 18.5 | 17.1 |
Machinery and equipment | 29.8 | 27.9 |
Other tangible assets | 0.3 | 0.2 |
Property, plant and equipment, total | 48.6 | 45.3 |
Intangible rights | 4.5 | 45.8 |
Other intangible assets | 3.6 | 1.7 |
Intangible assets, total | 8.1 | 47.5 |
Total depreciation, amortisation and impairment | 56.7 | 92.8 |
Accounting policies | ||
Group\u2019s function-based consolidated income statement comprises selling and marketing expenses related to the distribution of products, field sales, marketing, advertising and other promotional activities, including the related wages and salaries. Research and development expenses comprise wages and salaries on research and development personnel, materials, procurement of external services and other costs related to research and development function. Research and development expenses also include expenses for research and development projects that are classified as joint operations. The portion of the expenses that corresponds to the Group\u2019s contractual share of a project is recognised as an expense. Further information on recognition of research and development expenses in Group\u2019s consolidated financial statements are given in note 3.1 Property, plant and equipment and intangible assets. | ||
EUR million | 2025 | 2024 |
Selling and marketing expenses | 289.5 | 278.1 |
Research and development expenses | 210.4 | 179.6 |
Administrative expenses | 86.8 | 81.7 |
Total | 586.7 | 539.3 |
Accounting policies | ||
Group\u2019s function-based consolidated income statement comprises selling and marketing expenses related to the distribution of products, field sales, marketing, advertising and other promotional activities, including the related wages and salaries. Research and development expenses comprise wages and salaries on research and development personnel, materials, procurement of external services and other costs related to research and development function. Research and development expenses also include expenses for research and development projects that are classified as joint operations. The portion of the expenses that corresponds to the Group\u2019s contractual share of a project is recognised as an expense. Further information on recognition of research and development expenses in Group\u2019s consolidated financial statements are given in note 3.1 Property, plant and equipment and intangible assets. | ||
EUR million | 2025 | 2024 |
Selling and marketing expenses | 289.5 | 278.1 |
Research and development expenses | 210.4 | 179.6 |
Administrative expenses | 86.8 | 81.7 |
Total | 586.7 | 539.3 |
Accounting policies | ||
Group\u2019s function-based consolidated income statement comprises selling and marketing expenses related to the distribution of products, field sales, marketing, advertising and other promotional activities, including the related wages and salaries. Research and development expenses comprise wages and salaries on research and development personnel, materials, procurement of external services and other costs related to research and development function. Research and development expenses also include expenses for research and development projects that are classified as joint operations. The portion of the expenses that corresponds to the Group\u2019s contractual share of a project is recognised as an expense. Further information on recognition of research and development expenses in Group\u2019s consolidated financial statements are given in note 3.1 Property, plant and equipment and intangible assets. | ||
EUR million | 2025 | 2024 |
Selling and marketing expenses | 289.5 | 278.1 |
Research and development expenses | 210.4 | 179.6 |
Administrative expenses | 86.8 | 81.7 |
Total | 586.7 | 539.3 |
Accounting policies | ||
Other operating income and expenses comprise income and expenses that do not directly relate to the operating activities. Other operating income includes items such as gains on sales of property, plant and equipment, intangible assets and other investments and rental income. Respectively, other operating expenses includes, for example, losses on sales of property, plant and equipment, intangible assets and other investments, and modification and termination expenses of lease agreements. Other operating income and expenses also include foreign exchange gains and losses. | ||
EUR million | 2025 | 2024 |
Gains on sales of property, plant and equipment, intangible assets and other investments | 0.2 | 0.6 |
Rental income | 2.4 | 2.4 |
Foreign exchange gains and losses | 0.1 | -1.0 |
Settlement gain of the transfer of Pension Fund\u2019s B fund | 3.4 | |
Other operating income | 3.0 | 4.4 |
Other operating expenses | -0.3 | -0.2 |
Total | 5.4 | 9.5 |
Accounting policies | ||
Other operating income and expenses comprise income and expenses that do not directly relate to the operating activities. Other operating income includes items such as gains on sales of property, plant and equipment, intangible assets and other investments and rental income. Respectively, other operating expenses includes, for example, losses on sales of property, plant and equipment, intangible assets and other investments, and modification and termination expenses of lease agreements. Other operating income and expenses also include foreign exchange gains and losses. | ||
EUR million | 2025 | 2024 |
Gains on sales of property, plant and equipment, intangible assets and other investments | 0.2 | 0.6 |
Rental income | 2.4 | 2.4 |
Foreign exchange gains and losses | 0.1 | -1.0 |
Settlement gain of the transfer of Pension Fund\u2019s B fund | 3.4 | |
Other operating income | 3.0 | 4.4 |
Other operating expenses | -0.3 | -0.2 |
Total | 5.4 | 9.5 |
Accounting policies | ||
Other operating income and expenses comprise income and expenses that do not directly relate to the operating activities. Other operating income includes items such as gains on sales of property, plant and equipment, intangible assets and other investments and rental income. Respectively, other operating expenses includes, for example, losses on sales of property, plant and equipment, intangible assets and other investments, and modification and termination expenses of lease agreements. Other operating income and expenses also include foreign exchange gains and losses. | ||
EUR million | 2025 | 2024 |
Gains on sales of property, plant and equipment, intangible assets and other investments | 0.2 | 0.6 |
Rental income | 2.4 | 2.4 |
Foreign exchange gains and losses | 0.1 | -1.0 |
Settlement gain of the transfer of Pension Fund\u2019s B fund | 3.4 | |
Other operating income | 3.0 | 4.4 |
Other operating expenses | -0.3 | -0.2 |
Total | 5.4 | 9.5 |
Accounting policies | ||
Finance income and expenses comprise foreign exchange gains and losses related to financial liabilities and receivables in foreign currencies and foreign exchange derivatives related to them, interest income and expenses and other financial income and expenses. Borrowing costs are recognised in the consolidated statement of income as an expense in the period in which they are incurred. Borrowing costs that are directly attributable to the acquisition, construction or production of an asset that requires a substantial period of time to be made ready are capitalised as a part of the cost of that asset. Orion Group did not recognise any borrowing costs to tangible assets in 2025 or 2024. | ||
EUR million | 2025 | 2024 |
Dividend income on other investments | 0.0 | 0.0 |
Interest income | 4.6 | 4.6 |
Foreign exchange rate gains and losses, net | 0.2 | 0.3 |
Other finance income | 0.0 | 0.0 |
Finance income, total | 4.8 | 4.9 |
Interest expenses | 8.2 | 7.6 |
Other finance expenses | 0.4 | 0.8 |
Finance expenses, total | 8.7 | 8.4 |
Finance income and expenses, total | -3.9 | -3.5 |
EUR million | 2025 | 2024 |
Foreign exchange rate gains | 4.0 | 1.4 |
Foreign exchange rate losses | -3.8 | -1.1 |
Total | 0.2 | 0.3 |
EUR million | 2025 | 2024 |
In net sales | 1.7 | 1.0 |
In cost of goods sold | 0.0 | -0.1 |
In other income and expenses | -0.1 | -1.0 |
In functions\u2019 expenses | -0.3 | 0.0 |
Accounting policies | ||
Finance income and expenses comprise foreign exchange gains and losses related to financial liabilities and receivables in foreign currencies and foreign exchange derivatives related to them, interest income and expenses and other financial income and expenses. Borrowing costs are recognised in the consolidated statement of income as an expense in the period in which they are incurred. Borrowing costs that are directly attributable to the acquisition, construction or production of an asset that requires a substantial period of time to be made ready are capitalised as a part of the cost of that asset. Orion Group did not recognise any borrowing costs to tangible assets in 2025 or 2024. | ||
EUR million | 2025 | 2024 |
Dividend income on other investments | 0.0 | 0.0 |
Interest income | 4.6 | 4.6 |
Foreign exchange rate gains and losses, net | 0.2 | 0.3 |
Other finance income | 0.0 | 0.0 |
Finance income, total | 4.8 | 4.9 |
Interest expenses | 8.2 | 7.6 |
Other finance expenses | 0.4 | 0.8 |
Finance expenses, total | 8.7 | 8.4 |
Finance income and expenses, total | -3.9 | -3.5 |
EUR million | 2025 | 2024 |
Foreign exchange rate gains | 4.0 | 1.4 |
Foreign exchange rate losses | -3.8 | -1.1 |
Total | 0.2 | 0.3 |
EUR million | 2025 | 2024 |
In net sales | 1.7 | 1.0 |
In cost of goods sold | 0.0 | -0.1 |
In other income and expenses | -0.1 | -1.0 |
In functions\u2019 expenses | -0.3 | 0.0 |
Accounting policies | ||
Finance income and expenses comprise foreign exchange gains and losses related to financial liabilities and receivables in foreign currencies and foreign exchange derivatives related to them, interest income and expenses and other financial income and expenses. Borrowing costs are recognised in the consolidated statement of income as an expense in the period in which they are incurred. Borrowing costs that are directly attributable to the acquisition, construction or production of an asset that requires a substantial period of time to be made ready are capitalised as a part of the cost of that asset. Orion Group did not recognise any borrowing costs to tangible assets in 2025 or 2024. | ||
EUR million | 2025 | 2024 |
Dividend income on other investments | 0.0 | 0.0 |
Interest income | 4.6 | 4.6 |
Foreign exchange rate gains and losses, net | 0.2 | 0.3 |
Other finance income | 0.0 | 0.0 |
Finance income, total | 4.8 | 4.9 |
Interest expenses | 8.2 | 7.6 |
Other finance expenses | 0.4 | 0.8 |
Finance expenses, total | 8.7 | 8.4 |
Finance income and expenses, total | -3.9 | -3.5 |
EUR million | 2025 | 2024 |
Foreign exchange rate gains | 4.0 | 1.4 |
Foreign exchange rate losses | -3.8 | -1.1 |
Total | 0.2 | 0.3 |
EUR million | 2025 | 2024 |
In net sales | 1.7 | 1.0 |
In cost of goods sold | 0.0 | -0.1 |
In other income and expenses | -0.1 | -1.0 |
In functions\u2019 expenses | -0.3 | 0.0 |
Accounting policies | ||
Earnings per share are calculated by dividing the profit for the period attributable to owners by the weighted average number of shares outstanding during the period. The weighted average number of shares has been adjusted for the number of treasury shares held by the Group during the period. Dividend per share is calculated by dividing the dividend distributed during the period by the number of shares outstanding at the end of reporting period. | ||
2025 | 2024 | |
Profit for the period attributable to owners of the parent company, EUR million | 500.3 | 329.9 |
Weighted average number of shares during the period (1,000 shares) | 140,657 | 140,476 |
Basic earnings per share, EUR | 3.56 | 2.35 |
2025 | 2024 | |
Profit for the period attributable to owners of the parent company, EUR million | 500.3 | 329.9 |
Weighted average number of diluted shares during the period (1,000 shares) | 140,663 | 140,533 |
Diluted earnings per share, EUR | 3.56 | 2.35 |
2025 | 2024 | |
Dividend paid during the period, EUR million | 230.7 | 227.6 |
Number of shares (1,000 shares) | 140,693 | 140,501 |
Dividend per share paid during the period, EUR | 1.64 | 1.62 |
2025 | 2024 | |
Dividend paid during the period, EUR million | 230.7 | 227.6 |
Number of shares (1,000 shares) | 140,693 | 140,501 |
Dividend per share paid during the period, EUR | 1.64 | 1.62 |
Accounting policies | ||
Property, plant and equipment comprise mainly factories, offices and research centres, and machines and equipment for manufacturing, research and development. Property, plant and equipment are measured at their historical cost, less accumulated depreciation and impairment, and are depreciated over their useful life using the straight-line method. The residual value and useful life of property, plant and equipment are reviewed when necessary, but at least at every year end for the financial statements, and adjusted to correspond to probable changes in the expectations of economic benefits. | ||
The estimated useful lives are as follows: \u2022 Buildings and constructions 10\u201350 years \u2022 Machinery and equipment 5\u201315 years \u2022 Other tangible assets 3\u201310 years. Land and water are not depreciated. Repair and maintenance costs are recognised as expenses for the reporting period. Improvement investments are capitalised if they are expected to generate future economic benefits. Gains and losses on disposals of property, plant and equipment are recognised in the consolidated income statement. | ||
EUR million, 2025 | Land and water | Buildings and constructions | Machinery and equipment | Other property, plant and equipment1 | Advance payments and construction in progress | Total |
Acquisition cost at 1 January | 6.6 | 472.1 | 485.6 | 5.5 | 48.1 | 1,018.0 |
Additions | 16.4 | 29.3 | 0.3 | 34.5 | 80.6 | |
Disposals | -0.3 | -17.5 | -0.0 | -0.0 | -17.9 | |
Reclassifications | 5.5 | 20.5 | -0.0 | -26.0 | 0.0 | |
Translation differences | -0.1 | -0.0 | -0.0 | -0.1 | ||
Acquisition cost at 31 December | 6.6 | 493.7 | 517.8 | 5.9 | 56.6 | 1,080.6 |
Accumulated depreciation and impairment at 1 January | 0.2 | -271.4 | -336.2 | -3.8 | -611.2 | |
Accumulated depreciation on disposals and transfers | 0.3 | 15.7 | -0.0 | 16.0 | ||
Depreciation | -15.2 | -26.8 | -0.3 | -42.3 | ||
Translation differences | 0.0 | 0.0 | 0.0 | |||
Accumulated depreciation and impairment at 31 December | 0.2 | -286.4 | -347.2 | -4.1 | -637.5 | |
Carrying amount at 1 January | 6.8 | 200.7 | 149.5 | 1.7 | 48.1 | 406.8 |
Carrying amount at 31 December | 6.8 | 207.3 | 170.6 | 1.8 | 56.6 | 443.1 |
EUR million, 2024 | Land and water | Buildings and constructions | Machinery and equipment | Other property, plant and equipment1 | Advance payments and construction in progress | Total |
Acquisition cost at 1 January | 6.6 | 450.1 | 449.7 | 5.9 | 64.3 | 976.5 |
Additions | 11.6 | 16.9 | 0.2 | 27.3 | 56.0 | |
Disposals | -0.2 | -13.6 | -0.7 | -0.0 | -14.6 | |
Reclassifications | 10.7 | 32.7 | 0.0 | -43.4 | 0.0 | |
Translation differences | -0.0 | 0.0 | 0.0 | -0.0 | ||
Acquisition cost at 31 December | 6.6 | 472.1 | 485.6 | 5.5 | 48.1 | 1,018.0 |
Accumulated depreciation and impairment at 1 January | 0.2 | -256.6 | -323.1 | -4.2 | -583.8 | |
Accumulated depreciation on disposals and transfers | 0.0 | 12.4 | 0.7 | 13.1 | ||
Depreciation | -14.8 | -25.5 | -0.2 | -40.6 | ||
Translation differences | 0.0 | 0.0 | 0.0 | |||
Accumulated depreciation and impairment at 31 December | 0.2 | -271.4 | -336.2 | -3.8 | -611.2 | |
Carrying amount at 1 January | 6.8 | 193.5 | 126.5 | 1.7 | 64.3 | 392.8 |
Carrying amount at 31 December | 6.8 | 200.7 | 149.5 | 1.7 | 48.1 | 406.8 |
Accounting policies | ||
Research and development costs | ||
Research costs are expensed as incurred to consolidated income statement. Intangible assets generated from development activities are recognised in the statement of financial position only if the expenditure of the development phase can be reliably determined, the product is technically feasible and commercially viable, the product is expected to generate future economic benefits and the Group has the intention and resources to complete the development work. The Group\u2019s view is that until an authority has granted marketing authorisation, it could not be demonstrated that an intangible asset would generate future economic benefits. The Group has therefore not capitalised its internal development costs. The same principle for recognition has been applied for externally purchased services. Software, buildings, machinery and equipment used in research and development activities are depreciated and recognised under research and development costs over their useful life. | ||
Goodwill | ||
Goodwill represents the excess of the cost of an acquisition over the fair value of the Group\u2019s share of the net assets of the acquired company at the date of acquisition. Goodwill is measured at cost less accumulated impairment losses. For the purpose of impairment testing, goodwill is allocated to cash-generating units or groups of cash-generating units that are expected to benefit from the business combination. Goodwill is not amortised but it is tested for impairment at least annually and if the events or changes in circumstances indicate that the carrying amount may not be recoverable. In the impairment testing, the carrying amount of goodwill is compared to recoverable amount, that is determined on the basis of the value-in-use calculation. In impairment testing, the goodwill is allocated to two cash generating units that form the Pharmaceuticals business. The Group does not have any other cash generating units. If the carrying amount of goodwill exceeds its recoverable amount, an impairment loss equal to the difference is recognised to income statement. In the impairment testing, the recoverable amount is determined on the basis of the value-in-use calculation. Impairment losses on goodwill are not reversed. Group goodwill comprise goodwill arising from Inovet Animal Health acquisition in 2022 and goodwill originated from the acquisition of Farmos-Group Ltd. in 1990. | ||
Intangible rights and other intangible assets | ||
Intangible rights and other intangible assets are measured at their historical cost, less accumulated amortisation and impairment. They are amortised over their useful life, usually five to ten years, using the straight-line method. As a rule, acquired marketing rights are amortised over the remaining term of the contract. Externally acquired intangible rights, such as product and marketing rights, are recognised in the statement of financial position. For a product under development, the cost bases are assessed. The costs of payments for research and development work undertaken that has not yet generated an intangible right recognisable in the statement of financial position are recognised as research and development costs. However, if an intangible right is considered to have been transferred to the Group, the costs are recognised in the statement of financial position. Amortisations of marketing authorisations, and product and marketing rights included in the intangible rights are disclosed under selling and marketing expenses, and recording of an amortisation expense will commence when an authority has issued authorisation for marketing of the product and selling of it commences. The accounting for cloud computing arrangements depends on whether the cloud-based software classifies as a software intangible asset or a service contract. Those arrangements where the Group does not have control over the underlying software are accounted for as service contracts providing the Company with the right to access the cloud provider\u2019s application software over the contract period. The ongoing fees to obtain access to the application software, together with related configuration or customisation costs incurred, are recognised in the consolidated income statement when the services are received. Prepayments paid to the cloud vendor for customising services which are not distinct are recognised as expense over the contract period. | ||
Government grants | |||
Government grants related to research activities are recognised as decreases in the research expenses incurred in the corresponding reporting period. If an authority decides to convert an R&D loan into a grant, that is recognised in the consolidated income statement under other operating income. Government grants related to the acquisition of property, plant and equipment or intangible assets are recognised as decreases in their acquisition costs. Such grants are recognised as income in the form of reduced depreciation during the useful life of the asset. | |||
Impairment of property, plant, equipment and intangible assets | |||
At the end of each reporting period, the Group assesses whether there are indications that an asset may be impaired. If there are any such indications, the respective recoverable amount is assessed. As regards goodwill, the assessment is undertaken annually even if no such indications had become apparent. The recoverable amount is the higher of the asset\u2019s fair value less selling costs or value in use. The value in use is obtained by discounting the present value of the future cash flows from that asset. The discount rate is the weighted average cost of capital (WACC) calculated before tax. An impairment loss is recognised in the consolidated income statement if the carrying amount of an asset exceeds its recoverable amount. An impairment loss other than on goodwill is reversed if there is a change in the circumstances and the asset\u2019s recoverable amount exceeds its carrying amount. An impairment loss is not reversed to more than what the carrying amount of the asset would have been had there been no impairment loss. Impairment of goodwill is recognised in the consolidated income statement under other operating expenses, which include expenses not allocable to specific operations. Intangible assets not yet available for use, comprising mainly marketing authorisations and product rights, are tested for impairment individually for each asset carrying material value in the statement of financial position. Impairment charges are recognised as an expense under the appropriate activity, and for marketing authorisations and product and marketing rights under selling and marketing expenses, and on research and development projects to research and development expenses. | |||
Critical accounting estimates and assumptions, and main related uncertainties concerning impairment of property, plant and equipment and intangible assets | |||
The Management\u2019s view is that until an authority has granted marketing authorisation, it could not be demonstrated that an intangible asset would generate future economic benefits. The Group has therefore not capitalised its internal development costs. The same principle for recognition has been applied for externally purchased services. Actual cash flows can differ from estimated discounted future cash flows because changes in the long-term economic life of the Company\u2019s assets, the forecast selling prices of products, production costs and the discount rate applied in the calculations can lead to the recognition of impairment losses. Assessing the probability of expected future economic benefits and useful lives of property, plant and equipment require management judgement. The estimated useful lives and residual values are reviewed regularly and at least at the end of each reporting period, depreciation periods are adjusted accordingly if there is evidence that useful lives of property, plant and equipment have changed. Also, assessing any indication of impairment requires management judgement. | |||
EUR million, 2025 | Goodwill | Intangible rights1 | Other intangible assets 2 | Total |
Acquisition cost at 1 January | 87.2 | 258.1 | 63.7 | 409.0 |
Additions | 18.3 | 3.7 | 21.9 | |
Disposals | -43.6 | -43.6 | ||
Reclassifications | -18.2 | 18.2 | -0.0 | |
Translation differences | 0.0 | 0.0 | ||
Acquisition cost at 31 December | 87.2 | 214.5 | 85.6 | 387.3 |
Accumulated depreciation and impairment at 1 January | -177.0 | -56.9 | -233.9 | |
Accumulated depreciation on disposals and transfers | 42.2 | 42.2 | ||
Amortisation | -4.1 | -3.6 | -7.7 | |
Impairment | -0.4 | -0.4 | ||
Translation differences | 0.0 | 0.0 | ||
Accumulated depreciation and impairment at 31 December | -139.3 | -60.5 | -199.8 | |
Carrying amount at 1 January | 87.2 | 81.1 | 6.8 | 175.1 |
Carrying amount at 31 December | 87.2 | 75.2 | 25.1 | 187.5 |
EUR million, 2024 | Goodwill | Intangible rights1 | Other intangible assets 2 | Total |
Acquisition cost at 1 January | 87.2 | 242.8 | 62.5 | 392.5 |
Additions | 21.5 | 1.0 | 22.5 | |
Disposals | -4.7 | -1.2 | -5.9 | |
Reclassifications | -1.5 | 1.5 | 0.0 | |
Translation differences | 0.0 | -0.0 | -0.0 | |
Acquisition cost at 31 December | 87.2 | 258.1 | 63.7 | 409.0 |
Accumulated depreciation and impairment at 1 January | -136.0 | -56.4 | -192.4 | |
Accumulated depreciation on disposals and transfers | 4.8 | 1.2 | 6.0 | |
Amortisation | -4.3 | -1.7 | -6.1 | |
Impairment | -41.4 | -41.4 | ||
Translation differences | ||||
Accumulated depreciation and impairment at 31 December | -177.0 | -56.9 | -233.9 | |
Carrying amount at 1 January | 87.2 | 106.8 | 6.1 | 200.1 |
Carrying amount at 31 December | 87.2 | 81.1 | 6.8 | 175.1 |
Accounting policies | ||
Research and development costs | ||
Research costs are expensed as incurred to consolidated income statement. Intangible assets generated from development activities are recognised in the statement of financial position only if the expenditure of the development phase can be reliably determined, the product is technically feasible and commercially viable, the product is expected to generate future economic benefits and the Group has the intention and resources to complete the development work. The Group\u2019s view is that until an authority has granted marketing authorisation, it could not be demonstrated that an intangible asset would generate future economic benefits. The Group has therefore not capitalised its internal development costs. The same principle for recognition has been applied for externally purchased services. Software, buildings, machinery and equipment used in research and development activities are depreciated and recognised under research and development costs over their useful life. | ||
Goodwill | ||
Goodwill represents the excess of the cost of an acquisition over the fair value of the Group\u2019s share of the net assets of the acquired company at the date of acquisition. Goodwill is measured at cost less accumulated impairment losses. For the purpose of impairment testing, goodwill is allocated to cash-generating units or groups of cash-generating units that are expected to benefit from the business combination. Goodwill is not amortised but it is tested for impairment at least annually and if the events or changes in circumstances indicate that the carrying amount may not be recoverable. In the impairment testing, the carrying amount of goodwill is compared to recoverable amount, that is determined on the basis of the value-in-use calculation. In impairment testing, the goodwill is allocated to two cash generating units that form the Pharmaceuticals business. The Group does not have any other cash generating units. If the carrying amount of goodwill exceeds its recoverable amount, an impairment loss equal to the difference is recognised to income statement. In the impairment testing, the recoverable amount is determined on the basis of the value-in-use calculation. Impairment losses on goodwill are not reversed. Group goodwill comprise goodwill arising from Inovet Animal Health acquisition in 2022 and goodwill originated from the acquisition of Farmos-Group Ltd. in 1990. | ||
Intangible rights and other intangible assets | ||
Intangible rights and other intangible assets are measured at their historical cost, less accumulated amortisation and impairment. They are amortised over their useful life, usually five to ten years, using the straight-line method. As a rule, acquired marketing rights are amortised over the remaining term of the contract. Externally acquired intangible rights, such as product and marketing rights, are recognised in the statement of financial position. For a product under development, the cost bases are assessed. The costs of payments for research and development work undertaken that has not yet generated an intangible right recognisable in the statement of financial position are recognised as research and development costs. However, if an intangible right is considered to have been transferred to the Group, the costs are recognised in the statement of financial position. Amortisations of marketing authorisations, and product and marketing rights included in the intangible rights are disclosed under selling and marketing expenses, and recording of an amortisation expense will commence when an authority has issued authorisation for marketing of the product and selling of it commences. The accounting for cloud computing arrangements depends on whether the cloud-based software classifies as a software intangible asset or a service contract. Those arrangements where the Group does not have control over the underlying software are accounted for as service contracts providing the Company with the right to access the cloud provider\u2019s application software over the contract period. The ongoing fees to obtain access to the application software, together with related configuration or customisation costs incurred, are recognised in the consolidated income statement when the services are received. Prepayments paid to the cloud vendor for customising services which are not distinct are recognised as expense over the contract period. | ||
Government grants | |||
Government grants related to research activities are recognised as decreases in the research expenses incurred in the corresponding reporting period. If an authority decides to convert an R&D loan into a grant, that is recognised in the consolidated income statement under other operating income. Government grants related to the acquisition of property, plant and equipment or intangible assets are recognised as decreases in their acquisition costs. Such grants are recognised as income in the form of reduced depreciation during the useful life of the asset. | |||
Impairment of property, plant, equipment and intangible assets | |||
At the end of each reporting period, the Group assesses whether there are indications that an asset may be impaired. If there are any such indications, the respective recoverable amount is assessed. As regards goodwill, the assessment is undertaken annually even if no such indications had become apparent. The recoverable amount is the higher of the asset\u2019s fair value less selling costs or value in use. The value in use is obtained by discounting the present value of the future cash flows from that asset. The discount rate is the weighted average cost of capital (WACC) calculated before tax. An impairment loss is recognised in the consolidated income statement if the carrying amount of an asset exceeds its recoverable amount. An impairment loss other than on goodwill is reversed if there is a change in the circumstances and the asset\u2019s recoverable amount exceeds its carrying amount. An impairment loss is not reversed to more than what the carrying amount of the asset would have been had there been no impairment loss. Impairment of goodwill is recognised in the consolidated income statement under other operating expenses, which include expenses not allocable to specific operations. Intangible assets not yet available for use, comprising mainly marketing authorisations and product rights, are tested for impairment individually for each asset carrying material value in the statement of financial position. Impairment charges are recognised as an expense under the appropriate activity, and for marketing authorisations and product and marketing rights under selling and marketing expenses, and on research and development projects to research and development expenses. | |||
Critical accounting estimates and assumptions, and main related uncertainties concerning impairment of property, plant and equipment and intangible assets | |||
The Management\u2019s view is that until an authority has granted marketing authorisation, it could not be demonstrated that an intangible asset would generate future economic benefits. The Group has therefore not capitalised its internal development costs. The same principle for recognition has been applied for externally purchased services. Actual cash flows can differ from estimated discounted future cash flows because changes in the long-term economic life of the Company\u2019s assets, the forecast selling prices of products, production costs and the discount rate applied in the calculations can lead to the recognition of impairment losses. Assessing the probability of expected future economic benefits and useful lives of property, plant and equipment require management judgement. The estimated useful lives and residual values are reviewed regularly and at least at the end of each reporting period, depreciation periods are adjusted accordingly if there is evidence that useful lives of property, plant and equipment have changed. Also, assessing any indication of impairment requires management judgement. | |||
EUR million, 2025 | Goodwill | Intangible rights1 | Other intangible assets 2 | Total |
Acquisition cost at 1 January | 87.2 | 258.1 | 63.7 | 409.0 |
Additions | 18.3 | 3.7 | 21.9 | |
Disposals | -43.6 | -43.6 | ||
Reclassifications | -18.2 | 18.2 | -0.0 | |
Translation differences | 0.0 | 0.0 | ||
Acquisition cost at 31 December | 87.2 | 214.5 | 85.6 | 387.3 |
Accumulated depreciation and impairment at 1 January | -177.0 | -56.9 | -233.9 | |
Accumulated depreciation on disposals and transfers | 42.2 | 42.2 | ||
Amortisation | -4.1 | -3.6 | -7.7 | |
Impairment | -0.4 | -0.4 | ||
Translation differences | 0.0 | 0.0 | ||
Accumulated depreciation and impairment at 31 December | -139.3 | -60.5 | -199.8 | |
Carrying amount at 1 January | 87.2 | 81.1 | 6.8 | 175.1 |
Carrying amount at 31 December | 87.2 | 75.2 | 25.1 | 187.5 |
EUR million, 2024 | Goodwill | Intangible rights1 | Other intangible assets 2 | Total |
Acquisition cost at 1 January | 87.2 | 242.8 | 62.5 | 392.5 |
Additions | 21.5 | 1.0 | 22.5 | |
Disposals | -4.7 | -1.2 | -5.9 | |
Reclassifications | -1.5 | 1.5 | 0.0 | |
Translation differences | 0.0 | -0.0 | -0.0 | |
Acquisition cost at 31 December | 87.2 | 258.1 | 63.7 | 409.0 |
Accumulated depreciation and impairment at 1 January | -136.0 | -56.4 | -192.4 | |
Accumulated depreciation on disposals and transfers | 4.8 | 1.2 | 6.0 | |
Amortisation | -4.3 | -1.7 | -6.1 | |
Impairment | -41.4 | -41.4 | ||
Translation differences | ||||
Accumulated depreciation and impairment at 31 December | -177.0 | -56.9 | -233.9 | |
Carrying amount at 1 January | 87.2 | 106.8 | 6.1 | 200.1 |
Carrying amount at 31 December | 87.2 | 81.1 | 6.8 | 175.1 |
Accounting policies | ||
Research and development costs | ||
Research costs are expensed as incurred to consolidated income statement. Intangible assets generated from development activities are recognised in the statement of financial position only if the expenditure of the development phase can be reliably determined, the product is technically feasible and commercially viable, the product is expected to generate future economic benefits and the Group has the intention and resources to complete the development work. The Group\u2019s view is that until an authority has granted marketing authorisation, it could not be demonstrated that an intangible asset would generate future economic benefits. The Group has therefore not capitalised its internal development costs. The same principle for recognition has been applied for externally purchased services. Software, buildings, machinery and equipment used in research and development activities are depreciated and recognised under research and development costs over their useful life. | ||
Goodwill | ||
Goodwill represents the excess of the cost of an acquisition over the fair value of the Group\u2019s share of the net assets of the acquired company at the date of acquisition. Goodwill is measured at cost less accumulated impairment losses. For the purpose of impairment testing, goodwill is allocated to cash-generating units or groups of cash-generating units that are expected to benefit from the business combination. Goodwill is not amortised but it is tested for impairment at least annually and if the events or changes in circumstances indicate that the carrying amount may not be recoverable. In the impairment testing, the carrying amount of goodwill is compared to recoverable amount, that is determined on the basis of the value-in-use calculation. In impairment testing, the goodwill is allocated to two cash generating units that form the Pharmaceuticals business. The Group does not have any other cash generating units. If the carrying amount of goodwill exceeds its recoverable amount, an impairment loss equal to the difference is recognised to income statement. In the impairment testing, the recoverable amount is determined on the basis of the value-in-use calculation. Impairment losses on goodwill are not reversed. Group goodwill comprise goodwill arising from Inovet Animal Health acquisition in 2022 and goodwill originated from the acquisition of Farmos-Group Ltd. in 1990. | ||
Intangible rights and other intangible assets | ||
Intangible rights and other intangible assets are measured at their historical cost, less accumulated amortisation and impairment. They are amortised over their useful life, usually five to ten years, using the straight-line method. As a rule, acquired marketing rights are amortised over the remaining term of the contract. Externally acquired intangible rights, such as product and marketing rights, are recognised in the statement of financial position. For a product under development, the cost bases are assessed. The costs of payments for research and development work undertaken that has not yet generated an intangible right recognisable in the statement of financial position are recognised as research and development costs. However, if an intangible right is considered to have been transferred to the Group, the costs are recognised in the statement of financial position. Amortisations of marketing authorisations, and product and marketing rights included in the intangible rights are disclosed under selling and marketing expenses, and recording of an amortisation expense will commence when an authority has issued authorisation for marketing of the product and selling of it commences. The accounting for cloud computing arrangements depends on whether the cloud-based software classifies as a software intangible asset or a service contract. Those arrangements where the Group does not have control over the underlying software are accounted for as service contracts providing the Company with the right to access the cloud provider\u2019s application software over the contract period. The ongoing fees to obtain access to the application software, together with related configuration or customisation costs incurred, are recognised in the consolidated income statement when the services are received. Prepayments paid to the cloud vendor for customising services which are not distinct are recognised as expense over the contract period. | ||
Government grants | |||
Government grants related to research activities are recognised as decreases in the research expenses incurred in the corresponding reporting period. If an authority decides to convert an R&D loan into a grant, that is recognised in the consolidated income statement under other operating income. Government grants related to the acquisition of property, plant and equipment or intangible assets are recognised as decreases in their acquisition costs. Such grants are recognised as income in the form of reduced depreciation during the useful life of the asset. | |||
Impairment of property, plant, equipment and intangible assets | |||
At the end of each reporting period, the Group assesses whether there are indications that an asset may be impaired. If there are any such indications, the respective recoverable amount is assessed. As regards goodwill, the assessment is undertaken annually even if no such indications had become apparent. The recoverable amount is the higher of the asset\u2019s fair value less selling costs or value in use. The value in use is obtained by discounting the present value of the future cash flows from that asset. The discount rate is the weighted average cost of capital (WACC) calculated before tax. An impairment loss is recognised in the consolidated income statement if the carrying amount of an asset exceeds its recoverable amount. An impairment loss other than on goodwill is reversed if there is a change in the circumstances and the asset\u2019s recoverable amount exceeds its carrying amount. An impairment loss is not reversed to more than what the carrying amount of the asset would have been had there been no impairment loss. Impairment of goodwill is recognised in the consolidated income statement under other operating expenses, which include expenses not allocable to specific operations. Intangible assets not yet available for use, comprising mainly marketing authorisations and product rights, are tested for impairment individually for each asset carrying material value in the statement of financial position. Impairment charges are recognised as an expense under the appropriate activity, and for marketing authorisations and product and marketing rights under selling and marketing expenses, and on research and development projects to research and development expenses. | |||
Critical accounting estimates and assumptions, and main related uncertainties concerning impairment of property, plant and equipment and intangible assets | |||
The Management\u2019s view is that until an authority has granted marketing authorisation, it could not be demonstrated that an intangible asset would generate future economic benefits. The Group has therefore not capitalised its internal development costs. The same principle for recognition has been applied for externally purchased services. Actual cash flows can differ from estimated discounted future cash flows because changes in the long-term economic life of the Company\u2019s assets, the forecast selling prices of products, production costs and the discount rate applied in the calculations can lead to the recognition of impairment losses. Assessing the probability of expected future economic benefits and useful lives of property, plant and equipment require management judgement. The estimated useful lives and residual values are reviewed regularly and at least at the end of each reporting period, depreciation periods are adjusted accordingly if there is evidence that useful lives of property, plant and equipment have changed. Also, assessing any indication of impairment requires management judgement. | |||
EUR million, 2025 | Goodwill | Intangible rights1 | Other intangible assets 2 | Total |
Acquisition cost at 1 January | 87.2 | 258.1 | 63.7 | 409.0 |
Additions | 18.3 | 3.7 | 21.9 | |
Disposals | -43.6 | -43.6 | ||
Reclassifications | -18.2 | 18.2 | -0.0 | |
Translation differences | 0.0 | 0.0 | ||
Acquisition cost at 31 December | 87.2 | 214.5 | 85.6 | 387.3 |
Accumulated depreciation and impairment at 1 January | -177.0 | -56.9 | -233.9 | |
Accumulated depreciation on disposals and transfers | 42.2 | 42.2 | ||
Amortisation | -4.1 | -3.6 | -7.7 | |
Impairment | -0.4 | -0.4 | ||
Translation differences | 0.0 | 0.0 | ||
Accumulated depreciation and impairment at 31 December | -139.3 | -60.5 | -199.8 | |
Carrying amount at 1 January | 87.2 | 81.1 | 6.8 | 175.1 |
Carrying amount at 31 December | 87.2 | 75.2 | 25.1 | 187.5 |
EUR million, 2024 | Goodwill | Intangible rights1 | Other intangible assets 2 | Total |
Acquisition cost at 1 January | 87.2 | 242.8 | 62.5 | 392.5 |
Additions | 21.5 | 1.0 | 22.5 | |
Disposals | -4.7 | -1.2 | -5.9 | |
Reclassifications | -1.5 | 1.5 | 0.0 | |
Translation differences | 0.0 | -0.0 | -0.0 | |
Acquisition cost at 31 December | 87.2 | 258.1 | 63.7 | 409.0 |
Accumulated depreciation and impairment at 1 January | -136.0 | -56.4 | -192.4 | |
Accumulated depreciation on disposals and transfers | 4.8 | 1.2 | 6.0 | |
Amortisation | -4.3 | -1.7 | -6.1 | |
Impairment | -41.4 | -41.4 | ||
Translation differences | ||||
Accumulated depreciation and impairment at 31 December | -177.0 | -56.9 | -233.9 | |
Carrying amount at 1 January | 87.2 | 106.8 | 6.1 | 200.1 |
Carrying amount at 31 December | 87.2 | 81.1 | 6.8 | 175.1 |
Accounting policies | ||
The Group as lessee | ||
At the commencement of a lease, the Group recognises a lease liability and a corresponding right-of-use asset. The lease liability is measured at the present value of the lease payments payable over the lease term that have not yet been paid. The leases are discounted at the rate implicit in the lease or the Group\u2019s incremental borrowing rate. The Group discounts the leases using the Group\u2019s incremental borrowing rate. The incremental borrowing rate is based on market rates plus a country risk associated premium. The right-of-use asset is initially measured at acquisition cost, which includes the original amount of the lease liability plus any initial direct costs incurred by the Group, estimated restoration costs and any lease payments made at or prior to commencement, less lease incentives obtained. Leases paid by the Group consist of fixed payments, variable leases and purchase option exercise prices, if it is reasonably certain that the option will be exercised as well as of payments associated with termination sanctions if it has been taken into account in the lease term that the Group will exercise its lease termination option. When a variable lease depends on an index or a rate, these are taken into consideration when determining lease liability. Variable lease payments are initially measured using the index or rate as at the commencement date. The right-of-use asset is measured at acquisition cost less accumulated depreciation and accumulated impairment, adjusted by any cost of remeasurement of the lease liability. Depreciation is recognised in equal instalments over the useful life of the asset or a shorter lease-term. The residual value and useful life of the right-of-use asset is reviewed when necessary, but at least at every year end for the financial statements, and an impairment is recognised if expected economic benefits change. | ||
The Group values the lease liability in subsequent periods using the effective interest method. The lease is subsequently remeasured, for example, when there is a change in future lease payments due to a change in the index or rate used to determine those payments. Changes in the assessment of a purchase option of an underlying asset or an extension or termination option may also lead to a remeasurement of the lease liability. The carrying amount of the right-of-use asset is adjusted by the lease liability amount following a remeasurement, or if the right-of-use asset has a carrying amount of zero, it is recognised in income statement. The lease contracts of the Group mainly include leased premises, cars, production machinery and equipment. The duration of leased premises\u2019 contracts is 4\u201310 years and the duration of both vehicles and machinery and equipment contracts is 3\u20135 years. Payments associated with short-term leases or low-value assets are recognised as a constant expense over the lease term. The lease is determined as short-term lease if the lease period is 12 months or less and as a low-value asset if the value of the asset is less than EUR 3,000. | |||
The Group as lessor | |||
The Group has business facilities that it has leased out to third parties. The Group treats these leases as operating leases, since it does not grant the lessees any gains or risks essentially associated with the leased facility that arise from the ownership of an asset. The Group also has other low-value leases in which it operates as the lessor. Rental revenue from operating leases is recognised in equal instalments in the consolidated statement of income. | |||
Critical accounting estimates and assumptions, and main related uncertainties concerning recognising right-of-use assets | |||
The Group will assess at the time of inception whether a contract is, or contains, a lease and for open-ended contracts judgement is used for determining lease period. The rental period of a lease agreement is defined as the period during which the agreement cannot be cancelled. The lease term is extended by the period covered by an extension option or termination option, if the Group is reasonably certain to exercise the extension option or not to exercise the termination option. | |||
EUR million, 2025 | Leased premises | Cars | Machinery and equipment | Total |
Acquisition cost at 1 January | 11.6 | 7.6 | 1.4 | 20.6 |
Additions | 7.4 | 2.4 | 0.6 | 10.4 |
Disposals | -3.5 | -1.1 | -0.4 | -5.1 |
Translation differences and other changes | -0.2 | -1.1 | -0.3 | 1.3 |
Acquisition cost at 31 December | 15.4 | 10.0 | 1.8 | 27.1 |
Accumulated depreciation and impairment at 1 January | -6.5 | -2.5 | -0.7 | -9.7 |
Accumulated depreciation on disposals and transfers | 3.3 | 1.0 | 0.3 | 4.6 |
Depreciation | -3.3 | -2.6 | -0.4 | -6.3 |
Translation differences and other changes | 0.1 | -1.1 | -0.3 | -1.3 |
Accumulated depreciation and impairment at 31 December | -6.4 | -5.3 | -1.0 | -12.8 |
Carrying amount at 1 January | 5.1 | 5.0 | 0.7 | 10.8 |
Carrying amount at 31 December | 8.9 | 4.7 | 0.8 | 14.4 |
EUR million, 2024 | Leased premises | Cars | Machinery and equipment | Total |
Acquisition cost at 1 January | 11.9 | 3.9 | 1.7 | 17.5 |
Additions | 2.9 | 4.3 | 0.4 | 7.6 |
Disposals | -3.3 | -0.7 | -0.7 | -4.6 |
Translation differences | 0.1 | -0.0 | -0.0 | 0.1 |
Acquisition cost at 31 December | 11.6 | 7.6 | 1.4 | 20.6 |
Accumulated depreciation and impairment at 1 January | -7.3 | -1.2 | -0.9 | -9.4 |
Accumulated depreciation on disposals and transfers | 3.2 | 0.7 | 0.5 | 4.5 |
Depreciation | -4.7 | -2.0 | -0.4 | -7.1 |
Translation differences | -0.1 | 0.0 | 0.0 | -0.1 |
Accumulated depreciation and impairment at 31 December | -6.5 | -2.5 | -0.7 | -9.7 |
Carrying amount at 1 January | 4.6 | 2.7 | 0.8 | 8.1 |
Carrying amount at 31 December | 5.1 | 5.0 | 0.7 | 10.8 |
EUR million | 2025 | 2024 |
Depreciation from right-of-use assets | 6.3 | 4.8 |
Interest expenses from lease liabilities | 0.6 | 0.3 |
Expense from short-term lease | 0.9 | 1.1 |
Expense from leases of low-value assets | 2.5 | 2.6 |
Lease income from third parties | -2.4 | -1.7 |
Total | 7.8 | 7.2 |
Accounting policies | ||
The Group as lessee | ||
At the commencement of a lease, the Group recognises a lease liability and a corresponding right-of-use asset. The lease liability is measured at the present value of the lease payments payable over the lease term that have not yet been paid. The leases are discounted at the rate implicit in the lease or the Group\u2019s incremental borrowing rate. The Group discounts the leases using the Group\u2019s incremental borrowing rate. The incremental borrowing rate is based on market rates plus a country risk associated premium. The right-of-use asset is initially measured at acquisition cost, which includes the original amount of the lease liability plus any initial direct costs incurred by the Group, estimated restoration costs and any lease payments made at or prior to commencement, less lease incentives obtained. Leases paid by the Group consist of fixed payments, variable leases and purchase option exercise prices, if it is reasonably certain that the option will be exercised as well as of payments associated with termination sanctions if it has been taken into account in the lease term that the Group will exercise its lease termination option. When a variable lease depends on an index or a rate, these are taken into consideration when determining lease liability. Variable lease payments are initially measured using the index or rate as at the commencement date. The right-of-use asset is measured at acquisition cost less accumulated depreciation and accumulated impairment, adjusted by any cost of remeasurement of the lease liability. Depreciation is recognised in equal instalments over the useful life of the asset or a shorter lease-term. The residual value and useful life of the right-of-use asset is reviewed when necessary, but at least at every year end for the financial statements, and an impairment is recognised if expected economic benefits change. | ||
The Group values the lease liability in subsequent periods using the effective interest method. The lease is subsequently remeasured, for example, when there is a change in future lease payments due to a change in the index or rate used to determine those payments. Changes in the assessment of a purchase option of an underlying asset or an extension or termination option may also lead to a remeasurement of the lease liability. The carrying amount of the right-of-use asset is adjusted by the lease liability amount following a remeasurement, or if the right-of-use asset has a carrying amount of zero, it is recognised in income statement. The lease contracts of the Group mainly include leased premises, cars, production machinery and equipment. The duration of leased premises\u2019 contracts is 4\u201310 years and the duration of both vehicles and machinery and equipment contracts is 3\u20135 years. Payments associated with short-term leases or low-value assets are recognised as a constant expense over the lease term. The lease is determined as short-term lease if the lease period is 12 months or less and as a low-value asset if the value of the asset is less than EUR 3,000. | |||
The Group as lessor | |||
The Group has business facilities that it has leased out to third parties. The Group treats these leases as operating leases, since it does not grant the lessees any gains or risks essentially associated with the leased facility that arise from the ownership of an asset. The Group also has other low-value leases in which it operates as the lessor. Rental revenue from operating leases is recognised in equal instalments in the consolidated statement of income. | |||
Critical accounting estimates and assumptions, and main related uncertainties concerning recognising right-of-use assets | |||
The Group will assess at the time of inception whether a contract is, or contains, a lease and for open-ended contracts judgement is used for determining lease period. The rental period of a lease agreement is defined as the period during which the agreement cannot be cancelled. The lease term is extended by the period covered by an extension option or termination option, if the Group is reasonably certain to exercise the extension option or not to exercise the termination option. | |||
Share of ownership, % 31 Dec | Domicile | 2025 | 2024 |
Hangon Puhdistamo Oy | Hanko | 50.0% | 50.0% |
EUR million | 2025 | 2024 |
Assets | 3.4 | 4.7 |
Liabilities | 2.9 | 4.2 |
Revenue | 2.8 | 2.9 |
Profit for the period | 0.0 | 0.0 |
Accounting policies | ||
Inventories are presented in the statement of financial position using the standard price for self-manufactured products, and for purchased products using the moving average price method of variable costs incurred from procurement and manufacturing, or if lower, the probable selling price or replacement cost. Inventories are valued at the cost of the materials consumed plus the cost of conversion, which comprises costs directly proportional to the amount produced and a systematically allocated share of fixed and variable production overheads. The net realisable value is the estimated selling price obtained in the ordinary course of business, from which the estimated expenses necessary to complete the product and the expenses arising from the sale have been deducted. | ||
EUR million, 31 Dec | 2025 | 2024 |
Raw materials and consumables | 157.2 | 118.4 |
Work in progress | 117.0 | 95.6 |
Finished products and goods | 182.0 | 204.6 |
Total | 456.3 | 418.6 |
Accounting policies | ||
Inventories are presented in the statement of financial position using the standard price for self-manufactured products, and for purchased products using the moving average price method of variable costs incurred from procurement and manufacturing, or if lower, the probable selling price or replacement cost. Inventories are valued at the cost of the materials consumed plus the cost of conversion, which comprises costs directly proportional to the amount produced and a systematically allocated share of fixed and variable production overheads. The net realisable value is the estimated selling price obtained in the ordinary course of business, from which the estimated expenses necessary to complete the product and the expenses arising from the sale have been deducted. | ||
Carrying amount | Fair value | Carrying amount | Fair value | |
EUR million, 31 Dec | 2025 | 2025 | 2024 | 2024 |
Trade receivables | 352.3 | 352.3 | 254.9 | 254.9 |
Current loan receivables from associate | 0.3 | 0.3 | 0.1 | 0.1 |
Interest receivables | 0.4 | 0.4 | 0.4 | 0.4 |
Prepaid expenses and accrued income | 356.4 | 356.4 | 117.0 | 117.0 |
Derivative contracts | 0.6 | 0.6 | 0.2 | 0.2 |
VAT receivables | 8.5 | 8.5 | 7.0 | 7.0 |
Other current receivables | 7.7 | 7.7 | 12.0 | 12.0 |
Other receivables | 374.0 | 374.0 | 136.8 | 136.8 |
Total | 726.3 | 726.3 | 391.7 | 391.7 |
EUR million, 31 Dec | 2025 | 2024 |
Assets based on contracts | 341.5 | 102.0 |
Service and maintenance | 4.6 | 5.0 |
Pending research and development contributions | 2.6 | 2.0 |
Other prepaid expenses | 7.7 | 7.9 |
Total | 356.4 | 117.0 |
EUR million, 31 Dec | 2025 | 2024 |
Non-current loan receivables from associate | 2.3 | 0.6 |
Other non-current receivables | 0.2 | 0.2 |
Total | 2.5 | 0.8 |
Accounting policies | |||
A provision is recognised when the Group has a present legal or constructive obligation as a result of a past event, and it is probable that an outflow of resources will be required to settle the obligation and a reliable estimate of the amount of the obligation can be made. Provisions are reviewed at the end of each reporting period and adjusted to reflect the current best estimate or reversed if they are no longer needed. A provision for restructuring costs is recognised only when general recognition criteria for provision are met and when the Group has compiled a detailed restructuring plan, to which it is committed and launched its implementation or informed the parties concerned on criteria on restructuring plan. Pension provisions include provisions for costs of additional days relating to unemployment pension. Other provisions include clawback and litigation provisions and employee related provisions other than restructuring provisions. | |||
Critical accounting estimates and assumptions, and main related uncertainties concerning provisions | |||
The amount recognised as a provision is the best estimate of the expenditure required to settle the obligation at the reporting day, taking into account related risks and uncertainties, management judgment supplemented by experience with similar transactions and future events when there is sufficient evidence that they will occur and affect the amount of payment. Provisions for restructuring costs are recognised when the requirements for recognition are satisfied. For reasons beyond the control of management the final costs may differ from the initial amount for which the provision has been established. | |||
EUR million | Restructuring provisions | Pension provisions | Other provisions | Total |
1 January 2025 | 0.5 | 2.1 | 2.6 | |
Utilised during the period | -0.2 | -1.1 | -1.3 | |
Reversal of provision | -0.1 | -0.1 | ||
Additions to provisions | 0.2 | 2.7 | 2.9 | |
Translation differences | 0.0 | 0.0 | 0.0 | |
31 December 2025 | 0.5 | 3.6 | 4.1 | |
EUR million, 31 Dec | 2025 | |||
Non-current provisions | 0.6 | |||
Current provisions | 3.6 | |||
Total | 4.1 |
Accounting policies | |||
A provision is recognised when the Group has a present legal or constructive obligation as a result of a past event, and it is probable that an outflow of resources will be required to settle the obligation and a reliable estimate of the amount of the obligation can be made. Provisions are reviewed at the end of each reporting period and adjusted to reflect the current best estimate or reversed if they are no longer needed. A provision for restructuring costs is recognised only when general recognition criteria for provision are met and when the Group has compiled a detailed restructuring plan, to which it is committed and launched its implementation or informed the parties concerned on criteria on restructuring plan. Pension provisions include provisions for costs of additional days relating to unemployment pension. Other provisions include clawback and litigation provisions and employee related provisions other than restructuring provisions. | |||
Critical accounting estimates and assumptions, and main related uncertainties concerning provisions | |||
The amount recognised as a provision is the best estimate of the expenditure required to settle the obligation at the reporting day, taking into account related risks and uncertainties, management judgment supplemented by experience with similar transactions and future events when there is sufficient evidence that they will occur and affect the amount of payment. Provisions for restructuring costs are recognised when the requirements for recognition are satisfied. For reasons beyond the control of management the final costs may differ from the initial amount for which the provision has been established. | |||
EUR million, 31 Dec | 2025 | 2024 |
Trade payables | 123.5 | 87.1 |
Derivative contracts | 0.2 | 0.5 |
Other current liabilities to associates | 0.1 | 0.1 |
Accrued liabilities and deferred income | 157.3 | 117.6 |
VAT liabilities | 15.4 | 9.9 |
Advance payments | 2.7 | 2.3 |
Other current liabilities | 15.6 | 14.5 |
Other liabilities | 191.1 | 144.7 |
Total | 314.6 | 231.9 |
EUR million, 31 Dec | 2025 | 2024 |
Personnel expenses | 85.3 | 73.2 |
Liabilities based on contracts | 18.4 | 17.2 |
Price reductions | 1.3 | 2.3 |
Research and development expenses | 12.5 | 5.9 |
Accrued interests | 0.2 | 0.3 |
Unpaid royalties | 17.9 | 4.8 |
Other accrued liabilities and deferred income | 21.6 | 13.9 |
Total | 157.3 | 117.6 |
EUR million, 31 Dec | 2025 | 2024 |
Liabilities based on contracts | 2.3 | 4.1 |
Other liabilities | 6.9 | 10.2 |
Total | 9.2 | 14.4 |
EUR million, 31 Dec | 2025 | 2024 |
Personnel expenses | 85.3 | 73.2 |
Liabilities based on contracts | 18.4 | 17.2 |
Price reductions | 1.3 | 2.3 |
Research and development expenses | 12.5 | 5.9 |
Accrued interests | 0.2 | 0.3 |
Unpaid royalties | 17.9 | 4.8 |
Other accrued liabilities and deferred income | 21.6 | 13.9 |
Total | 157.3 | 117.6 |
EUR million, 31 Dec | 2025 | 2024 |
Personnel expenses | 85.3 | 73.2 |
Liabilities based on contracts | 18.4 | 17.2 |
Price reductions | 1.3 | 2.3 |
Research and development expenses | 12.5 | 5.9 |
Accrued interests | 0.2 | 0.3 |
Unpaid royalties | 17.9 | 4.8 |
Other accrued liabilities and deferred income | 21.6 | 13.9 |
Total | 157.3 | 117.6 |
EUR million, 31 Dec | 2025 | 2024 |
Liabilities based on contracts | 2.3 | 4.1 |
Other liabilities | 6.9 | 10.2 |
Total | 9.2 | 14.4 |
Accounting policies | |||
The benefits under the share-based incentive plan for key employees approved by the Board of Directors are recognised as an expense in the income statement during the vesting period of the benefit. The equity-settled portion is measured at fair value at the time of granting the benefit, and an increase corresponding to the expense entry in the statement of comprehensive income is recognised in equity. The cash-settled portion is recognised as a liability, which is measured at fair value at the end of the reporting period. The 2025\u20132027 plan is accounted for in full as an equity\u2011settled arrangement whereas in other plans cash- settled and equity-settled portions have been accounted separately. The fair value of equity- settled portions has been determined at the grant date minus the estimated dividends that will not be received during the vesting period. The fair value is based on the Group's estimate of the number of shares to which the right is expected to be vested at the end of the vesting period. The estimate is reviewed at the end of each reporting period and the effect of revisions is recognised as personnel expenses in the income statement for the current reporting period. | |||
Critical accounting estimates and assumptions concerning share-based incentive plans | |||
Non-market vesting conditions, such as individual goals and result targets, affect the estimate of the final number of shares and amount of associated cash payments. The estimate of the final number of shares and associated cash payments is updated at the end of each reporting period. Changes in estimates are recognised in the statement of comprehensive income. | |||
EUR million | 2025 | 2024 |
Wages and salaries | 254.8 | 234.7 |
Pension costs, defined contribution plans | 36.4 | 33.3 |
Pension costs, defined benefit plans | 0.0 | 0.3 |
Share-based incentive plans, equity-settled | 8.8 | 8.4 |
Share-based incentive plans, cash-settled | 12.7 | 10.1 |
Other social security expenses | 19.2 | 17.1 |
Total | 331.9 | 303.9 |
Person | 2025 | 2024 |
Average number of personnel | 4,003 | 3,712 |
Earning period | Reward paid / potential reward to be paid |
2022\u20132024 | 10 Mar 2025 |
2023\u20132025 | 2026 |
2024\u20132026 | 2027 |
2025\u20132027 | 2028 |
2025\u20142027 | 2024\u20142026 | 2023\u20142025 | 2022\u20142024 | |
Start date of earning period | 1 Jan 2025 | 1 Jan 2024 | 1 Jan 2023 | 1 Jan 2022 |
End date of earning period | 31 Dec 2027 | 31 Dec 2026 | 31 Dec 2025 | 31 Dec 2024 |
Grant date of share rewards | 24 Mar 2025 | 29 Feb 2024 | 23 Mar 2023 | 22 Mar 2022 |
Fair value of shares at granting, EUR | 51.56 | 36.40 | 41.55 | 41.93 |
2025 | 2024 | 2023 | |
Number of shares transferred during period | 191,911 | 150,118 | 149,798 |
Price per transferred share, EUR 1 | 53.72 | 36.43 | 44.26 |
Total price of transferred shares, EUR million | 10.3 | 5.5 | 6.6 |
Earning periods | 2022 | 2023 | 2024 | 2025 | 2026 | 2027 | 2028 | ||||||||
The plan commenced in 2022 | 2022\u22122024 | \u25cf | 1 | 2 | 3 | \u25cf | |||||||||
2023\u22122025 | \u25cf | 1 | 2 | 3 | \u25cf | ||||||||||
2024\u22122026 | \u25cf | 1 | 2 | 3 | \u25cf | ||||||||||
The plan commenced in 2025 | 2025\u22122027 | \u25cf | 1 | 2 | 3 | \u25cf | |||||||||
Granting of share rewards | March | Earning period | Reward paid / potential reward to be paid | March |
Accounting policies | |||
The Group has pension plans in accordance with each country\u2019s local regulations and practices. The Group has both defined contribution and defined benefit plans. In the defined contribution plans, the Group pays fixed contributions to separate entities. The Group has no legal or constructive obligations to pay further contributions if the recipient of the contributions is unable to pay the employee benefits. All the plans that do not fulfil these criteria are defined benefit plans. The payments to the defined contribution plans are recognised as expenses in the statement of comprehensive income in accordance with the contributions payable for the period. The Orion Group has defined benefit pension plans in Finland, France and Norway. In Finland Orion Pension Fund A provides pension plans for white-collar staff working in Finland.\u00a0 It is a closed supplementary insurance, which is entirely defined benefit based.\u00a0 Assets of the Orion Pension Fund are invested in accordance with Finnish legislation. The management and Board of Directors of the Pension Fund are responsible for management of the assets of the Fund. The Group also has defined benefit pension plans in France and in Norway. In Norway the plan it closed supplementary insurance, which a party outside of the Group provides asset management. In addition, some individual persons in the Group has defined benefit pension plans taken out with life assurance companies. The obligations under the defined benefit pension plans have been calculated separately for each plan. | |||
The pension expenses related to the defined benefit pension plans have been calculated using the projected unit credit method. The pension expenses are recognised as expenses by distributing them over the whole estimated period of service of the personnel. The net defined benefit liability recognised in the statement of financial position is the present value of the defined benefit obligation at the end date of the reporting period less the fair value of plan assets. The present value of the defined benefit obligation is the present value of the estimated future pensions payable, and the discount rate applied is the interest rate of low-risk bonds issued by companies with a maturity that corresponds to that of the defined benefit obligation as closely as possible. The interest rate is derived from bonds issued in the same currency as the benefits payable. | |||
Items arising from remeasurement of defined benefit plan assets are recognised directly into components of other comprehensive income during the period when they arise. The most substantial items due to remeasurement in the Group are due to actuarial gains and losses and return on the plan assets (excluding net interest items). The Group applies an accounting procedure in which net interest arising from plan assets is recognised functionally above operating profit as part of defined benefit plan pension expense. | |||
Critical accounting estimates and assumptions, and main related uncertainties concerning pension assets and pension liabilities | |||
The Group has various pension plans to provide for the retirement of its employees or to provide for when the employment ends. Various statistical and other actuarial assumptions are applied in calculating the expenses and liabilities of employee benefits, such as the discount rate, estimated changes in the future level of wages and salaries, and employee turnover. The statistical assumptions made can differ considerably from the actual trend because of, among other things, a changed general economic situation and the length of the period of service. The gains and losses due to changes in actuarial assumptions are recorded into components of other comprehensive income during the period in which they arise. The changes affect the other comprehensive income for the period. | |||
Pension fund | Other | Pension fund | Other | |
EUR million, 31 Dec | 2025 | 2025 | 2024 | 2024 |
Present value of funded obligations | 18.5 | 14.7 | 20.0 | 15.1 |
Fair value of plan assets | -31.3 | -12.5 | -30.6 | -12.8 |
Surplus (-) / deficit (+) | -12.8 | 2.1 | -10.6 | 2.3 |
Present value of unfunded obligations | 0.5 | 0.5 | ||
Net asset (-) / liability (+) recognised in the statement of financial position | -12.8 | 2.6 | -10.6 | 2.8 |
Pension fund | Other | Pension fund | Other | |
EUR million, 31 Dec | 2025 | 2025 | 2024 | 2024 |
Liabilities | 2.6 | 2.8 | ||
Asset | -12.8 | -10.6 | ||
Net asset (-) / liability (+) recognised in the statement of financial position | -12.8 | 2.6 | -10.6 | 2.8 |
Pension fund | Other | Pension fund | Other | |
EUR million | 2025 | 2025 | 2024 | 2024 |
Current service cost | 0.1 | 0.0 | 0.2 | 0.2 |
Interest expense and income, total | -0.3 | 0.1 | -0.2 | 0.2 |
Pension expenses (+) / income (-) in income statement | -0.2 | 0.2 | -0.1 | 0.3 |
Items due to remeasurement | -2.2 | -0.0 | -3.7 | -0.8 |
Pension expense (+) / income (-) statement of comprehensive income | -2.4 | 0.2 | -3.8 | -0.5 |
Pension fund | Other | Pension fund | Other | |
EUR million | 2025 | 2025 | 2024 | 2024 |
Cost of goods sold | 0.0 | |||
Selling and marketing | 0.0 | 0.2 | ||
Research and development | 0.0 | |||
Administration | -0.2 | 0.1 | -0.1 | 0.1 |
Pension expense (+) / income (-) in the income statement | -0.2 | 0.2 | -0.1 | 0.3 |
Pension fund | Other | Pension fund | Other | |
EUR million | 2025 | 2025 | 2024 | 2024 |
Defined benefit plan obligation at 1 January | 20.0 | 15.6 | 24.0 | 17.0 |
Current service cost | 0.1 | 0.0 | 0.2 | 0.2 |
Interest expense | 0.6 | 0.6 | 0.8 | 0.6 |
Items due to remeasurement | ||||
Gains (-) or losses (+) due to change in demographic assumptions | ||||
Gains (-) or losses (+) due to change in economic assumptions | -0.7 | -0.4 | -0.7 | -0.4 |
Experienced gains (-) or losses (+) | -0.2 | 0.4 | -3.2 | -0.6 |
Total | -0.9 | -0.0 | -3.8 | -0.9 |
Translation differences and other adjustments | -0.1 | -0.2 | ||
Benefits paid | -1.3 | -1.0 | -1.1 | -1.0 |
Obligation at 31 December | 18.5 | 15.1 | 20.0 | 15.6 |
Pension fund | Other | Pension fund | Other | |
EUR million | 2025 | 2025 | 2024 | 2024 |
Fair value of plan assets at 1 January | 30.6 | 12.8 | 30.9 | 12.9 |
Interest income | 1.0 | 0.4 | 1.0 | 0.4 |
Items due to remeasurement | ||||
Return on plan assets excluding items in interest expense and income | 1.3 | -0.0 | -0.1 | -0.1 |
Total | 1.3 | -0.0 | -0.1 | -0.1 |
Translation differences and other adjustments | -0.0 | -0.2 | ||
Employer contributions | -0.3 | 0.3 | -0.1 | 0.7 |
Benefits paid | -1.3 | -0.9 | -1.1 | -0.9 |
Fair value of plan assets at 31 December | 31.3 | 12.5 | 30.6 | 12.8 |
%, 31 Dec | 2025 | 2024 |
Equity in developed markets | 41% | 44% |
Equity in emerging markets | 0% | 0% |
Bonds | 46% | 32% |
Cash and money market investments | 3% | 3% |
Properties | 11% | 21% |
Other | 0% | 0% |
Total | 100% | 100% |
Pension fund | Other | Pension fund | Other | |
% | 2025 | 2024 | 2024 | 2024 |
Discount rate | 3.8% | 3.9% | 3.3% | 3.9% |
Inflation rate | 2.0% | 2.0% | 1.9% | 2.3% |
Future pension increases | 2.3% | 2.4% | 2.2% | 2.4% |
Future salary increases | 2.0% | 4.0% | 2.0% | 4.0% |
EUR million | 2025 | 2024 |
Paid salaries, other paid performance bonuses and other short-term benefits | 5.0 | 7.2 |
Share-based benefits | 8.3 | 2.2 |
Post-employment benefits | 0.6 | 0.6 |
Total | 13.9 | 9.9 |
EUR million | 2025 | 2024 |
Liisa Hurme, President and CEO | 3.0 | 2.3 |
Veli-Matti Mattila, Chairman | 0.1 | 0.1 |
Hilpi Rautelin, Vice Chairman | 0.1 | 0.1 |
Kari Jussi Aho | 0.1 | 0.1 |
Maziar Mike Doustdar | 0.1 | 0.1 |
Ari Lehtoranta | 0.1 | 0.1 |
Eija Ronkainen | 0.1 | 0.1 |
Henrik Stenqvist | 0.1 | 0.1 |
Karen Lykke S\u00f8rensen | 0.1 | 0.1 |
Mikael Silvennoinen (until 20 March 2024) | 0.0 | 0.0 |
Board of Directors, total | 0.7 | 0.6 |
Accounting policies | |||
The benefits under the share-based incentive plan for key employees approved by the Board of Directors are recognised as an expense in the income statement during the vesting period of the benefit. The equity-settled portion is measured at fair value at the time of granting the benefit, and an increase corresponding to the expense entry in the statement of comprehensive income is recognised in equity. The cash-settled portion is recognised as a liability, which is measured at fair value at the end of the reporting period. The 2025\u20132027 plan is accounted for in full as an equity\u2011settled arrangement whereas in other plans cash- settled and equity-settled portions have been accounted separately. The fair value of equity- settled portions has been determined at the grant date minus the estimated dividends that will not be received during the vesting period. The fair value is based on the Group's estimate of the number of shares to which the right is expected to be vested at the end of the vesting period. The estimate is reviewed at the end of each reporting period and the effect of revisions is recognised as personnel expenses in the income statement for the current reporting period. | |||
Critical accounting estimates and assumptions concerning share-based incentive plans | |||
Non-market vesting conditions, such as individual goals and result targets, affect the estimate of the final number of shares and amount of associated cash payments. The estimate of the final number of shares and associated cash payments is updated at the end of each reporting period. Changes in estimates are recognised in the statement of comprehensive income. | |||
Earning period | Reward paid / potential reward to be paid |
2022\u20132024 | 10 Mar 2025 |
2023\u20132025 | 2026 |
2024\u20132026 | 2027 |
2025\u20132027 | 2028 |
2025\u20142027 | 2024\u20142026 | 2023\u20142025 | 2022\u20142024 | |
Start date of earning period | 1 Jan 2025 | 1 Jan 2024 | 1 Jan 2023 | 1 Jan 2022 |
End date of earning period | 31 Dec 2027 | 31 Dec 2026 | 31 Dec 2025 | 31 Dec 2024 |
Grant date of share rewards | 24 Mar 2025 | 29 Feb 2024 | 23 Mar 2023 | 22 Mar 2022 |
Fair value of shares at granting, EUR | 51.56 | 36.40 | 41.55 | 41.93 |
2025 | 2024 | 2023 | |
Number of shares transferred during period | 191,911 | 150,118 | 149,798 |
Price per transferred share, EUR 1 | 53.72 | 36.43 | 44.26 |
Total price of transferred shares, EUR million | 10.3 | 5.5 | 6.6 |
Earning periods | 2022 | 2023 | 2024 | 2025 | 2026 | 2027 | 2028 | ||||||||
The plan commenced in 2022 | 2022\u22122024 | \u25cf | 1 | 2 | 3 | \u25cf | |||||||||
2023\u22122025 | \u25cf | 1 | 2 | 3 | \u25cf | ||||||||||
2024\u22122026 | \u25cf | 1 | 2 | 3 | \u25cf | ||||||||||
The plan commenced in 2025 | 2025\u22122027 | \u25cf | 1 | 2 | 3 | \u25cf | |||||||||
Granting of share rewards | March | Earning period | Reward paid / potential reward to be paid | March |
Person | 2025 | 2024 |
Average number of personnel | 4,003 | 3,712 |
Earning period | Reward paid / potential reward to be paid |
2022\u20132024 | 10 Mar 2025 |
2023\u20132025 | 2026 |
2024\u20132026 | 2027 |
2025\u20132027 | 2028 |
2025\u20142027 | 2024\u20142026 | 2023\u20142025 | 2022\u20142024 | |
Start date of earning period | 1 Jan 2025 | 1 Jan 2024 | 1 Jan 2023 | 1 Jan 2022 |
End date of earning period | 31 Dec 2027 | 31 Dec 2026 | 31 Dec 2025 | 31 Dec 2024 |
Grant date of share rewards | 24 Mar 2025 | 29 Feb 2024 | 23 Mar 2023 | 22 Mar 2022 |
Fair value of shares at granting, EUR | 51.56 | 36.40 | 41.55 | 41.93 |
2025 | 2024 | 2023 | |
Number of shares transferred during period | 191,911 | 150,118 | 149,798 |
Price per transferred share, EUR 1 | 53.72 | 36.43 | 44.26 |
Total price of transferred shares, EUR million | 10.3 | 5.5 | 6.6 |
Earning periods | 2022 | 2023 | 2024 | 2025 | 2026 | 2027 | 2028 | ||||||||
The plan commenced in 2022 | 2022\u22122024 | \u25cf | 1 | 2 | 3 | \u25cf | |||||||||
2023\u22122025 | \u25cf | 1 | 2 | 3 | \u25cf | ||||||||||
2024\u22122026 | \u25cf | 1 | 2 | 3 | \u25cf | ||||||||||
The plan commenced in 2025 | 2025\u22122027 | \u25cf | 1 | 2 | 3 | \u25cf | |||||||||
Granting of share rewards | March | Earning period | Reward paid / potential reward to be paid | March |
Accounting policies | |||
The Group has pension plans in accordance with each country\u2019s local regulations and practices. The Group has both defined contribution and defined benefit plans. In the defined contribution plans, the Group pays fixed contributions to separate entities. The Group has no legal or constructive obligations to pay further contributions if the recipient of the contributions is unable to pay the employee benefits. All the plans that do not fulfil these criteria are defined benefit plans. The payments to the defined contribution plans are recognised as expenses in the statement of comprehensive income in accordance with the contributions payable for the period. The Orion Group has defined benefit pension plans in Finland, France and Norway. In Finland Orion Pension Fund A provides pension plans for white-collar staff working in Finland.\u00a0 It is a closed supplementary insurance, which is entirely defined benefit based.\u00a0 Assets of the Orion Pension Fund are invested in accordance with Finnish legislation. The management and Board of Directors of the Pension Fund are responsible for management of the assets of the Fund. The Group also has defined benefit pension plans in France and in Norway. In Norway the plan it closed supplementary insurance, which a party outside of the Group provides asset management. In addition, some individual persons in the Group has defined benefit pension plans taken out with life assurance companies. The obligations under the defined benefit pension plans have been calculated separately for each plan. | |||
The pension expenses related to the defined benefit pension plans have been calculated using the projected unit credit method. The pension expenses are recognised as expenses by distributing them over the whole estimated period of service of the personnel. The net defined benefit liability recognised in the statement of financial position is the present value of the defined benefit obligation at the end date of the reporting period less the fair value of plan assets. The present value of the defined benefit obligation is the present value of the estimated future pensions payable, and the discount rate applied is the interest rate of low-risk bonds issued by companies with a maturity that corresponds to that of the defined benefit obligation as closely as possible. The interest rate is derived from bonds issued in the same currency as the benefits payable. | |||
Items arising from remeasurement of defined benefit plan assets are recognised directly into components of other comprehensive income during the period when they arise. The most substantial items due to remeasurement in the Group are due to actuarial gains and losses and return on the plan assets (excluding net interest items). The Group applies an accounting procedure in which net interest arising from plan assets is recognised functionally above operating profit as part of defined benefit plan pension expense. | |||
Critical accounting estimates and assumptions, and main related uncertainties concerning pension assets and pension liabilities | |||
The Group has various pension plans to provide for the retirement of its employees or to provide for when the employment ends. Various statistical and other actuarial assumptions are applied in calculating the expenses and liabilities of employee benefits, such as the discount rate, estimated changes in the future level of wages and salaries, and employee turnover. The statistical assumptions made can differ considerably from the actual trend because of, among other things, a changed general economic situation and the length of the period of service. The gains and losses due to changes in actuarial assumptions are recorded into components of other comprehensive income during the period in which they arise. The changes affect the other comprehensive income for the period. | |||
Pension fund | Other | Pension fund | Other | |
EUR million, 31 Dec | 2025 | 2025 | 2024 | 2024 |
Present value of funded obligations | 18.5 | 14.7 | 20.0 | 15.1 |
Fair value of plan assets | -31.3 | -12.5 | -30.6 | -12.8 |
Surplus (-) / deficit (+) | -12.8 | 2.1 | -10.6 | 2.3 |
Present value of unfunded obligations | 0.5 | 0.5 | ||
Net asset (-) / liability (+) recognised in the statement of financial position | -12.8 | 2.6 | -10.6 | 2.8 |
Pension fund | Other | Pension fund | Other | |
EUR million, 31 Dec | 2025 | 2025 | 2024 | 2024 |
Liabilities | 2.6 | 2.8 | ||
Asset | -12.8 | -10.6 | ||
Net asset (-) / liability (+) recognised in the statement of financial position | -12.8 | 2.6 | -10.6 | 2.8 |
Pension fund | Other | Pension fund | Other | |
EUR million | 2025 | 2025 | 2024 | 2024 |
Current service cost | 0.1 | 0.0 | 0.2 | 0.2 |
Interest expense and income, total | -0.3 | 0.1 | -0.2 | 0.2 |
Pension expenses (+) / income (-) in income statement | -0.2 | 0.2 | -0.1 | 0.3 |
Items due to remeasurement | -2.2 | -0.0 | -3.7 | -0.8 |
Pension expense (+) / income (-) statement of comprehensive income | -2.4 | 0.2 | -3.8 | -0.5 |
Pension fund | Other | Pension fund | Other | |
EUR million | 2025 | 2025 | 2024 | 2024 |
Cost of goods sold | 0.0 | |||
Selling and marketing | 0.0 | 0.2 | ||
Research and development | 0.0 | |||
Administration | -0.2 | 0.1 | -0.1 | 0.1 |
Pension expense (+) / income (-) in the income statement | -0.2 | 0.2 | -0.1 | 0.3 |
Pension fund | Other | Pension fund | Other | |
EUR million | 2025 | 2025 | 2024 | 2024 |
Defined benefit plan obligation at 1 January | 20.0 | 15.6 | 24.0 | 17.0 |
Current service cost | 0.1 | 0.0 | 0.2 | 0.2 |
Interest expense | 0.6 | 0.6 | 0.8 | 0.6 |
Items due to remeasurement | ||||
Gains (-) or losses (+) due to change in demographic assumptions | ||||
Gains (-) or losses (+) due to change in economic assumptions | -0.7 | -0.4 | -0.7 | -0.4 |
Experienced gains (-) or losses (+) | -0.2 | 0.4 | -3.2 | -0.6 |
Total | -0.9 | -0.0 | -3.8 | -0.9 |
Translation differences and other adjustments | -0.1 | -0.2 | ||
Benefits paid | -1.3 | -1.0 | -1.1 | -1.0 |
Obligation at 31 December | 18.5 | 15.1 | 20.0 | 15.6 |
Pension fund | Other | Pension fund | Other | |
EUR million | 2025 | 2025 | 2024 | 2024 |
Fair value of plan assets at 1 January | 30.6 | 12.8 | 30.9 | 12.9 |
Interest income | 1.0 | 0.4 | 1.0 | 0.4 |
Items due to remeasurement | ||||
Return on plan assets excluding items in interest expense and income | 1.3 | -0.0 | -0.1 | -0.1 |
Total | 1.3 | -0.0 | -0.1 | -0.1 |
Translation differences and other adjustments | -0.0 | -0.2 | ||
Employer contributions | -0.3 | 0.3 | -0.1 | 0.7 |
Benefits paid | -1.3 | -0.9 | -1.1 | -0.9 |
Fair value of plan assets at 31 December | 31.3 | 12.5 | 30.6 | 12.8 |
%, 31 Dec | 2025 | 2024 |
Equity in developed markets | 41% | 44% |
Equity in emerging markets | 0% | 0% |
Bonds | 46% | 32% |
Cash and money market investments | 3% | 3% |
Properties | 11% | 21% |
Other | 0% | 0% |
Total | 100% | 100% |
Pension fund | Other | Pension fund | Other | |
% | 2025 | 2024 | 2024 | 2024 |
Discount rate | 3.8% | 3.9% | 3.3% | 3.9% |
Inflation rate | 2.0% | 2.0% | 1.9% | 2.3% |
Future pension increases | 2.3% | 2.4% | 2.2% | 2.4% |
Future salary increases | 2.0% | 4.0% | 2.0% | 4.0% |
Accounting policies | |||
The income tax expense in the consolidated income statement includes taxes based on the profit of the Group companies for the financial year, tax adjustments for previous financial years and deferred tax. For items recognised directly in equity, the corresponding tax effect is also recognised in equity. Current tax is calculated on the basis of the tax rate in force in each country. Interest expenses on income taxes are reported as part of interest expenses. | |||
EUR million | 2025 | 2024 |
Current taxes | 123.0 | 84.2 |
Adjustments for current tax of prior periods | -0.1 | -0.2 |
Changes in deferred taxes | 4.5 | -0.7 |
Total | 127.5 | 83.2 |
EUR million | 2025 | 2024 |
Profit before taxes | 627.8 | 413.1 |
Consolidated income taxes at Group\u2019s domestic tax rate | 125.6 | 82.6 |
Impact of different tax rates of foreign subsidiaries | 0.7 | 0.7 |
Tax adjustments for previous financial years | 0.9 | 0.2 |
Research and development tax credits | -0.4 | -0.7 |
Non-tax deductible expenses | 1.0 | 0.6 |
Other items | -0.3 | -0.2 |
Income tax expense recognised in consolidated income statement | 127.5 | 83.2 |
Effective tax rate | 20.3% | 20.1% |
Accounting policies | |||
Deferred tax is computed on temporary differences between the carrying amount and the taxable value. Deferred taxes have been calculated using the statutory tax rates or the tax rates enacted or substantively enacted as at reporting date. Deferred tax assets are only recognised to the extent that it is probable that future taxable profit will be available against which the temporary differences can be utilised. Deferred taxes are not recognised on items that do not affect accounting or tax profit. Deferred tax assets and liabilities are offset when there is a legally enforceable right to offset current tax assets against current tax liabilities and when the deferred income tax assets and liabilities relate to income taxes levied by the same taxation authority on either the same taxable entity or different taxable entities where there is an intention to settle the balances on a net basis. | |||
Critical accounting estimates and assumptions, and main related uncertainties concerning deferred taxes | |||
In the preparation of the financial statements, Group estimates, in particular, the basis for recognising deferred tax assets. For this purpose, an estimate is made of how probable it is that the subsidiaries will generate sufficient taxable income against which unused tax losses or unused tax assets can be utilised. The factors applied in making the forecasts can differ from the actual figures, and this can lead to expense entries for tax assets in the income statement. | |||
EUR million, 31 Dec | 2025 | 2024 |
Revenue recognition | 0.8 | 1.2 |
Internal inventory margin | 5.8 | 8.4 |
Pension liabilities | 1.7 | 1.7 |
Tax losses carried forward | 2.1 | 2.4 |
Provisions and accruals | 4.5 | 3.9 |
Lease liabilities | 3.3 | 2.3 |
Other deductible temporary differences | 0.4 | 0.5 |
Deferred tax assets | 18.6 | 20.4 |
Offset against deferred tax liabilities | -13.5 | -12.0 |
Total | 5.1 | 8.3 |
EUR million, 31 Dec | 2025 | 2024 |
Depreciation difference and untaxed reserves | 34.0 | 31.3 |
Pension assets | 6.5 | 6.0 |
Capitalised cost of inventory | 6.7 | 7.4 |
Undistributed earnings | 0.5 | 0.9 |
Right-of-use assets | 3.3 | 2.1 |
Other taxable temporary differences | 0.0 | 0.1 |
Deferred tax liabilities | 51.0 | 47.8 |
Offset against deferred tax assets | -13.5 | -12.0 |
Total | 37.4 | 35.8 |
EUR million | 2025 | 2024 |
Net deferred tax assets (+) / liability (-) at 1 January | -27.5 | -27.5 |
Recognised in consolidated income statement. | -4.5 | 0.7 |
Recognised in consolidated statement of comprehensive income | -0.4 | 0.9 |
Recognised in equity | -1.6 | |
Translation differences and other | 0.1 | 0.0 |
Net deferred tax assets (+) / liability (-) at 31 December | -32.4 | -27.5 |
EUR million, 31 Dec | 2025 | 2024 |
Tax loss carry forwards | 16.3 | 16.3 |
Accounting policies | |||
Classification | |||
The Group\u2019s financial assets and liabilities are recognised and measured at amortised cost or at fair value through profit or loss. The classification of assets depends on the business models defined by the Company and on the cash flows of the financial assets based on contract. The classification may change following a change in business model. Classification by balance sheet item is presented in the table concerning financial assets and liabilities. | |||
1. Measured at amortised cost | |||
Financial assets are classified at amortised cost, when the target of the business model is to hold financial assets for the purpose of collecting cash flows based on contract and the cash flows are based exclusively on the payment of equity and interests. Of the Group\u2019s financial assets trade receivables, other receivables and cash and cash equivalents are classified at amortised cost. Financial liabilities except for derivatives are classified at amortised cost. | |||
2. Recognised at fair value through profit or loss | |||
Financial assets are measured at fair value through profit or loss when they are not held for collecting cash flows based on contract nor for both collecting cash flows and for sale or when they were classified at this class in the initial classification. The Group\u2019s financial assets recognised at fair value through profit or loss comprise derivatives, which are not hedged, deferred purchase price and earn-out, shares and holdings and money market investments. Of financial liabilities, derivatives, which are not hedged, are measured at fair value and are recognised in income statement. A financial asset or liability with maturity over 12 months from the reporting date is included in the non-current assets or liabilities in the statement of financial position. If a financial asset is intended to be held for less than 12 months or its maturity is less than 12 months from the reporting date, it is included in the current assets in the statement of financial position. Interest-bearing current liabilities include the credit limits of bank accounts to the extent that they are used, commercial papers issued by the Company and any repayments of capital of non-current interest-bearing liabilities due in the next 12 months. | |||
Recognition and measurement | |||
Purchases and sales of financial assets are recognised in the accounting through settlement date accounting except for derivatives, which are recognised on the acquisition date. Financial assets measured at amortised cost are also initially recognised at fair value, but transaction costs are taken into account in the value. After initial measurement, the value of these financial assets is measured at amortised cost using the effective interest method less any impairment. Impairment losses are recognised in the consolidated income statement. Financial assets at fair value through profit or loss are initially recognised at fair value, and transaction costs are recognised as expenses in the consolidated income statement. Unrealised and realised gains and losses due to changes in the fair value are recognised through profit or loss. Fair value is based on the quoted market price on the end date of the reporting period. Financial liabilities are initially recognised in accounting at fair value and transaction costs related to them are recognised as expenses in the consolidated income statement. Subsequently, financial liabilities except derivative liabilities at fair value through profit or loss are measured at amortised cost using the effective interest method. A financial asset is derecognised in the statement of financial position when the Group no longer has the contractual rights to receive the cash flows or when it has substantially transferred the risks and income from the asset to outside the Group. Liabilities are derecognised in the statement of financial position once the debt has extinguished. | |||
Impairment | |||
At the end of each balance sheet date, it is assessed whether there are any indications of impairment of financial instruments. Impairments are estimated in two different ways, either based on the amount of expected credit losses in the next 12 months or based on the amount of expected credit losses over the entire lifetime of the financial asset. As a rule, the used time period is the next 12 months unless there are specific grounds for a significantly increased credit risk of a financial asset. Criteria applied by the Group in stating that there is significantly increased credit risk: \u2022 issuer\u2019s or debtor\u2019s considerable financial problems \u2022 breach of contract terms \u2022 high probability of bankruptcy or other financial restructuring of debtor. For trade receivables impairment, the Group applies IFRS 9 simplified approach based on the amount and due date distribution of overdue receivables. Trade receivables do not include a significant financing component, and thus expected credit losses are recognised over the entire lifetime of the financial asset. Historical credit loss data is used as the ground information in the provision matrix, and it is adjusted with management\u2019s future outlook estimate. Expected credit loss is recognised in income statement, with the counter-item reducing the item in financial assets. Recognition takes place at the next reporting date. The final credit loss and write off from accounts receivable is done when there is a certainty that the funds will not be received due to customer bankruptcy, the official information on customer\u2019s economic position, unsuccessful collection measures or other information the group has received. | |||
Cash and cash equivalents | |||
Cash and cash equivalents comprise cash in hand, bank deposits and assets in bank accounts, and liquid debt instruments. Liquid debt instruments are short-term certificates of deposit and commercial paper with maturities initially of no more than three months issued by banks and companies. The specification of cash and cash equivalents is presented in the note 6.5 Cash and cash equivalents. | |||
Derivative contracts | |||
Derivative contracts are classified as measured at fair value through profit or loss and are initially recognised at fair value on the date the derivative contract is entered into and are subsequently remeasured at their fair value using the closing market prices on the end date of the reporting period. Derivatives are presented under other receivables and liabilities in the balance sheet. The Group does not apply hedge accounting to foreign exchange derivatives that hedge items in foreign currencies in the statement of financial position or hedge highly probable forecast cash flows, even though they have been acquired for hedging purposes in accordance with the Group\u2019s treasury policy. The specification of derivate contracts is presented in the note 6.7 Derivative contracts. Both unrealised and realised gains and losses due to changes in the fair value of derivatives recorded through profit or loss are recognised in the reporting period in which they are incurred through profit or loss under either other income and expenses or finance income and expenses, depending on whether operational revenue or finance items have been hedged. | |||
EUR million, 31 Dec 2025 | Amortised cost | Fair value through profit and loss | Carrying amount of financial items | Fair value |
Other investments | 0.2 | 0.2 | 0.2 | |
Non-current loan receivables from associate | 2.3 | 2.3 | 2.3 | |
Non-current assets total | 2.3 | 0.2 | 2.5 | 2.5 |
Trade receivables | 352.3 | 352.3 | 352.3 | |
Loan receivables from associate | 0.3 | 0.3 | 0.3 | |
Derivative contracts | 0.6 | 0.6 | 0.6 | |
Cash and cash equivalents | 160.9 | 160.9 | 160.9 | |
Current assets total | 513.5 | 0.6 | 514.1 | 514.1 |
Financial assets total | 515.8 | 0.8 | 516.6 | 516.6 |
Non-current interest-bearing liabilities | 115.3 | 115.3 | 110.4 | |
Deferred purchase price and earn-out | 6.5 | 6.5 | 6.5 | |
Non-current liabilities total | 115.3 | 6.5 | 121.7 | 116.9 |
Trade payables | 123.5 | 123.5 | 123.5 | |
Current interest-bearing liabilities | 190.1 | 190.1 | 190.1 | |
Derivative contracts | 0.2 | 0.2 | 0.2 | |
Current liabilities total | 313.5 | 0.2 | 313.7 | 313.7 |
Financial liabilities total | 428.8 | 6.7 | 435.5 | 430.6 |
EUR million, 31 Dec 2024 | Amortised cost | Fair value through profit and loss | Carrying amount of financial items | Fair value |
Other investments | 0.2 | 0.2 | 0.2 | |
Non-current loan receivables from associate | 0.6 | 0.6 | 0.6 | |
Non-current assets total | 0.6 | 0.2 | 0.8 | 0.8 |
Trade receivables | 254.9 | 254.9 | 254.9 | |
Loan receivables from associate | 0.1 | 0.1 | 0.1 | |
Derivative contracts | 0.2 | 0.2 | 0.2 | |
Cash and cash equivalents | 205.6 | 205.6 | 205.6 | |
Current assets total | 460.5 | 0.2 | 460.8 | 460.8 |
Financial assets total | 461.1 | 0.4 | 461.5 | 461.5 |
Non-current interest-bearing liabilities | 297.2 | 297.2 | 288.6 | |
Deferred purchase price and earn-out | 10.0 | 10.0 | 10.0 | |
Non-current liabilities total | 297.2 | 10.0 | 307.2 | 298.6 |
Trade payables | 87.1 | 87.1 | 87.1 | |
Current interest-bearing liabilities | 30.0 | 30.0 | 30.0 | |
Derivative contracts | 0.5 | 0.5 | 0.5 | |
Current liabilities total | 117.2 | 0.5 | 117.6 | 117.6 |
Financial liabilities total | 414.4 | 10.5 | 424.9 | 416.2 |
EUR million, 31 Dec 2025 | Level 1 | Level 2 | Level 3 | Total |
Currency derivatives | 0.6 | 0.6 | ||
Shares and investments | 0.2 | 0.2 | ||
Assets total | 0.6 | 0.2 | 0.8 | |
Deferred purchase price and earn-out | -6.5 | -6.5 | ||
Currency derivatives | -0.2 | -0.2 | ||
Liabilities total | -0.2 | -6.5 | -6.7 | |
EUR million, 31 Dec 2024 | Level 1 | Level 2 | Level 3 | Total |
Currency derivatives | 0.2 | 0.2 | ||
Shares and investments | 0.2 | 0.2 | ||
Assets total | 0.2 | 0.2 | 0.4 | |
Deferred purchase price and earn-out | -10.0 | -10.0 | ||
Currency derivatives | -0.5 | -0.5 | ||
Liabilities total | -0.5 | -10.0 | -10.5 |
EUR million | 2025 | 2024 |
Carrying amount at 1 January | 10.0 | 9.3 |
Decreases | -4.0 | |
Impact of discounting | 0.5 | 0.7 |
Carrying amount at 31 December | 6.5 | 10.0 |
Accounting policies | |||
Classification | |||
The Group\u2019s financial assets and liabilities are recognised and measured at amortised cost or at fair value through profit or loss. The classification of assets depends on the business models defined by the Company and on the cash flows of the financial assets based on contract. The classification may change following a change in business model. Classification by balance sheet item is presented in the table concerning financial assets and liabilities. | |||
1. Measured at amortised cost | |||
Financial assets are classified at amortised cost, when the target of the business model is to hold financial assets for the purpose of collecting cash flows based on contract and the cash flows are based exclusively on the payment of equity and interests. Of the Group\u2019s financial assets trade receivables, other receivables and cash and cash equivalents are classified at amortised cost. Financial liabilities except for derivatives are classified at amortised cost. | |||
2. Recognised at fair value through profit or loss | |||
Financial assets are measured at fair value through profit or loss when they are not held for collecting cash flows based on contract nor for both collecting cash flows and for sale or when they were classified at this class in the initial classification. The Group\u2019s financial assets recognised at fair value through profit or loss comprise derivatives, which are not hedged, deferred purchase price and earn-out, shares and holdings and money market investments. Of financial liabilities, derivatives, which are not hedged, are measured at fair value and are recognised in income statement. A financial asset or liability with maturity over 12 months from the reporting date is included in the non-current assets or liabilities in the statement of financial position. If a financial asset is intended to be held for less than 12 months or its maturity is less than 12 months from the reporting date, it is included in the current assets in the statement of financial position. Interest-bearing current liabilities include the credit limits of bank accounts to the extent that they are used, commercial papers issued by the Company and any repayments of capital of non-current interest-bearing liabilities due in the next 12 months. | |||
Recognition and measurement | |||
Purchases and sales of financial assets are recognised in the accounting through settlement date accounting except for derivatives, which are recognised on the acquisition date. Financial assets measured at amortised cost are also initially recognised at fair value, but transaction costs are taken into account in the value. After initial measurement, the value of these financial assets is measured at amortised cost using the effective interest method less any impairment. Impairment losses are recognised in the consolidated income statement. Financial assets at fair value through profit or loss are initially recognised at fair value, and transaction costs are recognised as expenses in the consolidated income statement. Unrealised and realised gains and losses due to changes in the fair value are recognised through profit or loss. Fair value is based on the quoted market price on the end date of the reporting period. Financial liabilities are initially recognised in accounting at fair value and transaction costs related to them are recognised as expenses in the consolidated income statement. Subsequently, financial liabilities except derivative liabilities at fair value through profit or loss are measured at amortised cost using the effective interest method. A financial asset is derecognised in the statement of financial position when the Group no longer has the contractual rights to receive the cash flows or when it has substantially transferred the risks and income from the asset to outside the Group. Liabilities are derecognised in the statement of financial position once the debt has extinguished. | |||
Impairment | |||
At the end of each balance sheet date, it is assessed whether there are any indications of impairment of financial instruments. Impairments are estimated in two different ways, either based on the amount of expected credit losses in the next 12 months or based on the amount of expected credit losses over the entire lifetime of the financial asset. As a rule, the used time period is the next 12 months unless there are specific grounds for a significantly increased credit risk of a financial asset. Criteria applied by the Group in stating that there is significantly increased credit risk: \u2022 issuer\u2019s or debtor\u2019s considerable financial problems \u2022 breach of contract terms \u2022 high probability of bankruptcy or other financial restructuring of debtor. For trade receivables impairment, the Group applies IFRS 9 simplified approach based on the amount and due date distribution of overdue receivables. Trade receivables do not include a significant financing component, and thus expected credit losses are recognised over the entire lifetime of the financial asset. Historical credit loss data is used as the ground information in the provision matrix, and it is adjusted with management\u2019s future outlook estimate. Expected credit loss is recognised in income statement, with the counter-item reducing the item in financial assets. Recognition takes place at the next reporting date. The final credit loss and write off from accounts receivable is done when there is a certainty that the funds will not be received due to customer bankruptcy, the official information on customer\u2019s economic position, unsuccessful collection measures or other information the group has received. | |||
Cash and cash equivalents | |||
Cash and cash equivalents comprise cash in hand, bank deposits and assets in bank accounts, and liquid debt instruments. Liquid debt instruments are short-term certificates of deposit and commercial paper with maturities initially of no more than three months issued by banks and companies. The specification of cash and cash equivalents is presented in the note 6.5 Cash and cash equivalents. | |||
Derivative contracts | |||
Derivative contracts are classified as measured at fair value through profit or loss and are initially recognised at fair value on the date the derivative contract is entered into and are subsequently remeasured at their fair value using the closing market prices on the end date of the reporting period. Derivatives are presented under other receivables and liabilities in the balance sheet. The Group does not apply hedge accounting to foreign exchange derivatives that hedge items in foreign currencies in the statement of financial position or hedge highly probable forecast cash flows, even though they have been acquired for hedging purposes in accordance with the Group\u2019s treasury policy. The specification of derivate contracts is presented in the note 6.7 Derivative contracts. Both unrealised and realised gains and losses due to changes in the fair value of derivatives recorded through profit or loss are recognised in the reporting period in which they are incurred through profit or loss under either other income and expenses or finance income and expenses, depending on whether operational revenue or finance items have been hedged. | |||
EUR million, 31 Dec 2025 | Amortised cost | Fair value through profit and loss | Carrying amount of financial items | Fair value |
Other investments | 0.2 | 0.2 | 0.2 | |
Non-current loan receivables from associate | 2.3 | 2.3 | 2.3 | |
Non-current assets total | 2.3 | 0.2 | 2.5 | 2.5 |
Trade receivables | 352.3 | 352.3 | 352.3 | |
Loan receivables from associate | 0.3 | 0.3 | 0.3 | |
Derivative contracts | 0.6 | 0.6 | 0.6 | |
Cash and cash equivalents | 160.9 | 160.9 | 160.9 | |
Current assets total | 513.5 | 0.6 | 514.1 | 514.1 |
Financial assets total | 515.8 | 0.8 | 516.6 | 516.6 |
Non-current interest-bearing liabilities | 115.3 | 115.3 | 110.4 | |
Deferred purchase price and earn-out | 6.5 | 6.5 | 6.5 | |
Non-current liabilities total | 115.3 | 6.5 | 121.7 | 116.9 |
Trade payables | 123.5 | 123.5 | 123.5 | |
Current interest-bearing liabilities | 190.1 | 190.1 | 190.1 | |
Derivative contracts | 0.2 | 0.2 | 0.2 | |
Current liabilities total | 313.5 | 0.2 | 313.7 | 313.7 |
Financial liabilities total | 428.8 | 6.7 | 435.5 | 430.6 |
EUR million, 31 Dec 2024 | Amortised cost | Fair value through profit and loss | Carrying amount of financial items | Fair value |
Other investments | 0.2 | 0.2 | 0.2 | |
Non-current loan receivables from associate | 0.6 | 0.6 | 0.6 | |
Non-current assets total | 0.6 | 0.2 | 0.8 | 0.8 |
Trade receivables | 254.9 | 254.9 | 254.9 | |
Loan receivables from associate | 0.1 | 0.1 | 0.1 | |
Derivative contracts | 0.2 | 0.2 | 0.2 | |
Cash and cash equivalents | 205.6 | 205.6 | 205.6 | |
Current assets total | 460.5 | 0.2 | 460.8 | 460.8 |
Financial assets total | 461.1 | 0.4 | 461.5 | 461.5 |
Non-current interest-bearing liabilities | 297.2 | 297.2 | 288.6 | |
Deferred purchase price and earn-out | 10.0 | 10.0 | 10.0 | |
Non-current liabilities total | 297.2 | 10.0 | 307.2 | 298.6 |
Trade payables | 87.1 | 87.1 | 87.1 | |
Current interest-bearing liabilities | 30.0 | 30.0 | 30.0 | |
Derivative contracts | 0.5 | 0.5 | 0.5 | |
Current liabilities total | 117.2 | 0.5 | 117.6 | 117.6 |
Financial liabilities total | 414.4 | 10.5 | 424.9 | 416.2 |
EUR million, 31 Dec 2025 | Level 1 | Level 2 | Level 3 | Total |
Currency derivatives | 0.6 | 0.6 | ||
Shares and investments | 0.2 | 0.2 | ||
Assets total | 0.6 | 0.2 | 0.8 | |
Deferred purchase price and earn-out | -6.5 | -6.5 | ||
Currency derivatives | -0.2 | -0.2 | ||
Liabilities total | -0.2 | -6.5 | -6.7 | |
EUR million, 31 Dec 2024 | Level 1 | Level 2 | Level 3 | Total |
Currency derivatives | 0.2 | 0.2 | ||
Shares and investments | 0.2 | 0.2 | ||
Assets total | 0.2 | 0.2 | 0.4 | |
Deferred purchase price and earn-out | -10.0 | -10.0 | ||
Currency derivatives | -0.5 | -0.5 | ||
Liabilities total | -0.5 | -10.0 | -10.5 |
EUR million | 2025 | 2024 |
Carrying amount at 1 January | 10.0 | 9.3 |
Decreases | -4.0 | |
Impact of discounting | 0.5 | 0.7 |
Carrying amount at 31 December | 6.5 | 10.0 |
Accounting policies | |||
Classification | |||
The Group\u2019s financial assets and liabilities are recognised and measured at amortised cost or at fair value through profit or loss. The classification of assets depends on the business models defined by the Company and on the cash flows of the financial assets based on contract. The classification may change following a change in business model. Classification by balance sheet item is presented in the table concerning financial assets and liabilities. | |||
1. Measured at amortised cost | |||
Financial assets are classified at amortised cost, when the target of the business model is to hold financial assets for the purpose of collecting cash flows based on contract and the cash flows are based exclusively on the payment of equity and interests. Of the Group\u2019s financial assets trade receivables, other receivables and cash and cash equivalents are classified at amortised cost. Financial liabilities except for derivatives are classified at amortised cost. | |||
2. Recognised at fair value through profit or loss | |||
Financial assets are measured at fair value through profit or loss when they are not held for collecting cash flows based on contract nor for both collecting cash flows and for sale or when they were classified at this class in the initial classification. The Group\u2019s financial assets recognised at fair value through profit or loss comprise derivatives, which are not hedged, deferred purchase price and earn-out, shares and holdings and money market investments. Of financial liabilities, derivatives, which are not hedged, are measured at fair value and are recognised in income statement. A financial asset or liability with maturity over 12 months from the reporting date is included in the non-current assets or liabilities in the statement of financial position. If a financial asset is intended to be held for less than 12 months or its maturity is less than 12 months from the reporting date, it is included in the current assets in the statement of financial position. Interest-bearing current liabilities include the credit limits of bank accounts to the extent that they are used, commercial papers issued by the Company and any repayments of capital of non-current interest-bearing liabilities due in the next 12 months. | |||
Recognition and measurement | |||
Purchases and sales of financial assets are recognised in the accounting through settlement date accounting except for derivatives, which are recognised on the acquisition date. Financial assets measured at amortised cost are also initially recognised at fair value, but transaction costs are taken into account in the value. After initial measurement, the value of these financial assets is measured at amortised cost using the effective interest method less any impairment. Impairment losses are recognised in the consolidated income statement. Financial assets at fair value through profit or loss are initially recognised at fair value, and transaction costs are recognised as expenses in the consolidated income statement. Unrealised and realised gains and losses due to changes in the fair value are recognised through profit or loss. Fair value is based on the quoted market price on the end date of the reporting period. Financial liabilities are initially recognised in accounting at fair value and transaction costs related to them are recognised as expenses in the consolidated income statement. Subsequently, financial liabilities except derivative liabilities at fair value through profit or loss are measured at amortised cost using the effective interest method. A financial asset is derecognised in the statement of financial position when the Group no longer has the contractual rights to receive the cash flows or when it has substantially transferred the risks and income from the asset to outside the Group. Liabilities are derecognised in the statement of financial position once the debt has extinguished. | |||
Impairment | |||
At the end of each balance sheet date, it is assessed whether there are any indications of impairment of financial instruments. Impairments are estimated in two different ways, either based on the amount of expected credit losses in the next 12 months or based on the amount of expected credit losses over the entire lifetime of the financial asset. As a rule, the used time period is the next 12 months unless there are specific grounds for a significantly increased credit risk of a financial asset. Criteria applied by the Group in stating that there is significantly increased credit risk: \u2022 issuer\u2019s or debtor\u2019s considerable financial problems \u2022 breach of contract terms \u2022 high probability of bankruptcy or other financial restructuring of debtor. For trade receivables impairment, the Group applies IFRS 9 simplified approach based on the amount and due date distribution of overdue receivables. Trade receivables do not include a significant financing component, and thus expected credit losses are recognised over the entire lifetime of the financial asset. Historical credit loss data is used as the ground information in the provision matrix, and it is adjusted with management\u2019s future outlook estimate. Expected credit loss is recognised in income statement, with the counter-item reducing the item in financial assets. Recognition takes place at the next reporting date. The final credit loss and write off from accounts receivable is done when there is a certainty that the funds will not be received due to customer bankruptcy, the official information on customer\u2019s economic position, unsuccessful collection measures or other information the group has received. | |||
Cash and cash equivalents | |||
Cash and cash equivalents comprise cash in hand, bank deposits and assets in bank accounts, and liquid debt instruments. Liquid debt instruments are short-term certificates of deposit and commercial paper with maturities initially of no more than three months issued by banks and companies. The specification of cash and cash equivalents is presented in the note 6.5 Cash and cash equivalents. | |||
Derivative contracts | |||
Derivative contracts are classified as measured at fair value through profit or loss and are initially recognised at fair value on the date the derivative contract is entered into and are subsequently remeasured at their fair value using the closing market prices on the end date of the reporting period. Derivatives are presented under other receivables and liabilities in the balance sheet. The Group does not apply hedge accounting to foreign exchange derivatives that hedge items in foreign currencies in the statement of financial position or hedge highly probable forecast cash flows, even though they have been acquired for hedging purposes in accordance with the Group\u2019s treasury policy. The specification of derivate contracts is presented in the note 6.7 Derivative contracts. Both unrealised and realised gains and losses due to changes in the fair value of derivatives recorded through profit or loss are recognised in the reporting period in which they are incurred through profit or loss under either other income and expenses or finance income and expenses, depending on whether operational revenue or finance items have been hedged. | |||
EUR million, 31 Dec 2025 | Amortised cost | Fair value through profit and loss | Carrying amount of financial items | Fair value |
Other investments | 0.2 | 0.2 | 0.2 | |
Non-current loan receivables from associate | 2.3 | 2.3 | 2.3 | |
Non-current assets total | 2.3 | 0.2 | 2.5 | 2.5 |
Trade receivables | 352.3 | 352.3 | 352.3 | |
Loan receivables from associate | 0.3 | 0.3 | 0.3 | |
Derivative contracts | 0.6 | 0.6 | 0.6 | |
Cash and cash equivalents | 160.9 | 160.9 | 160.9 | |
Current assets total | 513.5 | 0.6 | 514.1 | 514.1 |
Financial assets total | 515.8 | 0.8 | 516.6 | 516.6 |
Non-current interest-bearing liabilities | 115.3 | 115.3 | 110.4 | |
Deferred purchase price and earn-out | 6.5 | 6.5 | 6.5 | |
Non-current liabilities total | 115.3 | 6.5 | 121.7 | 116.9 |
Trade payables | 123.5 | 123.5 | 123.5 | |
Current interest-bearing liabilities | 190.1 | 190.1 | 190.1 | |
Derivative contracts | 0.2 | 0.2 | 0.2 | |
Current liabilities total | 313.5 | 0.2 | 313.7 | 313.7 |
Financial liabilities total | 428.8 | 6.7 | 435.5 | 430.6 |
EUR million, 31 Dec 2024 | Amortised cost | Fair value through profit and loss | Carrying amount of financial items | Fair value |
Other investments | 0.2 | 0.2 | 0.2 | |
Non-current loan receivables from associate | 0.6 | 0.6 | 0.6 | |
Non-current assets total | 0.6 | 0.2 | 0.8 | 0.8 |
Trade receivables | 254.9 | 254.9 | 254.9 | |
Loan receivables from associate | 0.1 | 0.1 | 0.1 | |
Derivative contracts | 0.2 | 0.2 | 0.2 | |
Cash and cash equivalents | 205.6 | 205.6 | 205.6 | |
Current assets total | 460.5 | 0.2 | 460.8 | 460.8 |
Financial assets total | 461.1 | 0.4 | 461.5 | 461.5 |
Non-current interest-bearing liabilities | 297.2 | 297.2 | 288.6 | |
Deferred purchase price and earn-out | 10.0 | 10.0 | 10.0 | |
Non-current liabilities total | 297.2 | 10.0 | 307.2 | 298.6 |
Trade payables | 87.1 | 87.1 | 87.1 | |
Current interest-bearing liabilities | 30.0 | 30.0 | 30.0 | |
Derivative contracts | 0.5 | 0.5 | 0.5 | |
Current liabilities total | 117.2 | 0.5 | 117.6 | 117.6 |
Financial liabilities total | 414.4 | 10.5 | 424.9 | 416.2 |
EUR million, 31 Dec 2025 | Level 1 | Level 2 | Level 3 | Total |
Currency derivatives | 0.6 | 0.6 | ||
Shares and investments | 0.2 | 0.2 | ||
Assets total | 0.6 | 0.2 | 0.8 | |
Deferred purchase price and earn-out | -6.5 | -6.5 | ||
Currency derivatives | -0.2 | -0.2 | ||
Liabilities total | -0.2 | -6.5 | -6.7 | |
EUR million, 31 Dec 2024 | Level 1 | Level 2 | Level 3 | Total |
Currency derivatives | 0.2 | 0.2 | ||
Shares and investments | 0.2 | 0.2 | ||
Assets total | 0.2 | 0.2 | 0.4 | |
Deferred purchase price and earn-out | -10.0 | -10.0 | ||
Currency derivatives | -0.5 | -0.5 | ||
Liabilities total | -0.5 | -10.0 | -10.5 |
EUR million | 2025 | 2024 |
Carrying amount at 1 January | 10.0 | 9.3 |
Decreases | -4.0 | |
Impact of discounting | 0.5 | 0.7 |
Carrying amount at 31 December | 6.5 | 10.0 |
EUR million, 31 Dec 2025 | Level 1 | Level 2 | Level 3 | Total |
Currency derivatives | 0.6 | 0.6 | ||
Shares and investments | 0.2 | 0.2 | ||
Assets total | 0.6 | 0.2 | 0.8 | |
Deferred purchase price and earn-out | -6.5 | -6.5 | ||
Currency derivatives | -0.2 | -0.2 | ||
Liabilities total | -0.2 | -6.5 | -6.7 | |
EUR million, 31 Dec 2024 | Level 1 | Level 2 | Level 3 | Total |
Currency derivatives | 0.2 | 0.2 | ||
Shares and investments | 0.2 | 0.2 | ||
Assets total | 0.2 | 0.2 | 0.4 | |
Deferred purchase price and earn-out | -10.0 | -10.0 | ||
Currency derivatives | -0.5 | -0.5 | ||
Liabilities total | -0.5 | -10.0 | -10.5 |
EUR million | 2025 | 2024 |
Carrying amount at 1 January | 10.0 | 9.3 |
Decreases | -4.0 | |
Impact of discounting | 0.5 | 0.7 |
Carrying amount at 31 December | 6.5 | 10.0 |
EUR million, 31 Dec 2025 | USD | SEK | PLN | Other significant currencies | Total |
Operational net position in statement of financial position | 19.9 | 8.9 | 11.8 | 9.9 | 50.5 |
Forecast net position (12 months) | 21.7 | 60.2 | 37.8 | 37.9 | 157.6 |
Net position, total | 41.6 | 69.1 | 49.6 | 47.8 | 208.0 |
Currency derivatives for hedging | -21.3 | -13.5 | -10.8 | -5.6 | -51.3 |
Net open position total | 20.3 | 55.6 | 38.7 | 42.2 | 156.8 |
EUR million, 31 Dec 2024 | USD | SEK | PLN | Other significant currencies | Total |
Operational net position in statement of financial position | 15.2 | 7.0 | 10.6 | 8.6 | 41.3 |
Forecast net position (12 months) | 31.1 | 50.3 | 34.5 | 36.7 | 152.5 |
Net position, total | 46.3 | 57.2 | 45.1 | 45.2 | 193.8 |
Currency derivatives for hedging | -20.8 | -10.5 | -9.2 | -5.6 | -46.1 |
Net open position total | 25.4 | 46.7 | 35.9 | 39.6 | 147.7 |
EUR million, 31 Dec 2025 | USD | SEK | PLN | Other significant currencies | Impact on profit |
+/- 10% change in exchange rates | 0.1/-0.2 | 0.4/-0.5 | -0.1/0.1 | -0.4/0.5 | 0.1/-0.1 |
EUR million, 31 Dec 2024 | USD | SEK | PLN | Other significant currencies | Impact on profit |
+/- 10% change in exchange rates | 0.5/-0.6 | 0.3/-0.4 | -0.1/0.2 | -0.3/0.3 | 0.4/-0.5 |
EUR million, 31 Dec 2025 | Carrying amount | Default rate | Expected credit loss |
Not due | 338.2 | 0.01% | 0.0 |
8 to 30 days past due | 6.6 | 0.09% | 0.0 |
31 to 60 days past due | 3.5 | 0.13% | 0.0 |
61 to 90 days past due | 0.4 | 0.15% | 0.0 |
91 to 180 days overdue | 1.6 | 0.18% | 0.0 |
Over 180 days over due | 2.1 | 5.62% | 0.1 |
Total | 352.3 | 0.2 |
EUR million, 31 Dec 2024 | Carrying amount | Default rate | Expected credit loss |
Not due | 248.8 | 0.01% | 0.0 |
8 to 30 days past due | 2.9 | 0.13% | 0.0 |
31 to 60 days past due | 0.3 | 0.18% | 0.0 |
61 to 90 days past due | 0.6 | 0.23% | 0.0 |
91 to 180 days overdue | 0.5 | 0.27% | 0.0 |
Over 180 days over due | 1.8 | 17.91% | 0.3 |
Total | 254.9 | 0.3 |
EUR million, 31 Dec | 2026 | 2027 | 2028 | 2029 | 2030\u2014 | Total |
Repayments of loans | 186.4 | 23.6 | 23.5 | 23.5 | 35.3 | 292.3 |
Repayments of lease liabilities | 5.8 | 4.2 | 2.6 | 2.0 | 1.4 | 16.0 |
Interest payments | 4.7 | 1.9 | 1.5 | 1.1 | 1.2 | 10.5 |
Cash flow total, interest- bearing financial liabilities | 196.9 | 29.7 | 27.6 | 26.6 | 38.0 | 318.8 |
Trade payables | 123.5 | 123.5 | ||||
Deferred purchase price and earn-out | 6.5 | 6.5 | ||||
Accrued interest | 0.2 | 0.2 | ||||
Cash flow total, non- interest-bearing financial liabilities | 130.2 | 130.2 | ||||
Derivative contracts, inflow | 0.6 | 0.6 | ||||
Derivative contracts, outflow | -0.2 | -0.2 | ||||
Cash flow total, derivative contracts | 0.4 | 0.4 | ||||
Cash flow total, all | 327.5 | 29.7 | 27.6 | 26.6 | 38.0 | 449.4 |
EUR million, 31 Dec | 2025 | 2026 | 2027 | 2028 | 2029\u2014 | Total |
Repayments of loans | 25.7 | 175.6 | 24.9 | 24.7 | 65.4 | 316.3 |
Repayments of lease liabilities | 4.4 | 3.1 | 1.8 | 0.8 | 0.8 | 10.9 |
Interest payments | 8.3 | 5.4 | 2.4 | 1.9 | 3.6 | 21.5 |
Cash flow total, interest- bearing financial liabilities | 38.3 | 184.1 | 29.2 | 27.3 | 69.9 | 348.7 |
Trade payables | 87.1 | 87.1 | ||||
Deferred purchase price and earn-out | 10.0 | 10.0 | ||||
Accrued interests | 0.3 | 0.3 | ||||
Cash flow total, non- interest-bearing financial liabilities | 97.4 | 97.4 | ||||
Derivative contracts, inflow | 0.2 | 0.2 | ||||
Derivative contracts, outflow | -0.5 | -0.5 | ||||
Cash flow total, derivative contracts | -0.2 | -0.2 | ||||
Cash flow total, all | 135.5 | 184.1 | 29.2 | 27.3 | 69.9 | 445.9 |
Requirements | |
Group equity ratio | > 30% |
Group interest-bearing net liabilities /EBITDA | < 3.0 |
31 Dec | 2025 | 2024 |
Equity, EUR million | 1,284.5 | 1,005.0 |
Equity and liabilities total, excluding advances received, EUR million | 2,004.8 | 1,622.7 |
Equity ratio, % | 64.1% | 61.9% |
EUR million, 31 Dec | 2025 | 2024 |
Interest-bearing net liabilities | 144.4 | 121.7 |
EBITDA | 688.3 | 509.4 |
Interest-bearing net liabilities / EBITDA | 0.21 | 0.24 |
EUR million, 31 Dec 2025 | USD | SEK | PLN | Other significant currencies | Total |
Operational net position in statement of financial position | 19.9 | 8.9 | 11.8 | 9.9 | 50.5 |
Forecast net position (12 months) | 21.7 | 60.2 | 37.8 | 37.9 | 157.6 |
Net position, total | 41.6 | 69.1 | 49.6 | 47.8 | 208.0 |
Currency derivatives for hedging | -21.3 | -13.5 | -10.8 | -5.6 | -51.3 |
Net open position total | 20.3 | 55.6 | 38.7 | 42.2 | 156.8 |
EUR million, 31 Dec 2024 | USD | SEK | PLN | Other significant currencies | Total |
Operational net position in statement of financial position | 15.2 | 7.0 | 10.6 | 8.6 | 41.3 |
Forecast net position (12 months) | 31.1 | 50.3 | 34.5 | 36.7 | 152.5 |
Net position, total | 46.3 | 57.2 | 45.1 | 45.2 | 193.8 |
Currency derivatives for hedging | -20.8 | -10.5 | -9.2 | -5.6 | -46.1 |
Net open position total | 25.4 | 46.7 | 35.9 | 39.6 | 147.7 |
EUR million, 31 Dec 2025 | USD | SEK | PLN | Other significant currencies | Impact on profit |
+/- 10% change in exchange rates | 0.1/-0.2 | 0.4/-0.5 | -0.1/0.1 | -0.4/0.5 | 0.1/-0.1 |
EUR million, 31 Dec 2024 | USD | SEK | PLN | Other significant currencies | Impact on profit |
+/- 10% change in exchange rates | 0.5/-0.6 | 0.3/-0.4 | -0.1/0.2 | -0.3/0.3 | 0.4/-0.5 |
EUR million, 31 Dec 2025 | USD | SEK | PLN | Other significant currencies | Impact on profit |
+/- 10% change in exchange rates | 0.1/-0.2 | 0.4/-0.5 | -0.1/0.1 | -0.4/0.5 | 0.1/-0.1 |
EUR million, 31 Dec 2024 | USD | SEK | PLN | Other significant currencies | Impact on profit |
+/- 10% change in exchange rates | 0.5/-0.6 | 0.3/-0.4 | -0.1/0.2 | -0.3/0.3 | 0.4/-0.5 |
EUR million, 31 Dec 2025 | Carrying amount | Default rate | Expected credit loss |
Not due | 338.2 | 0.01% | 0.0 |
8 to 30 days past due | 6.6 | 0.09% | 0.0 |
31 to 60 days past due | 3.5 | 0.13% | 0.0 |
61 to 90 days past due | 0.4 | 0.15% | 0.0 |
91 to 180 days overdue | 1.6 | 0.18% | 0.0 |
Over 180 days over due | 2.1 | 5.62% | 0.1 |
Total | 352.3 | 0.2 |
EUR million, 31 Dec 2024 | Carrying amount | Default rate | Expected credit loss |
Not due | 248.8 | 0.01% | 0.0 |
8 to 30 days past due | 2.9 | 0.13% | 0.0 |
31 to 60 days past due | 0.3 | 0.18% | 0.0 |
61 to 90 days past due | 0.6 | 0.23% | 0.0 |
91 to 180 days overdue | 0.5 | 0.27% | 0.0 |
Over 180 days over due | 1.8 | 17.91% | 0.3 |
Total | 254.9 | 0.3 |
EUR million | 2025 | 2024 |
1 January | 0.3 | 0.2 |
Net remeasurement of loss allowance | -0.2 | 0.1 |
31 December | 0.2 | 0.3 |
EUR million, 31 Dec | 2026 | 2027 | 2028 | 2029 | 2030\u2014 | Total |
Repayments of loans | 186.4 | 23.6 | 23.5 | 23.5 | 35.3 | 292.3 |
Repayments of lease liabilities | 5.8 | 4.2 | 2.6 | 2.0 | 1.4 | 16.0 |
Interest payments | 4.7 | 1.9 | 1.5 | 1.1 | 1.2 | 10.5 |
Cash flow total, interest- bearing financial liabilities | 196.9 | 29.7 | 27.6 | 26.6 | 38.0 | 318.8 |
Trade payables | 123.5 | 123.5 | ||||
Deferred purchase price and earn-out | 6.5 | 6.5 | ||||
Accrued interest | 0.2 | 0.2 | ||||
Cash flow total, non- interest-bearing financial liabilities | 130.2 | 130.2 | ||||
Derivative contracts, inflow | 0.6 | 0.6 | ||||
Derivative contracts, outflow | -0.2 | -0.2 | ||||
Cash flow total, derivative contracts | 0.4 | 0.4 | ||||
Cash flow total, all | 327.5 | 29.7 | 27.6 | 26.6 | 38.0 | 449.4 |
EUR million, 31 Dec | 2025 | 2026 | 2027 | 2028 | 2029\u2014 | Total |
Repayments of loans | 25.7 | 175.6 | 24.9 | 24.7 | 65.4 | 316.3 |
Repayments of lease liabilities | 4.4 | 3.1 | 1.8 | 0.8 | 0.8 | 10.9 |
Interest payments | 8.3 | 5.4 | 2.4 | 1.9 | 3.6 | 21.5 |
Cash flow total, interest- bearing financial liabilities | 38.3 | 184.1 | 29.2 | 27.3 | 69.9 | 348.7 |
Trade payables | 87.1 | 87.1 | ||||
Deferred purchase price and earn-out | 10.0 | 10.0 | ||||
Accrued interests | 0.3 | 0.3 | ||||
Cash flow total, non- interest-bearing financial liabilities | 97.4 | 97.4 | ||||
Derivative contracts, inflow | 0.2 | 0.2 | ||||
Derivative contracts, outflow | -0.5 | -0.5 | ||||
Cash flow total, derivative contracts | -0.2 | -0.2 | ||||
Cash flow total, all | 135.5 | 184.1 | 29.2 | 27.3 | 69.9 | 445.9 |
Requirements | |
Group equity ratio | > 30% |
Group interest-bearing net liabilities /EBITDA | < 3.0 |
31 Dec | 2025 | 2024 |
Equity, EUR million | 1,284.5 | 1,005.0 |
Equity and liabilities total, excluding advances received, EUR million | 2,004.8 | 1,622.7 |
Equity ratio, % | 64.1% | 61.9% |
EUR million, 31 Dec | 2025 | 2024 |
Interest-bearing net liabilities | 144.4 | 121.7 |
EBITDA | 688.3 | 509.4 |
Interest-bearing net liabilities / EBITDA | 0.21 | 0.24 |
Accounting policies | |||
Ordinary shares are presented as share capital. Transaction costs directly due to issuance of new shares or options are presented in equity including tax effects as a decrease in payments received. Other reserves include reserve funds, expendable fund and reserve for invested unrestricted equity. Reserve funds are required by local laws and part of restricted equity. The expendable fund and reserve for invested unrestricted equity are included in distributable funds under the Finnish Limited Liability Companies Act. | |||
A shares | B shares | Total | Share capital EUR million | |
Total number of shares at 1 Jan 2024 | 33,351,382 | 107,782,896 | 141,134,278 | 92.2 |
Conversion of A shares to B shares in 1 Jan\u201331 Dec 2024 | -519,774 | 519,774 | 0 | |
Total number of shares at 31 Dec 2024 | 32,831,608 | 108,302,670 | 141,134,278 | 92.2 |
Conversions of A shares to B shares in 1 Jan\u201331 Dec 2025 | -1,061,289 | 1,061,289 | 0 | |
Total number of shares at 31 Dec 2025 | 31,770,319 | 109,363,959 | 141,134,278 | 92.2 |
Number of treasury shares at 31 Dec 2025 | 440,944 | 440,944 | ||
Total number of shares at 31 Dec 2025 , excluding treasury shares | 31,770,319 | 108,923,015 | 140,693,334 | |
Total number of votes at 31 Dec 2025 excluding treasury shares | 635,406,380 | 108,923,015 | 744,329,395 |
EUR million, 31 Dec | 2025 | 2024 |
Reserve funds | 1.6 | 4.0 |
Expandable fund | 0.5 | 0.5 |
Reserve for invested unrestricted equity | 0.9 | 0.9 |
Total | 2.9 | 5.3 |
Accounting policies | |||
Ordinary shares are presented as share capital. Transaction costs directly due to issuance of new shares or options are presented in equity including tax effects as a decrease in payments received. Other reserves include reserve funds, expendable fund and reserve for invested unrestricted equity. Reserve funds are required by local laws and part of restricted equity. The expendable fund and reserve for invested unrestricted equity are included in distributable funds under the Finnish Limited Liability Companies Act. | |||
A shares | B shares | Total | Share capital EUR million | |
Total number of shares at 1 Jan 2024 | 33,351,382 | 107,782,896 | 141,134,278 | 92.2 |
Conversion of A shares to B shares in 1 Jan\u201331 Dec 2024 | -519,774 | 519,774 | 0 | |
Total number of shares at 31 Dec 2024 | 32,831,608 | 108,302,670 | 141,134,278 | 92.2 |
Conversions of A shares to B shares in 1 Jan\u201331 Dec 2025 | -1,061,289 | 1,061,289 | 0 | |
Total number of shares at 31 Dec 2025 | 31,770,319 | 109,363,959 | 141,134,278 | 92.2 |
Number of treasury shares at 31 Dec 2025 | 440,944 | 440,944 | ||
Total number of shares at 31 Dec 2025 , excluding treasury shares | 31,770,319 | 108,923,015 | 140,693,334 | |
Total number of votes at 31 Dec 2025 excluding treasury shares | 635,406,380 | 108,923,015 | 744,329,395 |
EUR million, 31 Dec | 2025 | 2024 |
Reserve funds | 1.6 | 4.0 |
Expandable fund | 0.5 | 0.5 |
Reserve for invested unrestricted equity | 0.9 | 0.9 |
Total | 2.9 | 5.3 |
Carrying amount | Fair value | Carrying amount | Fair value | |
EUR million, 31 Dec | 2025 | 2025 | 2024 | 2024 |
Loans from credit institutions | 105.9 | 101.1 | 290.7 | 282.1 |
Lease liabilities | 9.4 | 9.4 | 6.5 | 6.5 |
Non-current liabilities total | 115.3 | 110.4 | 297.2 | 288.6 |
Carrying amount | Fair value | Carrying amount | Fair value | |
EUR million, 31 Dec | 2025 | 2025 | 2024 | 2024 |
Loans from credit institutions | 184.8 | 184.8 | 25.7 | 25.7 |
Lease liabilities | 5.2 | 5.2 | 4.4 | 4.4 |
Current liabilities total | 190.1 | 190.1 | 30.0 | 30.0 |
Carrying amount | Fair value | Carrying amount | Fair value | |
EUR million, 31 Dec | 2025 | 2025 | 2024 | 2024 |
Cash and bank | 120.9 | 120.9 | 202.6 | 202.6 |
Liquid money market investments | 40.0 | 40.0 | 3.0 | 3.0 |
Total | 160.9 | 160.9 | 205.6 | 205.6 |
EUR million, 31 Dec | 2025 | 2024 |
Currency forward contracts and currency swaps | 56.2 | 43.3 |
Currency options | 32.8 | 32.4 |
EUR million, 31 Dec 2025 | Positive | Negative | Net |
Currency forward contracts and currency swaps | 0.6 | -0.1 | 0.5 |
Currency options | 0.0 | -0.1 | 0.0 |
EUR million, 31 Dec 2024 | Positive | Negative | Net |
Currency forward contracts and currency swaps | 0.2 | -0.4 | -0.2 |
Currency options | 0.0 | -0.1 | -0.1 |
Accounting policies | |||
A contingent liability is a potential liability based on previous events. It depends on the realisation of an uncertain future event beyond the Group\u2019s control. Contingent liabilities also include obligations that will most likely not lead to a payment or its size cannot be reliably determined. | |||
EUR million, 31 Dec | 2025 | 2024 |
Guarantees | 2.4 | 2.5 |
Accounting policies | |||
A contingent liability is a potential liability based on previous events. It depends on the realisation of an uncertain future event beyond the Group\u2019s control. Contingent liabilities also include obligations that will most likely not lead to a payment or its size cannot be reliably determined. | |||
EUR million, 31 Dec | 2025 | 2024 |
Guarantees | 2.4 | 2.5 |
EUR million | 2025 | 2024 |
Paid salaries, other paid performance bonuses and other short-term benefits | 5.0 | 7.2 |
Share-based benefits | 8.3 | 2.2 |
Post-employment benefits | 0.6 | 0.6 |
Total | 13.9 | 9.9 |
EUR million | 2025 | 2024 |
Liisa Hurme, President and CEO | 3.0 | 2.3 |
Veli-Matti Mattila, Chairman | 0.1 | 0.1 |
Hilpi Rautelin, Vice Chairman | 0.1 | 0.1 |
Kari Jussi Aho | 0.1 | 0.1 |
Maziar Mike Doustdar | 0.1 | 0.1 |
Ari Lehtoranta | 0.1 | 0.1 |
Eija Ronkainen | 0.1 | 0.1 |
Henrik Stenqvist | 0.1 | 0.1 |
Karen Lykke S\u00f8rensen | 0.1 | 0.1 |
Mikael Silvennoinen (until 20 March 2024) | 0.0 | 0.0 |
Board of Directors, total | 0.7 | 0.6 |
EUR million | 2025 | 2024 |
Auditing | 0.4 | 0.4 |
Assignments under Auditing Act Section 1 Subsection 1 Paragraph 21 | 0.1 | 0.2 |
Tax consulting | 0.0 | 0.0 |
Other services | 0.0 | |
Total | 0.6 | 0.6 |
Group | Parent company | ||||
31 Dec 2025 | Ownership % | Share of votes % | Ownership % | Share of votes % | |
Pharmaceuticals | |||||
Parent company Orion Corporation, Finland | |||||
Fermion Oy, Finland | 100.00 | 100.00 | 100.00 | 100.00 | |
FinOrion Pharma India Pvt. Ltd., India | 100.00 | 100.00 | 95.00 | 95.00 | |
Inovet IndochineCo., Ltd., Vietnam | 100.00 | 100.00 | |||
Kiinteist\u00f6 Oy Tonttuvainio, Finland | 100.00 | 100.00 | 100.00 | 100.00 | |
Laboratoires Biard S.A., France | 100.00 | 100.00 | |||
Laboratoires Biov\u00e9 SAS, France | 100.00 | 100.00 | |||
OOO Orion Pharma, Russia1 | 100.00 | 100.00 | |||
Orionfin, Unipessoal, Lda, Portugal | 100.00 | 100.00 | 100.00 | 100.00 | |
Orion Export Oy, Finland1 | 100.00 | 100.00 | 100.00 | 100.00 | |
Orion Pharma AB, Sweden | 100.00 | 100.00 | 100.00 | 100.00 | |
Orion Pharma AG, Switzerland | 100.00 | 100.00 | 100.00 | 100.00 | |
Orion Pharma A/S, Denmark | 100.00 | 100.00 | 100.00 | 100.00 | |
Orion Pharma AS, Norway | 100.00 | 100.00 | 100.00 | 100.00 | |
Orion Pharma (AUS) Pty Limited, Australia | 100.00 | 100.00 | 100.00 | 100.00 | |
Orion Pharma (Austria) GmbH, Austria | 100.00 | 100.00 | 100.00 | 100.00 | |
Orion Pharma BV, Belgium | 100.00 | 100.00 | 100.00 | 100.00 | |
Orion Pharma d.o.o., Slovenia | 100.00 | 100.00 | 100.00 | 100.00 | |
Orion Pharma East LLP, Kazakhstan | 100.00 | 100.00 | 100.00 | 100.00 | |
Orion Pharma GmbH, Germany | 100.00 | 100.00 | 100.00 | 100.00 | |
Orion Pharma Hellas, Pharmakeftiki Mepe, Greece | 100.00 | 100.00 | 100.00 | 100.00 | |
Orion Pharma Inc., USA | 100.00 | 100.00 | 100.00 | 100.00 | |
Orion Pharma (Ireland) Ltd., Ireland | 100.00 | 100.00 | 100.00 | 100.00 | |
Orion Pharma Japan (JP) K.K., Japan | 100.00 | 100.00 | 100.00 | 100.00 | |
Orion Pharma Kft., Hungary | 100.00 | 100.00 | 100.00 | 100.00 | |
Orion Pharma (MY) Sdn. Bhd., Malaysia | 100.00 | 100.00 | 100.00 | 100.00 |
Group | Parent company | ||||
31 Dec 2025 | Ownership % | Share of votes % | Ownership % | Share of votes % | |
Orion Pharma (NZ) Limited, New Zealand | 100.00 | 100.00 | 100.00 | 100.00 | |
Orion Pharma Poland Sp. z o.o., Poland | 100.00 | 100.00 | 100.00 | 100.00 | |
Orion Pharma Romania S.R.L., Romania | 100.00 | 100.00 | 100.00 | 100.00 | |
Orion Pharma SA, France | 100.00 | 100.00 | 100.00 | 100.00 | |
Orion Pharma (SG) Pte. Ltd., Singapore | 100.00 | 100.00 | 100.00 | 100.00 | |
Orion Pharma S.L., Spain | 100.00 | 100.00 | 100.00 | 100.00 | |
Orion Pharma S.r.l., Italy | 100.00 | 100.00 | 100.00 | 100.00 | |
Orion Pharma s.r.o., Czech Republic | 100.00 | 100.00 | 100.00 | 100.00 | |
Orion Pharma s.r.o., Slovakia | 100.00 | 100.00 | 100.00 | 100.00 | |
Orion Pharma Thai Co, Ltd., Thailand | 100.00 | 100.00 | 99.00 | 99.00 | |
Orion Pharma (UK) Ltd., United Kingdom | 100.00 | 100.00 | 100.00 | 100.00 | |
O\u00dc Orion Pharma Eesti, Estonia | 100.00 | 100.00 | 100.00 | 100.00 | |
Saiph Therapeutics Oy, Finland1 | 100.00 | 100.00 | 100.00 | 100.00 | |
Snappertuna Holding Oy, Finland 1 | 100.00 | 100.00 | 100.00 | 100.00 | |
TOV Orion Pharma Ukraine, Ukraine | 100.00 | 100.00 | 100.00 | 100.00 | |
Tuohilampi Holding Oy, Finland1 | 100.00 | 100.00 | 100.00 | 100.00 | |
UAB Orion Pharma, Lithuania | 100.00 | 100.00 | 100.00 | 100.00 | |
VMD NV, Belgium | 100.00 | 100.00 | 100.00 | 100.00 |